Regular Session - March 23, 1998

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        8                      ALBANY, NEW YORK

        9                       March 23, 1998

       10                          3:05 p.m.

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       13                       REGULAR SESSION

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       17        LT. GOVERNOR BETSY McCAUGHEY ROSS, President

       18        STEVEN M. BOGGESS, Secretary

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                                                           1914

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

        2                      THE PRESIDENT:  Would everyone

        3        please rise and join with me in the Pledge of

        4        Allegiance.

        5                      (The assemblage repeated the

        6        Pledge of Allegiance to the Flag.)

        7                      The invocation today will be

        8        given by Rabbi Nachman Simon from the Delmar

        9        Chabad Center in Delmar.

       10                      Rabbi.

       11                      RABBI NACHMAN SIMON:  We are

       12        swiftly approaching towards the holiday of

       13        Passover which celebrates a liberation from the

       14        bondage of Egypt over 3300 years ago.  Passover

       15        is the holiday of remembrance.  We take time out

       16        from our busy schedules and sit with families

       17        and friends to reflect and relate our past and

       18        at the same time look towards the future.

       19                      There are many customs and foods

       20        that are associated with the traditional

       21        Passover Seder.  We can take lessons and

       22        guidance from them; matzoh, the unleavened

       23        bread, myrrh, the bitter herbs, and the festive

       24        meal.  Matzoh is flat and thin and has a very

       25        plain taste.  This shows on humility.  As much







                                                           1915

        1        as we have accomplished in our lives in the

        2        past, we always have to remember that it is the

        3        Almighty who gave us the strength to achieve our

        4        goals.

        5                      Myrrh is the bitter herbs which

        6        helps us to remember that it is not enough to

        7        rest on our laurels and all we have attained in

        8        the past is not enough and that there are more

        9        challenges to overcome and problems to be

       10        solved, and the festive meal helps us remember

       11        that the way to achieve our goals is through

       12        happiness and joy.

       13                      As the Lubovitcher Rebbe of

       14        blessed memory often stated, if one thinks good

       15        or positively, then it will be good and as the

       16        Tanya, the basic work of Chabad philosophy gives

       17        an example of this of two wrestlers, each one

       18        trying to get the upper hand over his opponent.

       19        The winner will not necessarily be the stronger

       20        of the two but rather the one who is more eager

       21        or hungry for victory.

       22                      May it be the Almighty's will

       23        that He continues to guide and lead us as He has

       24        in the past and give us the mind and heart to

       25        achieve our dreams and aspirations to benefit







                                                           1916

        1        our families, friends and communities in the

        2        future.  And let us all say Amen.

        3                      THE PRESIDENT:  Amen.  The

        4        reading of the Journal, please.

        5                      THE SECRETARY:  In Senate,

        6        Sunday, March 22.  The Senate met pursuant to

        7        adjournment.  The Journal of Saturday, March 21,

        8        was read and approved.  On motion, the Senate

        9        adjourned.

       10                      THE PRESIDENT:  Without

       11        objection, the Journal stands approved as read.

       12                      Presentation of petitions.

       13                      Messages from the Assembly.

       14                      Messages from the Governor.

       15                      Reports of standing committees.

       16                      The Secretary will read -

       17        Senator Marcellino -- motions and resolutions.

       18                      Senator Marcellino.

       19                      SENATOR MARCELLINO:  Thank you,

       20        Madam President.

       21                      On behalf of Senator Stafford, I

       22        wish to call up Calendar Number 157, Assembly

       23        Print Number 1357.

       24                      THE PRESIDENT:  The Secretary

       25        will read.







                                                           1917

        1                      THE SECRETARY:  Calendar Number

        2        157, by member of the Assembly Lafayette,

        3        Assembly Print 1357, an act to amend the General

        4        Business Law.

        5                      SENATOR MARCELLINO:  Madam

        6        President, I now move to reconsider the vote by

        7        which this Assembly bill was substituted for

        8        Senator Stafford's bill, Senate Print Number

        9        6020, on February 2nd.

       10                      THE PRESIDENT:  The question is

       11        on the motion to reconsider.  Call the roll.

       12                      (The Secretary called the roll on

       13        reconsideration.)

       14                      THE SECRETARY:  Ayes 40.

       15                      THE PRESIDENT:  The motion is

       16        carried.

       17                      SENATOR MARCELLINO:  Madam

       18        President, I now move that Assembly Bill Number

       19        1357 be recommitted to the Committee on Consumer

       20        Protection and that Senator Stafford's Senate

       21        bill be restored to the order of Third Reading

       22        Calendar.

       23                      THE PRESIDENT:  On the motion to

       24        recommit, all those in favor please signify by

       25        saying aye.







                                                           1918

        1                      (Response of "Aye".)

        2                      Opposed, nay.

        3                      (There was no response.)

        4                      The motion is carried.

        5                      SENATOR MARCELLINO:  Madam

        6        President, I offer the following amendments.

        7                      THE PRESIDENT:  The amendments

        8        are received.

        9                      Senator Farley.

       10                      SENATOR FARLEY:  Thank you, Madam

       11        President.

       12                      On behalf of Senator Kuhl, I move

       13        that the following bill be discharged from its

       14        respective committee and be recommitted with

       15        instructions to strike the enacting clause:

       16        That's Senate Print 3349.

       17                      THE PRESIDENT:  So ordered.

       18                      SENATOR FARLEY:  On behalf of

       19        several Senators, the following amendments are

       20        offered to these following bills:  Senator

       21        Maltese, page 10, Calendar 262, Senate Print

       22        4876; Senator Present, page 16, Calendar 375,

       23        Senate Print 528; Senator Volker, page 17,

       24        Calendar 385, Senate Print 6207-A; Senator

       25        Libous, on page 18, 399, Senate Print 1231-A,







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        1        and on behalf of Senator Johnson, on page 19,

        2        Calendar 412, Senate Print 2584-A.  I move that

        3        these bills retain their place also on the Third

        4        Reading Calendar.

        5                      THE PRESIDENT:  The amendments

        6        are received.

        7                      Return to reports of standing

        8        committees.

        9                      The Secretary will read.

       10                      THE SECRETARY:  Senator Stafford,

       11        from the Committee on Finance, reports the

       12        following nomination:  Member of the Port

       13        Authority of New York and New Jersey:  Anastasia

       14        Song, of New York City.

       15                      SENATOR STAFFORD:  Move the

       16        confirmation, please.

       17                      THE PRESIDENT:  The question is

       18        on the confirmation of Anastasia Song as a

       19        member of the Port Authority of New York and New

       20        Jersey.  All in favor please signify by saying

       21        aye.

       22                      (Response of "Aye".)

       23                      Opposed, nay.

       24                      (There was no response.)

       25                      Anastasia Song is hereby







                                                           1920

        1        confirmed as a member of the Port Authority of

        2        New York and New Jersey.

        3                      The Secretary will read.

        4                      THE SECRETARY:  Senator Stafford,

        5        from the Committee on Finance, reports the

        6        following nomination:  Member of the Board of

        7        Visitors of the New York State Home for Veterans

        8        and their Dependents at Batavia:  Anthony M.

        9        Ferrarese, of Rochester.

       10                      SENATOR STAFFORD:  Move the

       11        confirmation, please.

       12                      THE PRESIDENT:  The question is

       13        on the confirmation of Anthony M. Ferrarese as a

       14        member of the Board of Visitors of the New York

       15        State Home for Veterans and their Dependents at

       16        Batavia.  All in favor please signify by saying

       17        aye.

       18                      (Response of "Aye".)

       19                      Opposed, nay.

       20                      (There was no response.)

       21                      Anthony M. Ferrarese as a member

       22        of the Board of Visitors of the New York State

       23        Home for Veterans and their Dependents at

       24        Batavia is confirmed.

       25                      The Secretary will read.







                                                           1921

        1                      THE SECRETARY:  Senator Johnson,

        2        from the Committee on Transportation, reports

        3        the following bill:

        4                      Senate Print 6455, an act in

        5        relation to improving traffic flow.

        6                      Senator Stafford, from the

        7        Committee on Finance, reports the following

        8        bills:

        9                      Senate Print 1233, by Senator

       10        Volker, an act to amend the Executive Law;

       11                      2466, by Senator LaValle, an act

       12        to amend the Executive Law;

       13                      2827-B, by Senator Cook, an act

       14        to create a program;

       15                      4018-A, by Senator Present, an

       16        act to amend the Executive Law;

       17                      4741, by Senator LaValle, an act

       18        to amend Chapter 554 of the Laws of 1996;

       19                      5174, by Senator Alesi, an act to

       20        amend the Executive Law;

       21                      6029, by Senator Trunzo, an act

       22        to amend Chapter 41 of the Laws of 1997;

       23                      6101-B, Budget Bill, an act

       24        making appropriations -- an act making

       25        appropriations for the legal requirements of the







                                                           1922

        1        state debt service;

        2                      6102-B, Budget Bill, an act

        3        making appropriations for the support of

        4        government, general government budget;

        5                      6103-B, an act making

        6        appropriations for the support of government,

        7        transportation, economic development and

        8        environmental conservation budget;

        9                      6104-B, Budget Bill, an act

       10        making appropriations for the support of

       11        government, public protection, health and mental

       12        hygiene budget;

       13                      6248, by Senator Bruno, an act to

       14        amend the Real Property Tax Law;

       15                      6262, by Senator Volker, an act

       16        to amend the Executive Law;

       17                      6484-A, by Senator Stafford, an

       18        act to amend Chapter 303 of the laws of 1988;

       19        and

       20                      6512, by Senator Wright, an act

       21        to amend Chapter 812 of the Laws of 1987.

       22                      All bills ordered direct for

       23        third reading.

       24                      THE PRESIDENT:  Without

       25        objection, all bills direct to third reading.







                                                           1923

        1                      ACTING PRESIDENT KUHL:  Senator

        2        Bruno.

        3                      SENATOR BRUNO:  Mr. President,

        4        can we at this time return to motions and

        5        resolutions.  I believe that there is a

        6        privileged resolution at the desk by Senator

        7        Maziarz.  I would ask that the title be read and

        8        move for its immediate passage.

        9                      ACTING PRESIDENT KUHL:  We'll

       10        return to the order of motions and resolutions.

       11        There is a -

       12                      SENATOR BRUNO:  Mr. President,

       13        correction.  Can we have it read in its

       14        entirety.

       15                      ACTING PRESIDENT KUHL:  There is

       16        a privileged resolution by Senator Maziarz at

       17        the desk.

       18                      I'll direct the Secretary to read

       19        the resolution in its entirety.

       20                      THE SECRETARY:  By Senator

       21        Maziarz, Legislative Resolution 2935,

       22        memorializing the Honorable George E. Pataki to

       23        proclaim the week of March 23 through 27, 1998

       24        as "Elder Abuse Awareness Week" in New York

       25        State;







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        1                      WHEREAS, the millions of elder

        2        citizens residing in the state of New York have

        3        contributed to the general welfare of the state

        4        by helping to preserve the customs, convictions

        5        and traditions of the many ethnic backgrounds of

        6        the citizens of New York State.

        7                      The more than three million

        8        residents of New York State considered to be

        9        elder citizens are vital and integral members of

       10        our society.

       11                      The wisdom and experience of

       12        elder citizens have enriched the lives of young

       13        people of our state; and

       14                      WHEREAS, elder abuse in domestic

       15        and institutional settings is a widespread

       16        problem, affecting hundreds of thousands of

       17        elderly people across the country.

       18                      It has been estimated that there

       19        were over 1.8 million abused elders in the

       20        United States in 1996.  Estimates report that

       21        elder abuse affects approximately 30,000 New

       22        Yorkers every year.

       23                      Because elder abuse is still

       24        largely hidden under the shroud of family

       25        secrecy, elder abuse is grossly under-reported.







                                                           1925

        1        Elderly people who are being abused find it very

        2        difficult to tell anyone.  They are usually

        3        ashamed and sometimes afraid; and

        4                      WHEREAS, only 1 out of 14

        5        domestic elder abuse incidents come to the

        6        attention of authorities, the 30,000 domestic

        7        elder abuse cases reported to state adult

        8        protective service or aging agencies in New York

        9        represent only the tip of the iceberg and the

       10        number of elder abuse cases is growing every

       11        year.

       12                      Any elderly person may become the

       13        victim of abuse.  Males and females of any

       14        income level, any cultural or ethnic group,

       15        persons in good health or persons incapacitated

       16        in some way may be abused by someone close to

       17        them.  Elder abuse is not only happening in poor

       18        neighborhoods but also in suburbia and in some

       19        of the most upstanding families.

       20                      The abusers can be anyone but

       21        they are most commonly family members with whom

       22        the abused person is living.  Studies have

       23        estimated that over half the elderly people

       24        reported to have been abused were living with

       25        persons who abuse them.  The physical abuse,







                                                           1926

        1        mental anguish and financial exploitation too

        2        many elderly people are enduring diminishes us

        3        as a civilized society; and

        4                      WHEREAS, the legislators of New

        5        York State have been studying and reviewing this

        6        outrage through hearings across New York State

        7        and are determined to find a solution that will

        8        provide increased protection and services to the

        9        elder citizens of New York State, now,

       10        therefore, be it;

       11                      RESOLVED, that this legislative

       12        body pause in its deliberations to memorialize

       13        the Honorable George E. Pataki to proclaim the

       14        week March 23 through 27, 1998 as "Elder Abuse

       15        Awareness Week" in New York State; and be it

       16        further

       17                      RESOLVED, that a copy of this

       18        resolution, suitably engrossed, be transmitted

       19        to the Honorable George E. Pataki, Governor of

       20        New York State.

       21                      ACTING PRESIDENT KUHL:  The Chair

       22        recognizes Senator Maziarz, on the resolution.

       23                      SENATOR MAZIARZ:  Thank you very

       24        much, Mr. President.

       25                      Mr. President, I rise today in







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        1        support of memorializing our Governor George

        2        Pataki to proclaim the week of March 23rd

        3        through 27th as "Elder Abuse Awareness Week".

        4                      Elder abuse is an issue that has

        5        come to the forefront of our world today due to

        6        the rapid increase in our senior population,

        7        especially the population 85 years and older.

        8        The rise in our senior population has also

        9        unfortunately contributed to a rise in abuses

       10        experienced by this population.

       11                      Elder abuse is not a restricted

       12        area of abuse.  It can exist in every setting of

       13        a senior's life, including domestic,

       14        institutional, financial transactions or the

       15        workplace.  It can also take many forms,

       16        including financial exploitation, verbal,

       17        emotional, mental and physical abuse.

       18                      I have joined forces with

       19        Senators Alesi, Senator Holland and Senator

       20        Nozzolio in their capacities as chairpersons of

       21        the Consumer Protection, Social Services and

       22        Crime Victims, Crime and Corrections Committees

       23        to increase awareness and educate our state on

       24        the various forms of abuses a senior may

       25        experience.







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        1                      We are in the process of

        2        conducting public hearings on elder abuse across

        3        the state.  Our first hearing was held in

        4        December in Albany.  Our second hearing will be

        5        held on April the 3rd in Rochester and a third

        6        hearing will be held on April the 23rd in New

        7        York City.  It is our hope that these hearings

        8        will be a source of education regarding the

        9        issue of elder abuse and may also point out to

       10        us as New York State legislators the laws that

       11        may be needed amending or enacting in order to

       12        eliminate abuses against the elder.

       13                      I just want to note as a result

       14        of our Albany hearing, Senator Alesi has already

       15        introduced a bill, had a bill passed in this

       16        house mandating the reporting of elderly abuse

       17        by various state agencies.

       18                      Today a number of senior advocacy

       19        organizations and state offices have taken time

       20        out of their very busy schedules to provide

       21        information on the range of services available

       22        to seniors so that they do not fall victims to

       23        abuses.  There are exhibitor tables in the

       24        Concourse between the Capitol and the LOB and

       25        they have some extremely excellent information.







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        1        Some of the organizations and offices which have

        2        joined us today are the Attorney General's

        3        Office on Elder Abuse, the state Office of the

        4        Aging, the Office of Children and Family

        5        Services, Consumer Protection Board, Life Span

        6        of Rochester and Walk the Walk of New York City,

        7        just to name a few, Mr. President.

        8                      I do hope that all the members

        9        will stop by and say hello to these individuals,

       10        and I invite staff and any guests that are here

       11        in the gallery with us today to stop by and

       12        speak with some of the advocates.  Elder abuse

       13        is a serious issue in New York State and it does

       14        affect us all in one way or another.

       15                      I would also invite all of my

       16        colleagues in the Senate to sign on as co

       17        sponsors of this resolution.

       18                      Thank you, Mr. President.

       19                      ACTING PRESIDENT KUHL:  Is there

       20        any other Senator wishing to speak on the

       21        resolution?

       22                      (There was no response.)

       23                      Hearing none, the question is on

       24        the resolution.  All those in favor signify by

       25        saying aye.







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        1                      (Response of "Aye".)

        2                      Opposed, nay.

        3                      (There was no response.)

        4                      The resolution is adopted.

        5                      Senator Libous.

        6                      SENATOR LIBOUS:  Thank you, Mr.

        7        President.

        8                      On behalf of Senator Johnson, on

        9        page 12, I offer the following amendments to

       10        Calendar Number 307, Senate Print Number 2720,

       11        and ask that said bill retain its place on the

       12        Third Reading Calendar.

       13                      ACTING PRESIDENT KUHL:  The

       14        amendments to Calendar Number 307 are received

       15        and adopted.  The bill will retain its place on

       16        the Third Reading Calendar.

       17                      Senator Bruno, that brings us to

       18        the calendar.

       19                      SENATOR BRUNO:  Mr. President,

       20        can we at this time take up the non

       21        controversial calendar.

       22                      ACTING PRESIDENT KUHL:  The

       23        Secretary will read the non-controversial

       24        calendar.

       25                      THE SECRETARY:  Calendar Number







                                                           1931

        1        310, by member of the Assembly Brodsky, Assembly

        2        Print 1624, an act to amend the Environmental

        3        Conservation Law, in relation to the offense of

        4        endangered public health.

        5                      ACTING PRESIDENT KUHL:  The

        6        Secretary will read the last section.

        7                      THE SECRETARY:  Section 2.  This

        8        act shall take effect on the first day of

        9        November.

       10                      ACTING PRESIDENT KUHL:  Call the

       11        roll.

       12                      (The Secretary called the roll.)

       13                      THE SECRETARY:  Ayes 51.

       14                      ACTING PRESIDENT KUHL:  The bill

       15        is passed.

       16                      THE SECRETARY:  Calendar Number

       17        380, by Senator Lack, Senate Print 3479, an act

       18        to amend the General Municipal Law, in relation

       19        to filing of a notice of claim.

       20                      ACTING PRESIDENT KUHL:  The

       21        Secretary will read the last section.

       22                      THE SECRETARY:  Section 2.  This

       23        act shall take effect immediately.

       24                      ACTING PRESIDENT KUHL:  Call the

       25        roll.







                                                           1932

        1                      (The Secretary called the roll.)

        2                      THE SECRETARY:  Ayes 51.

        3                      ACTING PRESIDENT KUHL:  The bill

        4        is passed.

        5                      THE SECRETARY:  Calendar Number

        6        382, by Senator LaValle, Senate Print 5125-A, an

        7        act to amend the Town Law, in relation to

        8        increasing the number of and the length of the

        9        terms of office.

       10                      ACTING PRESIDENT KUHL:  The

       11        Secretary 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 51.

       18                      ACTING PRESIDENT KUHL:  The bill

       19        is passed.

       20                      THE SECRETARY:  Calendar Number

       21        390, by Senator Saland, Senate Print 5961, an

       22        act to authorize the payment of transportation

       23        aid to the Rhinebeck Central School District.

       24                      ACTING PRESIDENT KUHL:  There is

       25        a local fiscal impact note at the desk.  The







                                                           1933

        1        Secretary 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                      THE SECRETARY:  Ayes 51.

        8                      ACTING PRESIDENT KUHL:  The bill

        9        is passed.

       10                      THE SECRETARY:  Calendar Number

       11        404, by Senator Stafford, Senate Print 6010, an

       12        act to amend the Judiciary Law, in relation to

       13        the appointment of stenographers by the district

       14        attorney of Warren County.

       15                      ACTING PRESIDENT KUHL:  The

       16        Secretary will read the last section.

       17                      THE SECRETARY:  Section 2.  This

       18        act shall take effect immediately.

       19                      ACTING PRESIDENT KUHL:  Call the

       20        roll.

       21                      (The Secretary called the roll.)

       22                      THE SECRETARY:  Ayes 51.

       23                      ACTING PRESIDENT KUHL:  The bill

       24        is passed.

       25                      THE SECRETARY:  Calendar Number







                                                           1934

        1        407, by Senator Hannon, Senate Print 6233, an

        2        act to amend Chapter 426 of the Laws of 1983.

        3                      ACTING PRESIDENT KUHL:  The

        4        Secretary will read the last section.

        5                      THE SECRETARY:  Section 5.  This

        6        act shall take effect June 1.

        7                      ACTING PRESIDENT KUHL:  Call the

        8        roll.

        9                      (The Secretary called the roll.)

       10                      THE SECRETARY:  Ayes 51.

       11                      ACTING PRESIDENT KUHL:  The bill

       12        is passed.

       13                      THE SECRETARY:  Calendar Number

       14        410, by member of the Assembly Tokasz, Assembly

       15        Print 9294-A, an act to amend the Education Law,

       16        in relation to the hours of elections.

       17                      ACTING PRESIDENT KUHL:  The

       18        Secretary will read the last section.

       19                      THE SECRETARY:  Section 2.  This

       20        act shall take effect immediately.

       21                      ACTING PRESIDENT KUHL:  Call the

       22        roll.

       23                      (The Secretary called the roll.)

       24                      THE SECRETARY:  Ayes 51.

       25                      ACTING PRESIDENT KUHL:  The bill







                                                           1935

        1        is passed.

        2                      THE SECRETARY:  Calendar Number

        3        425, by Senator Rath, Senate Print 6414, an act

        4        to amend the Education Law, in relation to

        5        additional apportionment for certain school

        6        building projects.

        7                      ACTING PRESIDENT KUHL:  The

        8        Secretary will read -- The Secretary will read

        9        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 called the roll.)

       15                      THE SECRETARY:  Ayes 51.

       16                      ACTING PRESIDENT KUHL:  The bill

       17        is passed.

       18                      Senator Bruno, that completes the

       19        reading of the non-controversial calendar.

       20                      SENATOR BRUNO:  Mr. President,

       21        can we at this time take up the bills that were

       22        earlier reported to the floor by the Finance

       23        Committee, starting with Senate 6248.

       24                      ACTING PRESIDENT KUHL:  The

       25        Secretary will read Senate 6248.







                                                           1936

        1                      THE SECRETARY:  Calendar Number

        2        438, by Senator Bruno, Senate Print 6248, an act

        3        to amend the Real Property Tax Law, in relation

        4        to the school property tax exemption.

        5                      ACTING PRESIDENT KUHL:  The Chair

        6        recognizes Senator Bruno, on the bill.

        7                      SENATOR BRUNO:  Mr. President, as

        8        the people in this chamber know, New York State

        9        has become the leader in the country in cutting

       10        taxes.  We have cut over $11 billion in the

       11        previous three years in personal income taxes,

       12        real estate taxes, business taxes, sales taxes.

       13        The consequence of that has been to turn the

       14        economy of New York State around.

       15                      This bill before us is the

       16        Senate's tax cut package for this year.  We have

       17        turned the economy of this state in three years

       18        through the leadership of Governor George Pataki

       19        when we in this chamber and the other house have

       20        partnered, cutting more taxes in three years

       21        than all other 49 states combined.

       22                      Previous to these three years we

       23        led the country in job losses, lost about

       24        600,000 jobs, 50th in job creation and in three

       25        years, as a consequence of our tax cut policies







                                                           1937

        1        that are now law, the last few years we have

        2        created 250,000 jobs.  We are sixth in the

        3        country in creating new jobs, leading some of

        4        the major competitive states in job creation in

        5        the United States.

        6                      So, Mr. President, I would urge

        7        my colleagues to support the continuation of the

        8        economic policies, the tax cut policies that

        9        have led to the economic recovery and the growth

       10        of New York State.

       11                      This package includes 680 million

       12        in cuts this year, growing to the year 2001 and

       13        2002 to 1,250,000,000, led by allowing moderate

       14        and low income seniors to accelerate the STAR

       15        program that all of us in this chamber -- most

       16        of us in this chamber supported.  It returns the

       17        seniors, let's them keep about $538 million

       18        savings in their property taxes.  Now, that

       19        accelerates a program that's already law.

       20        That's the major part of what we are proposing

       21        here today.

       22                      We also talk about cutting the

       23        corporate tax rate by 25 percent, making us

       24        again competitive with other states who have

       25        been taking our jobs where growth has been







                                                           1938

        1        taking place where we've lost jobs.  We will

        2        reverse that.

        3                      We talked about an investment tax

        4        credit for the financial community.  The

        5        financial community has been driving revenue as

        6        we all know.  They presently don't enjoy the

        7        same breaks that manufacturers get here in this

        8        state.  They are investing in high tech'

        9        equipment every few years to keep pace with the

       10        market and all of the things that are

       11        happening.  We want those jobs to stay here.

       12        That investment tax credit will help ensure

       13        that.

       14                      I saw numbers that showed that

       15        the average growth just in this industry alone

       16        across the country was 49 percent growth.  We in

       17        New York State have not participated in that

       18        growth to that extent.  We have actually

       19        participated very little because the back

       20        offices have moved to other states.  Hopefully

       21        this investment tax credit will help reverse

       22        that.

       23                      We talk about child care credits

       24        for lower income people, to help working

       25        mothers, working fathers to care properly for







                                                           1939

        1        their children.

        2                      Investment tax credits for

        3        businesses are in this package to encourage them

        4        to provide a safe place for families to keep

        5        their young children while they're working.

        6                      We have a truck mileage tax

        7        reduction in here, a petroleum tax including jet

        8        fuel reduction in this.

        9                      We have a motor vehicle

       10        reduction, taking a 25 percent reduction in

       11        licenses for the people of this state who have

       12        watched the costs of driving their cars

       13        escalate.

       14                      We also returned, for those that

       15        turn in a license early, those dollars they

       16        presently forfeit to the state.

       17                      We do things for small business

       18        to the tune of about $165 million, taking the

       19        minimum tax down, taking the alternative tax

       20        down from three and a half percent to two and a

       21        half percent, and that is critically important

       22        to industry and businesses in this state.

       23                      Companies that invest in high

       24        tech' equipment, generally small companies, we

       25        have a package that zeros in directly on these







                                                           1940

        1        small companies to help them get into business,

        2        stay in business and be competitive.

        3                      There are other aspects to this

        4        tax cut package, Mr. President, but I won't read

        5        the detail.  It's all in the bill.  I would

        6        encourage my colleagues to support this, and I

        7        also know that there are alternatives to this

        8        package.  I know that there are tax cuts that

        9        other people feel would be more productive and

       10        we're interested in looking at those.

       11                      The Assembly has introduced, to

       12        their credit, as they pass their budget, a tax

       13        cut package and we want to look at that.  Much

       14        of what we are proposing here today is in their

       15        package, to their credit.  We will negotiate

       16        what isn't, and while we recognize that there

       17        are other ways to cut taxes and return this

       18        surplus to the people of this state, we are

       19        focused on creating jobs, economic development,

       20        driving the economy and we believe sincerely

       21        that this tax cut package does exactly that.

       22                      So, Mr. President, this is the

       23        first of the budget bills that we will be

       24        passing between now and Wednesday, and I would

       25        encourage my colleagues to be supportive.







                                                           1941

        1                      Thank you, Mr. President.

        2                      ACTING PRESIDENT KUHL:  Senator

        3        Connor.

        4                      SENATOR CONNOR:  Thank you, Mr.

        5        President.

        6                      Mr. President, I'm delighted that

        7        the Senate's begun work on its version of the

        8        budget so that we can hopefully go to Conference

        9        Committees and reconcile our differences or the

       10        differences between the Majority in this house

       11        and the budget passed by the Assembly.

       12                      During the course of the debate

       13        today on this tax cut package bill, a number of

       14        amendments will be offered by members on this

       15        side of the aisle, amendments designed to make

       16        the investment tax credit a better one by being

       17        sure that its benefits are available for jobs

       18        created in New York State rather than elsewhere

       19        by the financial services industry because, as

       20        we know, a lot of -- seems to be a lot of things

       21        going on in South Dakota to New York's

       22        detriment.

       23                      There will be amendments offered

       24        to help the farmers in New York State with tax

       25        relief designed specifically for them and there







                                                           1942

        1        will be a number of other amendments.

        2                      Let me say the first amendment,

        3        Mr. President, I call up now is sponsored by

        4        me.  It's at the desk.  I would ask to have its

        5        reading waived and to explain my amendment.

        6                      ACTING PRESIDENT KUHL:  Senator

        7        Connor, the amendment is at the desk.  The

        8        waiving of the reading that you've asked for is

        9        granted and you are now provided an opportunity

       10        to explain the amendment.

       11                      SENATOR CONNOR:  Thank you, Mr.

       12        President.

       13                      This amendment embodies a

       14        proposal which last week the members of the

       15        Senate Minority Conference, the Senate

       16        Democrats, proposed publicly.  We got varied

       17        responses.  I like the response we got from

       18        Change New York because I think it said it all.

       19                      Change New York said the Senate

       20        Republicans have their tax cut proposals.  The

       21        Senate Democrats have their tax cut proposals.

       22        It's good they both have proposals.  The only

       23        difference is who are you for?  Who do you think

       24        the benefits should be for?  I guess that just

       25        about sums up what the difference is in our







                                                           1943

        1        position.  We are for tax cuts.  We certainly,

        2        in a state that has a substantial burden on the

        3        taxpayer, are in favor of reducing taxes.

        4                      What our amendment does -- let me

        5        tell you first, my colleagues, what it doesn't

        6        do.  It doesn't eliminate the investment tax

        7        credit for banking securities.  It does not

        8        touch the enhanced STAR, accelerated STAR

        9        benefits, cuts, which we support.  It does not,

       10        of course -- it leaves intact the child care

       11        credit and the motor vehicle small fee cuts,

       12        small business provisions.

       13                      What it does do is remove some

       14        the other corporate tax cuts proposed by the

       15        Majority and replace them with a series of

       16        proposals for returning the surplus.

       17                      What it does, more importantly,

       18        is while Senator Bruno's proposal -- while the

       19        Majority's proposal would give back $680 million

       20        to the taxpayers this year, we would give back

       21        $1.6 billion this year.  When our program was

       22        fully implemented, it would cost 520 million,

       23        namely the accelerated STAR.  When the

       24        Majority's program in out-years is fully

       25        implemented, it will cost $1.3 billion.  If you







                                                           1944

        1        see it on a graph, we cross like this

        2        (indicating).

        3                      The reason is our concern is to

        4        be responsible.  We have the surplus this year.

        5        We want to give it all back to those who paid

        6        it.  We don't want to create a possible deficit

        7        next year or the year after.  We don't want it

        8        to balloon.  We're, if you will, Mr. President,

        9        fiscal conservatives about this.  We believe you

       10        ought to give back the surplus to the people who

       11        paid it.  We believe you ought to give it back

       12        what you can afford and we believe you should

       13        avoid creating deficits in the future.  This is

       14        sound fiscal management.  I urge it upon the

       15        state of New York.  As shocking and refreshing

       16        as a concept for governmental budget making, I

       17        think it behooves this Legislature to go that

       18        route, and I would urge this house to do that.

       19                      Now, how do we -- what do we do?

       20        Where do we get this $1.6 billion?  Well, the

       21        accelerated STAR, the other provisions we

       22        haven't effected and what we would add is a

       23        rebate provision, so that every individual

       24        taxpayer in New York State would get a $100

       25        rebate, check in the mail.  Now, a married







                                                           1945

        1        couple filing jointly, $200 check in the mail.

        2        A taxpayer who paid less than $100 would get

        3        back whatever they paid.

        4                      Now, Mr. President, what's the

        5        philosophy behind this?  We took too much from

        6        these taxpayers.  Our surplus says we met the

        7        needs of government -- we met the needs of

        8        government and we had some left over.  We should

        9        give it back.

       10                      What does it do?  I know there

       11        will be those who say, Oh, but how does that

       12        create jobs?  Mr. President, in the words of our

       13        governor, it allows for freedom.  It lets the

       14        taxpayer decide what to do with their $100.

       15        Maybe they'll spend it.  Maybe they'll save it.

       16        Maybe they'll invest it.  Maybe they'll give it

       17        away.  Maybe they'll give it away to charity.

       18        Maybe they'll start eliminate staying with it.

       19        Who knows, Mr. President?  That's their choice

       20        under our system of entrepreneurship under our

       21        capitalist system.  They should be free.  It's

       22        their money.  It's not our money.  We shouldn't

       23        decide on some kind of trickle down scheme.  If

       24        we give it back to General Electric, maybe

       25        they'll hire some jobs.  I say let's give it to







                                                           1946

        1        the GE employees who just lost their jobs.  I'm

        2        sure they could use the 100 or $200 they get

        3        back.

        4                      Mr. President, it is about

        5        leaving in the taxpayers' pockets, in the

        6        citizens' pockets, leaving their money there and

        7        letting them make the decisions about how to

        8        spend it.  It's money we didn't need to run the

        9        government.  They ought to have it back.

       10                      Frankly, Mr. President, the whole

       11        corporate give-back aspects that we eliminate

       12        and replace with this rebate is that old trickle

       13        down theory and studies have shown over and over

       14        again that you feed these corporations and it

       15        doesn't necessarily produce the jobs.  Let the

       16        people spend the money.  If every taxpayer in an

       17        area had $100 to spend, that would certainly -

       18        that would certainly create jobs.  It would

       19        enhance businesses as they spent this money

       20        because, Mr. President, if it wouldn't, then why

       21        did we do that personal income tax cut a couple

       22        years ago?  How did that ever produce jobs?

       23        Well, the answer we heard from the Majority then

       24        was, if you give the people the money back,

       25        they'll spend it and that will create jobs in







                                                           1947

        1        retail, in entertainment, wherever they spend

        2        that money, wherever they spend that money.

        3        That's what this Majority sold us.  It's what we

        4        did three years ago.  So how could you say today

        5        that giving everybody $100 won't create jobs?

        6                      It will create jobs just as much

        7        -- just as much as the personal income tax cuts

        8        in past years created jobs, if they did create

        9        jobs and, frankly, Mr. President, if we look at

       10        the statistics on where New York's economy

       11        lagged so far behind the regional economy, so

       12        far behind the rest of the nation in terms of

       13        recovery, indeed, the only bright spot in New

       14        York's economy is that hot Wall Street and study

       15        after study has shown it's New York City and the

       16        New York City Metropolitan area that has

       17        benefited from the jobs generated from Wall

       18        Street.  The rest of New York State, indeed, is

       19        in a terrible situation when it comes to jobs

       20        and just returning tax breaks to corporations

       21        that are already on their way out the door from

       22        New York won't do it.  Let's give the residents

       23        of New York the money to spend to create their

       24        own economies in their own towns and cities.

       25                      Mr. President, we are blessed now







                                                           1948

        1        because of a national economy under the

        2        leadership of a national administration that has

        3        adopted policies that have produced a healthy

        4        economy.  One of the effects of this is no

        5        inflation, virtually no inflation and, two, the

        6        lowest interest rates we've seen in literally

        7        decades.

        8                      The mortgage interest rate is at

        9        an all time low, at least since I was old enough

       10        to know what a mortgage rate was.  Many, many

       11        New Yorkers are interested in buying that first

       12        home because it's a good time to buy.  It's a

       13        good time to barter.  Many, many more middle

       14        class homeowners in New York State are

       15        interested in refinancing that mortgage,

       16        refinancing that mortgage that is perhaps at

       17        nine or ten or even eleven percent if they

       18        didn't bother refinancing before this, down to a

       19        possible seven percent.

       20                      A homeowner with a $120,000

       21        mortgage that refinances at seven percent from

       22        nine percent will save $24 -- $2400 in interest

       23        payments the first year.

       24                      Now, we know when you refinance,

       25        Mr. President, it's just like buying a house all







                                                           1949

        1        over again.  There are closing costs.  Sometimes

        2        there's lawyers.  You need a survey.  You need

        3        this and that and one of the big things you have

        4        to do is you have to pay the mortgage recording

        5        tax.  It's a point.  It's a point at which

        6        usually the bank pays a quarter of the point and

        7        the borrower pays three-quarters of a point.  On

        8        that $120,000 mortgage refinance, I think it

        9        would come to 840 or $850 would be the local -

       10        the mortgage recording tax.  Now, we know that

       11        tax is distributed primarily to the localities.

       12        There are also some other state uses to which

       13        part of those proceeds are put.  Based on past

       14        experience, this tax is worth about 300- to $350

       15        million a year.

       16                      We propose as a one-year-only

       17        proposition -- why one year, Mr. President?  We

       18        have a surplus this year.  We want to give it

       19        back.  We want to give it back but we don't want

       20        to create a future problem the way the

       21        Majority's proposal would do.

       22                      So what we're proposing to do is

       23        have a one-year moratorium.  The state of New

       24        York will hold the local communities harmless.

       25        We'd give them the money they would have gotten







                                                           1950

        1        from the recording tax but the people who

        2        refinance their home won't have to pay that tax,

        3        a big savings for middle class families.

        4        Virtually every middle class family with a

        5        mortgage will be able to refinance at a much

        6        lower interest rate, save thousands of dollars

        7        in interest costs and save substantial dollars

        8        by not having to pay the mortgage recording

        9        tax.  It will be good, Mr. President, for New

       10        York's economy.  It will be good for our

       11        financial industries.  It would be good for the

       12        real estate industries.  It will create jobs in

       13        real estate.  There's no doubt about it.  No

       14        doubt about it, Mr. President.

       15                      The other third tier, if you

       16        will, of the changes we would make -- because

       17        we're not replacing the Majority's proposal.

       18        We're just substituting certain elements -

       19        would be a selected cut in sales taxes based on

       20        family needs geared to families and safety.

       21                      For example, we would exempt from

       22        the sales tax child safety helmets, child safety

       23        seats, diapers, things that the families, the

       24        struggling middle class, working class families

       25        in New York State have to pay for.







                                                           1951

        1                      When you have children, Mr.

        2        President, it's not an option whether or not you

        3        buy a child safety seat.  It's no more an option

        4        to do that if you drive and most people in New

        5        York State, that's how the transportation is.

        6        They have to drive.  That's not an option.  You

        7        have to buy that and it's not an option about

        8        whether or not your child is going to need a

        9        safety helmet as they grow and ride bicycles and

       10        scooters and rollerblade, whatever.  Just look

       11        around.  Every kid's got to have a safety

       12        helmet.  We want them to have a safety helmet

       13        and it's silly for us to try and profit on

       14        that.

       15                      So, Mr. President, in sum and

       16        substance, I would urge that our amendment be

       17        accepted because, one, it gives the money back

       18        to the people.  It lets the people decide how to

       19        spend it.  It lets the people create jobs by

       20        their own economic free choice.  Their own

       21        economic free choice will create those jobs.  It

       22        will create those jobs.  The marketplace will

       23        create those jobs when we put all of this money

       24        back in circulation.

       25                      Number two, Mr. President, it's







                                                           1952

        1        fiscally conservative and responsible.  It's a

        2        lot of money this year and there's no hole being

        3        dug for future years.  The Majority, once again,

        4        makes a small down payment and goes deep into

        5        the hole in the out-years with proposals,

        6        frankly, Mr. President, that are of dubious

        7        value in job creation and certainly of dubious

        8        value to the average taxpayer in New York

        9        State.  Rewarding the company that's cutting

       10        back on the jobs doesn't help the average

       11        working man and woman in New York State.

       12                      So this first amendment, Mr.

       13        President, I would urge all of my colleagues to

       14        support.

       15                      ACTING PRESIDENT KUHL:  Any other

       16        Senator wishing to speak on the amendment?  The

       17        question is on the amendment.  All those in

       18        favor -- Senator, excuse me.

       19                      SENATOR DOLLINGER:  On the

       20        amendment.

       21                      ACTING PRESIDENT KUHL:  Senator

       22        Paterson.

       23                      SENATOR DOLLINGER:  On the

       24        amendment.

       25                      ACTING PRESIDENT KUHL:  I had







                                                           1953

        1        Senator Paterson rising first.

        2                      SENATOR DOLLINGER:  Excuse me.

        3                      ACTING PRESIDENT KUHL:  Senator

        4        Paterson.

        5                      SENATOR PATERSON:  Thank you, Mr.

        6        President.

        7                      This amendment, coming at this

        8        time, I think brings a sobering and refreshing

        9        kind of view of the economic forecast for New

       10        York.

       11                      If we look at the last couple of

       12        decades, it appears that the whole concept of

       13        refinancing and debt has been misunderstood as

       14        -- by governments, even by consumers.  As we

       15        read most recently, the consumers are finally

       16        starting to understand what their obligations

       17        are.  Certainly as a government, which is

       18        basically made up of a number of consumers, we

       19        have to start understanding what our obligations

       20        are.  We cannot continue to go on and on,

       21        raising hopes that we can't fulfill, making

       22        promises that we can't keep, talking in absurd

       23        extremes and peddling a bunch of simplistic

       24        exaggerations that only parody the truth.

       25                      To state that we are going to







                                                           1954

        1        start a long-term $5 billion tax cut last year

        2        and which we made a marginal down payment on at

        3        a time when Wall Street was booming is really

        4        confusing and creates the dispirited reaction

        5        about government that the public feels when they

        6        find out the painful truth that we are unable to

        7        fulfill those obligations.

        8                      We learned that lesson right here

        9        in this chamber in April of 1987 when we passed

       10        a $2.3 billion tax cut which was the residue of

       11        the coupling act of the Federal Income Tax

       12        Reform Act of 1986.  At that time we had $2.3

       13        billion and we gave it back in various ways very

       14        similar to what is basically being proposed in

       15        the Majority's package today.

       16                      At the same time we were doing

       17        this, the states of Illinois and Indiana and

       18        Iowa, of Maryland, Massachusetts, Michigan and

       19        Minnesota were not doing that.  We were either

       20        passing the savings along to consumers or they

       21        were investing that money and keeping it for a

       22        rainy day.

       23                      The fact that we experienced a

       24        windfall at that particular time did not allow

       25        those states to fritter the money away in







                                                           1955

        1        reckless schemes but in New York State, by 1988,

        2        we were $900 million in debt.  By 1989, we had a

        3        $4.3 billion budget gap.  By 1990, we had a $4.8

        4        billion budget gap and during that particular

        5        time, we had to wonder how much more foresighted

        6        would it have been if we had taken a realistic

        7        look at debt and also a windfall at that

        8        particular time.  Now we are blessed again with

        9        a nearly $2 billion surplus, the first time

       10        we've had a surplus since 1987, and the idea of

       11        giving this money back in a number of ways, I

       12        guess if you own a tractor company, this would

       13        be a benefit.  If you own some kind of a large

       14        corporation, this would be a benefit, but if you

       15        are a small business owner or a citizen of this

       16        state, it is not going to be the kind of benefit

       17        that it would be if everybody got back $100 as

       18        Senator Connor is proposing.

       19                      Many of us may have forgotten

       20        what $100 really means or $200 for a couple.

       21        $100 for us is more than just a few cigars.

       22        $100 is something that can actually make a

       23        difference for perhaps some of the employees of

       24        Manufacturers Hanover who were laid off last

       25        week.  Anyone who's a resident of New York who's







                                                           1956

        1        part of the 20,000 people laid off by Boeing

        2        last Friday, anyone from General Electric who's

        3        lost their jobs recently, this could be a

        4        valuable addition to what is a diminishing

        5        revenue base right here in New York State.

        6                      This particular windfall that

        7        we're receiving, we have to understand comes

        8        from what has been an immense period on Wall

        9        Street of great wealth and of great prosperity,

       10        but it is not the only time that Wall Street has

       11        actually prospered.  Actually the largest,

       12        longest period of time that Wall Street

       13        prospered was about from 1961 until the end of

       14        1969.  When we went into recession after 1969,

       15        recession being calculated as the measure of 20

       16        percent less of the wealth of the aggregate year

       17        two years before, that recession lasted almost

       18        through the entire decade of the '70s.  We had

       19        had a growth in the late 1920s of nearly three

       20        and a half times the Wall Street market average,

       21        the Dow Jones average.  That occurred from

       22        mid-1926 to mid- -- to October of 1929, and we

       23        don't have to remind ourselves of what happened

       24        at that period of time.

       25                      So as we go through this bull







                                                           1957

        1        market and this period of prosperity which began

        2        approximately October 20th of 1991 and has gone

        3        through the entire decade, most analysts believe

        4        that the period will continue, that it's not

        5        going to end very shortly, that to actually

        6        equal the percentage gain in the late 1920s,

        7        that the Wall Street index, the Dow Jones

        8        average which on Friday closed at 8906, 8,906

        9        shares, would have to rise over 10,500 shares

       10        and most analysts believe that it will rise and

       11        it will go over 10,500 some time at the

       12        millennium or in the year 2000, but the fact

       13        remains that there will still come a time that

       14        there will be deficit and there will be

       15        recession in this state and at this particular

       16        time, the best way to reignite the engine of our

       17        economy, the best way to create prosperity is

       18        actually the simplest way and we should actually

       19        follow it, to give the money back to the

       20        individuals who most should be rewarded, those

       21        taxpayers, 7.6 million of them who have provided

       22        the broad revenue base for this state and have

       23        suffered the economic situation that we've had

       24        from 1990 -- from 1988 to 1997.  Those are the

       25        people who most deserve it.  That's the largest







                                                           1958

        1        number of people and this is the way that we

        2        most believe it should be brought back.

        3                      The mortgage recording tax is

        4        something that is so easy to figure out that

        5        it's hard to discuss.  Everyone who is now

        6        refinancing on their homes or everyone who would

        7        be desirous of buying property at this time when

        8        there's a low interest rate would receive -

        9        would not have to pay the mortgage recording tax

       10        only for fiscal year 1998-99.

       11                      We're not going to forecast any

       12        longer beyond 1999 because, even though we may

       13        believe that we're in a period of prosperity, we

       14        do not know for a fact what is actually going to

       15        happen.  There's no use talking about tax cuts

       16        that are really no more than predictions and

       17        plans.  If there's anything left over next year,

       18        we can discuss coming right back here and

       19        passing the same legislation.  It's not as if

       20        we're going to go on vacation for a few years

       21        after we pass this tax cut.  This would be the

       22        most responsible way.  This is the way that even

       23        citizens around this state are learning it is

       24        the best way to handle their personal finances

       25        and we as the fiduciary agents of their







                                                           1959

        1        interests as elected officials in government

        2        need to respond to that actual interest, and as

        3        we look at the essentials that we will be

        4        allowing for in the sales tax, they will be very

        5        important to the people who need them, diapers,

        6        car seats for safety, fire extinguishers and the

        7        like.

        8                      So I am proud to actually support

        9        this amendment at a time when we think this

       10        makes good fiscal sense and it is the type of

       11        plan that you don't have to be an economist to

       12        understand.  It would, in our opinion, inure to

       13        the benefit of the most people in this state and

       14        would cost really no more than about $760

       15        million to give out.  It would certainly create

       16        the same kind of investment opportunity and the

       17        same kind of economy generating because even in

       18        the poorest centers of our state, money changes

       19        hands at least once in its own community before

       20        it goes outside of its community and, therefore,

       21        we would be putting the money right back into

       22        some of the companies and some of the businesses

       23        that the other plan does.

       24                      So I think that this is an

       25        excellent suggestion coming at this time by the







                                                           1960

        1        Minority Leader, Senator Connor, and I think

        2        it's one we should think about deliberately and

        3        I think it's one that we should all understand

        4        that we need in our state at this time and would

        5        be the best way to reward all of the people who

        6        had to pay for the deficit because of our

        7        irresponsibility nearly a decade ago.

        8                      ACTING PRESIDENT KUHL:  Senator

        9        Dollinger, on the amendment.

       10                      SENATOR DOLLINGER:  Thank you,

       11        Mr. President.

       12                      Friends, Romans and countrymen,

       13        lend me your ears.  You remember that start of

       14        that famous speech which carried the line that

       15        the evil that men do lives after it becomes

       16        law.  The good is often interred in an amendment

       17        offered by the Senate Democrats.

       18                      I'll tell you, this is the best

       19        offer made in a public body to the people of a

       20        community since those 75 drachmas were offered

       21        under Caesar's will in Julius Caesar.  This is

       22        $100, a C-note for everybody in New York State.

       23        What Senator Connor and Senator Paterson have

       24        overlooked is that this is the most progressive

       25        form of tax relief that we could give and the







                                                           1961

        1        reason is simple.  That $100 is worth a lot more

        2        in the pocket of a man who makes $10,000 a year

        3        than it is in the hands of a millionaire.  It's

        4        the perfect progressive rebate to the people of

        5        this state.

        6                      What a great way to take the tax

        7        system, make it progressive, make the rebate

        8        system work.  Give everybody in this state

        9        $100.  If you file jointly, give them $200.  Let

       10        them put into practice what we're told everyone

       11        on that side of the aisle believes, which is

       12        that each individual should figure out how to

       13        spend his own money.  As I recall, that's the

       14        patron saint of the Republican Party, Ronald

       15        Reagan, who told us that the way to make it work

       16        best is to give the money back to the people and

       17        let them decide what they want to do with it.

       18        Let them decide where they should spend it.  Let

       19        them decide what consumer goods they should

       20        buy.  Let them decide what they should buy for

       21        educating their children.  Let them decide where

       22        they want to send their kids to college.  This

       23        $100 rebate, which is part of this amendment,

       24        allows them to do just that.  It's progressive.

       25        It gives the sense to people that their







                                                           1962

        1        government wants to give them something to help

        2        them.  Let them make the choice.

        3                      The tax cuts that the Majority

        4        offers that are geared to businesses, sure,

        5        those have value, but why not give it right back

        6        to the people?  Why not give it to the person

        7        who can greatly appreciate it?  Why not give

        8        $100 to the guy who makes 10,000?  Give him

        9        something that he can spend.  Give him something

       10        that he can save.  Give him something that he

       11        can put to work.

       12                      What I find unique about this

       13        amendment is that we are creating what I think

       14        is a unique concept.  We already have an

       15        unclaimed property fund in this state.  You know

       16        that unclaimed property where if you don't claim

       17        your bank accounts, they're eventually sent to

       18        the comptroller and you can claim your money

       19        back?  Well, the Senate Democrat amendment, it

       20        clearly creates an unspent tax fund.  We don't

       21        spend your tax money.  We give it back to you.

       22        We give it back to you at a rate of $100 per

       23        person.  An unspent tax fund, what a wonderful

       24        idea.  We don't need it to pay for the cost of

       25        government.  We'll give it back to the people







                                                           1963

        1        who gave it to us.  What a great idea.  What a

        2        wonderful way to do it.  What a wonderful way to

        3        give it back to the people and make the people

        4        those who decide where their tax money should be

        5        spent.  Give it back to them.  Let them spend it

        6        however they want to.

        7                      The promise -- the mortgage tax,

        8        another great idea.  Several years ago we had an

        9        extensive debate in this house about repealing

       10        the real property capital gains tax.  You

       11        remember that tax that was put in place before I

       12        got here and I think, Senator -- maybe some

       13        Senators can tell me, I think that was a tax put

       14        in place by the Republican Majority here.  I

       15        don't think it was done in that one year in the

       16        last 50 when the Democrats have been in

       17        control.  That was a tax put in place by the

       18        Republican Party and if you all recall, there

       19        was a great debate in which everybody said it

       20        was a terrible tax.  It was a terrible idea.  No

       21        one wanted to take responsibility for having put

       22        it in place but when the time came to repeal it,

       23        suddenly everybody on the other side of the

       24        aisle jumped up and said, we made a horrible

       25        mistake.  It wasn't really our fault.  We were







                                                           1964

        1        forced to do it but, boy, are we happy to be

        2        repealing it.

        3                      Well, what that tax relief was

        4        designed to do was promote new construction in

        5        housing.  I would suggest to you that a relief

        6        from the mortgage tax would be a vital incentive

        7        to increase new construction of homes, to allow

        8        people to buy their starter home.  $100,000

        9        mortgage carries with it, I believe somewhere

       10        between 900 and $1,000 worth in mortgage taxes

       11        that you have to pay when you buy the property.

       12        Why not allow the person to save that money?

       13        You'll see people buying more houses to start.

       14        You'll see more and more people refinancing.

       15                      Senator Connor is absolutely

       16        correct.  A two percent reduction in the

       17        interest rate on your mortgage will produce a

       18        savings of $2400 a year for a New Yorker who's

       19        dropping their mortgage from nine percent to

       20        seven percent.  Why shouldn't we use tax relief

       21        as the incentive to drive that decision, to

       22        allow consumers to do something that we know is

       23        better for them, which is they can reduce the

       24        carrying cost of their house $2400 in a single

       25        year and if you have a 30-year mortgage, that's







                                                           1965

        1        every year for the next 30 years.  That's

        2        $60,000 in savings leveraged by relief from the

        3        mortgage tax that this proposal embodies.

        4                      So what do we do?  We increase

        5        refinancing.  We allow more New Yorkers to save

        6        their money.  We encourage new home

        7        construction.  We encourage people moving up in

        8        their homes.  All those good things that I know

        9        you want for New Yorkers, this amendment will

       10        actually leverage.  This will point them in that

       11        direction.  It will do for each individual in

       12        this state what I think we all acknowledge they

       13        should be doing.  Save your money.  Put it in

       14        the bank.  Use it to pay for your kid's college

       15        education.  If we give them the incentive of

       16        relief from the mortgage tax, we will get closer

       17        to that goal.  We will put in the hands of

       18        individuals the ability to decide what their

       19        future is instead of simply putting it in the

       20        hands of our major corporations.  This one

       21        favors people over corporations.  It's just the

       22        kind of tax cut that we should have in place.

       23        It's just the kind of tax relief that New

       24        Yorkers want.

       25                      It seems to me, as I said before,







                                                           1966

        1        this is very simple.  The evil that men do can

        2        live after.  It can be in the form of a back

        3        ended tax cut which blows out to billions of

        4        dollars in the future.  We learned that lesson,

        5        I hope.  It doesn't appear we have because the

        6        Majority's bill creates those same kind of

        7        unfunded mandated liabilities in the future.

        8                      This is a bill that creates

        9        mandated liabilities for this state in the

       10        future.  They're all based on a faint and

       11        illusory promise of continued economic

       12        expansion.  I hope it continues.  I hope for all

       13        of our sakes it continues, but it's an illusion

       14        to think that we can build a promise on the

       15        basis of that illusion.

       16                      The Democratic plan here is

       17        simple.  We've got more money.  We don't need to

       18        spend it.  Give it back to the people who gave

       19        it to us.  Do something for the people of this

       20        state.  Put $100 back in their pocket.  Give

       21        them an incentive to refinance their home or buy

       22        their first home by giving them relief from the

       23        mortgage tax.  It's very simple.  This amendment

       24        is the best deal since Mark Antony offered the

       25        75 drachmas to the citizens of Rome.  Offer







                                                           1967

        1        everybody in New York State refinancing of their

        2        homes and $100 in their pocket.

        3                      Vote for this amendment.

        4                      ACTING PRESIDENT KUHL:  The

        5        question is on the amendment.  All those in

        6        favor signify by saying aye.

        7                      (Response of "Aye".)

        8                      Opposed?

        9                      SENATOR PATERSON:  Party vote in

       10        the affirmative.

       11                      SENATOR BRUNO:  Party vote in the

       12        negative.

       13                      ACTING PRESIDENT KUHL:  The

       14        Secretary will call the roll.

       15                      (The Secretary called the roll.)

       16                      THE SECRETARY:  Ayes -

       17                      ACTING PRESIDENT KUHL:  Senator

       18        Leichter, why do you rise?

       19                      SENATOR LEICHTER:  Mr. President,

       20        to explain my vote on the amendment, Mr.

       21        President.  I think the amendment is -

       22                      ACTING PRESIDENT KUHL:  Record

       23        the party line votes, and Senator Leichter, to

       24        explain his vote.

       25                      SENATOR LEICHTER:  Right.  I







                                                           1968

        1        think what Senator Connor has offered here,

        2        obviously makes so much better sense than what

        3        has been offered by the Republican Majority.

        4        The Majority's proposal is highly irresponsible

        5        and I'm going to talk about that later when we

        6        get to it.  I think at least what Senator Connor

        7        has sought to do is to avoid putting the state

        8        into a financial down spiral in future years as

        9        far as revenue is concerned.

       10                      Nevertheless, I just don't feel

       11        that I can support a tax cut at a time that this

       12        state is facing a $5 billion structural deficit

       13        in the coming years.  I think that there are

       14        ways that we can address needs in this state

       15        that would be more helpful than giving people

       16        the sort of tax cut proposed even moderate and

       17        reasonably tame as Senator Connor's proposal is,

       18        but I don't think this is a time that we can do

       19        it and afford to do it and, therefore, I'm going

       20        to vote in the negative on the amendment.

       21                      ACTING PRESIDENT KUHL:  Announce

       22        the results.

       23                      THE SECRETARY:  Ayes 23, nays 34.

       24                      ACTING PRESIDENT KUHL:  The

       25        amendment is lost.







                                                           1969

        1                      Senator Stachowski.

        2                      SENATOR STACHOWSKI:  Mr.

        3        President, I believe I have an amendment at the

        4        desk.

        5                      ACTING PRESIDENT KUHL:  There is,

        6        Senator Stachowski.

        7                      SENATOR STACHOWSKI:  Mr.

        8        President, I would like to waive its reading and

        9        offer an explanation.

       10                      ACTING PRESIDENT KUHL:  The

       11        reading is waived.  You're recognized for an

       12        explanation of the amendment.

       13                      SENATOR STACHOWSKI:  My amendment

       14        will merely address the investment tax credit

       15        for banks and investment -- and security

       16        companies.

       17                      Senator Bruno, in his description

       18        of the bill, talked about how there's been

       19        growth in this area and unfortunately most of

       20        the growth hasn't been here and that he talked

       21        about the expense these companies have in

       22        replacing their high tech' equipment and how

       23        this bill would be an investment credit that

       24        would help them do that more readily and lead to

       25        more of the jobs being located here and the back







                                                           1970

        1        office locations being located here rather in

        2        other states like New Jersey or the Dakotas or

        3        Delaware, some place like that, and what this

        4        amendment does is it takes Senator Bruno's good

        5        idea to add some job growth in this industry and

        6        makes it a better idea by making sure that that

        7        job growth happens here and this amendment

        8        merely says that if we're going to do this kind

        9        of tax credit, then it should be effective in

       10        jobs and equipment that are for people that are

       11        located in New York, or at least the large

       12        majority of it, and that's real easy to keep

       13        track of.  If the machinery -- if the equipment

       14        is bought and sent somewhere else, obviously

       15        it's not helping people in New York.  If it's

       16        bought here -- you know, if they get a tax

       17        credit in New York and use the money to buy new

       18        equipment that they put in their office in New

       19        Jersey, that's not a direct help to the people

       20        of the state of New York and that's what we're

       21        trying to avoid by doing this amendment.

       22                      I think it's a good amendment.  I

       23        think it's a clear amendment, and I think it's

       24        something where -- in some other areas where we

       25        say we're trying to do a recoupment bill now and







                                                           1971

        1        we have been for years, where companies get

        2        benefits, promise to create jobs or promise to

        3        keep jobs and then they move out of the state or

        4        they take the equipment that they bought to

        5        create jobs and take it with them out of the

        6        state, we now have people often complaining that

        7        we shouldn't allow this.  Well, here's a chance

        8        when we're first looking at an investment tax

        9        credit for an industry that doesn't have one

       10        now, that we can cut that thing off from

       11        happening by passing this amendment and making

       12        sure that this investment credit is used for the

       13        benefit of the people that work in the state of

       14        New York.

       15                      I recommend that everyone vote

       16        yes on the amendment.

       17                      ACTING PRESIDENT KUHL:  The

       18        question is on the amendment.  All those in

       19        favor signify by saying aye.

       20                      SENATOR PATERSON:  Party vote in

       21        the affirmative.

       22                      SENATOR BRUNO:  Party vote in the

       23        negative.

       24                      ACTING PRESIDENT KUHL:  The

       25        Secretary will call the roll.  Record the party







                                                           1972

        1        votes.

        2                      (The Secretary called the roll.)

        3                      THE SECRETARY:  Ayes 24, nays

        4        34.  Party vote.

        5                      ACTING PRESIDENT KUHL:  The

        6        amendment is lost.

        7                      Senator Hoffmann, why do you

        8        rise?

        9                      SENATOR HOFFMANN:  I too have

       10        amendments at the desk, Mr. President.  I would

       11        request that we waive the reading.

       12                      ACTING PRESIDENT KUHL:  Are you

       13        going to take both amendments at the same time,

       14        Senator, or do you want to take one over the

       15        other one first?  Which one do you -

       16                      SENATOR HOFFMANN:  Why don't I do

       17        the barn bill first -- the barn amendment first,

       18        Mr. President.

       19                      ACTING PRESIDENT KUHL:  Historic

       20        barn preservation amendment?

       21                      SENATOR HOFFMANN:  That is

       22        correct.

       23                      ACTING PRESIDENT KUHL:  Your

       24        request for asking the reading of it be waived

       25        is granted and you are afforded the floor for







                                                           1973

        1        the purpose of explaining the amendment.

        2                      SENATOR HOFFMANN:  Thank you, Mr.

        3        President, and with you presiding, I am much

        4        more confident than my previous colleagues have

        5        been about the success of this amendment when we

        6        take it up momentarily for a vote.

        7                      This is a bill -- actually I'm

        8        introducing it as an amendment today with a bill

        9        which I introduced two years ago.  It is

       10        co-sponsored in the Assembly by Assemblyman

       11        Parment and the beautiful part about this bill

       12        is that it does not have a local fiscal impact.

       13        It uses an existing funding source to allow

       14        people around the state, whether they be private

       15        property owners, corporations, people engaged in

       16        public benefit or non-profit agencies who are in

       17        possession of barns, to take advantage of the

       18        Environmental Protection Fund which last year

       19        received full funding at $110 million.

       20                      The important benefit of this is

       21        that we would be able to save a number of barns

       22        which are right now in the process of literally

       23        falling to the ground.  Anybody who's driven

       24        across the upstate landscape knows that these

       25        structures have very vulnerable to the weather







                                                           1974

        1        conditions.  Many of them are as much as 300

        2        years old and they are beautiful to behold.  A

        3        lot of them have hand-hewn beams inside.

        4        Frequently they have been disassembled from one

        5        location and moved from another spot maybe 100,

        6        150 years ago, old threshing barns and hops

        7        barns are reconstructed as attachments to dairy

        8        barns and they are an intrinsic part of our

        9        culture and our history.  They're also an

       10        important part of our economy right now, but as

       11        everyone in this chamber knows as well, since we

       12        proudly passed the Northeast Dairy Compact

       13        legislation three weeks ago, dairy farmers and

       14        agriculture in general are struggling right now

       15        and everybody also understands that when people

       16        are having a hard time making ends meet and when

       17        the dairy farmers are operating at a deficit, as

       18        we have discussed in these very chambers, it is

       19        very unlikely that the kind of costs can be put

       20        aside to make the necessary repairs for a large

       21        capital structure like a barn, a historic barn.

       22                      So I am hopeful that this time

       23        this chamber will pass this measure and allow

       24        the barns of New York State to be included along

       25        with other local landmarks which are presently







                                                           1975

        1        covered under the Environmental Protection

        2        Fund.  This would give our outstanding Parks

        3        Department the opportunity to rake some of these

        4        barns and be able to apportion a small amount if

        5        they deem appropriate or a somewhat larger

        6        amount of that $110 million that was in for full

        7        funding last year and is anticipated to be in

        8        the Environmental Protection Fund this year.

        9                      And I would just like to note

       10        also that other sponsors on this bill which was

       11        circulated at its origination to all members of

       12        the Senate, other sponsors include Senators

       13        Kruger, Leichter, Markowitz, Montgomery and that

       14        most eloquent supporter of agriculture in New

       15        York State, Senator Waldon.

       16                      So I would urge an adoption of a

       17        historic barn amendment, Mr. President.

       18                      ACTING PRESIDENT KUHL:  The

       19        question is on the amendment.  All those in

       20        favor signify by saying aye.

       21                      (Response of "Aye".)

       22                      Opposed, nay.

       23                      SENATOR LEICHTER:  Mr. President.

       24                      ACTING PRESIDENT KUHL:  Senator

       25        Leichter.







                                                           1976

        1                      SENATOR LEICHTER:  Mr. President,

        2        regrettably, I must ask to be excused from

        3        voting on this bill.

        4                      SENATOR PATERSON:  Mr. President.

        5                      ACTING PRESIDENT KUHL:  Senator

        6        Paterson, why do you rise?

        7                      SENATOR PATERSON:  Party vote in

        8        the affirmative.

        9                      SENATOR BRUNO:  Party vote in the

       10        negative, Mr. President.

       11                      ACTING PRESIDENT KUHL:  The

       12        Secretary will call the roll.  The Secretary

       13        will call the roll.  The Secretary will call the

       14        roll.

       15                      (The Secretary called the roll.)

       16                      THE SECRETARY:  Ayes 24 -

       17                      ACTING PRESIDENT KUHL:  Record

       18        the party line vote.

       19                      Senator Leichter, did you wish to

       20        abstain from the amendment?

       21                      SENATOR LEICHTER:  Yes.

       22                      ACTING PRESIDENT KUHL:  All

       23        right.  Without objection, Senator Leichter will

       24        be recorded as an abstention on the amendment.

       25        Announce the results.







                                                           1977

        1                      THE SECRETARY:  Ayes 23, nays 34.

        2                      ACTING PRESIDENT KUHL:  The bill

        3        -- the amendment is lost.

        4                      Senator Hoffmann, would you care

        5        to be recognized -

        6                      SENATOR HOFFMANN:  Yes.

        7                      ACTING PRESIDENT KUHL:  -- for

        8        the second amendment?

        9                      SENATOR HOFFMANN:  I would, Mr.

       10        President.  Could I just yield for one moment to

       11        Senator Montgomery, who I believe wanted to be

       12        recognized.

       13                      ACTING PRESIDENT KUHL:  Senator

       14        Montgomery, why do you rise?

       15                      SENATOR MONTGOMERY:  Mr.

       16        President, unfortunately I wasn't recognized

       17        before we took the vote on the barn amendment,

       18        but I did want to just support very

       19        wholeheartedly that amendment, which I think is

       20        well overdue, to do something that acknowledges

       21        the importance of the farming community and the

       22        farming industry in our state and certainly that

       23        it is an opportunity for us to preserve some

       24        barns that are quite historical in upstate New

       25        York, in particular.







                                                           1978

        1                      Thank you.

        2                      ACTING PRESIDENT KUHL:  Thank you

        3        for your comments, Senator Montgomery.

        4                      The Chair apologizes for not

        5        seeing you prior to the vote.

        6                      Senator Hoffmann, for the

        7        purposes of forwarding a second amendment.

        8                      SENATOR HOFFMANN:  Yes, Mr.

        9        President.  I have a second amendment to the

       10        bill before us.  I would request we waive its

       11        reading.

       12                      ACTING PRESIDENT KUHL:  The

       13        reading is waived.  You're now offered the

       14        opportunity to explain the amendment.

       15                      SENATOR HOFFMANN:  Mr. President,

       16        this bill would amend our Tax Law in relation to

       17        an agricultural energy tax credit.

       18                      Very simply, this would allow a

       19        credit for five percent of the cost of energy

       20        products consumed in agricultural production to

       21        be waived, including petroleum products, natural

       22        gas, electricity, steam or alternative fuels

       23        directly consumed in the production or operation

       24        of farm products within New York State.

       25                      As everyone knows, agriculture is







                                                           1979

        1        a very energy-intensive industry.  We have heard

        2        much from farmers in recent months about a

        3        desire to see lower cost energy.  While we have

        4        a surplus at hand, what more meaningful way can

        5        we stimulate our agricultural economy than by

        6        giving this immediate form of tax relief for

        7        people engaged in agriculture in the form of an

        8        energy tax credit in the amount of five

        9        percent?

       10                      So I would urge the adoption of

       11        this amendment, Mr. President.

       12                      ACTING PRESIDENT KUHL:  Senator

       13        Abate, on the amendment.

       14                      SENATOR ABATE:  Yes.  I too would

       15        like to speak on the amendment and support the

       16        amendment.  If we look over the last five to ten

       17        years, we've lost 30 percent of small farms in

       18        New York State.  If you speak to farmers around

       19        the state, they talk about the enormous cost of

       20        energy and it's because of the enormous cost of

       21        energy that many of them cannot survive.

       22                      This is very little we can do to

       23        support the farmers in the state.  We need to

       24        support this tax credit.  They've asked for it.

       25        They support it statewide, and I







                                                           1980

        1        enthusiastically support this amendment.

        2                      ACTING PRESIDENT KUHL:  Senator

        3        Waldon, on the amendment.

        4                      SENATOR WALDON:  Thank you very

        5        much, Mr. President.

        6                      I rise to support Senator

        7        Hoffmann in her proposal.  I think it is an

        8        excellent idea.  If we look back over the last

        9        10 years, we see that historically about 66

       10        percent of the cooperatives in the state have

       11        failed and I'm talking about farm cooperatives

       12        now, primarily dairy, and we see that all too

       13        many family-owned farms are just falling by the

       14        wayside.  This was once the linchpin of our

       15        entire state's economy and yet we with foolish

       16        policies have not sufficiently supported them so

       17        that they can remain strong and viable.  I think

       18        that what we're doing now would allow those who

       19        want to farm, whom we need to farm and who we

       20        need to have there to produce the products that

       21        this state from the farming industry requires so

       22        greatly.

       23                      So I encourage us to support this

       24        amendment, and I really am proud that Senator

       25        Hoffmann brought it to us for our consideration







                                                           1981

        1        and deliberation.

        2                      ACTING PRESIDENT KUHL:  Senator

        3        Dollinger, on the amendment.

        4                      SENATOR DOLLINGER:  Thank you,

        5        Mr. President.

        6                      Just very briefly.  I also

        7        commend Senator Hoffmann for bringing this

        8        amendment to the floor.  I think this is the

        9        right way to encourage family farms and to

       10        increase family farms and continue their

       11        viability.

       12                      We had a debate on this floor, a

       13        very contentious debate about another way to do

       14        it, which I thought was the wrong way to do it,

       15        but I think that this is a method of giving to

       16        individuals tax relief where they need it, and I

       17        think that we ought to do this for our farms.

       18                      I would encourage Senator

       19        Hoffmann and others of like mind on the other

       20        side of the aisle who represent large farming

       21        communities -- I do not -- but I would encourage

       22        them to back this amendment because this is

       23        something we can proudly say we've given farmers

       24        tax relief which will reduce their cost, make

       25        them more competitive and maybe reduce the price







                                                           1982

        1        of food in New York State.

        2                      Thank you, Mr. President.

        3                      ACTING PRESIDENT KUHL:  Senator

        4        Lachman, on the amendment.

        5                      SENATOR LACHMAN:  As one who

        6        represents a large farming community in

        7        Brooklyn, I would also urge my colleagues to

        8        support Senator Hoffmann on this amendment to

        9        the legislation.

       10                      William Jennings Bryan once said

       11        that if we don't support the small farmers in

       12        the nation, grass will grow in the streets of

       13        the urban centers where they were formerly

       14        concrete, not the grass that we want but weeds

       15        as well as grass and we need to support small

       16        farmers in our state and it's an excellent

       17        amendment, and I add my voice in the chorus of

       18        support.

       19                      ACTING PRESIDENT KUHL:  Any other

       20        Senator wishing to speak on the amendment?

       21                      (There was no response.)

       22                      The question is on the

       23        amendment.  All those in favor of the amendment

       24        signify by saying aye.

       25                      Senator Paterson, why do you







                                                           1983

        1        rise?

        2                      SENATOR PATERSON:  This is such

        3        an excellent idea, I would like to call for a

        4        bipartisan vote.

        5                      SENATOR SKELOS:  Party vote in

        6        the negative.

        7                      ACTING PRESIDENT KUHL:  The

        8        Secretary will call the roll on the amendment.

        9                      (The Secretary called the roll.)

       10                      THE SECRETARY:  Ayes 24, nays

       11        34.  Party vote.

       12                      ACTING PRESIDENT KUHL:  The

       13        amendment is lost.

       14                      Any member wishing to speak on

       15        the bill?

       16                      (There was no response.)

       17                      The Secretary will read the last

       18        section.

       19                      THE SECRETARY:  Section 2.  This

       20        act shall take effect April 1.

       21                      SENATOR LEICHTER:  Just a second,

       22        Mr. President.

       23                      ACTING PRESIDENT KUHL:  Senator

       24        Leichter.

       25                      SENATOR LEICHTER:  Is this the







                                                           1984

        1        bill?

        2                      SENATOR ONORATO:   This is the

        3        bill itself.

        4                      SENATOR LEICHTER:  Yes.  If I may

        5        -- if I may be heard on the bill, Mr.

        6        President.

        7                      ACTING PRESIDENT KUHL:  Senator

        8        Leichter, on the main bill.

        9                      SENATOR LEICHTER:  Yeah.  Mr.

       10        President, there seems to be something about the

       11        Majority that leads to a lack of reality in

       12        their statements and their comments, and I think

       13        the higher up you go in the feeding chain,

       14        somehow the more unreal the statements become.

       15                      I walked in the chamber and I

       16        heard the Majority Leader talk about the state

       17        has been turned around.  The state is doing

       18        wonderfully.  It's beautiful.  I thought, What's

       19        he talking about, California, or is he talking

       20        about any of the other 46 states that are doing

       21        better than New York State?  Where has this

       22        state been turned around?  Maybe turned upside

       23        down, but if he's saying that our economy is

       24        good, that we're doing better than other states,

       25        he's absolutely totally completely wrong.







                                                           1985

        1                      I mean, there's a certain amount

        2        of hype in our statements -- and I certainly

        3        plead guilty to it -- and you can disagree on

        4        policy but you can't disagree on things like

        5        unemployment numbers and job growth.

        6                      Just last Friday, New York Times,

        7        March 20th, 1988, headline "Unemployment Rate

        8        Rises in New York."  Let me read.  "The

        9        unemployment rates in New York City and the

       10        state continued to rise in February, state labor

       11        officials reported yesterday.  The statewide

       12        unemployment rate last month was 6.8 percent, up

       13        from 6.6 percent in January."  The article

       14        continues and concludes, "New York's jobless

       15        rate was still well above the national

       16        unemployment level of 5.0 percent, down by 0.2

       17        percentage points since January" and today in

       18        the New York Post, an article "Bond Analyst

       19        Publishes Warning on New York Economy."  I'm

       20        going to read you a little bit of that.  Quote,

       21        "A nationally known expert on state budgets is

       22        downplaying Governor Pataki's tax cutting

       23        efforts in warning of dangerous times ahead for

       24        New York's economy.  Al Hove, former state

       25        budget director in Ohio and Illinois and the







                                                           1986

        1        editor/writer of the widely respected State

        2        Budget and Tax News Newsletter presents a

        3        scathing analysis of the state's fiscal

        4        conditions in a current special report on New

        5        York.  Hove calls the outlook for New York's

        6        economy poor, despite the ongoing boom in New

        7        York City Metropolitan area and declares,

        8        'Forecast based on trends suggests the state's

        9        economic situation will continue to deteriorate

       10        relative to most other states.'"

       11                      I say to you, my colleagues,

       12        there is no grounds, basis or justification for

       13        the tax cuts that we are doing today and the tax

       14        cut offered by the Majority is downright

       15        irresponsible and it's because of proposals like

       16        Senator Bruno put forward that this state has

       17        the worst -- the worst bond rating tied for last

       18        with Louisiana with the masters of gimmickry.

       19        There used to be a time -- I was in this chamber

       20        -- while there were strong philosophical

       21        differences, at least there were true fiscal

       22        conservatives here, people who believe in being

       23        fiscally prudent, maybe to my mind at times

       24        overly so.  Now we have fiscal irresponsibility

       25        led by the Majority and here again today we have







                                                           1987

        1        a tax cut which is so heavily backloaded so that

        2        down the road this tax cut is going to cost

        3        $1,248,000,000.  Where is the money coming from,

        4        Senator Bruno?  Where do you expect to pay for

        5        that?

        6                      Right now the projection is for

        7        this state to have a budget deficit amounting to

        8        billions of dollars as we go into the year

        9        2000.  The only reason -- the only reason that

       10        we're not in fiscal straits this year is because

       11        of the unusual numbers of Wall Street and every

       12        expert tells us that Wall Street cannot continue

       13        this impressive rise in the Dow Jones and the

       14        profits that have been made at Wall Street

       15        cannot continue.  That's obvious because, I

       16        think it was Paul Volcker pointed out on a news

       17        report I saw, that if the Dow continued to rise

       18        as it is, in a few years it would have to be at

       19        20,000.  I think all of us appreciate,

       20        understand that that's not possible.

       21                      Now, maybe the Majority in its

       22        fiscal flights of fancy maybe believes that it

       23        was George Pataki that's responsible for this

       24        boom in Wall Street, not Arthur Greenspan.  No.

       25        Arthur Greenspan had nothing to do with it.  It







                                                           1988

        1        was George Pataki, if you listen to the

        2        Majority.

        3                      If some people think that

        4        bringing down the deficit -- or actually leading

        5        now to a nationally balanced budget, sound

        6        fiscal policy on the national level, was that

        7        what created the boom in Wall Street?  No.  It

        8        was George Pataki and his tax cuts.  Obviously

        9        the folly of that is so evident that I don't

       10        think we need to pursue this.  Clearly, we have

       11        been lucky in this state as far as Wall Street

       12        is concerned but that luck cannot continue and

       13        we can't continue to spend money that we know in

       14        future years we're not going to have.

       15                      Let me just say that when you

       16        look at the state's economy and you take a look

       17        at the job situation in this state and you

       18        compared where we stand in regard to other

       19        states, it shows you how the tax cutting

       20        policies in this state have been so

       21        ineffective.

       22                      Take a look.  New York has a job

       23        growth rate between January '95 and January 1988

       24        that was 2.7 percent.  That's what you're

       25        bragging about, Senator Bruno.  New Jersey had







                                                           1989

        1        five percent; Connecticut, 5.1 percent;

        2        Massachusetts, 7.5 percent; New Hampshire, 8.0;

        3        Vermont, 4.3; Maine, 4.2.  Even little Rhode

        4        Island did better than New York State at 3

        5        percent.

        6                      How can we be satisfied with what

        7        we're doing in New York?  There's a national

        8        expansion going on.  We're coming out of the

        9        recession of the early '90s.  New York job

       10        growth should be many times higher than it is.

       11        We should be doing what the rest of the nation

       12        is.  Clearly the economic policies being pursued

       13        in this state have not worked.

       14                      I'll tell you what the economic

       15        program and the tax cutting has achieved, is

       16        that New York State ranks number one.  We're the

       17        best in the nation in economic disparity, in the

       18        disparity between the wealthy and most of the

       19        population in this state.  Certainly working

       20        people, the middle class, people of moderate

       21        income have not benefited from these tax cuts

       22        and we've not seen the spur in job growth.  On

       23        the contrary, upstate New York is facing

       24        extremely difficult times and one of the reasons

       25        is because the monies that we do have available,







                                                           1990

        1        that we could reasonably and sensibly use for

        2        job growth we're squandering away in these ad

        3        hoc giveaways to business and into tax cuts that

        4        don't spur the economy.

        5                      There are taxes that we ought to

        6        get rid of and which should reduce.  Gross

        7        receipts tax ought to be totally eliminated.

        8        There are bad taxes.  There are even taxes that

        9        are reduced in the Majority program that I think

       10        that makes sense, but if you look at overall and

       11        you look at the cost, it's irresponsible.

       12        Probably nothing is more irresponsible, more

       13        foolish than the $50 million tax cut which is

       14        given to the financial industry.  That's being

       15        done through the investment tax credit.

       16                      Now, the investment tax credit

       17        exists in this state for manufacturers.  It

       18        almost totally goes to the largest corporations

       19        in the state that have all been downsizing.  We

       20        give every year millions and millions of dollars

       21        in tax breaks to GE, Kodak, IBM, to some

       22        extent.  These are all the corporations that

       23        have been downsizing, that don't create jobs,

       24        that are cutting jobs in New York State.  Why in

       25        God's name would you reward these companies?







                                                           1991

        1                      Now, under the Majority proposal,

        2        we're going to make these tax credits available

        3        to the financial industry which had enormous

        4        profits, enormous profits.  If there's one

        5        industry in this state that doesn't need the

        6        help of the taxpayers, we don't have to reach

        7        into the pockets of Mr. Taxpayer to support

        8        Merrill Lynch or Bear Stearns or Salomon and

        9        Smith Barney.  It doesn't make sense.  It makes

       10        absolutely no sense whatsoever and particularly

       11        to do the investment tax credit and the idea

       12        that in some way that this is going to save back

       13        office jobs, where is your report?  Where is

       14        your study that shows that that would have any

       15        effect whatsoever?  It wouldn't.  It's a total

       16        complete, absolute senseless, worthless,

       17        valueless giveaway, and the Majority proposal is

       18        rife with these sort of tax benefits that

       19        provide really no assistance and help to the

       20        average New Yorker.

       21                      I think the time has come when -

       22        maybe it came a long time ago but it's never too

       23        late -- when we've got to display some fiscal

       24        responsibility and some economic sense.  This

       25        tax cut clearly does not.  Maybe you can go to







                                                           1992

        1        the voters.  Maybe you can fool the voters and

        2        you can be in an upstate area that has a nine,

        3        ten percent or eleven percent unemployment and

        4        say, I gave you a tax cut, but when they find

        5        out that you gave a tax cut to Merrill Lynch and

        6        to other companies that had record profits in

        7        earnings, I don't know what they're going to

        8        say, but I suspect they're going to say you

        9        people have lost your marbles, and I think we

       10        have a chance and a possibility of crafting an

       11        effective job growth type of tax program.  This

       12        one clearly is not.

       13                      We also have the opportunity this

       14        year to take that surplus and use some of it to

       15        meet what we know are going to be shortfalls in

       16        the coming years and there's going to be demands

       17        on education, demands on social services, that

       18        we're going to be incapable of paying because we

       19        voted this sort of a tax cut.  We shouldn't do

       20        it.  It's irresponsible.

       21                      ACTING PRESIDENT KUHL:  Senator

       22        Bruno, to close debate.

       23                      SENATOR BRUNO:  Thank you, Mr.

       24        President.

       25                      I've listened with great







                                                           1993

        1        interest, Mr. President, to my colleagues, found

        2        the amendments very worthwhile, and in terms of

        3        priority, we feel that the package that we have

        4        introduced is the way to go, and we do think

        5        that it will be a productive and helpful way for

        6        us to grow.

        7                      I don't want to prolong debate

        8        except to say that Senator Leichter just pointed

        9        out, one minute, what was necessary, but you

       10        pointed out exactly why we have to do the things

       11        that we are doing here today and why we should

       12        be supporting this tax cut proposal.  You quoted

       13        Al Hove, I believe, Al Hove who was budget

       14        director, I believe for Ohio and Illinois.  If

       15        you read that article and passed it out, that

       16        article justifies everything that we have been

       17        doing because the conclusion was in that article

       18        that New York State is lagging because we still

       19        spend too much and tax too much.  That was the

       20        drift and the gist of that article, so I just

       21        correct that for the record.

       22                      So what we're doing here is

       23        intended to make us more competitive.  You

       24        rattled off six or eight or ten states that are

       25        doing better than we.  Again, thank you.  That's







                                                           1994

        1        the point that we're making.  Every one of those

        2        states per capita pay less taxes than we in New

        3        York State and spend less per capita, and that's

        4        why we should support what we have before us.

        5        You talk about, for an example, the alternative

        6        minimum tax as not the way to go.

        7                      I would just point out one

        8        company, Kodak, one of the major employers in

        9        New York State who would benefit greatly, yes,

       10        from that. Why do they need it? They need it

       11        because Fuji, a Japanese company, has cut into

       12        their market in an unconscionable way because

       13        they are totally subsidized by the government of

       14        Japan and they are then able to come into this

       15        country and locate in Virginia and continue to

       16        take Kodak's market forcing them to downsize.

       17                      You sit there and say, this is

       18        the way it ought to be.  There's nothing that we

       19        could do to help companies.  We should try to be

       20        competitive.  Let them all move to Japan and to

       21        Europe and to Virginia, and then I'd like to ask

       22        people that talk like that -- and we talked

       23        about irresponsible, when people talk like that

       24        I'd like to ask them: Where will the revenue

       25        come from for the schools, for the welfare, for







                                                           1995

        1        the Medicaid, for the roads, for the bridges?

        2        Where will the revenue come from?

        3                      Do we print money in New York

        4        State?  No.  Does it come from trees?  No.  Is

        5        there manna in the heavens somewhere?  No.  It

        6        comes from people who work.  It comes from

        7        companies who create profits and, if we aren't

        8        responsible enough to understand that if we

        9        don't keep people working in this state, being

       10        competitive in this state, then this state

       11        cannot regain its place as the Empire State.

       12                      So I want to thank my colleague

       13        on the other side of the aisle for helping us

       14        make the case, Mr. President, on why this tax

       15        package is critical to continue to move the

       16        economy of this state forward.

       17                      Thank you.

       18                      ACTING PRESIDENT KUHL:  Secretary

       19        will read the last section.

       20                      THE SECRETARY:  Section 2.  This

       21        act shall take effect April 1.

       22                      ACTING PRESIDENT KUHL:  Call the

       23        roll.

       24                      (The Secretary called the roll. )

       25                      ACTING PRESIDENT KUHL:  Record







                                                           1996

        1        the negatives.  Announce the results.

        2                      THE SECRETARY:  Ayes 58, nays

        3        one, Senator Leichter recorded in the negative.

        4                      ACTING PRESIDENT KUHL:  The bill

        5        is passed.

        6                      Senator Skelos, what's your

        7        pleasure?

        8                      SENATOR PATERSON:  Explanation.

        9                      SENATOR SKELOS:  Senator

       10        Paterson, are you asking for an explanation of

       11        why he recognized me?

       12                      SENATOR PATERSON:  No, I was just

       13        being foresighted and thinking ahead.

       14                      SENATOR SKELOS:  Mr. President,

       15        we call up Senate 6101-B.

       16                      ACTING PRESIDENT KUHL:  Secretary

       17        will read the title to Senate 6101-B.

       18                      THE SECRETARY:  Calendar Number

       19        434, Budget Bill, Senate Print 6101-B, an act

       20        making appropriation for the legal requirements

       21        of the state debt service.

       22                      ACTING PRESIDENT KUHL:  Senator

       23        Paterson, now.

       24                      SENATOR PATERSON:  Explanation.

       25                      ACTING PRESIDENT KUHL:  Very







                                                           1997

        1        good.  Very good.

        2                      Senator Stafford, an explanation

        3        of Calendar Number 6101-B has been requested by

        4        Senator Paterson.

        5                      SENATOR STAFFORD:  Mr. President,

        6        I can see that excellent closing of debate on

        7        that last bill by the leader kind of threw us

        8        out of step, but I think it explained really

        9        what this is all about, in fact all of the bills

       10        that we're doing here today.

       11                      I can see by all the seats near

       12        filled to capacity, everyone is sitting on the

       13        edge of their chairs, hanging on every word that

       14        we do here today. But on a -- I know.  The point

       15        of the bill we're doing, I understand.  I

       16        thought I'd open, you know, on the bill what

       17        we're doing here, kind of get everyone, you

       18        know, feeling warm and fuzzy and then continue.

       19                      But on a serious note, Mr.

       20        President, this is a debt service bill.  We all

       21        know what it does.  It may lower the debt that

       22        this state has.  It -- again I would point this

       23        out, Mr. President.  In this day and age when

       24        it's so easy to criticize, anything in extreme

       25        is not good.  As a matter of fact, anything







                                                           1998

        1        overdone is not good, but on the other hand, I

        2        would say that the debt that we have in this

        3        state represents a rather important industry.

        4        It takes part in providing the funding, getting

        5        the people to invest, and obviously we have to

        6        pay.

        7                      I would say, Mr. President, as we

        8        debate this bill, I would point out that an

        9        increased amount is being put in the reserve

       10        according to our program.  This is also done by

       11        the Governor which is very important.

       12                      I can see that Senator Paterson

       13        has a question, so I'll yield to Senator

       14        Paterson.

       15                      ACTING PRESIDENT KUHL:  Senator

       16        Paterson.

       17                      SENATOR PATERSON:  Now, Mr.

       18        President?

       19                      ACTING PRESIDENT KUHL:  Now!

       20                      SENATOR PATERSON:  Mr. President,

       21        I don't -- I don't mind being a puppet around

       22        here.  It's when we let the strings show that it

       23        really bothers me.

       24                      If Senator Stafford will yield to

       25        a question, and I guess he already has.







                                                           1999

        1                      SENATOR STAFFORD:  Yes.

        2                      SENATOR PATERSON:  Senator, are

        3        there any restorations that are made in this

        4        piece of legislation either today or later on,

        5        or is this just kind of a donor bill?

        6                      I also notice that there's no

        7        accompanying language for these bills.  Is it

        8        all going to be put in one bill?

        9                      SENATOR STAFFORD:  One bill,

       10        yes.

       11                      SENATOR PATERSON:  I'm just

       12        unsure about the structure of the bills as

       13        presented now.  There are a lot of cuts, I see,

       14        but just in terms of restorations, have we

       15        brought any forth at this point?

       16                      SENATOR STAFFORD:  Yeah, there

       17        are some reestimations, but this, in effect,

       18        pays -- provides the funding for the debt and as

       19        far as that, any language, that would be

       20        included in other bills.

       21                      SENATOR PATERSON:  Well,

       22        actually, I found one restoration; that is the

       23        statute for deceased firefighters, but other

       24        than that, there really aren't any.  O.K. That's

       25        -- that's the answer.







                                                           2000

        1                      Thank you, Mr. President.

        2                      ACTING PRESIDENT KUHL:  Secretary

        3        will read the last section.

        4                      THE SECRETARY:  Section 2.  This

        5        act shall take effect -

        6                      ACTING PRESIDENT KUHL:  Senator

        7        Dollinger, why do you rise?

        8                      SENATOR DOLLINGER:  I'll explain

        9        my vote.

       10                      ACTING PRESIDENT KUHL:  All

       11        right.

       12                      Secretary will read the last

       13        section.

       14                      THE SECRETARY:  Section 2.  This

       15        act shall take effect April 1.

       16                      ACTING PRESIDENT KUHL:  Call the

       17        roll.

       18                      (The Secretary called the roll.)

       19                      ACTING PRESIDENT KUHL:  Senator

       20        Dollinger, to explain his vote.

       21                      SENATOR DOLLINGER:  Mr.

       22        President, just so I am sure, this is 6101-B.

       23                      ACTING PRESIDENT KUHL:  That's

       24        right.

       25                      SENATOR DOLLINGER:  Thank you,







                                                           2001

        1        Mr. President.

        2                      I'm going to vote against this

        3        bill.  The pattern of debt in this state

        4        continues to gallop out of control and, frankly,

        5        this budget will only increase our galloping

        6        down the road to increase our debt obligations.

        7                      I would point out the short-term

        8        debt in this state since we've been under the

        9        thumb of a fiscal conservative governor who

       10        believed that our debt load was way out of

       11        whack, that our short-term debt has risen from

       12        $9.6 billion to $12.65 billion, at least to the

       13        best of my simple mathematical understanding, a

       14        33 percent increase in short-term debt. If you

       15        look at our debt service fund total, it's jumped

       16        from $1.6 billion in debt expense to $2.47

       17        billion in debt expense, which again -- I'm not

       18        a mathematician -- looks to me like a 50 percent

       19        increase in our debt service fund total.

       20                      So in this day of fiscal

       21        conservativism when we were promised a governor

       22        who was going to pay his way and not borrow and

       23        end the decade-long practice of borrowing,

       24        what's actually happening is we've gone hog-wild

       25        on borrowing. We're borrowing. We're more







                                                           2002

        1        addicted to it than we ever were.  Our

        2        short-term debt has increased, cost has

        3        increased at a cost to the taxpayers of this

        4        state of substantially more money.  The cost in

        5        debt service fund alone has gone up $800 million

        6        in the term of this Governor.  That's $800

        7        million that we're using to pay for things that

        8        we've already bought, already spent, already

        9        enjoyed.

       10                      It's a bad idea.  I voted against

       11        back-door borrowing.  I'll continue to vote

       12        against the debt.  The debt load is way out of

       13        control.  This budget just increases that debt

       14        load.  It's a bad idea.

       15                      ACTING PRESIDENT KUHL:  Senator

       16        Dollinger will be recorded in the negative.

       17        Announce the results.

       18                      THE SECRETARY:  Ayes 58, nays

       19        one, Senator Dollinger recorded in the

       20        negative.

       21                      ACTING PRESIDENT KUHL:  The bill

       22        is passed.

       23                      Senator Skelos.  One moment.

       24        Senator Skelos.

       25                      SENATOR SKELOS:  Mr. President,







                                                           2003

        1        would you please call up Senate 6102-B.

        2                      ACTING PRESIDENT KUHL:  Secretary

        3        will read the title, excuse me, Senate Bill

        4        6102-B.

        5                      THE SECRETARY:  Calendar Number

        6        435, Budget Bill, Senate Print 6102-B, an act

        7        making appropriations for the support of

        8        government.

        9                      ACTING PRESIDENT KUHL:  Senator

       10        Dollinger, why do you rise?

       11                      SENATOR DOLLINGER:  Mr.

       12        President, I believe there's an amendment at the

       13        desk.  I'd ask to waive its reading, have it

       14        considered by the house.

       15                      ACTING PRESIDENT KUHL:  Senator

       16        Dollinger, I have two amendments at the desk.

       17        Which one would you like to take up first?

       18                      SENATOR DOLLINGER:  This one

       19        deals with the Alcoholic Beverage Control

       20        Commission.  6102.

       21                      ACTING PRESIDENT KUHL:  Senator

       22        Dollinger, our trouble is that normally the

       23        bills are marked up and they are replete with

       24        amendments proposed in accordance with the

       25        rules, and in looking at the rules it appears







                                                           2004

        1        that your amendment is deficient, but with the

        2        good graces of the Acting Majority Leader, he's

        3        allowed you to go ahead.  I hope you remember

        4        that in the future.  So I assume it's the one

        5        that deals with supplementation of about five

        6        different appropriations.

        7                      SENATOR DOLLINGER:  This one

        8        actually deals with just one, Mr. President,

        9        deals with the Alcohol Beverage Control.

       10                      ACTING PRESIDENT KUHL:  A million

       11        dollars?

       12                      SENATOR DOLLINGER:  Yes, Mr.

       13        President.

       14                      I want to thank the indulgence of

       15        the -

       16                      ACTING PRESIDENT KUHL:  Waive the

       17        reading of the proposed amendment.

       18                      SENATOR DOLLINGER:  I do.

       19                      ACTING PRESIDENT KUHL:  Offer you

       20        the opportunity to explain the amendment.

       21                      SENATOR DOLLINGER:  I would also

       22        like to thank the President and the Deputy

       23        Majority Leader for their good graces to allow

       24        this to be heard.  This is -- to be very brief,

       25        it's a million dollars in additional funding for







                                                           2005

        1        the Alcoholic Beverage Control Commission to

        2        increase enforcement in the western region of

        3        New York State.

        4                      We have a problem. It's a 19

        5        county region.  There are only three inspectors

        6        for the Division of Alcoholic Beverage Control.

        7        We don't have enough Administrative Law Judges.

        8        It's slowed down the Alcoholic Beverage

        9        Commission enforcement in the whole region.

       10        What this would do, it would end the practice by

       11        which you can violate the ABC Laws and spend two

       12        or three years before you're adjudicated.  It

       13        really allows people who are operating in

       14        defiance of the law to keep their shops open to

       15        continue to sell alcohol illegally.

       16                      This would step up and increase,

       17        Mr. President, the enforcement of the ABC and I

       18        think it's vital to the quality of life in our

       19        community.

       20                      ACTING PRESIDENT KUHL:  Question

       21        is on the amendment.  All those in favor signify

       22        by saying aye.

       23                      (Response of "Aye.")

       24                      SENATOR PATERSON:  Party vote in

       25        the affirmative.







                                                           2006

        1                      SENATOR SKELOS: Party vote in the

        2        negative.

        3                      ACTING PRESIDENT KUHL:  Secretary

        4        will call the roll.

        5                      (The Secretary called the roll. )

        6                      ACTING PRESIDENT KUHL: Record the

        7        party line vote.

        8                      THE SECRETARY:  Ayes 25, nays 34,

        9        party vote.

       10                      ACTING PRESIDENT KUHL:  The

       11        amendment is lost.

       12                      Senator Dollinger, on the second

       13        amendment.

       14                      SENATOR DOLLINGER:  Yes, Mr.

       15        President.  I believe there's a second amendment

       16        to 6103-B.  It may be difficult.

       17                      ACTING PRESIDENT KUHL:  We're not

       18        on 6103-B.  Thank you for bringing that to our

       19        attention, Senator Dollinger.

       20                      Anybody else wishing to speak on

       21        the bill?

       22                      Secretary will call the last

       23        section.

       24                      THE SECRETARY:  Section 6.  This

       25        act shall take effect April 1.







                                                           2007

        1                      ACTING PRESIDENT KUHL:  Call the

        2        roll.

        3                      (The Secretary called the roll. )

        4                      ACTING PRESIDENT KUHL:  Record

        5        the negatives and announce the results.

        6                      THE SECRETARY:  Ayes 58, nays

        7        one, Senator Dollinger recorded in the

        8        negative.

        9                      ACTING PRESIDENT KUHL:  The bull

       10        is passed.

       11                      Senator Skelos.

       12                      SENATOR SKELOS:  Mr. President,

       13        would you please call up Senate 6103-B.

       14                      ACTING PRESIDENT KUHL:  Secretary

       15        will read the title to 6103-B.

       16                      THE SECRETARY:  Calendar Number

       17        436, Budget Bill, Senate Bill 6103-B, an act

       18        making appropriations for the support of

       19        government.

       20                      ACTING PRESIDENT KUHL:  Senator

       21        Dollinger.

       22                      SENATOR DOLLINGER:  Mr.

       23        President, I believe in its current form there

       24        is also an amendment to this bill at the desk.

       25        I understand that the Deputy Majority Leader







                                                           2008

        1        will allow it to be heard under the good graces

        2        exception, Mr. President, if I could continue to

        3        have the indulgence of the house on it.

        4                      ACTING PRESIDENT KUHL:  The

        5        reading is waived.  You're now afforded the

        6        opportunity of the floor to explain the

        7        amendment.

        8                      SENATOR DOLLINGER:  Thank you,

        9        Mr. President.

       10                      This too is a relatively simple

       11        amendment.  This seeks to increase the

       12        enforcement under the Agriculture and Markets

       13        division.  We have a problem in the city of

       14        Rochester.  I don't think it's unique there, but

       15        the problem is we have small grocery stores

       16        operating in contravention of the Agriculture

       17        and Markets Law.  They are routinely fined; they

       18        are routinely disciplined.  It takes years,

       19        literally years, for those fines to play out.

       20        These stores in the city of Rochester operate as

       21        fronts for drug operations, for gun operations.

       22        They sell old stale food.  They have, at times,

       23        had rodent infestation problems.

       24                      This will give a million dollars

       25        to increase the enforcement of the Agriculture







                                                           2009

        1        and Markets to allow communities in our poorer

        2        neighborhoods to have better quality food

        3        stores, ones that run legitimate operations and

        4        sell fresh food, provide access to proper food,

        5        and end what appears to be the tyrrany of

        6        illicit and improper sales of food in our urban

        7        communities.

        8                      It's important for the city of

        9        Rochester.  The city supports it.  I would ask

       10        my colleagues to join in.  It would improve the

       11        quality of life in our poorest neighborhoods,

       12        and it's needed.

       13                      Thank you, Mr. President.

       14                      ACTING PRESIDENT KUHL:  Question

       15        is on the amendment.  All those in favor signify

       16        by saying aye.

       17                      (Response of "Aye.")

       18                      Opposed nay.

       19                      (Response of "Nay.")

       20                      ACTING PRESIDENT KUHL:  The

       21        amendment is lost.

       22                      Secretary will read the last

       23        section.

       24                      THE SECRETARY:  Section 2.  This

       25        act shall take effect April 1.







                                                           2010

        1                      ACTING PRESIDENT KUHL:  Call the

        2        roll.

        3                      (The Secretary called the roll. )

        4                      ACTING PRESIDENT KUHL:  Record

        5        the negatives and announce the results.

        6                      THE SECRETARY:  Ayes 58, nays

        7        one, Senator Leichter recorded in the negative.

        8                      ACTING PRESIDENT KUHL:  The bill

        9        is passed.

       10                      Senator Skelos.

       11                      SENATOR SKELOS:  Mr. President,

       12        would you please call up 6104-B.

       13                      ACTING PRESIDENT KUHL:  Secretary

       14        will read the title to Calendar -- excuse me,

       15        Senate Print 6104-B.

       16                      THE SECRETARY:  Calendar Number

       17        437, Budget Bill, Senate Print 6104-B, an act

       18        making appropriations for the support of

       19        government.

       20                      SENATOR PATERSON:  Explanation.

       21                      ACTING PRESIDENT KUHL:  Senator

       22        Stafford, an explanation of Senate Print 6104-B

       23        has been requested.

       24                      SENATOR STAFFORD:  Mr. President,

       25        this is the public protection, health and mental







                                                           2011

        1        hygiene portion of the budget, all very, very

        2        important.

        3                      This part of the budget increases

        4        spending in all of these funds by 683.3 million

        5        below what was originally suggested and sent to

        6        us.  This decline is attributed primarily to

        7        lower Medicaid expenditures, increases for

        8        additional spending in criminal justice of 13.2

        9        million and increased spending in mental hygiene

       10        by 14.17 -- or 14.7 million.

       11                      We estimate that the state's

       12        share of Medicaid spending will be 223 million

       13        below what was originally projected.  The

       14        original projection was 5.68 billion for fiscal

       15        year '98-99.  The state's share, we estimate,

       16        also results in reduced federal Medicaid

       17        spending of 446.5 million, for a total all funds

       18        spending reduction in this area as we mentioned,

       19        of 669.5 million in fiscal year '98-99.

       20                      ACTING PRESIDENT KUHL:  Senator

       21        Oppenheimer, why do you rise?

       22                      SENATOR OPPENHEIMER:  Mr.

       23        President, do you have an amendment, I believe,

       24        at the desk? I'd like to waive its reading, ask

       25        -- if it should be at the desk.







                                                           2012

        1                      ACTING PRESIDENT KUHL:  Senator

        2        Oppenheimer, is this the amendment dealing with

        3        school-based health programs?

        4                      SENATOR OPPENHEIMER:  No, that's

        5        my colleague, Senator Montgomery.  It deals with

        6        community beds for OMR/DD.

        7                      ACTING PRESIDENT KUHL:

        8        Community-based residential opportunities,

        9        that's what your amendment is concerned with?

       10                      SENATOR OPPENHEIMER:  Yes.

       11                      ACTING PRESIDENT KUHL:  The

       12        reason I'm having the problem, Senator

       13        Oppenheimer, is the same problem that Senator

       14        Dollinger just had and that is the rules require

       15        that a copy of the -- requires that a copy of

       16        the bill marked up and the desk doesn't have

       17        that, so the amendment is deficient, so the

       18        rules provide for you offering it and sending it

       19        up, but the Majority Leader has allowed you to

       20        go ahead and proceed as long as it's not

       21        construed as a waiver of the rules in future

       22        proceedings.

       23                      So with that in mind, the reading

       24        of the amendment which it is very difficult to

       25        determine what it is, is permitted and you are







                                                           2013

        1        now permitted to explain it.

        2                      SENATOR OPPENHEIMER:  Lordy me, I

        3        wouldn't want to do anything in contravention of

        4        the rules of this chamber, and I do thank

        5        Senator Skelos.

        6                      This is an amendment, and I must

        7        say it's a very heartfelt request.  The

        8        amendment would seek to increase by $6 million

        9        the total number of OMR/DD beds that are

       10        scheduled to be developed in the coming year in

       11        this budget. The Governor's budget had $25.1

       12        million for OMR/DD beds, and that would probably

       13        bring forth about 867 new beds, and the

       14        Assembly's budget calls for an additional $7.5

       15        million for 500 new beds, and that would be -

       16        well, actually 500 community beds and that's the

       17        state beds, then 260 not-for-profit beds, and

       18        107 for those people who are leaving the

       19        institutions.

       20                      The Senate budget has in it only

       21        an additional $2 million dollars, and so what my

       22        amendment would do is, I seek to bring the

       23        amount up to the amount that is in the Assembly

       24        budget which is, my amendment says, an

       25        additional $6 million and that would bring it up







                                                           2014

        1        to the amount that the Assembly has put in their

        2        budget.

        3                      Why -- why am I doing this? I

        4        can't imagine that my community is that

        5        different from other communities.  We have such

        6        a serious need for beds, not only this relates

        7        to OMR/DD but it also in this -- this amendment,

        8        OMH beds are also needed. We have literally, in

        9        my Senate District alone, we have well over 150

       10        people in crisis needing beds immediately.

       11                      We have not been putting in the

       12        number of beds through the past several years

       13        for those of our citizens who require beds under

       14        OMR/DD.  These are developmentally disabled.

       15        They are our immediate family, our friends, our

       16        neighbors.  In many instances, their parents

       17        have done the very best they could in caring for

       18        them in their home and now in many instances in

       19        my community -- I say it cannot be that

       20        different from other communities -- these

       21        parents are dying and they are getting too old

       22        to take care of these children of theirs.

       23                      We have in the last three weeks

       24        five children, mind you, the children are now in

       25        their 50s and 60s in many instances, 40s, their







                                                           2015

        1        parents in this case, the last surviving parent

        2        died.  We have five people who have no place to

        3        go.  We have made a term called the "bathtub"

        4        folks. There's no place for them to go.  They

        5        are living either on the street, in shelters, or

        6        almost in friends' and neighbors' bathtubs.

        7                      This is really an outrage in our

        8        society. We can afford to take care of -- of

        9        those who can not take care of themselves, and

       10        whose parents are no longer capable of taking

       11        care of themselves.  It is a very urgent matter

       12        in my community, and I can only reiterate that

       13        it must be happening in other communities too.

       14        We have to take care of our disabled.

       15                      I urge the passage of this

       16        amendment.

       17                      ACTING PRESIDENT KUHL:  Question

       18        is on the amendment. All those in favor signify

       19        by saying aye.

       20                      (Response of "Aye.")

       21                      SENATOR STACHOWSKI:  Party vote.

       22                      ACTING PRESIDENT KUHL:  Secretary

       23        will call the roll, record the party line votes,

       24        announce the results.

       25                      (The Secretary called the roll.)







                                                           2016

        1                      THE SECRETARY:  Ayes 25, nays 34,

        2        party line vote.

        3                      ACTING PRESIDENT KUHL:  The

        4        amendment is lost.

        5                      The Chair recognizes Senator

        6        Kruger for the purposes of an amendment.

        7                      SENATOR KRUGER:  Mr. President, I

        8        believe I have an amendment at the desk. I would

        9        ask that the reading be waived and discuss the

       10        amendment.

       11                      ACTING PRESIDENT KUHL:  The

       12        circumstances surrounding the amendment are the

       13        same, I believe.

       14                      SENATOR KRUGER:  I suppose I'm

       15        deficient also.  That's my middle name.

       16                      ACTING PRESIDENT KUHL:  No,

       17        Senator Kruger, the Chair compliments you on,

       18        there is a bill attached, you're not deficient.

       19                      SENATOR KRUGER:  Maybe I'm not

       20        deficient, but there's still an amendment.

       21                      ACTING PRESIDENT KUHL:  The

       22        amendment is at the desk.  It's moved to the

       23        floor, the reading is waived and you're

       24        recognized to explain the amendment.

       25                      SENATOR KRUGER:  Mr. President,







                                                           2017

        1        the amendment that I've offered to this bill

        2        allows us to deliver on a promise, a promise

        3        that we made in 1992, in 1993, in 1994, in 1995

        4        and in 1996.  We said to the senior citizen that

        5        we would deliver when we had the funds available

        6        an enhanced EPIC program, a program that would

        7        take $19 million and place it back into the

        8        system, a program that would take its 96,000

        9        current participants and allow another 8,000

       10        participants to join the program, an enhancement

       11        that would reduce a co-pay, that would lower a

       12        deductible, that would remove and enhance a

       13        premium program and would raise -- and would

       14        lower an enrollment fee to $10.

       15                      At the same time, we would take

       16        that indigent senior citizen who currently their

       17        threshold level is only $10,000 for annual

       18        income, and bump them up an additional $1,000.

       19        We would take that married couple that currently

       20        has a threshold income of $14,000 and bump them

       21        up $1,000.  As we move towards technology that

       22        increases our long effort and improves our

       23        quality of life, we have a moral obligation to

       24        provide the pharmaceutical drugs and the

       25        programs necessary to maintain and to sustain







                                                           2018

        1        that quality of life.

        2                      This enhanced version of our EPIC

        3        program does nothing more than that.  This is

        4        not a pink pill.  It's not a panacea.  It's no

        5        cure. It's our ability to reach into the system

        6        and to say that we are willing to live up to our

        7        commitment, that we are willing to live up to

        8        our promise, to our promise to the senior

        9        citizens in our communities that we will provide

       10        the drugs and the medical care for you that you

       11        deserve, that you need and that, quite frankly,

       12        we can now afford to supply.

       13                      So I would ask for the adoption

       14        of my amendment.  I would ask for the increase

       15        of $19.4 million into the EPIC enhanced program,

       16        and I would ask for the support of my colleagues

       17        in the house.

       18                      ACTING PRESIDENT KUHL:  Question

       19        is on the amendment.  Senator Lachman.

       20                      SENATOR LACHMAN:  I just want to

       21        commend my colleague on the amendment dealing

       22        with EPIC.  He's to be applauded.  People in the

       23        twilight of their lives deserve to have a piece

       24        of the increased pie that society gets in

       25        general.  This does not mean that business and







                                                           2019

        1        corporations should not get a piece of that

        2        pie.  They should, but it should be distributed

        3        to all in our society, especially those who are

        4        most vulnerable, not only the seniors, but the

        5        aging seniors, and there was an article in

        6        today's New York Times about people now who are

        7        in their 70s and 80s and beyond who are in

        8        desperate need of care and health facilities as

        9        well as pharmaceuticals that this amendment will

       10        provide, and I'm proud to support my colleague

       11        in this endeavor.

       12                      Thank you.

       13                      ACTING PRESIDENT KUHL:  Question

       14        is on the amendment.  All those in favor signify

       15        by saying aye.

       16                      (Response of "Aye.")

       17                      SENATOR STACHOWSKI:  Party vote.

       18                      ACTING PRESIDENT KUHL:  Secretary

       19        will call the roll, record the party line votes,

       20        announce the results.

       21                      (The Secretary called the roll. )

       22                      THE SECRETARY:  Ayes 25, nays 34,

       23        party vote.

       24                      ACTING PRESIDENT KUHL:  Amendment

       25        is lost.







                                                           2020

        1                      Chair recognizes Senator

        2        Montgomery, for the purposes of an amendment.

        3                      SENATOR MONTGOMERY:  Yes, thank

        4        you, Mr. President.

        5                      My amendment is to simply attempt

        6        to remind my colleagues on both sides of the

        7        aisle that we are in danger of losing an

        8        extremely important program and for certain we

        9        have omitted an opportunity to expand that

       10        program so that we can get many more children,

       11        especially adolescents, into preventive health

       12        primary health care, and that is school-based

       13        health clinics.

       14                      I have before me a list, it's a

       15        fairly comprehensive list of those Senators who

       16        are particularly going to be impacted by the

       17        loss of very important school-based health

       18        clinics: Senator Seward is in danger of losing

       19        at least three centers, and I'm assuming that

       20        it's Senator Seward who represents Otsego

       21        County.  Forgive me if I'm wrong.  I know that

       22        Senator Cook is going to lose centers.  Senator

       23        Johnson is going to lose.  Senator Volker is

       24        going to lose. Senator Libous is going to lose.

       25        Senator Stachowski is going to lose.







                                                           2021

        1                      These -- these programs are the

        2        primary source of preventive health care for

        3        those young people who are in them.  Senator

        4        Stafford is going to lose big.  He has a number

        5        in his district.  I know that Senator Stafford

        6        didn't realize that, else he would have been on

        7        the case.  Senator Spano is going to lose.  In

        8        addition, to those who are going to lose

        9        possibly primary health care, there are many

       10        others who don't have any at all.  Senator

       11        Balboni, I know that he's a freshman, but

       12        nonetheless he deserves to have primary health

       13        -- school-based health clinics in his district.

       14                      I would like to have school-based

       15        health in my district.  Senator Marchi is going

       16        to lose one if we don't make -- correct this

       17        oversight.  So -- and there are many, many

       18        others who are either going to lose or those of

       19        us who don't have school-based health,

       20        particularly those programs that serve

       21        adolescents and children.

       22                      This is a program that is

       23        extremely cost-effective.  I believe that

       24        Senator Volker is one of the fathers of this

       25        program, if you -- if you can refer to him as







                                                           2022

        1        that, because he was really one of the people

        2        who carried this legislation on our side of the

        3        aisle when it first -- when we first began to

        4        invest state dollars in it back in 1978, I

        5        believe.

        6                      We've now gotten to the point

        7        where we are serving 140,000 children and

        8        adolescents last year, and we only were -- had

        9        to put in the state funds a very small amount of

       10        money.  We're talking about approximately $6

       11        million of state funding and that state funding

       12        was able to be matched with federal funding, and

       13        a combination of mental health funds.  We put

       14        some mental health funding in so that these

       15        clinics offer mental health services to young

       16        people right in the school.

       17                      So we have developed for

       18        ourselves in this state a model.  We are now for

       19        once in this particular category, school-based

       20        health, we're number one in the country, but

       21        we're going to lose that position.  We're losing

       22        ground because we have not established a funding

       23        stream to make sure that those school-based

       24        health clinics survive, nor have we put money

       25        into our budget so that we can expand the number







                                                           2023

        1        of clinics to provide more children.

        2                      What does this mean to us? It

        3        means, Mr. President, that we will not be able

        4        to take advantage of the Child Health Plus

        5        funding that will be coming to our state,

        6        because we will not have the capacity to provide

        7        important services to young people where they

        8        are and that is in their schools; and so I'm

        9        asking Senator Stafford, Senator Bruno -- I

       10        think Senator Bruno needs a school-based health

       11        clinic in his district, and Senator Marcellino

       12        and Senator Wright and Senator Farley, whether

       13        you will -- Senator Cook is also one person who

       14        is going to lose a school-based health clinic.

       15                      So this really is an urgency for

       16        us.  It's an urgent plea to my colleagues who

       17        have put this budget together absent an

       18        expansion of school-based health funding to say,

       19        let's do that because it's so important.  It's

       20        so simple, and I got my -- my amendment says,

       21        let's put an additional $11 million in so that

       22        we can expand that program and that we can also

       23        strengthen what we have, to be in a much better

       24        position to take advantage of the federal monies

       25        that will be coming in for Child Health Plus.







                                                           2024

        1                      Thank you.

        2                      ACTING PRESIDENT KUHL:  Senator

        3        Waldon, on the amendment.

        4                      SENATOR WALDON:  Thank you very

        5        much, Mr. President.

        6                      Last week, Miss Lynn Johnson, a

        7        registered nurse who's in charge of the

        8        school-based programs in the Rockaways in the

        9        district I represent, came to visit with me, and

       10        to speak to the importance of the school-based

       11        health clinic.  She explained to me the number

       12        of visits per year by the children in those

       13        schools.  She cited for me the types of

       14        illnesses and situations brought to she and to

       15        her colleagues, her subordinates. She advised me

       16        of the absolute inability of many of these

       17        children to receive any form of health care

       18        other than that provided by the school-based

       19        clinic.

       20                      For all of those reasons, I think

       21        it is absolutely mandatory that we support the

       22        amendment as submitted for our consideration by

       23        the esteemed Senator from Brooklyn, Velmanette

       24        Montgomery.  It is right not only to maintain

       25        the programs at their current level but to







                                                           2025

        1        expand their ability to reach children who

        2        otherwise will not receive adequate health

        3        care.

        4                      This is not a place for just

        5        those that are afflicted. This is not a place

        6        for just those who are the rich.  This is a

        7        nation and a state, especially New York State,

        8        for all kinds of people from all stripes and all

        9        socio-economic levels, and I don't think we want

       10        on our conscience that there will be a child

       11        somewhere sick and in a state of destitute -

       12        desperation because we made the wrong decision,

       13        that there will be a child who will have an

       14        illness and will be ashamed to come to school

       15        because they will not be able to have that

       16        illness treated; there will be a parent who is

       17        worrying, What do I do about this particular

       18        health crisis for my child? I have no money, I

       19        have no health care.  I don't have the ability

       20        to provide for my children.  We can take care of

       21        that.  We could ease that mind, assuage that

       22        pain, and make everything all right in the

       23        morning by supporting Senator Velmanette

       24        Montgomery's amendment.

       25                      I encourage all of us to do the







                                                           2026

        1        right thing and support the amendment.

        2                      Thank you very much, Mr.

        3        President.

        4                      ACTING PRESIDENT KUHL:  Senator

        5        Oppenheimer, on the amendment.

        6                      SENATOR OPPENHEIMER:  I'll share

        7        with you some information I got from a

        8        conference I was at two or three weeks ago,

        9        maybe a month ago, in South Carolina and it

       10        concerned implementing the state child health

       11        insurance program which is the federal program

       12        that will entail hundreds of millions of dollars

       13        coming from the federal government down to the

       14        state for the purpose of implementing a broad

       15        child health insurance program.

       16                      One of the concerns was that,

       17        even though you have the insurance in place, if

       18        the family doesn't know where the clinic is or

       19        the hospital is or doesn't have the

       20        transportation money to get them there, then

       21        it's no use having the insurance because the

       22        child isn't going to benefit by getting the

       23        necessary care, the preventive care and also the

       24        care when the child is sick.

       25                      There then was a discussion about







                                                           2027

        1        the kind of money necessary to put in which

        2        would be utilized just for transporting of the

        3        families to the health clinics. It seemed to me,

        4        and I stood up and I spoke at this national

        5        conference, that were the children health

        6        clinics right in the school, the whole subject

        7        of multiples of million dollars transporting

        8        these children from their homes to the clinic

        9        would not be necessary and, therefore, all that

       10        money could go to improve the health of the

       11        children and they would be taken care of right

       12        where we hope they always will be, in school.

       13                      So it was something that I think

       14        received a fair amount of attention by the

       15        conference, and I think it is certainly a

       16        farsighted way for us to go, instead of

       17        utilizing the federal monies which are for

       18        children's health just to transport, to get them

       19        to the clinics.  Here they can enjoy the best

       20        care right where they are at school.

       21                      I urge that we support this

       22        amendment.

       23                      ACTING PRESIDENT KUHL:  Senator

       24        Dollinger, on the amendment.

       25                      SENATOR DOLLINGER:  Thank you,







                                                           2028

        1        Mr. President.

        2                      I'll be very brief.  There's an

        3        ad that's currently running through upstate New

        4        York that features a voice, a -- I would say a

        5        distinctive voice, but it wasn't uttered very

        6        often in this chamber.  The gentleman who used

        7        to sit right over there, I believe, right next

        8        to Senator Rath and his voice is heard saying

        9        Child Health Plus is a wonderful thing. It's

       10        available for every New Yorker.  When he was

       11        here, all he said was, "I'm not going to vote

       12        for this budget, spending too much."  You

       13        remember that guy. He now keeps an office down

       14        on the second floor, downstairs, but he talks

       15        about Child Health Plus. Says it's a wonderful

       16        thing, everybody should be in it, and the one

       17        thing he doesn't say is, I think, what Senator

       18        Montgomery's amendment is designed to do.  He

       19        doesn't say it's available at the nearest retail

       20        outlet.  Where is the nearest retail outlet for

       21        little kids? Schools.

       22                      Why don't we take what is such a

       23        good idea that the Governor is out pressing

       24        through the air waves in his own little monotone

       25        voice, why don't we take it and simply put it in







                                                           2029

        1        the schools where it can do its best, where we

        2        can get the return that we all want, more kids

        3        covered by insurance, getting health care.  Give

        4        it to them in their school.

        5                      This amendment will help us do

        6        that.

        7                      ACTING PRESIDENT KUHL:  Question

        8        is on the amendment.  All those in favor signify

        9        by saying aye.

       10                      (Response of "Aye.")

       11                      Opposed nay.

       12                      SENATOR STACHOWSKI:  Party vote

       13        in the affirmative.

       14                      ACTING PRESIDENT KUHL:  Secretary

       15        will call the roll, record the party line vote

       16        and announce the results.

       17                      (The Secretary called the roll.)

       18                      THE SECRETARY:  Ayes 24, nays 35,

       19        party vote.

       20                      ACTING PRESIDENT KUHL:  The

       21        amendment is lost.

       22                      Senator Leichter.

       23                      SENATOR LEICHTER:  Mr. President,

       24        unfortunately, an amendment which I was going to

       25        propose did not get drafted in time.  I know







                                                           2030

        1        you've been very lenient today but I was going

        2        to do a soft "Harvey" and hand up an imaginary

        3        amendment, but let me at least say what the

        4        amendment would have done and what I think is a

        5        real failure in this bill before us.

        6                      One of the most successful

        7        programs that we've had in New York State, or

        8        New York City, has been the New York/New York

        9        program to build housing for mentally ill

       10        homeless people.  It took many people off the

       11        streets, people most in need in our society,

       12        those who suffered from a mental disability, and

       13        yet did not have the means to take care of

       14        themselves.  They've been turned out of state

       15        hospitals.  Many of them were sleeping on the

       16        streets of our cities.  They were creating

       17        problems, people who in a proper setting could

       18        and do live very productive and good lives, and

       19        we created, I believe, as many as 20,000 beds

       20        for these people.  They're more than beds.  We

       21        really created homes for them.

       22                      Unfortunately, that program

       23        expired, and the state of New York has been

       24        unwilling to invest in this program to provide

       25        help for these most needy in our society.  I







                                                           2031

        1        believe the Governor's budget calls for some 900

        2        beds.  What we really need is about 20,000

        3        beds.

        4                      Now, the city of New York is

        5        willing to put up its share.  I think we're

        6        talking of maybe some $15 million which would be

        7        the state's contribution, maybe even less than

        8        that.  It's really something we should do. When

        9        you take a look at the budget that's presented

       10        before us and the budget that we know is going

       11        to pass and all the "pork" that's going to be in

       12        it and all the waste that's going to be in it

       13        and even certain programs that may be hard, you

       14        can say are helpful to people, but we've

       15        neglected the most needy in our society, people

       16        who have been turned out of mental institutions

       17        and people who have no place to go.

       18                      We really fail in our obligation

       19        to these people and it's something that we

       20        should be ashamed of, and the amendment that I

       21        was going to propose would have provided money

       22        for these people.  We ought to have this program

       23        funded and I hope that when a final budget is

       24        agreed to that we'll see money for New York/New

       25        York too in it.







                                                           2032

        1                      Thank you.

        2                      ACTING PRESIDENT KUHL:  Secretary

        3        will read the last section.

        4                      THE SECRETARY:  Section 2.  This

        5        act shall take effect April 1.

        6                      ACTING PRESIDENT KUHL:  Call the

        7        roll.

        8                      (The Secretary called the roll. )

        9                      ACTING PRESIDENT KUHL:  Record

       10        the negatives, announce the results.

       11                      THE SECRETARY:  Those recorded in

       12        the negative on Calendar Number 437 are Senators

       13        Dollinger, Gentile and Leichter.  Ayes 56, nays

       14        3.

       15                      ACTING PRESIDENT KUHL:  The bill

       16        is passed.

       17                      Senator Skelos.

       18                      SENATOR SKELOS:  Mr. President,

       19        is there any housekeeping at the desk?

       20                      ACTING PRESIDENT KUHL:  Senator

       21        Dollinger, why do you rise?

       22                      SENATOR DOLLINGER:  Mr.

       23        President, I believe when a vote was taken on

       24        Calendar Number 6102-B, although I was present

       25        in the chamber, I was occupied in discussion.  I







                                                           2033

        1        just simply ask for unanimous consent to change

        2        my vote from yea to nay on that vote, Mr.

        3        President.

        4                      ACTING PRESIDENT KUHL:  Without

        5        objection, hearing no objection, Senator

        6        Dollinger will be recorded in the negative on

        7        Calendar Number 6102-B.

        8                      Senator Skelos, we do have one

        9        substitution.

       10                      SENATOR SKELOS:  Please take the

       11        substitution.

       12                      ACTING PRESIDENT KUHL:  Secretary

       13        will read the substitution.

       14                      SENATOR MENDEZ:  Mr. President.

       15                      THE SECRETARY:  On page 13,

       16        Senator DeFrancisco moves to discharge from the

       17        Committee on Judiciary Assembly Print 8094-A and

       18        substitute it for the identical Third Reading

       19        Calendar 323.

       20                      ACTING PRESIDENT KUHL:

       21        Substitution is ordered.

       22                      Senator Mendez.

       23                      SENATOR MENDEZ:  Mr. President, I

       24        move that the following bill, Senate 6533-B, be

       25        discharged from its committee and be recommitted







                                                           2034

        1        with instructions to strike the enacting

        2        clause.

        3                      ACTING PRESIDENT KUHL:  The

        4        enacting clause will be struck and the bill will

        5        be recommitted.

        6                      SENATOR MENDEZ:  Thank you.

        7                      ACTING PRESIDENT KUHL:  That

        8        takes care of the housekeeping, Senator Skelos.

        9                      Senator Montgomery.

       10                      SENATOR SKELOS:  Please recognize

       11        Senator Montgomery.

       12                      ACTING PRESIDENT KUHL:  Senator

       13        Montgomery, why do you rise?

       14                      SENATOR MONTGOMERY:  Thank you,

       15        Mr. President.  I would like to be recorded in

       16        the negative on Calendar Number 6101.

       17                      SENATOR SKELOS:  No objection.

       18                      ACTING PRESIDENT KUHL:  Without

       19        objection, hearing no objection, Senator

       20        Montgomery will be recorded in the negative on

       21        Senate Print 6101.

       22                      SENATOR SKELOS:  Mr. President,

       23        on behalf of Senator Bruno, I hand up the

       24        following committee changes and ask that it be

       25        filed.







                                                           2035

        1                      ACTING PRESIDENT KUHL:  Changes

        2        will be filed in the Journal.

        3                      SENATOR SKELOS:  Is there any

        4        further housekeeping?

        5                      Would you recognize Senator

        6        Abate.

        7                      ACTING PRESIDENT KUHL: Chair

        8        recognizes Senator Abate.

        9                      SENATOR ABATE:  Yes.  I move to

       10        discharge from the Insurance Committee Senate

       11        Bill Number 2887.

       12                      ACTING PRESIDENT KUHL:  Secretary

       13        will read the title.

       14                      THE SECRETARY:  Senate Print

       15        2887, by Senator Abate, an act to amend the

       16        Insurance Law.

       17                      ACTING PRESIDENT KUHL:  Chair

       18        recognizes Senator Abate, on the motion to

       19        discharge.

       20                      SENATOR ABATE:  Yes.  I would

       21        like the opportunity to explain the motion to

       22        discharge.

       23                      What I'm moving to discharge is a

       24        legislation affecting the parent -- Patient Fair

       25        Appeals Act.  Last year, I did a similar motion







                                                           2036

        1        to discharge, and regrettably that motion failed

        2        along party lines.  I hope, although it's late

        3        in the day, we'll seriously consider the import

        4        of this bill, and look at what good it would do

        5        for so many people throughout this state, and

        6        for a moment in this chamber let's put politics

        7        aside and do what's in the best interests of the

        8        people and put people first.

        9                      I believe that, if this bill came

       10        to the floor, each and every one of us would

       11        vote our conscience and that this bill would

       12        pass overwhelmingly, and what this bill does is

       13        what we always talked about as we move toward

       14        managed care, and we do know that managed care,

       15        if it's done correctly, will make sure that

       16        health care becomes affordable to people, but if

       17        we do not put checks and balances in place and

       18        managed care and the HMOs and the insurance

       19        companies put profits over people, then we don't

       20        have managed care.  We will have managing us.

       21                      And so what this bill does, it's

       22        just a brief bill that focuses on one part of

       23        the problem.  It says when an individual is in

       24        need of investigative drugs or devices or

       25        treatment or experimental drugs, devices or







                                                           2037

        1        treatment, that there are safeguards in place to

        2        make sure that people get the needed care

        3        available to them.

        4                      So what this bill does is, it

        5        sets up uniform standards for such care.  It

        6        says that, if it's frivolous, the care would be

        7        not reimbursed.  If it's alternative methods

        8        that are just as good and not as costly, they

        9        would be reimbursed and not the experimental or

       10        investigative treatment.  It also says -- and

       11        this is very important -- that if a doctor

       12        recommends the treatment, that the HMO or the

       13        managed care companies or the insurance company

       14        says no because they're concerned with the -

       15        about the bottom line, that there's an

       16        opportunity for the patient to say, "I want to

       17        appeal this decision. My doctor says I need it

       18        to save my life, to reduce my pain," and that

       19        patient should have the opportunity to have that

       20        decision reviewed by an independent panel of

       21        experts, that panel developed by the Insurance

       22        Department working with the Health Department.

       23        These are experts that will independently review

       24        that decision and make a decision that's in the

       25        best interests of that patient.







                                                           2038

        1                      This makes sense.  This makes

        2        common sense. It's good public policy.  Now,

        3        many people say we can't do it because of the

        4        cost. Well, if you look at the studies and where

        5        this bill has been enacted in states around the

        6        country, it has not increased cost.  The costs

        7        are less than one half of a percent, and if you

        8        look at the recent Memorial Sloan-Kettering

        9        Hospital report, they say it reduces costs,

       10        because those individuals that have the

       11        opportunity to get these treatments receive

       12        fewer re-admissions, less time spent in the

       13        hospital, and hospital stays reduced.  So the

       14        total cost incurred for each patient, because of

       15        these trials, is less than if those trials were

       16        not available to the patient.

       17                      Now, this is one of the first

       18        times in history where you have a medical

       19        profession, doctors and patients, agreeing that

       20        not only is this good for health care, but that

       21        today's experiment becomes tomorrow's cure. If

       22        you were to eradicate the availability of

       23        patients to this -- these cures, to these

       24        experimental drugs and treatment, we would not

       25        have cures for cancer, for multiple sclerosis or







                                                           2039

        1        for AIDS.  We are dependent in the medical

        2        profession on these experimental, investigative

        3        treatments so that we have the cures tomorrow.

        4                      And lastly, I have heard from so

        5        many people, particularly the elderly, who are

        6        left with untenable choices.  Do they use up all

        7        their savings, the little savings they have to

        8        live on so they can get these treatments, or do

        9        they forego those treatments and then shorten

       10        their lives?  We should not allow people in the

       11        state to have to make those kinds of choices.

       12        So I ask you all again to put politics aside and

       13        join all the numbers of organizations around the

       14        state supporting this bill, and let me just read

       15        some of the groups that are supporting the bill:

       16        International Neighborhood of Teamsters; the

       17        AFL-CIO, the New York Labor Religion Coalition,

       18        the National Alliance of Breast Cancer

       19        Organizations, New York Statewide Senior Action

       20        Council, the Multiple Sclerosis Society, the

       21        Association of New York State AIDS Community

       22        Service Programs, the United Cerebral Palsy of

       23        New York State, Cancer Care, Capital District

       24        Coalition Support, Citizen Action, Community

       25        Health Center Association, and I could go on and







                                                           2040

        1        on.

        2                      I hope everyone in this chamber

        3        on both sides of the aisle vote for this bill.

        4        There are too many people not getting treatment

        5        today. There are too many people dying because

        6        we are not taking appropriate action in this

        7        chamber.  I ask each of you individually to

        8        stand up for what's right for the people of this

        9        state and support this bill to discharge.

       10                      Thank you.

       11                      ACTING PRESIDENT KUHL:  Question

       12        is on the motion to discharge.  All those in

       13        favor signify by saying aye.

       14                      SENATOR STACHOWSKI:  Party vote.

       15                      ACTING PRESIDENT KUHL:  Secretary

       16        will call the roll, record the party line votes,

       17        announce the results.

       18                      (The Secretary called the roll. )

       19                      THE SECRETARY:  Ayes 25, nays 34,

       20        party vote.

       21                      ACTING PRESIDENT KUHL:  Motion is

       22        defeated.

       23                      Senator Skelos.

       24                      SENATOR SKELOS:  Any other

       25        housekeeping at the desk?







                                                           2041

        1                      ACTING PRESIDENT KUHL:  None.

        2                      SENATOR SKELOS:  There being no

        3        further business, I move we adjourn until

        4        Tuesday, March 24th, at 3:00 p.m.

        5                      ACTING PRESIDENT KUHL:  Without

        6        objection, the Senate stands adjourned until

        7        tomorrow, March 24th, at 3:00 p.m.

        8                      (Whereupon at at 5:32 p.m., the

        9        Senate adjourned.)

       10

       11

       12

       13

       14

       15

       16

       17