Senator Alesi Initiatives In Governor's Budget

James S. Alesi

January 18, 2006

Senator Jim Alesi (R/C-Perinton) today announced that three of his legislative initiatives were drafted into Governor Pataki’s 2006 Executive Budget. All three initiatives address small business issues that have hindered business owners ability to effectively grow in New York State.

These initiatives included in the budget are:

Quick Draw- Under current law, restaurants and bars whose percentage of food sales are less than 25% are prohibited from selling quick draw. As a result of the newly enacted smoking ban, many New York State bar and tavern owners are at risk of losing patrons as well as income. This budget initiative would create an incentive for patrons to spend money by allowing all bars and taverns to sell Quick Draw regardless of the percentage of food sales it maintains.

Linked Deposit Loans- Under current law, linked deposit loans are for a term of four years despite the fact that several businesses have two year loans under previous terms. Because several businesses were unable to reapply, in 2005, Senator Alesi sponsored legislation, which closed a loophole in the State Finance Law to allow businesses to apply for a linked deposit loan renewal after two years. In the Governor’s 2006 Executive Budget, $410 million was set aside to increase the pool for businesses applying for a two-year extension as well as new loan applicants.

Worker’s Compensation- Since the courts have given the Workers' Compensation Board wide latitude in determining whether an employee's conduct falls within the scope of employment, there have been instances where employees who had clearly broken the law when they were injured still received workers' compensation benefits for that injury. Senator Alesi has sponsored legislation (S.2627 of 2005), which provides that no employee shall be entitled to disability benefits for any disability resulting from an injury or sickness sustained in the perpetration of a felony or misdemeanor. This initiative was part of Governor Pataki’s worker’s compensation reform package within his 2006 executive budget.

"These initiatives are vital in allowing businesses to escape costly regulatory burdens and if implemented, will allow businesses to once again flourish in this competitive global marketplace," said Senator Alesi. "I applaud the Governor for including these initiatives in his budget and I will continue to fight for the prosperity of business throughout this State."