NYC Mayor Mamdani Proposes Property Tax Hike to Fund Spending Agenda

Mamdani blames budget 'crisis' on Gov. Hochul's refusal to raise taxes on the rich and corporations

Published on Feb. 20, 2026

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New York City Mayor Zohran Mamdani has proposed a nearly 10% hike in city property taxes, claiming he has 'no choice' due to a budget 'crisis' caused by Governor Kathy Hochul's refusal to raise taxes on the wealthy and corporations. Mamdani wants to boost city spending by $11 billion, including over $1 billion in new 'cash assistance' benefits and $2.3 billion in rental assistance, as well as hundreds of new government lawyers and auditors. However, critics argue Mamdani is manufacturing a crisis to fund his 'free stuff' agenda and is ignoring ways to cut costs, such as requiring retired city workers to contribute to their health insurance.

Why it matters

This clash between Mayor Mamdani and Governor Hochul highlights the ongoing tensions between progressive and moderate Democrats in New York over taxes and spending. Mamdani's proposed property tax hike would significantly impact the city's middle class, contradicting his campaign promises, and could lead to higher rents. The dispute also raises questions about the city's fiscal management and priorities.

The details

Mayor Mamdani announced the proposed nearly 10% property tax hike as part of his preliminary city budget, which would increase total city spending to $127 billion, a 10% boost. Mamdani claims he has 'no choice' but to raise taxes due to a budget 'crisis' caused by Governor Hochul's refusal to raise taxes on the wealthy and corporations. However, critics argue Mamdani is manufacturing the crisis to fund his progressive agenda, including over $1 billion in new 'cash assistance' benefits, $2.3 billion in rental assistance, and hundreds of new government lawyers and auditors. They say Mamdani could find savings elsewhere, such as requiring retired city workers to contribute to their health insurance.

  • Mayor Mamdani announced the proposed property tax hike on February 18, 2026 as part of his preliminary city budget.

The players

Zohran Mamdani

The current mayor of New York City, elected on a progressive platform.

Kathy Hochul

The current governor of New York, a moderate Democrat.

Eric Adams

The previous mayor of New York City, who Mamdani has criticized for 'underbudgeting'.

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What they’re saying

“We do not want to have to turn to such drastic measures to balance our budget, but, faced with no other choice, we will be forced to.”

— Zohran Mamdani, Mayor of New York City (New York Post)

What’s next

The proposed property tax hike will need to be approved by the New York City Council before it can be implemented.

The takeaway

Mayor Mamdani's clash with Governor Hochul over taxes and spending highlights the ongoing tensions between progressive and moderate Democrats in New York. Mamdani's proposed property tax hike could significantly impact the city's middle class, contradicting his campaign promises, and raises questions about the city's fiscal management and priorities.