‍Albany, NY- Nearly a month after its April 1 deadline, New York’s state budget remains unresolved as lawmakers continue negotiating several major policy issues tied to the spending plan. On Monday, the Legislature passed its seventh budget extender, keeping government operations funded through Thursday while discussions continue with Governor Kathy Hochul and legislative leaders.

Budget extenders are temporary measures that ensure essential services—such as state payroll and public health programs—continue uninterrupted while a final agreement is reached. Lawmakers are expected to pass yet another extender as talks progress.

Key Issues Holding Up the Budget

• Attempted Rollbacks of the Climate Leadership and Community Protection Act (CLCPA)
  At the center of debate is the state’s 2019 climate law, which mandates an 85% reduction in carbon emissions by 2050. Governor Hochul initially proposed delaying regulatory deadlines to 2030 after missing a prior 2024 benchmark. Recent negotiations suggest a compromise: moving the deadline to 2028 and setting an interim goal of a 60% emissions reduction by 2040, while keeping the 2050 target intact. NYSCOC opposes any rollbacks of this very necessary climate law.
• Auto Insurance Reform
  The governor has pushed changes aimed at lowering car insurance costs. Lawmakers raised concerns about protecting consumers, particularly around liability rules and insurers’ flexibility to adjust rates. Recent progress includes scaling back controversial provisions and tightening oversight of rate changes. NYSCOC supports the proposal in that it helps increase affordability for New Yorkers.
• Housing and Environmental Review (SEQRA)
  Proposed adjustments to the State Environmental Quality Review Act aim to accelerate housing development, a priority amid New York’s housing shortage.
• Immigrant Protections
  A legislative package to expand protections for immigrants has also been under discussion since the start of the session. Including the Sensitive Locations Act, New York 4 All and MELT Act which are all central to NYSCOC’s  legislative priorities.
•  Other unresolved issues include potential tax increases on high-income earners, school aid levels, reforms to the Tier 6 pension system, and a proposal to establish a 25-foot protest buffer around places of worship.

However, even once policy frameworks are finalized, the budget process will enter a new phase: negotiating the actual spending levels. That could take at least another week, particularly given fiscal pressures in New York City and ongoing debates about raising taxes on wealthy residents.

While leaders suggest the state is “approaching the end of the middle” of negotiations, a final budget deal is not yet imminent. With policy agreements still being finalized and fiscal negotiations yet to begin in earnest, New Yorkers can expect additional budget extenders before a comprehensive plan is adopted.  State operations have not been interrupted, but the clock is still ticking on one of the latest budgets in recent New York history.