In a news conference this week, Governor Hochul declared that she would not consider tax increases in the upcoming State Budget process, saying that raising taxes would go against efforts to reduce the tax burden made earlier this year (i.e. rebate checks sent to property taxpayers and the faster phase-in of a tax rate cut aimed at middle-income earners).
“I don’t believe that raising taxes in a time in which we just cut taxes makes sense,” Hochul said. “We just did that a year ago. I’m not going to turn around say we’re raising your taxes. I don’t foresee that.”
For the first time since the pandemic began, New York has seen rapid growth in revenues, spending, and surplus reserves – due to financial pandemic assistance from the federal government. However, increasing federal interest rates and budget cuts in NYC have the State looking at an approximate $4B budget deficit by 2025.
Advocates continue to press the Governor and other elected officials to further increase taxes on the wealthy as a way of increasing funding for State-initiatives, like affordable housing and child care.
The State Budget, which is due by February 1st, will be one “reflecting the risks that the state is facing,” outgoing Budget Director Robert Mujica said.
“Making New York Work for Everyone” Action Plan
New York City Mayor Eric Adams and New York Governor Kathy Hochul today released “‘New York: Making New York Work for Everyone,” a set of 40 proposals intended to make New York City the “best place to work” and serve as a roadmap for the City’s future. The ‘New’ New York’s 59-member panel was launched in May 2022 and is being led by co-chairs and former New York City Deputy Mayors Richard Buery, now CEO of Robin Hood (a non-profit poverty fighting organization), and Daniel Doctoroff, former CEO of Sidewalk Labs (an urban planning and infrastructure subsidiary of Google). The panel of civic leaders and industry experts worked for six months to generate recommendations for New York State and New York City to partner with each other and across sectors to reimagine a “New” New York that propels NYC and the region forward for its next chapter of equitable and inclusive growth.
The Action Plan’s goals include reimagining 24/7 commercial districts, shortening commutes to work, and generating inclusive, and future-focused growth.
NY AG Sued by Former Deputy Press Secretary
Sofia Quintanar, a political consultant and former deputy press secretary in James’ office, has filed a lawsuit against the Attorney General for her handling of sexual harassment claims against former AG Chief of Staff Ibrahim Khan.
In her lawsuit, Quintanar alleges that James and her office were aware that Khan had a “propensity to sexually harass and to commit sexual assaults” and they were negligent in hiring and supervising him.
James issued a statement last week defending her office’s handling of the matter, saying she is “confident in the steps that were taken to swiftly review the allegations and in the integrity of the investigation… I thank the women who came forward, and I want to assure them that they were heard and that I believe them.”