The Governor’s speech on the dire state of the economy confirms what most New Yorkers already know: middle-class taxpayers are feeling a crunch from high property taxes, high gas prices, and rising energy and health care costs, and they need some relief.

When the Legislature and Governor were hard at work crafting the 2008-09 State Budget, we were aware that a national economic slowdown was underway and it was likely to have a negative effect on our State revenues.

That’s why the Budget the Legislature passed spent less than the Executive proposed for the first time in a decade.

Most importantly, it’s why the Senate gave first passage to a constitutional amendment to cap the annual growth in State spending at no more than 4 percent. We recognized early on that a cap on state spending, which was later used as a model for the property tax cap recommended by the Suozzi Commission and Governor Paterson, would drive down spending, eliminate deficits and better protect taxpayers.

Now that the Governor has identified an economic crisis and is calling the Legislature back to Albany, it’s time for him to embrace our spending cap, put it on the agenda and urge the Assembly to follow suit. If the Assembly passes this spending cap, we can give second passage to
the amendment next session and place it on the ballot the following November. However, even in the absence of a constitutional spending cap, the Legislature and the Governor should voluntarily agree to comply with the spending cap in next year’s Budget.

In addition, the Governor should bring the unions and others who are affected by his proposed spending cuts to the table so we can work cooperatively to address this issue and minimize any disruption to the State workforce to protect workers and their families. In the past, the State rightly offered early retirement and other cost-cutting incentives
to reduce the workforce through attrition, rather than through painful cuts.

While we agree that the economy is weakening and State government
> must rise up to meet this challenge as part of next year’s Budget,
property taxpayers are facing a crisis right now. Earlier today, I notified
members of the Senate that we will be returning to Albany on August 8th to convene a special session to enact the Governor’s property tax cap and pass legislation to reduce costs for schools and ensure adequate resources for students.

The Senate Majority looks forward to partnering with the Governor
and the Assembly to work on these important issues in the weeks and months to come.