New York Governor Kathy Hochul has proposed a $3 billion direct payment plan to help 8.6 million residents cope with rising inflation costs.
The initiative, part of Hochul’s 2025 State of the State agenda, would provide one-time checks to middle- and working-class New Yorkers. Under the plan, families earning up to $300,000 would receive $500, while individuals making $150,000 or less would get $300. The payments, funded through excess sales-tax revenue, would begin rolling out in fall 2025, pending legislative approval. Hochul announced the proposal on Monday, framing it as a response to the state’s strong revenue growth from inflation-driven sales taxes.
“Thanks to inflation, New York has generated unprecedented sales tax revenue. Now, we’re returning that money to middle-class families,” Hochul said. “My agenda for the coming year will focus on putting money back in your pockets.”
Hochul, who faces low approval ratings and the possibility of a primary challenge in the 2026 gubernatorial race, received swift criticism for the proposal. U.S. Representative Ritchie Torres, a Democrat from the Bronx, hinted at a potential run against her and dismissed the plan on social media.
“The governor gives with one hand while taking with the other,” Torres wrote on X. “A one-time check won’t make up for the double-digit inflation New Yorkers have endured under her leadership. For three years, she’s ignored families struggling with skyrocketing costs for groceries and gas.”
Other states have implemented similar measures. In 2022, California Governor Gavin Newsom approved a $9.5 billion relief package, sending direct payments to qualifying residents to offset inflation-related expenses.
