Gov. Kathy Hochul is proposing a $233 billion budget for the next fiscal year in New York State, including sending New York City a whopping $2.4 billion to deal with the ongoing migrant crisis.
The money dedicated for asylum seekers would include around $1.9 billion in itemized funds, which matches the same spending level of the previous fiscal year, and an additional $500 million coming from the state’s reserves, the governor’s office said.
Totaling $2.4 billion, the money will be used for housing, job placements, and legal services for new arrivals, the governor said.
The announcement is welcome news for New York City, which has seen more than 168,000 migrants arrive since the current asylum seekers crisis began nearly two years ago — and has caused Mayor Eric Adams’ administration to plead for more assistance in dealing with the fallout.
“This city is moving in the right direction in spite of dealing with the 168,000 migrants and asylum seekers that we had to endure since early spring of 2022. Over 69,000 are still in our care,” Adams said on Friday. “Over 57 percent were able to stabilize and move out of the system, but there’s still a serious, serious budgetary restraint on our cities.”
With migrants continuing to arrive, and many forced into the shelter system, Adams has proposed cuts to services in other aspects of the city’s budget, such as to libraries, as the costs have ballooned.
“And all of this has created what we’re facing right now, particularly a potential $12 billion gap in our budget because of the migrants and asylum seekers,” Hizzoner continued. “These are real fiscal challenges, a $7 billion budget gap going into the next two out years.”
After learning of Hochul’s $2.4 billion commitment for the coming fiscal year, Adams hailed the announcement.
“We thank Governor Hochul for recognizing all the Adams administration has done to successfully manage the asylum seeker crisis — helping more than 100,000 migrants take the next steps in their journeys,” the mayor said.
Seeking federal help
Hochul, in announcing the $2.4 billion to be spent on the crisis, pleaded with the federal government to step in and do more — both by offering more funds to states and localities, as well as by fixing the flaws in the nation’s immigration system.
“Since Day 1, I have said that this is ultimately the responsibility of the federal government to address this crisis,” Hochul said in a Tuesday morning speech. “Congress must remain at the negotiating table until they restore the rule of law on our border, fix our asylum system, and provide relief to states like New York who have been shouldering this burden for far too long.”
Currently, the White House is in talks with the Republican-led House of Representatives on a potential deal to further secure the border, though it is unclear whether those talks will be fruitful in securing further relief.
Absent a deal, though, New York figures to be on the hook for the economic fallout of the crisis for the foreseeable future.
“Each month, we’ve been successful in moving 10,800 migrants per month out of the shelter system. Sounds good, doesn’t it? Except every month 13,600 new individuals arrive,” Hochul said. “That’s why we can’t get our head above water.”
Adams echoed those sentiments, demanding that Washington, D.C. leaders aid the city and state further.
“While we must still review the details, we appreciate the state’s continued financial support and the governor’s agreement that the federal government needs to do more,” Adams said. “The city continues to shoulder too much of the financial responsibility as the federal government fails to step up — and costs continue to grow. We need them to do more.”
In the meantime, Hochul said she hoped the new influx of funds, with a continuation of last year’s $1.9 billion, and an additional one-off payment of $500 million, would help make a significant and long-lasting dent in the crisis.
“In this year’s budget, the state will now maintain that same $1.9 billion in funding, but because the number of migrants and expenses have only grown, I am proposing that we draw $500 million dollars from the state’s reserves that are intended for one-time emergencies like this this — and that will help manage the migrant crisis for a total of $2.4 billion,” the governor said.
