Paterson's Sweet Talk
Gets No More Respect Than Spitzer's Curses
By Henry J. Stern
June 13, 2008
Governor Paterson is visibly exasperated by the failure of the kings of the legislature, Bruno and Silver, to agree on anything of consequence. In contrast to the hot tempered Governor Spitzer, Paterson has been polite, almost deferential, in making his modest requests for legislative action on the governor's program bills.
The story behind the picture is told on p3 of today's News in a story headed MAKE IT STOP!: Gov Suffers Moment of Pure Frustration as Lawmakers Do Little More Than Bicker. The reporter is the News' new Albany bureau chief, Kenneth Lovett, who came over from the Post where he backed up their bureau chief, Fred Dicker. This is Lovett's lede on the story:
"Dealing with cranky legislative leaders is enough to give any governor a headache -- just ask David Paterson. Chaos reigned yesterday at what was supposed to be a news conference for Paterson and lawmakers to lay out priorities for the rest of the legislative session."
The problem is that Bruno and Silver, much as they are inclined to help out Paterson on a personal level, are being pressed by more powerful forces in New York State: the teachers unions in particular, public employee unions in general, and private sector unions when it comes to issues where they are affected, such as Wicks Law reform. Unable to win victories on the picket line, with the editorial boards, or in the court of public opinion, labor unions turn to the legislature that they have long supported by contributions to give them the new laws they think they deserve, or at least believe they have paid for.
The unions receive assistance from the Working Families Party (WFP), which has just endorsed Speaker Silver for renomination in the contested primary he may face in his Lower East Side district. We can only wonder what price in legislation we will pay for that support. In other endorsements, the WFP supported some upstate Republicans who are expected to win easily, but rejected three state senators from the metropolitan area who face strong Democratic challengers in 2008: Frank Padavan in Queens, Kemp Hannon in Nassau and Caesar Trunzo. The nominal reason for this decision is that the incumbents oppose paid family leave, but the real reason is that the WPF thinks it can do better with a Democratic senate, especially if they get credit for bringing it about. This gambit comes despite Leader Bruno's continued efforts to appease unions. But think Rule32W: "Yes, but what have you done for me lately?"
In general, we are favorably disposed towards labor, which represents working people who can easily be distinguished from those at the top of capitalism's pecking order: hedge fund managers, investment bankers, captains of industry, partners in top law firms, in general, those with annual incomes of seven, in many cases eight, and in some cases nine, figures. The problem is that when legislation is being considered, it is not the plutocrats who will be particular victims, but all the taxpayers in the State of New York who will have to pay the increased cost for wages, benefits and pensions for public employees.
As the tax burden rises, New York becomes less competitive with other states. The combination of state and local income and property taxes already make New York the highest taxed state in the nation. Upstate is an economic desert and has been so for years. Why should anyone build a factory in New York State when the taxes as well as the cost of living are higher than they are anywhere else? The people unable to find jobs because there are none will be particular victims of the legislature's largesse to their contributors. The prospect that the legislature will become even more 'progressive' in 2009 means higher taxes and greater borrowing, rather than cost reductions, not even the ones Governor Spitzer vainly tried to initiate.
On top of this, New York State now has the highest public debt of any state in the union with the exception of California, which has twice as many people as we do. Interest must be paid on this debt, whether it is incurred by the state itself or by one of its multitudinous authorities, subsidiaries or instrumentalities (There are over 700). The MTA pays debt service on the bonds it has issued for subway construction out of its operating budget, which means the transit system can never break even, and will constantly be in the position of seeking higher fares.
When Governor Paterson attempts, in a most modest way, to cap property taxes to limit the inevitable annual increases of recent years, he is publicly rebuffed by leaders of both the Senate and the Assembly. Governor Spitzer cursed and thundered, and Governor Paterson says 'Pretty please', but the result so far has been the same.
It is likely the two Houses will do something positive before they rush to adjourn later this month, if only for the sake of appearances. What they do will depend, however, on the leaders' tactical judgment as to whether it looks better to appear to have co-operated with the governor, or to have been frustrated by the other party, and how much they think or care about Governor Paterson's prospects in 2010.
Luckily, the decisions of the State Legislature are not usually on matters of life and death. The harm they do is generally limited to adverse financial consequences for people who live and work in the state. Since our system of governance has been manipulated to wedge incumbent legislators into close to permanent power, we should not look for imminent change in the way business is transacted in Albany.
Senator Bruno, Republican senate leader since 1995, may be replaced by a Democrat, possibly minority leader Malcolm Smith, if the Senate turns over. If this happens, there will be changes in social legislation (gay marriage may pass), but on the fiscal side we will see each chamber committed to public expenditures and submissive to lobbyists for interest groups. The Republican Party has controlled the State Senate for 43 years, and the Democrats are hungry for the thick slabs of pork which have been denied them over the years while their Republican colleagues feasted.
One rule of politics is its unpredictability. Who would have forseen, for example, the shocking fate of Governor Spitzer, who could have survived the prostitution rap if everyone did not already hate him? We will watch events unfold. The weather is wonderful today (Friday), and life is good, but we advise that you not count on the legislature to do anything to buttress your mood.
Neither house met today, the first day of a three day June weekend. Although adjournment for the year is supposed to be one week away (June 23), according to their calendars, but probably two weeks away (June 30), the traditional last minute rush to adopt legislation does not apppear to outsiders to have begun.
There is an old saying (not a rule) that you can catch more flies with honey than you can with vinegar. Although the atmosphere in Alabany is undoubtedly sweeter, so far David Paterson's honey has proven no more efficacious than Eliot Spitzer's vinegar.
Perhaps castor oil would induce a flow of legislation.
#475 06.13.2008 1206wds
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