Federal Funding and New York

The budget resolutions currently under consideration by the 119th Congress could lead to a dramatic restructuring of the federal⁠⁠-⁠⁠state⁠ ⁠relationship. This online resource focuses on federal funding and how it supports services in the State of New York.

Homeland Security Grant Program

Federal Funding and New York
The budget resolutions currently under consideration by the 119th Congress could lead to a dramatic restructuring of the federal⁠⁠-⁠⁠state⁠ ⁠relationship. This online resource focuses on federal funding and how it supports services in the State of New York.

Federal Funding and New York - Page Style

The Homeland Security Grant Program (HSGP) (Assistance Listing Number 97.067) provides funding to states and local governments to enable them to prepare, prevent, protect against and respond to potential terrorist attacks, major disasters and other hazards. The Homeland Security Grant consists of three individual grant programs: State Homeland Security Program (SHSP), Urban Area Security Initiative (UASI) and Operation Stonegarden (OPSG) (see Figure 1). Together they fund preparedness, planning, organizational activities, equipment and weapons procurement and advanced training and exercises for law enforcement personnel. The State’s Administering Agency, the New York State Office of Counter Terrorism in the Division of Homeland Security and Emergency Services, is required to pass through at least 80 percent of SHSP and UASI funding to local or tribal units of government. Eligibility is based on risk assessment and the anticipated effectiveness of the proposed use of the grant and is dispersed within the 100 most populous metropolitan statistical areas in the United States. 

Funds to New York City

The City’s latest projections (January 2025) include $261 million of HSGP funds for fiscal year (FY) 2025, with the New York City Police Department (NYPD) receiving 66 percent, the New York City Fire Department (FDNY) at 23 percent, and the Office of Emergency Management (OEM) at 11 percent (see Figure 2).

Impact

  • The FY 2026 preliminary budget assumes that the NYPD will receive $182 million in federal grants for security/counter-terrorism activities in FY 2025. About 85 percent of funds are from UASI, the primary source of funding for high threat, high-density urban areas. According to a study by the Federal Emergency Management Agency (FEMA), New York City has been the target of over 35 terrorist plots, at least 17 of which occurred from 2015 to 2019.  
  • The FDNY anticipates spending more than 50 percent of its FY 2025 HSGP funding on State Homeland Security initiatives for risk-driven, capabilities-based, homeland security strategies to address targets in urban areas and states. All counties in New York State receive SHSP funding.
  • OEM also receives HGSB funds, primarily for UASI initiatives including full time salaries and overtime. 

FIGURE 1 – HSGP Individual Grant Programs

HSBG Grants
State Homeland Security Program (SHSP): Preparations for terrorism and enhanced resilience. 
Urban Area Security Initiatives (UASI): Prevention for anti-terrorism in high risk, high density areas.
Operation Stonegarden (OPSG): Security for Canada and Mexico borders and international water borders.

Sources: NYC Office of Management and Budget; OSC analysis


FIGURE 2 – HSGP Funds by Department 
FY 2026 Preliminary Budget  (in millions)

DepartmentFY 2025FY 2026
NYPD$ 171.2$ 7.7
FDNY59.826.9
OEM28.43.7
All Other1.2- - -
Total$ 260.7$ 38.3

Note: Numbers may not add due to rounding.

Sources: NYC Office of Management and Budget; OSC analysis