May 7, 2026

Consensus Reached on NYS Budget – But the Deal Isn’t Done Yet!

Governor Kathy Hochul announced today that the Executive, Senate, and Assembly have reached a general agreement on the major points of the FY27 State Budget, allowing negotiations and bill drafting to move forward in earnest.


To keep government operations running while details are finalized, the Legislature has introduced a tenth Emergency Appropriations bill extending the budget deadline through Monday, May 11. The extender is expected to pass today and be signed by the Governor.


The proposed $268 billion budget framework includes several of the governor’s key policy proposals, including:


  • $1 billion in energy rebates and utility reforms, including direct payments to help offset high utility bills, along with new rules aimed at limiting rate hikes and provisions tying utility executive compensation to affordability measures.



  • An overhaul of auto insurance regulations intended to lower costs for consumers by targeting fraudulent claims and prohibiting insurers from using factors such as homeownership status, ZIP code, education, and occupation when setting rates.


  • Childcare support, including an expanded child care tax credit benefiting approximately 230,000 families, and a $1.7 billion increase for childcare and pre-K programs to expand access for an additional 100,000 children (approx. $4.5 billion total).

 

The Governor’s full press conference and announcement on the budget agreement can be viewed here


What does this mean for people with disabilities and our workforce?

At this point, the budget agreement does not specifically mention our request for a 4% Targeted Inflationary Increase (TII) or other funding priorities supporting nonprofit providers of IDD services.


We have been told funding will be included, but the work is not over. As lawmakers continue allocating state spending to meet competing priorities, it's critical that our voices remains strong and visible.


There is still time to advocate while budget bills are being drafted. 

To join us you can:


You can find more advocacy resources and action tools in our April 24 Update. And, as always, take a moment to send a message through our one-click campaign.


The Arc New York Chapters and NYDA Partners Testify on Barriers to IDD Employment

On May 6, AHRC NYS and AHRC Nassau testified alongside NYDA partners IAC and the NY Alliance at a joint public hearing examining barriers to employment for people New Yorkers with disabilities and evaluating how effectively current state policies support equitable employment opportunities.


The hearing focused on how well New York’s disability service and workforce systems support people with disabilities in obtaining and maintaining competitive, integrated employment.


Despite protections established by the Americans with Disabilities Act and the integration mandate outlined in Olmstead v. L.C., significant challenges remain, including:


  • Fragmented service delivery across agencies such as OPWDD, ACCESS-VR, and the New York State Department of Labor;
  • Limited pathways from support programs to competitive employment; and
  • Structural barriers, including benefit cliffs, subminimum wage policies, and inconsistent employer engagement.

 

The hearing brought together state agencies, providers, advocates, and employers to discuss these ongoing issues and potential solutions.

You can view a recording of the full hearing here, and the full hearing archive, including the video, speaker list and all written testimonies here.


Take Action on Federal Threats to People with Disabilities

The Arc of the United States has updated its Action Center with new campaigns focused on:

  • Protecting Medicaid Home and Community-Based Services (HCBS)
  • Reversing cuts to essential SNAP benefits, and
  • Sharing stories about why public education matters for people with disabilities

Congress made the largest Medicaid cut in history last year, eliminating nearly $1 trillion in federal support. Access to HCBS is already strained, public education supports for children with disabilities are under pressure, and now Congress is considering additional cuts that could further weaken an already fragile system.


We need your help.


We’re asking you, and everyone who cares about disability rights and community living, to contact your members of Congress and urge them to protect HCBS and the critical services millions of people depend on every day.

View the Summer Leadership Institute Agenda and Register Now!

The NCE Summer Leadership Institute agenda is now live, featuring sessions on Medicaid, advocacy, AI, and team sustainability. All sessions are designed to address the pressure, complexity, and opportunities shaping our work right now.


Join The Arc of the United States July 14–16, 2026, at The Ritz-Carlton, Rancho Mirage in Palm Springs for one of the nation’s premier training and networking events for disability professionals.


Early bird registration pricing ends Friday, June 12, so register now!

This and all advocacy updates are archived on The Arc New York website for future reference. Please contact us if you have questions regarding any of this information.

Contact: Philip Aydinian, Director of Governmental Affairs 

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