JANUARY 21– COUNTIES’ STATEMENT ON 2027 NY STATE BUDGET

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Joint Statement from NYSAC President Philip R. Church and NYSCEA President Hon. J. Ryan McMahon, II

Governor Hochul’s SFY 2027 Executive Budget reflects a clear recognition of the fiscal and operational challenges facing New York amid ongoing federal uncertainty. We commend the Governor for advancing a spending plan that protects the State and counties from disruptive federal cost shifts, including preserving the local Medicaid cap—an action projected to save counties and New York City $9.2 billion in FY 2027 alone.

We are especially encouraged by the Governor’s continued commitment to local infrastructure investment, which is essential to supporting housing development, attracting businesses, and strengthening regional economies.

The Executive Budget commits $3.75 billion over five years for clean water infrastructure and proposes a $425 million Environmental Protection Fund to protect water quality and build climate resilience. The Budget also includes $50 million in new funding for the County Infrastructure Grant Program, increasing the maximum award to $1.5 million, and recognizing that counties must have the resources to prepare sites and build the infrastructure necessary for housing and economic development projects to move forward.

We also commend the Governor for making substantial investments to support job creation, economic development, and affordable housing across the state. This includes $150 million for Regional Economic Development Councils, $200 million combined for the Downtown Revitalization Initiative and New York Forward, $300 million for the POWER UP Fund to create shovel-ready sites, $100 million in capital funding for Pro-Housing Communities, and $170 million to expand and strengthen land banks.

Most importantly, the Executive Budget maintains core local assistance programs and avoids new unfunded mandates during a period of declining federal aid. The Governor’s budget represents the first step in this process and as we move forward, counties look forward to working with the Governor and Legislature to ensure that the aforementioned priorities remain in the final budget and that local governments have the tools, flexibility, and resources needed to deliver essential services, grow local economies, and meet the needs of New Yorkers in every community.

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