Cuomo, De Blasio Blast Republican $1 Trillion Stimulus Proposal, Warn Of Dire Budget Consequences
NEW YORK (CBSNewYork) - Gov. Andrew Cuomo is sounding the alarm about the new stimulus bill proposed by Senate Republicans, saying the failure to include state and local aid will have dire consequences for New York City and the national economy.
As CBS2's Marcia Kramer reports, it may be just a subway horn, but Governor Cuomo is honking it loud and clear, hoping it can be heard in Washington by the New York delegation and others who will vote on the next stimulus package. It is his "or else" threat - include include local aid for New York, or else:
"That will raise fares for the New York City subway system, tolls on bridges and the fares on the Long Island Rail Road. The funding has to come from somewhere," Cuomo said.
But the governor didn't stop there in calling the $1 trillion stimulus package proposed by Senate majority leader Mitch McConnell inadequate. He warned that no aid for the Port Authority could mean stopping construction projects at JFK and LaGuardia airports. He warned of reduced school aid by 20%, which would increase local property taxes.
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He said it would slow the economy in both New York and the nation.
"When it comes to state aid, they are totally hypocritical. Every economist says if you do not provide state and local aid you will hurt the economy," Cuomo said.
Right now the Republicans and Democrats are far apart. The Republican plan calls for $1 trillion in stimulus money. The Democrats are calling for $3 trillion. Sources on Capitol Hill tell CBS2 that the Republicans intentionally lowballed the offer because they want the Democrats to agree to a liability bill that protects businesses.
Congressman Peter King told Kramer that New York's case is made more difficult by New York City Mayor Bill de Blasio's decision to paint a Black Lives Matter mural in front of Trump Tower.
"It's a self-inflicted wound, the mayor made it more difficult for all of us in the New York delegation to deliver for the state," King said.
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A spokesman for Senate minority leader Chuck Schumer pointed out that he and Sen. Kirsten Gillibrand were able to overcome anti-New York bias in the last stimulus bill and bring over $100 billion to the state.
"They're fighting to do it again this round," said spokesman Angelo Roefaro.
Sources say real negotiations haven't started yet but the hope is to find some compromise by next week.
De Blasio called the Republican proposal for a stimulus plan a "non-starter."
"This plan literally provides zero support for state and local governments that are fighting through this crisis, that are struggling just to keep basic services going, to provide the health support people need," de Blasio said. "The Republican Senate plan just doesn't work."
The mayor said first responders are left wondering if they're going to still have a job in a few months.
He likened the proposal to parking a fire truck outside a burning building but then not actually using it to fight the fire.