News : POLITICO New York Playbook: Taxpayers to fund new Bills stadium

Tuesday, March 29, 2022

POLITICO New York Playbook: Taxpayers to fund new Bills stadium

Mar 29, 2022

By Erin Durkin, Anna Gronewold and Deanna Garcia

Presented by The Black Car Fund

Apologies to the Pats fans among us: The Bills Mafia just got some pretty good news.

The state of New York is gearing up to spend a record amount of public money in exchange for a new $1.4 billion Buffalo Bills stadium that would keep the team in Buffalo for another three decades.

The long-awaited agreement announced Monday includes $600 million from the state and $250 million from Erie County, the most public money spent on an NFL stadium. The rest would come through a $200 million loan from the NFL (approved yesterday) and $350 million from billionaire Bills owners Kim and Terry Pegula.

It's a win for Buffalo native Gov. Kathy Hochul, who needs, at the very least, to show her commitments to economic development and public safety in her first executive budget as she gears up for reelection. She says the project will create 10,000 union jobs, and for the next 30 years the team will continue to generate $27 million a year in taxes.

And to those complaining about the price tag, Hochul says it's only the number, not the total share, of public dollars that is record-breaking. In this deal, the public financing would be 61 percent, well below comparable markets: The public paid for 94 percent of the Cincinnati Bengals' stadium, 91 percent of the Baltimore Ravens' stadium and 86 percent of the Indianapolis Colts' stadium, Hochul said.

There's still a lot before this is official. At least some of the money needs to pass through the state budget that is due by Thursday.

Few lawmakers have indicated they are looking to spend energy blocking the funds, though plenty in the Capitol have said they don't see why the state should spend so much propping this up or any other sport. But since it is Albany we're talking about, and nothing's final until everything is, no one's raising both arms in touchdown victory just yet.

IT'S TUESDAY. T minus two days until the state budget is due. Got tips, suggestions or thoughts? Let us know ... By email: EDurkin@politico.com and agronewold@politico.com, or on Twitter: @erinmdurkin and @annagronewold

WHERE'S KATHY? In Albany with no announced public schedule.

WHERE'S ERIC? Making a workforce development announcement, visiting the United Nations, and opening a safe haven homeless shelter.

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What City Hall's reading

Adams ally to launch municipal think tank, by POLITICO's Sally Goldenberg and Amanda Eisenberg: New York City mayors have long had outside operations to boost their platforms: The conservative think tank Manhattan Institute readily supported Rudy Giuliani's Republican policies. Mike Bloomberg used his personal wealth to spread his agenda beyond the confines of his office. Bill de Blasio established the Campaign for One New York, followed by embattled spinoffs, to bankroll his policy priorities locally and nationally. Now an ally of Mayor Eric Adams is launching a similar organization connected to City Hall's new leader. Tom Allon, publisher of local political website City & State, is raising money for a think tank that will align with the centrist agenda of a Democratic politician Allon counts as a longtime friend — though he vowed independence from the mayor. A memo to potential donors, obtained by POLITICO, said the organization "anticipates evaluating a number of concrete policy ideas that were part of incoming NYC Mayor Eric Adams campaign platform and putting them through a rigorous academic analysis to assess their financial viability and ability to implement."

Adams dismisses criticism of NYPD policies as 'silly noise ,' by POLITICO's Erin Durkin: New York City Mayor Eric Adams lashed out at critics of his policing policies Monday, calling their critiques "silly noise" that he would ignore. "I am so tired of people spending all their energy protecting criminals and not protecting innocent New Yorkers," Adams told reporters when asked about concerns that his new NYPD anti-gun units — a revamped version of the plainclothes anti-crime unit that was disbanded in response to complaints — would harm Black and Latino communities with aggressive tactics.

"NY's job deficit continues to grow from already high pre-pandemic levels: federal data," by New York Post's Carl Campanile: "New York still has 454,000 fewer private-sector jobs than it had two years ago before the coronavirus pandemic hammered the city and state — a 4.1 percent employment deficit that is the worst in the mainland U.S., an analysis of new federal labor statistics reveals. As of February, job counts in 21 states had surpassed their pre-pandemic employment levels, according to the federal Bureau of Labor Statistics. The US as a whole recovered 19.6 million of the 21 million jobs lost in the spring of 2020 – putting it within 1.1 percent of fully recovering all the jobs lost during the pandemic, said the analysis of the federal jobs data by EJ McMahon, senior fellow with the Empire Center for Public Policy."

"Dozens of city workers sent to clear homeless encampment under BQE," by WNYC's Gwynne Hogan: "Heriberto Medina watched the compactor of a city garbage truck swallow up the tent he'd taken shelter in for months under the Brooklyn-Queens Expressway. Police and sanitation workers on Monday had given him a chance to pack it up, but he said he was too tired to dismantle his camp. When the debris was cleared, he was left with a bicycle, two backpacks stuffed with clothes, and a small white stool. 'So now my living space is gone,' he said. 'There's no other options, but to look for another place.' Mayor Eric Adams has promised to crack down on street homelessness by clearing 150 encampments across the city over a two-week period."

"More than 64K NYC retirees have rejected controversial Medicare plan favored by Mayor Adams," by New York Daily News' Chris Sommerfeldt: "More than 64,000 retired city workers have opted out of a controversial Medicare plan that Mayor Adams' administration is hoping to implement despite legal concerns, according to records reviewed by the Daily News. The Medicare Advantage plan, first rolled out by former Mayor Bill de Blasio, was blocked earlier this month from going into effect after Manhattan Supreme Court Justice Lyle Frank ruled that a key aspect violated longstanding local administrative laws. But Adams' administration quickly filed a notice to appeal the ruling, maintaining that the plan is a better alternative for the city's retired workforce than their current traditional Medicare coverage."

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WHAT ALBANY'S READING

"Will Black Democratic Voters Turn Out for Gov. Hochul?" by The New York Times' Jeffery C. Mays: "Yet nearly seven months into her tenure, some New York Democrats are concerned that she has not been able to use those endorsements to generate much enthusiasm among Black voters, a key voting bloc. Ms. Hochul could win the primary even with a muted showing from Black voters, but if they don't turn out in November to support her, the race for governor could be tighter, and problems could emerge for other Democrats down the ballot. A Siena College poll released Monday found that if Ms. Hochul's predecessor, former Gov. Andrew M. Cuomo, entered the primary race, he would lead her among Black voters by 50 percent to 23 percent, although she leads him overall among registered Democrats by eight points, the poll found. But the poll found that if Mr. Cuomo stayed out, Ms. Hochul led a Black candidate, Jumaane Williams, the New York City public advocate, among Black voters by a margin of 39 percent to 17 percent — a reversal from a February Siena poll in which she trailed Mr. Williams."

"Trump donors have boosted Hochul's campaign ," by Times Union's Michelle Del Rey: "Billionaire backers that donated millions of dollars to former President Donald J. Trump also gave hundreds of thousands of dollars to Gov. Kathy Hochul, a Democrat, according to an analysis constructed by LittleSis, a grassroots watchdog network. The contributors, which included not just billionaires, but real estate moguls and entrepreneurs, spent $867,000 on Hochul ahead of the November general election. … The donors also spent $3.2 million on Trump between his campaign committee, Donald J Trump for President, and his joint fundraising committees, Trump Victory and Trump Make America Great Again Committee."

"Analysis: 'Turbulence' for Hochul amid New York state budget storm," by Spectrum's Nick Reisman: Hochul has insisted she's remained focused on the budget — employing a we-don't-talk-about-Cuomo stance — and not the gathering political campaign season. She's yet to unleash the millions of dollars in campaign money amassed early on in her tenure. A lot may be riding on the outcome of a budget, expected to clock in at least $216 billion that would fund child care, health care and include what could be a sweeping criminal justice and public safety package. 'Right now Hochul is facing turbulence not a brick wall,' said Bruce Gyory, an adjunct professor at SUNY Albany."

ANY BUDGET DEALS? *shrug*

— "Bail reform changes shaping up as most contentious issue in budget talks," by Spectrum's Zack Fink: "Critics of changes to the bail law and other criminal justice reforms sense that Hochul may be able to convince both houses to agree to some tweaks, as part of the final budget agreement, expected this week. Assembly member Latrice Walker is now on day seven of a hunger strike to prevent any changes to the bail law she championed. 'It was on this very step, that I made the commitment to do like so many New Yorkers do each and every day. And that is put their bodies in the line for an injustice system,' Walker said."

— " New York's Bail Laws, Reconsidered: 5 Things to Know," by The New York Times' Grace Ashford and Jonah E. Bromwich

— " How much would it cost for New York to insure low-income undocumented people? Depends who you ask." by City & State's Rebecca C. Lewis: "However, Hochul's team came to the table with a very different estimate. Her staff told lawmakers they put the cost at $1.9 billion in the first year, nearly six times higher than what the Legislature proposed. According to one legislative source with knowledge of the negotiations, the governor did not provide lawmakers with data to back up the claim, and the Health Committee chairs in both chambers have been trying to push back on it. The legislative source suggested the difference may come from a disparity in the expected number of enrollees in the first year."

— "State weighs enhancing partial student loan forgiveness programs," by Newsday's Michael Gormley: "In the state budget now being negotiated, the Senate and Assembly have tentatively agreed in their separate budget proposals to Hochul's proposed tax exemption that would end a frustrating obstacle in student loan forgiveness programs. Currently, New Yorkers find that their forgiveness benefit is treated as part of their adjusted gross income 'resulting in increased tax liability and ultimately exchanging one debt problem for another,' according to the state Division of Budget. Hochul's proposal would exempt the student loan forgiveness benefit from being counted as income and could expand use of the loan forgiveness programs."

FIRST IN PLAYBOOK — Center for Popular Democracy Action will endorse Public Advocate Jumane Williams for governor and running mate Ana María Archila for lieutenant governor. Archila is a former co-executive director for the group. "They have spent their lives fighting for justice and equality, fighting for a New York in which every person, regardless of their race, gender, income, or documentation status, can thrive and live with dignity and opportunity," said DaMareo Cooper, co-executive director of CPDA. Our Revolution, which previously endorsed Williams, also endorsed Archila last night.

#UpstateAmerica: Here's the recipe from repeat prizewinner Stephen Piorkowski of Delmar, who swept the Mac-n-Cheese Bowl street festival in Cohoes again this year.

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TRUMP'S NEW YORK

"NY AG Letitia James complains subpoena-defying Donald Trump has turned over just ten business documents in 2 years," by Insider's Laura Italiano: "A fight over Donald Trump's business documents spilled over into a Manhattan courtroom Monday, with his lawyers complaining about New York Attorney General Letitia James' intrusive 'tentacles' — and the AG's side bemoaning anew what it sees as the former president's foot-dragging. Trump himself has turned over only ten personal business documents since James issued her first subpoenas to The Trump Organization two years and three months ago, lawyers for the AG revealed in court."

AROUND NEW YORK

— JetBlue plans to hire 5,000 more workers in New York City this year.

— Adams urged Albany lawmakers to fund an expansion of child care for low- and middle-income families.

— State Sens. James Skoufis and Mike Martucci are moving bills to replace the board of directors of the Catskill Regional Off Track Betting Corporation after a recent IG report.

— Plans were unveiled for a new science center at the Museum of Natural History.

— Nightlife mayor Adams was out on the town Monday night where he partied with model Cara Delevingne and hip hop artist A$AP Rocky during an event at One Vanderbilt.

— A driver jumped a curb in Harlem and critically injured a woman and a six-year-old boy.

— The MTA will convene an advisory group to study whether to allow unfolded strollers on buses.

— A man who was living in a tree until the city moved to evict him was arrested for assaulting a New York Post reporter.

— A teen girl was repeatedly punched in the face in a random subway attack.

— A Staten Island man and his wife have been evacuated from Ukraine.

— A Brooklyn school unveiled a sign renaming it for Sarah Smith Garnet School, after removing the name of the scion of a slave-holding family.

DON'T MISS POLITICO'S INAUGURAL HEALTH CARE SUMMIT ON 3/31: Join POLITICO for a discussion with health care providers, policymakers, federal regulators, patient representatives, and industry leaders to better understand the latest policy and industry solutions in place as we enter year three of the pandemic. Panelists will discuss the latest proposals to overcome long-standing health care challenges in the U.S., such as expanding access to care, affordability, and prescription drug prices. REGISTER HERE.

SOCIAL DATA BY DANIEL LIPPMAN

HAPPY BIRTHDAY: Peter Cherukuri … Lara Logan … AP's Steve Peoples … CNN's Melanie Zanona, a POLITICO alum … David E. Shaw … Nouriel Roubini … Casey Wian … Rockefeller Foundation's Eric Pelofsky … Alexandra Zafran … Annie Rosen Pai … Malcolm Shaw … Sarah Blagden

MAKING MOVES — Abby Jo Sigal has been named executive director of the Mayor's Office of Talent and Workforce Development. She was the founding CEO of HERE to HERE. … John Gallagher, a partner in the New York office, has been named president of Mercury.

ENGAGED — Gabe Rubin, a national economics reporter at the WSJ, and Juliet Bellin Warren, a Georgetown public policy master's student and former head pastry chef at Ris, got engaged Saturday on Roosevelt Island. They originally matched on Hinge and first met at the much-mourned Room 11 in Columbia Heights on an unseasonably warm February day in 2018, after they rescheduled once following the realization that they had initially planned their first date for Valentine's Day. Pic

A message from The Black Car Fund:

The Black Car Fund kept NY moving during COVID by doing what it's done for 20 years: providing invaluable benefits to for-hire drivers and their families. Through the Black Car Fund, tens-of-thousands of professional drivers in NY are eligible for free telemedicine, vision, and dental coverage as well as insurance, prescription, urgent care, and diagnostic imaging discounts. The Fund also provided 20,000 PPE kits with masks, hand sanitizer and gloves for drivers to keep them on the road, serving New Yorkers. That's why NPR called The Black Car Fund "the future of benefits". Now the State legislature is considering an extension of the Black Car Fund's successful programs--at no cost to taxpayers. At this critical moment, it is imperative that our lawmakers recognize what a game-changer this help has been for New York's for-hire drivers.

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Real Estate

"Salvation in the Sky: As congregations dwindle, air rights become more valuable to churches—and to developers building into the heavens," by Crain's Aaron Elstein: "Pastors at the Church of St. Paul and St. Andrew are looking heavenward for salvation of the financial kind. The Methodist institution needs $25 million to fix the church's roof, romanesque arches, medieval buttresses, terra-cotta angels and other flourishes that make the 125-year-old landmarked building a prime example of 19th-century 'scientific eclecticism.' 'We can't afford the upkeep,' the Rev. K Karpen, senior pastor, said from his church's basement food pantry, which distributes thousands of meals per day."

" New York Law to Turn Vacant Hotels Into Homeless Housing Is Failing," by Bloomberg's Martin Z Braun: "A state law designed to help developers convert vacant New York City hotels into housing for homeless people has so far gone nowhere, and the $100 million set aside for the program is unspent. New York state officials say two nonprofits have expressed interest, but haven't filed formal applications. The developers say their efforts have been hamstrung because the law, enacted last year, didn't ease zoning and building code rules, making projects too costly and time-consuming."

" 'High-Rise Hell': N.Y.C. Skyscraper's Elevator Breakdowns Strand Tenants," by the New York Times' Karen Zraick and Ashley Wong: "When it was completed in 1931, the City Bank-Farmers Trust Company Building towered over the financial district as one of the tallest buildings in New York City. …The 59-story building, at 20 Exchange Place, is now a bustling residential high-rise with more than 750 apartments, featuring luxury amenities, stunning harbor views and some rent-stabilized units. Tenants breeze into the lobby, with its soaring ceilings and elaborate marble mosaics, and into Art Deco-style elevators to reach their homes. Or they used to, anyway. Since November, the skyscraper has been plagued by long elevator outages that have turned daily life upside down and trapped residents with mobility issues inside their apartments."

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