Cuomo nixes benefits for board members
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- March
- 8
Attorney General Andrew M. Cuomo today ordered the New York State Power Authority and the Thruway Authority to stop paying health insurance premiums for their board members. Short of that, he’s asked them to submit the names of current and former board members receiving such benefits, and said he will “inspect the lists and consider appropriate enforcement actions.”
Cuomo said his office is also sending approximately 100 letters to New York State authorities “that appear to have enabling statutes prohibiting the payment of benefits to board members. The authorities are being informed that compensation for
their board members is illegal.” More letters may follow, he said.
“For too long, public authorities have operated without adequate oversight. Authorities, like all public entities, must be held to the highest ethical standards. My office’s actions today are a first step toward providing that needed oversight and ensuring that the hundreds of public authorities in this state will act with the integrity that the public rightfully demands,â€? the AG said in a statement.
The orders come in the wake of a Feb. 28 opinion that the New York State Housing Finance Agency and State of New York Mortgage Agency also could not pay health insurance premiums for current or retired board members based on statutes barring members from receiving “salary or other compensation.” The opinion had been requested by the agencies.
The Associated Press reports that members of the two housing boards had been getting the benefits since 1998; last year, they voted to give members and their spouses benefits that would continue after they retired.
Power Authority spokesman Michael Saltzman, speaking to the AP, disputed Cuomo’s assertion that paying the health insurance premiums was illegal. Thruway spokeswoman Betsy Graham told the AP the authority was reviewing Cuomo’s legal opinion.
This entry was posted
on Thursday, March 8th, 2007 at 5:32 pm by Liz Anderson.
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