(photo: Isiah James)
May 20, 2020 - Max & Murphy Podcast: Isiah James Runs for Congress in Brooklyn's 9th District
Isiah James is an Army veteran and community organizer running in the Democratic primary in Brooklyn's 9th Congressional District, where he is one of four challengers seeking to unseat Rep. Yvette Clarke. James joined the show to discuss his campaign.
Listen to the conversation and let us know what you think -- we're on Twitter @TweetBenMax and @JarrettMurphy. You can listen to the show through the embedded audio below or download the episode wherever you get your podcasts, under "Max & Murphy," and listen to Max & Murphy live on Wednesdays at 5 p.m. on WBAI radio, 99.5FM or wbai.org.
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by Ben Max, Gotham Gazette
@tweetBenMax @GothamGazette
Rep. Alexandria Ocasio-Cortez (photo: ocasiocortez.com)
Representative Alexandria Ocasio-Cortez of Queens and the Bronx faced three Democratic primary opponents in a Monday evening debate hosted by BronxNet TV and the League of Women Voters of New York State. Ocasio-Cortez, running for reelection for the first time after stunning the world in 2018 by unseating Rep. Joe Crowley in New York's 14th Congressional District, debated opponents Michelle Caruso-Cabrera, Badrun N. Khan, and Samuel H. Sloan. The debate was moderated by BronxTalk host Gary Axelbank.
Ocasio-Cortez was repeatedly attacked by Caruso-Cabrera, who is running as a more moderate, pragmatic candidate to Ocasio-Cortez's democratic-socialist, progressive-firebrand status, while the incumbent fired right back by questioning Caruso-Cabrera's roots in and commitment to the district. The candidates discussed a wide range of substantive issues, from the federal coronavirus response to jobs and health care, while also debating Ocasio-Cortez's voting record.
The primary is open to all Democrats in the 14th Congressional District, and will take place in June, with early voting June 13-21 and primary day on June 23. In addition to in-person voting, all voters have been made eligible to vote via absentee ballot by gubernatorial order, which also required Boards of Elections to mail an absentee ballot application to each eligible voters. Voters in New York City can be even more sure they'll get an application by requeting one from the New York City Board of Elections, and in order to cast an absentee ballot, all voters must return the application, recieve the actual absentee ballot, fill it out, and send it back in.
Watch the NY-14 Democratic primary debate:
left to right: (top) Michael Blake, Chivona Newsome, Frangell Basora, Samelys Lopez
(bottom): Melissa Mark-Viverito, Tomas Ramos, Ydanis Rodriguez, Ritchie Torres
On Thursday, May 14, eight Democratic candidates vying to replace retiring Bronx Congressional Rep. José E. Serrano met for an online debate hosted by Gotham Gazette, City Limits, The Point CDC, and other partners.
The debate, watched by hundreds on Zoom and Facebook Live, with a Spanish translation phone line, can be viewed via the embedded video below.
Participating candidates were Frangell Basora; Michael Blake; Chivona Newsome; Samelys Lopez; Melissa Mark-Viverito; Tomas Ramos; Ydanis Rodriguez; and Ritchie Torres.
The debate was moderated by Gotham Gazette's Ben Max, with questions asked by Daniel Parra of City Limits, Sierra Straker of The Point, and Parker Quinlan of Hunts Point Express/Mott Haven Herald.
Serrano is retiring from Congress after 30 years due to health reasons, so his seat in New York's 15th Congressional District is effectively open and a crowded field has formed in the Democratic primary, set to be decided in June. Given it is one of the most Democratic districts in the country, the winner of the primary is all but certain to be the next member of the House of Representatives from the Bronx district home to some of the highest poverty rates in the country.
Voting is just around the corner: primary day is June 23, with early voting from June 13 through June 21, and all eligible voters will be mailed an absentee ballot given the coronavirus outbreak.
Ruben Diaz, Sr., also a candidate for the office, did not agreed to participate in the debate. (There will be other candidates on the ballot, but they have not mounted serious campaigns as indicated by a total lack of fundraising and were not invited to the dbeate: Mark Escoffery-Bey, Julio Pabon, Marlene Tapper.)
The 15th is the only Congressional district located entirely within the Bronx. It covers Mott Haven, Hunts Point, Melrose, High Bridge, Port Morris, Clason Point, Morrisania, Concourse Village, East Tremont, Tremont, Morris Heights, Castle Hill, University Heights, Bronx River, Belmont, Shorehaven, Claremont Village, Fordham, West Farms, Longwood, Mount Hope, Soundview and Harding Park.
Watch the candidates discuss their records and platforms and answer questions about the coronavirus response, housing, immigration, jobs, and more:
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by Ben Max, Gotham Gazette
@tweetBenMax @GothamGazette
left to right: (top) Michael Blake, Chivona Newsome, Ruben Diaz Sr., Samelys Lopez
(bottom): Melissa Mark-Viverito, Tomas Ramos, Ydanis Rodriguez, Ritchie Torres
With longtime Representative José E. Serrano retiring from Congress after 30 years due to health reasons, his seat in New York's 15th Congressional District is effectively open and a crowded field has formed in the Democratic primary, set to be decided in June. Given it is one of the most Democratic districts in the country, the winner of the primary is all but certain to be the next member of the House of Representatives from the Bronx district home to some of the highest poverty rates in the country.
With the vote just around the corner -- primary day is June 23, with early voting from June 13 through June 21 and all voters eligible for absentee balloting given the coronavirus outbreak -- 8 of the Democratic candidates will debate on Thursday, May 14, from 6-8 p.m.
The debate, hosted by Gotham Gazette, City Limits, The Point CDC, and other partners, will be streamed via Zoom (at this link) and Facebook (at this link).
The debate will also be translated in Spanish at 1-800-719-6100 followed by the access code of 1157388. Those interested in Spanish translation can watch the debate by Zoom or Facebook while listening via the aforementioned phone line.
The participating candidates include: Frangell Basora; Michael Blake; Chivona Newsome; Samelys Lopez; Melissa Mark-Viverito; Tomas Ramos; Ydanis Rodriguez; and Ritchie Torres.
Ruben Diaz, Sr., also a candidate for the office, has not agreed to participate in the debate. (There will be other candidates on the ballot, but they have not mounted serious campaigns as indicated by a total lack of fundraising: Mark Escoffery-Bey, Julio Pabon, Marlene Tapper.)
Gotham Gazette editor Ben Max will moderate the debate, and panelists will include Sierra Straker of The Point CDC's youth advisory group; reporters Daniel Parra of City Limits and Parker Quinlan of the Hunts Point Express and Mott Haven Herald.
The 15th is the only Congressional district located entirely within the Bronx. It covers Mott Haven, Hunts Point, Melrose, High Bridge, Port Morris, Clason Point, Morrisania, Concourse Village, East Tremont, Tremont, Morris Heights, Castle Hill, University Heights, Bronx River, Belmont, Shorehaven, Claremont Village, Fordham, West Farms, Longwood, Mount Hope, Soundview and Harding Park.
Tune in at 6 p.m. on Thursday, May 14 via Zoom or Facebook.
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by Ben Max, Gotham Gazette
@tweetBenMax @GothamGazette
Adem Bunkeddeko out campaigning (photo: @adembunkeddeko)
May 13, 2020 - Max & Murphy Podcast: Adem Bunkeddeko Runs Again in Brooklyn's 9th Congressional District
Adem Bunkeddeko almost upset Rep. Yvette Clarke in the 2018 Democratic primary in Brooklyn's 9th Congressional District, coming within about 2,000 votes, and is trying again this year. He joined the show to discuss his campaign, what's changed since 2018, and why he believes Clarke is not performing well as the district's representative in the House of Representatives. The primary is set for June 23, with early voting beforehand from June 13-21.
Listen to the conversation and let us know what you think -- we're on Twitter @TweetBenMax and @JarrettMurphy. You can listen to the show through the embedded audio below or download the episode wherever you get your podcasts, under "Max & Murphy," and listen to Max & Murphy live on Wednesdays at 5 p.m. on WBAI radio, 99.5FM or wbai.org.
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by Ben Max, Gotham Gazette
@tweetBenMax @GothamGazette
Rep. Yvette Clarke (photo: @RepYvetteClarke)
May 13, 2020 - Max & Murphy Podcast: Rep. Yvette Clarke on Why She Deserves Another Term in Congress
Rep. Yvette Clarke survived a close challenge in 2018, where in the Democratic primary the incumbent won by 2,000 votes against challenger Adem Bunkeddeko. As Clarke pursues another two-year term in the House of Representatives this year, Bunkeddeko is challenging her again, and several other candidates have jumped into the race as well. Clarke joined the show to discuss why she believes she deserves another term, how she responds to his critics, how the COVID-19 outbreak has changed things, what she learned from 2018, and more. The primary is set for June 23, with early voting June 13-21 and all voters eligible to vote by absentee ballot.
Listen to the conversation and let us know what you think -- we're on Twitter @TweetBenMax and @JarrettMurphy. You can listen to the show through the embedded audio below or download the episode wherever you get your podcasts, under "Max & Murphy," and listen to Max & Murphy live on Wednesdays at 5 p.m. on WBAI radio, 99.5FM or wbai.org.
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by Ben Max, Gotham Gazette
@tweetBenMax @GothamGazette
Mayor de Blasio & Senator Schumer (photo: Michael Appleton/Mayor's Office)
As the coronavirus crisis drains city coffers with an enormous level of emergency government spending and the mandated shutdown of the economy has led tax revenues to plummet, New York City faces an estimated $8.7 billion budget gap. Mayor Bill de Blasio has said the hole is dire and the extent to which the city will be shored up to weather the storm depends largely on what it will receive in federal aid.
While lobbying and negotiations continue that question is still up in the air, but a new report from the New York City Independent Budget Office (IBO) estimates the city government will receive $5.3 billion from the four federal coronavirus ‘stimulus’ packages that have been passed thus far, mostly over the course of the current and upcoming fiscal years. The federal funds have been targeted toward reimbursements for expenditures in the coronavirus fight, not to make up for missing tax revenue, which is the source of an ongoing push by city and state elected officials.
The funding falls into four categories identified by IBO: public health, community development and housing, education and child care, and social services and criminal justice. Other public agencies that provide government services but fall outside the city budget, like the transit and housing authorities and the city's public hospital network (a huge expenditure), have or will receive federal funding but are not included in the IBO's estimate.
The report also does not account for reimbursements to city government from FEMA, the Federal Emergency Management Administration, money from which flows outside the ‘stimulus’ packages. (And the report's final tally also does not include the $620 million IBO estimates will go directly to individual New Yorkers through the Supplemental Nutrition Assistance Program, or food stamps, among other direct aid to individuals and families.)
As of May 7, New York City had already spent $1.4 billion in response to the coronavirus outbreak and in the executive budget proposal for Fiscal Year 2021 the administration estimated up to $3.5 billion could be spent on the effort by the end of this calendar year. That estimate may be dwarfed by the reality, as city spending has doubled over the last three weeks. The IBO predicts the city's tax revenue shortfall over the current and next fiscal years will total $9.5 billion.
"The majority of the $5.3 billion in aid that IBO projects the city will receive must be used to cover direct costs incurred by the city due to the Covid-19 pandemic or to fund programs that provide aid to city residents impacted by the resulting downturn, such as increased funding for existing food and rental assistance programs," the report reads.
At his press briefing on Sunday, de Blasio continued to stress the need for a federal “bailout” of the city’s budget. "We have to get support to allow us to keep going in this city, to be made whole to be able to provide those services,” the mayor said. “But especially since we don't know what's going to happen in Washington, we right now are absolutely dependent on whatever resources we can get.” De Blasio has also stressed the need for federal aid for some of the most essential components of getting the economy restarted, including COVID-19 testing and contact tracing of those who test positive.
"Everything hinges on the stimulus, our ability to support the people of this city," he added. "And if it comes, you know, we're going to be able to be helpful in a lot of ways. If it doesn't come, it's going to be very, very difficult."
New York State has been hit harder by the outbreak than any other state and New York City represents the worst of the crisis. As of Monday afternoon, almost 179,000 people have tested positive, and nearly 45,000 have been hospitalized citywide to date, with nearly 20,000 confirmed or suspected deaths.
The city has already received $2.3 billion from federal stimulus packages for the current and upcoming fiscal years, according to a spokesperson for the mayor. The spokesperson could not confirm the IBO's estimates, which peg another roughly $3 billion due to the city.
A significant portion of the federal funding the IBO estimates the city could receive will be given to the state to be distributed to localities, though the amount is not specified. As of a recently-released budget plan, Cuomo is planning to slash billions of dollars in aid to localities and this year’s budget language gives him the authority to do so throughout the fiscal year, though the governor has stressed he prefers for the federal government to come to the state’s rescue.
Governor Cuomo has said that, while the federal aid is useful in responding to the immediate public health needs raised by the crisis, it does little to address the state's massive revenue losses, which are estimated to be between $10 and $15 billion this year, which could mean significant reductions in state aid to localities.
A majority of the federal funding the city will get comes from Washington's third and largest ‘stimulus’ bill, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, which set aside $2 trillion "in direct support to households, businesses, states, some local governments, and the health care industry," according to the IBO report.
"The federal stimulus bills have provided significant funding, but most is to cover new pandemic related spending,” wrote Ana Champeny, Director of City Studies at Citizens Budget Commission, a nonprofit fiscal watchdog, in an email to Gotham Gazette. “The City plans to use about $2 billion in federal aid to help close its budget gaps. But this will not solve the whole problem or address the significant risks that the economy will be worse than projected and that the State may make significant local aid cuts. The City should identify significantly more recurring savings to manage this fiscal crisis, even if it receives additional federal aid in the future.”
The IBO notes uncertainty in its report. "New data is being released on a near-daily basis, however, and details of many of the local funding formulas have yet to be published," the report states.
Over $1.5 billion, a full quarter of the estimated funding, will come from the CARES act directly to the city under a provision that allows local governments with populations over 500,000 to receive funding directly, which would otherwise go to states. The act mandates these funds go to “necessary expenditures incurred due to the public health emergency with respect to the Coronavirus Disease 2019,” and spending from this pot must happen within the calendar year and only for costs not included in the city's budget before the law was signed, according to the IBO report. That amount is almost identical to what New York City government says it has spent so far, mostly through the city’s Department of Citywide Administrative Services and the city’s public hospital system, NYC Health + Hospitals.
Public Health
The largest federal funding area is for the city's public health response. The IBO estimates the city will get $1.9 billion from health-care provisions across the four stimulus packages. Half of that is likely to come from restructured Medicaid funding, which is controlled by the state and can be passed onto the city by an "expected" $1 billion "if the state allows the savings...to flow through to localities across the state," according to the IBO report.
The IBO estimates another $845 million to go to the New York City health department for COVID-19 testing and another $44 million could go to contract tracing, personal protective equipment, and expenses related to monitoring the virus' spread. In a controversial move, Mayor de Blasio recently announced that Health + Hospitals would run the contact tracing program instead of the health department, though health department leaders will be involved, per the mayor’s plan.
Community Development and Housing
The second largest funding category is for community development and housing, totaling roughly $972 million, almost half of which (nearly $473 million) is in new Community Development Block Grants. The IBO notes requirements on spending the block grant funding is "relatively flexible" and can go to anything from new construction to economic development and professional training programs. Another portion of roughly the same amount will go to homelessness and housing programs.
Education and Child Care
About $927 million from the CARES Act will go to education and child care services in New York City. A vast majority of that, $716.9 million, comes from the federal Education Stabilization Fund to the state to be passed on to the city. This new funding is offset in the state's enacted budget for Fiscal Year 2021, which Cuomo signed one week after the CARES Act became law, by a "Pandemic Adjustment" -- a reduction in school aid to the tune of exactly that same amount: $716.9 million.
While the federal funding "represents a considerable sum to help pay for the city’s Covid-19 response, it does little to address the $9.5 billion shortfall in city tax revenue that IBO expects to result from the economic downturn caused by the pandemic over the 2020 and 2021 fiscal years," the IBO report notes.
Roughly $131 million more will go to supportive programs like child care, student nutrition, and head start programs for children below school age.
Social Services and Criminal Justice Programs
The smallest of the four broad categories of aid the IBO identified is for social services and criminal justice initiatives, which account for almost $84 million in federal support. Over a third of that comes through the Community Service Block Grant and will go mostly through the city's Department of Youth and Community Development, according to the report. A little over $18 million more will go toward senior meals services. Almost $14 million will go to housing assistance and support for low income individuals and people living with HIV/AIDS. Federal lawmakers allocated $1 million in additional child welfare funding.
IBO estimates the CARES Act will allocate just under $13 million for Justice Assistance Grant funding, which is used by the NYPD, Department of Correction and the Mayor's Office of Criminal Justice to fund criminal justice-related expenses.
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by Ethan Geringer-Sameth, reporter, Gotham Gazette
@GeringerSameth @GothamGazette
Gov. Cuomo at the NY Census Conference (photo: governor's office)
According to plans, New York state government would have spent the equivalent of $70 million this year on its effort to ensure that all New Yorkers are counted in the 2020 Census. But as the state has experienced a devastating coronavirus outbreak, that effort has, for all appearances, never gotten off the ground, and Governor Andrew Cuomo’s administration has done little to inform residents that it is in their best interest and that of the entire state to fill out the Census.
The decennial population count, mandated by the United States Constitution, determines the amount of federal funding states receive for all manner of programs from children’s insurance and food stamps to transit infrastructure and public housing. It also forms the basis for drawing electoral districts at the local, state, and federal levels, dictating how many seats each state will hold in the House of Representatives for the next decade.
Owing to the pandemic, city, state, and federal officials have been forced to cancel on-the-ground efforts to conduct outreach and to physically count households. Instead, they are focused on ensuring a greater self-response rate, particularly since the Census can be filled out online, making it easier to be counted than in previous censuses. (It can also be filled out by phone and through a paper questionnaire that the U.S. Census Bureau mailed to every household that did not respond online or by phone by April 8). The self-response deadline was also extended from July 31 to October 31.
But, among New York’s population are many “hard-to-count” communities, which tend not to respond to the census on their own in large numbers, either because of a general mistrust of government, apathy, or unfamiliarity with the process. They include seniors, African Americans, Native Americans, immigrants (particularly the undocumented), people experiencing homelessness, public housing residents, and others. Those segments of the population all tend to be undercounted, which also means they lose funding for valuable services and their voices in the political process. Already, because of a loss of population over the last ten years, New York could lose one Congressional seat, and two in the case of a severe undercount.
New York is already lagging behind. As of May 9, the state’s self-response rate was 52.7%, compared to a national rate of 58.3%, according to the CUNY Mapping Service’s Census data project.
Now more than ever, because of the coronavirus, activists have stressed the need for a broad campaign to make New Yorkers aware of the importance of filling out the Census. Federal funding for health care programs and social services will be vital after the pandemic passes. For future outbreaks and other crises, census data will be indispensable. For instance, during last year’s measles outbreak in New York City, health officials relied on census information to decide where vaccinations were needed.
New York City took heed of this urgency well before the pandemic. Mayor Bill de Blasio’s administration and the City Council together committed $40 million to outreach, with $19 million awarded to community-based organizations that could reach hard-to-count populations on the ground and millions more in advertising and other efforts. After the pandemic hit, they quickly suspended all in-person outreach and shifted strategies, launching phone-banking and text-banking efforts, and altered an ad campaign that was already in the works.
New York State has shown none of the same commitment, even though Governor Cuomo and the Legislature added another $10 million in census outreach funding in the state budget that was passed in April. The state had intended on providing $20 million in grants to nonprofits around the state, money that had been appropriated a year prior, in April 2019, but delayed the grant process till even after the 2020 Census count had already begun. When the coronavirus outbreak began, not a single dollar had gone out.
Cuomo also announced in November that state agencies would be committing $40 million worth of their time and other resources to ensuring a full count, but those agency-by-agency plans, which the governor said would be formed and pledged to release publicly, do not appear to exist -- recent Gotham Gazette requests for them have been ignored.
“Due to the COVID-19 pandemic, and in order to protect the health and safety of all New Yorkers, the federal government and New York State have suspended in person census outreach at this time,” said Kristin Devoe, a spokesperson for Empire State Development, the state quasi-agency that is now overseeing the grant process. “The State remains committed to ensuring a complete and accurate count and will be advancing media outreach targeted at our hard to count populations. Every New Yorker counts and ESD hopes to safely restart the NYS 2020 Census Complete Count Outreach Grant funding as soon as possible.”
Devoe said the grants had not been awarded because they were meant for in-person outreach, which is effectively impossible at this point during the pandemic. “Until we can safely have face to face interactions, this grant is on hold for public health reasons,” she said.
The state census effort had earlier been under the auspices of the Department of State and Division of Budget. There is also meant to be a work group coordinating agency plans. But, despite repeated requests, state officials have not provided any details of how those plans have evolved after the outbreak. Devoe also did not say why ESD is now in charge of the process or respond when asked about who sits on the workgroup and who leads it. There is no public information to suggest the workgroup exists. The governor’s office did not respond to a separate request for comment.
Activists who have spent the last two years preparing for the Census, and are still doing all they can to spread awareness of it and encourage New Yorkers to fill it out, have been disappointed by the state’s lack of commitment.
“It's unfortunate. Obviously, the funds would be necessary at this point and certain areas of the state, we know they are not doing the work just because they don't have the money to do the work,” said Meeta Anand, Census 2020 Senior Fellow at the New York Immigration Coalition, a statewide organization that advocates for immigrants. NYIC is a member of NY Counts 2020, a statewide coalition formed to ensure an accurate census count.
Anand noted that with the self-response deadline extended, the state could dole out the $20 million in grants to help community-based organizations conduct the types of outreach that New York City and its grantees have turned to, including phone-banking and text-banking. “There's still a lot of time to turn this around and get New York out of the basement,” she said.
As Anand noted, Cuomo has spent weeks criticizing the federal government and Republicans in Congress for their recalcitrance in bailing out New York from the fiscal devastation of the coronavirus. He has repeatedly pointed out that New York sends billions of dollars more in tax revenue to the federal government than the federal funding it receives every year. An accurate census would help mend that imbalance. “He's the governor of New York and he wants us to have our fair share of resources. I'd like to believe that he cares, but I would need to see some words and action to give me that belief,” Anand said.
In January, Cuomo kicked off state census operations and created a Census Council -- headed by Martin Luther King III, Lucy Liu, and Lin-Manuel Miranda -- to convene conferences and direct census outreach. “As this federal administration continues to disenfranchise immigrant communities and use every means possible to stop them from filling out this year’s Census questionnaire, we are taking aggressive actions to ensure every single New Yorker is counted,” Cuomo said at the time. He has since fallen silent on the issue and it’s not clear the council has done anything.
Rachel Bloom, director of public policy at Citizens Union, a government reform group, and a member of the steering committee of NY Counts 2020, reiterated the governor’s relative indifference to the Census. “He's never been that invested in the Census,” she said. “I think that’s evidenced by the fact that he has these press conferences every day where he talks for an extended period, he has an enormous platform, and he hasn't yet discussed the Census.”
Besides a simple “fill out the census” message at his daily briefings, Bloom said the state could be doing much more even in the current circumstances. “People are interacting with the government more than ever,” she said, citing the millions of people filing for unemployment insurance and the many thousands lining up at food pantries. “They're getting government services more than ever,” Bloom said, “so it’s a ripe opportunity in those interactions to remind people to fill out the Census.”
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by Samar Khurshid, senior reporter, Gotham Gazette
@samarkhurshid @GothamGazette
A protest to push for New York pension system divestment from fossil fuel stocks (photo: @350)
The oil and gas industries are experiencing significant upheaval as the coronavirus pandemic decimates economies across the globe. The price of crude oil in the United States temporarily fell below $0 per barrel for the first time ever last month, prompting renewed energy among activists and elected officials in New York who want to rid the state pension fund of all investments in the fossil fuel industry.
But the one person they must convince, State Comptroller Tom DiNapoli, has remained steadfast that the stocks remain good investments, though he's made a number of concessions, investing in more renewable energy companies and studying options around divestment.
In recent years, as the threat of climate change becomes evermore urgent and parts of the world have made moves away from fossil fuels, New York State has passed sweeping energy sector reforms and set goals and regulations to transition towards renewable sources of energy.
But the New York State Common Retirement Fund, the public pension fund for over a million current and retired New York employees, continues to invest heavily in fossil fuel company stocks. Currently worth $210.5 billion, the fund had more than $13 billion invested in fossil fuel companies at the end of March last year, according to an analysis by 350.org, an international climate change advocacy movement that has been at the forefront of the push to get public entities to divest from fossil fuels. The group’s report found that, in the last year, the pension fund has lost more than $1.5 billion in value in its investments in 16 oil and gas companies, a trend that they said is unlikely to be reversed even after the coronavirus pandemic passes.
As the sole custodian of the pension fund, Comptroller DiNapoli, a Democrat who has held the seat since 2007, has taken steps towards investments in fighting climate change through the pension fund. In June of last year, he released his Climate Action Plan, which aimed to double the pension fund’s investment in sustainable climate solutions from $10 billion to $20 billion over ten years, and to promote climate risk management and assessments in the companies under the pension portfolio, among other steps.
DiNapoli has resisted calls for divesting the fund from the fossil fuel industry, even as some New York City public pension officials have moved aggressively toward divestment. DiNapoli has consistently argued that fossil fuel industry investments continue to produce sound returns, satisfying his number one obligation to retirees, and that he can be an activist investor and push companies to adopt more environmentally beneficial policies.
“Climate’s a big issue and just selling stock in fossil fuel companies is not gonna solve it,” he said in a general election debate in 2018 when he was running for reelection. “[W]e have to go through a societal change and for now, in the short run, we still are making money from the oil and gas stocks.”
Even after the value of oil went negative in April, DiNapoli indicated no change in his approach. “Our position remains the same on divestment,” said Jennifer Freeman, a DiNapoli spokesperson, in an email. “Across the board, industries have been hurt by COVID-19. We continue to move forward on our Climate Action Plan. No developments that we'd comment on.”
DiNapoli’s arguments don’t hold water for activists, who point out that fossil fuels have been a bad financial investment for years overall. The fund’s investments in companies that use fracking to extract fossil fuels are also seen as particularly hypocritical in a state where the governor banned the practice five years ago and with the Legislature codified it into law in this year’s budget.
“Yes, divest for moral reasons, but my goodness, you really should be divesting for financial reasons,” said Mark Dunlea, co-founder of New York’s Green Party, who ran against DiNapoli in 2018 on the single issue of fossil fuel divestment.
“When you have world leaders saying, ‘We have to stop using fossil fuels, whether it's five years from now or 15 years from now’...That's not a viable business model moving forward,” he said about maintaining those investments.
In recent weeks, activists and elected officials have escalated their push for the Fossil Fuel Divestment Act, sponsored by Manhattan State Senator Liz Krueger and Brooklyn Assemblymember Felix Ortiz, both Democrats, that would require the comptroller to divest the pension fund from major oil, gas, and coal production companies over five years.
The New York Youth Climate Leaders, a statewide youth coalition, held a virtual lobby day on April 21 ahead of Earth Day, speaking with nearly 40 members of the Legislature in virtual and phone conferences. They blasted out to lawmakers and on social media a video that features pensioners and high school students supporting the divestment call.
Both Ortiz and Krueger have pledged to push for the bill’s passage in the limited time remaining in the Legislative session this year, though most legislation has been put on the backburner because of the pressing conditions imposed by the coronavirus outbreak.
“I think the timing cannot be better in these horrible circumstances,” said Assemblymember Ortiz, in a phone interview, noting that the adverse impacts of climate disproportionately harm communities of color. “A tough time can give us the opportunity to bring vision solutions...I think we need to make sure that we continue to move the ball forward and continue to embrace this conversation.”
The Senate version of the bill recently gained majority support in the chamber, with 33 sponsors; the Assembly version has 52 sponsors and would need 76 in total for a majority. Even Governor Andrew Cuomo has supported divestment since 2017, though Cuomo has not been especially vocal about divestment nor taken up the Divestment Act in his lengthy annual agendas. The governor has taken his own efforts to pursue similar measures by the parts of state government he controls, made the aforementioned fracking moves, and worked with the Legislature to pass the sweeping Climate Leadership and Community Protection Act.
Krueger said though the bill has not passed, there have been similar models followed in other jurisdictions. “So we are moving the world while we're perhaps not speeding ahead of the rest of the world,” she said in a phone interview. Just the discussions around the bill and the pension fund’s investment in “stranded assets” like oil and gas that are slowly losing value have been effective in pushing DiNapoli towards their goal, she said.
As Krueger noted, DiNapoli hasn’t completely ignored the advocacy efforts. In January of this year, DiNapoli announced that he would review whether 27 coal companies that the fund has invested in are moving towards more sustainable business models. “Investors who fail to face the risks and seize the opportunities presented by climate change put their portfolios in jeopardy,” DiNapoli said. “We are assessing minimum standards for transition readiness at coal mining companies first, because they face the greatest risk as the world turns to cleaner and renewable energies. If a particular company is not ready to move away from its reliance on thermal coal mining for profits, we may divest our holdings in that company.” The review was expected to last several months.
“I would say it's probably five years too late for the coal industry,” said Richard Brooks, campaign coordinator with 350.org, who otherwise praised the move. “But if he's going to continue to do these reviews, he needs to accelerate these reviews and do it across all of the energy sector.”
Krueger echoed Brooks’ urgency. “If you look at [DiNapoli’s] handling of our pension funds, you can't really say he's not paying attention to the issue. He just doesn't want the Legislature to be able to insert itself into what he defines as his authority,” she said. “And he thinks that he is moving us in exactly what direction we should be going. I don't disagree with him on the direction, I disagree with him on the speed at which we are getting there.”
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by Samar Khurshid, senior reporter, Gotham Gazette
@samarkhurshid @GothamGazette
Senators Ramos and Gounardes (photo: NY Senate)
A group of Democratic state senators, mostly from New York City, gathered in a digital forum Wednesday night to discuss the government’s COVID-19 response. The virtual event, held in partnership with the Fiscal Policy Institute (FPI), a nonprofit liberal think tank, covered topics including the state budget, impending cuts and proposals to raise revenue, and legislation to address ramifications of the virus.
Eight senators, or a fifth of the Democratic majority in the 63-seat chamber, participated in the online discussion.
New York’s new state budget, passed in early April by the Legislature in partnership with Governor Andrew Cuomo, a third-term Democrat, was a main topic of conversation, including critical comments from the senators about the governor. Many state legislators, mostly in the Assembly, voted against budget bills this year, despite the fact that they were representative of compromise among two Democratic majorities and the Democratic governor. Some senators voted against certain pieces of the budget, while others criticized the deal but voted for it anyway.
The budget included significant cuts to planned spending as the state faces a massive drop in tax revenue -- estimated at roughly $10 billion to $15 billion - due to the coronavirus fallout, which comes on top of a roughly $6 billion budget gap that the state had to close leading up to adoption of the spending plan.
The budget agreement included no significant new revenue-raising measures, such as tax increases on higher earners, nor did it include as grave cuts as some feared. But it also gave the governor significant leeway to make budget changes throughout the year, depending on the tax revenue picture (the Legislature retained the right to overrule the governor, but it would have to come up with its own plan to slash spending).
And on April 25, the Cuomo administration announced an additional $10 billion in cuts, mostly -- at $8.2 billion -- in aid to localities, a category that covers education and much more, as well as a $1.6 billion cut to state agency operations and $293 million to debt service, according to information provided during the senators’ event.
“It’s very bleak, it’s very difficult,” Queens Senator John Liu said of the budget situation.
“The Cuomo cuts are fake austerity, and we’ve been living with this fake austerity for a while,” said Queens Senator Jessica Ramos. “Before the pandemic, we were already in a deficit. There’s nothing worse than saying we don’t have the money when we’re not proactively wanting money.”
Brooklyn Senator Andrew Gounardes agreed, saying that now is “not a time to practice and preach austerity politics, this is not a time to be cutting budgets, this is a time to be investing in people.”
Ron Deutsch, the executive director of FPI, blamed the “austerity” on Cuomo’s “arbitrary” 2% cap on annual state spending increases.
“We’re still maintaining this austerity mindset, this scarcity mindset that we can’t possibly spend more than 2%,” Deutsch said. “This 2% is an arbitrary figure, it has no basis in reality. It’s just something the governor wants and pushes for. And what has it resulted in. It has decimated human services programs across this state. We’ve seen a significant reduction in human services.”
The participants moved from the state budget to federal stimulus money with senators discussing why they believe New York didn’t get more aid from the $2 trillion package, and if New York could receive more aid going forward.
“The state cannot pull us out of the hole that we are in, we’re not allowed to run a deficit, we have to balance the budget,” said upstate Senator Rachel May. “And when we’re talking about $13 billion that we’re in the hole, even with the great ideas people have mentioned about raising revenue, we need help from the federal government.”
The recent $2 trillion federal aid package provided $150 billion for state aid, which was distributed based on population. This, many of the senators agreed, was the inherent issue with it.
“We got anywhere from $6-7 billion out of the $150 billion, and that’s the problem, we didn’t get treated fairly,” said Liu. “How do you allocate state aid based on population when at the time we had between one-third and one-half of the [coronavirus] cases. If we had gotten one-third of the $150 billion, we would have gotten $50 billion. And that right there would have solved many of our problems. Not only to provide enough aid to our state government and to localities, for schools, for firefighters, for teachers, for police officers, for ambulances. It also would have helped us in our programs to cancel rents, and with mortgage payments. That is the kind of assistance, real assistance, we need in a federal stimulus package. We are a very rich state, that’s for sure, but even the richest state can't get out of this humongous disaster by ourselves.”
Manhattan Senator Robert Jackson agreed, saying, “when you talk about fair share, you can talk about population, but when you talk about that, New York City and New York State as the epicenter of this pandemic, that’s where the resources should have come to.”
“We need assistance from Washington,” said Liu. “I don’t want to take away from that argument, I don’t want to be negotiating against ourselves. We absolutely need the aid from Washington in the form of unrestricted state aid. But we also need our own proposals, because [the federal government] might not give us enough to fill the $13 billion hole we’re in. Rather than suffer ridiculous cuts to schools and healthcare and other vital state services, we need to think of these proposals as quickly as possible and keep them on the front burner.”
The conversation then turned to ways in which the state could raise revenue to help plug its deficit and avoid making huge cuts to education, health care, and more. The most heavily discussed revenue raising policy was an ‘ultra-millionaire tax.’
“The wealthiest 1% pay a smaller percentage of their income in taxes than do the poorest 20% of New Yorkers,” said Deutsch. “How do we justify that in a state with so much wealth. Our tax system is completely upside-down and we need to reverse that. We are behind numerous other states when it comes to the progressivity of our income tax structure.”
Such an action would be far from unprecedented, it was noted. After September 11, 2001 the Republican leader of the Senate and the Democratic leader of the Assembly came together to propose higher taxes on the wealthy, overriding Governor George Pataki’s veto, according to Deutsch.
Similarly, after the financial collapse in 2008, the state was facing a huge budget gap. Governor David Paterson led the institution of higher taxes on millionaires, which became known as the first “millionaires tax” surcharge, which has been in place since, renewed several times despite the original notion that it would be temporary.
Ramos added that she introduced, and is working with partners on a soft rollout of, a worker bailout that would tax billionaires’ asset growth. “It could generate $5 billion for us every year,” Ramos said. “So this year we would want to use it to help those who don’t have any safety net,” and give $3,300 per month during the pandemic to those who aren’t eligible for or don’t qualify for a wage assistance program, she said. Liu called it a good proposal on top of the revenue raising proposals that have already been put forward.
He added that taxing millionaires more in New York is not out of the question, reiterating what Deutsch had said previously, that New Yorkers are not taxed as high as top earners in other states. In California for example, top earners are taxed 5% more than top earners here, he said.
Cuomo and the Senate Democratic conference have been against raising taxes on higher earners, and as the coronavirus recession set in just before the budget was negotiated, there appeared to be little discussion of it as a possibility.
Liu also emphasized what he sees as the importance of a pied-a-terre tax and that it should be “at the very top of the list,” imposing a tax on non-primary luxury homes, which Liu pointed out are owned by wealthy people and are often not lived in. He says it could raise many millions of dollars per year. Brooklyn Senator Julia Salazar and Bronx and Wechester Senator Alessandra Biaggi agreed with Liu.
Biaggi also made a push for two policies that would bring in state revenue and have been discussed in Albany for quite a while -- legalizing adult use of marajuana and legalizing mobile sports betting. She said both would be good opportunities to use well-considered legislation to raise revenue in a time when it is necessary.
Salazar said there are more than a dozen serious proposals to raise revenue and it’s a “shame that in the budget these revenue sources were not considered.” During this crisis, she said, the Legislature has an “ethical obligation” to help New Yorkers make ends meet.
Biaggi mentioned her push for a bill that is a constitutional amendment that would allow the Legislature more power to amend the budget before its adoption. New York’s budget law and process is notoriously governor-dominated, what Biaggi called “an inordinate amount of power over the budget.”
She said her bill seeks to equalize the power between the executive and legislative branches of government, and rebalance the power. Before it can be put into the constitution, the amendment needs to pass through two consecutive legislative sessions and go to a public vote.
Gounardes agreed with the importance of Biaggi’s bill and said that in the current system “we don’t have the ability to submit our own budget document” and it “ties our hands when it comes to the budget.” May added that “the other articles in the constitution say the Legislature shall provide for basic education or all our children, for roads and bridges, all kinds of things -- it’s our responsibility, but we don’t have the power to put together a budget that can allow us to carry out our responsibility.”
Jackson said he is putting forward a bill that would allow for tenants to use their security deposits to pay rent during the pandemic. “If your situation is such that you can’t afford to pay you rent, the first thing you should do is communicate with your owners,” said Jackson. “If the landlord says no, then it’s our job to pass the legislation.”
Salazar has also put forward a rent bill, the Emergency Coronavirus Affordable Housing Preservation Act, colloquially known as Relief for All.
“What this bill proposes is not only relief for residential tenants and also commercial tenants, making sure that for property owners whose tenants have been impacted they will also have relief,” she said during the digital forum. “Additionally, and this is to address the concerns of nonprofit affordable housing, we are also providing relief to them, looking out for them, because they are going to be experiencing long term effects from the economic crisis that we’re facing.”
Another senator, Queens’ Michael Gianaris, who the deputy majority leader and was not part of the event, has been leading a “cancel rent” push, with his own legislation to enact a rent moratorium for those significantly impacted financially by the coronavirus fallout, with the state stepping in to help make landlords whole. Gianaris has also said he wants to see the federal government step up so the state doesn’t have to shoulder the burden on top of its existing budget hole.
Brooklyn Senator Zellnor Myrie, who also participated in the forum, has put forward a bill, the Do No Harm Act, to “prevent disproportionately impacted populations from being further victimized in the wake of budget cuts resulting from the COVID-19 pandemic,” according to the bill text.
“This has not begun with COVID-19, this was a process decades in the making, particularly for black and brown communities where we refused to invest in preventative care, we refused to invest in affordable housing, education, nutrition,” Myrie said. “All of those comorbidities were brought into sharp relief at the advent of this crisis.”
His bill “requires that any budget cuts due to the COVID-19 pandemic that disproportionately affect certain populations identified by disparities in rates of infection and death due to race, age and zip code based on demographic data provided by state and local departments of health be accompanied by a remediation plan to offset the disproportionate impact of those cuts.”
Myrie also said he has a bill pending that would provide the New York Attorney General more investigatory power to look into nursing homes during this pandemic. Myrie explained that nursing homes “have been their own epicenter” and in need of more oversight.
Senators also mentioned a variety of worker protection bills. Jackson said he put forward in January an amendment to labor law, seeking to redefine employment. The bill seeks to “reclassify more workers as employees rather than independent contractors in order for them to receive benefits such as healthcare and retirement,” Jackson said, also connecting the definition to times of crisis with so many independent contractors also losing work but having a harder time with unemployment benefits.
Ramos mentioned her legislation to expand the whistleblower law. There have been cases in the news of healthcare workers saying they don’t have enough personal protective equipment (PPE) and getting fired. Ramos said she wants to ensure that these individuals don’t suffer consequences for speaking out.
“We have not been physically in Albany, but that does not mean we have not been at work,” Liu said. “Answering constituents’ requests everyday, talking amongst ourselves about the legislation that has been proposed.” Either virtually or physically in Albany, he said, “Either way we are going to get work done and pass bills that are needed.”
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by Katie Kirker, Gotham Gazette
@GothamGazette