A federal aid package for New York is still possible as negotiations over the long-delayed stimulus measure continue, Gov. Andrew Cuomo on Monday said in an interview with WAMC.
Cuomo in the interview said he had spoken recently with House Speaker Nancy Pelosi and Treasury Secretary Steve Mnuchin about the bill. New York is seeking billions of dollars in direct aid from the federal government to shore up its finances battered by the coronavirus pandemic-induced recession.
The state has lost tax revenue as a result of the crisis and shutdown meant to prevent the spread of the virus and is facing out-year budget gaps that grown larger as a result.
Cuomo has said New York could face a scenario in which spending reductions, tax increases and borrowing are used to bolster the capsized finances -- a situation the governor wants to avoid by gaining federal dollars. Local governments and school districts, too, could face similarly dire financial problems if aid is not approved.
For now, Cuomo has not specified where cuts would be made or which taxes would be increased amid a progressive puish for a rate hike on the state's wealthiest.
"I believe there will be federal aid. Before I cut off my right arm and my right leg, I want to see if there are going to be options first," Cuomo said in the interview.