Regular Session - May 29, 1996

                                                                 
5827

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         9                       ALBANY, NEW YORK

        10                         May 29, 1996

        11                          3:04 p.m.

        12

        13

        14                       REGULAR SESSION

        15

        16

        17

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

        19       STEPHEN F. SLOAN, Secretary

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        21

        22

        23











                                                             
5828

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

         2                      ACTING PRESIDENT KUHL:  The

         3       Senate will come to order.  Ask the members to

         4       find their places, staff to find their places.

         5       Ask everybody in the chamber to rise and join me

         6       in saying the Pledge of Allegiance to the Flag

         7       and remain standing for the invocation.

         8                      (The assemblage repeated the

         9       Pledge of Allegiance to the Flag.)

        10                      We're pleased to have Pastor

        11       Christian Schoenberg of the Trinity Lutheran

        12       Church of Hawthorne, New York, with us today to

        13       give the invocation.

        14                      REVEREND CHRISTIAN SCHOENBERG:

        15       In the name of the Father and of the Son and of

        16       the Holy Spirit.  Amen.

        17                      Let us pray.

        18                      Father in heaven, we thank You

        19       for this day, for the blessings from Your hand

        20       that have come to us, for the opportunities You

        21       present to serve You by serving people.  We

        22       thank You for calling us to be public servants

        23       in this state.  Forgive us for our past failures











                                                             
5829

         1       and mistakes, for our selfishness and

         2       shortsightedness.  Renew us today to start

         3       afresh, to become better stewards and managers

         4       of the public resources at our disposal.  Enable

         5       us to earn and keep the public trust by

         6       fulfilling our calling with integrity, wisdom,

         7       care and compassion.  Grant Your blessing upon

         8       our deliberations and decisions today that they

         9       may benefit the people of this state, through

        10       Jesus Christ, Your Son, our Lord, who lives and

        11       rules with You, one holy God, one Spirit, now

        12       and forever.  Amen.

        13                      ACTING PRESIDENT KUHL:  Reading

        14       of the Journal.

        15                      THE SECRETARY:  In Senate,

        16       Tuesday, May 28th.  The Senate met pursuant to

        17       adjournment.  The Journal of Monday, May 27th,

        18       was read and approved.  On motion, Senate

        19       adjourned.

        20                      ACTING PRESIDENT KUHL:  Hearing

        21       no objection, the Journal stands approved as

        22       read.

        23                      Presentation of petitions.











                                                             
5830

         1                      Messages from the Assembly.

         2                      Messages from the Governor.

         3                      Reports of standing committees.

         4                      Reports of select committees.

         5                      Communications and reports from

         6       state officers.

         7                      Motions and resolutions.

         8                      The Chair recognizes Senator

         9       DiCarlo.

        10                      SENATOR DiCARLO:  Mr. President,

        11       on behalf of Senator Wright, on page 49, I offer

        12       the following amendments to Calendar 1081,

        13       Senate Print 6734, and ask that said bill retain

        14       its place on Third Reading Calendar.

        15                      ACTING PRESIDENT KUHL:

        16       Amendments to Calendar Number 1081 are received

        17       and adopted.  The bill will retain its place on

        18       the Third Reading Calendar.

        19                      Senator DiCarlo.

        20                      SENATOR DiCARLO:  Mr. President,

        21       on behalf of Senator Saland, on page 65, I offer

        22       the following amendments to Calendar 274, Senate

        23       Print 3502-B and ask that bill retain its place











                                                             
5831

         1       on Third Reading Calendar.

         2                      ACTING PRESIDENT KUHL:

         3       Amendments to Calendar Number 274 are received

         4       and adopted.  The bill will retain its place on

         5       the Third Reading Calendar.

         6                      Senator DiCarlo.

         7                      SENATOR DiCARLO:  Mr. President,

         8       on behalf of Senator Spano, on page 39, I offer

         9       the following amendments to Calendar 989, Senate

        10       Print 6209, and ask that said bill retain its

        11       place on Third Reading Calendar.

        12                      ACTING PRESIDENT KUHL:

        13       Amendments to Calendar Number 989 are received

        14       and adopted.  Bill will retain its place on the

        15       Third Reading Calendar.

        16                      Senator DiCarlo.

        17                      SENATOR DiCARLO:  On behalf of

        18       Senator Rath, please place a sponsor's star on

        19       Calendar Number 1047.

        20                      ACTING PRESIDENT KUHL:  Calendar

        21       1047 is starred at the request of the sponsor.

        22                      Senator DiCarlo.

        23                      SENATOR DiCARLO:  And on behalf











                                                             
5832

         1       of Senator Volker, please remove the sponsor's

         2       star from Calendar 507.

         3                      ACTING PRESIDENT KUHL:  The

         4       sponsor's star is removed from Calendar 507.

         5                      Senator Johnson, we have a

         6       substitution at the desk if you want to take

         7       that at this time.

         8                      Secretary will read.

         9                      SENATOR JOHNSON:  Yes, Mr.

        10       President.

        11                      ACTING PRESIDENT KUHL:  Secretary

        12       will read.

        13                      THE SECRETARY:  On page 17,

        14       Senator Seward moves to discharge from the

        15       Committee on Rules Assembly Bill Number 10463-A

        16       and substitute it for the identical Senate Bill

        17       6173-A.

        18                      ACTING PRESIDENT KUHL:

        19       Substitution is ordered.

        20                      Senator Johnson.

        21                      SENATOR JOHNSON:  Recognize

        22       Senator Stafford.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
5833

         1       Stafford.  Want to return to reports of standing

         2       committees.  Chair recognizes Senator Stafford.

         3                      SENATOR STAFFORD:  Thank you, Mr.

         4       President.  I would ask, please, the Chair to

         5       read the nominations.  We'd like to move Carlton

         6       E. Dewolff and Leslie M. Goldstein, please.

         7                      I believe there will be some

         8       people possibly to speak.

         9                      ACTING PRESIDENT KUHL:  Secretary

        10       will read the report of the Finance Committee.

        11                      THE SECRETARY:  Senator Stafford,

        12       from the Committee on Finance, offers up the

        13       following nominations:

        14                      Members of the Rochester-Genesee

        15       Regional Transportation Authority, Carlton E.

        16       Dewolff, of Fairport, Leslie M. Goldstein, of

        17       Rochester.

        18                      SENATOR DOLLINGER:  Mr.

        19       President.

        20                      ACTING PRESIDENT KUHL:  Soon as I

        21       get some quiet, Senator Dollinger.  I'm just

        22       waiting.  We can wait all afternoon for the

        23       members to quiet down, but I think you and other











                                                             
5834

         1       members ought to have some quiet to debate these

         2       nominations if that's, in fact, what we're going

         3       to do.

         4                      Senator Dollinger.

         5                      SENATOR DOLLINGER:  Mr.

         6       President, I don't intend to speak out of line

         7       here.  If someone was prepared to speak in favor

         8       of these nominees, I would gladly yield the

         9       floor.  I had comments which I made in the

        10       Senate Finance Committee which I intended to

        11       repeat on the floor, but I'd be glad to yield

        12       the floor to anyone who was going to speak.

        13                      ACTING PRESIDENT KUHL:  Senator,

        14       the floor is yours.  The floor is yours.

        15                      SENATOR DOLLINGER:  O.K.

        16                      Mr. President, I rise today to

        17       speak in opposition to the two nominations that

        18       are being placed before us, and I do so, Mr.

        19       Chairman, because I believe that in both cases

        20       there are serious questions that I raised in the

        21       Senate Finance Committee and asked as a matter

        22       of Senatorial courtesy be extended to me to

        23       allow them to appear before the Committee to











                                                             
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         1       answer questions.

         2                      Carlton Dewolff has been an

         3       architect in the Rochester area community, has

         4       been involved in the community for many decades

         5       and, frankly, based on his resume he has a

         6       resume that would lend itself to perhaps being

         7       on the Greater Rochester or the Rochester

         8       Genesee Regional Transit Authority.  However, I

         9       was particularly concerned because I went to

        10       Senator Levy's committee, to the Senate

        11       Transportation Committee.

        12                      SENATOR GOLD:  Mr. President.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Gold, why do you rise?

        15                      SENATOR GOLD:  Because I think

        16       this is significant, as I know you appreciate,

        17       and I just wanted a little more quiet in the

        18       room so we could hear Senator Dollinger.

        19                      SENATOR DOLLINGER:  Thank you,

        20       Senator Gold.

        21                      I went to the Senate

        22       Transportation Committee of which I'm not a

        23       member, Mr. President, and attended their











                                                             
5836

         1       discussion with Mr. Dewolff.  Mr. Dewolff, as

         2       best I recall it -- and I was present in the

         3       room -- when asked by the chairman of the Senate

         4       Transportation Committee, What do you know about

         5       the Regional Transit Authority, said in essence,

         6        "I don't know anything about it and I'm here,

         7       I've been an architect, I've been involved in

         8       regional planning, but I don't know anything

         9       about the activities of the Rochester-Genesee

        10       Regional Transit Authority."

        11                      I wasn't a member of the

        12       Committee.  I didn't ask a question at that

        13       time.  I was hoping that Mr. Dewolff would be

        14       present at the deliberations of the Senate

        15       Finance Committee so I could ask him why we were

        16       appointing him to an authority which he has

        17       publicly said he didn't know anything about.

        18                      My concerns about Mr. Goldstein

        19       are, frankly, much deeper.

        20                      SENATOR NOZZOLIO:  Mr. President.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Nozzolio, why do you rise?

        23                      SENATOR NOZZOLIO:  Would Senator











                                                             
5837

         1       Dollinger yield?

         2                      SENATOR DOLLINGER:  I'd be glad

         3       to, Mr. President.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Dollinger yields.

         6                      SENATOR NOZZOLIO:  Thank you, Mr.

         7       President.  Thank you, Senator Dollinger.

         8                      As you know, I am a member of the

         9       Senate Transportation Committee, and I saw you

        10       sit in the chamber when we discussed Carlton

        11       Dewolff's nomination, and hear you today -- I

        12       can't help but sit by without a great deal of

        13       anguish.  Did you not hear, during the meeting

        14       of the Transportation Committee "Bud" Dewolff

        15       indicate his knowledge about urban planning?

        16                      SENATOR DOLLINGER:  M-m h-m-m, I

        17       did.

        18                      SENATOR NOZZOLIO:  Did you not

        19       hear that, Senator?

        20                      SENATOR DOLLINGER:  I did.

        21                      SENATOR NOZZOLIO:  Did you not

        22       hear, Senator, his comments relative to his par

        23       ticipation in a number of projects in the











                                                             
5838

         1       Rochester area?

         2                      SENATOR DOLLINGER:  I did.

         3                      SENATOR NOZZOLIO:  Well, Senator

         4        -- Mr. President, if Senator Dollinger would

         5       continue to yield.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Dollinger, you continue to yield?

         8                      SENATOR DOLLINGER:  I will.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       continues to yield.

        11                      SENATOR NOZZOLIO:  I just can't

        12       sit by and hear you challenge "Bud" Dewolff

        13       without commenting that you appear to be, by

        14       taking his comment relative to his lack of par

        15       ticipation or understanding of the workings of

        16       the Authority out of context.  I think that it

        17       is not fair to Mr. Dewolff, and my question to

        18       you is, Senator, if you heard these other

        19       comments relative to transportation -- to urban

        20       issues, other than the comments relative to

        21       Rochester, are you not taking his one comment

        22       about the Authority out of context?

        23                      SENATOR DOLLINGER:  With all due











                                                             
5839

         1       respect, Mr. President, I think that's a fair

         2       question.  I had hoped that Mr. Dewolff would

         3       appear in front of the Senate Finance Committee

         4       so I could ask him what context he meant that

         5       statement, and I could have gotten a

         6       clarification in the deliberations of the

         7       Finance Committee as to exactly what his

         8       knowledge and understanding of the

         9       Transportation Authority was.

        10                      I just find it very unusual when

        11       there is lots of qualified candidates, I know

        12       the Senator knows them, in which -- who come

        13       before this body for confirmation so we can use

        14       our advise and consent powers, and who stand

        15       there and say, Yes, I'm familiar with the

        16       Transit Authority; yes, I know what it does.

        17                      This is a Transit Authority that

        18       I have a significant interest, as I know you do,

        19       Senator, because your constituency use this

        20       Transit Authority.  About 50, my estimate is,

        21       and I have no professional basis for this but

        22       somewhere between 50 and 75 percent of the

        23       people who actually ride on this Transportation











                                                             
5840

         1       Authority live in the 54th Senate District which

         2       I represent.

         3                      What I'm saying with respect to

         4       Mr. Dewolff is that I could have been convinced

         5       that he knew enough about transit issues and

         6       about the overall picture -- you said that in

         7       the Senate Finance Committee -- to vote in favor

         8       of him.

         9                      I'm voting against him today

        10       because I was disappointed he wasn't at the

        11       Senate Finance Committee and the opportunity

        12       that I would have had as a member of the Senate

        13       Finance Committee to ask him those questions in

        14       front of my colleagues in the Senate Finance

        15       Committee when I had the committee status to be

        16       able to ask him all the questions that I felt

        17       were relevant to a determination on my part as

        18       to whether he was a qualified nominee or not, so

        19       that's with respect to Mr. Dewolff.

        20                      With respect to Mr. Goldstein, I

        21       put on the record before the Senate Finance

        22       Committee my substantial concern about Mr.

        23       Goldstein.  What I indicated at that time is











                                                             
5841

         1       that published reports have suggested that MAPCO

         2       Parking, Limited, a parking entity, of which Mr.

         3       Goldstein is a vice-president, of which he

         4       claims in his resume executive decision-making

         5       with the president of this company, that this

         6       company had given $7,000 in political campaign

         7       contributions in 1995.  $6,000 of that went to

         8       County -- Monroe County Executive -- the

         9       Republican candidate for County Executive, Jack

        10       Doyle, and $1,000 of it went to the Monroe

        11       County Republican Party.

        12                      What I intended to ask Mr.

        13       Goldstein at the time was about his involvement

        14       in those campaign contributions.  They exceed

        15       the $5,000 limit that we imposed, that this

        16       Legislature imposed.  In fact, not only did we

        17       impose a $5,000 limit, we made it a crime to

        18       give more than $5,000.  It's a crime in this

        19       state.  It's a misdemeanor, the same kind of

        20       misdemeanor that other people are prosecuted

        21       for.  We made it a misdemeanor to give more than

        22       $5,000.

        23                      We never included in the











                                                             
5842

         1       legislation a provision that said there's a

         2       "good faith" exception; if you give it in good

         3       faith and you don't know you're breaking the law

         4       that's O.K.  That's not breaking the law.

         5       That's not in the law.  Boldly and plainly, it

         6       says you give more than $5,000, it's a

         7       misdemeanor.

         8                      It's been the policy of the state

         9       Board of Elections to send a letter to everyone

        10       who gives more than $5,000, a letter that says,

        11       Oh, by the way, you're in violation of the law.

        12       You may have committed a misdemeanor.  You

        13       should ask for refunds.

        14                      What I wanted to ask Mr. Gold

        15       stein is about how those campaign contributions

        16       were solicited, who asked him to give money that

        17       was -- exceeded the state amount, the state

        18       limitation, and whether his corporation -- how

        19       he was involved in the decision, did he partake

        20       of those decisions as his resume suggests.  I

        21       wanted to know that.

        22                      In addition, I wanted to know

        23       what steps, if any, this corporation had taken











                                                             
5843

         1       to obtain refunds of the illegally contributed

         2       amount.  Seems to me before we put someone on

         3       this Authority who, at least based on published

         4       accounts, has said, "I seem to be on everyone's

         5       dance card; I can't figure out why I'm paying

         6       these extra funds," seems to me that Mr.

         7       Goldstein owed the public an explanation as to

         8       why his company -- if it isn't his company, a

         9       company of which he is the executive

        10       vice-president -- why it exceeded the state

        11       limitation, why he had given more in

        12       contributions than state law allows, and it

        13       seems to me that that explanation was owed to me

        14       as a member of the Finance Committee, to all of

        15       my colleagues and, frankly, to the people of

        16       this community.

        17                      I'm concerned about the future of

        18       the Transit Authority.  I know, Senator, that

        19       you and other Senators have been working

        20       aggressively to come up with the money to fully

        21       fund the Transportation Authority, to continue

        22       to make it work.  I applaud that effort on your

        23       part and the part of my other colleagues from











                                                             
5844

         1       Monroe County, but the future of this agency is

         2       going to be determined by the next board of

         3       directors, and it seems to me we have to have

         4       people who can withstand some public scrutiny,

         5       answer some questions about their conduct,

         6       especially when, based on published reports, it

         7       appears as though that conduct, of which they

         8       may have played a part, violated the laws of

         9       this state.

        10                      I am concerned about the transit

        11       corporation.  I have suggested to other people

        12       there is one other nominee awaiting confirmation

        13       who has been nominated by the city of Rochester.

        14       It has been sitting on the Governor's desk for

        15       the better part of six months.  It doesn't seem

        16       to be able to come because, of course, that's

        17       the nominee that comes from my Democratic

        18       colleagues who happen to sit on the City Council

        19       in the city of Rochester, a reappointment to the

        20       board; but up come two nominees that come from a

        21       County Executive and a County Legislature to

        22       which contributions were made, and it seems to

        23       me that raises a question of public propriety











                                                             
5845

         1       that Mr. Goldstein should have been here to

         2       testify and to discuss.

         3                      Mr. Goldstein lives around the

         4       corner from me.  He may be entitled to be on

         5       this job, but it seems to me, based on the

         6       evidence that I have, the information that I

         7       have and the failure of the Senate Finance

         8       Committee to hold this nomination to allow these

         9       questions to be answered, that I would urge

        10       everyone to vote in the negative on both of

        11       these nominations.

        12                      ACTING PRESIDENT KUHL:  The

        13       question is -- Senator Espada.

        14                      SENATOR ESPADA:  Thank you, Mr.

        15       President.

        16                      I agree that there is a need for

        17       scrutiny and a need for analysis of conduct.

        18       This is important business, as important as my

        19       17 students from District 7 in the South Bronx,

        20       Mr. President, who are here today in the gallery

        21       along with Desiree Sanchez, who has shepherded

        22       them here, a great educator in the South Bronx,

        23       stands for children, stands for education,











                                                             
5846

         1       stands for our future, together with those

         2       children up there.

         3                      Thank you very much, Mr.

         4       President.

         5                      ACTING PRESIDENT KUHL:  The

         6       question is on the resolution.

         7                      FROM THE GALLERY: Thank you,

         8       Senator Espada.

         9                      SENATOR GOLD:  Mr. President.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Gold.

        12                      SENATOR GOLD:  Class will tell!

        13                      ACTING PRESIDENT KUHL:  Question

        14       is on the nomination of Carlton E. Dewolff, of

        15       Fairport, and Leslie M. Goldstein, of Rochester,

        16       to become members of the Rochester-Genesee

        17       Regional Transportation Authority.

        18                      All those in favor signify by

        19       saying aye.

        20                      (Response of "Aye.")

        21                      Opposed nay.

        22                      (Response of "Nay.")

        23                      Call the roll.











                                                             
5847

         1                      (The Secretary called the roll. )

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Nozzolio to explain his vote.

         4                      SENATOR NOZZOLIO:  Thank you, Mr.

         5       President.

         6                      Mr. President, my colleagues, it

         7       should be noted that these nominees were

         8       presented to this body by the Monroe County

         9       Legislature.  It should also be noted that

        10       Rochester, almost 300 miles away from here, is a

        11       relative inconvenience to expect a nominee of

        12       this board which are -- which serves -- the

        13       nominees of this board serve as volunteers, are

        14       not paid a cent, are coming to this as a

        15       volunteer, and in the spirit of volunteerism on

        16       behalf of the community, that we can not expect

        17       three, four, five meetings, and I think Senator

        18       Dollinger, who happens to live around the corner

        19       from one of the nominees who we were scrutiniz

        20       ing would do better off by calling that nominee

        21       and seeking a meeting in Rochester.

        22                      This isn't casting aspersions on

        23       the question Senator Dollinger is raising, but











                                                             
5848

         1       rather to seek a better, more convenient way to

         2       address the questions that he presents.

         3                      I do not know Mr. Goldstein, but

         4       I do know Mr. Dewolff.  "Bud" Dewolff will pour

         5       his energies into this job, and I am proud to

         6       support his candidacy and to vote in favor of

         7       this nomination.

         8                      Thank you, Mr. President.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Nozzolio will be recorded in the affirmative.

        11                      Senator Stafford to explain his

        12       vote.

        13                      SENATOR STAFFORD:  I think I

        14       should explain my vote also.

        15                      Please let me point out and

        16       emphasize, there was a time here when many, many

        17       more candidates or nominees would appear before

        18       the Finance Committee, but we did not have the

        19       candidates or nominees appear before the

        20       standing committees that involved the subject

        21       that the person was being appointed to.

        22                      Now, in those days, they would

        23       appear, but frankly, week after week, time after











                                                             
5849

         1       time, it was extremely superficial.  Today,

         2       because the method was changed, the system was

         3       changed, without embarrassing the Senator from

         4       Nassau who is the chairman of the Transportation

         5       Committee, I assure you, anybody who gets

         6       through his committee, they're qualified.

         7       Believe me, they're qualified, and if there's

         8       anybody that takes care of his subject any

         9       better, you'll have to point he or she out to me

        10       because there isn't anyone any better.

        11                      Please let me emphasize that

        12       there was a public hearing, a public meeting

        13       where these two nominees were considered.

        14                      Thank you.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Stachowski to explain his vote.

        17                      SENATOR STACHOWSKI:  To explain

        18       my vote, Mr. President.

        19                      I'm joining Senator Dollinger in

        20       voting "no" on the nominees not because I have

        21       any problem with them.  I have a problem with

        22       the way the process transpires.

        23                      I understand there was a public











                                                             
5850

         1       hearing, but in the case of Senator Dollinger's

         2       questions, being a newer member of Finance, he

         3       didn't realize that, since they appeared in

         4       Transportation, they wouldn't appear in Finance

         5       and it didn't say would appear next to their

         6       name on the Committee notice.

         7                      The other problem is, according

         8       to Senator Dollinger, that when the public

         9       hearing took place, the questions on the

        10       probably easily cleared up question of campaign

        11       contributions, that that information wasn't

        12       available not even to Senator Dollinger, and I'm

        13       sure -- and since the committee recorder stated

        14       that it wasn't in the file that he overlooked to

        15       see that there was no problems with the

        16       candidate, there was just a couple of questions

        17       that Senator Dollinger wanted to ask.

        18                      I don't think it would have been

        19       a terrible imposition to hold these two until

        20       next week.  Quite possibly Senator Dollinger

        21       could obtain the same answers going back to

        22       Rochester and talking to them off the record.  I

        23       don't know, maybe that's possible, maybe it's











                                                             
5851

         1       not.  We'll never know, and I feel terrible that

         2       these two candidates, probably as well qualified

         3       as any we'll see, are going to have negative

         4       votes on their appointment because of the way

         5       the process took place.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Stachowski will be recorded in the negative.

         8                      Senator Gold to explain his vote.

         9                      SENATOR GOLD:  Thank you very

        10       much, Mr. President.  A lot of this has been

        11       said, but since it was in the committee and

        12       we're doing it out here, I just wanted to make a

        13       few remarks.

        14                      I really don't believe that when

        15       it comes to this Senate that every single thing

        16       we do has to be governed by procedure.  What

        17       happens is that the Majority in this house uses

        18       procedure where it's conveniet, so Senator Bruno

        19       who has said that, you know, we've got to have

        20       rules and follow our rules also has a procedure

        21       where you hold a press conference on your side,

        22       go into Rules, report a bill out for immediate

        23       vote, you don't give the committee system a











                                                             
5852

         1       chance, you don't give people in the public a

         2       chance to comment, and while "technically" -

         3       quotes/unquotes -- under the rules you can do

         4       anything, that's really a violation of the way

         5       people understand our rules and the legislative

         6       process.  So you're not wedded to rules.

         7                      Senator Dollinger may or may not

         8       have dotted "i"s and crossed "t"s and my

         9       distinguished lawyer colleague, Senator Tully,

        10       who if I can't handle a case myself I'd

        11       certainly let him defend me, made some points in

        12       the committee as to technical matters and

        13       whether Senator Dollinger dotted "i"s or crossed

        14       "t"s.  I just don't think it's relevant because

        15       if we as a body know that maybe there's a

        16       problem, I think it's more important that we

        17       clear the air than whether we worry about

        18       whether the Senator who brought up the subject

        19       was a Republican or a Democrat or dotted an "i"

        20       or crossed a "t".

        21                      Prior to the vote in the

        22       committee today, the Finance Committee, we had

        23       taken no action.  There had been no prejudice to











                                                             
5853

         1       this individual.  The fact of the matter is, as

         2       I said in the committee, that most of the time

         3       years ago we really would respect each others'

         4       own dignity within our own Senate District and

         5       while Senator Stafford met that argument with

         6       some points about his relationship with the

         7       Adirondacks, and we all are very sensitive to

         8       that, the fact is that years ago we did pay more

         9       attention, and I respect the fact that Senator

        10       Nozzolio has an interest in Rochester.  I

        11       respect the fact that Senator Dollinger also has

        12       an interest, and I don't understand why these

        13       two gentlemen have to be confirmed with negative

        14       votes and with local newspapers stories being

        15       written questioning why this Senate pooh-poohs

        16       allegations that there may have been in one case

        17       some wrongdoing and in the other one a lack of

        18       interest.

        19                      Now, I'm not suggesting that the

        20       individual who was involved with the corporate

        21       donation violated any laws, and I will concede

        22       to you that, if the law was violated, most

        23       instances of such an occurrence are remedied by











                                                             
5854

         1       a refund being made.  Nobody goes to jail;

         2       nobody gets prosecuted, but there's no reason

         3       why this record should not be clear on that and

         4       the individual's involvement should not be clear

         5       and, personally, I can tell you that, if the

         6       individual was involved in an illegal campaign

         7       contribution and made the comment that it was

         8       done by inadvertence and it was all corrected,

         9       that would scratch it off for me, but it would

        10       be nice to hear it.  It would be nice to get

        11       some of the background and I don't know why we,

        12       as a Senate, try to protect people in situations

        13       where they may not even need the protection and

        14       where we wind up protecting them out of, in some

        15       cases, their own reputation.

        16                      I mean maybe if this individual

        17       was -- was consulted about this, he might say,

        18       Look, I know it's a pain in the neck but I'll

        19       come up.  I certainly, if I'm working in

        20       government, want everybody to have complete

        21       confidence in me, and I'll make the trip.  I

        22       know that's the way I would react.  I can only

        23       imagine, since I've heard that these are non











                                                             
5855

         1       paying jobs, but these individuals are prepared

         2       to do significant social work for their

         3       communities at no pay, so it's not a money

         4       motive and maybe not having a money motive they

         5       would come to Albany for one day to make sure

         6       that they can take this job without there being

         7       any question of their motivation.

         8                      I think Senator Dollinger is

         9       directly on point in what he's doing.  I know

        10       these individuals appeared before Senator Levy

        11       and his committee, and that's fine, and I'm not

        12       suggesting that Senator Levy or his committee

        13       did anything wrong.  I'm suggesting that time

        14       goes by and, if something comes up or somebody

        15       has a question past that committee meeting, we

        16       ought to be able to take care of it or change

        17       the process.

        18                      I don't see a bill by Senator

        19       Nozzolio, maybe it's in, that these particular

        20       people should not be confirmed by the New York

        21       State Senate because they're 300 miles away, but

        22       if we have that obligation, I don't see a bill

        23       by Senator Nozzolio that says we shouldn't take











                                                             
5856

         1       the obligation seriously.

         2                      So I commend Senator Dollinger

         3       for trying to do what he's doing.  I think that,

         4       if he was allowed to do what he's doing, it

         5       might very well clear the air.

         6                      I vote in the negative.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Gold will be recorded in the negative.

         9                      Senator Tully to explain his

        10       vote.

        11                      SENATOR TULLY:  Yes, Mr.

        12       President, to explain my vote.

        13                      I think the question arises as to

        14       whether one of our colleagues had an opportun

        15       ity, a fair opportunity, to question the

        16       nominees before us and I think maybe if we

        17       review some of what Senator Gold said, it might

        18       be helpful to the rest of my colleagues.

        19                      Number one, I think Senator

        20       Nozzolio indicated that there was a local public

        21       hearing at which these nominees were considered

        22       in the area in which the colleague in question

        23       had an opportunity at that time to question











                                                             
5857

         1       these folks.

         2                      Number two, Senator Levy, the

         3       chairman of the Transportation Committee,

         4       indicated at the Finance Committee today which

         5       I'm a member of, that there was an opportunity

         6       extended to the colleague in question to

         7       question these individuals at that time even

         8       though he was not a member of the Transportation

         9       Committee.

        10                      Further, I indicated at the

        11       hearing that, as with all members of the Finance

        12       Committee, we receive a copy of the appointees

        13       beforehand, in this case on last Thursday and,

        14       as is normally the custom, if someone is to

        15       appear it completely reflects that in

        16       parentheses.  It says the words "to appear".

        17                      In answer to that, Senator

        18       Dollinger reflected that, as a new member of the

        19       committee, he was unaware of that and he was

        20       amply defended in that area by Senator

        21       Stachowski.

        22                      Now, that may well be the case

        23       but, beyond those three opportunities, assuming











                                                             
5858

         1       arguendo that -- and I take him at his word -

         2       Senator Dollinger did not know of that

         3       procedure, Senator Levy further added that, in

         4       all cases of appointees of this type, unless

         5       they're the chairpersons, they do not appear

         6       before the Senate Finance Committee.

         7                      Again, Senator Dollinger said, as

         8       a new member of the committee, he didn't know

         9       that either.  I would expect that some time

        10       between now and the next meeting of the Finance

        11       Committee that he might confer with some of his

        12       more mature members to ascertain if there is

        13       anything else he doesn't know about the workings

        14       of the Finance Committee.

        15                      But beyond that, Mr. Chairman,

        16       Senator Dollinger did have, as I had and every

        17       member had, an opportunity to look at the fact

        18       that there were appointees for confirmation and

        19       whether it was going to appear or not appear he

        20       did have the opportunity to call the chairman of

        21       the Finance Committee and/or one of his -- one

        22       of his employees and ask them whether or not he

        23       could ask these appointees to appear.  He did











                                                             
5859

         1       not, for whatever reason, choose to do that and

         2       that could have been done any day even up until

         3       this morning, and that was not done because I

         4       asked that at the Finance Committee hearing.

         5                      So I just don't understand how

         6       there was not ample opportunity for this

         7       individual to make his questioning if he desired

         8       to do so.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Tully will be voting in the affirmative.

        11                      Senator Levy, did you want to

        12       explain your vote?

        13                      SENATOR LEVY:  Yes.  Thank you

        14       very much, Mr. President.

        15                      I'd just like to clarify

        16       something that Senator Tully said.  The comment

        17       I made at Senate Finance was not that the chairs

        18       of the Regional Authority come before Finance

        19       because they don't.  The only regional authority

        20       where a chair comes before Finance is the

        21       Metropolitan Transportation Authority.  The up

        22       state chairs only come before the Transportation

        23       Committee and then go, as did these two











                                                             
5860

         1       nominees, before the Finance Committee without a

         2       personal appearance.

         3                      Now, let me just say something in

         4       regard to "Bud" Dewolff.  I had never met "Bud"

         5       Dewolff before he came before our committee.  He

         6       was very impressive to me.  He is a principal of

         7       county government in Monroe County.  His area of

         8       expertise, if my recollection serves me correct,

         9       is urban planning, as -- and with this nominee,

        10       I asked him the question that I ask all involved

        11       busy people whether they be in the public

        12       sector or the private sector -- and you were

        13       there, Senator Dollinger -- I asked him:  Given

        14       your demanding duties, are you going to have the

        15       time to devote to being a member of this

        16       Authority, and if my recollection likewise

        17       serves me correct, he said, "I never do anything

        18       other than one hundred percent of my time and my

        19       attention and, if I'm not going to provide that

        20       time and attention, I wouldn't be here and I

        21       wouldn't take on this responsibility."

        22                      And if my recollection also

        23       serves me correct, the ranking member of my











                                                             
5861

         1       committee -- and I think they were all positive

         2       votes from every member of the committee on Mr.

         3       Dewolff's nomination as there was for the other

         4       nominee -- I think that somebody on your side of

         5       the aisle thanked Mr. Dewolff for making himself

         6       available and devoting the time that he was

         7       going to give to be a member of this Authority

         8       and said how lucky the people were who utilize

         9       this system and pay taxes in that region to have

        10       him as a member of the Authority.

        11                      I vote aye.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Levy will be recorded in the affirmative.

        14                      Announce the results.

        15                      SENATOR DOLLINGER:  Mr.

        16       President, may I explain my vote?

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Dollinger, to explain his vote.

        19                      SENATOR DOLLINGER:  I appreciate

        20       Senator Levy's accurate summary of the

        21       Transportation discussion.  I concur with that.

        22                      Senator Tully, I -- just to

        23       clarify, I was -- I'm not a member of the











                                                             
5862

         1       Transportation Committee as you know.  I'm not

         2       aware of any prior public hearing at which this

         3       was discussed either here or in Rochester.

         4                      I was present at the discussion

         5       with "Bud" Dewolff.  I was not present at the

         6       discussion with Mr. Goldstein, and I don't know,

         7       perhaps Senator Levy can amplify by just shaking

         8       his head, whether that occurred off the floor or

         9       not, but I wasn't aware that Mr. Goldstein was

        10       in town.

        11                      In addition, I wasn't aware, I

        12       believe at the time that the Transportation

        13       Committee met with him, of the issue that was

        14       raised today; I wasn't aware of it.  I found out

        15       through published reports last week, and it

        16       seems to me that the issue should have been

        17       broached now considering there's new information

        18       which was not in the original report conducted

        19       by the Senate Finance Committee staff when they

        20       did the evaluation of this nominee.

        21                      It seems to me, based on that new

        22       information as I sit here today, it's my

        23       obligation as someone whose constituents use











                                                             
5863

         1       this transit authority in large numbers, to

         2       raise these issues and to have a result.

         3                      The other thing, frankly, that I

         4       would have asked Mr. Goldstein had I had the

         5       opportunity is whether or not his occupation as

         6       a parking lot operator was inconsistent with his

         7       obligations as a transit authority person

         8       because seems to me there's a logical question

         9       to be asked about whether someone who's in the

        10       business of selling parking lot space and

        11       administering parking lot space has an incentive

        12       to get people out of their cars, out of parking

        13       lots and into public transportation.  Seems to

        14       me a critical issue that we face in Rochester.

        15       I know you face it throughout New York State,

        16       certainly in the metropolitan area as well, but

        17       the notion that a parking lot operator is going

        18       to sit on a transit authority is another area

        19       which I felt required Mr. Goldstein to at least

        20       comment on that seeming conflict between his

        21       role in his private life selling parking spaces

        22       and in his public life selling public

        23       transportation.











                                                             
5864

         1                      I'm not going to be able to do

         2       that.  I'm not going to be able to ask him about

         3       the other issues relating to campaign

         4       contributions.  I think that's a significant

         5       flaw in our process.  I -- I'll apologize to the

         6       chairman of the Tran... chairman of the Finance

         7       Committee.  I don't mean to impugn anything

         8       about the way the committee has handled this

         9       except I believe, based on new knowledge, based

        10       on new information, perhaps I should have called

        11       the Senate chairman, the chairman of the Finance

        12       Committee.  I'm not used to doing that; maybe I

        13       should start, but it seems to me when I've got

        14       information that the public needs to have an

        15       answer to, it's not just a question of my

        16       calling Mr. Goldstein and saying, Can you

        17       explain to me what this is all about?  Seems to

        18       me the broader issue is Mr. Goldstein owes an

        19       explanation to the public and that's what I

        20       sought here.

        21                      That's what I've been denied and

        22       so under these circumstances although -- and I

        23       will repeat what Senator Gold said -- had I had











                                                             
5865

         1       the opportunity to talk to "Bud" Dewolff in a

         2       public meeting in the Senate Finance Committee,

         3       had I been able to get answers from Mr.

         4       Goldstein about the campaign contributions,

         5       there is a possibility -- I wouldn't rule it out

         6        -- that I would vote for both gentlemen, but

         7       without answers, without the opportunity to get

         8       them from the horses' mouth, I'm compelled to

         9       vote no.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Dollinger will be recorded in the negative.

        12                      Announce the results.

        13                      THE SECRETARY:  Those recorded in

        14       the negative are Senators Dollinger, Gold,

        15       Leichter and Stachowski.  Ayes 52, nays 4.

        16                      ACTING PRESIDENT KUHL:  The

        17       nominees are confirmed.

        18                      Senator Stachowski, why do you

        19       rise?

        20                      SENATOR STACHOWSKI:  Mr.

        21       President, I know it's unusual to introduce

        22       people, and I know I'm not going to get a

        23       standing rousing ovation back, but today we have











                                                             
5866

         1       a guest in the chamber from California who is

         2       observing the proceedings.  Normally, this would

         3       be something Senator Goodman would do because

         4       it's a person from the field of the arts and

         5       before him, Senator Lombardi was a close

         6       personal friend of our guest who is with us, but

         7       we have with us an actor from Hollywood, Peter

         8       Mark Richman, who happens to be a friend and, if

         9       you're wondering why it's I who's introducing

        10       him, he's also a member of the Philadelphia

        11       Football Hall of Fame as a football player.

        12                      And so I'd just like to take the

        13       time to introduce Peter Mark Richman, observing

        14       our proceedings today from California.

        15                      ACTING PRESIDENT KUHL:  Welcome,

        16       appreciate your joining us in the chamber.

        17                      (Applause)

        18                      Senator Skelos.

        19                      SENATOR SKELOS:  Mr. President,

        20       there will be an immediate meeting of the Rules

        21       Committee in Room 332 of the Capitol.

        22                      ACTING PRESIDENT KUHL:  Immediate

        23       meeting of the Rules Committee, immediate











                                                             
5867

         1       meeting of the Rules Committee in the Majority

         2       Conference Room, Room 332.

         3                      SENATOR SKELOS:  Mr. President,

         4       at this time could we adopt the Resolution

         5       Calendar.

         6                      ACTING PRESIDENT KUHL:  Return to

         7       motions and resolutions.  All those in favor of

         8       adopting the Resolution Calendar signify by

         9       saying aye.

        10                      (Response of "Aye.")

        11                      Opposed nay.

        12                      (There was no response.)

        13                      The Resolution Calendar is

        14       adopted.

        15                      Senator DeFrancisco.

        16                      SENATOR DeFRANCISCO: I wish to

        17       call up Assembly Bill Number 5417.

        18                      ACTING PRESIDENT KUHL: Secretary

        19       will read Calendar Number 219.

        20                      THE SECRETARY:  Calendar Number

        21       219, by member of the Assembly Canestrari,

        22       Assembly Bill Number 5417, an act to amend the

        23       Economic Development Law.











                                                             
5868

         1                      ACTING PRESIDENT KUHL:  Senator

         2       DeFrancisco.

         3                      SENATOR DeFRANCISCO:  I move to

         4       reconsider the vote by which this Assembly bill

         5       was substituted for Senate Bill Number 3173 on

         6       February 19th.

         7                      ACTING PRESIDENT KUHL:  Secretary

         8       will call the roll on reconsideration.

         9                      (The Secretary called the roll on

        10       reconsideration.)

        11                      THE SECRETARY:  Ayes 56.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       DeFrancisco.

        14                      SENATOR DeFRANCISCO:  I now move

        15       that Assembly Bill 5417 be recommitted to the

        16       Committee on Rules and the Senate bill be

        17       restored to the order of the Third Reading

        18       Calendar.

        19                      ACTING PRESIDENT KUHL:  Assembly

        20       bill is recommitted and the Senate bill is

        21       restored.

        22                      SENATOR DeFRANCISCO:  I now offer

        23       the following amendments.











                                                             
5869

         1                      ACTING PRESIDENT KUHL:

         2       Amendments are received.

         3                      Senator DeFrancisco.

         4                      SENATOR DeFRANCISCO:  I request a

         5       sponsor's star be placed on on Senate Bill 833.

         6                      ACTING PRESIDENT KUHL:  Senate

         7       Bill 833 is starred at the request of the

         8       sponsor.

         9                      Senator Marcellino, that brings

        10       us to the calendar.

        11                      SENATOR MARCELLINO:  Mr.

        12       President, can we have the reading of the non

        13       controversial calendar.

        14                      ACTING PRESIDENT KUHL:  Secretary

        15       will read the non-controversial calendar.

        16                      THE SECRETARY:  On page 4,

        17       Calendar Number 60, by Senator Larkin, Senate

        18       Print 69-A, an act to amend the Insurance Law

        19       and the Tax Law, in relation to supplemental

        20       health insurance.

        21                      SENATOR ONORATO:  Lay the bill

        22       aside.

        23                      ACTING PRESIDENT KUHL:  Lay the











                                                             
5870

         1       bill aside.

         2                      THE SECRETARY:  Calendar Number

         3       286, by Senator Cook, Senate Print 258, an act

         4       to amend the Real Property Tax Law, in relation

         5       to making certain state lands subject to

         6       taxation.

         7                      ACTING PRESIDENT KUHL:  Secretary

         8       will read the last section.

         9                      THE SECRETARY:  Section 2.  This

        10       act shall take effect immediately.

        11                      ACTING PRESIDENT KUHL:  Call the

        12       roll.

        13                      (The Secretary called the roll. )

        14                      THE SECRETARY:  Ayes 56.

        15                      ACTING PRESIDENT KUHL:  The bill

        16       is passed.

        17                      THE SECRETARY:  Calendar Number

        18       381, by Senator DeFrancisco, Senate Print 3520

        19       A, an act to amend the Social Services Law, in

        20       relation to the transportation of certain

        21       persons.

        22                      SENATOR ONORATO:  Lay aside.

        23                      ACTING PRESIDENT KUHL:  Lay the











                                                             
5871

         1       bill aside.

         2                      THE SECRETARY:  Calendar Number

         3       430, by Senator Goodman, Senate Print 4632-C, an

         4       act to amend the General Business Law, in

         5       relation to additional civil penalties for

         6       consumer frauds.

         7                      ACTING PRESIDENT KUHL:  Secretary

         8       will read the last section.

         9                      THE SECRETARY:  Section 2.  This

        10       act shall take effect on November 1st.

        11                      ACTING PRESIDENT KUHL:  Call the

        12       roll.

        13                      (The Secretary called the roll. )

        14                      THE SECRETARY:  Ayes 56.

        15                      ACTING PRESIDENT KUHL:  The bill

        16       is passed.

        17                      THE SECRETARY:  Calendar Number

        18       449, by Senator Marcellino, Senate Print 6213-A,

        19       an act to amend the Environmental Conservation

        20       Law, in relation to the drawing off of water

        21       from storage reservoirs.

        22                      ACTING PRESIDENT KUHL:  Secretary

        23       will read the last section.











                                                             
5872

         1                      THE SECRETARY:  Section 2.  This

         2       act shall take effect on the 1st day of January.

         3                      ACTING PRESIDENT KUHL:  Call the

         4       roll.

         5                      (The Secretary called the roll. )

         6                      THE SECRETARY:  Ayes 56.

         7                      ACTING PRESIDENT KUHL:  The bill

         8       is passed.

         9                      THE SECRETARY:  Calendar Number

        10       500, by the Assembly Committee on Rules,

        11       Assembly Print 8383, an act to amend the

        12       Election Law, in relation to the determination

        13       of ballot positions.

        14                      SENATOR ONORATO:  Lay aside.

        15                      ACTING PRESIDENT KUHL:  Lay the

        16       bill aside.

        17                      THE SECRETARY:  Calendar Number

        18       520, by member of the Assembly DiNapoli,

        19       Assembly Print 8846-A, an act to amend the

        20       Environmental Conservation Law, in relation to

        21       the Central Pine Barrens comprehensive land use

        22       plan.

        23                      ACTING PRESIDENT KUHL:  Secretary











                                                             
5873

         1       will read the last section.

         2                      THE SECRETARY:  Section 2.  This

         3       act shall take effect immediately.

         4                      ACTING PRESIDENT KUHL:  Call the

         5       roll.

         6                      (The Secretary called the roll. )

         7                      THE SECRETARY:  Ayes 56.

         8                      ACTING PRESIDENT KUHL:  The bill

         9       is passed.

        10                      THE SECRETARY:  Calendar Number

        11       535, by Senator Johnson, Senate Print 4470, an

        12       act to amend the Election Law, in relation to

        13       distributing the names of inactive voters.

        14                      ACTING PRESIDENT KUHL:  Secretary

        15       will read the last section.

        16                      THE SECRETARY:  Section 3.  This

        17       act shall take effect immediately.

        18                      ACTING PRESIDENT KUHL:  Call the

        19       roll.

        20                      (The Secretary called the roll. )

        21                      ACTING PRESIDENT KUHL:  Senator

        22       DiCarlo to explain his vote.

        23                      SENATOR DiCARLO:  Yes, Mr.











                                                             
5874

         1       President, just to explain my vote.

         2                      I'm going to vote in the

         3       negative.  I did so last year and it's not

         4       because I don't think it's a good bill; it's

         5       just that I think this is something that should

         6       be done in the entire state of New York to stop

         7       the fraud that is rampant in terms of people who

         8       haven't voted in decades who are kept on the

         9       rolls and others vote for them, and it's

        10       prevalent throughout my county, and I just wish

        11       a good bill like this could be done statewide.

        12                      Vote in the negative.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       DiCarlo will be recorded in the negative.

        15                      Announce the results.

        16                      THE SECRETARY:  Those recorded in

        17       the negative on Calendar Number 535 are Senators

        18       DiCarlo and Smith.  Ayes 54, nays 2.

        19                      ACTING PRESIDENT KUHL:  The bill

        20       is passed.

        21                      THE SECRETARY:  Calendar Number

        22       662, by the Assembly Committee on Rules,

        23       Assembly Bill 8292, an act to amend the











                                                             
5875

         1       Surrogate's Court Procedure Act, in relation to

         2       the commissions of trustees.

         3                      SENATOR MARCELLINO:  Lay the bill

         4       aside for the day at the request of the sponsor,

         5       please.

         6                      ACTING PRESIDENT KUHL:  Lay the

         7       bill aside for the day.

         8                      THE SECRETARY:  Calendar Number

         9       681, by Senator DeFrancisco, Senate Print 6375,

        10       an act to amend the Highway Law, in relation to

        11       components of the state scenic byways system.

        12                      SENATOR ONORATO:  Lay aside.

        13                      ACTING PRESIDENT KUHL:  Lay the

        14       bill aside.

        15                      THE SECRETARY:  Calendar Number

        16       717, by Senator Libous, Senate Print 6756, an

        17       act to amend the Mental Hygiene Law, in relation

        18       to charging fees for mental hygiene services.

        19                      SENATOR ONORATO:  Lay aside.

        20                      ACTING PRESIDENT KUHL:  Lay the

        21       bill aside.

        22                      THE SECRETARY:  Calendar Number

        23       750, by Senator Larkin, Senate Print 6119, an











                                                             
5876

         1       act to amend the Vehicle and Traffic Law, in

         2       relation to eliminating the additional annual

         3       service charge for Pearl Harbor survivors

         4       special number plates.

         5                      ACTING PRESIDENT KUHL:  Secretary

         6       will read the last section.

         7                      THE SECRETARY:  Section 2.  This

         8       act shall take effect on the 30th day.

         9                      ACTING PRESIDENT KUHL:  Call the

        10       roll.

        11                      (The Secretary called the roll. )

        12                      THE SECRETARY:  Ayes 56.

        13                      ACTING PRESIDENT KUHL:  The bill

        14       is passed.

        15                      THE SECRETARY:  Calendar Number

        16       789, by Senator Goodman, Senate Print 1921-A, an

        17       act to amend the Alcoholic Beverage Control Law,

        18       in relation to the information required in

        19       license or permit applications.

        20                      SENATOR ONORATO:  Lay aside.

        21                      ACTING PRESIDENT KUHL:  Lay the

        22       bill aside.

        23                      THE SECRETARY:  Calendar Number











                                                             
5877

         1       835, by Senator DeFrancisco, Senate Print 6788

         2       A, an act to amend the Canal Law, in relation to

         3       the abandonment and sale of certain canal

         4       lands.

         5                      SENATOR ONORATO:  Lay aside.

         6                      ACTING PRESIDENT KUHL:  Lay the

         7       bill aside.

         8                      THE SECRETARY:  Calendar Number

         9       881, by Senator Padavan, Senate Print 2531, an

        10       act to amend the State Finance Law and the

        11       General Municipal Law, in relation to the

        12       authority of the state agencies.

        13                      ACTING PRESIDENT KUHL:  Secretary

        14       will read the last section.

        15                      THE SECRETARY:  Section 5.  This

        16       act shall take effect on the 1st day of

        17       September.

        18                      ACTING PRESIDENT KUHL:  Call the

        19       roll.

        20                      (The Secretary called the roll. )

        21                      THE SECRETARY:  Ayes 56.

        22                      ACTING PRESIDENT KUHL:  The bill

        23       is passed.











                                                             
5878

         1                      THE SECRETARY:  Calendar Number

         2       953, by Senator Maltese, Senate Print 6992, an

         3       act to amend the Election Law, in relation to

         4       cancelling military and special federal voters.

         5                      ACTING PRESIDENT KUHL:  Secretary

         6       will read the last section.

         7                      THE SECRETARY:  Section 5.  This

         8       act shall take effect immediately.

         9                      ACTING PRESIDENT KUHL:  Call the

        10       roll.

        11                      (The Secretary called the roll. )

        12                      THE SECRETARY:  Ayes 56.

        13                      ACTING PRESIDENT KUHL:  The bill

        14       is passed.

        15                      THE SECRETARY:  Calendar Number

        16       958, by member of the Assembly Kaufman, Assembly

        17       Print 3875, an act to amend the Insurance Law,

        18       in relation to prohibiting insurers from

        19       refusing to renew an existing motor vehicle

        20       liability insurance.

        21                      ACTING PRESIDENT KUHL:  Secretary

        22       will read the last section.

        23                      THE SECRETARY:  Section 2.  This











                                                             
5879

         1       act shall take effect on the 60th day.

         2                      ACTING PRESIDENT KUHL:  Call the

         3       roll.

         4                      (The Secretary called the roll. )

         5                      THE SECRETARY:  Ayes 56.

         6                      ACTING PRESIDENT KUHL:  The bill

         7       is passed.

         8                      THE SECRETARY:  Calendar Number

         9       966, by Senator Trunzo, Senate Print 3027-A, an

        10       act to amend the Retirement and Social Security

        11       law, in relation to optional retirement.

        12                      ACTING PRESIDENT KUHL:  Secretary

        13       will read the last section.

        14                      THE SECRETARY:  Section 3.  This

        15       act shall take effect immediately.

        16                      ACTING PRESIDENT KUHL:  Call the

        17       roll.

        18                      (The Secretary called the roll. )

        19                      THE SECRETARY:  Ayes 56.

        20                      ACTING PRESIDENT KUHL:  The bill

        21       is passed.

        22                      THE SECRETARY:  Calendar Number

        23       1006, by Senator Hannon, Senate Print 6725-A, an











                                                             
5880

         1       act to amend the Public Health Law, in relation

         2       to establishing the Alzheimer's Community

         3       Assistance Program.

         4                      ACTING PRESIDENT KUHL:  Secretary

         5       will read the last section.

         6                      THE SECRETARY:  Section 2.  This

         7       act shall take effect immediately.

         8                      ACTING PRESIDENT KUHL:  Call the

         9       roll.

        10                      (The Secretary called the roll. )

        11                      THE SECRETARY:  Ayes 56.

        12                      ACTING PRESIDENT KUHL:  The bill

        13       is passed.

        14                      THE SECRETARY:  Calendar Number

        15       1008, by Senator DiCarlo, Senate Print Number

        16       7291, an act to amend Chapter 841 of the Laws of

        17       1987, relating to the combined senior citizen

        18       services.

        19                      ACTING PRESIDENT KUHL:  Secretary

        20       will read the last section.

        21                      THE SECRETARY:  Section 3.  This

        22       act shall take effect immediately.

        23                      ACTING PRESIDENT KUHL:  Call the











                                                             
5881

         1       roll.

         2                      (The Secretary called the roll. )

         3                      THE SECRETARY:  Ayes 56.

         4                      ACTING PRESIDENT KUHL:  The bill

         5       is passed.

         6                      THE SECRETARY:  Calendar Number

         7       1009, by Senator Maziarz, Senate Print 7312.

         8                      SENATOR MARCELLINO:  Lay the bill

         9       aside for the day at the request of the sponsor.

        10                      ACTING PRESIDENT KUHL:  Lay the

        11       bill aside for the day.

        12                      THE SECRETARY:  Calendar Number

        13       1011, by Senator Cook, Senate Print 6274-A, an

        14       act to amend the General City Law, the Town Law

        15       and the Village Law, in relation to the filing

        16       of decisions.

        17                      ACTING PRESIDENT KUHL:  Secretary

        18       will read the last section.

        19                      THE SECRETARY:  Section 21.  This

        20       act shall take effect immediately.

        21                      ACTING PRESIDENT KUHL:  Call the

        22       roll.

        23                      (The Secretary called the roll. )











                                                             
5882

         1                      THE SECRETARY:  Ayes 56.

         2                      ACTING PRESIDENT KUHL:  The bill

         3       is passed.

         4                      THE SECRETARY:  Calendar Number

         5       1023, by Senator Present, Senate Print 767-A, an

         6       act to amend the County Law, in relation to the

         7       allocation of funds for Cooperative Extension

         8       Associations.

         9                      SENATOR ONORATO: Lay aside.

        10                      ACTING PRESIDENT KUHL:  There is

        11       a local fiscal impact note at the desk.  Lay the

        12       bill aside.

        13                      THE SECRETARY:  Calendar Number

        14       1025, by Senator Padavan, Senate Print 2692, an

        15       act to amend the General Municipal Law, in

        16       relation to powers of municipalities in urban

        17       renewal areas.

        18                      ACTING PRESIDENT KUHL:  Secretary

        19       will read the last section.

        20                      THE SECRETARY:  Section 2.  This

        21       act shall take effect immediately.

        22                      ACTING PRESIDENT KUHL:  Call the

        23       roll.











                                                             
5883

         1                      (The Secretary called the roll. )

         2                      THE SECRETARY:  Ayes 56.

         3                      ACTING PRESIDENT KUHL:  The bill

         4       is passed.

         5                      THE SECRETARY:  Calendar Number

         6       1026, by Senator Wright, Senate Print 3184-A, an

         7       act to amend the Real Property Tax Law, in

         8       relation to subjecting lands within the Tug Hill

         9       region to taxation.

        10                      ACTING PRESIDENT KUHL:  Secretary

        11       will read the last section.

        12                      THE SECRETARY:  Section 2.  This

        13       act shall take effect on the 1st day of January.

        14                      ACTING PRESIDENT KUHL:  Call the

        15       roll.

        16                      (The Secretary called the roll. )

        17                      THE SECRETARY:  Ayes 56.

        18                      ACTING PRESIDENT KUHL:  The bill

        19       is passed.

        20                      THE SECRETARY:  Calendar Number

        21       1028, by Senator Seward, Senate Print 4220, an

        22       act to amend the County Law, in relation to

        23       establishing county communications systems











                                                             
5884

         1       improvement districts.

         2                      ACTING PRESIDENT KUHL:  Secretary

         3       will read the last section.

         4                      THE SECRETARY:  Section 2.  This

         5       act shall take effect on the 1st day of January.

         6                      ACTING PRESIDENT KUHL:  Call the

         7       roll.

         8                      (The Secretary called the roll. )

         9                      THE SECRETARY:  Ayes 56.

        10                      ACTING PRESIDENT KUHL:  The bill

        11       is passed.

        12                      THE SECRETARY:  Calendar Number

        13       1042, by Senator Marcellino, Senate Print 7132

        14       A, an act to amend the General Municipal Law, in

        15       relation to authorizing local governments to

        16       deposit public monies.

        17                      ACTING PRESIDENT KUHL:  Secretary

        18       will read the last section.

        19                      THE SECRETARY:  Section 2.  This

        20       act shall take effect immediately.

        21                      ACTING PRESIDENT KUHL:  Call the

        22       roll.

        23                      (The Secretary called the roll. )











                                                             
5885

         1                      THE SECRETARY:  Ayes 56.

         2                      ACTING PRESIDENT KUHL:  The bill

         3       is passed.

         4                      THE SECRETARY:  Calendar Number

         5       1058, by Senator Levy, Senate Print 5207-A, an

         6       act to amend the Estates, Powers and Trusts Law,

         7       in relation to honorary trusts for pets.

         8                      ACTING PRESIDENT KUHL:  Secretary

         9       will read the last section.

        10                      THE SECRETARY:  Section 2.  This

        11       act shall take effect immediately.

        12                      ACTING PRESIDENT KUHL:  Call the

        13       roll.

        14                      THE SECRETARY:  Ayes 56.

        15                      ACTING PRESIDENT KUHL:  The bill

        16       is passed.

        17                      THE SECRETARY:  Calendar Number

        18       1061, by member of the Assembly Vitaliano,

        19       Assembly Print 9118, an act to amend the Lien

        20       Law, in relation to expanding the time periods

        21       for service of a copy of a notice of a lien.

        22                      ACTING PRESIDENT KUHL:  Secretary

        23       will read the last section.











                                                             
5886

         1                      THE SECRETARY:  Section 4.  This

         2       act shall take effect on the 30th day.

         3                      ACTING PRESIDENT KUHL:  Call the

         4       roll.

         5                      (The Secretary called the roll. )

         6                      THE SECRETARY:  Ayes 56.

         7                      ACTING PRESIDENT KUHL:  The bill

         8       is passed.

         9                      THE SECRETARY:  Calendar Number

        10       1062, by Senator Skelos, Senate Print 6561.

        11                      SENATOR MARCELLINO:  Lay it aside

        12       for the day at the request of the sponsor.

        13                      ACTING PRESIDENT KUHL:  Lay the

        14       bill aside for the day.

        15                      THE SECRETARY:  Calendar Number

        16       1064, by Senator Lack, Senate Bill 7014, an act

        17       to amend the Judiciary Law, in relation to

        18       providing an employee who is absent from

        19       employment to serve as a juror.

        20                      ACTING PRESIDENT KUHL:  Secretary

        21       will read the last section.

        22                      THE SECRETARY:  Section 4.  This

        23       act shall take effect immediately.











                                                             
5887

         1                      ACTING PRESIDENT KUHL:  Call the

         2       roll.

         3                      (The Secretary called the roll. )

         4                      THE SECRETARY:  Ayes 56.

         5                      ACTING PRESIDENT KUHL:  The bill

         6       is passed.

         7                      THE SECRETARY:  Calendar Number

         8       1068, by Senator Marcellino, Senate Print 7396,

         9       an act to amend the Environmental Conservation

        10       Law, in relation to exempting tires.

        11                      ACTING PRESIDENT KUHL:  Secretary

        12       will read the last section.

        13                      THE SECRETARY:  Section 2.  This

        14       act shall take effect immediately.

        15                      ACTING PRESIDENT KUHL:  Call the

        16       roll.

        17                      (The Secretary called the roll. )

        18                      THE SECRETARY:  Ayes 56.

        19                      ACTING PRESIDENT KUHL:  The bill

        20       is passed.

        21                      THE SECRETARY:  Calendar Number

        22       1076, by Senator Goodman, Senate Print 6308, an

        23       act to amend the Tax Law, in relation to











                                                             
5888

         1       providing for the disclosure of alcoholic

         2       beverage tax information.

         3                      ACTING PRESIDENT KUHL:  Secretary

         4       will read the last section.

         5                      THE SECRETARY:  Section 2.  This

         6       act shall take effect immediately.

         7                      ACTING PRESIDENT KUHL:  Call the

         8       roll.

         9                      (The Secretary called the roll. )

        10                      THE SECRETARY:  Ayes 56.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      THE SECRETARY:  Calendar Number

        14       1083, by Senator LaValle, Senate Print 7095, an

        15       act to amend the Tax Law, in relation to

        16       exemption from the real property transfer tax.

        17                      ACTING PRESIDENT KUHL:  Secretary

        18       will read the last section.

        19                      THE SECRETARY:  Section 2.  This

        20       act shall take effect on the 1st day of July.

        21                      ACTING PRESIDENT KUHL:  Call the

        22       roll.

        23                      (The Secretary called the roll. )











                                                             
5889

         1                      THE SECRETARY:  Ayes 56.

         2                      ACTING PRESIDENT KUHL:  The bill

         3       is passed.

         4                      THE SECRETARY:  Calendar Number

         5       1087, by Senator Volker, Senate Print 265-A, an

         6       act to amend the Civil Practice Law and Rules,

         7       in relation to requiring disclosure to courts.

         8                      ACTING PRESIDENT KUHL:  Secretary

         9       will read the last section.

        10                      THE SECRETARY:  Section 5.  This

        11       act shall take effect immediately.

        12                      ACTING PRESIDENT KUHL:  Call the

        13       roll.

        14                      (The Secretary called the roll. )

        15                      THE SECRETARY:  Ayes 56.

        16                      ACTING PRESIDENT KUHL:  The bill

        17       is passed.

        18                      THE SECRETARY:  Calendar Number

        19       1089, by Senator Sears, Senate Print 1177-B, an

        20       act to amend the Criminal Procedure Law and the

        21       Education Law, in relation to the appointment of

        22       security officers.

        23                      ACTING PRESIDENT KUHL:  Secretary











                                                             
5890

         1       will read the last section.

         2                      THE SECRETARY:  Section 3.  This

         3       act shall take effect immediately.

         4                      ACTING PRESIDENT KUHL:  Call the

         5       roll.

         6                      (The Secretary called the roll. )

         7                      ACTING PRESIDENT KUHL:  Announce

         8       the results.

         9                      THE SECRETARY:  Ayes 55, nays 1,

        10       Senator Leichter recorded in the negative.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      THE SECRETARY:  Calendar Number

        14       1091, by Senator Volker, Senate Print Number

        15       1479, an act to amend the Civil Practice Law and

        16       Rules, in relation to permitting the joinder of

        17       consumer credit transaction claims.

        18                      ACTING PRESIDENT KUHL:  Secretary

        19       will read the last section.

        20                      THE SECRETARY:  Section 2.  This

        21       act shall take effect on the 1st day of January.

        22                      ACTING PRESIDENT KUHL:  Call the

        23       roll.











                                                             
5891

         1                      (The Secretary called the roll. )

         2                      THE SECRETARY:  Ayes 56.

         3                      ACTING PRESIDENT KUHL:  The bill

         4       is passed.

         5                      THE SECRETARY:  Calendar Number

         6       1095, by Senator DeFrancisco, Senate Bill

         7       4230-A, an act to amend the Civil Practice Law

         8       and Rules, in relation to the confidentiality of

         9       certain privileged information.

        10                      ACTING PRESIDENT KUHL:  Secretary

        11       will read the last section.

        12                      THE SECRETARY:  Section 3.  This

        13       act shall take effect immediately.

        14                      ACTING PRESIDENT KUHL:  Call the

        15       roll.

        16                      (The Secretary called the roll.)

        17                      THE SECRETARY:  Ayes 56.

        18                      ACTING PRESIDENT KUHL:  The bill

        19       is passed.

        20                      THE SECRETARY:  Calendar Number

        21       1097, by Senator Volker, Senate Print Number

        22       4453-A, an act to amend the Civil Practice Law

        23       and Rules, in relation to fees of certain











                                                             
5892

         1       appellate courts.

         2                      ACTING PRESIDENT KUHL:  Secretary

         3       will read the last section.

         4                      THE SECRETARY:  Section 2.  This

         5       act shall take effect ten days after it shall

         6       have become a law.

         7                      ACTING PRESIDENT KUHL:  Call the

         8       roll.

         9                      (The Secretary called the roll.)

        10                      THE SECRETARY:  Ayes 56.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      THE SECRETARY:  Calendar Number

        14       1167, by Senator Holland, Senate Print 1468, an

        15       act to amend the Social Services Law, in

        16       relation to requiring an address as a condition

        17       of receiving assistance.

        18                      SENATOR ONORATO:  Lay aside.

        19                      ACTING PRESIDENT KUHL:  Lay the

        20       bill aside.

        21                      THE SECRETARY:  Calendar Number

        22       1182, by member of the Assembly Hochberg,

        23       Assembly Print 9098, an act to amend the











                                                             
5893

         1       Personal Property Law, in relation to

         2       authorizing the White Plains Parking Authority

         3       to accept credit cards.

         4                      ACTING PRESIDENT KUHL:  There's a

         5       home rule message at the desk.  Secretary will

         6       read the last section.

         7                      THE SECRETARY:  Section 2.  This

         8       act shall take effect immediately.

         9                      ACTING PRESIDENT KUHL:  Call the

        10       roll.

        11                      (The Secretary called the roll. )

        12                      THE SECRETARY:  Ayes 56.

        13                      ACTING PRESIDENT KUHL:  The bill

        14       is passed.

        15                      Senator Marcellino, that

        16       completes the non-controversial calendar.

        17                      SENATOR MARCELLINO:  Mr.

        18       President, can we recognize Senator Libous for a

        19       moment, please.

        20                      ACTING PRESIDENT KUHL:  Chair

        21       recognizes Senator Libous.

        22                      SENATOR LIBOUS:  Thank you, Mr.

        23       President.











                                                             
5894

         1                      Could I have unanimous consent to

         2       be recorded negative on Calendar Number 881,

         3       please.

         4                      ACTING PRESIDENT KUHL:  Without

         5       objection, hearing no objection, Senator Libous

         6       will be recorded in the negative on Calendar

         7       Number 881.

         8                      Senator Montgomery.

         9                      SENATOR MONTGOMERY:  Yes, Mr.

        10       President.  I would like unanimous consent to be

        11       recorded in the negative on Calendar Number

        12       1089.

        13                      ACTING PRESIDENT KUHL:  Without

        14       objection, hearing no objection, Senator

        15       Montgomery will be recorded in the negative on

        16       Calendar Number 1089.

        17                      Senator Oppenheimer.

        18                      SENATOR OPPENHEIMER:  Mr.

        19       President, I was excused yesterday from session,

        20       but if I had been present at yesterday's

        21       session, I would have voted in opposition to S.

        22       4564, which was Calendar 895 yesterday.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
5895

         1       Oppenheimer, the record will reflect that had

         2       you been in the chamber yesterday whenever the

         3       vote was taken on Calendar Number 895, Senate

         4       Print 4564, that you would have voted in the

         5       negative.

         6                      Senator Marcellino.

         7                      SENATOR MARCELLINO:  Mr.

         8       President, may we please return to reports of

         9       standing committees.  I believe there is a

        10       report from the Rules Committee at the desk.

        11                      ACTING PRESIDENT KUHL:  There is

        12       a report of the Rules Committee at the desk.

        13       I'll ask the Secretary to read.

        14                      THE SECRETARY:  Senator Bruno,

        15       from the Committee on Rules, offers up the

        16       following bills directly for third reading:

        17                      Senate Print 6669-B, by Senator

        18       Marchi, an act to amend the Environmental

        19       Conservation Law, in relation to solid waste

        20       management;

        21                      7164-A, by Senator Bruno, an act

        22       to amend the Workers' Compensation Law, the

        23       Civil Practice Law and the Labor Law, the State











                                                             
5896

         1       Finance Law, the Volunteer Firemen's Law, in

         2       relation to expiration of Article 4 of such

         3       laws;

         4                      And Senate Print 7524, by Senator

         5       Wright, an act to amend Chapter 640 of the Laws

         6       of 1990, amending the Public Health Law.

         7                      All bills directly for third

         8       reading.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Marcellino.

        11                      SENATOR MARCELLINO:  I move to

        12       accept the report of the Rules Committee,

        13       please.

        14                      ACTING PRESIDENT KUHL:  Motion is

        15       to accept the report of the Rules Committee.

        16       All those in favor signify by saying aye.

        17                      (Response of "Aye.")

        18                      Opposed nay.

        19                      (There was no response. )

        20                      The report is accepted.  The

        21       bills are reported directly to third reading.

        22                      Senator Marcellino.

        23                      SENATOR MARCELLINO:  Thank you,











                                                             
5897

         1       Mr. President.

         2                      May we now return to the reading

         3       of the controversial calendar.

         4                      ACTING PRESIDENT KUHL:  Secretary

         5       will read the controversial calendar beginning

         6       with Calendar Number 60, Senate Bill 69-A, by

         7       Senator Larkin.

         8                      THE SECRETARY:  Calendar Number

         9       60, by Senator Larkin, Senate Print 69-A.

        10                      SENATOR PATERSON:  Explanation.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Larkin, an explanation of Calendar Number 60 has

        13       been asked for.

        14                      SENATOR LARKIN:  Yes, Mr.

        15       President.

        16                      This bill will allow employers to

        17       establish supplemental insurance accounts for

        18       employees and their dependents when such

        19       coverage is combined with a catastrophic health

        20       insurance policy provided by the employer.

        21                      Under this legislation,

        22       individuals will be given a financial incentive

        23       to use health care services more wisely than











                                                             
5898

         1       under a traditional indemnity plan and without

         2       the outside intrusion of a HMO.

         3                      By reducing inflation in the

         4       primary health care market, this legislation

         5       will encourage the state and health insurers to

         6       dedicate more resources to catastrophic

         7       coverage, reducing our reliance on Medicaid and

         8       Medicare to pay for chronic illness.

         9                      Finally, this legislation

        10       provides true portability by giving employees

        11       actual ownership of their own health care.

        12                      This has been adopted in nine

        13       other states across this nation.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Paterson.

        16                      SENATOR PATERSON:  Thank you, Mr.

        17       President.

        18                      If you would yield to a

        19       question?

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Larkin, do you yield to a question from Senator

        22       Paterson?

        23                      SENATOR LARKIN:  Yes, Mr.











                                                             
5899

         1       President.

         2                      SENATOR PATERSON:  Senator

         3       Larkin, the legislation from the point of view

         4       of the very young and the healthy, it would

         5       sound as if it would be a good idea and would

         6       certainly be very alluring to a person who feels

         7       that they're in good health; but the actual

         8       delineation of what catastrophic care is might

         9       be somewhat more complicated and might incur a

        10       great deal of responsibility on the victim when

        11       they find out what the limitations of

        12       catastrophic care might be and so, therefore,

        13       Senator, what I'd like you to explain in the

        14       chamber is, what is going to happen to an

        15       individual who buys into this plan who then, for

        16       some reason, contracts diabetes or the HIV virus

        17       or is in an accident and might want to pay for

        18       the hospitalization.  There might be physical

        19       therapy or any long-term prescription drug

        20       medication that would be prescribed for an

        21       individual, in my opinion, would use up this

        22       plan immediately and put even the young and the

        23       healthy person that buys into this plan in what











                                                             
5900

         1       would really be a catastrophe that would be

         2       endured without health insurance.

         3                      SENATOR LARKIN:  Senator

         4       Paterson, two things we must remember.  This

         5       bill requires an employer to purchase a

         6       catastrophic health plan for each employee.  He

         7       cannot establish this plan without having first

         8       purchased the catastrophic -- without having -

         9                      SENATOR PATERSON:  Mr. President,

        10       if the Senator would continue to yield.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Larkin, do you continue to yield?

        13                      SENATOR LARKIN:  Yes, Mr.

        14       President.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       continues to yield.

        17                      SENATOR PATERSON:  I recognize

        18       what the catastrophic health plan is.  What I'm

        19       telling you is what the catastrophic health plan

        20       isn't.  There are a number of serious maladies

        21       an individual could incur and would not be

        22       covered by this plan and then they're left to

        23       only this medical savings plan which I'm











                                                             
5901

         1       suggesting to you would run out in a matter of

         2       days, and then the person that thought that they

         3       had a good deal could find themselves without

         4       any health insurance.

         5                      SENATOR LARKIN:  Well, Senator

         6       Paterson, in the other states -- and we've

         7       checked them -- there is no problem.  You have

         8       to remember that the catastrophic plan would

         9       have to provide at a minimum the same long-term

        10       coverage as a conventional insurance or HMO

        11       policy.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Paterson.

        14                      SENATOR PATERSON:  Thank you, Mr.

        15       President.

        16                      I think that in the nine other

        17       states this is something that's just been

        18       adopted and it's hard to determine what a

        19       problem is.  In other words, there may be people

        20       who are suffering from this problem right now

        21       and it won't be until there's a great number of

        22       them that we start to realize how far-reaching

        23       the problem may be.











                                                             
5902

         1                      But if the Senator would continue

         2       to yield, I have another question.

         3                      SENATOR LARKIN:  Yes, Senator.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Larkin?  Senator Larkin yields.

         6                      SENATOR PATERSON:  Senator, my

         7       problems with this legislation are really far

         8       more dialectic than would have been described in

         9       the first question.

        10                      When you think about insurance,

        11       aren't we really setting up adverse selectivity

        12       in this particular situation where what you're

        13       going to do is victimize those individuals who

        14       can't get into this kind of medical savings

        15       plan, those individuals who are elderly, who are

        16       poor, who are more likely to become ill, and

        17       aren't we in a sense segregating out those

        18       individuals who would think that their health

        19       needs would be less and in a sense destroying

        20       the whole idea of community rating, in other

        21       words creating what would be almost an elite

        22       corps of insurers by the adoption of this kind

        23       of legislation and setting up what I would term











                                                             
5903

         1       as almost a voucher system for those who would

         2       be afflicted, the end of it being that we now

         3       have, in a sense, a dualistic health care

         4       managed care system in our state?

         5                      SENATOR LARKIN:  Senator, I think

         6       that a realistic look at this, you're really

         7       talking about the term that was used in this

         8       house in 1992 and '93 called "cherry picking"

         9       and "cherry picking" has not been established as

        10       a factual problem in the state of New York.

        11                      As you recall last year, the

        12       Blues were opposed to this legislation.  The

        13       change that we have added in there corrected the

        14       problem that the Blues had with it.  What we're

        15       seeing now is the effect in New York's health

        16       insurance market that the adverse selection

        17       has.

        18                      What we're saying here is that

        19       the healthier individuals choose, made a choice

        20       back in '92 and '-3 and they dropped out.

        21       Approximately 400,000 dropped out because of the

        22       community rating aspect, that's since 1993.  The

        23       SIAs would encourage these individuals to











                                                             
5904

         1       participate in the voluntary market while paying

         2       their premiums for catastrophic insurance.

         3                      This idea is to reduce

         4       unnecessary and inefficient primary costs in

         5       order to increase the quality that you said you

         6       were concerned about for the catastrophic

         7       coverage of all individuals.

         8                      SENATOR PATERSON:  Mr. President,

         9       on the bill.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Paterson, on the bill.

        12                      SENATOR PATERSON:  These

        13       supplemental insurance accounts are going to

        14       become a national issue and it's going to be

        15       something that we're going to hear a lot more

        16       about.  At the federal level they're called

        17       medical savings accounts, and it's my opinion

        18       that they do destroy the concept of community

        19       rating.  They do destroy the whole idea of all

        20       of us being in a single pool at which we will be

        21       insured.  I think it does set up kind of an

        22       elite corps of insurers, and that was the

        23       position of Blue Cross and Blue Shield last











                                                             
5905

         1       year.

         2                      They have changed their positions

         3       for reasons I wouldn't know because there hasn't

         4       been any change in the bill last year, and so we

         5       respect that they've changed their minds, but

         6       the argument that they were making last year is

         7       the argument I continue to aver right here in

         8       this chamber, which is that we're not giving an

         9       -- an equitable form of insurance to the

        10       largest mass of people and we are going to

        11       actually increase rates for those who are more

        12       sick and who are more affected by the adoption

        13       of this kind of plan which is not, in my

        14       opinion, what the whole concept or the whole

        15       theory of insurance would govern us to do.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Dollinger.

        18                      SENATOR DOLLINGER:  Would Senator

        19       Larkin yield to just one question?

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Larkin, do you yield to Senator Dollinger?

        22                      SENATOR LARKIN:  Yes, Mr.

        23       President.











                                                             
5906

         1                      ACTING PRESIDENT KUHL:  The

         2       Senator yields.

         3                      SENATOR DOLLINGER:  Senator, does

         4       the New York Association of Blue Cross and Blue

         5       Shield still oppose the bill for the reasons

         6       articulated -

         7                      SENATOR LARKIN:  They have

         8       withdrawn it.  Senator Dollinger, they had a

         9       question.  It was a technical portion of the

        10       bill and because they were concerned -- like

        11       Senator Paterson had a question about it, and we

        12       amended that and made the corrections so that

        13       there's a clarification of it as to how this

        14       operates, how it functions -- they've withdrawn

        15       their objection.

        16                      SENATOR DOLLINGER:  So again

        17       through you, Mr. President, based on that

        18       answer, if I could have just one more question.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Larkin, do you continue to yield?

        21                      SENATOR LARKIN:  Yes, Mr.

        22       President.

        23                      ACTING PRESIDENT KUHL:  The











                                                             
5907

         1       Senator continues to yield.

         2                      SENATOR DOLLINGER:  The concern I

         3       had the last time this bill came forward was

         4       that it was a departure from community rating,

         5       that the Blues were concerned about the

         6       deterioration of the community-rated system

         7       because these special pools in the SIAs would be

         8       used as a way to take the good risks out of

         9       health care and shift them into a different

        10       account.  Is it my understanding that that's

        11       been cured in this bill?

        12                      SENATOR LARKIN:  It has been

        13       cured because what we're doing now -

        14                      SENATOR DOLLINGER:  But again, so

        15       I understand it, the Blues have dropped their

        16       opposition?

        17                      ACTING PRESIDENT KUHL:

        18       Gentlemen, excuse me.

        19                      Senator Goodman -- Senator

        20       Goodman, you're right in the line of the

        21       discussion between the two gentlemen who are

        22       debating.

        23                      Senator Dollinger, you have the











                                                             
5908

         1       floor.

         2                      SENATOR LARKIN:  Senator, there's

         3       no one who has an objection to this bill.  The

         4       objections that the Blues had interjected last

         5       year, they met with us and our counsel and we

         6       corrected what they thought was a problem.  I

         7       would be more than happy to show you what they

         8       were specifically concerned with.

         9                      Michael?

        10                      SENATOR DOLLINGER:  Mr.

        11       President, I don't need to see that.  I'll take

        12       the word from my colleague that the Blues have

        13       cured whatever difficulties they had with this

        14       bill.

        15                      That was -- my concern last time

        16       was the impact on community rating.  It was

        17       raised by the Blues.  As you know, I come from

        18       the home of community rating, and I was

        19       concerned about an attrition of the community

        20       rating process that this bill might trigger.

        21                      SENATOR LARKIN:  It's been taken

        22       care of, Senator.

        23                      SENATOR DOLLINGER:  So I











                                                             
5909

         1       appreciate it.

         2                      ACTING PRESIDENT KUHL:  Is there

         3       any other Senator wishing to speak on the bill?

         4                      Senator Paterson.

         5                      SENATOR PATERSON:  Mr. President,

         6       I don't know if Senator Dollinger would yield

         7       for a question, but I would just like him to be

         8       aware that the withdrawal of the objection by

         9       the insurance companies that are affected in

        10       this particular case, in my opinion, does not

        11       relate to the substance of the bill.  The fact

        12       that they have withdrawn their objection does

        13       not mean that there's been any change in the

        14       status of community rating.  I'm not exactly

        15       sure what their objection is, and I don't know

        16       that it's been made clear in this debate.

        17                      So just for my own clarification

        18       or just my own interpretation of what we have

        19       been discussing, we may disagree, but I just

        20       don't see where this legislation has been

        21       changed that would affect any of the memoranda

        22       that we received from the -- from Blue Cross or

        23       Blue Shield last year.  They've changed their











                                                             
5910

         1       position.  I respect that they've changed it,

         2       but no one has given me any information relating

         3       to the substance of the legislation that would

         4       justify that change.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Leichter.

         7                      SENATOR LEICHTER:  Yeah, Mr.

         8       President, briefly on the bill.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Leichter, on the bill.

        11                      SENATOR LEICHTER:  One of the

        12       problems I have with this bill is its fiscal

        13       impact because now there are going to be

        14       deductions up to the amounts that can be -- that

        15       are authorized by this bill that can be put into

        16       one of these accounts and that can be taken as a

        17       deduction from your -- from the income tax.

        18                      The fiscal impact statement

        19       which, with all due respect, Senator Larkin, I

        20       have a lot of problems accepting, it says no

        21       significant reduction in income tax receipts is

        22       expected due to the fact that most employers who

        23       would offer SIAs already receive a tax exemption











                                                             
5911

         1       but, as I read the bill, it's not only

         2       employers.  If you are an account holder who's

         3       an individual, whether you're employed or not,

         4       you're not going to be able to take a deduction

         5       for the amounts that you put in this account,

         6       whereas probably you could not take a deduction

         7       for medical expenses.

         8                      The memo then goes on to say,

         9       Well, in the long run, you know, this is going

        10       to make a lot of money for government because

        11       people will be covered and they're not going to

        12       go on Medicaid, and so on.  I just think that's

        13       totally misleading.

        14                      You know, we get so many of these

        15       fiscal impact statements that -- things that

        16       obviously cost money, things that obviously are

        17       going to lose us revenue but we're told that in

        18       the long run this is going to bring so much

        19       money to government.  Of course, as Cain said,

        20       in the long run we're all going to be dead, and

        21       I guess I won't see that day in the long run

        22       when as a result of all of these bills, there's

        23       going to be so much revenue and so much money











                                                             
5912

         1       that the government, instead of collecting

         2       taxes, is going to be sending money to every

         3       individual.  Obviously none of us will see that

         4       day nor will anybody ever see that day.

         5                      The fact is that this bill

         6       carries a definite fiscal adverse consequence

         7       for the state, and what we're really doing is

         8       giving a tax benefit generally to people who are

         9       more affluent.  This will be used primarily by

        10       people who are more healthy, and it is going to

        11       result in a diminution of government funds and

        12       you ought to ask yourself, Do we want to

        13       subsidize, because that's what we're doing.

        14       We're subsidizing these particular -- those

        15       persons are going to take advantage of these

        16       accounts.  I don't think that's a proper

        17       expenditure on the part of the state of New

        18       York.  We just can't afford that.

        19                      ACTING PRESIDENT KUHL:  The

        20       Secretary will read the last section.

        21                      THE SECRETARY:  Section 6.  This

        22       act shall take effect December 31st.

        23                      ACTING PRESIDENT KUHL:  Call the











                                                             
5913

         1       roll.

         2                      (The Secretary called the roll.)

         3                      THE SECRETARY:  Those recorded in

         4       the negative on Calendar Number 60 are Senators

         5       Abate, Connor, Espada, Gold, Lachman, Leichter,

         6       Montgomery, Paterson, Smith, Seabrook.  Also

         7       Senator Markowitz.  Ayes 46, nays 11.

         8                      ACTING PRESIDENT KUHL:  The bill

         9       is passed.

        10                      Senator Marcellino.

        11                      SENATOR MARCELLINO:  Yeah, Mr.

        12       President.  I move we diverge from the calendar

        13       for a moment and take up Calendar Number 789,

        14       please.

        15                      ACTING PRESIDENT KUHL:  The

        16       Secretary will read.

        17                      THE SECRETARY:  On page 25,

        18       Calendar Number 789, by Senator Goodman, Senate

        19       Print 1921-A, an act to amend the Alcoholic

        20       Beverage Control Law, in relation to the

        21       information required in license or permit

        22       applications.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
5914

         1       Goodman, an explanation of Calendar Number 789

         2       has been asked for by Senator Paterson.

         3                      SENATOR GOODMAN:  Mr. President,

         4       this piece of legislation which has passed in

         5       the last two successive sessions of the Senate

         6       came about as a result of an investigation by

         7       the Senate Committee on Investigation and

         8       Taxation into the affairs of the State Liquor

         9       Authority.  That investigation uncovered a very

        10       disturbing pattern of operations within the SLA

        11       which ran something like this:

        12                      An individual would make an

        13       investment in a new bar and grill.  He would

        14       refurbish a building.  He would furnish the new

        15       facility.  He would require bank credit in order

        16       to do this and everything would be set to go but

        17       there were inordinate delays in the issuance of

        18       his liquor license and, therefore, the

        19       individual would be stretched out to a point

        20       where he might actually go into bankruptcy

        21       awaiting the approval of the liquor license and

        22       the permission to begin operations.

        23                      This very disturbing pattern not











                                                             
5915

         1       only worked a great hardship upon many bar

         2       owners but it also induced a situation which

         3       involved corrupt practices and which involved

         4       the necessity for hiring expediters in order to

         5       permit the rapid handling of licenses by the SLA

         6       which was severely backed up and unfortunately

         7       in a state of incompetent inability to perform.

         8       The result was that this investigation strongly

         9       recommended that there be an overhaul of the

        10       SLA's procedures and that there be a means of,

        11       in effect, disciplining the SLA and forcing it

        12       to make a timely decision after reasonable

        13       periods had elapsed to determine that a liquor

        14       license could or could not be issued.

        15                      Specifically, the modus operandi

        16       of this bill when passed would provide that

        17       under -- that the Authority would have to notify

        18       an applicant within 45 business days that either

        19       the application is approved or denied or that

        20       the application is not complete, indicating the

        21       respects in which the application is not com

        22       plete.

        23                      In the event of an incomplete











                                                             
5916

         1       application, final action would be taken within

         2       60 business days of the original receipt of the

         3       application, not including the period during

         4       which the Authority awaits the applicant's

         5       supplying of additional information.

         6                      The bill further provides that,

         7       in the event that the Authority fails to take

         8       action within the specified time period, the

         9       applicant may send a notice to the Authority and

        10       if the Authority does not reach a decision, then

        11       the application will be deemed approved.

        12                      In other words, there is an

        13       automatic triggering of the application after

        14       careful due process has been complied with, and

        15       let me just say that I have within the past two

        16       hours been in touch with the chairman of the

        17       State Liquor Authority, Mr. Casale, with his

        18       chief counsel, both of whom have given their

        19       full approval of this procedure.  They point out

        20       that the State Liquor Authority has recently

        21       become computerized, that its efficiency has

        22       been enhanced and that, therefore, the

        23       compliance with this particular piece of











                                                             
5917

         1       legislation has been facilitated.  They strongly

         2       approve of it.  They would like very much to do

         3       everything within their power to stem the

         4       possibilities of corruption as it surrounds the

         5       attenuated granting of liquor authority -- of

         6       liquor license authority to open businesses, and

         7       we believe this is an imperative bit of relief

         8       that should be granted for the purpose of

         9       helping small business and averting the

        10       possibility of corrupt practices.

        11                      SENATOR GOLD:  Mr. President.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Gold.

        14                      SENATOR GOLD:  Thank you very

        15       much.

        16                      Mr. President, I am

        17       wholeheartedly endorsing Senator Goodman's

        18       bill.  What has gone on at the State Liquor

        19       Authority over the years has literally been a

        20       disgrace, and I can tell you that I believe that

        21       under the new chairman, there is a change in

        22       attitude.

        23                      First of all, lest people think











                                                             
5918

         1       differently, if the facts be told, probably 95

         2       percent of the applications that are filed must

         3       be granted.  There is no legal right not to

         4       grant them.  So the discretion of the Liquor

         5       Authority is far more limited than people think.

         6                      In addition to that, while I

         7       supported legislation that requires that the

         8       local communities be informed and notified, some

         9       of what goes on with these communities is really

        10       an outrage.  For example, there is one situation

        11       I know of where in the first analysis, a very

        12       reputable individual went to a board, was turned

        13       down.  The same night they approved an

        14       individual who we now know from the arrests a

        15       few weeks ago has been involved in some of the

        16       biggest drug scams in night clubs that you can

        17       imagine, and he got a clean bill of health.

        18                      Now, I know that the community

        19       boards mean well and I know that they are not

        20       there to damage their communities, but I think

        21       as has been indicated, they are filled with

        22       local politics of a nature which sometimes has

        23       nothing to do with the merits or demerits of an











                                                             
5919

         1       application, and if you had the opportunity to

         2       examine some of the goings on, you find some

         3       very, very big fish in little ponds who look at

         4       this as a -- as a power mechanism.

         5                      The boards -- the Liquor

         6       Authority, in my opinion, has gone through a

         7       number of changes over the years and now I think

         8       is getting to the right place where it ought to

         9       be.  There are people violating the liquor laws

        10       and the Liquor Authority ought to be looking

        11       into that and protecting us and protecting us

        12       against violations of law.

        13                      When it comes to the

        14       applications, there have been over the years

        15       terrible, terrible obstructions placed in the

        16       way of honest people.  There are applications

        17       I've seen where somebody was opening a small

        18       little neighborhood bar and grill and the

        19       investment was some perhaps 30- or $35,000 and

        20       they would drive the individual crazy to see

        21       where the last 50 bucks came from, and there

        22       were applications put in by certain ethnic

        23       groups who they decided didn't use banks and











                                                             
5920

         1       kept money under the mattress and they would

         2       excuse 2-, $300,000 of unexplained money.  It

         3       was a farce what went on.

         4                      I believe there is a sincere

         5       effort on the part of the present chairman to

         6       straighten this all out and to get this -- this

         7       Liquor Authority in a situation where we clamp

         8       down on people violating the liquor laws and

         9       make the application system such that legitimate

        10       business people can move forward.

        11                      If you are trying to open up a

        12       premises and you sign a lease and these leases

        13       are for big money and 30 days goes by, 60 days

        14       goes by, six months goes by and you are paying

        15       rent and you have some key employees who you are

        16       trying to keep and, therefore, you're paying

        17       them money and you have nothing coming in, that

        18       is not a business friendly atmosphere, believe

        19       me, and it seems to me something must be done.

        20                      I think that Senator Goodman's

        21       bill is a good compromise in this issue, and I'm

        22       certainly going to support it.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
5921

         1       Abate.

         2                      SENATOR ABATE:  Yes.  Would

         3       Senator Goodman yield to a question?

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Goodman, do you yield to a question from Senator

         6       Abate?

         7                      SENATOR GOODMAN:  Yes, I will.

         8                      ACTING PRESIDENT KUHL:  The

         9       Senator yields.

        10                      SENATOR ABATE:  Senator, last

        11       year we had a discussion on the floor around

        12       this bill, and I have not carefully reviewed the

        13       bill and I know you are more aware of the

        14       details of the bill than I am.  Has this bill

        15       been amended in any way since last year, or does

        16       this bill reflect the same bill that was on the

        17       floor which we voted upon last year?

        18                      SENATOR GOODMAN:  To the best of

        19       my knowledge, it's the same bill that we had

        20       last year, Senator.

        21                      SENATOR ABATE:  Senator, would

        22       you -- would the -- Senator Goodman yield to a

        23       question?











                                                             
5922

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Goodman, do you yield?

         3                      SENATOR GOODMAN:  Yes, I will.

         4                      ACTING PRESIDENT KUHL:  The

         5       Senator continues to yield.

         6                      SENATOR ABATE:  One of the

         7       concerns that I had last year -- and I'm very

         8       glad to hear that Chairman Casale thinks he can,

         9       in fact, comply and make decisions within 45

        10       days.  What has changed between last year and

        11       this year, because it's my understanding even as

        12       of last week, it takes approximately six to

        13       eight months on average to decide these pending

        14       on-premise license applications.  So why if we

        15       pass the law does he think he can expedite this

        16       decision-making process and shorten it to 45

        17       days?

        18                      SENATOR GOODMAN:  As I said

        19       earlier -- I'm not sure you were on the floor,

        20       Senator -- the Department has computerized its

        21       operation and it's working more efficiently.

        22                      SENATOR ABATE:  And when does

        23       this computerization come on-line?











                                                             
5923

         1                      SENATOR GOODMAN:  It's in place

         2       now.

         3                      SENATOR ABATE:  And how long has

         4       it been in place?

         5                      SENATOR GOODMAN:  I don't know.

         6                      SENATOR ABATE:  Again, it's my

         7       understanding that the SLA has been working on

         8       this computerization, yet I have not seen

         9       recently any improvement in terms of timeliness

        10       in making these decisions.  So my concern is are

        11       we, Senator, putting an arbitrarily -- time

        12       period of 45 days on the SLA to review these

        13       applications, and are we giving them any more

        14       resources to ensure it can be done within that

        15       time period?

        16                      SENATOR GOODMAN:  Senator, I have

        17       the transcript of last year's debate in which

        18       you raised these same questions, so we took

        19       particular and meticulous care to determine

        20       whether your concerns had been satisfied, and

        21       the fact of the matter is, as I indicated

        22       earlier, they have.

        23                      SENATOR ABATE:  The other issue,











                                                             
5924

         1       if the Senator would continue to yield -

         2                      ACTING PRESIDENT KUHL:  Senator

         3       Goodman, do you continue to yield?

         4                      SENATOR GOODMAN:  Yes, I will.

         5                      ACTING PRESIDENT KUHL:  The

         6       Senator continues to yield.

         7                      SENATOR ABATE:  My concern is -

         8       and you're very well aware -- that the community

         9       boards approve of most of all of the on-premise

        10       licenses.  '97 percent of them go through the

        11       community board, but then on occasion the

        12       community board raises issues under the 500-foot

        13       rule, which is the rule that says if there's

        14       three or more bars or discos within 500 feet of

        15       each other, they call upon the SLA to ensure

        16       that it's within the public interest before a

        17       fourth or fifth or thirtieth bar is placed and

        18       approved.

        19                      In issues of 500-foot rule and

        20       200-foot rule, issues of zoning and safety, how

        21       can this legislation ensure the community they

        22       have opportunity for notice and sufficient

        23       opportunity to react and to have hearings and to











                                                             
5925

         1       be heard before this license is granted?

         2                      SENATOR GOODMAN:  Well, as you

         3       know, Senator, the community boards typically

         4       meet at least once a month and, therefore, a

         5       60-day period is more than adequate for them to

         6       respond.

         7                      Let me just remind you, we're

         8       dealing with a serious problem which we

         9       unearthed as a result of our investigation.

        10       There is blatant corruption in a situation where

        11       there is a line from here to the Mississippi

        12       River, if I can use a simile or a metaphor, to

        13       indicate that there have been enormously -

        14       enormously extended delays.  As Senator Gold

        15       just pointed out, this has resulted in serious

        16       problems of corruption and inadequate response

        17       by government to the need to give reasonably

        18       timely action to these types of applications.

        19                      The consequences of our failure

        20       to do this could be very, very great and we want

        21       to try to do what we can to stop the use of

        22       influence peddling, the use of bribery, the use

        23       of the need for special consultants to come in











                                                             
5926

         1       as expediters.  There's a whole profession which

         2       developed around these extraordinary delays.

         3       We've got to put a stop to this and the use of

         4       community boards as an objection to this, I

         5       think is utterly invalid since they have more

         6       than enough time to interpose objections if they

         7       have them.  I hope you will not take a view that

         8       prevents us from recognizing that the over

         9       arching problem is corruption and it must be

        10       stopped.

        11                      SENATOR ABATE:  Senator, would

        12       you continue to yield?

        13                      SENATOR GOODMAN:  Yes, I will.

        14                      ACTING PRESIDENT KUHL:  The

        15       Senator continues to yield.

        16                      SENATOR ABATE:  I absolutely

        17       agree that we need to reform the system.  We

        18       need to dissolve the system of corruption.  We

        19       need to streamline the process.  My concern is

        20       how did you choose 45 days?  Why not 90 days?

        21       We're now going from an average of eight months

        22       and now to 45 days.  Shouldn't we take more

        23       realistic interim steps to ensure that we











                                                             
5927

         1       expedite the process so we don't unfairly

         2       penalize good businesses but we also don't take

         3       out of the process needed community input?

         4                      SENATOR GOODMAN:  Senator, if you

         5       will read the bill, you'll notice that the

         6       actual time span is 60 days which can be further

         7       extended if there's an incomplete application.

         8       The SLA has the right to announce to the

         9       applicant that you are, for example, not in

        10       possession of a certificate of occupancy and

        11       until that certificate is presented to the SLA,

        12       the clock stops.  It does not incessantly go

        13       forward when the application does not have all

        14       of its necessary elements.  So I think there's

        15       more than enough time, and we selected the time

        16       very deliberately and carefully after we

        17       examined the ways in which the law was failing

        18       to serve the public interests.

        19                      SENATOR ABATE:  But I understand

        20       that if the SLA doesn't do anything within 40...

        21       it does not rule within 45 days, the license is

        22       granted unless -- who has to make an application

        23       for an additional 15-day extension?











                                                             
5928

         1                      SENATOR GOODMAN:  The 15 days

         2       come into play, as I indicated earlier, in the

         3       event that there is a failure to provide an

         4       adequate response to the completion requirements

         5       of the SLA.

         6                      SENATOR ABATE:  Now -- but then

         7       does the community have a right to say, "We

         8       don't have enough time.  44 days have elapsed.

         9       We need 15 more days"?

        10                      SENATOR GOODMAN:  If there's an

        11       incomplete application, it does.  If there's

        12       not, then it does not.

        13                      SENATOR ABATE:  Let's envision a

        14       circumstance where it's not a question of an

        15       incomplete application.  The community board

        16       meets once a month and maybe it's at the 29th or

        17       30th day they meet and they decide there's some

        18       real issues here around the 500-foot rule,

        19       around zoning issues, and they say that 45 days

        20       is not enough.  Where in the bill does it give

        21       the power to the community to object so they can

        22       get more time to be heard?

        23                      SENATOR GOODMAN:  First of all,











                                                             
5929

         1       as you know, the community board does not have

         2       the veto power on these matters.  It has only a

         3       recommendatory power to the SLA, and it has

         4       ample time to find out the facts of any given

         5       case and to make its recommendation to the SLA.

         6       They're not a court of law.  They do not -- they

         7       cannot bring down the curtain on an application.

         8       If they object and the SLA decides that their

         9       objection is without merit, they can go ahead

        10       and grant the license.

        11                      SENATOR ABATE:  Senator, I agree

        12       that community boards should not have a veto

        13       power over the SLA.  What I'm concerned about is

        14       that if they feel that they don't have enough

        15       time at least to be involved in the process so

        16       they in an advisory way can make recommendations

        17       to the SLA and they say that they want to stop

        18       the clock for a period of time so there can be a

        19       public hearing, like a 500-foot rule, where in

        20       the bill does it ensure that the community has

        21       an opportunity to stop the clock?

        22                      SENATOR GOODMAN:  It is clearly

        23       in the bill if within the 60-day period there











                                                             
5930

         1       are objections brought to the attention of the

         2       SLA which warrant the non-granting of the

         3       license, the SLA has that absolute discretion,

         4       and that's more than adequate time for the

         5       community to act.  I don't know where you're

         6       coming up with the sense that it's not

         7       adequate.  As I've explained to you, community

         8       boards meet monthly and, if there's a special

         9       problem, they can call a special meeting which

        10       they very rarely have to do.  So I think

        11       everybody's interest is well protected.

        12                      SENATOR ABATE:  Thank you,

        13       Senator.

        14                      On the bill.

        15                      ACTING PRESIDENT KUHL:  Senator

        16       Abate, on the bill.

        17                      SENATOR ABATE:  Last year I think

        18       we conducted the same debate.  I was hoping that

        19       the bill could have been amended to extend the

        20       time periods.  I agree with the Senator that

        21       there's a need for long overdue reform.  I have

        22       set up a meeting with Chairman Casale, with some

        23       local businesses and restaurateurs to look at











                                                             
5931

         1       what I call realistic reforms.

         2                      The point that I disagree with

         3       Senator Goodman is that the community boards

         4       would say that the 40-day rule where there would

         5       be an automatic approval and maybe a 15-day

         6       extension does not give them necessarily in

         7       every case, particularly those complex cases,

         8       the cases where they object to an unruly bar or

         9       where a 500- and 200-foot is applicable, they do

        10       not believe that the time periods as prescribed

        11       in this legislation are sufficient.

        12                      I think there's a middle ground.

        13       I think we should recognize that what we are

        14       doing is granting licenses by default.  The SLA

        15       will be making -- will be approving these

        16       decisions without full community input and

        17       review or they won't have an opportunity to make

        18       these decisions and by default the licenses will

        19       be granted.

        20                      Rest assured, most of these

        21       licenses should be done on time.  We should look

        22       at realistic reforms.  I don't think this is

        23       going to provide the needed -- reforms that are











                                                             
5932

         1       needed.  I was hoping that this bill could be

         2       amended.  I'm still going to hope that this does

         3       not become law, that we reach out to the

         4       community boards to see if we could find some

         5       middle ground.  I believe, and I'm sure Senator

         6       Padavan is concerned, I believe this will

         7       eviscerate the intent of the 500-foot rule.

         8       It'll be a way to circumvent those public

         9       hearings.  It'll be a way to ensure that the

        10       communities do not have adequate opportunity for

        11       input and review.

        12                      I think we should sit down, and I

        13       would invite the Senator to bring together the

        14       business people in our communities, the

        15       restaurateurs and the community people around

        16       realistic reforms.  I think we can reach certain

        17       agreements.  I'm trying to do that now with the

        18       SLA, bringing together businesses and

        19       communities.  Rest assured that we should be

        20       doing as many reforms as possible to ensure that

        21       good businesses have the opportunity to get on

        22       line, to hire people, to open their businesses,

        23       but on the other hand, we have to have enough











                                                             
5933

         1       community safeguards so that the businesses that

         2       are not willing to be good neighbors, not

         3       willing to abide by the laws, have the

         4       opportunity to confront their communities and we

         5       should not within a 45-day time frame give these

         6       businesses on-line premises.  I think it will be

         7       detrimental to the good businesses who abide by

         8       the laws in the long run and certainly this bill

         9       will be detrimental to the communities.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Bruno.

        12                      SENATOR BRUNO:  Mr. President,

        13       could we lay the present bill that we're

        14       discussing aside temporarily so that -- is that

        15       the end of the debate?

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Padavan had indicated a willingness to want to

        18       talk, so the debate has not ended at this

        19       point.

        20                      SENATOR BRUNO:  We have some

        21       people who need to vote on Calendar Number 1225,

        22       and I would ask if we could lay this aside

        23       temporarily.











                                                             
5934

         1                      ACTING PRESIDENT KUHL:  We'll lay

         2       Calendar Number 789 aside temporarily and bring

         3       up Calendar Number 1225.

         4                      I'll ask the Secretary to read

         5       the title.

         6                      THE SECRETARY:  Calendar Number

         7       1225, by Senator Bruno, Senate Print 7164-A, an

         8       act to amend the Workers' Compensation Law, in

         9       relation to extending the effectiveness of

        10       certain provisions, to repeal certain provisions

        11       of the Workers' Compensation Law.

        12                      ACTING PRESIDENT KUHL:  The

        13       Secretary will read the last section.

        14                      THE SECRETARY:  Section 91.  This

        15       act shall take effect immediately.

        16                      ACTING PRESIDENT KUHL:  Call the

        17       roll.

        18                      (The Secretary called the roll.)

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Johnson, how do you vote?

        21                      SENATOR JOHNSON:  Aye.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Johnson will be recorded in the affirmative.











                                                             
5935

         1                      SENATOR BRUNO:  And Senator

         2       Goodman.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Goodman, how do you vote?

         5                      SENATOR GOODMAN:  Aye.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Goodman will be recorded in the affirmative.

         8       The roll call is withdrawn.

         9                      SENATOR BRUNO:  Thank you, Mr.

        10       President.

        11                      ACTING PRESIDENT KUHL:  We'll

        12       return to Calendar Number 789.

        13                      SENATOR BRUNO:  Thank you, Mr.

        14       President.

        15                      ACTING PRESIDENT KUHL:  The

        16       Secretary will read the title, put the bill

        17       before the house.

        18                      THE SECRETARY:  Calendar Number

        19       789, by Senator Goodman, Senate Print 1921-A, an

        20       act to amend the Alcoholic Beverage Control Law,

        21       in relation to the information required in

        22       license or permit applications.

        23                      ACTING PRESIDENT KUHL:  The Chair











                                                             
5936

         1       recognizes Senator Padavan on debate on Calendar

         2       Number 789.

         3                      SENATOR PADAVAN:  Yes.  Thank

         4       you, Mr. President.

         5                      I share many if not all of the

         6       observations that were made by Senator Abate,

         7       particularly with regard to this 45-day

         8       requirement that is specified in the bill.

         9                      As Senator Goodman is aware and

        10       I'm sure most of you are aware, there are

        11       businesses in the state, the city of New York

        12       and elsewhere, that require licenses from a

        13       variety of agencies, state Health Department as

        14       an example, the city of New York, the Building

        15       Department, the Department of Consumer Affairs,

        16       and on and on the list goes.  Depending upon the

        17       nature of the business, the requirements of the

        18       licensure or the application, varying amounts of

        19       time will be required.  In none of those

        20       instances am I aware of -- and you can correct

        21       me if I'm wrong -- is there an automatic license

        22       at a point-specific in whatever process must

        23       take place.  This would be an exception in all











                                                             
5937

         1       licenses issued by the state and by local

         2       governments to appropriate -- for appropriate

         3       purposes to various kinds of businesses or

         4       activities.

         5                      Now, we heard earlier from the

         6       sponsor and from others that the SLA has

         7       computerized its process, has done the things

         8       required to improve its efficiency and we

         9       applaud that.  Now, if that is the case as the

        10       sponsor indicates, then why do we have to pass

        11       legislation imposing a time restriction?

        12                      Senator Abate mentioned a bill

        13       that passed which is now law of the last several

        14       years restricting the numbers of on-premises

        15       liquor consumption bars in those communities

        16       where there is a high density and where that

        17       density has produced problems that are adverse

        18       to the quality of life of residents and

        19       adversely affect the stability of those

        20       communities, and the bill indicates that if

        21       there are several bars within a 500-foot

        22       diameter, that a new application may not be

        23       considered or a new license may not be issued.











                                                             
5938

         1                      The key element, however, in that

         2       process is the objection or the reasons

         3       presented by local government.  Now, we made

         4       frequent reference to community planning boards,

         5       but that's a statewide bill.  Every town board,

         6       local government, village entity, whatever, from

         7       Huntington, Long Island to Buffalo, New York,

         8       those local governments are called upon or given

         9       the opportunity of exercising their

        10       responsibility by saying, We have a problem in

        11       this particular area and we really do not feel

        12       it's appropriate to have any more bars or

        13       taverns open up, and we ask you, the SLA, to

        14       apply the 500-foot rule.

        15                      Now, many of those local

        16       government bodies, including community planning

        17       boards -- I know the ones in my area do not meet

        18       in the month of August, and I assume local

        19       governments throughout the state will frequently

        20       take a hiatus in the summer and not have

        21       meetings, and community groups, civic

        22       organizations generally don't meet, and so what

        23       you have is a time gap, depending on the time of











                                                             
5939

         1       the year we're talking about, where the desired

         2       inputs from local governments, from civic

         3       organizations, from others who have an interest

         4       would simply not be forthcoming.

         5                      Now, there are many parts of your

         6       bill that I find appropriate, but I do not feel

         7       that the exception to licensure which has an

         8       underlining component, what is desirable for the

         9       people who ought to be affected by that license,

        10       whatever the activity may be, that in this one

        11       instance, we say to an agency, in this case, the

        12       LSA -- SLA, that in a time specific, if all of

        13       the inputs that might potentially be forthcoming

        14       do not take place, you will issue that license,

        15       the people I represent would not be happy with

        16       that.

        17                      So, Mr. President, I will say to

        18       the sponsor that either change the 45 days or I

        19       and I'm sure others will feel disposed to vote

        20       against this bill.

        21                      SENATOR GOLD:  Mr. President.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Gold.











                                                             
5940

         1                      SENATOR GOLD:  Would Senator

         2       Padavan yield to a question?

         3                      SENATOR PADAVAN:  Yes.

         4                      ACTING PRESIDENT KUHL:  The

         5       Senator yields.

         6                      SENATOR GOLD:  Senator, I heard

         7       your remarks, and I know of your sincerity and

         8       your concern with this issue, but I want to ask

         9       you a question.

        10                      Do you think in determining its

        11       responsibility to the community that a local

        12       community board should insist that an applicant

        13       to take over a restaurant, let's say, submit its

        14       menu and say to an applicant that we may or may

        15       not approve if you change some of your menu

        16       items?

        17                      SENATOR PADAVAN:  Senator, I have

        18       never heard that taking place in my area, and

        19       you may have in yours.  However, I would

        20       consider that not germane to the basic laws that

        21       we have generated and the responsibility of

        22       community planning boards who do have a very

        23       special responsibility in this area as they do











                                                             
5941

         1       in many others.  Now, if that does take place,

         2       it's an exception to the rule by any measure.

         3                      SENATOR GOLD:  Will the Senator

         4       yield to one more question?

         5                      SENATOR PADAVAN:  Yes.

         6                      ACTING PRESIDENT KUHL:  The

         7       Senator continues to yield.

         8                      SENATOR GOLD:  Yes.  The

         9       advantage of my asking you questions, Senator

        10       Padavan, is that you give honest answers and I

        11       can rely upon them, and I appreciate your last

        12       answer.

        13                      Senator, do you think that a

        14       local board, in determining whether they should

        15       approve or not approve, should have the right to

        16       say to an applicant that they think that maybe

        17       the tables should be a little bit to the right

        18       of the room when you come in the door rather

        19       than to the left, or maybe 15 feet from the bar

        20       rather than 12 feet from the bar?

        21                      SENATOR PADAVAN:  Senator, I'll

        22       give you the same answer with this addendum.

        23       The fact remains that is irrelevant to the











                                                             
5942

         1       issue.

         2                      If a planning board in any time

         3       frame would raise that kind of concern, the SLA

         4       has full authority to say, "This is nonsense.

         5       It's not really germane", but if that planning

         6       board said to the SLA, "We have a bar that's

         7       going to open up in an area that is over

         8       saturated, where we've had mayhem, we've had

         9       murders, we've had all kinds of problems, people

        10       pouring out of bars at 4:00 in the morning, dis

        11       turbing the neighborhood or in close proximity

        12       in terms of residential accommodations, private

        13       homes or apartments", those are the kinds of

        14       things that the planning boards in my area have

        15       raised from time to time relevant to the

        16       licensure of bars.

        17                      SENATOR GOLD:  Thank you.

        18                      Mr. President, may I comment on

        19       the bill?

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Gold, on the bill.

        22                      SENATOR GOLD:  Senator Padavan,

        23       the problems I'm addressing I think are what











                                                             
5943

         1       Senator Goodman wants to address.  If you have a

         2       computerization -- first of all, understand

         3       something.  There's a lot of people out there

         4       whose applications for liquor licenses take six

         5       months because they don't know how to fill out a

         6       plain English piece of paper, and I've seen that

         7       and I know what goes on, but if people under

         8       this bill put in their numbers, put in their

         9       figures together with their letter that they

        10       address to the community board, there's no

        11       reason why that application can't be looked at

        12       and some determination made.

        13                      Now, Senator, what's happening

        14       today is that time is being used as a weapon by

        15       some people in community boards who I'm telling

        16       you are unscrupulous and, Senator Padavan, I

        17       know that you have had situations where you

        18       didn't think or your community didn't think

        19       something was proper and you wouldn't do what

        20       some of the boards have done, but I'm telling

        21       you what they do.  They tell people to bring in

        22       their menus and they go in as if they were

        23       business geniuses and start telling people to











                                                             
5944

         1       rearrange their tables.  They tell them where

         2       the men's room should be and the women's room

         3       should be and, yes, the Liquor Authority today,

         4       I hope, which is Republican controlled as you

         5       know, has enough sense to say, "That's

         6       nonsense.  We're not going to deal with that",

         7       but 45 days is enough time to do that.

         8                      First of all, understand that the

         9       vast majority of these applications are not for

        10       new places.  They are people who sell a premises

        11       to somebody else.  So you've got an Italian

        12       restaurant, a diner, a Chinese restaurant or

        13       whatever that somebody is buying from somebody

        14       else, and if the money is proper and valid, you

        15       don't have 500-foot rules.  You don't have any

        16       of these rules.  So a lot of these applications

        17       are just swept out of there because they just

        18       don't apply to the kind of things you're talking

        19       about, and when you get down to the two or three

        20       or five, believe me, that may be a question,

        21       there's enough time for the boards to deal with

        22       that, the local boards, and there's enough time

        23       for the Liquor Authority to deal with that, and











                                                             
5945

         1       that's the philosophy behind the Goodman bill.

         2       There's too much time that other administrations

         3       have wasted of taxpayer money worrying about

         4       things which are nonsense.

         5                      The Liquor Authority, in my

         6       opinion -- and it's only my opinion -- should be

         7       an enforcement body that makes sure that they're

         8       not selling drugs in the discos.

         9                      I mean, it's interesting, there

        10       was this big scandal a few weeks ago and I'm

        11       laughing.  I'm saying to myself, Everybody knows

        12       that these places were drug dens.  Isn't it

        13       interesting if everybody knows that the local

        14       community boards approved that owner or that

        15       premises only maybe two months ago for a new

        16       premises even though they were told what was

        17       going on?  Isn't it interesting when everybody

        18       knows that somebody is the owner of a premises,

        19       that their name isn't on the application?  Isn't

        20       that interesting how everyone knows it?

        21                      So the bottom line here is that

        22       if you take the applications where they have no

        23       discretion and you just put them through the











                                                             
5946

         1       computer and take them off the table, I'm

         2       telling you, 45 days is plenty of time to take a

         3       look at the others, and under the Goodman bill,

         4       as I read it, there's nothing that stops the

         5       Liquor Authority after 45 days or 60 days from

         6       saying no, from turning down the application,

         7       and then there is no automatic license.  All

         8       you're saying is the Liquor Authority must act,

         9       and if the Liquor Authority says, "We can act

        10       within that time", I think that you're doing,

        11       without repeating it, what Senator Goodman said

        12       and you're eliminating an awful lot of time for

        13       fraud.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Paterson.

        16                      SENATOR PATERSON:  Thank you, Mr.

        17       President.

        18                      If Senator Goodman would yield

        19       for a question.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Goodman, do you yield to Senator Paterson?  The

        22       Senator yields.

        23                      SENATOR PATERSON:  Senator, last











                                                             
5947

         1       year during the debate I made a suggestion to

         2       you and I wanted to know if you had given it any

         3       more thought.  In terms of this whole process,

         4       the idea of having the agency, in a sense,

         5       mandated to respond in a seasonable period of

         6       time, is just something that just from a

         7       government perspective I have a problem with.

         8       This is a matter of public policy.  Despite the

         9       fact that a number of things that Senator Gold

        10       said that I listened very attentively to were

        11       right -- in fact, I'm glad I listened.  I never

        12       listened to Senator Gold before, but the point

        13       is that what I wanted to ask you is that if we

        14       established a different level of a license, in a

        15       sense a temporary license which would allow the

        16       business to continue but would give the Liquor

        17       Authority and any other dissenting party

        18       additional time to actually review it, I just

        19       wondered if that wouldn't be a way to solve this

        20       problem and yet address some of the issues that

        21       some who aren't supporting the bill are raising.

        22                      SENATOR GOODMAN:  Senator, I

        23       appreciate your concern and that of my other











                                                             
5948

         1       colleagues, but I just wanted to point out to

         2       you that this has been carefully thought out,

         3       has been through the crucible of debate twice in

         4       this house, I think twice has passed by signifi

         5       cant margins.  One of your most distinguished

         6       leaders has spoken most eloquently and supported

         7       the bill.  It's our judgment -- and I may say

         8       that I'm not a lawyer.  I don't happen to have a

         9       practice before the SLA, but I believe some

        10       others who have spoken do and are quite familiar

        11       with it and other supporters of the bill are.

        12       It is a simple fact that there is more than

        13       adequate time for the SLA to make a -- to have

        14       due deliberation and to reach a reasonable

        15       conclusion and more than adequate time for the

        16       community to act, and that the impelling feature

        17       of all of this is we've got to put a stop to the

        18       corruption which has absolutely engulfed this

        19       area.  That's a fact.

        20                      The rest of these problems are

        21       theoretical speculations to potential problems.

        22       In our judgment, they won't exist, but we know

        23       full well that there have been repeated











                                                             
5949

         1       instances in which people have used this

         2       procedure, these inordinate ways to try to -

         3       they have used bribes to try to circumvent the

         4       process.  They have a whole special group of

         5       people who are so-called expediters.  This is a

         6       public outrage and it's imperative that we do

         7       something once and for all to stop it.

         8                      I have spoken to the Assembly

         9       sponsor, Assemblyman Denis Butler, on this

        10       matter.  He assures me that he's going to put

        11       forth his best effort and once and for all, the

        12       corruption which is endemic in this must be put

        13       aside and we're giving assurances and great help

        14       to small business by allowing them to go to

        15       their banks and saying, I can now come to you

        16       with reasonable bureaucratic certainty that

        17       there will not be a dragged out delay.  It makes

        18       them more creditworthy in every respect.  It

        19       seems to me this is a reasonable, very carefully

        20       thought out proposal which will have a

        21       beneficial effect in all directions.  I urge its

        22       passage.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
5950

         1       Paterson.

         2                      SENATOR PATERSON:  Thank you,

         3       Senator Goodman.

         4                      Mr. President, on the bill.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Paterson, on the bill.

         7                      SENATOR PATERSON:  I think that

         8       Senator Goodman has put a great deal of time and

         9       effort into this, and I can understand that he

        10       might not want to accept this idea that we're

        11       presenting, and I also think that Senator Gold

        12       pointed out quite eloquently that this whole

        13       process has been abused often by individuals

        14       whose job it is to protect the public,

        15       individuals who have thought of all kinds of

        16       ways to literally harass small business

        17       operators who are trying to open up their

        18       businesses, and so I think that it's absolutely

        19       correct.  You have -- there's got to be a stop

        20       to it.  It has a great deal of corruption, but

        21       what I'm saying is that this type of solution,

        22       by mandating a seasonable period on the actual

        23       agency, in my opinion, puts the agency in the











                                                             
5951

         1       position of having to direct us, the

         2       Legislature, that it can answer in this period

         3       of time, and that sounds very nice, but I don't

         4       know if that's actually going to happen, and if

         5       that's the case, in those few areas where there

         6       may be some need for review or may be some need

         7       for further inspection or investigation, we're

         8       not going to have the time to actually do it,

         9       and so I'm just suggesting that what may have

        10       been the case that would still allow for the

        11       proprietor to make these assurances to the banks

        12       and that kind of thing is that there would be

        13       the granting of a -- of a license that would

        14       suffice for that period of time, allowing the

        15       State Liquor Authority, if it has any problems,

        16       to raise them in this period.

        17                      I realize that it may occur in

        18       only five to ten percent of the cases, that in

        19       most of the cases that there is pretty much a

        20       requirement that the State Liquor Authority

        21       allow for the license.  I realize that there

        22       have been undue pressures put on small

        23       businesses and at times almost ridiculous











                                                             
5952

         1       demands made of people who are trying to open up

         2       what are businesses that have integrity in this

         3       state, but I just think that this form of

         4       legislation opens up a public policy with

         5       respect to the administration of agencies that I

         6       think is going a little farther than we would

         7       want to.

         8                      ACTING PRESIDENT KUHL:  The Chair

         9       recognizes Senator Dollinger.

        10                      SENATOR DOLLINGER:  Mr.

        11       President, will Senator Goodman yield for one

        12       question?

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Goodman, do you yield?  The Senator yields.

        15                      SENATOR DOLLINGER:  Senator, as I

        16       understand it, this bill would grant the license

        17       in the event that the SLA doesn't act within 45

        18       days, correct?

        19                      SENATOR GOODMAN:  Not entirely,

        20       Senator.  I think you missed the earlier

        21       explanation which is -

        22                      SENATOR DOLLINGER:  I may have

        23       and, if so, I apologize.











                                                             
5953

         1                      SENATOR GOODMAN:  Would you like

         2       me to repeat it?

         3                      SENATOR DOLLINGER:  Just in a

         4       succinct fashion, if you would, just so I make

         5       sure I understand it.

         6                      SENATOR GOODMAN:  Pardon me,

         7       Senator?  You're just asking about the 45 days?

         8       The answer is it's not 45 days.  It's 60 days,

         9       and it can be much longer if an application is

        10       incomplete.

        11                      SENATOR DOLLINGER:  My question

        12       is, Mr. President, do you support the notion

        13       that if the Governor submits a budget to the

        14       Legislature and we don't act by April 1st,

        15       within 90 days after the submission, that that

        16       budget ought to become law without further

        17       input?

        18                      SENATOR GOODMAN:  No, I don't,

        19       but I'm perfectly clear that there's now

        20       incipient and proved corruption which enters

        21       into this process time and again and has been

        22       exposed by your Senate Investigations Committee

        23       and a bipartisan look at this problem in great











                                                             
5954

         1       depth which resulted in the astonishing finding

         2       by that committee that this is shot through with

         3       corruption which has to be stopped.  This is the

         4       attempt we're making to stop it and we think

         5       it'll work.

         6                      SENATOR DOLLINGER:  Okay.

         7                      SENATOR GOODMAN:  The analogy to

         8       the budget process, in my respectful opinion, is

         9       not quite applicable here.

        10                      SENATOR DOLLINGER:  Okay.  Mr.

        11       President, on the bill.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Dollinger, on the bill.

        14                      SENATOR DOLLINGER:  I addressed

        15       this bill last year and what I think are the

        16       deficiencies of creating a situation in which

        17       there would be a default provision that would

        18       remove the power of the SLA, restrict the power

        19       of the SLA in highly controverted applications.

        20       Although I understand Senator Goodman, I

        21       appreciate the investigation that his committee

        22       did, I'm concerned about corruption as well, I

        23       don't think this is the solution.











                                                             
5955

         1                      ACTING PRESIDENT KUHL:  The

         2       Secretary will read the last section.

         3                      THE SECRETARY:  Section 16.  This

         4       act shall take effect on the 120th day.

         5                      ACTING PRESIDENT KUHL:  Call the

         6       roll.

         7                      (The Secretary called the roll.)

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Abate to explain her vote.

        10                      SENATOR ABATE:  I would like to

        11       explain my vote.

        12                      ACTING PRESIDENT KUHL:  Senator

        13       Abate to explain her vote.

        14                      SENATOR ABATE:  Again, we had the

        15       opportunity to hear from two experts on the

        16       State Liquor Authority, Senator Goodman who has

        17       spent an enormous amount of time working on

        18       these issues, and Senator Padavan.  However, I

        19       think Senator Padavan made one critical point

        20       that I would like to emphasize.

        21                      A year ago when we had this

        22       debate, there was no information from the State

        23       Liquor Authority that in the near future they











                                                             
5956

         1       had any capacity to streamline their process

         2       and, in fact, expedite their decision-making and

         3       make certain rulings within 45 days or even 60

         4       days.  We now with Chairman Casale -- which I

         5       think -- who is providing some good leadership,

         6       he understands that the agency has to be

         7       reformed; it has to be brought up to new

         8       technology and new systems have to be put in

         9       place -- we're now hearing for the first time

        10       that on their own without legislation they can

        11       now make decisions in a more speedy fashion.  So

        12       there's not a need for this legislation.

        13                      If we pass this legislation, what

        14       we're doing is putting inordinate reins on the

        15       SLA and taking away the flexibility they need so

        16       that on an occasional circumstance when there is

        17       an inordinately controversial issue or a complex

        18       zoning issue that needs to be investigated, they

        19       will be -- not have the sufficient time to do

        20       the investigation.  Let's give SLA the

        21       opportunity.

        22                      Now, they say they can reform the

        23       system.  They can make these decisions speedier











                                                             
5957

         1       so they do not handicap good businesses.  Let's

         2       give them an opportunity to do this and not take

         3       away the flexibility they need and the ability

         4       to hear from their community around some of

         5       these critical issues.

         6                      For these reasons, I oppose the

         7       legislation.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Abate will be recorded in the negative.

        10                      Announce the results.

        11                      THE SECRETARY:  Those recorded in

        12       the negative on Calendar Number 789 are Senators

        13       Abate, Connor, Dollinger, Espada, Kruger,

        14       Lachman, Markowitz, Montgomery, Onorato,

        15       Padavan, Paterson, Seabrook, Smith and

        16       Stachowski.  Ayes 43, nays 14.

        17                      ACTING PRESIDENT KUHL:  The bill

        18       is passed.

        19                      The Secretary will read Calendar

        20       Number 1225.

        21                      THE SECRETARY:  Calendar Number

        22       1225, by Senator Bruno, Senate Print 7164-A, an

        23       act to amend the Workers' Compensation Law, in











                                                             
5958

         1       relation to extending the effectiveness of

         2       certain provisions, to repeal certain provisions

         3       of the Workers' Compensation Law.

         4                      SENATOR STACHOWSKI:  Explanation.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Bruno.

         7                      SENATOR BRUNO:  Thank you, Mr.

         8       President.

         9                      Mr. President, this bill deals

        10       with reforming the Workers' Compensation program

        11       in New York State.

        12                      Most people in this state

        13       recognize that the Workers' Comp' program in

        14       this state is a failure.  It's a failure because

        15       we in New York State pay in business about 15 -

        16       a 57 percent higher premium than the average in

        17       the country, and the workers that Workers' Comp'

        18       is supposed to serve don't get the benefit of

        19       the increased premium.  In fact, the average

        20       worker's benefit from premium in the state is

        21       about 40 -- 65 percent.  In New York State, it's

        22       47 percent, and that's wrong.  We have the

        23       second highest premium in the country, $3.9











                                                             
5959

         1       billion.  So we have to deal with costs.  We

         2       have to deal with safety, and we have to deal

         3       with the benefits.

         4                      This bill that we have before us,

         5       Mr. President, does those things.  It deals with

         6       the costs by reducing the premiums by $800

         7       million, a 25 percent reduction.  It increases

         8       the benefits from 400 max. first year to 520,

         9       540 second year, 560 third year, a substantial

        10       increase in benefits.  At the same time, it

        11       deals with safety in the workplace.  It creates

        12       incentives.  First time credits against premium

        13       for those businesses that invest in making the

        14       workplace safer, and we punish rather severely

        15       those places that don't deal with proper, safe

        16       workplace.

        17                      We remove one of the expenses of

        18       double dipping in this bill so that workers

        19       can't collect unemployment benefits as well as

        20       Workers' Comp' benefits, and we conform the

        21       benefit payments for partial disability -

        22       permanent partial disability to the AMA

        23       standards, the Medical Association standards,











                                                             
5960

         1       and those standards are used throughout the

         2       country by most states.

         3                      This bill also repeals Dole v.

         4       Dow, a court decision that goes back to '71.

         5       There is an indication from the studies that

         6       have been done by the agencies that rate

         7       premiums that Dole by itself accounts for about

         8       6.4 percent of the premium and can account for

         9       the savings with that repeal, but while we

        10       repeal the Dole piece, we also protect the right

        11       of the worker to sue a manufacturer if the

        12       product is faulty or purported to be faulty.  So

        13       that protection for the worker remains intact.

        14                      As I have moved around the state,

        15       I hear from business several things.  We spend

        16       too much in this state.  We tax too much in this

        17       state.  We over-regulate too much in this state

        18       and we charge too much for Workers' Compensa

        19       tion, and the result is that we lose jobs.  We

        20       keep companies from increasing their

        21       employment.  We keep some companies from coming

        22       to New York because they can't afford the

        23       premiums in Workers' Compensation in this state.











                                                             
5961

         1                      We saw the Giants with their

         2       summer camp right here locally come into Albany,

         3       into the state, the training camp.  They almost

         4       had to make a negative decision because of

         5       Workers' Comp' costs.  They buy their Workers'

         6       Comp', as I understand it, and get their

         7       protections still out of New Jersey.  New Jersey

         8       has changed.  Other states are changing.  We

         9       have to recognize that the Workers' Comp'

        10       premiums don't help.  They hurt.  They hurt the

        11       workers.  They hurt the employers, and so since

        12       the system has failed, it's up to us in the

        13       Legislature to fix it.  Now, we can posture.  We

        14       can pretend, but we are passing real reform,

        15       meaningful reform.

        16                      So who are we looking after?

        17       We're looking after the employer in that they

        18       can afford to pay the premium and we're looking

        19       at the worker with substantial increases in

        20       benefits.  Now, that is a win-win for the people

        21       of this state.

        22                      So, Mr. President, I'm hopeful

        23       that we will have the support for this











                                                             
5962

         1       legislation in this chamber.  I'm also hopeful

         2       that we will be relating to the Assembly so that

         3       we can reconcile whatever differences there are

         4       and that we can have one Workers' Comp' bill

         5       that we pass that will go to the Governor for

         6       his signature.

         7                      The Governor's office has done a

         8       lot of work to get us where we are, and the

         9       Governor's position has been to support what we

        10       have on this floor.  So we have two-thirds of

        11       the triangle with the passage of this

        12       legislation this afternoon and, as I said, I am

        13       hopeful that the Assembly -- they have a

        14       different version -- that they will see fit to

        15       negotiate in good faith the differences that we

        16       have so that the workers of this state can

        17       benefit by the substantial increase in their

        18       benefits almost immediately with an improved

        19       workplace that will be safer and that employment

        20       in this state can continue to go up so that we

        21       can continue the turn from the downward spiral

        22       that we were in a few years ago to the growth

        23       that we have seen in this state last year with











                                                             
5963

         1       the addition of over 100,000 jobs, with the

         2       Pataki administration in office cutting

         3       spending, with we as partners in this chamber

         4       and in the Assembly cutting spending, cutting

         5       taxes, cutting government regulations and now

         6       it's time for us to cut the costs of Workers'

         7       Comp' while we increase the benefits to the

         8       workers.

         9                      Thank you, Mr. President.

        10                      ACTING PRESIDENT KUHL:  Is there

        11       any other Senator wishing to speak on the bill?

        12                      SENATOR ABATE:  Yes.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Abate.

        15                      SENATOR ABATE:  Would Senator

        16       Bruno yield to a number of questions?

        17                      SENATOR BRUNO:  Yes, Mr.

        18       President.

        19                      ACTING PRESIDENT KUHL:  The

        20       Senator yields.

        21                      SENATOR ABATE:  Thank you.

        22                      Since the passage of this bill,

        23       the Dole v. Dow in 1974, there was a sense -











                                                             
5964

         1       and correct me if I'm wrong -- that there was a

         2       need to hold the wrongdoers, the tortfeasors

         3       accountable and if they contributed to their

         4       negligence, they should also contribute to the

         5       costs and contribute to the compensation for the

         6       medical bills commensurate with their

         7       negligence.

         8                      What has changed between 1994 and

         9       today?  What has changed between the worker and

        10       employer relationship that would mandate the

        11       repeal of Dole v. Dow?

        12                      SENATOR BRUNO:  Well, Senator,

        13       I'm certain that you know that New York State is

        14       the only state that has Dole v. Dow in its

        15       Workers' Comp' package, the only state in the

        16       United States.  So I can answer by saying 49

        17       other states don't see that as an inhibitor in

        18       any way to providing adequate benefits or

        19       adequate protection.

        20                      Senator Spano had eight hearings

        21       throughout the state as the chair of Labor and

        22       did a great job, spent a lot of time, a lot of

        23       effort, and discussed this issue at great length











                                                             
5965

         1       with the vested interests that have an interest

         2       in that part of what we're discussing here, and

         3       our findings are that we're keeping the benefit

         4       because the intent is that a worker be able to

         5       sue a manufacturer if the product is at fault.

         6       We keep that.  The difference is that that

         7       manufacturer then can't go back and sue the

         8       employer, creating an unnecessary expense, and

         9       that's really what we're correcting here, and I

        10       don't know how anyone could have a problem with

        11       that.

        12                      SENATOR ABATE:  Senator Bruno,

        13       would you yield to a number of other questions?

        14                      SENATOR BRUNO:  Yes.

        15                      SENATOR ABATE:  Thank you.

        16                      ACTING PRESIDENT KUHL:  The

        17       Senator yields.

        18                      SENATOR ABATE:  Senator, it's my

        19       understanding that Illinois, California and

        20       North Carolina allow full contribution by the

        21       employers, and there are other states like

        22       Minnesota that also allow partial contribution.

        23       They allow third-party lawsuits.  They allow











                                                             
5966

         1       property owners, the contractors, the

         2       manufacturers to sue the employers.  So, in

         3       fact, there are other states that do have Dole

         4       v. Dow legislation.

         5                      SENATOR BRUNO:  Maybe as a

         6       separate issue in part of the ability of a

         7       citizen to sue, but to my knowledge, New York is

         8       the only state that has Dole v. Dow as we have

         9       it in our workers' program.  It's part of the

        10       package.

        11                      SENATOR ABATE:  It's not my

        12       understanding that that's the case, but let's go

        13       on to another issue.  You talk about -- in a

        14       press conference, you talked about the savings

        15       that would be produced -

        16                      SENATOR BRUNO:  Yes.

        17                      SENATOR ABATE:  -- if there was a

        18       repeal of Dole v. Dow, and it's my understanding

        19       that the savings could be four cents, five cents

        20       on the dollar if we repeal Dole v. Dow.

        21                      SENATOR BRUNO:  We estimate the

        22       costs out of the premium of about $350 million

        23       that would be saved to the premium payers in











                                                             
5967

         1       this state with the repeal of Dole v. Dow.

         2                      SENATOR ABATE:  But it's my

         3       understanding that 70 percent of the claims

         4       which are based on Dole v. Dow are under

         5       $250,000, and these are in cases where there

         6       have been severe injuries, and if we repeal Dole

         7       v. Dow, aren't we inviting greater Workers'

         8       Compensation claims against employers because

         9       we're going to be removing incentives from the

        10       employer to institute work safety mechanisms?

        11       We're going to be making the workplace less safe

        12       and, therefore, in the long run, employers will

        13       be paying more in traditional Worker

        14       Compensation cases.  How are we saving money for

        15       the employer?

        16                      SENATOR BRUNO:  Nope.  We don't

        17       think that will be the case at all because

        18       premiums, as you know, are calculated on

        19       experience -- employers have a great incentive

        20       to improve their experience and consequently the

        21       premiums that they pay is the cost of doing

        22       business and as part of this package, we have a

        23       credit against premium for those employers that











                                                             
5968

         1       go above and beyond to make their workplace

         2       safer, and we increase the penalties for those

         3       that don't do the normal things to make the

         4       workplace safer.  So we think that we have dealt

         5       very fairly with the issue of safety.

         6                      SENATOR ABATE:  But there -

         7       Senator, could you address two issues?  This

         8       bill purports to produce greater equity and

         9       fairness, but there are two instances that

        10       produce, I think, greater inequity and

        11       unfairness.  One is to the manufacturer, the

        12       property owner and contractor who is sued by the

        13       employee and says, "I delivered a good piece of

        14       machinery to the employer.  I did everything

        15       that was safe.  I did not conduct my business in

        16       a negligent manner" and now they may have -

        17       after a jury motion have to pay for the full

        18       amount of the negligence even though they know

        19       that the employer did not maintain the equipment

        20       in good order, did not provide safety equipment,

        21       did not take the necessary steps to maintain

        22       that equipment, to keep it in good order.  We

        23       are now putting an undue burden on the











                                                             
5969

         1       manufacturer in many instances.  How does repeal

         2       of Dole v. Dow prevent that kind of inequity to

         3       manufacturers?

         4                      SENATOR BRUNO:  That's what jury

         5       decisions are all about.  That's what court

         6       cases are all about.  That's what lawyers are

         7       all about in making their case as to what the

         8       injured parties deserve, and that's why

         9       judgments are made, and in the instance that you

        10       describe, if that equipment -- a jury -- I'd

        11       trust the jury system, and if they found that

        12       there was negligence or there was cause, they

        13       would then levy damages that would accrue to the

        14       person bringing that suit, and they could also

        15       apportion off and say that half of the liability

        16       belonged to the employer, half to the

        17       manufacturer.  They could do that.

        18                      SENATOR ABATE:  But if we repeal

        19       Dole v. Dow, a jury can't say, Let's proportion

        20       the damages.  Let's make sure the manufacturer,

        21       if they are proportionally responsible, they pay

        22       some and that -- allow the manufacturer to sue

        23       the employer to pay their share of the











                                                             
5970

         1       negligence.  This would repeal Dole v. Dow and

         2       not allow that kind of equitable decision to be

         3       made by the jury.

         4                      SENATOR BRUNO:  If, in this

         5       instance, Senator, a jury found that it was

         6       50/50 negligence and they awarded $1 million and

         7       it would be 500,000 against the manufacturer,

         8       500- against the employer, you are right.  With

         9       the repeal of Dole, the 500- against the

        10       employer would not be paid.  The 500- from the

        11       manufacturer would be paid.

        12                      SENATOR ABATE:  But can you

        13       conceive of a circumstance, Senator Bruno,

        14       that -

        15                      SENATOR BRUNO:  But to finish,

        16       the Workers' Comp' benefits that are improved

        17       here substantially would be paid.  So the worker

        18       gets damages as the jury finds them from the

        19       manufacturer and gets a check, and the intent

        20       isn't that people get wealthy in collecting on

        21       Workers' Comp'.

        22                      The intent of Workers' Comp' was

        23       that, if someone's injured, they get compensated











                                                             
5971

         1       for that injury commensurate with the injury.

         2       Unfortunately, things here in this state have

         3       been out of balance, and we've got to get it

         4       back together.

         5                      SENATOR ABATE:  But let's -

         6       Senator Bruno, would you continue to yield to a

         7       number of other questions?

         8                      SENATOR BRUNO:  Yes, Mr.

         9       President.

        10                      ACTING PRESIDENT KUHL:  The

        11       Senator continues to yield.

        12                      SENATOR ABATE:  But let's

        13       envision a circumstance where the manufacturer

        14       is not negligent and the jury is faced with a

        15       situation where they see a severely injured

        16       employee, a worker.  We're not talking about

        17       someone who misses three or four days from work,

        18       but we're talking about permanently disabled

        19       people who can never return to work.  Their

        20       lives have been shattered, and the jury says, "I

        21       don't see the manufacturer as being negligent."

        22       They're now going to be faced with a situation

        23       of not giving any award to the worker because











                                                             
5972

         1       they cannot reach the negligent employer.  So

         2       the worker, in fact, will lose in that

         3       situation.

         4                      So again, my question is how does

         5       Dole v. Dow produce equity and fairness to the

         6       worker in that situation when the negligence is

         7       not on the part of the manufacturer but the

         8       negligence is on the part of the employer?

         9                      SENATOR BRUNO:  Well, there are

        10       guidelines that are established and the worker

        11       would be compensated according to those

        12       guidelines, and I've seen enough ingenuity in my

        13       life by trial lawyers so that I believe that you

        14       would find that the rare case when they couldn't

        15       find some cause for action against that

        16       manufacturer.

        17                      SENATOR ABATE:  Well, let's

        18       just -

        19                      SENATOR BRUNO:  I would really be

        20       amazed to find that that would happen.

        21                      SENATOR ABATE:  I know, Senator

        22       Bruno, there are many other people who will ask

        23       you questions, so I'm going to leave that











                                                             
5973

         1       opportunity to them, and I would just like to

         2       speak on the bill as it relates -

         3                      SENATOR BRUNO:  Thank you,

         4       Senator.

         5                      SENATOR ABATE:  -- to Dole v.

         6       Dow.

         7                      ACTING PRESIDENT KUHL:  Senator

         8       Abate, on the bill.

         9                      SENATOR ABATE:  If you look at

        10       the whole history of Dole v. Dow and why there's

        11       a reason for it, just look at the injury that

        12       happened to Mr. Dole.  He was employed in a

        13       grain manufacturing mill.  Dow sold chemicals to

        14       the mill.  In that case, Dow did everything

        15       correct.  There was nothing wrong with the rat

        16       poisoning.  They delivered to the employer the

        17       instructions.  They told the employer how to

        18       utilize that poison, how to safeguard the

        19       worker.  It was a case where the employer sent

        20       the worker into the mill to clean up the grain,

        21       knowing that there was rat poisoning in that

        22       mill and in the cleanup with just a broom and

        23       mop, the worker inhaled an enormous amount of -











                                                             
5974

         1       of rat poisoning and was severely injured.

         2                      In that case, the employer did

         3       not do what he was supposed to do, which is give

         4       them special equipment, tell the employer -

         5       employees how to protect themselves.  So that

         6       negligence in that case was not on the part of

         7       the manufacturer.  It was clearly on the part of

         8       the employer.  If we repeal Dole v. Dow, what we

         9       are saying is -- there are two scenarios -- the

        10       manufacturer at trial, they may be negligent.

        11       They can point to an empty chair and say to the

        12       jury, "Not my fault.  It's this empty chair's

        13       fault.  The wrong party is here.  They are, in

        14       fact, the negligent party."  So there's a way

        15       then to create lots of losers.  It may be the

        16       manufacturer in some instances but in other

        17       instances, the loser in this case when we repeal

        18       Dole v. Dow will be the workers themselves.

        19                      Let's look at the wisdom of many

        20       people in this chamber.  In 1974, we ensured

        21       that Dole v. Dow was the law of the land, and

        22       some very wise people voted for Dole v. Dow.  It

        23       was enacted under law under a Republican











                                                             
5975

         1       Governor, Malcolm Wilson.

         2                      Let's listen to the wisdom of

         3       Senator Goodman, Senator Johnson, Senator Levy,

         4       Senator Marchi, Senator Padavan, Senator

         5       Present, Stafford and Trunzo who were in this

         6       chamber as state Senators when they voted 58 to

         7       0 in approval of Dole v. Dow.  Let's look to our

         8       members who sat in the Assembly in 1974.  At

         9       that time, Senator Cook, Sears, Velella and

        10       Volker were Assembly members.  They too voted

        11       for it.

        12                      So there was a reason why Dole v.

        13       Dow was put in law.  There were two goals.  One

        14       was to ensure that employees receive awards

        15       commensurate with their injuries and that meant

        16       making sure that not only could employers sue

        17       manufactures -- employees sue manufacturers but

        18       in turn manufacturers, if there was an employer

        19       partially at fault, they also could be held

        20       liable, and the second very important goal of

        21       Dole v. Dow was to create an incentive for

        22       employers to properly maintain their equipment

        23       and to ensure there was sufficient safety











                                                             
5976

         1       mechanisms at hand to protect their workers.

         2                      Dole acts as a very important

         3       watchdog over employers.  Look at Alice Hayes,

         4       which is a recent case.  If there was no Dole v.

         5       Dow, what would Alice Hayes receive from

         6       Workers' Compensation?  She may have been

         7       considered partially disabled.  The insurance

         8       company was willing to pay $50 a week, but Alice

         9       Hayes was an employer -- a worker who spent her

        10       lifetime at the Newburgh Molded Company.  In the

        11       course of an accident, because the employer

        12       removed a safety guard, her hands were

        13       decapitated.  She lost her hands.  Now, can we

        14       say to that woman, "Forget about the employer's

        15       negligence.  Just seek compensation through the

        16       Workers' Compensation Board and then go on your

        17       merry way"?  This is a woman whose life was

        18       destroyed.  Her life was shattered because her

        19       employer did not take the requisite steps to

        20       secure her safety.

        21                      So this is not about the fact

        22       that the guard did not work or the safety device

        23       was malfunctioning or the safety device was not











                                                             
5977

         1       maintained in an adequate fashion.  This is a

         2       case where an employer decided because of cost

         3       savings to remove the safety device altogether

         4       and a worker lost her hands.  So in terms of

         5       equity and fairness, we should ensure that Dole

         6       v. Dow remains the law of the land.

         7                      I also -- we need to understand

         8       that we're creating an unfair burden, in certain

         9       cases, on manufacturers and property owners.

        10       If, in fact, they don't -- are not responsible

        11       for the total negligence, why should they be

        12       held 100 percent accountable?  Also, we should

        13       avoid the situation where we do have a negligent

        14       manufacturer to get off the hook before a jury

        15       to argue that it's someone else's responsibility

        16       because -- and that responsibility lies within

        17       the employer's hands and they're not within the

        18       reach of the jury.  That is wrong.

        19                      What I've heard today and Senator

        20       Bruno has said, we need to repeal Dole v. Dow

        21       because it'll save dollars, but if we look at

        22       the cost of the savings, it's actual pennies.

        23       If you look at the percentage of cases which











                                                             
5978

         1       Dole v. Dow is asserted, it's a tiny

         2       percentage.  Between 1982 and 1992, there were

         3       two million Worker Compensation cases.  Only

         4       11,000 of them were Dole v. Dow cases, and of

         5       those 11,000, 70 percent of those cases settled

         6       for $250,000 or under.  That's an insignificant

         7       figure when we're talking about enormous

         8       injuries and life-shattering accidents resulting

         9       in -- because of the negligence of the

        10       employers.

        11                      If we need to save dollars -- and

        12       we all think it's important to ensure worker

        13       safety and ensure the safety of the workplace -

        14       there are better ways of reducing premiums and

        15       saving dollars.  We can be pro-business and not

        16       anti-worker.  We can be pro-business and

        17       pro-worker by looking at better solutions and

        18       not repealing Dole v. Dow.  We can look at anti

        19       fraud packages, put more money into law

        20       enforcement.  We need to computerize the Worker

        21       Compensation Board function, create a special

        22       compensation fund that creates incentives for

        23       the good workers that put in safety mechanisms











                                                             
5979

         1       and penalize those employers that do neglect the

         2       safety of the workplace.

         3                      We have to look at the carrier

         4       profits.  What we're doing now is a very

         5       shortsighted view.  We don't understand the

         6       importance of Dole v. Dow.  If we repeal it, we

         7       will be hurting workers.  We will be taking away

         8       the incentives of employers to improve their

         9       workplace.  The repeal of Dole v. Dow is bad

        10       policy.  It is -- it appears to be pro

        11       business.  In the long run, it won't be pro

        12       business.  It will create greater costs to the

        13       system and clearly it is anti-worker.  This body

        14       should stand on the side of business and also on

        15       the side of workers.  Repealing Dole v. Dow does

        16       not do that.

        17                      I urge my colleagues to vote

        18       against the portion of this bill that would

        19       repeal Dole v. Dow.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Lack.

        22                      SENATOR LACK:  Thank you, Mr.

        23       President.











                                                             
5980

         1                      Senator Abate, I want to welcome

         2       you to the Senate.  That was a very passionate

         3       speech.  Unfortunately, it's been given time and

         4       time again.  I particularly like the part about

         5       why don't we computerize the Workers' Comp'

         6       Board.

         7                      You know, when I became chairman

         8       of the Senate Labor Committee in 1985, the first

         9       thing I said was "Why don't we computerize the

        10       Workers' Comp' Board?"  There's a five-volume

        11       study, Senator Abate -- which I'll be glad to

        12       send you.  It's been sitting on my bookshelves

        13       for many a year now -- on computerization of the

        14       Workers' Comp' Board which the prior Cuomo

        15       administration promised after a similar speech I

        16       gave on the floor in 1985 that, "You betcha,

        17       Senator.  We're going to have that done, and

        18       here is the five-volume study that we paid for

        19       which is going to computerize that board."  It

        20       still hasn't been done.

        21                      Now, let's wonder why.  I heard

        22       your speech, and the reason it hasn't been done,

        23       Senator, is because there are 2,000 amendments











                                                             
5981

         1       to the Workers' Comp' Law since it was first

         2       introduced, and the nice Bavarian system -

         3       because that's what it was -- that we picked up

         4       -- excuse me -- oppression system that we

         5       picked up from Bismarck who first put it into

         6       effect in 1870, of an in-out system of no-fault,

         7       in which an injured worker would get repaired -

         8       if you want to look at it in a fairly technical

         9       sense -- would be restored and he or she could

        10       go back to the workplace, doesn't exist.  Why?

        11       Because there's a whole industry, a whole

        12       industry that's grown up that services poor,

        13       injured workers, and that's how they make their

        14       living.  There's the doctor's mill.  There's the

        15       government employees that's involved, and best

        16       of all there's the Workers' Comp' bar and the

        17       trial lawyers who make their living off of

        18       people in the system, in the system get paid per

        19       appearance, per visit to the doctor, and you

        20       know something, if you get them through faster,

        21       you computerize it, less appearances, less

        22       visits, less trying to bring everybody together,

        23       and when you do it manually -- and it gets so











                                                             
5982

         1       screwed up all the time -- well, you've got to

         2       come back and do it again.

         3                      There isn't an attorney in this

         4       chamber -- indeed, there isn't an attorney in

         5       the state of New York who has ever had one

         6       Workers' Comp' case, any attorney in this

         7       chamber who has ever had one Workers' Comp' case

         8       and never taken another and only does one,

         9       please raise your hands, stand up now and talk

        10       about the Workers' -- one Workers' Comp' case.

        11       Every practicing attorney knows you only make

        12       money out of Workers' Comp' by lots of fires so

        13       you can go down there in the morning, adjourn

        14       100 cases and get ten bucks an hour for each

        15       case and then come back again and adjourn them

        16       again.

        17                      That's not what the system was

        18       supposed to be, but be that as it may, there had

        19       to be a way to make more money out of the system

        20       and, indeed, after Dole v. Dow, we found it.  I

        21       heard your wonderful defense of Dole v. Dow,

        22       your 11,000 cases here and a quarter of a

        23       million cases there and there isn't so much











                                                             
5983

         1       money.  You know, I really wish that was true.

         2                      The problem -- and there are a

         3       lot of people who eat off of Dole v. Dow.

         4       Obviously the trial attorneys, they eat big off

         5       of Dole v. Dow.  So do the insurance companies.

         6       The one thing I don't think I heard you mention

         7       was Part B coverage in Workers' Comp' because

         8       one of the best things in addition to defending

         9       as an attorney or bringing as an attorney a Dole

        10       v. Dow case is insuring against Dole v. Dow.

        11                      So what we have from Part B

        12       Workers' Comp' case -- because those 11,000

        13       cases, never can tell when one of them is going

        14       to be yours -- is we get to insure against it

        15       and we get to spend $350 million minimum.  I

        16       personally believe the number is somewhere

        17       double that.  $350 million minimum in this state

        18       insuring against Dole v. Dow, and for what; for

        19       a worker's paradise, a gold pot at the end of

        20       the rainbow?

        21                      You know, Senator Abate, what I

        22       didn't hear in your remarks is how you really

        23       believe that the labor movement in this country











                                                             
5984

         1       is so naive and so unstudied and so neglectful

         2       of its tasks that it has failed to follow your

         3       advice, and I'm personally going to get a

         4       transcript of your remarks and mail it to every

         5       labor union I can find.  Why?  Because they

         6       haven't done what they should do.

         7                      Since 1972 when Dole v. Dow was

         8       decided by the Court of Appeals, my simple

         9       question is -- this is 1996, 24 years later -

        10       there are 50 states in this Union.  There are 50

        11       states in the Federation of Labor.  In the

        12       United States, there is one national AFL-CIO -

        13       how come, if Dole v. Dow does what it's supposed

        14       to do to protect the injured workers of this

        15       state, the Empire State, that the other 49

        16       federations of labor in the United States

        17       haven't ever tried to get Dole v. Dow enacted

        18       into law into those 49 other states?  What

        19       happened?  They don't -- they don't want to do

        20       it?  It's not going to do things for the

        21       workers?  I mean, this wonderful workers

        22       protection statute, why isn't it there?  Why

        23       hasn't the national AFL-CIO seized upon the











                                                             
5985

         1       initiative of the Court of Appeals for the state

         2       of New York attempting to get passed -- until a

         3       year ago, after all, they were all Democratic

         4       Congresses -- to try to get passed in the

         5       Congress of the United States national Dole v.

         6       Dow?  Think of the worker protections that we

         7       could have in 50 states if Dole v. Dow was not

         8       the law of the state of New York but the law of

         9       the country?

        10                      Senator Abate, I really think

        11       that you should take your zeal, your wonderful

        12       understanding of Dole v. Dow, what it has done

        13       to the injured workers of this state and spread

        14       that as gospel in the 49 other states.  If you

        15       would like, Senator, or any other person here

        16       who wants to defend Dole v. Dow, I can arrange

        17       for you to appear before the AFL-CIO any place

        18       you'd like in the country and spread that

        19       gospel.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Abate, why do you rise?

        22                      SENATOR ABATE:  Would Senator -

        23       would Senator Lack yield to a question?











                                                             
5986

         1                      SENATOR LACK:  Oh, Senator, I'm

         2       always available, Mr. President, to answer a

         3       question.

         4                      ACTING PRESIDENT KUHL:  The

         5       Senator yields.

         6                      SENATOR ABATE:  Senator, could it

         7       be that we have more wisdom in New York State

         8       than in other states and that's why we have

         9       protected Dole v. Dow?  But, also, there are

        10       other people who have equal wisdom.  Are you

        11       aware that Illinois, California, North Carolina,

        12       have similar statutes, and there are other

        13       states that allow third-party contributions,

        14       maybe not to the extent of New York State, but

        15       we're not the only state with all this

        16       repository of wisdom.

        17                      So I look at it maybe we should

        18       educate the other states, not a weakness of

        19       labor but we should follow the wisdom we've had

        20       in place since 1994.

        21                      SENATOR LACK:  Senator, you'd

        22       better check.  Illinois repealed theirs.  I've

        23       been in California visiting the California











                                                             
5987

         1       Legislature four times since January, and you

         2       better check what their law is because it's not

         3       what you think it is.  I forgot whatever the

         4       other state is.

         5                      But we're the only state that has

         6        -- if you read our 1972 decision, we're the

         7       only state that allows for this range of

         8       lawsuits and third-party lawsuits, which is

         9       Valhalla for any trial practitioner.

        10                      And to answer your question more

        11       generally, why don't we try this, you show me.

        12       You show me the statistics that show under OSHA

        13       standards that New York is a safer state because

        14       of Dole v. Dow than any of the other 49 states

        15       in this union.  You show me the statistics that

        16       we have less accidents of any kind because of

        17       Dole v. Dow.  My answer back to you would be

        18       very simple.

        19                      Take the smallest figure that

        20       everybody acknowledges to the cost of Dole v.

        21       Dow, $350 million.  Take 10 percent of that,

        22       $35 million.  Let's forget the medical practi

        23       tioners.  Let's forget the trial attorneys.











                                                             
5988

         1       Let's forget the litigation costs.  Let's forget

         2       everything that eats upon the system and hurts

         3       the workers of this state.  Let's take that $35

         4       million -- $35 million in cash each year out of

         5       the Workers' Comp fund and let's appropriate

         6       that directly into worker safety programs in

         7       this state with every last dime of it going to

         8       the unions that need it for the protection of

         9       workers directly, not through lawyers, not

        10       through courts, not through judgments, not so

        11       they don't get a dime.

        12                      Take 10 percent.  You don't like

        13       10 percent?  Take 15 percent.  Take $52 million

        14       and give it to the workers of this state for

        15       worker protection, and then I'll start showing

        16       you some statistics of how safe you can get a

        17       workplace, and then $300 million that the

        18       businesses, the employers and the employees of

        19       this state can save because we're not spending

        20       money on Dole v. Dow, a paradise for everybody

        21       except the injured workers of this state.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Dollinger, why do you rise?











                                                             
5989

         1                      SENATOR DOLLINGER:  May I ask

         2       Senator Lack to yield to two questions?

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Lack, would you yield to a question from Senator

         5       Dollinger?

         6                      SENATOR DOLLINGER:  Senator Lack,

         7       you have been in the Majority in this house for,

         8       I believe, 16 years.

         9                      SENATOR LACK:  Going on 18,

        10       Senator.  Thank you.

        11                      SENATOR DOLLINGER:  Has any

        12       budget that's been approved by the Majority of

        13       this house included the 35 million for workers

        14       that you so passionately argued in favor of?

        15                      SENATOR LACK:  Thank you,

        16       Senator, for the question.  As a matter of fact,

        17       the answer is yes.  In 1987 -- don't hold me on

        18       the year -- I began -- the last bill passed of

        19       the year, a security and OSHA protection fund

        20       within Workers' Comp.  We started at 2 million.

        21       Right now, it's at approximately 6 million.

        22                      I have stood on this floor,

        23       before, saying that if we got rid of Dole v.











                                                             
5990

         1       Dow, we should take a percentage of the savings

         2       in the Part B coverage of the $350-plus million

         3       that is saved and immediately start applying

         4       that towards increasing that fund up towards the

         5       standards I started talking about.  Thirty-five

         6       million would be a great figure.

         7                      SENATOR DOLLINGER:  Again,

         8       through you, Mr. President.  How would we get

         9       our hands on that, since that is not our money?

        10       That's money paid by private companies to

        11       private insurance companies.  Would you suggest

        12       we tax to get it?

        13                      SENATOR LACK:  No.  I just

        14       said -- it's very simple.  We just take it out.

        15       It wouldn't be state money.  You take it out of

        16       the Workers' Comp fund.

        17                      SENATOR DOLLINGER:  Just one

        18       other question, Mr. President, for Senator Lack.

        19                      ACTING PRESIDENT KUHL:  Senator

        20       Lack, do you continue to yield?

        21                      SENATOR DOLLINGER:  I appreciate

        22       the vigor -

        23                      ACTING PRESIDENT KUHL:  The











                                                             
5991

         1       Senator yields.

         2                      SENATOR DOLLINGER:  -- and it's

         3       great to hear you on the floor because I've

         4       always -

         5                      SENATOR LACK:  Can you talk a

         6       little louder?

         7                      SENATOR DOLLINGER:  Excuse me.

         8                      SENATOR LACK:  A little louder.

         9                      SENATOR DOLLINGER:  My question

        10       is this:  Suppose you were working for Senator

        11       Bruno and Senator Bruno's scaffold company, and

        12       he said to you, "Senator Lack, see that

        13       scaffold?  I want you to go up four floors and

        14       repair the windows up there."

        15                      You said to Senator Bruno, "Gee,

        16       Joe, is it a safe scaffold?"

        17                      He said, "I don't know.  I bought

        18       it 30 years ago.  The company that manufactured

        19       it is now bankrupt.  But go up and do that,

        20       would you?" and you said, "Well, what do I get

        21       if I get hurt?"

        22                      He said, "Well, we'll pay your

        23       medical and we will pay something for lost











                                                             
5992

         1       wages, but if you fall and you are permanently

         2       disabled and you have a head injury and you

         3       can't think again, you can't be a lawyer again

         4       because you lose that mental functioning, if you

         5       lose your enjoyment of life -- you lose your

         6       enjoyment of life with your family, we can't

         7       compensate you for that."

         8                      So you are left just with medical

         9       benefits and something for lost wages.  What do

        10       you tell Senator Bruno, as your employer?

        11                      SENATOR LACK:  Thank you, Senator

        12       Dollinger.  First of all, half my side would

        13       think that's a perfect time to be a lawyer.  In

        14       addition to that, if I worked for Senator Bruno,

        15       I wouldn't call him Joe; I would call him

        16       Senator Bruno.

        17                      But, in any event, if I were

        18       climbing that scaffolding, I would refer you to

        19       Sections 240, et al., of the Labor Law of this

        20       state, which is not in this bill and not in this

        21       bill on purpose because it predates the Workers'

        22       Comp laws of this state and has nothing to do

        23       with Workers' Comp, the so-called "scaffolding











                                                             
5993

         1       acts" which established an absolute liability

         2       for falling off that four-story scaffolding, as

         3       they properly should, and it is the law of this

         4       state, and the company that didn't build the

         5       scaffolding, the company that you were working

         6       for, whomever, would be absolutely liable for

         7       your falling off the scaffolding.

         8                      SENATOR DOLLINGER:  And suppose,

         9       Senator, that that company has no insurance -

        10       the scaffolding company that built it has no

        11       insurance and there's no way for anybody to

        12       recover against them.  What do you tell the

        13       worker then?

        14                      SENATOR LACK:  Well, I would want

        15       to know why he was working for that company.

        16                      SENATOR DOLLINGER:  What you

        17       would tell them is, unfortunately, "Sorry.

        18       You're out of luck.  We don't have anything to

        19       give you except Workers' Comp benefits.  The

        20       loss of enjoyment of life that you sustained by

        21       falling, we give you nothing for."  Isn't that

        22       correct?

        23                      SENATOR LACK:  Mr. President.











                                                             
5994

         1       Senator, I don't know where you practice law.

         2       But, you know, Dole v. Dow is only good when

         3       there is a pot to go after.  Under the

         4       circumstances that you gave, you couldn't find a

         5       trial attorney in this state who would take your

         6       so-called Dole v. Dow case under the

         7       circumstances that you just gave, a scaffolding

         8       company that doesn't exist and a contractor who

         9       isn't worth a plug nickel.  Who are they going

        10       to sue?

        11                      SENATOR DOLLINGER:  You can sue

        12        -- as you know, under Dole v. Dow, you can sue

        13       the employer under his Part B coverage -

        14                      SENATOR LACK:  You told me the

        15       contractor had no money.

        16                      SENATOR DOLLINGER:  Excuse me.

        17                      SENATOR LACK:  Excuse me,

        18       Senator.  Under your scenario, nobody had any

        19       money.  If you are now adding that the

        20       contractor has money, under the scaffolding

        21       sections, 240 -- I suggest you read them, 240 of

        22       the Labor Law -

        23                      SENATOR DOLLINGER:  I'm very











                                                             
5995

         1       familiar with them.

         2                      SENATOR LACK: -- nothing

         3       whatsoever to do with this bill.  It's an

         4       absolute liability.  Sue the contractor.

         5                      SENATOR DOLLINGER:  The

         6       contractor -- let's say Senator Bruno is your

         7       employer, and the scaffold has been erected by

         8       Senator Connor.  Senator Connor's company is

         9       bankrupt.  There is no scaffolding company that

        10       will pay for it.  You can't get access to

        11       Senator Bruno's Part B coverage.

        12                      SENATOR LACK:  Senator, there are

        13       thousands of such cases in litigation all over,

        14       and that includes in Dole v. Dow cases.  There

        15       ain't anybody to pay.  Nothing new about it.

        16                      SENATOR DOLLINGER:  The answer is

        17       they get nothing.

        18                      Mr. President, can I ask Senator

        19       Bruno just a couple of quick questions?

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Dollinger, you don't have the floor.

        22                      SENATOR DOLLINGER:  Excuse me.  I

        23       apologize, Mr. President.











                                                             
5996

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Libous.

         3                      SENATOR LIBOUS:  Thank you, Mr.

         4       President.

         5                      I, too, want to rise to

         6       compliment Senator Bruno and the Majority for

         7       putting this bill on the floor.

         8                      Over the course of the last

         9       couple of years, as I have often talked about, I

        10       have had the pleasure of visiting a number of

        11       businesses not only throughout this state but

        12       particularly in my Senate district; and when I

        13       walk into those businesses and I ask them, "What

        14       are the three -- top three issues that affect

        15       your business that we could help you with in New

        16       York State?" it doesn't matter where I go, they

        17       say Workers' Comp, utility rates, taxes and

        18       regulations, and they say it in that order, and

        19       I would challenge any of my colleagues, even if

        20       you disagree with the bill that's on the floor,

        21       to go back home, take a walking tour of your

        22       district, walk into the businesses, look the

        23       owners in the eye and ask them, "What three











                                                             
5997

         1       major issues in New York State government have a

         2       negative impact on your business?" and, while I

         3       won't guarantee each and every one of them will

         4       say Workers' Comp first, I would bet you that

         5       Workers' Comp will fall in the top three.

         6                      This legislation that is before

         7       us seems to be quite balanced.  You know, since

         8       I was elected to the Senate in 1988, every year

         9       they talked about Workers' Comp reform, whether

        10       it be the Governor's office, this chamber, the

        11       Assembly chamber, and each year nothing

        12       happened.  Yes, a couple of years ago, we played

        13       with a managed care piece that really did very

        14       little to help workers, did very little to help

        15       businesses in the state.

        16                      This legislation is real.  This

        17       legislation will reduce rates by 25 percent.

        18       The 25 percent is significant.  It also

        19       increases benefits for workers, which is very,

        20       very important.  If you go out and talk to

        21       businesses, they will tell you, because Workers'

        22       Comp' premiums have gone up over the years,

        23       they've had to lay people off.  So I see the











                                                             
5998

         1       positive side of this legislation.  It is

         2       actually a bill that is going to put people back

         3       to work.

         4                      And, you know, it's funny when

         5       you talk to union leaders.  I guess it depends

         6       where those leaders are in the hierarchy of the

         7       union.  Because when you talk to the upper

         8       echelon of the union leaders, they will tell

         9       you, "This is a bad bill; it hurts our

        10       workers."  But if you talk to the rank and file

        11       in the union, they see this legislation as

        12       something that's realistic, something that's

        13       doable.  They recognize -- because they talk -

        14       every day, they interface with the management of

        15       their company and with the owners of their

        16       company, and they recognize that they have had

        17       to lay union workers off over the past ten years

        18       because of the high cost of Workers'

        19       Compensation in this state.

        20                      The issue was brought up about

        21       fraud.  Certainly, there are some provisions to

        22       address fraud in this legislation, but at the

        23       same time we can do that now.  The administra











                                                             
5999

         1       tion is going after fraud.  They have set up

         2       units in various areas of the state to address

         3       Workers' Compensation fraud.

         4                      And I'll tell you a funny story.

         5       There was an individual who worked for the

         6       Workers' Compensation Board and was asked a

         7       question by another employee of that board one

         8       day about fraud, and they said, "Yeah, we go

         9       after fraud; we go after the businesses for

        10       fraud."  The person was then asked, "How about

        11       worker fraud?"

        12                      "Well, we don't address that

        13       issue."

        14                      So you have to have a balanced

        15       approach, and that balanced approach has been

        16       put into effect by this administration.

        17                      Mr. President, this is real

        18       legislation to address the Workers' Compensation

        19       problem that we have in New York State.  This is

        20       the first time in the eight years that I have

        21       been in the New York State Senate that we have a

        22       real issue before us to address Workers'

        23       Compensation.  I can only stress that we pass











                                                             
6000

         1       the legislation today.  As Senator Bruno said,

         2       the Governor is on board.  We have only one

         3       other step, and that's to bring the Assembly

         4       forward.

         5                      If we in this Legislature really

         6       care about business and if you really care about

         7       putting workers back to work, you will vote yes

         8       for this bill.

         9                      ACTING PRESIDENT KUHL:  Senator

        10       Dollinger.

        11                      SENATOR DOLLINGER:  Will Senator

        12       Bruno yield for a couple of quick questions, Mr.

        13       President?

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Bruno, do you yield to a question from Senator

        16       Dollinger?

        17                      SENATOR BRUNO:  Mr. President, I

        18       believe there are some other members in the

        19       chamber that have some emergency conditions and

        20       would like to vote on this legislation before

        21       they leave.

        22                      SENATOR DOLLINGER:  I would

        23       yield.











                                                             
6001

         1                      SENATOR BRUNO:  So if you

         2       wouldn't mind.

         3                      ACTING PRESIDENT KUHL:  Secretary

         4       will read the last section.

         5                      THE SECRETARY:  Section 91.  This

         6       act shall take effect immediately.

         7                      ACTING PRESIDENT KUHL:  Call the

         8       roll.

         9                      (The Secretary called the roll.)

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Kruger, how do you vote?

        12                      SENATOR KRUGER:  No.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Kruger will be recorded in the negative.

        15                      SENATOR MENDEZ:  No.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Mendez, how do you vote?

        18                      SENATOR MENDEZ:  Mr. President, I

        19       am also requesting unanimous consent to be -

        20                      ACTING PRESIDENT KUHL:  Let me

        21       get off of this bill first.  Okay, Senator

        22       Mendez?

        23                      Senator Mendez will be recorded











                                                             
6002

         1       in the negative.

         2                      Senator Lachman.

         3                      SENATOR LACHMAN:  No.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Lachman will be recorded in the negative.

         6                      Senator Waldon.

         7                      SENATOR WALDON:  No.

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Waldon will be recorded in the negative.

        10                      SENATOR GONZALEZ:  No.

        11                      ACTING PRESIDENT KUHL:  Senator

        12       Gonzalez will be recorded in the negative.

        13                      SENATOR GOLD:  Mr. President.

        14                      ACTING PRESIDENT KUHL:  Senator

        15       Gold.

        16                      SENATOR GOLD:  In the negative,

        17       Mr. President.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Gold will be recorded in the negative.

        20                      Is that the extent of the

        21       Senators who you wish to provide the

        22       opportunities to vote, Senator Bruno?

        23                      Would you like the roll call











                                                             
6003

         1       withdrawn now, Senator Bruno?

         2                      SENATOR BRUNO:  Yes.

         3                      ACTING PRESIDENT KUHL:  Roll call

         4       is withdrawn.  We're back on debate.

         5                      SENATOR BRUNO:  And, Mr.

         6       President, I believe Senator Mendez would also

         7       like to vote on Calendar Number 381, so we might

         8       call that up.

         9                      And then 1167 for Senator Mendez,

        10       and I would caution the members that remain in

        11       the chamber to be careful.  If you don't have

        12       places you've got to be, stay with us.  We have

        13       lots of work to do.

        14                      ACTING PRESIDENT KUHL:  We'll lay

        15       Calendar 1225 aside temporarily.

        16                      Ask the Secretary to read the

        17       title to Calendar Number 381.

        18                      THE SECRETARY:  Calendar Number

        19       381, by Senator DeFrancisco, Senate Print 3520A,

        20       an act to amend the Social Services Law, in

        21       relation to the transportation of certain

        22       persons.

        23                      ACTING PRESIDENT KUHL:  Read the











                                                             
6004

         1       last section.

         2                      THE SECRETARY:  Section 2.  This

         3       act shall take effect immediately.

         4                      ACTING PRESIDENT KUHL:  Senator

         5       Mendez, how do you vote on Calendar Number 381?

         6                      SENATOR MENDEZ:  No.

         7                      ACTING PRESIDENT KUHL:  Excuse

         8       me.  Call the roll.

         9                      (The Secretary called the roll.)

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Mendez in the negative on Calendar Number 381.

        12                      The roll call is withdrawn.  The

        13       bill is laid aside.

        14                      SENATOR MENDEZ:  And 1167.

        15                      SENATOR WALDON:  I was trying to

        16       get my vote in on 381 and 1167.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Waldon, how do you want to be recorded on

        19       Calendar Number 381?

        20                      SENATOR WALDON:  Negative, no.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Waldon in the negative on Calendar Number 381.

        23                      Senator Gonzalez?











                                                             
6005

         1                      SENATOR GONZALEZ:  In the

         2       negative.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Gonzalez in the negative on Calendar Number 381.

         5                      Roll call is withdrawn.  The bill

         6       is laid aside.

         7                      Secretary will read the title to

         8       Calendar Number 1167.

         9                      THE SECRETARY:  Calendar Number

        10       1167, by Senator Holland, Senate Print 1468, an

        11       act to amend the Social Services Law, in

        12       relation to requiring an address as a condition

        13       of receiving assistance.

        14                      ACTING PRESIDENT KUHL:  Secretary

        15       will read the last section.

        16                      THE SECRETARY:  Section 2.  This

        17       act shall take effect on the 30th day.

        18                      ACTING PRESIDENT KUHL:  Call the

        19       roll.

        20                      (The Secretary called the roll.)

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Mendez, how do you vote on Calendar Number 1167?

        23                      SENATOR MENDEZ:  No.











                                                             
6006

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Mendez will be recorded in the negative.

         3                      Senator Waldon, how do you vote?

         4                      SENATOR WALDON:  In the negative.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Waldon will be recorded in the negative on

         7       Calendar Number 1167.

         8                      Senator Gonzalez?

         9                      SENATOR GONZALEZ:  (Indicating he

        10       does not wish to vote.)

        11                      ACTING PRESIDENT KUHL:  Okay.

        12       The roll call is withdrawn.

        13                      Secretary will read the title to

        14       Calendar Number 1225.

        15                      THE SECRETARY:  Calendar Number

        16       1225, by Senator Bruno, Senate Print 7164A, an

        17       act to amend the Workers' Compensation Law, in

        18       relation to extending the effectiveness of

        19       certain provisions to repeal certain provisions

        20       of the Workers' Compensation Law.

        21                      ACTING PRESIDENT KUHL:  We're

        22       back on debate on Calendar Number 1225.

        23                      Chair recognizes Senator











                                                             
6007

         1       Dollinger.

         2                      SENATOR DOLLINGER:  Thank you,

         3       Mr. President.  I asked Senator Bruno if he

         4       would yield to just a couple quick questions.

         5                      ACTING PRESIDENT KUHL:  Senator

         6       Bruno, would you yield to a question from

         7       Senator Dollinger on Calendar Number 1225?

         8                      SENATOR BRUNO:  Yes, Mr.

         9       President.

        10                      ACTING PRESIDENT KUHL:  The

        11       Senator yields.

        12                      SENATOR DOLLINGER:  Senator, has

        13       the New York State Insurance Rating Board, the

        14       independent organization that actually

        15       calculates and sets Workers' Compensation rates,

        16       has it evaluated the savings associated with

        17       this bill?

        18                      SENATOR BRUNO:  Not yet and not

        19       to my knowledge.

        20                      SENATOR DOLLINGER:  The Business

        21       Council of the State of New York and, I think,

        22       with the Rochester Chamber of Commerce has

        23       suggested that there was a benchmark of 25











                                                             
6008

         1       percent reduction in rates before they would

         2       support a bill of this type.

         3                      Without the scoring of this

         4       savings from the Insurance Rating Board, how can

         5       we tell that this bill meets that requirement?

         6                      SENATOR BRUNO:  The analysis that

         7       was done by people who have an expertise in

         8       these matters have given me a conclusion that

         9       there are 25 percent savings in the premiums in

        10       the legislation that's on the floor before us.

        11                      SENATOR DOLLINGER:  Again,

        12       through you, Mr. President.

        13                      SENATOR BRUNO:  It's about an

        14       $800 million savings on a $3.9 billion premium.

        15                      SENATOR DOLLINGER:  Through you,

        16       Mr. President.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Bruno, do you continue to yield?

        19                      SENATOR BRUNO:  Yes, I will, Mr.

        20       President.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       continues to yield.

        23                      SENATOR DOLLINGER:  That would











                                                             
6009

         1       actually be less than 25 percent?

         2                      SENATOR BRUNO:  Well, what is it

         3       less?

         4                      SENATOR DOLLINGER:  Well, I don't

         5       know.

         6                      SENATOR BRUNO:  Well, I don't

         7       either.

         8                      SENATOR DOLLINGER:  Okay.

         9                      SENATOR BRUNO:  It's 24.5.  We're

        10       rounding it out, and we're saying that it's 25

        11       percent.

        12                      SENATOR DOLLINGER:  Okay.

        13                      Through you, Mr. President.  Has

        14       the Business Council issued a memorandum in

        15       support of this legislation?

        16                      SENATOR BRUNO:  Not that I've

        17       seen.

        18                      SENATOR DOLLINGER:  If Senator

        19       Bruno will continue to yield to just two more

        20       questions.

        21                      SENATOR BRUNO:  Yes, Mr.

        22       President.

        23                      ACTING PRESIDENT KUHL:  The











                                                             
6010

         1       Senator continues to yield.

         2                      SENATOR DOLLINGER:  One of the

         3       factors in this bill is to substitute the

         4       American Medical Association's impairment

         5       guidelines for the current schedule of

         6       disability guidelines that occurs in New York

         7       law.

         8                      Are you aware that, in 1994,

         9       consistent with the concept of states' rights

        10       and local control of compensation, the New York

        11       State Workers' Compensation Board compiled a

        12       "Medical Guidelines for Disability" booklet

        13       less than two years ago which sets forth the

        14       standards for disabilities in this state?  Are

        15       you aware of that?

        16                      SENATOR BRUNO:  Are you asking me

        17       if I'm aware that there is such a booklet?

        18                      SENATOR DOLLINGER:  Yes.

        19                      SENATOR BRUNO:  Yes, I am aware.

        20                      SENATOR DOLLINGER:  Are you aware

        21       that it was promulgated within the last two

        22       years to set the standards for determining

        23       disability?











                                                             
6011

         1                      SENATOR BRUNO:  I didn't know

         2       what the time frame was, but I knew it was a

         3       comparably short period of time.

         4                      SENATOR DOLLINGER:  Again,

         5       through you, Mr. President.  Are you aware that

         6       this was a compilation of experts in the field,

         7       labor and business, that everyone got together

         8       and put this together?  This is a home-grown

         9       product to determine disability in New York

        10       State.

        11                      SENATOR BRUNO:  Senator, what I'm

        12       aware of is that we in New York State for some

        13       reason or other pay 57 percent more than the

        14       national average in premiums, $3.9 billion, and

        15       there's some reason why we pay 57 percent more,

        16       and since we pay the second highest premium in

        17       the country, we feel that we have to do a total

        18       reform of a failed system of compensating

        19       workers in this state.  The recommendations that

        20       are being made through this legislation, the

        21       substitution, is part of a total package to get

        22       us to a reduction in premiums.

        23                      SENATOR DOLLINGER:  But for the











                                                             
6012

         1       record -- Mr. President, through you -- you

         2       don't know whether the disabilities that are

         3       contained and described, the guidelines for

         4       disabilities, are a cause or what portion of

         5       that extra cost is a result of this book; is

         6       that correct?

         7                      SENATOR BRUNO:  The Governor's

         8       bill was rated, and it is my information that

         9       that accounts for about 24 percent of the costs

        10       represented in the premium, 24 percent.

        11                      SENATOR DOLLINGER:  Again,

        12       through you, Mr. President, just one more

        13       question.  The analysis that I have seen of this

        14       bill, which talks about the cost savings,

        15       projects about $900 million in cost savings

        16       which I think is within the range that you

        17       discuss.  It says that 64 percent, more than

        18       three-fifths of the savings will be due to the

        19       use of the AMA guidelines for impairment rather

        20       than the state standard of disability.

        21                      What that means is that about

        22       $600 million less will be paid to disabled

        23       workers under the guidelines rather than under











                                                             
6013

         1       the current system.  Could you tell me what

         2       evidence you have that the workers who got that

         3       $600 million didn't need it or didn't deserve it

         4       or weren't disabled?

         5                      SENATOR BRUNO:  The intent in

         6       what is being done here is that those that are

         7       more seriously injured will be compensated more

         8       while those that are less seriously injured will

         9       get less; and we, Senator -- and you may not be

        10       aware of this, so I'm happy to enlighten you.

        11       We're joining, through this legislation, 38

        12       other states that use the AMA guidelines instead

        13       of the booklet you have in your hand.

        14                      SENATOR DOLLINGER:  Mr.

        15       President, just for a point of clarification, if

        16       I could ask Senator Bruno one other question.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       Bruno, do you yield to another question?

        19                      SENATOR DOLLINGER:  Isn't it a

        20       fact, Senator, that only two states in the Union

        21       use the AMA guidelines as the sole basis for

        22       determining disability and that, in fact, there

        23       are 38 states that use the AMA guidelines to











                                                             
6014

         1       determine the extent of impairment but also use

         2       other factors such as age, occupation, skills

         3       basis, retraining capability, to determine the

         4       extent of disability?

         5                      So I agree with you, Senator.

         6       There are 38 states that use them, but we will

         7       become one of only three states that use them as

         8       the sole and exclusive way for determining

         9       disability.  Isn't that correct, Senator?

        10                      SENATOR BRUNO:  I believe you

        11       need the AMA guidelines to get to the point that

        12       you're describing.

        13                      SENATOR DOLLINGER:  That's

        14       correct, Senator.  You need the AMA guidelines,

        15       because what they show is the extent of

        16       impairment.  Disability under our law and under

        17       the laws of the other 36 states that use the AMA

        18       guidelines is not just a function of impairment;

        19       it's a function of the extent of disability and

        20       the effect on a person.

        21                      For example, you can have an

        22       impairment in your finger.  You lose your

        23       finger.  That is a minor disability for someone











                                                             
6015

         1       who is a practicing lawyer.  It may be fatal if

         2       you are a flutist or a trombone player.  That's

         3       the difference between impairment and

         4       disability, but under this proposal, the AMA

         5       guidelines would become the sole factor.  There

         6       would be no other consideration other than the

         7       impairments listed by AMA.  Isn't that correct,

         8       Senator?

         9                      SENATOR BRUNO:  No, I don't

        10       believe that's entirely correct, Senator, but

        11       let's give some credit to the medical profession

        12       when they are making their judgments in making

        13       these awards that they are taking into

        14       consideration all of the things that are

        15       important to that injured person so that they

        16       are being treated equitably.

        17                      They are not dealing in

        18       isolation.  They look at age.  They look at the

        19       circumstance.  They look at the ability or

        20       disability that's involved.  That's all part of

        21        -- and what we're really trying to do is

        22       prevent what goes on now, where judgments are

        23       made, where workers with the same injury get











                                                             
6016

         1       substantially different amounts of compensation,

         2       and that's unfair to the worker.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Tully, why do you rise?

         5                      SENATOR TULLY:  Yes, Mr.

         6       President.  Point of information.

         7                      Is my recollection correct that

         8       Senator Dollinger originally asked if he could

         9       ask two questions to the Majority Leader, and

        10       then he asked again a point of clarification,

        11       and he asked one last question.  Is that

        12       correct?

        13                      ACTING PRESIDENT KUHL:  Well,

        14       Senator Tully, I'm over 40 and I don't remember

        15       what happened just two minutes ago.

        16                      Senator Dollinger, you have the

        17       floor.

        18                      SENATOR DOLLINGER:  Mr.

        19       President, I appreciate the chiding.

        20                      I have looked in great detail at

        21       the issue relating to the AMA guidelines and

        22       their use as the sole basis for determining

        23       disability in this state and, frankly, I'm











                                                             
6017

         1       astounded that anyone would stand here and

         2       suggest that we have misspent $600 million on

         3       paying disabled workers in this state disability

         4       that they are entitled to because, make no bones

         5       about it, the way the Governor scores and

         6       evaluates the savings in this bill, the largest

         7       component of savings -- the largest component

         8       is to take disabled workers in this state,

         9       workers who have sustained loss of fingers, loss

        10       of hands, loss of cognitive ability, loss of the

        11       ability, frankly, to speak, loss of the ability

        12       to walk, loss of the ability to sit, loss of the

        13       ability to bend over, loss of the ability to

        14       bend their thumb, loss of the ability to bend

        15       their arm, all of those workplace injuries,

        16       those people who have given their heart and

        17       their soul to their employer and given their

        18       lives to their employer, and Senator Bruno

        19       stands here and says they are not disabled

        20       enough of being worthy of being paid.  I can't

        21       believe it.

        22                      Senator Bruno is standing here

        23       today and saying we're going to take $600











                                                             
6018

         1       million that we now pay to those people who have

         2       back injuries, who have elbow injuries, who have

         3       carpel tunnel syndrome, who have wrist injuries,

         4       who have neck injuries, all of those people who

         5       may not meet the 15 percent requirement in this

         6       bill, and we're going to tell them, Do you know

         7       how much you get from the State of New York?  Do

         8       you know how much you get from your employer for

         9       all you have done over the last thirty years in

        10       bending over to pick up things, in reaching up

        11       to put things on shelves and rolling over

        12       patients in our nursing homes and pushing carts

        13       in our hospitals, in typing at your desk for

        14       lawyers?  Do you know what you get for Workers'

        15       Compensation benefits?  You get nothing because

        16       your permanent partial disability doesn't amount

        17       to 15 percent and, therefore, the message from

        18       this body today is we don't care.

        19                      We ought to be astounded that

        20       we're going to take $600 million that goes to

        21       disabled workers in this state and say, you

        22       don't get it any more because we're going to

        23       change the guidelines.  We're now going to have











                                                             
6019

         1       a simple, single set of impairment guidelines

         2       for everybody, regardless of your age,

         3       regardless of what you did, regardless of your

         4       ability to train.  We're going to treat

         5       everybody like that little single part that we

         6       put into the big cog that we call our industrial

         7       machine, and we'll get away from the notion that

         8       people are different, that they have different

         9       skills, and that the system ought to treat them

        10       differently and recognize that a loss of a

        11       finger for a lawyer is not a big deal.  If you

        12       are a horn player or a typist, it could be your

        13       future.

        14                      I'd ask everybody in this room,

        15       if you had an I.Q. of 120 and you lost 15 points

        16       on your I.Q. and you couldn't think and you

        17       couldn't enjoy reading and didn't have the

        18       cognitive ability to read a balance sheet and

        19       understand it again, would you be disabled?  Of

        20       course, you'd be disabled.  But under these

        21       guidelines, you wouldn't meet the 15 percent

        22       test.  So what would we give you in terms of a

        23       permanent partial disability?  Nothing, zero,











                                                             
6020

         1       because that's the way the system will work if

         2       we use the AMA guidelines in conjunction with a

         3       limitation that says you have to be disabled

         4       more than 15 percent.  I can't believe that that

         5       $600 million being paid to disabled people in

         6       this state is now going to be washed clean by

         7       this bill.

         8                      The final point that I want to

         9       make is that -

        10                      ACTING PRESIDENT MARCELLINO:

        11       Senator Velella, why do you rise?

        12                      SENATOR VELELLA:  I'm trying to

        13       follow your train of thought, and I want to just

        14       ask a question.

        15                      ACTING PRESIDENT MARCELLINO:

        16       Senator Velella, are you asking the Senator to

        17       yield in the chair?

        18                      SENATOR DOLLINGER:  I will yield

        19       to a question, Mr. President.

        20                      ACTING PRESIDENT MARCELLINO:  The

        21       Senator yields.

        22                      SENATOR VELELLA:  Senator, I'm

        23       trying to follow your train of thought here, and











                                                             
6021

         1       I'm just getting a little lost now.  You're

         2       talking about this 15 percent rule in the AMA

         3       guidelines.  Can I ask you, if you walked out of

         4       the chamber and fell down and banged your head

         5       and you were slightly incapacitated, who would

         6       you go to for assistance?

         7                      SENATOR DOLLINGER:  Who would I

         8       go to?

         9                      SENATOR VELELLA:  Yes.  Would you

        10       go to a doctor to help you with the medical

        11       problem?

        12                      SENATOR DOLLINGER:  Sure, I

        13       would.

        14                      SENATOR VELELLA:  If your finger

        15       couldn't bend all the way and you wanted to try

        16       to get it to bend the rest of the way, who would

        17       you go to?

        18                      SENATOR DOLLINGER:  I would go to

        19       a doctor, of course.

        20                      SENATOR VELELLA:  Who writes the

        21       AMA standards?

        22                      SENATOR DOLLINGER:  The American

        23       Medical Society.











                                                             
6022

         1                      SENATOR VELELLA:  What are they

         2       comprised of?

         3                      SENATOR DOLLINGER:  Physicians, I

         4       assume.

         5                      SENATOR VELELLA:  Doctors?

         6                      SENATOR DOLLINGER:  Of course.

         7                      SENATOR VELELLA:  Okay.  Thank

         8       you.  I just wanted to get that straight.

         9                      SENATOR DOLLINGER:  Well, I think

        10       Senator Velella brings up a good point.  The

        11       most interesting part about it is, Senator

        12       Velella, do you know what the AMA says about

        13       using its guidelines for impairments as a tool

        14       to determine the extent of disability?  Do you

        15       know what they say?  "Don't use our guidelines

        16       to determine disability; they are not a

        17       practical tool to be used for that because

        18       disability is a term that applies to an

        19       individual."  Disability is the difference

        20       between the loss of a finger on the part of a

        21       typist and the loss of a finger on the part of a

        22       member of the state Legislature.  There is a

        23       difference in the extent of disability.











                                                             
6023

         1                      Our system now recognizes that

         2       difference by allowing partial disability to

         3       permanent disability to be paid to the two of

         4       them potentially at different rates because of

         5       the extent that the disability has on their

         6       ability to earn income and their ability to be

         7       retrained.

         8                      So sure enough, Senator Velella,

         9       I abide by the wisdom of physicians.  I think

        10       the physicians have done a good job by coming up

        11       with a system of physical impairments to try to

        12       quantify physical impairments, but the most

        13       interesting part about it is, the physicians

        14       say, if you have a chance to put our guidelines

        15       to work as the sole determinant in your Workers'

        16       Compensation system for determining the extent

        17       of disability, do you know what those physicians

        18       say?  "Don't do it. It's not the right thing to

        19       do."  I would take the advice of those doctors.

        20                      I would say to the people of this

        21       state, if you've got a permanent partial

        22       disability and we're paying you $600 million now

        23       because we're convinced that you have been











                                                             
6024

         1       disabled, that that disabling condition, a bad

         2       back, a bad wrist, carpal tunnel syndrome -- run

         3       through the whole gamut of those minor injuries,

         4       and you stand up and tell everybody in this

         5       state that has a bad back, that can't lift more

         6       than five pounds, "You are not disabled, you

         7       don't get anything from your Workers'

         8       Compensation system," again it's an outrage.

         9                      The whole idea that we would

        10       substitute this for our system of disability

        11       makes no sense at all and taking $600 million

        12       from the disabled workers in this state, we

        13       ought to be ashamed of that.

        14                      ACTING PRESIDENT MARCELLINO:

        15       Senator Stachowski.

        16                      SENATOR STACHOWSKI:  Will Senator

        17       Bruno yield for a couple of questions?

        18                      ACTING PRESIDENT MARCELLINO:

        19       Senator Bruno, do you yield to Senator

        20       Stachowski?

        21                      SENATOR BRUNO:  Yes, Mr.

        22       President.

        23                      ACTING PRESIDENT MARCELLINO:  The











                                                             
6025

         1       Senator yields.

         2                      SENATOR STACHOWSKI:  Senator, in

         3       the bill, the part that I'm going to deal with

         4       is the managed care section and, in particular,

         5       the bill eliminates the requirements under the

         6       managed care pilot program that is currently in

         7       effect that says workers -- it eliminates when

         8       workers should have 60-day notice of the

         9       employer's intention to use a managed care

        10       program, that the employers may not use managed

        11       care unless they have collectively bargained

        12       with the union to allow its use, and also that

        13       the bill would now increase from 15 percent to

        14       50 percent of the work force would now be

        15       covered by managed care.

        16                      Since we passed this program in

        17       1993, in December, and it hasn't run its course

        18       and it would run out in 1997, why are we

        19       eliminating these provisions now in your bill?

        20                      SENATOR BRUNO:  I'm told that

        21       hardly anyone used the system.

        22                      SENATOR STACHOWSKI:  Also, in the

        23       bill, the bill eliminates the authority of the











                                                             
6026

         1       Commissioner of Health to decertify a managed

         2       care provider who fails to comply with statutory

         3       criteria.  Why would we be doing this?

         4                      SENATOR BRUNO:  If they had

         5       failed to comply?

         6                      SENATOR STACHOWSKI:  If the

         7       Commissioner wants to decertify them, that's no

         8       longer allowed -- the Commissioner of Health -

         9       in your bill.

        10                      SENATOR BRUNO:  Sorry.  Repeat

        11       that, Senator.

        12                      SENATOR STACHOWSKI:  In your

        13       bill, you eliminate the authority of the

        14       Commissioner of Health to decertify a managed

        15       care provider who fails to comply with statutory

        16       criteria.  Why do we do that?  What does that

        17       accomplish?

        18                      SENATOR BRUNO:  Well, to my

        19       knowledge, it is the employer that makes

        20       available the provider with the worker, and we

        21       feel that that's a negotiated agreement between

        22       the parties.

        23                      SENATOR STACHOWSKI:  The last











                                                             
6027

         1       question, and then I will speak on the bill, is

         2       last year we passed an alternate dispute

         3       resolution bill for Workers' Comp' claims in the

         4       construction industry, and some of the unions

         5       didn't like that idea.  In your bill, we're

         6       extending this to the public employees, rather

         7       than waiting to see if it works even in the area

         8       where we have it covered now.  Why are we doing

         9       that extension into public employees when we're

        10       not even sure how this is going to work in the

        11       private sector?

        12                      SENATOR BRUNO:  We think there

        13       are dollar savings.  It expedites the process

        14       and it relates to the City, which is

        15       self-insured.

        16                      SENATOR STACHOWSKI:  Thank you.

        17                      On the bill.

        18                      ACTING PRESIDENT MARCELLINO:

        19       Senator Stachowski, on the bill.

        20                      SENATOR STACHOWSKI:  When asking

        21       the question about why we eliminate the

        22       Commissioner of Health from having the ability

        23       to decertify managed care providers, the Senator











                                                             
6028

         1       with the help of his counsel said it's because

         2       the employer would negotiate that with the

         3       employee and that's how they would come to what

         4       the provider would be, except that, in another

         5       section, we don't have any place for them to

         6       negotiate that.  That's eliminated, and the

         7       60-day notice is eliminated, and we're going

         8       back pretty much to the company doctor, as far

         9       as the working people are concerned; and, that

        10       is, that you go to this managed care provider,

        11       and that's the end of it.

        12                      And the reason we got away from

        13       having company doctors is because it wasn't

        14       working for the working people, and so we're

        15       going back to that old system, and it doesn't

        16       seem to make sense.

        17                      We had a rather loud and

        18       impassioned presentation by Senator Lack, the

        19       former chairman of the Labor Committee, beating

        20       up Dole v. Dow and saying that it's a terrible

        21       idea and all the states -- 49 states don't like

        22       it, and it's a shame that the working men and

        23       women in New York are just not quick enough to











                                                             
6029

         1       comprehend that they ought to get rid of it, and

         2       they would save money and be better off if we

         3       got rid of it and we put the money into other

         4       areas.  We would love to put the money into

         5       other areas, but there's nothing in this bill

         6       that says where the money would go.

         7                      I happen to think that if it was

         8       such a good idea and since the Senator spoke

         9       about it for so many years as chairman, you

        10       would think he would be able to sell the unions

        11       on it if it's such a good idea because he had a

        12       constant open door with AFL-CIO statewide and

        13       never was able to convince them it's such a good

        14       idea.

        15                      I don't think, although trial

        16       lawyers benefited from it, that the union people

        17       keep it for the benefit of their friends that

        18       are trial lawyers.  I don't think that's how

        19       that works.  I think that there would be a

        20       bill.  If there was a way to do this coverage

        21       and cover the safety of these workers, I think

        22       that bill would fly right through here.

        23                      The problem we have is, if there











                                                             
6030

         1       still exists in the state bad employers, those

         2       employers that would take a machine and remove

         3       safety covers for the sake of better production

         4       at the expense of workers' safety, that we have

         5       a concern and we have a problem and, if we know

         6       it exists, why would we do something that makes

         7       that problem and make sure that the person that

         8       causes that problem is not guilty of any kind of

         9       liability?  That doesn't make sense to me.

        10                      The reason the AFL-CIO had that

        11       what some people considered horrible pamphlet,

        12       at least the picture part -- the explanation

        13       wasn't so horrible.  It was the lady that lost

        14       her hands -- was because her boss came to one of

        15       Senator Spano's hearings and said we should

        16       eliminate Dole v. Dow.  This woman that took

        17       that machine and took the safety guards off,

        18       this lady lost her hands.  She got rid of the

        19       machine before it could become part of the

        20       trial.  It's an amazing story.  Another

        21       interesting epilogue to that story was that when

        22       they sewed a thumb on her arm, the insurance

        23       company then said she should go back to work for











                                                             
6031

         1       light duty, which I thought was incredible.

         2                      And there you see that there is

         3       an exposure there which we just can't ignore,

         4       and I don't understand why we are not looking

         5       for some kind of alternative rather than just

         6       eliminating protection for workers.  That means

         7       the protection that there's a real effort on the

         8       part of employers to have a safe workplace

         9       because of this threat, and most employers don't

        10       need that threat but, unfortunately, there are

        11       still some in this state that do, and because of

        12       that, we have trouble with that part.

        13                      I think it's incredible that in

        14       the bill we all are aware that there is some

        15       fraud on every side of this, and nobody here is

        16       condoning a worker beating the system by faking

        17       an injury, but it's kind of harsh to make

        18       somebody who is legitimately hurt sign a check

        19       every time they get one that says, "My condition

        20       has not changed."  I'm sure if their condition

        21       changed, they'd be happy to go back to work.  I

        22       don't think they want to be home, or they don't

        23       want to be crippled if they happen to be











                                                             
6032

         1       crippled.  I don't think that's a choice.  I

         2       think it's something that happens to injured

         3       workers.

         4                      I think it's also interesting to

         5       stand here -- and I think people are going to

         6       get up and say, "This bill is reality.

         7       Two-thirds of the triumvirate necessary to make

         8       this bill law are in favor of it."

         9                      Well, I must have missed

        10       something because in the last administration

        11       two-thirds of triumvirate were for a bias

        12       related crime bill, and that's not real, and

        13       two-thirds of the triumvirate, with the Governor

        14       and the Majority in one house, was for an

        15       assault weapons bill, and that didn't make that

        16       real.  The same is true now.  Because the

        17       Governor and the Majority in this house are for

        18       this particular bill, it doesn't make this any

        19       more real.  The fact is the Assembly is not for

        20       this bill.  They are not supporting a lot of

        21       part of this bill, and so this bill also is not

        22       real.

        23                      The sad part is that it's late in











                                                             
6033

         1       the session.  We had bills out there, and how I

         2       answered my mail on Workmen's Comp' is I thought

         3       with the big push right from the beginning of

         4       the year by all the parties involved -- and

         5       everybody had a bill at one point with the

         6       exception of our conference because we were

         7       looking, and my answer was, "I'm going to vote

         8       for the bill that's the agreed-upon bill between

         9       all parties."  Well, we know for sure -- one

        10       thing we know, that this is not the agreed-upon

        11       bill.

        12                      Senator Bruno announced when he

        13       had his press conference announcing this bill

        14       that he had the compromise bill; he was going to

        15       solve the impasse.  It was just after the

        16       Assembly passed their bill that wasn't

        17       acceptable to this house and to the Governor

        18       that he had the bill that would bring the

        19       Governor together with the Assembly Speaker,

        20       and, unfortunately, when this bill came out and

        21       the press conference went, the Speaker said this

        22       is not the bill that I'm agreeing to.

        23                      So what I'd like to see is us











                                                             
6034

         1       continue to go along -- not necessarily pass

         2       this bill.  Because it's not real, I'm not

         3       voting for it.  I hope that before the session

         4       ends -- and if Senator Bruno, as always, keeps

         5       to his schedule, it's going to end soon -- that

         6       in one of his meetings with the Speaker, which

         7       he seems to be having, according to what I've

         8       been reading in the paper, they can talk about

         9       this particular issue also, with the same

        10       intensity that they seem to be moving along with

        11       the other issues they've been talking about, and

        12       that some time in the near future, when Senator

        13       Bruno will get up proudly in this house and say,

        14       "I have the bill that is the compromise bill;

        15       it is the real bill on Workers' Comp'; it is the

        16       bill acceptable to everybody; it may not do

        17       everything everybody wants, but it's a large

        18       step forward; we're finally going to have some

        19       real reform in Workmen's Comp'," and then we can

        20       vote yes on a bill that everybody can support

        21       and doesn't act so one-sided to the detriment of

        22       the working people, men and women, in New York

        23       State that happen to find themselves injured.











                                                             
6035

         1                      For that reason, I'm recommending

         2       that we vote no on this bill.

         3                      ACTING PRESIDENT MARCELLINO:

         4       Senator Onorato.

         5                      SENATOR ONORATO:  Mr. President.

         6       Will Senator Bruno yield to two questions?

         7                      ACTING PRESIDENT MARCELLINO:

         8       Senator Bruno, will you yield to two questions

         9       from Senator Onorato?

        10                      SENATOR BRUNO:  Two questions,

        11       yes.

        12                      ACTING PRESIDENT MARCELLINO:  The

        13       Senator yields.

        14                      SENATOR ONORATO:  I am a little

        15       concerned.  The bill targets the workers for the

        16       high premium costs and it would make a worker

        17       prove that he did not intentionally hurt himself

        18       intentionally, and it also requires him to sign

        19       the check, and then every six months again

        20       ratify that he is not capable of going back to

        21       work again.

        22                      Do we have any statistics to

        23       prove that, you know, there is such an











                                                             
6036

         1       outlandish condition that exists that would

         2       require us to make such a provision?

         3                      SENATOR BRUNO:  Yes.

         4                      SENATOR ONORATO:  That's a good

         5       answer.  Okay.

         6                      Now the other part of the bill

         7       that I'm really concerned with, the bill that

         8       you have before us right now, would deny

         9       unemployment benefits to an injured worker, and

        10       the truth of the matter is that the unemployment

        11       benefits are currently -- depending on the

        12       individual, would be higher than the disability

        13       benefits.  I think this would go up to $560 for

        14       a person who was injured, but the same

        15       individual who becomes unemployed can get $600 a

        16       month -- a week in benefits.  Why would we

        17       reduce an injured worker's benefits by $40?

        18       What rationale can we use to justify the

        19       diminishing of the benefits of an injured worker

        20       as against an unemployed worker?

        21                      SENATOR BRUNO:  Senator, you're

        22       right to be concerned, and we were concerned, as

        23       well and, if you recognize that with the 560 -











                                                             
6037

         1       and, by the way, the Assembly wasn't as generous

         2       with the workers' benefits as this bill.  With

         3       this bill, when they get the 560, they also

         4       continue the benefits that the employer

         5       provides, and a benefit package can be worth 30

         6       percent of the check.  So you can add another

         7       $200 to that, for instance, and you are up to

         8       $760 versus the 600 you just mentioned.

         9                      We think this is very fair to the

        10       workers -- more than fair to the worker, and it

        11       really deserves your support, and I am surprised

        12       when I hear people saying they are going to vote

        13       in the negative for this, that, and the other

        14       reason.

        15                      The fact of the matter is

        16       increased workers' benefits substantially give

        17       them more protection, which is what this is

        18       about, and you reduce the premium by a good 25

        19       percent which helps create jobs.

        20                      It deserves your support.

        21                      ACTING PRESIDENT MARCELLINO:

        22       Senator Paterson, why do you rise?

        23                      SENATOR PATERSON:  Mr. President,











                                                             
6038

         1       would the distinguished Majority Leader yield to

         2       me the option of asking two questions with an

         3       option to ask a third?

         4                      SENATOR BRUNO:  Yes, Mr.

         5       President.

         6                      ACTING PRESIDENT MARCELLINO:  I'm

         7       not sure of the conditions, but we'll go -

         8                      SENATOR BRUNO:  We're flexible

         9       with the good Senator.

        10                      SENATOR PATERSON:  Thank you.

        11                      Mr. President, the New York State

        12       Compensation Insurance Rating Board has

        13       recommended a 12 percent reduction in rates for

        14       this year, that is, pending the approval of the

        15       Insurance Superintendent.  Last year, the

        16       Superintendent allowed for a reduction in rates

        17       of 5 percent.  So if you take the 5 percent away

        18       and then you take 12 percent of 95 percent, that

        19       would be 11.4 percent.  What you really have is

        20       a resulting, if this is approved, 16.4 percent

        21       of rate reductions.  So while individuals are

        22       getting 83.6 percent of the benefits they were

        23       getting before, yet the premiums have not gone











                                                             
6039

         1       down and, therefore, there would at least seem

         2       to be some indication that the carriers are

         3       receiving a greater profit, that there is

         4       greater profit going to the insurance

         5       companies.

         6                      Why is there not in this bill,

         7       Mr. Majority Leader, any determination of what

         8       the carrier profits are in determining why the

         9       benefits should be decreased?

        10                      SENATOR BRUNO:  One of the things

        11       that happens presently is that, when there is a

        12       lawsuit under Dole, the insurance company

        13       immediately sets up a reserve, and on that

        14       reserve, very few of the cases end up producing

        15       a result and, consequently, on that reserve, the

        16       insurance companies make a lot of money.

        17                      So we're trying to get at the

        18       premium reduction and keeping the benefits

        19       intact or increasing, and this is a package

        20       proposal, and when you talk about the temporary

        21       reduction that was built in, that was not

        22       structural reform in the system to permanentize

        23       what you describe as a reduction, and we hope











                                                             
6040

         1       that that goes forward, but that could change

         2       next year or the year after.

         3                      So what we're trying to do

         4       through this legislation is structural reform so

         5       you won't have a fluctuation from year to year,

         6       escalating up -- back up to the 57 percent that

         7       we are above the national average presently.

         8                      SENATOR PATERSON:  Thank you,

         9       Senator Bruno.

        10                      Mr. President, if the Majority

        11       Leader would continue to yield?

        12                      ACTING PRESIDENT MARCELLINO:

        13       Senator Bruno, do you continue to yield?

        14                      SENATOR BRUNO:  Yes, Mr.

        15       President.

        16                      ACTING PRESIDENT MARCELLINO:  The

        17       Senator yields.

        18                      SENATOR PATERSON:  Speaking of

        19       Dole v. Dow, one of the issues that the AFL-CIO

        20       has been raising is where the other 50 cents

        21       goes off the premium dollar after the first 50

        22       cents goes to cover benefits and also Workers'

        23       Compensation administrative board costs.  The











                                                             
6041

         1       feeling, again, is that the other 50 cents on

         2       the dollar may be going in the direction of

         3       profits and what we're trying to determine is

         4       why, in this legislation, we are not analyzing

         5       where the other 50 cents is going before making

         6       the determination somehow that Dole v. Dow is

         7       the reason and, in a sense, rewarding companies

         8       who have ignored safety standards, who have

         9       contributed to injuries in the workplace, who

        10       have ignored manufacturers' directions and,

        11       therefore, are being sustained to some degree by

        12       a perception that that's where the waste is

        13       going, when, in fact, I don't see analyses of

        14       where the other 50 cents on the dollar does go?

        15                      SENATOR BRUNO:  Senator, a lot of

        16       the work has been done and a lot of the analysis

        17       has been done that you are referring to, and the

        18       indication is that there is something like 29

        19       percent of the premium that goes into

        20       administration.  A lot of the dollar in that

        21       premium goes to lawyers who are working in the

        22       process, and we agree there are inefficiencies

        23       and there is waste, and that's really what we're











                                                             
6042

         1       trying to get to in this approach, which we

         2       think is a pretty comprehensive approach to

         3       increase the worker's benefit and reduce the

         4       premium.

         5                      SENATOR PATERSON:  Thank you, Mr.

         6       President.

         7                      SENATOR BRUNO:  And it gets them

         8       paid quicker.  We want the worker to get their

         9       check quicker, and this bill will do that.

        10                      SENATOR PATERSON:  Thank you, Mr.

        11       President.  The Majority Leader has been most

        12       forthright.  I'm actually going to spare him the

        13       option of hearing a final question and speak on

        14       the bill.

        15                      ACTING PRESIDENT MARCELLINO:

        16       Senator Paterson, on the bill.

        17                      SENATOR PATERSON:  Mr. President,

        18       one of the issues that arose in this discussion

        19       that is of great concern to me is whether or not

        20       the unions are supporting this piece of

        21       legislation.  The statement was made that the

        22       union leadership may be making these allegations

        23       but, when you talk to the rank and file, they











                                                             
6043

         1       want coverage under the regulations that would

         2       be put forth in this legislation.  I disagree

         3       with that virulently.  I can't find anybody in

         4       the labor movement who is in support of this

         5       piece of legislation.

         6                      I agree with Senator Stachowski

         7       that whenever the time comes that we really

         8       address Workers' Compensation issues and, if

         9       there is any waste that's caused on the part of

        10       the fraud of workers, we certainly need to

        11       address that, but we already know that the

        12       reason that Dole v. Dow was upheld by the Court

        13       of Appeals in 1972 was because of the terrible

        14       tragedies that existed in this state in which

        15       workers suffered, in which individuals not only

        16       lost their livelihoods but also lost their

        17       dignity as a result of these types of accidents

        18       and no coverage.

        19                      And so it's my recommendation

        20       that when we really look for some workable,

        21       sensible, achievable goals and coalesce to

        22       reform Workers' Compensation in a way that will

        23       inure to the benefit of all involved,











                                                             
6044

         1       particularly the workers, that's the bill that I

         2       will work for.

         3                      Thank you.

         4                      ACTING PRESIDENT MARCELLINO:

         5       Read the last section.

         6                      SENATOR CONNOR:  Mr. President.

         7                      ACTING PRESIDENT MARCELLINO:

         8       Senator Connor.

         9                      SENATOR CONNOR:  Thank you, Mr.

        10       President, if I may rise to close debate.

        11                      You know, what I've thought is

        12       fascinating these past years, as we have clearly

        13       heard the political debate swirling around the

        14       issue of Workers' Compensation, is how little

        15       appreciated the origins of this system are by

        16       the public-at-large.

        17                      The fact is, before there was

        18       Workers' Compensation, there was still

        19       negligence law, the great common law of torts,

        20       and the underlying principle was that people

        21       should be compensated when others who have a

        22       duty toward them, whether a duty of care or a

        23       duty to refrain from harming them, have, in











                                                             
6045

         1       fact, injured that person.

         2                      As this law evolved, because it

         3       was based in feudal England in a class-based

         4       society with a class-based judicial system,

         5       other doctrines were handed down by the courts,

         6       and that's what common law means, "court made

         7       law," and ordinary workers, the plain folk,

         8       found that when they were injured in the course

         9       of their employ, the courts conjured up

        10       doctrines.

        11                      The master/servant doctrine:  A

        12       servant can't sue his or her master and recover,

        13       the implication being that by the mere fact of

        14       being a servant, one had, in effect, waived his

        15       or her rights to pursue the master when the

        16       master was, in fact, negligent.

        17                      Another doctrine that evolved in

        18       the Industrial Revolution was the fellow servant

        19       doctrine, and what that said is, well, when a

        20       worker on the job is injured because of the

        21       negligence of a fellow employee, a fellow

        22       servant, you can't hold the master responsible

        23       for the conduct of its employee, your fellow











                                                             
6046

         1       servant.

         2                      So while in other spheres of

         3       society, people who were injured through

         4       negligence could recover in the courts, even

         5       common folks, thanks to that wonderful invention

         6       of Anglo-American law, the contingent fee which

         7       allowed people who had nothing to get the

         8       services on speculation of a competent attorney

         9       to right their wrong and, today, that's much

        10       maligned.

        11                      The press talks about, "Oh,

        12       contingent fees, that's terrible; the lawyer is

        13       going to get a third."  Well, that made possible

        14       access to lawyers on the part of people who had

        15       no money for retainers or hourly fees.  That was

        16       a great democratization of the civil courts and

        17       access to the courts.  It meant you didn't need

        18       money when you were wronged and injured to get a

        19       lawyer and pursue the party whose negligence

        20       caused the injury.

        21                      But for workers -- and at the

        22       turn of the century with rapid industrial

        23       ization, naturally, in the workplace there were











                                                             
6047

         1       many injuries.  Workers couldn't avail

         2       themselves because the obstacle in their way was

         3       the master/servant doctrine and the fellow

         4       servant doctrine that prevented recovery because

         5       of who they were, because they were working

         6       people.

         7                      But they did have a right to

         8       sue.  Those were defenses.  They had a right to

         9       sue, and if those defenses didn't apply and they

        10       were injured in the workplace, they could

        11       recover, but, obviously, it was a situation that

        12       was unsatisfactory to the large majority of

        13       workers, and it was unfair.  It was clearly seen

        14       as unfair.  People who lost limbs, people who

        15       were rendered unemployable, couldn't recover

        16       because it happened in the workplace, and their

        17       families suffered and starved.

        18                      So the great system of Workers'

        19       Compensation came in, and it was a trade.  It

        20       was a compromise.  In return for limited

        21       liability -- limited liability -- the employers

        22       were put into a system that guaranteed the

        23       worker some compensation notwithstanding all of











                                                             
6048

         1       those doctrines of tort law like the

         2       master/servant rule and the fellow servant rule,

         3       but it was a trade.  Workers gave up something.

         4       They gave up their right to sue.  They gave up

         5       their right to sue even where those two

         6       doctrines couldn't be interposed as a defense,

         7       and employers gave up the right to interpose

         8       those defenses in return for a system of

         9       compensation rather than liability.

        10                      ACTING PRESIDENT MARCELLINO:

        11       Excuse me, Senator Connor.

        12                      Senator DeFrancisco.

        13                      SENATOR DeFRANCISCO:  Will

        14       Senator Connor yield to a question?

        15                      SENATOR CONNOR:  Certainly.

        16                      ACTING PRESIDENT MARCELLINO:

        17       Senator yields.

        18                      SENATOR DeFRANCISCO:  You just

        19       mentioned that when the Workers' Compensation

        20       system came into effect, it was a quid pro quo.

        21                      SENATOR CONNOR:  Right.

        22                      SENATOR DeFRANCISCO:  The worker

        23       gave up the right to sue in return for various











                                                             
6049

         1       benefits, and the benefit to the employer was

         2       freedom from a lawsuit?

         3                      SENATOR CONNOR:  No, it was

         4       limited liability.  You could give somebody $500

         5       a week instead of having somebody say, "Look at

         6       that injury."  If you are run over by a bus and

         7       your leg is injured and all, they put a value on

         8       that and the bus company's insurer might have to

         9       give you $150,000, but if you are the employer,

        10       you can say, "Okay.  Well, I'll pay, but I'm

        11       only going to pay the 400-and-some dollars or

        12       $500 a week compensation."

        13                      So the real important financial

        14       part of the trade for the employer was their

        15       liability was limited to the rate schedule in

        16       the compensation statute as opposed to the wide

        17       open -- whatever a jury says you have to pay, of

        18       negligence law.

        19                      SENATOR DeFRANCISCO:  And

        20       employers were also free from lawsuits by

        21       employees.

        22                      SENATOR CONNOR:  Well, they could

        23       interpose in lawsuits the defense that the











                                                             
6050

         1       injury was covered by Workers' Compensation.

         2       Pleading Workers' Compensation is a defense to a

         3       negligence suit.

         4                      SENATOR DeFRANCISCO:  And if it

         5       was proven that it was a Workers' Compensation

         6       claim, the employer would be free from liability

         7       other than what was in the Workers' Compensation

         8       law.

         9                      SENATOR CONNOR:  Right.

        10                      SENATOR DeFRANCISCO:  So isn't it

        11       true, when Dole v. Dow came into effect in the

        12       1970s, that that quid pro quo that the employer

        13       recognized by being part of the Workers'

        14       Compensation system was set aside?

        15                      SENATOR CONNOR:  Senator, are you

        16       reading my notes?  Because that's what I was

        17       about to come to.  If you will suffer me, I will

        18       get to that.

        19                      Now, what I was just describing

        20       dealt with torts, negligence, plain old

        21       negligence, a failure to exercise a duty where

        22       it was imposed of care towards someone.

        23                      Ordinary negligence,











                                                             
6051

         1       carelessness:  "Oops, yep, you got hurt; I

         2       wasn't thinking; I was careless."  Maybe I

         3       didn't do anything affirmative.  I could be

         4       careless because I forgot to sweep up this

         5       morning.  That was careless of me.  I forgot the

         6       guys on the night shift were eating bananas, and

         7       the guy dropped a banana peel, and if I had had

         8       somebody sweep up as soon as the day shift

         9       began, you wouldn't have slipped on the banana

        10       peel; but, geez, I didn't put the banana peel

        11       there to trip you up, and I didn't really

        12       foresee that there would be a banana peel

        13       there.  The only thing I did is I failed to get

        14       the cleanup crew to sweep up this morning, and

        15       that's negligence.

        16                      What Dole v. Dow deals with is a

        17       different category that the tort law has always

        18       recognized, and it's variously called gross

        19       negligence or intentional negligence, where an

        20       affirmative action is taken with a foreseeable

        21       consequence that someone could be injured as a

        22       result of it.  That was never just plain old

        23       common law.  It evolved into common law, the











                                                             
6052

         1       concept of gross negligence or intentional tort

         2       or a negligence that was the result of an

         3       intentional act, not a failure to act, not a

         4       failure to act or take care but an intentional

         5       action with a foreseeable consequence that could

         6       jeopardize someone, and that was always

         7       available to people in the tort law.

         8                      I was privileged once upon a time

         9       in law school to have a Professor I'll never

        10       forget, Vernon X. Miller.  He's been dean of

        11       various law schools.  He wrote a book.  He just

        12       entitled it Torts, and he used to use concepts

        13       like "smart" money.  You know, when we'd say

        14       "What's punitive damages?  Why do you have to

        15       pay so much there?" he'd say that's smart

        16       money.  We'd ask, "What's smart money?"  He'd

        17       say, "That's where the person who committed the

        18       tort was so bad that you want extra money so it

        19       smarts so they don't do it again."

        20                      And that's what Dole v. Dow is

        21       about, smart money.  It's about the employer

        22       that buys equipment with safety guards to

        23       protect the workers, and the workers don't fall











                                                             
6053

         1       on a banana peel because someone didn't sweep up

         2       the plant, even though they ought to have swept

         3       up the plant.  That is negligence.  What the

         4       employer does is go around or order someone to

         5       go around with a screwdriver and remove the

         6       safety guards, an action that's foreseeable and

         7       intentional.  They did something affirmative,

         8       intentional, and the foreseeable consequences

         9       are that someone could be injured.  Why else?

        10       Why else safety guards on a machine?

        11                      So it's a different -- you know,

        12       all this argument, why should we have Dole v.

        13       Dow?  You always had a distinction in tort law

        14       of gross negligence, of the intentional tort or,

        15       if you want to analogize it to the statutes, the

        16       reckless disregard for someone's safety by an

        17       affirmative action as opposed to just plain old

        18       negligence.  Hey, he slipped on the plant floor

        19       on a banana peel the guy on the night shift left

        20       there; we didn't have the sweeper come around

        21       and sweep in the morning.  We were negligent.

        22       We didn't do it on purpose.  We didn't litter

        23       the floor with banana peels knowing full well











                                                             
6054

         1       someone could slip and hurt themselves.  That's

         2       what Workers' Comp addresses.

         3                      Dole v. Dow is a whole different

         4       category, and you want it to smart.  You want

         5       the employer to hurt.  Part of it is punitive

         6       not just compensatory, and it always was in tort

         7       law.  It was always designed to punish that kind

         8       of tortfeaser because they did something

         9       intentional and you want to deter others.  As

        10       well as that person doing it, you want to deter

        11       others, and that's what Dole v. Dow is.  It was

        12       always there.

        13                      The Workers' Compensation Law was

        14       designed to deal with plain negligence, common

        15       negligence and its consequences, both limited

        16       liability for the employer and assured

        17       compensation for the worker, assured -- assured

        18       because this bill attacks that too -- assured

        19       compensation for people injured on the job,

        20       because they gave up something too, their right

        21       to sue for plain ordinary negligence, not for

        22       intentional negligence, not for gross

        23       negligence, for plain old negligence, and that











                                                             
6055

         1       was the trade.

         2                      And do we have a problem in

         3       Workers' Compensation?  Sure.  It costs a lot.

         4       That's a problem.  It does cost a lot.  It's an

         5       insurance problem, first and foremost, an

         6       insurance problem.  These are insurance premiums

         7       and when the evidence is that more than half or

         8       at least half of the premium goes to something

         9       other than compensation for the workers, then I

        10       say we have an insurance problem, and we ought

        11       to approach it that way.  How can we make it

        12       less expensive?  How can we make administrative

        13       costs less expensive?

        14                      And when people just pointed up

        15       that little -- and it's a small percentage of

        16       cases under Dow v. Dole.  You still have to

        17       prove them.  Senator Bruno explained about the

        18       reserves against Dow.  Very few of these cases

        19       end up resulting in a judgment, and the

        20       insurance company makes a profit on the reserve,

        21       and then they get the money back, but it's a

        22       very small percentage of cases where there is a

        23       real recovery.  That's not driving the cost.











                                                             
6056

         1       Insurance profits are driving the costs.

         2       Administrative costs are driving the costs.  I

         3       say let's go back to the original deal.  On

         4       negligence, the workers gave up something; the

         5       employers gave up something.  But that deal

         6       never had anything to do with gross negligence.

         7       It never had anything to do with intentional

         8       actions.

         9                      And, you know, what are we

        10       talking about when you remove safety guards?

        11       None would say it would be unfair to let the

        12       family of a worker recover against the company,

        13       say a sole proprietorship, where the sole

        14       proprietor walked in -- I won't get into semi

        15       automatics -- but with any kind of gun and blew

        16       away the employee, okay, an intentional tort

        17       besides being a crime.  Would you really let

        18       that company set up Workers' Compensation as a

        19       defense when the family sued to recover

        20       everything they could for their loss?  They

        21       would say, "No, that was an intentional criminal

        22       act."  It was intentional.

        23                      That's what Dole v. Dow deals











                                                             
6057

         1       with, actions that are either intentional or so

         2       clearly, grossly irresponsible -- not just

         3       careless, not just negligent -- and the idea to

         4       somehow seek protection from those kinds of

         5       actions under the framework of a Workers'

         6       Compensation Law that was designed to deal

         7       merely with plain, ordinary garden variety

         8       negligence and overcome the obstacles and

         9       injustices caused by the master/servant doctrine

        10       or the fellow servant doctrine misses the mark.

        11       It misses the mark on this one-house bill

        12       because this bill is dead on arrival in the

        13       Assembly, I believe.

        14                      I would urge both majorities to

        15       sit down and negotiate on a Workers'

        16       Compensation bill that focuses on the real

        17       problem, the insurance costs.  Why does it cost

        18       so much as a matter of insurance?  It's not the

        19       benefits.  If it should be, oh, there's a big

        20       fraud problem, go after the fraud.  Stop the

        21       fraud.  Nobody argues with that.  If people are

        22       running mills and filing fraudulent Workers'

        23       Compensation claims prosecute them.  Get them











                                                             
6058

         1       out of there.  Put them where they belong, if

         2       that's the problem.

         3                      But the problem is not the

         4       injured worker who is injured by negligence, and

         5       the problem is not the worker that's injured by

         6       intentional gross negligence on the part of the

         7       employer.

         8                      Mr. President, on this bill, I

         9       urge a no vote.

        10                      ACTING PRESIDENT MARCELLINO:

        11       Read the last section, please.

        12                      THE SECRETARY:  Section 91.  This

        13       act shall take effect immediately.

        14                      ACTING PRESIDENT MARCELLINO:

        15       Call the roll.

        16                      (The Secretary called the roll.)

        17                      Negative votes, please raise your

        18       hands.

        19                      Senator Smith to explain her

        20       vote.

        21                      SENATOR SMITH:  Thank you, Mr.

        22       President.  I'm greatly concerned that this bill

        23       is just a sham, and that it really goes after











                                                             
6059

         1       injured workers rather than where it should be

         2       placed.

         3                      I am also concerned that we

         4       didn't wait until we had finished, completed the

         5       Workmen Comp' study, but we could have possibly

         6       had a better understanding of what should have

         7       been in the bill.

         8                      And, not only does this bill hurt

         9       injured workers but it also goes ahead to reduce

        10       the state work force by replacing hearing re

        11       porters, those that have to hear -- be there by

        12       law, and it sets up a system which will put in

        13       place a tape recorder or be done electronically.

        14       We don't even use the electronic methods because

        15       it's not a proven method.  Most times, it is

        16       imprecise, and you can't go back to a recorder

        17       and ask it what someone said.  That's why we

        18       need to have those reporters in place.

        19                      And, therefore, I vote no.

        20                      ACTING PRESIDENT MARCELLINO:

        21       Senator Hoffmann.

        22                      SENATOR HOFFMANN:  Thank you, Mr.

        23       President.  Just to explain my vote.











                                                             
6060

         1                      I believe that the workers and

         2       the employers of this state deserve a meaningful

         3       solution to address the terrible problem that

         4       has been described in great length by my

         5       colleagues, but this is not a sincere effort at

         6       coming up with a solution.  This smacks of

         7       political posturing.  It will be regarded as

         8       such by many people.

         9                      Obviously, there will be people

        10       who gloat over having established a baseline

        11       from which to operate for the future, but I

        12       would hope that we can put aside some of the

        13       rhetoric and address some of the really serious

        14       issues that have not been covered in this.  The

        15       run-away cost of insurance has not been the

        16       primary focus of this measure, and it was

        17       presented out to the public and presented in

        18       this chamber as a Republican solution to a

        19       problem that should, in fact, be an issue for

        20       people of all political persuasions, in all

        21       walks of life, in all aspects of the economy.

        22                      This is a state that is losing

        23       jobs, that is losing employers.  Capital is











                                                             
6061

         1       moving out of this state because people don't

         2       trust us.  This type of cynical measure is one

         3       of the reasons why they don't trust us.

         4                      I will vote nay.

         5                      ACTING PRESIDENT MARCELLINO:

         6       Senator DeFrancisco to explain his vote.

         7                      SENATOR DeFRANCISCO:  I'm going

         8       to vote yes to this bill.  I don't agree with

         9       every line and every part of the bill, and I

        10       certainly don't agree with the characterization

        11       that this bill is cynical in any way.  Everybody

        12       wants a solution, but no one seems to want to

        13       get to the middle ground where a solution is

        14       really possible.

        15                      The Governor is at one extreme of

        16       this issue and the Assembly is at the other

        17       extreme.  I have to commend Senator Bruno and

        18       the rest of this body for coming up with a

        19       solution that's trying to bridge that gap.

        20       We've been talking about Workers' Compensation

        21       reform as long as I've been in the Senate, and

        22       unless we start acting responsibly by trying to

        23       bridge the gap, like this bill tries to do, then











                                                             
6062

         1       we're never going to get the reform.

         2                      Yesterday, we had the small

         3       business people that we all honored.  We all

         4       clapped.  We all voted yes.  These are the

         5       people that are trying to create jobs and trying

         6       to have a economic climate that makes some

         7       sense.  Ask any one of them.  I didn't have to.

         8       They told me when I went to the reception later,

         9       "You got to do something about Workers' Comp'."

        10                      So what do you do?  Do you just

        11       bicker about it?  Do you just complain about

        12       it?  Do you just have one extreme, the other

        13       extreme, or do you try to bridge the gap?  This

        14       bill bridges the gap as far as we can go without

        15       any meaningful negotiation.

        16                      So I think it's a good move

        17       passing this bill.  I think it's a responsible

        18       thing to do.  It's an effort to try to get a

        19       bill that both sides of this issue will agree

        20       to, and it's a major, major step forward, and I

        21       would hope that that step forward does result

        22       this year in a true Workers' Comp' reform bill

        23       that meets the middle ground, more benefits for











                                                             
6063

         1       workers as this bill does and cutting costs

         2       which this bill does, as well.

         3                      So I vote yes.

         4                      ACTING PRESIDENT MARCELLINO:

         5       Results, please.

         6                      THE SECRETARY:  Those recorded in

         7       the negative on Calendar Number 1225 are

         8       Senators Abate, Connor, Dollinger, Espada, Gold,

         9       Gonzalez, Kruger, Lachman, Leichter, Markowitz,

        10       Mendez, Montgomery, Nanula, Onorato,

        11       Oppenheimer, Paterson, Santiago, Seabrook,

        12       Smith, Stachowski and Waldon.  Ayes 37.  Nays

        13       21.

        14                      ACTING PRESIDENT MARCELLINO:  The

        15       bill is passed.

        16                      Senator Spano, why do you rise?

        17                      SENATOR SPANO:  Please recognize

        18       Senator Santiago.

        19                      ACTING PRESIDENT MARCELLINO:

        20       Senator Santiago.

        21                      SENATOR SANTIAGO:  Mr. President,

        22       I would like the record to show that if I had

        23       been in the chamber when the vote was taken on











                                                             
6064

         1       Calendar Number 60, I would have been recorded

         2       in the negative.

         3                      ACTING PRESIDENT MARCELLINO:  You

         4       can be recorded in the negative, without

         5       objection.

         6                      Senator Spano.

         7                      SENATOR SPANO:  Can you ask the

         8       Secretary to please call Calendar 1224.

         9                      ACTING PRESIDENT MARCELLINO:

        10       Secretary will read.

        11                      THE SECRETARY:  Calendar number

        12       1224, by Senator Marchi, Senate Print 6669B, an

        13       act to amend the Environmental Conservation Law,

        14       in relation to solid waste management.

        15                      SENATOR PATERSON:  Explanation.

        16                      ACTING PRESIDENT MARCELLINO:

        17       Explanation has been asked for.

        18                      Senator Marchi.

        19                      SENATOR MARCHI:  Mr. President.

        20       This bill addresses the problem -

        21                      ACTING PRESIDENT MARCELLINO:

        22       Excuse me.  May we have some order, please.

        23                      Thank you.











                                                             
6065

         1                      SENATOR MARCHI:  Thank you, Mr.

         2       President.

         3                      This bill addresses the problem

         4       of 2200 acres on Staten Island which is the site

         5       of a landfill which is a euphemistic expression

         6       for the disposal of solid waste, the largest in

         7       the world.

         8                      Mr. President, we've been -

         9       since the first prayer, we were gathered in

        10       prayer at 3:00 o'clock.  It is now 7:00 o'clock,

        11       four hours later.  During that period there were

        12       2400 tons -- 2,400 tons -- of solid waste

        13       deposited on Staten Island.  When you go to

        14       sleep at night, these figures don't change.

        15       It's 600 tons an hour.  If you sleep eight

        16       hours, that's almost 5,000 tons of solid waste

        17       deposited on Staten Island.  It is more than

        18       half of all the solid waste deposited in the

        19       state of New York.

        20                      It's a very serious problem.

        21       Some of the statistics that come out of this

        22       circumstance:  The landfill releases 2 percent

        23       of the methane gas -- this is not the potential











                                                             
6066

         1       for it, but the actual emanation over the period

         2       of -- over a period -- produced in the world.

         3       Two percent of all the methane gas that is

         4       generated in this world is generated by this

         5       land dump.  It's almost 6 percent of all the

         6       methane gas produced in the United States.  This

         7       goes up in the air and floats over Staten Island

         8       and, statistically, Dr. Oppenheimer and others

         9       and the Interstate Sanitation Commission have

        10       been gathering statistics indicating a higher

        11       rate of respiratory illness, a very, very

        12       serious problem.

        13                      It currently produces levels of

        14       volatile organic compounds known as benzene,

        15       xylene, toluene, and other carcinogens in excess

        16       of EPA standards.  Xylene, Freshkills emits 5600

        17       pounds which is almost twice that which is

        18       emitted by Bayway Exxon Refinery.

        19                      This bill would put a terminus on

        20       dumping on Staten Island by the year 2002.  You

        21       might say you are utterly unreasonable, Marchi.

        22       2002?  Can you stand it up to then?  There is a

        23       serious problem.  How are we going to implement











                                                             
6067

         1       this?  Where is the solution to the generation

         2       of almost 14,000 tons a day?  We are fortunate

         3       by some of the developments that have taken

         4       place already.

         5                      Today, I was with the Governor on

         6       Staten Island, where he announced a plan to

         7       implement, with the Mayor, but he announced a

         8       plan where a multiple level of officialdom will

         9       constitute a task force to produce a solution,

        10       and there is a very definite commitment to do

        11       this by the date, one day before the date of

        12       this bill, a serious commitment.

        13                      We are very grateful to the

        14       Governor for implementing, in anticipation,

        15       recognizing the problem that we have, and for

        16       this I am very grateful and very appreciative.

        17       Because sometimes we say we're going to put a

        18       building up, we're going to build a school,

        19       we're going to put teachers in it.  The process

        20       already begins, has already begun on his

        21       initiative to constitute a task force to have a

        22       solution with -- in consultation, and the work

        23       that he has already done will assure us that it











                                                             
6068

         1       will be accomplished in the time frame.

         2                      I am also mindful, however, and

         3       in this I have the support of all of the Staten

         4       Island officialdom, be they in the City Council,

         5       my valued colleague Senator DiCarlo, I think

         6       Senator Montgomery -- I know Senator Montgomery,

         7       and in the Assembly, Assemblyman Vitaliano,

         8       Assemblywoman Connelly, and Assemblyman

         9       Straniere, are in full support of this

        10       legislation and they are all cosponsors.

        11                      I also give great credit

        12       especially to Senator Bruno, who has pledged his

        13       support to the enactment of this legislation,

        14       and Speaker Silver.  So I believe that we have

        15       sensitized many, many people.  So the commitment

        16       is there.

        17                      The question I was asked, of

        18       course, by some reporters, "Well, if you have

        19       such confidence in the implementation, why have

        20       a bill?"  It's obvious, Mr. President, that you

        21       may have cataclysms.  You may have natural

        22       disasters.  There are many circumstances that

        23       are attendant in the business of living and











                                                             
6069

         1       surviving.

         2                      I don't know whether I will be

         3       here to see it happen, but I do know if it's

         4       part of the public policy of this state that it

         5       will have the attention because it then will be

         6       in our statutes and, if there are natural

         7       disasters or whatever the circumstances are,

         8       that will be addressed as it must if it is the

         9       law of this state.

        10                      I might add, Mr. President, I

        11       have had a little experience in this.  I passed

        12       a bill back in 1958 -- in 1958 -- which was

        13       vetoed at that time, and I cast no blame or

        14       aspersion on him, because I think he acted in

        15       good faith.  My bill at that time would have

        16       terminated garbage dumping in Staten Island not

        17       in 1958 to 1959 but in 1965, and the veto

        18       message said this:

        19                      "In view of the fact that the

        20       provisions of this bill will not become

        21       effective until 1965, seven years hence,

        22       consideration of this proposal at this time is

        23       unnecessary.  Long before 1965, the city of New











                                                             
6070

         1       York should have progressed substantially with

         2       its $75 million program of incinerator

         3       construction which ultimately should solve the

         4       problems which this measure seeks to meet."

         5                      You know, it happened.  I had a

         6       bill vetoed 38 years ago.  This time, I have the

         7       feeling that this statute will be enacted.

         8       Furthermore, I have the satisfaction, something

         9       which I haven't had -- none of us have really

        10       had.  We legislate, but then we wait for the

        11       enactment.  We have in place the serious effort

        12       and commitment to the creation of this task

        13       force, and we have confidence in this.  It also

        14       provides relief, Senator Montgomery, to your

        15       district, which would have an incinerator in a

        16       heavily populated center.

        17                      This bill has no other provision

        18       in it except to do exactly that.  So I ask you

        19       -- you know, while I'm talking, I don't know

        20       how many hundreds of tons just while I've been

        21       speaking here tonight, but these are the

        22       circumstances that we have.  The magnitude of

        23       the problem that we have in my county, none of











                                                             
6071

         1       you have had the experience in your own areas

         2       even if you have had a landfill problem.  It's

         3       minuscule by comparison to what we have.

         4                      I don't deserve any medals for

         5       speaking.  I have been trying hard, but it's a

         6       very difficult problem to produce the solution.

         7       We have in place now the commitment and the

         8       organics of a solution for implementation as we

         9       speak of enactment, but we need this assurance,

        10       and the people of Staten Island, 400,000 of

        11       them, they are Republicans, Democrats, Liberals,

        12       Conservatives, whatever, all of these people are

        13       human beings, men, women and children, who are

        14       condemned to live with this toxic disaster.

        15                      So I ask you your vote, your

        16       unanimous vote I hope, in support of this

        17       legislation because it means so much to each and

        18       every individual.  There is nothing partisan

        19       about this bill.  I speak something which is in

        20       the hearts and souls of -

        21                      ACTING PRESIDENT MARCELLINO:

        22       Excuse me, Senator.

        23                      Senator Paterson, why do you











                                                             
6072

         1       rise?

         2                      SENATOR PATERSON:  Well, Mr.

         3       President, I don't want to tell you why I rose,

         4       but I just wanted to tell Senator Marchi that

         5       his explanation is so convincing and so

         6       satisfactory that if he could just yield for

         7       this one question, I think this will sum up this

         8       whole issue.

         9                      ACTING PRESIDENT MARCELLINO:

        10       Senator Marchi, would you yield to just one

        11       summary question?

        12                      SENATOR MARCHI:  From a Senator

        13       who shares a birthday with me, how can I say no?

        14                      SENATOR PATERSON:  I just wanted

        15       to know what the City's alternative was in order

        16       to dispose of this waste now that the Navy Yard

        17       and Fresh Kills are being -

        18                      SENATOR MARCHI:  At that -- at

        19       that meeting that we had the Mayor made, or

        20       joined in the total commitment in the

        21       implementation and the task force goes forward

        22       and will be constructed to provide the method of

        23       disposal.  There are already people in informal











                                                             
6073

         1       discussions that have -- that have already been

         2       examining resources for the disposal of this -

         3       this waste, so the progress has already begun,

         4       but I don't want to -- I don't want to leave it

         5       there unaided by the public policy of this state

         6       which will -- which will then be the law of this

         7       state, and I hope I have your support on this,

         8       Senator.

         9                      SENATOR PATERSON:  You do,

        10       Senator, and we are most satisfied with your

        11       answer.

        12                      SENATOR MARCHI:  I rest my case.

        13                      SENATOR SPANO:  Last section.

        14                      ACTING PRESIDENT MARCELLINO:  We

        15       have -- I'm sorry.  We have a couple of people.

        16       Senator DiCarlo.

        17                      SENATOR DiCARLO:  Thank you, Mr.

        18       President, and I don't know if many people here

        19       realize what Senator Marchi and I realize, this

        20       is probably the most important piece of

        21       legislation that the people on Staten Island

        22       have ever received from Albany, and I want to

        23       thank a couple of individuals who have worked to











                                                             
6074

         1       make this happen, one being the Governor, who

         2       made a promise to our constituents on Staten

         3       Island to support the closure, and he lived up

         4       to that promise; the other the Mayor who told us

         5       that he would close the dump.  The other is our

         6       leader, Joe Bruno, for making and allowing this

         7       to happen here this evening.

         8                      Another is a legend who I -

         9       every time I rise I speak about him, but he is

        10       truly a legend on Staten Island and out of all

        11       the legislators that I know on Staten Island the

        12       most respected individual by far.

        13                      And this legislation is not only

        14       wonderful for Staten Island but this bill is

        15       also wonderful for the people of New York City

        16       and even the people in my Brooklyn part of the

        17       district in Brooklyn where the incinerator is

        18       not going to spew its poison onto our citizens.

        19                      This is a real bill, ladies and

        20       gentlemen; this isn't an one-house bill.  This

        21       bill, it is my understanding, is going to pass

        22       the Assembly and is going to go to the Governor,

        23       and I firmly believe the Governor is going to











                                                             
6075

         1       sign this.  This is actually saying that the

         2       dump will be closed, no matter what happens

         3       between now and the year 2002, January 1.

         4                      This is not just a promise; this

         5       is the force of law.  I am so proud to be a

         6       small part in this bill.  I live in Brooklyn,

         7       but I represent almost a hundred thousand Staten

         8       Islanders, Staten Islanders who have probably

         9       one of the highest rates of cancer in the

        10       country.  We talk about what we can do for other

        11       areas of the state with high incidence of breast

        12       cancer, but look at the facts of breast cancer

        13       in Staten Island and Bay Ridge, Brooklyn.  Look

        14       at the incidence of cancer in Staten Island and

        15       my end in Brooklyn, Bay Ridge and Bensonhurst,

        16       the highest in the country, and I believe one of

        17       the reasons is the dump on Staten Island and

        18       this is such an incredible thing for us to be

        19       doing.

        20                      This is one of the reasons you

        21       get into government, to do good for your

        22       constituency, and the people on Staten Island

        23       have been hearing about the closing of this dump











                                                             
6076

         1       from before John Marchi was a Senator.  I have a

         2       copy of an article here where promise was made

         3       by Mayor O'Dwyer who said he would close the

         4       dump in 1949.  1949 we've been promised by

         5       politicians that that dump would be closed.

         6                      There was a meeting in New York

         7       City today with the Governor and the Mayor and

         8       other elected officials, and we thank them for

         9       that, where they promised that they would close

        10       the dump, and the question was asked why are we

        11       here doing this legislation if everyone has

        12       promised that the dump will be closed.

        13                      Well, ladies and gentlemen, we

        14       need to give a guarantee to the people of Staten

        15       Island, to the people of Brooklyn that no matter

        16       what happens between now and the closure date,

        17       they will be closed, the dump will be closed,

        18       and for the people of Staten Island you have

        19       somebody to thank in John Marchi, because if not

        20       for John Marchi, I don't believe this would have

        21       happened.  I don't believe the guarantee of a

        22       closing of that dump would have occurred, and I

        23       don't believe that probably thousands and











                                                             
6077

         1       thousands of lives of kids today would be saved

         2       if not for this legislation.

         3                      This is probably the most

         4       important piece of legislation that I've ever

         5       been associated with, and it has the force of

         6       law.  That's the importance of it.  It's not

         7       just a promise.  We're going to enact this into

         8       statute.  So on behalf of myself and my

         9       constituents, again I thank the Governor for his

        10       support, the Mayor, and John Marchi for this

        11       most valued piece of legislation.

        12                      ACTING PRESIDENT MARCELLINO:

        13       Senator Leichter.

        14                      SENATOR LEICHTER:  Yes, Mr.

        15       President.

        16                      Let me say, Senator Marchi, you

        17       were as eloquent as I've ever heard you, and

        18       that's quite a goal to achieve because I've

        19       often heard you on this floor speaking in ways

        20       that I could only wonder and say, Why can't I

        21       get up and express myself so well, and also it's

        22       a wonderful record to be able to say that I

        23       passed a bill that was vetoed 38 years ago.  So











                                                             
6078

         1       it -- it really is and, Senator, you certainly

         2       describe in glowing terms the benefits that

         3       would accrue to Staten Island and Senator

         4       DiCarlo similarly voiced -- he said it was the

         5       most important bill he's ever been -- he's ever

         6       voted on.  I mean it's a wonderful thing to

         7       close a landfill.  Who wants a landfill?

         8       They're terrible to have in your back yard.

         9       Maybe we could even make the bill better and say

        10       there should be no more landfills in New York

        11       State, not only Staten Island, but Orange County

        12       and Conadago, any county.  Why should those

        13       people have landfills?  Granted they're not as

        14       big as the Staten Island landfill, but nobody

        15       wants a landfill, and then you make the bill

        16       even better because you also provide there

        17       shouldn't be any incineration.  So we're not

        18       going to have an incinerator which could get rid

        19       of the garbage that's now not going to go to

        20       Staten Island.  That's great.  Maybe we ought to

        21       ban incinerators throughout the whole state,

        22       make sure that everybody has got clean air, and

        23       so on.











                                                             
6079

         1                      In fact, maybe what you really

         2       ought to do in this bill provide there should be

         3       no more garbage.  That would really be -- be

         4       even better.  Then we wouldn't have to worry

         5       about disposing of it.  You know, I guess I'm

         6       being sort of foolish here, because I'm

         7       thinking, you know, this is so wonderful and

         8       then I think, Gee, we have 20,000 tons of

         9       garbage a day in New York City.  Maybe it's a

        10       little less now.  I think we were up to 22- and

        11       maybe recycling, which has somewhat worked in

        12       New York City, so that the tonnage may be even

        13       less, and I think how are we going to get rid of

        14       it?

        15                      So when I saw your bill, I right

        16       away wanted to embrace it, because I could go

        17       back to my community also.  They don't -- they

        18       don't like the incinerator because actually the

        19       people who might be poisoned, if anybody was

        20       going to be poisoned are not Senator DiCarlo's

        21       constituents.  The air blows towards the West

        22       Side of Manhattan so I can say, Listen, I was

        23       against incinerators.  All the environmentalists











                                                             
6080

         1       like it.  NYPIRG will say, That's great,

         2       Leichter, because they don't like the

         3       incinerator.  They don't like the landfills but

         4       for a moment I had this very negative thought

         5       and maybe I shouldn't be so pessimistic.  What

         6       are we going to do with 20,000 tons of garbage?

         7                      So I figured the Mayor would say,

         8       you know, "Wait a second, guys, what am I going

         9       to do with all this garbage? I can't -- I'm

        10       probably not going to be able to ship it out of

        11       the state.  I can't dump it.  Now, you say I

        12       can't burn it, and I can't landfill it.  One day

        13       I'll just put up a notice saying, please don't

        14       put any more garbage outside in New York City."

        15                      But no, lo and behold, the Mayor

        16       says, "This is a wonderful thing," and he shows

        17       up with the Governor, I understand, and you were

        18       there and Staten Island, everybody in Staten

        19       Island is very happy about it tonight.  Of

        20       course, in the year 2002 it's not going to be

        21       Mayor Giuliani.  It may be Mayor Paterson who

        22       will have that problem or Mayor Abate or Mayor

        23       Onorato.  They'll come to this Legislature and











                                                             
6081

         1       say, "What do you want me to do with 20,000 tons

         2       of garbage?"

         3                      I'm also interested, you know,

         4       every time this Legislature tells New York City

         5       what to do and, you know, is that really our

         6       role?  But when you achieve something as

         7       glowingly good as to get rid of a landfill in

         8       your back yard, you know, then home rule really

         9       shouldn't stand in the way, or to get rid of an

        10       incinerator that might bother people on the West

        11       Side or other parts of New York.

        12                      So everybody seems to think it's

        13       so wonderful and it's an easy solution, and the

        14       Mayor says, "That's a piece of cake; I can get

        15       rid of 20,000 tons," and everybody seems to

        16       think it's going to work out so gloriously far

        17       be it from me to rain on anybody's parade, least

        18       of all yours, Senator Marchi, because I really

        19       love you.  So I'm going to vote for the bill.

        20                      ACTING PRESIDENT MARCELLINO:

        21       Senator Oppenheimer.

        22                      SENATOR OPPENHEIMER:  I -- I

        23       assume I will be reiterating a bit, but if











                                                             
6082

         1       Senator DiCarlo would just yield for a

         2       question.

         3                      ACTING PRESIDENT MARCELLINO:

         4       Senator DiCarlo, do you yield?

         5                      SENATOR OPPENHEIMER: He's

         6       supposed to stand up.

         7                      SENATOR DiCARLO:  I'm tired.

         8                      ACTING PRESIDENT MARCELLINO: He's

         9       tired.

        10                      SENATOR OPPENHEIMER:  You're

        11       tired, you're sitting.

        12                      I remember talking about this

        13       perhaps 10, 12 years ago.  Indeed we went out to

        14       look at the site, maybe a decade ago, and at

        15       that time I was told that it was slated to be

        16       terminated as a landfill, and we -- we saw the

        17       gas that was passed from that and used by

        18       Brooklyn Union Gas.  It was a very interesting

        19       trip, and I learned a lot; but I have been told

        20       that alternatives were going to be put in

        21       place.  What are the alternatives that have been

        22       discussed so far?

        23                      SENATOR DiCARLO:  Senator, one of











                                                             
6083

         1       the things that was announced today by the Mayor

         2       and the Governor was the setting up a task force

         3       whose responsibility it will be to come up with

         4       the answers to your questions.  They are being

         5       given with this legislation seven years -- six,

         6       seven years -- five years more, five years to

         7       come up with those answers.

         8                      With all the great minds that are

         9       involved that are going to be on this task

        10       force, I firmly believe they'll be able to come

        11       up with the answers, whether it be increased

        12       recycling or taking the garbage outside of New

        13       York City so that it doesn't sit in people's

        14       back yards and poison children in close

        15       proximity, there are answers that they can come

        16       up with.

        17                      SENATOR OPPENHEIMER:  Thank you,

        18       Senator.

        19                      It just seems a bit bizarre that

        20       with all these years that were, you know,

        21       potentially the problem could potentially have

        22       been solved, that it got to this -- this

        23       juncture.











                                                             
6084

         1                      Also, while I am very, very

         2       concerned about -- about pesticide use and the

         3       occurrence -- the rapid occurrence, the rate of

         4       cancer in our state, I -- I do not think that it

         5       has much to do with the -- the fumes that come

         6       from garbage.  If -- if I am incorrect, you can

         7       disabuse me of that, Senator DiCarlo.  You

         8       mentioned it.

         9                      SENATOR DiCARLO:  If you could

        10       just repeat the last part of your question.

        11                      ACTING PRESIDENT MARCELLINO:

        12       Before you do, Senator, could we have a little

        13       order, please.  Thank you.

        14                      SENATOR OPPENHEIMER:  No, I just

        15       want clarification.  I just want clarification.

        16       You seem to indicate that the high occurrence of

        17       breast cancer was somehow related to the -- the

        18       landfill and the odors, and that is not my

        19       understanding.

        20                      SENATOR DiCARLO:  Well, that -

        21       there are two studies, I'm told right now, that

        22       are ongoing to make determinations on that, but

        23       I think, and this is just my own thought on it,











                                                             
6085

         1       that when you've got a situation with a dump of

         2       this size, with the gases that are emitted,

         3       there has got to be a reason for the higher

         4       incidences.  Do I know for a fact that they are?

         5       No, I don't.  No, I don't.

         6                      And to answer a little bit of

         7       your other question, why did we wait so long?

         8       All right? If this was such a deadly thing.  I

         9       think, and I give tribute to those people who

        10       are now in office that this was the first time

        11       that we've had agreement by almost everybody in

        12       government from the city level to the state

        13       level with the Governor, to the Senate and to

        14       the Assembly, so this is the first time in many,

        15       many years that we've been able, and Senator

        16       Marchi has been able to put everybody together

        17       to come to agreement to finally close the dump

        18       and the reason that this is going to work is

        19       that it's not just a promise.  This is the first

        20       time that now all of the elected officials, it's

        21       a wonderful thing for us to stand here today and

        22       talk about what a great day it is.  Now, we have

        23       to act and the fact of the matter is there is a











                                                             
6086

         1       gun to the head of the city of New York and the

         2       state of New York and the politicians now that a

         3       time-definite closure has occurred.

         4                      So we had better come up with

         5       ways to get rid of the garbage because it will

         6       not be permitted in Staten Island any longer.

         7       So there's a countdown, and we've got to move on

         8       it.

         9                      SENATOR OPPENHEIMER:  Thank you,

        10       Senator.

        11                      VOICE: Read the last section.

        12                      SENATOR MARCHI:  If I could

        13       just -

        14                      ACTING PRESIDENT MARCELLINO:

        15       Senator Marchi.

        16                      SENATOR MARCHI:  Just as a note

        17       of reassurance, Senator, you raise a point.

        18       Recycling is going to materially reduce -- on

        19       Staten Island, we've had a very high level of

        20       cooperation by people in the recycling process.

        21       It's been slower than the rest of the City but

        22       it's coming on line, and a good recycling policy

        23       will enable us to recapture an awful lot of that











                                                             
6087

         1       and achieve material reduction.

         2                      There was a lot of discourse on

         3       this on possible sources.  Commissioner

         4       Dougherty was there, and also federal interests

         5       in this because of environmental standards that

         6       now become a national factor for consideration.

         7       So I feel confident on the basis of a growing

         8       knowledge alluded to by Senator DiCarlo, that -

         9       and the point you make is, what do you do with

        10       it?  This is the big problem.  I don't think

        11       people were just mean and hated Staten Island so

        12       that they delivered all this garbage, but the

        13       technology is developing where we can mitigate

        14       and reduce it to more manageable proportions,

        15       and we commit ourselves to a program of action.

        16                      So I'm very -- I'm very pleased

        17       with the -- with the enthusiasm that I've seen

        18       on a bi-partisan basis joined in by the Assembly

        19       and the Speaker as well.  I'm very much

        20       encouraged by the fact that we enjoy such

        21       unanimity.  If we had it in so many other areas

        22       it might be -- it might augur even other

        23       developments that we'd all enjoy.











                                                             
6088

         1                      ACTING PRESIDENT MARCELLINO:

         2       Read the last section, please.

         3                      THE SECRETARY:  Section 3.  This

         4       act shall take effect immediately.

         5                      ACTING PRESIDENT MARCELLINO:

         6       Call the roll.

         7                      (The Secretary called the roll. )

         8                      ACTING PRESIDENT MARCELLINO:

         9       Senator Montgomery to explain her vote.

        10                      SENATOR MONTGOMERY:  Yes, Mr.

        11       President.  I want to explain my vote.

        12                      Certainly I'm voting for this

        13       legislation, and I vote on behalf and thank

        14       Senator Marchi especially on behalf of the

        15       constituents in my district and Senator Connor's

        16       district and Senator Lentol.  All of us share

        17       the area in Brooklyn where the Brooklyn Navy

        18       Yard is located, and this will -- will satisfy

        19       the -- the real urgency of the people in that

        20       area, not to have that incinerator built,

        21       because there are schools and public housing

        22       developments and private homes and it is an area

        23       that is very highly concentrated in terms of its











                                                             
6089

         1       population.

         2                      So we thank you too, and I guess

         3       here I just must say that I don't know of anyone

         4       else who would be able to have such resolve and

         5       such commitment over such a long period of time,

         6       other than Nelson Mandela, than Senator Marchi.

         7       So we thank you for that too, Senator.

         8                      I'm voting yes.

         9                      ACTING PRESIDENT MARCELLINO:

        10       Read the results, please.

        11                      THE SECRETARY:  Ayes 59.

        12                      ACTING PRESIDENT MARCELLINO:  The

        13       bill is passed.

        14                      Senator Spano.

        15                      SENATOR SPANO:  Have the

        16       Secretary call Calendar 1226.

        17                      ACTING PRESIDENT MARCELLINO:

        18       Secretary will read Calendar Number 1246 please

        19        -- '26, I'm sorry.

        20                      THE SECRETARY:  Calendar Number

        21       1226, by Senator Wright, Senate Print 7524, an

        22       act to Chapter 640 of the Laws of 1990, amending

        23       the Public Health Law, relating to anabolic











                                                             
6090

         1       steroids.

         2                      ACTING PRESIDENT MARCELLINO:

         3       Read the last section.

         4                      THE SECRETARY:  Section 2.  This

         5       act shall take effect immediately.

         6                      ACTING PRESIDENT MARCELLINO:  The

         7       results.  Call the roll.  I'm sorry.

         8                      (The Secretary called the roll. )

         9                      THE SECRETARY:  Ayes 59.

        10                      ACTING PRESIDENT MARCELLINO:  The

        11       bill is passed.

        12                      Senator Spano.

        13                      SENATOR SPANO:  Mr. President, go

        14       back to the controversial calendar regular

        15       order.

        16                      ACTING PRESIDENT MARCELLINO:

        17       Secretary will read.

        18                      THE SECRETARY:  Calendar Number

        19       381, by Senator DeFrancisco, Senate Print 3520

        20       A, an act to amend the Social Services Law, in

        21       relation to the transportation of certain

        22       persons.

        23                      ACTING PRESIDENT MARCELLINO:











                                                             
6091

         1       Read the last section.

         2                      SENATOR PATERSON:  Mr. President.

         3                      ACTING PRESIDENT MARCELLINO:

         4       Senator Paterson.

         5                      SENATOR PATERSON:  Mr. President,

         6       I offer you this option.  I could talk and ask

         7       questions on the bill for 45 minutes or I could

         8       tell you that last year Senators Abate, Connor,

         9       Espada, Gonzalez, Gold, Kruger, Leichter,

        10       Markowitz, Mendez, Montgomery, Nanula, Paterson,

        11       Smith and Waldon voted against this bill with

        12       great integrity.

        13                      ACTING PRESIDENT MARCELLINO:

        14       Senator Paterson, I personally would love to

        15       hear you for 45 minutes on this bill, but in

        16       that case I think we'll call the -- read the

        17       last section.

        18                      THE SECRETARY:  Section 2.  This

        19       act shall take effect immediately.

        20                      ACTING PRESIDENT MARCELLINO:

        21       Call the roll.

        22                      (The Secretary called the roll. )

        23                      ACTING PRESIDENT MARCELLINO:











                                                             
6092

         1       Results, please.

         2                      THE SECRETARY:  Those recorded in

         3       the negative on Calendar Number 381 are Senators

         4       Abate, Connor, Gonzalez, Markowitz, Mendez,

         5       Montgomery, Nanula, Paterson, Santiago, Smith

         6       and Waldon.  Ayes 48, nays 11.

         7                      ACTING PRESIDENT KUHL:  The bill

         8       is passed.

         9                      Senator Leichter, why do you

        10       rise?

        11                      SENATOR LEICHTER: May I have

        12       unanimous consent to be recorded in the negative

        13       on Calendar Number 789 and Calendar 1023?  We

        14       didn't do 1023?

        15                      ACTING PRESIDENT KUHL:  Calendar

        16       1023 has not been called yet, Senator Leichter.

        17                      SENATOR LEICHTER:  But you did

        18       789.

        19                      ACTING PRESIDENT KUHL:  789 has

        20       passed.  Without objection, hearing no

        21       objection, Senator Leichter will be recorded in

        22       the negative on Calendar Number 789.

        23                      Secretary will continue to call











                                                             
6093

         1       the controversial calendar.

         2                      THE SECRETARY:  Calendar Number

         3       500 by the Assembly Committee on Rules, Assembly

         4       Print 8383, an act to amend the Election Law, in

         5       relation to determination of ballot positions.

         6                      ACTING PRESIDENT KUHL:  Secretary

         7       will read the last section.

         8                      THE SECRETARY:  Section 2.  This

         9       act shall take effect on the 1st day of

        10       December.

        11                      ACTING PRESIDENT KUHL:  Call the

        12       roll.

        13                      (The Secretary called the roll. )

        14                      SENATOR VOLKER:  Leichter wants

        15       an explanation.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Leichter, do you wish an explanation?

        18                      SENATOR VOLKER:  Yes, he wishes

        19       an explanation.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Volker, for an explanation.

        22                      SENATOR VOLKER:  Yes, very

        23       quickly, this bill resulted or came out of a











                                                             
6094

         1       problem that occurred at the Erie County Board

         2       of Elections, became known as an incident called

         3       "ballgate".

         4                      What happened was allegedly a -

         5       somebody connected with the local board was

         6       picking the balls -- the numbers out of a hat to

         7       decide on ballot positions.  One person in

         8       particular who did some picking was incredibly

         9       accurate in his picking.  In other words, all

        10       three of the candidates that he supported for

        11       the number one position got the number one

        12       position.  This was a Democratic primary, by the

        13       way.

        14                      What happened was that someone

        15       did some checking of the -- they're like tennis

        16       balls that were in the -- if you know how people

        17       do the bingo games, you pull out balls with

        18       numbers on them, and so forth.  Anyway to make a

        19       long story short, there seemed to be some little

        20       grooves on the side of one particular numbered

        21       ball, and this went -- became quite a celebrated

        22       case.  It went to court, the whole thing.

        23                      What ended up was that the judge











                                                             
6095

         1       finally threw out the drawing, authorized a new

         2       drawing.  At the new drawing basically two of

         3       the three people who were drawn first in the

         4       first place still ended up number one.

         5                      What this bill really does is

         6       authorize the state Board of Elections to set up

         7       several methods for drawing ballot positions

         8       that would avoid the possibility of improper

         9       conduct at the local level.  This bill, by the

        10       way, has been agreed on by the -- all, both

        11       Democrats, Republicans, everyone involved with

        12       the Board of Elections.  Paul Tokasz, the

        13       chairman of the Elections Committee, has already

        14       passed it in the Assembly.  This is an agreed

        15       upon bill.

        16                      Senator.

        17                      SENATOR LEICHTER:  Mr.

        18       President.

        19                      SENATOR VOLKER:  Sure.

        20                      SENATOR LEICHTER:  With such a

        21       pedigree to the bill, it's with some trepidation

        22       that I rise, but I'll tell you why I do,

        23       Senator, and I know the hour is late and











                                                             
6096

         1       everybody is scowling of the few people that are

         2       left.

         3                      SENATOR VOLKER: That's true.

         4                      SENATOR LEICHTER:  But it raises

         5       a very serious problem as far as I'm concerned.

         6       It seems to me that the only fair way of dealing

         7       with ballot position is to have rotation of

         8       names, because I know that when I first got into

         9       elective office, you would draw and if you ended

        10       up and you got the first spot on the ballot,

        11       that was worth 20, 30 points.

        12                      SENATOR VOLKER:  M-m h-m-m.

        13                      SENATOR LEICHTER:  And really the

        14       election itself became a lottery.  I'd like you

        15       to provide in this bill that the only way of

        16       doing this is rotating, which we now do in the

        17       city of New York and it seems to me -- and

        18       correct me if I'm wrong, Senator -- that under

        19       this bill, if the Board of Elections, the state

        20       Board of Elections now sets forth various

        21       systems -- one of them may be picking balls out

        22       of a -- out of a drum or however.

        23                      SENATOR VOLKER: Yes.











                                                             
6097

         1                      SENATOR LEICHTER:  One of them

         2       may be rotations, and then each county can

         3       choose whatever system it wants.  I think we

         4       ought to get away from this sheer blind picking

         5       of positions and do it by rotation.  Is there

         6       any reason that we can't do it statewide by

         7       rotation and deal with the problem that way?

         8       It's really the fairest way.

         9                      SENATOR VOLKER:  Well, I don't

        10       know.  I guess I don't know exactly what you

        11       mean by "rotation."  You mean one year the

        12       challenger gets on the top and the next year the

        13       non-challenger.

        14                      SENATOR LEICHTER:  Well, see, I

        15       don't know the machines you use but in New York,

        16       when I say "rotation," we rotate by E.D.  So I

        17       may be first, my name may be on top in E.D. 1;

        18       in E.D. 2 my opponent is the first name.

        19                      SENATOR VOLKER:  I -- I don't

        20       know.  That's an interesting idea.

        21                      SENATOR LEICHTER:  Well, that's

        22       what we do in New York City.

        23                      SENATOR VOLKER:  Well, I -- I











                                                             
6098

         1       think, Senator, in all due respect, I think what

         2       we're trying to do here is do it fairly.  I'm

         3       not sure exactly if that is the fairest way.

         4       You may think it is.  I might have some question

         5       about whether that is.  It seems to me that the

         6       fairest way is to allow a drawing whereby every

         7       one has the -- an equal chance, and by a

         8       drawing, I mean some sort of lot or lottery or

         9       whatever.  That's traditionally been the way

        10       it's done throughout the state and I think,

        11       frankly, it would represent the fairest way.  No

        12       one seems to disagree with that in the rest of

        13       the state, and what we're just trying to do here

        14       is establish some fair procedures, and I really

        15       think that's the best way.

        16                      SENATOR LEICHTER:  Mr. President,

        17       just one final question.

        18                      How can you say, Senator Volker,

        19       and maybe I'm missing something, that it's

        20       fairer to have positions drawn by random choice,

        21       by lot, and I think you'll agree with me that if

        22       you get the number one position it's a great

        23       advantage or you get the first line.  Why isn't











                                                             
6099

         1       it fairer to rotate?

         2                      SENATOR VOLKER:  By the way, the

         3       guy that got the number one position in this

         4       case in Erie County got blown out, which happens

         5       on a regular basis.  The truth is it can be

         6       helpful, I suppose, in a close election but the

         7       truth is in many elections where people pay

         8       attention -- the reason I think it's an

         9       advantage in New York City is so few people

        10       vote, but in all honesty, I don't think it's -

        11       it's offering a huge advantage.  It's some

        12       advantage, but I just don't exactly see where

        13       rotation is a just -- is really a just way to do

        14       it in all honesty.  I just think the best way to

        15       do it is just have a drawing and allow the

        16       person who draws the top line get it and the one

        17       who has the second line get that.

        18                      ACTING PRESIDENT KUHL:  Secretary

        19       will read the last section.

        20                      THE SECRETARY:  Section 2.  This

        21       act shall take effect on the 1st day of

        22       December.

        23                      ACTING PRESIDENT KUHL:  Call the











                                                             
6100

         1       roll.

         2                      (The Secretary called the roll. )

         3                      ACTING PRESIDENT KUHL:  Announce

         4       the results when tabulated.

         5                      THE SECRETARY:  Ayes 58, nays

         6       one, Senator Leichter recorded in the negative.

         7                      ACTING PRESIDENT KUHL:  The bill

         8       is passed.

         9                      Continue to read the

        10       controversial calendar.

        11                      THE SECRETARY:  Calendar Number

        12       681, by Senator DeFrancisco, Senate Print Number

        13       6375, an act to amend the Highway Law, in

        14       relation to components of the state scenic

        15       byways system.

        16                      SENATOR PATERSON:  Mr. President,

        17       on the bill.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Paterson, on the bill.

        20                      SENATOR PATERSON:  We just feel

        21       that the -

        22                      SENATOR SPANO:  Will you read the

        23       last section for Senator Levy?











                                                             
6101

         1                      ACTING PRESIDENT KUHL:  Secretary

         2       will read the last section.

         3                      THE SECRETARY:  Section 4.  This

         4       act shall take effect immediately.

         5                      ACTING PRESIDENT KUHL:  Call the

         6       roll.

         7                      (The Secretary called the roll. )

         8                      ACTING PRESIDENT KUHL:  Senator

         9       Levy, how do you vote?  In the negative?

        10       Senator Levy in the negative.  Roll call is

        11       withdrawn.

        12                      Senator Paterson.

        13                      SENATOR PATERSON:  Thank you, Mr.

        14       President.  We just feel that the Department of

        15       Transportation, while it serves a vital function

        16       in the state, is not really -- that between the

        17       Department of Environmental Conservation and the

        18       Department of Transportation, we would assume

        19       the former to be the more expert in the areas of

        20       highway beautification and preserving the

        21       cultural value of New York State.

        22                      We feel that by passing this

        23       legislation we shift the balance to the agency











                                                             
6102

         1       of Department of Transportation who is really

         2       involved more in transportation issues and would

         3       not really be the most appropriate agency to -

         4       to deal with issues of highway beautification.

         5                      As I've said to you before, Mr.

         6       President, I could elaborate on this in a far

         7       more detailed, more euphemistic and detailed

         8       fashion, but I won't.

         9                      ACTING PRESIDENT KUHL:  Secretary

        10       will read the last section.

        11                      Senator Oppenheimer.

        12                      SENATOR OPPENHEIMER:  If Senator

        13       DeFrancisco would just yield for one question?

        14                      ACTING PRESIDENT KUHL:  Senator

        15       DeFrancisco, do you yield for one question?

        16                      SENATOR DeFRANCISCO:  Yes.

        17                      ACTING PRESIDENT KUHL:  Senator

        18       yields for one question.

        19                      SENATOR OPPENHEIMER:  I guess the

        20       question is, why -- why do we need this bill?

        21       Why are we doing this?

        22                      SENATOR DeFRANCISCO:  Well, this

        23       is a departmental bill that was requested by the











                                                             
6103

         1       Department, but that's why it came here, but why

         2       we're doing it: Presently the EnCon's program

         3       for scenic roadways is inoperative.  They

         4       haven't been doing it.  They've been sending

         5       requests for such designation over to the

         6       Transportation Department anyway, and those

         7       requests have been reviewed by the Scenic By

         8       ways Advisory Board, which has different

         9       departments and private industry involved in the

        10       review process including EnCon, including

        11       private tourism agencies and people that are

        12       familiar with the scenic byways program in our

        13       state.

        14                      So right now, EnCon hasn't been

        15       designating any roads, scenic roads or -- and

        16       they've been sending them to the advisory group

        17       for their recommendation, to the Department of

        18       Transportation anyway and this eliminate the

        19       duplication of services.

        20                      SENATOR OPPENHEIMER:  O.K. Thank

        21       you, Senator.

        22                      ACTING PRESIDENT KUHL:  Senator

        23       Oppenheimer, on the bill?











                                                             
6104

         1                      SENATOR OPPENHEIMER:  I would

         2       like to speak on the bill.

         3                      If there is a problem, then I

         4       would like to see it solved within the appropri

         5       ate, to my way of thinking, jurisdictions.  In

         6       1985, the DEC was given the power to preserve

         7       the scenic and natural beauty of our state

         8       highways and to designate the sites.

         9                      Perhaps due to staff cutbacks,

        10       there are not enough people to do the essential

        11       work here.  Terminating their oversight of the

        12       scenic roads program, I -- I don't think would

        13       enhance the number of scenic roadways that would

        14       exist in our state.  It wasn't until 1992 that

        15       the Department of Transportation established the

        16       scenic byway program, and that was to coordinate

        17       the state actions for development and promotion

        18       touristwise, and also for management, but not

        19       specifically for maintenance of natural

        20       resources and for scenic beauty.

        21                      The bill just removes the DEC

        22       from its historic role, which is to designate

        23       and protect our scenic roadways.  The DOT does











                                                             
6105

         1       not have experience in -- in this arena, and

         2       their primary focus, after all, is transporta

         3       tion, and I think the DEC has always been

         4       charged with protecting our natural resources

         5       and DOT charged with transportation oversight.

         6                      I think tipping the balance

         7       towards transportation takes away the emphasis

         8       on scenic beauty, and, therefore, I will be

         9       opposing the bill.  There are other ways to

        10       improve the performance of the DEC, and I would

        11       suggest going that route.

        12                      I'll be voting no.

        13                      ACTING PRESIDENT KUHL:  Secretary

        14       will read the last section.

        15                      THE SECRETARY:  Section 4.  This

        16       act shall take effect immediately.

        17                      ACTING PRESIDENT KUHL:  Call the

        18       roll.

        19                      (The Secretary called the roll. )

        20                      ACTING PRESIDENT KUHL:  Announce

        21       the results when tabulated.

        22                      THE SECRETARY:  Those recorded in

        23       the negative on Calendar Number 681:  Senators











                                                             
6106

         1       Abate, Hoblock, LaValle, Leibell, Leichter,

         2       Levy, Maltese, Marcellino, Markowitz,

         3       Montgomery, Nanula, Onorato, Oppenheimer,

         4       Padavan, Paterson, Santiago, Smith, Stachowski,

         5       Tully, also Senator Connor, also Senator

         6       Dollinger.  Ayes 38, nays 21.

         7                      ACTING PRESIDENT KUHL:  The bill

         8       is passed.

         9                      Secretary will continue to call

        10       the controversial calendar.

        11                      THE SECRETARY:  Calendar Number

        12       717, by Senator Libous, Senate Print Number

        13       6756, an act to amend the Mental Hygiene Law, in

        14       relation to charging fees for mental hygiene

        15       services.

        16                      ACTING PRESIDENT KUHL:  Secretary

        17       will read the last section.

        18                      THE SECRETARY:  Section 2.  This

        19       act shall take effect immediately.

        20                      SENATOR LEICHTER:  Explanation.

        21                      ACTING PRESIDENT KUHL:  Call the

        22       roll.

        23                      Senator Libous, Senator Leichter











                                                             
6107

         1       has asked for an explanation.

         2                      SENATOR LIBOUS:  Senator

         3       Leichter, those who receive mental health

         4       services and can afford to pay and receive SSI

         5       will have to reimburse the state for those

         6       services, but again it will only reflect on

         7       those folks who can afford to pay.  Those who

         8       cannot afford to pay and receive SSI, those

         9       services will be provided by the state as they

        10       are now.

        11                      SENATOR LEICHTER:  Senator

        12       Libous -

        13                      ACTING PRESIDENT KUHL:  Senator

        14       Libous, do you yield to Senator Leichter?

        15                      SENATOR LIBOUS:  Yes.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       yields.

        18                      SENATOR LEICHTER:  Senator, what

        19       I'm concerned about is who makes the

        20       determination that the patient is able to pay a

        21       fee?

        22                      SENATOR LIBOUS:  SSI.

        23                      SENATOR LEICHTER:  Well, the











                                                             
6108

         1       determination isn't made by SSI.

         2                      SENATOR LIBOUS:  OMH, I'm sorry,

         3       OMH.

         4                      SENATOR LEICHTER:  OMH.  And how

         5       is that determination made?

         6                      SENATOR LIBOUS:  How is that

         7       determination made?

         8                      SENATOR LEICHTER:  Right.  I'm

         9       concerned.  Let me give you an example.  A

        10       person comes, obviously seems to be a little

        11       schizophrenic or -

        12                      SENATOR LIBOUS:  Oh, no, these

        13       are people -- O.K. Senator, I can answer that

        14       question.

        15                      Anyone who receives their own

        16       check are those individuals who are deemed

        17       responsible for taking care of their own

        18       personal -- their own personal -

        19                      VOICE: Care.

        20                      SENATOR LIBOUS: -- care, thank

        21       you, and basically these are the only people we

        22       are dealing with.  Anyone who is not responsible

        23       for taking care of their own personal needs will











                                                             
6109

         1       not be included in this program.

         2                      SENATOR LEICHTER:  But -- I'm

         3       sorry, Senator, if you continue to yield.

         4                      SENATOR LIBOUS:  Yeah.

         5                      SENATOR LEICHTER:  Somebody

         6       comes, I mean they've been receiving SSI checks,

         7       they're receiving their checks because up to now

         8       they've acted fairly well.  Now, they've had an

         9       episode.

        10                      SENATOR LIBOUS:  Sure.

        11                      SENATOR LEICHTER:  They have a

        12       problem.  They show up.  They may be receiving

        13       SSI.  How does the mental hygiene officials make

        14       that determination?  Do they even have the

        15       ability to make the determination?

        16                      SENATOR LIBOUS:  The determina

        17       tion, Senator, is with the individual because

        18       that individual is now taking care of their own

        19       personal needs, whether they go to a doctor,

        20       whether they go to a mental health clinic,

        21       whether they buy a car, whether they get a hair

        22       cut, these are individuals who are taking care

        23       of their own responsibility and needs who are on











                                                             
6110

         1       SSI, only right now the Department of Mental

         2       Health Services says that about $4 million a

         3       year is lost in services to clients who can

         4       afford to pay but don't, and that's the only

         5       cases that they're looking at here.

         6                      SENATOR LEICHTER:  Well, Senator

         7       Libous, I've no problem in saying that people

         8       who are determined by some objective standard

         9       that they're able to pay should be able to pay.

        10       I am concerned that this provision will lead to

        11       the Department turning down people who need

        12       help.

        13                      SENATOR LIBOUS:  No.

        14                      SENATOR LEICHTER:  Well, you

        15       shake your head and you say it can never

        16       happen.  How is that; where does that assurance

        17       come from?

        18                      SENATOR LIBOUS:  The assurance is

        19       within the Department that they cannot turn down

        20       anybody who needs help.  They will not turn down

        21       anyone that needs help.  We have -- right now we

        22       treat anyone who needs help and we receive no

        23       payment for it.  The only thing this is saying











                                                             
6111

         1       is, if that individual is receiving SSI and they

         2       are responsible for their own needs, then they

         3       are going to ask to reimburse for the services.

         4       They will not be turned down, Senator,

         5       absolutely not.

         6                      SENATOR LEICHTER:  Senator, maybe

         7       it's the lateness of the hour and we've labored

         8       long and hard here, and we've passed so much

         9       significant legislation, most important bill

        10       that Senator DiCarlo ever voted on among it, but

        11       if you take a look at your bill, it says that

        12       only -- only the -- only if the person is

        13       dangerous, only if the person is dangerous will

        14       that person be de... will that person not be

        15       denied services, and the point that I'm trying

        16       to make to you is the fact that somebody

        17       receives SSI they may have been fine until last

        18       week.

        19                      Now, they have an episode; they

        20       need help.  I don't know whether they -- the

        21       fact that they receive SSI establishes that

        22       they're able to pay for the services.

        23                      SENATOR LIBOUS:  Senator, if you











                                                             
6112

         1       look at the provisions of the bill, it says when

         2       a person is able to pay a fee, but the person or

         3       his or her legal authorized representative

         4       refuses to do so.

         5                      SENATOR LEICHTER:  Well -

         6                      SENATOR LIBOUS:  So they're not

         7       going to refuse.  If your concern is refusing

         8       treatment, that's not going to happen.

         9                      SENATOR LEICHTER:  No.  No.

        10                      SENATOR LIBOUS:  It doesn't

        11       happen now, and it won't happen under this.

        12                      SENATOR LEICHTER:  Mr. President,

        13       we -- Senator Libous and I have failed to

        14       clarify the bill, so I -- I appreciate, Senator,

        15       your attempt to explain it to me and maybe it's,

        16       you know, past my bedtime or something but I -

        17       I -- your -- your answers have failed to give me

        18       that assurance although they were given with so

        19       much force when you shook your head like it can

        20       never happen, and so on.

        21                      But, Mr. President, in all

        22       seriousness and briefly, my concern is that

        23       without establishing some clear standards and











                                                             
6113

         1       criteria that the department will deny services

         2       to people who need the services.  I don't know

         3       how you make the determination that somebody's

         4       able to pay.  It then becomes a very easy way of

         5       saying to somebody, We're not going to provide

         6       services unless you pay, and that person may be

         7       unwilling to pay because he doesn't have the

         8       money, they don't know how to handle their

         9       affairs because they've had an episode.  They've

        10       had a problem.

        11                      I don't want us to do something

        12       here which is going to be harmful to people who

        13       are really in need, people who are mentally

        14       ill.  As it is, we're doing far too little for

        15       that community and, Senator Libous, I know

        16       you're concerned with those people, but I really

        17       think that written as this bill is, that it

        18       opens the door to denial of services to people

        19       who need it.

        20                      ACTING PRESIDENT KUHL:  Senator

        21       Padavan.

        22                      SENATOR PADAVAN:  Mr. President.

        23                      ACTING PRESIDENT KUHL:  Senator











                                                             
6114

         1       Libous, do you yield to Senator Padavan?

         2                      SENATOR LIBOUS:  Yes.

         3                      SENATOR PADAVAN:  I agree with

         4       you that if someone is receiving SSI, they

         5       should pay a fee.  However, where in the bill in

         6       the phrase "able to pay" do we find that ability

         7       to pay relevant to receiving a check from SSI?

         8       Is it in some section that we're amending or, in

         9       other words, it says "able to pay".  It doesn't

        10       say as a resulty of receiving SSI.

        11                      SENATOR LIBOUS:  I believe that's

        12       the section we're amending because that's what

        13       it refers directly to SSI.

        14                      SENATOR PADAVAN:  In Section

        15       4301, my recollection, and, of course, I don't

        16       have the book here, the law to refer to to be

        17       able to say that.  Again I repeat, if they are

        18       receiving SSI, then obviously they should pay a

        19       fee, but I'm not sure the wording of the bill,

        20       the "able to pay" phrase relates to that

        21       ability.  Perhaps your counsel can clarify that.

        22       You see why also, Senator, in that same vein,

        23       you say "or their legally authorized











                                                             
6115

         1       representative."

         2                      Now, that person obviously

         3       generally would not be -- let's say it's a

         4       parent.  That person wouldn't be receiving the

         5       SSI, so this kind of confuses me in terms of

         6       what we're really trying to do.

         7                      SENATOR LIBOUS:  Mr. President,

         8       since both Senator Leichter and Senator Padavan

         9       bring up some good points and seeing that this

        10       is a department bill, I think we'll take it

        11       back, lay it aside and we'll take it back to the

        12       department and see if we can't get these

        13       questions answered.

        14                      ACTING PRESIDENT KUHL:  Lay

        15       Calendar Number 717 aside at the request of the

        16       sponsor.

        17                      Secretary continue to call the

        18       controversial calendar.

        19                      THE SECRETARY: Calendar Number

        20       835, by Senator DeFrancisco, Senate Print

        21       6788-A, an act to amend the Canal Law, in

        22       relation to the abandonment and sale of certain

        23       canal lands.











                                                             
6116

         1                      ACTING PRESIDENT KUHL:  Secretary

         2       will read the last section.

         3                      SENATOR PATERSON:  Explanation.

         4                      SENATOR DeFRANCISCO:  This bill

         5       would permit the Thruway Authority to abandon

         6       canal lands directly without going through OGS.

         7       When the canal system was operated by DOT, OGS

         8       handled the abandonments since they didn't -

         9       since DOT did not have the staff nor the desire

        10       to do that.

        11                      For a two-year period after the

        12       transfer, special legislation was required for

        13       an abandonment, but that provision sunsetted, so

        14       now we have a situation where the Thruway

        15       Authority has the responsibility over canal

        16       lands, plus they have been doing their own

        17       abandonments for highway purposes for years and

        18       years and years, so they have the expertise to

        19       do it in their own department, and this would

        20       allow them to do it without involvement of OGS.

        21                      ACTING PRESIDENT KUHL:  Senator

        22       Oppenheimer.

        23                      SENATOR OPPENHEIMER:  If Senator











                                                             
6117

         1       DeFrancisco would yield for a question?

         2                      SENATOR DeFRANCISCO:  Yes.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       yields.

         5                      SENATOR OPPENHEIMER:  Could you

         6       tell me approximately how much land is involved

         7       in this?

         8                      SENATOR DeFRANCISCO:  I can't

         9       tell you the exact amount of land, but it's land

        10       along the canal. The theory that is being

        11       proposed now is to use much of that land for

        12       tourism purposes and to try to sell various

        13       parcels to groups that are willing to develop it

        14       along the canal for tourism purposes, but I

        15       can't tell you precisely.  I can't even tell you

        16       approximately how much land we're talking

        17       about.

        18                      SENATOR OPPENHEIMER:  And are we

        19       talking about a variety of smaller parcels along

        20       the water?

        21                      SENATOR DeFRANCISCO:  Yes, yes.

        22                      SENATOR OPPENHEIMER:  Thank you,

        23       Senator.











                                                             
6118

         1                      On the bill, please.  On the

         2       bill.

         3                      ACTING PRESIDENT KUHL:  Senator

         4       Oppenheimer, on the bill.

         5                      SENATOR OPPENHEIMER:  Well, I

         6       want to thank Senator DeFrancisco.  I had

         7       suggested an amendment which, while it won't be

         8       an amendment, will be probably in the rules that

         9       are being -- will be made up by the Department

        10       of Transportation, and that is to offer prior to

        11       the announcement in the newspapers of this

        12       property being offered, the abandoned property

        13       being offered for sale, that it be offered ten

        14       days prior, to the municipality because

        15       municipalities very often have municipal needs

        16       and if they have the advance knowledge of this

        17       abandoned property being offered for sale, they

        18       could utilize it for their own economic

        19       development for their own number of purposes.

        20       Could be recreation, could be -- let's hope not

        21        -- a site for dumping, but it is, I think, an

        22       important addition to be able to inform the

        23       municipality in which the land lies that this is











                                                             
6119

         1       going to be offered for sale ten days prior to

         2       its offering.

         3                      So I thank Senator DeFrancisco

         4       for putting that in, and I will be supporting

         5       this bill.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Dollinger, on the bill.

         8                      SENATOR DOLLINGER:  One quick

         9       question for Senator DeFrancisco.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       DeFrancisco, you yield to Senator Dollinger?

        12                      SENATOR DeFRANCISCO:  Yes.

        13                      ACTING PRESIDENT KUHL: Senator

        14       yields.

        15                      SENATOR DOLLINGER:  Through you,

        16       Mr. President, does this in any way alter the

        17       process for abandonment, that is, it would be

        18       declared to be abandoned and then there would be

        19       bids made available, the same process as though

        20       it was the right-of-way for a road?

        21                      SENATOR DeFRANCISCO: That's

        22       right. It's the same process that we're

        23       abandoning canal lands when DOT had the











                                                             
6120

         1       authority over the canal property.  The process

         2       is no different.  The lands we're talking about

         3       is exactly what Senator Oppenheimer said, small

         4       parcels that would not be usable for big

         5       projects, but small parcels we're dealing with.

         6                      SENATOR DOLLINGER:  Mr.

         7       President, I think this is also a good bill.  I

         8       think what this would do is give the incentive

         9       for these lands to be declared abandoned and

        10       then we'll find out how much private capital

        11       will find its way to the canal.  I think it's

        12       probably a critical ingredient in trying to

        13       figure out whether private industry will really

        14       invest in lands near the canal, of which there

        15       is quite a bunch in my district, so I will be

        16       voting in favor. It's the right thing to do.

        17                      SENATOR LEICHTER: Mr. President.

        18                      ACTING PRESIDENT KUHL:  Senator

        19       Leichter.

        20                      SENATOR LEICHTER:  If Senator

        21       DeFrancisco would yield.

        22                      ACTING PRESIDENT KUHL: Senator

        23       DeFrancisco, do you yield?











                                                             
6121

         1                      SENATOR DeFRANCISCO: Yes.

         2                      ACTING PRESIDENT KUHL: Senator

         3       yields.

         4                      SENATOR LEICHTER:  Senator, there

         5       was a second part to Senator Dollinger's

         6       question which I'm not sure you answered.

         7                      Will all the rules as to

         8       competitive bidding and accepting the highest

         9       bid still apply?

        10                      SENATOR DeFRANCISCO:  Let me be

        11       sure about that.  The first part is correct.

        12       It's the same system that DOT used when they had

        13       authority over the canal.  Whether it's the same

        14        -- no change to the Public Authorities Law.  I

        15       thought so.  It's the same process.  I didn't

        16       want to say it without being sure.

        17                      SENATOR DOLLINGER:  My

        18       understanding is that's done by auction.  They

        19       put it on the block.  They auction the property

        20       and it's sold to the highest bidder.  That's

        21       what's happened in the right-of-ways in the

        22       Department of Transportation in my region.

        23                      SENATOR DeFRANCISCO:  It could be











                                                             
6122

         1       by sealed bid or auction.  Same process though;

         2       it's the high bidder.

         3                      ACTING PRESIDENT KUHL:  Secretary

         4       will read the last section.

         5                      THE SECRETARY:  Section 4.  This

         6       act shall take effect immediately.

         7                      ACTING PRESIDENT KUHL:  Call the

         8       roll.

         9                      (The Secretary called the roll. )

        10                      THE SECRETARY:  Ayes 59.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      Secretary will continue to call

        14       the controversial calendar.

        15                      THE SECRETARY:  Calendar Number

        16       1023, by Senator Present, Senate Print 767-A, an

        17       act to amend the County Law, in relation to the

        18       allocation of funds to cooperative extension.

        19                      ACTING PRESIDENT KUHL:  There's a

        20       local fiscal impact note at the desk.

        21                      SENATOR PATERSON:  Explanation.

        22                      ACTING PRESIDENT KUHL:  And an

        23       explanation has been asked for, Senator











                                                             
6123

         1       Present.

         2                      SENATOR PRESENT:  Mr. President,

         3       the purpose of this legislation is to revise the

         4       formula for the allocation of state money to

         5       cooperative extensions.

         6                      ACTING PRESIDENT KUHL:  Senator

         7       Paterson.

         8                      SENATOR PATERSON:  Thank you, Mr.

         9       President.

        10                      If the Senator would yield for

        11       one very brief question.

        12                      SENATOR PRESENT:  Sure.

        13                      ACTING PRESIDENT KUHL:  Senator

        14       yields.

        15                      SENATOR PATERSON:  And that

        16       question is that I notice that there's almost an

        17       increase of 40 percent which is actually great,

        18       the monies that would go back to the counties.

        19       I just wanted to know where the money is coming

        20       from.

        21                      SENATOR PRESENT:  Out of the

        22       state funds, Senator, and they won't go back to

        23       the counties.  It will go to the cooperative











                                                             
6124

         1       extension.

         2                      SENATOR PATERSON:  Thank you,

         3       Senator.

         4                      ACTING PRESIDENT KUHL:  Secretary

         5       will read the last section.

         6                      THE SECRETARY:  Section 2.  This

         7       act shall take effect immediately.

         8                      ACTING PRESIDENT KUHL:  Call the

         9       roll.

        10                      (The Secretary called the roll. )

        11                      ACTING PRESIDENT KUHL:  Announce

        12       the results when tabulated.

        13                      THE SECRETARY:  Ayes 57, nays 2,

        14       Senators Dollinger and Leichter recorded in the

        15       negative.

        16                      ACTING PRESIDENT KUHL:  Senator

        17       Dollinger, why do you rise?

        18                      SENATOR DOLLINGER:  If you

        19       wouldn't mind, Calendar Number 1009, did I miss

        20       that or -

        21                      ACTING PRESIDENT KUHL:  1009

        22       you're asking about?  That was laid aside for

        23       the day.











                                                             
6125

         1                      SENATOR DOLLINGER:  Thank you,

         2       Mr. President.

         3                      ACTING PRESIDENT KUHL:  Secretary

         4       will continue to call the controversial

         5       calendar.

         6                      THE SECRETARY:  Calendar Number

         7       1167, by Senator Holland, Senate Print 1468, an

         8       acted to amend the Social Services Law, in

         9       relation to requiring an address as a condition

        10       of receiving assistance.

        11                      ACTING PRESIDENT KUHL:  Secretary

        12       will read the last section.

        13                      SENATOR PATERSON:  Explanation,

        14       please.

        15                      ACTING PRESIDENT KUHL:

        16       Explanation has been asked for, Senator Holland,

        17       of Calendar Number 1167, by Senator Paterson.

        18                      SENATOR HOLLAND:  Mr. President,

        19       this bill would require an address as a

        20       condition of receiving assistance under the

        21       Social Services Law, whether the address be a

        22       residence, a public shelter or such site as the

        23       District Commissioner shall deem appropriate,











                                                             
6126

         1       and the purpose of the legislation is to stop

         2       applicants from using post office boxes because

         3       we've found that many of the people were double

         4       dipping from other states that they were using

         5       post office boxes.

         6                      ACTING PRESIDENT KUHL:  Secretary

         7       will read the last section.

         8                      SENATOR PATERSON:  Mr.

         9       President.

        10                      ACTING PRESIDENT KUHL:  Senator

        11       Paterson.

        12                      SENATOR PATERSON:  Mr. President,

        13       I'd just like the record to reflect that

        14       Senators Abate, Connor, Espada, Gold, Mendez,

        15       Markowitz, Montgomery, Paterson, Smith, Stavisky

        16       and Waldon voted against this bill, and Senators

        17       Mendez and Waldon have already voted against it

        18       today.

        19                      Thank you.

        20                      ACTING PRESIDENT KUHL:  Secretary

        21       will read the last section.

        22                      THE SECRETARY:  Section 2.  This

        23       act shall take effect on the 30th day.











                                                             
6127

         1                      ACTING PRESIDENT KUHL:  Call the

         2       roll.

         3                      (The Secretary called the roll. )

         4                      ACTING PRESIDENT KUHL:  Announce

         5       the results when tabulated.

         6                      THE SECRETARY:  Those recorded in

         7       the negative on Calendar Number 1167:  Senators

         8       Abate, Connor, Leichter, Mendez, Montgomery,

         9       Nanula, Paterson, Santiago, Smith, Waldon.  Ayes

        10       49, nays 10.

        11                      ACTING PRESIDENT KUHL:  The bill

        12       is passed.

        13                      Senator Nanula.

        14                      SENATOR NANULA:  Thank you, Mr.

        15       President.

        16                      I'd like to ask unanimous consent

        17       to be recorded in the negative on Calendar

        18       Number 835.

        19                      ACTING PRESIDENT KUHL:  Without

        20       objection, hearing no objection, Senator Nanula

        21       will be recorded in the negative on Calendar

        22       Number 835.

        23                      SENATOR NANULA:  Thank you.











                                                             
6128

         1                      ACTING PRESIDENT KUHL:  Senator

         2       Spano.  Defer to Senator Paterson.  Senator

         3       Paterson.

         4                      SENATOR PATERSON:  Mr. President,

         5       tomorrow at 10:00 a.m., there will be a meeting

         6       of the Minority in the Minority Leader's

         7       Conference Room, Room 314 in the Capitol.

         8                      ACTING PRESIDENT KUHL:  There

         9       will be a Minority Conference tomorrow morning

        10       at 10:00 a.m..

        11                      SENATOR PATERSON:  10:00 a.m.

        12                      ACTING PRESIDENT KUHL:  10:00

        13       a.m. tomorrow morning, Minority Conference in

        14       the Minority Conference Room.

        15                      Senator Paterson -- excuse me.

        16       Senator Spano.

        17                      SENATOR SPANO:  Can you return to

        18       the order of motions and resolutions?  I believe

        19       there is a resolution from Senator Hoffmann.

        20       Can you read the title?

        21                      ACTING PRESIDENT KUHL:  We'll

        22       return to the order of motions and resolutions.

        23       There is a privileged resolution at the desk.











                                                             
6129

         1       Ask the Secretary to read the title.

         2                      THE SECRETARY:  By Senator

         3       Hoffmann, Legislative Resolution commending

         4       Laverne Williams upon the occasion of his

         5       designation for special honor on Saturday, June

         6       1st, 1996.

         7                      ACTING PRESIDENT KUHL:  Question

         8       of is on the resolution.  All those in favor

         9       signify by saying aye.

        10                      (Response of "Aye.")

        11                      Opposed nay.

        12                      (There was no response.)

        13                      The resolution is adopted.

        14                      Senator Spano.

        15                      SENATOR SPANO:  Under

        16       housekeeping, on behalf of Senator Volker, page

        17       66, Calendar 618, Senate Print 3863-A, please

        18       remove the star.

        19                      ACTING PRESIDENT KUHL:  Star is

        20       removed.

        21                      Senator Spano.

        22                      SENATOR SPANO:  On behalf of

        23       Senator Velella, on page 22, I offer the











                                                             
6130

         1       following amendments to Calendar 734, Senate

         2       Print 6729-A, ask the bill retain its place on

         3       the Third Reading Calendar.

         4                      ACTING PRESIDENT KUHL:

         5       Amendments to Calendar Number 732 are received

         6       and adopted.  The bill will retain its place on

         7       the Third Reading Calendar.

         8                      Senator Spano.

         9                      SENATOR SPANO:  Any other house

        10       keeping?

        11                      ACTING PRESIDENT KUHL:  That's

        12       it.

        13                      SENATOR SPANO:  There being no

        14       further business, I move that we adjourn until

        15       Thursday, May 30th, at 11:00 a.m.

        16                      ACTING PRESIDENT KUHL:  Without

        17       objection, the Senate stands adjourned until

        18       tomorrow, May 30th, at 11:00 a.m.

        19                      (Whereupon, at 8:05 p.m., the

        20       Senate adjourned. )

        21

        22

        23