New York Local News

NEW YORK (AP) ― Gov. David Paterson is calling New Yorkers and almost every business sector to pitch in for at least the next couple of years to end what he calls the worst economic downturn since the Great Depression.

His play book is a proposed 2009-10 budget of $121.1 billion, which includes layoffs, a cut in school aid, 88 new or higher fees, and the early release of 1,600 inmates.

The proposal he released Tuesday to the Legislature would increase total spending by 1.1 percent -- or $1.3 billion -- and close $15.4 billion in deficits over two years.

Here are some of the key elements of Gov. David Paterson's 2009-10 budget proposal to the Legislature:

--No increase in broad-based income tax rates, although New Yorkers will pay more in income taxes through the closing of what Paterson considers loopholes and other measures he said will ensure everyone pays their fair share. That would include a tax on items that can be downloaded, like movies, music and games.

--Proposals to increase the welfare grant in 2010, the first increase since 1990, while making government subsidized insurance available to more of the working poor, in part by ending some anti-fraud measures. The change would provide a family of three with $387 a month by 2012, instead of the current $291 a month. That would benefit about 200,000 households.

--More outreach to make sure returning military veterans and their families get the government services to which they are entitled. This $1.1 million in 2009-10 includes a mobile unit to travel the state.

--Increased assessments and reduced funding for hospitals, clinic and nursing homes that could be passed on to consumers and employers through higher health insurance premiums.

--An "obesity tax" of about 18 percent on non-diet sodas to raise $404 million.

--A 3.3 percent cut in school aid spending, now over $20 billion a year.

--A $620 increase in tuition at the State University of New York. That's about a 14 percent increase. It would increase tuition at City University of New York by $600, about 15 percent.

--Create a $1 million obesity prevention program.

--Lifting the limit on how much state tax can be charged for gasoline. The state's tax was limited to 8 cents per gallon.

--A measure to make it easier for the poor and working poor to get government health coverage by eliminating some anti-fraud measures, including face-to-face interviews, finger printing, and an asset test.

--Allowing 19- and 20-year-olds who do not live with their parents to enroll in Family Health Plus, the state health care plan, under the same rules as if they did live with parents.

--A plan to seek a federal waiver to allow adults at 200 percent of the federal poverty level -- about $20,800 a year -- to be eligible for Family Health Plus.

--Taking unspent funding for graduate medical education and redirecting it to the state's pool to cover the care of indigents at teaching hospitals. The proposal would save the state $141.3 million in the 2009-10 fiscal year.

--Increasing funds for indigent care in clinics and funding to food banks, pantries, soup kitchens and shelters.

--Increase funding in programs to prevent lead poisoning in children, mostly in poor city neighborhoods. The cost would be $2.5 million in 2009-10, and $5 million in 2010-11.

--Cracking down on failings of the state's Empire Zone program, which provides tax breaks to companies in exchange for creating or retaining jobs. Paterson wants to cut the program in half by requiring companies already getting big, multiyear tax breaks to prove they have created jobs they promised. These actions would be expected to save $272 million in 2009-10 and $292 million in 2010-11.

--Provides a raise for 1,200 state judges, who haven't had one for a decade. It would be provided with a $2.5 billion court system budget, up 1 percent.

--Leaves 213 state parks and historic sites open while reducing services and adding fees for camping, cabin rentals, golf and marina use.

--Calls for legislation requiring deposits on bottles of water and other non-carbonated beverages, with unclaimed refunds supporting the Environmental Protection Fund for buying open space while redirecting real estate transfer tax proceeds from the EPF to the state's general fund.

--Authorizes video slot machines for the Belmont Park race track, which Paterson says would generate a franchise payment of at least $370 million in 2010-11. 

(© 2009 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

WCBSTV.com Popular Pages

• Go! New York For A Healthy Lifestyle
• Got Wit? Play CBS 2's Caption Game!
• 20 Questions
• Celebrities On Twitter
• Celebrity Real Names Revealed
• When It Was Out To Be Out
• Hilarious Movie Blunders
• World's Coolest Fighter Jets