SOURCE:
https://www.newsday.com/news/region-state/cuomo-budget-issues-1.40871519
January 21, 2020
How Gov. Andrew M. Cuomo's proposed budget would affect five key issues facing the state:
TRANSPORTATION
The budget includes $87 billion to modernize the state’s transportation system, but takes a wait-and-see approach to funding long-term improvements for roads and bridges.
With the state Department of Transportation’s five-year capital plan set to lapse this year, Cuomo proposed a shorter, two-year capital program totaling $11.9 billion.
The truncated budget reflects “federal funding uncertainty,” according to Cuomo's budget. The federal government’s transportation budget plan, which funds about 40 percent of state road and bridge projects, expires in September.
Marc Herbst, director of the Long Island Contractors’ Association, a construction trade group, said he was “incredibly disappointed in the lack of funding allocated toward Long Island’s decrepit roads and bridges.”
Cuomo also would commit $3 billion in state money to help pay for the Metropolitan Transportation Authority’s $51.5 billion Capital Program, which includes funding for the LIRR’s Third Track and East Side Access projects.
Nassau County’s NICE Bus system and Suffolk County Transit each would receive a 16 percent increase in state aid for non-MTA transit systems in the downstate region.
Also in Cuomo’s budget is a proposal to ban repeat, “high-risk” individuals — those who commit repeat sex-related violations of the MTA code of conduct, or are high-risk Level 3 sex offenders — for a period of three years. The ban would cover the MTA system, including subways and the LIRR.
“We have people who have been arrested over 70 times for sexual offenses on the subways,” Cuomo said in his budget presentation. “It’s madness to say, ‘We’re going to continue to subject the riders of the subway system to this level of sexual abuse.'”
The budget also includes legislation to merge the state’s Bridge Authority and Thruway Authority, extend by two years the ignition interlock program for convicted drunken drivers and to authorize local governments to allow certain motorized scooters and bicycles on their roads.
Alfonso Castillo
ENVIRONMENT
Cuomo’s budget proposes a $3 billion environmental bond referendum in November, a statewide ban on polystyrene — commonly known as Styrofoam — and a study of connecting Nassau County to New York City’s water supply because of concerns about emerging contaminants in drinking water.
The “Restore Mother Nature” act would fund habitat restoration and flood reduction projects. The legislation is part of what Cuomo said would be a $33 billion state commitment over five years to fight climate change.
Cuomo called it “the most aggressive climate change agenda in the country.”
The state budget also would commit an additional $500 million for drinking water and wastewater infrastructure and water quality protection.
One environmental group said the money wasn’t enough. The proposals are “mostly repackaged existing funding commitments,” Alex Beauchamp, Northeast region director for the Food & Water Action, said in a statement.
But Adrienne Esposito, executive director of the nonprofit Citizens Campaign for the Environment, said funding in Cuomo's budget to fight climate change was “unprecedented in the state budget and will help us make the transition from fossil fuels to renewables.”
The $3 billion bond initiative would be paid back over 30 years if approved by voters.
The proposed polystyrene ban would go into effect Jan. 1, 2022. It would cover single-use food containers including beverage cups, along with Styrofoam packaging such as packing peanuts.
The drinking water study would examine issues including the cost of connecting Nassau water providers to New York City and the capacity of the city’s water supply system.
Water providers have warned of $1.4 billion in costs to treat emerging contaminants in drinking water.
“Treating emerging contaminants requires a significant investment, perhaps unsustainably so, which makes looking at alternative sources a common sense move," said state Sen. Todd Kaminsky (D-Long Beach), who requested the study.
David M. Schwartz
ENERGY
Cuomo promised to “flip the whole model” for locating, approving, financing and building energy projects across the state, saying the current model known as Article 10 “does not work.”
“You can’t have the goals we have and then have a system of bureaucracy that takes five to 10 years to start a new energy project,” he said of his plans for a carbon-free energy grid by 2040.
Cuomo proposed changing the state Energy Research and Development Authority, the Public Service Commission and the Empire State Development Corp. so New York would “lead the process” of locating sites for energy projects.
Cuomo said the state’s five-year, $33 billion plan to address climate change includes $9.1 billion for offshore wind; $6 billion for land-based renewables; $1.9 billion for clean-energy research; and $1.1 billion for the state Green Bank.
Budget documents lacked details about where that $33 billion will come from or how the agencies and the process would be reformed. A NYSERDA spokeswoman said Cuomo would be releasing details "in coming weeks.”
The documents note the “Climate Budget” “invests” $28 billion through NYSERDA, New York Power Authority and the Regional Green House Gas initiative to fund the projects.
Mark Harrington
BUSINESS AND JOBS
Cuomo's budget would require all but the smallest businesses to provide paid sick leave.
Employers with five to 99 workers would have to provide five paid sick days per year, while those with 100 or more workers would have to provide seven paid days. Businesses with fewer than five workers would have to provide five unpaid sick days.
Cuomo said mandatory sick leave would reduce the spread of disease and boost worker productivity. He estimated that 1 million New Yorkers must choose between working while they are ill or taking a day off without pay. He said many are working part time or are in low-wage occupations.
Cuomo also proposed a task force to recommend measures to protect gig economy workers from unsafe working conditions, wage theft and excessive hours. Companies such as Uber, Lyft and GrubHub that employ thousands of workers as independent contractors would be represented on the panel.
Cuomo restated his support for requiring the prevailing wage — essentially union wages — to be paid to construction workers on projects receiving tax breaks from the state and municipalities, including industrial development agencies. The proposal died last year after developers said they wouldn’t build in New York State if it became law.
Kevin Law, CEO of the Long Island Association, the region's largest business group, said New York "should learn from California’s mistakes before trying to regulate the gig economy, so as to not discourage innovation and entrepreneurship."
Law also said the prevailing wage shouldn’t apply to “privately funded projects that utilize IDAs simply to help make those projects financially viable,” such as affordable housing near Long Island Rail Road stations.
In terms of tax breaks, Cuomo is proposing a state tax credit for jobs created by environment-friendly projects that, for example, rely on solar panels and geothermal energy to address climate change.
James T. Madore
HEALTH CARE
Cuomo proposed a carrot-and-stick approach to push counties to rein in rapidly rising Medicaid costs, which account for a third of the $6.1 billion state budget gap.
Counties, which administer much of the program, get “a blank check” every year from Albany because of a 2013 state agreement to cover all increases in expenses, so there is no incentive to control costs, Cuomo said. Previously, counties had paid 25% of Medicaid expenses.
Under Cuomo's budget proposal, counties that increase Medicaid spending by more than 3% and do not stay within the 2% property-tax cap must pay the entire increase.
But if the increase is below 3%, counties keep 25% of the savings.
Suffolk Executive Steve Bellone said in a statement the county will work with the state “to identify savings.” Christine Geed, spokeswoman for Nassau County Executive Laura Curran, said Nassau will study Cuomo’s proposal and continue “to control costs.”
Cuomo also proposed to reduce Medicaid costs by $2.5 billion through efficiencies and additional revenue, and reducing waste, fraud and abuse. He appointed Michael Dowling, president and CEO of New Hyde Park-based Northwell Health, and labor leader Dennis Rivera to chair the effort. Cuomo vowed it would have “zero impact on beneficiaries.”
Cuomo also said New York would study buying prescription drugs from Canada. And he proposed additional restrictions on vape products, a $100 monthly cap on co-payments for insulin and 1,000 additional supportive housing units, primarily for people with mental illness.
David Olson