Hochul outlines agenda as crucial House elections wait on deck

Governor Kathy Hochul outlined her agenda for 2024 in a State of the State address on Tuesday, with the Democrat focusing on public safety and housing ahead of a pivotal election season in a state whose races could determine control of Congress.

Among the proposals announced were policies aimed at curbing retail theft and improving mental health treatment, as well as funding and incentives to increase the housing supply.

The annual address in Albany came as both Republicans and Democrats have placed increased attention on New York as a potential battleground state for the U.S. House in November, adding a level of national importance to the governor's agenda this year.

For Hochul, the dynamic could prove challenging as she moves to compromise with progressive statehouse Democrats while not exposing her party's congressional candidates to attacks from conservatives.

One of the biggest priorities for the governor this year is to reach a deal with progressives to create more housing in the state, a politically vexing problem that has previously proven elusive but remains a tenet of her agenda.

The governor last year pushed hard on a housing plan that eventually failed after it was panned in the city's suburbs for provisions that would have set growth targets and sometimes let the state override local zoning decisions. This year, with the suburbs emerging as must-win areas for congressional Democrats, Hochul is taking a different approach.

She is proposing a $500 million fund to support the construction of housing on state-owned land and wants to reestablish a program that previously gave developers tax breaks if they agreed to create so-called affordable housing in buildings in New York City.

In addition, Hochul is pushing for certain state funding programs to require that local governments prioritize housing growth. The governor's plans also include a tax break for developers who turn office buildings into residential units if they agree to include below-market rate housing.

"The only thing that would solve this problem is building hundreds and hundreds of thousands of homes," she said of the state's notoriously high rental costs.

State Senate Majority Leader Andrea Stewart-Cousins has told reporters that Senate Democrats were pushing for a housing agreement that focuses on tenant protections. In the past, those have included measures to prevent landlords from evicting residents without a so-called good cause, such as failure to pay rent.

Hochul is also moving to get ahead of Republican criticisms about crime that hurt Democrats during the 2022 congressional elections.

She is proposing a law enforcement task force on retail theft and the creation of a state police team focused on organized retail theft rings, along with more state funding for such programs. The governor said she plans to establish a tax credit for small business owners to help offset the cost of certain store security measures.

"These attacks are nothing more than a breakdown of the social order. I say no more. The chaos must end," Hochul said of retail theft.

Assembly Republican Minority Leader Will Barclay said he's happy about the governor's plans on retail theft but added she will have to expend "real political capital" to get her fellow Democrats to allow changes to the state's criminal justice system.

Also part of Hochul's public safety platform was an expansion of mental health care services in New York, with proposals to add 200 new inpatient psychiatric beds and better equip law enforcement to handle people with mental health problems.

Migrant crisis gets no mention

Hochul has spent the past week debuting other pillars of her agenda, calling for an overhaul of literacy education and paid medical leave during pregnancy, among other things. Most of the governor's proposals require approval from the Legislature before becoming law.

In her speech, the governor notably chose not to address how the state would continue to handle a large influx of migrants who have mostly landed in New York City, straining the city's homeless shelters and financial resources. She said she would expand on her plans next week during a budget proposal.

This year's legislative session will include a contentious congressional redistricting process that could impact which party controls the House.

A bipartisan redistricting commission will submit a proposed map to lawmakers at the end of February which can then be accepted or altered by Democrats who control the Legislature. Democrats are widely expected to try to give their party an advantage in crucial districts ahead of the fall elections.

Democrats have dedicated major financial and campaign resources toward their goal of retaking a handful of congressional districts in New York in November. Republicans are aiming to hold onto the seats.

The first bellwether could come soon: A special election of a successor to George Santos, the Staten Island Republican who was expelled from the House, will be held Feb. 13.