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The state budget is done. What we learned.

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Apr 22, 2024 View in browser
 
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By Nick Reisman, Jeff Coltin and Emily Ngo

Presented by 

With help from Shawn Ness

January 16, 2024 - Albany, NY - Governor Kathy Hochul presents the Fiscal Year 2025 Executive Budget in the Red Room at the State Capitol.

The budget is finally done after three long weeks. | Mike Groll/Office of Governor Kathy Hochul

The state’s $237 billion budget is meant to address issues voters have consistently cited as chief concerns: the cost of living and crime.

And as the ink is drying on the three-week late spending package approved by lawmakers over the weekend, members of both parties agree it will take time for New Yorkers to feel any impact from a sweeping housing package, an effort to address retail theft and a crackdown on illegal cannabis shops.

And it won’t stop Republicans from making crime a key issue in this year’s elections for all 26 House seats and 213 state legislative contests.

“In my opinion, it’s not enough,” Republican Assemblymember Michael Durso told Playbook. “We didn’t go far enough with it to punish those and hold those accountable who are breaking the law. It was just enough so they (Democrats) could put out a political mailer and say we’re changing public safety policy.”

The final budget plan largely accomplished what Gov. Kathy Hochul set out to do when she unveiled her agenda in January. She won a housing plan, tougher penalties for addressing retail theft and assaults on workers and the creation of 23 new hate crimes.

She was also able to get Mayor Eric Adams’ priorities over the finish line, which included housing, an extension of his control over public schools in the city and the cannabis crackdown.

The housing legislation was the most complex — a package that included measures to address tenant protections, a new tax incentive for building and an unprecedented $650 million for communities outside of New York City to expand infrastructure and encourage development.

And while lawmakers and Hochul insisted increasing housing supply was among the most pressing issues, it may have the longest time horizon before voters feel any noticeable change in their hometowns. And might not have any immediate impact at the polls this November.

Hochul’s target for housing has been measured in years, with the goal of 800,000 new units in a decade.

“It’s going to take us a while to see the impact of these,” said RuthAnne Visnauskas, the commissioner of Homes and Community Renewal and the top-ranking housing official in Hochul’s cabinet. “Some of these are short term and others are more long term.”

The reviews of the housing deal have been mixed, too.

Unions love the provisions meant to strengthen wages for their workers, but left-leaning tenant advocates and the real estate industry have been far less enthusiastic.

Tenant advocates have called the final agreement a “gut punch” for not going far enough to protect low-income renters. The real estate industry has cast doubt over whether the new tax incentive 485x will spur affordable home construction as it is intended.

Democratic lawmakers acknowledge the housing deal was far from perfect.

But with many facing voters in June primaries where the cost of housing is expected to be a salient issue, lawmakers were eager to move forward with an agreement that they can go home and tout — especially new protections for tenants that are part of the Good Cause eviction bill first proposed five years ago.

“When you think about the fact that it’s two houses, plus a governor and its negotiations — this is the nature of that beast,” Assemblymember Catalina Cruz, a Queens Democrat, said.

Nevertheless, Democrats running for reelection will point to a range of issues — from allowing New York City to lower its speed limits on many streets to less than 25 mph, as well as grant money to expand access to abortion services — as victories when they face voters. — Nick Reisman

IT’S MONDAY. Happy Passover. Got news? Send it our way: Jeff Coltin, Emily Ngo and Nick Reisman.

 

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DO WE HAVE A BUDGET YET? YES! (And thus concluding this three-week-long feature. Until next year!)

WHERE’S KATHY? In New York City, with no public schedule.

WHERE’S ERIC? In Miami, delivering remarks at “Proven Policy and Solutions: The Impact of Climate Partnerships,” participating in “The Migration Crisis in the Western Hemisphere” fireside chat and then in the “Role of Migration in Building Inclusive and Prosperous Societies” discussion.

QUOTE OF THE DAY: “In a world where you have many, many people whose job it is to raise the temperature, having an organization where we can maybe lower it and focus on the policy itself is useful.” — Assemblymember Alex Bores, on the state Legislature’s bipartisan Future Caucus of younger lawmakers, the Times Union reported.

ABOVE THE FOLD

Police in Riot gear stand guard as demonstrators chant slogans outside the Columbia University campus.

Republicans want people involved in the pro-Palestine protests on Columbia's campus to be held accountable. | Mary Altaffer/AP

CAMPUS IN CRISIS: Chaos escalated Sunday at Columbia University, with the White House and a slew of lawmakers condemning an antisemitic incident on campus and Rep. Elise Stefanik (R-N.Y.) calling on the university’s president to resign.

As an encampment of over 150 pro-Palestinian student protesters entered its fifth day and recently admitted students and their parents toured the school, a viral video depicting protesters telling pro-Israel students to “go back to Poland” and holding a sign calling them “Al Qasam’s next targets” — referring to Hamas’ military wing — circulated online.

A screenshot of a message from a Columbia-affiliated rabbi advising Jewish students to leave the campus also went viral. (Columbia and Barnard Hillel wrote on X it does not “believe that Jewish students should leave” the school while calling for greater protections from the university and city.)

“While every American has the right to peaceful protest, calls for violence and physical intimidation targeting Jewish students and the Jewish community are blatantly antisemitic, unconscionable, and dangerous,” White House deputy press secretary Andrew Bates said in a statement.

Lawmakers piled on. “The First Amendment protects the right to protest but students also have the right to learn in an environment free from harassment or violence,” Hochul wrote on X. “At Columbia or any campus, threatening Jewish students or glorifying the terror of October 7 is antisemitism.”

“This is not a ‘protest.’ This is vile,” Manhattan Borough President Mark Levine wrote on X. Democratic Florida Rep. Jared Moskowitz and disgraced former New York GOP Rep. George Santos both promised to walk Jewish students to classes on campus.

And Stefanik, who grilled Columbia President Minouche Shafik during a congressional hearing on antisemitism, called on Shafik to resign, saying in a statement the school’s leadership “has clearly lost control of its campus putting Jewish students’ safety at risk.” A Columbia spokesperson declined to comment.

Adams said in a statement he was “horrified and disgusted with the antisemitism being spewed at and around the Columbia University campus” and urged the administration to “improve and maintain an open line of communication with the NYPD,” which is not allowed on campus unless the university authorizes it.

On Thursday, dozens of officers arrested over 100 pro-Palestinian protesters who had refused to leave the encampment, which violated the university’s demonstration policies. Following the arrests, the encampment moved to a nearby field.

Columbia also faced criticism from progressive lawmakers and free speech hawks who pushed back on the arrests, with Rep. Alexandria Ocasio-Cortez posting on X: “What merits asymmetric crackdowns on human rights protests?”

On Saturday, Council Members Shahana Hanif, Sandy Nurse, Alexa Avilés and Tiffany Cabán joined the protesters at the encampment.

Columbia University Apartheid Divest, the group behind the encampment, urged supporters not to antagonize counter-protesters and instead “share our values of love and hope,” in an Instagram message.

Betting the school would not authorize a police sweep during admitted students weekend, the protesters again set up their tents, preparing for another chilly night. — Irie Sentner

 

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CITY HALL: THE LATEST

New York Mayor Eric Adams speaks during a news conference.

Most New Yorkers disapprove of Mayor Eric Adams' handling of the migrant crisis, according to a new poll. | Peter K. Afriyie/AP

POOR POLL: Some 61 percent of New York City voters disapproved of the way Adams is handling the influx of migrants, while just 34 percent approved.

That’s according to a Siena College poll out today, conducted last week. You can read more about it, including state voter’s mostly unfavorable view of Hochul, here.

The survey didn’t ask for an overall opinion of Adams, but the negative view of his handling of migrants shows that the mayor’s continued insistence that no city is doing it better — and that other cities are asking him for advice — has not convinced the public.

The result follows a starkly negative poll from the conservative Manhattan Institute on Friday, suggesting Adams’ reelection effort could be in trouble. — Jeff Coltin

JOBS ARE UP: After Adams started publicly lamenting the loss of public safety jobs last month, it seemed like just a matter of time before he’d publicly announce the restoration of police recruit classes.

On Saturday, in a brief press conference called on short notice, he did just that, saying funding would be in his executive budget for the NYPD classes scheduled to start in July and October.

The other classes cut in earlier Programs to Eliminate the Gap, scheduled for January and April 2025, aren’t funded — but there’s a lot of time to change that. One could imagine it being included in the June enacted budget, so the more cop-friendly City Council members could take credit.

The ongoing saga illustrates the tough politics around Adams’ unpopular budget cuts, which he’s blamed on federal fiscal cliffs and unexpected spending on migrants. But the City Council said the mayor’s budgeting was unnecessarily conservative — and increased revenue projections have only boosted their argument.

Now, with a Friday announcement for more funding for schools, and the cops, Adams is previewing some of what he’ll highlight in his executive budget, which is expected to be released this week. — Jeff Coltin

More from the city:

— The federal Justice Department is threatening to sue the NYPD over illegal sidewalk parking for violating the Americans with Disabilities Act. (Streetsblog)

— Randy Mastro’s track record for defending conservatives and their causes may sink his chances of being approved as the city’s new top lawyer. (Gothamist)

— The Department of Education’s plan to install remote door-locking systems in all public schools is well behind schedule. (NY Post)

 

THE GOLD STANDARD OF POLICY REPORTING & INTELLIGENCE: POLITICO has more than 500 journalists delivering unrivaled reporting and illuminating the policy and regulatory landscape for those who need to know what’s next. Throughout the election and the legislative and regulatory pushes that will follow, POLITICO Pro is indispensable to those who need to make informed decisions fast. The Pro platform dives deeper into critical and quickly evolving sectors and industries—finance, defense, technology, healthcare, energy—equipping policymakers and those who shape legislation and regulation with essential news and intelligence from the world’s best politics and policy journalists.

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NEW FROM PLANET ALBANY

Gov. Kathy Hochul announced significant progress in the fight against crime in New York’s Capital Region and across the state.

The newly-approved budget will reclassify 23 new crimes as hate crimes, it also aims to better track incidents. | Mike Groll/Office of Governor Kathy Hochul

KEEPING TRACK: New York’s budget won’t just add 23 criminal offenses that could be charged as hate crimes. Officials also want to keep better track of the incidents.

A provision included in the final budget agreement will require the state court system and the Division of Criminal Justice Services to include whether a hate crime was charged when also reporting out basic pretrial release and detention data.

The effort is meant to keep better track of alleged bias incidents, which have been on the rise in New York over the last several years.

“Not addressing hate as an incredibly corrosive impact on communities,” Assemblymember Grace Lee told Playbook. “It normalizes hate against minority communities and it also fails to validate victim experiences.” — Nick Reisman

More from Albany:

— New York is set to provide a first-in-the-nation tax break to aid the struggling local news industry. (POLITICO)

— Republicans are mounting a counteroffensive against the proposed equality amendment New York voters will consider in November. (POLITICO)

— The days of individually wrapped cheese slices may be numbered under a state bill. (New York Post)

NEW YORK STATE OF MIND

— Opening statements are set to begin today in Donald Trump’s criminal hush money trial, and many parts of the proceedings are playing out in the shadows. (POLITICO)

— How NY1 political anchor Errol Louis, also a CUNY adjunct journalism professor, established himself at the heart of New York City politics. (City & State)

— A new lawsuit aimed at the new voting rights law claims to have found evidence of racial disenfranchisement. (State of Politics)

 

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SOCIAL DATA

Mayor Eric Adams performs in the annual Inner Circle show in Manhattan on Saturday, April 20, 2024.

Mayor Eric Adams performed in the annual Inner Circle show in Manhattan on Saturday. | Caroline Rubinstein-Willis/Mayoral Photography Office

Edited by Daniel Lippman

INSIDE THE CIRCLE: “New York City is the Inner Circle of America,” Adams joked in his rebuttal to the annual parody musical show Saturday night.

Adams, again, missed most of the 101-year-old tradition put on by City Hall reporters past and present, which raises money for student journalists — and joked that he wished the show was four acts, rather than three, so he could skip even more of them.

After the journalists spoofed him in song and dance with “Turks and Chaos,” Adams punched back with a stand-up act, jokingly reading from his book “The Finisher: How I Get Stuff Done, Whether it Actually Happened or Not.”

Adams shared: “The truth about Turkey: I only eat it on Tuesdays.”

He also prepared to read a chapter, then stopped. “Wait, I can’t read that shit because Bo Dietl wrote this,” he said, referencing his ally’s recent crude insult to a POLITICO reporter. — Jeff Coltin

IN MEMORIAM: Associate director of outreach with the Mayor’s Office of Ethnic & Community Media, Pedro Frisneda, remembered by Adams for his “exuberance and love” for the city, died Saturday. … Terry Anderson, an AP correspondent who became one of America’s longest-held hostages after being snatched from a Lebanon street, died at 76. … Denny Walsh, a Pulitzer Prize-winning investigative reporter and consummate nuisance to mobsters, corrupt politicians and his editors, died at 88.

HAPPY BIRTHDAY: NYT’s Helene Cooper and Elisabeth Goodridge … CNN’s Arlette Saenz … SKDK’s Josh Dorner … Dahlia Lithwick … MSNBC’s Natalie Munio … Glenn Simpson … Bob Reid … Erica Hinsley … (WAS SUNDAY): NYT’s Jodi Kantor … Felix Salmon of Axios … Katherine Finnerty … Mercury’s Jon Reinish … MSNBC’s Amanda Hayes … Tavi Gevinson ... Ephrat Livni ... Elaine May … Paul Haenle of JPMorgan … (WAS SATURDAY): NBC’s Carol Lee … WSJ’s Molly Ball … CNBC’s Jacob Pramuk ... Peacock’s Annalise Anderson … Daniela Platner … Chukwudi Motanya … (WAS FRIDAY): James Franco ... Brian Tregerman ... Terry Kassel ... Stanley Fish ... Rivka Galchen.

 

POLITICO IS BACK AT THE 2024 MILKEN INSTITUTE GLOBAL CONFERENCE: POLITICO will again be your eyes and ears at the 27th Annual Milken Institute Global Conference in Los Angeles from May 5-8 with exclusive, daily, reporting in our Global Playbook newsletter. Suzanne Lynch will be on the ground covering the biggest moments, behind-the-scenes buzz and on-stage insights from global leaders in health, finance, tech, philanthropy and beyond. Get a front-row seat to where the most interesting minds and top global leaders confront the world’s most pressing and complex challenges — subscribe today.

 
 
YOUR NEW YORK NUMBER OF THE DAY

Third

The state budget approved Saturday was the third latest in the past 20 years, only surpassed by the one finalized May 2 last year and the one in 2010 that extended to early August. (Don’t remind us.)

 

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