6 things in Hochul's state budget proposal to watch for

And how much statewide candidates raised in the latest filing period.

Good evening — It’s Friday and Religious Freedom Day.

In today’s CapCon:

• Gov. Kathy Hochul will release her executive state budget proposal Tuesday. Here are six things to look for.

• Ahead of that, New York’s tax revenue is doing much better than expected, state Comptroller Thomas P. DiNapoli said Friday.

• Here’s what candidates for governor, attorney general and state comptroller raised for their campaigns in the second half of last year.

• Here’s what’s happening next week at the state Capitol.

Names in today’s CapCon: Kathy Hochul, George Pataki, Donald J. Trump, Blake Washington, Thomas P. DiNapoli, Scott Bendett, Chloe Pierce, Antonio Delgado, Bruce Blakeman, Letitia James, Saritha Komatireddy, Michael Henry, Khurran Dara, Drew Warshaw, Raj Goyle, Joseph Hernandez

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Hochul’s budget address in 2025 (Lori Van Buren/Times Union)

💰 Hochul will unveil her executive budget proposal Tuesday. Here’s what to watch for

State lawmakers will get a clearer picture of the state’s finances Tuesday when Gov. Kathy Hochul details her proposed spending plan for the next fiscal year.

Last year’s state budget totaled $254 billion in all-funds spending, which is the combination of state and federal dollars disbursed by the state. State operating funds alone totaled $146 billion.

State budgets in New York are like elections: each one is framed as more consequential than the last. There’s never an easy state budget, even when the state was flush with pandemic cash.

But each year’s state budget is different, both in spending and the policy that’s ultimately forced into negotiations between Hochul and the state Legislature.

Here are five things to watch for in Hochul’s budget address and the legislation her office will release detailing the spending plan.

1. How much more in spending will Hochul propose?

Heads would explode at the state Capitol if Hochul proposes a budget that doesn’t increase state spending. The state budget hasn’t dipped since the era of former Gov. George E. Pataki.

But as the state Division of Budget projected when the most recent state budget was approved in May, the state’s expenses are currently expected to outpace revenue through fiscal year 2029.

The question for Hochul on Tuesday is how much she’ll propose to increase spending above the $254 billion benchmark of this year’s state budget and whether the state’s higher-than-expected revenue growth (more on this later) can match it.

Spending has increased by more than $10 billion each year since Hochul became governor.

2. Will Hochul propose tax hikes or new ways to raise revenue?

The other side of the coin is revenue. Hochul has already said she’s proposing $1.7 billion in new spending as part of her plan to expand child care in New York.