NY Governor Kathy Hochul Delivers State of the State Address

Let's, give them a round of applause. Thank you and good afternoon. It's an honor to be back with you in this hallowed chamber. A place where since 1879, civic-minded New Yorkers have wrestled with everything from the Great Depression, to World Wars, to the everyday issues that matter most to the millions of people who call New York our home. Generations of past leaders have shared the solemn responsibility of representing their citizens, and I'm honored to be joined by the leaders of today. First, let me thank our Lieutenant Governor Antonio Delgado. He has done an amazing job, so proud to have him at my side. I want to thank senior Pastor Darius Pridgen for the beautiful invocation, and I look forward to seeing you perhaps this Sunday in church. Save me a seat. State Comptroller Tom DiNapoli, State Attorney General Tish James, Senate Majority Leader Andrea Stewart-Cousins, Assembly Speaker... You can applaud any one of them you want. Assembly Member Carl Heastie. I'm going back to the majority leader. Majority Leader Andrea Stewart-Cousins. Women have to look out for women. Okay. Speaking of powerful women, Majority Leader Crystal Peoples-Stokes, great leader. Senate Minority Leader Robert Ortt, again, another Western New Yorker. The Assembly Minority Leader Will Barclay. The esteemed judges of the New York Court of Appeals, New York City Mayor Eric Adams, mayors and county executives from all across the state. And we're also joined by, yes, give them applause, former governors David Patterson and George Pataki. Also, many representatives from labor, distinguished guests, clergy leaders including Dr. A.R Bernard, who is the president of our Executive Interfaith Council. Members of my cabinet, Secretary Karen Persichilli Keogh and counsel Liz Fine. And a special tribute to my policy director, the visionary behind many of our great ideas, Michael Asher. But today, it's not about us. It's about the 20 million hardworking New Yorkers we are privileged to represent and what we can deliver for them in the year ahead. Now I've listened as New Yorkers have told me about the challenges they face and the dreams they hold. And it's with them in mind that I proudly share my vision for 2024. (05:39) The state of New York is strong, stronger today than when I became governor two years ago. It's healthier, safer, more affordable. Now we've traversed some rocky terrain and there's still some switchbacks before we reach this summit. Across our nation and our state, people worry that a safe and affordable life is somehow out of reach. While shootings and murders have declined by double digits, safety at the grocery store, the synagogue, or the subway is always top of mind. And although we've made great strides to take guns off the streets, too many parents are still fearful as their children get on the bus each morning. And too often, troubled individuals are discharged from the hospital without receiving the care they need and go on to commit violent acts. The potential of a crime no matter how serious is causing anxiety for our residents. And on top of that, they're also frustrated with the cost of living. (06:52) Inflation is down 9.1% to 3.1% over the last 18 months. Paychecks are finally growing and yet our neighbors are struggling to make a dollar go further. And sadly, no matter how hard they work, they fear they'll never be as successful or get as far as their own parents did. These are the reasons that I fight every day, to give New Yorkers a better shot at a better life. And since taking office, I've worked with this legislature to create more than 600,000 jobs and reduce unemployment from 7.4% to 4%. And we did that while holding the line on taxes across the board. And in fact, we cut them for the middle class. We boosted K through 12 education by $5.3 billion, an extraordinary 18% increase, and we fully funded foundation aid for the very first time in history. We increased healthcare funding by 20% to more than $112 billion. And we gave $1.3 billion in raises our hard-working home healthcare aides and bonuses for healthcare workers because they deserved it. (08:37) And just this morning, as a result of our hard work with President Biden and his administration, we'll be able to invest over $6 billion in federal funds into our healthcare system over the next three years. This funding will help support our safety net hospitals, address healthcare workforce shortages, strengthen access to primary and behavioral healthcare, all important primaries of all of us. And on top of that, over the last two years, we invested over $7 billion in child care. At the same time, we saved the MTA from a looming physical cliff that threatened the economy of an entire region, while ridership grew by 435 million new riders. And no administration and no legislature ever before has invested more money faster into our roads and bridges and public infrastructure to rebuild our state. And I'm grateful, grateful for your continued partnership and for the leadership of our majority leader, Andrea Stewart-Cousins, and Carl Heastie, our speaker. Thank you. Thank you to both of you. Thank you. (10:08) Now we've worked hard to restore integrity and trust in government. And here's what I know. You'll always see more headlines about the handful of places we disagree. But the truth is, we are united, united in our commitment to the people of this state. And together, we've already achieved so much. But standing here and reciting accomplishments is not what people want from their leaders. Now, we will continue to fight the right fights on their behalf and relentlessly pursue common-sense ideas that lift up the people of this great state. Joining us today is Quentin Colon Roosevelt. Quentin is the great-great- great-grandson of Teddy Roosevelt who took the oath of office to be president exactly 125 years ago in a place called Buffalo. At just 19 years old, Quentin is the youngest elected official in our nation's capital. Quentin, stand up. Thank you. A great future. I told him public service runs in his veins and we expect even more. But like Quentin, I, too was inspired by the 33rd governor of New York. In fact, I quoted Teddy Roosevelt my very first day in office. I promised to always strive valiantly on behalf of New Yorkers and be the woman in the arena. And that's exactly what we've done. That's why I'm willing to take on the stubbornly persistent crimes like retail theft, domestic violence, and hate crimes. We're going to also revolutionize our mental health insurance structure so people actually get the help they need. And we'll be protecting your hard-earned money from bad actors and predatory lenders. And at the same time, we'll continue to build New York to a place that welcomes businesses, new and existing, small and large, family-owned and publicly traded. We'll keep driving the long-delayed infrastructure in public transit projects like the Second Avenue subway extension, the Interboro Express, the I-81 Viaduct, the Kensington Expressway, creating thousands and thousands of good-paying union jobs so our workers can support their families. (12:55) And we'll fight for minimum wage workers because no one should labor 40 hours a week and still live below the poverty line. And we'll fight for our farmers threatened by extreme weather and workforce shortages. We'll fight for seniors trying to make ends meet on a fixed income. We'll fight for women balancing motherhood and careers. We'll fight for children just beginning their journey in life. And in so doing, we'll pursue the common good with common sense by seeking common ground. As we uphold these commitments, understand this, we cannot spend money we do not have. Pandemic funds from Washington have dried up. Inflation didn't just hit families, it hit state government operations as well. So it's up to all of us to make the hard yet necessary decisions and use taxpayer dollars creatively and responsibly. And I'll discuss how I'll tackle some of the toughest fiscal issues like caring for migrants and a structural deficit in next week's budget speech. But right now, let's talk about how we provide a better life for New Yorkers. Starting with the initiatives we already announced since the new year. (14:33) Last year, infant deaths were up for the first time in 20 years. And black and brown women remain three to four times more likely to die in childbirth. I won't let this continue on my watch. We must ensure moms have healthy pregnancies. So I want to make New York the first state in the nation to offer prenatal leave. We must protect women from unnecessary surgeries that put them at risk. And we're also giving children the resources they need to live full, healthy, successful lives. And that starts with teaching them how to read. I say it's time to get rid of debunked curriculums in schools and get back to basics using phonics and proven techniques that work. We're also promoting physical health and well-being by building pools in underserved areas and teaching people to swim. And I'm proud that Lieutenant Governor Antonio Delgado will lead a newly created office of service and civic engagement. He and his team will connect New Yorkers who want to give back, especially young people to service opportunities all across the state.

And this is just the start of our comprehensive agenda for New York in 2024. We'll protect the environment by planting 25 million trees, fund resiliency efforts, and expand solar access, and make sure our state meets our bold emission targets. (16:25) We'll promote jobs in agriculture and invest in family-owned farms. We'll connect New Yorkers with disabilities to career opportunities and fund research into rare diseases like ALS that robs millions like my own mother of their vitality. While we address countless challenges with 204, yes, 204 policy initiatives in our 2024 State of the State book, which I'm sure will find its way to your nightstands this evening. Today I'm going to just focus on a few key common sense items for our agenda: fighting crime, fixing our mental health system, and protecting New Yorkers hard-earned money. Let's talk. (17:21) Let's talk about crime. If government can't keep their citizens safe, then nothing else matters. Last year, we reduced gun violence, bringing shootings down by a third all across the state. Murders are down 21% in New York City, 38% upstate. We made key revisions to ballot reform to make New York safer. We enacted gun control legislation. That's a model for the rest of the nation, but certain types of crime have been stubbornly high. New Yorkers see it every day. Graffiti scrawled outside a synagogue, baby formula locked behind plastic panels. A couple's argument turns violent and punctuated by gunshots. And on the subway, people suffering a mental breakdown or an overdose. Episodes like these can cause an atmosphere of anxiety in our communities. But our success in driving down gun violence proves that targeted strategies do work and that changing trends is indeed possible. So today we're unveiling a series of crime-fighting tactics alongside an era-defining mental health initiative. (18:46) So New Yorkers can live free from chaos and disorder and focus on the things in life that matter most. First, we must ensure everyone is safe at home by protecting them from domestic violence. Now, the random attacks get all the press coverage, but New Yorkers are much more likely to be hurt by someone they know. In one-third of assaults, the attacker and the victim have a prior relationship. Our system fails too many survivors. In New York City alone, 84% of domestic violence arrests end with dismissals. Think about that. And before last year, too many abusers had access to guns, so we changed the law. (19:42) But now the Supreme Court is poised to possibly overturn a law that keeps guns away from the abusers. We need to strengthen protections, and it's more urgent now than ever before. You may have heard me talk about how my mother grew up in a home where domestic violence was routine. She dedicated her life to survivors to break the cycle of trauma, and we know that prosecuting violent abusers is the best way to protect survivors. Take the story of Elizabeth Beechert, who's here with us today. Elizabeth, please stand. Elizabeth lives right across the river in Troy. Not long ago, she was trapped in an abusive relationship. She and her pets suffered regular abuse at the hands of her ex-boyfriend. He killed one of her kittens, maimed another. Then one day, her life changed. A veterinarian told her about Unity House, a nonprofit that helped survivors of domestic violence. Eventually, she met Troy Police Detective Russ Clements, who's also joined us. Detective Clements. Thank you. Thank you. He helped Elizabeth find the strength to pursue justice and filed charges. He assisted with police reports and stood by her side at the grand jury. With his support, Elizabeth has made a clean break from her abuser and is rebuilding her life. Let's give them both the round of applause. I want to hear more hopeful stories like this, and that's why we're dedicating $20 million so district attorneys can gather evidence to prosecute abusers and take their guns away. And we're committing more funding so police can protect those most at risk of abuse and clamp down on repeat offenders because every survivor should have the same chance to break the chain of violence and build a new life. Across our nation and our state, retail theft has surged, creating fear among the customers and the workers. Thieves brazenly tear items off the shelves and menace employees. Owners go broke replacing broken windows and stolen goods, driving many out of business. These attacks are nothing more than a breakdown of the social order. I say no more. The chaos must end. For the very first time, we're launching a joint operation between federal, state, and local law enforcement, along with the brand new state police unit, to crack down on organized retail theft. As I said, we use this approach with illegal guns, and it worked. I'm also proposing to help those business owners with a tax credit to help them cover the additional security costs. And I'll work with the legislature to strengthen penalties for assaulting a retail worker or fostering the sale of stolen goods online. Let's get it done. Let's back our businesses. Back our businesses and the workers with the full force of the law and punish those who think they can break the rules with impunity. And this extends to the illegal cannabis vendors who flagrantly violate our laws. We'll empower localities to go after the unlicensed shops, prosecute businesses that sell to minors, and padlock their doors faster. (24:22) Finally, regarding crime, I want to talk about hate crimes, particularly the rising tide of antisemitism and Islamophobia. Since the horrific attacks by Hamas against Israel on October 7th, there's been roughly a 95% increase in hate crimes against Jewish residents of New York City, and we're seeing a surge of anti-Muslim hate crimes as well. Our neighbors are being targeted on playgrounds, and synagogues, and mosques, and on college campuses. And I will not rest until every Jewish and Muslim child feels safe going to school or entering a house of worship. So we propose to make more than two dozen additional offenses, from gang assaults to graffiti, eligible for prosecution as hate crimes. This means enhanced liability sentences, and ultimately, it means we're standing up for what's right. We'll protect the people of this state. (25:27) We'll carry this fight until every New Yorker feels safe at home, at prayer, and at work. But no matter how much we spend on law enforcement or expand their powers, New Yorkers will not be able to let their guard down until we fix our mental health system. Because here's the truth. From Brooklyn to Buffalo, many New Yorkers are suffering. Mental illness doesn't discriminate. It touches the rich and the poor, it reaches into schools and senior centers with the same severity. Even our first responders are suffering. Their experiences on the job expose them to horrific circumstances, and the suicide rates among law enforcement are about 60% higher than the rest of the population. And too often, the people involved in violent incidences on our streets, on our subways are victims themselves, victims of a system that failed to provide them the treatment they need. High-quality care must be widely available, accessible, and affordable. (26:52) Yet for decades, the mental health system was deprioritized and defunded. Over the 10 years before I took office, funding for mental health grew only by 2%, not even keeping up with inflation. The results? Too few psychiatric beds, too few mental health practitioners, and failing support systems. Combine this with pandemic isolation, opioid addiction, and the toxic algorithms that govern social media. It's no wonder we have such a serious problem in our hands. Make no mistake, this is the defining challenge of our time, and that's why my administration, working in partnership with this legislature, has already made unprecedented investments in mental healthcare. A 33% increase just over the last two years, and we boosted funding by $1 billion last year alone. Now, here's what this allows us to do. (28:05) Target hundreds of millions of dollars toward outpatient community-based services, create more than 3,500 housing units for people suffering from mental illness, increase inpatient psychiatric beds by 1,000, and initiate sweeping measures to help our children, including millions for suicide prevention, eating disorder care, and school-based mental health clinics. Focusing on our kids, it's everything. It's critical because they're our most precious resource. And investing in mental health services for the young means they won't be relegated to a lifetime of needing care later on. When schools close during the pandemic, kids turn to social media to stay connected with friends and family. But a darkness lives on those platforms. Content often promotes themes of sadness, alienation, even suicide. The algorithms that make social media so addictive push that darkness onto young users. I'm thinking about New Yorkers like Alex Spence, who grew up on Long Island. (29:21) She joined Instagram when she was only 11 years old, and immediately the algorithm started suggesting images and videos about eating disorders and themes promoting low self-worth. By the time she was 15, young Alex was spiraling. She was losing weight. She didn't sleep. Her life wasn't hers anymore. It belonged to the algorithm. After her parents intervened and after two weeks in a psychiatric facility without her phone, she emerged a changed person, able to assert herself again. Today, she advocates for other young people at risk and dreams of the day of testifying before Congress about the dangers of social media. Believe it or not, Alex is one of the lucky ones, and her mother, Kathleen, is here with us today. Kathleen, please stand. Thank you. Thank you. (30:39) Here's what Kathleen says, "Social media, it's a silent killer of our children's generation." According to the CDC, one in four teens have considered suicide. Double the figure just a decade ago. For teenage girls, the numbers is one in three. That's why we're going to tackle the scourge of social media that has harmed so many young minds. Attorney General James, the two of us together will continue demanding accountability from social media companies. We'll advance legislation to protect children's privacy and regulate the algorithms that target them on social media feeds. We'll expand peer support program so kids can share safe spaces with other kids with the same challenges. In the meantime, we have to help the kids who are hurting right now. We'll start with historic investments to make mental health services available to every single school-aged child and ensure

That every school that wants a mental health clinic will get one. And I'm glad to be joined today by another great New Yorker, Briana Braverman. Briana. Briana worked tirelessly. She's worked to support school-aged New Yorkers through a program called Youth ACT, which enables young people wrestling with mental illness to stay in their schools and communities rather than receiving inpatient treatment. Thank you, Briana. Thank you for all you're doing. (32:36) So we're building on the progress she already made. Everyone can agree that healthy children are more likely to grow into healthy adults, but too many grow up without the support they need and pose a danger to themselves or others. That's why I'm proposing comprehensive reforms to our behavioral health system. Starting in 2024 we will require hospitals to screen patients with mental health conditions for risks like suicide, violence, substance abuse, and other complex needs. We'll also require that follow-up psychiatric care be coordinated before patients can leave the hospital. It's common sense, but it hasn't been happening. And let's significantly expand mental health courts, which are proven to reduce recidivism. And empower court-based mental health specialists so our most vulnerable get help. Rather than just cycle in and out of the justice system. And as we know, the most extreme cases involve people committing violent crimes, often lacking the capacity to live safely on their own. (33:54) Just two weeks ago at Grand Central station one of those individuals pulled a knife and stabbed two young tourists. Thankfully, the injuries were not life-threatening, but episodes like this extract a vast psychological toll on our communities and everyone else. And just as that act of violence was absolutely abhorrent and inexcusable, so too were the repeated failures that allowed the perpetrator to slip through the cracks. Diagnosed with numerous mental health conditions, including schizophrenia and bipolar disorder. He had a history of terrorizing those he loved and falling into rageful, menacing episodes. He should have received help long ago. We can no longer wait for someone to lash out and hurt someone before we take action, because by then it's already too late. And a relatively small number of people need the most intensive care. So we'll fund specialized housing to provide services to these individuals with a history of criminal justice involvement. (35:08) We often know that... Also know New Yorkers in crisis are discharged back into our communities, not because they've recovered, but because there's no more room in our hospitals. And that's why we're creating 200 best-in-class patient beds for those with the most serious needs. Mental healthcare is not just for those in crisis. Whether it's anxiety, depression, grief, addiction, we've all needed support at one time or another to get through the struggles of life. But seeing a therapist can be expensive, and some people can't afford out-of-pocket payment. And for too long, many insurance companies have refused to adequately pay for mental health support. That changes now. I want to increase reimbursement rates for all state-licensed mental health services. And the new regulations will require insurers to provide out-of-network coverage when timely appointments are not available in network. (36:17) So to enforce it, we'll give to the Department of Financial Services more staff, more discretion to increase fines on insurers who flout the new rules. So I recommend you don't. This matters, because we know when people don't get help, their struggles only become more intense. Addiction is the same. We've all seen lives, in every corner of the state sapped by opioid dependence. My own family has been touched by this epidemic of pain. I still mourn the loss of my nephew and the millions of other lives needlessly cut short. And that's why we're harnessing over $200 million in settlement funds secured by our Attorney General James to bolster and support our workforce [inaudible 00:37:08] addiction treatment professionals, to grow our street outreach efforts, distribute more naloxone and millions more life-saving fentanyl test strips. (37:18) We're leading the nation in disbursement of these funds and spending them quicker than any other state. I envision a future where no parent ever again has to find their child lifeless and glassy-eyed on the floor. Where every New Yorker can feel safe walking the streets or taking the subway. And where our children have every resource to become the best version of themselves. (37:53) Protecting financial health of New Yorkers has to be a top priority for us as well. We've worked hard together, the legislature and our administration to make New York more affordable. Since I took office, we raised the minimum wage and tied it to inflation. We delivered tax relief and utility savings to millions of low and middle-class New Yorkers. And we recruited world-class companies bringing their high paying jobs to New York. Last week, I detailed a series of actions to protect New Yorkers from cheats and scammers. Right now I'm proposing the first significant change to our consumer protection laws in over 40 years. (38:48) We're going to prohibit unfair and abusive practices like student loan servicers pushing borrowers toward the most expensive repayment options, and debt collectors who manipulate seniors into giving up their protected income. We'll establish regulations on the buy now, pay later loan industry, which often lures customers into spending beyond their means. And we're taking on medical debt and dramatically increasing paid disability leave. Because believe it or not, disability leave has not been raised a penny in 35 years. What's the point of paying for this benefit your whole life if it only gives you a fraction of what you need to recover? We have to right this wrong, and increase this benefit from a a paltry $170 a week, which is what people get right now, to bring it up where it would've been adjusted for inflation, as much as $1,250. That's seven times more than it's been, and I say it's about time. (40:08) Because we all know any of us can be struck with an illness, or a weightlifting mishap in the gym can happen at any moment. It's getting better. You know, a ride in the ambulance or a minor surgery can lead to people's financial ruin. You've seen it. I've already signed some of your bills, and thank you. Scrubbing medical debt from credit reports, banning providers from garnishing wages. And now what we're going to do next. I'm proposing that we protect low-income New Yorkers from being sued by the medical debt that they cannot pay. (40:49) And cap monthly payments and interest and expand hospital financial assistance programs. The cost of lifesaving medicine also weighs down New Yorkers. Of the 1.6 million New Yorkers diagnosed with diabetes, many can't afford the insulin. One of them is Heather Whitney, who's needed insulin every day to survive for the last 32 years. Heather joins us today. Heather, please stand up. She has spent her life managing her own disease while fighting on behalf of others, so students don't have to ration their insulin when they go off to college. Seniors don't have to skip entire doses. And diabetic parents don't have to go without insulin to make sure their own sick child has what it needs. So thank you. Thank you for your advocacy on behalf of our citizens. (41:54) So let's end that as well. I want a ban on copays for insulin for anyone, and a state-regulated insurance ban. Because no one asked to become a diabetic, and they deserve our care and compassion. Now let's get to the most important issue when it comes to affordability. You ready? Okay. (42:22) The obscenely high cost of rents and mortgages caused by the unconscionable shortage of housing in New York. It's one of the forces driving people out of every corner of our state. And outmigration is a problem we need to talk about. For 50 years we've been hemorrhaging families who no longer can raise their children in the same communities where they were born. And this decline shows no sign of stopping. But here's what's so interesting. People aren't necessarily moving for warmer weather or lower taxes. Many are moving next door. Of the top five states that New Yorkers are moving to, three of them share our borders and have similar taxes. (43:21) People are earning in New York, but living in New Jersey, Pennsylvania, and Connecticut. We're losing population relative to other states. Now what does that mean? It's a loss of influence. We went from 43 members of Congress when I was a little girl, to just 26 today. But for decades, no elected official in New York had the political courage to even start a conversation about building more housing. Now, big cities around the nation, including our neighbors, showed ambition that dwarfed our own. From 2011 to 2020, Washington DC developed 72 new housing units per 1,000 residents. Boston developed 47. New York City, thriving metropolis, place people want to be, only 27. And people want to be here. (44:22) So until we address our housing shortage many of our neighbors will continue to struggle financially. One year ago, I pushed what the New York Times described as the most ambitious housing plan since the Rockefeller administration in the 1960s. Unfortunately, many made it clear they would not support it. I knew we were unlikely to win this fight overnight or even in one year, but this dire situation demanded immediate action, and I didn't want to wait around for the next legislative session. (45:02) We found innovative solutions using executive orders, freeing 5,500 units in Gowanus that have been languishing in limbo. And we offered financial incentives that people had asked for. Financial incentives for pro-housing communities that demonstrate a willingness to build. Today I'm announcing a plan to expand on those efforts by developing on sites that are owned by state agencies, including former correctional facilities, areas near commuter rail stations, and underutilized SUNY properties. This initiative alone could create up to 15,000 new housing units. I know it's a good start, but it's not enough to fix our affordability crisis. So let's be honest with New Yorkers. The only thing that'll solve this problem is building hundreds and hundreds of thousands of homes. (46:07) Now, New York already spends more than any other state in our nation on housing. Our capital plan is the most ambitious in history. Deploying state and private dollars, adding up to $25 billion in funding. Now, what does that get us? Sounds like a lot of money, right? That results in 100,000 new and preserved units. Very important, but still a fraction of what we need. Here's what I know. Spending more money or insisting on new regulations will not get us out of the deep hole dug by decades of inaction, or overcome the lack of courage to do simply what is required. (47:07) Already New York has vastly more regulated housing stock than any other state, but it still hasn't meant more homes for people. And that's where the status quo has failed. It's a Band-Aid when we need reconstructive surgery. So where does that leave us? We still need an effective statewide approach to encourage new construction, but in the meantime, there are aggressive actions we can and must take now. Now, I remember last year [inaudible 00:47:45] the loudest voices in opposition said they believed in local control. Okay, let's put that to the test. The city of New York, which

... is a local government wants to build 500,000 more homes over a decade. I agree. Let them build. Our plan for New York City, our plan for New York City includes four components of what I proposed last year, restoring tax incentives to build housing that includes affordable housing, eliminating outdated restrictions on residential density that prevents the city from building more, supporting no-brainer ideas like the conversion of underutilized commercial property into homes. That can't be hard. And legalizing basement apartments where New Yorkers already live. (48:51) Again, what we saw in every other state that met the challenge of building more housing, it took decades. But I approached this crisis with a sense of urgency that is required. So what are we waiting for? Let's unleash New York City's potential beginning this session. Do you agree with that, Mayor Adams? (49:14) All right. So now is the time to act. New Yorkers are tired of waiting. I'm tired of waiting and I know we can do this. It takes political will. It takes a collaboration. It takes a commitment to deliver what New Yorkers desperately want. And we my friends are up to the task because police officers, firefighters, nurses, and teachers should be able to live in the communities they serve. (49:57) And our children and grandchildren should be able to one day build a life in the towns and cities where they grew up. And while building more homes is absolutely essential, it's also essential that we have good paying long-term jobs so people can provide for their families. (50:16) Now, I know as an upstater who lived through decades of decline and job loss, there was a time when our greatest export was our children. I'm glad to report those days are finally over. But as a governor, I know it's hard to recruit new businesses, but if we're intentional, targeted, invest in our communities, our infrastructure, our education system, then we can beat out all the others, all the other states and land incredible companies. (50:52) I know we can do it because that's how we attracted Micron with its 50,000 jobs and $100 billion of investment. At the same time, we have to keep supporting our homegrown companies like Corning, IBM, Global Foundries, and countless others. But it's not just about jobs in tech, it's about the ripple effect when they come. The local construction jobs that are created, the restaurants, the small businesses that flourish as a result. (51:27) Now, since taking office, I've been laser-focused on developing industries of the future like semiconductors across the state. But now we have a unique and fleeting opportunity to catapult New York ahead of its competition. I propose nothing short of making New York the global leader in AI research and development, the leader for the nation, the leader for the world. (52:04) Our reputation across the globe has always been synonymous with boldness and innovation. So where else but New York should this be happening? AI has already the single most consequential technological commercial advancement since the invention of the internet. AI has already been valued at $100 billion just last year, and it's brand new. And it's projected to reach 1.3 trillion by 2030. (52:34) Now, other states want it too, not to mention foreign powers like China, but whoever dominates the AI industry will dominate the next era of human history. That's what we can do here in New York. Those next generation super computers. They'll power AI, but they're currently in the hands, just a handful of private companies, Google, Meta, Microsoft, OpenAI. I'm proud to announce that New York will be the first place in the world to put that type of computing power directly in the hands of leading academic institutions who've stepped up to participate. (53:23) Cornell, NYU, Columbia, RPA, and our entire SUNY and CUNY systems. We have geniuses at these schools just ready and poised to innovate and launch new companies, and now they'll have the power to change the world. Now, in order to win this race of the future, we need this specific hardware. That's why I'm proposing the Empire AI Consortium to purchase and share AI computing power right here in New York. And we've already secured more than $125 million from philanthropic and university partners. (54:11) And over the next decade, the stable commit up to $275 million to the consortium. So you say what's in this for New Yorkers? Well, just like Silicon Valley exploded in the 1980s, we will be the birthplace of countless new startups, spin-offs and the technological advancements that benefit everyone. Just imagine the possibilities. AI can help diagnose cancer and cure diseases. It can predict dangerous storms. So our communities have advanced flood wordings. We could use that today or uncover solutions for stubborn racial and economic disparities in our communities. That's something, Holiday Sims, a senior at the University of Buffalo who's with us here today is already working on. Holiday? (55:18) Let me tell you what Holiday is doing. She's conducted research on how AI can improve the child welfare system and she's passionate about increasing black women's participation in computer science. Holiday, stand up again. Thank you. Holiday and scholars like her in our universities will help build this industry of the future. And with this new consortium, we will drive ethical AI development and do it in a way that protects our workers and make it a force for good in the world. (56:17) We'll be the very first to harness the power of the private sector, academia and government to galvanize this industry. And I said we'll share this power and make it available to people like Holiday who are innovating for the good of society. That's how we change the world. Together, we can ensure our children grow up in a new cradle of innovation, a globally competitive AI driven economy created right here in New York. (56:42) This is my final message, direct to New Yorkers. You've heard promises before and it's hard not to be cynical or feel overwhelmed by the swirl of chaos in our newsfeeds. The war in Israel and Gaza, white supremacists attacking our houses of worship and schools and grocery stores, unfettered theft at the local drugstore and the stack of bills on the kitchen counter that never seems to go away. (57:18) New Yorkers look at their bank accounts wondering how they'll pay their rent or afford the insulin for their child to survive. Those nights of worry can be so long, so dark, and I know in those moments I can actually understand why some people feel the sun is setting on the Empire State, but I don't despair because I see light on the horizon. We are a state where resiliency runs in our veins. No mountain is too high for us to summit. And you know what? Our strength is forged in the diversity and the industry of our people. We succeed because of our contrasts and our amazing differences because we know we're more powerful together than on our own. (58:16) It's fascinating to me that our great state is home to the world's leading financial institutions, but also supports the tiny mom and pop shops that dart at the main streets of our tiniest villages. You know what I mean? New York is a living, breathing body with all of its flaws and imperfections. It's still an extraordinary and magnificent being. It's the creative minds that bring song and dance to Broadway and action to our screens. It's a strong backs of our proud manufacturing workers who make products sold around the world. (58:55) It's the deft hands of the most gifted surgeons fighting cancer and saving lives. It's the strong shoulders of our hardworking farmers cultivating their fields and feeding our people. It's the nurturing spirit of our child care providers and teachers who care for our children. It's the concerned eyes of our healthcare workers striving to heal the sick and comfort the dying. And it's even the welcoming smile of bodega owners making a bacon, egg, and cheese in the morning. They're good. I've had them. (59:39) Quoting the philosopher Taylor Swift. She reminds us that everybody here was somebody else before. And although people might live fundamentally different lives, they still stand side by side on the subway platform or sit at a counter in a diner upstate or Long Island. United as New Yorkers. We all want our great state to succeed. It also means lending a helping hand to those in need. Another one of my predecessors, FDR said, "The test of our progress is not whether we add to the abundance to those who have much, it's whether we provide enough for those who have too little." Thank you. (01:00:34) That's why we must lift more people into the middle class and gave them the same opportunities than my own immigrant grandparents had and many of your parents and grandparents. Even you. We don't want a New York that's a huge gulf between the rich and the poor. We want to build a bridge to the middle class and beyond. Today, I've told you how we'll build that bridge in 2024. We're enacting a vision of New York where veterans can embark on incredible careers, fighting climate crisis, and green energy, offshore wind, where unions are strong and our infrastructure resilient to withstand those 100 year storms. (01:01:23) It's where all children learn to read and swim, where children with disabilities have pathways to pursue their dreams, where our LGBTQ plus neighbors are free to be their true selves without discrimination, where we honor and support our first communities and where women know that I'll always fiercely protect their right to an abortion as well as fair wages, freedom from domestic violence, sexual assault, and harassment. (01:01:56) Thank you. My friends, we'll never compromise our progressive values as New Yorkers because our New York is as powerful as Niagara Falls. It shines as brightly as the Montauk Lighthouse. Our New York stands as resolute as Lady Liberty, and our compassion runs as deep as a glacier carved Seneca Lake. In our state, we stand with New Yorkers even on their darkest days, and we support all people to live their lives with optimism and hope. And if we as leaders fulfill our commitments, and our promises, then this is the dawning of a new day. Welcome to our New York. Welcome to our future. Thank you.

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