NYC Control Board Greenlights City’s Financial Plan

NEW YORK—The New York City Financial Control Board voted to not take control of the city’s finances on Tuesday, greenlighting Mayor Bill de Blasio’s first financial plan.

The board heard from de Blasio, the city and state comptrollers, and public members. The testimony was mostly positive, with de Blasio receiving praise for funding a trust fund for retiree health benefits and accounting for the cost of settling labor contracts with the municipal workforce for the first time since 2009.

A public member of the board, Lawrence Golub, criticized the administration for short-funding a trust fund for retiree health benefits. The practice is commonplace, Golub said, but is not a prudent approach.

The FCB was created in the 1970s after New York City came dangerously close to bankruptcy.

Follow Ivan on Twitter: @ivanpentchoukov