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Hochul Unveils $260 Billion N.Y. Budget That Avoids Raising Taxes
Gov. Kathy Hochul of New York, who faces re-election this year, said that the state budget faced “real volatility” because of threats from President Trump.

Gov. Kathy Hochul of New York on Tuesday released a preliminary $260 billion executive budget that called for significantly expanding child care services, lowering energy bills and rebuilding critical infrastructure like sewers and mass transit.
In doing so, the governor made good on her vows from her State of the State address last week by honoring a longer-term pledge not to raise income taxes — especially urgent in a year where she faces a contested re-election.
“This budget reflects two realities at one time,” Ms. Hochul told reporters gathered in the Capitol’s stately Red Room. “We do have real momentum here in New York. It’s real, you can feel it. But we have volatility ahead, because of the uncertainty out of Washington.”
The threat of more federal cuts hung over the state budget, helping drive a spending plan that largely kept expenses stable. New York received $93 billion from the federal government this year, but already there are indications that President Trump will reduce funding in the fiscal years ahead.
The president warned last week that his administration would withhold funds from any state that contained a so-called sanctuary city that restricted collaboration with immigration officials. (New York has several.) The state cooperates with Immigration and Customs Enforcement on instances in which an immigrant is accused of a crime; it does not cooperate with civil immigration enforcement. The state is exploring legal options to fight such cuts, Ms. Hochul said.
The budget will be hashed out with leaders of the State Assembly and Senate in the coming months, and is due by April 1 — a date that state leaders have tended to view as more of a suggestion than a deadline.
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