Hochul Proposes $260 Billion Budget With No New Taxes, But Raises Spending on Kids and Medicaid
Governor Kathy Hochul has unveiled a $260 billion budget proposal for the upcoming fiscal year, which includes increased spending on child care and continued increases in school aid for every district. However, despite strong returns on Wall Street, there is no new tax plan included in the budget.
Hochul emphasized that historic investments can be made without raising income taxes, citing a desire to be "a responsible steward while also investing in how we build a better future." The proposal includes funding increases for state agencies and employees, as well as an additional $38.4 billion for Medicaid, which will see several billion dollars added due to federal cuts enacted last year.
The budget's total operating budget is $157.4 billion, with capital expenditures totaling $21.8 billion and $80.8 billion in federal funding that the state will spend. Spending on school aid has increased by 2.3% over last year's spending, while there are plans to introduce restrictions on children using AI chatbots and create protest-free buffer zones around houses of worship.
The biggest new spending proposal is for child care, with Hochul aiming to increase funding for a day care voucher program by $1.2 billion and provide $500 million in new funding for pre-kindergarten programs serving 3- and 4-year-old children. A proposal has also been made to spend $77 million on extra police on New York City's subway system.
Wall Street returns mean no need for tax hike, says Hochul
The proposed budget represents a smaller increase than previous years, with some experts warning that continued consumer spending and projected bonuses from Wall Street bankers may not last indefinitely. The state is now expecting an additional $3.7 billion in revenue this fiscal year and an extra $7.4 billion the following year.
Progressives, however, say the possibility of a crash is reason to add new revenue streams or increase existing ones. They advocate for higher taxes on the wealthy and corporations. New York City Mayor Zohran Mamdani has reiterated his call for the state to impose a tax on its highest earners.
Hochul's budget director said that continued elastic tech system works well during good times, but could "crash pretty hard" when times are bad. The possibility of reduced federal funding due to President Donald Trump's threats is also causing uncertainty about the state's plans for noncitizen immigrants and other programs.
The proposed budget will kick off weeks of hearings and negotiations with the state Legislature, where Democrats and Republicans will discuss how to pay for the Christmas list.
Governor Kathy Hochul has unveiled a $260 billion budget proposal for the upcoming fiscal year, which includes increased spending on child care and continued increases in school aid for every district. However, despite strong returns on Wall Street, there is no new tax plan included in the budget.
Hochul emphasized that historic investments can be made without raising income taxes, citing a desire to be "a responsible steward while also investing in how we build a better future." The proposal includes funding increases for state agencies and employees, as well as an additional $38.4 billion for Medicaid, which will see several billion dollars added due to federal cuts enacted last year.
The budget's total operating budget is $157.4 billion, with capital expenditures totaling $21.8 billion and $80.8 billion in federal funding that the state will spend. Spending on school aid has increased by 2.3% over last year's spending, while there are plans to introduce restrictions on children using AI chatbots and create protest-free buffer zones around houses of worship.
The biggest new spending proposal is for child care, with Hochul aiming to increase funding for a day care voucher program by $1.2 billion and provide $500 million in new funding for pre-kindergarten programs serving 3- and 4-year-old children. A proposal has also been made to spend $77 million on extra police on New York City's subway system.
Wall Street returns mean no need for tax hike, says Hochul
The proposed budget represents a smaller increase than previous years, with some experts warning that continued consumer spending and projected bonuses from Wall Street bankers may not last indefinitely. The state is now expecting an additional $3.7 billion in revenue this fiscal year and an extra $7.4 billion the following year.
Progressives, however, say the possibility of a crash is reason to add new revenue streams or increase existing ones. They advocate for higher taxes on the wealthy and corporations. New York City Mayor Zohran Mamdani has reiterated his call for the state to impose a tax on its highest earners.
Hochul's budget director said that continued elastic tech system works well during good times, but could "crash pretty hard" when times are bad. The possibility of reduced federal funding due to President Donald Trump's threats is also causing uncertainty about the state's plans for noncitizen immigrants and other programs.
The proposed budget will kick off weeks of hearings and negotiations with the state Legislature, where Democrats and Republicans will discuss how to pay for the Christmas list.
I just heard about Gov Hochul's new budget proposal & imo it's kinda mixed bag. Like i get that she wants to invest in kids & Medicaid but $260 billion is a lot of cash! 
I mean we've been doin well on Wall St but can we afford not to put any new tax on the rich? 
Don't get me wrong, increased spending on child care & pre-Kindergarten programs sounds awesome for future generations. But what if times get tough & federal funding gets cut like Mamdani said? It's def a concern for me & prob other ppl who rely on those funds 
. She's really showing she cares about our kids and Medicaid patients 
. I mean, who doesn't love a good day care voucher program? 
And the fact that Wall Street returns aren't leading to a tax hike is just a major win for New Yorkers 
. But, let's be real, some experts are warning about a potential economic crash... that would be so not good 
. I'm all for progressive ideas like taxing the wealthy and corporations to fund our state's needs 
. And can we talk about how extra police on NYC subway system is needed? 
#BudgetProposals #NewYorkState #InvestingInTheFuture
. The plan to increase funding for day care vouchers and pre-kindergarten programs is particularly commendable 
.
.
The budget! Sounds like someone's been playing too many video games... I mean, who needs new taxes when you've got Wall Street's returns to cover everything? $260 billion is a lot of scratch, but hey, someone's gotta invest in those AI chatbots and police on the subway 
. Kids and Medicaid get some love though, good on Hochul for that! I mean, who doesn't want to help out our young'uns and make sure everyone's got healthcare? Just hope they don't plan on taxing us to pay for it... or is there a magic money tree hiding somewhere in NY state 
. Anyway, can't wait to see how this all shakes out. Should be interesting watching the politicians play their budget game 
. and dont even get me started on the AI chatbots rule 
. what's next, robot overlords 
?
. No new taxes? That's a bold move 
, but might just fly if Wall St keeps paying its bills 
.
about this budget proposal 
but what if wall street doesn't keep returning 
Hochul's got a point that tax hikes aren't necessary when Wall St's doing well, but let's be real, times change... 
Like a wealth tax or something. We gotta think about our future and make sure everyone contributes 
. Spending on child care and Medicaid is defo a good start, but what about the rest of us who ain't as fortunate? 
.
.
. It's like she's putting all her eggs in one basket and hoping no one cracks it 
. Meanwhile, progressives are warning that we need to be prepared for the worst-case scenario, and I think they might be right 
. But at the end of the day, someone's gotta foot the bill, and it seems like she's relying on some pretty shaky ground 
, so maybe we can just enjoy it while it lasts 
. gotta keep an eye on that for now