Discussions among the Governor, Senate and Assembly leadership have narrowed to a few fiscal and policy issues that will determine the final state budget. Negotiations have moved behind closed doors as leaders work to resolve outstanding differences in spending priorities and major Article VII proposals. The State Budget is now a month past its statutory deadline of April 1, 2026.
Among the issues still drawing attention are labor and workforce proposals with potential downstream effects on New York’s construction sector. Of particular concern to NYECA is legislation expanding temporary disability insurance (TDI) benefits, which remains a priority in the Senate but has not gained traction in the Assembly, in no small measure due to our opposition. NYECA recently met with Assembly Labor Chair Harry Bronson to reiterate the industry’s concerns and advocate against increasing TDI benefits that would increase employer costs.
NYECA is also closely monitoring discussions surrounding potential reforms to the State Environmental Quality Review Act (SEQRA), an issue with substantial implications for project schedules, permitting timelines, and overall construction costs statewide. Current proposals under discussion include measures intended to shorten environmental review periods, reduce overlapping regulatory analysis, and limit litigation-driven project delays that have historically stalled infrastructure and development activity. Whether these provisions are ultimately folded into the final budget remains unclear, and there remains a possibility that SEQRA modernization could instead advance later this session through standalone legislation.
NYECA is advocating with policymakers and other stakeholders on priority budget items and will report to NYECA once the final budget is adopted.
NYECA continues to lobby on A.8900, which would require Workers’ Compensation Board assessment relief for the NYECA EESISP program. Assemblyman Harry Bronson, Chair of the Assembly Labor Committee, is our Assembly bill sponsor and we are happy to report that Senate Labor Committee Chairwoman Jessica Ramos has agreed to introduce the bill in the Senate, and we are awaiting confirmation of a bill number in that chamber. Once we have secured bill introduction in both houses, we will reapproach the WCB and again engage them on this issue before we attempt to advance this legislation.
On June 18, 2026, the state’s new offsite custom fabrication law goes into effect. Despite intense opposition from many different industries and sectors, Governor Hochul signed this into law in late 2025, with subsequent amendments that were enacted in early 2026. NYECA has been advised that DOL will likely not promulgate regulations on the implementation of the law, but rather will publish informal “guidance.” Either way, ultimate resolution of this matter will not be via the legislative process at this point – it will likely be decided by a judge ruling on the constitutionality of the offsite custom fabrication law, as a court challenge is highly likely.
NYECA is also working on the priority legislation below, which includes several new bill introductions (including items discussed above).