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Hochul defends rebate checks, outlines energy and data center priorities

Hochul defends rebate checks, outlines energy and data center priorities

Gov. Kathy Hochul defended the timing of state rebate checks and outlined her positions on energy costs, immigration enforcement, data centers and several other statewide issues during an interview with NY1.

Speaking with host Errol Louis on “Inside City Hall,” Hochul said the rebates were approved with the state budget in May and could not be processed until tax officials reviewed eligibility and finished mailing STAR checks. The interview also covered utility bills, the state's ban on hydrofracking, local police cooperation with federal immigration authorities, Buffalo Bills stadium funding and congressional races.


Rebate checks and utility costs

Louis asked Hochul about more than 8 million rebate checks worth $100 to $200 being distributed fewer than 50 days before an election, citing criticism that the timing was politically motivated. Hochul rejected that argument and said the schedule followed the budget process and administrative work by the state Department of Taxation and Finance.

Hochul said officials had to determine which taxpayers qualified based on 2024 tax records. She described the payments as part of a broader affordability approach that has included middle-class tax reductions and earlier inflation rebates.

The governor also addressed the state and regulatory costs reflected in utility bills. She attributed part of the problem to New York's aging electric grid and said long-delayed upgrades are being charged to ratepayers.

Hochul said she supports an “all-of-the-above” energy strategy and wants to increase power generation to reduce costs. She criticized federal actions affecting offshore wind, wind and solar tax credits and battery storage, while saying her nuclear plans also require federal approval.

The governor said the state is pursuing a ratepayer protection plan intended to prevent utilities from using money collected through customer bills for lobbying, executive compensation and promotional mailings. The interview excerpt did not provide the plan's legislative or regulatory status.

Asked about hydrofracking in the Marcellus Shale, including areas of the Southern Tier, Hochul said the practice remains illegal under state law and that she intends to follow that law. She also cited nuclear and renewable energy and an approved pipeline as parts of the state's energy supply.

Immigration enforcement and local police

Hochul defended a recently enacted policy limiting agreements between local law enforcement agencies and U.S. Immigration and Customs Enforcement. She argued that immigration enforcement agreements pull local officers away from investigating local crimes.

The governor said an $85 billion federal agency should not depend on local police to perform federal immigration work. She criticized Nassau County Executive Bruce Blakeman's opposition to the state policy and rejected claims that the measure would make communities less safe.

Hochul pointed to state spending on police staffing and technology and to declines in subway crime, killings and shootings in New York City. Those claims came from the governor during the interview; the released transcript did not include independent data or a response from opponents of the policy.

Data center rules remain tied to moratorium

Hochul said the state's new Community Investment Framework for large data centers is not a change to her yearlong moratorium on those projects. She said the framework is intended to guide communities that may consider hosting hyperscale facilities after the pause ends.

Under the proposal described by Hochul, companies would cover their power costs and provide host communities with at least $1 million for every megawatt used. She said a 50-megawatt project could therefore produce at least $50 million for local priorities such as roads, child care centers, parks or utility-bill relief.

The governor said the framework would give smaller rural communities negotiating guidance they may not have the staff to develop on their own. She also said local governments could reject projects because of their land use, noise, water consumption and effects on community character.

Hochul said the state has about 30 pending applications for hyperscale data centers, with Upstate New York particularly exposed to development pressure. She said companies should also redesign facilities to use less energy, water and land and to operate more quietly.

The Community Investment Framework was also the subject of a separate state announcement. In the interview, Hochul emphasized that decisions would remain local and that the proposed standards would apply after the moratorium.

Buffalo Bills stadium financing

Hochul also defended the state's investment in the Buffalo Bills' new stadium ahead of the team's home opener. She said the agreement secured a 30-year lease and kept the team in New York.

The governor argued that state revenue generated by taxes on players' income would repay the state's investment during the first 15 years of the lease. She also described the stadium as an economic benefit and part of Buffalo's regional identity, while acknowledging that tickets are expensive.

Hochul said she planned to attend the Bills' home opener and then travel to the opening of Belmont, presenting the two projects as major sports venues at opposite ends of the state. The transcript did not include a detailed accounting of stadium costs or projected tax collections.

Congressional races and federal issues

Discussing her role as leader of the state Democratic Party, Hochul said she has directed money and staff toward targeted congressional races. She said the party opened 42 field offices, hired 100 staff members and won five of seven battleground races in the previous cycle.

Hochul predicted Democratic wins in the seat held by Republican Rep. Mike Lawler, the North Country district represented by Republican Rep. Elise Stefanik and New York's 1st Congressional District. She also said Democrats could hold seats represented by Tom Suozzi, Laura Gillen, Josh Riley, John Mannion and Pat Ryan.

The governor said she had not spoken with President Donald Trump for more than a month. She said their most recent conversation included Penn Station, her nuclear-energy plans and her request that the administration preserve temporary protected status for Haitians.

Hochul said naming Penn Station is not her decision and that she initiated talks with Trump after the election because the project requires federal money. She said her appeal regarding Haitian immigrants did not make progress.

At the end of the interview, Louis referenced a Supreme Court ruling involving an effort to change mail-in voting. Hochul said New York's elections would remain secure and urged voters to participate, but the excerpt did not provide details of the ruling or the underlying case.