Spitzer’s State of State: No Taxes, More Investment
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ALBANY, N.Y. (AP) – Governor Spitzer’s first State of the State address on Wednesday promised no tax increase, but “pain” for Albany as it seeks to reform itself, improve the economy and “bring back the greatness New York once defined.”
Mr. Spitzer chastised the Legislature as a partner in Albany’s gridlock and rising spending, but also appealed to a better side.
“New Yorkers have resoundingly rejected the status quo – the politics of partisanship and polarizing ideology,” Mr. Spitzer said. “This can be the start of an historic bipartisan partnership.”
There was enough in the 6,200-word address to entice the cooperation of the Republican-led Senate and Democrat-controlled Assembly, essential to getting anything done in Albany. Like Mr. Spitzer, Senate Republicans want property tax cuts and more charter schools. Assembly Democrats share Mr. Spitzer’s call for more school funding – including universal pre-kindergarten for 4-year-olds – and greater health care for more New Yorkers.
As a peace offering, Mr. Spitzer said he is “sensitive to the important balance of power” with the Legislature. That could mean he won’t, at least at first, wield the more powerful hand in budget making provided by the state constitution, a tool used heavily by George Pataki, the Republican Spitzer replaced after 12 years in office.
Mr. Spitzer also warned “many entrenched interests will try to block this new path in order to maintain the status quo that has worked so well for them.”
“That has gotten us to this point in the first place, and it is a division that kept us from moving forward,” he said.
“Senate Republicans are up for the challenge,” said Senate Majority Leader Joseph Bruno in his response released before the address. “In cooperation with the governor, we will be leading the effort to restore opportunity, enhance security and improve the quality of life for all New Yorkers … we applaud the governor’s promise to the hardworking people of New York not to raise taxes.”
Most of Mr. Spitzer’s address underscored his campaign promises, including a $6 billion property tax cut over three years and billions of dollars more for schools. Wednesday’s proposals include:
_Longer school days and school years, after-school programs and better teachers as well as greater accountability for school spending.
“There will be no more excuses for failure,” Mr. Spitzer said. “The debate will no longer be about money, but about performance; the goal will no longer be adequacy, but excellence; the timetable will no longer be tomorrow, but today.”
_Guaranteed access to health care in 2007-08 for 500,000 uninsured children and, within four years, enrolling 900,000 more adults eligible for Medicaid.
_Investing in roads and bridges, including replacement of the Peace Bridge in Buffalo; construction of Interstate 86 across the Southern Tier; building the first part of the Second Avenue subway in Manhattan and a plan for full extension to lower Manhattan; and expanding Stewart International Airport near Newburgh.
_Proposing to voters a constitutional amendment to greatly fund stem cell research as part of a transformation to an “innovation economy.”
_Ethics and campaign finance reform to curb corruption and the influence of lobbyists: “We are in danger of losing the confidence of those who elected us.”
Despite a projected $1.1 billion surplus in the fiscal year ending April 1, Mr. Spitzer nonetheless called on the Legislature to reduce the growth in spending “so we can afford these long-term investments for our future.”
Those investments include adding $4 billion to $6 billion more each year in aid to New York City schools, spending prompted by a court order; and another $1 billion or more for high-needs schools outside the city. To help pay for it, he proposed $11 billion in cuts and savings over several years, including billions more from Medicaid fraud and waste recovery and the closing of underused hospitals.
The comptroller’s office projects deficits of $2.4 billion in 2007-08 and $4.5 billion in 2008-09. The current budget is $115 billion, with $15 billion spent on state school aid and more than $40 billion spent on Medicaid. That total is up from $79.75 billion in 2000-01. Through much of that time, New Yorkers have paid the highest state and local taxes in the nation while young, educated residents and many businesses left the state for better opportunities.
“I report to you that the condition of many New Yorkers is superb,” Spitzer told the joint session of the Legislature. “But whole communities have been left behind; that our future is bright, but that our government is in disrepair.
“As the world has transformed and moved forward, it is only Albany that has stood still.”