Regular Session - March 2, 1999

                                                              616



                           NEW YORK STATE SENATE





                          THE STENOGRAPHIC RECORD









                             ALBANY, NEW YORK

                               March 2, 1999

                                 3:06 p.m.





                              REGULAR SESSION







                 LT. GOVERNOR MARY O. DONOHUE, President

                 STEVEN M. BOGGESS, Secretary

















                                                          617



                            THE PRESIDENT:    The Senate will

                 come to order.

                            I ask that everyone present please

                 rise and repeat with me the Pledge of

                 Allegiance.

                            (Whereupon, the assemblage recited

                 the Pledge of Allegiance to the Flag.)

                            THE PRESIDENT:    In the absence of

                 clergy, may we bow our heads in a moment of

                 silence.

                            (Whereupon, the assemblage

                 respected a moment of silence.)

                            THE PRESIDENT:    Reading of the

                 Journal.

                            THE SECRETARY:    In Senate,

                 Monday, March 1st.  The Senate met pursuant to

                 adjournment.  The Journal of Friday, February

                 26th, was read and approved.  On motion,

                 Senate adjourned.

                            THE PRESIDENT:    Without

                 objection, the Journal stands approved as

                 read.

                            Presentation of petitions.

                            Messages from the Assembly.

                            Messages from the Governor.





                                                          618



                            Reports of standing committees.

                 The Secretary will read.

                            THE SECRETARY:    Senator

                 Fuschillo, from the Committee on Consumer

                 Protection, reports:

                            Senate Prints 925, by Senator

                 Meier, an act to amend the General Business

                 Law;

                            1605, by Senator Alesi, an act to

                 amend the General Business Law.

                            Senator Lack, from the Committee on

                 Judiciary, reports:

                            Senate Prints 1529, by Senator

                 Balboni, an act to amend the General

                 Obligations Law;

                            1666, by Senator Trunzo, an act to

                 amend the Eminent Domain Procedure Law;

                            1905, by Senator Padavan, an act to

                 amend the Real Property Law;

                            1910, by Senator Meier, an act to

                 amend the General Construction Law;

                            2733, by Senator Wright, an act to

                 amend the Estates, Powers and Trusts Law.

                            Senator Padavan, from the Committee

                 on Cities, reports:





                                                          619



                            Senate Print 1734, by Senator

                 Velella, an act to amend the General City Law

                 and the Penal Law.

                            Senator Hannon, from the Committee

                 on Health, reports:

                            Senate Prints 463, by Senator

                 Holland, an act to amend the Public Health Law

                 and the Penal Law;

                            1178, by Senator Farley, an act to

                 amend the Public Health Law;

                            2197, by Senator Libous, an act to

                 amend the Public Health Law;

                            2302, by Senator Hannon, an act to

                 amend the Public Health Law;

                            2937, by Senator Hannon, an act to

                 amend the Public Health Law.

                            Senator Rath, from the Committee on

                 Local Government, reports:

                            Senate Prints 124, by Senator Rath,

                 an act to amend the General Municipal Law;

                            596, by Senator Volker, an act to

                 amend the Local Finance Law;

                            904A by Senator Skelos -

                            THE PRESIDENT:    Senator Bruno.

                            SENATOR BRUNO:    Madam President,





                                                          620



                 forgive the interruption.  But can we at this

                 time call for a Rules meeting immediately in

                 Room 332 while we're progressing?

                            THE PRESIDENT:    There will be a

                 Rules meeting immediately in Room 332.

                            Thank you, Senator.

                            The Secretary will continue

                 reading.

                            THE SECRETARY:    Going back,

                 Senator Rath, from the Committee on Local

                 Government, reports:

                            Senate Print 124, by Senator Rath,

                 an act to amend the General Municipal Law;

                            596, by Senator Volker, an act to

                 amend the Local Finance Law;

                            904A, by Senator Skelos, an act to

                 amend the General Municipal Law;

                            1211, by Senator Bonacic, an act

                 authorizing the Village of Hunter;

                            1388, by Senator Padavan, an act to

                 amend the General Municipal Law;

                            1980, by Senator Leibell, an act to

                 amend the Real Property Tax Law;

                            2088, by Senator Libous, an act to

                 amend the Real Property Tax Law;





                                                          621



                            2586, by Senator Meier, an act to

                 amend the Real Property Tax Law.

                            Senator Trunzo, from the Committee

                 on Transportation reports:

                            Senate Prints 139, by Senator

                 Nozzolio, an act to amend the Vehicle and

                 Traffic Law;

                            1101, by Senator Goodman, an act to

                 amend the Transportation Law;

                            2094, by Senator Libous, an act to

                 amend the Vehicle and Traffic Law;

                            2101, by Senator Libous, an act to

                 amend the Vehicle and Traffic Law.

                            Senator Saland, from the Committee

                 on Children and Families, reports:

                            Senate Prints 965, by Senator

                 Skelos, an act to amend the Domestic Relations

                 Law;

                            1075, by Senator Skelos, an act to

                 amend the Social Service Law and the Family

                 Court Act;

                            1257, by Senator Spano, an act to

                 amend the Social Services Law;

                            1531, by Senator Johnson, an act to

                 amend the Domestic Relations Law;





                                                          622



                            1621, by Senator LaValle, an act to

                 amend the Domestic Relations Law;

                            2722, by Senator Saland, an act to

                 amend the Family Court Act;

                            2724, by Senator Saland, an act to

                 amend the Family Court Act.

                            Senator Kuhl, from the Committee on

                 Education, reports:

                            Senate Prints 1347, by Senator

                 Holland, an act to amend the Education Law;

                            1922, by Senator Holland, an act to

                 amend the Education Law;

                            2475, by Senator LaValle, an act to

                 amend the Education Law.

                            Senator DeFrancisco, from the

                 Committee on Tourism, Recreation and Sports

                 Development reports:

                            Senate Print 831, by Senator

                 Marcellino, an act to amend the Parks,

                 Recreation and Historic Preservation Law.

                            All bills directly for third

                 reading.

                            THE PRESIDENT:    Without

                 objection, all bills directed to third

                 reading.





                                                          623



                            Reports of select committees.

                            Communications and reports from

                 state officers.

                            Motions and resolutions.

                            Senator Libous.

                            SENATOR LIBOUS:    Madam President,

                 on behalf of Senator Lack, on page 9, I'd like

                 to offer the following amendments to Calendar

                 Number 122, Senate Print 1527, and ask that

                 the said bill retain its place on the Third

                 Reading Calendar.

                            THE PRESIDENT:    The amendment is

                 accepted, and the bill will retain its place

                 on the third reading.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 can we at this time adopt the Resolution

                 Calendar with the exceptions of 492 and

                 Resolution 514?

                            THE PRESIDENT:    All those in

                 favor of adopting the Resolution Calendar,

                 with the exception of Resolutions 492 and 514,

                 signify by saying Aye.

                            (Response of "Aye.")

                            THE PRESIDENT:    Opposed nay.





                                                          624



                            (No response.)

                            THE PRESIDENT:    The Resolution

                 Calendar is adopted.

                            Senator Bruno.

                            SENATOR BRUNO:    Can we at this

                 time have the title read on Resolution 492, by

                 Senator Kuhl and move for its immediate

                 adoption?

                            THE PRESIDENT:    The Secretary

                 will read.

                            THE SECRETARY:    By Senator Kuhl,

                 Legislative Resolution Number 492, celebrating

                 "Read Across America," an effort by the

                 National Education Association and the

                 National Education Association of New York to

                 promote the joy of reading.

                            THE PRESIDENT:    The question is

                 on the resolution.  All in favor signify by

                 saying Aye.

                            (Response of "Aye.")

                            THE PRESIDENT:    Opposed nay.

                            (No response.)

                            THE PRESIDENT:    The resolution is

                 adopted.

                            Senator Bruno.





                                                          625



                            SENATOR BRUNO:    Madam President,

                 Senator Kuhl is indicating that anyone that

                 would like to be on this resolution is welcome

                 to be on it.

                            And if you don't want to be on it,

                 you might so indicate to the desk.

                            THE PRESIDENT:    All right.

                 Senator Kuhl, this -- Senator Kuhl -- the

                 resolution, pursuant to Senator Kuhl's

                 request, is open at this time for

                 cosponsorship.  Those who do not wish to be on

                 the resolution should notify the desk.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 can we at this time have the title read on

                 Resolution Number 514, by Senator Marcellino

                 and move for its immediate adoption.

                            THE PRESIDENT:    The Secretary

                 will read.

                            THE SECRETARY:    By Senator

                 Marcellino, Legislative Resolution Number 514,

                 memorializing Governor George E. Pataki to

                 proclaim March 7th through the 14th, 1999, as

                 Childhood Cancer Awareness Week in the state

                 of New York.





                                                          626



                            THE PRESIDENT:    The question is

                 on the resolution.  All in favor signify by

                 saying aye.

                            (Response of "aye.")

                            THE PRESIDENT:    Opposed nay.

                            (No response.)

                            THE PRESIDENT:    The resolution is

                 adopted.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 can we also open up the sponsorship, at the

                 request of Senator Marcellino, on this

                 resolution.

                            THE PRESIDENT:    The sponsorship

                 of this resolution is open.  All those who do

                 not wish to be on the resolution, please

                 notify the desk.

                            Senator Bruno.

                            SENATOR BRUNO:    I believe, Madam

                 President, there is a privilege resolution at

                 the desk by Senator Skelos.  I would ask that

                 it -- the title be read and move for its

                 immediate adoption.

                            THE PRESIDENT:    The Secretary

                 will read.





                                                          627



                            THE SECRETARY:    By Senator

                 Skelos.  Legislative resolution commending

                 David and Karen Portal upon the occasion of

                 their designation as Parents of the Year by

                 the Yeshiva of South Shore at its 42nd Annual

                 Scholarship Awards Banquet, March 7, 1999.

                            THE PRESIDENT:    The question is

                 on the resolution.  All in favor signify by

                 saying aye.

                            (Response of "Aye.")

                            THE PRESIDENT:    Opposed nay.

                            (No response.)

                            THE PRESIDENT:    The resolution is

                 adopted.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 can we now take up the noncontroversial

                 reading of the calendar.

                            THE PRESIDENT:    The Secretary

                 will read.

                            THE SECRETARY:    Calendar Number

                 52, by Senator DeFrancisco, Senate Print 863,

                 an act to amend the Social Services Law, in

                 relation to the transportation of certain

                 persons.





                                                          628



                            SENATOR PATERSON:    Lay it aside.

                            THE PRESIDENT:    The bill is laid

                 aside.

                            THE SECRETARY:    Calendar Number

                 116, by Senator Larkin, Senate Print 1490, an

                 act to amend the General Municipal Law, in

                 relation to eliminating certain exceptions.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect on the 1st day of

                 November.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 47.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 119, by Senator Alesi, Senate Print 96, an act

                 to amend the General Business Law, in relation

                 to altering mileage.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect on the first day of





                                                          629



                 November.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 48.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 121, by Senator Hannon -

                            SENATOR PATERSON:    Lay it aside.

                            THE SECRETARY:    -- Senate Print

                 1524, an act to amend the Public Health law.

                            THE PRESIDENT:    The bill is laid

                 aside.

                            THE SECRETARY:    Calendar Number

                 160, by Senator Bruno, Senate Print 2862, an

                 act to amend the Education Law, in relation to

                 requiring colleges and universities to

                 implement plans.

                            THE PRESIDENT:    Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 to explain my vote.

                            THE PRESIDENT:    Senator, could we

                 read the last section first?

                            Read the last section, please.

                            SENATOR BRUNO:    Thank you, Madam





                                                          630



                 President.  We thought the last section had

                 been read.

                            THE PRESIDENT:    Call the roll and

                 read the last section, please.

                            SENATOR BRUNO:    He is properly

                 chastised.

                            THE SECRETARY:    Section 7.  This

                 act shall take effect immediately.

                            (The Secretary called the roll.)

                            THE PRESIDENT:    All right.

                 Senator Bruno.

                            SENATOR BRUNO:    Thank you.  It is

                 nice to have a presiding officer paying such

                 close attention to our proceedings.  Thank you

                 very much, Madam President.

                            THE PRESIDENT:    It's good to be

                 appreciated, Senator.

                            SENATOR BRUNO:    Thank you.

                            THE PRESIDENT:    You may proceed.

                            SENATOR BRUNO:    And the counsel

                 is appreciated as well.

                            THE PRESIDENT:    Just kudos all

                 around.

                            SENATOR BRUNO:    This bill -- and

                 we're going to ask anyone in the chamber that





                                                          631



                 would like to cosponsor this bill, you are

                 welcome to do that.  And I would encourage you

                 to do it, because it is a very, very serious

                 response to a very tragic situation.

                            Very specifically, a year ago

                 today, Suzanne Lyall was reported missing from

                 the SUNY campus here in Albany.  Suzanne is

                 still missing.  And her parents, Doug and

                 Mary, with her sister Sandra, were in earlier

                 today at a press briefing on this legislation.

                 And they still don't know what has happened to

                 their daughter.  Their experience, when they

                 shared it with us, led us to this legislation.

                            And what this legislation does is

                 indicate to any college in the state that they

                 have to put a plan in place so that there's an

                 immediate reporting and action on any missing

                 person or any violence to a student on campus.

                            And that doesn't say that the

                 universities don't do this.  Some of the

                 colleges do it; some don't.  Here at SUNY

                 Albany, for instance, there are five different

                 police agencies that can relate to that

                 campus.  Now, you can imagine the distraught

                 parents reaching in and wondering who to talk





                                                          632



                 to and where to get information and who to

                 report to.

                            So it will be up to the college to

                 reach out into the community to put together a

                 protocol, a plan.

                            And in addition, the Lyalls shared

                 with us that they sometimes had a difficulty

                 in just getting a conduit.  So this will

                 establish a hotline to the Office of Criminal

                 Justice.  And that hotline will be accessible

                 so that people will be able to get in one

                 place whatever resources are available to help

                 a family deal with a tragedy that may occur or

                 that they think may be occurring.

                            That's the essence of this bill.

                 And it's up today because this is exactly a

                 year ago that Suzanne was reported missing.

                 So we ask for your support here in this

                 chamber.

                            And thank you, Madam President.

                            THE PRESIDENT:    Senator Bruno,

                 you will be recorded as voting in the

                 affirmative.

                            Senator Waldon.

                            SENATOR WALDON:    Thank you, Madam





                                                          633



                 President.  To explain my vote.

                            I wish to commend our leader on

                 this proposal.  A parent's worst nightmare is

                 what happened to the Lyall family.  And all of

                 us and each of us can empathize and sympathize

                 with the pain and suffering they are

                 experiencing in regard to their daughter.  So

                 I commend the leader's wisdom, I commend his

                 compassion, I commend his ability to allow us

                 to empathize and to sympathize in a very

                 positive way with this family and to take

                 steps here today which may preclude another

                 family experiencing a like circumstance.

                 Because with this proposal, speed and

                 efficiency will enter into the equation of

                 trying to find the student who is lost.

                            So I commend you, sir.  I'm

                 grateful that you've brought this to our

                 attention.  I commend all of us today for

                 doing the right thing in voting yes on this

                 proposal.

                            Thank you very much, Madam

                 President.

                            SENATOR OPPENHEIMER:    Madam

                 President.





                                                          634



                            THE PRESIDENT:    Senator Waldon,

                 how do you vote on this bill?

                            SENATOR WALDON:    In the

                 affirmative.

                            THE PRESIDENT:    You will be

                 recorded as voting in the affirmative.

                            I believe Senator Paterson was

                 next.

                            SENATOR PATERSON:    Thank you,

                 Madam President.  I vote in favor of this bill

                 and would commend to our colleague, Senator

                 Bruno, our deepest gratitude for bringing it

                 forward at this time.

                            There is certainly the fear, not

                 only as Senator Waldon described, of any

                 parent to lose a child, but also any

                 encumbrance or disabling of an attempt to have

                 information provided or to perhaps try to

                 locate a missing individual, that it would be

                 caused by the inability of different agencies

                 to communicate or certainly be due to the fact

                 that there wasn't significant coordination

                 among those who could have provided

                 assistance, would really just exacerbate the

                 tension, the anxiety, and the fear that any





                                                          635



                 victim would feel.

                            Our prayers certainly on the date

                 of St. David's Day would be with the family of

                 Ms. Lyall on the one-year anniversary of her

                 disappearance.  And it represents all the

                 missing boys and girls around the state whose

                 parents grieve for them and wish to see them

                 again.

                            And we certainly are strongly in

                 favor of this bill.  We believe in it.  And

                 Senator Connor, the minority leader, has asked

                 me, along with Senator Mendez and Senator

                 Smith and all of the colleagues -- Senator

                 Oppenheimer -- to extend to you our deepest

                 appreciation that we have thought of this to

                 perhaps minimize the burden and the

                 encumbrance on those who might be put in this

                 very, very tragic situation in the future.

                            THE PRESIDENT:    Senator Paterson,

                 you will be recorded as voting in the

                 affirmative.

                            Senator Oppenheimer.

                            SENATOR OPPENHEIMER:    Thank you.

                            Of course, I think we all feel a

                 loss and empathy for the parents of the





                                                          636



                 missing student.

                            What I would commend to Senator

                 Bruno is a series of recommendations in

                 legislative form that I made a few years back

                 concerning violence on campus.  One of those

                 suggestions was that when the campus police is

                 brought in, that the jurisdiction, the -

                 every campus is within a jurisdiction, and

                 therefore the jurisdiction should be notified

                 at the same time as the campus police is

                 notified.

                            And there are a variety of reasons

                 for doing that which we won't go into now.

                 But certainly coordination of information is

                 one of them, one of the reasons.

                            We also had suggestions concerning

                 blue lights on campuses, telephones, services

                 where students could be bused to where they

                 wanted to be or could be escorted by another

                 adult.  We had other considerations, of cards

                 to permit entry into dormitories.

                            At any rate, these were all with

                 the object of making a campus as safe as

                 possible and coordinating services.  And I

                 think this is an avenue that we should be





                                                          637



                 going down now.

                            But I do applaud this bill and urge

                 you to look at some of the other

                 recommendations on campus safety,

                 Senator Bruno.

                            Thank you.

                            THE PRESIDENT:    Senator

                 Oppenheimer, you will be recorded as voting in

                 the affirmative on this bill.

                            Senator Smith.

                            SENATOR SMITH:    Thank you, Madam

                 President.

                            I too rise to thank our

                 distinguished leader for this fine piece of

                 legislation.  I am hopeful that it will assist

                 in allaying the concerns and fears of some

                 distraught parents.  Because at a time when a

                 child is missing, a parent can never be more

                 distraught.

                            And it is great to see a piece of

                 legislation that all of us, whether on that

                 side of the aisle or this side of the aisle,

                 can support.  And I'm pleased to cast my vote

                 in the affirmative.

                            THE PRESIDENT:    Senator, you will





                                                          638



                 be recorded as voting in the affirmative on

                 this bill.

                            Senator Mendez.

                            SENATOR MENDEZ:    Thank you, Madam

                 President.

                            I too want to express my admiration

                 for our majority leader in dealing with this

                 issue.  This will not only help those parents

                 that have children missing deal in that

                 situation, but will also give some peace of

                 mind to those parents that for the first time

                 are going to send their children away during

                 their first year of college.

                            So again, my congratulations.  And

                 all of us should be congratulated, because

                 this is an issue that has made it possible for

                 a complete bipartisanship in easing the plight

                 of parents, of those who have children missing

                 as well as those that will eventually send

                 their kid to colleges and universities in this

                 state.

                            THE PRESIDENT:    Senator Mendez,

                 you will be recorded as voting in the

                 affirmative.

                            SENATOR MENDEZ:    I vote yes.





                                                          639



                            THE PRESIDENT:    That was my

                 sense.  Thank you, Senator.

                            Senator LaValle.

                            SENATOR LAVALLE:    Madam

                 President, I rise to both cast my vote in the

                 affirmative and to congratulate our majority

                 leader and also to thank the Lyalls for their

                 participation in bringing to our attention a

                 problem that has presided on our campuses.

                            With this legislation that Senator

                 Bruno has offered to us today, we will now

                 have a process that parents who are faced with

                 that acrimony will at least know how to

                 proceed and will have some methodology.

                            And again, Senator Bruno, thank you

                 for your leadership with this legislation.

                            I vote in the affirmative.

                            THE PRESIDENT:    Senator LaValle,

                 you will be recorded as voting in the

                 affirmative.

                            Senator Lachman.

                            SENATOR LACHMAN:    I also rise,

                 Madam Chair, in consonance with my colleagues,

                 to commend the majority leader on this

                 legislation, which is in truth a nonpartisan





                                                          640



                 piece of legislation that all of us can

                 support wholeheartedly, that is tied up not

                 only to the security issue and safety issue of

                 missing children but is a major piece of what

                 must be provided for all students in safe

                 surroundings within an educational center,

                 whether it is university or college, secondary

                 school, elementary school.

                            So I would like to be recorded in

                 the affirmative on this issue and hope it will

                 lead us to other legislation that will

                 continue to impact positively on this very

                 serious situation that afflicts education in

                 American society today.

                            Thank you.

                            THE PRESIDENT:    Senator Lachman,

                 you will be recorded as voting in the

                 affirmative on this bill.

                            Anyone else?  All right.

                            The Secretary will announce the

                 results.

                            THE SECRETARY:    Ayes 53.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number





                                                          641



                 170, by Senator Rath, Senate Print 1071, an

                 act to amend the Penal Law -

                            THE PRESIDENT:    Before we

                 continue, I'd like to announce that the sheet

                 for multisponsorship of the bill that was just

                 passed is at the desk.  I want to emphasize

                 that it's an important bill.  As many

                 multisponsors who are interested, please feel

                 free to come up to the desk and sign it.

                            The Secretary will read.  Thank

                 you.

                            THE SECRETARY:    Calendar Number

                 170, by Senator Rath, Senate Print 1071, an

                 act to amend the Penal Law, in relation to

                 repeat offender status.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 3.  This

                 act shall take effect on the first day of

                 November.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 52; nays 1.

                 Senator Duane recorded in the negative.

                            THE PRESIDENT:    The bill is





                                                          642



                 passed.

                            THE SECRETARY:    Calendar Number

                 173, by Senator Goodman, Senate Print 1117, an

                 act to amend the Penal Law in relation to

                 gambling.

                            SENATOR PATERSON:    Lay it aside.

                            THE PRESIDENT:    The bill is laid

                 aside.

                            THE SECRETARY:    Calendar Number

                 176, by Senator Spano, Senate Print 1259, an

                 act to amend the Penal Law, in relation to the

                 crime of criminal employment.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect -

                            SENATOR PATERSON:    Lay it aside.

                            THE SECRETARY:    -- on the first

                 day of November.

                            THE PRESIDENT:    The bill is laid

                 aside.

                            THE SECRETARY:    Calendar Number

                 190, by Senator Wright, Senate Print 2421, an

                 act to amend the Public Service Law, in

                 relation to annual reports for gas, electric,





                                                          643



                 steam, and water corporations.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 4.  This

                 act shall take effect immediately.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 53.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 191, by Senator Wright, Senate Print 2422, an

                 act to amend the Public Service Law, in

                 relation to the elimination of the mandate for

                 the Public Service Commission.

                            SENATOR PATERSON:    Lay it aside,

                 please.

                            THE PRESIDENT:    The bill is laid

                 aside.

                            Senator Bruno, that completes the

                 noncontroversial reading of the calendar.

                            SENATOR BRUNO:    Madam President,

                 can we at this time take up the rules report?

                            THE PRESIDENT:    All right.  The

                 Secretary will read.  And then we'll return to





                                                          644



                 the order of the reports of the standing

                 committees.  The Secretary will read.

                            THE SECRETARY:    Senator Bruno,

                 from the Committee on Rules, reports:

                            Senate Print 3109, directly for

                 third reading, an act to establish

                 administrative procedures to be followed in

                 relation to certain failure to file

                 applications.

                            SENATOR BRUNO:    On the bill,

                 Madam President.

                            This relates to the STAR program

                 that -

                            THE PRESIDENT:    Senator, could we

                 move to accept the report of the committee?

                            SENATOR BRUNO:    Madam President,

                 can we move to accept the report of the Rules

                 Committee?

                            THE PRESIDENT:    Thank you,

                 Senator.

                            All those in favor of accepting the

                 report of the Rules Committee, please say aye.

                            (Response of "Aye.")

                            THE PRESIDENT:    Opposed nay.

                            (No response.)





                                                          645



                            THE PRESIDENT:    The report is

                 accepted.

                            SENATOR BRUNO:    Is there a

                 message at the desk, Madam President?

                            THE PRESIDENT:    Yes, there is,

                 Senator.

                            SENATOR BRUNO:    I would move that

                 we accept the message.

                            THE PRESIDENT:    The Secretary

                 will read.

                            THE SECRETARY:    Calendar Number

                 237, by Senator Bruno, Senate Print 3109, an

                 act to establish the administrative procedures

                 to be followed, in relation to certain

                 failures to file applications for the school

                 tax relief STAR exemption.

                            THE PRESIDENT:    All those in

                 favor of accepting the message of necessity

                 signify by saying aye.

                            (Response of "Aye.")

                            THE PRESIDENT:    Opposed, nay.

                            (No response.)

                            THE PRESIDENT:    The message is

                 accepted.

                            Read the last section.





                                                          646



                            THE SECRETARY:    Section 5.  This

                 act shall take effect immediately.

                            SENATOR DOLLINGER:    Explanation.

                            THE PRESIDENT:    Senator, an

                 explanation has been requested.

                            SENATOR BRUNO:    Yes, Madam

                 President.  On the bill.

                            This relates to the STAR program,

                 property tax-cut relief, that we in this

                 chamber provided homeowners, seniors and other

                 homeowners, as part of the budget last year.

                 What this does simply is hold anyone that is

                 eligible for the STAR tax-cut deduction

                 harmless.

                            March 1st was the deadline for

                 filing, and some people were confused.

                 Seniors that signed up last year thought they

                 were signed up for life.  The law indicates

                 that they have to sign up every year, because

                 with seniors it's tied to income.

                            So this law, if it becomes law,

                 simply says that if you qualified last year as

                 a senior, you automatically qualify going

                 forward.  So it holds them harmless.

                            In addition, there are others in





                                                          647



                 the general population that will qualify now

                 for the first time.  They must sign up on

                 March 1st.  Many people won't have signed up

                 by March 1st, and you're going to hear from

                 them when they discover their omission.

                            This law states that those people

                 can file next year by March 1st and, if they

                 qualified this year, they will retroactively

                 get their deduction.  So there will not be a

                 loss to anyone.  So it truly holds anyone that

                 is eligible harmless.

                            I know that there's another version

                 of this in the other house that extends the

                 filing deadline to April 15th and then does

                 some other things.  You're hearing -- and if

                 you're not hearing, we're hearing from

                 assessors and county executives all over the

                 state that that will inhibit their ability to

                 put out their tax requests, the tax bills, if

                 we extend this deadline.  It's going to create

                 some chaos and some confusion.

                            So we would like not to add to the

                 confusion.  This bill doesn't.  So we would

                 ask for your indulgence on this bill and your

                 support.





                                                          648



                            And, Madam President, we would

                 invite, as well, anyone in the chamber that

                 sees fit to sign on this bill to do so.  And

                 the procedure is that you have to go to the

                 desk and execute the proper signature on the

                 proper document.

                            THE PRESIDENT:    Senator Gentile.

                            SENATOR GENTILE:    I believe,

                 Madam President, there's an amendment at the

                 desk.

                            THE PRESIDENT:    We have an

                 amendment at the desk, Senator.

                            SENATOR GENTILE:    I'd ask that it

                 be waived and I'd have an opportunity to

                 explain.

                            THE PRESIDENT:    The amendment is

                 waived.  You may proceed, Senator.

                            SENATOR GENTILE:    Thank you.

                            The amendment to the STAR exemption

                 bill would extend the simple extension of the

                 deadline to April 15th of this year, 1999.

                 This would replace the recoupment plan that is

                 in the original bill.

                            The plan allows the taxpayer to

                 get -- under the recoupment plan, the taxpayer





                                                          649



                 would have to get this year and next year's

                 STAR exemption in the year 2000 should they

                 miss -- should they miss the March 1st

                 deadline.  That's the bill that's on the

                 floor.

                            The amendment that we propose is to

                 allow homeowners to get their 1999 exemption

                 in 1999 and to allow them to have the real

                 dollar value of their exemption this year and

                 not the reduced real dollar value next year.

                 Our plan will do that by just simply

                 extending, as the Assembly bill does, simply

                 extending it to April 15th of this year.

                            This amendment in no way changes

                 the -- proposes a change in the protection

                 that the bill has for seniors.  In case they

                 forget to file their renewal application,

                 the -- our amendment would still allow for

                 that automatic exemption once it's first

                 filed.

                            It's -- Madam President, this STAR

                 program is such a new program that many

                 individuals and many homeowners are still not

                 familiar with the fact that an application

                 process is necessary and the deadline for an





                                                          650



                 application process.  I think that once this

                 becomes more of a standard procedure in this

                 state, we will not be in this situation for

                 years to come.

                            But yet, nevertheless, it's been

                 estimated that between 10 and 30 percent of

                 eligible homeowners have missed the March 1st

                 deadline for the STAR property tax exemption.

                            Now, while the Governor has put out

                 a wonderful plan in the STAR program, what he

                 has failed to do is to -

                            THE PRESIDENT:    Pardon me,

                 Senator Gentile.

                            SENATOR GENTILE:    Sure.

                            THE PRESIDENT:    Senator Padavan,

                 why do you rise?

                            SENATOR PADAVAN:    Will the

                 Senator yield to a question?

                            THE PRESIDENT:    Senator, do you

                 yield?

                            SENATOR GENTILE:    Yes.

                            THE PRESIDENT:    You may proceed,

                 Senator.

                            SENATOR PADAVAN:    What if a

                 homeowner fails to file by April 15th?





                                                          651



                            SENATOR GENTILE:    Well, I'm

                 hoping within the next six-week period -

                            SENATOR PADAVAN:    Well, what if

                 they fail to apply on April 15th?

                            SENATOR GENTILE:    On April 15th

                 will be the deadline, Senator.  What -

                            SENATOR PADAVAN:    They'll be out

                 of business; right?

                            SENATOR GENTILE:    What I'm

                 hoping, that in the next six weeks -

                            SENATOR PADAVAN:    Will the

                 Senator yield again?  Will the Senator yield

                 again, Madam President?

                            SENATOR GENTILE:    Yes, I will

                 yield.

                            THE PRESIDENT:    You may proceed.

                            SENATOR PADAVAN:    What you're

                 saying, of course, is that come April 15th, if

                 they've not filed, they're out of luck for the

                 tax year '99.

                            SENATOR GENTILE:    I'm hoping,

                 Senator, by this procedure today, we have six

                 more weeks to publicize the program that has

                 not been widely publicized up to now.  In

                 fact, Senator -





                                                          652



                            SENATOR PADAVAN:    Senator,

                 wouldn't it be better to allow -

                            SENATOR GENTILE:    Senator, if I

                 might, please.

                            SENATOR PADAVAN:    -- those

                 homeowners -- here's my final question.

                 Wouldn't it be better, under this proposal

                 that's before us, to allow those homeowners a

                 whole year with which to file and then get the

                 1999 property tax abatement in any event?

                            It would seem to me that the

                 present bill here, the basic bill we're

                 dealing with, provides more protection for the

                 homeowners in my district, who, by the way -

                 you know, we extended the earlier deadline to

                 March 1st.  Many of them caught on, came in.

                 Many will not have.  And by April 15th there

                 will still be a certain number who will not

                 have filed.

                            And it would seem to me, Senator -

                 and this is my question -- that you should

                 agree with a plan that gives them a whole

                 year, virtually, to reapply for 1999 property

                 tax abatement.  Don't you think that's the

                 better way to go?





                                                          653



                            SENATOR GENTILE:    Senator, I

                 don't think it's the better way to go, in this

                 sense.  Because they will be getting their

                 1999 exemption in the year 2000, reducing the

                 real dollar value of their exemption for this

                 year.

                            Seniors -- you're saying seniors

                 might be forgetful.  Well, we want to make

                 sure that they remember in the next six weeks.

                            THE PRESIDENT:    Senator Gentile,

                 again.

                            Senator Bruno, do you wish to be

                 recognized?

                            SENATOR BRUNO:    Will the Senator

                 stand for another question?

                            SENATOR GENTILE:    Yes, I will,

                 Senator.

                            THE PRESIDENT:    Go ahead,

                 Senator.

                            SENATOR BRUNO:    Thank you.

                            Do you understand that the bill

                 that's before us automatically covers

                 seniors -- automatically -- and the bill -

                 the amendment that you're proposing doesn't

                 deal with that issue at all?





                                                          654



                            SENATOR GENTILE:    It does -

                 we -

                            SENATOR BRUNO:    What is wrong, is

                 my question, with allowing seniors to be

                 automatically covered instead of having to go

                 through the procedure that you will force them

                 to go through again by April 15th?

                            SENATOR GENTILE:    Senator -

                            SENATOR BRUNO:    What's wrong with

                 the bill -

                            SENATOR GENTILE:    -- you are

                 denying -- you are denying seniors the benefit

                 of their exemption this year because of a

                 failure to promote -

                            (Cries of "No" from Republican side

                 of the aisle.)

                            SENATOR BRUNO:    You've answered

                 my question.

                            SENATOR GENTILE:    Senator, if I

                 might.  If I might.

                            SENATOR BRUNO:    Yes.

                            SENATOR GENTILE:    You are

                 delaying their benefit till next year, till

                 the year 2000.

                            SENATOR BRUNO:    As a matter of -





                                                          655



                            SENATOR GENTILE:    Senator, if you

                 want, I'll answer the question.

                            SENATOR BRUNO:    But -- but you

                 don't understand -

                            SENATOR GENTILE:    Senator -

                            SENATOR BRUNO:    -- the bill

                 that's on the floor, Senator.

                            SENATOR GENTILE:    What this -

                 what our amendment will do is give them their

                 exemption this year -- 1999 -- not, as

                 proposed, in the year 2000.  Give them the

                 real dollar value this year.

                            SENATOR BRUNO:    But, Senator,

                 it's apparent -

                            THE PRESIDENT:    Senator Bruno -

                            SENATOR BRUNO:    -- that you don't

                 understand the bill that's on the floor.  And

                 I'm not trying to be unkind.  But what you're

                 saying is wrong.

                            SENATOR GENTILE:    Senator -

                            SENATOR BRUNO:    Let me finish.

                 And I want to just finish my question.  Okay?

                            A senior that qualifies will

                 automatically be covered.  Okay?  That's

                 different than what you're saying.  They don't





                                                          656



                 have to wait -

                            SENATOR GENTILE:    No, no.  What I

                 said at the beginning, Senator -

                            SENATOR BRUNO:    They don't have

                 to wait for anything.

                            SENATOR GENTILE:    Senator, what I

                 said at the beginning is that our amendment -

                 and if you read our amendment, it does not

                 change the automatic acceptance for seniors.

                            What we're saying is that the

                 April 15th -- most people don't realize there

                 is a regular STAR program and an enhanced STAR

                 program.  And the regular STAR program is what

                 we're talking about in terms of the April 15th

                 deadline.

                            THE PRESIDENT:    Senator.

                            SENATOR GENTILE:    Yes.

                            THE PRESIDENT:    I'm going to

                 interrupt you again.  I believe Senator Bruno

                 had a question to complete.

                            Senator, are you completed?

                            SENATOR GENTILE:    I believe he

                 completed that question.

                            THE PRESIDENT:    Go ahead.

                            SENATOR GENTILE:    I believe he





                                                          657



                 completed that question.

                            And I want to make it clear that

                 our amendment does not change the provisions

                 of the bill that's on the floor, that seniors

                 would still receive the automatic exemption if

                 they have filed.

                            However -- however -- what this

                 does for those who are not 65 and have an

                 income of less than $60,000 and would fall not

                 under the enhanced STAR program but under the

                 regular STAR program, they are still cut out

                 of the program for March -- for the March 1st

                 deadline.

                            It is our proposal that we give

                 them an additional six weeks to file the STAR

                 property tax exemption application so that

                 those -- not the enhanced STAR, but the

                 regular STAR program applicants would get

                 their exemption and their tax break in 1999.

                            Now, I believe what has happened is

                 that there's a confusion as to what the

                 amendment says.  And the amendment does not

                 change the senior portion of the STAR program

                 and the automatic exemption.  The basic

                 exemption applies to some seniors who exceed





                                                          658



                 the $60,000 limit.  Those who exceed the

                 $60,000 limit do not come under the enhanced

                 STAR property tax provisions.

                            And those are the seniors that

                 we're talking about, and those who are not 65.

                 Those are the individuals, the homeowners that

                 we're trying to extend to April 15th to give

                 them the opportunity to file for this tax

                 exemption.

                            I have to say that if there was a

                 concerted effort to make this program known -

                 it was known among the seniors in great -- in

                 great measure, but not among the general

                 populace.  Even if you look at today's

                 Times-Union, there's a story in it that one of

                 the individuals said, "I thought it was only a

                 senior program, it's only for seniors."

                            It is not only for seniors.

                 Underscoring the point that we have not done

                 enough to publicize the fact that the STAR

                 property program is for homeowners regardless

                 of income.  The regular STAR property tax

                 program is available to homeowners regardless

                 of income and requires an application process.

                 An application must be filed.





                                                          659



                            Given those factors that have not

                 been well-publicized, we believe that an

                 application extension, as was done in the

                 other house, to April 15th would give us the

                 opportunity to publicize this among ourselves

                 within our districts and for the Governor to

                 publicize this program.

                            So that if we're serious about

                 giving homeowners the tax break we propose to

                 give homeowners, we could give them that tax

                 break this year by extending a simple

                 extension to April 15th.  And everybody knows

                 what April 15th is.  Everybody looks at taxes

                 and tax exemptions for April 15th.  It's the

                 perfect day to extend this benefit.

                            Senator, I think you confuse the

                 issue by saying that it affects the senior

                 exemption.  It does not, unless a senior did

                 not file last year or a senior makes more than

                 $60,000.

                            This is something that will keep us

                 true to what we proposed, and that's a tax

                 exemption for New Yorkers who qualify.  Let

                 New Yorkers who qualify apply for the next six

                 weeks.





                                                          660



                            Madam President, I'd ask that -

                 I'd ask that if we're serious about this we

                 pass this amendment and allow the April 15th

                 deadline to stand.

                            THE PRESIDENT:    Thank you,

                 Senator.

                            Senator LaValle, do you wish to be

                 heard on the amendment?

                            SENATOR LAVALLE:    Thank you,

                 Madam President.  I know that the sponsors of

                 this amendment are well-intentioned.  But I

                 think that Senator Bruno, through his

                 questions, and Senator Padavan, through his

                 questions, I think really brought to light why

                 the bill that is before us is an excellent

                 proposal.

                            Those of us I believe who have been

                 working to make people aware of this program

                 have known the frustration of getting to the

                 public to make them aware of the STAR program.

                 And whether we extend the date to April the

                 15th or May the 15th or June the 15th, there

                 will be people that will miss each of those

                 deadlines.

                            Under this bill, they will be held





                                                          661



                 harmless and still be able to receive a

                 benefit under the '99-2000 taxable year.

                 Under the proposed amendment, if you missed

                 April 15th or if we extended it again to

                 May 15th, those people that did not meet that

                 deadline are out.  O-U-T, out.  They would not

                 receive a benefit.

                            So this bill holds harmless the

                 seniors.  And a good question was asked in the

                 Rules Committee about the enhanced benefit and

                 holding those seniors harmless.  Because it's

                 sound public policy to continue those who

                 applied last year, to carry them forward

                 again.

                            But there are some other issues

                 that I think we need to bring up.  You

                 cannot -- in this state, each county has a tax

                 act.  And in the tax act are different

                 deadlines, dates:  Taxable status date, when

                 the roll is closed out, and so forth.

                            If we jeopardize and play around

                 with a date, we are jeopardizing other things.

                 The tax roll may not be closed out in time for

                 the school districts to know what is their

                 assessed value when they form a budget.





                                                          662



                            We also play around and jeopardize

                 the grievance procedure.  So there are other

                 taxpayers that will be put in harm's way

                 because the grievance procedure will be

                 jeopardized.

                            So this proposal is a very simple,

                 straightforward proposal that allows the tax

                 assessors throughout the state to be able to

                 deal with their deadlines within their tax

                 acts.  The school districts will know what the

                 assessed values are.  Those individuals that

                 want to grieve their assessments will be able

                 to do so under an established procedure and

                 time period under their tax act.

                            Because what we will do as

                 legislators is push off the grievance

                 procedure.  And we're going to have people

                 coming in and saying, "Well, we didn't know

                 you changed things in the time period for the

                 grievance procedure.  And now I can't grieve

                 my taxes."

                            So I think this bill does the job.

                 It holds harmless those seniors for the

                 enhanced program and protects those for the

                 basic program so that they will be able to





                                                          663



                 receive their basic exemption for the '99-2000

                 and the 2000-2001 year.

                            THE PRESIDENT:    Senator

                 Dollinger.

                            SENATOR DOLLINGER:    Madam

                 President, I saw Senator Libous's hand before

                 mine.  So I believe he's next up on the list.

                            SENATOR LIBOUS:    It's all yours,

                 Senator.

                            SENATOR DOLLINGER:    Thank you.

                            THE PRESIDENT:    You may proceed.

                            SENATOR DOLLINGER:    Madam

                 President, I rise to speak in favor of this

                 amendment.

                            And I think there are a couple of

                 things that we need to keep in mind as we talk

                 about this.  First of all, this issue of tax

                 status date has been a troubling issue for us

                 for a long time.  I know that there are a

                 number of cases that arise -- and, Senator

                 Balboni reminds me, for some reason more of

                 them now, apparently, (unintelligible).  The

                 question of taxable status date; that is, the

                 date under which the assessor has to be able

                 to say, Here's the property, is it subject to





                                                          664



                 exemptions, not-for-profit exemptions or

                 senior exemptions?

                            We've been through this many times

                 as we've tried to figure out should we come up

                 with some adjusted tax status date, should we

                 allow retroactive reimbursement if a

                 not-for-profit institution acquires land in

                 the middle of the year and it exceeds the tax

                 status date.

                            This has always been a troubling

                 issue for us to deal with, because Senator

                 LaValle properly points out there are some

                 days, if you're on the right side of the day

                 or apply on that date, you get it, and if you

                 don't, you miss it by a day, you're gone.

                            However, I still think that under

                 this proposal -- and I appreciate the Majority

                 bringing out a bill that will increase the tax

                 advantages from the STAR program to as many

                 people as possible.  But there are two things

                 about the bill, the approach that the Majority

                 has taken, which I would just remind everybody

                 will slightly vary the terms of the STAR

                 program.

                            The first is one that I mentioned





                                                          665



                 in the Rules Committee.  And I'm willing to

                 abide by that.  That is, because it's

                 income-sensitive -- that is, you have to make

                 less than $60,000 -- there may be some seniors

                 who qualified last year, made less than

                 $60,000, who this year would not be eligible

                 for the enhanced STAR program because they

                 make more than $60,000.  And I understand -

                 we talked about this in the Rules Committee.

                 The chairman of the Rules Committee made it

                 clear that there's a valid public policy that

                 says, okay, we're going to fudge that a

                 little.  We're going to give some people who

                 would not otherwise qualify this year, for

                 administrative convenience, because we can't

                 quite be as sensitive with the law as we want,

                 we're going to expand that and give them the

                 benefit of that for a second year, even though

                 they may not be entitled to it.

                            But let me just mention one other

                 consequence of this approach.  And that is

                 Senator Bruno, in explaining the bill, pointed

                 out that the seniors will benefit.  That isn't

                 technically correct.  Who will benefit?  The

                 property benefits.





                                                          666



                            The way the exemption works is that

                 if you got the enhanced STAR benefit, it was

                 attached to the property.  It's an exemption

                 that runs with the property.  If you sell the

                 property the day after you get the exemption,

                 you -- the new owner gets the benefit of the

                 exemption for the following year and, under

                 the bill as proposed by the majority, would

                 get the benefit for two years.

                            So you have a senior citizen who

                 sells their property sometime during the

                 course of the last year, and they have an

                 enhanced STAR exemption on that property, they

                 are -- in some cases, their assessment is

                 reduced by $50,000.  We last year accelerated

                 the enhancement so that there's a $50,000 tax

                 benefit with that.  Under the bill as drafted

                 by the majority, even if I bought that

                 property, I would get the benefit of the

                 senior exemption now for a period of almost

                 two full years.

                            When we discussed this issue in

                 committee -- and I understand the concern of

                 members that say in this approach we can, for

                 valid reasons of public policy, fudge a little





                                                          667



                 at the extremes to allow some people who

                 wouldn't otherwise qualify because of income

                 to get the benefit.  But understand, we may

                 also take many people who would not ever be

                 entitled to the enhanced STAR because they're

                 not old enough, we may give them the benefit

                 as well.

                            So as a consequence of that, we

                 have a system, as proposed in the underlying

                 bill, that has a fudge factor that may give

                 some people the benefit that they're not

                 otherwise entitled to; those whose income has

                 increased or those who buy property from

                 seniors whose property already qualified.

                            Or we have the other approach,

                 which is to create an absolute continuation of

                 the tax status date.  I'll agree with Senator

                 LaValle, it is difficult to establish an

                 absolute cutoff.  But I would simply suggest

                 that in this state we have absolute cutoff

                 dates for taxable status on almost every other

                 thing that deals with real property:  normal

                 senior citizen exemptions, veterans'

                 exemptions, not-for-profit exemptions.  They

                 all must be filed on the tax status date.





                                                          668



                            So the notion that we have a cutoff

                 date doesn't bother me.  And I will confess,

                 Senator LaValle, the question of whether we

                 should bump it back to April 15th, how much

                 effect that will have on the assessors, I'll

                 accept your explanation that it causes them

                 significant concern.

                            But it seems to me that the

                 creation, the mere extension of the tax cutoff

                 date is not inconsistent with the prior policy

                 of this state.  It will open the door to some

                 people who would not otherwise get the benefit

                 this year to get it.

                            I would hope -- and I agree with

                 Senator Gentile -- that if we aggressively

                 promoted this more, we might pick up that

                 additional 20 percent of people that would

                 qualify.

                            And, quite frankly, I think this

                 offers a different approach.  I won't say it's

                 ironclad or guaranteed to do everything that

                 we would all want it to do.  But I certainly

                 think the amendment has a clarity attached to

                 it that will, rather than sort of fudge our

                 public policy as the underlying bill might do





                                                          669



                 or might accomplish, inadvertently or

                 otherwise, the notion of having an absolute

                 cutoff date is not necessarily a bad idea.

                            I would also point out to everybody

                 that while the assessors may be concerned

                 about their obligations for city, county, and

                 town taxes, the STAR program only affects

                 school taxes.  Those school tax warrants

                 aren't issued until late August.  It would

                 seem to me, although it accelerates the

                 process for assessors, they'd still have four

                 full months to get the assessments completed

                 so that we could certify the school tax bills.

                            It's a complicated issue.  I think

                 they're complicated questions.  But I think

                 the proposal by Senator Gentile continues a

                 tradition in this state, one that has a

                 clarity and a finality attached to it that we

                 apply everywhere else and, in retrospect,

                 seems a slightly better approach than what the

                 majority offers.

                            I would simply point out I intend

                 to vote for this amendment.  And if it fails,

                 I'll vote for the underlying bill as well.

                            SENATOR LIBOUS:    Madam





                                                          670



                 President -

                            THE PRESIDENT:    Senator

                 Marcellino, I believe you're next.  Do you

                 wish to be recognized?

                            SENATOR MARCELLINO:    I believe

                 Senator Libous was ahead of me.  But he's -

                 he's out -

                            SENATOR LIBOUS:    Go ahead.

                            THE PRESIDENT:    Senator

                 Marcellino.

                            SENATOR MARCELLINO:    Well, as

                 long as I have Senator Libous's permission.

                 As you know, Madam President, I always seek

                 his permission to speak.  Otherwise, I simply

                 can't.

                            I'm going to vote against the

                 amendment.  I know that may shock some people.

                 But I just happen to think that this issue is

                 so confusing and has been so muddied that any

                 further extensions, any further delays in

                 getting this thing resolved in a positive way

                 is only going to add to the confusion.

                            I object to the comment that there

                 has not been an attempt or there has not been

                 proper notification out there to the general





                                                          671



                 public on behalf of the administration and on

                 behalf of we as individual legislators.  I

                 personally in my district have received close

                 to seven different mailings, just in the last

                 few weeks, from every level of government,

                 from every county legislator, from every

                 county executive, from village mayors and the

                 like, going out and telling people that this

                 program is due and that this deadline was

                 here.

                            Senator Bruno's bill resolves this

                 issue in a fair and equitable manner.  It

                 allows the assessors to go on and do their

                 business in a fair and equitable way without

                 inhibiting them and without causing further

                 delays and further confusions with all the

                 subdivisions of government that we have to

                 deal with.

                            Let's end this process.  Let's move

                 ahead in a positive direction, vote down the

                 amendment and vote up Senator Bruno's bill.

                            Thank you, Madam President.

                            THE PRESIDENT:    Senator Padavan,

                 why do you rise?

                            SENATOR PADAVAN:    Madam





                                                          672



                 President, on the bill.

                            THE PRESIDENT:    We're not on -

                 Senator, we are -

                            SENATOR PADAVAN:    On the

                 amendment, excuse me.

                            I was listening to Senator

                 Dollinger's comment relevant to what he

                 perceived would be an inadvertent application

                 of a senior citizen's tax abatement to a

                 person who really should not qualify for it by

                 virtue of income or age -

                            THE PRESIDENT:    Senator Padavan,

                 I'm going to interrupt you, sir, because

                 Senator Rath had requested to speak first.  I

                 wanted to ask you why you were rising.

                            But, Senator Rath, it's appropriate

                 for you to speak first.  Go ahead, Senator.

                            SENATOR RATH:    Senator -- I'll

                 yield my time so Senator Padavan can continue

                 his line of thinking, if I can have your

                 assurance that I'll be the next speaker.

                            THE PRESIDENT:    You have that

                 assurance.

                            SENATOR RATH:    Thank you, ma'am.

                            THE PRESIDENT:    Senator Padavan,





                                                          673



                 go ahead.

                            SENATOR PADAVAN:    Thank you very

                 much.

                            Senator Dollinger was explaining

                 his view on the extension provision as it

                 might relate to a senior citizen who sold a

                 home in the two-year cycle that we're

                 referring to and the new owner did not really

                 qualify by virtue of age or income.

                            And what I simply wanted to do so

                 is draw his attention to the underlying bill

                 that we're amending which specifically

                 addresses that issue.  It says, "The enhanced

                 STAR exemption shall not be continued on the

                 1999 assessment roll where -- without an

                 application where the assessor determines

                 there are one or more new owners of the

                 property," and so on and so on.

                            So that problem that you cited is

                 addressed in the underlying bill, Senator.

                 And I hope you understand that.  So -

                            SENATOR DOLLINGER:    Page and

                 number?

                            SENATOR PADAVAN:    Yeah, the front

                 page.  First page.





                                                          674



                            THE PRESIDENT:    Senator Rath.

                            SENATOR RATH:    Thank you, Madam

                 President.

                            The Assessors Association sent me a

                 letter on the 24th of February indicating

                 their strong opposition to the extension of

                 the deadline for accepting STAR applications.

                 And some of the points they made I thought

                 were important for us to recognize.

                            Senator LaValle went to some effort

                 to speak to those issues and the timely manner

                 that the assessors need -- and in the timely

                 manner in which the assessors need to finalize

                 their tentative assessment rolls.  The dates

                 varying differently, but some are as early as

                 April 9th to 15th in order to be able to get

                 those data files completed.

                            However, there is another point to

                 that, that it would be impossible for them to

                 do that if indeed this deadline was extended,

                 as assessors are already behind in their

                 fieldwork collecting new construction, due to

                 the volume of people coming into their offices

                 to file the STAR applications.

                            Recognizing that this will have a





                                                          675



                 very negative impact on the property taxes if

                 they cannot gather the information and

                 document the new construction.  That's new

                 money that will not be coming in if the

                 assessors are not able to go out there and do

                 that work because they are busy with a STAR

                 extension that they had not anticipated.

                            So I think for all good reasons, I

                 think that the bill that's before you from

                 Senator Bruno is the one that we should

                 support.  And I urge my colleagues to do so.

                            THE PRESIDENT:    On the amendment.

                 All those in favor, please signify by saying

                 aye.

                            SENATOR DOLLINGER:    Party vote

                 with exceptions.

                            THE PRESIDENT:    The Secretary

                 will call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 24.  Nays

                 33.  Party vote.

                            SENATOR PATERSON:    Madam

                 President.

                            THE PRESIDENT:    Senator Paterson.

                            SENATOR PATERSON:    The -- keep





                                                          676



                 following me.  The acting leader asked for

                 exceptions on the party vote.

                            THE PRESIDENT:    Senator, could

                 you speak up, please?

                            Please identify yourself -

                            SENATOR DOLLINGER:    Madam

                 President, when I made a -

                            THE PRESIDENT:    Senator, please

                 identify the exceptions.

                            SENATOR PATERSON:    The

                 exception's identified by raising their hand,

                 Madam President.

                            THE PRESIDENT:    All right.  And

                 you may proceed.

                            SENATOR PATERSON:    In other

                 words, you should ask the exceptions to please

                 raise their hands.

                            THE PRESIDENT:    All the

                 exceptions have been noted.

                            THE SECRETARY:    Ayes 23; nays 34.

                 Party vote with an exception.

                            THE PRESIDENT:    The amendment is

                 defeated.

                            On the bill.  Read the last

                 section.





                                                          677



                            THE SECRETARY:    Section 5.  This

                 act shall take effect immediately.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE PRESIDENT:    Senator Libous.

                 To explain your vote?

                            SENATOR LIBOUS:    Thank you, Madam

                 President.  I'd like to explain my vote.

                            And I want to applaud Senator Bruno

                 and the Governor for coming up with this

                 creative way.

                            I'm not sure I understand what my

                 colleagues were trying to do with the

                 amendment, because I thought our role here was

                 to make an opportunity, to give as many people

                 as possible this tax break.

                            You know, it's always very simple

                 in this chamber and the other house when money

                 is taken away from the taxpayer.  But for some

                 reason, why would we want to make it difficult

                 to give it back to them?

                            This proposal that we're voting on

                 I think is very simple.  It makes all of the

                 assessors happy because what we were doing is

                 putting -- by doing an extension, you're





                                                          678



                 putting an unburdened mandate, a mandate that

                 you're not paying for -- they have to bring in

                 more people to meet the deadline date.

                            This is simple, and yet it gives an

                 opportunity to those senior citizens, those

                 folks who are not senior citizens, to receive

                 something back from the government.  And that

                 something happens to be their tax dollars.

                            Madam President, I vote aye.

                            THE PRESIDENT:    Senator, you will

                 be recorded as voting in the affirmative.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 to explain my vote.

                            I want to commend Senator Libous on

                 his comments, because he is very accurate and

                 right on.

                            I want to explain to my colleagues

                 that the bill that's before us is a Governor's

                 program bill.  And the Governor, in his

                 wisdom, put this bill before us with a message

                 of necessity, to help the people, to clarify

                 for the people that they're not going to lose

                 a benefit.  And this is the only bill that's

                 going to get signed.  And no other bill is





                                                          679



                 going to get signed.

                            So if you want to provide relief, I

                 am sharing with you that this is the bill that

                 must pass both houses and get sent to the

                 Governor for his signature, because the

                 Governor sent it to us.

                            And I want to commend the Governor

                 and applaud the Governor for providing this

                 relief and this comfort level and to alleviate

                 whatever confusion that's out there for people

                 that will have lost their benefit otherwise.

                            And I would wager that there are

                 people in this chamber that, unless this bill

                 becomes law, are going to lose the benefit.

                            THE PRESIDENT:    Senator, you are

                 recorded as voting in the affirmative.

                            The Secretary will announce -

                 Senator Paterson.

                            SENATOR PATERSON:    Thank you,

                 Madam President.

                            I just wanted to point out -- and

                 I'm voting in favor of this bill, that the -

                            (Sound of applause.)

                            SENATOR PATERSON:    Thank you.

                            THE PRESIDENT:    Thank you,





                                                          680



                 Senator.

                            You may proceed.

                            SENATOR PATERSON:    Maybe I should

                 just stop while I'm ahead.

                            (Laughter.)

                            SENATOR PATERSON:    But I just

                 wanted to point that the Assembly has a bill,

                 the Senate has a bill.  Presumably they will

                 meet in conference, and that's the way that

                 the final determination would be made as to

                 which bill would be passed in both houses.

                            As to which bill would actually

                 would be signed, I'd presume neither, since

                 neither of the bills has been passed in both

                 houses.

                            So hopefully at this point there

                 will be some relief of those who have been

                 benefited by the program in the very near

                 future.

                            THE PRESIDENT:    Senator, you're

                 recorded as voting in the affirmative.

                            And the Secretary will now announce

                 the results.

                            THE SECRETARY:    Ayes 57.

                            THE PRESIDENT:    The bill is





                                                          681



                 passed.

                            Senator Bruno.

                            SENATOR BRUNO:    Madam President,

                 can we at this time take up the controversial

                 reading of the calendar.

                            (Laughter.)

                            THE PRESIDENT:    Without further

                 comment, the Secretary will read.

                            THE SECRETARY:    Calendar Number

                 52, by Senator DeFrancisco, Senate Print 863,

                 an act to amend the Social Services Law, in

                 relation to the transportation of certain

                 persons.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect immediately.

                            THE PRESIDENT:    Call the roll.

                            SENATOR PATERSON:    Explanation.

                            THE PRESIDENT:    All right.

                 Senator, an explanation has been requested.

                            SENATOR DeFRANCISCO:    This is an

                 identical bill that we've passed the last two

                 years which simply says that if you are

                 receiving transportation as part of your





                                                          682



                 Medicaid benefits, that that transportation,

                 if you live along a public transportation

                 route and you are physically and mentally able

                 to take the public transportation, you should

                 do so.

                            The concept is, number one, it's

                 the lowest-cost transportation.  Number two,

                 it provides more funding for public

                 transportation, which comes to us annually

                 looking for more funds to exist.  And in my

                 judgment, it's a win-win proposition.

                            And lastly, the bill does nothing

                 more than require people who are receiving

                 Medicaid to do exactly what those other people

                 do with a fixed income, they rely on public

                 transportation.  Nothing more, nothing less.

                            And the bill's passed the last two

                 sessions, and hopefully it will pass this

                 session.

                            THE PRESIDENT:    Senator Lachman,

                 I believe.

                            SENATOR LACHMAN:    Will the

                 distinguished Senator from Syracuse yield to a

                 question?

                            THE PRESIDENT:    Senator, do you





                                                          683



                 yield?

                            SENATOR DeFRANCISCO:    I will,

                 yeah.

                            (Laughter.)

                            SENATOR LACHMAN:    As a former

                 academic, I sometimes attempt not to sound

                 like an academic.  And in this bill, I think

                 of my Aunt Sylvia, who's a senior citizen.

                 And the way it's worded, Senator DeFrancisco,

                 you expect a senior citizen who thinks she

                 needs emergency care and is on Medicaid to go

                 to the closest subway station or bus stop in

                 New York City to get relieved of any pain or

                 illness she might have?

                            SENATOR DeFRANCISCO:    Is your

                 Aunt Zilia on Medicaid?

                            SENATOR LACHMAN:    There are many

                 Aunt Sylvias that are on Medicaid.

                            SENATOR DeFRANCISCO:    Okay,

                 Sylvia, I'm sorry.

                            SENATOR LACHMAN:    (Laughing).

                            SENATOR DeFRANCISCO:    The point

                 of the matter is if they're physically capable

                 of doing so.  Obviously, in an emergency

                 situation, no one is going to tell a Medicaid





                                                          684



                 recipient to stand on a bus corner or to run

                 down to the subway and try to get there.

                            This is for regular medical

                 treatment that people are receiving, and

                 that's the intent of the bill.

                            In a situation where it's an

                 emergency, I don't think anyone would suggest

                 it's a physically capable situation to sit

                 there and wait until they're seriously in need

                 of medical treatment.

                            SENATOR LACHMAN:    Will the

                 Senator continue to yield?

                            SENATOR DeFRANCISCO:    Yes.

                            SENATOR LACHMAN:    Okay.  It

                 specifically says, Senator, to obtain

                 emergency care.  You're aware of that?  It's

                 your bill.

                            SENATOR DeFRANCISCO:    Yes, I am.

                            SENATOR LACHMAN:    Okay.  Will you

                 continue to yield?

                            Are you aware of the fact -

                            THE PRESIDENT:    Senator, you do

                 continue to yield, Senator DeFrancisco?

                            SENATOR DeFRANCISCO:    Yes.

                            THE PRESIDENT:    Go ahead,





                                                          685



                 Senator.

                            SENATOR LACHMAN:    -- that in at

                 least three of the boroughs of the city of New

                 York -- I'm not quite sure of Manhattan -

                            SENATOR DeFRANCISCO:    Well, may I

                 go back to the last question?

                            SENATOR LACHMAN:    Sure.

                            SENATOR DeFRANCISCO:    The first

                 section of the bill, which is already law,

                 says emergency medical care.

                            SENATOR LACHMAN:    Right.

                            SENATOR DeFRANCISCO:    The

                 "provided that" says -- that I've added in

                 this bill does not deal with emergency medical

                 care.

                            And you were aware of that, were

                 you not?

                            SENATOR LACHMAN:    I'm aware of

                 that as well.

                            SENATOR DeFRANCISCO:    So you

                 understand fully, before asking that question,

                 that my bill wasn't intending for someone to

                 stand on a corner if they need emergency

                 medical care.

                            SENATOR LACHMAN:    I have two





                                                          686



                 corollary questions.  If -

                            THE PRESIDENT:    Senator, please

                 address your comments to the chair.  Would the

                 Senator -

                            SENATOR LACHMAN:    Madam Chair,

                 it's always a pleasure to address my comments

                 to you.

                            THE PRESIDENT:    Thank you.  I

                 appreciate that.

                            SENATOR LACHMAN:    Will the

                 Senator continue to yield?

                            SENATOR DeFRANCISCO:    Absolutely.

                            SENATOR LACHMAN:    All right.  The

                 two corollary questions dealing with this is

                 that in New York City, even if a senior

                 citizen whose name is not Aunt Sylvia has a

                 problem -- that senior sometimes has to go up

                 30 stairs, 60 stairs, 70 flights of stairs in

                 order to get to a train -- now, this bill the

                 way it is written I think can make it much

                 more difficult for a senior to get the type of

                 care that he or she needs, whether the senior

                 is called Sylvia or Sam.

                            SENATOR DeFRANCISCO:    There are

                 some seniors in this chamber that are in





                                                          687



                 better shape than you or I and that could run

                 up nine flights of stairs -

                            SENATOR MARCHI:    (Raising hand.)

                            (Laughter.)

                            SENATOR LACHMAN:    John -- John

                 Marchi, Friday morning at the corner of Bay

                 Parkway and 86th Street.

                            SENATOR DeFRANCISCO:    So this

                 bill is not limited or focused on seniors.

                 It's focused on those who are capable.  If an

                 individual is 20 years old or 80 years old and

                 they can't make those stairs, they are not

                 physically capable.  Consequently, they would

                 not fit under this definition.

                            SENATOR LACHMAN:    Madam Chair,

                 it's a pleasure to look at you.  May I -- one

                 final question -

                            THE PRESIDENT:    -- don't have to

                 request permission to be -

                            SENATOR LACHMAN:    Okay, thank you

                 kindly.

                            How is a person, senior or not

                 senior, how does that person realize that he

                 or she is capable of doing this?  Because when

                 a person gets some symptoms, they're in a





                                                          688



                 state of panic, whether they're 80 years old

                 or 50 years old.

                            SENATOR DeFRANCISCO:    The

                 Department of Social Services will make a

                 determination if someone is required to take

                 public transportation, based upon their

                 status.

                            In the event that they disagree

                 with that, as in any decision made by the

                 Department of Social Services, they could have

                 a fair hearing.

                            SENATOR LACHMAN:    Before or after

                 the symptoms occur?

                            SENATOR DeFRANCISCO:    No.  If

                 it's an emergency situation, Senator -

                            SENATOR LACHMAN:    But who decides

                 on whether it's an emergency situation?

                            SENATOR DeFRANCISCO:    If it's an

                 emergency situation, I think anybody would

                 understand that the senior or anyone else is

                 going to take the quickest transportation in

                 an emergency.

                            SENATOR LACHMAN:    Including the

                 Department of Social Services throughout the

                 state?





                                                          689



                            SENATOR DeFRANCISCO:    Absolutely.

                            THE PRESIDENT:    Senator -

                            SENATOR DeFRANCISCO:    Absolutely.

                            THE PRESIDENT:    -- are you

                 finished?

                            Please direct all comments to the

                 chair.

                            Senator DeFrancisco, you may

                 continue.

                            SENATOR DeFRANCISCO:    And then

                 there will be a determination as to future

                 treatment after the emergency.  But this, as I

                 mentioned before, does not deal with emergency

                 situations, the amendment.

                            THE PRESIDENT:    Senator Paterson,

                 do you wish to be heard?

                            SENATOR PATERSON:    Not publicly,

                 Madam President.

                            (Laughter.)

                            SENATOR PATERSON:    Thanks,

                 though.

                            THE PRESIDENT:    Senator Stavisky.

                            SENATOR STAVISKY:    If I may be

                 permitted to remain seated, I would appreciate

                 it.





                                                          690



                            THE PRESIDENT:    Of course,

                 Senator.  Go ahead.

                            SENATOR STAVISKY:    In part of my

                 district, we have the No. 7 line, which is an

                 elevated line and will require individuals to

                 climb substantial numbers of stairs.  Now,

                 this may not be construed as an emergency

                 situation.  But it definitely causes great

                 pain and suffering to anyone who is not able

                 to climb the stairs.  And I believe that the

                 No. 7 line is an elevated line over much of

                 its tracks.

                            And I believe that this legislation

                 will require issuance of a statement of

                 medical necessity for situations which are in

                 a sense brutal for many individuals.  Come

                 with me to western Queens where, from downtown

                 Flushing to the city line, there is this No. 7

                 line which consists of elevated tracks.  It

                 will not be possible for all individuals to

                 require and expect a certificate of medical

                 necessity.

                            I think that this legislation will

                 indirectly impair the ability of such

                 individuals to take advantage of the access to





                                                          691



                 the subway line, which is really an elevated

                 structure.  And I believe that this is -- this

                 is a -- an incongruous impediment to access to

                 rapid transit.

                            There are trains all along the No.

                 7 line, but the trains do not necessarily meet

                 the expectations or the ability of individuals

                 wishing to use mass transit.  Climbing up and

                 climbing down will impair the ability of

                 citizens and noncitizens to have access to

                 this public rapid transit.  Which, if you can

                 get to the train, is one thing.  But if you

                 can't reach the train because of the elevated

                 structure, I believe that impairs the ability

                 of this legislation to do the right thing for

                 so many people.

                            For these reasons, I intend to

                 oppose this bill as it's presently written.

                 So it will not be a question of a certificate

                 of medical necessity in each case, but,

                 rather, it is necessary to recognize the

                 reality that a subway route in your

                 neighborhood, which is not truly a subway

                 route but rather is on an elevated structure,

                 will impair the ability of tens of thousands





                                                          692



                 of people to take advantage of the intent of

                 the legislation.

                            For this reason I will vote against

                 this bill, as I have done on a previous

                 occasion two years ago, and ask that members

                 consider this situation of an elevated train

                 which is not in close proximity to the

                 constituents' needs.

                            Thank you, Madam President.

                            THE PRESIDENT:    Thank you,

                 Senator.

                            Senator Paterson.

                            SENATOR PATERSON:    Madam

                 President, would the Senator yield for a

                 question?

                            SENATOR DeFRANCISCO:    Yes.

                            THE PRESIDENT:    He yields.  You

                 may proceed, Senator.

                            SENATOR PATERSON:    Senator, the

                 notion of this bill is quite apt.  People who

                 are able to meet these appointments should be

                 able to do them.  And if they can ride the

                 buses and the subway, they certainly should.

                            But my question is, how does your

                 legislation address those kind of transient





                                                          693



                 situations where, for instance, a subway might

                 be three or four blocks away from where an

                 individual lives, but with a significant

                 snowstorm that trip that could be made by a

                 person one day could be an emergency in the

                 sense that they could not get to that

                 transportation on another day?

                            And I don't know, in an ambiguous

                 situation such as that, how that is -- there

                 is any kind of regulation that can provide for

                 any kind of guidance in that situation.  And

                 to adjudicate these cases administratively, in

                 my opinion, would probably cost more money

                 than would be saved by implementing this type

                 of regulation.

                            So my question is, how do you

                 address those situations that are -- have an

                 inertia to them, that are not static?

                            SENATOR DeFRANCISCO:    First of

                 all, these are being addressed voluntarily in

                 some counties, including Onondaga, where I

                 come from.  And basically it's not creating a

                 hardship to anybody that's physically or

                 mentally capable of using public

                 transportation.





                                                          694



                            And what it's doing is saving

                 dollars from cabs that were used previously,

                 which dollars are being used for, guess what,

                 medical care.  So Aunt Sylvia can get medical

                 care once she gets there, because those who

                 are capable of using the lower-cost

                 transportation are doing it.

                            Now, no question, any legislation,

                 if you're going to look at one exception -

                 there's a major snowstorm.  What do we do

                 then?  You can't legislate by exception.  In

                 situations like that, obviously, if that

                 person cannot make it on that day because of

                 the circumstances, then I would imagine the

                 Social Services Department could make an

                 exception on that day.

                            But generally speaking, when you

                 are capable, just like a low-income individual

                 who doesn't have the luxury of Medicaid is

                 capable to use the lowest-cost transportation,

                 so dollars are used for medical care rather

                 than transporting people to the medical care.

                            THE PRESIDENT:    Senator Duane.

                            SENATOR DUANE:    Thank you very

                 much, Madam President.





                                                          695



                            THE PRESIDENT:    You're welcome.

                            SENATOR DUANE:    On the

                 legislation.  Although if the sponsor cares to

                 respond, I would -- with your permission, that

                 would be more than welcome.

                            THE PRESIDENT:    There will be no

                 need for my permission.  Go ahead, Senator.

                            SENATOR DUANE:    I thought there

                 was always need for your permission, Madam

                 President.

                            (Laughter.)

                            THE PRESIDENT:    The sponsor can

                 respond.  The sponsor can respond.  Go ahead.

                            SENATOR DUANE:    While I

                 understand the intention to bring down costs

                 and to encourage use of mass transportation,

                 both of which I think are laudable goals, I

                 think that this legislation is really too

                 much.  And in fact, there might be better ways

                 to achieve the goal, by regulation or other

                 ways, which might take into account the very,

                 very complicated decisions that people make

                 when it comes to their health, how it is that

                 they access health care.

                            And probably most specifically what





                                                          696



                 I wanted to raise was health care when it's a

                 parent or a foster parent or a grandparent or

                 a guardian dealing with the health of a child.

                 As many of us know, many of the people covered

                 by Medicaid are in fact children.  And I think

                 that a mom or a dad or an adult needs to be

                 able to have the full range of options on how

                 it is that they provide access to health care

                 for their children.

                            In addition, it may not always be

                 perfectly well known on the spot whether or

                 not a particular health-care situation is an

                 emergency or not.  And I don't think that it's

                 appropriate to, in many cases, hold

                 accountable after the fact actions which were

                 taken with the best interests of what could

                 have been the health needs of a child.

                            And so that's why I think that this

                 is much too much to do it legislatively and in

                 this manner on an issue which, yes, is

                 important as it applies to mass transportation

                 and health care and Medicaid costs.  But I

                 don't -- I just don't think that this is the

                 way to go.

                            Thank you, Madam President.





                                                          697



                            THE PRESIDENT:    Senator Waldon.

                            SENATOR WALDON:    Thank you very

                 much, Madam President.

                            I don't want to belabor this too

                 long.  But if the gentleman would just let me

                 preface a question, I would be greatly

                 appreciative, Madam President.  I will ask a

                 question with a few brief remarks before.

                            THE PRESIDENT:    Senator, go ahead

                 on the bill.

                            SENATOR WALDON:    Just sit,

                 Senator, until I get to the point.

                            Where I live, the area that I'm

                 honored to represent, all of the Rockaways is

                 in that area.  In the Rockaways is the

                 heaviest concentration of senior citizens in

                 any small geographical area in the state of

                 New York.

                            When you were speaking on your

                 bill, I was wondering what happens in an ice

                 storm.  And someone raised that -- I believe

                 Senator Paterson -- about inclement weather.

                            But what happens in a snowstorm or

                 heavy rain and the senior citizen is, as one

                 senior citizen I know, 84 years of age, from





                                                          698



                 the Caribbean, not too capable in terms of

                 language to communicate in the native tongue

                 of America, and has to walk great distances to

                 where the bus stop is, has to walk an

                 extraordinary distance to get to where the

                 elevated subway is and then up the stairs in

                 order to get the medical facility?

                            What happens in Cambria Heights,

                 where there's one bus line going through the

                 area from Murdoch to 121st Avenue?  What

                 happens when there's such distances and the

                 weather is inclement?

                            What happens when the person

                 affected is also an octogenarian and has to

                 make a decision:  I know I'm sick.  For

                 80-some years I've been able to determine when

                 I'm sick.  But considering the bill that was

                 passed, sponsored by Senator DeFrancisco, I

                 now must call my doctor to see whether or not

                 I'm sick enough to call for the EMS vehicle,

                 or whatever would transport her to the medical

                 facility?

                            So my question, Senator, is what

                 would happen under those extraordinary

                 circumstances.  And I appreciate your





                                                          699



                 response.

                            SENATOR DeFRANCISCO:    I've

                 already answered the question.  I think the

                 question was already raised concerning the ice

                 storm, and I indicated that in emergency

                 situations individuals could take other

                 transportation.

                            But this is no different than

                 someone of low income or someone who has to

                 rely on public transportation anyway.  It's

                 simply for someone who is on a fixed

                 transportation route, that's capable of

                 getting on the transportation, they should use

                 it.

                            And, you know, it's not intended to

                 be punitive.  I mentioned it's used

                 voluntarily in our county.  It's saved an

                 awful lot of money for health care.  And those

                 people that have complained that they can't,

                 because of whatever reason, are entitled to a

                 hearing.  And in most cases, they're

                 accommodated.

                            It's simply a way to try to reduce

                 costs and indirectly to provide more funds for

                 mass transportation so it's there for





                                                          700



                 everybody, to benefit everybody.

                            SENATOR WALDON:    Madam President,

                 I apologize.  I said I would ask one question.

                 If you would ask the gentleman would he yield

                 to just one more -

                            THE PRESIDENT:    Will the Senator

                 yield?

                            SENATOR WALDON:    -- I guarantee I

                 won't ask another.

                            SENATOR DeFRANCISCO:    Yeah,

                 absolutely.

                            THE PRESIDENT:    Senator, you have

                 the floor for one more question.

                            SENATOR WALDON:    Thank you very

                 much, Madam President.

                            Senator, if you have the

                 information and the data, could you give us an

                 idea as to what savings you were able to

                 determine would happen if this became law

                 versus what is in existence now?

                            SENATOR DeFRANCISCO:    About the

                 only thing I can do is provide you -- and I

                 don't have it with me, but I could certainly

                 provide it to you -- the savings that we've

                 experienced in Onondaga County under the





                                                          701



                 voluntary program.  But it's substantial.  And

                 I can't tell you the numbers.

                            In fact, it was the public

                 transportation and the Onondaga County

                 Department of Social Services that told me

                 about the program, that prompted the concept

                 that it should be considered statewide.

                            SENATOR WALDON:    Madam President,

                 I thank you.  And I thank the Senator.  Thank

                 you, Senator DeFrancisco.

                            THE PRESIDENT:    Senator

                 Schneiderman.

                            SENATOR SCHNEIDERMAN:    Madam

                 President, if the sponsor will yield to a

                 question.

                            THE PRESIDENT:    Senator, will you

                 yield?

                            SENATOR DeFRANCISCO:    Yes.

                            THE PRESIDENT:    Go ahead,

                 Senator.

                            SENATOR SCHNEIDERMAN:    Senator,

                 the question I have, as you know, it's been

                 more than a month since the Clinic

                 Anti-Violence Bill was introduced in this

                 house and the Assembly, and -- thank you.





                                                          702



                            It's been more than a month since

                 the Clinic Anti-Violence Bill was introduced

                 in this house and in the Assembly, and we're

                 facing a very serious problem in this state of

                 demonstrations, harassment, threats, and acts

                 of violence outside reproductive health

                 facilities.

                            My question to the sponsor is,

                 would this require a woman seeking

                 reproductive health services to take public

                 transportation when that would result in her

                 having to run the gamut of screaming, abusive,

                 and possibly threatening protesters, as

                 opposed to attempting to take a car service or

                 taxi to deposit the woman in front of a

                 reproductive health facility?

                            SENATOR DeFRANCISCO:    I don't

                 think it matters whether you get to the health

                 facility where the demonstration is going on,

                 whether you get there by bus, train, car, or

                 plane.

                            I think the problem that you're

                 talking about is totally unrelated, and it's

                 related to a problem around the facility

                 itself.  How they get from home to the





                                                          703



                 facility I think is irrelevant to the issue.

                            SENATOR SCHNEIDERMAN:    If the

                 sponsor will continue to yield.

                            THE PRESIDENT:    Senator, do you

                 continue to yield?

                            SENATOR DeFRANCISCO:    Absolutely.

                            THE PRESIDENT:    Go ahead, Senator

                 Schneiderman.

                            SENATOR SCHNEIDERMAN:    In certain

                 clinics where I have represented clinic

                 defenders, in fact, the problem is precisely

                 that the area directly in front of the clinic

                 may be cleared by escorts and the police while

                 on all sides of the clinic there are

                 protesters who will accost every woman,

                 frankly whether she's seeking reproductive

                 health services or not and seeks to approach

                 the facility.

                            If it is a situation like that, I

                 take it -- am I correct in assuming that this

                 bill would nevertheless require someone to

                 take public transportation even if it meant

                 walking through that particular unpleasant,

                 possibly threatening situation?

                            SENATOR DeFRANCISCO:    Yes, it





                                                          704



                 would.  And I'm just wondering if they took -

                 may I ask, would you yield to a question?

                            SENATOR SCHNEIDERMAN:    Certainly.

                            SENATOR DeFRANCISCO:    If they

                 took their car to that facility, how would

                 they avoid that same problem?

                            SENATOR SCHNEIDERMAN:    Well, in

                 the situations where the police are able to

                 clear an area directly in front of the

                 facility, between the facility and the road or

                 the driveway, there is in some cases better

                 access.

                            Where people have to walk, everyone

                 of course has First Amendment rights.  And

                 what's most common is for protesters to -

                 police to attempt to move protesters to the

                 sides, although sometimes that can be

                 difficult.

                            Those are the situations I'm

                 speaking about, Senator.

                            SENATOR DeFRANCISCO:    And my

                 question is, how does someone that's

                 protesting identify someone getting off the

                 bus as walking to this area, to the health

                 clinic?





                                                          705



                            SENATOR SCHNEIDERMAN:    Just -

                 just -- just by -

                            SENATOR DeFRANCISCO:    Do they

                 have signs on them that say they're -

                            SENATOR SCHNEIDERMAN:    Just by

                 the direction they're walking.

                            No.  In fact, that's one of the

                 problems at reproductive health facilities, is

                 that many women who are not even seeking such

                 services are screamed at, berated, called

                 murderers, just for approaching the building

                 or, in some cases, attempting to go to a

                 different office in the same building.

                            And it is a serious problem, as you

                 know.  It's something that we're seeking to

                 address here.

                            I do not think that the network of

                 terrorists is getting any lighter in its

                 touch.  And I think you're correct in pointing

                 out that in many cases this is a problem even

                 for women seeking to obtain reproductive

                 health services arriving by car.

                            As I think you probably are aware,

                 last week envelopes with powder in them that

                 said "Anthrax.  Have a nice death" were sent





                                                          706



                 to the National Organization of Women, the

                 National Abortion Rights Action League.  We

                 have representatives from that organization

                 here with us today.

                            The terrorist campaign is getting

                 worse.  And I would urge that you take into

                 consideration this particular problem and the

                 implementation of any sort of bill that would

                 restrict women in any way from prompt,

                 efficient, and safe access to their

                 health-care providers.

                            SENATOR DeFRANCISCO:    To answer

                 your question directly, this bill does not

                 address that, nor do I think it needs to be.

                 That's a totally separate issue that there may

                 be a different remedy.

                            SENATOR SCHNEIDERMAN:    Madam

                 President.

                            THE PRESIDENT:    Do you continue

                 to yield, Senator DeFrancisco?

                            SENATOR DeFRANCISCO:    Yes.

                            SENATOR SCHNEIDERMAN:    I just

                 want to say that I am an advocate for mass

                 transit and I appreciate the intent of this

                 piece of legislation.  I think that some of





                                                          707



                 the issues that have been raised here in

                 questions of my colleagues have great merit.

                            And I would also urge that until

                 our house addresses the issue of violence at

                 reproductive health facilities, we will

                 continue to face anomalies like this in the

                 law.  And that the ultimate solution to this

                 problem is to make sure that every form of

                 access is safe.  And if that was true, I think

                 that it would be easy to support a

                 well-intentioned bill like this.

                            Thank you.

                            THE PRESIDENT:    Senator Lachman.

                            SENATOR LACHMAN:    On the bill,

                 Madam Chairman.

                            THE PRESIDENT:    On the bill.

                            SENATOR LACHMAN:    Madam

                 Chairperson.  And briefly.

                            I understand the Senator's noble

                 intentions.  And they're good and they're

                 wise.  But this bill is penny-wise and

                 pound-foolish, in my opinion, because it does

                 not take into consideration those troubling,

                 transient transit problems that arise every

                 day of the year, especially in emergency





                                                          708



                 situations and especially with senior

                 citizens.

                            And unless you have an ex post

                 facto provision written into this bill, it

                 will not adequately do justice to the citizens

                 of my borough of Brooklyn and most of the city

                 of New York, including the distinguished

                 Senator who's sitting next to you, his borough

                 of Staten Island.

                            I therefore would respectfully vote

                 no on the bill.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect immediately.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE PRESIDENT:    Senator

                 DeFrancisco.

                            SENATOR DeFRANCISCO:    Yeah, I'd

                 like to explain the vote.

                            I want to thank Senator Lachman for

                 calling this bill wise and noble.  And I

                 appreciate the alliteration that we heard as

                 well, with the transient transit authority or





                                                          709



                 whatever.

                            But I just want to make very clear,

                 it sounds from all the discussion of the

                 negative points here that there's some

                 meanspiritedness around this bill.

                            All I want to say very clearly is

                 that this concept works in Onondaga County.

                 Monies have been saved.  It does not apply to

                 people who cannot use the public

                 transportation for whatever physical or mental

                 reason.  And it provides more funds for what

                 Medicaid is truly used for; namely, medical

                 care.

                            And I think it's a good bill, and

                 hopefully it will be passed in this house.

                 And I vote -

                            THE PRESIDENT:    All right.

                 Senator, you will definitely be recorded as

                 voting in the affirmative.

                            And the Secretary will announce the

                 results.

                            THE SECRETARY:    Those recorded in

                 the negative on Calendar Number 52 are

                 Senators Connor, Dollinger, Duane, Kruger,

                 Lachman, Markowitz, Mendez, Montgomery,





                                                          710



                 Onorato, Oppenheimer, Paterson, Rosato,

                 Santiago, Schneiderman, Smith, Stavisky,

                 Waldon.  Also Senator Gentile, Senator Hevesi.

                            THE PRESIDENT:    Senator

                 Dollinger.

                            SENATOR DOLLINGER:    I apologize

                 for any confusion, Madam President.

                            THE PRESIDENT:    That's all right,

                 Senator.  Thank you.

                            THE SECRETARY:    Ayes 39; nays 18.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 121, by Senator Hannon, Senate Print 1524, an

                 act to amend the Public Health Law, in

                 relation to reimbursement.

                            SENATOR ALESI:    Madam President,

                 may we lay the bill aside for the day, please?

                            THE PRESIDENT:    The bill is laid

                 aside for the day, Senator Alesi.

                            THE SECRETARY:    Calendar Number

                 173, by Senator Goodman, Senate Print 1117, an

                 act to amend the Penal Law, in relation to

                 gambling offenses.

                            THE PRESIDENT:    Read the last





                                                          711



                 section.

                            THE SECRETARY:    Section 3.  This

                 act shall take effect on the first day of

                 November.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE PRESIDENT:    Senator Hevesi.

                            SENATOR HEVESI:    Madam President,

                 I rise to explain my vote.

                            Madam President, I had reservations

                 about this bill, in that my initial concern

                 was that potentially individuals who would

                 play three-card monte could be subject to

                 prosecution if we classified the offense this

                 way.  I've since been assured by the sponsor

                 that that's not the case and, as a result,

                 enthusiastically support this legislation.

                            Fortunately, in the city of New

                 York, it's been my personal experience that

                 we've seen less and less of these three-card

                 monte games.  But this legislation is

                 exceedingly necessary in light of the fact

                 that although there are less of these games

                 right now, probably as a result of the city's

                 crackdown on quality-of-life offenses, the





                                                          712



                 city is doing so well economically that our

                 tourism is exceedingly high.  Hotel occupancy

                 is at some of its highest levels ever.  And

                 therefore, we have more potential victims in

                 the city from this scourge.

                            These three-card monte players are

                 by definition insidious.  And the games are

                 often set up in an elaborate fashion to entice

                 people, where they have individuals who are

                 shills, if you will.  And they entice people;

                 they act as if they're playing the game and

                 are successful in their winnings when they're

                 in fact not successful.

                            So I enthusiastically support this

                 legislation and commend Senator Goodman and

                 Senator Maltese on sponsoring it -- I know it

                 passed unanimously in this house last year -

                 and would also urge my Assembly colleagues to

                 pass this bill as soon as possible.

                            THE PRESIDENT:    All right.  You

                 will be recorded as voting in the affirmative.

                            Senator Dollinger.

                            SENATOR DOLLINGER:    Thank you,

                 Madam President.  Just to explain my vote.

                            In my prior discussions about this





                                                          713



                 bill in committee, Senator Goodman, I said

                 I've never seen three-card monte.  And I never

                 realized it was a problem.  And then lo and

                 behold, Madam President, last night what am I

                 doing, I'm watching Ally McBeal.  Ally McBeal,

                 who's gone through an emotional trauma much

                 like, I guess, others, is at the end of Ally

                 McBeal in the middle of downtown Boston.  Who

                 does she run into, Senator Goodman, but a guy

                 with three cards on a little stand.  And

                 Ms. McBeal, who's gone through the trauma of

                 Hollywood, suddenly starts betting dollars.

                 And then I'm informed by staff, before the

                 program ends she's betting twenties and

                 apparently losing at great measure.

                            So I guess if it's real in Boston,

                 if it's real in Hollywood and real for Ally

                 McBeal and, according to my colleague, Senator

                 Hevesi, real in New York City, we ought to

                 include three-card monte, whoever he or she

                 is, in the list of games that we ban in this

                 state.

                            THE PRESIDENT:    Senator, you are

                 recorded as voting in the affirmative.

                            Senator Montgomery.





                                                          714



                            SENATOR MONTGOMERY:    Yes, to

                 explain my vote.

                            I'm going to be voting yes, but I

                 just want to remind my colleagues that

                 three-card monte is a local activity, a

                 street-level gambling activity, similar to our

                 casinos, which we certainly don't have in New

                 York State.  They're illegal too.  But

                 nonetheless, we once had the local numbers

                 runners and that was unfortunately very much

                 involved with organized crime.  But

                 nonetheless, we replaced it with legal numbers

                 games, which we sponsor in this state.

                            So I'm going to vote yes for this,

                 but I do have some -- some sense of hesitancy,

                 in that I'm reminded that it really removes a

                 little activity at the street level by people

                 who are really hustling to make a little money

                 for themselves.

                            Thank you.

                            THE PRESIDENT:    So recorded,

                 Senator.  Thank you.

                            The Secretary will announce the

                 results.

                            THE SECRETARY:    Ayes 57.





                                                          715



                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 176, by Senator Spano, Senate Print 1259, an

                 act to amend the Penal Law, in relation to the

                 crime of criminal employment.

                            THE PRESIDENT:    Read the last

                 section -- excuse me.

                            Senator Duane.

                            SENATOR DUANE:    Thank you, Madam

                 President.  Would the sponsor yield to a

                 question, please?

                            THE PRESIDENT:    Senator Spano, do

                 you yield?

                            SENATOR SPANO:    Yes, Madam

                 President.

                            THE PRESIDENT:    Go ahead, Senator

                 Duane.

                            SENATOR DUANE:    Thank you very

                 much.

                            In committee the question arose -

                 first let me say that I'm very, very

                 supportive of the intent of the legislation

                 and -- that of the despicable use of by an

                 adult of a child in a drug transaction.





                                                          716



                            But the question came up in the

                 committee as to whether or not a child who

                 engaged another child in a drug transaction

                 would also be covered by the penalties in this

                 legislation.  Which I'll -- as you know,

                 Senator, I am not supportive of.  And I just

                 wanted to clarify that they would not be

                 covered, that it's only the adults who would

                 be -- an adult who would be punished.

                            SENATOR SPANO:    You're correct,

                 Senator Duane.

                            And we, in researching this in

                 anticipation of your question, were told that

                 a juvenile would be covered under the Juvenile

                 Delinquency law and not covered -- because

                 that juvenile would be covered under the

                 Juvenile Delinquency Act.  So it would not

                 cover a minor.

                            SENATOR DUANE:    Thank you very

                 much.

                            Thank you, Madam President.

                            THE PRESIDENT:    Thank you.

                            The Secretary will now announce the

                 results.

                            THE SECRETARY:    Ayes 57.





                                                          717



                            THE PRESIDENT:    The bill is

                 passed.

                            The last section will now be read.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect on the first day of

                 November.

                            THE PRESIDENT:    Call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 57.

                            THE PRESIDENT:    The bill is

                 passed.

                            THE SECRETARY:    Calendar Number

                 191, by Senator Wright, Senate Print 2422, an

                 act to amend the Public Service Law, in

                 relation to the elimination of the mandate for

                 the Public Service Commission.

                            THE PRESIDENT:    Read the last

                 section.

                            THE SECRETARY:    Section 2.  This

                 act shall take effect immediately.

                            THE PRESIDENT:    Senator Duane.

                            SENATOR DUANE:    I wanted to rise

                 to explain my vote, Madam President.

                            THE PRESIDENT:    First we'll call

                 the roll, Senator, please.





                                                          718



                            (The Secretary called the roll.)

                            THE PRESIDENT:    Senator Duane.

                            SENATOR DUANE:    Thank you very

                 much, Madam President.

                            I'd like to be recorded as voting

                 in the negative on this.  I don't think that

                 it is that burdensome to submit to an audit

                 every five years by the Public Service

                 Commission for utility companies.  I just

                 think that this provides an additional

                 protection for -- to make sure that with

                 energy deregulation that our small businesses

                 are able to be provided with affordable

                 energy.  And also, frankly, for older New

                 Yorkers and low-income New Yorkers.

                            I just think this provides an

                 additional check to make sure that the needs

                 of small businesses and at-risk New Yorkers

                 are taken into account by deregulated energy

                 companies.

                            Thank you.

                            THE PRESIDENT:    Senator, you will

                 be recorded as voting in the negative.

                            SENATOR DUANE:    Thank you, Madam

                 President, yes.





                                                          719



                            THE PRESIDENT:    Announce the

                 results, please.

                            THE SECRETARY:    Ayes 56; nays 1.

                 Senator Duane recorded in the negative.

                            THE PRESIDENT:    The bill is

                 passed.

                            Senator Skelos.

                            SENATOR SKELOS:    Is there any

                 housekeeping at the desk, Madam President?

                            THE PRESIDENT:    No, Senator.

                            SENATOR SKELOS:    Would you please

                 recognize Senator Montgomery?

                            THE PRESIDENT:    Senator

                 Montgomery.

                            SENATOR MONTGOMERY:    Madam

                 President, I would like unanimous consent to

                 be recorded in the negative on Calendar 170.

                            THE PRESIDENT:    Without

                 objection, you are so recorded as voting in

                 the negative.

                            SENATOR MONTGOMERY:    Thank you.

                            THE PRESIDENT:    All right.

                 Senator Mendez.

                            SENATOR MENDEZ:    There will be an

                 immediate Minority conference in Room 314.





                                                          720



                            THE PRESIDENT:    There will be an

                 immediate Minority council meeting in Room

                 314.

                            Minority conference, excuse me.  I

                 didn't hear you correctly.

                            Go ahead, Senator Skelos.

                            SENATOR SKELOS:    Madam President,

                 would you please recognize Senator Breslin?  I

                 believe he has a motion.

                            THE PRESIDENT:    Senator Breslin.

                            SENATOR BRESLIN:    Madam

                 President, I believe there's a motion at the

                 desk.  And I would waive reading and be

                 allowed to explain the motion.

                            THE PRESIDENT:    You may proceed,

                 Senator.  Thank you.

                            SENATOR BRESLIN:    There's a bill

                 at the desk on a motion to discharge which

                 would -

                            THE PRESIDENT:    Senator, first we

                 should read the title.

                            The Secretary will read.

                            THE SECRETARY:    By Senator

                 Breslin, Senate Bill Number 801, an act to

                 amend the General Obligations Law and the





                                                          721



                 Civil Practice Law and Rules.

                            THE PRESIDENT:    Senator Breslin.

                            SENATOR BRESLIN:    This bill is a

                 relatively simple bill.  It's a bill that

                 essentially duplicates the bill which has

                 passed the Assembly the last three years

                 holding insurance companies and HMOs

                 responsible for their own medical decisions.

                            Doctors are held responsible,

                 lawyers are held responsible, and HMOs are now

                 making decisions which crowd the medical area.

                 And they should be responsible for them.

                            It's certainly not a partisan

                 issue, as many of my Republican friends on the

                 other side as well as Democrats on this side

                 have supported the concept and in fact the

                 legislation dealing with HMO responsibility.

                            The key word in the legislation is

                 "accountability."  Currently, if an HMO makes

                 a medical decision, we are precluded from

                 having a lawsuit emanate from that decision,

                 as they cannot be held responsible for

                 malpractice.  This legislation would change

                 that.

                            We've waited far too long.  We've





                                                          722



                 waited a number of years and watched HMOs make

                 decisions.  There are many fine HMOs who do

                 make medical decisions and they're made by

                 medical people.  I can emphasize the ones in

                 our Capital District as being so good.  But

                 there are others that don't, and we must hold

                 them responsible.

                            And this legislation has tremendous

                 cross-based support, including but not limited

                 to the Center for Independence, Citizens

                 Action of New York, the Mental Health

                 Association of New York, the League of Women

                 Voters, NYPIRG, the New York State Senior

                 Citizens Action Council, and many other

                 groups.

                            It's time to come together as

                 Democrats and Republicans and pass this

                 legislation.  And I urge all of you to vote

                 positively on this motion to discharge so we

                 can take up this important issue.

                            Thank you.

                            THE PRESIDENT:    Senator

                 Dollinger.

                            SENATOR DOLLINGER:    Thank you,

                 Madam President.





                                                          723



                            I'd also like to speak in support

                 of the motion to discharge offered by Senator

                 Breslin.  This is an issue that he has been

                 closely involved with and taken the lead on,

                 and I commend him for that.

                            What this bill seeks to do is not

                 to create a revolution in New York law but

                 simply continue the evolution of New York law

                 with respect to creating damages for pain and

                 suffering -- damages in tort -- for certain

                 entities that engage in tortious conduct.

                            All the lawyers in this room -- and

                 I'm sure Senator Balboni will give me the name

                 of the case that involved the Buick in 1918

                 that was driving down the road.

                 MacPherson-Buick.

                            Remember what happened to

                 MacPherson-Buick?  The tire falls off the car.

                 Somebody's in an accident.  Under the old

                 law -- up in Plattsburgh, I'm told by Senator

                 Stafford.  Right up in Plattsburgh, the New

                 York Court of Appeals says, "What are the

                 damages for not repairing the car correctly?"

                            MacPherson-Buick would turn around

                 and say, "Wait a second.  The only thing you





                                                          724



                 can get is damages, are breach of contract

                 damages.  I told you I'd repair the car.  I

                 didn't repair it.  What would the car have

                 been worth if it were properly repaired?  I'll

                 give you that amount of money."  Simply breach

                 of contract.

                            But instead the Court of Appeals,

                 which continued the evolution of New York's

                 common law of torts, said, "No.  If you're

                 involved in a contract and you breach that

                 contract and it's a product, you are now

                 liable for pain and suffering that is caused

                 as a consequence of your breach of contract."

                            And we ended up with product

                 liability, a theory based on the notion that

                 you should be responsible for your actions and

                 when they cause a harm, a foreseeable harm,

                 you should have to pay not only for the breach

                 of contract but pay for the pain and suffering

                 that was foreseeable at the time your conduct

                 caused the harm.

                            That is all that Senator Breslin's

                 bill seeks to do, is to say to an organization

                 involved in a contract, that has a contractual

                 obligation to provide health insurance and





                                                          725



                 health coverage for an individual, that if

                 they breach that contract and do not fulfill

                 their contract responsibilities, because it's

                 health, because this is the health of New

                 Yorkers that's at stake, we will simply treat

                 them exactly the same way we treat a physician

                 and we will hold them to a negligence standard

                 of conduct.

                            If what they do is to disregard a

                 foreseeable risk -- if it is because they deny

                 a mammogram, they foreseeably create the risk

                 of breast cancer or undetected breast cancer

                 or delayed detection of breast cancer.  Or if

                 they deny experimental treatments that would

                 include, as it included in a case that I took

                 to the courts in this state several years

                 ago -- they were unwilling to cover what they

                 considered to be an experimental treatment

                 that involved surgery for an epileptic child.

                 They refused to do it for two years.  And

                 under those circumstances, when we sued, all

                 we could get were breach of contract damages.

                            But I'll tell you, for the little

                 boy who had eight epileptic seizures a month

                 prior to that surgery and two a year





                                                          726



                 thereafter, I believe that I could have proven

                 to a jury that he suffered a personal

                 suffering and pain as a consequence of the

                 health maintenance organization's failure to

                 provide him with that coverage and with that

                 access to care.

                            It seems to me that in the

                 evolution of the business world we simply have

                 said to some people who are involved in such

                 conduct that it creates a direct risk of harm,

                 where we know what the harm is, that under

                 those circumstances they can be held to a tort

                 standard of liability.  That's all Senator

                 Breslin's bill does.

                            If insurance companies want to get

                 into the business of telling doctors what to

                 do for their patients, let them stand up and

                 say "We accept the same responsibility that a

                 doctor has."  And that is, if their conduct

                 causes a harm, they must respond in tort

                 damages.

                            I look at this as the next

                 evolution of New York's liability laws.  We

                 are told that this is a revolutionary idea,

                 that this changes the whole tort system.





                                                          727



                 Senator Breslin has pointed out to me a number

                 of times, since when was there a revolutionary

                 idea that was put in place in Texas before it

                 was put in place in good old New York?

                            I'd simply point out to you, let's

                 do what Texas has done and ten other states

                 that don't consider themselves to have the

                 same progressive tradition of New York.  Let's

                 follow their lead and march down the road of

                 telling insurance companies that want to play

                 physician that when you play like a physician,

                 if you're negligent, you have to pay like one

                 too.

                            THE PRESIDENT:    All those in

                 favor -- Senator Paterson.

                            THE PRESIDENT:    Senator

                 Schneiderman, I've been informed you were

                 first.  Go ahead.  Senator Schneiderman first.

                 Go ahead.

                            Excuse me, Senator Paterson.  I

                 didn't see you.

                            Go ahead.

                            SENATOR SCHNEIDERMAN:    Madam

                 President, I'll be very brief.  There was a

                 fascinating -- Senator Dollinger just





                                                          728



                 mentioned a lot of issues relating to the

                 denial of health care.  There was a

                 fascinating and thoughtful article in the

                 Sunday New York Times this week discussing how

                 in many cases health maintenance

                 organizations, managed-care companies, are

                 making too many decisions approving certain

                 procedures which may be unnecessary and overly

                 increasing the cost of the health-care system.

                            Whether you think that there are

                 too many denials, too few denials, it is

                 absolutely clear when you get to the end of

                 this piece -- which I think was a very

                 balanced statement -- that they are the

                 decision-makers.  We should stop kidding

                 ourselves about who's making the decisions on

                 whether medical procedures are available or

                 not.  And I do not understand why they should

                 be uniquely exempt from malpractice liability.

                            And I also concur in the sentiment

                 that if Texas can have this, under the

                 leadership of Governor Bush, I don't see any

                 reason why New York State cannot also achieve

                 these results.

                            And perhaps it's something that we





                                                          729



                 can achieve this session and provide aid to

                 those supporters of the Governor who wish to

                 see him join Governor Bush in future

                 endeavors.

                            THE PRESIDENT:    Thank you.

                            Senator Paterson.

                            SENATOR PATERSON:    Thank you,

                 Madam President.  Thank you for holding the

                 vote so I can stay here.

                            I want to just say that Senator

                 Dollinger joined Senator Breslin and Senator

                 Schneiderman as the -- they have been going

                 around the state trying to enlist support on a

                 number of health-care items, but particularly

                 this one.

                            We do have standards in our state,

                 particularly in the major medical and legal

                 professions, for what is considered to be a

                 malicious practice of those professions.  We

                 have the Office of Professional Discipline,

                 which through the Department of Education

                 supervises 32 other professions.

                            But we do not have any protections

                 against these types of decisions that are made

                 by a new entity -- in a sense, practicing





                                                          730



                 medicine not only without a license but

                 practicing medicine sometimes without even any

                 supervision.

                            And so what we're just saying is

                 that as long as those decisions are made in

                 good faith, we can abide by them.  But the

                 problem is that even in good faith, where

                 there's been establishment of -- an

                 establishment of negligence, there must be

                 some kind of remedy for the afflicted and for

                 the victim.

                            And for that reason, I rise in

                 support of this motion for discharge.

                            THE PRESIDENT:    All those in

                 favor of accepting the motion to discharge,

                 signify by saying aye.

                            SENATOR PATERSON:    Party vote to

                 affirm.

                            SENATOR SKELOS:  Party vote in the

                 negative.

                            THE PRESIDENT:    The Secretary

                 will call the roll.

                            (The Secretary called the roll.)

                            THE SECRETARY:    Ayes 24; nays 33.

                 Party vote.





                                                          731



                            THE PRESIDENT:    The motion is

                 defeated.

                            Senator Skelos.

                            SENATOR SKELOS:    Will you

                 recognize Senator Paterson, please?

                            THE PRESIDENT:    Senator Paterson.

                            SENATOR PATERSON:    Madam

                 President, I just wanted to remind my

                 colleagues on -- in the Minority that there'll

                 be an immediate meeting in the Minority

                 Conference Room.

                            THE PRESIDENT:    There will be an

                 immediate meeting of the Minority conference.

                            Senator Skelos.

                            SENATOR SKELOS:    Madam President,

                 there being no further business, I move we

                 adjourn until Wednesday, March 3rd, at 11:00

                 a.m. sharp.

                            THE PRESIDENT:    On motion, the

                 Senate stands adjourned until Wednesday,

                 March 3rd, 11:00 a.m.

                            (Whereupon, at 5:00 p.m., the

                 Senate adjourned.)