Legislature passes $132B budget; 2 in a row on-time

People watch from the gallery as legislators debate budget bills in the Assembly Chamber at the Capitol in Albany on Friday.

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They did it again.

New York’s Senate and Assembly passed the state’s second straight on-time budget today, a rarity in the state known for failing at the task most of the time over the last 20 years.

The $132.5 billion budget, which was negotiated by Gov. Andrew Cuomo and the Senate Republican and Assembly Democratic majorities, increases spending by 1.9 percent and addresses a nearly $2 billion deficit.

For Cuomo, now in his second year, it marks a feat rarely accomplished in Albany and not since 2005.

“No sophomore jinx,” said Doug Muzzio, a political science professor at Baruch College. “Another impressive season.”

The budget was due by midnight Saturday and will guide state operations through the 2012-13 fiscal year.

Legislation approved for the upcoming year, which starts April 1, includes a 4 percent increase for schools and for the Medicaid healthcare system.

“With the additional funding, we were able to continue critical school aid programs in this budget, which will help strengthen our schools so that our students can receive the quality education they deserve,” said Assembly Education Committee Chairwoman Catherine Nolan.

Cuomo said the aid increase exceeds the inflation rate and is significant in current economic circumstances. “Our priority is education,” he said.

Assembly Speaker Sheldon Silver agreed with Cuomo that they would have liked to raise it more. He noted the actual increase for education is $805 million, with 71 percent going to districts categorized as high needs.

Asked whether he will keep state spending increases under 2 percent in his third year, Cuomo wouldn’t promise. He then signed the first of several budget bills that were passed by the Legislature on Friday. “Obviously we would like to, but before we make a future budget let’s get this one passed,” he told a roomful of reporters, legislators and aides.

Republican Senate Majority Leader Dean Skelos called it “a solid, solid budget” from a New York government that is functioning again.

Sen. Kevin Parker, a Brooklyn Democrat, said the decision-making process had returned to the old Albany method of “three men in a room” that left him and many other lawmakers, including minority legislators, out of the process. “This process is flawed,” he said.

The budget bills passed both houses by overwhelming margins.

Among other major elements of the budget are:

• A $16 billion “New York Works” program to repair New York’s aging infrastructure while creating jobs.

• A $1 billion boost for the city of Buffalo and a statewide economic development and jobs program. A $1.2 billion state-federal infrastructure program will provide jobs to complete major projects statewide, including replacement of the Tappan Zee Bridge.

• An end to the 4 percent state sales tax on clothing and footwear under $110. The sales tax exemption will begin Sunday.

• $89 million for the biggest parks improvement program in state history as well as the rebuilding of every flood control project, a need determined after late summer tropical storms created more than $1 billion in damage from the Catskills to the Adirondacks.

• Creation of a gambling commission to plan an expansion of up to seven non-Indian casinos and a commission to evaluate tax breaks and incentives and map out a taxing strategy.