photos via The Governor's Office on Flickr
Earlier this year, Gov. Andrew Cuomo successfully advocated for the passage of a $15 minimum wage plan with the help of major labor unions and a nonprofit they created called The Mario Cuomo Campaign for Economic Justice. Teaming with 1199-SEIU, the health care workers union, and 32BJ-SEIU, the buildings workers union, Cuomo made campaign stops in an RV paid for by the nonprofit, which was funded largely by unions.
In a complicated confluence of relationships, Cuomo’s government office notified the press about the events and streamed the governor’s appearances at rallies organized by the group; while his reelection campaign spokesperson served in that role for MCCEJ. Cuomo’s office and the MCCEJ at times appeared to be one.
After the state budget agreement reached at the start of April included the $15 wage phase-in, the campaign celebrated success and closed up shop.
Later in the legislative session, in June, Cuomo created and won passage of a package of reforms that define new restrictions on coordination among candidate campaigns, former government employees, and Super PACs; and stricter reporting requirements of donors to Super PACs. Another aspect of the legislation, which Cuomo signed into law on Wednesday, requires more reporting of donors to nonprofit advocacy groups and reporting of some of their previously private communications.
Cuomo calls the bill an historic stand against dark money, the influence of Super PACs, and the Supreme Court’s Citizens United decision that opened up the floodgates for major, secretive political donations.
“New York is taking aggressive action to restore the people’s faith in government and increase accountability and transparency in the electoral process,” Cuomo said in a statement announcing his signing of the bill. “These actions roll back the disastrous influence of Citizens United and prohibit coordination between candidates and independent expenditure committees. Through enhanced enforcement and increased penalties for political consultants who flout the law, this new legislation will root out bad actors and shine a spotlight on the sordid influence of dark money in politics. With this legislation, New York is raising the bar once again – and now it’s time for the rest of the nation to follow suit.”
On the other hand, many reform advocates believe the bill is both a strange mix of regulations and ones that do very little to address areas where there has been real corruption in New York, namely among state legislators.
Robert Perry, legislative director of the New York Civil Liberties Union, says Cuomo has pushed through a confusing bag of proposals and that the way it was presented belies the ways in which the bill will impact small issue-based nonprofits.
“This legislation was touted and marketed as an attempt to address corruption in campaign expenditures - secretly collaborating with candidates in violation of the law - but the bill goes far beyond campaign and coordination,” said Perry. “Context is important. Look at the bill, it is full of broad sweeping provisions and disclosure requirements that have nothing to do with campaign expenditures that include organizations that aren’t even involved in lobbying, but pure issue advocacy. This bill will have a chilling impact on their donors.”
Perry points out that the bill is further confusing because the areas of law regarding political spending by groups like Super PACs and nonprofit advocacy groups are completely separate and yet the bill puts them side by side.
In Cuomo’s not-too-distant past, he aligned himself with a nonprofit formed by business interests to advocate for his agenda, the Committee to Save New York. Like Mayor Bill de Blasio’s more recent Campaign for One New York, Cuomo’s group was shut down amid criticism and controversy. The new regulations would apply to these types of groups in terms of donor disclosure. Cuomo’s group did not disclose its donors; de Blasio’s group did so voluntarily. The Committee to Save New York was not the subject of federal investigation whereas the Campaign for One New York is as authorities probe whether government favors were promised or delivered in exchange for donations to the nonprofit.
Critics have said that the Mario Cuomo Campaign for Economic Justice, like de Blasio’s Campaign for One New York, created a shadow government apparatus, in this case where government employees did work for lobbying groups and consultants were paid for their efforts by the MCCEJ while also representing Cuomo’s campaign.
“Clearly the governor is coordinating with this outside entity, and the governor's political operatives seem to have basically been set up and guiding it,” Susan Lerner, executive director of Common Cause New York, told Politico New York in February. “This is setting up a shadow government and it blurs the line between private campaigning and public policy. The goal is an admirable one, but the way it is being done gives us pause.”
Cuomo appeared to criticize de Blasio’s relationship with the Campaign for One New York while unveiling his reform plan in June. “The collusion, the coordination, the subterfuge, the fraud in the current political system is rampant,” Cuomo said, according to The Observer, without naming de Blasio’s group. When speaking with reporters after the event, Gotham Gazette twice asked the governor for examples of the types of groups he was targeting, but Cuomo declined to name any, saying that he did not want to accuse anyone of illegality at that time.
The new restrictions on coordination would have no impact on the MCCEJ or even the Campaign for One New York - both are nonprofit 501(c)(4) advocacy groups and thus only subject to the additional donor transparency requirements.
Political action committees, or PACs, are tied to candidates, while independent expenditure campaigns, commonly referred to as Super PACs, are not allowed to coordinate with candidate campaigns. Both operate during elections to influence their outcomes - those groups register and report their fundraising to the Board of Elections. New restrictions on coordination and additional reporting requirements will apply to Super PACs.
“The members of 1199SEIU have been proud to be a part of raising the minimum wage to $15 for nearly three million working New Yorkers, and passing the strongest paid family leave law in the nation. We hope that similar efforts are successful throughout the country, so that working people can provide a better future for their families and we can rebuild the middle-class.” said Mark Riley, press secretary for 1199SEIU, in a statement. The union declined to make its president, George Gresham, who served as chair of the MCCEJ, available to discuss how the campaign was coordinated.
Sources close to the Mario Cuomo Campaign for Economic Justice told Gotham Gazette that the new rules on nonprofit donor disclosure would have had no impact on the MCCEJ as they lower the thresholds for nonprofits to report donors, but donations to the MCCEJ were already covered by the old lobbying law.
Now, more disclosure is required of smaller donors after nonprofits spend smaller amounts of total money on lobbying. The MCCEJ’s donations appear to mostly have come in large sums. But, it will be impossible to know until the MCCEJ’s final disclosure documents are made public by the state regulatory agency they must report to: JCOPE, the Joint Committee on Public Ethics.
So far, all of the reported donations to MCCEJ far exceed the new reporting requirements and therefore were covered by the old law. The SEIU Labor Management Initiative donated $637,781 in February and then gave the same amount again in April; Service Employees International gave $212,594 in January; in March, RWDSU Realty Group donated $63,778 in March; The New York Hotel and Motel Trades Council gave $85,038; and the SEIU1199 New York State Political Action Fund gave $85,038.
New York’s previous lobbying act requires nonprofits that fit under the 501(C)(4) designation of the IRS tax code to disclose donations of over $5,000 and the personal information of those who make such donations if the group has spent more than $50,000 on lobbying in a calendar year. The new bill sets the total lobbying disclosure threshold at $15,000, while requiring disclosure of donations of more than $2,500, as well as those donors’ personal information. The MCCEJ is expected to have spent around $2 million from January to July.
Sources told Gotham Gazette that MCCEJ disclosed its donors to JCOPE in July but the filing has yet to be made public. Most MCCEJ activity occurred in the early months of 2016 when Cuomo and company traveled the state on the $15 minimum wage campaign. The group’s final filing should be available in September.
The new law also requires 501(C)(4) groups to disclose to the Attorney General any communications, whether written, broadcast or otherwise, having to do with legislation, votes on legislation, pending legislation, government action on rules, regulations or the decisions of any legislative or executive administrative body.
A number of issue-focused nonprofits, some that lobby and some that do not, are opposed to the new rules because, unlike the MCCEJ, they do not enjoy a close relationship with the Cuomo administration or other parts of state government.
The MCCEJ would likely have been subject to and impacted by this communication disclosure rule, but the group existed in that fairly unique position - its communications were already likely privy to the Cuomo administration and its donors were not likely to ever fear political reprisal for their support of the group’s lobbying efforts.
“The problem becomes when the law applies to groups that are not sponsored and created by the chief executive of the state,” said Perry.
The NYCLU urged Cuomo to veto the bill, saying that it violates freedom of speech and will temper donations to small issue-advocacy groups because donors will fear being exposed and possible reprisals. “This will have a chilling effect,” said Perry. “This intrusive, burdensome, regulatory scheme where you have to provide a donor's name and address will intimidate donors and reduce their willingness to engage due to the prospect of retaliation from the government, or someone else who disagrees with them.”
Mike Durant, New York State director of the National Federation of Independent Business, a group that lobbied against the minimum wage hike said he found it quite challenging to go up against the combination of Cuomo and well-funded labor groups. Durant’s organization, a national nonprofit, is still reviewing what, if any, impact the new regulations will have on it.
Durant said he is concerned about the new laws and how they might affect dissent and perhaps earn political retribution. “It’s always been a concern with any governor, but with this governor it’s a bit heightened,” he said. “You can't stifle opposition. Government is supposed to be an argument between various sides about an issue and you see where that argument goes. Stifling dissent is not doing the public any favors.”
Doug Kellogg of Reclaim New York, a group focused on government transparency that has been critical of Cuomo in general and this legislation specifically, said that it's almost impossible to gauge how groups will be impacted because it is still uncertain how JCOPE will administer the law.
Kellogg noted that JCOPE can set exemptions for certain groups. “They get to determine whether a donor has legitimate fear of retaliation, and thus does not have to have their name released,” he said. “It's completely twisted to have a government spinoff that's not fully subject to basic transparency law deciding which citizens that fear retaliation for their speech get to stay private, and which have their names published. Until we see it in practice, we can't be sure how awful the law will truly be, but it’s definitely going to be ugly.”
JCOPE approved a set of regulations having to do with the law earlier this month. Many groups are anxiously waiting to see how the new regulations are actually enforced.
Perry of NYCLU and a host of good government groups including Citizens Union, the New York Public Interest Research Group, and Common Cause New York say that the governor has given no evidence that these new disclosure rules for nonprofits will do anything to impact corruption.
They say unlike the convictions of Dean Skelos and Sheldon Silver and the dozens of other legislators who have been removed from their seats, a trend that demonstrates a corruption epidemic in the Legislature, there is no indicator that nonprofits need more regulation.
“As you know, non-profit charities are already tightly regulated by the Internal Revenue Service,” the groups wrote Cuomo in a letter urging him to veto the bill. “These organizations, known as 501(c)(3)s have strict limits on their lobbying involvement – limitations that amount to a small fraction of their budgets. They are forbidden from intervening in political campaigns on penalty of being disqualified as a charity. Yet, with no demonstrated evidence of a problem and no evidence of any meaningful problems in New York State (evidence, which if it existed, you could have brought to light in a public debate) you assert that such a problem exists. As a result, these parts generally harm charitable organizations in the state through their lack of clarity and astoundingly broad reach. Rather than being targeted, the bill would impose onerous requirements on many nonprofits and inhibit contributions to nonprofits seeking to carry out charitable work, and could jeopardize the ability of many nonprofit organizations to operate in New York.”
Asked whether Cuomo had evidence there was corruption or malfeasance among these groups, Cuomo spokesperson Dani Lever forwarded a Times Union article titled “Who Funds New York’s Good Government Groups?” The article says that some groups are not always forthright about their donors, but that on the whole most are; while also noting that at times a group has released a report related to a donor with a particular interest.
Lever also provided a comment that the administration has widely circulated in response to criticism of the new legislation, which Cuomo spokesperson Rich Azzopardi has also tweeted in response to recent articles on the matter: “Everyone is all for transparency, except when it comes to them. We are just surprised to learn that applies to self-appointed good-government groups, too.”
A lawsuit challenging the bill is expected in the coming months - the suit will likely argue the law is an overreach and violates the First Amendment.
Lever did not respond to a question regarding whether Cuomo is concerned about the blurring of the lines between government and nonprofit lobbying as in the case of the Campaign for One New York and the Mario Cuomo Campaign for Economic Justice.
Asked about the new ethics laws on Thursday, Cuomo told reporters that it wasn’t everything he was hoping for, but still important. “The ethics bill is a major step forward,” Cuomo said, according to State of Politics. “Is it everything? No. Ethics in many ways is like other activities in life, right? That old line — you can never be too rich, you can never be too thin. Well, you can never be too ethical. So, you get everything done that you can get done. But you stay at it and you work at. More and more disclosure, more trust.”
Blair Horner, of the New York Public Interest Research Group, said that the law has served as a distraction in a year when Albany has been rocked by the conviction of two former legislative leaders and a federal investigation into Cuomo’s economic development projects. “This is classic Albany misdirection,” said Horner. “Here we are all talking about (C)(4)s and nonprofits and it's distracting us from discussing corruption in the Legislature and Executive. It is absolutely cynical, but it's effective.”
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
Note: Gotham Gazette is an independent publication of Citizens Union Foundation, sister organization fo Citizens Union.
New York City Hall
What to watch for this week in New York politics:
This pre-Labor Day weekend week is looking like a fairly quiet one in New York politics, though there are a few things to watch for. Mayor Bill de Blasio is due to return Sunday evening from a vacation week traveling throughout New England with his family and could have an active week. The mayor starts the week with one public event on his schedule: he'll be in Queens Monday evening to deliver remarks at the opening ceremony for the 2016 U.S. Open.
One certainty for the week ahead is that much attention will be turning to the fist of three scheduled legislative hearings on water quality and the Cuomo administration's response to water quality problems in Hoosick Falls and elsewhere - the initial hearing is Tuesday in Hoosick Falls.
That first hearing on "drinking water contamination" is being held by two state Senate committees. The other two hearings scheduled - on September 7 in Albany and September 12 on Long Island - will be joint hearings of the Senate and Assembly.
Neither Gov. Andrew Cuomo nor city Comptroller Scott Stringer nor Public Advocate Letitia James has any public events scheduled for Monday. City Council Speaker Melissa Mark-Viverito did not release a public schedule as of Monday morning at 8 a.m.
At noon on Monday, Lieutenant Governor Hochul will address students and faculty about Governor Cuomo’s Enough is Enough initiative to combat sexual assault on college campuses, at SUNY Geneseo. At 1:15 p.m., Hochul will highlight state investment in state parks at Letchworth State Park Nature Center.
The City Council is silent this week in terms of hearings, returning to action after the Labor Day weekend.
On Monday evening on NY1's Inside City Hall there will be a debate between the two candidates in the Democratic primary for the 10th state Senate district in Queens: incumbent Senator James Sanders and challenger Adrienne Adams.
A few Tuesday events:
At 8:30 a.m. on Tuesday, the New York City Food Policy Center is hosting its Food Policy For Breakfast Series with Naomi Starkman, the founder and editor-in-chief of Civil Eats who will discuss food policy with executive director of the Food Policy Center, Charles Platkin.
On Tuesday at 11 a.m., "State Senator James Sanders Jr. will host a press conference...at the Sutphin Boulevard / Archer Avenue train station to announce that $7.65 million in state funding has been allocated for improvements to the Jamaica Transportation Center Station Plaza. This money was set aside in the 2016 budget for a multi-year state transportation plan agreed upon by Senator Sanders along with his colleagues in the legislature and Governor Cuomo."
"On Tuesday, Mayor de Blasio will host a roundtable discussion regarding tenant protections...After the roundtable, [at 12:30 p.m.] the Mayor will host a press conference to make an announcement regarding legal representation for tenants in housing court."
On Tuesday evening, NY1's Inside City Hall will host a debate between incumbent Bronx State Senator Gustavo Rivera and his Democratic primary challenger City Council Member Fernando Cabrera (Cabrera also challenged Rivera in 2014). Read our latest coverage of this race.
On Thursday:
NY1's Inside City Hall will host a debate between incumbent Brooklyn Assembly Member Pamela Harris and her Democratic primary challenger Kate Cucco.
On Thursday evening, at 6:30 p.m. at the Sikh Cultural Society in Queens, "Deputy Mayor for Strategic Policy Initiatives Richard Buery will lead a panel discussion on ThriveNYC, the City’s mental health roadmap for all. He will be joined by Vishavjit Singh, creator of Sikh Captain America and Sikhtoons; Dr. Muninder Kaur Ahluwalia, an associate professor at Montclair State University; and Arvind Kaur, clinical psychologist and host of Jus Galbaat. This event is organized by Mayor Bill de Blasio’s Community Affairs Unit and Office for Immigrant Affairs, in conjunction with the Sikh Cultural Society and United Sikhs."
***
Have events or topics for us to include in an upcoming Week Ahead in New York Politics? E-mail Gotham Gazette executive editor Ben Max any time: This email address is being protected from spambots. You need JavaScript enabled to view it. (please use "For Week Ahead" as email subject).
***
by Libby Wetzler and Ben Max
@GothamGazette
photos via The Governor's Office on Flickr
After months of refusal and delay, the state Legislature is set to begin a series of hearings on drinking water contamination in New York. It became clear many months ago that the water in Hoosick Fall had been contaminated by a chemical known as PFOA and the first of three scheduled hearings will take place Tuesday in the village.
Tuesday’s hearing is a joint one by two state Senate committees, health and environmental conservation. The other two hearings are set to be joint Senate and Assembly hearings; they are scheduled for September 7 in Albany and September 12 on Long Island.
The hearings, especially the first one, are expected to deal with how the administration of Gov. Andrew Cuomo responded to reports that the water in Hoosick Falls was contaminated and why it took so long to notify residents of the threat; as well as examining how to prevent and respond to future contamination.
On the legislative hearings website, Tuesday's Senate hearing in Hoosick Falls is titled "Drinking Water Contramination," while the Sept. 7 and 12 joint hearings are titled "Water Quality and Contamination."
Assembly Democrats, who hold that chamber’s majority, announced in February that they would hold such hearings in April but they never materialized. The Assembly announced in early July that it would hold hearings in early September.
Republicans in the Senate majority stood steadfast against hearings when they were first proposed last December. Public pressure mounted all legislative session and in July the Senate announced it would hold hearings, six months after the plight of the residents of the small town came into public focus.
Senate Majority Leader John Flanagan announced his conference would hold hearings “in an effort to explore the sources of water contamination, examine state and federal oversight issues, and determine how we can prevent this from happening in the future.”
In his statement on the hearings, Assembly Speaker Carl Heastie said, "Recent reports of water contamination in municipalities across the state have highlighted the need for a thorough review of measures to ensure clean and healthy water in our communities. Ensuring a safe water supply for our children and families is a top priority for us."
After announcing intentions to hold hearings, the two houses subsequently said they would hold the two joint hearings.
After months of advocacy, pressure, outrage, and denial, it is unclear what exactly the hearings will look like and what would make them successful.
Here are five important things to watch:
1. Are all the stakeholders present?
Advocates warn that there won’t be a full accounting of how the pollution in Hoosick Falls went unidentified and then was left unacted on for months without the presence of all stakeholders.
“They all have to be there from the polluters to the regulators; Honeywell, the EPA and DEC; we need them all there to figure out who knew what happened when and what went wrong,” said Liz Moran of Environmental Advocates of New York, referring to the company believed to be responsible for poisoning the Hoosick Falls water and the federal and state environmental agencies.
The Cuomo administration has put significant blame on the federal Environmental Protection Agency for not having adopted uniform standards for the impact of PFOA and pushed back heavily on assertions that it was slow to respond to the problem. How much the Cuomo administration will participate in the hearings and how open it will be remain to be seen.
Tuesday’s Hoosick Falls hearing begins at 10:30 a.m. and is expected to go all day and into the evening, with members of the public testifying both by appointment and on a walk-in basis later in the day.
According to the August 12 Senate majority press advisory about the hearing, Senate Health Committee Chair Kemp Hannon and Senate Environmental Conservation Committee Chair Tom O’Mara will lead the hearing; they’ll be joined by Senator Kathy Marchione, who represents the Hoosick Falls area, and other senators. “The purpose will be to explore the sources of water contamination, examine local, state, and federal oversight issues, and hear from experts, local residents, and others on what can be done to assist affected communities and mitigate future incidents.”
2. Will hearings lead to a plan?
During this year’s legislative session, while fallout from Hoosick Falls was fresh and media was focused heavily on the issue, the Legislature passed one bill that had anything to do with the contamination, and passing that bill was no simple task. The legislation extended the time victims of environmental contamination have to sue polluters.
The bill appeared set to pass until late in session when Marchione (pictured), a Republican who represents Hoosick Falls, introduced a pro-business amendment that would have ensured that the bill did not become law. After outcry from her constituents she reversed herself and the bill passed both houses of the Legislature.
In May the EPA released new standards for safe PFOA levels in drinking water that are significantly lower than its 2009 standards. Wells in Suffolk County have been shown to be over the EPA’s recommended limits at the impacted communities have taken action. Meanwhile, more communities are grappling with lead found in their drinking water supply and it is clear that the state needs a plan of action.
Environmental groups say the Legislature will need to move to actually prevent these kinds of incidents and prepare the state to respond quickly before the public is impacted. “We need a plan for the rest of the state,” said Moran. “Anything less than that would count as failure.”
3. Is there enough political will?
A number of legislators and many Hoosick Falls residents believe that the Legislature stalled on holding hearings knowing that they would anger the Cuomo administration. The Assembly scheduled hearings for April, right around the time the budget was due, and they never came to fruition.
At the time Republican Assemblymember Steve McLaughlin, who represents Hoosick Falls, told Gotham Gazette he was concerned the hearings were being used as a bargaining chip in budget negotiations. “I told them in February: ‘Don’t use my constituents as leverage,’ and it looks like that is exactly what happened,” McLaughlin told Gotham Gazette in late April not long after the new budget was finalized.
It will now be up to the Legislature to probe the Cuomo administration’s response and perhaps delve where the administration would rather they didn’t. The administration has repeatedly stated they took proper action but, as reported by Politico New York, documents show they resisted the EPA’s calls for action.
In June, Cuomo defended his administration. “I don’t know how the state could have been more aggressive or what else we could have possibly done,” the governor told reporters, according to State of Politics. “We did the testing, we installed filters on every home that needed them, we added filters in buildings frankly that didn’t need them just to make people more comfortable. I don’t think we could have been more aggressive.”
Shaun Francis, a Democrat who is challenging Marchione for her seat, said he is concerned that Senate Republicans won’t want to fully explore the response to Hoosick Falls. “They were the last ones on board for hearings and my fear is they are going to try to paper over the failures,” Francis told Gotham Gazette last month. “It’s hard to believe people sounding the alarm bells didn’t let Marchione know.”
4. Will the two houses be able to work together?
The Democrat-controlled Assembly and Republican-controlled Senate are diametrically opposed on a number of issues, but advocates hope the they can find a way to get on the same page as voters have become increasingly aware of potential water contamination and the state’s inadequate response.
Republicans have traditionally been opposed to increased regulations on businesses so the issue could become a flashpoint.
A number of Assembly Members have voiced concerns about underfunding the Department of Environmental Conservation (DEC), and they may push for increased staffing, something that would make their union allies happy.
Each house may also have different considerations when it comes to relationships with the Cuomo administration. Senate Republicans have been close to Cuomo since he took office, with the governor doing little to help his fellow Democrats win seats in that house. They also helped Cuomo on a number of thorny issues in recent budgets. Meanwhile, Heastie has clashed with Cuomo on the governor’s treatment of Mayor Bill de Blasio and various New York City issues.
Cuomo has had harsh words for the Legislature on a few occasions in recent weeks.
5. Will election-year concerns come into play?
All 213 seats of the state Legislature are on the ballot this year -- 150 Assembly and 63 Senate. Voters are evaluating the effectiveness and responsiveness of their local elected officials and the function of state government as a whole.
Both houses of the Legislature put off hearings for months and only gave in after intense protest from Hoosick Falls residents and environmentalists, as well as calls from members of Congress like Democratic Senators Kirsten Gillibrand and Charles Schumer, as well as Republican Rep. Chris Gibson.
Gillibrand held an emotional hearing in Hoosick Falls where she heard from residents who described learning they had been poisoned by their own drinking water.
Now both state legislative houses will have to examine whether the laws they put into place over the years were inadequate. Senate Republicans will have to assess how to confront the issue given that Marchione faces a general election challenge from an opponent who is running principally on the notion that government failed the district.
Many expect legislators to present the issue as one that caught everyone by surprise and must be acted on quickly now that everyone’s eyes are open to it. Environmentalists and Hoosick Falls residents are unlikely to accept that response.
“Clean drinking water is now on the forefront of voters’ minds,” said Travis Proulx of Environmental Advocates of New York. “It is something everyone takes for granted until people get sick. People assume the government will protect them and they are finding out that wasn’t the case. Water quality has entered the political realm in a way that we haven’t seen in modern New York politics.”
Moran said she thinks that after feeling the pressure from Hoosick Falls residents at the end of legislative session, legislators got the message that not only did hearings have to happen, but they have to produce results. “Kathy Marchione felt the voters’ wrath after she amended her bill. I hope everyone is taking this very seriously,” Moran said. “There are very high expectations in Hoosick Falls for what these hearings will deliver. New York voters have high expectations.”
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
Rebecca Harary with supporters (photo via @TeamHarary)
When it comes to the New York State Legislature, most electoral attention is paid to the Senate, which Republicans control by a thin majority and only because an elected Democrat caucuses with them and they have a power-sharing agreement with a five-member faction of breakaway “independent” Democrats. This November’s elections will determine control of the chamber.
In the State Assembly, however, the balance of power is not close. Republicans have been at a massive disadvantage. The Democrats have a stranglehold on the house, which is unlikely to drastically shift come November - Democrats currently hold 104 seats to the Republicans’ 44 (one seat is held by a Working Families Party member and there is one vacancy in the 150-seat chamber). This holds particularly true for seats in New York City, a liberal bastion that helps make New York an overwhelmingly blue state. There are currently only two Republican Assembly members, both from Staten Island, representing New York City’s 66 Assembly districts.
But come November, the Manhattan GOP believes it can make inroads and put not one, but two of their own in Assembly seats on the Upper East Side where Republicans believe that registered Democrats won’t necessarily vote along the party line.
Manhattan Republicans are banking on voting trends from 2013, when Mayor Bill de Blasio’s landslide victory wasn’t reflected on the Upper East Side and he lost the neighborhood to his GOP opponent, Joe Lhota, by double digits.
“The Upper East Side is very Bloomberg-centric,” said Adele Malpass, chair of the Manhattan Republican Party, insisting that the neighborhood tends to vote along more conservative lines. “The Upper East Side is not a progressive spot,” she said. The neighborhood is predominantly white and relatively affluent, and has historically supported Republican mayoral candidates. Malpass hopes her party can tap this sentiment in the upcoming election, and win the 73rd and 76th Assembly districts by defeating Democratic incumbents.
The two districts run side by side on the East Side: District 73 extends from 34th Street to 94th Street, bounded by 5th avenue on it’s west side. On the east, it reaches the river in certain sections but mostly stops at 3rd Avenue where District 76 begins. District 76 stretches from 61st to 92nd Street, and includes Roosevelt Island.
While it may be an uphill battle - incumbents are exceedingly difficult to beat - Republicans see some reason for optimism. "The Upper East Side is where we have the best odds of winning a seat this election, but it can't be done without your support and involvement," Malpass recently wrote in an e-newsletter to Manhattan GOP subscribers.
The 73rd district is represented by Assemblymember Dan Quart, who has held the seat since winning it in a special election in 2011. He’s being challenged by Rebecca Harary, a community activist with a long history of nonprofit work. She founded a school for children with autism and a high school for teenagers with mild learning disorders. She is currently the founding executive director of the Propel Network, an organization that helps Jewish women enter the workforce. She is a mother of six and grandmother of seven, she said in an interview.
In the 76th district, first-term Assemblymember Rebecca Seawright, elected in 2014, will face off against Jon Kostakopoulos, a writer for financial news website The Street and former director of field operations for John Catsimatidis’ 2013 mayoral campaign. Kostakopoulos is also Catsimatidis’ godson and the supermarket magnate is set to host a fundraiser for Kostakopoulos in late September.
The two challengers believe they have a solid chance to make these races competitive by focusing on a few core issues -- quality of life, public safety, transportation and education -- and they aren’t worried that the Democrats have an enrollment advantage over Republicans in Manhattan. Active registered Democrats in the borough outnumber Republicans 8 to 1, but that ratio in the 76th district is only about 3.3 to 1, and in the 73rd district it's even closer at 2.5 to 1.
“We have an absentee Assemblyman,” said Rebecca Harary about Quart, in a phone interview with Gotham Gazette. “His silence is deafening, and that speaks volumes about the leadership in this district.” Democrats, she said, and particularly Mayor Bill de Blasio, are responsible for rising homelessness and worsening quality of life in the district and across the city. Her opponent, she said, is a company man like most incumbent Democrats. “They’re just going to vote the company line and make no waves,” she said, insisting that there’s a need for an independent voice in the district. “It’s time to ask the real questions,” she said.
Her top priority, besides public safety, is education. She supports charter schools and believes the state should offer tuition tax credits, with increased income thresholds, to parents who choose to send their children to private and parochial schools.
Assemblymember Quart doesn’t seem worried about the challenge from Harary. “I look forward to November,” he said. His plan is to run on the successes of the last five years, he said, pointing to improvement of air quality in the district, sponsoring and passing legislation on criminal justice issues and helping secure $1 billion in additional funding to the MTA Capital Plan for the Second Avenue subway line. “By any objective measure, I’ve been successful in helping my constituents,” he said.
“I run on my record,” he added. “The politics will work itself out.” Quart has a significant fundraising advantage over his opponent. He has raised more than $335,000 for the race compared to Harary’s $59,000. (Quart also has a city campaign account with $104,375 in it for a possible future race, but he said he does not intend to run for any city office in 2017.)
Fellow Democrat Rebecca Seawright is also confident about her prospects, although she’s not being complacent about the race. “I’m a full-time legislator, I take this job very seriously,” she told Gotham Gazette, alluding to the fact that state legislators are technically part-time and allowed to earn outside money, which has gotten some into trouble.
Seawright said she’s had a successful first term in the Assembly majority. “I’ve passed 10 pieces of legislation and seven have been signed into law by the governor,” she said, also touting her 100 percent attendance record.
Refutes Republicans’ assertion that quality of life is decreasing in the district, Seawright said, “I’m extremely proud of the progress that’s been made. We’re constantly picking up the phone and reaching out to city agencies about getting the homeless into shelters, picking up garbage.”
Seawright is also confident that with Hillary Clinton on the top of the Democratic ticket, voter turnout will be robust on the Upper East Side and Roosevelt Island, which falls in her district. One aspect strongly in Seawright’s favor is her opponent’s late entry into the fray. Kostakopoulos started his campaign only a few weeks ago - he’s holding a campaign launch event September 8 - and has yet to raise any money. Seawright has just short of $100,000 in the bank.
Kostakopoulos told Gotham Gazette he got into the race because Seawright would otherwise have been uncontested, and that during her tenure, quality of life, particularly the issue of homelessness, has become abysmal in District 76. “I’ve been there my entire life and I’ve never seen it so bad,” he said in a phone interview, mentioning homelessness specifically.
He doesn’t intend to make an ideological appeal to voters, however. “I’m not running as a Republican or a Democrat even though I’m on the Republican line,” he said. “I’m running as a resident of the 76th district.” Calling himself a “New York Republican” like former Mayor Michael Bloomberg, he said he appeals to voters on the Upper East Side who are socially liberal and fiscally conservative.
If elected, he intends to advocate for quicker completion of the Second Avenue subway, which he said has been perennially delayed under Assembly Democrats. “These career politicians have had enough time,” he said. “Someone’s got to be held accountable.”
Republicans are hoping to see a repeat of the results of the 2013 mayoral race and Manhattan party Chair Malpass is rallying the troops on that message. In an email blast to subscribers, she laid out the strategy and outlined five upcoming events for the candidates, including Kostakopoulos’ campaign launch and fundraiser.
“What we accomplish between now and Election Day will lay the groundwork for winning the Mayor's race in 2017 and making Bill deBlasio [sic] a one-term Mayor,” the email reads. They intend to reach out to independents and moderate Democrats and will use “cutting edge campaign technology” to do so, including merging their voter rolls with internet services and online publications for targeted ads and narrowing down specific buildings and districts to directly reach voters online. It is important that they are funded to do the work, the party wrote.
But relying on the 2013 mayoral voting numbers may be problematic. Steve Romalewski, director of the CUNY Mapping Service at the Center for Urban Research/The Graduate Center, pointed out that just the next year (2014), in both the 73rd and 76th districts, the Democratic candidates won with overwhelming majorities. “I don’t see how the mayoral results have anything to do with the likelihood of a Republican winning either seat,” he said of the Assembly races, pointing out that Democrats have won these districts all the way back to 2000. “That’s just a reality of the New York City electoral patterns,” he said. “There tends to be a vast difference between municipal elections and state elections, and executive branch results and legislative branch results.”
“If the Republican candidates are trying to pin their hopes on the results of the 2013 mayoral election,” he said, “they’ll be sadly mistaken and they should rethink their strategy.”
***
by Samar Khurshid, senior reporter, Gotham Gazette
@samarkhurshid @GothamGazette
Note: this article has been updated.
Espaillat, center, & Alcantara, right of center (photo: @Espaillat4NY)
Marisol Alcantara, a labor organizer who ran a successful insurgent campaign for district leader in 2010, is seen by many in her Uptown district as a liberal firebrand. As Alcantara now pursues election to the New York State Senate, she is also fighting a proxy war for Senator Adriano Espaillat, who is about to be elected to Congress and Alcantara hopes to replace. The hotly contested Democratic primary for Espaillat’s Senate seat is becoming a test of his power and that of his top allies.
Alcantara’s candidacy is also backed by the Senate Independent Democratic Conference, or IDC, which she has pledged to join if elected, a scenario that may enable Senate Republicans to keep control of the chamber in a year when mainline Democrats believe they have the best chance to take power and see all major parts of state government run by the party.
In other words, the race to replace Espaillat, along with several Senate races around the state, could have significant implication for billions of dollars in state budget money and major policies of all kinds - these decisions are currently made among Gov. Andrew Cuomo, a Democrat, the Democratic leader of the state Assembly, and the Republican leader of the state Senate, with some input from the IDC.
On Tuesday, Alcantara was endorsed by Bronx Borough President Ruben Diaz Jr. who is an ally of IDC head Jeff Klein, senator from the Bronx, and of Cuomo, who has encouraged the IDC’s ruling coalition arrangement with Senate Republicans in the past.
“From organizing voter registration drives, to helping tenants facing eviction navigate city bureaucracy, to standing with workers on the picket line, to passionately advocating for education funding, Marisol Alcantara has spent her career fighting for the issues that New Yorkers care about,” Diaz Jr. said in a press release.
According to five sources involved in the race, Espaillat is flexing his new-found muscle after his Democratic primary win to replace retiring Rep. Charles Rangel in Congress. Espaillat, set to become the first Dominican-American elected to Congress during a formality of a November general election, has called in favors and is lobbying other electeds to back Alcantara. In the state Senate primary set for September 13, she is facing former City Council Member Robert Jackson; Micah Lasher, former chief of staff to Attorney General Eric Schneiderman; and Luis Tejada, a community activist.
The 31st Senate District runs from the Upper Manhattan neighborhoods of Inwood and Washington Heights, down the West Side to Hell’s Kitchen.
“This is a lady who stands on her own two feet,” Espaillat said of Alcantara last week as she received the endorsement of the Transit Workers Union Local 100. “I listen to her and I know that we will not always agree, because she is her own person, as she should be, because leadership is about that.”
Jackson, who has been running since February, is allied with Assembly Member Keith Wright, who Espaillat defeated in the Congressional primary. Jackson challenged Espaillat for his Senate seat two years ago, winning about 43 percent of the vote, when Espaillat was losing to Rangel for the second cycle in a row.
Lasher, who has been running since April, is a first-time candidate but is known as an expert political strategist and has deep political connections to many top city and state politicians, such as Schneiderman and city Comptroller Scott Stringer.
There is concern in Espaillat’s camp that a Jackson or Lasher victory could create a ready-made primary challenger for Espaillat two years from now, when it is assumed he’ll be seeking re-election to Congress. Neither Lasher’s nor Jackson’s campaign returned requests for comment.
In efforts to elect Alcantara, the candidate, Espaillat, and others also hope to tap into enthusiasm in the Dominican and larger Hispanic communities over Espaillat’s congressional victory. Meanwhile, Alcantara has received the financial backing of the IDC which is looking to expand its membership before negotiating a deal to control the Senate with either the Democrats or Republicans.
City Council Member Ydanis Rodriguez switched his endorsement from Lasher to Alcantara when Alcantara declared her candidacy on July 20. It also appears Alcantara has picked up labor endorsements that were expected by Jackson and Lasher, one of which is that of Transit Workers Union Local 100.
Espaillat is featured heavily in Alcantara mailers that are funded by the IDC. Espaillat also recorded a robocall for Alcantara. “As an immigrant to our country just like me, Marisol Alcantara knows the importance of standing up for those without a voice,” Espaillat says on the call before asking voters to “make history” with him again by electing Alcantara. Alcantara immigrated from the Dominican Republic when she was a child.
While in the Senate, Espaillat has been a member of the mainline Democrat conference, not the IDC.
"Marisol is a longtime labor and community activist who's worked closely with elected officials, faith leaders, and non-profits across the district to fight for tenants, seniors, immigrants and working families,” said Jonathan Davis, a spokesperson for Alcantara, in a statement. “Voters know how hard she'll fight to strengthen tenant protection laws, increase education funding, pass the DREAM Act, fix New York's broken campaign finance system, and protect our environment and parks. It's no surprise she's built such a diverse and impressive coalition in a short amount of time, and she's only getting started."
Both Lasher and Jackson have criticized Alcantara for aligning herself with the IDC. Mainline Senate Democrats worry that Alcantara will simply serve to strengthen Klein’s hand when it comes time to negotiate a governing deal. They note that while some major liberal issues have passed the Senate under Republican and IDC control, like a minimum wage increase and paid family leave, other major issues like criminal justice reform, the DREAM Act and ethics reform have foundered.
Klein, in an interview with Gotham Gazette earlier this summer, said, “I worked extremely well this year with Senator John Flanagan and yes, this session we were able to work well with [Democratic Minority Leader] Andrea Stewart-Cousins -- it is a much better relationship, but I think the Republican Conference has been even better and a lot of credit has to go to the relationship with Senator Flanagan, again.”
Alcantara defended her alliance with the IDC in a statement released last week: “I witnessed an increase in the minimum wage twice, paid family leave, and Universal Pre-K for NYC–all possible because of the IDC’s influence. When I am elected I look forward to going to Albany to continue to push for progressive legislation critical to the people of the 31st district.” She added that she will remain an independent voice for “tenants and families” throughout her district, where rent regulation and affordable housing are top concerns.
Sources within Alcantara’s camp insist she will be a vocal proponent of liberal issues and likely clash with Senate Republicans regardless of which conference she sits with, while noting it is likely that the IDC will caucus with Democrats as Republicans are facing the potential negative impact a Trump candidacy may have on turnout.
Alcantara and her allies dismiss criticism from Lasher and Jackson and point to their histories as evidence that they have worked across party lines. Jackson voted in favor of extending term limits in 2008 when then Mayor Michael Bloomberg wanted to run for a third term. Lasher worked as a top state government lobbyist for Bloomberg and also served as executive director of pro-charter school group StudentsFirstNY, a group that has worked to defeat Democrats.
Jackson’s major endorsements include powerful unions the United Federation of Teachers and DC37, and former Mayor David Dinkins. Lasher is backed by Attorney General Schneiderman, Reps. Hakeem Jeffries and Jerry Nadler, Comptroller Stringer and State Sens. Jose Peralta and Jose Serrano.
A win by Alcantara wouldn’t just give the IDC more leverage during negotiations this fall, it would also add diversity to its ranks as the conference is currently made up of only white members, four men and one woman. They’ve come under heavy criticism for taking a seat at the negotiating table with Gov. Andrew Cuomo while mainline Senate Democrats - who are represented by Sen. Andrea Stewart-Cousins, a black woman, and represent the majority of city residents - are excluded.
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
New York City Hall
At the onset, it appears to be a relatively quiet week ahead in New York politics, at least in terms of hearings and events scheduled. Mayor Bill de Blasio is out of town for the week, heading to "family engagements" with his wife, son, and daughter in several New England states. And, the City Council has no committee or full-body hearings this week - it doesn't have any scheduled until after Labor Day.
Governor Andrew Cuomo does have an active public schedule Monday. After releasing a schedule with no events on Sunday evening, the Governor's Office sent out an updated schedule Monday morning that has Cuomo in New York City and Suffolk County. At 11 a.m. the governor will deliver remarks at the NYS AFL-CIO 33rd Constitutional Convention in Manhattan. At 1:35 p.m. Cuomo will make an announcement at IBEW Local 25 in Hauppauge.
Neither Comptroller Scott Stringer nor Public Advocate Letitia James has any public events scheduled for Monday. City Council Speaker Melissa Mark-Viverito did not release a public schedule for Monday as of 7:30 a.m. Monday.
Topics to watch this week that heated up last week have a housing focus: debate over the resuscitation of the 421-a affordable housing tax incentive program per state law and questions about specific rezonings that fall within city parameters. Gov. Cuomo is reportedly working through a new 421-a deal with real estate developers and the building trades unions - the expiration of 421-a was one key aspect of the dissolution of Cuomo and de Blasio's relationship. Meanwhile, de Blasio and specific City Council members were involved in some conentious back-and-forth this past week as two Council members are opposing rezonings that de Blasio favors - each would allow greater density through a specific housing development, but would come with new guarantees of affordable units therein.
Like the City Council, the state Legislature is quiet this week, but the Assembly and Senate are gearing up for water quality oversight hearings that will take place toward the end of the month and into September. The town of Hoosick Falls has been at the center of controversy due to poisoned water there and the state's slow response in warning and helping local residents. But, there are other places where the health of the water is being questioned and after a long delay, both houses of the Legislature decided to hold hearings.
As for this week, there are a few events on the calendar - see our day-by-day rundown below.
***Do you have events or topics for us to include in an upcoming Week Ahead in New York Politics?
e-mail Gotham Gazette editor Ben Max: This email address is being protected from spambots. You need JavaScript enabled to view it.***
The run of the week in detail:
Monday
At 10 a.m. on Monday, the Department of Consumer Affairs will hold a public hearing on a new proposed rule. The DCA is proposing a change to the “Fair Wages for New Yorkers Act,” which would mandate “certain companies that receive at least one million dollars of financial assistance from the City of New York to pay their employees no less than a living wage.”
On Monday at 11:30 a.m., “Queens Borough President Melinda Katz, Council Majority Leader Jimmy Van Bramer, Queens Borough Parks Commissioner Dorothy Lewandowski and Community Board 2 will announce $3 million in funding for renovations at Hart Playground in Woodside. This money will provide upgrades to the play structures, benches, grass, restrooms, and other facilities at the popular playground.”
Tuesday
On Tuesday at noon in Long Island City, City Council "Majority Leader Jimmy Van Bramer, Building Trades Council President Gary LaBarbera, and workers from the Building Trades Unions will rally outside of the G&M Realty site to protest a broken promise by G&M Realty, the site owner, to build using union workers. During the ULURP process, in exchange for the ability to build 400 additional units, G&M Realty agreed to several major community givebacks, including a commitment to build and staff the site with one hundred percent union labor. G&M Realty has since reneged on the agreement."
On Tuesday at 5:30 p.m. the New York City Department of Education will hold a meeting of the Panel for Educational Policy Contracts Committee.
Wednesday
Wednesday is the deadline for change of address requests for those planning to vote in the New York state and local primaries on September 13.
At 10 a.m. Wednesday, the New York City Planning Commission will hold its biweekly public meeting.
On Wednesday at 5 p.m. outside the A-train station in Far Rockaway, "State Senator James Sanders Jr. will host a press conference (D-Rochdale Village, Far Rockaway) [to] announce that $12.94 million in state funding has been allocated for transportation improvements to Far Rockaway. This money was set aside in the 2016 budget for a multi-year state transportation plan agreed upon by Senator Sanders along with his colleagues in the legislature and Governor Cuomo."
At 6 p.m. Wednesday, the New York City Department of Education will hold a meeting of the Panel for Educational Policy at Prospect Heights High School.
Thursday
From 11 a.m. to 2 p.m. Thursday, State Senator James Sanders Jr. is hosting a "Foreclosure Forum" at Calvary Baptist Church in Jamaica, Queens, to educate homeowners about issues related to foreclosures.
Nothing on our radar for Friday as of Monday evening.
Saturday
"Brooklyn District Attorney Ken Thompson today announced that his office, together with the New York City Police Department, is hosting a Gun Buyback event this coming Saturday to help people dispose of unwanted guns that they possess in exchange for cash. No questions will be asked and no ID required from those who turn in their guns." Clarendon Road Church in Flatbush, 10 a.m. to 4 p.m.
***
Have events or topics for us to include in an upcoming Week Ahead in New York Politics? E-mail Gotham Gazette executive editor Ben Max any time: This email address is being protected from spambots. You need JavaScript enabled to view it. (please use "For Week Ahead" as email subject).
***
by Libby Wetzler and Ben Max
@GothamGazette
Cuomo, left, and DiNapoli, middle, in 2012 (photo: The Governor's Office)
Gov. Andrew Cuomo’s recent assertion that Comptroller Tom DiNapoli should “educate himself” and that the comptroller’s audits on state economic development projects are “dead wrong” and “opinion” drew a lot of attention. Many Albany observers took it as a sign of Cuomo’s growing sensitivity to criticism about his signature projects.
Those projects, like the Buffalo Billion, are the subject of a federal investigation headed by U.S. Attorney Preet Bharara. The state Legislature remained fairly removed from oversight of the projects until very recently. However, several government watchdogs say that Cuomo’s attacks on DiNapoli are part of a long-running pattern of Cuomo trying to weaken the comptroller’s oversight of the executive branch.
“The governor hates oversight and the governor actively works to undermine and weaken anyone who is keeping an eye on him,” said John Kaehny of Reinvent Albany, a group that has closely followed the Buffalo Billion economic development project. Kaehny noted that Cuomo and the Legislature approved a measure in 2011 that prevented DiNapoli from reviewing contracts at SUNY and CUNY ahead of time. “The governor has been undermining the comptroller from his first budget,” said Kaehny of Cuomo, who took office in January 2011.
A recent DiNapoli audit of the Empire State Development Corporation’s Excelsior Jobs Program, which gives businesses refundable tax credits for creating jobs in certain areas of the state, found that there wasn’t proper oversight to make sure companies were providing the jobs they pledged to create and that they weren’t simply relocating jobs from elsewhere in the state. Further, the audit found ESDC didn’t obtain the proper paperwork to justify handing out tax breaks to some organizations. Cuomo told reporters that DiNapoli’s audits on his economic development programs are invalid partly because DiNapoli is a former member of the state Assembly.
“The comptroller is not just the comptroller. The comptroller was an Assemblyman for many, many years. And that New York State Assembly, first of all, passed numerous economic development plans for many, many years,” Cuomo explained. “For an Assemblyman to now critique economic development programs in upstate New York - what did you do? What bills did you vote on? And how did you allow this situation to develop?”
When asked by a reporter from The Observer why he then put DiNapoli in charge of auditing New York’s homeless shelters, Cuomo responded: “You get in some audits the person’s opinion, right? ‘I think this about economic development.’ Some audits are pure quantifications: count how many people are in a homeless shelter. Go ‘one, two, three.’”
The combination of comments appeared aimed at undermining DiNapoli’s work and authority, and fit the Cuomo mold of punching back at critics, whether they are advocates, local elected officials, or the elected chief fiscal officer of the state, DiNapoli.
Empire State Development issued a detailed rebuttal to DiNapoli’s Excelsior audit that challenged some of its more damning assertions. ESD claimed DiNapoli’s staff failed to grasp how the program actually works and the mandate of certain statutes. DiNapoli’s office responded that ESD staff had not been cooperative.
Jason Conwall, spokesperson for ESD, issued a statement to media outlets after the report was released, stating: "Any truly objective review would show this program is cost-effective, performance-based, and incentivizes business growth by only providing tax credits to those that have achieved their job commitments and investments. The reporting requirements to this agency, as well as to the Department of Labor, are rigorous and companies have to demonstrate to ESD that they met their job commitments before any credits are issued."
The comptroller also recently released audits of Cuomo’s Charge NY program and of Medicaid. DiNapoli’s Medicaid audit found dead people were still receiving benefits.
Cuomo’s dismissal of the comptroller’s audits seems to discount the fact that the comptroller oversees an army of professional auditors that base their reports on figures and facts.
E.J.McMahon of The Empire Center, a conservative think tank, said that it is generally expected that there will be tension between a Comptroller and Governor and that it is unsurprising that Cuomo, who has a reputation for “ad hominem denunciation” over “the substantive argument,” is feuding with someone charged with monitoring him. Yet accounting for those points, McMahon said there is still something surprising about Cuomo’s animosity toward DiNapoli.
“Cuomo has exhibited a peculiar mix of antipathy and disrespect for Tom DiNapoli. It's hard to explain. After all, DiNapoli generally has been cautious and measured in his criticisms of administration policies, which reflects an institutional tradition in the comptroller’s office. He’s not exactly a confrontational kind of guy. If anything, DiNapoli seems to go out of his way to avoid taking potshots or unduly juicing up the wording of criticisms he does make..”
Representatives from Cuomo’s office repeatedly pointed to press releases of critical audits by DiNapoli’s office as salacious, saying they do not jibe with what is contained in the reports. During legislative hearings on economic development programs held earlier this month, administration officials quizzed on DiNapoli’s audit failed to provide detailed rebuttals, only indicating they did not agree with the audits.
Cuomo spokesperson Dani Lever said in a statement, “When someone makes false or misleading attacks, our administration aggressively defends and corrects the record and we make no apologies for doing so.” She did not offer comment to the assertion that Cuomo has worked to undermine the comptroller’s office. She also did not respond to a request to elaborate on what might have been “false” in DiNapoli’s audits.
In a statement, DiNapoli reiterated his role: "As state Comptroller, my office provides checks & balances and oversight to ensure that the state is working efficiently for our taxpayers. Government should always be working to improve itself. We have a job to do, and we will continue to do it.”
Cuomo and DiNapoli are both Democrats.
In October, as news about Bharara’s investigation broke, DiNapoli faced questions about why his office wasn’t more involved in providing oversight into how two SUNY nonprofits were awarding million-dollar contracts. He told Susan Arbetter of The Capitol Pressroom that Cuomo and the Legislature had taken away his ability to review contracts before they were issued by SUNY and CUNY.
Kaehny of Reinvent Albany said that it is important to note that these powers were stripped from DiNapoli as the Buffalo Billion program began to take off. “The governor has worked methodically to undermine and resist the comptroller’s oversight. His first budget stripped the comptroller’s oversight over SUNY Research Foundation, which has been essential in the unfolding scandals in what appears to be pay-to-play for millions of dollars of contracts,” said Kaehny.
Just as McMahon said, many watchdogs see Cuomo’s reaction to DiNapoli’s audits as concerning because they don’t believe DiNapoli has been as critical as he could be and has not hit some of the more sensitive areas of Cuomo's economic development programs.
At the same time they see DiNapoli as standing mostly alone as a check on Cuomo’s economic development spending given the Legislature has been relatively absent. “There is no question Tom DiNapoli has been standing alone on this,” said Ron Deutsch of the Fiscal Policy Institute, a liberal think tank. “The comptroller should be praised for doing his constitutionally-mandated job and the governor shouldn't begrudge him for doing it. The governor needs to learn to take the criticism along with the praise.”
Kenneth Giardin of The Empire Center agreed, “The comptroller has been picking up the slack that has been all but abandoned by the Legislature. The responsibility for oversight has fallen exclusively to the comptroller.”
In New York City, Comptroller Scott Stringer has released a series of troublesome audits of city government, which have painted different levels of waste, dysfunction, and ineffectiveness by the administrations of Mayor Bill de Blasio and his predecessor, Michael Bloomberg. While de Blasio has contested different points and looked to downplay the findings, he and his administration have not dismissed the office as one that simply delivers ‘opinion.’ Nor has de Blasio called Stringer’s work politically motivated, even though Stringer is thought to be a potential 2017 challenger to de Blasio.
Asked about the conflict between Cuomo and DiNapoli on Thursday, de Blasio said that he wasn’t familiar with all the specifics, but that the comptroller was asking “valid” questions about the efficacy of economic development programs and that he’s known DiNapoli to be a “a very serious public servant.” “And obviously the state Comptroller should be respected,” de Blasio added.
“The city comptroller does much, much broader audits,” said Kaehny. “When the state comptroller does an audit that looks at how the executive branch spends money they don’t pull back and ask questions about the bigger picture of nonprofits cutting million-dollar checks to campaign donors.”
Former Gov. George Pataki had a relatively cordial relationship with Comptroller Carl McCall despite the fact that McCall was a political rival. Former Gov. Mario Cuomo’s dislike for Republican Comptroller Edward Regan was not much of a secret - Regan was considered a possible serious challenger, though he never ran for Governor.
The New York Post recently reported rumors that DiNapoli could challenge Cuomo in a 2018 primary and capitalize on Cuomo’s weakness with liberal voters. DiNapoli dismissed the notion in an interview with Politico New York and said he plans to run for re-election as Comptroller.
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
Note: this article has been updated to include ESD rebuttal to the Comptroller's Excelsior audit.
photo: Sofie Hecht for Gotham Gazette
As Governor Andrew Cuomo weighs whether to sign it, a high-stakes fight continues over legislation to regulate Airbnb, the popular home-sharing service. Before and since the state Legislature passed the bill this Spring, the related lobbying battle has touched on various socioeconomic factors including tech entrepreneurship, the sharing economy, affordable housing, organized labor, and more.
Airbnb is now entering into the fray a new study, previewed by Gotham Gazette and to be released Friday, called “How Airbnb Can Support Low-Income Communities in NYC,” which indicates that New Yorkers in low-income neighborhoods are able to supplement their earnings in important ways as Airbnb hosts.
The report finds that Airbnb listings from low-income neighborhoods in the South Bronx, Harlem, and North-Central Brooklyn are growing at a faster rate than in the city as a whole, and that Airbnb income in these areas equates to nearly half the amount of aggregate public assistance cash directed to residents (not including non-cash support like food stamps). Company data shows “significant demand for accommodation in these neighborhoods and that home sharing is already a critical lifeline” for many residents.
The report comes as some city and state elected officials, aligned with affordable housing advocates and the major hotel workers union, organize in efforts to convince Gov. Cuomo to sign the bill that would greatly limit advertising of Airbnb rentals in New York City and argue that Airbnb rentals harm low-income New Yorkers by contributing to housing scarcity.
The legislation passed by the Legislature in June (A8704-C/S6340-A) would make it illegal to advertise entire home or entire apartmentment rentals for fewer than 30 days—a type of rental that comprises the majority of Airbnb listings in the city.
Airbnb representatives and supporters, including some elected officials, have called the bill an overreach, crippling to an essential element of the modern “sharing economy,” and the product of undue influence by special interests, like the hotel workers union.
Such short-term renting arrangements have been illegal under New York City’s multiple dwelling law since 2010, but advertising them remains legal. If the proposed bill is signed by Cuomo, posting an entire home renting arrangement for under 30 days on Airbnb could warrant a $1,000 fine for first-time offenders and up to $7,500 by the third violation. The governor has said he’s reviewing the legislation, but he has not taken a definitive position, so lobbying from both sides continues.
Anti-Airbnb efforts are being led by the “Share Better” coalition - the group has received funding from the New York Hotel and Trades Council, which represents hospitality workers who stand to gain from a more favorable climate for hotels. Efforts are being run by executives from Metropolitan Public Strategies who have connections to HTC.
One key issue for the anti-Airbnb effort and the bill before the governor is how much public pressure to put on Cuomo to sign the bill.
Those in favor of the bill argue that commercial operators abuse Airbnb to make millions from illegal short-term listings, citing a 2014 report by State Attorney General Eric Schneiderman that identified 72 percent of Airbnb listings in the city as being in violation of the city’s multiple dwelling law. In essence, the argument is that New Yorkers have been running illegal hotels.
While the AG’s report uses data from 2010 through 2014, which Airbnb calls significantly outdated, proponents of greater regulation say the illegal listings have grown since and have a negative impact on the city housing market, including much-needed affordable housing.
In an email to Gotham Gazette, Airbnb spokesperson Peter Schottenfels responded to those calling for the governor to sign the bill by pointing out that 96 percent of Airbnb hosts in New York only rent out one home, and that 78 percent earn “low, moderate, or middle incomes.”
“By failing to truly distinguish between commercial operators running illegal hotels and average New Yorkers who occasionally share their own homes, the 2010 law has failed to root out truly problematic actors,” Schottenfels wrote. “In fact, an estimated 9,000 New Yorkers avoided foreclosure or eviction last year because of the money [they] earned sharing their home.”
In July, 15 members of the New York City Council’s Progressive Caucus sent a letter to Cuomo, calling for “stopping the proliferation of illegal hotels that currently puts affordable housing at risk.” A spokesperson for the Caucus told Gotham Gazette that “a similar cohort” of Caucus members are involved in additional organizing efforts, which are said to include a broader group of officials.
Council Member Helen Rosenthal, a Manhattan Democrat who is part of the Progressive Caucus and has been a leading voice calling for further regulation of Airbnb, told Gotham Gazette that she wants Cuomo to sign the bill primarily to stop Airbnb from skirting the existing regulations.
“Airbnb knows that hosts break the law on their website, and yet Airbnb won’t take them off the website, and they could take them off very easily,” Rosenthal said. “They could ask, you know, ‘Are you renting your whole home or a room in your apartment?’ If the answer’s a room in your apartment, then, fine. If it’s your whole home, that’s not fine, that’s illegal.”
Rosenthal added that she and other legislators have worked with housing advocates and Share Better, who all say entire-home renting is contributing to a citywide housing shortage, citing 8,000 units that would otherwise be on the rental market.
Share Better and Metropolitan Public Strategies, a consulting and communications firm, have coordinated to publicize hotel and housing special-interest groups’ opposition to Airbnb, with the firm's Executive VP Austin Shafran acting as a spokesperson for Share Better. In the past, Metropolitan Public Strategies' CEO Neal Kwatra has served as a director for the Hotel Trades Council and as Chief of Staff to Attorney General Schneiderman before founding the firm in 2014.
In recent months both organizations have written talking points for City Council members. Rosenthal has drawn on Share Better points and worked with the coalition on an op-ed against Airbnb. "Share Better and I work together because we align on protecting affordable housing. I appreciate depth of data analysis and research they bring to the table," Rosenthal told Gotham Gazette.
Share Better also organized a campaign at the Democratic National Convention, trying to influence the public debate around regulating Airbnb, which, like other aspects the "new" economy and disruptive "innovations" like charter schools, has divided Democrats.
Airbnb warns further regulation will do more to harm homeowners than protect them, according to Schottenfels, who added that the company has already removed over 2,200 listings that it believes could affect the permanent housing market.
“They rushed to enact legislation that would fine middle class people thousands of dollars for sharing their homes occasionally,” Schottenfels of Airbnb wrote. “The new law threatens everyday New Yorkers with draconian fines, even for renting out their own home. Meanwhile, it does nothing to target commercial actors by distinguishing their activity from that of responsible home sharers.”
Now, the new report from Airbnb seems to echo a key argument that was made by Uber in its fight to fend off New York City regulations of its car-hailing service: that low-income New Yorkers, especially people of color, are benefiting from its existence. The report focuses on certain low-income communities in Harlem, Brooklyn, and the Bronx referred to as “revitalization areas”—which generate about 10 percent of total Airbnb income in the city—and highlights that revitalization area residents can increase their household income by renting out their home for three nights per month, on average.
For his part, Gov. Cuomo has not yet indicated whether he intends to sign the bill. When reached for comment, a spokesperson for the governor told Gotham Gazette that the bill “remains under review by Counsel's office."
The bill has not yet been sent to Cuomo’s desk. The Governor has until January to sign all bills passed in this year’s legislative session, but once he requests a bill from the Legislature, he has 30 days to sign it, veto it, or let it die by pocket veto.
***
by Aaron Holmes, Gotham Gazette
@GothamGazette
with reporting by Ben Max
Note: this article has been updated with additional comment from Council Member Rosenthal and clarification on her collaboration with Share Better.
photo: @NewYorkGOP
New York State Senate Democrats have picked up seats in every presidential year in the past two decades. They’ve been chomping at the bit for Hillary Clinton, a former New York Senator, to head the presidential ticket, telling anyone who would listen that she would bolster turnout for them and win them swing districts, thereby securing them control of the chamber, perhaps for good.
What the Senate minority didn’t count on was the Republican presidential candidate being toxic to black and Hispanic voters and alienating a significant portion of his own base, giving even greater hope to Democrats for a takeover of the only lasting Republican stronghold in New York State government.
According to recent polls, that is exactly the situation Senate Democrats are in, and their optimism is running high. With less than three months until Election Day a Siena University poll released Monday found that in a two-way race, New York voters prefer Clinton to Donald Trump 57-27 percent.
Worse for Senate Republicans who hope to hold off Democrats in key races on Long Island and in the Hudson Valley is that Trump trails Clinton in both the suburbs and upstate by 11 and 8 points, respectively. “The top of the ticket has always had a major impact for us,” Democratic State Senator Mike Gianaris of Queens told Gotham Gazette, referring to the fact that more Democrats vote in presidential years than non-presidential years. “I think the top of the ticket is going to be a real problem for Senate Republicans.”
Scott Reif, spokesperson for Senate Republicans, sent Gotham Gazette the following statement: "Rather than hope and change, the entire campaign strategy of the Senate Democrats this year seems to be hope and hope. They hope that the Republican presidential candidate is a drag on the bottom of the ticket. They hope that Hillary Clinton has long enough coattails to sweep them into office. The Senate Democrats don't stand for anything and they have no vision for where they want to lead this state. We're going to grow our majority because we have delivered for hard working New Yorkers, starting with a $4.2 billion income tax cut that will slash middle-class taxes by 20 percent and a record level of support for education, including complete elimination of the GEA."
Mike Murphy, spokesperson for Senate Democrats, responded: “The GOP are getting desperate. This year will be a historic year for Democrats. The people are sick and tired of the Republican Conference that has blocked women's health choices, stood up for special interests and elected corrupt leader after corrupt leader.”
There are currently 32 Democrats and 31 Republicans in the chamber but Republicans maintain control with the help of Brooklyn Democrat Simcha Felder, who caucuses with Republicans, and the five-member Independent Democratic Conference, which has a governing coalition agreement with Republicans. The IDC appears to be in the process of strengthening its position and attempting to expand its membership in anticipation of Democratic victories. Meanwhile, leading Senate Democrats met with Gov. Andrew Cuomo earlier this month to discuss efforts to win the chamber, as first reported by Politico New York.
Cuomo has historically allied himself with Senate Republicans, at times promising support to Senate Democrats that never appeared. Some insiders insist the meeting shows that Cuomo sees the writing on the wall and that he will look to keep his influence in the chamber by utilizing the IDC. Several Senate Democrats said that Cuomo has shown more interest in supporting Democrats this year than he has since he was elected in 2010. Still, Senate Democrats say as much as they would like his support, they aren’t counting on it.
According to Democrats, political experts, and polls, Trump is driving away parts of the Republican base. The GOP nominee’s rhetoric appears to be energizing pockets of new voters who want to see him defeated. Eighty-five percent of black voters surveyed said they would vote for Clinton if the contest was “held today,” with only 8 percent saying they would vote for Trump. Seventy-six percent of Latinos surveyed said they would vote for Clinton if the race was “held today,” while 10 percent said they would vote for Trump.
African-Americans and Hispanics are two voting blocs that will have major impact in races on Long Island. Senate Democrats have policies that appeal to many voters of color, including criminal justice reform measures and the DREAM Act, which provides financial aid to children of undocumented immigrants. Senate Republicans have blocked these reforms in Albany.
Republicans charge that Democrats have been bad for the economy, namely for small businesses and job creation, and point to an MTA tax put in place while the Democrats controlled the Senate from 2009 to 2010.
Senate Democrats have recent precedent on their side as their candidate, now Senator Todd Kaminsky, won the highly contested special election for the 9th Senate District in April to replace former Senate Majority Leader Dean Skelos. Skelos was forced from office after being convicted on multiple federal corruption charges.
“We had a test run where people thought Trump would be a draw and what we found is more Democrats turned out,” said Sen. Gianaris, who runs the Senate Democrats’ campaign efforts and noted the special election took place when Trump was riding high on primary victories and had yet to begin to self destruct.
Doug Muzzio, professor of political science at Baruch College, noted that Trump’s impact on down ballot races is hard to gauge at this point given his nontraditional candidacy. “The question is, ‘Can he motivate people to go to the polls who haven't voted before, who have not been polled?’ And then you have to factor in that the more people know about Trump, the less likely they are to vote for him”
However, Muzzio said that it is impossible for Republicans to ignore the results of the special election. “Kaminsky was still a test case and the results mean they are in trouble,” Muzzio told Gotham Gazette.
Evan Thies, founder of Brooklyn Strategies, a political consultancy used by Kaminsky, said that the trend he is fascinated by in current polls is the declining support of registered Republicans for their own party. “The biggest problem Trump created is not for himself but for the Republican Party. The favorability for the party itself has plummeted,” Thies told Gotham Gazette.
Thies said that since Trump won the nomination polls have shown more Republicans dissatisfied and disconnected from their party while Democrats’ favor for their own party has grown.
“If the election was held tomorrow, Trump could depress Republican turnout,” said Thies. “You could begin to see a concerted effort for down ballot Republicans to disassociate themselves with Trump and create a local brand.”
The Siena poll shows that in a head-to-head matchup 81 percent of Democrats surveyed said they would vote for Clinton, while only 55 percent of Republicans say they will vote for Trump. Meanwhile only 24 percent of voters surveyed saw Trump favorably with 72 percent saying they saw him unfavorably. Meanwhile, 52 percent of Republicans surveyed favored Trump with 46 percent saying they saw him unfavorably.
Republican Senate Majority Leader John Flanagan gave a full-throated endorsement of Trump at the Republican National Convention in July. According to State of Politics he told the New York delegation: "I’m going to make this unequivocally clear: I’m supporting Donald Trump for President. I’m going to do so with grace, with diplomacy, with passion and with fervor, and I’m going to do it with New York style.”
KEY RACES
Like Flanagan and Kaminsky, Senator Jack Martins represents part of Long Island. Martins decided, however, to forgo attempting reelection to run for an open Congressional seat. He has not endorsed Trump, something many Democrats see as a significant indication of Republicans’ fear of Trump’s impact on important Long Island races. The race to replace Martins in the 7th Senate District is one of the top races in the battle for Senate control.
Martins discussed his decision on Effective Radio with Bill Samuels on Sunday, saying, “Thankfully, I’ve always run as an individual. I’ve had the opportunity through elective office to take stances on different things and people know who I am, so I’ve been able to use that and show through experience that I listen, I work across the aisle, I get things done,” Martins said.
Seeking to replace Martins are Democrat Adam Haber, a businessman, and Republican Elaine Phillips, who is the mayor of Flower Hill. Haber, who unsuccessfully challenged Martins in 2014, is leading in fundraising. Democrats have a 20,000 voter enrollment advantage in the district and held the seat from 2007 to 2010. As in other swing districts, turnout will be key, and that is where Clinton and Trump may factor in decisively.
Sen. Kaminsky will again face Republican opponent Chris McGrath. Running as an Assembly member, Kaminsky won the special election by about 1,000 votes. Democrats think Kaminsky will perform even better as the incumbent and with Republican turnout suppressed by Trump’s performance. Republicans hope independents, who couldn’t vote in the Republican presidential primary, may now vote for McGrath when they come out to vote in November. But the recent Siena poll shows independent New York voters favor Clinton by about 10 percentage points, though it is not clear how Long Island independents feel.
Longtime Republican incumbent Senator Kemp Hannon of Garden City, the 6th Senate District, is battle tested, having dispatched a number of strong Democratic challenges. But this year he again faces Democrat Ryan Cronin, who he narrowly defeated in 2012. Hannon’s district has seen steady growth in Democratic registration and he could be in danger if Trump depresses Republican turnout.
Republican Senator Bill Larkin of the Hudson Valley’s 39th Senate District also faces a rematch against his 2012 challenger, Chris Eachus, who he defeated by five points. Many observers wondered whether the 88-year-old Larkin would run for reelection as he has kept an extremely low profile in the district. Democratic registration has also grown in this district with registered Democrats now outnumbering Republicans 62,824 to 50,130 amongst active voters.
Thies said that one key trend to watch in Long Island races is whether Trump’s position moves the needle on black and Latino turnout. “African-American and Latino voter numbers should give Democrats a big advantage in key races on Long Island,” said Thies, “but in previous years turnout didn't match registration. Trump has now poked a very big bear. If we see even a marginal uptick amongst African-American and Latino voters Republicans could face a major challenge.”
Democrats are hoping to unseat Republican Senator George Amedore, of the 46th Senate District, who soundly defeated Democratic incumbent Cecilia Tkaczyk in 2014. But in this case, as in many others, Democrats are hopeful that their candidate’s performance in past presidential election years is a sign of things to come. Amedore’s district was tailor-made for him in the 2010 redistricting process, but Tkaczyk narrowly won it in 2012, when President Obama was re-elected. The district continues to grow more Democratic and the challenger, Sara Niccoli, has out fundraised him. Democrats outnumber active Republican voters in the district 61,976 to 51,850.
Some Democratic operatives expect that Trump’s cratering poll numbers and controversial positions could put dark horse races in play - races that Senate Democrats haven’t invested in as of yet.
One of those races is for Senator Kathy Marchione’s 43rd district seat, where Republicans lead Democrats 62,268 to 53,650 in voter registration. The district is home to about 15,000 registered voters unaffiliated with a party, known as independents. It may now be in play thanks to Marchione’s botched reaction to water poisoning in the small town of Hoosick Falls.
Marchione, a Republican, flip-flopped on whether it was necessary to hold legislative oversight hearings on the state response to the Hoosick Falls crisis, and at one point introduced an amendment to her own bill designed to help residents sue companies for water poisoning that would have basically killed any chance of it passing both houses. Marchione then reversed herself after major backlash from residents and environmentalists. The Senate is now scheduled to hold hearings into Hoosick Falls at the end of August.
Marchione’s Democratic opponent, Shaun Francis, said he isn’t concerned about how his race plays into the larger political picture, whether it be Senate control or the presidential race. “Having poisoned water isn’t a Democratic or Republican issue,” Francis said in an interview with Gotham Gazette. “The incumbent’s actions in session really opened a lot of eyes in the district of people who were concerned for their health. Regardless of whether they were Republican or Democrat people in the district saw that she is incapable of doing her job.” Marchione’s office did not respond to a request for comment.
Republican Senator Hugh Farley, 83 years old, has represented the 49th district that is comprised of Schenectady, Fulton, Herkimer and Saratoga Counties since 1977 and will not seek reelection. Pundits see his hand-picked successor, Assemblymember Jim Tedisco, as a sinch for the seat, but Tedisco lost a 2009 Congressional bid to Democrat Scott Murphy despite running in a district with Republican registration advantage and having significantly better name recognition. Republicans currently hold a 67,924 to 53,012 active voter registration advantage in the district. Democratic challenger Chad Putman holds little name recognition in the district but depressed Republican turnout could make the race closer than expected.
Muzzio said he expects to see some Senate Republicans “disavow Trump” in the coming weeks if his current trajectory continues, but in Upstate districts Muzzio said he isn’t sure Trump will actually be a hinderance. “I expect in some Upstate districts we will see turnout for Trump higher than for Democrats,” said Muzzio. He also warned that the presidential race has already been so volatile that he wouldn’t be surprised to see the dynamics shifted by an outside force, like more damaging documents leaked about Clinton, or revelations from investigations into her use of the Clinton Foundation or of her home-made email system.
Thies said that despite the good news Democrats see in Trump’s recent poll numbers they are aware that there is more at play and more to do in the battle for Senate control. “Their position is looking good, but they still have to get their message out to voters,” he said of Democrats. “You will not see anyone taking their foot off the gas pedal because the stakes are too high and you could very well see down ballot Republicans utilizing an effective vote-local message.”
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
Gov. Cuomo during his 2016 State of the State (via The Governor's Office)
After nearly two months, Governor Andrew Cuomo requested on Friday that the Legislature send him an ethics reform package he personally designed and pushed the Legislature to pass in June with the assistance of a message of necessity he issued to speed the process. The governor now has 10 days to sign it, which he is expected to do.
Announced by Cuomo late in the legislative session, the actual bill was then a mystery for days before being introduced in the wee hours of the morning on the final day of the session. Thanks to the governor’s message, the bill was not required to age the otherwise-mandatory three days and legislators passed it within hours despite mostly not being familiar with it.
The legislation deals with putting more scrutiny and regulations on independent expenditure campaigns and non-profit advocacy groups, known at times as 501(c)(4)s (for their tax classification) and Super PACs, which can support or oppose candidates for office, but not coordinate with them. The legislation requires greater disclosure of donors and donations, and gives stricter guidelines of who can work for the groups and what constitutes coordination between a group and a candidate.
“For the first time, independent expenditure groups and PACs will be required to adhere to unprecedented disclosure requirements, and New York will have the nation’s strongest rules defining and governing coordination and independence,” Cuomo said in a statement announcing an agreement on the legislation in June.
Cuomo has already received hundreds of bills from the Legislature since session ended in June and it has not been clear why he took weeks to request one of his own signature bills. Just before Cuomo asked the Legislature for the bill, spokesperson Dani Lever told Gotham Gazette, “We plan to call the bill down and sign it in the coming weeks.”
The matter of prioritization for the bill-signing also underscores questions about the bill being necessary in the first place, but also issue that many took with Cuomo’s abandonment of other, more pressing government ethics and campaign finance reform proposals, many of which he had previously claimed to champion.
Many legislators and advocates disagreed with Cuomo’s assessment that the new bill required emergency action, saying that super PACs were not an issue in the major corruption convictions of former Assembly Speaker Sheldon Silver, former Senate Majority Leader Dean Skelos, and other recently disgraced legislators. It was a distraction, critics say, from the real issues facing Albany like closing the LLC loophole, eliminating current and potential conflicts of interest, and more. Some say the bill seeks to stifle contributions to issue advocacy groups that campaign for changes to environmental, education, criminal justice, government ethics, and other policies.
Discussing the legislation, Robert Perry, legislative director of the New York Civil Liberties Union (NYCLU) said, "This is a complex regulatory scheme that requires nonprofits to report not only the donations they make but that they receive, as well as their communications on issues that are important to the public. This should be of grave concern to the public as it reaches out to groups that do not engage in lobbying or campaigns but work on issues that impact us all. The lobbying law is not a place to insert reporting requirements and restrictions. They are running headlong into constitutionally protected activities."
Cuomo put the bill on the table late in the legislative session after it had become clear that the majority of the ethics reforms he proposed in his State of the State address would not pass in the Legislature, especially the Republican-controlled Senate. Many have questioned Cuomo’s commitment to his reform agenda, which he held no events to promote. When announcing the new bill June 8, Cuomo gave a booming speech about money in politics at Fordham Law School, decrying the Supreme Court’s Citizens United decision and calling his proposal a national model.
Before Cuomo even called the legislation to his desk, the Joint Commission on Public Ethics (JCOPE) passed a series of emergency regulations prompted by the bill that will go into effect 30 days after the governor does sign it. Observers see JCOPE moving at an unprecedented pace.
JCOPE regulations would change the donor disclosure limits that currently require groups spending more than $50,000 in a year on an issue or on behalf of a candidate for office disclose their donors of more than $5,000. Under the new law, groups that spend more than $15,000 would have to disclose donors of more than $2,500.
Even more irksome to many lobbyists and nonprofits is the fact that the regulations are set to be retroactive for five months before the bill was actually introduced, going back to the beginning of the year.
“I am mystified at how an agency can push through regulations that are retroactive for a bill that hasn't even become law,” said Blair Horner of The New York Public Interest Research Group. “I’m not sure why it matters so much right now as [Albany] lobbyists won’t be at work until January and the Legislature is not in session right now.”
Seth Agata, executive director of JCOPE, responded to concerns raised by Horner and others in a statement:
“The timetable in the emergency regulations the Joint Commission on Public Ethics has begun promulgating was set by the Governor and Legislature in the bill that was passed near-unanimously. The regulations only become effective 30 days after the Governor signs the legislation which is when the law becomes effective – there is no retroactive application. By acting now, JCOPE has released these emergency regulations for extended public comment before they become effective, and indeed, before they even become permanent. The Legislature and Governor have clearly spoken and enacted a law that expands the disclosure of sources of funding, and imposes those new disclosure requirements as soon as the law becomes effective, regardless of when contributions were made. JCOPE must effectuate that mandate. ”
Issues of speed and timing are at play for other portions of the bill. As Politico NY reported on Thursday, 11 sections of the bill go into effect 30 days after it is signed. One of those includes language detailing what kind of interaction is forbidden between a candidate campaign and a Super PAC. Since the bill was not signed by Sunday, the rules will not be in effect for the September primaries, when all 213 seats in the Legislature are on the ballot. Some Super PACS have been spending in city races already.
Senate Majority Leader John Flanagan embraced Cuomo’s push, introducing the bill himself in the Senate. Both Flanagan and Assembly Speaker Carl Heastie, a Democrat, appeared behind Cuomo’s use of a message of necessity to rush the bill through. Such messages are supposed to only be used in the case of emergency as the three-day aging period is designed to give the public and legislators a chance to review a measure before it comes to a vote.
***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing @GothamGazette
Note: this article has been updated to reflect the fact that Gov. Cuomo called the bill from the Legislature.