I once knew a guy who was a contract worker for 11 years. Contract positions can last for quite some time. What I hope New York doesn't do is hire all of their 5-year plan employees and then realize 4 years down the road that they'll have to graduate that class of employee all at once. Or maybe I do; I'm quite conflicted.
In any case, it's yet another indication that IT workers are considered a replaceable, interchangeable cog in the machine. Unfortunately, when your replaceable cogs are essentially your entire infrastructure, you'll have a hard time trying to get the new class of cog to know what the old cog was doing. Add to that a fatalistic sense from the old cog guard, and you have a recipe for one hell of a breakdown when you least can afford it.
Best of luck, New York; you're gonna need it.