Plugged In @ Hinman Straub — March 11, 2016

Coverage of Albany and New York State government – March 11, 2016

What’s Inside 

  • State Budget Update
  • State Comptroller Reports on Wall Street, Small Businesses
  • Legislature Elects New Regents
  • Governor Announces New START-UP NY Participants
  • P.R. Firms Sue JCOPE Over New Lobbying Rule
  • Assemblymember Sanctioned for Sexually Harassing Staff Member
  • Governor Announces Expansion of Master Teacher Program
  • Political Update
  • Coming Up

 

State Budget Update

The Assembly and Senate each announced their budget priorities this week. Both houses are expected to approved their respective one-house budgets early next week, and then enter into a conference committee process to resolve their differences.

The centerpiece of the Senate Republican‘s one-house budget is a middle class tax cut plan that would provide a broad-based 25 percent cut in the state’s income tax rate.  Their plan would also increase the amount of pension and retirement income that is exempt from taxes to benefit elderly residents.  It also includes increased tax exemptions for small businesses paying an income tax, and an accelerated phased out of the 18-a utility surcharge.  The Senate’s budget will also provide for parity between downstate and upstate transportation funding.

The Assembly’s one-house budget will include increased tax rates for high earners, as well as a small tax reduction for middle class earners, and a $2.1 billion increase in education spending, more than double that proposed by the Governor.  The Assembly also said that it plans to propose $30 million to address the heroin epidemic, a tuition freeze for SUNY and CUNY, $75 million for child care and $30 million to expand heroin and opiate abuse treatment and support programs.

The state’s new fiscal year begins on April 1.

 

State Comptroller Reports on Wall Street, Small Businesses

State Comptroller Tom DiNapoli released reports on the state’s securities industry and small businesses this week.

His report finds that Wall Street profits fell $1.7 billion to $14.3 billion in 2015, the 3rd consecutive decline, and bonuses declined by 9% on average.  But the report also shows that Wall Street added jobs for the second straight year.

The annual survey of New York’s securities industry is a key indicator for the state’s economic condition as a whole, as well as the wealth generated by those who work there is a major component for the state’s financial picture and budget each year.

The Comptroller also released a report on the state’s small business sector, which finds that small businesses support nearly 3.9 million jobs and generate more than $950 billion in annual revenues.  Of the more than 455,000 businesses in New York State, more than 451,000 are small businesses. Almost two-thirds of small businesses have fewer than five employees, and more than 80% have fewer than ten employees.

 

Legislature Elects New Regents

On Tuesday, the Legislature met in a joint session and elected three candidates to fill open seats on the state Board of Regents.

The new Regents are:

  • Nan Eileen Mead, a member of a Community Education Council in New York (District 3), who was elected to complete the reminder of Charles Bendit’s term as Regent from the 1st Judicial District (Manhattan);
  • Luis Reyes, who will succeed former Regents’ Chancellor Merryl Tisch in an “at-large” seat on the board. He is a former member of the New York City Board of Education, and has been an adjunct education professor at a number of CUNY schools whose work has focused on bilingual education and Puerto Rican students; and
  • Elizabeth Smith Hakanson, who will serve as Regent for the 5th Judicial District (Syracuse area), formerly held Vice Chancellor Anthony Bottar.  She was a Syracuse public schools teacher for almost 32 years.

The Board of Regents is expected to choose a new Chancellor and Vice Chancellor at its next meeting later this month.  Regent Betty Rosa (12th Judicial District/Bronx County) is expected to be elected Chancellor, and Regent T. Andrew Brown (7th Judicial District/Rochester area) is considered a strong candidate to become Vice Chancellor.

 

Governor Announces New START-UP NY Participants

On Monday, Gov. Cuomo announced that 18 new businesses will join the START-UP NY program, and have committed to create at least 135 new jobs and invest nearly $10 million over the next five years.

Under the START-UP NY program, participating businesses operate tax-free for 10 years.  The companies also partner with the higher education institutions they are sponsored by so that they can access industry experts and advanced research laboratories associated with the schools.

According to the Governor, 172 businesses have committed to creating at least 4,175 jobs and investing more than $229.2 million over the next five years since the program began in 2014.

 

P.R. Firms Sue JCOPE Over New Lobbying Rule

On Tuesday, five public relations firms filed a federal lawsuit challenging the Joint Commission on Public Ethics’ (JCOPE) recent adoption of an advisory opinion that reinterprets the definition of lobbying to include efforts to get editorial columns written for causes.

Read more about this in our Lobbying, Ethics and Elections Compliance blog.

 

Assemblymember Sanctioned for Sexually Harassing Staff Member

On Wednesday, Assembly Speaker Carl Heastie announced that he will impose sanctions upon Assemblymember Angela Wozniak (C –Cheektowaga) after an ethics investigation found that she had sexually harassed a staff member in her office.

Speaker Heastie said the staff member will be given a new position with comparable pay and benefits, with his salary to be paid from the Assemblymember’s staff budget. Assemblymember Wozniak will be barred from having interns, and will also be required to receive instruction about sexual harassment and submit to checks of her office at least twice a year.

Read the letter from the Assembly’s Ethics and Guidance Committee, and Speaker Heastie’s letter.  Ms. Wozniak, who is serving her first term, said that she plans to run for re-election this fall.  In response to the sanctions, she released a video responding to the matter in which she apologizes for her “poor judgment.”

 

Governor Announces Expansion of Master Teacher Program

Earlier today, Gov. Cuomo announced the expansion of the New York State Master Teacher Program to include more secondary school Science, Technology, Engineering and Math (STEM) teachers.

Gov. Cuomo said:

“We created the Master Teacher Program to attract our best and brightest teachers to the classroom and strengthen the quality of our schools in communities across this state.  By expanding this program we are giving more talented professionals in STEM education the opportunity to develop their careers and help lay the foundation for a world-class workforce. I encourage all of New York’s outstanding educators in these fields to apply to the Master Teachers program today.”

More information on the Master Teacher Program, including application requirements, is available at www.suny.edu/masterteacher.

 

Political Update

Poll Shows Trump, Clinton Leading in New York Presidential Primary

A Siena College poll released on Monday finds that Republican Donald Trump and Democrat Hillary Clinton lead in their respective party primary races in New York.  New York’s presidential primary will be held on Tuesday, April 19.

According to the poll, Trump has a 27 point lead over John Kasich and Marco Rubio, with 45% of those polled indicating that they play to vote for him.   John Kasich and Marco Rubio were each the pick of 18 percent of voters, and Ted Cruz finished last at 11 percent. On the Democratic side, Hillary Clinton leads Bernie Sanders 55% to 34%.

Read the poll crosstabs here.

Former Nassau County Executive Announces Run for Congress

On Sunday, former Nassau County Executive Tom Suozzi announced that he is running for the congressional seat being vacated by fellow Democrat Steve Israel.   At least three other Democrats are considering a run for the seat.

The 3rd Congressional district stretches along the North Shore of Long Island, stretching from eastern Queens through Nassau to western Suffolk County.

State Court Dismisses Challenge to Cruz’s Candidacy

On Monday, an Acting State Supreme Court justice dismissed challenge to Republican presidential hopeful Ted Cruz’ inclusion on New York’s April 19 presidential primary ballot because he is not a “natural-born citizen” as required under the U.S. Constitution.

He ruled that the challenge was brought too late to have merit. State law requires objections to be filed against a candidate’s ballot status three days after they file petitions.

Winners & Losers

Each week, City & State New York publishes a list of the week’s political “winners” and “losers.”  Read this week’s list here.

 

Coming Up

The Senate and Assembly will be in session Monday through Thursday next week, March 14 through 17. Both houses are expected to approve their respective one-house budgets, and then enter into the conference committee process.

The Public Service Commission (PSC) holds its next meeting on March 17.

The Board of Regents holds its next meeting on March 21 and 22.

The Joint Commission on Public Ethics (JCOPE) holds its next meeting on March 22.

The State Board of Elections (SBOE) holds its next meeting on March 24.

The last day for first-time voters to register to vote in the state’s Presidential primary election on April 19 is March 25.

The state’s 2016-17 fiscal year begins on April 1.

New York’s Presidential Primary is April 19, as are the special elections for the 9th Senate District (to replace Dean Skelos), the 59th AD (to replace Roxanne Persaud), the 62nd AD (to replace Joe Borelli) and the 65th AD (to replace Sheldon Silver).