ALBANY, N.Y. - A provision in Gov. Andrew Cuomo's proposed budget amendments could greatly expand the power of state and local governments to borrow money with less independent oversight while potentially avoiding approval from voters or the Legislature, according to three state officials familiar with the proposal.

The proposal appears to let the state Dormitory Authority, which finances and constructs state office buildings, as well as buildings for public colleges, extend its borrowing power to a wide array of state and local projects. That could mean more "back-door borrowing" that can avoid the need for approvals from local voters or the state Legislature as well as avoid fiscal scrutiny by the state comptroller's office, the officials said. They spoke on the condition of anonymity because of the sensitivity of budget negotiations between the governor and Legislature.

Cuomo's office disputed the interpretation.

"The amendment does not expand the power for state and local governments to borrow money and it will not be used to do so," said Morris Peters, spokesman for the Division of Budget.

Cuomo is seeking what he calls greater flexibility to take on up to $25 billion worth of economic development projects statewide in a bid to create jobs under an ambitious New York Works program. He had previously proposed in his January budget the power to move funding between agencies without need for the Legislature's approval after a budget is passed. Several lawmakers said at the time it appeared to be a power grab by Cuomo.