Governor Paterson Set to Make Bold Moves in 2010

Paterson scoffs at another tax hike
The New York Post by BRENDAN SCOTT - December 31, 2009

ALBANY, NY -- Gov. Paterson fired a warning shot this morning at any lawmakers who might be contemplating another income tax hike to close next year's massive budget deficit. During an interview on WOR 710 AM, Paterson cited "rumors" that some legislators might be plotting to push for the second tax hike in as many years to avoid painful cuts to state aid. "I heard a rumor yesterday that some of my colleagues are talking about another millionaires tax and that would demonstrate, I would say, a completely addictive personality," Paterson said. "The rumor isn't traceable to anybody, but somebody just mentioned that to me yesterday and I thought, 'I can't believe at this point that we never get it.'" The governor pointed out that the "$4 billion" soak-the-rich tax plan he and lawmakers included in the current budget has so-far produced 10 percent less than originally projected. Paterson said there's fewer New Yorkers qualify for the tax after the economic downturn and "many have changed their residences and moved out of the state," a fact disputed by tax-hike advocates. The state's projected 2010-2011 budget deficit could grow as large as $9 billion by the end of March, Paterson has warned. Senate Democratic Leader John Sampson said this week his conference would oppose any taxes and fees. Assembly Speaker Sheldon Silver (D-Manhattan) has not issued a similar pledge, but said in an interview on Albany's WGDJ 1300 AM that he believed spending was the problem.