The clock is ticking, spring is approaching, and as we wipe
away the final remnants of winter, progress on a new state budget is
unnoticeable. With so much hanging in the balance this year, it is
essential that we complete work on the state spending plan by the April
1 deadline. That is why I have joined with my fellow senate Republicans
in offering a new vision for the state of New York.
This new plan rejects the $6.2 billion in
taxes and fees proposed by Governor Paterson, implements a spending cap
to rein in future spending growth, and helps business, particularly
upstate, create jobs to strengthen our
economy. |
| Seward |
| The
plan leaves $1.2 billion currently in reserves untapped and fully
funded, and increases the state’s overall fiscal reserves by nearly $1
billion so New York is on sounder fiscal footing. It makes
needed investments in education and health care and restores the $1.7
billion STAR rebate program for middle class families that was omitted
from the governor’s budget. It provides for reductions in
government spending and other cost cutting measures of $5.5 billion to
help restore balance to the state’s finances.This
plan provides real reforms that will move New York forward.
It puts money back in the pockets of middle class families and provides
greater opportunities for small businesses. These are the elements
needed to rev up the economy and grow our way out of this current
financial downturn. New York families are being
called upon to tighten their belts, and the senate Republican plan will
make sure government in Albany does the same. The plan includes an
additional spending cut of $1.2 billion above the governor’s budget and
cuts the rate of growth to 1.6 percent. Among other things, it
consolidates a number of redundant or underutilized state agencies
($266 million), reduces non-personnel agency spending by 5 percent
($138 million), freezes state purchases of recreational lands ($78
million), cuts 1 percent from agency contracts ($519 million), enforces
a state law to collect $500 million in cigarette taxes on Indian
reservations and captures $175 million more in Medicaid fraud
recoveries to build on the senate Republicans’ success in creating the
state’s Office of Medicaid Inspector General. The
senate Republican savings plan also includes a new proposal that will
allow middle-class families to sign a prepaid college contract at the
State University of New York (SUNY) to help them afford the cost of a
college education. Under the plan, parents could
enroll children under the age of fourteen in a program that would lock
in their future tuition at the current rate. The revenue generated by
participation in the program would be used to enhance support for SUNY
schools. It has been said that you never want to let
a good crisis go to waste. Well if that is true, we now have
a golden opportunity for real reform. Instead of raising $6 billion in
taxes like the governor has proposed, we need to cut extravagant
spending and use the federal stimulus dollars to roll back the “covered
lives” tax increase the governor and the Democrats approved that will
raise health insurance premiums for businesses and individuals, and
lead to higher premiums for all New Yorkers. The
state should allow the recently approved SUNY tuition increase to be
utilized by SUNY campuses, rather than seize it to pay for higher state
spending, as Democrats voted to do as part of their so-called “deficit
reduction plan.” The harmful actions taken in the DRP which target
middle-class families, small businesses and college students were
unnecessary and shortsighted, fortunately it’s not too late to reverse
the harmful action. The final state budget
must also include a greater emphasis on job creation, especially
upstate to help deal with soaring unemployment caused by the national
economic recession. The governor has said
he is willing to consider all options to deal with New York’s economic
crisis. A winning option is now before
him. Senator Seward’s office web site is www.senatorjimseward.com.
|