Mamdani Plan to Extend Pension Payments Will Cost $5 Billion

New York City Mayor Zohran Mamdani’s plan to extend the timetable to pay off the city’s pension debt will free up money in the near term to close a yawning budget deficit.

Over the long run, it could end up costing taxpayers billions.

Mamdani’s proposed budget would add roughly $5 billion to the city’s pension costs by delaying repayment of New York City’s $27 billion unfunded pension liability by five years to 2037, according to an analysis by the city actuary in a state budget bill that was approved by legislature on Tuesday. The bill now goes to Governor Kathy ...