Back in 1987, North Dakota passed a law which mandated that all RNs licensed in the state be educated at the baccalaureate (BSN) level or higher. However, North Dakota had to repeal this law back in 2003 because a staggering number of nurses had fled the state over the years and relocated to other states where their diplomas, associate degrees, and experiences would be welcomed.
Many nurses are attracted to the NYC metro area, want to live there, and consequently look for jobs there, so the city has a surplus of too many nurses right now. However, the remainder of the state of New York has plenty of rural areas, villages, and small towns that would be badly hurt if a BSN law were to be passed because these places are very heavily dependent on LPNs, diploma RNs, and RNs with associates degrees.
If New York passes a BSN-only law, they are also going to have to spend a massive amount of money to entice the BSNs to live and work in parts of the state where relatively few people desire to live and work.