N.Y. Comp. Codes R. & Regs. Tit. 9 §§ 1628-2.1

Current through Register Vol. 46, No. 45, November 2, 2024

Section 1628-2.1 - Budget program

(a) The budget is a plan of operation for the fiscal year. Every effort should be made to prepare a budget which presents a program designed to meet all the fiscal obligations and to keep the condition and appearance of the project up to high standards. In turn, the budget as approved should be adhered so that the plan of operation is properly executed. The budget is an important tool in the successful management of a project.

(b) The budget should be realistic. Projection of income and expenses should reflect past experience modified by any changes expected to occur during the budget year. Reasonable estimates must not be adjusted downward for the purpose of attaining a deficit within the limits of the maximum subsidy. If realistic estimates indicate a deficit in excess of maximum subsidy, effective economies or means of added income must be devised before preliminary budget is submitted to the Bureau of Management.

(c) Economy of operation is a constant objective, but it should be specially considered in developing the budget. The subsidy required for the deficit operation must be kept as low as possible. Section 73 of the Public Housing Law limits the amount of subsidy that may be paid by the State. Proper concern for the public funds involved demands that subsidy requirements be kept to a minimum by economical project operation, regardless of the maximum subsidy permitted. In any event, the estimated deficit of a proposed budget must be based on justifiable expenses and reserves, and must reflect income from rents which bear a fair share of the project's expenses, with due regard for the income levels of tenants and applicants.

N.Y. Comp. Codes R. & Regs. Tit. 9 §§ 1628-2.1