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Council hearing: DSS warns proposed federal SNAP, Medicaid cuts would be 'catastrophic' for New Yorkers

May 26, 2025 | New York City Council, New York City, New York County, New York


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Council hearing: DSS warns proposed federal SNAP, Medicaid cuts would be 'catastrophic' for New Yorkers
DSS Commissioner Molly Wasow Park told the New York City Council during Day 5 of FY26 executive budget hearings that proposals moving through Congress and the White House risk deep, immediate harm to the city's social safety net.

"We are seeing increasing demand for these services at the same time that they are a threat," Park said, noting the House markup that would cut about $300 billion from SNAP over 10 years and proposes changes to Medicaid that total roughly $715 billion in savings at the federal level. "If any of these cuts come to fruition, it would be catastrophic for New Yorkers," she said.

Why it matters: HRA and DHS manage programs that rely heavily on federal funding (SNAP, Medicaid, HEAP, Section 8), and many New Yorkers receive benefits directly from federal programs not budgeted through the city. Park told council members the city cannot reliably backfill large federal reductions and is pursuing both external advocacy and internal contingency planning.

What the agencies are doing: Park described two parallel tracks. First, outreach and advocacy with state and federal partners, philanthropy, providers and advocates to demonstrate the local economic as well as human impacts of cuts. "Every dollar of SNAP spent in New York City is a dollar fifty-four worth of economic activity," she said. Second, internal contingency planning to identify what services or administrative functions could be scaled back if federal funds are reduced.

Council members pressed for specifics on state or federal notice that would allow the city to prepare. Park said DSS is "absolutely" preparing, meeting with stakeholders and doing contingency planning but declined to reveal operational details to avoid providing a "road map" for further cuts.

Budget context and exposure: Park highlighted that the administration's FY26 executive plan totals $115.1 billion, with DSS comprising roughly $15.2 billion. She said HRA's FY26 executive budget is roughly $11.74 billion and DHS roughly $3.4 billion — funds that cover direct benefits, shelter operations and other services that would be affected by federal changes.

Council reaction and follow-up: Council members repeatedly warned that the House proposals would shift costs to cities and states and asked DSS for district-level impact estimates. Park agreed to provide additional, district-level materials and said the city is communicating with stakeholders statewide.

Ending note: Park emphasized that while DSS supports workforce development and other reforms, the city lacks the federal-scale infrastructure to implement sweeping work requirements. "We are in the wrong order of magnitude when we're talking about work requirements," she said.

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