Proposed Budget - Fiscal Year 2023
On January 18, New York Governor Kathy Hochul released her proposed fiscal 2023 budget totaling $216.3 billion in all funds, reflecting a 1.6 percent increase, and $118.8 billion in state operating funds, a 3.1 percent increase. General funds at $95.5 billion, reflect a 5.3 percent increase, and federal operating aid at $78.9 billion, a 4.1 percent decrease. The budget is projected to be balanced through 2027. The largest expenditures are in education and health care, with $31.3 billion in school aid, an increase of 7.1 percent, and $26.5 billion in Medicaid spending, an increase of 6.3 percent. Reserves are projected to be $14 billion at the end of fiscal 2023, or 11.8 percent of state operating funds. All funds receipts at $221.1 billion reflect a 2.5 percent decrease from the fiscal 2022 estimated level. General fund receipts, including transfers from other funds, are estimated to total $92.6 billion in fiscal 2023, a decrease of 17.3 percent from fiscal 2022.
New York received $12.75 billion in State and Local Fiscal Recovery Funds from the American Rescue Plan Act
(ARPA) in 2021 to offset revenue loss, ensure the continuation of essential services and assistance provided by government, and assist in the public health emergency response and recovery efforts. These funds are expected to be transferred to state funds over multiple years to support eligible uses and spending. Of the total, the calculated revenue loss is $9.9 billion on a modified accrual basis per the federal calculation and methodology.