New York Gov. Kathy Hochul announced a “general agreement” has been made between her and legislative leaders on the state budget, totaling $254 billion and including just about everything the governor had on her legislative wish list outlined in January — a bell-to-bell ban on cellphones in schools, inflation “refund” checks, universal school meals and changes to the state’s discovery and involuntary commitment laws.
Hochul said the cellphone policy would take effect in the new academic year in September.
“We’ve protected our kids before, from cigarettes, alcohol and drunk driving," the governor said. "And now, we’re protecting them from addictive technology designed to hijack their attention."
Affordability
Hochul listed affordability as a top agenda item at the start of this year, highlighted by a one-time inflation "refund" check for low- and middle-income families funded by excess sales tax revenue generated by inflation. Initially pitched as $300 payments for single New York taxpayers earning up to $150,000 annually and $500 for joint filers making up to $300,000 per year, the spending plan deal will lower those numbers to $200 for individuals and $400 for families. Checks will go out to 8.2 million New Yorkers.
Also included from an affordability angle is a $1 billion middle class tax cut, bringing the rate down to its lowest in nearly 70 years, Hochul said, and tripling the size of the child tax credit to $1,000 per child over the age of 4. In schools, $340 million will go to funding free universal school breakfast and lunch for all K-12 students. Education funding in total reaches $37 billion — once again the highest ever.
“You know, when you add all this up, your family’s inflation refund, school breakfast and lunch, the child tax credit for your little ones plus the middle class tax cut, that’s $5,000 back in the hands of New York families," Hochul said. "That’s how you make a tangible difference in people’s lives."
Public safety
On public safety, criminal penalties will be increased for those wearing a mask while committing a crime or fleeing a crime scene for any offense that’s a class A misdemeanor or higher.
In the budget, changes to discovery laws — the process in which the prosecution shares evidence with the defense in a criminal case — will aim to prevent cases from being dismissed over minor omissions, which Hochul said will protect defendants’ rights while ensuring victims get justice.
The spending plan will clarify and strengthen involuntary commitment laws and expand Kendra’s Law, which allows courts to order outpatient treatment for mental illness if a person is deemed a threat to themselves or others.
Hochul added that $370 million will again go to gun violence prevention programs, $50 million for police technology upgrades, $8 million to increase safety along the Canadian border and $35 million for security measures at synagogues, mosques and other sensitive locations.
Outstanding items to be negotiated
The governor Monday night surprised lawmakers by announcing a conceptual agreement as several spending items remain under negotiation.
Hochul's press conference Monday evening took place as Democrats in the state Assembly met to conference budget items on a different floor of the Capitol. Lawmakers said the governor gave her speech as school aid and hospital funding — some of the state's largest expenditures — and funding for higher education and details of a policy to expand earned time credits for people in prison to reduce long criminal sentences on good behavior remain on the table.
Earlier Monday afternoon, Senate Finance Committee chair Liz Krueger said it was news to her that Hochul planned to hold a press conference announcing a handshake on a budget agreement still under negotiation.
"I can't speak for the governor [but] she last year said we had a conceptual agreement when I was in conference," Krueger told Spectrum News 1. "It was a surprise then. Maybe it's a surprise now."
The Senate leader said the final budget is close to being finished, but she's unhappy with "lots of things" as talks continue.
"I don't leak on negotiations," Krueger added.
Hochul told reporters Monday night outstanding spending issues will be finalized in the coming days and the Senate and Assembly will continue to conference to tie up "a few loose ends out there."
But the governor said her announcement comes as the top budget priorities she announced in January — like a cell phone ban, changes to discovery and involuntary commitment laws and a middle class tax cut — are finished.
"We got it done...I'm really proud to say we got it done," Hochul said. "The budget is largely complicated and there are members who want to weigh in on their issues. But on the big-ticket items, the middle class tax cut, child tax credit, the entire affordability agenda, the inflation rebate [check], covered school lunches and breakfasts for families...this all took a lot of effort and what I'm here to say is 'It's accomplished and I'm really proud of it.
"...That's quite a list," she added. "There are a few loose ends out there, I would say, but I think it's important to know that we've delivered. This is an extraordinary budget."
Local aid
The governor said for the second year in a row, $50 million will go to AIM, or Aid and Incentives for Municipalities funding. The unrestricted state aid to local town and city governments pay for things like supplies and wages for police officers and firefighters. About $400 million will go to the city of Albany to revitalize the downtown core.
“Your family is my fight. This budget honors that promise,” Hochul said.
The governor criticized the federal government’s proposed funding cuts and added that it’s possible she may call state lawmakers back to Albany later this year to update the budget in response to those potential cuts.
Lawmakers are expected to vote to pass a ninth budget extender Tuesday, which will expire Thursday.
Lawmakers are expected to begin voting on budget bills over the next few days, but it's unclear if the Legislature will be forced to pass an additional extender Thursday before the 10-bill document is signed into law.
The annual state spending plan was due April 1.