New York state budget delayed amid debates over several major budgetary items

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New York state failed to submit a finalized state budget by its April 1 deadline. As of April 3, state legislators and Gov. Kathy Hochul have yet to agree upon a budget.

The delay is largely due to continued debate over several major budgetary items. While Hochul proposed a record $216.3 billion budget, the legislature’s proposal was around $6 billion greater.

According to a memo from the Office of the New York State Comptroller, if a new budget is not finalized by 4 p.m. on April 4, payments from the state government, including paychecks for state employees, will be halted.

The halting of payments does not affect most aspects of the State University of New York, City University of New York or the State Insurance Fund, per the memo.

The Daily Orange broke down the major issues stalling the budgetary process.

SUNY/CUNY funding

State Democrats have proposed increased funding for both public school systems in the state of New York to recruit new faculty, expand the state school systems’ capital and operating expenses and increase funds for the state’s tuition assistance program, according to The New York Times.

Historically, the tuition assistance program has been the subject of funding cuts in the state budget, but this year both the SUNY and CUNY systems are expected to receive increased funding.

The total amount of funding is dependent on other programs in the state budget.

Bail Reform

According to an article from the Cardozo School of Law at Yeshiva University, New York state has not considered an individual’s threat to public safety when determining bail eligibility. New York is one of the few remaining states in the United States to not have such a policy, per the Rochester Democrat & Chronicle.

Hochul’s 10-point plan for bail reform, as first obtained by the New York Post, includes policies that would specifically target firearm-related crime and increase the number of bail-eligible crimes.

Under Hochul’s plan, more repeat offenses and gun-related offenses would be bail-eligible, but the plan would make it easier to prosecute gun trafficking. Additionally, judges would be able to consider whether an individual was a threat to public safety when determining bail eligibility for more serious felonies by considering their past firearm use, possession and criminal history.

Certain offenses that are currently subject to desk appearance notices – including gun-related, hate crime and subway crime offenses – would be eligible for arrest under the plan.

The governor also hopes to reform the “Raise the Age” statute. The statute, passed in April 2017, raised the age of criminal responsibility to 18 and ensured that individuals who are convicted of non-violent crimes as minors receive intervention and evidence-based treatment.

Hochul hopes to implement the $500 million in funding that was allocated for the “Raise the Age” statute but never spent, as well as increase funding for pretrial diversion and employment programs.

The plan also seeks to reform the discovery statute, increase funding for mental health treatment and expand involuntary commitment. It would also expand Kendra’s Law, which provides court-ordered assisted outpatient treatment to those who, according to the statute, are unlikely to survive in the community based on their treatment history and present circumstances.

Child and health care

Hochul is seeking to expand on her efforts as lieutenant governor to expand child care in New York state with a $1.4 billion increase in state spending. The funds would increase support for child care providers, create daycare centers at public universities and expand child care subsidies.

According to the reporting from The New York Times, the State Legislature’s proposal for such funding currently costs $4 billion. That reporting also includes a $345 million proposal to provide health care to undocumented immigrants.

New York City casinos

In 2013, New York state passed the Upstate NY Gaming & Economic Development Act, which established four destination gaming resorts across the region to expand tourism and economic development.

Now, seven gambling companies are competing for the state’s three remaining casino licenses to operate in the New York City area. Various interest groups are lobbying to expedite a provision in a 2013 constitutional amendment that bars downstate casinos until 2023.

New York state legalized mobile betting in January 2022.

Current proposals would require operators to pay at least $1 billion for each license. This new source of revenue would coincide with other issues in the budget, such as an appropriation for a new stadium for the Buffalo Bills of the NFL.

Jana Seal | Asst. Digital Editor

Hochul proposed an $850 million appropriation from the state to aid with the $1.4 billion total cost of a new Bills stadium, with the Bills agreeing to remain in the area for another 30 years.

New York state also recently forced the settlement of a five-year legal battle with the Seneca Nation over its casino revenues and plans to use some of that funding to pay for the stadium costs as well.

“We see, and we hope the world sees, the Governor’s announcement for what it is – the latest chapter in New York’s long history of mistreatment and taking advantage of Native people,” Seneca Nation of Indians President Matthew Pagels said in a statement. “Governor Hochul happily tried to strangle Western New York in order to squeeze every drop of blood she could get from the Seneca Nation.”

Gov. Hochul’s husband, Bill Hochul, is the senior vice president and general counsel of Delaware North, the company that manages the stadium’s concessions.

Other issues

State lawmakers are debating a suspension of the state’s gas tax or other methods of targeted relief in an effort to alleviate the increasing gas costs New Yorkers are facing.

New York City Mayor Eric Adams wishes to continue mayoral control of NYC public schools for another four years, but many state lawmakers hope to deal with this after the budgetary process is completed, as mayoral control of the schools does not expire until June.