State budget allocates ‘flexible’ funding for migrant support in New York City

New York taxpayers are spending $2.4 billion on services for migrants in New York City, prompting claims from some lawmakers about what the migrants are receiving.

Assemblymember Doug Smith, a Long Island Republican, shared an image on his social media accounts that claimed the recently enacted state budget includes free health care and debit cards for "illegal immigrants." 

The cost of providing services for a surge of migrants has been grabbing headlines, so we wondered if Smith’s statement is correct.  

The new budget covers spending from April 1 through March 31, 2025, and allocates $2.4 billion for migrant services over fiscal years 2025 and 2026. The budget doesn’t spell out exactly what the money will be spent on, using broad terms like "humanitarian aid," and "services and assistance." But it also states the money should be used for specific  items such as immunizations and communicable disease testing. A city budget document calls this state allocation "flexible funding." 

The $2.4 billion allocation is included in the state’s Aid to Localities bill, and it’s "for services and expenses associated with the costs of migrant individuals and families entering New York State pursuant to a plan approved by the director of the budget. Such services and expenses shall include, but not be limited to: aid to New York City for providing humanitarian aid, including short term shelter services for such migrant individuals and families; aid to New York City for case management and legal services for such migrant individuals and families; programs to provide services and assistance to such migrant individuals and families; programs to provide immunizations for and communicable disease testing of such individuals and families; programs to assist in relocation and resettlement."

Funds are also available for any state division or the National Guard. 

Gov. Kathy Hochul, when discussing budget highlights in January, said the allocation would go toward helping New York City shelter migrants. 

New York City Mayor Eric Adams told the state Legislature in February the money is not enough to cover the city’s growing expenses associated with the new arrivals. In the city’s fiscal year 2025 budget document, released on April 24, the city estimates that more than 190,000 migrants have arrived since July 2022, and that costs associated with them will reach $10 billion by 2025. In Adams’ city budget message, he said the $2.4 billion from the state is "flexible funding" for costs associated with migrants, with $1.06 billion for sheltering migrants, and $637 million for Humanitarian Emergency Response and Relief Centers, or HERRCs, at Creedmoor Psychiatric Center, Randall’s Island and Floyd Bennett Field.  

Lawmakers asked Adams and his budget team in February what the city would spend the money on. 

"Some of it is going to be spent already on the Humanitarian Relief Centers that we have in place and it's going to be spent on housing and some of the other needs that come with asylum seekers," Adams said. "We have to, and I think it's important for all of us to know, we have to take the full care of the asylum seekers. That's cleaning, housing, feeding, everything a family needs." 

The state financial plan from February offers additional specificity. The state has assisted with state public health insurance programs for people who are eligible and "safety net assistance" for asylum seekers who are eligible. 

It’s unclear whether the "safety net assistance" in the state budget for the city means the money will fund the prepaid debit cards the city is issuing to migrants to purchase food and baby supplies. New York City provided the debit cards because migrants are not eligible for traditional food stamp benefits that are issued on electronic benefit cards. 

PolitiFact left questions six times by email and phone with the state Division of Budget over two weeks but received no response. The city’s Division of Management and Budget also did not respond to two inquiries. 

On the claim the money will fund "free health care," various health care and insurance options are available to immigrants in New York City. Eligibility for each program varies. The state’s Child Health Plus plan offers health insurance coverage for all children, regardless of immigration status. All migrants can also get Medicaid for emergency treatment, or traditional Medicaid if they are pregnant. Medicaid is free or very low cost. The city’s public hospitals provide health care to all immigrants regardless of a person’s ability to pay. 

Smith, the Long Island Assembly member, sent several news articles about the city’s use of prepaid debit cards and migrant access to health care as evidence for his claim. 

The state budget allocation to the city is flexible, and we cannot determine whether it will be used to fund pre-paid debit cards. We will not rate this claim on the Truth-O-Meter. 

Immigrant advocates we spoke with also said that coming to the United States to seek asylum or temporary protected status is not illegal, so Smith’s use of the term is misleading.