The Onset of a Crisis in Human Services 

How bad is bad?

Social workers are no doubt seasoned in withstanding budget cuts over the years.  But this may not be like anything we have seen since the city was virtually bankrupt in 1975 when services were cut back extensively.  At that time, unlike today, state government was itself relatively healthy, from a fiscal standpoint. This time around, just as the city is facing such a serious crunch, the state is, as well.  An expert on public financing was quoted in the New York Times recently as saying that to find the last time we faced such deep problems was during the 1930’s, during the Great Depression. Whether this is true remains to be seen.

I recently attended a meeting in which an economist discussed how New York got into this situation.  The economist traced the history of decisions by Governor Pataki, and those preceding him, that resulted in a significant amount of tax revenue being forgone through tax reductions, especially to corporations.  The notion that the national recession and the impact of the World Trade Center disaster accounts for New York’s current problems is only partially true.  

The state has reduced its revenue supply from its wealthiest sources over the years in the belief that low taxes keep New York's businesses competitive with other regions.  That the level of taxes is only one factor among many, and not necessarily the most important in where a business locates, tends to get dismissed in our current political system.  

What is overlooked is that businesses consider the quality of life and the quality of services as quite important.  Ironically, services are diminished when tax revenues are not collected, and the quality of life follows. 

The economist went onto say that some portion of the $20 billion in federal relief to New York, promised after 9/11, could be used to help to avert enormous service cuts, but it probably will not be given much consideration. 

In addition, he pointed out that cutting services has a greater detrimental impact on the economy than raising taxes.  At least Mayor Bloomberg is proposing some tax increases, but the State is not all that likely to give him support, such as reinstating the commuter tax. 

On top of all of this, the victory among Republicans in the last election gives them full control of the federal government. Who knows what this will mean? President Bush has already turned a projected trillion dollar surplus, which could have been used in part to fund services, into tax breaks for the wealthiest Americans. The surplus is now gone.  How much more will be eliminated in Washington?

Social workers tend to be very busy people, stretched thin between the challenges at work and maintaining their personal lives. While it is not surprising that many social workers involve themselves closely in the events that are unfolding all around them, there are many others who find it difficult to attend to these larger events.  There are already too few minutes in the day.

The risk of not tracking events that are likely to reach us at some future point, is being caught by surprise. 

In the past, I have found it eye opening to sit with very seasoned social work colleagues who were being told that their programs were being re-organized and downsized.  The fact that the such changes were likely to happen and were visible on the horizon for several years did not seem to get their attention. 

Would the changes being imposed have been experienced differently if they had been monitoring the approaching trend? It is hard to say.

Perhaps it is a bit like living on the coast of a southern state in hurricane season.  In the past a hurricane would arrive and catch everyone by surprise. Now there is usually ample warning for people to reach safe ground. 

To draw out the point a bit differently.  Now that social work licensing has been passed into law and social workers need to learn how it will affect them, we are getting reports that many have not yet heard the news.  The difference may be that members of NASW who read this newsletter are informed and those who are not members are in the dark. 

Knowledge may be power.  At the very least, it may be the difference between being in the dark or having the lights on.

Finally ,let me just say that there may be light at the end of the tunnel. A major source of revenue for New York is Wall Street. There is a direct relationship between budget cuts and the stock market doing poorly. Once the stock market comes back, and hopefully it will, New York probably again will become expansive in regard to human services.  The pain and suffering that will be experienced in the meantime will be tragic.