tolawmakers,public
closeduntilthetaskforce,appointedlast
yearbythegovernortostudyOCFS,
completesitsreviewandreportsits
recommendations.
Get it right
Brynientestifiedthegovernor’splanto
mergethestate’smajoreconomic
developmentprogramsintoapublic-
benefitcorporationwouldcreate“the
ultimateoff-budgetshadowagency.”
Theproposalistomergethestate
DepartmentofEconomicDevelopment
COMMONCONCERNS—StateAssemblyMembersPeterRiveraandFelixOrtizdiscuss
(DED)andtheNYSFoundationfor
budgetcutstomentalhealthservicesandtheManhattanAddictionTreatmentCenterwith
Science,TechnologyandInnovation
PEF’sBonnieWoodandReg.10Coord.VernettaChesimard. — Photo by Ken Dischel
(NYSTAR)–intoashadowagency,the
EmpireStateDevelopmentCorporation
unioncontractwith3percentraises,” Systempensionbenefitwas$16,909,”
(ESDC).
Brynienasked,“butitisnotOKtobreak Bryniensaid.
BryniensaidESDCispaddedwith
high-pricedconsultantcontractswith5 What’smore,thecosttothestateand
about107subsidiaries,eachwithitsown
percentraises?” localgovernmentsfortheiremployer
board.Morethan27percentofESDC’s
contributionstothepensions“havegone
Solve the real problem
395employeesarepaidmorethan
downasapercentageofpayrollforthe
$100,000annually,andaveragepayat
“Thebudgetdeficit“isn’tprimarilya pastfouryears
ESDCismorethan20
spendingproblem,”Brynientold andareexpected
percenthigherthanat
lawmakers.It’srevenuethat’slagging. todropagainnext
DED.
“Thetaxcutsenactedsince1994have yearto7.6percent
EmployeesofESDC
reducedstaterevenuesby$20billionand ofpayroll,”
arehiredatwilland
haveprimarilybenefitedthewealthy,” Brynienadded.
unregulatedbythe
Bryniensaid. “TheExecutive
meritandfitness
Nevertheless,“theproposedbudgetputs Budget’sproposed
protectionsappliedto
agreaterburdenonlow-andmiddle- appropriationfor
DEDandNYSTAR.
incomefamilies,whoseincomeshavenot pension
Worstofall,the
growncomparedtothecostoflivingover contributionsin
DEDcommissioner
thelastsevenyears,andasksrelatively 2009-10is$100
holdscrucialregulatory
littlesacrificefromthewealthiestNew millionlessthan
powersunderNYSlaw
Yorkerswhoseincomesdoubled.” theprioryear.In
thatwouldpasstothe
Meanwhile,totalstatespending(asa fact,NewYork
GETTINGCOVERAGE—AssemblyMember
ESDCchairman,who
percentageofthestate’stotalpersonal State’s2010
PeterAbbatespeaksataPEF/CSEApress
headsalargebank.
income)isaboutthesameasitwasinthe contributiontothe
conferenceFebruary3inAlbanyopposingthe
Thosepowers
mid-1990s,alittlemorethan7percent. pensionsystemas
governor’seconomicdevelopmentmerger
includeauthorityto
Since1990,spendingforstateemployee apercentageof
whileDivision262StewardBillFergusonand
certifyanddecertify
wageshasdeclinedinrealtermsbynearly payrollislessthan
AssemblyMemberSusanJo
abilliondollars,a7percentdecrease.The itwasin1972.
—
h
P
n
h
l
o
is
to
te
b
n
y
.
Darcy Wells
companiesreceivingtax
creditsunderthe
numberofstateemployeespercapitain
EmpireZonesprogram,
NewYorkisoneofthelowestintheU.S. Take a closer look
andthepowertoensurefairaccessfor
Brynienshowedlawmakershowsome
Unfair to attack retirees
NYSfirmstoprocurementopportunitiesin
oftheproposedstatespendingcuts,
otherstatesandcountries.
Bryniendidnotstopatdebunking mergersandfacilityclosingscouldendup
OtherunionsandstateAssembly
mythsaboutthestateworkforceand costingmorethantheysave.
MembersRichardBrodsky,SusanJohn
taxes.Healsodeflatedhyperbole “PEFopposesclosingfacilitiesoperated
andPeterAbbatesaidthey,too,are
surroundingstateretireesandtheir bythestateOfficeofChildrenandFamily
concerned.
pensions. Services(OCFS),becauseitwillresultin
Brynienandtheotherssaiditwouldbe
“Theproposaltoreducestate placingtroubledyouthsinprivatefacilities
farbettertoreversethemergersothe
paymentsforretireehealthinsurancewill orcommunity-basedprogramsthatareill-
activitiesandresponsibilitiesoftheprivate
costretireesupto$5,435ayearin preparedtoprovidetheextensiveservices
entitiesareabsorbedbytheDED.
additionalcosts,”Brynientoldstate theseyouthsneed,”Bryniensaid.“This
“PlacingDEDatthehelmofamerged
lawmakers.“That’saboutathirdofthe resultsingreaterrecidivismandhigher
economicdevelopmentagencywould
averagestateemployeepension. costs,aswellasthelossoftheseservices
ensureamorecost-effective,accountable
“In2008,theaverageNYSandLocal tovariouspartsofthestate.”
andtransparententity,”Bryniensaid.
w
G
w
ov
w
e
.
r
p
n
ef
m
.o
e
r
n
g
tEmployeeRetirement Bryniensaidnofacilitiesshouldbe
TheCommunicatorMarch2009—Page5
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