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THE US ATTORNEY ONCE AGAIN TARGETS ALBANY

Ethics was, once again, Albany’s big news last week.  Another lawmaker, long-time Assemblyman Bill Scarborough, pled guilty and faces prison, and Senate Majority Leader Dean Skelos joined his former counterpart Assembly Speaker Silver in having to defend himself against charges of corruption.

Assemblymember Scarborough faces up decades in prison.  Scarborough also agreed to resign as a member of the Assembly.  In addition, Scarborough pled guilty to a public corruption charge related to use of his campaign account for personal expenses, as well as receiving reimbursements for being in Albany, when he was not there.

However, it was the detailed federal criminal complaint filed against the Senate Majority Leader that was the seismic political event.

The allegations against the Senate Majority leader are stunning:  that the Senator used his considerable political clout to drive business to his son; that he pressured both state and local governments to award contracts to his son’s clients; that he was paid millions of dollars from his law firm, but did no legal work; and that he pressured real estate interests to make campaign contributions that were directed to a state Senate race in the Buffalo area.

However, we must be mindful that Senator Skelos, like all Americans, is entitled to a presumption of innocence.

In addition to bringing criminal charges against the Senate Majority Leader and his son, the complaint identified a number of policy areas that have been recurring problems in Albany:

1.   The U.S. Attorney’s charges stated that Senator Skelos was paid $2.6 million over two decades from his law firm, but did no legal work, which raised once again the issue of lawmakers’ outside income.

2.  The charges argued that the Senator used his clout to generate $100,000 in campaign donations from a real estate developer who used a number of limited liability companies to make those contributions, raising the issue of why LLCs continue to be treated as humans, instead of businesses for the purposes of campaign contribution limits.

3.  The U.S. Attorney’s charges argued that Senator Skelos’s son was engaged in both local and state lobbying without registering and yet, apparently, felt no pressure to comply with state disclosure laws, raising the issue of whether state ethics laws are being adequately enforced.

Those public policy problems should be addressed and, given the circumstances, the governor has a unique responsibility to make reform happen.

The criminal charges against the Senator are serious and, coming on the heels of the arrest and indictment of the former Assembly Speaker clearly strengthens the hand of the governor as the second half of the session heats up.  Governor Cuomo now must move Albany along to resolve the outstanding issues in the 2015 legislative session.

At the top of that list of legislative “must dos” are initiatives to overhaul ethics enforcement, limit outside income, and rein in the influence of New York’s powerful special interests.  Here are three important steps:

1.  If there were independent ethics enforcement, Albany’s pols would behave differently.  Like the rest of us, public officials behave differently when they know they are being watched.  We all drive slower when there are speed traps.  Yet, Albany’s ethics watchdogs are controlled by the governor’s and legislative leaders’ appointees.  New York needs independent ethics enforcers, ones who will apply the law without fear or favor.

2.  A clear limit on outside income, like the one in place in the Congress, would attract more lawmakers who are interested in public service, not monetizing their public office for private gain.

3.  Eliminating the LLC loophole would make it far harder to obtain huge campaign donations from all-too-often difficult to identify contributors.

Albany’s pay-to-play “transactional” political culture must end.  Once again, and more than ever, the ball is squarely in the governor’s court.

POLITICAL “MISDIRECTION” ALBANY-STYLE

When politicians find themselves in a jam, they will try to get the public to focus on a different issue.  In politico parlance, that’s called “misdirection”: getting the public to focus their outrage on something else.  Politicians who command the bully pulpit, like a governor, have the greatest power to misdirect public attention.

Governor Cuomo has recently engaged in a very successful effort to misdirect the public.

The governor initially got himself into the “soup” with this policy of requiring the elimination of all state agencies’ emails after 90 days.

At first, the governor’s office argued that the policy was simply due to technological limitations.  When faced with the fact that the federal government – which has far more emails than New York – now has a seven year retention email policy, the justification changed. (more…)

NEW YORK’S NEXT STEP IN COMBATING GLOBAL WARMING

NEW YORK’S NEXT STEP IN COMBATING GLOBAL WARMING

April 22 was the 45th anniversary of Earth Day.  Earth Day has been a way to focus public consciousness about air and water pollution.  This year’s Earth Day focused on the need for actions to curb the growing public threats resulting from climate change.

2014 was the hottest year in recorded history. The world’s experts have stated that the global warming is largely due to human activity – primarily as the result of reliance on fossil fuels.  They argue that the only way to respond to this crisis is to dramatically slash the use of fossil fuels, like coal, oil and gas, which, when burned, emit the greenhouse gases warming the planet.

How will we generate the energy necessary to power the world?  As societies scramble to answer that question, events in New York may offer a blueprint for action. (more…)

LAWMAKERS RETURN TO ALBANY

This week lawmakers return to the Capitol to begin the second half, the non-budgetary, part of the 2015 legislative session.  The second half of session likely will be dominated by a handful of issues, including some that dropped off the table during budget negotiations.

The New York City rent control law expires this June.  Advocates argue that maintaining the rent control law helps ensure that housing continues to be affordable in what is becoming one of the most expensive cities in the world.  The issue will be a top priority of tenants’ rights groups who will be opposed by New York City’s real estate industry, which has poured millions of dollars into Governor Cuomo’s and state lawmakers’ reelection bids.

Another top issue, again focused on New York City, will be extension of mayoral control of the city’s school system.  Until recently, the city’s schools were controlled by a more decentralized system that included local school boards and a city Department of Education.  In 2002, legislation passed that granted the mayor direct control over the schools.

In addition, there will be a debate over extending the state’s property tax cap.  Those big issues, plus some of the issues that got kicked out of the budget, like the education tax credit, the DREAM Act, increasing the minimum wage, and the women’s agenda legislation will drive the end of session. (more…)

TARGETING A GAPING CAMPAIGN FINANCE LOOPHOLE

Most New Yorkers correctly assume that the state’s campaign finance system is a mess.  New York has the highest campaign contribution limits of any state that has limits, the law is riddled with loopholes and enforcement is essentially nonexistent.  One government-appointed commission described New York’s campaign finance law as a “disgrace.”

Not only is the State Board of Elections a toothless watchdog, it goes out of its way to make a bad campaign finance system worse.  One example is how the State Board treats Limited Liability Companies.

Limited liability companies are a way for businesses to organize themselves. LLCs have become the state’s most popular form of limited liability business entity and are favored by small business owners because it affords them the “managerial flexibility and favorable tax benefits of the partnership, while also providing the conventional limited liability protection of the corporation.”  LLCs are also quick, relatively simple and inexpensive to form, with “do-it-yourself” kits touting that organization papers may be drafted in a few hours.

New York’s Election Law does not specifically regulate political donations contributed by this new form of business entity. (more…)