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Lawmakers outline competing transportation funding priorities as conference committee opens

New York State Legislature Transportation Joint Budget Conference Subcommittee · March 17, 2026
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Summary

Senate and Assembly leaders sketched differing proposals in a March 17 conference subcommittee meeting, disputing CHIPS funding levels, outlining capital increases for roads, bridges and transit, and proposing investments in zero‑emission buses and EV charging. No formal votes were taken; negotiations continue.

The joint Transportation Budget Conference Subcommittee opened March 17 in Albany with Senate and Assembly leaders laying out competing proposals for the 2027 state transportation budget and pledging continued negotiations.

Assemblymember Bill Magcarelli, the Assembly co‑chair, read the Assembly’s adjustments to the executive DOT capital plan, proposing increases including $50 million for PAVE New York, $50 million for CHIPS, $50 million for the state touring route program, $100 million for non‑MTA transit capital, $35.5 million for passenger rail capital, $12.5 million for aviation capital and $26 million for the Niagara Frontier Transportation Authority light‑rail system. He also described operating assistance adjustments and a $15 million fare‑free bus pilot in New York City that would create one fare‑free route in each borough.

"We are here to examine transportation budget proposals for the fiscal year 2027 state budget," Magcarelli said as he summarized the Assembly’s priorities.

The Senate co‑chair said the Senate seeks to ensure transit systems and local roads are "sufficiently and well funded," proposing a 15 percent increase to non‑MTA transit operating support and directing an additional $250 million to CHIPS for local road improvements. The Senate also emphasized bridge and culvert repair and an extreme winter recovery program; the co‑chair singled out funding for the Rochester Interloop project to fill a gap in federal funds.

Senator Matera, representing the Senate Republican conference, urged that the enacted budget retain the Senate’s higher CHIPS level and highlighted what he described as a delivery problem at DOT. "According to Rebuild New York, the DOT has only spent 52 percent of their funds on core highway projects across the state. That's over $5,700,000,000 unspent," Matera said, and he called on DOT to accelerate project spending and to prioritize worker safety in highway work zones.

Assemblymember Didi Barrett, chair of the Assembly Energy Committee, linked transportation to energy affordability and climate goals and outlined targeted clean‑transportation investments. Barrett said the Assembly proposes funding increases to consumer protection and clean‑energy programs, and to transportation‑related decarbonization: $100 million for zero‑emission school buses and associated infrastructure, $50 million for EV fast charging, and $50 million for NYSERDA’s Charge Ready New York program drawn from a proposed $1 billion Sustainable Future Fund.

"The transportation sector is the second largest emitter of greenhouse gases in New York State," Barrett said, and she highlighted the Assembly’s proposals to support electrification while protecting union jobs and delivering benefits to disadvantaged communities.

Speaking for the Assembly minority conference, Brian Miller said higher CHIPS funding is still needed. He described the Assembly’s $50 million CHIPS increase as a step forward but said the Senate’s proposal more closely reflects the need on the ground. Miller urged program consolidation—bringing CHIPS, extreme winter recovery, touring route programs and pothole initiatives under a simpler, more accessible structure—and reiterated concerns about the costs of mandates such as the 2027 all‑electric school bus requirement and the need to strengthen work‑zone protections.

No formal motions or votes were taken at the session; cochairs from both houses said they expect to continue discussions with the governor’s office and agency partners in the coming weeks before finalizing an enacted budget.