OVERDUE BUDGET DAYS: 41
KEY SPENDING DETAILS: Essential components of the state budget, such as support for New York City, a surcharge framework for high-value secondary homes, and significant pension changes, remain unresolved.
Last week, Gov. Kathy Hochul reported a “general agreement” on a $268 billion budget plan, though many specifics are yet to be outlined. Discussions continue in Albany behind closed doors, and none of the nine unapproved budget bills have been released.
The state budget is projected to be delayed by at least six weeks beyond its March 31 deadline. Hochul hopes voters will focus on her policy achievements rather than the occasionally disorderly process.
Finalizing these details may not affect the overall agreement, but the specifics will play a critical role in shaping New York’s extensive tax-and-spend plan, impacting approximately 19 million residents.
Here’s a look at what’s still on the horizon as the budget takes shape.
New York City assistance: Additional support for New York City is anticipated from Albany. Lawmakers and Hochul are considering increased foundation aid, possible changes to the public education funding formula, and extra funds for homeless students. Legislation enabling pension amortization is also under discussion.
These initiatives aim to assist New York City Mayor Zohran Mamdani in addressing a remaining $5.4 billion budget shortfall, supplemented by an earlier $1.5 billion commitment from Hochul.
The governor expressed effective collaboration with the Mamdani administration to tackle the city’s financial challenges.
“There’s quite a bit that needs to be OK’d by New York state,” she stated. “I spent last night talking to the mayor, Friday night talking to the mayor. It’s been a great level of cooperation.”
Pied-à-terre tax structure: Detailed budget language for Hochul’s proposed surcharge on secondary homes valued at $5 million and above is still awaited. The structure of this tax, including reliance on assessed value, will determine the number of properties affected.
Revising Tier 6: The overhaul of the Tier 6 pension category presents potential costs. Hochul and lawmakers are discussing a “skinny” version of the union-backed plan, according to sources familiar with the talks.
The proposal would reduce the retirement age for teachers to 58 after 30 years of service, without changing their contribution rates. For other public workers, minimum contributions of 3 percent of take-home pay are considered, but retirement age would remain unchanged.
This initiative is expected to cost $500 million for the state, local governments, and school districts, significantly less than the $1.5 billion proposal from the New York State AFL-CIO earlier this year.
Protest buffer zones: As reported by POLITICO Pro, considerations for a 50-foot protest buffer zone are underway, allowing local officials to extend it as needed. Agreement exists on zones around places of worship, but details remain to be finalized. — Nick Reisman
From the Capitol
HANTAVIRUS IN NEW YORK: Three New Yorkers, who were on a cruise ship linked to an international hantavirus outbreak, are being quarantined in Nebraska, according to state Health Commissioner James McDonald. The individuals are at Offutt Air Force Base, where they will undergo a 42-day monitoring period.
“While the Department is working in close coordination with the Centers for Disease Control and Prevention and local health departments to gather information, at this point it is unclear how long they will stay in Nebraska and whether, or when those individuals intend to return to New York,” McDonald stated.
“At this point, it is important to emphasize that there is no immediate risk to the public. We will continue to monitor the situation and provide updates as needed,” he added.
When asked about the risk of the virus to New Yorkers, Hochul mentioned that the state health agency is collaborating with the CDC and monitoring the federal government to ensure preparedness for any outbreak.
“I want to make sure that the CDC is capable of handling something that could be larger than they are predicting, and I say that because I know that over a year ago, there were significant cuts to the CDC,” Hochul said. “We have outstanding resources here in the state of New York…so I’ve activated them to start preparing New York for worst-case scenarios and hope they do not come.”
She emphasized that the state is developing a plan to manage any virus spread, but she does not expect it to escalate into a pandemic like COVID-19. Briefings will commence if it extends beyond the three individuals brought from the ship. — Katelyn Cordero
GOV’S SOCIAL ACCOUNT RECEIVES PRAISE: New York State’s social media accounts, known for their humor and irreverence, were recognized as a Webby Awards “Honoree” last week, as shared by Hochul’s office with Playbook.
The accounts, under the handle @NYGov on Instagram and X, are distinct from the “Governor Hochul Press Office” account, which recently criticized Barstool Sports founder Dave Portnoy.
@NYGov, also called “State of New York” on X, recently posted messages like “it’s hole filling season” to promote the state’s pothole hotline, or “UNALIVE THOSE FLYS” as a PSA on the spotted lantern fly.
“I’ve always believed that government is for the people, and in order to reach people, we need to communicate like them,” said Milly Czerwinski, a digital content strategist in Hochul’s communications team. “NYGov’s oddity and authenticity has broken down the traditional bureaucratic barriers to reach millions of people. Being weird works — this award is proof of that.” — Jason Beeferman
From City Hall
CCR-CHI COMPLAINT: City Councilmember Chi Ossé has lodged a misconduct complaint against an NYPD officer who arrested him, intensifying tensions between the police department and Mayor Mamdani.
The complaint, shared with POLITICO, accuses the officer of excessive force during an April 22 arrest in Brooklyn, where Ossé and others protested a woman’s eviction, who claims to be a deed theft victim.
The Civilian Complaint Review Board, tasked with investigating police misconduct, has received and is examining Ossé’s complaint, confirmed by a spokesperson.
Ossé, a democratic socialist and ally of Mamdani, asserted that his rights were violated and emphasized his duty to his community. Ossé claims he suffered a concussion from being forcibly taken to the ground.
The NYPD reported that Ossé and three other protesters were arrested after ignoring verbal orders to cease blocking access to the eviction site.
A spokesperson for Mamdani — who expressed concern over video footage of Ossé’s arrest — stated that the mayor respects the CCRB’s independence and will let the disciplinary process proceed based on available evidence and the NYPD’s disciplinary guidelines.
Mamdani, a known critic of the NYPD, faces a challenging situation in dealing with Ossé’s complaint.
If he doesn’t support his fellow democratic socialist, Mamdani risks alienating his left-wing allies. Conversely, condemning the officer may provoke NYPD leadership and rank-and-file officers.
Read more about the CCRB and Ossé from Chris Sommerfeldt in POLITICO.
CASE RESOLVED: Councilmember Vickie Paladino reached a settlement with the City Council over disciplinary charges related to her controversial social media posts.
The agreement includes the withdrawal of the Council’s disciplinary charges, and Paladino will dismiss her lawsuit challenging the proceedings.
Filed in Manhattan Supreme Court on Monday, the settlement effectively nullifies the charges and cancels a potential ethics hearing that might have resulted in censure, fines, or expulsion. As part of the settlement, Paladino must delete three specific posts. She is also required to remove “Council Woman” from her personal X account display name within 48 hours of court approval, clearly separating her official posts from personal opinions, as informed by someone familiar with the agreement’s terms.
The case originated from inflammatory posts starting in December, including a deleted call for the “expulsion of Muslims from western nations,” prompting the committee’s investigation.
In February, Paladino described New York as “foreign-occupied” following Mamdani’s appointment of a chief immigration official. She questioned the administration’s composition and labeled a photo of Muslim sanitation workers praying as an “Islamic conquest.”
The Council’s Rules and Ethics Committee charged Paladino with disorderly conduct and breaching its anti-harassment and discrimination policy in March.
Paladino sued to halt the proceedings, claiming persecution for her conservative views and a violation of her First Amendment rights by the discipline.
As part of the settlement, Paladino must affirm she did not intend to make colleagues or staff feel “unwelcomed or unsafe.” Councilmember Sandra Ung, chair of the ethics committee, stated on Monday that the resolution “strikes the balance” between protecting staff and safeguarding lawmakers’ free speech rights.
Both parties agreed to issue limited public statements and refrain from further comments. — Gelila Negesse
From the Campaign Trail
AI IN FOCUS: Rep. Pat Ryan endorsed state Assemblymember Alex Bores as a candidate to replace retiring Rep. Jerry Nadler, becoming the latest New York delegation member to comment on one of the state’s most competitive primary races.
Ryan, a Hudson Valley Democrat, highlighted the high-stakes AI debate central to the race as a primary reason for supporting Bores.
“He’s going to be the next member of Congress for the New York 12th District,” Ryan said at a Midtown event with Bores. “If you have any doubt, you don’t have to take my word for it — follow the money. Look at the incredible unprecedented amount … It’s because these tech billionaires are terrified, they’re terrified of Alex specifically.”
A pro-artificial intelligence super PAC has spent millions against Bores, a former critic of data analytics firm Palantir and sponsor of the AI safety RAISE Act in the Legislature, drawing financial support from regulation-friendly AI and tech groups to back him.
Bores’ campaign stated that both he and Ryan “share a belief that the next Congress must take decisive action to regulate artificial intelligence before this transformative technology outpaces the rules meant to govern it” — a debate ongoing in Washington and globally.
Bores is considered a leading contender for the 12th District, which covers a large part of Manhattan. He faces competition from Assemblymember Micah Lasher, Kennedy family member Jack Schlossberg, anti-Trump commentator George Conway, and several lesser-known challengers. Public polling is scarce in the race, and earlier internal polls do not indicate a clear leader. — Madison Fernandez
In Other News
— TIME IS RUNNING OUT: Mamdani has less than a month to appoint two longstanding vacancies on the Metropolitan Transportation Authority board, crucial for his vision of making city buses “fast and free.” (THE CITY)
— A CLOSE RACE: Hochul campaigned alongside Rep. Dan Goldman, who seeks reelection in New York’s 10th congressional district, facing a primary challenge from Mamdani-supported Brad Lander. (Gothamist)
— SARCONE UNDER SCRUTINY: The lead prosecutor in the U.S. attorney’s office for the Northern District of New York faces misconduct allegations according to the watchdog group Campaign for Accountability. (POLITICO Pro)
Missed this morning’s New York Playbook? We forgive you. Read it here.
