Arbitration Opposition Letter

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June 26, 2006

Hon. George E. Pataki

Executive Chamber

State Capitol

Albany, New York 12224

Dear Governor Pataki:

The Buffalo Niagara Partnership, representing 2,500 employers in the Buffalo Niagara region, strongly opposes A.6222 and S.3178, recently passed by the state legislature, and urges you to veto these bills. As you know, these bills have particular effect on our region, and they can have a dramatically negative impact on already overburdened taxpayers as a direct result.

Sadly, in the eleventh hour of the state legislature’s just-ended session, these bills were passed by both houses without public input or debate. What were the State Assembly and Senate members thinking? They hand local public employee unions tremendous bargaining leverage at taxpayers’ expense by incentivizing going on strike. Arbitrary and automatic raises to public employees and policies that will ultimately increase taxpayers’ costs will be devastating to county, city and town budgets.

In addition, these bills, if implemented, open the door for public unions to skew negotiations, proposing unreasonable contract demands in hopes of stalling the process. The potential consequences of strikes by employees providing necessary services and increased costs of operating governments and school districts place the unions into a “no-lose” situation and taxpayers in a “no-win” one regarding contract negotiations.

The Partnership is a driving force behind the “Unshackle Upstate” campaign. A component of Unshackle Upstate seeks amendment of the state’s binding arbitration regulations, allowing governing panels to give primary consideration to localities’ “ability to pay” the results of arbitration without resorting to new or increased taxation. These bills do the opposite. They must not be implemented.

In the Buffalo Niagara region, both the City of Buffalo and County of Erie exist under fiscal stability authorities created by New York State. These bills would supercede the positive work being done by these authorities.

We are in strong opposition to A.6222 and S.3178 generally, but also because they are specifically harmful to our local governments in Buffalo Niagara. Thus, we urge you to veto these bills.

Sincerely,

Andrew J. Rudnick

President & CEO

cc:        WNY State Delegation

            Erie County Executive Joel Giambra

            Buffalo Mayor Byron Brown

            Brian Lipke, Chairman, BFSA

            Anthony Baynes, Chairman, ECFSA