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New York Legislature Approves $254 Billion Budget After Month-Long Delay

The record-breaking spending plan includes inflation relief checks, criminal law changes, and a controversial legal defense fund for the attorney general.

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Gov. Kathy Hochul speaks about cell phones in schools while presenting her fiscal year 2026 executive budget in Albany on Jan. 21, 2025.
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Overview

  • The $254 billion budget, the largest in New York's history, was passed over a month after the April 1 fiscal deadline.
  • Lawmakers included $90 billion in federal funding, with potential revisions anticipated if federal cuts are enacted.
  • The plan allocates $2 billion for one-time inflation relief payments of up to $400 for millions of residents.
  • A provision ensures state coverage of Attorney General Letitia James' legal fees in federal investigations, sparking partisan debate.
  • Additional measures include a ban on smartphone use in schools and new penalties for wearing masks while committing crimes.