Press release

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Winds of Change in Albany Blow in the Right Direction

Governor Spitzer’s Budget Priorities Are a Good First Step

New York, NY, February 6, 2007 -- David R. Jones, president and CEO of the Community Service Society, has released the following statement upon consideration of Governor Eliot Spitzer's proposed budget.

The Community Service Society (CSS) is greatly encouraged by Governor Eliot Spitzer's first executive budget.  His focus on health care, education and job growth are the right priorities.  In particular, the increases in funding for children's health care and for New York City's schools are a welcome change from the status quo.

The recent Community Service Society (CSS) survey of low-income New Yorkers revealed that one-in-five full-time working poor are uninsured and less than half get employer-based coverage.  Nearly one quarter of working poor households could not fill a needed prescription last year.  With employer health care benefits shrinking, the need is even greater for expanded coverage for families through government-sponsored programs.  It is an investment that yields significant public benefits.

The expansion of the Child Health Plus program - $165 million over two years – will provide access to health coverage for 400,000 currently uninsured children in New York State and streamline enrollment procedures for Medicaid patients.  Removing the bureaucratic hurdles to the enrollment process will encourage some 900,000 uninsured adults and children to obtain Medicaid coverage.  Through our Managed Care Consumer Assistance Program (MCCAP), CSS has been working with community-based organizations throughout New York City to help eligible residents navigate the health care system and receive the benefits to which they are entitled.  We applaud the governor’s health agenda because it puts patients first.

The budget also takes a step toward meeting the mandate of the Campaign for Fiscal Equity lawsuit, increasing state funds directed to New York City schools by $3.2 billion over the next four years for a total of $5.4 billion.  Finally, it appears we have a governor committed to improving the quality of our public schools and the performance of our children.

The governor’s budget also includes a $300 million Investment and Job Creation Program, and, although no specifics about the program have been put forth, we are encouraged that job growth is part of the governor’s agenda.  The importance of a well-directed job creation program was highlighted by CSS research on Black male joblessness and the extent to which Black and Latino youth are unemployed in New York City.

To their credit, our city’s elected leadership has reacted responsibly to what CSS, and other organizations, have identified as a crisis in our city.  Mayor Bloomberg created the Commission on Construction Opportunity, which produced an unprecedented agreement with the city’s trade unions - 40 percent of construction industry apprenticeships earmarked for formerly excluded groups and individuals.

In addition, the New York City Council created the New York City Works program – a direct response to our earlier report on Black male joblessness.  The program is a citywide effort to identify prospects for employment, provide job preparation, and connect individuals to work.

We are hopeful that during the budgetary process funding will be found for technical and vocational training of students.  This is crucial if students not headed for college are to leave school with the skills necessary to acquire family-sustaining jobs in our changing labor market.  New York City has responded with a new High School for Construction Trades, Engineering, and Architecture that opened last fall.  But the city cannot address this problem alone.  We must have help from the state.

The governor is correct in seeking ways to relieve the tax burden of homeowners in the state.  However, he also should move to end the discriminatory treatment of renters, who pay property taxes through rents, and extend to them the same benefits provided to home and apartment owners by extending property tax credits and rebates, particularly to low-income renters.  New York State should expand and modernize the existing property tax credit and allow the state’s urban centers to extend property tax breaks to renters.  And the governor should restore operating subsidies for state-assisted public housing that were cut by the previous administration.

Our concern about the budget is that New York City has been shortchanged on revenue sharing.  The budget gives on the one hand to the city and takes on the other hand.  This is unfair, considering that New York City pays $11 billion a year more to the state than it receives in state aid.

Still, Governor Spitzer’s budget is an important first step toward restoring public faith in the ability of government to play a meaningful role in the well being of its citizens.  We call upon the state Legislature to support the governor’s proposals and commit to his priorities in health care and education.  CSS stands ready to work with our state’s leaders to move an agenda that expands opportunity and gives every New Yorker the chance to benefit from our state’s prosperity.

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