A budget is born

Apr 28, 2023

By Anna Gronewold, Bill Mahoney and Zachary Schermele

Presented by Resorts World New York City

New York Gov. Kathy Hochul provides an update on the fiscal 2024 Executive Budget during an evening news conference in the State Capitol on April 27, 2023.

New York Gov. Kathy Hochul provides an update on the fiscal 2024 Executive Budget during an evening news conference. | Mike Groll/Office of Governor Kathy Hochul

It’s finally here.

After nearly a monthlong stalemate, Gov. Kathy Hochul announced last night that there’s a deal on a $229 billion budget.

During an evening briefing at the Capitol that did not include legislative leaders, Hochul said she, Assembly Speaker Carl Heastie and Senate Majority Leader Andrea Stewart-Cousins had finalized a framework for this year’s spending plan that was supposed to pass by March 31.

Still, lawmakers have mostly returned to their districts, and no bills were printed yet. It will probably still be several days until final passage.

Hochul laid out the basic elements of the handshake deal, many of which had already emerged in recent days:

— It will include a third set of changes to the state’s bail laws since they were enacted in 2019. It will not include a proposal to change the laws on discovery that was being discussed as part of the public safety conversation;

— There will be language designed to crack down on illegal marijuana retailers, which was one of the final sticking points. Details were sparse, but it will be “aggressive” and attempt to penalize those sellers who aren’t paying taxes, Hochul said;

— It will include a plan to raise the minimum wage to $17 an hour, starting with $16 an hour next year in New York City, and then indexing it to inflation within a few years;

— It will create a pilot program for free service on five MTA bus lines, and the city will be on the hook for $165 million to fund the transit system;

— It will also include the largest Medicaid rate increase in two decades, and what Hochul called “critical policy changes” in the area of mental health.

— It notably does not include almost any language on housing after the plan’s rapid dissolution last week. In that arena, Hochul said there will be $391 million in rental assistance, largely aimed at helping the troubled New York City Housing Authority.

“Did we accomplish what this moment called for?” she said. “Did we make a difference in the lives of New Yorkers? We’re going to be able to answer that question yes.”

IT’S FRIDAY. Got tips, suggestions or thoughts? Let us know ... By email: agronewold@politico.com or on Twitter: @annagronewold

WHERE’S KATHY? In Albany and Onondaga County, where she will make an announcement with Micron Technology, the computer chip manufacturing company.

WHERE’S ERIC? In New York City, where in the morning he will attend a summit on reimagining the child care system. Then he will appear live on Caribbean Power Jam Radio’s “The Reset Talk Show” before attending the funeral of Willis Wayne Moore, the parking garage manager who died in the collapse in lower Manhattan last week. Then he will speak at a hiring hall for DCAS followed by a street co-naming in Jamaica, Queens. In the evening he will speak at the South Asian Youth Action Annual Gala.

A message from Resorts World New York City:

Resorts World is a partner with purpose we can trust -- @ResortsWorldNYC has provided job training programs, top industry wages to workers and support for union employees through the pandemic. Since its opening in 2011, Resorts World NYC has generated more than $3.7 billion in revenue for the state’s lottery education fund, helping to finance high-quality programming for students throughout NY.

What City Hall's reading

Two top City Hall officials head for the exit, by POLITICO’s Sally Goldenberg: Chief Counsel Brendan McGuire and Communications Director Maxwell Young will head out sometime over the summer, according to three people with knowledge of the departures who were granted anonymity to speak freely about a private matter. Neither has settled on their next job and their replacements have not yet been chosen, the people said.

“Eric Adams wants FEMA to ban cities from busing migrants to NYC — as 1,300 arrive this week alone,” by New York Post’s by Bernadette Hogan and Emily Crane: “Mayor Eric Adams wants the Federal Emergency Management Agency to stop other states from shipping migrants to New York City — as the number of asylum seekers arriving in the Big Apple surged to 1,300 over a three-day stretch this week, sources told The Post Thursday.”

“Cabbies can't sue NYC over Uber, Lyft impact on license values,” by Reuters’ Daniel Wiessner: “New York's top state court on Thursday threw out claims by yellow cab operators that New York City diminished the value of their taxi licenses by failing to rein in app-based competitors like Uber Technologies Inc and Lyft Inc. The New York Court of Appeals in a unanimous ruling said the city's Taxi and Limousine Commission (TLC) never promised yellow cab companies that it would take steps to protect the value of their licenses, which are known as medallions and can cost millions of dollars."

“NYPD data: Few weapons turned up in more than 15,000 pedestrian stops in 2022,” by WNYC’s Samantha Max: “Police found a weapon in about one out of six pedestrian stops last year and found a firearm in about one out of 13 stops, a Gothamist analysis of NYPD data shows. The majority of stops resulted in no arrest or summons. This as pedestrian stops increased about 70% during Mayor Eric Adams’ and NYPD Commissioner Keechant Sewell’s first year at the helm, according to NYPD data.”

“So, which bus routes should be free?” by City and State’s Jeff Coltin: “‘Hard to choose!’ Manhattan Borough President Mark Levine told City & State Thursday night. ‘But I am going to say M101 because it connects all the neighborhoods uptown, and goes all the way down to St. Marks Pl.’”

#ZooYork: The Bronx Zoo’s escaped peacock got a night out, an audience, a chomp on a man’s leg, and the nickname Raul.

DON’T MISS THE POLITICO ENERGY SUMMIT: A new world energy order is emerging and America’s place in it is at a critical juncture. Join POLITICO on Thursday, May 18 for our first-ever energy summit to explore how the U.S. is positioning itself in a complicated energy future. We’ll explore progress on infrastructure and climate funding dedicated to building a renewable energy economy, Biden’s environmental justice proposals, and so much more. REGISTER HERE.

WHAT ALBANY'S READING

“Capitol’s covert day care center serves Democratic state lawmakers,” by Times Union’s Brendan J. Lyons: “The nondescript conference room on the ninth floor is, like the rest of the building, in an area of the Capitol complex that requires visitors to pass through security checkpoints. Otherwise, it’s guarded only by a small Ring security camera that’s discreetly affixed to the top of the main door. For months, the room has housed a small unlicensed day care center providing care to a select number of Democratic Assembly members, many of whom bring their children along when they take part in legislative meetings and other government business.”

“Lawyer Up: Class-Action Suits Are Thriving in New York,” by The New York Times’ Britta Lokting: “Consumer class-action lawsuits can range from the absurd to the righteous. And New York City is a hot spot for them — for lawyers, plaintiffs and the companies in between. Since 2015, over 700 complaints have been filed in federal court in New York against major companies like Pfizer and Iberia Foods for deceptive and false advertising practices, according to a 2021 New York Civil Justice Institute report.”

“Backed by State AG Letitia James, Lawmakers Introduce Bills to Combat Deed Theft,” by THE CITY’s Samantha Maldonado and George Joseph: “State lawmakers on Thursday introduced new legislation to crack down on deed thieves, scammers who seek to steal properties, often from Black and Latino homeowners. And state Attorney General Letitia James is championing the cause in a bid to keep New Yorkers in their homes and protect generational wealth. Two separate bills would bolster law enforcement’s ability to go after the scammers and provide legal mechanisms that could slow down predatory real estate speculation.”

#UpstateAmerica: “Amsterdam man builds miniature replica of Stewart's Shop from Legos”

A message from Resorts World New York City:

TRUMP'S NEW YORK

“Who is Lewis Kaplan, Judge in Carroll Case Against Trump?” by The New York Times’ Benjamin Weiser: “‘It’s very clear being in his courtroom that he actually understands that he has lifetime tenure,’ said Jennifer L. Keller, a lawyer who represented Kevin Spacey last year when a jury found him not liable in a suit that accused him of making a sexual advance in 1986 on the actor Anthony Rapp, who was 14 at the time. ‘He is somebody who is not going to be moved by public sentiment, by fear, by worries about how he’ll be perceived,’ Ms. Keller said.”

HAPPENING NEXT WEEK! GO INSIDE THE 2023 MILKEN INSTITUTE GLOBAL CONFERENCE: POLITICO is proud to partner with the Milken Institute to produce a special edition "Global Insider" newsletter featuring exclusive coverage, insider nuggets and unparalleled insights from the 2023 Global Conference, which will convene leaders in health, finance, politics, philanthropy and entertainment from May 1-4. This year’s theme, Advancing a Thriving World, will challenge and inspire attendees to lean into building an optimistic coalition capable of tackling the issues and inequities we collectively face. Don’t miss a thing — subscribe today for a front row seat.

AROUND NEW YORK

— The MTA will no longer provide real-time service alerts on Twitter.

— Three Rensselaer County government officials charged with fraud and intimidation.

— Rudy Giuliani, during a podcast, admitted to using a “dirty trick” that aimed to suppress Hispanic voters in New York City during his 1993 mayoral campaign.

— Joe Percoco was released from a halfway house after serving a prison sentence for a 2018 fraud conviction.

— Ed Sheeran sang and played guitar on the witness stand in a Manhattan courtroom.

— “Too much space? The push to downsize offices is accelerating in Buffalo.”

SOCIAL DATA BY DANIEL LIPPMAN

HAPPY BIRTHDAY: Scott Mayerowitz … Time’s Chris Wilson … Josh Schwerin of Saratoga Strategies … Wally McTeigue … Jason Schwartz … Katie Burke … Robert Murstein

A message from Resorts World New York City:

Real Estate

“New York Officials Failed to Address the Housing Crisis. Now What?” by The New York Times’ Luis Ferré-Sadurní and Mihir Zaveri: “The state seemed poised to take the first meaningful action in decades to address its deep housing shortage. But the plans fell apart, in yet another indictment of dysfunction in Albany.”

“Tenants and Landlords Make Pitch to Rent Guidelines Board Ahead of First Hike Vote,” by THE CITY’s Jonathan Custodio: “With a vote on rent hikes for a million apartments looming next week, tenants and landlords pleaded their case to the Rent Guidelines Board in a five-hour meeting Thursday — with one side asking for a rent freeze and the other for an increase at a scale the city has not seen in years.”

Follow us on Twitter