“Trying these individuals in lower Manhattan goes beyond the pale. There is no area of our country that has suffered more than those few square blocks. They have suffered in terms of lost lives, lost dreams, and of course, the economy,” said Leibell, who introduced the resolution.

Leibell suggested that anywhere in the state would not be a good place to have the trials. He said the trials would not be appropriate in any civilian court.

Sen. Daniel Squadron, a Democrat who represents lower Manhattan, said he agrees with Leibell that the trials should not be held in New York City. However, he voted against the resolution because he believes they should take place in civilian court, he said.

New York City Mayor Michael Bloomberg and others are vociferously against having the trials in Manhattan and have asked for federal officials to reconsider their decision.

Monserrate was the focus of media attention as he walked through the halls outside the Senate. He told one group of reporters that he would have a formal statement following whatever action is taken in the Senate.

When asked if he expected to be a member of the Senate tomorrow morning, he said, “I expect to be a member of the Senate for many, many years.”

He told another group of reporters that only the voters could remove him from office:

“I’m going to go back to work right now. That’s what I’m here for. I’ve already made the statement that the issue clearly is much broader than I. The issue is about justice, law and order, process, and at the end of the day, that’s what has to be protected—the will of the people, the voters.”

   Paterson’s office has sought to quell any rumors. This is a statement from Peter Kauffmann, a spokesman for the governor:

   “This is a new low even by the standards of planet Albany. The circus of the past week—entirely fabricated out of thin air and innuendo—is an embarrassment for all who have played a role in feeding it.”   

   Rick Lazio, who is seeking the GOP nomination to run for governor this year, came to Paterson’s defense with this statement:

   “The rumors about the Governor are a sad reflection of Albany politics. No public official deserves to be the subject of over a week of innuendo and nasty speculation. If the New York Times is working on or has a story then they should confirm or print it. If they do not, then they have an obligation to stop this rumor mongering right now. Common decency demands it.”

   “By ratifying this proposed bill, we would eliminate vague language and strengthen the current Public Officers Law, as well as obviate the need for burdensome and costly investigatory and administrative procedures,” Espada said.

   Espada said the bill would not be retroactive or in any way affect what is being contemplated for Sen. Hiram Monserrate, D-Queens, who was convicted of misdemeanor assault on his girlfriend. Senators are considering a vote to expel or to censure Monserrate this week. State Public Officers law requires immediate expulsion for any member convicted of a felony. It is open to interpretation for a misdemeanor, according to Espada, who wants to clarify that area of the law.

   Monserrate was found not guilty in connection with the domestic-violence incident in December 2008. He took office in January 2009. Espada said his legislation would be for actions committed after the legislator took office. In the case of Monserrate, they wouldn’t apply.

   Espada, a member of the informal legislative group the “amigos” with Monserrate and others, said he does not plan to vote for expulsion. Asked if he would approve a censure of his colleague, he said he had not seen a resolution to do that and would have to see how it was worded before deciding how he would act.

   More than 300 members of a pair of education unions came together for a rally against Gov. David Paterson’s proposed cuts to the State University of New York system and his higher-education reform plan.

   Professors, administrators, students, and others held signs that read “SOS: Save Our SUNY” and “Stand up for SUNY” as leaders from United University Professions and New York State United Teachers spoke out against Paterson’s plans. They said his reform plan would have disastrous effects on SUNY.

   “I’m not trying to scare people, but I think (the cuts are) going to kill SUNY,” UUP President Phillip Smith, pictured below, said after the rally. “It is abandoning public higher education all together.”

   The governor’s budget would cut SUNY’s operating budget by $118 million and cut the Tuition Assistance Plan by $75 a student. It would give SUNY the authority to set its own tuition—and increase it annually—without needing approval from the Legislature. SUNY would have more autonomy in purchasing and other areas. 

   Speaking during the rally, Assemblyman Jack McEneny, D-Albany, said Paterson’s plan to give the SUNY system added independence from the Legislature, including giving individual schools the ability to set their own tuition, would decrease the system’s transparency.

   “There’s no question that we have to use creative planning,” McEneny said, “but to turn things over to the university system with no oversight is not a good idea. Bring it before the Legislature and let the public look at it. Then we’ll decide whether it makes sense or not.”

   Smith said the higher-education reform plan would only lead to problems for the SUNY system.

   “We have seen what has happened in our financial industry when deregulation has occurred; the federal government has been asked to bail them out,” Smith said. “What’s going to happen four or five or 10 years down the road? The state is going to be asked to bail SUNY out, so let’s not even go down that road.”

   New York does not have a mandatory thermostat-collection program and receives just 1.9 thermostats per 10,000 residents. That puts New York at 31st in the country for thermostat recovery. The uncollected thermostats contain an estimated 66 to 96 tons of mercury, according to the groups. Maine, on the other hand, ranks first with 42.2 thermostats collected per 10,000 residents. People receive $5 for handing in their thermostats there.

   Along with ”Turning Up the Heat,” the organizations are urging lawmakers to pass legislation for a mandatory state-collection program with incentives to encourage higher collections and high standards. 

   Assembly Environmental Conservation Committee Chairman Bob Sweeney, D-Suffolk County, said this week that he would be sponsoring legislation to encourage greater collection of products that contain mercury.

   Laura Haight, senior environmental associate with the New York Public Interest Research Group, said in a statement this week that New York should “turn up the heat” on thermostat manufacturers. “The manufacturers should stop spinning the meager results of their collection program and instead provide real incentives to bring in old mercury thermostats. New York should follow the example of Maine and Vermont and adopt a comprehensive thermostat collection program that works,” she said.

   Each thermostat contains about 4 grams of mercury—roughly 800 times more than what’s in a compact flourescent light bulb. About two million to three million thermostats containing seven to 10 tons of mercury come out of service each year, the U.S. Environmental Protection Agency estimates. In the last 15  years, mercury use in U.S. thermostats has been reduced from an estimated 15 to 21 tons a year to less than one ton annually. Fifteen states, including New York, have banned the sale of new mercury thermostats.

   Mercury that gets out of a thermometer or thermostat can cause impairment of peripheral vision; lack of coordination of movements; impaired speech and hearing; and damage to the brain, heart, kidneys, lungs and immune system.

   Daines, the state Healthy Eating and Physical Activity Alliance, the Greater New York Hospital Association and the Citizens’ Committee for Children of New York all issued statements today that criticized the wording of that question. The CCC called the language “highly inflammatory” and said 72 percent of respondents in its poll supported the tax and 27 percent were against it after hearing more about the initiative and that the money collected to go toward health care.

   This is what Daines’ media release said:

   State Health Commissioner Richard F. Daines, M.D., said that the results of a Quinnipiac poll released today regarding support for a proposed tax on sugared beverages most likely would have been more positive had responders been given some basic facts about the proposal.

   “In polling, it’s all in how you ask the question,” said Commissioner Daines. “Quinnipiac simply asked New Yorkers if they support or oppose an “obesity tax” or “fat tax” on non-diet sugary soft drinks. Nowhere in the Governor’s budget is that tax mentioned and no one wants to hear about a tax called that,” he said.   Dr. Daines noted that when Kiley & Company asked 600 likely voters between Jan. 17-20 if they would support a Sugared Soda Tax that would reduce childhood obesity and also would reduce the budget deficit, 58 percent said yes. When asked if they would support the tax “if it came down to a choice between reducing state funding for the Medicaid program or passing a new 18-percent tax on sodas and other soft drinks with sugar,” 76 percent were in favor of the tax.

   Dr. Daines said responders to the Quinnipiac poll likely would have expressed more support for the proposed tax had they been told that the tax revenue would be targeted to health care and public health programs. “If Quinnipiac had called the tax by its true name and asked: ‘Would you support a Sugared Beverage Tax that will reduce obesity, provide funding for health care and public health, and reduce health care costs,’ I think they would have given a very different response,” Dr. Daines said.

   Governor David A. Paterson’s proposed 2010-11 budget includes a penny-per-ounce excise tax on sodas and other drinks containing large amounts of sugar. The proceeds from the tax will be targeted to health care and public health programs, preventing cuts that would be required without the tax revenue.”

   Sixty percent of adults and a third of children in the State are overweight or obese. Numerous studies have identified beverages containing large amounts of added sugar as the single strongest dietary link to obesity. Health care for conditions related to obesity cost nearly $8 billion dollars a year, with a majority of the cost paid for by taxpayers through Medicare and Medicaid.

Yesterday, Assembly Speaker Sheldon Silver said in a letter to Paterson said “last week you called me to personally and strongly recommend the selection of the Aqueduct Entertainment Group (AEG) for the video lottery terminal franchise at the Aqueduct Raceway. I agreed to support the selection of AEG contingent upon four conditions to be expressed in a memorandum of understanding.”

Those conditions include a $300 million upfront licensing fee.

But Paterson said in a statement today that the deal was reached “in a unanimous decision reached through the equal votes of the leader of the Senate, the Speaker of the Assembly, and myself. Each leader had equal statutory authority, equal responsibility and is equally accountable in this selection.”

Here’s the bullet points put out by Paterson today on the deal:

—AEG was selected to operate video lottery terminals at Aqueduct racetrack in a unanimous decision reached through the equal votes of the leader of the Senate, the Speaker of the Assembly, and myself. Each leader had equal statutory authority, equal responsibility and is equally accountable in this selection.

“AEG has both the financial viability and ability to pay the required upfront licensing fee. AEG complied with every request made during the review process and addressed satisfactorily all matters related to licensability. AEG’s compensation to the State, both in the short term and the long term put it near the top or at the top compared to other bidders. Further, AEG’s gaming operator, Navegante, has a verifiable record for establishing successful gaming operations. AEG’s plan fits well within the very diverse and middle class community that exists around Aqueduct and its approach to operations will attract local community members to the site in the largest numbers and create local jobs for people in the surrounding area. AEG’s commitment to diversity and inclusion was also an important consideration in choosing it to operate at Aqueduct.

“All information about the bidders and their bids was presented to all involved parties as we weighed this selection. After a lengthy evaluation process, I can only assume that the other leaders made their decision, as I did, because AEG offered the bid that received both unanimous support and is good for New York.”

As usual, Cuomo deflected questions about his political intentions and the questions about if and when he will announce his candidacy for governor.

“I didn’t hear what the governor said. As I have said, I am the attorney general of the state of New York. I was elected to do a job,” Cuomo said on a conference call this morning to announce fraud charges against Bank of America.

“I get paid for that job every day by the people of the state, and that’s the job that I’m doing.”

He continued, “I’m confronting the issues that are facing New Yorkers. I think today’s a good example of that. We are protecting the taxpayers of this state.”

Cuomo was also asked about whether he has any concerns about the controversial deal by Gov. David Paterson to award the Aqueduct racetrack gaming contract to a group that includes the Rev. Floyd Flake, an influential African-American pastor who met with Paterson just days after the Democratic governor announced the deal.

Cuomo would only say, “We have no investigation on that matter at this time.”

   Planned Parenthood of the Upper Hudson is joining with other Planned Parenthoods across the country in refusing to protest the airing of the ad, which is sponsored by the pro-life group Focus on the Family.

   “Pam Tebow’s story is an example of a woman given the opportunity to make a difficult and critical choice about whether or not to continue a pregnancy. That is exactly what Planned Parenthood stands for,” Patricia McGeown, president and CEO of the Upper Hudson chapter, said in a statement.

   Cecile Richards, president of the Planned Parenthood Federation of America, said in a statement that Focus on the Family opposes a “woman’s ability to make important medical decisions for herself” and is against “commonsense comprehensive sex education and life-saving stem cell research.” The group has an agenda that is out of sync with mainstream America, she added.

    “If Focus on the Family, the sponsor of the ad about the Tebow family, has its way, millions of women would no longer be able to make important personal medical decisions for themselves and their families when it comes to abortion, Richards said. “Focus on the Family’s long-stated goal is to outlaw abortion except in rare cases when the woman’s life is severely at risk. This is an extreme position, which would rob every woman of the ability to make important personal medical decisions for herself and her family.”

    “Planned Parenthood urges all Americans to ponder the true meaning of the Tebow family’s experience – one in which a woman was presented with medical and moral considerations and made a deeply personal decision in private without government interference. That is exactly what we want every woman to be able to do when she must make important and highly personal medical decisions,” Richards said.

   Here is Focus on the Family’s press release on the commercial:

News Room

Focus on the Family to Air Super Bowl Ad

Commercial will feature Tim Tebow and his mother, Pam

Colorado Springs, Colo (Friday, Jan. 15, 2010) – Focus on the Family will broadcast the first Super Bowl ad in its history February 7 during CBS Sports’ coverage of the game at Dolphin Stadium in South Florida.

The 30-second spot from the international family-help organization will feature college football star Tim Tebow and his mother, Pam. They will share a personal story centered on the theme of “Celebrate Family, Celebrate Life.”

Jim Daly, president and CEO of Focus on the Family, said the chance to partner with the Tebows and lift up a meaningful message about family and life comes at the right moment in the culture, because “families need to be inspired.”

“Tim and Pam share our respect for life and our passion for helping families thrive,” Daly said. “They live what we see every day – that the desire for family closeness is written on the hearts of every generation. Focus on the Family is about nurturing that desire and strengthening families by empowering them with the tools they need to live lives rooted in morals and values.”

Daly added that all the funds to air the ad came from a handful of “very generous and committed friends” who donated specifically to support the project. No money from the ministry’s general fund was used.

The Tebows said they agreed to appear in the commercial because the issue of life is one they feel very strongly about.

Daly chuckled at some of the “will-they-or-won’t-they?” speculation in the media about whether Focus would indeed create a Super Bowl ad.

“Now that the ad has been shot, we’re excited to tell people it’s coming, because the Tebows’ story is such an important one for our culture to hear,” he said. “You won’t want to miss it.”

For more information, call Gary Schneeberger @ 719-548-5853 or e-mail press@family.org

Seminerio, 74, a Democrat who served in the Assembly for more than three decades, pleaded guilty last year to taking about $1 million for his consulting firm from people who had business with the state.

Seminerio’s lawmakers sought home confinement, but Judge Naomi Reice Buchwald invoked a prison term, saying Seminerio “accepted bribes and engaged in extortion as part of a decade-long scheme to use his office – both literally and figuratively – for personal gain and at the expense of thepublic trust,” a statement from prosecutors’ said.

The judge ordered Seminerio to pay $1 million in forfeiture.

U.S. Attorney Preet Bharara said in a statement, “When an elected official such as Seminerio violates the public trust, it threatens the public’s confidence in our democracy. Seminerio was elected to serve the people, not himself. Judge Buchwald’s powerful words and sentence reaffirm the commitment to the fair and impartial exercise of governmental power. We will continue to work tirelessly to prosecute those who betray for private gain the people they are elected to represent.”

Fourteen states have legalized marijuana for medicinal purposes, but while the measure has passed in the New York Assembly, it has not passed in the state Senate.

The proposal is supported in New York across political, racial and regional groups, Quinnipiac reported. Fifty-five percent of Republicans support it, compared to 78 percent of Democrats.

“It hasn’t attracted a lot of attention, but New York state voters would like to emulate their New Jersey neighbors and approve medical use of marijuana,” said Quinnipiac pollster Maurice Carroll.

New Yorkers opposed 57 percent to 40 percent the so-called “obesity tax” proposal by Gov. David Paterson to add a tax on sugary beverages. A year ago, Quinnipiac found that 64 percent of voters were opposed to the idea, and Paterson ultimately dropped the idea.

New York City voters oppose the measure by a slim 50 percent to 47 percent, but opposition is stronger among suburban and upstate voters. Sixty-two percent of upstate voters opposed the idea.

While 81 percent of New Yorkers agree the state’s budget problems are “very serious,” only 9 percent of voters say the state Legislature has the courage to deal with the problem.

Voters support term limits for statewide offices, which has been proposed by Paterson, 77 percent to 18 percent. Fifty-eight percent of New Yorkers support cutting services to balance the state budget, but 78 percent do not want school aid cut.

Seventy-five percent support a wage freeze for state workers.

Forty-seven percent of voters support Democrats holding the majority in the state Senate, while in upstate voters are split over who should run the chamber. Democrats hold a slim 32-30 seat majority heading into this year’s elections.

From Jan. 27 through Feb. 1, Quinnipiac University surveyed 2,182 New York voters. The poll had a margin of error of 2.1 percentage points.

Paterson and Republican gubernatorial candidate Rick Lazio have sought to draw Cuomo into the race, but today’s comments by Paterson were perhaps his strongest yet. The Democratic governor, whose poll numbers are weak, said it’s easy to have high approval ratings as attorney general but the task is much more difficult as a governor in a recession.

He knocked Cuomo for refusing to talk about what he would do as governor. Cuomo has declined to discuss the widely held belief that he will run for governor, seeking a seat held for three terms by his father, Mario Cuomo.

Cuomo is not expected to announce his intentions until sometime in March.

“All I’m saying, is this the openness and transparency? Is this the good government?” Paterson said this morning on 710-AM (WOR) in New York City.

“Is this the progressive kind of leadership that we’ve been waiting for, someone who is so afraid of any kind of controversy that they are going to wait until the last minute, jump in, win the primary, win the general election and then the public will only find out what they think a year from now?”

Paterson is woefully trailing Cuomo in approval rating and in fundraising, but has vowed to run for a full term after succeeding Eliot Spitzer as governor in March 2008.

Paterson suggested Cuomo’s popularity is easier to come by as attorney general than as governor.

“By the way, who was the last attorney general who had bad poll numbers?” Cuomo Paterson said. “They had an attorney general Oliver Koppell in 1994, he lost a primary. He had 58 percent approval rating.”

“Attorney generals are in the media when they are arresting people, and we’re all for arresting criminals. And that’s fine, and this isn’t his fault,” Paterson continued.

“I’m just saying that at this point, he’s said nothing and that is the Rose Garden strategy.”

Lazio earlier this week during a speech to the state Conservative Party also knocked Cuomo for staying on the sidelines, saying “you can’t lead from a foxhole.

“It’s time that the people of New York hear less about the politics of Andrew Cuomo running for public office and more about his ideas for holding public office,” Lazio said.

Paterson said he’s the one making the tough decisions.

“I’ve been making them for the last two years and when and if he gets into this fray, he will find the same thing. Why do you think he’s staying out?” Paterson said.

   The lobby day marked the end of a “long era of anonymity while decisions have been made without us,” said Chacku Mathai, treasurer of Friends of Recovery—FOR-NY—and deputy director of the state Association of Psychiatric Rehabilitation Centers. Mathai, who grew up in the Rochester area, is in recovery from addiction.

   FOR-NY members believe the state needs more recovery-oriented care, a different model than the traditional crisis-oriented acute care. Recovery community centers provide support groups, housing and employment assistance, and other services. There are no limits on care, which is how the acute-care system works, and they provide a safety net that acute-care facilities cannot, members said.

   Although the state continues to face fiscal problems, this is not the time to cut recovery services, Mathai said. The state Office of Alcoholism and Substance Abuse Services estimates that about 2.5 million New Yorkers have a substance-abuse problem or gambling addiction.

      Jackson Davis, project director of the Recovery Network of New York in Syracuse, said the network has recovery centers in Syracuse and Rochester. The group, whose umbrella organization is the Center for Community Alternatives, recently had to close down a center in Albany due to lack of funds. The recovery-center model embraces people’s differences, he said. For example, it can take years for something to connect for someone and lead them toward recovery.

   “What’s so unique about recovery centers is they understand there are many pathways for recovery,” said Davis, who has been clean for 19 years.

   The centers were originally told they would be getting state money in October 2009, Davis said. That got pushed back to December, and now it may not happen until the end of this year. Meanwhile, each site serves between 400 and 500 people a year, he said.

   Tempest Saldivar of Syracuse volunteers at the recovery center in her city by helping new members and teaching computer skills, and she has gone back to college. “It helps me stay clean. I go to two meetings a day there—10 a.m. and 2 p.m.,” she said.

   Delane Riley said she was in a rehabilitation center in Syracuse in 2005 and was kicked out of the program for a rules violation. Someone introduced her to the Recovery Network. Having turned her life around, she is now an outreach specialist for the Syracuse center. She can identify with people who are seeking help with recovery because she has been there herself, she said.

   “When I see a person come through that door, their story is probably my story,” she said.

Morahan, 78, hadn’t been feeling well and went to see his doctor, Ron Levine, the spokesman, said.

The results of medical tests showed the senator, who has served more than a decade, had a form of leukemia, Levine said. He did not know what form.

Morahan has been in the hospital since Monday for treatment and Levine said it was not yet known when the senator might be released.

Despite being in a hospital bed, Morahan is continuing to oversee his duties, including regular communication with his office staff and with members of state government, Levine said.

“He’s getting treatment in Manhattan and the doctors are very, very optimistic,” Levine said.

The sides are expected to talk over the next few days, but Democrats are vowing to seek an override of Paterson’s veto next week. They’ll need Senate Republicans to also approve the override, but so far they aren’t support it—even though they voted for the legislation.

“We need to move forward in an open and inclusive fashion, with the Governor, to negotiate a better ethics reform plan that helps restore the public’s trust in government,” Senate Minority Leader Dean Skelos, R-Nassau County, said in a statement today.

Sen. Daniel Squadron, D-Brooklyn, said there will additional efforts to add to the bill, but “for this bill to die would be a real step backwards for reform.”

In the letter, Paterson says he has three main issues: Lawmakers need to establish an independent oversight committee, better disclosure of outside income that doesn’t have a loophole for attorneys and include campaign-finance reform.

“I urge you to work together with me, so that we may craft legislation that meets all of our goals, and most importantly, those of the people of this state in honest and transparent government,” the letter reads.

One potential campaign forwarded some research on the campaign cash of the half dozen or so attorney general candidates

The results, they claim: 44 percent of Sean Coffey’s money came from out of state, 22 percent for former state Insurance Superintendent Eric Dinallo; 9 percent for Assemblyman Richard Brodsky, D-Greenburgh, Westchester County; 7 percent for Nassau County District Attorney Kathleen Rice and 4 percent for Sen. Eric Schneiderman, D-Manhattan.

Coffey, a former federal prosecutor, raised eyebrows by his strong fundraising, bringing in about $1.65 million over the last six months.  Rice had the most on hand at $2.4 million on hand, followed by $1.75 million for Dinallo and $1.3 million for Brodsky. Schneiderman had $1 million.

Coffey loaned his campaign $150,000 and, for example, picked up $37,800 from San Diego attorney Patrick Coughlin and $18,100 from Pennsylvania law firm Barroway Topaz Kessler Meltzer & Check, LLP.

Coffey campaign manager Dan Krupnick said Coffey—who handled national cases such as the financial collapse of the Baptist Foundation of Arizona—has build relationships around the country.

And Krupnick said it’s a little early for potential candidates to start throwing mud.

“If you’re trying to discredit one candidate from another at this point, it’s seems awfully early,” he said. “Let’s give the folks in New York an opportunity to get to know the candidates first.”

DioGuardi, a Republican, said “I’m leaning very heavily toward running.” And he said he would have a famous co-chair of his finance committee: his daughter, Kara DioGuardi, a judge on American Idol.

The Ossining resident served two terms in the U.S. House, from 1985 thorugh 1989, and runs Truth In Government, a non-profit organization “dedicated to strengthening our country’s financial foundation by promoting accountability and transparency in congressional spending and reporting.”

DioGuardi, 69, spoke earlier this week at the state Conservative Party Political Action Conference and said today “at the end of it I said look, the bottom line now is we’re spending money we don’t have – which I said back then—and we’re borrowing from countries we don’t trust.”

Conservative Party Chairman Michael Long said DioGuardi is someone the Conservative Party would have to consider for its nomination, along with other Senate candidates, former Nassau County Legislator Bruce Blakeman and former Rudy Giuliani aide David Malpass, who is considering a run.

“He minced no words about that he getting ready in a couple of weeks to make an announcement,” Long said of DioGuardi. “He certainly has experience and background and he’s run before and he’s been in Congress.”

In other races, Long noted that he was particularly impressed with Scarsdale-resident Harry Wilson, a Republican who is planning a run for state comptroller.

“He’s a real fresh face. He delivered a great, positive message. I think people really liked him,” Long said.

The estimates bring the state’s deficit for the 2010-11 fiscal year to $8.2 billion, up from $7.4 billion when Paterson introduced his budget proposal Jan. 19.

“I think we’re being pretty conservative in our outlook, and we have a budget that solves a big chuck of the fiscal problem we face over the next few years,” said Paterson’s budget director Robert Megna.

But Comptroller Thomas DiNapoli this morning warned that the state is overestimating revenue and predicted the state will end the current fiscal year March 31 with about a $1 billion deficit, double what Paterson has estimated.

DiNapoli said that personal-income tax collections through the first nine months of the fiscal year declined more than 15 percent from the same period last year, lower than Paterson’s projections.

Meanwhile, DiNapoli said state spending over the next five years is expected to grow by 33.6 percent while revenues are projected to grow by only 12.2 percent.

What adds to the state’s fiscal woes is that the budget is being balanced with $11.3 billion in temporary money, DiNapoli said, largely through federal stimulus aid and higher taxes on the wealthy that is set to expire in the 2011-12 fiscal year.

“This must be a transformative year for New York State. If we can’t learn from last year’s mistakes, we’ll be destined to repeat them over and over again,” DiNapoli said in a statement.

Megna said it’s too early to say what steps Paterson would take to close the expanding budget gap, but said did not expect any major tax increases to close the gap.

In his $134 billion spending plan, which increases spending by less than 1 percent, Paterson proposes about $1 billion in new taxes and fees and cuts in aid to schools and health care.

The governor’s budget office said that income-tax collections are about $550 million lower than expected, while Medicaid costs are up about $400 million because caseloads for the health-insurance program for the poor reached record highs last October.

Among African-American voters, 73 percent to 22 percent said that a Cuomo challenge to the state’s first African-American governor would not be be racially divisive.

Cuomo continues to have a big lead against Paterson,  55 percent to 23 percent among Democrats, down slightly compared to 60 percent to 23 percent in a Dec. 15 survey by Quinnipiac.

Voters approve 71 percent to 15 percent of the job Cuomo is doing, compared to a 37 percent to 54 percent for Paterson.  Paterson’s approval rating fell from 38 percent to 34 percent since December. Only 28 percent of New Yorkers believe Paterson deserves to be elected to a full four-year term, the same as in December.

Cuomo’s approval rating has topped 70 percent in every Quinnipiac poll for 12 months, except when it hit 68 percent in May.  Paterson has had negative approval ratings for nine months.

And voters, the poll found, do not seem as eager as Paterson and Rick Lazio for Cuomo to enter the gubernatorial race: 78 percent of voters said they are not impatient with Cuomo not announcing his intentions.

“Does Hamlet-on-the-Hudson run in the family?   Unlike the media, New Yorkers aren’t impatient for Attorney General Cuomo to admit he’s running for Governor,” said Maurice Carroll, director of the Quinnipiac University Polling Institute.

“And unlike some black politicians, New Yorkers are not worried that a Cuomo primary against Paterson would be racially divisive.  In the Democratic match-up – Cuomo v Paterson – the Attorney General continues his lop-sided lead.  Plus, Cuomo’s job approval is good and Paterson’s isn’t.”

Quinnipiac surveyed 2,182 New York registered voters between Jan. 27 and Feb. 1, with a margin of error of 2.1 percentage points.

Here’s his statement:

“Earlier today, I vetoed Uni-Bill A.9544/S.6457. This veto was a necessary step towards restoring transparency and accountability to State government.

“While there are positive aspects of this legislation, it does not go far enough in addressing the corrosive effects of outside influence and internal decay that have caused the people of New York to lose faith and trust in their government. The only way to bring fairness and openness to government is to fundamentally reform the way Albany operates. We must bring fundamental change to the culture of Planet Albany, and finally put the interests of the people of New York ahead of lobbyists and special interests.

“There are those who argue that I should sign this bill—that this legislation would improve the status quo, and it’s the most we can accomplish at this time. To them, I say respectfully—that is not acceptable. In principle, I am not opposed to taking limited and positive steps towards improving the ethical climate of New York government, whenever such opportunities present themselves. In practice, however, I realize that if I sign this bill into law, the leaders of the Legislature will celebrate their achievement and the Legislature will not address the broken ethics system again this year. On the campaign trail, politics would trump reality, and victory would be declared without being earned. As Governor, I cannot allow this to happen.

“We have an historic opportunity to reform Albany, and if we fail to seize it, history will not forgive us—and neither will the people who sent us here to lead. I would strongly urge those who have dedicated their careers to improving the ethics system in Albany to join me in pushing the Legislature further. To the members of the Legislature who are interested in achieving fundamental change, I ask you to join me to pass a bipartisan Reform Albany bill that establishes independent oversight of public officials; ends pay-to-play; reduces the influence of money on politics; and brings transparency and accountability to ethics oversight.

“Today’s veto is only the beginning. It’s the first step towards a new era of accountability, where the people of New York are represented in good faith and good conscience, and every New Yorker is proud of their government. I invite the members of the Legislature to join me in working on a five-way agreement that will finally bring real and fundamental reform to Albany.”

Leibell and Senate Republicans wanted the resolution passed today, but it didn’t come to the floor. A Senate Democratic spokesman said Democrats are working with Republicans on the resolution’s language.

Leibell said it’s important that the state Legislature address the issue, which has sparked opposition from New York City Mayor Michael Bloomberg, Gov. David Paterson and other elected leaders.

While the White House has indicated it may move the trial, officials said Sunday that no final decision has been made.

Leibell said the trials should be held outside New York in military tribunals.

“No state should be subjected to this risk,” Leibell said.

“This state, and in particular, New York City, has gone through in the last few years as great a trauma as any community has known in this country since the American Civil War.  And to suggest that these trials should be held within the five boroughs of New York City is a tremendous insult to all the residents who live there.”

“I don’t believe personally that it should take weeks for a resolution to be studied,” Skelos said.

Senate Democrats have yet to seek a vote on a Senate panel’s recommendation last month that Monserrate, who was convicted of misdemeanor assault involving his girlfriend, should be either expelled or censured.

Senate Democratic Leader John Sampson, D-Brooklyn, has put no specific timetable on a vote, but said last week that the conference would discuss it before the February session break, which starts next Tuesday.

But Sampson said this afternoon that “there will be a resolution next week.”

Senate Minority Leader Dean Skelos, R-Nassau County, said he doesn’t believe there is support among his 30 members to override a veto. Paterson is expected to officially announce his plans later today.

Skelos said a veto would allow the sides to work on legislation that would provide more independent oversight of the state Legislature, pointing out how even some members of the state Public Integrity Commission have recently held fundraisers and raised money for lawmakers.

“I expect he’s going to veto it,” Skelos told reporters today. “I don’t believe it’s something that should be overridden. I think there are many more discussions that could be held right now to improve the bill.”

The calls for Kudlow to run will likely increase after a Marist College Poll yesterday showed Schumer’s approval rating dropped below 50 percent for the first time in nine years.

There’s also a Draft Kudlow Committee set up by western New York political activist Michael Caputo.

So far, Kudlow hasn’t indicated he plans to run for the seat, though he has met with state GOP chairman Ed Cox and Conservative Party chairman Michael Long and said last week that he’s going to give it careful consideration.

“Citing Mr. Kudlow’s financial expertise and his understanding of the immediate impact that the current out of control spending is having on families and small businesses, as well as the lasting long term effects the federal budget deficit will have on our Nation, the members of the State Executive Committee believe that all New Yorker’s will be better served with his fiscal insight standing firm for us in the United States Senate,” states the Conservative Party’s statement today.

“Senator Schumer is out of touch with New Yorkers; his vision of big government is wrong and is being rejected by the people who are forced to pay for his big government programs.”

“I think we can do better,” Paterson said. “I think that the people of the state of New York have made it clear that they expect more of us, that we should not be passing legislation in reaction to a political situation. We should be addressing ethics because it’s right.”

Paterson had vowed to veto the bill—which creates three new boards to oversee the Legislature, executive chamber and lobbying—because it doesn’t include enough reforms on campaign finance and doesn’t create an independent body to oversee Albany. The Legislature and elected officials would still appoint the members of the boards.

The measure has been delivered to Paterson’s desk awaiting his signature. Paterson could veto the bill in hopes of getting additional concessions from legislative leaders and stick with his tough stance against the Legislature. Or he could sign in and pledge that they continue to work on more reforms.

He said, “I’m hoping that whatever happens today, we can do better.”

   Redlich, a member of the Guilderland Town Board, described himself as a Libertarian Republican and is a member of the Tea Party movement. Tea Party Patriots is a non-profit group that promotes fiscal responsibility, constitutionally limited government and free markets, according to the organization’s Web site.

   “My main focus is cutting spending,” said Redlich, 43, adding that means eliminating some state departments and public authorities. His other ideas for reducing state spending include capping the salaries of future public employees at $100,000, and capping their pensions at $75,000, he said. About 80,000 public employees make more than $100,000 a year, according to SeeThroughNY.net.

   “Albany insiders are willing to lay off teachers, freeze pay for rank-and-file employees, and increase taxes. We’ll save more now, and much more later, by ending abuses at the top,” he said in a statement.

   Redlich, who ran unsuccessfully for the 21st congressional district in 2004 and 2006, will be up against former U.S. Rep. Rick Lazio of Long Island, who is seeking the GOP nod to run for governor. Redlich is a Long Island native.

   Gov. David Paterson, a Democrat, is running for election. Attorney General Andrew Cuomo is expected to announce soon that he is seeking the Democratic Party’s endorsement for governor.

   Cuomo, also a Democrat, is believed to be a candidate but has not announced yet.   During a 25-minute speech to Conservative Party members, Lazio noted that Cuomo spoke at the meeting last year and promised to reach across the aisle and lay the groundwork for reforming Albany.

   “Andrew Cuomo left this conference a year ago and rather than provide the kind of inspired leadership that this state is hungry for, he locked himself in his office and watched as Albany burned,” Lazio said, referring to corruption scandals, the state’s deficit and other issues.

   He accused the attorney general of being “out of touch,” “unresponsive” and “unaccountable.”

   “Ladies and gentlemen you can’t lead from a foxhole. It’s time that the people of New York hear less about the politics of Andrew Cuomo running for public office and more about his ideas for holding public office,” Lazio said at an Albany hotel, and Conservative Party members clapped loudly.

   “The conventional wisdom is that Andrew Cuomo is going to be the next governor of New York state, but we’ve seen this movie before, haven’t we,” said Lazio, referring to Republican Scott Brown’s recent defeat of state Attorney General Martha Coakley, a Democrat, in a special race for Edward Kennedy’s U.S. Senate seat.

   Cuomo spokesman Richard Bamberger responded to Lazio’s comments with this statement:

   “While the Conservative Party politicians have started their campaigns, the Attorney General is focused on his public service representing the people of the State by fighting corruption and greed on Wall Street and rooting out waste and abuse in government.  Today, for example, the Attorney General announced a new nationwide agreement with Citibank that protects more than a million consumers who were promised ‘free checking’ and forces Citibank to live up to its commitments.”

   Lazio said Paterson, whose poll numbers are much lower than Cuomo’s, is a “nice man” who deserves respect “for laying out the issues and being honest about the scope of the problem” in the state.

   “At least David Paterson has the character to sort of step forward, announce that he’s a candidate, take positions on the issues and get involved, so I respect him for that,” Lazio, a former U.S. representative from Long Island, told reporters after the speech.

   In his speech, Lazio said Albany’s “ruling party”—Democrats—have failed to create private-sector jobs, reduce taxes, get spending under control, reduce fraud and abuse in the Medicaid system and provide “ethical leadership to restore faith in government.”

   Lazio said he would turn around Albany as governor. He would “apply the private-sector discipline to the public sector” and downsize state government, veto “irresponsible spending” bills and reject mandates for local governments that don’t have money attached to pay for them, he said. He pledged to “rework the patently unfair” Metropolitan Transportation Authority payroll tax, which affects employers in all the counties that belong to the MTA, including the northern suburbs and Long Island.

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