Erin Durkin and Anna Gronewold's must-read briefing informing the daily conversation among knowledgeable New Yorkers
Erin Durkin and Anna Gronewold's must-read briefing informing the daily conversation among knowledgeable New Yorkers
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By SALLY GOLDENBERG, ANNA GRONEWOLD and ELEONORA FRANCICA
Presented by Tobacco Kills NY
New York City Mayor Eric Adams and the Democratic Party’s left flank are usually at war.
Enter a subway funding shortfall, and those battle lines quickly shift.
Adams was more or less satisfied with New York City’s spoils in the $227 billion state budget Gov. Kathy Hochul proposed on Wednesday. He thanked the governor for supporting policy changes he’s seeking around residential development and the state's bail laws. He expressed pleasure with her $1 billion commitment for an influx of migrants seeking shelter in New York, while pressing for more federal aid. “A national crisis requires a national response,” Adams said in his official response.
But he signaled division over her plan to salvage the MTA’s distressed finances, which involves raising payroll taxes on downstate businesses, diverting revenue from upcoming casinos and charging the Adams administration $500 million per year. “The city annually contributes approximately $2 billion to the MTA in direct and in-kind contributions and, while we recognize the significant fiscal challenges the MTA faces, we are concerned that this increased commitment could further strain our already-limited resources,” Adams said.
While much more measured than Hochul’s political adversaries, Adams and left-flank Democrats in Albany now find themselves in unusual alignment.
Assemblymember Zohran Mamdani, a Democratic Socialist, slammed the proposal and warned of a potential fare hike, from $2.75 per ride to $3. He told POLITICO he and the “Fix the MTA Coalition” are planning to rally in the state capital on Feb. 14 to maintain fares, 6-minute train service and push for more buses, which they believe should be free over the next four years. Busloads of activists will head to Albany from Brooklyn and Queens to push for the expensive policy platform, which would be achieved through eight pieces of legislation that includes shifting revenue from an internet sales tax.
“There is no one in any of the 66 Assembly districts that is calling our office[s] and saying, ‘You know what I'd like? I’d like to pay $3 to get on the train, $3 to get on the bus,” Mamdani said in an interview.
For legislators, opposing a potential rate hike is a political no-brainer. For Adams, fending off a heftier liability is a means of fiscal fortitude as he faces his own pricey problems — an asylum seeker crisis that he’s already estimated would cost some $2 billion, in a city that now costs nearly $103 billion to run.
IT’S THURSDAY. Got tips, suggestions or thoughts? Let us know ... By email: [email protected] and [email protected] or on Twitter: @annagronewold and @sallygold
WHERE’S KATHY? Talking about her mental health budget proposal in the Bronx and speaking at the New York Building Congress luncheon in Manhattan.
WHERE’S ERIC? In Brooklyn delivering remarks at the Tacombi Tortilleria Factory ribbon cutting and hosting a Lunar New Year celebration in Manhattan.
QUOTE OF THE DAY: “I’m not answering any of the questions from the Post.” — Assembly Speaker Carl Heastie, who turned down a New York Post reporter during an availability with Capitol reporters due to disagreements Heastie has with the outlet’s editorial board
A message from Tobacco Kills NY:
Flavored tobacco products like menthol cigarettes are much more addictive and dangerous than regular tobacco—and Big Tobacco aggressively markets it to young people and people of color in New York, leading to higher rates of death and illness. It’s time to act. Civil rights and public health leaders are fighting to restrict the sale of dangerous flavored tobacco products in New York. Will you join them? Go to TobaccoKillsNY.org to learn more.
“Metro-North Electrical Workers Gear Up for Potential Strike,” by THE CITY’s Jose Martinez and Claudia Irizarry Aponte: “Unions representing more than 1,000 Metro-North Railroad workers are beginning to rumble about a potential strike against the country’s second-busiest weekday commuter railroad. Members of System Council No. 7 of the International Brotherhood of Electrical Workers (IBEW) last week received letters requesting they vote to approve a strike against Metro-North Railroad, the MTA commuter rail line that takes close to 180,000 riders on weekdays between towns in New Jersey, New York and Connecticut and into The Bronx and Manhattan.”
Adams under water with New Yorkers worried about crime, new poll shows, by POLITICO’s Sally Goldenberg: New Yorkers voiced dissatisfaction with Mayor Eric Adams and his handling of crime, two days after his administration released an unflattering performance report showing a rise in violence and homelessness on his watch. Voters disapprove of Adams by a 43-37 margin, with 20 percent declining to offer an opinion, according to a Quinnipiac University poll released Wednesday. He received his deepest support from Black respondents, with 52 percent giving him a thumbs up, compared to 34 percent of whites, 33 percent of Hispanics and 25 percent of Asians polled between Thursday and Monday.
“Mayor Adams questions if migrants camped outside NYC hotel are actually migrants: ‘I’m not even sure they are,’” by Daily News’ Josephine Stratman and Chris Sommerfeldt: “In his first public comments on the matter since migrants set up camp in front of the Watson Hotel on W. 57th St. last weekend, Adams told reporters that, by his count, only a few people remain in the sidewalk encampment. After the news conference, Adams spokesman Fabien Levy claimed the mayor was only ‘talking about the activists’ who have donated food, tents and other supplies to the migrants camping out in front of the Watson.”
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New York’s budget surplus gives Hochul money to spend, by POLITICO’s Anna Gronewold: There will be no “whimpering and complaining” about the way things are, the newly elected Democrat said during an address Wednesday at the state Capitol, in which she acknowledged that barriers to housing, health care and public safety are causing New Yorkers to question the viability of living in the state — which leads the nation in population loss. … She described the nuts and bolts of a series of proposals aimed at achieving the New York Dream that were broadly outlined in her State of the State address last month. And she’s benefiting from an $8.7 billion surplus thanks to higher-than-expected tax revenue to fund projects and programs to appease a wide variety of constituencies.
— THE LEGISLATUREreleased the joint budget hearing schedule.
— Sens. Shelley Mayer, John Liu, and Robert Jackson released a joint statement saying they are “deeply disturbed and disappointed by the Governor’s proposal — which she failed to include in the State of the State — to eliminate geographic restrictions on the charter cap.” Teachers unions are also not pleased.
“New York facing state government workforce crisis as retirements soar,” by Times Union’s Raga Justin: “The executive budget proposed by Gov. Kathy Hochul would invest more than $18 million in programs intended to boost the state government's lagging workforce as key agencies face a looming shortage of more than 12,500 workers. More than 26 percent of the state government workforce is eligible for retirement within the next five years, according to projections released Wednesday, while turnover among government workers has also increased amid a national labor shortage.”
“Gov. Hochul’s budget offers Medicaid boost. Nursing homes say it’s still not enough to fund safer staffing,” by WNYC’s Caroline Lewis: “Gov. Kathy Hochul is offering to increase the rates Medicaid pays hospitals and nursing homes for their services by 5% in the coming fiscal year, even as New York is slated to lose some federal subsidies for the public insurance program. But nursing home reps said the offer is barely a fraction of what’s needed to adequately staff their facilities. Many rely on Medicaid, which provides health insurance to low-income New Yorkers, for a significant portion of their funding.”
“Hochul wants to create new state office for semiconductor industry,” by Spectrum's Luke Parsnow
“2 weeks later, LaSalle nomination for New York chief judge remains up in the air” by Spectrum’s Nick Reisman
#UpstateAmerica: NOT THE STATE FAIR! Hochul’s budget would increase admissions, parking and vendor costs at the annual summer extravaganza outside Syracuse.
A message from Tobacco Kills NY:
“George Santos’s Treasurer Has Resigned, Leaving a Trail of Questions,” by The New York Times’ Grace Ashford and Michael Gold: “The longtime campaign treasurer and trusted aide of embattled Representative George Santos has resigned, potentially exacerbating the congressman’s already troubled finances. The treasurer, Nancy Marks, whose resignation was made public on Tuesday in letters filed with the Federal Election Commission, has been with from Mr. Santos since his first run for office, assisting with accounting and fund-raising and joining him in at least one for-profit business endeavor.”
— FBI agents are investigating whether Rep. George Santos allegedly may have used a GoFundMe scheme to dupe people into donating thousands of dollars for a service dog’s surgery. News of the original allegations was first reported earlier this month by Patch.
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— New Jersey Councilwoman Eunice Dwumfour has been found shot and killed outside her home Wednesday night, reports say.
— “How a Faked-Evidence Case Against an Ex-N.Y.P.D. Detective Crumbled”
— Robert Hadden, the former New York gynecologist convicted of federal sex crimes, was remanded into federal custody.
— A memo obtained by Chalkbeat shows NYC’s Education Department will allow “most Regents exams” that students take to be graded by teachers in their own schools.
— Eric Adams signed a new law to drastically cut down on the city’s waste, including restrictions on restaurants to distribute plastic utensils and napkins.
— The NYC Department of Health and Mental Hygiene declared an end to the city’s mpox outbreak.
— Members of the “Central Park Five”are urging the governor to reverse course and pass Challenging Wrongful Convictions Act.
— Former Buffalo mayoral candidate India Walton is running for Buffalo Common Council.
HAPPY BIRTHDAY: Barry Diller … NBC’s Carrie Dann … The New Yorker’s Michael Luo … Teddy Downey of The Capitol Forum
MAKING MOVES — Bailey Mohr is now a principal at Ascend Digital Strategies. She previously was senior adviser for Senate Majority Leader Chuck Schumer’s reelect.
SPOTTED at a Churchill Tommy Gun Society dinner with special guest Richard Plepler hosted by Jamie Weinstein and Michelle Fields on Wednesday night: Olivia Nuzzi, Elaina Plott, Jamie Kirchick, McKay Coppins and Kaitlan Collins.
A message from Tobacco Kills NY:
Flavored tobacco products like menthol cigarettes are much more addictive and dangerous than regular tobacco—and Big Tobacco aggressively markets it to young people and people of color in New York, leading to higher rates of death and illness. It’s time to act. Civil rights and public health leaders are fighting to restrict the sale of dangerous flavored tobacco products in New York. Will you join them?
Go to TobaccoKillsNY.org to learn more.
“Vornado writes down Midtown portfolio by $500M,” by Crain’s New York Business’ Aaron Elstein: “Vornado Realty Trust said it will write down the value of its real estate portfolio by $600 million, most of it in Midtown, underscoring the continued challenges for retail and office properties. The bulk of the reduction—$480 million—reflects the declining fortunes of Fifth Avenue and Times Square properties that Vornado contributed to a joint venture four years ago with unidentified institutional investors.”