New York
N.Y. Families Could Receive Tax Credit of Up to $1,000 Under Hochul Plan
Gov. Kathy Hochul of New York on Monday proposed an expansion of the state’s child tax credit that would more than double what some families currently receive.
The plan, the second in a series of recent proposals the governor has made toward addressing the state’s affordability crisis, would give eligible families a tax credit of up to $1,000 per child under the age of 4. Each child from the age of 4 to 16 will qualify families to receive up to a $500 tax break per child.
In recent years, the state has offered up to $330 per child for the poorest New York families. Ms. Hochul will include the proposal in her State of the State address next week and push to include it in her executive budget.
Frustration with the high cost of living surfaced among voters in the 2024 elections, and many Democrats, amid soul searching about Republican victories, said they should have talked more about addressing affordability.
Both Ms. Hochul and Mayor Eric Adams of New York City have already announced tax cuts or refunds they want the Legislature to adopt this year. Mr. Adams’s proposal would eliminate New York City income taxes for more than 400,000 of the lowest-wage earners. Ms. Hochul announced in December that she wants to spend about $3 billion to send checks between $300 and $500 to roughly 8.6 million New Yorkers, using money from sales tax revenue.
In a news conference Monday, Ms. Hochul said she has long focused on affordability, adding that proposals like increasing the child tax credit are partly shaped by raising her own children and seeing the financial strain that experience can have on a household.
“I will continue doing this,” she said. “I’ll do it independent of elections. It’s the right thing to do.”
“People are hurting right now,” she added, “and we cannot be tone deaf as a party, as a nation or as a state to those cries for help. This is how to respond to them.”
The state has spent billions in recent years on child care and to make more families eligible for subsidies. Tax credits like the one Ms. Hochul proposed have proved popular and effective. During the early years of the coronavirus pandemic, an expansion of the federal child tax credit led to dramatic reductions in adolescent poverty. This expansion then expired, and bipartisan efforts to bring it back failed.
Ms. Hochul’s proposal would apply to more than 2.75 million children in the state; families earning up to $200,000 a year would be eligible for the credit. In a news release, Ms. Hochul’s team said the average credit for families would double to nearly $950 under her proposal.
Legislative leaders, who have suggested similar proposals in past budget negotiations, appeared receptive.
“We are very glad the governor is supporting these important tax credits, which we have long championed in the Assembly majority,” said Mike Whyland, a spokesman for Assembly Speaker Carl E. Heastie.
State Senator Andrea Stewart-Cousins, the majority leader, noted in a statement that she, like Ms. Hochul, is both the first mother and grandmother to serve in her role. Funding child care would remain a focus this legislative session, she said.
“I know firsthand how expensive raising children has become in this great state,” she said. “We look forward to discussing this proposal further. But we also know we have to deal with the rising cost of child care. The cost of child care is a burden that can overwhelm families, and we need to take steps to make affordable child care available to all New Yorkers.”
Even some Albany Republicans were open to the proposal. State Senator Jacob Ashby, a Republican from Rensselaer County, said that the state needs to do more “to make structural changes to our state economy” like lowering taxes across the board. Many of his colleagues have criticized Ms. Hochul, arguing that her administration has not done enough to lower costs for New York families.
“As someone who’s sponsored bipartisan legislation to provide new parents with targeted relief and pushed to increase the child tax credit across the board, I’m really optimistic about this proposal,” Mr. Ashby said in a statement.
If enacted, Ms Hochul’s proposal would be among the most generous child tax credits nationwide, according to researchers at the Center on Poverty and Social Policy at Columbia University. In 2023, New York and 15 other states had some form of this credit, ranging in the amount given to families and the income threshold when it phases out. When the proposal is fully up and running in several years, these Columbia researchers estimate the tax cut could drop child poverty by about 9 percent.
“When the federal child tax credit was expanded during the pandemic, we saw child poverty plummet to historic lows,” said Richard Buery Jr., the chief executive of the Robin Hood Foundation, a nonprofit in New York City that works to reduce poverty.
“With more money in your pocket, as a parent, you are less stressed, you can be more present, you can be much better and more effective at parenting children,” Mr. Buery added. “But when those federal credits expired, we saw our local poverty rate reach a 10-year high. So we know what to do. We just need the political leadership to do it.”
New York
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New York
This Parking Spot Is Free. Should It Be?
What if the city …
Added More Metered Spots in Busy Neighborhoods
Less than 3 percent of parking spaces on New York City streets have paid meters. That’s only about 80,000 spots.
Most of the meters that do exist are along busy corridors, with higher hourly rates in the core of Manhattan.
Where are NYC’s parking meters?
The placement of meters often feels arbitrary. Much of the East Village, a busy Manhattan neighborhood, has no meters. Nostrand Avenue, a major artery in Brooklyn, has meters over most of a five-mile stretch, but they end abruptly north of Fulton Street.
A busy commercial corridor in Bedford-Stuyvesant lacks meters
Adding more meters in busy neighborhoods could improve turnover for spots, research suggests, and raise revenue for the city.
Seeking alternatives to avoid paying for meters overnight, car owners may choose to move to garages — which can cost $500 per month or more, depending on the neighborhood — park farther afield, or sell their cars. They could also turn to car-share programs, which set aside parking for shared vehicles.
When the city tries to add meters, there is often fierce opposition from neighbors, including on the Upper West Side of Manhattan last year, where residents revolted, the local City Council member complained people had been “blindsided” and the city backed down.
Critics argue that those pushing for reforms “hate people who own cars,” in the words of Vickie Paladino, a City Council member who represents a district in Queens that is home to many car owners.
How realistic is this? The city can add additional meters on its own without needing permission from state lawmakers in Albany. Dean Fuleihan, Mr. Mamdani’s first deputy mayor, gave supporters hope when he said in March that he was open to the idea.
How much could it raise? Parking meters currently generate $278 million in revenue per year. Adding meters to one-fourth of the city’s existing free parking spaces, for example, could produce at least $1.2 billion annually, according to the Center for an Urban Future.
What if the city …
Introduced Residential Parking Permits
Most parking on residential streets is open to all drivers, not just those who live nearby. But many other major U.S. cities, including Los Angeles and Chicago, have permits to reserve street parking for neighborhood residents.
Residential parking permits in New York could cost anywhere from $100 per year to far more than that, experts say, with higher rates potentially prodding some residents to give up their cars. Some spots could be set aside for visitors.
But permits would not necessarily solve the problem of the demand for parking outpacing the supply. And some transit groups oppose the idea, arguing that there are better ways to use the street space and that parking should not be guaranteed.
Rachel Weinberger, a vice president at the Regional Plan Association, an urban planning think tank, said that permits alone would not make parking easier. She also argued they would have to be prohibitively expensive in order to deter ownership.
“A permit would only be a hunting license, meaning that you’re allowed to look for a space,” she said. “It should mean you’re guaranteed a space.”
How much do cities charge for residential parking permits?
Boston
No fee
Chicago
$30
Los Angeles
$34
Washington, D.C.
$55*
Philadelphia
$75
Berkeley, Calif.
$85
San Francisco
$215
Experts say that permits could also be paired with an incentive for drivers: fewer alternate side-parking days for street sweeping. Most drivers are required to move their cars once or twice a week so the streets can be cleaned, and some choose instead to leave them in place and eat the costs of the $65 tickets they receive. Moving to monthly street sweeping could make the prospect of buying a permit more appealing.
How realistic is this? Residential permits would need to be approved by state lawmakers. Momentum for the idea grew after congestion pricing began in Manhattan, over concerns that drivers from outside the city would park outside the zone and take the subway in. It has support from Mark Levine, the city comptroller, and Carmen De La Rosa, a City Council member in northern Manhattan.
How much could it raise? If a permit cost $100 per year and was required in two-thirds of the city, that could raise roughly $200 million per year, minus administrative costs, according to Terrance J. Regan, an adjunct professor at Boston University who focuses on transportation policy. The city’s Independent Budget Office recommended starting with a smaller pilot program that would raise $6 million annually by the third year.
What if the city …
Ended Free Parking and Implemented Dynamic Pricing
Some urban planners want to phase out free parking altogether.
Transportation Alternatives, a street safety group, has pushed for eliminating free parking and argued that the city would benefit if fewer car trips were made.
“If you look around the world, there are many other transit-oriented cities that are safer, more efficient and healthier,” said Ben Furnas, the group’s executive director.
The city could reclaim many miles of streets, which proponents argue could be better used for public spaces, bus lanes, bike lanes, outdoor dining setups and trash containers.
Paid parking spaces could use dynamic pricing, a system where the cost of a spot varies by demand. Right now, parking rates are as low as $1.50 for the first hour.
Critics of such pricing models have argued that higher street-parking costs could hurt lower-income drivers or local businesses that rely on drivers. In 2019, Hoboken, N.J., announced a version of dynamic pricing on high-demand blocks, but the mayor and City Council repealed the plan after some resident opposition.
But the idea has worked elsewhere. In 2018, after a successful pilot, the San Francisco Municipal Transportation Agency implemented demand-based pricing for the 10 percent of the city’s parking spots that are paid spaces, roughly 27,000 in all.
An evaluation of the pilot found that drivers spent 43 percent less time searching for a parking space, which in turn helped reduce car-based pollution. And once parking became easier, sales revenue increased for nearby businesses.
The rates in San Francisco can vary by block, time of day, or day of the week. Meters on the busiest blocks cost $11.75 an hour. The agency regularly reviews parking meter data and occupancy rates and decides whether to raise or lower rates.
Charles Komanoff, an economist and traffic modeler who helped create New York’s congestion pricing program, said dynamic pricing for parking could do even more than the tolls did to improve the flow of traffic here.
“I can’t imagine anything better,” he said.
How realistic is this? The Transportation Department could implement dynamic pricing, but a legislative push would most likely hasten change. Nantasha M. Williams, a City Council member representing Southeast Queens, has proposed a bill that would require a dynamic pricing pilot program in each borough. Eliminating all free parking would be a far more dramatic proposal, though supporters say it could be done in phases over several years.
How much could it raise? Parking reformists said the city could potentially raise billions of dollars a year under a dynamic parking system — money that could be reinvested into the neighborhoods where the fees are collected.
What if the city …
Cracked Down on Rule-Breakers
None of these plans work unless drivers obey the rules.
The city last year issued more than 11.6 million violations for parking and related offenses, according to a report by the Department of Finance, including for failing to move for street sweepers (1.8 million), not displaying a parking receipt (1.2 million), blocking a fire hydrant (674,000) and obstructing a bus stop (565,000).
In 1996, Mayor Rudolph W. Giuliani moved the city’s traffic enforcement agents, the unarmed civilians who write tickets for parking and other traffic violations, from the Transportation Department to the Police Department.
Some parking reformers say the shift weakened enforcement efforts, in part because the police have not focused on some of the most flagrant traffic violations.
They say that either the police should start issuing more tickets and collecting more fines, or they should allow the Transportation Department to once again take charge.
Some point to what they view as the city’s lackluster response to placard abuse, the practice of using either official permits issued by city agencies, or fraudulent ones, to park in unauthorized spots.
More than 91,000 complaints have been filed with the city since 2020 about possible placard abuse, but the police took action to fix the problem in just 21 percent of cases, according to a Times review of public data. Only about 12 percent of the complaints led to a driver being issued a summons.
“If you’re just unclogging these streets to have them filled with cars with fake placards, you’re not helping anything,” said Nicole Gelinas, a senior fellow at the Manhattan Institute, a conservative think tank.
There has also been a surge in fake, often out-of-state license plates that have made traffic violations harder to track. A perceived lack of consequences worsens the problem, said Jon Orcutt, a former policy director at the city’s Transportation Department.
“The culture has gotten terribly bad,” Mr. Orcutt said about enforcement efforts.
A spokesperson for the Police Department said in a statement that there was “deep collaboration” with the Transportation Department on traffic enforcement, and pointed to some recent initiatives, including issuing 247,000 summonses last year for “ghost vehicles” with fake plates.
Samuel I. Schwartz, the chair of the transportation research program at Hunter College, was New York City’s traffic commissioner under Mayor Edward I. Koch, at a time when the Transportation Department still controlled enforcement.
He said he thought it would be possible to change the behavior of repeat offenders if that agency led the effort and had the support of the police.
“I would go out in the field with an army of tow trucks,” Mr. Schwartz said.
How realistic is this? Mr. Mamdani could restore traffic enforcement powers to the Transportation Department, or instruct the Police Department to step up enforcement.
How much could it raise? The city issued $1.1 billion worth of parking tickets and camera violations in fiscal year 2025, according to the Finance Department, but just $946 million, or 84 percent, was ultimately collected. By ramping up fine collection, the city could raise more revenue.
As Mr. Mamdani weighs how to improve city streets and whether parking regulations should change, almost everyone agrees that the status quo is unacceptable.
Ms. Gelinas said that any of the leading ideas could be an improvement.
“The dumbest thing is just to keep things the way they are,” she said.
New York
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