The expiration of $600 in weekly pandemic aid for people who have lost their jobs because of the coronavirus pandemic would create "havoc" for people across the country and in New York, Gov. Andrew Cuomo on Sunday warned.
There's also a lot at stake of New York as well while Congress negotiates the latest and likely the final coronavirus stimulus package that could include billions of dollars in aid for state and local governments that have seen their tax revenue disappear during the crisis.
Cuomo on Sunday announced New York's positive COVID-19 rate stands at 1 percent of the more than 50,000 test results that were returned in the last day. Three people have died of COVID-19 in the last 24 hours, one of the lowest daily death tolls in weeks.
But fiscal trouble looms even as New York's cases have flattened out over the last month.
Schools, local governments, and health care organizations could see state funding cut by as much as 20 percent if no federal aid is approved for states.
"We know we will have drastic budget cuts if we don't get aid," Cuomo told reporters in a conference call.
At the same time, additional pandemic unemployment relief could affect the millions of workers who have lost their jobs. The Republican-controlled U.S. Senate did not include the additional unemployment aid in its version of the stimulus bill, with some lawmakers arguing the money is a disincentive for people to return to the workforce.
New York's unemployment rate in June stood at 15.7 percent; in New York City one in five people were unemployed, according to the state Department of Labor.
The state has staged a gradual reopening of the economy have most business was brought to a standstill in March and April to prevent the spread of the virus.
The state placed a moratorium on evictions and foreclosures, which is also set to expire next month.
For now, the Cuomo administration is yet to make budget cuts official.
"The drop dead date is this round that we are in now," Cuomo said in a conference call. "We're now at the last moment where again they're saying they're going to do state aid."