Regular Session - February 12, 1996

                                                                 
1205

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         9                       ALBANY, NEW YORK

        10                       February 12, 1996

        11                         3:05 p.m.

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        13

        14                       REGULAR SESSION

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        16

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        18       LT. GOVERNOR BETSY McCAUGHEY ROSS, President

        19       STEPHEN F. SLOAN, Secretary

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

         2                      THE PRESIDENT:  The Senate will

         3       come to order.  Would everyone please rise and

         4       join me in the Pledge of Allegiance.

         5                      (The assemblage repeated the

         6       Pledge of Allegiance to the Flag. )

         7                      The invocation today will be

         8       given by Reverend Jim Lee, minister of the Unity

         9       East Church Center in Brooklyn.

        10                      REVEREND JIM LEE:  This is 1996

        11       and these are the best of times and at times

        12       these are the worst of times.  These are the

        13       times in which some people are experiencing

        14       wealth and prosperity and then these are times

        15       when some people are destitute and poor, and as

        16       lawmakers you are making some interesting, very

        17       interesting decisions, and I know out of your

        18       decisions, some of them in which you will be

        19       cheered and some in which you will be jeered,

        20       but throughout it all, will you make your

        21       decisions on the right or on the left?

        22                      Today I'm going to ask you to

        23       take a look at the center and at the center of











                                                             
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         1       your being where the presence of the spirit lies

         2       so that you can make the right decisions for

         3       all.

         4                      So let us take a moment now in

         5       this quiet time and offer up in this moment that

         6       today will be a day of great decisions and

         7       discovery, that today will be a day in which God

         8       will lead the way in making the right decisions

         9       that will be the best of times for everyone,

        10       that this moment be the moment of great

        11       opportunity to turn to God first before any

        12       decisions are made and with God as your partner

        13       in making these decisions, you will be assured

        14       that the best outcome will be made in every

        15       situation.

        16                      So Almighty God, we ask that You

        17       come forth today, that You come forth in a

        18       mighty way that in chaos, that You bring divine

        19       order; in the midst of hatred and mistrust, that

        20       you bring Your love; in the midst of doubt, that

        21       You bring fear and in the midst of indecisions,

        22       that You bring Your divine wisdom.

        23                      Almighty God, we thank You in











                                                             
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         1       advance for the spirit that lies within each and

         2       every person that is allowing these lawmakers to

         3       make the right decision, to make this the best

         4       of times for all of New York.  This we ask in

         5       Your name and so it is.  Amen.

         6                      THE PRESIDENT:  Amen.

         7                      The reading of the Journal.

         8                      THE SECRETARY:  In Senate,

         9       Friday, February 9th.  The Senate met pursuant

        10       to adjournment, Senator Hoblock in the Chair

        11       upon designation of the Temporary President.

        12       The Journal of Thursday, February 8th, was read

        13       and approved.  On motion, the Senate adjourned.

        14                      THE PRESIDENT:  Without

        15       objection, the Journal stands approved as read.

        16                      Presentation of petitions.

        17                      Messages from the Assembly.

        18                      Messages from the Governor.

        19                      The Secretary will read.

        20                      THE SECRETARY:  The Governor

        21       returned without executive approval the Senate

        22       Bill Number 5779 entitled "An act to amend the

        23       Civil Service law," in relation to providing











                                                             
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         1       jurisdiction to the Public Employment Relations

         2       Board."

         3                      THE PRESIDENT:  Senator Trunzo.

         4                      SENATOR TRUNZO:  Madam President,

         5       I request that the veto message be laid upon the

         6       table.

         7                      THE PRESIDENT:  So ordered.

         8                      Reports of standing committees.

         9                      The Secretary will read.

        10                      THE SECRETARY:  Senator Marchi,

        11       from the Committee on Corporations, Authorities

        12       and Commissions, reports the following bills:

        13       Senate Print 425, by Senator Skelos, an act to

        14       amend the Business Corporation Law, in relation

        15       to corporate finance;

        16                      4509, by Senator Saland, an act

        17       to amend the Not-for-Profit Corporation Law, in

        18       relation to eliminating limitations;

        19                      5429, by Senator Marchi, an act

        20       to amend the New York State Urban Development

        21       Corporation Act, in relation to the name of the

        22       New York State Urban Development Corporation;

        23                      5430, by Senator Marchi, an act











                                                             
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         1       to amend the Public Authorities Law, in relation

         2       to indemnification of the members of the boards

         3       of directors;

         4                      And 5814, by Senator Present, an

         5       act to amend the Public Authorities Law, in

         6       relation to removing the village of Alfred from

         7       the Alfred-Almond-Hornellsville Sewer

         8       Authority.

         9                      All bills ordered directly to

        10       third reading.

        11                      THE PRESIDENT:  The bills will go

        12       directly to third reading.

        13                      Reports of select committees.

        14                      Communications and reports from

        15       state officers.

        16                      Motions and resolutions.

        17                      Senator Libous.

        18                      SENATOR LIBOUS:  Thank you, Madam

        19       President.

        20                      On behalf of myself, actually, I

        21       move that the following bills be discharged from

        22       their respective committees and be recommitted

        23       with instructions to strike the enacting clause,











                                                             
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         1       and I'll read those numbers: 3856, 4629, 4977,

         2       4997, 5408.

         3                      THE PRESIDENT:  The enacting

         4       clauses will be struck.

         5                      SENATOR LIBOUS:  Madam President,

         6       on behalf of myself, I'd like also to place a

         7       sponsor's star on Calendar Number 191.

         8                      THE PRESIDENT:  The bill is

         9       starred.

        10                      SENATOR LIBOUS:  And, Madam

        11       President, on behalf of Senator Levy, I wish to

        12       call up Calendar Number 187, Assembly Print

        13       Number 6048-B.

        14                      THE PRESIDENT:  The Secretary

        15       will read.

        16                      THE SECRETARY:  Calendar Number

        17       187, by member of the Assembly Weisenberg,

        18       Assembly Print Number 6048-B, an act to amend

        19       the Vehicle and Traffic Law, in relation to

        20       making it a felony to operate a school bus while

        21       under the influence of alcohol or drugs.

        22                      SENATOR LIBOUS:  Madam President,

        23       I now move to reconsider the vote by which this











                                                             
1212

         1       Assembly bill was substituted for bill -- Senate

         2       Print Number 380 on February 7th.

         3                      THE PRESIDENT:  Call the roll on

         4       reconsideration.

         5                      (The Secretary called the roll on

         6       reconsideration. )

         7                      THE SECRETARY:  Ayes 46.

         8                      SENATOR LIBOUS:  I now move that

         9       Assembly Bill Number 6048-B be recommitted to

        10       the Committee on Alcoholism and Drug Abuse and

        11       that the Senate bill be restored to the order of

        12       Third Reading Calendar.

        13                      THE PRESIDENT:  The Senate bill

        14       is restored.

        15                      Senator Libous.

        16                      SENATOR LIBOUS:  Madam President,

        17       again on behalf of Senator Levy, I wish to call

        18       up his bill, Calendar Number 186, Assembly Print

        19       1894.

        20                      THE PRESIDENT:  The Secretary

        21       will read.

        22                      THE SECRETARY:  Calendar Number

        23       186, by member of the Assembly Bragman, Assembly











                                                             
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         1       Print 1894, an act to amend the Vehicle and

         2       Traffic Law, in relation to civil penalties

         3       imposed for alcohol or drug-related offenses.

         4                      SENATOR LIBOUS:  I now move to

         5       reconsider the vote by which this Assembly bill

         6       was substituted for Senate Print Number 371 on

         7       February 7th.

         8                      THE PRESIDENT:  Call the roll on

         9       reconsideration, please.

        10                      (The Secretary called the roll on

        11       reconsideration.)

        12                      THE SECRETARY:  Ayes 46.

        13                      SENATOR LIBOUS:  Madam President,

        14       I now move that Assembly Bill, Print Number

        15       1894, be recommitted to the Committee on

        16       Transportation and that the Senate bill be

        17       restored to the order of Third Reading Calendar.

        18                      THE PRESIDENT:  The Senate bill

        19       will be restored.

        20                      Senator Rath.

        21                      SENATOR RATH:  Madam President, I

        22       would move that the following bill be discharged

        23       from its committee and be recommitted with











                                                             
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         1       instructions to strike the enacting clause: Bill

         2       Number 2038.

         3                      THE PRESIDENT:  The bill is

         4       recommitted and the enacting clause is struck.

         5                      SENATOR LAVALLE:  Madam

         6       President.

         7                      THE PRESIDENT:  Oh, Senator

         8       LaValle.

         9                      SENATOR LAVALLE:  Madam

        10       President, I move that the following bill be

        11       discharged from its committee and be recommitted

        12       with instructions to strike the enacting

        13       clause.  That's Senate Print Number 6031-A.

        14                      Also, Madam President, on page 6,

        15       I offer the following amendments to Calendar

        16       Number 110, Senate Print Number 5765 and ask

        17       that said bill retain its place on the Third

        18       Reading Calendar.

        19                      Madam President, on behalf of

        20       Senator Leibell, on page 14, I offer the

        21       following amendments to Calendar Number 214,

        22       Senate Print Number 3480, and ask that said bill

        23       retain its place on the Third Reading Calendar.











                                                             
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         1                      THE PRESIDENT:  The enacting

         2       clause is struck and the amendment is received.

         3                      Senator Maziarz.

         4                      SENATOR MAZIARZ:  Madam

         5       President, I move that the following bills be

         6       discharged from their respective committees and

         7       be recommitted with instructions to strike the

         8       enacting clause:  Senate Number 5229.

         9                      THE PRESIDENT:  The enacting

        10       clause is struck.

        11                      SENATOR MAZIARZ:  Madam

        12       President, on page number 6, I offer the

        13       following amendments to Calendar Number 90,

        14       Senate Print Number 5183-A and ask that said

        15       bill retain its place on third calendar reading.

        16                      THE PRESIDENT:  The amendments

        17       are received.

        18                      SENATOR MAZIARZ:  Thank you,

        19       Madam President.

        20                      THE PRESIDENT:  Senator Trunzo.

        21                      SENATOR TRUNZO:  Madam President,

        22       I move to take from the table Senate Bill Number

        23       5779 as vetoed by the Governor.











                                                             
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         1                      THE PRESIDENT:  So ordered.

         2                      Senator Trunzo.

         3                      SENATOR TRUNZO:  Madam President,

         4       I now move to override the Governor's veto of

         5       said bill.

         6                      THE PRESIDENT:  The Secretary

         7       will read.

         8                      THE SECRETARY:  Calendar Number

         9       52, by Senator Trunzo, Senate Print 5779, an act

        10       to amend the Civil Service Law, in relation to

        11       providing jurisdiction to the Public Employment

        12       Relations Board.

        13                      THE PRESIDENT:  Senator Bruno,

        14       the bill will become a law notwithstanding the

        15       veto of the Governor.  Call the roll, please.

        16                      (The Secretary called the roll. )

        17                      THE SECRETARY:  Ayes -

        18                      THE PRESIDENT:  Senator Leichter.

        19                      SENATOR LEICHTER:  Madam

        20       President, to vote to sustain the Governor's

        21       veto, how would one vote, yes or no? As you

        22       phrased the question, I wasn't sure.

        23                      THE PRESIDENT:  We're voting on











                                                             
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         1       the bill.  If you want the bill to become a law

         2       notwithstanding the veto, a yes vote overrides

         3       the Governor's veto.

         4                      SENATOR LEICHTER:  Okay.  Thank

         5       you, Madam President.  If I may be heard to

         6       explain my vote.

         7                      THE PRESIDENT:  Senator Leichter.

         8                      SENATOR LEICHTER:  Madam

         9       President, this is politically a most

        10       interesting and one might say unique situation.

        11       I can't remember in the term of any Governor

        12       that he was overridden so early in his term.  I

        13       have not agreed with Governor Pataki on most

        14       issues, but on this particular issue, I do agree

        15       with him, and I will vote to sustain the

        16       Governor's veto, and I would like to explain

        17       why.

        18                      I think -- I have the greatest

        19       respect for the police in New York City or

        20       throughout the state.  I don't think we need to

        21       spend any time extolling how much we are

        22       grateful for the work they do, their commitment,

        23       and there's no question that they're underpaid











                                                             
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         1       for the difficult job that they do, but I think

         2       to have the state Legislature interfere in this

         3       fashion in the city of New York and to change a

         4       system which has existed as a result of

         5       collective bargaining, as a result of agreements

         6       between the unions and the city of long standing

         7        -- now, there may be a better way of doing it.

         8       There may be a fairer way of doing it.  It may

         9       well be that the uniformed forces in the city of

        10       New York deserve higher pay and for that matter,

        11       I think they do, and I think that the same thing

        12       can be said of other public employees, but the

        13       problem that I have -- and throughout my years

        14       here there have been a number of instances where

        15       I have been bothered by bills where the

        16       Legislature puts its heavy hand on the city of

        17       New York totally disregarding home rule, paying

        18       no attention to the mayor of the city of New

        19       York in saying, "We're going to tell you what

        20       the police are going to do.  We're going to tell

        21       you when they're going to work.  We're going to

        22       tell you what guns they're going to carry.

        23       We're going to tell you when they can be











                                                             
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         1       promoted and now we're going to tell you how

         2       they're going to conduct collective bargaining,"

         3       and I submit to you that that is wrong.

         4                      I think the mayor of New York

         5       deserves the support, not only of the

         6       legislators from the city of New York; he

         7       deserves the support of all the legislators, and

         8       I think the Governor did a principled position

         9       here -- he took a principled position.  He

        10       deserves to be supported and, frankly, I'm

        11       surprised that his own party is abandoning him

        12       at this time.

        13                      Madam President, I vote to

        14       sustain the Governor's veto.  As you phrased the

        15       question, I, therefore, vote no.

        16                      THE PRESIDENT:  Senator Waldon to

        17       explain his vote.

        18                      SENATOR WALDON:  Thank you very

        19       much, Madam President.

        20                      My colleagues, this is an issue

        21       of disparity, meaning the vote that we're

        22       taking.  Police officers and fire officers in

        23       the city of New York, from what I read in the











                                                             
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         1       newspapers, are in as great a danger as in any

         2       other jurisdiction in this country in the

         3       performance of their duties.  In fact, I believe

         4       that the law enforcement and fire department

         5       personnel of this great city that I am from are

         6       in greater danger than other jurisdictions.

         7                      If you turn on the news at 6:00

         8       o'clock, it is not foreign to see someone at a

         9       funeral for either a fire department person or a

        10       New York City police person.  They, on a daily

        11       basis, are the good samaritans of the '90s.

        12       They put their lives on the line for people they

        13       don't even know.

        14                      Therefore, I think it is

        15       incumbent upon us -- and I applaud Senator Bruno

        16       in his wisdom for bringing this before us for

        17       consideration -- that we do what is right.  It

        18       would be injudicious and not the right thing to

        19       do not to give the law enforcement personnel and

        20       the fire department personnel of New York City

        21       the same rights in terms of their earning power

        22       and the ability to take care of their families

        23       as those what are in Suffolk County, Nassau











                                                             
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         1       County, Los Angeles County.  These men and women

         2       are too far underpaid, and it can be resolved if

         3       PERB comes to the rescue.

         4                      And so I say, let's do what is

         5       right.  Let's do what is just.  Let's allow

         6       their collective bargaining to be done in an

         7       arena that will be fair to them.  Unfortunately,

         8       on this one, I think the mayor is wrong.  On

         9       this one, I think the Governor is wrong, but

        10       we're not here to belabor that.  We're here to

        11       talk about who will be right on this issue.  It

        12       will be the law enforcement and fire department

        13       personnel of this great city of New York and the

        14       legislators of this great state of New York.

        15                      I vote, Madam President, to

        16       override the Governor's veto.

        17                      THE PRESIDENT:  Is there any

        18       other member wishing to speak?

        19                      Yes, Senator Oppenheimer.

        20                      SENATOR OPPENHEIMER:  I would

        21       like to second what Senator Waldon has said.  I

        22       feel the fire and the firemen -- the fire people

        23       and the police people of this state deserve -











                                                             
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         1       of the City deserve the same support that they

         2       have throughout the rest of the state, and I may

         3       be the only mayor in this chamber who, you know,

         4       in my prior life was a mayor, and I can say that

         5       we lived quite well with PERB and we resolved

         6       many, many conflicts where we had sort of

         7       reached an impasse and they were there to assist

         8       us.

         9                      So I think it is the only proper

        10       thing to do for the fire and police people and I

        11       think it works well, and I'm voting -

        12                      THE PRESIDENT:  Senator

        13       Montgomery.

        14                      SENATOR MONTGOMERY:  Yes, Madam

        15       President.  I too would like to join Senator

        16       Leichter in voting to sustain the Governor's

        17       veto, and I find myself in the unusual position

        18       of supporting the mayor and -- as opposed to the

        19       Governor.  I usually oppose both of them, but

        20       I'm supporting the mayor, and I think that Mayor

        21       Giuliani is -- his concern about what would

        22       happen to the budget of the city of New York is

        23       certainly legitimate.  It is correct and











                                                             
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         1       appropriate, and while I fully support the

         2       police department, fire department and their

         3       rights to bargaining and a fair opportunity to

         4       bargain in the best of their interests, I

         5       believe also that they, as I do, and the

         6       citizens of New York City also have an

         7       obligation to bargain in good faith with the

         8       City and not to have the freedom and the right

         9       to go out and bargain with -- in another

        10       jurisdiction that is not within the City and

        11       under the mayor's control.

        12                      So I'm voting with Mayor Giuliani

        13       and I'm voting to sustain the Governor's veto,

        14       as he is apparently intending to also support

        15       the mayor of the city of New York.

        16                      THE PRESIDENT:  Senator Abate.

        17                      SENATOR ABATE:  I was not going

        18       to speak, but I feel that someone has to speak

        19       and correct some of the misinformation we have

        20       been hearing.

        21                      I vote to override the Governor

        22       in this case.  I do not believe this bill will

        23       bankrupt New York City.  If I thought it would,











                                                             
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         1       I would vote against it.  If you look at the

         2       history of PERB, right now the New York City

         3       Board of Education is under PERB.  For a very

         4       long time, the Transit Police was under PERB.

         5       Did we see huge increases when that occurred?

         6       No.  If you look at the Civil Service Law, PERB

         7       must evaluate the ability of the employer to

         8       pay.  No one talks about that.  If you look at

         9       OCB and, if you look at the PERB standards, both

        10       have the same standards.  I believe over time

        11       the police department will see -- receive

        12       equity.  That will not occur overnight.

        13                      I do not believe this bill will

        14       bankrupt the City.  I think it's a fair bill.  I

        15       think we need to look at the facts and that's

        16       why I still support the PERB bill.

        17                      THE PRESIDENT:  Does anyone wish

        18       to speak?

        19                      Senator Bruno.

        20                      SENATOR BRUNO:  Madam President,

        21       by way of explaining my vote, I would just like

        22       the members in this chamber to recognize that in

        23       the Governor's veto message, he specifically











                                                             
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         1       mentioned the outstanding job that the police do

         2       in the City.  70 percent of all the violent

         3       crimes in this state happen in New York City.

         4       He recognized that the uniformed people put

         5       their lives literally on the line and in that

         6       recognition, the Governor also suggested that

         7       there should be some relationship in how the

         8       uniformed firefighters and police are paid, and

         9       while, Madam President, we recognize the

        10       tremendous task the mayor has in trying to

        11       balance a budget, we also recognize that we as a

        12       Legislature are a separate body of government,

        13       and that we must act on behalf of our

        14       constituency as we see fit, and I consequently

        15       vote aye.

        16                      THE PRESIDENT:  The results,

        17       please.

        18                      THE SECRETARY:  Those recorded in

        19       the negative on Calendar Number 52 are Senators

        20       DiCarlo, Leichter, Nanula and Senator Goodman.

        21       Aye -- excuse me.  Those recorded in the

        22       negative on Calendar 52, Senators DiCarlo,

        23       Goodman, Leichter, Montgomery.  Ayes 46, nays 4.











                                                             
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         1                      THE PRESIDENT:  The motion to

         2       override the Governor's veto is carried.

         3                      Senator Bruno.

         4                      SENATOR BRUNO:  Madam President,

         5       there is a resolution at the desk by Senator

         6       Kruger.  I would move that it be read and be

         7       adopted.

         8                      THE PRESIDENT:  The Secretary

         9       will read.

        10                      THE SECRETARY:  By Senator

        11       Kruger, Legislative Resolution expressing

        12       sincerest sorrow upon the occasion of the death

        13       of New York City firefighter Louis Valentino,

        14       Jr.

        15                      THE PRESIDENT:  The question is

        16       on the resolution.  All in favor signify by

        17       saying aye.

        18                      (Response of "Aye.")

        19                      Opposed nay.

        20                      (There was no response. )

        21                      The resolution is adopted.

        22                      Senator Bruno, are you ready for

        23       the calendar?











                                                             
1227

         1                      SENATOR CONNOR:  Senator, can we

         2       open that up to the entire Senate?

         3                      THE PRESIDENT:  Senator Bruno.

         4                      SENATOR BRUNO:  Yes.

         5                      If I may, just to explain my vote

         6       on that resolution.

         7                      Senator Kruger's resolution is to

         8       recognize and honor Louis Valentino, Jr. who is

         9       the firefighter who was killed last week.  He

        10       was buried on Friday.  He -- he was -- and I

        11       think if you read the press account, he was

        12       certainly a hero, one of many in the long line

        13       of heroes who wore a uniform in New York City,

        14       and I would, therefore, ask -- I would assume

        15       all members of the Senate would like to be on

        16       this resolution with Senator Kruger's

        17       permission.

        18                      THE PRESIDENT:  Senator Bruno, do

        19       you want all members to be on this resolution?

        20                      SENATOR BRUNO:  Yes, Madam

        21       President.

        22                      Thank you.

        23                      THE PRESIDENT:  Senator Bruno,











                                                             
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         1       are you ready for the calendar?

         2                      SENATOR BRUNO:  Yes, Madam

         3       President.  Can we at this time take up the

         4       non-controversial calendar.

         5                      THE PRESIDENT:  The Secretary

         6       will read.

         7                      THE SECRETARY:  Calendar Number

         8       10, by Senator Lack, Senate Print 1621-B, an act

         9       to amend the Public Health Law, in relation to

        10       the sale of commercial urns.

        11                      THE PRESIDENT:  Read the last

        12       section, please.

        13                      THE SECRETARY:  Section 2.  This

        14       act shall take effect on the 90th day.

        15                      THE PRESIDENT:  Call the roll.

        16                      (The Secretary called the roll. )

        17                      THE PRESIDENT:  Results.

        18                      THE SECRETARY:  Those recorded in

        19       the negative on Calendar Number 10 are Senators

        20       DiCarlo, Kuhl, Libous and Wright.  Ayes 46, nays

        21       4.

        22                      THE PRESIDENT:  The bill is

        23       passed.











                                                             
1229

         1                      THE SECRETARY:  Calendar Number

         2       63, by the Senate Committee on Rules, Senate

         3       Print 5711-A, an act to amend the Insurance Law,

         4       the Tax Law and the Administrative Code of the

         5       city of New York, in relation to the tax

         6       deductibility.

         7                      THE PRESIDENT:  Read the last

         8       section.

         9                      SENATOR LEICHTER:  Lay it aside.

        10                      SENATOR GOLD:  Lay it aside.

        11                      THE PRESIDENT:  Lay it aside.

        12                      THE SECRETARY:  Calendar Number

        13       66, by Senator Levy, Senate Print 379, an act to

        14       amend the Vehicle and Traffic Law, in relation

        15       to the suspension and restoration of a driver's

        16       license.

        17                      THE PRESIDENT:  Read the last

        18       section, please.

        19                      THE SECRETARY:  Section 3.  This

        20       act shall take effect on the first day of

        21       November.

        22                      THE PRESIDENT:  Call the roll.

        23                      (The Secretary called the roll. )











                                                             
1230

         1                      THE SECRETARY:  Ayes 50.

         2                      THE PRESIDENT:  The bill is

         3       passed.

         4                      THE SECRETARY:  Calendar Number

         5       112, by Senator Levy, Senate Print 388, an act

         6       to amend the Criminal Procedure Law, in relation

         7       to providing that commission of the traffic

         8       infraction "driving while ability impaired"

         9       while under a sentence of probation or

        10       conditional discharge constitutes grounds for

        11       revocation of such sentence.

        12                      ACTING PRESIDENT DiCARLO:  Read

        13       the last section.

        14                      THE SECRETARY:  Section 2.  This

        15       act shall take effect on the first day of

        16       November.

        17                      ACTING PRESIDENT DiCARLO:  Call

        18       the roll.

        19                      (The Secretary called the roll. )

        20                      THE SECRETARY:  Ayes 50.

        21                      ACTING PRESIDENT DiCARLO:  The

        22       bill is passed.

        23                      THE SECRETARY:  Calendar Number











                                                             
1231

         1       161, by Senator Cook, Senate Print 2345-A, an

         2       act to amend the Education Law, in relation to

         3       the use of district categorical aid funds.

         4                      ACTING PRESIDENT DiCARLO:  Read

         5       the last section.

         6                      THE SECRETARY:  Section 3.  This

         7       act shall take effect immediately.

         8                      ACTING PRESIDENT DiCARLO:  Call

         9       the roll.

        10                      (The Secretary called the roll. )

        11                      THE SECRETARY:  Ayes 50.

        12                      ACTING PRESIDENT DiCARLO:  The

        13       bill is passed.

        14                      THE SECRETARY:  Calendar Number

        15       162, by Senator Cook, Senate Print 2453, an act

        16       to amend the Education Law, in relation to

        17       procedures for the submission of propositions.

        18                      ACTING PRESIDENT DiCARLO:  Read

        19       the last section.

        20                      THE SECRETARY:  Section 8.  This

        21       act shall take effect on the first day of

        22       November.

        23                      ACTING PRESIDENT DiCARLO:  Call











                                                             
1232

         1       the roll.

         2                      (The Secretary called the roll. )

         3                      THE SECRETARY:  Ayes 50.

         4                      ACTING PRESIDENT DiCARLO:  The

         5       bill is passed.

         6                      THE SECRETARY:  Calendar Number

         7       168, by Senator Farley, Senate Print 267-A, an

         8       act to amend the Arts and Cultural Affairs Law,

         9       in relation to the use of permanent durable

        10       paper.

        11                      ACTING PRESIDENT DiCARLO:  Read

        12       the last section.

        13                      THE SECRETARY:  Section 3.  This

        14       act shall take effect on the first day of July.

        15                      ACTING PRESIDENT DiCARLO:  Call

        16       the roll.

        17                      (The Secretary called the roll. )

        18                      THE SECRETARY: Ayes 50.

        19                      ACTING PRESIDENT DiCARLO: The

        20       bill is passed.

        21                      THE SECRETARY: Calendar Number

        22       169, by Senator Stafford, Senate Print 628, an

        23       act to amend the Tax Law, in relation to the











                                                             
1233

         1       distribution of the additional mortgage

         2       recording tax.

         3                      ACTING PRESIDENT DiCARLO:  Read

         4       the last section.

         5                      THE SECRETARY:  Section 2.  This

         6       act shall take effect on the 30th day.

         7                      ACTING PRESIDENT DiCARLO:  Call

         8       the roll.

         9                      (The Secretary called the roll. )

        10                      THE SECRETARY:  Ayes 50.

        11                      ACTING PRESIDENT DiCARLO:  The

        12       bill is passed.

        13                      THE SECRETARY:  Calendar Number

        14       172, by Senator Holland, Senate Print 2999, an

        15       act to amend the Social Services Law, in

        16       relation to authorizing the Commissioner of

        17       Social Services to enter into an agreement.

        18                      ACTING PRESIDENT DiCARLO:  Read

        19       the last section.

        20                      THE SECRETARY:  Section 2.  This

        21       act shall take effect immediately.

        22                      ACTING PRESIDENT DiCARLO:  Call

        23       the roll.











                                                             
1234

         1                      (The Secretary called the roll. )

         2                      THE SECRETARY:  Ayes 50.

         3                      ACTING PRESIDENT DiCARLO:  The

         4       bill is passed.

         5                      THE SECRETARY:  Calendar Number

         6       173, by Senator Johnson, Senate Print 5344-A, an

         7       act to amend the Social Services Law and the

         8       Criminal Procedure Law, in relation to

         9       reinvestigating recipients.

        10                      SENATOR GOLD:  Lay it aside.

        11                      ACTING PRESIDENT DiCARLO:  Lay it

        12       aside.

        13                      THE SECRETARY:  Calendar Number

        14       187, by Senator Levy, Senate Print 380, an act

        15       to amend the Vehicle and Traffic Law, in

        16       relation to making it a felony to operate a

        17       school bus while under the influence of alcohol

        18       or drugs.

        19                      ACTING PRESIDENT DiCARLO:  Read

        20       the last section.

        21                      THE SECRETARY:  Section 3.  This

        22       act shall take effect on the first day of

        23       November.











                                                             
1235

         1                      ACTING PRESIDENT DiCARLO:  Call

         2       the roll.

         3                      (The Secretary called the roll. )

         4                      THE SECRETARY:  Ayes 50.

         5                      ACTING PRESIDENT DiCARLO:  The

         6       bill is passed.

         7                      THE SECRETARY:  Calendar Number

         8       189, by Senator Stafford, Senate Print 619, an

         9       act to amend the Highway Law, in relation to

        10       prohibiting abandonment of Crane Pond Road.

        11                      SENATOR PATERSON:  Lay it aside.

        12                      ACTING PRESIDENT DiCARLO:  Lay it

        13       aside.

        14                      Senator Bruno, that completes the

        15       non-controversial calendar.

        16                      SENATOR BRUNO:  Mr. President,

        17       can we at this time take up the controversial

        18       calendar.

        19                      ACTING PRESIDENT DiCARLO:  The

        20       Secretary will read.

        21                      THE SECRETARY:  Calendar Number

        22       63, by the Senate Committee on Rules, Senate

        23       Print 5711-A, an act to amend the Insurance Law,











                                                             
1236

         1       the Tax Law and the Administrative Code of the

         2       city of New York, in relation to tax

         3       deductibility.

         4                      SENATOR PATERSON:  Explanation.

         5                      SENATOR BRUNO:  Mr. President,

         6       can we lay this -- Senator Velella has just

         7       joined us.  I think Senator Velella -

         8                      ACTING PRESIDENT DiCARLO:

         9       Senator Velella to explain the bill.

        10                      SENATOR VELELLA:  Yes.  This bill

        11       would extend something that we did last year for

        12       long-term care insurance.  What we did last year

        13       was to allow for -- tax deductions for individ

        14       uals who buy long-term care policies.  Unfortun

        15       ately the restrictions in setting that tax

        16       exemption up, or that tax deduction up, made it

        17       almost impossible to write policies for this

        18       long-term care insurance.  So what we're doing

        19       here is extending the time period for these tax

        20       deductions to take place and allowing some

        21       latitude for the Superintendent of Insurance to

        22       make the regulations that would apply to what

        23       will be tax deductible for these long-term care











                                                             
1237

         1       policies.

         2                      ACTING PRESIDENT DiCARLO:

         3       Senator Leichter.

         4                      SENATOR LEICHTER:  Mr. President,

         5       if Senator Velella would yield, please.

         6                      ACTING PRESIDENT DiCARLO:

         7       Senator Velella, do you yield?

         8                      SENATOR VELELLA:  Yes.

         9                      SENATOR LEICHTER:  Senator, I

        10       know I voted for the bill last year, but one of

        11       my concerns last year, maybe more so this year

        12        -- and also just to refresh myself on tax

        13       consequences of that, could you explain those to

        14       us? What are the consequences as far as the tax

        15       that we're going to give up?

        16                      SENATOR VELELLA:  The tax

        17       deduction would be $750 if an individual was

        18       between 55 and 60 years old, $2,000 if between

        19       60 and 70 years old, and $2500 if over 70 years

        20       old -

        21                      SENATOR LEICHTER:  And,

        22       Senator -

        23                      SENATOR VELELLA:  -- to purchase











                                                             
1238

         1       this policy.

         2                      SENATOR LEICHTER:  And what would

         3       be the fiscal implications for the state?

         4                      SENATOR VELELLA:  Probably would

         5       be a plus factor for the state because those

         6       individuals who would have this policy would

         7       have coverage for their long-term care and would

         8       not become a public charge.

         9                      SENATOR LEICHTER:  If you would

        10       be good enough to yield.

        11                      SENATOR VELELLA:  Sure.

        12                      SENATOR LEICHTER:  Senator, I

        13       know we like to look at all of the bills that we

        14       do in a very positive, optimistic way and that

        15       all of them are going to actually bring in more

        16       money to the state treasury or cost us less

        17       money, but I wonder if any study has been made

        18       whether, in fact, this is likely to decrease the

        19       burden on the state.  I imagine that many of

        20       these people, as they reach retirement age,

        21       they've taken out their insurance.  They've

        22       gotten the state deduction.  Now they reach

        23       retirement age.  They move to Florida.  They











                                                             
1239

         1       will go to Arizona.  Is there any way of

         2       assessing how many of them would stay here, and

         3       if they did stay here, that they would

         4       eventually become a burden on the state, whether

         5       they would qualify for Medicaid coverage?  Do

         6       you have any sort of a study on this

         7       whatsoever?

         8                      SENATOR VELELLA:  Senator, the

         9       actual in-depth study that, as you know, can

        10       prove to be very expensive has not been done, to

        11       my knowledge, and I think something that we

        12       rarely see here is something that we can apply,

        13       and that's called common sense.  People get

        14       older.  They go into nursing homes.  They need

        15       long-term care.  This is going to provide

        16       insurance for them so that they won't become a

        17       public charge.  I think, you know, you just have

        18       to try and think it through yourself a little

        19       bit.  We don't need an intensive study for

        20       everything.  Older people in this state will

        21       need long-term care.  If they're insured and

        22       somebody else pays, the people of the state

        23       don't have to pay.  So if we walk it through











                                                             
1240

         1       together, maybe we can save a lot of money and a

         2       lot of time for an extensive study.

         3                      SENATOR LEICHTER:  Senator, I'll

         4       be happy to walk this through with you.  I just

         5       don't want to walk over the cliff.

         6                      SENATOR VELELLA:  I would never

         7       lead you there, Franz.

         8                      SENATOR LEICHTER:  So I just

         9       question whether we don't have an obligation -

        10       I'm not asking for an expensive study but, I

        11       mean first of all, there must be actuarial

        12       tables.  Secondly, we ought to be able to figure

        13       out over the life of one of these policies if

        14       people take it out, the average age they take it

        15       out, somebody can tell you, "Well, that's

        16       probably in their mid-40s."  If they work until

        17       the age 65, the total amount of their deduction

        18       is going to be "X".  How many of them -- and we

        19       have statistics on that, how many people do end

        20       up on Medicaid, being in nursing homes and what

        21       is the total cost? I don't think that's such a

        22       difficult study.

        23                      I can appreciate the logic of











                                                             
1241

         1       your bill, but as you and I know, particularly

         2       when you deal with taxes, logic doesn't always

         3       prevail, and I think that we do want to make

         4       sure that this is not going to be to the

         5       financial disadvantage of the state.

         6                      SENATOR VELELLA:  Well, Senator,

         7       the only thing I can say to you is that first of

         8       all, we are not making the state an insurer of

         9       the long-term care.  This would be pursuant to a

        10       private policy for which premiums are charged.

        11       Private companies will sell these policies.

        12       Private companies will go through the expense of

        13       having the actuarial study to substantiate what

        14       it is that they are committing to, so that we

        15       will not have to bear that burden.  It will be a

        16       private enterprise or a private company.  The

        17       state Insurance Department will review the rates

        18       and review the actuarial studies submitted and

        19       if they are, in fact, sound, will approve the

        20       policies and the structure of the premium and

        21       the benefits that would accrue to the

        22       policyholder.  However, there should be no major

        23       loss to the state in terms of the long-term











                                                             
1242

         1       commitment and a minimal commitment, as I

         2       outlined to you, of $750 for someone who's of a

         3       younger age to deduct from their policy

         4       expenses.

         5                      SENATOR LEICHTER:  One final

         6       question, if you would be good enough to yield,

         7       Senator.  Even accepting what you say -- and I

         8       can see just looking at it without any studies

         9       it makes sense, but the other thing is we want

        10       to do this as an inducement to people to buy

        11       long-term policies, is that correct?

        12                      SENATOR VELELLA:  Yes, that's

        13       correct.

        14                      SENATOR LEICHTER:  Has anybody

        15       looked at it? Is anybody going to buy a

        16       long-term policy because the savings are going

        17       to be $50 a year in taxes? Is that going to

        18       really be a inducement? We may be giving a

        19       benefit to people when, in point of fact,

        20       nobody's going to make a decision based on that

        21       and it's going to be a windfall.

        22                      In fact, I want to tell you, I

        23       was approached last year having reached the ripe











                                                             
1243

         1       old age by somebody who wanted to sell me

         2       long-term insurance, and the one thing that this

         3       broker never mentioned was, "Oh, well, the state

         4       of New York, you know, you could do this,

         5       Leichter, and you're going to get a tax

         6       deduction." So I'm not so sure that what we're

         7       doing here really isn't going to be in a sense a

         8       windfall to the insurance companies without any

         9       benefit to the state of New York or, stated in a

        10       somewhat different way, we may be giving

        11       inducements to people when there's no reason or

        12       no benefit -- I shouldn't say benefit -- no

        13       reason to give them -- to give them this

        14       inducement because they're either going to buy

        15       the policy or they're not going to buy it.  I

        16       don't know whether there is going to be an

        17       inducement.

        18                      SENATOR VELELLA:  Senator, would

        19       you yield to a question?

        20                      SENATOR LEICHTER:  Yes.

        21                      ACTING PRESIDENT DiCARLO:

        22       Senator Leichter, do you yield to a question?

        23                      SENATOR VELELLA:  Would you agree











                                                             
1244

         1       that the policy of this state ought to be to try

         2       and encourage people to provide for their

         3       long-term care, if they can financially,

         4       themselves?

         5                      SENATOR LEICHTER:  I think so,

         6       Senator.  I think that's true and, therefore, if

         7       this, in fact, is an inducement, as Senator Gold

         8       muttered sotto voce, so I'm going to answer him

         9        -- he said, how is this an inducement -- how is

        10       this a windfall to the insurance company? Well,

        11       it's a benefit to the insurance companies

        12       because they may very well be able to change the

        13       premiums in such a way that they may benefit,

        14       but I will agree with you, Senator Gold, that

        15       that's -- that's a point probably not -- you

        16       know, among all the points I made, we'll discard

        17       that one, but the other ones are really just

        18       questions, Senator.  I maybe accept your -- you

        19       have a question.

        20                      SENATOR VELELLA:  Senator, let me

        21       put your mind at rest.  Private insurance

        22       companies that do sell these policies -- now, I

        23       don't mean to say anything dirty here or











                                                             
1245

         1       anything out of order, but their intention is to

         2       make a profit off the total business.  However,

         3       those people who need the services will also be

         4       benefited by it.  It's the idea of spreading the

         5       risk.  If you have thousands of people that buy

         6       these policies, not everybody is going to need

         7       long-term care.  Those who need long-term care

         8       will use the policy.  Those who died without the

         9       necessity of long-term care, will not have

        10       gotten the benefit of it, but that goes to the

        11       pool that would make up the profits, and that's

        12       why they do an actuarial study of it.  That's

        13       why we're extending the bill so that the

        14       Superintendent of Insurance will have an

        15       opportunity to structure these a little more

        16       soundly.

        17                      SENATOR LEICHTER:  Senator, one

        18       final question: Does -- the department of the

        19       budget or fiscal people on the second floor, are

        20       they in support of this bill?

        21                      SENATOR VELELLA:  Yes, they are.

        22                      SENATOR LEICHTER:  I mean, it's

        23       just that since I've become such a strong











                                                             
1246

         1       supporter of the Governor with my vote on the -

         2       I just want to know what his position is.

         3                      SENATOR VELELLA:  I might add

         4       also the New York State AFL-CIO has come out in

         5       support of this bill in this kind, Senator.

         6       That may sway you, Senator.

         7                      SENATOR LEICHTER:  In all

         8       seriousness, Senator, I understand what you're

         9       trying to do and I have great respect for it.  I

        10       am always concerned when we have bills that

        11       reduce state revenue, particularly this year,

        12       when our revenue seems to be so lacking for the

        13       needs and the services we have to provide, but I

        14       will accept your answers.

        15                      Thank you.

        16                      SENATOR VELELLA:  Thank you.

        17                      ACTING PRESIDENT DiCARLO:

        18       Senator Onorato.

        19                      SENATOR ONORATO:  Mr. President,

        20       I rise to support this bill.  It came up in

        21       committee, and I go along with Senator Velella.

        22       I think in the long term it's going to save the

        23       state of New York a great deal of money when we











                                                             
1247

         1       have an inducement for many of our citizens to

         2       purchase long-time health care, because so many

         3       of our senior citizens are deathly afraid of

         4       winding up in nursing homes and denuding

         5       themselves of all of their assets, that they

         6       start giving it away prematurely, and some of

         7       them get burned by that because they don't wind

         8       up in nursing homes, but they wind up in the

         9       poor house because they've already given all of

        10       their assets to their children and then the

        11       state winds up picking up the costs through

        12       Medicaid.

        13                      So if there's any way at all for

        14       the state to provide an inducement and an

        15       incentive for our seniors and non-seniors to

        16       purchase long-term health care, I think that

        17       this bill is one of the first steps in the right

        18       direction, and I urge my colleagues to support

        19       the bill.

        20                      ACTING PRESIDENT DiCARLO: Senator

        21       Gold.

        22                      SENATOR GOLD:  Mr. President, I

        23       had a few questions, but on the other hand, I











                                                             
1248

         1       don't want to give up if Senator Onorato is

         2       going to buy me dinner tonight.

         3                      Would Senator Velella yield to

         4       just a couple of questions?

         5                      SENATOR VELELLA:  Yes.

         6                      ACTING PRESIDENT DiCARLO:  Does

         7       Senator Velella yield to a couple of questions?

         8       The Senator does.

         9                      SENATOR GOLD:  Senator, just to

        10       clarify for my mind, is there a federal

        11       deduction similar to this?

        12                      SENATOR VELELLA:  Not to my

        13       knowledge.  There is -- I'm just being updated.

        14       There is a proposed and pending action in

        15       Congress for such a deduction.

        16                      SENATOR GOLD:  Fine.  And the

        17       second question I have is if somebody were

        18       filing a return in New York State and using the

        19       standard deduction, I assume this would be like

        20       any other deduction.  It would be part -- there

        21       wouldn't be an addition to the standard

        22       deduction.  A person would have to make a

        23       decision whether they itemize or take standard











                                                             
1249

         1       deductions, is that correct?

         2                      SENATOR VELELLA:  I would assume

         3       so.  You have a choice on your return.

         4                      SENATOR GOLD:  Right.

         5                      SENATOR VELELLA:  You can take

         6       standard or you itemize.

         7                      SENATOR GOLD:  Right.  And the

         8       third question I have, if I understand it

         9       properly, if someone were under 55, the amount

        10       they would be able to deduct is, I assume, the

        11       amount of their premium up to a maximum of $750,

        12       is that correct?

        13                      SENATOR VELELLA:  Under 55?

        14                      SENATOR GOLD:  In other words, it

        15       says limited to -

        16                      SENATOR VELELLA:  As I read the

        17       bill, it's between 55 and 60 years old that the

        18       exemption starts.

        19                      SENATOR GOLD:  Yeah, but it's the

        20       amount of the premium up to a maximum of 750 for

        21       that age.

        22                      SENATOR VELELLA:  Correct.

        23                      SENATOR GOLD:  And being a











                                                             
1250

         1       deduction, if I could ask this question, it's

         2       not costing the state of New York $750.  It

         3       would be the tax on $750.  So if people were in

         4       the top bracket, we're talking about -- maybe

         5       about 48, $49.

         6                      SENATOR VELELLA:  Exactly.

         7                      SENATOR GOLD:  The last question

         8       is it's your opinion that somebody would or

         9       would not buy this if they could save the $48;

        10       that's the inducement, or if they were, for

        11       example, going to spend $2,000, they might be

        12       able to get $130 back, and you think that that

        13       would be encouragement to spend 2,000?

        14                      SENATOR VELELLA:  I don't know

        15       that that would be the deciding factor.

        16       Obviously the cost of the policy would be more

        17       of a factor, but it would be an inducement to

        18       provide for people to go out and get their own

        19       long-term care insurance so that they would have

        20       this little bit of tax savings.

        21                      SENATOR GOLD:  Yeah.  In other

        22       words, your philosophy is that somebody

        23       otherwise might not spend the $2,000, but if











                                                             
1251

         1       they were going to get $130 back of the 2,000,

         2       they might now be more intent on buying the

         3       $2,000 policy so they would get the refund check

         4       for 130.

         5                      SENATOR VELELLA:  Well, I don't

         6       know.  All I can say is I would think that it's

         7       part of an inducement to try to bring the costs

         8       down and help the state policy -- to encourage

         9       people to buy these policies if they're

        10       financially able to.

        11                      ACTING PRESIDENT DiCARLO:

        12       Senator Dollinger.

        13                      SENATOR DOLLINGER:  Would Senator

        14       Velella yield to just a couple quick questions?

        15                      ACTING PRESIDENT DiCARLO:

        16       Senator Velella, do you yield?

        17                      SENATOR DOLLINGER:  Senator, I

        18       think this is a great idea.  I just want to ask,

        19       the concept of the tax deduction that

        20       accompanies the purchase, one of my questions is

        21       can you under current New York law use tax

        22       sheltered assets to buy these policies? For

        23       example, could you use your accumulated value in











                                                             
1252

         1       your IRA or your pension plan or the cash value

         2       of your insurance policy as a source from which

         3       to buy these and include them in as an asset in

         4       your IRA?

         5                      SENATOR VELELLA:  My

         6       understanding is that your tax consequences -

         7       and now I'm talking this bill does not at all

         8       address that, or does not change any law that

         9       might or might not apply.  However, if you

        10       wanted to invade your own retirement funds or

        11       your IRA, I think you might suffer federal tax

        12       consequences and would have to weigh those types

        13       of consequences against the purchase of it.  We

        14       don't prohibit nor do we suggest or allow for

        15       someone to invade their retirement funds to

        16       purchase these policies.  All we do is provide

        17       the tax deduction.  Whatever laws are in effect

        18       regarding that would stay in effect, and I don't

        19       believe it would probably be very financially

        20       rewarding for someone to do that with an IRA,

        21       let's say, but again, they would have to look at

        22       the numbers.

        23                      SENATOR DOLLINGER:  Right.  Again











                                                             
1253

         1       through you, just on the bill, Mr. President, I

         2       think this is a good bill.  I think it moves in

         3       the right direction.  I think we could move

         4       further to encourage the use of these policies

         5       if we allowed people that use their savings -

         6       and often times they're only through IRAs or

         7       pension plans -- we allowed them to accumulate a

         8       policy like this as an asset out of these funds,

         9       we would then say to people with their minimal

        10       amount of savings that we can actually not only

        11       buy you financial security when you retire, but

        12       you could actually provide long-term care if you

        13       ever need it.

        14                      I know I've carried a bill that

        15       would convert whole life insurance policies into

        16       policies that could be used for long-term care

        17       once the person reached the life expectancy at

        18       the time they bought the policy, so you could

        19       convert it.  We have that now for exceptional

        20       life needs like those who need Hospice care for

        21       long-term disease and disability, but we've

        22       never extended that to long-term care, and I

        23       would hope that we could perhaps look at that











                                                             
1254

         1       kind of innovation and the innovation of using

         2       tax-sheltered assets like IRAs or pension plans

         3       to buy these as assets.  I agree with the

         4       sponsor.  This is something that we need to do,

         5       encourage to do, so that fewer people are coming

         6       knocking on our door, asking for contributions

         7       to long-term care.

         8                      So I'll be voting in favor of the

         9       bill, and I hope the trend of using this device

        10       and encouraging the use of this device and

        11       innovating in the way we use this device will

        12       continue.

        13                      ACTING PRESIDENT DiCARLO:  Read

        14       the last section.

        15                      THE SECRETARY:  Section 4.  This

        16       act shall take effect immediately.

        17                      ACTING PRESIDENT DiCARLO:  Call

        18       the roll.

        19                      (The Secretary called the roll. )

        20                      SENATOR LEICHTER:  Mr. President.

        21                      ACTING PRESIDENT DiCARLO:

        22       Senator Leichter, why do you rise?

        23                      SENATOR LEICHTER:  To explain my











                                                             
1255

         1       vote.

         2                      ACTING PRESIDENT DiCARLO:

         3       Senator Leichter to explain his vote.

         4                      SENATOR LEICHTER:  I don't know

         5       whether anybody cares, but I think I at least

         6       owe an explanation because, after having ended

         7       up being mesmerized by Senator Velella's

         8       persuasiveness and having said, "Well, I think

         9       I'll support it," as I thought more about it, I

        10       think the problem with this bill is that it's

        11       probably -- one, it's not an inducement but it

        12       is going to cost the treasury money.  Finally,

        13       it really benefits a very, very small segment of

        14       our society, those people who have enough

        15       monies, first of all, that could afford such a

        16       policy and secondly, that the deduction is of

        17       any value.  The real problem we have in this

        18       state is taking care of working people, middle

        19       class people who are not going to be able to

        20       take advantage of this deduction.  So it really

        21       benefits primarily wealthy people, and I'm not

        22       so sure in the absence of any study -- that's

        23       really what I was getting at, Senator Velella,











                                                             
1256

         1       when I first asked you, are there any studies

         2       that would show what the loss of revenues is

         3       going to be and how many people who are in that

         4       category -- we're talking by and large, people

         5       who make more than 100,000 a year -- end up on

         6       Medicaid in nursing homes? I imagine some do,

         7       but I don't believe that many do.  So I think if

         8       you take a look at the -- on balance what this

         9       is going to do, I think it may hurt the state

        10       and not benefit the state.

        11                      So I'm sorry, Senator Velella,

        12       I'm going to vote in the negative.

        13                      ACTING PRESIDENT DiCARLO:  The

        14       bill is passed.

        15                      THE SECRETARY:  Ayes 49, nays 1,

        16       Senator Leichter recorded in the negative.

        17                      ACTING PRESIDENT DiCARLO:  The

        18       bill is still passed.

        19                      The Secretary will read.

        20                      THE SECRETARY:  Calendar Number

        21       173, by Senator Johnson, Senate Print 5344-A, an

        22       act to amend the Social Services Law and the

        23       Criminal Procedure Law, in relation to











                                                             
1257

         1       reinvestigating recipients of public assistance.

         2                      ACTING PRESIDENT DiCARLO:

         3       Senator Johnson, an explanation has been asked

         4       for.

         5                      SENATOR JOHNSON:  Mr. President,

         6       this -- this bill would provide that upon a

         7       sentence of conviction of a welfare recipient,

         8       the local Social Services Department would be

         9       informed of that conviction so they could do a

        10       reinvestigation, determine whether, in fact,

        11       this person would continue to get benefits,

        12       whether his family was relying upon him or her

        13       and would require additional aid, and there's

        14       been some problems with this in the past.

        15                      A lot of money has been lost

        16       because payments continued several months after

        17       a person was convicted, money which was just

        18       perhaps wasted or there's been evidence of other

        19       persons using the ID cards in a fraudulent

        20       manner for several months after the recipient -

        21       intended recipient of those resources was

        22       incarcerated.  So this is the deal that would

        23       rationalize the system which should have had a











                                                             
1258

         1       rationalization long ago.

         2                      We understand originally when

         3       this bill was enacted -- first introduced in

         4       1987 and passed in 1990, that originally the

         5       departments would look in the local paper, see

         6       who got arrested, see if they could find anybody

         7       there.  There's been an ad hoc improvisation for

         8       some period of time with Social Services and

         9       DOCS have been exchanging information

        10       sporadically.  We understand perhaps it's on a

        11       quarterly basis, some people say monthly basis.

        12       We think it should be immediate notification so

        13       the investigation could be done and the benefits

        14       corrected properly and in an expedient manner,

        15       save the taxpayers a lot of money and may help

        16       some people on welfare and certainly help the

        17       taxpayer by saving a lot of wasted money.

        18                      ACTING PRESIDENT DiCARLO:

        19       Senator Paterson.

        20                      SENATOR PATERSON:  Thank you, Mr.

        21       President.

        22                      I'm just looking for a little

        23       clarification, if Senator Johnson would yield











                                                             
1259

         1       for a couple of questions.

         2                      ACTING PRESIDENT DiCARLO:

         3       Senator Johnson, do you yield?

         4                      SENATOR JOHNSON:  Yes.

         5                      ACTING PRESIDENT DiCARLO:  The

         6       Senator yields.

         7                      SENATOR PATERSON:  Senator

         8       Johnson -- through you, Mr. President -- there's

         9       no change in the payment schedule until the

        10       investigation is complete, am I correct?

        11                      SENATOR JOHNSON:  Well, of

        12       course, Senator, of course.

        13                      SENATOR PATERSON:  Secondly, the

        14       investigation relates to the situation upon the

        15       conviction of the defendant and now awaiting the

        16       sentence.  So, therefore, there is not a

        17       reinvestigation on this issue after the

        18       prescribed term is served.  In other words, at

        19       that point the individual who is now coming out

        20       of incarceration would reapply if they're going

        21       to Social Services, is that correct?

        22                      SENATOR JOHNSON:  Senator

        23       Paterson, you're correct.  The law requires











                                                             
1260

         1       delivery of a certificate of conviction to

         2       Social Services by the court which convicted

         3       that person.  So nothing would -- no

         4       investigation would go until that is

         5       accomplished.

         6                      SENATOR PATERSON:  And then

         7       finally, Senator Johnson, this investigation

         8       would not affect anybody who is not awaiting

         9       sentencing.

        10                      SENATOR JOHNSON:  Would not -

        11       I'm sorry, Senator.  I didn't hear you.

        12                      SENATOR PATERSON:  It's specific

        13       to anyone who's been convicted of a crime and is

        14       awaiting sentencing, this notification.

        15                      SENATOR JOHNSON:  Senator, it's

        16       upon conviction that this investigation would

        17       take place.

        18                      SENATOR PATERSON:  Exactly.

        19                      Thank you very much, Senator.

        20                      ACTING PRESIDENT DiCARLO:

        21       Senator Montgomery.

        22                      SENATOR MONTGOMERY:  Mr.

        23       President, would the Senator -











                                                             
1261

         1                      ACTING PRESIDENT DiCARLO:

         2       Senator Johnson, do you yield?

         3                      SENATOR MONTGOMERY:  -- Senator

         4       Johnson yield for a question?

         5                      ACTING PRESIDENT DiCARLO:  The

         6       Senator yields.

         7                      SENATOR JOHNSON:  Yes, Senator.

         8                      SENATOR MONTGOMERY:  Senator

         9       Johnson, I am trying to also get some

        10       clarification.  The -- the recipient, the

        11       category of recipient -- is there a particular

        12       category of recipient that you're referring to,

        13       or is this either AFDC or HR or -

        14                      SENATOR JOHNSON:  No.  There's no

        15       particular category, Senator.

        16                      SENATOR MONTGOMERY:  No

        17       particular category.

        18                      SENATOR JOHNSON:  No.

        19                      SENATOR MONTGOMERY:  All right.

        20       Senator Johnson, if you would yield for another

        21       question.  The -- in the case of an AFDC

        22       recipient -

        23                      SENATOR JOHNSON:  Yes.











                                                             
1262

         1                      SENATOR MONTGOMERY:  -- the AFDC

         2       payments are for support of the children?

         3                      SENATOR JOHNSON:  That's correct.

         4                      SENATOR MONTGOMERY:  Okay.  What

         5       happens with those payments for those -- for

         6       those children at the point when -

         7                      SENATOR JOHNSON:  Senator, I'm

         8       glad you asked that question because that

         9       concerned me as well, particularly what happens

        10       to the children if the parent is incarcerated,

        11       and I think notice should go out very promptly

        12       in order that -- in order that arrangements may

        13       be made for support of the remaining family when

        14       this parent is incarcerated.  Perhaps you may

        15       need foster care for these children if it's a

        16       single parent there.  So certainly it will be

        17       investigated, but all we're really saying -- and

        18       these investigations do take place right now

        19       from time to time.  We're saying investigate

        20       promptly, rationalize the situation, provide

        21       help where it is needed or weigh benefits or

        22       pick up the card where it isn't needed so that

        23       someone else doesn't use that service in a











                                                             
1263

         1       fraudulent manner that this person who is

         2       incarcerated formerly was entitled to.

         3                      SENATOR MONTGOMERY:  All right.

         4       Mr. President, on the bill briefly.

         5                      I just -- I'm going to vote no on

         6       this bill.  I'm just not sure that all of the

         7       provisions for the children of incarcerated AFDC

         8       recipients are maintained without any break in

         9       the provisions for those children, and we

        10       certainly, I don't think -- and I'm sure that

        11       Senator Johnson does not intend either -- for

        12       the children to essentially pay for whatever

        13       crime of the parent, and we have now a thousand

        14       percent increase in the incarceration of AFDC

        15       recipients what are women and, therefore -

        16                      SENATOR JOHNSON:  That concern of

        17       yours -- would you stand for a -

        18                      SENATOR MONTGOMERY:  Senator, I

        19       would yield.

        20                      ACTING PRESIDENT DiCARLO:

        21       Senator Montgomery yields, Senator Johnson.

        22                      SENATOR JOHNSON:  Senator

        23       Montgomery, I would like you to know that the











                                                             
1264

         1       New York Public Welfare Association has sent a

         2       memo out in support of this bill and they -

         3       they say, among other things, that the public -

         4       what do they say? They must be assured that

         5       assistance is available to those who need it so

         6       they can promptly investigate and make sure that

         7       that aid is available, that if the tax dollars

         8       are saved by catching some people, there will be

         9       more money available to help others who really

        10       need the help.  So they are in favor of a prompt

        11       reinvestigation of all these cases so the people

        12       get the benefits which they deserve and which we

        13       intend them to have through the laws we've

        14       passed.  So I don't think so they have do it as

        15       a negative or beating on people at all, but

        16       immediate notice which they have lacked in the

        17       past in order to be able to do this prompt

        18       investigation.

        19                      ACTING PRESIDENT DiCARLO:

        20       Senator Montgomery.

        21                      SENATOR MONTGOMERY:  Thank you,

        22       Senator Johnson.

        23                      I -- Mr. President, I still have











                                                             
1265

         1       some reservations about that.  As we know, the

         2       system does not work always efficiently, as we

         3       know in New York City what happens to so many

         4       thousands of children, so we just passed a bill

         5       last year -- I mean last week, excuse me -- to

         6       address a major problem in our child welfare

         7       system.  These children would more than likely

         8       come into the child welfare system, but they may

         9       also be dealt with in the context of a family in

        10       a loose way or in some other way in the

        11       community, and I would not want to see those

        12       children become victimized once again by the

        13       fact that they have a parent who is incarcerated

        14       and that the only source of support for those

        15       children would be cut off prematurely.

        16                      So I'm voting no on this bill,

        17       Mr. President.

        18                      ACTING PRESIDENT DiCARLO:

        19       Senator Mendez.

        20                      SENATOR MENDEZ:  Thank you, Mr.

        21       President.

        22                      Would Senator Johnson please

        23       yield for a question?











                                                             
1266

         1                      ACTING PRESIDENT DiCARLO:

         2       Senator Johnson, would you yield to a question?

         3       The Senator yields.

         4                      SENATOR JOHNSON:  Yes, Mr.

         5       President.

         6                      SENATOR MENDEZ:  Senator Johnson,

         7       if there is a father, let's say of three

         8       children, who is going to be sentenced because

         9       of a crime, while that investigation is going

        10       on, will -- the payment for the support of the

        11       kids and the wife will still be in effect?

        12                      SENATOR JOHNSON:  Yes, Senator,

        13       it will.

        14                      Senator, this bill doesn't say if

        15       you're arrested, your welfare stops.  It only

        16       says if you are convicted and you're going to be

        17       put away for a period of time, that a notice is

        18       sent to Social Services to reinvestigate the

        19       case.  Obviously, your particular part of that

        20       check wouldn't be there, but the benefits to the

        21       rest of the family would remain, perhaps

        22       increase if it were a working parent who is

        23       incarcerated.  They would obviously need more











                                                             
1267

         1       aid than they received previously.  That would

         2       also be delivered in this case.

         3                      SENATOR MENDEZ:  So -- Mr.

         4       President, so, therefore, during the period of

         5       time in which that person is being

         6       reinvestigated, the children and his wife will

         7       be receiving the welfare check?

         8                      SENATOR JOHNSON:  Yes, Senator.

         9                      SENATOR MENDEZ:  Oh, I see.

        10                      Thank you.

        11                      ACTING PRESIDENT DiCARLO:  Read

        12       the last section.

        13                      THE SECRETARY:  Section 3.  This

        14       act shall take effect on the 90th day.

        15                      ACTING PRESIDENT DiCARLO:  Call

        16       the roll.

        17                      (The Secretary called the roll. )

        18                      THE SECRETARY:  Ayes 50, nays 1,

        19       Senator Montgomery recorded in the negative.

        20                      ACTING PRESIDENT DiCARLO:  The

        21       bill is passed.

        22                      THE SECRETARY:  Calendar Number

        23       189, by Senator Stafford, Senate Print 619, an











                                                             
1268

         1       act to amend the Highway Law, in relation to

         2       prohibiting abandonment of Crane Pond Road.

         3                      ACTING PRESIDENT DiCARLO:

         4       Senator Stafford, an explanation has been asked

         5       for.

         6                      SENATOR STAFFORD:  Thank you.

         7                      Mr. President, we had passed this

         8       bill in 1991, 1992, 1994 and 1995.  It is a bill

         9       that's very, very important to the people of the

        10       Essex County area.

        11                      We have a town road that has been

        12       there for years and due to the classification

        13       which has been -- the area has been classified a

        14       wilderness area, there is a problem with keeping

        15       the town road.  We want to keep it open so that

        16       people will be able to enjoy the area and also

        17       those who are older and those who are not able

        18       to walk or -- maybe not walk at all.

        19                      I would point out, Mr. President,

        20       that I think this is one of the points that puts

        21       us over the top, so to speak.  You can stand on

        22       this road and hear the cars on the Northway, and

        23       they're calling it a wilderness area.  We would











                                                             
1269

         1       hope that we could have the bill passed and we

         2       could see this opportunity for all within the

         3       area of New York and other areas to enjoy this

         4       area.

         5                      ACTING PRESIDENT DiCARLO:

         6       Senator Oppenheimer.

         7                      SENATOR OPPENHEIMER:  We -- we

         8       have a long history with this bill.  It goes

         9       back several years, and while -- while it sounds

        10       very logical what's being said by Senator

        11       Stafford -- and I do respect him and feel that

        12       he is doing what he thinks is the best thing for

        13       the area that he represents, but this issue

        14       actually is considerably larger than -- than

        15       just this one road, and this just being a road

        16       that the municipality -- the area would like to

        17       see remain open.

        18                      The fact is there is in the

        19       Adirondacks a master plan and within that master

        20       plan, there is a process where issues that are

        21       conflicting with that master plan can be

        22       resolved.  The process here will be totally

        23       eliminated, and it will simply be a legislative











                                                             
1270

         1       issue which it was never intended to be.

         2                      There is a process.  The process

         3       was made just for these kind of problems that

         4       come up between the municipality, in conflict

         5       with the master plan for the area, and so as you

         6       can see, this is really much larger than just

         7       this one road and in the past, many people have

         8       voted against this -- this bill because it

         9       really does go against the structure that has

        10       been created and simply says, "Well, the

        11       Legislature can just do whatever they want.  All

        12       they need is to vote their will," and the fact

        13       is we have law here and this would be against

        14       our law, and the people who voted against it in

        15       the past were the following Senators: Abate,

        16       Connor, Dollinger, Espada, Jones -- Oops!

        17       Pardon -- Leichter, Markowitz, Onorato and

        18       Stachowski and on the other side of the aisle,

        19       Goodman, Leibell and Levy.

        20                      Thank you.

        21                      ACTING PRESIDENT DiCARLO:

        22       Senator Paterson, do you wish to be heard on the

        23       bill?











                                                             
1271

         1                      SENATOR PATERSON:  If the Senator

         2       would yield for a question.  Thank you.

         3                      Senator, I guess it's just a

         4       concern, as Senator Oppenheimer mentioned, for

         5       the actual process, not the result that you're

         6       trying to obtain.  With respect to the state

         7       land master plan and how basically it would be

         8       interpreted by the Adirondack Park Association,

         9       it's really just a concern that we the

        10       Legislature are micro-managing where it is

        11       thought by these entities that there was a

        12       hearing and there was a proper and seasonable

        13       period for this issue to be represented, and so

        14       I'll just simply ask you why you feel the

        15       Legislature needs to be intervening at this

        16       point.

        17                      SENATOR STAFFORD:  Very, very

        18       fair question.  First, this is so -- the mistake

        19       is so extreme, we feel that we should have

        20       legislation and we should have it changed and,

        21       again, as I said, so people can get there,

        22       people can enjoy it, the physically handicapped,

        23       as I say, the elderly, and I've noted that it's











                                                             
1272

         1       very hard to call it wilderness when you stand

         2       there -- and it is quite interesting to be

         3       standing there fishing in a pond when you're

         4       hearing cars on the Northway.  I don't think

         5       that's quite wilderness.  It takes a bit of

         6       time.  We're working on it.

         7                      We have a number of changes we

         8       hope to make to the master plan.  I assure you

         9       that that will be something that will be debated

        10       a good bit, and when we are able to make some of

        11       the changes that we're suggesting, we'll be very

        12       pleased, but until we get -- as a matter of

        13       fact, what we're trying to do is to sit down and

        14       have some real sensible negotiations to have

        15       these changes, and this legislation is

        16       correcting something, as I say, so extreme, that

        17       we feel it should pass, but we certainly are

        18       going to be working on the master plan and a

        19       great deal of work needs to be done, and people

        20       have to be reasonable on both sides -- no, all

        21       sides, because I assure you there's more than

        22       two sides.

        23                      SENATOR PATERSON:  Thank you,











                                                             
1273

         1       Senator.

         2                      ACTING PRESIDENT DiCARLO:  Read

         3       the last section.

         4                      THE SECRETARY:  Section 2.  This

         5       act shall take effect immediately.

         6                      ACTING PRESIDENT DiCARLO:  Call

         7       the roll.

         8                      (The Secretary called the roll. )

         9                      THE SECRETARY:  Those recorded in

        10       the negative on Calendar Number 189 are Senators

        11       Abate, Connor, Dollinger, Gold, Goodman,

        12       Hoblock, Leibell, Leichter, Marcellino,

        13       Markowitz, Maziarz, Montgomery, Nanula, Onorato,

        14       Oppenheimer, Paterson, Smith and Stachowski.

        15       Ayes 33, nays 18.

        16                      ACTING PRESIDENT DiCARLO:  The

        17       bill is passed.

        18                      Senator Skelos, that completes

        19       the controversial reading of the calendar.

        20                      SENATOR SKELOS: Is there any

        21       housekeeping at the desk?

        22                      ACTING PRESIDENT DiCARLO:  Yes,

        23       there is.











                                                             
1274

         1                      Senator Marcellino.

         2                      SENATOR MARCELLINO:  On behalf of

         3       Senator Velella, Mr. President, on page number

         4       11, I offer the following amendments to Calendar

         5       Number 177, Senate Print Number 2766-A, and ask

         6       that said bill retain its place on the Third

         7       Reading Calendar.

         8                      ACTING PRESIDENT DiCARLO:  The

         9       amendments are received.

        10                      Senator Marcellino.

        11                      SENATOR MARCELLINO:  Mr.

        12       President, on behalf of Senator Hannon, on page

        13       number 17, I offer the following amendments to

        14       Calendar Number 12, Senate Print Number 5239,

        15       and ask that said bill retain its place on the

        16       Third Reading Calendar and remove the star.

        17                      ACTING PRESIDENT DiCARLO:  So

        18       ordered.

        19                      Senator Skelos.

        20                      SENATOR SKELOS:  Mr. President,

        21       there being no further business, I move we

        22       adjourn until Tuesday, February 13th, at 3:00

        23       p.m. sharp.











                                                             
1275

         1                      ACTING PRESIDENT DiCARLO:

         2       Without objection, the Senate stands adjourned

         3       until Tuesday, February 13th, 3:00 p.m. sharp.

         4                      (Whereupon at 4:12 p.m., the

         5       Senate adjourned. )

         6

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