Governor Hochul released the 2022-23 Executive budget thus starting the beginning of the budget process. The Assembly and Senate will release their one-house budgets in March, and these three proposals will be the basis for three-way budget negotiations with a final budget likely to be adopted on April 1, 2022.
Governor Hochul’s $216 billion 2022-23 Executive Budget is a $4 billion increase from last year’s budget. Governor Hochul’s proposal would also include a $2 billion set aside for pandemic recovery initiatives. In a departure from the previous administration, Governor Hochul, in her address, pledged to work with the New York State Legislature on where the $2 billion in pandemic recovery funding is best needed.
Governor Hochul highlighted that although there will be increased spending in her budget plan, the budget will be balanced. The combination of increased tax receipts, the stock market, and ARPA/Infrastructure Act funding received and forthcoming will allow for a balanced budget. Given the current workforce challenges across industries, Governor Hochul’s executive budget also proposes significant investments in workforce development for healthcare, education, and workforce programs in high-demand fields across the state. These are necessary investments to meet employer needs not only short term but also in the long term.
Some of the highlights of the Governor’s budget proposal include:
• $32 billion Capital plan including $1 billion for “Operation Pothole,” which provides much-needed funding for localities to fix roads and streets.
• $1 billion in bonuses for healthcare workers and $1.6 billion for healthcare facilities and nursing homes.
• $31 billion in school aid.
• $1.4 billion in childcare
• $1 billion to support small business.
• The budget will increase operation support for SUNY and CUNY and add $1.5 billion over the next five years with a $150 million expansion of TAP
and expanding it to include incarcerated individuals.
• $4 billion for landmark clean water, clean air, and green jobs environmental bond act and Governor Hochul’s proposal will include a record level of funding for the Environmental Protection Fund.
• $500 million for off-shore wind program
Once the actual bill texts post, The Business Council will provide members with a more detailed analysis of the budget proposal.