Lawmakers begin votes on overdue $237 billion state budget

ALBANY — The State Legislature on Thursday began passing a $237 billion state budget that would launch an effort to make New York a leader in artificial intelligence development, combat a spike in infant mortality and criminalize AI abuse, according to bills that were made public.

State officials also told Newsday the fiscal year 2025 budget will include the first increase since 2009 in a special fund that local governments use for programs and to hold down property taxes.

Voting on the state spending plan was expected to last at least through Friday. The budget was due April 1.

“There were very, very challenging pieces of this,” Senate Majority Leader Andrea Stewart-Cousins (D-Yonkers) said, explaining the lateness of the plan.

Previously announced agreements include a $1.3 billion increase in school aid, to $35.9 billion, and approval to develop 15,000 units of housing on underused state land as part of Democratic Gov. Kathy Hochul’s effort to boost affordable housing statewide.

One agreement confirmed Thursday would direct more than $400 million in public and private-sector funding to create Empire AI, intended as a nation-leading effort in research and development of artificial intelligence.

The effort would create a state-of-the-art computing center at the state University at Buffalo.

She said Empire AI would provide resources to help universities and companies in the state compete against the world’s biggest technology companies.

The consortium will include Columbia and Cornell universities, New York University, Rensselaer Polytechnic Institute, the State University of New York, the City University of New York and the Simons Foundation.

“The Empire AI consortium will be transformative: Bringing jobs and opportunity to New York and making us a global leader in this groundbreaking sector,” Hochul said in announcing the effort in January.

The budget deal also includes an Artificial Intelligence Deceptive Practices Act that would make it illegal to use a person’s likeness, picture or voice for advertising or business without their authorization. The act also would allow victims to sue if a person publishes or threatens to publish a pornographic image.

Another major element of the state budget revealed in bills Thursday would expand the state’s paid family leave legislation. The measure would require employers to provide workers with 24 hours of annual paid prenatal personal leave, taken in hourly increments, for health care services such as testing, examinations and procedures during pregnancy.

Hochul said the legislation would help expectant mothers get check-ups they need to ensure healthy pregnancies.

Hochul said the effort comes as maternal and infant mortality rates in the state and nation are increasing, particularly for women of color.

In 2021, New York's infant mortality rate was 4.16 deaths per 1,000 live births—a total of 876 deaths, compared with 855 deaths in 2020, according to the most recent data from the National Center for Health Statistics.

The most recent state report on maternal mortality found 121 pregnancy-related deaths between 2018 and 2020.

State officials said budget bills expected to be made public Friday will include the first increase since 2009 in a special fund for local governments. Municipalities use funding from the state Aid and Incentives to Municipalities program to pay for projects and programs and to avoid or lessen property tax increases. The measure would add $50 million to the $715 million fund.

“It’s a huge win for our local governments,” said State Senate Local Government Chairwoman Monica Martinez (D-Brentwood). “We have not kept up with the rising costs so local programs are being cut,” Martinez told Newsday Thursday.

Increasing the AIM fund for villages, towns and cities outside New York City was a top goal of Long Island municipal leaders. Local government officials have pushed for the increase because it is unrestricted, so municipalities can use it at their discretion without state mandates on how the money can be spent.

“Typically, what I would hear from municipalities is that this increase would be for tax stabilization,” said Assmb. Fred Thiele (D-Sag Harbor), chairman of the Assembly Committee on Local Government. “I think it will be a pleasant surprise.”