Governor Supports Most Reform of Shadow Government

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David Paterson is being pressured from all sides over a bill that is being praised as a sweeping reform to make New York’s public authorities more accountable.

Paterson, a Democrat, is in a tug of war with New York City Mayor Michael Bloomberg, who wants changes in the measure before Paterson signs it into law so the city can have more flexibility. State Legislature and bill sponsors are also turning up the pressure on Paterson, an early supporter of authorities reform when he was in the Senate.

Paterson had signaled strong reservations over the public authorities reform bill since Friday, but he said late Monday – after a weekend of heavy lobbying – that he supports 90 percent of it. He said that, with some concessions, it could become law by late September.

“We strongly support it,” said Gene Russianoff of the Straphangers Campaign public transit consumer group in New York City, which is working with other good-government groups. “It’s one of the most significant steps in more than a generation.”

A Newsday editorial called the bill “one of the most sweeping reforms of state government in a decade. … For too long, these agencies have been racking up billions of dollars in debt and doing political favors, out of sight of regular government controls.”

Public authorities include the Metropolitan Transportation Authority, the Thruway Authority and economic development agencies with the power to offer tax breaks to businesses. Over the decades, some of Albany’s biggest scandals have involved boards mostly appointed by governors and the New York City mayor.

On Friday, Paterson staffers said that although Paterson supports public authorities reform, he wants it done in a way that will “bring real transparency and accountability … without passing along added costs to taxpayers or stifling job growth.”

In the second of two appearances with the sponsors Monday, Paterson said he could envision signing the bill and making changes in what are called chapter amendments in agreements with the Legislature. Or, he said that if necessary he could veto the bill to allow the Legislature to include the changes in a revised bill for the special session in September.

“Ninety percent of it is excellent,” Paterson said of the bill.

Bloomberg, however, has concerns over the way the bill transfers more oversight and control by the state Legislature.

“Authorities aren’t perfect, but that’s going in the wrong direction totally,” Bloomberg said. For example, the bill would require authorities’ board members to act in what they determine to be the most fiscally sound way regardless of the views of those who appointed them.

Bloomberg said a stronger safeguard is the fact that the executives who appointed board members are directly accountable to voters and taxpayers for the actions of authorities.

Bloomberg also said the bill would unnecessarily complicate some big projects. For example, the bill would require all property to be sold to the highest bidder, but Bloomberg’s authorities have secured additional public benefits by being more flexible.

“We’re going to keep hope alive in every which way that we can and hope that (Paterson) will do the right thing and not let the mayor’s objections make him undermine his own accomplishments,” said one of the bill’s sponsors, Democrat Sen. Bill Perkins, who represents Paterson’s former Harlem district.

“After all these years of calling for fundamental reform, here we are,” said the other prime sponsor, Democratic Assemblyman Richard Brodsky of Westchester. “So we’re not going to let them get in the way.”

Negotiations continue.

Source: AP

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