Last week, Mayor Adams unveiled the Preliminary Budget for Fiscal Year 2026 (FY26), totaling $114.5 billion, under the theme “Making New York City the Best Place to Raise a Family.” The budget announcement emphasized investments in public safety, affordability, and education.
In the announcement, Mayor Adams expressed confidence in the budget increases, citing robust growth in local and national economies that have significantly boosted city tax revenues. The administration highlighted the city’s ongoing recovery and thriving economy—particularly in job creation and tourism—as key indicators of economic growth. Culture and Arts are central to NYC’s appeal as a cultural destination, crucial in attracting tourism, driving the hospitality sector, and contributing to the city’s overall economic vitality.
The FY26 Preliminary Budget allocates $164 million to the Department of Cultural Affairs, an increase of $19,171 million compared to the previous Preliminary Budget. However, it’s important to remember that the preliminary budget is only the starting point of an adoption process that concludes in June each year. Over 60% of the agency’s budget is finalized through this process. As such, the agency’s preliminary budget does not necessarily reflect a definitive trend in the Administration’s overall investment in culture and the arts. For context, the FY25 Department of Cultural Affairs budget was $254 million.
A quick analysis of the Mayor’s press release highlights key direct contributions to culture and arts:
- Neighborhood Development Initiatives: $5.3 million allocated to support merchant organizing, Business Improvement District (BID) formation, and services like graffiti removal, streetscape beautification, and public art projects across the city.
- Cultural Institutions Group (CIG) Expansion: $3 million to add five new CIG members, providing operating support to help these institutions meet basic needs, as announced in Mayor Adams’ 2025 State of the City Address. The names of these organizations have not been publicly disclosed yet.
Regarding Capital Investments, the Mayor unveiled the City’s largest-ever 10-year Capital Plan, committing $170 billion to infrastructure improvements such as roads, bridges, schools, water and sewer facilities, libraries, and transportation systems. $2.8 billion of this plan is dedicated to cultural institutions and libraries, underscoring the administration’s investment in New York City’s cultural and artistic infrastructure.
About the Budget Process
The NYC budget process mandates that the Mayor release a Preliminary Budget outlining proposed operating and capital expenditures and revenue forecasts for the upcoming fiscal year and the following three years by January 16 of the preceding fiscal year. Then, the City Council holds budget hearings with city agencies and the public to review and discuss the proposed allocations, priorities, and potential adjustments. For more information on the budget process, check the resources below and stay tuned for upcoming City Council hearings to participate in the process.
NYC Budget Educational Resources by the Independent Budget Office:
