Gov Paterson

tsarina wrote: Clarification please. Hasn't the Assembly been republican controlled for the longest time because all the districts upstate are primarily Republican while downstate NY is Democratic? And this all changed just recently during the last election when the nation as a whole swung back to the Democrats after 8 years of Republican rule.
Gerrymandering yeah, yeah, yeah but the Republicans have been controlling that for the longest time.

Can someone explain why the Republicans are suddenly out in full force and raging here and around the country?

yes, they have been in control for some time.
...but its been a while since they've been governor.

Paterson might be the one to change that.

well, cutting budgets across the board is never popular.

It may be fair, but you end up with no one that likes you.

It's "better" to cut those budget items with few organized citizens, and leave those with organized groups (those that effectively convince you they have "popular support") alone.

If you can't figure out which programs are loved and which aren't, pick randomly. ...but never fairly cut across the board.

just sayin'

bohuma wrote: The whole farce that was the New York Senate before the Summer recess is, for me, a compelling reason for constitutional reform. However, it is only the legislature than can effect reform, and Albany is such a club that change is unlikely to occur in my lifetime (I'm 43 and in good health). Tammany Hall is alive and well. The really tragic thing is that a state like New York has the financial and human resources to be an example of democratic and social reform for the whole world, but we squander any opportunities in petty politics and place seeking. I guess we have the government we deserve.

Can I get an "Amen"?

(pick the agreeing word of your choice if Amen doesn't sit well with your religion).

Sorry to repost entire article, but I wanted to see if there was any life left in this thread ...NYS is in trouble....



Paterson: State On Brink Of Disaster

Meaghan M. McDermott
Rochester Democrat and Chronicle
October 1st 2009

Calling for a spending cap, pension system reform and an end to unfunded mandates, Gov. David A. Paterson warned of "cataclysmic" consequences if lawmakers don't rein in the state's ballooning budget deficits.

"We are in a crisis and it is time for us to all wake up and realize that," he said. "We risk losing the state's economic sovereignty by not addressing these issues."

Paterson spoke Wednesday at the annual meeting of The Business Council of New York State, held at the Radisson Hotel Rochester Riverside.

With revenue down by more than 35 percent, the state is facing a budget gap this year of between $2.9 billion and $3.5 billion, he said. The state's $131.9 billion budget was balanced when adopted on April 1.

"The good news is that the Legislature leaders all agree with this deficit and have all said they want to address it," he said. "But the proof will be when we actually do it."

But Paterson said the state's financial problems run deeper than plugging the hole in this year's plan and balancing next year's budget.

He called on the business community to help get out his message of reform.

"The long-term problem is that we continue to outspend the revenues the state is producing," he said. The state cannot rely on Wall Street to "backstop exponential spending on the part of the Legislature and the governor. No longer can we support the profligate spending that comes out of Albany."

He decried "special interest groups" insisting on perpetual funding increases despite the state's economic troubles.

Other states in financial crisis have resorted to issuing IOUs, mass layoffs, releasing prisoners and even putting state assets up for sale, he said.

New York has not had to take such drastic action, something Paterson called both a blessing and a curse.

"Maybe New Yorkers don't truly understand the terrible truth that's being experienced by other states right now," he said.

Paterson said although Federal Reserve Chairman Ben Bernanke has said the national recession is over, New York lags and predicted it would be at least 15 months before the state sees a major turnaround.

Then, and if the state's overall budget is under control, more resources can be devoted to job creation, he said.

Kenneth Adams, president and chief executive officer of The Business Council, said Paterson is "sounding the alarm" about how close the state is to crisis.

"I think it will be really hard to get the Legislature to accept this new fiscal reality if we don't mobilize residents," he said. "What we need is a chorus of New Yorkers — 19 million strong — crying out for a new direction."
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ttp://www.democratandchronicle.com/article/20091001/NEWS01/910010328/Paterson++State+on+brink+of+disaster

Paterson: New York Faces “Cataclysmic” Troubles
Joseph Spector Gannett News October 1 2009
Gov. David Paterson continued his theme last night in Rochester that he has made tough choices in the face of the state’s fiscal troubles, saying that New York hasn’t had to resort to laying off workers or furloughs like other states and has kept itself solvent.

And as he did in his speech earlier Wednesday to state Democrats in Buffalo, he started his remarks with a joke about his own political troubles.

“Good evening, I’m David Paterson and tonight all of you are very lucky that you’re not,” he said to laughter.

In Buffalo, he started his speech by asking the crowd, “”So, how was your week?”

In the Democrat and Chronicle this morning, Paterson called for a spending cap, pension system reform and an end to unfunded mandates and warned of “cataclysmic” consequences if lawmakers don’t rein in the state’s ballooning budget deficits.
“We are in a crisis and it is time for us to all wake up and realize that,” he said. “We risk losing the state’s economic sovereignty by not addressing these issues.”

http://polhudson.lohudblogs.com/2009/10/01/paterson-new-york-faces-cataclysmic-troubles/


Is Anyone Willing to Cut the State Budget?
David King Gotham Gazette October 2nd 2009

Gov. David Paterson fancies himself a financial doomsayer -- the man with the intestinal fortitude to stand up and shout the bad news. "The economy stinks and we have to cut the budget!"

Paterson blames his historically low approval ratings on the economy and the "tough choices" he has had to make to keep New York out of devastating financial straits -- along the lines of what California is suffering through. New York has yet to issue IOUs to its debtors as California has done, and Paterson has trumpeted that fact -- even taunting his potential opponents, daring them to get off their "deck chairs" and join him in the "ocean" with the sharks. But while Paterson has repeatedly sounded the alarm, he has not yet presented any kind of concrete plan to close the state's multibillion spending gap.

The state faces a mounting budget deficit but accounts of its size vary. Early estimates pegged the gap around $2.1 billion, but because income tax revenue has been lower than anticipated, Paterson has said the gap could reach $3 billion or more.

Earlier this summer Paterson promised to introduce a budget plan in the fall. In a July report, his Division of the Budget said: "To address this issue, Gov. David A. Paterson today announced that he will work with Lt. Gov. Richard Ravitch to develop an Economic and Fiscal Recovery Plan that will eliminate the current-year budget deficit and improve the state’s long-term fiscal health. The governor’s plan will be released in September." September is now officially over.

As summer wore on, Paterson spoke of having a special legislative session in the fall to address the deficit, but legislators countered that they wanted to see a plan before returning to Albany. Paterson also readied what seemed to be his financial super weapon: Ravitch, whom Paterson asked to review the state's finances. Paterson continued to push for the legislature to return to address the deficit but to no avail.
Finally, Paterson called a public leaders meeting. The meeting featured Paterson, Ravitch, Senate Conference Leader Sen. John Sampson, Senate Minority Leader Dean Skelos, Assembly Speaker Sheldon Silver and Assembly Minority Leader Brian Kolb. The meeting was designed to get the leaders to publicly agree at least on a path toward finally addressing the budget gap.

Meeting of the Minds
During that meeting last week, Paterson spoke again of his desire to make real cuts to spending rather than using the state's rainy day fund or raising taxes. If such cuts are not made, he said, "We would face the peril of being unable to meet our obligations, having our credit rating reduced, and getting ourselves into serious economic trouble."
Rather than returning for a special session the attendees agreed that staffers from Paterson's office and the legislature will meet to formulate a plan. Beyond that it seemed the attendees didn't find much common ground -- even on the size of the deficit. Skelos reportedly said it was only $1.6 billion. The Democratic leader, Sampson, responded to Paterson's $3 billion claim by saying his conference "doesn't believe in government by guess work. We need real numbers to provide real solutions." Silver and Kolb indicated they agreed with Paterson's projections.

This may be where Ravitch comes in. At the leaders meeting the new lieutenant governor said little except to suggest leaders look for common ground before looking for solutions. ""If we start off, hopefully with a common view of the numbers that we have to address, then we can talk about solutions in the context of that agreement, rather than fighting about solutions because we disagree with what the underlying numbers are," he said.

Critics like E.J. McMahon, director of the Empire Center for New York Policy, say that Paterson, despite his flagging poll numbers, needs to lead -- he has to present a plan and shepherd it through the legislature while taking the heat for tough cuts.

"You have to lay something on them," said McMahon. "You have to push for it and have to give them cover. You have to say it was hard but it had to be done."

McMahon said that having legislative and executive staffs negotiate over the size of the deficit and solutions to cut it is simply futile. "Legislative staffs don't work that way. They are reactionary; they don't initiate," he said.

Sen. Liz Krueger agreed that the governor should present a plan for the legislature to consider. "That’s why I advised my conference leader not to move to a date for a special session until we have a plan," Krueger said.

Who to Blame for the Delay?
Krueger said that criticizing the legislature for holding up a deficit reduction plan is simply "not a rational objection."
The legislature actually has a limited amount of input into the budget. The New York State constitution requires executive budgeting. In other words, the governor is responsible for presenting a budget plan after consulting with the appropriate departments. The legislature then can then strike things from the budget or reduce them but it cannot alter the budget in other ways.

Krueger pointed to the 2004 Court of Appeals decision Silver Vs. Pataki, which resulted in a ruling that the legislature had overstepped its bounds in a number of instances.

In one example, former Gov. George Pataki argued that the legislature had overstepped its bounds in trying to postpone a prison project approved in the budget. After the budget was passed the legislature voted to bar construction until the project received legislative approval. The court found that the legislature was acting beyond its authority.

Getting Their Way
This does not mean the legislature has no say. During the extremely secretive budget negotiations last year, the legislature was seen as having won the budget battle with Paterson. Many of the large cuts to education and health care that the governor had sought were restored. To avoid making the large cuts that Paterson threatened, the budget imposed a tax on the rich and a number of newly implemented fees and surcharges, and used federal stimulus money.

McMahon, whose organization advocates reducing spending on labor benefits, education and health care, said that Paterson can't expect the legislature to make the tough cuts needed to actually reduce spending. "They don't know how to say no to anyone," he said.

It's Getting Worse
Comptroller Tom DiNapoli bolstered McMahon's argument with his recently released Financial Condition Report for the 2008-2009 year. DiNapoli's report showed that the budget deficit could expand to $38 billion by the 2012-2013 fiscal year if current spending and income trends continue. The report finds that spending has increased 21 percent over the past four years and could go up another 22 percent by the 2012-2013 fiscal years.

"The state must look to the spending side of the ledger, rather than raising taxes and issuing large amounts of debt to pay for things it cannot afford,” DiNapoli said in the report. “New York needs a strong dose of fiscal discipline, which has been lacking for far too long. The State must make difficult choices today to fix New York’s persistent budget troubles.”

As McMahon points out, the legislature never wants to make spending cuts, especially in areas like education and health care, because of the cuts can incur the wrath o unions and the Working Families Party.
Some legislators are delaying making cuts because they hope a new round of federal stimulus money could save them from making further reductions. "They've been propped up by stimulus," McMahon said. However, so far, there is no new stimulus plan and, McMahon said, "You'd be hard pressed to find anyone in Washington who thinks that" there will be.

Krueger said the state still is finding that certain money has been allocated to New York through the stimulus plan, and those funds help. "I would like to see the stimulus continued," she said, "but it's too early to tell." Ravitch warned that the state could face "cataclysmic impact" if the stimulus is not extended past 2010.

In any event, Krueger said, real cuts must be made -- and quickly. "We need to make sure the savings is immediate. We can't make cuts that we find would take six months for savings to start," she said.
McMahon, who is a strong opponent of the income tax increases in this year's budget, said he fully expects labor groups and the Working Families Party to push for another tax increase rather than making cuts in the budget. "I would bet on it," he said.

Krueger and Sampson, who both supported the income tax increase, have publically stated they do not support closing the budget gap with increased taxes or fees.

In the end, some say Paterson might desperately want to take the lead on the budget. He may very well want to make tough cuts and take a stand for fiscal responsibility, but with an approval rating of 17 percent the hard reality may just be that Paterson doesn't have the political leverage to push the legislature to accept any cuts. His only hope may be to negotiate with the legislature and hope its members understand the gravity of New York's financial situation.

"The more Paterson says we can't wait while he does not offer a plan the more otherworldly this gets," said McMahon.
http://www.gothamgazette.com/print/3042