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State must break free from addiction to spending
March 10, 2009

Last Thursday, Governor David Paterson met privately with the Partnership Board of Directors. His comments were especially somber with regard to the State budget, with legislative deliberations continuing to be mired in the conundrum of requiring severe cuts without clear responses - or political will.

The Governor was very candid in his remarks regarding the State's "addiction to spending" He recognizes - as the Partnership and Unshackle Upstate have been saying for some time - that Albany must cut its spending structurally if we have any hope of recovering from the current fiscal crisis. Or, at the least, of not prolonging it.

From our perspective here in Buffalo Niagara - where we are all too familiar with government budget crises - there is great similarity between the Governor's 09/10 budget proposal and the infamous Joel Giambra administration's "red budget" we dealt with in 2005. The Governor's message to the State Legislature has been straightforward - cut spending or tell your constituents that the alternative - a host of increased taxes and fees - will have to become a reality.

We, of course, have advocated a different response - that being reform of the broken and costly "system" which has led to so much state spending. In fact, this morning, Unshackle Upstate rolled out our proposed Medicaid reform package in Albany. At a time when our elected leaders seem to be short on solutions, we are proposing changes to the Medicaid system that not only will eat into the high cost of the program to taxpayers, but will make it a better program for the New Yorkers who depend upon it. Across the board - on a multitude of issues - we believe such an approach should be the primary focus for New York State electeds right now.

Given last week's opportunity to discuss the State budget directly and personally with the Governor, we capitalized. We reminded him of Unshackle Upstate's budget reduction recommendations that would save taxpayers over $7 billion in 09/10. We impressed upon him that taxing the wealthy in a recession only increases the out migration of their wealth - and of the people they employ. And we emphasized that stimulus money coming from the federal government to the State should not be spent in lieu of reform in Albany. To his credit, the Governor was receptive and even empathetic to our urgings.

Our staff, Unshackle Upstate's staff and the Partnership's Advocacy Boot Camp participants are in Albany today lobbying the State Legislature on the same issues that were presented to the Governor last week. The State budget is in the hands of legislators now, and we need to see from them a dramatic reprieve from Albany's addiction to spending. We're counting on Governor Paterson to carry the employer community's message of reform and cost-cutting with him into budget negotiations, and at the same time, we'll continue to put pressure on our legislators to do the same.

To get involved in reiterating that message, click here to send a message to Albany supporting the Unshackle Upstate agenda.

 
Andrew J. Rudnick