With the state budget still unresolved, Gov. Kathy Hochul is intensifying her push for key proposals aimed at lowering costs — while sharply criticizing federal policies she says are driving prices higher for New Yorkers.
Speaking Tuesday at a building supply company in Albany, Hochul tied the ongoing budget negotiations to a broader affordability agenda, pointing to rising costs tied to tariffs, fuel, and insurance as pressure points for businesses and households alike.
Hochul said her administration is focused on delivering relief through reforms to the state’s auto insurance system and changes to environmental review processes, both of which remain under negotiation with lawmakers.
At the same time, she placed blame on federal trade policies, arguing tariffs have significantly increased the cost of construction materials and contributed to higher housing costs. Hochul said those tariffs have pushed building material prices up between 15% and 25% over the past year, adding roughly $11,000 to the cost of building a new home.
She is also calling on the federal government to return what she described as $13.5 billion in tariff-related costs to New Yorkers, which she said would amount to about $1,700 per household.
Hochul pointed to rising fuel costs as another strain on businesses, particularly those reliant on transportation, saying diesel prices have surged sharply in recent months and are compounding cost pressures across industries.
Insurance costs were another major focus. The governor said New York’s premiums remain among the highest in the nation, averaging about $4,000 annually — roughly $1,500 above the national average. She attributed those costs to what she described as excessive litigation and fraud, and said her proposed reforms could deliver significant savings for businesses.
Hochul said similar changes in other states have led to measurable reductions in premiums, and expressed confidence that a deal could be reached in the coming days.
“I really, truly hope to get this over the finish line just in a matter of days,” she said.
The remarks come as budget talks in Albany continue past their deadline, with affordability measures emerging as a central point of negotiation.
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