Senate Announces 2025 One-House Budget Resolution

Albany - The New York State Senate Majority today unveiled its One-House Budget Resolution, a bold and responsible financial plan that invests in the needs of everyday New Yorkers while standing firm against harmful federal cuts. With a focus on affordability, economic opportunity, and fairness, the Senate’s budget prioritizes housing, healthcare, education, infrastructure, and economic development, laying the groundwork for a stronger, more equitable future for all New Yorkers.

“I am proud of the strong One-House Budget Proposal that the Senate Majority is putting forward," said Senator Liz Krueger. "This One-House is laser-focused on delivering for New Yorkers in the face of the affordability crisis. It restores childcare funding, reduces taxes for the middle class, provides tax credits for working families and low-wage workers, and pushes forward with Cap & Invest and other environmental priorities that will save money for the vast majority of New Yorkers while delivering vitally needed progress to fight the climate crisis.”

Highlights of the Senate’s One-House Budget Resolution:

Expanding Affordability: A Long-term Relief Plan for Working Families & Seniors
The Senate Majority is committed to delivering substantial tax relief to working families, middle-class New Yorkers, and seniors. To better support seniors, the Senate modifies the inflation rebate check by focusing relief on them and extending it for three years. The remainder of the funds from the Executive’s proposed $300/$500 rebate program will be reallocated to strengthen the Working Families Tax Credit (WFTC) and expand the Earned Income Tax Credit (EITC), ensuring meaningful, long-term financial support rather than a one-time payment. 
Working Families Tax Credit (WFTC): Investing in Families & Reducing Poverty

• Increased Financial Support per Child: The WFTC provides a maximum credit of $1,600 per child, significantly enhancing the support available to families.
• Inclusive Eligibility Criteria: The credit is available to more families , ensuring that even those with the lowest earnings receive the maximum benefit.
• Quarterly Payments: To assist with ongoing expenses, the WFTC is distributed in quarterly payments, offering families timely financial support throughout the year.
• Inflation Adjustment: The credit amount is indexed to inflation, ensuring that its value remains consistent over time and continues to meet the needs of families.
• Replacing and Expanding Existing Programs: This plan streamlines and strengthens previous benefits, replacing the Empire State Child Tax Credit and leading to a 16% reduction in child poverty.

Earned Income Tax Credit (EITC) Expansion 

• The Senate modifies the Executive proposal to increase and expand the Earned Income Tax Credit (EITC) for individual adults without dependents, ensuring greater financial relief for low-income workers.
• Higher Credit for Single Adults: Recognizing the financial challenges faced by single earners, the expanded EITC provides larger refunds to help cover essential costs like rent, groceries, and healthcare.
• Expanded the Earned Income Tax Credit (EITC) to Younger Workers – Lowered the minimum eligibility age for the state EITC from 25 to 19, allowing more young workers to benefit from this tax relief.
• More Money for Working New Yorkers: By increasing the EITC, the Senate delivers meaningful tax relief to millions of low- and middle-income workers, putting more money in their pockets.

This comprehensive affordability plan prioritizes long-term tax relief over short-term relief, putting more money in the pockets of working families and seniors while ensuring economic fairness. By strengthening these credits, the Senate is making New York a more affordable place to live, work, and retire. 

Fair Taxation: Ensuring Everyone Contributes Equitably
The Senate Majority’s budget ensures economic fairness by requiring the wealthiest individuals and most profitable corporations to contribute more while maintaining New York’s lowest middle- and lower-income tax rates in decades.

• Maintains historically low tax rates for middle- and lower-income New Yorkers.
• Extends and increases the two rates by 0.5% on the High-Income Personal Income Tax (PIT) surcharge for five years.
• Increases the corporate franchise tax to 9% for businesses earning over $5M.
• Ends the luxury yacht sales tax exemption and imposes new taxes on institutional home investors.
• Eliminates tax breaks for fossil fuel companies. 

Key Differences from the Executive Budget:

• Rejects tax breaks benefiting the ultra-wealthy and corporate polluters.
• Expands progressive taxation measures to protect critical state funding. 

Education & Childcare: Creating Pathways for Bright Futures
New York’s children deserve a world-class education and access to the support they need to thrive. The Senate Majority’s budget fully funds Foundation Aid, expands Universal Pre-K and after-school programs, and makes childcare more accessible for working families, building a stronger, more equitable education system for every student.

• $180 million for after-school programming (LEAP grants) to expand learning opportunities statewide.
• $150 million for Universal Pre-K expansion, continuing the Senate’s commitment to early childhood education.
• $500 million for a Child Care Workforce Stabilization fund to get more childcare workers into the field, leading to more slots for working families.
• $25 million for expanding non-traditional-hour childcare, helping working families.
• $680 million increase in Foundation Aid, by increasing the regional cost index in the Hudson Valley & NYC and ensuring all schools get at least a 3% increase.
• The Senate welcomes the Executive’s commitment to their proposal for universal free school meals but goes further by expanding the farm-to-school program, ensuring that more locally sourced food is included in breakfast and snack programs. 

Key Differences from the Executive Budget:

• Increases Foundation aid by $680 million above the Executive’s proposal.
• Enhances universal school meals, strengthening access to nutritious food for students.
• Enhances funding for childcare and after-school programs to support working families. 

Higher Education: Expanding Higher Education Opportunities and Strengthening SUNY & CUNY
The Senate Majority is committed to expanding access to higher education, strengthening SUNY and CUNY, and ensuring affordability for students and families. This budget makes targeted investments in student financial aid, campus infrastructure, and academic programs, ensuring New York’s public colleges remain world-class institutions.

• $74.3 million increase for SUNY and $114 million increase for CUNY, including: ○ Support for SEEK and EOP programs, which provide vital assistance to low-income and first-generation college students.
• Expanded mental health services on campuses, ensuring students have access to critical care.
• Additional funding for nursing and public health programs to strengthen the healthcare workforce.
• Creating a 5-year capital plan of over $1 billion annually for both SUNY and CUNY, ensuring modernized facilities and infrastructure improvements at campuses and hospitals.
• Expansion of the New York Opportunity Promise Scholarship, covering more students pursuing associate degrees at SUNY and CUNY.
• Phasing out graduate student fees, reducing financial burdens on those pursuing advanced degrees.
• Expands access and affordability in higher education by extending loan forgiveness to attorneys serving indigent populations, creating a loan repayment program for youth mental health practitioners, and broadening student eligibility for the Tuition Assistance Program (TAP). 

Key Differences from the Executive Budget:

• Increases funding for student financial aid and affordability programs, ensuring more New Yorkers can pursue higher education.
• Expands investment in capital improvements, supporting campus modernization and hospital infrastructure.
• Strengthens support for student services, including academic assistance and mental health resources. 

Healthcare & Public Health: Quality and Affordable Care for Every Community
This budget prioritizes access to quality healthcare for all New Yorkers, rejecting harmful Medicaid cuts and expanding funding for hospitals, nursing homes, and community health providers. It protects reproductive healthcare, strengthens safety-net hospitals, and addresses provider shortages, ensuring that no one is left behind in their time of need.

• $1.5 billion in healthcare investments, including:
  • $355 million in hospital funding to ensure continued access to care.
  • $250 million for nursing homes, assisted living programs, and hospice services.
  • $100 million for New York City Health + Hospitals.
  • $50 million to support Federally Qualified Health Centers and other critical providers.
• Expanded Medicaid coverage and protections for vulnerable populations.
• $35 million for the Reproductive Freedom & Equity Grant Program, ensuring access to reproductive healthcare.
• $10 million to expand the Doctors Across New York program, addressing provider shortages.

Key Differences from the Executive Budget:

• Increases funding and access for reproductive healthcare and underserved communities, including enhanced provider support through Medicaid rate increases. 

Mental Health & Addiction Services: Expanding Access and Strengthening Support
The Senate Majority is committed to expanding access to mental health care and addiction services, ensuring that all New Yorkers, especially those facing crisis, receive the treatment and support they need. This budget provides critical investments in behavioral health services, addiction recovery programs, and crisis response initiatives to address the ongoing mental health and opioid crisis.

• $100 million increase rates for Children’s Behavioral Health Clinics, ensuring families can access critical services.
• $22 million for the implementation of Daniel’s Law, expanding peer-led crisis response teams to de-escalate mental health emergencies without law enforcement intervention.
• $20 million for Mental Health legislative grants, strengthening community-based services and treatment programs.
• $20 million for Addiction Services legislative grants, expanding access to prevention, treatment, and recovery programs.
• $20 million for jail-based Medication Assisted Treatment (MAT) programs, providing substance use disorder treatment in correctional facilities.
• $15 million for Assertive Community Treatment (ACT) teams, providing high-intensity mental health support for individuals with severe conditions.
• $10 million for a Mental Health Loan Forgiveness Program, supporting professionals entering the behavioral health field.
• $10 million for supportive housing, ensuring housing stability for individuals with mental illness.
• New Medicaid coverage for certified recovery peer advocate services, expanding peer-led addiction recovery support.
• Stronger opioid and fentanyl tracking requirements, ensuring transparency and effective use of Opioid Settlement funds.

Key Differences from the Executive Budget:

• Expands funding for crisis response teams, going beyond the Executive’s proposal for mental health emergency intervention.
• Increases support for opioid and fentanyl addiction treatment, strengthening access to medication-assisted treatment and recovery services.
• Enhances transparency on opioid settlement funds, ensuring proper oversight and use. 

Housing: Meeting the Crisis with Real Solutions
The Senate Majority’s budget continues decisive action to combat New York’s housing crisis by expanding access to affordable housing, preventing homelessness, and protecting tenants. By investing in rental assistance, public housing, homeownership opportunities, and the rehabilitation of vacant units, this budget ensures that more New Yorkers have safe, stable, and affordable places to live.

• $250 million for the Housing Access Voucher Program (HAVP) to prevent homelessness and provide rental assistance.
• $75 million in additional funding for public housing authorities outside of New York City.
• $80 million to preserve Mitchell-Lama housing and create new homeownership opportunities.
• $50 million for the Vacant Rental Improvement Program to bring more housing units online.
• $50 Million for the Shelter Arrears Eviction Forestallment (SAEF) program for counties outside of NYC.

Key Differences from the Executive Budget:

• Provides greater investments in rental assistance and public housing authorities to address homelessness and housing insecurity.
• Increases funding to rehabilitate vacant apartments and bring more housing units online. 

Businesses & Main Streets: Revitalizing Local Economies
Small businesses and vibrant main streets are the backbone of New York’s economy. The Senate Majority’s budget makes critical investments to support small businesses, expand access to capital, and revitalize downtowns, ensuring economic growth reaches every corner of the state.

• Tax Relief for Small Businesses: Establishing an Unemployment Insurance tax credit for businesses with fifty or fewer employees for their additional per employee costs due to the unpaid Unemployment Insurance Trust Fund debt in the form of a tax credit equal to $215 per employee.
• Grants for main street storefront revitalization, helping businesses renovate, modernize, and attract foot traffic.
• New incentives for local manufacturing and small-scale production, supporting businesses that create quality, local jobs.

Key Differences from the Executive Budget:

• Strengthens MWBE funding, going beyond the Executive’s plan to expand access to contracts and financing.
• Expands investment in local manufacturing beyond the Executive’s framework, recognizing the role of small-scale production in economic recovery.

Environmental Stewardship & Climate Action: Safeguarding New York’s Resources for Generations
The Senate Majority’s budget takes bold action to address the climate crisis by making historic investments in clean energy, water infrastructure, and environmental resilience. This budget supports climate adaptation, sustainability, and green energy incentives while holding polluters accountable.

• Adds $200 million more for Clean Water Funding, for a total of $700 Million, with $100 million each for lead service line replacements, and the Safe Water Infrastructure Action Program (SWAP).
• $100 million increase to the Environmental Protection Fund (EPF), supporting conservation, climate resilience, and green infrastructure projects.
• Adds $200 million to support Energy Affordability Program to lower utility bills for low income households.
• Creation of a $2,000 rebate for used zero-emission vehicles, making clean transportation more accessible.
• Creates the Green Affordable Pre-electrification Program (GAP), helping homeowners and tenants upgrade properties for energy efficiency and climate resilience.
• New Floating Solar Incentive and Education Program to support municipal and private solar energy expansion.
• Create the Office of Climate Resiliency to coordinate State responses to climate threats. 

Key Differences from the Executive Budget:

• Calls on the Executive to finalize a cap-and-invest program under the Climate Leadership and Community Protection Act (CLCPA) to hold polluters accountable.
• Expands the brownfield cleanup program, ensuring communities impacted by hazardous waste receive greater state support and technical assistance.
• Strengthens PFAS contamination response efforts, providing grants and financial incentives for residential well treatment. 

Transportation & Infrastructure: Paving the Way for a Thriving New York
A modern, reliable transportation network is key to economic growth and community well-being. The Senate Majority’s budget makes critical investments in roads, bridges, and public transit while ensuring equity in transportation funding and prioritizing safety improvements. This budget strengthens local infrastructure, expands transit access, and enhances mobility for all New Yorkers.

• $2.3 billion in capital investments to improve roads, bridges, and public transportation, supporting economic growth and job creation.
• Increased funding for the Consolidated Local Street and Highway Improvement Program (CHIPS) and the Extreme Winter Recovery Program to help municipalities repair and maintain critical road infrastructure.
• An additional $82 million for non-MTA transit systems, ensuring suburban and upstate transit agencies receive adequate operational funding.
• Support for the MTA’s long-term financial stability, ensuring sustained service, reliability, and accessibility improvements while maintaining affordability for riders.
• Increased investment in pedestrian and cyclist safety, funding Complete Streets projects and Vision Zero initiatives to reduce traffic fatalities.
• Expedited funding for stalled capital projects, ensuring that major transportation infrastructure initiatives stay on track and do not suffer from unnecessary delays. 

Key Differences from the Executive Budget:

• Further bolstered transit funding by adding $82 million—a 15% increase—to non-MTA transit systems, ensuring a fair and balanced distribution of resources that supports critical upstate and suburban transit agencies.
• Increases support for local roads and bridges by expanding CHIPS and Extreme Winter Recovery funding beyond the Executive’s proposal.
• Increases funding further for non-MTA transit systems, reversing cuts that would have harmed transit riders outside of New York City.
• Commits $45 million for the costs of providing free bus fares on 15 routes in the City of New York.

Veterans’ Services: Honoring and Supporting Those Who Served
The Senate Majority remains steadfast in its commitment to supporting veterans, ensuring that those who served our country receive the resources, benefits, and services they have earned. This budget expands funding for veteran legal services, job training, housing, and mental health support, strengthening New York’s ability to care for its veteran community.

• $4.45 million increase in veterans' services funding, bringing total support to $18.25 million.
• $2 million for legislative veteran initiatives, funding critical support programs and outreach efforts.
• $500,000 for the New York State Defenders Association’s Veteran Defense Program (VDP), providing legal assistance to veterans in need.
• $300,000 for New York Helmets to Hardhats, helping veterans transition into skilled trade careers.
• $150,000 for summer camp for active-duty military families at Fort Drum to attend overnight camp with campers who also have parents deployed.
• $125,000 for Veterans of Foreign Wars (VFW) Department of New York State, supporting veteran advocacy and services.
• Expansion of the Gold Star Annuity Program, extending benefits to spouses and minor children of fallen service members.
• New property tax exemption for 100% service-disabled veterans, allowing municipalities to grant full property tax relief to disabled veterans.

Key Differences from the Executive Budget: 

• Expands legal support services for veterans, rejecting cuts to veteran legal aid programs.
• Increases funding for veteran employment initiatives, beyond the Executive’s proposal, to help veterans transition into civilian careers.
• Enhances benefits for Gold Star families, strengthening support for surviving spouses and children.
• Restores and expands veteran housing assistance, ensuring more veterans receive the stability and care they deserve. 

Agriculture & Farming: Strengthening New York’s Food Supply & Rural Economy
New York’s farmers and agricultural businesses are essential to the state’s economy, food security, and sustainability. The Senate Majority’s budget expands support for farmers, invests in agricultural research, and strengthens rural communities to ensure long-term growth and innovation.

• $11.3 million increase for the Department of Agriculture & Markets, funding key farming and agribusiness programs.
• Support for new and disadvantaged farmers, including $1 million for Beginning Farmers Grants and $1 million for the Socially & Economically Disadvantaged Farmers Program.
• $1.4 million for the New York Farm Viability Institute, helping farmers improve productivity and sustainability.
• $590,000 for the Agri-Business Child Development Program, providing childcare for farmworker families.
• $770,000 for farmland preservation efforts, ensuring land remains in agricultural use for future generations.
• Investments in agricultural research, including funding for the Cornell CALS Center for AgriVoltaics, veterinary diagnostics, and orchard research.

Key Differences from the Executive Budget:

• Expands funding for new and disadvantaged farmers, ensuring broader access to resources.
• Strengthens research and sustainability initiatives, including farmland preservation and renewable energy integration.
• Restores funding for farmworker support programs, ensuring a stronger agricultural workforce. 

Public Safety & Justice: Safer, Fairer Neighborhoods
Keeping New Yorkers safe means investing in proven strategies, funding violence prevention programs, alternative-to-incarceration initiatives, and reentry services. This budget also expands access to legal assistance and accountability measures for law enforcement, ensuring a fairer and safer justice system for all.

• $46 million for public safety and alternative-to-incarceration programs and reentry services.
• $20 million to expand family court access and ensure equitable legal services.
• Investments in crime prevention and violence intervention programs.
• Expansion of body-worn cameras for law enforcement to increase transparency and accountability.

Key Differences from the Executive Budget:

• Expands funding for violence prevention programs and reentry services.
• Enhances resources for Family Court access and legal aid for underserved communities.
• Strengthens accountability and transparency measures for law enforcement.
• Increases investments in community-based crime prevention and intervention initiatives.