ALBANY - A federal jobs bill expected to pass this week in Washington is expected to bring $2.3 billion in budget aid to New York state, and another $700 million to help counties and New York City.
It's aid that one local official said would be a "godsend" if it comes through.
U.S. Sen. Chuck Schumer said Monday the aid could help the state and counties to avoid cuts in spending, layoffs, or increased taxes.
''The state of New York's economy is fragile at best right now and the temporary relief ... comes at a critical time for both the state and the counties,'' said Stephen Acquario, executive director of the New York State Association of Counties. ''At the same it acts as a fiscal bridge that will enable our state to get past this recession.''
The assistance will extend a boost in federal Medicaid reimbursements originally passed as part of the federal stimulus. Schumer said Monday the bill would send New York an estimated $2.3 billion over the first six months of 2011, with upstate New York and Long Island counties in line to receive an additional $200 million and New York City getting $500 million.
The state budget due April 1 includes a deficit projected at more than $8 billion. The current budget totals about $130 billion.
Nationwide, states would get $24.7 billion in the proposed Medicaid boost announced Monday.
The original stimulus package included a ''county-local share'' provision, which ensured that localities receive budget aid directly, in addition to the funds sent to the states. Schumer said that provision will also be in the jobs bill.
''Unemployment is already too high and unless we get fiscal aid directly to our beleaguered county governments during this downturn, they will be forced to raise property taxes, lay off vital workers and make things worse, instead of better,'' Schumer said in a statement.
Montgomery County Board of Supervisors Chairman Vito Greco said if the county does receive the $1.1 million proposed in the bill, it would be a "godsend."
"If we weren't to get [the funding], it would have been devastating to our budget," he said. "If we don't, it will hurt the county, our budget and ultimately the taxpayers."
Greco said if the funding does not come though, the Board of Supervisors will have to examine cutting services. He said passing the cost on to the taxpayers in the form of higher taxes is not an option.
"There is no way the taxpayers can afford another burden, so we're hoping and praying this money comes through," he said.
In Fulton County, Administrative Officer Jon Stead said while the money would "certainly help," the Board of Supervisors there is not counting on it.
"It's not something we were necessarily expecting," he said. "We were under the impression that the first installment would be the only installment."
If the money is approved, it will be a significant help to the county, though, Stead said. It will give county officials a bit of breathing room, he said.
"Anything in the neighborhood of that sort of money is appreciated," he said. "All the counties are on very tight budgets."
The jobs bill also includes a provision that would extend the two-year increase in Medicaid assistance for another six months. The original stimulus package had an increase that sent all states $87 billion for 2009 and 2010.
Medicaid is a program providing health care to the poor, funded largely by the federal government but partly by state governments.
Acquario said he's confident the bill will be signed into law, noting that the Medicaid assistance had been part of President Barack Obama's budget proposal and that the House had passed an earlier version of the jobs bill at the end of 2009. Without it, New Yorkers would undoubtedly feel the effects, he said.
''Without this relief, counties would be forced to raise property taxes in 2011,'' Acquario said.
Leader-Herald reporter Kayleigh Karutis contributed to this report.