More state money headed to WNY

Hochul announces additional $150 million in financial assistance for municipalities outside New York City

√ Governor increases Temporary Municipal Assistance by $100 million to all cities, towns & villages across state

√ City of Buffalo to receive an additional $40 million in direct aid

Submitted by the Office of Gov. Kathy Hochul

Gov. Kathy Hochul announced New York state will allocate an additional $150 million in financial assistance for municipalities outside New York City to assist in relieving immediate fiscal stress. This additional funding includes a $100 million increase in Temporary Municipal Assistance, which will triple the amount of funding that all cities, towns and villages outside New York City receive from this aid stream. The funding is distributed proportionally to existing Aid and Incentives for Municipalities (AIM) funding – with the cities of Buffalo, Rochester, Syracuse and Yonkers each receiving the maximum amount of an additional $10 million.

The governor also set aside an additional $30 million for the City of Buffalo, bringing the total new investment for the City of Buffalo to $40 million.

Additionally, the governor is also including $20 million for fiscally distressed local governments. These new investments build upon the previous executive budget proposals where the governor included an additional $50 million in Temporary Municipal Assistance to help local governments minimize the burden on taxpayers.

“Having spent years in local government, I understand the unique challenges our local leaders are experiencing, which is why my administration has worked closely with municipalities across the state to increase financial support from the state,” Hochul said. “We want all of New York's municipalities to succeed, and this funding is crucial to putting all of our cities, towns and villages on stronger financial footing and allowing them to keep their residents safe and continue providing the vital services they rely on.”

Temporary Municipal Assistance

The governor’s FY 2027 executive budget extends for one year the $50 million temporary program for cities, towns and villages. This program, which was initially authorized in FY 2025 for two years, provides general purpose aid for local governments. The governor is now adding $100 million in additional Temporary Municipal Assistance to her executive budget proposal, tripling the total to $150 million for FY 2027. This funding builds on the state’s Aid and Incentives for Municipalities (AIM) program which provides state aid to cities, towns and villages outside of New York City.

Regional breakdowns of total Temporary Municipal Assistance for cities, towns and villages included in Hochul’s FY 2027 executive budget proposal include:

• Capital Region: $17.2 million
• Central New York: $20.4 million
• Finger Lakes: $18.1 million
• Long Island: $6.3 million
• Mid-Hudson: $31.2 million
• Mohawk Valley: $13.0 million
• North Country: $4.0 million
• Southern Tier: $8.2 million
• Western New York: $31.7 million

Updated total TMA funding for FY 2027 includes:

• City of Buffalo: $15 million
• City of Rochester: $15 million
• City of Syracuse: $15 million
• City of Yonkers: $15 million
• City of Niagara Falls: $6.2 million
• City of Utica: $5.6 million
• City of Albany: $4.4 million
• City of Troy: $4.3 million
• City of Schenectady: $3.9 million
• City of Binghamton: $3.2 million
• City of Rome: $3.2 million
• City of Mount Vernon: $2.5 million
• City of New Rochelle: $2.2 million
• City of Lackawanna: $2.2 million
• City of White Plains: $1.9 million
• City of Auburn: $1.7 million
• City of Newburgh: $1.6 million
• City of Watertown: $1.6 million
• City of Jamestown: $1.6 million
• City of Elmira: $1.6 million
• City of North Tonawanda: $1.5 million
• City of Poughkeepsie: $1.5 million
• City of Long Beach: $1.1 million

The rest of the updated TMA totals for all New York municipalities can be found here: https://www.budget.ny.gov/pubs/archive/fy27/ex/local/aim/fy27tma-ex30.pdf. 

$30 million additional aid for City of Buffalo

The $30 million for Buffalo is pursuant to a plan where this funding will be pledged to close the city’s budget gap while minimizing any additional burdens on taxpayers and maintaining public safety.

$20 million for financially distressed municipalities

An additional $20 million in funding is for severely financially distressed cities, towns and villages. To be eligible for this funding, municipalities must opt in to receive a comprehensive review through the financial restructuring board for local governments.

City of Buffalo Mayor Sean Ryan said, “My administration is working on a responsible, multiyear plan to fix the structural imbalance Buffalo has operated under for years. But first, we have to close the gap in the budget we inherited. This support from New York state allows us to balance this year’s books without additional borrowing, and reduces the pressure on Buffalo taxpayers in the years ahead. I’m grateful to Gov. Hochul for recognizing Buffalo’s urgent need and providing the resources that will stabilize our finances immediately as we take on the long-term work to put the city on solid footing.”

New York Conference of Mayors Executive Director Barbara Van Epps said, “NYCOM thanks Gov. Hochul for recognizing that New York’s strength begins in its cities, villages and towns, and for reaffirming her commitment to investing in local governments. Our state is only as strong as the communities that power it, and this increased funding reflects her understanding that a strong state-local partnership is essential to delivering the services, infrastructure and quality of life New Yorkers need and expect. This additional aid will deliver meaningful relief not only to municipalities across New York grappling with mounting fiscal pressures, but also to taxpayers striving to balance household budgets amid the rising cost of living. We deeply appreciate the governor’s recognition of the vital role local governments play in moving New York forward, and we urge the State Legislature to preserve this additional investment in the adopted state budget – because when our cities and villages rise, all of New York rises with them.”

New York State Association of Towns Executive Director Christopher Koetzle said, “Towns across New York thank Gov. Hochul and commend her proposal to provide an additional $100 million in unrestricted state aid through the Temporary Municipal Assistance program. This funding delivers critical fiscal flexibility, allowing towns to sustain essential public services and reduce reliance on real property taxes. At NYAOT’s conference on Tuesday, the governor reaffirmed that, as a former town official, she has not forgotten her local government roots. This proposal demonstrates a clear commitment to supporting municipalities with meaningful, direct assistance.”

City of North Tonawanda Mayor Austin Tylec said, “We are grateful to Gov. Hochul for recognizing the financial challenges facing local governments and strengthening Temporary Municipal Assistance. Her continued partnership provides meaningful support to North Tonawanda and helps us maintain stability while planning confidently for the future.”

City of Niagara Falls Mayor Robert Restaino said, “On behalf of the residents of the City of Niagara Falls, we are extremely grateful to Gov. Hochul for extending the temporary assistance program in which the city will receive $6.2 million in funding in addition to funding from the aid to municipalities program. This increase in state support will go a long way in our efforts to enhance services to the taxpayers and other initiatives to beautify and develop city neighborhoods.”