30 percent of the total of some $760 million the city spent on the system. Disgraced CityTime firm to repay $232M(NYP)
NYP Vents Against Cuomo and the Tax Changes
A bizarre win – for political hocus pocus(Dicker, NYP) Cuomo offered a dazzling display of political jujitsu yesterday as he abandoned his pledge to end the “millionaires tax’’ in a deal with lawmakers that offers modest middle-class tax relief and lowers the hated MTA payroll tax. * Tax-deal slap at millionaires (NYP) Cuomo breaks no-hike vow but OKs middle-class cuts
The Post calls Cuomo, Senate Majority Leader Dean Skelos and Assembly Speaker Sheldon Silver the three stooges for approving yesterday’s tax deal, saying none of them have the guts to cut spending and there will be more tax hikes to come. "Fact is, neither Cuomo nor Skelos — and certainly not union-owned Silver — have the courage, the cleverness or the discipline to bring spending within New York’s constrained means."(NYP Ed)
NY Times Back room deals announced via press release = "not the way to run a government," says NYT Albany’s Tax Deal (NYT Ed)
NY Sun The NY Sun says the ribbing it took over backing Carl Paladino last year is preferable to being made a “chump” by a Democratic governor going back on his word.
Wall Street Journal The WSJ’s lede: “Breaking with a central tenet of his campaign, (Cuomo) and legislative leaders Tuesday reached a wide-ranging deal that raises more money from the state’s wealthiest residents to help balance the budget.” NYC Highest Local Personal Tax Also from the WSJ: “Wealthy residents of New York City, which has its own income tax, would pay about 12.5%, the highest state and local personal income-tax rate in the nation.”
Larry, Curly and Moe(NYP Ed) New York’s spendocracy greeted Gov. Cuomo’s tax-hike coup with qualified high-fives and alleluias yesterday — yes, it had just gotten another $2.6 billion to spread around. But no, that wasn’t going to be nearly enough. Amazingly, Cuomo, GOP Senate Majority Leader Dean Skelos and Democratic Assembly Speaker Sheldon Silver stood with straight faces and announced that they were “cutting” taxes.
Christmas seemed to come early in Albany yesterday, where business lobbyists and liberal Democrats alike praised Cuomo’s package of tax cuts and targeted programs that left Gov. Andrew Cuomo looking like Santa Claus. It was no surprise to insiders, who described weeks of rumors and coded language that had let them know the presents were being wrapped (CHN) * Gov. Andrew Cuomo relied on aide Andrew Zambelli to poll New Yorkers about the prospect of new taxes before pushing his tax deal, the Wall Street Journal reports Cuomo Shifted Slowly(WSJ) The governor had already worked out the framework of his tax code plan when he made his quick trip to San Juan for the Somos conference in early November. Two key business allies – Ken Langone and Felix Rohatyn – provided counsel early on.
The state's middle-class tax cuts could save families on average $300 to $400 a year (Poughkeepsie Journal) * Albany Tax Deal to Raise Rate for Highest Earners(NYT) * Albany Boosts Taxes on Wealthiest(WSJ) *Cuomo scores deal to tax millionaires higher(NYDN) * “It’s a tax increase masquerading as a job-creation and reform plan,” says EJ McMahon.* The NY Republicans don’t escape criticism for this deal. The WSJ calls the party “essentially worthless,” and also dings the Partnership for New York City for “sticking it to small business owners with narrow profit margins.” * Mayor Bloomberg isn’t going to second-guess Cuomo on taxes.
All Quiet on the Pro Business Front
Cuomo and Team Cuomo Real Political Skill is Their Ability to Silence their Opposition
Cuomo’s plan appeared to be going over well, with endorsements from the New York City Partnership, the Business Council, the New York Farm Bureau, and Unshackle Upstate, normally anti-tax business groups, while other anti-tax organizations remained conspicuously quiet. (NYP) * Everybody get in line! The Partnership for New York City’s Kathy Wylde, who deals with billionaires every day, sounded less than pleased with Gov.
The Politics of the Partnership
Andrew Cuomo’s proposed tax reform plan Monday night. At NYC & Co.’s annual gala in Manhattan she worried about the governor’s declaration that New York is the “progressive capital of the nation,” telling us, “You know what that means – higher taxes.” But as more details of the plan leaked yesterday, Wylde changed her tune. “I feel better today, having confirmed that the governor remains committed to continued spending reductions and reforms to close most of the budget deficit,” she emailed. “He is proposing a temporary restructuring of tax brackets to raise some additional revenues. We support that position.”(CHN)
The MTA's Big Deceit Just Got Bigger
The NYT is disappointed the deal leaves a $2 billion hole in next year’s budget and wonders where the $250 million for the MTA payroll tax portion will come from. Plus, backroom deals announced via press release are “not the way to run a government.” * MTA Payroll Tax Headaches(YNN) * Transportation Alternatives says the revised MTA payroll tax deal “puts the region’s subway and bus riders in a perilous position.”
Tax Bill Not Good For Some
Indian casino owners promise to fight the tax deal’s push to legalize gambling in New York, saying polls show the public is on their side (Buffalo News) * The Senecas have pledged to “vigorously fight” any effort to expand non-Indian gambling that interferes with their exclusivity rights in WNY. More here. * Governor Cuomo’s budget deal includes an agreement to pass a constitutional amendment legalizing non-Indian casinos.
Boyland's Carnival Corruption Sheds Light on Industry Corruption
Assemblyman William Boyland Jr.’s second indictment shined a light on corruption in the carnival industry.
Albany and City Hall Clash on Education(NYT) * At Top Public Schools, the Arts Replace Recess(NYT) * Two Brooklyn Catholic schools to merge(NYDN) * The Bloomberg administration will appeal a judge’s order to hand over emails related to ex-NYC Schools Chancellor Cathie Black’s hiring to ProPublica.* New York’s Math Scores Dip on U.S. Student Tests, Diverging From Trend in Other Big Cities(NYT)
Singin’ in the rain (NYP) Things were looking pretty bright for City Councilman Larry Seabrook despite the rain yesterday after jurors at his corruption trial ended a third full day of contentious deliberations without a verdict. * Judge Chides Defense in Official’s Trial(NYT)
Another Queens Member Items Non Profit Indictes
AG: Huntley Member Items Funneled To Aide(YNN) Attorney General Eric Schneiderman and Comptroller Tom DiNapoli announced today that four people — including an aide to Queens Democratic Sen. Shirley Huntley — will be indicted for filing fraudulent documents in order to pocket $30,000 in member-item cash meant for a non-profit. * Four Accused of Stealing Aid Intended for Nonprofit(NYT) * 4 Accused in Theft of Aid Meant for Nonprofit(NYT)
City Will Mind Your Business
City Now Offering Financial Counsel(WSJ) NYC will expand a pilot program with $2.4 million for financial counselors to help struggling New Yorkers get out of deb
Occupy Your Home
Protesters help family Occupy foreclosed home(NYP) * #OccupyWallSt Roundup, Day 81(NYT) * The Occupy Wall Streeters are targeting the housing crisis by “occupying” abandoned NYC homes.* Occupy Albany protesters spent five days cleaning up their encampment in the hopes they can avoid eviction for code violations.* Police take down Occupy San Francisco camp * Occupy Albany gets to stay in Academy Park for another two weeks. More here.
Money for Developer Not Hospital
Hudson Yards on Manhattan's far West Side plagued by cost overruns (NYDN) $500 Million * Peninsula Hospital in danger of not making payroll without cash infusion by Dec. 26 (NYDN)
Council Hears Transit Plans for a Blizzard(NYT) * NY transit: Stranded passengers were forgotten(WSJ)
NYP Takes A Shot At Union Bosses Over PR Junket
NY union bigs take heat over junket (NYP) As many as 300 labor bosses, who represent New York’s struggling municipal workers, have been whooping it up in sunny Puerto Rico on a union-paid junket, even as their rank-and-file members pinch pennies back home. Sen. Marty Golden and Assemblyman Peter Abbate held fundraisers at the Public Employee Conference, which the Post describes as “300 labor bosses … whooping it up in sunny Puerto Rico on a union-paid junket”
Obama Strikes Populist Chord on G.O.P. Turf(NYT) * Obama Takes Populist Swing at GOP(WSJ) * Obama channels Teddy Roosevelt, rips GOP (NYDN)
In Iowa, Gingrich Is Gaining Favor, New Poll Shows(NYT) * Second-Guessing by Romney Supporters(WSJ) * Ahead of Iowa Vote, Gingrich Unfazed(WSJ) * Trump debate? No way, says Romney(NYDN) * Dick Morris On Newt Gingrich’s Success: ‘You Don’t Win Iowa In Iowa,’ You Win It On Fox News
Organize Crime Keeps Grip on Garbage (WSJ)