It seems like it ought to return NY. In general, looking up 'XXX State' (or phonetic/misspelled equivalents?) should probably work for any of the 50 states, though I think it's far more common for New York State and Washington State than any others (to distinguish them from the cities).

But I actually do run into "New York State" as a state name in reasonably well curated data sets, so that one seems particularly important to include.