The Riddell Group, LLC

Legislative Updates

  The Riddell Group, LLC
119 Washington Ave., 2nd Flr.
Albany, N.Y. 12210
Phone: (518) 434-7400/Fax: 434-0558

Memo

To: All Clients
From: Glenn T. Riddell
Date: May 9th, 2011
Re: Client Update

Legislature says goodbye:

This was a bittersweet week for all of us at The Riddell Group as the Assembly said goodbye to two of their most dedicated and loyal members.  Assemblywoman Audrey I. Pheffer and RoAnn Destito, with over 44 years of dedicated public service, are moving on to new and exciting positions in state government.  Assemblywoman RoAnn Destito was confirmed by the Senate and sworn in by Governor Andrew Cuomo as the new Commissioner of The Office of General Services.   Assemblywoman Audrey Pheffer begins her new role as Queens County Clerk and Commissioner of Jurors.  Both of these talented women proudly represented their constituents and were considered the best of the best by their colleagues as they concluded their last days in the Assembly.  All of us at The Riddell Group know they will continue their excellent service for the people of the state of New York.

Bringing his message to the people, Governor Cuomo's to do list:

Gov. Andrew Cuomo held the second meeting of his cabinet last Wednesday to discuss a plan to tour the state and drum up support for three priorities in the last weeks of session — a property tax cap, ethics reform and marriage equality.

Cuomo's plan is to go directly to the source — the people of New York.

"If the people are with you the politicians will follow," Cuomo said at a press conference following the cabinet meeting.

This week Cuomo begins the People First Tour, in which he, Lt. Gov. Robert Duffy and members of the cabinet close to these issues will meet with New Yorkers around the state to help put pressure on the Legislature.

"I fundamentally believe in the concept of a democracy where if the people express their desires, the politicians will follow, or they won't be politicians for long," says Cuomo. "Ultimately there is logic to the system, but you have to bring the message to the people."

Cuomo also spoke about how his cabinet team is coming together, and his hopes to follow the model of the federal government to get his state agencies on the same page.

"Frankly I think the federal government is more effective at incorporating the departments into a single administration and operating as an administration and that's one of the things we'll be working on here as a state government.

Governor Cuomo’s tax cap proposal faces possible changes:

Officials say Gov. Cuomo's proposal is on right track but changes threaten deal. During a media blitz to build support for a 2 percent cap on property tax increases, Gov. Andrew Cuomo said the Republican-led Senate shouldn't get "an A for effort" for passing in January ... a tax cap bill drafted by Cuomo's office.

"That's Albany-speak," said Cuomo, a Democrat, after a rally in a Syracuse suburb. "That's 'I passed a bill, the other person didn't pass a bill.' ... When the people of the state of New York have a property tax cap, then they will have done their job."

In an earlier videotaped message, Cuomo said lawmakers must enact a cap "or don't come home" to their districts.

It's a rare acknowledgment of the back-and-forth legislative process that results in most laws in the state. Politically, the governor's singling out the Senate Republicans on this issue moves him into closer alignment with Assembly Speaker Sheldon Silver, D-Manhattan.

A Cuomo aide said the governor's comment applied to both legislative leaders, but it illustrates a shift: For the past several months of his term, Cuomo was allied with Skelos to enact a budget that did not renew an income tax surcharge on New Yorkers earning over $200,000. The governor has preached fiscal conservatism, and the enacted budget largely mirrored Cuomo's proposals. (As a result, Cuomo now enjoys a higher job approval rating among Republicans than among Democrats in a Marist College poll released Tuesday.)

Skelos has even touted passage of the property tax cap, in the form of a "program bill" submitted by Cuomo, as a symbol of his proximity to the governor. But he was left slightly on the defensive Tuesday as news of Cuomo's comments reached Albany.

"If the governor feels (the cap) should be weakened, then he should say it should be weakened," said Skelos, R-Long Island. "That's up to the Assembly. They could pass the bill or not pass the bill."

Silver said Tuesday he has briefed Cuomo on his house's proposal, which his aides are "finalizing" and which will be introduced "one of these days." He declined to offer details, but said it would contain "not too many exemptions" for perennial cost drivers such as pension costs and health care.

Local government leaders from both parties as well as school board officials have said a tax cap without relief of some mandates would be ruinous for their finances.

Conservatives enter debate over tax cap:

Activists say limits on increases aren't enough, want rates rolled back. Gov. Andrew Cuomo's push for a 2 percent property tax cap is turning into a teachable moment for tea party members and conservative activists. As the governor prepared to send his Cabinet members around the state to build public support for the limit, tax protesters and longtime school spending critics have found themselves energized by the prospect of a hard cap.

And the groups are using the debate as a way to educate voters about the importance of school budget and school board elections, which are scheduled for May 17. The cap, as proposed by Cuomo, would apply to county, city and town spending plans as well as school district budgets.

Realizing there are plenty of Democratic Assembly members who dislike a tax cap, Frank Gorman of the Long Islanders for Education Reform says his group is trying to target the way in which the group exerts pressure.

They are urging Senate Majority Leader Dean Skelos, a Republican, to consider negotiating on their already-passed tax cap bill if that's what it takes to get the Assembly to go along.

One possibility, Gorman said: offering Democrats a carrot in the form of expanded rent control laws for New York City residents in return for their support of a tax cap. If that doesn't happen, Gorman's message is simple: they'll withhold support come election time from two freshmen Republicans -- Jack Martins and Lee Zeldin. With the GOP controlling the Senate by just two votes, each race is critical to the party.

"We've created a task force on unfunded mandates," said Ben Potiker of Clifton Park, who is president of the Upstate Conservative Coalition.

Such "mandates," or laws passed in the Legislature, can include measures like the Triborough Amendment, which essentially takes away incentives for public employee unions to come to the bargaining table when a contract expires. Also under scrutiny are rules that govern how new schools are built and stringent guidelines governing special education programs.

"A lot of us want to see cuts," Potiker said, rather than tax caps.

Push for legalization of same-sex unions renewed at Empire State Pride Agenda rally:

Organizers said over a thousand people rallied Monday in Albany (the crowd at an outdoor event appeared smaller), up from boasts of 500 in 2004 but down from an estimated 2,000 in 2009.

Indeed, with the advertising campaigns, a robust donor base, newspaper endorsements and public opinion polls -- 58 percent in a survey last month -- lined up in support of same-sex marriage, it's not nearly as much an act of political courage to endorse the proposal. The gay rights lobby in 2011 is a potent force, and what it deems "marriage equality" is now a top priority.

A victory came in 1994, when Gov. Mario Cuomo extended benefits and recognition to state employees in same-sex relationships. SONDA, first introduced in 1971, was signed into law in 2002. Legislators introduced a bill to explicitly restrict marriage to heterosexuals in 1996, as Hawaii was considering same-sex unions. The Pride Agenda denounced it, but there was little impetus behind the reverse proposal. Dadey said only after SONDA was passed did same-sex marriage come to the fore, "presented as a civil right."

Monday's demonstrators chanted as much. The proposal -- a bill has not yet been introduced this year, and Gov. Andrew Cuomo has yet to submit one, for reasons aides refuse to explain -- has had the support of the last three governors, and has passed the Assembly three times. People like Assemblyman Sam Hoyt, a Buffalo Democrat who describes his district as fairly conservative, raised their voices onstage.

Cuomo skipped the rally, sending Lt. Gov. Bob Duffy to insist, "nobody in this state should ever question or underestimate Gov. Cuomo's commitment to marriage equality." It's a "top issue" for Cuomo, Duffy said.

While Democratic defeats in last year's elections that gave Republicans control of the state Senate have made things less certain, a bill is expected to have enough support in the Assembly. Its path in the Senate is less clear: advocates are careful not to say they have the votes for its passage, unlike 2009 when, despite their confidence, it failed 38-24.

But Cuomo's support is important. The governor's staffers are working closely with its advocates. Cuomo is viewed favorably by over 70 percent of New Yorkers and will begin a statewide tour Tuesday to build support for it and other agenda items.

No firm deadline on layoffs, Cuomo says:

Cuomo says there's no date after which pink slips supplant talks. Gov. Andrew Cuomo said Wednesday that while "the clock is ticking" before the state moves to lay off as many as 9,800 public employees, there is no firm date after which officials will eschew ongoing contract negotiations in favor of pink slips.

"We've been going down the two tracks all along," Cuomo said. "We're at the negotiating table talking, we're trying to find ways to avert layoffs. At the same time, the clock is ticking and we've been making internal plans on how you would handle layoffs. I don't believe we've set a hard deadline, but time is short -- I think everybody's aware of that,"

Cuomo booked $450 million in his budget in savings to be negotiated from contracts with the state work force. Members of a smaller union representing SUNY police and uniformed DEC personnel voted earlier this week to reject a contact that called for a wage freeze and other givebacks. "We go back to the drawing board, or the negotiating table, whatever the case may be," Cuomo said.

State can tax tribal cigarettes:

The appeals court OKs the state to tax cigarettes sold on Indian reservations. A federal appeals court on Monday overturned an injunction that has kept the state from collecting its $4.35-a-pack excise tax on cigarettes sold on several Indian reservations. And while the state declared the decision a win, one tribe said it would continue to sell its own brands without the taxes and another said it would continue to oppose the tax.

The current state budget assumes the state will collect $130 million from Indian tobacco taxes. But like those previously, the Cuomo Administration has been unable to actually collect any money. The latest roadblock came in the form of a federal court injunction against collecting the taxes, which the state proposes to get from wholesalers who sell to the tribes.

However, in a decision dated Monday, the U.S. Second Circuit Court of Appeals concluded the tribes' argument that the state collection plan did not impose an "undue and unnecessary economic burden" on tribal retailers, or interfere with their right of self government.

"The decision closes an enormous tax-evasion loophole that was depriving New York of hundreds of millions of dollars in tax revenue," stated Attorney General Eric Schneiderman.

Governor Cuomo said the state would start the collections right away. Reaction by the tribes varied. Seneca Nation President Robert Porter said they "will continue fighting against this overreaching action by the State to protect our treaty rights, tobacco commerce and all the jobs it supports."

Oneida spokesman Mark Emery said they would continue selling cigarettes made on the reservation, which should remain exempt from the tax.

Council 82 rejects contract proposal:

Gov. Andrew Cuomo last month said he hoped the labor contract proposed for a relatively small union, the Council 82 state law enforcement officers unit, would serve as a model for negotiations with other larger unions such as the Public Employees Federation and Civil Service Employees Association.

On Tuesday, Council 82 members shot down the contract offer by a vote of 674-245.

The strong "no" vote against a contract proposed for Council 82's Agency Law Enforcement Services members was a rebuke not just to the offer put out by the governor's negotiating team, but to the union's own leadership as well.

In fact, Council 82 members were so upset by the contract terms, especially a three-year wage freeze, that they've launched an effort to break away and start a new union.

Monday's vote also marked one of the first times since Cuomo took office that one of his initiatives has gotten a clear setback. Still riding high in the polls, the governor is continuing the push for his top three legislative priorities: ethics and gay marriage, as well as a property tax cap. The Legislature has until late June to act on those measures.

The Council 82 ALES unit represents officers in the state park police, SUNY campus police, Department of Environmental Conservation and park rangers. They have been without a contract since 2005.

Against that backdrop, Tuesday's rejection by Council 82's members suggests Cuomo's labor negotiators have their work cut out for them in settling contracts with the state workforce.

Cuomo spokesman Josh Vlasto stressed that the administration didn't view the vote as a personal rebuke to the governor, but instead saw it as a rejection of the union leadership's stance and the deal they cut for their members.

"We look forward to going back to the negotiating table," Vlasto said.

At least on Monday, activist voices within the union seemed angrier at their own leadership than with the governor.

The union's members "are eager to work with the Cuomo administration, but this particular contract was so bad that it had to be voted down," said Dan De Federicis, the retired president of the State Troopers Police Benevolent Association, who is now looking to head a breakaway Council 82 union.

The strong "no" vote gave a much larger union, PEF, the chance to repeat its contention that a three-year freeze and other concessions would be non-starters for their own contract.

Council 82 negotiators quickly wrapped up the proposal amid growing rumblings that the ALES members wanted to "decertify," or break off and start their own union. On Friday, dissident Council 82 members, including McCartney, filed petitions to hold a decertification vote. That process could take several months, and it could void Tuesday's vote -- throwing another monkey wrench into efforts to complete a contract.

Cuomo has said he needs to realize $450 million in workforce savings to balance this year's budget. If state unions don't help find those savings, the governor has said he would begin laying off state employees -- as many as 9,800 -- as a last resort.

State Senate approves RoAnn Destito for commissioner position:

Tuesday became "RoAnn Destito day" in the state Senate as Destito's colleagues in the Legislature expressed gratitude for her years of service and support for her nomination as new commissioner of the state Office of General Services.

Destito, who is vacating her position as 116th District assemblywoman after 19 years, watched the Senate proceedings Tuesday from the gallery. Surrounded by her family, Destito smiled, laughed, clapped and cried during the event.

Before the Senate unanimously approved Destito for the position via a voice vote, about 15 senators spoke about their appreciation of Destito. Multiple senators also mentioned that they've never seen so many members of the state Assembly in the Senate chambers as there were Tuesday for Destito's nomination.

"It's indicative of the admiration and respect and love these people have for you," Sen. George Maziarz, R-Newfane, said to Destito from the Senate floor.

Gov. Andrew Cuomo nominated Destito to the position in February. Now that Destito is officially the commissioner of the Office of General Services, Cuomo's next step will be to declare a special election for her Assembly seat.

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The Riddell Group, LLC
119 Washington Avenue, 2nd Floor
Albany, NY 12210
Phone: (518) 434-7400
Fax: (518) 434-0558
Email: theriddellgroup@gmail.com