News from STATE SENATOR

Liz Krueger

New York State Senate, 26th District

 

COMMUNITY BULLETIN – April 2005

 

Message from Liz . . .

Late last month, the legislature passed the first on-time budget in 21 years.  However, this was accomplished only by taking some of the most important issues off the table for later negotiation.  I will discuss the details of the budget deal in the policy spotlight below, and will focus this message on the process and what it tells us about the progress (or lack thereof) toward real reform.

 

Of course, substance and process should not be entirely de-linked.  Passing a bad budget on time is much worse than passing a good budget late. I was not pleased about a number of items in the budget, and voted against several of the budget bills because they failed to address the critical needs of New York City, particularly in the areas of education and social service funding, and because they failed to reform our state tax structure in a progressive fashion.  That said, on the whole I think this budget was as good as it would have been if we had waited another 3 or 4 months. 

 

Passing the budget on time was extremely important because late budgets have become a symbol to the public of all that is wrong with Albany.  An on-time budget is important as a sign that the legislature and the Governor understand that we have to change the way we do business in Albany.  Passing the budget on time is more than symbolic – it will have a positive impact on localities and service providers who depend on knowing what level of funding they will receive.  This year, for the first time in decades, local school districts and community organizations will have a clear idea of their funding level at the beginning of the fiscal year, and will be able to plan accordingly.

 

Another important sign of reform is that we actually had the budget bills for three days before they came to a vote.  I support legislation that would require ten days for public review of the budget, given that budget taken together totals several thousand pages.  But three days is certainly better than a few hours, which has often been the case in previous years. 

 

I cannot give the legislature an “A” for our budget process, however.  One major flaw in the process is that we succeeded in passing our budget on time only by taking some of the most controversial – and important – issues off the table.  This meant that we still had $1.7 Billion in spending unresolved on April 1, leaving some to legitimately question whether we had met the deadline at all.  Furthermore, when we did address the final issues in the budget this week, we reverted to our old methods of moving bills through with no public review.  We passed the budget “cleanup” bills using messages of necessity from the Governor the moment after they appeared on our desks. Taking these caveats into account, it is clear that this years’ budget process represents a significant step forward in the fight for legislative reform.  I firmly believe that the fact we have an on-time budget is a direct result of pressure from the press and community groups, as well as the political pressure placed on Senate Republicans by Democrats, both on the floor of the Senate and in the electoral arena.  We are waking up the State Senate to the reality that if they continue with their dysfunctional ways, there are real consequences, including losing their seats.  As long as electoral defeat remains a consequence for failure to reform, we have a real chance of continuing to advance a broad reform agenda.

 

 

 

SENIOR/HEALTH CARE COMMUNITY FORUM:

“PRESCRIPTION DRUG BENEFITS FOR SENIORS”

Featuring a Discussion of the 2006 Medicare Part D Benefit

 

Date:  Friday, June 10th

Time: 2pm –4pm                

Place: Marymount Manhattan College Auditorium

          221 East 71st Street between 2nd and 3rd Avenues

         

 Call (212) 490-9535 for further information

 

 

Community Spotlight

 

Parents Speak Out!:

Community Education Council District 2 (www.cecd2.net), comprised of volunteer parents elected last summer to represent public schools in District 2, needs your help!  They are working hard to cut through red tape and serve as advocates for parents on issues of importance.  In order to do this, they need your input.  Please fill out this short survey on my website at www.lizkrueger.com/educationsurvey.html and send it to:  Community Education Council, District 2, NYC Dept of Education, 333 Seventh Avenue, Room 806, New York, NY 10001.

 

Section 8 Voucher Waiting List Open Through May 4, 2005:

The long –closed Section 8 Voucher waiting list has been temporarily reopened.   To be eligible you must meet income eligibility requirements, and submit an application by May 4, 2005.  Income eligibility is based on family size, ranging from $22,000 for a single individual, $25,100 for 2 people, and $33,900 for a family of five.  Up to 6000 eligible applicants will be added to the Voucher waiting list.  A random lottery will determine applicants’ placement on the waiting list.   To request an application, send a self-addressed stamped envelope to NYSDHCR, P.O. Box 9222, Garden City NY 11536.

 

Upcoming Senior Wellness Events at Crown Community Care of Yorkville:

All seniors are invited to attend Senior Wellness Program events at Crown Community Care.  Upcoming events include “Ask the Social Worker” on Saturday, April 16 at 2:00PM, an Exercise Class on Wednesday April 20th and Wednesday April 27th at 10:00AM, and a Knitting and Crochet Class on Thursday April 28th at 10:00AM.  All events take place at St. Stephen of Hungary’s Rectory Francis Room, 414 East 82nd Street (b/t 1st and York Avenues). For more information, call (212) 861-8500.

 

April is Organ and Tissue Donor Awareness Month:

More than 85,000 people nationwide are currently waiting for organ transplants.  To bring attention to this great need, April has been declared National Organ and Tissue Donor Awareness Month.  Organ and tissue transplantation has saved or enhanced the lives of thousands of men, women and children nationwide.  For more information on organ donation, contact my office at (212) 490-9535.  You can also join the New York State Organ and Tissue Registry by filling out a webform at http://www.health.state.ny.us/nysdoh/donor/index.htm, or by calling 1-866-NYDONOR.

 

Mother’s Day Mammography Campaign:

The Adelphi NY Statewide Breast Cancer Hotline and Support Program is conducting their annual Mothers Day Mammography Campaign, to encourage women to get mammograms.  They can provide information on getting low cost or free mammograms, and answer questions about breast cancer.  To get help, call their hotline at 1-800-877-8077, or visit them on the web at www.adelphi.edu/nysbreastcancer.

 

Information on Health Care Proxys and Living Wills:

The recent press coverage of the tragic Terry Schiavo case has highlighted the importance of making sure that everyone has clear instructions for their loved ones regarding what life support treatments they wish to have should they become incapacitated.  My office has information regarding two important ways of ensuring your health care wishes will be respected: Health Care Proxys and Living Wills.  If you would like this information, please contact my office at (212) 490-9535.

 

SCAM ALERT: Don’t Be Taken in by Phony Fundraisers Claiming to be Police:

New Yorkers have been conned out of millions of dollar by phony telemarketers who falsely claim to be soliciting donations on behalf of the New York City Police Department.  These telemarketers pose as police officers and try to deceive potential donors with false and misleading statements that their donations will be used to support the NYPD, or help widows and children of slain officers.  The reality is that the NYPD never solicits charitable donations.  If you receive a call claiming to be raising funds for the NYPD, you can report it to the NYPD Internal Affairs Bureau at (212) 741-8401, or to the Attorney General’s Office at (212) 416-8401.  Your call will be kept confidential.  If you do wish to contribute to the NYPD, the only approved fund-raising organization for the NYPD is the New York Police Foundation, Inc.  For information on the foundation, call (212) 751-8170.

 

New York City Volunteer Opportunity Database

New York City offers a database of volunteer opportunities that allows you to search for opportunities by area of interest and/or location.  The database currently contains over 500 volunteer opportunities offered by more than 400 organizations.  To search the database, go to http://www.volunteernyc.org/volunteer/ on the web.

 

LEGAL BOUND Summer Junior High and High School Intern Program:

The Manhattan District Attorney’s office is accepting applications for its Legal Bound Summer Internship Program.  Students between the ages of 14 and 17 (or 18 if still in high school) with an interest in the law are encouraged to apply.  Applicants should send a resume and an essay explaining their interest in the law to Community Affairs Unit, New York County District Attorneys Office, Attn: Ms. Carol Ragsdale, One Hogan Place, Room 824, New York NY 10013.  Applications must be postmarked no later than April 29, 2005.  For further information, call the District Attorney’s Office at (212) 335-9082.

 

 

New York Recycles Poster Contest:

The Fourth Annual New York Recycles! Poster Contest is open to public and private school children and youth organizations and offers an opportunity to showcase their artistic talent and their commitment to the environment.  This poster contest helps to achieve the goal of higher excellence in recycling, composting, and buying recycled products and packaging.  The twelve (12) New York State winners receive the honor of having their artwork in a calendar that will be distributed throughout the State. The schools with winning entries will also receive a recycled content tote bag filled with educational materials and videos.  For contest rules and more information, call Debbie Jackson at the New York State Department of Environmental Conservation at (518) 402-8705 or visit http://www.dec.state.ny.us/website/dshm/redrecy/poster.htm on the web.  The contest deadline is May 27, 2005.

 

Spotlight on Policy

 

The 2005-2006 Budget

 

So what did we actually do with this years’ budget?  The short answer is tread water.  The legislature managed to restore most of the Governor’s most draconian cuts to higher education and health care.  But we also failed to address the serious needs of New York City schools, reform our tax structure, or challenge the reliance on “economic development” slush funds controlled by the governor and legislative leaders.   Below are some highlights (and lowlights) from the final budget.

 

Education:  One of the biggest failures of this budget was the failure to address the Campaign for Fiscal Equity decision requiring additional funding for New York City schools.  The final budget increased school funding statewide by $848 million, which was $354 million more than the Governor’s initial proposal.  Unfortunately, the legislature rejected the Governor’s recommendation to target the additional funding to high-needs districts like New York City and Yonkers.  In fact, since the Governor’s original funding increase was structured in such a way that it would flow primarily to high-needs districts, the legislature structured its $354 million to target low needs districts, so the final funding formula remained unchanged.  The Assembly supported targeting high-needs districts, but Senate Republicans refused to go along, in order to protect funding levels for wealthy Long Island districts.  Of all the failures in this years’ budget, our unwillingness to address the schools funding issue is probably the largest and is one key reason I voted against the Education, Labor and Family Assistance budget bill.

 

Higher Education:  The story in higher education was somewhat better, in that the legislature restored full funding for TAP grants for low income students, and eliminated the need for a tuition increase at SUNY and CUNY colleges.  These are important changes, but again leave us only treading water, in that they do not address the long-term needs for greater investment in higher education.

 

Health Care:  The Governor had proposed draconian cuts to Medicaid and Family Health Plus that would have had negative impacts on both recipients of these programs as well as hospitals and other health care service providers.  I was pleased that the vast majority of these cuts were eliminated by the legislature, and voted for the Health and Mental Hygiene Budget Bills because I felt they appropriately balanced the goal of cost containment with the need to maintain our health care system.  On the cost containment side, the legislature placed a cap on the local cost of Medicaid, and agreed to a Preferred Drug List (PDL) for Medicaid recipients, with a number of important patient protections including the right of physicians to override the list when they deem it medically necessary.  I support a PDL with patient protections as a worthwhile way to address rising prescription drug costs.  The budget clean up bills passed this week also included an increase in co-pays for drugs for Medicaid and Family Health Plus recipients that was not included in the original budget deal, but I was extremely pleased that we were able to preserve important services for recipients, including dental and vision care.

 

Social Services:  One of the issues the legislative budget did not address was the Governor’s proposal to change the distribution of federal social services funding through the TANF program.  Under the Governor’s proposal, this money, much of which is currently distributed directly to service providers by the state, would be provided to localities through block grants, ostensibly in the name of flexibility and local control.  However this proposal poses great risks to programs funded through TANF dollars that are not mandated by the federal government, and also transfers the risk from the state to the localities should the federal government significantly reduce TANF funding, which is very likely in the current political climate in Washington.  This issue was resolved this week in the budget cleanup bill, and I am sorry to say that some of the worst aspects of the Governor’s proposal have survived. 

 

Transportation:  While I am happy that the legislature made additions to the MTA capital budget to deal with issues of ongoing maintenance, I am disheartened by the levels of funding for crucial expansion projects like the Second Avenue Subway.  This failure to invest in necessary improvements in our transportation infrastructure will have serious long-term effects on the ability of the MTA to meet the needs of both New York City residents and commuters.

 

Tax Policy:  Neither the legislature nor the Governor offered any proposals to create a more progressive tax structure for New York State.  In fact, we have again decreased progressivity by reducing corporate taxes by $130 million through the implementation of a new corporate tax methodology called “Single Sales Factor.”  This new mechanism taxes companies only on their sales in New York State, rather than on a combination of sales, property and payroll.  The primary beneficiaries will be large corporations that primarily sell products outside of New York State.  On the other hand, small businesses dependent on local markets will likely see a tax increase under this proposal.  This is offered as yet another model for economic development despite the fact that studies of the effect of adoption of single sales factor in other states have shown no impact on the decisions of businesses to locate in these states.  The legislature also passed an addition $73 million in corporate tax breaks, and renewed the Empire Zone program, a frequently abused tax break program that will cost the state hundreds of millions of dollars in lost revenue.  At the same time we have adopted these new corporate tax breaks, we also keep the sales tax on clothing, which primarily impacts low and middle income New Yorkers.   I voted against the revenue bill because it continues the trend of making our tax system more and more regressive, and of reducing our ability to collect the revenue we need to adequately support education, health care and social services.

 

“Economic Development” Slush Funds:  This budget is actually relatively moderate in the creation of new slush funds for the legislature and the governor to distribute for economic development.  The main additions are $90 million for “regional economic development” with the distribution to be determined by a private agreement between the three men in a room, and a $250 million “technology and development” program being pushed by the Governor.  I was pleased that some more ambitious proposals fell by the wayside, including a proposal to put $350 million into the RESTORE and GeNYsis programs.  These programs have been around since 2002 and give grants for high-tech development at the discretion of the legislative leadership.  Perhaps the leaders felt they could pass on increasing the funding for these programs, since they were able to reappropriate close to $1 billion into these funds that was not spent from previous years.

 

In sum, the budget we passed is simply more of the same – while we may have reformed the process, we still have a long way to go toward reforming the product.  There were some major accomplishments in this years’ budget process, but we still have a long way to go before New Yorkers get the budget – or the budget process – they deserve.

 

Repeal of the Urstadt Law

 

Earlier this week, I offered a motion to petition to bring my bill (S.2735) to restore home rule to New York City over its housing policy to the floor of the Senate.  S.2735 would repeal the Urstadt Law, which was enacted in 1971 as part of Rockefeller’s vacancy-decontrol legislation. The law specifically bars New York City from adopting rent limitations that are “more stringent or restrictive than those presently in effect.”

 

Since 1971, when home rule over rent and eviction protections was taken away, New York City's housing situation has gone from chronic shortage to acute crisis. According to the 2002 NYC Housing and Vacancy Survey, the rental vacancy rate is 2.94%; a vacancy rate of less than 5% creates abnormal market conditions. Rent hardship afflicts poor and middle-class
households alike, with half of all New Yorkers paying at or over the federal hardship level of 30% of income in rent, and a fourth of all households are paying more than half their income in rent. Firefighters, nurses, teachers, police officers, construction workers, seniors, artists and thousands of other New Yorkers can no longer afford to live in the communities they serve. More and more low-income families have become homeless - there are more homeless people in NYC than at any time since the Great Depression. By preventing the City Council and Mayor from acting to preserve affordable housing, the Urstadt Law is an unconscionable restriction on the democratic “home rule” of New York City residents, and undermines our ability to control our policy and our destiny on a strictly local issue.

 

The Urstadt Law was named after Charles Urstadt, former Governor Nelson Rockefeller’s housing commissioner and a major real-estate owner, he was also one of the architects of Governor George Pataki’s 1994 transition platform, which made explicit the intention to end rent and eviction protections entirely, a promise which took giant steps toward realization in the Rent Regulation Reform Act of 1997.

 

My Republican colleagues frequently talk about the importance of local control when speaking on legislation affecting localities other than New York, but fail to apply the same standard to New York City.  Other localities throughout the state are given home rule over issues of local importance. Residents of New York City are entitled to equal protection.