Article from For Liberty by Norn Leahy.

New York Gov. Mario Cuomo said that unless the federal government sends a new round of aid to states, then he will have no choice but to send state income tax bills to the thousands of out-of-state volunteer health care workers who responded to his plea for help with the coronavirus.

According to the Wall Street Journal’s Steve Malanga, Cuomo says New York can’t “provide what he called ‘subsidies’ to guest workers.”

As Patrick Gleason notes, Cuomo’s cash grab has as much to do with cleaning up a pre-existing budget mess as it does any COVID-19 related shock:

In light of Governor Cuomo’s demands, it’s important to remember that New York state government’s finances were out of order before the pandemic hit, with a $6 billion budget deficit project at the beginning of the year, well before the current crisis. 

“While all states will grapple with shortfalls due to the economic shutdowns, New York’s 11-digit ­operating deficit can be blamed in part on the state’s own risky policy choices during the late economic expansion,” E.J. McMahon, research director at the Empire Center for Public Policy and a Manhattan Institute ­adjunct fellow, wrote in an April 20 column.

House Democrats are currently working on a new, $750 billion bailout package for state and local governments. The Senate and the Trump administration are, so far, unwilling to embrace another round of deficit spending. But they have not closed the door entirely.

Senate Majority Leader Mitch McConnell said he will only consider a new round of spending if it includes liability protections for businesses.

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