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Everyone's Talking About Paid Family Leave, Only Compromise Will Yield a Deal


cuomo biden paid family leave

Cuomo's paid family leave rally (photo via The Governor's Office)


Last week, the New York State Assembly passed a one-house bill creating a program that would allow workers to take time off to care for a new child or sick loved one while receiving a portion of their usual pay. It is the fifth year in a row the Assembly has done so. "It's appropriate we're here on Groundhog Day, since we've been coming back year after year for paid family leave," said Donna Dolan, head of the New York State Paid Family Leave Coalition, at a press conference announcing the vote.

Just a few days earlier Gov. Andrew Cuomo rallied with Vice President Joe Biden in Manhattan to push his newly-unveiled paid family leave bill. Both detailed their experiences of being torn between work and being at the side of a dying loved one.

"My friends, paid family leave has been an important issue for a long time, but it is an issue whose time has come because things happen," Cuomo told the crowd. "When the planets line up and the political will and the body politic develops, and the body politic says enough is enough – now is the time to pass paid family leave."

It was only last session that Cuomo insisted the legislature had no "appetite" for paid family leave. But now with major attention from media, elected officials, and advocates across the nation focused on whether New York will become the fourth state to pass a paid family leave bill, Cuomo is whipping up support for his plan. As are Assembly Democrats, whose plan is different, while all look to get the blessing of Senate Republicans, who control that chamber.

While Cuomo seeks to thread some middle ground with his plan, Assembly Democrats insist theirs, which includes higher benefits, is the way to go, and Senate Republicans indicate there may be room for compromise while saying they're wary of any additional burdens on businesses.

The Cuomo administration is proposing a plan that would pay benefits through contributions from employee paychecks and reimburse workers starting at the rate of 35 percent of earnings. The Assembly plan would expand the scope of the state Temporary Disability Insurance program to cover paid family leave and would also take contributions from employee paychecks, but would reimburse at a rate of two-thirds of a worker's pay for individuals on leave.

One central point of conflict is whether to connect the paid family leave program to the TDI--a move Senate Republicans appear to be sensitive to because of concerns that increasing the benefit for workers who take off time for their own disabilities would be a cost born by employers as well as workers. TDI is paid for by employers.

The state has kept the TDI reimbursement rate steady at $170 a week for decades. Legislators expect that increasing the rate will take immense political capital as it will almost certainly require contributions from employers.

However, there are also signs there may be room for compromise as the Cuomo administration has said it will introduce amendments to its leave proposal. Advocates expect the administration to increase the amount employees are reimbursed to bring it into line with the Assembly proposal.

"I think it is a very positive thing that everyone is talking about paid family leave," said Sen. Jeff Klein, head of the Independent Democratic Conference, who joined Cuomo and Biden for their rally last month, delivering opening remarks. "Serious discussions haven't started yet, but I'm hopeful."

Soon after speaking with Gotham Gazette, Klein introduced a new version of his paid family leave bill to the state Senate. Klein and the IDC jolted discussion of family leave last year when they successfully advocated for Senate Republicans, whom they have a coalition with and control the chamber, to include a paid family leave plan in their budget.

Before introducing his new compromise bill, Klein told Gotham Gazette that he believes negotiations should focus on Cuomo's proposal rather than the Assembly's because it is "more palatable" to Senate Republicans.

The dynamics around paid family leave have changed since last legislative session. Cuomo appears to have stepped into the role Klein's IDC was playing as they backed paid family leave supported in part by state funds and by deductions from employee paychecks. The Assembly Democrats' plan would use deductions from employee paychecks to expand the TDI, which currently provides partial pay for workers who are disabled and have to take off work.

Last year Cuomo rejected the Senate's family leave proposal put forward by the Independent Democratic Conference. "We need a paid family leave policy that is sustainable and would provide real protections to employees. What we should not accept is the Senate proposal, which is a half-loaf that does not provide sustainable funding or a workable framework for employees and employers," Cuomo spokesperson Melissa DeRosa said in a statement in March in response to the IDC's plan.

Klein's new plan would provide 12 weeks of paid leave starting at two-thirds of a worker's average weekly pay, or 35 percent of the state's average weekly wage by 2017. It would eventually offer 80 percent of a worker's salary, or 50 percent of the statewide average weekly by April 1, 2021. It would be paid for through a 27-cent-a-week contribution from employee paychecks and be distributed through a newly created paid leave system. It would not expand the TDI, but Klein has advocated doing so separately, to raise the TDI benefit after so many years of it staying flat.

Cuomo's plan, presented in conjunction with his State of the State and budget address in January, would create a paid family leave system that would offer up to 12 weeks leave paid for by a weekly, 60 cent payroll deduction. Workers would be able to take leave while earning 35 percent of their pay in 2018, rising to 66 percent by 2021. Leave pay would be capped at a weekly average of statewide pay - the 2014 average according to the state Department of Labor was $1,266.44.

The Assembly plan would expand TDI and provide workers with 12 weeks of paid leave at two thirds of their average weekly wage. It would be paid for with a weekly deduction from an employee's paycheck that would start at 45 cents. The plan would become effective July of 2017.

Advocates have leaned towards the Assembly plan as it provides workers with what they consider the minimum amount of pay to make taking leave feasible, as well as expanding the TDI, and requiring a smaller worker contribution.

Blue Carreker, head of Citizen Action of NY's paid family leave campaign said that her organization thinks any paid leave bill has to cover all workers and all businesses, provide 12 weeks leave, and increase the rates paid by TDI to bring it into parity with what will be paid by the family leave program.

Republican Senate Majority Leader John Flanagan has indicated he is open to negotiations. Following a speech he gave at an Association for a Better New York breakfast last month, Flanagan indicated he was moved by Cuomo's State of the State speech in which the governor described regretting not being at his father's side during his final days.

Flanagan tempered that openness with concerns he has about how a paid leave policy might impact small business. "If you're a business with four employees and someone is going to be gone for three or four months, that's a legitimate consideration," said Flanagan. "So a threshold on what's the size of the business, who pays for it, how are kids paid for, those are all absolutely important components and worthy of discussion, and I think those discussions are already taking place. Where it adds up, I don't have a crystal ball on that, but I think there's a lot more discussion about paid family leave now than there was even six months ago."

Republican Assembly Minority Leader Brian Kolb told Gotham Gazette, "A lot of business owners are saying 'Are you kidding me? Another thing that is telling me what to do and costing me time and money.'" He added that "there really aren't that many details except in that bill" from the Assembly Democrats, which "almost certainly won't become law."

A number of business groups stand against paid family leave. "Small employers are currently able to accommodate employees and provide flexibility in terms of scheduling," said Michael Durant, New York State director of The National Federation of Independent Businesses. "Those that can afford to offer paid time off already do and to require those that cannot afford the added expense will be dangerous to the small business sector. This is simply a solution in search of a problem and would be yet another government mandate on small business."

A recent DEMOS policy brief showed that 9 out of 10, or 6.4 million, working people in New York don't have paid family leave.

Increasing the TDI is an extremely sensitive issue for businesses and many legislators believe that including it with paid family leave will continue to be a poison pill. Most legislators are convinced by Cuomo's efforts on paid family leave and they see the inclusion of it in his budget and the way he rolled out the issue in the State of the State as a sign of steadfast commitment. They expect he will be willing to increase how much the leave program pays out and perhaps speed the implementation timeline, but not touch the TDI given his relationship with the business community. Increasing the TDI would be an immense victory for labor interests.

Carreker, who was waiting for a meeting with Cuomo administration representatives about paid leave when she spoke with Gotham Gazette, said she is confident a compromise can be reached and stressed she feels that advocates need to focus on educating legislators and small businesses on the impact paid family leave would actually have.

"It's about getting over that initial hurdle of the fear of change, of something different," said Carreker. "The more people that hear the details, the more they'll see it makes sense. This isn't a burden, it's an insurance program that covers the salaries so businesses can figure out coverage while an employee is away so that they don't have to lose good employees."

Klein agrees: "This is not something that puts a burden on business, but something that lends stability to the workforce. I think we're getting it done this year."

Paid Family Leave Proposals Gov. Cuomo Assembly Democrats Senate Independent Democratic Conference
Funding Method

60 cent weekly deduction from employees' paychecks

State TDI program and 45 cent weekly deduction from employees' paychecks

27 cent weekly deduction from employees’ paychecks

Time Off & Payout

12 weeks of paid leave starting at 35% of worker’s pay starting in 2018, rising to 66% by 2021.

12 weeks of paid leave starting at two-thirds of a worker’s average weekly wage, effective July 2017

12 weeks of paid leave starting at two-thirds of a worker’s average weekly pay, or 35% of the state’s average weekly wage by 2017. Will eventually offer 80% of a worker’s salary, or 50% of the statewide average weekly by April 1, 2021

TDI Expansion?

Does not expand TDI

Plan would expand the scope of the state Temporary Disability Insurance program to cover paid family leave

Does not expand TDI

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by David King, Albany editor, Gotham Gazette
     

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Calls for Public Discussion of New Affordable Housing Incentive Program


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The REBNY gala (photo via REBNY on Facebook)


Earlier this year developers and labor unions failed to reach a deal to renew the controversial 421-a tax abatement program that is designed to entice the development of affordable housing. Gov. Andrew Cuomo and legislators agreed to extend the program early last year while putting the longterm future of the program in the hands of the special interests that benefit from it--an unprecedented move that was met with loud criticism.

With negotiations failed and the program expired, it appears that real estate groups are looking to Cuomo and state legislators to figure out new life for the program. Without it, the future of rental housing, including affordable units, in New York City is in question. Expressing serious concern, Mayor Bill de Blasio has called on Albany leaders to make the situation right.

Asked about how he would like to see the 42-1 issue resolved, Republican Senate Majority Leader John Flanagan said, "I believe that it should be people of good faith sitting in a room working - I'm not kidding - working on a compromise. The housing question in the City of New York is unbelievably important." Flanagan was speaking to reporters after giving a speech to the Association for a Better New York on Jan. 28.

Tenant advocates also want to get key players in a room to hash out a solution, but they want those meetings open to the public and including all stakeholders, not just the ones that make large campaign contributions.

Left out of the last round of discussions, advocates insist that any discussion of renewing the program should be held in full view. They want the housing committees of the legislature to hold hearings to consider alternatives to 421-a. "Everything in Albany is done in secret," said Michael McKee, treasurer of Tenants PAC. "You would expect the housing committees to hold public hearings on this, but that is just not convenient."

"I would like to see more of a public discussion so that maybe REBNY will come and tell us what happened in negotiations," said Thomas Waters of the Community Service Society, referring to the Real Estate Board of New York, the major association of developers and one of the two main parties left to negotiate an extension of 421-a.

"No other interest gets this kind of special treatment," Waters said, referring to real estate. REBNY and individual developers are known to be among the most prolific campaign donors and spenders throughout New York.

Dan MacEntee, spokesperson for state Senator Betty Little, who chairs the Senate committee on housing, said that there had yet to be any discussions on hearings. "The Senator does recognize the impact of the program and would like to see it continue," MacEntee told Gotham Gazette of 421-a. Little, a Republican, represents several upstate towns.

A spokesperson for Assembly Member Keith Wright, a Harlem Democrat who chairs the Assembly housing committee, said that Wright was not available for comment.

Senator Liz Krueger, a Democratic member of the Senate housing committee, believes that there should be a joint hearing of the legislature's housing and finance committees before anything on 421-a is decided, given that the program deals with housing and taxes. Krueger told Gotham Gazette last year that she would like to see 421-a replaced with a more efficient program.

However, many legislators and advocates say that REBNY is pushing Cuomo and legislators to move quickly on a basic renewal, and one that either does away with Cuomo's insistence last year that prevailing wages for labor are included, or sets a lower increase than the building trades council sought during private meetings.

REBNY President John Banks recently wrote in Real Estate Weekly that he is committed to working with stakeholders to "address the need for more rental housing" while pushing back against calls from labor and Cuomo to include a prevailing wage requirement.

"Given the high cost of property taxes, land costs and construction costs, most owners will opt to do something else rather than build multi-family rental housing with a substantial below market component unless there is a tax benefit program like 421a in place," wrote Banks.

"For example, in the absence of a tax benefit program like 421-a, in many areas of the City, owners will build market rate condominiums where sales prices can offset the high cost of new development (e.g., property taxes, construction, land)."

Advocates say the city simply isn't getting the return on its investment through 421-a and that if the creation of affordable housing is what is motivating public officials then finding a more efficient alternative is paramount.

"The first step is to let 421-a die and spend the money on other housing programs," Waters told Gotham Gazette. "Rather than a program that provides the right to a tax break I'd like to see something like the federal low-income tax credit and have developers apply and have the credit go to those who provide the most affordability."

Tenant advocates have long decried the 421-a program as terribly inefficient.

Waters research has shown that 421-a has only produced one affordable apartment for every $833,000 in tax breaks. "Before the state acted to renew 421-a last June, New York City was foregoing $1.1 billion in revenue each year for a program that led to no more than 1,275 apartments per year," Waters recently wrote in NY Slant.

Meanwhile, advocates point out that provisions in the state's rent laws allow landlords to deregulate 20,000 affordable apartments a year, with landlords voluntarily reporting the deregulation of around 6,000 affordable apartments each year.

"As far as I'm concerned the lapse of 421-a can only be a good thing," said McKee of Tenants PAC. "It is an absurdly inefficient way to get affordable housing. Even if you deliberately tried to create an inefficient program it would be hard to end up with something as absurd as 421-a. I could design a better program than 421-a in my sleep."

A number of observers see the failure to renegotiate 421-a as just another example of how the feud between Mayor Bill de Blasio and Gov. Cuomo has impacted public policy. Last year de Blasio announced a deal with developers to renew 421-a - the mayor was anxious to renew the program that is a key piece of his promise to build 80,000 units of affordable housing over ten years.

Cuomo countered, saying de Blasio had a reached a sweetheart deal with developers and blamed the plan for disrupting the legislature's negotiations. In the end, Cuomo and legislators reached a deal that included much of de Blasio's plan. It mandated that 25 to 30 percent of projects be set aside for affordable housing, banned most coops and condos from receiving abatements, and increased the length of the abatement from 25 to 35 years. All of that came with the caveat that real estate and labor had to come to a deal on wages.

Now many doubt de Blasio will have much of a say at all on the program as legislative leaders and the governor negotiate behind closed doors. Gov. Cuomo has spoken to the importance of reestablishing an affordable housing program at the state level. The de Blasio administration has lamented the loss of 421-a while simultaneously downplaying its importance.

"Having every single set of a tools at our disposal is optimal," Deputy Mayor Alicia Glen told Gotham Gazette when asked about the uncertainty around the 421-a program. Glen noted that the city has several programs at its disposal to encourage the construction of affordable housing but each one is important. "Not one of these individual levers not being available will undermine our efforts or significantly impact our plan, but not having something, a tax incentive...like 421a, you know, does hinder our ability to do what's really important...which is to make sure that there is affordable housing in every corner of the city."

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by David King, Albany editor, Gotham Gazette
     

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In Albany, State Senators Ambush De Blasio on Property Tax Reform


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Mayor de Blasio in Albany Tuesday (photo: Ed Reed/Mayoral Photography Office)


Mayor Bill de Blasio surely wasn't expecting a warm reception in Albany Tuesday, but he walked into an ambush. In front of a bipartisan group of state legislators, de Blasio sat for a grueling, nearly five-hour budget testimony. Senate Republicans peppered the mayor with questions about instituting a property tax cap in the city, taking away from any focus on Gov. Andrew Cuomo's budget proposals that would shift state Medicaid and CUNY costs to the city and changing the political dynamics of the budget dance between the city and state.

The hearing was led by Senate finance chair Sen. Catharine Young, a Republican who appeared determined to push de Blasio on the property tax issue as well as his opposition to the city paying more for CUNY and Medicaid. At least one legislator suggested he would give de Blasio his support in a fight against Cuomo's proposed cost shifts in exchange for the mayor's support for a property tax cap. De Blasio indicated in a brief conversation with reporters later in the day that Republican Senate Majority Leader John Flanagan had told him during their private meeting that he was not proposing such an exchange.

De Blasio pushed back against the proposed two percent tax cap saying that while his budgeting so far has kept well within the parameters of the Senate bill - which, not coincidentally, passed in the chamber while de Blasio was testifying nearby - he is "philosophically" opposed to such a cap.

"One thing I'm adamant about is presenting budgets that do not include a property tax increase," said de Blasio, whose aides were quick to present members of media with data indicating that city homeowners pay the lowest property tax rates in the state and that a cap would cost the city billions in revenue each year.

While de Blasio is not raising property tax rates, homeowners do pay increasing property taxes as the values of their homes rise.

Traditionally mayors and representatives for localities from across the state travel to the legislature's joint budget hearing on local government to give their evaluations of the governor's proposed budget while pushing for more funding. This year de Blasio was expected to focus on key aspects of his own agenda that need continued funding and the proposals in Cuomo's budget that would shift additional costs onto the city, estimated to cost the city well over one billion dollars annually. De Blasio is also looking to renew mayoral control of schools and advance his affordable housing plan, which hit a major snag when negotiations to renew the 421-a tax break failed.

However, Senate Republicans appeared fixated on keeping de Blasio on the defensive by repeatedly pushing the tax cap proposal. Gov. Andrew Cuomo and the legislature passed a two percent local and school-based property tax cap in 2011, though New York City is the only locality excluded. The property tax cap is the only tax the city controls independently of the state. Both Queens Sen. Tony Avella, of the Independent Democratic Conference, and Republican Sen. Andrew Lanza, of Staten Island, insisted property taxes were driving the middle class out of the city. It was a contention that de Blasio refuted.

In what is sure to be an extremely sensitive topic for the rest of session, de Blasio pressed the legislature to renew mayoral control of schools permanently, or for at least seven years as it had done before he was mayor. De Blasio received just a one year extension last year and Gov. Cuomo has called for a three-year extension.

Last year Senate Republicans held the issue over de Blasio's head seemingly in retribution for his involvement in efforts to help Democrats win the chamber. The policy is now up for renewal again during an election year when de Blasio has indicated he will again help Senate Democrats.

The mayor touted increasing graduation rates, lower dropout rates, and the successful implementation of universal pre-kindergarten.

"Successes like these are why there's bipartisan consensus on mayoral control and that is why educators, business leaders, civic leaders alike want it renewed," de Blasio testified. "It would build predictability into the system, which is important for bringing about the deep, long-range change that is needed."

De Blasio also used portions of his testimony to compliment Cuomo on prioritizing supportive housing, affordable housing, an increase in the minimum wage, and a paid family leave proposal. He also praised the continued push for the Dream Act and raising the age of criminal responsibility, two policies the governor and Assembly Democrats have backed, but that have run into opposition in the Republican-controlled Senate.

Sen. Young, who represents parts of western New York, and her colleagues pushed back against complaints de Blasio made about Cuomo's plan to shift costs for Medicaid and CUNY onto the city. She insisted the city is "awash in money right now" and implied that the city gets more than its fair share in Medicaid funding from the state. Sen. Liz Krueger, a Democrat from Manhattan, sought to contradict the assertion when she had time to speak and ask the mayor questions.

"So, Senator Young brought up the amount of Medicaid money New York City gets compared to the rest of the state," said Krueger. "Do we get special rules for New York City? Or is it just a ration of the number of poor people drawing down Medicaid throughout the state, and the New York City share?"

Dean Fuleihan, de Blasio's budget director, responded that the city does not set its rate of Medicaid reimbursement and does not get a rate different than any other municipality in the state.

Krueger continued that strategy of questioning while discussing Cuomo's proposal to shift more costs for CUNY onto the city. "In fact, this proposal that the governor's making, what it does is shift a greater burden to the locality for CUNY students than for SUNY students," said Krueger.

"That's correct," Fuleihan replied.

"And is it true that CUNY students are already lower-income on average than SUNY students throughout the state?" Krueger asked. "Correct," said Fuleihan.

Democrats weren't just coming to de Blasio's defense, though. Sen. Bill Perkins pressed the mayor on his relationship with charter schools, while others expressed concerns that his housing plans could lead to gentrification and wondered about the efficacy of the 421-a program, which de Blasio wants to see renewed, albeit with his desired changes.

Toward the end of the hearing de Blasio and Young appeared to try to find common ground on housing despite the fact that Young said that she would like to see an end to affordable housing regulations.

Young encouraged de Blasio to tackle the shortage of affordable housing. De Blasio responded by pointing to 421-a. "We think there is a solution available given the plan we put forward that had widespread support," said de Blasio, referencing his plan to renew 421-a that was scrapped when Cuomo and the legislature decided to let developers and unions negotiate the wages portion of the bill and they could not come to an agreement.

Young then pushed de Blasio to pick whether he favored the budget from the last fiscal year or the governor's current plan. "There are so many unanswered questions in the current budget, I can't answer that question," de Blasio said. Cuomo has yet to outline how he will pay for major construction projects, including the revamp of Penn Station and the city's airports. The governor also has general outlines of housing plans that his policy book promises will be fleshed out in the coming weeks. Further, Cuomo indicated he would abandon plans to shift costs from CUNY and Medicaid to the city if "efficiencies" can be found by the city and state working collaboratively. "There are a lot of elements of this budget we don't have the full facts on," said de Blasio, adding that he was very appreciative of the governor's supportive housing proposal.

Young said it was clear to her that de Blasio should favor this year's proposed budget over last year's enacted. "From what I can see there are significant investments to the city across the board," said Young.

[Related: De Blasio Releases Cautious $82 Billion Budget]

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by David King, Albany editor, Gotham Gazette
     

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'Dangerousness' Aspect of Cuomo's Bail Plan Troubles Reformers


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Gov. Cuomo delivers his State of the State


In his recently-released policy agenda for 2016, Gov. Andrew Cuomo included a plan to reform the state's bail system. While it has not been fully fleshed out yet, Cuomo's proposal dictates that judges would use a scientific assessment tool to determine an individual's "risk to public safety" while setting bail, a proposal similar to one Mayor Bill de Blasio recently made, with both coming under fire from criminal justice reformers.

De Blasio made his call on the state to reform bail laws in the wake of the shooting of NYPD Officer Randolph Holder by an alleged assailant with a long rap sheet of drug-related arrests. The mayor and others attacked the judge who put the alleged shooter into a diversion program instead of setting a high bail and effectively holding him in jail.

The plan was criticized by public defenders and criminal justice reform groups as a step in the wrong direction. Groups like Legal Aid Society are concerned adding 'dangerousness' to a judge's evaluation of an individual could lead to preemptive detention and institutionalized racism, see people charged with nonviolent crimes hit with disproportionate bail because they are deemed to be a threat, and lead to even more jail overcrowding as judges feel the need to remand an increasing number of defendants out of the fear of political blow back.

The same groups are now surprised and concerned to see Cuomo is running with the idea.

"I think this could make things terribly worse," said Jonathan Gradess, executive director of the New York State Defenders Association. "I think the mayor made a mistake when he called for this. I understand it was after a shooting of a police officer but it's wrongheaded and the governor is wrongheaded in now proposing the same thing the mayor did. We'd be giving a legal protection to the racism that already exists in the system."

Advocates for criminal justice reform and a number of Democratic legislators were surprised when presented with Cuomo's bail reform plan given that most of the criminal justice priorities contained in his address and other recent action lined up with major progressive reform agenda items. These include Cuomo's push to raise the age of adult criminal responsibility from 16 to 18 and to expand alternatives to incarceration programs.

Cuomo's budget book lists the bail plan under the "Fairness For All" section, along with increasing "opportunities for families to stay close during incarceration" and "reward[ing] success after release," among other planks.

The governor appears to be making the same argument that de Blasio made, which is that there needs to be more leniency for non-violent offenders, but harsher discipline for those who commit the gravest crimes - or who may commit them.

The Cuomo administration intends to utilize a risk-assessment program like the one developed by the Laura and John Arnold Foundation, an organization that looks to use a fact-based approach to combating societal problems. The program aims to gauge an individual's risk of reoffense by evaluating factors including age, criminal record, and previous failures to appear in court. The foundation has touted the predictive tool as a way to remove biases from the process of setting bail. Criminal justice reformers and public defenders worry it will have the opposite impact.

Members of the Cuomo administration stressed that they have yet to settle on a plan, or develop a program bill with the parameters for the program and that any judgement by outside groups is simply uninformed.

"Bail reform, when combined with an assessment tool, has the opposite effect of what they are suggesting," Alphonso David, counsel to Governor Cuomo told Gotham Gazette of critics. "What we've seen when it has been implemented in areas of Kentucky and in the city of Chicago is a decrease in crime, a decrease in reoffending, and a decrease in jail population."

Nevertheless, advocates are concerned that an impersonal evaluation tool will make it easier for judges to rationalize denying bail.

"Over the last couple of years we've been heartened to see an incredible amount of attention paid to the problems with our bail system -- people languishing in jail for years who have not been convicted of anything, who simply can't pay the price for their freedom and how our bail system disproportionately impacts people of color," said Justine Olderman of The Bronx Defenders.

"Policy makers have vowed to fix these problems," Olderman said. "Yet at the same time, they call for including dangerousness in the bail statute which will expand the reasons that a person who is presumed innocent can be held in jail. They seem to do so without any recognition that including dangerousness will undermine their bail reform efforts and will only exacerbate our current bail crisis."

Lately, the conversation about bail has focused on preventing the poor from disproportionately having to serve jail time when they can't afford to pay even small amounts of bail for minor crimes. City Council Speaker Melissa Mark-Viverito first announced plans to back a bail fund, then de Blasio followed suit with a public bail fund, followed by Democratic state Senator Michael Gianaris introducing legislation that would eliminate cash bail for certain individuals.

Gianaris said that he hopes there will be room for discussion of his plan given that the governor put the concept of bail reform in his 2016 agenda. "The debate is long overdue," said Gianaris. "The bail system has no rational basis. It just imprisons poor people who have not been convicted, the rich simply pay bail."

Gianaris acknowledged that the concept of basing bail on dangerousness has split progressives in the past. "This has been an ongoing debate with progressives falling on different sides of it. My bill doesn't change what a judge considers. It just does away with the financial component of bail."

Advocates say Cuomo's proposal simply doesn't jive with the rest of his progressive criminal justice agenda.

"I was surprised to see this in the same agenda with 'raise the age' and other criminal justice reforms," said Justine Luongo, who is the attorney in charge of Legal Aid Society's legal practice. "I understand why you would go this route: you want to prevent terrible tragedies, but this leads us down the wrong path."

Cuomo's 2016 policy book states that New York is one of four states that do not require judges to consider public safety when setting bail and that the current "approach means that people in New York who do not present a risk to public safety are detained while people who may present a risk to public safety are able to post bail and gain release."

The policy book goes on to say: "Governor Cuomo will introduce legislation to require judges to consider public safety when making release and bail decisions. The legislation will also permit judges to use research-based, accepted risk assessments when considering a defendant's threat to public safety. Other states and cities are using these risk assessments with good results: more people are released from jail before trial, without any attendant rise in crime."

The New York Times reported in June that a North Carolina precinct that has implemented the Arnold Foundation's assessment tool has seen its jail population drop by 20 percent.

State Senator Gustavo Rivera, who said he was very pleased by the majority of Cuomo's criminal justice agenda, was taken aback by the bail proposal. "As far as the bail proposal and my current understanding of it, I am deeply concerned that it might be going toward preventive detention," Rivera, who has backed a bail fund in the Bronx, told Gotham Gazette. "The state moved away from that, it rejected that in the past."

The state legislature has periodically debated having judges consider dangerousness since the 1970s, but in the end has decided against it.

"I think conceptually most people support judges being able to consider public safety when setting bail," said David, Cuomo's counsel.

Manhattan District Attorney Cyrus Vance has advocated for this particular change to the state's criminal justice law. "My Office has long supported a change to the state's antiquated law that only permits us to take an individual's risk of flight into account when setting bail," Vance said in a statement in July that was issued as part of an announcement touting a $17.8 million commitment from de Blasio to supervise 3,000 defendants as part of a community release program designed to avoid bail or jail time before trial.

"Today, I'm calling on Albany to amend that law to enable prosecutors, judges, and defense attorneys to also evaluate dangerousness and risk of re-offending when making bail determinations, as is the practice in nearly every other state in this country," Vance's July statement continued. "The use of an updated science-driven risk assessment tool will help actors in the criminal justice system better understand who can safely be released and supervised in the community while awaiting their day in court."

Reform advocates and a number of public defenders said they've seen no proof that states that consider dangerousness are actually preventing crime. They insist that only a small portion of those released on bail actually go on to be rearrested while awaiting trial.

"I have not come across any empirical data that New York has greater rearrest rates than any community with a dangerous statute," said Olderman.

Advocates fear the assessment tool will be used to jail a larger swath of people who haven't been found guilty of any crime, that judges will tend toward remanding defendants rather than posting bail for fear that there could be political backlash should someone out on bail is accused of another crime.

"We are very concerned there will be findings of dangerousness by this assessment tool in cases where there is no nexus with violence," said Luongo. She said that a youth with a history of non-violent misdemeanors could be deemed dangerous because of assessment criteria.

"In the current system a number of factors are already taken into account when setting bail, in domestic violence cases for example. We have registries for gun offenders and domestic violence, a judge can already take dangerousness into account," said Luongo. "Our concern is here that we are talking about predictive, preventative detention. It is troubling that the governor is not talking about striking a balance, doing away with bail in misdemeanor cases as former Chief Judge Lippman has suggested."

Jonathan Lippman, who was forced into retirement recently due to age restrictions on his position, has long pushed the legislature to overhaul the state's bail system as he has argued it disproportionately impacts the poor, forcing those unable to pay even the smallest bail to serve long jail terms before trial and thereby destroying any chance they have at a normal life. However, Lippman has advocated the state to move on the bail reform de Blasio and Cuomo are pushing for. In August, Lippman defended de Blasio's stance in an interview with Politico New York in October.

"I think they're fearful of this idea of preventive detention, but at some point you have to have confidence in judges and their judgement — that's what judges are there for — and you have to have a balanced bail statute that makes some sense and keeps violent people in, and there's a presumption that people who are not violent, and won't hurt anybody, are at their job and with their families and out on the street," Lippman said of Legal Aid Society criticism, according to Politico New York.

Legal Aid Society is also concerned that once a judge labels someone "dangerous" it could become very difficult to lose the label even in the face of facts. Luongo said that facts in cases can quickly change as seen in the recent highly-publicized Brownsville group rape case. "If one judge finds a defendant "dangerous," who is going to be willing to reverse that? Are judges going to be willing to step on another judge's toes?"

Robyn Pangi of The District Attorneys Association of New York told Gotham Gazette that her organization had not yet seen any specifics of Cuomo's plan. "District Attorneys would like to be involved in conversations regarding changes to the current bail system, particularly a proposal that takes into account the dangerousness of a defendant when setting bail," Pangi said in a statement. "DAs are interested in different mechanisms of pretrial detention, but stress that any sound proposal must take into account public safety and allow for prosecutorial appeal of the judge's decision in cases where the DA feels that public safety has not been given sufficient consideration."

There may not be much room for debate on the proposal this year as many important Democratic legislators are opposed to the idea from the get-go.

"I think this is a non-starter," said Gradess, of New York State Defenders Association.

Albany can be a place of trade-offs, though, and Cuomo could work to convince initial opponents to agree to a full package of bail reforms that also satisfy what they would see as progress.

Cuomo's counsel, Alphonso David, told Gotham Gazette that he would be surprised to see opposition to the plan once the administration releases its full bill. "We can't be driven by fears, we have to be driven by data," said David. "We don't legislate based on fear, we legislate based on data."

***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Good Government Groups Rate Cuomo's Ethics Package


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Scene at Gov. Cuomo's State of the State (photo: Kevin P. Coughlin/Governor's Office)


On Tuesday in Albany, the heads of three major good government groups gave their evaluation of the ethics proposals Gov. Andrew Cuomo included in his State of the State address and budget presentation last week. Susan Lerner of Common Cause, Dick Dadey of Citizens Union and Blair Horner of the New York Public Interest Research Group expressed general contentment with most of what Cuomo unveiled during a press conference, but gathered to call for follow through and one key addition to the agenda.

The groups are quite pleased with Cuomo's plan to shut the LLC loophole, which allows donors to skirt the state's campaign contribution limits by creating multiple fronts. "We think the language the governor has proposed is strong and clear, and we do not have any suggestions for strengthening it, so please note that sometimes you can make good government groups happy," said Lerner regarding the loophole. Cuomo has been the greatest benefactor of the current system, though in the past he has expressed a belief that it should be closed while not necessarily fighting for that reform.

Lerner said she was also encouraged to see a public campaign finance proposal and election reforms put forward in Cuomo's plan.

Horner said that it was "proper" for Cuomo to put forth a bill limiting lawmakers' outside income to 15 percent of their state salary, which is currently $79,500, but may soon be increased. Still, he expressed disappointment that a measure of the bill that limits legislators from accepting advances from book sales does not apply to the executive branch (Cuomo recently received hundreds of thousands of dollars for penning a memoir). Overall Horner said he thought the proposal would "significantly reduce lawmakers' temptation to use private office for public gain."

"The governor was given a historic opportunity to overhaul the state's campaign finance and election laws and in his State of the State message he largely delivered," said Horner.

Dadey, however, said Cuomo made a grave oversight by not proposing any bill that tackles "slush funds" in the state budget, pots of money that have been abused by legislators, as spotlighted in the cases against former Assembly Speaker Sheldon Silver and former state Senator Malcolm Smith.

Dadey said that the pots of money are "rife with potential for corruption," and said that the governor and the legislature should shed more light on how the money is used. "These lump sums must not be allowed to exist in such large categories...but rather lined out in budget," said Dadey. "If there is a reason for them to continue to exist that needs to be publically disclosed."

The groups praised Cuomo's plan to make reforms to the Joint Commission on Public Ethics, or JCOPE, by making the ethics watchdog subject to public meetings laws and requiring lawmakers to disclose their actual income rather than a range. However, they said Cuomo didn't go far enough and that the structure of the board must be revamped to avoid deadlocks, the Comptroller and Attorney General should be allowed to appoint representatives, and the executive director should not be hired directly from the legislative or executive branches.

Dadey dismissed concerns that Cuomo did not make his ethics package part of his budget bills which would give him the upper hand in negotiations with the legislature. "I think they're so important that they have to stand alone. That's what I would like to think," said Dadey.

The groups had previously introduced a "Clean Conscience Pledge" at the start of the year, asking lawmakers and the governor to sign on to working to do everything they can to pass legislation limiting outside income, closing the LLC loophole, and making clear the purpose and recipients of discretionary funds in the budget.

So far 22 legislators have signed the pledge. Four of the signees are from the 103-member Assembly Democratic Majority, no members of the 31-member Republican Senate Majority have signed, nor has Governor Cuomo, a Democrat.

Asked by Gotham Gazette if they had had discussions with members of the majorities about the pledge or received indications why more legislators have not signed, Horner responded: "These are tough proposals. I think the houses want to process how they're going to respond to the governor's package and the pledge. This is really an opportunity for lawmakers who are often cut out of process to express a point of view. I'm urging them to get on the stick on this quickly to let the public know you want Albany cleaned up and this is the easiest way to show it."

[Related: Cuomo Unveils Ethics Plan to Questions of Follow Through]

***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Once Rife with Problems, City Budget Process Now a Model for State System in Need of Reform


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Governor Cuomo presents his 2014-2015 Executive Budget


In 1975 New York City was teetering on the edge of bankruptcy, having balanced its budget for years with massive borrowing and shady accounting tricks. Banks were at the point where they would lend no more. Mayor Abe Beame had written the announcement of the city's default. City lawyers were in State Supreme Court filing a petition for bankruptcy and police were prepared to serve the banks.

At the last minute bankruptcy was averted as the federal government provided the city with loans. Those loans combined with the state-created Financial Control Board, which required the city to use generally accepted accounting practices and provide four-year financial plans, are credited with turning things around.

Gone were the days when operating expenses were reclassified as capital investments, when labor costs were paid for with new loans, when raids on existing funds were acceptable ways to pay for new expenses. The city underwent such a turnaround in the following decades that its budget process is now thought to be a shining beacon across the country. The Financial Control Board that used to strike fear into the hearts of mayors is now a sleepy, almost forgotten entity.

The state government, however, is facing a crisis of its own--not a fiscal one, but a crisis of trust, brought on by a series of convictions of sitting legislators that was capped late last year by the convictions of former Assembly Speaker Sheldon Silver and Senate Majority Leader Dean Skelos. For years, the Silver and Skelos served as two of the 'three men in a room' deciding the budget with the Governor. It's a process that has been decried by good government advocates, reform-minded legislators, and the U.S Attorney, Preet Bharara, who brought Silver and Skelos to justice for abusing their positions.

"I think people should start to talk about budget transparency as a matter of ethics," said Sen. Liz Krueger, the Democrats' ranking member on the state Senate finance committee. "People really should care about the lack of transparency in the state budget process for a whole lot of reasons. One of them is that if you don't know what's going on, pay-to-play wins the day. If someone wants something in the budget they get it there with a whole lot of lobbying money that no one knows about. That's the harm, that's the danger and I'll tell you that happens constantly."

A number of major corruption cases, including Silver's, have centered on the opaqueness of the budget process that allows legislators and the governor to put aside secret slush funds. For example, Silver was able to direct discretionary funding to a cancer doctor who in turn sent Silver and his law firm lucrative clients suffering from a rare form of cancer.

Former Sen. Malcolm Smith was convicted in a scheme whereby he would provide a developer a $500,000 lump sum from the budget. A report from good government group Citizens Union found that the 2014 and 2015 fiscal year budgets had over $3 billion in lump funds, while Cuomo's proposed 2016 budget had around $2.6 billion. Citizens Union, Common Cause NY, and NYPIRG have this year called on legislators to support reforms making budget spending more transparent.

"Preet Bharara, the federal prosecutor who convicted both Silver and Skelos, basically said the strongest tool these guys had to game the system was unbridled power and an unbelievable lack of transparency in policing 'three men in a room,'" said Assemblymember Jim Tedisco, a Republican from the Capital Region who has proposed a bill that would force any pot of cash negotiated in the budget to be line-itemed and mandate that it is publicly documented how the cash is eventually spent.

"The other thing Bharara told us is 'if you see something, say something,'" Tedisco said. "I didn't know about these pots of money and I'm sure my Democratic colleagues in the chamber didn't know either. So if you don't know who got the money, you can't stop what's going on. We just don't have that transparency holistically."

Slush funds aren't the only part of the state budget that thwart transparency. Today the bad practices New York City was forced to abandon are commonplace in the state budget process. The state budgets without generally accepted accounting practices, routinely raids other programs, has lump-sum appropriations where spending is at times decided by memorandum of understanding between the governor and legislators, and routinely pushes expenses down the road.

This year Gov. Andrew Cuomo has proposed a slew of major infrastructure projects including the revamp of Penn Station and a third track for the Long Island Rail Road, but his budget proposal does not lay out how to fund them. Meanwhile, his budget continues funneling cash to economic development projects that are managed by entities with little transparency. Cuomo's Buffalo Billion project is currently under investigation by Bharara's office.

Frank Mauro, executive director emeritus of the Fiscal Policy Institute, who also served as the director of research for the city's last major charter revision and as secretary of the Assembly's ways and means committee, said that the differences between the city and state budget processes are striking. "I don't think many people know just how different the city process is from the state's," said Mauro.

The city budget process begins when the Mayor submits his Preliminary Budget to the City Council before January 21 each year (this was just moved from Jan. 16). Then the City Council holds public hearings over a period of several weeks, bringing in agency commissioners and budget directors to examine spending, considers budget priorities from community boards and borough presidents, and takes testimony from groups and citizens.

The Council must issue its findings and recommendations by March 25. The Mayor then has until April 26 to propose an Executive Budget, with explanations of programs as well as a fiscal outlook for the city. The Council then holds another series of public hearings which are followed by negotiations between the mayor's budget office and the Council finance division. These negotiations must result in a balanced budget by the end of June, with the new fiscal year beginning July 1.

The Council is allowed to increase, decrease, add or omit any appropriation for personal services, or omit or change conditions related to any appropriation. The Council then votes on the budget. The mayor can veto any additions or increases the Council adds but may not interfere with any decreases.

The city process also includes a significant role for the Comptroller, who oversees city contracts and audits city agencies. The Comptroller is the city's chief financial watchdog and analyzes the Mayor's budget proposals, performing independent forecasting, raising red flags, and making recommendations.

"In the state budget you have to investigate where the money has gone, where certain programs are accounted for, and even then, good luck," said Sen. Krueger. "Even the [state] comptroller's office does not know until years later what was actually spent."

The state process begins when the Governor devises an Executive Budget based on the needs of agencies and any programs he or she supports and delivers the budget to the Legislature. Both houses of the the Legislature put out their own budgets, mainly to signal their major priorities for the year. The Governor delivers his executive budget along with appropriation, revenue and budget bills by February 1. The Legislature typically holds a series of budget hearings on particular topics, like transportation and local governments.

Under reform legislation passed in 2007, the Legislature is supposed to convene conference committees between both houses to reach agreements on aspects of the budget and set priorities. These committees have been ignored in the past despite the reform legislation.

The Governor and Legislature are also required agree on a revenue forecast on or before March 1. They are generally very good at doing this, failure to do so results in the state Comptroller setting the forecast. The Legislature can only reduce or entirely remove spending proposed by the Governor and it has no control over the Governor's proposals for spending. The Legislature can add spending, but the Governor has the ability to line-item veto. The Legislature must vote on a budget by April 1, which is the start of the state's fiscal year.

It isn't until the budget is voted on that a new financial plan is created showing how all the changes impact spending. So while a budget may start as balanced under the Governor's proposed plan, it rarely ends that way.

The state budget is usually full of non-budget policies because the budget process gives the Governor the upper hand - the Legislature can either negotiate the Governor's priorities, stall, or fail to vote on a budget on time, in which case the Governor can simply issue emergency extenders that put his budget into place.

Budgets are normally negotiated exclusively between the two majority leaders of the Legislature and the Governor, and time and again budget bills are not given the three-day waiting period for review mandated by law. Instead, the Governor issues messages of necessity that allow the budget bills to be voted on immediately. The result is legislators voting on voluminous budget bills late at night, having little or no time to actually read them. "To say there is any level of public review is just insulting," Krueger said.

"I think the biggest difference between the state and city budget processes is that the state budget is a political negotiation and you don't see a financial plan until a month later," said Tammy Gamerman, a senior research associate with the Citizens Budget Commission (CBC). "With the city they tell you how they are going to balance the budget."

Adding further mystery to the state budget, Governor Cuomo has taken to combining his State of the State address and Executive Budget presentation, doing so this year and last. This leads to less public explanation of the budget and more focus on big policy initiatives the governor is backing. In his speech last week, the governor laid out a number of government ethics proposals, including public financing of campaigns. He did not discuss changing the budget process.

The city budget process is not perfect, of course. The City Council continues to push the Mayor to more specifically account for agency spending, providing more units of appropriation instead of lump sums. There is also a good deal of discretionary spending available to the City Council Speaker that watchdogs want more accounting for.

Sen. Krueger, who is one of the most outspoken legislators during late night state budget votes, picking at and tracking spending threads while most legislators are waiting to simply cast a "yes" vote and get back to their districts, said that 'three men in a room' has led to an absolute lack of budget transparency and alienated the public.

Krueger says she has seen a decrease in attendance at budget hearings, even from groups that have a lot at stake in the budget. "At the end of the budget process each year, after I'm done beating my head against the wall over one thing that made it through the budget process or the other, I come to find out there are 16 other things I missed," Krueger told Gotham Gazette. "I don't catch a huge number of things and I do care about this. So imagine what it is like for someone who isn't a legislator, who doesn't have experience with this. I want people to know they should be involved in the process. They should come to hearings just to point out 'Hey, you know New York has state parks that need to be funded and that isn't in here.'"

Most rank-and-file legislators and advocates acknowledge that budget reform is not a hot topic at the moment. The last time there was major attention on the subject was in 2009 when Senate Democrats briefly controlled the chamber. They issued a report that recommended conference committees be given control over larger sums of budget funds, that the state adopt generally accepted accounting principles, a two-year budget cycle, and the creation of a legislative budget office.

Krueger has since introduced bills that would create a state agency in the model of the city's Independent Budget Office - a nonpartisan, publically funded agency that provides information to elected officials and the public about the budget, reviews budget proposals, and provides policy analysis. The bill has gone nowhere in the Senate.

Krueger and other reformers also want to see the state require bills to have truthful financial impact statements. Currently, bills introduced from rank-and-file legislators, committee chairs, legislative leaders, or the Governor are supposed to have impact statements, but some simply lack them while others are presented in a dishonest way. Rather than presenting a program's cost for a year, some bills only represent a month's cost, or less.

Gamerman said she feels that some progress has been made toward budget transparency over the last few years.

"Accountability issues born of the financial crisis of the '70s forced the city to use generally accepted accounting principles," said Gamerman. "There isn't any similar oversight of the state. The state has increased transparency through the Open Budget website. There is more info on agency spending. One of the big differences between the city and state is the city does a much better job tracking performance with the Mayor's Management Report. The state has been talking about doing something similar."

Mauro said that he finds it unlikely there will be a major push for reform unless the Legislature feels the Governor is abusing his current powers because the status quo still works for the leadership. "It's an unlikely scenario where the Governor isn't running roughshod over the Legislature with budget powers that we'll see a push for change," said Mauro.

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by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Note: Gotham Gazette is an independent publication of Citizens Union Foundation, sister organization of Citizens Union.

Cuomo Outlines $144 Billion Budget


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Cuomo taking the podium for his State of the State


Gov. Andrew Cuomo's sixth State of the State address was a dichotomy of the mundane and the moving, the political and the personal, striking contrasts whereby he celebrated infrastructure projects and lamented the status of the poor, homeless, and jobless.

As much as Cuomo tried to steer the conversation toward past achievements and future successes he also decried the state's failures to boost the economy for all, house a growing homeless population, and provide low-income families with a liveable wage and benefits. Not to mention the ethical failures of corrupt politicians, which the governor had no choice but to address.

Cuomo's $143.6 billion budget presentation and State of the State focused heavily on both investing in major transportation and other infrastructure and a social agenda that includes an eventual $15 per hour minimum wage and a proposal to provide workers with 12 weeks of paid family leave.

The governor had clearly laid out the "Built" portion of his agenda in the days leading up to Wednesday's address. He's pledged $100 billion for infrastructure projects including a retooling of Penn Station, a third track for the Long Island Rail Road, and an expansion of the Javits Center - all under his New York: Built to Lead banner.

The MTA will also see an investment of $26.1 billion, some of which will go toward a redesign of 30 subway stations and more wifi hotspots. Both LaGuardia and JFK airports will get attention--with LaGuardia being replaced and JFK getting an "overhaul"--as will airports, roads, and bridges in other parts of the state.

"All experts are unanimous that investment today in the infrastructure of tomorrow creates jobs and builds economic strength," Cuomo said. "In Washington, both sides agree. However, like so many issues, Washington just can't get it done. In New York, we can and we will."

Republican Assembly Minority Leader Brian Kolb said he was concerned by "all the spending" and wanted to see details on how Cuomo will pay for all of his infrastructure projects. "Where is all of this spending coming from? How are we paying for it? Well get those answers or we'll vote no," Kolb told Gotham Gazette.

The "Lead" segment of Cuomo's "Built to Lead" agenda had very much to do with backing up the governor's repeated assertion that New York is the progressive capital of the nation.

Cuomo returned to familiar territory by touting his record, including passage of marriage equality, as well as his being the governor to have closed the most prisons in the state and his various programs to reduce recidivism. "We are better at building and equipping a prison cell than a classroom. We are quicker to find a 16-year-old a jail cell than a job interview and that is just wrong," Cuomo said of the country. "New York State is going the other way."

Cuomo again asked the legislature to "Raise the Age" so that 16- and 17-year-olds aren't tried as adults. New York is one of only two states that continue the practice--North Carolina being the other. Cuomo took executive action last year to move the current population of teens from adult prisons to a juvenile facility, a move that is in process.

Cuomo pledged more job and alternative to incarceration programs, and "bail reform" that will require judges to consider whether a defendant is a danger to the public. New York is one of only four states that don't have judges consider public safety while setting bail.

"We all agree that public safety is paramount," Cuomo said. "But we can also all agree that it is madness to spend over $50,000 a year for a prison cell while ignoring the wisdom of early intervention."

Addressing another unresolved issue from last year, Cuomo asked the legislature to pass a bill establishing a special prosecutor to look into police killings of unarmed civilians. Last year Cuomo issued an executive order putting Attorney General Eric Schneiderman in charge of such cases. The move angered Republicans as well as district attorneys across the state.

"The appointment of an unbiased, qualified individual has helped restore trust in our system and it literally helped to end demonstrations in our streets," Cuomo said. "I urge you to pass a law making this reform permanent. Assemblyman Keith Wright has advocated for such a law for over a decade."

Cuomo's economic justice platform was imbued with a human touch that Cuomo has oftentimes been accused of lacking. His push for a $15 minimum wage, that is named in tribute to his father, who passed away last year, was greeted by cheers from the crowd. Both Republican legislative leaders remained seated while their Democratic counterparts rose from their chairs to applaud the measure.

Cuomo didn't offer any new details but his plan would see the minimum wage increase to $15 by the end of 2018 in New York City and July 1, 2021 in the rest of the state. Cuomo, who opposed a $13 minimum wage in the spring of last year argued vigorously for his plan. "If the minimum wage in the '70s had been indexed to the rate of inflation, you know where it would be? My proposal today at $15 an hour," Cuomo told the crowd. "What that means is that the minimum wage since the '70s has not kept pace. What that means is you've had 45 years of economic injustice where the poor were getting poorer, while everyone else was moving up. That's not America's way because that's not fair."

Cuomo went on to justify his plan because he said through social programs the state is subsidizing fast food restaurants that fail to provide a minimum wage, decrying such corporate welfare. "I say it's time to get out of the hamburger business," Cuomo said, repeating what has become a catchphrase during his minimum wage rallies.

Small business groups across the state are opposed to the measure and claim it will cost jobs. Meanwhile, more Democrats are growing concerned that Cuomo may significantly extend the wage phase-in to reach a deal with Senate Republicans.

Cuomo was expected to make a splash on the issue of homelessness and he did on two fronts. First he announced the commitment of $20 billion to combat homelessness, with $10 billion earmarked for 100,000 permanent affordable housing units and $10 billion for 6,000 new supported beds over 5 years, 1,000 emergency shelter beds, and other homeless services.

"This is New York. And we are New Yorkers and we will not allow people to dwell in the gutter like garbage," Cuomo said. He promised to fund 20,000 supportive housing units over the next 15 years.

Cuomo also unveiled a quality control system for homeless shelters across the state. Comptroller Thomas DiNapoli will oversee the quality review of shelters, with city Comptroller Scott Stringer examining the city system, as he already does, but perhaps with more attention and now with more state collaboration.

"They will do onsite inspections and review operating and financial protocols," Cuomo explained. "Thereafter, shelters they find to be unsafe or dangerous will either immediately add local police protection – or they will be closed. Shelters which they find as unsanitary or otherwise unfit will be subject to contract cancellation, operator replacement, immediate remediation or closure. If an operator's management problem is systemic, a receiver will be appointed to run that system."

Mayor Bill de Blasio praised Cuomo for several announcements, including on supportive housing, pre-kindergarten and minimum wage. He said that Cuomo's announcements of the homelessness audits appeared to be in line with work already happening and did not express initial concern. He did express conern, though, about items Cuomo appeared to bury in budget documents that could cost the city big when it comes to Medicaid payments, CUNY funding, and certain tax rebates. De Blasio said he and his team would review the budget closely and have more to say soon. Budget watchdogs began sounding the alarm, though.

After outlining a variety of programs and proposals, Cuomo turned to government ethics, saying that all depended on public trust in elected officials.

Then, toward the end of his speech Cuomo dropped his rhetorical tone. He described how in late 2014 his father's health was failing and revealed that he was in Buffalo for an inauguration ceremony when he got the news that his father had passed away.

"Life is such a precious gift and I have kicked myself every day that I didn't spend more time with my father at that end period," Cuomo lamented. "I could have. I am lucky. I could have taken off work, I could have cut days in half, I could have spent more time with him. It was my mistake and a mistake I blame myself for every day. But there are many people in this state who do not have the choice. A parent is dying, a child is sick, they can't take off of work."

Cuomo went on to explain how the United States is one of three countries that does not have paid maternity leave. He proposed providing New Yorkers with 12 weeks of paid family leave. Last year Cuomo and legislative leaders were unable to reach a consensus on competing plans. The Assembly has repeatedly passed a plan that would expand the state's disability insurance fund to pay for leave. Last year the Independent Democratic Conference put forward a proposal that had the state covering the estimated $125 million cost of the plan. Cuomo's proposal would be covered by workers through a $1 paycheck deduction.

Assembly Speaker Carl Heastie told reporters that he wants to see more details on the plan. "Paid family leave is something we've passed for a while," Heastie told reporters. "I want to see the details. It's hard for me to comment before I've seen the details."

Senate Republicans are not particularly open to the plan.

"This is all about getting these things from proposal to reality now," said Sen. Mike Gianaris of the Senate Democrats. "You've gotta like the agenda, these are things the Senate Minority has been talking about all along--paid family leave, minimum wage. It's about getting these things done now. If Senate Republicans decide to block things that are priorities to the people of New York then they will hear from the voters."

[Read more about Cuomo's ethics and campaign finance reform proposals here]

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by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Cuomo Unveils Ethics Plan to Questions of Follow Through


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Cuomo during his State of the State (photo via The Governor's Office)


To open Gov. Andrew Cuomo's sixth State of the State address Wednesday, a video began with a frightening picture of the "bad old days," when legislative dysfunction held the people's agenda hostage. Despite the avalanche of indictments that have taken place under Cuomo, including last year's arrest and conviction of two legislative leaders on federal corruption charges, the Cuomo Era was portrayed as only positive, leading into the governor's speech.

Toward the end of that speech, and at page 274 part 10 of his new policy book, Cuomo acknowledged what he called "a threshold issue that must be addressed." After having outlined a wide variety of policy proposals dealing with infrastructure, business development, and economic and social justice, Cuomo acknowledged said none of it would work if New Yorkers don't have faith in their government.

The governor then outlined a sweeping government ethics and campaign finance reform platform, setting a high bar for negotiations with the legislature and impressing some reform-minded good government groups and lawmakers. However, due to the history involved - both Cuomo's and the state legislature's - there are more than a few skeptics about prospects for success in enacting new measures to prevent corruption.

While some reformers applauded the governor's ambitious plan, many are waiting to see how well the governor does in moving his proposals through the legislature.

Citizens Union released a statement saying that "Cuomo stepped up in a big way and proposed important reforms that, if enacted, would help rebuild the public trust and protect New Yorkers against another crime wave of corruption in Albany." The group is among three that recently unveiled a "clean conscience pledge" for lawmakers to sign guaranteeing that they would fight for reforms like closing the LLC loophole.

In his speech, Cuomo tied effective government to ethical government, something Albany has not been able to do.

"We have proven competence, and we have proven we can make government work, but recent acts have undermined the public's trust in government," Cuomo said. "Public trust is essential for government to function at the level we need. I have a number of recommendations that will be in the budget that I believe will help restore the public trust."

LLC Loophole
Cuomo's first reform proposal, closing the LLC loophole, faces an uphill climb. For years, Cuomo himself has been the major beneficiary of the loophole, which allows companies to create shell entities through which to donate virtually unlimited amounts to candidates. In fact, Cuomo has taken more than a million dollars in donations from LLCs tied to just one company: Glenwood Management, the real estate firm at the center of the corruption trial of former Assembly Speaker Sheldon Silver and featured in that of former Senate Majority Leader Dean Skelos. Cuomo has refused to return money from Glenwood and denied that political donations influence him in any way.

Cuomo poses his argument for closing the LLC loophole in his briefing book as one of equity. "It is our responsibility to even the playing field so that rich and poor New Yorkers alike have their voices heard in our political process," it says.

Senate Republicans have shown no appetite for closing the LLC loophole, which Assembly Democrats still appear ready to do and Senate Democrats attempted to force to a vote last year.

Assemblymember Daniel O'Donnell, a Democrat, was skeptical of the Governor's proposal, not because he isn't in favor of closing the loophole, but because Cuomo continues to take contributions from LLCs. "He can't play both sides and take LLC donations and tell us to pass a law to stop them," said O'Donnell. "I don't take LLC donations, there will be a sign at my next fundraiser saying: 'I don't take LLC donations.'"

Outside Income
In perhaps the most bold reform proposal in his budget, Cuomo wants to limit lawmakers' outside pay to 15 percent of their base salary, which would match the rule for members of the U.S. Congress.

Blair Horner, of the New York Public Interest Research Group, hailed the proposal as an effective post-Watergate reform. However, legislators are keenly aware that Cuomo's proposal does not include a raise for them to make up for any lost outside income as many good government groups have recommended and that the restriction only applies to legislators, not the governor, attorney general, or comptroller.

"You can't keep telling us that you'll give us a raise down the road if we just pass this," O'Donnell told Gotham Gazette. There is a pay commission set to soon make recommendations, which could lead to raises for lawmakers.

Cuomo has not been above making outside income, of course. The governor's book deal with HarperCollins (a subsidiary of NewsCorp) is estimated to be worth at least $700,000. The International Business Times has documented how the state has pledged to give NewsCorp a one-time payment of $15 million in 2016 and access to $15 million in tax credits as part of a drive to make the company an "anchor tenant" at 2 World Trade Center.

FOIL
The governor wants everyone to be subject to the Freedom of Information Law - the legislature is currently exempt to FOIL rules. Cuomo's proposal appears to be driven by flack the governor received late last year after he vetoed two bills that were designed to make the FOIL appeals process faster and more affordable. The move came to the dismay of good government groups - the bills applied to the executive chamber, state agencies, as well as the comptroller, attorney general and local governments. At the time, the governor promised action in the new year.

"It is indefensible, especially in today's context for you to say you believe in the Freedom of Information Law and for you to sign bills reforming the Freedom of Information Law, but excluding yourself," Cuomo told the legislature during his speech Wednesday. "Let's make a statement to the citizens and taxpayers of this state that you get it. If you pass a FOIL bill, include yourselves. I will sign it the very same day."

Public Campaign Finance System
Cuomo has flirted with voluntary public campaign financing system before - his last push on it resulted in a pilot program that only applied to the 2014 comptroller's race (Cuomo isn't particularly friendly with Democratic incumbent Thomas DiNapoli) and only DiNapoli's opponent opted in, but he failed to raise the $200,000 minimum to qualify. The program was limited in scope due to pushback from Senate Republicans and they are showing no signs of having a new position.

Senate Majority Leader John Flanagan made no mention of the program or campaign finance reform in general in his response to the governor's State of the State.

"If the governor is planning to do campaign finance with taxpayer funds we aren't going to stand for it," Assembly Minority Leader Brian Kolb told Gotham Gazette.

Good government groups hailed Cuomo's inclusion of public financing. "It's time to address the legal bribery that happens every day at the Capitol. It's time to change the system. Small donor matching is the only way to ensure that elected officials are putting voters before big donors," Karen Scharff of Citizen Action NY said in a statement. "A comprehensive approach to reform, like the Governor proposed, centered around public campaign finance, is the only way to restore public trust and restore democracy."

Pension Forfeiture
Both Silver and Skelos filed for sizeable pensions after being convicted on multiple federal counts of corruption last year. Beforehand, the heads of both legislative majorities came to a deal with Cuomo to strip pensions from legislators convicted of violating the public trust.

The Senate proceeded to pass a bill that would have stripped the pension from any public employee found guilty of a felony. But, facing pressure from public employee unions that worried their members would be targeted by the law after being convicted of crimes having nothing to do with their jobs, the Assembly stalled. Now Cuomo is attempting to get both sides to come to the table again. "This is nothing new," Kolb told Gotham Gazette. "We could have done this last year if (Assembly) Democrats hadn't stopped it."

O'Donnell said he was concerned about the impact the Senate's version of the bill could have had on workers and their families but he said he was more than happy to vote for a bill that "targets the right people."

The Rest
Cuomo also proposed a change in law that would force political consultants and those seeking state contracts to register as lobbyists. He also pledged to commit $1 million to fund a nonpartisan commission to help prepare for a constitutional convention where voters could have a chance to redraw New York's constitution. Cuomo has quietly supported a convention over the last few years.

Additionally, the governor outlined plans to make it easier to register to vote.

The Forecast
At the end of the day it appears that Senate Republicans are diametrically opposed to Cuomo's grandest ethics proposals. In an election year, which 2016 is, Senate Republicans may be moved to take some action, but it is unlikely they will move on Cuomo's version of outside income limits or public financing of elections.

Senate Republicans have run on their opposition to "using taxpayer dollars" for campaign finance and Flanagan has repeated that he believes lawmakers should hold outside jobs. Ethics were not a major part of Flanagan's rebuttal to Cuomo's speech.

"At the end of the day all the laws in the world won't prevent bad people from doing bad things," Flanagan said in a pretaped video. "We take this seriously and are already hard at work to restore the public trust," he said. "But we should not lose sight of what has already been done to improve the state's ethics and disclosure laws and to hold elected officials accountable for their actions."

***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Assembly Democrats Reject Republican Rules Changes, Promise Own Proposals Soon


kolb malliotakis

Assembly Minority Leader Kolb and colleagues (photo via @NMalliotakis)


A majority of Democrats in the New York State Assembly voted down a series of 13 rules changes proposed by their Republican counterparts designed to make the chamber more equitable and allow members of the minority to get their bills to a vote.

While a push for rules changes led by Republican Assembly Minority Leader Brian Kolb and their defeat by Assembly Democrats has become an annual Albany tradition, this year the focus on reform is at a peak thanks to the federal convictions of former legislative leaders Dean Skelos and Sheldon Silver.

Assembly Speaker Carl Heastie, who became the chamber's leader after Silver's indictment, convened a working group on operations, participation, and transparency last year to come up with a series of recommendations to make the chamber more open to its members and the public. However, the group has been criticized for not holding any public hearings, neglecting to include Assembly Republicans, and failing to keep up with its own deadlines.

Assemblymember Brian Kavanagh, one of the group's co-chairs, told Gotham Gazette that he expects he and his colleagues will reveal proposals shortly and that they will "touch on" a lot of the Republicans' concerns.

"The working group is putting together a broad set of proposals that we hope to make soon and I expect them to include a wide range of reforms that will touch on what Republicans have proposed," Kavanagh said. "They haven't proposed anything new. We are aware of the proposed changes Republicans want to make in this house."

Assembly Republicans also advocated for a package of bills that would create eight-year term-limits for legislative leaders, shut down legislators' campaign accounts if they are convicted of a felony, and do away with the much-criticized Joint Commission on Public Ethics.

The Assembly Majority has had preliminary discussions about banning outside income, but Heastie has indicated those conversations are in very early stages. Both the Assembly and Senate majorities are expected to have a larger conversation about reform after Cuomo unveils highly-anticipated ethics reforms in his State of the State address. While Democrats hold power in the Assembly, Republicans control the Senate, albeit by a much slimmer margin.

During a Tuesday morning press conference touting the reforms, Kolb appealed directly to the man responsible for securing the indictments of Skelos and Silver, U.S. Attorney Preet Bharara. "You all read recently that the federal prosecutor has spent a little time in Kentucky talking about ethics," Kolb said. "I think we should invite Mr. Bharara or somebody like him to talk to the New York State Legislature about ethics and corruption."

Kolb said he wanted to send a message to Bharara that some action is being taken to fight the status quo. He said he wants to see the end of the "three men in a room" system whereby the governor and majority leaders of each house decide the budget and most other pieces of legislation without much outside input. Kolb pointed out that two of the three men from recent years are no longer in office, given the indictments of Silver and Skelos.

Bharara has taken to criticizing the situation in Albany and has repeatedly told the public to "stay tuned" regarding new investigations and indictments of state politicians. "There are by my count 213 men and women in the state legislature, and yet it is common knowledge that only three men essentially wield all the power," Bharara said after the arrest of Silver last January. "I must confess a little bit of confusion about this: When did this come to pass? Why has everyone just come to accept it?"

Assembly Republicans proposed a number of reforms that are considered worthwhile by a host of good government groups. The 13 proposed changes included making public the process of selecting a speaker, allowing members to bring one substantive bill to the floor during their two-year term regardless of its support, requiring committee meetings to be webcast and roll call votes recorded, imposing eight-year term limits on committee chairs, and requiring equal funding for each legislator's' office.

John Kaehny of Reinvent Albany told Gotham Gazette that Assembly Republicans failed to reach out to good government groups for their support. "So how serious was this?" asked Kaehny, adding that he would be happy to support "serious recommendations."

Heastie was asked about the progress of the working group last week on The Capitol Pressroom with Susan Arbetter and he responded by asking for patience, saying that the group was finalizing recommendations and still having discussions with members. "I want the message to be that we are open to all kinds of ideas surrounding transparency," Heastie added.

Arbetter then asked Heastie for his thoughts on Assemblymember Jim Tedisco's "Spirit of 76" legislation that would allow a bill to come to a vote if it has the support of 76 members (a majority of the 150-seat Assembly), no matter their party.

"The party in the minority always finds a way to dilute the power of the majority," Heastie responded, "but our kind of government is a majority rules system."

Arbetter pressed Heastie on whether the working group might be considering something like Tedisco's bill.

"The working group is looking for ways to have more transparency, to not have bills bottled up, to come up with ways to make things a little smoother," Heastie told Arbetter. "There are a mountain of things new members feel is a challenge. But in all fairness the workgroup is not looking to undo the majority rule the way we have in our government."

Senate Republicans passed a bill on Tuesday that sets term limits for leadership positions. It is not expected to pass in the Assembly. Kolb told reporters before the rules vote that he would not act unilaterally and term-limit himself if Assembly Democrats failed to pass such a measure.

Assemblymember Steve McLaughlin, of the Capital Region, scolded Assembly Democrats Tuesday, saying, "Thirteen times this body could have voted to reform the way we do business and thirteen times you voted no."

***
by David King, Albany editor, Gotham Gazette
@DavidHowardKing

Cuomo Heads Into State of the State After Big Announcements, With More to Say


cuomo church sots

Gov. Cuomo (photo: Kevin P. Coughlin, Governor's Office)


Governor Cuomo is going big. Decrying a state that has lost its ambition for transformative projects like the Erie Canal, the governor has spent the past week traveling the state and announcing major infrastructure, transportation, and economic development plans. Cuomo has also revealed new pieces of his $15 minimum wage campaign and criminal justice reform policies, among others, as he sets his agenda for 2016 and frames budget negotiations in Albany.

So far, Cuomo has outlined 14 planks of his 2016 platform, providing an extensive preview of his State of the State and budget address, which he will give on Wednesday in the capital. Still, there are key pieces of his speech that the governor has kept under wraps, including what he has said are top priorities: government ethics, homelessness, and education.

It is also unclear what priority, if any, Cuomo will give to policies like the DREAM Act, which he has assured proponents will be in his budget again, but has not given indication of its place in his speech. Advocates are also hopeful that the governor includes a significant paid family leave proposal on Wednesday, and many are watching to see if he unveils a plan for a statewide policy on car-hailing apps, like Uber.

While the governor is clearly going big on infrastructure - with plans that could total $100 billion in costs, according to his office - he has promised to lead with ethics as lawmakers continue to fall to corruption convictions, trust in Albany is low, and New Yorkers say Cuomo has not done enough to clean up state government.

"Top of my agenda is going to be ethics reform," Cuomo, a Democrat, said Jan. 3 on NY1. "We have done a lot in Albany, but we haven't done enough. And I'm going to push the legislature very hard to adopt more aggressive ethics legislation, more disclosure, more enforcement, etcetera."

What exactly this will include is unclear, but good government groups, Attorney General Eric Schneiderman, and many others have put forth recommendations. Chief among these are limiting legislators' outside income and closing the infamous LLC loophole, which allows virtually unlimited campaign donations. Whether Cuomo broaches a public campaign finance system will help gauge how bold he's going on reform.

Wherever ethics does fall, that portion of Cuomo's address is likely to be dwarfed by the volume of discussion of the infrastructure plans the governor has outlined and his discussion of economic justice, including his minimum wage crusade.

The infrastructure plans, which include a new track on the Long Island Rail Road, a revamped Penn Station, road and bridge upgrades, and more, will be attached to the governor's previously announced projects led by a new Tappan Zee Bridge and LaGuardia Airport.

During a Jan. 5 appearance on Long Island, Cuomo said of New Yorkers, "we don't think big anymore. And we don't believe we're capable of doing big anymore. And we don't believe government is a vehicle to do big anymore." But, he promised to resurrect New York's "big" thinking as he announced new plans and referenced ongoing building - all under the banner of this year's tagline: New York State, Built to Lead.

"This year in the State of the State we are going to propose the largest construction project program in modern political history in the state of New York," Cuomo promised. "Roads and bridges upstate, airports upstate and downstate, new mass transit, new attractions, new rail transit and new mass transit downstate which is desperately needed. And we are going to do it region by region."

While Cuomo has outlined the meat of his building plans, he has not gone into detail on how it will all be funded, though he has promised to do so on Wednesday in his executive budget.

Cuomo has called the budget "the most complex piece of legislation we pass," which is true in part because it is a way of doing business in Albany that a good deal of policy is unnecessarily included in budget negotiations. For the governor, whomever it may be, forcing additional policy into the budget is a way of using executive leverage that doesn't exist in post-budget legislative session. For the second straight year, Cuomo is combining his State of the State, which is usually a more policy-focused speech, with the announcement of his budget.

A budget deal is due by April 1, whereas the legislative session continues into June.

Budget watchdogs are eagerly awaiting the details of Cuomo's spending plans. Nicole Gelinas, of the Manhattan Institute, recently wrote in City and State that "Cuomo evidently did not make an important resolution: stop announcing huge infrastructure projects without a way to pay for them."

"The risk in starting lots of new projects without having a way to pay for them," Gelinas wrote, "is that the governor will force the MTA and the rest of the state to scrimp on old stuff that people don't see, like replacing subway tracks and signals."

After all the drama that accompanied Cuomo's negotiations with Mayor Bill de Blasio over an MTA capital spending plan, Cuomo may try to steer clear of criticism for his spending plans. As the Citizens Budget Commission points out, Cuomo continues to have billions of dollars to spend from bank settlements with the state. In outlining 12 things to watch for in Cuomo's budget, CBC asks, "How much will the Governor propose to spend for transportation infrastructure? How much will be borrowing versus pay-as-you-go capital, and will a new revenue source be proposed?"

Throughout his time as governor, Cuomo has prided himself on reigning in state operational spending, and even while outlining his new plans so far this month, Cuomo has touted his brand of fiscal responsibility. It is unlikely Cuomo will outline an increase in state spending above the two percent cap he has followed.

Meanwhile, many, especially from New York City, are watching closely to see what the governor outlines around homelessness, the latest issue on which Cuomo has decided to undermine and supercede de Blasio. Cuomo issued an executive order just after the new year and has promised a robust policy plan in his State of the State.

The plan is likely to include more oversight of homeless shelters, which the state is already responsible for, and of operations aimed at reducing homelessness. How much money Cuomo will dedicate to supportive housing, rental subsidies, and other relevant measures is to-be-seen. De Blasio recently announced a major supportive housing plan and, along with advocates and legislators, called on Cuomo to match it (and create a fourth New York/New York supportive housing deal).

The governor has not yet made clear his education platform for this year, though he has indicated he will follow recommendations made by the common core task force that he empaneled in September and received a report from in December.

Becoming "The Education Governor" has been full of fits and starts for Cuomo. While he has protected and promoted the growth of charter schools, other aspects of his education policy have not gone as planned - these include the rollout of the common core learning standards and tougher teacher evaluations by tying them more closely to the results of student standardized test scores.

The task force recommended a revamp of the common core system, more stakeholder input, a reduction in standardized testing, and increased local control over standards and curriculum. The governor's office said that "no new legislation is required to implement the recommendations of the report," so there could be few specific proposals in Cuomo's State of the State.

The governor did recently announce he will be investing in the community school model, something de Blasio has expanded vastly in New York City, especially with regard to so-called "failing schools" as he tries to turn them around under the threat of state takeover. Cuomo may take aim at hastening school improvement.

On NY1, Cuomo said "many of these failing schools have been failing for over 10 years, believe it or not. And the system, the bureaucracy, has been too tolerant, in my opinion. And we are – we're going to be focusing on the closing schools, we're going to be investing in the school system to make sure we're doing everything we can on the state side."

As he has done before, Cuomo also distanced himself from education-related problems: "Education in this state is run by a department called the state education department," Cuomo said. "It is not under the governor. I wish it were, many governors in the past wished it was...It's run by the Board of Regents, which is selected by the legislature, primarily the Assembly."

Discussing the common core he said, "We started a new curriculum as part of a national movement called the common core curriculum. And that was rolled out over the past few years; that brought with it a testing regimen on the new curriculum. It was not implemented well. It was rushed. It was confused."

Adding that "It created a backlash among parents that frankly shocked everyone," Cuomo mentioned "the opt-out movement, where the parents didn't have the kids take the tests because they didn't like the way it was addressed, they didn't like that the kids were getting lower grades, whatever region."

Cuomo said the state education department has to make significant changes "and bring the parents along. Because if the parents don't have trust in the education system, then you have nothing and that's where we are now," Cuomo concluded, setting the stage for next steps by his administration and the state education department, which is doing its own common core review (new SED Commissioner MaryEllen Elia was named to Cuomo's task force, so there appears to be some, if not significant, overlap).

While there will almost certainly be sections of Cuomo's speech on education, homelessness, and ethics, the bulk will likely be on infrastructure, economic development and opportunity. He'll showcase these efforts through his push for an eventual $15 per hour minimum wage, a downtown revitalization initiative, tax breaks for small businesses, and the major projects he's outlined.

On NY1, Cuomo explained how he sees economic development, saying that "in Upstate New York [it] means basically restoring the economy, and in downstate New York it means growing the future economy – the high tech economy, having the transportation infrastructure to do that – and making sure the economy is working for everyone."

He promised to address "very high unemployment among young minority males, black and brown," which he called "just unacceptable," adding, "We have to make special economic initiatives there."

To follow that up, Cuomo announced new regulations related to spending on minority- and women-owned businesses. Prior to that, Cuomo also announced "the Empire State Poverty Reduction Initiative," a $25 million program to "bring together state and local government, non-profit and business groups to design and implement coordinated solutions to increase social mobility in ten cities with the highest poverty rates in the state."

The governor has promised to continue to fight to raise the age of criminal responsibility in New York from 16 to 18 - New York is one of just two states that automatically treat 16-year-olds as adults in the criminal justice system. Like on several other issues, Cuomo has taken executive action on the issue in the absence of legislation, with a plan to move 16- and 17-year-olds into a separate prison facility from older inmates.

Where other social justice issues that, similarly, the governor has backed before but not been able to pass, like the Gender Expression Non-Discrimination Act (GENDA) and the DREAM Act, are featured in Cuomo's remarks is also being watched closely by supporters of those policies.

The governor published an op-ed this week detailing the measures he's taken to protect transgender New Yorkers in the absence of GENDA passing the legislature, where it has been blocked by the Republican-controlled Senate. Cuomo did not indicate that he would be pushing GENDA forward in his State of the State.

There are also questions around whether Cuomo will include a proposal and dedicated funding for paid family leave, something that de Blasio recently moved on for some city employees and called on the state to pass for all workers.

One other policy area the governor has been quiet on leading up to his address, but he could make waves with an announcement on is app-based car services. When de Blasio was battling with Uber last year, Cuomo jumped into the fray to defend the company, where one of his former top aides now works, and say that a statewide policy is needed. Since then, Uber has waged a campaign across the state, getting many public officials on board. Cuomo may surprise people by outlining state policy around Uber and other e-hailing services like Lyft.

Tune in at 12:30 p.m. Wednesday for Cuomo's speech - stream online at the governor's website - and see below for the full outline of proposals Cuomo has outlined thus far in 2016.

***
by Ben Max, Gotham Gazette
@tweetBenMax

For an outline of all 14 proposals Cuomo has announced thus far, the following was released by Cuomo's office on Tuesday:

The signature proposals announced so far include:

PROPOSAL 1: Restore economic justice by making New York the first state in the nation to enact a $15 minimum wage for all workers. While highlighting this proposal, the Governor announced that the State University of New York will raise the minimum wage for more than 28,000 employees.

More information available here; video and other media available here.

PROPOSAL 2: Launch a comprehensive plan to transform and expand vital infrastructure downstate and make critical investments in the region. Most notably, the proposal includes a major expansion and improvement project for the Long Island Rail Road between Floral Park and Hicksville.

The project will allow the LIRR to increase service, reduce congestion and train delays caused whenever there is an incident along this busy stretch of tracks and will enable the LIRR to run "reverse-peak" trains to allow people to take the LIRR to jobs on Long Island during traditional business hours. By allowing the LIRR to increase service between Floral Park and Hicksville, it will provide a more attractive alternative to driving and thereby reduce traffic on Long Island's major east-west highways, like the L.I.E., Northern State and Southern State, and more trains will make it easier for Long Islanders to reach LaGuardia and Kennedy airports by train.

More information available here; video and other media available here.

PROPOSAL 3: Bolster New York's legacy of environmental protection. The Governor has proposed allocating $300 million for the State’s Environmental Protection Fund – the highest amount ever for the fund and more than double the fund’s level when the Governor first took office. The Governor also announced two major investments in water infrastructure in Suffolk and Nassau Counties.

More information available here.

PROPOSAL 4: Make a series of investments and new initiatives to continue growing the economy and building stronger, more vibrant communities across New York State. These proposals include significant tax relief for small businesses, increased funding to support municipal water infrastructure improvement projects, a new effort to revitalize and transform downtown areas in each region of the state, and a sixth round of the successful Regional Economic Development Council initiative.

More information available here; video and other media available here.

PROPOSAL 5: Invest in Upstate transportation infrastructure. This includes a plan to offer a tax credit that cuts tolls in half for the New York residents and businesses who utilize the Thruway most often – benefitting nearly one million passenger, business and farm vehicles using E-Z Passes; eliminating tolls for agricultural vehicles; and keeping tolls flat until at least 2020 for all other drivers.

More information available here; video available here.

PROPOSAL 6: Transform Penn Station and the historic James A. Farley Post Office into a world-class transportation hub. The project, known as the Empire Station Complex, will feature significant passenger improvements, including first-class amenities, natural light, increased train capacity and decreased congestion, and improved signage to dramatically enhance the travel experience. The project – which is anticipated to cost $3 billion – will be expedited by a public-private partnership in order to break ground this year and complete substantial construction within the next three years.

More information available here; video and other media available here; conceptual renderings are available here.

PROPOSAL 7: Dramatically expand and improve the Jacob K. Javits Convention Center to stimulate the regional economy. The proposal will expand the Javits Center by 1.2 million square feet, resulting in a fivefold increase in meeting and ballroom space, including the largest ballroom in the Northeast. A four-level, 480,000 square foot truck garage capable of housing hundreds of tractor-trailers at one time will also be constructed to improve pedestrian safety and local traffic flow.

More information available here; video and other media available here.

PROPOSAL 8: Modernize and fundamentally transform the Metropolitan Transportation Authority, dramatically improving the travel experience for millions of New Yorkers and visitors to the metropolitan region. This proposal includes a new approach to rapidly redesign and renew 30 existing subway stations across the system. It also includes a number of technology initiatives to bring the system into the 21st century, including expanding Wi-Fi hotspots, accelerating mobile payments and ticketing to replace the MetroCard, and providing USB ports on subway trains, buses and in stations to allow customers to charge their mobile devices.

More information available here; video and other media available here.

PROPOSAL 9: Launch a Municipal Consolidation and Efficiency Competition designed to reward local governments that take real steps to make living and working in New York State more affordable. The competition will challenge counties, cities, towns and villages to develop innovative consolidation action plans yielding significant and permanent property tax reductions. The consolidation partnership that proposes and can implement the greatest permanent reduction in property taxes will receive a $20 million award.

More information available here.

PROPOSAL 10: Dramatically expand and improve access to high-speed Internet in communities statewide. Lieutenant Governor Kathy Hochul detailed this proposal shortly after the New York State Public Service Commission voted to approve the merger of Time Warner Cable and Charter Communications, which will dramatically improve broadband availability for millions of New Yorkers and lead to more than $1 billion in direct investments and consumer benefits.

Additionally, the state issued a $500 million solicitation for private sector partners to join the New NY Broadband Program, which will greatly expand Internet access in all regions of the state, with a focus on unserved and underserved areas.

More information available here; video available here.

PROPOSAL 11: Launch a $200 million competition to revitalize Upstate airports. The proposal is designed to enhance airports throughout Upstate New York, and promote new opportunities for regional economic development and partnership between the public and private sectors.

The Governor made this announcement as he also kicked off the start of renovations that will transform the New York State Fairgrounds site into a premier, multi-use facility. The Governor marked the official start of the historic renovation project with the implosion of the grandstand today.

More information available here.

PROPOSAL 12: Combat poverty and reduce rampant inequality through the Empire State Poverty Reduction Initiative. The $25 million program will bring together state and local government, non-profit and business groups to design and implement coordinated solutions to increase social mobility in ten cities with the highest poverty rates in the state.

More information available here.

PROPOSAL 13: Launch a "Right Priorities" initiative to further New York’s status as a national leader in criminal justice and re-entry reforms. The Governor's proposal will help at-risk youth find positive opportunities in their communities, while also providing citizens who enter the criminal justice system the opportunity to rehabilitate, return home, and contribute to their communities.

More information available here; video and other media available here.

PROPOSAL 14: Increase opportunity for minority- and women-owned business enterprises across New York State.

In 2014, Governor Cuomo established a goal of 30 percent for New York’s MWBE state contract utilization – the highest goal of any state in the nation. However, under state law, that goal only applies to contracts issued by state agencies and authorities; it does not apply to state funding given to localities such as cities, counties, towns, villages and school districts, which amounts to approximately $65 billion annually. This year, the Governor will advance legislation addressing this disconnect by expanding the MWBE goal setting to localities and entities that subcontract with those localities. Doing so will leverage the largest pool of state funding in history to combat systemic discrimination and create new opportunities for MWBE participation.

More information available here.



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