Office of the New York State Comptroller DiNapoli's 2025 EcoNews: Climate Action & Environmental Protection Update

 

Message from the State Comptroller

When the first Earth Day was celebrated on April 22, 1970, an estimated 20 million people came together across the country to learn about the environment and to call for more protections. Later that year, the US Environmental Protection Agency was founded.  While there continues to be pollution issues, EPA actions have led to tangible results like cleaner rivers and meaningful advancements in addressing problems such as acid rain.  

Significant proposed reductions in federal staffing and programs threaten safeguards for our air and water and may hamper our ability to monitor and respond to extreme weather, and leave communities vulnerable to toxic air pollution.

Looming federal program cuts and regulatory rollbacks make the job of ensuring the effectiveness of New York's environmental protection programs all the more important. Over the last year, my Office has audited the State’s progress in meeting its climate goals, and efforts to make the State more resilient to climate change, and examined the implementation of open space preservation funds on Long Island and drinking water systems in upstate New York.   

As Trustee of the New York State Common Retirement Fund, I am actively addressing climate change related investment risks through our corporate governance initiatives and capitalizing on the growth of renewable energy and climate solutions via our Sustainable Investment and Climate Solutions Program (SICS). 

I am pleased to share an overview of our work and highlight our ongoing commitment to addressing environmental issues. I hope you will find it informative.

Protecting the Pension Fund through Corporate Governance 

The New York State Common Retirement Fund remains one of the largest and best-managed public pension plans in the nation. The Fund faces threats from climate change, including extreme weather, long-term seasonal changes, and shifting consumer preferences, all of which impact the economy and financial markets. To safeguard the Fund's investments, Comptroller DiNapoli employs an active corporate governance strategy to encourage companies to address climate-related investment risks and capitalize on opportunities in the transition to a low-carbon economy. This includes direct engagement with company leadership, the filing of shareholder resolutions, investments in climate-focused solutions that meet the Fund's stringent criteria, and proxy voting that champions strong climate policies and board expertise. These strategies are an integral component of protecting the Fund and ensuring retirement security for the 1.2 million members, retirees, and beneficiaries of the New York State and Local Retirement System. 

Since April 2024, the Fund reached climate-related agreements with five portfolio companies, made significant new investments through its Sustainable Investments and Climate Solutions program, and updated its Proxy Voting Guidelines to withhold support from directors responsible for climate risk oversight when the company fails to disclose and appropriately manage climate risks. In 2024, the Fund voted against 1,900 directors at 600 portfolio companies for failing to address climate and other environmental financial risks.

The Fund filed three shareholder resolutions addressing climate change risks faced by companies for 2025. The Fund was able to reach an agreement with the three companies (United Parcel Service, Inc., Dollar General Corp., and Hyatt Hotels Corp.) to provide more information how they will address transitioning to a clean energy economy.   

Comptroller DiNapoli and Reverend Kristen Spaulding, Vice President of Ceres Investor Network, partake in a fireside chat during Ceres Main Stage Climate Week Event: From Ambition to Action: Achieving Climate Goals with Transparency and Advocacy. 

Accelerating Investments in Sustainability and Climate Solutions

To date, the Fund has deployed over $26.5 billion, toward its goal of $40 billion by 2035, to specific investment opportunities in the Sustainable Investments and Climate Solutions (SICS) Program. The Fund's commitments to SICS span asset classes including private equity, public equity strategies, green bonds, clean and green infrastructure funds, as well as Leadership in Energy and Environmental Design (LEED) certified real estate funds. 

Recent investments through this program include:  

• $2 billion to the FTSE Russell TPI 1000 Climate Transition Index, an index fund that examines companies’ fossil fuel reserves, carbon emissions, green revenues, management quality and carbon performance. 

• $150 million to the Vision Ridge Partners Sustainable Asset Fund IV, a fund targeting investments focusing on climate mitigation and adaptation across energy, transportation, and agriculture.

• $250 million to the Oaktree Power Opportunities Fund VII, a fund targeting investments supporting infrastructure, including electric power, solar, and water systems.

Mindy Lubber, CEO/President of Ceres, Comptroller DiNapoli, and Gina McCarthy, First White House National Climate Advisor and former EPA Administrator at the Ceres Main Stage Climate Week Event: From Ambition to Action: Achieving Climate Goals with Transparency and Advocacy. 

Strengthening Our Rural Communities Together

In November 2024, Comptroller DiNapoli hosted two Rural Roundtables in Geneva and Middletown—bringing together farmers, agricultural experts and community leaders to discuss key issues facing rural communities. Participants explored strategies for supporting family farms and strengthening local food systems, and learned about Comptroller DiNapoli’s November 2024 Agriculture report, which spotlighted the growth and challenges happening on New York’s farms.

Audits and Reports Drive Accountability in Environmental Protection

Environmental audits and reports play a crucial role in evaluating the effectiveness of governmental environmental policies and initiatives. These assessments, conducted by the Comptroller’s divisions of State Government Accountability, Local Government and School Accountability, and the Office of Budget and Policy Analysis, examine progress toward established goals, preparedness for environmental challenges, and the implementation of specific protection efforts. 

Leading by Example: Office of the State Comptroller’s Sustainability Initiatives 

In 2024, OSC updated its energy audit to identify additional ways to save energy and reduce greenhouse gas and other emissions in its operations. The agency currently has a relatively high EPA Energy Star rating of 78, meaning it is more efficient than 78 percent of buildings nationally. 

In 2025, OSC will be pursuing two substantial energy efficiency replacement projects at its Albany headquarters:  

Domestic Hot Water System Upgrade 

OSC is replacing two 25-year-old natural gas-fired domestic hot water boilers with electric resistance storage water heaters, reducing the agency’s consumption of fossil fuel.  LED Lighting Upgrade  OSC is replacing approximately 3,800 florescent or incandescent lighting fixtures and the related controls throughout the building. This project was one of the largest energy conservation projects identified in the recent energy study.  Going Paperless  OSC continues to expand its use of electronic applications, payments, receipts, signatures and vouchers to help save taxpayers money, while reducing greenhouse gas emissions, waste and resource impacts.    Administering Funding for Oil Spill Cleanups  Comptroller DiNapoli administers the State’s Environmental Protection and Spill Compensation Fund. In 2024, this program completed the cleanup of 201 petroleum spills, including an agreement with the County of Herkimer where the remediation of an abandoned gas station will be paid for by the Fund. The property will then be transferred to the Town of Frankfort and maintained for the benefit of its residents for enhancing access to the Empire State Trail.

Attorney General James Saves Preston High School in the Bronx

 

Following Public Hearing, AG James Brokered Lease Agreement Between Preston High School and Bally’s Foundation to Keep School Open for 25 Years with Option to Renew Lease

New York Attorney General Letitia James today announced that Preston High School in the Bronx will remain open for years to come. The Office of the Attorney General (OAG) facilitated an agreement between the Sisters of the Divine Compassion of the State of New York, which owned the property of Preston High School since 1947, Preston High School, and the Bally’s Foundation of North America, a charitable nonprofit organization. The Bally’s Foundation has purchased the property from the Sisters of the Divine Compassion and will lease the property to Preston High School for $1 per year for the next 25 years. The agreement gives Preston High School the option to renew its lease for successive five-year intervals at the end of the current 25-year lease term. Today’s agreement to keep Preston High School open follows a public hearing held by Attorney General James with teachers, students, parents, alumni, elected officials, and community members.

“Preston High School is a pillar of the Bronx community that has educated generations of young women and today I am proud to announce that the school will stay open for years to come,” said Attorney General James. “I want to thank all the students, teachers, parents, alumni, and elected officials who submitted testimony to my office and advocated to keep the school open. Today’s announcement would not have been possible without their relentless advocacy and leadership. Preston High School raises young women to become strong leaders, and I am thrilled that many more generations will benefit from this treasured school.”

Preston High School is an all-girls Catholic school that has served the Bronx community for 75 years. In late February, the Sisters of the Divine Compassion announced their plans to close the school and sell the property at the end of the 2025 academic year, citing financial hardship. On April 8, Attorney General James held a public hearing to gather input from students, teachers, parents, alumni, and community members on the impact of the closure. 

Today, Attorney General James announced that the Bally’s Foundation has purchased the property from the Sisters of the Divine Compassion for $8.5 million. The Bally’s Foundation will lease the property to Preston High School for $1 per year for the next 25 years, with the opportunity to renew the lease for five successive years at the end of the current 25-year term. The lease also gives Preston High School the option to purchase the property and a right of first refusal if the Bally’s Foundation seeks to sell the property in the future. Moreover, the Bally’s Foundation has agreed to fund up to $1 million in capital improvements for the school and to cover up to $600,000 in legal and closing costs that associated with the process.  

In addition, the Sisters of the Divine Compassion have agreed to establish independent governance of Preston High School that requires them to:

• Work with Preston High School to establish the school as an independent Catholic school as acceptable to the Archdiocese of New York;
• Help establish an independent board of trustees for Preston High School by appointing, with OAG approval, trustees to the board of trustees who are not affiliated with the Sisters of the Divine Compassion or employed at Preston High School; and
• Immediately relinquish all but one seat on the schools’ board of trustees and give up that seat once the school is fully independent.

Attorney General James thanks the Sisters of the Divine Compassion, the Bally’s Foundation, and Preston High School for working together with her office to find a financial and practical resolution for Preston High School to stay open for years to come.

Defense Contractor’s Longtime Associate Pleads Guilty to Conspiracy to Defraud the United States

 

Scheme Caused $128M Loss to the United States

A longtime associate of a former defense contractor pleaded guilty today to conspiring to defraud the United States.

The following is according to court documents and statements made in court: from 2009 until approximately 2022, Thomas G. Ehr worked for or on behalf of a co-conspirator, a defense contractor who owned 50% of a business that supplied jet fuel to U.S. troops in Afghanistan and Middle East. Ehr was hired to manage several music television and entertainment projects funded with proceeds from this business. Over time Ehr played a role in several of his co-conspirator’s other investments, including a $60 million real estate investment in Tulum, Mexico, and a $50 million fuel infrastructure project.

Ehr understood that the defense contractor was the business’s 50% owner since it was created, and that the contractor controlled hundreds of millions of dollars in profits from it.

Nevertheless, Ehr agreed to conceal the contractor’s ownership and control of the company, primarily by falsely asserting that the contractor’s wife had founded the company, so that the contractor could obstruct the IRS’ ability to assess and collect the contractor’s taxes — including taxes on profits he made from contracts with the U.S. Department of Defense. Ehr acknowledged that because of the conspiracy, the contractor evaded taxes on more than $350 million of income and caused a tax loss to the United States of approximately $128 million. 

Additionally, despite making hundreds of thousands of dollars per year in income, Ehr did not file tax returns for years 2010 to 2015, nor make payments on taxes he owed for 2010 to 2023. By doing so, Ehr caused a tax loss to the United States of more than $700,000. 

Ehr is the sixth defendant associated with the defense contracting company to plead guilty. Charles Squires pleaded guilty to tax evasion in February 2022, James Robar pleaded guilty to tax evasion in March 2022, Ronald “Ron” Thomas pleaded guilty to tax evasion in April 2022, Zachary “Zack” Friedman pleaded guilty to tax evasion in August 2022, and Robert Dooner pleaded guilty to tax evasion in November 2023.

Sentencing will be set at a later date. Ehr faces a maximum penalty of five years in prison for the conspiracy count and a maximum penalty of one year in prison for the tax count. He also faces a period of supervised release, restitution, and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

Acting Deputy Assistant Attorney General Karen E. Kelly of the Justice Department’s Tax Division and Interim U.S. Attorney Edward R. Martin Jr. for the District of Columbia made the announcement.

IRS Criminal Investigation and the Special Inspector General for Afghanistan Reconstruction are investigating the case, with assistance from His Majesty’s Revenue & Customs of the United Kingdom. Assistance was also provided by the Joint Chiefs of Global Tax Enforcement (J5), which brings together the taxing authorities of Australia, Canada, the Netherlands, the United Kingdom, and the United States.

On Earth Day, Governor Hochul Announces $60 Million in Environmental Bond Act Funding for Green Resiliency Grants

Applications Go Live on May 1

Advances Governor Hochul’s Comprehensive Clean Water and Resiliency Agenda

Governor Kathy Hochul today announced $60 million in Environmental Bond Act funding for the next round of Green Resiliency Grants. The program supports vital stormwater management and resilient infrastructure projects in flood-prone communities across New York State. This action advances Governor Hochul’s comprehensive clean water and resiliency agenda to protect New Yorkers from extreme weather, while making these projects more affordable to minimize the financial impact on local ratepayers.

“On Earth Day, we're reminded that New Yorkers are on the front lines of increasingly dangerous and frequent extreme weather events,” Governor Hochul said. “This investment helps prepare and protect our homes, neighborhoods and families when disaster strikes — all while creating more good-paying jobs. This is how we fight for the future New Yorkers deserve.”

The $4.2 billion Clean Water, Clean Air, and Green Jobs Environmental Bond Act of 2022 continues to deliver historic investments to safeguard water quality, reduce pollution, strengthen resiliency and create green jobs.

Governor Hochul launched the Green Resiliency Grant program in 2024, awarding $60 million to 13 transformational projects across the State in the inaugural round. Building on the success of the 2024 program, the second round will prioritize projects offering significant risk reduction, helping communities build storm-ready infrastructure that provides long-term solutions and stability.

Green infrastructure projects provide benefits such as:

• Safer, more resilient communities by managing stormwater to mitigate flooding and better protect our homes and businesses.
• Cleaner water and air by reducing and treating stormwater at the source.
• Cooler cities by reducing urban heat island effect to create a more comfortable environment.
• Thriving ecosystems by restoring habitats to bring nature back to communities.
• Vibrant communities by encouraging economic development, revitalizing neighborhoods and enhancing recreational opportunities.

The New York State Environmental Facilities Corporation will open the grant round on May 1. Applications, guidance, and webinar information will be available on EFC’s website. Any community that needs help with its project is encouraged to reach out to EFC’s Community Assistance Teams.

Statement Of New United States Attorney Jay Clayton

I am honored to serve as United States Attorney for the Southern District of New York, alongside the women and men of the U.S. Attorney’s Office, an institution synonymous with excellence and integrity.  I would like to thank President Trump and Attorney General Bondi for this remarkable opportunity.  Along with the talented prosecutors of this Office and our law enforcement partners, I look forward to protecting public safety, combatting fraud, particularly on the elderly and most vulnerable, ensuring the integrity of our financial system, and defending our national security. Finally, I want to thank Acting United States Attorney Matthew Podolsky for his leadership and service. 

NYC PUBLIC ADVOCATE RESPONDS TO THE MAYOR’S LIES ON IMMIGRATION

 

“For months, the mayor has lied to New Yorkers about what sanctuary cities are, claiming it is impossible to advance public safety under our current sanctuary laws. Yet today, with those laws still in place, he trumpeted a joint federal and local effort to get gangs and guns off the streets – disproving his own arguments. He willfully exploits conflation and confusion between legitimate law enforcement and the abuses he continues to support. 

 

“Following the specifics of the law, or being honest about them, has never been a focus for this mayor or this president. Just hours ago, the mayor said he didn’t have a problem with the Trump administration’s extralegal removal of people to a notorious prison in El Salvador. It seems that the real joint effort between the mayor and the White House is to lie about public safety for political gain, demonize immigrants, and weaponize fear to justify the worst of their actions.” 

TOMORROW: Get Your IDNYC Card with State Senator Gustavo Rivera!

 

MAYOR ADAMS CELEBRATES EARTH DAY BY ANNOUNCING COMPLETION OF $42 MILLION FLOOD PREVENTION INFRASTRUCTURE PROJECT TO REDUCE ROADWAY FLOODING, BOLSTER SAFETY IN EAST FLATBUSH AND CANARSIE

 

New Rain Gardens, Infiltration Basins Will Capture More Than 122 Million Gallons —Enough to Fill 184 Olympic Swimming Pools — of Stormwater Annually, Keeping East Flatbush and Canarsie Residents Safe 

223 New Trees Planted to Clean Air, Reduce Effects of Hotter Summers on Heat-Vulnerable Neighborhoods in New York City

In celebration of Earth Week, New York City Mayor Eric Adams today announced the completion of a $42.3 million safety project in East Flatbush and Canarsie, Brooklyn, that will reduce street flooding and keep New Yorkers safe during rainstorms. Nearly 1,200 new flood-fighting assets will keep excess rainwater off the streets and out of the sewers. This includes 906 infiltration basins and 291 rain gardens, which will capture approximately 122.5 million gallons of stormwater annually — enough to fill 184 Olympic-sized swimming pools.. 

“Protecting New Yorkers from the clear and present danger to life and property that flooding poses is critical to keeping New Yorkers safe on Earth Day and every day,” said Mayor Adams. “These investments in Canarsie and East Flatbush will capture enough water annually to fill 184 Olympic swimming pools — keeping residents safe and reducing flooding. Our administration continues to focus on creating a safer, more affordable city, and with climate change continuing to produce more intense and more frequent extreme weather, investments like these are a key part of our public safety and affordability strategies.”

"Stronger and more frequent storms are felt more acutely with every passing year. This Earth Day, one thing is clear: We need to bring every resource we have to bear to protect communities from the water that laps at our shores and inundates us from above," said Deputy Mayor for Operations Jeff Roth. "Delivering rain gardens and infiltration basins may seem minor, but in aggregate, they offset tens of millions of gallons of rainwater, saving property and, most importantly, lives." 

Locations of new flood mitigation public safety infrastructure in East Flatbush (left) and Canarsie (right).

Credit: New York City Department of Environmental Protection

Rain gardens resemble typical curbside tree beds, but are engineered to capture and store up to 2,500 gallons of rainwater that then percolate into the ground, preventing flooding. Infiltration basins are similarly designed to store and absorb rainwater, but at sidewalk level they have a walkable surface that blends into the surrounding conditions.

As part of the project, the city planted 223 trees across East Flatbush and Canarsie, which have historically been two of New York’s most heat-vulnerable neighborhoods. The trees provide shade, improve air quality, and relieve the urban heat island effect. Cared for by NYC Parks, the new trees build on the record number of trees planted by NYC Parks in FY24.

“Every storm is a reminder that climate change is here and hitting New York City hard,” said New York City Chief Climate Officer and New York City Department of Environmental Protection (DEP) Commissioner Rohit T. Aggarwala. “This new green infrastructure in East Flatbush and Canarsie will soak up stormwater to ease flooding and reduce pollution. Green infrastructure like this can be delivered to New Yorkers quickly and with little construction disruption.”

"These trees will help to cool some of the city’s hottest neighborhoods, including Canarsie, one of our Climate Strong Communities,” said Mayor’s Office of Climate & Environmental Justice Executive Director Elijah Hutchinson. “As that program has shown us, so many of our residents are at risk of multiple climate threats. Today’s announcement is a perfect example of how we’re going to have to think holistically to keep our communities safe from climate hazards as the city gets hotter and wetter."

“Bringing green infrastructure to East Flatbush and Canarsie, Brooklyn as part of these two projects is just one way we are celebrating Earth Week at DDC,” said New York City Department of Design and Construction (DDC) Commissioner Thomas Foley. “We are completing other projects like these all over the city, and have a team working hard every day to find engineering and architectural solutions to make our infrastructure and public buildings stock greener while also combating the effects of climate change. We thank our partners at City Hall, DEP, and the New York City Department of Transportation for working with us on these important upgrades that help curb flooding and beautify streets.”

“Investments in resilient infrastructure are vital to keeping our city and New Yorkers safe,” said New York City Economic Development Corporation President & CEO Andrew Kimball. “We are proud to work with our partners at DEP and DDC to build significant green infrastructure such as infiltration basins and rain gardens that will help protect Brooklyn from street flooding and water pollution, resulting in cleaner and greener neighborhoods."

Today’s announcement builds on investments the Adams administration has made to protect New Yorkers from stormwater flooding. Since the start of this administration, $12.3 billion has been planned for stormwater infrastructure — ranging from traditional sewer upgrades to innovative green infrastructure solutions and more — through the city's Ten Year Capital Plan.  Across the nation, similar investments in anti-flooding infrastructure have been shown to prevent seven times as much damage as the original investment.

Last fall, Mayor Adams celebrated milestones in five major public safety projects, including the completion of major sewer upgrades that tripled drainage capacity in College Point and doubled it in Maspeth, the installation of the 200^th flood sensor in Corona, Queens, and breaking ground on the first Cloudburst project at the New York City Housing Authority’s South Jamaica Houses, which will keep nearly 3.5 million gallons of stormwater out of the sewer system each year.