| | | | |  | | By Nick Reisman, Emily Ngo and Jeff Coltin | Presented by Healthcare Education Project | With help from Jason Beeferman
|  Gov. Kathy Hochul at her State of the State address last year. Hochul will focus this year's address on an array of pocketbook issues facing New Yorkers. | Don Pollard/Office of Governor Kathy Hochul | NEW YORK MINUTE: Time’s up today for about 40 families with children who must leave New York City shelters because they’ve reached the 60-day limit on their stay imposed by Mayor Eric Adams. City officials say they’ve held meetings to help the migrants with their next steps, but some families tell reporters that has not been the case. The families exiting The Row hotel in Manhattan can reapply for city shelter. HOCHUL’S SOS PLANS: Gov. Kathy Hochul delivers her third State of the State address today against the backdrop of a state beset by high housing costs, a migrant crisis that has shown no sign of abating and ongoing concerns among many voters that crime remains a major problem. Hochul will address all of these issues when she unveils her 2024 agenda in the state Assembly chamber. (Read more about the dilemma she faces this election year.) The governor will focus, broadly, on a menu of pocketbook issues facing New Yorkers, like housing, as well as the sustained voter worries over public safety. To that end, she plans to tackle shoplifting at retail outlets, a problem that has been highlighted by social media videos showing thieves cleaning out shelves. One plank in the anti-shoplifting agenda will be the creation of a State Police task force to address the issue, two people familiar with the plans said and first reported by the New York Post. The proposal comes after Hochul vetoed a measure late last year to create a commission to study retail theft. Democratic Assemblymember John McDonald, who sponsored the bill, said Hochul’s plans will be geared toward immediately addressing shoplifting. “She wants to do something, and I think it’s going to be focused on recognizing the employees on the front line; we need to protect the employees,” McDonald said. But there are also limits to what broad-based accomplishments both Hochul and the Legislature can accomplish heading into an election season. The influx of thousands of people into New York from the southern border will continue absent an immigration deal in Congress. “The state is very limited in the things we can do,” Assembly Speaker Carl Heastie told reporters on Monday. “But that doesn’t mean we just don’t do anything and hope that the federal government does what they’re supposed to do.” Agreements in Albany on complex issues can be just as elusive. Lawmakers and Hochul, for example, failed to reach an agreement last year on a sweeping housing package. Top Democrats insist they want to work with the governor on housing again this year — even as some lawmakers consider passing their own housing plan of tenant protections, vouchers and incentives for building new homes. But Hochul has said she will continue to push executive action on housing and hasn’t ruled out making a deal with the Legislature (if one is even possible). Senate Majority Leader Andrea Stewart-Cousins on Monday sidestepped a question when asked if the Legislature would, in effect, try to jam Hochul on the housing issue. “We are focused on doing housing, and I’m hoping we can all get to a good place,” she said. “I think we all want to get to a good place.” Both Stewart-Cousins and Heastie kept their cards close on their conference’s priorities. Mayor Adams, who has made clear he wants help for the migrant crisis and a renewal of his control of city schools, will meet with both when he is in Albany on Tuesday. So add him to the list of those who will want assistance from the state Capitol this year. “We’re going to need some help come this budget cycle from Albany,” Adams told reporters Monday. “We’re going to need some real help.” — Nick Reisman HAPPY TUESDAY: And happy State of the State day to those who celebrate. Got news? Send it our way: Jeff Coltin, Emily Ngo and Nick Reisman.
| | | | A message from Healthcare Education Project: All New Yorkers deserve equal access to quality healthcare, no matter their income or ZIP code. Yet today, Medicaid pays New York’s hospitals 30% less than the actual cost of care. Medicaid underpayments have already caused deep cuts to mental health services and maternity care. It’s an injustice. Families just want care and fear that this crisis could force their hospital to close. Albany: It’s time to step up and end the Medicaid funding crisis. | | | WHERE’S KATHY? Giving her State of the State address in Albany at 1 p.m. WHERE’S ERIC? Traveling to Albany for the State of the State, meeting with New York State Assemblymember Michaelle Solages and the Black, Puerto Rican, Hispanic and Asian Caucus Executive Board, meeting with the New York Conference of Mayors, meeting with New York State Senate Majority Leader Andrea Stewart-Cousins, meeting with New York State Assembly Speaker Carl Heastie, attending Governor Hochul’s State of the State address, holding a media availability session at the Capitol, traveling back to New York City and, lastly, laying a floral tribute for the victims of the Twin Parks North West fire. QUOTE OF THE DAY: “It is imperative that any bus operator providing such transportation into New Jersey notify the New Jersey Office of Emergency Management at least 32 hours before the anticipated date and time of arrival.” — A notice by New Jersey Gov. Phil Murphy mirroring a rule set by Mayor Adams.
|  | ABOVE THE FOLD | | | | 
City Council Speaker Adrienne Adams is threatening to take legal action if Mayor Eric Adams' administration does not implement recent laws that would expand housing vouchers. | John McCarten/NYC Council Media Unit | THE FHEPS FIGHT: The City Council stands ready to file a lawsuit against Mayor Adams if he fails to implement new laws expanding a housing voucher program, according to a final warning letter obtained by Playbook. “If DSS does not show it has taken concrete, verifiable steps to implement these local laws by February 7, 2024, the Council will have no other option but to take legal action,” City Council Speaker Adrienne Adams will write today to Social Services commissioner Molly Wasow Park. The four laws passed in May — with a veto-proof majority — to reform the City Fighting Homelessness and Eviction Prevention Supplement, or CityFHEPS, were set to go into effect today. But Mayor Adams’ administration is putting them on hold, citing “substantial financial, operational and legal issues” with three of the laws. An Adams spokesperson also said they’ve made improvements on their own, stating, “We’ve lifted the 90-day rule, expanded CityFHEPS eligibility and allowed New Yorkers to use a CityFHEPS voucher anywhere in the state.” The council pointed to an Independent Budget Office analysis that shows the mayor is inflating the per-voucher cost. And Councilmember Diana Ayala accused the administration of acting in bad faith. “I’ve never felt like there’s an equal partnership here,” Ayala told Playbook. “These are the attempts by the body to recognize that we have a housing crisis. There are way too many people being warehoused in shelters and that’s been really costly.” In her Dec. 15 letter to Ayala, Park had said that if it comes to litigation, the administration would present more evidence on why the laws can’t be implemented practically. — Emily Ngo
| | CITY HALL: THE LATEST | | | | 
Adams seems to be butting in on Hochul’s executive budget announcement next week. | Michael Appleton/Mayoral Photography Office | POR QUE NO LOS DOS: Adams is planning to release his preliminary budget on the same day as Hochul unveils her own executive budget next week — a bizarre fiscal pileup that will reduce transparency and force the two executives to compete for headlines. Tuesday, Jan. 16 will be a budgetary eclipse that baffled longtime New York fiscal analysts, POLITICO reports. Typically, the state executive budget would be released, and the city’s preliminary plan a week or two later. While the schedules have been tighter in recent years, there have still been at least a few days separating the two. Jan. 16 is the legally mandated deadline for both spending plans, but nothing stops them from coming out earlier. And in past years, the mayor would ask the council to extend the deadline — but amid a moment of particular tension with the council, City Hall didn’t make such a request. — Jeff Coltin and Joe Anuta TALK ABOUT A GHOSTWRITER: Not only did Adams blame an unnamed co-author for misrepresenting a childhood anecdote about firing a gun in school — included in his 2009 book “Don’t Let it Happen” — he said during his weekly press briefing Monday that the tome should never have been published to begin with. One of the book’s yarns describes Adams’ friend bringing a gun to school. Believing the weapon to be a toy, Adams aimed it at a group of his friends and squeezed off a round, though no one was injured. “I never fired a gun in school,” Adams said when asked about the passage, which was first unearthed by Byline, later adding that “I think the co-author of the book may have misunderstood.” Adams — who has a history of misrepresenting stories about his past — said the book was not proofread, and he never reviewed it. A mayoral spokesperson followed up by noting the mayor was never paid royalties on the volume and was unaware of its publication until Monday. The spokesperson, Charles Lutvak, added that the mayor, who is the sole author listed, was referring to a ghostwriter and not a co-author. “The mayor has already contacted the publisher, who is working to take the book out of circulation,” Lutvak said in a statement. Xulon Press, which describes itself as a Christian self-publishing organization, released the Adams opus. Executives there did not respond to a request for comment. The organization is owned by Salem Media, putting Adams in interesting company as a Democratic, big-city mayor. Salem owns a network of conservative radio shows. — Joe Anuta FRIENDS RAISE FOR FRIENDS: Adams is headlining a campaign fundraiser for Assemblymember Jenifer Rajkumar Wednesday night. The $3,000-a-head invite promises a “star-studded night with Broadway singers” at the Hunt & Fish Club in Midtown Manhattan. The host committee includes former Gov. David Paterson; big business lobbyist Kathy Wylde; REBNY’s James Whelan; and Oaktree Solutions’ Anthony Carone — Frank Carone’s brother. Rajkumar is one of Adams’ top allies in Albany, but also a constant presence at Adams’ public events, even ones outside her district or interests. The fundraiser is for her state committee, and she’s filed to run for reelection to her central Queens district this year — but she’s rumored to be eyeing city office as soon as 2025. — Jeff Coltin More from the city: — Adams again pitched involuntary hospitalizations for those with psychiatric illnesses. (The City) — Over 100 pro-Palestinian protesters were arrested after shutting down New York City bridges, as well as the Holland Tunnel. (Gothamist) — Migrants booted from city shelters have been setting up an illegal mini-tent city outside the Randall’s Island housing site — despite the Adams administration’s best efforts to thwart it. (New York Post)
| | | | A message from Healthcare Education Project:   | | | | | NEW FROM PLANET ALBANY | | |  Senate Majority Leader Andrea Stewart-Cousins has to find a replacement for the late John Flateau on the state's the Independent Redistricting Commission. | New York State Senate | REDISTRICTING WATCH: Stewart-Cousins is yet to decide who will replace one of her appointees, the late John Flateau who died last month, to the Independent Redistricting Commission. And a replacement may not come by the time the commission releases a new House map in late February. “This is such a sudden loss for us. Obviously we need to think about who will fill these great shoes,” she said of Flateau, who died last month. “I’m not sure of the timeline. But I’ve started thinking about who that would be.” In the Assembly, Speaker Carl Heastie insisted he and his staff were not in contact with commission members over the high stakes map drawing that was ordered by the state’s top court. “We’ll look at the maps that they send, and we’ll go from there,” Heastie said. Heastie did acknowledge he had spoken with House Minority Leader Hakeem Jeffries about redistricting two months ago, but he said the conversation dwelled on the process of how the lines would be considered and approved. — Nick Reisman More from Albany: — Rochester’s Harry Bronson will replace Latoya Joyner as chair of the Assembly Labor Committee. (State of Politics) — A Tom Suozzi-aligned “ghost entity” dumped dark money into the New York’s governor race in 2022 and got away with potential violations of state law. (NYS Focus) — Hochul approved a taskforce for missing women and girls of color. (Democrat and Chronicle)
| | NEW YORK STATE OF MIND | | — Adams’ administration is threatening to sue the landlord of the Bronx building which partially collapsed last month, after residents claim they aren’t being provided the right to return to their homes. (Gothamist) — Over 5,000 tickets for impaired or reckless driving were issued in the Lower Hudson Valley this holiday season, and 106,509 tickets were doled out statewide. (LoHud) — Migrants who make their way to Long Island pump millions into local tax revenue, a new report finds. (Newsday)
| | | | A message from Healthcare Education Project: Mental health services closed. Maternity wards shut. It’s happening across New York, and one of the reasons is that Medicaid underfunds hospital care by 30%. Hospitals and caregivers give all of their patients 100%, each and every day. But if Albany doesn’t fix Medicaid underpayments to hospitals, the crisis will get worse – some hospitals may not survive.
Albany can end this injustice: Stop Medicaid underpayments and help hospitals stay open. The federal government will pay more than half the cost of closing the Medicaid funding gap, so it’s a savings for New York. Albany: It’s time to step up and end the Medicaid funding crisis now. All New Yorkers need equal access to quality healthcare, no matter their income or ZIP code. | | | | | SOCIAL DATA | | IN MEMORIAM: Joe Esposito, deputy commissioner of enforcement at the New York City Department of Buildings — a longtime public servant who also served as NYPD chief of department and Emergency Management commissioner — died from cancer at 73 years old. (ABC 7) MEDIAWATCH — Jason Beeferman, a POLITICO New York intern and scoopster who helped author this very newsletter, has been hired as our newest reporter based in Albany. Watch out, Capitol! MAKING MOVES — FIRST IN PLAYBOOK: Rep. Jerry Nadler’s outgoing Chief of Staff Amy Rutkin is launching her own practice, Rutkin Strategies. She’ll also serve as a senior adviser to two existing women-led lobbying firms, Kasirer in New York and NVG in Washington. … Former Capalino President Travis Terry has started his own lobbying and consulting firm, Immortal Strategies, where he’s serving as CEO. … Riya Vashi is now press secretary for Debbie Mucarsel-Powell’s Florida Senate campaign. She previously was deputy upstate press secretary for Senate Majority Leader Chuck Schumer. … Shontell Smith and Cristóbal Alex have been promoted to partner at Tusk Strategies. Smith is the head of the New York practice; Alex is the head of the firm’s DC office. — Per Fox News’ Elizabeth Elkind: “A former aide to ousted Rep. George Santos, R-N.Y., is now being employed by Rep. Nancy Mace, R-S.C., Fox News Digital has learned. Santos’ former communications director, Gabrielle Lipsky, started in a similar role for Mace this month.” HAPPY BIRTHDAY: Linda Greenhouse … Brooke Brower … Colin Campbell of Yahoo News … Zubin Manav Sharma … Alex Roarty … Lauren Fritts … Charles Passy … (WAS MONDAY): Rich Pzena
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