Gov. Paterson Impresses Diverse Audience at Brooklyn Town Hall Meeting: Commands Moment, Impactful on State Budget Crisis

A confident Governor Paterson was well-received at a Town Hall meeting about the New York State budget at Brooklyn’s Borough Hall on Monday and no one can accuse him of sugar-coating the economic message.   Paterson began with a brief historical analysis of how governments have changed the names of financial problems from Poland’s Crisis of 1899 to the Great Depression of the 1930s to what is today called a “recession.”  The point of his lesson was that whatever it’s called, the pain is the same.  “A recession is next door,” said the governor.  “When you’re the one who’s lost a home or a job, that starts to feel like a depression.”    
Paterson says New York State can be looking at a Depression if action is not taken now.   And the action he has taken, he frankly detailed.  “In my administration we have cut $4.5 billion from health care, we’ve cut $1.1 billion from education, we’ve cut our administration, our agencies, by $1.5 billion  and in this year’s budget we’re going to cut it some more.  We’re going to have to cut health care another billion, education a 5% reduction of $1.1 billion and another billion from our agencies, including $250 million from workforce reduction.”
Governor Paterson was quite clear in his warning when he said, “I came here to tell you that today we’re Crossing the Rubicon in terms of moving from recession to something else far worse if my colleagues and I can’t close a $9.2 billion deficit.”  They had successfully closed an  $18 billion deficit last year, said the governor,  “but we had more options.  We’ve used them up.  We’ve depleted our resources.”
The governor then asked for suggestions but reminded the assembled that wherever a program is to be saved, “we also have to know how we’re going to pay for it,” because the state may run out of money by May or June. 
Suggestions ran from borrowing from other countries; “most are in the same boat we are,” said Governor Paterson, although he added he has suggested that the Treasury could lend to highly rated governments at a favorable rate of return.  Queen Mother Blakely’s suggestion that it would be cheaper if state institutions purchased Queen Mother’s Organic Coffee from her women-owned enterprise and queried as to how she should proceed.  The governor acknowledged that, “There is a lot of purchasing the state does and we’ll have someone speak to you about that.” 
Dave Taylor said the governor may not remember him, but he was from the Upper West Side of Manhattan, and came representing the Council of Senior Services to say that senior citizen centers throughout the five boroughs are currently under review by the NYC Department of the Aging to determine which should be closed.  “Seniors are terrified.  We are faced with the possibility of 75 centers being closed throughout the city.  Will you take Title 20 off the table and stop the closing of senior centers?”   “Dave Taylor, I remember you well from the Upper West Side,” responded the governor.  “And if I remember correctly, I think you ran for City Council in 1989.”
Mr. Taylor’s question was an opportunity for Governor Paterson to show the dilemmas his administration is faced with.  “A kind of triage,” is how he puts it.  Two of the deficit culprits are the surge in Medicaid costs – “about $400 million” – and the Wall Street bonuses that were paid in stock, not in cash and therefore couldn’t be taxed. 
“When the bonuses are not paid, they don’t go back to the public, they go to the firms,” explained the governor.  “And the firms have very favorable tax benefits and ways in which when the money goes back to the firms, we can’t tax it at the same rate as if it was paid in bonuses.  This cost us another half a billion dollars.” As the governor put it, “This was the public relations way that Wall Street is adjusting to the attacks on the high bonuses.”
Describing the economic environment he is in, Paterson said, “It is hard to take things off the table when actually we still have to come up with another billion dollars.”
He insisted that his administration is “particularly careful and scrupulous of those who live on the edge:  Seniors. Homeless people with disabilities and people who don’t have many options.”  And yet while still being mindful of the very real pain these cuts cause, New York State has to move forward and “the only reason it’s on the table is because of the dire state that we’re in.”
Councilman Charles Barron spoke in favor of looking for money where money is: wealthy folk. He called for a Stock Transfer Tax as a way to recapture some of that Wall Street money and congratulated the governor for blazing the path of taxing the wealthy. “I think you were bold.  You were one of the few governors who had the heart and the spine to raise the PIT, Personal Income Tax surcharge, on those earning $250,000 or more and we got about  $4 billion out of that.  Let’s go up further, those making $500,000, charge 2.5%  Those making a million, 7.5%.    You cannot have a budget process and say that raising taxes on the rich is off the table.  If you want to be fiscally prudent, then everything stays on the table: cutting us, taxing the rich and selling state assets.  Tax the rich and put some of our stuff back in the budget.”
Describing an imposition of a Stock Transfer Tax as “tantalizing” Paterson said, “The Stock Transfer Tax began in 1905, and in 1966 it was shifted and the Transfer Tax benefited New York City.  It was reduced between 1978 and 1981 and here’s why.  We’re not living in the kind of world as in 1905.  We’re living in an electronic environment.  If you want to move Wall Street to Downtown Newark or Greenwich, Connecticut, impose a Stock Transfer Tax.  They don’t need the geographic location of
Wall Street to operate any more.”
The governor then offered a suggestion of his own on retrieving some of the Wall Street bonus money.   “What I think we should do is talk to Wall Street, which is the engine of our economy, about the way they are shifting resources that just denied New York State half a billion dollars this year and half a billion next year.  I do think there is a discussion that we have to have with the major firms on Wall Street about how to support New York State, which is supporting them.” 
On the issue of taxes the governor agreed that he had enacted one of the most stringent taxes on the wealthy, over 9%,  “for which we got a lot of criticism,”  but his administration has found that this approach has diminishing returns.  As proof, he offered that they had projected over $4 billion in revenue but actually got in only $3.6 billion.  Apparently, people’s loyalty to New York does not extend to paying more in taxes.  “The problem is people will say they moved to Florida, and stay there one more day a year than they do here in New York, and for that, they don’t pay any taxes at all.”
To a question regarding the Atlantic Yards project, Paterson said he had waited for the Court of Appeals to make a decision regarding the use of Eminent Domain in the taking of private property for private use and was surprised that it allowed the taking to move forward.  “And now the Supreme Court has made a decision.  There was a process, I did not want to impose my own judgment where there has already been a court decision in the matter.”
Councilwoman Letitia James said there could be savings in closing empty upstate prisons and merging redundant agencies.  Paterson responded that they have already begun the merging of agencies, but said the savings are “only in the tens of millions of dollars,” and they’re looking at a multibillion-dollar hole to fill.
Councilwoman James had also brought up the subject of the proposed Sugar Tax, which she said was a regressive tax.  Perhaps because the governor’s schedule showed his next stop was a Sugared Beverage Tax Symposiumÿ in the Blue Room of the Capitol he took to the question like a bear to honey.
“In the end it may be regressive, but it’s a different kind of tax,” the governor insisted, “because all of the tax collected is designated for health care services.   We are losing $8 billion a year from people smoking and almost as much, $7.5 billion a year, treating diabetes, heart disease and other ailments coming from obesity, largely caused by sugar.  Companies have freely sold these products in our communities and put them in serious, serious physical condition and we’ve never taken a look at that.” Paterson spoke of the proliferation of hospital units around the country treating childhood stroke and heart attack victims. 
“We assessed how much money we would get from a Sugar Tax but we also assessed that there would be a 15% drop-off in the market.  This will drop the amount of money the taxpayer is paying for health care.  60% of adults in the state are obese,  25% of children and 33% of minority children are obese.  80% of African-American women are obese.  Well, okay, 79%.  I’m speaking for a class of people who don’t have a vote.  And that’s the children of this state. And when their parents come down here and shaking the wall  about their children having heart attacks, it’s not going to be on my conscience.”
Also speaking for the children was Ms. Jackson of AARP Chapter 2197 who asked, “Why are we cutting Kin Care when it saves the state money.   We have over 400,000 children in Kin Care.  Keeping those children out of the foster care actually saves money.  We need that $2 million for those children,  keeping them with their families, the Kin Care program builds family bonds as well as saves the state money.”   Paterson said he would go back and take a look at the Kin Care program.   “But,” he said, “If the premise of your question is that we have made cuts that otherwise brought revenues into the state, what I want to tell you is that’s how dire our situation is.”  He gave the example of the Parks System where he said every dollar the state spends generates $5 in revenue.  “The problem is we don’t have the dollar to open the parks.” 
The governor describes a scene much like a family at the kitchen table holding back on paying the cable bill in order to pay the rent.  “We have to make payments to local governments at the end of March and payments on Medicaid.  We are $2 billion short on those payments and nobody knows where we’re going to come up with the money.  That’s why we discussed holding back the tax returns for two weeks.  That would bring about $500 million into the $2 billion we have to pay.  These are not choices.  These are necessities.”

A Chairman’s Uplifting Homegoing

It was standing room only in the uppermost region of the Riverside Church for the homegoing service of Percy Ellis Sutton.  Giving the Personal Tribute, Reverend Jesse Jackson said, “The tallest tree in our forest has fallen,” calling Sutton an authentic Renaissance Man.  He spoke of how  “The Chairman” had stood with Malcolm X, Martin Luther King, Jr.,  Nelson Mandela.  “He left more than he found.”
In a statement videotaped earlier at the church, Governor Paterson said that more than a media mogul and entrepreneur, that Percy was a leader, teacher, mentor and friend.  Sutton was steadfast and disciplined and “He was the first person to advise me about my vision, the first person to suggest I run for office,” and he “gave correction in such a way that you’d think it was a  compliment.”  (This was later amended by Inez Dickens, who assured everyone that Sutton could also correct you in a way such that you knew you were corrected.)  Paterson made the case that without the life of Percy Sutton, he would not be governor now.
Mayor Michael Bloomberg said that Sutton’s “greatest accomplishment was his own life.  He took his destiny in his own hands.”  Listing Sutton’s accomplishments, Bloomberg said he made Black radio a fixture in New York, saved the  Apollo Theater, Charles Rangel became a congressman, David Dinkins became mayor and Paterson became Governor.  The mayor announced that the cluster of schools on Edgecombe  Avenue in Harlem will be named the Percy Ellis Sutton Educational Complex.  “He made a difference,” concluded the mayor.
U.S. Attorney General Eric Holder said that, “The opportunities my generation have been given are possible because of the work” of Sutton’s generation and acknowledged that he stands on Sutton’s “still-broad shoulders.”
An interview of Sutton was shown and he recounted that he “could not get a Black professional to come to a meeting” with Malcolm X.  He said that he had to learn that he “could not go frontally” when confronted with obstacles, but “had to go in from the sides.”
Congressman Charles Rangel apologized to the family, saying of his mentor and friend, “We treated Percy like we owned him.  I called him like I was calling home.”   He recounted how special it was to Mr. Sutton when someone came up to him on the street and said, “God bless you Percy Sutton.”  “And this is what Percy was all about.” 
The congressman challenged the assembled saying as long as someone is without, then it is the obligation of those who knew Percy to offer help.  He also gave them hope saying “there is a little bit of Percy in each of us,” and that as he leaves to meet with the president, there will be that little bit of Percy coming to Washington with him.
Melba Moore sang “Amazing Grace” and Stevie Wonder said he was “Happy for the family that you had such a king in your life,” and then sang an amazing “I’ll be Loving You Always.”
In the Family Remembrances, nephew Charles Andrews said he spoke with Leatrice,  Mr. Sutton’s wife of sixty-six years, she was angry saying, “He left me.”  He assured Leatrice that “You are his window.  Through your eyes he sees, through your heart he loves.”  He said that when he had recently seen his uncle, Sutton had told him to tell Leatrice, “Smile, and remember when.”
Granddaughter Keisha Sutton-James said her grandfather was larger than life.  “He was my hero.  By example, he taught me how to love.”  She added later, “When I would walk into the room, he’d give me a standing ovation.  How important was that to this little Black girl?”
Daughter Cheryl spoke of the tradition of Sutton making soup after Thanksgiving.  “People may forget what you say, and forget what you do, but they never forget how you made them feel.”
Malcolm X’s daughter Atallah Shabazz said, “How blessed we are that Percy touched our lives.”  She spoke of how when others kept away from Malcolm and the family, “Percy chose to stand nearby.”
“I could not be what I am today without Mr. Sutton.  I will be an example of your majesty by any means necessary.”
Walter Edwards remembered, “A man for all seasons who looked past what a man was and could see what he could be.”  Percy was Black and Proud before James Brown said it and understood the responsibility of a proud man.
Clarence Jones gave a moving remembrance of Sutton calling Jones’ hospital and guaranteeing payment of an expensive medical procedure.  “Good-by my audaciously proud brother.”
Roscoe C. Brown, Jr. said he knew Sutton since their days together as Tuskeegee Airmen attached to the 332nd Fighter Group.  Sutton was the intelligence officer and Brown said his flourishes in reporting the missions for citations “made heroes out of us.”
Mayor David Dinkins had to stop and compose himself several times as he spoke of “We three, who were once the ‘Gang of Four’,”  referring to Basil Paterson, Percy Sutton, Charles Rangel and himself.  He was one of the most dedicated, dynamic and determined individuals to be met, said Dinkins.  He also mentioned that one of the most important elements of Sutton’s walk from his home was someone coming up to him and saying, “God bless you Percy Sutton.”  He was our inspiration and our guiding force.  “Then we were four, now we are three.”
Dinkins said to remember that “Apples did not fall from the tree, they were shaken by our ancestors.   Had there been not Chairman Sutton, there would have been no Mayor Dinkins.”
Basil Paterson knew Percy as a friend and a Renaissance man.  He rebuilt 125th Street.  He was fiercely loyal and always there for the underdog.
Reverend Al Sharpton gave the Eulogy and spoke of Sutton, who even as a multi-millionaire, laid down in front of One Police Plaza for Amadu Diallo, “AWest African boy he never knew.” 
“Percy knew he was a giant but too many around him had grasshopper complexes.  Percy invested in a  community that didn’t even believe in itself.”
“He did not let America change him, he changed America.”   “A hundred years from now they will celebrate Percy Sutton, a man who dreamed dreams and made them come true.  He made little people feel important.  He made us feel important.” 
Sharpton ended with a story of how Mr. Sutton had come to his support at a critical time, and had held up a picture of the reverend and said “I am Al Sharpton.”  Speaking of how the Chairman’s spirit will live on, Sharpton held up a picture of Mr. Sutton, saying, “I am Percy Sutton.”
  David Mark Greaves

One Valiant Effort: Thompson Concedes Run for Mayor

 

              During his yearlong quest for Mayor, Bill Thompson faced the biggest multi-million dollar campaign juggernaut in municipal history. He did so with style, grace and a gentlemanly comportment. The Thompson campaign spent election night at the New York Hilton, where hundreds of supporters packed the ballroom.

            A Who’s Who of Democratic leadership made remarks. Moderated by Harlem Assemblyman Keith Wright, those who addressed the crowd during the hours as the vote count between Bloomberg and Thompson remained tight (48% to 49%)  included  Norman Seabrook of the Corrections Officers Association, DC 37′s Exec. Dir. Lillian Roberts, President of RWDSU Stewart Applebaum, President of the Uniformed Firefighters Association Steve Cassidy, Manhattan Borough President Scott Stringer, Bronx Borough President Reuben Diaz, Jr., Councilwoman Letitia James, Assemblyman Darryl Towns, Assemblyman Espaillat, NYS Comptroller Tom Dinapoli, Assemblywoman Debra Glick, Assemblyman Jeff Genowitz, Congressman Anthony Weiner, and Rev. Al Sharpton. 

            Bill DeBlasio said “our candidate Bill Thompson is one of the most decent people in public life. He has done everything right. He has served with distinction. Bill Thompson has served us well.  John Liu told the crowd that Bill Thompson “has confounded” every pollster, referring to re-election polls that inflated Bloomberg’s lead. Liu said, “we have seen results that speak well of democracy in NYC.” NYS Senate President Pro Tempore Malcolm Smith said, “It is Thompson’s time.”

            As the night wore on, the crowds jubilant mood began to change as word spread that the vote total moved to 51% for Bloomberg, 46% for Thompson.

            Governor Paterson said he could not leave the stage without telling the truth, “The fact is, there are too many Democrats who stayed home today, because they listened to the polls. They stayed home because they listened to people who represented everybody else’s interests except there own. Democrats need to believe in a Democratic party and those that represent the Democratic party – fighting against poor housing; fighting against drugs; crime; unemployment and underemployment. Fighting for decent educational facilities. Fighting to save the environment. And fighting for the education of our children.” Paterson added, “I want to congratulate Bill for not giving up.”

            Bill Thompson was called to the stage with the crowd chanting, “Billy! Billy!” and was greeted by warm, enthusiastic applause.

             Thompson’s words announcing he had just called to congratulate Michael Bloomberg was met with disapproving boos at the election results. Thompson said, “Although we have had our differences, we have always found common ground in our deep desire to serve this city. And to build a better future for this city.” He added, “And I pledge to do whatever I can to put the differences of the campaign behind us. And help him move this city forward as we work to address some very serious challenges.”

            With his head held high, Thompson said, “Tonight when the final votes are counted, the results will not be in our favor yet we still have much to be proud of.  This campaign was about standing up for your core values. This campaign was about standing strong, standing tall, and never backing down in the face of a formidable challenge. We are New Yorkers, That’s what we do.”

            “The work we started during this campaign doesn’t end tonight, in fact, it’s just beginning,” said Thompson. “I’ll continue to work with you to  make this city better. For others. It is our duty to make sure the issues we highlighted do not fade back into the shadows of our public dialog.”

            Thompson said he learned about public service from parents, a school teacher and an appellate court judge. He said, by their example, “I dedicated my life to giving back to this city that has given so much to me.”

            Citywide voter turnout was 1.1 million votes. Preliminary results are Bloomberg 51%  (557, 059  votes);   Thompson 46% (506,717 votes). Thompson won Brooklyn by 18,331 votes, and took the Bronx with 32,755 more votes than Bloomberg.

            Mayor Bloomberg spent upward of $90 million dollars, outspending Thompson by 14-to-1. With an average of $157.27 per Bloomberg vote compared to $13.12 per vote for Thompson, some attendees noted that Thompson may indeed be the better money manager.

            Thompson ended his remarks by saying, “Your support, your enthusiasm and desire for change is what carried me to this point.  We may not have won this election, and yet I know, this campaign had to be waged. I’ll never forget how much you gave to our cause”

            In central Brooklyn, election night affirmed the results of the primary. Councilwoman Letitia James won with 92% of the vote; Al Vann 63%; Mathieu Eugene 94%; Darlene Mealy 95%; and Charles Barron 93%. Jumaane Williams, who unseated Kendall Stewart, won with 76% of the vote.

            Public Advocate elect Bill DeBlasio won with 77% and John Liu, Comptroller elect, won with 76%.