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Cuomo Puts Labor in a Headlock


New York unions
Workers rallied again proposed state budget cuts in Albany in 2009. Public employee unions have resisted many efforts to reduce spending, but Andrew Cuomo vows he will push back.

 

Andrew Cuomo has declared war on unions -- and union leaders are simply grinning and bearing it. With the state facing a cratering budget deficit, both the Republican and Democratic candidates for governor have made it clear that they expect major concessions from labor unions, and a property tax cap and will not raise taxes.

Cuomo’s intentions were clear earlier in the year, but the attorney general and Democratic gubernatorial candidate had not made his intentions so public and plain as he did in an interview with the New York Times that ran on Monday.

In that interview, Cuomo said he intends to run a permanent presidential-style campaign against labor unions, so that he will have the leverage to initiate spending cuts and negotiate contracts that they will almost certainly resist. Cuomo detailed how other New York governors have been brought to their knees in budget negotiations by public campaigns launched by unions. Cuomo will now try to use that strategy against them.

Despite Cuomo’s general anti-labor stance some unions have endorsed Cuomo and raised money for him -- others have declined to endorse in the race. Supporter or not, labor hopes that, despite Cuomo's plan to campaign against unions, he will treat them as partners rather than enemies.

Trying to Get Along

Unions have varied in their approach to dealing with Cuomo, who is perceived as the inevitable next governor. "There are two different approaches," said Dick Iannuzzi, president of the New York State United Teachers. "Either you endorse a candidate because you think they will better serve your interests, or you endorse them because you think they will be the better leader. In this case it is fairly easy, because Mr. Paladino is the other choice. And that is what some unions did -- they endorsed based on Mr. Cuomo's history as a leader."

Concerned with Cuomo's plans to initiate a property tax cap and cut spending and frightened by Paladino, United Teachers decided not to endorse. A property tax cap would likely limit a key source of funding for school districts outside New York City, something the state teachers union will not sign off on.

"Our positions are not aligned with his," said Iannuzzi of Cuomo, "It’s not just about the person but the policy."

Iannuzzi noted he is willing to work with Cuomo -- but wants to be treated as a partner.

"We hope to have an open, honest relationship with the governor," said Iannuzzi, "He is a man of his word, and I believe he thinks that I am."

Steve Madarasz, spokesman for Civil Service Employees Union, agrees about the need for cooperation. Cuomo sent labor leaders copies of The Man Who Saved New York, a biography of former Gov. Hugh Carey, but Madarsz said, "The Cuomo camp is involved in some revisionist history. Hugh Carey came in bullish and tried to dictate terms to labor, but he learned quickly that it was more effective to bring people to the table and treat them with respect."

"If people come in looking to work together to find solutions for the state we want to do that -- that is what we do," said Madarasz, "but if they come in and try to dictate terms, we are going to be prickly. We have had success in local government where we are approached about negotiating new terms to help everyone. Nothing is easy, but it works a lot better to treat everyone as partners than if someone comes in calling names and trying to bully us around."

Madarasz said that neither Cuomo nor Paladino "has said or done anything to earn our endorsement."

Another Tact

Other major unions including the American Federation of Labor-Congress of Industrial Organizations and the Public Employees Federation have endorsed Cuomo. Service Employees International Union 1199, which represents health care workers, is seen as having a strong relationship with Cuomo. Lobbyist Jennifer Cunningham, a former service employees vice president, is one of Cuomo's top advisers. The union has donated over $50,000 to Cuomo-Duffy 2010 over the last two years.

1199 also is perceived to be more aggressive and effective when it comes to battling cuts than the teachers or civil service employees. It launched devastating ad blitzes to fight health care cuts proposed by former Gov. Eliot Spitzer and Gov. David Paterson. The barrages of commercials didn’t always stop the cuts, but they severely damaged the reputations of the governor’s who felt their wrath.

Whether it spurred their support -- or is the effect of it -- 1199 workers also do not seem likely to be hit as hard by Cuomo's cuts as members of the other unions. Many of the service employees do not work directly for the state government but rather for private and public hospitals and health care agencies that receive money from Medicaid. While Cuomo supported Paterson’s recent order to lay off 2,000 more state workers, an action that directly targets civil service employee members, and plans a property tax cap that would likely hurt teachers, his promises to reform Medicaid are not perceived to be as sharp or particularly harmful to SEIU1199.

Anti-Union Campaign

How is it that both mainstream gubernatorial candidates are running against organized labor? After all more than 2 million New Yorkers -- or about a quarter of the state's workers -- belong to a union, the highest rate in the country, according to the AFL-CIO.

For one thing, Cuomo has been moving to the right since his run for attorney general in 2006. Secondly, Paladino is seen as such a long shot, one who has alienated many members of his own party as well as Democrats, that Cuomo has not needed to organize the traditional Democratic base. Business groups and their supporters have convinced many New Yorkers -- rightly or wrongly -- that raising taxes will drive more businesses and families out of New York. Without more revenue the state must lay off workers -- union members -- to balance its budget. Many critics charge that, rather than looking for solutions to the state's fiscal woes, labor leaders pressure legislators into increasing taxes and packing the state budget with perks for them.

The Working Families Party -- backed by labor unions -- felt it had to sign off on Cuomo’s policy plans, including a proposed austerity budget, because without Cuomo they could have lost their ballot line. Therefore, they did not raise any sort of fuss about his direction.

"People say, 'Vote for Cuomo on the Working Families Party Line,'" said Howie Hawkins, Green Party candidate for governor. "Well, they collapsed; they accepted his austerity plan. If anyone wants to send Cuomo a message they better vote Green."

In the eyes of most unions, Paladino, who has called for a 20 percent spending cut, is even less palatable than Cuomo. Plus few take him seriously. That has left many feeling they have little choice but to work with Cuomo rather than battle against his election.

Assemblymember John McEneny, who represents Albany County with its many state workers, said he was disappointed that Cuomo backed Paterson's order to layoff 2,000 more workers. In his mind, the state could do more to offer early retirement packages to reduce its workforce.

He also expresses some skepticism about the idea that high taxes are driving the state into the ground. He points to states like Nevada that are suffering far worse economic downturns then New York. "Other states with low tax rates and that provide a low amount of services to their citizens are doing worse than we are," he said.

Hawkins says he has been invited to more union meetings and to speak to more crowds than ever before, because people want to know if there are alternatives to Cuomo's austerity budget. New York City Councilmember and Freedom Party candidate Charles Barron also touts his plan to avoid major job cuts and to increase taxes on the rich; it is said that he wants to draw the city’s minority vote away from Cuomo.

Hawkins has proposed reinstating the stock transfer tax -- a move he says would generate a $7 billion dollar surplus. Opponents of the measure say the action would instead drive investors and companies out of New York. Further, Hawkins supports returning to the kind of progressive income tax structure that New York had in the 1970s so that the rich would pay "more of their share."

These tax changes would save New York from the austerity budget proposed by Cuomo and Paladino and allow the establishment of a Works Progress Administration style authority that would put any New Yorker who needed a job to work. Even politicians opposed to major cuts, generally dismiss Hawkins’ ideas as pie in the sky. But Hawkins says his proposals are very much based in reality. "People know we have provided jobs to people before. The emergency jobs program created by Roosevelt worked," he said.

Hawkins said the major party candidates have not even discussed these proposals.

"The lack of discourse between the two major candidates has opened doors for me," said Hawkins. He does not expect to get elected, but the behavior of the major candidates is helping better establish the Green Party. "I understand some people wouldn't want to endorse the little Green Party, but I think we are increasing our foundation, and people will want to in the future. There is a real opportunity for us this year."

Next Year

Cuomo’s success against labor is far from assured. Cutting jobs to save money will have effects on people beyond the laid off workers and their families. With jobs go services, and labor unions will be quick to rally the public to their defense. They will also likely have Assembly Democrats and Assembly Speaker Sheldon Silver there to back them in budget negotiations, and they will be able to fall back on legal action and arbitration should things not go their way.

Major contracts with the state will be up in the spring, negotiations will start, and that will be the real test of whether Cuomo plans on pushing unions into a corner or working with them as partners.

Small Staff, Lack of Funds Hamper Donovan Campaign


Dan Donovan
Photo courtesy Daniel Donovan
Mayor Michael Bloomberg appeared at Dan Donovan's side when he announced his candidacy for attorney general but that has not assured Donovan's success.

When the general election campaign for state attorney general began, Republican candidate Dan Donovan seemed in a strong position. He had a record as a prosecutor, a moderate image and the support of Mayor Michael Bloomberg and people in the financial industry with lots of money to give. His opponent, State Sen. Eric Schneiderman entered the race as a career politician with an ultra liberal record and rhetoric to match.

Now, though, Donovan's campaign seems to be foundering. The Staten Island district attorney trails in the polls and lags far behind Schneiderman in fundraising. He has little staff and a campaign operation that appears disorganized. Donovan pulled all his television ads for this week and still has not aired an ad in Manhattan.

The Donovan campaign and state Republican officials still say Donovan will prevail on Election Day and point out that any Republican running in heavily Democratic New York will encounter obstacles. Polls have shown Schneiderman's lead shrinking and that a substantial number of voters remain undecided in the race.

Campaign

Contrasting Campaigns

"I would say it's a real David vs. Goliath story," said a source close to Donovan's campaign. "They have all the unions and special interests," said the source, referring to Schneiderman. "We have a lot of grit and heart (and coffee); in reality, it's probably the best reflection of the candidates themselves."

Schneiderman’s campaign has around 12 full-time staffers not counting consultants. That is twice as many as Donovan’s. Donovan's press person, Virginia Lam, openly admits that Schneiderman's camp has more "trackers than we do staffers." (Trackers keep tabs on the public appearances of the opposing candidate and look to capture gaffes on camera.) Donovan has only six full-time staffers, aided by consultants and volunteers. Schneiderman has four press staffers -- with upstate and downstate spokespeople. Donovan only has one spokesperson.

Schneiderman's staff isn't the only thing that is larger-- so is his personality. He is known as a hyperactive overachiever and thought of as an outspoken, master debater.

Donovan is soft spoken and direct. Some say shy. Donovan staffers describe their boss as a "salt of the earth" kind of guy.

Sources close to Donovan’s campaign say that his work style is very much reflected in his staff. "They are of the 'work hard, keep your head down' mentality," said one source. "No glory, just get the job done right. It very much mirrors Dan's own approach to the job."

As the race for what some consider the most powerful elected position in New York State hits the back stretch, some wonder if what was once thought to be a very winnable race for Republicans is getting further out of reach. It may be a "David vs. Goliath" story, but in politics admitting you're outnumbered and outgunned usually spells doom, not triumph.

Republican Chairman Ed Cox puts the David vs. Goliath theme in a different perspective. "It is David vs. Goliath because this is New York; the state is hugely Democratic. Dan is running against the odds, as are most Republican candidates, so Schneiderman is going to be Goliath and Donovan is going to be David. He will be the one holding a slingshot."

Donovan may be having trouble drawing enthusiasm because the man at the top of the ticket -- Carl Paladino -- is neither moderate nor doing very well in the polls. Donovan has tried to avoid speaking about Paladino.

The Money Race

Donovan was supposed to be well funded; he has the backing of Bloomberg, who is known for supporting Republican candidates with his financial power. Bloomberg has given Donovan's campaign over $30,000, and Donovan has hired Bradley Tusk, who worked on Bloomberg's 2009 re-election campaign.

But as the Observer reported Bloomberg's support has not sparked a bonanza of other donations for Donovan. The campaign reported having only $400,000 on hand at the end of September -- half of what Schneiderman had -- and after Schneiderman finished the grueling and costly Democratic Primary. Bloomberg will host another fundraiser for Donovan next week.

With just under two weeks left until Election Day Donovan’s, campaign decided to go without any television spots this week. At the same time, a Siena Pollof "likely voters" found Schneiderman leading Donovan 44-37.

Schneiderman's campaign pounced on the news. "On the same day it was revealed Dan Donovan was forced to pull his ads from TV for the entire week, the first Siena poll of likely voters in the race for attorney general shows Donovan needs to make up 7 points, with just 13 days to go," read the release issued by Schneiderman’s campaign.

A source close to the Donovan campaign countered that taking the ads off the air for the week was part of their strategy.

The campaign bought ads everywhere but Manhattan after the Sept. 15 primary, then planned to stay off television before returning to televison across the state, including Manhattan for the last 10 days, according to the source, who added that Schneiderman also had a reduced television buy the previous week.

"They have their strategy, we have ours. We need the push at the end, because turnout is what will determine this race," the aide explained.

Democrats say Donovan has been spending his campaign money on fund raising consultants that have not done him much good.

The Donovan campaign, though, portrays Schneiderman’s operation as the one in trouble because, according to a recent release, "independent and undecided voters are trending overwhelmingly for Dan Donovan."

"Team Schneiderman is clearly in chaos and disarray with the knowledge that even with a 5-1 voter registration advantage, a financial advantage ... and their disgusting attempts to scare women and minority communities with weak and baseless attacks -- they still can’t stop the tidal wave of momentum for District Attorney Donovan," the release continued.

eric schneiderman
Photo by David King
Eric Schneiderman

Running from the Middle

Schneiderman was supposed to be too liberal to beat the middle-of the-road Donovan -- even his opponents in the Democratic primary said that.

"Anyone would look moderate standing next to Eric," said Sen. Steve Saland of Poughkeepsie as he waited for Donovan to show up at the Pougkeepsie Republican Victory Headquarters on Tuesday. "The view from Manhattan is different from just about anywhere else in the world, except maybe San Francisco," he continued, noting that he thinks Schneiderman appeals to minorities in the city and extreme Manhattan liberals.

Donovan paints Schneiderman as a part of Albany’s corruption problem. His campaign attacks Schneiderman for being elevated in life by his rich father and for being beholden to the unions that have backed him and donated to him.

"Certainly the public service unions haven't endorsed me. They don't want to see me as the next attorney general. They’ve had a good grip on Albany for the last decade -- and my opponent has been part of it-- they want to have a good grip on the next AG," Donovan said.

Last week, Schneiderman appeared in Albany to receive the endorsements from union officials. Dennis Hughes, president of the AFl-CIO; Tom Comanzo vice president of PEF and Larry Bulman of the Pipe Trades Association all personally endorsed Schneiderman. Schneiderman was asked about his close ties to unions and how that might affect his relationship with Andrew Cuomo, who has said that, if he become governor he intends to make the kinds of cuts that unions will not like.

"This is a tough time for everybody," Schneiderman told reporters, adding that union members don't want "pie in the sky. They’re just looking for practical solutions."

Cox characterizes Schneiderman as a career politician whose political future figures into all of his calculations. "Dan would never do something like Eric did with Al Sharpton and say that he will have an annex for Sharpton’s idea of justice. He would not make that kind of political move," Cox said, referring to Schneiderman's comments when Sharpton endorsed him.

While Donovan paints Schneiderman as too close to some special interests, Schneiderman has focused on Donovan's connections to another group: Wall Street. During a debate, Schneiderman seized on Donovan’s assertion that he does not plan to be the "sheriff of Wall Street." Donovan said he didn’t want to be the "sheriff of anything."

The New York Times recently reportedthat one in four dollars of the money Donovan has raised can be traced back to $17 billion hedge fund Elliot Management that is overseen by Paul Singer a staunch defender of Wall Street.

Schneiderman has also taken Wall Street money, but it does not dominate his contributions.

Both men say they will make fighting corruption in Albany a priority. Schneiderman touts the fact that he led a committee that recommended the ouster of disgraced Sen. Hiram Monserrate. The Donovan campaign says Schneiderman only did it after Monserrate had been convicted on a misdemeanor charge. They say Schneiderman worked hand in hand with Sen. Pedro Espada as well as Monserrate until it was politically expedient not to.

To fight corruption, Donovan said, "We need someone who has worked 15 years as a prosecutor, who has no ties to Albany, hasn't served their last 12 years there like my opponent and may have to investigate the people he has served with and has relationships with."

Donovan said he wants the attorney general's office to oversee all corruption cases in Albany, and would increase transparency and monitoring of member items.

"Partisanship has no place in the office of the chief warrior for the people of the State of New York," said Donovan.

Schneiderman has said he will make fighting corruption a top priority for his office and backs the creation of a public financing system for state races.

The Final Days

The candidates have confirmed one remaining debate to take place in Albany on Monday. Donovan’s campaign has complained that Schneiderman has backed out of or refused to take part in other forums and debates. They wonder why Schneiderman, who is known for his skills as a debater, would not want to debate. Pundits note that avoiding debates is the behavior of a candidate who assumes he is the frontrunner. Schneiderman's camp says Donovan has dodged proposed debates on Wall Street

"Mr. Donovan has rejected multiple debates on Wall Street issues," said Schneiderman spokesman James Freedland, "including one scheduled earlier this month in Syracuse, because he knows it must be hard to defend his hands-off approach to policing corporate corruption when New Yorkers are losing their homes and life savings due to white collar crimes."

Cox said that he thinks Schneiderman probably has a lead among voters right now: "They are both in the 40 percent range, but undecided’s are going to go with Dan."

If that does not happen, Donovan may not be all that disappointed. Some Republicans indicate that Donovan already has the job he wants. One Republican in the know said that Donovan needed convincing to run and would take a $40,000 pay cut if he were to become attorney general.

"He already has his ideal prosecutorial job, but going after corruption in Albany means so much to him that he is doing this," the source said.

Republicans See Opportunity to Retake the State Senate


skelos
Photo New York State Senate
Dean Skelos hopes to regain his post as majority leader if Republicans take back the State Senate in November.

After a rough two years of scandals, coups, Espadas and Monserrates, the New York Senate Democrats still had smiles on their faces. There were seats to be won, hotshot new candidates to challenge entrenched Republicans, and a sense that Andrew Cuomo at the top of their ticket would bolster their turnout while Republicans would have little reason to go to the polls.

Now, though, those smiles have faded a bit.

Why?

As has been the Democrats' curse for the last few years, triumph and gloating are quickly followed by scandal, failure and embarrassment. The trouble that has befallen the Democrats' chances to maintain and grow their Senate majority from 32 seats is not on the level of Eliot Spitzer’s call girl habit, David Paterson’s many scandals, the Senate coup, or Monserrate and Espada's legal trouble, but it is embarrassing and may be more damaging in the long run.

The problems now threaten to return the Senate to Republican hands after only two years of Democratic control. That, in turn, would bolster rural and suburban legislators, weakening the city's power in the Senate and in state government.

Two of the Democrats' sure-shot candidates in Long Island, David Mejias and Regina Calcaterra -- candidates Democrats thought would help them expand their thin majority -- had to drop out. Republican gubernatorial candidate Carl Paladino has been surging; a recent Quinipiac Poll put him within 6 points of Democrat Andrew Cuomo.

For their part, Democrats say that, despite their problems on Long Island, they are gaining momentum elsewhere. Sen. Liz Krueger, who has served on the Democratic Campaign Committee for years, said she thinks Republicans are in for a surprise. "Carl Paladino is our secret weapon," she said. "In times of financial crisis like these, are people going to turn to Paladino -- misogynist, sexist, porno-loving and violent, at least in his rhetoric? I don’t think so."

Lost on Long Island?

Republican spokesman Scott Reif said the Democrats have fallen victim to their own huge oversights.

"The Democrats repeatedly pointed to two candidates on Long Island where they thought they would pick up seats, but they didn’t do their homework," said Reif. "Regina Calcaterra had a residency issue and then with Mejias dropping out … again, they didn't do their homework."

Calcaterra was challenging Sen. Kenneth Lavalle, who has served in the Senate since 1976. And then, on Aug. 18, Calcaterra was tossed off the ballot for not meeting residency requirements. Calcaterra had surrendered her New York driver’s license, obtained a divorce, filed her taxes, voted and kept a home in Pennsylvania. Jennifer Maertz is now running on the Democratic ticket with Calcaterra's blessing.

Then on Sept. 2, things got got even worse for Democrats. Mejias, who was thought to be giving Sen. Kemp Hannon, the run of his life, was arrested on Sept. 2 for menacing, reckless endangerment and stalking after he allegedly followed his former girlfriend in a vehicle and forced her off the road. Suddenly the Monserrate scandal seemed less far away. Mejias bowed out of the race and handed the reins to Democrat Francesca Carlow. However, Mejias’ name remains on the ballot.

The circumstances of Calcaterra's and Mejias' departures, along with the timing, will make it almost impossible for the replacement candidates to win and so probably destroyed any chance Democrats had of picking up the two Senate seats.

Meanwhile, Republicans say they could capture the seat in the third senate district, also on Long Island, where freshman Democratic Sen. Brian Foley faces Republican challenger Lee Zeldin.

The Upstate Contests

In western New York, Republicans are licking their chops at the chance to face Timothy Kennedy, a county legislator from Buffalo who handily defeated long-term Democratic incumbent .

Stachowski had a bruising reelection battle in 2008. Following that, he hoped to bolster his position by becoming head of the Finance Committee, on which he had been the ranking Democrat. Democrats instead gave the chairmanship to Sen. Carl Kruger. While that move may have appeased Kruger and the three other renegade Senate Democrats from the city, many in Buffalo saw it as another instance of downstate legislators' disrespect for western New York.

Having ousted Stachowski, Kennedy faces Republican Assemblymember Jack Quinn, and Republicans like his chances a lot. "Jack Quinn is doing very well in Western New York," said Reif."

Republicans also think they have an excellent chance of unseating Democratic senators David Valesky and freshman Darrell Aubertine.

Krueger, though, sees upstate as a land of opportunity for Democrats. "The farther you go upstate, polls show, the more unhappy people are with their incumbent. And the more north you go upstate the more the incumbents are Republicans," she said.

Further, Krueger said that recent studies show that, in times of financial crisis, voters prefer female candidates.

In the media market surrounding Albany three female candidates are seeking to unseat Republican incumbents. Krueger sees a grand opportunity there for Democrats to pick up seats and increase the number of women in the state Senate.

In the 43rd district, Saratoga County Supervisor Joanne Yepsen is challenging freshman Republican Sen. Roy McDonald, the man who replaced former Senate Majority Leader Joseph Bruno. In the 44th senate district Susan Savage, chair of the Schenectady County Legislature, is running against 34-year incumbent Sen. Hugh Farley. In the 41st senate district Didi Barrett hopes to unseat 20-year Republican incumbent Sen.Stephen Saland.

All three, Krueger thinks, can capitalize on the message coming out of the area's media, which urges voters to "Throw the bums out." In these races, she said, the incumbents (read bums) are Republicans. "There is an excitement around these women's campaigns and, no disrespect, but you don’t have that excitement around Hugh Farley and Saland and Roy MacDonald," Krueger said.

Then too, she thinks that Paladino’s campaign -- with its angry tone, to say nothing of his racist and pornographic e-mails -- will send voters running to a women candidates

In Westchester, Krueger has her eye on the 40th senate district race between Republican Assemblymember Gregg Ball and Democrat Mike Kaplowitz, who are vying to replace retiring Republican Sen. Vincent Leibell. Republicans dumped around $150,000 into the campaign of Ball's primary opponent, Beth Murphy. But Ball, who ran as an anti-establishment, Tea Party candidate, won, and now Republicans have pledged their support. Krueger thinks Republicans damaged Ball in the primary, and it will be difficult to combine the traditional Republican base and Ball’s Tea Party supporters.

The Crystal Ball

Senate Republican Minority Leader Dean Skelos has predicted that his conference could pick up four or five more seats.

While Krueger thinks Paladino will bost Democratic chances, Reif said that Paladino’s surge will help draw Republican voters in Western and upstate New York, making it more difficult for Democrats there. Mostly, he said, Paladino has been effective in "channeling anger and frustration over the taxes and fees Democrats have enacted over the last three years."

Krueger maintained that Paladino will help drive moderate voters to Democratic candidates. If Democrats see the gubernatorial race as a real contest, more Democrats of them actually will come to the polls -- or so the theory goes.

"I was joking with [Republican Sen. Tom] Libous the other day," Krueger said. "Every year when I worked on the Senate campaign committee and we were in the minority Tom would say, ‘We are going to further strengthen our majority and win big.’ I would very quietly say, ‘We are going to pick up a couple of seats. And each year I was right. And now we are in the majority. So again this time I am going to say quietly, ‘I think we are going to pick up a couple of seats.’"



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