Assemblymember Wallace: Excluded Workers Fund is an Irrespon-sible, Reckless Use of Taxpayer Funds

“While I support much of the 2021-22 budget, especially provisions that allocate more funding for local schools and other vital public programs in our community, I’m strongly opposed to the Excluded Workers Fund. This misguided and fiscally irresponsible program lacks sufficient safeguards to protect against fraud and to ensure appropriate use of taxpayer dollars. For these reasons, I voted against the budget bill (A3003A) that included this deeply flawed program.

“Under this program, recipients would not need their employer to provide official documentation, such as pay stubs, to be eligible. They could simply provide photos or text messages in order to receive as much as $27,000 in taxpayer dollars. This is woefully inadequate to prove that all recipients worked the hours and wages they claimed, worked in New York State, and paid their share of payroll taxes. It’s also unfair to the millions of New Yorkers who waited weeks or months – many of whom are still waiting – for their claims to be processed so they could begin receiving a trickle of unemployment benefits. Our budget priorities should be to shore up these cracks in our unemployment insurance system and to help all struggling New Yorkers, not benefit one small group of individuals.

“For the past year, my office has heard from and assisted hundreds of constituents who desperately needed assistance. I’ve heard agonizing stories from parents who depleted their savings and worried they would be unable to provide for their children. I’ve heard from small business owners who feared they would have to close permanently and lay off longtime employees. This $2.1 billion fund will not benefit these working families in my community, while other budget provisions provide too little help for many of those most in need.

“Additionally, most undocumented individuals lack checking accounts due to not having a Social Security Number, meaning many will rely on cash checking companies in order to receive their benefits. So, millions in public funds would likely go to excessive cash checking fees, as well as possibly to scammers and other bad actors. This is yet another reason why this proposal would waste an unacceptable amount of taxpayer dollars.

“At a time when countless businesses are on the brink of collapse, millions of New Yorkers cannot afford basic necessities, and investments in healthcare and infrastructure are badly needed, we should not spend billions on a program that will be rife with waste and fraud. I will continue to stand up against legislation that misuses public funds and/or fails to benefit the residents of my community.”