Regular Session - March 29, 1995

                                                                 
2830

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         8                       ALBANY, NEW YORK

         9                       March 29, 1995

        10                         10:02 a.m.

        11

        12

        13                       REGULAR SESSION

        14

        15

        16

        17       SENATOR JOHN A. DeFRANCISCO, Acting President

        18       STEPHEN F. SLOAN, Secretary

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        20

        21

        22

        23











                                                             
2831

         1                      P R O C E E D I N G S

         2                      ACTING PRESIDENT DeFRANCISCO:

         3       The Senate will come to order.

         4                      Ask everyone to please rise with

         5       me and pledge with me the Pledge of Allegiance

         6       to the Flag.

         7                      (The assemblage repeated the

         8       Pledge of Allegiance to the Flag. )

         9                      In the absence of clergy, may we

        10       but our heads in a moment of silence.

        11                      (A moment of silence was

        12       observed. )

        13                      Reading of the Journal.

        14                      THE SECRETARY:  In Senate,

        15       Tuesday, March 28th.  The Senate met pursuant to

        16       adjournment, Senator Kuhl in the Chair upon

        17       designation of the Temporary President.  The

        18       Journal of Monday, March 27th, was read and

        19       approved.  On motion, Senate adjourned.

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Without objection, the Journal stands approved

        22       as read.

        23                      Presentation of petitions.











                                                             
2832

         1                      Messages from the Assembly.

         2                      Messages from the Governor.

         3                      Reports of standing committees.

         4                      Reports of select committees.

         5                      Communications and reports from

         6       state officers.

         7                      Motions and resolutions.  Senator

         8       Bruno.

         9                      SENATOR BRUNO:  Mr. President, I

        10       believe there's a resolution at the desk and

        11       would like to ask that it be read, relating to

        12       Senator Trunzo.

        13                      ACTING PRESIDENT DeFRANCISCO:

        14       Secretary will read the resolution and read the

        15       title.

        16                      SENATOR TRUNZO:  Just the title

        17       and have the resolution passed please.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Secretary will read.

        20                      THE SECRETARY:  Legislative

        21       Resolution, by Senator Trunzo, commending

        22       Josefina Cammerano upon the occasion of her

        23       100th birthday, Friday, April 7, 1995.











                                                             
2833

         1                      ACTING PRESIDENT DeFRANCISCO:  On

         2       the resolution, all in favor signify by saying

         3       aye.

         4                      (Response of "Aye.")

         5                      Opposed nay.

         6                      (There was no response. )

         7                      The resolution is adopted.

         8                      Senator Bruno, are you ready for

         9       the calendar?

        10                      SENATOR BRUNO:  Mr. President,

        11       can we now take up the non-controversial

        12       calendar.

        13                      ACTING PRESIDENT DeFRANCISCO:

        14       The Secretary will read.

        15                      THE SECRETARY:  On page 20,

        16       Calendar Number 214, by Senator LaValle, Senate

        17       Print 1368, an act to amend the Town Law, in

        18       relation to expending from fire district

        19       revenues amounts appropriated for equipment.

        20                      SENATOR DOLLINGER:  Lay it

        21       aside.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       The bill will be laid aside.











                                                             
2834

         1                      THE SECRETARY:  Calendar Number

         2       215, by Senator Larkin, Senate Print 2090-A, an

         3       act -

         4                      SENATOR LARKIN:  Star the bill.

         5                      ACTING PRESIDENT DeFRANCISCO:

         6       The bill is starred at the request of the

         7       sponsor.

         8                      THE SECRETARY:  Calendar Number

         9       217, by Senator Present, Senate Print 1930, an

        10       act to amend the State Administrative Procedure

        11       Act and the Executive Law, in relation to

        12       compliance requirements.

        13                      ACTING PRESIDENT DeFRANCISCO:

        14       Read the last section.

        15                      THE SECRETARY:  Section 7.  This

        16       act shall take effect on the 1st day of

        17       October.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Please call the roll.

        20                      (The Secretary called the roll. )

        21                      THE SECRETARY:  Ayes 35.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       The bill is passed.











                                                             
2835

         1                      THE SECRETARY:  Calendar Number

         2       218, by Senator Present, Senate Print 1931, an

         3       act to amend the State Administrative Procedure

         4       Act, in relation to regulatory relief for health

         5       care providers.

         6                      SENATOR PATERSON:  Lay aside,

         7       please.

         8                      ACTING PRESIDENT DeFRANCISCO:

         9       Please lay the bill aside.

        10                      THE SECRETARY:  Calendar Number

        11       220, by Senator Velella, Senate Print 933, an

        12       act to amend the Insurance Law, in relation to

        13       the availability of multi-tier programs for

        14       homeowners' insurance.

        15                      ACTING PRESIDENT DeFRANCISCO:

        16       Please read the last section.

        17                      THE SECRETARY:  Section 2.  This

        18       act shall take effect on the 90th day.

        19                      ACTING PRESIDENT DeFRANCISCO:

        20       Call the roll.

        21                      (The Secretary called the roll. )

        22                      THE SECRETARY:  Ayes 35.

        23                      ACTING PRESIDENT DeFRANCISCO:











                                                             
2836

         1       The bill is passed.

         2                      THE SECRETARY:  Calendar Number

         3       227, by Senator Farley, Senate Print 3106, an

         4       act to amend the Highway Law, in relation to

         5       designating -- designating a portion of the

         6       state highway system the Mayor Harvey W. Mans

         7       field Highway.

         8                      ACTING PRESIDENT DeFRANCISCO:

         9       Please read the last section.

        10                      THE SECRETARY:  Section 4.  This

        11       act shall take effect immediately.

        12                      ACTING PRESIDENT DeFRANCISCO:

        13       Call the roll.

        14                      (The Secretary called the roll. )

        15                      THE SECRETARY:  Ayes 35.

        16                      ACTING PRESIDENT DeFRANCISCO:

        17       The bill is passed.

        18                      THE SECRETARY:  Calendar Number

        19       289, by Senator Bruno, Senate Print 3682, an act

        20       to amend the State Administrative Procedure Act,

        21       in relation to agency review of existing rules.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       Lay the bill aside.











                                                             
2837

         1                      THE SECRETARY:  Calendar number

         2       290, by Senator Bruno, Senate Print Number 3683,

         3       an act to amend the Environmental Conservation

         4       Law, the State Administrative Procedure Act and

         5       others.

         6                      SENATOR PATERSON:  Lay aside.

         7                      ACTING PRESIDENT DeFRANCISCO:

         8       Lay the bill aside.

         9                      Senator Bruno, that completes the

        10        -- the reading of the non-controversial

        11       calendar.

        12                      SENATOR BRUNO:  And now, Mr.

        13       President, can we take up the controversial

        14       calendar.

        15                      ACTING PRESIDENT DeFRANCISCO:

        16       Secretary will read.

        17                      THE SECRETARY:  Calendar Number

        18       214, by Senator LaValle, Senate Bill 1368, an

        19       act to amend the Town Law, in relation to

        20       expending from fire district revenues.

        21                      SENATOR DOLLINGER:  Explanation.

        22                      ACTING PRESIDENT DeFRANCISCO:  An

        23       explanation has been asked for.











                                                             
2838

         1                      SENATOR BRUNO:  Lay it aside.

         2                      ACTING PRESIDENT DeFRANCISCO:

         3       Lay the bill aside.

         4                      THE SECRETARY:  Calendar Number

         5       218, by Senator Present, Senate Bill 1931, an

         6       act to amend the State Administrative Procedure

         7       Act.

         8                      SENATOR PATERSON:  Explanation.

         9                      ACTING PRESIDENT DeFRANCISCO:

        10       Explanation.  Senator Present.

        11                      SENATOR PRESENT:  Mr. President,

        12       this is an amendment to the State Administrative

        13       Procedure Act which will encourage state

        14       agencies to propose and adopt cost-effective

        15       rules to help reduce the cost of providing

        16       health care to small business, and other

        17       regulated parties.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Thank you, Senator Present.

        20                      Read the last section.

        21                      THE SECRETARY:  Section 8.  This

        22       act shall take effect on the 1st day of

        23       October.











                                                             
2839

         1                      ACTING PRESIDENT DeFRANCISCO:

         2       Excuse me.  Senator Paterson.

         3                      SENATOR PATERSON:  I'm sorry, Mr.

         4       President.

         5                      Would Senator Present be willing

         6       to yield for a question?

         7                      SENATOR PRESENT:  Yes.

         8                      SENATOR PATERSON:  Senator

         9       Present, this is just a question relating to the

        10       possibility that the enactment of this

        11       legislation will impede upon the quality and the

        12       work done by the agency.  How do we determine

        13       what is actually covered under this legislation?

        14       In other words, not every procedure or decision

        15       made by an agency is -- calls for a long review

        16       process, and so what I'm trying to determine is

        17       when you feel the agency should act and when you

        18       feel that there should be this kind of OSHA

        19       review.

        20                      SENATOR PRESENT:  I think that

        21       this action should take place on every rule as

        22       promulgated by any agency if it provides the

        23       cost of their proposed rule or regulation they











                                                             
2840

         1       should tell us in advance and let industry know

         2       how it's going to affect them.  The industry

         3       then can respond.

         4                      SENATOR PATERSON:  Thank you.

         5       Thank you very much, Senator Present.

         6                      I'd just like to point out to the

         7       members that EPL is opposed to this bill.  They

         8       blew their stack twice and they just seem to

         9       question the relationship between the regulatory

        10       agencies and the reviewing process.  So thank

        11       you, Mr. President.

        12                      ACTING PRESIDENT DeFRANCISCO:

        13       Please read the last section.

        14                      THE SECRETARY:  Section 8.  This

        15       act shall take effect on the 1st day of

        16       October.

        17                      ACTING PRESIDENT DeFRANCISCO:

        18       Call the roll.

        19                      (The Secretary called the roll. )

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Results.

        22                      THE SECRETARY:  Those recorded in

        23       the negative on Calendar Number 218 are Senators











                                                             
2841

         1       Connor, Paterson and Smith.  Ayes 35, nays 3.

         2                      ACTING PRESIDENT DeFRANCISCO:

         3       The bill is passed.

         4                      THE SECRETARY:  Calendar Number

         5       289, by Senator Bruno, Senate Print 3682, an act

         6       to amend the State Administrative Procedure Act,

         7       in relation to agency review of existing rules.

         8                      SENATOR PATERSON:  Explanation,

         9       please.

        10                      ACTING PRESIDENT DeFRANCISCO:  An

        11       explanation has been asked for.  Senator Bruno.

        12                      SENATOR BRUNO:  Mr. President, we

        13       in this chamber and people in this state all are

        14       aware of the very sad state of affairs as

        15       relates to business in New York State.  Leading

        16       the country in job loss for the last four years,

        17       40 percent of all the jobs lost in this country

        18       come from New York State, and that's sad, and in

        19       the recovery that is taking place nationally,

        20       New York State is lagging drastically and that

        21       is unfortunate.  Forty-fourth out of 50 states

        22       in economic recovery, as reported by industries

        23       who follow the trend.











                                                             
2842

         1                      The main reason that is given for

         2       the sad state of affairs depriving people of an

         3       opportunity to earn a living, to have a job, is

         4       over-regulation, the punitive negative attitude

         5       of government towards business in New York

         6       State.  Taxes are second in people's minds.

         7                      This -- the business we're doing

         8       this morning will change the direction of this

         9       state as relates to job creation.  Mr.

        10       President, job creation is what this budget's

        11       all about; it's what this bill is all about,

        12       what the bill that follows is all about,

        13       deregulating, making New York State and the

        14       agencies more business-friendly.

        15                      Now, I know that my colleagues in

        16       this chamber will support that because I keep

        17       hearing that job creation is uppermost in every

        18       one's mind.  There are specifics that relate to

        19       this legislation.  I believe Senator Rath is

        20       going to continue the discussion, and I would

        21       now defer to Senator Rath.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       Senator Rath.











                                                             
2843

         1                      SENATOR RATH:  Thank you, Mr.

         2       Chairman.  Thank you, Senator Bruno.

         3                      A year and three months ago when

         4       I assumed my responsibilities as chairman of the

         5       Administrative Regulation Review Commission, I

         6       had a little learning to do, a little catching

         7       up to do as a freshman learning a lot, a lot of

         8       learning, but even more about what regulations

         9       and what their review meant.

        10                      But let me tell you that it

        11       didn't take me very long to discover that review

        12       cried out for reform from the offset and

        13       regulatory reform has been on the list of almost

        14       everyone who has been on the stump politically

        15       this past year all over the country.  You can't

        16       pick up a newspaper anywhere when you go out of

        17       town but what someone locally is not talking

        18       about regulatory reform.

        19                      Regulations are, as Senator Bruno

        20       said, the hidden taxes that are impeding

        21       business from moving forward.  The projection as

        22       to the cost of the hidden taxes is between 500

        23       and $800 billion a year.  I'll say it again,











                                                             
2844

         1       it's not my number, I've been picking it up

         2       everywhere, the latest was in federal

         3       legislation, between 5- and $800 billion in

         4       hidden costs every year.

         5                      We, as a country, cannot afford

         6       to do that.  We as a state have shouldered a

         7       great deal of those costs.  I don't know what

         8       our numbers are.  One of the bills in this

         9       omnibus is looking to address that:  What are

        10       the hidden costs in New York State for the

        11       over-regulation, and I say over-regulation and I

        12       rise to explain what I mean because you may have

        13       some questions when we get into the discussion

        14       of the legislation itself.

        15                      Are we talking about throwing

        16       away some of the very, very good things that

        17       have happened as this society has deregulated

        18       itself and has to regulate itself?  Teddy

        19       Roosevelt, in 1900, said to those of us who live

        20       on the shores of Lake Erie, we were foolish, we

        21       were wasting our wonderful resource of Lake

        22       Erie, we were throwing our garbage and our

        23       sewage and everything into Lake Erie untreated.











                                                             
2845

         1       Well, regulations came along and you know what

         2       happened now.  Lake Erie has come back a

         3       hundredfold.  It's wonderful.  The fish that

         4       haven't been there for 20 years are reappearing

         5       again.  They must have been hiding in some

         6       little corner of the lake and maintaining

         7       themselves.  But the regulations have been

         8       good.

         9                      But in many cases regulations

        10       have been overzealous.  It's because we wanted

        11       to do more, because we believed the cause was

        12       good and justified, and I -- I don't think there

        13       are any of us in this room that say

        14       environmental regulations or health regulations,

        15       consumer regulations, can be thrown out or

        16       abandoned.  No, but we must regulate smarter.

        17       We must teach the people who regulate what they

        18       need to do as they regulate.  They must talk to

        19       the people who they are regulating before they

        20       promulgate the regulations.

        21                      A bill that we passed in this

        22       Legislature last year caused a regulatory agenda

        23       for five agencies in this state to appear











                                                             
2846

         1       January 1st.  The Governor signed the bill.  It

         2       was the first bill that I had passed.  I'm very

         3       proud of that bill.  That bill brought forward

         4       350 new regulations that were about to show

         5       themselves in New York State January 1, 1994.

         6                      Because of the bill that we

         7       passed, those regulations are in a holding

         8       pattern right now as our new Governor said we

         9       better review these before they go on.  Now,

        10       some of them have been waived, yes.  Some of

        11       them were so important they had to be done

        12       immediately and they were done immediately with

        13       the waivers that were passed through the

        14       Governor's office through his counsel.  But 350

        15       new regs in five agencies alone.

        16                      Let me tell you there are 80

        17       agencies in New York State that can and do

        18       regulate, 80 agencies.  There are -- there have

        19       been -- there was an example on the political

        20       trail last year of the regulations being waged

        21       from Albany, Schenectady and back piece by

        22       piece, and they were growing as we spoke.

        23                      Well, political rhetoric being











                                                             
2847

         1       what it is, that's -- that has come and gone,

         2       but the will to reform our regulatory process

         3       and give business a chance in New York State,

         4       that will is here and there is now a Director of

         5       Regulatory Reform in the Governor's office.

         6                      Before we get into the bill, I

         7       just would like to read something very briefly

         8       to you because you might say, well, that's just

         9       business.  You take a look at the piece that I'm

        10       holding up, A Revolution in Regulation, done by

        11       the Policy Institute of the state of New York.

        12                      There has been report after

        13       report dealt with taxing that showed us the

        14       need.  But listen to this one.  This is from the

        15       town of Tonawanda, one of my towns, about a

        16       hundred thousand people, first rate town outside

        17       of the city of Buffalo, a nice little suburban

        18       community, a lot of blue collar people, heavy

        19       industry along the shore of the Niagara River.

        20                      Listen to what the town

        21       supervisor did.  He asked the department heads

        22       to find examples of mandates that are outdated

        23       and duplicative and to identify those that go











                                                             
2848

         1       beyond setting goals and enter into the realm of

         2       micromanagement of local government's

         3       operation.  What followed is a detailed summary

         4       of the findings of the town of Tonawanda

         5       complete with cost alternatives and suport

         6       material, and they refer now to page 22 of the

         7       report, the bottom line that supervisor Carl

         8       Calabrese presented to me and several others a

         9       few weeks ago:

        10                      $830,849 all lined out as to how

        11       the town of Tonawanda can save dollars if we

        12       will just free up their hands.  One of the

        13       pieces in the omnibus regulation, omnibus

        14       resolution, in front of you today will free up

        15       the hands of the town of Tonawanda so they can

        16       manage their own business.  This is the town.

        17       The schools are coming to us, health has come to

        18       us; Senator Present's bill that just passed

        19       extraordinarily important, so it's not just

        20       business -- business, of course -- so that they

        21       can free up and create new jobs so that as the

        22       children come out of the schools and the young

        23       people are looking for work, the jobs will be











                                                             
2849

         1       here.

         2                      So, my colleagues, I ask you to

         3       please take a real serious look at this piece of

         4       legislation.  I'm very proud of it.  Senator

         5       Wright has a number of bills that are in it.  I

         6       think Senator Present has some that are inside

         7       the bill, Senator Bruno, and I was happy to

         8       co-sponsor with them as they have with me.

         9                      So, if you have some questions,

        10       I'd be more than happy to entertain them.

        11                      ACTING PRESIDENT DeFRANCISCO:

        12       Senator Wright.

        13                      SENATOR WRIGHT:  Thank you, Mr.

        14       President.

        15                      I rise in support of this bill.

        16       I'd like to first extend my congratulations to

        17       Senator Bruno, Senators Rath and Senator Present

        18       for the leadership that they've demonstrated in

        19       pulling together this package of regulatory

        20       reform over the last several years.

        21                      I think the issue we're talking

        22       about is just that.  It's regulatory reform.

        23       We're not talking about deregulating New York











                                                             
2850

         1       State to give everybody carte blanche to do with

         2       as they choose because we've accomplished some

         3       very good things in terms of regulating various

         4       activities in this state.

         5                      But what we're talking about is

         6       creating a level playing field, restoring com

         7       petitiveness to this state so that our business

         8       es can compete with businesses in adjoining

         9       states, so that our local governments aren't

        10       working under undue mandates and additional

        11       pressures in terms of their ability to compete,

        12       to maintain low property taxes, to attract

        13       businesses and industry to this state.  When you

        14       take the opportunity to speak with your business

        15       community, right behind taxes comes regulation

        16       in terms of the cost of doing business in this

        17       state.  That's why it's inherent that we start

        18       to address the issue of regulatory reform.

        19                      Now, I think the Governor started

        20       us off very properly this year by placing a

        21       moratorium on any new mandates so that we don't

        22       add to an already overburdensome compendium of

        23       mandates imposing the will on the people of this











                                                             
2851

         1       state.

         2                      I would also point out that many

         3       of the separate elements of this omnibus package

         4       have come forward as separate bills and they, in

         5       fact, have had bipartisan support in this house,

         6       bipartisan support in the Assembly.  They

         7       represent the bipartisan support of the people

         8       of this state, whether you live in New York City

         9       or whether you live in the North Country, in my

        10       area of the state.  The concerns remain the

        11       same.  There is far too much government, that

        12       government transcends itself into far too many

        13       regulations being imposed on every daily aspect

        14       of our lives.  It's time to start to change that

        15       direction, and that's what this bill does.

        16                      This bill addresses a number of

        17       very specific concerns we have.  Businesses are

        18       leaving this state, jobs are leaving this

        19       state.  We require in this legislation that,

        20       when you're imposing an additional rule or

        21       regulation, you identify the job impact.  Now,

        22       some will tell you that we already have a

        23       regulatory impact requirement and that includes











                                                             
2852

         1       an economic analysis.  While that's true, we do

         2       not specifically require the identification of

         3       jobs and the impact on jobs and, if you look at

         4       regulatory impact after regulatory impact, there

         5       is no statement as to the impact on jobs.  In

         6       fact, when we debated this bill a year ago in

         7       this house, we actually had a memo of opposition

         8       from a state agency indicating that they

         9       recognized their rules were going to cost jobs,

        10       but they couldn't be concerned about that

        11       because this revision would delay the process

        12       and take too long to implement regulations.

        13                      Thereby lies the problem that

        14       we're dealing with, a government, an

        15       administration, who was far more interested in

        16       making and promulgating rules than recognizing

        17       how those rules were going to impact jobs and

        18       business in this state.  I contended then, I

        19       contend now, that it's the wrong priority.  We

        20       need to to change the direction.

        21                      This bill seeks to ensuring

        22       competitiveness in New York State.  It provides

        23       for New York complying with minimum federal











                                                             
2853

         1       standards and only exceeding those standards if

         2       this Legislature decides it's in the best

         3       interests of the people and this state.

         4                      It doesn't deny us the

         5       opportunity to require a standard higher than

         6       the federal government if we so choose, but it,

         7       in fact, says the elected officials will make

         8       that decision, the elected representatives of

         9       the people of this state will determine whether

        10       or not New York State needs a higher standard.

        11       That's where I think the authority should

        12       properly be vested, not with agency bureaucrats

        13       promulgating additional regulation.

        14                      I think we can all go on and on

        15       identifying problems that we've encountered that

        16       our constituents have passed on to us and

        17       difficulties they've encountered with rules, the

        18       cost of rules that are being imposed upon their

        19       daily lives.

        20                      If, for no other reason than

        21       providing relief to our constituents, that's

        22       what this bill is all about.  I would encourage

        23       your support of it.











                                                             
2854

         1                      ACTING PRESIDENT DeFRANCISCO:

         2       Senator Dollinger.

         3                      SENATOR DOLLINGER:  Mr.

         4       President, did Senator Gold have a question?

         5                      ACTING PRESIDENT DeFRANCISCO:  Or

         6       excuse me, Senator Gold.  Senator Gold, go

         7       ahead, if -

         8                      SENATOR GOLD:  Yeah, I was going

         9       to ask a few questions, but who's answering

        10       them?  The sponsor is not here.

        11                      SENATOR RATH:  I will.

        12                      SENATOR GOLD:  Senator Rath?

        13       Senator, before I ask you a question let me say

        14       that I said for years that if I was in the

        15       Majority and I was looking for a new political

        16       career, you could keep all your jobs, I would

        17       want to run the Administrative Regulation Review

        18       Commission because, you know, you have the

        19       capacity to look at every state agency, make all

        20       of the suggestions, cut it down, et cetera, et

        21       cetera.

        22                      Now, Senator, what I would like

        23       to know is, we have an Administrative











                                                             
2855

         1       Regulations Review Commission, and in this bill

         2       I'm hearing about advisory committees and

         3       whatever.  How do you -- how do you figure our

         4       commission to feed into this new program if this

         5       bill passes?

         6                      SENATOR RATH:  Well, Senator

         7       Gold, as a member of the commission, I would

         8       have to agree that -- that there are some new

         9       ways of doing business that I think the

        10       commission should probably start to factor in,

        11       and I think some of this legislation, I know

        12       parts of it specifically bring in the regulated

        13       community to talk with the people who will be

        14       doing the regulating, and I think we have a

        15       responsibility to be sure that the regulators

        16       are trained and know what is expected of them,

        17       so that they do not become overzealous and they

        18       need -- they need to have interaction with the

        19       people who are going to be regulated.

        20                      Many of the examples that -- that

        21       we have seen as we looked at some of them as

        22       they come through, the examples of over

        23       regulation have to do with the lack of communi











                                                             
2856

         1       cation as to what's realistic.  Just last week,

         2       we held a meeting with the people who run

         3       bakeries in New York State, and mostly in New

         4       York State they're small bakeries.  There are a

         5       few large bakeries.  I happen to have a Lenders

         6       bagel bakery in my district, and so I sat in on

         7       it, and it was discovered that what they're

         8       trying do by way of regulating the bakeries was

         9       dealing with smoke stack emission and what comes

        10       out is a very, very simple kind of an air

        11       emission that EPA backed away from what they

        12       felt was important in that relation, and as

        13       we're trying to control the air quality around

        14       the bakeries, the bakery said, Let us change our

        15       vehicle fleet from gasoline engines to

        16       compressed natural gas, compressed -- compressed

        17       gas engines -- I'm saying natural gas because

        18       our gas company in the Niagara Frontier -- to

        19       compressed natural gas, that which we can be

        20       under compliance with air emissions, and that

        21       looks like that's going to be the way that

        22       goes.  No one would have dreamed that it would

        23       have happened that way, but once we got the











                                                             
2857

         1       regulators and the regulated community, the

         2       discussion with the EPA held by those who were

         3       in charge, they're going to move forward,

         4       they're going to get their air emission control

         5       into a level but not by taking care of the smoke

         6       stacks which would have cost millions and

         7       millions of dollars.  They're going to convert

         8       their fleet.

         9                      Now, this is the common sense

        10       kind of thing that has not been happening in New

        11       York State.

        12                      SENATOR GOLD:  Senator, will you

        13       yield to a question?

        14                      ACTING PRESIDENT DeFRANCISCO:

        15       Senator Gold.

        16                      SENATOR GOLD:  And, by the way,

        17       you mentioned smoke and bakeries.  I want the

        18       record to indicate that we have looked -

        19       Senator Stachowski and I have looked into the

        20       problem of Cafe Capriccio last night and that

        21       was not Senator Skelos' fault what happened last

        22       night.

        23                      SENATOR RATH:  Thank you.  We're











                                                             
2858

         1       glad that we cleared that one up.

         2                      SENATOR GOLD:  But let me ask you

         3       as I've read through the bill, and I don't want

         4       to kid around and tell you I've got a letter

         5       from the Governor who is very insulted because I

         6       don't have a letter, but we mandated this bill

         7       that every agency review its regulations.

         8                      The Governor has appointed all

         9       the heads of these agencies.  We need a law to

        10       tell George Pataki to tell his agency heads to

        11       make these reviews?  I would assume from what I

        12       understand was one of his executive orders, that

        13       this is all happening.  Is that, in fact,

        14       happening?

        15                      ACTING PRESIDENT DeFRANCISCO:

        16       Senator Rath, would you yield?

        17                      SENATOR RATH:  Surely.  As the

        18       legislative body that backs up what the

        19       administration is doing, sometimes when the

        20       Governor takes a role by administrative order, I

        21       think we have to look to the future protection

        22       of the people of the state of New York no matter

        23       who the Governor is, and I believe that this is











                                                             
2859

         1       appropriate in reinforcing that we feel that the

         2       Governor and his agencies have to look to

         3       themselves.

         4                      Remember, if you recall, I said

         5       earlier, there are 80 agencies that can

         6       promulgate regs, and so in their zeal -- and I'm

         7       not going to get into any kind of negativism as

         8       to self-fulfilling prophecies that agencies may

         9       have in relation to their own futures and what

        10       they need to do to continue their own -- their

        11       own role in government, but I think it's

        12       important that we say to the Governor, Yes,

        13       direct those agencies to look, but I think even

        14       further than that, Senator Gold, as we are -- we

        15       as the members of the ARRC can follow up on that

        16       and make sure that we're getting the kind of in

        17       formation that we need.

        18                      SENATOR GOLD:  Well, Senator,

        19       will you yield to a question?

        20                      SENATOR RATH:  Sure.

        21                      SENATOR GOLD:  That's not my

        22       question.  My question is the following: The

        23       Governor, who I happen to believe is an honest











                                                             
2860

         1       man who believes in what he says -- I don't

         2       agree with some of the things he says, but I

         3       wouldn't ever question the sincerity or honesty

         4       of his position -- has made all these statements

         5       and he issued an order and he says to the agency

         6       that "I'm appointing a commissioner, and the

         7       commissioners are my people, men and women who

         8       go in there, and we're going to clean out all of

         9       that Democratic waste," et cetera, et cetera.

        10       Why do we need a bill to tell them to do it if

        11       that's what he has told the people he is going

        12       to go to, and if he has issued an executive

        13       order saying do that?

        14                      SENATOR RATH:  Well, again, I

        15       believe that we need to look a little further in

        16       that bill, and I believe that's the one that has

        17       the five years in it, that talks about a sunset

        18       after five years, and so there's more in the

        19       bill than is at first blush but, again, if we

        20       put this into statute, then it will happen no

        21       matter who the governor is, if there is a

        22       governor who does not care as much about

        23       regulatory reform as this particular governor











                                                             
2861

         1       does.

         2                      SENATOR GOLD:  Well, will you

         3       yield to another question, Senator?

         4                      SENATOR RATH:  Surely.

         5                      SENATOR GOLD:  Isn't there

         6       something in this bill, for example, that talks

         7       about not making regulations that surpass the

         8       fed's and not making regulations that can do

         9       this and that.  Isn't that something that the

        10       Majority in this house can control in our new

        11       legislation day by day?

        12                      ACTING PRESIDENT DeFRANCISCO:

        13       Senator Rath.

        14                      SENATOR RATH:  I think that a

        15       cause celebre, as regulatory reform has become

        16       this year, when it's very high on everyone's

        17       agenda as it is right now, I think that, yes, a

        18       lot can be controlled and monitored through our

        19       efforts, yours and mine and Senator Cook and the

        20       other members of the ARRC.

        21                      I believe that we can and we

        22       should, but let's remember that every agency is

        23       not under the purview of the Governor.  There











                                                             
2862

         1       are agencies that stand alone, and I think that

         2       they also need to have -- to have this

         3       addressed.

         4                      SENATOR GOLD:  Will the Senator

         5       yield to another question?

         6                      SENATOR RATH:  Sure.

         7                      SENATOR GOLD:  Senator, I can't

         8       speak about forever, but since 1935, which, who

         9       does math, 60 years -- 60 years -- one year, and

        10       that year was 1965 when Senator Marchi had to go

        11       through the grueling task of being in the

        12       Minority for the one year, but other than that

        13       in the 59 of the 60 years your party has

        14       controlled this house, and there has not been

        15       one piece of legislation which gave one

        16       itsy-bitsy, tiny little rule-making authority

        17       that you didn't control, and your party could

        18       have had sunsets in every single piece of

        19       legislation that created rule-making authority,

        20       but isn't it a fact, I mean, none of that was

        21       done?

        22                      So, Senator, isn't it a fact that

        23       all this rule-making that you're talking about











                                                             
2863

         1       for 59 out of 60 years happened while your party

         2       controlled this house and indeed the governor

         3       ship for a lot of that period of time?

         4                      ACTING PRESIDENT DeFRANCISCO:

         5       Senator Rath.

         6                      SENATOR RATH:  Senator, I think

         7       you raise a point that's been in all of our

         8       minds, and it has been the new wind that has

         9       blown through this Legislature this year and

        10       indeed through this government, and I believe

        11       that as we spoke of a piece of legislation that

        12       might have passed this house, some of your

        13       eminent colleagues were pointing out yesterday

        14       that many of the pieces that are coming along

        15       this week will have to look to the Assembly for

        16       a conference and, frankly, I welcome that

        17       opportunity because there is where we will

        18       probably start to pull the two bills together.

        19                      I'm very hopeful that members of

        20       the Assembly will look at this and say the

        21       Senate really is interested in the sun shining

        22       in on state government, and this is what I

        23       expect this omnibus bill will produce.











                                                             
2864

         1                      SENATOR GOLD:  Senator, if you

         2       will yield to just one more question, but before

         3       that, if I was as skeptical as Senator

         4       Stachowski, then I would say, Well, you talk

         5       about a new wind, and wind is air and I won't

         6       argue whether it's hot or cold, but of the -

         7       this bill talks about the creation or it says

         8       the Governor is to designate his counsel to

         9       oversee certain things.

        10                      Now, I don't know whether I have

        11       this right, but my understanding is that the

        12       Governor has indicated that a Robert King, a

        13       nominee as director of regulatory management,

        14       104,000 bucks, are we going to in this bill do

        15       away with that job since we're going to be able

        16       to have the Governor's counsel do this now?

        17                      SENATOR RATH:  Well, Senator,

        18       with the leave of the Chair, the separation of

        19       powers has done a wonderful thing in our

        20       democracy and, as we look to what the executive

        21       and his appointee do, I think we need to look to

        22       the responsibilities that the people of the

        23       state of New York vested in us individually and











                                                             
2865

         1       collectively and ensure that our will is carried

         2       through by virtue of statute, along with the

         3       Assembly, and as we send that over, then it

         4       becomes very clear to the Governor that we're

         5       not expecting him to do it alone, that we want

         6       to be partners with him, and I believe that this

         7       legislation accomplishes that.

         8                      SENATOR GOLD:  Well, Senator, if

         9       you will.

        10                      ACTING PRESIDENT DeFRANCISCO:

        11       Senator Gold.

        12                      SENATOR GOLD:  If you will yield

        13       to a question.  That doesn't answer my

        14       question.  What I'm saying is forget the

        15       separation of powers.  I've read some of your

        16       husband's decisions, they're great on that

        17       issue, but my point is that this is the Governor

        18       who is appointing Mr. King, 104,000, and under

        19       this bill, we're saying the Governor's counsel

        20       should do the job, so that's not a separation of

        21       anything.  It's the Governor appointing either

        22       Mr. King or having his counsel do it, and what

        23       I'm saying is if the counsel is going to do it,











                                                             
2866

         1       why do we have to pay Mr. King who I'm not here

         2       to criticize or why do we have to pay 104,000?

         3                      ACTING PRESIDENT DeFRANCISCO:

         4       Senator Rath.

         5                      SENATOR RATH:  Yes, I think that

         6       there is probably a definition of who does what

         7       in the executive -- on the executive floor and

         8       Mr. King, my understanding right now, is in a

         9       fact finding mode, out on the highways and by

        10       ways of New York State uncovering much of what

        11       we have seen, only in more depth.

        12                      The counsel with the -- with the

        13       legal responsibilities, I think, is the

        14       appropriate -- appropriate person to assume that

        15       responsibility.  I think if there is -- that

        16       there's enough work to go around, frankly, in

        17       trying to get the regulatory burden off of the

        18       businesses, schools, health facilities, all

        19       across New York State.  We're still safeguarding

        20       what we all know we must safeguard.

        21                      SENATOR GOLD:  O.K.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       Senator Gold.











                                                             
2867

         1                      SENATOR GOLD:  Yes, Mr.

         2       President, on the bill, very briefly, and there

         3       will be a lot more questions.  I know Senator

         4       Dollinger and others have concerns, but what I

         5       think is fascinating is how we put out a bill

         6       with a certain philosophy and the bill itself

         7       violates that philosophy.

         8                      We tell the people that money is

         9       being wasted all over the place; we've got to

        10       cut down; we've got to conserve, and so we

        11       create new groups to do what we have groups

        12       doing.  The Administrative Regulation Review

        13       Commission, which is already in existence and

        14       where we have members of this house and the

        15       other house participating, is already charged

        16       with responsibilities.  In my opinion, we could

        17       do much more in that area than we've done.

        18                      It may be that the way the Senate

        19       gets structured, Senator Rath and others have a

        20       lot of responsibilities, and I know she's a very

        21       hard working person, but it may be that there

        22       are other duties, so we can't always do what we

        23       want to do, but we have a structure, and that -











                                                             
2868

         1       that structure could be doing things.

         2                      Now, we're creating other

         3       structures and Senator Rath says, Well, there's

         4       enough work for everybody.  I shrug my

         5       shoulders.  I thought that's what this was all

         6       about; we don't want duplication.  We don't want

         7       people doing the same kind of things.  We want

         8       to pull in government, make it tighter, save the

         9       taxpayer dollars, and then in the State of the

        10       State which I took rather seriously and as I

        11       said to you, I -- I believe that George Pataki

        12       is an honest man and says what's on his mind.

        13       He talks about a job where someone is going to

        14       get a big number, 104,000 last I heard is above

        15       minimum wage, and this person has a big job, and

        16       they're going to be looking and questioning and

        17       pulling and whatever, and in this bill, we say,

        18       that's fine, you take your 104,000, you go on

        19       the road, you know, I guess with your guitar and

        20       visit every place, but we want the Governor's

        21       counsel to hang out in Albany and do your work.

        22                      Well, in all fairness, we're

        23       working on budgets this week and 104,000 doesn't











                                                             
2869

         1       quite balance the budget, but you got to wonder

         2       why 104,000 to somebody whose job under the

         3       Republican philosophy, under this new wind -- no

         4       comment, Bill -- under this new wind, is going

         5       to be cutting back and making everything work.

         6                      I think that unquestionably there

         7       is more that we can do in the way of having a

         8       check and balance on regulations.  Part of it is

         9       the fact that we -- we have not done our job

        10       very, very well.  There's that terrible old

        11       expression, you know, fool me once shame on you;

        12       fool me twice shame on me.

        13                      Years ago, and I've only been

        14       around here for about 25, but years ago I heard

        15       people say we've got to do something about

        16       regulations.  My God, the agencies, that's not

        17       the law I passed.  Where did it say they could

        18       do that?  Well, the first time it happened,

        19       shame on them, but what about the next year and

        20       the next year and the next year?  And what about

        21       the fact that the Administrative Regulations

        22       Review Commission was formed years ago for this

        23       very purpose, and since that was formed -- and I











                                                             
2870

         1       remember there were a number of years when

         2       Senator Present, very distinguished colleague,

         3       was running the commission and if you had a bill

         4       on this floor, Senator Present had to stand up

         5       and say, Yes, our commission has reviewed it and

         6       the grant of regulatory authority in here is

         7       O.K.

         8                      So forget the Civil War days.

         9       Let's talk about the last ten years.  We

        10       supposedly have been reviewing all of the grants

        11       of regulatory authority that have been given to

        12       the agencies for all the time, and we've said,

        13       they're good, yeah, we want this bill, right.

        14       Of course, it had to be right because you

        15       wouldn't accept an amendment if we gave you the

        16       amendment anyway, but the bill was perfect.  The

        17       grant of regulatory authority is perfect.  So

        18       what are we complaining about?

        19                      Well, now, we hear that

        20       apparently it wasn't so perfect.  Apparently

        21       we've given broad authority to the agency, and I

        22       say to you, in all fairness, who gave them that

        23       grant?  It was not -- it wasn't George Onorato











                                                             
2871

         1       who drew that bill that threw away the ballgame,

         2       you know.  I can -- I can look around the room.

         3       Don't blame it on Catherine Abate.

         4                      I mean you people drew the bill

         5       and you people gave all these grants and now

         6       you're saying, Governor Pataki, you've been a

         7       member of the Assembly and you've been a member

         8       of the Senate, you have watched us throw away

         9       the ballgame.  Come save it.

        10                      And I -- I just say to myself

        11       that a little bit of insincerity, but I'm

        12       curious to hear what Senator Skelos has to say.

        13       Could I yield to that?

        14                      SENATOR SKELOS:  In response to

        15       that, Senator Gold, there will be an immediate

        16       meeting of the Higher Education Committee in

        17       Room 123 of the Capitol.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Immediate meeting of the Education Committee -

        20       excuse me.

        21                      SENATOR SKELOS:  Higher.

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       Excuse me -- the Higher Education Committee in











                                                             
2872

         1       Room 123 of the Capitol.

         2                      SENATOR GOLD:  At any rate, Mr.

         3       President, I'm interested in hearing the rest of

         4       this debate and hearing some more that this new

         5       wind has given new religion to my Republican

         6       colleagues and how in this one phenomenal

         7       election that happened in November, everybody

         8       got religion.  Everybody got education, as to

         9       how to redraft legislation.  I'm very proud of

        10       that.  I want to hear about it and at this point

        11       I'll sit down so I can continue my education.

        12                      ACTING PRESIDENT DeFRANCISCO:

        13       Senator Dollinger.

        14                      SENATOR DOLLINGER:  Thank you,

        15       Mr. President.

        16                      I'm sorry Senator Bruno isn't

        17       here because I was trying to ask the first

        18       question.  He said that this will create jobs

        19       and maybe Senator Rath can tell us, under the

        20       TQM model, you're supposed to know what your

        21       objectives are before you embark.

        22                      So perhaps Senator Rath, if she

        23       would yield to a question, could tell me how











                                                             
2873

         1       many jobs this bill will create and over what

         2       time frame they'll create them just so I know at

         3       some point in the future when we do an analysis

         4       of whether this has worked or not like a good

         5       TQM process would dictate, we'll know how many

         6       jobs it's creating and we'll be able to make an

         7       evaluation of whether this will work.  Senator

         8       Wright, if he will take that question?

         9                      ACTING PRESIDENT DeFRANCISCO:

        10       Senator Wright, would you yield?

        11                      SENATOR WRIGHT:  Be glad to, Mr.

        12       President.

        13                      There is no specific identifica

        14       tion of the number of jobs that are going to be

        15       created and, of course, that's just the converse

        16       of the problem that we have.  We can't identify

        17       what the jobs have been lost heretofore by the

        18       additional regulations that have been imposed,

        19       because the agencies don't identify that

        20       information, so we begin the process first of

        21       all by requiring that there be a job impact

        22       statement incorporated, whereupon we can

        23       identify the job loss.











                                                             
2874

         1                      Then having done that, we know

         2       the problem that we're addressing, we can then

         3       resolve that and identify the jobs that will be

         4       created.

         5                      But more importantly than the

         6       specific number is the concept, and the concept

         7       is that the business community consistently

         8       tells us that the added costs of regulation adds

         9       to the cost of doing business.  When you add to

        10       the cost of doing business, you make that

        11       business less than competitive.  That business

        12       then leaves this state and those numbers are

        13       well documented, 5-, 600,000 jobs over the last

        14       half dozen years in the state.

        15                      If you were to generously

        16       attribute half of those to regulation, that

        17       would give you some sense of the impact that

        18       we're seeing in this area.

        19                      SENATOR DOLLINGER:  Again through

        20       you, Mr. President, if Senator Wright would

        21       yield to another question.

        22                      SENATOR WRIGHT:  Sure.

        23                      SENATOR DOLLINGER:  Is it fair,











                                                             
2875

         1       and is it the position of the Majority in

         2       advancing these bills, that half of those

         3       600,000 jobs left the state because of the

         4       problems that this particular bill was designed

         5       to remedy?

         6                      ACTING PRESIDENT DeFRANCISCO:

         7       Senator Wright.

         8                      SENATOR WRIGHT:  Mr. President,

         9       no, that's not the position.  I was using that

        10       merely as an example to highlight the concerns.

        11                      In talking with the business

        12       community, they talk taxes, they talk

        13       regulations, they talk job loss of 600,000 jobs

        14       and the fact is no portion of it has been

        15       allocated to regulation.  The fact is that it's

        16       a significant contributor to job loss in the

        17       state.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Senator Dollinger.

        20                      SENATOR DOLLINGER:  Maybe, if

        21       Senator Rath would yield to a couple questions?

        22                      ACTING PRESIDENT DeFRANCISCO:

        23       Senator Rath, would you yield?











                                                             
2876

         1                      SENATOR DOLLINGER:  Again through

         2       you, Mr. President.  I heard you mention that

         3       Governor Pataki put a freeze on new regulations

         4       and there are about 350, is that the number?

         5                      SENATOR RATH:  Right, yeah, m-m

         6       h-m-m.

         7                      SENATOR DOLLINGER:  O.K.  It's

         8       been almost three full months since he put that

         9       freeze in place.  How many of those regulations

        10       has he determined are not appropriate in this

        11       state?

        12                      SENATOR RATH:  Interesting you

        13       would ask because I have sent a letter to the

        14       Governor about two weeks ago and I understand

        15       that the -- the draft is -- that they're

        16       developing a draft response for me as to how

        17       that is going to be dealt with.  Those 350,

        18       there are only five agencies that -- that we

        19       dealt with.

        20                      There was EnCon, Health,

        21       Insurance, Labor and who is -- they were the

        22       five agencies that -- I'm sorry, I can't

        23       remember the fifth one, five agencies that do











                                                             
2877

         1       the most regulating had the 350 ready to go and

         2        -- and the question -- and some of them have

         3       gone.  Some of them went by waiver through the

         4       Governor's office and through the Governor's

         5       counsel.

         6                      We had a circumstance with a tax

         7       one that the Tax Department needed, it was

         8       pointed out to us by the Bar Association had to

         9       be done immediately, and it was.  They went

        10       right in; within two days they had what they

        11       needed so that they could deal with their tax

        12       situation.  And so it hasn't been a total

        13       bottleneck, but what it did was to slow -- slow

        14       it down, and one of the bills that we have in

        15       this package would continue this agenda

        16       development.  40 agencies, Business Council

        17       people spoke with me as late as just last week

        18       saying, What's happening with that, that bill of

        19       yours, and I said, Going into the omnibus piece

        20       as it comes out.

        21                      They were very anxious because

        22       they believed that the statement of the agenda

        23       is extraordinarily important to the regulated











                                                             
2878

         1       community, so that all of a sudden they don't

         2       read an official document that this has been

         3       promulgated and they're expected to comply with

         4       it.  If it's there before, they might have an

         5       opportunity to make some -- some comment, before

         6       it's promulgated as in the regular -- the

         7       negotiated rule-making piece we debated on this

         8       floor.

         9                      SENATOR DOLLINGER:  Again, Mr.

        10       President.

        11                      ACTING PRESIDENT DeFRANCISCO:

        12       Senator Dollinger.

        13                      SENATOR DOLLINGER:  I just repeat

        14       the question.  Do you know how many of the 350

        15       have been determined to be inappropriate under

        16       the Governor's new standard?

        17                      SENATOR RATH:  No, I don't, and I

        18       think that's a really good question.  That's -

        19       the letter that I get, I'll be glad to share the

        20       response with you so that -- and if that letter

        21       doesn't answer our questions, then we'll go back

        22       and we'll write another letter and get more in

        23       formation because the time period is over, April











                                                             
2879

         1       1st it's over, and those 350 or as many of them

         2       that have not gone through by special waiver,

         3       yes, I think we have some responsibility for

         4       that.

         5                      SENATOR DOLLINGER:  O.K. Again

         6       through you, Mr. President.  So we have no

         7       evidence today that any of the 350 regulations

         8       wouldn't be appropriate under either the

         9       Governor's new executive order or under the law

        10       as it currently exists in this state?

        11                      ACTING PRESIDENT DeFRANCISCO:

        12       Senator Rath.

        13                      SENATOR RATH:  I'm not sure what

        14       you're talking about.  That was a statement.

        15                      SENATOR DOLLINGER:  No, but my

        16       question is we have nothing to suggest that any

        17       of the regulations that were frozen on the 1st

        18       of January would be inconsistent with the

        19       Governor's agenda or inconsistent with the theme

        20       of this bill, correct, because the Governor, who

        21       I assume has shared your view that there's too

        22       much regulation and shares the view that we've

        23       over-regulated certain communities, but yet











                                                             
2880

         1       despite that seeming displeasure with the

         2       regulatory environment, there's no evidence that

         3       he's stopped or is not going to allow into

         4       effect any of the 350 regulations around the

         5       table, is there?

         6                      ACTING PRESIDENT DeFRANCISCO:

         7       Senator Wright, why do you rise?

         8                      SENATOR WRIGHT:  Would Senator

         9       Dollinger yield to a question, please?

        10                      SENATOR DOLLINGER:  I want to get

        11       an answer to mine, Mr. President, and I'll be

        12       glad to.

        13                      ACTING PRESIDENT DeFRANCISCO:

        14       All right.  First, Senator Rath, can you answer

        15       the question, or would you like the question

        16       repeated?

        17                      SENATOR RATH:  Let me say, as I

        18       recall, last year I sat there, George Pataki sat

        19       there.  I think the persona of the new Governor

        20       is certainly known to  people in this house and

        21       certainly those who served in the Assembly.  The

        22       Governor made the comment, when he made his

        23       moratorium as his second piece of business, I











                                                             
2881

         1       believe, when he took over the reins of

         2       government, his phrase was typical George

         3       Pataki, and I quote:  I need to get my arms

         4       around these regulatory regulations, and we see

         5       these 350 here, we need to take a look at them.

         6       That was, quote, George Pataki.

         7                      SENATOR DOLLINGER:  I guess I

         8       didn't get any of them; is that what you're

         9       saying.

        10                      ACTING PRESIDENT DeFRANCISCO:

        11       Senator Wright, why do you rise?

        12                      SENATOR WRIGHT:  Senator

        13       Dollinger, would you yield to a question,

        14       please?

        15                      SENATOR DOLLINGER:  Sure.

        16                      SENATOR WRIGHT:  Senator, of

        17       those 350 regulations that have been placed on

        18       hold for the last 89 days, have you missed any

        19       of them?

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Senator Dollinger.

        22                      SENATOR DOLLINGER:  With all due

        23       respect, Mr. President, I don't know what the











                                                             
2882

         1       regulations were, but obviously some people

         2       missed them, because there were waivers

         3       granted.  I have had several complaints from

         4       people in my district about the slow pace of the

         5       regulatory environment in getting relief in some

         6       of those instances.

         7                      I haven't missed them, but I have

         8       heard from parts of my communities, particularly

         9       health care and other areas, that people have

        10       been wondering about what's going on in the

        11       development of regulations to implement the

        12       bills that this Legislature passed last year and

        13       were signed into law.

        14                      So the answer is I haven't missed

        15       them, but some people that I represent have.

        16                      ACTING PRESIDENT DeFRANCISCO:

        17       Senator Wright.

        18                      SENATOR WRIGHT:  I believe that's

        19       the point, Senator, that in fact given that

        20       volume of 350 regulations, certainly there are

        21       valid regulations, we have not contended that

        22       there aren't, that are being implemented that

        23       are consistent with statute that are carrying it











                                                             
2883

         1       forth, but I would also contend that given 350

         2       regulations, there are a great many of them that

         3       we haven't missed.

         4                      This state, in fact, has not come

         5       to a halt.  We continue to move ahead.  We

         6       continue to implement the programs and the

         7       services that are critical to this state, the

         8       point being that in this 90-day period what, in

         9       fact, has occurred is a documentation that we

        10       don't need as many regulations as are

        11       consistently promulgated by these agencies and,

        12       in fact, we can get by with less and that's what

        13       this -- this statute talks about.

        14                      ACTING PRESIDENT DeFRANCISCO:

        15       Senator Dollinger.

        16                      SENATOR DOLLINGER:  Mr.

        17       President, would Senator Wright yield to a

        18       question so I can clarify his statement?

        19                      ACTING PRESIDENT DeFRANCISCO:

        20       Senator Wright, would you yield so he can

        21       clarify your statement?

        22                      SENATOR DOLLINGER:  Senator,

        23       where is your evidence that we don't need these











                                                             
2884

         1       regulations? I assume if we don't need them,

         2       George Pataki will send them back since he now

         3       runs the government and since he now has the

         4       commissioners who issue these regulations, he

         5       can tell them himself; pick up the phone,

         6       they'll answer his call.  He'll say, "Gee, Dr.

         7       DeBuono; gee, John Daly, Gee, X, don't issue

         8       those regulations.  They're no good," and I

         9       assume that the commissioner will then say,

        10       "You're right.  O.K.  We won't."

        11                      So he's got the ability to stop

        12       any one of those 350 regulations like that.

        13       That's with the power we give in the executive.

        14       Is there any evidence that he's done that yet to

        15       any one of those 350 regulations?

        16                      ACTING PRESIDENT DeFRANCISCO:

        17       Senator Wright.

        18                      SENATOR WRIGHT:  I don't -

        19       Senator, I have no personal knowledge having not

        20       perceived that issue with the Governor in terms

        21       of whether or not he has stopped any at this

        22       particular juncture, but in fact he does have

        23       that authority through his commissioners, but as











                                                             
2885

         1       you're well aware, and I think all of us are,

         2       this is not the only issue that's on the

         3       Governor's plate at the present time as he works

         4       through budget and a number of other concerns

         5       and I think that only adds further credence to

         6       the need to place a moratorium on it for 90 days

         7       to ensure that we do carry through on those

         8       issues.

         9                      ACTING PRESIDENT DeFRANCISCO:

        10       Senator Rath, why do you yield -- why do you

        11       rise?

        12                      SENATOR RATH:  I rose because I

        13       believe I can add to the debate between Senator

        14       Wright and Senator Dollinger.

        15                      SENATOR DOLLINGER:  Mr.

        16       President, I'd be glad to have Senator Rath

        17       amplify or enlarge on the question if she so

        18       chooses.

        19                      ACTING PRESIDENT DeFRANCISCO:

        20       Senator Rath.

        21                      SENATOR RATH:  Yes, Mr.

        22       President, the 350 regulations that we're

        23       talking about are those of the agencies that











                                                             
2886

         1       they were to promulgate some time in 1995.  They

         2       were not, as you might think, in a great horse

         3       race with the gong going January 1st, passing

         4       the horses are out of the gate.  That's not

         5       exactly the way it happens, and I think the

         6       Governor has been prudent in suggesting that we

         7       need to take a look at these, because we have

         8       not had in place a mind set, an attitude, if you

         9       will, in New York State that would say, Let's

        10       regulate less if we can.

        11                      What we have had in New York

        12       State has been, Let's regulate more in order to

        13       safeguard whatever it is we're safeguarding with

        14       the regulations, and I believe the Governor's

        15       mind set on this is, let's take a look at them

        16       before they come out and cause any damage, and

        17       so with his new department heads and with the

        18       five agencies and the fifth one that I was

        19       trying to remember is Education, and as I spoke

        20       in my opening remarks, it's not just business,

        21       and it's not just the environmental issues, it's

        22       small government, it's the small municipalities,

        23       it's education, it's health care, it's every











                                                             
2887

         1       where.

         2                      The volume of effort that needs

         3       to be done in order to unwind some of what we

         4       have put on the -- the yoke that we've put on

         5       the back of the people of New York State who try

         6       to do business, whether it's the business of

         7       education or the business of business, whatever

         8       it might be, we have -- we have done a real dis

         9       service and I don't know how it's happened, I

        10       don't know.  It was done by well-meaning people,

        11       but -

        12                      SENATOR DOLLINGER:  I -

        13                      SENATOR RATH:  We're well-meaning

        14       but we're also zealous, and we get onto a cause

        15       and we think, yeah, it's a hundred percent, a

        16       hundred percent good; it's got to be better.

        17       That's not necessarily so, because the costs of

        18       110 percent are sometimes just beyond anything

        19       that's reasonable.

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Senator Dollinger.

        22                      SENATOR DOLLINGER:  Would Senator

        23       Rath yield to another question?











                                                             
2888

         1                      SENATOR RATH:  Sure.

         2                      SENATOR DOLLINGER:  Are you aware

         3       that the managed care regulations for Workers'

         4       Comp. which we required to be issued in order to

         5       put workers -- a managed care system for

         6       Workers' Comp. in 1993, almost two years ago we

         7       passed a bill that created managed care in this

         8       state, we required that regulations be issued

         9       and that those are among the 350 regulations

        10       that are sitting in limbo waiting for the

        11       Governor to do something with them?

        12                      ACTING PRESIDENT DeFRANCISCO:

        13       Senator Rath.

        14                      SENATOR RATH:  You say they are.

        15                      SENATOR DOLLINGER:  They are.

        16                      SENATOR RATH: Well, then if

        17       that's the case and we need to move forward -

        18       and those of us -- and I wasn't aware of that

        19       because I wasn't here until the very end of 1993

        20       and I'm glad you brought that up because you,

        21       Senator Dollinger, like people all across New

        22       York State, are pointing out to us what we need

        23       to do to make this government and this system











                                                             
2889

         1       work.  If that one needs to come out quickly, I

         2       will have that fact taken and we will get a note

         3       to the Governor immediately that they should

         4       take a look at that one immediately because that

         5       one's important.  I agree.

         6                      ACTING PRESIDENT DeFRANCISCO:

         7       Senator Dollinger.

         8                      SENATOR DOLLINGER:  Again, will

         9       Senator Rath yield for one other question?  Then

        10       I'll stop.

        11                      ACTING PRESIDENT DeFRANCISCO:

        12       Senator Rath, will you yield?

        13                      SENATOR RATH:  Yes.

        14                      SENATOR DOLLINGER:  It deals with

        15       your bakery example, much as I understand it.

        16       Someone -- was it at the EPA -

        17                      SENATOR RATH: Pardon?

        18                      SENATOR DOLLINGER:  The EPA or

        19       the DEC?

        20                      SENATOR RATH:  The EPA and this

        21       is very typical of the regulatory community, the

        22       EPA has one regulation and the DEC has come in

        23       with that which is greater or lesser, but the











                                                             
2890

         1       EPA, yes, is the one that had the problem.

         2                      SENATOR DOLLINGER:  But my

         3       understanding is the EPA came into the bakeries

         4       and said, This is the problem.  The bakeries

         5       said, No, this isn't the problem but we can cure

         6       another problem by using uncycled fuel in our

         7       vehicles.

         8                      SENATOR RATH:  I think the

         9       Senator is still framing his question.

        10                      ACTING PRESIDENT DeFRANCISCO:

        11       Senator Rath.

        12                      SENATOR DOLLINGER:  Through you,

        13       Mr. President, isn't that the exact kind of

        14       joint decision making and regulation that we

        15       want to have?

        16                      SENATOR RATH:  You bet.

        17                      SENATOR DOLLINGER:  So what you

        18       site as an example of the bakery problem being

        19       over-regulation is actually an example of how

        20       you work together to come to the right

        21       conclusion.

        22                      SENATOR RATH:  You bet.

        23                      SENATOR DOLLINGER:  If that's the











                                                             
2891

         1       case, then why do we need to change it?

         2                      SENATOR RATH:  Why do we need

         3       what?

         4                      SENATOR DOLLINGER:  Why do we

         5       need to change it.  If we've got -- if that's

         6       the way it works now, why do we need to change

         7       it?

         8                      SENATOR RATH:  Well, in the piece

         9       of legislation that we're talking about, the

        10       example that we have is not going to be changing

        11       anything, but there are in relation to the

        12       bakeries that we're talking about with the EPA

        13       and the DEC, that is the kind of thing that the

        14       negotiated rule-making legislation that has

        15       passed this house at various times would -

        16       would accomplish, and it's a matter of people of

        17       good will attempting to find the best answer and

        18       the people in the bakery business had the best

        19       answer as to how they could comply with the

        20       responsibilities of the Clean Air Act that the

        21       EPA said was their responsibility and then down

        22       through the DEC people who think the only way to

        23       solve it is smoke stack emission.











                                                             
2892

         1                      There's a little book, Senator,

         2       I'd like to recommend for your perusal, the name

         3       of it -- I have a compendium here of it -- that

         4       was done in U.S. News and World Report.  The

         5       name of the book is "The Loss of Common Sense"

         6       and it's written by a man by the name of

         7       Howard.  It's a new little book, a small volume,

         8       and in that example after example are cited how

         9       we have lost the kinds of common sense that are

        10       so -- here it is, The Death of Common Sense.  If

        11       you'd like -- I'll tell you what, I'll Xerox

        12       this and I'll send you this and, if you like

        13       this much, then you can go get the whole book.

        14                      SENATOR DOLLINGER:  I think I

        15       read the crib notes, Senator.

        16                      SENATOR RATH:  You have read the

        17       book?

        18                      SENATOR DOLLINGER:  No, I read

        19       the crib notes.

        20                      SENATOR RATH:  Let me read for

        21       you, if I may, Mr. Chairman, the last paragraph

        22       and I think this sort of sums up what I feel

        23       about this issue:  Laws cannot save us from











                                                             
2893

         1       ourselves.  Waking up every morning we have to

         2       go out and try to accomplish our goals and

         3       resolve disagreements by what we think is

         4       right.  Energy and resourcefulness, not millions

         5       of legal cubicles are the things that made

         6       America great.  Let judgment and personal

         7       conviction be important again.  There is nothing

         8       unusual or frightening about it.  It's just

         9       common sense.

        10                      And that's what this omnibus bill

        11       has tried to do.  It has tried to pull apart

        12       some of the bad things that we are -- that we're

        13       doing, habits if you will, that we've gotten

        14       into, and it's put into place some of the good

        15       things that we need to do so that common sense

        16       can take over again in New York State and that

        17       business will say, yes, this is a good place to

        18       do business.  They're not over-regulating us

        19       every day and every night.

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Senator Dollinger.

        22                      SENATOR DOLLINGER:  Mr.

        23       President, on the bill.











                                                             
2894

         1                      I agree with Senator Rath that

         2       the hallmark, touchstone in this discussion

         3       ought to be common sense, but I find it somewhat

         4       unusual when she used the example of Lake Erie

         5       being polluted, having garbage dumped in it for

         6       50 years, 100 years.  Why?  Because that was the

         7       common sense thing to do that day.  You had

         8       trash, you got rid of it.  You dumped it in the

         9       water.

        10                      It turned out we decided that

        11       there was more common sense in regulating the

        12       use of toxins in water or dumping garbage.

        13       Why?  Because government had the common sense to

        14       realize that simply using your private property

        15       to dump garbage in it was not the right thing to

        16       do, so we decided to regulate that in the common

        17       sense for the common good.  It was the right

        18       thing to do; absolutely the right thing to do.

        19                      Now, all of a sudden, we've got

        20       this sense that the regulatory environment is

        21       out of control, and I said this the last time we

        22       debated, but I've come up with a new analogy.

        23                      You know that commercial about -











                                                             
2895

         1       it's been in Rochester, it's just in between the

         2       Pataki commercials and the other commercials.

         3       It's a commercial where they turn on the

         4       television set and the monster comes up on the

         5       television set and the television set starts to

         6       move.  The family doesn't know what to do.  The

         7       television set chases them up the stairs and

         8       locks them in a room and it's trying to knock

         9       down the door.  Then all of a sudden the kid

        10       says, "My gosh, I've got the remote."  He points

        11       the remote at the TV set and goes "click" and

        12       all of a sudden the TV goes dead.

        13                      We have the power in this chamber

        14       to take the remote control and to click it to

        15       any one of the regulatory environments we want

        16       to.  We can take the Department of Health and go

        17       "click", just turn off all of its regulatory

        18       power, because the only power they have is the

        19       power they get from us.  We can turn off the

        20       power, and I find it somewhat inconsistent that

        21       from the other side of the aisle comes this

        22       chant that we've now created this regulatory

        23       monster that we can't control.











                                                             
2896

         1                      We do have, as Senator Gold

         2       properly pointed out, a regulatory review

         3       commission.  We could review all these

         4       regulations ourselves.  We could decide that

         5       they're inconsistent with the statutory

         6       authority we gave them.  We haven't done that.

         7       We could sit down and decide that we don't want

         8       to give them regulatory power at all, that we

         9       will enact all the regulations into law.  We

        10       haven't done that, and then to top it off,

        11       Senator Gold properly point out that my friend

        12       Bob King, my poor friend Bob King, County

        13       Executive in Monroe County, he gives up the job

        14       because George Pataki has promised him that he

        15       will become the regulatory policeman in the

        16       state of New York.  And as Senator Gold properly

        17       points out, we're going to pay him $104,000 to

        18       be the regulatory policeman, but what does he

        19       find out upon coming to Albany?

        20                      He comes out that the Senate

        21       Republicans are going to pass a bill which says,

        22       "Guess what?  You're not the top cop anymore.

        23       We're going to make the Governor's counsel the











                                                             
2897

         1       top cop and we're going to let him be the

         2       policeman who decides what the regulations are,

         3       and we're not going to let you, Bob King, do

         4       that."

         5                      So it seems to me that my poor

         6       friend, Bob King, comes all the way down to

         7       Albany, finds out that he's not going to get the

         8       job he wants, and then he's going to find out

         9       that someone like Rick Dollinger is going to

        10       stand up and say, "Why should we pay $104,000

        11       for Bob King to do what the law is going to

        12       require Mike Finnegan is going to do?"

        13                      It sounds to me like we're

        14       running into the old regulatory trap of simple,

        15       pure duplication of function.  We're going to

        16       have two guys doing the same thing in this new

        17       slim-down government.  We're going to tighten up

        18       the ship.  I don't know how we can afford

        19       $104,000 for duplication.  Mr. King might find

        20       out that he just -- his salary happens to go in

        21       the way of budget cutting, because certainly we

        22       don't want to put two guys in to do the same

        23       job.











                                                             
2898

         1                      It seems to me this whole bill,

         2       this whole concept, regulatory reform -- you're

         3       correct, Senator Rath, the wind is blowing; the

         4       word is regulatory reform.  We've had the power

         5       to change it for decades.  This Majority hasn't

         6       done anything about it.  We haven't been able to

         7       work out a bill with the Assembly, and now all

         8       of a sudden because it's politically popular,

         9       everybody wants to make sure they're on the

        10       bandwagon.

        11                      Well, I don't think this bill

        12       does the job.  I think it's got a lot of stuff

        13       in it that doesn't make a lot of sense.  Start

        14       off with the first page in which they duplicate

        15       the functions of Bob King.  I think it all goes

        16       downhill from there.

        17                      I think if we really want

        18       regulatory reform, let's roll up our sleeves.

        19       Let's do it here.  Let's tell these agencies

        20       where they have been overly zealous.  Give the

        21       Governor in this state who, as Senator Gold

        22       properly points out, now has all his

        23       commissioners who would guard against their











                                                             
2899

         1       excessive zeal.  We've all got it in place now.

         2       Why don't we wait and see what they do and then

         3       determine whether we need, I would point out, 56

         4       pages worth of regulatory reform.  56 pages?  I

         5       can see the regulations that spew from this will

         6       be 1,000 pages long.  We can't put it in three

         7       or four pages.  It doesn't seem that we can.

         8       This is part of the problem, 56 pages of

         9       regulatory reform.

        10                      With all due respect to our

        11       President of the United States, it's like a

        12       health care plan that they tried to reform

        13       health care with an 1100-page document.  This

        14       may be politically very sellable, but I don't

        15       think it makes a lot of sense.

        16                      ACTING PRESIDENT DeFRANCISCO:

        17       Senator Abate.

        18                      SENATOR ABATE:  Yes.  Would

        19       Senator Rath yield to a question?

        20                      ACTING PRESIDENT DeFRANCISCO:

        21       Senator Rath.  Senator Rath, would you yield to

        22       a question?

        23                      SENATOR RATH:  Sure.











                                                             
2900

         1                      SENATOR ABATE:  Yes.  My concerns

         2       and questions are around the mandated negotiated

         3       rulemaking process, and what does not make sense

         4       to me because -- certainly through the years

         5       talking with my friends in the Republican Party,

         6       one thing that they have been very good at is

         7       clarity of message, and what's -- and also a

         8       conviction that their party does not represent

         9       special interests, that they're a party of

        10       independence, a party that certainly has all the

        11       initiative and gumption to rule for themselves,

        12       and it seems to me that this negotiated

        13       rulemaking procedure gives undue weight to a

        14       special interest.  Maybe you can explain the

        15       change in direction of the administration in

        16       this regard.

        17                      SENATOR RATH:  Okay.  My

        18       understanding, and both of us being fairly new

        19       to the Legislature as we attempt to sort out

        20       what it -

        21                      SENATOR ABATE:  You're a veteran

        22       in comparison to me.

        23                      SENATOR RATH:  Pardon me?











                                                             
2901

         1                      SENATOR ABATE:  You're a veteran

         2       in comparison to me.

         3                      SENATOR RATH:  One-year veteran.

         4       Yeah, I guess I am a one-year veteran.

         5                      The -- my understanding is that

         6       the need for the negotiated rulemaking has been

         7       because the business community has not been a

         8       part of the discussions.  They found out about

         9       the rules or the regulations after they were

        10       promulgated, and in many cases these rules and

        11       regulations have the weight of law.  They're

        12       taken -- they're used by agencies that feel that

        13       the businesses are not complying.  They take

        14       them to court and they do have the weight of law

        15       in many cases, and so the regulators -- and

        16       hearkening back to a few earlier words, I

        17       believe, from one of the other speakers, that we

        18       have the -- we have the opportunity to do all of

        19       this ourselves now.  There's the Governor and

        20       his new -- new heads of agencies, but many of

        21       the people that are in the agencies that write

        22       the regulations are people who have been there

        23       for years, and they will continue to be there.











                                                             
2902

         1       They are not going to be changed or replaced.

         2       They're civil servants, and for the most part

         3       they do their jobs very well, but unless there's

         4       a responsibility to talk with and work with the

         5       community that is about to be regulated -- and

         6       let's bounce back to my example of the

         7       smokestacks in the bakery industry.

         8                      If those people had not been

         9       brought in and the discussions held and the EPA

        10       brought in, all of what is about now to be a

        11       very successful common sense resolution to the

        12       problem, not such a costly one that those

        13       bakeries would have moved out of New York

        14       State.  That wouldn't have happened, but that

        15       happened rather serendipitously.  That was not

        16       because there was anything anywhere that said

        17       that that had to happen that way.

        18                      ACTING PRESIDENT DeFRANCISCO:

        19       Senator Abate.

        20                      SENATOR ABATE:  Yes.  Would you

        21       yield to another question?

        22                      SENATOR RATH:  Sure.

        23                      SENATOR ABATE:  I don't











                                                             
2903

         1       understand and, as you know, I have been a

         2       commissioner of four agencies and if there is a

         3       strong, able commissioner, they can direct their

         4       staff that before any rules and regulations take

         5       place, that input be taken from the critical

         6       industries that are affected by those rules and

         7       regulations.

         8                      Are you suggesting that there

         9       aren't in existence now strong and able

        10       commissioners that can get that input, have

        11       those discussions, set up those committees prior

        12       to the promulgation of a rule and regulation and

        13       not -- and avoid the need to have a mandated

        14       negotiated rulemaking process after the fact

        15       that forces compromise upon that commissioner?

        16                      ACTING PRESIDENT DeFRANCISCO:

        17       Senator Rath.

        18                      SENATOR RATH:  Yes.  The

        19       legislation, Senator Abate, provides for, quote,

        20        "To the maximum extent feasible, membership on

        21       the committee shall include an equal number of

        22       agency and non-agency members."  And so there is

        23       a recognition here that the agency that has been











                                                             
2904

         1       dealing with this has the experience, yes, but I

         2       think we also need to make sure that those who

         3       it is being done unto are part of the

         4       discussion.

         5                      SENATOR ABATE:  Senator Rath, you

         6       raised a good point, and I'm not aware of the

         7       answer to this or else I wouldn't be asking the

         8       question to this.  How many people are agency

         9       people on this committee; do they constitute a

        10       majority of the committee?

        11                      SENATOR RATH:  No, the agency

        12       does not -- let me take a second look in here to

        13       see the exact numbers.

        14                      SENATOR WRIGHT:  Mr. President.

        15                      ACTING PRESIDENT DeFRANCISCO:

        16       Senator Wright, why do you yield -- why do you

        17       rise?

        18                      SENATOR WRIGHT:  Would Senator

        19       Abate yield to question while you're waiting?

        20                      SENATOR ABATE:  Yes.

        21                      SENATOR WRIGHT:  Senator, would

        22       you acknowledge that within given areas people

        23       have special expertise and special knowledge











                                                             
2905

         1       acquired over experience?

         2                      SENATOR ABATE:  Absolutely.

         3                      SENATOR WRIGHT:  Okay.  And would

         4       you further acknowledge that, given that

         5       expertise, particularly if it's going to be in a

         6       regulated environment, that perhaps an agency,

         7       even a well-meaning commissioner who doesn't

         8       have that expertise could learn from the

         9       individuals with that expertise?

        10                      SENATOR ABATE:  No question.

        11                      SENATOR WRIGHT:  Then you would

        12       agree that, in fact, enabling that expertise to

        13       be brought to the question, to focus on

        14       resolving the problems, in fact, is not a

        15       special interest but utilizing special

        16       expertise, special experience to craft the

        17       regulation in the best manner we can to protect

        18       the interest of all parties.

        19                      SENATOR ABATE:  But where I

        20       disagree -- there is no question that an able

        21       administrator needs to receive input from a

        22       whole host of special interests, but they should

        23       not leave the decision-making and the responsi











                                                             
2906

         1       bility they have to protect all New Yorkers to

         2       any one special interest, particularly the

         3       special interests that would be most affected by

         4       the regulation.

         5                      I agree wholeheartedly that

         6       business needs to be at the table, that business

         7       should be consulted, but I do not believe that

         8       the shifting of decision making and the

         9       protection of all New Yorkers should be made by

        10       special interests.  They should be made by the

        11       Governor, by the Legislature and appointed

        12       commissioners.

        13                      I believe this places too much

        14       power -- I mean, I'm still waiting for the

        15       answer where the majority of the committee is

        16       constituted by agency members or by special

        17       interest members.

        18                      SENATOR WRIGHT:  I believe that

        19       you'll find that, in fact, this doesn't dispro

        20       portionately shift the governmental responsibil

        21       ities that agencies and commissioners have, but

        22       it does ensure that the special expertise, the

        23       experience, is brought to the table because,











                                                             
2907

         1       unfortunately, heretofore, we've not had that

         2       kind of participation, and while I think this

         3       Governor and these commissioners will utilize

         4       negotiated rulemaking far more than their

         5       predecessors, historically, we've not seen that

         6       to be the case.  We've seen the issue given lip

         7       service.  We've seen regulations impose undue

         8       burdens when the industry has warned that this

         9       will not work and, in fact, this will cost money

        10       only to have the agency implement the rule and

        11       then come back six months later and recommend

        12       that it be rescinded because of that cost.

        13                      SENATOR ABATE:  I just want to

        14       state again, I agree -

        15                      ACTING PRESIDENT SEWARD:  Excuse

        16       me, Senator Abate.  Could we just interrupt the

        17       discussion briefly?  I'd like to recognize

        18       Senator Velella.

        19                      SENATOR VELELLA:  Mr. President,

        20       would you recognize -- Senator Stafford has an

        21       announcement to make.

        22                      ACTING PRESIDENT SEWARD:  Senator

        23       Stafford.











                                                             
2908

         1                      SENATOR STAFFORD:  Thank you,

         2       Senator Seward.  Thank you, Senator Velella.

         3       Thank you, Senator Skelos.

         4                      Could I please call an immediate

         5       meeting of the Committee on Finance in Room 332

         6       again.  We apologize for the interruption.

         7                      ACTING PRESIDENT SEWARD:

         8       Immediate meeting of the Finance Committee in

         9       Room 332.

        10                      Senator Abate, I believe you have

        11       the floor.

        12                      SENATOR RATH:  Mr. Chairman, I

        13       think I have -

        14                      ACTING PRESIDENT SEWARD:  And

        15       Senator Rath was about to answer your question.

        16                      SENATOR RATH:  I have your

        17       answer, Senator Abate.

        18                      SENATOR ABATE:  Okay.  Just to

        19       respond again, I believe business and other

        20       interests in the state should be at the table,

        21       and government is negligent when they don't seek

        22       the input and expertise of these particular

        23       communities.  However, the business community,











                                                             
2909

         1       environmentalists, other people were not elected

         2       to govern, and when we shift decision-making

         3       from government to a special interest, I fear

         4       that the entire state will lose protections

         5       because there has to be someone at the helm

         6       balancing the interests of the state and coming

         7       forward for the protections that are critical

         8       and needed to safeguard all New Yorkers, and

         9       that's my fear, not that we in government

        10       shouldn't seek advice and expertise.  I feel

        11       that this rulemaking and the fact that it's

        12       mandating, forcing compromise will shift the

        13       balance of power inappropriately but, Senator

        14       Rath, yes, I welcome the answer to my question.

        15                      SENATOR RATH:  Okay.  Let me

        16       continue on quoting from the bill:  "That the

        17       membership on the committee shall include an

        18       equal number of agency and non-agency members

        19       and shall be limited to no more than 25 members

        20       unless the office determines a greater number of

        21       members is necessary for the proper functioning

        22       of the committee or to achieve the balanced mem

        23       bership; provided, however, that in no instance











                                                             
2910

         1       shall the number of agency representatives

         2       exceed one half of the membership of the

         3       committee."

         4                      And so, it will be an equally

         5       balanced committee, no more than half the

         6       members.  So the agency will have the balance on

         7       the committee if it should -- push should come

         8       to shove.

         9                      But I think we've agreed here

        10       today that we need to do something to reform

        11       over-zealous regulators, and your point,

        12       Senator, was one that I have heard as we've gone

        13       through the debate and, believe me, everyone

        14       knows that we need regulations and we need to

        15       safeguard the health, welfare, consumer

        16       protection interests, et cetera, but what we

        17       have heard from all over the state of New York

        18       and, indeed, people all over the United States,

        19       that we have been over-zealous, and I think we

        20       could afford to do that as a country and as a

        21       state because we had -- we had resources.  We

        22       had a lot of resources, and I think we were able

        23       to spend those resources and there was still











                                                             
2911

         1       more coming up behind them, but those days, I

         2       think, are waning or have waned completely.  And

         3       so now we need to husband our resources and very

         4       carefully ensure, for example, that the bakery

         5       does not have to put on millions of dollars

         6       worth of scrubbers on smokestacks when all they

         7       need to do really is convert their fleet in

         8       order to be under the air emissions standard

         9       that they're required to do.

        10                      So I think we mean well, and this

        11       is what this omnibus legislation is aiming at.

        12                      SENATOR ABATE:  When you go back

        13       to the constitution of this committee, you

        14       stated that no more than one-half of those

        15       members would be agency members.  So I read that

        16       to mean 12 would be agency appointments and the

        17       other 13 would be from the special interests.

        18       So, conceivably, the special interests could

        19       force a compromise against the wishes of that

        20       commissioner if they control 13 of the votes.

        21                      SENATOR RATH:  If the office

        22       determines a greater number of members is

        23       necessary for the proper functioning of the











                                                             
2912

         1       committee, then the office will put in more

         2       people.  However, the office -- it can be an

         3       uneven member.  It can be an even number.  The

         4       agency has the responsibility of determining

         5       whether it's even or uneven and whether the

         6       votes balance or are unbalanced, but the

         7       legislation provides for the balance of the

         8       weight of the vote to be with the office.

         9                      SENATOR ABATE:  I have a couple

        10       other questions if the Senator would yield to

        11       those questions.

        12                      Who decides who is a special -

        13       let me use the words of the bill -- a

        14       "substantially affected person"?  Who defines

        15       that, and what is the definition of that

        16       person?

        17                      SENATOR RATH:  I believe that the

        18       substantial reference would be determined by the

        19       committee who is, of course, well meaning.

        20       There are -- throughout this omnibus piece of

        21       legislation, there is reference to major

        22       legislation and the term "substantial", and I

        23       believe that in this particular bill -- although











                                                             
2913

         1       I am not the prime sponsor of negotiated

         2       rulemaking, I need to tell you, Senator, that it

         3       has passed this Legislature twice, and so there

         4       is a great deal of commitment to negotiated

         5       rulemaking in this house and, hopefully, we're

         6       going to see a good deal of interest coming from

         7       the Assembly, and I welcome, as I know you have

         8       spoken of the conference effort we see, I think,

         9       the first one happening today on the 65-mile

        10       per-hour speed limit, the effort of conferencing

        11       with the Assembly as we move forward to -- to

        12       give New York State some of this forward

        13       thinking and aggressive posture as we try to

        14       free up our resources.

        15                      SENATOR ABATE:  Would the Senator

        16       yield to another question?

        17                      ACTING PRESIDENT SEWARD:  Senator

        18       Rath, will you yield?

        19                      SENATOR RATH:  Surely.

        20                      SENATOR ABATE:  Thank you,

        21       Senator.

        22                      Clearly, the mandated process is

        23       put in place to reach a goal of consensus.  Is











                                                             
2914

         1       there a time limit on -- let's say the 20 to 25

         2       people who constitute this committee do not

         3       reach a consensus after several months.  Is

         4       there a time limit placed when that decision

         5       then would revert back to the agency?

         6                      SENATOR RATH:  I think that the

         7       issue would drive the time limit, Senator.  If

         8       something is burning and it has to be done, it

         9       will get done, and I think to put a time limit

        10       on it would be counterproductive, because we

        11       would be forcing a group into a hasty decision,

        12       if necessary, or saying that if it's not done by

        13       such and such a time, it's not going to be done

        14       because it's not important enough.

        15                      I think that -- and you spoke of

        16       the good will of the agency and the effort to

        17       reach consensus.  I think that we have to go

        18       back to common sense and good will in some of

        19       this, saying that we cannot put into statute

        20       every single piece of everything.  I think

        21       that's been part of the problem.

        22                      I don't know if you were on the

        23       floor as I read to Senator Dollinger what I felt











                                                             
2915

         1       was a really important piece in this very

         2       important little volume that has come forward

         3       saying that, "We can't resolve and accomplish

         4       everything by putting things into millions of

         5       legal cubicles."  That's -- that's just not

         6       possible.

         7                      I think we have to have some

         8       trust measured there.  We set up the framework

         9       for this, and if we need a tighter framework

        10       when we negotiate this with the Assembly, I

        11       think we will all be in the room to talk about

        12       how tight a framework, but also how much

        13       flexibility we want to offer, because those are

        14       the two sides of what we're talking about here,

        15       a tight framework that mandates and locks it

        16       down and the flexibility to allow some common

        17       sense to come in.

        18                      SENATOR ABATE:  Would the Senator

        19       yield to another question?

        20                      SENATOR RATH:  Surely.

        21                      SENATOR ABATE:  My concern is

        22       there are no time limits and we talk about the

        23       readoption of critical rules and regulations











                                                             
2916

         1       that affect the health and safety of New

         2       Yorkers.  What that could mean is that the

         3       interests of these special groups would outweigh

         4       the interests of all New Yorkers in terms of

         5       health and safety, and without these time

         6       limits, these issues could drag on and on

         7       without resolution.

         8                      SENATOR RATH:  I don't believe -

         9       I don't believe that the critical pieces would

        10       fall into the scenario you've just outlined.

        11       They usually have their own time limits inside

        12       the legislation as to when they have to be done.

        13                      SENATOR ABATE:  But it's not

        14       written in the legislation; it's not resolved

        15       there.

        16                      SENATOR RATH:  If it's not

        17       resolved in the legislation, then the people who

        18       are responsible for the rules will have to work

        19       inside what they see as a framework.

        20                      But let me tell you, Senator,

        21       there's another piece in this -- in this omnibus

        22       resolution that says that when rules are

        23       promulgated on a specific piece of legislation











                                                             
2917

         1        -- say it was your piece or it was my piece -

         2       that has to come back to the sponsor for

         3       consideration, because part of what we've seen

         4       here as we've looked through has been that

         5       well-meaning legislation has passed both houses

         6       and been signed and then gone to the rulemakers

         7       for promulgation, and although it bounces back

         8       to both the Assembly ARRC and the Senate ARRC,

         9       what we do at the ARRC is look for the specifics

        10       in terms of contradictions, if you will, with

        11       other parts of regulations or other parts of the

        12       law.

        13                      Very often the legislative intent

        14       has been lost, and that's a problem that we've

        15       highlighted very clearly here, and so you as the

        16       sponsor of the legislation or me as the sponsor

        17       of the legislation have a more serious responsi

        18       bility there, because we put forward with the

        19       legislative intent -- and very often the legis

        20       lative intent does not -- most of the time it

        21       does not encompass what the rules and reg's are

        22       that will promulgate that -- that reg... the law

        23       as they see it, and this is part of the











                                                             
2918

         1       problem.  The regulators don't very often see it

         2       as you might see it or I might see it and we

         3       might vote on something.  They don't see it that

         4       way.  They move forward and promulgate it the

         5       way they think it should be promulgated.  The

         6       ARRCs check on it for technicalities, but not

         7       legislative intent.

         8                      So another bill in here will

         9       bring that back to you or bring it back to me so

        10       we can safeguard what our intent was and, in

        11       fact, one of the pieces that we didn't do last

        12       year that was in part of my package last year

        13       and, in fact, the Assembly was looking to do it,

        14       was to put into statute how and when that had to

        15       come back.

        16                      That just didn't happen, and we

        17       saw that there's some old legislation that have

        18       had rules and regulations promulgated, that it

        19       must have been in Xerox machines that didn't

        20       work very well.  The pieces went through

        21       sideways.  Half a piece was there, and there was

        22       no way of having any idea what the legislative

        23       intent was.











                                                             
2919

         1                      And so, although legislative

         2       intent does not come through right now even as

         3       we're debating this today, I think I'm going to

         4       have to ask my staff to please make a note that

         5       we resurrect that piece because it was a good

         6       piece and, Senator, I hope you'll co-sponsor

         7       that with me.

         8                      SENATOR ABATE:  I look forward to

         9       talking with you on that.

        10                      SENATOR RATH:  Thank you.

        11                      SENATOR ABATE:  I have one last

        12       question.  When the office defines and

        13       determines who is substantially affected, will

        14       that include consumers, union representatives,

        15       environmentalists?

        16                      SENATOR RATH:  Absolutely.

        17                      SENATOR ABATE:  Is it written in

        18       the legislation that they will be substantially

        19       affected parties?

        20                      SENATOR RATH:  I think the

        21       substantially affected parties can petition the

        22       agency for inclusion in the discussion and,

        23       believe me, the groups that you're talking











                                                             
2920

         1       about, my experience with them in 15 years in

         2       the county Legislature is that these groups will

         3       come forward and make themselves known to us,

         4       and in that we have sponsored this legislation,

         5       I think it's totally appropriate for us to

         6       advocate their inclusion.  In fact, if they

         7       weren't included, I would think that it would

         8       not be a very complete negotiated rulemaking

         9       because all sides need to be heard.

        10                      And you know what else we need to

        11       do?  We need to make sure that those meetings

        12       are publicized and people know when the meetings

        13       are going to be held, when those negotiated

        14       rulemakings are going to be heard, so that the

        15       public can hear it.  They might not be on the

        16       committee, but we need that safeguard, Senator,

        17       and I agree with you.

        18                      SENATOR ABATE:  Senator, would

        19       you consider including in this legislation the

        20       requisite -- the prerequisite that consumers -

        21       and that may be environmentalists; that may be

        22       other individuals, as well as represented labor

        23        -- beyond this mandated negotiating panel?











                                                             
2921

         1                      SENATOR RATH:  The agency will

         2       make that decision as they pull that group to

         3       gether, and the agencies are our representa

         4       tives.  Work with both sides of the issues, and

         5       they will see, and they will know and, indeed,

         6       if the agency isn't doing it correctly, then you

         7       and I assume our responsibility and we say to

         8       them that we believe that there's an interest

         9       here that is not being -- not being met; and if

        10       you would see the letters and the information

        11       that come through the ARRC, the people who want

        12       to participate -- we are opening this up very

        13       broadly in this legislation.  I don't think we

        14       need to safeguard that.  I think what we need is

        15       flexibility here, but the consumer -- the

        16       consumer groups will be there.

        17                      SENATOR WRIGHT:  Mr. President.

        18                      ACTING PRESIDENT SEWARD:  Senator

        19       Wright, why do you rise?

        20                      SENATOR WRIGHT:  Mr. President,

        21       would Senator Rath yield to a question, please?

        22                      ACTING PRESIDENT SEWARD:  Senator

        23       Abate has the floor, but with your permission -











                                                             
2922

         1                      SENATOR ABATE:  Absolutely, yes.

         2                      ACTING PRESIDENT SEWARD:  Senator

         3       Rath, would you yield to a question?

         4                      SENATOR RATH:  Sure.

         5                      SENATOR WRIGHT:  Senator Rath,

         6       would you agree that in the provisions of the

         7       bill that provide emergency rulemaking, that

         8       that mechanism would ensure that there be a

         9       timely resolution of the process if, in fact, we

        10       were under a great deal of pressure to resolve

        11       the dilemma?

        12                      SENATOR RATH:  Of course.

        13                      SENATOR WRIGHT:  And so that

        14       provision is already reflected in the bill to

        15       ensure that we meet those concerns?

        16                      SENATOR RATH:  Yes.

        17                      SENATOR WRIGHT:  Senator, would

        18       you further agree that -- in terms of the

        19       petitioning process that talks about petitioning

        20       to identify areas of interest, areas of impact

        21       that, in fact, that -- that petitioning process

        22       is a much better process in identifying those

        23       who have substantial interests or substantial











                                                             
2923

         1       need than trying to identify by broad name

         2       categories or specific groups of individuals to

         3       be incorporated?

         4                      SENATOR RATH:  As the people come

         5       forward to petition, I would agree with your

         6       premise, Senator, yes.

         7                      SENATOR WRIGHT:  So, in fact, the

         8       very language talking about identifying those

         9       who are significantly impacted really becomes

        10       exceedingly inclusive to ensure that there are

        11       opportunities for all to participate.

        12                      SENATOR RATH:  Yes, exactly.

        13                      SENATOR WRIGHT:  And one last

        14       point, Senator.  Would you agree that by defi

        15       nition the negotiating rule committee is to

        16       achieve a consensus in terms of its

        17       recommendation?

        18                      SENATOR RATH:  Exactly, yes.

        19                      SENATOR WRIGHT:  And by this

        20       language, that consensus is defined as a

        21       two-thirds vote?

        22                      SENATOR RATH:  Right.

        23                      SENATOR WRIGHT:  So consequently,











                                                             
2924

         1       no one who is providing special expertise or

         2       assistance gives any composition of a committee.

         3       At best, 50/50 will be able to ensure a two

         4       thirds vote thereby eliminating the governmental

         5       responsibilities.

         6                      SENATOR RATH:  Yes.  I think that

         7       we see that as we read the bill, yes.

         8                      SENATOR WRIGHT:  Thank you,

         9       Senator.

        10                      I believe you've addressed my

        11       concerns.

        12                      ACTING PRESIDENT SEWARD:  Senator

        13       Holland.

        14                      SENATOR HOLLAND:  Mr. President,

        15       there will be an immediate meeting of the Rules

        16       Committee in Room 332.

        17                      ACTING PRESIDENT SEWARD:

        18       Immediate meeting of the Rules Committee in Room

        19       332.

        20                      Senator Abate.

        21                      SENATOR ABATE:  Yes.  On the bill

        22       very quickly.

        23                      Although I honor the good inten











                                                             
2925

         1       tions of the Senators across the aisle, some

         2       times when a piece of legislation is not clear

         3       about defining "significantly affected individ

         4       uals" and what we have is very broad language,

         5       people who have the, I believe, knowledge and

         6       experience to help the negotiations be

         7       successful, one can interpret that not to

         8       include consumers, environmentalists, labor

         9       representatives and other citizens of New York,

        10       that it will be my concern that there would be a

        11       weighting of this committee toward only one

        12       special interest, and if we are looking for a

        13       consensus and a meaningful consensus to protect

        14       all New Yorkers, there could be an abuse of this

        15       process.

        16                      I feel -- and it's ironic because

        17       these rules and regulations, and particularly,

        18       this mandated process is put in place to make

        19       sure that business is at the table, but I don't

        20       believe that there's any CEO of any large

        21       corporation would say that, in order for me to

        22       balance the interests of business, in order for

        23       me to include business at the table, that I have











                                                             
2926

         1       to have this kind of process to force a

         2       compromise.

         3                      What we're saying is New York

         4       State agencies can't govern themselves, can't

         5       get input from business and other interested

         6       parties, and that they have to look to this body

         7       to force a compromise when, in certain

         8       situations -- and this is my primary concern -

         9       there are some rules and regulations that are

        10       not just necessary, they're critical to our

        11       health and well-being, and a commissioner and

        12       the experts within that agency feel that

        13       compromise is not warranted and that there

        14       should be readoption of a rule or a promulgation

        15       of a new rule, but they're going to have to wait

        16       to go through the process and potentially risk

        17       the fact that this rule and regulation will be

        18       so watered town, will be so compromised, that

        19       they will be giving up their responsibilities to

        20       govern and safeguard all New Yorkers.

        21                      I understand the need to have

        22       people at the table and input.  I think this

        23       goes too far.  I believe it will not just











                                                             
2927

         1       produce compromising results but can compromise

         2       our futures and, for that reason, I'm opposed to

         3       this specific provision.

         4                      SENATOR RATH:  Mr. Chairman.

         5                      ACTING PRESIDENT SEWARD:  Senator

         6       Rath.

         7                      SENATOR RATH:  If I might, a

         8       final comment, as I don't see any of my other

         9       colleagues -

        10                      ACTING PRESIDENT SEWARD:  Senator

        11       Rath, we do have a list.

        12                      SENATOR RATH:  Oh, there is a

        13       list?

        14                      ACTING PRESIDENT SEWARD:  Yes.

        15                      SENATOR RATH:  Of course.  Well,

        16       then just let me make one final comment to

        17       Senator Abate's final comments.

        18                      First of all, this piece of

        19       legislation does not -- is not operative for

        20       emergency rulemaking when we're talking about

        21       the need to immediately do something to

        22       safeguard health and welfare, and in talking

        23       about compromise, I don't think compromise is











                                                             
2928

         1       the intent of this legislation.  I think it's

         2       consensus, and not forcing compromise but

         3       forging consensus is my belief.

         4                      Thank you, Senator, for your very

         5       informed dialogue.

         6                      ACTING PRESIDENT SEWARD:  Senator

         7       Paterson.

         8                      SENATOR PATERSON:  Mr. President,

         9       I hope Senator Rath's final comments to Senator

        10       Abate are not her final coments, because I was

        11       wondering if she would yield for a question.

        12                      SENATOR RATH:  I would be glad

        13       to, Senator.  I didn't realize that there were

        14       more that were interested.

        15                      SENATOR PATERSON:  Senator Rath,

        16       in this bill -- in Section 3 of this bill, it

        17       states pretty clearly that any rules or

        18       regulations that are adopted after the passing

        19       of this legislation will expire five years after

        20       the adoption of the legislation and then there

        21       will be five-year intervals for regulation

        22       adoption.

        23                      My question is, is there a











                                                             
2929

         1       section of the bill that addresses -- or is

         2       there a concern in the bill for issues of public

         3       health and public safety whereby rules and

         4       regulations may expire and there is not an

         5       agreement on what the new rules are going to

         6       be?  In other words, during that interval of

         7       time, what does the bill provide that assures

         8       that we have public safety and regard for public

         9       health care?

        10                      SENATOR RATH:  Senator, you're

        11       addressing, I believe, the very large area of

        12       emergency rules, and there is always an

        13       opportunity to do something very quickly with

        14       the emergency rule procedure.  Now, there have

        15       been some abuses in emergency rules, and this is

        16       one of the areas that needs to be addressed more

        17       completely, but this is an ongoing -- an ongoing

        18       effort.

        19                      SENATOR PATERSON:  Thank you,

        20       Senator Rath.

        21                      What I'm actually addressing are

        22       the lapses that are caused by the fact that the

        23       bill itself is promulgating the fact that the











                                                             
2930

         1       rules that -- and regulations that exist are

         2       going to expire, and what I'm saying is that

         3       since this legislation seems to add a great deal

         4       more to what's already there in terms of review

         5       and agency policy, and we've got even a little

         6       bit of a misunderstanding as to who is exactly

         7       directing the agency, with all of that plethora

         8       of responsibility that's doled out, assuming

         9       that there is not an agreement, such as the fact

        10       that the budget, for instance, is supposed to be

        11       passed April 1st, it doesn't seem that that's

        12       going to occur because there isn't an agreement,

        13       and we have a lapse that's caused in state

        14       government at that time.

        15                      Now, what we sometimes do in the

        16       past is we have an emergency reappropriation by

        17       the Governor to make sure that government runs

        18       or that certain services that are deemed to be

        19       necessities are provided.  So I'm saying right

        20       in this legislation there's a lapse, but what I

        21       don't see in the legislation is an answer for

        22       how to repair that lapse.

        23                      SENATOR RATH:  Senator, the











                                                             
2931

         1       agencies must give reasoned justification for

         2       the continuation of the rule when you get to the

         3       five years, including reasons, if any, why they

         4       disagree with the comments in opposition to the

         5       rule.  So I believe that there is a framework

         6       here, to answer your concerns.

         7                      SENATOR PATERSON:  All right.

         8       Thank you, Senator Rath.

         9                      Would Senator Rath continue to

        10       yield, Mr. President?

        11                      SENATOR RATH:  Sure.

        12                      ACTING PRESIDENT SEWARD:  Senator

        13       Rath, will you yield?  Yes.

        14                      SENATOR PATERSON:  In Section 53

        15       of the bill, we have the agency gains share

        16       incentive program.  This is a program that would

        17       provide for the 65 percent return to the state

        18       of savings and 35 percent to the agencies and

        19       then, of course, there could be an individual or

        20       a team that would offer up what would be

        21       considered to be quality improvements and, as a

        22       result of that, there could be an award of up to

        23       $5,000 per individual.  In addition to that,











                                                             
2932

         1       there is a management and employee committee

         2       that would review these improvements to

         3       determine what the -- the financial award would

         4       be.

         5                      My question to you, Senator Rath,

         6       is, let's say a commissioner, like the

         7       Commissioner of General Services might offer up

         8       an idea that would bring monies back to the

         9       state in a large sum.  Would that inure to the

        10       benefit of the actual commission, the return of

        11       35 percent of what would be the savings?

        12                      SENATOR RATH:  Is it my opinion

        13       that that's appropriate, are you saying?  I

        14       didn't get the very end of your question,

        15       Senator.

        16                      SENATOR PATERSON:  I don't know

        17       what -- through you, Mr. President.  I don't

        18       know whether the Senator agrees with this

        19       individually, but what I'm saying, would the

        20       bill allow for -- if the bill seems to allow for

        21       it, let me -

        22                      SENATOR RATH:  Yes, it does.  It

        23       provides that the -- that -- the gains savings











                                                             
2933

         1       is the phrase that's being used, because I think

         2       we've seen so many places around the state, and

         3       you used OGS as an example, but I would tell you

         4       in the education world, they are very, very

         5       close with their spending at the beginning of

         6       their budget and at the end, they spend a lot of

         7       money just to finish it out because they know if

         8       they don't do it, it won't be there next year.

         9                      So what we're trying to do is to

        10       get a new mind-set so that people realize that

        11       to husband resources is good and if they do

        12       that, they don't get penalized by having to send

        13       it all back to the state.  They're able to say

        14       that, if we have salvaged this much money by

        15       using our resources wisely, we get to use some

        16       of those dollars for what we think are important

        17       criteria or important projects or whatever

        18       inside their own agency, and I think that

        19       Senator Dollinger spoke eloquently earlier about

        20       TQM.

        21                      I think what we're talking about

        22       here is a TQM principle, by saying we empower

        23       our employees to do the best job they can once











                                                             
2934

         1       they know what their job is clearly, and as TQM

         2       moves forward, yes, we let them share in the

         3       results of good management and good husbanding

         4       of resources, and they get to use some of those

         5       dollars for the advancement of the cause of

         6       their agency on their agenda, not necessarily

         7       always our agenda but, of course, we get to

         8       share some of the savings, so that helps the

         9       taxpayer of the state of New York the following

        10       year.  Obviously, the dollars come back in and

        11       we have more to work with.

        12                      SENATOR PATERSON:  Thank you,

        13       Senator Rath.

        14                      Mr. President, if Senator Rath

        15       would continue to yield.

        16                      ACTING PRESIDENT SEWARD:  Senator

        17       Rath, will you continue to yield?

        18                      SENATOR RATH:  Yes, surely.

        19                      SENATOR PATERSON:

        20       Hypothetically, the Office of General Services

        21        -- I use that example hypothetically because

        22       the commissioner believes that, by the

        23       consolidation by data processing services, that











                                                             
2935

         1       he can save the state approximately $50 million,

         2       and if that is correct under this piece of

         3       legislation, then it would seem to me that 65

         4       percent of that or, I guess, $32.5 million would

         5       go back to the state, but that would bring $17.5

         6       million back to the Office of General Services

         7       under what this bill is providing if a committee

         8       voted to do that.

         9                      So now with $17.5 million, what

        10       I'm suggesting is that there could be a number

        11       of teams or individuals that might be eligible

        12       for incentives under that program.  Now, I don't

        13       know if I would call that TQM.  Maybe it is, but

        14       I'm just saying that it is something that is

        15       allowable under the bill, and I was just going

        16       to ask if you thought that that hypothetically

        17       could occur?

        18                      SENATOR RATH:  Yes.  I think

        19       hypothetically it could occur and, frankly, I

        20       think we would all welcome seeing those kinds of

        21       savings realized inside of any of the

        22       departments, and let me go back and make a

        23       little clearer my comment a moment ago about how











                                                             
2936

         1       the gains sharing and gains savings could be

         2       used.

         3                      The director of the budget does

         4       need to approve the decisions that would be made

         5       by the department as to what they needed to do

         6       by way of being able to invest some money back

         7       in their program or their process that would

         8       give them yet a chance to operate more

         9       efficiently and more effectively, and so they

        10       are not completely cut free.

        11                      I think I maybe gave the wrong

        12       impression, but we know that we've all heard the

        13       war stories of departments that use their money

        14       because they know if they don't use it, they're

        15       not going to get the same amount plus the

        16       extended amount for the following year.  That's

        17       the exact wrong kind of thinking, and this is

        18       attempting to put a screeching halt to that,

        19       saying, if you can effect those things, yes;

        20       then you all can work with us with the budget

        21       department at doing some of the initiative kinds

        22       of things that would be important to follow the

        23       goal, because I don't think everyone is out











                                                             
2937

         1       there being negative and working against the

         2       goals that we all are here for.

         3                      SENATOR PATERSON:  Thank you very

         4       much, Senator Rath.

         5                      That was very straightforward,

         6       very clear.

         7                      Thank you very much.

         8                      ACTING PRESIDENT SEWARD:  Senator

         9       Leichter.

        10                      SENATOR LEICHTER:  Thank you, Mr.

        11       President.

        12                      Mr. President, I have been

        13       looking through this bill since yesterday, and I

        14       can't say that I in any respect have mastered

        15       it, but it's clear that it's such a potpourri, a

        16       smorgasbord, a buffet, if you will, of ideas,

        17       notions, of so-called regulatory reform.  Most

        18       of it comes from the Republican far right, this

        19       idea that in this world, regulations have

        20       suddenly become such a problem for the American

        21       economy.

        22                      Frankly, it sort of strikes me

        23       like a stop-the-world-I-want-to-get-off type of











                                                             
2938

         1       bill, because the point really is that we have

         2       an extremely complex society.  We have a lot of

         3       people.  We have a lot of different interests.

         4       We have learned the effect on people's health,

         5       on consumers, of the activities of business and

         6       things that go on in our world and, as a

         7       consequence, you have to have a means of

         8       resolving differences.  You also have to have an

         9       effective way of protecting people from harm.

        10                      What do regulations do?

        11       Regulations essentially deal with the health and

        12       safety of people and they protect consumers.

        13       That's the main aim and purpose of regulations,

        14       and regulations seek to develop ground rules as

        15       to how businesses will function, how individuals

        16       will function, and as our economy has become

        17       more complex, obviously the regulations have

        18       also become more complex.

        19                      That's not to say that there

        20       cannot be improvements.  That's not to say that

        21       certain reforms are not valuable.  That's not to

        22       say that there are not bureaucratic approaches

        23       that are harmful, that do hurt business, that do











                                                             
2939

         1       hurt the consumers, that don't make sense; but

         2       then to come up with this sort of broad sweeping

         3       change and, if you look at it, this is going to

         4       create more administrative morass than anything

         5       that we do now.

         6                      As you look through the bill, you

         7       keep on seeing requirements for this report,

         8       that reform, every agency shall every year put

         9       forth a statement of purposes, and so on.  We're

        10       going to impose such burdens on state government

        11       and such costs that any conceivable saving -

        12       and I submit there's really few, if any, savings

        13       in this bill -- are really going to be wiped out

        14       by the additional costs that we're imposing on

        15       the state.

        16                      I think, just as yesterday we had

        17       sort of welfare reform, today administrative

        18       reform, we're dealing with slogans.  What we

        19       need to deal with is some sensible legislation.

        20       I submit to you that much that is here is

        21       totally unworkable.  It doesn't make any sense.

        22       I referred to the administrative burden that we

        23       put on here.











                                                             
2940

         1                      My colleagues have pointed out

         2       other defects in this -- in this legislation.

         3       The one I like, and maybe I'll ask Senator Rath

         4       to yield on this -- let me find it.  Senator, if

         5       you would be so good as to yield.

         6                      ACTING PRESIDENT SEWARD:  Senator

         7       Rath, will you yield?

         8                      SENATOR LEICHTER:  On page 24,

         9       it's part of the rulemaking cost/benefit

        10       analysis.  It's on line 25 where it says, "In

        11       any case in which the proposed rule is based on

        12       one or more scientific evaluation or informa

        13       tion, you have to establish the reliability of

        14       the scientific information", am I paraphrasing

        15       that provision correctly?

        16                      SENATOR RATH:  No, you got it.

        17       That's right.

        18                      SENATOR LEICHTER:  I'm sorry.

        19       Did you answer that I did paraphrase it

        20       correctly?

        21                      SENATOR RATH:  No, that was

        22       fine.

        23                      SENATOR LEICHTER:  Okay.  Now, is











                                                             
2941

         1       that each and every scientific measurement that

         2       is used in the assessment requires that its

         3       reliability and validity be established?

         4                      SENATOR RATH:  Senator, the piece

         5       of legislation that you have picked up mirrors

         6       some of the work that's being done on the

         7       federal level, and that all -- all levels of

         8       people that are talking regulatory reform which,

         9       by the way, I think was really spearheaded by

        10       the Vice-President when he wrote "Reinventing

        11       Government."  That got an awful lot of people

        12       thinking in these terms and looking in these

        13       areas; and the piece of legislation that you're

        14       reading from is called The Risk Assessment/Cost

        15       Benefit Analysis Model that's being used -

        16       that's being looked at, and I think New York

        17       State may be a real front runner in this,

        18       because I see risk assessment and cost benefit

        19       analysis as, if you will -- and I will get to

        20       your specific -- but I'm really glad someone

        21       raised this issue.  I see them as the book ends

        22       of really effectively going at regulatory

        23       reform, because if you do not assess how much of











                                                             
2942

         1       a risk you can take, first of all -- and that's

         2       the protection of the health, welfare, consumer

         3       interests, et cetera, that we have been talking

         4       about over here on the risk assessment -- you

         5       need to establish that, and this is part of what

         6       you're talking about, the scientific

         7       undergirding of establishing the risk.  This

         8       language is taken directly from the federal

         9       bill.

        10                      SENATOR LEICHTER:  Well, Senator,

        11       the federal bill you're talking about, I assume

        12       is the bill of the House of Representatives,

        13       which I think people who are familiar with

        14       administrative procedures and who are concerned

        15       about the welfare and health of Americans, threw

        16       up their arms and said, "My God, these people

        17       can't really mean that," but, Senator, instead

        18       of trying to deal with these general statements

        19        -- and I have no problem with many of your

        20       general statements.

        21                      What does disturb me is when I

        22       take a look at the specific provisions of the

        23       bill -- and in this instance, my question to you











                                                             
2943

         1       was very direct, which is, is that every

         2       scientific utilization or measurement that's

         3       part of the risk assessment needs to be

         4       validated.

         5                      SENATOR RATH:  Senator, first of

         6       all, let me correct -- this is from the Senate

         7       bill, not the house bill that this is taken, and

         8       the effort, as I understand it, is to assure

         9       that we have followed down clearly as many of

        10       the scientific researchers -- what the FDA has

        11       to say about it -- as much as is possible in

        12       order to assess the risk.

        13                      Now, again, I think we need to go

        14       back to what some of the common sense issues

        15       provide for us, that -- and we're talking about

        16       people of good will.  We're not talking about

        17       anyone who's trying to undermine anything.

        18       We're talking about people who are -- who are

        19       attempting to provide for sane, sensible regu

        20       lation, and when you're talking about verifying

        21       the scientific evaluations or information

        22       subject to risk assessment requirements, a

        23       description of actions undertaken by the agency











                                                             
2944

         1       to verify the quality, reliability and relevance

         2       of such scientific evaluations, I don't think

         3       that that's too hard to do.

         4                      I think that there is some

         5       respected think tanks.  There are certainly

         6       respected researchers at the universities

         7       throughout this country, and if we got a real -

         8       and I think this goes really to the heart of the

         9       environmental area that will be talked about, by

        10       the way, in the next piece of legislation that

        11       we'll be addressing today, which is as an

        12       omnibus that was prepared primarily by Senator

        13       Johnson and his work in that area.  I think we

        14       are looking at what I consider to be the

        15       landmark piece of legislation and regulatory

        16       reform.

        17                      As I said, you're talking about

        18       risk assessment, but you can't talk about risk

        19       assessment without cost/benefit over here on one

        20       side and, again, if this is a regulatory issue

        21       we're talking about, we've got -- we've got to

        22       have a known risk and what that risk is here,

        23       and we've got to look over on the other side at











                                                             
2945

         1       the cost/benefit of taking on that risk, if you

         2       will, or assuming how much risk you can take.

         3                      Take, for example, a circumstance

         4       where you can go to 95 percent of taking care of

         5       that risk and it's going to cost a company,

         6       let's say, $500,000.  To go from 95 percent to

         7       100 percent of mitigating those risk factors is

         8       going to cost them $1 million.

         9                      Now, if that risk factor is like

        10       the one I was talking about in the bakery -

        11       that was ethyl alcohol -- ethyl alcohol vapor

        12       that was going up in the air -- that's not a

        13       responsible approach to the risk.  And we have

        14       scientists that work in all levels of government

        15       that can give us correct answers, like if they

        16       said to us, "One person in a hundred is going to

        17       die if you don't take that to 98 percent."

        18       There isn't a person in this room who would say

        19       that the cost of one person in a hundred who

        20       could have some sort of carcinogen reaction as a

        21       result of us not taking that risk from the 95

        22       percent level up to the 98 or 99 percent where

        23       it would be, let's say, one person in ten











                                                             
2946

         1       million, there isn't a person in this room that

         2       wouldn't spend the money -- vote to spend the

         3       money to do that, but that's where the book ends

         4       of sincere regulatory reform are going to come

         5       into play, and this is new.  This is new

         6       thinking, and I compliment you for coming

         7       directly to the heart of the matter, and

         8       watching you this past year, I know you always

         9       do come directly to the heart of the matter,

        10       Senator.

        11                      SENATOR LEICHTER:  Thank you,

        12       Senator.

        13                      You're very kind and gracious in

        14       your comments.  I'm not sure that it's true, but

        15       I'll accept that part of your answer, but if you

        16       would be so kind as to continue to yield.

        17                      Senator, I happen to agree with

        18       you.  I think risk assessment is an important

        19       tool, and we obviously have to know how you do

        20       the risk assessment, but I'm reminded of

        21       something that Senator Gold admonishes about

        22       continuously, and I think he makes a very

        23       persuasive, very valid point, that we're not











                                                             
2947

         1       legislating concepts.  The concept is great, but

         2       we've got to take a look at language.

         3                      You talk about people being well

         4       intentioned.  I don't think there's anybody

         5       better intentioned than you are or Senator

         6       Wright, and I think that you sincerely want to

         7       deal with a problem that you see and you've

         8       obviously spent a lot of time and effort in

         9       trying to come up with something, so if I'm

        10       critical, it's certainly not of your effort.  I

        11       think, in part, it's a different philosophy.  In

        12       part, it's a different approach and, in part,

        13       it's also very difficult.  Concepts are great.

        14       When you reduce concepts to language, that's

        15       when you run into difficulties, and we all know

        16       the expression, "The devil is in the detail."

        17                      Maybe just to make my point on

        18       this particular issue, let me try to put it

        19       specifically.  Let's say an agency such as EPA

        20       or DEC says that you cannot put a particular

        21       effluent into the sewer because it's going to

        22       leach down into an aquifer and pollute the

        23       water.











                                                             
2948

         1                      Now, one of the bases for them

         2       saying so is the law of gravity.  We all know

         3       the law of gravity.  We deal with it.  We've

         4       accepted it, but as I read this, the agency

         5       would have to go back and validate the law of

         6       gravity.  I don't think whether they would have

         7       to do what Newton did, sit under a tree and see

         8       if an apple falls and hits them on the head, but

         9       I read that.  If you use a measurement of -- of

        10       time, you would have to establish that.  That's

        11       the problem I have with this bill that, after a

        12       while, it seems to contain so many notions, some

        13       of which really aren't workable.

        14                      Let me gladly get to the ques

        15       tion.  Based on my example, as you read this,

        16       wouldn't you have to -- wouldn't the agency be

        17       required to validate Newton's law of gravity?

        18       What was it, the first law?  I don't know.

        19                      SENATOR RATH:  I think -- I

        20       think, Senator, there are some things that don't

        21       need validation, and according to this law, the

        22       section that you're reading from is that a -

        23       goes on to say "a description of the actions











                                                             
2949

         1       undertaken by the agency to verify the quality,

         2       reliability and relevance of such scientific

         3       evaluations."  What this particular risk

         4       assessment-cost/benefit analysis is dealing with

         5       is five agencies only, the Environmental

         6       Conservation Department, Health, Department of

         7       Labor -- pardon me, not five, three -- five was

         8       another bill that I did.  It deals with only

         9       these three, because these are the three where

        10       we will find most of the difficulties, if you

        11       will, of being sure that the risk is something

        12       that we -- that we need to be very clear, and we

        13       need to validate our scientific researchers and

        14       our background, and I think that these agencies

        15       have inside of them and through the commission

        16       er, they have been doing some of this, but they

        17       have been doing it, and I think according to the

        18       way they think it should be done, and I think it

        19       should be something that this Legislature knows

        20       and recognizes as a responsibility that we have

        21       to have again.

        22                      As I say, the beginning and the

        23       opening dialogue talked about how many jobs have











                                                             
2950

         1       been lost in the state and how many people have

         2       moved away, how much it's costing, and I'll go

         3       back again to my earlier comment.  Everywhere

         4       that you read about regulatory reform, the

         5       phrase "between $500 billion and $800 billion

         6       are spent nationally."  They are unnecessarily

         7       spent because of overzealous, unnecessary,

         8       burdensome regulation.

         9                      Now we're in a world market, and

        10       we have to compete as a country.  We have to

        11       compete as a state, and as we do that, we need

        12       to assess how much risk is real risk.  I would

        13       say to you that if the risk were one person in

        14       ten billion, I would say that, yeah, we've got a

        15       little risk; we could allow a little risk.  I'm

        16       telling you one person in a hundred right now,

        17       someone brings that to me and I'll vote for

        18       almost anything we needed to do to say one

        19       person in a hundred, but I think we need to be

        20       sensible.

        21                      Let me point out to you, Senator,

        22       another -- I'm going to send you a copy of this

        23       too.  I don't know if you heard when Senator











                                                             
2951

         1       Dollinger got up.  I talked about this little

         2       book, "The Death of Common Sense."  I'll send

         3       this reprint over to you, but they do a little

         4       box inside and they talk about a specific

         5       instance that happened in Virginia and someone

         6       had their pen working and you'll appreciate this

         7       alliteration, "The Wrong Pollution Sollution",

         8       and what they had here was a rigid federal law

         9       requiring a Virginia company to spend $31

        10       million to prevent a small amount of benzene

        11       from escaping the smokestack.  The company was

        12       foreclosed, the possibility of spending money to

        13       clean up tons of harmful benzene emissions that

        14       came from a nearby source -- when the EPA went

        15       on site on this one, they found the benzene was

        16       coming from the nozzles, from the connectors as

        17       it was coming off of the fuel -- the big fuel

        18       ships that were coming in.

        19                      Common sense?  No.  But what

        20       you're talking about in here, you're talking

        21       about language, and I think that the agencies

        22       that are already doing this will welcome some

        23       guidance from us saying that we want to see how











                                                             
2952

         1       they are getting to the risk assessment.

         2                      SENATOR LEICHTER:  Senator, let

         3       me -- let me say, you can't legislate common

         4       sense and sometimes, as you know, common sense

         5       doesn't exist in this body either, unfortunate

         6       ly.  I wish we could legislate it.  I wish there

         7       was a pill you could give me that gave me common

         8       sense at all times.  I hope I have it on

         9       occasions, but certainly not as often as I

        10       should have it and wish I had it, but it seems

        11       to me that what you're doing here with the risk

        12       assessment and maybe the example that you gave

        13       out of this book -- and I would like to read it

        14        -- is that there's a certain disbelief in the

        15       scientific -- in the assessments that have been

        16       made.

        17                      I mean, you talk of risk assess

        18       ments.  Agencies have made risk assessments; and

        19       then you say people don't like the risk assess

        20       ment, so you put in this provision that you've

        21       got to verify every scientific technique or tool

        22       or measurement that you use, which I take it as

        23       I read this, it would be a horrendous job.  You











                                                             
2953

         1       would have to establish the basis of what are

         2       such commonly accepted tools as telling time, as

         3       the law of gravity, and I think it reflects, if

         4       I may say so with all due respect, what comes

         5       from the far right, which is sort of an anti

         6       intellectualism, an anti-academic.  Your common

         7       sense is really very often, "Please, don't give

         8       me these facts.  I don't want to hear it.  Don't

         9       tell me that I can't put this out of my

        10       smokestack", and so on.

        11                      I'm reminded of something I was

        12       involved in as an attorney some years ago.  I

        13       think it may have been in Senator Tully's

        14       district where there was a resource recovery

        15       plant to burn the garbage of the -- of the town

        16       of Hempstead on the Meadowbrook.  I don't know

        17       whether that was your -- your district, but I'm

        18       sure you're familiar with it -- with the

        19       problem, and they found out that some dioxin was

        20       coming out of the smokestack, and somebody made

        21       a risk assessment and said, "You know, the risk

        22       to the community is less than driving on the

        23       Long Island Expressway", which is probably











                                                             
2954

         1       true.  People were up in arms and saying,

         2       "Listen, that's a risk that I'm willing to

         3       take, but I'm not going to take the risk of

         4       dioxin," and there was some justification

         5       because they didn't know what the effect of the

         6       dioxin coming out of the stack is and, for that

         7       matter, we still don't know.

         8                      My point is that we're not

         9       dealing with neat, simple issues.  We're dealing

        10       with very complex issues, and they involve the

        11       health of people, and I know that the people in

        12       your district, Senator, would be as much up in

        13       arms as the people in my district if somebody

        14       put in a resource recovery plant and it said

        15       that maybe one out of a million people would die

        16       as a consequence of dioxin.

        17                      The point is that we're dealing

        18       here with the health and safety of people.

        19       Senator Wright gets up and he says, you know, we

        20       need the impact statement to say the jobs that

        21       are lost.  It's something worth looking at but,

        22       Senator, in some instances, that doesn't tell

        23       you anything.











                                                             
2955

         1                      GE is going to say, "If you keep

         2       me from putting PCBs in the Hudson, we're going

         3       to lose 800 jobs or a thousand jobs."  You're

         4       going to say, "Okay. Well, in that event, please

         5       keep on putting PCBs in the Hudson", although,

         6       it's going to create the public health havoc

         7       that we know it will.  Well, obviously not, or

         8       in Love Canal.  Are we going to tell -- would we

         9       have ever told the chemical companies to keep on

        10       dumping there because otherwise we're going to

        11       lose jobs?

        12                      There are times, Senator, that we

        13       have to make the tough decisions for the

        14       protection of the people of the state of New

        15       York, and what I'm concerned about is that you

        16       are impairing those protections.  We also need

        17       to protect the consumers.  We know that the

        18       consumers at times get gouged.  We know that, if

        19       there is a regulatory protection for them,

        20       they're going to be overcharged.  Utilities may

        21       overcharge them.  So we have a whole enormous

        22       array of regulations to try to protect your

        23       consumer, my consumer, from having to pay too











                                                             
2956

         1       high utility costs.  I don't know how you can

         2       escape that.  I don't know how you can avoid

         3       that.

         4                      One of the things that, Senator

         5       Rath, you said, Senator Wright said is, "Well,

         6       take a look at the 4- to 600,000 jobs we lost."

         7       By the way, every day it seems to be 100,000

         8       bigger.  Yesterday it was only 500,000 jobs.

         9       Yesterday it was the welfare people.  They were

        10       responsible for our losing 500,000 jobs.  Today

        11       it's the administrators because of their onerous

        12       regulations that have lost us these jobs.

        13                      But, come on, you know that's

        14       poppycock.  You know that essentially we've lost

        15       jobs because of the world economy, because

        16       manufacturing cannot be conducted in New York

        17       State as it was years ago.  Tomorrow we'll

        18       probably hear it was high taxes that caused it.

        19       By that time it will be 700,000 jobs, since we

        20       seem to be climbing at the rate of 1,000 a day,

        21       and that's responsible for the loss of the jobs.

        22                      And in fairness to you, Senator

        23       Wright, you did say that there were a lot of











                                                             
2957

         1       factors -- and I don't mean to, you know, try to

         2       make fun of your argument, but I think there's

         3       an overstatement.  There's an overstatement, and

         4       I think there's a failure to appreciate what it

         5       is that is really losing us jobs, but the one

         6       thing that puzzles me about the whole approach

         7       here of the Republicans, and particularly the

         8       Republican right, is you are trying to embrace

         9       programs that have failed.  You like to talk

        10       about common sense, and I -- we all agree, let's

        11       have common sense, but we had the greatest

        12       deregulation that this nation had ever seen in

        13       the 1980s.  That was the doctrine of the Reagan

        14       administration, deregulation and cut taxes.

        15                      Now, we know that cutting taxes

        16       and increasing spending gave this country an

        17       incredibly onerous deficit, but what did

        18       deregulation do?  Yeah, we deregulated the

        19       thrifts.  Let the thrifts go out there.  We're

        20       going to allow business to go and create jobs.

        21       They created a $500 billion loss for the public,

        22       an enormous scandal.  So that was shown to be a

        23       total failure.  Common sense will tell you,











                                                             
2958

         1        "Well, gee, let's not do it again."  But what

         2       do we find?  Here you come forth with a bill

         3       that is basically premised on deregulation, and

         4       deregulation has hurt us badly.  Some instances,

         5       maybe it can work.  Many instances it cannot

         6       work, and administrative changes -- you like to

         7       call it reform.  I don't want to use that word

         8       because, obviously, you've already put your case

         9       in a favorable light, but I don't see this as

        10       reform, and I see these administrative changes

        11       as part of deregulation that hurt the protection

        12       that we need to give to the people of the state

        13       of New York.

        14                      And finally, let me just say, you

        15       keep harping about business and they don't like

        16       these regulations, and so on.  Yes, I can

        17       understand some of these are going to cost money

        18       and, by the way, not just for business; they

        19       cost money to the consumer.  I agree with what

        20       Commissioner Zagata said the other day, that the

        21       consumers certainly are going to have to pay

        22       also for helping clean up the environment, but

        23       that's really what we finally come down to, is











                                                             
2959

         1       whether we want to have clean water, whether we

         2       want to have clean air, whether we want to have

         3       fairness in the marketplace, and that requires

         4       regulations and regulations require certain

         5       processes, and you can't just eliminate them.

         6       You can't reduce it all to negotiated rule

         7       making.  I think Senator Abate rightly pointed

         8       out that your negotiated rulemaking is really

         9       biased and tilted towards special interests

        10       mainly, particularly the business interest.

        11                      So I submit to you that we could

        12       find in this bill some very valuable provisions,

        13       but if you take it in total, it would put an

        14       enormous burden on state government and would

        15       deny the public protection it needs.

        16                      Just like yesterday, there were

        17       provisions in Senator Holland's bill that I

        18       think are -- everybody could agree with, but I

        19       think if you take it in total, it was a punitive

        20       bill.  So maybe we're following here certain

        21       ideological rituals and, as I said, yesterday

        22       was what was the welfare people; today it's the

        23       bureaucrats.  Tomorrow it'll be the people that











                                                             
2960

         1       impose taxes, and taxes are such -- but I submit

         2       it's about time we got away from the ideology

         3       and got down to the common sense, if you will,

         4       Senator Rath, of governing in a reasonable

         5       manner.

         6                      ACTING PRESIDENT SEWARD:  Senator

         7       Oppenheimer.

         8                      SENATOR OPPENHEIMER:  Thank you.

         9                      I'm sorry I was late coming in

        10       because we're having a conference committee on

        11       the speed limit and, therefore, I'm not certain

        12       about this issue, and so if Senator Rath would

        13       yield for a question.

        14                      Is it permitted for lower levels

        15       of government to make stricter regulation than

        16       the higher level of government imposes?

        17                      SENATOR RATH:  If we're talking

        18       about towns and villages, they have some

        19       capabilities, but this legislation -- and I

        20       think you weren't here when I opened my remarks

        21       with a report from the Town of Tonawanda, which

        22       is one of my towns, that did a detailed study as

        23       to just exactly how much they could save.











                                                             
2961

         1                      We asked them.  We said, "Give us

         2       some ideas about how we can untie your hands so

         3       you can be more effective," and I think it bears

         4       reading again what the supervisor said.  He had

         5       his departments find examples of mandates that

         6       are outdated and duplicative and identifying

         7       those that go beyond setting goals and enter the

         8       realm of micromanagement of local government

         9       operations.

        10                      Then they did a costing out of

        11       how much they could save in the town of

        12       Tonawanda, and after 22 pages, each with a

        13       separate regulation on it, the bottom line as

        14       they costed them out, they could save some

        15       $830,000.  Now, that's just in one town if we

        16       freed their hands up.

        17                      Our interest in micromanaging has

        18       been sincere.  But when you get out there in the

        19       practicality -- and you were a mayor, so I think

        20       you are probably a person who could be real

        21       clear about some of the ways you could do it

        22       better if you were allowed to do it yourself,

        23       one of the provisions, it does allow, it gives











                                                             
2962

         1       the flexibilities to the towns.

         2                      SENATOR OPPENHEIMER:  You are

         3       right that when I was the head of the Municipal

         4       Officials Association in Westchester, I was

         5       looking to get relief from some mandates that I

         6       felt were not benefiting my village; however,

         7       I'm trying to reflect on the opposite side of

         8       this coin which is those instances where lower

         9       levels of government feel they want to impose

        10       stricter regulation.  For example, there is the

        11       environmental law which may not go far enough as

        12       far as the communities that live alongside the

        13       Long Island Sound feel that they should go;

        14       therefore, stricter regulation is being sought

        15       just in those communities for the way they treat

        16       discharges, let's say, from the sewage treatment

        17       plants and the nitrogen that is going into Long

        18       Island Sound.

        19                      So I'm saying is it possible

        20       under this bill to provide stricter regulation

        21       at lower levels of government?

        22                      SENATOR RATH:  This bill,

        23       Senator, deals with agencies and agency reviews.











                                                             
2963

         1       But you raise a very good point, and I would be

         2       more than happy to talk with you about looking

         3       at something that would offer some opportunities

         4       for the other levels of government.

         5                      SENATOR OPPENHEIMER:  Thank you,

         6       Senator.

         7                      ACTING PRESIDENT SEWARD:  The

         8       Secretary will read the last section.

         9                      SENATOR PATERSON:  Slow roll

        10       call, Mr. President.

        11                      THE SECRETARY:  Section 66.  This

        12       act shall take effect immediately.

        13                      ACTING PRESIDENT SEWARD:  Call

        14       the roll.  Slow roll call has been asked for.

        15       Are there five Senators standing?

        16                      The Secretary will call the roll

        17       slowly.

        18                      THE SECRETARY:  Senator Abate.

        19                      SENATOR ABATE:  No.

        20                      THE SECRETARY:  Senator Babbush

        21       excused.

        22                      Senator Bruno.

        23                      SENATOR BRUNO:  (Affirmative











                                                             
2964

         1       indication.)

         2                      THE SECRETARY:  Aye.

         3                      Senator Connor.

         4                      SENATOR CONNOR:  (Negative

         5       indication.)

         6                      THE SECRETARY:  No.

         7                      Senator Cook.

         8                      SENATOR COOK:  Yes.

         9                      THE SECRETARY:  Senator

        10       DeFrancisco.

        11                      (There was no response.)

        12                      Senator DiCarlo.

        13                      SENATOR DiCARLO:  Aye.

        14                      THE SECRETARY:  Senator

        15       Dollinger.

        16                      SENATOR DOLLINGER:  No.

        17                      THE SECRETARY:  Senator Espada.

        18                      SENATOR ESPADA:  No.

        19                      THE SECRETARY:  Senator Farley.

        20                      SENATOR FARLEY:  I vote aye.

        21                      THE SECRETARY:  Senator Galiber.

        22                      SENATOR GALIBER:  No.

        23                      THE SECRETARY:  Senator Gold.











                                                             
2965

         1                      SENATOR GOLD:  I don't think so.

         2                      THE SECRETARY:  Senator

         3       Gonzalez.

         4                      (There was no response.)

         5                      Senator Goodman.

         6                      (There was no response.)

         7                      Senator Hannon.

         8                      SENATOR HANNON:  Yes.

         9                      THE SECRETARY:  Senator Hoblock.

        10                      SENATOR HOBLOCK:  Yes.

        11                      THE SECRETARY:  Senator

        12       Hoffmann.

        13                      SENATOR HOFFMANN:  Yes.

        14                      THE SECRETARY:  Senator Holland.

        15                      SENATOR HOLLAND:  Yes.

        16                      THE SECRETARY:  Senator Johnson.

        17                      SENATOR JOHNSON:  Aye.

        18                      THE SECRETARY:  Senator Jones.

        19                      SENATOR JONES:  Yes.

        20                      THE SECRETARY:  Senator Kruger.

        21                      SENATOR KRUGER:  No.

        22                      THE SECRETARY:  Senator Kuhl.

        23                      (There was no response.)











                                                             
2966

         1                      Senator Lack.

         2                      (There was no response.)

         3                      Senator Larkin.

         4                      SENATOR LARKIN:  Aye.

         5                      THE SECRETARY:  Senator LaValle.

         6                      SENATOR LAVALLE:  Aye.

         7                      THE SECRETARY:  Senator Leibell.

         8                      SENATOR LEIBELL:  Aye.

         9                      THE SECRETARY:  Senator Leichter.

        10                      SENATOR LEICHTER:  No.

        11                      THE SECRETARY:  Senator Levy.

        12                      (There was no response.)

        13                      Senator Libous.

        14                      (There was no response.)

        15                      Senator Maltese.

        16                      SENATOR MALTESE:  Aye.

        17                      THE SECRETARY:  Senator

        18       Marcellino.

        19                      SENATOR MARCELLINO:  Aye.

        20                      THE SECRETARY:  Senator Marchi.

        21                      SENATOR MARCHI:  Aye.

        22                      THE SECRETARY:  Senator

        23       Markowitz.











                                                             
2967

         1                      SENATOR MARKOWITZ:  No.

         2                      THE SECRETARY:  Senator Maziarz.

         3                      SENATOR MAZIARZ:  Aye.

         4                      THE SECRETARY:  Senator Mendez.

         5                      SENATOR MENDEZ:  No.

         6                      THE SECRETARY:  Senator

         7       Montgomery.

         8                      SENATOR MONTGOMERY:  No.

         9                      THE SECRETARY:  Senator Nanula.

        10                      SENATOR NANULA:  No.

        11                      THE SECRETARY:  Senator

        12       Nozzolio.

        13                      (There was no response.)

        14                      Senator Onorato.

        15                      SENATOR ONORATO:  No.

        16                      THE SECRETARY:  Senator

        17       Oppenheimer.

        18                      SENATOR OPPENHEIMER:  No.

        19                      THE SECRETARY:  Senator Padavan.

        20                      (There was no response.)

        21                      Senator Paterson.

        22                      SENATOR PATERSON:  No.

        23                      THE SECRETARY:  Senator Present.











                                                             
2968

         1                      SENATOR PRESENT:  Yes.

         2                      THE SECRETARY:  Senator Rath.

         3                      SENATOR RATH:  Yes.

         4                      THE SECRETARY:  Senator Saland.

         5                      SENATOR SALAND:  Aye.

         6                      THE SECRETARY:  Senator Santiago

         7       excused.  Senator Sears.

         8                      (There was no response.)

         9                      Senator Seward.

        10                      SENATOR SEWARD:  Aye.

        11                      THE SECRETARY:  Senator Skelos.

        12                      SENATOR SKELOS:  Yes.

        13                      THE SECRETARY:  Senator Smith.

        14                      (There was no response.)

        15                      Senator Solomon.

        16                      (There was no response.)

        17                      Senator Spano.

        18                      SENATOR SPANO:  Aye.

        19                      THE SECRETARY:  Senator

        20       Stachowski.

        21                      SENATOR STACHOWSKI:  No.

        22                      THE SECRETARY:  Senator

        23       Stafford.











                                                             
2969

         1                      SENATOR STAFFORD:  Aye.

         2                      THE SECRETARY:  Senator Stavisky.

         3                      SENATOR STAVISKY:  No.

         4                      THE SECRETARY:  Senator Trunzo.

         5                      SENATOR TRUNZO:  Yes.

         6                      THE SECRETARY:  Senator Tully.

         7                      SENATOR TULLY:  Aye.

         8                      THE SECRETARY:  Senator Velella.

         9                      SENATOR VELELLA:  Yes.

        10                      THE SECRETARY:  Senator Volker.

        11                      SENATOR VOLKER:  Yes.

        12                      THE SECRETARY:  Senator Waldon.

        13                      (There was no response.)

        14                      Senator Wright.

        15                      SENATOR WRIGHT:  Aye.

        16                      ACTING PRESIDENT SEWARD:

        17       Absentees.

        18                      THE SECRETARY:  Senator

        19       DeFrancisco.

        20                      SENATOR DeFRANCISCO:  Yes.

        21                      THE SECRETARY:  Senator

        22       Gonzalez.

        23                      (There was no response.)











                                                             
2970

         1                      Senator Goodman.

         2                      SENATOR GOODMAN:  Yes.

         3                      THE SECRETARY:  Senator Kuhl.

         4                      SENATOR KUHL:  Aye.

         5                      THE SECRETARY:  Senator Lack.

         6                      SENATOR LACK:  Aye.

         7                      THE SECRETARY:  Senator Levy.

         8                      SENATOR LEVY:  Aye.

         9                      THE SECRETARY:  Senator Libous.

        10                      SENATOR LIBOUS:  Aye.

        11                      THE SECRETARY:  Senator

        12       Montgomery.

        13                      SENATOR MONTGOMERY:  No.

        14                      THE SECRETARY:  Senator

        15       Nozzolio.

        16                      SENATOR NOZZOLIO:  Aye.

        17                      THE SECRETARY:  Senator Padavan.

        18                      (There was no response.)

        19                      Senator Sears.

        20                      SENATOR SEARS:  Yes.

        21                      THE SECRETARY:  Senator Smith.

        22                      (There was no response.)

        23                      Senator Solomon.











                                                             
2971

         1                      (There was no response.)

         2                      Senator Waldon.

         3                      (There was no response.)

         4                      ACTING PRESIDENT SEWARD:

         5       Results.

         6                      THE SECRETARY:  Ayes 37.  Nays

         7       17.

         8                      ACTING PRESIDENT SEWARD:  The

         9       bill is passed.

        10                      Senator Skelos.

        11                      Senator Galiber.

        12                      SENATOR GALIBER:  Yes, Mr.

        13       President.  I was not in chambers, but I would

        14       like unanimous consent to be recorded in the

        15       negative on Number 218, Senate Bill 1931.

        16                      ACTING PRESIDENT SEWARD:  Without

        17       objection.

        18                      SENATOR GALIBER:  And one old

        19       request.  Last week, when there was a slow roll

        20       call, I was absent from the chambers and I would

        21       like to indicate for the record that if I had

        22       been here, I would have voted in the negative on

        23       Calendar 213, Senate Number 1092.











                                                             
2972

         1                      ACTING PRESIDENT SEWARD:  Without

         2       objection, the record will so indicate.

         3                      Senator Abate.

         4                      SENATOR ABATE:  I ask for

         5       unanimous consent to be recorded in the negative

         6       on Calendar Number 218, 1931.

         7                      ACTING PRESIDENT SEWARD:  Without

         8       objection.

         9                      Senator Leichter.

        10                      SENATOR LEICHTER:  Yes, Mr.

        11       President.  May I, too, be recorded in the

        12       negative on Calendar 218, please.

        13                      ACTING PRESIDENT SEWARD:  Without

        14       objection.

        15                      Senator Oppenheimer.

        16                      SENATOR OPPENHEIMER:  Thank you,

        17       Mr. President.  Also I would like unanimous

        18       consent for 218.

        19                      ACTING PRESIDENT SEWARD:  Without

        20       objection.

        21                      Senator Goodman.

        22                      SENATOR GOODMAN:  Negative on

        23       218, Mr. President.











                                                             
2973

         1                      ACTING PRESIDENT SEWARD:  The

         2       record will so indicate.

         3                      Senator Kruger.

         4                      SENATOR KRUGER:  Negative on 218,

         5       please.

         6                      ACTING PRESIDENT SEWARD:  Without

         7       objection.

         8                      Senator Dollinger.

         9                      SENATOR DOLLINGER:  Negative on

        10       218, Mr. President, without objection.

        11                      ACTING PRESIDENT SEWARD:  Without

        12       objection.

        13                      Senator Smith.

        14                      SENATOR SMITH:  Mr. President.  I

        15       would like to indicate, had I been present, that

        16       I would have voted no on Calendar Number 289.

        17                      ACTING PRESIDENT SEWARD:  Without

        18       objection, the record will so indicate.

        19                      Senator Onorato.

        20                      SENATOR ONORATO:  Mr. President.

        21       I request unanimous consent to be recorded in

        22       the negative on Calendar Number 218.

        23                      ACTING PRESIDENT SEWARD:  Without











                                                             
2974

         1       objection.

         2                      Senator Mendez.

         3                      SENATOR MENDEZ:  I would like to

         4       be recorded in the negative on Calendar 218.

         5                      ACTING PRESIDENT SEWARD:  Without

         6       objection.

         7                      Senator Stachowski.

         8                      SENATOR STACHOWSKI:  Mr.

         9       President.  Could I have unanimous consent to

        10       please be recorded in the negative on Calendar

        11       218.

        12                      ACTING PRESIDENT SEWARD:  Without

        13       objection.

        14                      Senator Skelos.

        15                      SENATOR SKELOS:  Is there a Rules

        16       Committee report at the desk?

        17                      ACTING PRESIDENT SEWARD:  Yes,

        18       there is.

        19                      SENATOR SKELOS:  May we please

        20       have it read.

        21                      ACTING PRESIDENT SEWARD:  The

        22       Secretary will read.

        23                      THE SECRETARY:  Senator Bruno,











                                                             
2975

         1       from the Committee on Rules, hands up the

         2       following bill directly for third reading:

         3                      Print Number 1554A, Budget Bill,

         4       an act making appropriations for the support of

         5       government.

         6                      SENATOR SKELOS:  Mr. President.

         7                      ACTING PRESIDENT SEWARD:  Senator

         8       Skelos.

         9                      SENATOR SKELOS:  I move we adopt

        10       the Rules Committee report.

        11                      ACTING PRESIDENT SEWARD:  All in

        12       favor of adopting the Rules report, say aye.

        13                      (Response of "Aye.")

        14                      Those opposed, nay.

        15                      (There was no response.)

        16                      The report is adopted.

        17                      Senator Levy.

        18                      SENATOR LEVY:  Yes, I request

        19       unanimous consent to be recorded in the negative

        20       on Calendar 218.

        21                      ACTING PRESIDENT SEWARD:  Without

        22       objection, Senator Levy.

        23                      Senator Tully.











                                                             
2976

         1                      SENATOR TULLY:  At the risk of

         2       sounding like a parrot, Mr. President, unanimous

         3       consent to be recorded in the negative on 218.

         4                      ACTING PRESIDENT SEWARD:  Without

         5       objection.

         6                      Yes, Senator.

         7                      SENATOR MARKOWITZ:  If I may, I

         8       would like to be recorded in the negative on

         9       Calendar Number 218.

        10                      ACTING PRESIDENT SEWARD:  Senator

        11       Markowitz in the negative on 218.

        12                      SENATOR OPPENHEIMER:  Mr.

        13       President.

        14                      ACTING PRESIDENT SEWARD:  Senator

        15       Oppenheimer.

        16                      SENATOR OPPENHEIMER:  Would you

        17       be good enough to reflect for us what the final

        18       tally is on bill 218?

        19                      SENATOR SKELOS:  Mr. President.

        20                      ACTING PRESIDENT SEWARD:  Senator

        21       Skelos.

        22                      SENATOR SKELOS:  I would like to

        23       call up Calendar Number 330.











                                                             
2977

         1                      ACTING PRESIDENT SEWARD:

         2       Calendar 330.

         3                      THE SECRETARY:  Calendar Number

         4       330, Budget Bill, an act making appropriations

         5       for the support of government.

         6                      SENATOR SKELOS:  Mr. President.

         7       Is there a message of necessity at the desk?

         8                      ACTING PRESIDENT SEWARD:  Senator

         9       Skelos, yes, there is.

        10                      SENATOR SKELOS:  I move we accept

        11       the message.

        12                      ACTING PRESIDENT SEWARD:  All

        13       those in favor of accepting the message, say

        14       aye.

        15                      (Response of "Aye.")

        16                      Those opposed, nay.

        17                      (Response of "Nay.")

        18                      The message is accepted.

        19                      SENATOR SKELOS:  Lay the bill

        20       aside.

        21                      ACTING PRESIDENT SEWARD:  The

        22       bill is laid aside.

        23                      SENATOR SKELOS:  Mr. President.











                                                             
2978

         1       At this time, there will be a recess for an hour

         2       and 35 minutes -- I'm sorry.

         3                      ACTING PRESIDENT SEWARD:  Senator

         4       Kruger.

         5                      SENATOR KRUGER:  Yes, Mr.

         6       President.

         7                      On behalf of Senator Solomon, I

         8       rise today to pay homage and respect to three

         9       individuals that we have up in the balcony,

        10       three young people, all 11-year-olds, all

        11       residents and school-age children in Senator

        12       Solomon's district, who were the first, second,

        13       and third prize winners of a U.S. Savings Bond

        14       contest that was sponsored by the New York State

        15       United Teachers Association.

        16                      At this time, I would like to

        17       introduce them.  The first place winner is

        18       Alzaber Rubayat.  Mr. David Qiu and Mr. Claudiu

        19       Irina.

        20                      (Applause.)

        21                      SENATOR KRUGER:  Congratulations.

        22                      ACTING PRESIDENT SEWARD:  Thank

        23       you, Senator Kruger.











                                                             
2979

         1                      Senator Skelos.

         2                      SENATOR SKELOS:  Would you please

         3       recognize Senator Montgomery.

         4                      ACTING PRESIDENT SEWARD:  Senator

         5       Montgomery.

         6                      SENATOR MONTGOMERY:  Thank you,

         7       Mr. President.  I would like unanimous consent

         8       to be recorded in the negative on Calendar

         9       Number 218.

        10                      ACTING PRESIDENT SEWARD:  Without

        11       objection.

        12                      SENATOR MONTGOMERY:  Thank you.

        13                      SENATOR SKELOS:  Would you

        14       recognize Senator Espada, please.

        15                      ACTING PRESIDENT SEWARD:  Senator

        16       Espada.

        17                      SENATOR ESPADA:  Mr. President.

        18       I also request unanimous consent to be recorded

        19       in the negative on Calendar 218.

        20                      ACTING PRESIDENT SEWARD:  Without

        21       objection.

        22                      SENATOR SKELOS:  Please recognize

        23       Senator Mendez.











                                                             
2980

         1                      ACTING PRESIDENT SEWARD:  Senator

         2       Mendez.

         3                      SENATOR MENDEZ:  Mr. President.

         4       There will be an immediate Minority conference

         5       in the Minority Conference room.

         6                      ACTING PRESIDENT SEWARD:

         7       Immediate Minority conference.

         8                      I believe there is some house

         9       keeping.

        10                      Senator Libous.

        11                      SENATOR LIBOUS:  Thank you, Mr.

        12       President.

        13                      On page 15, I offer the following

        14       amendments to Calendar Number 116, Senate Print

        15       Number 1088, and ask that said bill retain its

        16       place on the Third Reading Calendar.

        17                      ACTING PRESIDENT SEWARD:

        18       Amendments accepted.

        19                      Senator Skelos.

        20                      SENATOR SKELOS:  Mr. President.

        21       The Senate will stand in recess now until 2:00

        22       p.m., at which time we will take up Calendar

        23       Number 330, Capital Projects, and following that











                                                             
2981

         1       Calendar Number 290, Environmental Regulatory

         2       Reform Act of 1995.

         3                      ACTING PRESIDENT SEWARD:  The

         4       Senate stands in recess until 2:00 p.m.

         5                      (Whereupon, at 12:15 p.m., the

         6       Senate recessed.)

         7                      (The Senate reconvened at 2:05

         8       p.m.)

         9                      ACTING PRESIDENT KUHL:  The

        10       Senate will come to order.  The Chair recognizes

        11       Senator Skelos.

        12                      SENATOR SKELOS:  Yes, Mr.

        13       President.  Would you call up Calendar Number

        14       330, S. 1554-A.

        15                      ACTING PRESIDENT KUHL:  Secretary

        16       will read Calendar 330.

        17                      THE SECRETARY:  Calendar Number

        18       330, Print Number 1554-A, an act making

        19       appropriations for the support of government.

        20                      ACTING PRESIDENT KUHL:  Bill is

        21       before the house.  Message was previously

        22       accepted.

        23                      SENATOR PATERSON:  Explanation.











                                                             
2982

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Stafford, an explanation has been asked for by

         3       Senator Paterson.

         4                      SENATOR STAFFORD:  Thank you.

         5                      Mr. President, we are today

         6       taking up, I believe, our third bill in passing

         7       our budget for 1995-1996.  This is the Capital

         8       Projects.  I will go over it by subject.

         9                      In Correctional Services, we

        10       include funds of 8.6 million to convert the

        11       Willard Psychiatric Center into a 500-bed

        12       Department of Correctional Services-operated

        13       drug treatment center.  I might add these drug

        14       treatment centers have done very, very well.  We

        15       have one in my district in Chateaugay, one of

        16       the first ones to open.  We think this makes a

        17       great deal of sense.

        18                      We have 30.2 million for the

        19       rehabilitation and expansion of the Gowanda

        20       Correctional Facility and 120 million for the

        21       purchase of the Riverview and Cape Vincent

        22       Correctional Facility from the city of New

        23       York.  Some of you might not realize that we've











                                                             
2983

         1       had these two City correctional facilities in

         2       our area, but they've been operated by the state

         3        -- state of New York; so they, in effect, have

         4       been state facilities.

         5                      In addition, 871 million in

         6       reappropriations are provided, including funding

         7       for five prisons previously authorized, and

         8       those are Friendship, Johnstown, Altamont,

         9       Comsfeld -- Comsfield, excuse me, and Romulus.

        10                      The CUNY portion of the budget,

        11       the City University of New York, we have new

        12       appropriations -- a new appropriation, authority

        13       is provided for new facilities for LaGuardia

        14       Community College for 14.4 million and 42.7

        15       million for health and safety and ADA

        16       compliance.  ADA stands for the American

        17       Disabilities Act.

        18                      The Education Department: We have

        19       a new appropriation -- we have an appropriation

        20       authority and it provides for cultural center

        21       improvements, emergency lighting and repair at

        22       the state School for the Blind and Deaf.  The

        23       SUNY portion, State University of New York: A











                                                             
2984

         1       new appropriation authority of 100.9 million is

         2       provided for health and safety repairs; 22.5

         3       million for hospital rehabilitation; 5.5 million

         4       for dormitory rehabilitation and 31.2 million

         5       for community college rehabilitation and health

         6       and safety repairs.

         7                      Next the Energy Research and

         8       Development Authority.  The budget provides for

         9       16.1 -- excuse me, 16.5 million appropriation

        10       for the sale of bonds to support the activities

        11       on the Western New York Nuclear Service Center.

        12       This allows the state to fulfill its ten percent

        13       share of responsibility for West Valley; and, of

        14       course, we know that is a facility for hazardous

        15       waste.  The federal government provides the

        16       remaining 90 percent of funding.

        17                      In the health field, we have

        18       funding for new capital projects totalling 2.8

        19       million providing support for various minor

        20       rehabilitation and maintenance projects.  The

        21       change in funding from the 1994-95 level is

        22       insignificant, and I will have to say that I

        23       agree with our staff on practically anything











                                                             
2985

         1       they say, but here they say insignificant is

         2       $400,000, and I don't think it's insignificant,

         3       but that's what it is, the difference.  Exactly,

         4       a lot more we have to find.

         5                      SENATOR GOLD:  Mr. President.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Gold, why do you rise?

         8                      SENATOR GOLD:  Yes.  Could you

         9       ask the distinguished gentleman from Plattsburgh

        10       to just keep his voice up a little bit.  This is

        11       really good stuff, and I like the analysis and

        12       I'd like to hear it.  It's something everybody

        13       should be able to enjoy.

        14                      SENATOR STAFFORD:  I'll have to

        15       keep facing the microphone.  I'll have to keep

        16       facing the microphone.  I don't when I should.

        17       All right?  Do I hear that someone says I'm

        18       talking too loud now?

        19                      Getting back to serious work

        20       here, Transportation.  The Executive

        21       Transportation Capital Projects Budget includes

        22       2.7 billion in new capital appropriation

        23       authority as follows: 2.72 billion for highway











                                                             
2986

         1       facilities; 37.9 million for mass transportation

         2       and rail freight; 26.3 million for maintenance

         3       facilities and 9 million for aviation.

         4                      The budget also includes 7.2

         5       billion in capital reappropriation authority for

         6        -- capital, excuse me.  I'll start over,

         7       includes 7.2 billion in capital reappropriation

         8       authority as follows: 6.8 billion for highway

         9       facilities; 2.9 million -- no, 209 million for

        10       mass transport and rail freight; 58 million for

        11       maintenance facilities; 131 million for

        12       aviation, 1.8 million for ports and waterways

        13       and 3.4 million for design and construction

        14       supervision.

        15                      The executive capital projects

        16       bill has been amended to eliminate language

        17       changes within the special rail and aviation

        18       programs related to the executive proposal to

        19       waive the Chapter 56 Laws of 1993 transportation

        20       memorandum of understanding.  This executive

        21       proposal had been rejected.

        22                      Urban Development Corporation:

        23       Various stadii were not included in the











                                                             
2987

         1       Executive Budget reappropriation.  The Senate is

         2       drafting a separate Article VII bill to restore

         3       funding to unfunded projects in addition to

         4       various other economic development projects.

         5                      Mr. President, this again is a

         6       budget that the executive, the Governor, and the

         7       Senate agree upon.  There's no question about it

         8       that it's leaner.  It does not include as much

         9       as many of the budgets we've seen in the past

        10       but, as we said yesterday, we are this year

        11       making sure that we don't spend more than we

        12       have and that we continue to work towards having

        13       an economy in this state which will be viable

        14       and which will be competitive with other states

        15       and we will not be losing the jobs that we have

        16       lost, we will not have businesses leaving our

        17       state, but instead remaining in our state.

        18                      ACTING PRESIDENT KUHL:  Secretary

        19       will read the last section.

        20                      Senator Gold.

        21                      SENATOR GOLD:  Mr. President,

        22       would Senator Stafford yield to just a couple of

        23       questions?











                                                             
2988

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Stafford, do you yield to a couple of questions?

         3                      SENATOR STAFFORD:  I will.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       yields.

         6                      SENATOR GOLD:  Senator, the

         7       budget is basically -- the budget we're working

         8       on now, Capital Projects, is basically perhaps

         9       more than other kinds of budgets that we vote

        10       on, kind of a blueprint for the future.  It's

        11       got some philosophy in it, and it's got promises

        12       in it.  Wouldn't you say that's a fair comment,

        13       future promises?

        14                      If I can explain the question a

        15       little better.

        16                      SENATOR STAFFORD:  I don't know

        17       just what you're talking about.

        18                      SENATOR GOLD:  Let me get it out

        19       there.  I know that you do, but let me get it

        20       out there.  When we talk about the deficiency

        21       debt service budget, we're just paying bills,

        22       there's nothing really with that, and we talk

        23       about the legislative budget, the judicial











                                                             
2989

         1       budget, we're paying salaries.  We talk about

         2       state purposes budget and basically we're

         3       providing money for various things for the

         4       fiscal year.  We talk about local assistance,

         5       and we're basically providing money for the

         6       fiscal year, but capital projects budget, the

         7       way I look at it, is sort of for the future.

         8       We're building something, capital projects.

         9       We're building something, so we're basically

        10       saying to the future generations that these are

        11       priorities; these are things we should be doing

        12       today to make sure that the state goes along

        13       certain lines.  Is that a fair analysis?

        14                      SENATOR STAFFORD:  No question, I

        15       think that really the entire budget really is a

        16        -- is a statement of philosophy, some in

        17       planning more than you have so well stated about

        18       the capital projects, but I would say and I said

        19       this a number of times, that the philosophy that

        20       we're attempting to put forth in this budget,

        21       which has been, as I say, agreed upon by the

        22       Governor and the Senate, the Governor's Division

        23       of the Budget, is saying to all of us that we











                                                             
2990

         1       are going to stop spending more than we take in

         2       and we're going to realize that we are

         3       competitive with other states whether they be

         4       Mississippi, Louisiana, Vermont, Michigan,

         5       Florida, any state, because we have found the

         6       past years that thousands of jobs have left this

         7       state and we do have to do something about it.

         8                      SENATOR GOLD:  Yeah, but if the

         9       Senator will yield to a question.

        10                      ACTING PRESIDENT KUHL:  Senator

        11        -- Senator yields.

        12                      SENATOR GOLD:  Senator Stafford,

        13       you haven't said anything I disagree with in

        14       that statement, but I'm trying to make a point

        15       so that we can move it along.  The -- you're

        16       absolutely right, every budget is a statement of

        17       philosophy because we're paying people to do

        18       things.  We're obviously saying that those are

        19       important things, but what I'm saying is that

        20       the State Purposes Budget and the Local

        21       Assistance Budget, those take us from fiscal

        22       year April 1, 1995 through the March 31st,

        23       1996.











                                                             
2991

         1                      This particular budget, I think

         2       more than other budgets, talks into the future

         3       and so, for example, and I'm just turning pages,

         4       Senator -- believe me, this is totally random

         5       and this time I mean it -- on page 68, it talks

         6       about airport, aviation, state programs.  I

         7       assume, if we're talking about 6.5 million,

         8       we're doing something because we expect that

         9       whatever airports are involved will be around.

        10                      On some other pages it talks

        11       about the Department of Correctional Services.

        12       We are, as we indicated today, buying jails or

        13       not, depending upon various criteria because

        14       people will know that, since we're buying 120

        15       million in jails, we anticipate that in the

        16       future that's going to be the way we're going,

        17       those particular jails, those particular

        18       places.

        19                      We are doing things with schools,

        20       so obviously we are projecting into the future

        21       and that was my question.  When you say this

        22       budget, Senator, perhaps more than any other

        23       budget projects into the future as what our











                                                             
2992

         1       needs are so that we gear capital projects to

         2       that.  Is that a fair comment?

         3                      SENATOR STAFFORD:  Well, I -- as

         4       you said, what I've said, you don't have really

         5       any difference with.  I basically understand

         6       what you're saying, but in clarification of my

         7        -- of my answer, I would say yes, each year we

         8       have to decide what we have and we have to

         9       decide what is really necessary and that

        10       sometimes there's changes in plans that we have

        11       made and that's often because of the economy,

        12       it's because of what money is available and it's

        13       because of priorities.

        14                      SENATOR GOLD:  Mr. President, if

        15       the Senator would yield.  Senator -

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Stafford, will you continue to yield?

        18                      SENATOR STAFFORD:  Yes.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       continues to yield.

        21                      SENATOR GOLD:  Senator Stafford,

        22       I'm trying to arrive at some common ground with

        23       you, and I'm not going to let it go and I











                                                             
2993

         1       appreciate your wonderful ability to, you know,

         2       not always give the answer that somebody wants

         3       and, Senator, every question that's asked you

         4       isn't a trap, but I'm trying to find out and

         5       what I think is fair.

         6                      Things change on a day by day

         7       basis, Senator Stafford, but isn't it a fact

         8       that if we, in the capital projects budget,

         9       decide we're going to build something, we're

        10       building it because we are saying this year that

        11       we anticipate that that project, whatever it is,

        12       is going to be needed in the future, otherwise

        13       we wouldn't be putting up the money today,

        14       Senator, for the bonding issue today to build

        15       it.  Isn't that a fair comment, Senator?

        16                      SENATOR STAFFORD:  Well, as you

        17       have mentioned, I have the ability not to give

        18       you the answer that you always want.  Let me

        19       assure you, you also have the ability not to

        20       give me the answer I like sometimes, and I think

        21       it's because we have different priorities.  We

        22       have different concerns.  We are looking at the

        23       overall financial picture completely differently











                                                             
2994

         1       and, again, that's one of the great things about

         2       this country.  We can -- we can disagree, and

         3       I've not seen a budget that there was not

         4       disagreement upon but, as I say, each budget is

         5       a chapter.  That chapter is written including a

         6       capital budget, which you're asking about.  It's

         7       written for, first, what do we have to work

         8       with, funds; second, what are the priorities,

         9       what are the needs and then, of course, we have

        10       the provisions included that are of sufficient

        11       priority.

        12                      SENATOR GOLD:  Mr. President.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Gold.

        15                      SENATOR GOLD:  If the

        16       distinguished chairman would yield to another

        17       question.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Stafford, do you continue to yield?  Senator

        20       Stafford continues to yield.

        21                      SENATOR GOLD:  Senator Stafford

        22        -- Senator Stafford, among the many qualities

        23       which you have which I admire, and I do admire











                                                             
2995

         1       them, certainly your patience is one of them,

         2       and while I'm not necessarily noted for my

         3       patience, I'm going to use you as a model and

         4       I'm going to try to have as much patience as

         5       you, so I'm willing to stay with it, Senator.

         6       Let's try again.

         7                      On page 553 of this budget, line

         8       18, "state highways", says:  Interstate

         9       construction, reconstruction, Westway trade and

        10       interstate transfer, other highway system

        11       construction, and then it talks about Route 9,

        12       Myers Road to Cotton Hill Road, reconstruction;

        13       Long Island Expressway between Maurice Avenue

        14       and the Brooklyn-Queens Expressway, et cetera,

        15       and it mentions, Senator, some very, very

        16       specific roads and it gives specific amounts of

        17       money.

        18                      Now, isn't it a fair statement to

        19       say, Senator, that we are putting the money into

        20       those roads because we don't expect next year to

        21       end those roads? We don't expect next year that

        22       we're going to have a bypass around those roads

        23       and we don't expect that next year there'll be a











                                                             
2996

         1       different road.

         2                      So in that regard, Senator, I

         3       would imagine that we are saying to the people

         4       it's important to spend money for this road

         5       because this particular road, Route 9 and this

         6       particular road, Maurice Avenue, has an

         7       important place in our future and, therefore, in

         8       the capital projects budget, we're spending the

         9       money.  Is that a fair comment?

        10                      SENATOR STAFFORD:  Well, you -

        11       you had an introduction to your last question,

        12       so I'll have an introduction to this answer.

        13       You mentioned you're going to be patient.  Well,

        14       I would also share with you that I know when I'm

        15       up against a Cornell lawyer, I mean that as a

        16       compliment, and I think I know where you're

        17       going, but I don't want to go there.  So we're

        18       going to be discussing this.

        19                      SENATOR GOLD:  Senator -

        20                      SENATOR STAFFORD:  Now -

        21                      SENATOR GOLD:  Will the Senator

        22       yield to a question?

        23                      ACTING PRESIDENT KUHL:  The











                                                             
2997

         1       Senator yields.

         2                      SENATOR GOLD:  Senator, I

         3       appreciate the reference to my being a Cornell

         4       lawyer with offices at 40 Wall Street, New York

         5       10005.

         6                      SENATOR STAFFORD:  Don't do that;

         7       don't do that.

         8                      SENATOR GOLD:  But that's not

         9       what we're doing here and, when you say you know

        10       where I want to go, that's another one of your

        11       abilities, because I'm not sure even.  Senator,

        12       it's not a question of where I want to go or not

        13       go.

        14                      I've said this before, and I -- I

        15       think this year more than ever, I think the

        16       point should be made, I am very delighted with

        17       Governor Pataki's budget from the following

        18       point of view: I don't think there could be a

        19       clearer statement of philosophy than his budget

        20       and the fact that I can say to people I don't

        21       agree with it puts me right in a certain place

        22       and it puts the Governor a certain place, and

        23       while many things that happen in government get











                                                             
2998

         1       all mixed up and mired and mushed, this year we

         2       don't have that problem, and I'm -- I'm thrilled

         3       with it.

         4                      I find that, for the first time

         5       in a long time, people come in to see me and

         6       talking about issues aren't talking in gray

         7       areas.  It's exactly this point or that point.

         8                      But, Senator, I would imagine

         9       that from the point of view of your party that

        10       you ought to be standing around this state and

        11       this chamber this year with your chest thrown

        12       out there beautifully because, by gosh, ladies

        13       and gentlemen, we -- this is what we believe

        14       in.  Former Senator George Pataki, now the

        15       Governor, respected Governor of this state, is

        16       now putting us on this road, and I want

        17       everybody in the state to know that I'm on the

        18       road.  I assume that that's the case.

        19                      So I don't know why you would

        20       worry about where I'm trying to take you in a

        21       debate.  I would think that I can't take you any

        22       place you'd be uncomfortable in this particular

        23       budget.  I'm just trying to make the point that











                                                             
2999

         1        -- that whereas other budgets take care of

         2       exacting needs, this particular budget, the

         3       capital projects budget, is a budget that

         4       requires vision.

         5                      Now, I'm not suggesting to you,

         6       Senator, that our other budgets don't.

         7       Certainly when we set up programs for public

         8       assistance, we are not suggesting to people that

         9       it's going to be public assistance for this year

        10       and next year it's out the window.  Sure,

        11       everything has its philosophy, but in the other

        12       budgets, if we, for example, decide to give Mr.

        13       King 104,000 this year and, as a result of the

        14       changes suggested by Senator Bruno and Senator

        15       Rath, we don't need him next year, we can, in

        16       fact, terminate him and we would have spent

        17       104,000 with no problem.

        18                      In this particular budget though,

        19       it's not that simple, because if we spend a

        20       million or $2 million on a certain road and next

        21       year we don't want that road, we can't pick up

        22       $900,000 of that road and put it some place

        23       else.  We have blown the million dollars.











                                                             
3000

         1                      So from that point of view,

         2       Senator, maybe I better explain my question.

         3       Maybe I haven't.  From that point of view, isn't

         4       the capital projects budget a look into the

         5       future saying that we want to build, actually

         6       build -- construct edifices, roads, whatever

         7       because in the future, two years, ten years from

         8       now, human beings who are taxpaying citizens,

         9       will use these facilities.  We don't envision

        10       them driving on different roads.  We don't

        11       envision them in different schools and tearing

        12       down these schools.

        13                      In that regard, isn't this budget

        14       a projection into the future?

        15                      SENATOR STAFFORD:  Senator, you

        16        -- you mentioned that you don't want to or you

        17       don't make people uncomfortable.  I believe when

        18       you first came here, you sat in the -- the seat

        19       right over there in front of Senator Waldon.

        20       You have made people uncomfortable since the day

        21       you sat in that seat.  (Laughter)  Now, that

        22       isn't a criticism.  It's a compliment.

        23                      As far as the issue, and you











                                                             
3001

         1       mention a transportation budget, you will find

         2       that many of these are included.  Some are

         3       funded, some have money behind them, some do

         4       not, and then every year there are concerns;

         5       there is health and safety that have to be

         6       considered and there have to be revisions and

         7       that is really the way it has to be, because

         8       each year we have a different situation with the

         9       economy.  There's priorities and, as far as the

        10       projects you are referring to in transportation,

        11       we have changes there also.

        12                      SENATOR GOLD:  Senator, first of

        13       all, I -- I owe you one because, based upon your

        14       comment that if my wife were to read the record

        15       she would now know she's not the only person in

        16       the state of New York I've been making

        17       uncomfortable all these years, that there are

        18       others that join you.  But to show you I have a

        19       memory, I remember when you sat back there.

        20                      SENATOR STAFFORD:  23 years.

        21                      SENATOR GOLD:  Yes, and next to

        22       Senator Larkin or whatever.

        23                      Senator, in terms of the capital











                                                             
3002

         1       projects budget, if you'll yield to a question.

         2                      SENATOR STAFFORD:  Yes.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Stafford continues to yield.

         5                      SENATOR GOLD:  Senator, some of

         6       the projects in here I can understand have a

         7       statewide financial -- I mean statewide

         8       implication in terms of, for example, the New

         9       York State Thruway runs around the state and

        10       while it runs through towns, villages, counties,

        11       et cetera, you know, we think of that as a state

        12       situation, and there are many of those in this

        13       budget.  I'm sure when we talk about prisons we

        14       talk about mental health institutions, things

        15       like that one might say are of a state nature.

        16       But aren't there also, Senator, many projects in

        17       this budget that are of great significance to

        18       particular localities in the state?

        19                      SENATOR STAFFORD:  I think that

        20       we all have to understand that it's just logic,

        21       and I should have the ability -- ability to

        22       explain that, if it's there, it has to be

        23       somewhere, so it's there.  That isn't exactly











                                                             
3003

         1       right, but it goes something like that, or if

         2       it's a being that has to be somewhere,

         3       therefore, it's there and that isn't exactly

         4       right, but in other words any project in the

         5       state is going to be in a specific area, no

         6       question about it.

         7                      SENATOR GOLD:  Well, all right,

         8       and, Senator, in terms of items, let me just -

         9       in all fairness, when you say it's got to be

        10       here, it's got to be there, it's got to be some

        11       place.  I mean that really isn't true to the

        12       extent that, if a particular locality wants a

        13       particular item for either economic development

        14       or for particular -- or for particular -- I'm

        15       sorry.

        16                      Senator, if a particular

        17       locality, for example, determines that it needs

        18       a stadium, a particular locality determines that

        19       it needs a better railroad station or whatever,

        20       I don't think it's fair to say, Well, you got to

        21        -- we happen to have -- we went into a choice,

        22       they gave me a little railroad station; I got to

        23       build it some place.  That's not the











                                                             
3004

         1       philosophy.  You don't have to put everything

         2       some place.

         3                      On the local part of this budget,

         4       Senator, I assume we are reacting to some

         5       extent, very responsibly so, but I assume that

         6       we are reacting to communities who tell us that

         7       they have certain needs and that's why part of

         8       the budget places construction in certain

         9       places.  Is that a fair comment?

        10                      SENATOR STAFFORD:  Well, I -- I'm

        11       sorry, I was thinking of something else.  Just

        12       at the end, the end.  Go ahead.

        13                      SENATOR GOLD:  Yes.  No, no, what

        14       I was saying, I appreciate that, Senator.  It

        15       happens to me all too often, but what I was

        16       saying was, isn't it a fact that rather than

        17       just saying, you know, Here is a, you know,

        18       here's a stadium, for example, we ought to build

        19       one, don't ask me why but we ought to find a

        20       place to put it, let's look for a place.  Rather

        21       than that being an impetus, isn't it more the

        22       impetus that a locality would say to us, We need

        23       either a stadium or a school or a hospital, we











                                                             
3005

         1       have a specific need, and then the judgment of

         2       the 211 people plus the Governor then says, Yes,

         3       that project we're going to do and that has

         4       very, very significant local effect?

         5                      SENATOR STAFFORD:  Well, I was

         6       answering your question about, for instance, if

         7       one of these stadii affects an area.  Obviously

         8       they do, and it's a specific area.  I have no

         9       quarrel.

        10                      SENATOR GOLD:  Well, I don't know

        11        -- well, maybe I -- Senator, maybe I can make

        12       my point another way.  Mr. President.  Mr.

        13       President.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Gold.  Senator Stafford, you continue to yield?

        16                      SENATOR GOLD:  No, that's all

        17       right, no.  Senator DeFrancisco.  Perhaps

        18       Senator DeFrancisco would yield to a question.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       DeFrancisco, would you like to yield to a

        21       question?

        22                      SENATOR DeFRANCISCO:  Yes.

        23                      SENATOR GOLD:  Senator, I don't











                                                             
3006

         1       know how much of the debate you've had a chance

         2       to hear, but what I'm concerned about is that,

         3       to give an example, the city of Syracuse as a

         4       result -- as a result of a promise contained in

         5       the capital projects budget for school

         6       maintenance, has already spent out of pocket

         7       $338,000.

         8                      This particular budget, Senator,

         9       does not have that money in it.  Now, there was

        10       other money promised to Syracuse in other places

        11       which will not come, I guess, under this budget

        12       and which this budget doesn't contain.  But what

        13       I'm curious about, Senator DeFrancisco, is has

        14       the city of Syracuse indicated to you how they

        15       are going to find the $338,800 that they spent

        16       in anticipation that the state was giving it to

        17       them? I mean have they indicated to you where

        18       they're going to get that money from?

        19                      SENATOR DeFRANCISCO:  If you mean

        20       by "the city of Syracuse," the mayor, I have

        21       spoken -- since I haven't spoken to every

        22       resident of the city of Syracuse, the mayor has

        23        -- I have spoken with him quite a bit on this











                                                             
3007

         1       budget.  Obviously, every mayor is concerned

         2       about the loss of support that this budget may

         3       bring to the cities.

         4                      The difficulty is that we've made

         5       promises beyond our capacity to keep, and I

         6       think what this budget is basically saying is,

         7       recognizing that we can't keep every promise

         8       that we made during an election year and that

         9       now we have to operate fiscally sound and

        10       everybody has to participate in that process and

        11       that Syracuse has to participate, so does

        12       Buffalo and New York City and Rochester and

        13       every place else, and that they will have to

        14       make do with what they receive.

        15                      The saving grace is that along

        16       with some of these budget cuts, there are going

        17       to be, as we debated this morning, substantial

        18       regulatory relief that each of the localities

        19       are going to be able to rely on to save money

        20       that they were spending on things that maybe

        21       weren't necessarily things that had to be spent,

        22       so I think it's a balancing act, and they don't

        23       like to do it, the city of Syracuse, nor does











                                                             
3008

         1       anybody else, nor do we, but it's a fiscal

         2       necessity.

         3                      SENATOR GOLD:  Will the Senator

         4       yield to one more question?

         5                      SENATOR DeFRANCISCO:

         6       Absolutely.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       yields.

         9                      SENATOR GOLD:  I certainly

        10       understand, you know, the concept of balancing

        11       budgets and everything to, you know, pull in and

        12       not -- and not spend money you don't have.  I'm

        13       not talkin' about that.  It seems to me, if we

        14       say to the city of Syracuse or the city of New

        15       York or the city of Buffalo or a county that in

        16       the next fiscal year we can't be as generous

        17       with you because we've got problems, I can

        18       understand that dialogue, but this is a

        19       situation and there's no avoiding it, where the

        20       city of Syracuse specifically expended $338,800

        21       believing from us -- and, Senator, you were a

        22       Senator last year, and I was too, and the budget

        23       we voted on made this promise.  It says, Spend











                                                             
3009

         1       the money because we're going to give it back.

         2                      Now, the mayor or whoever else is

         3       involved with the process says, "Wait a minute,

         4       I mean I -- I can understand you're not going to

         5       give me certain of the money and I won't spend

         6       it, but where do I get the 338,800 from that I

         7       laid out on your promise you'd give it back?"

         8                      I mean is that going to affect

         9       the tax structure in Syracuse, property tax?

        10       Will it affect services in Syracuse that they

        11       will now have to cut police or fire or do

        12       something else in order to take $338,800 from

        13       some place else to make it up because the state

        14       of New York is backing down on what was an

        15       absolute promise and commitment by Stafford?

        16                      SENATOR DeFRANCISCO:  Nothing is

        17       absolute in this world as we know from this

        18       budget, insofar as we found after the election

        19       that there was a $5 billion deficit.  We make

        20       promises based upon projections.  No one can

        21       predict the future with certainty and, in this

        22       particular case, it was obvious that we not only

        23       didn't predict the future with certainty, we











                                                             
3010

         1       were way off, and so the -- the reality of the

         2       situation is that, in certain instances with

         3       some of the cities and all of the cities, we

         4       have to re-evaluate when the picture is clear

         5       and, you know, I'd love to be able to say to

         6       Syracuse, I mean we may be able to adjust soon

         7       based upon the negotiations if the Assembly

         8       decides to participate, that maybe some of these

         9       items may be restored, but as of this point in

        10       time, it's an economic necessity.  The money

        11       isn't there.

        12                      I fully expect, however, that in

        13       some of these items that we're concerned about,

        14       if there are additional revenues that can be

        15       projected or if there are other ways to adjust

        16       the budget once the Assembly decides to come to

        17       the table, it would be my preference that past

        18       promises be the first priority of this Senate,

        19       and I will vote in that way.

        20                      SENATOR GOLD:  So will the

        21       Senator yield to one more question?

        22                      ACTING PRESIDENT KUHL:  Senator

        23       DeFrancisco, do you continue to yield?











                                                             
3011

         1                      SENATOR DeFRANCISCO:  Yes.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       continues to yield.

         4                      SENATOR GOLD:  Senator, your last

         5       answer puzzles me most of all because you say

         6       "if the Assembly comes to the table at all."

         7       I'm under the impression that the Governor and

         8       the Majority in this house have agreed on a

         9       budget, and that's your budget and, therefore,

        10       if this budget becomes the budget and if the

        11       Assembly didn't negotiate, did not negotiate,

        12       they say, "Governor, you want the budget, the

        13       Senate wants the budget, that's the budget," the

        14       fact of the matter is that there is no coming

        15       back and Syracuse has to find $338,800 that it

        16       was promised and it doesn't have.

        17                      It's not -- I can understand,

        18       Senator, when you say in negotiating that yeah,

        19       you might want some other monies for some other

        20       locality taken out of the budget so that you can

        21       get the 338-, but Senator, I hate to tell you,

        22       your 338- and everybody else's money adds up to

        23        -- I hope nobody is listening, $27 million, $27











                                                             
3012

         1       million dollars that has been spent by

         2       localities all over the state, the vast majority

         3       of that, by the way outside the city of New

         4       York.  Compared to upstate New York the City is

         5       pennies, is peanuts, looks like a big amount but

         6       you guys got 80 percent or something of that

         7       money, and you're basically saying to the people

         8       of the city of Syracuse that, if the Senate -

         9       if the Assembly will adopt this budget, it's

        10       O.K. by you, and I say to you where does the

        11       338,000 come from?

        12                      SENATOR DeFRANCISCO:  Well,

        13       Senator, the two years and three months that

        14       I've been a member of the Senate, we've heard

        15       repeatedly from the media that we've got to stop

        16       this process of deciding things behind closed

        17       doors, and we should really be responsible and

        18       responsive to the citizens of this state, and

        19       lay out the cards on the table.

        20                      Let us -- let the people of the

        21       state of New York know where you stand on issues

        22       and I'm sure everybody in this chamber believes

        23       in that process.  So the Senate has said that,











                                                             
3013

         1       since the negotiations apparently are going

         2       nowhere at this point in time and according to

         3       the Governor and the Majority Leader that the

         4       Assembly hasn't even put their cards out, let

         5       alone put them on the table, not even taken them

         6       out of the wrapper, let alone put them on the

         7       table, that the Senate, I think, is acting

         8       responsibly saying that, I think, Here is a

         9       budget that we could live with.  We don't love

        10       it; we really don't love every bit of it.  I

        11       certainly don't, and I'm sure many other people

        12       don't, but here's the budget that we would be

        13       willing to agree with, with the Governor.

        14                      Now, you're much more politically

        15       astute than I am, and there's no one in this

        16       room that truly believes that this is going to

        17       be the final answer in the budget because the

        18       Assembly, whether they want to presently or not,

        19       will have to at some point in time present their

        20       viewpoint of life in a proposal and there will

        21       be further budget negotiations.  But the Senate

        22       is saying that this is what we would be willing

        23       to do, the fiscally responsible thing, and you











                                                             
3014

         1       can motion and gesture and be comic as much as

         2       you want to, but that's my answer.

         3                      SENATOR GOLD:  No, Senator, I

         4       think that's fine and I'm not misreading your

         5       words.  You're saying to the people of your

         6       district that this would be fine.  There may be

         7       amendments, there may not be amendments, and

         8       this would be fine, and what I'm trying to find

         9       out if you'll yield to one more question:

        10       Senator, how fine is it?

        11                      Will the city of Syracuse have to

        12       cut services for 338,000?  Will it have to

        13       increase taxes for 338,000?  How does the city

        14       of Syracuse make up the 338,000 that is

        15       promised?  It's money that they spent because

        16       you and I, and I'm just as much in this as you

        17       are, we promised them and when you say things

        18       change in the world, things may change, Senator,

        19       but you know, we have a bad enough reputation as

        20       politicians out there now as it is.

        21                      Are we going to now pass a

        22       statute that says to the public, politicians are

        23       liars? I mean the public thinks that about some











                                                             
3015

         1       of us anyway, but now it's saying you don't have

         2       to worry about it.  I don't have to; I don't

         3       have to guess about it any more.  Those SOBs in

         4       Albany told me, we were going to have 338,000.

         5       We spent it and, after I spent it, they said,

         6       Well, you really didn't mean it.

         7                      That's a little different,

         8       Senator, than cutting anticipated revenues for

         9       the coming year.  Where do they get -- you're

        10       right, there may be more negotiations, but

        11       you're telling them today this is your idea with

        12       the Governor of a budget.  How do they make up

        13       for 338,000? And I don't want to ask you again.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       DeFrancisco, do you yield to the question from

        16       Senator Gold?

        17                      SENATOR DeFRANCISCO:  Yes.  You

        18       know, Senator, one way that they could attempt

        19       to make it up is through some of the savings,

        20       through the regulatory relief that we're going

        21       to provide to all localities but, more

        22       importantly, and I want to answer a couple of

        23       your points about politicians being liars and











                                                             
3016

         1       emphasize again that what you try to do in a

         2       budget is anticipate what those things are going

         3       to be like in the following year.

         4                      They're not like that; we

         5       promised too much.  We have to come back on some

         6       of these promises and, if we had to live with

         7       this budget, we would live with it.  But I think

         8       unless we have been living in a different world,

         9       each of us, everyone recognizes that the

        10       Assembly wants to add more money to the budget,

        11       in fact to the tune of $1.8 billion in more

        12       programs.  If you do this, the Governor and the

        13       Senate Majority Leader are being truthful, and I

        14       believe that they are being truthful, so

        15       everybody in this room knows that if -- that our

        16       position on this side of the aisle is that we

        17       want to rein in spending; we want to try to get

        18       more fiscally responsible so that in future

        19       years our children might have some jobs to go to

        20       in the state of New York.

        21                      Therefore, if we're going to

        22       still continue negotiations which we must, if we

        23       came out with a budget that was the final word











                                                             
3017

         1       on the budget, and that called for increased

         2       spending of another $50 million or whatever the

         3       number might be, there's no question that the

         4       Assembly would say, let's take 150 million more,

         5       so in order to get the two points that we want

         6       to get to in this budget, one to get the -- our

         7       proposal on the table, start negotiations going

         8       and also end up with a fiscally responsible

         9       budget, we have to start somewhere, and this is

        10       the somewhere we're going to start.

        11                      SENATOR GOLD:  Thank you, Mr.

        12       President.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Gold, on the bill.

        15                      SENATOR GOLD:  Yes, just to make

        16       some comments.  Senator DeFrancisco, you really

        17       want it both ways.  You said that the Assembly

        18       hasn't put their cards on the table, but you say

        19       in the presence of the press that they want to

        20       spend a billion eight more.  I don't know where

        21       you get that from if their cards are not on the

        22       table.

        23                      And the other thing which bothers











                                                             
3018

         1       me more than anything is that your party wants

         2       to have it both ways again.  You say that you

         3       will vote for this budget which, by the way, may

         4       hurt the city of Syracuse.  You accuse the

         5       Assembly of wanting to increase the budget, but

         6       if that turns out to work, they're going to say

         7       you're spending and you're not going to walk

         8       around saying, you know, "I wanted fiscal

         9       restraint, and I would have voted for a budget

        10       that was much less but, believe me, don't worry,

        11       in the final budget we're O.K.," and you're not

        12       going to say we're O.K. because Sheldon Silver

        13       and a bunch of Democrats forced us to put up the

        14       money to pay the $338,800.

        15                      You're not going to do that.  You

        16       as usual, and I mean you as the Republican Party

        17       in general, you as usual want to come in and

        18       tell the people you have a very low budget and

        19       then you sit there and you pray and you have

        20       your fingers crossed that the Democrats will put

        21       in the money that you need to go home and fund

        22       your projects.

        23                      But let me ask, Senator Rath,











                                                             
3019

         1       would you yield to a question?

         2                      SENATOR RATH:  Sure will,

         3       Senator.

         4                      SENATOR GOLD:  Senator, I know

         5       all about this administrative hocus-pocus, but

         6       the fact is you've heard all this debate and I

         7       know you're sitting as the Acting Majority

         8       Leader and doing a wonderful job and should be

         9       there more often, but West Genesee, Senator,

        10       West Genesee spent $32,907 because you and I as

        11       a team, a dynamic team, promised them that, if

        12       they spent the money, we're going to give it

        13       back.

        14                      Have they told you how they're

        15       going to make up that loss of money?

        16                      SENATOR RATH:  Well, Senator, I'm

        17       assuming that you would think that West Genesee

        18       considered us mean spirited, and I don't think

        19       they considered us mean spirited.  I think that

        20       they know that, if we had made a promise that

        21       when revenues start to come in because business

        22       stays in New York State and expands in New York

        23       State, that indeed we're going to have an











                                                             
3020

         1       opportunity to make good on that, and I believe

         2       they believe us and we believe them.

         3                      SENATOR GOLD:  So, Senator, if

         4       you'll yield to one more question.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Rath, do you continue to yield?  Senator

         7       yields.

         8                      SENATOR GOLD:  What you're

         9       telling me, Senator, is that this budget ain't

        10       the real budget.  What you're telling me is that

        11       we're putting out a budget, but the genius of

        12       this budget is so apparent and so phenomenal

        13       that within days, maybe within hours or

        14       certainly within weeks or months, we're going to

        15       see a flow of money in this state so phenomenal

        16       that we'll be able to come back and do more

        17       spending because the only way you can get the

        18       money, Senator, is to do those two magic words,

        19       do more spending.

        20                      SENATOR RATH:  Senator, the more

        21       spending, as you look in your crystal ball, I

        22       think, is something that you would subscribe to,

        23       I would subscribe probably after we've taken our











                                                             
3021

         1       responsibilities to heart by paying up some of

         2       these previous commitments, that we would cut

         3       taxes again and hopefully continue an upward

         4       spiral into a wonderful future that we all look

         5       forward to in New York State.

         6                      SENATOR GOLD:  Good.  Thank you,

         7       Senator.  I didn't quite plan that.

         8                      Senator Tully, would you yield to

         9       a question?

        10                      ACTING PRESIDENT KUHL:  Senator,

        11       Tully, do you yield to Senator Gold?

        12                      SENATOR TULLY:  Why not, Mr.

        13       President?

        14                      ACTING PRESIDENT KUHL:  Senator

        15       yields.

        16                      SENATOR GOLD:  Yeah.  Senator -

        17       Senator Tully, I had a very good friend years

        18       ago and he used to live in Patchogue, and he

        19       hasn't called me for a while, but I would

        20       imagine that I might get a call with this budget

        21       because we promised Patchogue that, if they did

        22       some school maintenance work, we'd pay them a

        23       sum of money and, based upon that, they have











                                                             
3022

         1       already spent -- already spent $72,000.

         2                      Now, do you know how the

         3       Patchogue budget is -- is geared to make up that

         4       72,000 that we are not giving them now that

         5       they've already spent because of our promise?

         6                      SENATOR TULLY:  Mr. President, I

         7       have trouble spelling Patchogue.  Never mind

         8       indicating where it is.  It's not in my county.

         9       It's in Suffolk County, but I think that they -

        10       it's an indication of Senator Gold's great

        11       knowledge of geography that he can move from

        12       places in the Adirondacks to places in the City

        13       to places in Suffolk County, and he is regaling

        14       and entertaining us for, I guess we have another

        15       hour or so to go through this routine, but it is

        16       entertaining.  I'm finding myself really

        17       entertained by the whole thing but, if you do

        18       know the answer to the question, Senator Gold,

        19       I'd be delighted to hear it from you.

        20                      SENATOR GOLD:  O.K. Senator,

        21       first of all, I didn't do some of this work.  I

        22       was told that it was in your district.  Maybe

        23       it's in Senator Trunzo's, but -- and I can't











                                                             
3023

         1       answer for Patchogue with specificity, but in a

         2       general way, I assume they are going to have to

         3       either cut back on their road maintenance or

         4       have to cut back on their schools or on their

         5       police because they can't make up spent money

         6       from monies that they're going to need to do

         7       their continuing effort, particularly if we keep

         8       cutting our aid to localities, and I guess maybe

         9       in Patchogue, the real estate taxes are going to

        10       go up, but maybe -- let me see if I have a -

        11       well, Senator Holland, I -- would you yield to a

        12       question?

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Holland, do you yield?

        15                      SENATOR HOLLAND:  Certainly.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       yields.

        18                      SENATOR GOLD:  First of all,

        19       Nyack, am I in the right place?

        20                      SENATOR HOLLAND:  That's mine,

        21       yes.

        22                      SENATOR GOLD:  I mean I did write

        23       these notes; you see I am educable.











                                                             
3024

         1                      Senator, I know Nyack and as a

         2       matter of fact, there's a few interesting

         3       restaurants there.  But $36,800.  Has Nyack

         4       indicated how they're going to make up the money

         5       we don't pay them that they've already spent on

         6       your promise and my promises?

         7                      And I made the promise only

         8       because of you.  I said, "If Joe Holland says

         9       you're going to get that money, there's a man

        10       after my own heart, they're going to get the

        11       money."

        12                      How do you explain that?

        13                      SENATOR HOLLAND:  Can you tell me

        14       what the 36,000 is for?

        15                      SENATOR GOLD:  Yes, it's for

        16       school maintenance where we passed monies in our

        17       budget and said if you spend this money we will

        18       pay it back to you and, now, I'm not talking

        19       about the school maintenance money, Senator

        20       Holland, that they didn't spend yet, which we

        21       did promise them, but I'm just saying if you

        22       called up tomorrow and said, Hey, stop, stop,

        23       don't spend another penny, we can't give it to











                                                             
3025

         1       you, they would say, Fine, I won't spend another

         2       penny, Senator.  But, Joe, our dear friend,

         3       where's our check for $36,800?

         4                      What do you say to them?

         5                      SENATOR HOLLAND:  I would say,

         6       Senator, that they have to cut just like

         7       everybody else does.  I believe, and I would

         8       like to get the schools as much money as I

         9       possibly could, as you heard in the debate, the

        10       welfare debate yesterday.  However, we are

        11       cutting at the federal level, we are cutting at

        12       the state level, and I believe it also has to be

        13       cut at the school level whether it is secondary

        14       education, or senior education.

        15                      SENATOR GOLD:  O.K. All right.

        16       Well, Mr. President, on the bill.  I -

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Gold on the bill.

        19                      SENATOR GOLD:  I have an

        20       amendment that's been served and basically the

        21       amendment would restore -- yeah, in a minute.

        22                      SENATOR STAFFORD:  Mr. President,

        23       Mr. President.  Will Senator Gold yield?











                                                             
3026

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Gold, would you yield to Senator Stafford?

         3                      SENATOR GOLD:  I mean I'm over

         4       whelmed but, of course, I will.

         5                      SENATOR STAFFORD:  Only time I've

         6       ever asked you to yield.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       yields.

         9                      Senator Stafford.

        10                      SENATOR STAFFORD:  Do you know

        11       that this was all in the budget last year, these

        12       questions you've been asking about these various

        13       districts, did you know that this bill will be

        14       alive and the money is there if the -- if the

        15       Division of the Budget pays it out? You do not

        16       need an appropriation.

        17                      SENATOR GOLD:  Well, Senator,

        18       what I do know is that we're talking in terms

        19       here, I think, it will reappropriate.

        20                      SENATOR STAFFORD:  Reapprop

        21       riation.

        22                      SENATOR GOLD:  Well, Senator, I

        23       believe we absolutely do need the reappropria











                                                             
3027

         1       tion because the fact of the matter is that if

         2       you're telling me that the Division of the

         3       Budget can just pay out monies, I'll tell you

         4       that that would cause such havoc in this state

         5       that I can't begin to tell you because at what

         6       point do they decide on reappropriations to pay

         7       or not, and we have always done the reappropria

         8       tions by way of the budget, and the one thing

         9       which I do not believe in, Senator Stafford, I

        10       do not believe in, is these kind of bulk things

        11       where a bureau of the budget can do what the

        12       Governor wants for political reasons in certain

        13       places rather than the Legislature taking the

        14       initiative, but I'm offering this amendment

        15       which is only the reappropriation for $27

        16       million already spent.

        17                      Now, I'm very concerned about one

        18       of your members, a new member, Senator Marcel

        19       lino -- you don't have to yield, but I'm con

        20       concerned about you, sir, because your prede

        21       cessor promised Hicksville $57,000 and, Senator

        22       Marcellino, I don't think it's fair for you to

        23       have to go back there and say to those people,











                                                             
3028

         1        "I just got elected and the first thing they

         2       did is they took the money away from us, and you

         3       got to raise your property taxes," and I want to

         4       save you from that because I think you deserve

         5       that, but this $27 million, as I am informed,

         6       most of it, over 20 million of it goes to

         7       upstate New York and Long Island, and all around

         8       the state, and this is not something where

         9       you're going to walk around and say, "I voted

        10       against it because I'm not throwing your good

        11       taxpaying dollars down into New York City."

        12                      Believe me, if my amendment

        13       passes, you will get a better deal out of this

        14       dollar in upstate New York and on Long Island

        15       than we'll be getting in the City.

        16                      But honor is honor.  Honor is

        17       honor, and yes, we sometimes make mistakes and

        18       yes, there are situations where we can correct

        19       those mistakes, but you don't correct the

        20       mistake by promising localities money, having

        21       them spend that money and then say, "I was only

        22       kidding."  That is one of the worst things we

        23       can do, and you talk about -- about fiscal











                                                             
3029

         1       theories and fiscal responsibility.  Fine.  Come

         2       in with a budget and trim that budget, do

         3       anything you want to do, but don't take

         4       localities and say that not only are we going to

         5       be giving you less money for your future budget

         6       but that future budget is going to have to make

         7       up for money which I told you you would have to

         8       spend.

         9                      As a matter of fact, under the

        10       statute, I'm not sure, they may have even had an

        11       obligation to do this work based upon our

        12       putting up the money.

        13                      So, Mr. President, I thank

        14       everybody for their patience, but the bottom

        15       line is that this kind of a budget as I was

        16       trying to make the point with Senator Stafford,

        17       the Capital Projects Budget contains promises

        18       for the future and the localities in this state

        19       took that promise and said, O.K., you're

        20       promising in the future to pay me back that

        21       money, I'll spend the money.  That's what they

        22       did, and no matter what else we do, we should

        23       honor our word to those localities.











                                                             
3030

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Onorato, why do you rise?

         3                      SENATOR ONORATO:  Senator Gold,

         4       do you yield to a question?

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Gold, do you yield to Senator Onorato?  Senator

         7       yields.

         8                      SENATOR ONORATO:  As you know,

         9       I'm not a graduate of Cornell University or any

        10       other university in this state, so I'd like to

        11       ask perhaps a layman's question.  What you're

        12       telling us here now that last year the Legislat

        13       ure made a contract to give these people X

        14       amount of dollars to spend.  Some of the money

        15       they spent already based upon the good faith of

        16       the New York State Legislature passed this law

        17       guaranteeing this money.

        18                      Now, at the end of the year they

        19       tell them, they're not going to get that money

        20       because we're in trouble.  What guarantee do you

        21       or anybody in this room now tell me regardless

        22       of what amendment you're putting through or what

        23       bills that we're passing here that anyone can











                                                             
3031

         1       project in the future to start spending money on

         2       any capital improvement that we pass in this

         3       house of the Legislature?  How can anybody spend

         4       anything?  This is all "if" money what you're

         5       telling me right now.

         6                      SENATOR GOLD:  What I'm telling

         7       you, Senator, and I'm glad you pointed it out,

         8       is that for years, and I think it was started

         9       under the Rockefeller administration, we had

        10       borrowing that was constitutionally satisfactory

        11       and we had other kind of borrowing, which said,

        12       you know, Look, we can't legally do it, but

        13       we're winking our eye and you can do it.  The

        14       answer is, Senator, that in the budget process

        15       there has to be trust, and you're exactly right

        16       if you can pass a budget that says that in the

        17       future, we're doing this; this is our plan, go

        18       spend the money, and if you can withhold this 27

        19       million, I don't know whether you can believe us

        20       about anything.

        21                      SENATOR DOLLINGER:  Senator Gold,

        22       would you yield to a question?

        23                      ACTING PRESIDENT KUHL:  Senator,











                                                             
3032

         1       will you yield to Senator Dollinger?

         2                      SENATOR GOLD:  Yes.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       refuses to yield, Senator -- oh, I'm sorry; he

         5       changed his mind.  Senator Gold yields.

         6                      SENATOR DOLLINGER:  Senator Gold,

         7       you mentioned a series of school districts, none

         8       of which at least that you've read were in

         9       Democratic districts in the Senate, and my

        10       question to you is, I mean if you were trying to

        11       advance the theory that the Majority in this

        12       house were one of the groups that had contrib

        13       uted to all of that additional spending in the

        14       last ten years by the state of New York, would

        15       it be a fair conclusion that you could draw

        16       that, when that money was allocated throughout

        17       the state, that the Republicans in this house

        18       were among the first to be at the trough so that

        19       their districts would benefit from all that

        20       excess spending that Dr. or that Senator

        21       DeFrancisco talked about?

        22                      I mean that's just a theory, but

        23       is there any credence to that theory?











                                                             
3033

         1                      SENATOR GOLD:  No, I'll tell you

         2       what there is credence to, Senator, which you

         3       might find interesting.

         4                      It's very easy in this particular

         5       chamber where, based upon the geography of the

         6       Majority, to kick around the city of New York.

         7       Under the original bill with $62 million at

         8       stake, the city of New York was to receive the

         9       bulk of that money, so now I see the ears

        10       lighting up.

        11                      The city of New York was to

        12       receive the bulk of that money and that was in

        13       exchange for obviously other items in the

        14       budget.  But the city of New York did not go out

        15       and spend.  Maybe they knew better about the

        16       character of this Legislature because the city

        17       of New York spent only a minor part of that

        18       money.

        19                      What my amendment does is offer

        20       to save my colleagues in your Republican

        21       districts, and the reason I was reading off some

        22       of these names, and I could have read Skelos and

        23       Wright and Levy and Sears and Libous and Padavan











                                                             
3034

         1       and Senator Stafford, I spoke to, but the point

         2       is that, if this amendment were to pass, it's

         3       your districts that we would be taking care of.

         4       That's where the biggest promises are being

         5       broken, so this isn't me coming in and saying,

         6       "Guys, you know, you've got your part of the

         7       pie; give me my part of the pie."

         8                      I'm not saying that.  I'm saying

         9       that my conference contains people of honor and

        10       if it turns out that I offer an amendment and it

        11       does some good for some Republicans, I can't

        12       help that, what's right is right.

        13                      SENATOR DOLLINGER:  Again through

        14       you, Mr. President, if Senator Gold will yield?

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Gold, do you continue to yield?  Senator

        17       continues to yield.

        18                      SENATOR DOLLINGER:  If I

        19       understand your answer to my question, Senator

        20       Gold, the answer would be yes, it would give

        21       credence to that theory, is that correct? The

        22       theory that those who are spending the money,

        23       the public's money, were the Majority in this











                                                             
3035

         1       district and not the Minority.

         2                      Excuse me.  You need to confer,

         3       please?

         4                      SENATOR GOLD:  Yes.

         5                      SENATOR DOLLINGER:  Thank you.

         6       Just one other question to Senator Gold if he

         7       won't yield for just one other question.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Gold, do you continue to yield?

        10                      SENATOR GOLD:  Yes.

        11                      SENATOR DOLLINGER:  Is it fair to

        12       say, Senator Gold, that that $32 million in

        13       failure to reappropriate actually represents

        14       what I consider a first in the Senate that we

        15       are actually defunding a mandate?  We will

        16       actually have unfunded mandates and we will have

        17       defunded mandates.  Is it fair to say this is a

        18       defunded mandate?

        19                      SENATOR GOLD:  The answer is,

        20       Senator, it's $27 million and -- and your

        21       characterization of it being defunding a mandate

        22       may actually be true.  I can't tell you it's the

        23       first time we've ever done it.  I can tell you I











                                                             
3036

         1       don't remember us ever doing it again.  I can

         2       not conceive of -- I don't ever remember Earl

         3       Brydges, Warren Anderson or anybody else who

         4       happened to have been the leader of this house

         5       coming in and saying that they were apologetic

         6       because for some reason we've had to cut back on

         7       a promise.

         8                      I certainly know that there have

         9       been times when we've cut programs and said, in

        10       the future we will not have this program, but

        11       the point I was making to Senator Stafford,

        12       which he did not want to give me an answer to

        13       for whatever reason, is that capital construc

        14       tion and these kind of programs are different

        15       because they are dealing with edifices and

        16       buildings and roads and, therefore, it's

        17       different projections than a program where you

        18       can fire an employee or whatever.

        19                      So I think it's the first time I

        20       remember, Senator, but I am not qualified to say

        21       we never did it.  I don't think we did it.

        22                      SENATOR DOLLINGER:  Again through

        23       you, Mr. President, if I could just clarify.











                                                             
3037

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Gold, do you continue to yield?

         3                      SENATOR DOLLINGER:  As I

         4       interpret your answer, Senator Gold, and I do

         5       this all the time with my colleagues on the

         6       other side of the aisle, so I apologize for my

         7       not quite comprehending, but it is safe to say

         8       that we're $32 million worth of -

         9                      SENATOR GOLD:  Absolutely, that's

        10       right.  27.

        11                      SENATOR DOLLINGER:  27, thank

        12       you.

        13                      ACTING PRESIDENT KUHL:  The Chair

        14       recognizes Senator DeFrancisco on the bill.

        15                      SENATOR GOLD:  I don't know, I

        16       never offered my amendment.

        17                      ACTING PRESIDENT KUHL:  No, you

        18       never did, Senator.

        19                      SENATOR GOLD:  Oh, I thought, and

        20       then I got distracted for a moment by Senator

        21       Stafford.

        22                      Mr. President, I offer the

        23       amendment which has been served and waive its











                                                             
3038

         1       reading.  I've explained it.  It's basically a

         2       restoration of the 27 million, and at an

         3       appropriate time, I'd ask for a vote.

         4                      ACTING PRESIDENT KUHL:  I am in

         5       formed by the Secretary at the desk that there

         6       is an amendment here.  We will, without

         7       objection, waive the reading of it.

         8                      Is there anybody who wishes to

         9       speak on the amendment?  Hearing none -

        10                      SENATOR STAFFORD:  Just -

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, on the amendment.

        13                      SENATOR STAFFORD:  Yes, when we

        14       get in these debates sometimes there are some

        15       vagaries or vicissitudes that confuse us.

        16                      I would point out, as I did

        17       earlier, that it was considered to, in effect,

        18       repeal the entire appropriation in the

        19       deficiency budget.  It was not done and it is in

        20       the New York State Finance Law that, when there

        21       is an appropriation, it is alive if the Division

        22       of the Budget wants to fund it, for about three

        23       months after the end of the fiscal year.











                                                             
3039

         1                      Now, we have to consider all

         2       priorities.  It's no -- this obviously is

         3       something that has to be considered.  We have to

         4       consider everything, but at the present time we

         5       feel this is a budget that is solid, and I would

         6       say that we should stay with the budget.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Paterson, why do you rise?

         9                      SENATOR PATERSON:  Would Senator

        10       Stafford yield to a couple questions, please?

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, do you yield to Senator Paterson?

        13       Senator yields.

        14                      SENATOR PATERSON:  Senator

        15       Stafford, I just don't understand the -- most of

        16       the -- most of this capital bill is reappropria

        17       tions.  We were just speaking about a particular

        18       part that was left out, and so either I'd like

        19       you to tell me specifically why it was left out

        20       or I'd like you to just tell me why it's not

        21       in.

        22                      SENATOR STAFFORD: Well, I think

        23       again, it's a priority but you'll find if you











                                                             
3040

         1       want to get confused, just work with a budget,

         2       any budget.  Any budget.  But as I said, this is

         3       a priority.  It's something that I'm sure will

         4       be considered that when we put it all together

         5       and I've stated that as of this date, it is

         6       still alive and will be and we think we have

         7       included what we feel are the prior... real

         8       priorities.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Oppenheimer on the amendment.

        11                      SENATOR OPPENHEIMER:  I would

        12       just like to get on record that I have one -- I

        13       have something like a dozen school districts

        14       that have spent some money in reliance that we

        15       were going to be funding a certain share of -

        16       of the construction projects.

        17                      We are facing very large

        18       increases in student population in my county.

        19       Our county is second only to New York City in

        20       the rapid growth of youngsters coming into our

        21       school system and in the following communities,

        22       Harrison, Mamaroneck, Mount Pleasant, New

        23       Rochelle, Ossining, Pleasantville, Pocantico,











                                                             
3041

         1       Port Chester, Rye, Rye City, Rye Neck,

         2       Scarsdale, Tuckahoe and Valhalla.  In each of

         3       these school districts they have moved ahead

         4       with projects and they now are going to find

         5       themselves with some serious holes in their

         6       budget if we are not going to pay the money that

         7       we had said we would repay when they first

         8       entered into these contracts and did this

         9       building.

        10                      So I am certain I am not the only

        11       Senator with many school districts that have

        12       expanded, and I really wonder what we are going

        13       to say to them when we go back on our commitment

        14       and how in the world are they ever going to

        15       trust us in the future?

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Dollinger on the amendment.

        18                      SENATOR DOLLINGER:  Mr.

        19       President, I'm going to vote in favor of this

        20       amendment because this amendment starts the

        21       avalanche.  It's now going to start all my

        22       colleagues, just wait and see, because the

        23       follow-up to what Senator Oppenheimer said is,











                                                             
3042

         1       you know, what they're going to do, Senator

         2       Oppenheimer.

         3                      They're going to raise property

         4       taxes, and this is the start.  The one thing

         5       that this Governor promised is that we would not

         6       dump the cost of these kinds of services from

         7       the personal income tax and the business taxes

         8       which are broad-based taxes and which everyone

         9       pays and force them on our most regressive tax,

        10       a property tax.

        11                      Here is 27 million right off the

        12       top.  It starts now.  We're going to do it for

        13       the next week.  We're going to continue to take

        14       things that we've promised people to do.  We've

        15       told them that we've raised them through broad

        16       based taxes, and we're going to dump them on

        17       those regressive property taxes.

        18                      It starts today.  This is the

        19       first salvo.  Senator DeFrancisco says

        20       regulatory reform will allow them to save this

        21       money.  Don't believe it for a second because,

        22       if you do, you're going to find that that's not

        23       going to be the way to save money and we're











                                                             
3043

         1       going to start dumping costs and dumping expense

         2       from the state budget and from broad-based taxes

         3       into regressive property taxes even though the

         4       Governor said we wouldn't do it.  That's another

         5       promise he won't keep.

         6                      ACTING PRESIDENT KUHL:  Chair

         7       recognizes Senator Tully.

         8                      SENATOR TULLY:  Yes, Mr.

         9       President.  Would Senator Dollinger yield to a

        10       question?

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Dollinger, would you yield to Senator Tully?

        13                      SENATOR DOLLINGER:  Certainly.

        14                      ACTING PRESIDENT KUHL: Senator

        15       yields.

        16                      SENATOR TULLY: Yes, Mr.

        17       President.

        18                      Senator Dollinger, I take it

        19       you've read the amendment in detail?

        20                      SENATOR DOLLINGER:  I have not

        21       read the amendment in detail.  I heard Senator

        22       Gold's explanation of it.

        23                      SENATOR TULLY:  But like the











                                                             
3044

         1       amendment because Senator Gold said something

         2       nice about it.

         3                      SENATOR DOLLINGER:  Well, the way

         4       Senator Gold explained it, it seemed good to

         5       me.

         6                      SENATOR TULLY:  Perhaps, Senator

         7       Dollinger, you could tell me where the $27

         8       million is going to come from.

         9                      SENATOR DOLLINGER:  Excuse me?

        10                      SENATOR TULLY:  Where is the $27

        11       million dollars to take care of the amendment

        12       going to come from?  Is that specified in the

        13       amendment that you're supporting?

        14                      SENATOR DOLLINGER:  I don't

        15       believe it is, Senator, and my understanding is

        16       that there is $350 million in additional revenue

        17       in this state which the Governor of this state,

        18       the Speaker of the Assembly and Senator Bruno

        19       have agreed is excess funds.  That $27 million

        20       is no less than a tenth of that.  My opinion

        21       certainly would be it could easily come out of

        22       that.  We could afford that.  We've all agreed

        23       we've got that kind of money available.











                                                             
3045

         1                      SENATOR TULLY:  Mr. President.  I

         2       understand, Senator Dollinger, that that's your

         3       opinion.  That money, as you know, has already

         4       been earmarked on a three-way agreement between

         5       the Governor, the Speaker and the leader of this

         6       house.  That money has been earmarked.

         7                      Now you're finding another $27

         8       million, and you don't know where it's going to

         9       come from, but you're supporting an amendment

        10       that calls for the expenditure of $27 million

        11       dollars, and you have no idea where the money

        12       comes from?

        13                      SENATOR DOLLINGER:  O.K.  Again

        14       through you, Mr. President, in response to the

        15       question.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Tully, you're asking Senator Dollinger a

        18       question?

        19                      SENATOR TULLY:  That was a

        20       question.

        21                      ACTING PRESIDENT KUHL: Senator

        22       Dollinger.

        23                      SENATOR TULLY:  Do you have any











                                                             
3046

         1       idea where the money comes from?

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Dollinger.

         4                      SENATOR DOLLINGER:  My

         5       understanding is, Mr. President -- I'm not privy

         6       to the agreement between the Governor, the

         7       Speaker and Senator Bruno.  I would love to be

         8       privy to that.  If anybody has got an

         9       invitation, please extend it to me.  I'd be glad

        10       to be a part of the discussion.

        11                      But my understanding is, Mr.

        12       President, if we had an agreement on where the

        13       315 or $350 million would be, we'd have this

        14       budget solved.  It would be all over and done

        15       with.  My understanding through counsel is that

        16       there is no such agreement and, frankly, there's

        17       $350 million sitting there which is now being

        18       fought for between various parts of this

        19       Legislature over what we ought to do with it.

        20                      My opinion is, I agree with

        21       Senator Gold, take $27 million of it, keep our

        22       pledge to our school districts to give them the

        23       money and keep the most important promise of all











                                                             
3047

         1       which is that we wouldn't dump costs on local

         2       school districts.  We promised people we

         3       wouldn't dump our costs, our promises, break our

         4       promises and dump our costs onto local property

         5       taxes.

         6                      I vow, and I guarantee, if we

         7       don't put this money back in, Senator

         8       Oppenheimer's districts are going to raise

         9       taxes, Senator Stafford's districts are going to

        10       raise taxes because they already spent the money

        11       and they got to find some other way to do it.

        12       They don't have access to broad-based taxes like

        13       we do to be able to afford it.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Paterson, why do you rise?

        16                      SENATOR PATERSON:  Mr. President,

        17       which of the Senators, between Dollinger and

        18       Tully, has the floor?

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Tully does.

        21                      SENATOR PATERSON: Well, then,

        22       would Senator Tully yield for a question?

        23                      SENATOR TULLY:  I hadn't











                                                             
3048

         1       completed my questions to Senator Dollinger.

         2       I'll be glad to after I complete the question to

         3       Senator Dollinger.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Dollinger, do you continue to yield to Senator

         6       Tully?

         7                      SENATOR DOLLINGER:  I will

         8       continue to yield and then allow Senator

         9       Paterson to ask his question of Senator Tully.

        10                      SENATOR TULLY: Yes, Mr.

        11       President.

        12                      Senator Dollinger, how much of

        13       the additional $1.8 million dollars, $1.8

        14       billion that Speaker Silver wants to put in the

        15       budget is accounted for by this $27 million?

        16                      SENATOR DOLLINGER:  I don't

        17       know.  I'm not privy to the fact that Senator or

        18       that Assemblyman Silver wants to put $1.8

        19       billion -- again, Senator Tully, you're asking

        20       me to comment on negotiations that I'm not privy

        21       to.  I'd be more than happy to participate.  I

        22       have a feeling the participants may not want me

        23       there.











                                                             
3049

         1                      SENATOR TULLY:  But I do

         2       understand -- Mr. President, if the Senator will

         3       continue to yield.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Dollinger, do you continue to yield?

         6                      SENATOR DOLLINGER:  I will, Mr.

         7       President.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       continues to yield.

        10                      SENATOR TULLY:  I understand that

        11       your leader in this house has been privy to

        12       those negotiations; is that not so?

        13                      SENATOR DOLLINGER:  It is true,

        14       yes, Senator, and I appreciate Senator Bruno's

        15       invitation to Senator Connor to do that for the

        16       first time this year; I think that's a good

        17       omen.

        18                      SENATOR TULLY:  Do I take it that

        19       the time comes when you have not been informed

        20       by your leader as to what's going on in the

        21       negotiations?

        22                      SENATOR DOLLINGER:  Excuse me,

        23       Mr. President.  I apologize to Senator Tully.  I











                                                             
3050

         1       was having something whispered in my ear, and I

         2       did not hear the question.  Would you repeat the

         3       question?

         4                      SENATOR TULLY:  Let me see if I

         5       can consolidate the question in one form or

         6       another.  Again, Mr. President, if the Senator

         7       continues to yield.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Dollinger, do you continue to yield?

        10                      SENATOR DOLLINGER: I do, Mr.

        11       President.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       yields.

        14                      SENATOR TULLY:  In response to my

        15       initial question, you indicated that you were

        16       supporting this amendment for the expenditure of

        17       $27 million without knowing whether or not there

        18       was any specificity for the funding of that

        19       contained in the amendment because you only

        20       heard Senator Gold speak of it.

        21                      Now, I further find from you that

        22       you have not been advised by your leader, who is

        23       part of the negotiations, as to how this











                                                             
3051

         1       expenditure of funds of the extra 300-and-some

         2       odd million was to be spent.  You don't know

         3       about that?

         4                      SENATOR DOLLINGER:  No, I -- Mr.

         5       President, let me make sure Senator Tully

         6       understands my prior answer.

         7                      What I said was that, as I

         8       understand the current budget negotiations there

         9       is an agreement there is a sum of money

        10       available for covering costs.  That cost could

        11       be costs that have already been incurred by

        12       local communities such as this one, or it could

        13       be used, rolled over into next year to fund

        14       costs through '95-96.  My understanding is that

        15       the reason why we don't have a budget today is

        16       because the -- the leadership which is

        17       negotiating that issue have not reached a

        18       conclusion on how to spend that money.

        19                      What I am suggesting, I support

        20       Senator Gold, wherever he is, Senator Gold's

        21       amendment, which is there's 350 million

        22       available.  This is something, a classic example

        23       of where we made a promise last year, where this











                                                             
3052

         1       Legislature, acting pursuant to its

         2       constitutional power with the Governor who acted

         3       pursuant to his constitutional power, said,

         4       We're going to promise all these local

         5       communities this much money in schools.  Why?

         6       Because they desperately need it.  They needed

         7       it so desperately that they went out and spent

         8       it simply in reliance upon our promise, fool

         9       hardy that they were.

        10                      What I'm suggesting now is that

        11       we take 27 million of that $350 million and that

        12       we put it into fulfilling this promise so that

        13       we don't break our big promise to them, which

        14       was to tell them to go ahead and spend it in

        15       reliance on our promise and, when they spent it,

        16       tell them that they got to raise it through

        17       their property tax.

        18                      That's the complicated answer to

        19       your question, Senator.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Tully.

        22                      SENATOR TULLY:  Just finally

        23       again, and if Senator Dollinger will continue to











                                                             
3053

         1       yield.

         2                      SENATOR DOLLINGER:  Yes, I will,

         3       Senator.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       continues to yield.

         6                      SENATOR TULLY:  You're still

         7       saying that you support the expenditure of $27

         8       million without knowing where that money is

         9       coming from; is that correct?

        10                      SENATOR DOLLINGER:  Mr.

        11       President, I've explained it before.  There is a

        12       pot of funds, I am willing to take $27 million

        13       out of that pot of funds.

        14                      I would only point out that last

        15       year, although I didn't vote for the budget, so

        16       I guess that's a bad example, but I was going to

        17       say, the Majority of this house said we should

        18       spend that money.  We had the money last year.

        19       Where did it go?  It's now contained in that

        20       $315 million dollars that we didn't spend last

        21       year that we now have available.  Let's fulfill

        22       our promise here and spend it here.  That's all

        23       I'm saying, Senator.











                                                             
3054

         1                      SENATOR TULLY:  It's really

         2       remarkable to me, Mr. President, that Senator

         3       Dollinger, who was against it last year,

         4       suddenly is in favor of it this year.

         5                      SENATOR CONNOR:  Mr. President.

         6                      ACTING PRESIDENT KUHL:  Chair

         7       recognizes Senator Connor.

         8                      SENATOR CONNOR:  Yes, I heard my

         9       name mentioned before and I wanted to set the

        10       record straight.  There was a five-way agreement

        11       that there is $300 million in additional

        12       revenues next year.  There is no agreement about

        13       closing this year, but the Comptroller tells me

        14       that funds are coming in in record amounts as we

        15       speak this very week.

        16                      The Governor agreed that there's

        17       at least $35 million in additional revenue from

        18       the lottery.  There was hundreds of millions of

        19       dollars in additional available funds put on the

        20       table in the negotiations by Senator Bruno, and

        21       the only leader I ever heard in those meetings

        22       ask for more spending was your leader, Senator

        23       Bruno.  Assemblyman Silver never asked for











                                                             
3055

         1       additional spending.  I don't care what you read

         2       in the paper or what the Governor's spin masters

         3       put in the paper about 1 or $2 billion.  There

         4       was no request for additional spending for a

         5       simple reason.  The Speaker kept saying before

         6       we can discuss spending, we have to have a total

         7       agreement on what the available funds were,

         8       because we don't want to talk about spending any

         9       money.  We don't want to talk about spending any

        10       money, that we don't know, that we don't agree

        11       is there in revenues or other available funds,

        12       including estimates of expenditures on some

        13       fixed programs as the Governor -- the Governor

        14       proposes to spend.  That's where the

        15       negotiations were.

        16                      Now, we have a one-house budget

        17       coming out piecemeal in this house where,

        18       according to a press conference I heard Senator

        19       Bruno and the Governor say there'll be 350, I

        20       think it was, million dollars in additional

        21       spending.  No one's provided numbers to anyone

        22       including the press about where that money will

        23       be spent, nor do we have the bills in front of











                                                             
3056

         1       us.  We have this bill and I'm told there'll

         2       also be another bill ready at midnight tonight

         3       for tomorrow.

         4                      So your leader has said, the

         5       Majority Leader of this house says there's

         6       additional money being spent and he won't say

         7       where it's being spent, and we don't know where

         8       it's being spent.  This amendment is an attempt

         9       by Senator Gold and his colleagues to say where

        10       we think 27 million of that 350 million that you

        11       say is there, and that you, the Majority and the

        12       Governor, say they're going to spend ought to be

        13       spent.  We think it ought to be spent to relieve

        14       from the local property taxpayers the burden of

        15       paying for these expenditures that they already

        16       made because of you passed last year.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       DeFrancisco.

        19                      SENATOR DeFRANCISCO:  Would

        20       Senator Connor yield to a question?

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Connor do you yield to Senator DeFrancisco?

        23       Senator yields.











                                                             
3057

         1                      SENATOR DeFRANCISCO:  You

         2       mentioned that Speaker Silver had not agreed to

         3       any additional spending because there was no

         4       closure on the -

         5                      SENATOR CONNOR:  He hasn't asked

         6       for any spending, Senator.

         7                      SENATOR DeFRANCISCO:  Excuse me,

         8       Speaker Silver hadn't asked for additional

         9       spending because he wanted to get closure on the

        10       issue of what the additional funds were before

        11       he spent them.

        12                      SENATOR CONNOR:  Absolutely.

        13       That's way you balance a budget, Senator.

        14                      SENATOR DeFRANCISCO:  I

        15       understand that.  Now, can you tell me what

        16       Speaker Silver's position was as to the

        17       available revenue, in addition to what the

        18       Governor's available revenue?

        19                      SENATOR CONNOR:  Well, Speaker

        20       Silver's staff put an estimate on from available

        21       one shots, most of which were suggested by

        22       Senator Bruno, that I understand came out to

        23       about a billion dollars.  His estimate of those











                                                             
3058

         1       items Senator Bruno suggested was a little

         2       higher than Senator Bruno's estimate, which was,

         3       I think, $800 million or maybe $750 million

         4       because Senator Bruno came up with the one shots

         5       like selling state land, and so on.  That's one

         6       area.

         7                      Another area is the re-evaluation

         8       of certain costs as proposed by the Governor, in

         9       other words not talking about adding to

        10       Medicaid, just saying the Governor wants to do

        11        -- proposes this much Medicaid, and we think

        12       that number of patients, those services will

        13       cost slightly less than their estimate.

        14                      That particular item was based on

        15       the fact that last year the Assembly had felt

        16       that the executive, different executive, same

        17       methodology, I might point out, had under

        18       estimated -- had over-estimated that Medicaid

        19       expenditure by 300 million.  The executive

        20       accepted a hundred million, the executive and

        21       the Majority in this house accepted a hundred

        22       million, and the end of the year results were

        23       that the formula run through the program in the











                                                             
3059

         1       Assembly computer estimate was accurate and, in

         2       fact, 300 million less was spent on Medicaid

         3       than had been estimated.

         4                      So those are the kinds have

         5       calculations that went into determining

         6       available funds, but many have those items were

         7       put on the table both through fiscal staffs in

         8       the Senate and the Assembly as well as the

         9       Division of the Budget were examining those

        10       projections, and so on, and reached no

        11       conclusion about whether they were available,

        12       how much they were worth.

        13                      As of Sunday when the Governor

        14       returned to his campaign rhetoric and decided

        15       that he would encourage a one-house bill in this

        16       house, and I guess the softener was this

        17       agreement where the Governor agreed that your

        18       Majority could spend $350 million more. Of

        19       course, nobody knows where you're going to spend

        20       it, so perfectly fair for us on this side to say

        21       spend $27 million to relieve your property

        22       taxpayers from these repair costs that were made

        23       in the past.











                                                             
3060

         1                      SENATOR DeFRANCISCO:  Will the

         2       Senator yield to another question?

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Connor, do you continue to yield?

         5                      SENATOR CONNOR:  Certainly, Mr.

         6       President.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       yields.

         9                      SENATOR DeFRANCISCO:  An

        10       aggregate number, was there an aggregate number

        11       that Speaker Silver said was available?

        12                      SENATOR CONNOR:  No, there was no

        13       aggregate number.  There were categories, most

        14       of which were suggested by Senator Bruno a week

        15       and a half ago when he wanted to spend a lot

        16       more money, and then the -- it was unresolved

        17       about that.  The Speaker never advanced any

        18       requests for spending because we never got to

        19       the point of agreeing on the money available.

        20       Senator Bruno did say he wanted to spend more

        21       money.  We never got into the specifics of that

        22       either, you know, in fairness to Senator Bruno

        23       because there was never any agreement on the











                                                             
3061

         1       available amount.

         2                      I read in the press, the

         3       Governor's people are spinning two billion and a

         4       billion eight.  I never heard those numbers

         5       articulated at any meeting of the leaders, nor

         6       were they.  Items of possible available funds

         7       were put on the table.  As I say, most of them

         8       are by your representative.

         9                      SENATOR DeFRANCISCO:  All right.

        10       Would the Senator yield to another question?

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Connor, do you continue to yield?  Senator

        13       continues to yield.

        14                      SENATOR DeFRANCISCO:  So you're

        15       saying that Assemblyman Speaker Silver will not

        16       get into what spending should be done until

        17       there's agreement on available funds?

        18                      SENATOR CONNOR:  Yes, that's

        19       right.

        20                      SENATOR DeFRANCISCO:  You're also

        21       saying that the Speaker has not come up with a

        22       figure yet as to what he believes through his

        23       estimate, through his staff, as to what the











                                                             
3062

         1       available funds are?

         2                      SENATOR CONNOR: Well, on some

         3       items that were put on the table, including ones

         4       put on by Senator Bruno, of possible available

         5       funds, there were estimates put on by the

         6       Assembly and the Senate, as well as, I think, by

         7       the Division of the Budget.  Those were not

         8       generally shared in the meeting.  They were kept

         9       pretty close to the vest.  In fact, I think

        10       there was a joint list prepared by the two

        11       majorities and submitted to the Division of the

        12       Budget.  There was then no agreement on the

        13       amount.

        14                      The Speaker took the position,

        15       well, we really can't talk about whether we're

        16        -- whether or what we want to restore until we

        17       really have a decision on whether these funds

        18       are available.  I think that's very prudent

        19       budgeting.

        20                      SENATOR DeFRANCISCO:  I have one

        21       last question, if you'd yield.

        22                      SENATOR CONNOR:  Certainly, Mr.

        23       President.











                                                             
3063

         1                      ACTING PRESIDENT KUHL:  Senator

         2       continues to yield.

         3                      SENATOR DeFRANCISCO:  Did Speaker

         4       Silver mention when he might provide what his

         5       estimates are for available funding for the

         6       budget or how much money he might provide us

         7       with what his ideas are for spending.  Or when

         8       he might provide us with an idea of some bills

         9       that his Conference might be willing to put on

        10       the floor and debate out in the open like we're

        11       doing today?

        12                      SENATOR CONNOR:  If -- he

        13       absolutely did, Senator.  In fact, he said he'd

        14       be happy to talk about possible spending once

        15       there was agreement on the available funds.  As

        16       I say, he submitted -- his staff submitted

        17       estimates.  Your majority staff -- Senator

        18       Bruno's staff submitted estimates.  We had their

        19       estimates and the goal was to first negotiate

        20       if, in fact, there were available funds beyond

        21       the $325 million, $335 million and that was the

        22       topic of negotiations when suddenly, for

        23       whatever reason, the Governor and Senator Bruno











                                                             
3064

         1       decided to hit the campaign trail and go back to

         2       not negotiating but doing a one-house budget

         3       which even this one-house budget I've been told

         4       in the press conference I heard has additional

         5       spending in terms of hundreds of millions of

         6       dollars but they haven't told us where, so I

         7       think it's very fair for us to advance a modest

         8       proposal of $27 million to relieve local

         9       property taxpayers throughout the state of this

        10       cost that they incurred relying on our funded

        11       mandate.  Bad enough the unfunded mandates.

        12       This was one that was supposed to be funded and

        13       we're reneging on it and saying, You eat the

        14       costs.  That's what this amendment is about,

        15       Senator.

        16                      ACTING PRESIDENT KUHL:  The

        17       question is on the amendment.  All those in

        18       favor signify by saying aye.

        19                      SENATOR GOLD:  Party vote in the

        20       affirmative.

        21                      ACTING PRESIDENT KUHL:  Secretary

        22       will call the roll.

        23                      (The Secretary called the roll.)











                                                             
3065

         1                      ACTING PRESIDENT KUHL:  Record

         2       the party line vote.

         3                      THE SECRETARY:  Ayes 32, nays 26,

         4       party vote.

         5                      ACTING PRESIDENT KUHL:  The

         6       amendment fails.

         7                      On the bill.  Senator Dollinger.

         8                      SENATOR DOLLINGER:  Am I next in

         9       the line-up of persons -

        10                      ACTING PRESIDENT KUHL:  No,

        11       Senator DeFrancisco is next on the line-up to

        12       speak on the bill.  You're second to that.

        13                      SENATOR DOLLINGER:  My apology.

        14                      SENATOR DeFRANCISCO:  I think

        15       everybody on this side of the aisle would love

        16       to provide all funding for all things that would

        17       be the best things for us individually, and I

        18       think the political easy thing to do would be to

        19       restore funding for everything and for everybody

        20       so that we could go back to our districts, and

        21       all the lobbyists and special interest groups

        22       that come to Albany can say that that Senator

        23       was just a wonderful person.  He restored all











                                                             
3066

         1       the spending; our programs are continuing.  It's

         2       business as usual, and it's a great day in the

         3       state of New York.

         4                      But unfortunately that type of

         5       thinking is what's gotten us to the position

         6       that we are in right now with a $5 billion

         7       deficit, and just like I would love to be able

         8       to restore everything to my district and every

         9       one else would love to restore everything to

        10       their districts, the facts of life are that you

        11       just can't do it any longer.  It's the long

        12       range that we're pulling for at this point in

        13       time, and the long term means that we want to

        14       have a better future so that there are

        15       businesses in this state, there are individuals,

        16       small businesses in this state as well, that are

        17       going to be able to be productive, create jobs

        18       so that individuals can work rather than to be

        19       dependent on the state on one of the programs

        20       that unfortunately might have to be cut.

        21                      I'm certain that there are going

        22       to be restorations in other areas as the

        23       negotiations go on, but I think it's crucial for











                                                             
3067

         1       us at this point in our negotiation within a few

         2       days of April 1 to put some cards on the table

         3       and, according to Senator Connor, we still don't

         4       have a position yet from the Assembly as to the

         5       spending that they intend to ask for.  The

         6       Assembly has not given us any idea of what they

         7       believe to be the available funds even as yet,

         8       and we're hours away from the final bell in this

         9       negotiation process, and I think it's incumbent

        10       on us to start passing bills, to present a

        11       position out in the open for public debate, for

        12       scrutiny, for criticism, so that we look bad in

        13       our districts because we have this concept that

        14       we want to be fiscally prudent, so that maybe

        15       this time next year we aren't in the same

        16       position and we aren't this way five years from

        17       now showing that we have still again reduced

        18       funding for education because other parts of the

        19       budget are eating away the available revenues in

        20       this state.

        21                      There are going to be

        22       restorations and I believe that we're going to

        23       hear about some of them in additional budget











                                                             
3068

         1       bills that will be discussed on the floor as

         2       early as tomorrow.  The fact of the matter is

         3       that it is crucial on each of these budget bills

         4       to follow that philosophy that we talked about

         5       this morning to make certain that spending is

         6       reined under control so that the short-term pain

         7       that all of us are going to recognize turns into

         8       a long-term gain for this state and we finally

         9       turn the corner to prudent fiscal responsibility

        10       and to a brighter future for generations to

        11       come.

        12                      ACTING PRESIDENT KUHL:  The Chair

        13       recognizes Senator Dollinger.

        14                      SENATOR DOLLINGER:  Mr.

        15       President, I have a couple questions; I'm not

        16       sure who to ask them of.  They relate to other

        17       projects that were in the budget last year but

        18       are not apparently in this capital part of the

        19       budget.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Stafford, would you yield to a couple questions

        22       from Senator Dollinger on the bill?

        23                      SENATOR STAFFORD:  Yes.











                                                             
3069

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Stafford yields.

         3                      SENATOR DOLLINGER:  Like to find

         4       out, through you, Mr. President, what happened

         5       to the -- the Nassau County Natatorium?

         6                      SENATOR STAFFORD:  I have stated

         7       from the beginning that we've had requests,

         8       we've had priorities.  We had to determine who

         9       would be in this particular budget.  Now, I've

        10       been here long enough to know that just because

        11       one bill doesn't contain a project doesn't mean

        12       that another will -- will not contain or will

        13       contain it.

        14                      There's no question that there

        15       will be various ongoing issues discussed.  I've

        16       never seen a budget passed that we didn't have a

        17       clean-up bill, and the longer you stay here, the

        18       more you realize that that clean-up bill is

        19       important.  So that's where we are at the

        20       present time.

        21                      SENATOR DOLLINGER:  O.K. Again

        22       through you, Mr. President.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3070

         1       Stafford, do you continue to yield?  The Senator

         2       continues to yield.

         3                      SENATOR DOLLINGER:  Can I assume,

         4       because the Nassau County Natatorium is not in

         5       this budget that, when we finally have the

         6       budget approved, there will be no money for the

         7       Natatorium?

         8                      SENATOR STAFFORD:  I -- I guess

         9       if I was going to make a broad stroke with a

        10       conceptual brush, so to speak, a general

        11       statement, I would caution anybody on assuming

        12       anything here during the legislative session,

        13       the budget, or exactly what is going to pass or

        14       what isn't going to pass or what is going to be

        15       included or what isn't going to be included,

        16       because that can change.

        17                      SENATOR DOLLINGER:  Again through

        18       you, Mr. President, if Senator Stafford will

        19       continue to yield.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Stafford, do you continue to yield?

        22                      SENATOR STAFFORD:  By all means.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3071

         1       continues to yield.

         2                      SENATOR DOLLINGER:  Senator, that

         3       was Senator Marino's pool, was it not?  I mean

         4       that was put in the budget because it was in

         5       Senator Marino's district, was it not?

         6                      SENATOR STAFFORD:  I'm going to

         7       be as kind as I can at the present time.  You

         8       have all sorts of ways of debating.  We all have

         9       our swords.  We all poke at each other, but

        10       think.  Just think before you talk.

        11                      SENATOR DOLLINGER:  Well, again

        12       through you, Mr. President, I appreciate the

        13       advice from Senator Stafford.

        14                      I -- my intention here is to

        15       simply find out there's no money in this budget

        16       for the Natatorium as it currently exists.

        17       Where -- can we assume that, since that was an

        18       item that was put in there at, I think it's safe

        19       to say perhaps at the request of this house,

        20       that we're passing a budget today which doesn't

        21       have it, that we'll never see the pool again?

        22                      SENATOR STAFFORD:  I'll go

        23       through my answer again on assuming.  It's very











                                                             
3072

         1       difficult to assume here in the Legislature.

         2       You have 211 legislators.  You have a governor

         3       and various decisions are made.  They're

         4       sometimes changed the next day.  We all realize

         5       that there are various concerns, and I would say

         6       to you again, I wouldn't assume anything.

         7                      SENATOR DOLLINGER:  Well, again,

         8       through you, Mr. President, if -

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Stafford, do you continue to yield?

        11                      SENATOR DOLLINGER:  We know that

        12       Governor Pataki railed against the pool during

        13       the campaign.  We know that this budget does not

        14       include the pool, and for the life of me I can't

        15       figure out any reason why the Assembly would go

        16       to bat for a pool that was put in originally at

        17       the request of a member of this house, and my

        18       question is, is it safe to assume that, since

        19       there's no one in favor of the pool, that

        20       there'll be no pool in the final budget?

        21                      SENATOR TULLY:  Mr. President.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Tully, why do you rise?











                                                             
3073

         1                      SENATOR TULLY:  Mr. President,

         2       will Senator Dollinger yield for a question?

         3                      SENATOR DOLLINGER:  Mr.

         4       President, I'll be glad to yield after Senator

         5       Stafford answers my question, if he would.

         6                      SENATOR STAFFORD:  Would you go

         7       over that again?

         8                      SENATOR DOLLINGER:  Well,

         9       again -

        10                      ACTING PRESIDENT KUHL:  Do you

        11       wish to go over that again, Senator Dollinger,

        12       or would you yield for a question from Senator

        13       Tully?

        14                      SENATOR DOLLINGER:  No, I'd like

        15       Senator Stafford to answer the question.  Then I

        16       will yield.

        17                      ACTING PRESIDENT KUHL:  All

        18       right.

        19                      SENATOR DOLLINGER:  I'm just

        20       trying to find out, Senator, is it safe to say

        21       there will be no Natatorium in the final budget

        22       because the Governor is against it; he talked

        23       against it throughout his campaign; it was











                                                             
3074

         1       proposed by this house and added to the budget.

         2       It's not in this year, therefore, it's not going

         3       to be a part of this budget, and there's -- the

         4       best I can tell, no reason for the Assembly to

         5       add the pool into the budget.

         6                      SENATOR STAFFORD:  Well, first,

         7       I've given you my position on assuming, so you

         8       know you have that.

         9                      SENATOR DOLLINGER:  Right.

        10                      SENATOR STAFFORD:  And as far as

        11       the Assembly goes, I don't think any of us can

        12       speak for the Assembly -- for the Assembly.  In

        13       fact, they're not -- they're not even speaking

        14       for themselves, and you want me -- you want me

        15       to -- you want me to start sharing with you what

        16       is going to do -- what they're going to do over

        17       there.

        18                      What I would suggest you do is

        19       get on the phone.  Do you have any -- I can't

        20       ask you but, if you have anybody over there in

        21       the Assembly that you communicate with, I'd ask

        22       them.

        23                      SENATOR DOLLINGER:  If they want











                                                             
3075

         1       a pool?

         2                      SENATOR STAFFORD:  Well, you

         3       asked me if they were going to consider it.

         4                      SENATOR DOLLINGER:  Well, best I

         5       can tell, no one from the Assembly has ever

         6       talked about putting a Natatorium on Long

         7       Island.  That was a project which originated in

         8       this house, and my question is, is it safe to

         9       assume the Governor doesn't want it?  This

        10       house -

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, do you continue to yield?

        13                      SENATOR STAFFORD:  I believe in

        14       the course of business here, my colleague was

        15       going to ask a question and then, of course,

        16       I'll be glad to continue to yield.  I guess my

        17       question, or your question, I would only say, if

        18       you're trying to determine whether there's going

        19       to be an item in the budget, I would suggest

        20       again here that you talk -- be glad to have you

        21       talk with me or what it is as far as the

        22       priorities, and I'm sure that we can keep you up

        23       to speed.











                                                             
3076

         1                      If you're going to ask about the

         2       Assembly once again, I'd say the best place to

         3       go is -- is the Assembly.  Now, with that, I

         4       guess you had wanted to ask a question.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Tully, why do you rise?

         7                      SENATOR TULLY:  I would ask if

         8       Senator Dollinger would yield to a question.

         9                      ACTING PRESIDENT KUHL: Senator

        10       Dollinger, do you yield to Senator Tully?

        11                      SENATOR DOLLINGER:  I would be

        12       glad to yield.  I have other questions for

        13       Senator Stafford, but I'd be glad to yield.

        14                      ACTING PRESIDENT KUHL:  The Chair

        15       would just at this point remind the members that

        16       this debate started at 2:05, so the two-hour

        17       limit or the two-hour time limit within which to

        18       challenge would be up in about 20 minutes.

        19       There are several other members who have a

        20       statement they'd like to make, so with that,

        21       Senator Tully, Senator Dollinger yields.

        22                      SENATOR TULLY:  Thank you, Mr.

        23       President.  Senator Dollinger, would you be











                                                             
3077

         1       surprised if I told you that the Good Will Games

         2       which are the Olympics for handicapped children

         3       have been attempted to be sited in many places

         4       in this country and reduced to three sites, one

         5       of which was New York.  The final site was on

         6       Long Island in the district of another Senator

         7       from Long Island, not Senator Marino, and that

         8       this discussion and this pinpointing of that

         9       site came about as a result of a discussion by

        10       the former Governor, Mario Cuomo, with the

        11       editor -- the former editor of NEWSDAY, Bob

        12       Johnson in Atlanta, and it was as a result of

        13       that discussion that it was brought forward to

        14       this house as a potential site not only for

        15       handicapped children for their Olympics but as

        16       an economic boon for that community, developing

        17       jobs and providing incomes, and providing in a

        18       sense of providing a site for these people to

        19       have their Good Will Games.

        20                      Did you know that?

        21                      SENATOR DOLLINGER:  Mr.

        22       President, my understanding is that this was for

        23       the Good Will Games, but the Good Will Games











                                                             
3078

         1       that we talked about and I -- if I'm incorrect,

         2       please correct me -- they were the Good Will

         3       Games sponsored by Ted Turner, that these

         4       involved world class athletes, much as we once

         5       did the World University Games up in Buffalo

         6       which I won't comment on whether they were

         7       successful or proved to be the economic boon.

         8       We last year picked up a portion of the tab for

         9       having the World University Games there, but my

        10       understanding is, Mr. President, that this pool

        11       was part of the inducement to try to bring those

        12       games to Long Island.

        13                      SENATOR TULLY:  Well, Mr.

        14       President, I would like to clarify that for

        15       Senator Dollinger, if I may.

        16                      SENATOR DOLLINGER:  Mr.

        17       President, I'd be glad to yield to Senator Tully

        18       to clarify that question.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Dollinger yields to Senator Tully for a

        21       correction.

        22                      SENATOR TULLY:  The pool was

        23       utilized by handicapped children in their











                                                             
3079

         1       special Olympics, and it was initiated by the

         2       former governor and was then brought to the

         3       attention of this house and that's how it came

         4       to be located in that particular location.

         5                      Many other sites were considered

         6       in this country.  It narrowed down to three.

         7       The only one in this state was that site in Long

         8       Island.

         9                      SENATOR DOLLINGER:  Again,

        10       through you, Mr. President, if I can just make a

        11       comment in response to Senator Tully, then I

        12       have a question for Senator Stafford.

        13                      ACTING PRESIDENT KUHL:  The floor

        14       is yours, Senator Dollinger.

        15                      SENATOR DOLLINGER:  Senator, if

        16       that's the case, why isn't it in the Republican

        17       version of the Capital Budget? I gather we're

        18       not going to have an economic boom in Long

        19       Island.  Why was it deleted from the budget?

        20       Perhaps Senator Tully can tell me why we're

        21       debating a capital budget that doesn't have it

        22       in.  Are we saying goodbye to the Good Will

        23       Games?











                                                             
3080

         1                      SENATOR TULLY:  Mr. President, I

         2       certainly can't speak as to what the leaders

         3       have agreed upon in the budget, but I think we

         4       all know that Governor Pataki has made it plain

         5       that we're not going to spend as much money as

         6       we have in previous budgets all under Democratic

         7       administrations.  For the first time in, I don't

         8       know whether it's 20 or 40 years, we're spending

         9       less money than we have in a previous year's

        10       budget, and many things must fall.  This may

        11       well be one of them.  Hopefully it won't be, but

        12       it may well be one of them.

        13                      SENATOR DOLLINGER:  That

        14       addresses the point that I make perfectly.  I

        15       mean I just point out that there's going to be

        16       no pool, right?  I mean I can write on here "no

        17       pool"?

        18                      SENATOR TULLY:  Mr. President.

        19       Senator Dollinger, if I had my way, there would

        20       be a pool because I think it's very significant;

        21       it's very important to the handicapped people.

        22       It's very important, I think, to show that we

        23       care about people with handicaps and to give











                                                             
3081

         1       them an opportunity to perform in an Olympic

         2       setting, and it's very significant that we

         3       should do that.

         4                      It's certainly not something that

         5       we should make a joke out of or play with

         6       placards in this chamber.

         7                      SENATOR DOLLINGER:  I'm not -

         8       excuse me, Mr. President, I'm not playing with

         9       any placards.  I'm just pointing out, can I

        10       write it's safe to say the Republican position

        11       is no pool?

        12                      ACTING PRESIDENT KUHL: Senator

        13       Dollinger?  Senator Dollinger?  Are you asking

        14       Senator Tully to yield?

        15                      SENATOR DOLLINGER:  I apologize.

        16                      SENATOR STAFFORD: No. Now -

        17                      SENATOR DOLLINGER:  No what?

        18       There will be a pool or there won't be?

        19                      SENATOR STAFFORD:  N-o, period.

        20       But now let me just share with you, now that you

        21       have completed.  We had also in this Legislature

        22       a few years ago, this Legislature a Senate, the

        23       the Assembly and the Governor, we had the World











                                                             
3082

         1       University Games in Lake Placid, and they were

         2       very successful.  I didn't want you to feel that

         3       there was any question about the games because

         4       they were good, very, very good games.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Dollinger.

         7                      SENATOR DOLLINGER:  Do I still

         8       have the floor, Mr. President?

         9                      ACTING PRESIDENT KUHL:  Floor is

        10       yours.

        11                      SENATOR DOLLINGER:  Could I ask

        12       another question?

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Stafford, do you yield?

        15                      SENATOR DOLLINGER:  No.  Actually

        16       it deals with other projects in other districts.

        17       Is Senator Goodman here?

        18                      ACTING PRESIDENT KUHL:  Asking

        19       Senator Goodman who doesn't appear to be in the

        20       chamber to yield.

        21                      SENATOR DOLLINGER:  O.K.  Perhaps

        22       Senator Stafford can answer the question.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3083

         1       Stafford, do you yield?

         2                      SENATOR DOLLINGER: The current -

         3                      ACTING PRESIDENT KUHL: Senator

         4       Dollinger. Senator Dollinger. Senator Stafford

         5       do you yield?

         6                      SENATOR STAFFORD:  By all means.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       yields.

         9                      SENATOR DOLLINGER:  Thank you,

        10       Mr. President.

        11                      Now, the proposed budget also

        12       excludes $1 million for the Metropolitan Museum

        13       of Art.  Is it now the position of the Senate

        14       Majority that there will be no addition for the

        15       south wing of the Metropolitan Museum of Art?

        16                      SENATOR STAFFORD:  How much money

        17       was that?

        18                      SENATOR DOLLINGER:  One million

        19       dollars.

        20                      SENATOR STAFFORD:  I realize, as

        21       many do, that the Metropolitan Museum of Art is

        22       one of the finest museums in the world.  We're

        23       fortunate that we have the museum in New York











                                                             
3084

         1       City.  There has been consideration as far as

         2       making these funds available.  Again, as I said

         3       to you, that's very possible, it's very possible

         4       that there will be other bills.  I mentioned to

         5       you what I called the "clean-up bill" and I've

         6       been here in years when we've had more than

         7       one.

         8                      Have you ever -- excuse me.  Will

         9       Senator Dollinger yield?

        10                      SENATOR DOLLINGER:  Mr.

        11       President, unfortunately, because of press of

        12       time, I know there are other speakers that want

        13       to talk, I have just a couple more questions.  I

        14       don't believe I should yield at this time,

        15       Senator.  I apologize.  I'm trying to get -

        16       trying to give other people a chance.  I'm going

        17       to ask a couple more questions and then I'm

        18       going to go.

        19                      SENATOR STAFFORD:  Mr. President.

        20                      SENATOR DOLLINGER:  I don't have

        21       to yield, do I? I've got the floor.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Stafford, why do you rise?











                                                             
3085

         1                      SENATOR STAFFORD:  I just got to

         2       once more ask my distinguished Senator from -

         3       (Pause-laughter) from Rochester.

         4                      SENATOR DOLLINGER:  With all due

         5       respect, I obviously haven't been as uncomfort

         6       able as Senator Gold has been in the last 20

         7       years.  I'm trying my best.

         8                      Mr. President, can I ask Senator

         9       Bruno a question?

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Bruno, do you yield to Senator Dollinger?

        12                      SENATOR BRUNO:  Yes, Mr.

        13       President.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       yields.

        16                      SENATOR BRUNO: Wonderful.

        17                      SENATOR DOLLINGER:  Senator,

        18       there is a project which I believe is in your

        19       district at SPAC, the Saratoga Performing Arts

        20       Center.  We have authorized $3.9 million.  My

        21       understanding is that SPAC has already spent

        22       $600,000 of that money.

        23                      Is it the position of the Senate











                                                             
3086

         1       Majority as reflected in this bill that there

         2       will be no funds for SPAC?

         3                      SENATOR BRUNO:  When? No funds

         4       for SPAC when?

         5                      SENATOR DOLLINGER:  Well, there's

         6       no -- there will be no money for SPAC in the

         7       next budget; can we assume that?

         8                      SENATOR BRUNO:  You know, I think

         9       Senator Stafford is about as articulate as

        10       anyone in this chamber, and he said very

        11       clearly, Senator, you can assume anything you

        12       want to.  Be my guest.  Assume anything you want

        13       to.

        14                      SENATOR DOLLINGER:  But is it

        15       safe to say again that you -

        16                      ACTING PRESIDENT KUHL:  Are you

        17       asking Senator Bruno to continue to yield?

        18       Senator Bruno, do you continue to yield?

        19                      SENATOR BRUNO:  Yes, Mr.

        20       President.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       yields.

        23                      SENATOR DOLLINGER:  It's clearly











                                                             
3087

         1       the position of this Majority not to give SPAC

         2       that money in this budget, if -- Mr. Majority

         3       Leader, if this money happened to end up in the

         4       final budget that wouldn't be because of

         5       anything that the other side of the house had to

         6       do.  Our colleagues in the Assembly would be

         7       entirely responsible for that and should claim

         8       the entire credit for that; isn't that fair?

         9                      SENATOR BRUNO:  Mr. President, if

        10       we were talking about what was fair, I guess we

        11       wouldn't be having this conversation, because

        12       what is really appropriate is to really talk

        13       about something meaningful relating to our

        14       process here in moving a budget forward.

        15                      What we're doing here is moving a

        16       budget process forward.  We are, Senator, in the

        17       light of day, middle of the afternoon, discuss

        18       ing the Senate proposal to do a budget, in broad

        19       daylight, and before the public, media present,

        20       and we have invited your colleagues in the other

        21       house to do the same, so that we can publicly

        22       acknowledge who wants to spend what, and I

        23       address that to my good friend, who wants to











                                                             
3088

         1       spend what, and what revenues we want to create,

         2       Senator.  That's what's going on here.

         3                      We are establishing this week

         4       what we are prepared to commit to the people of

         5       this state by way of spending and by way -- by

         6       the end of this Friday, by way of revenue, and

         7       by Friday night, if you stay tuned, all of the

         8       assumptions that you are making will either be

         9       acknowledged or denied by Friday.

        10                      So be patient and you will see

        11       whether there are swimming pools and whether

        12       SPAC's in and whether your funding for the

        13       schools that the Speaker is interested in,

        14       whether that's in, all of those questions that

        15       you've been asking, sometimes rhetorically here,

        16       will be answered.

        17                      Here is the bottom line, Senator.

        18       This house will have passed a balanced, complete

        19       budget on March 31st.  Your colleagues are going

        20       to ask -- going to have to answer to the people

        21       of New York State in why they have not passed a

        22       completed budget by March 31st, such as it is.

        23                      Now, you have some additions you











                                                             
3089

         1       want to make, be our guest.  You're making the

         2       amendments.  But, Senator, if you don't have a

         3       budget by March 31st with your colleagues, then

         4       why don't you suggest to the Speaker that he

         5       pass this budget and the people of this state

         6       will have what they deserve, a balanced budgeted

         7       with spending and revenues that will become law

         8       on March 31st, and it will be the package that

         9       you're going to pass between now and March 31st,

        10       Friday.

        11                      That's our proposal to you,

        12       Senator.

        13                      SENATOR DOLLINGER:  I appreciate

        14       the Majority Leader's sentiments.  I'll be real

        15       quick to finish.

        16                      I assume there's no pool, there's

        17       no Metropolitan Museum of Art, there's no SPAC,

        18       there's no coastal rehabilitation supp'.  All

        19       the money that we put in last year for the coast

        20       of Long Island -- I don't live there, isn't a

        21       big deal to me, maybe a big deal to the members

        22       of this body.

        23                      I can assume if we pass this











                                                             
3090

         1       budget, if you pass this budget, that if all

         2       these items show up in the budget it's not

         3       because the Senate Republicans want them and,

         4       frankly, I would hope that none of the news

         5       letters, none of the information, none of the

         6       press releases that we've been treated to for

         7       the last number of years will show up in Long

         8       Island or in Saratoga with Senator Bruno's name

         9       on it, Metropolitan Museum of Art with Senator

        10       Goodman's name on it or anybody on Long Island

        11       about the pool because it will be a

        12       demonstration that those are all put back by our

        13       colleagues in the Assembly and when there's any

        14       credit to be given for that spending, it will be

        15       simply because our colleagues in the Assembly

        16       wanted it.

        17                      Can't have it both ways,

        18       gentlemen.  If you want to pass this budget and

        19       somehow all of a sudden these things sneak back

        20       in, maybe it will be because the Majority in

        21       this house wanted it to appear to the public

        22       that it wasn't spending or wanted to go back to

        23       the trough as it has before.











                                                             
3091

         1                      ACTING PRESIDENT KUHL:  Chair

         2       recognizes Senator Marchi.

         3                      Senator Skelos?

         4                      SENATOR SKELOS:  Can you tell me

         5       what time the debate began on this bill?

         6                      ACTING PRESIDENT KUHL:  The

         7       debate began at 2:05.

         8                      SENATOR SKELOS: Thank you very

         9       much.

        10                      ACTING PRESIDENT KUHL:  Chair

        11       recognizes Senator Montgomery, on the bill.

        12                      SENATOR MONTGOMERY:  Thank you

        13       very much, Mr. President.  I have a couple of

        14       questions of information, and I suppose I should

        15       ask Senator Stafford.  I'm not sure.  I wanted

        16       to ask you about the Corrections budget.

        17                      SENATOR STAFFORD:  I'm sorry.  I

        18       apologize.  I was listening to staff.  I should

        19       have given my ear.

        20                      SENATOR MONTGOMERY:  All right,

        21       Senator Stafford.  If you would yield, I would

        22       like to ask you a question about the Corrections

        23       budget.











                                                             
3092

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Stafford, do you yield?

         3                      SENATOR STAFFORD:  Yes.

         4                      ACTING PRESIDENT KUHL:  The

         5       Senator yields, Senator Montgomery.

         6                      SENATOR MONTGOMERY:  The 252

         7       million, does that -- does that include any new

         8       construction?

         9                      SENATOR STAFFORD:  No new

        10       construction, Senator.

        11                      SENATOR MONTGOMERY:  No new

        12       construction.  Does it include any new

        13       facilities?

        14                      SENATOR STAFFORD:  I'll get your

        15       answer to that in just a minute, Senator.

        16                      SENATOR MONTGOMERY:  And so my

        17       assumption is that there may be a portion of it

        18       for new facilities, but the largest percentage

        19       is for the upgrading -

        20                      SENATOR STAFFORD:  Yes.

        21                      SENATOR MONTGOMERY:  -- of the

        22       correctional facilities that are already in

        23       existence.











                                                             
3093

         1                      SENATOR STAFFORD:  Right.

         2                      SENATOR MONTGOMERY:  And is that

         3       200 -- if you will yield again, does that 250

         4       million include any reappropriation, or is that,

         5       the 250 million, is that separate from

         6       reappropriation?

         7                      SENATOR STAFFORD:  No.

         8                      SENATOR MONTGOMERY:  In other

         9       words, that includes reappropriation?

        10                      SENATOR STAFFORD: Yes.  I don't

        11       believe -- I don't believe there are -- there

        12       are reappropriations here.

        13                      SENATOR MONTGOMERY: O.K. So we

        14       have a separate reappropriation based on last

        15       year's budget, and we don't have that figure in

        16       front of us.  I know it's in here, but I'm just

        17        -- I couldn't add it all up.

        18                      SENATOR STAFFORD: Another 64

        19       million is appropriated -- is reappropriation,

        20       I'm sorry.

        21                      SENATOR MONTGOMERY: Is

        22       reappropriation.  So we have about what, 1.2

        23       billion, somewhere around there, in total outlay











                                                             
3094

         1       for the correctional facilities including

         2       reappropriations from last year and in this

         3       year's outlay of 250 million.

         4                      SENATOR STAFFORD:  The -- I want

         5       to be accurate, Senator.  Your question is

         6       obviously the -- a good question.  All of the

         7       money will not be spent of that 1. -

         8                      SENATOR MONTGOMERY:  Of the 1.2?

         9       Okay.  But that is the outlay for the last two

        10       years in terms of the prison facilities.  Do we

        11       have -- do we have any facilities that are in -

        12       in progress that have already gone to

        13       construction phase-out of 900 million, do you

        14       know?

        15                      SENATOR STAFFORD:  Just one

        16       second.  This is the quietest I've ever heard

        17       it.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Stafford, just for -- excuse me, Senator

        20       Montgomery.

        21                      Senator Stafford -- Senator

        22       Stafford, if you could just kind of slide that

        23       way a little bit, I would -











                                                             
3095

         1                      SENATOR STAFFORD:  So when I talk

         2       it goes in.

         3                      ACTING PRESIDENT KUHL:  Yeah, I

         4       know.  It's tough when there's a member in the

         5       back that you want to respond to, but if you

         6       could just sort of slide to your left a little

         7       bit -- I know it's difficult.

         8                      SENATOR STAFFORD:  Senator and my

         9       colleagues, I apologize.  We had a meeting that

        10       our staff member was attending.  This is -- I

        11       hope will make it clear and correct.

        12                      There are Friendship, Johnstown,

        13       Altamont, Hounsfield and Romulus that are

        14       planned and there are appropriations, but

        15       there's a question about really whether they'll

        16       be built or not.  That's what it is.

        17                      SENATOR MONTGOMERY:  So are those

        18       from last year's budget?

        19                      SENATOR STAFFORD:  They are from

        20       last year's budget; yes, they are.

        21                      SENATOR MONTGOMERY:  Okay.  So

        22       what is that, five new -- we're looking at five

        23       new facilities?











                                                             
3096

         1                      SENATOR STAFFORD:  Yes.

         2                      SENATOR MONTGOMERY:  All

         3       construction -- is that all construction or any

         4       of that -

         5                      SENATOR STAFFORD:  These were all

         6       appropriated at 18 -- 1989 and '90 and no work

         7       has been done.

         8                      SENATOR MONTGOMERY:  Thank you.

         9                      If you would yield, Senator.

        10                      SENATOR STAFFORD:  Sure.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, do you continue to yield?

        13                      SENATOR STAFFORD:  By all means.

        14                      ACTING PRESIDENT KUHL:  The

        15       Senator continues to yield, Senator Montgomery.

        16                      SENATOR MONTGOMERY:  Thank you,

        17       Senator.

        18                      On the mental health,

        19       specifically the Community Reinvestment Act, the

        20        -- when the commissioner came before the

        21       Finance Committee, he indicated in his

        22       presentation of his budget that he intended to

        23       use part of that Community Reinvestment Act











                                                             
3097

         1       funding for capital purposes, and it was my

         2       understanding that the -- the agreement that we

         3       made last -- the agreement that the Legislature

         4       made with the Governor -

         5                      SENATOR STAFFORD:  Right.

         6                      SENATOR MONTGOMERY:  -- did not

         7       include capital funding as part of that, but I

         8       don't see any indication that there's going to

         9       be capital funding in this budget for that

        10       purpose out of that particular pot of money.

        11       Does that mean that we're not, in fact, going to

        12       be spending any of that money for capital

        13       purposes now?

        14                      SENATOR STAFFORD:  Even know he's

        15        -- even though -

        16                      SENATOR MONTGOMERY:  Even though

        17       he said that he was?

        18                      SENATOR STAFFORD:  Right.  This

        19       includes the answer or is the same answer that

        20       has been given a number of times.  There will be

        21       a number of bills, I'm sure, and the issue you

        22       raised is raised also over here and has been

        23       raised in a very clear manner and will be











                                                             
3098

         1       considered and certainly very well meets some of

         2       the -- some of the goals that we all usually

         3       have.

         4                      SENATOR MONTGOMERY:  Will those

         5       be an Article -- will that be an Article 7

         6       bill?

         7                      SENATOR STAFFORD:  It could

         8       possibly be, but it could be an amendment or it

         9       could be actually another bill.

        10                      SENATOR MONTGOMERY:  Another -

        11       it could be a bill that would be a statute -

        12                      SENATOR STAFFORD:  Right.

        13                      SENATOR MONTGOMERY:  -- changing

        14       the whole program essentially?

        15                      SENATOR STAFFORD:  Could be -

        16       yes, it could be an amendment or -

        17                      SENATOR MONTGOMERY:  A chapter

        18       amendment?

        19                      SENATOR STAFFORD:  That's a term

        20       that was used.  I'm showing my age.  Some people

        21       don't use that anymore.

        22                      SENATOR MONTGOMERY:  M-m h-m-m.

        23                      SENATOR STAFFORD:  And it's











                                                             
3099

         1       probably just as well, but on any bill that

         2       passes, you can amend that bill and say that

         3       chapter amends that bill so they said -- so just

         4       an amendment.

         5                      SENATOR MONTGOMERY:  Oh, I see.

         6       All right.  I was -- I was -- that is of

         7       particular interest to those of us like in my

         8       district where we -- that's been one source of

         9       stabilizing the issue of housing for mental

        10       health -- mentally ill, and so you can see why

        11       I'm concerned about it.  I would hope that we

        12       don't -- don't change entirely the mission and

        13       the focus of that program.

        14                      But let me go -- in the area of

        15       school construction, Senator, if I could just

        16       ask one last question.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Stafford, do you yield to one last question?

        19                      SENATOR STAFFORD:  Certainly

        20       will.

        21                      ACTING PRESIDENT KUHL:  The

        22       Senator yields.

        23                      SENATOR MONTGOMERY:  What is the











                                                             
3100

         1        -- what is the -- what is the status vis-a-vis

         2       the -- this legislation of that school

         3       construction funding?

         4                      SENATOR STAFFORD:  27 million.

         5       Is that the -- actually, this is -- has been

         6       mentioned a number of times, and I again would

         7       just point out, I have heard people often say

         8       here that things aren't written in stone, and I

         9       kind of thought it rather boring, but I'm

        10       learning that we pass a bill and very often we

        11       pass another bill and, as we have mentioned,

        12       that 27 million is a concern to many here in the

        13       Capitol, and I think it's a priority that will

        14       very possibly receive consideration.

        15                      SENATOR MONTGOMERY:  Thank you,

        16       Senator.

        17                      I certainly hope that -- I would

        18       hope that we're not willing to spend much more

        19       money on brand new lovely prison facilities and

        20       we can't come up with 27 million to maintain and

        21       renovate and restore our school buildings across

        22       the state.  So I just want to go on record with

        23       that.











                                                             
3101

         1                      Thank you, Senator.

         2                      ACTING PRESIDENT KUHL:  The Chair

         3       recognizes Senator Jones.

         4                      SENATOR JONES:  Yes.  I had a

         5       couple questions.  I'm listening here today and

         6       actually I'm almost embarrassed to get on to

         7       this discussion because I stand here concerned

         8       about mental illness and the elderly and the

         9       poor, but I guess we need to deal with the

        10       document that's in front of us.

        11                      I was going to offer something a

        12       little different today.  Actually, I was going

        13       to offer you more cuts than you already have in

        14       here.  I looked at the section on stadia, and I

        15       heard Senator Stafford early on, and I'm going

        16       to ask him to explain to me -- in the essence of

        17       time, I'm not going to offer that, but what I

        18       was going to say is I believe that there are -

        19       were 18 stadia originally in the budget and now

        20       there's only 6, so I was going to suggest the

        21       other 12 also be removed in the issue of

        22       fairness, the ones that -- because apparently

        23       the debate has not really been clear as to











                                                             
3102

         1       whether or not these are an economic development

         2       issue for communities, and I have not been able

         3       to figure out what the criteria for the decision

         4       making was.

         5                      So, maybe, Senator, you could

         6       just tell me, did you ever consider not funding

         7       any because certainly it would save us more

         8       money, or what exactly was the criteria; if you

         9       would be so kind to tell me.

        10                      SENATOR STAFFORD:  The first

        11       thing we have to do, Senator, is not use the

        12       stadia as a political football.

        13                      SENATOR JONES:  I agree.  I

        14       agree.

        15                      SENATOR TULLY:  Mr. President.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Tully, why do you rise?

        18                      SENATOR JONES:  I agree.

        19                      SENATOR TULLY:  Point of

        20       information.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Tully, why do you rise?

        23                      SENATOR TULLY:  Point of











                                                             
3103

         1       information, Mr. President.

         2                      ACTING PRESIDENT KUHL:  Yes.

         3                      SENATOR TULLY:  What time did the

         4       debate start on this bill?

         5                      ACTING PRESIDENT KUHL:  The

         6       debate started at 2:05.

         7                      SENATOR STAFFORD:  I think

         8       probably it was considered.  I -- I would say

         9       first -- and no one has briefed me on this, but

        10       it's economic development.  Now, where these

        11       decisions are made, where they're placed, I

        12       think many of us could say, "We want to do this"

        13       or "Why does this area get this?"

        14                      I can remember some of my

        15       colleagues -- I'll never forget.  You know,

        16       Syracuse is a really, really conservative area,

        17       and I looked up one day, and the state was

        18       supporting a stadium in that area, and I looked

        19       around and I said, "Well, what's this all

        20       about?"  I've learned that the state and the

        21       city have gotten back the money many times.

        22                      Now, where these facilities are,

        23       there obviously had to be considerations.











                                                             
3104

         1       There's obviously some places that want them

         2       that are not getting them.  I wouldn't say

         3       there's probably any area getting a stadium that

         4       doesn't want it, but those decisions have to be

         5       made.

         6                      SENATOR JONES:  Would the Senator

         7       yield to one more question?

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Stafford, do you yield to one more question from

        10       Senator Jones?

        11                      SENATOR STAFFORD:  Sure.

        12                      ACTING PRESIDENT KUHL:  The

        13       Senator yields.

        14                      SENATOR JONES:  I guess -- it's

        15       obviously the decisions were made.  I guess

        16       maybe you didn't understand my question,

        17       Senator.  The question is how were they made?

        18       Was it on the basis of size?  What were the

        19       criteria that were the final -- the reasons that

        20       these decisions are in here?

        21                      SENATOR STAFFORD:  Well, I think

        22       there probably were many, many reasons and,

        23       again, I would say it's obvious.  Is there a











                                                             
3105

         1       base there?  Will the stadium really produce?

         2       Are there people?  Will there be people there?

         3       Is there local support?  Has there been actual

         4       start of development?  I think that's -- those

         5       are the -- you know, I'm sure those are the

         6       considerations.

         7                      SENATOR JONES:  Will the Senator

         8       yield?

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Stafford, do you continue to yield?

        11                      SENATOR STAFFORD:  Sure.

        12                      SENATOR JONES:  Are you aware -

        13                      ACTING PRESIDENT KUHL:  The

        14       Senator yields.

        15                      SENATOR JONES:  -- Senator, that

        16       the cities -- I agree with, you know, the issues

        17       you raised and I've also read those same things

        18       in the press.  However, are you aware that many

        19       of the criteria you just talked about, for

        20       instance, whether they had started, whether it

        21       had gone through the committee, many of those

        22       left out did meet those criteria?

        23                      SENATOR STAFFORD:  Did you read











                                                             
3106

         1       what I said in the press, you said?

         2                      SENATOR JONES:  No, no.  I said

         3       I've read some of the things, Senator, that you

         4       just mentioned as being whether or not the

         5       project was started.  I read those things in the

         6       press.

         7                      I guess what I'm saying to you is

         8       are you aware that some that are left out did

         9       meet those criteria?

        10                      SENATOR STAFFORD:  Well, you

        11       know, there probably -- there's much criteria,

        12       I'm sure it wasn't one, two or one thing.  I

        13       would say that I'm sure any area that had the

        14       initiative to put together a group or put

        15       together a package and wanted to construct a

        16       stadium, I'm sure that if any were not included,

        17       they would be concerned, and I certainly would

        18       understand -- I think that's something we should

        19       consider in the future.

        20                      SENATOR JONES:  Thank you,

        21       Senator.

        22                      On the bill itself.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3107

         1       Jones, on the bill.

         2                      SENATOR JONES:  Some of the

         3       things you said, you know, I certainly agree

         4       with, although I frankly have to tell you that I

         5       see most of it as kind of double talk because

         6       this issue has been played out in the paper.

         7                      I totally agree with you that it

         8       should not be a political football but,

         9       unfortunately, that's what it's become, and I

        10       know Senator Hoffmann was planning to join me

        11       there.

        12                      What my solution to this is that

        13       none be funded.  I do happen to agree with you

        14       that economic development is an issue but if it

        15       is, then it has to be the same issue for

        16       everybody.  I would be happily willing to join

        17       you in saving money if you had made this

        18       decision last year and said "The government

        19       doesn't belong in this arena."  If that's the

        20       decision -- if the decision is we can't afford

        21       it, then clearly we can't afford it and I accept

        22       that.

        23                      I feel very comfortable talking











                                                             
3108

         1       about not spending money because I do recall

         2       last year that a tall gentleman over there and

         3       three of us sitting here did have our hands up

         4       saying no to all -- what I heard you people

         5       refer to today as "election year promises", so I

         6       feel very comfortable, since I was not part of

         7       those promises, to certainly question you on how

         8       you could go back on your word on many of these

         9       now.

        10                      So I think if we want to join

        11       together and say, Let's be fiscally responsible

        12       and we shouldn't be doing these things, I could

        13       probably go along with you, but I can't go along

        14       with the issue when we make decisions that seem

        15       to have not universal criteria and not even

        16       criteria that anyone can clearly understand as

        17       to how they were made.

        18                      So I certainly can't support

        19       this, and I really think you should take a look

        20       at maybe we should take a look at none of them

        21       or certainly maybe everybody should be treated

        22       fairly in this state.  I assume that's what

        23       we're here for.











                                                             
3109

         1                      ACTING PRESIDENT KUHL:  The Chair

         2       recognizes Senator Oppenheimer.

         3                      SENATOR OPPENHEIMER:  Thank you.

         4                      I will be brief.  I believe

         5       there's an amendment at the desk.  Is there an

         6       amendment there?

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Oppenheimer, there is an amendment at the desk.

         9                      SENATOR OPPENHEIMER:  And I'll

        10       waive its reading.

        11                      ACTING PRESIDENT KUHL:  Without

        12       objection, the reading is waived.  You have a

        13       couple of minutes to explain.

        14                      SENATOR OPPENHEIMER:  Thanks.

        15                      I offer this sort of in a sense

        16       in defense of our honor and our reliability and

        17       our responsibility and our trustworthiness.

        18                      What this is, is it says "The

        19       executive shall not defer, delay, fail to

        20       proceed with, impound funds for transportation

        21       projects in the '94-95 state budget, the '95-96

        22       state budget or the 1994 memorandum of

        23       understanding without the written consent of the











                                                             
3110

         1       Chair and the ranking member in -- of the

         2       Transportation Committees in both of the

         3       houses."

         4                      You may recall that, with a great

         5       deal of deliberation, we created a transporta

         6       tion plan which got written into the memorandum

         7       of understanding in '94 and we really struggled

         8       with that, and we tried to put in geographic

         9       distribution and prioritizing of the projects,

        10       and the memorandum of understanding now the

        11       Governor wants to end because he's just impound

        12       ed the money.

        13                      This amendment says that the

        14       legislative -- the Legislature should have the

        15       power to maintain our role in the decision

        16       making just as we have the role in creating the

        17       projects and promising that we would move ahead

        18       with the projects in a scheduled manner.

        19                      We did not participate in this

        20       unilateral cut in the appropriations, and I must

        21       say this has unilaterally created a crisis with

        22       in the construction industry.  This moratorium

        23       was done only by the Governor.  We had made











                                                             
3111

         1       promises, and the Governor has caused this

         2       moratorium to make -- which indeed makes us look

         3       less than reliable and less than trustworthy,

         4       and I think for the future, we should -- I think

         5       we should rectify it for this year, and I think

         6       we should also put in protections so that, in

         7       the future, our word is -- is reliable, and

         8       people will trust what we say.

         9                      So I would like to move this -

        10       this amendment.

        11                      ACTING PRESIDENT KUHL:  The

        12       question is on the amendment.  All those in

        13       favor signify -

        14                      SENATOR LEVY:  Might I ask -

        15                      ACTING PRESIDENT KUHL:  Pardon?

        16                      SENATOR LEVY:  I was going to

        17       answer.

        18                      ACTING PRESIDENT KUHL:  Do you

        19       want to speak, Senator Levy?

        20                      The Chair recognizes Senator Levy

        21       on the amendment.

        22                      SENATOR LEVY:  Very briefly.  I

        23       just wanted Senator Oppenheimer to know that our











                                                             
3112

         1       honor is intact.  Our honor is intact, because

         2       last night -- and you may not -- probably it was

         3       late last night, you may not be cognizant of it,

         4       but the highway and bridge projects that were

         5       frozen for fiscal year '94-95 which ends on

         6       Saturday, those projects were released last

         7       night.

         8                      SENATOR OPPENHEIMER:  Oh.

         9                      SENATOR LEVY:  So those projects

        10       are going to be obligated before -- before the

        11       end of the fiscal year, and all of the five

        12       parties to the negotiations on the budget have

        13       agreed to one thing.

        14                      There's an Article 7 bill that we

        15       lovingly call the "big ugly", and that is the

        16       bill -- that's the bill that would take the

        17       splits out of the law, abolish the memorandum of

        18       understanding, deal with the '87 bond issue.

        19       Everyone has agreed that we are not going to do

        20       that bill.  We're not going to take the splits

        21       out, and so on, all the other provisions of that

        22       bill.  We're not going to proceed with that

        23       Article -- that Article 7 bill.











                                                             
3113

         1                      And I just wanted to tell you,

         2       Senator, there are $10 billion worth of trans

         3       portation projects or will be in the budget, of

         4       all different types of projects.  There are

         5       thousands and thousands of projects, whether we

         6       are talking about appropriations, reappropria

         7       tions, and so on, and it just really would be

         8       totally impossible to -- to, whenever a project

         9       couldn't advance because it wasn't ready to

        10       advance to have to, on every one of those

        11       thousands and thousands of projects, to get the

        12       consent of the people that would be required to

        13       consent under this proposed amendment.  So it

        14       should be defeated.

        15                      ACTING PRESIDENT KUHL:  The

        16       question is on the amendment.  All those in

        17       favor signify by saying aye.

        18                      (Response of "Aye".)

        19                      Opposed, nay.

        20                      (Response of "Nay".)

        21                      The amendment is lost.

        22                      The Secretary will read the last

        23       section.











                                                             
3114

         1                      THE SECRETARY:  Section 2.  This

         2       act shall take effect immediately.

         3                      ACTING PRESIDENT KUHL:  Call the

         4       roll.

         5                      (The Secretary called the roll.)

         6                      SENATOR DOLLINGER:  Slow roll

         7       call.

         8                      ACTING PRESIDENT KUHL:  Slow roll

         9       call has been requested.

        10                      Seeing five Senators, the

        11       Secretary will call a slow roll call.

        12                      THE SECRETARY:  Senator Abate.

        13                      SENATOR ABATE:  No.

        14                      THE SECRETARY:  Senator Babbush,

        15       excused.

        16                      Senator Bruno.

        17                      SENATOR BRUNO:  Yes, Mr.

        18       President, to explain my vote.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Bruno to explain his vote.

        21                      SENATOR BRUNO:  We have been

        22       talking here for over two hours, and I would

        23       just want to remind my colleagues that what











                                                             
3115

         1       we're doing is a continuous project, and this

         2       doesn't end today.  More will be done tomorrow,

         3       and more will be done Friday and, as I said

         4       before, by Friday, a lot of the questions that

         5       have been raised here will have been answered as

         6       to additions and subtractions.

         7                      I also want to indicate that we

         8       here by Friday will move around $499 million.

         9       That's the move that's taking place.  164

        10       million are moves within the Governor's

        11       proposal.  In his budget, we're moving 164

        12       million.  The other 335 million comes from 300

        13       million increased revenue projections and 35

        14       million increased lottery projections, '95-96.

        15       There was three-way agreement on that number.

        16       So what we're doing here has been agreed on in

        17       terms of spending the revenues, and that's all

        18       we're doing is spending the revenues that had

        19       three-way agreement.

        20                      If, later, Mr. President, we have

        21       three-way agreement on additional revenues based

        22       on the fiscal condition of this state at the

        23       time we pass a budget, well, then, we will do











                                                             
3116

         1       undoubtedly more tax cuts and more restorations.

         2                      I vote aye.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Bruno in the affirmative.

         5                      THE SECRETARY:  Senator Connor.

         6                      (Negative indication.)

         7                      Senator Cook.

         8                      SENATOR COOK:  Yes.

         9                      THE SECRETARY:  Senator

        10       DeFrancisco.

        11                      SENATOR DeFRANCISCO:  Yes.

        12                      THE SECRETARY:  Senator DiCarlo.

        13                      SENATOR DiCARLO:  Aye.

        14                      THE SECRETARY:  Senator

        15       Dollinger.

        16                      SENATOR DOLLINGER:  Mr.

        17       President, to explain my vote.

        18                      I rise, Mr. President, to oppose

        19       this bill.

        20                      I guess I'll call my attention

        21       and be very parochial.  This bill excludes

        22       funding for both the Greater Rochester Sports

        23       Facility as well as the War Memorial.  There was











                                                             
3117

         1       a deal between this Legislature, the Governor

         2       and the people of my community to fund both of

         3       those projects.  This deal is being reneged on

         4       by the Senate by saying that we're not going to

         5       fund that $27 million appropriation, along with

         6       many others as my colleague, Senator Jones,

         7       pointed out.

         8                      I would call on both of my

         9       colleagues from Monroe County, the new Senator

        10       Maziarz, Senator Nozzolio who stood right in

        11       front there at Frontier Field when they broke

        12       the ground and threw the shovels full of dirt,

        13       that we were going to build this stadium, I was

        14       way off to the corner.  Other people were at the

        15       center stage.

        16                      I think in fealty to the people

        17       of our county, we have to stand up and vote

        18       against this budget because it renegs on a deal

        19       made to the taxpayers of Monroe County, a deal

        20       made by County Executive Bob King, the same

        21       County Executive Bob King who is now going to go

        22       out and do regulatory police authority that

        23       we're going to have confidence in, he made a











                                                             
3118

         1       deal that said "No property taxes, no local

         2       property taxes will be used to build the

         3       stadium."

         4                      If we don't pass this bill -- if

         5       we vote in favor of this bill, we're reneging on

         6       that deal.  We're going to leave the people of

         7       Monroe County $11 million in the hole because

         8       that's what they've already spent in property

         9       taxes which they'll have to spend because we're

        10       not going to fund the stadium.

        11                      I would just point out as my

        12       elaborate discussion earlier pointed out, if it

        13       is restored, please, don't anyone in this

        14       chamber take credit for them.  It'll be my

        15       colleagues in the Assembly who put the money

        16       back in.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Dollinger, how do you vote?

        19                      SENATOR DOLLINGER:  No.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Dollinger in the negative.

        22                      THE SECRETARY:  Senator Espada.

        23                      SENATOR ESPADA:  No.











                                                             
3119

         1                      THE SECRETARY:  Senator Farley.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Farley to explain his vote.

         4                      SENATOR FARLEY:  Thank you, Mr.

         5       President.

         6                      I'm going to vote aye.  Again,

         7       this is the second step; yesterday we took the

         8       first step to having a budget on time, and we're

         9       doing this out in the open as Senator Bruno has

        10       said.  I'm pleased to vote and support this.

        11       It's not the final answer, but I'll tell you it

        12       is a final answer as far as this house is

        13       concerned.  We've got a complete budget.  It's

        14       the first time in my tenure that we have done

        15       such a thing as this, and I urge everybody to

        16       support it.  Maybe we can get a budget

        17       relatively on time in this state for the first

        18       time in 11 years.

        19                      Thank you, Mr. President.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Farley in the affirmative.

        22                      THE SECRETARY:  Senator Galiber.

        23                      SENATOR GALIBER:  No.











                                                             
3120

         1                      THE SECRETARY:  Senator Gold.

         2                      SENATOR GOLD:  Mr. President.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Gold to explain his vote.

         5                      SENATOR GOLD:  Senator Bruno, I

         6       have said behind your back and I'll say it to

         7       your face, I'm impressed with some of your

         8       concepts in terms of opening the process and

         9       doing things and having leaders' meetings that

        10       have four leaders and all of that -- four

        11       leaders and the Governor, I wasn't -- but,

        12       Senator Bruno, you're asking us to now void all

        13       of that because you say by Friday we will know

        14       how you move around 499 million and, Senator,

        15       most respectfully, I trust you as a human, but I

        16       have a different philosophy than you.  So to ask

        17       me to just accept your philosophy that, by

        18       Friday all these things will be done, I can't do

        19       it.

        20                      We were asked earlier today by

        21       Senator Tully in an exchange with Senator

        22       Dollinger, which wasn't the most pleasant, how

        23       can you talk about spending 27 million?  Where











                                                             
3121

         1       are you going to get it from?  Well, Senator

         2       Bruno, you said that once the Governor had given

         3       his budget, they found 35 million by just

         4       saying, "Well, your estimates are wrong on the

         5       lottery," and that's not really creating money.

         6       That's moving a pencil, but last I heard 27

         7       million was less than 35 million.  You also

         8       talked about 300 million other revenue measures

         9       which we found that are in addition.

        10                      So what I'm saying, simply, we

        11       had a Governor who said, "This is a budget; this

        12       is what we've got to spend; this is it and we're

        13       going to cut taxes," but the Governor said,

        14       "This is a proper spending plan", because I

        15       assume if this Governor thought that there were

        16       needs, he would take care of that.

        17                      So I don't know why he now hasn't

        18       said, "We have 335 million more, I want to give

        19       335 million back to the taxpayers in cutting

        20       taxes."  That would fall right in line with his

        21       plan.  If he's planning to give that money back

        22       in programs, then he's basically saying that he

        23       is spreading pain to people who have real











                                                             
3122

         1       needs.

         2                      So I don't understand it.  My

         3       position today is very simple.  I am certainly

         4       not going to vote to approve major, major

         5       capital construction in this state without

         6       knowing the plan.  In the past we've passed

         7       budgets late, but we have passed budgets that

         8       exist in totality.  We haven't been asked to

         9       play this guessing game of "Here's part of the

        10       budget.  I won't tell you what the rest is.

        11       Pass this.  Tomorrow, here's another part.  I

        12       won't tell you what the rest is.  Pass this."

        13                      It might be, Senator Bruno, if I

        14       saw the whole budget, I would have to say, "Boy,

        15       that Joe Bruno, I always loved him, but isn't he

        16       brilliant?  Look what he did."  But I can't say

        17       that now and I can't say it later because we

        18       don't have a spending plan in front of us.

        19       So -

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Gold.

        22                      SENATOR BRUNO: -- as head of the

        23       Joe Bruno Fan Club of Forest Hills, on a











                                                             
3123

         1       personal basis, I have to vote no on your bill.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Gold in the negative.

         4                      THE SECRETARY:  Senator Gonzalez.

         5                      SENATOR GONZALEZ:  No.

         6                      THE SECRETARY:  Senator Goodman.

         7                      SENATOR GOODMAN:  Yes.

         8                      THE SECRETARY:  Senator Hannon.

         9                      SENATOR HANNON:  Yes.

        10                      THE SECRETARY:  Senator Hoblock.

        11                      SENATOR HOBLOCK:  Yes.

        12                      THE SECRETARY:  Senator Hoffmann.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Hoffmann to explain her vote.

        15                      SENATOR HOFFMANN:  Thank you, Mr.

        16       President.

        17                      I think that Senator Jones had

        18       the most appropriate idea of the day in attempt

        19       ing to introduce an amendment.  Fortunately,

        20       time prevented her from doing the amendment, but

        21       I would have gladly joined her as a co-sponsor

        22       in an amendment that would have addressed one of

        23       the more hard to fathom issues about this whole











                                                             
3124

         1       capital budget, and that is the criteria under

         2       which some stadiums are seem -- are deemed

         3       worthy and others are deemed unworthy or are

         4       subject to some future appropriation at some

         5       unknown time by some unknown means.

         6                      I'm sorry, but I regret to tell

         7       my colleagues, that's not an acceptable budget

         8       procedure by which the residents of the city of

         9       Syracuse want to see the issue of stadia

        10       addressed, and I join Senator Jones in decrying

        11       the very singular targeting of Syracuse for

        12       unfair consideration in the entire sports

        13       stadium process.

        14                      So, for that reason, as well as

        15       many others, much of which are based on

        16       confusion and a lingering concern that this

        17       process is much more convoluted than it should

        18       be at this stage of the game, I am also

        19       compelled to vote no.

        20                      THE SECRETARY:  Senator Holland.

        21                      SENATOR HOLLAND:  Yes.

        22                      THE SECRETARY:  Senator Johnson.

        23                      SENATOR JOHNSON:  Aye.











                                                             
3125

         1                      THE SECRETARY:  Senator Jones.

         2                      SENATOR JONES:  Explain my vote.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Jones to explain her vote.

         5                      SENATOR JONES:  I guess I just

         6       want to correct or take issue with a couple of

         7       things that have been said today.

         8                      If we mean we're doing these in

         9       the daylight by the fact that the sun is out, I

        10       guess we could accept that, but to me the

        11       daylight would have meant that I had this

        12       document several days ago, weeks ago, and I

        13       would have had plenty of time, as usual, to go

        14       over it and look for every single thing that

        15       might be in here.

        16                      So if daylight means the sun is

        17       out, I guess I'll accept we're doing it in the

        18       light of day but, you know, I guess I don't

        19       really see any difference in the process.  In

        20       fact, I see it somewhat worse because now we're

        21       look at something that's a maybe.

        22                      So I definitely vote no.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3126

         1       Jones in the negative.

         2                      The Secretary will continue to

         3       call the roll.

         4                      THE SECRETARY:  Senator Kruger.

         5                      SENATOR KRUGER:  No.

         6                      THE SECRETARY:  Senator Kuhl.

         7                      SENATOR KUHL:  Aye.

         8                      THE SECRETARY:  Senator Lack.

         9                      SENATOR LACK:  Aye.

        10                      THE SECRETARY:  Senator Larkin.

        11                      SENATOR LARKIN:  Aye.

        12                      THE SECRETARY:  Senator LaValle.

        13                      SENATOR LAVALLE:  Yes.

        14                      THE SECRETARY:  Senator Leibell.

        15                      SENATOR LEIBELL:  Aye.

        16                      THE SECRETARY:  Senator Leichter.

        17                      SENATOR LEICHTER:  Mr.

        18       President -

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Leichter to explain his vote.

        21                      SENATOR LEICHTER:  -- to explain

        22       my vote.

        23                      Mr. President, as I listened to











                                                             
3127

         1       the debate and the explanation of the Majority

         2       on this bill, it's clear to me that this budget

         3       is being done with a wink and a smirk like,

         4       "Well, don't take it seriously.  Oh, $27

         5       million, oh, it will come back and this will

         6       come back, and this is going to change."  Now,

         7       if you're telling the public you're passing a

         8       budget then clearly you don't intend this to be

         9       enacted in the law.

        10                      It reminds me a few years ago

        11       when Governor Cuomo put out his budget and

        12       somebody said to him, "Governor, what would you

        13       say if we passed a budget the next day?"  And

        14       his answer was, "I would say I didn't mean it,"

        15       and it's clear that what you're telling us is

        16       that you don't mean it because you know that

        17       this budget is one that, first of all, breaks

        18       the promise that this Legislature and this state

        19       government made to its localities last year in

        20       many areas.

        21                      Transportation is one.  I have

        22       grave concern about this -- what this will mean

        23       for commitments, again, commitments that the











                                                             
3128

         1       state has made for rebuilding roads,

         2       specifically Route 9A, the West Side Highway in

         3       my district.

         4                      But it's clear that this is a

         5       charade.  We're telling the voters "Oh, look,

         6       we're passing a budget", but God forbid that

         7       this budget from your viewpoint should ever be

         8       enacted into law.

         9                      Mr. President, I vote in the

        10       negative.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Leichter in the negative.

        13                      THE SECRETARY:  Senator Levy.

        14                      SENATOR LEVY:  Aye.

        15                      THE SECRETARY:  Senator Libous.

        16                      SENATOR LIBOUS:  Mr. President,

        17       to explain my vote.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Libous to explain his vote.

        20                      SENATOR LIBOUS:  Mr. President, I

        21       have had the opportunity to listen to some of

        22       the debate this afternoon, and I find it amusing

        23       because I hear people talking about commitments,











                                                             
3129

         1       and for 12 years under the previous administra

         2       tion, nobody knew what the word "commitment"

         3       meant.  I mean, we would giveth, we would taketh

         4       away, we would add, we would say we didn't do

         5       that, we didn't really mean that, and I just

         6       find it amazing that all of a sudden today,

         7       1995, new administration, new leadership in the

         8       Senate, we want to get a document done on time

         9       because that is a commitment.

        10                      There's a commitment to have a

        11       budget passed by April 1st, but obviously

        12       because we don't have all the players who want

        13       to come and play, at least we are going to abide

        14       by that commitment.  And you can get up -- and

        15       my friends on the other side of the aisle who I

        16       certainly respect and I know are always doing

        17       the best -- in the best interest of their

        18       constituents, let me just say something to you.

        19                      Don't worry about my district.

        20       I'll take care of my district.  Worry about

        21       helping us get the Assembly Democrats to get a

        22       budget done on time by April 1st.  That's the

        23       commitment you ought to be worrying about,











                                                             
3130

         1       because there's people in this state that need

         2       this document.  They need the programs that are

         3       here, and for those of you who have sat like I

         4       have and listened and met with people and shared

         5       their concerns, if you really cared about them,

         6       you would move forward and you would try to

         7       bring this thing to finality.

         8                      So, Mr. President, I vote aye and

         9       I say that we get this budget done on time.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Libous in the affirmative.

        12                      THE SECRETARY:  Senator Maltese.

        13                      SENATOR MALTESE:  Aye.

        14                      THE SECRETARY:  Senator

        15       Marcellino.

        16                      SENATOR MARCELLINO:  To explain

        17       my vote.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Marcellino to explain his vote.

        20                      SENATOR MARCELLINO:  I rise to

        21       explain this particular vote because I heard one

        22       of the learned colleagues on the other side,

        23       Senator Dollinger, talk about not taking credit











                                                             
3131

         1       for various things that may not at present be in

         2       the budget.

         3                      What I will take care of or take

         4       credit for in my particular district is an

         5       improved fiscal environment that I believe this

         6       budget will create, jobs that would lead into my

         7       area, jobs which have been lost to other states

         8       and other areas out of the New England area, tax

         9       cuts that my people need, the limitation of a $5

        10       billion deficit that is dragging the state down

        11       and down and down and down, and there's no

        12       argument about that.  $5 billion has to be made

        13       up somewhere, and it's painful.  It's not

        14       pleasant.

        15                      I don't like going back to my

        16       people and telling them that they can't have "X"

        17       and they can't have "Y" because they've always

        18       gotten it in the past.  I don't like to be the

        19       person to tell them that the bucket is empty

        20       when others who preceded me have filled it up.

        21       The bucket is empty.

        22                      And I will take credit for

        23       reduced spending.  For the first time in many,











                                                             
3132

         1       many years, this state budget will reduce

         2       spending, not by gimmicks, not through nonsense,

         3       but through reality.  When I ran in the special

         4       election, my opponent made the Governor's budget

         5       the issue.  This was supposed to be the issue

         6       that was going to defeat me, and I ran on the

         7       Governor's budget, and I said I would stand with

         8       the Governor, and I did, and I won two to one.

         9                      I say to you, ladies and

        10       gentlemen, this budget is the right thing to do,

        11       and I thank you for being patient; I thank you

        12       for listening me, and I thank Senator Gold for

        13       being kind and not beating me up before.

        14                      I vote aye, sir.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Marcellino in the affirmative.

        17                      THE SECRETARY:  Senator Marchi.

        18                      SENATOR MARCHI:  Mr. President, I

        19       merely want to point out that the road to a

        20       happy conclusion to this whole budget drama

        21       receives a very substantial start and statement

        22       here.

        23                      What troubles me is the funereal











                                                             
3133

         1       silence at the other end of the third floor, and

         2       it is not an adequate substitute for a meaning

         3       ful joinder of the issue.

         4                      I think when that takes place,

         5       Mr. President, that most of us will be pleased

         6       with what we could do this year in turning this

         7       state around and also meeting some of the

         8       concerns that have surfaced even during the

         9       course of today's debate.

        10                      I vote aye.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Marchi in the affirmative.

        13                      THE SECRETARY:  Senator

        14       Markowitz.

        15                      SENATOR MARKOWITZ:  Mr.

        16       President.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Markowitz to explain his vote.

        19                      SENATOR MARKOWITZ:  I've heard

        20       your comments, Senator Marchi.  It's not that

        21       the other side of the house are quiet.  They're

        22       attempting to do it with much greater sensitiv

        23       ity and care and respect for the people that











                                                             
3134

         1       they serve at our end.

         2                      I believe very clearly that the

         3       era we've entered into of selfishness and do

         4       less with less government approach will be a

         5       short lived one.  That's what I pray and hope

         6       because, unlike our new Senator from Long

         7       Island, you can go back and tell your folks that

         8       they have to do with less, and if they respond

         9       to that appeal, then I think they should do with

        10       less, but I have to tell you that there are

        11       communities in this state that need greater

        12       attention, and the role of government, in my

        13       opinion, is to provide to those in need.  That's

        14       our role, to provide to those in need, to

        15       provide a helping hand, to help make our

        16       residents live the best that they can live in

        17       our society, and we take different approaches.

        18                      I said it yesterday.  I'll say it

        19       again today, and I know that I will definitely

        20       say it again tomorrow.  We have a different

        21       philosophy here.  You want to do less with less

        22       and I want to do more for those that genuinely

        23       need it, because I believe when you help those











                                                             
3135

         1       greatest in need, you help everyone in the state

         2       of New York.

         3                      I vote no.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Markowitz in the negative.

         6                      THE SECRETARY:  Senator Maziarz.

         7                      SENATOR MAZIARZ:  Aye.

         8                      THE SECRETARY:  Senator Mendez.

         9                      SENATOR MENDEZ:  No.

        10                      THE SECRETARY:  Senator

        11       Montgomery.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Montgomery to explain her vote.

        14                      SENATOR MONTGOMERY:  Yes, Mr.

        15       President, to explain my vote briefly.

        16                      I am just compelled to vote no on

        17       this budget.  I think it really does not make

        18       the kind of statement that we talk about when

        19       we're out campaigning because there's not one

        20       new dollar that I can find.  I do not find any

        21       new appropriations in this budget for the Divi

        22       sion for Youth, for building youth facilities in

        23       my district or anywhere in the state, but I do











                                                             
3136

         1       see $250 million in new appropriations in

         2       addition to a reappropriation of some $900

         3       million for prison facilities to be renovated,

         4       restored, maintained, brought up to standards,

         5       removal of asbestos, all of the things that we

         6       certainly want to see done but we seem to be

         7       more willing to do it to prisons than we are

         8       willing to do it for children in schools and in

         9       youth facilities across the state.  So that in

        10       and of itself is enough for me to vote against

        11       the budget.

        12                      I vote no for that reason along

        13       with all of the other important issues that have

        14       been raised here, but that to me sends a message

        15       to young people in my district that I cannot

        16       support.

        17                      I vote no.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Montgomery in the negative.

        20                      THE SECRETARY:  Senator Nanula.

        21                      SENATOR NANULA:  No.

        22                      THE SECRETARY:  Senator Nozzolio.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3137

         1       Nozzolio to explain his vote.

         2                      SENATOR NOZZOLIO:  Thank you, Mr.

         3       President.

         4                      Mr. President, my colleagues,

         5       we've heard much about what is not in this

         6       document today.  I'm very pleased what is in

         7       this document which, in my opinion, will help

         8       revolutionize much of the way prisoners are

         9       incarcerated in this state today.

        10                      This budget contains a provision

        11       to convert the Willard Psychiatric Center into a

        12       drug and alcohol rehabilitation and detention

        13       center, taking those who need treatment, those

        14       who are committing crimes because of their drug

        15       or alcohol addiction and putting them in a set

        16       ting of genuine rehabilitation.  It is a proced

        17       ure, a policy, in my view, that will revolution

        18       ize the way our substance abuse criminals are

        19       dealt with in this state, providing them an

        20       opportunity for genuine rehabilitation.

        21                      It also serves, by doing this, to

        22       keep the prospect of building new prisons down

        23       in the sense that it will free up cell space and











                                                             
3138

         1       dormitory space that could otherwise be used to

         2       serve and to house those who have committed vio

         3       lent crimes, in conjunction with the Governor's

         4       decision to ensure that violent criminals will

         5       be kept in prison as opposed to being let out

         6       through work release before their sentence is

         7       up.

         8                      This provision will ensure that

         9       our state will receive millions of dollars in

        10       assistance from the federal government through

        11       the federal crime bill, and it's absolutely

        12       essential in our efforts to crystalize a new day

        13       for criminal justice in this state.

        14                      It will enhance the economy of

        15       the Central Finger Lakes and, as such, I believe

        16       it is necessary, and I applaud the Governor and

        17       this Legislature and Senator Bruno for putting

        18       it in a capital budget.

        19                      Thank you, Mr. President.

        20                      ACTING PRESIDENT KUHL:  How do

        21       you vote, Senator Nozzolio?

        22                      SENATOR NOZZOLIO:  I vote aye.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3139

         1       Nozzolio in the affirmative.

         2                      The Secretary will continue to

         3       call the roll.

         4                      THE SECRETARY:  Senator Onorato.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Onorato to explain his vote.

         7                      SENATOR ONORATO:  To explain my

         8       vote.

         9                      Mr. President, I generally vote

        10       along with my colleagues on most budgets since I

        11       have been here, but today's budget doesn't

        12       restore my faith in this legislative body.

        13                      We have been talking about all of

        14       the cuts that are necessary and how much pain we

        15       have to inflict across the state, but I don't

        16       see that pain being inflicted uniformly across

        17       the board.

        18                      We did not fulfill our

        19       commitments that we made in last year's budget,

        20       and this budget today does not correct that

        21       inequity.  We were able to identify today $27

        22       million of committed funds that were unfunded.

        23       I don't know if those funds will be refunded or











                                                             
3140

         1       not.  Maybe as a result of today's debate, they

         2       will be, but until such time that these funds

         3       that we committed that were spent by our

         4       localities is restored to this budget, to

         5       restore our integrity, to restore the belief in

         6       the public that what we passed in this

         7       legislative body really means something, I am

         8       forced under the circumstances to vote no.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Onorato in the negative.

        11                      THE SECRETARY:  Senator

        12       Oppenheimer.

        13                      SENATOR OPPENHEIMER:  On -- yes,

        14       I would like to explain.

        15                      I will be voting no, and I think

        16       Senator Onorato covered why -- why I will be,

        17       and that is that, in so many instances where we

        18       promised in the last budget and we are not

        19       delivering, that means but one thing to the

        20       constituents that I represent.

        21                      That means that our property

        22       taxes are going to have to bear that because we

        23       are already -- we have already built or we are











                                                             
3141

         1       in the process of building and we will not get

         2       the money that was assigned.  We knew it was

         3       coming from the state, and somehow the state

         4       isn't fulfilling its promise and, therefore, the

         5       increase in property tax is going to be

         6       extremely burdensome, and we were promised that

         7       this would not happen, and it is happening.

         8                      And, therefore, I'm going to

         9       register a no vote.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Oppenheimer in the negative.

        12                      THE SECRETARY:  Senator Padavan.

        13                      SENATOR PADAVAN:  Yes.

        14                      THE SECRETARY:  Senator Paterson.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Paterson to explain his vote.

        17                      SENATOR PATERSON:  Mr. President,

        18       I received a letter the other day from Maria

        19       Linnell who lives on Columbus Avenue in my

        20       district who is a constituent of mine who

        21       believes, if you read this letter, that I am a

        22       Republican.

        23                      She said that because she has











                                                             
3142

         1       voted for Republicans her entire life and that

         2       she voted for me as a Republican.  She is angry

         3       that we -- "we" Republicans are not passing this

         4       budget on time and we are cutting services to

         5       different areas that she doesn't think should be

         6       cut.

         7                      So with that kind of attitude in

         8       the atmosphere, I think that this letter gives

         9       me a unique understanding of the Majority's

        10       position today, and I can understand why there

        11       would be a need to put these bills out before

        12       April 1st, even though we're probably going to

        13       have to come back and do it all over again, and

        14       I think that there's pretty much been through

        15       the contentiousness of this debate some honesty

        16       about the fact that these bills are going to be

        17       debated again, but the reason that the

        18       amendments were put forth and the reason that we

        19       have been talking about some restorations to

        20       areas where we promised money in a previous

        21       budget and did not deliver, that the individuals

        22       who live in that district and the officials who

        23       try to administer government in those areas











                                                             
3143

         1       relied to their detriment on our promise is

         2       because since we are going through the process

         3       of actually passing a budget, whatever happens,

         4       we who are on this side of the aisle thought

         5       that we should do it honestly, and that's why we

         6       offered these amendments.

         7                      We are pretending that this is

         8       the real budget.  That's what we were asked to

         9       come here to do and that's what we've done.  I

        10       don't understand why there was any real problem

        11       with that.  It's an imaginary process, and so we

        12       had some imaginary ideas to solve some -

        13       provide some solutions.

        14                      Because of the fact that there

        15       was not an acceptance of the well-meaning

        16       suggestions that we include those in the process

        17       who were left out after they were included

        18       before, I would like to vote no, Mr. President.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Paterson in the negative.

        21                      THE SECRETARY:  Senator Present.

        22                      SENATOR PRESENT:  Aye.

        23                      THE SECRETARY:  Senator Rath.











                                                             
3144

         1                      SENATOR RATH:  Aye.

         2                      THE SECRETARY:  Senator Saland.

         3                      (There was no response.)

         4                      Senator Santiago, excused.

         5                      Senator Sears.

         6                      SENATOR SEARS:  Aye.

         7                      THE SECRETARY:  Senator Seward.

         8                      SENATOR SEWARD:  Aye.

         9                      THE SECRETARY:  Senator Skelos.

        10                      SENATOR SKELOS:  Aye.

        11                      THE SECRETARY:  Senator Smith.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Smith to explain her vote.

        14                      SENATOR SMITH:  Mr. President,

        15       I'm very glad today that we have not been

        16       required to put up a performance bond because,

        17       if we were, it would have been revoked, because

        18       each day we continue to perpetuate a fraud and a

        19       sham on the people of the state of New York,

        20       yesterday and again today, with a one-house

        21       budget, and I'm still waiting for the people of

        22       the state of New York to come down upon our

        23       heads and it should be soon.











                                                             
3145

         1                      I vote no.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Smith in the negative.

         4                      THE SECRETARY:  Senator Solomon.

         5                      SENATOR SOLOMON:  Thank you, Mr.

         6       President.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Solomon to explain his vote with a little bit of

         9       help.

        10                      SENATOR SOLOMON:  You broke my

        11       train of thought.  I guess "train" is the

        12       appropriate -- train is the appropriate word

        13       here.

        14                      I guess we're going to see in the

        15       passage of this budget -- of course, whether or

        16       not this is the real budget, I tend to doubt.  I

        17       remember Robert Moses came up with a legislative

        18       trick in the early 1920s, and he said, "You know

        19       something, if you start a public project, even

        20       if there aren't funds for it, it has to be

        21       finished from some place, whether it's local

        22       taxes, state taxes; you have to get the money

        23       for it.  Very rarely do you stop public











                                                             
3146

         1       projects" and, unfortunately, I think what's

         2       going to be proven in this project is the Robert

         3       Moses theory continues to hold for public

         4       projects.

         5                      Because, in reality, the city of

         6       New York found out during the fiscal crisis they

         7       closed some projects.  It cost them more to

         8       reopen and complete those projects than if they

         9       had completed them at the very beginning.

        10                      I think that's what this budget

        11       is going to show.  It's going to cause some

        12       localities to raise taxes, property taxes.  It's

        13       going to cause a lot of harm on other

        14       localities.  I don't know if there are other

        15       contracts, if there's a stadium, if there are

        16       contracts to actually run the stadium, there may

        17       even be an events book, which there are now

        18       going to be contracts that might be breached.

        19                      I think this is a problem that we

        20       have.  Passing this budget is going to cause a

        21       lot of pain and a lot of grief and, unfortunate

        22       ly, it's not going to be spread evenly.

        23                      I vote no.











                                                             
3147

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Solomon in the negative.

         3                      THE SECRETARY:  Senator Spano.

         4                      SENATOR SPANO:  Aye.

         5                      THE SECRETARY:  Senator

         6       Stachowski.

         7                      SENATOR STACHOWSKI:  No.

         8                      THE SECRETARY:  Senator Stafford.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Stafford to explain his vote.

        11                      SENATOR STAFFORD:  Mr. President,

        12       this is a long day.  Senator Marchi said to me,

        13        -- a few minutes ago reminded me, I think it

        14       was Caesar that said gallia -- omnia gallia est

        15       divisa in tres partes.  I think that means that

        16       all gall can be divided into three parts.  The

        17       gall here today that we heard at times, I assure

        18       you, can be divided into three parts:  Politics,

        19       politics, and politics.

        20                      We're doing a job here today.

        21       We're making sure that we carry out what we've

        22       heard last fall and we're passing a budget as

        23       has been pointed out by our Leader many times,











                                                             
3148

         1       and I can only say this is within the framework

         2       of what we're doing so that we no longer spend

         3       more than we take in.

         4                      Thank you.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Stafford in the affirmative.

         7                      THE SECRETARY:  Senator Stavisky.

         8                      (There was no response.)

         9                      Senator Trunzo.

        10                      SENATOR TRUNZO:  Yes.

        11                      THE SECRETARY:  Senator Tully.

        12                      SENATOR TULLY:  Aye.

        13                      THE SECRETARY:  Senator Velella.

        14                      SENATOR VELELLA:  Yep.

        15                      THE SECRETARY:  Senator Volker.

        16       Senator Volker.

        17                      SENATOR VOLKER:  Yes.

        18                      THE SECRETARY:  Senator Waldon.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Waldon to explain his vote.

        21                      SENATOR WALDON:  Thank you very

        22       much, Mr. President, my colleagues.

        23                      I must vote no on this bill, and











                                                             
3149

         1       there are many reasons.  Let me count the ways,

         2       I could say, but I won't.  I'll give you but

         3       three for openers.

         4                      One, in my district, there's a

         5       place called the Rockaways, and over the period

         6       of the last few years, the Rockaways have been

         7       visited by severe storms, and the beach that was

         8       once so beautiful and once able to support life

         9       in such a fine fashion now is almost

        10       non-existent, and this budget moves $800,000

        11       that would have been for the nourishment of that

        12       beach.

        13                      My three reasons are very

        14       parochial.  The second, though parochial, is in

        15       a different way parochial.  Sophie Davis

        16       Biomedical School at CUNY, and that would allow

        17       doctors to emerge from my community, be they

        18       black, be they white, be they Latino, but they

        19       would be from the City and they would be

        20       available to serve the under-served in the city

        21       of New York, and we sorely need that.  That has

        22       been removed at the tune of $14 million.

        23                      Some years ago as a young police











                                                             
3150

         1       officer I wanted to go back to school and finish

         2       my education, and because I was working around

         3       the clock, there was no place to go which could

         4       accommodate my need except at that time the

         5       College of Police Science now known as John

         6       Jay.  We twice put in our budgets over the

         7       previous two years $10 million for phase two and

         8       now that has been removed.

         9                      The week before last I was in the

        10       office of Jerry Lynch and he exacted a promise

        11       from me and the promise was that, if this item

        12       can be saved, I will do all that I can do to

        13       save it.  I don't know if there's anything I can

        14       do to save it, but at least I can go on record

        15       that I'm disturbed and distressed by the fact

        16       that there's no funding in this budget, in this

        17       capital budget, for the John Jay College of

        18       Criminal Justice of which I am an alum.

        19                      In thinking about my vote, Mr.

        20       President and my colleagues, I recall seeing the

        21       Wizard of Oz.  I remember Dorothy clicking her

        22       heels, returning to Kansas, she and Toto.  They

        23       experienced the munchkins and they experienced











                                                             
3151

         1        -- and they had at the time experienced that Oz

         2       was not Oz, but merely a charade, some might

         3       characterize it as he was a canard, a big lie.

         4                      I don't think that we're in

         5       Kansas, we're in New York, and this is not a

         6       charade, this is real.  We're talking about

         7       people being able to live well and not live

         8       well.

         9                      And for all of those reasons, I

        10       now click my heels and vote in the no.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Waldon in the negative.

        13                      THE SECRETARY:  Senator Wright.

        14                      SENATOR WRIGHT:  Aye.

        15                      ACTING PRESIDENT KUHL:  The

        16       Secretary will call the absentees.

        17                      THE SECRETARY:  Senator Saland.

        18                      SENATOR SALAND:  Aye.

        19                      THE SECRETARY:  Senator Stavisky.

        20                      (There was no response.)

        21                      ACTING PRESIDENT KUHL:  Announce

        22       the results.

        23                      THE SECRETARY:  Ayes 36, nays 22.











                                                             
3152

         1                      ACTING PRESIDENT KUHL:  The bill

         2       is passed.

         3                      SENATOR SOLOMON:  Mr. President.

         4                      ACTING PRESIDENT KUHL:  The Chair

         5       would recognize Senator Solomon.

         6                      SENATOR SOLOMON:  Yeah, Mr.

         7       President.  I would like unanimous consent to be

         8       recorded in the negative on Calendar Number 218.

         9                      ACTING PRESIDENT KUHL:  Without

        10       objection, Senator Solomon will be recorded in

        11       the negative on Calendar Number 218.

        12                      SENATOR SOLOMON:  And, Mr.

        13       President, I would like the record to reflect

        14       that, if I had been in the chamber to vote on

        15       Calendar Number 289, I would have voted in the

        16       negative.

        17                      ACTING PRESIDENT KUHL:  The

        18       calendar will reflect, Senator Solomon, that had

        19       you been in the chamber when the vote was taken

        20       on Calendar Number 289 that you would have voted

        21       in the negative.

        22                      The Chair recognizes Senator

        23       Leichter.











                                                             
3153

         1                      SENATOR LEICHTER:  Yes, Mr.

         2       President.  Thank you.

         3                      With the consent of the Majority

         4       Leader, I'm going to ask you, Mr. President, to

         5       welcome to our chamber a colleague of ours from

         6       Massachusetts, state Senator Lois Hines from

         7       Massachusetts who's here visiting with us today

         8       and who will also give a speech, an exploration

         9       of the Massachusetts experience on welfare

        10       reform, and I particularly invite my good friend

        11       Senator Joe Holland to come and join and listen

        12       to the experience of our sister state on this,

        13       and we'll do that after this session is over.

        14                      Mr. President, if you would

        15       welcome her to our house, I'd appreciate it.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Leichter, thank you for bringing it to our

        18       attention.

        19                      Senator Hines, very nice of you

        20       to be here with us.  Thank you for sharing some

        21       time.

        22                      (Applause.)

        23                      Senator Skelos.











                                                             
3154

         1                      SENATOR WALDON:  Thank you,

         2       Senator Skelos.

         3                      If I may, Mr. President.  I

         4       respectfully request unanimous consent to be

         5       recorded in the negative on 218, Calendar 218,

         6       and I respectfully request the record to show

         7       that, had I been present and in the chamber for

         8       our vote on Calendar 289, I would have voted in

         9       the no.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Waldon, without objection, you will be recorded

        12       in the negative on Calendar Number 218, and the

        13       record will reflect that, had you been in the

        14       chamber when the vote was taken on Calendar

        15       Number 289 that you would have voted in the

        16       negative.

        17                      Senator Skelos.

        18                      SENATOR SKELOS:  Yes, Mr.

        19       President.  At this time, I would like to call

        20       up Calendar Number 290, S.3683, and ask that the

        21       last section be read and the roll call opened

        22       for two members to vote at this time.

        23                      ACTING PRESIDENT KUHL:  The











                                                             
3155

         1       Secretary will read Calendar Number 290, Senate

         2       Print 3683.

         3                      THE SECRETARY:  Calendar Number

         4       290 by Senator Bruno, Senate Print 3683, an act

         5       to amend the Environmental Conservation Law, the

         6       State Administrative Procedure act, the Public

         7       Health Law and the State Finance Law.

         8                      ACTING PRESIDENT KUHL:  Read the

         9       last section.

        10                      THE SECRETARY:  Section 33.  This

        11       act shall take effect immediately.

        12                      ACTING PRESIDENT KUHL:  Call the

        13       roll.

        14                      (The Secretary called the roll.)

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Skelos.

        17                      SENATOR SKELOS:  Please recognize

        18       Senator Goodman for the purpose -

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Goodman, how do you vote, sir?

        21                      SENATOR GOODMAN:  In the

        22       negative, sir.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3156

         1       Goodman recorded in the negative.

         2                      SENATOR SKELOS:  Please recognize

         3       Senator Gold.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Gold, how do you vote?

         6                      SENATOR GOLD:  On the advice of

         7       Senator Goodman, in the negative.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Gold in the negative.

        10                      Senator Solomon, how do you

        11       vote?

        12                      SENATOR SOLOMON:  In the

        13       negative.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Solomon recorded in the negative.

        16                      SENATOR SKELOS:  Senator Leibell.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Leibell, how do you vote?

        19                      SENATOR LEIBELL:  Negative.

        20                      SENATOR SKELOS:  Would you please

        21       close the roll and an explanation has been

        22       requested.  That's it.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3157

         1       Solomon -- excuse me.  Senator Leibell is

         2       recorded in the negative.  Roll call is

         3       withdrawn.

         4                      Senator Kruger.

         5                      SENATOR KRUGER:  Mr. President, I

         6       would ask as well to be recorded in the

         7       negative.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Skelos, Senator Kruger is asking permission to

        10       be recorded on this roll call.

        11                      SENATOR SKELOS:  Without

        12       objection.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Kruger is recorded in the negative on Calendar

        15       Number 290.  The roll call is withdrawn.

        16                      The Secretary will read the last

        17       section.

        18                      THE SECRETARY:  Section 33.  This

        19       act shall take effect immediately.

        20                      ACTING PRESIDENT KUHL:  Call the

        21       roll.

        22                      SENATOR OPPENHEIMER: Explanation.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3158

         1       Bruno.

         2                      SENATOR BRUNO:  That was very

         3       good, Mr. President.

         4                      Thank you.

         5                      ACTING PRESIDENT KUHL:  An

         6       explanation has been asked for by Senator

         7       Oppenheimer.  Will you be handling the debate or

         8       will Senator Johnson?

         9                      SENATOR BRUNO:  Senator Johnson.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Johnson, an explanation has been asked for by

        12       Senator Oppenheimer.

        13                      SENATOR BRUNO:  Mr. President, if

        14       I may, I would like to just say a few words

        15       because this relates to deregulation in the

        16       Environmental Conservation Committee, as you

        17       well know, and of all the committees -- of all

        18       of the commissions in this state that have

        19       inhibited the growth of business, it probably

        20       has been EnCon, and the main reason has to do

        21       with over -- being overly zealous and having

        22       over-regulated.  So this is an attempt to turn

        23       things around and let the business people in











                                                             
3159

         1       this state know that this Governor and we

         2       understand that what's going on in the past

         3       can't continue in the future.

         4                      So I'm asking our colleagues to

         5       join with us, Mr. President, in supporting this

         6       very necessary legislation.

         7                      Thank you.

         8                      Senator Johnson.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Johnson for an explanation.

        11                      SENATOR JOHNSON:  Mr. President,

        12       my colleagues, as we sit here today, the U.S.

        13       Senate is presently debating a bill on

        14       regulatory reform.  It's very similar to this

        15       bill and to the previous regulatory reform bill,

        16       S.3682, debated earlier today by Senator Rath.

        17                      A similar measure was passed in

        18       the House of Representatives last month by a

        19       vote of 286 to 141. The federal measure requires

        20       a cost/benefit analysis and an enlightened

        21       "brownfields" policy and other reforms such as

        22       contained in today's reform bills.

        23                      I would like to read a little











                                                             
3160

         1       something here I got off the news wire a short

         2       time ago.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Johnson, will you pardon an interruption, sir?

         5                      Ladies and gentlemen, can we take

         6       the conversations out of the chamber?  There's a

         7       lot of movement in the back.  Members please

         8       take their seats.  It's getting rather difficult

         9       to hear the debate, and this is a very serious

        10       topic that we're addressing.

        11                      Senator Johnson.

        12                      SENATOR JOHNSON:  Thank you, Mr.

        13       President.

        14                      I'm sorry, I have to apologize

        15       for my voice, but I'll do the best I can.

        16                      This is an article and the

        17       caption is "Clinton Regulation", might be of

        18       interest to the other side of the aisle

        19       particularly.  "Trying to beat Republicans to

        20       the punch, President Clinton today promised to

        21       make it easier for businesses to comply with

        22       federal rules on drugs, medical devices and the

        23       environment.  'We will stop playing "gotcha"











                                                             
3161

         1       with decent, honest business people,' the

         2       President said after unveiling a series of steps

         3       to streamline regulation by the FDA and the

         4       Environmental Protection Agency.

         5                       "The changes include allowing

         6       regulators to weigh fines for businesses that

         7       violate negligible rules, giving small business

         8       a six-month grace period to correct violations,

         9       consolidating federal air rules and allowing

        10       drug companies to change the way they make some

        11       drugs without government approval.

        12                       "Clinton chose a print shop in

        13       nearby Arlington, Virginia for the announcement,

        14       underscoring his emphasis on reducing the

        15       regulatory burden on small businesses.  Custom

        16       print owner Stu McMichael now fills out 20 toxic

        17       emission forms.  Clinton's reforms will reduce

        18       his paperwork to one form."

        19                      Some of the other notes here on

        20       the Clinton plan, "reduce overall EPA reporting

        21       and record-keeping requirements by 25 percent,

        22       gives small business a grace period to correct

        23       EPA violations, simplify reporting requirements











                                                             
3162

         1       for air, water and waste emissions, reduce

         2       penalties for companies that take responsibility

         3       for finding and fixing environmental

         4       violations", and on, and on, and on.

         5                      And what this says, Mr. President

         6       and my colleagues, is that we have dropped the

         7       ball in this state.  While the members in this

         8       house of both parties supported the reforms

         9       which I had advanced in 1993 and 1994 and

        10       reforming environmental regulations by

        11       considerable margins, I might add, neither the

        12       Assembly or the previous governor gave a

        13       nickel's worth of support for our regulatory

        14       reform efforts, and now we find that other

        15       states and the federal government have to jump

        16       on us by advancing reforms in which our state,

        17       New York State, could have been the leader and

        18       should have been the leader.

        19                      To return to the bill before us,

        20       it's based loosely on 9 of the 21 recom

        21       mendations which were developed as a result of a

        22       series of EnCon hearings we held -- myself,

        23       Senator Rath, Senator Wright, Senator Daly,











                                                             
3163

         1       Senator Pataki at that time and Senator Spano,

         2       in the fall of '93 and resulted in this report

         3       that we published just about a year ago today.

         4                      During the 1994 session, many of

         5       the ingredients in the present bill before us,

         6       as well as from this -- from this report were

         7       passed by separate items in this house with the

         8       support of the Majority, including, certainly,

         9       the Democrats, as well as Republicans.

        10                      I would like to tell you a little

        11       bit about this bill.  Some of the things this

        12       bill will do will try to reverse the adversarial

        13       relationship which existed over the years

        14       between the DEC and government, and it's kind of

        15       interesting, this little article was in the

        16       paper here a couple days ago, it said, "a Kodak

        17       blast versus the DEC.  State environmental

        18       regulations help Eastman Kodak Company decide to

        19       add jobs in Colorado, rather than Rochester and

        20       force them to meet standards that had little

        21       scientific basis, the company's top

        22       environmental officials said at a conference

        23       here."











                                                             
3164

         1                      The official said, quote, "I

         2       considered making a new color print product that

         3       Kodak bought in 1991 but decided it would take

         4       too long to get the necessary permits from the

         5       Department of Environmental Conservation.  We

         6       recognize it may take months of delays so we

         7       decided to do it in Colorado.  "The venture now

         8       employs 70 people in Colorado.  It could grow to

         9       200", he said, and one of the other problems

        10       that they had with DEC besides the delay in

        11       getting the permits was that the other problem

        12       was DEC's use of informal guidelines rather than

        13       formal regulations to force strict pollution

        14       standards, and he said that it forced to do -

        15       it forced the company to do costly remediation

        16       which had no scientific basis for being done.

        17       He said the state needs laws and rules to

        18       protect the environment but cost/benefit

        19       analysis should be used to decide whether to

        20       adopt a regulation.

        21                      What I'm talking about here, what

        22       Senator Rath talked about this morning, what we

        23       talked about a year ago when we debated these











                                                             
3165

         1       bills is that there should be some rational

         2       basis for regulation, and it shouldn't be that,

         3       because we can do it, we're going to do it,

         4       period.  That's what's driven business out of

         5       this state.

         6                      So what we want to do is identify

         7       overly burdensome and outdated regulations and

         8       provide a mechanism for getting rid of those

         9       regulations which are unnecessary; sunset all

        10       new environmental regulations after five years;

        11       stop penalizing non-responsible parties; ensure

        12       environmental regulations are consistent with

        13       the laws which are adopted in this body to deal

        14       with it and not to go beyond those laws; provide

        15       incentives for voluntary disclosure and

        16       remediation of environmental problems; provide a

        17       grace period for people to allow the person

        18       responsible for minor violations to correct it

        19       or to be in compliance instead of just

        20       penalizing them and closing them down; and

        21       create specific departments to assist business,

        22       regulatory compliance; provide public access to

        23       all internal policy documents and memorandums,











                                                             
3166

         1       and that's what Kodak was talking about.  They

         2       come up with their own rules and regulations as

         3       they go along.  You never know where you stand.

         4                      The creative bodies in the DEC

         5       consistently come up with new regulations which

         6       may not have any connection with the law or they

         7       just dreamed up a new one that they say it's not

         8       a regulation, it's a guidance memorandum, it's a

         9       technical document, but it's not a regulation,

        10       but if you don't it, we'll penalize you, fine

        11       you, close you down, and overall to make the

        12       department more environmentally friendly.

        13                      This is called the Environmental

        14       Regulatory Act of 1995.  I think it's perhaps

        15       appropriate to let other people address their

        16       concerns about it or ask questions, and I would

        17       do so at this time.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Oppenheimer.

        20                      SENATOR OPPENHEIMER:  A couple of

        21       things that I have been able to make out that

        22       was said.  Sometimes it's very hard to hear on

        23       this side of the aisle.











                                                             
3167

         1                      To Senator Bruno, something that

         2       he said.  It appears that the other side of the

         3       aisle seems to be making out business to be the

         4       enemy of environmental protection, and that is

         5       very upsetting to me.  We have, in fact, in most

         6       of our states, where our economies are

         7       strongest, we see our strongest environmental

         8       law, and I would very much wish that we would

         9       stop trying to pose these two as enemies to each

        10       other, because it certainly is not the

        11       experience of the very successful states in our

        12       Union.

        13                      In listening to what was said, I

        14       believe that was a report on President Clinton's

        15        -- a news release on President Clinton's

        16       proposals.  Let me say that I would strongly

        17       support reductions in paperwork which is one of

        18       the chief items in that response that you just

        19       gave us, and also, I would strongly support

        20       speeding up our response so that people coming

        21       before our DEC or our DOH can get a prompt

        22       response.  That's only appropriate and civil,

        23       and I think that's the way we should be going.











                                                             
3168

         1                      However, this bill, I think -- we

         2       have three smokestacks from the Environmental

         3       Planning Lobby, and I really think it's worthy

         4       of four smokestacks or maybe it's worthy of 500

         5       smokestacks.  This is really an attack, the bill

         6       before us, on citizens' health and environmental

         7       health and protection of all of our natural

         8       resources.  It's, I think, a potential war on

         9       every environmental and health measure that we

        10       have ever passed in -- in this Legislature.

        11                      I was looking at -- many key

        12       terms are -- are undefined, and that is an

        13       enormous problem.  For example -- and I'll quote

        14       here from Section 17 -- "requires that each

        15       agency, including DEC and DOH, identify all

        16       regulatory programs that," here we quote,

        17        "impose unnecessary burdens on the regulated

        18       public" and another one, to, quote, "identify

        19       obsolete rules", and "each agency shall",

        20       another quote, "identify rules and regulations

        21       that warrant amendment or repeal", and here's

        22       another quote, "modify the rules accordingly."

        23                      These terms aren't -- are not











                                                             
3169

         1       defined in the least and, you know, there's no

         2        -- no legal framework, and DEC and DOH can just

         3       go around dismantling our existing laws based

         4       on, you know, very nebulous words.  I mean, what

         5       really constitutes unnecessary burden or

         6       obsolete rules?

         7                      I would like to mention something

         8       else that I spoke earlier about, and that is

         9       that the state can't promulgate more stringent

        10       law than the federal government has enunciated

        11       and passed, and this is very disturbing, because

        12       we may have problems in New York State that are

        13       severe to our state, but there is no federal law

        14       that really deals with the severity of the issue

        15       in our state, and we should be able in this

        16       state to meet the needs of our water and our

        17       air, and it says that we may not promulgate laws

        18       in New York that are more stringent than the

        19       federal government.

        20                      Also, another provision that

        21       requires that each rule adopt a sunset five

        22       years after it's promulgated.  I think you're

        23       going to need an army of people in DEC and DOH











                                                             
3170

         1       to evaluate all of these laws every five years,

         2       and people would not be able to act in reliance

         3       on any laws because they wouldn't know which are

         4       going to be reviewed in five years and deter

         5       mined to be unimportant and then be negated.

         6                      It's just -- I have more

         7       questions on this very nondescript, very obscure

         8       language, like who's going to know what's a

         9       minor violation?  Are we giving discretion

        10       totally to DEC to determine what is a minor -

        11       minor, you know, violation?

        12                      And then I see that DEC is

        13       prohibited from enforcing the law against any

        14       violator who discloses such a violation.  I can

        15       see a whole lot of widespread abuse in this

        16       one.  I mean, if he comes and tells us that he's

        17       violating, then we're just going to say, "Fine.

        18       Clean it up," and then who's going to pursue to

        19       see if he is going to be cleaning up the mess

        20       that he's created?

        21                      It exempts persons who

        22       distribute, formulate or repackage restricted

        23       use pesticides from certification requirements.











                                                             
3171

         1       Now, this is a very keen concern to women

         2       because we have a lot of -- so far it's just

         3       anecdotal, we don't know for sure, but we do

         4       have anecdotal evidence that links pesticides

         5       and breast cancer and certain reproductive

         6       disorders.  So exempting these people is -- is a

         7       very fearsome, very scary concept.

         8                      At any rate, I feel that this -

         9       this bill should have maybe 100 smokestacks

        10       because I see it as gutting all of the

        11       legislation that we have put in place over a

        12       decade or two with much effort and really an

        13       attack on citizens' health and our environmental

        14       health, and I would urge all my colleagues to

        15       vote against this bill.

        16                      ACTING PRESIDENT SEWARD:  Senator

        17       Mendez.

        18                      SENATOR MENDEZ:  Mr. President, I

        19       am going to support this bill.

        20                      For many, many years, the

        21       environmental agency has been practicing in my

        22       district what everybody knows is called

        23       environmental -- environmental racism.  The











                                                             
3172

         1       whole community in the Bronx, starting from the

         2       borough president down, my colleague, Joe

         3       Galiber, we fought and fought very hard to try

         4       to make this state agency be reasonable and take

         5       a real good look at the situation that -- and

         6       the danger to the health and to the environment

         7       of my constituents in that district when they

         8       insisted and persisted and placed their chemical

         9       incinerator, an incinerator that burns chemical

        10       waste.

        11                      I think that -- and so, in our

        12       neighborhoods like -- in neighborhoods that are

        13       similar to some parts of my district, the same

        14       complaint is heard over and over again.  The

        15       least that this bill will do, Mr. President, is

        16       to stop the arrogance, the utter arrogance and

        17       insensibility of some bureaucrats in that agency

        18       when they deal with problems with minority

        19       districts.

        20                      So that the issue that this bill

        21       will undo the good health, the good legislation

        22       in the area of health in New York State, that is

        23       a lot of bunk.











                                                             
3173

         1                      I think if you really look

         2       closely at most of the sections in this bill,

         3       they had been passed by the majority of all of

         4       us here, and now they are in an omnibus bill -

         5       which I think it's very good, and above all, as

         6       I said before, Mr. President, it will really

         7       make that state agency stop practicing

         8       environmental racism in the state of New York

         9       and be more sensitive to the needs of a good

        10       environment in neighborhoods such as the south

        11       Bronx, East Harlem, Bedford-Stuy' and Bushwick

        12       and many others throughout the state.

        13                      I will support -- I am very glad

        14       to stand up and support this bill.

        15                      ACTING PRESIDENT SEWARD:  Senator

        16       Leichter.

        17                      SENATOR LEICHTER:  Mr. President,

        18       we've had a long day and we talked about

        19       regulatory matters earlier today, and I think a

        20       lot of what was said at that time also applies

        21       with this bill, but I think that it's fair -

        22       it's fair to just focus on a few of the

        23       provisions of this bill because, really, what











                                                             
3174

         1       Senator Johnson does -- or Senator Bruno is the

         2       main sponsor, but Senator Johnson as the

         3       spiritual sponsor of this bill, and what it does

         4       really is to dismantle the environmental

         5       protection for the people of the state of New

         6       York, and I would just say to my good friend,

         7       Senator Mendez, that nobody needs environmental

         8       protection more than the people who live in your

         9       district and my district and urban areas, and to

        10       deny them the protection that this bill is going

        11       to -- is going to produce is really particularly

        12       harmful to people who come from these

        13       communities where, as Senator Mendez did say

        14       correctly, you find many environmental burdens

        15       placed on them.

        16                      Let me just point out a few of

        17       the provisions here that I think are highly

        18       unwise.  This bill provides that, after five

        19       years, every regulation which is enacted after

        20       the effective date of this bill will sunset.

        21       Now, you may have incredibly important,

        22       significant, protective regulations.  Why would

        23       you require those to sunset?  It's true, you can











                                                             
3175

         1       go through the entire process of readopting the

         2       regulations, but you ought to -- you ought to

         3       approach this the other way, which is, if a

         4       regulation is no longer needed, then maybe you

         5       can start a process of removing that regulation,

         6       but automatically, to say, "We're going to be

         7       devoid of any of these protective regulations",

         8       again, places people at risk.

         9                      There's a provision in there,

        10       limiting on-site monitors.  Why would you want

        11       to do that?  Why would you want to deny DEC the

        12       proper authority to put on on-site monitors when

        13       there's a serious environmental problem?  We

        14       know that there are people who, unfortunately,

        15       have dumped illegally.  We know that there's

        16       people who use chemicals, pesticides, other

        17       products which are dangerous, which can pollute

        18       our drinking water.  We know that there are

        19       companies that, through carelessness or

        20       unintentionally but, nevertheless, have polluted

        21       the air, DEC ought to be free to put on on-site

        22       monitors, and we should not decide in this

        23       fashion that we will handcuff the Department of











                                                             
3176

         1       Environmental Conservation in carrying out its

         2       function of protecting the public.

         3                      You know, I thought that Senator

         4       Oppenheimer stated very well, it's not a matter

         5       of the business community being set up against

         6       the rest of the public and that DEC has seen its

         7       job or that its function or role has been to

         8       impede and impair business.  Far from it.  We

         9       can harmonize in many ways, environmental

        10       concerns and business concerns, but there are

        11       times when we climb into public safety meaning

        12       that you've got to step in and there's some

        13       people doing things that are harmful to the

        14       environment, and I emphasize again, what we're

        15       talking about here is the health and the safety

        16       of people.

        17                      Let me just go to another

        18       provision.  This is one -- and we debated this

        19       last year when many of the provisions in this

        20       bill were set forth in separate bills, and this

        21       limits the Department of Environmental Conserva

        22       tion when it's considering an application, and

        23       it has asked for more information that, when











                                                             
3177

         1       that additional information comes, the Depart

         2       ment can't send it back and say, "Based on this

         3       additional information, we now have these other

         4       questions." It seems perfectly logical that, if

         5       additional material is submitted to the Depart

         6       ment, that it may then raise questions that the

         7       Department ought to be free to go into.

         8                      I think this is just an example

         9       of this bill which has everything but the

        10       kitchen sink thrown into it and it has this

        11       preconception that the Department of Environ

        12       mental Conservation and our regulations to

        13       protect the air and the water and to protect the

        14       beauty of this state somehow or other is

        15       impeding business and is causing the job loss

        16       that we've had in this state.  It just isn't

        17       so.

        18                      We've learned in the last 20, 30

        19       years important steps need to be taken to

        20       protect people from cancer-causing substances,

        21       to protect people from breathing unclean air and

        22       in large portions of our state, and in

        23       particular, in Senator Mendez' district, the air











                                                             
3178

         1       quality fails to meet federal standard.  People

         2       are drinking, in parts of our state, water that

         3       is not pure, but Senator Johnson wants to take

         4       away the powers of that agency which is supposed

         5       to help us get clean air, clean water and

         6       protect the beauty of this state.  I can't

         7       understand the sort of animosity, the antagonism

         8       to environmental regulation.

         9                      And I submit to you, Senator

        10       Johnson, that the people of this state want to

        11       be safe.  You might just as well say, "Well,

        12       we're going to get rid of police officers."

        13       Yes, DEC has some police functions and those are

        14       as important for our welfare as it is to have

        15       police officers.

        16                      So I would ask you, if you look

        17       at this bill, that you will see very much as

        18       your so-called welfare reform bill yesterday and

        19       the regulatory so-called reform bill that we had

        20       earlier today, it's sort of a collection of

        21       every ideological Republican right-wing approach

        22       and it's thrown into one bill, into one package,

        23       and what we get, I submit to you, is a real











                                                             
3179

         1       mishmash.

         2                      Some of the provisions here,

         3       we've supported in the past, Senator Johnson,

         4       but taken together, you are emasculating

         5       environmental protection for the people of the

         6       state of New York.

         7                      ACTING PRESIDENT KUHL:  The Chair

         8       recognizes Senator Paterson.

         9                      SENATOR PATERSON:  Mr. President,

        10       would Senator Johnson yield for a question?

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Johnson, do you yield to a question from Senator

        13       Paterson?

        14                      SENATOR JOHNSON:  Oh, sure.  Yes,

        15       Mr. President.

        16                      ACTING PRESIDENT KUHL:  The

        17       Senator yields, Senator Paterson.

        18                      SENATOR PATERSON:  Once he knew

        19       it was me, Mr. President, he was happy to

        20       yield.

        21                      Section 6 of the legislation

        22       where there is a restriction on DEC's rendering

        23       of a judgment of incompleteness on an











                                                             
3180

         1       application -- I can understand why you put the

         2       section in there, Senator Johnson, because what

         3       the staff of DEC is doing right now often is

         4       using that as a way to delay because they don't

         5       have the resources and they don't have the time

         6       to process some of the permits.

         7                      What I'm suggesting to you is,

         8       why not just give DEC more time because, I think

         9       what you outlined here in Section 6 is really

        10       too strict.  A rendering of the judgment of

        11       incompleteness gives the DEC only one

        12       opportunity to, in a sense, examine the permit.

        13       Once that is made, if the answers to the

        14       questions that are sought reveal further doubt

        15       or skepticism about the actual permit, you've

        16       restricted DEC.  So since they may be in a sense

        17       using a mechanism in an improper way to effect

        18       something that really is important, why not just

        19       extend the time?  That's my suggestion.  I

        20       wanted to hear what you thought about it.

        21                      SENATOR JOHNSON:  Senator

        22       Paterson, I think you heard me read the little

        23       article about Kodak.  That's just from the paper











                                                             
3181

         1       on March 22nd.  They left because it would take

         2       too long to get a permit to put a small 70

         3       person unit into their operation which already

         4       has 20,000 employees.

         5                      The reason this is in here is

         6       because our hearings determined that the

         7       greatest impediment to business staying here,

         8       expanding here, was the interminable period of

         9       time it took to get a permit.  So what we're

        10       saying is that the Department should let the

        11       applicant know, give him an outline of every

        12       thing they want to know about this operation,

        13       this change of procedure, this new product

        14       they're manufacturing, whatever process is

        15       taking place, and tell them that this is

        16       incomplete and these are the things we want you

        17       to address, and we shouldn't let the DEC

        18       continue interminably holding up business people

        19       who want to grow and expand and create jobs in

        20       this state.

        21                      That's why we say that, Senator,

        22       that they shall examine it carefully, tell them

        23       the first time what they want, business will get











                                                             
3182

         1       it, and then they shall act upon that

         2       application.

         3                      SENATOR PATERSON:  Thank you,

         4       Senator Johnson.  What I'm actually saying, to

         5       be clear on this, in the Kodak case situation

         6       what they were objecting to was red tape, the

         7       administrative bureaucracy.  I addressed the

         8       administrative bureaucracy.

         9                      Where I'm making the suggestion

        10       to you is on the second point, the seasonal

        11       permit, 50 days for a minor permit, 90 days for

        12       major permits since DEC already has trouble

        13       meeting those deadlines, and that's what

        14       resorted to the process in the first place, and

        15       because we have in our budget to stretch the

        16       already overburdened Department, why don't we

        17       lengthen the period so when Kodak applies for a

        18       permit they know when they can start based on

        19       the time periods?  I'm not objecting to your

        20       desire to cut down on red tape.

        21                      SENATOR JOHNSON:  Thank you,

        22       Senator.  That section you're talking about, we

        23       haven't changed.  That gives the Department a











                                                             
3183

         1       15-day period to examine the application.  We

         2       haven't changed that.  If you feel it's

         3       important to change it, perhaps we can make a

         4       separate law, amendment, to extend that period

         5       but the whole idea is to expedite the process

         6       and not delay the process.

         7                      SENATOR PATERSON:  Okay.  That's

         8       a good idea, Senator.

         9                      SENATOR JOHNSON:  Thank you.

        10                      SENATOR PATERSON:  I'll put that

        11       bill in.  I hope it's acted upon in 15 days if

        12       you think it's a minor bill or 30 days if you

        13       think it's a major bill.

        14                      On this bill -- and thank you for

        15       the answers to my questions, Senator Johnson.

        16                      On this particular bill, I just

        17       think that there are too many vague statutes

        18       that exist in this piece of legislation, too

        19       many situations that limit the authority of

        20       DEC.  If DEC has at times in a sense obfuscated

        21       the desire to generate business in the state,

        22       then maybe we need to address that.  But the

        23       idea of having a five-year limit on all rules











                                                             
3184

         1       and regulations and just as in Calendar Number

         2       218, the bill that we addressed earlier today,

         3       does not really provide for the overlapping

         4       period or the lapses where regulations may, in a

         5       sense, sunset and we have not put in place the

         6       regulations that can be helpful, I just think

         7       that that is not going to in any way help the

         8       safety of the people in the State of New York.

         9                      There is a section in this bill

        10       that involves a 72-hour notification of

        11       landowners of any kind of violation on the

        12       property.  Again, here again, we see a situation

        13       where we are concentrating on one area and not

        14       investigating what may have actually been the

        15       harmful waste that may have been discovered.

        16       We're overreaching and stretching the

        17       Department's job to conduct the research, to go

        18       and find and do a title search to find out who

        19       the owner is; meanwhile, we may have an oil

        20       spill or some other land disaster that we need

        21       to address a lot more quickly.

        22                      We talk in terms of the financial

        23       requirements, financial security requirements to











                                                             
3185

         1       balance the environmental issues with conducting

         2       business, but the reference to it in the

         3       legislation is so vague, it just makes it

         4       unclear as to what it is that the Department is

         5       able to do and what the Department is not able

         6       to do.  We certainly have in this legislation

         7       hindered the process of an agency because in the

         8       past the agency has made decisions that we

         9       haven't liked.

        10                      Well, that is a whole new area of

        11       law.  Just in the last 25 years, we've started

        12       to address the environment.  In the 19th

        13       century, the country was so industrialized, we

        14       put so many pollutants into the atmosphere, we

        15       have so many CFCs and carbons in our atmosphere

        16       right now that we have to have some of the

        17       strict requirements.  It is a problem for those

        18       who are seeking permits.  It is a problem for

        19       business, but it is a cancer that will envelop

        20       us all unless we have some kind of strict

        21       adherence to some standard of environmental

        22       protection, and that is why I can not in good

        23       conscience support this bill.











                                                             
3186

         1                      Thank you, Senator Johnson.

         2                      Thank you, Mr. President.

         3                      ACTING PRESIDENT KUHL:  Chair

         4       recognizes Senator Abate.

         5                      SENATOR ABATE:  On the bill.  I

         6       know that the hour is late and everyone wants to

         7       go home, but I feel so strongly against this

         8       legislation.  I think this legislation is so

         9       dangerous that I feel compelled to speak for

        10       just a couple moments.

        11                      I understand that everyone will

        12       speak that there is a need for this legislation

        13       because we have to balance the need for economic

        14       development and environmental protection; and I

        15       understand when we have sound economic

        16       development, it broadens our tax base.  It

        17       produces revenue for the state.  It increases

        18       the stability of the state, and no one in the

        19       world, no rational person, is against economic

        20       development which will bring money and jobs to

        21       the state, but when we use economic development

        22       as a guise, as a symbol to destroy our

        23       environment, our health and welfare, then we are











                                                             
3187

         1       misusing economic development and its good

         2       intentions.

         3                      I believe under the guise of this

         4       legislation, this legislation will enable the

         5       state to overturn every health and environmental

         6       measure that was passed by the Legislature over

         7       the last few decades.  There are two areas and I

         8       know my colleagues have mentioned it and I just

         9       want to reiterate my concern.  It's the one that

        10       requires DOH (Department of Health) and DEC to

        11       identify and possibly amend and repeal

        12       regulations that are obsolete and regulations

        13       that are unnecessary.  These are such vague

        14       terms that I believe if this part of the

        15       legislation is challenged in court, it will not

        16       withstand constitutional challenge.  These terms

        17       because they are so vague can be interpreted any

        18       way one wishes; and if one wishes to dismantle

        19       environmental protections altogether, one could

        20       argue that all rules are obsolete and

        21       unnecessary.

        22                      The other area that I think is of

        23       grave concern is restriction by DEC on its use











                                                             
3188

         1       on on-site monitors.  As an enforcement

         2       mechanism, that is one of the most critical ways

         3       to see violations, to uncover violations, to

         4       make sure areas are safe, and what's very

         5       strange that on-site monitors will only be

         6       restricted to certain areas and certain

         7       violations.  On-site monitoring will not be

         8       available to coast and marine resources, flood

         9       control, mining, wetlands, pesticides and fish

        10       and wildlife.

        11                      I ask, and this is rhetorical

        12       because I know the night is late and I might not

        13       change anyone's mind, why are we excluding these

        14       vital areas from on-site monitors?  To make the

        15       situation even worse, it limits the cases of

        16       facilities with poor compliance records.  Only

        17       in those cases can on-site monitoring be used.

        18       I suggest that there will be few areas with poor

        19       compliance records when you limit the use of

        20       on-site monitors.

        21                      This is a critical enforcement

        22       for the DEC.  You take that away, they will not

        23       be able to establish -- particularly in











                                                             
3189

         1       facilities that there should be on-site

         2       monitoring -- to establish a poor compliance

         3       record.

         4                      I'm not one that's prone to

         5       overstatement.  I know that when we debated the

         6       death penalty, we talked about it was a very sad

         7       day.  I think today is also a sad day for

         8       environmental protections in this state, and

         9       it's a sad day for the role that government must

        10       play in protecting our health and safety.

        11                      ACTING PRESIDENT KUHL:  Chair

        12       recognizes Senator Dollinger on the bill.

        13                      SENATOR DOLLINGER:  Mr.

        14       President.  One question for Senator Johnson if

        15       he would yield.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Johnson, would you yield to Senator Dollinger

        18       for one question?

        19                      Senator yields.

        20                      SENATOR DOLLINGER:  As I

        21       understood, Senator Johnson, the United States

        22       Senate is debating a bill that would affect the

        23       Environmental Protection Agency and deal with











                                                             
3190

         1       some of the issues that are addressed by this

         2       bill.  Is that correct?

         3                      SENATOR JOHNSON:  Senator

         4       Dollinger, it includes regulatory reform

         5       essentially across the board.  That's why I said

         6       it's similar to the bill which Senator Rath and

         7       I separately introduced.  Some of the elements

         8       of these bills are contained within the federal

         9       debate at this moment, yes.

        10                      SENATOR DOLLINGER:  Again,

        11       through you, Mr. President.  It's also my

        12       understanding that one of the things this bill

        13       wants to do is we don't want to go any further

        14       than the federal government in particular areas

        15       of regulatory control in respect to the

        16       environment.  Isn't that correct?

        17                      SENATOR JOHNSON:  That's not a

        18       part of this bill, but that was part of our

        19       report, yes.

        20                      SENATOR DOLLINGER:  Under those

        21       circumstances, Mr. President, if Senator Johnson

        22       will yield to one more question?

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3191

         1       Johnson, do you yield to another question?

         2                      Senator yields.

         3                      SENATOR DOLLINGER:  Why shouldn't

         4       we wait until the federal government acts on its

         5       bill involving regulatory reform with the EPA

         6       before we jump ahead and do this with DEC and

         7       either stick our necks out too far beyond what

         8       the federal government will do or not stick our

         9       neck out as far as the federal government is

        10       going to do, if the purpose is to create some

        11       kind of correlation between the federal efforts

        12       in the environment and the state efforts in

        13       environment?

        14                      SENATOR JOHNSON:  Well, Senator

        15       Dollinger, I prefer New York State be the leader

        16       in reform and not wait for Congress, which has

        17       forced us into a lot of the things we've done

        18       which have been negative for the economy without

        19       any particular benefit -- without any particular

        20       benefit to the environment which got us in the

        21       situation where we are.  We should try to chart

        22       our own course as much as possible not going

        23       beyond and more restrictive than the federal











                                                             
3192

         1       government because this state has a particular

         2       problem with the economy and loss of jobs which

         3       you are only too familiar with, of course.

         4                      SENATOR DOLLINGER:  Again through

         5       you, Mr. President, if Senator Johnson will

         6       yield?

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Johnson, do you yield to another question?

         9                      SENATOR JOHNSON:  Yes.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       yields.

        12                      SENATOR DOLLINGER:  Senator, I

        13       thought that was part of the problem was that we

        14       were out front doing all these things that were

        15       far more advanced than what the federal

        16       government did and that one of the things that I

        17       have heard complaints about from the other side

        18       of the aisle in the last two years has been the

        19       fact that we're too far ahead of the federal

        20       government.  Why don't we wait until they act

        21       and then figure out how we can work our

        22       environmental regulations to work hand in glove

        23       with theirs?











                                                             
3193

         1                      SENATOR JOHNSON:  Senator, all I

         2       can say to you is that by us being ahead of the

         3       federal government doesn't mean we've been ahead

         4       in reforming or making this state more business

         5       friendly.  We have been doing environmental

         6       overkill which has driven business and jobs out

         7       of this state without any particular benefit to

         8       the environment or to the people who reside in

         9       this state.

        10                      SENATOR DOLLINGER:  Again through

        11       you, Mr. President, if Senator Johnson will

        12       yield?

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Johnson, do you continue to yield?

        15                      SENATOR JOHNSON:  Yes.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       yields.

        18                      SENATOR DOLLINGER:  As I recall,

        19       Senator, one of the things that you've talked

        20       about on a number of bills that we've done in

        21       this house before has been the fact that the

        22       federal government requires companies to do one

        23       thing and the DEC requires them to do another











                                                             
3194

         1       and the inconsistency or the duplication

         2       involved with that process is one of the things

         3       that drives businesses crazy.  If that's the

         4       case, why shouldn't we wait until the federal

         5       government acts first so that we can act and try

         6       to create some kind of correlation between our

         7       regulatory -- regulation of the environment and

         8       theirs.

         9                      SENATOR JOHNSON:  Senator, when I

        10       began my remarks I said that we were the leaders

        11       in this chamber with the support of the other

        12       side of the aisle in many instances in advancing

        13       regulatory reform concerning the environment.

        14       Now you're telling me let us not be the leaders

        15       in reform.  Let's wait and see what the feds do

        16       and ride with the tide.  I don't think we should

        17       do that, Senator.

        18                      SENATOR DOLLINGER:  Okay.  Mr.

        19       President, on the bill.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Dollinger on the bill.

        22                      SENATOR DOLLINGER:  I appreciate

        23       Senator Johnson's comments.  I think that one of











                                                             
3195

         1       the problems with this bill and my other

         2       colleagues have described the effect of this

         3       bill on the environment generally, but it seems

         4       to me that there is sort of a two-headed

         5       approach here.  One head should be out front of

         6       the federal government; and yet, when we go out

         7       front of federal government as we have done for

         8       the last 25 years -- and I should point out,

         9       properly, with the leadership of the other

        10       members of this house who have been greatly

        11       concerned about regulating the environment, but

        12       now we find our business community saying New

        13       York is too far out front.  You stepped too far

        14       out front; yet, here we are again today stepping

        15       out front again.

        16                      We're about to enact a series of

        17       regulatory reforms which may be more extensive

        18       than what the federal government does, which may

        19       be duplicative of what the federal government

        20       does, which will simply create consternation on

        21       the part of our businesses because they will

        22       again face that age old dilemma, "Who do we

        23       comply with, the EPA or the DEC?  I don't quite











                                                             
3196

         1       know what to do."

         2                      It seems to me that it would make

         3       better sense to table this measure, put it off

         4       for a period of time, wait and see what the

         5       federal government does.  If they enact a broad

         6       regulatory change in their environmental rules,

         7       we could then look at these rules and make them

         8       comport with the federal rules and come up with

         9       a system that is easier for business.

        10                      I sense that the Senate Majority

        11       would like to have it both ways.  They would

        12       like to be out front, but yet they would like to

        13       help business.  I don't quite understand the

        14       logic of it.  I'm going to be voting in the

        15       negative for the reasons expressed by my

        16       colleagues and for the reason that it seems to

        17       me we may be far out front of the federal

        18       government again and only create more confusion

        19       for our businesses.

        20                      ACTING PRESIDENT KUHL:  Secretary

        21       will read the last section.

        22                      SENATOR JOHNSON:  Mr. President.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3197

         1       Johnson.

         2                      SENATOR JOHNSON:  I would like to

         3       address some of the comments, Mr. President.  I

         4       know everyone wants to leave, but I don't think

         5       we should leave without hearing perhaps this

         6       side of the aisle's appraisal of what's right or

         7       wrong about this bill.

         8                      What's wrong with this bill is

         9       two lobbyists' memorandums, and it says on one,

        10       "None so deaf as those who will not hear.  None

        11       so blind as those who would not see."

        12                      Now, these people haven't learned

        13       anything all the time they have been doing

        14       environmental lobbying.  They are putting forth

        15       memos which people unfortunately rely upon which

        16       are inaccurate misinterpretations of the law and

        17       you are relying on those and you think that they

        18       are telling you the truth and you think you got

        19       to do something about it.

        20                      The fact is just take the Sierra

        21       Club, and they say here, "New York State's

        22       environmental enforcement capability will be

        23       compromised in several ways:  Requirement of a











                                                             
3198

         1       72-hour notice prior to commencing an

         2       enforcement action gives the targeted owner

         3       action time to destroy evidence, intimidate

         4       witnesses, limit the potential for enforcement."

         5                      It's all hogwash and poppycock.

         6       It isn't true at all.

         7                      The reason I say that is because

         8       we say in the law here, "Notwithstanding any

         9       other provision of law, and except when any

        10       criminal investigation is pending, the

        11       Commissioner shall notify the owner of any real

        12       property where such owner is not the violator of

        13       any violations of this chapter, article, and so

        14       forth, that occurred on such owner's real

        15       property within 72 hours of determining that

        16       sufficient evidence exists to commence

        17       enforcement action."

        18                      In other words, what we're saying

        19       is it's about time to let the landowner know

        20       that something bad is going on, on his

        21       property.  It doesn't say you can't enforce this

        22       until 72 hours after notice.  It says when you

        23       find out about this violation, you have to give











                                                             
3199

         1       the -- within the several days, you have to

         2       notify the owner of the property.  What's wrong

         3       with that?  That's a common sense reform which

         4       was brought out on our hearings, that the

         5       landowners didn't even know about these

         6       violations.  No one told them.  If they knew it,

         7       they would have stopped it immediately, stopped

         8       the perpetrator, which is their tenant, from

         9       doing this, and they would have seen that

        10       reforms took place.  As it was they found out

        11       months later that their property is contaminated

        12       and there's an action going on and they were not

        13       even informed of it.

        14                      So if this is the kind of baloney

        15       that you are reading from Sierra Club, and you

        16       think it's true, it's totally false.  Just read

        17       the bill.

        18                      Another thing, Senator Leichter

        19        -- he's my friend.  He's my compatriot.  He's

        20       ranking member on the committee.  He has been.

        21       And we're talking about a voluntary cleanup

        22       proposal and all this stuff, the lender

        23       liability, these are reforms that have to be











                                                             
3200

         1       done.  It doesn't say that if the DEC doesn't

         2       respond in 30 days they can't do anything to the

         3       violator.  It says here somebody can voluntarily

         4       clean up a site of land in an industrial area to

         5       a standard sufficient for that type of

         6       operation, not to the standard of a child's

         7       playground or something else; and it doesn't say

         8       if the DEC doesn't act within 30 days you are

         9       automatically off the hook.  It says you can go

        10       ahead and develop a plan if they haven't

        11       responded to you in 30 days.  It doesn't say

        12       that that plan has to be accepted or approved.

        13       It doesn't say that plan doesn't have to be

        14       subject to a hearing.  All those protections are

        15       still in place.

        16                      I just want to tell you don't

        17       read memos and think you're reading the bill.

        18       Don't read memos and think you know what is in

        19       this bill because you don't know it if you read

        20       these memos.

        21                      Someone has said here, several

        22       members have said -- I won't identify -- that

        23       page 10, this section here about re-examining











                                                             
3201

         1       the regulations, identifying obsolete rules and

         2       so forth, this means that somebody can go in and

         3       overturn every environmental regulation.  Not

         4       true at all.

         5                      The Governor's counsel is going

         6       to coordinate this.  They're going to ask all

         7       agencies to re-examine their regulations.  If

         8       there's something on there for 5 years or 10

         9       years or 20 years which are not necessary any

        10       more or maybe never really proved to be

        11       productive or protective, suggest that they be

        12       eliminated; and there is a process for

        13       eliminating these things, a very legal process,

        14       not going to be done by any rump group in the

        15       middle of the night.

        16                      It says here each agency shall

        17       submit periodic reports identifying rules and

        18       regulations that warrant amendment or repeal or

        19       identifying obsolete rules to the Governor, the

        20       Temporary President of the Senate, the Speaker

        21       of the Assembly, the Minority Leader of the

        22       Senate, the Minority Leader of the Assembly,

        23       Office of Regulatory Management Affairs, and on











                                                             
3202

         1       and on and on.  So we're not doing anything in

         2       the middle of the night, scrapping necessary

         3       regulation.  We're saying re-examine them.

         4       Everybody will be informed about this, and we

         5       will be able to proceed in a legal and rational

         6       manner.  Now what is wrong with that?

         7                      All I can tell you is I could

         8       read every section of this thing (indicating

         9       memo).  I can tell you this is false

        10       information, and this is a bill which should

        11       have been adopted a year ago, as I said.  It

        12       should be adopted now, and we have to get on

        13       with the process of doing responsible

        14       environmental regulation and aggressive job

        15       creation in this state if we're going to catch

        16       up with the rest of the nation and make this a

        17       place where we will have growing jobs, growing

        18       revenues, and be able to do all the wonderful

        19       things you all want to do with budgetary money.

        20       It won't be there if we don't take this monkey

        21       off the back of business and people in this

        22       state.

        23                      Thank you.











                                                             
3203

         1                      ACTING PRESIDENT KUHL:  Secretary

         2       will read the last section.

         3                      THE SECRETARY:  Section 33.  This

         4       act shall take effect immediately.

         5                      ACTING PRESIDENT KUHL:  Call the

         6       roll, Senator Paterson?

         7                      SENATOR PATERSON:  Mr.

         8       President.  In this day of infamous mnemonics, I

         9       think we need an SRC on this bill.

        10                      ACTING PRESIDENT KUHL:  I bet

        11       that stands for slow roll call.

        12                      Are there five Senators

        13       requesting that?  I see five standing.

        14                      Call the roll slowly.

        15                      THE SECRETARY:  Senator Abate.

        16                      SENATOR ABATE:  No.

        17                      THE SECRETARY:  Senator Babbush

        18       excused.  Senator Bruno.

        19                      SENATOR BRUNO:  (Indicating

        20       "Aye.")

        21                      THE SECRETARY:  In the

        22       affirmative.  Senator Connor.

        23                      SENATOR CONNOR:  (Indicating











                                                             
3204

         1       "Nay.")

         2                      THE SECRETARY:  In the negative.

         3       Senator Cook.

         4                      SENATOR COOK:  Yes.

         5                      THE SECRETARY:  Senator

         6       DeFrancisco.

         7                      SENATOR DeFRANCISCO:  Yes.

         8                      THE SECRETARY:  Senator DiCarlo.

         9                      SENATOR DiCARLO:  Aye.

        10                      THE SECRETARY:  Senator

        11       Dollinger.

        12                      SENATOR DOLLINGER:  No.

        13                      THE SECRETARY:  Senator Espada.

        14                      SENATOR ESPADA:  No.

        15                      THE SECRETARY:  Senator Farley.

        16                      SENATOR FARLEY:  Aye.

        17                      THE SECRETARY:  Senator Galiber.

        18                      SENATOR GALIBER:  No.

        19                      THE SECRETARY:  Senator Gold

        20       voting in the negative earlier today.

        21                      Senator Gonzalez.

        22                      SENATOR GONZALEZ:  No.

        23                      THE SECRETARY:  Senator Goodman











                                                             
3205

         1       voting in the negative earlier today.

         2                      Senator Hannon.

         3                      (There was no response.)

         4                      Senator Hoblock.

         5                      (There was no response.)

         6                      Senator Hoffmann.

         7                      SENATOR HOFFMANN:  Yes.

         8                      THE SECRETARY:  Senator Holland.

         9                      SENATOR HOLLAND:  Yes.

        10                      THE SECRETARY:  Senator Johnson.

        11                      SENATOR JOHNSON:  Aye.

        12                      THE SECRETARY:  Senator Jones.

        13                      SENATOR JONES:  To explain my

        14       vote.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Jones to explain her vote.

        17                      SENATOR JONES:  Most every piece

        18       or many of the pieces of this bill I have

        19       already voted for and supported; however, when

        20       we put them all together today, it seems as

        21       though there's some new things that I think

        22       deserve some questions, and I did ask those

        23       questions, I might say, of a couple of corporate











                                                             
3206

         1       people, one of whom you mentioned today.  The

         2       response to me was, "We don't go chasing after

         3       one-house bills."  When I asked, "How do you

         4       feel?" or, "Do you want this bill?" that was

         5       their response.  "We don't go chasing after

         6       one-house bills.  When it gets real, we'd like

         7       to talk about it."

         8                      So I guess that's what I'm going

         9       to say today.  I'll vote no and I will be very

        10       interested in looking at whatever the final

        11       product is when it comes back.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Jones in the negative.

        14                      THE SECRETARY:  Senator Kruger

        15       voting in the negative earlier today.

        16                      Senator Kuhl.

        17                      SENATOR KUHL:  Aye.

        18                      THE SECRETARY:  Senator Lack.

        19                      SENATOR LACK:  Aye.

        20                      THE SECRETARY:  Senator Larkin.

        21                      SENATOR LARKIN:  Aye.

        22                      THE SECRETARY:  Senator LaValle.

        23                      SENATOR LAVALLE:  No.











                                                             
3207

         1                      THE SECRETARY:  Senator Leibell

         2       voting in the negative earlier today.

         3                      Senator Leichter.

         4                      SENATOR LEICHTER:  No.

         5                      THE SECRETARY:  Senator Levy.

         6                      (There was no response.)

         7                      Senator Libous.

         8                      SENATOR LIBOUS:  Aye.

         9                      THE SECRETARY:  Senator Maltese.

        10                      (There was no response.)

        11                      Senator Marcellino.

        12                      SENATOR MARCELLINO:  Aye.

        13                      THE SECRETARY:  Senator Marchi.

        14                      SENATOR MARCHI:  Aye.

        15                      THE SECRETARY:  Senator

        16       Markowitz.

        17                      SENATOR MARKOWITZ:  No.

        18                      THE SECRETARY:  Senator Maziarz.

        19                      (There was no response.)

        20                      Senator Mendez.

        21                      SENATOR MENDEZ:  Mr. President,

        22       to explain my vote.  For years, EnCon having all

        23       the legislation to protect all the citizens of











                                                             
3208

         1       the State of New York pertaining to quality in

         2       the environment and health of the cities, and

         3       what have you, have chosen consistently, Mr.

         4       President, to practice environmental racism.

         5                      I have seen it done in my

         6       district.  All the legislation in place to

         7       protect us, they ignore it.  They are very over

         8       regulated and they are very choosy as to where

         9       they protect the health and the environment of

        10       different citizens New York State.

        11                      So, therefore, Mr. President, I

        12       do vote in the affirmative.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Mendez in the affirmative?

        15                      SENATOR MENDEZ:  Yes.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Mendez in the affirmative.

        18                      THE SECRETARY:  Senator

        19       Montgomery.

        20                      SENATOR MONTGOMERY:  No.

        21                      THE SECRETARY:  Senator Nanula.

        22                      SENATOR NANULA:  No.

        23                      THE SECRETARY:  Senator











                                                             
3209

         1       Nozzolio.

         2                      SENATOR NOZZOLIO:  Aye.

         3                      THE SECRETARY:  Senator Onorato.

         4                      SENATOR ONORATO:  No.

         5                      THE SECRETARY:  Senator

         6       Oppenheimer.

         7                      SENATOR OPPENHEIMER:  No.

         8                      THE SECRETARY:  Senator Padavan.

         9                      SENATOR PADAVAN:  No.

        10                      THE SECRETARY:  Senator Paterson.

        11                      SENATOR PATERSON:  No.

        12                      THE SECRETARY:  Senator Present.

        13                      SENATOR PRESENT:  Aye.

        14                      THE SECRETARY:  Senator Rath.

        15                      SENATOR RATH:  Aye.

        16                      THE SECRETARY:  Senator Saland.

        17                      SENATOR SALAND:  Aye.

        18                      THE SECRETARY:  Senator Santiago

        19       excused.  Senator Sears.

        20                      SENATOR SEARS:  Aye.

        21                      THE SECRETARY:  Senator Seward.

        22                      (There was no response.)

        23                      Senator Skelos.











                                                             
3210

         1                      SENATOR SKELOS:  Aye.

         2                      THE SECRETARY:  Senator Smith.

         3                      SENATOR SMITH:  Nay.

         4                      THE SECRETARY:  Senator Solomon

         5       voting in the negative earlier today.

         6                      Senator Spano.

         7                      SENATOR SPANO:  Aye.

         8                      THE SECRETARY:  Senator

         9       Stachowski.

        10                      SENATOR STACHOWSKI:  No.

        11                      THE SECRETARY:  Senator

        12       Stafford.

        13                      SENATOR STAFFORD:  Aye.

        14                      THE SECRETARY:  Senator

        15       Stavisky.

        16                      (There was no response.)

        17                      Senator Trunzo.

        18                      SENATOR TRUNZO:  Aye.

        19                      THE SECRETARY:  Senator Tully.

        20                      (There was no response.)

        21                      Senator Velella.

        22                      (There was no response.)

        23                      Senator Volker.











                                                             
3211

         1                      SENATOR VOLKER:  Yes.

         2                      THE SECRETARY:  Senator Waldon.

         3                      SENATOR WALDON:  (Indicating

         4       negative.)

         5                      THE SECRETARY:  Senator Wright.

         6                      SENATOR WRIGHT:  Aye.

         7                      ACTING PRESIDENT KUHL:  Secretary

         8       will call the absentees.

         9                      THE SECRETARY:  Senator Hannon.

        10                      (There was no response.)

        11                      Senator Hoblock.

        12                      SENATOR HOBLOCK:  Yes.

        13                      THE SECRETARY:  Senator Levy.

        14                      (There was no response.)

        15                      Senator Maltese.

        16                      SENATOR MALTESE:  Aye.

        17                      THE SECRETARY:  Senator Maziarz.

        18                      SENATOR MAZIARZ:  Aye.

        19                      THE SECRETARY:  Senator

        20       Stavisky.

        21                      (There was no response.)

        22                      Senator Seward.

        23                      SENATOR SEWARD:  Yes.











                                                             
3212

         1                      THE SECRETARY:  Senator Tully.

         2                      SENATOR TULLY:  Aye.

         3                      THE SECRETARY:  Senator Levy.

         4                      SENATOR LEVY:  No.

         5                      ACTING PRESIDENT KUHL:  Announce

         6       the results.

         7                      THE SECRETARY:  Ayes 32, nays

         8       25.

         9                      ACTING PRESIDENT KUHL:  The bill

        10       is passed.

        11                      Senator Skelos.

        12                      SENATOR SKELOS:  Is there any

        13       housekeeping at the desk?

        14                      (There was no response.)

        15                      If not, Mr. President, I move -

        16       there being no further business, I move we

        17       adjourn until tomorrow, Thursday, March 30,

        18       1995, at 11:00 a.m. sharp.

        19                      ACTING PRESIDENT KUHL:  Without

        20       objection, the Senate stands adjourned until

        21       tomorrow, Thursday, March 30, at 11:00 a.m.

        22                      (Whereupon, at 6:01 p.m., the

        23       Senate adjourned.)