What Biden's Recovery Plan Could Mean for New York City

NEW YORK — Less than a week before he assumes the top office in the country, President-elect Joe Biden came out with a bold idea: a $1.9 trillion recovery plan, infusing the economy and American households with hundreds of billions of dollars.

The proposal, which will need congressional approval, will extend unemployment insurance and provide additional $1,400 payments to many households.

What You Need To Know

Biden proposed a $1.9 trillion recovery plan on Thursday, which could infuse city government with billions of dollars

The news came just as the mayor was unveiling his own budget proposal showing the city was billions of dollars in the hole

It's unclear how much money the city could get from the recovery proposal, which needs congressional approval

On top of that, it could have a big impact on the New York City budget. Sen. Charles Schumer, hours before the president-elect’s announcement, said he hopes Congress will take action before the middle of March.

“We’re going to try to make this one of the very first things we will do in the first months of Congress,” Schumer said. "It’s going to be a large bill, certainly in the trillions, and it will take a little bit of time to get it through.”

Schumer’s office said New York City will likely receive billions of dollars in this new stimulus.

For one, Biden’s proposal includes $350 billion in emergency funding for states and local governments, like New York City, to plug budget holes. It also includes another $130 billion for schools across the country to safely reopen.

Mayor Bill de Blasio’s team did not know exactly how much funding New York City could be eligible for. But in a statement the mayor unequivocally praised the plan: "I look forward to hearing more details in the coming weeks and working with the Biden Administration to ensure New York City gets its fair share of federal aid. Cities across the nation are on the forefront of the COVID-19 response, and we need ample resources to ensure we can protect all of the people we serve.”