text: does the new york state budget law requires a balance budget, and wy?   what is meant by a balanced budget is subject to interpretation and handled differently in many states. see this chart from the national conference of state legislatures (which is an organization that serves state legislators across the country and compares how issues are handled differently by different states).  http://www.ncsl.org/programs/fiscal/balbuda.htm  new york state's requirements are considered not stringent, the governor is required to prepare a balanced budget but the legislature is not required to pass a balanced budget, and the state is permitted to carry an operating deficit across a fiscal year boundary.   also note, even in states with more stringent requirements it is often unclear how a balanced budget amendment can really be enforced. and new york state politicians have been notorious for the last decade or so for passing budgets later than the deadline the state is supposed to meet.