1/1Skip Ad Continue watchingafter the adVisit Advertiser websiteGO TO PAGE Hochul unveiled the tax plan in her fourth State of the State address Tuesday delivered at a performing arts venue near the state Capitol.
“Let me say this — a state of the state address can be full of flowery rhetoric and still fail to address the needs of the people,” the governor said in her prepared remarks.
Tax cuts have been popular ideas for New York Democrats who are struggling to find their footing following Trump’s election.
— As previously announced, Hochul wants to “address critical gaps in the standards for involuntary commitment” of individuals dealing with mental health crises.
— The governor is proposing $200 million “to make real investments into tangible strategies” to improve downtown Albany, including an overhaul of the New York State Museum.
ALBANY, NY — Governor… The goal of Kathy Hochul’s plan to address voters’ economic anxieties, which contributed to President-elect Donald Trump’s victory, is to reduce state income taxes by $1 billion over the next two years.
Ahead of her 2026 reelection, the Democratic governor is also working to raise her own political profile.
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Hochul gave her fourth State of the State speech Tuesday at a performing arts venue close to the state Capitol, where she unveiled the tax plan. The governor is taking the outcome of the presidential election seriously, as evidenced by the agenda’s emphasis on practical financial concerns, which is presented in a 140-page briefing book.
She suggested lowering the cost of child care, improving mass transit safety, and making it easier to purchase a home in the comparatively expensive state. The tax cut, her top priority and one that needs legislative approval, would impact an estimated 8.3 million taxpayers who are joint filers and make up to $323,200 annually. Rates in five of the nine tax brackets in the state would be lowered.
In her prepared remarks, the governor stated, “Let me say this — a state of the state address can be full of flowery rhetoric and still fail to address the needs of the people.”. It needs to be much more than just grandiose rhetoric, in my opinion. It ought to be a tangible plan that will produce noticeable outcomes for the public. “.”.
Hochul is in a vulnerable position because of the New York Representatives’ possible challenges next year, which have been sparked by his consistently low favorability ratings. Ritchie Torres, a Democrat, and Republican Mike Lawler.
Over the past few weeks, Hochul’s office has been announcing her plans, which include a $3 billion tax rebate plan to combat inflation and stop private equity firms from purchasing single-family homes and an expansion of free school lunches for students.
In order to combat the recently legalized sale of cannabis, she also wants to reduce the economic impact of artificial intelligence on workers, prevent child drowning, and crack down on drugged driving. In her policy book, the words “unlock” and “streamline” are used nine times and two dozen times, respectively.
For New York Democrats who are having a hard time adjusting to life after Trump’s election, tax cuts have been a popular solution.
In an even more difficult reelection campaign this year, Mayor Eric Adams of New York City wants to eliminate the city’s income tax on those making under $46,000. Carl Heastie, the speaker of the assembly, has also hinted that he would be in favor of such an elimination.
The specifics of Hochul’s strategy won’t be known until she makes her budget proposal public next week. By April 1st, when New York’s fiscal year begins, the budget must be approved.
Prior to Hochul’s remarks, Lawler scolded her for supporting a $9 toll program that began this month for vehicles entering Manhattan below 60th Street. The toll will now be $9 instead of $15, as Hochul declared last year. The Hudson Valley lawmaker attacked the governor “as a feckless and failed governor who needs to be replaced in 2026” during a press conference with state Republicans in Albany. “”.
Lawler stated that he anticipates making a decision this year regarding his intention to run for governor of a state that hasn’t had a Republican elected to office in a generation.
“I’ll do everything I can to ensure she doesn’t become governor in 2026,” Lawler declared.
You can view Hochul’s complete briefing book here. Here are a few highlights.
— Hochul is making reducing red tape a major priority. For programs and SNAP, she wants to set up self-service kiosks and digitize the youth working paper application process. Additionally, the governor is suggesting allowing local governments to collaborate with the State of New York Dormitory Authority and streamlining the utility line relocation process during MTA construction projects.
A plan to provide under-resourced households with $100 per month during pregnancy and $1,200 checks at birth is one of the many proposals on her agenda aimed at assisting new parents. To help daycares avoid closing because of staff illness, she wants to create a “Child Care Substitute Pool.”. Additionally, Hochul wants to raise $100 million to build new daycare centers.
— For students 25 years of age and older pursuing associate’s degrees in “high-demand occupations, including nursing, teaching, technology, engineering, and more,” the governor wants to eliminate tuition at SUNY and CUNY community colleges. “.”.
— Hochul is calling for new rules on overdraft fees and algorithms to control pricing on websites. She’s also using affordability rhetoric to frame some of her housing plan’s elements, such as plans to increase the number of starter homes built and offer state funding for down payments. Additionally, the governor wants to make it a 75-day waiting period before institutional investors can place bids on single-family homes that are put up for sale.
Hochul has stated that he intends to “address critical gaps in the standards for involuntary commitment” of people who are experiencing mental health crises. Her public safety agenda also calls for changes to the state’s discovery law, increased assistance for youth victims of crime, and stricter enforcement of the law against driving under the influence of marijuana.
In order to revitalize downtown Albany, the governor is putting up $200 million “to make real investments into tangible strategies,” which includes renovating the New York State Museum.
Hochul is also still working to prevent children from using phones for extended periods of time. Her budget will include her proposal to prohibit internet-enabled devices in classrooms, and as part of the “Get Offline, Get Outside” campaign, she hopes to award community centers grants totaling up to $15 million.
