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Local Reaction to Governor Hochul’s Proposed $252B Budget

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Governor Kathy Hochul says her budget for the 2025-2026 fiscal year is “laser-focused” on putting money back in New Yorkers’ pockets. Hochul unveiled her spending proposal Tuesday afternoon at the State Capitol in Albany. Her budget amounts to $252 billion, which increases spending by 3.6% over the current year’s spending plan but contains no new income tax increases. Hochul says a combination of a middle-class tax cut, inflation refund, and expanded child tax credit will give New Yorkers $5 billion back.

Other highlights of the budget include new legislation to streamline the discovery process and make changes to involuntary commitment and Kendra’s Law, $1 billion to accelerate the state’s transition to clean energy, and mandatory restrictions on students’ electronic devices in K-12 classrooms.

Click here for Governor Kathy Hochul’s full budget book.

Here is what some local lawmakers are saying about the proposed spending plan:

State Senator Pamela Helming:

“Just a week after the Governor acknowledged we have an affordability crisis, she proposed a record $252 Billion spending plan, exceeding last year’s record budget of $239 Billion – an astounding $13 Billion increase. How does this out-of-control spending, bigger government, and more mandates make New York safer or more affordable?”

State Senator Tom O’Mara (R,C-Big Flats), Ranking Member on the Senate Finance Committee, said that Governor Kathy Hochul’s proposed 2025-2026 state budget calls for a record-breaking, $252-billion fiscal plan that increases spending by nearly $20 billion over the budget she proposed last year and “downplays the fiscal realities facing this state, ignores the long-term burdens being shouldered by middle-class taxpayers, and refuses to take the steps needed to seriously address affordability.”

“Governor Hochul and Albany Democrats are addicted to spending. They can’t stop. It’s out of control and it’s shocking. Despite all the warning signs, Governor Hochul keeps feeding a ‘spend, spend, spend’ addiction that will never make New York more affordable. It will keep driving hard-working taxpayers and middle-class families out of the state. It will keep killing jobs and strangling local economies. It keeps ignoring the reality that New York remains one of America’s highest-taxed, least affordable, most debt-ridden and overregulated states, and that we’re leading the nation in population loss. The Albany Democrat spending addiction over the past six years has put in place massive, long-term spending commitments — and with massive commitments looming in their pursuit of a radical climate agenda – that will never be affordable or sustainable for state and local taxpayers, small businesses and manufacturers, and continually hard-pressed upstate communities, economies, and workers.”

Assemblyman Phil Palmesano:

“Last week, Gov. Hochul said “affordability” was one of her top priorities. Her solution? The largest state budget ever, $252 billion, an increase of $19 BILLION from last year’s proposal is what Gov. Hochul proposed in her executive budget presentation. The governor’s plan continues New York down a dangerous and reckless path of more unsustainable and out-of-control spending and misplaced priorities that will just further compound the affordability crisis and financial struggles and challenges facing New York families and businesses. At a time when New Yorkers are making difficult decisions and having to tighten their own budgets, why does the governor think it is appropriate to increase the state’s budget so dramatically and irresponsibly? The governor and our Democrat colleagues in the Legislature need to remember this is the people’s money, not their money.

“The Legislature will now conduct public budget hearings through the month of February where we will examine the proposed budget and question the governor’s agency commissioners, department heads and community stakeholders to evaluate the impact of her proposals on New Yorkers.

“Budgeting is about priorities, and it is imperative we work to help support and improve the quality of life of our most vulnerable New Yorkers, individuals with developmental and intellectual disabilities and the dedicated direct-support professionals who care for them. This must be a priority.

“With all the talk about transportation funding focused on the MTA, which I do support, and do understand, is the lifeblood of the downstate transportation network, it is equally important however, that we have funding parity for the DOT Capital Plan to help improve our roads and bridges upstate, especially funding for our local roads, bridges and culverts through the critically important and successful Consolidated Local Street and Highway Improvement Program (CHIPS). Just as the MTA is the lifeblood of the downstate transportation network, CHIPS is certainly the lifeblood of our upstate transportation network, and in some instances, the only funding some local communities have to fund their local infrastructure. This must be a priority.

“We have some of the highest taxes and cost of living coupled with the most burdensome and costly regulations in the country, all of which have contributed to New York’s nation-leading outmigration. This is an untenable situation that we must address if we truly want to make New York more affordable for New York families and businesses and if we want to make New York a great place to work and raise a family.

“I will continue to advocate for common-sense policies that prioritize public safety, crime victims and law enforcement over criminals; fiscal responsibility; lower taxes and regulations to help spur job creation and economic development; an energy policy that understands and addresses the importance of affordability and reliability, and not just “so-called” green energy; an equitable transportation infrastructure plan that invests in our local upstate roads and bridges, and not just the downstate MTA; and the care of our most vulnerable New Yorkers, the intellectually and developmentally disabled, and not just migrants here illegally and the downstate elite.”

State Comptroller Thomas DiNapoli:

“The Executive Budget proposal put forth today by Governor Hochul comes at a time of continued economic growth and improving revenues. State Operating spending is projected to grow by 7.9%, which is above the rate of inflation. I’m particularly concerned about the out-year budget gaps of $23.2 billion for the next three fiscal years, even as the Governor proposes to extend the personal income tax surcharge on high earners.

“The state needs to be prepared to assess any actions taken by the new administration in Washington and how they could affect New York’s finances. As we enter into a time of potential economic uncertainty, a focus on the long-term sustainability of the state’s finances and maintaining a commitment to increasing statutory reserves is necessary.

“My office will release a more detailed analysis of the Executive Budget in the coming weeks.”

New York State Association of Counties President Benjamin Boykin II:

“NYSAC and our member counties are cautiously optimistic about the Executive State Budget that was unveiled today by Governor Kathy Hochul. We are optimistic about the goals that this administration has laid out to make New York State more affordable. We are also optimistic about the revenue projections and the Governor’s commitment to building strong reserves over the past two budget years.”

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