New York Governor Kathy Hochul is seeking to disavow the pied-à-terre tax, a surcharge on high-value properties that she had previously taken credit for enacting. The governor's administration is now asserting a limited role in the tax's implementation, which has drawn significant attention and criticism, including public statements and social media activity from New York City Mayor Zohran Mamdani.
Initially, Hochul had publicly supported the tax, stating that "ultra-wealthy" individuals who own second homes should "pay their fair share." The tax applies to owners of properties, including co-ops and condos, valued at $1 million and above, as well as one- to three-family homes worth $5 million and up. This stance represented a shift from her earlier commitment not to raise taxes, a change that followed Mayor Mamdani's electoral victory.
However, following the city's rollout of the tax, which included public statements from the mayor's office, Governor Hochul's administration stated that the state is "not responsible" for its implementation and directed attention to the city's tax department. A state spokesman indicated that the state would "encourage City Hall to try and streamline this."
Despite these statements, a spokesperson for the governor reiterated the administration's belief that individuals who can afford multi-million dollar second homes "can afford to pay their fair share." The New York Post reported that the governor's approach mirrors past instances where she has altered course on policies after facing public backlash, such as the congestion pricing plan and climate initiatives that led to increased utility bills.
Hochul's challenger, Bruce Blakeman, has criticized her leadership, characterizing her as avoiding debates and citing the state's high taxes and utility costs. He suggested that Hochul's strategy is to "avoid enough debates, New Yorkers will forget" her tenure. The report also referenced her 2022 debate against Lee Zeldin, where her response to a question about rising crime was cited as a factor that nearly cost her the election.