Standing in the corner to my left, at not even one full term, we have Governor David Paterson.  To my right, standing at 212 members strong (or so they say), we have the New York State legislature.  We’re in the 16^th round (although there’s only 12 in professional boxing, that’s how many WEEKS late the budget is) and the fight goes on.  But aren’t you sick of watching?  Unfortunately, it feels like the real losers in this seemingly endless fight are the state of New York, its citizens and taxpayers. Prepare yourself…they’re headed back in the ring today!

It may not appear on HBO, but this fight will resume in the middle of this week coming to every TV, newspaper and blog near you.  On Sunday, Governor Paterson announced that he is calling the state Legislature into special session to try and reach a final agreement on the 2010/11 budget.  On top of the budget, the governor wants the legislators to also vote on items they previously said no to including: enacting a property tax cap, selling wine in grocery stores, taxing sugary drinks and letting public colleges set tuition rates.

So who are we waiting for? The Senate, who have yet to approve the revenue bill to complete the budget.  Who keeps getting unfairly knocked around? You do! Although we are the ones watching the fight, we are the ones most affected by those in the ring, with high taxes, increased spending and dare I say the b-word…borrowing.

Gov. Paterson also included many of his legislative initiatives from earlier, hoping to put the legislators on the spot if they do not accept his agenda items.

What is the fight about and how long do we have to sit back and watch? Well, the budget the governor wants passed is a $136 billion budget. Not so cheap, is it? Don’t forget the $9.2 billion deficit.  Considering it has taken so long for the budget to be passed, that means more revenue will be needed, with less and less time to raise it.  The revenue bill that the Senate has yet to approve also contains nearly $1 billion in new taxes.  It’s a game of cat and mouse, who’s right and who’s wrong?  If our representatives had really represented what NYS taxpayers need and want, perhaps a stronger and more fiscally sound budget would have been passed already. Wishful thinking.

Paterson’s other agenda items besides those already mentioned, include:

• A contingency plan in case NYS does not receive the $1 billion in Medicaid funding.
• A new program, Energize New York that will replace the Power for Jobs program, which provides more accountability in providing lower cost electricity to selected employers to add or retain jobs.

So tune in today for the fight of the decade….well, the past few months.  Before you get too excited and prepare for the final bell to ring, while the Legislature must report to Albany, they are not required to vote or debate the issues, let’s just hope they do and do it right.

Either way, someone will eventually get tired. Let that be YOU. We have sent them off to Albany, time and time again, to fight for us, some of them instead fight each other or make the fight and focus about their own reelection.  Let November 2^nd really be JUDGMENT DAY! Remember what some of our lawmakers failed to fight for and those who made promises that they couldn’t keep.

It’s time for a 16^th Round TKO. Judgment Day style.

Over the past few weeks and months, we have used this blog as a mechanism to get you information, to give you a voice on important matters and as a means to make light of the complete dysfunction that exists within the walls of the state capital.  But today, I’d like to share something serious with you.

As you know, we have committed to supporting the right candidates for office. To facilitate that process, we created a Legislative Scorecard (to be released soon) showing exactly how elected officials voted on key issues.  And when you confront “politics as usual”, you are taking on and battling political opponents and entrenched incumbents.  It’s not easy.  People will fight back.  We’ve taken our lumps.  But I am pleased to say that we’ve dished out a few of our own.  But the real “fight” begins now.

Earlier this year we launched UPAC, the political action committee of Unshackle Upstate. UPAC, a completely nonpartisan entity, will be actively supporting a tightly focused group of NY State candidates who want to fix this state and put it back on the right fiscal track and make it work for us.   But we cannot do it alone. To be effective, we need your support. Employers and employees are fleeing New York for economic opportunities elsewhere, driving up unemployment and leaving fewer of us to bear a tax burden that continues to increase despite these economic realities.

Unshackle Upstate created UPAC for the specific purpose of altering this dynamic. Our mission: Reshaping New York’s tax and regulatory structure which today, quite candidly, is extremely hostile toward employers and the jobs they create, as well as to taxpayers. We envision the New York of the future as a state where people can thrive. But to achieve this vision, we need people in elected offices in Albany that truly share our vision and will actively move it forward. We need people who will represent the best interests of New York’s state’s largest special interest group – its taxpayers.

That means we must vote out those who are blocking our recovery…incumbent state legislators whose voting records have empowered the “tax and spend” mentality that has long dominated Albany, whose refusal to adhere to fiscal responsibility and spending restraint demonstrates an openly hostile attitude toward the state’s business and taxpayer community. It also means that we must get solidly behind challengers to those Albany incumbents, candidates who are committed to reining in our state budget.

Please join us today. Make a donation to UPAC (www.unshacklepac.com) and help us bring a new attitude to Albany, a new group of dedicated leaders who will actively support the business and taxpayer community by reducing taxes and creating more private sector jobs. Proceeds from contributions will be used to promote and support candidates across the state who champion Unshackle Upstate’s core ideals

Time is running short, and New York State’s future is at stake.

Help

I love road trips and I always have.  As I’ve gotten older, I’ve realized that I would prefer to travel alone.  I don’t like making too many stops, I like to listen to my own music and I do not want to hear that age old question, “Are we there yet?”  But that’s how it’s kind of been for us, the New York State taxpayers, a long road trip with no ending…the end, being the budget.

More than 100 days have gone by and about 15 weeks have passed, yet still no budget.  It seems like the stops on this road trip are endless! How many more stops before we reach our final destination?

Our “legislative road trip” began with promises of fun, savings, stability and a timely arrival of April 1^st.  Our 212 tour guides, remember there is a lot of us on this trip, got us excited and trusting for what was in store…little did we know….

After going through Paterson, New Jersey, we reached the Property Tax rest stop.  We ran into a group from Massachusetts who had been at the rest stop for awhile and were very familiar with it since they have been very successful after introducing the 2.5% property tax cap.  Upon leaving, we saw a bus from New Jersey pulling in.  Just recently, Governor Christie of New Jersey signed a 2% property tax cap bill.  While they were new visitors themselves, they planned on staying around for awhile.  While we should have stayed and chatted, considering a tax cap is one form of relief that would go to everyone and we are 79% above the national average of property taxes, we didn’t stay there long.  Apparently, our tour guides, who we will call “legislators”, decided it wasn’t worth the time, so we left.

More time was wasted as our bus got a flat tire and we had to wait for two of our “legislator guides”, who we’ll call Sampson & Silver, to negotiate the most effective way to get it changed.  We were there for hours.

We stayed overnight at the hotel for Taxation and Fees, the rooms were quite expensive but our guides decided that instead of cutting spending for the night and going to the less expensive hotel to balance our trip budget, we would just use the “extra” money that we really didn’t have.

We kept on traveling and made a quick, unannounced stop and one of our legislator guides said something about going to “borrow” a few dollars.  Wouldn’t it have made more sense to spend less throughout the trip so when we got low on money (some had none at all) we wouldn’t have to borrow to cover our past expenses? Sounds like a deficit just waiting to happen.

I don’t know about you New York, but I’m tired of this trip.  I’m ready to arrive at our location, destination: budget.  We cannot allow our tour guides “legislators” to take us on this lengthy trip year after year.  Judgment Day is coming! For those that didn’t listen, make that THEIR last stop.

Hey Albany, are we there yet?

The other day, I was sitting with my son flipping through stations and we stopped on Nickelodeon.  There was a show on called Rugrats: All Grown Up.  I stopped for two reasons.  The first was because I remember watching the youthful Rugrats with my older son so I wanted to see how they made the transition (don’t ask why I cared).  The second was because it made me chuckle.  I started to think…I wonder what our state government would look like if it ever grows-up?  And you know what? It’s about time that it did.

When our state government grows up…they will realize that we can no longer afford the size and scope of the services provided.  Take, for instance, Medicaid.  At nearly $1 billion dollars a week (it will be more than a billion next year), our Medicaid system (http://bit.ly/dzlXDR) is too costly and needs to be brought in line with what other states are providing.   It has been said that by 2012, potentially 1 out of every 4 New Yorkers will be enrolled in federal/state supported insurance program.  We can’t afford the Mercedez-Benz anymore.  But we can afford a Ford Taurus.

When our state government grows up…they will realize that property taxes that are 79% above the national average (http://bit.ly/b5uGC5)  are too high.  And let’s not offer gimmicky solutions that only move the pieces of the puzzle around.  That’s what kids will do.  Grown-ups would roll up their sleeves, identify the core reasons for the failure and start rebuilding.  It’s what GM just went through and guess what…it was painful, nobody liked it, but GM is again a stable business with a bright future (and I believe has paid back their bail-out money).

When our state government grows up…they’ll stop adding taxes and fees to our energy and our healthcare and insurance industry.  Currently, nearly 25% of every dollar is for taxes and fees (http://bit.ly/bO7oFu).  That’s disgusting.  We (actually it is the insurance companies…but it gets to us eventually) pay more than $4 billion dollars a year in taxes, fees and assessments on health insurance or healthcare.  When health insurance is already so expensive, more taxes, fees and assessments are irresponsible and wrong.

When our state government grows up…debt, borrowing and bonding will not be words they use.  New York’s debt burden is roughly $48 billion dollars.  That means that about 17% of every dollar collected in taxes is dedicated to debt service.  That’s WAY TOO much.  And when you have that much debt, you shouldn’t even consider bonding projects so that you have more dollars available for operations.  And you should NEVER even thinking about borrowing to cover the deficits you refuse to control.

The bottom line is that it is time for our elected officials…all of them…to grow up.  The job you hold is not about you.  It’s about the people who elected you to represent them.  The recent Siena poll is a clear indication that New Yorker’s do not want more taxes, fees or borrowing.  They want the issues addressed, they want real solutions to the problems, and they want them now.

Just like the characters from The Rugrats, it’s time for our government to grow up.  It’s time to stop using our government as your personal playground.

November 2, Judgment Day (http://bit.ly/dmPv2N), is only 108 days away.  Incumbents and challengers alike have 108 days to convince voters why we should elect them to office.   It’s time for the grown-ups to step forward and start making the right decisions for New York.

I’d buy you a house!  A few years ago maybe, but today, I’d be a little hesitant.  Considering New York State’s economy is not in the best shape, not to mention that the Senate and Assembly budget (that is still not set in stone!) plan rejected the inclusion of a property tax cap, maybe I wouldn’t even be able to afford that house.  Or maybe I can afford the dream house but without the property tax cap I can’t seem to continue to afford the taxes.  In Albany, it seems as if you have to keep spending (and taxing) in order to get something back.  Cutting spending is no longer the “cool thing to do.”

Along those similar lines, it looks like unemployed New Yorkers aren’t the only ones not “reaping benefits.”  The legislators are not getting paid!  Well, scratch that.  The legislators are receiving a “measly” $170 per day for time spent in Albany and other travel while $4.9 million in legislative paychecks are being held by the state comptroller’s office.  Although it is the Senate that has yet to vote on the final bill, the Senate Democrats are using this “negotiating” strategy to get key policy issues, through the reluctant Assembly, to be considered, including property tax relief, a contingency fund if Albany doesn’t get the $1 billion in expected federal Medicaid money and the SUNY schools autonomy issue.  Without that final bill to complete the budget, the paychecks will not commence.

For some, but not all, legislators are really starting to feel the burn.  Most legislators hold second jobs, with dozens having jobs with law firms…they seem to be ok.  For those, who do not have such esteemed positions outside of their “elected official duties” it is not so pleasant. I say, welcome to the world of unemployment, layoffs etc.  The only difference being that the legislators, at some point, will get paid the missing part of their salary.  All of the taxpayers and NYS residents that are out of work will not.  But there’s always unemployment benefits…right?  Barely.

The point is, pass a budget!  Not just any old budget, but a budget that will keep businesses here, bring businesses here and allow New York State taxpayers to be able to afford to stay here.

As some of our legislators “suffer” under these conditions, maybe, just maybe they’ll start thinking differently.  Wouldn’t it be smart for the legislators to use their current “setback” as an example for our state budget?  If the money is not there, then you cannot spend it.  If the money is not there, then you cannot create imaginary revenue. One can only hope.

If I had a million dollars…I’d buy some of them a clue.

They’re baaaaack! Well, not yet…and we don’t necessarily know when, but they’re coming. The Senate, that is.  They are scheduled to vote on our state’s revenue legislation.  Why didn’t the Senate vote on this before leaving Albany? It reminds me of when I was younger and I was told that I couldn’t have my juice until I finished all of the food on my plate.  Why was the Senate dismissed for vacation without finishing their legislative duties? They were allowed to drink their juice before finishing their food.

However, after months of feuding and disagreements, the Legislature approved the spending plan, which just so happens to include fees, increased spending, taxes and borrowing (remember when our leaders pledged to not support these?).   How does an additional $954 million dollars in taxes out of our pocket sound?

Alas, all is not bad news with us.  Some of our representatives actually listened.  Unshackle Upstate, working in conjunction with many other organizations, has stopped a significant number of bills that will adversely impact job creators in the State of New York. They include the following:

o   IDA Labor Mandates (S.1241 THOMPSON / A.3659 Hoyt)
This legislation would impose costly and burdensome mandates to economic development projects financed by Industrial Development Agencies.

o   Natural Gas Drilling Moratorium (S.7592-A  ADDABBO / A.10490-A Englebright)
If enacted, this bill would establish a moratorium on conducting hydraulic fracturing pending the issuance of a report by the Environmental Protection Agency (EPA). The EPA has already concluded on more than one occasion that hydraulic fracturing – a 60-year-old technology – is safe.

o   Farm Labor Mandates (S.2247-B ONORATO / A.1867-B Nolan / S.7787 ONORATO)
This legislation would impose wage and schedule mandates on farms and makes the false assumption that these mandates will have no impact. These mandates will likely result in fewer jobs for farm workers and more of our food will be grown in other states and countries.

While Unshackle Upstate has been successful, a significant number of bills that will adversely impact job creators in the State of New York have advanced in one house or the other that were not a part of UU’s plan for Upstate.   Some of our representatives hoped that we weren’t paying attention and passed the following.

o   Service Worker Prevailing Wage Mandates (S.7096-A SCHNEIDERMAN / A.10257-A Gianaris)
This bill would amend the law to extend higher wage mandates to private businesses. Ultimately the legislation will translate into higher energy cost for all consumer including businesses, the elderly, schools, daycares, local governments and hospitals.  The bill passed the Senate 32-27 and the Assembly 90-43.  The bill now goes to the Governor for approval or veto.

o   Independent Contractor Classification (S.6194  FOLEY / A.8237-B John / S.5847-C ONORATO / A.9706-B (Part SS))
These bills would have a severe impact on the New York State construction industry, by applying an unnecessary definition of an independent contractor to the state’s labor law.   Passed Assembly 110-28, passed Senate 43-4.

So, why is this important to you?  Because we all need to know the state we’re in.  Slowly but surely, promises are being broken, bills are passed that are not in the best interest of the taxpayers of Upstate New York, and deals are being made.  And clearly not good deals.  It’s time that our elected officials started making deals that benefit us.  Perhaps a deal on a property tax cap.

If you’re familiar with the game show Deal or No Deal, I’ve always enjoyed when the host, Howie Mandel, asks the contestant if they will take the dealer’s deal on the show.  For about 4 or 5 seconds you’re on the edge of your seat wondering whether or not they will take the money.  So, as I sit on the edge of my seat, I ask…what’s up Albany?  Deal or no deal?

So, what do we do now? What we’ve been doing…we wait.  No matter the outcome, Judgment Day still approaches….just 116 days away!

As the New York legislature went home for the 4^th of July holiday, Governor Chris Christie and the New Jersey legislature came close to a compromise on a proposal that will slow rising property taxes and reform what New Jersey residents have identified as their number one issue – property taxes.

Like New York, the Garden State also suffers from extremely high property taxes. Governor Christie noted that since 2001, spending at the local levels in New Jersey rose 69 percent (hmm, sounds familiar). Had a hard property tax cap been in place since that time, the average New Jersey family’s property tax bill would be more than $2,000 lower than the current average of approximately $7,200.

Christie has been advocating for a property tax cap at 2.5 percent with very little exemptions.  Earlier this year, Unshackle Upstate put forth a plan that would do the same for New York. Both plans model Massachusetts Prop 2.5,  which has the distinction of bringing Massachusetts as the state with the 3rd highest property taxes nationally – to the 33rd.

The New Jersey legislature offered a plan that would cap property taxes at 2.9 percent and included a list of exemptions. Last week, Christie said he would not sign a 2.9 percent “Swiss cheese” cap bill the Legislature sent him last week because it had “too many holes in it” (referring to the fourteen exemptions the bill included). However, given the importance of the issue, Christie offered a compromise, bringing New Jersey one step closer to real property tax relief.

Christie offered a conditional veto modifying the Senate bill to include a cap on future property taxes at 2 percent while including four exemptions for debt service, pension and health care costs and states of emergency. A key element of this plan, like Unshackle Upstate’s, relies on participation of the taxpayer in the process. Voters will  have to approve an override of the cap with a majority vote.

Should both houses approve the governor’s modifications, New Jersey will  have accomplished what will New York seemingly refuses to do – offer real reform to its taxpayers. Christie lauded the bipartisan effort to take “decisive action on a decades long problem that has become a full blown crisis to the people of our state.”

Meanwhile, in New York, the Senate and Assembly budget plan rejected the inclusion of a property tax cap – Governor Paterson’s proposal included a cap on local governments and school districts at 4 percent. Instead, they have put forth a plan to offer property tax “relief” in the form of rebate checks. Bear in mind – they will be increasing taxes and fees by about $1 billion (on top of $8 billion last year) to pay for the checks to go back to the taxpayer – doesn’t make much sense, does it?  But this is what we have grown accustomed to, and this is what we need to change this year.

So while New Jersey moves forward in a bi-partisan effort to offer much needed tax relief to their residents, New York continues politics as usual. The opportunity for real relief for New Yorkers is there, but the political will is still missing. There is a saying, “to get something done right, do it yourself.” The Unshackle Army will send a message this year – we will change Albany ourselves. The  tool that we will use to do this is our vote in November.

Send a message that New Yorkers deserve real property tax relief - now.

Let’s clear the air on the debate about property tax relief.  To me, when elected officials talk about relieving some of our property tax concerns, they should be talking about long-term solutions.  Not simply relief for a year, but something that will last for many years.

Yet, members of the Senate and Assembly Majority want you to believe that they are working hard to give you some relief on your taxes.  How are they doing that?  By adding back more than $400M in education spending and telling certain districts that all or part of it needs to get returned to you… the property tax payer.  Yes, that’s right.  They want to add to state spending so that SOME of us can get a rebate check right around election time.  Not all of us… but some of us.  How generous!

The rationale for such a move?  Since most districts have already passed their school budget they are planning on not having the money this year.  They have either cut their budgets or are dipping into reserve funds.  So the state will reinstate some of the education cuts and potentially direct it to you and me.

Friends, I hope you can see what this really is.  It is absolute hogwash and politics at its best.  They are trying to conjure up some good will with the constituents by telling them we got some relief on property taxes.  And that relief will come right before we head to the polls to cast our votes.  How convenient!

Let’s not be fooled by words.  We cannot and should not accept one-time political shenanigans as property tax relief.  If our elected officials were serious, they would have advanced our plan to cap annual increases and remove all unfunded mandates.  At the very least, Senate Majority Leader John Sampson and Assembly Speaker Sheldon Silver should have accepted the Governor’s budget plan that included a cap.  But they didn’t.  And what they don’t want to tell you is that in their revenue plan is more than $1B in new taxes and fees to cover the increase in spending… the rebate checks.

This fall, don’t be fooled.  If for some reason you do get a “relief” check, remember that the check is covered by more than a billion dollars in new taxes/fees and hidden borrowing (on top of the $8B we got last year).  Don’t believe the words of justification that come from your elected official.  And remember, only in New York could property tax relief be justified by a tax increase.

Judgment Day for the New York State Legislature is coming. The clock is ticking… 124 days and counting.

During crunch time, we put our hopes in the leader to pull out a win – the best athlete on the team, the quickest mind in the office, the most determined member of the family.

Well it’s crunch time for the New York state budget, but unfortunately, we’re not seeing any hero emerging to resolve this crisis. In fact, as a collective group, our elected officials are doing just the opposite.

Let’s take a look at some of the turning points in this game.

For one, the state budget is two months late. Do they act like heroes, dig in with a burst of adrenaline and go for a decisive victory, pull an all nighter to resolve the problem? No, they continue to pass budget extender after budget extender, without passing an actual budget.  Then when the governor’s threatens a government shutdown, they rush to push ahead whatever product they’ve got, whether it’s good or not.

Second, they need to reach a balanced budget and close the mounting deficit. Do they act like CEOs, make the tough decisions and willingly accept the consequences, in other words, cut spending?  No, they spend more to give more, adding new taxes, fees and assessments in a state that already has one of the highest tax burdens in the nation.

Third, they’ve been asked to approve a property tax cap, an idea already proven highly effective in neighboring Massachusetts. Do they recognize a good idea when they see it, give credit where it’s due and give the green light for implementation? No, they look for gimmicks that will make it more popular with certain constituent groups,  like circuit breakers that really are only a shell game benefiting a few.

New York’s families and businesses are struggling under the weight of the greatest property tax burden in the nation – 79 percent above the national average. A tax cap, in our mind, is a highlight of Gov. Paterson’s budget proposal, which must be why the majority leader took it out of his fiscal plan.

Then there’s a whole bunch of other last-minute legislation that hurts Upstate, such as a census change to count prisoners as residents of their original counties rather than as living in the county where they are incarcerated.

Good thing Judgment Day is coming. Only 126 days until Nov. 2 when we as voters can take back our state and choose some real leaders, some real heroes who will be there during crunch time and really deliver.  If you need to know who needs to hear from you TODAY click here. Send your elected officials a message that they either act like clutch players and vote NO on this bloated budget or we’ll send them to the bench, to the unemployment lines come November.

A proposal to defer 50 percent of business tax incentives for three years remains under active discussion by the Governor and legislative leaders this week. Simply stated, this would amount to little more than the government borrowing from NY businesses (you!) to pay for excessive spending that lawmakers are unwilling to trim.

If you currently benefit from any of the following programs, 50% of your incentives will be deferred for three years if this measure is approved:

• Empire Zone
• Investment Tax Credits
• Brownfield Tax Credits
• Historic Rehab Tax Credits
• CAPCO incentives
• Power for Jobs
• … and any other business tax incentives

New York State made commitments to you to provide incentives that it is now proposing to take away. You’ve relied on these incentives to make investment decisions and have factored those incentives into financial plans. It is irresponsible of our representatives to carry this through at your expense – without even mentioning the message New York will send to the economic development world: that NY is closed for business.

It is imperative that the Upstate business community raise its voice loudly and immediately! At the same time Albany wants to devastate Upstate’s economic development programs, they plan to increase incentives for the NYC film industry! Since Unshackle Upstate was created, it’s difficult to find a more obvious Upstate/Downstate division.

Typically, we would try to engage you in a VoterVoice e-mail campaign, but the issue is before us right now. There’s no time to lose. Here are the legislators who need to hear from you TODAY:

NYS SENATE 

Honorable John L. Sampson
Phone: (518) 455-2788, Fax: (518) 426-6806
E-mail: sampson@senate.state.ny.us

Honorable William T. Stachowski
Phone: (518) 455-2426, Fax: (518) 426-6851
E-mail: stachows@senate.state.ny.us

Honorable David J. Valesky
Phone: (518) 455-2838, Fax: (518) 426-6885
E-mail: valesky@senate.state.ny.us

Honorable Darrel J. Aubertine
Phone: (518) 455-2761, Fax: n/a
E-mail: aubertin@senate.state.ny.us

Honorable Brian X. Foley
Phone: (518) 455-2303, Fax: (518) 426-6825
E-mail: bfoley@senate.state.ny.us

Honorable Carl Kruger
Phone: (518) 455-2460, Fax: (518) 426-6855
E-mail: kruger@senate.state.ny.us

NYS ASSEMBLY 

Honorable Sheldon Silver
Phone: (518) 455-3791, Fax: (518) 455-5459
E-mail: speaker@assembly.state.ny.us

Honorable Herman D. Farrell Jr.
Phone: (518) 455-5491, Fax: (518) 455-5776
E-mail: farrelh@assembly.state.ny.us

Honorable Robin L. Schimminger
Phone: (518) 455-4767, Fax: (518) 455-4724
E-mail: schimmr@assembly.state.ny.us

Honorable Joseph D. Morelle
Phone: (518) 455-5373, Fax: (518) 455-5647
E-mail: morellj@assembly.state.ny.us