Latest / Sid & Friends In The Morning / Frank Morano | New York City Councilman | 05-13-26

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Frank Morano | New York City Councilman | 05-13-26 · Sid & Friends In The Morning

• 0:00
  Speaker 1: We're going to talk to City council member and former
• 0:02
  Speaker 1: WABC colleague Frank Morano about whether it's a win or not.
• 0:07
  Speaker 1: This is the Mayor Lewis Cutt number two.
• 0:10
  Speaker 2: Yes, I see this as a win not just for
• 0:13
  Speaker 2: our administration but for the City of New York, a
• 0:16
  Speaker 2: win to ensure that the city is back on firm
• 0:18
  Speaker 2: financial footing, and it's doing so by taxing the rich,
• 0:23
  Speaker 2: by creating a fair relationship with Albany.
• 0:25
  Speaker 1: Ye. All right, so he claims it's a win, and
• 0:29
  Speaker 1: I think Frank Morano is actually smarter than he is.
• 0:31
  Speaker 3: I don't care if you went to Brooklyn Tech, I
• 0:32
  Speaker 3: really do.
• 0:33
  Speaker 1: Frank is a mayor wright one hundred and twenty five
• 0:37
  Speaker 1: billion dollar budget, one in which you guys in the
• 0:41
  Speaker 1: City Council have the power to say Nope, ain't gonna
• 0:44
  Speaker 1: happen here. From what you see, Frank Morano, is it
• 0:48
  Speaker 1: a win for the mayor and New York City?
• 0:52
  Speaker 4: Sid Good morning? First of all, thanks for having me on,
• 0:54
  Speaker 4: and congratulations on the incredible interview with President Trump. Everybody's
• 0:57
  Speaker 4: talking about literally all over the world. People would be
• 1:01
  Speaker 4: surprised if President Trump when he's with Jijinping. Later actually
• 1:04
  Speaker 4: were to hand the phone to Jijien Ping to have
• 1:06
  Speaker 4: Jijien Ping call you. That's kind of a level that
• 1:10
  Speaker 4: is that right now.
• 1:11
  Speaker 3: It's not crazy, that's not crazy.
• 1:12
  Speaker 4: It's not for anybody but Trump it would be. But
• 1:16
  Speaker 4: so as far as this budget, this is just crazy.
• 1:19
  Speaker 4: Everything about this is crazy. A few months ago we
• 1:22
  Speaker 4: were talking. We were told New York City was facing
• 1:26
  Speaker 4: the fiscal equivalent of an event level extinction event, an asteroid,
• 1:31
  Speaker 4: twelve billion dollar budget hole, property tax hikes, supposedly unavoidable,
• 1:36
  Speaker 4: end of the world rhetoric. We're going to rate the
• 1:39
  Speaker 4: Rainy Day Fund, which is supposed to be only used
• 1:41
  Speaker 4: for things like a major crisis. And now suddenly the
• 1:46
  Speaker 4: property tax hike is gone, The Rainy Day Fund rate
• 1:49
  Speaker 4: is gone. All but he found like magic billions of
• 1:52
  Speaker 4: dollars and everybody's declaring victory, nobody more so than the mayor. So,
• 1:56
  Speaker 4: first of all, I'm glad homeowners dodged that bullet a
• 2:00
  Speaker 4: property tax hike, because that would have been devastating. But
• 2:02
  Speaker 4: this whole episode raises a ton of questions. It's laughable.
• 2:07
  Speaker 4: The biggest thing New Yorkers need to understand is this
• 2:10
  Speaker 4: state money is not magic money. It's still taxpayer money.
• 2:15
  Speaker 4: It's just routed through Walbany first. So if somehow Governor
• 2:18
  Speaker 4: Hockle found four billion dollars to bribe the voters.
• 2:21
  Speaker 1: With, by the way, that would be four billion dollars
• 2:24
  Speaker 1: for this year. She actually found double it, eight billion
• 2:26
  Speaker 1: over a two year period.
• 2:28
  Speaker 4: That's exactly right, right, And so don't don't shortchange your
• 2:31
  Speaker 4: own math abilities. I saw you giving me the disclaimer
• 2:34
  Speaker 4: that you're not Larry Godlowe or Charles Gasparino, even sid Rosenberg.
• 2:38
  Speaker 4: No difference between four billion and eight billion. But this
• 2:41
  Speaker 4: is crazy. Now, instead of the taxpayers of just New
• 2:44
  Speaker 4: York City getting hosed, the taxpayers of all New York
• 2:47
  Speaker 4: State are subsidizing the lavish spending of New York City.
• 2:51
  Speaker 4: We went through. In all seriousness, I'm not trying to
• 2:53
  Speaker 4: be hyperbolic. Just think about this. And I know, even
• 2:56
  Speaker 4: though you're obviously conservative, you do have a lot of
• 2:59
  Speaker 4: Democrats and dependents that listen to you every morning because
• 3:01
  Speaker 4: I hear from them. But think about this. We went
• 3:04
  Speaker 4: from a twelve billion dollar crisis to then seven billion
• 3:10
  Speaker 4: to then five billion in a matter of just weeks. Right,
• 3:13
  Speaker 4: It was like Joseph McCarthy, constantly changing the name, the
• 3:17
  Speaker 4: number of Communists that were in the State Department. And
• 3:20
  Speaker 4: now apparently the gap is basically closed. And that tells
• 3:25
  Speaker 4: me this was at least partly a messaging exercise, not
• 3:30
  Speaker 4: a math exercise. This was an attempt to scare politicians
• 3:34
  Speaker 4: and scare the voters into raising taxes again. And that's
• 3:39
  Speaker 4: what the mayor proposed to us when he briefed the
• 3:41
  Speaker 4: members of the city council on this a few months ago.
• 3:43
  Speaker 4: He said, if you don't go with this big tax
• 3:47
  Speaker 4: hike for corporations and high income earners, then we're going
• 3:50
  Speaker 4: to have to raise property taxes on everybody. And you
• 3:53
  Speaker 4: wouldn't like that, would you?
• 3:54
  Speaker 3: It is he a moron?
• 3:57
  Speaker 1: Does you realize that when he threatened you with property
• 4:01
  Speaker 1: tax increases, that you, the city Council, led by Julie Menin,
• 4:06
  Speaker 1: you have the ability to make it go away, and
• 4:08
  Speaker 1: realize that, well, you.
• 4:09
  Speaker 4: Know, I think he thought all the progressives were going
• 4:12
  Speaker 4: to roll over and lo and behold. Even a lot
• 4:15
  Speaker 4: of the Progressives weren't eager to give their own constituent
• 4:18
  Speaker 4: of property tax sites. So what I've been saying from
• 4:20
  Speaker 4: the beginning is to you and others. Is before you
• 4:23
  Speaker 4: threatened property tax sits, before you drain reserves, which would
• 4:26
  Speaker 4: have had a devastating impact on New York City's credit rating,
• 4:30
  Speaker 4: by the way, before you nickel and dime new Yorkers
• 4:32
  Speaker 4: to death. Government has to seriously examine spending. And look,
• 4:37
  Speaker 4: there have been some minor, minor cuts here. They're more
• 4:41
  Speaker 4: kind of rounding errors, honestly between every agency. We could
• 4:45
  Speaker 4: go much much deeper. But what actually closed the gap here,
• 4:50
  Speaker 4: it's not this fiscal wizardry that the mayor's putting in.
• 4:54
  Speaker 4: It's Albany Aid, this magic pot of money that Kathy
• 4:58
  Speaker 4: Hokle found maide pension payments, by the way, which could
• 5:02
  Speaker 4: put us which everybody's calling a gimmick, even the Citizens
• 5:06
  Speaker 4: Budget Commission, which is pretty non partisan, which could put
• 5:09
  Speaker 4: us in a hole going forward. It's a couple of
• 5:12
  Speaker 4: agency savings which I'm all for, some targeted cuts which
• 5:15
  Speaker 4: I'm all for, and then a whole bunch of mini
• 5:18
  Speaker 4: taxes and fees. And that's very different from what we
• 5:22
  Speaker 4: were originally told. So what the mayor has done here
• 5:25
  Speaker 4: is he's really become the boy who cried wolf. Nobody
• 5:28
  Speaker 4: will ever take the mayor seriously, and I mean the
• 5:30
  Speaker 4: public and politicians in future budget briefings, because we now
• 5:35
  Speaker 4: know he's going to say and threaten whatever he needs
• 5:38
  Speaker 4: to in order to try to raise taxes. Just one
• 5:41
  Speaker 4: quick point on the pension delay. That pension delay really
• 5:45
  Speaker 4: does concern me. It's not as much as a massive
• 5:48
  Speaker 4: property tax site. But balancing today's budget by pushing pension
• 5:52
  Speaker 4: costs into the future is basically handing the bill to
• 5:56
  Speaker 4: future taxpayers. So people should be aware of that. And
• 6:00
  Speaker 4: that's not something that a lot of people are talking
• 6:01
  Speaker 4: about today. But the administration they moved from panic mode
• 6:05
  Speaker 4: to patchwork mode. And what we still need from both
• 6:09
  Speaker 4: the city Council quite Frankly, who I think has been
• 6:11
  Speaker 4: pretty solid on this and the mayor is we need
• 6:13
  Speaker 4: reform mode. Nobody's talking about reforming New York City's crazy
• 6:17
  Speaker 4: spending process when that's what we need to do.
• 6:20
  Speaker 1: Give me an example, then, frank because you really are
• 6:23
  Speaker 1: great and smart, give me an example of reform mode.
• 6:27
  Speaker 1: Give me something practical that you'd like to see the
• 6:29
  Speaker 1: mayor do in the spirit of quote reform that would
• 6:34
  Speaker 1: help the city.
• 6:35
  Speaker 4: Well, one thing that he actually said during the campaign
• 6:38
  Speaker 4: and his budget director Shari Solomon brought up again during
• 6:41
  Speaker 4: the budget hearings, which I'm actually for is changing how
• 6:45
  Speaker 4: the property tax systems are evaluated. Now, my constituents in
• 6:50
  Speaker 4: Staten Island are paying a lot more in taxes on
• 6:54
  Speaker 4: a modest one or two family home than the mayor's
• 6:58
  Speaker 4: constituents would be in places park Slope and the gentrified areas.
• 7:03
  Speaker 4: He said he wants to change that, and that's why
• 7:06
  Speaker 4: it was so laughable to me that he won those
• 7:08
  Speaker 4: neighborhoods so big, because the gist of his whole property
• 7:11
  Speaker 4: tax plan, which was also Joe Burrelli's property planned, by
• 7:13
  Speaker 4: the way, is soaking those hopes and having them pay more,
• 7:17
  Speaker 4: and they were only too happy to vote for them.
• 7:18
  Speaker 4: So that's one area where we've actually already agreed. But
• 7:21
  Speaker 4: what I think we need to do beyond that is
• 7:24
  Speaker 4: change the structure of government spending instead of lurching from
• 7:27
  Speaker 4: crisis to crisis every budget season. Because it's not unique
• 7:31
  Speaker 4: to mom Gani. Adams did the same thing. So, for example,
• 7:33
  Speaker 4: I think we need to eliminate thousands of long vacant
• 7:37
  Speaker 4: positions that agencies admit they're never going to fail. But
• 7:40
  Speaker 4: that's still in the budget we need to consolidate a
• 7:43
  Speaker 4: whole bunch of duplicative agencies and office space. Everything that
• 7:48
  Speaker 4: says Mayor's Office of blank could be eliminated because there's
• 7:52
  Speaker 4: already an agency and a city council committee that does that.
• 7:55
  Speaker 4: Procurement reform Number one with the city is dramatic overpaying
• 8:01
  Speaker 4: contractors on everything. A lot of these contracts no big contracts,
• 8:05
  Speaker 4: by the way, and that's tax payer money there are.
• 8:07
  Speaker 4: There's a disaster going on in the city when it
• 8:10
  Speaker 4: comes to overtime controls and audits. We have a new
• 8:13
  Speaker 4: controller's liberal Democrat, but he seems like a smart guy
• 8:17
  Speaker 4: and an honest guy, much better than Brad Lander. I'm
• 8:19
  Speaker 4: hoping he does something about that. We need to totally
• 8:22
  Speaker 4: streamline our city technology systems. So many of our systems
• 8:27
  Speaker 4: are running straight out of the nineteen nineties. And most
• 8:30
  Speaker 4: importantly from Albanie's perspective, is we need class sized mandate
• 8:34
  Speaker 4: relief from Albanie. You know, I heard mister Novak in
• 8:37
  Speaker 4: the last day or two, and I heard no him
• 8:38
  Speaker 4: last week talking about the dwindling public school enrollment numbers,
• 8:43
  Speaker 4: and yet we're spending more than ever because they are
• 8:46
  Speaker 4: making mandating the class size to the tune of a
• 8:49
  Speaker 4: billion dollars. So the bottom line I think said is
• 8:52
  Speaker 4: we need to review programs that keep growing every year
• 8:56
  Speaker 4: without measurable results. I think when John Katzmatidiz ran from
• 8:59
  Speaker 4: my twenty thirteen that was actually one of the things
• 9:01
  Speaker 4: that he talks about. But we need to audit all
• 9:05
  Speaker 4: this underused real estate in New York City and least
• 9:09
  Speaker 4: office space, especially with more and more city workers working
• 9:12
  Speaker 4: remotely or at least having the ability to work remotely.
• 9:15
  Speaker 4: We have a crazy situation of this massive government that
• 9:20
  Speaker 4: seems to perpetuate itself in purportuity. Irrespective of what money
• 9:26
  Speaker 4: is coming in, it still keeps growing and growing and growing.
• 9:29
  Speaker 4: You know, the mayor said he wanted to rent freeze.
• 9:31
  Speaker 4: He wanted to or limited to one and a half
• 9:33
  Speaker 4: percent this year. What if we went along with that
• 9:37
  Speaker 4: as long as we only limited the growth of government
• 9:40
  Speaker 4: spending to one and a half percent. And I'm only
• 9:43
  Speaker 4: talking about discretionary government spending. I'm not even talking about
• 9:46
  Speaker 4: things like pension payments and things like that. We are
• 9:50
  Speaker 4: out of control, and nobody is talking about a broad
• 9:53
  Speaker 4: reform of the system, which is what we need. Reform
• 9:56
  Speaker 4: mode means focusing on long term, not temporary gimmicks. One
• 10:02
  Speaker 4: term ideally recurring sales.
• 10:04
  Speaker 1: I also saw as part of this budget, and again
• 10:07
  Speaker 1: I don't know all the details as well as you do,
• 10:09
  Speaker 1: this executive budget where the mayor is saying that the
• 10:12
  Speaker 1: city has closed the gap. Here I saw him put
• 10:16
  Speaker 1: down numbers that are based on potential deals. In other words,
• 10:19
  Speaker 1: not done yet. But hey, the city just found five
• 10:22
  Speaker 1: hundred million dollars. Where did they find that five hundred
• 10:26
  Speaker 1: million dollars? Well, it goes back to this conversation I
• 10:29
  Speaker 1: had the president on this show yesterday Lewis cutting number four.
• 10:33
  Speaker 1: Do you know Ken Griffin, mister President, I do, I do.
• 10:37
  Speaker 1: I figured you did, because he's a very successful man,
• 10:40
  Speaker 1: a great man, just like you. And he wants to
• 10:43
  Speaker 1: do a six billion dollar project right here on Park Avenue.
• 10:46
  Speaker 1: And who does Park Avenue more than you? And you've
• 10:48
  Speaker 1: got the mayor, this guy outside of his residence and
• 10:51
  Speaker 1: he does a whole film and Ken Griffin goes above
• 10:54
  Speaker 1: and beyond the fact that he just humiliated me and
• 10:56
  Speaker 1: I'm a billionaire looking to spend money in New York City.
• 10:59
  Speaker 1: It's unsafe. He's doing a video from the front of
• 11:02
  Speaker 1: where I live. And now Ken Griffin is thinking about
• 11:05
  Speaker 1: taking that six billion dollar project for a city President Trump,
• 11:09
  Speaker 1: that's five point four billion in debt and taking that
• 11:12
  Speaker 1: to Miami.
• 11:12
  Speaker 3: How does that make sense?
• 11:14
  Speaker 5: Well, I do know Ken, and Ken's an amazing businessman,
• 11:17
  Speaker 5: one of the best, and you don't want to lose people.
• 11:19
  Speaker 4: He also pays a lot of taxes. Like me, We
• 11:21
  Speaker 4: pay a lot of taxes. And you know what, when
• 11:24
  Speaker 4: you lose, When you lose people like that, it's sort.
• 11:28
  Speaker 5: Of not recoverable. I always just say something's recoverable, right,
• 11:32
  Speaker 5: But it's not recoverable. Then they build something else. They've
• 11:35
  Speaker 5: got to be there for thirty years. They don't come back,
• 11:38
  Speaker 5: and you've got to do the opposite. You've got to
• 11:42
  Speaker 5: cherish them. You've got to bring them to the office.
• 11:43
  Speaker 5: You've got to meet him, you have to have dinner
• 11:45
  Speaker 5: with him. You have to convince them not to leave.
• 11:47
  Speaker 5: You're going to make their life great. You're going to
• 11:50
  Speaker 5: help them with their building, with their project.
• 11:52
  Speaker 4: You got to do it. And I don't know, it's
• 11:56
  Speaker 4: not hard to do, but maybe it is for some people.
• 11:59
  Speaker 4: But you don't want to lose people like Ken. That
• 12:01
  Speaker 4: would be a big loss for New York.
• 12:03
  Speaker 1: So it looks like this in this budget that they're
• 12:07
  Speaker 1: counting on five hundred million dollars based on this second
• 12:10
  Speaker 1: home tax. I don't know how to say it in French.
• 12:13
  Speaker 3: I just don't care.
• 12:14
  Speaker 4: Sheeta care tax?
• 12:15
  Speaker 3: Thank you?
• 12:16
  Speaker 1: So is that is that pretty much stitch in already?
• 12:19
  Speaker 1: That's done.
• 12:20
  Speaker 4: No, no great points all by both you and the
• 12:23
  Speaker 4: president there for starters. Let's talk about how the mayor
• 12:26
  Speaker 4: marketed this whole thing. He could be for the Pieta
• 12:29
  Speaker 4: tare tax. Right, the people have been talking about it
• 12:31
  Speaker 4: for years, and I understand the appeal. I don't think
• 12:34
  Speaker 4: it's a good idea, but I understand the appeal. But
• 12:36
  Speaker 4: the way that he did this, going outside of Ken
• 12:39
  Speaker 4: Griffin's home, pointing at his house and saying, essentially, this
• 12:43
  Speaker 4: guy is the bad guy, this guy is the villion,
• 12:45
  Speaker 4: this guy is to blame for all your problems, especially
• 12:48
  Speaker 4: in light as you pointed out a year or so
• 12:50
  Speaker 4: after the murder of the United CEO Brian Thompson in
• 12:54
  Speaker 4: Manhattan itself. It was so irresponsible and for a movement
• 12:58
  Speaker 4: that claims they want to, you know, bring down the rhetoric,
• 13:01
  Speaker 4: and they love to criticize President Trump. It was so
• 13:03
  Speaker 4: reckless and it really stokes the flames of class warfare
• 13:07
  Speaker 4: in an incredibly irresponsible way, and the mayor ought to
• 13:10
  Speaker 4: be ashamed of himself with that. But in terms of
• 13:13
  Speaker 4: the policy, by the way, what the President said there
• 13:15
  Speaker 4: one hundred percent right. The mayor in history that raised
• 13:19
  Speaker 4: taxes more than any other mayor was Mike Bloomberg. And
• 13:23
  Speaker 4: yet at the same time he was raising taxes because
• 13:26
  Speaker 4: it was a fiscal crisis. He did exactly what the
• 13:29
  Speaker 4: President described. He went and visited with every entrepreneur, every
• 13:33
  Speaker 4: business leader, every major property holder and begged them to
• 13:36
  Speaker 4: stay in New York. And you know what, almost all
• 13:38
  Speaker 4: of them did, even what they were getting soaked with
• 13:40
  Speaker 4: an eighteen and a half percent property tax. Site. What
• 13:43
  Speaker 4: now you're seeing is with this petitare tax, which by
• 13:47
  Speaker 4: the way, they're saying it won't even generate a five
• 13:49
  Speaker 4: hundred million dollars too. It's far from a sure thing.
• 13:52
  Speaker 4: As even Jermani Williams pointed out, I haven't heard Kathy
• 13:55
  Speaker 4: Hoko necessarily say that she's on board with this because
• 13:59
  Speaker 4: a lot of the people that we paying this or
• 14:00
  Speaker 4: her donors. But what they're talking about with this Pieta
• 14:03
  Speaker 4: tear tax on second homes. I understand why that polls
• 14:06
  Speaker 4: well politically. People here luxury apartment tax and think it
• 14:10
  Speaker 4: only affects billionaires. They think it only affects an Arab
• 14:13
  Speaker 4: chic that comes to New York City once one weekend
• 14:16
  Speaker 4: a month and they have this big property here. But
• 14:18
  Speaker 4: these taxes always get sold as temporary or narrowly targeted,
• 14:23
  Speaker 4: and somehow they always spread. So she didn't agree to
• 14:27
  Speaker 4: this Pieta tear compromise yesterday. And my concern, though, is
• 14:31
  Speaker 4: the broader message. If you invest here, if you own
• 14:34
  Speaker 4: property here, if you succeed here, government increasingly sees you
• 14:38
  Speaker 4: as a target instead of a partner. You don't build
• 14:42
  Speaker 4: a stronger city by putting a kick me sign on
• 14:45
  Speaker 4: the backs of the taxpayers, the taxpayers that are funding
• 14:48
  Speaker 4: the very programs that the mayor says he wants to
• 14:51
  Speaker 4: help lower income New Yorkers. Even a lot of these
• 14:54
  Speaker 4: experts are saying the revenue projections from this tax are
• 14:58
  Speaker 4: overly optimistic. Min always assumes taxpayers are going to sit
• 15:02
  Speaker 4: still and happily pay more, and real life doesn't always work.
• 15:06
  Speaker 1: That way, No, it doesn't. So in the final thirty seconds.
• 15:09
  Speaker 1: Much like the property tax increase, you guys can make
• 15:12
  Speaker 1: sure that doesn't happen. You can also make sure this
• 15:15
  Speaker 1: one hundred and twenty five billion dollar budget doesn't happen either.
• 15:20
  Speaker 1: What do you think the city council does here?
• 15:22
  Speaker 4: Well, a lot of this is dependent upon Albany Aid
• 15:26
  Speaker 4: right now, So a lot of this is going to
• 15:28
  Speaker 4: be up to the governor and the state legislature. But
• 15:31
  Speaker 4: on the council front, I think there was enormous pushback
• 15:35
  Speaker 4: against both the property tax hike and raiding the Rainy
• 15:38
  Speaker 4: Day Fund. So I think if they present us with
• 15:42
  Speaker 4: a budget that doesn't do either of those things, especially
• 15:46
  Speaker 4: if it doesn't result in massive cuts to you know,
• 15:49
  Speaker 4: things like libraries or other programs that people are that
• 15:53
  Speaker 4: care about, then I think they're likely to approve it.
• 15:57
  Speaker 4: But again, the taxpayers around the state have to be
• 16:00
  Speaker 4: asking how much do I want to subsidize New York City.
• 16:04
  Speaker 4: If I'm a long Islander, if I live upstate and
• 16:07
  Speaker 4: I see my property tax taxes go up year after year,
• 16:11
  Speaker 4: and I see Dathy Hokeel giving an eight billion dollar
• 16:14
  Speaker 4: gift to mom Donnie, do I really want that it
• 16:18
  Speaker 4: reflected in my tax bill. I wouldn't think so.
• 16:21
  Speaker 3: No, I think you're right.
• 16:22
  Speaker 1: Nobody better, nobody could have done a better job, nobody
• 16:27
  Speaker 1: than you just did in the last fifteen minutes. Frank
• 16:29
  Speaker 1: Morano is always great work. Thank you so much and
• 16:32
  Speaker 1: keep finding for our city.
• 16:33
  Speaker 3: Man. We need more people like you. Thank you so much.
• 16:36
  Speaker 4: Thank you brother. It is great to be on with
• 16:38
  Speaker 4: you as always. And congratulations again on the phenomenal interview
• 16:42
  Speaker 4: with President.
• 16:43
  Speaker 3: I think yours is just as good. How about that, Frank,
• 16:46
  Speaker 3: nobody else does well. I have yourself a great day.
• 16:49
  Speaker 3: Thank you. That's an excellent job.
• 16:51
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• 16:55
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• 16:58
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• 16:58
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• 17:01
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• 17:05
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  Speaker 6: and X see you next time for a new episode,
• 17:18
  Speaker 6: so you never have to wonder what the heck
• 17:21
  Speaker 3: Is going on here.