Despite its record price tag and failure on major topics such as repealing the disastrous bail laws or making New York more affordable, the recently-approved $229 billion state budget, a wallet busting $8.6 billion more than last year, makes a huge commitment to education funding. The budget also exposes the incredible cost of the Biden Administration’s open border policy by saddling state taxpayers with $1 billion for migrant services in New York City, while the Office of New Americans gets $94.5 million, a whopping $53 million increase over last year. Green New Deal restrictions passed as part of the budget process will have devastating impacts on New York’s economy.
The budget carries a 9.5% increase in education aid for a total of $34 billion, and fully funds school Foundation Aid at $24 billion, which is $2.6 billion more than last year. There’s $5.8 billion in funding for various school aid categories, $100 million more than last year, and $1.4 billion for BOCES/Special Services Aid, an increase of $47.6 million.
There’s $1.2 billion for Universal Pre-K, a $155.3 million expansion, and $993.4 million in support for pupils with disabilities, $9.1 million more than last year. Non-public school aid comes in at $270 million, $5.9 million more than last year. The budget expands free school meals with a huge increase of $134.6 million to $169 million.
Assemblyman Joseph DeStefano |
While it makes some minor adjustments to the criminal justice system, the budget legislation falls far short in addressing the crime wave sweeping across the state. Bail reform was barely touched and once again, the Democrats only danced around the edges, with inconsequential changes that will not deliver a meaningful solution. They did decide to spend $50 million to combat gun violence and allow body scanners at Department of Corrections and Community Supervision facilities. They amended the Concealed Carry Improvement Act by clarifying the definition of “sensitive/restrictive locations” and expanded the list of exempted individuals.
Through the budget legislation, the state authorized Suffolk County to hold a voter referendum on increasing the sales tax by a quarter cent to fund sewer projects.
The budget deal, which also includes a number of policy decrees, calls for a phased-in increase in the minimum wage, subject to the following schedule: New York City/Long Island/Westchester: $17 by 1/1/26; Upstate: $16 by 1/1/26. Beginning in 2027, the minimum wage in all regions is scheduled to increase according to the three-year average of the Consumer Price Index.
In a raft of restrictions that many see as a devastating blow to New York’s economic future, the budget’s Green New Deal components prohibit the installation of fossil fuel-powered equipment in new buildings by the end of 2028. Thankfully, it leaves existing systems alone, but will make repairs and replacement parts unaffordable. It also empowers the New York Power Authority to pursue the state’s battle on fossil fuels and bans the use of gas stoves in homes.
In staving off another raid on suburban taxpayers, local legislators won the battle against socking Long Islanders with a huge MTA payroll tax increase. The budget hikes cigarette taxes a dollar a pack and increases the Empire State Film Tax Credit to $700 million annually, and extends it through 2034. With cannabis now legal in the state, the budget deal enhances the enforcement of taxation on adult-use marijuana and increases oversight by the Office of Cannabis Management.
The $600 million earmarked for the state Home Energy Assistance Program is 16 percent more than last year, while the Emergency Rental Assistance Program gets only $356 million, $444 million less than last year. The Empire State Supportive Housing Initiative Program gets $210 million while $283.7 million is budgeted for the Legislature, which is $19.6 million more than last year, to cover raises that make Empire State lawmakers the highest paid in the nation.
Taxpayers will be on the hook with the state now authorized to finance $455 million for renovating the Belmont Park racetrack thanks to the budget deal. A $500 million Clean Water Infrastructure item was approved and there will be $400 million for the Environmental Protection. Aid and Incentives for Municipalities (AIM) is set at $715.1 million, while there is $200 million for an Energy Affordability Program for utility bill relief for certain residential customers. The CHIPS highway fund will get $598 million, $60 million more than last year, and there’s $522.5 million in Downstate Transit Aid, $40.1 million more than last year. Upstate Transit Aid comes in at $306.5 million, $39 million more than last year.
There’s also $100 million for Extreme Winter Recovery, $200 million for BRIDGE-NY, $150 million for PAVE-NY, $25 million in matching funds for public financing, and $25 million in first-time homeowner assistance for low- and moderate-income residents.