New York City progressives are now pushing a sweeping new plan that could automatically sign residents up for government benefits — including programs available to illegal immigrants — without people ever filing an application themselves.
And here’s the part that really got attention at City Hall this week: nobody seems to know how much the whole thing could cost taxpayers.
The proposal, introduced by Councilmember Crystal Hudson, would require the Department of Social Services to comb through tax records, public assistance databases, and other government files to identify people who may qualify for city-run benefits programs. Once identified, residents would be automatically enrolled.
No application. No request. No proactive sign-up.
The city would then mail notices informing people they had been enrolled, what benefits they were receiving, any associated costs, and how to opt out if they didn’t want the services.
Hudson framed the idea as a way to break through what she called the city’s overwhelming bureaucracy.
“We all want to do the right thing, but bureaucracy makes it very difficult,” Hudson said during Wednesday’s City Council hearing.
And honestly, this is where the debate starts getting wild, because supporters are presenting this as a compassionate efficiency measure while critics are looking at it and seeing a giant open-ended spending machine being built in real time.
Hudson specifically pointed to the city’s Fair Fares program — the half-priced subway and bus fare system for low-income residents — arguing that too many eligible people never complete the application process. According to the council, only about 37% of eligible riders had enrolled by late 2025.
“I’m trying to help you help New Yorkers,” Hudson told city officials during testimony, adding that with “a little chutzpah and imagination,” the city could make automatic enrollment work.
But then came the uncomfortable part: the city’s own financial analysts admitted they have absolutely no idea what the legislation would cost.
The City Council Finance Division flatly stated there is “not sufficient information available to assess the cost.” The mayor’s Office of Management and Budget also failed to provide an estimate.
That’s a pretty remarkable detail considering New York is already staring at projected budget shortfalls of $5.4 billion in 2026 and more than $10 billion the following year.
And the scope of this proposal is broader than many people initially realized.
The bill doesn’t list specific programs. Instead, it applies to virtually any “city-created benefit program” administered by the Department of Social Services.
That could include Fair Fares. It could include guaranteed-income pilot programs that already accept illegal immigrants. Depending on legal interpretation, critics warn it could even extend to CityFHEPS — New York’s ballooning rental assistance program whose costs have exploded from roughly $500 million in 2023 to a projected $1.7 billion by 2026.
Now imagine automatic enrollment layered on top of that.
Even city officials sounded uneasy during the hearing.
HRA Chief Program Officer Rebecca Chew warned that eligibility for many programs depends on highly sensitive information including immigration status, pregnancy, HIV status, domestic violence history, and income records. She cautioned that building a centralized auto-enrollment system could create major privacy and legal conflicts with state and federal law.
Still, the bill already has support from several prominent members of the City Council’s Progressive Caucus, including Lincoln Restler, Julie Won, Carmen De La Rosa, Gale Brewer, and Shahana Hanif.
Meanwhile, Speaker Julie Menin appeared careful not to fully embrace the entire proposal while signaling support for expanding Fair Fares access specifically.
Which probably tells you something right there. Even allies seem hesitant to publicly attach themselves to the full scope of what Hudson is proposing.
