As President Biden and federal lawmakers turn from impeachment proceedings to COVID relief, Gov. Andrew Cuomo is asking every one of New York’s Congressional delegation to consider three points before voting on the next COVID relief package.
In a letter sent to New York’s congressional delegation dated Feb. 4, Cuomo writes, “I believe the COVID relief bill that you will pass shortly is paramount to this state and nation’s recovery.
“The politics and incompetence of the past federal administration has brought the nation to the brink. The COVID relief package must reverse the damage and right the ship.
“Unlike any other year, the federal COVID relief bill will determine New York’s state budget. State and local deficits can only be satisfied by Washington.”
Cuomo has said repeatedly that the federal COVID relief bill will determine New York’s state budget, which must replace $15 billion in lost revenue and additional expenses incurred from the pandemic in order to avoid massive tax hikes, layoffs, education cuts and health care cuts.
“When a state is hit by an earthquake, the nation funds that state. It does not fund all states,” Cuomo said. “While COVID affected many states, it devastated a few. New York was ground zero for COVID. It was the federal negligence that allowed COVID to come to New York for months undetected. The damage done in New York was exponentially higher than any other state.”
Under former president Donald Trump, the administration adopted the CARES Act in April 2020 and a supplementary aid package in December 2020, in response to the pandemic.
This bill consisted of stimulus payments provided to the public, unemployment insurance extensions, delays on payroll tax payments, amongst other benefits.
Cuomo called the CARES Act misdirected.
“The so-called CARES Act bills were not truly targeted to COVID relief but funded states virtually regardless of COVID need,” Cuomo said.
Cuomo’s letter asks for support for struggling homeowners, renters, and the restaurant industry in New York. It also calls for the increase of taxes on the wealthy, an issue that New York delegates such as Michael Gianaris have been advocating for as New Yorkers struggle to pay monthly rent and restaurants flounder.
Building upon these foundations, he proposed that federal delegates provide aid to the states based on necessity. “The damage done in New York was exponentially higher than any other state,” said Cuomo.
Cuomo’s second point urges lawmakers to avoid “old school politics,” asking for federal aid to be given directly to the state for further distribution rather than to schools, hospitals and other organizations respectfully.
“The simplest way to target funding equitably is to provide it through state and local governments,” Cuomo said.
In his third point, Cuomo condemns the 2017 Tax Cuts and Jobs Act which caps the tax deduction on state and local tax deduction at $10,000.
In a press conference on Feb. 2, Cuomo said the SALT tax “targeted” New York, and demanded a repeal.
“The SALT legislation was unconstitutional and the first double taxation in history,” Cuomo writes in his letter. “New York State is still in litigation against the federal government to end SALT. Repeal is a priority as every month costs New Yorkers over $1 billion in additional taxes. Every day SALT is not repealed costs New Yorkers almost $34 million. It must be repealed now.
“In sum, New York State paid a terrible price for COVID. Past federal efforts have only further hurt New York. The nation rejected Republican policies and we must not repeat, but rather correct, their mistakes. If New York State is forced to do layoffs, reduce funding to poor schools, reduce funding to safety net hospitals, and increase taxes we will see a situation go from bad to worse.”
Gov. Cuomo also appealed to New York’s congressional delegation to to assist tenants and small landlords. “It is not possible for any state to address this crisis. Any recovery package passed by the Federal government must include a real solution to the looming eviction crisis and help New Yorkers struggling due to COVID-19 stay in their homes,” Cuomo said.
“Finally, the restaurant industry, which is the lifeblood of New York, must be saved. For too long, restaurants and bars were forced to shutter as a result of COVID-19. The federal government must provide real financial support to restaurants statewide to ensure they are able to reopen and support the tens of thousands hardworking men and women they employ.”
“We need a federal partner that works with us and not against us. And now your leadership provides that opportunity.”
Biden met with governors and mayors from around the country on Friday, Feb. 12 to discuss relief plan funding. The meeting follows an influx of letters like Cuomo’s from governors across the country.
At the moment, Biden along with the House and Senate have agreed to $350 billion in state and local relief. In Cuomo’s Tuesday press conference, he said “now the question is going to be the fairness in the distribution of the $350 billion.”