1. Governor Hochul Projects Budget Gaps
Due to the impending federal cuts from the federal reconciliation package signed into law earlier this month, Governor Hochul has announced that the state will see budget gaps of $750 million in this fiscal year and more than $3 billion next year. These gaps only reflect the cuts that the state is required to cover, such as the shift of lawfully present immigrants from the Essential Plan to Medicaid. In order to maintain the spending levels set by the FY2025 budget, the state will need to fill a funding gap of more than $6 billion this year. As these federal cuts are implemented over the next five years, the state will need to make tough decisions to fill the gaps. This may mean increased taxes, cuts to programs and services, layoffs and hiring freezes, closing of health care facilities, and fiscal austerity– which means no reforms to Tiers 5 and 6 and less generous collective bargaining agreements.
Unfortunately, Speaker Mike Johnson and House Republicans plan to pursue as many as two additional reconciliation bills ahead of the 2026 mid-term elections. These bills are expected to make even deeper cuts to Medicaid any other programs.
CSEA is fighting back, but we need your help! Join the fight by becoming a federal advocate here.
2. Rep. Lawler Not Running for Governor
This week, U.S. Rep. Mike Lawler (NY-17), who represents parts of the Hudson Valley in the U.S. House of Representatives, has confirmed that he will run for re-election, rather than challenge Gov. Kathy Hochul in 2026. This reduces the number of potential Republican gubernatorial candidates to two: U.S. Rep. Elise Stefanik (NY-21), and Nassau County Executive Bruce Blakeman. Rep. Stefanik announced this week that she will not be making a decision on whether to run for governor until after the General Election in November. Governor Hochul is also facing at least one primary challenger, Lt. Gov. Antonio Delgado.
3. DiNapoli Releases OT Report
The State Comptroller’s Office has released its 2024 report on the use of overtime by the state workforce. Overtime hours continue to rise, reaching $24.5 million, which is an increase of 1.8 million compared to 2023. Still, there are signs of progress. At OPWDD, overtime dropped by more than 10 percent (-652,900 hours) and the agency added more than 1,000 employees. Overall, the state workforce saw 17,504 new hires, the largest number in over a decade. CSEA remains committed to advancing policies that strengthen recruitment and retention, improve staffing levels, and reduce the burden of mandatory overtime.
4. CSEA Legislative Toolkit
We’re encouraging members to get the word out about our legislative successes. Click the icons below for informational documents that you can print, share, and post on social media to spread the news. You can also check out our summary of the 2025-2026 New York State Budget.
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