Regular Session - June 24, 2005

                                                            5634



         1                 NEW YORK STATE SENATE

         2

         3

         4                THE STENOGRAPHIC RECORD

         5

         6

         7

         8

         9                   ALBANY, NEW YORK

        10                     June 24, 2005

        11                       9:33 a.m.

        12

        13

        14                    REGULAR SESSION

        15

        16

        17

        18  LT. GOVERNOR MARY O. DONOHUE, President

        19  STEVEN M. BOGGESS, Secretary

        20

        21

        22

        23

        24

        25



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

         2                  ACTING PRESIDENT MEIER:    The

         3       Senate will come to order.

         4                  May I ask everyone present to

         5       please rise and join me in the Pledge of

         6       Allegiance to the Flag.

         7                  (Whereupon, the assemblage recited

         8       the Pledge of Allegiance to the Flag.)

         9                  ACTING PRESIDENT MEIER:    In the

        10       absence of clergy, may we bow our heads in a

        11       moment of silence.

        12                  (Whereupon, the assemblage

        13       respected a moment of silence.)

        14                  ACTING PRESIDENT MEIER:    Reading

        15       of the Journal.

        16                  THE SECRETARY:    In Senate,

        17       Thursday, June 23, the Senate met pursuant to

        18       adjournment.  The Journal of Wednesday,

        19       June 22, was read and approved.  On motion,

        20       Senate adjourned.

        21                  ACTING PRESIDENT MEIER:    Without

        22       objection, the Journal stands approved as

        23       read.

        24                  Presentation of petitions.

        25                  Messages from the Assembly.



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         1                  Messages from the Governor.

         2                  Reports of standing committees.

         3                  Reports of select committees.

         4                  Communications and reports from

         5       state officers.

         6                  Motions and resolutions.

         7                  The Secretary will read the

         8       substitutions.

         9                  THE SECRETARY:    On page 41,

        10       Senator Oppenheimer moves to discharge, from

        11       the Committee on Rules, Assembly Bill Number

        12       8632 and substitute it for the identical

        13       Senate Bill Number 5492, Third Reading

        14       Calendar 1935.

        15                  On page 41, Senator Bruno moves to

        16       discharge, from the Committee on Rules,

        17       Assembly Bill Number 8792 and substitute it

        18       for the identical Senate Bill Number 5671,

        19       Third Reading Calendar 1936.

        20                  And on page 41, Senator Morahan

        21       moves to discharge, from the Committee on

        22       Rules, Assembly Bill Number 8929 and

        23       substitute it for the identical Senate Bill

        24       Number 5821, Third Reading Calendar 1937.

        25                  ACTING PRESIDENT MEIER:



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         1       Substitutions ordered.

         2                  Senator Farley.

         3                  SENATOR FARLEY:    This is a tough

         4       order here.  There's a lot of things to do.

         5       This is an Assembly bill that we're going to

         6       vote to reconsider, recommit, and the Senate

         7       bill will be restored.

         8                  Mr. President, I wish to call up

         9       Calendar Number 992, Assembly Print 5767.

        10                  ACTING PRESIDENT MEIER:    The

        11       Secretary will read.

        12                  THE SECRETARY:    Calendar Number

        13       992, by Member of the Assembly Towns, Assembly

        14       Print Number 5767, an act to amend the Tax

        15       Law.

        16                  SENATOR FARLEY:    I now move to

        17       reconsider the vote by which this Assembly

        18       bill was substituted for Senator Larkin's

        19       bill, Senate Print 444, on 6/21.

        20                  ACTING PRESIDENT MEIER:    Call the

        21       roll on reconsideration.

        22                  (The Secretary called the roll.)

        23                  THE SECRETARY:    Ayes, 37.

        24                  ACTING PRESIDENT MEIER:    Senator

        25       Farley.



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         1                  SENATOR FARLEY:    Mr. President, I

         2       now move that the Assembly Bill 5767 be

         3       readmitted to the Committee on Rules and that

         4       Senator Larkin's Senate bill be restored to

         5       the order of Third Reading Calendar.

         6                  ACTING PRESIDENT MEIER:    So

         7       ordered.

         8                  SENATOR FARLEY:    And I now offer

         9       the following amendments.

        10                  ACTING PRESIDENT MEIER:    The

        11       amendments are received and adopted.

        12                  SENATOR FARLEY:    Thank you, Mr.

        13       President.

        14                  ACTING PRESIDENT MEIER:    Thank

        15       you, Senator Farley.

        16                  Senator Bruno.

        17                  SENATOR BRUNO:    Mr. President,

        18       can we at this time take up the

        19       noncontroversial reading of the calendar.

        20                  ACTING PRESIDENT MEIER:    The

        21       Secretary will conduct the noncontroversial

        22       reading of the calendar.

        23                  THE SECRETARY:    Calendar Number

        24       569, by Senator Little, Senate Print 2847A, an

        25       act to amend the Real Property Tax Law.



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         1                  ACTING PRESIDENT MEIER:    Read the

         2       last section.

         3                  THE SECRETARY:    Section 4.  This

         4       act shall take effect immediately.

         5                  ACTING PRESIDENT MEIER:    Call the

         6       roll.

         7                  (The Secretary called the roll.)

         8                  ACTING PRESIDENT MEIER:    Senator

         9       Little, to explain her vote.

        10                  SENATOR LITTLE:    Thank you, Mr.

        11       President.  I would just like to speak in

        12       appreciation of this bill and to explain the

        13       importance of this bill for the Adirondack

        14       Park.

        15                  Everybody loves the Adirondack

        16       Park, a 6-million-acre spread of beautiful

        17       territory.  And while I represent most of it,

        18       several other senators here represent a

        19       portion of it.

        20                  What this bill is trying to do is

        21       to provide some type of tax incentive to

        22       encourage people to build or buy a home in the

        23       hamlet or moderate intensity area.  And let me

        24       tell you, what we're talking about here is a

        25       6-million-acre park.  The hamlet and moderate



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         1       intensity area comprises 155,383 acres of that

         2       6-million-acre park.  So we're not talking

         3       about a lot of land.

         4                  But what we're finding is that the

         5       growth in the Adirondack Park is stagnant.

         6       There is declining enrollment in every one of

         7       our schools.  Second-home ownership is

         8       increasing and actually, in some areas,

         9       overcoming the permanent residents.  So what

        10       we're looking for here is to encourage people

        11       to come and to live in the Adirondacks and to

        12       contribute to the communities.

        13                  I thank our leader for this bill

        14       and for all who have supported this bill, and

        15       I certainly will be voting in favor of this

        16       bill.

        17                  Thank you.

        18                  ACTING PRESIDENT MEIER:    Senator

        19       Little will be recorded in the affirmative.

        20                  Senator Farley, to explain his

        21       vote.

        22                  SENATOR FARLEY:    Yes, thank you,

        23       Mr. President.

        24                  I rise in support of this, as

        25       somebody that has a portion of the Adirondack



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         1       Park, and as somebody that grew up in the

         2       hamlet of Indian Lake in Hamilton County,

         3       which was in my Senate district for a number

         4       of years.

         5                  The problems that exist in the

         6       Adirondack area because of actually a

         7       decreasing population, many times, of

         8       permanent residents really raises havoc with

         9       the school districts and so many other things.

        10                  And this is an excellent bill, and

        11       I applaud the Majority Leader for making sure

        12       that this happens for Senator Little, because

        13       it's a serious problem.  These people are

        14       long-suffering up there and have a lot of

        15       problems that really do not make the radar

        16       screen.

        17                  And, Senator Little, this is an

        18       excellent bill, and I vote aye.

        19                  ACTING PRESIDENT MEIER:    Senator

        20       Farley will be recorded in the affirmative.

        21                  Announce the results.

        22                  THE SECRETARY:    Ayes, 40.

        23                  ACTING PRESIDENT MEIER:    The bill

        24       is passed.

        25                  THE SECRETARY:    Calendar Number



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         1       756, by Member of the Assembly Silver,

         2       Assembly Print Number 7384A, an act to amend

         3       the General City Law and the Administrative

         4       Code of the City of New York.

         5                  ACTING PRESIDENT MEIER:    Read the

         6       last section.

         7                  THE SECRETARY:    Section 2.  This

         8       act shall take effect immediately.

         9                  ACTING PRESIDENT MEIER:    Call the

        10       roll.

        11                  (The Secretary called the roll.)

        12                  THE SECRETARY:    Ayes, 40.

        13                  ACTING PRESIDENT MEIER:    The bill

        14       is passed.

        15                  THE SECRETARY:    Calendar Number

        16       1270, by Senator Saland, Senate Print 5047A,

        17       an act to amend the Education Law.

        18                  ACTING PRESIDENT MEIER:    Read the

        19       last section.

        20                  THE SECRETARY:    Section 2.  This

        21       act shall take effect immediately.

        22                  ACTING PRESIDENT MEIER:    Call the

        23       roll.

        24                  (The Secretary called the roll.)

        25                  THE SECRETARY:    Ayes, 40.



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         1                  ACTING PRESIDENT MEIER:    The bill

         2       is passed.

         3                  THE SECRETARY:    Calendar Number

         4       1289, by Senator Morahan, Senate Print 5221,

         5       an act to amend the Town Law.

         6                  ACTING PRESIDENT MEIER:    Calendar

         7       1289 will be laid aside temporarily, pending

         8       receipt of an Assembly substitution.

         9                  THE SECRETARY:    Calendar Number

        10       1450, by Senator Johnson, Senate Print --

        11                  SENATOR HASSELL-THOMPSON:    Lay it

        12       aside.

        13                  ACTING PRESIDENT MEIER:    Lay the

        14       bill aside.

        15                  SENATOR MORAHAN:    Lay it aside

        16       for the day.

        17                  ACTING PRESIDENT MEIER:    Lay the

        18       bill aside for the day.

        19                  THE SECRETARY:    Calendar Number

        20       1535, by Member of the Assembly McEneny,

        21       Assembly Print Number 6207, an act to amend

        22       the Tax Law.

        23                  ACTING PRESIDENT MEIER:    Read the

        24       last section.

        25                  THE SECRETARY:    Section 2.  This



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         1       act shall take effect immediately.

         2                  ACTING PRESIDENT MEIER:    Call the

         3       roll.

         4                  (The Secretary called the roll.)

         5                  THE SECRETARY:    Ayes, 40.

         6                  ACTING PRESIDENT MEIER:    The bill

         7       is passed.

         8                  THE SECRETARY:    Calendar Number

         9       1608, by the Assembly Committee on Rules,

        10       Assembly Print Number 8769, an act to amend

        11       the Tax Law.

        12                  ACTING PRESIDENT MEIER:    Read the

        13       last section.

        14                  THE SECRETARY:    Section 2.  This

        15       act shall take effect immediately.

        16                  ACTING PRESIDENT MEIER:    Call the

        17       roll.

        18                  (The Secretary called the roll.)

        19                  THE SECRETARY:    Ayes, 42; nays,

        20       1.  Senator Klein recorded in the negative.

        21                  ACTING PRESIDENT MEIER:    The bill

        22       is passed.

        23                  THE SECRETARY:    Calendar Number

        24       1754 --

        25                  SENATOR PADAVAN:    Lay it aside



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         1       for the day, please.

         2                  ACTING PRESIDENT MEIER:    Lay the

         3       bill aside for the day.

         4                  THE SECRETARY:    Calendar Number

         5       1906, by the Senate Committee on Rules, Senate

         6       Print Number 5900, an act to amend the

         7       Education Law.

         8                  ACTING PRESIDENT MEIER:    Read the

         9       last section.

        10                  THE SECRETARY:    Section 2.  This

        11       act shall take effect on the same date and in

        12       the same manner as a chapter of the Laws of

        13       2005.

        14                  ACTING PRESIDENT MEIER:    Call the

        15       roll.

        16                  (The Secretary called the roll.)

        17                  THE SECRETARY:    Ayes, 43.

        18                  ACTING PRESIDENT MEIER:    The bill

        19       is passed.

        20                  THE SECRETARY:    Calendar Number

        21       1932, by Senator Golden, Senate Print 5904, an

        22       act to amend the Tax Law.

        23                  ACTING PRESIDENT MEIER:    Read the

        24       last section.

        25                  THE SECRETARY:    Section 7.  This



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         1       act shall take effect immediately.

         2                  ACTING PRESIDENT MEIER:    Call the

         3       roll.

         4                  (The Secretary called the roll.)

         5                  THE SECRETARY:    Ayes, 43.

         6                  ACTING PRESIDENT MEIER:    The bill

         7       is passed.

         8                  THE SECRETARY:    Calendar Number

         9       1935, substituted earlier today by Member of

        10       the Assembly Latimer, Assembly Print Number

        11       8632, an act to amend Chapter 390 of the Laws

        12       of 1979.

        13                  ACTING PRESIDENT MEIER:    There is

        14       a home-rule message at the desk.

        15                  Read the last section.

        16                  THE SECRETARY:    Section 2.  This

        17       act shall take effect immediately.

        18                  ACTING PRESIDENT MEIER:    Call the

        19       roll.

        20                  (The Secretary called the roll.)

        21                  THE SECRETARY:    Ayes, 43.

        22                  ACTING PRESIDENT MEIER:    The bill

        23       is passed.

        24                  THE SECRETARY:    Calendar Number

        25       1936, substituted earlier today by the



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         1       Assembly Committee on Rules, Assembly Print

         2       Number --

         3                  ACTING PRESIDENT MEIER:    Excuse

         4       me.  Just a second.

         5                  The Secretary will continue to

         6       read.

         7                  THE SECRETARY:    -- Assembly Print

         8       Number 8792, an act authorizing Lawrence

         9       Gerson to file for retroactive membership.

        10                  ACTING PRESIDENT MEIER:    Read the

        11       last section.

        12                  THE SECRETARY:    Section 2.  This

        13       act shall take effect immediately.

        14                  ACTING PRESIDENT MEIER:    Call the

        15       roll.

        16                  (The Secretary called the roll.)

        17                  THE SECRETARY:    Ayes, 43.

        18                  ACTING PRESIDENT MEIER:    The bill

        19       is passed.

        20                  THE SECRETARY:    Calendar Number

        21       1937, substituted earlier today by the

        22       Assembly Committee on Rules, Assembly Print

        23       Number 8929, an act to amend the Executive

        24       Law.

        25                  ACTING PRESIDENT MEIER:    Read the



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         1       last section.

         2                  THE SECRETARY:    Section 2.  This

         3       act shall take effect immediately.

         4                  ACTING PRESIDENT MEIER:    Call the

         5       roll.

         6                  (The Secretary called the roll.)

         7                  ACTING PRESIDENT MEIER:    Senator

         8       Morahan, to explain his vote.

         9                  SENATOR MORAHAN:    Thank you,

        10       Mr. Chairman.

        11                  This Governor's -- excuse me.  It's

        12       early in the morning here.  This Governor's

        13       bill that addresses the needs of the State

        14       Board of Elections is something that both

        15       sides in the HAVA debate were really

        16       stretching out for, to take away any imbalance

        17       of authority, power or perceived balance of

        18       power at the board between the two parties.

        19                  This now will create two cochairs,

        20       as opposed to one, of the commission.  It will

        21       also appoint a name to create two co-executive

        22       directors, one from each party, and it will

        23       now create four-year terms, as opposed to

        24       indefinite tenure for those directors.

        25                  And the appointment process, which



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         1       was another point of contention, has been

         2       rearranged so that the leadership of the

         3       Legislature have two appointments, one

         4       Democrat -- between the Senate majority leader

         5       and the minority leader in the Assembly, and

         6       vice versa for the Democrat Party.

         7                  Currently, if they process names

         8       and give their appointments, if the Governor

         9       doesn't act, they just stay vacant.  Under

        10       this bill, after 30 days if the Governor fails

        11       to act, the legislative leaders can request a

        12       resubmission or appoint that person on their

        13       own.

        14                  So I think it's a good bill.  It

        15       brings fairness to the Board of Elections.  It

        16       allows boards of elections around the state to

        17       have more confidence in the rulings of the

        18       commission and of the directors.  So I think

        19       it's a good bill that clears the air and

        20       really has paved the way for the HAVA reforms.

        21                  Thank you, Mr. Chairman.

        22                  ACTING PRESIDENT MEIER:    Senator

        23       Morahan will be recorded in the affirmative.

        24                  Announce the results.

        25                  THE SECRETARY:    Ayes, 47.



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         1                  ACTING PRESIDENT MEIER:    The bill

         2       is passed.

         3                  THE SECRETARY:    Calendar Number

         4       1938, by the Senate Committee on Rules, Senate

         5       Print 5874, an act to amend the Tax Law.

         6                  ACTING PRESIDENT MEIER:    Read the

         7       last section.

         8                  SENATOR LIZ KRUEGER:    Lay it

         9       aside, please.

        10                  ACTING PRESIDENT MEIER:    Lay the

        11       bill aside.

        12                  THE SECRETARY:    Calendar Number

        13       1939, by the Senate --

        14                  SENATOR LIZ KRUEGER:    Lay it

        15       aside.

        16                  ACTING PRESIDENT MEIER:    Lay the

        17       bill aside.

        18                  Senator Bruno.

        19                  SENATOR BRUNO:    Mr. President,

        20       can we go to the supplemental active list and

        21       take up Calendar Number 1837.

        22                  ACTING PRESIDENT MEIER:    The

        23       Secretary will read Calendar 1837 on the

        24       supplemental active list.

        25                  THE SECRETARY:    Calendar Number



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         1       1837, by Senator Johnson, Senate Print 5787A,

         2       an act to amend the Public Authorities Law.

         3                  ACTING PRESIDENT MEIER:    Read the

         4       last section.

         5                  THE SECRETARY:    Section 12.  This

         6       act shall take effect immediately.

         7                  ACTING PRESIDENT MEIER:    Call the

         8       roll.

         9                  (The Secretary called the roll.)

        10                  THE SECRETARY:    Ayes, 47.

        11                  ACTING PRESIDENT MEIER:    The bill

        12       is passed.

        13                  Senator Bruno.

        14                  SENATOR BRUNO:    Mr. President,

        15       can I ask for an immediate meeting of the

        16       Rules Committee in the Majority Conference

        17       Room.

        18                  ACTING PRESIDENT MEIER:

        19       Immediate meeting of the Rules Committee in

        20       the Majority Conference Room.

        21                  SENATOR BRUNO:    And the Senate

        22       will stand at ease for the number of minutes

        23       that it takes.

        24                  ACTING PRESIDENT MEIER:    The

        25       Senate will stand at ease pending the report



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         1       of the Rules Committee.

         2                  (Whereupon, the Senate stood at

         3       ease at 9:51 a.m.)

         4                  (Whereupon, the Senate reconvened

         5       at 10:01 a.m.)

         6                  ACTING PRESIDENT MEIER:    Senator

         7       Bruno.

         8                  SENATOR BRUNO:    Thank you, Mr.

         9       President.  Can we return at this time to the

        10       reports of standing committees.  And I would

        11       ask for the report of the Rules Committee to

        12       be read.

        13                  ACTING PRESIDENT MEIER:    Reports

        14       of standing committees.

        15                  The Secretary will read.

        16                  THE SECRETARY:    Senator Bruno,

        17       from the Committee on Rules, reports the

        18       following bills:

        19                  Assembly Print Number 6266, by

        20       Member of the Assembly Gottfried, an act to

        21       amend the Public Authorities Law;

        22                  Senate Print 5102, by Senator

        23       Leibell, an act to amend the Public

        24       Authorities Law;

        25                  5283, by Senator Oppenheimer, an



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         1       act authorizing;

         2                  5663, by Senator Padavan, an act to

         3       amend the Tax Law;

         4                  5862, by Senator Libous, an act to

         5       amend Chapter 824 of the Laws of 1968;

         6                  5869, by the Senate Committee on

         7       Rules, an act authorizing;

         8                  5891, by Senator Golden, an act to

         9       amend the Real Property Tax Law;

        10                  5921, by Senator Nozzolio, an act

        11       to amend the Social Services Law and others;

        12                  5923, by Senator Larkin, an act to

        13       amend the Racing, Pari-Mutuel Wagering and

        14       Breeding Law;

        15                  And Senate Print 5925, by Senator

        16       Winner, an act to amend the Alcoholic Beverage

        17       Control Law.

        18                  All bills ordered direct to third

        19       reading.

        20                  THE PRESIDENT:    All bills ordered

        21       direct to third reading.

        22                  Senator Bruno.

        23                  SENATOR BRUNO:    I move, Madam

        24       President, to accept the report of the Rules

        25       Committee.



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         1                  THE PRESIDENT:    All in favor of

         2       accepting the report of the Rules Committee

         3       please signify by saying aye.

         4                  (Response of "Aye.")

         5                  THE PRESIDENT:    Opposed, nay.

         6                  (No response.)

         7                  THE PRESIDENT:    The Rules

         8       Committee report is accepted.

         9                  Senator Bruno.

        10                  SENATOR BRUNO:    Madam President,

        11       can we at this time return to Calendar 1450,

        12       which was laid aside in error.  And we'd like

        13       to take it up at this time.

        14                  THE PRESIDENT:    The Secretary

        15       will read.

        16                  THE SECRETARY:    Calendar Number

        17       1450, by Senator Johnson, Senate Print 5517A,

        18       an act to amend the Vehicle and Traffic Law.

        19                  THE PRESIDENT:    Senator Bruno.

        20                  SENATOR BRUNO:    Can we read the

        21       last section.

        22                  THE PRESIDENT:    Read the last

        23       section.

        24                  THE SECRETARY:    Section 4.  This

        25       act shall take effect immediately.



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         1                  THE PRESIDENT:    Call the roll.

         2                  (The Secretary called the roll.)

         3                  THE SECRETARY:    Those recorded in

         4       the negative on Calendar Number 1450 are

         5       Senators Brown, DeFrancisco, Duane,

         6       L. Krueger, C. Kruger, Leibell, Marcellino,

         7       Oppenheimer, Rath, Sabini, Saland, Serrano,

         8       Stachowski, Stavisky, Valesky and Wright.

         9       Also Senator Morahan.

        10                  Ayes, 37.  Nays, 17.

        11                  THE PRESIDENT:    The bill is

        12       passed.

        13                  Senator Bruno.

        14                  SENATOR BRUNO:    Madam President,

        15       can we return to Calendar 1289.  I believe a

        16       substitution has arrived at the desk.

        17                  THE PRESIDENT:    The Secretary

        18       will read.

        19                  THE SECRETARY:    In relation to

        20       Calendar Number 1289, Senator Morahan moves to

        21       discharge, from the Committee on Rules,

        22       Assembly Bill Number 5932 and substitute it

        23       for the identical Senate Bill Number 5221,

        24       Third Reading Calendar 1289.

        25                  THE PRESIDENT:    Substitution



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         1       ordered.

         2                  The Secretary will read.

         3                  THE SECRETARY:    Calendar Number

         4       1289, by Member of the Assembly Rabbitt,

         5       Assembly Print Number 5932, an act to amend

         6       the Town Law.

         7                  THE PRESIDENT:    There is a

         8       home-rule message at the desk.

         9                  Read the last section.

        10                  THE SECRETARY:    Section 2.  This

        11       act shall take effect immediately.

        12                  THE PRESIDENT:    Call the roll.

        13                  (The Secretary called the roll.)

        14                  THE SECRETARY:    Ayes, 54.

        15                  THE PRESIDENT:    The bill is

        16       passed.

        17                  Senator Bruno.

        18                  SENATOR BRUNO:    Madam President,

        19       can we call up Calendar Number 1940.

        20                  THE PRESIDENT:    The Secretary

        21       will read.

        22                  THE SECRETARY:    Calendar Number

        23       1940, by Senator Winner, Senate Print 5918, an

        24       act to amend the State Finance Law.

        25                  THE PRESIDENT:    Senator Bruno.



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         1                  SENATOR BRUNO:    Madam President,

         2       is there a message of necessity at the desk?

         3                  THE PRESIDENT:    Yes, there is,

         4       Senator.

         5                  SENATOR BRUNO:    I would move we

         6       accept the message.

         7                  THE PRESIDENT:    All in favor of

         8       accepting the message of necessity please

         9       signify by saying aye.

        10                  (Response of "Aye.")

        11                  THE PRESIDENT:    Opposed, nay.

        12                  (No response.)

        13                  THE PRESIDENT:    The message is

        14       accepted.

        15                  Read the last section.

        16                  THE SECRETARY:    Section 2.  This

        17       act shall take effect on the same date and in

        18       the same manner as a chapter of the Laws of

        19       2005.

        20                  THE PRESIDENT:    Call the roll.

        21                  (The Secretary called the roll.)

        22                  THE SECRETARY:    Ayes, 54.

        23                  THE PRESIDENT:    The bill is

        24       passed.

        25                  Senator Bruno.



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         1                  SENATOR BRUNO:    Madam President,

         2       can we take up Calendar Number 1942.

         3                  THE PRESIDENT:    The Secretary

         4       will read.

         5                  THE SECRETARY:    Calendar Number

         6       1942, by Senator Nozzolio, Senate Print 5920,

         7       an act to amend the Penal Law.

         8                  SENATOR BRUNO:    Is there a

         9       message of necessity at the desk?

        10                  THE PRESIDENT:    Yes, there is,

        11       Senator.

        12                  SENATOR BRUNO:    Move we accept

        13       the message.

        14                  THE PRESIDENT:    All in favor of

        15       accepting the message of necessity please

        16       signify by saying aye.

        17                  (Response of "Aye.")

        18                  THE PRESIDENT:    Opposed, nay.

        19                  (No response.)

        20                  THE PRESIDENT:    The message is

        21       accepted.

        22                  Read the last section.

        23                  THE SECRETARY:    Section 13.  This

        24       act shall take effect on the 60th day.

        25                  THE PRESIDENT:    Call the roll.



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         1                  (The Secretary called the roll.)

         2                  THE PRESIDENT:    Senator Nozzolio,

         3       to explain your vote.

         4                  SENATOR NOZZOLIO:    Thank you,

         5       Madam President.

         6                  Madam President and my colleagues,

         7       the production and distribution of

         8       methamphetamines, and particularly crystal

         9       meth, the law enforcement officers and

        10       prosecutors across this state and across this

        11       nation say that that production is becoming

        12       the fastest-growing drug crime in America.

        13                  That this measure goes a long way

        14       to strengthen the laws of this state, which

        15       have been woefully weak in providing tools to

        16       prosecutors and law enforcement officials to

        17       halt the production of crystal meth.

        18                  That we have seen in primarily

        19       rural areas farmers have their anhydrous

        20       ammonia stolen because it's a major product

        21       that produces this drug.

        22                  I'm very pleased that my

        23       colleagues, and particularly Senator Winner,

        24       have taken a leadership role in strengthening

        25       our laws to ensure that children and other



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         1       users of crystal meth will not have an

         2       opportunity to see it produced and hopefully

         3       sold in this state.

         4                  That we need to do much more to

         5       strengthen our laws to prevent drug abuse.

         6       But this measure goes a long way to make it a

         7       reality that in New York State the production

         8       of crystal meth will no longer be tolerated.

         9                  ACTING PRESIDENT MEIER:    Senator

        10       Winner, to explain his vote.

        11                  SENATOR WINNER:    Thank you, Mr.

        12       President.

        13                  I also thank Senator Nozzolio for

        14       his leadership and Senator Bruno for his help

        15       with regard to this important measure.

        16                  The welcome sign for

        17       methamphetamine production in the Southern

        18       Tier is finally taken down.  We no longer will

        19       have this scourge continuing to proliferate in

        20       my area and in the Southern Tier and in other

        21       rural areas of New York where the meth

        22       production has been growing with a tremendous

        23       amount of danger to the communities, danger to

        24       the environment, danger to children and danger

        25       to the state of New York as a whole for this



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         1       continuing production of this product and the

         2       surrounding climate and the culture that it

         3       encourages and is obviously a scourge on our

         4       environment.

         5                  Ever since two deputies from

         6       Bradford County, Pennsylvania, were killed in

         7       a meth-related incident while attempting to

         8       serve a search warrant, those states that have

         9       heretofore had meth production have cracked

        10       down on that activity and have resulted in

        11       curtailing its production, and those producers

        12       and manufacturers have moved northward into

        13       the rural areas of New York.  And now we have

        14       closed the welcome sign to them, and that is

        15       great news for this state.

        16                  So, Mr. President, I proudly vote

        17       aye.

        18                  ACTING PRESIDENT MEIER:    Senator

        19       Winner will be recorded in the affirmative.

        20                  Senator Nozzolio also in the

        21       affirmative.

        22                  Any other Senator wish to be

        23       explain his vote?

        24                  Announce the results.

        25                  THE SECRETARY:    Ayes, 54.  Nays,



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         1       1.  Senator Duane recorded in the negative.

         2                  ACTING PRESIDENT MEIER:    The bill

         3       is passed.

         4                  Senator Spano.

         5                  SENATOR SPANO:    Mr. President, I

         6       was not in the chamber for Calendar 1450.  Had

         7       I been in the chamber, I would like the record

         8       to reflect that I would have voted in the

         9       negative on that bill.

        10                  ACTING PRESIDENT MEIER:    The

        11       record will so reflect, Senator.

        12                  SENATOR SPANO:    Thank you.

        13                  ACTING PRESIDENT MEIER:    Senator

        14       Bruno.

        15                  SENATOR BRUNO:    Mr. President,

        16       can we at this time take up Calendar Number

        17       1938.

        18                  ACTING PRESIDENT MEIER:    The

        19       Secretary will read Calendar 1938.

        20                  THE SECRETARY:    Calendar Number

        21       1938, by the Senate Committee on Rules, Senate

        22       Print Number 5874, an act to amend the Tax

        23       Law.

        24                  SENATOR LIZ KRUEGER:

        25       Explanation.



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         1                  ACTING PRESIDENT MEIER:    An

         2       explanation has been requested of Calendar

         3       1938 by Senator Krueger.

         4                  SENATOR BRUNO:    Mr. President,

         5       Senator, this legislation allows a partnership

         6       and relates specifically to the City of

         7       Rensselaer with a company called Besicorp that

         8       is a recycling company for newspaper that will

         9       be putting up a plant on the abandoned site

        10       that you see over there, the BASF site, and

        11       from the recycling create energy and

        12       electricity that will be supplied to the

        13       municipality.

        14                  It's gone through all the

        15       environmental impact studies, through the

        16       state agencies.  Assemblyman Ron Canestrari, a

        17       colleague of all of ours, is the sponsor in

        18       the Assembly.  And it's all been approved by

        19       the council and the mayor there.  And this has

        20       been going on for a couple of years, and they

        21       are now ready.

        22                  This allows the transferability of

        23       traction credits for a partnership like the

        24       one they have to create to initiate that

        25       project, similar to what's in a C corporation



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         1       which takes place now.

         2                  Basically, that's the essence of

         3       two bills, this one and its companion, that

         4       are necessary to move this project forward.

         5                  ACTING PRESIDENT MEIER:    Senator

         6       Krueger.

         7                  SENATOR LIZ KRUEGER:    Thank you.

         8       If the sponsor would please yield.

         9                  ACTING PRESIDENT MEIER:    Senator

        10       Bruno, do you yield for a question?

        11                  SENATOR BRUNO:    Thank you, Mr.

        12       President.  But I think I've told you all I

        13       know about it.  So don't me ask me anything

        14       hard, please, Senator.

        15                  ACTING PRESIDENT MEIER:    Senator

        16       Krueger.

        17                  SENATOR LIZ KRUEGER:    Thank you.

        18       I appreciate the sponsor's willingness to

        19       answer a few questions.

        20                  How much is the state expected to

        21       distribute in tax credits to this corporation

        22       for this plan?

        23                  SENATOR BRUNO:    I think it's a

        24       10 percent tax credit.  And it's a -- whatever

        25       the final numbers are in terms of the



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         1       investment is what will dictate what that is.

         2                  I might point out, Senator, that on

         3       that site now is practically no revenue to the

         4       school district, to the city, and they are one

         5       of the most depressed cities in the whole

         6       state.

         7                  This corporation will create

         8       several hundred jobs, great productivity, and

         9       pay estimates as high as $100 million over the

        10       next ten years in school taxes and city taxes,

        11       state taxes.

        12                  So it is the way to go and the

        13       thing to do.

        14                  SENATOR LIZ KRUEGER:    Thank you,

        15       Mr. President.  If the sponsor would yield for

        16       one additional question, please.

        17                  ACTING PRESIDENT MEIER:    Senator

        18       Bruno, do you yield for a question?

        19                  SENATOR BRUNO:    Sure.

        20                  ACTING PRESIDENT MEIER:    The

        21       sponsor yields.

        22                  SENATOR KRUEGER:    As you

        23       referenced in your explanation, there's

        24       actually two bills on calendar today that

        25       appear to be almost identical.  Could you



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         1       explain the difference between the two for me?

         2                  SENATOR BRUNO:    As clearly as I

         3       can understand the explanation, if a partner

         4       transfers -- and this helps create that

         5       liquidity -- the obligations or the benefits

         6       accrue to the remaining partners, and whatever

         7       liability there is stays with the exiting.

         8                  SENATOR LIZ KRUEGER:    Mr.

         9       President, on the bill.

        10                  ACTING PRESIDENT MEIER:    Senator

        11       Liz Krueger, on the bill.

        12                  SENATOR LIZ KRUEGER:    Thank you.

        13                  I appreciate the sponsor's answers.

        14       I have more questions, but I think I can focus

        15       on my concerns about both of the bills without

        16       spending the time on the floor with a lot of

        17       questions.

        18                  Yes, it's a large project.  It's

        19       been in the press throughout the Albany area

        20       for several years.  In fact, the Albany Times 

        21       Union on Sunday, June 12th, referenced that in

        22       fact the Rensselaer County government had

        23       agreed to PILOTs, payments in lieu of taxes,

        24       over 20 years of $58.65 million, and the city

        25       will receive an additional $15 million over



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         1       20 years as part of a host community benefit

         2       project.

         3                  So I'm not sure it's $100 million

         4       in taxes they'd be paying, because it looks

         5       from here that over 20 years they'd be paying

         6       $75 million, so over 10 years they'd be paying

         7       half of that, just for the record.

         8                  PILOTs are a concern of mine.  I've

         9       spoken about them on the floor before.  Empire

        10       Zone credits and the Empire Zone program

        11       continue to be a serious concern for me.  The

        12       reason that when I looked at these bills last

        13       night and this morning I was concerned was we

        14       didn't even know what corporation it was for

        15       or where it was.  It was clearly for a

        16       specific corporation.  I appreciate the

        17       Senator going over the company and the project

        18       in Rensselaer County, his home county.

        19                  It's my understanding that this

        20       project is in an Empire Zone and even has its

        21       own Empire Zone development company, Besicorp,

        22       and that they are expected to get significant

        23       tax credits through the EZ-ITC and the EZ-EIC

        24       program.  There are -- from their own

        25       materials to investors, they project spending



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         1       $700 million on this project, which is

         2       certainly always exciting with economic

         3       development, in a community -- and of course

         4       Senator Bruno is absolutely right, Rensselaer

         5       County desperately needs new jobs and a

         6       strengthened economy.  So they're talking

         7       about spending $700 million.  But they're

         8       also, I believe, anticipating over

         9       $100 million in tax credits through the Empire

        10       Zone program.

        11                  I believe there's also a

        12       brownfields involved.  One of the arguments,

        13       pro and con, from the community's perspective

        14       of this plan was that it would lead to some

        15       cleanup of brownfields, but perhaps not enough

        16       from the community's perspective.  So we can

        17       expect that they'll also be receiving some

        18       brownfields funding, although that's not clear

        19       in this bill or I don't believe it's part of

        20       this bill.

        21                  So I have the overall concerns

        22       about private corporations with PILOT deals,

        23       how we operate Empire Zones and we don't hold

        24       people accountable enough and we don't ask

        25       enough questions and we don't get the data



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         1       back from Tax and Finance or the Urban

         2       Development Corporation, Empire State

         3       Development Corporation, as to how much

         4       they're giving out, whether the jobs are being

         5       created.  From this company's own materials,

         6       they anticipate 1,000 jobs for the

         7       construction and then 200 jobs ongoing.

         8                  Now, my specific concern with these

         9       bills is that what they both appear to do

        10       specifically for this one company is to change

        11       the recapture provisions so that, as Senator

        12       Bruno explained in his answers to my

        13       questions, if the investors or partners --

        14       because it's not a corporation but, rather, a

        15       partnership -- if some of the partners -- and

        16       it appears the partners are venture

        17       capitalists, by and large -- want to move out

        18       of the deal within the first few years, as

        19       opposed to the 12-year requirement we place on

        20       other Empire Zone companies, that they'll be

        21       able to keep the tax credits even though they

        22       left the deal.  Their leaving the deal might

        23       result in the company actually never

        24       continuing, but they would have already gotten

        25       the tax credits.



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         1                  And when you build something new --

         2       $700 million, I believe, in construction --

         3       all the tax credits are front-loaded during

         4       the construction process.  So that

         5       conceivably, under this law -- and I'm

         6       certainly not saying that this would be the

         7       intention of the company -- but conceivably,

         8       under this law, most of the partners could

         9       draw down the major tax credits from the State

        10       of New York, then pull out of the business.

        11       The business might not ever even make it.  And

        12       the people of New York State will have lost

        13       both the opportunity for this program and lost

        14       our tax credits.

        15                  And so I wish -- and we don't even

        16       have memos for this bill, so I'm fairly sure I

        17       won't get my wish for today -- I wish that we

        18       had much more detailed analysis of how either

        19       of these bills changes the formula for the tax

        20       credits, how much it will cost the State of

        21       New York, what kind of jobs are really assured

        22       by this, whether there is a higher risk to the

        23       state for the win through Empire Zones if you

        24       change the recapture provisions, what the

        25       equity question is when one company will get a



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         1       change in the rules under tax credits and

         2       other companies won't, whether we should be

         3       spending a little more time evaluating this

         4       kind of proposal, given the fact that we do

         5       have, I think on both sides, so many concerns

         6       about the Empire Zone programs -- what they

         7       have done, what they have not done -- the

         8       pirating issues between counties and towns.

         9                  So I can't vote for this bill,

        10       because there's clearly not enough information

        11       to make me comfortable with changing state law

        12       for one particular company, regardless of

        13       where they are.  And I hope that some of my

        14       colleagues might agree that we should actually

        15       have far more information and the public

        16       should have more information before we move

        17       forward with these kinds of arrangements.

        18                  I'll be voting no.

        19                  Thank you, Mr. President.

        20                  ACTING PRESIDENT MEIER:    Any

        21       other Senator wish to be heard on the bill?

        22                  Debate is closed, then.

        23                  The Secretary will sound the bell.

        24                  Read the last section.

        25                  THE SECRETARY:    Section 3.  This



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         1       act shall take effect immediately.

         2                  ACTING PRESIDENT MEIER:    Call the

         3       roll.

         4                  (The Secretary called the roll.)

         5                  ACTING PRESIDENT MEIER:    Announce

         6       the results.

         7                  THE SECRETARY:    Those recorded in

         8       the negative on Calendar Number 1938 are

         9       Senators Duane, L. Krueger, and Schneiderman.

        10                  Absent from voting:  Senators

        11       Fuschillo, Gonzalez, Montgomery and Sampson.

        12                  Ayes, 53.  Nays, 3.

        13                  ACTING PRESIDENT MEIER:    The bill

        14       is passed.

        15                  The Secretary will read.

        16                  THE SECRETARY:    Calendar Number

        17       1939, by the Senate Committee on Rules, Senate

        18       Print Number 5875, an act to amend the Tax

        19       Law.

        20                  ACTING PRESIDENT MEIER:    Read the

        21       last section.

        22                  THE SECRETARY:    Section 3.  This

        23       act shall take effect immediately.

        24                  ACTING PRESIDENT MEIER:    Call the

        25       roll.



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         1                  (The Secretary called the roll.)

         2                  ACTING PRESIDENT MEIER:    Announce

         3       the results.

         4                  THE SECRETARY:    Those recorded in

         5       the negative on Calendar Number 1939 are

         6       Senators Duane, L. Krueger, and Schneiderman.

         7                  Absent from voting:  Fuschillo,

         8       Gonzalez, Montgomery and Sampson.

         9                  Ayes, 53.  Nays, 3.

        10                  ACTING PRESIDENT MEIER:    The bill

        11       is passed.

        12                  SENATOR BRUNO:    Mr. President,

        13       can we have the noncontroversial reading of

        14       Supplemental Calendar A.

        15                  ACTING PRESIDENT MEIER:    The

        16       Secretary will conduct the noncontroversial

        17       reading of Supplemental Calendar A.

        18                  THE SECRETARY:    Calendar Number

        19       1943, by Senator Leibell, Senate Print 5102,

        20       an act to amend the Public Authorities Law.

        21                  ACTING PRESIDENT MEIER:    Read the

        22       last section.

        23                  THE SECRETARY:    Section 2.  This

        24       act shall take effect immediately.

        25                  ACTING PRESIDENT MEIER:    Call the



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         1       roll.

         2                  (The Secretary called the roll.)

         3                  ACTING PRESIDENT MEIER:    Senator

         4       Paterson, why do you rise?

         5                  SENATOR PATERSON:    Mr. President,

         6       I believe that Senator Bruno wanted to lay

         7       that bill aside temporarily.

         8                  ACTING PRESIDENT MEIER:    Lay the

         9       bill aside temporarily.

        10                  Thank you, Senator Paterson,

        11       because that gives me the opportunity to

        12       explain to members that when you're talking, a

        13       lot of people, including me, can't hear what's

        14       going on.  And it would expedite us all

        15       getting out of here, unless you want to spend

        16       a lot of quality time together today.  So if

        17       we could have order in the chamber, it would

        18       be helpful.

        19                  The Secretary will continue to

        20       read.

        21                  THE SECRETARY:    In relation to

        22       Calendar Number 1944, Senator Oppenheimer

        23       moves to discharge, from the Committee on

        24       Rules, Assembly Bill Number 7923 and

        25       substitute it for the identical Senate Bill



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         1       Number 5283, Third Reading Calendar 1944.

         2                  ACTING PRESIDENT MEIER:

         3       Substitution ordered.

         4                  The Secretary will read.

         5                  THE SECRETARY:    Calendar Number

         6       1944, by Member of the Assembly Latimer,

         7       Assembly Print Number 7923, an act authorizing

         8       the Village of Port Chester.

         9                  ACTING PRESIDENT MEIER:    There is

        10       a home-rule message at the desk.

        11                  Read the last section.

        12                  THE SECRETARY:    Section 2.  This

        13       act shall take effect immediately.

        14                  ACTING PRESIDENT MEIER:    Call the

        15       roll.

        16                  (The Secretary called the roll.)

        17                  THE SECRETARY:    Ayes, 57.

        18                  ACTING PRESIDENT MEIER:    The bill

        19       is passed.

        20                  THE SECRETARY:    In relation to

        21       Calendar Number 1945, Senator Padavan moves to

        22       discharge, from the Committee on Rules,

        23       Assembly Bill Number 8813 and substitute it

        24       for the identical Senate Bill Number 5663,

        25       Third Reading Calendar 1945.



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         1                  ACTING PRESIDENT MEIER:

         2       Substitution ordered.

         3                  The Secretary will read.

         4                  THE SECRETARY:    Calendar Number

         5       1945, by the Assembly Committee on Rules,

         6       Assembly Print Number 8813, an act to amend

         7       the Tax Law.

         8                  ACTING PRESIDENT MEIER:    There is

         9       a home-rule message at the desk.

        10                  Read the last section.

        11                  THE SECRETARY:    Section 4.  This

        12       act shall take effect September 1, 2005.

        13                  ACTING PRESIDENT MEIER:    Call the

        14       roll.

        15                  (The Secretary called the roll.)

        16                  THE SECRETARY:    Ayes, 57.

        17                  ACTING PRESIDENT MEIER:    The bill

        18       is passed.

        19                  THE SECRETARY:    In relation to

        20       Calendar Number 1947, Senator Bruno moves to

        21       discharge, from the Committee on Rules,

        22       Assembly Bill Number 8719A and substitute it

        23       for the identical Senate Bill Number 5869,

        24       Third Reading Calendar 1947.

        25                  ACTING PRESIDENT MEIER:



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         1       Substitution ordered.

         2                  The Secretary will read.

         3                  THE SECRETARY:    Calendar Number

         4       1947, by the Assembly Committee on Rules,

         5       Assembly Print Number 8719A, an act

         6       authorizing the lease of lands.

         7                  ACTING PRESIDENT MEIER:    Read the

         8       last section.

         9                  THE SECRETARY:    Section 2.  This

        10       act shall take effect immediately.

        11                  ACTING PRESIDENT MEIER:    Call the

        12       roll.

        13                  (The Secretary called the roll.)

        14                  ACTING PRESIDENT MEIER:    Senator

        15       Stavisky, to explain her vote.

        16                  SENATOR STAVISKY:    To explain my

        17       vote, Mr. President.

        18                  While this bill lacks competitive

        19       bidding for the release of this land,

        20       nevertheless, there is a reverter clause so

        21       that if the leased land is -- ceases to be

        22       used for the purpose intended, it will

        23       revert -- it will be null and void.

        24                  And for that reason, with that

        25       protection, I vote aye.



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         1                  ACTING PRESIDENT MEIER:    Senator

         2       Stavisky will be recorded in the affirmative.

         3                  Announce the results.

         4                  THE SECRETARY:    Ayes, 57.

         5                  ACTING PRESIDENT MEIER:    The bill

         6       is passed.

         7                  THE SECRETARY:    In relation to

         8       Calendar Number 1948, Senator Golden moves to

         9       discharge, from the Committee --

        10                  SENATOR PATERSON:    Lay it aside.

        11                  ACTING PRESIDENT MEIER:    Senator,

        12       let's finish this substitution and then we'll

        13       lay it aside, if that's acceptable.

        14                  The Secretary will read.

        15                  THE SECRETARY:    In relation to

        16       Calendar Number 1948, Senator Golden moves to

        17       discharge, from the Committee on Aging,

        18       Assembly Bill Number 1092A and substitute it

        19       for the identical Senate Bill Number 5891,

        20       Third Reading Calendar 1948.

        21                  ACTING PRESIDENT MEIER:

        22       Substitution ordered.

        23                  Lay the bill aside.

        24                  THE SECRETARY:    Calendar Number

        25       1950, by Senator Larkin, Senate Print 5923, an



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         1       act to amend the Racing, Pari-Mutuel Wagering

         2       and Breeding Law.

         3                  ACTING PRESIDENT MEIER:    Senator

         4       Bruno.

         5                  SENATOR BRUNO:    Mr. President, is

         6       there a message of necessity at the desk?

         7                  ACTING PRESIDENT MEIER:    There

         8       is, Senator.

         9                  SENATOR BRUNO:    I would move we

        10       accept the message.

        11                  ACTING PRESIDENT MEIER:    All in

        12       favor of accepting the message of necessity

        13       say aye.

        14                  (Response of "Aye.")

        15                  ACTING PRESIDENT MEIER:    Those

        16       opposed, nay.

        17                  (No response.)

        18                  ACTING PRESIDENT MEIER:    The

        19       message is accepted.

        20                  The bill is before the house.

        21                  Read the last section.

        22                  THE SECRETARY:    Section 7 --

        23                  SENATOR PATERSON:    Lay it aside,

        24       please.

        25                  ACTING PRESIDENT MEIER:    Lay the



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         1       bill aside.

         2                  THE SECRETARY:    Calendar Number

         3       1953, by Member of the Assembly Gottfried,

         4       Assembly Print Number 6266, an act to amend

         5       the Public Authorities Law.

         6                  ACTING PRESIDENT MEIER:    Read the

         7       last section.

         8                  THE SECRETARY:    Section 2.  This

         9       act shall take effect immediately.

        10                  ACTING PRESIDENT MEIER:    Call the

        11       roll.

        12                  (The Secretary called the roll.)

        13                  THE SECRETARY:    Ayes, 57.

        14                  ACTING PRESIDENT MEIER:    The bill

        15       is passed.

        16                  Senator Bruno.

        17                  SENATOR BRUNO:    Mr. President,

        18       can we go back to the original

        19       noncontroversial calendar and take up

        20       Calendar Number 1941.

        21                  ACTING PRESIDENT MEIER:    The

        22       Secretary will read Calendar 1941 on the

        23       noncontroversial reading.

        24                  THE SECRETARY:    Calendar Number

        25       1941, by Senator Volker, Senate Print 5919, an



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         1       act to amend the Public Authorities Law.

         2                  ACTING PRESIDENT MEIER:    Senator

         3       Bruno.

         4                  SENATOR BRUNO:    Mr. President, is

         5       there a message of necessity at the desk?

         6                  ACTING PRESIDENT MEIER:    There

         7       is.

         8                  SENATOR BRUNO:    Move we accept

         9       the message.

        10                  ACTING PRESIDENT MEIER:    All in

        11       favor of accepting the message of necessity

        12       signify by saying aye.

        13                  (Response of "Aye.")

        14                  ACTING PRESIDENT MEIER:    Those

        15       opposed, nay.

        16                  (No response.)

        17                  ACTING PRESIDENT MEIER:    The

        18       message is accepted.

        19                  The bill is before the house.

        20                  Read the last section.

        21                  THE SECRETARY:    Section 3.  This

        22       act shall take effect on the same date and in

        23       the same manner as a chapter of the Laws of

        24       2005.

        25                  ACTING PRESIDENT MEIER:    Call the



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         1       roll.

         2                  (The Secretary called the roll.)

         3                  ACTING PRESIDENT MEIER:    Senator

         4       Volker, to explain his vote.

         5                  SENATOR VOLKER:    I just want to

         6       explain that this bill is a chapter amendment

         7       to the Erie County fiscal control board that

         8       we passed yesterday.  And the amendments in

         9       this bill were suggested by the comptroller

        10       and the bond counsel because of the difficulty

        11       that's going to be met in borrowing.

        12                  And this links it to a RAN and also

        13       deficit borrowing and links it to the control

        14       board, and will help in getting a very good

        15       rate in borrowing for the County of Erie.  And

        16       it's a technical amendment.

        17                  I vote aye.

        18                  ACTING PRESIDENT MEIER:    Senator

        19       Volker will be recorded in the affirmative.

        20                  Announce the results.

        21                  THE SECRETARY:    Ayes, 57.

        22                  ACTING PRESIDENT MEIER:    The bill

        23       is passed.

        24                  Senator Bruno.

        25                  SENATOR BRUNO:    Mr. President,



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         1       can we go back to Calendar Number 1948, which

         2       was inadvertently laid aside.

         3                  ACTING PRESIDENT MEIER:    The

         4       Secretary will read Calendar 1948.

         5                  THE SECRETARY:    Calendar Number

         6       1948, substituted earlier today by Member of

         7       the Assembly Stringer, Assembly Print Number

         8       1092A, an act to amend the Real Property Tax

         9       Law.

        10                  ACTING PRESIDENT MEIER:    Read the

        11       last section.

        12                  THE SECRETARY:    Section 6.  This

        13       act shall take effect in 90 days.

        14                  ACTING PRESIDENT MEIER:    Call the

        15       roll.

        16                  (The Secretary called the roll.)

        17                  ACTING PRESIDENT MEIER:    Senator

        18       Golden, to explain his vote.

        19                  SENATOR GOLDEN:    Thank you,

        20       Acting President.

        21                  I rise to say thank you to the body

        22       here and to the Assembly for passing a SCRIE

        23       bill that will be, for the first time, a

        24       groundbreaking piece of legislation that will

        25       work towards assisting our disabled and our



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         1       veterans and giving them benefits that they've

         2       deserved over these many years.

         3                  This will be the first time this

         4       SCRIE bill will give benefits to those of SSI

         5       recipients, Social Security disability

         6       insurance recipients, veterans' disability,

         7       pensions of disability and compensation

         8       benefits, and people who have SSI and for the

         9       first time have changed their Medicaid buy-in

        10       to begin their independent living.

        11                  If you have one dollar in any of

        12       these grants, you will now be able to

        13       participate in these SCRIE limitations.  And

        14       as you increase in income, your SCRIE

        15       limitations will decrease.  Persons living

        16       alone of $17,004; persons living with others

        17       of $15,468; couples living alone, $24,372; and

        18       couples living with others but paying their

        19       own expenses, $22,980.

        20                  It's the beginning.  It's not a

        21       perfect bill.  But it is a bill that has been

        22       long-awaited for here in the City of New York.

        23       And we will work with the City of New York to

        24       see what the SCRIE, which is -- about

        25       37 percent of the elderly participate in



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         1       SCRIE, and we want to see if the numbers are

         2       similar with the disabled.  And if they are,

         3       and the dollars add up, we will try to put

         4       them into the regular SCRIE, which is this

         5       year $24,000 for our seniors, which will go to

         6       $25,000 next year and up to $29,000 over the

         7       next five years.

         8                  So I thank my colleagues and the

         9       Mayor of the City of New York for working with

        10       us to put a bill together that makes sense for

        11       our seniors, our disabled and our veterans.

        12                  And I vote aye.

        13                  ACTING PRESIDENT MEIER:    Senator

        14       Golden will be recorded in the affirmative.

        15                  Senator Stavisky, to explain her

        16       vote.

        17                  SENATOR STAVISKY:    I thank

        18       Senator Golden for sponsoring this

        19       legislation.

        20                  I've had a similar bill for -- from

        21       the time I was first elected extending the

        22       SCRIE benefits to the disabled.  And in fact

        23       my husband, who served in this chamber, had

        24       the same bill going back from the time he

        25       first started serving here.



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         1                  So I'm delighted that -- sometimes

         2       good ideas take a little longer, but I

         3       congratulate Senator Golden.

         4                  Thank you.

         5                  ACTING PRESIDENT MEIER:    Senator

         6       Stavisky will be recorded in the affirmative.

         7                  Senator Liz Krueger, to explain her

         8       vote.

         9                  SENATOR LIZ KRUEGER:    Thank you.

        10                  I also rise to thank Senator Golden

        11       for his work on this bill.  It's not the

        12       perfect bill, as he said.  We had some other

        13       ideas that the City of New York perhaps needs

        14       to revisit for next year.

        15                  But speaking on behalf of people

        16       who have come to my office who face eviction

        17       and know where to go, who are disabled, who

        18       are poor, this is such an important

        19       breakthrough.

        20                  Prior to being a legislator, I had

        21       run eviction prevention programs in the City

        22       of New York, and I can assure this house that

        23       implementation, which is step one -- the City

        24       of New York still needs to implement this law

        25       at the local level -- will mean that we have



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         1       fewer low-income disabled New Yorkers who lose

         2       their affordable housing and end up in a

         3       situation where truthfully not only do they

         4       pay, but we all pay more for them as well.

         5                  So I'm delighted that this bill is

         6       passing today.

         7                  Thank you, Mr. President.

         8                  ACTING PRESIDENT MEIER:    Senator

         9       Krueger will be recorded in the affirmative.

        10                  Senator Duane, to explain his vote.

        11                  SENATOR DUANE:    Thank you, Mr.

        12       President.

        13                  I would like to commend the sponsor

        14       for this giant step forward on a very

        15       important issue.  As many members in this

        16       house know, I had a younger brother who was

        17       disabled and active in the disability rights

        18       community and whose birthday would have been

        19       just last week.

        20                  And I also want to raise, in

        21       memoriam, Dr. Freida Zames, who also recently

        22       passed away, and this was an issue that she

        23       also was passionate about.

        24                  And I would be honored to work with

        25       the sponsor and with the city and with the



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         1       council as we work to implement this

         2       legislation, to make it so that we have even

         3       more tools to help persons with disabilities

         4       live independently and as best as they

         5       possibly can in our city.

         6                  Thank you, Mr. President.

         7                  ACTING PRESIDENT MEIER:    Senator

         8       Duane will be recorded in the affirmative.

         9                  Announce the results.

        10                  THE SECRETARY:    Ayes, 57.

        11                  ACTING PRESIDENT MEIER:    The bill

        12       is passed.

        13                  Senator Bruno.

        14                  SENATOR BRUNO:    Mr. President,

        15       can we at this time take up Calendar Number

        16       1949.

        17                  ACTING PRESIDENT MEIER:    The

        18       Secretary will read Calendar 1949.

        19                  THE SECRETARY:    Calendar Number

        20       1949, by Senator Nozzolio, Senate Print 5921,

        21       an act to amend the Social Services Law and

        22       others.

        23                  ACTING PRESIDENT MEIER:    Senator

        24       Bruno.

        25                  SENATOR BRUNO:    Is there a



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         1       message at the desk?

         2                  ACTING PRESIDENT MEIER:    There

         3       is.

         4                  SENATOR BRUNO:    Move we accept

         5       the message.

         6                  ACTING PRESIDENT MEIER:    All in

         7       favor of accepting the message of necessity

         8       signify by saying aye.

         9                  (Response of "Aye.")

        10                  ACTING PRESIDENT MEIER:    Those

        11       opposed, nay.

        12                  (No response.)

        13                  ACTING PRESIDENT MEIER:    The

        14       message is accepted.

        15                  The bill is before the house.

        16                  Read the last section.

        17                  THE SECRETARY:    Section 10.  This

        18       act shall take effect immediately.

        19                  ACTING PRESIDENT MEIER:    Call the

        20       roll.

        21                  (The Secretary called the roll.)

        22                  ACTING PRESIDENT MEIER:    Senator

        23       Nozzolio, to explain his vote.

        24                  SENATOR NOZZOLIO:    Thank you, Mr.

        25       President.



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         1                  It was just a few short weeks ago,

         2       ladies and gentlemen, that the Comptroller of

         3       the State of New York issued an audit that

         4       showed nearly 200 Level 3 convicted sex

         5       offenders in New York are receiving

         6       taxpayer-funded Viagra.  It's an outrage that

         7       high-risk sex offenders are receiving sexual

         8       performance enhance drugs at taxpayers'

         9       expense.

        10                  The scars of the victims of sex

        11       offenses never heal.  Emotionally, they remain

        12       scarred for their entire lives and the victims

        13       are left to bear much pain and sorrow because

        14       of these offenses.  This Legislature has done

        15       a great deal to enhance the notification

        16       requirements, putting sex offenders on Megan's

        17       Law registries, enhancing notification

        18       procedures, ensuring that communities are

        19       notified and have information about those

        20       convicted sex offenders living within their

        21       midst.

        22                  Isn't it ironic that up until this

        23       legislation the State of New York was seeing

        24       hard-earned taxpayers dollars used for

        25       purposes that I believe we all agree on just



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         1       are so inappropriate.  This state, any state

         2       should not allow the perpetrators of these

         3       terrible crimes to enhance their sexual

         4       performed with taxpayer-financed drugs.

         5                  I want to thank Governor Pataki,

         6       Senator Bruno, my colleague Senator Balboni

         7       who all worked very hard to ensure that this

         8       practice never happens again.  I thank them; I

         9       want to thank you, my colleagues, for your

        10       support of this very important measure.

        11                  Thank you, Mr. President.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Nozzolio will be recorded in the affirmative.

        14                  Announce the results.

        15                  THE SECRETARY:    Ayes, 57.

        16                  ACTING PRESIDENT MEIER:    The bill

        17       is passed.

        18                  Senator Bruno.

        19                  SENATOR BRUNO:    Can we at this

        20       time return to motions and resolutions,

        21       regarding Resolution Number 1924.

        22                  ACTING PRESIDENT MEIER:    Motions

        23       and resolutions.

        24                  First, Senator Young.

        25                  SENATOR YOUNG:    Thank you, Mr.



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         1       President.  I wish to call up my bill, 5567A,

         2       recalled from the Assembly, which is now at

         3       the desk.

         4                  ACTING PRESIDENT MEIER:    The

         5       Secretary will read.

         6                  THE SECRETARY:    Calendar Number

         7       1924, by Senator Young, Senate Print 5567A, an

         8       act to amend the Tax Law.

         9                  SENATOR YOUNG:    Thank you, Mr.

        10       President.  I now move to reconsider the vote

        11       by which the bill was passed.

        12                  ACTING PRESIDENT MEIER:    Call the

        13       roll on reconsideration.

        14                  (The Secretary called the roll.)

        15                  THE SECRETARY:    Ayes, 57.

        16                  ACTING PRESIDENT MEIER:    Senator

        17       Young.

        18                  SENATOR YOUNG:    Mr. President, I

        19       would ask that the bill have its third reading

        20       at this time.

        21                  ACTING PRESIDENT MEIER:    So

        22       ordered.

        23                  The Secretary will read.

        24                  THE SECRETARY:    Calendar Number

        25       1924, by Senator Young, Senate Print 5567A, an



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         1       act to amend the Tax Law.

         2                  SENATOR SPANO:    Is there a

         3       message of necessity at the desk?

         4                  ACTING PRESIDENT MEIER:    There

         5       is.

         6                  SENATOR SPANO:    Move to accept.

         7                  ACTING PRESIDENT MEIER:    All in

         8       favor of accepting the message of necessity

         9       signify by saying aye.

        10                  (Response of "Aye.")

        11                  ACTING PRESIDENT MEIER:    Those

        12       opposed, nay.

        13                  (No response.)

        14                  ACTING PRESIDENT MEIER:    The

        15       message is accepted.

        16                  The bill is before the house.

        17                  There is a local fiscal impact note

        18       at the desk.

        19                  Read the last section.

        20                  THE SECRETARY:    Section 2.  This

        21       act shall take effect January 1, 2006.

        22                  ACTING PRESIDENT MEIER:    Call the

        23       roll.

        24                  (The Secretary called the roll.)

        25                  THE SECRETARY:    Ayes, 57.



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         1                  ACTING PRESIDENT MEIER:    The bill

         2       is passed.

         3                  Senator Libous.

         4                  SENATOR LIBOUS:    Mr. President,

         5       if we can go to the controversial reading of

         6       Supplemental Calendar A and take up Number

         7       1950, please.

         8                  ACTING PRESIDENT MEIER:    The

         9       Secretary will conduct the controversial

        10       reading of Supplemental Calendar A, beginning

        11       with Calendar 1950.

        12                  THE SECRETARY:    Calendar Number

        13       1950, by Senator Larkin, Senate Print 5923, an

        14       act to amend the Racing, Pari-Mutuel Wagering

        15       and Breeding Law.

        16                  SENATOR SABINI:    Explanation.

        17                  ACTING PRESIDENT MEIER:    Senator

        18       Larkin, an explanation has been requested.

        19                  SENATOR LARKIN:    Yes, Mr.

        20       President.

        21                  Senator Sabini, as we talked a

        22       little while ago, last year we had a bill at

        23       this house that did major overhauls to the

        24       racing industry as a whole and to the entire

        25       aspect of the racing board, lottery division,



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         1       all.

         2                  This year the Governor has decided

         3       to come down to us, and the biggest thing

         4       we're looking for is an oversight board that

         5       has some teeth in it.  This bill will be an

         6       oversight board consisting of five members

         7       appointed by the Governor, one at the

         8       recommendation of the Senate Majority Leader,

         9       one at the recommendation of the Speaker.

        10                  A couple of things that are

        11       important when you talk about the oversight

        12       board.  There's always been a question around

        13       here of reform and conflicts of interest.

        14       Nobody who has an appointment to any

        15       association related to anything to do with the

        16       industry of racing can be a member of this

        17       advisory board.

        18                  The oversight board is going to be

        19       responsible for making recommendations to the

        20       trustees at NYRA concerning all aspects.  If

        21       they don't adopt the recommendations, they

        22       have to set it in writing why they did not

        23       adopt the recommendations of the oversight

        24       board.

        25                  One of the other things that we



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         1       talked about was -- that's very important

         2       right now is what happens to the contract

         3       between NYRA and MGM.  That contract is going

         4       to be subject to the approval of the Division

         5       of Lottery and also the oversight board

         6       itself.

         7                  The board will also make

         8       recommendations concerning the operating

         9       expenditures.  And it's very detailed in the

        10       bill, as I know how much you know about the

        11       industry; you've done a lot of research on it.

        12       I think it's going to help us, in view of the

        13       light of what the comptroller has just turned

        14       up in his report and what my office and

        15       members of the board of which you're on, the

        16       Racing and Wagering Committee, we turned up

        17       last year the same thing.

        18                  We talked here the other day about

        19       the Breeders' Cup and how it will be.  Well,

        20       every fourth year we're going to get the

        21       Breeders' Cup now.  So we're putting it into

        22       this so that the advisory board can look at

        23       how much they need, why they need it and

        24       everything else.

        25                  And last but not least, as you



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         1       remember, John, that there was a question

         2       going on here about the OTBs.  Do we have

         3       everything we want here to assist the OTBs?

         4       No.  But, you know, I've always lived under

         5       the assumption you get your nose under the

         6       tent, you can spread that tent a little wider.

         7       And I think that we collectively can work on

         8       that to ensure it.

         9                  But I think the biggest thing in

        10       here is going to be the oversight board and

        11       that the lottery, not the Racing and Wagering

        12       Board, will have some specific duties and

        13       responsibilities.  And I think it's going to

        14       improve how we operate.

        15                  ACTING PRESIDENT MEIER:    Senator

        16       Sabini.

        17                  SENATOR SABINI:    Mr. President,

        18       if the sponsor would yield for a few

        19       questions.

        20                  ACTING PRESIDENT MEIER:    Senator

        21       Larkin, do you yield?

        22                  SENATOR LARKIN:    Yes, Mr.

        23       President.

        24                  ACTING PRESIDENT MEIER:    The

        25       sponsor yields.



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         1                  SENATOR SABINI:    The sponsor

         2       correctly outlines that last year we did an

         3       overhaul of the racing industry.  I guess this

         4       is the overhaul of the overhaul.

         5                  It appoints a commission that you

         6       mentioned that I note the minorities of both

         7       houses don't have representatives on.  But

         8       there's mention in the bill of an special ad

         9       hoc commission that comes into play later on

        10       down the calendar.  If the sponsor could

        11       explain that commission and why it's needed.

        12                  SENATOR LARKIN:    I'm sorry, I

        13       can't hear you.

        14                  SENATOR SABINI:    There's a

        15       mention in the bill of a special ad hoc

        16       committee that gets appointed after this

        17       committee gets appointed if this committee

        18       fails to do what it's supposed to do.

        19                  Can you explain why we need that?

        20                  SENATOR LARKIN:    John, that's

        21       going to pertain to the RFPs that are going to

        22       go out, that ad hoc -- that's what that aspect

        23       of it is.

        24                  SENATOR SABINI:    If the sponsor

        25       would continue to yield.



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         1                  ACTING PRESIDENT MEIER:    Senator

         2       Larkin, do you continue to yield?

         3                  SENATOR LARKIN:    Yes.

         4                  ACTING PRESIDENT MEIER:    The

         5       sponsor yields.

         6                  SENATOR SABINI:    Who appoints the

         7       ad hoc committee?

         8                  SENATOR LARKIN:    The Governor

         9       will.

        10                  SENATOR SABINI:    Mr. President,

        11       if the sponsor would continue to yield.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Larkin, do you yield?

        14                  SENATOR LARKIN:    Yes.

        15                  ACTING PRESIDENT MEIER:    The

        16       sponsor yields.

        17                  SENATOR SABINI:    So just let me

        18       get this straight.  The Governor appoints the

        19       Racing and Wagering Commission.  He'll have

        20       appointment to the new oversight commission

        21       over NYRA, which is another board.  And then

        22       if we have a problem later on down the track,

        23       there will be another special committee

        24       appointed by the Governor to oversee the board

        25       that was appointed by the Governor now that's



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         1       somehow being overseen by the Racing and

         2       Wagering Commission?

         3                  SENATOR LARKIN:    If you read that

         4       total package in there, that ad hoc is only

         5       going to be responsible for the oversight of

         6       the RFP.  It will not have anything to do with

         7       the other aspect of the advisory.

         8                  What the contention was is that

         9       they wanted to ensure that the RFPs are

        10       carried out as they should be.  And that's

        11       exactly what this is going to be.

        12                  SENATOR SABINI:    Mr. President,

        13       if the sponsor would continue to yield.

        14                  ACTING PRESIDENT MEIER:    Senator

        15       Larkin, do you yield?

        16                  SENATOR LARKIN:    I'll yield for

        17       one more.

        18                  ACTING PRESIDENT MEIER:    The

        19       sponsor yields.

        20                  SENATOR SABINI:    In the eighth

        21       paragraph of the first section of this bill on

        22       page 2, it -- there's new verbiage that says

        23       that if the franchise or license is revoked by

        24       the Racing and Wagering Board -- assuming if

        25       NYRA's franchise is revoked -- then,



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         1       notwithstanding any other provision of the law

         2       to the contrary, such association shall

         3       transfer to the nonprofit racing

         4       association --

         5                  SENATOR LARKIN:    And the advisory

         6       board will take over the responsibilities

         7       until such time as there is a successor.

         8                  SENATOR SABINI:    Right.  But it

         9       says it shall -- Mr. President, it says it

        10       shall transfer title and interest held by such

        11       association in all such facilities.

        12                  I'm wondering if the sponsor can

        13       tell me, does that mean that NYRA owns the

        14       tracks?

        15                  SENATOR LARKIN:    NYRA has a

        16       license.  We give them the license.  We can

        17       also rescind the license.  And what we're

        18       saying here is that in the event that there's

        19       no continuation to NYRA and that there isn't

        20       something else, we'll be in a position so that

        21       once the license is revoked, we won't have to

        22       be worrying about it, we have the advisory

        23       board that will take over that function.

        24                  That's what it says -- I don't know

        25       what page you're reading, but it's in there.



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         1                  SENATOR SABINI:    Mr. President,

         2       I'm reading from page 2 of the bill, the

         3       eighth paragraph.  And line 49 talks about --

         4       and it's old law -- "all right, title and

         5       interest held by such association in all such

         6       facilities."  That, to me, means they own the

         7       tracks.

         8                  SENATOR LARKIN:    Well, I wasn't

         9       there at the writing table.  I was only there

        10       at the discussion table.  So let me just tell

        11       you what it means.

        12                  It means that if you're on that

        13       advisory board, and the comptroller and the

        14       attorney general and the legislative body

        15       believes that this is not in the best

        16       interests of the people of the State of

        17       New York, the advisory board -- that's why

        18       it's a limited board, not a big 20-member

        19       board like the trustees are -- it is a limited

        20       board of five individuals who we hope will pay

        21       attention to the business at hand and have no

        22       other interest.

        23                  In the event that we don't take

        24       that license to them and the terms that have

        25       to be endured -- the transfer of the assets,



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         1       the responsibilities, the functions of the

         2       track -- it says we'll have somebody there to

         3       hold it until the advisory board puts out an

         4       RFP for somebody else to come in and assume

         5       responsibility for the operation of the track.

         6                  SENATOR SABINI:    Thank you, Mr.

         7       President.

         8                  SENATOR LARKIN:    Thank you, sir.

         9                  ACTING PRESIDENT MEIER:    Any

        10       other Senator wish to be heard on the bill?

        11                  Senator Liz Krueger.

        12                  SENATOR LIZ KRUEGER:    Thank you.

        13                  Well, I was confused and now I'm

        14       more confused.  This seems to be a bit of a

        15       who's-on-first arrangement with boards

        16       reporting to boards reporting to boards.  But

        17       the same people are nominating all the same

        18       people to these boards, so I am confused why

        19       we need more of them.

        20                  I think we need to fix the NYRA

        21       situation.  It's not clear to me why this

        22       situation gets us closer to that.  So on the

        23       grounds that we need to do something and this

        24       doesn't seem to be it, I'll be voting no.

        25                  Thank you.



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         1                  ACTING PRESIDENT MEIER:    Any

         2       other Senator wish to be heard on the bill?

         3                  Debate is closed, then.

         4                  The Secretary will ring the bell.

         5                  Read the last section.

         6                  THE SECRETARY:    Section 7.  This

         7       act shall take effect immediately.

         8                  ACTING PRESIDENT MEIER:    Call the

         9       roll.

        10                  (The Secretary called the roll.)

        11                  ACTING PRESIDENT MEIER:    Senator

        12       Sabini, to explain his vote.

        13                  SENATOR SABINI:    Thank you, Mr.

        14       President.

        15                  You know, there's an old expression

        16       that's very appropriate here that a camel is a

        17       horse built by committee.  This is a whole

        18       dromedary.

        19                  We have a problem that is not going

        20       away anytime soon with our racing industry in

        21       the state.  We have a Racing and Wagering

        22       Board that's supposed to have oversight over

        23       it.

        24                  We had a hearing recently where the

        25       chairman of the Racing and Wagering Board



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         1       said:  "Well, I really don't want to look at

         2       the VLTs; that's the Lottery Division."  Even

         3       though wagering is the lottery, and I would

         4       think that he would have some oversight over

         5       it.

         6                  So now we're creating a committee

         7       to oversee NYRA, even though Racing and

         8       Wagering oversees it.  And there's a special

         9       ad hoc committee created later on.  And the

        10       core is still not working.  So no matter how

        11       we dress this up, it's still not going to

        12       address the problems of racing in this state.

        13                  That being said, we have continued

        14       to fritter away time and we have a hole in our

        15       budget that Aqueduct was supposed to plug with

        16       VLTs.  I don't want to do anything to

        17       jeopardize that budget line or the jobs it

        18       means to Queens County and the economic

        19       development it means to Queens County.  So

        20       I'll vote yes, but I think this is a very,

        21       very bad and complicated solution to a problem

        22       that really should be made simpler to solve

        23       rather than more complicated.

        24                  I vote aye.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Sabini will be recorded in the affirmative.

         2                  Announce the results.

         3                  THE SECRETARY:    Those recorded in

         4       the negative on Calendar Number 1950 are

         5       Senators Duane, L. Krueger, Padavan, Parker,

         6       Savino, Schneiderman and Serrano.

         7                  Those Senators absent from voting:

         8       Fuschillo, Gonzalez and Sampson.

         9                  Ayes, 50.  Nays, 7.

        10                  ACTING PRESIDENT MEIER:    The bill

        11       is passed.

        12                  Senator Libous.

        13                  SENATOR LIBOUS:    Mr. President,

        14       could we return to motions and resolutions.  I

        15       believe there's a motion at the desk.

        16                  ACTING PRESIDENT MEIER:    Motions

        17       and resolutions.

        18                  The Secretary will read the

        19       substitution.

        20                  THE SECRETARY:    On page 25,

        21       Senator LaValle moves to discharge, from the

        22       Committee on Rules, Assembly Bill Number 6690

        23       and substitute it for the identical Senate

        24       Bill Number 1395, Third Reading Calendar 935.

        25                  ACTING PRESIDENT MEIER:



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         1       Substitution ordered.

         2                  Senator Robach.

         3                  SENATOR ROBACH:    Yes, Mr.

         4       President.  I wish to call up my bill, Senate

         5       Print Number 5716, recalled from the Assembly,

         6       which is now at the desk.

         7                  ACTING PRESIDENT MEIER:    The

         8       Secretary will read.

         9                  THE SECRETARY:    Calendar Number

        10       1731, by Senator Robach, Senate Print 5716, an

        11       act to amend the Education Law.

        12                  SENATOR ROBACH:    I now move to

        13       reconsider the vote by which this bill was

        14       passed and ask that the bill be restored to

        15       the order of third reading.

        16                  ACTING PRESIDENT MEIER:    Call the

        17       roll on reconsideration.

        18                  (The Secretary called the roll.)

        19                  THE SECRETARY:    Ayes, 58.

        20                  ACTING PRESIDENT MEIER:    The bill

        21       is restored to the order of third reading.

        22                  Senator Robach.

        23                  SENATOR ROBACH:    Mr. President, I

        24       now offer the following amendments.

        25                  ACTING PRESIDENT MEIER:    The



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         1       amendments are received and adopted.

         2                  Senator Robach.

         3                  SENATOR ROBACH:    I now move to

         4       discharge, from the Committee on Rules,

         5       Assembly Print Number 8546 and substitute it

         6       for the identical bill.

         7                  ACTING PRESIDENT MEIER:    So

         8       ordered.

         9                  Lay the bill aside.

        10                  Senator Libous.

        11                  SENATOR LIBOUS:    Mr. President,

        12       there will be a Rules Committee meeting at

        13       11:40 in the Majority Conference Room.

        14                  ACTING PRESIDENT MEIER:    Meeting

        15       of the Rules Committee at 11:40 a.m. in the

        16       Majority Conference Room.

        17                  SENATOR LIBOUS:    And until that

        18       meeting convenes and until it is completed,

        19       the Senate will stand at ease temporarily.

        20                  ACTING PRESIDENT MEIER:    The

        21       Senate will stand at ease pending the report

        22       of the Rules Committee.

        23                  (Whereupon, the Senate stood at

        24       ease at 11:28 a.m.)

        25                  (Whereupon, the Senate reconvened



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         1       at 12:12 p.m.)

         2                  ACTING PRESIDENT LITTLE:    Senator

         3       Skelos.

         4                  SENATOR SKELOS:    Madam President,

         5       if we could return to reports of standing

         6       committees, I believe there's a report of the

         7       Rules Committee at the desk.  I ask that it be

         8       read.

         9                  ACTING PRESIDENT LITTLE:    The

        10       Secretary will read.

        11                  THE SECRETARY:    Senator Bruno,

        12       from the Committee on Rules, reports the

        13       following bills:

        14                  Senate Print 1924A, by Senator

        15       Balboni, an act to amend the Public Health

        16       Law;

        17                  2329, by Senator Valesky, an act in

        18       relation to permitting;

        19                  3257, by Senator Breslin, an act to

        20       amend Chapter 693 of the Laws of 1980;

        21                  3631, by Senator Maltese, an act to

        22       amend the Retirement and Social Security Law;

        23                  5108A, by Senator Farley, an act to

        24       amend the New York State Printing and Public

        25       Documents Law and others;



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         1                  5431B, by Senator Spano, an act to

         2       amend the Tax Law;

         3                  5578, by Senator Bonacic, an act to

         4       amend the Insurance Law;

         5                  5731, by Senator Winner, an act to

         6       amend the Alcoholic Beverage Control Law;

         7                  5784, by Senator Seward, an act to

         8       amend the Insurance Law;

         9                  5797, by Senator Brown, an act to

        10       authorize;

        11                  5917, by Senator Balboni, an act to

        12       amend the Public Health Law;

        13                  5926, by Senator Padavan, an act to

        14       amend a chapter of the Laws of 2005;

        15                  5927, by Senator Leibell, an act to

        16       amend the Public Authorities Law and others;

        17                  And Assembly Print Number 8447, by

        18       Member of the Assembly Reilly, an act to

        19       dedicate the Albany Pine Bush Preserve.

        20                  All bills ordered direct to third

        21       reading.

        22                  ACTING PRESIDENT LITTLE:    Senator

        23       Skelos.

        24                  SENATOR SKELOS:    Madam President,

        25       I move we accept the report of the Rules



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         1       Committee.

         2                  ACTING PRESIDENT LITTLE:    All

         3       those in favor of accepting the report of the

         4       Rules Committee say aye.

         5                  (Response of "Aye.")

         6                  ACTING PRESIDENT LITTLE:    Those

         7       opposed.

         8                  (No response.)

         9                  ACTING PRESIDENT LITTLE:    The

        10       Rules Committee report is accepted.

        11                  SENATOR SKELOS:    Madam President,

        12       if we could go to Supplemental Calendar A and

        13       take up Calendar Number 1946.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you.

        16                  The Secretary will read.

        17                  THE SECRETARY:    Calendar Number

        18       1946, by Senator Libous, Senate Print 5862, an

        19       act to amend Chapter 824 of the Laws of 1968.

        20                  SENATOR SKELOS:    Madam President,

        21       I believe there's a message of necessity at

        22       the desk.  I move we accept it.

        23                  ACTING PRESIDENT LITTLE:    All in

        24       favor of accepting the message of necessity

        25       say aye.



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         1                  (Response of "Aye.")

         2                  ACTING PRESIDENT LITTLE:    Those

         3       opposed.

         4                  (No response.)

         5                  ACTING PRESIDENT LITTLE:    The

         6       message is accepted.

         7                  The Secretary will read the last

         8       section.

         9                  THE SECRETARY:    Section 2.  This

        10       act shall take effect upon enactment on or

        11       before July 1, 2005.

        12                  ACTING PRESIDENT LITTLE:    Call

        13       the roll.

        14                  (The Secretary called the roll.)

        15                  THE SECRETARY:    Ayes, 58.

        16                  ACTING PRESIDENT LITTLE:    The

        17       bill is passed.

        18                  Senator Skelos.

        19                  SENATOR SKELOS:    Madam President,

        20       if we could take up Supplemental Calendar B,

        21       noncontroversial.

        22                  ACTING PRESIDENT LITTLE:    The

        23       Secretary will read.

        24                  THE SECRETARY:    Calendar Number

        25       1954, by Senator Balboni, Senate Print 1924A,



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         1       an act to amend the Public Health Law.

         2                  ACTING PRESIDENT LITTLE:    Read

         3       the last section.

         4                  THE SECRETARY:    Section 2.  This

         5       act shall take effect on the 180th day.

         6                  ACTING PRESIDENT LITTLE:    Call

         7       the roll.

         8                  (The Secretary called the roll.)

         9                  THE SECRETARY:    Ayes, 58.

        10                  ACTING PRESIDENT LITTLE:    The

        11       bill is passed.

        12                  THE SECRETARY:    In relation to

        13       Calendar Number 1955, Senator Valesky moves to

        14       discharge, from the Committee on Civil Service

        15       and Pensions, Assembly Bill Number 4536 and

        16       substitute it for the identical Senate Bill

        17       Number 2329, Third Reading Calendar 1955.

        18                  ACTING PRESIDENT LITTLE:

        19       Substitution ordered.

        20                  The Secretary will read.

        21                  THE SECRETARY:    Calendar Number

        22       1955, by Member of the Assembly Magee,

        23       Assembly Print Number 4536, an act in relation

        24       to permitting the reopening.

        25                  ACTING PRESIDENT LITTLE:    There



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         1       is a home-rule message at the desk.

         2                  Read the last section.

         3                  THE SECRETARY:    Section 2.  This

         4       act shall take effect immediately.

         5                  ACTING PRESIDENT LITTLE:    Call

         6       the roll.

         7                  (The Secretary called the roll.)

         8                  THE SECRETARY:    Ayes, 58.

         9                  ACTING PRESIDENT LITTLE:    The

        10       bill is passed.

        11                  THE SECRETARY:    In relation to

        12       Calendar Number 1956, Senator Breslin moves to

        13       discharge, from the Committee on Rules,

        14       Assembly Bill Number 6374 and substitute it

        15       for the identical Senate Bill Number 3257,

        16       Third Reading Calendar 1956.

        17                  ACTING PRESIDENT LITTLE:

        18       Substitution ordered.

        19                  The Secretary will read.

        20                  THE SECRETARY:    Calendar Number

        21       1956, by Member of the Assembly McEneny,

        22       Assembly Print Number 6374, an act to amend

        23       Chapter 693 of the Laws of 1980.

        24                  ACTING PRESIDENT LITTLE:    There

        25       is a local fiscal impact note at the desk.



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         1                  Read the last section.

         2                  THE SECRETARY:    Section 2.  This

         3       act shall take effect immediately.

         4                  ACTING PRESIDENT LITTLE:    Call

         5       the roll.

         6                  (The Secretary called the roll.)

         7                  THE SECRETARY:    Ayes, 57.  Nays,

         8       1.  Senator Valesky recorded in the negative.

         9                  ACTING PRESIDENT LITTLE:    The

        10       bill is passed.

        11                  THE SECRETARY:    In relation to

        12       Calendar Number 1957, Senator Maltese moves to

        13       discharge, from the Committee on Rules,

        14       Assembly Bill Number 6732 and substitute it

        15       for the identical Senate Bill Number 3631,

        16       Third Reading Calendar 1957.

        17                  ACTING PRESIDENT LITTLE:

        18       Substitution ordered.

        19                  The Secretary will read.

        20                  THE SECRETARY:    Calendar Number

        21       1957, by Member of the Assembly Seminerio,

        22       Assembly Print Number 6732, an act to amend

        23       the Retirement and Social Security Law.

        24                  ACTING PRESIDENT LITTLE:    Read

        25       the last section.



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         1                  THE SECRETARY:    Section 2.  This

         2       act shall take effect immediately.

         3                  ACTING PRESIDENT LITTLE:    Call

         4       the roll.

         5                  (The Secretary called the roll.)

         6                  THE SECRETARY:    Ayes, 58.

         7                  ACTING PRESIDENT LITTLE:    The

         8       bill is passed.

         9                  THE SECRETARY:    In relation to

        10       Calendar Number 1958, Senator Farley moves to

        11       discharge, from the Committee on Rules,

        12       Assembly Bill Number 4257A and substitute it

        13       for the identical Senate Bill Number 5108,

        14       Third Reading Calendar 1958.

        15                  ACTING PRESIDENT LITTLE:

        16       Substitution ordered.

        17                  The Secretary will read.

        18                  THE SECRETARY:    Calendar Number

        19       1958, by Member of the Assembly Brennan,

        20       Assembly Print Number 4257A, an act to amend

        21       the New York State Printing and Public

        22       Documents Law.

        23                  ACTING PRESIDENT LITTLE:    Read

        24       the last section.

        25                  SENATOR DUANE:    Lay it aside,



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         1       please.

         2                  ACTING PRESIDENT LITTLE:    The

         3       bill is laid aside.

         4                  THE SECRETARY:    In relation to

         5       Calendar Number 1959, Senator Spano moves to

         6       discharge, from the Committee on Rules,

         7       Assembly Bill Number --

         8                  SENATOR SKELOS:    Lay it aside

         9       temporarily, please.

        10                  ACTING PRESIDENT LITTLE:    Senator

        11       Skelos, may we substitute first.

        12                  SENATOR SKELOS:    Yes, please do

        13       so.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you.

        16                  THE SECRETARY:    In relation to

        17       Calendar Number 1959, Senator Spano moves to

        18       discharge, from the Committee on Rules,

        19       Assembly Bill Number 8410A and substitute it

        20       for the identical Senate Bill Number 5431B,

        21       Third Reading Calendar 1959.

        22                  ACTING PRESIDENT LITTLE:

        23       Substitution ordered.

        24                  The bill is laid aside.

        25                  THE SECRETARY:    In relation to



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         1       Calendar Number 1960, Senator Bonacic moves to

         2       discharge, from the Committee on Insurance,

         3       Assembly Bill Number 5158 and substitute it

         4       for the identical Senate Bill Number 5578,

         5       Third Reading Calendar 1960.

         6                  ACTING PRESIDENT LITTLE:

         7       Substitution ordered.

         8                  The Secretary will read.

         9                  THE SECRETARY:    Calendar Number

        10       1960, by Member of the Assembly Dinowitz,

        11       Assembly Print Number 5158, an act to amend

        12       the Insurance Law.

        13                  ACTING PRESIDENT LITTLE:    Read

        14       the last section.

        15                  THE SECRETARY:    Section 2.  This

        16       act shall take effect on the 80th day.

        17                  ACTING PRESIDENT LITTLE:    Call

        18       the roll.

        19                  (The Secretary called the roll.)

        20                  THE SECRETARY:    Ayes, 58.

        21                  ACTING PRESIDENT LITTLE:    The

        22       bill is passed.

        23                  THE SECRETARY:    In relation to

        24       Calendar Number 1961, Senator Winner moves to

        25       discharge, from the Committee on Rules,



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         1       Assembly Bill Number 7379C and substitute it

         2       for the identical Senate Bill Number 5731,

         3       Third Reading Calendar 1961.

         4                  ACTING PRESIDENT LITTLE:

         5       Substitution ordered.

         6                  The Secretary will read.

         7                  THE SECRETARY:    Calendar Number

         8       1961, by Member of the Assembly --

         9                  SENATOR SCHNEIDERMAN:    Lay it

        10       aside.

        11                  ACTING PRESIDENT LITTLE:    The

        12       bill is laid aside.

        13                  THE SECRETARY:    In relation to

        14       Calendar Number 1962, Senator Seward moves to

        15       discharge, from the Committee on Rules,

        16       Assembly Bill Number 8376A and substitute it

        17       for the identical Senate Bill Number 5784,

        18       Third Reading Calendar 1962.

        19                  SENATOR SCHNEIDERMAN:    Lay it

        20       aside.

        21                  ACTING PRESIDENT LITTLE:

        22       Substitution ordered.

        23                  The bill is laid aside.

        24                  THE SECRETARY:    In relation to

        25       Calendar Number 1963, Senator Brown moves to



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         1       discharge, from the Committee on Rules,

         2       Assembly Bill Number 8801 and substitute it

         3       for the identical Senate Bill Number 5797,

         4       Third Reading Calendar 1963.

         5                  ACTING PRESIDENT LITTLE:

         6       Substitution ordered.

         7                  The Secretary will read.

         8                  THE SECRETARY:    Calendar Number

         9       1963, by the Assembly Committee on Rules,

        10       Assembly Print Number 8801, an act to

        11       authorize the City of Tonawanda in the County

        12       of Erie.

        13                  ACTING PRESIDENT LITTLE:    There

        14       is a home-rule message at the desk.

        15                  Read the last section.

        16                  THE SECRETARY:    Section 2.  This

        17       act shall take effect immediately.

        18                  ACTING PRESIDENT LITTLE:    Call

        19       the roll.

        20                  (The Secretary called the roll.)

        21                  THE SECRETARY:    Ayes, 58.

        22                  ACTING PRESIDENT LITTLE:    The

        23       bill is passed.

        24                  THE SECRETARY:    Calendar Number

        25       1966, by Senator Leibell, Senate Print 5927,



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         1       an act to amend the Public Authorities Law and

         2       others.

         3                  ACTING PRESIDENT LITTLE:    Senator

         4       Skelos.

         5                  SENATOR SKELOS:    Madam President,

         6       is there a message of necessity at the desk?

         7                  ACTING PRESIDENT LITTLE:    Yes,

         8       there is.

         9                  SENATOR SKELOS:    Move to accept,

        10       please.

        11                  ACTING PRESIDENT LITTLE:    Thank

        12       you.

        13                  All those in favor of accepting the

        14       message of necessity say aye.

        15                  (Response of "Aye.")

        16                  ACTING PRESIDENT LITTLE:    Those

        17       opposed.

        18                  (No response.)

        19                  ACTING PRESIDENT LITTLE:    The

        20       message is accepted.

        21                  Read the last section.

        22                  THE SECRETARY:    Section 31.  This

        23       act shall take effect immediately.

        24                  SENATOR SCHNEIDERMAN:    Lay it

        25       aside.



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         1                  ACTING PRESIDENT LITTLE:    The

         2       bill is laid aside.

         3                  THE SECRETARY:    Calendar Number

         4       1967, by Member of the Assembly Reilly,

         5       Assembly Print Number 8447, an act to dedicate

         6       the Albany Pine Bush Preserve.

         7                  ACTING PRESIDENT LITTLE:    Read

         8       the last section.

         9                  THE SECRETARY:    Section 2.  This

        10       act shall take effect immediately.

        11                  ACTING PRESIDENT LITTLE:    Call

        12       the roll.

        13                  (The Secretary called the roll.)

        14                  THE SECRETARY:    Ayes, 58.

        15                  ACTING PRESIDENT LITTLE:    The

        16       bill is passed.

        17                  Senator Skelos, that completes the

        18       reading of the noncontroversial Supplemental

        19       Calendar B.

        20                  SENATOR SKELOS:    Madam President,

        21       if we could take up Supplemental Calendar B on

        22       the controversial reading.

        23                  ACTING PRESIDENT LITTLE:    Thank

        24       you.

        25                  The Secretary will ring the bells.



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         1                  Senator Skelos.

         2                  SENATOR SKELOS:    At this time if

         3       we could take up Calendar Number 1961, by

         4       Senator Winner.

         5                  ACTING PRESIDENT LITTLE:    Could

         6       we have quiet in the chamber, please.

         7                  On the controversial calendar, the

         8       Secretary will read Calendar Number 1961, by

         9       Senator Winner.

        10                  THE SECRETARY:    Calendar Number

        11       1961, substituted earlier today by Member of

        12       the Assembly Farrell, Assembly Print Number

        13       7379C, an act to amend the Alcoholic Beverage

        14       Control Law.

        15                  ACTING PRESIDENT LITTLE:    Senator

        16       Klein.

        17                  SENATOR KLEIN:    Would the sponsor

        18       yield to some questions.

        19                  ACTING PRESIDENT LITTLE:    Senator

        20       Winner, Senator Klein has asked for an

        21       explanation.

        22                  SENATOR WINNER:    Thank you,

        23       Senator Klein.

        24                  This legislation is obviously known

        25       by everyone here as the direct shipment of



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         1       wine proposal.  The direct shipment of wine

         2       proposal really has emanated and gotten a

         3       great deal of legs as a result of the May 16th

         4       decision by the United States Supreme Court,

         5       where the current system of distributing wine

         6       or shipping wine in New York State was

         7       declared to be illegal.

         8                  Where New York heretofore had been

         9       having unlimited shipment of wine within its

        10       state borders, it prohibited the shipment of

        11       wine outside of its borders, and the court

        12       indicated that that system was not proper.

        13                  New York is the third largest

        14       wine-producing state in the United States.

        15       Right now we have over a thousand grape

        16       growers, over 200 wineries.  And that industry

        17       is currently a credit to this state.  We

        18       provide great amounts of money to promote

        19       tourism there.  And this legislation will

        20       allow the marketing of that wine to be even

        21       increased substantially, and will allow

        22       New York wines to achieve the prominence that

        23       they deserve in this country by exposing them

        24       to so many more consumers and promoters than

        25       currently is allowed under the current system.



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         1                  This legislation provides for a

         2       significant amount of protection to ensure

         3       that sales to minors does not occur.  And it

         4       also provides for the guarantee of collection

         5       of appropriate revenues and taxes for state

         6       taxpayers, to ensure that excise taxes and

         7       sales taxes are properly paid, because it

         8       provides for the point of sale to be within

         9       the state's borders.

        10                  This proposal will increase the

        11       amount of revenues the state receives by

        12       increasing the amount of wine that is marketed

        13       and will again allow New York to be prominent

        14       in this country with regard to the display,

        15       marketing and production of the fine wines

        16       that the Finger Lakes, the Hudson Valley, and

        17       Long Island currently produce.

        18                  So yes, I'd be glad to yield to a

        19       question.

        20                  ACTING PRESIDENT LITTLE:    Thank

        21       you.

        22                  Senator Klein.

        23                  SENATOR KLEIN:    Madam President,

        24       would the sponsor continue to yield.

        25                  ACTING PRESIDENT LITTLE:    Senator



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         1       Winner, do you continue to yield?

         2                  SENATOR WINNER:    Yes.

         3                  ACTING PRESIDENT LITTLE:    The

         4       Senator yields.

         5                  SENATOR KLEIN:    Madam President,

         6       I wanted to ask the sponsor -- clearly, I

         7       think we're all concerned in making sure that

         8       youngsters don't have access to alcohol.  Can

         9       the Senator please elaborate on how we're

        10       making sure, under this legislation, that

        11       young people cannot purchase wine over the

        12       Internet.

        13                  SENATOR WINNER:    Well, first and

        14       foremost, Senator, you have to look at a

        15       little history here.

        16                  In the many, many years that we've

        17       had unfettered, unlimited, and unregulated

        18       intrastate shipment of wine, there has been no

        19       reported cases of abuse of minors obtaining

        20       cases of wine being shipped to the residence

        21       of their parents or their friends, for the

        22       current unlimited amount of shipping that is

        23       allowed in New York from New York wineries

        24       right now to New York residents.

        25                  So the issue of sales to minors in



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         1       my judgment is pretty much a red herring.

         2       There has been a report of the Federal Trade

         3       Commission in 2003 which indicated that there

         4       was no problem with regard to sales to minors

         5       at any place in the country as far as direct

         6       shipment of wine that they could identify.

         7                  And as a result, the protections

         8       that are specifically in this bill require the

         9       production of identification to the common

        10       carrier, liability of the common carrier as --

        11       on an individual basis, and the ability of the

        12       common carrier and the duty to refuse in the

        13       event an individual does not verification of

        14       age and identity upon request by that common

        15       carrier.  And the overall prohibition against

        16       any delivery to anybody under the age of 21,

        17       and the necessity for signature.

        18                  SENATOR KLEIN:    Thank you,

        19       Senator.

        20                  Madam President, would the sponsor

        21       continue to yield.

        22                  ACTING PRESIDENT LITTLE:    Thank

        23       you.

        24                  Senator Winner, do you continue to

        25       yield?



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         1                  SENATOR WINNER:    Yes, I do.

         2                  ACTING PRESIDENT LITTLE:    The

         3       Senator yields.

         4                  SENATOR KLEIN:    In the

         5       legislation we're leaving an awful lot of

         6       responsibility up to common carriers like

         7       Federal Express, UPS.  How are we going to

         8       ensure, under a scenario, let's say, that wine

         9       is delivered to an apartment building in

        10       New York City that has a doorman, that we're

        11       making sure that a minor isn't going to have

        12       access to that wine?

        13                  SENATOR WINNER:    Well, the

        14       liability, of course, for any kind of improper

        15       delivery would then rest with the individual

        16       that was responsible for the commission of

        17       that negligent act of a delivery where the

        18       wine came into the possession of a minor.

        19                  Again, you know, I don't know of

        20       any circumstances that have existed to date,

        21       Senator, that relates to that violation

        22       occurring, with the thousands and thousands of

        23       cases of wine that have been shipped into your

        24       community and our communities from New York

        25       State wineries now under the current system.



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         1                  So if you've got any demonstrated

         2       issues of examples where you can show us

         3       whereby these major problems have occurred

         4       right now under a less restrictive and less

         5       controlled circumstance than we're setting up

         6       right now, I'd be glad to take them under

         7       consideration.

         8                  But I don't believe those abuses

         9       have occurred.  I don't believe they will

        10       occur.  And I think that any allegations or

        11       representations that there's going to be a

        12       huge problem with underage people ordering

        13       their favorite case of chardonnay from

        14       California and paying the shipping costs two

        15       weeks in advance so they can have that party

        16       that night is really pretty much an

        17       unrealistic concern.

        18                  SENATOR KLEIN:    Would the Senator

        19       continue to yield.

        20                  ACTING PRESIDENT LITTLE:    Thank

        21       you.

        22                  Senator Winner, do you continue to

        23       yield?

        24                  SENATOR WINNER:    Yes, Senator.

        25                  ACTING PRESIDENT LITTLE:    The



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         1       Senator yields.

         2                  SENATOR KLEIN:    As a matter of

         3       fact, Senator Winner, I do have a site from a

         4       study which was conducted by the Center on

         5       Alcohol Marketing and Youth, at Georgetown

         6       University, which found that nearly 700,000

         7       underage visitors made in-depth visits to

         8       alcohol websites during the last six months.

         9                  So clearly young people are gaining

        10       access to these websites.  If indeed they are

        11       actually getting their wine, I guess that's a

        12       pretty big number.  If 700,000 are actually

        13       making inquiries, I'm sure many of those young

        14       people are indeed being able to purchase wine

        15       underage.

        16                  But I want to move to the other

        17       area which I think is important to everyone

        18       here as well, the collection of taxes.  How

        19       are we making sure that we're not losing money

        20       on taxes on alcohol, revenue in New York

        21       State?  What are we doing under this

        22       legislation to make sure that there's adequate

        23       collection of taxes?

        24                  SENATOR WINNER:    In order to ship

        25       into New York State, Senator, the winery would



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         1       have to obtain a license, would have to

         2       consent to jurisdiction of the Taxation and

         3       Finance Department, would have to register

         4       with the SLA, and would have to subject

         5       themselves to reporting back with

         6       administrative actions with regard to their

         7       federal winery license in the event that they

         8       were to be a tax avoider.

         9                  So we have designated New York

        10       State as the point of sale for the purposes of

        11       delivery into New York.  Those wineries would

        12       have to make the appropriate reports to the

        13       Department of Taxation and Finance and would

        14       have to file returns and make reporting

        15       requirements so that we can ensure that the

        16       appropriate taxes -- this is a very

        17       appropriate concern, and I appreciate you

        18       raising that, because we need to make sure

        19       that New York receives the appropriate

        20       revenue.

        21                  Senator Krueger is always up here

        22       every day making sure we tax everybody.  And

        23       so that I want to make sure that we get the

        24       appropriate revenue on these particular sales,

        25       because I know that our state treasury can use



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         1       it and we don't want any tax avoidance.  So

         2       we're going to make sure that we get all those

         3       people to pay their taxes, Senator, and that's

         4       a very important concern in this bill.

         5                  SENATOR KLEIN:    Thank you,

         6       Senator.

         7                  Would the sponsor continue to

         8       yield, Madam President.

         9                  ACTING PRESIDENT LITTLE:    Thank

        10       you.

        11                  Senator Winner, do you continue to

        12       yield?

        13                  SENATOR WINNER:    Absolutely.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you.

        16                  The Senator yields.

        17                  SENATOR KLEIN:    Senator, I know

        18       Governor Pataki in the past vetoed a measure

        19       to allow interstate or Internet shipping of

        20       wine.  There's one portion where he states in

        21       his veto memo where the Department of Tax and

        22       Finance has estimated that each case of wine

        23       sold under the provisions of the bill would

        24       cost the state approximately $1 in lost excise

        25       tax and approximately $10 in lost sales tax



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         1       revenue.

         2                  What under this legislation is

         3       making sure that loss isn't going to occur,

         4       under your bill?

         5                  SENATOR WINNER:    Again, Senator,

         6       I want to reiterate the contention that the

         7       point of sale in this legislation is

         8       designated to be New York.  And therefore, the

         9       shipper is going to be required to pay the

        10       appropriate excise taxes and sales taxes on

        11       the point of sale occurring in the State of

        12       New York.

        13                  So therefore, while the Governor's

        14       concerns were -- whether they were valid or

        15       invalid back in 1995 with regard to that

        16       issue, the Governor has certainly been

        17       adequately involved in the development of this

        18       proposal, so -- to satisfy his concerns that

        19       in fact appropriate taxes will be collected

        20       and paid.

        21                  So to that extent, Senator, I'm

        22       confident that this measure will provide for

        23       those protections and meet the very, very

        24       legitimate concerns that you have just

        25       identified.



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         1                  SENATOR KLEIN:    Thank you very

         2       much.

         3                  On the bill, Madam President.

         4                  ACTING PRESIDENT LITTLE:    Thank

         5       you.

         6                  On the bill, Senator Klein.

         7                  SENATOR KLEIN:    I'm still very,

         8       very concerned in opening the door to allow

         9       Internet sales of alcohol to minors.  You

        10       know, I know this legislation before us today

        11       is only limited to the sale of wine.  But

        12       clearly the most recent Supreme Court decision

        13       I think has tremendous ramifications.  Next

        14       we'll be here doing legislation to sell

        15       alcohol, next we'll be doing legislation to

        16       sell beer.

        17                  And clearly in the State of

        18       New York over the last several years, we've

        19       done everything possible to make sure that

        20       minors don't have access to alcohol.  We card

        21       them, we have education programs.  I passed

        22       legislation in the past which allows scanning

        23       devices to make sure that ID cards are valid.

        24       We're really reducing the amount of alcohol

        25       that's being purchased by minors.  We're also



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         1       reducing the number of DWI convictions by

         2       minors.

         3                  But here we are today opening the

         4       door allowing young people to buy alcohol over

         5       the Internet.  You know, it's clear that

         6       there's many, many sites that do cater to

         7       young people.  The study that I cited earlier

         8       has specific websites which advertise how easy

         9       it is and really promote young people in being

        10       able to purchase alcohol, no questions asked,

        11       over the Internet.  That's a huge problem.

        12                  I have another concern.  I'm proud

        13       of the fact that I wrote the law in New York

        14       State which bans the sale of cigarettes over

        15       the Internet.  It went to a federal court, it

        16       was found unconstitutional, it was then

        17       reversed.  It is now the law of the land in

        18       New York State that you cannot purchase

        19       cigarettes over the Internet.

        20                  We did many sting operations over

        21       the years which showed that young people as

        22       young as 14 years of age were buying

        23       cigarettes over the Internet, no questions

        24       asked.  They were delivering them right to

        25       their front door.  I'm afraid the same thing



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         1       is going to happen under this legislation.

         2                  Also, the other reason why I was so

         3       concerned over cigarette sales was a loss of

         4       tax revenue.  I'm concerned that we're losing

         5       very, very important tax revenue in the State

         6       of New York.  And clearly I showed that in the

         7       cigarette sales over the Internet.

         8                  I think once again we're opening

         9       the door to tax evasion, bootlegging of

        10       untaxed wine -- and alcohol, if we do

        11       something else in the future -- and I think

        12       that's bad public policy.

        13                  To reiterate what I said earlier, I

        14       think it's bad public policy to have free

        15       access for young people to be able to purchase

        16       alcohol of any kind over the Internet.  And I

        17       think it's bad public policy to make it easier

        18       to evade New York State's tax laws.

        19                  ACTING PRESIDENT LITTLE:    Thank

        20       you, Senator.

        21                  Senator Nozzolio.

        22                  SENATOR NOZZOLIO:    Thank you,

        23       Madam President.  On the bill.

        24                  ACTING PRESIDENT LITTLE:    On the

        25       bill.



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         1                  SENATOR NOZZOLIO:    Direct

         2       shipping will have a direct impact on job

         3       growth in this state.  That's the bottom line.

         4                  The wineries of New York have taken

         5       great strides in the last two decades.  We've

         6       seen the small farm winery -- supported, in

         7       many cases, by legislation enacted in this

         8       house -- has expanded.  We see small farm

         9       wineries in every corner of the state, but

        10       particularly the Finger Lakes region where

        11       Senator Winner and I and Senator Volker

        12       represent well over a hundred wineries.

        13                  We see a great amount of product

        14       being produced, people coming to the Finger

        15       Lakes region, New York State, because of the

        16       wine, because of the beauty, and because of

        17       the ambience being created by a wonderful

        18       industry that wasn't here even 25 years ago.

        19       Literally tens of thousands of tourists are

        20       coming into New York and discovering our

        21       regions.  And from the Finger Lakes

        22       perspective, we look at the wineries as second

        23       to none as a magnet for bringing people,

        24       bringing their commerce into New York State.

        25                  The Finger Lakes wine product is



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         1       being discovered nationally.  The vintners

         2       have been utilizing great technology produced

         3       at Cornell University, that they have been

         4       utilizing wonderful science and wonderful

         5       growing and irrigation dynamics to develop a

         6       grape and a product that is receiving national

         7       and even international acclaim that we never

         8       would have envisioned seeing two and a half

         9       decades ago.

        10                  As we're drawing tourists from all

        11       across the state, many who are traveling into

        12       our region, not having the means to take

        13       product back with them or, when they're at

        14       home in other areas of the country, wishing

        15       they had some of that Finger Lakes wine or

        16       Long Island wine or wherever they were

        17       traveling, heretofore were not able to get

        18       that product, obtain that product.

        19                  This measure by Senator Winner is a

        20       great measure that will help our industry grow

        21       here in New York.  Direct shipping would not

        22       just allow us to grow grapes, but it will grow

        23       jobs.  We're not only going to be selling more

        24       wine, we're going to bring more people into

        25       our area to come and more people to come the



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         1       second and third time because they have

         2       enjoyed what other areas of the nation have

         3       been utilizing.

         4                  Particularly the states of

         5       California and Washington have been somewhat

         6       ahead of us in the wine production industry.

         7       But I believe that this and other measures

         8       that continue to support the grape growing and

         9       vintners of this state will help move us along

        10       so that we will be second to none in a very

        11       short period of time.

        12                  I wish to again thank Senator

        13       Winner for his leadership.  I wish to thank

        14       many of the advocates, particularly the

        15       New York State Farm Bureau, who recognized how

        16       this measure will enhance job production,

        17       income, commerce into New York State.

        18                  On a more personal level, I'd like

        19       to thank the vintners from my region, Senator

        20       Winner's region, Senator Volker's region, who

        21       came out front and worked very hard to see

        22       this measure and to see this measure that will

        23       not just grow more grapes but will grow many

        24       more jobs for New York.

        25                  Thank you, Madam President.



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         1                  ACTING PRESIDENT LITTLE:    Thank

         2       you, Senator Nozzolio.

         3                  Senator Skelos.

         4                  SENATOR SKELOS:    Thank you, Madam

         5       President.

         6                  I too want to congratulate Senator

         7       Winner on passing this legislation.  I know

         8       that Congressman Kuhl worked on this a long

         9       time, but it needed a member of the Assembly

        10       to come over and give it that final push.  But

        11       congratulations to you.

        12                  You know, what's really going to be

        13       great is Senator Nozzolio and Senator Winner

        14       and a number of my colleagues from upstate,

        15       come to Long Island and you'll taste some

        16       great wine.  It's absolutely tremendous.

        17                  Right, Senator LaValle?

        18                  SENATOR LaVALLE:    Absolutely.

        19                  SENATOR SKELOS:    The best.

        20                  I am absolutely convinced with this

        21       legislation, number one, revenues to the state

        22       will actually increase, not decrease.

        23                  And I'm absolutely convinced that

        24       this will not impact any minors in terms of

        25       drinking.  Quite frankly, the protections are



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         1       there.  UPS, whomever, is not going to fool

         2       around and get fined or lose the ability to

         3       ship.

         4                  This is really an economic

         5       development piece.  This is an opportunity for

         6       the mid-Hudson area, for upstate, for Long

         7       Island to really bring tourism to the regions

         8       and really promote a great product.  Other

         9       states, and Senator Nozzolio mentioned them,

        10       Washington State and some of other smaller

        11       states throughout this nation, their products

        12       were not known until they could ship out of

        13       state.  And once they had that ability, their

        14       product became well known and their industry

        15       flourished.

        16                  So if there is one economic

        17       development piece this year that I believe

        18       will definitely create jobs throughout the

        19       state, it is this.

        20                  So, Senator Winner, I congratulate

        21       you.  And perhaps you can let Congressman Kuhl

        22       know that you accomplished what unfortunately

        23       we could not up until this point.

        24       Congratulations to you.

        25                  ACTING PRESIDENT LITTLE:    Thank



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         1       you, Senator Skelos.

         2                  Senator LaValle.

         3                  SENATOR LaVALLE:    Thank you,

         4       Madam President.

         5                  The legislation that we have before

         6       us is long overdue.  We have had more stops

         7       and starts and disappointments about direct

         8       shipment.  We thought at one point we had

         9       language in a budget.  It didn't work out.  It

        10       took the Supreme Court of the United States to

        11       finally clear the way for us to be able to

        12       reach an agreement and have this legislation.

        13       The prior speakers talked about its

        14       importance.

        15                  I am very, very proud to represent,

        16       in the First Senatorial District, the majority

        17       of the wineries on Long Island.  And in the

        18       last twenty years, these small wineries have

        19       distinguished themselves by winning awards in

        20       national competition.  And so by this

        21       legislation, it will allow the wineries to

        22       become more profitable and improving the

        23       product that they have, creating more jobs.

        24                  Last session we passed, in this

        25       house and the Assembly, a law that created



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         1       wine trails in Suffolk County.  And so there

         2       are wine trails throughout the state.  And

         3       people have demonstrated that they enjoy going

         4       to the wineries and taking their families and

         5       enjoying -- it's all part of the tourism of

         6       our state.  And so this legislation will bring

         7       that up another notch or so.

         8                  But for the First Senatorial

         9       District, what this will do is it will ensure

        10       that the wineries stay profitable.  And many

        11       years ago I had -- I sat down with the

        12       supervisors in the towns that I represent and

        13       we set out a strategy for open space, to

        14       protect our land, to make sure that it

        15       continue continued in farming.  And we tried

        16       two strategies.  One was the vineyards and

        17       wineries, and that has succeeded.  And the

        18       second was to broaden our equine industry, and

        19       that has had some successes and some failures.

        20       But it was all part of maintaining our open

        21       spaces, keeping farmland as -- to be farmed.

        22       And so again, this will allow the solvency and

        23       profitability of our wineries.

        24                  I also hope that people now across

        25       the country will experience, from Niagara



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         1       Falls to Montauk, the great Long Island wines

         2       that we have.  And that here in this house

         3       that we will continue the competition -- I

         4       think Senator Skelos talked about how great

         5       the Long Island wines are, because we're proud

         6       of them, as I'm sure the Finger Lakes and

         7       throughout the state, and the Hudson Valley

         8       are proud of their vineyards.  But once again,

         9       New York, we're ready to compete with the

        10       other 49 states.

        11                  I support this legislation, Madam

        12       President.

        13                  ACTING PRESIDENT LITTLE:    Thank

        14       you, Senator LaValle.

        15                  Senator Maziarz.

        16                  SENATOR MAZIARZ:    Thank you very

        17       much, Madam President.

        18                  I rise in support of this

        19       legislation.  But in deference to my

        20       colleagues from the Finger Lakes region and

        21       from Long Island, I think it's a rather

        22       established fact, Madam President, that in

        23       order to have great wine, you have to have

        24       very good grapes.  And the best grapes in

        25       New York State are grown on the Niagara



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         1       Escarpment in the shadow of Lake Ontario and

         2       the Niagara River.  And that produces the best

         3       wine in New York State.

         4                  And but for the fact that there was

         5       a 36-case limit, I would prove that, Madam

         6       President, by sending all the other 61 members

         7       a case.  However, I am prohibited by law from

         8       doing that.

         9                  So, Madam President, the millions

        10       of tourists a year who visit -- Senator

        11       LaValle and Senator Skelos and Senator Winner

        12       and Senator Nozzolio had it exactly right.

        13       The millions of tourists a year who visit

        14       New York State, particularly the millions of

        15       tourists a year who visit Niagara Falls, are

        16       going to be able to visit the wine trails that

        17       we have in Western New York and are going to

        18       be able to ship our products back to their

        19       home states.

        20                  I think this is an excellent bill.

        21       I agree with Senator Skelos, it took Senator

        22       Winner just one session to get over here and

        23       to get this passed, with a little bit of help

        24       from the United States Supreme Court.  I look

        25       forward to this being a very good economic



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         1       engine for all regions of New York.

         2                  Thank you, Madam President.

         3                  ACTING PRESIDENT LITTLE:    Thank

         4       you, Senator Maziarz.

         5                  Senator Volker.

         6                  SENATOR VOLKER:    Madam President,

         7       I too want to thank Senator Winner.

         8                  I have already told Congressman

         9       Kuhl that it took a monumental effort by an

        10       Assemblyman to get this bill done, and he was

        11       very happy.  Of course, he represents the wine

        12       area too.

        13                  And for those of you that may

        14       wonder, actually, I think that Senator Young

        15       and myself and George probably represent more

        16       of the grape people -- we're not the

        17       wineries -- than some of the other mid-state

        18       people.

        19                  But wine trails have become a huge

        20       operation.  And I remember on Long Island, by

        21       the way, when a fellow by the name of John

        22       Dyson, who was a former commissioner of

        23       commerce, was one of the only people who had

        24       wineries and had -- was growing on the island.

        25       Well, that's of course changed immensely now.



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         1       I've been out on Long Island, and they have

         2       very good wine.  I probably think it's second

         3       only to the wine in the Finger Lakes.  And I

         4       have to say that because I represent part of

         5       the Finger Lakes; I represent Canandaigua and

         6       so forth.

         7                  But I have to tell you, Senator

         8       Padavan, who sits next to me here, was

         9       chairman of Mental Health for a long, long

        10       time.  And I was chairman of the only

        11       subcommittee of mental health, I believe, in

        12       the entire time, which was alcoholism.  I have

        13       frankly opposed wine in grocery stores because

        14       I felt the possibilities of sale to minors was

        15       too high.  And that has brought me some

        16       consternation by some of my own wine people.

        17                  This is a whole different issue.

        18       The issue of distribution is an entirely

        19       different issue.  This is not how young people

        20       get wine, this is how people in both upstate

        21       and Long Island will have an even greater

        22       opportunity to enjoy wines, and people in

        23       California and a lot of other places will find

        24       out, maybe, that they should stop drinking

        25       California wine and start drinking our wine.



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         1                  So I want to thank, again, Senator

         2       Winner, and of course Senator Nozzolio, who's

         3       pushed this for so many years.

         4                  And actually I think this is

         5       probably one of the most important bills for

         6       economic development this session, and it's

         7       something that was long necessary.

         8                  ACTING PRESIDENT LITTLE:    Thank

         9       you, Senator Volker.

        10                  Senator Sabini.

        11                  SENATOR SABINI:    Thank you, Madam

        12       President.  On the bill.

        13                  ACTING PRESIDENT LITTLE:    On the

        14       bill.

        15                  SENATOR SABINI:    Madam President,

        16       I join those that have spoken about the

        17       importance of the wine industry in this state,

        18       and in the Finger Lakes region and the Hudson

        19       Valley and, as a Long Islander, in Long

        20       Island.

        21                  But I want to echo the concerns

        22       raised by Senator Klein earlier during his

        23       questioning.  We have a very tight structure

        24       in our state involving the State Liquor

        25       Authority, alcohol beverage control.  There's



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         1       a reason that we have tight restrictions on

         2       who can sell liquor, when they can sell it,

         3       where they can sell it, where they can

         4       distribute, who they can sell it to, who

         5       checks.

         6                  We had a debate yesterday about a

         7       machine where it was said, well, it's going to

         8       be marketed to kids.  Well, the machine

         9       doesn't cause any problems.  What you put in

        10       the machine does.  And that is, as I cited

        11       yesterday, why we have tight controls on our

        12       liquor stores, our distributors, having them

        13       check as to who buys things.

        14                  So I want to be consistent.  I

        15       continue to be for the strict control of

        16       alcoholic beverages, because they should not

        17       be in the hands of people under 21.  And I

        18       share the concern of Senator Klein that while

        19       we can say there's protections in this law,

        20       coming soon to a TV station near you, some

        21       sting operation where kids are buying wine on

        22       the Internet.

        23                  And as a result of the Supreme

        24       Court decision, there's going to be small

        25       batch bourbon coming in from Kentucky, you're



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         1       going to have specialty beers sold on the

         2       Internet, you're going to have all kinds of

         3       things sold on the Internet.

         4                  And while the Supreme Court ruled

         5       that our law violates interstate commerce

         6       clauses, the interstate commerce clause can be

         7       watered down, as it has been in the past, if

         8       there are public policy concerns of the result

         9       of interstate commerce.

        10                  And so I -- I'm concerned that

        11       we've set up a very good system in New York to

        12       make sure that how we sell alcohol is tightly

        13       controlled.  And I fear that while this may be

        14       good for our wine industry -- and I think

        15       that's a good thing, because I think it's a

        16       great industry and I think it's fabulous what

        17       we've done, particularly on Long Island, with

        18       our wineries -- that there's got to be a

        19       better way to make sure that minors don't have

        20       access to wine and alcohol and cigarettes and

        21       that we have tighter controls over the tax

        22       collection of those items.

        23                  And so for those reasons, I'll be

        24       voting in the negative.  Thank you.

        25                  ACTING PRESIDENT LITTLE:    Thank



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         1       you, Senator.

         2                  Senator Rath.

         3                  SENATOR RATH:    Madam President,

         4       very briefly.

         5                  As chairman of the Tourism

         6       Committee, I would be remiss if I did not

         7       congratulate Senator Winner, because I see

         8       this as in some way a tourism development

         9       promotion.  And as we know, we would like very

        10       much to see more monies into tourism

        11       development, as some of our sister states

        12       have.  We are way down in dollar amounts in

        13       supporting I Love New York and some of the

        14       other programs that draw people into New York

        15       State.

        16                  But I envision parties in Texas or

        17       in Wisconsin and people will say:  Oh, where

        18       did you discover this wine?  Oh, it's New York

        19       State.  And people will say:  I was on Long

        20       Island or I was in the Finger Lakes or I was

        21       in Niagara.  And people will think to

        22       themselves, Well, I was going to go to Long

        23       Island; maybe I'd better go on the wine trail.

        24       Or I was going to go to a wedding in the

        25       Finger Lakes; maybe I ought to do the Finger



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         1       Lakes Wine Trail.  It will act as an

         2       ambassador for New York State goodwill.

         3                  I only have one small concern, and

         4       I do want to speak with Senator Brown about

         5       it, and it's that the wine trail and the beer

         6       trail don't overlap.  But I think that's next

         7       year's business.

         8                  ACTING PRESIDENT LITTLE:    Thank

         9       you, Senator Rath.

        10                  Senator Alesi.

        11                  SENATOR ALESI:    Thank you, Madam

        12       President.

        13                  First of all, I'd like to

        14       congratulate Senator Winner for doing a fine

        15       job in producing this compromise bill.

        16                  And secondly, I'd like to point out

        17       that as chairman of the Committee on Commerce,

        18       Economic Development and Small Business, I

        19       recognize the benefits of this amended

        20       compromise bill, not only to those people who

        21       want to enjoy New York State's fine wines now,

        22       by purchasing them in a different method from

        23       what we're used to, but also because this

        24       supports our state's number-one business.  And

        25       most people still don't consciously realize



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         1       that agriculture is our number-one business in

         2       this state.

         3                  Interestingly enough, the other

         4       enhancement that this bill will bring to

         5       New York State is an enhancement to our

         6       number-two business, as Senator Rath pointed

         7       out.  Our number-two business in this state is

         8       tourism.  And so with this enhancement of both

         9       of our top two industries in this state --

        10       Curly, Larry and Moe.  With the enhancement of

        11       the top two businesses in this state, I think

        12       that we will go a long way in encouraging an

        13       influx, not only of people coming in from

        14       New York State, but those people who don't

        15       even recognize what we have here.

        16                  Earlier this year I was making

        17       plans to do a repeat trip that I did at the

        18       NCSL a couple of years ago.  We went to Napa

        19       Valley.  It was a destination point for us.

        20       They have some good wines out there.  But we

        21       have some very good, very excellent and, to be

        22       sure, some very competitive wines right here

        23       in New York State.  And yet we were excited

        24       about going 3,000 miles away to visit a place

        25       that does exactly what we do here.



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         1                  And with Senator Winner's bill, now

         2       I can foresee, in the very near future, an

         3       influx of people from all of those other

         4       places because they will have an opportunity

         5       to be introduced to our good products here.

         6                  At one point there was great

         7       concern over the dismantling of the tier

         8       system.  And in the committee that I chair, I

         9       shared those concerns, and rightfully so.  But

        10       through the good works and the willingness to

        11       compromise that Senator Winner has shown and

        12       the other house has shown and the second floor

        13       has shown, I think we're beyond those concerns

        14       about the three-tier system.

        15                  And so as I speak today, I embrace

        16       this.  And I congratulate Senator Winner, who

        17       sits with a straight face as I speak.  And I

        18       look forward to a time when those people all

        19       over our state and all of the other states in

        20       this nation will come to New York and

        21       participate in our great industry.

        22                  So congratulations to Senator

        23       Winner and all of those who worked on this

        24       bill.  Thank you very much for your patience

        25       with me, Senator, and my committee.



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         1                  ACTING PRESIDENT LITTLE:    Thank

         2       you, Senator Alesi.

         3                  Senator Wright.

         4                  SENATOR WRIGHT:    Thank you, Madam

         5       President.  Very briefly.

         6                  I too want to extend my

         7       congratulations to Senator Winner as the

         8       sponsor of the bill, and particularly as the

         9       representative of the newest wine region in

        10       the State of New York, the Thousand Islands,

        11       which has not been mentioned in this

        12       afternoon's debate.

        13                  It was but two weeks ago on this

        14       floor that we passed the Thousand Islands

        15       Seaway Wine Trail legislation, and last night

        16       it passed the Assembly.  So we're looking

        17       forward to joining all of our colleagues from

        18       the Finger Lakes and Long Island and Western

        19       New York in producing a very fine variety of

        20       wine that is extremely hardy, of course,

        21       because it's in the North Country.

        22                  But I'd also like to reinforce and

        23       echo the comments of Senator Alesi.  Our

        24       economy in the North Country is one that is

        25       very much dependent upon agriculture and



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         1       tourism, and this is another added value to

         2       our economy, one that will foster the growth

         3       of small business.

         4                  And in fact we have a young

         5       entrepreneur who is an individual who came to

         6       our region from Fort Drum, stayed in the

         7       region, made an investment in his winery and

         8       began growing his small business.  He now has

         9       incorporated a number of the small dairy

        10       farmers who have now developed an alternative

        11       or a diversity to their crop, to their

        12       incomes, and is very successful growing grapes

        13       throughout the region and producing a fine

        14       wine that we've had occasion to share.

        15                  So I too want to acknowledge the

        16       sponsor's efforts, the support of the Senate

        17       for the concepts of tourism and agriculture,

        18       and look forward to having all of you visit

        19       the new wine trail in the Thousand Islands.

        20                  Thank you, Madam President.

        21                  ACTING PRESIDENT LITTLE:    Thank

        22       you, Senator Wright.

        23                  Senator Young.

        24                  SENATOR YOUNG:    Thank you, Madam

        25       President.



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         1                  As chairperson of the Senate

         2       Agriculture Committee and as someone who

         3       proudly represents the Chautauqua region in

         4       New York State, I am thrilled about the

         5       passage of this legislation because it's

         6       critical to the health and the future of

         7       upstate New York.

         8                  You know, we've talked a little

         9       bit -- my colleagues have talked about

        10       different areas of the state where they have

        11       wonderful wine regions.  And I acknowledge

        12       that, that we have exquisite wines that are

        13       produced in the Finger Lakes, the Niagara

        14       region, the Hudson Valley, Long Island, the

        15       Thousand Islands.  But also in Chautauqua

        16       County, where grapes grow on the beautiful

        17       shores of Chautauqua Lake and Lake Erie.

        18                  Despite the high quality of our

        19       wines in New York State, unfortunately they

        20       have been the best-kept secret in the country.

        21       And it's because there was limited access.

        22       This direct shipping bill will change all

        23       that.  And when you look at other states that

        24       have gone to direct shipping that produce

        25       wines, their business at their wineries has



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         1       increased up to 70 percent.  We are hoping

         2       that we can even beat that percentage here in

         3       New York State.

         4                  So I too congratulate and thank

         5       Senator Winner for his tenacity, the Farm

         6       Bureau for their tireless advocacy on this

         7       legislation.  And I just think it's a great

         8       day for the future of the grape, the wine, and

         9       the tourism industry in New York State.

        10                  ACTING PRESIDENT LITTLE:    Thank

        11       you, Senator Young.

        12                  Senator Meier.

        13                  SENATOR MEIER:    Madam President,

        14       I was sitting here kind of puzzled.  I wanted

        15       to help Senator Winner out and support this

        16       bill, but they don't make wine in my district.

        17       And then it hit me.

        18                  Rome and Utica has the best Italian

        19       food in the entire state of New York.  And as

        20       the late, great Pasquale Destito, the owner of

        21       the Savoy, always used to say:  "Eating

        22       Italian food without wine is like dancing

        23       without music.  It can be done, but it's

        24       better the other way."

        25                  (Laughter.)



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         1                  ACTING PRESIDENT LITTLE:    Thank

         2       you, Senator Meier.

         3                  Is there any other Senator who

         4       wishes to be heard on the bill?

         5                  The debate is closed.

         6                  The Secretary will ring the bell.

         7                  Read the last section.

         8                  THE SECRETARY:    Section 11.  This

         9       act shall take effect on the 120th day.

        10                  ACTING PRESIDENT LITTLE:    Call

        11       the roll.

        12                  (The Secretary called the roll.)

        13                  ACTING PRESIDENT LITTLE:    Senator

        14       Winner, to explain his vote.

        15                  SENATOR WINNER:    Thank you, Madam

        16       President.  Briefly to explain my vote.

        17                  I want to thank my colleagues for

        18       supporting this, and I want to thank the Farm

        19       Bureau and the other advocates on behalf of

        20       this legislation.  This is going to go a long

        21       way to help all of the 2.7 million visitors of

        22       our wineries to obtain these great products.

        23       It's going to help our economy, it's going to

        24       help tourism, it's going to help many, many

        25       regions of this state, and it is going to be a



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         1       tremendous benefit to all of us.

         2                  I would have liked to have

         3       congratulated everybody more, with a larger

         4       reception.  But as Senator Maziarz pointed

         5       out, we have something called a case limit on

         6       this, so that therefore we're precluded on

         7       getting everything we want for that.

         8                  But, Senator Maziarz, remember,

         9       your wife can get another 36 cases too, so now

        10       you can cover all of us in the room.

        11                  (Laughter.)

        12                  SENATOR WINNER:    I vote aye.

        13                  ACTING PRESIDENT LITTLE:    Thank

        14       you.

        15                  Senator Winner will be recorded in

        16       the affirmative.

        17                  The Secretary will announce the

        18       results.

        19                  THE SECRETARY:    Those recorded in

        20       the negative on Calendar Number 1961 are

        21       Senators Klein and Sabini.

        22                  Those Senators absent from voting:

        23       Fuschillo, Gonzalez, C. Kruger and Sampson.

        24                  Ayes, 54.  Nays, 2.

        25                  ACTING PRESIDENT LITTLE:    The



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         1       bill is passed.

         2                  Senator Skelos.

         3                  SENATOR SKELOS:    If you would

         4       please call up Calendar Number 1952,

         5       noncontroversial.  This is a chapter amendment

         6       to the bill we just passed.

         7                  ACTING PRESIDENT LITTLE:    The

         8       Secretary will read Calendar 1952,

         9       noncontroversial.

        10                  THE SECRETARY:    Calendar Number

        11       1952, by Senator Winner, Senate Print 5925, an

        12       act to amend the Alcoholic Beverage Control

        13       Law.

        14                  SENATOR SKELOS:    Madam President,

        15       is there a message at the desk?

        16                  ACTING PRESIDENT LITTLE:    Yes,

        17       there is.

        18                  SENATOR SKELOS:    Move to accept.

        19                  ACTING PRESIDENT LITTLE:    All

        20       those in favor of accepting the message of

        21       necessity say aye.

        22                  (Response of "Aye.")

        23                  ACTING PRESIDENT LITTLE:    Those

        24       opposed.

        25                  (No response.)



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         1                  ACTING PRESIDENT LITTLE:    The

         2       message is accepted.

         3                  Read the last section.

         4                  THE SECRETARY:    Section 5.  This

         5       act shall take effect on the same date and in

         6       the same manner as a chapter of the Laws of

         7       2005.

         8                  ACTING PRESIDENT LITTLE:    Call

         9       the roll.

        10                  (The Secretary called the roll.)

        11                  THE SECRETARY:    Ayes, 57.  Nays,

        12       2.  Senators Klein and Sabini recorded in the

        13       negative.

        14                  ACTING PRESIDENT LITTLE:    The

        15       bill is passed.

        16                  Senator Skelos.

        17                  SENATOR SKELOS:    Madam President,

        18       on Supplemental Calendar B would you please

        19       call up Calendar Number 1958, by Senator

        20       Farley, noncontroversial.

        21                  ACTING PRESIDENT LITTLE:    Thank

        22       you.

        23                  The Secretary will read Calendar

        24       1958 on the noncontroversial Supplemental

        25       Calendar B.



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         1                  THE SECRETARY:    Calendar Number

         2       1958, substituted earlier today by Member of

         3       the Assembly Brennan, Assembly Print Number

         4       4257A, an act to amend the New York State

         5       Printing and Public Documents Law.

         6                  ACTING PRESIDENT LITTLE:    Read

         7       the last section.

         8                  THE SECRETARY:    Section 62.  This

         9       act shall take effect on the 90th day.

        10                  ACTING PRESIDENT LITTLE:    Call

        11       the roll.

        12                  (The Secretary called the roll.)

        13                  ACTING PRESIDENT LITTLE:    Senator

        14       Farley, to explain his vote.

        15                  SENATOR FARLEY:    Just to explain

        16       my vote.

        17                  I just want to say thank you to the

        18       Minority over there, and to the Assembly.

        19       This is a massive bill, but it's a

        20       good-government bill, one that gets rid of all

        21       kinds of unnecessary requirements that are in

        22       the law.

        23                  The Assembly has worked on this

        24       since the '90s and really did a lot of work.

        25       My office did a lot of work putting it



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         1       together again this year.  It's a cleanup bill

         2       that really helps for the efficiency of

         3       government.  And I applaud the Assembly, the

         4       other side, and everybody for supporting it.

         5       It's also very good for our legislative

         6       library.

         7                  Thank you, Madam President.  I vote

         8       aye.

         9                  ACTING PRESIDENT LITTLE:    Senator

        10       Farley will be recorded in the affirmative.

        11                  The Secretary will announce the

        12       results.

        13                  THE SECRETARY:    Ayes, 58.

        14                  ACTING PRESIDENT LITTLE:    The

        15       bill is passed.

        16                  Senator Skelos.

        17                  SENATOR SKELOS:    Madam President,

        18       on the regular calendar would you please call

        19       up Calendar Number 1926, by Senator Spano,

        20       noncontroversial.

        21                  ACTING PRESIDENT LITTLE:    The

        22       Secretary will read Calendar 1926,

        23       noncontroversial, regular calendar.

        24                  THE SECRETARY:    Calendar Number

        25       1926, by Senator Spano, Senate Print 5654B, an



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         1       act to amend the Tax Law and others.

         2                  ACTING PRESIDENT LITTLE:    There

         3       is a local fiscal impact note at the desk.

         4                  Read the last section.

         5                  THE SECRETARY:    Section 9.  This

         6       act shall take effect immediately.

         7                  ACTING PRESIDENT LITTLE:    Call

         8       the roll.

         9                  (The Secretary called the roll.)

        10                  THE SECRETARY:    Ayes, 57.  Nays,

        11       1.  Senator Valesky recorded in the negative.

        12                  ACTING PRESIDENT LITTLE:    The

        13       bill is passed.

        14                  Senator Skelos.

        15                  SENATOR SKELOS:    Madam President,

        16       if we could go to Supplemental Calendar B and

        17       take up Calendar Number 1962, controversial.

        18                  ACTING PRESIDENT LITTLE:    Thank

        19       you.

        20                  The Secretary will read Calendar

        21       Number 1962, on the controversial reading of

        22       Supplemental Calendar B.  And the Secretary

        23       will ring the bell.

        24                  The Secretary will read.

        25                  THE SECRETARY:    Calendar Number



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         1       1962, substituted earlier today by Member of

         2       the Assembly Diaz, Assembly Print Number

         3       8376A, an act to amend the Insurance Law.

         4                  SENATOR SCHNEIDERMAN:

         5       Explanation.

         6                  ACTING PRESIDENT LITTLE:    Senator

         7       Seward, for an explanation.

         8                  SENATOR SEWARD:    Certainly, Madam

         9       President.

        10                  This is one piece of our

        11       multifaceted antifraud package that this house

        12       has passed on a number of occasions.  And I'm

        13       very pleased that this particular part of that

        14       package has received support and passage in

        15       the other house a day or two ago under the

        16       sponsorship of Assemblyman Diaz.

        17                  And this particular bill requires

        18       the Superintendent of Insurance, in

        19       consultation with the Commissioner of Health

        20       and the Commissioner of Education, to

        21       establish a process for decertifying those

        22       healthcare providers who engage in deceptive

        23       billing or fraudulent practices and making

        24       them ineligible to submit bills or claims for

        25       payment under the no-fault auto insurance



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         1       program.

         2                  ACTING PRESIDENT LITTLE:    Thank

         3       you, Senator.

         4                  Senator Montgomery.

         5                  SENATOR MONTGOMERY:    Yes, Madam

         6       President.  I just want to point out that

         7       although I'm going to be supporting this

         8       legislation, I do have a bit of a concern that

         9       we may be going a little far in protecting

        10       providers as opposed to considerations for

        11       consumers.

        12                  And so I want to just register that

        13       concern, but I am going to be voting yes.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you.

        16                  Is there any other Senator wishing

        17       to be heard?

        18                  The debate is closed.

        19                  The Secretary will ring the bell.

        20                  Read the last section.

        21                  THE SECRETARY:    Section 2.  This

        22       act shall take effect immediately.

        23                  ACTING PRESIDENT LITTLE:    Call

        24       the roll.

        25                  (The Secretary called the roll.)



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         1                  ACTING PRESIDENT LITTLE:    Senator

         2       Seward, to explain his vote.

         3                  SENATOR SEWARD:    Thank you, Madam

         4       President.

         5                  I'm very pleased with the support

         6       that this legislation is receiving today.

         7                  But for the record, I would just

         8       like to state that this measure is designed to

         9       address the unlawful and abusive conduct that

        10       has driven up the cost of auto insurance in

        11       this state, including the solicitation of

        12       patients through the use of runners and the

        13       knowing submission of false claims to no-fault

        14       carriers, such as billing for treatments that

        15       were never provided.

        16                  In this regard, I believe it is

        17       important to note that this measure does not

        18       permit the deauthorization of a provider under

        19       no-fault as a result of simple coding disputes

        20       that often take place between the insurers and

        21       health providers regarding how to

        22       appropriately describe, in a numerical code,

        23       the service rendered by a physician, such as a

        24       difference of opinion regarding the

        25       appropriate evaluation and management codes



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         1       that physicians use to describe the time and

         2       complexity of a particular patient's visit.

         3                  Instead, this measure is designed

         4       to address situations where a provider submits

         5       a claim stating that they performed a

         6       particular diagnostic procedure or test, such

         7       as an MRI, and in fact never actually

         8       performed that diagnostic procedure or test.

         9                  I would also note that there is

        10       nothing in this legislation that would permit

        11       auto insurance companies to establish

        12       standards of medical care and by extension

        13       seek to deauthorize providers who do not

        14       follow such standards.

        15                  With that on the record, Madam

        16       President, I vote aye.

        17                  ACTING PRESIDENT LITTLE:    Thank

        18       you.

        19                  Senator Seward will be recorded in

        20       the affirmative.

        21                  Senator DeFrancisco, to explain his

        22       vote.

        23                  SENATOR DeFRANCISCO:    Yes, I'm

        24       going to vote yes.  I don't think anyone

        25       should be voting against an antifraud measure



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         1       that saves taxpayers money and consumers

         2       money.

         3                  The problem is there's also

         4       activities on behalf of insurance companies

         5       that I believe don't fairly pay claims.  And

         6       I've had a bill languishing in this house for

         7       years, which I drafted, which passed the

         8       Assembly, called the Unfair Claims Act, which

         9       gives the consumer a remedy when a claim, at

        10       least on a homeowner's policy, is not honored

        11       and there's no basis for it not being honored

        12       other than the stronger financial capabilities

        13       of an insurance carrier as opposed to a

        14       homeowner.

        15                  And I keep mentioning this because

        16       I hope someday we will recognize that, if not

        17       fraud, there is certainly an unequal balance

        18       of authority and power on behalf of the

        19       carriers to decline policyholders their due

        20       recovery on policies, which are just not fair.

        21       And there should be some remedy for consumers

        22       as well, just as here there's a remedy for

        23       carriers against those consumers who are not

        24       doing the right thing.

        25                  So I'll vote in favor of this and



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         1       continue to wait patiently for some balance.

         2                  ACTING PRESIDENT LITTLE:    Thank

         3       you.

         4                  Senator DeFrancisco will be

         5       recorded in the affirmative.

         6                  The Secretary will announce the

         7       results.

         8                  THE SECRETARY:    Those recorded in

         9       the negative on Calendar Number 1962 are

        10       Senators Andrews, Connor, Dilan, Duane,

        11       Hassell-Thompson, Parker, Paterson, Sampson,

        12       Schneiderman, Serrano, A. Smith and Stavisky.

        13                  Those Senators absent from voting:

        14       Fuschillo, Gonzalez, and C. Kruger.

        15                  Ayes, 45.  Nays, 12.

        16                  ACTING PRESIDENT LITTLE:    The

        17       bill is passed.

        18                  Senator Skelos.

        19                  SENATOR SKELOS:    Madam President,

        20       on Supplemental Calendar B would you please

        21       call up Calendar Number 1966, by Senator

        22       Leibell.  I believe this is on the

        23       controversial reading.

        24                  ACTING PRESIDENT LITTLE:    Thank

        25       you.



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         1                  The Secretary will read Calendar

         2       Number 1966, on the controversial Supplemental

         3       Calendar B, by Senator Leibell.

         4                  THE SECRETARY:    Calendar Number

         5       1966, by Senator Leibell, Senate Print 5927,

         6       an act to amend the Public Authorities Law and

         7       others.

         8                  SENATOR MONTGOMERY:    Explanation.

         9                  ACTING PRESIDENT LITTLE:    An

        10       explanation has been requested of Senator

        11       Leibell.

        12                  SENATOR LEIBELL:    Thank you,

        13       Madam President.

        14                  Madam President, this is certainly

        15       going to be one of the most significant pieces

        16       of legislation to come before the Senate and

        17       the Assembly during this session.

        18                  There have been a great many

        19       questions raised about public authorities over

        20       the last couple of years.  It's probably

        21       important for us, as we discuss this issue, to

        22       keep in mind what authorities have done for

        23       our state over the course of the last few

        24       generations.

        25                  Most of us are well aware of the



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         1       role of the Port Authority, Power Authority,

         2       Thruway, Dormitory, canal, housing authorities

         3       and the billions of dollars that they

         4       represent, as well as the airport authorities

         5       and the bridge and tunnel authorities.

         6                  Numerous questions have been raised

         7       with respect to the important roles that these

         8       authorities play, state as well as local

         9       authorities.  There's been an issue as to

        10       whether or not the public and even the

        11       Legislature and the Executive know how these

        12       authorities operate.

        13                  What we have attempted to do over

        14       the last almost two years now is to get a

        15       better grasp for how these authorities operate

        16       and to find ways in which they can be

        17       improved.

        18                  First, I'd like to thank our

        19       Majority Leader, Senator Bruno, for his active

        20       involvement, support and encouragement.  And I

        21       would note also for our colleagues that this

        22       has been a partnership, because at every step

        23       of the way, as the Majority has proceeded,

        24       similarly, Senator Ada Smith, the ranking

        25       Minority member, has proceeded also.



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         1                  We have conducted, together,

         2       hearings throughout the state.  We've reviewed

         3       testimony, we've taken comment, and we've

         4       tried to learn from all those who have an

         5       interest and are participants in the

         6       authorities of our great state.

         7                  What we have today is a

         8       commencement.  It is by no means a conclusion.

         9       We are still waiting for the Governor's task

        10       force to give us additional thoughts in this

        11       area, as well as our own committees are going

        12       to be continuing to work.  The legislation is

        13       aimed at restoring public confidence, and it

        14       has certain key elements.

        15                  We would also note that Senator

        16       Winner did, the other day, his -- gave us the

        17       other day his procurement piece, which is

        18       certainly a major reform piece.  We also have

        19       another piece involved, which Senator Smith

        20       and I have worked on, involving subsidiaries

        21       of our authorities.

        22                  This legislation -- and I would

        23       also note that as we go through this

        24       significant reform, this is not the first time

        25       that this body has considered reforming



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         1       authorities.  Key reforms have gone back to

         2       the 1939 state constitutional convention, the

         3       1956 review of authorities, the 1968

         4       constitutional convention.  1972 through 1976

         5       led to the PACB reform.

         6                  So there have been numerous

         7       occasions and many opportunities to look at

         8       these authorities.  But we have been concerned

         9       with the erosion of public confidence, which

        10       is why we are here today.

        11                  This is a good, solid first step.

        12       First, we commence the much-needed legal

        13       definitional process of this area of the law,

        14       defining for the first time the terms "state

        15       authority," "local authority," "interstate or

        16       international authority" and "affiliate."

        17                  We then expand the boards of

        18       several important authorities to the workable

        19       size of seven, to permit the formation of

        20       audit and corporate governance committees.

        21                  We provide corporate governance

        22       reform by separating the roles of the chairman

        23       and the chief executive officers of several of

        24       our most important authorities.

        25                  We attempt to improve transparency,



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         1       disclosure, accountability by requiring public

         2       authorities to submit, with their annual

         3       report, a debt issuance report card, a

         4       compensation schedule, an inventory of

         5       projects undertaken by authority during the

         6       last year, an inventory of all real property,

         7       and the authority's code of ethics, as well as

         8       an assessment of the authority's internal

         9       control structure and procedures.

        10                  This bill will require public

        11       authorities to make documentation available on

        12       official Internet websites pertaining to its

        13       mission, current activities, most recent

        14       financial reports, current year budget, and

        15       its most recent independent audit report.

        16                  Further, it requires public

        17       authority boards to approve their financial

        18       reports and to have them certified by their

        19       CEOs and CFOs.  It requires all state

        20       authorities to submit annual budget reports to

        21       Governor and the Legislature and, in the case

        22       of local authorities, to submit such reports

        23       to the CEO, CFO, and chair of the legislative

        24       body of the local government or governments.

        25                  It requires all public authorities



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         1       to have an independent financial audit, an

         2       audit committee, and to hire a certified

         3       public accounting firm to perform such

         4       independent audit, in accordance with

         5       generally accepted auditing standards, and to

         6       provide copies of such audits to the Governor

         7       and the Legislature.

         8                  To have the certified public

         9       accounting firm which performs the authority's

        10       independent audit to timely report back to the

        11       authority's audit committee, including

        12       management's response or plan of corrective

        13       action.

        14                  To require the certified public

        15       accounting firm which performs the public

        16       authority's independent audit to change the

        17       lead audit partner after five years.

        18                  To prohibit the certified public

        19       accounting firm which performs the public

        20       authority's independent audit from also

        21       providing contemporaneous non-audit services

        22       for the authority, and to prohibit the

        23       certified public accounting firm which

        24       performs the public authority's independent

        25       audit, if a member of the financial management



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         1       team of the authority that was employed by

         2       such firm within an year of the initiation of

         3       the audit, to prohibit -- I'm sorry, to

         4       prohibit the certified public accounting firm

         5       to perform the public authority's independent

         6       audit if a member of the financial management

         7       team of the authority was employed by such

         8       firm within a year of the initiation of the

         9       audit.

        10                  And it provides for corporate

        11       governance reform by requiring public

        12       authorities to define the role and

        13       responsibility of authority board members to

        14       promote the education and independence of

        15       board members, to require board members to

        16       file financial disclosure, to prohibit board

        17       members from accepting personal loans, and to

        18       require boards to establish an audit committee

        19       and a corporate governance committee.

        20                  This bill would further promote

        21       increased accountability, ethics and public

        22       confidence by making provisions concerning the

        23       disposition of property of public authorities,

        24       including the establishment of duties and

        25       disposal guidelines with respect to the



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         1       disposition of the property of the

         2       authorities.

         3                  It also permits the Senate Finance

         4       and Assembly Ways and Means Committee and

         5       their secretaries to be provided with all

         6       public authority data, information or

         7       statements as may be necessary for the proper

         8       exercise of their powers and duties.

         9                  It also directs the establishment,

        10       within the Executive Department, of an

        11       organization to provide the Governor and the

        12       Legislature with information, conclusions and

        13       opinions concerning the operations and

        14       performance of authorities.

        15                  And, finally, the bill would

        16       establish a new Article 4A of the Executive

        17       Law to codify the Executive order establishing

        18       an Office of the State Inspector General, to

        19       provide for his term and compensation, and

        20       include within his jurisdiction with respect

        21       to public authorities.

        22                  As I noted, this is a bill that is

        23       very, very comprehensive.  It is, I believe,

        24       the most dramatic reform we've seen in the

        25       history of our state's authorities.  It is a



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         1       bill also which commences the reform process

         2       but does not complete it.

         3                  And I would note that, once again,

         4       we're very grateful for the working

         5       relationship we have had with Senator Smith

         6       and her staff throughout this process.

         7                  ACTING PRESIDENT LITTLE:    Thank

         8       you, Senator Leibell.

         9                  Senator Montgomery.

        10                  SENATOR MONTGOMERY:    Yes, Madam

        11       President, if the sponsor, Senator Leibell,

        12       would yield.

        13                  ACTING PRESIDENT LITTLE:    Senator

        14       Leibell, do you yield for a question?

        15                  SENATOR LEIBELL:    Yes.

        16                  ACTING PRESIDENT LITTLE:    The

        17       Senator yields.

        18                  SENATOR MONTGOMERY:    Yes.

        19       Senator Leibell, you may have said this

        20       initially, but I didn't hear it.  Is there a

        21       three-way or two-way agreement on this

        22       legislation?

        23                  SENATOR LEIBELL:    I'm sorry, I

        24       didn't say that, Senator.

        25                  There is a three-way agreement



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         1       between the Assembly, the Executive and this

         2       house.

         3                  SENATOR MONTGOMERY:    All right.

         4       Thank you.

         5                  Madam President, just briefly on

         6       the bill.

         7                  ACTING PRESIDENT LITTLE:    Thank

         8       you.

         9                  SENATOR MONTGOMERY:    I want to

        10       thank the members who have worked very hard to

        11       come up with what I think is a very good

        12       beginning in terms of reform of the

        13       authorities.

        14                  The taxpayers of the State of

        15       New York assume the responsibility, obligation

        16       for the debt service created by these

        17       authorities, and it's often that it's done in

        18       such a secret manner and in a way that there

        19       is no accountability to the public.  And so

        20       therefore, it's sort of a -- it's been a

        21       runaway group of freight trains.  And we, I

        22       think, need to and, very appropriately, have

        23       come up with a proposal which will bring them

        24       into line as it relates to the oversight.

        25                  I'm very pleased to see that



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         1       there's transparency required of the

         2       authorities, that they have information on

         3       their websites so citizens can see what -- the

         4       activities that they've been engaging in.  I'm

         5       very happy to see that there will be an

         6       independent audit on the activities of the

         7       public authorities, all of them.

         8                  And I'm very happy to see that

         9       there's been reform in the board members

        10       themselves, that we now will know who is on

        11       the board of the authority and will have

        12       access to their financial disclosure

        13       information.

        14                  I'm happy to see that there is an

        15       independent inspector general created with

        16       this legislation in the office of the

        17       Executive, so that we now at least have some

        18       official office to oversee these authorities,

        19       and that there will be a report that will come

        20       to us in a way that we can review what has

        21       been happening and know at all times what is

        22       the extent of the debt, outstanding debt

        23       service, and what it's for and all of that.

        24                  If we pass Senator Leibell's

        25       bill -- hopefully we will -- and that the



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         1       Assembly will agree on the subsidiary

         2       legislation, I think that will also be very --

         3       an important bill to match with this one.

         4                  Certainly I understand that we

         5       didn't go as far as maybe Senator Leibell and

         6       some of the sponsors, the cosponsors, would

         7       have liked.  However, this is a very important

         8       and significant and good step in the right

         9       direction, and so I am happy to support this.

        10                  I think, on behalf of the

        11       constituents that I serve who have lots of

        12       issues and problems with the way the

        13       authorities operate, especially as it relates

        14       to some of the projects in my own district, I

        15       think that they will be very grateful and very

        16       happy that we have made this one of the things

        17       that we've accomplished in this particular

        18       legislative session.

        19                  So, Madam President, I am happy to

        20       support this legislation.

        21                  ACTING PRESIDENT LITTLE:    Thank

        22       you, Senator Montgomery.

        23                  Senator Krueger.

        24                  SENATOR LIZ KRUEGER:    Thank you,

        25       Madam President.  If the sponsor would yield,



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         1       please.

         2                  ACTING PRESIDENT LITTLE:    Thank

         3       you.

         4                  Senator Leibell, do you yield for a

         5       question?

         6                  SENATOR LEIBELL:    Yes.

         7                  ACTING PRESIDENT LITTLE:    Thank

         8       you.

         9                  Yes, the Senator yields.

        10                  SENATOR LIZ KRUEGER:    Thank you.

        11                  I want to thank you for the work on

        12       this bill and for your very detailed

        13       explanation.  It is a dense and complex bill,

        14       and I think it does address many of the

        15       concerns that so many of us have had about

        16       public authorities and the fact that we take

        17       responsibility away from ourselves by creating

        18       these independent authorities and then never

        19       seem to go back and watch or care.

        20                  But I still have a few questions.

        21       So through you, Madam President, this does

        22       include IDAs for some of the same standards as

        23       other public authorities.  Does this change in

        24       any way the role of the Public Authority

        25       Control Board vis-a-vis --



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         1                  SENATOR LEIBELL:    No.

         2                  SENATOR KRUEGER:    -- authorities

         3       or IDAs or the process?

         4                  SENATOR LEIBELL:    No, Senator.

         5                  SENATOR LIZ KRUEGER:    No, they

         6       don't.  Thank you.

         7                  Now, it also lays out many more

         8       responsibilities for reporting and reporting

         9       to us and to the public.  But I don't see any

        10       sections on penalties if public authorities

        11       don't meet these new requirements.

        12                  Is there a penalties section and I

        13       just didn't get to it because it's such a big

        14       bill?

        15                  SENATOR LEIBELL:    There is not.

        16                  SENATOR LIZ KRUEGER:    So if I --

        17                  SENATOR LEIBELL:    What you have,

        18       though, is you have an inspector general who's

        19       created who would then be able to go in and do

        20       a necessary report and make comment on their

        21       failures.

        22                  SENATOR LIZ KRUEGER:    Madam

        23       President, if, through you, the sponsor will

        24       continue to yield.

        25                  ACTING PRESIDENT LITTLE:    Senator



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         1       Leibell, do you continue to yield?

         2                  SENATOR LEIBELL:    Yes.

         3                  ACTING PRESIDENT LITTLE:    The

         4       Senator yields.

         5                  SENATOR LIZ KRUEGER:    Thank you.

         6       And your last answer triggered this question I

         7       had.

         8                  So that there is a requirement for

         9       independent auditors, which is great.  And

        10       actually GAAP budget standards have to be

        11       followed, which we should follow in the state

        12       budget as well, so I'm glad to see we're

        13       mandating it for our authorities.

        14                  But up until now, it's my

        15       understanding the Comptroller's office has had

        16       the role of auditing or investigating problems

        17       with public authorities and IDAs.  And in this

        18       legislation, the division of an inspector

        19       general, budget -- wait, I'm going to get the

        20       name wrong.  But it's within the inspector

        21       general's office, I believe, which is an

        22       Executive office, and then a Division of

        23       Budget authority -- I'm losing the term, but I

        24       think you know what I mean.

        25                  SENATOR LEIBELL:    I know what you



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         1       mean, Senator.

         2                  SENATOR LIZ KRUEGER:    Thank you.

         3                  So does the Comptroller's office

         4       have no role anymore in evaluating or

         5       auditing?

         6                  SENATOR LEIBELL:    They would have

         7       concurrent jurisdiction.

         8                  SENATOR LIZ KRUEGER:    They would

         9       have parallel jurisdiction.  Thank you.

        10                  I think just one -- if, through

        11       you, Madam President, one additional question.

        12                  ACTING PRESIDENT LITTLE:    Thank

        13       you.

        14                  Senator Leibell, do you yield for

        15       another question?

        16                  SENATOR LEIBELL:    Yes, Madam

        17       President.

        18                  ACTING PRESIDENT LITTLE:    The

        19       Senator yields.

        20                  SENATOR LIZ KRUEGER:    Thank you.

        21                  Again, as I said, I find that

        22       overall this bill moves us absolutely in the

        23       right direction.

        24                  But I have -- I do have one

        25       concern.  It actually gives, in creating



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         1       larger boards with even more, statistically,

         2       of the members being appointed by the

         3       Governor, it actually seems to shift power

         4       over public authorities to some degree further

         5       to the Executive.  And again, we've created

         6       the investigative arm in the -- excuse me, in

         7       the investigator general's office.

         8                  Are we shifting a little too much

         9       of the authority to the Executive in response

        10       to the balance we have now?  Even though I

        11       completely support having far more oversight

        12       and review and mandated reporting.

        13                  SENATOR LEIBELL:    We would still

        14       have, of course, our legislative oversight.

        15       We will have more legislative oversight than

        16       ever before.  There is more authority for, I

        17       think, the Executive.  There is still

        18       tremendous authority for the State

        19       Comptroller.

        20                  So I think we've tried to build a

        21       redundancy into this legislation that there

        22       will be controls from the Executive branch,

        23       through the Comptroller, through the

        24       Governor's office himself and their inspector

        25       general, and through the Legislature.



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         1                  SENATOR LIZ KRUEGER:    Madam

         2       President, I know I said I had my final

         3       question, but I just realized one more.  Would

         4       the sponsor humor me and give me one more

         5       question?

         6                  ACTING PRESIDENT LITTLE:    Senator

         7       Leibell, one more question, please?

         8                  SENATOR LEIBELL:    Sure.

         9                  Just to respond to your previous

        10       question, which --

        11                  SENATOR LIZ KRUEGER:    Yes.

        12                  SENATOR LEIBELL:    -- you had

        13       asked about penalties.  There are always the

        14       penalties if anybody puts in a fraudulent

        15       document.  Those penalties are there.

        16                  SENATOR LIZ KRUEGER:    If, through

        17       you -- thank you, Madam President.

        18                  We have discussed, I think, on this

        19       floor in the past when public authorities have

        20       come up, and based on audits that have come

        21       out, that it's a reasonable question that

        22       maybe we shouldn't have so many public

        23       authorities in this state and that some of

        24       these could be -- are duplicative or could be

        25       combined.  The question of 117, I believe,



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         1       IDAs.

         2                  Is there anything within this bill

         3       that proposes either evaluating the current

         4       structure of the number of different

         5       authorities we have or makes recommendations

         6       for some kind of task force to look into that

         7       question of do we have the right ones, should

         8       we be changing the formula?

         9                  SENATOR LEIBELL:    Actually,

        10       that's one of the things that Senator Smith

        11       brought up as we went through our processes.

        12       That's an area that Senator Smith has been

        13       working on also.

        14                  And I would anticipate that that's

        15       one of the things that we have yet to close

        16       down on and that we will be working on over

        17       the summer and fall to try to come up with a

        18       legislative solution on that:  how you take

        19       these authorities, if necessary, to

        20       consolidate them and, if they've outlived

        21       their usefulness, how do you take away their

        22       existence.

        23                  SENATOR LIZ KRUEGER:    Right.

        24                  Thank you, Madam President.  On the

        25       bill.



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         1                  ACTING PRESIDENT LITTLE:    Thank

         2       you.

         3                  Senator Krueger, on the bill.

         4                  SENATOR LIZ KRUEGER:    Thank you.

         5                  Well, at the risk of shocking this

         6       house, I'm very pleased with this bill.  I

         7       want to applaud everyone who was involved on

         8       both sides and in both houses, and the

         9       Governor's office, for moving us this far.  I

        10       think we've known we needed to do this for

        11       many years.  And the fact that we are standing

        12       here today voting it through and believing we

        13       have a three-way deal I think is very good

        14       news for the people of the State of New York.

        15                  As Senator Leibell just said,

        16       there's more work to be done, there are more

        17       questions to deal with.  And I think as this

        18       is implemented over the next year or two, and

        19       we expect to see dramatically more information

        20       becoming available to the public because of

        21       the reporting requirements and the new

        22       mandates, I think that we'll have new

        23       questions about how these authorities are

        24       operating and whether they're appropriate or

        25       necessary.  And there will be more questions



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         1       because there's, as someone else just said,

         2       there's more transparency.  And so we'll find

         3       other things that we need to address with

         4       further legislation.

         5                  But I must say I'm very pleased

         6       that we are moving down this road.  And I

         7       think this is an excellent beginning.  And I

         8       want to thank the sponsor for his work and say

         9       that I think this is a situation where all

        10       three levels of government did some good work

        11       and we're getting a bill that we can be proud

        12       of.

        13                  Thank you, Madam President.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you.

        16                  Senator Farley.

        17                  SENATOR FARLEY:    Yes, thank you,

        18       Madam President.  I rise to applaud Senator

        19       Leibell and Senator Smith, who worked together

        20       on this.

        21                  I think this was one of the most

        22       herculean assignments that was ever given to

        23       senators to try to resolve.  And there were

        24       many people that felt that this was something

        25       that would never come to fruition, which was



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         1       very, very, very difficult, and something that

         2       needed to be addressed.

         3                  And to see that this -- you know,

         4       we've look at things that we accomplished here

         5       this year.  This is a major accomplishment

         6       that has been done in our Senate and in the

         7       Assembly, everybody working together, the

         8       second floor.  And it is really significant

         9       that this authorities reform has come to pass

        10       in this year.

        11                  And, Senator Leibell, you are to be

        12       applauded for taking on a job that many people

        13       did not, never thought could be accomplished.

        14       And it is truly a credit, not only to this

        15       house, but to the entire legislative process

        16       and the negotiating process that this has come

        17       to pass.

        18                  And, Senator Smith, I also applaud

        19       you for your cooperation and help working with

        20       in a bipartisan manner to make this happen.

        21                  I'm going to vote aye.

        22                  ACTING PRESIDENT LITTLE:    Thank

        23       you.

        24                  Senator Schneiderman.

        25                  SENATOR SCHNEIDERMAN:    Very



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         1       briefly.

         2                  I'm pleased that, listening to

         3       Senator Krueger, Senator Farley, Senator

         4       Leibell, we're sort of kicking off the summer

         5       of love here in a true bipartisan fashion.

         6                  I spent a lot of years, long before

         7       I was in the Senate, dealing with issues

         8       raised by authorities and representing public

         9       interest groups against authorities.  And

        10       we're big on grandiose metaphors now, but if

        11       this is a herculean effort, the authorities of

        12       this state certainly have come, at times, to

        13       resemble the Augean stables.

        14                  But I think it's clear that this

        15       bill is an unusual step forward -- unusual

        16       because, in this area of authorities reform,

        17       the perfect has always been the enemy of the

        18       possible.  And I commend everyone involved in

        19       both houses, on both sides of the aisle.

        20       Senator Smith is getting a lot of love in this

        21       summer of love here today.

        22                  There are issues still to be

        23       addressed.  As Senator Krueger and Senator

        24       Montgomery pointed out, we have too many

        25       authorities.  We do need independent review.



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         1       But this is really a surprise and a pleasure

         2       to many.  And many of the public interest

         3       groups I've represented in battles with the

         4       authorities did not think this would come to

         5       pass.

         6                  So congratulations to all --

         7       Senator, Senator.  And let's get this done and

         8       keep on going.

         9                  Thank you, Madam President.

        10                  ACTING PRESIDENT LITTLE:    Thank

        11       you, Senator.

        12                  Senator Smith.

        13                  SENATOR ADA SMITH:    Thank you,

        14       Madam President.

        15                  I would like to commend Senator

        16       Leibell and his staff for a yeoman's job, the

        17       many hours of dedication that they put into

        18       ensuring that this bill came to fruition.

        19                  I would also like to commend

        20       Senator Leibell for his negotiating skills in

        21       being able to deal with Assemblyman Brodsky,

        22       and who is -- and it all came through in the

        23       Assembly.

        24                  SENATOR SCHNEIDERMAN:    Love.

        25       Love.



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         1                  SENATOR ADA SMITH:    That's with

         2       love.  I love Richard.

         3                  And I would like to thank the

         4       members of the Assembly and the leadership

         5       there, who were busy working to assure that

         6       this became law.

         7                  And to Senator Bruno, I thank him

         8       for allowing me to be able to work with my

         9       colleague on the other side of the aisle.

        10                  And I look forward to next year

        11       when we come back and tackle those things that

        12       are still left to be done.

        13                  Thank you.

        14                  ACTING PRESIDENT LITTLE:    Thank

        15       you, Senator Smith.

        16                  Senator Leibell.

        17                  SENATOR LEIBELL:    Thank you.

        18                  You know, as Senator Smith and I

        19       went through this process, which was certainly

        20       for me, I think, the most difficult

        21       legislation I've ever worked on, I would like

        22       to thank our counsel, Bob Farley; Heather

        23       Mowat, from Senate Finance; Maston Sansom,

        24       from our counsel's office; and I know Keith

        25       St. John from your office also did a great



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         1       job.

         2                  So we've been blessed, all of us,

         3       by very good staff people who worked hard and

         4       long hours on this, and we thank them for

         5       that.

         6                  And I certainly vote aye.

         7                  ACTING PRESIDENT LITTLE:    Thank

         8       you.

         9                  Senator Skelos.

        10                  SENATOR SKELOS:    Madam President,

        11       I want to congratulate Senator Leibell and of

        12       course all the people he mentioned and the

        13       bipartisan effort that existed.

        14                  But I really think it's his

        15       daughter, Martha, who is sitting behind him,

        16       that came from Cornell as a junior and said --

        17       well, senior, now -- and said, "Let's get it

        18       done," and it happened.

        19                  So congratulations to you, Martha.

        20                  ACTING PRESIDENT LITTLE:    Thank

        21       you, Senator.

        22                  Is there any other Senator wishing

        23       to be heard?

        24                  Debate is closed, then.

        25                  The Secretary will ring the bell.



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         1                  Read the last section.

         2                  THE SECRETARY:    Section 31.  This

         3       act shall take effect immediately.

         4                  ACTING PRESIDENT LITTLE:    Call

         5       the roll.

         6                  (The Secretary called the roll.)

         7                  ACTING PRESIDENT LITTLE:    Senator

         8       LaValle, to explain his vote.

         9                  SENATOR LaVALLE:    Thank you,

        10       Madam President.

        11                  I want to compliment Senator

        12       Leibell, who has worked very, very hard;

        13       Senator Smith.

        14                  In his remarks, Senator Leibell

        15       talked about the importance of our authorities

        16       in delivering services that are so important

        17       to the commerce of our state.  Greater

        18       transparency and the reform in this measure

        19       will mean greater viability of our

        20       authorities, greater confidence by the people.

        21                  And, Senator Leibell, this truly is

        22       a monumental moment for this Legislature and

        23       our state.  You are to be congratulated.

        24                  I vote in the affirmative.

        25                  ACTING PRESIDENT LITTLE:    Thank



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         1       you.

         2                  Senator LaValle will be recorded in

         3       the will be recorded in the affirmative.

         4                  Senator Volker, to explain his

         5       vote.

         6                  SENATOR VOLKER:    Madam President,

         7       quickly.

         8                  I just want to thank Senator

         9       Leibell.  With all the things that he's done

        10       in this bill, he probably hardly even

        11       remembers, but he was extremely cooperative --

        12       there were some problems related to the

        13       authorities that we created in healthcare

        14       areas, and one of them in particular was

        15       Roswell Park.

        16                  And the way in which the bill was

        17       drafted could have created some very severe

        18       problems for Roswell Park in contracting and

        19       things of that nature.  But Senator Leibell

        20       and his staff were extremely cooperative, and

        21       as a result that problem was taken care of.

        22                  And the Roswell Park Cancer

        23       Institute, that is competing with cancer

        24       institutes all across the world, the country,

        25       has been taken care of with its problem.  And



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         1       I want to thank Senator Leibell for that.

         2                  And I vote aye.

         3                  ACTING PRESIDENT LITTLE:    Thank

         4       you.

         5                  Senator Volker will be recorded in

         6       the affirmative.

         7                  Senator DeFrancisco, to explain his

         8       vote.

         9                  SENATOR DeFRANCISCO:    Yes, I also

        10       want to rise to support this bill.

        11                  You know, at the beginning of the

        12       session there was a lot of talk about the need

        13       for reform.  And when you look at the session

        14       as we stand right now, we've talked about

        15       public authorities reform, the Kendra Law

        16       reform, we've reformed some of the procedures

        17       in this house, the voters will vote on budget

        18       reform this coming November.  So things are

        19       really happening, and much to the better in

        20       this house.

        21                  And to Hercules Leibell, we really

        22       appreciate his efforts on this particular

        23       piece of legislation.

        24                  ACTING PRESIDENT LITTLE:    Thank

        25       you.



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         1                  Senator DeFrancisco in the

         2       affirmative.

         3                  Senator Stachowski, to explain his

         4       vote.

         5                  SENATOR STACHOWSKI:    Yes, Madam

         6       President, I too rise to congratulate Senator

         7       Leibell on this bill.  We look forward to

         8       reform in the authority area.

         9                  I'd also like to join with Senator

        10       Volker on thanking him for taking care of the

        11       problems that Roswell might have faced had he

        12       not looked into it.

        13                  And I want to assure him that while

        14       he was speaking, at least seven members were

        15       reading sailing and boating books in the

        16       lounge.

        17                  (Laughing.)

        18                  SENATOR STACHOWSKI:    I vote yes.

        19                  ACTING PRESIDENT LITTLE:    Thank

        20       you.

        21                  Senator Stachowski voting in the

        22       affirmative.

        23                  Senator Montgomery, to explain her

        24       vote.

        25                  SENATOR MONTGOMERY:    Yes, Madam



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         1       President, thank you.

         2                  I just want to rise to also commend

         3       Senator Leibell.  He was very gracious, has

         4       met with people from my district and from the

         5       New York City area.

         6                  I want to thank you for being

         7       patient, listening, and incorporating some of

         8       the concerns and issues that have been raised

         9       by constituents in my district as well as

        10       other districts across the state.

        11                  So this is really a good thing.  We

        12       have both sides of the aisle on the bill

        13       reflecting a new -- what I would like to hope

        14       is a new direction for our house and a new

        15       level of professional cooperation between the

        16       two, because we share some of the same issues

        17       and concerns.  So, Madam President, this is a

        18       good thing.

        19                  And let me just say with all of the

        20       hoopla and talk about reform, this really is

        21       the clearest example that I can see of a real

        22       reform that we'll be voting on today.

        23                  So I'm happy to vote yes.

        24                  ACTING PRESIDENT LITTLE:    Thank

        25       you.



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         1                  Senator Montgomery will be recorded

         2       in the affirmative.

         3                  The Secretary will announce the

         4       results.

         5                  THE SECRETARY:    In relation to

         6       Calendar Number 1966, those Senators absent

         7       from voting:  Senators Fuschillo, Gonzalez and

         8       C. Kruger.

         9                  Ayes, 57.

        10                  ACTING PRESIDENT LITTLE:    The

        11       bill is passed.

        12                  Senator DeFrancisco.

        13                  SENATOR DeFRANCISCO:    Could you

        14       please go to Supplemental Calendar A, in the

        15       noncontroversial calendar; namely, Calendar

        16       Number 1943.

        17                  ACTING PRESIDENT LITTLE:    The

        18       Secretary will read Calendar Number 1943 on

        19       the noncontroversial Supplemental Calendar A.

        20                  THE SECRETARY:    Calendar Number

        21       1943, by Senator Leibell, Senate Print 5102,

        22       an act to amend the Public Authorities Law.

        23                  ACTING PRESIDENT LITTLE:    Read

        24       the last section.

        25                  THE SECRETARY:    Section 2.  This



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         1       act shall take effect immediately.

         2                  ACTING PRESIDENT LITTLE:    Call

         3       the roll.

         4                  (The Secretary called the roll.)

         5                  THE SECRETARY:    Ayes, 59.

         6                  ACTING PRESIDENT LITTLE:    The

         7       bill is passed.

         8                  Senator DeFrancisco.

         9                  SENATOR DeFRANCISCO:    Madam

        10       President, would you now go to Supplemental

        11       Calendar B and one of the noncontroversial

        12       bills on that calendar, 1959.

        13                  ACTING PRESIDENT LITTLE:    The

        14       Secretary will read Calendar Number 1959 on

        15       the noncontroversial Supplemental Calendar B.

        16                  THE SECRETARY:    Calendar Number

        17       1959, substituted earlier today by Member of

        18       the Assembly Espaillat, Assembly Print Number

        19       8410A, an act to amend the Tax Law and the

        20       Executive Law.

        21                  ACTING PRESIDENT LITTLE:    Read

        22       the last section.

        23                  THE SECRETARY:    Section 2.  This

        24       act shall take effect immediately.

        25                  ACTING PRESIDENT LITTLE:    Call



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         1       the roll.

         2                  (The Secretary called the roll.)

         3                  THE SECRETARY:    Ayes, 57.  Nays,

         4       2.  Senators LaValle and Maltese recorded in

         5       the negative.

         6                  ACTING PRESIDENT LITTLE:    The

         7       bill is passed.

         8                  Senator DeFrancisco.

         9                  SENATOR DeFRANCISCO:    Yes, Madam

        10       President.  There will be an immediate meeting

        11       of the Rules Committee.

        12                  And until they complete their work,

        13       the Senate will stand at ease.

        14                  ACTING PRESIDENT LITTLE:

        15       Immediate meeting of the Rules Committee in

        16       the Majority Conference Room.

        17                  The Senate stands at ease.

        18                  (Whereupon, the Senate stood at

        19       ease at 1:58 p.m.)

        20                  (Whereupon, the Senate reconvened

        21       at 2:08 p.m.)

        22                  ACTING PRESIDENT MEIER:    Senator

        23       Skelos.

        24                  SENATOR SKELOS:    Mr. President,

        25       if we could return to reports of standing



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         1       committees, I believe there's a report of the

         2       Rules Committee at the desk.  I ask that it be

         3       read at this time.

         4                  ACTING PRESIDENT MEIER:    Reports

         5       of standing committees.

         6                  The Secretary will read the report

         7       of the Rules Committee.

         8                  THE SECRETARY:    Senator Bruno,

         9       from the Committee on Rules, reports the

        10       following bills:

        11                  Senate Print 713B, by Senator

        12       LaValle, an act to amend the Real Property Tax

        13       Law;

        14                  979A, by Senator Morahan, an act to

        15       amend the Public Health Law;

        16                  1772A, by Senator Meier, an act to

        17       amend the Public Health Law;

        18                  3984C, by Senator Volker, an act to

        19       amend the Executive Law;

        20                  4869A, by Senator Hannon, an act to

        21       amend the Public Health Law;

        22                  5051A, by Senator Saland, an act to

        23       amend the Education Law;

        24                  5117, by Senator Spano, an act to

        25       amend the Public Health Law;



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         1                  5398A, by Senator Maziarz, an act

         2       to amend the Tax Law;

         3                  5429, by Senator Spano, an act to

         4       amend the Civil Service Law;

         5                  5485A, by Senator Rath, an act

         6       relating to providing;

         7                  5541, by Senator Oppenheimer, an

         8       act to authorize;

         9                  5656C, by Senator Spano, an act to

        10       amend the Public Health Law;

        11                  5835, by Senator Hannon, an act to

        12       amend the Public Health Law;

        13                  5860, by the Senate Committee on

        14       Rules, an act extending;

        15                  5911, by Senator Young, an act to

        16       amend the Education Law;

        17                  5913, by Senator Marcellino, an act

        18       authorizing;

        19                  5924A, by Senator DeFrancisco, an

        20       act to amend the Court of Claims Act;

        21                  And Assembly Print Number 7699, by

        22       Member of the Assembly Nolan, an act to amend

        23       the Banking Law.

        24                  All bills ordered direct to third

        25       reading.



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         1                  ACTING PRESIDENT MEIER:    Senator

         2       Skelos.

         3                  SENATOR SKELOS:    Mr. President,

         4       move to accept the report of the Rules

         5       Committee.

         6                  ACTING PRESIDENT MEIER:    All in

         7       favor of accepting the report of the Rules

         8       Committee signify by saying aye.

         9                  (Response of "Aye.")

        10                  ACTING PRESIDENT MEIER:    Those

        11       opposed, nay.

        12                  (No response.)

        13                  ACTING PRESIDENT MEIER:    The

        14       report is accepted.

        15                  Senator Skelos.

        16                  SENATOR SKELOS:    I believe we're

        17       waiting for the active list to be distributed.

        18       So if we could just stand at ease for a

        19       moment.

        20                  ACTING PRESIDENT MEIER:    The

        21       Senate will stand at ease.

        22                  (Whereupon, the Senate stood at

        23       ease at 2:11 p.m.)

        24                  (Whereupon, the Senate reconvened

        25       at 2:14 p.m.)



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         1                  SENATOR SKELOS:    Mr. President.

         2                  ACTING PRESIDENT MEIER:    Senator

         3       Skelos.

         4                  SENATOR SKELOS:    On each member's

         5       desk there's a calendar that says Senate

         6       Supplemental Calendar 62C.  We will use this

         7       as the active list.

         8                  So if we could go to that calendar,

         9       starting with Calendar Number 293,

        10       noncontroversial.

        11                  ACTING PRESIDENT MEIER:    The

        12       Secretary will read.

        13                  THE SECRETARY:    Calendar Number

        14       293, by Senator LaValle, Senate Print 713B, an

        15       act to amend the Real Property Tax Law.

        16                  ACTING PRESIDENT MEIER:    Read the

        17       last section.

        18                  THE SECRETARY:    Section 2.  This

        19       act shall take effect immediately.

        20                  ACTING PRESIDENT MEIER:    Call the

        21       roll.

        22                  (The Secretary called the roll.)

        23                  THE SECRETARY:    Ayes, 59.

        24                  ACTING PRESIDENT MEIER:    The bill

        25       is passed.



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         1                  THE SECRETARY:    Calendar Number

         2       1951, by Senator Morahan, Senate Print --

         3                  SENATOR SCHNEIDERMAN:    Lay it

         4       aside.

         5                  ACTING PRESIDENT MEIER:    Lay the

         6       bill aside.

         7                  THE SECRETARY:    In relation to

         8       Calendar Number 1968, Senator Meier moves to

         9       discharge, from the Committee on Rules,

        10       Assembly Bill Number 4844 and substitute it

        11       for the identical Senate Bill Number 1772,

        12       Third Reading Calendar 1968.

        13                  ACTING PRESIDENT MEIER:

        14       Substitution ordered.

        15                  The Secretary will read.

        16                  THE SECRETARY:    Calendar Number

        17       1968, by Member of the Assembly Gottfried,

        18       Assembly Print Number 4844, an act to amend

        19       the Public Health Law.

        20                  ACTING PRESIDENT MEIER:    Read the

        21       last section.

        22                  THE SECRETARY:    Section 2.  This

        23       act shall take effect immediately.

        24                  ACTING PRESIDENT MEIER:    Call the

        25       roll.



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         1                  (The Secretary called the roll.)

         2                  THE SECRETARY:    Ayes, 59.

         3                  ACTING PRESIDENT MEIER:    The bill

         4       is passed.

         5                  THE SECRETARY:    In relation to

         6       Calendar Number 1969, Senator Volker moves to

         7       discharge, from the Committee on Rules,

         8       Assembly Bill Number 5380C and substitute it

         9       for the identical Senate Bill Number 3984C,

        10       Third Reading Calendar 1969.

        11                  ACTING PRESIDENT MEIER:

        12       Substitution ordered.

        13                  The Secretary will read.

        14                  THE SECRETARY:    Calendar Number

        15       1969, by Member of the Assembly Perry,

        16       Assembly Print Number 5830C, an act to amend

        17       the Executive Law.

        18                  ACTING PRESIDENT MEIER:    Read the

        19       last section.

        20                  THE SECRETARY:    Section 2.  This

        21       act shall take effect immediately.

        22                  ACTING PRESIDENT MEIER:    Call the

        23       roll.

        24                  (The Secretary called the roll.)

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Andrews, to explain his vote.

         2                  SENATOR ANDREWS:    Yes, Mr.

         3       President, thank you.

         4                  I am honored and privileged to have

         5       the opportunity to vote on this bill.  Former

         6       Congresswoman Shirley Chisholm was the

         7       congresswoman of the district that I represent

         8       now in the State Senate.

         9                  And to tell a little story, back in

        10       1977, when I was a junior in college, she

        11       spoke to our student body then as the

        12       congresswoman of this district.  And she

        13       encouraged all the students at that time to

        14       take advantage of their education and to use

        15       their education to come back and help the

        16       community.  And from those inspiring words and

        17       from her speech, that was one of the

        18       motivational forces that got me involved in

        19       public service.

        20                  So I want to congratulate and I'm

        21       also honored to be a part of this bill.  And

        22       also noticing the calendar number, 1969, even

        23       though she was elected in 1968, she took

        24       office in 1969, so it's very appropriate.

        25                  And I want to be recorded in the



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         1       affirmative on this bill.

         2                  ACTING PRESIDENT MEIER:    Senator

         3       Andrews will be recorded in the affirmative.

         4                  Senator Hassell-Thompson, to

         5       explain her vote.

         6                  SENATOR HASSELL-THOMPSON:    Thank

         7       you.

         8                  Mr. President, my colleague took my

         9       line about 1969.

        10                  But I too want to thank Senator

        11       Volker and this body for putting this bill

        12       forward today.  Shirley Chisholm, not only as

        13       a woman of color, but a woman of Caribbean

        14       extract, gave such an impetus and such a --

        15       became such an inspiration to so many people

        16       because of the life that she lived as well as

        17       the work that she did.

        18                  She started as a nurse, and I had

        19       the opportunity to meet her very early in her

        20       political life when our church asked her to be

        21       the keynote speaker for Women's Day.  And it

        22       was historical in that it was the first time

        23       that our pulpit had ever invited a woman to be

        24       a speaker.  The Baptist Church is very

        25       conservative when it comes to women in the



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         1       pulpit.  They've come a long way since those

         2       days.  But certainly someone of Shirley's

         3       stature was what made the difference.

         4                  But I think to the women, and

         5       particularly for women like me, who at that

         6       age were looking for someone to inspire us, to

         7       change the way we looked at life and to decide

         8       that we didn't have to settle for just being

         9       nurses or just being teachers or just being

        10       married women, that there were things that we

        11       could accomplish.  And she opened the door, in

        12       many respects, for a lot of us, and for that I

        13       am very grateful.

        14                  And I have tried to pattern my life

        15       so much like hers.  Her book Unbought and 

        16       Unbossed was truly who she was.  And I hope

        17       that those things can be said of me when I

        18       have finished my political life.

        19                  And I thank this body for this

        20       commemoration of her as a woman who not only,

        21       as I said, opened the doors for people of

        22       color but gave a new impetus to women in terms

        23       of what we could do if we chose.

        24                  ACTING PRESIDENT MEIER:    Senator

        25       Hassell-Thompson will be recorded in the



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         1       affirmative.

         2                  Senator Ada Smith, to explain her

         3       vote.

         4                  SENATOR ADA SMITH:    Thank you,

         5       Mr. President.

         6                  I would really love to commend

         7       Senator Volker for this bill.  As many of you

         8       know, I started in this business as an aide to

         9       Congresswoman Shirley Chisholm.  She was not

        10       only a mentor, but a friend.

        11                  All of the things that you've ever

        12       read or heard about her are true.  But most of

        13       all, she had a marvelous sense of humor and

        14       she believed in educating young people and in

        15       the art of politics.  And she had a fervent,

        16       fervent thrust for education.  And she tried

        17       to instill that in all of us who worked for

        18       her.

        19                  And I may have said on this floor

        20       earlier that at her funeral, former

        21       Assemblyman, now Clerk of the City of New York

        22       Victor Robles, who also worked for her,

        23       Supreme Court Justice Valerie Brathwaite

        24       Nelson, who is in the Queens Supreme Court --

        25       and just last week we lost one of those staff



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         1       people who had been with us from the

         2       beginning, Brenda Pillors, who up until last

         3       week was the chief of staff to Congressman Ed

         4       Towns.

         5                  She leaves a legacy of many of us

         6       in government.  And none of us would have been

         7       able to survive in these rough waters without

         8       the steering of Shirley Anita Chisholm.

         9                  And I thank you so much, Senator

        10       Volker, for this honor.  And I vote in the

        11       affirmative.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Ada Smith will be recorded in the affirmative.

        14                  Senator Montgomery, to explain her

        15       vote.

        16                  SENATOR MONTGOMERY:    Yes, Mr.

        17       President.

        18                  I rise to thank Senator Volker for

        19       introducing the legislation establishing the

        20       Shirley Chisholm commemoration.  And in fact,

        21       Shirley Chisholm represented the district that

        22       I represent now, in Congress.  And there are

        23       many people in my district who still live

        24       today who worked very closely with Shirley

        25       Chisholm.  She established the Shirley



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         1       Chisholm Cultural Institute, which still

         2       exists and still carries the legacy that

         3       Shirley Chisholm left, as explained by Senator

         4       Smith, of a woman who always looked back and

         5       was concerned about the little people in her

         6       district that she represented.

         7                  So we thank you.  It's certainly an

         8       honor to be able to speak about her in this

         9       Legislature, as one of the people who follows,

        10       in a sense, in her footsteps.  So thank you.

        11                  Thank you, Mr. President.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Montgomery will be recorded in the

        14       affirmative.

        15                  Senator Volker, to explain his

        16       vote.

        17                  SENATOR VOLKER:    Yeah, very

        18       quickly to explain my vote.

        19                  Some people might wonder why I have

        20       a bill.  I knew Shirley Chisholm.  She spent

        21       some time in Western New York, and I won't get

        22       into it.  She was a wonderful person.

        23                  I also want to say, and I know it's

        24       a little bit unusual procedure, you can't do

        25       what we do, which is say if you want to be on



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         1       the bill, because it's a bill.  But if anybody

         2       would like to buck-slip onto the bill, I'd be

         3       happy to slip, if anybody would.  A number of

         4       people have, and I'm more than happy to do

         5       that to anybody that would like it.

         6                  She was a great person.  And what

         7       this does, so you understand, it makes a day

         8       of remembrance.  It's not a holiday or

         9       anything, it's a day of remembrance on her

        10       birthday.

        11                  I vote aye.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Volker will be recorded in the affirmative.

        14                  Senator Stavisky, to explain her

        15       vote.

        16                  SENATOR STAVISKY:    Yes, I

        17       remember Shirley Chisholm when she served in

        18       the Assembly before she went to Congress.  And

        19       in her book Unbought and Unbossed, she spoke

        20       about the difficulties that she encountered.

        21       And interestingly, she said she felt more

        22       prejudice against her because she was a woman

        23       than because she was African-American.

        24                  So on behalf of the women in the

        25       Legislature, she set the standard for us to



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         1       follow.  And I'm delighted to join and thank

         2       Senator Volker and Senator Smith and Senator

         3       Montgomery and all of the other people --

         4       Senator Andrews and all of the other people

         5       who continue her legacy today.

         6                  Thank you, Mr. President.

         7                  ACTING PRESIDENT MEIER:    Senator

         8       Stavisky will be recorded in the affirmative.

         9                  Announce the results.

        10                  THE SECRETARY:    Ayes, 59.

        11                  ACTING PRESIDENT MEIER:    The bill

        12       is passed.

        13                  THE SECRETARY:    In relation to

        14       Calendar Number 1970, Senator Hannon moves to

        15       discharge, from the Committee on Rules,

        16       Assembly Bill Number 7162A and substitute it

        17       for the identical Senate Bill Number 4869A,

        18       Third Reading Calendar 1970.

        19                  ACTING PRESIDENT MEIER:

        20       Substitution ordered.

        21                  The Secretary will read.

        22                  THE SECRETARY:    Calendar Number

        23       1970, by Member of the Assembly Dinowitz,

        24       Assembly Print Number 7162A, an act to amend

        25       the Public Health Law.



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         1                  ACTING PRESIDENT MEIER:    Read the

         2       last section.

         3                  THE SECRETARY:    Section 2.  This

         4       act shall take effect April 1, 2006.

         5                  ACTING PRESIDENT MEIER:    Call the

         6       roll.

         7                  (The Secretary called the roll.)

         8                  THE SECRETARY:    Ayes, 59.

         9                  ACTING PRESIDENT MEIER:    The bill

        10       is passed.

        11                  THE SECRETARY:    Calendar Number

        12       1971, by Senator Saland, Senate Print 5051A,

        13       an act to amend the Education Law.

        14                  ACTING PRESIDENT MEIER:    Read the

        15       last section.

        16                  THE SECRETARY:    Section 2.  This

        17       act shall take effect immediately.

        18                  ACTING PRESIDENT MEIER:    Call the

        19       roll.

        20                  (The Secretary called the roll.)

        21                  THE SECRETARY:    Ayes, 59.

        22                  ACTING PRESIDENT MEIER:    The bill

        23       is passed.

        24                  THE SECRETARY:    In relation to

        25       Calendar Number 1972, Senator Spano moves to



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         1       discharge, from the Committee on Rules,

         2       Assembly Bill Number 3029A and substitute it

         3       for the identical Senate Bill Number 5117,

         4       Third Reading Calendar 1972.

         5                  ACTING PRESIDENT MEIER:

         6       Substitution ordered.

         7                  The Secretary will read.

         8                  THE SECRETARY:    Calendar Number

         9       1972, by Member of the Assembly Pretlow,

        10       Assembly Print Number 3029A, an act to amend

        11       the Public Health Law.

        12                  ACTING PRESIDENT MEIER:    Read the

        13       last section.

        14                  THE SECRETARY:    Section 2.  This

        15       act shall take effect --

        16                  SENATOR SPANO:    Lay it aside for

        17       the day, please.

        18                  ACTING PRESIDENT MEIER:    Lay the

        19       bill aside for the day.

        20                  THE SECRETARY:    In relation to

        21       Calendar Number 1973, Senator Maziarz moves to

        22       discharge, from the Committee on Rules,

        23       Assembly Bill Number 7385A and substitute it

        24       for the identical Senate Bill Number 5398A,

        25       Third Reading Calendar 1973.



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         1                  ACTING PRESIDENT MEIER:

         2       Substitution order.

         3                  The Secretary will read.

         4                  THE SECRETARY:    Calendar Number

         5       1973, by Member of the Assembly Farrell,

         6       Assembly Print Number 7385A, an act to amend

         7       the Tax Law.

         8                  ACTING PRESIDENT MEIER:    Read the

         9       last section.

        10                  SENATOR DUANE:    Lay it aside.

        11                  ACTING PRESIDENT MEIER:    Lay the

        12       bill aside.

        13                  THE SECRETARY:    In relation to

        14       Calendar Number 1974, Senator Spano moves to

        15       discharge, from the Committee on Rules,

        16       Assembly Bill Number 8246 and substitute it

        17       for the identical Senate Bill Number 5429,

        18       Third Reading Calendar 1974.

        19                  ACTING PRESIDENT MEIER:

        20       Substitution ordered.

        21                  The Secretary will read.

        22                  THE SECRETARY:    Calendar Number

        23       1974, by Member of the Assembly Abbate,

        24       Assembly Print Number 8246, an act to amend

        25       the Civil Service Law.



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         1                  ACTING PRESIDENT MEIER:    Read the

         2       last section.

         3                  THE SECRETARY:    Section 2.  This

         4       act shall take effect immediately.

         5                  ACTING PRESIDENT MEIER:    Call the

         6       roll.

         7                  (The Secretary called the roll.)

         8                  THE SECRETARY:    Ayes, 59.

         9                  ACTING PRESIDENT MEIER:    The bill

        10       is passed.

        11                  THE SECRETARY:    In relation to

        12       Calendar Number 1975, Senator Rath moves to

        13       discharge, from the Committee on Rules,

        14       Assembly Bill Number 8346A and substitute it

        15       for the identical Senate Bill Number 5485A,

        16       Third Reading Calendar 1975.

        17                  ACTING PRESIDENT MEIER:

        18       Substitution ordered.

        19                  The Secretary will read.

        20                  THE SECRETARY:    Calendar Number

        21       1975, by Member of the Assembly Schimminger,

        22       Assembly Print Number 8346A, an act relating

        23       to providing an accidental death benefit.

        24                  ACTING PRESIDENT MEIER:    There is

        25       a home-rule message at the desk.



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         1                  Read the last section.

         2                  THE SECRETARY:    Section 2.  This

         3       act shall take effect immediately.

         4                  ACTING PRESIDENT MEIER:    Call the

         5       roll.

         6                  (The Secretary called the roll.)

         7                  THE SECRETARY:    Ayes, 59.

         8                  ACTING PRESIDENT MEIER:    The bill

         9       is passed.

        10                  THE SECRETARY:    In relation to

        11       Calendar Number 1976, Senator Oppenheimer

        12       moves to discharge, from the Committee on

        13       Rules, Assembly Bill Number 8673 and

        14       substitute it for the identical Senate Bill

        15       Number 5541, Third Reading Calendar 1976.

        16                  ACTING PRESIDENT MEIER:

        17       Substitution ordered.

        18                  The Secretary will read.

        19                  THE SECRETARY:    Calendar Number

        20       1976, by the Assembly Committee on Rules,

        21       Assembly Print Number 8673, an act to

        22       authorize the Village of Scarsdale.

        23                  ACTING PRESIDENT MEIER:    There is

        24       a home-rule message at the desk.

        25                  Read the last section.



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         1                  THE SECRETARY:    Section 2.  This

         2       act shall take effect immediately.

         3                  ACTING PRESIDENT MEIER:    Call the

         4       roll.

         5                  (The Secretary called the roll.)

         6                  THE SECRETARY:    Ayes, 59.

         7                  ACTING PRESIDENT MEIER:    The bill

         8       is passed.

         9                  THE SECRETARY:    Calendar Number

        10       1977, by Senator Spano, Senate Print 5656C, an

        11       act to amend the Public Health Law and the

        12       Public Authorities Law.

        13                  ACTING PRESIDENT MEIER:    Read the

        14       last section.

        15                  THE SECRETARY:    Section 2.  This

        16       act shall take effect immediately.

        17                  ACTING PRESIDENT MEIER:    Call the

        18       roll.

        19                  (The Secretary called the roll.)

        20                  ACTING PRESIDENT MEIER:    Senator

        21       Spano, to explain his vote.

        22                  SENATOR SPANO:    Mr. President,

        23       this bill represents a part of a package of

        24       three bills that will provide both short-term

        25       and long-term relief for the Westchester



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         1       County Medical Center.

         2                  It puts in place a mechanism for

         3       accountability for the board, creation of a

         4       financial improvement board of that medical

         5       center, long-term relief financial resources

         6       for that hospital, a maintenance of effort to

         7       require the County of Westchester to continue

         8       their financial support of this center, and

         9       continuing support of this center as a

        10       regional healthcare facility in the Hudson

        11       Valley that provides the only trauma unit

        12       between Albany and New York City, the only

        13       burn center between Albany and New York City,

        14       and State of New York psychiatric care and

        15       behavioral health services and critical

        16       services to geriatric care in their nursing

        17       home.

        18                  We're hopeful that the Assembly

        19       will join with us with this package of bills

        20       so we can send them to the Governor to provide

        21       the type of long-term relief to the employees

        22       and to the people who utilize this great

        23       facility.

        24                  I vote aye.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Spano will be recorded in the affirmative.

         2                  Senator Leibell, to explain his

         3       vote.

         4                  SENATOR LEIBELL:    Thank you, Mr.

         5       President.

         6                  I think most of our colleagues over

         7       the course of the last few months have heard a

         8       great deal about the Westchester Medical

         9       Center, regardless of the area of the state

        10       you're from.  And as Senator Spano pointed

        11       out, this is not only for Westchester County,

        12       which I have the honor of representing with a

        13       number of my colleagues, but important for the

        14       entire region.

        15                  I will say to you that there was a

        16       tragic fire not too long ago in the Albany

        17       area.  And I was listening to the morning

        18       news, and one of the comments that was made by

        19       the announcer was that this person had been

        20       critically burned and was being helicoptered

        21       down to Westchester Medical Center from the

        22       state capital.

        23                  So this has been a particularly

        24       critical issue for us, as with many hospitals

        25       and major health facilities.  It's had severe



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         1       financial challenges.  All of us have worked

         2       hard on this.  But I'd especially like to

         3       compliment Senator Spano because as the leader

         4       of our delegation and s someone who has put

         5       tremendous effort into this, this is

         6       critically important and could not have

         7       occurred today without his efforts.  We thank

         8       you, Senator Spano.

         9                  And hopefully the Westchester

        10       Medical Center will look forward to a long and

        11       bright future.

        12                  I vote aye.

        13                  ACTING PRESIDENT MEIER:    Senator

        14       Leibell will be recorded in the affirmative.

        15                  Senator Bonacic, to explain his

        16       vote.

        17                  SENATOR BONACIC:    Thank you, Mr.

        18       President.

        19                  I've always said that I would never

        20       like to see a hospital go out on my watch in

        21       my district.  And a good example of watching

        22       the efforts of Senator Spano on how hard he

        23       worked over the last few weeks, along with

        24       Senator Leibell and all of my colleagues on

        25       the other side of the aisle, to keep this



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         1       regional hospital.

         2                  I have constituents from Ulster

         3       County, Sullivan County, Orange County, all go

         4       to Westchester County for specialized

         5       services.  And with healthcare being under

         6       fiscal stress on all levels, it is imperative

         7       to show leadership and bipartisan support to

         8       keep this regional hospital open.

         9                  I congratulate all my colleagues

        10       from Westchester, on both sides of the aisle,

        11       for getting it done.

        12                  ACTING PRESIDENT MEIER:    Senator

        13       Bonacic will be recorded in the affirmative.

        14                  Senator Hassell-Thompson, to

        15       explain her.

        16                  SENATOR HASSELL-THOMPSON:    Thank

        17       you, Mr. President.

        18                  Again, I wish to thank this body

        19       for their support of us in Westchester as we

        20       make an attempt to save a hospital that, as

        21       you've heard from Senator Bonacic and from

        22       Senator Leibell, that serves a region as

        23       opposed to just the people of Westchester.

        24                  This is an extraordinary facility.

        25       And I know that all of you are aware of the



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         1       kinds of financial difficulties we've been

         2       experiencing.  But without your help, we would

         3       not be able to rescue this hospital.

         4                  And know that we are as concerned

         5       about how we comport ourselves in the future

         6       and the kinds of monitoring that needs to

         7       happen to ensure that we don't find ourselves

         8       in this kind of financial situation again will

         9       be at the top of the agenda of all of us who

        10       represent Westchester in any part.

        11                  Westchester Medical Center, for me

        12       at the age 9, of was a facility for children

        13       who had communicable diseases who could not

        14       stay at home.  I had developed pneumonia.  And

        15       even though it was a tremendous distance -- in

        16       those days, it was a long distance from Mount

        17       Vernon to Westchester Medical Center.  There

        18       were no highways and of course my parents

        19       didn't have cars, and they couldn't come and

        20       visit me.  But I will always remember with a

        21       certain amount of gratitude the kind of work

        22       that it has done for children with upper

        23       respiratory diseases and infections and all of

        24       the work that it does for infants, for

        25       children, for the elderly as well as those



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         1       with mental disorders.

         2                  So this hospital is going into the

         3       21st century with a boom.  And the kinds of

         4       state of the art that it offers in the areas

         5       of healthcare is critically important, not

         6       only to us but to the six communities that are

         7       contiguous.

         8                  Thank you for your support of this

         9       bill.  And thank you, Senator Spano, for the

        10       leadership that you have taken to ensure that

        11       we can go home and face our constituents and

        12       know we've done the best that we can here in

        13       the Senate to ensure that the work of this

        14       hospital continues.

        15                  Thank you, Mr. President.

        16                  ACTING PRESIDENT MEIER:    Senator

        17       Hassell-Thompson will be recorded in the

        18       affirmative.

        19                  Senator Oppenheimer, to explain her

        20       vote.

        21                  SENATOR OPPENHEIMER:    Just very

        22       briefly.  Thank you, Mr. President.

        23                  I want to thank Senator Spano,

        24       because it has been a very difficult road and

        25       it's certainly not ended yet.  We have found



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         1       ourselves at odds with some of the Assembly

         2       bills, and we hope that we will be able to get

         3       more cooperation.

         4                  But I think Senator Spano, who was

         5       almost ready to turn over the whole bag of wax

         6       or whatever, bag of something, because it was

         7       such a difficult negotiation -- and he stuck

         8       with it, and I thank him very much for that.

         9                  This is not the answer.  We know

        10       that a tertiary care hospital is probably not

        11       going to ever be in the black, because it

        12       deals with very specific kinds of serious

        13       injuries, illnesses, and it requires very

        14       specialized doctors, very specialized

        15       equipment, very specialized techniques.  And

        16       that is the plight of a tertiary hospital, and

        17       we have to realize that it's going to need our

        18       support, our continuing support.

        19                  But it is of great importance that

        20       we do this, because there are very few

        21       tertiary care hospitals in our state and we

        22       need them desperately.

        23                  So thank you, Senator Spano, for

        24       hanging in there.  You did a great job.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Oppenheimer will be recorded in the

         2       affirmative.

         3                  Announce the results.

         4                  THE SECRETARY:    Ayes, 59.

         5                  ACTING PRESIDENT MEIER:    The bill

         6       is passed.

         7                  THE SECRETARY:    In relation to

         8       Calendar Number 1979, Senator Hannon moves to

         9       discharge, from the Committee on Rules,

        10       Assembly Bill Number 8869 and substitute it

        11       for the identical Senate Bill Number 5835,

        12       Third Reading Calendar 1979.

        13                  ACTING PRESIDENT MEIER:

        14       Substitution ordered.

        15                  The Secretary will read.

        16                  THE SECRETARY:    Calendar Number

        17       1979, by the Assembly Committee on Rules,

        18       Assembly Print Number 8869, an act to amend

        19       the Public Health Law.

        20                  ACTING PRESIDENT MEIER:    Read the

        21       last section.

        22                  THE SECRETARY:    Section 2.  This

        23       act shall take effect immediately.

        24                  ACTING PRESIDENT MEIER:    Call the

        25       roll.



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         1                  (The Secretary called the roll.)

         2                  THE SECRETARY:    Ayes, 59.

         3                  ACTING PRESIDENT MEIER:    The bill

         4       is passed.

         5                  THE SECRETARY:    In relation to

         6       Calendar Number 1980, Senator Bruno moves to

         7       discharge, from the Committee on Rules,

         8       Assembly Bill Number 8530 and substitute it

         9       for the identical Senate Bill Number 5860,

        10       Third Reading Calendar 1980.

        11                  ACTING PRESIDENT MEIER:

        12       Substitution ordered.

        13                  The Secretary will read.

        14                  THE SECRETARY:    Calendar Number

        15       1980, by Member of the Assembly Sweeney,

        16       Assembly Print Number 8530, an act extending

        17       the time to file.

        18                  ACTING PRESIDENT MEIER:    Read the

        19       last section.

        20                  THE SECRETARY:    Section 2.  This

        21       act shall take effect immediately.

        22                  ACTING PRESIDENT MEIER:    Call the

        23       roll.

        24                  (The Secretary called the roll.)

        25                  THE SECRETARY:    Ayes, 59.



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         1                  ACTING PRESIDENT MEIER:    The bill

         2       is passed.

         3                  THE SECRETARY:    Calendar Number

         4       1983, by Senator DeFrancisco, Senate Print

         5       5924A, an act to amend the Court of Claims

         6       Act.

         7                  SENATOR SKELOS:    Mr. President,

         8       is there a message at the desk?

         9                  ACTING PRESIDENT MEIER:    There

        10       is.

        11                  SENATOR SKELOS:    Move to accept.

        12                  ACTING PRESIDENT MEIER:    All

        13       those in favor of accepting the message of

        14       necessity signify by saying aye.

        15                  (Response of "Aye.")

        16                  ACTING PRESIDENT MEIER:    Those

        17       opposed, nay.

        18                  (No response.)

        19                  ACTING PRESIDENT MEIER:    The

        20       message is accepted.

        21                  The bill is before the house.

        22                  Read the last section.

        23                  THE SECRETARY:    Section 6.  This

        24       act shall take effect August 1, 2005.

        25                  ACTING PRESIDENT MEIER:    Call the



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         1       roll.

         2                  (The Secretary called the roll.)

         3                  ACTING PRESIDENT MEIER:    Senator

         4       LaValle, to explain his vote.

         5                  SENATOR LaVALLE:    Thank you, Mr.

         6       President.

         7                  I'm going to support this

         8       legislation because certainly the counties

         9       that are mentioned here and the various

        10       judgeships are needed in those counties.

        11                  I'm a little saddened that Suffolk

        12       County or Nassau County is not on a list to

        13       have additional judgeships created.  Our

        14       courts are -- each judge, I think, has a

        15       caseload that is very, very heavy.  And we

        16       certainly can use some relief in the County of

        17       Suffolk, and I'm sure Nassau can also.

        18                  Nevertheless, I vote in the

        19       affirmative.

        20                  ACTING PRESIDENT MEIER:    Senator

        21       LaValle will be recorded in the affirmative.

        22                  Senator Balboni, to explain his

        23       vote.

        24                  SENATOR BALBONI:    Mr. President,

        25       I'd like the opportunity to explain my vote on



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         1       this bill by basically saying that I'm curious

         2       as to how the Office of Court Administration

         3       would advance a proposal like this at the very

         4       last minute without a plan as to how you were

         5       going to roll out judgeships.

         6                  I sit on the Judiciary Committee,

         7       I've been a part of the creation of judgeships

         8       in the last 16 years on too numerous occasions

         9       to even mention.  And I'm concerned that this

        10       lacks a plan as to how we're going to address

        11       the needs of our judiciary from a statewide

        12       perspective.

        13                  Now, I also echo my colleague

        14       Senator LaValle's concerns that this approach,

        15       without having any judgeships on Long Island,

        16       flies in the face of reason given the

        17       caseloads in those court systems.  So I would

        18       ask, to the extent that there are any

        19       undesignated judgeships in this legislation,

        20       that the Office of Court Administration give

        21       serious consideration to looking at the

        22       caseloads for where they place those

        23       unassigned judgeships.

        24                  Mr. President, I vote aye.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Balboni will be recorded in the affirmative.

         2                  Senator DeFrancisco, to explain his

         3       vote.

         4                  SENATOR DeFRANCISCO:    Yes, I'm

         5       going to vote yes.  And this was a late

         6       starter, obviously, or more people would have

         7       heard about it before.

         8                  But I just want to assure everyone

         9       that the Office of Court Administration did in

        10       fact provide numbers as to the areas of most

        11       need.  And then it became a matter of

        12       negotiation between the Governor, the Speaker,

        13       and the Majority Leader.  And as we all know,

        14       in a matter of negotiation sometimes everyone

        15       does not end up the way they want to be.

        16                  So I would hope that in the future

        17       that we could create additional judgeships in

        18       order to reduce the burden of those

        19       overburdened courts.

        20                  Thank you.

        21                  ACTING PRESIDENT MEIER:    Senator

        22       DeFrancisco will be recorded in the

        23       affirmative.

        24                  Announce the results.

        25                  THE SECRETARY:    Ayes, 58.  Nays,



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         1       1.  Senator Connor recorded in the negative.

         2                  ACTING PRESIDENT MEIER:    The bill

         3       is passed.

         4                  THE SECRETARY:    Calendar Number

         5       1984, by Member of the Assembly Nolan,

         6       Assembly Print Number 7699, an act to amend

         7       the Banking Law.

         8                  ACTING PRESIDENT MEIER:    Read the

         9       last section.

        10                  THE SECRETARY:    Section 2.  This

        11       act shall take effect immediately.

        12                  ACTING PRESIDENT MEIER:    Call the

        13       roll.

        14                  (The Secretary called the roll.)

        15                  THE SECRETARY:    Ayes, 59.

        16                  ACTING PRESIDENT MEIER:    The bill

        17       is passed.

        18                  Senator Skelos.

        19                  SENATOR SKELOS:    Mr. President,

        20       could we call up now Calendar Number 1731.

        21                  ACTING PRESIDENT MEIER:    The

        22       Secretary will read Calendar 1731.

        23                  THE SECRETARY:    Calendar Number

        24       1731, substituted earlier today by Member of

        25       the Assembly Gantt, Assembly Print Number



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         1       8546, an act to amend the Education Law.

         2                  ACTING PRESIDENT MEIER:    Read the

         3       last section.

         4                  THE SECRETARY:    Section 2.  This

         5       act shall take effect immediately.

         6                  ACTING PRESIDENT MEIER:    Call the

         7       roll.

         8                  (The Secretary called the roll.)

         9                  THE SECRETARY:    Ayes, 59.

        10                  ACTING PRESIDENT MEIER:    The bill

        11       is passed.

        12                  Senator Schneiderman, why do you

        13       rise?

        14                  SENATOR SCHNEIDERMAN:    Just to

        15       explain my vote.

        16                  ACTING PRESIDENT MEIER:    Without

        17       objection, Senator Schneiderman to explain his

        18       vote.

        19                  SENATOR SCHNEIDERMAN:    Thank you.

        20       Just very briefly, this bill authorizes the

        21       Rochester and Buffalo school districts to

        22       contract for services of registered

        23       professional nurses.  And I know this has the

        24       strong support of the entire Western New York

        25       delegation.  And it provides them also to



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         1       provide school health services, which have

         2       been sought for a long time by members on both

         3       sides of the aisle.

         4                  I vote yes, Mr. President.

         5                  ACTING PRESIDENT MEIER:    Senator

         6       Schneiderman will be recorded in the

         7       affirmative.

         8                  And the bill is passed.

         9                  Senator Skelos.

        10                  SENATOR SKELOS:    On the

        11       controversial Calendar 62C, would you please

        12       call up Calendar Number 1951.

        13                  ACTING PRESIDENT MEIER:    The

        14       Secretary will read Calendar 1951 on the

        15       controversial reading of Calendar 62C.

        16                  THE SECRETARY:    Calendar Number

        17       1951, by Senator Morahan, Senate Print 979A,

        18       an act to amend the Public Health Law.

        19                  SENATOR SCHNEIDERMAN:

        20       Explanation.

        21                  ACTING PRESIDENT MEIER:    Senator

        22       Morahan, an explanation has been requested by

        23       Senator Schneiderman.

        24                  SENATOR MORAHAN:    Yes, Mr.

        25       President.



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         1                  This bill amends the Public Health

         2       Law in relationship to capital construction

         3       costs and rates of payment by Medicaid for

         4       assisted living corporations operated by a

         5       for-profit corporation.

         6                  ACTING PRESIDENT MEIER:    Senator

         7       Schneiderman.

         8                  SENATOR SCHNEIDERMAN:    Through

         9       you, Mr. President, if the sponsor would yield

        10       for a few brief questions.

        11                  ACTING PRESIDENT MEIER:    Senator

        12       Morahan, do you yield?

        13                  SENATOR MORAHAN:    Yes.

        14                  ACTING PRESIDENT MEIER:    The

        15       sponsor yields.

        16                  SENATOR SCHNEIDERMAN:    Thank you.

        17                  How many facilities would actually

        18       benefit from the -- benefit substantially from

        19       the provisions of this legislation?

        20                  SENATOR MORAHAN:    I believe two,

        21       one in Suffolk and I believe the other is in

        22       Queens.

        23                  SENATOR SCHNEIDERMAN:    And

        24       through you, Mr. President, what's the basis

        25       on which, out of all of the assisted living



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         1       facilities in the state, these two facilities

         2       have been chosen for these benefits?

         3                  SENATOR MORAHAN:    I don't know

         4       that they've been chosen or that they qualify.

         5                  This bill would mean -- really,

         6       help assisted living programs that provide a

         7       valuable service to elderly New Yorkers.  ALPs

         8       allow seniors to receive the care and services

         9       they need while still living in a community

        10       setting with most long-term care activities.

        11       The state's Medicaid program plays a major

        12       role in paying for ALP care for low-income

        13       seniors.

        14                  SENATOR SCHNEIDERMAN:    Thank you.

        15       And through you, Mr. President, if the sponsor

        16       would continue to yield.

        17                  ACTING PRESIDENT MEIER:    Senator

        18       Morahan, do you yield?

        19                  SENATOR MORAHAN:    Yes, I do.

        20                  ACTING PRESIDENT MEIER:    The

        21       sponsor yields.

        22                  SENATOR SCHNEIDERMAN:    And this

        23       legislation also eliminates the requirement

        24       that the facility be operated by a

        25       not-for-profit corporation, does it not?



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         1                  SENATOR MORAHAN:    That is

         2       correct.

         3                  SENATOR SCHNEIDERMAN:    I'd like

         4       to thank the sponsor for his explanation.  And

         5       I'd like to thank Senator Hannon for the

         6       supplemental explanation and speak on the

         7       bill.

         8                  ACTING PRESIDENT MEIER:    Senator

         9       Schneiderman, on the bill.

        10                  SENATOR SCHNEIDERMAN:    Thank you.

        11                  I appreciate that we have a lot of

        12       facilities that have needs in this state.  And

        13       Senator Morahan is attempting to address the

        14       needs of two particular facilities.  But one

        15       of the themes that I think has come and gone

        16       but been present a lot during this session is

        17       that we have a fundamental problem in the way

        18       we approach the distribution of economic

        19       incentives in this case.  The way we approach

        20       economic development generally, but

        21       particularly the way we make adjustments to

        22       the tax laws, provide tax expenditures,

        23       provide relief from regulations on a piecemeal

        24       basis.

        25                  We're approaching the point in this



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         1       state where we have a two-tier system of

         2       facilities and corporations.  One tier somehow

         3       made it in the door and got some benefits.

         4       They qualified for something in an Empire

         5       Zone, an IDA did something for them, they got

         6       special legislation passed benefitting them by

         7       themselves.  And we have everyone else in the

         8       state who has to pay additional taxes to

         9       subsidize all of those in Category A.  There

        10       are the approved beneficiaries of the largesse

        11       of the state government, and then there's

        12       everybody else.

        13                  This is a very dangerous way to

        14       proceed.  And I would urge my colleagues on

        15       the other side of the aisle, when you complain

        16       about high taxes, one of the problems with our

        17       tax system is that we have to have high

        18       marginal tax rates just even to generate the

        19       revenue we used to get from lower rates when

        20       we had fewer loopholes in our tax code.  Every

        21       time you confer a benefit on one company or

        22       one industry, whether it's, you know, fishing

        23       or a form of agriculture or an assisted living

        24       facility, you put a burden on every other

        25       company.  And small businesses that tend to



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         1       have the least access to lobbying, the least

         2       access to the administrative agencies of the

         3       state, much less the legislature, are bearing

         4       a disproportionate cost.

         5                  So I understand and I sympathize

         6       with the sponsor's efforts here, but I am

         7       going to be voting no.  And I hope we will try

         8       and move towards a more comprehensive approach

         9       in the future.

        10                  Thank you, Mr. President.

        11                  ACTING PRESIDENT MEIER:    Senator

        12       Hannon.

        13                  SENATOR HANNON:    First of all,

        14       let me just -- I haven't seen this bill since

        15       it left the Health Committee several months

        16       ago.  It was introduced by Senator Morahan in

        17       January.

        18                  Whatever Senator Schneiderman is

        19       saying in regard to tax rates it's incorrect,

        20       because this has nothing to do with tax rates.

        21       What he is saying to do with rates of the

        22       assisted living program may or may not be

        23       correct.  But in this case, when there was a

        24       certain adjustment of the rates based on the

        25       calculations of the ingredients of it, these



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         1       facilities that are subjects of this bill were

         2       left out of a prior statute.  And it was left

         3       out because they didn't know they existed as

         4       for-profits.

         5                  This is to correct what had not

         6       been done before.  This is to make the playing

         7       field level for all of them.  This is the

         8       state-assisted living program.  This is not

         9       the generic assisted living that we call --

        10       and it has nothing to do with taxes, it's the

        11       way you compute the formula.

        12                  Thank you.

        13                  ACTING PRESIDENT MEIER:    Any

        14       other Senator wish to be heard?

        15                  Debate is closed, then.

        16                  The Secretary will ring the bell.

        17                  Read the last section.

        18                  THE SECRETARY:    Section 2.  This

        19       act shall take effect immediately.

        20                  ACTING PRESIDENT MEIER:    Call the

        21       roll.

        22                  (The Secretary called the roll.)

        23                  ACTING PRESIDENT MEIER:    Announce

        24       the results.

        25                  THE SECRETARY:    Ayes, 56.  Nays,



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         1       1.  Senator Schneiderman recorded in the

         2       negative.

         3                  Absent from voting:  Senators

         4       Fuschillo, Gonzalez and C. Kruger.

         5                  ACTING PRESIDENT MEIER:    The bill

         6       is passed.

         7                  The Secretary will read.

         8                  THE SECRETARY:    Calendar Number

         9       1973, substituted earlier today by Member of

        10       the Assembly Farrell, Assembly Print Number

        11       7385A, an act to amend the Tax Law.

        12                  SENATOR DUANE:    Explanation.

        13                  ACTING PRESIDENT MEIER:    Senator

        14       Maziarz, Senator Duane has requested an

        15       explanation of Calendar 1973.

        16                  SENATOR MAZIARZ:    Thank you very

        17       much, Mr. President.

        18                  Mr. President, this bill would

        19       exempt jazz clubs, live cabarets where jazz

        20       music is played, from sales tax on their

        21       admission.  Right now there is a ruling from

        22       the New York State Department of Tax and

        23       Finance that admission charges to the theater,

        24       opera, ballet are not subject to sales tax on

        25       their admission.  However, admission where



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         1       live jazz is played in a club-type setting is

         2       subject.

         3                  The American Federation of

         4       Musicians has requested this legislation, and

         5       it has passed the Assembly.

         6                  Thank you, Mr. President.

         7                  ACTING PRESIDENT MEIER:    Senator

         8       Duane.

         9                  SENATOR DUANE:    Thank you, Mr.

        10       President.  Would the sponsor yield, please.

        11                  ACTING PRESIDENT MEIER:    Oh, I'm

        12       sure he would.

        13                  Senator Maziarz, do you yield for a

        14       question?

        15                  SENATOR MAZIARZ:    Yes, I will.

        16                  ACTING PRESIDENT MEIER:    The

        17       sponsor yields.

        18                  SENATOR DUANE:    First, I'm

        19       wondering if there's a memo from the City of

        20       New York regarding this bill.

        21                  SENATOR MAZIARZ:    I am not aware

        22       of a memo in support or opposition, Senator.

        23                  SENATOR DUANE:    And through you,

        24       Mr. President, if the sponsor would continue

        25       to yield.



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         1                  ACTING PRESIDENT MEIER:    Senator

         2       Maziarz, do you continue to yield?

         3                  SENATOR MAZIARZ:    Yes, I would,

         4       Mr. President.

         5                  ACTING PRESIDENT MEIER:    The

         6       sponsor yields.

         7                  SENATOR DUANE:    Thank you, Mr.

         8       President.

         9                  I'm wondering if there's any word

        10       from the New York City Council --

        11                  ACTING PRESIDENT MEIER:    Just a

        12       second, Senator Duane.

        13                  I mean, do we all really want to

        14       stay here all afternoon?  Because that's what

        15       I'm hearing.  Can we please have some order in

        16       the chamber so we can get through these bills.

        17                  Senator Duane.

        18                  SENATOR DUANE:    Thank you, Mr.

        19       President.

        20                  SENATOR MAZIARZ:    I heard the

        21       question, if you don't mind, Mr. President.

        22                  I am not aware of any memo in

        23       support or opposition from the New York City

        24       Council either, Senator.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Duane.

         2                  SENATOR DUANE:    Mr. President, If

         3       the sponsor would continue to yield.

         4                  ACTING PRESIDENT MEIER:    Do you

         5       yield?

         6                  SENATOR MAZIARZ:    Yes, Mr.

         7       President.

         8                  ACTING PRESIDENT MEIER:    The

         9       sponsor yields.

        10                  SENATOR DUANE:    I see that

        11       there's a line or a phrase in the bill which

        12       refers to a commercially responsible rate.

        13       I'm wondering if the sponsor could tell me

        14       what that is.

        15                  SENATOR MAZIARZ:    I'm not sure

        16       that I heard the question.

        17                  SENATOR DUANE:    I see in the bill

        18       that there's a phrase which says "commercially

        19       reasonable rate."  And I'm wondering if the

        20       sponsor could tell me what that is.

        21                  SENATOR MAZIARZ:    Those are the

        22       rates that are suggested -- not required, but

        23       suggested for a live performance by the

        24       American Federation of Musicians, Mr.

        25       President.



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         1                  SENATOR DUANE:    Through you, Mr.

         2       President, if the sponsor would continue to

         3       yield.

         4                  ACTING PRESIDENT MEIER:    Senator

         5       Maziarz, do you yield?

         6                  SENATOR MAZIARZ:    Yes, Mr.

         7       President.

         8                  ACTING PRESIDENT MEIER:    The

         9       sponsor yields.

        10                  SENATOR DUANE:    What would be a

        11       commercially responsible rate for admission to

        12       see the Rolling Stones?

        13                  SENATOR MAZIARZ:    To see who?

        14       I'm not --

        15                  ACTING PRESIDENT MEIER:    The

        16       Rolling Stones.  It's a rock group, George.

        17                  (Laughter.)

        18                  SENATOR MAZIARZ:    Not having seen

        19       the Rolling Stones since I was in high school

        20       in 1973, Mr. President, I have no idea what

        21       the current rate would be.

        22                  SENATOR DUANE:    If the sponsor,

        23       through you --

        24                  SENATOR MAZIARZ:    Yes, Mr.

        25       President.



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         1                  SENATOR DUANE:    Does he remember

         2       what it was then?  Or is everything sort of

         3       hazy?

         4                  SENATOR MAZIARZ:    Actually, it

         5       was at Maple Leaf Gardens in Toronto, so it

         6       was Canadian money.  So I'm not exactly sure

         7       what the exchange rate be would be in 2005

         8       American dollars, Senator Duane.

         9                  SENATOR DUANE:    And through you,

        10       Mr. President, if the sponsor would continue

        11       to yield.

        12                  ACTING PRESIDENT MEIER:    Senator,

        13       do you yield?

        14                  SENATOR MAZIARZ:    Yes, Mr.

        15       President.

        16                  ACTING PRESIDENT MEIER:    The

        17       sponsor yields.

        18                  SENATOR DUANE:    I see that the

        19       estimated revenue loss to the state is

        20       $1.7 million.  I'm wondering what the

        21       estimated revenue loss to the City of New York

        22       would be.

        23                  SENATOR MAZIARZ:    I'm not sure.

        24       I think it would probably be a like amount,

        25       because the sales tax is generally, I think,



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         1       evenly split.  Or I think it may be -- what's

         2       the sales tax in the city now, 8.25?  So I

         3       think it's evenly split.  Or it's either 4 or

         4       4.25 to the state and then to the city.

         5                  But, Mr. President, I would say

         6       that the -- that would be more than made up,

         7       at least Assemblyman Farrell and myself, in

         8       our discussions on this bill, felt that the

         9       lost revenue would be more than made up by the

        10       enhancement of and the encouragement of live

        11       jazz performances, not just in the city of

        12       New York but throughout all of New York State.

        13                  SENATOR DUANE:    And through you,

        14       Mr. President, if the sponsor would continue

        15       to yield.

        16                  SENATOR MAZIARZ:    Surely, Mr.

        17       President.

        18                  ACTING PRESIDENT MEIER:    The

        19       sponsor yields.

        20                  SENATOR DUANE:    Though not all of

        21       the venues in the bill are in New York City.

        22       Surely some of them must be in other parts of

        23       New York State.  So it wouldn't be half of the

        24       $1.7 million, it would be --

        25                  SENATOR MAZIARZ:    Some proportion



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         1       thereof, yes.

         2                  SENATOR DUANE:    And through you,

         3       Mr. President, if the sponsor would continue

         4       to yield.

         5                  ACTING PRESIDENT MEIER:    Does the

         6       sponsor yield?

         7                  SENATOR MAZIARZ:    Yes.

         8                  ACTING PRESIDENT MEIER:    He

         9       yields.

        10                  SENATOR DUANE:    And if there

        11       would be this big boost in nightlife, then is

        12       there an estimate of what the city and state

        13       enforcement costs would be to the Police

        14       Department, Department of Environmental

        15       Protection, Consumer Affairs, et cetera?

        16                  ACTING PRESIDENT MEIER:    Senator

        17       Maziarz.

        18                  SENATOR MAZIARZ:    No, I don't

        19       think there'd be any increase in enforcement.

        20       You know, these things tend to be more

        21       administratively sent in through the mail and

        22       over the Internet to the Department of Tax and

        23       Finance, Senator Duane.  I don't think it

        24       would require any increase in enforcement

        25       whatsoever.



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         1                  SENATOR DUANE:    Well, through

         2       you, Mr. President, if the sponsor would

         3       continue to yield.

         4                  SENATOR MAZIARZ:    Yes, Mr.

         5       President.

         6                  ACTING PRESIDENT MEIER:    The

         7       sponsor yields.

         8                  SENATOR DUANE:    Well, the claim

         9       is that the $1.7 million in revenue would be

        10       more than made up in the tremendous, huge,

        11       huge influx in people attending these

        12       nightlife events.  And in my district, that

        13       often means that there are enforcement

        14       problems, noise, crowd control, et cetera.  So

        15       I'm talking about those enforcement issues.

        16                  What would be the increased cost to

        17       the city and the state to hire more inspectors

        18       and personnel and police officers, et cetera,

        19       to deal with this tremendous revenue-producing

        20       influx of people going to these venues?

        21                  SENATOR MAZIARZ:    My answer would

        22       be, Mr. President, again, I don't think

        23       there'd be any increase.  I think maybe

        24       Senator Duane's district -- I'm not exactly

        25       familiar with his district.  It may be unlike



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         1       the other 61 districts in the State of

         2       New York.  But I don't think there would be

         3       any increased costs for enforcement or

         4       environmental protection or police protection

         5       than what's done now.

         6                  SENATOR DUANE:    Well, through

         7       you, Mr. President, if the sponsor would

         8       continue to yield.

         9                  SENATOR MAZIARZ:    Yes, Mr.

        10       President.

        11                  ACTING PRESIDENT MEIER:    The

        12       sponsor yields.

        13                  SENATOR DUANE:    Well, let me

        14       preface it by saying in fact, though my

        15       district is unique and wonderful and the best

        16       district in New York State, I do believe that

        17       there are other districts that would share

        18       similar problems -- Senator Krueger, Senator

        19       Connor, there may be others -- Senator

        20       Schneiderman.  There are probably other

        21       districts that, also unique and wonderful,

        22       would share the same issues with this.

        23                  And so through you, Mr. President,

        24       if the sponsor would yield to a question

        25       regarding --



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         1                  ACTING PRESIDENT MEIER:    Senator

         2       Maziarz, do you yield?

         3                  SENATOR MAZIARZ:    Yes, I would,

         4       Mr. President.

         5                  SENATOR DUANE:    Back on the issue

         6       of commercially reasonable rate, I'm wondering

         7       if the sponsor is familiar with the problem of

         8       restaurants that come in claiming to be a

         9       white-table restaurant establishment and

        10       quickly turn into a cabaret.

        11                  SENATOR MAZIARZ:    I am not

        12       familiar with that issue at all.  I'd have to

        13       say that my discussions and negotiations on

        14       this bill with Assemblyman Farrell, with the

        15       input that we had and at the public hearing

        16       that we had on this bill -- I want to

        17       emphasize, Mr. President, that we had a public

        18       hearing on this bill -- that that issue did

        19       not come up.

        20                  SENATOR DUANE:    And through you,

        21       Mr. President, if the sponsor would continue

        22       to yield.

        23                  SENATOR MAZIARZ:    Yes, Mr.

        24       President.

        25                  ACTING PRESIDENT MEIER:    The



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         1       sponsor yields.

         2                  SENATOR DUANE:    Thank you.  What

         3       was the committee under which the hearing was

         4       held in the Senate?

         5                  SENATOR MAZIARZ:    The hearing was

         6       held over in the Legislative Office Building.

         7       It was attended by -- actually, it was one of

         8       the best attended public hearings that I've

         9       seen this year.  There was a live performance

        10       by several musicians who play in some various

        11       cabarets and venues in the city of New York

        12       that were invited by Assemblyman Farrell and

        13       myself, through the American Federation of

        14       Musicians, to be here.

        15                  SENATOR DUANE:    Through you, Mr.

        16       President, if the sponsor would clarify

        17       something for me.

        18                  ACTING PRESIDENT MEIER:    Senator

        19       Maziarz, do you yield?

        20                  SENATOR MAZIARZ:    Yes.

        21                  ACTING PRESIDENT MEIER:    He

        22       yields.

        23                  SENATOR DUANE:    What was the

        24       Senate committee that this hearing was under

        25       the auspices of?



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         1                  SENATOR MAZIARZ:    It was the

         2       Committee on Labor and Tourism.  Both Assembly

         3       and Senate, I might add.

         4                  SENATOR DUANE:    And through you,

         5       Mr. President, if the sponsor would continue

         6       to yield.

         7                  ACTING PRESIDENT MEIER:    Do you

         8       continue to yield, Senator?

         9                  SENATOR MAZIARZ:    Yes, I do, Mr.

        10       President.

        11                  ACTING PRESIDENT MEIER:    The

        12       sponsor yields.

        13                  SENATOR DUANE:    The issue of

        14       rooftop performances, roof garden

        15       performances, I'm wondering why it is that the

        16       sponsor included rooftop performances as part

        17       of this legislation.

        18                  SENATOR MAZIARZ:    Actually, that

        19       was done at the suggestion of Assemblyman

        20       Farrell, because he felt that there were many

        21       of those types of venues in the city of

        22       New York and he wanted to make sure that they

        23       were inclusive.

        24                  I am aware of no rooftop live jazz

        25       clubs, say, in the city of Syracuse.



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         1                  SENATOR DUANE:    Through you, Mr.

         2       President, if the sponsor would continue to

         3       yield.

         4                  ACTING PRESIDENT MEIER:    Senator

         5       Maziarz, do you yield?

         6                  SENATOR MAZIARZ:    Yes, I do, Mr.

         7       President.

         8                  ACTING PRESIDENT MEIER:    The

         9       sponsor yields.

        10                  SENATOR DUANE:    I'm not aware of

        11       any rooftop venues in the city of Syracuse,

        12       but I am familiar with those in New York City.

        13       And I'm also familiar with places that wish to

        14       open rooftop venues.  And so I was wondering

        15       if the sponsor could tell me what the

        16       difference is when someone goes into a venue

        17       that's in a basement that's different than

        18       going to a venue that's on a roof.

        19                  SENATOR MAZIARZ:    I don't think

        20       there's any difference at all, Mr. President.

        21                  SENATOR DUANE:    Well, through

        22       you, Mr. President, why --

        23                  ACTING PRESIDENT MEIER:    Hold on

        24       a second.

        25                  Does the sponsor yield?  Senator



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         1       Maziarz, do you yield?

         2                  SENATOR MAZIARZ:    Yes, I do.  I'm

         3       sorry, Mr. President.

         4                  ACTING PRESIDENT MEIER:    The

         5       sponsor yields.

         6                  SENATOR DUANE:    Then I'm

         7       wondering why the rooftop is put out as a

         8       separate venue in the bill.

         9                  SENATOR MAZIARZ:    As I stated

        10       earlier, Mr. President, that was done at the

        11       suggestion of the Assembly sponsor, because he

        12       felt that there was this particular type of

        13       venue within the City of New York.  But it's

        14       all inclusive.  I think he wanted to be -- he

        15       and I both wanted to be as informative as

        16       possible in the legislation so that there

        17       wouldn't be so many questions asked when we

        18       were debating it on the floor.

        19                  SENATOR DUANE:    Through you, Mr.

        20       President, I'm sorry, I missed the last part

        21       of that.

        22                  SENATOR MAZIARZ:    I said the

        23       Assembly -- Mr. President, through you, the

        24       Assembly sponsor wanted us to be as inclusive

        25       as possible, put as much as possible into the



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         1       bill, so that when we were debating it on the

         2       floor there wouldn't be so many questions.

         3                  SENATOR DUANE:    And through you,

         4       Mr. President, despite the failure of the

         5       Assembly sponsor, would the Senate sponsor

         6       continue to yield.

         7                  ACTING PRESIDENT MEIER:    Senator,

         8       do you yield?

         9                  SENATOR MAZIARZ:    Yes, I will,

        10       Mr. President.  Thank you.

        11                  ACTING PRESIDENT MEIER:    The

        12       sponsor yields.

        13                  SENATOR DUANE:    As I understand

        14       it, presently the serving of -- does this now

        15       mean that no matter what, if any, food is

        16       served inside the venue or on the roof that

        17       the admission would be exempt?

        18                  SENATOR MAZIARZ:    Yes.  Mr.

        19       President, through you, the answer is yes.

        20                  SENATOR DUANE:    And so through

        21       you, Mr. President, if the sponsor would

        22       continue to yield.

        23                  SENATOR MAZIARZ:    The sales tax

        24       on just the admission would be exempt.  Not

        25       the sales tax, Senator, on the food that is



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         1       served.

         2                  SENATOR DUANE:    But through you,

         3       Mr. President, if the sponsor would continue

         4       to yield.

         5                  SENATOR MAZIARZ:    Yes, Mr.

         6       President.

         7                  ACTING PRESIDENT MEIER:    The

         8       sponsor yields.

         9                  SENATOR DUANE:    And so if in a

        10       venue the only food made available to eat

        11       would be a bag of pretzels or a bag of

        12       peanuts, would that mean, then, that there

        13       would be no sales tax charged on admission to

        14       the venue.

        15                  SENATOR MAZIARZ:    Yes, there

        16       would no sales tax charged on the admission.

        17       On the admission ticket only, Senator.

        18                  SENATOR DUANE:    And so through

        19       you, Mr. President, if the sponsor would

        20       continue to yield.

        21                  ACTING PRESIDENT MEIER:    Do you

        22       continue to yield, Senator?

        23                  SENATOR MAZIARZ:    Yes, Mr.

        24       President.

        25                  ACTING PRESIDENT MEIER:    The



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         1       sponsor yields.

         2                  SENATOR DUANE:    And so even if

         3       just to get around the charging of a sales

         4       tax, the owner of the venue decided to make

         5       available selling a bag of chips or a bag of

         6       peanuts, made it so they wouldn't have to

         7       charge tax, is that something that an owner

         8       could reasonably come to expect?

         9                  SENATOR MAZIARZ:    Through you,

        10       Mr. President, I'd answer that I would say

        11       that's a hypothetical.  And I guess I would

        12       answer with another hypothetical in saying

        13       that if the owner was going to run that type

        14       of a club where he didn't serve the type of

        15       beverages or food that the jazz-going public

        16       did not like, that he wouldn't be very

        17       successful in his business.

        18                  SENATOR DUANE:    And through you.

        19       Mr. President, if the sponsor would continue

        20       to yield.

        21                  ACTING PRESIDENT MEIER:    Does the

        22       sponsor continue to yield?

        23                  SENATOR MAZIARZ:    Yes, I do, Mr.

        24       President.

        25                  SENATOR DUANE:    Does this mean,



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         1       then, also in discotheques if no food is

         2       served, with the exception of, you know, chips

         3       or candy bars or something like that, that the

         4       state and the city would not be able to charge

         5       a tax for admission?

         6                  SENATOR MAZIARZ:    Mr. President,

         7       normally I think those types of clubs don't

         8       have live music.  But the answer would be yes

         9       if they had live music.

        10                  SENATOR DUANE:    And through you,

        11       Mr. President, if the sponsor would continue

        12       to yield.

        13                  SENATOR MAZIARZ:    Yes, Mr.

        14       President.

        15                  ACTING PRESIDENT MEIER:    He

        16       yields.

        17                  SENATOR DUANE:    If in the course

        18       of the events that happen in one of these

        19       venues, if there was just five minutes of

        20       someone playing the harp, would that mean it

        21       was then subject to not having to charge sales

        22       tax for entrance?

        23                  SENATOR MAZIARZ:    I think my

        24       answer, Mr. President, would be the same.  If

        25       that's the type of venue, I don't know of



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         1       anyone that would pay an admission charge to

         2       come to a place to listen to a harp for five

         3       minutes.

         4                  I would also stress that I don't

         5       think that in these types of clubs, where

         6       there are generally -- not always, but

         7       generally -- musicians that are members of the

         8       American Federation of Musicians -- these are

         9       unionized, professional artists -- that they

        10       would do those types of things, play for only

        11       five minutes for a limited -- for a very

        12       limited amount of time, obviously to get

        13       around, you know, paying a very minor sales

        14       tax charge.

        15                  SENATOR DUANE:    And through you,

        16       Mr. President, if the sponsor would continue

        17       to yield.

        18                  ACTING PRESIDENT MEIER:    Senator

        19       Maziarz?

        20                  SENATOR MAZIARZ:    Yes, Mr.

        21       President.

        22                  ACTING PRESIDENT MEIER:    He

        23       yields.

        24                  SENATOR DUANE:    I actually don't

        25       believe that a member of the union would do



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         1       it.  But if I went into a discotheque and

         2       played the piano for three or four minutes and

         3       rest of the eight hours of the club activity

         4       that night was taken up with dancing to

         5       recorded music, but because I played the piano

         6       for two minutes, would that mean that the

         7       venue would be exempt from paying sales tax?

         8                  SENATOR MAZIARZ:    I'm sorry, Mr.

         9       President, I don't think there was a question

        10       in that.

        11                  SENATOR DUANE:    I'm asking in

        12       another hypothetical that if I went to a

        13       discotheque and played the piano for two

        14       minutes and yet for the rest of the eight

        15       hours that the club was in operation they

        16       played loud disco music with the windows open,

        17       disturbing the neighbors in the neighborhood,

        18       would that then mean that they were exempt

        19       from paying the admission tax because I played

        20       the piano for two minutes even though I'm not

        21       a member of the union?

        22                  SENATOR SALAND:    Mr. President.

        23                  ACTING PRESIDENT MEIER:    Senator

        24       Saland, why do you rise?

        25                  SENATOR SALAND:    On a point of



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         1       order.

         2                  ACTING PRESIDENT MEIER:    State

         3       your point of order, Senator.

         4                  SENATOR SALAND:    Mr. President,

         5       in a courtroom I would be inclined to raise an

         6       objection along the lines of asked and

         7       answered.

         8                  With all due respect to Senator

         9       Duane and Senator Maziarz, there's a certain

        10       repetitiveness about the line of questioning.

        11       I think the question has been answered -- the

        12       question has been asked in multiple different

        13       ways.  It's basically the same question.

        14       We've had multiply the same answers.  I do

        15       think it's been asked and answered and request

        16       that the chair rule that we proceed perhaps to

        17       bring this to conclusion.

        18                  SENATOR SCHNEIDERMAN:    Mr.

        19       President.

        20                  ACTING PRESIDENT MEIER:    Why do

        21       you rise, Senator Schneiderman?

        22                  SENATOR SCHNEIDERMAN:    I rise

        23       because I think it's the prerogative of the

        24       sponsor, if he wants to keep debating, he's

        25       allowed to --



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         1                  ACTING PRESIDENT MEIER:    Hold on,

         2       Senator.  Just everybody hold on.  There's a

         3       point of order on the table.

         4                  Now, Senator Saland I think does

         5       make a point.  The questioning is sort of a

         6       repetitious rephrasing of really the same

         7       issue over and over again.

         8                  So, Senator, if you have a relevant

         9       question, pose it.  If not, let's move along.

        10                  SENATOR SCHNEIDERMAN:    Thank you,

        11       Mr. President.  I just rise because I think

        12       that the sponsor is perfectly capable of

        13       handling the debate on his own.

        14                  ACTING PRESIDENT MEIER:    Senator,

        15       you're debating a point of order and it's not

        16       debateable.  Please, Senator.

        17                  SENATOR SCHNEIDERMAN:    Thank you,

        18       Mr. President.

        19                  ACTING PRESIDENT MEIER:    Senator

        20       Maziarz.

        21                  SENATOR MAZIARZ:    Mr. President,

        22       we will take one more question, different than

        23       any other question that has been asked

        24       previously.  If he can possibly think of one.

        25                  ACTING PRESIDENT MEIER:    Senator



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         1       Duane.

         2                  SENATOR DUANE:    Well, Mr.

         3       President, you'll have to give me a moment

         4       because it's difficult for me to decide which

         5       is the most important of the questions that I

         6       have remaining.

         7                  ACTING PRESIDENT MEIER:    Well,

         8       actually, no, Senator Duane, I don't have to

         9       give you a moment.  Do you have a question to

        10       pose or don't you?

        11                  Senator Maziarz has the floor,

        12       then.

        13                  Any other Senator wish to be heard

        14       on the bill?

        15                  SENATOR DUANE:    Thank you, Mr.

        16       President, I'm not going ask any further

        17       questions, then.

        18                  ACTING PRESIDENT MEIER:    Any

        19       other Senator wish to be heard on the bill?

        20                  Debate is closed, then.

        21                  The Secretary will ring the bell.

        22                  Read the last section.

        23                  THE SECRETARY:    Section 2.  This

        24       act shall take effect on the first day of a

        25       sales tax quarterly period.



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         1                  ACTING PRESIDENT MEIER:    Call the

         2       roll.

         3                  (The Secretary called the roll.)

         4                  ACTING PRESIDENT MEIER:    Announce

         5       the results.

         6                  THE SECRETARY:    Ayes, 56.  Nays,

         7       1.  Senator Duane recorded in the negative.

         8                  Absent from voting:  Senators

         9       Fuschillo, Gonzalez and C. Kruger.

        10                  ACTING PRESIDENT MEIER:    The bill

        11       is passed.

        12                  Senator Bruno.

        13                  SENATOR BRUNO:    Can we at this

        14       time, Mr. President, take up Calendar Number

        15       1981.

        16                  ACTING PRESIDENT MEIER:    The

        17       Secretary will read Calendar 1981.

        18                  THE SECRETARY:    Calendar Number

        19       1981, by Senator Young, Senate Print 5911, an

        20       act to amend the Education Law.

        21                  SENATOR BRUNO:    Mr. President, is

        22       there a message of necessity at the desk?

        23                  ACTING PRESIDENT MEIER:    There

        24       is.

        25                  SENATOR BRUNO:    Move we accept



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         1       the message.

         2                  ACTING PRESIDENT MEIER:    All in

         3       favor of accepting the message of necessity

         4       signify by saying aye.

         5                  (Response of "Aye.")

         6                  ACTING PRESIDENT MEIER:    Those

         7       opposed, nay.

         8                  (No response.)

         9                  ACTING PRESIDENT MEIER:    The

        10       message is accepted.

        11                  Read the last section.

        12                  THE SECRETARY:    Section 3.  This

        13       act shall take effect immediately.

        14                  ACTING PRESIDENT MEIER:    Call the

        15       roll.

        16                  (The Secretary called the roll.)

        17                  THE SECRETARY:    Ayes, 59.

        18                  ACTING PRESIDENT MEIER:    The bill

        19       is passed.

        20                  Senator Bruno.

        21                  SENATOR BRUNO:    Mr. President,

        22       can we at this time take up Calendar Number

        23       1982.

        24                  ACTING PRESIDENT MEIER:    The

        25       Secretary will read Calendar 1982.



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         1                  THE SECRETARY:    Calendar Number

         2       1982, by Senator Marcellino, Senate Print

         3       5913, an act authorizing the assessor of the

         4       County of Nassau.

         5                  ACTING PRESIDENT MEIER:    Senator

         6       Bruno.

         7                  SENATOR BRUNO:    Is there a

         8       message at the desk?

         9                  ACTING PRESIDENT MEIER:    There

        10       is.

        11                  SENATOR BRUNO:    Move we accept

        12       the message.

        13                  ACTING PRESIDENT MEIER:    All in

        14       favor of accepting the message of necessity

        15       signify by saying aye.

        16                  (Response of "Aye.")

        17                  ACTING PRESIDENT MEIER:    Those

        18       opposed, nay.

        19                  (No response.)

        20                  ACTING PRESIDENT MEIER:    The

        21       message is accepted.

        22                  Read the last section.

        23                  THE SECRETARY:    Section 2.  This

        24       act shall take effect immediately.

        25                  ACTING PRESIDENT MEIER:    Call the



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         1       roll.

         2                  (The Secretary called the roll.)

         3                  THE SECRETARY:    Ayes, 58.  Nays,

         4       1.  Senator Bonacic recorded in the negative.

         5                  ACTING PRESIDENT MEIER:    The bill

         6       is passed.

         7                  SENATOR BRUNO:    Mr. President,

         8       can we return to Supplemental Calendar B and

         9       take up Number 1965.

        10                  ACTING PRESIDENT MEIER:    The

        11       Secretary will read Calendar 1965.

        12                  THE SECRETARY:    Calendar Number

        13       1965, by Senator Padavan, Senate Print 5926,

        14       an act to amend a chapter of the Laws of 2005

        15       amending the Tax Law.

        16                  SENATOR BRUNO:    Is there a

        17       message at the desk?

        18                  ACTING PRESIDENT MEIER:    There

        19       is.

        20                  SENATOR BRUNO:    I would move we

        21       accept the message.

        22                  ACTING PRESIDENT MEIER:    All in

        23       favor of accepting the message of necessity

        24       signify by saying aye.

        25                  (Response of "Aye.")



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         1                  ACTING PRESIDENT MEIER:    Those

         2       opposed, nay.

         3                  (No response.)

         4                  ACTING PRESIDENT MEIER:    The

         5       message is accepted.

         6                  Read the last section.

         7                  THE SECRETARY:    Section 2.  This

         8       act shall take effect immediately.

         9                  ACTING PRESIDENT MEIER:    Call the

        10       roll.

        11                  (The Secretary called the roll.)

        12                  THE SECRETARY:    Ayes, 59.

        13                  ACTING PRESIDENT MEIER:    The bill

        14       is passed.

        15                  Senator Bruno.

        16                  SENATOR BRUNO:    Can we ask for an

        17       immediate meeting of the Rules Committee in

        18       the Majority Conference Room.

        19                  ACTING PRESIDENT MEIER:

        20       Immediate meeting of the Rules Committee in

        21       the Majority Conference Room.

        22                  SENATOR BRUNO:    And we will stand

        23       at ease for a very short period of time,

        24       because I expect this is the last Rules

        25       Committee report.



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         1                  ACTING PRESIDENT MEIER:    The

         2       Senate will stand at ease pending the report

         3       of the Rules Committee.

         4                  (Whereupon, the Senate stood at

         5       ease at 3:19 p.m.)

         6                  (Whereupon, the Senate reconvened

         7       at 3:26 p.m.)

         8                  ACTING PRESIDENT MEIER:    Senator

         9       Bruno.

        10                  SENATOR BRUNO:    Mr. President,

        11       can we return at this time to reports of

        12       standing committees.  I believe that there is

        13       a Rules report at the desk, and I would

        14       recommend that it now be read with some order

        15       in the chamber.

        16                  ACTING PRESIDENT MEIER:    Can we

        17       have some order in the chamber.

        18                  Reports of standing committees.

        19                  The Secretary will read the report

        20       of the Rules Committee.

        21                  THE SECRETARY:    Senator Bruno,

        22       from the Committee on Rules, reports the

        23       following bills:

        24                  Senate Print 5670, by Senator

        25       Spano, an act to amend the Public Authorities



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         1       Law;

         2                  5931, by Senator Klein, an act to

         3       authorize;

         4                  5928, by the Senate Committee on

         5       Rules, an act to amend the Education Law;

         6                  5929, by the Senate Committee on

         7       Rules, an act to amend Chapter 50 of the Laws

         8       of 2005;

         9                  5930, by the Senate Committee on

        10       Rules, an act to amend the Administrative Code

        11       of the City of New York;

        12                  Assembly Print 8970, by the

        13       Assembly Committee on Rules, an act to amend

        14       the Retirement and Social Security Law;

        15                  And Senate Print 5853, by the

        16       Senate Committee on Rules, an act making

        17       appropriations.

        18                  All bills ordered direct to third

        19       reading.

        20                  ACTING PRESIDENT MEIER:    Senator

        21       Bruno.

        22                  SENATOR BRUNO:    I would, Mr.

        23       President, move to accept the report of the

        24       Rules Committee.

        25                  ACTING PRESIDENT MEIER:    All



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         1       those in favor of accepting the report of the

         2       Rules Committee signify by saying aye.

         3                  (Response of "Aye.")

         4                  ACTING PRESIDENT MEIER:    Those

         5       opposed, nay.

         6                  (No response.)

         7                  ACTING PRESIDENT MEIER:    The

         8       report is accepted.

         9                  Senator Bruno.

        10                  SENATOR BRUNO:    Mr. President,

        11       can we have the noncontroversial reading of

        12       the Rules report.

        13                  ACTING PRESIDENT MEIER:    The

        14       Secretary will read.

        15                  THE SECRETARY:    Calendar Number

        16       1978, by Senator Spano, Senate Print 5670, an

        17       act to amend the Public Authorities Law.

        18                  ACTING PRESIDENT MEIER:    Read the

        19       last section.

        20                  THE SECRETARY:    Section 2.  This

        21       act shall take effect immediately.

        22                  ACTING PRESIDENT MEIER:    Call the

        23       roll.

        24                  (The Secretary called the roll.)

        25                  THE SECRETARY:    Ayes, 59.



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         1                  ACTING PRESIDENT MEIER:    The bill

         2       is passed.

         3                  THE SECRETARY:    In relation to

         4       Calendar Number 1985, Senator Klein moves to

         5       discharge, from the Committee on Rules,

         6       Assembly Bill Number 4407 and substitute it

         7       for the identical Senate Bill Number 5931,

         8       Third Reading Calendar 1985.

         9                  ACTING PRESIDENT MEIER:

        10       Substitution ordered.

        11                  The Secretary will read.

        12                  THE SECRETARY:    Calendar Number

        13       1985, by Member of the Assembly Heastie,

        14       Assembly Print Number 4407, an act authorizing

        15       the City of New York.

        16                  ACTING PRESIDENT MEIER:    There is

        17       a home-rule message at the desk.

        18                  Read the last section.

        19                  THE SECRETARY:    Section 2.  This

        20       act shall take effect immediately.

        21                  ACTING PRESIDENT MEIER:    Call the

        22       roll.

        23                  (The Secretary called the roll.)

        24                  THE SECRETARY:    Ayes, 59.

        25                  ACTING PRESIDENT MEIER:    The bill



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         1       is passed.

         2                  THE SECRETARY:    Calendar Number

         3       1986, by the Senate Committee on Rules, Senate

         4       Print Number 5928, an act to amend the

         5       Education Law.

         6                  ACTING PRESIDENT MEIER:    Senator

         7       Bruno.

         8                  SENATOR BRUNO:    Is there a

         9       message at the desk?

        10                  ACTING PRESIDENT MEIER:    Yes,

        11       there is, Senator.

        12                  SENATOR BRUNO:    I would move we

        13       accept the message.

        14                  ACTING PRESIDENT MEIER:    All in

        15       favor of accepting the message of necessity

        16       signify by saying aye.

        17                  (Response of "Aye.")

        18                  ACTING PRESIDENT MEIER:    Those

        19       opposed, nay.

        20                  (No response.)

        21                  ACTING PRESIDENT MEIER:    The

        22       message is accepted.

        23                  Read the last section.

        24                  THE SECRETARY:    Section 2.  This

        25       act shall take effect immediately.



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         1                  ACTING PRESIDENT MEIER:    Call the

         2       roll.

         3                  (The Secretary called the roll.)

         4                  THE SECRETARY:    Ayes, 59.

         5                  ACTING PRESIDENT MEIER:    The bill

         6       is passed.

         7                  THE SECRETARY:    Calendar Number

         8       1987, by the Senate Committee on Rules, Senate

         9       Print Number 5929, an act to amend Chapter 50

        10       of the Laws of 2005.

        11                  SENATOR BRUNO:    Is there a

        12       message at the desk?

        13                  ACTING PRESIDENT MEIER:    Yes,

        14       there is.

        15                  SENATOR BRUNO:    I would move to

        16       accept the message.

        17                  ACTING PRESIDENT MEIER:    All in

        18       favor of accepting the message of necessity

        19       signify by saying aye.

        20                  (Response of "Aye.")

        21                  ACTING PRESIDENT MEIER:    Those

        22       opposed, nay.

        23                  (No response.)

        24                  ACTING PRESIDENT MEIER:    The

        25       message is accepted.



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         1                  Read the last section.

         2                  THE SECRETARY:    Section 5.  This

         3       act shall take effect immediately.

         4                  ACTING PRESIDENT MEIER:    Call the

         5       roll.

         6                  (The Secretary called the roll.)

         7                  THE SECRETARY:    Ayes, 59.

         8                  ACTING PRESIDENT MEIER:    The bill

         9       is passed.

        10                  THE SECRETARY:    Calendar Number

        11       1988, by the Senate Committee on Rules, Senate

        12       Print Number 5930, an act to amend the

        13       Administrative Code of the City of New York.

        14                  SENATOR BRUNO:    Is there a

        15       message at the desk?

        16                  ACTING PRESIDENT MEIER:    Yes,

        17       there is.

        18                  SENATOR BRUNO:    I would move to

        19       accept the message.

        20                  ACTING PRESIDENT MEIER:    All in

        21       favor of accepting the message of necessity

        22       signify by saying aye.

        23                  (Response of "Aye.")

        24                  ACTING PRESIDENT MEIER:    Those

        25       opposed, nay.



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         1                  (No response.)

         2                  ACTING PRESIDENT MEIER:    The

         3       message is accepted.

         4                  Read the last section.

         5                  THE SECRETARY:    Section 2.  This

         6       act shall take effect immediately.

         7                  ACTING PRESIDENT MEIER:    Call the

         8       roll.

         9                  (The Secretary called the roll.)

        10                  THE SECRETARY:    Ayes, 59.

        11                  ACTING PRESIDENT MEIER:    The bill

        12       is passed.

        13                  THE SECRETARY:    Calendar Number

        14       1989, by the Assembly Committee on Rules,

        15       Assembly Print Number 8970, an act to amend

        16       the Retirement and Social Security Law.

        17                  ACTING PRESIDENT MEIER:    Read the

        18       last section.

        19                  THE SECRETARY:    Section 2.  This

        20       act shall take effect immediately.

        21                  ACTING PRESIDENT MEIER:    Call the

        22       roll.

        23                  (The Secretary called the roll.)

        24                  THE SECRETARY:    Ayes, 59.

        25                  ACTING PRESIDENT MEIER:    The bill



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         1       is passed.

         2                  THE SECRETARY:    In relation to

         3       Calendar Number 1990, Senator Bruno moves to

         4       discharge, from the Committee on Rules,

         5       Assembly Bill Number 8952 and substitute it

         6       for the identical Senate Bill Number 5853,

         7       Third Reading Calendar 1990.

         8                  ACTING PRESIDENT MEIER:

         9       Substitution ordered.

        10                  The Secretary will read.

        11                  THE SECRETARY:    Calendar Number

        12       1990, by the Assembly Committee on Rules,

        13       Assembly Print Number 8952, an act making an

        14       appropriation to pay Maurice M. McGee.

        15                  ACTING PRESIDENT MEIER:    Read the

        16       last section.

        17                  THE SECRETARY:    Section 2.  This

        18       act shall take effect immediately.

        19                  ACTING PRESIDENT MEIER:    Call the

        20       roll.

        21                  (The Secretary called the roll.)

        22                  THE SECRETARY:    Ayes, 59.

        23                  ACTING PRESIDENT MEIER:    The bill

        24       is passed.

        25                  Senator Bruno, that completes



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         1       Supplemental Calendar D.

         2                  SENATOR BRUNO:    Mr. President,

         3       may I strongly urge that we recommit all of

         4       the bills left on the calendar back to the

         5       Committee on Rules.

         6                  ACTING PRESIDENT MEIER:    All

         7       bills will be committed to the Committee on

         8       Rules.

         9                  SENATOR BRUNO:    And if we can

        10       possibly recognize our esteemed colleague

        11       Senator Paterson, I believe he has some

        12       observations and some comments.

        13                  ACTING PRESIDENT MEIER:    The

        14       distinguished Minority Leader, Senator

        15       Paterson.

        16                  SENATOR PATERSON:    Thank you, Mr.

        17       President.

        18                  Aware as I am that the recess is

        19       only impeded by this presentation, I will try

        20       to be brief.  We've recommitted all the bills;

        21       now we're going to recommit all the

        22       legislators, and the state should be safe for

        23       a few weeks.

        24                  This was actually a year in which I

        25       felt a certain sense of anxiety working with



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         1       all of you and enjoying a number of

         2       friendships with many of you on both sides of

         3       the aisle.  This was a year in which, for

         4       once, the Minority in the previous year had

         5       had a successful year.  And for those of you

         6       on the other side of the aisle who may be

         7       remembering your Assembly days, the only time

         8       that the minority has a good year is when the

         9       leader works hard, which I tried to; when the

        10       leader is surrounded by others, such as

        11       Senator Schneiderman, Senator Montgomery,

        12       Senator Breslin, people who assist me; and,

        13       frankly, a little bit of luck, which always

        14       helps us all.

        15                  But I must say, speaking

        16       substantively and speaking frankly and

        17       speaking about the legislative process and not

        18       politics, that I was surprised this year that

        19       those of you, members and staff, in the

        20       Majority acted in a manner as professional as

        21       you did.  Certainly we have conflicts outside

        22       of this chamber -- not real personal

        23       conflicts, but we're on different sides of the

        24       aisle, we have a different ideological

        25       viewpoint, and we fight very hard to persuade



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         1       the public to our point of view.

         2                  But the reality is that when we got

         3       back here this year, there was a tremendous

         4       amount of cooperation on the part of the floor

         5       leader for the Majority, Senator Skelos;

         6       Senator Volker, who we just went through the

         7       Rockefeller Drug Laws reform, or part of it

         8       with; Senator LaValle, Senator Balboni,

         9       Senator Marchi, all of you certainly, I think,

        10       conducted yourselves in a way that I hope it

        11       won't sound pompous or condescending made me

        12       proud, even more proud to be your colleague

        13       here in the Senate.

        14                  And of course I have to offer my

        15       heartfelt appreciation to Senator Bruno, who

        16       has worked with all of us from both sides of

        17       the aisle and rightly has earned his

        18       classification here as Majority Leader and

        19       has, I think, governed fairly.

        20                  So as we leave some of the issues

        21       that we weren't able to fully negotiate in

        22       this process and await the next opportunity to

        23       try to change the quality of life for the

        24       residents of this state through our work, I

        25       just want to wish all of you a very happy



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         1       summer.

         2                  (Standing ovation.)

         3                  ACTING PRESIDENT MEIER:    Senator

         4       Bruno.

         5                  SENATOR BRUNO:    Mr. President,

         6       did you record how long the applause was?

         7                  (Laughter.)

         8                  ACTING PRESIDENT MEIER:    Yes, we

         9       did.

        10                  SENATOR BRUNO:    Good.  Thank you.

        11       I want you to all be mindful and conscious of

        12       that.

        13                  (Laughter.)

        14                  SENATOR BRUNO:    David, thank you.

        15       Thank you for your gracious remarks, kind

        16       remarks.  And thank you for helping us

        17       conclude a session here in the middle of the

        18       day on Friday the 24th.  We had hoped to

        19       finish last night, but this is as timely as it

        20       can be.

        21                  And all of us can be proud, we can

        22       be really proud of what we have done this

        23       year.  We have had, really, when you reflect

        24       back, one of the most productive legislative

        25       years certainly that I can remember, in all



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         1       the years that I've been here, and I hope that

         2       you can remember.

         3                  We talked about getting a budget

         4       done on time, and we did.  We talked about

         5       reforms, and you name the reform, whether it's

         6       in campaign finance reform, the legislative

         7       process to be more responsive, public

         8       authorities, with the leadership with Senator

         9       Leibell and all of the others on that,

        10       procurement.  Very, very difficult issues.  We

        11       can all be proud that we have governed on

        12       behalf of the people of this state.

        13                  But this doesn't happen, our lives

        14       here, we don't lead in isolation.  We have to

        15       work together to improve the quality of life

        16       for our mutual constituency, which is across

        17       this whole state.  And we do that.  We

        18       discuss, we argue, we negotiate.

        19                  Sometimes we don't get there.  And

        20       we didn't get there on what we feel is

        21       appropriate casino legislation, with the three

        22       that are in law now that we can't get done.

        23       But the law three years ago says three.  We

        24       didn't get the death penalty reinstated.  We

        25       aren't able to close on nursing home



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         1       legislation that's critically important.

         2                  Do you know, in our lives we are

         3       24/7, we are elected 24/7.  We're not

         4       recessing, we're not adjourning, we are still

         5       Senators, we're still representatives of the

         6       people, and we will continue to work.  If and

         7       when we resolve any of the major issues, we

         8       have ended and are ending today, Mr. President

         9       and colleagues, the regular session of 2005.

        10       As I said, we can do that proudly.  If we have

        11       agreement on specifics, we will come back with

        12       a limited calendar and we will do the people's

        13       business.  And if that happens, and I hope it

        14       does, it will be plenty of notice of out

        15       there.

        16                  But you know, to get to where we

        17       are, to be as productive, to be as responsive

        18       to the people, to be as efficient, as

        19       effective as we have been this year does take

        20       cooperation.  Cooperation here, and we've had

        21       it; cooperation with the Speaker of the

        22       Assembly and all of his colleagues.  And we've

        23       had it.  We have partnered in a way that I

        24       can't remember we've partnered as well.

        25                  And we're very fortunate, and this



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         1       is open and objective, that we have a Governor

         2       who is in his third term and has the

         3       experience and the judgment and the intellect

         4       to be able to lead a state as complex as this

         5       one, as diversified as this one, to be

         6       reelected by the people in a state like this

         7       three times.

         8                  So we can be proud and I'm grateful

         9       to the Governor, as you are, for his

        10       leadership.  And this Governor just gets

        11       better and better.  And I want to just

        12       commemorate this closing session to Governor

        13       George Pataki on this day, his 60th birthday.

        14       Now, that's a nice thing.

        15                  (Applause.)

        16                  SENATOR BRUNO:    And I shared with

        17       the Governor, with age comes greater and

        18       greater wisdom.  And it's hard for some people

        19       to understand that they can get any wiser, but

        20       it's so.

        21                  And I also commented:  Ah, to be 60

        22       again.

        23                  (Laughter.)

        24                  SENATOR BRUNO:    But I want to say

        25       thank you to my colleagues here.  Senator



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         1       Skelos, who leads the floor.  And, Dean, thank

         2       you for being so diligent and conscientious

         3       and helping us move the process.

         4                  And our colleagues here, all part

         5       of this process, with Senator Spano and

         6       Senator Libous and Owen Johnson, our chair of

         7       Finance, who is just as dedicated and

         8       committed and just does it all right.

         9                  Frank Padavan, who is our vice

        10       president.  And, Frank, thank you for your

        11       support.

        12                  And our esteemed colleague who is

        13       here diligently, Senator Marchi, the

        14       legislator of the United States.

        15                  (Standing ovation.)

        16                  SENATOR BRUNO:    John, you are the

        17       best.

        18                  John said, "Oh, to be 80 again."

        19                  (Laughter.)

        20                  SENATOR BRUNO:    That's great.

        21                  But thank you to all of my

        22       colleagues here.  As I look around, you know,

        23       I can single each and every one of you out,

        24       because you really, you've just been

        25       outstanding.  You have contributed.



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         1                  And Eric Schneiderman, Senator

         2       Schneiderman, thank you for your presence on

         3       the floor and the way you help move the

         4       process with your colleagues and your

         5       leadership there.

         6                  And Neil, representing us here

         7       locally as Finance, here in this capital city

         8       of Albany, in this county.

         9                  And the rest of you, thank you.

        10                  And, Tom, thank you for your being

        11       so conscientious and questioning on behalf of

        12       your constituency and the people of this

        13       state.

        14                  (Laughter.)

        15                  SENATOR BRUNO:    I mean, you are

        16       just a credit to your district.

        17                  I have to especially thank -- and I

        18       mean that.  I want to thank Steve Boggess, our

        19       secretary of the Senate here, who helps make

        20       this place hum and run as efficiently as he

        21       does and in a really nonpartisan way.  And

        22       we're grateful to him.

        23                  Mary Louise -- where is Mary

        24       Louise, is she here -- Malick, our budget

        25       director.  Mary Louise -- she's still working.



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         1       And she's assisted by Bob Mujica -- Bob,

         2       whether he's here -- and of course Bob Hotz

         3       and all of the Finance staff.  They just keep

         4       going 24/7.

         5                  And Ken Riddett, our chief counsel,

         6       with all of his assistants that are here; they

         7       just get it done.  So, Ken, thank you.  Thanks

         8       very much for being there.

         9                  (Applause.)

        10                  SENATOR BRUNO:    Frank Gluchowski,

        11       who helps us here in the chamber.

        12                  I can mention each and every person

        13       that is on staff, yours and ours, because

        14       without the support people that we have, we

        15       couldn't conclude a session as productive as

        16       this and we couldn't function in our lives on

        17       behalf of our constituency.  So we're

        18       grateful.

        19                  And Ed Lurie and members of Senate

        20       Research.  Rick Burdick, Amy Leitch in my

        21       office, and Maria Camarra, who supports her,

        22       and Kim Bowmaker, who keeps traffic and does a

        23       lot of other things for all of us.

        24                  Tommy Testo, who has the dulcet

        25       tones; I wish I had his voice.  Tommy, thank



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         1       you.

         2                  (Applause.)

         3                  SENATOR BRUNO:    Thank you, Tommy,

         4       to you and to all of the people up there who

         5       just make everything run so smoothly.  We

         6       appreciate it.

         7                  And Bill Martin, for your being so

         8       conscientious and helping us, with your

         9       colleagues here, with the sergeant-at-arms.

        10                  Our document room clerk, and the

        11       man in charge is Chris Cook.  And we don't get

        12       what we get without Chris and all the people

        13       who work through the night to get what we have

        14       to have so we can function.

        15                  And Bill Beach, of course, runs the

        16       place on an operational basis; Jim Bell, in

        17       technology.

        18                  And really, I can go on and on and

        19       on.  And I won't, but you know what I'm

        20       saying.  We get it done together.  This is a

        21       team.  It's a team that we can really be proud

        22       of.  And each and every one of you are on the

        23       same team, bottom line, when it's all said and

        24       done.

        25                  David has been really a partner in



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         1       this chamber.  And we have to at times be in

         2       different places and a little more partisan

         3       than maybe we would like.  But it goes with

         4       the job and with the territory.  But always a

         5       gentleman, always a man of character, always a

         6       man of integrity.  And unlike some other

         7       people, always in a positive mode when he

         8       talks about his colleagues here, and

         9       especially me, when he doesn't have to.  And,

        10       David, I want you to know I appreciate that.

        11                  Now, John McArdle -- David, thank

        12       you.

        13                  (Applause.)

        14                  SENATOR BRUNO:    Please, thank

        15       you.  Thank you for not standing up again.

        16                  (Laughter.)

        17                  SENATOR BRUNO:    But I want to

        18       thank John McArdle.  Where is John?  John is

        19       our director of communications.  And Mark

        20       Hansen assists him, and so many others.  And

        21       they help get that message out on your behalf

        22       and on on our behalf, so that the people truly

        23       understand what we do around here and that

        24       they get it right.

        25                  So thank you, John, and thank you



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         1       to everybody that is part of the process.

         2                  And we're going on into the summer.

         3       And I can tell you this, that I kind of close

         4       down almost remorsefully, because I just love

         5       it here.

         6                  (Laughter.)

         7                  SENATOR BRUNO:    And, you know, to

         8       be able to go out and just relax, play some

         9       golf, deal with the constituency without the

        10       pressures of having to be in session and with

        11       all of the goings on.  It's another challenge,

        12       but all of us are going to try and be up to

        13       it.

        14                  So I want to just wish you a happy

        15       recess as you meet with your constituency and

        16       continue in your service, and a healthy recess

        17       and a productive one.

        18                  And if we get back together, Mr.

        19       President, let's hope that it is for one day,

        20       when and if, and it will be to continue one of

        21       the most productive years that we have had in

        22       the last anyone's memory for decades.

        23                  So thank you all, and God bless you

        24       and safe travel.

        25                  (Standing ovation.)



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         1                  SENATOR BRUNO:    Thank you all.

         2       And thank you, Mr. President.

         3                  And now, there being no further

         4       business to come before the Senate, I would

         5       move that we stand adjourned, intervening days

         6       to be legislative days, subject to the call of

         7       the Majority Leader.

         8                  ACTING PRESIDENT MEIER:    On

         9       motion, the Senate stands adjourned until the

        10       call of the Majority Leader.  Intervening days

        11       will be legislative days.

        12                  (Whereupon, at 3:49 p.m., the

        13       Senate adjourned.)

        14

        15

        16

        17

        18

        19

        20

        21

        22

        23

        24

        25



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