New York State’s budget deadline has passed, leaving billions of dollars and key policy decisions in limbo as lawmakers remain locked in negotiations.

Governor Kathy Hochul and legislative leaders are working behind closed doors to address major sticking points, including changes to discovery laws that prosecutors argue are overwhelming their offices. Other unresolved issues include a proposed tax increase to support MTA improvements and potential changes to retirement benefits for police officers.

State Senator Pat Fahy highlighted the pressing concerns surrounding mental health and criminal justice funding, emphasizing the need to secure resources for essential programs.

“Monies for our roads, our bridges, monies for Medicaid, for special education. Some really important issues that we care a lot about,” Fahy said. “It is a cloud hanging over us, and already we are seeing very serious cuts to the Veterans Administration, the USDA, and programs impacting farmers, as well as threats to our school lunch program.”

To prevent disruptions, lawmakers are expected to approve a short-term funding bill while negotiations continue.