Regular Session - March 30, 1995

                                                                 
3213

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         8                       ALBANY, NEW YORK

         9                        March 30, 1995

        10                          11:02 a.m.

        11

        12

        13                       REGULAR SESSION

        14

        15

        16

        17       SENATOR JOHN R. KUHL, JR., Acting President

        18       STEPHEN F. SLOAN, Secretary

        19

        20

        21

        22

        23











                                                             
3214

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

         2                      ACTING PRESIDENT KUHL:  Senate

         3       will come to order.  Ask the members to find

         4       their places.

         5                      Ask everyone to rise and join

         6       with me in saying the Pledge of Allegiance.

         7                      (Whereupon, the Senate and those

         8       present joined in the Pledge of Allegiance to

         9       the Flag.)

        10                      In the absence of clergy, may we

        11       bow our heads in a moment of silence.

        12                      (Whereupon, there was a moment of

        13       silence.)

        14                      Reading of the Journal.

        15                      THE SECRETARY:  In Senate,

        16       Wednesday, March 29.  The Senate met pursuant to

        17       adjournment, Senator DeFrancisco in the chair.

        18       The Journal of Tuesday, March 28, was read and

        19       approved.  On motion, Senate adjourned.

        20                      ACTING PRESIDENT KUHL:  Hearing

        21       no objection, the Journal stands approved as

        22       read.

        23                      Presentation of petitions.











                                                             
3215

         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.

         8                      Chair recognizes Senator

         9       DeFrancisco.

        10                      SENATOR DeFRANCISCO:  Mr.

        11       President, on page number 27, I offer the

        12       following amendments to Calendar Number 238,

        13       Senate Print 1966, and I ask that the bill

        14       retain its place on the Third Reading Calendar.

        15                      ACTING PRESIDENT KUHL:

        16       Amendments are received and adopted.  The bill

        17       will retain its place on the Third Reading

        18       Calendar.

        19                      Senator Bruno, that brings us to

        20       the calendar, sir.

        21                      SENATOR BRUNO:  Mr. President,

        22       can we at this time take up the noncontroversial

        23       calendar?











                                                             
3216

         1                      ACTING PRESIDENT KUHL:  Secretary

         2       will read the noncontroversial calendar.

         3                      THE SECRETARY:  Calendar Number

         4       174, by Senator Skelos, Senate Bill 425, an act

         5       to amend the Business Corporation Law.

         6                      SENATOR PATERSON:  Lay it aside.

         7                      ACTING PRESIDENT KUHL:  Lay the

         8       bill aside.

         9                      THE SECRETARY:  Calendar Number

        10       211, by Senator Stafford, Senate Bill 625, an

        11       act to amend the Town Law, in relation to

        12       increase the authorization of towns to

        13       appropriate monies for observance of public

        14       holidays.

        15                      ACTING PRESIDENT KUHL:  Secretary

        16       will read the last section.

        17                      THE SECRETARY:  Section 2.  This

        18       act shall take effect immediately.

        19                      ACTING PRESIDENT KUHL:  Call the

        20       roll.

        21                      (The Secretary called the roll.)

        22                      THE SECRETARY:  Ayes 33.

        23                      ACTING PRESIDENT KUHL:  The bill











                                                             
3217

         1       is passed.

         2                      THE SECRETARY:  Calendar Number

         3       219, by Senator Present, Senate Bill 2311, an

         4       act to amend the Economic Development Law.

         5                      ACTING PRESIDENT KUHL:  Secretary

         6       will read the last section.

         7                      THE SECRETARY:  Section 2.  This

         8       act shall take effect immediately.

         9                      ACTING PRESIDENT KUHL:  Call the

        10       roll.

        11                      (The Secretary called the roll.)

        12                      THE SECRETARY:  Ayes 33.

        13                      ACTING PRESIDENT KUHL:  The bill

        14       is passed.

        15                      THE SECRETARY:  Calendar Number

        16       222, by Senator Velella, Senate Bill 2764, an

        17       act to amend the Insurance Law, in relation to

        18       reciprocal insurers.

        19                      ACTING PRESIDENT KUHL:  Secretary

        20       will read the last section.

        21                      THE SECRETARY:  Section 7.  This

        22       act shall take effect on the 60th day.

        23                      ACTING PRESIDENT KUHL:  Call the











                                                             
3218

         1       roll.

         2                      (The Secretary called the roll.)

         3                      THE SECRETARY:  Ayes 33.

         4                      ACTING PRESIDENT KUHL:  The bill

         5       is passed.

         6                      THE SECRETARY:  Calendar Number

         7       226, by Senator Skelos, Senate Bill 1445, an act

         8       to amend the Public Authorities Law, in relation

         9       to authorizing and requiring the Metropolitan

        10       Transportation Authority.

        11                      SENATOR BRUNO:  Lay it aside.

        12                      ACTING PRESIDENT KUHL:  Lay the

        13       bill aside.

        14                      SENATOR BRUNO:  Will you lay

        15       aside number 222 also, please, Mr. President.

        16                      ACTING PRESIDENT KUHL:  The

        17       motion is to reconsider the vote by which

        18       Calendar Number 222 passed the house.

        19                      The Secretary will call the roll

        20       on reconsideration.

        21                      (The Secretary called the roll on

        22       reconsideration.)

        23                      THE SECRETARY:  Ayes 33.











                                                             
3219

         1                      ACTING PRESIDENT KUHL:  Lay the

         2       bill aside.

         3                      SENATOR BRUNO:  Thank you.

         4                      ACTING PRESIDENT KUHL:  Secretary

         5       will read Calendar Number 226.

         6                      THE SECRETARY:  Calendar Number

         7       226, by Senator Skelos, Senate Bill 1445, an act

         8       to amend the Public Authorities Law, in relation

         9       to authorizing and requiring the Metropolitan

        10       Transportation Authority.

        11                      ACTING PRESIDENT KUHL:  Read the

        12       last section.

        13                      THE SECRETARY:  Section 2.  This

        14       act shall take effect immediately.

        15                      ACTING PRESIDENT KUHL:  Call the

        16       roll.

        17                      (The Secretary called the roll.)

        18                      THE SECRETARY:  Ayes 34.

        19                      ACTING PRESIDENT KUHL:  The bill

        20       is passed.

        21                      THE SECRETARY:  Calendar Number

        22       228, by Senator Wright, Senate Bill 3186, an act

        23       to amend the Vehicle and Traffic Law, in











                                                             
3220

         1       relation to allowing commercial vehicles to have

         2       distinctive plates.

         3                      ACTING PRESIDENT KUHL:  Read the

         4       last section.

         5                      THE SECRETARY:  Section 2.  This

         6       act shall take effect on the 60th day.

         7                      ACTING PRESIDENT KUHL:  Call the

         8       roll.

         9                      (The Secretary called the roll.)

        10                      THE SECRETARY:  Ayes 34.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      THE SECRETARY:  Calendar Number

        14       232, by Senator Sears, Senate Bill 1321, an act

        15       to amend the Penal Law, in relation to the

        16       unauthorized use of an emergency vehicle.

        17                      ACTING PRESIDENT KUHL:  Read the

        18       last section.

        19                      THE SECRETARY:  Section 2.  This

        20       act shall take effect on the first day of

        21       November.

        22                      ACTING PRESIDENT KUHL:  Call the

        23       roll.











                                                             
3221

         1                      (The Secretary called the roll.)

         2                      THE SECRETARY:  Ayes 34.

         3                      ACTING PRESIDENT KUHL:  The bill

         4       is passed.

         5                      THE SECRETARY:  Calendar Number

         6       233, by Senator Saland, Senate Bill 1437, an act

         7       to amend the Penal Law.

         8                      ACTING PRESIDENT KUHL:  Read the

         9       last section.

        10                      THE SECRETARY:  Section 3.  This

        11       act shall take effect on the first day of

        12       November.

        13                      ACTING PRESIDENT KUHL:  Call the

        14       roll.

        15                      (The Secretary called the roll.)

        16                      THE SECRETARY:  Ayes 34.

        17                      ACTING PRESIDENT KUHL:  The bill

        18       is passed.

        19                      THE SECRETARY:  Calendar Number

        20       282, by Senator Libous, Senate Print Number

        21       3571, an act to amend Chapter 720 of the Laws of

        22       1979, amending the Mental Hygiene Law.

        23                      ACTING PRESIDENT KUHL:  Read the











                                                             
3222

         1       last section.

         2                      THE SECRETARY:  Section 2.  This

         3       act shall take effect immediately.

         4                      ACTING PRESIDENT KUHL:  Call the

         5       roll.

         6                      (The Secretary called the roll.)

         7                      THE SECRETARY:  Ayes 37.

         8                      ACTING PRESIDENT KUHL:  The bill

         9       is passed.

        10                      Senator Bruno, that completes the

        11       noncontroversial calendar, sir.

        12                      SENATOR BRUNO:  Mr. President,

        13       can we now take up the controversial calendar.

        14                      ACTING PRESIDENT KUHL:  Secretary

        15       will read the controversial calendar.

        16                      THE SECRETARY:  On page 22,

        17       Calendar Number 174, by Senator Skelos, Senate

        18       Print 425, an act to amend the Business

        19       Corporation Law, in relation to corporate

        20       finance, proxies, powers of directory and

        21       mergers.

        22                      SENATOR PATERSON:  Explanation.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3223

         1       Skelos, an explanation has been asked for.

         2                      SENATOR SKELOS:  Lay it aside for

         3       the day.

         4                      ACTING PRESIDENT KUHL:  Lay the

         5       bill aside for the day.

         6                      THE SECRETARY:  Calendar Number

         7       222, by Senator Velella, Senate Print 2764, an

         8       act to amend the Insurance Law, in relation to

         9       reciprocal insurers.

        10                      SENATOR BRUNO:  Lay it aside.

        11                      ACTING PRESIDENT KUHL:  Lay the

        12       bill aside for the day.

        13                      Senator Bruno, that completes the

        14       controversial calendar.

        15                      SENATOR BRUNO:  Mr. President.

        16       I'm going to suggest that we recess and

        17       reconvene at 2:00 o'clock, and ask that we have

        18       a meeting of Finance at 1:45 in Room 332, and

        19       that the Republicans will have an immediate

        20       conference -- "immediate" meaning by that clock

        21       11:20.  11:20.  That gives people time to do

        22       what they have to do and be on time, Mr.

        23       President, and I hear some voices on my left who











                                                             
3224

         1       are concurring.

         2                      Thank you.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Mendez.

         5                      SENATOR MENDEZ:  There will be an

         6       immediate Minority conference.

         7                      ACTING PRESIDENT KUHL:  There

         8       will be an immediate meeting, a Minority

         9       conference in the Minority Conference Room.

        10                      There will be an immediate

        11       meeting of the Majority Conference in the

        12       Majority Conference Room, 332, commencing at

        13       11:20.

        14                      There will be a Finance Committee

        15       meeting at 1:45, and the Senate stands in recess

        16       until 2:00 p.m. this afternoon.

        17                      (Whereupon, at 11:10 a.m., Senate

        18       recessed.)

        19                      (Whereupon, at 2:24 p.m., Senate

        20       reconvened.)

        21

        22

        23











                                                             
3225

         1                      ACTING PRESIDENT KUHL:  Senate

         2       will come to order.  Ask the members to find

         3       their places.

         4                      Chair recognizes Senator Bruno.

         5                      SENATOR BRUNO:  Mr. President.

         6       Can we return to reports of standing committees,

         7       and I believe there is a report at the desk from

         8       the Finance Committee.

         9                      ACTING PRESIDENT KUHL:  You are

        10       correct, Senator Bruno.

        11                      We will return to reports of

        12       standing committees.  Secretary will read.

        13                      THE SECRETARY:  Senator Stafford,

        14       from the Committee on Finance, reports the

        15       following bills:

        16                      Senate Print 1550A, Budget Bill,

        17       an act to amend -- making appropriations for the

        18       support of government (State Operations Budget).

        19                      Senate Print 1758, Budget Bill,

        20       an act to amend the Labor Law, in relation to

        21       boiler inspection requirements.

        22                      Senate Print 1803, Budget Bill,

        23       an act to amend the Civil Service Law, in











                                                             
3226

         1       relation to authorizing the payment of

         2       additional compensation to certain employees in

         3       the Office of General Services.

         4                      Senate Print 1810, Budget Bill,

         5       an act to repeal Section 28 of Chapter 169 of

         6       the Laws of 1994, relating to certain provisions

         7       related to the 1994-95 state budget.

         8                      Senate Print 1830, Budget Bill,

         9       an act to amend the Tax Law, in relation to

        10       corporate mergers, consolidations and

        11       acquisitions and repealing certain provisions of

        12       the Tax Law.

        13                      Senate Print 1836, Budget Bill,

        14       an act to amend the Public Authorities Law, the

        15       New York State Medical Care Facilities Finance

        16       Agency Act and the Facilities Development

        17       Corporation Act.

        18                      And, Senate Print 1843, Budget

        19       Bill, an act to amend the Tax Law, in relation

        20       to reflecting the repeal of Article 15 of the

        21       Tax Law.

        22                      All bills ordered directly for

        23       third reading.











                                                             
3227

         1                      ACTING PRESIDENT KUHL:  Without

         2       objection, all bills are directed to third

         3       reading.

         4                      Senator Bruno.

         5                      SENATOR BRUNO:  Mr. President.

         6       At this time, I would like to call up Calendar

         7       Number 342.

         8                      ACTING PRESIDENT KUHL:  Secretary

         9       will read Calendar Number 342.

        10                      THE SECRETARY:  Calendar Number

        11       342, Budget Bill, Senate Print 1550A, making

        12       appropriations for the support of government.

        13                      ACTING PRESIDENT KUHL:  Chair

        14       recognizes Senator Bruno.

        15                      SENATOR BRUNO:  Mr. President, is

        16       there a message of necessity from the Governor

        17       on Calendar Number 342?

        18                      ACTING PRESIDENT KUHL:  Secretary

        19       informs me that there is, Senator Bruno.

        20                      SENATOR BRUNO:  I move we accept

        21       the message at this time.

        22                      ACTING PRESIDENT KUHL:  The

        23       motion is to accept the message of necessity at











                                                             
3228

         1       the desk.

         2                      All those in favor, signify by

         3       saying aye.

         4                      (Response of "Aye.")

         5                      Opposed, nay.

         6                      (There was no response.)

         7                      The message is accepted.

         8                      Secretary will read the last

         9       section.

        10                      SENATOR PATERSON:  Explanation,

        11       Mr. President.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Stafford, Senator Paterson has asked for an

        14       explanation.

        15                      SENATOR STAFFORD:  Very well,

        16       thank you.

        17                      Mr. President.  We are very

        18       pleased, again, to be here in the Senate as our

        19       leader has said so many times -- but I don't

        20       think it can be said enough -- in the light of

        21       day, doing our job and passing a budget.

        22                      To be very accurate, this is our

        23       third major Budget Bill, and we call this bill











                                                             
3229

         1       year after year "State Operations," and it is

         2       one of the major bills in support of

         3       government.

         4                      I will share with you some of the

         5       highlights we feel that are in the bill and, no

         6       doubt, there will possibly be some questions or

         7       discussion.

         8                      I, by no means, am trying to make

         9       light of what we're doing but I would emphasize

        10       here today if we ever should come here with a

        11       band and have the band playing and then have a

        12       very, very important announcement, it would be

        13       the band would play and then I would say, "The

        14       state fiscal year 1995-96 Executive Budget

        15       recommends 21.4 billion in appropriation

        16       authority, a decline of 476 million, or 2.2

        17       percent, over the current fiscal year.  Actual

        18       spending behind these appropriations is

        19       estimated at 11.7 billion, a decline of 133

        20       million, or 1.1 percent, over Senate fiscal year

        21       1994-95."

        22                      Now, the proposed State

        23       Operations budget which we have before us here











                                                             
3230

         1       today does reflect agency restructuring and

         2       consolidation in areas such as Mental Health,

         3       State University of New York and Corrections.

         4       In addition, the Governor abolishes the State

         5       Energy Office and the Commission on Cable

         6       Television.  These efforts will place the

         7       State's fiscal house in order creating a

         8       stronger economic environment for all New

         9       Yorkers.  And I can't, again, emphasize enough

        10       but I think we have to say it and say it again.

        11       We are spending less -- yes, we are very

        12       concerned that essential services are delivered,

        13       but we're realizing we can't spend more than we

        14       take in.

        15                      Now, the State Operations budget

        16       also is amended to include an additional 14.2

        17       million in cuts and 116.9 million in

        18       restorations, reflecting 90 million in aid to

        19       the State University of New York and 17 million

        20       -- no, and CUNY, excuse me.  State University

        21       of New York and the City University of New York,

        22       that's 90 million, and 17 million for

        23       Corrections.  Remaining restorations include 4











                                                             
3231

         1       million in Mental Hygiene and 4 million for

         2       various programs in the Department of

         3       Environmental Conservation.

         4                      Now, I mentioned amendments.  I

         5       would like to go over some of them, and I also

         6       am reading relatively slowly or am talking

         7       slowly because I want to make sure that we make

         8       things clear.

         9                      The reappropriation of all

        10       petroleum overcharge recovery funds in one year

        11       to honor prior commitments by the Legislature

        12       for energy efficient projects; in other words,

        13       we will have these funds available so that they

        14       can be refunded.  I think we all have been -

        15       had people contact us concerning that issue and

        16       related issues.

        17                      A 24 million restoration to the

        18       City of New York -- excuse me -- the City Uni

        19       versity of New York to help achieve restructur

        20       ing, productivity and efficiencies at senior

        21       colleges and by reducing tuition requirements

        22       and/or program reductions.

        23                      We also have an amendment, and it











                                                             
3232

         1       will provide for 86 million in the academic year

         2       lump sum restoration to the State University of

         3       New York to avert campus closures and to achieve

         4       restructuring productivity and efficiencies by

         5       reducing tuition requirements and for program

         6       reduction.

         7                      We have another amendment, a

         8       limitation on the Governor's second felony

         9       offender sentencing reform proposals, resulting

        10       in a restoration of 12.2 million to the state

        11       financial plan, also 5 million of the proposed

        12       20 million cut in prison programs is restored.

        13                      Another amendment, a 3 million

        14       restoration to the fish and wildlife program in

        15       the Department of Environmental Conservation.

        16                      We also have restorations in the

        17       area of Mental Health, including 400,000 for the

        18       Nathan Kline Institute and for the issuance -

        19       for the Institute for Basic Research.

        20                      In addition, funding for the

        21       following treatment centers is restored:

        22       McPike, Blasdell, Creedmoor and VanDyke.  I'm

        23       sure many of you had visits from individuals,











                                                             
3233

         1       from clients, from staff, from relatives

         2       concerning these programs and we, of course,

         3       consider the programs very important.

         4                      We think, again, this is part of

         5       our doing our job proposing a budget.  We're

         6       going to have a budget, and I certainly will be

         7       more than pleased to answer any questions, and

         8       I'm sure there will be some discussion.

         9                      Thank you, Mr. President.

        10                      ACTING PRESIDENT KUHL:  Chair

        11       recognizes Senator Paterson.

        12                      SENATOR PATERSON:  Mr. President,

        13       may we recognize Senator Waldon, who would like

        14       to vote at this time.

        15                      SENATOR WALDON:  Mr. President, I

        16       respectfully request unanimous consent to be

        17       recorded in the negative on this bill because I

        18       have to leave immediately to go to New York City

        19       on a pressing matter.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Bruno.

        22                      SENATOR BRUNO:  Mr. President.

        23       To accommodate the Senator, can you read the











                                                             
3234

         1       last section of the bill on Calendar 342?

         2                      ACTING PRESIDENT KUHL:  Secretary

         3       will read the last section.

         4                      THE SECRETARY:  Section 2.  This

         5       act shall take effect on the 180th day.

         6                      ACTING PRESIDENT KUHL:  Call the

         7       roll.

         8                      (The Secretary called the roll.)

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Waldon, how do you vote?

        11                      SENATOR WALDON:  No, Mr.

        12       President.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Waldon is recorded in the negative.  The roll

        15       call is withdrawn.

        16                      Senator Galiber.

        17                      SENATOR GALIBER:  Thank you, Mr.

        18       Chairman.  I will be extremely brief on this

        19       issue.

        20                      Mr. Chairman, there are just one

        21       or two questions that I would like to ask you,

        22       and they'll be short questions because I'm sure

        23       that we have -- and we do, Mr. President, have a











                                                             
3235

         1       number of amendments which will probably cover

         2       any questions that you might be willing to be

         3       asked, and I'm sure you will be willing to

         4       answer.

         5                      What concerns some of us, and

         6       most of us, very frankly, is that even in the

         7       bright, sunny day that we have that there was a

         8       great deal of criticism with the former governor

         9       about his one-shot deals or "one-shotters".

        10       There was some discussion this year as to

        11       whether we would go that route or not.  It is my

        12       understanding that there is a number of one

        13       shots that we have here.  Is that correct,

        14       Senator?

        15                      SENATOR STAFFORD:  I could just

        16       say no, because there is none in this.  But you

        17       being a very good friend, I would say there are

        18       such -- that you have such items, but they are

        19       minimal in this year's budget as compared to

        20       last.  But there are none in this particular

        21       piece of legislation.

        22                      SENATOR GALIBER:  I thank you for

        23       your friendship because I assume what goes with











                                                             
3236

         1       the friendship is a sense of candor on your

         2       part.  I have a list here that says $905 million

         3       which is a total of one-shots.

         4                      SENATOR STAFFORD:  Of course,

         5       that's the revenue side and that's not actually

         6       state operations, but I also would be very

         7       pleased to sit down with you because I think we

         8       have about a 400 million disagreement here, and

         9       as I have found -- as I have found in working

        10       with these budgets, I have found that things are

        11       not as exact as I at one time thought they were,

        12       but there are some.  But, as I say, we are

        13       working toward the day we will have none.

        14                      SENATOR GALIBER:  I would, Mr.

        15       Chairman, Senator, suggest that as we plan these

        16       matters out, there must of necessity be a

        17       financial plan of some sort; and in that

        18       context, one-shots that are mentioned here

        19       certainly are within the frame of our financial

        20        -- or should be in the frame of our financial

        21       plan.  I'm sure you agree with that.

        22                      SENATOR STAFFORD:  Again, that

        23       was a short question.  Would you ask it again,











                                                             
3237

         1       please?

         2                      SENATOR GALIBER:  I was

         3       suggesting that to be prudent and responsible as

         4       we both are -- in fact, all the members here

         5       are.  We just play games from time to time, but

         6       we are responsible legislators -- that there

         7       need be a financial plan in place before we can

         8       discuss some of these matters, and I would

         9       assume that the memorandum that I have is one

        10       which goes to the foundation of a budget which

        11       is a financial plan.

        12                      Built into that financial plan is

        13       a number of items that I have categorized or my

        14       staff has categorized as "one-shotters."  I

        15       won't go through the entire list.  It comes to

        16       $905 million.  The two that I'm deeply concerned

        17       about is the transfer -- we call it raiding; I

        18       guess that's a vulgar term to use -- but raiding

        19       of the MTOA and the transfer from pension

        20       supplementary funds.  Those two, I would like

        21       you to comment.

        22                      SENATOR STAFFORD:  I would say

        23       that many of these that are within this category











                                                             
3238

         1       I would say there is a difference of opinion.

         2       It is in the plan that this money will be used

         3       for the restructuring of state government, which

         4       will, in turn, make it possible for us to have

         5       less spending, and that is how they are being

         6       used in this plan.

         7                      SENATOR GALIBER:  Thank you,

         8       Senator.

         9                      ACTING PRESIDENT KUHL:  Chair

        10       recognizes Senator Dollinger.

        11                      SENATOR DOLLINGER:  Mr.

        12       President.  Will Senator Stafford yield for a

        13       couple of questions?

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Stafford, do you yield to Senator Dollinger?

        16                      Senator yields.

        17                      SENATOR DOLLINGER:  I'd like to

        18       follow up Senator Galiber's point about the

        19       pension supplementation fund.  As I understand

        20       it, this budget incorporates $110 million from

        21       the pension supplementation fund.  Isn't that

        22       correct, Senator?

        23                      SENATOR STAFFORD:  Pardon me?











                                                             
3239

         1                      SENATOR DOLLINGER:  This budget

         2       takes $110 million from the pension supplemen

         3       tation fund that is established for state

         4       employees and puts it into the general fund,

         5       isn't that correct, for operations of state

         6       government?

         7                      SENATOR STAFFORD:  Well, first, I

         8       would point out -- point out that this bill does

         9       not authorize such.

        10                      SENATOR DOLLINGER:  Excuse me,

        11       Mr. President.  The financial plan necessary to

        12       run the state operations includes taking $110

        13       million out of the pension supplementation fund

        14       to do that.

        15                      SENATOR STAFFORD:  As I mentioned

        16       earlier, we have a few of these.  But what they

        17       are being used for is to provide funding for the

        18       restructuring of state government which will, in

        19       effect, result in less spending in the future.

        20                      SENATOR DOLLINGER:  Through you,

        21       Mr. President.

        22                      ACTING PRESIDENT KUHL:  Are you

        23       asking the Senator to yield again?











                                                             
3240

         1                      SENATOR DOLLINGER:  Yes, please.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Stafford, do you continue to yield?

         4                      SENATOR STAFFORD:  Sure.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       continues to yield.

         7                      SENATOR DOLLINGER:  The purpose

         8       of that reduction in spending is to fund a tax

         9       cut for the wealthiest people in this state.  So

        10       is it a fair comment, Senator, to say that we're

        11       taking money out of a pot of money that was de

        12       signed by this Legislature to help the poorest

        13       state employees, those who are currently

        14       retired, who have no access to additional

        15       income, and have small pensions from this

        16       state?  This fund was set up to supplement their

        17       pensions, to give them more money, people who

        18       had put their lives in working for this state.

        19       We're going to take money out of that pot of

        20       funds so that we can use it for state government

        21       and hence give a tax cut to the wealthiest

        22       people in the state.  Isn't that a fair

        23       statement, Senator?











                                                             
3241

         1                      SENATOR STAFFORD:  No.

         2                      SENATOR DOLLINGER:  Why not?

         3                      SENATOR STAFFORD:  As I mentioned

         4       earlier -- as I mentioned earlier, any tax

         5       reductions, which we're very proud of, they are

         6       not included in this bill that we are

         7       considering.

         8                      SENATOR DOLLINGER:  But we've got

         9       to reduce the cost of government.

        10                      SENATOR STAFFORD:  Will you let

        11       me answer?

        12                      SENATOR DOLLINGER:  I apologize.

        13                      SENATOR STAFFORD:  You should.

        14                      SENATOR DOLLINGER:  I did.

        15                      SENATOR GOLD:  Mr. President.

        16                      SENATOR STAFFORD:  You know, my

        17       only point is I'll answer any questions and I

        18       will stay here until 10:00 o'clock at night, and

        19       I have never interrupted anybody on this floor,

        20       and I'm not going to.

        21                      Ask your question again.

        22                      Mr. President, may we have the

        23       question again?











                                                             
3242

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Dollinger, would you like to repeat the

         3       question?

         4                      SENATOR DOLLINGER:  Mr.

         5       President, my question was, we're taking money

         6       out of the pension supplementation fund.  We're

         7       going to put it to cover the cost of

         8       government.  We're using part of that to reduce

         9       the cost of government.  We have to take it from

        10       the pension supplementation fund because we want

        11       to reduce taxes for the wealthiest people in

        12       this state.  So is it safe to say we're taking

        13       money from the poorest people of this state,

        14       $110 million of their money, and in essence

        15       giving that $110 million to fund a tax cut for

        16       the wealthiest people in this state?

        17                      SENATOR STAFFORD:  First, I

        18       apologize.  We'll have to keep track today of

        19       how many apologies we have.

        20                      SENATOR DOLLINGER:  Well, as long

        21       as we get at the truth, Senator, I'm not worried

        22       about apologies.

        23                      SENATOR STAFFORD:  At least it











                                                             
3243

         1       keeps us interested in something anyway.

         2                      Now, answering your question, you

         3       know, we're very proud of the program that we

         4       have in reduction of taxes.

         5                      My friends, if we do not change

         6       our tax structure and if we do not reduce our

         7       taxes, we're going to have happen just what

         8       happened in my district, and please let me

         9       explain this one.  We all relate to one another,

        10       we're all concerned for one another when we see

        11       these plants shutting down, these plants

        12       leaving.

        13                      Ours is a relatively rural area

        14       and we had what we called the Sheridan Iron

        15       Works in the town of Champlain, which some of

        16       the people here in the room I'm pretty sure

        17       would know where it is.  And for years and years

        18       they did very fine foundry work and we developed

        19       some very fine toolmakers in Champlain and, as a

        20       matter of fact, I don't think there's hardly any

        21       family that didn't have someone who didn't have

        22       a relative affected.

        23                      Anyway, it was purchased.  Things











                                                             
3244

         1       seemed to be going well.  As a matter of fact, I

         2       can tell you this.  That plant built a machine

         3       that made the TV Guide look like the Reader's

         4       Digest.  That's called object learning when you

         5       explain things this way.

         6                      SENATOR DOLLINGER:  I appreciate

         7       it.

         8                      SENATOR STAFFORD:  You asked.

         9       I'll finish.

        10                      SENATOR DOLLINGER:  I know.  I

        11       just want to get to the answer.

        12                      SENATOR STAFFORD:  Well, I will

        13       answer, I'm sure.  So, anyway, we had 650

        14       employees.  In order to be able to have a plant

        15       that would create and manufacture a company that

        16       could make the TV Guide look like the Reader's

        17       Digest -- and, by the way, they just put the

        18       paper in.  It was printed, everything went -

        19       and it came out a book at the end.  Many, many

        20       engineers, and many people who, frankly, were

        21       paid quite well.

        22                      But it came time for the company

        23       to decide what they were going to do in











                                                             
3245

         1       restructuring their company, which everybody

         2       seems to be doing, and they took 650 jobs out of

         3       our area, out of New York, and that's the type

         4       of problem that has brought this state to its

         5       knees.

         6                      And that's why we've got to make

         7       sure we have tax reductions in all areas, and

         8       we're not taking money from anyone.  When we

         9       have this program, and when we continue these

        10       through -- these cuts through the years, our

        11       business is going to increase.  People are going

        12       to have jobs.  What we're going to do, Senator,

        13       if we don't -- as I have explained many times,

        14       if we continue to take away from the locomotive

        15       that really provides all of these services,

        16       provides everything for our people, everything,

        17       if we continue to kill that locomotive, we will

        18       have nothing and we will certainly hurt all of

        19       our people.

        20                      So my answer to you is,

        21       obviously, I am not in agreement with what you

        22       said.

        23                      SENATOR DOLLINGER:  Mr.











                                                             
3246

         1       President.  On the bill -

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Dollinger, on the bill.

         4                      SENATOR DOLLINGER:  -- since I

         5       took a lot of answer to get to that.

         6                      One is it seems to me, although I

         7       have to strongly disagree with Senator Stafford,

         8       what you are actually doing here is you are

         9       taking $110 million out of an account that was

        10       dedicated for the poorest people in this state,

        11       people who gave their lives to work as public

        12       employees and who have little, tiny pensions,

        13       people who desperately need some help, and

        14       you're taking that money and you're going to put

        15       it into the General Fund to fund State Ops so

        16       that you don't have to take $110 million from

        17       the wealthiest taxpayers in this state to be

        18       able to do the same thing.  You are funding a

        19       tax cut by taking it out of the pension

        20       supplementation account.  We're taking money

        21       from our poorest people who gave their lives to

        22       work for this state and you are giving it to a

        23       tax cut for wealthy people.











                                                             
3247

         1                      If, rhetorically, someone who was

         2       going to vote for this bill can explain the

         3       sense of that to me, please do so.  Take it as

         4       an open question, open invitation.  Stand up and

         5       tell me how you can justify taking it from those

         6       people who are retired and living on pensions,

         7       in some cases of less than $7,000 a year, and

         8       giving it to people who are making more than

         9       $50,000 or $100,000 a year?  Does that make one

        10       iota of fairness, one tiny speck of fairness?

        11       Please stand up and justify it.  Open

        12       invitation.  Take the mike.  It's like a Karaoke

        13       night.  Stand up and sing the song for me and

        14       let's hear it.

        15                      SENATOR STAFFORD:  All right.

        16                      SENATOR DOLLINGER:  Senator, if I

        17       ask a specific question, you can come back.  You

        18       can take your time in the debate to respond.

        19                      SENATOR STAFFORD:  You said,

        20       "Take the mike."

        21                      SENATOR DOLLINGER:  I will.  You

        22       can have the mike after I turn it off.  We're

        23       also doing that with the Metropolitan Transit.











                                                             
3248

         1       We're taking money out of the Metropolitan

         2       Transit account, $220 million.  We're taking it

         3       out of operations in the transit account.  Why?

         4       Because we may have to raise fares for people

         5       who ride the transit in New York City, poor

         6       people in some cases who can't afford cars, and

         7       we're going to tell them that they're going to

         8       have to pay more in transit fees.  Why?  Because

         9       we have to fund a tax cut for wealthy people who

        10       can afford to buy cars.

        11                      No.  That's what you're telling

        12       them today.  That's the financial picture that

        13       comes out of this State Operations budget.

        14                      What are we also taking money out

        15       of?  The Environmental Assistance Fund.  You

        16       remember that.  This house voted to set up that

        17       fund to dedicate resources to buy environment

        18       ally sensitive lands, to help buy the pine

        19       barrens, to help buy land in the Adirondacks, to

        20       help buy land in the Finger Lakes, so that all

        21       the people in this state can enjoy an environ

        22       ment, but we're not going to do that.  We're

        23       taking $23 million out of the Environmental











                                                             
3249

         1       Assistance Fund to fund a tax cut for wealthy

         2       people who make more than $100,000, who have

         3       vacation homes, who have access to the dollars

         4       to fly to Bermuda or wherever.  They can take

         5       their own vacations.  What about people who need

         6       more parkland in this state?  You are taking

         7       their money away from them, their tax dollars

         8       away from them, to fund a tax cut for the rich.

         9                      SENATOR GOODMAN:  Mr. President.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Goodman.

        12                      SENATOR GOODMAN:  Will the

        13       Senator yield for a question, please?

        14                      ACTING PRESIDENT KUHL:  Will you

        15       yield to a question from Senator Goodman?

        16                      SENATOR DOLLINGER:  Mr.

        17       President, as soon as I'm finished, I'd be glad

        18       to yield to a question about any one of the

        19       issues.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       refuses to yield at this time, Senator Goodman.

        22                      SENATOR DOLLINGER:  The final

        23       piece of this that's included in this budget is











                                                             
3250

         1       the one I also don't understand.  There $115

         2       million in this, or there is anticipated $115

         3       million for the new introduction on the road to

         4       what I believe will some day be casino gambling

         5       in this state, and that's the creation of the

         6       quick-draw game, Keno.  There is $13 million in

         7       here for the development of a quick lottery, for

         8       the quick pick for the Keno machines.  One

         9       member of this house has described it as "video

        10       crack"; that we will create an entire generation

        11       that does nothing but pick numbers out of a

        12       machine and wait 10 minutes for a response.

        13                      We're moving down the road to the

        14       possibility of casino gambling.  We're

        15       increasing gambling in this state.  We're laying

        16       the foundation for Keno right here.  That is

        17       another one of the shots that goes into this

        18       financial plan.

        19                      We have -- and Senator Galiber is

        20       absolutely correct.  There are nine of almost a

        21       billion dollars of one-shot revenues here.

        22       We're raiding every fund that we can find.

        23       We're taking it away from the poorest people in











                                                             
3251

         1       this state, from the people who don't have

         2       means, the people who don't have access to

         3       money, the people who have worked in this

         4       state.  Our Pension Supplementation Fund, we're

         5       raiding that.  We're raiding funds for the

         6       Metropolitan Transit.  We're raiding funds for

         7       the Love Canal settlement.  Right out there in

         8       Buffalo, we set up a settlement because we got

         9       more money.  It was designed to help in

        10       remediation of environmental problems.  We're

        11       taking money out of that fund.

        12                      We found every possible fund we

        13       could find.  All those things we set up because

        14       we determined they were in the public interest,

        15       and we're closing the accounts.  We're taking

        16       the money out.  Why?  To fund a tax cut for the

        17       wealthiest people in this state.

        18                      Now, Senator Goodman, Senator

        19       Stafford, please take the mike.  Explain to me

        20       how that's just and fair.

        21                      ACTING PRESIDENT KUHL:  Is there

        22       any other Senator wishing to speak on this

        23       bill?











                                                             
3252

         1                      Senator Leichter.

         2                      SENATOR LEICHTER:  Mr. President,

         3       I think we made the broad points on this bill.

         4       I just want to respond to what has become the

         5       mantra of the majority in this house, any aspect

         6       of the budget, any aspect of your so-called re

         7       form measures on the environment, environmental

         8       regulations or the administrative procedures or

         9       welfare, and so on, we're always met with this,

        10       "We are going to reenergize the economy of this

        11       state," and nobody states it more forcefully

        12       than my good friend Senator Stafford, and I

        13       assume, in some respects, we can't disagree that

        14       we would like to see the economy of the state

        15       improve.

        16                      But what is totally lacking in

        17       your presentation is any sort of economic basis

        18       for what you are saying, any sort of analysis,

        19       any sort of empirical evidence, that by putting

        20       in certain tax cuts that for most citizens are

        21       going to amount to less than $100 or $200 a year

        22       that this in some way is going to energize the

        23       economy of this state.











                                                             
3253

         1                      As I said in another context, do

         2       you believe that factories in Bangladesh are

         3       going to close and move to New York State or

         4       factories in North Carolina are going to close?

         5       There is no economic rhyme or reason to what you

         6       are doing, and we had an example of the economic

         7       theories that you are proposing, and that's the

         8       Reagan years, years that economists as they look

         9       back on it, years that people who make social

        10       analysis look back on it, years that anybody

        11       with their eyes open when you look back on it

        12       has to admit was a total economic disaster, this

        13       whole idea of trickle-down economics.

        14                      And that's what it all comes down

        15       to, the idea that if we make the rich even

        16       richer that it's going to help all the people;

        17       that somehow or other that's going to bring in

        18       the tide and all the boats are going to be

        19       lifted.  It just doesn't work, and what we're

        20       doing is seriously undermining and hurting the

        21       economic climate in this state in so many ways.

        22                      What we're doing to the City

        23       University and to the State University is











                                                             
3254

         1       appalling.  What we're doing to the educational

         2       system of this state is appalling.  What we're

         3       doing to the highways and the transportation

         4       system of this state is appalling.  What we're

         5       doing to our integrity and our credibility where

         6       we have promised the localities of this state,

         7       "You go out; you make school repairs; we will

         8       pay you," where we made promises to every

         9       locality in this state and they were

        10       well-reasoned promises, and the localities

        11       responded to these promises, and then we say,

        12       "We're not going to do it."

        13                      Senator Dollinger is absolutely

        14       correct -- to set up a fund for pension supple

        15       mentation, and then to try to raid that fund.

        16       Thank God, we've got a Comptroller in this state

        17       who has a sense of integrity and he will pursue

        18       legal steps to protect the pensioners.  That's

        19       their money.  How can you do this or to raid the

        20       environmental -- the fund for the environment or

        21       the other funds?  I don't have to list them

        22       again.

        23                      And the big joke is that we had











                                                             
3255

         1       this promised by the Governor, "We will not have

         2       any one-shots.  The gimmicks are over."  Now we

         3       look at it, and we see a budget that is stuffed

         4       with gimmicks.  What sort of approach is that?

         5       What is the great new government that we were

         6       promised, and when you look at it -- and we see

         7       that we have a budget that is full of these

         8       gimmicks and a budget that fails the people of

         9       the State of New York and a budget that's

        10       premised on false economic theory?

        11                      But I just want to say that I

        12       don't think you can fool all the people all the

        13       time.  Abe Lincoln said it best, "You can fool

        14       some of the people all the time, and you can

        15       fool all the people some of the time, but you

        16       can't fool all the people all the time."  And

        17       this mantra of getting up on every special

        18       interest legislation, every bill that you have

        19       that carries out the doctrine of the far right,

        20       ideologically-driven bills, and to say, "This is

        21       what's needed for the economic well being of the

        22       State of New York," it's not going to wash; and

        23       the reason it isn't going to wash is because it











                                                             
3256

         1       ain't so.

         2                      This is not going to help the

         3       State of New York.  This is going to hurt the

         4       State of New York.  This is a bad budget.  It is

         5       badly premised.  It's badly based.  It's the

         6       wrong approach for the State of New York.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Paterson.

         9                      SENATOR PATERSON:  Mr.

        10       President.  Would Senator Stafford yield for a

        11       question?

        12                      SENATOR STAFFORD:  Sure.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Stafford yields, Senator Paterson.

        15                      SENATOR PATERSON:  Thank you,

        16       Senator Stafford.

        17                      I notice that in the legislation,

        18       I believe that it deletes all funding for the

        19       Motor Voter Program that we had in New York, and

        20       I was wondering why we would want to do anything

        21       that would limit the number of people that would

        22       have an opportunity to register to vote?

        23                      SENATOR STAFFORD:  I apologize











                                                             
3257

         1       for the delay here, but I wanted to make sure I

         2       had all the information, the correct

         3       information.

         4                      I remember very well when this

         5       was being debated in Washington, and I know that

         6       many people were saying, and I believe some

         7       officials of our state were saying even though

         8       they agreed with it -- you know some do; some

         9       don't, obviously -- I remember them saying, you

        10       know, they are giving us this job to do,

        11       unfunded mandate, here we go, and really we

        12       don't have the funds to really administer the

        13       program, and you probably saw that also in the

        14       press within the last couple of weeks.

        15                      SENATOR PATERSON:  Would Senator

        16       continue to yield?

        17                      SENATOR STAFFORD:  Sure.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       continues to yield.

        20                      SENATOR PATERSON:  Senator, my

        21       understanding is that this is a federal mandate;

        22       and regardless of what the federal government

        23       does in terms of funding -- that's a good











                                                             
3258

         1       point.  Maybe it's something that our Senators

         2       and our Congresspersons have to take up with the

         3       federal government, but just in terms of the

         4       jurisdictional properties of what we're talking

         5       about here, aren't they really telling us that

         6       this is something that we should fund?

         7                      SENATOR STAFFORD:  Well, I think

         8       you are stating it very, very well that they

         9       said, "We have this program and you should fund

        10       it," and we're saying that we have problems with

        11       funding it.  We don't have the funding; and

        12       until we receive the funding, we don't feel it's

        13       something we should be doing.  I think there is

        14       going to be, obviously, a legal question unless

        15       there is a solution.  I understand that both

        16       houses of the Congress are looking at it, and

        17       this is one that I sort of had in mind because

        18       for some reason I followed it last year when it

        19       was being debated.

        20                      SENATOR PATERSON:  Thank you,

        21       Senator.  On that part of the bill.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Paterson on the bill.











                                                             
3259

         1                      SENATOR PATERSON:  Thank you.  In

         2       about 17 or 18 days, there is a federal mandate

         3       coming that commands me to pay my income taxes,

         4       and they are telling me to pay it, but I don't

         5       have the money.  And if I don't, I guess I will

         6       be in violation of federal law, and that's what

         7       I'm sort of saying we as a state are; that by

         8       doing this we're in violation of federal law.

         9                      Senator Stafford makes a good

        10       point that right now with the economic crisis

        11       that the state is in, it's a little difficult

        12       for us to be burdened by something that the

        13       federal government is telling us to do, but the

        14       federal government has a policy; and that is,

        15       that we in this country feel that we want to get

        16       as many people on the ballots participating in

        17       government.

        18                      We had 43 percent participation

        19       in our presidential elections, 20 percent parti

        20       cipation in our statewide Senate elections.  We

        21       have as little as 7 percent participation in

        22       school board elections.  There is a desire to

        23       try to raise that number, increase registration,











                                                             
3260

         1       increase interest in voting; and what was good

         2       about the Motor Voter bill is it is not aimed

         3       toward any particular area.  As a matter of

         4       fact, it probably inures to the benefit of

         5       people who are driving cars which automatically

         6       puts a number of people at a disadvantage; and,

         7       yet, the conforming with the policy is

         8       specifically that it allows for the added

         9       participation or at least the opportunity to

        10       participate, and that's why we like the bill.

        11                      I want to move to another area

        12       involving the SUNY and CUNY funding that Senator

        13       Dollinger and Senator Galiber touched upon and

        14       ask if Senator Stafford might yield for another

        15       question.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Stafford, would you yield to a question from

        18       Senator Paterson?

        19                      SENATOR STAFFORD:  Sure.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       is happy to yield, Senator Paterson.

        22                      SENATOR STAFFORD:  I didn't hear

        23       the question.











                                                             
3261

         1                      SENATOR PATERSON:  That's all

         2       right.  We're restoring $86,000 to SUNY -- 86

         3       million.  I said 86,000, I'm sorry.  And that is

         4       out of an original 288 million that the

         5       Governor's original proposal removes.  We are

         6       restoring 24 million to the City University out

         7       of the original cut of approximately 160

         8       million.  Is there any reason why the State

         9       University funding restoration is 30 percent, by

        10       my calculations, and the City University

        11       restoration is only 15 percent?

        12                      SENATOR STAFFORD:  Actually, the

        13       cut against SUNY originally was bigger than the

        14       cut against CUNY.  Another item I know is -- I

        15       certainly realize that CUNY has the responsi

        16       bility for their plant and their buildings, but

        17       we have a situation or we all do -- we all have

        18       it in CUNY and we have it in SUNY.  There is a

        19       situation where your plant is much more spread

        20       out, in effect, more inefficient, and I think

        21       that's one of the reasons and again it's 5

        22       percent difference.

        23                      SENATOR PATERSON:  Thank you,











                                                             
3262

         1       Senator.  If Senator Stafford would continue to

         2       yield.

         3                      SENATOR STAFFORD:  Sure.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Stafford, do you continue to yield?

         6                      Senator Stafford, can I just make

         7       a suggestion -

         8                      SENATOR STAFFORD:  Yes, you're

         9       right.

        10                      ACTING PRESIDENT KUHL:  I know

        11       the recorder is probably having a hard time

        12       hearing you.  I know the other members who are

        13       very, very interested in your conversation with

        14       Senator Paterson are having a difficult time

        15       hearing, too, so -

        16                      Senator Paterson, the Senator

        17       yields.

        18                      SENATOR PATERSON:  Thank you.

        19       And Senator Stafford was trying to accommodate

        20       us by facing us, but we know that Senator

        21       Stafford has never turned his back on -- on me

        22       in particular; and so as long as we can all

        23       hear, that's a good suggestion.











                                                             
3263

         1                      SENATOR STAFFORD:  Very good.

         2                      SENATOR PATERSON:  Senator

         3       Stafford, my question to you involves the

         4       relocation of over 3,000 workers from the

         5       Capital Area to a number of regions where we

         6       have purchased property, where we have purchased

         7       buildings from IBM.  On February the 16th,

         8       Governor Pataki announced that he had come to an

         9       agreement with IBM where the state would

        10       purchase 1.3 square million feet of space in

        11       Kingston, East Fishkill and the Endicott area

        12       for approximately $13 million.  This would mean

        13       that the 49 centers that house 6,000 workers who

        14       conduct data processing for the state, that

        15       there would be a consolidation and Governor

        16       Pataki through Mr. Delaney, who is the OGS

        17       Commissioner-in-waiting, I guess, that this

        18       might save $50 million to the state.

        19                      My question is about the economic

        20       impact of this potential move; and, first, I

        21       would like to ask you how the $13 million is

        22       spent.

        23                      I would imagine, to try to answer











                                                             
3264

         1       my own question, that a certain amount of it

         2       would go for the relocation and the purchase of

         3       the buildings, and that the other portion would

         4       be for leasing.

         5                      So my first question to you is,

         6       is the state buying these buildings or leasing

         7       them?

         8                      SENATOR STAFFORD:  I, first,

         9       certainly relate to the wrenching problem it is

        10       for anyone or any family when there are

        11       relocations or layoffs, as I mentioned earlier

        12       in one of my more rambling answers, when I was

        13       talking about the company that moved from our

        14       area with 650 jobs, and you just can't explain.

        15       No one can unless they are part of it and

        16       understand.  There are changes being made; there

        17       are relocations.

        18                      First, I don't believe the exact

        19       plan has been finished on exactly how the $13

        20       million will be spent.  Also, I point out -- and

        21       this gets right back to the heart of the whole

        22       matter, and unless we do our best to reduce

        23       costs and have our public sector as efficient as











                                                             
3265

         1       possible, our private sector as efficient as

         2       possible, the first thing you know no one is

         3       going to have a job in any part of the state.

         4                      Now, we've all, of course, heard

         5       people discussing this issue.  We have some

         6       very, very solid people who represent this

         7       area.  They are making sure that their position

         8       is known, and I think everyone is making sure

         9       that everyone is having an opportunity, and

        10       there will be as little, if any, hurt as

        11       possible.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Paterson.

        14                      SENATOR PATERSON:  Mr.

        15       President.  Senator Stafford, I'm sure you'll

        16       understand that if I demur to your complaint -

        17       in other words, if I accept that everything

        18       you're saying is true -- that it is still

        19       difficult for me to vote for this particular

        20       budget bill because the information doesn't

        21       exist.  It may not be anybody's fault, but the

        22       point is that it is very difficult to reach a

        23       decision and consider that you are part of the











                                                             
3266

         1       decision-making process when you can't establish

         2       whether or not certain issues exist.

         3                      For instance, is it not true that

         4       the three sites scheduled for relocation that we

         5       have either bought or leased from IBM are on the

         6       State's hazardous waste list?

         7                      SENATOR STAFFORD:  If there are

         8       any problems such as that, and we understand

         9       that that is not necessarily the case -- not the

        10       case, but I would say this, that any building at

        11       all in any area, we have to be very, very

        12       careful and make sure that we don't have that

        13       problem, and I'm sure it will be handled.

        14                      I always mention this, and I'm

        15       not saying this solves any problem, but it shows

        16       how things have changed.  When I was young, I

        17       used to help my father put asbestos on the

        18       furnace; in other words, just plain asbestos.

        19       It was a white material that looked like -- not

        20       cement.  I'm trying to think what it looked

        21       like.  Well, it looked like asbestos, and you

        22       just plaster it up there.  Well, I think we know

        23       that it isn't necessarily good for you, and I











                                                             
3267

         1       won't go any further.  I think you probably know

         2       I know that.

         3                      But I'm sure that the matter if

         4       there is any problem, it will be handled and I

         5       understand that there is not such a problem.

         6                      SENATOR PATERSON:  Mr. President,

         7       Senator Stafford may have already answered this

         8       question, but I want to ask just to see whether

         9       or not specifically we have this information.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Stafford, do you yield to Senator Paterson?

        12                      SENATOR STAFFORD:  Yes.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       yields.

        15                      SENATOR PATERSON:  The three

        16       sites of the proposed relocation, that being

        17       Kingston, East Fishkill and Endicott, the $13

        18       million that we're planning to spend, will that

        19       cover the relocation to all three sites, or will

        20       additional funds be needed to accomplish

        21       dividing or in a sense scaling down the three

        22       sites?

        23                      SENATOR STAFFORD:  I think we











                                                             
3268

         1       would have to point out, to be very candid -

         2       and I'm sure you will understand.  I don't think

         3       the final exact plans have been made.  There's

         4       funds to begin the work, the relocation, the

         5       supporting of the individuals, the employees.

         6       How much more?  I would say that with this

         7       administration, you will find that they will

         8       come down on the side of spending as little as

         9       we have to.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Paterson.

        12                      SENATOR PATERSON:  Senator

        13       Stafford, this is my problem.  I have these

        14       conversations with my wife and she tells me

        15       these things, and they seem to be riddles, and I

        16       never exactly understand but she says, "You're

        17       putting the cart before the horse."  And what

        18       I'm saying to you is when we have announcements

        19       coming from a governor and we have newspaper

        20       articles that you admitted very honestly are

        21       frightening people, that they are going to be

        22       relocated, that they may be laid off -- and

        23       we're not talking about a few people.  We're











                                                             
3269

         1       talking about 3,200 people, maybe 3,500 people,

         2       and we're telling these people that their jobs

         3       are in jeopardy.  They do data processing in 49

         4       different centers.  There are 6,000 of them.

         5                      Eighty-five percent of them work

         6       in this region that we're standing in right now,

         7       and we're saying we're going to do relocation.

         8       We are going to buy it from IBM.  We haven't

         9       said exactly what IBM is doing to help the

        10       state, but we do want to encourage business to

        11       flourish.  We want to help IBM, and I want to

        12       help IBM.  But at the same time, we have

        13       residents who we serve feeling this anxiety

        14       which quite often the perception of pain is

        15       sometimes -

        16                      SENATOR SALAND:  Mr. President.

        17       Would Senator Paterson yield?

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Paterson, Senator Saland is asking you to yield.

        20                      SENATOR PATERSON:  By all means.

        21                      SENATOR SALAND:  Senator

        22       Paterson, perhaps I heard you incorrectly, but

        23       did you tell me that either you had been advised











                                                             
3270

         1       or had heard that by reason of these proposed

         2       transfers that there were going to be 3,000 or

         3       3500 layoffs, or did I misconstrue what your

         4       comments were?

         5                      SENATOR PATERSON:  Thank you,

         6       Senator.  Thank you for giving me the

         7       opportunity.

         8                      SENATOR SALAND:  Because I do

         9       believe you may have said something like that in

        10       the course of your comments.  And, if so, I fear

        11       that either you've been misinformed or perhaps

        12       you are not speaking with your usual eloquence.

        13                      SENATOR PATERSON:  Senator, I

        14       don't think I was misinformed.  What I'm saying

        15       is that the effect of transfer that far away

        16       would constitute a layoff for some; in other

        17       words, not everybody can go where the job is,

        18       and I was actually just responding in kind to

        19       the statements that Senator Stafford made about

        20       the possibility.

        21                      SENATOR STAFFORD:  Can I ask

        22       Senator Paterson a question?

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3271

         1       Paterson, do you yield to a question from

         2       Senator Stafford?

         3                      SENATOR PATERSON:  Well, he

         4       better get in line, Mr. President.

         5                      ACTING PRESIDENT KUHL:  The

         6       Senator yields.

         7                      SENATOR STAFFORD:  I have to get

         8       this.  You being a very, very good lawyer, I

         9       can't let it get into evidence that I used the

        10       word "frightening" because I never did.  I have

        11       to say, I did say that whenever anyone or any

        12       family has to move, it can be very wrenching.

        13       But this is a situation that has to be consid

        14       ered, and I think these people are receiving

        15       consideration, and really we're doing this so

        16       that we can have a viable state and we're not

        17       continually spending more than we take in.

        18                      With that, I'll sit down, and I'm

        19       sure that some others -

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Paterson.

        22                      SENATOR PATERSON:  Mr.

        23       President.  I hope this doesn't sound too











                                                             
3272

         1       euphemistic; but if you use the word "heart

         2       wrenching," the heart applies to the fear.  The

         3       wrenching comes later.  I think that whichever

         4       the actual word was, just the point of some

         5       concern of an emotional basis might arise from

         6       an announcement made by the executive, the

         7       highest supervisory power that government has in

         8       the state, that there's going to be a relocation

         9       of over 3,000 workers; and I would imagine that

        10       that would lead to some people losing their

        11       jobs, some people being able to accommodate the

        12       transfer and moving to Kingston or East Fishkill

        13       or Endicott or perhaps other areas, because we

        14       don't really know where all of these transfers

        15       are going to take us.

        16                      SENATOR STAFFORD:  Can I ask you

        17       one more question?

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Paterson, do you yield to Senator Stafford?

        20                      SENATOR PATERSON:  Yes,

        21       absolutely.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       yields.











                                                             
3273

         1                      SENATOR STAFFORD:  Thank you.

         2       Wouldn't you agree that this is being done in a

         3       business-like manner?  It's being done in order

         4       to have more efficient government, to save

         5       money?  And I think there is no question but the

         6       way the administration is working, I think they

         7       are showing their concern, their compassion, and

         8       they are making sure that all people involved

         9       are considered and receive every consideration

        10       possible.

        11                      SENATOR PATERSON:  Senator, you

        12       have asked me a question that I can't answer,

        13       and the reason I can't answer is the reason that

        14       you couldn't answer my questions because we

        15       don't really know all of that information yet.

        16       What I'm saying is that I just was questioning

        17       the nature of putting it in this legislation and

        18       also holding press conferences and saying that

        19       we're doing something to promote business when,

        20       in fact, we don't have the information yet.

        21                      In other words, before I told

        22       anybody that they were going to relocate, I

        23       would try to have my program completely











                                                             
3274

         1       organized so that I knew exactly who was going,

         2       exactly how much money is being spent, exactly

         3       the areas of relocation.

         4                      They have mentioned the savings

         5       to the state.  That sounds very nice, but we

         6       really don't know that that is the case.  And so

         7       what I'm saying is that I don't know if it's

         8       really in the best interest not only of these

         9       workers in this particular area but of anyone in

        10       this state to hear about the plight of workers

        11       who may be relocated to different areas -- two

        12       of them further down in the Hudson Valley and

        13       one of them in Endicott -- and nobody knows even

        14       if the land on which the buildings they would be

        15       working in would comply with regulations

        16       promulgated by the Department of Environmental

        17       Conservation.

        18                      What I'm saying to everybody is

        19       that I don't think this is particularly a

        20       responsible thing to do.  I think that the idea

        21       is good.  I think that perhaps I would go as far

        22       as saying that in terms of any action that would

        23       benefit by saving the state money that certainly











                                                             
3275

         1       the thrust is good.  But I'm saying -

         2                      ACTING PRESIDENT KUHL:  Excuse

         3       me, Senator Paterson.

         4                      Senator Saland, why do you rise?

         5                      SENATOR SALAND:  Mr. President.

         6       Would Senator Paterson yield, please?

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Paterson, would you yield to Senator Saland?

         9                      SENATOR PATERSON:  Yes, I would,

        10       Mr. President.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Paterson yields.

        13                      SENATOR SALAND:  Thank you,

        14       Senator Paterson.

        15                      Senator Paterson, I don't recall

        16       your exact words, but I think you said something

        17       to the effect that somehow or another this was

        18       irresponsible.  I don't want to put words in

        19       your mouth.  I'm sort of troubled by that

        20       characterization because perhaps you could tell

        21       me whether in the course of the state being able

        22       to purchase state-of-the-art high-tech computer

        23       space for probably somewhere in the area of











                                                             
3276

         1       seven or eight dollars a square foot, when to

         2       build or to locate that space in the open market

         3       would cost 20, 30 or 40 times that amount, that

         4       could be considered irresponsible, or when the

         5       state gets a lease on state-of-the-art property

         6       for merely operation and maintenance, paying the

         7       heat, the electric and nothing more, that is

         8       considered irresponsible?

         9                      SENATOR PATERSON:  Mr. President.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Paterson.

        12                      SENATOR PATERSON:  To be precise,

        13       I never said it was irresponsible.  I just said

        14       it wasn't particularly responsible.  I didn't

        15       think it was the best way to do it.  However, I

        16       now have in my hand -- a subpoena?  That's not

        17       it.  A report from the Division of Hazardous

        18       Waste Remediation that says that these three

        19       sites are on the State's list of hazardous land

        20       areas, and so regardless of what square footage

        21       we might buy it, it would go almost to what

        22       Senator Stafford was saying a little earlier

        23       about lessons we've learned in the past and that











                                                             
3277

         1       we've come a long way.  I don't know we've come

         2       very far if we find out later on that we're

         3       purchasing land on hazardous property.

         4                      SENATOR SALAND:  Senator

         5       Paterson, would you continue to yield?

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Paterson, do you yield to another question from

         8       Senator Saland?

         9                      SENATOR PATERSON:  Yes,

        10       absolutely, Senator.

        11                      SENATOR SALAND:  Do you have any

        12       idea what the acreage is on any one of those

        13       three sites?

        14                      SENATOR PATERSON:  No, I don't,

        15       Senator.

        16                      ACTING PRESIDENT KUHL:  Do you

        17       yield for another question from Senator Saland,

        18       Senator Paterson?

        19                      Senator yields.

        20                      SENATOR SALAND:  Senator Pater

        21       son, were one of those sites consisting of 40 or

        22       50 or 70 or 80 acres and perhaps one small por

        23       tion, say a quarter of an acre, was determined











                                                             
3278

         1       to have had some chemicals that might have been

         2       used, chemicals that might be sitting in, say,

         3       for instance, canisters, would that, in effect,

         4       result in the whole site being considered a

         5       contaminated site?

         6                      SENATOR PATERSON:  Well, Senator,

         7       first of all, I don't understand how I can get

         8       up and ask questions and then be condemned for

         9       not knowing the answers.  If I knew the answers,

        10       I wouldn't be asking the questions.  What I'm

        11       trying to say is it is on this list.  How it got

        12       on the list is something that probably needs to

        13       be investigated.

        14                      But what I'm saying to you,

        15       Senator, is -- I'm not saying that you're

        16       wrong.  I'm just saying, why don't we have this

        17       information before we go to the public?  That's

        18       my question.

        19                      SENATOR SALAND:  Senator,

        20       inasmuch as you have been yielding to me and I

        21       have been asking the questions, I think the

        22       rules of this house would require me perhaps at

        23       such time as you have yielded the floor to maybe











                                                             
3279

         1       offer some statements that might provide some of

         2       the information that you're looking for.  So at

         3       such time you have yielded the floor, I will

         4       avail myself of the opportunity to basically

         5       talk about what the Governor has proposed here

         6       and certainly, by all means, it's not a

         7       cornerstone of this particular bill that we're

         8       talking about now, but inasmuch as you have

         9       raised it and raised some questions that have

        10       created a sort of cycle of fear, and I think

        11       very unjustifiably, and certainly I understand

        12       the politics of it, particularly from whence it

        13       comes.  I don't mean from whence it comes from

        14       you, Senator.  I'm talking about some of our

        15       colleagues over in the other house who with

        16       great fanfare held a hearing on this.  I

        17       understand the need for the domestic

        18       consumption, but I would like to try and talk

        19       about the merits, and as I said -

        20                      ACTING PRESIDENT KUHL:  Thank

        21       you, Senator Saland.  You are absolutely

        22       correct.  Senator Paterson does have the floor.

        23                      Senator Paterson.











                                                             
3280

         1                      SENATOR PATERSON:  Then would

         2       Senator Saland yield for a question?

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Saland, do you yield to a question?

         5                      SENATOR SALAND:  Sure.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       yields.

         8                      SENATOR PATERSON:  The $13

         9       million that was in the announcement that the

        10       Governor made on February 16th of this year,

        11       does that cover all three land areas or does it

        12       cover the entire transfer?

        13                      SENATOR SALAND:  There are two

        14       purchases and one lease arrangement.  One of the

        15       purchases is in the Endicott area; the other is

        16       in the Kingston area, and the lease arrangement

        17       is in East Fishkill.  The lease arrangement is

        18       for some 75,000 square feet for which the State

        19       of New York will be paying yearly operation and

        20       maintenance, ten-year lease.  I'm not quite

        21       sure.  I don't recall whether there is an option

        22       on that, as well.  The square footage in

        23       Kingston, I believe, is somewhere in the area of











                                                             
3281

         1       a million square feet, and Senator Libous isn't

         2       present, but the square footage in the Endicott

         3       area is somewhere in excess of 300,000 square

         4       feet.  The net cost to the state, as I mentioned

         5       earlier, is single digits, probably somewhere in

         6       the area of -- it's certainly less than $10 per

         7       square foot.  Comparable costs would be in

         8       excess of $200 per square foot, so it's

         9       certainly, just from a dollars and cents

        10       perspective -- forget where we go in terms of

        11       how we're going to arrange the staffing, but in

        12       a dollars and cents perspective, it is an

        13       absolutely marvelous bargain for the State of

        14       New York.

        15                      And, simultaneously, what the

        16       state managed to accomplish was to assure -- and

        17       I say the "state."  I mean Governor Pataki.

        18       What the Governor managed to do was to assure

        19       the continued presence of IBM at its corporate

        20       headquarters in Westchester County in the State

        21       of New York, which on a contiguous piece of

        22       attached property could have then built their

        23       new headquarters which they were going to build











                                                             
3282

         1        -- and, in effect, were required to build for

         2       business reasons -- over in Connecticut.  Would

         3       have been a major loss to the State of New

         4       York.  That new corporate headquarters which

         5       will be built in the State of New York, I'm

         6       told, also will result in some 2,000

         7       construction jobs that will also be provided for

         8       that particular site.

         9                      SENATOR PATERSON:  Mr. President,

        10       this is most instructive.  Will Senator Saland

        11       continue to yield?

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Saland, do you continue to yield?

        14                      SENATOR SALAND:  Certainly,

        15       Senator.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       continues to yield.

        18                      SENATOR PATERSON:  Can you tell

        19       me something about the condition of the

        20       buildings?  And, in addition, Senator Saland,

        21       can we return to the point of the land mass of

        22       those particular areas and why you think I would

        23       imagine that they are safe environmentally.











                                                             
3283

         1                      SENATOR SALAND:  I can tell you

         2       that at the current site in East Fishkill -- I

         3       have never been on the Endicott site and,

         4       although I'm familiar with the general locale at

         5       the Kingston site, I've never been there -

         6       there are currently thousands of people working

         7       at that site.  The site probably consists, I

         8       would guess, of at least 40 to 50 acres, perhaps

         9       more.  It may be as much as 100 acres, and I'm

        10       not sure what other properties that are

        11       currently not developed with other parcels IBM

        12       also has at that site.

        13                      There is nobody at the site that

        14       I'm aware of, no reports in the local media, no

        15       information I have received to indicate that

        16       anybody feels that their health has been

        17       jeopardized.  I'm not aware of any litigation

        18       pending by anybody claiming that their health

        19       has been jeopardized.  I would suggest to you it

        20       is certainly possible that whatever it is that

        21       has occurred that has resulted in their being on

        22       the register for that parcel that it could well

        23       be that it's no more than the placement of some











                                                             
3284

         1       residue or some product that was used in one of

         2       their manufacturing processes.

         3                      SENATOR PATERSON:  Senator Saland

         4       continue to yield?

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Saland, do you continue to yield?

         7                      SENATOR SALAND:  Yes, Mr.

         8       President.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       continues to yield, Senator Paterson.

        11                      SENATOR PATERSON:  Senator

        12       Saland, do you have any idea how the properties

        13       would wind up on the inactive hazardous waste

        14       disposal list?

        15                      SENATOR SALAND:  I would suggest

        16       to you that there are -- Lord only knows how

        17       many.  You may know more than I.  I would

        18       suggest to you that -- again speaking to the one

        19       site with which I have some familiarity that is

        20       in my district that there -- I have no idea what

        21       the remediation consists of, but there is

        22       nothing that I am aware of that at this point

        23       poses a threat to anybody at that site.  I have











                                                             
3285

         1       absolutely no information.  There has been none

         2       in my media.  There's been nobody who has

         3       contacted me to indicate that that site is

         4       posing a hazard to anybody present on that

         5       site.

         6                      My assumption is, based on

         7       experience in other situations with remediation

         8       on large parcels, that it may well be the

         9       presence of some substance used in the

        10       manufacturing process that has been deposited on

        11       the site that will have to be moved and the site

        12       remediated, and I can only assure you that IBM

        13       has a virtually unblemished record in handling

        14       those types of problems.

        15                      If all of our business people and

        16       all of New York and corporate America addressed

        17       their problems in a similar fashion, we would

        18       not have the types of problems for which this

        19       registry was even created.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Paterson.

        22                      SENATOR PATERSON:  Mr.

        23       President.  If Senator Saland continues to











                                                             
3286

         1       yield?

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Saland, do you continue to yield?

         4                      SENATOR SALAND:  Yes, Mr.

         5       President, I do.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Saland continues to yield.

         8                      SENATOR PATERSON:  Senator

         9       Saland, you do acknowledge that there would be a

        10       difference between chemicals that would be in a

        11       canister, as you described before, that are just

        12       on the property and need to be moved and if

        13       there actually is an environmental problem on

        14       that particular land?

        15                      In other words, I'm not trying to

        16       convince you that because it's happened before

        17       that it is the case here, but I'm just trying to

        18       make you sensitive to the fact that it has

        19       happened before and that there have been

        20       situations where this became a problem for

        21       individuals who were in those areas.

        22                      SENATOR SALAND:  Senator, I'm

        23       anything but insensitive.  I think what we're











                                                             
3287

         1       dealing with here is something in the nature of

         2       a straw man than really a major problem.  The

         3       reality is, it's pretty hard to find parameters

         4       such as the Governor has managed to accomplish

         5       here that's going to translate into tens of

         6       millions of dollars of savings, retain one of

         7       New York's corporate blue bloods here in the

         8       State of New York, create construction jobs, and

         9       benefit not only the economy of the State of New

        10       York but each and every one of our taxpayers

        11       with that tens of millions of dollars of

        12       savings, and that's an annual savings.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Dollinger.

        15                      SENATOR DOLLINGER:  Senator

        16       Saland yield to a question?

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Saland, do you yield to a Senator Dollinger?

        19                      SENATOR SALAND:  Certainly, Mr.

        20       President.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       yields.

        23                      SENATOR DOLLINGER:  I apologize.











                                                             
3288

         1       I know this is down in your neck of the woods

         2       and not in mine.  So, again, just let me ask you

         3       a couple of exploratory questions so I make sure

         4       I understand what we're talking about.

         5                      Through you, Mr. President.  Do

         6       you know how long these buildings that were

         7       owned by IBM were on the market?

         8                      SENATOR SALAND:  Not particularly

         9       long.  Again, I can't account for Endicott.  The

        10       facility in Kingston probably within -- probably

        11       no more than two or three years, maybe even

        12       less.  The facility in East Fishkill is really

        13       not on the market.  They are attempting to

        14       market the space.  I don't believe they are

        15       interested in selling it.  There are multi

        16       purpose uses at that site.  IBM and a host of

        17       other unrelated manufacturers or service people

        18       are located on the site.  In fact, the site no

        19       longer is called IBM East Fishkill.  I have

        20       forgotten the name.  I'm showing my age by

        21       identifying it as IBM East Fishkill.  It may be

        22       Mid-Hudson Business Center.  I'm not quite sure

        23       what it is.











                                                             
3289

         1                      SENATOR DOLLINGER:  Again,

         2       through you, Mr. President.  The building -- I

         3       know East Fishkill, at least based on what I can

         4       read, is sort of a separate case over there, and

         5       my understanding is we're not going to buy that

         6       site.  We're just going to lease the space

         7       there.

         8                      SENATOR SALAND:  I mentioned in

         9       response to questions from Senator Paterson a

        10       bit earlier I believe that is a ten-year lease.

        11       I'm not -- I can't recall whether there is an

        12       option associated with it or not.  It's strictly

        13       an operation and maintenance lease.  It's a

        14       tough lease to match anywhere for the kinds of

        15       space that you are going to be getting for

        16       basically high tech computer operations.

        17                      SENATOR DOLLINGER:  Right.

        18       That's why, through you, Mr. President, I would

        19       like to focus on -

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Saland, do you continue to yield?

        22                      SENATOR SALAND:  Yes, Mr.

        23       President.











                                                             
3290

         1                      ACTING PRESIDENT KUHL:  Senator

         2       continues to yield.

         3                      SENATOR DOLLINGER:  I would like

         4       to focus on just so -- again, so I understand.

         5       The buildings down in the lower part of the

         6       state we're actually going to purchase is my

         7       understanding?

         8                      SENATOR SALAND:  Excuse me?

         9                      SENATOR DOLLINGER:  We're going

        10       to purchase those buildings on the IBM site?

        11                      SENATOR SALAND:  Not in East

        12       Fishkill.

        13                      SENATOR DOLLINGER:  No, no, apart

        14       from the East Fishkill site.  I'm talking about

        15       the other buildings.

        16                      SENATOR DOLLINGER:  The Kingston

        17       site is a purchase, and, again, I believe it's

        18       approximately a million square feet.

        19                      SENATOR DOLLINGER:  Okay.  And my

        20       understanding is they've been on the market for

        21       a couple of years?

        22                      SENATOR SALAND:  No more than.

        23       When I said two to three, it might even be less.











                                                             
3291

         1                      SENATOR DOLLINGER:  My question

         2       through you, Mr. President, is obviously the

         3       space being available, being vacant, has

         4       something to do with the fact that IBM has

         5       downsized, and it has something to do with the

         6       fact that these buildings are on the market, and

         7       they can't sell those buildings.  So, obviously,

         8       if it was, as you've described it, wonderful

         9       space, which it may well be, it would be an

        10       attractive market commodity that would have

        11       already been sold to someone else.

        12                      My question is, is that the

        13       economic policy of this state?  If we do this in

        14       this budget, is it the economic policy in this

        15       state that when a company decides that it needs

        16       to downsize that we're going to go in and buy up

        17       the property that is on the market because they

        18       overbuilt the first time and that we're going to

        19       bail them out to some extent of their downsizing

        20       by buying their vacant property?

        21                      SENATOR SALAND:  Is that a

        22       question to me, Senator?

        23                      SENATOR DOLLINGER:  That's the











                                                             
3292

         1       question.

         2                      SENATOR SALAND:  Senator, I think

         3       that, perhaps, it's a bit disingenuous or

         4       certainly, if not disingenuous, you are

         5       certainly taking liberties.

         6                      That property -- remember, we are

         7       talking 49 separate entities being consolidated

         8       into three sites, a common practice in business,

         9       a common practice in other states and, certain

        10       ly, a practice that should be well received

        11       here.  We're talking about a situation that

        12       amounts basically to a win-win situation.

        13       Taxpayers win, people of the State of New York

        14       continue to win, and we retain a major

        15       corporation here in the State of New York.

        16                      Am I aware that IBM was going to

        17       pack up and leave?  I'm not aware that IBM was

        18       going to pack up and leave, but I was aware that

        19       they were in the process of building new corpor

        20       ate headquarters.  Those corporate headquarters

        21       could have been just as easily built on the same

        22       parcel, one contiguous parcel in the State of

        23       New York and the State of Connecticut.  This is











                                                             
3293

         1       anything but an effort to buttress IBM.

         2                      IBM, in case you haven't followed

         3       in the New York Stock Exchange reports, has been

         4       doing very, very well over the course of the

         5       past year or two.  IBM could have just as

         6       readily chosen to do any number of things with

         7       that particular piece of property.  Could have

         8       chosen to leave.  Could have chosen to leave the

         9       community and just leave the facility.  It

        10       wouldn't really be their problem.  Could have

        11       chosen to take down the building.  I mean they

        12       could have done any number of things.

        13                      But why should we be penalized -

        14       or why should you endeavor to besmirch the

        15       Governor for putting together a deal that has

        16       saved the people in your district I don't know

        17       how many thousands of dollars as part of that

        18       millions of dollars that the state is going to

        19       be saving?  Does it bother you that the state

        20       somehow or other consolidate?

        21                      SENATOR DOLLINGER:  Mr.

        22       President.  Was that a question back to me?  I

        23       was asking the questions.











                                                             
3294

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Dollinger, you have the floor, and you asked

         3       Senator Saland to yield.  Senator Saland

         4       yielded.

         5                      SENATOR DOLLINGER:  I believe he

         6       yielded for a question, so I believe he still

         7       has the floor.

         8                      ACTING PRESIDENT KUHL:  No.  You

         9       have the floor, Senator Dollinger.

        10                      SENATOR DOLLINGER:  I do for

        11       purposes of questions.  Okay.  I will pass on

        12       the question.  Let me ask one more.

        13                      ACTING PRESIDENT KUHL:  Excuse

        14       me, Senator Dollinger.

        15                      Senator Bruno, why do you rise?

        16                      SENATOR BRUNO:  Mr. President.

        17       While we're debating who has the floor and who

        18       has the question, I wonder if Senator Dollinger

        19       and if you would indulge me, if you would yield

        20       to a question or two?

        21                      SENATOR DOLLINGER:  From Senator

        22       Bruno?  I was asking the questions, but I will

        23       be glad to yield.











                                                             
3295

         1                      SENATOR BRUNO:  Do you mind?

         2                      ACTING PRESIDENT KUHL:  The

         3       Senator yields.

         4                      SENATOR BRUNO:  Thank you for

         5       your courtesy.  I have a question, and I wasn't

         6       here for all of this exchange, but I would like

         7       to ask you very directly, Senator, on whether or

         8       not you support keeping IBM in New York State

         9       with its headquarters?

        10                      SENATOR DOLLINGER:  Oh,

        11       absolutely.

        12                      SENATOR BRUNO:  You do.  And,

        13       Senator, you recognize that what you are

        14       discussing was part of the total package?  You

        15       know, understand total packages that are made

        16       when you are making an arrangement?

        17                      SENATOR DOLLINGER:  I do

        18       perfectly, Mr. President, if that's the next

        19       question.

        20                      SENATOR BRUNO:  Thank you.  And,

        21       Mr. President, one other question.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Dollinger, continue to yield?











                                                             
3296

         1                      SENATOR DOLLINGER:  Yes.

         2                      SENATOR BRUNO:  If we were

         3       dealing with Eastman Kodak, would you feel the

         4       same way about keeping them here in the state,

         5       Senator?

         6                      SENATOR DOLLINGER:  Mr.

         7       President, that was the exact purpose of the

         8       line of questioning I was hoping to get to with

         9       Senator Saland.

        10                      SENATOR BRUNO:  Well, I'm very

        11       happy -

        12                      SENATOR DOLLINGER:  Excuse me,

        13       Mr. President.  Could I answer the Majority

        14       Leader's question?

        15                      ACTING PRESIDENT KUHL:  That you

        16       may.

        17                      SENATOR DOLLINGER:  If it is the

        18       economic policy of this state that when compan

        19       ies downsize and they have vacant property,

        20       we're going to take state operations and put

        21       them into that vacant property as part of a

        22       total package to keep them in New York State, I

        23       would simply ask and I would certainly be











                                                             
3297

         1       willing to look at a concept that said what we

         2       do for IBM in Kingston, I think we might look at

         3       to do it for Eastman Kodak Company or Xerox or

         4       Bausch & Lomb.

         5                      That's why what I was simply

         6       trying to identify through Senator Saland was

         7       whether this is now the economic policy of this

         8       state so I can go back to the corporate

         9       community in my community and say to them, "Gee,

        10       we now have this policy; if we have vacant

        11       buildings, we have opportunities, we're going to

        12       consolidate state operations and move them

        13       there, as we did to Kingston."  If that's the

        14       policy, I'd simply like it articulated.

        15                      SENATOR SALAND:  Is that a

        16       question for me or a question for Senator

        17       Bruno?  I'll yield to Senator Bruno.

        18                      SENATOR DOLLINGER:  I believe I

        19       was just answering the question.

        20                      SENATOR BRUNO:  Well -

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Dollinger was answering a question from Senator

        23       Bruno.











                                                             
3298

         1                      SENATOR BRUNO:  Senator

         2       Dollinger -

         3                      ACTING PRESIDENT KUHL:  Senator,

         4       do you continue to yield?

         5                      SENATOR DOLLINGER:  I'd be glad

         6       to, Mr. President.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       yields.

         9                      SENATOR BRUNO:  You understand

        10       that Senator Saland doesn't set the economic

        11       policy for this state, don't you, Senator, in

        12       that I wondered why you'd be asking that

        13       question on the floor of the Senate?

        14                      SENATOR DOLLINGER:  Through you,

        15       Mr. President, by way of response, I'm simply

        16       trying to find out whether this budget creates

        17       that policy and, if it does, try to establish if

        18       what we're doing in this budget is creating that

        19       policy, I fully you understand it, and then I

        20       can go back to the corporate community in my

        21       neck of the woods and say that this is now the

        22       policy.  We set our policy through our budget in

        23       how we spend our money, how we shift our money











                                                             
3299

         1       around, what we do to consolidate our

         2       operations.  Budgets, as you well know, are

         3       policy documents.

         4                      If that's the policy, I simply

         5       want to know it so that I can go back to my

         6       community and say this is what we're now doing.

         7                      SENATOR BRUNO:  Yes.  Another

         8       question?

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Dollinger, do you continue to yield?

        11                      SENATOR DOLLINGER:  Yes.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       yields.

        14                      SENATOR BRUNO:  What you are

        15       asking about really relates to job retention and

        16       economic development in this state and, Senator,

        17       I heard your beeper go off, and I wondered if

        18       that was the Speaker of the Assembly calling

        19       you, and you checked it.

        20                      Because my question is that I

        21       gather from your line of questioning that you

        22       have negative things to say about what we're

        23       doing here that relates to trying to maintain











                                                             
3300

         1       one of the largest corporations in the whole

         2       world in this state, and if it pertains to

         3       creating policy, wouldn't it be a great policy

         4       if we can maintain the companies like Eastman

         5       Kodak, IBM and so many others here in this state

         6       so people can work?  Wouldn't you support that,

         7       Senator?

         8                      SENATOR DOLLINGER:  Oh, Mr.

         9       President, as I asked questions of Senator

        10       Saland, as Senator Paterson asked questions of

        11       Senator Saland, I think we all agree with the

        12       goal of keeping IBM here.

        13                      One of the reasons why I asked

        14       the questions, at least from my perspective, was

        15       to identify if that's the policy we're setting

        16       in this budget, I just want to know that because

        17       that will affect whether or not I vote for this

        18       budget.  If it's now the policy that, "Your

        19       buildings are vacant for a couple of years, we

        20       need to consolidate operations, therefore, we'll

        21       buy your vacant buildings," there are vacant

        22       buildings in Eastman Kodak Company that are in

        23       my district.  There are vacant buildings from











                                                             
3301

         1       the Xerox company that are in my district.

         2                      Is that what we're now going to

         3       do?  If so, then I would simply like to know

         4       that.  That's what I was hoping to identify from

         5       Senator Saland.  I don't know that my question

         6       raised any other issues.

         7                      SENATOR BRUNO:  Thank you, Mr.

         8       President.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Dollinger, you have the floor.

        11                      SENATOR DOLLINGER:  I have one

        12       other question but not for Senator Saland.  It

        13       actually deals with another issue in the budget.

        14                      ACTING PRESIDENT KUHL:  You are

        15       asking Senator Stafford to yield?

        16                      SENATOR DOLLINGER:  Senator

        17       Stafford, would you yield?  This is a separate

        18       issue.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Stafford yields to Senator Dollinger.

        21                      Excuse me, Senator Dollinger.

        22       Senator Paterson, why do you rise?

        23                      SENATOR PATERSON:  I was just











                                                             
3302

         1       going to ask Senator Dollinger, since we were on

         2       this specific subject, if we could finish it?

         3                      SENATOR DOLLINGER:  Mr.

         4       President.  Before I move on to another, I yield

         5       the floor back to Senator Paterson.  I

         6       apologize.

         7                      SENATOR PATERSON:  I had a

         8       question for Senator Saland, actually.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Saland, do you yield to Senator Paterson?

        11                      SENATOR SALAND:  I yield.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       yields.

        14                      SENATOR PATERSON:  Senator

        15       Saland, I have in front of me an article that

        16       refers to a study that was conducted in

        17       Binghamton in 1986, after a number of children

        18       died of leukemia and that the whole area of

        19       Binghamton apparently suffered a higher inci

        20       dence of leukemia than the norm, and this is in

        21       the direct area of what would be the Endicott

        22       plant.

        23                      Also the report from the











                                                             
3303

         1       Department of Environmental Conservation, the

         2       Division of Hazardous Waste Remediation, it

         3       talks about the area in Kingston where the IBM

         4       plant is, was dated March 13 of 1995, and they

         5       were specific about what the problem they say

         6       was, and it had to do with groundwater that was

         7       contaminated by some kind of an organism, and it

         8       produces something called VOCs.

         9                      And my question to you is, are

        10       you familiar with any of the situations

        11       occurring in two of the three areas that the

        12       workers were scheduled to be transferred?

        13                      SENATOR SALAND:  Am I familiar

        14       with the particulars of them?  No, I am not

        15       familiar with the particulars of them, but I

        16       would refer back to what I said previously.

        17                      Do you believe for one moment

        18       that IBM will fail to remediate the site?  Do

        19       you believe for one moment that IBM in any

        20       instance in which they have had this type of

        21       allegation raised has not endeavored to be a

        22       good corporate citizen?  I'm not aware of

        23       anybody, anywhere, within this state government











                                                             
3304

         1       or any other who has ever been able to point to

         2       IBM in saying they somehow or other have failed

         3       to oblige by whatever obligation was imposed

         4       upon them in a situation which they have been

         5       asked to remediate.

         6                      SENATOR PATERSON:  Mr.

         7       President.

         8                      ACTING PRESIDENT KUHL:  Excuse

         9       me, Senator Paterson.

        10                      Senator Cook, why do you rise?

        11                      SENATOR COOK:  Can I momentarily

        12       respond to that?

        13                      SENATOR SALAND:  I would defer to

        14       Senator Cook with respect to the Kingston site.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Paterson, would you like an answer from Senator

        17       Cook?

        18                      SENATOR SALAND:  It's in his

        19       district, and he is far more familiar with it

        20       than I am.

        21                      SENATOR PATERSON:  Before Senator

        22       Cook answers.  Can I answer Senator Saland's

        23       question?











                                                             
3305

         1                      SENATOR SALAND:  I welcome the

         2       opportunity to have Senator Cook answer, and

         3       then perhaps there would be no need for you to

         4       ask me another question.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Paterson, you do have the floor.  Senator Saland

         7       merely yielded to a question from you, so you

         8       have the floor and you can say whatever you

         9       please.

        10                      SENATOR PATERSON:  I will yield

        11       in a moment to Senator Cook.  I just wanted

        12       Senator Saland to understand that I never said

        13       anything about the elements of the corporate

        14       citizenry of IBM.  I would imagine that if IBM

        15       had these properties and that their -- the

        16       buildings were vacant, so I don't know that

        17       there would have been the necessity that IBM

        18       even address the issues until there is such

        19       time.  Maybe that's why the buildings are

        20       vacant.  Maybe that's an example of IBM being a

        21       good corporate citizen; they don't want anyone

        22       in those areas.

        23                      But what I'm saying is I am not











                                                             
3306

         1       an employee of IBM.  I am a public servant of

         2       the State of New York, and I'm saying that when

         3       the state wants to make a purchase, I'm just

         4       trying to get clarification of whether or not we

         5       need to have the Department of Environmental

         6       Conservation come in and conduct a study to

         7       investigate that particular area before we go

         8       ahead and buy the building.

         9                      Now, I thought that would make

        10       perfect sense without any kind of ill feeling

        11       toward IBM or any innuendo as to how IBM

        12       conducts its business.  I'm sure that IBM, from

        13       their profit-making capacity and their ability

        14       to produce jobs, conducts business very well.

        15       What I'm worried about is how the state conducts

        16       business, and so that's why I asked the

        17       question.

        18                      Now I would yield to Senator

        19       Cook.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Cook, Senator Paterson yields.

        22                      SENATOR COOK:  Just to comment on

        23       this whole issue of the safety of the site.  I'd











                                                             
3307

         1       like to indicate that there were thousands of

         2       residents of my district who worked in those

         3       buildings, and nobody that I have ever heard of

         4       has ever raised any concern at all regarding the

         5       safety of those sites.  It is always easy to

         6       raise those red herrings at any point in time

         7       and to try to cast aspersions on anything that

         8       anybody is doing, but I would like to indicate

         9       in regard to Senator Dollinger's question also,

        10       if I may, and then I will sit down, this was not

        11       a corporate bailout.

        12                      The State of New York had a need

        13       to establish a more effective data processing

        14       center.  We had available a virtually new

        15       facility, a facility that is state of the art to

        16       the extent that the partitions within there are

        17       moveable -- that was one of the things that was

        18       talked about at the time the building was

        19       constructed, how easy it was to reconfigure the

        20       interior of that building, because IBM at that

        21       time said they could at any point reconfigure

        22       the interior of that building and utilize it for

        23       a whole variety of purposes, and it made it











                                                             
3308

         1       very, very desirable for this type of activity

         2       because the electrical connections are already

         3       there, because it has been a technology center,

         4       because it is easy to take this facility and to

         5       actually change it over to the state purposes at

         6       very low cost, and that was why it was done, in

         7       addition to the economic factors that Senator

         8       Saland and Senator Bruno have been discussing.

         9                      So I say yes, Senator, if you

        10       find that there are two reasons and the two

        11       happen to come together, that's a very good

        12       reason for doing it, and, indeed, I think that

        13       probably is indeed the policy of the state.  If

        14       you happen to have a facility for which the

        15       state has need and which at the same time can

        16       promote the economic viability of a corporation

        17       in the state, I'm sure that would indeed be the

        18       economic policy of the state.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Paterson, if I might just interrupt.  You do

        21       have the floor, but I would make -- this debate

        22       began at 2:30.  We're now an hour and a half

        23       into it, so two hours would expire at 4:30.











                                                             
3309

         1                      Senator Paterson, you have the

         2       floor.

         3                      SENATOR PATERSON:  Thank you, Mr.

         4       President.  I have an amendment at the desk.  I

         5       would like to waive its reading and make sure

         6       that it is at the desk.

         7                      ACTING PRESIDENT KUHL:  The

         8       amendment is at the desk, Senator Paterson.  The

         9       reading of it is waived, and you have permission

        10       to explain it.

        11                      SENATOR PATERSON:  Thank you, Mr.

        12       President.

        13                      What my amendment proposes is

        14       that there be no relocation of workers under the

        15       portion of this bill to any sites that are on

        16       the State's list of hazardous waste localities,

        17       that there be no transfer.

        18                      Further, if we do decide that a

        19       transfer is necessary, and from what Senator

        20       Saland and Senator Cook are saying that this

        21       issue is actually resolved because, according to

        22       them, the three areas that we're talking about

        23       relocating workers, that these three areas











                                                             
3310

         1       should not be on that list.  They may be right.

         2       I'm suggesting in my amendment that the way we

         3       achieve this is that we have the Department of

         4       Environmental Conservation come in and conduct a

         5       study.

         6                      There are two other sections of

         7       my amendments -- in my amendment, and it be that

         8       we discontinue the funding of $3 million to the

         9       State Tax Department that will accommodate the

        10       transfer and also lease and buy the buildings;

        11       and, finally, that we discontinue $10 million

        12       funding to the Office of General Services that

        13       would engage in the leasing of all the items of

        14       materials that we would need to do this.

        15                      The reason that I offer this

        16       amendment, Mr. President, is because what I feel

        17        -- where I feel my colleagues have not

        18       addressed an issue is just on the basic point

        19       that an agency of the State of New York has a

        20       division that has rendered at least the Kingston

        21       facility suspicious when it comes to the

        22       environmental viability of it.  This report was

        23       not issued prior to 1995.  This report was











                                                             
3311

         1       issued March 13 of 1995.

         2                      Now, my point is if we're just

         3       going to wave our hands at the report because we

         4       have made a good financial deal, we may find

         5       that the deal may inure to our detriment in a

         6       way that threatens the safety of human beings

         7       who we, first of all, are going to transfer from

         8       this area to another area and, secondly, may put

         9       their personal security in jeopardy.  What I am

        10       saying, Mr. President, is why don't we let our

        11       own agency come in and make sure that these

        12       areas are viable?  This can't be a political

        13       point of view that I'm advancing right now.

        14                      First of all, if we're going to

        15       talk about politics, we should talk about all

        16       the transfers and where they are going, because

        17       they are not going to the Bronx, they are not

        18       going to Manhattan.  They are going to what I

        19       would deem to be political areas.  But I don't

        20       want to talk about politics, so let's not.

        21                      Let's just talk about workers'

        22       safety and let's talk about how we have a report

        23       from an agency of the State of New York that we











                                                             
3312

         1       are ignoring.  If we don't like the things that

         2       the agency says, then let's just get rid of the

         3       agency.  But as long as we have a Division of

         4       Hazardous Waste Remediation that's coming to the

         5       conclusion that it's coming, I don't understand

         6       how we can stand here, Mr. President, and just

         7       act as if there is no validity to this report.

         8                      I'm not saying that anything that

         9       Senator Saland, Senator Cook, or Senator

        10       Stafford is saying is wrong, but I'm just saying

        11       all that glitters is not gold, and I don't think

        12       that we have to jump to conclusions without

        13       doing the proper investigation, and that is the

        14       purpose of the amendment that I am submitting.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Libous on the amendment.

        17                      SENATOR LIBOUS:  Mr. President.

        18       I have to take exception to Senator Paterson's

        19       amendment.  Senator Paterson, in all due

        20       respect, your amendment I feel it necessary to

        21       stand and defend my home town of Binghamton, New

        22       York, and Endicott, where this site is.

        23                      I don't know what the newspaper











                                                             
3313

         1       article is that you're reading, but I can assure

         2       you that the site that IBM was on, the million

         3       square feet at the Glendale Campus is safe.  It

         4       has been safe and housed over 5,000 workers

         5       since 1960.  It is right next door to a golf

         6       course which houses the BC Open which is on the

         7       pro tour, and I take extreme exception that you

         8       would put an amendment on the floor and include

         9       my community as saying that it is hazardous -

        10       that it is unsafe and that there is a health

        11       hazard.

        12                      I think the real issue here is

        13       that you are creating a distortion.  If you

        14       disagree with the move, that's one thing.  But

        15       now to create a health hazard, Mr. President, I

        16       think is just a whole other issue.

        17                      Let me answer some of the

        18       questions that have come up, because I've had a

        19       difficult time -

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Libous, excuse me.

        22                      Senator Paterson, why do you

        23       rise?











                                                             
3314

         1                      SENATOR PATERSON:  Mr.

         2       President.

         3                      I'd just like to advise Senator

         4       Libous that I was just talking about the article

         5       in a previous questioning that I was engaging in

         6       with Senator Saland.  In my amendment, I don't

         7       ask for the Department of Environmental

         8       Conservation to look into that particular area,

         9       and the reason that I did that, Senator, is

        10       because there is no real evidence.  I was just

        11       saying that there was a possibility of evidence

        12       and it would be unfair to you and to that

        13       particular area if I included it.

        14                      What I was saying about the

        15       Kingston area is we already have a report that

        16       says that; and if anybody wants to refute that

        17       report, they are certainly entitled to, but I

        18       would rather refute the report in terms of an

        19       agency investigation rather than on the floor of

        20       the Senate.

        21                      Now, in your particular area, I

        22       will show you the articles and they, to be fair

        23       to you, do not trace it to the area directly











                                                             
3315

         1       around that particular plant, and that's why

         2       your area is not included in the amendment.

         3                      SENATOR LIBOUS:  Thank you, Mr.

         4       President.  Thank you, Senator Paterson, as long

         5       as we got that cleared up.

         6                      Thank you.

         7                      ACTING PRESIDENT KUHL:  Chair

         8       recognizes Senator Hoblock on the amendment.

         9                      SENATOR HOBLOCK:  Mr. President.

        10                      ACTING PRESIDENT KUHL:  Chair

        11       recognizes Senator Hoblock on the amendment.

        12                      SENATOR HOBLOCK:  Will Senator

        13       Paterson yield for a question or two?

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Paterson, do you yield to Senator Hoblock?

        16                      Senator yields.

        17                      SENATOR PATERSON:  Yes, Mr.

        18       President.

        19                      SENATOR HOBLOCK:  Senator, I'm a

        20       little confused listening to part of this

        21       debate.  Perhaps I didn't hear all of it, but is

        22       the substance of your amendment dealing with the

        23       environmental inspection of some site, or does











                                                             
3316

         1       it go beyond that, limited to that?  I'm not

         2       sure exactly what it does based on what I heard

         3       so far.

         4                      SENATOR PATERSON:  It does deal

         5       with the part that you raised.  In addition, it

         6       removes the funding that would actually

         7       accommodate the transfer of workers to the three

         8       regions that have been described, the regions of

         9       Fishkill -- of East Fishkill, Kingston and the

        10       Endicott area.

        11                      SENATOR HOBLOCK:  Senator

        12       Paterson further yield?

        13                      SENATOR PATERSON:  Yes.

        14                      ACTING PRESIDENT KUHL:  The

        15       Senator continues to yield, Senator Hoblock.

        16                      SENATOR HOBLOCK:  Senator, I'm a

        17       little confused because perhaps maybe being

        18       relatively new here, but is the state of New

        19       York in the business of buying or leasing

        20       property or doing whatever with property without

        21       an inspection as to whether or not it's a

        22       hazardous site?  Is this a practice that the

        23       state now undergoes?











                                                             
3317

         1                      SENATOR PATERSON:  Senator

         2       Hoblock, I don't think that the state has to

         3       necessarily conduct an environmental inspection

         4       if there is no evidence there is an environ

         5       mental problem.  What we were presenting on the

         6       floor today is that if there is evidence in some

         7       cases that there is an environmental problem,

         8       then at that point we would ask for an investi

         9       gation.  It would probably be too cumbersome to

        10       conduct all kinds of impact statement investiga

        11       tions on any kind of transfer of workers from

        12       one area to another.

        13                      SENATOR HOBLOCK:  Senator

        14       Paterson continue to yield?

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Paterson, do you continue to yield?

        17                      Senator yields.

        18                      SENATOR HOBLOCK:  Senator, I

        19       don't think I have any problem, I'm not sure

        20       anyone would have any problem or disagreement

        21       with your concept or idea, because I don't think

        22       we should be in the business of buying or

        23       leasing or dealing with any properties that may











                                                             
3318

         1       be on a hazardous waste site list or anything to

         2       do with hazardous waste.  Perhaps, together, we

         3       can prepare some legislation that directly

         4       affects that point as opposed to expanding it to

         5       what I think is intended to expand it here

         6       today, but, rather, to deal with the issue of

         7       let's not have the state in the business of

         8       dealing with property that is identified as a

         9       hazardous waste site or has any indication.  I

        10       think that's just prudent business practice,

        11       don't you agree?

        12                      SENATOR PATERSON:  Senator

        13       Hoblock, I don't know if I really do agree.

        14       What I'm saying is that sometimes when we talk

        15       about business practices, we concentrate the

        16       discussion on profiteering, but what is a

        17       business practice if theoretically -- and I'm

        18       not saying that I know this would happen -- if

        19       theoretically we are relocating workers to a

        20       site that might have an undesirable effect.

        21                      SENATOR HOBLOCK:  Senator

        22       Paterson continue to yield?

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3319

         1       Paterson, do you continue to yield?

         2                      SENATOR PATERSON:  Yes, I do, Mr.

         3       President.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       continues to yield.

         6                      SENATOR HOBLOCK:  I would think

         7       that over the years the state of New York not

         8       just in this capital city of Albany but all over

         9       the state probably has leased space in a number

        10       of buildings, have moved people from point A to

        11       point B.  I know the previous administration

        12       took a lot of offices out of Albany and moved

        13       them to New York City.

        14                      Do you know whether or not any of

        15       those sites were inspected or you required or

        16       anyone in this house required that they be

        17       evaluated or inspected before we expended any

        18       funds?

        19                      SENATOR PATERSON:  Senator

        20       Hoblock and Mr. President, what I am saying is

        21       that, regardless of whether we inspected these

        22       sites in the past, when we have evidence that

        23       perhaps an inspection should be conducted, I











                                                             
3320

         1       don't understand why we wouldn't go ahead and

         2       actually perform an investigation; otherwise, I

         3       would have to conclude that we have agencies

         4       that are going out testing land for oil spills

         5       and testing land for hazardous waste or

         6       contaminated water, and we're taking the

         7       information and documenting it but we're not

         8       doing anything with the documentation, and

         9       that's the kind of short-circuiting of

        10       government that I think the public is commanding

        11       us to engage in right now.  The public is

        12       saying, "Let's get rid of the bureaucracy."

        13                      What I'm saying is where we have

        14       evidence that I'm not saying is conclusive, but

        15       certainly would meet the threshold test of sus

        16       picion, I think we should conduct an investiga

        17       tion and, if we did not do it in the past, then

        18       maybe this situation has brought us to a new

        19       plain, a level of responsibility that we have -

        20       in the past may have naively ignored.

        21                      SENATOR SALAND:  Mr. President.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Saland, why do you rise?











                                                             
3321

         1                      SENATOR SALAND:  Will Senator

         2       Paterson yield, please?

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Hoblock was engaging in a series of questions.

         5                      SENATOR SALAND:  My apologies to

         6       both Senator Hoblock and Senator Paterson.

         7                      SENATOR HOBLOCK:  I will

         8       temporarily yield.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Hoblock has the floor.

        11                      SENATOR SALAND:  My apologies.

        12                      ACTING PRESIDENT KUHL:  And

        13       Senator Paterson does not have the floor, so he

        14       would have to yield the floor to you, and that's

        15       too much for me to comprehend this late in the

        16       afternoon, and so I hope you'll -

        17                      SENATOR SALAND:  It can be a bit

        18       wearing, Mr. President.  I apologize.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Hoblock.

        21                      SENATOR HOBLOCK:  Well, Mr.

        22       President, very briefly on the amendment.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3322

         1       Hoblock on the amendment.

         2                      SENATOR HOBLOCK:  You know, I've

         3       heard over the past several days as it concerns

         4       legislation that's presented on this side,

         5       budget bills or whatever it may be, from across

         6       the aisle that there are certain portions of it

         7       we agree with, there are certain portions of it

         8       we don't agree with, and let's sit down and work

         9       this out and maybe we can come up with something

        10       better; that I would like to support it but I

        11       can't because of this or I'm opposing it, but I

        12       would rather not because of whatever some

        13       specific language may be, and I think this is a

        14       perfect illustration.

        15                      I can't believe that the state of

        16       New York is in the business of leasing or pur

        17       chasing property, subjecting its employees

        18       intentionally to an unsafe condition, a condi

        19       tion that is not healthy, that does not meet the

        20       very laws that we make in this house and ask our

        21       state agencies to enforce.

        22                      If, in fact, there is in any one

        23       of the locations we're talking about here today











                                                             
3323

         1       any indication or evidence that there is a

         2       hazardous site -- it is a hazardous site, any

         3       condition that would affect the public safety

         4       and health of the state worker or anybody

         5       associated with that area should be inspected,

         6       and I support that, and if Senator Paterson

         7       wants to work with me on a piece of legislation

         8       that, in fact, requires that statewide, I would

         9       be happy to assist him and work with him on that

        10       legislation.

        11                      I have a feeling that this

        12       particular legislation goes beyond that,

        13       though.  There is some underlying theme here

        14       that we haven't heard about and I would like to

        15       hear about.  But if it has to do with the issue

        16       of the health and safety of our state employees,

        17       Senator Paterson, with you or anyone else, I am

        18       totally on board and we have to address that

        19       issue.  But if it's something else, I would like

        20       to hear it.

        21                      Thank you, Mr. President.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Paterson.











                                                             
3324

         1                      SENATOR PATERSON:  Mr. President,

         2       I'm not at all trying to obfuscate the entire

         3       issue.  We have gotten off onto a discussion

         4       about the environment, but I would not neces

         5       sarily like to see the workers who are in this

         6       particular area relocated out of the area.

         7                      Just as a point of view, I

         8       introduced the amendment, and I guess I have a

         9       right to my point of view, and, well, that's

        10       part of it, also, Senator Hoblock.

        11                      I would also like to add that

        12       right here in Albany in Building 8, we are -

        13       there had been problems with the air quality in

        14       that particular building if I'm correct, and

        15       that that has in many ways been part of

        16       facilitating the transfer.  So, no, the state is

        17       not in the business of making decisions at the

        18       expense of workers, but never at any point in

        19       my discussion have I labeled any intent on the

        20       part -

        21                      ACTING PRESIDENT KUHL:  Excuse

        22       me, Senator Paterson.  Senator Cook, why do you

        23       rise?











                                                             
3325

         1                      SENATOR COOK:  Mr. President.

         2       Point of information, and perhaps a point of

         3       order.  Does this amendment add language to the

         4       budget?  Is that the intent of this amendment?

         5                      SENATOR PATERSON:  Yes, Senator.

         6                      SENATOR COOK:  Mr. President.

         7       Now, a point of order.

         8                      I believe -- is there not a court

         9       decision that says that the Legislature may not

        10       add language to the Governor's budget?  And if

        11       so, I would contend that the amendment is, on

        12       its face, unconstitutional and, therefore, out

        13       of order.

        14                      ACTING PRESIDENT KUHL:  If you

        15       will allow me a moment to talk with counsel,

        16       Senator Cook.

        17                      SENATOR PATERSON:  Mr.

        18       President.

        19                      SENATOR PATERSON:  Senator

        20       Paterson, do you want to speak to the point of

        21       order?

        22                      SENATOR PATERSON:  Yes.  If you

        23       were seeking counsel, I was going to offer it to











                                                             
3326

         1       you free rather than the paid counsel.

         2                      (Laughter.)

         3                      ACTING PRESIDENT KUHL:  Always

         4       willing to listen to counsel, Senator Paterson.

         5                      SENATOR PATERSON:  This

         6       particular amendment, while it discusses the

         7       budget, is not additional language in the sense

         8       that it challenges the constitutionality of it.

         9       What we're just saying is we're putting forth -

        10       we are not rewriting the Governor's budget.

        11       We're just saying we want to take $3 million out

        12       of the Tax Department; we want to take $10

        13       million away from the Office of General Services

        14       to stop the transfer.  Then we are asking that

        15       the Department of Environmental Conservation

        16       investigate where there have been instances

        17       where there is evidence of possibly land

        18       contamination on those particular sites.  I

        19       don't see in there any kind of language that

        20       actually puts a new direction on the Governor's

        21       budget.

        22                      SENATOR COOK:  Mr. President.

        23                      ACTING PRESIDENT KUHL:  Yes,











                                                             
3327

         1       Senator Cook.

         2                      SENATOR COOK:  It would be my

         3       contention that lines 16 through 20, in which

         4       the language is added, "that no expenditure

         5       shall be made..." et cetera, which actually

         6       restricts -- adds restrictive language to the

         7       use of the appropriation, violates the case, the

         8       constitutional case that was decided -- I've

         9       forgotten -- a couple of years ago, that says

        10       that language may not be added to the Governor's

        11       budget by the Legislature.

        12                      ACTING PRESIDENT KUHL:  Yes,

        13       Senator Paterson, I have now had an opportunity

        14       to discuss the matter with counsel and also to

        15       review the amendment, and it does appear that in

        16       lines 2 through 14, in fact there is language

        17       that says you're inserting language.  Then

        18       there's about 12 lines that are inserted, and

        19       then, as Senator Cook has mentioned, there is an

        20       additional insertion of language, 16 through

        21       20.

        22                      True, there are portions of the

        23       amendment that deal with changing numbers,











                                                             
3328

         1       appropriations, and so it is my understanding

         2       that the Bankers decision, in fact, did rule

         3       this type of amendment to be unconstitutional.

         4                      So it would be the decision of

         5       this chair that your amendment is out of order,

         6       and that the point of order issued by or raised

         7       by Senator Cook is well-founded.

         8                      SENATOR PATERSON:  Mr. President.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Paterson.

        11                      SENATOR PATERSON:  The Bankers

        12       decision, if I remember correctly, was rendered

        13       by a court that may not have had the wisdom that

        14       you have, but it still was a court.  In other

        15       words, a question of constitutionality -

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Paterson, what I would like to do at this point

        18       is to say I have rendered a determination.  That

        19       is the decision of this Chair.  If you wish to

        20       challenge that, you certainly have the right to

        21       talk to that throughout the appropriate time.

        22                      SENATOR PATERSON:  Mr. President,

        23       I'm raising a point of order.  In other words,











                                                             
3329

         1       I'm not questioning your decision.  I would

         2       not.  I'm sure you reached a decision that you

         3       thought was right, but what I'm questioning

         4       is -

         5                      SENATOR SKELOS:  Mr. President.

         6       I believe a point of order has been raised by

         7       Senator Cook.  The Chair -- the President has

         8       made a determination.  If you wish to appeal the

         9       ruling of the Chair, you certainly have the

        10       right to do so.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Paterson.

        13                      SENATOR PATERSON:  If the

        14       Majority Leader would just allow me.  I don't

        15       even -- I haven't even gotten to the point where

        16       I want to appeal the decision of the Chair.

        17       What I am questioning is whether or not the

        18       Chair can make a decision related to constitu

        19       tionality of a particular amendment that I'm

        20       contending is not unconstitutional.  In other

        21       words, I don't understand how that decision can

        22       be made here.  We're not a court.

        23                      That is a question of comparison











                                                             
3330

         1       between what's put forth in the amendment and

         2       what actually exists in our constitution,

         3       although I understand the point that Senator

         4       Cook raised.  I'm just saying that I don't think

         5       this body has the jurisdiction to make that

         6       decision.

         7                      ACTING PRESIDENT KUHL:  Then I

         8       would say, Senator Paterson, that you have the

         9       opportunity and the right, before I continue -

        10                      SENATOR PATERSON:  Mr.

        11       President.  What I am asking you is, can you

        12       point to the rule of the Senate that gives you

        13       the jurisdiction to rule my amendment unconsti

        14       tutional and out of order because it's

        15       unconstitutional?

        16                      SENATOR COOK:  Mr. President.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Cook.

        19                      SENATOR COOK:  I think that we

        20       can -- time is precious.  I think that my point

        21       of order was well-founded and your response was

        22       correct.  I think that the Minority wanted to

        23       make its point.  Rather than extending this











                                                             
3331

         1       debate, I think we might better just -- I will

         2       withdraw my point of order if I can do it at

         3       this point.

         4                      ACTING PRESIDENT KUHL:  You

         5       certainly can withdraw your point of order.

         6                      The point of order is withdrawn,

         7       so the question of the determination of the

         8       Chair is unnecessary and moot at this point.

         9                      The Chair would recognize Senator

        10       Paterson on the amendment.

        11                      SENATOR PATERSON:  We're back to

        12       the amendment, Mr. President.

        13                      ACTING PRESIDENT KUHL:  Yes.

        14                      SENATOR PATERSON:  So in answer

        15       to Senator Cook's original question, that's what

        16       the amendment does.  It takes the money out of

        17       the two agencies that would facilitate the

        18       transfer of the workers and it additionally

        19       commends the DEC to conduct an investigation

        20       where one may be needed due to data that has

        21       been brought forth through investigation.

        22                      ACTING PRESIDENT KUHL:  The

        23       question is on the amendment.  All those in











                                                             
3332

         1       favor, signify by saying aye.

         2                      (Response of "Aye.")

         3                      SENATOR PATERSON:  Party vote,

         4       with exceptions.

         5                      ACTING PRESIDENT KUHL:  Secretary

         6       will call the roll.

         7                      SENATOR SKELOS:  Party vote in

         8       the negative.

         9                      ACTING PRESIDENT KUHL:  And

        10       record the party line vote with exceptions.

        11                      (The Secretary called the roll.)

        12                      ACTING PRESIDENT KUHL:  Note the

        13       exceptions and announce the results.

        14                      Senator Paterson.

        15                      SENATOR PATERSON:  Did I win?

        16                      (Laughter.)

        17                      ACTING PRESIDENT KUHL:  It

        18       appears to be very close, Senator Paterson.

        19       That's why it's taking so long to record the

        20       vote.

        21                      SENATOR PATERSON:  Because if

        22       it's going the wrong way, rule it out of order.

        23                      ACTING PRESIDENT KUHL:  We have











                                                             
3333

         1       the results.  Secretary will announce them.

         2                      THE SECRETARY:  Ayes 25.  Nays

         3       35.  Party vote with exceptions.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Paterson, you didn't win.  The amendment failed.

         6                      Senator Abate, on the bill.

         7                      SENATOR ABATE:  Yes, would

         8       Senator Stafford yield to a question?

         9                      SENATOR STAFFORD:  Sure.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Stafford yields to Senator Abate.

        12                      SENATOR ABATE:  A question or

        13       two, Senator.  This is concerning the funding of

        14       the alcohol treatment centers.  Do you recognize

        15       and I think everyone in this chamber would

        16       recognize that in New York City, particularly

        17       Manhattan and Bronx, that we face enormous

        18       problems around alcohol and substance abuse, and

        19       there are close to 2- or 300,000 people in need

        20       of treatment.  Would you concede that?

        21                      SENATOR STAFFORD:  First, I

        22       concede that we have a very, very serious

        23       problem with alcohol in upstate New York.











                                                             
3334

         1                      SENATOR ABATE:  Would you also

         2       agree clearly that alcohol abuse and drug abuse

         3       is a problem statewide?

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Abate, would you suffer an interruption,

         6       please?

         7                      SENATOR ABATE:  Sure.

         8                      ACTING PRESIDENT KUHL:  May we

         9       have some order in the chamber.  Awful lot of

        10       noise.  Please take your places, close the

        11       doors, stop the movement.  Take the discussions

        12       outside the chamber.

        13                      Thank you.

        14                      Senator Abate.

        15                      SENATOR ABATE:  Yes, thank you.

        16                      While I agree with you that the

        17       problem of alcohol and drug abuse is prevalent

        18       throughout the state, clearly in terms of the

        19       Bronx and Manhattan, in terms of sheer numbers,

        20       there are more people in need of treatment in

        21       the Bronx and Manhattan than probably in any

        22       other area in New York State, just sheer

        23       numbers.











                                                             
3335

         1                      SENATOR STAFFORD:  Is that a

         2       question?

         3                      SENATOR ABATE:  Yes.

         4                      SENATOR STAFFORD:  I think

         5       probably you obviously know your district, but I

         6       would share with you -- you probably would be

         7       surprised -- if we went in percentages, you

         8       would see some serious problems upstate.

         9                      SENATOR ABATE:  But in terms of

        10       the fact that the numbers that we're talking

        11       about in New York City -- close to 500,000

        12       people, we believe, are in need of this kind of

        13       treatment -- there probably is not another city

        14       in New York State that has the numbers of

        15       people, close to a half a million people, in

        16       need of treatment.

        17                      SENATOR STAFFORD:  You are asking

        18       me -

        19                      SENATOR ABATE:  In terms of, is

        20       there any other city that has more than 500,000

        21       persons in need of treatment?

        22                      SENATOR STAFFORD:  I think this,

        23       when you are dealing with a problem such as











                                                             
3336

         1       this, it's so serious.  You are dealing with

         2       human beings; and if there is one problem, if

         3       there is one human being, it's serious.

         4                      SENATOR ABATE:  I happen to agree

         5       with you, and that's why I'm so concerned that

         6       $5.1 million was added for the restoration for

         7       four out of six alcohol and treatment centers,

         8       and what was restored were the centers in

         9       Rockland County, in Queens, Oneida, Seneca

        10       County, and the two that were not funded were

        11       Bronx and Manhattan.  What was the rationale for

        12       this decision?

        13                      SENATOR STAFFORD:  Well, I, of

        14       course, realize when it comes to these -- I'm

        15       looking for my list.  I am sure that these

        16       decisions are made on a professional basis.  I

        17       don't know exactly what the differences are.  I,

        18       of course, find that -- or we find that in these

        19       budgets, it's always very, very difficult, and

        20       we find that these decisions are made really on

        21       a professional basis by those who are really

        22       dealing in the field.

        23                      SENATOR ABATE:  I guess what I'm











                                                             
3337

         1       questioning here is the foundation for these

         2       decisions.  Were they based on need or some

         3       other criteria?

         4                      SENATOR STAFFORD:  I'm sure there

         5       are many criteria that any professional

         6       considers.  I think there would be health, being

         7       able to deliver health treatment as it should

         8       be.  But as we say there are limited dollars,

         9       limited funds and, of course -- that was, of

        10       course, what I was alluding to a few minutes

        11       ago.  Also, there are not-for-profit facilities

        12       in the downstate area where you don't have

        13       facilities in these other areas.

        14                      SENATOR ABATE:  Unfortunately,

        15       those facilities have also been cut through

        16       OASAS funding and also 13B demonstration

        17       projects, and if that were the case, I might

        18       agree with you.  My understanding is that the

        19       greatest need, or at least as great a need, is

        20       in the two areas where the centers are not

        21       funded, and I would like to pursue with you

        22       further, again, the rationale for those cuts.

        23                      At this point, I have to believe











                                                             
3338

         1       the basis for the cuts was not as a result of

         2       need but some other criteria which I think would

         3       not be particularly worthy.

         4                      ACTING PRESIDENT KUHL:  Secretary

         5       will read the last section.

         6                      Senator Dollinger.

         7                      SENATOR DOLLINGER:  Would Senator

         8       Stafford yield to just one question?  As you may

         9       recall, I had a question when I yielded to

        10       Senator Paterson on the IBM issue.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, do you yield to Senator Dollinger?

        13                      SENATOR STAFFORD:  The previous

        14       question was, again, we were talking about

        15       delivery of health care and whether it's getting

        16       there.

        17                      Yes.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       yields.

        20                      SENATOR DOLLINGER:  Mr. Presi

        21       dent, I will try to be brief.  My understanding

        22       is that in this budget, the funds for Low Level

        23       Radioactive Waste Siting Commission are removed











                                                             
3339

         1       or significantly reduced.  Is that correct?

         2                      SENATOR STAFFORD:  The only

         3       funding remaining is that for accrued benefits

         4       for those who are working.  Just one second.

         5                      Go ahead.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Dollinger, do you wish Senator Stafford to

         8       continue to yield?

         9                      SENATOR STAFFORD:  They said that

        10       I -- I'm -- really, I have your next question.

        11                      Go ahead.

        12                      SENATOR DOLLINGER:  Mr.

        13       President.  Can I assume that the answer is yes,

        14       that it is abolished?

        15                      SENATOR STAFFORD:  Yes.

        16                      SENATOR DOLLINGER:  Through you,

        17       Mr. President, just so, again, we understand the

        18       policy.  Is it now the policy of the Governor

        19       and of this Senate as we approve this that we

        20       have abandoned the concept of looking for a low

        21       level radioactive waste storage site in this

        22       state?

        23                      SENATOR STAFFORD:  No, not at











                                                             
3340

         1       all.  And I am one that worked with the entity

         2       that we are ending, and I am not at all

         3       concerned that it is ending.  We will now be

         4       working with the Governor.  The Governor's

         5       office will make a determination, and there will

         6       be a vehicle to carry out any mission that we

         7       have in this area.

         8                      SENATOR DOLLINGER:  Again,

         9       through you, Mr. President, so I understand if

        10       Senator Stafford will yield?

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Stafford, do you continue to yield?

        13                      SENATOR STAFFORD:  Yes.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       continues to yield.

        16                      SENATOR DOLLINGER:  So the

        17       previous function of determining the appropri

        18       ateness of a low level radioactive waste site is

        19       now going to be done by the Governor's office?

        20                      SENATOR STAFFORD:  As I

        21       mentioned, to be accurate, that the Governor's

        22       office, working -- I'm sure working with all of

        23       us, working with others, working with











                                                             
3341

         1       professionals, I'm sure a decision will be made

         2       whereby there is a vehicle to carry out the

         3       mission if there is one needed concerning

         4       exactly what we're talking about here today.

         5                      SENATOR DOLLINGER:  We're

         6       abandoning the concept of an independent siting

         7       commission.

         8                      SENATOR STAFFORD:  No, what we're

         9        -- what we're doing is we're abandoning the

        10       idea of spending $50 million and not getting any

        11       result.

        12                      SENATOR DOLLINGER:  How are we

        13       going to -- again, through you, Mr. President,

        14       if Senator Stafford will yield.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Stafford, do you continue to yield?

        17                      SENATOR STAFFORD:  Yes.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       continues to yield.

        20                      SENATOR DOLLINGER:  How are we

        21       going to determine the appropriateness of a low

        22       level radioactive waste site?

        23                      SENATOR STAFFORD:  Well, I











                                                             
3342

         1       mentioned earlier that we would see, I'm sure, a

         2       determination by those responsible, including

         3       the Governor, and a vehicle will be there if

         4       there is a need for the mission.  But I also

         5       would yield to my Senator from Otsego, who works

         6       in this field.  Could he answer?

         7                      SENATOR DOLLINGER:  Mr.

         8       President, if you wish to yield to Senator

         9       Seward, I have no problem, Mr. President, if

        10       that's the appropriate protocol.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Seward to answer the question posed to Senator

        13       Stafford.

        14                      SENATOR SEWARD:  I was outside

        15       the chamber on other business.  Getting into the

        16       middle of this discussion, I'm not sure what

        17       ground has been covered so far, but just

        18       following up on Senator Stafford's answer in

        19       terms of this legislation before us, we, in

        20       fact, do basically eliminate the Low Level

        21       Radioactive Waste Siting Commission.  That's as

        22       far as we can go in this particular piece of

        23       legislation.











                                                             
3343

         1                      I would envision the need for

         2       either an Article 7 bill or subsequent

         3       legislation to set the policy in the post

         4       Commission era, shall we say, on this issue.  So

         5       it's not going to be a loose thing.  It is going

         6       to be decided by this chamber and the other

         7       house and the Governor in terms of additional

         8       legislation, which is the normal course.  When

         9       we deal with items such as this through the

        10       budget, the numbers are one thing, the policy

        11       and the process is another, and that will be

        12       dealt with in subsequent legislation, and we can

        13       have the type of discussion at that time.

        14                      SENATOR DOLLINGER:  Again through

        15       you, Mr. President, if Senator Seward would

        16       yield?

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Seward, do you yield to Senator Dollinger?

        19                      SENATOR SEWARD:  Certainly.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       yields.

        22                      SENATOR DOLLINGER:  Where are we

        23       going to get the money to fund that alternative?











                                                             
3344

         1                      SENATOR SEWARD:  Well, that's a

         2       question for later on.  The fact of the matter

         3       is that, as others -- many other states have

         4       done, we can do the same in terms of the

         5       assigning it to a unit in the -- in another

         6       agency, perhaps the Department of Environmental

         7       Conservation.  They have people over there that

         8       are very knowledgeable in this area, and that

         9       could be assimilated as part of that agency.

        10                      What we're saying as part of this

        11       measure is we're acknowledging the fact that the

        12       bottom line is that the Commission has failed to

        13       carry out its mission.  There's got to be a

        14       better way and we're going to deal with it, the

        15       siting commission, through this budget, and then

        16       we're going to, together, seek that better way.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Skelos, why do you rise?

        19                      SENATOR SKELOS:  What time did

        20       the debate begin on this bill?

        21                      ACTING PRESIDENT KUHL:  The

        22       debate began at 2:30.  That's been two hours and

        23       about eight minutes at this point in the debate.











                                                             
3345

         1                      SENATOR STAVISKY:  Mr. President,

         2       may I?

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Stavisky.

         5                      SENATOR STAVISKY:  Mr. President,

         6       I have two amendments to the bill before us, and

         7       I would like the opportunity to explain them and

         8       to do it briefly.

         9                      ACTING PRESIDENT KUHL:  Well,

        10       Senator Stavisky, I hate to share this

        11       information with you, but right now Senator

        12       Dollinger has the floor.

        13                      SENATOR DOLLINGER:  Mr.

        14       President, I would yield the floor to Senator

        15       Stavisky.

        16                      ACTING PRESIDENT KUHL:  In that

        17       case, Senator Stavisky.

        18                      SENATOR SKELOS:  Mr. President, I

        19       would like to move to close debate at this time.

        20                      SENATOR STAVISKY:  Mr. President.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Stavisky.

        23                      SENATOR STAVISKY:  Mr. President,











                                                             
3346

         1       I believe that fairness, no matter who is in

         2       control of this house, should allow a member who

         3       has an amendment to offer -

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Stavisky -

         6                      SENATOR STAVISKY:  -- be able to

         7       offer that amendment.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Stavisky, this motion made by the Acting Major

        10       ity Leader is non-debatable.

        11                      At this point, I will ask the

        12       Secretary to call the roll.

        13                      SENATOR PATERSON:  Mr. President.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Paterson.

        16                      SENATOR PATERSON:  A point of

        17       order.

        18                      ACTING PRESIDENT KUHL:  Pardon?

        19                      SENATOR PATERSON:  A point of

        20       order.

        21                      ACTING PRESIDENT KUHL:  Point of

        22       order.  Make your point of order, Senator

        23       Paterson.











                                                             
3347

         1                      SENATOR PATERSON:  The point of

         2       order is that we had a point of order that took

         3       a very long time that really didn't relate to

         4       the debate at all on my amendment, and so what

         5       I'm suggesting as a compromise, is that that

         6       brief period be subtracted from the debate time,

         7       that would allow Senator Stavisky to put his

         8       amendments on the floor.  We'll do it as briefly

         9       as possible.  We understand what time the debate

        10       started, and we understand the very timliness

        11       that the Majority has delegated to starting the

        12       sessions and ending them on time and trying to

        13       get us to work within a time limit, which I

        14       agree with, but I'm just saying, since we had a

        15       rather lengthy debate more about the rules of

        16       the Senate than the actual budget bill, if we

        17       could just concede that time to Senator Stavisky

        18       who worked very hard on his amendments, he could

        19       put them in very quickly.

        20                      I'm just asking the Majority and

        21       yourself, Mr. President, if we can just do that

        22       and from here on in, we will try to bring our

        23       debates to closure in the seasonable period.











                                                             
3348

         1                      SENATOR STAVISKY:  Mr. President,

         2       you have my assurance that I will abide by a

         3       timely -

         4                      SENATOR SKELOS:  Mr. President.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Stavisky.

         7                      SENATOR SKELOS:  Let me just

         8       state, in fairness to everybody, I think Senator

         9       Paterson did raise a good point about we were

        10       debating the rules.

        11                      However, I do want to point out,

        12       prior to moving to close debate, I asked Senator

        13       Paterson, "Is Senator Abate your last speaker?"

        14       He indicated yes.  If not at that time, I would

        15       have encouraged the other members to present

        16       their amendments so that we could follow the

        17       rules of the Senate and complete debate within

        18       two hours.

        19                      But in fairness to Senator

        20       Stavisky, as long as he's brief and these are

        21       the last two amendments, we will give you the

        22       courtesy of presenting the amendments at this

        23       time.











                                                             
3349

         1                      SENATOR STAVISKY:  Thank you.

         2                      SENATOR SKELOS:  And I would

         3       withdraw my motion to close debate.

         4                      SENATOR STAVISKY:  Thank you,

         5       Senator.

         6                      And I will discuss the two

         7       amendments as though they were one.

         8                      ACTING PRESIDENT KUHL:  The

         9       motion to close debate is withdrawn.

        10                      Senator Stavisky, have the

        11       amendments been served?

        12                      SENATOR STAVISKY:  Yes, they

        13       have.  They're at the desk.  I will waive the

        14       reading and I would explain the amendments

        15       briefly and treat them as a single presentation

        16       to save time.  I'll give you that assurance.

        17                      Mr. President and members of the

        18       Senate -

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Stavisky, just as a clarification to the

        21       Secretary and to the Chair, now you wish to

        22       offer up the first amendment; you'll discuss

        23       both amendments when you offer that up, and then











                                                             
3350

         1       we'll take a vote on the first amendment and

         2       then we'll take another vote on the second

         3       amendment?

         4                      SENATOR STAVISKY:  Yes.

         5                      ACTING PRESIDENT KUHL:  All

         6       right.  Reading of the first amendment is

         7       waived.  You are entitled at this time to

         8       briefly describe the amendments to it.

         9                      Senator Stavisky.

        10                      SENATOR STAVISKY:  Mr. President,

        11       I think that there is no member of the Senate of

        12       the state of New York who does not have faculty

        13       and students and employees of the State

        14       University of New York and the City University

        15       of New York in his or her district.

        16                      These institutions, which were

        17       aided immeasurably by Republican and Democratic

        18       governors over the years, including two

        19       Republican governors by the name of Governor

        20       Dewey and Governor Rockefeller, now are in

        21       jeopardy if proposed cuts are not restored in

        22       some meaningful manner.

        23                      What the amendments before you











                                                             
3351

         1       propose to do are designed to restore funding to

         2       eliminate major increases in tuition for

         3       students in SUNY and CUNY.  If we do not act,

         4       tuition increases of up to $1,000 per annum in

         5       CUNY and up to $1600 per annum in SUNY may make

         6       New York State one of the highest tuitioned

         7       states among the large states.

         8                      Lower tuition presently exists,

         9       without an increase, in the state of Michigan,

        10       in the state of California, in state of Florida,

        11       in the state of Maryland, in the state of

        12       Arizona, and there is additional state support

        13       behind each full-time equivalent student in

        14       states such as Michigan, California, Florida,

        15       Maryland and New Jersey.

        16                      I don't believe that members of

        17       the Legislature have been given accurate

        18       information when they were told that surrounding

        19       states have higher tuition than we do when, in

        20       fact, the states that I have mentioned, not only

        21       have a greater state contribution behind each

        22       student, but also in a number of cases have

        23       lower tuition.











                                                             
3352

         1                      In 1847, a tradition of free

         2       public higher education was initiated in New

         3       York State.  It was called the Free Academy, and

         4       over the years since the mid-17th Century, the

         5       contribution of City University students and

         6       subsequently State University students have made

         7       this state truly a state with riches, riches in

         8       intellectual contributions and in professional

         9       contributions and business contributions.

        10                      I don't want to go into a litany

        11       of who are the graduates, but at a time when

        12       there's an increased emphasis on higher

        13       educational training in order to meet the needs

        14       of a high-tech society, we do not want to

        15       discourage this generation of students, many of

        16       whom are minority, many of whom are students

        17       that might not have a chance to continue their

        18       education, to make productive contributions to

        19       their chosen careers without the opportunity for

        20       affordable higher education.

        21                      If I had my way, I would remove

        22       the tuition entirely because a person who

        23       graduates from a higher educational institution











                                                             
3353

         1       is likely to make up to a half million dollars a

         2       year in additional earnings over the course of a

         3       lifetime, and we will recoup that money in

         4       higher taxes and so will the federal government

         5       recoup that money, and the loss at all levels of

         6       government, in Washington, of student loans,

         7       student grants and other forms of financial aid,

         8       and the loss of scholarship programs in our own

         9       state and other financial incentives for

        10       students to learn and not go on welfare will be

        11       sorely felt.

        12                      If you believe in getting people

        13       off of welfare and on to WorkFare, then you

        14       should support these amendments or, if you

        15       believe that affordable tuition is not

        16       important, then obviously, we will not be

        17       prepared for the challenges of the 21st Century.

        18                      I am asking you, in order to

        19       fulfill the mandate of having a trained work

        20       force available for industry, for professions,

        21       the arts and the sciences and also government,

        22       in order to accomplish that objective, we need

        23       to allow students to go on to higher education.











                                                             
3354

         1                      The Chancellor of the City

         2       University of New York predicted that, if the

         3       original projections of a tuition increase came

         4       to pass, some students would be denied

         5       admission.  Others would be excluded from

         6       portions that they need for graduation.  Faculty

         7       members would be laid off, and a similar

         8       scenario, coupled with the closing of individual

         9       campuses, would follow in parts of the State

        10       University of New York.

        11                      I urge you to consider and to

        12       support these two amendments which would restore

        13       only enough money -- only enough money to

        14       prevent these massive tuition increases from

        15       coming to pass and, with this explanation, I now

        16       urge your support for these two amendments.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Stavisky, for the benefit of the members, is it

        19       fair to categorize the first amendment as being

        20       an additional -- an addition to the budget of

        21       approximately 400- to $500,000, and that the

        22       second amendment is for an addition of about $16

        23       million -











                                                             
3355

         1                      SENATOR STAVISKY:  No, that's not

         2       the case.

         3                      ACTING PRESIDENT KUHL:  -- for

         4       the educational opportunity -

         5                      SENATOR STAVISKY:  No, that's not

         6       the case.  Those are different amendments.  The

         7       amendments I offer is for an additional 116

         8       million for CUNY, an additional 215 million for

         9       SUNY to avoid the tuition increases.

        10                      ACTING PRESIDENT KUHL:  Okay.

        11                      SENATOR STAVISKY:  And not along

        12       the lines that you have -

        13                      ACTING PRESIDENT KUHL:  The

        14       question is on the first amendment which would

        15       restore monies for -

        16                      SENATOR STAFFORD:  Mr. President.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Stafford on the amendment.

        19                      SENATOR STAFFORD:  Mr. President,

        20       Senator Skelos' motion which -- was entirely in

        21       order, but I'll do this in three or four lines.

        22       It is an increase of 330 million in an academic

        23       year, 200 million for our cash for this budget.











                                                             
3356

         1                      Now, again, it would be nice if

         2       we could do many things.  There are many worthy

         3       causes, but we are trying to pass a budget

         4       that's responsible within the framework of what

         5       we can afford.

         6                      Therefore, we would, of course,

         7       urge that the amendment be defeated.

         8                      ACTING PRESIDENT KUHL:  The

         9       question is on the first amendment.  All those

        10       in favor signify by saying aye.

        11                      (Response of "Aye".)

        12                      Opposed, nay.

        13                      (Response of "Nay".)

        14                      The amendment is defeated.

        15                      The question is on the second

        16       amendment.  All those in favor signify by saying

        17       aye.

        18                      (Response of "Aye".)

        19                      Opposed, nay.

        20                      (Response of "Nay".)

        21                      The second amendment is

        22       defeated.

        23                      The Secretary will read the last











                                                             
3357

         1       section.

         2                      THE SECRETARY:  Section 2.  This

         3       act shall take effect on the 180th day.

         4                      ACTING PRESIDENT KUHL:  Call the

         5       roll.  Are there five senators wishing a slow

         6       roll call?

         7                      There are -- seeing five

         8       standing, the Secretary will call a slow roll

         9       call.

        10                      THE SECRETARY:  Senator Abate.

        11                      SENATOR ABATE:  No.

        12                      THE SECRETARY:  Senator Babbush,

        13       excused.

        14                      Senator Bruno.

        15                      (Affirmative indication.)

        16                      THE SECRETARY:  Yes.

        17                      Senator Connor.

        18                      (Negative indication.)

        19                      THE SECRETARY:  In the negative.

        20                      Senator Cook.

        21                      (There was no response.)

        22                      Senator DeFrancisco.

        23                      (There was no response.)











                                                             
3358

         1                      Senator DiCarlo.

         2                      SENATOR DiCARLO:  Aye.

         3                      THE SECRETARY:  Senator

         4       Dollinger.

         5                      SENATOR DOLLINGER:  Mr.

         6       President, to explain my vote.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Dollinger to explain his vote.

         9                      SENATOR DOLLINGER:  I made my

        10       views about this State Operations Budget known

        11       earlier.

        12                      I can't justify voting in the

        13       affirmative when we're raiding the state pension

        14       supplemention fund for poor, retired workers

        15       from this state to fund a tax cut for wealthy

        16       people.

        17                      I can't justify raiding $220

        18       million out of the Metropolitan Transit

        19       Authority operating account to fund a tax cut

        20       for the wealthy.

        21                      I can't justify taking $62

        22       million out of the Love Canal settlement

        23       accounts to fund a tax cut for wealthy people.











                                                             
3359

         1                      I can't justify taking $23

         2       million out of the Environmental Assistance Fund

         3       with which we're going to buy sensitive and

         4       environmental lands throughout this state to

         5       fund a tax cut for wealthy people.

         6                      I cannot justify, starting down

         7       the road to Keno -- to Keno, the video gambling

         8       operation, to fund a tax cut for wealthy people.

         9                      I can't justify taking state

        10       funds, moving and shuffling state workers around

        11       without some kind of impact statement about what

        12       it means to their host region.

        13                      An lastly, Mr. President, I'm not

        14       even sure that we're doing something final here

        15       that has any assemblance of finality.

        16                      Yesterday we approved a state

        17       budget, a capital budget and sure enough, there

        18       are press releases now circulated that said, "We

        19       didn't really mean what we said when we voted

        20       for that."

        21                      Here's one that says, "We're

        22       going to restore the money for the stadium" even

        23       though yesterday we voted -- this body, over my











                                                             
3360

         1       objection, voted to cut out funding for

         2       stadiums.  So I'm not sure what it is we do

         3       here, but this doesn't make any sense to me.

         4                      So I will be voting in the

         5       negative, Mr. President.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Dollinger in the negative.

         8                      THE SECRETARY:  Senator Espada.

         9                      (There was no response.)

        10                      Senator Farley.

        11                      SENATOR FARLEY:  Aye.

        12                      Senator Galiber.

        13                      (There was no response.)

        14                      Senator Gold.

        15                      SENATOR GOLD:  Mr. President.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Gold to explain his vote.

        18                      SENATOR GOLD:  I'll be really

        19       very, very brief.  I made the point yesterday

        20       but I really have to make it again.

        21                      It's one thing to call the

        22       Minority in this house names and say that we

        23       were obstreperous, we do this and we do that.











                                                             
3361

         1                      The bottom line here is very

         2       simple.  This is probably the first time maybe

         3       in the history of the state, certainly the first

         4       time that I know of, when a party said they are

         5       going to pass a budget without disclosing at

         6       least what the budget was.

         7                      You have not disclosed the

         8       budget.  You are giving us a bill at a time, and

         9       in doing that, you're asking for trust that you

        10       have not earned.  And I don't mean that in a

        11       fresh way.  I mean that we have different

        12       political philosophies.

        13                      If you said in the next four or

        14       five days we are going to pass a complete

        15       budget, this is the budget, and it's going to

        16       take four or five days because there are issues

        17       to be discussed, and we understand that you

        18       don't want to work all night and you want to

        19       take a few bills a day, we could understand

        20       that, and that would be a legitimate thing to

        21       say, and then we could say, "Well, this is their

        22       budget, and their capital program is only this

        23       big because on the capital part of it -- for the











                                                             
3362

         1       state purposes rather, they're spending this

         2       much", and we could understand that, but this

         3       is, probably in all my years, the most unfair

         4       way to put out a budget and it's insincere.

         5       Maybe it's insincere because you don't know

         6       where the bottom line is.

         7                      As Senator Dollinger so very,

         8       very articulately pointed out, yesterday you had

         9       a capital projects budget and after Senator

        10       DeFrancisco's release, we find out it's not

        11       really the total capital budget, and we're told

        12       that there are still negotiations going on some

        13       place else.

        14                      So the bottom line of it all is

        15       simple.  You do not have a budget.  And all of

        16       these press releases would say that there is

        17       agreement between the Governor and the Senate

        18       Majority on a budget are absolutely untrue.

        19       There is no Republican budget.  If there was, it

        20       would be sitting out there and, while it would

        21       take time to vote for it all, we would know the

        22       budget.

        23                      I vote no.











                                                             
3363

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Gold in the negative.

         3                      THE SECRETARY:  Senator Gonzalez.

         4                      SENATOR GONZALEZ:  No.

         5                      THE SECRETARY:  Senator Goodman.

         6                      SENATOR GOODMAN:  Yes.

         7                      THE SECRETARY:  Senator Hannon.

         8                      SENATOR HANNON:  Yes.

         9                      THE SECRETARY:  Senator Hoblock.

        10                      SENATOR HOBLOCK:  Yes.

        11                      THE SECRETARY:  Senator Hoffmann.

        12                      SENATOR HOFFMANN:  No.

        13                      THE SECRETARY:  Senator Holland.

        14                      SENATOR HOLLAND:  Yes.

        15                      THE SECRETARY:  Senator Johnson.

        16                      SENATOR JOHNSON:  Aye.

        17                      THE SECRETARY:  Senator Jones.

        18                      SENATOR JONES:  No.

        19                      THE SECRETARY:  Senator Kruger.

        20                      SENATOR KRUGER:  No.

        21                      THE SECRETARY:  Senator Kuhl.

        22                      SENATOR KUHL:  Aye.

        23                      THE SECRETARY:  Senator Lack.











                                                             
3364

         1                      SENATOR LACK:  Aye.

         2                      THE SECRETARY:  Senator Larkin.

         3                      SENATOR LARKIN:  Aye.

         4                      THE SECRETARY:  Senator LaValle.

         5                      SENATOR LAVALLE:  Mr. President.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       LaValle to explain his vote.

         8                      SENATOR LAVALLE:  Mr. President,

         9       I rise very briefly to -- to say to the body

        10       here that the portion in this budget for higher

        11       education, despite the remarks that Senator

        12       Stavisky had made -- much of his comments were

        13       on proposals in the beginning, show that

        14       creativity and hard work on the part of the

        15       members, the subcomittee under Senator Stafford

        16       that I chaired and Senator Stafford's staff,

        17       Senator Bruno's staff and my staff, that we were

        18       able to come up with very creative ideas that

        19       ensure that campuses will not close, that

        20       tuition can be ameliorated, that we can have a

        21       plan to redesign, to make sure that access and

        22       quality will be maintained in both our public

        23       institutions.











                                                             
3365

         1                      And so, in speaking here today, I

         2       think that the staff and the members who worked

         3       on this piece in the budget should really be

         4       congratulated for their hard work, their

         5       ingenuity and the energy that they showed.

         6                      I vote yes.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       LaValle in the affirmative.

         9                      THE SECRETARY:  Senator Leibell.

        10                      SENATOR LEIBELL:  Aye.

        11                      THE SECRETARY:  Senator Leichter.

        12                      SENATOR LEICHTER:  Mr. President,

        13       to explain my vote.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Leichter to to explain his vote.

        16                      SENATOR LEICHTER:  Yeah.  I

        17       appreciate what Senator LaValle said and I also

        18       appreciate how difficult this budget is for him

        19       because Senator LaValle has been a very staunch

        20       fighter for higher education in this state.

        21                      Senator, you use words as such a

        22       "creative budget, ingenuity".  You might also

        23       use the word "fantasy", because the fact is that











                                                             
3366

         1       the State University and the City University are

         2       grievously hurt by this budget, and if this

         3       budget should pass, there's going to be very,

         4       very substantial increases at approximately

         5       $1,000 per student.

         6                      I think it's appalling that we're

         7       denying people the educational opportunities,

         8       Senator, that you had and I had when we grew up,

         9       the ability to go to a good public educational

        10       institution, and make no mistake about it, that

        11       the State University of New York will no longer

        12       remain in the foreranks of leading state

        13       institutions throughout this nation because of

        14       the cuts that are being imposed in this budget.

        15                      You talked about economic

        16       development.  What is a more significant help to

        17       the economic development of this state than to

        18       have good academic institutions to give the

        19       opportunity to young people to attend these

        20       institutions and come out with an education that

        21       will allow them to compete in this very complex,

        22       difficult, modern, technological, economic

        23       world?  That's what we should be about.











                                                             
3367

         1                      This budget doesn't do it, and no

         2       matter how you cut it, no matter how many times

         3       Senator Stafford gets up and talks about the

         4       economic engine, the fact is that we are hurting

         5       this state economically all because of a mad,

         6       obsessive drive to give tax cuts to the wealthy.

         7                      I vote no.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Leichter in the negative.

        10                      THE SECRETARY:  Senator Levy.

        11                      SENATOR LEVY:  Aye.

        12                      THE SECRETARY:  Senator Libous.

        13                      (There was no response.)

        14                      Senator Maltese.

        15                      SENATOR MALTESE:  Aye.

        16                      THE SECRETARY:  Senator

        17       Marcellino.

        18                      SENATOR MARCELLINO:  Aye.

        19                      THE SECRETARY:  Senator Marchi.

        20                      SENATOR MARCHI:  Aye.

        21                      THE SECRETARY:  Senator

        22       Markowitz.

        23                      SENATOR MARKOWITZ:  No.











                                                             
3368

         1                      THE SECRETARY:  Senatoar Maziarz.

         2                      SENATOR MAZIARZ:  Aye.

         3                      THE SECRETARY:  Senator Mendez.

         4                      SENATOR MENDEZ:  No.

         5                      THE SECRETARY:  Senator

         6       Montgomery.

         7                      SENATOR MONTGOMERY:  No.

         8                      THE SECRETARY:  Senator Nanula.

         9                      SENATOR NANULA:  No.

        10                      THE SECRETARY:  Senator Nozzolio.

        11                      SENATOR NOZZOLIO:  Aye.

        12                      THE SECRETARY:  Senator Onorato.

        13                      SENATOR ONORATO:  No.

        14                      THE SECRETARY:  Senator

        15       Oppenheimer.

        16                      SENATOR OPPENHEIMER:  No.

        17                      THE SECRETARY:  Senator Padavan.

        18                      SENATOR PADAVAN:  Yes.

        19                      THE SECRETARY:  Senator Paterson.

        20                      SENATOR PATERSON:  No, Mr.

        21       President.

        22                      THE SECRETARY:  Senator Present.

        23                      SENATOR PRESENT:  Aye.











                                                             
3369

         1                      THE SECRETARY:  Senator Rath.

         2                      SENATOR RATH:  Aye.

         3                      THE SECRETARY:  Senator Saland.

         4                      SENATOR SALAND:  Aye.

         5                      THE SECRETARY:  Senator Santiago.

         6                      (There was no response.)

         7                      Senator Sears.

         8                      SENATOR SEARS:  Aye.

         9                      THE SECRETARY:  Senator Seward.

        10                      SENATOR SEWARD:  Yes.

        11                      THE SECRETARY:  Senator Skelos.

        12                      SENATOR SKELOS:  Yes.

        13                      THE SECRETARY:  Senator Smith.

        14                      SENATOR SMITH:  No.

        15                      THE SECRETARY:  Senator Solomon.

        16                      SENATOR SOLOMON:  Mr. President,

        17       to explain my vote.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Solomon to explain his vote.

        20                      SENATOR SOLOMON:  As a graduate

        21       of SUNY and someone who's admired the public

        22       college system, both CUNY and SUNY, the CUNY

        23       which has produced probably more Nobel Prize











                                                             
3370

         1       award winners than any other institution, I have

         2       to vote no on this budget.

         3                      Thank you.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Solomon in the negative.

         6                      THE SECRETARY:  Senator Spano.

         7                      SENATOR SPANO:  Aye.

         8                      THE SECRETARY:  Senator

         9       Stachowski.

        10                      SENATOR STACHOWSKI:  No.

        11                      THE SECRETARY:  Senator Stafford.

        12                      SENATOR STAFFORD:  Aye.

        13                      THE SECRETARY:  Senator Stavisky.

        14                      SENATOR STAVISKY:  No.

        15                      THE SECRETARY:  Senator Trunzo.

        16                      SENATOR TRUNZO:  Mr. President -

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Trunzo to explain his vote.

        19                      SENATOR TRUNZO:  -- to explain my

        20       vote.

        21                      Earlier on, I believe Senator

        22       Dollinger had made some point in the early part

        23       of this debate when I wasn't in the room, and he











                                                             
3371

         1       did it explaining his vote that the -- this

         2       particular bill raided the supplemental pension

         3       fund.

         4                      I would just like to let Senator

         5       Dollinger know that this bill does not entail or

         6       dictate any passage of the Article 7 bill that

         7       would raid the state retirement system

         8       supplementation reserve fund as outlined by the

         9       Governor.

        10                      It's not in this bill.  We are

        11       not raiding the money, and there are negotia

        12       tions going on to try to develop a bill and

        13       something that would be in accord with the

        14       unions and the Legislature and the Governor and

        15       the Comptroller to work out something for the

        16       retirees.

        17                      I vote in the affirmative.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Trunzo in the affirmative.

        20                      THE SECRETARY:  Senator Tully.

        21                      SENATOR TULLY:  Aye.

        22                      THE SECRETARY:  Senator Velella.

        23                      SENATOR VELELLA:  Aye.











                                                             
3372

         1                      THE SECRETARY:  Senator Volker.

         2                      SENATOR VOLKER:  Yes.

         3                      THE SECRETARY:  Senator Waldon

         4       voting in the negative earlier today.

         5                      Senator Wright.

         6                      SENATOR WRIGHT:  Aye.

         7                      ACTING PRESIDENT KUHL:  The

         8       Secretary will call the absentees.

         9                      THE SECRETARY:  Senator Cook.

        10                      SENATOR COOK:  Mr. President.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Cook to explain his vote.

        13                      SENATOR COOK:  Mr. President,

        14       this has been a very instructive budget season,

        15       particularly with relation to the State

        16       University, and Senator LaValle is not here

        17       right now, but I wanted to compliment him and

        18       his staff for the great work that they've done

        19       on this budget.

        20                      I think that the University

        21       itself and many of the people who purport to be

        22       supporters of the University and, indeed, many

        23       of the people who are employed in the University











                                                             
3373

         1       have done the University a great disservice,

         2       because they have tried to raise the spectre

         3       that there, indeed, is no need for the

         4       University to participate in any way in the kind

         5       of fiscal restraints that are so incumbent upon

         6       the entire state government.

         7                      Now, I have agreed and have said

         8       consistently, as have other people in this

         9       chamber, that those cuts that were proposed by

        10       the Governor went beyond that which was

        11       reasonable to expect, and I think that Senator

        12       LaValle and Senator Stafford and their staffs

        13       have found ways to mitigate the -- the damage

        14       that perhaps those deep cuts would have made,

        15       but they have developed a responsible budget, a

        16       budget in which the State University will

        17       continue to be the same strong university that

        18       it has been, and they have reduced the necessity

        19       for increases in tuition.

        20                      And, Mr. President, that is a

        21       very, very important and significant thing, plus

        22       the fact that we now have a guarantee that the

        23       two-year Ag' and Tech' colleges, which are so











                                                             
3374

         1       much an important part of that university's

         2       system, will be continued.

         3                      I vote in the affirmative.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Cook in the affirmative.  Continue to call the

         6       absentees.

         7                      THE SECRETARY:  Senator

         8       DeFrancisco.

         9                      SENATOR DeFRANCISCO:  Yes.

        10                      THE SECRETARY:  Senator Espada.

        11                      (There was no response.)

        12                      Senator Galiber.

        13                      SENATOR GALIBER:  No.

        14                      THE SECRETARY:  Senator Libous.

        15                      SENATOR LIBOUS:  Yes.

        16                      THE SECRETARY:  Senator Santiago.

        17                      (There was no response.)

        18                      ACTING PRESIDENT KUHL:  Announce

        19       the results.

        20                      THE SECRETARY:  Ayes 36, nays

        21       22.

        22                      ACTING PRESIDENT KUHL:  The bill

        23       is passed.











                                                             
3375

         1                      Senator Skelos.

         2                      SENATOR SKELOS:  Please recognize

         3       Senator Saland.

         4                      ACTING PRESIDENT KUHL:  The Chair

         5       recognizes Senator Saland.

         6                      SENATOR SALAND:  Thank you, Mr.

         7       President.

         8                      Mr. President, there will be an

         9       immediate meeting of the Children and Families

        10       Committee in the Conference Room.

        11                      ACTING PRESIDENT KUHL:  There

        12       will be an immediate meeting of the Children and

        13       Families Committee in Room 332, the Majority

        14       Conference Room.

        15                      SENATOR SKELOS:  Please recognize

        16       Senator Nanula.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Nanula.

        19                      SENATOR NANULA:  Mr. President, I

        20       move that the following bill be discharged from

        21       its respective committee and be recommitted with

        22       instructions to strike the enacting clause:

        23       Bill Number 1201.











                                                             
3376

         1                      ACTING PRESIDENT KUHL:  Without

         2       objection, Bill Number 1201 is recommitted and

         3       the enacting clause is stricken.

         4                      The Chair recognizes Senator

         5       Wright.

         6                      SENATOR WRIGHT:  Mr. President,

         7       on page number 18, I offer the following

         8       amendments to Calendar Number 90, Senate Print

         9       Number 290, and ask the bill retain its place on

        10       the Third Reading Calendar.

        11                      ACTING PRESIDENT KUHL:  The

        12       amendments are received and adopted.  The bill

        13       will retain its place on the Third Reading

        14       Calendar.

        15                      Senator Skelos.

        16                      SENATOR SKELOS:  Yes, Mr.

        17       President.  Would you please call up Calendar

        18       Number 343.

        19                      ACTING PRESIDENT KUHL:  The

        20       Secretary will read Calendar Number 343.

        21                      THE SECRETARY:  Calendar Number

        22       343, Budget Bill, Senate Print 1758, an act to

        23       amend the Labor Law, in relation to boiler











                                                             
3377

         1       inspection requirements.

         2                      SENATOR PATERSON:  Explanation.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Stafford, an explanation has been asked for by

         5       Senator Paterson.

         6                      SENATOR STAFFORD:  Mr. President

         7        -- who has the -- Senator Spano, who so ably

         8       chairs the Labor Committee, will explain to us

         9       this excellent piece of legislation.

        10                      SENATOR SPANO:  Thank you,

        11       Senator Stafford, Mr. President.

        12                      ACTING PRESIDENT KUHL:  The Chair

        13       recognizes Senator Spano for an explanation.

        14                      SENATOR SPANO:  This bill reduces

        15       the unnecessary regulations of business across

        16       the state by modifying the commercial boiler

        17       inspection program in the Department of Labor.

        18                      What it does is it exempts the -

        19       the inspection of low pressure commercial

        20       boilers that have a capacity of 100,000 BTUs.

        21       It also reduces the frequency of inspection from

        22       one year -- every year to every two years for

        23       those commercial boilers with a capacity greater











                                                             
3378

         1       than 100,000 BTUs and it also allows cities and

         2       municipalities to make similar amendments in

         3       their laws if they have assumed the

         4       responsibility for a boiler inspection.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Paterson.

         7                      SENATOR PATERSON:  Would Senator

         8       Spano yield for a question?

         9                      SENATOR SPANO:  Yes.

        10                      SENATOR GOLD:  Mr. President.

        11                      SENATOR PATERSON:  Mr. President,

        12       Senator Gold has a question.  I would be willing

        13       to yield to him.

        14                      SENATOR GOLD:  Yeah, Mr.

        15       President.  It's not so much a question, it's a

        16       request.

        17                      At the committee meeting, which

        18       is public and everyone knows I'm giving an

        19       accurate portrayal, we asked certain questions

        20       and I asked some specific questions on this bill

        21       as to how you get a handle on what areas were

        22       involved, what kind of businesses or whether any

        23       public buildings were involved, and while there











                                                             
3379

         1       was a discussion, I was told by a staff member

         2       that someone would get back to me with the

         3       information.

         4                      Perhaps, Senator Spano, we could

         5       lay this one aside, do some of the others and we

         6       could get that information.  I want to be

         7       cooperative and I know everyone wants to be

         8       cooperative, and when we're told that we will

         9       get the information, we assume we'll get it, and

        10       I know there's no bad faith here, but perhaps we

        11       could just do another bill or two

        12       and -

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Spano, would you like to respond to Senator

        15       Gold?

        16                      SENATOR SPANO:  Mr. President, if

        17       it's all right with the chairman, Senator Gold,

        18       I have not had a chance to discuss some of the

        19       concerns you raised with the staff in the

        20       committee, and maybe I can answer the questions

        21       for you.

        22                      SENATOR GOLD:  Well, Senator, in

        23       all fairness, I appreciate that, and I respect











                                                             
3380

         1       your expertise, but I'd like to be able to see

         2       the information and take a look at it and then

         3       decide maybe I don't need a debate or maybe

         4       there should or should not be, but I think when

         5       the comments are made in the committee,

         6       particularly the Finance Committee, with bills

         7       coming directly to the floor, that we would get

         8       certain information, the understanding has kind

         9       of always been that we would get the information

        10       prior to being in the middle of a debate.

        11                      So I don't think it upsets

        12       anything, Senator.  There's about five, six

        13       other bills, and I don't think we're talking

        14       about a lot -- a long period of time.  It's just

        15       that I think that that would be a fairer and

        16       more orderly way to do it.

        17                      SENATOR SPANO:  I mean, the one

        18       question I know that you did ask, Senator Gold,

        19       was with respect to public buildings, and there

        20       are -- there are no public buildings that we're

        21       able to find that would -- that have commercial

        22       boilers that have in excess of 100,000 BTUs.  I

        23       mean, a 100,000 BTU boiler is smaller than the











                                                             
3381

         1       size of our desks, so we're not talking about

         2       public buildings in terms of -- I mean, you make

         3        -- a commercial boiler is only designated as

         4       such because it may be in a commercial

         5       establishment, it might be a grocery store or a

         6       bar.  If you define a "public building" that

         7       way, then the answer will be yes.

         8                      SENATOR GOLD:  Mr. President, if

         9       I may.

        10                      Senator Spano, this is a classic

        11       situation where we may not even have to debate

        12       it, I don't know, but it seems to me that, in

        13       good faith, we were told at the committee

        14       meeting that we would have certain information,

        15       and I'd just as soon see it, sit with a few

        16       minutes and it may answer my question, but this

        17       is not what I anticipate when a staff person

        18       says, "we'll get you the information" that -- in

        19       the course of the debate.  That's all.

        20                      SENATOR SPANO:  Mr. President,

        21       can we lay the bill aside just for a few minutes

        22       while we try to get the answers for Senator

        23       Gold?











                                                             
3382

         1                      SENATOR GOLD:  I appreciate the

         2       courtesy, Senator.

         3                      ACTING PRESIDENT KUHL:  The bill

         4       will be laid aside temporarily.

         5                      Senator Skelos.

         6                      SENATOR SKELOS:  344.

         7                      ACTING PRESIDENT KUHL:  The

         8       Secretary will read Calendar Number 344.

         9                      THE SECRETARY:  Calendar Number

        10       344, Budget Bill, Senate Print 1803, an act to

        11       amend the Civil Service Law, in relation to

        12       authorizing the payment of additional

        13       compensation to certain employees in the Office

        14       of General Services.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Stafford.

        17                      SENATOR STAFFORD:  Yes.

        18                      ACTING PRESIDENT KUHL:  An

        19       explanation has been asked of Calendar Number

        20       344 by Senator Leichter.

        21                      SENATOR STAFFORD:  Thank you.

        22                      I believe Senator Lack has the

        23       information.











                                                             
3383

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Lack to respond to the explanation request.

         3                      SENATOR LACK:  Yes.  Thank you,

         4       Mr. President.

         5                      Senator Leichter made the

         6       request, Mr. President?

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Leichter made the request.

         9                      SENATOR LACK:  Senator Leichter,

        10       this would allow an evaluation of the effect of

        11       extra compensation on productivity of -- before

        12       our generation, Senator Leichter, it's sort of a

        13       Stakhanovite system that they would like to put

        14       in, if you do well, you get paid more and it's

        15       based on productivity.  It's part of an

        16       agreement that has -- that has been reached.

        17                      ACTING PRESIDENT KUHL:  The Chair

        18       recognizes Senator Leichter.

        19                      SENATOR LACK:  I can go into more

        20       detail, if that's what your -

        21                      SENATOR LEICHTER:  Senator Lack,

        22       if you would yield.

        23                      SENATOR LACK:  Surely.











                                                             
3384

         1                      SENATOR LEICHTER:  What I'm

         2       concerned about, among other things, is the way

         3       that productivity is going to be determined and,

         4       frankly, I'm a bit concerned whether this is

         5       going to be done politically.

         6                      Frankly, we've seen this

         7       administration make many political appointee

         8       appointments.  Now, are we going to reward these

         9       political appointments on the claim they're

        10       producing so much?

        11                      SENATOR LACK:  Senator Leichter,

        12       this has been done pursuant to an agreement with

        13       the Civil Service Employees Association, CSEA,

        14       and I would hardly want to have an accusation of

        15       politics involving the members of such a

        16       laudatory collective bargaining unit.

        17                      SENATOR LEICHTER:  So is there

        18       now a memorandum of understanding that's already

        19       been entered into with the CSEA?

        20                      SENATOR LACK:  Yes.  It's a -

        21       participate in pilot studies to evaluate whether

        22       extra compensation serves as an incentive

        23       pursuant to an agreement with CSEA.











                                                             
3385

         1                      SENATOR LEICHTER:  All right.

         2       Does that set forth a criteria to judge

         3       productivity?

         4                      SENATOR LACK:  Yes.  There is a

         5       performance record which lists everything from

         6       tardiness through maintained orderly work area,

         7       responds well to supervision, et cetera.  There

         8       are guidelines for scoring that run over a

         9       couple of pages on how this will be measured.

        10       Senator, if you would like, I'll have them shown

        11       to you right away.

        12                      SENATOR LEICHTER:  Senator, let

        13       me ask you another question.  I don't know if

        14       you know the answer to this.

        15                      I see that this agreement relates

        16       to the Department of General Services.  I was

        17       sort of surprised to read in the paper the last

        18       few days in relation to the possible move of

        19       state employees to Kingston, that somebody who

        20       claimed to be the Commissioner of the Department

        21       of General Services was answering for the

        22       Department and for the administration.

        23                      To your knowledge, have we











                                                             
3386

         1       confirmed a commissioner of the Department of

         2       General Services?

         3                      SENATOR LACK:  No.  We have an

         4       acting commissioner, I would assume.  We have

         5       not confirmed the Commissioner himself.  There

         6       is a person who has been designated by the

         7       Governor to be the Commissioner of General -- of

         8       the Office of General Services and that is an

         9       appointment that is pending confirmation in the

        10       Senate.

        11                      SENATOR LEICHTER:  Senator Lack,

        12       if you would be so good as to continue to yield.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Lack, do you continue to yield?  The Senator

        15       continues to yield.

        16                      SENATOR LACK:  Yes, I will, Mr.

        17       President.

        18                      SENATOR LEICHTER:  Do you know

        19       who the acting commissioner is?

        20                      SENATOR LACK:  Yes.

        21                      SENATOR LEICHTER:  And who is

        22       that gentleman?

        23                      SENATOR LACK:  Mr. Delaney.











                                                             
3387

         1                      SENATOR LEICHTER:  Is that the

         2       same person who the Governor has appointed as

         3       commissioner?

         4                      SENATOR LACK:  Well, he has

         5       nominated him to be -

         6                      SENATOR LEICHTER:  Nominated him.

         7                      SENATOR LACK: -- commissioner

         8       pursuant to confirmation of this Senate, yes.

         9                      SENATOR LEICHTER:  Right.  Do you

        10       know why his name has not appeared before the

        11       Senate for confirmation?

        12                      SENATOR LACK:  Excuse me for

        13       laughing, Senator.  Is this -

        14                      SENATOR LEICHTER:  I'm laughing

        15       too.

        16                      SENATOR LACK:  No, no, Senator.

        17       Excuse me.  Is this coming from the same side of

        18       the aisle that was also standing up saying, "Why

        19       are all these names being rushed for

        20       confirmation before this state Senate?"  Well,

        21       Senator, we heard, there's a budget that we're

        22       currently trying to do and Mr. Delaney's name is

        23       coming through in the course of things.











                                                             
3388

         1                      I would dare say, I would hate to

         2       see what happened if, all of a sudden at 20

         3       after 5:00 this afternoon, Senator Kuhl, acting

         4       as President of the Senate, said, "There will be

         5       an immediate meeting of the Finance Committee in

         6       Room 332" and we rushed back and said, "We have

         7       the confirmation of Commissioner Delaney", at

         8       which time, Senator, somebody over there would

         9       be standing up saying, "Why is this being rushed

        10       through?"  I guess we just can't win.

        11                      But Mr. Delaney is acting

        12       commissioner.  It is going through the process

        13       of the Senate, Senator, and I assure you it will

        14       be here shortly.

        15                      SENATOR LEICHTER:  Senator, I

        16       assure you that if the distinguished presiding

        17       officer said we're now going to have a Senate

        18       Finance Committee without previous notice to

        19       this Minority we would complain, but I don't

        20       think anything kept you two weeks ago from

        21       saying, "In a week, we will consider Mr.

        22       Delaney."

        23                      My concern is important decisions











                                                             
3389

         1       are being made as to moving state employees by

         2       somebody who purports to be the commissioner.

         3       He didn't seem to tell the newspapers, but it

         4       may also be that the newspaper reporter got it

         5       wrong, that this gentleman was an acting

         6       commissioner and it is an important position.

         7       It's an -- it's important decisions that he's

         8       making, and he ought to come before us for

         9       confirmation, but in a deliberate fashion, not

        10       at 5:20 in the afternoon but with appropriate

        11       notice.

        12                      SENATOR LACK:  Thank you,

        13       Senator, and the Majority will certainly take

        14       under very speedy advisement your request that

        15       we accelerate the pace of all appointments for

        16       confirmation.

        17                      Thank you for that advice.

        18                      ACTING PRESIDENT KUHL:  The

        19       Secretary will read the last section.

        20                      SENATOR DOLLINGER:  Mr.

        21       President, excuse me.  May I ask Senator Lack

        22       one question, if he -

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3390

         1       Lack, do you yield to Senator Dollinger?

         2                      SENATOR LACK:  Yes, Mr.

         3       President.

         4                      SENATOR DOLLINGER:  Was any

         5       consideration -- again through you, Mr.

         6       President.  Was any consideration given in this

         7       bill to making a report of the awards granted to

         8       the members of the Legislature?

         9                      SENATOR LACK:  No, Senator.

        10                      Mr. President, to my knowledge,

        11       there wasn't.  This Article 7 bill merely

        12       implements the agreement that was reached

        13       between the state and CSEA.  One would assume a

        14       matter by which the agreement was made, which is

        15       between the executive and CSEA, that there is a

        16       constant review, an evaluation of the program.

        17       After all, it is defined to be a pilot program

        18       to measure the efficiency and the efficacy of

        19       these types of incentives, and it's under

        20       constant review as to whether or not it works.

        21                      SENATOR DOLLINGER:  Thank you,

        22       Senator Lack.

        23                      I just note that, in many other











                                                             
3391

         1       instances when we do this kind of thing, we

         2       require that a report be filed with the

         3       Legislature, either the Speaker or Majority

         4       Leader or the respective committees that would

         5       oversee things like this.  It might just be

         6       interesting for the Legislature at some time to

         7       know how this program works and to know who gets

         8       the awards and do that some time in the future.

         9       I understand -

        10                      SENATOR LACK:  There will be an

        11       OGS targets cleaning and maintenance personnel

        12       and I'm sure that, if you would like to know how

        13       well that's worked, OGS would be quite happy to

        14       supply you with information.

        15                      SENATOR DOLLINGER:  Thank you,

        16       Mr. President, just a thought.

        17                      ACTING PRESIDENT KUHL:  The

        18       Secretary will read the last section.

        19                      THE SECRETARY:  Section 2.  This

        20       act shall take effect immediately.

        21                      ACTING PRESIDENT KUHL:  Call the

        22       roll.

        23                      (The Secretary called the roll.)











                                                             
3392

         1                      THE SECRETARY:  Ayes 60.

         2                      ACTING PRESIDENT KUHL:  The bill

         3       is passed.

         4                      Senator Skelos.

         5                      SENATOR SKELOS:  Would you please

         6       call up Calendar Number 345.

         7                      ACTING PRESIDENT KUHL:  The

         8       Secretary will read Calendar Number 345.

         9                      THE SECRETARY:  Calendar Number

        10       345, Budget Bill, Senate Print 1810, an act to

        11       repeal Section 28 of Chapter 169 of the Laws of

        12       1994, relating to certain provisions.

        13                      SENATOR PATERSON:  Explanation.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Stafford, an explanation has been asked for by

        16       Senator Paterson.

        17                      SENATOR STAFFORD:  Thank you, Mr.

        18       President.

        19                      Yield again to Senator Lack.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Lack for an explanation.

        22                      SENATOR LACK:  Thank you, Mr.

        23       President.  Thank you, Senator Stafford.











                                                             
3393

         1                      This Article 7 bill would improve

         2       the business climate by eliminating the fee that

         3       vendors are charged to participate in the

         4       state's procurement process because it elimin

         5       ates special revenue procurement accounts.  It

         6       will reduce revenue by approximately $700,000.

         7                      ACTING PRESIDENT KUHL:

         8       Explanation satisfactory?

         9                      The Secretary will read the last

        10       section.

        11                      THE SECRETARY:  Section 2.  This

        12       act shall take effect immediately.

        13                      ACTING PRESIDENT KUHL:  Call the

        14       roll.

        15                      (The Secretary called the roll.)

        16                      THE SECRETARY:  Ayes 60.

        17                      ACTING PRESIDENT KUHL:  The bill

        18       is passed.

        19                      Senator Skelos.

        20                      SENATOR SKELOS:  Yes, Mr.

        21       President.  Would you call up Calendar Number

        22       346.

        23                      ACTING PRESIDENT KUHL:  The











                                                             
3394

         1       Secretary will read Calendar Number 346.

         2                      THE SECRETARY:  Calendar Number

         3       346, Budget Bill, Senate Print 1830, an act to

         4       amend the Tax Law, in relation to corporate

         5       mergers, consolidations and acquisitions.

         6                      SENATOR PATERSON:  Explanation,

         7       please.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Stafford, an explanation has been asked for by

        10       Senator Paterson.

        11                      SENATOR STAFFORD:  Mr. President,

        12       this was really in effect -- there's probably

        13       some people have been involved with a tax on

        14       mergers and acquisitions.  It really never

        15       worked because it didn't raise that much money

        16        -- it did not raise that much money because of,

        17       I guess some people would say good lawyers.

        18       Other people would say other things.

        19                      However, it isn't really friendly

        20       to business, obviously, and we think it's a good

        21       bill to repeal.

        22                      ACTING PRESIDENT KUHL:  The

        23       Secretary will read the last section.











                                                             
3395

         1                      THE SECRETARY:  Section -

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Paterson.

         4                      SENATOR PATERSON:  I just had a

         5       brief question for Senator Stafford.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Stafford, do you yield to Senator Paterson?  The

         8       Senator yields.

         9                      SENATOR PATERSON:  Senator

        10       Stafford, I don't see any fiscal impact one way

        11       or the other in this piece of legislation, but

        12       in a lot of respects this is what I call ADC

        13       legislation, instead of Aid to Depend Children,

        14       it's Aid to Dependent Corporations.  I don't

        15       understand why we should be in a sense letting

        16       them use the tax codes or subsidies or any kind

        17       of interests in order to, say, for instance,

        18       acquire another business which could cause us to

        19       lose jobs.  That's the only -

        20                      SENATOR STAFFORD:  I understand

        21       and, as a lawyer to a good lawyer, the income

        22       from the legislation was de minimis, and if we

        23       look up that, it means there wasn't much money.











                                                             
3396

         1                      Also -- also, on a serious note,

         2       I don't think that New York should be taxing.

         3       We don't think New York -- the Governor does not

         4       think New York should be taxing businesses any

         5       place we can.  It's not a subsidy.  It's just

         6       not having a tax that we don't have in other

         7       jurisdictions.

         8                      And, you know, if we're going to

         9        -- I want to stress this, and I would say to

        10       you -- I would say to you maybe that I'm glad

        11       you asked the question, but that isn't quite

        12       true, but I want to emphasize, again, though,

        13       that for years and years and years, we've been

        14       taxing businesses every way we could, and we

        15       simply lost one company after another, good

        16       companies, Fortune 500 companies, small

        17       businesses, and this is a time when we're saying

        18       that, if you're involved in this legitimate

        19       activity, you're not going to be taxed in this

        20       state, and I not only would want to pass this

        21       bill, but I'm sure there are many others we

        22       could pass like it.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3397

         1       Paterson.

         2                      SENATOR PATERSON:  Mr. President,

         3       I don't have a better friend in this chamber

         4       than Senator Stafford, and he's always -- except

         5       for Senator Galiber or Galiber if you're

         6       Caribbean, but Senator Stafford has always

         7       invigorated me, and today what he's saying is

         8       that this legislation is de minimis which I

         9       think is from de minimis res manes lex which is

        10       of the Latin that means that in the end it

        11       doesn't really make -- it doesn't have a real

        12       effect as in a building you might use red piping

        13       instead of gold.  It might not have been what

        14       the customer asked for, but in the end it

        15       satisfies the same purpose.

        16                      So you're saying that the

        17       legislation satisfies the purpose, it might be

        18       set up in a way that appears to give an

        19       advantage, but in the end it doesn't give an

        20       advantage.

        21                      My only other question, Senator,

        22       is, has the Tax Department ever conducted a

        23       study to make sure that it doesn't make a











                                                             
3398

         1       difference?

         2                      SENATOR STAFFORD:  There was not

         3       a study made.  However, we have corresponded and

         4       been in contact with them and they, of course,

         5       agree with the legislation and support it.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Dollinger.

         8                      SENATOR DOLLINGER:  Mr.

         9       President, on the bill, and I would just like to

        10       pick up on a point that Senator Stafford -

        11                      SENATOR STAFFORD:  I would just

        12       happen to also mention -- excuse me, Senator -

        13       the Tax Department drafted the bill.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Dollinger.

        16                      SENATOR DOLLINGER:  Mr.

        17       President, just on the bill.

        18                      I want to follow up on a comment

        19       that Senator Stafford made.  He said that this

        20       was unfriendly to business.  We've done a couple

        21       of these other Article 7 bills that showed that

        22       we were unfriendly to business, and I guess it's

        23       one of those rhetorical questions.  Who was so











                                                             
3399

         1       unfriendly to business before I got here?  What

         2       happened before 1992?  There must have been a

         3       period of time when someone in this chamber was

         4       very unfriendly to business.

         5                      SENATOR STAFFORD:  Could I -

         6                      SENATOR DOLLINGER:  And I,

         7       frankly, can't understand who was so unfriendly

         8       to business.  I look around the chamber now and

         9       I don't see people who are unfriendly to

        10       business, and I'm just intrigued by how did we

        11       ever get to be so unfriendly with business?

        12                      Maybe these bills were passed by

        13       some other Senate in some other state.

        14       Certainly not anything I've heard in this

        15       chamber suggests we have been unfriendly to

        16       business.  I'm just astounded.  We keep saying

        17       these things are all evidence of being

        18       unfriendly to business, and I would wonder who

        19       was here before 1992 that passed this law that

        20       was so unfriendly to business?

        21                      SENATOR STAFFORD:  I'll start

        22       with Senator Perry.

        23                      SENATOR DOLLINGER:  Would Senator











                                                             
3400

         1       Perry vote for a bill like this?

         2                      ACTING PRESIDENT KUHL:

         3       Gentlemen, gentlemen.  Senator Dollinger.

         4                      SENATOR DOLLINGER:  Just through

         5       you, Mr. President.  Was Senator Perry in the

         6       Majority then, Senator?  Maybe I missed

         7       something.

         8                      Senator Jones properly points

         9       out, had he been in the Majority, he would still

        10       be here and I wouldn't.

        11                      SENATOR STAFFORD:  This is

        12       probably making everyone -- making their heart

        13       just filled to see you and I here at the end of

        14       the day after we've been in the trenches.

        15                      I would make one final point, one

        16       final point.  You asked about -- and I think

        17       it's a serious question -- how have we been

        18       unfriendly to business?

        19                      One morning -- one evening we all

        20       left, everyone went back to where they were

        21       staying and went home.  We came back in the

        22       morning and we had put -- we had put a $50

        23       million tax on an industry.  Now, I don't call











                                                             
3401

         1       that friendly, and it's the type of thing that

         2       was done and we've got to stop doing it and I

         3       think this is a step in the right direction.

         4                      SENATOR DOLLINGER:  Just through

         5       you, Mr. President.

         6                      Senator Stafford, do you recall

         7       how you voted on that $50 million tax?

         8                      ACTING PRESIDENT KUHL:  Are you

         9       asking Senator Stafford to yield, Senator

        10       Dollinger?

        11                      SENATOR DOLLINGER:  I'm just

        12       trying to find out whether that was in the

        13       friendly or unfriendly period, Mr. President.

        14                      SENATOR STAFFORD:  You know,

        15       there's no more highly thought of person that

        16       sees the light.

        17                      I came here when I was young.  I

        18       came here probably a lot younger than you are

        19       now, and I have learned, and if you're asking if

        20       I made a decision and do I understand, and

        21       unless we straighten the state around, unless we

        22       stop this spending more than we take in and

        23       unless we stop placing the state in debt, we're











                                                             
3402

         1       going to have nothing, and again, I keep saying

         2       this, and I don't say it really as well as I

         3       should, but my point is, it's the private

         4       sector, it's the business -- you're relatively

         5       close to business.  I don't want to -- you

         6       understand.

         7                      SENATOR DOLLINGER:  Oh, I do.

         8                      SENATOR STAFFORD:  You have

         9       relatives involved in business.

        10                      SENATOR DOLLINGER:  I'm involved

        11       myself.

        12                      SENATOR STAFFORD:  Yes.  And we

        13       all do, and if these people don't make a profit

        14       and they aren't able to support this state with

        15       revenues, then all we talk about here, all we

        16       talked about, we just aren't going to be able to

        17       do it, and state is going to just keep going

        18       down, down, down 'til there's nothing, and I

        19       feel very strongly about it.

        20                      SENATOR DOLLINGER:  Mr.

        21       President, I thank Senator Stafford for his

        22       response.  I've also enjoyed the Adirondack

        23       raconteur in the answers that you've given me











                                                             
3403

         1       this evening and during the day today.  Some day

         2       maybe I'll find out who was so unfriendly to

         3       business when we did all these things and I'll

         4       have the answer I was seeking.

         5                      Thank you.

         6                      ACTING PRESIDENT KUHL:  The

         7       Secretary will read the last section.

         8                      THE SECRETARY:  Section 20.  This

         9       act shall take effect immediately.

        10                      ACTING PRESIDENT KUHL:  Call the

        11       roll.

        12                      (The Secretary called the roll.)

        13                      ACTING PRESIDENT KUHL:  Announce

        14       the results when tabulated.

        15                      SENATOR STAFFORD:  I am going to

        16       explain the bill.  Before I do, I'll just

        17       mention -

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Stafford.  Senator Stafford, we're in the middle

        20       of a roll call.  We're in the middle of a roll

        21       call, Senator.

        22                      SENATOR STAFFORD:  Sorry.

        23                      THE SECRETARY:  Those recorded in











                                                             
3404

         1       the negative on Calendar Number 346 are Senators

         2       Connor, Galiber, Kruger, Leichter, Markowitz,

         3       Onorato, Paterson and Stivisky.  Ayes 51, nays

         4       8.

         5                      ACTING PRESIDENT KUHL:  The bill

         6       is passed.

         7                      Senator Skelos.

         8                      SENATOR SKELOS:  Yes, Mr.

         9       President.  Would you call up Calendar Number

        10       347.

        11                      ACTING PRESIDENT KUHL:  The

        12       Secretary will read Calendar Number 347.

        13                      THE SECRETARY:  Calendar Number

        14       347, Budget Bill, Senate Print 1836, an act to

        15       amend the Public Authorities Law, the New York

        16       State Medical Care Facilities Finance Agency Act

        17       and the Facilities Development Corporation Act,

        18       in relation to the succession by the Dormitory

        19       Authority.

        20                      SENATOR PATERSON:  Explanation.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Stafford, an explanation has been asked for by

        23       Senator Paterson.











                                                             
3405

         1                      SENATOR STAFFORD:  Mr. President,

         2       this will merge the Dormitory Authority, the

         3       Medical Care Finance Agency and the Facilities

         4       Development Corporation into one unit.

         5                      I've been around here and this

         6       has been discussed for 20 years.  What it will

         7       do, it will provide efficiency.  We'll have one

         8       head.  There will be less administration, and

         9       also there will not be duplication of work.  We

        10       think it's a bill whose time has come.

        11                      SENATOR LEICHTER:  Mr. President.

        12                      ACTING PRESIDENT KUHL:  The Chair

        13       recognizes Senator Leichter.

        14                      SENATOR LEICHTER:  Yeah.  If

        15       Senator Stafford would be good enough to yield.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Stafford, would you yield to Senator Leichter?

        18       The Senator yields.

        19                      SENATOR LEICHTER:  Senator, could

        20       you tell us how much, if any, saving is

        21       anticipated from this merger?

        22                      SENATOR STAFFORD:  First, there

        23       will be 105 million available to the state in











                                                             
3406

         1       reserves and 4- to 5 million savings in

         2       operation every year, and that, we think, is not

         3       de minimis.

         4                      SENATOR LEICHTER:  Well, Senator,

         5       if you would be good enough to yield.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Stafford, do you continue to yield?  The Senator

         8       yields.

         9                      SENATOR LEICHTER:  Well, the

        10       reserves, Senator, don't immediately become

        11       available to the state to be used.  I assume

        12       these reserves are there for various bonds that

        13       have been issued, and while the reserves may be

        14       transferred to the newly merged entity of the

        15       Dormitory Authority, the fact is that the

        16       reserves are there for a specific purpose; isn't

        17       that so?

        18                      SENATOR STAFFORD:  General

        19       operating reserves not pledged to bonds and

        20       become available due to the merger.

        21                      SENATOR LEICHTER:  I'm sorry.

        22       Thank you.

        23                      If you would be so good as to











                                                             
3407

         1       yield.  I just apologize because I was speaking

         2       while you were trying to answer.

         3                      ACTING PRESIDENT KUHL:  The

         4       Senator yields.

         5                      SENATOR LEICHTER:  Okay.  I

         6       understand from counsel that one of the

         7       components of the reserve is the sale of an

         8       asset at 80 Centre Street, is that correct?

         9                      SENATOR STAFFORD:  The Dormitory

        10       Authority at the present time has the title -

        11        -- has 30 million -- it would pay that over to

        12       the state for the title to 80 Centre Street.

        13                      SENATOR LEICHTER:  And is it the

        14       intention of the Governor -- is it part of the

        15       budget to use the proceeds from the sale of that

        16       asset in this year's budget to be operating

        17       expenses?

        18                      SENATOR STAFFORD:  Yes, yes.

        19                      SENATOR LEICHTER:  So it's a one

        20       shot, is that correct?

        21                      SENATOR STAFFORD:  I just asked

        22       that and -

        23                      SENATOR LEICHTER:  The answer was











                                                             
3408

         1       yes.

         2                      SENATOR STAFFORD:  Non-recurring

         3       resources.

         4                      SENATOR LEICHTER:  Thank you.

         5                      Mr. President, if Senator

         6       Stafford -

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Stafford, do you continue to yield?

         9                      SENATOR LEICHTER: -- would be

        10       good enough to continue to yield.

        11                      ACTING PRESIDENT KUHL:  The

        12       Senator continues to yield.

        13                      SENATOR LEICHTER:  One issue that

        14       I understand is raised by this consolidation is

        15       which projects are now going to be covered by

        16       the Wicks Law, which are going to be covered by

        17       the procedures that the Dormitory Authority has

        18       used.  Can you enlighten us on that?

        19                      SENATOR STAFFORD:  Yes.  That was

        20       explained in the Finance Committee meeting.  The

        21       programs are not changed, and if they are

        22       covered, they remain covered.

        23                      SENATOR LEICHTER:  One of the











                                                             
3409

         1       issues that I see as raised is -- maybe you

         2       would be good enough to address this for us -

         3       whether the combination of Medicaid cuts,

         4       greater use of managed care and disuse in the

         5       use of the MCFFA reserves, will it have a

         6       negative impact on hospitals paying their

         7       debts?

         8                      SENATOR STAFFORD:  I understand

         9       what you're asking.  With the merger, it's not

        10       going to change the way at all of -- the debt is

        11       paid any hospital would have.

        12                      SENATOR LEICHTER:  Senator

        13       Stafford, I -

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Stafford -

        16                      SENATOR LEICHTER:  -- I think our

        17       concern is whether we are impairing the ability

        18       of these institutions and eventually, of course,

        19       of the agency which issued the bonds of repaying

        20       the debt.

        21                      SENATOR STAFFORD:  Well, of

        22       course, many are insured by the federal

        23       government but, again, you're asking whether the











                                                             
3410

         1       reduction in Medicaid is going to cause a

         2       problem for these hospitals to repay their

         3       debt.

         4                      SENATOR LEICHTER:  If I may just

         5       interrupt, Senator.

         6                      SENATOR STAFFFORD:  Please.

         7                      SENATOR LEICHTER:  I mean, it's

         8       not only the Medicaid cuts obviously as you and

         9       I know are going to have an impact on the

        10       hospitals, many of which are already in great

        11       difficulty, but now you combine that with

        12       managed care and, understandably, that's not

        13       part of this bill, and that issue would exist

        14       irrespective of whether we had this

        15       consolidation or not.

        16                      But then you add a third element,

        17       which is that you raided the reserves of the

        18       agency, which is now being folded into the Dor

        19       mitory Authority.  So if you put all three of

        20       these together, I just wonder whether we're not

        21       impairing the ability to meet the debt

        22       obligation on these bonds?

        23                      SENATOR STAFFORD:  Again, it's a











                                                             
3411

         1       good question.  It's a very detailed question,

         2       not complex, but I am advised that bond counsel

         3       and the agency have assured us that this will

         4       have none of the -- will result in none of the

         5       problems to which you are referring, and I think

         6       if you think about it with your question, they

         7       are opposite -- not opposite, they are separate

         8       from really the payment.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Stafford, do you continue to yield to Senator

        11       Leichter?

        12                      SENATOR STAFFORD:  Yes.

        13                      SENATOR LEICHTER:  Thank you.

        14       Let me just ask one other question that concerns

        15       me.

        16                      We're now making the newly

        17       consolidated agency, which is really the

        18       Dormitory Authority -- we're folding the health/

        19       medical facilities into the Dormitory

        20       Authority.  Is the Dormitory Authority now going

        21       to have legal responsibility for the bonds that

        22       have been issued in connection with the

        23       financing of health facilities?











                                                             
3412

         1                      SENATOR STAFFORD:  It's just like

         2       any legal entity.  Area successors are assigned,

         3       and you'll find that that's really the vehicle

         4       by which legality changes from one entity to the

         5       other.

         6                      SENATOR LEICHTER:  If I may then

         7       just on the bill.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Leichter, on the bill.

        10                      SENATOR LEICHTER:  I thank you,

        11       Senator Stafford.

        12                      I think a lot of questions are

        13       raised by this.  Senator Stafford has certainly

        14       done his best, and it's a very able job as he

        15       always does in answering them, but there are a

        16       lot of real uncertainties and, while the idea of

        17       merging two agencies, I think, is one that

        18       instinctively appeals to us, it may save some

        19       money which certainly is favorable, but I think

        20       a lot of very tricky financial and legal issues

        21       are raised, some of them that Senator Stafford

        22       and I discussed.

        23                      The last point that was made by











                                                             
3413

         1       Senator Stafford's answer that we're now making

         2       the Dormitory Authority -- which has been, I

         3       think, a very successful state agency, has

         4       served all of us, has done well -- to make that

         5       agency responsible now for the bonds that were

         6       issued by the medical care facilities, that

         7       raises some problems, concerns, in my mind.  I

         8       guess in one respect the state is responsible

         9       for them in any event because, just as in 1975,

        10       those of you who were here with me remember when

        11       we had to go out and save UDC and other state

        12       authorities, I assume, if they get in trouble,

        13       we would have to step in again.

        14                      Nevertheless, I just wonder

        15       whether that's not going to affect the price at

        16       which the Dormitory Authority is going to have

        17       to go out and raise money?  They've done very

        18       well.  They're considered a very prudent, a very

        19       creditworthy agency that is terribly important

        20       to us.  Now they're taking on the obligation of

        21       these health facilities that are in much worse

        22       financial state, and I just wondered to what

        23       extent that's going to affect the price which











                                                             
3414

         1       the Dormitory Authority is going to have to pay

         2       for money?

         3                      I think it's a concern.  I don't

         4       know what the answer is, but I just question

         5       whether all of these issues have been thought

         6       through carefully.

         7                      ACTING PRESIDENT KUHL:  The

         8       Secretary will read the last section.

         9                      THE SECRETARY:  Section 9.  This

        10       act shall take effect on June 1st.

        11                      ACTING PRESIDENT KUHL:  Call the

        12       roll.

        13                      (The Secretary called the roll.)

        14                      ACTING PRESIDENT KUHL:  Announce

        15       the results when tabulated.

        16                      THE SECRETARY:  Those recorded in

        17       the negative on Calendar Number 347 are Senators

        18       Connor, Galiber, Kruger, Leichter, Onorato,

        19       Paterson and Solomon.  Ayes -- also, Senator

        20       Abate and Senator Stavisky.  Ayes 50, nays 9.

        21                      ACTING PRESIDENT KUHL:  The bill

        22       is passed.

        23                      Senator Skelos.











                                                             
3415

         1                      SENATOR SKELOS:  Mr. President,

         2       call up Calendar Number 348, please.

         3                      ACTING PRESIDENT KUHL:  The

         4       Secretary will read Calendar Number 348.

         5                      THE SECRETARY:  Calendar Number

         6       348, Budget Bill, Senate Print 1843, an act to

         7       amend the Tax Law, in relation to reflecting the

         8       repeal of Article 15 of the Tax Law and to

         9       repeal such Article 15, relating to a tax on the

        10       transfer of certain insurance awards.

        11                      SENATOR LEICHTER:  Explanation.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Stafford, an explanation has been asked for by

        14       Senator Leichter.

        15                      SENATOR STAFFORD:  Very quickly,

        16       Mr. President.  This was not only de minimis,

        17       what we received from this law, we got zero.  It

        18       was -- it was sued and -- what's the word -

        19       challenged, and it would have ended up, the

        20       department spending more to collect than what we

        21       would get, and the person really who worked on

        22       this for years to get this passed was Senator

        23       Velella.











                                                             
3416

         1                      ACTING PRESIDENT KUHL:  The

         2       Secretary will read the last section.

         3                      THE SECRETARY:  Section 6.  This

         4       act shall take effect immediately.  Call the

         5       roll.

         6                      (The Secretary called the roll.)

         7                      THE SECRETARY:  Ayes 59.

         8                      ACTING PRESIDENT KUHL:  The bill

         9       is passed.

        10                      Senator Paterson.

        11                      SENATOR PATERSON:  Mr. President,

        12       would you please recognize Senator Stachowski

        13       and Senator Montgomery.

        14                      ACTING PRESIDENT KUHL:  The Chair

        15       would recognize Senator Stachowski.

        16                      SENATOR STACHOWSKI:  Mr.

        17       President, may I have unanimous consent to be

        18       recorded in the negative on Bill 347, Calendar

        19       Number -

        20                      ACTING PRESIDENT KUHL:  Without

        21       objection, Senator Stachowski will be recorded

        22       in the negative on Calendar Number 347.

        23                      Senator Montgomery.











                                                             
3417

         1                      SENATOR MONTGOMERY:  Yes, Mr.

         2       President.  I would like to be recorded in the

         3       negative on Calendar 346.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Skelos.

         6                      SENATOR SKELOS:  Could we just

         7       return to reports of standing committees?

         8                      ACTING PRESIDENT KUHL:  Without

         9       objection, Senator Montgomery will be recorded

        10       in the negative on Calendar Number 346.

        11                      We'll return to reports of

        12       standing committees.

        13                      Senator Skelos.

        14                      SENATOR SKELOS:  Would you call

        15       up Calendar Number 343, please.

        16                      ACTING PRESIDENT KUHL:  Back to

        17       the calendar.

        18                      The Secretary will read Calendar

        19       Number 343.

        20                      THE SECRETARY:  Calendar Number

        21       343, Budget Bill, Senate Print 1758, an act to

        22       amend the Labor Law, in relation to boiler

        23       inspection requirements.











                                                             
3418

         1                      SENATOR GOLD:  Mr. President.

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Gold.

         4                      SENATOR GOLD:  Yeah, the staff

         5       member came to see me on this.  We've discussed

         6       it.  I believe that the gentleman I spoke to

         7       gave me the best information he has which is

         8       that the Labor Department does not really have

         9       too good enough information.

        10                      I personally don't know where

        11       these boilers are.  Some of them, I think, are

        12       in establishments that might be dangerous to

        13       people, I don't know.  We don't have to debate

        14       it all, but I personally am going to vote in the

        15       negative because I just don't have enough

        16       information to make me comfortable.

        17                      ACTING PRESIDENT KUHL:  The

        18       Secretary will read the last section.

        19                      Senator Paterson.

        20                      SENATOR PATERSON:  Mr. President,

        21       I was going to ask Senator Spano just to yield

        22       to a brief question.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3419

         1       Spano, will you yield to Senator Paterson?

         2                      SENATOR SPANO:  Yes.

         3                      ACTING PRESIDENT KUHL:  The

         4       Senator yields.

         5                      SENATOR PATERSON:  And the

         6       question was my understanding was that the

         7       actual -- that the actual size of the boiler did

         8       not relate necessarily to the effect of some of

         9       the hazards.  If you can clear that up for me, I

        10       would appreciate it; otherwise, I would not want

        11       to support the bill.

        12                      SENATOR SPANO:  Could you say

        13       that again, Senator?

        14                      SENATOR PATERSON:  I'm sorry,

        15       Senator Spano.  My question is what does -- the

        16       size of the boiler, how does that affect the

        17       hazards that can be created when a boiler is

        18       defective?

        19                      SENATOR SPANO:  This issue came

        20       to the forefront years ago, Senator, actually

        21       back, it was an incident in the phone company

        22       back in the '50s when an employee had jumped out

        23       the safety controls on the boiler and bypassed











                                                             
3420

         1       the system.  There's a low water cut-off.

         2       There's pressure relief valve.  There are

         3       different controls on a boiler that would

         4       prevent a problem.

         5                      This person -- this was a high

         6       pressure boiler, bypassed the system and it

         7       turned that boiler into a rocket and -- which

         8       caused the major problem, a big hoopla, and

         9       resulted in this type of an inspection system.

        10                      This -- we do nothing to exempt

        11        -- we do nothing to change those high pressure

        12       boilers.  The high pressure boiler is the type

        13       of boiler you would see at a dry cleaner, at a

        14       major apartment building, all those -- the

        15       inspection procedures are there.  This is only a

        16       low pressure boiler which operates at a steam

        17       pressure of anywhere between four to seven

        18       pounds versus a high pressure which is 15 pounds

        19       or more, and a 100 BTU boiler, as I said to

        20       Senator Gold, is smaller than our desks.  It's

        21       smaller than the boilers that you would see at

        22       any of our homes.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
3421

         1       Paterson, is that explanation satisfactory,

         2       because what is happening is several of your

         3       members are indicating they want to be recorded

         4       in the negative.  We can't do that because a

         5       roll call has not been called, but I would be

         6       happy, if that's the end of the discussion, to

         7       have the Secretary read the last section so that

         8       members like -- who have -- are indicating that

         9       they would like to be recorded in the negative

        10       could be voted.

        11                      SENATOR PATERSON:  Let's read the

        12       last section, Mr. President.

        13                      ACTING PRESIDENT KUHL:  The

        14       Secretary will read the last section.

        15                      Thank you, Senator Paterson.

        16                      THE SECRETARY:  Section 2.  This

        17       act shall take effect immediately.

        18                      ACTING PRESIDENT KUHL:  Call the

        19       roll.

        20                      (The Secretary called the roll.)

        21                      ACTING PRESIDENT KUHL:  Announce

        22       the results when tabulated.

        23                      ACTING PRESIDENT KUHL:  The Chair











                                                             
3422

         1       would recognize Senator Larkin.

         2                      SENATOR LARKIN:  Mr. President, I

         3       would like unanimous consent to be -- to

         4       abstain.

         5                      ACTING PRESIDENT KUHL:  Without

         6       objection, Senator Larkin will be recorded as

         7       abstaining on the vote.

         8                      Senator Nanula to explain his

         9       vote?

        10                      SENATOR NANULA:  No.  I'm

        11       actually asking for -- are we finished with the

        12       last one?  I apologize.  I apologize.

        13                      ACTING PRESIDENT KUHL:  Announce

        14       the results when tabulated.

        15                      THE SECRETARY:  Those recorded in

        16       the negative on Calendar Number 343 are Senators

        17       Abate, Connor, Dollinger, Galiber, Kruger,

        18       Leichter, Markowitz, Montgomery, Nanula,

        19       Onorato, Paterson, Smith, Stavisky.  Also,

        20       Senators Oppenheimer, Mendez and Jones.  Ayes

        21       42, nays 16.

        22                      ACTING PRESIDENT KUHL:  The bill

        23       is passed.











                                                             
3423

         1                      Senator Skelos.

         2                      SENATOR SKELOS:  Could we return

         3       to reports of standing committees?

         4                      ACTING PRESIDENT KUHL:  We'll

         5       return to reports of standing committees.

         6                      The Secretary will read.

         7                      THE SECRETARY:  Senator Saland,

         8       from the Committee on Children and Families,

         9       reports the following bill directly for third

        10       reading:  Senate Print 3926-A, by Senator

        11       Saland, an act to amend the Family Protection

        12       and Domestic Violence Intervention Act of 1994,

        13       in relation to changing the date of operation of

        14       the computerized registry.

        15                      ACTING PRESIDENT KUHL:  Without

        16       objection, the bill is reported directly to

        17       third reading.

        18                      Senator Nanula.

        19                      SENATOR NANULA:  Mr. President, I

        20       would like to be -- I would like to request, I

        21       should say, unanimous consent to be recorded in

        22       the negative on Calendars Number 346 and 347.

        23                      ACTING PRESIDENT KUHL:  Without











                                                             
3424

         1       objection, Senator Nanula will be recorded in

         2       the negative on Calendars Number 346 and 347.

         3                      SENATOR NANULA:  Thank you.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Smith.

         6                      SENATOR SMITH:  Mr. President, I

         7       would like unanimous consent to be recorded in

         8       the negative on 346 and 347.

         9                      ACTING PRESIDENT KUHL:  Without

        10       objection, Senator Smith will be recorded in the

        11       negative on Calendars Number 346 and 347.

        12                      Senator Abate.

        13                      SENATOR ABATE:  I'm not sure

        14       whether I was recorded in the negative.  I ask

        15       unanimous consent to be recorded in the negative

        16       on 346.  I believe you have me in the negative.

        17                      ACTING PRESIDENT KUHL:  Without

        18       objection, Senator Abate will be recorded in the

        19       negative on Calendar Number 346.

        20                      SENATOR ABATE:  Thank you.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Skelos.

        23                      SENATOR SKELOS:  Mr. President,











                                                             
3425

         1       there being no further business, I move we

         2       adjourn until Friday, March 31st, 1995 at 10:00

         3       a.m. sharp.

         4                      ACTING PRESIDENT KUHL:  Without

         5       objection, the Senate stands adjourned until

         6       tomorrow, Friday, March 31st, at 10:00 a.m.

         7                      For all the members who can still

         8       hear me, there will be an immediate meeting of

         9       the Minority in the Minority Conference Room.

        10                      (Whereupon, at 5:59 p.m., the

        11       Senate adjourned.)

        12

        13

        14

        15

        16

        17