May 26, 2012 · www.gothamgazette.com

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From Weiner to Weprin
July 7th, 2011

The Queens and Brooklyn Democratic parties have reportedly selected State Assemblymember David Weprin as the party’s choice to replace Anthony Weiner as the Congress member from New York’s 9th District.

He will face an as yet to be determined Republican — and maybe a Conservative too — in a special election on Sept. 13. Although Democrats have held the seat for decades, Republicans hope they have an opening because of Weiner’s demise and, by New York City standards, a fairly high number of registered Republicans in the district.

Weprin served on the City Council where he chaired the powerful Finance Committee until he left to make an unsuccessful run for city comptroller, coming in fourth in a field of four. He then moved to the State Assembly, replacing his brother, Mark, who had been elected to his old council seat.

Weprin reportedly has said he would not try to run for a full term next year — a key issue since the district is likely to be redistricted out of its existence leaving meaning he would have had to take on another Queens incumbent if he wanted to stay in Washington. This could lead the way to Weprin’s making another bid for city office — comptroller, perhaps.

If Weprin wins on Sept. 13, there then could be yet another special election – that one to fill his Assembly seat. That post has been held by one member of the Weprin family or another since 1971.

By Gail Robinson on July 7, 2011, 3:11 pm
In category: Albany, Electoral Politics, Governing | 2 Comments »

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Developers' Dollars
July 5th, 2011

The New York Post’s David Seifman reported Sunday that developers left without a candidate in the 2013 mayoral race after the demise of Rep Anthony Weiner might support Public Advocate Bill de Blasio. This has the appeal of a man bites dog story — de Blasio a favored candidate of many unions and the Working Families Party, would seem an unlikely politician for developers to embrace.

Whatever the merit of Seifman’s story, it was a little puzzling for its omission of at least one candidate who already has a lot of support from the real estate industry: Council Speaker Christine Quinn. Using Gotham Gazette’s Councilpedia, we examined Quinn’s major contributors for the 2013 race (many of who actually gave in 2007 and 2008, before the extension of term limits sunk Quinn’s 2009 run for Gracie Mansion). And we discovered a large number of $4,950 contributions — the maximum allowed for citywide candidates — from people involved in real estate.

In a number of cases, several people associated with a company anted up. At least six people
with links to Rudin Management, one of the city’s largest building developers and owners, gave $4,950, as did five members of the Gural family of the global real estate firm Newmark Knight Frank and the president of Newmark, James Kuhn. Three members of the Walentas family of Two Trees Management, which has developed much of DUMBO< gave $4,950 each, as did two executives with the company, Amish Patel and Richard Shill.
Thee people associated with Rose Associates opened their wallets for the maximum, as did two Roses with the Georgetown Co. At least five people with ties to The Benjamin Companies on Long Island gave Quinn $4,950, and so did at least four people with ties to Related. And so on.

More on the money trail after the jump
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By Gail Robinson on July 5, 2011, 3:40 pm
In category: City Hall, Environment, Gotham City, Governing | No Comments »

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Hoyt's Resignation Letter
June 30th, 2011

Here is former Buffalo Assemblyman Sam Hoyt’s resignation letter. Hoyt will be taking up a “senior position” in the Empire State Development Corporation. Hoyt was found in 2008 to have carried on an affair with a 23-year-old legislative intern from 2003 to 2005 and was subsequently denied intern help by Assembly Speaker Sheldon Silver.  Hoyt is a close ally of Gov. Andrew Cuomo. Read the rest of this entry »

By David King on June 30, 2011, 5:15 pm
In category: Albany, Eye on Albany, Governing | No Comments »

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Why Sen. Kevin Parker Got Mad
June 25th, 2011

Last night as the country watched the New York State Senate vote on same-sex marriage things came to a jarring halt. Lt. Gov. Robert Duffy, who was presiding over the chamber, called session into recess to find out what was happening on the floor. Were you watching? Did you wonder what was going on?

Essentially the Senate rules were changed in a backroom agreement before session started and then changed again during the vote to make sure it would be concluded to make the 11 p.m. newscasts.

Sen. Kevin Parker, a long time proponent of same-sex marriage, was informed by Senate staff that he would not be able to explain his vote. He was livid. He cursed out the governor and eventually stormed to the podium where Duffy was presiding — a number of other Democratic senators followed him, seemingly to calm him down.

Earlier when Sen. Ruben Diaz tried to lay the marriage bill aside he was ignored. Normal Senate procedure allows for any senator to lay a bill aside for debate. It gives legislators a chance to debate the bill then when they vote, they again have the chance to explain their vote. But the rules weren’t the same.

Parker told the Gazette that around 7 or 8 p.m. the Senate Democratic conference met and discussed a deal. “We were informed of he procedure,” said Parker. “Everyone knew Rev. Diaz  was going to lay the bill aside but we agreed not to debate the bill after he laid it aside. We would call the roll and all be able to explain our votes. We would be given two minutes each.”

The Gazette and a number of other sources reported the proposed limited debate earlier in the week. I was told to expect it by multiple senators earlier yesterday morning. Read the rest of this entry »

By David King on June 25, 2011, 6:19 pm
In category: Albany, Civil Rights, Eye on Albany, Governing, Law | 17 Comments »

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More Elections, Less Suspense
June 9th, 2011

Correction: As a reader points out, there is a fourth open Assembly seat: the one previously held by Audrey Pheffer, who let the legislature to become Queens County clerk. The post has been corrected and material about Pheffer’s seat added.

Less than 24 hours after Gov. Andrew Cuomo announced Assemblymember Jonathan Bing’s appointment as special deputy superintendent of the New York Liquidation Bureau, City Hall reported that Democrat Daniel Quart, a community board member and lawyer, is the frontrunner for the seat from Manhattan’s 73rd Assembly District.

With the election not even scheduled yet, U.S. Rep. Carolyn Maloney, whose congressional district includes Bing’s Assembly district, assured City Hall that Quart will be the candidate.

No disrespect of Quart intended but the rapid development underscores once again the rather undemocratic nature of special elections — especially those in districts, such as this one, where one party holds a lopsided edge.

More on threefour Assembly vacancies and how they’ll be filled after the jump.
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By Gail Robinson on June 9, 2011, 2:51 pm
In category: Albany, Electoral Politics, Eye on Albany, Governing | No Comments »

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Weiner's Millions
June 7th, 2011

However low his political stock may have fallen this week, Anthony Weiner’s campaign bank account balance remains high, leaving the Tweeting representative from Brooklyn and Queens with lots of cash and perhaps no place to spend it.

According to city Campaign Finance Board records, Weiner has collected $5.1 million for a likely mayoral run in 2013, most of it raised in 2007 and 2008. That was back in the days when Weiner — single and perhaps not yet on Twitter — was coming off a strong showing in the 2005 Democratic mayoral primary and Mayor Michael Bloomberg still dreamed of the White House, not a third term in Gracie Mansion. Weiner backed out of the 2009 race — reportedly much to Bloomberg’s relief — after the mayor extended term limits and decided to run for re-election. Records show Weiner has not raised any money since 2008 — although he has returned some contributions during that period.

As he is allowed to do under city campaign law, Weiner rolled the money over into a new account for 2013. And he has made some modest expenditures.

That leaves him with somewhere around about $4 million as of the last filing deadline: January 2011. (For a summary of Weiner’s raising and spending go here.)

Weiner has a substantial fundraising edge over his closest rival — Christine Quinn who has raised about $3.2 million and spent a little less than $500,00 of it — and dwarfs the amounts raised by other possible mayor contenders Scott Stringer (a little les than $1.1 million raised), John Liu ($513,472) and Bill de Blasio ($392,576).

As they say, though, money isn’t everything. And however much Weiner might like to use funds to say escape to a dessert island where no one Tweets (assuming there is such a place), he is fairly constrained about how he can use the money, according to Eric Friedman, director of external affairs for the Campaign Finance Board.

More on what he can and can’t do after the jump.
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By Gail Robinson on June 7, 2011, 5:24 pm
In category: City Hall, Electoral Politics, Gotham City, Governing | No Comments »

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For CityTime Company, the Contracts Keep Coming
June 2nd, 2011

New York’s City almost epic problems with Science Applications International Corp., or SAIC, have not kept the Virginia company from continuing to rake in multimillion, if not billion, dollar contracts from other governments.

This week, the Bloomberg administration cut more ties with SAIC, the main contractor on the automated payroll system, cancelling a $50 million deal with the company on what city officials described as an unrelated system

The move reported by the Wall Street Journal earlier this week, came after the arrest of a former company executive, Gerald Denault, on charges he accepted millions of dollars in kickbacks on the City Time contract.

(Find out who’s hiring SAIC now, after the jump.)
Read the rest of this entry »

By Gail Robinson on June 2, 2011, 2:26 pm
In category: City Hall, Governing, Public Finance, Tech | 4 Comments »

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Ethics Deal Approaches
June 2nd, 2011

A deal for a sweeping ethics package could be announced as soon as today, say some legislators. Not all of the details of the deal are clear. But the package is expected to replace the Public Integrity Commission with a 12-member body equally appointed by the governor and legislature.

The body would oversee the legislative and executive branches as well as lobbying. Legislators would be required to publicly disclose their outside income and legislators who are lawyers would have to reveal any clients they have with business in front of the state. Judges would be allowed to take away the pensions of lawmakers convicted of felony abuse of their office. In true Albany fashion the bill would purportedly make it easier for legislators to accept drinks and meals from lobbyists–Albany restaurants have complained that current ethics laws are putting a cramp in their cash registers.  And legislators need to a drink now and again.

Both Assembly Speaker Sheldon Silver and Dean Skelos said they expect a deal shortly. but Silver would not discuss the details of the bill until all parties were in agreement. Cuomo, yesterday told reporters that he hopes to reach a deal before the end of session. He again invoked the specter of a “Moreland Commission” that would give the executive branch almost unlimited ability to investigate legislators.

Skelos who has previously shot down the need for a Moreland Commission told reporters, “I don’t believe were going to go to a Moreland Act, and we are going to get ethics reform before this legislative session is over.”

By David King on June 2, 2011, 7:21 am
In category: Albany, Eye on Albany, Governing | No Comments »

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Last Ditch Push On Redistricting
June 1st, 2011

As word spread around the capital today of an impending announcement of a deal on ethics legislation good government groups converged on Albany to pressure legislators on a seemingly forgotten good government issue–independent redistricting. ReshapeNY, a group made up of the League of Women Voters, New York Public Interest Group and Citizen’s Union which is a sister to the Gotham Gazette, brought around 60 constituents to Albany to meet with around 40 legislators to ask them to support independent redistricting legislation proposed by Gov. Andrew Cuomo or Sen. Mike Gianaris. Both have bills would take the redistricting process out of the hands of legislators and give it to an independent body. Cuomo’s version of the bill would give him more appointments to such a body.

Gianaris addressed the crowd of lobbyists telling them that he hoped they would be back next year, “so we can celebrate.”  But so far there hasn’t been much cause for celebration. Senate Republicans have bottled up both the Cuomo and Gianaris bill.

“They have refused to acknowledge the bill’s existence and the Governor’s as well,” Gianaris told the Gazette. “They have gone back on their own campaign promise and not only that but they are activley impeding the progress of the bill said they support.” Senate Republicans denied Gianaris a hearing on the legislation and the bill has not made it through the committee process. Gianaris said that, “timing is everything” and that he thinks the “reality of governor’s strength on the issue” will eventually lead to a break in the impasse.

Cuomo promised to veto any district lines drawn up by the legislature. Cuomo has not however made independent redistricting a major part of his state-wide tour.

With only nine days of session left this year, the issue of taking the redistricting process out of the hands of legislators and into an independent commission has seemingly been lost in the last minute flurry surrounding other legislation like the tax cap, ethics legislation and gay marriage. There has been some talk that the legislation could be wrapped up in a last minute deal with other issues but so far it seems only to be talk. Dick Dadey, executive director of Citizens Union, said although he had been concerned about the possibility it now seems unlikely. “This is the number 1 reform issue,” said Gianaris. “This legislation should stand on its own.”

Senate Republicans, a number of whom pledged to support independent redistricting as proposed by Cuomo and Gianaris, saying that the only way to legally change the redistricting process would be through a constitutional amendment. A constitutional amendment would take a few years to approve and it would insure that the same method for redistricting is used this year. The next redistricting would take place in 2022.

By David King on June 1, 2011, 4:16 pm
In category: Albany, Eye on Albany, Governing | 1 Comment »

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CityTime Manager Fudges Timesheets
May 25th, 2011

In an impromptu press conference, Comptroller John Liu revealed even the project manager of the Bloomberg administration’s plagued time keeping project couldn’t keep his own time.

According to a letter Liu received today, Science Application International Corp., the prime contractor on the project, put Gerard Denault on administrative leave in December after the project manager fudged his own time sheets. As a result, the company will refund the city $2.5 million.

“The very company entrusted by our city to build a time keeping system for New York City employees has grossly mismanaged their own time keeping and in the process overcharged the city taxpayers for sums of money still to be determined,” Liu said. “This is a sad day for New York City taxpayers.”

Liu said today he would ask the adminsitration to work with him on this issue. He also called for the administration to freeze all payments to SAIC and force the Department of Investigation to conduct a comprehensive review of other possible violations.

In response, Bloomberg spokesperson Marc LaVorgna sent over the following statement:

We will withhold any and all payments until the completion of the Department of Investigation’s ongoing review, which includes a forensic accountant we added last year. The project is essentially fully online and operational and SAIC’s contract with the city expires on June 30th. We already had stated we were not renewing the contract. SAIC is owed $32 million for the completion of the project; no payments will be made until the review is completed.

CityTime has been the bane of Bloomberg’s third term. Mired by delay and cost overruns, the debacle culminated in December when federal authorities indicted six employees for using shell companies to divert city money into their own pockets. Originally the project was supposed to cost about $60 million. Its price tag now is more than $700 million.

By Courtney Gross on May 25, 2011, 5:41 pm
In category: City Hall, Economy, Electoral Politics, Eye Opener, Gotham City, Governing, Measuring UP, Public Finance, Work and Labor, nextNY | No Comments »

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Living Wage Gets Its Hearing
May 12th, 2011

Labor and city leadership collided this afternoon at a packed and feisty hearing on legislation to require city subsidized developers pay a living wage.

Under a bill introduced nearly a year ago, recipients of more than $100,000 in financial assistance would have to pay all of their employees either $11.50 or $10 an hour plus benefits. The controversial bill has garnered 30 sponsors at the council, but it does not have the Bloomberg administration’s support. Council Speaker Christine Quinn, who controls the council’s agenda, has yet to take a position on the measure.

At today’s hearing, the chief of staff to the deputy mayor for economic development, Tokumbo Shobowale, endured two and half hours of back and forth with council members — the vast majority of those in attendance support the proposal. Shobowale attempted to convince the council that the adminsitration agrees with the premise of raising the standard of living for the working poor. It questions, Shobowale argued, whether a wage mandate is the way to do it.

“It’s not a philosophical difference,” Shobowale said. “It’s looking at the data.”

The hearing followed the release of a study on Monday by the Economic Development Corp., which argued the living wage proposal would result in between 33,000 and 100,000 job losses for the city. The study’s methodology and findings drew ire from supporters of the bill today.

“The administration is so full of it, you might want to consider a high-fiber diet,” said Councilmember Jumaane Williams. “It might help with that situation.”

The hearing amounted to a clash of academics and methodology — with supporters citing studies that supported living wage mandates, and the adminsitration calling its recently released analysis solid, current and comprehensive.

Just this morning, supporters of the bill released a counter analysis of the city’s living wage study, which argued its modeling did not rule out other factors that could affect job growth (like an economic downturn). Supporters also claim the city-sponsored study examines the wrong population of projects — it includes an as-of-right subsidy for industrial and commercial properties the bill is not meant to capture.
Read the rest of this entry »

By Courtney Gross on May 12, 2011, 6:37 pm
In category: Albany, City Hall, Community Development, Economy, Electoral Politics, Eye Opener, Gotham City, Governing, Law, Measuring UP, Public Finance, Work and Labor, nextNY | 3 Comments »

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School Elections to Resume
May 12th, 2011

The incredibly attenuated, disrupted and confusing elections for the virtually powerless Citywide And Community Education Councils continue. The Department of Education has just announced the voting period for parents will be May 18 to May 25.

In the announcement, Chancellor Dennis Walcott said any votes cast from May 1 to May 7 –when the election came to a halt — will not be valid.

The parents vote is only advisory. Officials of school parents associations can consider those recommendation when they cast their votes — the ones that count — for members of 32 community education Councils, the Citywide Council on High Schools, the Citywide Council on English Language Learners, the Citywide Council on Special Education and the District 75 Council. That round will take place May 27 to June 3, and the new members will be seated by July 1.

By Gail Robinson on May 12, 2011, 4:38 pm
In category: Education, Electoral Politics, Gotham City, Governing | No Comments »

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Koppell Would Consider Motion to Discharge for Living Wage
May 11th, 2011

Councilmember Oliver Koppell told Gotham Gazette today he would consider triggering a rare council rule to bring his living wage bill to the floor should Council Speaker Christine Quinn choose to oppose it.

“I would consider it, yes,” said Koppell at the Emigrant Savings Bank. “I’m hoping it doesn’t come to that. I’m hoping to convince the speaker to support this or some version of this.”

Typically legislation does not move at the City Council unless it has earned the support of the speaker. Quinn refused to say this afternoon whether she would bring the legislation to the floor or when she would decide whether or not to support it.

The bill, which has strong backing from many of the city’s unions, would require city subsidized developers pay a living wage. The Bloomberg adminsitration does not support the measure. On Monday, the city Economic Development Corp. released a study claiming a wage mandate would stall development and reduce jobs in the five boroughs.

Koppell said today, “The assumptions of the mayor are more than questionable.”

Koppell’s bill has been stalled in committee for nearly a year, despite the fact it has garnered 30 sponsors.

At the beginning of Quinn’s tenure — and in the name of transparency — Quinn revised the council rules to make it easier to bring a bill to the floor if it was stalled in committee. A council member must get seven members to sign a memo to bring the bill to the floor. The full council then determines whether the legislation should have a formal vote.

This procedure is rarely ever used and is considered an affront to the speaker’s leadership.

By Courtney Gross on May 11, 2011, 3:51 pm
In category: City Hall, Electoral Politics, Eye Opener, Gotham City, Governing, Land Use, Law, Measuring UP, Public Finance, Work and Labor, nextNY | No Comments »

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Quinn Mum on Living Wage Decision
May 11th, 2011

Council Speaker Christine Quinn refused to take a position on legislation to require a living wage this afternoon, but instead said she would review a recently released study and forthcoming testimony on the matter.

The Economic Development Corp. released a study Monday which found requiring a living wage mandate at city subsidized developments would result in job losses. Legislation to require such wage mandates has been pending at the council for more than a year.

The bill will get its first hearing tomorrow, and both opponents and supporters are scheduled to make a strong showing. Quinn said today she would not attend the hearing.

“We are looking forward to a robust hearing,” Quinn said. “I’m looking forward to seeing the testimony from both the proponents and the opponents. Having the portions of the EDC report that are out there will make the hearing a more informed and interesting hearing.”

When asked if she knew when she would make a decision on whether to bring the bill to a vote, Quinn said: “When I have one.”

Quinn would not say whether the bill would eventually get to the floor.

Already 30 council members have signed on to the legislation. The lead sponsors of the bill, council members Oliver Koppell and Annabal Palma, could file a motion to discharge — which would send the bill to the floor if it had enough support outside of the speaker’s office. The move has only occurred once during Quinn’s tenure.

By Courtney Gross on May 11, 2011, 2:42 pm
In category: Albany, City Hall, Electoral Politics, Eye Opener, Gotham City, Governing, Land Use, Law, Measuring UP, Work and Labor, nextNY | 2 Comments »

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Case Management Back on the Chopping Block
May 10th, 2011

Back in March, the city’s Department for the Aging was prepared to close more than 100 senior centers thanks to a cut in the state budget.

Those centers were eventually given a reprieve from the State Legislature.

Some expected senior centers, a frequent target in the Bloomberg administration’s recent budget cuts, to make it back on the chopping block last week. But it was the opposite.

The city will open about 10 new “innovative” senior centers in the next fiscal year, said a spokesperson at the department. Some will be completely new centers, others will be expansions of existing facilities. One of the centers will be exclusively for LGBT elderly.

“Innovative senior centers will have bigger budgets, have focus on health and wellness and still provide meals, information and referrals,” said Christopher Miller, a spokesperson for the Department for the Aging.

The news has not quelled opposition from advocates for the elderly, who still say the mayor’s executive budget proposal hurts senior services.

Bobbie Sackman, the director of public policy at the Council of Senior Centers and Services, pointed to the largest cut in the department — a $6.6 million decrease for case management services. The same cut was proposed by the Bloomberg adminsitration last year, but the City Council reversed it.

This time around the department plans to cut about 30 percent from its case management contracts, which now link 18,000 seniors to services.

“Some of them are just going to drop through the cracks,” said Sackman. “There is only so much you can do when you lose a third of your work force.”

Sackman and other advocates will rally at City Hall tomorrow to draw attention to the cuts.

With so many other cuts under consideration, including thousands of teacher layoffs, it’s unclear whether this will become a priority at the City Council.

In response to the criticism, Miller said, “The Department for the Aging will work with its case management provider agencies to consider alternate ways to restructure the service to minimize the impact on the city’s most fragile and isolated seniors.”

By Courtney Gross on May 10, 2011, 5:44 pm
In category: Albany, City Hall, Electoral Politics, Eye Opener, Gotham City, Governing, Law, Measuring UP, Public Finance, Social Services, nextNY | No Comments »

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Update on Ed Council Elections
May 10th, 2011

A press release just out from Advocates for Justice says the elections for Citywide and Community Education Councils are on hold for the time being.

(For the runup to this, see below.)

In a statement the group’s president, Arthur Z. Schwartz, said advotes, representing the New York City Parents Union, met with lawyers for this city and the Department of Education today. “All parties agreed that the discussion and negotiations pertaining to this matter will be kept confidential at this time. However, we did agree … that the election processes for the [councils] are on hold. Any information to the contrary is inaccurate,” Schwartz’s statement said,

By Gail Robinson on May 10, 2011, 4:39 pm
In category: Education, Electoral Politics, Gotham City, Governing | No Comments »

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Clash at IDA Board Over Study
May 10th, 2011

A small spat erupted at this morning’s Industrial Development Agency board meeting, when Bronx borough president appointee Albert Rodriguez questioned the legitimacy and release of the city’s living wage study.

Rodriguez chastised the Economic Development Corp., which is the parent agency to the Industrial Development Agency, for hastily releasing the study’s executive summary to the press before giving a copy to the board on Monday. He also seriously questioned the report’s findings, which suggest a living wage mandate for city subsidized developments would result in job losses. Legislation to require similar wage standards is currently ruminating at the City Council.

Rodriguez called the study “political football for the interest of the Bloomberg adminsitration” and “very flawed.”

“This was a waste of money,” Rodriguez said. “We could have hired nine more teachers.”

The IDA board authorized the agency to spend $1 million on the study, which was conducted by Boston-based consulting firm, Charles River Associates.

The study’s executive summary was released yesterday afternoon in anticipation of a City Council hearing scheduled for Thursday, said EDC President Seth Pinsky. The City Council had asked the agency to accelerate the study’s release so it could discuss the findings at the hearing. The full report will be released in the “coming weeks,” Pinsky said.

In defense of the study, Pinsky said it was “disappointing” officials would allege the agency was playing politics.

“I think [the study] is very similar, in fact, to the approach that’s been taken on many of the studies that have been cited by proponents of wage mandates,” Pinsky said. “What the study found was the legislation that has been proposed in the City Council here in New York is dramatically different from wage mandate legislation that has been proposed across the country. The additional requirements that are put into this particular legislation… they would make it extremely difficult and unlikely that people would continue to take the benefits.”

Pinsky said there are other ways to create better “living standards,” including expanding the benefits of the earned income tax credit. Any change in that tax credit would need federal, state and city approval. Pinsky also said the agency is conducting an internal study on how it can expand jobs in various middle income sectors, like construction or health care.

“There is nobody on either side of this debate who doesn’t want to figure out a way to raise the living standards of the least fortunate members of society,” Pinsky said. “The question is: Is this the right way to do it?”

The study found living wage policies would increase the standard wage at city subsidized developments, but could result in substantial job losses — anywhere from 33,000 to 100,000. Immediately after the executive summary was released, a Bloomberg spokesperson reiterated the administration’s opposition to the bill.

Rodriguez too is not without political motives. His boss, Bronx Borough President Ruben Diaz Jr., proposed the living wage legislation after the City Council rejected a proposal to develop the Kingsbridge Armory in the borough. The proposal was defeated because the developer would not promise to force tenants to pay a living wage.
Read the rest of this entry »

By Courtney Gross on May 10, 2011, 12:26 pm
In category: City Hall, Community Development, Economy, Electoral Politics, Eye Opener, Gotham City, Governing, Land Use, Law, Public Finance, Work and Labor, nextNY | 1 Comment »

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Living Wage Study Says Policy Costs Jobs
May 9th, 2011

After much anticipation, the city Economic Development Corp. released a $1 million study on living wage policy today, which finds implementing higher pay standards at city subsidized developments would cost jobs.

The study examines legislation at the City Council to require any entity who recieves more than $100,000 in financial assistance from the city to pay a living wage. Thirty council members have signed on in support of the measure. Council Speaker Christine Quinn has not revealed her position. Although the speaker has Ok’d a hearing on the bill, which is scheduled for Thursday.

The adminsitration called for the study, which was conducted by Boston-based consulting firm Charles River Associates, last year after the City Council defeated a controversial development at the Kingsbridge Armory. The developer refused to guarantee tenants of the proposal would pay a living wage.

The study found certain development projects would no longer be “financially feasible” if the city adopted a living wage mandate. As a result, it argues, the city would lose jobs.

In response to the study, Andrew Brent, a mayoral spokesperson, released the following statement:

“The study is clear: the legislation would result in major job losses at all income levels and particularly among low-income New Yorkers. The biggest job losses would occur in the areas with the highest unemployment at a time when too many New Yorkers are without jobs as it is. The legislation would have a very harmful effect on growth opportunities of small businesses and the creation of affordable housing, and it would reduce overall private investment in New York City by an estimated $7 billion. Aggregate wages among low-skilled workers would not change because any gains among some workers would be more than offset by families losing employment opportunities entirely. The goal of increasing wages among New Yorkers of course is a good one, but this type of approach in other cities hasn’t just failed, it’s done so with severe consequences for job-seekers and businesses.”

But not everyone was thrilled with the results. In response to the study, Comptroller John Liu (a frequent critic of the Economic Development Corp.) released the following statement:

“The EDC’s claim that a living wage kills jobs shows just how distorted the agency’s operations have become. The proposed living wage would be a requirement on new projects that are heavily subsidized by taxpayers. It may curtail the number of new minimum wage jobs, with the hope that these new jobs would then pay a decent wage. The claim of job losses is rhetoric at its worst.”

Asked what he thinks the study means for the living wage legislation currently under consideration at the City Council, Paul Sonn, legal co-director of the National Employment Law Project, still seemed optimistic.

“The council I’m sure will give it careful consideration,” Sonn said. “We expect them to look at more rigorous research, which includes other studies and hearing the real world experiences of other cities.”

And for your reading pleasure:

Living Wage Exec Summary_2011 05 09

By Courtney Gross on May 9, 2011, 6:11 pm
In category: City Hall, Community Development, Economy, Electoral Politics, Eye Opener, Gotham City, Governing, Land Use, Law, Measuring UP, Work and Labor, nextNY | 1 Comment »

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Bloomberg Releases Budget, Slashes Teachers
May 6th, 2011

As expected, Mayor Michael Bloomberg released a $65.7 billion budget this morning, which slashes 6,166 teaching positions, would close 20 fire companies and shutter four swimming pools this summer.

Bloomberg deflected all of the blame for the fiscal pain. Instead, he pointed towards Albany and Washington.

“Both places are keeping our tax dollars to close their budget deficits,” Bloomberg said. “If the state was paying 50 percent of the Department of Education, we would not be talking about laying off teachers.”

While Bloomberg did not hesitate to blame Albany, he also acknowledged the city was unlikely to receive any reprieve from the state or federal government. For now, the city will use the remainder of its surplus to close the budget hole.

The mayor’s executive plan did back away from slashing 16,000 child care slots — the result of a loss in federal funding. The administration plans to save the positions by expanding after school programs and increasing funding for the Administration for Children’s Services. The cost of the slots was originally put at $91 million. Officials said the program could be saved with just $40 million.

Advocates and council members, however, questioned the mayor’s calculations.

“With the budget released today, the administration is continuing its assault on early childhood education by cutting $50 million from our city’s child care,” said Councilman Steve Levin. “It is an outrageous sleight of hand that this administration would present itself as the savior of child care while simultaneously destroying it for thousands of New Yorkers. It’s like someone starting a fire, just so he could take the credit for putting 40 percent of that fire out.”

In a joint statement, Council Speaker Christine Quinn and Finance Chairman Domenic Recchia identified teacher layoffs, the child care cuts, a 29 percent cut to libraries and fire companies as their top priorities.

“Since the recent financial crisis and recession, the City Council has worked aggressively to control spending and manage the city’s budget in a fiscally responsible manner while protecting vital services,” they said. “That’s why we have grave concerns about a budget that allows for teacher layoffs, which would be immensely damaging to our education system and children’s opportunities for a quality education. Make no mistake, we will do everything in our power to prevent teacher layoffs.”
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By Courtney Gross on May 6, 2011, 2:13 pm
In category: Albany, City Hall, Crime & Safety, Economy, Electoral Politics, Eye Opener, Gotham City, Governing, Health, Housing, Law, Measuring UP, Parks, Public Finance, nextNY | No Comments »

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Advocates Protest SWMP Delays (UPDATE)
April 12th, 2011

Five years after the City Council and Mayor Michael Bloomberg agreed to a solid waste management plan for the five boroughs – one that spread out the city’s garbage burden — council members and environmental justice advocates say the adminsitration is backpedaling.

In its preliminary capital budget, the adminsitration has delayed the construction of four waste transfer stations, three of which are in Manhattan. The cut, said Eric Goldstein of the Natural Resources Defense Council, could delay funding for these facilities between five and eight years. Advocates fear the stations will never occur. Five years from now, there will be a new occupant in City Hall — one perhaps with different priorities.

“We are very troubled,” said Goldstein.

The waste transfer stations are a crucial part of the 2006 solid waste management plan, which attempts to get garbage off of diesel-spewing trucks and onto rail cars and barges instead. The plan was also meant to spread stations throughout the five boroughs to ease the burden on communities inundated with city waste — like the South Bronx, Greenpoint and Williamsburg. The delayed stations in Manhattan are the only ones slated for the borough, which currently sends the vast majority of its trash to New Jersey.

We are waiting for a response from the Department of Sanitation.

Advocates also decried the administration’s recent exploration of waste-to-energy — a controversial technology that typically involves burning or heating trash to create electricity (We reported on it here two weeks ago). Laura Haight of the New York Public Interest Research Group decried the move.

“The types of technology they want to pilot have not been proven successful commercially anywhere in the country,” said Haight. “We believe this is a waste of energy.”

A conversation on the equal distribution of these types of facilities is occurring right now at a hearing of the Landmarks, Public Siting and Maritime Uses Subcommittee. Councilmember Brad Lander, the committee’s chair, blasted the adminsitration for refusing to testify (his letter appears below).

“We’ve concentrated those facilities in low-income communities, in communities of color,” Lander said this afternoon on the City Hall steps.

A spokesperson for the Bloomberg adminsitration said they would not send a representative, because “fair share,” as it’s commonly referred to, is currently the subject of litigation.

UPDATE: We just got this response from City Hall spokesperson Jason Post:

Because of the economy, the City has been forced to reduce all of its expenditures, including its capital program.

The preliminary capital budget for the Sanitation Department includes deferred spending on four Marine Transfer Stations.

The Administration remains fully committed to SWMP’s principles of borough equity, using rail and barge to transfer solid waste, relieving the burden of waste receiving from certain communities, strengthening our recycling infrastructure and piloting new technologies to derive clean energy from waste.

We have made great progress on SWMP already—long term rail contracts are in place and two marine transfer stations are under construction, as is the City’s new recycling facility—and we are exploring cost-effective alternatives to expedite the construction schedule outlined in the preliminary capital plan. We will make a decision before the Mayor’s executive budget presentation.

CM Lander Letter to Mayor Bloomberg Re Fair Share Hearing(2)

By Courtney Gross on April 12, 2011, 2:22 pm
In category: City Hall, Civil Rights, Community Development, Crime & Safety, Environment, Gotham City, Governing, Health, Land Use, Waterfront, nextNY | 2 Comments »

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