Hochul and legislators announce preliminary deal on budget — 28 days after deadline

Gov. Kathy Hochul Reaches $254 Billion Budget Deal with Lawmakers

After nearly a month of delays, Gov. Kathy Hochul has finally announced a $254 billion budget deal with lawmakers in Albany. The massive spending plan includes several key provisions, such as “inflation refund” checks for 8.2 million New Yorkers, a ban on cellphones in schools, and stronger laws for the involuntary commitment of the mentally ill. Additionally, the budget is expected to include a tax hike on businesses to fund the MTA’s $68 billion five-year capital plan.

The announcement comes after a prolonged standoff between Hochul and fellow Democrats in the state legislature. Hochul initially proposed a $252 billion spending plan, but negotiations stalled over the governor’s policy proposals, including a plan to revamp discovery laws governing evidence-sharing requirements in criminal cases.

Key Points of the Budget Deal

One of the major sticking points in the negotiations was Hochul’s proposal to address what she saw as frivolous criminal case dismissals under the 2019 discovery laws signed by former Gov. Andrew Cuomo. Assembly Speaker Carl Heastie played a key role in brokering an agreement with the five New York City district attorneys to change how evidence is shared ahead of criminal trials.

While the details of the agreement are still being finalized, lawmakers are expected to vote on the nine remaining legislative bills later this week. This budget marks Hochul’s fourth since taking office in 2021 and is crucial as she gears up for a reelection bid in 2026.