New York state faces a cumulative three-year state budget gap of $34.3 billion through fiscal year 2029, state Comptroller Tom DiNapoli said in a report on Friday.

DiNapoli said when accounting for the recent federal actions and cuts, the gaps as a share of spending reach levels not seen since the Great Recession.

According to the comptroller, the $34.3 billion gap is up $7 billion since the January release of Gov. Kathy Hochul’s executive budget for FY 2026 and can be attributed to downward revisions to the economic forecast and projected revenues, as well as increases in projected spending.

“The Financial Plan paints a challenging picture for the state that will only grow more problematic with the incoming federal cuts from the reconciliation bill signed by the President,” DiNapoli sa

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