Hochul Draws a Line for Mamdani: “Now You’re on Your Own”

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The era of the blank check is over: New York Governor Kathy Hochul is demanding budget restraint from City Hall instead of tax hikes, and making clear that responsibility for the deficits now passes fully to Mamdani’s people, “now they have their own team.”

New York Governor Kathy Hochul has drawn a red line for Mayor Zohran Mamdani, making clear that he will no longer be able to rely on state money to solve the city’s budget problems. In an interview with Politico, Hochul said that after the state helped New York deal with a deficit of about $7 billion, it was time for Mamdani and his team to take responsibility: “They’re running their budget now.”

In recent months, Hochul was considered one of Mamdani’s key allies. She advanced financial aid for the city, supported a move that would allow pension payments to be spread over a longer period, and backed a new tax on luxury apartments intended to bring additional revenue to the city. All this came as New York City Hall tried to contend with a budget hole of billions of dollars.

But now the tone has changed. “Now they have their own team. They control the budget,” Hochul said. According to her, the city leadership must reexamine spending, identify programs that do not justify their cost, and deal with structures that have grown too large.

Alongside the cooperation between the two, there are also significant differences. Hochul rejected Mamdani’s demand to raise taxes on high earners and large corporations to fund his plans, including expanding early childhood education and other city initiatives.