'THIS IS SHOCKING': Bond agencies ISSUE DIRE WARNING on NYC finances

MORNING SHOP FOR NEW YORK CITY

NEW SOCIALIST MAYOR MULTIPLE

CREDIT AGENCIES ALL SOUNDING THE

ALARM ON MAMDANI BILLION-DOLLAR

BUDGET.

NOT A DOWNGRADE, NOT QUITE YET.

KEEP GOING DOWN THIS ROAD AND

IT'S COMING.

HIS BUDGET CALLS FOR THE CITY'S

RAINY DAY FUND.

PAYING FOR BILLIONS IN NEW

SPENDING.

TELL ME ABOUT THE BOND ASPECT

FOR THIS.

ARE PEOPLE THAT DON'T UNDERSTAND

WHAT IT MEANS FOR A CITY'S BOND

RATING TO POTENTIALLY BE

DOWNGRADED.

HOW IS THAT BAD NEWS?

PEOPLE THAT LIVE IN THE BIG CITY

LIKE NEW YORK?

>> IT'S A NEVER ENDING CYCLE.

THE BOND RATING GOES DOWN.

IN THEORY THE COST OF BORROWING

GOES UP BECAUSE I'M LOOKING AT

YOU.

YOU NOW HAVE A 76 OR 500 CREDIT

SCORE.

I WILL NOT LEND YOU MONEY TWO OR

3%.

YOU HAVE TO PAY ME FOUR OR FIVE

OR 6% INTEREST BECAUSE I'M NOT

CONFIDENT YOU WILL PAY ME BACK

IN FULL.

THEY ARE THINKING ABOUT DOING A

DOWNGRADE.

THIS IS NOW THE THIRD IN 10

DAYS.

THIS IS SHOCKING.

THE INTERESTING THING, TRYING TO

OUT JUMP ME AND MY POP QUIZZES.

SO I COME WITH A POP QUIZ.

>> THE ANSWER WILL PROBABLY BE

ON THE SCREEN.

JUST WATCH.

MUCH OF THE CITY'S FINANCIAL

PRESSURES THAT YOU TALKED ABOUT

ARE DUE TO RISING COSTS FROM

EDUCATION TO HOUSING VOUCHERS.

WHAT DO YOU THINK THE CITY PH ES

IS?

>> PUBLIC HOUSING --

>> YOU ARE CLOSE THE CITY

FIGHTING HOMELESSNESS AND

EVICTION SUPPLEMENTS.

FINE, I DON'T CARE.

THAT IS NEW YORK CITY.

THAT PROGRAM IS GROWING UP 4% A

MONTH.

NOT A YEAR, A MONTH.

THEIR PROJECTED TOTAL COST

$2.6 BILLION.

THAT IS JUST ONE AGENCY I HAPPEN

TO PLUCK OUT OF THIN AIR.

>> THAT IS THE PROBLEM.

>> WE ARE PAYING FOR UNHOUSED

PERSON 81,000 A YEAR.

SO A LOT OF PEOPLE ASKED THAT

QUESTION.

DOES THAT GO RIGHT TO THE

HOMELESS PEOPLE, THAT WOULD BE A

PRETTY SWEET GIG.

A SOCIAL WORKER CAME UP TO AND

GAVE YOU A CHECK FOR 81 GRANT.

>> THAT IS NOT THE CASE.

HE HAS JUST DETERMINED TO DRIVE

THIS CITY INTO THE GROUND.

IT IS A WARNING SOUND FOR

EVERYBODY.

SOMEONE THAT DID NOT VOTE FOR

MAMDANI.

JUST GOING ON AND ON ABOUT WHAT

WAS US JUST LIVING IN THE CITY.

THIS IS WHAT HE TOLD YOU HE WAS

GOING TO DO.

HE FOOLED US, HE TRICKED US.

HE TOLD YOU HE WAS GOING TO DO

THIS AND NOW HE IS SCARED EIGHT

AND SWITCH USUALLY GETS ME A

LITTLE MORE ANGRY THAN I AM

RIGHT NOW.

BUT I ALSO HAVE TO BELIEVE THAT

COOLER HEADS WILL PREVAIL AT

SOME POINT.

THERE IS JUST NOT ENOUGH MONEY

TO DO IT ALL.

I HAVE NEWS FOR YOU, KATHY, THEY

ARE NOT COMING.

>> SHE HAS TAPPED TWO HEADS

RIGHT NOW.

SHE HAS ONE I ON THE ELECTION

THAT IS COMING UP.

SHE IS RUNNING FOR REELECTION.

HE WAS AN EARLY ENDORSER.

SHE WAS FIGHTING HERSELF.

>> CANNOT STAND KENNEDY.

OKAY.

YES.

FOUR EVERY TWO HOMELESS PEOPLE

IN NEW YORK, ONE PERSON WORKING

ON HOMELESSNESS.

WE ESTABLISHED THAT LAST WEEK.

THERE IS 4000 HOMELESS.

THAT IS HOW INEFFECTIVE THIS

CITY IS.

YOU CANNOT SOLVE IT WHEN YOU

HAVE THE HALF NUMBER OF PEOPLE

WORKING ON THE STREET.

ALSO, THE TAX THING, I WANTED TO

RAISE AN ISSUE I DIDN'T KNOW

ABOUT UNTIL TODAY.

DID YOU KNOW YOU COULD GET FINED

FOR PUTTING FOOD IN YOUR GARBAGE

?

>> I ANTICIPATED THERE WOULD BE

A LOT OF COMPOSTER'S ON THIS SET

THE MAC I DID NOT EVEN KNOW THAT

IT WAS A LAW.

>> YOU DO NOT COMPOST?

I THOUGHT YOU HAD YOUR OWN

PERSONAL COMPOST BIN.

>> WE CLEAN OUR PLATES.

>> MAMDANI IS NOW BACK TO

ENFORCING THIS COMPOST.

HE MAY NOT RAISE YOUR INCOME

TAXES RIGHT AWAY, BUT HE WILL

GET YOU WITH 1000 PAPER CUTS AND

IT WILL START WITH YOUR BANANA

PEEL.

THEY WILL GO AFTER YIELD.

THEY WILL GO AFTER ANYBODY.

>> LOWERING THE SPEED LIMIT TO .

$17,000 PER SUMMONS.

LIKE NOT CLEANING YOUR PLATE

PALM.

>> YOU LIVE IN CALIFORNIA.

YOU ARE FROM THE EAST COAST.

WHY ARE THESE LEFTISTS SURPRISED

BY THEIR RESULTS WHEN YOU TAX

PEOPLE AND DISTANT DIS-

INCENTIVIZE THEM.

WHY ARE THEY SURPRISED THAT THEY

LEAVE TAKING YOUR TAX BASE WITH

THEM.

>> IN CALIFORNIA THEY GET AWAY

WITH IT BECAUSE YOU PALM TREES

AND 63-DEGREE WEATHER.

HERE, WHAT DO THEY HAVE TO

OFFER.

WE SEE THE STOCK EXCHANGE GOING

TO DALLAS.

WE SEE THE BILLIONAIRES LEAVING.

THAT WILL CONTINUE TO HAPPEN

WHEN BARGAINS BECOME BIG ENOUGH

THAT MONEY COMES BACK IN BECAUSE

THE PRICES JUST GOT TOO LOW.

IT WILL CREATE OPPORTUNITY.

>> THE OPPORTUNITY IS NOT A NEW

YORK STATE,