Senate approves debt-service bill amid dispute over $10 billion buffer
Loading...
Summary
The New York State Senate passed a debt-service appropriations bill (Calendar No. 657) by a 47–10 vote after floor debate over an extra $10 billion borrowing authorization and the timing of the full state budget. Sponsor Senator Krueger said the bill ensures payment of existing obligations; opponents called the added borrowing imprudent.
The New York State Senate on March 25 passed a debt-service appropriations bill tied to the fiscal year transition after extended floor debate over an additional $10 billion authorization for potential borrowing.
Senator Krueger, the bill sponsor, defended the measure on the floor, saying, “The debt service appropriations are 10,600,000,000.0, 3,700,000,000.0 of which is cash.” She said the bill completes obligations for debt service on money already borrowed and also allows for a degree of flexibility if more borrowing is needed after the final capital budget is set.
Opponents said the bill goes too far. Senator O'Mara argued that while she supported obligating the state to pay debts, she did not support “padding this by an extra $10,000,000,000 for projects that we don't even know what they are yet” and urged passing only the amounts needed now and amending the bill later once capital priorities are finalized.
Senator Walznick read prepared remarks describing concerns about New York's rising debt burden and cited public comments from New York State Comptroller Tom DiNapoli on the state's high and growing debt levels. Walznick said those concerns justify skepticism of additional borrowing and said he would vote no.
Senator Borrello (Barello) said the bill authorizes $9,000,000,000 in new debt while retiring $3,000,000,000 and raised allegations about insufficient administration action on fraud, saying there were “$2,000,000,000 in Medicaid payments to people that don't even live in New York State.” He said he would vote against the measure.
Senator Tedisco used his remarks to criticize leaders responsible for past late budgets and urged colleagues to keep the Senate in session to finish pending work. Senator Scoofus defended deliberation and recorded his affirmative vote.
After debate closed and clerks completed the roll call, the clerk announced, "Eyes 47, nays 10," and the presiding officer declared the bill passed. The Senate then agreed to adjourn until Monday, March 30 at 3 p.m., with intervening days legislative days.
The bill on the floor was described as addressing debt service obligations for the coming fiscal year and reflected figures discussed on the floor; sponsor statements stressed paying existing obligations on time, while opponents emphasized concerns about increasing the state's borrowing capacity before capital plans are finalized.
The next formal action on the broader budget schedule depends on remaining budget bills and any extender the governor may present; senators noted that religious observances and holiday scheduling will affect when the Legislature returns to complete the remaining budget work.
