Creates a true cost of economic security study

◆ The sponsor's argument

Why Roxanne J. Persaud says this is needed

Traditional economic indicators, including the federal poverty level, do not adequately reflect the actual cost of living or the resources required for households to survive and thrive in New York State. These measures fail to account for the full range of expenses that families must meet, including housing, child care, health care, food, and trans- portation, and the need to save for emergencies and long-term stability. The continued reliance on these inadequate measures substantially under- states the number of New Yorkers struggling to attain true economic security and hinders the ability of government to effect responsive policies. In 2024, the Urban Institute released a True Cost of Economic Security (TCES) measure, which provides a comprehensive view of households' costs and resources detailed at the county level. This research found that the majority of New Yorkers lack the resources needed to meet this set of basic recurring household expenses, manage debt, and save for the future, despite many working full time and earning above minimum wage and more than the federal poverty thresholds. The rate of economic inse- curity in New York State (54%) was found to be higher than the national average (52%). In 2022, a charter revision mandating an annual report calculating the true cost of living was passed by 81 percent of the vote in New York City. But costs and resources affecting economic security vary signif- icantly across the state, including differences in labor markets, hous- ing markets, child care costs, and other necessary expenses. These vari- ations result in substantial disparities within geographic, occupational, racial, and gender contexts. Without an accurate measure that accounts for these differences tied to localized data across the state, these disparities remain hidden from policymakers. It is the intent of this bill to establish a True Cost of Economic Secu- rity measure for New York State that will provide a comprehensive, geographically specific assessment of the resources required for house- holds to meet their needs and maintain modest savings, the foundations of economic stability. Such a measure will enable policymakers to better understand the costs New Yorkers face and how they earn and spend their resources, identify disparities across regions, occupations, demograph- ics, household types, and sectors, and develop policies and programs that more effectively promote true economic security.

This is the sponsor's own case for the bill, quoted from their memorandum. It is not Agora's description of what the bill does.