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Buffalo Assemblyman Sam Hoyt Urges State Senate To Pass Legislation That Would Eliminate Public Authority Bonuses

Published Tuesday, July 13, 2010 3:00 pm
by Assemblyman Hoyt's Press Office

(BUFFALO) – New York State Assemblyman Sam Hoyt of Buffalo (144th District) is urging the Senate to pass legislation that would eliminate bonuses to Public Authority employees and board members.  The bill (A.7242b/S.3664b) has already passed the Assembly twice in the last 13 months - but has not been passed by the Senate.

“The state has a ten-billion-dollar deficit, state employees are facing lay-offs and tax credits meant to stimulate private sector investment are being deferred because of the fiscal crisis,” Hoyt said.  “This is not the time to give employees bonuses.  As the state is faced with its most difficult economic times since the Great Depression, we should be using our resources to keep people employed, offer low-cost power and services or using these funds to make critical investments in our infrastructure - not paying out bonuses.”

The bill, which passed the Assembly in June 2009 and in March 2010, has not yet passed in the Senate.  The bill will ensure that employees and board members, who are not part of a collective bargaining unit, will not receive any bonuses other than their usual compensation, benefits and authorized reimbursements.

The recent revelation made by Assemblyman Richard Brodsky that authorities made $7 million in bonus payments, should prompt the Senate to take immediate action, Hoyt said.  His committee’s investigation into this issue has revealed only a preliminary report and a follow up could show an even larger amount to have been paid out.  After failing to pass this critical legislation twice, it is imperative - Hoyt added - that they take up the matter when they return to pass their budget revenue bill and other vital pieces of legislation.   

Public Authorities are quasi-governmental agencies that operate outside of normal government oversight.  In 2009, the Public Authorities Reform Act went into effect, which created the Authorities Budget Office (ABO) - a new agency responsible for monitoring all of the public authorities in the state. 

Even identifying the number of public authorities has become a challenge, Hoyt said.  The Department of State, State Attorney General’s office and the ABO all have different figures for the number of authorities that exist.  The figures range between 700 and 900 entities.

“These bonuses are just another example of New York State’s authorities out-of-control spending and lack of accountability,” Hoyt said.  “They operate without being held accountable for their actions to one voter.  As taxpayers are asked to pay more in fees and taxes while simultaneously having their services cut, it is patently unjust that these authorities are paying out bonuses while ordinary New Yorkers are struggling.  I’m urging the Senate to do what it should have already done and pass my bill to eliminate these kinds of bonuses.”