Regular Session - April 1, 2009

                                                            2138



         1                 NEW YORK STATE SENATE

         2

         3

         4                THE STENOGRAPHIC RECORD

         5

         6

         7

         8

         9                   ALBANY, NEW YORK

        10                     April 1, 2009

        11                      10:39 a.m.

        12

        13

        14                    REGULAR SESSION

        15

        16

        17

        18  SENATOR DAVID J. VALESKY, Acting President

        19  ANGELO J. APONTE, Secretary

        20

        21

        22

        23

        24



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

         2                  ACTING PRESIDENT VALESKY:    The

         3       Senate will please come to order.

         4                  I ask everyone present to please

         5       rise and recite with me the Pledge of

         6       Allegiance.

         7                  (Whereupon, the assemblage recited

         8       the Pledge of Allegiance to the Flag.)

         9                  ACTING PRESIDENT VALESKY:    In the

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

        11       moment of silence.

        12                  (Whereupon, the assemblage

        13       respected a moment of silence.)

        14                  ACTING PRESIDENT VALESKY:    The

        15       reading of the Journal.

        16                  The Secretary will read.

        17                  THE SECRETARY:    In Senate,

        18       Tuesday, March 31, the Senate met pursuant to

        19       adjournment.  The Journal of Monday, March 30,

        20       was read and approved.  On motion, Senate

        21       adjourned.

        22                  ACTING PRESIDENT VALESKY:

        23       Without objection, the Journal stands approved

        24       as read.



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         1                  Presentation of petitions.

         2                  Messages from the Assembly.

         3                  Messages from the Governor.

         4                  Reports of standing committees.

         5                  Reports of select committees.

         6                  Communications and reports from

         7       state officers.

         8                  Motions and resolutions.

         9                  Senator Klein.

        10                  SENATOR KLEIN:    Mr. President,

        11       after consulting the Minority, we agreed to

        12       take up Senate Calendar 30 as the

        13       controversial calendar and go directly to

        14       Calendar Number 132.

        15                  ACTING PRESIDENT VALESKY:    The

        16       Secretary will read Calendar 132,

        17       controversial.

        18                  We are on the controversial

        19       calendar.  The Secretary will ring the bells.

        20                  The Secretary will read.

        21                  THE SECRETARY:    Calendar Number

        22       132, substituted March 31, Assembly Budget

        23       Bill, Assembly Print Number 153C, an act

        24       making appropriations for the support of



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         1       government:  Education, Labor and Family

         2       Assistance Budget.

         3                  SENATOR LIBOUS:    Explanation,

         4       please.

         5                  ACTING PRESIDENT VALESKY:

         6       Senator Kruger, an explanation has been

         7       requested.

         8                  SENATOR CARL KRUGER:    Yes.  For

         9       the purposes of explanation of this, we'll

        10       begin with the chairperson of our Education

        11       Committee, Senator Oppenheimer.

        12                  ACTING PRESIDENT VALESKY:

        13       Senator Libous.

        14                  SENATOR LIBOUS:    Thank you,

        15       Mr. President.

        16                  I believe there's an amendment at

        17       the desk by Senator Flanagan and Senator

        18       Saland.  I would ask that you waive its

        19       reading, and would you please call on Senator

        20       Flanagan first.

        21                  ACTING PRESIDENT VALESKY:

        22       Senator Flanagan, there is an amendment at the

        23       desk.  The reading of the amendment is waived,

        24       and you may be heard on the amendment.



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         1                  SENATOR FLANAGAN:    Thank you,

         2       Mr. President.  On the amendment.

         3                  ACTING PRESIDENT VALESKY:    Yes,

         4       Senator Flanagan on the amendment.

         5                  SENATOR FLANAGAN:    In the

         6       Governor's Executive Budget proposal there

         7       were two components in relation to education

         8       that certainly everyone has talked about and

         9       spoken to here and outside the chamber.  One

        10       is having to do with the libraries.  During

        11       the deficit reduction plan, we had offered an

        12       amendment on that.

        13                  The Governor cut the funding to

        14       libraries to the tune of about $18 million.

        15       This budget restores $10.6 million of that.

        16       We think that's insufficient.  We think

        17       libraries are a valuable resource for all

        18       communities across the State of New York.  And

        19       particularly given what's going on in our

        20       economy, they are like job centers and career

        21       centers and much more than simply going there

        22       to read books.  So our amendment, the first

        23       part of it, restores the funding in totality

        24       of $18 million.



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         1                  The second component is in relation

         2       to nonpublic schools.  And the Governor

         3       proposed a cut in that area of $44 million.

         4       This budget restores $30 million of that.  Our

         5       amendment would make full restoration, putting

         6       in an additional $14 million.

         7                  And I have to admit I am perplexed

         8       in the main bill as to why we would go part of

         9       the way but not the whole way when we did make

        10       full restorations on the deficit reduction

        11       assessment.  These are costs that are really

        12       mandated by the State of New York on our

        13       nonpublic schools.  It's something that we

        14       should be doing without really even discussing

        15       it.  This should be like BOCES, it should be

        16       like transportation and expense-driven aids.

        17                  The fact that we're not making

        18       these entities whole is going to create a

        19       problem for them.  And I guarantee this is the

        20       type of thing that if this amendment does not

        21       pass, we will hear from these folks directly

        22       and consistently.

        23                  So the two parts are libraries,

        24       full restoration; nonpublic schools, full



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         1       restoration as well.

         2                  ACTING PRESIDENT VALESKY:    Thank

         3       you, Senator Flanagan.

         4                  Are there any other Senators who

         5       wish to be heard on the amendment?

         6                  Senator Saland.

         7                  SENATOR SALAND:    Thank you,

         8       Mr. President.

         9                  Mr. President, not too long ago --

        10       I believe in the context perhaps of the DRP --

        11       I mentioned that this chamber particularly

        12       took great pride in the manner in which it

        13       supports and has continued to support

        14       libraries.  We in fact have always been at the

        15       forefront.

        16                  Senator Farley, who has served here

        17       for now three-plus decades, certainly as the

        18       chair of the Library Subcommittee, which was a

        19       bipartisan committee including members of both

        20       sides of the aisle, certainly has always been

        21       in the forefront of library issues and library

        22       initiatives.

        23                  There's no reason, absolutely no

        24       reason not to provide the relatively modest



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         1       amount of $7.4 million to make libraries

         2       whole.  We all, I believe, each and every one

         3       of us talk to our local library people, tell

         4       them how important they are, express our

         5       appreciation for their ever-increased and

         6       significantly more important role in today's

         7       downtrod economy.  We know full well, by every

         8       barometer, by every media account, that they

         9       are busier than they have ever been.

        10                  They desperately need the aid.

        11       There's no reason why we cannot, in broad

        12       bipartisan fashion, continue to lead in terms

        13       of supporting our local libraries.

        14                  The other part of the amendment, as

        15       was pointed out by Senator Flanagan, is merely

        16       providing money for mandated services.  This

        17       is what we're supposed to do.  We mandate

        18       certain services on public schools.

        19       Regrettably, we don't provide the funding.  We

        20       mandate certain services on private schools.

        21       And traditionally we have tried to provide

        22       that funding.

        23                  This basically tries to provide the

        24       funding that flows from a mandate from the



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         1       Commissioner of Education that private schools

         2       take attendance after each period.  They were

         3       required to do that.  They were told they

         4       would get the money to do that.  $30 million

         5       doesn't do the trick.  You're shortchanging

         6       parochial schools, yeshivas, private schools

         7       throughout the state from one end to another.

         8       They will receive not their due under this

         9       budget.  They will be shortchanged and

        10       significantly shortchanged.

        11                  It's a relatively easy thing to do

        12       to fix it.  There should be unanimous support

        13       for this amendment.

        14                  Thank you, Mr. Chairman.

        15                  ACTING PRESIDENT VALESKY:    Thank

        16       you, Senator Saland.

        17                  Senator Farley, on the amendment.

        18                  SENATOR FARLEY:    Thank you,

        19       Mr. President.  I rise in support of this.  I

        20       just want to speak to the library section of

        21       it.

        22                  Senator Oppenheimer, who's the new

        23       chair of the Library Subcommittee, and myself

        24       spoke to I think the largest group of



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         1       librarians that has ever approached this

         2       state.  And Senator Oppenheimer, to my

         3       pleasure, in speaking mentioned that your

         4       conference had voted unanimously to restore

         5       that full funding to the libraries to

         6       thundrous applause.  And I was very pleased to

         7       see that and also mention that my conference

         8       unanimously supports the full support of

         9       libraries.

        10                  And I think it makes a lot of sense

        11       that we rise up in and support this to where

        12       we have constantly said that we do support

        13       libraries, we want full funding there.  And

        14       it's my judgment, I'm quite confident that

        15       this entire side is going to vote to do that.

        16       And I would urge that at least one or two of

        17       you might support it also.

        18                  Libraries, particularly in New York

        19       State, are the finest in the United States.

        20       And this is something that is desperately

        21       needed.  They're historically, particularly in

        22       the larger -- in all of our metropolitan

        23       areas, they're the first to be cut and the

        24       last to be funded because of the strict



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         1       financial situation that most of our cities

         2       are under.

         3                  I would urge you to support this

         4       amendment.

         5                  ACTING PRESIDENT VALESKY:    Thank

         6       you, Senator Farley.

         7                  Senator Marcellino, on the

         8       amendment.

         9                  SENATOR MARCELLINO:    Thank you,

        10       Mr. President.  I appreciate being recognized

        11       to speak on this very important amendment.

        12                  This amendment would restore funds

        13       to the libraries which were cut.  The

        14       libraries are needed more now than ever

        15       before.  People who are looking for resumes,

        16       who need computers and don't have them

        17       themselves, are going to the libraries.  All

        18       you have to do is talk to the librarians in

        19       their community.  They will tell you that they

        20       are being used and the demand on their

        21       services and for their services is increasing

        22       tenfold.

        23                  These people provide an absolute

        24       necessity for children of very young ages,



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         1       children of all ages, senior citizens, young

         2       parents -- it doesn't matter who they are,

         3       they use the libraries.

         4                  All of us go down on Library Day,

         5       we have our pictures taken, we take those nice

         6       posters that they give us that say "Read," and

         7       they take a picture of you with a book in your

         8       hand, and it's posted in your local libraries

         9       and you're all very proud of that.  It's time

        10       now we pay them back.

        11                  It's time now that we put the money

        12       back in the budget for those libraries and

        13       that they be restored to full funding.  They

        14       need the money.  They provide a good quality

        15       of life for our communities, and they're

        16       absolutely necessary for our communities.

        17                  The other part of this very

        18       important amendment -- and I thank my

        19       colleague Senator Flanagan for bringing it

        20       forward -- is to restore aid for mandated

        21       services for nonpublic schools.  These schools

        22       are under stress.  Many of them are being

        23       forced to close their doors.  This is not a

        24       good thing.



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         1                  Those students who are going to the

         2       nonpublic schools of all denominations and all

         3       types, doesn't matter, who are going to those

         4       schools are going to end up in the public

         5       schools.  That's not a bad thing, but the

         6       point is it will increase the demand on the

         7       public schools, and they'll be forced to pass

         8       that on to the property taxpayers.  This is

         9       not a good thing.

        10                  So those people who choose to keep

        11       their children in nonpublic schools should be

        12       given every assistance to do that.  We mandate

        13       the functions that they perform in many cases.

        14       We, as Senator Saland said, should help pay

        15       them pay the bill for the services that we

        16       mandate upon them and that we put upon them.

        17                  This is an important amendment, and

        18       I urge everyone to vote aye on this and do the

        19       right thing for libraries and nonpublic

        20       schools and the taxpayers of our state.

        21                  ACTING PRESIDENT VALESKY:    Thank

        22       you, Senator Marcellino.

        23                  On the amendment, Senator

        24       DeFrancisco.



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         1                  SENATOR DeFRANCISCO:    There was a

         2       very historic election that just took place on

         3       the national level where we have a new

         4       president who indicated, during the course of

         5       the campaign and on many other instances, that

         6       when he was looking for a job he went to the

         7       libraries to go online to try to find

         8       information about getting employed.

         9                  We are now in the worst recession

        10       since the Great Depression.  The amount of

        11       money we're talking about is modest at best,

        12       especially in view of the increased use of the

        13       libraries.  And we really -- there's no

        14       partisan issue here.  It's a miniscule amount

        15       of money in the overall budget.  And it would

        16       be a shame if this money was not restored.

        17                  And there must be somebody, one or

        18       two people on the other side of the aisle that

        19       could be inspired by the story of our

        20       president to do the right thing and restore

        21       this money to the libraries.  And hopefully

        22       that will happen.

        23                  As far as the nonpublic schools, if

        24       we ever had the burden of having to educate



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         1       all of the students that are educated by

         2       nonpublic schools, the cost would be

         3       astronomical.  This is very, very foolish not

         4       to make sure that they are at least

         5       compensated for the services that we require

         6       them to provide.

         7                  So this amendment is a no-brainer

         8       and it really should be supported by everyone

         9       in this chamber.  Thank you.

        10                  ACTING PRESIDENT VALESKY:    Thank

        11       you, Senator DeFrancisco.

        12                  The question is on the nonsponsor

        13       motion by Senator Flanagan to amend Calendar

        14       Number 132.  Those Senators voting in support

        15       of -- Senator Libous.

        16                  SENATOR LIBOUS:    Could I please

        17       request a fast roll call.

        18                  ACTING PRESIDENT VALESKY:    You

        19       certainly may.

        20                  Those Senators voting in support of

        21       the nonsponsor amendment should raise their

        22       hands.

        23                  The Secretary will announce the

        24       results.



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         1                  THE SECRETARY:    Ayes, 28.  Nays,

         2       30.

         3                  ACTING PRESIDENT VALESKY:    The

         4       motion fails.

         5                  Senator LaValle.

         6                  SENATOR LaVALLE:    Thank you,

         7       Mr. President.  You have an amendment at the

         8       desk?

         9                  ACTING PRESIDENT VALESKY:    There

        10       is an amendment at the desk.

        11                  SENATOR LaVALLE:    Okay.  That

        12       amendment would restore $134 million for the

        13       State University --

        14                  ACTING PRESIDENT VALESKY:

        15       Senator LaValle, just one second.  Let me

        16       please note for the record that without

        17       objection, the reading of your amendment is

        18       waived.  You may now speak on the amendment.

        19                  SENATOR LaVALLE:    Thank you very

        20       much.  I move the amendment, Mr. President.

        21                  This amendment would restore

        22       $134 million to the State University and

        23       $88 million to the City University from the

        24       increases in tuition that both SUNY and CUNY



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         1       have imposed upon themselves.

         2                  You heard, when we did the DRP, my

         3       pleas to ensure that the State University,

         4       City University be able to retain every dollar

         5       from their tuition increases.  Well, the ghost

         6       of Jesse James came into our chamber and took

         7       away $68.5 million from the State University.

         8       I have a feeling, unless there's one vote from

         9       the other side, that the ghost of Jesse James

        10       will return and take money away from our

        11       students, middle-income taxpayers who I think

        12       everyone knows are hard-pressed.

        13                  Everyone in this chamber

        14       understands that the economy is very, very

        15       bad.  But here the State University and the

        16       City University stepped forward and said, You

        17       know, we suffered huge cuts.  To the State

        18       University, it was $210 million.  We need, in

        19       order to be competitive with our peer

        20       institutions, we need to have a tuition

        21       increase.

        22                  Now, under our system the trustees

        23       move forward and make that recommendation.

        24       The Governor's chairman, Carl Hayden, led his



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         1       trustees to put forth a resolution back in

         2       December increasing tuition $310 for the

         3       spring semester of 2009 and the fall semester

         4       of 2009.

         5                  They also put into place a request

         6       for a rational tuition policy.  I talked about

         7       that the last time we spoke with the DRP.  It

         8       is so critical, so essential that students be

         9       able to know how much their tuition is going

        10       to go up in small increments -- not $300,

        11       $400, $600, but maybe $50 or $100, based on

        12       the CPI.

        13                  The Commission on Higher Education

        14       made that recommendation for both City

        15       University and State University, a rational

        16       tuition policy.  We need that.  We have never

        17       in my tenure here, to the best of my

        18       recollection, increased tuition in an election

        19       year.  So if we didn't do a rational tuition

        20       policy in an odd-number year, in '09, chances

        21       are remote that we're going to do that in

        22       2010.

        23                  I view this, with 80 percent of the

        24       tuition money going into the General Fund, as



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         1       a tax.  So we are taxing our students.

         2                  You know, when the tuition was

         3       increased, a lot of people said to me, You

         4       know, I'm having trouble making ends meet.

         5       It's another $310.  It doesn't sound like a

         6       lot of money, but it is when people are

         7       holding on by their fingernails.

         8                  Lastly, our university system is

         9       competing with other peer institutions.  Now,

        10       they're not having any trouble getting

        11       students.  Because of the economy, students

        12       are coming in droves, because it's a good

        13       deal.  But the quality of education they're

        14       getting, the classes they need to graduate,

        15       the support system will not be there because

        16       we've taken away the dollars.

        17                  Now, I know that many of you have

        18       talked about not having this happen.  But the

        19       fact of the matter is when we cut to the

        20       quick, unless we have one vote from the other

        21       side, it's not going to happen.  And, you

        22       know, I don't want to hear, anywhere out in

        23       the highways and byways of SUNY:  Well, you

        24       know, I really wanted to support you.  Because



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         1       in the end, you didn't support the State

         2       University.

         3                  You're not supporting the City

         4       University to do the good things that they

         5       have done.  CUNY, I believe, is in a little

         6       better shape because they've had a steady hand

         7       at the helm in Chancellor Matt Goldstein,

         8       who's done an incredible job there.

         9                  The State University has not had a

        10       chancellor in 24 months.  It has drifted.

        11       Yes, we do have a chancellor now, but it will

        12       take the new chancellor time to get up to

        13       speed to start moving that ship ahead.

        14                  Economically, our State University

        15       is the center of our economic system on Long

        16       Island.  Again, I give you the statistics.

        17       State University at Stony Brook alone, alone,

        18       has an impact of $4.65 billion in the economy,

        19       59,000 jobs on Long Island.  And that's not

        20       including Nassau and Suffolk Community

        21       Colleges, Farmingdale, and Old Westbury.

        22                  UB, a billion and a half dollars,

        23       center of Western New York economy.  The

        24       center.  There's legislation to move -- I



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         1       think that Senator Stachowski is the sponsor

         2       of -- for UB to move them forward to a goal of

         3       being a preeminent institution by 2020, and

         4       similar legislation I will be sponsoring for

         5       State University at Stony Brook.  And then I'm

         6       sure Senator Breslin will put in a bill for

         7       State University at Albany and Senator Libous

         8       for Binghamton.

         9                  Those four university centers we

        10       should be proud of.  We should be proud

        11       because they not only educate our students,

        12       but they are the economic engines in our

        13       community, not to say in Brockport and

        14       Oneonta, Geneseo and on and on.  These are the

        15       institutions that are providing jobs,

        16       stimulating the economy in our region.

        17                  And so, my colleagues, I ask for

        18       one vote, one vote on the other side to ensure

        19       that we will be able, in a bipartisan way, to

        20       say we support State University, City

        21       University.  And I ask for your support here

        22       today.

        23                  ACTING PRESIDENT VALESKY:    Thank

        24       you, Senator LaValle.



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         1                  Senator Fuschillo, on the

         2       amendment.

         3                  SENATOR FUSCHILLO:    Thank you

         4       very much, Mr. President.

         5                  And let me compliment my colleague,

         6       the former chair of Higher Education for many

         7       years in this body, for his leadership.

         8                  When I first took office 11 years

         9       ago and visited the SUNY school that's in my

        10       district, SUNY Farmingdale, I remember walking

        11       through the campus and thinking they were on a

        12       break, but in fact they weren't.  And I

        13       remember SUNY officials visiting me with

        14       Senator LaValle, asking my thoughts, should

        15       SUNY Farmingdale be closed and merged.  And he

        16       said no, and I said no.

        17                  And in a period of time of 11

        18       years, that school has prospered.  It's had

        19       more new enrollees than any other SUNY school

        20       during that period of time.  We're on the cusp

        21       of building a new business center there, a

        22       business school, a new university center.

        23                  The athletics department, Division

        24       III, is thriving.  In fact, the basketball



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         1       team had the winningest record in school

         2       history and made it to the Elite 8 in the

         3       NCAA's Division III.  But for them, it was a

         4       tremendous accomplishment.  Academically, it's

         5       rising every single day.

         6                  And for this body to continue on

         7       with Governor Paterson's mission of raiding

         8       the SUNY system is wrong.

         9                  Senator LaValle, I'm going to ask

        10       for two votes on the other side, not just one,

        11       two votes on the other side for this

        12       amendment.  Because your amendment says we're

        13       going to continue the investment in SUNY

        14       schools -- he's fought for years for a

        15       rational tuition policy -- but the investment

        16       to go back into the schools.

        17                  Now, our SUNY system is rated the

        18       best in the country.  And I always read, every

        19       year, Kiplinger's 100 Best Public Schools.

        20       Geneseo is number one, Stony Brook is in

        21       there, Binghamton, Brockport is in there,

        22       New Paltz is in there.  And everybody's

        23       throwing out their SUNY schools that they

        24       represent.



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         1                  They're always in the top 100.  And

         2       I believe it's because of the investment that

         3       that body has made over the years; that if

         4       tuition went up, it went back into the school

         5       system.  It didn't go into the General Fund.

         6       It wasn't raided into the General Fund.

         7                  Because our schools need a lot.

         8       They need more teachers, they need more

         9       capital, they need more infrastructure

        10       improvements to keep up with modern technology

        11       and the modern times, to provide our students

        12       that want to stay here in New York State and

        13       go to a college or a university or a state

        14       university here in New York State with the

        15       best academic tools that are possible to

        16       enable them to compete in this global world

        17       that is so competitive.

        18                  Now, Stony Brook, I'll take that as

        19       an example, because of Senator LaValle's

        20       leadership is one of the premier medical

        21       schools in the country.  Not only in this

        22       country, but in the entire world.  And, you

        23       know, it's happening throughout our schools.

        24                  You know, years ago when I was a



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         1       kid -- it was a long time ago -- the SUNY

         2       schools were always looked at as safe schools

         3       for kids to apply for college.  You know what?

         4       The competitiveness and the bar for SAT scores

         5       and academic excellence has risen over the

         6       years that they're tough to get in, because

         7       we've demanded excellence.

         8                  And, Senator LaValle, that's

         9       because of your leadership as the chair of the

        10       Higher Ed for so many decades in this body.

        11       Senator Stavisky, I'm confident you'll follow

        12       in his leadership because of your interest and

        13       your husband's interest for so many years.

        14                  But we need your support.  I know

        15       it's tough, but we need your support.  You

        16       could be one of two to come over here and say,

        17       you know what, Governor, you're wrong.  You're

        18       wrong.  You want to raise tuition?  If it fits

        19       in a rational tuition policy, then we'll

        20       accept that.  But we won't accept you taking

        21       the money, as you did in the deficit reduction

        22       plan where you raised tuition, and you only

        23       allowed 10 percent to go to the schools and

        24       you took $68 million out and you put it in the



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         1       General Fund.  Ninety/ten split.

         2                  Now maybe you feel like you're

         3       giving us a bargain here to consider; it's an

         4       80/20 split.  But it's still tens of millions

         5       of dollars that hardworking families, parents,

         6       are struggling to pay their tuition on an

         7       annual basis.  And you're taking 80 percent of

         8       the increase of tuition, the tens of millions

         9       of dollars, once again, and you're putting it

        10       in the General Fund.

        11                  Senator, I'll support your

        12       amendment, but I won't support the budget that

        13       takes away tens of millions of dollars again

        14       and puts it in the General Fund and takes it

        15       out of the SUNY system.

        16                  So thank you very much, Senator

        17       LaValle, for this amendment.

        18                  ACTING PRESIDENT VALESKY:    Thank

        19       you, Senator Fuschillo.

        20                  The question is on the nonsponsor

        21       motion by Senator LaValle to amend Calendar

        22       Number 132.  Those Senators voting in support

        23       of the nonsponsor amendment please raise your

        24       hands.



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         1                  Announce the results.

         2                  THE SECRETARY:    Ayes, 30.  Nays,

         3       31.

         4                  ACTING PRESIDENT VALESKY:    The

         5       motion fails.

         6                  At this time we are going to lay

         7       continued debate of Calendar Number 132 aside

         8       temporarily.  We will be returning to motions

         9       and resolutions in just a moment.

        10                  But at this point in time I would

        11       ask all Senators and visitors to rise as I

        12       call on Lieutenant Colonel Matthew

        13       Pawlikowski, who is the Catholic Community

        14       Chaplain at Most Holy Trinity Chapel at

        15       West Point, to offer an invocation.

        16                  CHAPLAIN PAWLIKOWSKI:    Let us

        17       pray.

        18                  God of power, might, wisdom and

        19       justice, You wish to see authority rightly

        20       administered, human laws enacted in accord

        21       with Your divine law, and just judgment

        22       decreed.  We ask today Your spirit of counsel

        23       and fortitude upon the deliberations of this

        24       Senate.



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         1                  We recognize in our prayer in a

         2       special way Senator Larkin, who has been

         3       instrumental for so many years in West Point

         4       Day.  We ask Your blessings upon Senator

         5       Malcolm Smith, Majority Leader, and all the

         6       members of this Senate.

         7                  We ask You to shine forth in all

         8       their proceedings.  May they seek to preserve

         9       peace, promote happiness, and continue to

        10       bring us the blessings of liberty and

        11       equality.

        12                  Amen.

        13                  ACTING PRESIDENT VALESKY:    You

        14       may be seated.

        15                  I'm going to recognize at this time

        16       Senator Little, to speak on a resolution that

        17       was previously passed by the Senate.

        18                  SENATOR LITTLE:    Thank you,

        19       Mr. President.

        20                  It's an honor for me to join

        21       Senator Roy McDonald and all of my colleagues

        22       here today in honoring a very special group of

        23       students.  This is an event that has taken

        24       place in the South Glens Falls Central School



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         1       District.  But it is not just an event of

         2       students, it's an event that involves the

         3       entire school system -- the faculty, the

         4       administration, the board of directors, and

         5       the entire community -- to put on this dance

         6       marathon.

         7                  The dance marathon began in 1978,

         8       with about a dozen students who raised $1,500

         9       for one recipient.  This year, the 32nd year

        10       of the dance marathon, we had over 700

        11       students involved, over 200 volunteers, and

        12       the students raised $260,200 for 23

        13       recipients.  They broke all records this year,

        14       bringing their total in the 32 years that they

        15       have had this marathon, to $1.8 million.

        16                  We are joined today in the chamber

        17       by the school superintendent, Superintendent

        18       Jim McCarthy; by Gus Carayiannis, who's

        19       president of the school board; by Jean

        20       Tedesco, assistant superintendent; Jody

        21       Sheldon, advisor, along with Tom Myott, who's

        22       also an advisor and teacher at the school; Dan

        23       Albert, the alumni coordinator, because the

        24       alumni returns and either volunteers or dances



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         1       at this event; and, more importantly, four

         2       students.

         3                  We have four students joining us

         4       here today who were chairmen of this event:

         5       Taylor Bulman, Kelly McFarlane, Nicole

         6       Valastro, and Brycen Waters.  These students

         7       truly put their heart and soul into an event

         8       to raise this much money.

         9                  But I'd like to tell you two quick

        10       stories that are very special to this event.

        11       One of the co-chairmen, senior Taylor Bulman,

        12       raised over $8,000 herself and raised the most

        13       money by a student this year.  But she had a

        14       special reason for doing it.  Her brother

        15       James, who had cardiac surgery several years

        16       ago, was once a recipient of the dance

        17       marathon.  And Taylor wanted to raise as much

        18       money in her four years as a student at South

        19       Glens Falls as her brother received, and she

        20       did so this year.

        21                  A second story is about Mike Nolan,

        22       who is a South Glens Falls teacher and coach

        23       who is battling cancer.  He's being treated at

        24       the MD Anderson Cancer Center in Houston, and



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         1       they have been the recipient of these

         2       students' efforts in the past marathons as

         3       well as this year.  So much so is this

         4       appreciated that Dr. Edward Kim, from the

         5       MD Anderson Center, flew from Houston to join

         6       these students this year at the dance

         7       marathon.

         8                  This event is something that is

         9       special to our whole area, and I really

        10       appreciate having the opportunity to recognize

        11       them with a legislative resolution, which I

        12       believe all are involved in, and just thank

        13       them for their efforts.  Dancing with your

        14       feet is one thing; dancing with your heart is

        15       another thing.  And these students truly

        16       danced with their heart to help other people.

        17                  Senator McDonald also would like to

        18       recognize them.

        19                  Thank you.

        20                  ACTING PRESIDENT VALESKY:    Thank

        21       you, Senator Little.

        22                  Senator McDonald.

        23                  SENATOR McDONALD:    Thank you,

        24       Mr. President.



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         1                  Thank you, Senator Little.  She

         2       said it all.  These are wonderful young men

         3       and women who put their actions forth and

         4       raised a substantial amount of money to help

         5       people in need.

         6                  They showed a lot of character, a

         7       lot of love for their community, much like the

         8       young men and women we have here from West

         9       Point that represent our great country and our

        10       great state.  And maybe some of those young

        11       men and women from South Glens Falls High

        12       School will be considering our military

        13       academies, because they seem to have a lot in

        14       common.

        15                  It's quite an honor to represent

        16       these folks, along with Senator Little, and I

        17       thank the Senate for this resolution.

        18                  ACTING PRESIDENT VALESKY:    Thank

        19       you, Senator McDonald.

        20                  On behalf of Senator Little,

        21       Senator McDonald, and all of the Senators,

        22       congratulations to the administration, the

        23       faculty, and most importantly the young men

        24       and women who have made the 32nd Annual South



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         1       Glens Falls Dance Marathon such a success.

         2                  Thank you for being here.

         3                  (Applause.)

         4                  ACTING PRESIDENT VALESKY:

         5       Senator Smith.

         6                  SENATOR SMITH:    Yes,

         7       Mr. President.  Senator Larkin and I have a

         8       resolution at the desk.  I ask that the

         9       resolution be read in its entirety and move

        10       for immediate adoption.

        11                  ACTING PRESIDENT VALESKY:    The

        12       Secretary will read.

        13                  THE SECRETARY:    By Senators

        14       Larkin and Smith, Legislative Resolution

        15       Number 1157, memorializing Governor David A.

        16       Paterson to proclaim April 1, 2009, as West

        17       Point Day in New York State.

        18                  "WHEREAS, This Legislative Body is

        19       justly proud to celebrate the establishment of

        20       the United States Military Academy at

        21       West Point, and to call upon Governor David A.

        22       Paterson to proclaim April 1, 2009, as

        23       West Point Day in the State of New York; and

        24                  "WHEREAS, By an act of Congress on



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         1       March 16, 1802, the United States Military

         2       Academy was established within the borders of

         3       New York State, on the banks of the Hudson

         4       River; and

         5                  "WHEREAS, The Academy and its

         6       graduates are an integral part of the proud

         7       history of this state and nation; and

         8                  "WHEREAS, The leadership and

         9       sacrifices of the members of the Long Gray

        10       Line have helped this country withstand

        11       countless threats to our cherished democratic

        12       way of life; and

        13                  "WHEREAS, The alumni have excelled

        14       not only on the battlefield but in many fields

        15       of endeavor; and

        16                  "WHEREAS, The Academy continues to

        17       provide our country with able and dedicated

        18       future leaders; and

        19                  "WHEREAS, Its scenic campus is a

        20       mecca each year for thousands of visitors from

        21       across our state, continent, and other

        22       countries; and

        23                  "WHEREAS, The United States

        24       Military Academy is in the forefront of our



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         1       state's outstanding institutions of higher

         2       learning; and

         3                  "WHEREAS, 57 years ago, the late

         4       James T. McNamara, then a member of the

         5       New York State Assembly and a member of the

         6       Academy's Class of 1939, was the author of the

         7       Legislature's first 'West Point Day'

         8       resolution; and

         9                  "WHEREAS, For decades, our nation

        10       has enjoyed the legacy of freedom and the

        11       United States Military Academy at West Point

        12       has played a vitally significant role in the

        13       maintenance of peace and freedom; and

        14                  "WHEREAS, The members of this

        15       Legislative Body are proud to commemorate this

        16       event, marking April 1, 2009, as West Point

        17       Day in New York State; now, therefore, be it

        18                  "RESOLVED, That this Legislative

        19       Body pause in its deliberations to celebrate

        20       the establishment of the United States

        21       Military Academy at West Point and to

        22       memorialize Governor David A. Paterson to

        23       proclaim April 1, 2009, as West Point Day in

        24       New York State; and be it further



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         1                  "RESOLVED, That a copy of this

         2       resolution, suitably engrossed, be transmitted

         3       to the Honorable David A. Paterson, Governor

         4       of the State of New York."

         5                  ACTING PRESIDENT VALESKY:

         6       Senator Smith, on the resolution.

         7                  SENATOR SMITH:    Thank you very

         8       much, Mr. President.

         9                  Let me first thank Colonel

        10       Pawlikowski for the invocation that he did

        11       earlier.

        12                  And I want to thank my good friend

        13       Senator Larkin, who I know how important this

        14       particular day is to him.  It's one that we

        15       have all celebrated for years, since even I

        16       was elected to the Senate in 2000.

        17                  I also want to give a warm welcome

        18       to all the distinguished cadets.  You look so

        19       good today.  So good to see so many of you,

        20       young men, young women, all of which we are

        21       very proud of.

        22                  Also today, First Cadet Benjamin

        23       Amsler, of Titusville, Pennsylvania; he is

        24       also one of the distinguished cadets who are



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         1       here.

         2                  And, colleagues, today is

         3       West Point Day.  This is one of the finest

         4       traditions in the State Legislature.  West

         5       Point is one of our most revered and respected

         6       institutions.  We have been blessed by eight

         7       cadets who were born and raised in New York.

         8       We have some from Buffalo, Syracuse, the

         9       Bronx, and even from Queens, Senator Shirley

        10       Huntley.

        11                  It is great to be here with so many

        12       of them.  I think we have cadet Brandon

        13       Dotson, who is a physics and chemistry double

        14       major from Senator Volker's district.  Senator

        15       Volker, you produce intelligent people out of

        16       your district.

        17                  SENATOR VOLKER:    We do.

        18                  SENATOR SMITH:    That's a

        19       beautiful thing.

        20                  We also have Cadet Marin, who is

        21       from Senator Huntley's district in Queens, who

        22       is concentrating in foreign affairs.  Good to

        23       see you; good to have you here.

        24                  We are tremendously inspired by



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         1       each and every one of you.  I will tell you,

         2       as a young man growing up in Queens, I often

         3       said to myself I would have loved to go to

         4       West Point, but I am a scaredy cat.

         5                  (Laughter.)

         6                  SENATOR SMITH:    So I decided to

         7       go on to Christ the King and Fordham

         8       University.  I didn't want to deal with any of

         9       that military pressure, Senator Larkin.

        10       Although I will tell you my family is riddled

        11       with individuals who have served in the

        12       military and armed forces, from the Air Force

        13       to the Marines.

        14                  But, colleagues, this is a

        15       tremendous day.  And I will tell you there is

        16       not many things that we pause to do our

        17       deliberation for on this floor.  The fact that

        18       we are in the midst of a budget, a budget that

        19       is being dealt with in a crisis that we have

        20       not seen since the Depression.  But yet and

        21       still, because of how much you inspire us, how

        22       much we respect the institutions, how much we

        23       respect the leadership of West Point, we felt

        24       it was fitting that we pause our budget



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         1       deliberations in order to honor each and every

         2       one of you.

         3                  This is a wonderful day for the

         4       State of New York.  West Point is an

         5       institution that has brought so many

         6       individuals into our armed forces that have

         7       led us to be the free country that we are

         8       today.  And it's because of you that we are

         9       able to walk the streets of this state, of

        10       this country.  We practice liberty and freedom

        11       and justice because individuals like you

        12       believe in this country and you serve us well

        13       to allow us and our children to have all that

        14       freedom.

        15                  I know that your parents are very

        16       honored and excited about what you are doing.

        17       But I will tell you, as a parent myself, I am

        18       tremendously excited about each and every one

        19       of you.  We are extremely pleased that you

        20       chose to go to West Point.  You could have

        21       decided on any place.  You could have decided

        22       to be a chemist, and you could have went on to

        23       a different institution.

        24                  But you chose to go to West Point,



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         1       which means, for me, not only are you growing

         2       intellectually, but you are growing in a way

         3       that will serve this country and protect this

         4       country, and that is something that should

         5       never be forgotten or misunderstood.

         6                  We are very proud of each and every

         7       one of you.  I know Senator Larkin is one who

         8       is extremely proud of you.  And we are also

         9       proud of Senator Larkin.

        10                  So, colleagues, it is with distinct

        11       pleasure that I stand here on this floor today

        12       on behalf of this resolution, on behalf of the

        13       fine cadets from West Point and its

        14       leadership.  And we look forward to you doing

        15       greater and better things for this state and

        16       this country.

        17                  Mr. President, now I'd like to send

        18       it back to you, and perhaps Senator Larkin,

        19       who I am honored and proud to serve in this

        20       body with, but also very proud to have him as

        21       one of our colleagues on the floor, and all

        22       that you have done for this body.

        23                  ACTING PRESIDENT VALESKY:    Thank

        24       you, Senator Smith.



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         1                  Senator Larkin, on the resolution.

         2                  SENATOR LARKIN:    Thank you,

         3       Mr. President.

         4                  Welcome, West Point, to the capital

         5       of the State of New York.  We are proud of

         6       you, one and all.

         7                  You know, I want to welcome the

         8       faculty, the staff that are here.  You have

         9       one gentleman hanging in the back.  Where did

        10       you go, Mike?  County exec, Class of '61.

        11       I've been calling him Class of '62 for years.

        12       I just made him a year older this morning.

        13       So, Breslin, don't tell me your brother is

        14       younger than you.

        15                  You know, this is an annual event.

        16       You heard it started by a gentleman from the

        17       Class of '39, and it's still going forward.

        18       And what it really is is an opportunity for us

        19       to let you come up here and see us.  Now you

        20       see us when you hear all this squabbling back

        21       and forth.  It's not been this quiet.  Thank

        22       you for coming.

        23                  (Laughter.)

        24                  SENATOR LARKIN:    But, you know,



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         1       West Point is something special.  You know,

         2       those of us who are called Mustangs -- and we

         3       don't that have that ring knock -- we're

         4       blessed today.

         5                  Steve Saland came to me and said,

         6       "I see that the rabbi isn't coming, and I see

         7       you've got a Catholic priest and a Protestant

         8       minister.  So I'll give you my blessing first,

         9       so now everybody will be covered" -- Catholic,

        10       Protestant and the Jewish faith from Steve

        11       Saland.

        12                  You know, a couple of things you

        13       should know about the Academy.  The

        14       distinguished leader of the pack here today

        15       with us is Colonel John Cook.  Colonel Cook is

        16       from the Class of '79.  Class of '79 was the

        17       breaking point, right, General Swezey?

        18       General Swezey is Class of '80 -- '81?  Oh, he

        19       came in in the big class.

        20                  But Colonel Cook went from being a

        21       combat arms officer, turned it around and

        22       decided to go to the seminary to become a

        23       minister, and he did.

        24                  Our invocator this morning, Colonel



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         1       Pawlikowski, is also a West Point grad.  And

         2       he decided.

         3                  So I think we're really blessed and

         4       covered today.  I hope your blessings come all

         5       day long.  Yours too, Steve.

         6                  But, you know, just think about

         7       West Point.  We've had two presidents.  Class

         8       of '50 produced Bowman from the astronauts,

         9       some others.  We've had ambassadors, we've had

        10       leaders.  We've had individuals that went from

        11       the Academy to great, great military careers

        12       and then became something.  General Omar

        13       Bradley set up the VA.  Dwight Eisenhower

        14       became a great educator after being the SHAEF

        15       commander, and then became president for two

        16       terms.

        17                  You know, when you look at the

        18       Corps, we have 4400 cadets today.  There's

        19       something I want you to think about for a

        20       minute.  In this group, 98 of these cadets

        21       have already served in combat and decided that

        22       they wanted to go to West Point and carry on

        23       the mission that they started.

        24                  We are so indebted to each and



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         1       every one of you.  Those in this class that

         2       have it, there's quite a few of the Class of

         3       '09 who will graduate on May the 23rd and then

         4       go from there, they'll go to a branch

         5       school -- infantry, artillery, armored,

         6       wherever it may be.  And this time next year,

         7       95 percent of them will be in harm's way.

         8                  So, you know, we have a lot to be

         9       thankful for.  You know, when I think of my

        10       own district, 4400 cadets, they pump a lot of

        11       money into the economy.  My good friend John

        12       Bonacic said, "But we need to build a bigger

        13       tennis court."  John, we're working on it.

        14                  We have over 4,000 employees at

        15       West Point.  West Point has contractors

        16       totaling about 3,000.  So West Point is a part

        17       of the economic engine for not only the

        18       mid-Hudson but the entire State of New York.

        19                  You know, today we're also here to

        20       welcome each one of you individually.  First,

        21       Colonel Chaplain Cook, please.  What a great

        22       leader he is, well-respected by the Corps of

        23       Cadets, everybody.  I've had the privilege of

        24       attending a lot of meetings with Colonel Cook,



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         1       and I always looked at him and I got an

         2       impression:  I'm here to serve you as you

         3       serve us.  Thank you, and God bless you.

         4                  The Cadet First Captain.  You know,

         5       Pennsylvania is only down the street.  But,

         6       you know, here's a man that becomes the

         7       First Captain.  Somebody asked me this

         8       morning, "How does he do that?  Do they vote

         9       on him?"  I said:  "No, they have a better

        10       procedure.  It's called performance."

        11                  This First Captain did everything.

        12       At Beast Barracks this summer, he ran the

        13       Command Sergeant Major, and he put all of

        14       these younger cadets coming in as plebes

        15       through the roughest grind they said they've

        16       ever had.  And at the end of it, his

        17       colleagues, the staff and faculty said:  You

        18       are the First Captain.

        19                  He is the first captain of 4400

        20       cadets.  He tells them when to get up, what to

        21       wear, when the next meeting is, and when his

        22       subordinates will report to him.  A young

        23       man -- a great leader.  Thank you very much.

        24                  Now, for some of the others.  Most



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         1       of you in this room call them -- Vince Leibell

         2       doesn't; he calls them the same as we do.  You

         3       call them seniors, but at the Academy we call

         4       them firsties.  That's when they get the

         5       privileges; right, Mike?  The car up on the

         6       hill?  Yeah, your brother told me about you.

         7       You didn't bring him his car.

         8                  Daniel Gluzko, from Rochester;

         9       Senator Jim Alesi's.

        10                  Leonidas Marin, from Kew Gardens;

        11       Senator Shirley Huntley.

        12                  Ashley Rowland, from Baldwinsville;

        13       John DeFrancisco.

        14                  Michael Schifferli, from

        15       Williamsville; Senator Mike Ranzenhofer.

        16                  Christopher Gaulin, from

        17       Hastings-on-Hudson; Andrea Stewart-Cousins.

        18                  Terence McElroy, from the Bronx;

        19       Jeffrey Klein.

        20                  Brandon Dotson, from Honeoye,

        21       New York; Dale Volker.

        22                  Mathew Walter, from Alden,

        23       New York; Dale Volker.  He gave me no benefits

        24       by getting him two.



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         1                  I'd like to get a round of applause

         2       for these cadets.

         3                  (Standing ovation.)

         4                  SENATOR LARKIN:    We have two

         5       other individuals that are very important.

         6       They're very important to the Academy, they're

         7       important to the community.  Our

         8       communications director, Colonel Hilferty.

         9       Thank you for coming, Bryan.

        10                  And we have a special guest here

        11       today.  We have the Command Sergeant Major,

        12       Martin Wells, along with his wonderful wife,

        13       Gertrude.  Will you please stand?  Thank you

        14       very much, Sergeant Major.

        15                  (Applause.)

        16                  SENATOR LARKIN:    You know, we

        17       have a long day ahead of us.  But I would be

        18       remiss if I didn't say that my heart beats

        19       heavy when I think of the young cadets.

        20                  I had the distinct privilege of

        21       serving our country for 23 years, 23 years.  I

        22       had some that I thought were the toughest --

        23       Chaplain, I won't say it, but they were tough.

        24       And I had some that I thought were the



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         1       greatest leaders in the world.  I served with

         2       them as their peer, as their subordinate, and

         3       as their leader.

         4                  And in 23 years, followed on by

         5       today, I have never met someone come out of

         6       the Academy that I wasn't proud to stand by

         7       and say "I will follow you to hell."  Because

         8       you are the epitome of what a leader is.

         9       You're trained, you're educated, you have the

        10       spirit.

        11                  People don't realize what you do in

        12       our communities.  You go out there.  You don't

        13       look for glory.  You don't have a photographer

        14       with you.  You know, it's not like the Marine

        15       Corps, you know, three riflemen and nine

        16       photographers.  We have to work it ourself.

        17                  (Laughter.)

        18                  SENATOR LARKIN:    Johnson didn't

        19       like that.

        20                  But, you know, when I think that in

        21       seven weeks the Class of '09 will hit the

        22       highways and the byways, on to schools and

        23       into combat, we really pray for you.  Because

        24       we realize that you're our first line of



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         1       defense, whether it's in a combat situation or

         2       whatnot.  Some of you will stay in the corps

         3       for years.  Some of you will get out after

         4       five years.  Of course, then you got that

         5       little Reserve time that General Swezey talked

         6       to you about before.  And, you know, he's

         7       trying to steal you to the Guard.  Not yet,

         8       sir.

         9                  But you are something that young

        10       people look up to.  What an honor it is to

        11       have the privilege of you visiting with us

        12       today, a day when we're fighting -- we're not

        13       fighting as you think about it, we're fighting

        14       for what are our beliefs, the same things when

        15       you went to decide to go to West Point.

        16                  And you know, I hear people say

        17       they worry about young people going into

        18       combat and that.  But just let me tell you

        19       something.  The class that's coming in in July

        20       is one of the highest-attendance submissions,

        21       admission rosters we've had in five years.  So

        22       yes, there is some harm's way out there.  But

        23       aren't we a lucky nation to have young men and

        24       women say yes, there's a challenge out there,



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         1       and I want to be the solution.

         2                  Ladies and gentlemen of the corps,

         3       on behalf of my colleagues, I salute you.  And

         4       God bless you.

         5                  ACTING PRESIDENT VALESKY:    Thank

         6       you, Senator Larkin.

         7                  Senator Skelos, on the resolution.

         8                  SENATOR SKELOS:    Thank you very

         9       much, Mr. President, and Leader Smith.

        10                  And Colonel Larkin, this is a day

        11       we look forward to every year.  And I want to

        12       thank you for keeping this tradition going, in

        13       our chamber, certainly in the State Capitol.

        14                  And, you know, there's been a lot

        15       of talk about heroes.  Let me tell you, in

        16       this chamber you're our hero, Colonel Larkin.

        17       And we appreciate everything that you did for

        18       our country and that you continue to do in

        19       service to the people of State of New York as

        20       a State Senator.

        21                  You know, this is an opportunity

        22       for all of us to recognize the fact that you

        23       are our next generation of heroes.  That you

        24       have made a decision to go through the



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         1       Academy, but also a decision, as Senator

         2       Larkin said, that perhaps in the next couple

         3       of years you will be in harm's way.

         4                  What you're seeing today in terms

         5       of the discussion we're having concerning our

         6       state budget -- and at times there will be

         7       vigorous debate.  But our Constitution and the

         8       Constitution that we're sworn to defend and

         9       protect and that you will be sworn to and will

        10       defend in a different way -- although

        11       sometimes I think we're in more harm's way

        12       than perhaps you will be.

        13                  (Laughter.)

        14                  SENATOR SKELOS:    But you will be

        15       serving our country in so many distant lands.

        16       And when people see the vigorous debate that

        17       occurs within this chamber and other chambers

        18       throughout the entire country, that's what our

        19       democracy is about.

        20                  There is supposed to be a vigorous

        21       exchange and debate of ideas.  It's supposed

        22       to happen.  It's supposed to be in the light

        23       of day.  It's supposed to be transparent.

        24       It's supposed to be open.  That's what our



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         1       democracy is about.

         2                  I have a young man that served with

         3       me as an intern, David Rockland, lives in

         4       Oceanside, Long Island, next to my community.

         5       And David graduated from West Point.  He has

         6       served two tours in Iraq.  And presently he

         7       continues to serve in Santa Barbara.  He

         8       stopped by to see me a couple of weeks ago,

         9       and he assured me that Santa Barbara is a

        10       nicer place to be than Iraq.  But he's ready

        11       to go back again if our country needs him to

        12       go back to Iraq or Afghanistan.  And that's

        13       the character that he developed, needless to

        14       say, from his family first and then at

        15       West Point.

        16                  So as I started off saying is we

        17       thank you.  We thank you for the sacrifice

        18       you're making right now, and we thank you for

        19       the sacrifice that you will be making on

        20       behalf of our nation.  And our prayers are

        21       that each and every one of you will be able to

        22       look back at your career in the military with

        23       a self-satisfaction that you will have earned

        24       and that you deserve.



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         1                  We pray that God protects you.  We

         2       pray that God gives you a long life.  God

         3       bless you, and God bless our great country.

         4       Thank you.

         5                  (Applause.)

         6                  ACTING PRESIDENT VALESKY:    Thank

         7       you, Senator Skelos.

         8                  Senator Adams, on the resolution.

         9                  SENATOR ADAMS:    Thank you,

        10       Mr. President.

        11                  I believe that a part of -- we have

        12       two men here in the Senate chamber.  I believe

        13       Senator McDonald as well as Senator Larkin

        14       both served in our military service.  And I

        15       want to thank Senator Larkin for each year

        16       of -- and Senator Diaz, I believe.

        17                  I want to thank Senator Larkin for

        18       each year of inviting the young men and women

        19       from West Point, because it's important not

        20       only for them to see us, but it's important

        21       for us to see them, to constantly remind us

        22       that in here in this chamber we use terms and

        23       not threats, we use budgets and not bullets.

        24                  There's an important reality when



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         1       you see these young men and women from West

         2       Point.  Because it's a reminder that, as I say

         3       often, we stand in the cool shade of the tree

         4       of freedom because young men like this water

         5       that tree with their blood.

         6                  And as they go on with their

         7       academic achievement, it reminds me of some

         8       years ago I was in Denver, Colorado, at a

         9       place called Pike's Peak.  And when I exited

        10       my vehicle, the snowflakes fell down one at a

        11       time.  And as soon as it touched your hand, it

        12       melted.  But when you looked at the entire

        13       mountain, you were able to see that the

        14       snowflakes were able to cover the whole

        15       mountain, and because those flakes were no

        16       longer were loving as one flakes at a time.

        17       They combined together.  And because they

        18       combined together, they were able to become a

        19       solid object.

        20                  And that's what West Point is

        21       about.  You go into the institution as a young

        22       person.  As you go through the evolutions of

        23       being a boy or girl, a teen, puberty, you

        24       leave West Point not only as a graduate, but



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         1       as soldier, as a man, as a woman.  And that's

         2       a solid entity.

         3                  And so some people may romanticize

         4       the academic achievement of a person who has

         5       stripes on their arm or stars on their neck as

         6       that's some mere insignificant period that you

         7       acquired.  But it's more than that, as we

         8       talked about earlier inside the room.

         9                  Patriotism is not standing in this

        10       chamber merely reciting the Pledge of

        11       Allegiance.  Patriotism is being able to give

        12       your all to this country.  And that's what you

        13       do.  I'm sure that based on your academic

        14       achievement, all of you can go to some of the

        15       prestigious institutions in our nation.  But

        16       you stated:  Instead of being a graduate of

        17       Harvard or Yale or some other place, I want to

        18       be a graduate of what's great about America.

        19                  And we really appreciate that a

        20       great deal as we stand here in the sterilized

        21       environments of these chambers.  Many of are

        22       you are going to go on to difficult fields.

        23       You won't only walk the streets of Bed-Sty or

        24       Brownsville, but Baghdad and Afghanistan.



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         1       That's the reality.  And I admire you for

         2       that.  That is something not too many people

         3       are willing to do, not only in home America,

         4       but the entire globe.  And you become the

         5       ambassadors of what we represent and what we

         6       believe in.

         7                  And I never wore the gray uniform,

         8       but I wore the blue uniform.  And I know that

         9       it takes something special.  When others run

        10       from danger, you run to soothe danger.  You

        11       run to bring peace to our country.  And that

        12       means a lot.  And you're representative of

        13       countless other men and women who went through

        14       West Point and went through other areas of

        15       great level of importance.

        16                  So we must say thank you.  We must

        17       say not only are you going to do great things

        18       in your military service, but we believe that

        19       you're going to go into the other parts of

        20       America and corporate America and ensure that

        21       the threads of patriotism continue to bind us

        22       together and realize that those terms in the

        23       Pledge of Allegiance are real.  We pledge to

        24       the flag of the United States of America and



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         1       to the republic for which it stands, because

         2       we do believe in one nation, under God,

         3       indivisible, with liberty and justice for all.

         4                  You carry that out every day.  And

         5       we thank you.  And we pause in a moment from

         6       our decisions on what to do with the dollars

         7       in this country to realize that you should be

         8       worthy of praise.  For what you do in the

         9       safety of this country, we will continue to

        10       sit in the soothing shades of freedom because

        11       you're there to make sure that tree is planted

        12       with your compassion, your commitment, and

        13       your blood.

        14                  And I thank you.

        15                  ACTING PRESIDENT VALESKY:    Thank

        16       you, Senator Adams.

        17                  Senator Huntley, on the resolution.

        18                  SENATOR HUNTLEY:    Yes, thank you,

        19       Mr. President.

        20                  It's certainly a pleasure to follow

        21       Senator Adams after he speaks.  It is,

        22       definitely.  Senator Adams, I must say you

        23       were excellent.

        24                  Let me just say first I want to



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         1       thank Senator Larkin, who he and I have often

         2       talked about West Point, talked about the

         3       cadets, talked about serving your country.

         4       And this is one of the good things that comes

         5       to this chamber.

         6                  And I think this was a great day

         7       for it to come, because not only does it lift

         8       your spirits, but it really makes you think.

         9       And when you look at the young people who

        10       sacrifice their being, their lives -- because

        11       that's what they do.  With all that West Point

        12       is, they go there for a purpose.  And that

        13       purpose is they're giving of their lives to

        14       this country.  That's what they're doing.  And

        15       I think sometimes we kind of forget that.

        16                  And we can hardly compare it to

        17       what we do in this chamber.  We can hardly

        18       compare it to that.  Because I think that they

        19       are some of the most outstanding young men,

        20       the bravest young men.  And when you look at

        21       them, you see the courage and you know they're

        22       there because they want to be there.

        23                  And maybe I have this feeling also

        24       because I do come from a military family.  And



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         1       I just think it's so important and special

         2       when people serve their country.  There is

         3       nothing like America when you see the cadets.

         4       That is America.

         5                  So I would like to congratulate my

         6       cadet from Kew Gardens, Cadet Marin, who is my

         7       constituent.  And just stand up.  A handsome

         8       young man.

         9                  And I'm sure his parents are so

        10       very proud.  Because this is my first time

        11       meeting him, but when I met him and spoke to

        12       him, I too felt very, very proud that this

        13       young man is willing to sacrifice for our

        14       country.

        15                  Thank you.

        16                  ACTING PRESIDENT VALESKY:    Thank

        17       you, Senator Huntley.

        18                  Senator Breslin, on the resolution.

        19                  SENATOR BRESLIN:    Thank you,

        20       Mr. President.

        21                  As a follow-up to comments made by

        22       Senator Skelos, Senator Smith, Senator Larkin,

        23       Senator Huntley, Senator Adams, I really have

        24       a twofold purpose.



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         1                  It's first to commend the cadets.

         2       And when we think about that period after the

         3       Vietnam War for some 30 years without being in

         4       a war -- but these cadets have chosen to go to

         5       West Point when they knew that we were not in

         6       one war but two wars.

         7                  And they don't face -- many of them

         8       don't face graduate school when they graduate,

         9       or a job within the United States, they face

        10       the dangers of war and the results of war and

        11       the sacrifices of war.  And we all owe them a

        12       debt of gratitude.  And I commend each and

        13       every one of you.

        14                  My second purpose is one quite

        15       selfish.  It's the one day of the year that I

        16       put away sibling rivalry.  It's the one day of

        17       the year I really look up to my brother.

        18                  And I was a freshman in high school

        19       when my brother went off to West Point on a

        20       football appointment.  And it was a wonderful

        21       experience then.  I don't think I've ever told

        22       him that until now.  And he went through West

        23       Point and then went to Jump School, Rangers

        24       School, Jump Masters School, Air



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         1       Transportation School, Jump Masters School,

         2       and became a company commander with the

         3       82nd Airborne and went to Vietnam and became a

         4       major in the Airborne Infantry at 27.  And

         5       came back from Vietnam with, among other

         6       things, the Bronze Star.

         7                  And then went down, after learning

         8       Spanish, to teach South American officers

         9       counterinsurgency at the College of the

        10       Americas.  Which was wonderful training to

        11       become county executive.

        12                  (Laughter.)

        13                  SENATOR BRESLIN:    And might have

        14       been wonderful training for each and every one

        15       of us to be here.

        16                  But I really get the opportunity on

        17       this day of the year, and no other, to tell my

        18       brother Michael, my older brother Michael, how

        19       much I respect him and how much I love him and

        20       how much what he did you cadets are doing now.

        21       So you are sacrificing your lives for our

        22       country.

        23                  Thank you, Mr. President.

        24                  ACTING PRESIDENT VALESKY:    Thank



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         1       you, Senator Breslin.

         2                  COUNTY EXECUTIVE BRESLIN:    Thank

         3       you.

         4                  (Applause.)

         5                  ACTING PRESIDENT VALESKY:

         6       Welcome, County Executive Breslin.

         7                  Before we continue, let me just

         8       inform the members that we have nine Senators

         9       who wish to speak.  The cadets are on a rather

        10       tight schedule, and we also are anxious to

        11       here from Colonel John Cook.  So I would ask,

        12       as I call upon you, if you could try your best

        13       to restrain your remarks to about a minute in

        14       length.  That would be much appreciated.

        15                  Senator Bonacic, on the resolution.

        16                  SENATOR BONACIC:    Thank you,

        17       Mr. President.

        18                  I think all of the speakers who

        19       spoke before me spoke eloquently and expressed

        20       the feelings of every member in this

        21       Legislature.

        22                  Senator Morahan, Senator Larkin,

        23       and I represent Orange County.  We spend a lot

        24       of time at the Point.  And your institution is



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         1       majestic and beautiful.  But what we're most

         2       proud of is the men and women that are at that

         3       Academy.

         4                  We thank you for protecting our

         5       families, our way of life, and our democracy.

         6       You are the best of the best of the American

         7       people, and we thank you for your service.

         8                  Thank you, Mr. President.

         9                  ACTING PRESIDENT VALESKY:    Thank

        10       you, Senator Bonacic.

        11                  Senator DeFrancisco, on the

        12       resolution.

        13                  SENATOR DeFRANCISCO:    As an

        14       Air Force veteran, it's a pleasure to rise and

        15       recognize these wonderful cadets, and

        16       especially Ashley Rowland, who is a next-door

        17       neighbor of my former chief of staff in

        18       Syracuse.  And she was able to survive that,

        19       so she could definitely survive the Academy.

        20       And we welcome you here and all of the cadets

        21       here.

        22                  What I want to say is maybe

        23       somewhat a little bit different.  You know, we

        24       listen to the news, we see what's going on in



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         1       our country day in and day out, whether it's

         2       fraud from major people involved in stock

         3       transactions, irresponsible behavior by bank

         4       officials, whether it's bad conduct by

         5       individuals in the streets.  Every spectrum of

         6       American life, you see this day in and day

         7       out.  And you wonder, is there any hope?  Is

         8       there any hope anymore for this country, in

         9       view of all of these people doing the wrong

        10       thing consistently, it seems.

        11                  And that's why this is one of, in

        12       my mind, the most important days that we have

        13       in the Senate.  It's a reminder to all of us

        14       that we do have hope.  We have good, sound,

        15       solid people coming after us that are going to

        16       make sure that the mistakes that our

        17       generation made hopefully will not be made in

        18       the future.

        19                  So all I can say is simply thank

        20       you.

        21                  ACTING PRESIDENT VALESKY:    Thank

        22       you, Senator DeFrancisco.

        23                  Senator Oppenheimer, on the

        24       resolution.



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         1                  SENATOR OPPENHEIMER:    Well, I'll

         2       be very brief.

         3                  As the daughter of an Army colonel,

         4       I wish you all the same elevation.  And I wish

         5       you all good health and continued successes.

         6       You already are such successes to be where you

         7       are.

         8                  And we thank you for what you're

         9       doing.

        10                  ACTING PRESIDENT VALESKY:    Thank

        11       you, Senator Oppenheimer.

        12                  Senator Little, on the resolution.

        13                  SENATOR LITTLE:    Thank you,

        14       Mr. President.

        15                  I would like to join my colleagues

        16       certainly in expressing my admiration for the

        17       cadets who are joining us today, and for all

        18       the young men and women who attend military

        19       academies.

        20                  As everyone here knows, I am the

        21       very proud mother of a commander in the United

        22       States Navy who is serving in Japan, but a

        23       1991 graduate of the military academy or --

        24       what am I trying to say?  The Naval Academy.



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         1       He would kill me for that, wouldn't he?  But

         2       we do say "Go Navy" all the time.

         3                  (Laughter.)

         4                  SENATOR LITTLE:    The Naval

         5       Academy at Annapolis.  And through him, I

         6       certainly understand a great deal of what

         7       you've gone through.

         8                  It's very difficult to get into a

         9       military academy.  Your commitment is there,

        10       the self-discipline you have to have is so

        11       much more difficult than to attend a college.

        12                  And you may relate to some of the

        13       things that happened with David.  People would

        14       ask him, "Well, do you like it there?"  And he

        15       would pause for a moment and say, "Well, I

        16       don't exactly like it there, but I will love

        17       being from there."  And he truly has.

        18                  And I thank you for all that you

        19       have done, for your willingness to serve our

        20       country.  And may God bless you as you go

        21       forward.

        22                  Thank you.

        23                  ACTING PRESIDENT VALESKY:    Thank

        24       you, Senator Little.



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         1                  Senator Volker, on the resolution.

         2                  SENATOR VOLKER:    Yeah, very

         3       quickly.  I'm proud that I am the only -- I

         4       guess I'm the only one that has two people

         5       from his district, and I want to especially

         6       honor those two.

         7                  Mathew Conrad Walter, who I happen

         8       to know his parents, by the way, is from

         9       Alden, New York.  And I'm especially proud

        10       because he happens to be a 2006 graduate of my

        11       high school, St. Mary's High School in

        12       Lancaster.  His Assemblywoman, Jane Corwin,

        13       and I congratulate him very much and wish you

        14       the best of luck in the future.

        15                  Secondly, Brandon Nicholas Dotson,

        16       I congratulate you.  He is a graduate of a

        17       great high school, Honeoye High School in

        18       Ontario County.  I am amazed at what you've

        19       accomplished.  I'm always humbled because I

        20       have two college professors in my family, and

        21       I always say that they take after my wife.

        22       But whoever you take after, it's great.

        23                  Congratulations.

        24                  ACTING PRESIDENT VALESKY:    Thank



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         1       you, Senator Volker.

         2                  Senator Klein, on the resolution.

         3                  SENATOR KLEIN:    Thank you,

         4       Mr. President.

         5                  I want to thank our Majority

         6       Leader, Senator Smith, and of course Senator

         7       Larkin for bringing up this resolution today.

         8                  Many years ago, when I was a young

         9       Congressional staffperson, one of my duties

        10       was to oversee our military academy

        11       appointment committee.  And even though I was

        12       young and the students we were interviewing

        13       were even younger, I was always taken by the

        14       intelligence and just all-around greatness of

        15       these young people.

        16                  They could have gone to any

        17       college, any Ivy League school, but they chose

        18       to serve their country in the military and get

        19       a great education at the same time.  I'm glad

        20       there are still young people who believe in

        21       duty, honor and country.

        22                  And I know today I'm very

        23       privileged to have one of my constituents,

        24       Terence James McElroy, who hails from the



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         1       Bronx, the Riverdale section of the Bronx.  I

         2       would just like to say, James, that not only

         3       are all of us in the Bronx proud, but the

         4       state and our country as well.  Good luck.

         5                  And thank you, Mr. President.

         6                  ACTING PRESIDENT VALESKY:    Thank

         7       you, Senator Klein.

         8                  Senator Leibell, on the resolution.

         9                  SENATOR LEIBELL:    Thank you,

        10       Mr. President.

        11                  As the senior naval officer in this

        12       body, I'd like to welcome you to Albany.

        13                  I have the opportunity frequently

        14       to go over to West Point.  My district is just

        15       opposite Senator Larkin's, on the other side

        16       of the river.  And, you know, if you read your

        17       history of West Point, many of our most famous

        18       generals used to swim the Hudson to get over

        19       to my district.

        20                  (Laughter.)

        21                  SENATOR LEIBELL:    Everything you

        22       see here today, everything when you go over to

        23       the other house, the discussions, the

        24       deliberations -- which you will not see in



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         1       many parts of the world where you will

         2       serve -- all those discussions and debates we

         3       have are made possible because we have an

         4       armed forces that is willing to go out and

         5       defend this country and what it stands for.

         6                  We are truly blessed to have the

         7       Long Gray Line in this country and in

         8       particular in the State of New York.  So we

         9       all salute you, and we wish you Godspeed.

        10                  Thank you.

        11                  ACTING PRESIDENT VALESKY:    Thank

        12       you, Senator Leibell.

        13                  Senator McDonald, on the

        14       resolution.

        15                  SENATOR McDONALD:    Thank you,

        16       Mr. President.

        17                  I'm speaking on behalf of a

        18       different group of people from a different

        19       perspective.  I want to thank these men and

        20       women, these young men and women and their

        21       officers and noncoms, I want to thank them on

        22       behalf of their future soldiers.

        23                  Years ago I was a young man in

        24       Vietnam, on my first patrol with a bunch of



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         1       other young men, scared, thousands of miles

         2       away from home, in the middle of the jungle.

         3       Our commanding officer was a captain, a

         4       West Point graduate.  We went into the jungle,

         5       we went into combat, and he brought us back.

         6       It was the most frightening period of time in

         7       my life.  The other men with me from all over

         8       the country, all different colors, races,

         9       religions and backgrounds, we were one that

        10       day.

        11                  That captain not only showed

        12       courage, he showed some other things that were

        13       amazing.  He showed compassion and love for

        14       the men.

        15                  You folks are going to be in a very

        16       responsible position in the very near future.

        17       You're going to have a lot of people like me,

        18       young grunts, in your platoons.  You're going

        19       to have them in the palm of your life.  And I

        20       know that you will be like my captain, Captain

        21       Beale, West Point.  You'll have the affection,

        22       the love, the discipline, the character to

        23       lead them through the worst times of their

        24       life.



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         1                  So on behalf of the grunts of the

         2       world, the people who are actually with you in

         3       those battles, God bless you.  And think of

         4       those men and women, and think of all of us,

         5       and look at them.

         6                  I love watching television at night

         7       and seeing those Marine units and Army units

         8       in Iraq and Afghanistan.  That's what America

         9       is.  We're all on the same team.  And as was

        10       mentioned by my colleagues, it's not about one

        11       color, one race, one religion, no ethnic

        12       groups, it's nothing like that.  It's about us

        13       as Americans.  We stand for a way of life, all

        14       of us, and everyone in this room thanks you

        15       because that's what you're doing for us.

        16                  And don't forget those grunts.  God

        17       bless you.

        18                  ACTING PRESIDENT VALESKY:    Thank

        19       you, Senator McDonald.

        20                  Senator Diaz, on the resolution.

        21                  SENATOR DIAZ:    Thank you,

        22       Mr. President.

        23                  I just was trying to recognize that

        24       the great county of the Bronx was represented



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         1       here by Cadet McElroy, but already Senator

         2       Klein recognized him.  He's from the great

         3       City of Riverdale in Bronx County.

         4                  And I just want to acknowledge that

         5       all of you, ladies and gentlemen, when you're

         6       finished, you will become lieutenants,

         7       captains, you will be officers.  And we are

         8       calling you heroes, and you are.  But you will

         9       become officers.  You will be in charge of

        10       leading people like me from the Bronx, from

        11       Harlem, black and white, black and Hispanic,

        12       people that don't have the grade that you

        13       have, officers.  People that love your country

        14       just as much as you do.

        15                  And you are in charge, you're going

        16       to be in charge of them.  People that will

        17       volunteer to give their life for their

        18       country, you will be their bosses.  You will

        19       be the one in charge of making them men and

        20       women.  Because from the bottom of their

        21       heart, they're going to be trying to do what

        22       they know is best for their country.  But you

        23       are in charge, because you will be their

        24       officer.



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         1                  Don't ever forget that you will be

         2       an officer.  But the way that the

         3       responsibility that is put upon you guys to

         4       lead, the black and the Hispanic and the poor

         5       and others that will not be officers like you,

         6       they will be dependent on you.

         7                  So you, Mr. McElroy from the Bronx,

         8       always remember the South Bronx.

         9                  And let me tell you about this

        10       place here.  See, let me tell you about two

        11       armies, the red army and the blue army.  The

        12       red army has its general, and the blue army

        13       has their general.  This is a colony here, a

        14       colony run by the red army for 43 years, and

        15       that was taken away from them by the blue army

        16       for the last three months.

        17                  You will hear the fighting here and

        18       the red army shooting, trying to recapture the

        19       colony, and the blue army and its general,

        20       holding tight.

        21                  Yesterday, yesterday the red army

        22       didn't want to come out of barracks.  They

        23       holed in the barracks.  And then when they

        24       came out, they came out shooting,



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         1       chi-chi-chi-chi-cho:  "No transparency, no

         2       transparency, no transparency."  But they

         3       never said that for 43 years they ran the

         4       colony with no transparency.

         5                  So this is the army here, this is

         6       the fight that we're fighting, our own war for

         7       the people of the State of New York.

         8                  Congratulations, ladies and

         9       gentlemen.  Go out there, protect our country,

        10       and teach our young men and women from our

        11       boroughs.  Teach them.  Teach them.  Don't

        12       just yell at them, teach them.  Love them and

        13       be sure that they become also men and women.

        14       And that they also, when they come out, they

        15       don't come out like me, hating that time that

        16       went in.  That they come out like you will

        17       come out, loving the Army, loving the country.

        18                  I was an Army man, 1960.  I was an

        19       Army man, 35th Quartermaster Battalion.  And I

        20       salute you.  (Saluting.)

        21                  Thank you.

        22                  ACTING PRESIDENT VALESKY:    Thank

        23       you, Senator Diaz.

        24                  Before I call the question on the



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         1       amendment, I am going to suggest, Senator

         2       Smith and Senator Libous, that without

         3       objection we waive the rules of the house so

         4       that I may call forward at this time Colonel

         5       John Cook, as the representative of Lieutenant

         6       General Buster Hagenbeck, the Superintendent

         7       of the United States Military Academy, to

         8       offer each of us and the 19 million Americans

         9       that we represent a message today.

        10                  Colonel.

        11                  COLONEL COOK:    Senator Smith,

        12       thank you for your very warm welcome.

        13                  Senator Larkin, thank you for your

        14       phenomenal support of West Point over the

        15       years.

        16                  Members of this distinguished

        17       Senate, on behalf of our Superintendent,

        18       Lieutenant General Buster Hagenbeck, I bring

        19       you warm greetings from West Point.

        20                  We are delighted to be here with

        21       you today and appreciate the recognition that

        22       you give to West Point here in Albany every

        23       year since 1951 but, more importantly, the

        24       support you and your constituents give to the



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         1       Academy throughout the year.

         2                  Any time I travel with cadets, I

         3       wonder what the folks who see them might be

         4       thinking then when they show up in their

         5       uniforms.  I've gotten a taste of that here

         6       listening to your remarks this morning.

         7                  I suppose it makes a difference

         8       what exposure they might have had with cadets

         9       before, or what they might know about West

        10       Point.  These nine cadets, eight from New York

        11       State, accompanied by the Cadet First Captain

        12       Ben Amsler from Titusville, Pennsylvania,

        13       represent what is good about America and about

        14       the State of New York.

        15                  When we think about all the

        16       challenges that we face as a nation and as a

        17       state, we have reason to have hope.  Our

        18       future is very bright.

        19                  West Point currently has over 4400

        20       cadets from all 50 states, and a total of 57

        21       international cadets from 36 different

        22       countries.  They are without question some of

        23       the brightest, most talented, physically fit,

        24       wholesome young people our nation has to



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         1       offer.  They bring all of their raw and

         2       unlimited potential to arguably the best

         3       leadership development institution in the

         4       world, located only two hours from here, along

         5       the west bank of the Hudson River -- the same

         6       river Henry Hudson first explored 400 years

         7       ago this year.  And we look forward to

         8       participating in New York State's

         9       quadricentennial celebration.

        10                  For over 207 years now, West Point

        11       has been a faithful steward of the sons and

        12       daughters our country has sent to us.  Cadets

        13       from New York represents a large percentage of

        14       the Corps of Cadets.  Three hundred six

        15       New York cadets in a population of 4456, or

        16       7 percent of the Corps, are from this great

        17       state.

        18                  One of those cadets is a cadet

        19       named Jackie Uhorchak, a second-generation

        20       West Pointer and a senior who currently serves

        21       as one of the four regimental commanders in

        22       the Corps of Cadets, in charge of over 1100

        23       cadets.  I've known Jackie since she was in

        24       middle school, a competitive sprinter then



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         1       with lightning speed.  I don't think I ever

         2       saw her lose a race in middle school.

         3                  I have watched her experience the

         4       transformation all cadets experience during

         5       their four years at West Point, as she has

         6       blossomed into the exceptional leader of

         7       character that she is today.

         8                  Her dad graduated from West Point

         9       in 1975 and is now retired.  Her older brother

        10       Nick graduated last year, and 10 months after

        11       his graduation is already deployed in Iraq

        12       with the First Cavalry Division.  Her younger

        13       brother Andy is two years ago behind her and

        14       will graduate with the Class of 2011.  One New

        15       York family producing four leaders of

        16       character to serve our nation in uniform.

        17                  All of our cadets are equally

        18       significant.  Every one of them is committed

        19       to values of duty and honor and country.  They

        20       are all preparing themselves for one of the

        21       greatest privileges our country could ever

        22       afford any citizen of this nation, leading our

        23       great soldiers, many from the State of

        24       New York -- in fact, I looked up the



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         1       statistics; from last year alone, 9,375

         2       New York young people enlisted in the regular

         3       Army, U.S. Army Reserve, and the Army National

         4       Guard -- who continue to answer the call to

         5       serve their nation when we need them the most.

         6                  I graduated from West Point

         7       30 years ago this June, and I will retire from

         8       active duty in the next few months.  My four

         9       years at West Point were literally

        10       life-changing.  I would not be the man that I

        11       am today had I not gone there.  And I will be

        12       forever grateful to Congressman Goodling from

        13       the 19th Congressional district in

        14       Pennsylvania, who gave me my appointment.

        15                  Your contributions to our nation's

        16       future and to the individual lives of every

        17       young man or woman who enters West Point from

        18       your districts is no less significant.  The

        19       West Point experience is life-changing.  And

        20       the end result is an Army that is well-led by

        21       leaders of character, many of whom are

        22       citizens of this great state.

        23                  The Academy could not accomplish

        24       its mission without the continued support of



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         1       the New York Legislature and the surrounding

         2       communities of New York that are outside our

         3       gates.  If you've never visited West Point, I

         4       hope you will do so in the near future.

         5                  If you're ever attempted to be

         6       discouraged about the future, come and spend

         7       time with our cadets.  You will be inspired

         8       and encouraged by their values, their

         9       commitment, their potential.  We are extremely

        10       proud of these young men and women, all of

        11       whom have signed up to serve while our country

        12       is at war.  The future of this state and our

        13       nation is in great hands.

        14                  Thank you for your support of West

        15       Point.  Thank you once again for having us

        16       here and affirming the importance of the

        17       critical relationship between West Point and

        18       New York.  May God bless each of you as you

        19       continue your public service to this state and

        20       to our nation.

        21                  God bless you.

        22                  (Standing ovation.)

        23                  ACTING PRESIDENT VALESKY:    The

        24       question, then, before the Senate is on the



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         1       resolution.  All in favor signify by saying

         2       aye.

         3                  (Response of "Aye.")

         4                  ACTING PRESIDENT VALESKY:

         5       Opposed, nay.

         6                  (No response.)

         7                  ACTING PRESIDENT VALESKY:    The

         8       resolution is adopted.

         9                  To the cadets of the United States

        10       Military Academy, you have our sincere and

        11       heartfelt thanks for your commitment to duty,

        12       honor, and country.  Thank you for being with

        13       us.

        14                  SENATOR LIBOUS:    Mr. President.

        15                  ACTING PRESIDENT VALESKY:

        16       Senator Libous.

        17                  SENATOR LIBOUS:    Could I ask that

        18       all members be on that resolution unless

        19       someone objects to it.

        20                  ACTING PRESIDENT VALESKY:    The

        21       resolution is open for cosponsorship by all

        22       members of the Senate.  Any member wishing not

        23       to cosponsor the resolution should so inform

        24       the desk.



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         1                  SENATOR LIBOUS:    Thank you,

         2       Mr. President.

         3                  ACTING PRESIDENT VALESKY:    The

         4       Senate will stand at ease momentarily.

         5                  (Whereupon, the Senate stood at

         6       ease at 12:11 p.m.)

         7                  (Whereupon, the Senate reconvened

         8       at 12:16 p.m.)

         9                  ACTING PRESIDENT VALESKY:

        10       Senator Klein.

        11                  SENATOR KLEIN:    Mr. President,

        12       Senator DeFrancisco has a resolution at the

        13       desk.  I ask that the title of the resolution

        14       be read and move for its immediate adoption

        15       and allow Senator DeFrancisco to speak on his

        16       resolution.

        17                  ACTING PRESIDENT VALESKY:    The

        18       Secretary will read.

        19                  THE SECRETARY:    By Senator

        20       DeFrancisco, Legislative Resolution Number

        21       1156, saluting the Vera House White Ribbon

        22       Campaign March 27 through April 5, 2009.

        23                  ACTING PRESIDENT VALESKY:

        24       Senator DeFrancisco, on the resolution.



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         1                  SENATOR DeFRANCISCO:    Yes, I

         2       would like to present this resolution to all

         3       for cosponsorship unless you choose not to be

         4       on the resolution.

         5                  For the last 15 years the Vera

         6       House --

         7                  ACTING PRESIDENT VALESKY:    Excuse

         8       me, Senator DeFrancisco.

         9                  Could we please keep the noise down

        10       so we can hear the Senator speak on his

        11       resolution.  Thank you.

        12                  SENATOR DeFRANCISCO:    For the

        13       last 15 years Vera House, an organization to

        14       help victims of domestic violence, has been

        15       having a white ribbon campaign.  And I've got

        16       my white ribbon on today.  I think just about

        17       all those years I've brought a resolution to

        18       raise awareness to this very serious problem

        19       of domestic violence.

        20                  And the goals of this campaign are

        21       very simple, to get men involved in working to

        22       end men's violence against women, to raise

        23       awareness of the problem in the community, and

        24       to support organizations that deal with the



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         1       consequences men's violence against women.

         2                  And it's an important goal for all

         3       of us, and it's an important resolution, and

         4       it's a wonderful organization.  And I urge

         5       everyone to support it and everyone to

         6       cosponsor this resolution.

         7                  Thank you.

         8                  ACTING PRESIDENT VALESKY:    Thank

         9       you, Senator DeFrancisco.

        10                  All in favor of the resolution

        11       signify by saying aye.

        12                  (Response of "Aye.")

        13                  ACTING PRESIDENT VALESKY:

        14       Opposed, nay.

        15                  (No response.)

        16                  ACTING PRESIDENT VALESKY:    The

        17       resolution is adopted.

        18                  Senator DeFrancisco has requested

        19       that it be open for cosponsorship.  Anyone

        20       wishing not to cosponsor the resolution should

        21       notify the desk.

        22                  Senator Klein.

        23                  SENATOR KLEIN:    Mr. President,

        24       can we ask the members of the Senate to return



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         1       to the chamber, because we're going to start

         2       our order of business and start debating the

         3       budget bill where we left off.

         4                  ACTING PRESIDENT VALESKY:    We'll

         5       ask the Secretary to ring the bells.

         6                  I ask all Senators to return to the

         7       chamber.  We will resume on the controversial

         8       calendar, with Calendar Number 132.

         9                  We will now return to the debate of

        10       Calendar Number 132, Senate Print 53C, the

        11       Education, Labor and Family Assistance

        12       appropriation budget bill.

        13                  Senator Klein.

        14                  SENATOR KLEIN:    Mr. President, if

        15       we could return to the normal order of

        16       business, I move that we return to the

        17       controversial calendar and continue debate on

        18       Calendar Number 132.

        19                  ACTING PRESIDENT VALESKY:    I

        20       remind all members to return to the chamber so

        21       that we can continue debate on Calendar 132.

        22                  Senator Oppenheimer, on the bill.

        23                  SENATOR OPPENHEIMER:    Thank you,

        24       Mr. President.



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         1                  I would like to make just a couple

         2       of personal observations.  Since I have the

         3       floor, I'd like to make some observations on

         4       yesterday, and then I will get to the bill.

         5                  Yesterday it was suggested on the

         6       other side of the aisle here that this side

         7       was under the control of New York City.  And I

         8       wanted to point out that actually the last

         9       chair of the Education Committee, Senator

        10       Saland, he and I share many common concerns,

        11       as residents of the Hudson Valley area -- such

        12       things as a concern about the Board of

        13       Cooperative Education, about our escalating

        14       property taxes, about reduced paperwork, about

        15       relief from unfunded mandate mandates.

        16                  And I've followed some of the

        17       practices of Senator Saland, in that I concur

        18       there should be no unfunded mandates brought

        19       before the Education Committee.  And indeed, I

        20       followed his kind advice and I hired his

        21       committee clerk.  And I have been very, very

        22       happy with her wise counsel and her very

        23       pleasant demeanor.

        24                  After less than three months as



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         1       chair, I can't expect to be as knowledgeable

         2       as he is after many years in that position.

         3       So I may ask and have asked Senator Saland to

         4       help me out sometimes.  Indeed, I begged him

         5       to be my ranker.  But I can understand why he

         6       made other choices.

         7                  But I don't think that the new

         8       Senate Education Committee will look that very

         9       different from the old Senate Education

        10       Committee, as many of Senator Saland's

        11       concerns are also my concerns.

        12                  On another issue, yesterday Senator

        13       Flanagan thought that it was rude to have sent

        14       him the letter that I did send.  And I want

        15       you to know, Senator Flanagan, that was not my

        16       intention.  I don't think I have ever been

        17       intentionally rude to anyone.  And therefore,

        18       I would like to apologize if you viewed it

        19       that way.  I just wanted to get that said

        20       before I started to talk about the bill.

        21                  Okay, in this bill, the aid to

        22       local schools, in this budget debate where

        23       many sentences have begun with "cuts and

        24       increased costs," education has been protected



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         1       while the pressure to raise property or school

         2       taxes has been reduced.  Faced with the

         3       greatest economic crisis and the toughest

         4       budget I think in the history of the state,

         5       this Legislature used the federal State Fiscal

         6       Stabilization Fund to Education -- that's a

         7       big mouthful -- to restore all education cuts

         8       that were proposed by the Governor and to

         9       increase by $1.22 billion school aid over the

        10       levels that were in last year's budget.

        11                  In a year when nearly all other

        12       programs in the budget were cut, the numbers

        13       and amounts allocated for education proved

        14       that our number-one priority was and is

        15       educating children and reducing the pressure

        16       on the rising property and school taxes.

        17       Simply put, the promise that the Majority made

        18       to put children and property taxpayers first

        19       is no longer just a promise, but it is a legal

        20       reality.

        21                  This fully restores the cuts

        22       imposed by the Governor's deficit reduction

        23       assessment, as requested by school districts

        24       across the state and by Democrats and



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         1       Republican members of this Legislature.

         2                  Senator Flanagan, the ranker on the

         3       Senate Education Committee, made it clear when

         4       we had Commissioner Mills come in to speak to

         5       our committee, made it clear that he wanted

         6       the DRA cuts to be restored before any added

         7       funds went to the third year of the CFE

         8       commitment.  And actually we accepted this

         9       wise counsel, and we did restore the aid.

        10                  Also Senator Robach had a hearing

        11       where his constituents heard that their

        12       highest priority was regulatory DRA and

        13       rejecting the cost shift of pre-K special ed

        14       services from the state to the school

        15       districts.  And this also was wise advice, and

        16       we have followed that.

        17                  The Senate also found an additional

        18       $15 million in additional aid for other

        19       purposes.  And these include -- and these are

        20       just a few -- 1.3 million for state Special

        21       Act school districts which serve high-needs

        22       special ed students.  And we will be having a

        23       freestanding bill coming in the next couple of

        24       months concerning this, helping our state



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         1       Special Act school districts further.

         2                  There's also a half million dollars

         3       for the Center for Autism and Disabilities at

         4       SUNY.  I also have one just outside of my

         5       Senate district.  They do a very valuable job,

         6       the regional centers on autism.

         7                  There's also $175,000 for the

         8       Center for Rural Schools at Cornell

         9       University, $400,000 for in-school suspension

        10       pilot program, which will be I believe in

        11       Mount Vernon.

        12                  This budget demonstrates our

        13       commitment to phase in more increases in

        14       foundation aid by the 2013-2014 school year.

        15       Unfortunately, the moral promise of CFE will

        16       be met a little later than we would have

        17       liked, and it will take a little longer than

        18       we anticipated prior to the national and state

        19       fiscal and economic crisis -- indeed, the

        20       global crisis.  It is not just an American

        21       crisis.  But we will fulfill the moral promise

        22       of CFE, even though it will take us a few

        23       years longer.

        24                  The Legislature, under Special Act



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         1       funding, protected local school districts and

         2       local taxpayers from the Governor's plan to

         3       require them to pay $136 million in pre-school

         4       special ed funding.  As pre-school special ed

         5       is growing faster than other educational

         6       costs, this would have been a particularly

         7       taxing -- sorry about the pun -- cost shift.

         8       Had this proposal been allowed to stand, it

         9       would have created greater local budget

        10       problems by driving up costs for property

        11       taxpayers in school districts all across our

        12       state.

        13                  The Legislature also kept the

        14       current payment structure for the special ed

        15       teachers intact, ensuring that the valuable

        16       services that these instructors provide will

        17       remain available to our kids.

        18                  On STAR rebate, although the budget

        19       eliminates the STAR rebate check, we will

        20       continue the STAR program, which provides

        21       $3.3 billion in benefits to seniors, who get a

        22       larger rebate, and those who face high

        23       property taxes.

        24                  In addition, we have actually



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         1       resisted the Governor's efforts to raise and

         2       thereby narrow the STAR eligibility limits by

         3       raising the floor from 11 percent to

         4       18 percent.  And thereby, we have preserved

         5       the current standards of eligibility for the

         6       original STAR.

         7                  In library aid, the budget includes

         8       additional support for public libraries by

         9       restoring $10 billion across the system.  And

        10       we understand that the libraries are being

        11       utilized more and more, almost 30 percent more

        12       utilization, by not only our young and our

        13       elderly but now by our unemployed.

        14                  This increased aid is especially

        15       needed in our rural and upstate areas, some of

        16       which have been chronically underserved in

        17       library services.  We understand that it was

        18       $102 million last year.  And this year, the

        19       Governor had put in $81 million and we, the

        20       Legislature, brought it up to $91 million.

        21                  Would we have liked to increase the

        22       total amount to libraries?  Unquestionably.

        23       As you have heard me say many times on the

        24       floor of the Senate, I think I live in



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         1       libraries.  But we have to face the fiscal

         2       realities.  You know, the economy is just

         3       falling faster than we can keep up with.

         4                  Under private schools, we have

         5       restored the funding for mandated expenses.

         6       And I have done a stand-alone bill, but I

         7       think in the long run all we can say is that

         8       we will have discussions.  Because we do plan

         9       to fully pay for their expenses.  That has not

        10       been the question.  The question is what are

        11       those expenses.  And we have said that we will

        12       sit down and discuss this.  So we will see

        13       that they get their full formula funding.  It

        14       may be next year, but they will get it.

        15                  Teacher centers.  We restored

        16       $40 million in cuts for the New York State

        17       Teacher Centers.  These centers are critical

        18       to ensure students are taught by well-trained

        19       teachers with up-to-date information in their

        20       fields.  And this is exceedingly important to

        21       the teachers.

        22                  On public broadcasting, one of the

        23       increased stresses on our society is the lack

        24       of educational media for children and



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         1       families.  For those that because of the

         2       economic crisis are cutting back on cable

         3       television, high-quality programming by the

         4       broadcast networks, especially for children,

         5       is becoming harder and harder to find.  The

         6       Legislature has restored 50 percent of the

         7       Governor's proposed cuts for public

         8       television, adding around $5.5 million.  And

         9       as a fan of PBS, I'm happy to report that.

        10                  Well, we haven't passed this yet,

        11       but the Senate fought for and did not achieve

        12       passage of many of the Governor's mandate

        13       relief provisions, prohibiting unfunded

        14       mandates from taking effect mid-school year,

        15       eliminating unnecessary regulations, which I

        16       personally think achieve nothing, eliminating

        17       outdated and counterproductive reporting and

        18       tracking requirements, some of which are

        19       overlapping each other.

        20                  But the Senate has obtained

        21       commitments from the Assembly to pursue

        22       mandate relief after this budget has been

        23       passed.  And we do anticipate that we will

        24       have a strong mandate relief bill before this



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         1       house within the next two to three months.

         2                  And as I mentioned, I will also

         3       have a bill on the Special Act school

         4       districts.  I will also have a bill on --

         5       well, I mentioned duplicative reporting,

         6       mandate relief, and several other things which

         7       I know are of special interest to many of us,

         8       like healthy schools, community schools, and

         9       the like.

        10                  Okay.  Now, just in summation, the

        11       frozen formulas are as follows:  Foundation

        12       aid, high tax aid, universal pre-K.  Those are

        13       all frozen at last year's levels.  The

        14       expense-based aids are going to move ahead.

        15       They are being reimbursed, we owe it to them,

        16       and we are continuing our commitment to

        17       reimburse where money has been spent.

        18                  I think I'll end there, and I'll

        19       answer any questions.

        20                  Thank you, Mr. President.

        21                  ACTING PRESIDENT VALESKY:    Thank

        22       you, Senator Oppenheimer.

        23                  Senator Flanagan.

        24                  SENATOR FLANAGAN:    Thank you,



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         1       Mr. President.  Would Senator Oppenheimer

         2       yield?

         3                  ACTING PRESIDENT VALESKY:

         4       Senator Oppenheimer, do you yield?

         5                  SENATOR OPPENHEIMER:    Yes.

         6                  ACTING PRESIDENT VALESKY:    The

         7       Senator yields.

         8                  SENATOR FLANAGAN:    First, Senator

         9       Oppenheimer, you are never intentionally rude

        10       to anybody.  You don't need to apologize to

        11       me.  I appreciate what you said.

        12                  But I do have a series of questions

        13       that I would hope you could answer relative to

        14       the education portion of the budget.  And I

        15       realize that we have two separate bills.

        16       We're going to have the language bill, and

        17       some of that will relate to mandates.  But

        18       inasmuch as you brought up some of it now,

        19       maybe it's a good point to engage in some of

        20       that discussion.  But I want to start by

        21       inquiring about the federal stimulus money.

        22                  How much federal stimulus money is

        23       in this overall budget for education, and what

        24       are the sources of those funds?



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         1                  SENATOR OPPENHEIMER:    Well,

         2       everybody calls it the stimulus money.  But as

         3       far as education, you and I know it is the

         4       State Fiscal Stabilization Fund to Education.

         5       That's the piece that was dedicated to

         6       education.

         7                  And it's got funding for two years,

         8       and that comes to $2.72 billion, of which this

         9       year we will spend $1.19 billion.

        10                  SENATOR FLANAGAN:    On the

        11       2.72 billion -- Mr. President, if Senator

        12       Oppenheimer would continue to yield.

        13                  ACTING PRESIDENT VALESKY:    Do you

        14       continue to yield?

        15                  SENATOR OPPENHEIMER:    Yes, I do.

        16                  ACTING PRESIDENT VALESKY:    The

        17       Senator yields.

        18                  SENATOR FLANAGAN:    On the

        19       $2.72 billion, is there more than one source

        20       of funds for that money?

        21                  SENATOR OPPENHEIMER:    No, that

        22       all is coming through the stabilization

        23       monies.

        24                  SENATOR FLANAGAN:    Does it come



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         1       from one pot in the stabilization money?

         2                  SENATOR OPPENHEIMER:    There's

         3       also money that is available that we have

         4       not -- 200 to 300 -- 240 million, I'm getting

         5       the exact number, 240 million -- right, is

         6       that the exact number? -- of this extra fund.

         7       That actually could be used for other

         8       governmental services, but it has been

         9       utilized to fill in the cuts in the education

        10       budget.

        11                  SENATOR FLANAGAN:    Mr. President,

        12       if Senator Oppenheimer would continue to

        13       yield.

        14                  ACTING PRESIDENT VALESKY:

        15       Senator Oppenheimer, do you continue to yield?

        16                  SENATOR OPPENHEIMER:    Yes, sure.

        17                  ACTING PRESIDENT VALESKY:    The

        18       Senator yields.

        19                  SENATOR FLANAGAN:    I certainly

        20       don't mean to belabor these points, but I

        21       think that the point in asking these questions

        22       is to get the details.  Because it is going to

        23       be exceedingly important to our local school

        24       districts and our property taxpayers to know



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         1       where the money is coming from now, because

         2       it's going to have a real effect two and three

         3       years from now.

         4                  So it is my understanding -- and I

         5       have the federal legislation right in front of

         6       me, and it is referred to as the State Fiscal

         7       Stabilization Fund.  And there are two

         8       components therein.  One is the educational

         9       funding that you had referenced, and then

        10       there is a catch-all that is loosely described

        11       as general purpose aid that does not have to

        12       be exclusively used for education, and it

        13       specifically references that it can be used

        14       for things like public safety.

        15                  So you mentioned that there was

        16       $2.72 billion.  How much of that is the

        17       general purpose, and how much of that is the

        18       education pot itself?

        19                  SENATOR OPPENHEIMER:    The amount

        20       that I believe is from the general -- in other

        21       words, it didn't have to be, as you said,

        22       specifically for education.  But I believe we

        23       are using $240 million of that for education.

        24                  SENATOR FLANAGAN:    Of the



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         1       general-purpose money?

         2                  SENATOR OPPENHEIMER:    It is what

         3       I said.  $240 million is being used from that

         4       general fund, which can be used for education

         5       or something else.  But we're taking

         6       $240 million, as I said earlier, for

         7       education.

         8                  SENATOR FLANAGAN:    Okay.  240 out

         9       of what available funds?

        10                  SENATOR OPPENHEIMER:    It is as I

        11       just said.  I'll repeat it again.

        12                  The State Fiscal Stabilization Fund

        13       is, as I said, $1.19 billion will be used this

        14       year.  It is larger than that, but it's a

        15       two-year approp that we're getting the federal

        16       funds, the stabilization funds.

        17                  Then there is $240 million which we

        18       will be using this year also for education.

        19       It doesn't have to be for education, but we

        20       are going to use $240 million of that money

        21       for education.

        22                  SENATOR FLANAGAN:    Mr. President,

        23       if Senator Oppenheimer would continue to

        24       yield, through you.



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         1                  ACTING PRESIDENT VALESKY:

         2       Senator Oppenheimer, do you continue to yield?

         3                  SENATOR OPPENHEIMER:    Yes, I do.

         4                  ACTING PRESIDENT VALESKY:    The

         5       Senator yields.

         6                  SENATOR FLANAGAN:    Let me

         7       differentiate.  It is my understanding, based

         8       on information that we've been provided, that

         9       the money that is specifically allocated for

        10       education in the Fiscal Stabilization Fund is

        11       approximately $2.35 billion over two years.

        12                  SENATOR OPPENHEIMER:    Two years,

        13       correct.

        14                  SENATOR FLANAGAN:    And then a

        15       general-purpose allotment of about

        16       $550 million.

        17                  SENATOR OPPENHEIMER:    Right.

        18                  SENATOR FLANAGAN:    So we're

        19       talking slightly over $3 billion over two

        20       years.

        21                  SENATOR OPPENHEIMER:    Okay, yes.

        22       Correct.

        23                  SENATOR FLANAGAN:    Do you agree

        24       with that?



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         1                  SENATOR OPPENHEIMER:    Correct.

         2       I'm with you.

         3                  SENATOR FLANAGAN:    Okay.  So then

         4       I want to go back to something you said

         5       before, that there is $2.72 billion.  Somehow

         6       we're about $300 million apart.

         7                  So you referenced the total of

         8       $2.72 billion.  There's over 3 billion.  So

         9       what is your understanding of what the number

        10       is?

        11                  SENATOR OPPENHEIMER:    When I said

        12       2.72 -- well, we have to figure out.  There's,

        13       according to me, a $200 million -- what I

        14       think has happened here is we've combined the

        15       two for the first year.  And for the second

        16       year, take away 1.19 from the figure I gave

        17       you earlier, and that's what we'll have

        18       available for next year.

        19                  SENATOR FLANAGAN:    Right.  But I

        20       don't know what we'll have available next year

        21       until we can agree what's available in total.

        22                  So what I'm trying to gather is

        23       since you have negotiated this, and this is

        24       now coming before us, and we are now going to



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         1       go back to our school districts and say this

         2       is where the money came from, what is the

         3       total amount available?  Is it the over

         4       $3 billion, or is it the $2.7 billion that

         5       you're referencing?  Because $300 million is a

         6       substantial discrepancy.

         7                  SENATOR OPPENHEIMER:    Okay, I was

         8       adding the two together.

         9                  So put down for this year from

        10       stabilization, from the federal government,

        11       but not all utilized within this one year, put

        12       down $2.5 billion.  The general fund, that can

        13       be utilized for a variety of purposes, put

        14       down at $550 million.  So you add them both

        15       together -- but you see, you can't do that.

        16                  Through you, Mr. President.  The

        17       reason you can't do that is because you don't

        18       know how it will be utilized next year.  This

        19       year, yes, we utilize part of that general

        20       money for education.  I'm not certain it will

        21       be there for education next year.

        22                  SENATOR FLANAGAN:    Well, thank

        23       you very much.  Because let me follow up on

        24       that point.  Mr. President, through you.



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         1                  You mentioned $1.19 billion for

         2       this year that is in this budget.

         3                  SENATOR OPPENHEIMER:    Right.

         4                  SENATOR FLANAGAN:    Where does

         5       that money come from?

         6                  SENATOR OPPENHEIMER:    It comes

         7       from the stabilization fund.

         8                  SENATOR FLANAGAN:    Okay.  Which

         9       part?  The educational part, or the

        10       general-purpose part?  Because you said

        11       there's $240 million used from the general

        12       purpose.  So if I'm following your logic, that

        13       means we're spending less, certainly

        14       considerable less than a billion of the

        15       educational money that's been specifically

        16       allocated.

        17                  SENATOR OPPENHEIMER:    The

        18       stabilization fund, the $1.19 billion that

        19       we're using this year, was specific to replace

        20       cuts that had been made in the education

        21       budget of the state.  It was to maintain

        22       teacher jobs.  It was to maintain classroom

        23       size.  It had specific pieces of our budget

        24       that we were told to fill in.



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         1                  That is what the stabilization

         2       money -- it's called stabilization,

         3       stabilization so that we would be able to fill

         4       the holes that we had created in our budget.

         5                  SENATOR FLANAGAN:    Mr. President,

         6       if Senator Oppenheimer would continue to

         7       yield.

         8                  ACTING PRESIDENT VALESKY:

         9       Senator Oppenheimer, do you continue to yield?

        10                  SENATOR OPPENHEIMER:    Yes, I do.

        11                  ACTING PRESIDENT VALESKY:    The

        12       Senator yields.

        13                  SENATOR FLANAGAN:    Senator

        14       Oppenheimer, this is extremely important for

        15       our school districts, so I am going back to

        16       this.  I understand what you're saying about

        17       the $1.19 billion.  What I'm trying to figure

        18       out, because this is going to be a problem now

        19       and next year, is how are we getting the

        20       money.  And I'll ask you a separate but

        21       related question right at this point.

        22                  I have the federal legislation

        23       right in front of me and have read it time and

        24       time again.  Has the State of New York applied



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         1       for that federal money?

         2                  SENATOR OPPENHEIMER:    We have not

         3       applied yet.  The answer is no, we have not

         4       yet applied.

         5                  SENATOR FLANAGAN:    Okay.  And can

         6       you explain why the Governor, on behalf of

         7       New York State, has not applied for that

         8       funding?

         9                  SENATOR OPPENHEIMER:    Well,

        10       actually, we needed to have -- through you,

        11       Mr. President, we had to have a budget passed

        12       in order to go to the federal government and

        13       say, This is what we have passed and this is

        14       going to be our request to you.  We hope we

        15       can do that sometime today.

        16                  SENATOR FLANAGAN:    Mr. President,

        17       if Senator Oppenheimer would continue to

        18       yield.

        19                  ACTING PRESIDENT VALESKY:    Do you

        20       continue to yield, Senator Oppenheimer?

        21                  SENATOR OPPENHEIMER:    Of course.

        22                  ACTING PRESIDENT VALESKY:    The

        23       Senator yields.

        24                  SENATOR FLANAGAN:    Senator



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         1       Oppenheimer, I have the federal legislation

         2       right in front of me.  It doesn't say anything

         3       about passing a budget.  It says that the

         4       Governor has to make an application on behalf

         5       of the State of New York.

         6                  So the contingency of whether or

         7       not we pass this budget -- and I agree with

         8       you, we should pass it.  I want to pass it --

         9       is irrelevant to the application process.

        10                  So what I'm trying to know is when

        11       the Governor is supposed to make that

        12       application to the federal government, what

        13       exactly is he going to be asking for?  And

        14       that's why those numbers are so important.  Is

        15       the Governor going in asking for all the

        16       general-purpose money or some of it?  Because

        17       now we're setting up the issue for this year

        18       as well as next year.

        19                  So your understanding, I'm

        20       assuming, is that the Governor will ultimately

        21       make an application based on the numbers that

        22       are represented here.

        23                  SENATOR OPPENHEIMER:    Through

        24       you, Mr. President.  Okay, I'll lay it out as



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         1       clearly and as simply as I can.

         2                  The $1.19 billion that we are

         3       spending was totally to remove the DRA, the

         4       deficit reduction assessment, that was put on

         5       all the schools.  Once we pass this budget,

         6       then there is knowledge of what we are going

         7       to need, what we are going to request, number

         8       one.

         9                  Number two, the other piece, which

        10       is this general fund for which we're taking

        11       $240 million this year for education, those

        12       monies are much more specific.  We can go

        13       through them.  It's monies to restore teacher

        14       centers, pre-school, special ed cost shift,

        15       public libraries, all these other things that

        16       we needed the additional funds to restore.  So

        17       we're going to tell specifically what we need

        18       it for, and then we are going to make the

        19       application.

        20                  And as I said, the Governor is

        21       going to ask for what we have appropriated,

        22       and that I think we will be doing today.  And

        23       hopefully we can get the state plan up to him,

        24       up to our federal government as soon as we



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         1       finish our budget, and then we can go and

         2       apply.

         3                  SENATOR FLANAGAN:    Okay.

         4       Mr. President, if Senator Oppenheimer would

         5       continue to yield.

         6                  ACTING PRESIDENT VALESKY:

         7       Senator Oppenheimer, do you yield?

         8                  SENATOR OPPENHEIMER:    Sure.

         9                  ACTING PRESIDENT VALESKY:    The

        10       Senator continues to yield.

        11                  SENATOR FLANAGAN:    That was more

        12       clarity.  We're spending all the education

        13       money and $240 million on top of that.  So

        14       over a two-year program, approximately half of

        15       it is being spent right now.

        16                  Moving ahead to next year, your

        17       representation is that you can't tell us

        18       whether or not the balance of that

        19       general-purpose money will be available for

        20       education.

        21                  SENATOR OPPENHEIMER:    Through

        22       you, that would be $310 million, if my math is

        23       correct, that is to be put into next year's

        24       budget.  And no, I cannot tell you if it is



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         1       going to be put in education or into other

         2       areas that are in dire need.

         3                  SENATOR FLANAGAN:    Okay.  On your

         4       comments relative to the budget.  You

         5       referenced a $1.22 billion increase in this

         6       year's budget.  Can you break that out in

         7       terms of where those increases come from?

         8       Roughly.

         9                  SENATOR OPPENHEIMER:    Would you

        10       repeat?  I'm not certain I heard.

        11                  SENATOR FLANAGAN:    When you were

        12       explaining the education portion of the

        13       budget, you said there's a $1.22 billion

        14       increase.  Certainly some of that is allocated

        15       towards expense-driven aids.  How is it broken

        16       out?

        17                  SENATOR OPPENHEIMER:    Through

        18       you, Mr. President, I think Senator Flanagan

        19       is going to need a pen for this.

        20                  Okay, here goes some numbers.  The

        21       $166,851,638, this money is going to what I

        22       discussed, the formula-based aids that I

        23       mentioned earlier.  You know, the foundation

        24       aid, the high-tax aid.  Then we have



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         1       $204,400,795, and that's going to building

         2       aid, building reorganization.  So now we're

         3       close to 300.

         4                  Then we have the two that, you

         5       know, are simply passed through, IDEA and

         6       Title 1.  We pass them through to the

         7       districts immediately.  So we have to add that

         8       in.  So IDEA is $393,964,044.  And then we

         9       have Title 1-A, and that will be $423,364,927.

        10                  And if you add that all together,

        11       you get to the federal aid estimate of

        12       $1,221,119,253.

        13                  SENATOR FLANAGAN:    Thank you,

        14       Mr. President.  If Senator Oppenheimer would

        15       just continue to yield for a couple questions.

        16                  ACTING PRESIDENT VALESKY:

        17       Senator Oppenheimer, do you continue to yield?

        18                  SENATOR OPPENHEIMER:    Sure thing,

        19       yes.

        20                  ACTING PRESIDENT VALESKY:    The

        21       Senator yields.

        22                  SENATOR FLANAGAN:    Senator

        23       Oppenheimer, in looking at this budget I think

        24       one of the things that the public is



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         1       completely unaware of and will become aware of

         2       after the fact, and I think is going to be

         3       very problematic for our school districts, is

         4       that this is in essence a two-year plan.

         5                  And you and the Assembly Democrats

         6       and the Governor have come up with a plan that

         7       is already telling school districts for next

         8       year that all your base aids are frozen, there

         9       will be no increases of any kind.  And that

        10       anything relative to foundation aid or

        11       high-tax aid or anything like that, the

        12       earliest we're going to deal with it is two

        13       years from now.

        14                  When we're looking at the problems

        15       that we're facing, I find it extremely hard to

        16       understand, frankly difficult to fathom, why

        17       you would advocate for a two-year plan that

        18       freezes -- when we don't know what's going to

        19       happen six months from now or nine months from

        20       now, why are we locking ourselves into a plan

        21       that is telling school districts you should

        22       expect no more money this year and next year?

        23                  SENATOR OPPENHEIMER:    Through

        24       you, Mr. President, I was just handed some



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         1       newspaper articles that say that the schools

         2       cheered the restoration of state aid.  I think

         3       they're very thankful that in this very dire

         4       economic straits that we're in now that we

         5       have come forth with some help for them.

         6                  Here is "The restoration of state

         7       aid will enable the district to lessen some of

         8       the 51 staff reductions the Poughkeepsie

         9       school board was contemplating."  I mean, we

        10       have a lot of very positive statements from

        11       across the whole state.  Here's one --

        12                  SENATOR FLANAGAN:    Well, Senator

        13       Oppenheimer, let me offer to you, if you are

        14       so inclined to offer media clips for our

        15       consideration, I would be more than happy to

        16       regale you with the probably 100 to 200

        17       articles that think this budget is an

        18       unmitigated disaster and does nothing to

        19       protect the taxpayers.

        20                  What I'm asking you is a direct

        21       question, inasmuch as you are chair of the

        22       Education Committee and negotiated on behalf

        23       of the Senate, why this plan that freezes base

        24       aid for two years?  Why not do it one year, as



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         1       we generally do, and set ourselves up for next

         2       year?  You're already sending a message that

         3       forget next year.  Who made that decision, and

         4       why was that reached?

         5                  SENATOR OPPENHEIMER:    We will

         6       have money for next year.  As you know, we are

         7       only spending a little less than half of our

         8       stabilization funds, the federal stabilization

         9       funds.  And who knows, maybe that general pot

        10       of $550 million, of which we've only spent

        11       $240 million, maybe that will be available to

        12       us also.

        13                  The only things that were frozen

        14       were the operating aids, the three that I

        15       mentioned to you earlier.

        16                  SENATOR FLANAGAN:    Right, which

        17       comprises the overwhelming majority of the

        18       budget.

        19                  ACTING PRESIDENT VALESKY:

        20       Senator Flanagan, are you continuing to ask

        21       Senator Oppenheimer to yield?

        22                  SENATOR FLANAGAN:    Yes, I am.

        23                  ACTING PRESIDENT VALESKY:

        24       Senator Oppenheimer, do you yield?



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         1                  SENATOR OPPENHEIMER:    Yes.

         2                  ACTING PRESIDENT VALESKY:    The

         3       Senator continues to yield.

         4                  SENATOR FLANAGAN:    My question,

         5       again, is why was that conclusion reached.

         6       Who negotiated that?  Did you negotiate that?

         7       Did Senator Kruger negotiate it?  Because when

         8       we go back, we're going to be asked the same

         9       questions.  The school business officials, the

        10       superintendents, yes, are they happy about

        11       certain components?  But they haven't even, I

        12       think, been truly made aware of what's been

        13       set up for next year already.

        14                  So my question is, again, why was

        15       that negotiation reached in that fashion?

        16       Because we're going to be asked the question,

        17       and I want to be able to give an appropriate

        18       answer.

        19                  SENATOR OPPENHEIMER:    Through

        20       you, Mr. President, I can only tell you what

        21       my superintendents of schools said to me.

        22       They said:  "If you can get rid of that

        23       horrible DRA, we can live with the rest."

        24                  What we did is we froze, we did not



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         1       cut.  The thing that had my superintendents so

         2       upset was the DRA, not the freeze.  They just

         3       didn't want to see the cuts.  And I think they

         4       are relatively relieved that they didn't see

         5       cuts.

         6                  And I don't know how your districts

         7       fared, but none of mine -- well, my personal

         8       one in Mamaroneck got cut, but it was the only

         9       one in my whole Senate district that got cut.

        10                  You know, we're all aware that we

        11       have no clear definitive line of when this

        12       economy is going to start to pick up again.

        13       We get little glimmers and that.  Last week

        14       Wall Street seemed to be a little happier.

        15       But that doesn't change the whole economy.

        16                  And I think if we want our school

        17       districts to plan, and that is what they have

        18       asked us time and again:  Give us some figures

        19       so we have some concept of what's going to be

        20       ahead for us.  And if you have more money, I

        21       am sure that we can fill in some holes locally

        22       in our school districts.

        23                  The idea is we want them to be able

        24       to have some parameters.  And by leaving this



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         1       flat and telling them we're not going to cut,

         2       this is going to be frozen at this level -- if

         3       we had more money, we'd be delighted to share

         4       it with you.  All of us in this room, every

         5       one of us wants to be able to give more money

         6       to school districts, wants to be able to make

         7       libraries whole, wants to make PBS whole.  You

         8       know, but we need money.  And we're in a

         9       drastic spot right now.

        10                  And we're not alone.  I mean, we

        11       know almost every other state in the union is

        12       in the same position we're in.  You think

        13       we're bad, you should look at Connecticut.

        14                  So, I mean, we have to face the

        15       reality.  Budget-making is a real reality

        16       task.  And that's what we're trying to do.

        17       We're trying to help the school districts for

        18       next year to budget around what we're calling

        19       a frozen level of foundation aid.

        20                  SENATOR FLANAGAN:    Thank you,

        21       Mr. President.  Senator Oppenheimer, I

        22       appreciate your graciousness and courtesy.

        23                  Mr. President, on the bill.

        24                  ACTING PRESIDENT VALESKY:



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         1       Senator Flanagan, on the bill.

         2                  SENATOR FLANAGAN:    I certainly

         3       don't mean to belabor some of these points.

         4       But I think it's important because when we all

         5       go back to our local school districts, whether

         6       it's in upstate or the City of New York or out

         7       on Long Island, we're going to be asked a lot

         8       of questions.

         9                  And yes, the deficit reduction

        10       assessment, we were very clear on that, that's

        11       a positive step forward.  But I think one of

        12       the things that really needs to be underscored

        13       is the fact that we are very fortunate that

        14       the federal government came in with roughly

        15       $3 billion over the next two years.

        16                  My concern is prospective, present

        17       and prospective.  Prospective in the sense

        18       that we were able to fill a hole this year.

        19       We will probably be able to fill a hole next

        20       year, but we have plateaued now.  We have

        21       plateaued this year; it seems already that the

        22       groundwork has been laid so that we will

        23       plateau next year.

        24                  And then if you follow what we are



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         1       supposed to do, according to the blueprint

         2       that you have given us, foundation aid will

         3       come back in in that third year to the tune of

         4       $1.2 billion.  Arguably, that's a good thing.

         5       But before we get to put in that $1.2 billion,

         6       we're going to have to continue to make up

         7       that $1.1 billion.  And the problem we're

         8       going to have is that there's no federal money

         9       to fill that hole.  So I think in many

        10       respects, at best, we're doing a Band-Aid

        11       here.

        12                  Now, Senator Oppenheimer also

        13       referenced that there are full restorations.

        14       I would respectfully disagree.  The deficit

        15       reduction assessment, yes.  Nonpublic schools,

        16       no.  Libraries, no.  And in the overall scheme

        17       of the money we're spending, it seems

        18       inconsistent that we could find $1.19 billion

        19       to fill the deficit reduction assessment but,

        20       as Senator DeFrancisco said, we couldn't come

        21       up with approximately $7 million more to make

        22       the libraries whole.

        23                  Now, one of the challenges that

        24       we're having, frankly, is that this is the



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         1       first real opportunity that we've had to

         2       engage and will engage relative to the

         3       educational policy and budgetary

         4       considerations in this state.  Again, I would

         5       reiterate, we didn't have any conference

         6       committees.  We had no public discussions.  We

         7       had no debate about mandate relief.  We had no

         8       debate about foundation aid.  We had no debate

         9       about charter schools.  We had no debate about

        10       anything.

        11                  So what we're being presented --

        12       and I'm sure it is frustrating for my

        13       colleagues on the other side to have to endure

        14       this.  But the reality is that this is the

        15       first time that we're going to have this type

        16       of exchange.  So when we inquire and we ask

        17       and we offer comments and suggestions, I truly

        18       believe that it's in good faith.

        19                  And you referenced protecting the

        20       property taxpayers.  I'll speak for the

        21       communities that I represent.  People really

        22       like that STAR rebate check.  People

        23       understand that that's a check to them from

        24       the government that will help them out.



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         1       Personally, I completely disagree with the

         2       fact that that has been removed from this

         3       budget, and I think that's something we're

         4       probably going to hear about more than

         5       anything else in relation to the education

         6       portion of the budget.

         7                  And we will have further discussion

         8       on mandate relief, but I just want to focus in

         9       on what Senator Oppenheimer said.  You know,

        10       in a time when we do have to deal with fiscal

        11       realities, one of the things we should be able

        12       to try and do is find ways to alleviate

        13       burdens, to reduce regulations, to mitigate

        14       some of the concerns that are out there -- not

        15       only in the small business community, but in

        16       our public entities.  Local governments.

        17       School districts in particular.

        18                  I am frustrated because mandate

        19       relief has been around forever.  The Governor

        20       had a couple of very basic mandate relief

        21       provisions in his budget:  Paperwork Reduction

        22       Act, no mandates during the school year.  And

        23       an additional thing which I've discussed at

        24       length with Senator Fuschillo was a



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         1       recommendation based on an audit done by the

         2       State Comptroller of our state saying that

         3       school districts should be able to use excess

         4       funds in certain reserves that they have,

         5       which could help mitigate the property tax

         6       burden in every community in the State of

         7       New York.

         8                  That's like a softball coming right

         9       over the plate.  Who could be against getting

        10       rid of paperwork that's unnecessary, that

        11       doesn't do anything to educate kids?  Who

        12       could be against saying that we don't want to

        13       have mandates instituted in the middle of a

        14       school year?  It's common sense.

        15                  So you're going to have to explain

        16       this -- and I'm not asking you to yield,

        17       Senator Oppenheimer.  But as we leave here and

        18       we go back, all of us, but those particularly

        19       in the Majority, are going to have to explain

        20       why there is such a glaring failure on mandate

        21       relief.  It's a way to help school districts

        22       out, and we can focus in in a laserlike way

        23       and say as long as it doesn't do anything to

        24       educate kids, why do we have it?



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         1                  We have in here, and we will

         2       discuss it again, but no unfunded mandates.

         3       And just for the life of me, it's hard to be

         4       able to explain that and go back and say the

         5       Governor had it in.  And if the Senate

         6       Democrats supported it, what I'm now going to

         7       do, based on what you're saying, I'm just

         8       going to go back and say the Assembly

         9       Democrats are completely the ones responsible

        10       for relieving the mandate.  And I guarantee

        11       you, when I go to a public meeting, they are

        12       going to turn around and say it was you, the

        13       Senate Democrats.

        14                  So when it's the Governor and the

        15       Senate Democrats advocating for mandate

        16       relief, it should have happened.

        17                  Thank you, Mr. President.

        18                  ACTING PRESIDENT VALESKY:    Thank

        19       you, Senator Flanagan.

        20                  I'm going to return -- Senator

        21       Libous began this debate by asking for an

        22       explanation of the bill.  Senator Stavisky

        23       would like an opportunity to explain the

        24       higher education portion of this budget.



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         1                  Senator Stavisky.

         2                  SENATOR STAVISKY:    Thank you.  I

         3       will do so very briefly.

         4                  The higher education portion of the

         5       budget just continues the investment in higher

         6       education.  We have restored almost all of the

         7       programs involving the cuts to the tuition

         8       programs, to TAP.  We have restored

         9       university-wide cuts that had been initiated

        10       such as the restoration of the $270 cut in

        11       full-time equivalents for the community

        12       colleges.

        13                  We are continuing many of the

        14       programs back to the -- unfortunately, but

        15       back to the 2008 level.  We have restored the

        16       funding to the SUNY University hospitals;

        17       there are three of them.  And there are many

        18       other programs where higher education

        19       continues the theme that it's got to be

        20       available and affordable and of high quality.

        21       And this budget attempts to do that in

        22       difficult economic times.

        23                  Thank you, Mr. President.

        24                  ACTING PRESIDENT VALESKY:    Thank



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         1       you, Senator Stavisky.

         2                  To continue to explain the bill,

         3       Senator Squadron.

         4                  SENATOR SQUADRON:    Thank you very

         5       much for bearing with me as I come back to my

         6       seat, Mr. President.

         7                  I'm rising on the part of this bill

         8       that deals with some of the human services,

         9       especially those that deal with adults who

        10       need government's help the most.  As we

        11       address this part of the budget, it was very,

        12       very important that we protected the poorest

        13       and the most vulnerable in the community.

        14       Even in a terrible economy -- in fact,

        15       particularly in a terrible economy -- you want

        16       to make sure that your safety net is real and

        17       is effective.

        18                  We also want to make sure, though,

        19       that while we do that we invest in the future.

        20       And with this budget, we really will do that.

        21       Obviously, with this bill overall there's a

        22       lot of pain and a lot of hardship.  With this

        23       piece of it, we were sure to invest not just

        24       in protecting people now but in helping people



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         1       be more self-sufficient and more successful

         2       over time.

         3                  And of course it's critical,

         4       whenever you spend this money, that you do it

         5       in an accountable way.  And we did that very

         6       seriously.

         7                  This bill has money to prevent

         8       homelessness.  This is an issue that came up

         9       yesterday.  There are some in this chamber who

        10       wonder why preventing homelessness is

        11       important, wonder why those programs are

        12       significant.  The fact is across this state,

        13       in New York City but elsewhere too, in an

        14       economy like this, families too often become

        15       vulnerable to losing their homes.  And we have

        16       services here that will help keep them in

        17       their homes.

        18                  We were able, the Article VII

        19       portion of this in the other bill, to preserve

        20       the SSI grant for people with disabilities who

        21       are on public assistance.

        22                  And I'm most proud that we actually

        23       have some new programs here that are funded

        24       over 90 percent with federal TANF dollars that



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         1       aren't General Fund dollars that are coming to

         2       us largely through the stimulus bill and

         3       through the great work of some of the social

         4       services agencies in this state, which have

         5       increased the number of eligible folks who get

         6       food stamps, the TANF contingency fund and

         7       then the stimulus bill's TANF emergency

         8       contingency fund.

         9                  I think it's worth for a moment to

        10       list what these programs are.  The

        11       Transitional Jobs Program.  Green Jobs Corps

        12       subsidies.  Healthcare job subsidies.  And a

        13       number of transportation programs that will

        14       help people get to work.  The point here is to

        15       train people for jobs that will sustain them

        16       over time and help get them into those jobs

        17       now.

        18                  There's also another program here

        19       that's never been a state program before in

        20       New York State but has been proven in study

        21       after study to change people's lives.  It's

        22       called the Nurse/Family Partnership. Five

        23       million dollars, all federal TANF money, every

        24       single dollar of it.



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         1                  And what it does is it partners

         2       high-risk mothers from pregnancy through the

         3       time their first child is two years old.  And

         4       it has been found over five years and 10 years

         5       that you have more stable homes, safer homes,

         6       and children who actually do better on their

         7       math and reading tests.

         8                  So these are good programs and in

         9       fact necessary programs in a time like this.

        10       As I said at the beginning, this is a tough

        11       budget in a terrible, terrible year.  And with

        12       this piece of it, the State Senate is proud,

        13       the New York State Senate is proud to be

        14       investing in our future, investing in making

        15       sure that as we come out of this terrible

        16       economy we do it with a workforce and with

        17       folks who have been protected through the

        18       tough times and are more able to succeed and

        19       live out their dreams in good times.

        20                  So thank you very much for the

        21       opportunity.

        22                  ACTING PRESIDENT VALESKY:    Thank

        23       you, Senator Squadron.

        24                  Senator LaValle.



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         1                  SENATOR LaVALLE:    Thank you,

         2       Mr. President.

         3                  I'd like to first say that on this

         4       budgeting in higher education --

         5                  ACTING PRESIDENT VALESKY:

         6       Senator LaValle, are you speaking on the bill?

         7                  SENATOR LaVALLE:    On the bill.

         8       Yes, I'm sorry.

         9                  ACTING PRESIDENT VALESKY:

        10       Senator LaValle, on the bill.

        11                  SENATOR LaVALLE:    I just wanted

        12       to say that the input and partnership that

        13       Senator Stavisky and I have had has continued.

        14       And I think as two colleagues and two

        15       individuals, we do the best we can within the

        16       system.

        17                  But the system, when I was

        18       chairman, I was a conduit to input from my

        19       members.  And I'm sure Senator Stavisky does

        20       that.  And just to give you one example in the

        21       budget -- and I wrote something down when

        22       Senator Oppenheimer spoke about, you know, the

        23       collegiality and input and so forth.

        24                  But I was going through the budget



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         1       last night, and I saw a provision that for my

         2       colleague Senator Young, our colleague Senator

         3       Young, an amount was taken out that had been

         4       put in in prior years for the School of

         5       Ceramics.  So that's not a good thing for --

         6       you know, I'm the ranking member and I look at

         7       this, and I say how could this happen.

         8                  Then I look at the budget and I

         9       see -- and I know for a number of years there

        10       was a provision put in for Medgar Evers within

        11       the CUNY system that would allow them to

        12       receive 100 percent state support for their

        13       capital programs.  And that's not a bad thing.

        14       But what that will do is -- and all of us know

        15       when you have a number of people, children, at

        16       your table and you now have added another

        17       child, the eight senior colleges now have

        18       another child at the table for their capital

        19       programs.  And what that will do is it will

        20       increase the intensity for capital between

        21       City University and the State University.

        22                  And so there are things that have

        23       to do with the dynamics of representation and

        24       where the majority is and where the minority



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         1       is.  And that will never change.  And that

         2       goes beyond individuals.  It goes beyond me,

         3       goes beyond my colleague Senator Stavisky.

         4       Because we are, as I said, conduits for the

         5       members that we represent.

         6                  I was kind of jubilant when I saw

         7       that we were getting, our state was getting a

         8       good amount of stimulus dollars.  And I felt

         9       that while the dollars for education -- the

        10       primary thrust was going to be K to 12.  And

        11       we did receive some money in higher education.

        12                  But just to not belabor a point

        13       that I made when I talked about the amendment,

        14       is that I thought that we would be able,

        15       within the greater scheme of things, beyond

        16       the dollars for education, that we would find

        17       dollars to support and be able to build,

        18       continue to build a vibrant public university

        19       system.

        20                  And again, I think Chancellor

        21       Goldstein has done a wonderful job in moving

        22       that forward.  But the State University,

        23       again, has been without leadership for

        24       24 months.  And we have a lot of needs.  And



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         1       simply put, State University is hurting.  It

         2       is hurting.  And so I felt more stimulus

         3       dollars should have gone, should have been

         4       invested in the State University, invested in

         5       our students.  And it wasn't.

         6                  Senator Stavisky talked about one

         7       of the good things was the Tuition Assistance

         8       Program, maintaining those dollars.  But one

         9       of the things -- and you've heard me talk

        10       about this for a long time.  New York State

        11       has been a leader in student financial aid.

        12       But what has been happening, as "middle class"

        13       has moved up and earned more money, bracket

        14       creep has literally pushed away many

        15       middle-income taxpayers.

        16                  So we don't have the money to

        17       accept our students who want to turn to the

        18       State University or City University because of

        19       affordability, because we don't have the

        20       dollars to be able to meet those needs.

        21       Letters are going out, and students are

        22       receiving them.  And one of the things that

        23       State University letters are saying is "Due to

        24       an increased number of applicants, we are



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         1       sorry that we have to reject you."

         2                  Many of these students in any other

         3       time would have been accepted, because there

         4       would have been money and spots for them to

         5       attend.  And so this budget really hurts

         6       individuals in spite of the things that we've

         7       done.

         8                  Another positive thing -- and I

         9       know that everyone worked very hard, the chair

        10       worked hard, other members, to protect our

        11       community colleges.  That is critical.  But

        12       even they have numbers that I am told from the

        13       presidents that they don't know how they're

        14       going to meet the demand.  And at Suffolk

        15       Community College, they have classes early in

        16       the morning till very, very late at night.  So

        17       I don't know how they accept more students.

        18                  Lastly, I hope -- and we saw there

        19       are a list of capital projects.  But if the

        20       Division of the Budget has their thumb on the

        21       capital projects, they will never go out the

        22       door.  Can you think of a better stimulus

        23       program than building across the state more

        24       than one project?  That's what the Division of



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         1       the Budget said:  Campus Geneseo, you have one

         2       project.  One project.

         3                  We need to ensure that we allow

         4       money to go out the door across the state for

         5       both CUNY and SUNY to have the greatest

         6       stimulus program -- you talk about jobs?

         7       There would be loads of jobs for people if we

         8       allow even three per campus.  Three per

         9       campus.  Not one little project.

        10                  Lastly, I want to talk about

        11       something, and I don't want to steal the

        12       thunder of my colleague when we get in and

        13       talk about health.  This is so important that

        14       I want to take this time, because it involves

        15       specifically Stony Brook Medical Center and

        16       the impact that this budget has on one of our

        17       higher education institutions.

        18                  And I read:  The total negative

        19       impact from this budget will be $4.8 million

        20       in the fiscal year 2009-2010.  There is also a

        21       permanent $28 million reduction in base state

        22       support.  The proposed budget eliminates

        23       $13.2 million in Graduate Medical Education,

        24       GME payments to Stony Brook University



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         1       Hospital -- and that's a permanent loss.

         2       Permanently cuts $10.5 million in state

         3       support, reneging on a 2001 agreement where

         4       the state would cover the cost of

         5       state-negotiated Stony Brook University

         6       Hospital employee benefits versus the market

         7       rate and, in parentheses, 18 percent higher.

         8       Since 2001, Stony Brook University Hospital

         9       has had to absorb more than $54 million of

        10       these costs.

        11                  It continues:  Negative Medicaid

        12       changes through the DRP that will cost Stony

        13       Brook University Hospital $2.7 million.

        14       Despite the vigorous cost-reduction efforts,

        15       Stony Brook University Hospital will be unable

        16       to afford above-market salary increases,

        17       including a retroactive unbudgeted pay

        18       increase, without adequate state support, as

        19       agreed in the year 2001.

        20                  The infusion of federal and

        21       Medicaid health information technology

        22       investment this year, and the acceleration of

        23       the disproportionate share of the hospital DSH

        24       payment this year, are projected to barely



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         1       keep Stony Brook University Hospital in the

         2       black in the year 2009-2010.

         3                  However, in fiscal year 2010-2011,

         4       Stony Brook University Hospital is forecast to

         5       slip into the red, forcing the hospital to

         6       consider further staff reductions and

         7       potential closure -- closure -- of programs

         8       and services to balance its budget.

         9                  One of those services and one of

        10       those programs happens to be something near

        11       and dear to my heart, and that's the Burn

        12       Center, a regional burn center that was

        13       founded basically by the volunteer fire

        14       service.  That could be on the chopping block,

        15       and no one on Long Island would have a burn

        16       center to treat the most severe burns.

        17                  So I wanted to mention that, and I

        18       know my colleague will amplify because of his

        19       expertise.

        20                  Lastly, on the education piece.

        21       Senator Oppenheimer, this is a train wreck for

        22       the school districts.  Senator Flanagan

        23       pointed it out.  There is no way, there is no

        24       way that these school districts will be able



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         1       to recoup a hole in our budget that's $1.2

         2       when that happens.  And we haven't even talked

         3       about next year.

         4                  The formula for the suburban

         5       districts, because we basically went to an

         6       enrollment-based formula, is a disaster.  And

         7       when I look at the share that Long Island

         8       should be receiving, going from 13 percent

         9       share to 5 percent, it's horrific.  It's

        10       horrific.  And who's going to make up that

        11       difference?  The taxpayer, when they get their

        12       property tax bill, in spite of everything that

        13       the school districts are doing.

        14                  So we repaired the DRA in the

        15       formula, deficit reduction assessment.  But

        16       beyond that, we're giving them money, we're

        17       reimbursing them money that they should be

        18       entitled to, with building aid, BOCES aid and

        19       transportation aid.

        20                  So I know my colleague Senator

        21       Flanagan hit the nail right on the head in his

        22       comments.  I just wanted to reinforce them and

        23       say you did a good job, Senator, in

        24       articulating that position.



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         1                  I thank you, Madam Chairman.

         2                  ACTING PRESIDENT STEWART-COUSINS:

         3       Thank you, Senator.

         4                  To complete the explanation of the

         5       bill, Senator Montgomery.

         6                  SENATOR MONTGOMERY:    Thank you,

         7       Madam President.  I rise to speak on the part

         8       of the budget for children and family

         9       services.

        10                  I am pleased to note and announce

        11       that we have been able to exact savings and to

        12       prevent drastic cuts in services to families,

        13       children and youth in this budget.  And we

        14       were able to do that to a large extent because

        15       of the fact that, one, we have agreed that

        16       some of the facilities that we have funded, to

        17       the tune of between $140,000 and $200,000 per

        18       young person per year, will be closed or, in

        19       other cases, consolidated.  And some of the

        20       programs that are tremendously underutilized

        21       will be consolidated in some of the parts of

        22       the state where in fact judges are not

        23       actually placing children any longer.

        24                  And part of that savings will be



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         1       plowed back into localities for the purpose of

         2       preventive services.  We are very, very

         3       pleased about that.

         4                  We're also pleased to note that the

         5       Governor's proposal to combine funding for

         6       detention, which is a mandated service, with

         7       those programs that are preventive and not

         8       mandated, into a youth block grant.  And it

         9       threatened to essentially wipe out many of the

        10       youth bureaus around the state.  And certainly

        11       for New York City, we don't have a youth

        12       bureau, but we were looking at the possibility

        13       of losing preventive services for young

        14       people.

        15                  We denied that.  That is not going

        16       to happen.  And in fact we were able to save

        17       the funding for those programs, minus a

        18       10 percent cut, which we consider a victory,

        19       actually.

        20                  We were able to add funding to some

        21       of the programs that are specifically designed

        22       to prevent children from going into foster

        23       care, one of those in particular being the

        24       COPS program, which is used around the state



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         1       in many different ways, but primarily as a

         2       funding stream to support young people, to

         3       support families.  And in fact, one of the

         4       premier programs that is funded out of that is

         5       the Visiting Nurse Program for young mothers.

         6                  In addition, we were able to add a

         7       little bit of funding for a program, Kinship

         8       Care.  And we know that it's much more

         9       cost-effective and it's much more culturally

        10       correct and it's appropriate and provides a

        11       much better option when young people can be

        12       cared for by members of their own family.  And

        13       so we have added some funding there, and of

        14       course we will be looking to work closely with

        15       the Executive in terms of what we need to be

        16       doing to strengthen our kinship program.  And

        17       that will be another way of reducing the cost

        18       of foster care in our state.

        19                  I just want to note, I'm sure that

        20       some people will be concerned that the

        21       facilities that are being closed.  We did

        22       eliminate, for this particular budget, the

        23       12-month notification requirement.  I know

        24       that was of some concern.  However, this is



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         1       only a one-time exception, so it does not

         2       apply to decisions going forward.  And we

         3       wanted to do that because of the nature of our

         4       fiscal situation.  We have such dire needs,

         5       immediate needs, and we would like to be able

         6       to capture the savings as quickly as possible.

         7                  But moreover, Madam President, we

         8       have been talking about the need to close some

         9       facilities that are in fact empty.  Some of

        10       them have no children, some of them have maybe

        11       two or three children.  And so this is a

        12       tremendous burden on the state's fiscal

        13       situation.

        14                  So those were the main aspects of

        15       the children and families budget.  And we feel

        16       very, very pleased that we were able to in

        17       fact -- along with I want to thank my

        18       colleague Senator Squadron in particular.

        19       He's worked on the social services side, and

        20       I've worked on the children and families side.

        21       Senator McDonald is the champion on the

        22       Republican side.  And we've all spoken quite a

        23       bit about the issue that we've had to deal

        24       with in terms of the budget.  And I'm happy



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         1       and pleased to say that we have a consensus at

         2       it relates to what we've done for young people

         3       and families in our state.

         4                  So thank you, Madam President.

         5                  ACTING PRESIDENT STEWART-COUSINS:

         6       Thank you, Senator.

         7                  Senator Saland.

         8                  SENATOR SALAND:    Thank you, Madam

         9       President.  Madam President, would Senator

        10       Oppenheimer yield, please?

        11                  ACTING PRESIDENT STEWART-COUSINS:

        12       Senator Oppenheimer, will you yield?

        13                  SENATOR OPPENHEIMER:    Of course.

        14                  SENATOR SALAND:    Thank you,

        15       Senator Oppenheimer.

        16                  Senator Oppenheimer, I'd like to

        17       revisit, if I might, some of the things that I

        18       heard you discuss in your exchange with

        19       Senator Flanagan.  And please correct me if I

        20       didn't hear you correctly, because quite

        21       candidly I was having a difficult time

        22       hearing.

        23                  Did you say that of the two federal

        24       pots, what I'll call the stimulus pot and what



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         1       you also termed the general-purpose pot, that

         2       we were using $1.19 billion from the stimulus

         3       pot and $240 million from the general-purpose

         4       pot?

         5                  SENATOR OPPENHEIMER:    I believe

         6       that's true.  I have seen -- instead of 1.19,

         7       I have seen 1.21.  So we're talking . . .

         8                  SENATOR SALAND:    Thank you.

         9       Thank you.  If I may continue, Madam

        10       President.

        11                  ACTING PRESIDENT STEWART-COUSINS:

        12       Senator Oppenheimer, do you continue to yield?

        13                  SENATOR OPPENHEIMER:    Yes, I do.

        14                  SENATOR SALAND:    You were kind

        15       enough to express some of our shared visions

        16       and concerns for the Education Committee.  And

        17       in your comments you said something to the

        18       effect of the Senate having obtained

        19       commitments from the Assembly to do mandate

        20       relief in two or three months.

        21                  Permit me to counsel you that that

        22       will be something like capturing fog.  Or you

        23       might want to wait to see if hell freezes

        24       over.  Because that is a very familiar refrain



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         1       from the Assembly.  They never saw a mandate

         2       relief bill that they couldn't kill, delay,

         3       obfuscate, or not want to do.

         4                  So the bottom line here is that in

         5       a severe recession with little that we can

         6       offer by way of benefit to our school

         7       districts, the least that we could have

         8       offered was the mandate relief offered in the

         9       Governor's budget, some if not much of which

        10       were pieces that this house had done in prior

        11       years.

        12                  So let me wish you well in your

        13       quest and tell you not to get your hopes too

        14       high in expecting any kind of cooperation from

        15       the Assembly majority.

        16                  Senator, I'm looking at the last

        17       page of the school runs.  Do you happen to

        18       have those handy?

        19                  SENATOR OPPENHEIMER:    Yes, I'm

        20       ready.

        21                  SENATOR SALAND:    Now, there's a

        22       new line, and perhaps rightfully so, at the

        23       bottom:  Changes with federal aids.  And we

        24       show, statewide, $1.221 billion in additional



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         1       monies.  And I believe in your earlier

         2       comments you had said something to the effect

         3       of having managed to benefit our local school

         4       districts.

         5                  When we look at that, can you tell

         6       me, of those dollars, which dollars are

         7       federal dollars as distinguished from state

         8       dollars?

         9                  SENATOR OPPENHEIMER:    Through

        10       you, Madam President.  You know, it isn't

        11       broken out, so I cannot tell you which part is

        12       federal of that amount and which part is

        13       state.

        14                  SENATOR SALAND:    Well, let me

        15       suggest to you that if you go up several

        16       lines --

        17                  SENATOR OPPENHEIMER:    To the

        18       state, right.

        19                  SENATOR SALAND:    -- you'll see

        20       2009-2010 IDEA, 2009-2010 Title 1.  The IDEA

        21       is nearly $394 million, and the Title 1 is a

        22       little over $423 million.  So the combination

        23       of the two is approximately $817 million.

        24       Would we agree on that?



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         1                  SENATOR OPPENHEIMER:    Through

         2       you, Madam President, that's building IDEA,

         3       Title 1, EXCEL, and building reorganization.

         4                  SENATOR SALAND:    If the Senator

         5       will continue to yield.

         6                  ACTING PRESIDENT STEWART-COUSINS:

         7       Senator, do you continue to yield?

         8                  SENATOR OPPENHEIMER:    Yes.

         9                  SENATOR SALAND:    I'm looking at

        10       the far right column.  And, oh, six lines up,

        11       you will see 2009-2010 IDEA.  And immediately

        12       below that, you will see 2009-2010, Title 1

        13       aid -- I'm looking at the amounts --

        14       $393,964,000, in the case of IDEA;

        15       $423,463,000 in the case of Title 1.

        16                  SENATOR OPPENHEIMER:    I'm with

        17       you.

        18                  SENATOR SALAND:    Thank you.  And

        19       as we both know, those are federally driven

        20       funds over which we have absolutely zero

        21       discretion or authority.  Those funds go by

        22       federal formula, and we are at best a conduit

        23       through which they pass on their way to our

        24       local school districts.



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         1                  Now I'd like to -- if I could ask

         2       you to look at pages 84, 85, and 86 of the

         3       budget bill currently before us.  And under

         4       State Fiscal Stabilization Fund on page 84,

         5       line 46, we see $1.235 billion.  And if we

         6       continue on pages 85 and 86, we see several

         7       more amounts, which I believe are the amounts

         8       that you are referring to as part of the

         9       general-purpose fund.  And there we see

        10       $132.8 million, $40 million, and several other

        11       smaller amounts comprising less than

        12       $10 million.

        13                  Now, if my math is correct, that's

        14       probably somewhere in the area of about

        15       $2.25 billion in federal funds that are

        16       contained in this budget.  And the

        17       stabilization money, as we know, requires us

        18       to fund at the '08-'09 level, which is the

        19       higher of the two choices.

        20                  So when we say that we have done so

        21       much for schools, it's really the federal

        22       money that is driving our ability to do

        23       whatever it is that we're claiming to do for

        24       schools, is it not?



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         1                  SENATOR OPPENHEIMER:    (Nodding.)

         2                  SENATOR SALAND:    I'd ask you one

         3       more question, if the Senator would continue

         4       to yield.

         5                  SENATOR OPPENHEIMER:    Indeed.

         6                  ACTING PRESIDENT STEWART-COUSINS:

         7       The Senator continues to yield.

         8                  SENATOR SALAND:    The amounts that

         9       are listed on pages 85 and 86 in what we've

        10       termed general-purpose funds, those amounts

        11       total approximately $170 million.  Is there

        12       another $70 million that you've identified

        13       that have been used for education purposes?

        14       And if so, could you tell me what those

        15       purposes are?

        16                  SENATOR OPPENHEIMER:    We have

        17       different requirements.  Like some of them,

        18       for instance, the school lunch program, we

        19       have to -- the food program, we need to have

        20       support for.  Some are dry appropriations.

        21       Just a variety of different costs that we

        22       have.

        23                  SENATOR SALAND:    Thank you,

        24       Senator Oppenheimer.  On the bill.



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         1                  ACTING PRESIDENT STEWART-COUSINS:

         2       Senator Saland, on the bill.

         3                  SENATOR SALAND:    Madam President,

         4       certainly there are a number of school

         5       districts, as was referred to by Senator

         6       Oppenheimer, that are relieved that they were

         7       not in fact cut as deeply as they had

         8       anticipated.  But this by no means is an

         9       answer to their prayers.

        10                  I will hold up, for example, an

        11       article, since we're all referring to articles

        12       today, or some of us are:  "47 jobs cut in

        13       $185.8 million White Plains school budget."

        14       Jobs will be lost.  People, whether they be

        15       teachers, whether they be administrators,

        16       whether they be maintenance people, they are

        17       going to be losing their jobs when our day is

        18       done.

        19                  I think it's disingenuous at best

        20       to somehow or other claim that we've rescued

        21       schools.  Some of you may recall last night

        22       the exchanges between myself and Senator

        23       Kruger, Senator Flanagan and Senator Kruger.

        24       At that time it certainly should have been



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         1       clear to all that there was some $6 billion in

         2       new General Fund spending, according to

         3       Senator Kruger, that was provided after

         4       eliminating a similar amount from the

         5       Governor's budget.

         6                  Well, if you take that $6 billion

         7       and you add $11 billion in additional

         8       All Funds spending -- which, as we discussed

         9       yesterday, is the difference between the

        10       Governor's 121 and your approximate 132 -- if

        11       you take out somewhere in the area that we

        12       believe to be in excess of $7 billion in

        13       stimulus funds, there's close to $10 billion

        14       in non-stimulus-fund spending in this budget.

        15       That is a staggeringly large amount of

        16       spending at any time, in any economy, but

        17       particularly in a deep recession.

        18                  And yet with all of that spending,

        19       with all of that spending -- $17 billion in

        20       new spending and somewhere in the area of

        21       $10 billion in General Fund spending -- we

        22       were not able to find, as was pointed out

        23       earlier by Senator Flanagan, less than

        24       $40 million to restore mandated services to



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         1       our private schools or to fulfill our promise

         2       to libraries to the tune of some additional

         3       $7.2 million.  I mean, $7.2 million in the

         4       scheme of $132 billion probably doesn't

         5       qualify as petty cash.

         6                  Where are we going, what are we

         7       doing, where are we placing our priorities?

         8       Certainly we could have done better for

         9       education if we were spreading this money

        10       around hither and yon.  Taxpayers are going to

        11       pay the price.  There will not be a budget in

        12       my district that will not be jeopardized, and

        13       that will be after dozens and dozens if not

        14       hundreds of people will have lost jobs.

        15                  Madam President, there's much more

        16       that I will have the opportunity to say and

        17       questions that I will raise in the context of

        18       the language bill which we will see later.

        19       Thank you.

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator Fuschillo.

        22                  SENATOR FUSCHILLO:    Thank you

        23       very much, Madam President.  I'd like to ask

        24       Senator Oppenheimer a question -- but, before



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         1       that, Senator Stavisky a question on higher

         2       education.  Would the Senator yield?

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Stavisky, will you yield for a

         5       question?

         6                  SENATOR STAVISKY:    Yes, sir, I

         7       will yield.

         8                  SENATOR FUSCHILLO:    Thank you,

         9       Senator.  Just a few questions.

        10                  The tuition for SUNY and CUNY is

        11       being increased in this budget?

        12                  SENATOR STAVISKY:    Yes.

        13                  SENATOR FUSCHILLO:    Will the

        14       Senator continue to yield.

        15                  ACTING PRESIDENT STEWART-COUSINS:

        16       Do you continue to yield, Senator?

        17                  SENATOR STAVISKY:    Yes.

        18                  SENATOR FUSCHILLO:    What is the

        19       total amount that the increase will generate?

        20                  SENATOR STAVISKY:    The tuition

        21       for SUNY is being increased by $620 per year,

        22       and the tuition for CUNY is being increased by

        23       $600 a year.

        24                  SENATOR FUSCHILLO:    Would the



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         1       Senator continue to yield?

         2                  ACTING PRESIDENT STEWART-COUSINS:

         3       Do you continue to yield, Senator?

         4                  SENATOR STAVISKY:    The total is

         5       $164 million for SUNY and $110 million for

         6       CUNY.

         7                  ACTING PRESIDENT STEWART-COUSINS:

         8       Do you continue to yield, Senator?

         9                  SENATOR STAVISKY:    Yes.

        10                  SENATOR FUSCHILLO:    Thank you for

        11       that.

        12                  And what amount is being taken out

        13       of that revenue and being put back into the

        14       SUNY system and being put into the General

        15       Fund out of that $164 million?

        16                  SENATOR STAVISKY:    I'm glad you

        17       asked that question.  Because if we could take

        18       a couple of steps back, we increased tuition

        19       in 1998 and again in 2003.  And at that time,

        20       the entire increase in tuition went into the

        21       General Fund.  And that has been the tradition

        22       in terms of increasing tuition at both the

        23       City University and the State University.

        24                  In the 2008 deficit reduction plan,



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         1       90 percent went to the -- instead of 100

         2       percent, the General Fund received 90 percent.

         3       In other words, it was agreed to have SUNY and

         4       CUNY both receive an additional 10 percent

         5       that they had never received before.

         6                  SENATOR FUSCHILLO:    Would the

         7       Senator continue to yield.

         8                  ACTING PRESIDENT STEWART-COUSINS:

         9       Senator, do you continue to yield?

        10                  SENATOR STAVISKY:    Yes.

        11                  SENATOR FUSCHILLO:    Senator, the

        12       deficit reduction plan, it is my understanding

        13       that you voted to increase SUNY tuition only,

        14       not CUNY, and that 90 percent of that revenue

        15       went to the General Fund.  Is that correct?

        16                  SENATOR STAVISKY:    No, not

        17       completely.  The trustees of SUNY decided back

        18       in December to increase tuition at the SUNY

        19       schools by $310 for that semester, starting

        20       with the January semester.  CUNY decided to

        21       wait.  So that is not totally accurate.  The

        22       CUNY trustees decided to wait and not raise

        23       tuition in midyear.

        24                  But I did vote for the increase in



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         1       the DRP, yes.

         2                  SENATOR FUSCHILLO:    Will the

         3       Senator continue to yield?

         4                  ACTING PRESIDENT STEWART-COUSINS:

         5       Senator, do you continue to yield?

         6                  SENATOR STAVISKY:    Yes.

         7                  SENATOR FUSCHILLO:    So in the

         8       deficit reduction plan CUNY tuition did not

         9       increase, it was the SUNY tuition that

        10       increased, and 90 percent of that went to the

        11       General Fund.  Correct?

        12                  SENATOR STAVISKY:    Yes, that's

        13       correct.

        14                  SENATOR FUSCHILLO:    Okay.  Would

        15       the Senator continue to yield?

        16                  ACTING PRESIDENT STEWART-COUSINS:

        17       Senator, do you continue to yield?

        18                  SENATOR STAVISKY:    Yes.

        19                  SENATOR FUSCHILLO:    Now, in the

        20       bill before us, you are once again increasing

        21       SUNY tuition for the fall semester, and now

        22       you're increasing CUNY tuition for the year.

        23       And what percentage of that is going back to

        24       the schools?



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         1                  SENATOR STAVISKY:    Twenty percent

         2       this year.

         3                  SENATOR FUSCHILLO:    Okay.  Would

         4       the Senator continue to yield?

         5                  ACTING PRESIDENT STEWART-COUSINS:

         6       Senator, do you continue to yield?

         7                  SENATOR STAVISKY:    Yes.

         8                  SENATOR FUSCHILLO:    So what is

         9       the total amount of revenue generated from the

        10       additional increase in this budget for SUNY

        11       and CUNY?

        12                  SENATOR STAVISKY:    CUNY is

        13       $110 million, and SUNY is $88 million.

        14                  But let me also add, in response to

        15       that question, that the budget for SUNY this

        16       year is $2.5 billion, approximately, with

        17       $118 million of new money.  And the CUNY

        18       budget is $1.9 billion, with $144 million of

        19       new money.  In other words, an increase.

        20                  SENATOR FUSCHILLO:    Okay, thank

        21       you.

        22                  Madam President, will the Senator

        23       continue to yield?

        24                  ACTING PRESIDENT STEWART-COUSINS:



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         1       Do you continue to yield, Senator?

         2                  SENATOR STAVISKY:    Yes.

         3                  SENATOR FUSCHILLO:    So, Senator,

         4       based on your figures, the parents will be

         5       paying, total in the state, $198 million more

         6       in tuition.  Of that $198 million for CUNY and

         7       SUNY, what dollar amount is going back to SUNY

         8       and CUNY?

         9                  SENATOR STAVISKY:    For SUNY, it's

        10       $32 million, and for CUNY $22 million.

        11                  SENATOR FUSCHILLO:    Thank you

        12       very much, Senator.

        13                  Madam President, would Senator

        14       Oppenheimer yield for a question?

        15                  ACTING PRESIDENT STEWART-COUSINS:

        16       Senator Oppenheimer, do you yield for a

        17       question?

        18                  SENATOR OPPENHEIMER:    Yes,

        19       indeed.

        20                  SENATOR FUSCHILLO:    Senator, can

        21       you hear me?  Thank you.

        22                  Senator, back in October of this

        23       year, Comptroller Tom DiNapoli issued a

        24       report, and it was an audit of --



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         1                  SENATOR MARCELLINO:    Madam

         2       President, I can barely hear the Senator.

         3                  SENATOR FUSCHILLO:    Well, there

         4       must be something wrong with my microphone,

         5       then.  You have me on?  You're not turning me

         6       off, are you?  Okay.

         7                  ACTING PRESIDENT STEWART-COUSINS:

         8       We can hear you.

         9                  SENATOR OPPENHEIMER:    It isn't my

        10       hearing.

        11                  SENATOR FUSCHILLO:    Senator, back

        12       in October -- in fact, on October 21st of

        13       2008 -- Comptroller Tom DiNapoli issued a

        14       report of an audit he had done in school

        15       districts throughout the state, and his audit

        16       stated that $407 million in taxpayer money is

        17       stranded in school reserve funds statewide.

        18       And he cited this as an opportunity for

        19       property tax relief.

        20                  He also issued recommendations for

        21       the Legislature.  Number one, that we should

        22       consider enacting state legislation that would

        23       require school districts to remove excess

        24       funds from the accounts and allow them to be



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         1       used to provide a clear benefit to taxpayers

         2       by mitigating the impact of potentially

         3       lowering state aid payments providing property

         4       tax relief.

         5                  Now, the Governor had recommended

         6       that, Senator.  Is that in this budget?  Are

         7       the Comptroller's recommendations or the

         8       Governor's recommendations in language in the

         9       budget?

        10                  SENATOR OPPENHEIMER:    As I

        11       believe -- as I understand it, the Comptroller

        12       was doing a spot check.  And we felt that it

        13       was not sufficient, that we needed more

        14       information.

        15                  So by 2012, in three years, he is

        16       supposed to have done all the school districts

        17       in the state.  Then we will be remediating

        18       what needs to be remediated.  We should all be

        19       well.

        20                  SENATOR FUSCHILLO:    Would the

        21       Senator continue to yield?

        22                  ACTING PRESIDENT STEWART-COUSINS:

        23       Senator Oppenheimer, do you continue to yield?

        24                  SENATOR OPPENHEIMER:    Yes.



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         1                  SENATOR FUSCHILLO:    So the

         2       Governor's recommendations or the

         3       Comptroller's recommendations to allow the

         4       school districts to utilize this money other

         5       than for purposes intended for -- because he's

         6       saying there's more than $400 million in

         7       excess in those accounts -- that language is

         8       not in the budget?

         9                  SENATOR OPPENHEIMER:    Again, as I

        10       understand it, the Comptroller said that he

        11       was unable or could not go along with the

        12       Governor's request because -- for the reason I

        13       said earlier, the limited amount of research

        14       that had been done was too limited, and he

        15       felt he had to be more secure by looking at

        16       all of the districts and not just spot-check

        17       these few.

        18                  SENATOR FUSCHILLO:    Would the

        19       Senator continue to yield.

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator Oppenheimer, do you continue to yield?

        22                  SENATOR OPPENHEIMER:    Of course.

        23                  SENATOR FUSCHILLO:    Let me just

        24       preface my question by reading a little bit of



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         1       the report, because I don't think you're

         2       correct in your statement, what your counsel

         3       is telling you.

         4                  This is from the Comptroller's

         5       report:  School districts must file with the

         6       State Education Department and the State

         7       Comptroller.  For the end of the year June 30,

         8       2007, 421 school districts statewide reported

         9       a balance in this account, Employee Benefit

        10       Accrued Liability Reserve Account, EBALR, a

        11       balance totaling $837 million.

        12                  Four hundred twenty-one school

        13       districts.  Do you think that's not sufficient

        14       enough to make a decision based on the

        15       Comptroller's recommendations?  Let me finish

        16       the question before somebody tells you the

        17       answer.  Do you think that's not sufficient,

        18       and based on that -- and I'll go through the

        19       whole report; I mean, I think we've still got

        20       a couple of hours here -- that that's not a

        21       fair sampling?

        22                  SENATOR OPPENHEIMER:    Senator

        23       Fuschillo, that's even more than your salary.

        24       So I think it's a substantial amount of money.



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         1       And, you know, what you're getting at is

         2       exactly what I would be getting at and what I

         3       hope to be able to move on.

         4                  But it is felt by the Comptroller's

         5       office that he does need more.  And I'm

         6       willing to wait.  Maybe we can urge him to do

         7       it in less than two years.

         8                  I couldn't agree more with you that

         9       I think this is something that is a reserve of

        10       money that we could be utilizing to hold down

        11       our school property taxes.  I know you and I

        12       have grave concerns about the escalating

        13       school property tax.  And I'm on the same page

        14       with you.  So I think perhaps we can get this

        15       moved along a little more quickly and we can

        16       work together on that.

        17                  SENATOR FUSCHILLO:    Good.

        18                  Senator, let me just ask you one

        19       final question and then I'll talk on the bill.

        20                  You keep talking about the

        21       Comptroller wanting more information -- I'm

        22       sorry, would the Senator continue to yield,

        23       Madam President?

        24                  ACTING PRESIDENT STEWART-COUSINS:



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         1       Senator Oppenheimer, do you continue to yield?

         2                  SENATOR OPPENHEIMER:    Of course I

         3       will.  Would you please speak louder?

         4                  SENATOR FUSCHILLO:    We have to

         5       get my microphone fixed.  I'll be happy to

         6       speak louder.

         7                  In the Comptroller's report which

         8       he issued, he makes recommendations.  And the

         9       first recommendation is "Recommendation to

        10       State Policymakers" -- that's this body here,

        11       to you.  "State policymakers should consider

        12       enacting state legislation that would require

        13       districts to remove excess funds from the

        14       EBALR funds, transfer them, and they should be

        15       used to provide a clear benefit to taxpayers

        16       by mitigating the impact of potentially lower

        17       state aid payments by providing property tax

        18       relief."

        19                  This is a -- it doesn't say at the

        20       end of this recommendation that I should wait

        21       to 2012.  It doesn't -- I'll wait until

        22       somebody's not whispering in your ear, so you

        23       can hear me.  It doesn't say there's not

        24       enough information in this extensive report



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         1       that is 31 pages -- cites the regional

         2       offices, cites the school districts, cites

         3       over 400 school districts, the dollar amounts.

         4       It cites the comments back from the school

         5       districts as far as the report.  I mean, it

         6       goes from Bay Shore, Brentwood, Horseheads,

         7       North Collins, Queensbury, Whitesville -- it's

         8       all over the state.  It talks about the

         9       increases versus tax levy.  It's pretty

        10       extensive.  And I think he's pretty concrete

        11       in his recommendations.

        12                  So, I mean, do you have another

        13       piece of paper that says we should wait that I

        14       haven't seen, as an addendum to this

        15       Comptroller's report, that says we shouldn't

        16       do it now?

        17                  SENATOR OPPENHEIMER:    Through

        18       you, Madam Chair.  Actually, that's lumped

        19       information from 400 and some different school

        20       districts.  We don't know -- I don't

        21       believe -- we can certainly go and approach

        22       the Comptroller on this, but I don't believe

        23       that we have the specifics for each district.

        24       And I think that is what is necessary before



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         1       we can act on it.

         2                  That money was put into this

         3       account because they had no other place to

         4       park the money that was to go to GASB.  So

         5       that's why it's in the account.  But in order

         6       to deliver it to individual districts, we have

         7       to know the specifics.

         8                  SENATOR FUSCHILLO:    Thank you

         9       very much, Senator.

        10                  SENATOR OPPENHEIMER:    You're

        11       welcome, Senator Fuschillo.

        12                  SENATOR FUSCHILLO:    Madam

        13       President, on the bill.

        14                  ACTING PRESIDENT STEWART-COUSINS:

        15       Senator Fuschillo, on the bill.

        16                  SENATOR FUSCHILLO:    First of all,

        17       my comments on higher education.

        18                  Senator Stavisky, when she talked

        19       about higher education, started off by "it

        20       continues our investment in higher education."

        21       I don't know how asking residents to pay

        22       $110 million more or $198 million more in SUNY

        23       and CUNY tuition, and only allocating

        24       $54 million out of the $198 million to the



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         1       SUNY and CUNY schools, is an investment in

         2       higher education.

         3                  And with respect to our education

         4       portion of the budget, Comptroller Tom

         5       DiNapoli, a former member of the Legislature,

         6       makes his recommendations clear in this report

         7       that his office had done over an extensive

         8       period of time.  And it says that school

         9       districts have in excess of $400 million in a

        10       liability reserve account.

        11                  And he stated very clearly in this

        12       report to the Legislature, for the world to

        13       see, all the school districts, that we should

        14       be giving them the opportunity to put this

        15       money back and use it to mitigate high

        16       property taxes.  It's that simple.  He didn't

        17       say wait three years.  I mean, we're probably

        18       going to have a billion dollars in those

        19       accounts, because he shows in a very short

        20       period of time how those accounts have grown

        21       over a hundred million dollars.

        22                  I have school districts that have

        23       asked for this to be in there.  They were

        24       applauding the Comptroller when he issued this



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         1       report that allowed them to utilize these

         2       funds to mitigate high property taxes.  They

         3       were applauding Governor Paterson -- probably

         4       the only time in this budget that they would

         5       applaud him -- that he had the language in

         6       there.  And the Senate Democrats and the

         7       Assembly Democrats rejected that language.  To

         8       wait three years is wrong.

         9                  With respect to education, it

        10       concerns me greatly with the education funding

        11       that the traditional regional balances have

        12       been taken away.  In my region on Long Island,

        13       we're being shortchanged, definitely being

        14       shortchanged.  The agreement leaves foundation

        15       aid at a frozen amount, meaning our schools on

        16       Long Island will not receive a statutory

        17       $129 million increase in unrestricted aid for

        18       2009 and 2010.

        19                  This will translate into obviously

        20       a significant increase in property taxes.  In

        21       addition to taking away the STAR rebate

        22       checks, Long Island will lose another

        23       $370 million, totaling nearly $500 million

        24       that we will be losing by freezing that



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         1       account and by taking away the STAR rebate

         2       checks.

         3                  It simply isn't fair, Governor.

         4       You're not fair to Long Island.  I mean, a

         5       simple message:  Move out, drop dead, Long

         6       Island; we don't care.

         7                  You came to Long Island, the

         8       Governor came to the Long Island, to the LIA

         9       Association, the largest business association,

        10       and told a group of business leaders that Long

        11       Island gets too much school aid.  He was in

        12       upstate New York a few weeks ago, touting an

        13       economic project, and said "People from Long

        14       Island need jobs?  Move to upstate."

        15                  Come on, Governor.  Over 2 million

        16       people live on Long Island.  We're dependent

        17       on this aid.  You and the Democrats in the

        18       Senate and the Assembly are shortchanging us.

        19       And when they raise property taxes, it's

        20       because of this state budget.

        21                  Thank you very much, Madam

        22       President.

        23                  ACTING PRESIDENT STEWART-COUSINS:

        24       Senator Parker.



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         1                  SENATOR PARKER:    Thank you, Madam

         2       President.  On the bill.

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Parker, on the bill.

         5                  SENATOR PARKER:    First let me

         6       begin by thanking all my colleagues on both

         7       sides of the aisle for their work on this

         8       budget and for a very vigorous debate.

         9                  I particularly also want to thank

        10       the Governor for being kind of out in front of

        11       this crisis that we find ourselves in, and the

        12       cooperation that we found on the other side of

        13       the building with our Assembly colleagues.

        14                  This is quite a feat that we've

        15       gotten accomplished this year, quite a feat.

        16       It is only about 84 days that the Democratic

        17       Majority has been in place.  And I want to

        18       applaud you all for the hard work and your

        19       expertise that you've brought to this process.

        20                  This is not a great budget.  But

        21       these are hard times, and hard times demand

        22       hard choices.  And you've made those hard

        23       choices.  But yet this is a budget we still

        24       can be proud of because there's still much in



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         1       this budget that we have done that is

         2       important for the people of the State of

         3       New York and for the individual districts

         4       which we all represent.

         5                  In education, we've kept it flat.

         6       And we've had to do that, and we've maintained

         7       our commitment to making sure that there is in

         8       fact enough money in the budget, but also

         9       understand that in recessionary times your

        10       cost of living is not going up, your cost of

        11       living is going down.  And so maintaining our

        12       commitment to education is critical.

        13                  We have provided for job training.

        14       You know, again in a recession when people are

        15       losing jobs and jobs are transforming and the

        16       economic opportunities are morphing

        17       themselves, it's important to be able to have

        18       reinforces to train people for what the next

        19       job is, not for what their last job was.  And

        20       so we've done that in this budget.

        21                  We've secured the safety net.

        22       We've made sure that people who need

        23       unemployment insurance, people who need access

        24       to food, and people who need all kinds of



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         1       relief -- mothers with children, daycare --

         2       have all been increased in this budget.  We

         3       should be proud of that, because we've made

         4       sure that those who are going to be hurt the

         5       worst in these hard economic times are being

         6       secured.

         7                  As relates to CUNY and SUNY, which

         8       is very, very dear to my heart because

         9       Brooklyn College -- I represent Flatbush and

        10       East Flatbush, Millwood, Ditmas Park,

        11       Kensington, Borough Park.  The biggest

        12       institution in my district -- point blank,

        13       period -- the largest employer is Brooklyn

        14       College.  And so there is no one here,

        15       frankly, who probably has an institution where

        16       that is as important.  Except for Senator

        17       Libous and Senator LaValle and Senator -- in

        18       other words, we all have the same issue.  We

        19       all think that CUNY and SUNY is important.

        20                  And certainly no one on this side

        21       of the aisle would have certainly voted for a

        22       budget that we thought shortchanged CUNY or

        23       SUNY.  But we also thought it was important to

        24       provide some parity.  We thought it was



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         1       important to make sure that TAP and the

         2       Opportunity Programs were restored and

         3       increased to in fact address the needs with

         4       rising tuition.  So as a student who comes

         5       into a situation where they're receiving full

         6       TAP even after the increase, based on this

         7       budget, they will continue to receive the full

         8       amount of TAP and be able to cover all their

         9       expenses.  We're doing that today in this

        10       budget, right here and right now.

        11                  And, you know, despite all the

        12       rhetoric today, we're adding money to support

        13       libraries.  So, you know, I don't know even

        14       what budget people are reading.  I know it's

        15       pretty thick; you might want to turn to the

        16       appropriate pages and make sure you count all

        17       the numbers right.  But we're actually

        18       increasing funding for libraries.  And again,

        19       that's important for both education and to

        20       make sure that our young people are getting

        21       access to the resources they need in this new

        22       information age that we all live.

        23                  Look, let's get the record straight

        24       around here.  We just came off a change



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         1       election.  And what was that change about?

         2       That change was eight years of a Republican

         3       administration in the federal government, over

         4       43 years of Senate domination of the

         5       Republicans in this house right here, and

         6       after 12 years of Governor Pataki's despotic

         7       rule over the budget that has left us in over

         8       40 percent more debt than we were the day he

         9       came into office.

        10                  Let's get the record straight.  If

        11       problems exist upstate and problems exist on

        12       Long Island, you had 43 years to deal with

        13       those issues --

        14                  ACTING PRESIDENT STEWART-COUSINS:

        15       Senator DeFrancisco.  Senator --

        16                  SENATOR PARKER:    -- and now is

        17       not the time to start critiquing a budget

        18       based on us trying to deal with a contracting

        19       economy.

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator DeFrancisco, why do you rise?

        22                  SENATOR DeFRANCISCO:    Would

        23       Senator Parker yield to a question?

        24                  ACTING PRESIDENT STEWART-COUSINS:



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         1       Senator Parker, do you yield?

         2                  SENATOR PARKER:    I will be

         3       pleased to yield after I finish my comments.

         4                  SENATOR DeFRANCISCO:    Thank you.

         5                  SENATOR PARKER:    So as we're

         6       getting the record straight today, let's be

         7       clear that we're in the greatest contraction

         8       of our economy in 70 years.  And let's be

         9       clear, we've been here 84 days.  So it

        10       certainly wasn't us who got us in there.

        11       We're all just trying to clean up some other

        12       people's mess.

        13                  Let's be clear.  Let's get the

        14       record straight.  This is the worst economy

        15       we've dealt with since the Great Depression,

        16       and you know how bad it was in the Great

        17       Depression.  My father used to say, Eric, it

        18       was so bad in 1932 that rats was kicking over

        19       garbage cans, eating onions, and crying like

        20       babies.  And that's what we're dealing with

        21       right now.

        22                  There are people hurting.  We can't

        23       afford to spend the money that we used to

        24       spend.  We can't afford to just ignore, you



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         1       know, what the budget realities are in this

         2       state and say, Well, yeah, Governor, I know

         3       you told us we were going to have a

         4       $13 billion budget deficit that grew to a

         5       $14 billion budget deficit that as of

         6       yesterday was $17.5 billion.  But yeah, forget

         7       all of that.  Let's, you know, securitize

         8       whatever we think we're going to get and

         9       let's, you know, bond out the rest of it and

        10       let's just spend money, you know, like there's

        11       no tomorrow.

        12                  As Senator Kruger indicated to us

        13       yesterday, you know, the days of wine and

        14       roses are over.  And now we have a party that

        15       is committed to fiscal discipline that in fact

        16       has decided that we are not going to continue

        17       to spend all the money that we spent, you

        18       know, willy-nilly.

        19                  Let's get the record straight on

        20       some other things.  Yesterday somebody used

        21       this budget and called it chutzpah.  Well, I

        22       represent, you know, the largest orthodox

        23       community in New York City, and one or

        24       probably the largest in the state.  So I know



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         1       a little bit about chutzpah.  And it is the

         2       height of chutzpah to have control of this

         3       body for 43 years -- really, 70 years -- and

         4       then to complain about how bad your

         5       communities are.  Well, if you couldn't fix

         6       them in 43 years, give us a couple of years to

         7       show you how it's done.

         8                  And then with this first budget, we

         9       are in fact taking those first steps of fiscal

        10       discipline and not continuing to just spend,

        11       spend, spend on things that make no sense.

        12                  There were a lot of conversations

        13       about Empire Zones, and we certainly need to

        14       have a whole conversation on Empire Zones,

        15       Madam President, and the kind of corruption

        16       and graft that they have been noted for.  And

        17       let's make sure that we also, you know, as we

        18       have those conversations, talk about the jobs

        19       that were promised and not delivered.  If in

        20       fact the Empire Zone program was so wonderful,

        21       we would not be in this contraction of our

        22       economy in the state as we stand here.

        23                  Let's get the record straight.  And

        24       you talk about transparency?  For real?  Are



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         1       you serious?  I mean, you know, we came

         2       into -- when I came into this body in 2003,

         3       there had been 22 straight years -- I'm sorry,

         4       actually at that point 21 straight years of

         5       late budgets where, you know, people were

         6       talking about the three men in a room being a

         7       constitutional directive.

         8                  A budget that was done this year

         9       with frankly as many hearings as we had,

        10       access to the Internet, hotlines,

        11       conversations -- I know my ranker and myself,

        12       Senator Nozzolio, met more than once to talk

        13       about the issues related to energy and

        14       telecommunications in this budget.  And I know

        15       many of you were contacted by the chairs of

        16       your respective committees to talk about the

        17       problems in this budget.  So let's not act

        18       like there was no opportunity to discuss the

        19       budget or the issues in the budget that you

        20       were concerned with.

        21                  Let's get this record straight

        22       about education.  And particularly as we start

        23       talking about Medgar Evers College, the only

        24       historically black college founded in the CUNY



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         1       system.  And we turned that college around in

         2       very short order.  And it was really the

         3       Republican majority in this house that stopped

         4       us from making it a four-year institution and

         5       making sure that it got the economic parity it

         6       needs and deserves.

         7                  And I think that every single CUNY

         8       and SUNY college deserves economic parity.

         9       And I don't think that because students at a

        10       particular school are primarily black and

        11       Latino that they deserve less funding.  And so

        12       we are now today righting a wrong that should

        13       have been righted several years ago.

        14                  Let's get the record straight about

        15       what's going on here as relates to education

        16       funding and the Campaign for Fiscal Equity

        17       lawsuit.  I mean, we suffered under the boot

        18       of tyranny in the Republican majority in this

        19       house for years, where people laughed at us

        20       about getting the Campaign for Fiscal Equity

        21       lawsuit.  I had to get arrested out in front

        22       of the building blocking the doors in protest

        23       to get anybody to even pay attention to the

        24       issue.  In 2006, I took 10 no votes on this



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         1       exact -- on a budget that didn't in fact deal

         2       with CFE even after we got two Supreme Court

         3       rulings from the state.  Where people said

         4       essentially, in this chamber:  You got a

         5       judgment, now try to get the money.

         6                  And so to come here today and to

         7       talk about the problems in this budget and

         8       talk about chutzpah and talk about

         9       transparency and talk about the process is

        10       frankly amazing to me.

        11                  And, you know, I'm hoping that my

        12       colleagues will continue to work alongside one

        13       another in a collegial manner and work through

        14       our differences.  This budget is far from

        15       perfect, far from perfect.  But if we were

        16       able to get a perfect budget in a contracting

        17       economy, with the kind of layoffs that we're

        18       looking at not just in the public sector but

        19       also in the private sector, I would love to

        20       see the wizardry that somebody was doing with

        21       the numbers.

        22                  The reality is we had very little

        23       choice.  And if you really want to get the

        24       record straight, what we all ought to be doing



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         1       is writing thank-you letters to President

         2       Barack Obama.  Because if wasn't for his

         3       stimulus package, we in fact would be looking

         4       at a budget that was far, far, far worse than

         5       the one we're about to vote on right now.

         6                  And so I ask people for their

         7       indulgence in a process that has not been

         8       perfect, in a budget that is far from perfect

         9       but is certainly a good budget, and one that

        10       takes the people of the State of New York into

        11       next year with hope and opportunity that

        12       brighter days are coming for this state.

        13                  Thank you, Madam President.

        14                  ACTING PRESIDENT STEWART-COUSINS:

        15       Thank you, Senator.

        16                  Senator DeFrancisco, do you still

        17       request Senator Parker to yield?

        18                  SENATOR DeFRANCISCO:    No.  But

        19       I'd like to address the bill in 30 seconds or

        20       less, as opposed to asking a question.

        21                  ACTING PRESIDENT STEWART-COUSINS:

        22       Well, might we add your name to a list?  I

        23       believe Senator Padavan is --

        24                  SENATOR DeFRANCISCO:    Then I will



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         1       ask him a question.

         2                  (Laughter.)

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Parker, do you yield?

         5                  SENATOR PARKER:    Absolutely.

         6                  SENATOR DeFRANCISCO:    Senator

         7       Parker, since you're interested in keeping the

         8       record straight and lauding your ability to

         9       have such fiscal discipline, I just want to

        10       ask you whether or not you agree with this

        11       statement of the Democrat Comptroller of the

        12       State of New York.

        13                  "New York faced an extraordinary

        14       challenge" -- dated today, by the way -- "to

        15       adopt a 2009-2010 state budget in the context

        16       of daunting recession.  My preliminary view of

        17       the budget indicates it does not adequately

        18       respond to today's economic realities.  The

        19       budget is not a long-term solution to

        20       New York's prosperity to spend more than the

        21       state can afford.  While the budget proposes

        22       to close an unprecedented gap, it does so by

        23       overreliance on nonrecurring federal stimulus

        24       funds and new tax revenues projected to



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         1       materialize at a time of declining tax

         2       receipts.  This is essentially a buy-time

         3       budget based on hope that the economy recovers

         4       quickly.  It's a very fragile basket to place

         5       all of the taxpayers' eggs in."  Pretty strong

         6       language.

         7                  "Instead of using the federal

         8       stimulus money to restructure the financial

         9       plan and match projected revenues to long-term

        10       growth and spending, the budget uses stimulus

        11       funds as a short-term fix.  The danger is

        12       New York could end up right back where we

        13       started with huge budget gaps and an

        14       unsustainable level of spending.  I will

        15       provide a more detailed review of the enacted

        16       budget shortly."

        17                  Do you disagree with the Democrat

        18       Comptroller of the State of New York as to

        19       what the record is from his disinterested post

        20       as a separately elected body to keep an eye on

        21       what's going on in the budget?

        22                  SENATOR PARKER:    Madam President,

        23       through you.  I have a great deal of respect

        24       for Comptroller DiNapoli, who actually is a



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         1       former Assembly member and actually for many

         2       years voted on these same budgets alongside of

         3       us.

         4                  In this particular case I think

         5       that his view is an interesting one.  I don't

         6       necessarily agree with all of it.  I think

         7       that he has maybe some points that we ought to

         8       be discussing, and that's frankly why we're

         9       here.

        10                  The reality is this.  We are in

        11       fact hoping that things will turn around.  No

        12       one knows whether this stimulus money is in

        13       fact going to work.  They've said that even on

        14       the federal level.  Some people are saying

        15       that we need triple the amount of money that

        16       we've allocated.  But the reality is we don't

        17       have that.  We've gotten about $25 billion for

        18       the next two years.  That's what we have.

        19                  We have decided to take some

        20       portion of that this year and spend it to in

        21       fact make sure that schools from Brookhaven to

        22       Brooklyn to Buffalo are in fact adequately

        23       funded.  We have taken that money to make sure

        24       that hospitals, again, from, you know,



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         1       Riverhead to Rochester have enough staffing

         2       and enough beds in them.  We have made sure

         3       that housing all over the state is being taken

         4       care of, from Staten Island to Syracuse.  And

         5       so that's what we've done with our stimulus

         6       money.

         7                  Other parts of that stimulus money

         8       is going to be actually used to stimulate the

         9       economy.  We took pieces of it to work on the

        10       budget this time and make sure that we didn't

        11       have to have layoffs, make sure that we, as

        12       Governor Paterson put, kept our commitment to

        13       the core philosophies and principles of our

        14       departments and to make sure that housing and

        15       education and transportation and public

        16       protection are in fact being served in their

        17       core respective areas.

        18                  But we will also take some of that

        19       money and say, all right, business community,

        20       all right, public utilities -- in the case of

        21       my committee -- let's find projects that in

        22       fact produce jobs, that are shovel-ready, that

        23       are in fact going to increase economic

        24       opportunities across this state.  And that's



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         1       what we've done with it.

         2                  And so I look forward to seeing

         3       Comptroller DiNapoli's full report.  I think

         4       that we should look at what he's said today.

         5       But we have to go forward with the budget now.

         6       The people can't wait.  If we don't pass this

         7       budget today, you are talking about your

         8       taxpayers and my taxpayers paying upwards of

         9       $130 million per day in debt service when this

        10       budget is late.  That's not a burden I want to

        11       put on my taxpayers.  Surely, Senator

        12       DeFrancisco, that's not something that you

        13       want to put on yours.

        14                  We are going to have opportunities

        15       to come back, as we always have, and make

        16       corrections.  But today we must pass this

        17       budget because it's our next best opportunity

        18       to create a safety net and economic

        19       opportunities for the people of this state.

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator Flanagan, why do you rise?

        22                  SENATOR FLANAGAN:    Would Senator

        23       Parker yield.

        24                  ACTING PRESIDENT STEWART-COUSINS:



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         1       Senator Parker, will you yield?

         2                  SENATOR PARKER:    Absolutely.

         3                  SENATOR FLANAGAN:    Senator

         4       Parker, two questions, I could.

         5                  Relative to the transparency of

         6       this process, do you agree with the statement

         7       that was made by Speaker Silver that we didn't

         8       have any need for public conference committees

         9       because, after all, we're all Democrats and we

        10       don't have to worry about things like that?

        11                  SENATOR PARKER:    Madam President,

        12       through you.  I don't serve under the Speaker.

        13       So what the Speaker says is up to the Speaker.

        14                  Let me just say this, that we have,

        15       in this conference and in this body, always

        16       maintained that there needs to be transparency

        17       and there needs to be a process that's open.

        18       We in fact tried to do that under very hard

        19       circumstances, both with taking over a new

        20       majority and in the context of having to

        21       negotiate with both the Assembly and the

        22       Governor.

        23                  We did that several ways.  There

        24       were joint -- and Senator Kruger talked about



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         1       this yesterday.  There were several joint

         2       hearings.  There was for the first time a

         3       hotline set up where people could call in and

         4       give us input in that request.  There were

         5       lots of ways that we gave opportunities and to

         6       talk about what's happening with the budget

         7       process.  And for the first time in at least

         8       43 years, the Senate majority reached out to

         9       the Senate minority and actually spoke to them

        10       about their concerns on the budget.

        11                  And so as we start talking about

        12       transparency, I'm all for transparency.  In

        13       fact, I serve alongside of Senator Bonacic and

        14       Senator David Valesky, who are the co-chairs

        15       of the Temporary Committee on Rules and

        16       Administrative Reform that's going to in fact

        17       make this body even more transparent and more

        18       open and accountable to the public than it's

        19       ever been before.  And so I have a commitment

        20       to that, and I think we all do.

        21                  And I think that again, you know,

        22       what the Speaker does is the Speaker's

        23       prerogative.  But we're here serving in this

        24       body.  And in this body we believe in



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         1       transparency and are going to continue to

         2       fight for that.

         3                  SENATOR FLANAGAN:    Well, I'm glad

         4       to hear that.  And let me follow up with the

         5       next question in relation to what you just

         6       said.

         7                  ACTING PRESIDENT STEWART-COUSINS:

         8       Do you continue to yield?

         9                  SENATOR FLANAGAN:    I apologize,

        10       Madam President.  Does Senator Parker continue

        11       to yield?

        12                  SENATOR PARKER:    Yes, I continue

        13       to yield.

        14                  SENATOR FLANAGAN:    Thank you,

        15       Madam President.

        16                  We didn't have conference

        17       committees.  And the Senate Democrats are in

        18       charge and certainly are entitled to do things

        19       the way you want.  But we actually have a law,

        20       the Budget Reform Act of 2007, and prior to

        21       that we actually did have conference

        22       committees where there was participation by

        23       the Senate Democrats and the Senate

        24       Republicans.  So to suggest that for 43 years



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         1       the Senate minority was not invited is just a

         2       complete misstatement of the truth and of the

         3       facts, because we did have public conference

         4       committees.

         5                  There were actual public leaders'

         6       meetings where Lieutenant Governor or now

         7       Governor David Paterson, as the Senate

         8       minority leader, was there.  So the Senate

         9       minority participated in a public, meaningful,

        10       open way.  And in fact, the Senate minority

        11       and the Assembly minority were involved in

        12       five-way negotiations.  And that's a fact.  So

        13       to suggest for 43 years that somehow we didn't

        14       do that is, again, just a complete

        15       misstatement of fact.

        16                  But my question to you is Senator

        17       DeFrancisco and Senator Kruger had a

        18       discussion last night about the level of

        19       spending and the increase in spending.  Last

        20       year's All Funds number was $119.6 billion.

        21       This year's All Funds number is

        22       $131.8 billion, an increase of $12.2 billion,

        23       or a 10.2 increase in spending.

        24                  I listened to your comments about



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         1       fiscal discipline.  Do you believe that a

         2       10.2 percent increase in spending represents

         3       fiscal discipline?

         4                  SENATOR PARKER:    Madam President,

         5       through you.  I think your characterization of

         6       the $10.2 billion is, frankly, a

         7       mischaracterization.  I think as you start

         8       talking about the numbers, again, you have to

         9       understand the numbers in the context.

        10                  Part of the numbers you're counting

        11       is in fact the stimulus money.  And that

        12       stimulus money doesn't necessarily come out of

        13       our pot.  And so when you add it as increased

        14       spending, it's actually supposed to be

        15       increased spending, because that's how the

        16       federal government set it up, that's how

        17       President Barack Obama set it up.  It's

        18       supposed to be additional money to stimulate

        19       the economy, and that's why it's called

        20       "stimulus."

        21                  Now, that being said -- and when

        22       you take that away and you start doing the

        23       math, the percentage of increase that it is is

        24       not significant at all, actually less than



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         1       1 percent.  And so I think that when you start

         2       talking about fiscal discipline, we've done a

         3       lot better this year than we've done in

         4       several, several other Republican budgets.

         5                  But that also being said is that

         6       I'm going to disagree with you about your

         7       characterization about conference committees.

         8       Conference committees are a fairly new thing

         9       around here.  And I know we did them for about

        10       three or four years, mostly under Democratic

        11       governors, who in fact insisted that the

        12       minority were brought to the table, and most

        13       of the time kicking and screaming.

        14                  And so, you know, let's not act

        15       like for 43 years there were conference

        16       committees.  For 43 years there weren't

        17       conference committees, which is part of we why

        18       have been dubbed the most dysfunctional

        19       legislature in the country, because in part we

        20       had for a long time a very closed process.

        21                  Was the process perfect this year?

        22       No.  Will it be better next year?  Yes.  But

        23       it's certainly better this year than it had

        24       been any other time, you know, in the last



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         1       40 years at minimum.

         2                  SENATOR FLANAGAN:    Senator

         3       Parker, I just -- would Senator Parker

         4       continue to yield?

         5                  ACTING PRESIDENT STEWART-COUSINS:

         6       Senator Parker, do you continue to yield?

         7                  SENATOR PARKER:    Absolutely.

         8                  SENATOR FLANAGAN:    I'll make

         9       something crystal-clear.  I never said that

        10       there were conference committees for 43 years.

        11                  What I was responding to was your

        12       characterization that there had been no

        13       outreach by the Senate majority to the Senate

        14       minority.  I can recall instances serving in

        15       this body and in the Assembly where the Senate

        16       actually showed up, Senator Bruno, and the

        17       Assembly refused to appear at public meetings

        18       for public discourse.

        19                  So did we do it perfectly?

        20       Absolutely not.  But if we're going to be

        21       talking about factual characterizations, we

        22       should at least get the facts straight.

        23                  And I would respectfully offer to

        24       you that a 10.2 percent increase in spending,



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         1       ultimately all that money -- federal, state,

         2       local, county, village, wherever it comes

         3       from -- it comes from the taxpayers.  And

         4       they're going to believe the 10.2 percent

         5       increase in spending is anything but fiscal

         6       discipline.

         7                  Thank you, Madam President.

         8                  SENATOR PARKER:    May I respond?

         9                  ACTING PRESIDENT STEWART-COUSINS:

        10       Senator Parker.

        11                  SENATOR PARKER:    Madam President,

        12       just so we can again get the record clear, I

        13       refuse to take responsibility for something I

        14       had no authority over.  The Assembly members

        15       or the Speaker not appearing for a meeting has

        16       no relevance or bearing on this Senate

        17       majority or the former Senate minority and our

        18       ability to control the Speaker and what they

        19       do in that part of the house.

        20                  And we will see what the voters

        21       think about the spending plan, particularly

        22       after a we secure the safety net under them

        23       and give them more opportunities for job

        24       training and opportunities to seek higher



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         1       education during this fiscal recession.

         2                  Thank you.

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Saland, why do you rise?

         5                  Senator Lanza, why do you rise?

         6                  SENATOR SALAND:    Would Senator

         7       Parker yield?

         8                  ACTING PRESIDENT STEWART-COUSINS:

         9       Senator Saland first, then Senator Lanza.

        10                  Senator Parker, will you yield?

        11                  SENATOR PARKER:    Absolutely.

        12                  SENATOR SALAND:    Thank you,

        13       Senator Parker.

        14                  Senator Parker, I refrained from

        15       rising on a point of personal privilege with

        16       your characterization of my use of the term

        17       "chutzpah."  You may recall at the time

        18       Senator Kruger was speaking in the most

        19       platitudinous of terms about the historic

        20       moment that this budget represented.  To which

        21       I said, and I think rightfully so, that it

        22       took enormous chutzpah for one to make that

        23       claim.

        24                  Would you disagree with the



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         1       definition of "chutzpah"?  Would you agree

         2       that it takes enormous nerve to term this

         3       historic, something that we should be beating

         4       our chest about with great pride, after you

         5       yourself said that this budget in effect

         6       leaves a lot to be desired but it's the best

         7       we can do under the circumstances?

         8                  SENATOR PARKER:    Madam President,

         9       through you.  As someone who's spent a great

        10       deal of my time as a college professor, and

        11       somewhat, you know, of a historian myself, I

        12       think that the use of the word "history" and

        13       "historical" is nonpejorative.  That is, it

        14       does not in fact innately or inherently have

        15       any value to it.  That is, "historical" does

        16       not mean historically good or historically

        17       bad, but in fact something to note.

        18                  When you look at a budget that has

        19       in fact been based on numbers going down, and

        20       saying that we're in, again, the greatest

        21       contraction in our nation's history, that's

        22       historical.  Just like, you know, during the

        23       Democratic reign of Bill Clinton as president

        24       we had the greatest explosion in our economy



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         1       and the most jobs created in our economy, that

         2       was historic.

         3                  So historic within the context of

         4       the word itself and using the lexicon, doesn't

         5       in fact have a pejorative meaning.  And so I

         6       thought that Senator Kruger's use of the word

         7       "historic" was in fact appropriate and

         8       necessary.

         9                  SENATOR SALAND:    I'm not going to

        10       engage in a semantic exercise with you.  But

        11       if you'll continue to yield.

        12                  ACTING PRESIDENT STEWART-COUSINS:

        13       Senator Parker, do you continue to yield?

        14                  SENATOR PARKER:    Yes, ma'am.

        15                  SENATOR SALAND:    In your comments

        16       you said you were hoping to turn this economy

        17       around.

        18                  Do you subscribe to the theory that

        19       we could tax our way out of a recession?

        20                  SENATOR PARKER:    Madam President,

        21       through you.  I subscribe to the theory that

        22       we have to provide economic opportunity for

        23       people.  And I think that we've gotten that

        24       opportunity vis-a-vis President Barack Obama



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         1       and the stimulus package that he's provided

         2       us, $25 billion to this state.  And that's

         3       just the money we've gotten directly.  That

         4       doesn't even count the other dollars that we

         5       can compete for.

         6                  So for instance, as chair of the

         7       Energy and Telecommunications Committee, I

         8       know there's about $14.5 billion available for

         9       smart-grid technology that organizations like

        10       the MTA could apply for, National Grid could

        11       apply for, and get that.  So, you know, we

        12       could go really, technically, 30, maybe even

        13       $40 billion worth of dollars vis-a-vis this

        14       stimulus package.

        15                  So I certainly believe that through

        16       that stimulus package and some of the measures

        17       we're taking in this budget that we in fact

        18       can provide opportunity vis-a-vis two things.

        19                  One, creating a safety net.

        20       Because there's going to be lots of people in

        21       all of our districts across the state who are

        22       going to have problems over the next few

        23       months between losing their jobs, daycare, you

        24       know, not having enough to eat, you know,



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         1       being foreclosed on, renters who are going to

         2       be losing their homes.  And I think that this

         3       budget, and particularly this part of the

         4       budget that we're voting on now, provides a

         5       securitization of that safety net.

         6                  The second piece is economic

         7       development, where you're in fact doing job

         8       creation.  And again, this part of the budget

         9       provides for job training and particularly

        10       green-collar jobs, which we know is going to

        11       be our next best opportunity to provide jobs

        12       in this economy.

        13                  SENATOR SALAND:    Well, I would

        14       beg to differ with your reference to this

        15       budget creating jobs.  But could you tell me

        16       how much of the --

        17                  ACTING PRESIDENT STEWART-COUSINS:

        18       Senator Saland, are you asking Senator Parker

        19       to continue to yield?

        20                  SENATOR SALAND:    Yes, if he would

        21       continue to yield.

        22                  -- how much federal stimulus

        23       money --

        24                  SENATOR PARKER:    Yes, ma'am, I'll



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         1       yield.

         2                  SENATOR SALAND:    Would you be

         3       able to tell me how much federal stimulus

         4       money is included in this nearly $132 billion

         5       budget?

         6                  SENATOR PARKER:    My understanding

         7       is that there's approximately $7.2 billion in

         8       stimulus money provided.

         9                  SENATOR SALAND:    That certainly

        10       is consistent with page 2 of the Senate

        11       Finance Committee.

        12                  SENATOR PARKER:    I try.

        13                  SENATOR SALAND:    Will you

        14       continue to yield, please?

        15                  ACTING PRESIDENT STEWART-COUSINS:

        16       Do you continue to yield, Senator Parker?

        17                  SENATOR PARKER:    Absolutely.

        18                  SENATOR SALAND:    Do you recall --

        19       or if you don't recall the debate that ensued

        20       last night over last year's budget, the amount

        21       of money in the 2008-2009 financial plan as it

        22       was closed out was $119.74 billion.  Would you

        23       accept that as a given, or would you care to

        24       challenge that number?



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         1                  SENATOR PARKER:    Madam President,

         2       through you, it depends on what numbers you're

         3       using.  But I won't debate the fact that that

         4       may in fact be the number.

         5                  SENATOR SALAND:    Thank you.

         6                  Would Senator Parker continue to

         7       yield?

         8                  ACTING PRESIDENT STEWART-COUSINS:

         9       Do you continue to yield, Senator Parker?

        10                  SENATOR PARKER:    Yes.

        11                  SENATOR SALAND:    My source is the

        12       Division of the Budget, by the way.

        13                  And if you will recall the exchange

        14       again between Senator Kruger and Senator

        15       Flanagan that occurred last night, Senator

        16       Kruger, the chairman of the Finance Committee,

        17       acknowledged that there was some $6 billion in

        18       cuts from the General Fund from that base

        19       amount.  Do you recall that exchange?

        20                  SENATOR PARKER:    I don't

        21       recall -- Madam President, through you, I

        22       don't necessarily recall that.  But again, I'm

        23       not going to argue if you in fact -- you know,

        24       I trust you.  At least on that.



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         1                  SENATOR SALAND:    I'm sorry?

         2                  SENATOR PARKER:    I'll trust your

         3       numbers on this.

         4                  SENATOR SALAND:    Thank you.  I

         5       appreciate that.  It is a matter of record.

         6                  If you then take that 119-plus

         7       billion, it approaches 120, and you subtract

         8       6 billion, which is the amount that was cut,

         9       you now have $114 billion left -- 113.75 would

        10       be a more accurate amount.  We have gone from

        11       $113.75 billion in spending to $131.8 billion

        12       in spending, which is a difference of

        13       approximately 18 billion -- I used the number

        14       $17 billion last night -- of which, according

        15       to your comments and this Senate Finance

        16       budget fact sheet, includes $7.2 billion in

        17       stimulus money.

        18                  Now, if I take $7.2 billion from

        19       nearly $18 billion, it leaves somewhere in the

        20       area of $11 billion, give or take a few modest

        21       hundred million or so.  That's more than a

        22       10 percent increase, that's more like a

        23       13 percent increase.

        24                  And it brings me back to the



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         1       question that I had asked earlier.  Do you

         2       believe, in a severe recession, where we're

         3       now taking $11 billion of nonfederal money,

         4       according to your own Senate document -- and I

         5       believe you're a member of the Finance

         6       Committee, are you not?

         7                  SENATOR PARKER:    I am.  Is that a

         8       separate question?

         9                  SENATOR SALAND:    Do you believe

        10       that it's wise public policy to try and tax

        11       your way out of a recession by increasing your

        12       spending by close to 13 percent or close to

        13       $18 billion?

        14                  SENATOR PARKER:    Madam President,

        15       through you.  Senator Saland, first of all,

        16       thank you for your close observation of the

        17       numbers.  And I think that you in fact make

        18       some points that are valid given the set of

        19       assumptions that you're working off of.

        20                  The set of numbers that the Senate

        21       work of in our negotiations with the Assembly

        22       and the Governor actually were based on the

        23       Governor's Executive Budget.  So quickly -- I

        24       know some of you are familiar with this, maybe



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         1       some of you are not -- how the budget process

         2       works in the State of New York is the

         3       following.  The Governor comes out with an

         4       Executive Budget.  We in fact --

         5                  SENATOR SALAND:    Would you suffer

         6       an interruption, Senator?  If you want to use

         7       that number, I'll use -- if you'll suffer an

         8       interruption --

         9                  ACTING PRESIDENT STEWART-COUSINS:

        10       Senator -- Senator Adams, why do you rise?

        11                  SENATOR ADAMS:    I think the chair

        12       should be respected.  A question was asked,

        13       the Senator was answering it.  If there's

        14       other questions that should be asked, they

        15       should come through you.  This is not in the

        16       street, where we're just arguing with each

        17       other.  There's a point of decorum that's

        18       expected.

        19                  SENATOR SALAND:    I merely asked

        20       the Senator if he would suffer an interruption

        21       so I could concede, for purposes of this

        22       argument, the Governor's number, which is

        23       121.3.  So that is a difference of less than a

        24       billion and a half.  So let us say we're not



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         1       talking about an $18 billion increase, we're

         2       talking about a mere 16.5 billion increase.

         3                  Take out the $7.2 billion, and it

         4       leaves us with a modest $9.5 billion increase

         5       in state General Funds.  I'll use your number.

         6       It's not an accurate year of year number, but

         7       I'll save the argument.  I will use your

         8       number, 121.3.

         9                  ACTING PRESIDENT STEWART-COUSINS:

        10       Excuse me.  Senator Parker, do you yield to

        11       Senator Saland's question?

        12                  SENATOR PARKER:    Yes, ma'am, I'll

        13       yield for a question.

        14                  SENATOR SALAND:    I merely said

        15       that --

        16                  SENATOR PARKER:    Senator Saland,

        17       I do.

        18                  But there's other assumptions that

        19       you're making that I don't necessarily agree

        20       with, in the way that you calculate the

        21       deficit.  So the way that you calculate the

        22       deficit, you know, part of what we do when you

        23       fill a deficit, and that was part of what we

        24       did, is you take the number back up.  And so



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         1       when you're starting at that number, right,

         2       once you've filled the deficit and then take

         3       yourself from 121 and add the rest of the

         4       money, that's really where you should start.

         5                  So really the 121 is the beginning

         6       of the conversation about where we're going,

         7       not the 6 billion that we're cutting off.

         8       Because our numbers, again, are based on the

         9       Governor's numbers, and the Governor assumes

        10       121.  And what he attempts to do is actually

        11       get us to that level of spending because he

        12       feels like that level of spending is what we

        13       need to do to maintain core services.

        14                  But to answer your question

        15       directly, as relates to taxing your way out of

        16       a deficit, I agree with you, we shouldn't tax

        17       our way out of a deficit.  And you need to

        18       remember that in this budget that we're going

        19       to pass today, 96 percent of New Yorkers do

        20       not pay higher taxes.  So 96 percent of the

        21       people in the State of New York, and most of

        22       them are middle-class and lower-income

        23       New Yorkers, don't pay higher taxes.  They

        24       don't pay higher taxes.



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         1                  And as I do know that we have in

         2       fact done some Fair Share, I think that

         3       schoolteachers who teach at P.S. 193, where I

         4       went to elementary school, and CC Sabathia,

         5       who is the new pitcher for the Yankees, should

         6       not be paying in the same tax bracket.  And I

         7       think that we took some steps in this budget

         8       this year to in fact correct that injustice

         9       and did that at the same time as protecting

        10       lower-income and middle-class New Yorkers.

        11                  SENATOR SALAND:    If the Senator

        12       will continue to yield.

        13                  ACTING PRESIDENT STEWART-COUSINS:

        14       Senator Parker, do you continue to yield?

        15                  SENATOR PARKER:    Yes, ma'am.

        16                  SENATOR SALAND:    Senator Parker,

        17       I can return to my district and tell people

        18       that their utility bills will not go up, that

        19       they will not pay for more for wine or beer; I

        20       can tell them that their health premiums will

        21       not go up -- you're going to assure me that I

        22       can tell them that; I can also tell them their

        23       property taxes won't go up, because there are

        24       no increases that impact anybody but that



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         1       small percentage that you cited.

         2                  So I can tell them with confidence

         3       that Senator Parker has assured me that

         4       whatever may be on your utility bill, whatever

         5       may be on your tax bill, whatever you may pay

         6       more at the store, it's illusory, don't

         7       believe it, it didn't go up.

         8                  SENATOR PARKER:    Madam President,

         9       through you.  I think that you're fine to tell

        10       your constituents whatever you'd like to tell

        11       them.

        12                  I think, again, if we're going to

        13       get the record straight, utility bills are not

        14       taxes.  I'm not responsible necessarily

        15       directly for what utility bills go out by

        16       National Grid or whoever people's power

        17       providers are.

        18                  The reality is this.  If you're

        19       going to talk about what we're passing today,

        20       what we're going up or down on is this budget

        21       bill here.  This budget bill -- sorry, these

        22       sets of budget bills, when we pass them, will

        23       not raise the taxes of 96 percent of

        24       New Yorkers.  If you're talking about people's



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         1       fees and rates that may in fact fluctuate

         2       based on a number of dynamics in the economy,

         3       that's a different conversation.  And we can

         4       have that conversation, but those are not in

         5       fact taxes.

         6                  SENATOR SALAND:    If Senator

         7       Parker will continue to yield.

         8                  ACTING PRESIDENT STEWART-COUSINS:

         9       Senator Parker, do you continue to yield?

        10                  SENATOR PARKER:    Yes, ma'am.

        11                  SENATOR SALAND:    Senator Parker,

        12       I believe you chair the Energy Committee.

        13                  SENATOR PARKER:    Yes, sir, I do.

        14                  SENATOR SALAND:    Is there no

        15       energy tax increase associated with this

        16       budget?  I'm not involved with that.  I've

        17       never served on the committee.  I thought,

        18       perhaps I'm wrong, there is a $600 million

        19       increase on utility companies.

        20                  SENATOR PARKER:    Madam President,

        21       through you.  There are no direct taxes to

        22       ratepayers in this budget as relates to

        23       energy.

        24                  SENATOR SALAND:    Thank you,



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         1       Senator Parker.

         2                  Just on the bill, if I may.

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Saland, on the bill.

         5                  SENATOR SALAND:    Regardless of

         6       how you massage the numbers, this is, I'm

         7       sure, the largest spending increase that

         8       New York has ever witnessed.  Budgets are very

         9       difficult in good times.  We all know that.

        10       They're far more difficult in bad times.  And

        11       this is the baddest of bad times.  Certainly

        12       within my lifetime, and I'm older than most of

        13       the people in this chamber, this is as bad as

        14       I have seen, and there's no close second.

        15                  And to increase taxes, whether they

        16       be personal income taxes -- and we can get to

        17       that I'm sure at another time.  But to say

        18       that utility companies are not going to pass

        19       through a $600 million increase is beyond the

        20       pale of anything remotely realistic.

        21                  And there's just a list of fees.

        22       People in my district are going to pay

        23       thousands of dollars more.  I got phone calls

        24       yesterday based upon some New York City radio



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         1       station that people are listening to, it was a

         2       call-in show.  My phone rang off the hook in

         3       my district office and in Albany.  I got calls

         4       from people including a teacher, who said:  "I

         5       didn't know this.  How do they expect us to

         6       pay for all this?"

         7                  I got a call from a 70-year-old

         8       woman who told my office she hadn't even taken

         9       her coat off yet, she just put her groceries

        10       on the table, who said:  "What's going on?

        11       Who are these three people in a room?  Why am

        12       I going to wind up paying more?  And how did

        13       this all happen?"

        14                  So it's real, people know about it,

        15       there's no escaping it.  This budget is an

        16       absolute fiasco.  And if I may draw on Winston

        17       Churchill -- and I don't remember the exact

        18       quote, but words to the effect of "Trying to

        19       tax your way out of a recession is like a man

        20       standing in a bucket and trying to lift

        21       himself."

        22                  ACTING PRESIDENT STEWART-COUSINS:

        23       Senator Lanza, you rose previously?

        24                  SENATOR LANZA:    Yes, thank you,



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         1       Madam President.  Would Senator Parker yield

         2       for a series of questions?

         3                  ACTING PRESIDENT STEWART-COUSINS:

         4       Senator Parker, will you yield?

         5                  SENATOR PARKER:    I will.

         6                  SENATOR LANZA:    Thank you, Madam

         7       President.  Thank you, Senator Parker.

         8                  I'm going to make a run at trying

         9       to put something to bed here and get a

        10       clarification.  I listened to Senator Kruger

        11       last night discuss this in response to

        12       questions from Senator Saland and Senator

        13       DeFrancisco and Senator Fuschillo.  And now in

        14       listening to you in your discussion with

        15       Senator Flanagan, when Senator Flanagan -- and

        16       what I mean is I'm trying to see whether or

        17       not you can finally help us understand why

        18       spending $132 billion is in actuality spending

        19       less than $120 billion, and we're just trying

        20       to reconcile that.

        21                  Senator Flanagan said that there

        22       was a 10 percent increase in spending this

        23       year, and you said that that was a

        24       miscalculation.  So I'm asking you whether or



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         1       not in this budget we in the State of New York

         2       are spending more this year, spending more

         3       this year than was spent last year.

         4                  SENATOR PARKER:    Madam President,

         5       through you.  Thank you, Senator Lanza, for

         6       your question.  And I understand how some of

         7       these numbers are tricky, and some of this

         8       philosophy, because some of it is

         9       understanding the nature of government.

        10                  Our job in government is to protect

        11       those people who cannot protect themselves, is

        12       to take care of the least of those in our

        13       communities.  In the economic downturn that we

        14       have now, we have more people who are losing

        15       their jobs, losing their health benefits.

        16       They are losing their homes, they're losing

        17       their apartments.

        18                  When you take away the $7.2 billion

        19       of stimulus money, Madam President, you get a

        20       modest increase in what we're doing.  And when

        21       you even add in the places where we've in fact

        22       done Fair Share, in fact 96 percent of the

        23       people in the state, mostly low-income

        24       New Yorkers and middle-class folks, are not



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         1       paying any more, 96 percent are not paying any

         2       more in taxes.

         3                  But the reality is as a state we

         4       are having to pick up the burden of more

         5       unemployment, of having to pick up the burden

         6       for more for education, particularly because

         7       many people in my district and your district

         8       who are going to private school can no longer

         9       afford to go to private school because they

        10       lost their jobs working on Wall Street.

        11       Right?  And because we now have to also pick

        12       up more of the health costs, because people,

        13       when they lost their jobs, also lost their

        14       health benefits.

        15                  So again, as government, our job is

        16       in fact to do that.  We're spending the

        17       $7.2 billion in stimulus because that is

        18       what's necessary to in fact undergird this

        19       safety net that we have here in the state.

        20       And the stimulus, that's what we're supposed

        21       to be doing, we're supposed to be protecting

        22       the people in our communities.

        23                  Barack Obama gave us money,

        24       $1.1 billion for education, and we're spending



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         1       that money in education to make sure that

         2       we're not cutting our education.  He gave us

         3       money in lots of different areas so we in fact

         4       can undergird our economy and our safety net

         5       and make sure that we don't drop through the

         6       floor.

         7                  And so if you look at the modest

         8       increase in our spending, that modest increase

         9       has come from two things:  One, the stimulus

        10       package, primarily, and then the rest from

        11       some other costs that we have to bear because

        12       we are in an economic climate.  And just

        13       saying the economy has gone down, the reality

        14       is people have lost their jobs, they've lost

        15       their health benefits, they can no longer

        16       afford to send their children to a private

        17       school, that means the public schools are

        18       overburdened.  And we as government have the

        19       responsibility of bearing those costs across

        20       the state.

        21                  SENATOR LANZA:    Madam President,

        22       would Senator Parker continue to yield?

        23                  ACTING PRESIDENT STEWART-COUSINS:

        24       Senator Parker, do you continue to yield?



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         1                  SENATOR PARKER:    Absolutely.

         2                  SENATOR LANZA:    You said this was

         3       all tricky.  I think what's tricky about it is

         4       trying to convince people back home that when

         5       you spend $132 billion, you're actually

         6       spending less than $120 billion.  But the

         7       question, quite simply put -- and I did not

         8       hear an answer -- is whether or not we're

         9       spending more this year in the State of

        10       New York in this budget than we spent last

        11       year.

        12                  SENATOR PARKER:    Madam President,

        13       through you.  We're spending more vis-a-vis

        14       stimulus and some more, other costs that we

        15       have in fact picked up because people have

        16       lost their jobs, they've lost their

        17       healthcare.  They can't send their kids to

        18       private school, so they're sending them to

        19       public school.  You know, so we're paying for

        20       hospitals, we're paying for unemployment

        21       insurance, we're paying, you know, for

        22       education.  And, you know, then the President

        23       comes out a week later and says everybody

        24       should get higher education, so more people



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         1       are registering for schools, so we put more

         2       into public education.

         3                  But it's not like we got, you know,

         4       a mandate without funding.  We got

         5       $25 billion.  We're spending $7.2 billion

         6       right now just to do this.  We'll be spending

         7       more, in fact, to in fact produce jobs in your

         8       district, Senator Lanza, and in my district as

         9       we do shovel-ready projects.

        10                  We're going to be doing things that

        11       produce jobs across this state, in the hopes

        12       that next year when we come across this budget

        13       we'll have a budget that will be in balance

        14       because we will have people back to work, our

        15       tax revenues will be up, and we'll have an

        16       ability to in fact get people moving in the

        17       direction they need to.

        18                  SENATOR LANZA:    Madam President,

        19       would Senator Parker continue to yield?

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator Parker, do you continue to yield?

        22                  SENATOR PARKER:    Yes, ma'am.

        23                  SENATOR LANZA:    Senator Parker, I

        24       think a partial explanation that has been put



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         1       forward by your side of the aisle, that I've

         2       read in the newspapers and I've heard here on

         3       the floor today and last evening, was that the

         4       $7 billion that has come from the federal

         5       government, since it has come from the

         6       taxpayers by way of the federal tax levy as

         7       opposed to the state tax levy, that somehow

         8       this is not real spending and that this does

         9       not count toward the spending that is included

        10       in this budget.

        11                  Is that what you're proposing,

        12       Senator Parker?

        13                  SENATOR PARKER:    Senator Lanza --

        14       through you, Madam President.  Senator Lanza,

        15       I suggest that if in fact you want to tell the

        16       family that lost their primary wage-earner

        17       that we should not in fact put money into more

        18       unemployment insurance, that's fine.  If you

        19       want to tell people who have lost their

        20       healthcare that we in fact as a state should

        21       not provide any healthcare for them, that's

        22       fine, you can tell them that.

        23                  If you want to go back and tell

        24       those folks who are sending their children to



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         1       a diocesan school that has now closed, and now

         2       they have to go to public schools, that

         3       there's no room in the public schools for them

         4       because we didn't want to put more money into

         5       public schools, if you want to tell them that,

         6       that's fine.

         7                  The reality is we're in a situation

         8       where we got money, it's called stimulus

         9       money, that frankly was already decided at the

        10       federal level.  So what I'm hearing yourself

        11       and members across the aisle say to me is that

        12       we were given $25 billion to help us solve our

        13       problems and we shouldn't spend the money to

        14       in fact restore the cuts that we would have

        15       needed to make.

        16                  The reality is this.  The Governor

        17       presented us with a $121.3 billion budget.  He

        18       in fact said to us when he gave us the budget

        19       that the deficit was going to be about

        20       $15 billion.  He made $9 billion in cuts, and

        21       we added stimulus money plus another

        22       $3 billion to in fact restore those cuts.  And

        23       to in fact take a number of nuisance taxes off

        24       the table so that our consumers and our



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         1       constituents would not have taxes on things

         2       like soda and things like, you know, bowling

         3       alleys and gym memberships and cable -- I

         4       mean, there was all kinds of things.

         5       Haircuts.  I mean, there was all kinds of

         6       nuisance taxes in there.

         7                  We took those out.  But in order

         8       for us to do that, we had to buy those things

         9       back.  And we bought most of those things back

        10       with stimulus money that we were given.  And

        11       had we not spent the money, we would have lost

        12       it.  So it was important for us to spend the

        13       stimulus money, because that's what the

        14       stimulus is for.

        15                  SENATOR LANZA:    Madam President,

        16       would Senator Parker continue to yield?

        17                  ACTING PRESIDENT STEWART-COUSINS:

        18       Senator Parker, do you continue to yield?

        19                  SENATOR PARKER:    Absolutely.

        20                  SENATOR LANZA:    Well, I thank you

        21       for that response.  I think for the first time

        22       we've heard in this chamber that that stimulus

        23       money has actually been spent in this budget.

        24       And we shouldn't ignore the fact that it is



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         1       part of a $132 billion budget which does

         2       reflect a 10 percent increase in spending over

         3       last year.

         4                  And no, Senator Parker, I don't

         5       want to tell anyone in this state that I don't

         6       want to provide the sort of vital services

         7       that they deserve and that they have come to

         8       expect from this Legislature.  But I also

         9       don't want to sell them a bill of goods.  And

        10       it's important for them to understand that at

        11       a time when they're being asked to tighten

        12       their belts, it seems that this Legislature is

        13       going off on a spending orgy.

        14                  You said, Senator Parker, that that

        15       $7.2 billion federal stimulus money is not

        16       coming out of our pockets.  From whose pockets

        17       is that money coming from?

        18                  SENATOR PARKER:    Madam President,

        19       through you.  I never indicated that money

        20       wasn't coming out of our pockets.  I just

        21       indicated that the decision to spend that

        22       money was made at the federal level and we

        23       were in fact allocated that money the way

        24       every other state was allocated that money.



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         1                  Now, if you want to be like

         2       Louisiana and vote to send the money back and

         3       not accept the money, then maybe you should

         4       run for Governor and make that decision.

         5                  Our Governor I think made the

         6       prudent choice and accepted the stimulus

         7       money, and we're in fact using that stimulus

         8       money in the way we in fact should be using

         9       it, which is to stimulate the economy to in

        10       fact restore money for education, for

        11       healthcare, for unemployment insurance, for

        12       housing, for transportation.

        13                  And I think that we're going to be

        14       a better state down the road exactly because

        15       we're using this money in the way that it was

        16       intended to be used.  And because we're using

        17       it in the way it was intended to be used,

        18       people will not be unemployed hopefully as

        19       long as they would without it, people will

        20       have access to healthcare, people will have

        21       access to education, so that when the economy

        22       in fact makes its natural corrections and

        23       starts to go on an upswing, that people will

        24       be available for the jobs that will be created



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         1       in this state.

         2                  So I'm very, once again, Madam

         3       President, proud of this budget, because I

         4       think that it does some things in a very tough

         5       situation that need to be done for the future

         6       of this state.

         7                  SENATOR LANZA:    Madam President,

         8       would Senator Parker continue to yield?

         9                  ACTING PRESIDENT STEWART-COUSINS:

        10       Senator Parker, do you continue to yield?

        11                  SENATOR PARKER:    Yes, ma'am.  In

        12       the interests of time, I'll yield for one more

        13       question.

        14                  SENATOR LANZA:    I'd better make

        15       it a good one.

        16                  Senator Parker, you claimed today

        17       that 96 percent of New Yorkers will not pay

        18       additional taxes in this budget.  I'm sure you

        19       agree with me that whether it's a fee that a

        20       New Yorker has to pay or a tax that they have

        21       to pay, it's all the same.  Because unlike the

        22       rhetoric here, the people back home don't get

        23       to make believe that some money comes from

        24       someone else's pocket and it's not really



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         1       spending when it is spending.  They've got one

         2       family budget, and they've got to deal with

         3       it.

         4                  So I guess my question to you --

         5       and I was going to go down the list much in

         6       the same way as Senator Saland did.  But are

         7       you saying that 96 percent of New Yorkers

         8       don't pay property tax?  Because of course

         9       this budget has a property tax increase.  Are

        10       you saying that 96 percent of New Yorkers

        11       aren't going to buy bottles of water?  Because

        12       of course they're paying more for that.  Are

        13       you saying that 96 percent of New Yorkers

        14       aren't going to turn on the television or try

        15       to run their refrigerator and therefore not

        16       have to pay the tax and assessment on

        17       electricity?

        18                  Are you saying 96 percent of

        19       New Yorkers are not going to have to get in

        20       the car and therefore avoid paying the

        21       increased assessment on the driver's license

        22       and the license plate?  Are you saying that

        23       96 percent of New Yorkers are not going to

        24       have to pay auto insurance and therefore avoid



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         1       your tax on auto insurance?

         2                  Are you saying that 96 percent of

         3       New Yorkers are not going to have to go to a

         4       doctor or are not going to make a visit to a

         5       hospital or are not going to pay for a

         6       healthcare premium and therefore avoid your

         7       tax on all those services?

         8                  Are you saying that 96 percent of

         9       New Yorkers are not going to send their kids

        10       to college and therefore avoid your tuition

        11       increases?  Are you saying that 96 percent of

        12       New Yorkers are not going to go to a grocery

        13       store or a liquor store and buy wine or beer

        14       and therefore avoid your taxes?  And I can go

        15       on and on.

        16                  But is that what you are saying,

        17       Senator Parker?

        18                  SENATOR PARKER:    Madam President,

        19       through you.  I'm sorry, I didn't get that.

        20       Can you repeat the question?

        21                  (Laughter.)

        22                  SENATOR LANZA:    I would.  I

        23       would.

        24                  SENATOR PARKER:    I'm joking.



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         1                  Senator Lanza, I think that there

         2       is a significant difference between what

         3       people have to pay and what we're voting on

         4       here.

         5                  First, this budget does not have a

         6       property tax increase, because the state does

         7       not have any property tax increases in it.  We

         8       don't do that.  And there's nothing located in

         9       this budget that in fact increases property

        10       taxes.

        11                  To go on, as it relates to

        12       issues --

        13                  (Cellphone interference.)

        14                  SENATOR LANZA:    Sorry.

        15                  SENATOR PARKER:    That was the

        16       Governor calling you.

        17                  Madam President, continuing through

        18       you, not only is there not any property tax

        19       increase in this budget, but in fact we can

        20       only be responsible for what we in fact do

        21       here.  And I'm saying when you look at and

        22       calculate the things that we've done,

        23       96 percent of the people in this state are

        24       being held harmless as it relates to taxes.



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         1                  Many things that you're talking

         2       about are fees and other things that people do

         3       because they are users of certain services.

         4       And again, when the prices of things have gone

         5       up and we have less money to pay for them, we

         6       need a ways to do it.

         7                  What I would love to see from the

         8       Senate Minority is something that we did when

         9       we were in the minority, which is put forward

        10       a plan.  It's okay to stand across the room

        11       and throw bombs.  It's another thing to

        12       provide a plan that takes us into the future,

        13       that makes the tough choices that had to be

        14       made in this budget, and that uses the money

        15       that was given to us from the federal stimulus

        16       in a way that stimulates the economy in the

        17       State of New York.

        18                  I hope that, you know, as we go

        19       forward through this process, that we'll have

        20       less bomb throwing and more sharing of ideas

        21       of how you in fact spend money that's really

        22       there as opposed to just talking about

        23       restoring money in places without any ideas or

        24       suggestions about where money should be spent



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         1       from outside of invisible slush funds.

         2                  Thank you.

         3                  SENATOR SALAND:    Madam President,

         4       would Senator Parker yield for one more

         5       question?

         6                  ACTING PRESIDENT STEWART-COUSINS:

         7       Senator Parker, do you yield?

         8                  SENATOR PARKER:    Honestly, in the

         9       interests of time, if we can move on, that

        10       would be helpful.

        11                  ACTING PRESIDENT STEWART-COUSINS:

        12       Senator Parker does not yield, Senator.

        13                  Senator Padavan.

        14                  SENATOR PADAVAN:    Did we lose

        15       Senator Oppenheimer?  I wanted to ask her a

        16       few questions.  Is she still with us?  Oh,

        17       there you are.

        18                  ACTING PRESIDENT STEWART-COUSINS:

        19       Senator Oppenheimer, do you yield to a

        20       question from Senator Padavan?

        21                  SENATOR OPPENHEIMER:    Of course.

        22                  SENATOR PADAVAN:    To preface my

        23       question, Senator, I assume you are fully

        24       familiar with the Campaign for Fiscal Equity



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         1       settlement that was arrived at, what it meant

         2       in the City of New York, which of course was

         3       the genesis of the case going back 11 years or

         4       more.  Can you tell me what the settlement

         5       provided for for the City of New York in terms

         6       of increased foundation aid?

         7                  SENATOR OPPENHEIMER:    Well,

         8       through you, Madam President, that is and that

         9       isn't relevant, because the amount that was

        10       actually a party to the CFE case that was

        11       resolved said that only $1.97 billion had to

        12       be spent.  And that has already been exceeded.

        13                  The bill that we did as a

        14       Legislature concerned the whole state and was

        15       a much higher number.

        16                  SENATOR PADAVAN:    Well, let's

        17       stay with the city, if you will, because

        18       that's what I'm most familiar with.  At one

        19       point --

        20                  ACTING PRESIDENT STEWART-COUSINS:

        21       Senator Padavan, are you asking Senator --

        22                  SENATOR PADAVAN:    Will you yield?

        23                  ACTING PRESIDENT STEWART-COUSINS:

        24       Senator Oppenheimer, will you continue to



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         1       yield?

         2                  SENATOR OPPENHEIMER:    Yes, thank

         3       you, Madam President.

         4                  SENATOR PADAVAN:    The $1.9

         5       billion, I think you said $1.97 billion --

         6                  SENATOR OPPENHEIMER:    I believe.

         7                  SENATOR PADAVAN:    Over what

         8       period of time was that to be provided to the

         9       City of New York?

        10                  SENATOR OPPENHEIMER:    Through

        11       you, Madam President, I think it was done --

        12       that amount was already spent in the first two

        13       years, so I think there was a four-year

        14       window.  But it's been spent in two years.

        15                  SENATOR PADAVAN:    So the full

        16       amount that we had agreed to in the settlement

        17       you say -- excuse me.  Will the Senator yield?

        18                  ACTING PRESIDENT STEWART-COUSINS:

        19       Senator Oppenheimer, do you continue to yield?

        20                  SENATOR OPPENHEIMER:    Indeed,

        21       yes.

        22                  SENATOR PADAVAN:    If I understood

        23       you correctly, you're saying that the full

        24       amount that the settlement had provided for



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         1       was already allocated over the past two fiscal

         2       years.

         3                  SENATOR OPPENHEIMER:    That's

         4       correct.

         5                  SENATOR PADAVAN:    Will you yield

         6       again?

         7                  SENATOR OPPENHEIMER:    Yes.

         8                  SENATOR PADAVAN:    What was our

         9       commitment beyond that for the full four

        10       years?

        11                  SENATOR OPPENHEIMER:    For four

        12       years, for entire state, was -- oh.  Well.

        13       I'm having a disagreement with policy.  I

        14       thought the agreement for the State of

        15       New York was $5.54 billion.  That was the

        16       whole state.  But for New York City --

        17                  SENATOR PADAVAN:    I'm sorry, I

        18       didn't hear you.

        19                  SENATOR OPPENHEIMER:    Through

        20       you, Madam President.  I have that down to the

        21       decimal in my desk --

        22                  SENATOR PADAVAN:    Well, round

        23       numbers will do.

        24                  SENATOR OPPENHEIMER:    But what I



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         1       can say is that what we agreed to here -- not

         2       part of the court case, because what I

         3       mentioned to you is the court case.  And the

         4       case has been fully funded, according to the

         5       court's decision.

         6                  But according to what we did here,

         7       we said close to, I think, $4 billion over

         8       four years.

         9                  SENATOR PADAVAN:    Will the

        10       Senator yield?

        11                  ACTING PRESIDENT STEWART-COUSINS:

        12       Senator Oppenheimer, do you continue to yield?

        13                  SENATOR OPPENHEIMER:    Of course.

        14                  SENATOR PADAVAN:    So therefore if

        15       that's the case, accepting your response --

        16       and believe me, I don't ask a question where I

        17       know the answer.  I don't know.  That's why

        18       I'm asking you -- $2 billion would be left,

        19       1.9 from 4-point-something, a little over

        20       $2 billion would be left.  And therefore this

        21       year, if you wanted to divide it equally, we'd

        22       be talking about a billion-dollar increase as

        23       part of that agreement.

        24                  SENATOR OPPENHEIMER:    (Nodding.)



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         1                  SENATOR PADAVAN:    Thank you.

         2                  Will you yield again, Senator?

         3                  SENATOR OPPENHEIMER:    Of course.

         4                  SENATOR PADAVAN:    How much --

         5                  ACTING PRESIDENT STEWART-COUSINS:

         6       Senator Padavan, I'm sorry, please direct your

         7       question through the chair.

         8                  SENATOR PADAVAN:    Yes, I said

         9       would she yield again.

        10                  SENATOR OPPENHEIMER:    Of course I

        11       do, Madam President.

        12                  ACTING PRESIDENT STEWART-COUSINS:

        13       Thank you.

        14                  SENATOR PADAVAN:    How much is in

        15       the budget before us today that would relate

        16       to that billion dollars plus?

        17                  SENATOR OPPENHEIMER:    So let's

        18       see.  The foundation aid is frozen at -- don't

        19       go away.  I got it.  Foundation aid -- well,

        20       this is all the foundation aid -- is frozen at

        21       $14.9 billion.  That's statewide, that's not

        22       New York City.

        23                  SENATOR PADAVAN:    If the Senator

        24       would yield, that's not my question.



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         1                  ACTING PRESIDENT STEWART-COUSINS:

         2       Senator Oppenheimer, do you continue to yield?

         3                  SENATOR OPPENHEIMER:    (Nodding.)

         4                  SENATOR PADAVAN:    How much in

         5       this budget that we have before us reflects

         6       what you outlined to me in your answer, which

         7       was 1 billion plus would be provided under CFE

         8       agreement by virtue of what we did, how much

         9       of that is in this budget?

        10                  SENATOR OPPENHEIMER:    You know, I

        11       don't have the city --

        12                  SENATOR PADAVAN:    Well, let me

        13       ask it this way then, Senator.

        14                  ACTING PRESIDENT STEWART-COUSINS:

        15       Senator Padavan, do you want to restate your

        16       question?

        17                  SENATOR PADAVAN:    What is the

        18       increase for the City of New York in this

        19       budget for this coming fiscal year as opposed

        20       to last?

        21                  SENATOR OPPENHEIMER:    That is

        22       where I am having some difficulty breaking out

        23       New York City.

        24                  What I can tell you is that what



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         1       was structured by the courts for the State of

         2       New York was supposed to have occurred

         3       within -- that settlement was over a four-year

         4       period.  We are now extending it out for three

         5       years after the freeze.

         6                  We are going to be frozen at

         7       37.5 percent for this year and for next year.

         8       Then the following year, it will be at

         9       50 percent, then 70 percent, and in the fifth

        10       year it will be at 100 percent.  So we are

        11       going to reach the full amount only in

        12       2013-2014.

        13                  SENATOR PADAVAN:    Will the

        14       Senator yield?

        15                  ACTING PRESIDENT STEWART-COUSINS:

        16       Senator Oppenheimer, do you continue to yield?

        17                  SENATOR PADAVAN:    I regret that

        18       you're not able to give me the answer.  And

        19       I'm not being critical, I'm just regretting

        20       it.

        21                  How much of the stimulus money is

        22       going to the City of New York in terms of

        23       education funding?

        24                  SENATOR OPPENHEIMER:    I don't



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         1       have a breakout of New York City.

         2                  $625.9 million.

         3                  SENATOR PADAVAN:    Thank you very

         4       much, Senator.  I appreciate your answer.

         5                  On the bill.

         6                  ACTING PRESIDENT STEWART-COUSINS:

         7       Senator Padavan, on the bill.

         8                  SENATOR PADAVAN:    First, let me

         9       say parenthetically to Senator Parker, who I

        10       don't see over there -- there he is -- that

        11       this Minority did present a very comprehensive

        12       budget plan weeks and weeks ago.  Thank you,

        13       Senator.  It's called "A Better Plan for

        14       New York:  A Responsible Economic Stimulus

        15       Budget Plan for New York State."  And I'm not

        16       going to go into all of what's in it, but I'd

        17       be glad to get you a copy of it.

        18                  So whether you agreed with it or

        19       not, the fact remains is we did submit a plan

        20       that we felt was the right way to go.

        21                  But that having been said, let's

        22       get back to my reason for standing in the

        23       first place.  It's clear, based on the numbers

        24       that I've heard Senator Oppenheimer give me,



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         1       and others that I've seen, that what we have

         2       done with regard to the CFE agreement has not

         3       kept faith with it.  That as the Senator

         4       pointed out, $2 billion over two years,

         5       $1 billion a year to the City of New York for

         6       CFE reasons, is just not forthcoming from the

         7       state commitment in terms of its budget.

         8                  However, as the Senator pointed

         9       out, 600-and-some-odd million was provided

        10       through the stimulus.  Now, that, of course,

        11       leaves a gap of roughly somewhere between

        12       $300 million and $400 million.

        13                  Therefore I would say, Madam

        14       President, that the commitment we made in this

        15       Legislature, both houses, and the Governor

        16       last year to the City of New York in terms of

        17       its budget has been denied.  We have not kept

        18       faith with our commitment.  And that is

        19       unfortunate.

        20                  Now, I realize things change.  But

        21       at least let's be honest about it.  Let's

        22       publicly say we're not doing what we said

        23       we're going to do, we're not giving you

        24       everything that you were hoping to get.  We



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         1       are going to make up for part of it by

         2       stimulus money.  But again, that only goes for

         3       the next two years, and what happens after

         4       that, who knows.

         5                  I think it's important that we all

         6       know what sheet of music we're reading from.

         7       And in terms of education, there are points of

         8       view being expressed here that just simply are

         9       not accurate.  And no one had brought up the

        10       issue of CFE, and I thought I should if no one

        11       else was going to, so that we're all clear as

        12       to exactly what we're doing or, more

        13       precisely, what we are not doing.

        14                  ACTING PRESIDENT VALESKY:

        15       Senator Marcellino, on the bill.

        16                  SENATOR MARCELLINO:    Thank you,

        17       Mr. President.  And I will speak on the bill.

        18                  First let me preface my comments by

        19       saying that I respect all members in this

        20       chamber, and my words are not going to be

        21       critical of any member in this chamber.  But I

        22       am going to be critical of a process, a

        23       process that has led to us this point where

        24       people are going to beginning to say, you



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         1       know, how long are we going to be here?  When

         2       is this budget going to come to an end?  When

         3       are you going to vote on this thing?

         4                  And we on this side are asking

         5       questions because we frankly have been

         6       excluded from the process.  We haven't been at

         7       the table.

         8                  And with all due respect to my

         9       colleagues, from what I'm hearing to the

        10       answers to certain questions, I don't think

        11       you were at the table either.  I don't think

        12       you had a part in these negotiations.  I think

        13       the negotiations were done behind closed doors

        14       by three New York City Democrats in a room.  I

        15       refer to them as the "Unholy Trinity."

        16                  This group has created a budget

        17       that has been characterized by the Albany 

        18       Times Union -- not a bastion of

        19       Republicanism -- "State Budget Still Too

        20       High."  The New York Daily News, not exactly a

        21       bastion of Republicanism:  "Democrats Will Pay

        22       for This."  The New York Post:  "Setting

        23       New York Back 30 Years."  Newsday:  "Albany

        24       Gives Long Island A Slap."  The Syracuse 



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         1       Post-Standard:  "New York leaders brag about

         2       cutting spending when budget is actually

         3       10 percent larger."  So much for debate.

         4       Again, the Syracuse Post-Standard:  "Stimulus

         5       Cash Drives Albany's Fuzzy Math."  The

         6       Rochester Democrat and Chronicle:  "Taxes,

         7       Fees Add Up to New York Budget."  Rochester 

         8       Democrat and Chronicle:  "Upstate New York

         9       Business Leaders to Lobby Against This

        10       Budget."  "State Spending, Massive Tax Hikes

        11       Draw Waves of Protest," the Buffalo News.

        12       "Rising utility taxes" -- Senator Parker --

        13       "is not the solution," the Buffalo News.  The

        14       Watertown Daily Times:  "Budget Secrecy."

        15       Binghamton Press and Sun Bulletin editorial:

        16       "Never enough.  New York math increased

        17       spending 9 percent despite $17 billion gap."

        18                  I could go on and on.  They're all

        19       over the place.  Go into the blogs, go into

        20       anything you want.  The process that has led

        21       us to this point has been closed, secretive,

        22       and negative.  It was not open.  People are

        23       not privy to the numbers, people are not privy

        24       to the information.  You're trying to defend



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         1       something that frankly is indefensible.

         2                  This budget spends too much, it

         3       taxes too much, it makes no hard decisions, it

         4       does all the wrong things for all the wrong

         5       reasons.  It should not be passed.  It should

         6       be voted down.  It should have been changed.

         7                  I gave the Governor a lot of

         8       credit.  He introduced a budget in December,

         9       trying to get a head start.  I had great

        10       confidence in him at that time.  He was making

        11       the right comments.  He was talking about

        12       cutting spending and making serious changes in

        13       the way we do business up here.  And then

        14       something happened.  The stimulus happened.

        15                  And this is a process that has led

        16       us to absolute chaos in this house and chaos

        17       in this budget process.  I don't believe you

        18       were at this table.  We certainly weren't at

        19       the table, which is why we're asking all these

        20       questions, trying to get answers so we can go

        21       back to our constituents and give them answers

        22       in response to what they're reading.

        23                  Your phones and our phones are

        24       ringing off the hook.  People want to know:



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         1       How could you possibly support a budget that

         2       has all these taxes and only three people

         3       negotiated it?  The answer is you can't.

         4                  Madam President -- Mr. President.

         5       Gosh, you guys change quick.  Mr. President,

         6       frankly I would prefer Andrea up there, David,

         7       but no hard feelings.  And no disrespect.

         8                  Ladies and gentlemen, this process

         9       has got to change.  This is bad news.  Our

        10       constituents deserve better.  The taxpayers

        11       deserve better.  And quite frankly, we all

        12       collectively deserve better than this which

        13       led us to this day.

        14                  Thank you very much.

        15                  ACTING PRESIDENT VALESKY:    Thank

        16       you, Senator Marcellino.

        17                  Senator Hannon, on the bill.

        18                  SENATOR HANNON:    I rise because

        19       there were several comments by Senator Parker

        20       that I thought really should be clarified in

        21       terms of their accuracy.

        22                  The first one, the comments were

        23       about conference committees; the second one

        24       was about responsibility; the third was what a



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         1       tax is; and the fourth has already been

         2       covered by Senator Padavan, and I won't repeat

         3       myself.

         4                  But in regard to conference

         5       committees, Senator Parker said they're only a

         6       couple of years old.  He's wrong.  They

         7       started in the year 2000.  And they had an

         8       enormous salutary effect on bettering the

         9       process.

        10                  Now, I was cochair because a member

        11       of the Assembly and a member of the Senate

        12       were cochairs.  I was cochair, but it wasn't

        13       just majority, from Senators, it was a

        14       minority member of the Senate.  Then it would

        15       have been the same pairing on the other side,

        16       a minority member of the Assembly.

        17                  The discussions, the presentations

        18       were done in public.  Two hundred, 400 people

        19       were there.  It was a large conference room in

        20       the Legislative Office Building.  It was not

        21       all of the discussions, it was not all of the

        22       negotiations, but there were substantial

        23       parts.  And as they were held, there was an

        24       accountability, there was an openness, and



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         1       there was a discussion.

         2                  People who were interested in the

         3       healthcare aspects that were being discussed

         4       had a chance to know what was being discussed,

         5       to mark the negotiations, to know where they

         6       had to concentrate their efforts.  They were

         7       broadcast throughout this Capitol, and they

         8       were broadcast throughout the state.  All of

         9       that is missing from this process this year.

        10                  Senator Parker, those went on not

        11       just when Eliot Spitzer got into office, not

        12       just when Governor Paterson took over, they

        13       were done under Pataki.  They were a part of

        14       the reforms that the former majority leader,

        15       Joe Bruno, advocated.  They were not easy.

        16       They were a lot of hard work.

        17                  As the Senate cochair, I know that

        18       I had members in the Assembly, majority and

        19       minority over there, taking issue with what I

        20       said.  And I had to defend myself -- not just

        21       here on the floor, I had to defend myself in

        22       front of everybody, explain.  Were my

        23       arguments good?  Did I have to change my mind?

        24       Yes.  All of that went on.  And the same thing



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         1       would happen when someone would start arguing

         2       with Assemblyman Gottfried or Assemblyman

         3       Grannis or Assemblywoman Barbara Clark, and it

         4       went on and on.  Kevin Cahill.

         5                  So there was a lot of give and

         6       take.  That's all been lost.  And the people

         7       who are the biggest losers are not just us,

         8       it's the people of this state.

         9                  So let me correct that record.  You

        10       just weren't correct.  And I want you to

        11       know -- and I don't get up because I'm arguing

        12       with you, I get up because I want, as we go

        13       forward, you to know that if I'm here on this

        14       floor next year arguing with you, it's because

        15       we've gone through a conference committee

        16       process and the budget would be that much

        17       better.

        18                  Now, let me go to my second point

        19       that I want to clarify.  You said you're not

        20       responsible for things in this budget that you

        21       didn't put in there, that maybe somebody in

        22       the Assembly put in there or somebody in the

        23       executive branch put in there.

        24                  Well, let me tell something.  It's



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         1       your bill, and you're responsible for

         2       everything that's in each one of these bills.

         3       We were when it was our bills.  If something

         4       went in there, we knew it.  We had somebody

         5       sign off on every page of every bill before it

         6       went to print.  You're responsible.

         7                  And then you started to say, well,

         8       you know, we're only responsible for our

         9       actions.  And you were weaving that in with

        10       the question of whether a raise in utility

        11       rates would be something we're responsible

        12       for.

        13                  Well, there's something we are very

        14       responsible for.  If we raise the fees on the

        15       utility companies to, quote, administer the

        16       PSC, or we raise the covered lives assessment

        17       or we raise the patient services assessment or

        18       we raise the taxes on HMOs -- which we have

        19       done and are doing by almost a billion

        20       dollars -- and that's passed on to the

        21       families in New York, we're responsible.

        22                  Now, I'm not voting for that,

        23       because I don't think that's appropriate.  But

        24       if you vote for it, you're responsible.



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         1       Because that's what a budget is.  This is

         2       where the buck stops.

         3                  So I just want you to know you

         4       can't duck it because you call it something

         5       else.  It's a tax, it hurts people, they have

         6       to pay, and it's the wrong thing to do in the

         7       middle of a recession or a depression.

         8                  Thank you.

         9                  ACTING PRESIDENT VALESKY:    Thank

        10       you, Senator Hannon.

        11                  Senator Klein.

        12                  SENATOR KLEIN:    Mr. President,

        13       can we stand at ease till the call of the

        14       Majority Leader.

        15                  And I want to recognize Senator

        16       Libous for an announcement.

        17                  ACTING PRESIDENT VALESKY:

        18       Senator Libous.

        19                  SENATOR LIBOUS:    Mr. President,

        20       there will be an immediate Republican

        21       conference in Room 315, please.

        22                  ACTING PRESIDENT VALESKY:

        23       Immediate Republican conference in Room 315.

        24                  SENATOR KLEIN:    And on behalf of



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         1       the Democratic Conference, there will be an

         2       immediate Democratic conference in the

         3       Majority Conference Room.

         4                  ACTING PRESIDENT VALESKY:

         5       Immediate Democratic conference in the

         6       Majority Conference Room, Room 332.

         7                  The Senate will stand at ease.

         8                  (Whereupon, the Senate stood at

         9       ease at 3:23 p.m.)

        10                  (Whereupon, the Senate reconvened

        11       at 5:50 p.m.)

        12                  ACTING PRESIDENT VALESKY:

        13       Senator Klein.

        14                  SENATOR KLEIN:    Mr. President,

        15       can we lay the current bill aside for the day.

        16                  ACTING PRESIDENT VALESKY:

        17       Calendar 132 is laid aside for the day.

        18                  SENATOR KLEIN:    Mr. President, I

        19       do have a motion.  I wish to call up Calendar

        20       Number 86, Assembly Print Number 5823.

        21                  ACTING PRESIDENT VALESKY:    The

        22       Secretary will read.

        23                  THE SECRETARY:    Calendar Number

        24       86, by Member of the Assembly Latimer,



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         1       Assembly Print Number 5823, an act to amend

         2       the Environmental Conservation Law.

         3                  ACTING PRESIDENT VALESKY:

         4       Senator Klein.

         5                  SENATOR KLEIN:    Mr. President, I

         6       now move to reconsider the vote by which this

         7       Assembly bill was substituted for my bill,

         8       Senate Print Number 1901, on March 10th.

         9                  ACTING PRESIDENT VALESKY:    The

        10       Secretary will call the roll on the

        11       reconsideration.

        12                  (The Secretary called the roll.)

        13                  THE SECRETARY:    Ayes, 62.

        14                  ACTING PRESIDENT VALESKY:

        15       Senator Klein.

        16                  SENATOR KLEIN:    Mr. President, I

        17       now move that Assembly Bill Number 5823 be

        18       recommitted to the Committee on Codes and that

        19       my Senate bill be restored to the order of

        20       third reading.

        21                  ACTING PRESIDENT VALESKY:    So

        22       ordered.

        23                  SENATOR KLEIN:    Mr. President, I

        24       now offer the following amendments.



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         1                  ACTING PRESIDENT VALESKY:

         2       Amendments received.

         3                  Senator Klein.

         4                  SENATOR KLEIN:    Mr. President,

         5       are there any substitutions at the desk?

         6                  ACTING PRESIDENT VALESKY:    There

         7       are substitutions.

         8                  The Secretary will read.

         9                  THE SECRETARY:    On page 12,

        10       Senator Kruger moves to discharge, from the

        11       Committee on Finance, Assembly Bill Number

        12       150C and substitute it for the identical

        13       Senate Bill Number 50C, Third Reading Calendar

        14       130.

        15                  On page 13, Senator Kruger moves to

        16       discharge, from the Committee on Finance,

        17       Assembly Bill Number 157B and substitute it

        18       for the identical Senate Bill Number 57B,

        19       Third Reading Calendar 136.

        20                  On page 13, Senator Kruger moves to

        21       discharge, from the Committee on Finance,

        22       Assembly Bill 159B and substitute it for the

        23       identical Senate Bill Number 59B, Third

        24       Reading Calendar 138.



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         1                  On page 13, Senator Kruger moves to

         2       discharge, from the Committee on Finance,

         3       Assembly Bill 156B and substitute it for the

         4       identical Senate Bill Number 56B, Third

         5       Reading Calendar 135.

         6                  And on page 12, Senator Kruger

         7       moves to discharge, from the Committee on

         8       Finance, Assembly Bill Number 151A and

         9       substitute it for the identical Senate Bill

        10       Number 51A, Third Reading Calendar 131.

        11                  ACTING PRESIDENT VALESKY:

        12       Substitutions ordered.

        13                  Senator Klein.

        14                  SENATOR KLEIN:    Mr. President, at

        15       this time I move to lay the entire calendar

        16       aside for the day.

        17                  ACTING PRESIDENT VALESKY:

        18       Calendar Number 30 is laid aside for the day.

        19                  SENATOR KLEIN:    And I move that

        20       we adjourn until tomorrow, Thursday,

        21       April 2nd, at 9:00 a.m.

        22                  ACTING PRESIDENT VALESKY:    There

        23       being no further business to come before the

        24       Senate, on Senator Klein's motion, the Senate



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         1       will stand adjourned until Thursday,

         2       April 2nd, at 9:00 a.m.

         3                  (Whereupon, at 5:52 p.m., the

         4       Senate adjourned.)

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