A day after suggesting an increase of the state’s minimum wage could be a “hidden tax” on businesses, Senate Republican leader Dean Skelos signaled a way forward on the issue Wednesday morning. He and co-leader Jeff Klein, a Bronx Democrat, appearing together at a Crain’s breakfast forum in Manhattan, also said they would seek to undo an extension of an electricity tax proposed by Gov. Andrew Cuomo.
Mr. Skelos said the Legislature could consider a training wage or an incremental increase as a possible compromise to Mr. Cuomo’s proposal for a 20% hike to $8.75 an hour from the current $7.25.
“Is this the right time for an increase? Would it result in job losses among the least experienced and youngest workers?” Mr. Skelos asked. “Is a training wage viable? Should an increase be phased in gradually?”
Mr. Cuomo, Assembly Speaker Sheldon Silver and Mr. Klein, who heads the Independent Democratic Conference, have all made increasing the minimum wage a priority this year. Mr. Skelos, who shares control of the state Senate with Mr. Klein, said that while the economy was too fragile last year to consider an increase, this year could be more conducive.
“The governor has indicated that perhaps there is a hybrid that we could come up with,” Mr. Skelos said. “And I said I’m open to looking at it and see if there’s a way we could get it done.”
Mr. Skelos and Mr. Klein also agreed that the governor’s proposal to extend a surcharge on utility assessments was a burden on consumers and businesses that needs to be reconsidered. Mr. Skelos called it a “regressive tax,” while Mr. Klein said he believed the $236 million in revenue from the extension could be found elsewhere.
“I think Senate Republicans have made a very compelling argument,” Mr. Klein said. “The 18a [assessment] is going to be a burden on the ratepayer, as well as businesses around the state.”
They disagreed on how to balance the budget without the tax, which is projected to raise $1.8 billion over the four-year extension proposed by the governor. Mr. Skelos said the state could forsake spending on new programs that have been proposed, while Mr. Klein said he would look to “replace the revenue.”
Both Mr. Skelos and Mr. Klein said they supported legislative input into the siting of upstate casinos, but not into the selection of casino operators. Mr. Cuomo has said he wants to build three casinos in upstate New York to draw tourists to the economically depressed region, but has expressed reservations at allowing the Legislature to name the locations.
“I’ve never been a great fan of gaming,” Mr. Skelos said. “But my wife loves Jackpot Party,” he added, referring to a type of slot machine.
Mr. Skelos also expressed tentative support for establishing a “Dream fund” to help educate the children of undocumented immigrants, another priority of Mr. Klein’s. Only private donations should be used to fund the program, though, he said. “That has the possibility of passing.”
Both Mr. Skelos and Mr. Klein were bullish on the successes of their governing coalition to date. But on practically every other issue—whether it was gun restrictions, hydrofracking or campaign finance reform—the two senators expressed differing views.
Mr. Skelos said he was eager to see hydrofracking allowed if it can be proven safe, while Mr. Klein said he supports the state’s current moratorium and prefers continued research into the controversial drilling method. Mr. Skelos said he wants to revisit the governor’s recently passed gun control law and tinker with provisions concerning gun ownership among law enforcement officers and blocks on 10-bullet ammunition magazines. Mr. Klein said little or no change to the law is needed.
The two senators were the furthest apart on the issue of public matching funds for election campaigns, which Mr. Cuomo proposed in January. Mr. Skelos said he does not support using taxpayer money to finance campaigns, while Mr. Klein said he was in favor of a public matching system.
In a sideways swipe at Mr. Cuomo and his war chest, Mr. Skelos said, “If I had $27 million in my campaign fund, I would be for public financing too.”
Mr. Skelos said he had concerns about Mr. Cuomo’s “pension smoothing” plan in which cash-strapped localities could defer pension payments for up to 10 years. “Ten years down the road, those mayors are going to say that this is a mandate on them,” he said. Mr. Klein said he supports the measure. Both men noted that it would be optional for localities.
After the event, Mr. Skelos shot down the idea of moving the primary election date to June from September, as requested by the city’s Board of Elections. Mr. Skelos said he still supports an August primary, rather than June, which would conflict with the end of session in Albany. The board is asking for an earlier primary for city candidates, but Mr. Skelos said the primary should be the same time of year for everyone. (City elections are in odd-numbered years, while state contests are in even-numbered years.)
Instant runoff voting, which the Board has proposed as a possible compromise to moving the primary date, would require legislation, Mr. Skelos said. “I haven’t even thought about that,” he said.