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1 1 Before the New York State Senate Finance and Assembly Ways and Means Committees 2

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1 1 Before the New York State Senate Finance and Assembly Ways and Means Committees 2 1 1 BEFORE THE NEW YORK STATE SENATE FINANCE AND ASSEMBLY WAYS AND MEANS COMMITTEES 2 ---------------------------------------------------- 3 JOINT LEGISLATIVE HEARING 4 In the Matter of the 2020-2021 EXECUTIVE BUDGET ON 5 ECONOMIC DEVELOPMENT 6 ---------------------------------------------------- 7 Hearing Room B Legislative Office Building 8 Albany, New York 9 February 13, 2020 9:37 a.m. 10 11 PRESIDING: 12 Senator Liz Krueger Chair, Senate Finance Committee 13 Assemblywoman Helene E. Weinstein 14 Chair, Assembly Ways & Means Committee 15 PRESENT: 16 Senator Pamela Helming Senate Finance Committee (Acting RM) 17 Assemblyman Edward P. Ra 18 Assembly Ways & Means Committee (RM) 19 Senator Anna M. Kaplan Chair, Senate Committee on Commerce, 20 Economic Development and Small Business 21 Assemblyman Robin Schimminger Chair, Assembly Committee on Economic 22 Development, Job Creation, Commerce and Industry 23 Senator Diane J. Savino 24 Chair, Senate Committee on Internet and Technology 2 1 2020-2021 Executive Budget Economic Development 2 2-13-20 3 PRESENT: (Continued) 4 Assemblyman Al Stirpe Chair, Assembly Committee on Small Business 5 Senator Joseph P. Addabbo Jr. 6 Chair, Senate Committee on Racing, Gaming and Wagering 7 Senator James Skoufis 8 Chair, Senate Committee on Investigations and Government Operations 9 Assemblyman Kenneth Zebrowski 10 Chair, Assembly Committee on Governmental Operations 11 Senator John Liu 12 Assemblyman Harvey Epstein 13 Assemblyman Robert Smullen 14 Assemblyman Billy Jones 15 Senator Brad Hoylman 16 Assemblywoman Marianne Buttenschon 17 Assemblyman Christopher S. Friend 18 Senator Luis R. Sepulveda 19 Assemblyman Steve Stern 20 Assemblyman Chris Tague 21 Senator James Tedisco 22 Assemblyman Brian D. Miller 23 Assemblywoman Mathylde Frontus 24 3 1 2020-2021 Executive Budget Economic Development 2 2-13-20 3 PRESENT: (Continued) 4 Senator George M. Borrello 5 Assemblywoman Inez Dickens 6 Assemblyman Robert J. Rodriguez 7 Assemblyman Charles Barron 8 Senator Rich Funke 9 Assemblyman Daniel J. O'Donnell 10 Assemblywoman Alicia Hyndman 11 Senator Shelley B. Mayer 12 Assemblyman Walter T. Mosley 13 14 15 LIST OF SPEAKERS 16 STATEMENT QUESTIONS 17 Eric Gertler President, CEO & Commissioner 18 Empire State Development New York State Department of 19 Economic Development 11 15 20 RoAnn M. Destito Commissioner 21 NYS Office of General Services (OGS) 143 152 22 Mara Manus 23 Executive Director NYS Council on the Arts 169 173 24 4 1 2020-2021 Executive Budget Economic Development 2 2-13-20 3 LIST OF SPEAKERS, Continued 4 STATEMENT QUESTIONS 5 Ilana Berger New York Director 6 Hand in Hand: The Domestic Employers Network 190 196 7 Ryan Silva 8 Executive Director New York State Economic 9 Development Council -and- 10 Brian Sampson President, Empire State 11 Chapter Associated Builders & 12 Contractors, Inc. 197 209 13 John Ravitz Executive VP/COO 14 The Business Council of Westchester 15 -and- Ken Pokalsky 16 Vice President The Business Council of 17 New York State, Inc. 223 235 18 Melinda Mack Executive Director 19 NY Association of Training and Employment Professionals 252 258 20 Allan Gandelman 21 President NYS Cannabis Growers & Processors 22 Association, Inc. 267 273 23 Randy Wolken President & CEO 24 Manufacturers Association of Central New York (MACNY) 284 288 5 1 2020-2021 Executive Budget Economic Development 2 2-13-20 3 LIST OF SPEAKERS, Continued 4 STATEMENT QUESTIONS 5 Donald Maurice Outside Counsel 6 Receivables Management Assoc. International, Inc. 298 7 Jonathan Teyan 8 Chief Operating Officer Associated Medical Schools 9 of New York 303 308 10 Thomas J. O'Donnell President 11 Theatrical Teamsters Local 817 12 -and- Louis Bertini 13 Eastern Region VP Motion Picture Editors Guild 310 317 14 Peter Bauer 15 Executive Director Protect the Adirondacks 324 16 Tom Speaker 17 Policy Advisor Reinvent Albany 329 18 Norma Nowak, Ph.D. 19 Executive Director NYS Center of Excellence in 20 Bioinformatics & Life Sciences -and- 21 James Clements, Ph.D. Director of Project Management 22 Athenex -and- 23 Stephen Keegan Employee 24 Enhanced Pharmacodynamics 334 345 6 1 CHAIRWOMAN KRUEGER: Good morning. 2 We're ready as we're going to be, was the 3 answer. This is Day 13 -- Hearing 13, 4 sorry -- 5 CHAIRWOMAN WEINSTEIN: Day 11, I 6 think. 7 CHAIRWOMAN KRUEGER: Whatever it is. 8 We're in a blur. 9 (Laughter.) 10 CHAIRWOMAN KRUEGER: But you know who 11 you are, and you'll be introducing 12 yourselves. For example, I'll read this 13 sheet and let you know that I am Liz Krueger 14 and this is the budget hearing on economic 15 development. 16 I chair the Senate Finance Committee. 17 I'm cochair of today's budget hearing. Today 18 is the 12th of 13 hearings conducted by the 19 joint fiscal committees of the Legislature 20 regarding the Governor's proposed budget for 21 state fiscal year 2020-2021. 22 These hearings are conducted pursuant 23 to the New York State Constitution and 24 Legislative Law. 7 1 Today the Senate Finance Committee and 2 the Assembly Ways and Means Committee will 3 hear testimony concerning the Governor's 4 proposed budget for the New York State 5 Department of Economic Development, 6 Empire State Development Corporation; the 7 New York State Office of General Services, 8 and the New York State Council on the Arts. 9 Each representative of the agencies 10 will be introduced as it is their time to 11 testify. Following each testimony, there 12 will be some time for questions from the 13 chairs of the fiscal committees and other 14 related committees based on the 15 commissioners. 16 After the final question-and-answer 17 period, there will be an opportunity for 18 members of the public to briefly express 19 their views on the proposed budget 20 discussion. 21 I know that there's quite a bit of 22 snow in various parts of the state, so for 23 people who may have hoped to get here and 24 have not, please be assured if you submit 8 1 testimony any time in the next seven days, 2 that will be treated as testimony to the 3 committees. It will go up online for 4 everyone to have a chance to look at and 5 review. 6 We have standard rules that we apply 7 to all of our testifiers. One, please play 8 clo -- please play -- please pay -- I didn't 9 have the coffee yet, I apologize -- 10 (Laughter.) 11 CHAIRWOMAN KRUEGER: -- close 12 attention to the time clocks, because it lets 13 you know how much time you have to speak and 14 then it will glow yellow when you're getting 15 close to the end, and then it will glow red 16 and ring, letting you know your time is up. 17 Chairpersons of relevant committees 18 have a 10-minute allotment for questions and 19 answers of the government witness. All other 20 legislators who are members of the relevant 21 committees receive five minutes to ask 22 questions of government. 23 Except for the five minutes for 24 relevant chairs, there will be no second 9 1 rounds of questioning. Any legislator who 2 feels the need to ask an additional follow-up 3 question, please present themselves to Helene 4 Weinstein if they're an Assemblymember, or 5 myself if they're a Senator. 6 For nongovernmental witnesses, all 7 legislators have three minutes to ask their 8 questions. 9 There may be some people who want to 10 protest in some way -- occasionally, they 11 do -- this afternoon, or maybe they'll show 12 up early. We just urge people that there are 13 successful ways to quietly protest versus 14 noisy disruptive ways to protest. We urge 15 people to explore the quieter ways of 16 protest. Because if not, people who work for 17 the state will actually ask you to leave. 18 I'm just going to start off by 19 introducing members of the Senate, and then 20 Helene Weinstein will introduce members of 21 the Assembly. 22 I see Senator Brad Hoylman, Senator 23 Diane Savino, Senator Joe Addabbo, Senator 24 Luis -- excuse me, I'm losing my mind -- 10 1 Luis Sepulveda. I decided to blend you and 2 John Liu into one Senator. Senator John Liu. 3 Senator Anna Kaplan, who's actually the chair 4 of the two relevant committees today for 5 Economic Development and Small Business 6 Services. 7 And filling in for Jim Seward, who 8 could not be here, is Senator Pam Helming, 9 who will introduce her members. 10 SENATOR HELMING: Joining me today we 11 have Senator Jim Tedisco. 12 CHAIRWOMAN KRUEGER: Great. 13 And the Assembly? 14 CHAIRWOMAN WEINSTEIN: For the 15 Assembly we have Assemblyman Schimminger, 16 chair of the Economic Development Committee; 17 Assemblyman Stirpe, chair of our Small 18 Business Committee; Assemblyman Jones, 19 Assemblyman Rodriguez, Assemblyman Stern, 20 Assemblyman Epstein, Assemblywoman Frontus, 21 Assemblyman Barron, and Assemblywoman 22 Buttenschon. 23 Assemblyman Ra will introduce the 24 members of his conference, our ranker. 11 1 ASSEMBLYMAN RA: We're joined this 2 morning by Assemblyman Chris Friend, ranking 3 member on the Economic Development Committee, 4 as well as Assemblyman Smullen, Assemblyman 5 Tague, and Assemblyman Brian Miller. 6 CHAIRWOMAN KRUEGER: Thank you. 7 And we're beginning with Eric Gertler, 8 commissioner of the Empire State Development 9 Corporation and the Department of Economic 10 Development. 11 Welcome. You have 10 minutes; feel 12 free. 13 COMMISSIONER GERTLER: Great. Thank 14 you. 15 Good morning, Chairwoman Krueger, 16 Chairwoman Weinstein, and distinguished 17 members of the Legislature. My name is 18 Eric Gertler, and I serve as the acting 19 commissioner of the New York State Department 20 of Economic Development and as president and 21 CEO-designate of Empire State Development, 22 ESD.
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