NYS Pays Off Unemployment Insurance Debt

Earlier today, Governor Kathy Hochul rallied with the Hotel and Gaming Trades Council, AFL-CIO to announce New York State has paid off the nearly $7 billion federal Unemployment Insurance (UI) Trust Fund loan — a move that will bring the fund to solvency, increase benefits for unemployed New Yorkers and cut costs to businesses. The Governor announced this action back in May as part of the Fiscal Year 2026 Enacted Budget.

VIDEO: The event is available to stream on YouTube here and TV quality video is available here (h.264, mp4).

AUDIO: The Governor's remarks are available in audio form here.

PHOTOS: The Governor's Flickr page has photos of the event here.

A rush transcript of the Governor's remarks is available below:

Thank you, everyone. Is HTC in the house?

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Then I'm in the right place. So great to see a group of people who understands the power of leadership, and in Rich Maroko, you have the very best. He has been —

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We all love him. We love you, Richard. Great friend of ours.

But also I am so fortunate to have partners that I trust and rely on to govern this state, and I want to tell you about Carl Heastie, the Speaker. I don't think we had a single conversation for months where he didn't raise the issue of like, “Governor, can we finally fix the unemployment insurance issue, then we get to everything else?” So he was dogged in his determination to make sure we got this done. I want to thank him. And Harry Bronson as well, our Assemblymember from Upstate New York. Anybody find Upstate New York on a map? It's a great place. Okay. I know we have members up there as well, Harry, but Carl, thank you, thank you, thank you for being conscious.

And Leader Steward-Cousins, making sure that the Senate was on board to drive this and get this over the finish line. These are the leaders that worked with me to say it is time we stood up for our workers. This is how we get it done. So thank you to them.

Also, we have an extraordinary Commissioner of Labor who hearkens back to the legacy of Frances Perkins, who was so forward thinking when she was Commissioner of Labor for FDR when he was Governor. Did you know he was Governor first? Yeah, okay. Then he went to be President, he took her with him and they changed the course of history by lifting up people in the greatest time of need. And I want to thank Roberta Reardon for being our 2025 version of Frances Perkins.

Alright. It's time to just talk this time. Is this on? It is on. Alright.

These are really tough times for our people. When we can do something like this, it sends a message that we care so deeply about every stress that people are going through, especially the high cost of living. It is oppressive. It is so discouraging because you work hard and many of you came from immigrant parents or grandparents or yourselves. You came here to live the American — in fact, I'll say the New York Dream, and no matter how hard you're working and you're getting good wages because you have a great fighter — sometimes it just feels like we're not getting ahead. No one counted on a pandemic to slam us down and to stop people from coming to our city, which is the bread and butter of this union. Remember those times. We tried to help you with resources at that time, and then when you think we're out of the woods, now we're going to be okay — this is New York — then inflation knocks us down. Everything you bought for your little kids taking care of your teenagers, your adult kids who needed your help, they sometimes didn't even leave the basement, right? They couldn't find a place to live, right? People have struggled, no fault of their own.

So, I have declared for a long time that your family is my fight. I announced that with a whole set of reforms back as part of my State of the State. You know what we got done? Everything I wanted to do. It's $5,000 back in families’ pockets and I want to thank our leaders once again because when I said we need a middle class tax cut the largest in seven years, they said yes. When I said we need an inflation rebate, putting $400 back in peoples’ pockets, they said yes. A Child Tax Credit — anybody with little kids? They're pretty expensive, aren't they? I mean, I'm New York's first mom Governor. I know. And I'm a grandma too, so I know what it costs for families today. A $1,000 for families with a child under the age of four or $500 for older kids. And we're going to pick up the cost of school lunches and breakfast. That adds up to $5,000 for New York families.

So we have been laser focused on affordability and we're just getting warmed up. We know we can do more. When I think about our union men and women now, we are the most unionized state in America. The most pro-union state in America? Yes, and I happen to come from the most unionized part of the most unionized State of New York, and that is Western New York. We got a Western New Yorker out there. Really? Where are you from? Alright. I'll know you're a real Western New York if you say, “Go Bills,” or — I'll stop. I'll stop. I know I'll keep that for the season. Alright, let me get back on track. I am trying to unite Upstate and Downstate. There are three teams coupled, placed somewhere else, but okay, we'll work on that.

But it's in my blood because grandpa was a very poor immigrant who lived in great poverty, worked as a migrant farm worker himself, came to Buffalo to make steel with his hands. My dad did the same, his brothers did the same. My next door workers worked at the GM plant. So it is in my blood to fight for working men and women. And when I know there's something that happens periodically, because I've been on so many strike lines, then people need to strike for better wages and conditions — that first of all, to wait three weeks for those benefits to take effect. That's a long hungry time for your family — long time. My dad was on strike when we were little kids at the steel plant. His parents tried to help him out. They struggled. I remember him telling me this. I didn't know this story until much later in his life. So, families suffer when the parents are out there fighting for good wages and benefits. We can't let that happen. It's now three weeks down to two. We made that happen for you.

But to think because there was this huge debt owed to our unemployment system, and I want to give — everybody give another round of applause to Roberta Reardon, who made sure the checks went out during the pandemic. We owed a lot of money and they said under the rules. You can't raise that amount up from $504 a week. I said, “$504 a week. Who can live on that? Nobody. Nobody”. And I said, “Well, why aren't we able to raise it?” Well, you have to pay down the debt. Alright, so we have these reserves, it's going to be $7 billion that we shipped from here over here to pay it out. And that's a lot of money. I worked hard and I said, “I'm saving that for a rainy day.” And all of a sudden I declared. It's raining. It's raining. It's time to make sure that if people are on strike or unemployed, lose their job — $869 a week. That's how we lift people up.

And I'm going to continue because we have a long road ahead, but I'll tell you, we're all New Yorkers. There's nobody tougher than us, right? We are strong, we're resilient, and all these policies out of Washington are scarier than hell. Talk about the hotels losing business from the Canadians. It's hard to blame them because they were insulted by our President, right? We're trying to win them back. I was up in Elise Stefanik’s district Friday, meeting hotel owners up there and small businesses and people in the restaurants. They're going to be starving because the Canadians used to come over. They're our friends, they're our neighbors. They used to spend weekends here in New York City staying at your hotels. And now they're saying, we're not coming. The President needs to reset that relationship now. Let them come back, fix that relationship now.

And we're on a high, we're having a good time. This is New York. But if those bills that you hear about — the Big Ugly Bill that is being worked on by the Senate right now to give tax breaks to millionaires and billionaires out of your pockets — that is going to be devastating for people on Medicaid and people who need the support for childcare. And SNAP benefits, my gosh, so many families rely on this. So, I'm excited about what we can do here in New York, but we must continue to be the firewall to stop the insanity in Washington. Say no matter what they do, we have your back here in the great State of New York. You can count on that.

Thank you, everybody. Thank you.