Hochul doesn't rule out tax increase after re-election

Gov. Kathy Hochul, a Democrat, did not rule out a tax increase for New Yorkers on Friday, three days after winning re-election. The comments appeared to be a shift from the campaign. On Oct. 27, she told NBC New York, "I will not raise taxes," though she also said she did not know what would happen in the future.

Speaking at the SOMOS conference in Puerto Rico, alongside New York City Mayor Zohran Mamdani, Hochul said she would work to manage within existing resources. But she said that "if we need more, we will find a path," as she has done when there was "a very specific need." She then discussed funding the city's universal child care program, which is budgeted until 2028. Asked about possible income tax increases, she said, "This is not a newsflash." She also said she does not raise taxes for the sake of raising taxes. She pointed to the pied-a-terre tax and the MTA payroll mobility tax as past examples.

Hochul did not say an increase would definitely happen, but said she would "put some touches on our path forward" ahead of the State of the State 2027. Her Republican opponent, Bruce Blakeman, had warned during the campaign that she would raise taxes.

The president of the Citizens Budget Commission, a fiscal watchdog, said tax revenues are flowing into the state "like gangbusters." He said the state has enough money to stabilize the budget and fund critical services, including child care assistance, if it makes smart choices.