Speaker Carl Heastie and Ways and Means Committee Chair Helene E. Weinstein today announced that the Enacted State Fiscal Year (SFY) 2022-23 Budget makes critical investments in programs that will help New York families to meet the challenge of inflation and rising gas prices.
“The last two years have been especially hard on families across our state, and now they are seeing increased inflation and sky high gas prices,” Speaker Heastie said. “This year’s budget puts New York families first, making historic investments in programs that make a difference in the day to day lives of New Yorkers while providing real relief for hard working men and women across the state.”
“This budget invests in our families and in ensuring that New Yorkers have the tools and resources they need to succeed,” Assemblymember Weinstein said. “From education to tax relief to childcare and housing, this budget addresses the core issues that New Yorkers worry about at their kitchen tables. I am proud that we were able to craft a budget that will make a real impact and help so many of our friends and neighbors.”
The budget includes critical tax credits and rebates to help New York families. It accelerates the phase-in of the middle class tax cut from 2025 to 2023, which will save New York families $162 million in SFY 2022-23 and $615 in SFY 2023-24. The budget also provides critical tax credits, including:
- A one year property tax rebate credit for households that are eligible for STAR and Enhanced STAR and have incomes below $250,000;
- Supplemental earned income tax credit (EITC) to taxpayers equal to 25 percent of their 2021 EITC benefit, which would be an average of $190 per taxpayer; and
- Supplemental Empire State Child Credit for families with children over the age of four and would be calculated based on the taxpayers' 2021 Empire State Tax Credit.
With gas prices soaring, the budget includes a 16 cent per gallon gas tax holiday that will last from June 1 through December 31, 2022. This provision would also allow counties to cap their sales tax at $4 per gallon.
Access to quality, affordable childcare became especially difficult during the pandemic, forcing parents, and especially mothers to leave the workforce. The SFY 2022-23 Budget makes critical investments in childcare to help make it more affordable for New York families by increasing eligibility for subsidies up to 300 percent of the federal poverty level. It would also increase market rate reimbursement at 80 percent and would provide stabilization grants including funds for wages and other provider needs. The budget includes a five year property tax abatement for property owners that expanded or created a new child care center in New York City.
An investment in children’s education is an investment in the future of New York. This year’s budget includes an historic $31.2 billion in School Aid, and $21.3 billion in Foundation Aid. It also includes $1.1 billion for Universal Prekindergarten.
Higher education is a critical rung on the ladder to a successful future. The enacted budget makes a final payment to double the state’s investment in opportunity programs, providing approximately $100 million in expended funding since 2015. The SFY 2022-23 Budget provides $203 million, a $6 million increase, to opportunity programs across the board, $24 million over the SFY 2021-22 Budget.
Rental & Housing Arrears
Many New Yorkers were unable to pay their rent or their mortgage as a result of the COVID-19 pandemic. This budget makes critical investments in rent and homeownership relief to help New Yorkers stay in their homes, including $1.1 billion in funding for the Emergency Rental Assistance Program (ERAP) and the Landlord Rental Assistance Program (LRAP), as well as $250 million for a utility arrears program, to be administered by the Department of Public Service.
New York State’s health care system and hospitals have been at the front line of the state’s response to the COVID-19 pandemic. The enacted budget makes critical investments in the hospitals that New Yorkers rely on by adding an additional $800 million for distressed hospitals, for a total of $1.15 billion. It also includes $1.6 billion for capital projects.