Andy isn’t in hurry to tax the ultra rich

ALBANY — New York plans to “advance” $1.5 billion to cashstrapped organizations and agencies as Gov. Cuomo said Wednesday he won’t consider raising taxes on the wealthy until next year despite the state’s dire fiscal situation.

As lawmakers weigh a special end-of-year session to hike taxes on the ultrarich, the governor cautioned against such revenue-raising measures, saying the state should wait until February or March, when Joe Biden is president and Congress could deliver another stimulus package with direct aid for state and local governments.

With New York is facing a $15 billion budget hole heading into next year due to the COVID-19 pandemic, Cuomo said he believes any tax increase should be done within a budget and dismissed the idea of raising revenue without discussing cuts as well.

“I think it’s smarter to do it in February when we have the federal money, so we don’t have to cut schools, hospitals, etcetera,” he said during a remote briefing. “We can’t lose essential workers in essential organizations, especially with what they’re doing now.”

Washington lawmakers appeared poised to pass a COVID relief package this week without state and local aid despite the pandemic’s impact on local municipalities’ coffers.

In the meantime, New York will offer struggling state-funded organizations “a bridge between here and there” by advancing $1.5 billion “until we know what’s on the other side.”

Cuomo also floated other alternatives to upping income taxes including long-stalled efforts to legalize recreational marijuana and mobile sports betting that could help fill the state’s depleted coffers and avoid cuts to essential services.

“Are there other ways to get revenue? How about marijuana? How about sports betting?” he said.

The governor in the past has opposed the legalization of online sports betting, arguing it would require a constitutional amendment. Lawmakers have failed to reach a consensus on recreational weed in recent years due to discrepancies over licenses and how to dole out tax revenue equitably.

Assembly Speaker Carl Heastie (D-Bronx), who indicated this week that legislators are seriously considering raising taxes on the rich before the year is out, said he was “confused by the governor’s logic.”

“We are hoping to give him more revenue to ease the fiscal strain,” he said.