It Didn’t Take Long

By TTstudio @ Adobe Stock

“The problem with socialism is that you eventually run out of other people’s money.” – Margaret Thatcher

It didn’t take long for Zohran Mamdani, New York City’s new socialist mayor, to run out of other people’s money. At least, that’s how it appears. The NYC Council passed a law to give educational paraprofessionals up to $10,000 in bonuses during the 2026-2027 school year. The law was backed and shepherded by the United Federation of Teachers, the union representing NYC’s public educators. But Mamdani’s administration has sued to block the bonuses. The move sets up a battle between Mamdani and one of his biggest supporters, the teachers’ union. Fox News reports:

Last month, the New York City Council unanimously passed the “RESPECT Check Act,” which would offer up to a $10,000-bonus for education paraprofessionals.

Though Mamdani supported a version of the bill in the past, he has since spoken out against it, arguing that it violates New York state’s Taylor Law, which protects public employees’ rights to negotiate issues like compensation. His administration later filed a lawsuit to stop the law from being enacted Aug. 19.

In response, the UFT filed a motion to intervene last week, preparing to take the issue to court if Mamdani continues to fight the measure.

“We knew this lawsuit was a possibility, and we were prepared,” UFT President Michael Mulgrew told Fox News Digital in a statement. “The RESPECT check law, which was unanimously passed by City Council on July 16, was carefully drafted to make sure that it did not violate the state’s Taylor Law, which governs collective bargaining.”

Action Line: Mamdani may have other plans for that money, so he’s fighting for control. After having a number of his tax proposals blocked or dialed back, he needs to get the money for his political agenda from somewhere. Apparently, he’s willing to get it from his allies. Click here to subscribe to my free monthly Survive & Thrive letter.

Previous articleYour Money: Equal Strain on All Parts
Next articleThe Consensus
E.J. Smith - Your Survival Guy
E.J. Smith is Founder of YourSurvivalGuy.com, Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. His focus at all times is on preparing clients and readers for “Times Like These.” E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH. His first drum set was a 5-piece Slingerland with Zildjians. He grew-up worshiping Neil Peart (RIP) of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He grew up in Mattapoisett, MA, an idyllic small town on the water near Cape Cod. He spends time in Newport, RI and Bartlett, NH—both as far away from Wall Street as one could mentally get. The Newport office is on a quiet, tree lined street not far from the harbor and the log cabin in Bartlett, NH, the “Live Free or Die” state, sits on the edge of the White Mountain National Forest. He enjoys spending time in Key West (RIP JB) and Paris. Please get in touch with E.J. at ejsmith@yoursurvivalguy.com To sign up for my free monthly Survive & Thrive letter, click here.