Regular Session - June 21, 2010

                                                            5775



         1                 NEW YORK STATE SENATE

         2

         3

         4                THE STENOGRAPHIC RECORD

         5

         6

         7

         8

         9                   ALBANY, NEW YORK

        10                     June 21, 2010

        11                       1:00 p.m.

        12

        13

        14                    REGULAR SESSION

        15

        16

        17

        18  SENATOR CRAIG M. JOHNSON, Acting President

        19  ANGELO J. APONTE, 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 CRAIG JOHNSON:

         3       The Senate will please come to order.

         4                  I ask everyone present to rise and

         5       recite with me the Pledge of Allegiance to our

         6       Flag.

         7                  (Whereupon, the assemblage recited

         8       the Pledge of Allegiance to the Flag.)

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Today's invocation will be provided by the

        11       Reverend Peter G. Young, Mother Teresa

        12       Community Church, Albany.

        13                  REVEREND YOUNG:    Thank you.

        14       Thank you, Senator.  Let us pray.

        15                  Ever-living God, on this day, the

        16       first day of summer, you have given us

        17       15 hours and 26 minutes to gather here in

        18       daylight in this Senate chamber, as members

        19       representing our constituents, to provide

        20       leadership for our New York State citizens.

        21                  Let Your spirit enlighten our minds

        22       and guide our actions, that we may be united

        23       in love and bring to fulfillment the work of

        24       government for the greater honor and glory of

        25       our citizens.



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         1                  By being a Senator, you have been

         2       accepted into the leadership position so that

         3       you can more fully serve the people of

         4       New York State.  In the spirit of community

         5       and prayer today, we will better achieve the

         6       goal of dedicated representation in the power

         7       that is entrusted to all of our legislative

         8       leadership.  May you attain your satisfaction

         9       in your services to your constituents.

        10                  Amen.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       The reading of the Journal.

        13                  The Secretary will read.

        14                  THE SECRETARY:    In Senate,

        15       Sunday, June 20, the Senate met pursuant to

        16       adjournment.  The Journal of Saturday,

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

        18       Senate adjourned.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Without objection, the Journal stands approved

        21       as read.

        22                  Presentation of petitions.

        23                  Messages from the Assembly.

        24                  Messages from the Governor.

        25                  Reports of standing committees.



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         1                  Reports of select committees.

         2                  Communications and reports from

         3       state officers.

         4                  Motions and resolutions.

         5                  Senator Klein.

         6                  SENATOR KLEIN:    Mr. President, on

         7       behalf of Senator Squadron, on page number 25

         8       I offer the following amendments to Calendar

         9       Number 676, Senate Print Number 5597A, and ask

        10       that said bill retain its place on Third

        11       Reading Calendar.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       So ordered.

        14                  Senator Klein.

        15                  SENATOR KLEIN:    On behalf of

        16       Senator Stavisky, on page 37 I offer the

        17       following amendments to Calendar Number 901,

        18       Senate Print Number 5954B, and ask that said

        19       bill retain its place on Third Reading

        20       Calendar.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       So ordered.

        23                  Senator Klein.

        24                  SENATOR KLEIN:    On behalf of

        25       Senator Breslin, on page 29 I offer the



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         1       following amendments to Calendar Number 754,

         2       Senate Print Number 7220, and ask that said

         3       bill retain its place on Third Reading

         4       Calendar.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       So ordered.

         7                  Senator Klein.

         8                  SENATOR KLEIN:    On behalf of

         9       Senator Craig Johnson, I move that the

        10       following bill be discharged from its

        11       respective committee and be recommitted with

        12       instructions to strike the enacting clause:

        13       Senate Number 8216.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       So ordered.

        16                  Senator Klein.

        17                  SENATOR KLEIN:    Mr. President, I

        18       believe Senator Perkins has a resolution at

        19       the desk.  I ask that the title of the

        20       resolution be read and move for its immediate

        21       adoption.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Klein, has this resolution been deemed

        24       privileged and submitted by the office of the

        25       Temporary President?



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         1                  SENATOR KLEIN:    Yes, it has,

         2       Mr. President.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       The Secretary will read.

         5                  THE SECRETARY:    By Senator

         6       Perkins, legislative resolution commending

         7       Maysles Cinema upon the occasion of presenting

         8       the Second Annual "Homo-Harlem" Film Festival

         9       on June 21 through 26, 2010.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Are there any Senators wishing to be heard on

        12       the resolution?

        13                  The question is on the resolution.

        14       All those in favor please signify by saying

        15       aye.

        16                  (Response of "Aye.")

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Opposed, nay.

        19                  (Response of "Nay.")

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       The resolution is adopted.

        22                  Senator Klein.

        23                  SENATOR KLEIN:    Mr. President,

        24       can you please call on Senator Libous.  I

        25       think he has a floor motion.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Of course.  Senator Libous.

         3                  SENATOR LIBOUS:    Thank you.

         4                  Mr. President, on behalf of Senator

         5       Volker, I call up Calendar Number 344,

         6       Assembly Print 9070A.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       The Secretary will read.

         9                  THE SECRETARY:    Calendar Number

        10       344, by Member of the Assembly Hoyt, Assembly

        11       Print Number 9070A, an act to amend the Real

        12       Property Law.

        13                  SENATOR LIBOUS:    I now move to

        14       reconsider the vote by which this Assembly

        15       bill was substituted for Senator Volker's

        16       bill, Print Number 7170A, on May 10th in the

        17       year 2010.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       The Secretary will call the roll on

        20       reconsideration.

        21                  (The Secretary called the roll.)

        22                  THE SECRETARY:    Ayes, 53.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator Libous.

        25                  SENATOR LIBOUS:    Thank you,



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         1       Mr. President.  I now move that Assembly Bill

         2       Number 9070A be committed to the Committee on

         3       Rules and that Senator Volker's bill be

         4       restored to the order of Third Reading

         5       Calendar.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       So ordered.

         8                  SENATOR LIBOUS:    I offer up the

         9       following amendments, Mr. President.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Amendments received.

        12                  SENATOR LIBOUS:    Thank you, sir.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Thank you, Senator Libous.

        15                  Senator Klein.

        16                  SENATOR KLEIN:    Mr. President,

        17       may we please go to a reading of the calendar.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       The Secretary will read.

        20                  THE SECRETARY:    Calendar Number

        21       37, by Member of the Assembly Bing, Assembly

        22       Print Number 10038A, an act to amend the

        23       Insurance Law.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Read the last section.



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         1                  THE SECRETARY:    Section 2.  This

         2       act shall take effect on the 60th day.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Call the roll.

         5                  (The Secretary called the roll.)

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Announce the results.

         8                  THE SECRETARY:    Ayes, 53.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       The bill is passed.

        11                  THE SECRETARY:    Calendar Number

        12       208, by Senator Dilan, Senate Print --

        13                  SENATOR LIBOUS:    Lay it aside,

        14       please.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       The bill is laid aside.

        17                  THE SECRETARY:    Calendar Number

        18       702, by Member of the Assembly Benedetto,

        19       Assembly Print Number 11064, an act to amend

        20       Chapter 618 of the Laws of 1998, amending the

        21       General Municipal Law and the Education Law.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Read the last section.

        24                  THE SECRETARY:    Section 2.  This

        25       act shall take effect immediately.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Call the roll.

         3                  (The Secretary called the roll.)

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Announce the results.

         6                  THE SECRETARY:    Ayes, 53.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       The bill is passed.

         9                  THE SECRETARY:    Calendar Number

        10       704, by Member of the Assembly Maisel,

        11       Assembly Print Number 11067, an act to amend

        12       Chapter 552 of the Laws of 1995 amending the

        13       Education Law.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Read the last section.

        16                  THE SECRETARY:    Section 2.  This

        17       act shall take effect immediately.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Call the roll.

        20                  (The Secretary called the roll.)

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Announce the results.

        23                  THE SECRETARY:    Ayes, 53.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       The bill is passed.



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         1                  THE SECRETARY:    Calendar Number

         2       739, by Senator Foley, Senate Print 7703, an

         3       act to amend Chapter 397 --

         4                  SENATOR LIBOUS:    Lay the bill

         5       aside, please.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       The bill is laid aside.

         8                  THE SECRETARY:    Calendar Number

         9       785, by Senator Oppenheimer, Senate Print

        10       6466A, an act to authorize approval of certain

        11       transportation contracts.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Read the last section.

        14                  THE SECRETARY:    Section 3.  This

        15       act shall take effect immediately.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Call the roll.

        18                  (The Secretary called the roll.)

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Announce the results.

        21                  THE SECRETARY:    Ayes, 53.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       The bill is passed.

        24                  THE SECRETARY:    Calendar Number

        25       788, by Senator McDonald, Senate Print 6967A,



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         1       an act to authorize the Town of North

         2       Greenbush to offer an optional 20-year

         3       retirement plan.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       There is a home-rule message at the desk.

         6                  The Secretary will read the last

         7       section.

         8                  THE SECRETARY:    Section 2.  This

         9       act shall take effect immediately.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Call the roll.

        12                  (The Secretary called the roll.)

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Announce the results.

        15                  THE SECRETARY:    Ayes, 53.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       The bill is passed.

        18                  THE SECRETARY:    Calendar Number

        19       893, by the Assembly Committee on Rules,

        20       Assembly Print Number 11324, an act to amend

        21       Chapter 199 of the Laws of 2008 amending the

        22       Private Housing Finance Law.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Read the last section.

        25                  THE SECRETARY:    Section 2.  This



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         1       act shall take effect immediately.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Call the roll.

         4                  (The Secretary called the roll.)

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Announce the results.

         7                  THE SECRETARY:    Ayes, 53.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       The bill is passed.

        10                  THE SECRETARY:    Calendar Number

        11       905, by Member of the Assembly Wright,

        12       Assembly Print Number 9512, an act to amend

        13       the Education Law.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Read the last section.

        16                  THE SECRETARY:    Section 3.  This

        17       act shall take effect on the first of July.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Call the roll.

        20                  (The Secretary called the roll.)

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Announce the results.

        23                  THE SECRETARY:    Ayes, 53.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       The bill is passed.



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         1                  THE SECRETARY:    Calendar Number

         2       915, by Member of the Assembly Sweeney,

         3       Assembly Print Number 10512A, an act

         4       authorizing the assessor of the Town of

         5       Babylon.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Read the last section.

         8                  THE SECRETARY:    Section 2.  This

         9       act shall take effect immediately.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Call the roll.

        12                  (The Secretary called the roll.)

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Announce the results.

        15                  THE SECRETARY:    Ayes, 52.  Nays,

        16       1.  Senator Larkin recorded in the negative.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       The bill is passed.

        19                  THE SECRETARY:    Calendar Number

        20       929, by Senator --

        21                  SENATOR LIBOUS:    Lay it aside.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       The bill is laid aside.

        24                  THE SECRETARY:    Calendar Number

        25       963, by Senator Stewart-Cousins, Senate Print



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         1       4057B, an act to amend the Public Health Law

         2       and the --

         3                  SENATOR LIBOUS:    Lay it aside.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       The bill is laid aside.

         6                  THE SECRETARY:    Calendar Number

         7       987, by Senator C. Johnson, Senate Print 766,

         8       an act to amend the --

         9                  SENATOR LIBOUS:    Lay this bill

        10       aside also, please.

        11                  SENATOR KLEIN:    Lay the bill

        12       aside for the day, please.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       The bill is laid aside for the day.

        15                  THE SECRETARY:    Calendar Number

        16       1013, by Senator Klein, Senate Print 3194, an

        17       act to amend the Public --

        18                  SENATOR LIBOUS:    Lay it aside.

        19                  SENATOR KLEIN:    Lay the bill

        20       aside for the day, please.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       The bill is laid aside for the day.

        23                  THE SECRETARY:    Calendar Number

        24       1042, by Senator Breslin, Senate --

        25                  SENATOR LIBOUS:    Lay the bill



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         1       aside for the day, please.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       The bill is laid aside for the day.

         4                  THE SECRETARY:    Calendar Number

         5       1048, by Senator Foley, Senate Print 7427, an

         6       act to authorize --

         7                  SENATOR LIBOUS:    Lay it aside.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       The bill is laid aside.

        10                  THE SECRETARY:    Calendar Number

        11       1057, by Member of the Assembly --

        12                  SENATOR LIBOUS:    Lay this bill

        13       aside too, please.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       The bill is laid aside.

        16                  Senator Klein, that completes the

        17       reading of the noncontroversial calendar.

        18                  SENATOR KLEIN:    Mr. President, at

        19       this time can we please go to a reading of the

        20       controversial calendar.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       The Secretary will ring the bell.  Members are

        23       all asked to come to the chamber for a reading

        24       of the controversial calendar.

        25                  And I remind all members to please



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         1       stay within the chamber as we read the

         2       controversial calendar and then vote.  It

         3       makes things a lot easier for all of us.

         4                  Senator Klein.

         5                  SENATOR KLEIN:    Mr. President, on

         6       Calendar Number 1048, Senate Print Number

         7       7427, Senator Foley's bill, can we please lay

         8       the bill aside for the day.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Calendar Number 1048 is laid aside for the

        11       day.

        12                  The Secretary will read.

        13                  THE SECRETARY:    Calendar Number

        14       208, by Senator Dilan, Senate Print 1434A, an

        15       act to amend the Election Law.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Are there any Senators wishing to be heard on

        18       the bill?

        19                  SENATOR LIBOUS:    Explanation,

        20       please.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Dilan, an explanation of your bill has

        23       been requested by Senator Libous.

        24                  SENATOR DILAN:    Yes, this bill

        25       would prevent election commissioners and



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         1       deputy commissioners from holding a publicly

         2       elected office.  And this bill would also --

         3                  SENATOR LIBOUS:    Excuse me.

         4       Excuse me, Senator.  I am having trouble

         5       hearing.

         6                  There's a lot of side conversations

         7       going on, Mr. President.  I know it's very

         8       important; I would like to hear Senator

         9       Dilan's explanation.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Of course.  I remind both sides, since the

        12       side conversations are coming from both sides,

        13       to please keep it down.  If you have

        14       conversations, please exit the chamber to have

        15       those conversations.  If you're members of the

        16       Senate, stay close.

        17                  Senator Dilan, if you wouldn't mind

        18       to repeat your explanation for Senator Libous.

        19                  SENATOR DILAN:    This bill will

        20       prohibit election commissioners and deputy

        21       commissioners from holding publicly elected

        22       offices.  It will also prevent county leaders

        23       from the two respective parties from also

        24       serving as commissioners or deputy

        25       commissioners.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Are there any other Senators who wish to be

         3       heard?

         4                  Senator Libous.

         5                  SENATOR LIBOUS:    Yeah, would

         6       Senator Dilan yield for a few questions.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Dilan, will you yield for a question?

         9                  SENATOR DILAN:    Sure.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Libous, he will yield.

        12                  SENATOR LIBOUS:    Thank you,

        13       Mr. President.

        14                  Senator Dilan, why -- I mean, I

        15       know you explained what the bill does, but

        16       what's the purpose of the bill?  Why, is there

        17       a problem throughout the state with those

        18       folks who are commissioners and --

        19                  SENATOR DILAN:    Well, it's just

        20       closing --

        21                  SENATOR LIBOUS:    I'm not done

        22       yet.

        23                  SENATOR DILAN:    Oh, I'm sorry.

        24       I'm sorry.

        25                  SENATOR LIBOUS:    Thank you.  Is



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         1       there a problem presently with some of our

         2       election commissioners and/or deputy election

         3       commissioners that are either holding elected

         4       office or -- I'm not aware of any issues here.

         5                  SENATOR DILAN:    No, there are no

         6       issues.  Through you, Mr. President.

         7                  However, there is a perception or

         8       closing a loophole that individuals who are

         9       either county chair of the two major parties

        10       serving as a commissioner or deputy

        11       commissioner could be perceived as a conflict

        12       of interest and they may have a direct

        13       involvement in some of the elections that they

        14       would be making decisions on.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Senator Libous.

        17                  SENATOR LIBOUS:    Mr. President, I

        18       guess my question to Senator Dilan would be --

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       You wish him to yield again?

        21                  SENATOR LIBOUS:    Oh, yeah, I'm

        22       sorry, Mr. President.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator Dilan, do you continue to yield?

        25                  SENATOR LIBOUS:    Senator Dilan,



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         1       would you continue to yield?

         2                  SENATOR DILAN:    Yes.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Dilan will yield.

         5                  SENATOR LIBOUS:    Thank you,

         6       Mr. President.  It's Monday.

         7                  Is there a problem right now with

         8       individuals holding those positions and being

         9       party leaders or being -- I guess holding

        10       elective office?

        11                  SENATOR DILAN:    I answered that

        12       question already.  I said no, that there is no

        13       problem, it's just basically a loophole

        14       closure in preventing people who may have a

        15       conflict of interest from deciding, making

        16       these decisions as commissioner on a Board of

        17       Elections where they may have a direct

        18       connection to a particular election.  And this

        19       is just preventing that in future cases.

        20                  SENATOR LIBOUS:    Mr. President,

        21       would Senator Dilan continue to yield.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Dilan, do you continue to yield?

        24                  SENATOR DILAN:    Yes.

        25                  SENATOR LIBOUS:    Senator Dilan,



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         1       don't we usually -- you said there was no

         2       problem.  Usually when we close loopholes,

         3       it's because there's a problem.  So I guess

         4       I'm a little confused about the purpose of the

         5       bill.

         6                  SENATOR DILAN:    Well, Senator

         7       Libous, I've had this bill in the Legislature

         8       for a few years now.  And also there are

         9       colleagues from your conference who are also

        10       supporting this piece of legislation.

        11                  And I perceive that someone who

        12       holds a publicly elected office or someone who

        13       is a county leader in any particular county in

        14       both the Republican and the Democratic Party

        15       should not be in a position deciding the

        16       outcome of, let's say, a close election or a

        17       petition battle, and they should not be in

        18       that position.

        19                  SENATOR LIBOUS:    Will Senator

        20       Dilan continue to yield.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Dilan, do you continue to yield?

        23                  SENATOR DILAN:    Yes, sir.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       He does.



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         1                  SENATOR LIBOUS:    Senator Dilan, I

         2       would respectfully disagree.  As I read your

         3       bill, it goes beyond county leaders.  It says

         4       "or who is the chair of the representative

         5       Democratic or Republican committee in such

         6       county," and then it goes on to talk about

         7       others than county leaders.

         8                  SENATOR DILAN:    I mentioned

         9       earlier, Mr. President, that this also

        10       involves publicly elected officials, that

        11       these individuals should not be in a publicly

        12       elected position and also serve in what is

        13       perhaps tantamount to a party position that

        14       would directly impact the results of an

        15       election.

        16                  SENATOR LIBOUS:    Would he

        17       continue to yield.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Dilan --

        20                  SENATOR DILAN:    Yes, sir.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Dilan will continue to yield.

        23                  SENATOR LIBOUS:    I'm going to use

        24       my own county, Senator Dilan.  I'm going to

        25       ask you a question here, but I'm going to use



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         1       my own county.  I happen to have a county

         2       Republican leader who is -- she actually is

         3       the town supervisor in a local town, has

         4       gotten elected unanimously many times

         5       unopposed.  The county legislature, which is

         6       Democratic, has appointed her a deputy

         7       commissioner of the election office.

         8                  So on one hand she gets elected by

         9       the people of her town, very well respected, a

        10       Republican, and then she gets appointed deputy

        11       commissioner by a heavily Democratic county

        12       legislature.  Under your bill, would she have

        13       to resign?

        14                  SENATOR DILAN:    If she's an

        15       elected representative, yes, she would have to

        16       resign.

        17                  I think that the way the law

        18       currently is, if you are a commissioner of the

        19       Board of Elections, you cannot hold a publicly

        20       elected position at this time other than

        21       perhaps judge or commissioner of deeds.  But

        22       this is really closing the loophole for also

        23       the deputy commissioners.

        24                  SENATOR LIBOUS:    Through you,

        25       Mr. President, so she would have to --



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Senator Dilan, do you wish to continue to

         3       yield?

         4                  SENATOR LIBOUS:    I'm sorry,

         5       Senator Dilan --

         6                  SENATOR DILAN:    Yes.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Dilan will yield.

         9                  SENATOR LIBOUS:    Senator Dilan,

        10       so she would have to resign her position as

        11       town supervisor or as deputy election

        12       commissioner?

        13                  SENATOR DILAN:    She would have to

        14       resign one or the other position.

        15                  SENATOR LIBOUS:    What was that,

        16       sir?

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       She would have to resign one or the other

        19       position.

        20                  SENATOR LIBOUS:    And if I could

        21       continue to ask --

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Dilan, do you continue to yield?

        24                  SENATOR DILAN:    Yes.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       He does.

         2                  SENATOR LIBOUS:    Senator, this is

         3       obviously a problem in the metropolitan area.

         4       I mean, in upstate New York we sometimes have

         5       problems finding individuals that are

         6       qualified to take these positions.  I guess

         7       why wouldn't you just have your bill focus on

         8       maybe the City of New York, if it seems to be

         9       an issue there, and leave the rest of the

        10       state alone?

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Dilan.

        13                  SENATOR DILAN:    I'm not aware

        14       of -- if there is any conflict in New York

        15       City, I'm not aware.  But I am aware of

        16       several outside of New York City.  You have

        17       Westchester County, where that will affect a

        18       Democrat.  I think in Dutchess County we have

        19       the same situation.  If there is any case

        20       within New York City, I'm not particularly

        21       aware of it.  But basically I presented this

        22       bill to impact both parties across the whole

        23       state.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator Padavan, why do you rise?



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         1                  SENATOR PADAVAN:    Would Senator

         2       Dilan yield to a question?

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       I believe Senator Libous --

         5                  SENATOR LIBOUS:    I would yield

         6       the floor to Senator Padavan.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Dilan has the floor.

         9                  SENATOR LIBOUS:    Oh, Senator

        10       Dilan has the floor.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       I was going to say Senator Dilan has the

        13       floor.

        14                  SENATOR LIBOUS:    I would be happy

        15       to sit if Senator Dilan would entertain

        16       Senator Padavan.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Dilan, do you yield to questions from

        19       Senator Padavan?

        20                  SENATOR DILAN:    I'll answer a

        21       question, yes.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       He indicated, Senator Libous, he would.

        24                  Senator Padavan.

        25                  SENATOR PADAVAN:    Thank you,



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         1       Senator.

         2                  You just said a moment ago that

         3       there are no problems in the City of New York.

         4                  SENATOR DILAN:    I said I'm not

         5       aware if there are any problems.

         6                  SENATOR PADAVAN:    Let me ask you

         7       a question about one that might be a problem.

         8                  Currently the Democratic county

         9       leader of Queens County, who recommends or

        10       appoints members of the Board of Elections, is

        11       a Congressman.  Do you think that's a problem?

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Dilan.

        14                  SENATOR DILAN:    He's not a member

        15       of the Board of Elections.  He's not a

        16       commissioner or a deputy commissioner.  That's

        17       who this is affecting.

        18                  If that may be a problem, I think

        19       we could look at future legislation to address

        20       that.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Padavan.

        23                  SENATOR PADAVAN:    Will he yield?

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator Dilan, will you continue to yield?



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         1                  SENATOR DILAN:    Yes.

         2                  SENATOR PADAVAN:    Senator, I know

         3       this bill doesn't cover that situation.  But

         4       my question to you is don't you think that's

         5       even a bigger problem in terms of appointing

         6       the majority members on the Board of Elections

         7       and being an elected official himself?

         8                  And I don't know where else that

         9       problem might exist.  It might be beyond our

        10       county.  But I certainly know it exists there.

        11       So if you're going to address an issue of

        12       conflict, that's as big as a barn door.

        13                  SENATOR DILAN:    Well, there are

        14       many issues like this that I think we need to

        15       look at and work together to resolve these

        16       types of conflicts.  I see it as a conflict.

        17       I think that if you're a member of a publicly

        18       elected office, I think we need to look at all

        19       these and address it.

        20                  However, my bill does not address

        21       that particular issue.  It addresses elected

        22       officials within New York State and deputy

        23       commissioners and commissioners of the Board

        24       of Elections.  And as I indicated, if we want

        25       to look at that in the future, we can.



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         1                  SENATOR PADAVAN:    On the bill.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Actually, Senator Padavan, Senator Dilan has

         4       the floor right now.

         5                  SENATOR PADAVAN:    I'm sorry, I

         6       thought he'd given it up.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       He yielded for a question.

         9                  Senator Dilan, you continue to have

        10       the floor.

        11                  SENATOR DILAN:    Well, as I

        12       indicated, this bill was originally brought

        13       before this house several months ago.  At that

        14       time several members had requested would I

        15       consider amending the bill.  At that time I

        16       did accommodate that, and that's why this bill

        17       is back on the floor today.

        18                  I'm asking all my colleagues on

        19       both sides of the aisles to support this bill.

        20       I will be voting yes on it.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Actually, Senator Maziarz requested the floor.

        23                  Senator Maziarz.

        24                  SENATOR MAZIARZ:    Thank you very

        25       much, Mr. President.  On the bill.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       On the bill, Senator Maziarz.

         3                  SENATOR MAZIARZ:    First of all, I

         4       want to thank Senator Dilan.  He's absolutely

         5       correct, this is a great piece of legislation.

         6       This may be the only ethics reform that we do

         7       this year in the State Legislature.

         8       Hopefully, this bill will pass in the Assembly

         9       and will be signed into law by the Governor.

        10                  Senator Dilan pointed out that

        11       several members on this side of the aisle made

        12       suggestions for improving this bill.  I think

        13       Senator Padavan makes a very good point.  And,

        14       you know, it's not exactly covered in this

        15       bill, but I think that clearly more could be

        16       done.  But this is an excellent first step.

        17                  You know, when you have a county

        18       political leader whose job it is, in being a

        19       county political leader, to go out and to

        20       recruit candidates to run for office, to

        21       assist candidates in running for office --

        22       now, part of that assistance is gathering

        23       petitions, finding volunteers that gather

        24       petitions, maybe assisting a candidate in

        25       filing and filling out their financial



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         1       disclosure forms, their election treasury and

         2       so forth -- and then that county leader

         3       happens to be the country on the county Board

         4       of Elections who's going to be deciding the

         5       validity, maybe, of those petitions or of that

         6       particular financial filing statement, it's a

         7       clear conflict of interest.  A clear conflict

         8       of interest.

         9                  Now, there may be others, as

        10       Senator Padavan pointed out, and maybe we can

        11       do another bill to take those up.  But right

        12       now I think this is a great piece of ethics

        13       reform legislation.

        14                  I am very proud of the fact that

        15       the County of Niagara, which I represent,

        16       as -- I don't know if we can get any more

        17       upstate than the County of Niagara, Senator

        18       Libous.  But the County of Niagara actually

        19       did this in their county ethics law,

        20       prohibited political leaders from being the

        21       commissioners or deputy commissioners of the

        22       Board of Elections 10 years ago.  So we're

        23       behind the times here in the State of

        24       New York.

        25                  It's a great bill, and I'm going to



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         1       vote for it.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Thank you, Senator Maziarz.

         4                  Senator Padavan.

         5                  SENATOR PADAVAN:    Mr. President,

         6       on the bill.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       On the bill, Senator Padavan.

         9                  SENATOR PADAVAN:    I'm going to

        10       vote for the bill.  But, you know, there is a

        11       certain amount of -- I don't want to use

        12       "hypocrisy," but that may be applicable.

        13                  You, in answer to a question from

        14       Senator Libous, said you don't know of any

        15       problems that this particular bill addresses

        16       that exist today.  I think that was your

        17       answer, you didn't know any.  But I know of at

        18       least two major problems where elected

        19       officials are county leaders -- your party --

        20       who select members to the Board of Elections,

        21       where they exercise a great deal of power in

        22       that selection.

        23                  Believe me, those members of the

        24       board in any contentious situation, involving

        25       petitions or whatever, are not going to vote



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         1       against the guy who put them there.  And to

         2       me, that is a major conflict.  So really, if

         3       you want to deal with the problems that do

         4       exist, that's the direction we should be going

         5       in.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Senator Little, on the bill.

         8                  SENATOR LITTLE:    Thank you.  On

         9       the bill.

        10                  I would just question the slope

        11       that we're getting on going into this bill.  I

        12       actually represent six counties.  Each county

        13       has two election commissioners, one of each

        14       party.  And one of mine is the county chair;

        15       the Democrat county chair in Warren County is

        16       also one of the election commissioners.

        17                  And if this has to happen

        18       immediately, then I would think that there

        19       needed to be some way of allowing a time span

        20       here where he could keep that job while, with

        21       elections coming, he would be able to continue

        22       to go forward with elections.

        23                  So I'm looking at a negative vote

        24       on this bill.  Thank you.

        25                  ACTING PRESIDENT VALESKY:    Thank



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         1       you, Senator Little.

         2                  Senator Leibell.

         3                  SENATOR LEIBELL:    Thank you,

         4       Mr. President.  Thank you, Mr. President.

         5                  And, Senator Dilan, thank you very

         6       much for putting forth this piece of

         7       legislation, which I am in support of.  In

         8       fact, I'm now on the bill.

         9                  For all too long, we have watched

        10       our publicly funded Boards of Elections act

        11       like they are political fiefdoms.  They are

        12       not and should not be political fiefdoms.

        13       They should be in a position to make objective

        14       decisions when issues are brought before them.

        15                  How often have we in this business

        16       heard somebody said say "Well, I'm the

        17       Republican Commissioner of Elections" or "I'm

        18       the Democrat Commissioner of Elections,

        19       therefore."  That's wrong.  The people in

        20       those positions should be removed from, as

        21       much as possible, that political process.

        22       They are a Board of Elections, they are called

        23       upon frequently in any election cycle to make

        24       decisions, and they need to be objective in

        25       making those decisions.



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         1                  If a Republican needs to side with

         2       a Democrat, so be it.  And if a Democrat needs

         3       to side with a Republican, so it be.  This is

         4       a good piece of legislation.  It's a first

         5       step.  I think it clears the air in our

         6       election commissioners positions throughout

         7       the State of New York, and I'm pleased to

         8       support it.

         9                  ACTING PRESIDENT VALESKY:    Thank

        10       you, Senator Leibell.

        11                  Senator Saland.

        12                  SENATOR SALAND:    Thank you,

        13       Mr. President.

        14                  I had intended to ask Senator Dilan

        15       to yield, but perhaps I could just mention it

        16       on the bill.  I certainly applaud what you're

        17       attempting to do here.  My concern, Senator,

        18       is your effective immediate date.

        19                  Now, right now, as you know,

        20       there's a petition process going on.  And then

        21       there's a primary period.  If your bill were

        22       to pass both houses and be signed into law,

        23       effective immediately, you would, I think, be

        24       perhaps causing a bit of a disservice to the

        25       general operation of those Boards of Elections



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         1       that might have deputy commissioners who are

         2       affected, removing somebody who might be

         3       experienced during the time of year when their

         4       services are most demanded.

         5                  So I would hope that -- and I'm not

         6       speaking in opposition to your bill.  I would

         7       hope that you might consider amending your

         8       effective date so as to make it effective

         9       sometime perhaps starting the first of next

        10       year or thereafter, so as not to strip

        11       experienced persons currently serving on

        12       Boards of Elections from the ability to pursue

        13       their duties -- again, being very mindful of

        14       what it is that you're trying to accomplish

        15       here.

        16                  Thank you.

        17                  ACTING PRESIDENT VALESKY:    Thank

        18       you, Senator Saland.

        19                  Senator Farley, on the bill.

        20                  SENATOR FARLEY:    Thank you.  I

        21       rise in support of this.  It is a first step,

        22       as Senator Leibell said, towards trying to

        23       take some of the partisanship out of the Board

        24       of Elections.  I always feel I don't care

        25       which party it is, you'd like to see those



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         1       people do their job fairly and to try to keep

         2       politics as much as possible out of that.

         3                  I don't think that you'll ever see

         4       that happen, but certainly when you're talking

         5       about a county chairman being on the Board of

         6       Elections, I think it's a little bit much.

         7       And I would agree with some of my colleagues

         8       that that is a good first step to try to take

         9       some of the politics out of the Board of

        10       Elections.  And I do rise in support of this

        11       bill.

        12                  ACTING PRESIDENT VALESKY:    Thank

        13       you, Senator Farley.

        14                  Are there any other Senators who

        15       wish to be heard?

        16                  Hearing none, the debate is closed.

        17       The Secretary will ring the bells.

        18                  Senators are asked to proceed to

        19       the chamber for purposes of a roll call.

        20                  Read the last section.

        21                  THE SECRETARY:    Section 3.  This

        22       act shall take effect immediately.

        23                  ACTING PRESIDENT VALESKY:    Call

        24       the roll.

        25                  (The Secretary called the roll.)



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         1                  ACTING PRESIDENT VALESKY:

         2       Senator Montgomery, to explain her vote.

         3                  SENATOR MONTGOMERY:    Yes,

         4       Mr. President, thank you.

         5                  I'm certainly going to be

         6       supporting this legislation.  I understand --

         7       Senator Dilan and I come from Brooklyn, and we

         8       understand the need for this perhaps even more

         9       than some others of our colleagues, that we

        10       should have a clear separation of publicly

        11       elected officials from serving as

        12       commissioners of the election process, so that

        13       it's purely, clearly nonpartisan and that the

        14       role of the election commissioners and the

        15       deputy commissioners of the Board of Elections

        16       should not be publicly elected officials at

        17       the same time.  So I am supporting this.

        18                  And, Mr. President, I have a group

        19       of young people here today, and they're

        20       watching what we do.  And so it makes it even

        21       more important that when we are taking our

        22       vote today that we're voting to clean up our

        23       election process so that our constituents

        24       maintain a level of trust and respect for the

        25       process.



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         1                  So to those young people from

         2       P.S. 56 who are visiting today, I want to make

         3       sure that they are seeing this process and how

         4       it works.

         5                  And yes, Mr. President, I vote aye

         6       on Senator Dilan's bill.

         7                  ACTING PRESIDENT VALESKY:

         8       Senator Montgomery to be recorded in the

         9       affirmative.

        10                  Senator Dilan, to explain his vote.

        11                  SENATOR DILAN:    Yes.  Again, I'd

        12       like to first thank all my colleagues who are

        13       supporting this piece of legislation.

        14                  And just to add some clarity in

        15       terms of when this bill becomes effective,

        16       I've heard some members say that it becomes

        17       effective immediately upon the signature of

        18       the Governor.  That is correct.  But the six

        19       Republicans and the eight Democrats that this

        20       will affect across the State of New York will

        21       have a choice either of remaining as county

        22       leader or remaining as a commissioner of the

        23       Board of Elections.

        24                  And we have to also note that the

        25       position of commissioner, the Board of



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         1       Elections throughout this state pays these

         2       individuals between $80,000 and $110,000.  So

         3       that choice they will have to make.

         4                  Thank you very much.

         5                  ACTING PRESIDENT VALESKY:

         6       Senator Dilan will be recorded in the

         7       affirmative.

         8                  Senator Libous, to explain his

         9       vote.

        10                  SENATOR LIBOUS:    Thank you,

        11       Mr. President.

        12                  I guess for exactly that reason

        13       that Senator Dilan stated, I'm going to vote

        14       no on this bill.  Certainly I'm all for

        15       fighting corruption, but in my debate with

        16       Senator Dilan he said that there were no

        17       issues that he was aware of.  Certainly he

        18       knows how many members this is going to affect

        19       on both sides of the aisle.

        20                  But, Senator, I think it's wrong to

        21       have it go into effect immediately.  I think

        22       that at least it would be fair to get through

        23       this election cycle, maybe go into effect on

        24       January 1.  And I say that this because it's

        25       the only reason why I'm voting no.  As I said



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         1       to you before, quite frankly in committee one

         2       year I voted without recommendation, this year

         3       I voted yes.  But this particular issue is a

         4       concern to me.

         5                  I think in the middle of a

         6       gubernatorial election year, to make as many

         7       as six on one side, eight on the other, to

         8       make a decision and resign I think is just not

         9       right.  I think if you wanted to make this

        10       bill go into effect on January 1 of 2011, I

        11       think it would make more sense.

        12                  So for that reason, Mr. President,

        13       I'm going to vote no.

        14                  ACTING PRESIDENT VALESKY:

        15       Senator Libous to be recorded in the negative.

        16                  Senator Oppenheimer, to explain her

        17       vote.

        18                  SENATOR OPPENHEIMER:    Thank you.

        19                  Well, I find myself in complete

        20       accord with the prior speaker.  I love the

        21       bill; I think it's a great bill.  As most of

        22       you know, my background was president of the

        23       League of Women Voters, and that's how I got

        24       into government.  And it's a good-government

        25       bill, and under normal circumstances I would



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         1       be voting yes.

         2                  But I feel that the date that it's

         3       supposed to become effective simply does not

         4       work at this time.  And I would encourage a

         5       date that would be either the beginning of

         6       next year or the beginning of the following

         7       year.

         8                  Otherwise, I think it's a great

         9       bill, but I don't like the date that it

        10       starts, so I'll be voting no.

        11                  ACTING PRESIDENT VALESKY:

        12       Senator Oppenheimer to be recorded in the

        13       negative.

        14                  Senator Stavisky, to explain her

        15       vote.

        16                  SENATOR STAVISKY:    Thank you,

        17       Mr. President.

        18                  We did, I think, have a situation

        19       in Queens County which, while not covered

        20       under the provisions of this legislation,

        21       nevertheless I find extremely troubling.  We

        22       had a situation where a Queens member of the

        23       Board of Elections was sitting in on a recount

        24       of a particular political campaign.  The

        25       problem is that that employee was also an



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         1       employee of the Senate, the Senate minority.

         2       And while the individual I happen to like and

         3       respect, nevertheless I think there's an

         4       innate conflict in that kind of situation.

         5                  Obviously it's not covered under

         6       the provisions of this legislation, but I

         7       certainly support the reform efforts and I

         8       vote aye.

         9                  ACTING PRESIDENT VALESKY:

        10       Senator Stavisky to be recorded in the

        11       affirmative.

        12                  Senator DeFrancisco, to explain his

        13       vote.

        14                  SENATOR DeFRANCISCO:    Yes, I vote

        15       aye on this bill.  I think it's a

        16       good-government bill.  It avoids conflicts of

        17       interest that are extremely important in the

        18       election process.  And for those who say that

        19       we don't vote in a bipartisan manner from time

        20       to time, I think this is an example of this

        21       body doing exactly that.

        22                  The last good-government bill that

        23       we passed in such a bipartisan fashion was a

        24       budget bill back in 2007, and we don't -- we

        25       followed it in 2008.  The leadership over the



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         1       last two years, including this year, found

         2       that maybe it's not necessary, maybe it's just

         3       a suggestion rather than a law.  So now we're

         4       here going to our 12th budget extender

         5       momentarily.

         6                  So to those who are concerned about

         7       the start date of this bill and how it's going

         8       to affect Boards of Elections this coming

         9       election, maybe they could take the same tack

        10       that the legislative leaders have taken:  Just

        11       ignore the law.  And then they won't have to

        12       worry, make their determination as to who to

        13       resign or not maybe next year or the year

        14       after or whenever it possibly fits their

        15       purpose to do so.

        16                  So I vote aye on this bill, I just

        17       hope it actually is followed, unlike many of

        18       our other reform bills.  Thank you.

        19                  ACTING PRESIDENT VALESKY:

        20       Senator DeFrancisco to be recorded in the

        21       affirmative.

        22                  Senator Maziarz, to explain his

        23       vote.

        24                  SENATOR MAZIARZ:    Thank you very

        25       much, Mr. President, to explain my vote.



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         1                  I am going to be voting in the

         2       affirmative.  I don't know, quite frankly,

         3       what the big concern is about the effective

         4       date.  I think Senator Dilan hit it right on.

         5                  Hopefully when the bill becomes

         6       law, the individuals, the eight Democrats and

         7       six Republicans, are going to have to make a

         8       choice.  They're either going to want to

         9       continue to be county leaders or elected

        10       officials, or they're going to want to be

        11       commissioners of the Board of Elections.  No

        12       one says that the world has to stop, that the

        13       elections are somehow going to be interrupted

        14       because of that.  Well, I would hope that they

        15       do the right thing then and stay on on the

        16       Board of Elections and give up their other

        17       jobs.

        18                  I vote in the affirmative,

        19       Mr. President.  Thank you.

        20                  ACTING PRESIDENT VALESKY:

        21       Senator Maziarz to be recorded in the

        22       affirmative.

        23                  Announce the results.

        24                  THE SECRETARY:    Those recorded in

        25       the negative on Calendar Number 208 are



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         1       Senators Hassell-Thompson, O. Johnson, Larkin,

         2       Libous, Little, Oppenheimer, Ranzenhofer,

         3       Seward, Skelos, Stewart-Cousins, Volker and

         4       Winner.

         5                  Absent from voting:  Senators

         6       Golden, Lanza and Peralta.  Ayes, 45 --

         7                  ACTING PRESIDENT VALESKY:    Hold

         8       on.  Senator Peralta, how do you vote?

         9                  SENATOR PERALTA:    Aye.

        10                  ACTING PRESIDENT VALESKY:

        11       Senator Peralta to be recorded in the

        12       affirmative.

        13                  The Secretary will announce the

        14       results.

        15                  THE SECRETARY:    In relation to

        16       Calendar Number 208:  Ayes, 46.  Nays, 12.

        17                  Absent from voting:  Senators

        18       Golden and Lanza.

        19                  ACTING PRESIDENT VALESKY:    The

        20       bill is passed.

        21                  Senator Bonacic.

        22                  SENATOR BONACIC:    Thank you,

        23       Mr. President.

        24                  I would ask unanimous consent to

        25       vote on a bill which I was not present in the



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         1       chambers.  It was Senate Bill 7386A.  It was a

         2       Senator Fuschillo bill.  I'd like to be

         3       recorded in the negative.

         4                  ACTING PRESIDENT VALESKY:

         5       Senator Bonacic, unanimous consent has been

         6       granted.  You will be recorded in the negative

         7       on Calendar Number 915.

         8                  SENATOR BONACIC:    Thank you,

         9       Mr. President.

        10                  ACTING PRESIDENT VALESKY:    The

        11       Secretary will read.

        12                  THE SECRETARY:    Calendar Number

        13       739, by Senator Foley, Senate Print 7703, an

        14       act to amend Chapter 397 of the Laws of 1996,

        15       relating to authorizing.

        16                  ACTING PRESIDENT VALESKY:    Are

        17       there any Senators wishing to be heard?

        18                  SENATOR LIBOUS:    Mr. President,

        19       would you please withdraw the lay-aside on

        20       this bill?

        21                  ACTING PRESIDENT VALESKY:    The

        22       lay-aside has been withdrawn on Calendar

        23       Number 739.

        24                  The Secretary will place the bill

        25       before the house on the noncontroversial



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         1       calendar and read the last section.

         2                  There is a home-rule message at the

         3       desk.

         4                  THE SECRETARY:    Section 2.  This

         5       act shall take effect immediately.

         6                  ACTING PRESIDENT VALESKY:    Call

         7       the roll.

         8                  (The Secretary called the roll.)

         9                  THE SECRETARY:    Ayes, 58.

        10                  ACTING PRESIDENT VALESKY:    The

        11       bill is passed.

        12                  Returning to the controversial

        13       calendar, the Secretary will continue to read.

        14                  THE SECRETARY:    Calendar Number

        15       929, by Senator Stewart-Cousins, Senate Print

        16       7962B, an act to amend the General Municipal

        17       Law.

        18                  SENATOR SERRANO:    Lay the bill

        19       aside for the day, please.

        20                  ACTING PRESIDENT VALESKY:    The

        21       bill is laid aside for the day.

        22                  THE SECRETARY:    Calendar Number

        23       963, by Senator Stewart-Cousins, Senate Print

        24       4057B, an act to amend the Public Health Law

        25       and the Social Services Law.



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         1                  SENATOR FUSCHILLO:    Explanation.

         2                  SENATOR SALAND:    Explanation,

         3       please.

         4                  ACTING PRESIDENT VALESKY:

         5       Senator Stewart-Cousins, an explanation has

         6       been requested.

         7                  SENATOR STEWART-COUSINS:    Yes,

         8       thank you, Mr. President.

         9                  This bill is an attempt to capture

        10       the almost 270,000 children in New York State

        11       who are eligible, because of lack of income,

        12       for Child Health Plus.

        13                  Many of these children actually go

        14       to our schools, and many of these children

        15       receive free or reduced lunch.  And so what

        16       we're trying to do is enhance the coordination

        17       so that there is an awareness of the

        18       eligibility for our insurance program, so that

        19       instead of having 270,000 uninsured children

        20       who somehow slip through the cracks, they are

        21       enrolled and are able to receive benefits.

        22       Again, it's about keeping kids insured who

        23       should be insured.

        24                  I will point out to my colleagues

        25       that the eligibility process remains the same.



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         1       It's one thing to be able to enroll; it is

         2       another thing to be able to be found eligible.

         3       And the eligibility criteria is not changed at

         4       all.  This just, again, hopes to capture the

         5       over 200,000 children who are eligible in

         6       New York State but, you know, don't know it.

         7                  SENATOR SALAND:    Mr. President,

         8       would Senator Stewart-Cousins --

         9                  SENATOR STEWART-COUSINS:    Yes.

        10       Through you, Mr. President.

        11                  SENATOR SALAND:    Mr. President,

        12       excuse me for one moment.  Apparently there's

        13       an amendment that's going to be offered.

        14                  ACTING PRESIDENT VALESKY:

        15       Certainly.

        16                  Senator Libous.

        17                  SENATOR LIBOUS:    Thank you,

        18       Senator Saland.

        19                  Mr. President, I believe there's an

        20       amendment by Senator Hannon at the desk.  I

        21       would ask that you waive its reading and

        22       please call on Senator Hannon to explain the

        23       amendment.

        24                  ACTING PRESIDENT VALESKY:    There

        25       is an amendment at the desk.  The reading of



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         1       the amendment is waived and, Senator Hannon,

         2       you are recognized to speak on the amendment.

         3                  SENATOR HANNON:    Thank you,

         4       Mr. President.

         5                  In keeping with the stated

         6       intentions of the sponsor that the eligibility

         7       is not changed but the notice of it is

         8       expanded, I am offering an amendment that says

         9       nothing herein shall be construed to expand

        10       the current eligibility guidelines of the

        11       medical assistance program.

        12                  I believe that we just need to be

        13       clear.  There is language that was added to

        14       this bill after it was reported from

        15       committee.  That's perfectly fine, but I

        16       believe that language gives rise to the reason

        17       I would like my amendment adopted.  For that

        18       reason, I urge its adoption.

        19                  ACTING PRESIDENT VALESKY:    Thank

        20       you, Senator Hannon.

        21                  All those supporting the nonsponsor

        22       amendment to Calendar Number 963 should raise

        23       their hands.

        24                  Results.

        25                  THE SECRETARY:    Ayes, 26.  Nays,



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         1       32.

         2                  ACTING PRESIDENT VALESKY:    The

         3       amendment is not agreed to.

         4                  Returning to the bill.  Senator

         5       Saland.

         6                  SENATOR SALAND:    Thank you,

         7       Mr. President.  Would Senator Stewart-Cousins

         8       yield, please.

         9                  ACTING PRESIDENT VALESKY:

        10       Senator Stewart-Cousins, do you yield?

        11                  SENATOR STEWART-COUSINS:

        12       Absolutely.

        13                  ACTING PRESIDENT VALESKY:    The

        14       sponsor yields.

        15                  SENATOR HANNON:    Senator

        16       Stewart-Cousins, perhaps in light of the

        17       amendment that Senator Hannon offered -- I did

        18       not realize he was offering the amendment --

        19       you might be able to explain the difference

        20       between the A print and the B print.

        21                  The A print I saw as a member of

        22       the Education Committee, I supported it, and

        23       it pretty much sounded like the bill you

        24       described.  The B print, however, is not

        25       quite, I don't believe, like the bill you



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         1       described.

         2                  SENATOR STEWART-COUSINS:    Thank

         3       you, Senator Saland.

         4                  It is the same bill, but what's

         5       happened is that it's structurally changed so

         6       that it is in a more sequential way as opposed

         7       to the way it was before.  So it's the same

         8       bill, it's just in a different -- in a more

         9       technically correct structure.

        10                  SENATOR SALAND:    If the Senator

        11       will continue to yield.

        12                  ACTING PRESIDENT VALESKY:

        13       Senator Stewart-Cousins, do you continue to

        14       yield?

        15                  SENATOR STEWART-COUSINS:

        16       Absolutely.

        17                  ACTING PRESIDENT VALESKY:    The

        18       sponsor yields.

        19                  SENATOR SALAND:    In your A

        20       print -- and perhaps in your B print as well,

        21       I'm not sure -- you said, on the fiscal,

        22       "Amount to be determined."  Does that remain

        23       the fiscal implication to the state, the

        24       amount is to be determined?

        25                  SENATOR STEWART-COUSINS:    Yes,



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         1       Senator.

         2                  SENATOR SALAND:    If the Senator

         3       will continue to yield.

         4                  ACTING PRESIDENT VALESKY:

         5       Senator Stewart-Cousins, do you continue to

         6       yield?

         7                  SENATOR STEWART-COUSINS:    Yes.

         8                  ACTING PRESIDENT VALESKY:    The

         9       sponsor continues.

        10                  SENATOR SALAND:    And what are the

        11       elements that will go into the determination

        12       of what that amount will be?  And to the

        13       extent -- if I may, and to the extent that you

        14       can, can you explain the difference in the

        15       impact on Medicaid payments between your A

        16       version and your B version?

        17                  SENATOR STEWART-COUSINS:    Let me

        18       just answer the first question first.

        19                  As I began, there are approximately

        20       270,000 children who are eligible for

        21       insurance but who for one reason or another

        22       are not being insured.  So -- so --

        23                  ACTING PRESIDENT VALESKY:    Excuse

        24       me, Senator Stewart-Cousins.

        25                  SENATOR SALAND:    There are folks



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         1       around me speaking, and I'm finding it hard to

         2       hear Senator Stewart-Cousins.

         3                  ACTING PRESIDENT VALESKY:    Keep

         4       the noise down, please.

         5                  SENATOR STEWART-COUSINS:    The

         6       original premise is that there are almost

         7       300,000 children in New York State who are

         8       eligible for these types of programs who for

         9       one reason or another are still not receiving

        10       the benefits.

        11                  So on the one hand, I think it's

        12       fair to say that we have these programs

        13       established to be able to make sure that kids

        14       who are eligible get insurance.  So I think

        15       the fiscal implications have already been

        16       factored into the reality that we offer these

        17       programs for the benefit of eligible children.

        18                  So what this particular bill would

        19       do was, again, give another avenue to reach

        20       these eligible children.  And that's why I say

        21       that the impact, although not determined, has

        22       already presumably been factored into the fact

        23       that we have offered these programs for

        24       insuring children and continue to offer the

        25       programs.



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         1                  SENATOR SALAND:    Would the

         2       Senator continue to yield.

         3                  ACTING PRESIDENT VALESKY:

         4       Senator Stewart-Cousins, do you continue to

         5       yield?

         6                  SENATOR STEWART-COUSINS:    Yes.

         7                  ACTING PRESIDENT VALESKY:    The

         8       sponsor continues.

         9                  SENATOR SALAND:    Senator

        10       Stewart-Cousins, could you tell me what the

        11       difference is between the federal poverty

        12       level for purposes of a free lunch or

        13       breakfast or a reduced lunch or breakfast?

        14                  SENATOR STEWART-COUSINS:    What

        15       are the qualifications?

        16                  SENATOR SALAND:    Yes.

        17                  SENATOR STEWART-COUSINS:    Yeah.

        18       A parent or the guardian can come in and, you

        19       know, say that they are eligible for free and

        20       reduced lunch.

        21                  And I'm glad you brought this point

        22       up, because the reality is is that you can say

        23       "I can't afford to feed my child" and get a

        24       free or reduced lunch.  However, you cannot

        25       use that only as an eligibility criterion for



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         1       the insurance program that we're talking

         2       about.

         3                  So it is another avenue where we

         4       can identify and hopefully ensure that

         5       schoolchildren who are absolutely eligible for

         6       this program who arrive at our schools, their

         7       parents know that there's another way for them

         8       to be insured.  However, again, the

         9       eligibility criteria for these programs remain

        10       the same.

        11                  SENATOR SALAND:    If the Senator

        12       will continue to yield.

        13                  SENATOR STEWART-COUSINS:    Yes.

        14                  ACTING PRESIDENT VALESKY:    The

        15       sponsor continues.

        16                  SENATOR SALAND:    When we talk

        17       about the federal poverty level, is it not

        18       true that in one instance it's 130 percent of

        19       the rate and in the other instance it's

        20       185 percent of the rate?  Is that correct?

        21                  SENATOR STEWART-COUSINS:    Well, I

        22       can tell you that the Child Health Plus

        23       eligibility is 400 percent of the federal

        24       poverty level -- $58,200 for a family of two,

        25       $73,000 and change for a family of three,



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         1       et cetera.  So the Child Health Plus

         2       eligibility, which is what we'd be looking at,

         3       is 400 percent of the federal poverty level.

         4                  SENATOR SALAND:    Thank you,

         5       Senator Stewart-Cousins.  But my question

         6       really is about the federal poverty level for

         7       purposes of eligibility not for Child Health

         8       Plus, but either for a free lunch or breakfast

         9       or a reduced lunch or breakfast.

        10                  And I think in the case of the

        11       former, the free, it's 130 percent of the

        12       poverty level and in the case of the latter, I

        13       believe it's 185 percent.

        14                  SENATOR STEWART-COUSINS:    You're

        15       right.  Actually, you're almost right, it's

        16       about 185 percent based on my records here.

        17                  But again, the larger picture is

        18       still the larger picture.  And that is that

        19       there are almost 300,000 children, many of

        20       whom I'm sure are in our public schools, many

        21       of whom are indeed eligible for both free

        22       lunch as well as Child Health Plus.

        23                  So again, because the awareness is

        24       raised, because you choose to enroll in a

        25       program doesn't necessarily mean you're



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         1       eligible.  And the eligibility criteria which

         2       is used to determine whether or not a child

         3       can benefit from Child Health Plus remains the

         4       same.

         5                  SENATOR SALAND:    Would the

         6       Senator yield to one more question.

         7                  ACTING PRESIDENT VALESKY:

         8       Senator Stewart-Cousins, do you continue to

         9       yield?

        10                  SENATOR STEWART-COUSINS:    Yes.

        11                  ACTING PRESIDENT VALESKY:    The

        12       sponsor yields.

        13                  SENATOR SALAND:    That was the

        14       rationale that was offered for your A print.

        15       And if that was the case, why is the B print

        16       necessary?  Because that was the rationale

        17       that was offered in committee --

        18                  SENATOR STEWART-COUSINS:    Right.

        19                  SENATOR SALAND:    -- that was the

        20       rationale that was offered in your bill memo.

        21       And what is it that necessitated the B print

        22       that will result, by reason of the

        23       certification language that's contained on the

        24       last page of the bill, in an undetermined yet

        25       increased amount of Medicaid costs?  This has



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         1       nothing to do with Child Health Plus.

         2                  SENATOR STEWART-COUSINS:    Senator

         3       Saland, again, the technical change was

         4       because of the restructuring for

         5       recertification.  The restructuring was in

         6       recertification; now it's in the application

         7       process.

         8                  SENATOR SALAND:    Thank you.

         9       Thank you, Senator Stewart-Cousins.

        10                  On the bill, Mr. President.

        11                  ACTING PRESIDENT VALESKY:

        12       Senator Saland, on the bill.

        13                  SENATOR SALAND:    I would merely

        14       suggest that the amendment that we're seeing

        15       in an A and B print is anything but technical.

        16       The amendment is going to result in what is,

        17       in the bill sponsor's memo, an undetermined

        18       impact on the state in terms of the fiscal

        19       note.

        20                  And this particular amendment, by

        21       way of the Medicaid impact, will increase the

        22       amount that would be expected to be paid by

        23       way of Medicaid over and above what was in the

        24       preceding bill -- a bill which I believe may

        25       have passed, notwithstanding the fiscal,



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         1       unanimously out of committee.

         2                  What we're doing here is inviting

         3       yet another increase in spending on the

         4       Medicaid side of the equation, notwithstanding

         5       the laudable purpose, which could have been

         6       equally well accomplished at a lower expense

         7       with the prior version of the bill.  And it's

         8       one which I would hope that the sponsor would

         9       reconsider.

        10                  I have no idea if this is a

        11       crossover or if it's -- if there's a same-as.

        12       But this certainly is nothing that's in the

        13       Governor's fiscal plan.  And God only knows if

        14       anybody knows what's in the fiscal plan, 12,

        15       13 weeks into the budget date.  But it's

        16       inconceivable to me that anybody in any fiscal

        17       plan has made any provision for this increased

        18       amount of money.

        19                  Thank you.

        20                  ACTING PRESIDENT VALESKY:    Thank

        21       you, Senator Saland.

        22                  Are there any other Senators --

        23       Senator Montgomery.

        24                  SENATOR MONTGOMERY:    Yes,

        25       Mr. President, I rise to support this



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         1       legislation and thank Senator Stewart-Cousins

         2       for introducing it.

         3                  And certainly I represent one of

         4       those districts where so many of those 270,000

         5       children who are not currently participating

         6       and who are eligible live.

         7                  And despite, you know, every summer

         8       at every event all across my district, there

         9       are people with vans and brochures and tables

        10       and they're passing out this Child Health Plus

        11       and join Child Health Plus and sign up and

        12       what have you, most of those young people are

        13       still missed.

        14                  And we have these separate systems

        15       to serve the exact same constituents.  And

        16       this is clearly one of those areas where we

        17       have a separate system for enrolling children

        18       in their nutrition programs in their schools

        19       and a separate system for them to be enrolled

        20       in Child Health Plus.  This just makes so much

        21       more sense.

        22                  If a young person is enrolled, is

        23       eligible, and the parents can prove their

        24       eligibility for the nutrition program, yes,

        25       they should automatically be assumed to be



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         1       eligible for Child Health Plus, for Medicaid.

         2       It's a very simple solution to a huge problem.

         3       And I really, really think that this becomes

         4       one of the pillars where we begin to address

         5       access to very important services for parents

         6       and their children in our state and remove

         7       some of those barriers that are just really

         8       basically bureaucratic fences to them being

         9       able to access services.

        10                  So I'm supporting this legislation.

        11       I really ask my colleagues to vote yes on

        12       this, because this really will make a huge

        13       difference in making sure that children who

        14       are eligible are actually going to be covered

        15       for their healthcare.

        16                  Thank you, Mr. President.

        17                  ACTING PRESIDENT VALESKY:    Thank

        18       you, Senator Montgomery.

        19                  Senator Hannon.

        20                  SENATOR HANNON:    Thank you,

        21       Mr. President.

        22                  If you're going to make a change,

        23       you ought to make it accurately.  I voted for

        24       this bill in committee, and subsequent to the

        25       committee, the phrase was added



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         1       "notwithstanding the provisions of paragraph

         2       A, an applicant or recipient providing written

         3       documentation of income eligibility of a child

         4       for a free or reduced breakfast or lunch

         5       through the school programs certified by the

         6       child's school shall meet the evidentiary

         7       requirements."  So in other words, if you get

         8       either the free or reduced-price breakfast or

         9       lunch, you're eligible for Medicaid.

        10                  Well, the free is exactly the same

        11       in terms of the percentage of the poverty

        12       level, so there is an even standard.  But the

        13       hole in the argument of the sponsor is that

        14       it's the reduced price.  That goes to

        15       185 percent of poverty.  If we make that many

        16       children eligible for Medicaid, we've expanded

        17       Medicaid.  It's very clear.

        18                  Now, I would like to expand

        19       Medicaid for lots.  I'd like to keep the

        20       expanded Child Health Plus.  But at a time

        21       we're facing multiple billion-dollar deficits

        22       and told later today we'll be voting on tax

        23       hikes, later this week we'll be voting on tax

        24       hikes, this is not a wise measure.

        25                  Thank you, Mr. President.



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         1                  ACTING PRESIDENT VALESKY:    Thank

         2       you, Senator Hannon.

         3                  Are there any other Senators who

         4       wish to be heard?

         5                  Seeing none, the debate is closed.

         6       The Secretary will ring the bells.

         7                  Read the last section.

         8                  THE SECRETARY:    Section 5.  This

         9       act shall take effect June 1, 2011.

        10                  ACTING PRESIDENT VALESKY:    Call

        11       the roll.

        12                  (The Secretary called the roll.)

        13                  ACTING PRESIDENT VALESKY:

        14       Senator Duane, to explain his vote.

        15                  SENATOR DUANE:    Thank you very

        16       much, Mr. President.

        17                  I want to commend the sponsor for

        18       this bill.  I know that she worked extremely

        19       hard on it, and it's a very good bill.

        20                  The bill doesn't do anything to

        21       change eligibility.  Eligibility has been

        22       approved and is monitored by the federal

        23       government.  What this does is, for children

        24       who are already eligible but who may not be

        25       accessing healthcare, it's another vehicle by



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         1       which they can access healthcare.

         2                  So covering children who are

         3       already eligible to be covered is a good

         4       thing, and everything we can do to get them

         5       healthcare is, short term and long term, good

         6       for our state.

         7                  Thank you, Mr. President.

         8                  ACTING PRESIDENT VALESKY:

         9       Senator Duane to be recorded in the

        10       affirmative.

        11                  Senator Saland, to explain his

        12       vote.

        13                  SENATOR SALAND:    Thank you,

        14       Mr. President.

        15                  I'd like to read from a piece from

        16       yesterday's Poughkeepsie Journal which talked

        17       about Medicaid as an issue in New York:

        18                  "Driving New York's rate is the

        19       paradoxical incentive, under Medicaid, to

        20       spend money in order to make it, the promise

        21       of the Medicaid match.  The feds give a dollar

        22       for every dollar."  And then they go on to

        23       quote a researcher from the University of

        24       Minnesota:  "'At one level it's fabulous the

        25       amount of federal money New York has brought



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         1       in.'  'But,' he added, 'half the money has to

         2       come from people in New York.  That's the

         3       other side of it.'"

         4                  Then, under "Medicaid It," "One of

         5       the reasons New York reaps so much federal

         6       cash is New York's proclivity, legendary among

         7       the states, to jack up Medicaid reimbursements

         8       by aggressively and legally including every

         9       state cost even remotely related to disability

        10       services, from pencils to power plants.

        11       Clerks, commissioners, Albany overhead,

        12       regulatory oversight, sidewalk maintenance, it

        13       all goes into the mix.  'New York's strategy

        14       was' -- again, quoting somebody else -- 'if it

        15       moves, Medicaid it.  It's called cost

        16       mining.'"

        17                  This is an example of cost mining.

        18       The increase between the current 130 percent

        19       of the federal poverty level for the free and

        20       185 percent for the reduced is simply such an

        21       example.  This is an increased Medicaid cost

        22       imposed upon state taxpayers and county

        23       taxpayers as well.

        24                  I vote in the negative.

        25                  ACTING PRESIDENT VALESKY:



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         1       Senator Saland to be recorded in the negative.

         2                  Senator Hannon, to explain his

         3       vote.

         4                  SENATOR HANNON:    I rise to

         5       explain my vote and to say why two of the

         6       Senators on the other side of the aisle were

         7       wrong in their assumption that this is simply

         8       keeping people who are eligible for one

         9       program automatically enrolled in Medicaid.

        10                  The mistake comes because, and as

        11       the bill memo of the sponsor says, "to ensure

        12       that children who are eligible and enrolled

        13       for free and reduced-price school meals are

        14       also enrolled in Child Health Plus or

        15       Medicaid."  The free school meals does have

        16       the same eligibility as Medicaid.  So to that

        17       point, there is coordination.

        18                  However, there's a second program,

        19       reduced-price school meals.  That has a

        20       different eligibility.  And in fact it's much

        21       higher than the free eligibility -- it's

        22       185 percent of poverty versus 130 percent of

        23       poverty.  So we are adding in a whole new

        24       population to Medicaid by an indirect route,

        25       by a route that is not acknowledged.



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         1                  And that is why I'm against it,

         2       because at this time in this year we cannot

         3       afford it.  Thank you.

         4                  ACTING PRESIDENT VALESKY:

         5       Senator Hannon to be recorded in the negative.

         6                  Senator Liz Krueger, to explain her

         7       vote.

         8                  SENATOR LIZ KRUEGER:    Thank you,

         9       Mr. President.  I too rise to praise this bill

        10       and to support it.

        11                  It is free or reduced, as my

        12       colleague Senator Hannon just pointed out, but

        13       it's Child Health Plus and Medicaid.  So Child

        14       Health Plus eligibility goes above the reduced

        15       price level.  So no, it is not increasing a

        16       universe of eligibility for benefits.

        17                  This is a fundamental question of

        18       when you have laws saying people are eligible

        19       and yet people aren't participating, you've

        20       failed the test.  The most critical issue in

        21       healthcare, and we've talked about it so many

        22       times, is ensuring access to healthcare for

        23       children as they are developing so that they

        24       don't get the long-term chronic illnesses that

        25       will be with them for the rest of their lives,



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         1       drive up healthcare costs in the State of New

         2       York for them as adults and as older adults.

         3                  So this is a win/win.  It does not

         4       increase the universe of eligibility, it

         5       ensures that people who are eligible for

         6       either Medicaid or Child Health Plus as

         7       children get the benefits they are eligible

         8       for.

         9                  We've talked about so many times

        10       needing universal access to health insurance

        11       for our most vulnerable children.  This is

        12       another common-sense way to ensure that

        13       children who are already eligible are able to

        14       participate.

        15                  I vote yes, Mr. President.

        16                  ACTING PRESIDENT VALESKY:

        17       Senator Liz Krueger to be recorded in the

        18       affirmative.

        19                  Senator LaValle, to explain his

        20       vote.

        21                  SENATOR LaVALLE:    Thank you,

        22       Mr. President.

        23                  This bill sets an example of why we

        24       may want to make a rules change or at least

        25       consider it when you make a major change in a



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         1       that was reported from committee.  And those

         2       individuals in the committee -- such as

         3       Senator Hannon -- who supported it, then with

         4       this amendment, it just brings into play

         5       entirely different dynamics.  So I think if we

         6       rely on a committee system, we really need to

         7       abide by the interaction and input of the

         8       committee members.

         9                  Lastly, once we go this route in

        10       terms of school services, we are going to see

        11       an expansion in many other areas at a time

        12       when we can ill-afford an expansion in cost of

        13       Medicaid.  And I just remind everyone it's a

        14       billion dollars a week.  So we're just going

        15       to increase those costs.

        16                  I vote in the negative.

        17                  ACTING PRESIDENT VALESKY:

        18       Senator LaValle to be recorded in the

        19       negative.

        20                  Senator Montgomery, to explain her

        21       vote.

        22                  SENATOR MONTGOMERY:    Yes.

        23       Mr. President, I rise to support this

        24       legislation.  I'm very thankful that Senator

        25       Stewart-Cousins has brought this bill to us.



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         1                  And as I said, I'm a great believer

         2       in the school as the access point for services

         3       to children, especially young children.  And

         4       so that's why I believe so much in

         5       school-based health clinics.  This bill

         6       utilizes the school site as the primary place

         7       where we can reach the maximum number of

         8       children and enroll them in either Child

         9       Health Plus or make sure they're covered by

        10       Medicaid.  And, Mr. President, primary and

        11       early intervention for healthcare will reduce

        12       the cost in the long run, that is for sure.

        13                  The second thing is that children

        14       are not the costly part of Medicaid.  The

        15       other end of the care that we provide -- for

        16       institutional care, for the elderly -- that's

        17       where the high cost is, not for children.

        18                  So I wholeheartedly support this

        19       legislation, and I think we are doing what is

        20       the right thing to do for the children in our

        21       state, and that is to make sure that those who

        22       are eligible are indeed covered and enrolled

        23       in the program.

        24                  Thank you, Mr. President.  I vote

        25       aye.



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         1                  ACTING PRESIDENT VALESKY:

         2       Senator Montgomery to be recorded in the

         3       affirmative.

         4                  Senator Stewart-Cousins, to explain

         5       her vote.

         6                  SENATOR STEWART-COUSINS:    Yes,

         7       Mr. President.  Thank you.

         8                  I think that everything to be said

         9       about this bill has been said, and I really do

        10       urge my colleagues to support the bill.

        11                  We have opportunities to change

        12       outcomes for people when they are young.

        13       That's why we do what we do.  We try and get

        14       people into appropriate quality care early in

        15       their lifetime so that they are not

        16       chronically ill and underserved and create a

        17       tremendous fiscal burden on taxpayers.

        18                  I can't think of a better way to

        19       introduce eligible young people, almost

        20       300,000 of them, to the fact that they can get

        21       quality primary care than by doing so in

        22       school buildings.  This does not guarantee

        23       that they will indeed be eligible; there are

        24       steps that they have to take.  It's just

        25       another ticket, it's another access point.  It



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         1       is evidence that they could indeed be

         2       eligible.

         3                  I hope that we support the bill.  I

         4       hope that we continue to support the health of

         5       our children in New York State.

         6                  ACTING PRESIDENT VALESKY:

         7       Senator Stewart-Cousins to be recorded in the

         8       affirmative.

         9                  Senator Oppenheimer, to explain her

        10       vote.

        11                  SENATOR OPPENHEIMER:    Well, just

        12       very briefly, because most of the points have

        13       been made.

        14                  But from my vantage point, as chair

        15       of Education, I say if we do not have a

        16       healthy child entering school, we are not

        17       going to have good educational results.  And

        18       the opportunity to reach these children young,

        19       so that we can change their outcome, so that

        20       they can enter kindergarten or pre-K in a

        21       position to be able to learn and to benefit

        22       from it, that can only be achieved through

        23       good healthcare.

        24                  And in this instance, with the

        25       healthcare available so close to where the



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         1       child is, particularly if they're in school,

         2       it just gives us a leg up on illnesses like

         3       asthma, like diabetes.  I mean, if we get them

         4       young, we can tell them how to manage their

         5       illness.  And that will prevent so many times

         6       their going to emergency units, to hospitals.

         7                  It's just -- this is a win/win.

         8       It's a win as far as cost.  But more

         9       importantly, it saves, in many instances, the

        10       lives of these children.

        11                  Thank you.  I'll be voting yes.

        12                  ACTING PRESIDENT VALESKY:

        13       Senator Oppenheimer to be recorded in the

        14       affirmative.

        15                  Announce the results.

        16                  THE SECRETARY:    Those recorded in

        17       the negative on Calendar Number 963 are

        18       Senators Alesi, Bonacic, DeFrancisco, Farley,

        19       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        20       Larkin, LaValle, Leibell, Libous, Little,

        21       Marcellino, Maziarz, McDonald, Nozzolio,

        22       Ranzenhofer, Robach, Saland, Seward, Skelos,

        23       Volker, Winner and Young.

        24                  Absent from voting:  Senator Lanza.

        25                  Ayes, 34.  Nays, 26.



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         1                  ACTING PRESIDENT VALESKY:    The

         2       bill is passed.

         3                  THE SECRETARY:    Calendar Number

         4       1057, by Member of the Assembly Paulin,

         5       Assembly Print Number 7850, an act to amend

         6       the Election Law.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Seeing no other Senator wishing to be heard,

         9       debate is closed.

        10                  The Secretary will please ring the

        11       bells.

        12                  Read the last section.

        13                  THE SECRETARY:    Section 2.  This

        14       act shall take effect immediately.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Call the roll.

        17                  (The Secretary called the roll.)

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Announce the results.

        20                  THE SECRETARY:    Those recorded in

        21       the negative on Calendar Number 1057 are

        22       Senators Alesi, Bonacic, DeFrancisco, Farley,

        23       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        24       O. Johnson, Lanza, Larkin, LaValle, Leibell,

        25       Libous, Little, Marcellino, Maziarz, McDonald,



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         1       Nozzolio, Padavan, Ranzenhofer, Robach,

         2       Saland, Seward, Skelos, Volker, Winner and

         3       Young.

         4                  Ayes, 32.  Nays, 29.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       The bill is passed.

         7                  Senator Klein.

         8                  SENATOR KLEIN:    Mr. President,

         9       there will be an immediate meeting of the

        10       Finance Committee, followed by a Rules

        11       Committee meeting in the Majority Conference

        12       Room.

        13                  Pending the return of the Rules

        14       Committee, may we please stand at ease.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Senator DeFrancisco.

        17                  SENATOR DeFRANCISCO:    I was

        18       standing to explain my vote, but I'll do it on

        19       the next bill, explaining my vote on this last

        20       bill.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       There will be an immediate meeting of the

        23       Finance Committee, followed by an immediate

        24       meeting of the Rules Committee in Room 332.

        25                  Pending the return of the Rules



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         1       Committee, may we please stand at ease.

         2                  Senator Libous.

         3                  SENATOR LIBOUS:    After the

         4       Finance and Rules meetings, there will be a

         5       Republican conference.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Following the Finance Committee and Rules

         8       Committee meetings, there will be an immediate

         9       meeting of the Republican Minority Conference

        10       in the Republican Minority Conference Room.

        11                  (Whereupon, the Senate stood at

        12       ease at 2:44 p.m.)

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator Klein.

        15                  SENATOR KLEIN:    Mr. President,

        16       there will be an immediate meeting of the

        17       Finance Committee, followed by a Rules

        18       Committee meeting in the Majority Conference

        19       Room.

        20                  Pending the return of the Rules

        21       Committee, may we please stand at ease.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Immediate meeting of the Finance Committee,

        24       followed by a meeting of the Rules Committee

        25       in the Majority Conference Room.



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         1                  Pending the return of the Rules

         2       Committee, the Senate will continue to stand

         3       at ease.

         4                  (Whereupon, the Senate reconvened

         5       at 4:54 p.m.)

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Senator Klein.

         8                  SENATOR KLEIN:    Mr. President, I

         9       believe there's a report of the Rules

        10       Committee at the desk.  I move that we adopt

        11       the report at this time.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Klein, there is a report of the Rules

        14       Committee at the desk.

        15                  The Secretary will read.

        16                  THE SECRETARY:    Senator Smith,

        17       from the Committee on Rules, reports the

        18       following bills:

        19                  Senate Print 6600C, Senate Budget

        20       Bill, an act making appropriations for the

        21       support of government;

        22                  6605C, Senate Budget Bill, an act

        23       making appropriations for the support of

        24       government;

        25                  6606B, Senate Budget Bill, an act



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         1       to amend the Executive Law and others;

         2                  6609B, Senate Budget Bill, an act

         3       intentionally omitted (Part A); intentionally

         4       omitted (Part B);

         5                  8065, by Senator Aubertine, an act

         6       to amend the Economic Development Law and the

         7       Public Authorities Law;

         8                  8284, by the Senate Committee on

         9       Rules, an act making appropriations for the

        10       support of government;

        11                  8285, by the Senate Committee on

        12       Rules, an act to amend Chapter 405 of the Laws

        13       of 1999;

        14                  And Senate Print 8293, by the

        15       Senate Committee on Rules, an act to amend

        16       Part D of a chapter of the Laws of 2010.

        17                  All bills ordered direct to third

        18       reading.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       We wish to have some order in the chamber,

        21       please.

        22                  All those in favor of adopting the

        23       Rules Committee report please signify by

        24       saying aye.

        25                  (Response of "Aye.")



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Opposed, nay.

         3                  (Response of "Nay.")

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       The Rules Committee report is adopted.

         6                  Senator Klein.

         7                  SENATOR KLEIN:    Mr. President, I

         8       would like to take up two bills from

         9       Supplemental Calendar 67A:  Calendar Numbers

        10       1066 and 1067.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       The Secretary will place Calendar Number 1066

        13       before the house, noncontroversial.

        14                  The Secretary will read.

        15                  THE SECRETARY:    In relation to

        16       Calendar Number 1066, Senator C. Kruger moves

        17       to discharge, from the Committee on Finance,

        18       Assembly Bill Number 11514 and substitute it

        19       for the identical Senate Bill Number 8284,

        20       Third Reading Calendar 1066.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Substitution ordered.

        23                  THE SECRETARY:    Calendar Number

        24       1066, by the Assembly Committee on Rules,

        25       Assembly Print Number 11514, an act making



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         1       appropriations for the support of government.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Senator Klein.

         4                  SENATOR KLEIN:    Mr. President, is

         5       there a message of necessity and appropriation

         6       at the desk?

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Klein, there is a message of necessity

         9       and appropriation here at the desk.

        10                  SENATOR KLEIN:    Mr. President, I

        11       ask that we adopt the message at this time.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       The question is on the acceptance of the

        14       message of necessity and appropriation.  All

        15       those in favor please signify by saying aye.

        16                  (Response of "Aye.")

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Opposed, nay.

        19                  (No response.)

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       The message is accepted.

        22                  Read the last section.

        23                  THE SECRETARY:    Section 20 --

        24                  SENATOR LIBOUS:    Lay it aside.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       The bill is laid aside.

         2                  The Secretary will now put before

         3       the house Calendar Number 1067.  The Secretary

         4       will read.

         5                  THE SECRETARY:    Calendar Number

         6       1067, by the Senate Committee on Rules, Senate

         7       Print 8285, an act to amend Chapter 405 of the

         8       Laws of 1999 amending the Real Property Tax

         9       Law.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Klein.

        12                  SENATOR KLEIN:    Mr. President, is

        13       there a message of necessity and appropriation

        14       at the desk?

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Senator Klein, there is a message of necessity

        17       and appropriation at the desk.

        18                  SENATOR KLEIN:    Mr. President, I

        19       move that we accept the message at this time.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       The question is on the acceptance of the

        22       message of necessity and appropriation.  All

        23       those in favor please signify by saying aye.

        24                  (Response of "Aye.")

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Opposed, nay.

         2                  (No response.)

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       The message is accepted.

         5                  Read the last section.

         6                  THE SECRETARY:    Section 3.  This

         7       act --

         8                  SENATOR LIBOUS:    Lay it aside.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       The bill is laid aside.

        11                  Senator Klein, that completes the

        12       reading of the noncontroversial calendar.

        13                  Senator Klein.

        14                  SENATOR KLEIN:    Mr. President, at

        15       this time can we please move to the

        16       controversial reading of the two bills on the

        17       supplemental calendar, 67A.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       The Secretary will ring the bell.

        20                  Members are all asked to come to

        21       the chamber for the reading of the

        22       controversial calendar.  I ask all members to

        23       please remain in the chamber as we debate

        24       these bills.

        25                  The Secretary will put before the



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         1       house Calendar Number 1066 on the

         2       controversial supplemental calendar.

         3                  THE SECRETARY:    Calendar Number

         4       1066, substituted earlier by the Assembly

         5       Committee on Rules, Assembly Print Number

         6       11514, an act making appropriations for the

         7       support of government.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator DeFrancisco, why do you rise?

        10                  SENATOR DeFRANCISCO:    I'm

        11       requesting a very, very brief explanation.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Kruger, a very, very brief explanation

        14       has been requested by Senator DeFrancisco.

        15                  SENATOR CARL KRUGER:    Thank you,

        16       Mr. President.  It will be my pleasure to

        17       oblige.

        18                  This bill is the 12th appropriation

        19       extender, that runs for the period to end on

        20       June 27th.  It provides $2.4 billion in an

        21       All Funds appropriation and $1.5 billion for a

        22       General Funds appropriation.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator DeFrancisco.

        25                  SENATOR DeFRANCISCO:    Would



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         1       Senator Kruger yield to a couple of questions?

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Senator Kruger, will you yield for a couple of

         4       questions?

         5                  SENATOR CARL KRUGER:    Yes, I do.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       He does, Senator DeFrancisco.

         8                  SENATOR DeFRANCISCO:    Senator

         9       Kruger, I'd just like to ask you the same

        10       questions that I asked last week.  What cuts

        11       if any, are made by the series of bills that

        12       we're asked to pass on today?  Total amount of

        13       dollars of cuts.

        14                  SENATOR CARL KRUGER:    Through

        15       you, Mr. President, somewhere in the

        16       neighborhood of $100 million.

        17                  SENATOR DeFRANCISCO:    All right.

        18                  So would Senator Kruger continue to

        19       yield?

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Senator Kruger, do you continue to yield?

        22                  SENATOR CARL KRUGER:    Yes, I do.

        23                  SENATOR DeFRANCISCO:    Adding that

        24       $100 million to the $1.1 billion of cuts,

        25       cumulative, from last week, after passing



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         1       these budget bills today we would have a total

         2       of $1.2 billion in cuts; is that correct?

         3                  SENATOR CARL KRUGER:    No.

         4                  SENATOR DeFRANCISCO:    No.  Would

         5       Senator Kruger tell me how I'm wrong in adding

         6       the $1.1 billion, which was his number last

         7       week, to 100 million today, to come up with

         8       $1.2 billion?

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       First of all, Senator Kruger, do you yield for

        11       another question?

        12                  SENATOR CARL KRUGER:    Yes, I do.

        13                  And, Mr. President, for the

        14       purposes of clarity, let me go through a

        15       series of numbers and maybe that will put us

        16       better into focus.

        17                  Firstly, the initial budget cut was

        18       $9.1 billion.  In the December DRP, we cleared

        19       up $692 million of that shortfall.  Through

        20       the period of reductions, we have provided for

        21       the following:  In healthcare, $774 million;

        22       in local government aid, $325 million; in

        23       human services, $211 million; in mental

        24       hygiene, $48 million; other cuts totalling

        25       $52 million; and state operations, including



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         1       workforce, $1.2 million.  For a total cut of

         2       $2.620 billion.

         3                  By the way, and then just for

         4       further clarity, other actions that were taken

         5       were tax audit and recovery of $221 million,

         6       nonrecurring actions of $565 million, federal

         7       FMAP extension of $989 million, other actions

         8       of 1.775 million, tobacco revenues of

         9       440 million.  Total back-closing actions of

        10       5.527 billion.  Remaining gap to close, which

        11       would approximately be 40 percent of the

        12       outstanding, would be 3.651 billion.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator DeFrancisco.

        15                  SENATOR DeFRANCISCO:    Would

        16       Senator Kruger yield to another question.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Kruger, will you yield to another

        19       question?

        20                  SENATOR CARL KRUGER:    Yes, I do,

        21       Mr. President.

        22                  SENATOR DeFRANCISCO:    I'm not

        23       quite sure how raising taxes is a cut.

        24       Because you indicated in your summary there

        25       raising cigarette taxes by so many millions --



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         1       I'm not quite sure what the number was,

         2       because I lost track.  All I remember is last

         3       week you told me cumulatively up to last week

         4       there was $1.1 billion in cuts, and today

         5       you're telling me there's another $100 million

         6       in cuts.  To me, that sounds like $1.2 billion

         7       in cuts, leaving a balance from the

         8       $9.2 billion of $8 billion to go.

         9                  Now you're saying to me that I'm

        10       wrong.  Is that correct?

        11                  SENATOR CARL KRUGER:    Through

        12       you, Mr. President.  Firstly, what we were

        13       talking about last week were the two bills

        14       that were on the floor, and those were the

        15       numbers that we used to reflect actions being

        16       taken on those two bills, not the cumulative

        17       effect of all actions being taken.

        18                  SENATOR DeFRANCISCO:    Would

        19       Senator Kruger yield to a question.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Senator Kruger, would you yield to a question?

        22                  SENATOR CARL KRUGER:    Yes, I do,

        23       Mr. President.

        24                  SENATOR DeFRANCISCO:    Excluding

        25       revenue enhancers -- or taxes and fees, as



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         1       others call them -- up till today, if we pass

         2       every one of these bills, how much in actual

         3       cuts would have been accomplished, according

         4       to your computation?

         5                  SENATOR CARL KRUGER:    Through

         6       you, Mr. President, the actual cuts are 2.620.

         7                  SENATOR DeFRANCISCO:    All right.

         8       So let's take that number, although I'm not

         9       quite sure how it changes week to week -- but

        10       let's take that number of 2.6 billion.  Would

        11       Senator Kruger yield to another question?

        12                  SENATOR CARL KRUGER:    Yes, I do,

        13       Mr. President.

        14                  SENATOR DeFRANCISCO:    The gap

        15       that we've been told for several weeks has

        16       been $9.2 billion -- and it may be more,

        17       because FMAP money may not be coming from the

        18       federal government.  So if I subtract 2.6, the

        19       cuts that you say will be in effect as of

        20       today, from the 9.2 gap, that leaves

        21       6.6 billion of gap left to fill somehow,

        22       whether with revenue enhancers, as you call

        23       them, taxes and fees, as we call them, or

        24       borrowing or whatever.  Is that correct?

        25                  SENATOR CARL KRUGER:    Through



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         1       you, Mr. President.  No.

         2                  SENATOR DeFRANCISCO:    Senator

         3       Kruger, would you yield to another question?

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Senator Kruger, will you yield?

         6                  SENATOR CARL KRUGER:    Yes, I do,

         7       Mr. President.

         8                  SENATOR DeFRANCISCO:    Senator

         9       Kruger, would you tell me what you believe the

        10       gap is after passing all of the bills today,

        11       if these bills were passed?

        12                  SENATOR CARL KRUGER:    Through

        13       you, Mr. President.  As I had indicated

        14       previously, the remaining gap to close is

        15       3.651.

        16                  SENATOR DeFRANCISCO:    Now,

        17       Senator Kruger, would you yield to another

        18       question?

        19                  SENATOR CARL KRUGER:    Yes, I do,

        20       Mr. President.

        21                  SENATOR DeFRANCISCO:    Now, if you

        22       take away the taxes that are being proposed in

        23       what's happening today -- well, strike that.

        24                  Can you tell me what taxes are

        25       being imposed today in order to reach the



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         1       $3.6 billion gap that remains?

         2                  SENATOR CARL KRUGER:    Through

         3       you, Mr. President, the revenue enhancer that

         4       we're talking about today, or the so-called

         5       tobacco or cigarette tax, would be

         6       $290 million.

         7                  SENATOR DeFRANCISCO:    All right.

         8       If we add the two -- well, let's make it

         9       three --

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator DeFrancisco, do you wish Senator

        12       Kruger to yield?

        13                  SENATOR DeFRANCISCO:    Yes.

        14                  SENATOR CARL KRUGER:    Yes, I do.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       He yields.

        17                  SENATOR DeFRANCISCO:    So by your

        18       current numbers, cuts were 3.6 billion --

        19       excuse me.  Of the $3.6 billion gap that's

        20       left, $300 million to get to that number is

        21       from taxes of cigarettes.  Correct?

        22                  SENATOR CARL KRUGER:    Through

        23       you, Mr. President.  Approximately, yes.

        24                  SENATOR DeFRANCISCO:    All right.

        25       So without taxes today, Senator Kruger -- and



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         1       would you answer this question -- without the

         2       taxes that are being proposed, we would have,

         3       as of today, a $4.2 billion gap.  Correct?

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Senator Kruger, do you continue to yield to

         6       Senator DeFrancisco?

         7                  SENATOR DeFRANCISCO:    Excuse me.

         8       Excuse me, $3.9 billion.

         9                  SENATOR CARL KRUGER:    Right.

        10       Right.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Kruger, do you continue to yield?

        13                  SENATOR CARL KRUGER:    Yes, I do,

        14       Mr. President.

        15                  And as the Senator pointed out, it

        16       would be approximately 3.9.

        17                  SENATOR DeFRANCISCO:    Senator

        18       Kruger, one last question.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Do you continue to yield, Senator Kruger?

        21                  SENATOR CARL KRUGER:    Yes, I do.

        22                  SENATOR DeFRANCISCO:    What is the

        23       percentage of the budget that will have been

        24       passed as of today, assuming that the budget

        25       is the amount that the Governor proposed when



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         1       he presented his budget?

         2                  SENATOR CARL KRUGER:    Through

         3       you, Mr. President.  After we're completed

         4       passing the bills today, in anticipation with

         5       total gap closing actions, 5.527, which would

         6       be 60 percent -- approximately, again -- of

         7       the budget.

         8                  SENATOR DeFRANCISCO:    Now, I do

         9       have one last question.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Kruger, do you continue to yield for

        12       one last question?

        13                  SENATOR CARL KRUGER:    Yes, I do.

        14                  SENATOR DeFRANCISCO:    This

        15       $3.9 billion gap, can you tell me -- strike

        16       that.  Has the Democrat conference been having

        17       conferences about what options that remain in

        18       order to fill that gap that you just referred

        19       to?

        20                  SENATOR CARL KRUGER:    Through

        21       you, Mr. President, negotiations are ongoing.

        22                  SENATOR DeFRANCISCO:    That wasn't

        23       my question.  Would Senator Kruger yield to a

        24       question.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Kruger, will you continue to yield for

         2       questions?

         3                  SENATOR CARL KRUGER:    Yes, I do,

         4       Mr. President.

         5                  SENATOR DeFRANCISCO:    What

         6       options are being considered by the Democrat

         7       conference -- that no doubt you've been

         8       briefed, because you want to be informed of

         9       what's going on, as chair of Finance.  What

        10       options are being discussed or are out there

        11       to complete the closing of this $9.2 billion

        12       gap?  Because we're running out of budget

        13       here.

        14                  SENATOR CARL KRUGER:    Through

        15       you, Mr. President, we're running out of time,

        16       we're not running out of budget.

        17                  I guess all actions are on the

        18       table.

        19                  SENATOR DeFRANCISCO:    Senator

        20       Kruger, would you yield to another question?

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Kruger, will you continue to yield for

        23       another question?

        24                  SENATOR CARL KRUGER:    Yeah, I

        25       guess this is all part of the last question.



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         1       Yes, I do, Mr. President.

         2                  SENATOR DeFRANCISCO:    Senator

         3       Kruger, can you tell me what tax and fee

         4       options are being discussed now that we may be

         5       faced with within days, because of the

         6       Governor's June 28th deadline, which are being

         7       discussed so we can start thinking about them

         8       on this side of the aisle?

         9                  SENATOR CARL KRUGER:    Well,

        10       through you, Mr. President.  As I said,

        11       negotiations are ongoing.  Cuts as well as

        12       revenues projections are on the table.  And as

        13       the negotiations go forward, we'll have a

        14       clearer picture of exactly what that package

        15       means.

        16                  SENATOR DeFRANCISCO:    Thank you,

        17       Senator Kruger.

        18                  SENATOR CARL KRUGER:    Thank you.

        19                  SENATOR DeFRANCISCO:    This is the

        20       12th budget extender.  And by the way, I don't

        21       know if this is correct or not --

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator DeFrancisco, this is on the bill,

        24       correct?

        25                  SENATOR DeFRANCISCO:    On the



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         1       bill.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Thank you.

         4                  SENATOR DeFRANCISCO:    This is the

         5       12th budget extender, and I don't know if this

         6       is correct or now, but the Comptroller, who

         7       should know what he's talking about, said that

         8       if this budget extender didn't pass by

         9       5 o'clock, he would not be able to get certain

        10       payments made to bank accounts, direct

        11       deposit.  And it's now after 5:00, and we

        12       didn't start this discussion until about

        13       5 o'clock.  So I don't know if that's true or

        14       not.

        15                  But unfortunately, we're at this

        16       point, the Assembly having done whatever they

        17       did last week.  But be that as it may, by

        18       doing this piecemeal budget, we basically

        19       left -- according to what we're hearing today,

        20       there's 40 percent of the budget left.  We've

        21       still got billions of dollars of gap.  And if

        22       most people understand that if 40 percent is

        23       left, 30 percent of the amount that's left is

        24       education.

        25                  And if the Assembly and Senate



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         1       majorities are having difficulty cutting

         2       1.4 billion, they're certainly not going to

         3       cut $4 billion or $5 billion to close that gap

         4       in that area, because that's all that really

         5       remains, the only major item that remains.

         6                  So what we're facing, no doubt, is

         7       either borrowing, despite the Governor's

         8       unequivocal statement that there be no

         9       borrowing, or more revenue enhancers, what the

        10       general public knows as higher taxes and

        11       higher fees.  And that's why this piecemeal

        12       process is the wrong process.

        13                  I will guarantee you that someone

        14       will say, when we're in the final bill, that

        15       we really have no options.  And if that's the

        16       case, we really had no options only because we

        17       did the budget piecemeal by this process,

        18       which is the bad process which will be

        19       discussed in some of the more specific bills.

        20                  For example -- I just want to

        21       mention one of them -- one of the big issues

        22       is whether there's going to be wine in grocery

        23       stores.  But we don't have anything in any of

        24       these bills that says we're going to do it or

        25       we're not going to do it.  But in 6600C that



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         1       we're going to be dealing with shortly, there

         2       is funding for 20 new staff members associated

         3       with the Governor's wine in grocery stores

         4       initiative.

         5                  Now, how can we be putting more

         6       people on with respect to that proposal and we

         7       haven't even made a decision yet whether or

         8       not there's going to be wine in grocery

         9       stores?  So these things are interrelated, as

        10       are the cuts and taxes, when you've got to do

        11       the budget as a whole.

        12                  But be that as it may, despite the

        13       piecemeal process that we're going through

        14       right now, I am going to be voting no.  I just

        15       don't see how this process is going to result

        16       in anything other than taxes and fees and

        17       borrowing.  Those are the only real choices

        18       with the education part of the budget, the

        19       last one.

        20                  And I'm not going to buy the

        21       argument that we will have no alternative,

        22       because you can't just paint yourself in the

        23       corner and then claim that there's nothing you

        24       can about it.

        25                  So I would urge all of my



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         1       colleagues to vote no on this bill, because

         2       this is not a way to run a state government.

         3       And I once again will be voting no.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Are there any other Senators wishing to be

         6       heard on the bill?

         7                  Hearing none, debate is closed.

         8       The Secretary will please ring the bells.

         9                  All Senators please reenter the

        10       chamber and sit in your seats for voting.

        11                  Read the last section.

        12                  THE SECRETARY:    Section 22.  This

        13       act shall take effect immediately.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Call the roll.

        16                  (The Secretary called the roll.)

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Diaz, to explain his vote.

        19                  SENATOR DIAZ:    Thank you,

        20       Mr. President.

        21                  Today, this is the 12th extender.

        22       And this 12th extender has no cuts on it.

        23       Meaning that I feel at ease because the people

        24       in my district, the people in my community are

        25       not getting cuts today.



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         1                  And I am happy to vote yes on the

         2       extender with no cuts, and I ask everybody

         3       here on the other side -- Maziarz -- put your

         4       hands down and vote yes.

         5                  Thank you, Mr. President.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Senator Diaz will be recorded in the

         8       affirmative.

         9                  Senator Saland, to explain his

        10       vote.

        11                  SENATOR SALAND:    Thank you,

        12       Mr. President.

        13                  Mr. President, I found the debate

        14       between Senator DeFrancisco and Senator Kruger

        15       interesting.  Not necessarily illuminating,

        16       but interesting.  Trying to come up with

        17       certitude when it comes to numbers is sort of

        18       like trying to capture fog.

        19                  I'm intrigued by the idea that we

        20       continue with this incremental approach.  We

        21       keep spending money having absolutely no idea

        22       whatsoever as to what might constitute a

        23       fiscal plan or what might be the pot at the

        24       end of this long and arduous procedure,

        25       12 weeks now of extenders.  And the reality



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         1       simply is that there's no individual, as I've

         2       said before, who can control their personal

         3       finances this way, nor any business who can

         4       keep writing checks without knowing what's in

         5       the pot.  I suspect before long we'll have the

         6       old, for those of us who remember, Flip Wilson

         7       defense of "The devil made me do it."

         8                  But I'd like to just conclude,

         9       Mr. President, with a quote from the Albany 

        10       Business Review from the State Comptroller.

        11       It's as follows:  "The state is limping along

        12       week to week without a budget, hoping there

        13       will be enough money to pay the bills.  We're

        14       on a long trip with no map, no directions, and

        15       no GPS.  This is no way to responsibly operate

        16       a state.  We're already mired in a fiscal

        17       crisis."

        18                  I vote in the negative,

        19       Mr. President.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Senator Saland to be recorded in the negative.

        22                  Senator DeFrancisco, to explain his

        23       vote.

        24                  SENATOR DeFRANCISCO:    Yes, very

        25       briefly.



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         1                  I just -- the 12th extender -- you

         2       know, I don't know what to say, actually.  You

         3       know, to me it's personally embarrassing to

         4       come here each week and ask legitimate

         5       questions and get a sliding-scale answer that

         6       has no relationship to the answers the

         7       previous week.

         8                  But what what's even more troubling

         9       today to me is there's no question that the

        10       Democrat conference, the majority, has

        11       discussed the progress of negotiations that

        12       have gone on.  And there's no doubt that

        13       there's information that's being provided to

        14       the Democrat majority Senators who represent

        15       virtually, say, about half of the state, a

        16       little more than half of the state.  And they

        17       know what the options are, and they know

        18       what's being discussed, and they know what

        19       direction this process is going and what taxes

        20       and additional spending that's being proposed.

        21                  And it's just an embarrassment that

        22       we don't have this out in public and that the

        23       other half of the community of the State of

        24       New York is left totally in the dark, just

        25       waiting for the next nonsensical explanation



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         1       and the next nonanswers and ultimately a final

         2       take-it-or-leave-it plan.  Because there are

         3       options, and those options should be discussed

         4       publicly.

         5                  So I'm going to vote no again this

         6       week and see what the next few days bring to

         7       us and whether it will be more so-called

         8       revenue enhancers.  In my community, they're

         9       determined to be taxes and borrowing and fees.

        10                  Thank you.  I vote no.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator DeFrancisco to be recorded in the

        13       negative.

        14                  Announce the results.

        15                  THE SECRETARY:    Those recorded in

        16       the negative on Calendar Number 1066 are

        17       Senators Alesi, Bonacic, DeFrancisco, Farley,

        18       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        19       O. Johnson, Lanza, Larkin, LaValle, Leibell,

        20       Libous, Little, Marcellino, Maziarz, Nozzolio,

        21       Padavan, Ranzenhofer, Robach, Saland, Seward,

        22       Skelos, Volker, Winner and Young.

        23                  Ayes, 33.  Nays, 28.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       The bill is passed.



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         1                  The Secretary will now put before

         2       the house Calendar Number 1067.

         3                  THE SECRETARY:    Calendar Number

         4       1067, by the Senate Committee on Rules, Senate

         5       Print 8285, an act to amend Chapter 405 of the

         6       Laws of 1999 amending the Real Property Tax

         7       Law.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator Klein, on the bill.

        10                  SENATOR KLEIN:    Thank you,

        11       Mr. President.

        12                  I rise in support of I believe this

        13       very important piece of legislation.  Since

        14       I've come to the Legislature, one of the

        15       issues that I've consistently worked on was

        16       the enforcement of our Tax Laws -- more

        17       specifically, the untaxed cigarettes which

        18       were making their way around the State of

        19       New York.  I'm very proud of the fact that I

        20       was able to accomplish most of my goals with

        21       bipartisan support.  Earlier in my career,

        22       along with Senator Libous, we were able to

        23       curtail a lot of the bootlegging or untaxed

        24       cigarettes that came to this state from

        25       low-tax states around the nation.



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         1                  More recently, when I was in the

         2       Assembly, together with Senator Fuschillo we

         3       wrote landmark legislation which banned the

         4       sale of cigarettes over the Internet and

         5       through mail order.  Unfortunately, this law

         6       was written some time ago.  It still hasn't

         7       been enforced.  While UPS and Federal Express

         8       agreed through various agreements not to

         9       deliver these cigarettes, the United States

        10       Postal Service unfortunately was still

        11       delivering these cigarettes because we

        12       couldn't regulate them.

        13                  Earlier in the year -- actually,

        14       several months ago -- the federal government,

        15       the President signed what's known as the PACT

        16       Act, which now prohibits the delivery of

        17       cigarettes through the United States Postal

        18       Service.  So now, in essence, the trade of

        19       Internet cigarettes is I think going to be

        20       curtailed in New York, which is very important

        21       for several reasons.

        22                  First are health reasons.  We found

        23       time and time again, through various sting

        24       operations, that young people were able to buy

        25       cigarettes through the Internet, no questions



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         1       asked, and that's a problem.  Because one of

         2       the things that we need to do to make sure

         3       that young people don't smoke is first of all

         4       have verification of their age and also make

         5       sure that they don't have a source of cheap

         6       cigarettes, which of course are untaxed

         7       cigarettes.

         8                  Luckily, that has been

         9       accomplished.  And I think what we're doing

        10       here today is sort of the second leg.  What

        11       we're doing here finally -- and I think

        12       Governor Paterson and the Governor's counsel

        13       Peter Kiernan deserve a tremendous amount of

        14       credit.  I think what Governor Paterson is

        15       doing here today through this bill could very

        16       well be one of his legacies, because prior

        17       Governors were not able to get something as

        18       simple as enforce our tax laws, also making

        19       sure that young people don't have access to

        20       cheap smokes, making sure that no one has

        21       access to tax-free cigarettes in the State of

        22       New York.  So I think this is very important.

        23                  It's important because clearly when

        24       you look at the numbers and you look at the

        25       statistics, the way we're going to reduce



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         1       smoking in this state is by raising taxes.

         2       There's a correlation that every time we raise

         3       the tax on cigarettes, anywhere from 5 to

         4       10 percent of the smoking public quits.  The

         5       problem is we haven't been seeing those large

         6       numbers of people quitting smoking because

         7       they had access to tax-free cigarettes over

         8       the Internet and by visiting their local

         9       Native American reservation.

        10                  Today we will finally end that, and

        11       I think we're going to do it in rather simple

        12       ways.  The legislation does two things.  First

        13       of all, come September 1st we're giving the

        14       opportunity to Native American reservations

        15       around the state to opt into a coupon program.

        16       Which means when a Native American has these

        17       coupons, they can buy cigarettes tax-free.

        18                  This I think holds true with the

        19       United States Supreme Court decision, which is

        20       the seminal case, United States vs. Attea,

        21       which specifically states -- and it is still

        22       the law of the land -- when Native Americans

        23       sell cigarettes to non-Native Americans, they

        24       must collect the tax.  So we're giving them

        25       the opportunity to purchase cigarettes



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         1       tax-free if indeed they're Native Americans.

         2                  The other portion, if the Native

         3       Americans choose not to buy into this coupon

         4       program, they can move into something that's

         5       called prior approval, which will also take

         6       effect on September 1st.  The regulations have

         7       already been written.  There's already counts

         8       which state how many Native Americans in each

         9       tribe are smokers.  And they will be able to

        10       get, again, stamped cigarettes -- because now

        11       the law in the land is there's no cigarettes

        12       that can be sold in the State of New York

        13       without a New York State tax stamp -- that

        14       they will get these tax stamps and they will

        15       actually be reimbursed through the wholesaler.

        16                  In other words, they actually don't

        17       have to pay the tax, we're now putting the

        18       burden on the wholesaler, which is the tax

        19       collector, to be able to make sure that they

        20       don't sell above and beyond the number of

        21       Native Americans who qualify to get tax-free

        22       cigarettes on the reservation.

        23                  Again, I think this has certainly

        24       been a long haul, but I think an important

        25       one.  During tough fiscal times I think it's



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         1       incumbent upon each and every one of us to do

         2       every possible that we put more money back in

         3       people's pockets.  And certainly this is

         4       something we should have dealt with a long

         5       time ago.

         6                  I know it affects so many upstate

         7       communities where anyone who's in close

         8       proximity to a Native American reservation --

         9       more specifically, a convenience store or a

        10       gas station -- just can't compete.  They can't

        11       compete with someone who is not obeying the

        12       tax laws.  They can't compete with someone who

        13       is not charging the very high tax that we have

        14       on cigarettes in the State of New York.

        15                  And by the way, when you go into a

        16       local convenience store, when you go to a

        17       bodega or a grocery store downstate, the three

        18       things that keep these establishments going

        19       are cigarettes, beer and lottery.  So if

        20       you're going to get your cigarettes, you're

        21       certainly not going to go to another place to

        22       get your lottery or another place to get your

        23       beer or your groceries.

        24                  So I think this will actually, I

        25       think, level the playing field for upstate



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         1       communities whose convenience stores just

         2       couldn't compete with this unfair source of

         3       contributions which weren't taking place.

         4                  So again, I want to thank the

         5       Governor.  I want to thank my colleagues.

         6       This is something that's been worked on for a

         7       long time.  I do not consider this balancing

         8       the budget on the backs of Native Americans or

         9       anyone else.  What we're merely doing today is

        10       enforcing our laws.  We're a land of laws.

        11       And today I think we're taking a very

        12       important step to make sure those laws are

        13       being enforced and in the process get some

        14       very needed revenue.

        15                  I vote yes, Mr. President.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Thank you very much, Senator Klein.

        18                  Senator Winner.

        19                  SENATOR WINNER:    Thank you,

        20       Mr. President.  Will Senator Klein yield to a

        21       few questions?

        22                  SENATOR KLEIN:    Yes,

        23       Mr. President.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator Klein will yield, Senator Winner.



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         1                  SENATOR WINNER:    Senator Klein,

         2       in this legislation as it relates to the tax

         3       agreements with Indian nations or tribes -- I

         4       believe it's on page 10 -- there is language

         5       in there with regard to stipulations in court

         6       of agreements that would be entered into with

         7       litigating parties where there is not a

         8       necessity of having an agreement of the

         9       Legislature with respect to the terms of those

        10       stipulations.

        11                  My question to you, Senator Klein,

        12       is that within your legislative intent is

        13       there any intent here to allow a stipulation,

        14       a part of which may be dealing with an

        15       agreement with respect to the collection of

        16       taxes on sales on Indian reservations that may

        17       contain other provisions of that agreement,

        18       whether it be the settlement of real property

        19       tax claims, land claims, the approval of

        20       gaming compacts, sales tax on gasoline sales

        21       or the like, that may be a part of an overall

        22       stipulation in court between parties that may

        23       be affecting other areas of the state but may

        24       be not directly related to the collection of

        25       taxes on Indian reservations but it may be a



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         1       part of that stipulation.

         2                  Under those circumstances, Senator

         3       Klein, is there any intent that that

         4       stipulation would be entered into without the

         5       approval of the Legislature that may approve

         6       those unrelated items?

         7                  SENATOR KLEIN:    Through you,

         8       Mr. President, I assume, Senator Winner,

         9       you're referring to the section of the bill

        10       which states if an Indian nation or tribe

        11       enters into an agreement with the state and

        12       the Legislature approves such agreement or if

        13       an Indian nation enters into an agreement with

        14       the state, and then it goes on, that is part

        15       of a stipulation or order approved by a

        16       federal court of competent jurisdiction

        17       regarding the sale and distribution of

        18       cigarettes.

        19                  I think it specifically states here

        20       there's one or two ways that the bill we're

        21       passing today would I guess effectively be

        22       null and void.  First, if between now and

        23       September 1st the Governor, along with the

        24       Native American tribes, enters into an

        25       agreement or compact which has to be ratified



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         1       by the Legislature, that would forgo the need

         2       for this legislation.

         3                  Two, if there was a lawsuit brought

         4       after we pass this legislation and a judge

         5       stipulated which would change the terms of

         6       this legislation, again, this would be null

         7       and void.

         8                  But again, to your question on land

         9       claims, the legislation specifically states

        10       that that would only be the case when dealing

        11       with cigarettes, not land claims or anything

        12       else.

        13                  SENATOR WINNER:    Including gaming

        14       compacts.

        15                  SENATOR KLEIN:    Correct.

        16                  SENATOR WINNER:    May I ask the

        17       Senator to yield to another question.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator, will you continue to yield for a

        20       question from Senator Winner?

        21                  SENATOR KLEIN:    Yes.

        22                  SENATOR WINNER:    Senator, if I

        23       could give you a hypothetical question or a

        24       set of facts, let's say Tribe X were to bring

        25       some litigation as relates to the collection



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         1       of taxes as to the sale of the cigarettes on

         2       their reservation properties or elsewhere, and

         3       within a stipulation entered into between the

         4       parties between the state and Tribe X there

         5       was a settlement or an agreement to settle

         6       with regard to the collection of taxes but

         7       also part of that settlement were to say that

         8       in addition you're going to have a compact to

         9       be allowed to have gaming on your reservation

        10       property or elsewhere, would that stipulation

        11       part dealing with gaming still be subject to

        12       legislative approval?

        13                  SENATOR KLEIN:    Yes, it would.

        14                  SENATOR WINNER:    Thank you.

        15                  On the bill, Mr. President.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Winner, on the bill.

        18                  SENATOR WINNER:    Thank you,

        19       Mr. President.

        20                  I'm pleased with the answers to

        21       those questions setting forth legislative

        22       intent by Senator Klein.

        23                  But I do take significant exception

        24       to his characterization that this will somehow

        25       level the playing field as it relates to



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         1       making a more even competitive field to our

         2       convenience store businesses as it relates to

         3       the sale of cigarettes in the State of

         4       New York.

         5                  Notwithstanding the Indian issue,

         6       the fact of the matter is that along the

         7       border where I happen to represent, on the

         8       Pennsylvania border, increasing the tax on

         9       cigarettes at the significant level that it

        10       does may provide for some deterrent in sales

        11       to New York residents who might want to shop

        12       in those New York convenience stores, but I

        13       assure you it will provide no deterrent

        14       whatsoever and provide an incentive to drive

        15       them across the border into Pennsylvania,

        16       which is only a couple of miles away, in order

        17       to buy cigarettes with reckless abandon, as

        18       well as lottery tickets, gasoline, beer and

        19       all the other items, and therefore making

        20       those convenience stores even less of a

        21       reasonable venture to enter into than they are

        22       right now.

        23                  So you don't have to be next to an

        24       Indian reservation to have that issue of

        25       disparity in prices to be a reality, you have



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         1       to be anywheres along the border of the state

         2       of Pennsylvania, the state of Vermont, the

         3       state of Connecticut, or the state of

         4       Massachusetts in order to know you can get

         5       your cigarettes cheaper right across the

         6       border.

         7                  So this will hurt my community, my

         8       small businesses that are on the border by

         9       driving those customers across the border to

        10       shop cheaper for not only cigarettes but for

        11       gasoline, for lottery, for everything, because

        12       the taxes are just lower in those other

        13       states.

        14                  And this is another hit to regions

        15       in upstate who are struggling economically to

        16       compete.  And when you add it all on top of

        17       all of the other things we're doing to them,

        18       like eliminating the Empire Zone and charging

        19       more for sulfur home heating oil and on and on

        20       and on and the like, you'll know that we're

        21       not doing a great deal of favor to those of us

        22       in the upstate regions who have to compete

        23       with these noncompetitive types of atmosphere

        24       that we have in New York.

        25                  So for those reasons,



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         1       Mr. President, I am going to be voting no.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Senator Winner will be recorded in the

         4       negative.

         5                  Senator Diaz.

         6                  SENATOR DIAZ:    Thank you,

         7       Mr. President.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       On the bill, Senator Diaz?

        10                  SENATOR DIAZ:    On the bill.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       On the bill, Senator Diaz.

        13                  SENATOR DIAZ:    As you remember,

        14       Mr. President and ladies and gentlemen, last

        15       week I was the only Democratic Senator that

        16       voted no on the extender.  And I expressed

        17       myself last week stating the reason why I was

        18       voting no, because there was too much cuts,

        19       hurting the people that I was supposed to be

        20       protecting.

        21                  And I said last week that I would

        22       no longer vote as long as there is cuts.  And

        23       I also said last week that I was not a crazy

        24       person saying don't cut without -- without

        25       giving some solution.  And I gave three last



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         1       week, three solutions about -- on how to get

         2       money.  One of them -- and I also said that it

         3       don't take anyone to go to Harvard or to Yale

         4       University to see my solutions.

         5                  And I said that this black guy from

         6       Puerto Rico, with kinky hair and broken

         7       English, was giving you guys the solution.

         8       And I said that one was to purchase

         9       prescription drugs from Canada, the other one

        10       was to force the credit card companies to send

        11       the taxes that are owed to the state directly

        12       to the state and not to the merchants.

        13                  And the third one, I said that to

        14       impose taxes on the Indian reservation

        15       cigarettes.  Today I am proud when I see that

        16       we're moving on it.  We are moving on taxes on

        17       Indian reservations, and we started to work on

        18       that behalf.

        19                  I still would like to see what's

        20       going to be done with the credit card

        21       companies and taxes and with the purchasing of

        22       prescription drugs from Canada.

        23                  So today, today I'm voting yes.

        24       Next week we don't even know what's going to

        25       happen.  Next week we shall wait to see next



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         1       week.  Because what tomorrow might bring,

         2       nobody knows.  Today is a good day.  Today

         3       there is no cuts.  Today we are voting on

         4       taxes and cigarettes, and today also we are

         5       voting on later, maybe, on putting back the

         6       MetroCard for the students.  So it's a good

         7       day, a good day for my community, a good day

         8       for my constituents, a good day.

         9                  So I'm voting yes today.  And

        10       again, I will repeat myself again, don't take

        11       this vote yes that tomorrow, that next week

        12       will be yes.  Next week we shall wait to see

        13       what next week will bring.  But meanwhile,

        14       Mr. President and ladies and gentlemen, today

        15       is a good day to vote yes.

        16                  Thank you.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Diaz will be recorded in the

        19       affirmative.

        20                  Senator Padavan.

        21                  SENATOR PADAVAN:    I'd like to

        22       address the other two parts of this bill.

        23                  One of them deals with Quick Draw

        24       and its extension.  But if you read the

        25       wording, very clearly what it does is reaffirm



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         1       all the eliminations of the restrictions that

         2       existed on Quick Draw -- that the place had to

         3       have a certain percentage of food, that it had

         4       to be of certain size.  And the goal there

         5       when the Quick Draw law was initially enacted

         6       was to restrict it from bodegas and small

         7       little establishments on every corner in our

         8       residential communities.  All those

         9       restrictions are now gone and reaffirmed in

        10       this bill.

        11                  That's a big mistake.  It brings

        12       what I call or labeled at that time "video

        13       crack" into every neighborhood, on every

        14       street corner and any venue you could possibly

        15       think of.  That, in my view, is not only

        16       unwise but immoral.

        17                  The other part of this bill deals

        18       with the Loft Law.  And we discussed this the

        19       other day, and I'm not quite sure why it's now

        20       in this bill.  But I described the Loft Law,

        21       for those who are not familiar with it, as a

        22       worthwhile effort many years ago to

        23       accommodate artists, craftsmen who had

        24       occupied the second level of certain buildings

        25       in certain limited areas in the City of



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         1       New York, primarily in Manhattan and in

         2       Brooklyn, and turned them, in addition to

         3       their workshop, into their residence.  It was

         4       a way to accommodate them, and it was

         5       reasonable and it was appropriate.

         6                  What this bill, the bill we

         7       discussed the other day, does is it opens it

         8       up throughout the five boroughs broadly, and

         9       in the process totally ignores in many

        10       instances local zoning and the building code,

        11       which is fundamentally a fire safety code,

        12       presenting some very hazardous potential

        13       situations throughout the City of New York, an

        14       issue that many of us from the city have

        15       talked about and tried to address in a variety

        16       of ways.

        17                  Secondly, what it does is undermine

        18       the city's effort to promote small

        19       manufacturing and industrial companies and

        20       initiatives, to attract the small businesses

        21       with perhaps 10, 20, 30 employees in different

        22       parts of the city to provide employment, to

        23       provide economic development, and therefore to

        24       provide income.  And so by eliminating those

        25       facilities, those potential locations, we



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         1       undermine that effort as well.

         2                  So those two other portions of this

         3       bill, I think alone, aside from what's already

         4       been discussed, should be reason enough to

         5       vote no, and I do so.

         6                 Thank you.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Padavan, thank you very much.

         9                  Are there any other Senators who

        10       wish to be heard on the bill?  Seeing none,

        11       the debate is closed.

        12                  I apologize.  Senator Bonacic, on

        13       the bill.

        14                  SENATOR BONACIC:    Thank you,

        15       Mr. President.

        16                  You know, when we keep raising the

        17       taxes, I'm one of those Senators that lives

        18       near -- right by the Delaware River.  We have

        19       Pennsylvania, we have Jersey.  And all the

        20       small businesses are taking a beating now by

        21       our tax policies.  On gasoline alone, if they

        22       across the bridge to Pennsylvania they'll get

        23       about a 12-cent break.  If they go to

        24       New Jersey they get an 18-cent break.

        25                  Now when we raise the taxes on



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         1       cigarettes to the highest in the nation and we

         2       can beat our chests that we think it's going

         3       to stop smoking, be a deterrent to smoking and

         4       have health benefits, what has happened is

         5       they go on the black market and buy the

         6       cigarettes, they go over to New Jersey and buy

         7       the cigarettes, and they go to Pennsylvania

         8       and buy the cigarettes.  So there's a lot of

         9       negatives that are attached when we raise the

        10       products on gasoline, on cigarettes, on our

        11       small businesses, for all those Senate

        12       districts that border the other states.

        13                  For those reasons, I'm voting no.

        14       Thank you, Mr. President.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Thank you, Senator Bonacic.

        17                  Senator Bonacic will be recorded in

        18       the negative.

        19                  Seeing no other Senators wishing to

        20       be heard, the debate is closed.

        21                  The Secretary will please ring the

        22       bells.  I ask all Senators to please join us

        23       in the chamber.

        24                  Before we read the last section,

        25       the Secretary will read the bill for



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         1       substitution purposes.

         2                  THE SECRETARY:    In relation to

         3       Calendar Number 1067, Senator C. Kruger moves

         4       to discharge, from the Committee on Finance,

         5       Assembly Bill Number 11515 and substitute it

         6       for the identical Senate Bill Number 8285,

         7       Third Reading Calendar 1067.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Substitution ordered.

        10                  Read the last section.

        11                  THE SECRETARY:    Section 3.  This

        12       act shall take effect immediately.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Call the roll.

        15                  (The Secretary called the roll.)

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Adams, to explain his vote.

        18                  SENATOR ADAMS:    Thank you,

        19       Mr. President.

        20                  I just wanted to indicate that I

        21       think that Senator Klein has done a lot around

        22       this bill, and I commend him for his level for

        23       of passion to looking to this issue.  He and I

        24       just are on the opposite side of this issue.

        25                  And I think that when you walk



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         1       through the Capitol and you see a celebratory

         2       photo over the first indigent person killed in

         3       New York State, that is the indicator of how

         4       far we don't understand this issue.  I don't

         5       believe we should be taxing Native Americans.

         6       This is their land, we are on their land, and

         7       I think it's wrong for us to tax Native

         8       Americans.

         9                  I am going vote for this bill

        10       because I don't want to shut down government.

        11       I think it's imperative that we move ahead

        12       with this issue.  But it is time for us to

        13       come to clear terms on how we treat Native

        14       Americans in the State of New York, if not in

        15       this country.  But I will be voting aye.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Adams to be recorded in the

        18       affirmative.

        19                  Senator Savino.

        20                  SENATOR SAVINO:    Thank you,

        21       Mr. President.  I'll be brief because I know

        22       we have a lot ahead of us.

        23                  First, I want to congratulate

        24       Senator Klein and the Governor for finally

        25       developing a solution to a problem that this



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         1       state has been grappling with for a long time.

         2                  And secondly, I want to state, as a

         3       representative of a border community, like

         4       Senator Bonacic and Senator Winner, you know,

         5       I'm particularly sensitive to the fact that

         6       there are states right around us that sell

         7       things cheaper, whether it be gas or liquor or

         8       cigarettes, or they don't have sales tax on

         9       clothing and shoes.  And I'm generally very

        10       critical of decisions that put us at a

        11       competitive disadvantage with other states.

        12                  But with respect to cigarettes,

        13       it's really hard to defend cheap cigarettes.

        14       You know, I started smoking when I was 12,

        15       when cigarettes were 50 cents a pack.  I quit

        16       on August 30, 1993.  They were $2.15.  The

        17       cost never really mattered.  And during the

        18       period of time I was a nonsmoker, I was the

        19       most obnoxious ex-smoker you ever met.  You

        20       couldn't come near me, you couldn't smoke near

        21       me, you couldn't smoke in my house, near my

        22       car.

        23                  And unfortunately, like most

        24       ex-smokers, I always knew that the day could

        25       come when I might fall victim to that



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         1       temptation.  And on August 17, 2007, in a fit

         2       of temporary insanity, I put a cigarette in my

         3       mouth, I lit it, and I said, "Oh, my God, this

         4       is like heroin."

         5                  That's a fact.  Cigarette smoking

         6       is more addictive than any other substance.

         7       And that $1.60 a pack extra may not make as

         8       many people quit as we would like, but I will

         9       tell you what it will do.  It will prevent

        10       that next 12-year-old from buying cigarettes.

        11       And for that reason, I support this increased

        12       tax which makes us slightly less competitive

        13       with New Jersey.  I vote aye.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Senator Savino will be recorded in the

        16       affirmative.

        17                  Senator Hassell-Thompson, to

        18       explain her vote.

        19                  SENATOR HASSELL-THOMPSON:    Thank

        20       you, Mr. President.  I rise to support the

        21       contention of Senator Adams, in that I too

        22       would not have ever voted for this bill if it

        23       were freestanding.

        24                  And this bill has absolutely

        25       nothing to do with health and smoking, but it



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         1       has everything to do with revenue-generating

         2       activities on the -- to the extent that it is

         3       going have a deleterious effect not on those

         4       who smoke in the Native American communities,

         5       but on their ability to continue to care for

         6       their nation.

         7                  If anyone has been paying

         8       attention, they have gone from having serious

         9       issues of substance abuse, of alcoholism and

        10       homelessness, to being self-sufficient.  And

        11       they've been successful in doing that with the

        12       revenues that they have been able to collect

        13       based upon the treaties that have allowed them

        14       to continue to do so.

        15                  Therefore, I am in total

        16       disagreement with this bill.  But because it

        17       is a part of a budget bill that I am forced to

        18       sign, I want to go on record as saying that I

        19       am totally opposed to the taxing of

        20       Native Americans.

        21                  Thank you, Mr. President.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Hassell-Thompson, how do you vote?

        24                  SENATOR HASSELL-THOMPSON:    I

        25       already told you.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Senator Hassell-Thompson, you asked to explain

         3       your vote.

         4                  SENATOR HASSELL-THOMPSON:    I am

         5       voting in support of the bill, under duress.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       Senator Hassell-Thompson to be recorded in the

         8       affirmative.

         9                  Senator Stachowski.

        10                  SENATOR STACHOWSKI:    Yes,

        11       Mr. President.  As Senator Adams and Senator

        12       Hassell-Thompson both mentioned, I too believe

        13       that this should have been -- the Indian tax

        14       collection should have been negotiated.  I

        15       feel that they have treaties that we should

        16       respect.

        17                  I think that there's still a

        18       question whether this particular collection is

        19       part of the treaty.  I know that there's one

        20       court decision that says we should be

        21       collecting the money, but I think there's a

        22       probability that this is going to end up in

        23       court again and this amount of money is not

        24       going to be collected.

        25                  Unfortunately, it's going to cause



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         1       ill feelings.  I don't know if we'll be able

         2       to get negotiations done.  And there's a

         3       series of other issues that are outstanding

         4       that we should be settling all of these issues

         5       with the various Indian nations, in

         6       particular, in my area, the Seneca nation.

         7                  But because this is part of a

         8       budget extender, I'm going to have to support

         9       it.  But I have to say that I'm very

        10       disappointed that we didn't take this through

        11       negotiations and work this out in a manner

        12       that would be satisfactory not only to us but

        13       to the sovereign nation of the Seneca Indians

        14       also.

        15                  Thank you.  I vote aye.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Stachowski will be recorded in the

        18       affirmative.

        19                  Senator Diaz, to explain his vote.

        20                  SENATOR DIAZ:    Thank you,

        21       Mr. President.

        22                  I really sympathize with Senator

        23       Bonacic and those of you that are talking

        24       about that you don't like taxes for the

        25       Indians and upstate.  But I would invite all



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         1       of you to come to the City of New York and

         2       smell the coffee.  And you'll see how

         3       oppressed the people that I serve are.

         4                  In the City of New York we have

         5       taxes on milk, taxes on chewing gum, taxes on

         6       parking meters, double parking, rent

         7       increases, taxes on rice and beans when you

         8       buy it, taxes on student loans, taxes on

         9       student lunch, taxes on subway fare increase,

        10       taxes on taxes.  Taxes in restaurants, taxes

        11       in theaters.  And you're telling me that I'm

        12       not going to vote for taxes in the Indian

        13       reservation?  Come to the city and see how my

        14       people are oppressed with taxes.

        15                  So today we have been fair, today

        16       we are being treated with decency when there

        17       are no cuts.  But it's about time that we put

        18       taxes in the Indian reservations.  With all

        19       due respect, they use the same streets that we

        20       use, they use the same services that we use,

        21       they use the same hospitals that we use, they

        22       use everything equally, such as the social

        23       services departments.  So in the City of

        24       New York, you want to talk about oppressing

        25       and taxes and increases?  Come to my district



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         1       and you will see how it is.

         2                  That's how I'm voting yes, proudly,

         3       and congratulate Governor Paterson and my

         4       Bronx colleague Senator Klein.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Diaz, how do you vote?

         7                  SENATOR DIAZ:    I'm voting yes --

         8       no, I'm voting si.

         9                  Thank you.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Diaz to be recorded in the

        12       affirmative.

        13                  Senator DeFrancisco, to explain his

        14       vote.

        15                  SENATOR DeFRANCISCO:    Yes, I'm

        16       going to vote in the negative.

        17                  Just so there's no confusion by

        18       those who are protesting that this is somehow

        19       linked to the extender, therefore they have no

        20       choice but to vote for this, it's not the

        21       case.  We've already passed the extender, or I

        22       should say you already passed the extender.

        23       This is just a piece of the rest of the

        24       piecemeal budget process.  And if it's

        25       rejected, government is still going to



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         1       operate, just as it did under the rest of the

         2       extender bill.

         3                  So this bill has good aspects to

         4       it, and I think taxing the cigarettes on

         5       Indian sales is a good part.  But it's a very

         6       bad bill in increasing taxes and making our

         7       businesses much more noncompetitive, which is

         8       the least thing we need right now.

         9                  So those who really want to

        10       reconsider their vote on this tax bill here,

        11       for whatever reason, could do so and rest

        12       assured that it has nothing to do with

        13       stopping government.  It just means that this

        14       little piecemeal piece of this little

        15       piecemeal process ain't going to happen today.

        16       And maybe there's other alternatives, as we've

        17       been saying all along.

        18                  I vote no.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator DeFrancisco to be recorded in the

        21       affirmative.

        22                  Senator Perkins, to explain his

        23       vote.

        24                  SENATOR PERKINS:    Thank you very

        25       much, Mr. President.



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         1                  I just want to share the concerns

         2       of those who are expressing problems with the

         3       way in which we associate with the Indians and

         4       how this particular matter to some extent is

         5       being addressed on their backs.  Nevertheless,

         6       I do recognize that it's important that we

         7       raise this revenue, as well as it's important

         8       in our communities where we have the

         9       possibility, through this, to curb the use of

        10       smoking.

        11                  I believe that it does have some

        12       potential in that regard.  The more it costs,

        13       the less likely people may be inclined to use

        14       it.  And as Senator Savino pointed out, the

        15       next 12-year-old or teenager might hesitate in

        16       terms of buying a pack of cigarettes.  And

        17       from that point of view, this is very, very

        18       important to me, especially with the high

        19       rates of cancer that are affecting especially

        20       communities of color.  Cigarette smoking

        21       contributes significantly to that.

        22                  But I just want to underscore

        23       Senator Adams' point about our relationship

        24       with the Indian nations and about the need for

        25       us to be working better with them and not use



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         1       them in the ways that we've abused them.

         2                  In this particular moment,

         3       nevertheless I'm supporting the bill.  I vote

         4       aye.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Perkins to be recorded in the

         7       affirmative.

         8                  Senator Maziarz, to explain his

         9       vote.

        10                  SENATOR MAZIARZ:    Thank you very

        11       much, Mr. President.  Just very briefly to

        12       explain my vote.

        13                  I don't understand, people say

        14       they're against taxing the Native Americans

        15       and they vote to tax the Native Americans.

        16                  Just a few weeks ago there was a

        17       delegation up here, and I thought they did an

        18       excellent job, from the Seneca Nation.  They

        19       met with several of my colleagues on that side

        20       of the aisle, and I think there was general

        21       agreement that there was some understanding.

        22       Well, I can tell you, I can't speak for the

        23       Seneca Nation, but after they see this vote,

        24       they're going to feel like they were once

        25       again, once again lied to by representatives



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         1       of the State of New York.

         2                  Make no mistake about it, if the

         3       Governor -- and I'm not sure that he will this

         4       time really, really, really carry out the

         5       collection efforts.  But if he does, in

         6       September there will be a clash of cultures

         7       here in this state, probably in the Southern

         8       Tier.  And I suspect, and I hope that I'm

         9       wrong, that there may be violence and that

        10       there will be people who will get hurt.  And

        11       the reason that that will happen, that clash

        12       of cultures, is because of the vote that took

        13       place here today.

        14                  I vote in the negative,

        15       Mr. President.  Thank you.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Thank you, Senator Maziarz.

        18                  Senator Maziarz will be recorded in

        19       the negative.

        20                  Announce the results.

        21                  THE SECRETARY:    Those recorded in

        22       the negative on Calendar Number 1067 are

        23       Senators Alesi, Bonacic, DeFrancisco, Farley,

        24       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        25       O. Johnson, Lanza, Larkin, LaValle, Leibell,



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         1       Libous, Little, Marcellino, Maziarz, McDonald,

         2       Nozzolio, Padavan, Ranzenhofer, Robach,

         3       Saland, Seward, Skelos, Volker, Winner and

         4       Young.

         5                  Ayes, 32.  Nays, 29.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       The bill is passed.

         8                  Senator Klein, that completes the

         9       reading of the controversial Supplemental

        10       Calendar Number 67A.

        11                  Senator Klein.

        12                  SENATOR KLEIN:    Mr. President, I

        13       would like to take up Supplemental Calendar

        14       67B.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       The Secretary will read.

        17                  THE SECRETARY:    Calendar Number

        18       1068, by the Senate Committee on Rules, Senate

        19       Print 8293, an act to amend Part D of a

        20       chapter of the Laws of 2010.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Klein.

        23                  SENATOR KLEIN:    Mr. President, is

        24       there a message of appropriation at the desk?

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Klein, there is a message of necessity

         2       at the desk.

         3                  SENATOR KLEIN:    Mr. President, I

         4       move that we accept the message at this time.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       The question is on the acceptance of the

         7       message of necessity.  All those in favor

         8       please signify by saying aye.

         9                  (Response of "Aye.")

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Opposed, nay.

        12                  (No response.)

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       The message is accepted.

        15                  The Secretary will read the last

        16       section.

        17                  THE SECRETARY:    Section 2.  This

        18       act shall take effect on the same date as

        19       Part D of a chapter of the Laws of 2010.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Call the roll.

        22                  (The Secretary called the roll.)

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Announce the results.

        25                  THE SECRETARY:    Those recorded in



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         1       the negative on Calendar Number 1068 are

         2       Senators Alesi, Bonacic, DeFrancisco, Farley,

         3       Flanagan, Fuschillo, Golden, Griffo, Hannon,

         4       O. Johnson, Lanza, Larkin, LaValle, Leibell,

         5       Libous, Little, Marcellino, Maziarz, McDonald,

         6       Nozzolio, Padavan, Ranzenhofer, Robach,

         7       Saland, Seward, Skelos, Volker, Winner and

         8       Young.

         9                  Ayes, 32.  Nays, 29.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       The bill is passed.

        12                  Senator Klein, that completes the

        13       reading of noncontroversial Supplemental

        14       Calendar 67B.

        15                  SENATOR KLEIN:    Mr. President,

        16       can we return to Supplemental Calendar 67A.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Returning to Supplemental Calendar 67A,

        19       Senator Klein.

        20                  The Secretary will read beginning

        21       with Calendar Number 1041.

        22                  THE SECRETARY:    In relation to

        23       Calendar Number 1041, Senator C. Kruger moves

        24       to discharge, from the Committee on Finance,

        25       Assembly Bill Number 9700D and substitute it



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         1       for the identical Senate Bill Number 6600C,

         2       Third Reading Calendar 1041.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Read the last section.

         5                  SENATOR LIBOUS:    Lay it aside.

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       The bill is laid aside.

         8                  THE SECRETARY:    In relation to

         9       Calendar Number 1062, Senator C. Kruger moves

        10       to discharge, from the Committee on Finance,

        11       Assembly Bill Number 9705D and substitute it

        12       for the identical Senate Bill Number 6605C,

        13       Third Reading Calendar 1062.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Substitution ordered.

        16                  Read the last section.

        17                  SENATOR LIBOUS:    Lay it aside.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       The bill is laid aside.

        20                  THE SECRETARY:    In relation to

        21       Calendar Number 1063, Senator C. Kruger moves

        22       to discharge, from the Committee on Finance,

        23       Assembly Bill Number 9706C and substitute it

        24       for the identical Senate Bill Number 6606B,

        25       Third Reading Calendar 1063.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Substitution ordered.

         3                  The Secretary will read.

         4                  THE SECRETARY:    Calendar Number

         5       1063, Assembly Budget Bill, Assembly Print

         6       Number 9706C, an act to amend the Executive

         7       Law and others.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Read the last section.

        10                  SENATOR LIBOUS:    Lay it aside.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       The bill is laid aside.

        13                  THE SECRETARY:    In relation to

        14       Calendar Number 1064, Senator C. Kruger moves

        15       to discharge, from the Committee on Finance,

        16       Assembly Bill Number 9709C and substitute it

        17       for the identical Senate Bill Number 6609B,

        18       Third Reading Calendar 1064.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Substitution ordered.

        21                  THE SECRETARY:    Calendar Number

        22       1064, Assembly Budget Bill, Assembly Print

        23       Number 9709C, an act intentionally omitted

        24       (Part A).

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Read the last section.

         2                  SENATOR LIBOUS:    Lay it aside.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       The bill is laid aside.

         5                  THE SECRETARY:    Calendar Number

         6       1065, by Senator Aubertine, Senate Print 8065,

         7       an act to amend the Economic Development Law

         8       and the Public Authorities Law.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Read the last section.

        11                  THE SECRETARY:    Section --

        12                  SENATOR LIBOUS:    Lay it aside.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       The bill is laid aside.

        15                  Senator Klein, that completes the

        16       reading of noncontroversial Supplemental

        17       Calendar 67A.

        18                  SENATOR KLEIN:    Mr. President, at

        19       this time can we please go to a reading of the

        20       controversial supplemental calendar.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       The Secretary will ring the bell.  Members are

        23       all to come to the chamber for the reading of

        24       the controversial Supplemental Calendar 67A.

        25                  Again, I ask all Senators to please



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         1       stay in the chamber or immediately outside so

         2       when we call and ring the bells for a vote we

         3       can immediately have you come in for voting.

         4                  The Secretary will place before the

         5       house Calendar Number 1041.

         6                  The Secretary will read.

         7                  THE SECRETARY:    Calendar Number

         8       1041, substituted earlier, Assembly Budget

         9       Bill, Assembly Print Number 9700D, an act

        10       making appropriations for the support of

        11       government:  Public Protection and General

        12       Government Budget.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Are there any Senators who wish to be heard on

        15       the bill?

        16                  Senator Nozzolio.

        17                  SENATOR NOZZOLIO:    Thank you,

        18       Mr. President.  Mr. President, will the

        19       sponsor of this measure yield?

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Senator Kruger, will you yield for questions

        22       from Senator Nozzolio?

        23                  SENATOR CARL KRUGER:    Yes, I do,

        24       Mr. President.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Nozzolio, Senator Kruger will yield.

         2                  SENATOR NOZZOLIO:    Thank you,

         3       Senator Kruger.  Mr. President, through you.

         4                  Mr. President, are there, in this

         5       public protection legislation, correctional

         6       facilities that will be closed as a result of

         7       this vote?

         8                  SENATOR CARL KRUGER:    Through

         9       you, Mr. President, Lyon Mountain and Butler

        10       in Wayne County.  That's it.  That's it, yes.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Nozzolio.

        13                  SENATOR NOZZOLIO:    Thank you,

        14       Senator Kruger.  Mr. President, will Senator

        15       Kruger continue to yield?

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Kruger, will you continue to yield?

        18                  SENATOR CARL KRUGER:    Yes, I do,

        19       Mr. President.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Yes, he will, Senator Nozzolio.

        22                  SENATOR NOZZOLIO:    Senator

        23       Kruger, could you explain to this body what

        24       will the dollar savings be of the closure of

        25       those facilities?



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         1                  SENATOR CARL KRUGER:    Just one

         2       moment, Mr. President.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       One moment, Senator Nozzolio.

         5                  SENATOR CARL KRUGER:    Through

         6       you, Mr. President, the Butler facility,

         7       1.776, and Lyon for 1.270.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator Nozzolio.

        10                  SENATOR NOZZOLIO:    Thank you.

        11       Mr. President, will Senator Kruger continue to

        12       yield?

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator Kruger, will you continue to yield?

        15                  SENATOR CARL KRUGER:    Yes, I do.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Nozzolio.

        18                  SENATOR NOZZOLIO:    Thank you,

        19       Senator Kruger.

        20                  Senator Kruger, for those closures

        21       earmarked in this legislation, Senator

        22       Hassell-Thompson debated and helped enact last

        23       week a measure that provided economic

        24       development assistance for those communities

        25       that face prison closures.  Will any of those



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         1       facilities closed by this legislation have the

         2       benefit of those economic development

         3       activities and support in the legislation

         4       enacted last week?

         5                  SENATOR CARL KRUGER:    One moment,

         6       Mr. President.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       One moment, Senator Nozzolio.

         9                  SENATOR CARL KRUGER:    Through

        10       you, Mr. President, as part of the closure

        11       program, there is automatically a study done

        12       for economic impact and remediation.

        13                  SENATOR NOZZOLIO:    Senator

        14       Kruger, I'm sorry, I had trouble hearing you.

        15       Did you indicate --

        16                  SENATOR CARL KRUGER:    I'm sorry.

        17       As part of the closure plan, there is a

        18       provision made for a study of the economic

        19       impact of that closure and what remediation to

        20       mitigate that economic impact would be.

        21                  SENATOR NOZZOLIO:    So in other

        22       words, Senator, that those facilities --

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Do you wish Senator Kruger to yield for

        25       another question?



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         1                  SENATOR NOZZOLIO:    Yes,

         2       Mr. President.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Kruger, do you continue to yield?

         5                  SENATOR CARL KRUGER:    Yes, I do,

         6       Mr. President.

         7                  SENATOR NOZZOLIO:    Senator

         8       Kruger, thank you.  Would those facilities

         9       then be subject to that assistance?

        10                  SENATOR CARL KRUGER:    Yes, they

        11       would be.

        12                  SENATOR NOZZOLIO:    Mr. President,

        13       would Senator Kruger continue to yield.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Senator Kruger, do you continue to yield?

        16                  SENATOR CARL KRUGER:    Yes, I do.

        17                  SENATOR NOZZOLIO:    Senator

        18       Kruger, in Governor Paterson's budget it was

        19       proposed a few months ago that in his proposal

        20       there was an amount of funds to support what's

        21       called the Family Reunion Program at

        22       correctional facilities.  Is that money in the

        23       budget bill before us today?

        24                  SENATOR CARL KRUGER:    Through

        25       you, Mr. President, there is nothing that



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         1       takes that out of this budget.

         2                  SENATOR NOZZOLIO:    Thank you,

         3       Senator Kruger.

         4                  Mr. President, on the bill.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Nozzolio, on the bill.

         7                  SENATOR NOZZOLIO:    I appreciate

         8       Senator Kruger's candor on this particular

         9       item.  But I'd like to highlight exactly what

        10       this item is.  Governor Paterson put in his

        11       budget $800,000 or thereabouts to establish

        12       conjugal visits at the Five Points

        13       Correctional Facility.

        14                  Now, it might make some sense, you

        15       could argue at least that the closure of

        16       correctional facilities would in fact save the

        17       taxpayers some money.  That would certainly be

        18       the intention.  But it's clear here that none

        19       of the dollars going to the closure of these

        20       correctional facilities are going to be

        21       returned to the taxpayers.  On the contrary,

        22       an additional appropriation is in this budget

        23       to establish $800,000 for a double-wide

        24       trailer so that murderers, rapists, robbers,

        25       those who have committed the most violent



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         1       crimes that society has ever seen will be able

         2       to be treated to a conjugal visit with someone

         3       ostensibly from their family.

         4                  In an effort to understand this, I

         5       guess my citizens who sent me to represent

         6       them believe it's an upside down situation

         7       where you're allowing taxpayers' dollars of

         8       that magnitude to be for a double-wide trailer

         9       to be located at Five Points Correctional

        10       Facility or at any of the other correctional

        11       facilities across this state that provide the

        12       conjugal visit program.

        13                  Mr. President and my colleagues,

        14       this is a waste of money.  It's not only a

        15       waste of money, it's an insult to the citizens

        16       of this state who are seeing their parks

        17       closed, who are seeing their school districts

        18       at stress, who are seeing their taxes

        19       increase.  Why?  So that the most violent of

        20       criminals in this state can be coddled by

        21       establishing a program that the State of Ohio

        22       says very clearly is not just a waste of

        23       money, it's dangerous.  There's potential for

        24       violence within these reunions.  It's placing

        25       the most violent who are going to be in prison



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         1       for the longest period of time in a situation

         2       where they're in effect with their families

         3       when in fact they're going to be in prison for

         4       many, many years --

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Hassell-Thompson, why do you rise?

         7                  SENATOR HASSELL-THOMPSON:    I

         8       wanted to -- through you, Mr. President, I

         9       wanted to answer Senator Nozzolio's question

        10       specifically about this particular allocation.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Hassell-Thompson, do you ask Senator

        13       Nozzolio to yield for a question?

        14                  SENATOR HASSELL-THOMPSON:    I

        15       didn't have a question.  I had an answer to

        16       the concern that he raised.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Hassell-Thompson, Senator Nozzolio

        19       does have the floor.  If you're asking him to

        20       yield for a question, that's up to him.  But

        21       if you wish to speak on the bill, Senator

        22       Nozzolio still has the floor.  You'd have to

        23       ask him to yield.

        24                  SENATOR HASSELL-THOMPSON:

        25       Senator Nozzolio, would you yield to a



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         1       question?

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Will you yield for a question, Senator?

         4                  SENATOR NOZZOLIO:    Mr. President,

         5       I appreciate the graciousness of Senator

         6       Hassell-Thompson in trying to answer my

         7       questions before I ask them to her, but I

         8       believe frankly I would like to conclude my

         9       remarks, and then certainly I'd be willing to

        10       yield.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       You may continue, Senator Nozzolio.

        13                  SENATOR NOZZOLIO:    Thank you,

        14       Mr. President.

        15                  Mr. President, I was saying that to

        16       place the most violent of criminals in a

        17       situation where the taxpayers are funding, in

        18       terms of millions of dollars across the

        19       correctional system, a place where prisoners

        20       who have committed the most violent of crimes

        21       can now -- as an Ohio Department of

        22       Rehabilitation and Correction study indicated,

        23       that this does not promote healthy bonding of

        24       families.  In effect, it's an ethical paradox

        25       where you're placing some violent criminal in



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         1       a situation where frankly what happens if the

         2       family and the -- in effect, as a result of

         3       the conjugal visit becomes pregnant and has

         4       another child while the inmate is incarcerated

         5       that certainly is not, as this study

         6       indicated, a visitation program that is --

         7       this may be extremely detrimental to the

         8       family and society, as well as establishing

         9       issues to convey contraband, establish

        10       potential for sexually transmitted diseases

        11       and other things that make no sense.

        12                  Mr. President, I rise to oppose

        13       this legislation particularly because of this

        14       type of inappropriate appropriation where

        15       we're placing taxpayers' dollars in a priority

        16       that makes no sense in these difficult

        17       economic times.  That's why I'll be voting

        18       against it.  I urge my colleagues to do the

        19       same.

        20                  Thank you, Mr. President.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Thank you, Senator Nozzolio.

        23                  Senator Hassell-Thompson.

        24                  SENATOR HASSELL-THOMPSON:    I

        25       withdraw my question.  He wasn't interested in



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         1       the information.

         2                  Thank you, Mr. President.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Thank you, Senator Hassell-Thompson.

         5                  Are there any other Senators who

         6       wish to be heard on the bill?

         7                  Hearing none, the debate is closed.

         8       The Secretary will please ring the bells.

         9                  The Secretary will read the last

        10       section.

        11                  THE SECRETARY:    Section 2.  This

        12       act shall take effect immediately.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Call the roll.

        15                  (The Secretary called the roll.)

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Hassell-Thompson, to explain her vote.

        18                  SENATOR HASSELL-THOMPSON:    Thank

        19       you, Mr. President.

        20                  I am in support of this

        21       legislation, and I would just like to state

        22       for the record that the $800,000 that was

        23       referred to for conjugal visits is not in this

        24       budget.  It was never put in the budget this

        25       year, and it was discouraged from being in the



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         1       budget for the very reasons that Senator

         2       Nozzolio stated.  So I just would like the

         3       record to reflect that that's not correct

         4       information.

         5                  Thank you, Mr. President.  I vote

         6       yes.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Hassell-Thompson will be voting in the

         9       affirmative.

        10                  Senator DeFrancisco, to explain his

        11       vote.

        12                  SENATOR DeFRANCISCO:    Yes, with

        13       respect to the conjugal visits, the Governor

        14       prepared these in his original budget, and

        15       this bill did not eliminate that portion of

        16       the budget.  It's the same number.  And we've

        17       been informed, the Minority has been informed

        18       by the Office of the Budget, the Governor's

        19       budget office, that that is still in.

        20                  But the other two points I wanted

        21       to make, what's also in here, for those who

        22       are deciding how to vote, is funding 20 new

        23       staff members associated with the Governor's

        24       wine in grocery stores.  I don't know where

        25       people stand on that, but it's kind of curious



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         1       that we're voting on new positions and we

         2       haven't even made the decision -- or maybe you

         3       have, maybe you have -- that there will be

         4       wine in grocery stores.

         5                  In addition, there is new spending,

         6       $8 million for legal services funded through

         7       more fees.  Let me give you an idea what those

         8       fees are.  Ninety-five dollars paid by the

         9       plaintiff in every consumer credit transaction

        10       where you're suing on a consumer credit

        11       transaction; $190 extra for every real estate

        12       foreclosure; an additional fee, from $55 to

        13       $65 for criminal background checks -- unfunded

        14       mandate going back to the school districts and

        15       other people; and increasing registration fees

        16       for lawyers and the like.

        17                  All of these, the total of all of

        18       these are about $35 million.  So it's another

        19       hidden fee in a bill.  We haven't got to that

        20       part yet, but this is how it's going to be

        21       funded what we're voting on by this piecemeal

        22       budget process.

        23                  I vote no.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator DeFrancisco to be recorded in the



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         1       negative.

         2                  Senator Ranzenhofer to explain his

         3       vote.

         4                  SENATOR RANZENHOFER:    Thank you,

         5       Mr. President.

         6                  Three hundred and twenty-nine

         7       pages, an hour to read it, 329 pages.  You

         8       know, I thought after last year when spending

         9       was increased by those on the other side of

        10       the aisle $12 billion, $2,400 a family, that

        11       we'd had enough, we couldn't get any higher,

        12       we couldn't take any more money out of the

        13       system, out of people's pockets.  But here we

        14       go again.  In 329 pages, spending more money,

        15       raising more fees.

        16                  When is it going to end?  When is

        17       it going to end?  You know, I think that's one

        18       of the problems when you put together a budget

        19       in secret and you don't have any discussions

        20       after 12 weeks.  I keep on listening to the

        21       dialogue between Senator DeFrancisco and

        22       Senator Kruger.  When are you going to get the

        23       information?  Well, it's coming, it's coming,

        24       when we reach a critical mass.

        25                  Well, here we are voting on the



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         1       first budget bill, and what do we see?  We see

         2       more fees, we see more hires -- we can't even

         3       fund the programs that we have right now.  But

         4       what are you doing in this budget?  You're

         5       creating new programs, new state employees,

         6       more money from the taxpayer.

         7                  Simply not affordable.  Not

         8       sustainable.  You're continuing to drive more

         9       and more people from this state -- my kids,

        10       your kids, some of our grandkids.  It's just

        11       not affordable.  I cannot in good conscience

        12       vote for this.  I'll be voting no.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator Ranzenhofer to be recorded in the

        15       negative.

        16                  Senator Carl Kruger, to explain his

        17       vote.

        18                  SENATOR CARL KRUGER:    Thank you

        19       very much, Mr. President.

        20                  I guess by virtue of a reality

        21       check, let's look at some of the facts that

        22       were put on the floor today.  Firstly, the

        23       bills that we're voting on now were printed

        24       and available on Friday, and they were voted

        25       on by the Assembly on Friday as well.  So it's



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         1       not that someone had a few hours, they had

         2       several days.

         3                  Secondly, the issue that's made

         4       about the staffing at the SLA for wine in the

         5       supermarkets, that's a contingent

         6       appropriation and it is not supported by

         7       actual cash.

         8                  Thirdly, the issue of trailers.

         9       The conjugal program is an outgrowth of the

        10       programs that were under the stewardship of

        11       the former chairman of the Crime and

        12       Corrections Committee in the Senate, Senator

        13       Nozzolio.

        14                  Thank you, Mr. President.  I vote

        15       yes.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Kruger to be recorded in the

        18       affirmative.

        19                  Senator Volker, to explain his

        20       vote.

        21                  Mr. President, I'll try to move

        22       quickly.  First of all, there is money in the

        23       budget, I'm told, for conjugal visits, and

        24       it's in a lump sum appropriation, just as it

        25       was in there last year.  Well, that's what



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         1       we're told, that it's in there and it's in the

         2       same place as it was last year.  And people

         3       have already been notified that it's going to

         4       continue.

         5                  Interestingly enough, the Assembly

         6       obviously made a deal on lawyers, because they

         7       charged individuals who are from outside the

         8       state who take the bar exam $500 more, to

         9       raise it to $750, but only raised the biannual

        10       fee for practicing lawyers from $350 to $375.

        11       It's interesting, because I think that was to

        12       satisfy some of the lawyers in the Assembly.

        13                  But I've got to tell you something

        14       else.  There's a new bureau set up for

        15       overseeing indigent services.  The problem

        16       with it is what I was always concerned about.

        17       If you read the people who make the

        18       appointments, the vast majority are from

        19       New York City.  There's no question that's why

        20       we always had problems.  We wanted a statewide

        21       group to be able to do it.  If you read it,

        22       you will see what I'm talking about.

        23                  And by the way, there's nobody from

        24       the Senate Minority or the Assembly Minority,

        25       no Republicans at all, particularly that are



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         1       listed here.

         2                  The problem we always had with the

         3       suggestion for this new bureaucracy for legal

         4       services, indigent legal services, is that the

         5       upstate people and the Long Island people were

         6       concerned that this would turn into a New York

         7       City program.  And if you read who is involved

         8       in the appointments, you'll realize that's

         9       exactly what happened.

        10                  And that's a shame.  Because I

        11       thought this was a good idea.  I still think

        12       it's a good idea.  But I really think that we

        13       ought to have people from all across the state

        14       making these decisions and not just people who

        15       are primarily concerned with New York City.

        16                  I vote no.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Volker to be recorded in the negative.

        19                  Senator Nozzolio, to explain his

        20       vote.

        21                  SENATOR NOZZOLIO:    Thank you,

        22       Mr. President.

        23                  Mr. President and my colleagues, in

        24       these horrendously difficult economic times

        25       when this Legislature is facing very difficult



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         1       decisions, the Senate Democrats and Governor

         2       Paterson and the Assembly Democrats are

         3       putting before us bills that raise taxes, that

         4       cut vital services, that are driving people

         5       out of this state.  At the same time putting

         6       an $800,000 expenditure for a new conjugal

         7       visit program at one of the correctional

         8       programs in this state, where the most violent

         9       criminals, those who have committed serious

        10       violent felonies -- rape, robbery, murderer --

        11       are going to be allowed to have conjugal

        12       visits at taxpayers' expense.

        13                  The citizens of this state can no

        14       longer nor should no longer tolerate this type

        15       of expenditure.  In these times, this

        16       expenditure should be a priority to cut.  It

        17       should be one of the first things to be cut.

        18       And because this Senate proposal put forward

        19       by the Democrats does not cut, I think it's

        20       unconscionable and unforgivable to those who

        21       are supporting it.

        22                  And for that I say we oppose it we

        23       believe, it's inappropriate in this time, and

        24       that's why we Senate Republicans are voting

        25       against it.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Senator Nozzolio to be recorded in the

         3       negative.

         4                  Senator Schneiderman, to explain

         5       his vote.

         6                  SENATOR SCHNEIDERMAN:    Thank you,

         7       Mr. President.

         8                  I just want to rise and thank

         9       Senator Hassell-Thompson and Senator Adams,

        10       Senator Sampson, the others who have worked on

        11       this.  This is actually the best piece of a

        12       bad budget that I have seen.  This imposes

        13       fees, ladies and gentlemen, on those who can

        14       best afford to pay lawyers, the plaintiffs in

        15       foreclosure proceedings, which are basically

        16       banks and creditors.  It uses the money not

        17       for some centralized bureaucracy, this money

        18       is going to local governments to fund indigent

        19       defense services.

        20                  The 2006 report by Chief Judge Kaye

        21       determined that our indigent defense services

        22       in this state are broken.  It's county by

        23       county, it's piecemeal.  Some places you get

        24       good services, some places the defenders are

        25       completely overloaded.  This would correct



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         1       that inequity without generalized taxes.  It

         2       takes money out of the system and puts it back

         3       into the system.

         4                  And the creation of the indigent

         5       defense office I believe is a great step

         6       forward towards our ideal of equal justice

         7       under law.  This is not principally, Senator

         8       Volker, a New York City problem.  This is

         9       principally a problem in poorer counties

        10       upstate, and this is what it's designed to

        11       correct.

        12                  This is a good step forward.

        13       Mr. President, I think everyone should support

        14       this piece of legislation.  It's tough to

        15       impose fees, but this is as fair as we could

        16       do and it does improve legal services for

        17       thousands and thousands of New Yorkers.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Schneiderman, how do you vote?

        20                  SENATOR SCHNEIDERMAN:    I vote in

        21       the affirmative, Mr. President.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Schneiderman to be recorded in the

        24       affirmative.

        25                  Senator Maziarz, to explain his



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         1       vote.

         2                  SENATOR MAZIARZ:    Thank you very

         3       much, Mr. President.

         4                  I didn't want to get into this, but

         5       I'm going to be voting in the negative.  But

         6       just so that everyone's clear, look, there

         7       have been conjugal visit programs in state

         8       prisons for a long time.  The Governor

         9       proposed this year $778,000 to expand that

        10       program and to purchase new trailers.  Okay?

        11       The Division of Budget has acknowledged that

        12       $778,000 is in this bill that we are about to

        13       vote on today.  The new trailers and expansion

        14       of the program is in this bill.

        15                  I vote no, Mr. President.  Thank

        16       you.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Maziarz to be recorded in the

        19       negative.

        20                  Senator Marcellino, to explain his

        21       vote.

        22                  SENATOR MARCELLINO:    Yes,

        23       Mr. President, thank you, to explain my vote.

        24                  I will be voting no on this bill.

        25       Senator Schneiderman talked about fees and



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         1       it's difficult to do it.  Well, the fee that's

         2       mentioned was just slightly mentioned but I

         3       think is a pass-through and pass-down to

         4       people who cannot afford it very much is the

         5       criminal background check fee.

         6                  I was the town clerk in the town of

         7       Oyster Bay for many years, and we did criminal

         8       background checks and required them routinely

         9       for people who came in for hack licenses and a

        10       whole bunch of other types of licenses.  All

        11       the civil service tests require criminal

        12       background checks.  And those fees generally

        13       were passed on to the applicants.  These were

        14       not people who could afford it, these were

        15       people who were, you know, looking for a job

        16       at pretty low levels.  This is a pass-down to

        17       local governments that's going to cost a lot

        18       of people a lot of money that they don't have.

        19                  We were told before that 60 percent

        20       of this budget will be finished by the time

        21       we're through today, leaving about

        22       $3.9 billion of a $9.2 billion gap to fill.

        23       The only thing of significance, as was pointed

        24       out correctly by Senator DeFrancisco, is the

        25       education part of the budget.  Are we going to



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         1       cut approximately $4 billion out of education?

         2       I don't think so.  If that's your proposal,

         3       let's bring it on the floor right now.  I

         4       don't think you're going to do that.  I think

         5       you're going to raise taxes to fill that gap.

         6       I think you're going to do some borrowing to

         7       fill that gap.

         8                  And I think, as I said in a prior

         9       statement, the Big Ugly is coming.  And the

        10       Big Ugly is going to hit us on Monday.  That's

        11       when we're going to see the borrowing and

        12       taxes and the fees that are going to come out

        13       and the cuts to education which a lot of

        14       people are waiting for and are not too happy

        15       about.

        16                  So I'm going to vote no on this --

        17       I'm going to continue to vote no -- because

        18       this tax-and-spend mentality has got to stop.

        19       We've got to change what we're doing and we've

        20       got to change how we're doing it.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Marcellino to be recorded in the

        23       negative.

        24                  Announce the results.

        25                  THE SECRETARY:    Those recorded in



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         1       the negative on Calendar Number 1041 are

         2       Senators Alesi, Bonacic, DeFrancisco, Farley,

         3       Flanagan, Fuschillo, Golden, Griffo, Hannon,

         4       O. Johnson, Lanza, Larkin, Flanagan, Leibell,

         5       Libous, Little, Marcellino, Maziarz, McDonald,

         6       Nozzolio, Padavan, Ranzenhofer, Robach,

         7       Saland, Seward, Skelos, Volker, Winner and

         8       Young.

         9                  Ayes, 32.  Nays, 29.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       The bill is passed.

        12                  The Secretary will put before the

        13       house Calendar Number 1062.

        14                  THE SECRETARY:    Calendar Number

        15       1062, substituted earlier today, Assembly

        16       Budget Bill, Assembly Print Number 9705D, an

        17       act making appropriations for the support of

        18       government:  Transportation, Economic

        19       Development and Environmental Conservation

        20       Budget.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Libous.

        23                  SENATOR LIBOUS:    Mr. President,

        24       would Senator Dilan answer some questions in

        25       the transportation portion of this bill,



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         1       please.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Senator Dilan, Senator Libous has requested

         4       that you would yield for questions.

         5                  SENATOR DILAN:    If it's okay with

         6       the chair of Finance, yes.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Kruger, would you permit Senator Dilan

         9       to answer questions pertaining to --

        10                  SENATOR CARL KRUGER:    I always

        11       yield to my learned colleagues.

        12                  SENATOR LIBOUS:    Mr. President,

        13       whomever feels more comfortable, I'd be happy

        14       to --

        15                  SENATOR CARL KRUGER:    There is

        16       nobody better equipped to answer the questions

        17       than Senator Dilan.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Kruger has agreed to let Senator

        20       Dilan -- Senator Libous, Senator Dilan has

        21       agreed to yield for some questions.

        22                  SENATOR LIBOUS:    Thank you,

        23       Senator Dilan, if you would yield.

        24                  My first question is, can you tell

        25       me what the size of the DOT capital plan would



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         1       be under this bill and over how many years

         2       will that money be spent?  So I need to know

         3       the amount of money and over how many years

         4       will it be spent, for the DOT capital plan.

         5                  SENATOR DILAN:    Mr. President,

         6       through you.  Under this appropriation bill,

         7       this legislation authorizes a two-year

         8       $6.9 billion capital spending plan.

         9                  SENATOR LIBOUS:    Thank you,

        10       Senator.

        11                  And, Mr. President, through you,

        12       would the Senator continue to yield.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator Dilan, do you continue to yield?

        15                  SENATOR DILAN:    Yes, sir.

        16                  SENATOR LIBOUS:    Senator Dilan,

        17       in October of 2009 DOT Commissioner Stan Gee

        18       requested a five-year capital plan of

        19       $25.8 billion, and DOT spent about

        20       $8.43 billion in the first two years.  Even at

        21       this higher funding level, he stated that the

        22       state's road and bridge conditions were going

        23       to continue to deteriorate.

        24                  By cutting $1.5 billion from this

        25       budget or from his budget proposal, what will



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         1       happen to the condition of the roads and

         2       bridges in the State of New York?

         3                  SENATOR DILAN:    Mr. President,

         4       Senator Libous is correct.  On October 4,

         5       2009, DOT released its capital plan, which at

         6       that time was for five years, at about

         7       $5 billion per year.  And about 45 minutes

         8       after that plan was released, by the way, I

         9       believe everyone knows that the Governor of

        10       the State of New York actually said "We can't

        11       even fund what they're requesting."

        12                  Since that time, I've held about

        13       six, seven hearings throughout the State of

        14       New York, had many of the stakeholders speak

        15       on this.  I have held out during this entire

        16       process to try to get the DOT budget to be

        17       funded at close to $5 billion.  And I actually

        18       met with the Governor several months ago.

        19       Because what we're talking about here to get

        20       it funded at that level would mean that we

        21       would have to put in $88 million from the

        22       General Fund into the Bridge and Highway Trust

        23       Fund in order to leverage close to $5 billion

        24       a year.

        25                  The $88 million did not materialize



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         1       because the Executive decided this funding

         2       level, even against his own DOT agency -- and

         3       I have actually till about last Friday held

         4       out on closing down the transportation budget.

         5                  However, I did have members of the

         6       industry from upstate New York, from all over

         7       the State of New York, indicate to me that if

         8       we did not close down this transportation

         9       budget they were going to lose the

        10       construction season and this year's

        11       appropriation would not even be spent.  For

        12       example, they indicated to me that upstate

        13       New York, especially in the Northern Country,

        14       the construction season ends about October of

        15       this year, and we would be hurting thousands

        16       of jobs throughout this state.

        17                  For that reason, I agreed with the

        18       chairman of Finance and others to close the

        19       transportation part of the budget down.

        20                  ACTING PRESIDENT CRAIG JOHNSON:

        21       Senator Libous.

        22                  SENATOR LIBOUS:    Will the Senator

        23       continue to yield.

        24                  SENATOR DILAN:    Yes, sir.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Dilan will continue to yield.

         2                  SENATOR LIBOUS:    Thank you.  So,

         3       Senator, thank you for agreeing that an

         4       additional $1.5 billion has been cut and that

         5       according to DOT that the fair and poor

         6       pavement report went up from 40 percent to

         7       55 percent over the next two years and,

         8       according to them, that 600 more bridges will

         9       become deficient.  So I appreciate that you

        10       recognize that.

        11                  My question to you, sir, would be

        12       in 2008 my colleagues on this side of the

        13       aisle, we increased the DOT five-year capital

        14       plan to about $19.2 billion to address the

        15       needs of drivers throughout the State of

        16       New York and to keep parity -- and I'll get

        17       back to that word -- with the MTA.

        18                  Last year I believe, Mr. Chairman,

        19       you voted to cut the DOT'S capital plan.  Can

        20       you tell me by how much?

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Dilan.

        23                  SENATOR DILAN:    Well, I don't

        24       recall -- your question is that we voted to

        25       cut the MTA capital plan?



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         1                  SENATOR LIBOUS:    No, the DOT

         2       capital plan, Mr. President.  The road/bridge

         3       plan, sir.

         4                  SENATOR DILAN:    I don't recall

         5       the exact number at this moment.  I don't

         6       recall the number at this moment.

         7                  SENATOR LIBOUS:    Thank you,

         8       Mr. President.

         9                  I will respond, and then I would

        10       ask if he would yield for another question.

        11                  SENATOR DILAN:    Sure.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Dilan will continue to yield.

        14                  SENATOR LIBOUS:    Senator Dilan,

        15       the amount was $1 billion, down to 18.2.

        16                  But in just over one year, you will

        17       have voted to cut the DOT's capital plan by

        18       $2.5 billion.  During this same period, you

        19       voted to increase revenues going to the MTA by

        20       $2.2 billion a year and provided the MTA with

        21       an additional $6.5 billion in capital funding.

        22                  Can you tell me the size of the

        23       two-year MTA capital program that your

        24       conference approved on June 1st?  And is this

        25       the largest discrepancy in the two-year



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         1       program that we've ever seen in the agency's

         2       history?

         3                  Now I'll go back to that parity

         4       question.  In the past, Mr. President and

         5       Senator Dilan, this chamber for about 20 years

         6       has always done the MTA capital plan and the

         7       road and bridge plan together.  Parity.

         8       Whatever money went into one went into the

         9       other.

        10                  That was broken.  And I'm asking

        11       Senator Dilan if he could tell me the size of

        12       the MTA two-year plan and then the size of the

        13       bridge and highway plan and ask if he could

        14       also state the discrepancy between the two

        15       plans.

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Libous, before -- how many questions

        18       are you asking?

        19                  SENATOR LIBOUS:    That was one

        20       with multiple parts, Mr. President.  Let me be

        21       more specific.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       That was more than one --

        24                  SENATOR LIBOUS:    Senator Dilan, I

        25       would be happy to lay them out a little better



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         1       for you.  I apologize.  Question one --

         2                  SENATOR DILAN:    I could have

         3       answered them, but --

         4                  SENATOR LIBOUS:    Question number

         5       one, on June 1st your conference approved an

         6       MTA capital plan.  How much was that capital

         7       plan, sir?

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator Dilan.

        10                  SENATOR DILAN:    It's $24 billion

        11       over five years.

        12                  SENATOR LIBOUS:    I'm sorry?

        13                  SENATOR DILAN:    $24 billion over

        14       five years.

        15                  SENATOR LIBOUS:    So I believe

        16       it's about $9.1 billion, or 31 percent larger

        17       than the DOT plan during the same period.  Is

        18       that correct?

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Are you asking Senator Dilan to continue to

        21       yield?

        22                  SENATOR LIBOUS:    I'm sorry,

        23       Mr. President, I'm asking him to continue to

        24       yield.

        25                  So my question to you is that



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         1       according to my math, it's about $9.1 billion

         2       or 31 percent large than the DOT plan over the

         3       same period of time.

         4                  SENATOR DILAN:    It is about

         5       $8 billion over two years, which means it's

         6       about $4 billion per year.

         7                  SENATOR LIBOUS:    Mr. President, I

         8       respectfully disagree.  But I won't argue that

         9       now, because I believe it is $9.1 billion.

        10                  Would Senator Dilan continue to

        11       yield?

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Dilan, do you continue to yield?

        14                  SENATOR DILAN:    Yes, sir.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Senator Libous.

        17                  SENATOR LIBOUS:    Because of the

        18       late state budget, Senator, DOT has awarded

        19       over $1 billion in work.  Your bill does not

        20       include the traditional shares or splits

        21       between Long Island, New York City, the Hudson

        22       Valley, or upstate.  Since there are no

        23       regional allocations in your bill that is on

        24       the floor today, are you leaving this up to

        25       the Executive to decide which road and bridge



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         1       projects are going to be accomplished?

         2                  SENATOR DILAN:    The DOT did come

         3       out with a schedule, I believe it was in March

         4       of this year, which outlined all the projects

         5       throughout the State of New York for a

         6       two-year program.

         7                  SENATOR LIBOUS:    Would he

         8       continue to yield, Mr. President?

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Senator Dilan?

        11                  SENATOR DILAN:    Yes.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       He will continue to yield, Senator Libous.

        14                  SENATOR LIBOUS:    Senator Dilan,

        15       are you familiar with the program as it

        16       pertained to the shares program that we've had

        17       for transportation in this state for the last

        18       probably 20, 25 years?

        19                  SENATOR DILAN:    I believe I

        20       understand what you're saying in terms of how

        21       you've done it in the past.  And I know that

        22       we have been trying to accommodate that,

        23       Senator.

        24                  However, in view of the economic

        25       times and the MTA being an authority and



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         1       having a capital review board which deals with

         2       their budget, and I through our leadership,

         3       trying to negotiate equity between DOT, MTA,

         4       and trying do this at the same time, we're at

         5       very difficult times.

         6                  And under the circumstances -- and

         7       also, as I indicated earlier, I tried to hold

         8       out to the very last second.  But at the

         9       urging of the industry and all the contractors

        10       throughout the State of New York, if we

        11       continue to hold out on this budget, there

        12       would be no contracts let after April 1st.  Up

        13       to this point and this is our, what, 12th

        14       extender, since April 1 not one single

        15       contract has been let by DOT.

        16                  By virtue of passing this current

        17       budget appropriation, and at the urging of the

        18       industry, we would not even be able to spend

        19       the money that was allocated for this year.

        20       So for the sake of getting some contracts let

        21       and saving thousands of jobs for New York

        22       State, this is the appropriation we have at

        23       this time.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator Libous.



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         1                  SENATOR LIBOUS:    Mr. President,

         2       would he continue to yield, please.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Dilan, will you continue to yield?

         5                  SENATOR DILAN:    Yes, sir.

         6                  SENATOR LIBOUS:    Senator Dilan,

         7       are you aware that you have veto power over

         8       that MTA plan and that you, as Chairman of the

         9       committee, and your conference being in the

        10       majority, could actually have vetoed that plan

        11       and then implemented a plan that would be fair

        12       to all New York State that would have the

        13       appropriate splits for the road and bridge

        14       plan?  Are you aware of that, sir?

        15                  SENATOR DILAN:    If I were chair

        16       of the committee, I'd be very well aware of

        17       it.  But I'm not chair or the representative

        18       from the Senate on the capital review board.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Libous.

        21                  SENATOR LIBOUS:    Mr. President,

        22       would he yield to another question?

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator Dilan, will you continue to yield?

        25                  SENATOR DILAN:    Yes, sir.



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         1                  SENATOR LIBOUS:    Senator Dilan,

         2       do you have a member of your conference on

         3       that board?

         4                  SENATOR DILAN:    Yes.

         5                  SENATOR LIBOUS:    Would he

         6       continue to yield.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Dilan, do you continue to yield?

         9                  SENATOR DILAN:    Yes, sir.

        10                  SENATOR LIBOUS:    Senator Dilan,

        11       would possibly a member of your conference

        12       that sat on that board, would he be willing to

        13       maybe stand up for the rest of New York State

        14       and could he have vetoed that plan and then

        15       done a fair plan that would be an accurate

        16       plan for both road and bridges and the MTA

        17       that would have the same amount of money and

        18       have parity and have the splits between

        19       upstate, downstate, Long Island, Hudson

        20       Valley, and for that matter New York City?

        21                  SENATOR DILAN:    Well, the

        22       member -- the representative from the State

        23       Senate could have approved no plan for the

        24       MTA, and then we would have had no capital

        25       plan for anyone.



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         1                  SENATOR LIBOUS:    I'm sorry, what

         2       was that answer, Mr. President?

         3                  SENATOR DILAN:    I'll repeat it.

         4       I said the representative from the Senate

         5       could have vetoed that MTA plan.  Then we

         6       would have had no plan for the MTA and perhaps

         7       no plan for DOT either.

         8                  SENATOR LIBOUS:    Mr. President,

         9       through you, would he continue to yield?

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Dilan, will you continue to yield?

        12                  SENATOR DILAN:    Yes, sir.

        13                  SENATOR LIBOUS:    Senator Dilan,

        14       do you realize that if he did veto it and

        15       there was no plan that it could be

        16       renegotiated by the majority of this house?

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Dilan.

        19                  SENATOR DILAN:    Perhaps.  I don't

        20       know.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       He said perhaps, he didn't know.

        23                  SENATOR LIBOUS:    Would Senator

        24       Dilan continue to yield?

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Dilan, do you continue to yield?

         2                  SENATOR DILAN:    Yes.

         3                  SENATOR LIBOUS:    Thank you,

         4       Senator.

         5                  Senator, do you think it was fair

         6       to do a plan for the MTA region but yet leave

         7       the rest of New York State hanging?

         8                  SENATOR DILAN:    You know,

         9       Mr. President, I think that we in the majority

        10       conference or I know especially myself tried

        11       very hard to ensure that the Department of

        12       Transportation capital plan was funded.

        13       Unfortunately, we did not get the cooperation

        14       that we expected from the Governor.

        15                  And as I indicated, if we don't

        16       have any plan at all, there would be no

        17       spending whatsoever this fiscal year on the

        18       plan.  And again, I'll repeat, at the urging

        19       of the industry, we closed it down so we can

        20       get some contracts let and employment for many

        21       construction jobs throughout the State of

        22       New York this year.

        23                  SENATOR LIBOUS:    Would Senator

        24       Dilan continue to yield?

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Dilan, will you continue to yield for

         2       Senator Libous?

         3                  SENATOR DILAN:    Yes, sir.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Senator Libous.

         6                  SENATOR LIBOUS:    Thank you,

         7       Senator Dilan.

         8                  Senator, do you realize that this

         9       year the MTA five-year plan was approved but

        10       yet there was only funding for two years?

        11                  SENATOR DILAN:    As I indicated,

        12       I'm not the representative on the Capital

        13       Review Board, although I may have seen the

        14       plan.  But I didn't have anything to do with

        15       that part.

        16                  It's two years also, I believe.

        17       Two years.  It's funded for two years.

        18                  SENATOR LIBOUS:    That's right.

        19       But it was a five-year capital plan,

        20       Mr. President, funded for two years.  But the

        21       road and bridge plan is the pay-as-you-go in

        22       this item.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Let me first say both parties can't talk over

        25       each over.



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         1                  SENATOR LIBOUS:    Could I ask for

         2       a favor before I -- there's a lot of noise in

         3       the back of the chamber here.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       I'll ask, at Senator Libous's request, for

         6       both sides of the aisle to keep it down.

         7                  I will also ask to allow each

         8       Senator to speak and try not to speak over

         9       each other because the stenographer, for one,

        10       may have a difficult time.

        11                  Senator Libous.

        12                  SENATOR LIBOUS:    Senator Dilan,

        13       one or two more questions, please.  Would you

        14       yield?

        15                  SENATOR DILAN:    Yes, sir,

        16       Mr. President.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Libous.

        19                  SENATOR LIBOUS:    Do you realize

        20       that upstate drivers pay over half the gas

        21       taxes and fees going into the dedicated

        22       Highway and Bridge Trust Fund?  Without the

        23       regional splits we talked about, how will the

        24       drivers in upstate New York or the ones that

        25       many of us represent -- and actually some of



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         1       your colleagues represent -- how will they get

         2       their fair share of the taxes if there are no

         3       regional splits in this budget, if it's going

         4       to be left to the discretion of the Executive?

         5                  SENATOR DILAN:    Well, you know,

         6       the only thing I can indicate about the

         7       dedicated Bridge and Highway Trust Fund is

         8       that it's in trouble.  And I think it's been

         9       in trouble for many years before we took over

        10       the majority.  The bridge and highway fund

        11       needs to be revamped, it needs to be really

        12       looked at in terms of how we can leverage

        13       capital funding for it.

        14                  And for many years prior to us

        15       being in the majority -- I'm trying to use the

        16       right word here -- this fund, there was tons

        17       of borrowing to pay for other programs and not

        18       used the way it was supposed to be.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Libous.

        21                  SENATOR LIBOUS:    Senator Dilan,

        22       are you aware, sir, that I had a bill on the

        23       floor five years ago to level the funding in

        24       the dedicated highway --

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Libous, are you asking Senator Dilan

         2       to yield for a question?

         3                  SENATOR LIBOUS:    I'm asking, yes,

         4       if he will yield.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Dilan, will you continue to yield?

         7                  SENATOR DILAN:    Yes.  Yes.

         8                  SENATOR LIBOUS:    Are you aware

         9       that I had a bill on the floor five years ago

        10       that actually would have corrected the deficit

        11       in the dedicated highway trust fund?

        12                  SENATOR DILAN:    Well, I believe

        13       that I was aware.  And if Senator Libous would

        14       like, we can work on it together to correct

        15       the highway and bridge fund.

        16                  SENATOR LIBOUS:    Mr. President,

        17       on the bill.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Libous, on the bill.

        20                  Thank you very much, Senator Dilan.

        21                  Senator Libous.

        22                  SENATOR LIBOUS:    Mr. President

        23       and my colleagues, I'm -- and, Senator Dilan,

        24       thank you for being so gracious to answer some

        25       of the questions.



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         1                  But I have to tell you that, once

         2       again, there are regions of this state getting

         3       the short end of the stick, if you will.

         4       There are roads and bridges throughout this

         5       state, and there is more to this state than

         6       the MTA region.  And although I have great

         7       respect and have been supportive when I

         8       chaired the committee of the MTA region, we

         9       always had parity.  And parity meant that

        10       whatever went to the MTA went to the road and

        11       bridge plan.

        12                  Senator Dilan, last year, in April

        13       when the budget was passed, I asked you on the

        14       floor if there would be a road and bridge

        15       plan, if there would be parity.  And you said

        16       to me:  "Yes, Senator, in October."  October

        17       of 2009 has come and gone.  We are now in June

        18       of 2010.  There is no parity for upstate roads

        19       and bridges.

        20                  I turn to some of my colleagues

        21       from upstate New York, and I would defer to

        22       Senator Aubertine and Senator Valesky, who in

        23       2009 -- and I plead, I plead, gentlemen, for

        24       your help here -- in 2009 you had a release

        25       that went out.  And because of my age, I need



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         1       glasses to read it.  I can't find my glasses,

         2       so I'll borrow Senator Skelos's.  Oh, these

         3       are pretty good.

         4                  In 2009 my colleagues Senator

         5       Valesky and Senator Aubertine put a release

         6       out, and in that release they talked about

         7       "The plan announced today will keep the MTA

         8       solvent and provide accountability which has

         9       been sorely lacking in this authority for

        10       decades."  I concur with you, gentlemen.

        11       You're absolutely right there.  Certainly a

        12       plan without rate hikes or cuts in services is

        13       a good move for the state's economy.

        14                  Then you went on to say:  "But what

        15       we've got alone here with this legislation is

        16       a renewed commitment to upstate which will

        17       ensure road and bridge projects throughout the

        18       state will be a priority as we put a five-year

        19       plan together."

        20                  Well, gentlemen, I guess you kind

        21       of feel the same way I do today.  Because

        22       there is no upstate five-year road and bridge

        23       plan.  The plan isn't there.  And both Senator

        24       Aubertine, Senator Valesky, I know that you

        25       have the same issues that I have in my



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         1       district and that many of us have as

         2       upstaters.  And it's not fair that there's a

         3       five-year MTA plan but yet the road and bridge

         4       gets ignored and that the difference in

         5       funding in the MTA plan versus the road and

         6       bridge plan is 31 percent more for the MTA.

         7       In 20 years in this house, in 20 years there

         8       was always parity, there was always shares.

         9                  If you live in upstate New York or

        10       in the Hudson Valley or in Long Island, you're

        11       getting the short end of the stick here again.

        12       And I think we had this discussion last week,

        13       but it seems to keep coming up.

        14                  Mr. President, this is not a good

        15       way to do business.  And then not only do we

        16       eliminate the shares, but we give the

        17       Governor, no matter who it is, the opportunity

        18       to make those decisions on whether roads in

        19       Senator Bonacic's district get fixed or

        20       Senator Aubertine's district get fixed.

        21       Senator Fuschillo's district.  Instead of

        22       equally dividing the money up by shares

        23       throughout the state so that each district

        24       gets its fair share and representation.  The

        25       way we have done it.



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         1                  But oh, no, we'll give more to the

         2       MTA because the mass transit in New York City

         3       is much more important that the roads and

         4       bridges on Long Island, in the Hudson Valley

         5       and upstate New York.

         6                  Mr. President, I would call upon my

         7       fellow upstate colleagues on the Democratic

         8       side of the aisle, even Senator Stachowski --

         9       buffalo is upstate the last I knew -- Senator

        10       Breslin:  Help us here.  Don't let upstate get

        11       short-changed.  Senator Valesky is not here; I

        12       wish he was.  Senator Aubertine, as you said

        13       in your release, there would be a plan, but

        14       unfortunately there is no plan.

        15                  We need a plan for upstate roads

        16       and bridges.  This bill does not provide that

        17       plan, Mr. President.  Upstate gets the short

        18       end again.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Thank you, Senator Libous.

        21                  Senator Saland.

        22                  SENATOR SALAND:    Thank you,

        23       Mr. President.  Would Senator Kruger yield,

        24       please?

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Kruger, Senator Saland has requested

         2       that you yield.

         3                  SENATOR CARL KRUGER:    Yes, I do,

         4       Mr. President.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Senator Saland.

         7                  SENATOR SALAND:    Senator Kruger,

         8       thank you for yielding.  Through you,

         9       Mr. President.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Saland.

        12                  SENATOR SALAND:    Senator Kruger,

        13       I know we've probably had the opportunity to

        14       engage on this topic in general terms.  It's

        15       really the job creation economic development

        16       realm.  And what I'd like to do is just start

        17       off by asking you a general question to see

        18       if --

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Can I please have some order in the chamber.

        21                  I apologize, Senator Saland.

        22       Please continue.

        23                  SENATOR SALAND:    Thank you very

        24       much, Mr. President.

        25                  -- just to see if we're starting



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         1       off anywhere near the same place.  I believe

         2       that in order for New York to be viable, our

         3       state, in order for our state to be able to

         4       stimulate its economy, there has to be a great

         5       emphasis on not impairing private-sector job

         6       growth but incentivizing private-sector job

         7       growth.  Could we agree that that in fact

         8       would be, as an overarching statement, that

         9       could be a common agreement between you and I?

        10                  SENATOR CARL KRUGER:    Through

        11       you, Mr. President, yes, I know so.  And that

        12       has been the very basis that we've been

        13       approaching the entire economic development

        14       package.

        15                  SENATOR SALAND:    Thank you,

        16       Senator.

        17                  Would the Senator continue to

        18       yield?

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Kruger, will you continue to yield?

        21                  SENATOR CARL KRUGER:    Yes, I do,

        22       Mr. President.

        23                  SENATOR SALAND:    Senator Kruger,

        24       as I looked at this particular budget bill,

        25       there are several things that caught my



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         1       attention.  I can recall within -- it was

         2       either this past week or the week before, we

         3       were visited by a delegation from the People's

         4       Republic of China.  Senator Smith, the Senate

         5       President, spoke eloquently of them and how

         6       important they were and the importance of

         7       international trade.

         8                  And having been witness to that and

         9       sort of, in all candor, sharing that view, why

        10       would this particular bill reject the

        11       Governor's proposed increase of $1.5 million

        12       for international trade efforts?  It would

        13       certainly seem to fly in the face of Senator

        14       Smith's comments.

        15                  SENATOR CARL KRUGER:    Through

        16       you, Mr. President.  Consistent with our goal

        17       of encouraging international trade, yet

        18       recognizing the tough budget times that we're

        19       in, we did fund an Office of International

        20       Trade with a $200,00 increase in its

        21       appropriation.  Which to my understanding is

        22       about 20 percent above last year's

        23       appropriation.

        24                  SENATOR SALAND:    So if I'm not

        25       mistaken --



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Senator Saland, do you wish Senator Kruger to

         3       continue to yield?

         4                  SENATOR SALAND:    Thank you,

         5       Mr. President.

         6                  SENATOR CARL KRUGER:    Yes, I do.

         7                  SENATOR SALAND:    Thank you.  If

         8       I'm not mistaken, the funding level for this

         9       year is $1.2 million.  And could you share

        10       with me what the funding level for our

        11       international --

        12                  SENATOR CARL KRUGER:    Through

        13       you, Mr. President, that is correct, sir.

        14                  SENATOR SALAND:    And under the

        15       Governor's proposal, what would that have

        16       been?

        17                  SENATOR CARL KRUGER:    Through

        18       you, Mr. President, under the Governor's

        19       proposal it would have been approximately

        20       $2.7 million.  But for all the reasons that

        21       we've already defined, we've reappropriated

        22       funds to the level that we've discussed.

        23                  SENATOR SALAND:    Thank you,

        24       Senator.

        25                  Would the Senator continue to



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         1       yield?

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Senator Kruger, will you continue to yield?

         4                  SENATOR CARL KRUGER:    Yes, I do.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       He does, Senator Saland.

         7                  SENATOR SALAND:    Senator Kruger,

         8       there are probably very few people that you or

         9       I know who have not been exposed to or heard

        10       of the "I Love New York" tourism program.  I

        11       know in my area it is a source of revenue.  It

        12       generates considerable interest, brings people

        13       to our area, particularly in these

        14       hard-pressed times.  My, again, review

        15       indicates a cut of some $6.1 million from

        16       tourism and marketing, which is 3.5, I

        17       believe, from the Governor, compounded by an

        18       additional 2.6 million by this majority,

        19       Democrat majority, and the Assembly Democrat

        20       majority.

        21                  First, can you verify whether in

        22       fact that's an accurate number?

        23                  SENATOR CARL KRUGER:    Through

        24       you, Mr. President, yes, the numbers reflect

        25       an accurate representation.



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         1                  SENATOR SALAND:    If the Senator

         2       will continue to yield.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Kruger, do you continue to yield?

         5                  SENATOR CARL KRUGER:    Yes, I do,

         6       Mr. President.

         7                  SENATOR SALAND:    Many of our

         8       communities -- and certainly there are

         9       probably fewer tourist meccas in our nation

        10       than the City of New York which, to a

        11       considerable extent, may not require them to

        12       resort to these types of tourism proposals and

        13       marketing proposals.

        14                  But for areas outside of the City

        15       of New York, and the further north and the

        16       further west you go, they become far more

        17       critically important.  The elimination of

        18       these dollars basically cuts at the very heart

        19       of economic development.  Going back to our

        20       initial area of agreement, would you not view

        21       that as in fact not incentivizing economic

        22       development once we're beyond the immediate

        23       metropolitan area, but in fact impeding

        24       economic development -- the inability for "I

        25       Love New York" matching grants, the inability



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         1       to engage in tourism programs, which for many

         2       communities can be vital to their very

         3       sustenance?

         4                  SENATOR CARL KRUGER:    Through

         5       you, Mr. President, in the very broadest

         6       terms, yes.  Yes.  Certainly wherever we can

         7       market and wherever we can show all the

         8       attributes of what make this great state an

         9       interesting and exciting place to visit and to

        10       vacation, it certainly spurs economic

        11       development.

        12                  At the same time, as part of gap

        13       closing, we had to recognize our obligation to

        14       cut.  And cut we did.  But at the same time we

        15       also recognize that our obligation to fund a

        16       level of tourism activity in this state is an

        17       integral part of an economic development

        18       package.  And we did provide, in this

        19       appropriation, approximately $8 million for

        20       tourism.

        21                  SENATOR SALAND:    Thank you,

        22       Senator Kruger.

        23                  If the Senator will continue to

        24       yield.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Kruger, will you continue to yield?

         2                  SENATOR CARL KRUGER:    Yes, I do,

         3       Mr. President.

         4                  SENATOR SALAND:    Thank you.

         5                  Senator Kruger, as I said in my

         6       earlier remarks, the City of New York has its

         7       own cachet.  And certainly there are the

         8       wonders of the City of New York that bring

         9       people from all over this nation and all over

        10       the world.  But if you are from the

        11       Adirondacks, if you're from the upper Hudson

        12       Valley, if you're out in Central and Western

        13       New York, these tourism dollars can be really,

        14       in part, part of the essence of economic

        15       vitality.

        16                  So I would respectfully submit to

        17       you that while I agree wholeheartedly with the

        18       importance of cuts, if we start off with the

        19       same basic premise that we want to not impede

        20       but incentivize, why would we want to strip

        21       areas that are desperately in need of economic

        22       development from one of their most viable

        23       tools?

        24                  SENATOR CARL KRUGER:    Through

        25       you, Mr. President.  Firstly, Senator,



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         1       notwithstanding the fact that we know the

         2       cachet -- I like the choice of the word --

         3       that New York City has to offer, New York City

         4       has a very a vigorous and robust tourism

         5       program of its own.  And its marketing

         6       techniques have been duplicated and copied in

         7       states around the country.

         8                  What we're looking at, what we try

         9       to do with our tourism dollars is that, as you

        10       pointed out, they become a matching -- we

        11       incentivize localities by matching the monies

        12       that they put into their tourism programs.

        13       And in this particular case, this legislation

        14       calls for approximately $3.8 million in

        15       matching money to accomplish those goals.

        16                  Which, you know, again, just to

        17       point out, when we're looking at the overall

        18       budget and the cuts that we've been taking,

        19       this is about 10 percent below the amount of

        20       monies that we allocated last year.  Which is

        21       very consistent and perhaps slightly above

        22       cuts that we've suffered throughout this whole

        23       tortured budget process.

        24                  SENATOR SALAND:    Well, Senator

        25       Kruger, inasmuch as you brought up last



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         1       year -- if he'll continue to yield, Mr.

         2       President.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Kruger, will you continue to yield?

         5                  SENATOR CARL KRUGER:    Yes, I do.

         6                  SENATOR SALAND:    So this is a cut

         7       from last year.  And if my memory serves me

         8       correctly, last year was a cut from the

         9       preceding year, was it not?

        10                  SENATOR CARL KRUGER:    Through

        11       you, Mr. President, I can't answer with any

        12       certainty, but I'll take -- I'm sure your

        13       facts bear that out.

        14                  SENATOR SALAND:    Thank you.  I

        15       appreciate that vote of confidence.

        16                  Senator Kruger, the --

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Senator Kruger, will you continue to yield?

        19                  SENATOR CARL KRUGER:    Yes, I do.

        20                  SENATOR SALAND:    This bill

        21       provides for the Governor's small business

        22       revolving loan fund?

        23                  SENATOR CARL KRUGER:    Yes, it

        24       does.

        25                  SENATOR SALAND:    And how much is



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         1       that revolving loan fund?

         2                  SENATOR CARL KRUGER:    Through

         3       you, Mr. President, we've created a

         4       $25 million small business revolving fund,

         5       loan fund.

         6                  SENATOR SALAND:    And if my memory

         7       serves me correctly, the Governor also had

         8       another fund, which I believe was also a loan

         9       fund, it was some type of technology fund.  Is

        10       that in this budget?

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Kruger, do you continue to yield?

        13                  SENATOR CARL KRUGER:    Through

        14       you, Mr. President, that loan fund was

        15       withdrawn by the Governor as part of his

        16       90-day amendments after he submitted his

        17       original budget.

        18                  SENATOR SALAND:    For some reason

        19       or another, Senator Kruger, I was under the

        20       impression that that had been rejected.  But I

        21       will take you at your word.

        22                  SENATOR CARL KRUGER:    We're even.

        23                  SENATOR SALAND:    Okay, thank you.

        24                  Senator Kruger --

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Kruger, do you continue to yield?

         2                  SENATOR CARL KRUGER:    Yes, I do,

         3       Mr. President.

         4                  SENATOR SALAND:    -- the monies

         5       that are dedicated to economic development

         6       currently are, in principle, the major dollars

         7       through the Empire Zone programs.  And it's my

         8       understanding that that will be discontinued,

         9       although those in the program will continue to

        10       be funded for the duration of whatever their

        11       commitment was.

        12                  If you know, Senator Kruger, how

        13       much money is backing that Empire Zone

        14       program?

        15                  SENATOR CARL KRUGER:    Through

        16       you, Mr. President.  Senator Saland, could you

        17       please repeat that?

        18                  SENATOR SALAND:    How much money

        19       is appropriated for -- in the past, how much

        20       money per year has been appropriated for the

        21       Empire Zone program?

        22                  SENATOR CARL KRUGER:    In the

        23       past?  Actually, zero, because it's a tax

        24       expenditure.

        25                  SENATOR SALAND:    Let me rephrase



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         1       my question, if he'll continue to yield.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       Do you continue to yield, Senator Kruger?

         4                  SENATOR CARL KRUGER:    Yes, I do.

         5                  SENATOR SALAND:    How much money

         6       has been spent on the Empire Zone program?

         7                  SENATOR CARL KRUGER:    Through the

         8       years?  Through you, Mr. President, in the

         9       recent years, for however we want to define

        10       those, probably in the range of $500 to

        11       $550 million.

        12                  SENATOR SALAND:    Thank you,

        13       Senator Kruger.  And that item, as a

        14       $550 million tax expenditure, certainly has

        15       been the subject of, at least in some

        16       quarters, controversy, has it not?

        17                  SENATOR CARL KRUGER:    Through

        18       you, Mr. President.  With your permission,

        19       Senator Saland, Senator Stachowski may be in a

        20       better position to give some specific facts.

        21       So let's play tag-team wrestling.  Thank you.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Stachowski.

        24                  SENATOR SALAND:    Mr. President,

        25       as long as I am asking the questions and it's



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         1       Senator Kruger or Senator Stachowski's time,

         2       that's fine.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Saland, you still have the floor.  So

         5       yes.

         6                  SENATOR SALAND:    Thank you.

         7                  SENATOR STACHOWSKI:    The

         8       $500 million to $600 million is the carry-over

         9       of existing companies, from whether they're in

        10       for 15 years or 10 years, depending on when

        11       they entered.

        12                  Currently I can tell you in 2007,

        13       for new companies, we spent $29 million.  In

        14       2008, we spent $21 million on new companies.

        15       In 2009, we had minus $47 million.  And in

        16       2010 so far we've --

        17                  SENATOR SALAND:    Excuse me.  I'm

        18       sorry, could you repeat --

        19                  SENATOR STACHOWSKI:    Minus

        20       $47 million.  Decertification of a lot of

        21       companies.  Which some of them might get back.

        22       Because a court case is involved, there's

        23       companies being recertified, a very complex

        24       situation caused by changes.

        25                  But this year so far we've spent



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         1       $13 million.

         2                  So the $600 million is mostly the

         3       carry-over.  So when you talk about what's

         4       available to new companies, right now it would

         5       be, if we left it running, we had a one-year

         6       extension, it would be about $25 million.

         7       Last year it was -- we spent like 29, 21, and

         8       next year it will be 25.  Currently we spent

         9       13.

        10                  SENATOR SALAND:    If Senator

        11       Stachowski would continue to yield.

        12                  ACTING PRESIDENT CRAIG JOHNSON:

        13       Senator Stachowski will continue to yield.

        14                  SENATOR SALAND:    So the 13 that

        15       you're talking about is new money cumulatively

        16       added to whatever was being spent to those in

        17       the program, which was somewhere in the area

        18       of what, based on whatever numbers you have

        19       there?

        20                  SENATOR STACHOWSKI:    550 million.

        21                  SENATOR SALAND:    So if the

        22       Senator will continue to yield.

        23                  SENATOR STACHOWSKI:    Yes.

        24                  SENATOR SALAND:    Was that 550

        25       million plus another 13 million?



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         1                  SENATOR STACHOWSKI:    538 plus 13

         2       comes out to 551.

         3                  SENATOR SALAND:    Senator

         4       Stachowski, so in fact -- if the Senator will

         5       continue to yield.

         6                  SENATOR STACHOWSKI:    Yes.

         7                  SENATOR SALAND:    In fact, what

         8       has been spent through the program, with

         9       whatever its warts and bruises may be, in the

        10       most completely year was in excess of

        11       $550 million.

        12                  SENATOR STACHOWSKI:    And next

        13       year it will be -- the Empire Zone program

        14       will still continue for all those that have

        15       benefits for however long they have benefits.

        16       So no matter what the new program is or

        17       whatever the current program is, those

        18       benefits carry out till they expire for

        19       whatever companies are in it.

        20                  SENATOR SALAND:    And as the --

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Saland, do you wish Senator Stachowski

        23       to continue to yield?

        24                  SENATOR SALAND:    If Senator

        25       Stachowski will continue to yield.



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         1                  SENATOR STACHOWSKI:    Yes.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       He does.

         4                  SENATOR SALAND:    And as those

         5       businesses that are in the program exhaust the

         6       period of their certification, that pot will

         7       shrink, will it not?  Or that expenditure will

         8       shrink.

         9                  SENATOR STACHOWSKI:    Well, I

        10       can't answer that, because we don't know if --

        11       in future years, we don't know -- usually when

        12       there's a cap on a program, oftentimes if the

        13       cap is pushed up, you know, get upon and they

        14       spend the whole amount, sometimes there's --

        15       oftentimes, I should say, almost all the time

        16       is more like reality -- there's discussion in

        17       the following budget to increase the cap.

        18       However, right now we're working under a

        19       program that is capped at $50 million and will

        20       be capped every year at $50 million for the

        21       next five years.

        22                  SENATOR SALAND:    Will Senator

        23       Stachowski continue to yield?

        24                  SENATOR STACHOWSKI:    Yes.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Stachowski will continue to yield.

         2                  SENATOR SALAND:    Senator

         3       Stachowski, am I to conclude or should anybody

         4       reasonably conclude from your preceding

         5       remarks that in fact the Empire Zone program

         6       will continue --

         7                  SENATOR STACHOWSKI:    No, the

         8       Empire Zone -- is that the end of your

         9       question?

        10                  SENATOR SALAND:    Well, what you

        11       had said was, if I remember correctly, is that

        12       it's capped, but one will not know what the

        13       next year will bring.

        14                  SENATOR STACHOWSKI:    The new

        15       program has a cap of $50 million.  If this

        16       bill passes and the new program goes in.

        17                  But the fact is that the Empire

        18       Zone expires June 30th.  So the Empire Zone

        19       for new entrants will no longer exist unless

        20       there's some kind of extension done, which

        21       isn't in this bill, isn't in the budget bill

        22       that the Assembly passed, isn't in anything

        23       that the Governor is willing to sign.  So the

        24       fact is that the Empire Zone will continue for

        25       those people in it, getting benefits, until



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         1       their benefits run the full course, whether it

         2       was 15 or 10 years of, however the -- whenever

         3       they entered and what the program was doing at

         4       that point.

         5                  SENATOR SALAND:    Will Senator

         6       Stachowski continue to yield?

         7                  SENATOR STACHOWSKI:    Yes.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator Stachowski will continue to yield.

        10                  SENATOR SALAND:    So then it's

        11       safe to say that with the program expiring on

        12       June 30th and businesses that have fixed

        13       duration of benefits, as those periods or

        14       durations expire, they will cease to be able

        15       to take advantage of those benefits and the

        16       replacement for that program will be the

        17       Governor's Excelsior program?

        18                  SENATOR STACHOWSKI:    Excuse me,

        19       Senator.  The only problem I have with the way

        20       you worded your question was whether the

        21       Empire Zone continued or not, when their term

        22       of 10 years is over, they cease to get those

        23       benefits.

        24                  Because it was X amount of years

        25       long that you're in the Empire Zone.  It



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         1       doesn't mean that if you're in the Empire

         2       Zone, you're in for 10 years, that you're now

         3       in Year 11, you continue to get those

         4       benefits.  I don't believe that that was the

         5       case in the past program, and I don't know

         6       that that's the case in the next program.

         7                  SENATOR SALAND:    Will the Senator

         8       continue to yield?

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Senator Stachowski, will you continue to

        11       yield.

        12                  SENATOR STACHOWSKI:    Yes.

        13                  SENATOR SALAND:    Senator

        14       Stachowski, I hope I didn't leave you with the

        15       impression that I thought otherwise.  There

        16       will be a point in time, will there not, when,

        17       due to the termination of the program or

        18       expiration of the program, that Empire Zone

        19       benefits -- currently, the most recent year,

        20       some $550 million -- will be thoroughly

        21       depleted as the businesses that have been

        22       certified and enter the program, no new

        23       businesses coming in, the benefits going to

        24       dissipate, and the replacement then is the

        25       Governor's Excelsior program?



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         1                  SENATOR STACHOWSKI:    And that's

         2       the case that Year 1 it's $50 million, Year 2

         3       the ceiling is at $100 million.  It's 50 and

         4       50.  And it's an additional 50 the third year,

         5       an additional 50 the fourth year, and an

         6       additional 50 the fifth year.

         7                  SENATOR SALAND:    Senator

         8       Stachowski, let me just pose this rhetorically

         9       because I would not want to say something that

        10       might be offensive.  Five times 550, in terms

        11       of economic development, is a heck of a lot

        12       more than five times 50.

        13                  So I look at this and what I see is

        14       in a period of time in which we are struggling

        15       mightily, in which jobs are fleeing New York,

        16       in which areas of the state such as the areas

        17       of the state that you represent are

        18       desperately crying out for some kind of help,

        19       we in my opinion are sort of throwing out the

        20       baby with the bathwater by tossing out this

        21       Empire Zone program -- which, as I said a bit

        22       earlier, does have warts and bruises -- and

        23       going to a model that is a severely reduced

        24       model in terms of the ability to provide

        25       economic incentives to businesses either to



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         1       stay in New York or to come to New York.

         2                  SENATOR STACHOWSKI:    That's the

         3       question?  Through you, Mr. President --

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Thank you.

         6                  SENATOR STACHOWSKI:    -- I don't

         7       want to argue with your mathematical

         8       background, but the fact is for at least the

         9       next five years the $500 million will be still

        10       being spent by the Empire Zone because most of

        11       these companies will still be getting those

        12       full benefits, plus the new program will be

        13       in, and they'll be getting $50 million a year

        14       offered to new companies coming in under the

        15       new criteria.

        16                  And so that I don't see where this

        17       big drop-off in economic development money is

        18       coming from.

        19                  SENATOR SALAND:    Senator

        20       Stachowski --

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       So you wish Senator Stachowski to --

        23                  SENATOR STACHOWSKI:    And just to

        24       finish that answer, it is not $500 million to

        25       new companies every single year.  So to try



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         1       frame it that way is fuzzy mathematics, as

         2       many people refer to things like that.

         3                  And the fact is that in new

         4       companies, for the last three years we have

         5       been spending nowhere near $50 million on new

         6       companies.  The carry-over benefits are still

         7       carrying over for a distant future, I might

         8       add, including the small amounts that have

         9       been added.

        10                  So there's nobody that's going to

        11       drop it off immediately.  When the program

        12       ends, that $500 million does not disappear.

        13       Those people will still be getting those

        14       benefits.  And I'm pretty sure that a lot of

        15       people that had received letters that said you

        16       may be decertified are going to end up being

        17       recertified, a large number of them.  Because

        18       they've been being recertified.  In the last

        19       meaning of the Empire Zone decertification

        20       board, for lack of a better -- I think that's

        21       what it's called -- was going to recertify

        22       some more, but it was put on hold by DOB.

        23       They asked for the meeting to be canceled

        24       until after the budget passed.

        25                  So I believe more of those



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         1       companies will be coming back.  So the fact is

         2       that the program will not be going down in its

         3       impact in this state.  As a matter of fact,

         4       now there will be more money available with

         5       this new program, and more areas available to

         6       get them.  No longer will be you the guy

         7       across the street from the Empire Zone and the

         8       guy across the street's getting benefits and

         9       you're not allowed because you're on the wrong

        10       side of the street.  In the new program, it's

        11       statewide to get to enter the program.

        12                  Now, to get certain pieces of the

        13       program, you get an extra benefit for being in

        14       a distressed area.  Or you could be a

        15       regionally significant project and get that

        16       extra credit.  But the fact is that companies

        17       all over the state now, businesses all over

        18       the state, can apply for the new program,

        19       where currently there's 85 Empire Zones and

        20       only if you're in one can you get it.

        21                  And I might add in Buffalo they had

        22       the experience where they moved one, and all

        23       the people that were in it no longer would be

        24       eligible for Empire Zone credits.  Only the

        25       people that were now in it were eligible for



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         1       Empire Zone credits.  And that was always a

         2       risk if the locality decided to move the

         3       Empire Zone and change its boundaries.  If

         4       you're no longer in the new boundaries, you

         5       were out of the program.  And that's nothing

         6       that we did, that was something that

         7       localities could do.

         8                  SENATOR SALAND:    If the Senator

         9       will continue to yield.

        10                  SENATOR STACHOWSKI:    Absolutely.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Stachowski will continue to yield.

        13                  SENATOR SALAND:    So, Senator

        14       Stachowski, let me see if I understand this

        15       correctly.  Are you telling me that there are

        16       businesses currently not in the Empire Zone

        17       program that are going to be able to get into

        18       the Empire Zone program?

        19                  SENATOR STACHOWSKI:    No, I'm

        20       telling you that there's businesses that are

        21       currently not able to get in any kind of

        22       program, because the Empire Zone is our

        23       program, that now were across the street from

        24       an Empire Zone in the same town that will be

        25       able to enter the new program, because there



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         1       won't be a geographical boundary unless we

         2       count the border of the State of New York as

         3       the geographical boundary.

         4                  So any company is eligible to apply

         5       to get entrance into the new program, where

         6       that definitely was not the case in the Empire

         7       Zone.

         8                  SENATOR SALAND:    If the Senator

         9       will continue to yield.

        10                  SENATOR STACHOWSKI:    Absolutely.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Stachowski will yield.

        13                  SENATOR SALAND:    Are there any

        14       parameters on the types of companies that

        15       would be eligible for this pool of money?

        16                  SENATOR STACHOWSKI:    Yes, there

        17       are.

        18                  SENATOR SALAND:    So when you say

        19       any company would be eligible, it's not the

        20       universe of all companies and all businesses.

        21       Why don't you share with us, or me, who those

        22       companies might be, what types of companies.

        23                  SENATOR STACHOWSKI:    Well, you

        24       could be in manufacturing, financial services,

        25       other back office or distribution centers.



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         1       You could be in high-tech industries, biotech

         2       industries, development of software and new

         3       media industries.  You can be in agriculture.

         4       You can be industries with significant growth

         5       potential.  And you can be a business that the

         6       commissioner would deem as a regionally

         7       significant project.  Which is also the case

         8       with the Empire Zone, for that last piece.

         9                  SENATOR SALAND:    And if the

        10       Senator will --

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Senator Stachowski, do you continue to yield?

        13                  SENATOR STACHOWSKI:    Yes.  Yes.

        14                  SENATOR SALAND:    If we're talking

        15       about, and correct me if I'm wrong, phasing

        16       out the Empire Zone program -- and please tell

        17       me if I'm misunderstanding that, because I

        18       think that's what you're telling me, we're

        19       phasing it out.  And then I have a question.

        20                  SENATOR STACHOWSKI:    Actually,

        21       the Empire Zone program was officially phased

        22       out last year.  It goes out of existence

        23       June 30th.

        24                  SENATOR SALAND:    We're going to

        25       provide benefits to that panoply of businesses



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         1       to the tune of some $50 million statewide,

         2       replacing a vehicle that was providing

         3       benefits to the tune of some $500-plus million

         4       statewide.  And notwithstanding the fact that

         5       there may have been geographical determination

         6       made by localities, if my math is right,

         7       that's about one-tenth of the economic

         8       benefit.

         9                  SENATOR STACHOWSKI:    Well,

        10       actually, Senator, when you take -- and you're

        11       talking about benefits that have accrued over

        12       a number of years to get it to that larger

        13       number.  If you took the new program and

        14       pushed it out ten years, you'd be talking

        15       about $1.25 billion in the program.  As

        16       opposed to the $500 million in this program.

        17       Because every year it grows $50 million.

        18                  Unless, somewhere down the line,

        19       because of a great deal of demand and a better

        20       economic condition in New York State, we

        21       decide to lift the cap and make it higher.

        22       Which is always a possibility in a better

        23       economic condition for the state and in a

        24       situation where we're getting a larger demand

        25       to enter the program.



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         1                  SENATOR SALAND:    If the Senator

         2       will continue to yield.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Stachowski?

         5                  SENATOR STACHOWSKI:    Absolutely.

         6                  SENATOR SALAND:    Senator

         7       Stachowski, the Governor's $50 million

         8       Excelsior program, the annual appropriation

         9       is, according to the Governor's plan, for how

        10       many years?

        11                  SENATOR STACHOWSKI:    Actually,

        12       there's no appropriation to this.  It's after

        13       you've proved that you created the jobs or any

        14       of the tax benefits and you document it, then

        15       you get the tax credits, et cetera, to your

        16       company.

        17                  SENATOR SALAND:    And if the

        18       Senator will continue to yield.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Stachowski, do you continue to yield?

        21                  SENATOR STACHOWSKI:    Yes.

        22                  SENATOR SALAND:    Has the

        23       Governor, in his proposal -- I recall sitting

        24       through his budget presentation.  I thought he

        25       had specified that his proposal, if I remember



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         1       correctly, was for a period of five years.

         2                  SENATOR STACHOWSKI:    The

         3       Governor's proposal -- first of all, what the

         4       Governor said in his budget presentation was a

         5       much different-looking program than the

         6       program that is currently in this package.

         7       His program at budget presentation was 50 jobs

         8       in five years, period.  And that's not exactly

         9       what we have here today.

        10                  There's been some change in what

        11       the Governor originally put out.  You can be

        12       in for five years.  When you join, you're in

        13       for five years.  That's the new program.  And

        14       you can get credits for five years.  If you

        15       join in Year 5, you still have four more years

        16       after that left, because it's a five-year

        17       program.

        18                  So what the Governor described at

        19       his budget presentation is a lot different

        20       than what is in this program now.  There are

        21       more ways of entering the program.  There is a

        22       retention, quote, unquote, smart growth piece,

        23       which is the property tax piece that you get

        24       on distressed areas or regionally significant

        25       projects.  That was in no way included in his



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         1       original presentation of 50 jobs in five

         2       years.  And the job growth, even the job

         3       creation level differs between industries.  So

         4       that some industries are expected to create

         5       more jobs to qualify and some are expected to

         6       create less jobs to qualify.

         7                  So this program is a completely

         8       different-looking program than the simple job

         9       creation program that he presented at his

        10       presentation at budget.

        11                  SENATOR SALAND:    If the Senator

        12       will continue to yield.

        13                  SENATOR STACHOWSKI:    Yes.

        14                  SENATOR SALAND:    I also recall,

        15       during the course of his budget presentation,

        16       him making reference to some type of

        17       technology seed fund, which I believe was

        18       going to be a revolving loan fund.  Is that

        19       part of this budget.

        20                  SENATOR STACHOWSKI:    No,

        21       unfortunately that's a piece that the Governor

        22       withdrew.  Isn't it the seed fund?  The seed

        23       fund is a piece that he put in.  We thought it

        24       was a great idea, because we included in our

        25       one-house budget.  And he also withdrew it,



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         1       the Governor withdrew the seed fund somewhere

         2       along the way -- in the 90-day amendments, to

         3       be specific.  Yes, sorry, I forgot.

         4                  SENATOR SALAND:    And one or two

         5       other questions, if you'll continue to yield.

         6                  The subsidy that was provided for

         7       small businesses to comply with the

         8       requirements of Timothy's Law, I believe that

         9       has been eliminated from this budget?

        10                  SENATOR STACHOWSKI:    I believe

        11       so, yes.

        12                  SENATOR SALAND:    And would you

        13       know how much that means in terms of dollars?

        14                  SENATOR STACHOWSKI:    $70 million.

        15       Seventy-nine million, excuse me.  DeFrancisco

        16       could have passed you a note on that.

        17       Seventy million, he says.  Sorry, John.

        18       Another discrepancy.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Saland.

        21                  SENATOR SALAND:    Just one last

        22       topic, if I might.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Okay.  But if I can, I just wanted to let you

        25       know that you have been debating this bill for



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         1       more than 30 minutes.  If you wouldn't mind,

         2       we have a couple of other speakers.  If you

         3       could just wrap it up, it would be really

         4       appreciate.

         5                  SENATOR SALAND:    Thank you.  I

         6       appreciate -- thank you.  I'll merely ask

         7       the -- well, if I've dominated that much time,

         8       I will take your lead and I will explain my

         9       vote later.

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       You'll speak on the bill?  Thank you, Senator

        12       Saland.

        13                  Senator Fuschillo, on the bill.

        14                  SENATOR FUSCHILLO:    Thank you,

        15       Mr. President.  I'd like to ask Senator Dilan

        16       a few questions.

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Can you wait a moment, Senator Fuschillo?

        19                  SENATOR FUSCHILLO:    Or Senator

        20       Kruger, whatever is easiest.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Kruger, would you mind yielding to a

        23       few questions from Senator Fuschillo?

        24                  SENATOR CARL KRUGER:    Yes, I

        25       will.



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         1                  SENATOR FUSCHILLO:    Thank you,

         2       Senator.  It's been a while since Senator

         3       Libous had asked Senator Dilan some questions,

         4       so if I'm repetitive, please bear with me.

         5                  The $7 billion for the two-year

         6       capital program for the DOT, how is that

         7       funded?

         8                  SENATOR CARL KRUGER:    Rather than

         9       having some conflicting verbiage, let's get

        10       Senator Dilan back so that he can pick up

        11       exactly with the same message.

        12                  SENATOR FUSCHILLO:    Okay, thank

        13       you.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Senator Fuschillo, I assume you would like to

        16       ask Senator Dilan to yield for a couple of

        17       questions, then.

        18                  SENATOR CARL KRUGER:    Through

        19       you, Mr. President.  Senator Dilan, there's

        20       some questions on the capital program Senator

        21       Fuschillo would like answered.  I thought

        22       you'd be in the best position.

        23                  SENATOR DILAN:    I'll answer to

        24       the best of my ability.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator Fuschillo, Senator Dilan will yield

         2       for some questions.

         3                  SENATOR FUSCHILLO:    Thank you,

         4       Senator.  Just bear with me; it's been a while

         5       since Senator Libous had asked you some

         6       questions.  So if I'm repetitive, my

         7       apologies.

         8                  The $7 billion for the two-year

         9       capital program for the DOT, how is that

        10       funded?

        11                  SENATOR DILAN:    It's $6.9

        12       billion, funded from a portion of federal

        13       funds and state-bonded money.

        14                  SENATOR FUSCHILLO:    I'm sorry,

        15       Mr. President, I didn't --

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       He said it was funded -- correct me if I'm

        18       wrong -- from federal funds and state-bonded

        19       money, a portion of each.

        20                  SENATOR FUSCHILLO:    Will the

        21       Senator yield for another question?

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator, will you continue to yield?

        24                  SENATOR DILAN:    Yes, sir.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       He will yield.

         2                  SENATOR FUSCHILLO:    Thank you,

         3       Senator Dilan.  How much of it is bonded out,

         4       state bonded out?

         5                  SENATOR DILAN:    Twenty percent.

         6                  SENATOR FUSCHILLO:    Twenty

         7       percent of $6.9 billion would be additional

         8       bonding by -- I'm sorry, Mr. President, will

         9       he answer another question?

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Senator Dilan, will you continue to yield?

        12                  SENATOR DILAN:    Yes, sir.

        13                  SENATOR FUSCHILLO:    So 20 percent

        14       of the $6.9 billion will be additional state

        15       bonding; correct?

        16                  SENATOR DILAN:    That's correct.

        17                  SENATOR FUSCHILLO:    Okay.  With

        18       respect to the MTA capital --

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Senator Fuschillo, do you wish him to yield

        21       for another question?

        22                  SENATOR FUSCHILLO:    I would.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator Dilan, will you yield for another

        25       question?



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         1                  SENATOR DILAN:    Yes, sir.

         2                  SENATOR FUSCHILLO:    With respect

         3       to the MTA Capital Review Board program, over

         4       $23 billion was approved, as you know.  How is

         5       that going to be funded under this budget?

         6                  SENATOR DILAN:    Well, the

         7       authority puts out bonds themselves.  My

         8       understanding also is that $10 billion of it

         9       is unfunded.  And I believe there is a federal

        10       portion.  And $6 billion is, I believe,

        11       federal.  I'm sorry, bonded by MTA,

        12       $6 billion.

        13                  SENATOR FUSCHILLO:    Will Senator

        14       Dilan yield for another question?

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Senator Dilan, will you yield for another

        17       question from Senator Fuschillo?

        18                  SENATOR DILAN:    Yes, sir.

        19                  SENATOR FUSCHILLO:    Thank you,

        20       Mr. President.  Does this budget that's being

        21       proposed to be voted on increase the bonding

        22       capability for the MTA by that $6 billion?

        23                  SENATOR DILAN:    The bonding for

        24       the MTA will be an additional $6 billion, yes.

        25       Yes.



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         1                  SENATOR FUSCHILLO:    Will the

         2       Senator yield?

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       Senator Dilan, will you continue to yield?

         5                  SENATOR DILAN:    Yes.  Yes.

         6                  SENATOR FUSCHILLO:    So the answer

         7       to my question is yes?

         8                  SENATOR DILAN:    I said yes three

         9       times.

        10                  SENATOR FUSCHILLO:    Okay.  I only

        11       heard you once.

        12                  Will the Senator continue to yield?

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Senator Dilan, will you continue to yield?

        15                  SENATOR DILAN:    Yes, sir.

        16                  SENATOR FUSCHILLO:    Is there any

        17       language in here to reduce the MTA payroll

        18       tax?

        19                  SENATOR DILAN:    No.

        20                  SENATOR FUSCHILLO:    Would the

        21       Senator continue to yield?

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Senator Dilan, will you continue to yield.

        24                  SENATOR DILAN:    Yes.

        25                  SENATOR FUSCHILLO:    Is the MTA



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         1       payroll tax funding the foundation for the

         2       bonding?

         3                  SENATOR DILAN:    Yes.

         4                  SENATOR FUSCHILLO:    Thank you,

         5       Senator.

         6                  On the bill.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Fuschillo, on the bill.

         9                  SENATOR FUSCHILLO:    The MTA

        10       payroll tax that was adopted last year by the

        11       Democratic majority is a job-killing tax in

        12       the metropolitan area.  Just on Long Island

        13       alone, businesses are closing, hospitals are

        14       hurting, nonprofits are hurting, small

        15       businesses are being decimated throughout the

        16       island and throughout the metropolitan area.

        17                  There are bills floating in this

        18       house by the Democratic majority that would

        19       reduce the payroll tax.  We should eliminate

        20       it.  It was wrong then, it's wrong now.  But

        21       you're stuck with it now.  Because as Senator

        22       Dilan responded to me, it's the foundation for

        23       the $6 billion of the MTA funding of

        24       $23.8 billion, of which $10 billion is a gap.

        25       There's a structural imbalance with the MTA



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         1       capital program here, and you're locked into

         2       the MTA payroll tax to 2014.

         3                  A suggestion to the majority:

         4       Sunset the tax.  Get rid of the tax.  It's

         5       killing businesses in the metropolitan area.

         6                  Mr. President, thank you very much.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Thank you, Senator Fuschillo.

         9                  Senator Dilan, on the bill.

        10                  SENATOR DILAN:    Thank you very

        11       much, Mr. President.  I just rise -- first, I

        12       want to indicate that I will be voting on this

        13       bill.

        14                  And the Republican minority

        15       indicated that it has been tradition that we

        16       fund the five-year DOT plan and a five-year

        17       MTA plan.  Yes, that is true.  But in almost

        18       all cases, or at least the last five years

        19       that I've been here, the funding or the amount

        20       of the allocation was always done after the

        21       bills were passed and after the budget was

        22       passed.

        23                  And I believe that in almost all

        24       cases, even though they called it a five-year

        25       capital plan, they only funded two years of



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         1       the plan.  Because if you look at it, you'll

         2       see that they fund -- only two years of the

         3       jobs or construction work in there gets done,

         4       and then about three years of the work gets

         5       rolled over into next five-year plan.

         6                  So perhaps a two-year plan funding

         7       it at $3.6 billion or $3.3 billion will

         8       hopefully let out all contracts within that

         9       two-year period and then come back and fund

        10       another two-year period.  Whereas we do not

        11       have to wait an additional three years to fund

        12       the plan.

        13                  Senator Libous also talked about

        14       providing $100 million for the highway

        15       dedicated fund, bridge and highway fund.  But

        16       he never provided the source of the hundred

        17       million dollars to pay for that.  Was he

        18       proposing new taxes then?  Where was he going

        19       to get the money?

        20                  Also, today we will be voting on

        21       expanding the powers of the existing

        22       Legislative Commission on Critical

        23       Transportation Choices, which authorizes the

        24       commission to examine, study, and make

        25       recommendations regarding the financing of



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         1       transportation infrastructure projects as we

         2       move along.

         3                  So I urge everyone to vote yes on

         4       this piece of legislation.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       Thank you, Senator Dilan.

         7                  Are there any other Senators

         8       wishing to be heard on the bill?

         9                  Seeing none and hearing none, the

        10       debate is closed.  The Secretary will please

        11       ring the bells.

        12                  Read the last section.

        13                  THE SECRETARY:    Section 2.  This

        14       act shall take effect immediately.

        15                  ACTING PRESIDENT CRAIG JOHNSON:

        16       Call the roll.

        17                  (The Secretary called the roll.)

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Saland, to explain his vote.

        20                  SENATOR SALAND:    Thank you,

        21       Mr. President.

        22                  At the expense of somehow or other

        23       offending the gentleman who's in the back of

        24       the chamber right now, our Governor and former

        25       colleague, I'd like to come back to the issue



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         1       of fuzzy math that was mentioned during my

         2       exchange with Senator Stachowski.  I guess

         3       it's a --

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       I apologize, Senator Saland.

         6                  Please, a Senator is explaining his

         7       vote.  Can we have order in the chamber.

         8       Thank you.

         9                  Senator Saland.

        10                  SENATOR SALAND:    I guess it's a

        11       matter of it being in the eye of the beholder.

        12       Five times 50 million on five consecutive

        13       five-year programs cumulatively through

        14       10 years would be $1.25 billion.  Five times

        15       $550 million, which is what was being paid in

        16       terms of benefits for the Empire Zone plan,

        17       over that same period of time would be

        18       $5.5 billion.

        19                  The program is terminated.  People

        20       will ultimately, in effect, age out of the

        21       system.  But it's a difference of $4.25

        22       billion, $5.5 billion versus $1.25 billion.

        23       And at the same time we are cutting back on

        24       commitments to international trade, tourism,

        25       commitments to businesses under Timothy's Law.



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         1                  While this is in part the economic

         2       development portion of the budget, I submit

         3       that, as I mentioned in my earlier remarks, we

         4       can either as a government impair or impede,

         5       on the one hand, or incentivize on the other.

         6                  This does more to impair and

         7       certainly not enough to incentivize, and I

         8       cast my vote in the negative.  Thank you.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       Senator Saland to be recorded in the negative.

        11                  Senator DeFrancisco, to explain his

        12       vote.

        13                  SENATOR DeFRANCISCO:    Yes, I vote

        14       no.

        15                  And the point that I want to make

        16       is about the transportation budget.  When the

        17       deficit reduction plan came out, we were told

        18       in the fall of last year that the road and

        19       bridge parity would actually take place that

        20       funds that normally go to roads and bridges

        21       upstate would offset what goes to the MTA.

        22       Well, that obviously never happened.

        23                  There's also some facility closures

        24       in this bill -- all of which, by the way, are

        25       upstate, and none in New York City.  Which is



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         1       not too much of a surprise.

         2                  In addition, there's a provision in

         3       this bill that eliminates the $665,000

         4       proposed to begin oversight of permitting for

         5       the Marcellus Shale hydrofracking.  Now, I

         6       don't know what that means, whether we don't

         7       need it because it's not an environmental

         8       issue or that there's already been a decision

         9       made for not allowing this by way of some type

        10       of moratorium.  We just don't know, because

        11       this is being done piecemeal.

        12                  And lastly, as I mentioned before,

        13       each business -- people are saying we should

        14       work in a bipartisan manner.  How can you

        15       exempt small businesses from the increased

        16       costs of Timothy's Law because they can't

        17       afford it and then today eliminate

        18       $70 million-plus to reimburse those small

        19       businesses, which will kill many of them, and

        20       want bipartisan support for another

        21       antibusiness provision?

        22                  So for those reasons, and for many

        23       other too numerous to mention in two minutes,

        24       I vote no.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator DeFrancisco to be recorded in the

         2       negative.

         3                  Senator Ranzenhofer, to explain his

         4       vote.

         5                  SENATOR RANZENHOFER:    Thank you,

         6       Mr. President.

         7                  Again, you know, this is just

         8       complete insanity.  I was complaining last

         9       time about the last budget bill, which was 329

        10       pages.  This one is 735 pages.  Okay?  A total

        11       of almost 1100 pages.  Hundreds of more pages

        12       when you add the other bills that we're

        13       dealing with.  And I know that, you know, we

        14       did have the whole weekend to read it.  But

        15       nevertheless, to read 1500 pages over the

        16       weekend I think is a little bit much,

        17       especially with such a terrible budget that

        18       we're voting on today.

        19                  And again, it just draws out the

        20       discrepancy and the unfairness to upstate

        21       New York and Western New York.  You know,

        22       whether we're talking about heating fuel,

        23       where we have one set of rules for New York

        24       City and another set of rules for the rest of

        25       the state; whether we're talking about the



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         1       utility tax, which again was 1 percent for

         2       downstate and 2 percent for upstate; whether

         3       we're talking about the STAR program, which

         4       hurt upstate New York and Western New York

         5       much more than the downstate area; or whether

         6       we're talking about the disparity between

         7       roads and bridges, where you have an MTA plan

         8       but you don't have any plan for upstate

         9       New York for roads and bridges, where we have

        10       to depend on those in order to get to work,

        11       take our kids to school, whatever we're

        12       doing -- it's just completely unfair.

        13                  And then to cap it off with a new

        14       program, or what I would call the lack of a

        15       program for economic development, where you go

        16       to a five-year plan from a 10-year plan where

        17       you don't have a cap, where you now have a

        18       cap, it just completely is unfair for Western

        19       New York and upstate New York.

        20                  For those reasons, for putting in

        21       more spending, more taxes, I'll be voting no.

        22                  Thank you, Mr. President.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       Senator Ranzenhofer to be recorded in the

        25       negative.



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         1                  Senator Bonacic, to explain his

         2       vote.

         3                  SENATOR BONACIC:    Thank you,

         4       Mr. President.

         5                  This legislation today, this budget

         6       bill, continues the pattern of geographical

         7       discrimination.  You've heard colleagues on

         8       this side of the aisle talk about more of the

         9       burdens are passed to the people outside

        10       New York City, and more of the benefits are

        11       accruing to New York City.

        12                  But other than the parity issue

        13       that Senator Libous talked about at length,

        14       with the roads and bridges and the MTA capital

        15       plan, what you did today is you locked in the

        16       MTA payroll tax on all of the counties,

        17       because those monies are the basis for

        18       increasing the $6 billion MTA new bonding

        19       program.

        20                  So all those Senators on your side

        21       of the aisle that have all those bills in

        22       about eliminating the payroll tax for the MTA

        23       or changing the formulas, it's all a pandering

        24       game.  Because when you vote today, you have

        25       cemented the payroll tax to 2014 in order to



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         1       enable the MTA to continue borrowing.

         2                  So for that reason, I'm voting no.

         3       Thank you, Mr. President.

         4                  ACTING PRESIDENT CRAIG JOHNSON:

         5       Thank you, Senator Bonacic.  To be recorded in

         6       the negative.

         7                  Senator Dilan, to explain his vote.

         8                  SENATOR DILAN:    Mr. President, I

         9       hear from the other side that we do not have

        10       an upstate plan.  We indeed do have a two-year

        11       upstate plan for roads and bridges, which is

        12       funded at about $3.4 billion for one year.

        13       And we also do have an MTA plan, which is also

        14       two years.

        15                  The problem that we have here, when

        16       we became the majority in this house -- and

        17       the pillage that has gone on of the highway

        18       and dedicated fund is where we have this

        19       problem that we have difficulty raising the

        20       necessary money to pay for the adequate

        21       maintenance of our roads.

        22                  I'm going to vote yes and urge

        23       everyone to vote yes.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Senator Dilan to be recorded in the



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         1       affirmative.

         2                  Announce the results.

         3                  THE SECRETARY:    Those recorded in

         4       the negative on Calendar Number 1062 are

         5       Senators Alesi, Bonacic, DeFrancisco, Farley,

         6       Flanagan, Fuschillo, Golden, Griffo, Hannon,

         7       O. Johnson, Lanza, Larkin, LaValle, Leibell,

         8       Libous, Little, Marcellino, Maziarz, McDonald,

         9       Nozzolio, Padavan, Ranzenhofer, Robach,

        10       Saland, Seward, Skelos, Volker, Winner and

        11       Young.

        12                  Ayes, 32.  Nays, 29.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       The bill is passed.

        15                  To clarify the record, the

        16       Secretary will reannounce the results on

        17       Calendar Number 1041.

        18                  THE SECRETARY:    In relation to

        19       Calendar Number 1041:  Ayes, 32.  Nays, 28.

        20                  Absent from voting:  Senator

        21       Little.  Excused from voting for the day:

        22       Senator Morahan.

        23                  ACTING PRESIDENT CRAIG JOHNSON:

        24       The bill is passed.

        25                  The Secretary will now call up



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         1       Calendar Number 1063 and put it before the

         2       Senate on the controversial calendar.

         3                  THE SECRETARY:    Calendar Number

         4       1063, substituted earlier today, Assembly

         5       Budget Bill, Assembly Print Number 9706C, an

         6       act to amend the Executive Law and others.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Are there any Senators wishing to be heard on

         9       the bill?

        10                  Senator DeFrancisco.

        11                  SENATOR DeFRANCISCO:    I just want

        12       to mention a couple of things that are in this

        13       bill --

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Senator DeFrancisco, on the bill.

        16                  SENATOR DeFRANCISCO:    -- on the

        17       bill, in case people missed them.

        18                  This budget bill eliminates the

        19       language for a four-year moratorium on new

        20       unfunded legislative mandates on local

        21       governments and school districts.  So that

        22       provision that the Governor proposed,

        23       eliminating unfunded mandates, is being

        24       eliminated by this particular bill.

        25                  In addition, this is the bill that



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         1       raises millions of dollars of fees, from a $95

         2       fee, additional fee paid for every judgment on

         3       every consumer credit transaction in the State

         4       of New York, an additional $190 per real

         5       property foreclosure transaction -- and

         6       between the two of them, that's about

         7       $30 million -- an additional fee of $500 to

         8       sit on the New York State Bar if you're from

         9       out of state; increasing the criminal history

        10       search fee from $55 to $65, which is going to

        11       affect everyone who's required by law to get a

        12       criminal history check, such as school

        13       districts and the like; increases biennial

        14       registration fees for the practice of law.

        15                  In addition, one other thing, and

        16       that is that this fund is going to provide

        17       funding for a new organization a new office --

        18       when we're supposed to be consolidating

        19       government -- an Office of Indigent Legal

        20       Services.  And I'll just ask all of you to

        21       please stay tuned for another budget bill so

        22       we can discuss that.

        23                  Thank you.

        24                  ACTING PRESIDENT CRAIG JOHNSON:

        25       Thank you, Senator DeFrancisco.



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         1                  Seeing no other Senators wishing to

         2       be heard on the bill, debate is closed.  The

         3       Secretary will please ring the bells.

         4                  Read the last section.

         5                  THE SECRETARY:    Section 2.  This

         6       act shall take effect immediately.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Call the roll.

         9                  (The Secretary called the roll.)

        10                  ACTING PRESIDENT CRAIG JOHNSON:

        11       Announce the results.

        12                  THE SECRETARY:    Those recorded in

        13       the negative on Calendar Number 1063 are

        14       Senators Alesi, Bonacic, DeFrancisco, Farley,

        15       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        16       O. Johnson, Lanza, Larkin, LaValle, Leibell,

        17       Libous, Little, Marcellino, Maziarz, McDonald,

        18       Nozzolio, Padavan, Ranzenhofer, Robach,

        19       Saland, Seward, Skelos, Volker, Winner and

        20       Young.

        21                  Ayes, 32.  Nays, 29.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       The bill is passed.

        24                  Secretary will now put before the

        25       Senate Calendar Number 1064 on the



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         1       controversial supplemental calendar.

         2                  THE SECRETARY:    Calendar Number

         3       1064, substituted earlier today, Assembly

         4       Budget Bill, Assembly Print Number 9709C, an

         5       act intentionally omitted (Part A);

         6       intentionally omitted (Part B).

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator DeFrancisco.

         9                  SENATOR DeFRANCISCO:    On this

        10       bill, I just want to mention, for those who

        11       didn't have a chance to read the entire large

        12       bill here, that it provides for a new

        13       Article 30 in the Executive Law to create a

        14       new Office of Indigent Legal Services.  New

        15       office, when we're cutting jobs, when the

        16       Governor is talking about furloughing people,

        17       cutting positions.

        18                  And it's a new bureaucracy that

        19       will consist of a nine-member board and 29 new

        20       staff members, and its appointed director

        21       would oversee the administration of 18(B)

        22       services by New York City and the counties.

        23                  What's very interesting about this

        24       bill when we're talking about this

        25       upstate/New York City difference, or New York



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         1       City/rest of the state difference, is that

         2       there's funding of $40 million a year in

         3       statute in this bill for indigent legal

         4       services for New York City, but upstate will

         5       move away from a formula program to a grant

         6       program decided by the board.  Forty million

         7       locked in for New York City for indigent legal

         8       services, and a grant program where people

         9       from upstate have to go hat in hand to this

        10       board to get some money for their indigent

        11       legal defense.  It never ends.

        12                  And as a result, upstate and

        13       everybody other than New York has to bring

        14       their hat in hand to Albany to go before this

        15       newly created board in order to try to get

        16       some money when $40 million is in the bill for

        17       New York City.

        18                  No doubt it's pretty obvious, if

        19       it's not obvious to the casual observer, that

        20       there's 23 out of 32 majority members that are

        21       from New York City.  And these things that

        22       we're pointing out in this budget package are

        23       no coincidence.

        24                  I'm going to vote no.

        25                  ACTING PRESIDENT CRAIG JOHNSON:



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         1       Senator DeFrancisco to be recorded in the

         2       negative.

         3                  I do ask people in the chamber to

         4       please keep your conversation to a minimum as

         5       Senators are speaking.

         6                  Are there any other Senators that

         7       wish to be heard on the bill?

         8                  Hearing none, the debate is closed.

         9       The Secretary will please ring the bells.

        10                  Read the last section.

        11                  THE SECRETARY:    Section 3.  This

        12       act shall take effect immediately.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       Call the roll.

        15                  (The Secretary called the roll.)

        16                  ACTING PRESIDENT CRAIG JOHNSON:

        17       Senator Winner, to explain his vote.

        18                  SENATOR WINNER:    Thank you,

        19       Mr. President.  Very briefly to explain my

        20       vote.

        21                  You can try to put a good spin on

        22       the elimination of the Empire Zone program and

        23       the creation of this new Excelsior program,

        24       but as most editorial writers, particularly in

        25       upstate New York and Western New York have



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         1       pointed out, this is a bad deal for us.  It's

         2       a bad swap.  It's something that is going to

         3       not do anything against the mitigation of the

         4       uncompetitive business climate that we have in

         5       this state.  It doesn't do anything about our

         6       high cost of energy.  It doesn't do anything

         7       about our high income taxes.  It doesn't

         8       mitigate, except on a minimal basis, against

         9       our high real property taxes, our health

        10       insurance, our unemployment insurance, or our

        11       workers' compensation rates.

        12                  In short, it is a bad, bad

        13       substitute for the Empire Zone program that's

        14       created thousands of jobs in my particular

        15       area and would have been a far better program

        16       to have continued.

        17                  And at the same time, ironically,

        18       as we've talked about the lack of parity in

        19       this upstate/New York City, we expand

        20       significantly the film credit tax that

        21       benefits 93 percent to the New York region,

        22       and we expand it in an amount that is

        23       ironically in excess of that which is expended

        24       to benefit the Empire Zone program as it

        25       currently exists.



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         1                  So on behalf of upstate New York, I

         2       am voting no on this bill, as it is an unfair,

         3       upstate discriminatory measure in the creation

         4       of this economic development program that,

         5       according to most Empire Zone people as well

         6       as economic development people, just plain

         7       won't work for us.

         8                  ACTING PRESIDENT CRAIG JOHNSON:

         9       Senator Winner to be recorded in the negative.

        10                  Senator Stachowski, to explain his

        11       vote.

        12                  SENATOR STACHOWSKI:    Yes, to

        13       explain my vote.

        14                  I think that most editorial boards

        15       only hear from the people that represent areas

        16       that currently are doing a pretty good job

        17       with the Empire Zones.

        18                  The biggest difference in this

        19       program is, one, that you can be anywhere in

        20       the state and qualify for the program.  Two,

        21       that if you are in a distressed area, which

        22       Empire Zones was originally created for, you

        23       still get a property tax credit.  Three, you

        24       get an investment tax credit fully refundable

        25       in this program, which you didn't get in the



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         1       other program.

         2                  You have many more ways of entering

         3       it.  The program shouldn't have the

         4       possibility of changing partway through, which

         5       unfortunately happened to the Empire Zones.

         6       And the fact is that you will prove your

         7       existence as you get the benefits.  So once

         8       you're in, you're in.  You won't be

         9       decertified.  Another benefit that the Empire

        10       Zones didn't offer.

        11                  And the fact is that the Empire

        12       Zone benefits will continue for those

        13       companies that are in them.  We believe that

        14       this program will grow.  We think that this

        15       program as it currently is, although it could

        16       have been a little bit better, we believe in

        17       certain areas will turn out to be a much

        18       better program than everybody's giving it

        19       credit for on initial blush.

        20                  And the reality is that this

        21       program I think will prove to be successful in

        22       attracting companies that might not otherwise

        23       qualify for Empire Zone credits but will

        24       qualify under some of the terms available in

        25       this program.



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         1                  So for those reasons, and although

         2       it is not getting an early rousing welcome, I

         3       believe this program will turn out to be good,

         4       and I therefore will support the bill.  And I

         5       would wish my colleagues to support it also.

         6       Thank you.

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Senator Stachowski to be recorded in the

         9       affirmative.

        10                  Senator Saland, to explain his

        11       vote.

        12                  SENATOR SALAND:    Mr. President,

        13       we heard Senator Bonacic a bit earlier talk

        14       about the impact that this would have on the

        15       MTA tax, the payroll tax.  In fact, the very

        16       provisions that provide for the increase in

        17       bonds and obligations of the MTA are contained

        18       in this particular provision, in this

        19       particular budget bill, as a result of which

        20       the payroll tax effectively locks in and

        21       supports the bonds I believe through the year

        22       2014 at the very least.

        23                  This, ladies and gentlemen, for

        24       those of us who are among certainly the

        25       Quarter-Pounders -- and for that matter, I



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         1       would think any of the suburban counties --

         2       pretty much puts a ball and chain around our

         3       collective ankles and holds us as prisoners to

         4       the MTA for the duration of these bonds,

         5       because they will now be backed by revenues of

         6       the payroll tax.

         7                  So notwithstanding any and all

         8       efforts on the part of some to look as if

         9       somehow or other we are making progress

        10       towards getting rid of this odious tax, this

        11       measure ensures that it's not going to go

        12       anywhere.  And if for no other reason than

        13       that, that alone, I would vote no.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       Senator Saland to be recorded in the negative.

        16                  Announce the results.

        17                  THE SECRETARY:    Those recorded in

        18       the negative on Calendar Number 1064 are

        19       Senators Alesi, Bonacic, DeFrancisco, Farley,

        20       Flanagan, Fuschillo, Golden, Griffo, Hannon,

        21       O. Johnson, Lanza, Larkin, LaValle, Leibell,

        22       Libous, Little, Marcellino, Maziarz, McDonald,

        23       Nozzolio, Padavan, Ranzenhofer, Robach,

        24       Saland, Seward, Skelos, Volker, Winner and

        25       Young.



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         1                  Ayes, 32.  Nays, 29.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       The bill is passed.

         4                  The Secretary will now place before

         5       the Senate Calendar Number 1065 on the

         6       controversial supplemental calendar.

         7                  THE SECRETARY:    Calendar Number

         8       1065, by Senator Aubertine, Senate Print 8065,

         9       an act to amend the Economic Development Law

        10       and the Public Authorities Law.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       Are there any other Senators that wish to be

        13       heard on this bill?

        14                  Hearing none, the debate is closed.

        15       The Secretary will please ring the bells.

        16                  Read the last section.

        17                  THE SECRETARY:    Section 18.  This

        18       act shall take effect immediately.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       Call the roll.

        21                  (The Secretary called the roll.)

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       Announce the results.

        24                  THE SECRETARY:    Those recorded in

        25       the negative on Calendar Number 1065 are



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         1       Senators Stachowski and Volker.

         2                  Ayes, 59.  Nays, 2.

         3                  ACTING PRESIDENT CRAIG JOHNSON:

         4       The bill is passed.

         5                  Senator Klein, that completes the

         6       reading of the controversial supplemental

         7       calendar.

         8                  SENATOR KLEIN:    Mr. President,

         9       can we briefly return to motions and

        10       resolutions.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       We can briefly return to motions and

        13       resolutions.

        14                  SENATOR KLEIN:    On behalf of

        15       Senator Adams, on page number 12 I offer the

        16       following amendments to --

        17                  ACTING PRESIDENT CRAIG JOHNSON:

        18       Can we please have some order in the chamber.

        19                  Senator Klein.

        20                  SENATOR KLEIN:    Mr. President, on

        21       behalf of Senator Adams, on page 12 I offer

        22       the following amendments to Calendar Number

        23       271, Senate Print Number 3022, and ask that

        24       said bill retain its place on Third Reading

        25       Calendar.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       So ordered.

         3                  SENATOR KLEIN:    On behalf of

         4       Senator L. Krueger on page 42 I offer the

         5       following amendments to Calendar Number 1001,

         6       Senate Print Number 4526, and ask that said

         7       bill retain its place on Third Reading

         8       Calendar.

         9                  ACTING PRESIDENT CRAIG JOHNSON:

        10       So ordered.

        11                  Again, I ask if Senators and staff

        12       are leaving, to please do so quietly.  We

        13       still have business before the Senate chamber.

        14                  Senator Klein.

        15                  SENATOR KLEIN:    Thank you,

        16       Mr. President.

        17                  On behalf of Senator Thompson, I

        18       move the following bill be discharged from its

        19       respective committee and be recommitted with

        20       instructions to strike the enacting clause:

        21       Senate Number 8185.

        22                  ACTING PRESIDENT CRAIG JOHNSON:

        23       So ordered.

        24                  SENATOR KLEIN:    On behalf of

        25       Senator Oppenheimer, on page number 37 I offer



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         1       the following amendments to Calendar Number

         2       898, Senate Print Number 4134A, and ask that

         3       said bill retain its place on Third Reading

         4       Calendar.

         5                  ACTING PRESIDENT CRAIG JOHNSON:

         6       So ordered.

         7                  SENATOR KLEIN:    On behalf of

         8       Senator Stewart-Cousins, on page 40 I offer

         9       the following amendments to Calendar Number

        10       929, Senate Print Number 7962B, and ask that

        11       said bill retain its place on Third Reading

        12       Calendar.

        13                  ACTING PRESIDENT CRAIG JOHNSON:

        14       So ordered.

        15                  Senator Klein.

        16                  SENATOR KLEIN:    Would you please

        17       recognize Senator Libous for some motions.

        18                  ACTING PRESIDENT CRAIG JOHNSON:

        19       Senator Libous.

        20                  SENATOR LIBOUS:    Thank you,

        21       Mr. President.

        22                  On behalf of Senator Saland, on

        23       page 33 I offer the following amendments to

        24       Calendar Number 844, Senate Print 7001A, and

        25       ask that said bill retain its place on the



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         1       Third Reading Calendar.

         2                  ACTING PRESIDENT CRAIG JOHNSON:

         3       So ordered.

         4                  SENATOR LIBOUS:    I have one more,

         5       on behalf of Senator LaValle.  I wish to call

         6       up his print number, 3292 --

         7                  ACTING PRESIDENT CRAIG JOHNSON:

         8       Again, please.

         9                  SENATOR LIBOUS:    -- recalled from

        10       the Assembly, which is now at the desk.

        11                  ACTING PRESIDENT CRAIG JOHNSON:

        12       The Secretary will read the title.

        13                  THE SECRETARY:    Calendar Number

        14       68, by Senator LaValle, Senate Print 3292, an

        15       act to amend the Education Law.

        16                  SENATOR LIBOUS:    Mr. President, I

        17       now move to reconsider the vote by which this

        18       bill was passed.

        19                  ACTING PRESIDENT CRAIG JOHNSON:

        20       The Secretary will call the roll on

        21       reconsideration.

        22                  (The Secretary called the roll.)

        23                  THE SECRETARY:    Ayes, 61.

        24                  SENATOR LIBOUS:    Mr. President, I

        25       offer up the following amendments.



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         1                  ACTING PRESIDENT CRAIG JOHNSON:

         2       Amendments received.

         3                  Senator Klein.

         4                  SENATOR KLEIN:    Mr. President, is

         5       there any further business at the desk?

         6                  ACTING PRESIDENT CRAIG JOHNSON:

         7       There is a substitution at the desk.

         8                  The Secretary will read.

         9                  THE SECRETARY:    On page 20,

        10       Senator Squadron moves to discharge, from the

        11       Committee on Rules, Assembly Bill Number 1730D

        12       and substitute it for the identical Senate

        13       Bill Number 4313D, Third Reading Calendar 532.

        14                  ACTING PRESIDENT CRAIG JOHNSON:

        15       So ordered.

        16                  Senator Klein.

        17                  SENATOR KLEIN:    Mr. President,

        18       there being no further business, I move we

        19       adjourn until Tuesday, June 22nd, at

        20       12:00 p.m.

        21                  ACTING PRESIDENT CRAIG JOHNSON:

        22       Senator Klein, since the desk is clear and

        23       there is no further business to come before

        24       the Senate, on motion, the Senate stands

        25       adjourned until Tuesday, June 22nd, at



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         1       12:00 p.m.

         2                  (Whereupon, at 8:25 p.m., the

         3       Senate adjourned.)

         4

         5

         6

         7

         8

         9

        10

        11

        12

        13

        14

        15

        16

        17

        18

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