Governor Hochul Secures More Than $1 Billion in Financial Assistance for Municipalities Outside New York City as Part of FY27 Budget

Governor Kathy Hochul today announced New York State is allocating more than $1 billion total in financial assistance for municipalities outside New York City to assist in relieving immediate fiscal stress. As part of the FY 2027 Enacted Budget, this additional funding includes a $100 million increase in Temporary Municipal Assistance (TMA) which will triple the amount of funding that all cities, towns and villages outside New York City receive from this aid stream. The funding is distributed proportionally to existing Aid and Incentives for Municipalities (AIM) funding - with the cities of Buffalo, Rochester, Syracuse and Yonkers each receiving the maximum amount of $15 million each. In addition to the TMA, the Governor and Legislature are committing $165 million total in recurring funding for the cities of Buffalo, Rochester, Syracuse, Yonkers, Albany and Mt. Vernon.

"As bad federal policies like tariffs drive inflation and continue to raise costs for local governments, we are providing additional aid to localities to help hold the line on local taxes," Governor Hochul said. "Strong local communities mean an even stronger New York, and these investments will go a long way to ensure that our local governments can continue to deliver for the communities they serve."

Assembly Majority Leader Crystal Peoples-Stokes said, "This additional $40 million in direct aid could not have come at a better time for the City of Buffalo. As the city works itself out of its budget deficit, this money will help put the city on better financial footing without the taxpayer having to carry as much of the burden. Not only is Buffalo benefitting, but other cities and municipalities across Western New York are receiving much needed aid. I applaud Governor Hochul for working with the Legislature to secure this additional money."

State Senator Shelley Mayer said, "I am pleased that the final adopted FY2027 State Budget includes critical temporary municipal aid for cities outside of New York City across our state, including the three cities I am proud to represent - Yonkers, White Plains, and New Rochelle. This funding will provide relief to local budgets and for Yonkers, relief to the Yonkers Public Schools. These additional funds will help alleviate the burden on property taxpayers while assuring our local governments continue to provide essential services. It is more important than ever that New York continues to stand up for our communities. I thank Governor Kathy Hochul and Majority Leader Andrea Stewart-Cousins for their leadership and for ensuring these cities receive the support they need."

State Senator Samra Brouk said, "A strong community is one where every resident has access to the support and resources they need. That's why New York State delivered a final budget that includes statewide financial assistance to localities, including $18.1 million in Temporary Municipal Aid for the Finger Lakes region and $15 million for the City of Rochester. During a time of financial distress, I applaud Governor Hochul for investing in our communities to help uplift New Yorkers."

State Senator Jeremy Cooney said, "These dollars represent direct assistance to the City of Rochester to protect vital services and make our city more affordable for Rochesterians. I'm grateful for Governor Hochul's leadership and I was proud to work with her to secure this much-needed increase on behalf of our great city."

State Senator Patricia Fahy said, "As New York's Capital City, Albany has long-suffered from a high concentration of tax-exempt properties and state funding streams that have struggled to keep pace with inflation and rising costs. This funding will ensure that Albany can begin to turn a new page in its future fiscal outlook, stabilize the City's financial future, and ultimately, restore public confidence in the direction of the City of Albany. As an Albany resident, I'm proud that this state budget recognizes Albany's unique financial position while working with Mayor Applyrs' Administration to deliver confidence and relief for taxpayers. We will continue to partner with Mayor Applyrs, her administration, and the Common Council to fight for Albany's fair share and to ensure our Capital City receives the aid necessary to thrive. I want to thank Majority Leader Andrea-Stewart Cousins, Governor Hochul and my legislative colleagues for helping get this aid across the finish line."

State Senator April N.M. Baskin said, "This funding is a critical investment in the long-term stability of cities like Buffalo and Lackawanna, helping local governments maintain essential services without placing even more pressure on property taxpayers. For the City of Buffalo, this additional support will help implement Mayor Sean Ryan's plan to close the city's budget gap while protecting public safety and minimizing additional burdens on residents. I thank Governor Hochul and my colleagues in the Legislature for recognizing the fiscal challenges municipalities are facing and for making our communities a priority."

State Senator Rachel May said, "Central New York cities are being asked to do more with less as the cost of providing essential services continues to rise. That's why I fought to secure additional funding in this year's state budget to help local governments keep delivering the services residents count on every day, while half of the properties within city limits are off the tax rolls. Thank you to Governor Kathy Hochul for recognizing the importance of supporting our local governments and the critical work they do for residents across New York."

State Senator Christopher J. Ryan said, "As Chair of the Senate Cities 2 Committee, I know firsthand the fiscal pressures facing municipalities across Upstate and suburban New York. This additional investment is a good and necessary start toward helping cities, towns, and villages manage rising costs, maintain essential services and continue supporting economic growth. Communities like Syracuse - and municipalities across Central New York and the state including the cities of Fulton and Oswego - need real partnership from Albany as they work to meet the demands placed on local governments. We must continue finding long-term, meaningful ways to meet the evolving needs of our communities and ensure local governments have the tools they need to succeed, and I thank Governor Hochul and my colleagues in the legislature for this meaningful funding."

State Senator Jeremy Zellner said, I'm proud to have worked alongside the Governor and my colleagues in the legislature to secure a historic $70 million investment for the City of Buffalo. As the city continues navigating serious fiscal challenges, this funding will take some of the pressure off hardworking taxpayers while protecting essential services. At a time when Washington continues making life harder for working families, this shows that in New York, every level of government can still come together and deliver for the people we serve."

Assemblymember William Magnarelli said, "This Budget provides needed financial aid for the City of Syracuse and the other municipalities of the 129th Assembly District. This additional funding will help offset the devastating cuts coming from Washington and help these localities balance their budgets while maintaining services."

Assemblymember Patrick Burke said, "As the first chairman of the Cities Committee from outside New York City, I knew it was imperative that we address the challenges facing Upstate and Western New York cities. Over the last year, I worked with mayors, legislators and local leaders across the state to build a coalition that would ensure the needs of cities became a central part of this year's budget negotiations. Gov. Hochul understood the urgency, and working together we delivered real support for communities across New York."

Assemblymember Karen McMahon "We are living through a period of heightened financial strain that extends beyond individual households and is being felt by municipalities across New York State. To help address these challenges, the FY 2027 Budget includes significant funding support for cities, towns and villages so they can continue delivering essential services to their residents. At a time of ongoing uncertainty from the federal government, New York State is stepping up to ensure necessary resources are reaching Main Street."

Assemblymember Bill Conrad said, "This federal administration is wreaking havoc on New Yorkers' way of life, and our cities, towns, and villages are suffering as a result. This was a time for the state to step up for its citizens, offering tangible assistance that will spare our constituents the added tax burden for services and infrastructure their municipalities support and on which we all rely. Thriving local communities are good for everyone, and I'm proud to be part of a team, with Governor Hochul and the Legislative Majority, that understands, here in New York State we work together, lifting up one another for the benefit of the whole."

Assemblymember John T. McDonald III, RPh said, "Our cities are a vital part of New York State's legacy and future, yet as a former mayor, I understand how financially vulnerable municipalities can be in the face of rising costs and other challenges. That is why it is so important to partner with Governor Kathy Hochul and our legislative colleagues to deliver meaningful support for local communities. As the representative for Cohoes, Rensselaer, Troy, and Watervliet, I am pleased to see more than $6.3 million in additional aid directed to these cities beyond what they had budgeted for, helping them address ongoing challenges, maintain critical services, and ease the burden on local property taxpayers."

Assemblymember Jonathan Rivera said, "Strong cities and municipalities are the backbone of New York's economy and quality of life, and this critical investment will help communities across the state continue delivering the essential services residents rely on every day. For Buffalo, this additional support comes at a pivotal moment as our city works to maintain public safety, protect taxpayers, and strengthen long-term fiscal stability at a time when federal funding cuts and rising costs driven by tariffs are placing additional strain on local governments and taxpayers alike. I applaud Governor Hochul for recognizing the challenges local governments are facing and for making a meaningful commitment to municipalities here in Western New York and across the state."

Assemblymember J. Gary Pretlow said, "This investment is a significant win for our local communities and a testament to the State's commitment to supporting municipalities facing growing financial pressures. With the City of Yonkers receiving $15 million and the City of Mount Vernon receiving $2.5 million, these funds will help strengthen essential services, support local operations, and ease the burden on taxpayers. I thank Governor Hochul for recognizing the needs of our cities and continuing to invest in the future and stability of communities across New York State."

City of Buffalo Mayor Sean Ryan said, "This additional State support gives Buffalo an opportunity to make our budget more stable, more responsible and more sustainable. I want to thank Governor Hochul, Senate Majority Leader Andrea Stewart-Cousins, Speaker Carl Heastie, and our State delegation for recognizing both the seriousness of the City's fiscal challenges and the importance of helping Buffalo navigate them responsibly. This funding will allow us to reduce reliance on uncertain revenues while continuing to protect the core services our residents depend on."

City of Yonkers Mayor Mike Spano said, "This was an extraordinary year. We rolled up our sleeves, went to Albany and asked for more funding and our Governor heard our pleas. Thank you to Governor Kathy Hochul, Majority Leader Andrea Stewart-Cousins and our state delegation for making Yonkers a priority. This investment makes our job a little easier and our schools a lot stronger."

City of Rochester Mayor Malik D. Evans said, "I want to thank Governor Kathy Hochul and our legislative delegation for including much-needed additional funding for Rochester and other cities in the enacted State Budget, and commend them for recognizing the significant financial headwinds that New York's municipalities are facing in this extremely volatile national and international economic climate. These funds will help us confront significant fiscal challenges by redoubling our efforts to drive growth, attract investment and put all our residents on a path to economic mobility and generational wealth."

City of Syracuse Mayor Sharon F. Owens said, "The increase in local municipal aid is a vital investment in our community and gives us the opportunity to balance our budget, bolster our fiscal sustainability, and better serve our residents. I want to thank Governor Hochul and our local state delegation for the additional $20 million in state aid allocated for the City of Syracuse in the New York State FY27 Budget. Syracuse is committed to responsible stewardship of taxpayer dollars and ongoing review of our budget management."

Albany Mayor Dr. Dorcey Applyrs said, "I am deeply grateful for the historic investment Governor Hochul has placed in the City of Albany. This commitment moves our City significantly closer to addressing the unique fiscal challenges we face as a Capital City, putting Albany on stronger financial footing for the future. My Administration has been hard at work implementing policies on public safety, economic development, youth, entertainment, and the other areas Albany residents have asked my Administration to deliver on. This assistance ensures we can continue that momentum, delivering on key initiatives as informed by the residents, visitors, and small business-owners of our great City. I appreciate the Governor's recognition of the unique role cities play in driving regional economies and supporting communities far beyond their borders. With this funding, the Governor assists Albany in a new path forward and helps to ensure the vision of Albany as a premier Capital City."

City of Mount Vernon Mayor Shawyn Patterson Howard said, "Mount Vernon is grateful to Governor Hochul for recognizing the fiscal challenges facing local governments and providing meaningful support through this additional funding. These temporary resources will help the City address outstanding obligations, cover critical one-time costs and strengthen our financial footing so we can continue delivering the services our residents rely on while protecting taxpayers."

Temporary Municipal Assistance

The FY 2027 Enacted Budget secures $100 million in additional Temporary Municipal Assistance, tripling the total to $150 million. Initially authorized in FY25 for two years, the program provides general purpose aid for local governments. This funding builds on the State's Aid and Incentives for Municipalities (AIM) program which provides state aid to cities, towns and villages outside of New York City.

Assistance to Cities

The FY 2027 Enacted Budget provides additional support for closing budget gaps while minimizing the taxpayer burden and maintaining public safety for the following cities:

• Buffalo - $70 million ($55 million + $15 million TMA)
• Rochester - $35 million ($20 million + $15 million TMA)
• Syracuse - $35 million ($20 million + $15 million TMA)
• Yonkers - $55 million ($40 million + $15 million TMA)
• Albany - $44.4 million ($20 million + $20 million misc. aid + $4.4 million TMA)
• Mt. Vernon - $12.5 million ($10 million + $2.5 million TMA).

Increase in Support
State support for counties, cities, towns and villages outside of New York City has increased by $4 billion (60 percent) under Governor Hochul. This includes $1.6 billion in absorbed Medicaid costs, $1.3 billion in support for human services such as child care as well as other increases like transportation aid and public safety assistance.