New Yorkers to Feel the Pain of State’s New Budget

As New Yorkers wonder if and when a budget for New York State will be presented after all of the political bickering that has choked the legislative process, it appears that the governor of the Empire State, Kathy Hochul, has delivered a budget that went way over the April deadline and delivered a bad one at that.

Last week, New York legislators who were feeling the pinch to get this budget completed began passing budget bills that were not only a month late but were unread. This served to ratchet up the outlays to a staggering $229 billion which translates into 32% more in costs than just four years ago.

For the governor’s part, she wanted to lop off $2 billion but found herself acquiescing to the heavy hand of the progressive mob whose mantra is one of limitless spending. In their mind, “to hell with the taxpayer” makes a lot of sense.

These expensive outlays may seem like a victory to the “woke” leftists in the state chambers bit in reality Albany just simply does not have the financial wherewithal to sustain these totally outrageous demands for outlays. To describe them as “outrageous” world be a gross understatement.

The outlays are achieving a number of things including asking City Hall for another $165 million for the MTA when ridership on public transportation has hit new lows thanks to the pandemic and the explosion of violent subway crime. If that is not enough to digest, they are also hitting businesses in the Big Apple that are just recovering from the financial debacle with $1.1 billion more in payroll taxes for the public transit system which has devolved in to a crime stricken mecca. Moreover, these legislators are asking cash strapped counties to come up with added Medicaid costs that that just unaffordable.

They are also using $1 billion from last year and expiring federal pandemic aid as one-shots (money it won’t have going forward). This budgetary imbroglio also means upward of $20 billion in mammoth size holes for the years to come. Definitely not a pretty picture.

Andrew Rein, the head of the Citizens Budget Commission has warned that,  “The budget weakens the state’s financial footing,” risking “massive program cuts or economically harmful tax increases.” He also said that it “sets the stage for a potentially damaging fiscal reckoning.”

Many economic experts have predicted a downswing and they see the decline in revenue. The question is, based on these predictions will New York’s finances be in a position to keep this state afloat.

For such a health-related safety net such as Medicaid, the shift in who is underwriting this program for millions of low income New Yorkers in a real dagger in the pocket books of the taxpayers. By eliminating the cap on local governments’ share of costs, that translates into the imposition of the equivalent of property-tax hikes of 7% to as much as 14%. Let’s take into account that currently New York spends way more on Medicaid than any other state with the exception of California and that is due to the fact that it has twice the size of the population that New York does. At this juncture, however, New York is on course to take the number one slot in Medicaid spending. Also not a pretty picture for the average taxpayer, who is also stretched to the max. Any wonder why people are fleeing this state faster than a bat out of hell?

As per the Empire Center’s Bill Hammond, the governor’s plan sought to hike outlays at least 18% over the next three years.

On other matters that cash is so urgently needed according to legislators is billions more for our abysmally under performing schools. As enrollments have taken a nosedive, no evidence exists that more money thrown at them will improve the level of learning. And let’s not forget that salaries and pensions for public school teachers are also being bankrolled by the taxpayer who sees little or nothing from their tax dollar in terms of academic success of students or improved graduation rates.

But then again, teachers in New York City can never be held accountable for their unsatisfactory performances thanks in large part to the UFT; the most corrupt union in the city. When we see union members chanting “It’s All About the Kids” at their demonstrations to prevent teacher layoffs or budget cuts to the schools, that is essentially a code than means, “It’s not all about the kids, but it is all about protecting teachers’ pensions” despite the fact that they are not doing their jobs and kids are suffering for it.

And speaking of other costs that have been factored into the state budget, there is $300 million designated for an upstate computer-chip maker. Really now?

And while the state is handing out the hard working taxpayer dime, the budget calls for an eye popping increase in how much the television and film industry is getting. Hollywood was receiving a hefty $420 million a year from New York coffers and not Hochul and her acolytes have raised it a whopping 66% to $700 million a year. Boy, we can just imagine what kind  of celebrations are being held in Tinseltown because of this financial windfall.

Pain is also being needlessly inflicted in non-budget areas.  As part of the budget deal, the state legislature and Hochul have now banned gas stoves and gas heating in all new buildings by 2029, forcing them to be all-electric. And by 2035, the only new cars sold here must also be purely electric. The powers that be in Albany have also ordered the New York Power Authority to shut down all its fossil-fuel plants in just seven years — even though gas-fired plants supply nearly half the state’s electricity.  When this comes to fruition, the question will be do they think all the new energy that’s needed for this will come from?

The state’s ludicrous energy plan just forced National Grid to push for gas rate hikes of 17%, following Con Ed’s request to increase its gas charges 20%, and 12% for electricity. No wonder so  very many New Yorkers need public assistance to help defray the high cost of their gas and electric bills. The law dictates that 70% of New York’s power must come from renewables by 2030 — so other gas-fueled plants will also have to close or scale back. Just 10 years later, all gas plants must fold. Not a very promising future as it pertains to energy consumption.

The budget also tabs a jab at those seeking employment and employers as well now that a higher minimum wage is going into effect.

The one thing that the budget has ignored just happens to be the top issue for the state and that is the soaring crime rate. In terms of education, the budget limits new charter schools to a paltry 14 and the promotion of affordable housing has taken a major hit as the budget has failed to replace a key tax break.

It does virtually nothing about the state’s top issue (crime), limits new charters in the city to a measly 14 and fails to replace a key tax break that promoted affordable housing.

It all amounts to more pain for New Yorkers and that simply cannot be tolerated. Hochul and company had best be aware that the taxpayer will respond “loud and clear” at the next gubernatorial election and will not rest until the governor comes to the stark realization that knuckling under to the incessant pressure of the progressive mob will end up with disastrous results.