Members help sand down some of budget’s sharpest edges


By SHERRY HALBROOK With the governor’s government-shutdown gun to their heads, state legislators reached an agreement with him and passed a $132.5 billion state budget in the early morning hours of March 31. While it was a steep


climb right from the start, PEF members’ efforts prevailed on some important budget issues, and the union is still working on others.


Budget bright spots Among the most significant wins for


PEF were: • $60 million was restored for SUNY


Hospitals, a partial restoration to help avoid or at least reduce layoffs; • The 12-month notice laws were


preserved, but they are waived for this year to allow the state to close a variety of facilities with just 60-days prior notice; and • The Foundation for Science,


Technology, and Innovation (NYSTAR) will be merged into the Department of Economic Development (DED), instead of into the Empire State Development Corporation, as was proposed. And $1 million was added to the combined DED and NYSTAR budget which should allow all or most NYSTAR employees to transfer to DED.


Budget dark spots On the disappointing side: • The closing of some, as yet


unidentified, state prisons, youth- detention facilities and mental health programs could result in 1,750 or more layoffs across all bargaining units; • The Legislature also accepted the


governor’s budget assumption that either state-employee unions would make $450 million in salary and benefit concessions this year or face up to 9,800 layoffs – an issue PEF is trying to resolve through the PS&T Contract negotiations that began in March; and • The enacted 2011-12 budget does not


include the Assembly’s proposal to continue the income tax surcharge on millionaires, which would have raised state revenues by $705 million this year and $2.4 billion next year. The current surcharge does not expire until December 31, 2011. “PEF will continue to work with our


coalition partners to get this surcharge extended through separate legislation. So far, the Assembly majority and 23 state senators have expressed support for continuing the surcharge on millionaires,” PEF President Ken Brynien said. “Our hard work is having an effect on


these issues, but it clearly isn’t finished. We are poised and ready to do whatever we can to protect state jobs and services.”


Not happening The budget scraps the $99 million plan


to build a consolidated data center in the Capital District. The lawmakers rejected the proposal to


merge the state offices of Victim Services and Prevention of Domestic Violence, and the state Commission on Corrections into the state Division of Criminal Justice Services.


SUNY hospital mergers The budget provides $130 million for


SUNY Upstate Medical Center to acquire the nearby Community General Hospital in Syracuse. SUNY is authorized to maintain the


private pension plan for Community General employees. The employees will get a one-time option within 30 days to join one of the SUNY retirement plans or to stay in the private plan. Employees in PEF- represented titles would go into the NYS and Local Retirement System unless they opt to stay in the private plan. In Brooklyn, SUNY Downstate Medical


Center is authorized to acquire Long Island College Hospital as a separate, private, not-for-profit subsidy corporation. “This is intended to prevent the LICH


employees from becoming SUNY employees and avoid making them subject to state civil service laws and union contracts,” said PEF Director of Civil Service Enforcement Tom Cetrino.


Murky, very murky The budget gives the governor authority


to come up with a new mid-year proposal for further merging, consolidating or even abolishing more state (executive branch) agencies, public authorities and public benefit corporations than just those designated in the budget. The governor may submit only one plan


per year and must do it by May 30 each year unless the Legislature consents to a later submission. Unlike hospital closings recommended


in 2009 by the former Berger Commission, these plans would not automatically take effect without the Legislature’s approval. However, while lawmakers may accept or


MAKINGA POINT—PEFVice President Joe Fox and Region 10 CoordinatorVernetta Chesimard speak to BradUsher,chief of staff for state Sen.Liz Krueger,about the governor’s proposed cuts to the work force on PEF Lobby Day,March 9, inAlbany.—Photo by Richard Dillard


Page 4—The Communicator May 2011 PEF Information Line: 1-800-553-2445


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