07/17/2025 | Press release | Distributed by Public on 07/17/2025 11:10
Governor Directs State Agencies To Prepare Strategies for Limiting Long-Term Damage to Vital Programs Facing Federal Cuts
Republican Cuts Threaten To Rip Away Health Care Coverage for More Than 1.5 Million New Yorkers and Jeopardize SNAP Benefits for Nearly 3 Million New Yorkers
All New York's GOP Congressional Representatives Voted for These Cuts
In the face of detrimental federal funding cuts, Governor Kathy Hochul today convened a cabinet meeting to discuss the impacts of President Trump's "Big Ugly Bill" on New York State. The cuts imposed by Washington Republicans include an anticipated $13 billion being cut from New York's health care system, 1.5 million New Yorkers being stripped of health insurance coverage, and more than 300,000 households projected to lose some or all of their SNAP benefits. In addition to assessing these and other impacts, Governor Hochul has directed State agencies to prepare comprehensive strategies to help limit the long-term damage to vital programs facing federal cuts.
"While Republicans in Washington callously slash funding for vital programs across the country, my administration is standing up for New Yorkers to soften the blow of these cuts amidst an affordability crisis," Governor Hochul said. "President Trump's devastating 'Big Ugly Bill' will inflict harm across the state, leaving detrimental gaps in funding and families without the crucial benefits and coverage that they need. New York State remains laser-focused on ensuring New Yorkers have access to resources and support necessary to uplift them and their families."
Essential Plan/Medicaid Cuts
Republicans' cuts to health care and other benefits will hurt all New Yorkers. The changes will eliminate insurance coverage for millions of New Yorkers, destabilize health insurance programs statewide, and have an overall fiscal impact on the State and the New York health care system of almost $13 billion per year. These changes will make it harder for providers statewide to keep operating and make it more difficult for all New Yorkers to find care when they need it.
"While Republicans in Washington callously slash funding for vital programs across the country, my administration is standing up for New Yorkers to soften the blow of these cuts amidst an affordability crisis."
SNAP and Nutrition Assistance
Since the inception of SNAP, the federal government has funded these benefits 100 percent, receiving bipartisan support from presidents of both parties and in Congress. For the first time in the history of SNAP, the Republicans' enacted law requires states to contribute to the cost of benefits, or risk having to end their SNAP programs entirely - jeopardizing a program that nearly three million New Yorkers rely on to put food on the table. In total, as a result, New York and local governments are facing up to $1.4 billion in new costs annually:
New York State is also facing more than $900 million in lost SNAP benefits for New Yorkers, due to new, more punitive program requirements that will make it harder for people to qualify for the assistance they need:
The law also cuts funds for the SNAP-Ed New York Program, which promotes healthy eating and efficient use of already modest SNAP benefits by teaching SNAP beneficiaries how to shop for and cook wholesome, healthy meals on a limited budget:
Beyond worsening food insecurity and malnutrition, cuts to the program will hurt local businesses and weaken SNAP's ability to boost local economies in every state. The U.S. Department of Agriculture's (USDA) own research has shown that SNAP benefits have a multiplier effect, with every $1 spent on SNAP generating $1.54 in economic activity as recipients spend their benefits at local businesses in their communities. For New York, where a total of approximately $7.4 billion in SNAP benefits are issued every year, that means $11.5 billion in economic activity is generated annually across urban, suburban and rural areas alike. Slashing families' grocery budgets will reduce revenue for thousands of businesses, with ripple effects throughout the food supply chain. If states are forced to end their SNAP programs, in addition to increasing hunger and poverty, grocery stores in rural areas will struggle to stay open, people in agriculture and the food industry will lose jobs, and State and local economies will suffer: