Showing posts with label City Comptroller John C. Liu. Show all posts
Showing posts with label City Comptroller John C. Liu. Show all posts

Wednesday, June 12, 2013

LIU ON MAYOR’S CLIMATE-CHANGE PLAN & WILL AUDIT E911 SYSTEM


City Comptroller John C. Liu stated the following today on Mayor Bloomberg’s climate-change plan:

“We applaud the Mayor for laying out this comprehensive report. Climate change poses serious risks to our City and, as the report pointed out, to our old building stock.

“Our proposed Green Apple Bonds are the perfect way to finance the $1.2 billion in old building stock resiliency upgrades in the Mayor’s plan. Together, we can help finance the retrofitting of old buildings to improve resiliency or reduce our carbon footprint and save taxpayer money from reduced energy costs. We look forward to working with the Mayor to raise the necessary funds and to make sure that we use this opportunity to create more jobs for New Yorkers, especially those who have been left behind.”

Background:

Support Growing for Green Apple Bonds, March. 19, 2013:

Green Apple Bonds Are Building Momentum, Dec. 12, 2012:

Comptroller Liu Proposes Innovative “Green Apple Bonds,” Nov. 30. 2012:
http://comptroller.nyc.gov/press/2012_releases/pr12-11-129.shtm
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LIU ANNOUNCES AUDIT OF E911 SYSTEM
Vows to Get to Bottom of Crashes Afflicting Emergency Dispatch

City Comptroller John C. Liu today commenced an audit in order to look into what may have caused the City’s Emergency 911 system to crash repeatedly in recent days. The audit follows two years of the Comptroller’s close scrutiny of and repeated warnings about problems with the project.

Comptroller Liu drew a parallel between the City’s mismanaged implementation of the E911 system and the implementation of the troubled CityTime time-keeping system.

“The E911 system’s problems comprise an even greater management debacle than the scandal surrounding CityTime,” Comptroller Liu said. “Taxpayers were for bilked for CityTime, but the $500 million was recouped eventually. In the case of CityTime, system failure at worst meant delayed paychecks. In this case, system failure would have far more disastrous consequences. How can it be that $2 billion has bought an E911 system that must resort to pen and paper? What happens if an extended heat wave taxes the system?”

The audit will examine whether the Mayor’s Office of Citywide Emergency Communications is successfully monitoring the integration and implementation of the Computer Aided Dispatch System into the Emergency Communications Transformation Program (ECTP).

Press reports have detailed a series of chaotic events at E911 as computers have failed in recent days, with personnel having to use “runners” to relay paper messages to dispatchers. Some reports have raised questions about whether computer problems contributed to the slow dispatch of an ambulance after a 4-year-old girl was struck by a vehicle in Manhattan on June 4. The girl died. Officials have blamed the delay on “human error.”

Liu faulted Mayor Bloomberg for shrugging off the E911 crashes.

“The Mayor’s response to the E911 problems, blaming the crashes on unspecified computer bugs, is cavalier to the extreme,” Comptroller Liu said. “Lives are at stake. New Yorkers need an E911 system that works, and they need it now. My office will do its utmost to ensure that happens.”

Background:

Audit letter to Mayor’s Office of Citywide Emergency Communications:

Liu statement on E911 crash:

Audit: Mismanagement of 911 Upgrade Picked Taxpayers’ Pockets:






Friday, June 7, 2013

STATEMENTS FROM CITY COMPTROLLER JOHN LIU


LIU ON WESTCHESTER SQUARE SHELTER SUIT:

“We are gratified that the State Supreme Court, Bronx County ruled in favor of the Comptroller’s office in our suit challenging the Mayor’s practice of establishing shelters and paying for those services without going through required public procurement processes. The practice of cutting backroom deals with shelter operators cannot and should not be tolerated. The administration should have put more effort into planning for housing for the homeless.”

“Special thanks go to outside counsel Gibson Dunn, which worked on the case pro bono for the good of New Yorkers.”

Background:

A court has sided with the Comptroller’s office in a suit questioning the legality of the City’s providing homeless shelter at Westchester Square in The Bronx via a “per diem” agreement instead of Procurement Policy Board Rules.

State Supreme Court Judge Geoffrey D. Wright wrote: “I find the attempts at hair splitting by the Respondents to be unpersuasive. To accept their arguments would be to vitiate, if not annul the City Charter. The motion for a declaration that the procedure followed in this instance is contrary to statute is granted. … In sum, then, the Dept. Of Homeless Services circumvented established rules for the funding of its activities without an acceptable excuse. I therefore declare that the practice of entering into housing/service agreements for clientele is contrary to law, and not excused by allegedly exigent circumstances.”

LIU OPEN-SOURCES CHECKBOOK NYC:

 $1 Million in Commitments from Oracle, CGI, & REI Systems Will Facilitate Rapid Adoption of NYC’s Groundbreaking Financial Transparency Website


 City Comptroller John C. Liu today published the source code for the Checkbook NYC financial transparency website, and announced several partnerships that will enable other governments to rapidly leverage New York City’s investment in order to create similar websites of their own.

Checkbook NYC empowers the public to keep an eye on more than $70 billion in annual government spending with detailed, up-to-date information about New York City’s revenues, expenditures, contracts, payroll, and budget. In January, the U.S. Public Interest Research Group named it the best website of its kind.

“In an era of scarce resources, open source software represents a major cost savings opportunity for taxpayers because it allows government to mobilize the collective talents of developers everywhere,” said Comptroller Liu. “Sharing the Checkbook NYC code with other governments is not a selfless act; on the contrary, it’s a win-win strategy that will enhance the quality of our software at no additional cost to taxpayers.”

The code, which is available for use and modification under the AGPL 3.0 license, can be accessed at GitHub (https://github.com/NYCComptroller/Checkbook), an online community where open source code is stored and shared. Comptroller Liu encouraged programmers and governments that adopt the system to contribute improvements and features that can be incorporated into future versions of the source code.

Comptroller Liu made the announcement at the 10th annual Personal Democracy Forum, which explores the evolving relationship between technology and democracy. He thanked two technology giants, Oracle (NASDAQ: ORCL) and CGI (NYSE: GIB), for agreeing to develop “adapters,” in the form of automated data feeds, between their financial management systems and Checkbook NYC. These feeds will enable other state and local governments that use Oracle and CGI solutions to easily share their financial data with the public.

“Oracle is proud to support the City of New York in providing transparency into city spending via the Checkbook NYC application,” said Peter Doolan, Group Vice President & Chief Technologist of Oracle Public Sector. “We believe that open and transparent insight into government spending strengthens the democratic process and provides a framework for fiscal responsibility and accountability.”

“CGI is proud of its partnership with the City of New York, and has long been a believer in the benefit of using IT to improve the efficiency, openness, and accessibility of government information to the public,” said Michael Keating, CGI Senior Vice President and New York Client Executive. “We support the vision of Checkbook NYC and look forward to helping interested governments expand its adoption.”

Comptroller Liu also commended REI Systems, the technology firm that collaborated with the City on the development and open-sourcing of Checkbook NYC, for volunteering to provide Oracle and CGI with the technical expertise and tools to test their new “adapters” and to host “sandbox” development sites for a select number of their state and city financial management system clients.

“We couldn’t be more proud of our association with the Office of the Comptroller of the City of New York and the launch of Checkbook NYC,” said Scott Fletcher, REI Systems Chief Operating Officer. “Checkbook NYC has set a new bar for financial transparency, and the City of New York is taking it to an entirely new level by leveraging this investment for the benefit of other state and local governments across the U.S. What a great opportunity to demonstrate the power of creative and innovative public-private partnerships to improve government operations and transparency.”

Collectively, Oracle, CGI, and REI Systems are estimated to have committed to investing more than $1 million of resources in order to make Checkbook NYC rapidly adaptable by other governments.

The Comptroller credited Deputy Comptroller Ari Hoffnung and Assistant Comptroller Michael Bott for their leadership roles on this open-source project and for taking steps to ensure that Checkbook NYC improves over time.

“Governments serious about reducing costs and inefficiencies must make collaboration a top priority,” said Deputy Comptroller Ari Hoffnung. “We also need to work more closely with our technology vendors to ensure that the tools we purchase are developed in a way that enables government to easily share data with the public and become more financially transparent.”

The Comptroller also thanked several City agencies for their assistance on this project, including the Mayor’s Office of Contract Services, the New York City Council, the City’s Financial Information Services Agency, and the Office of Management and Budget.

“There’s endless potential for excellence in government when it leverages the knowledge of the people and communities it serves,” said New York City Chief Information and Innovation Officer Rahul N. Merchant. “Publishing the source code for Checkbook NYC is an important contribution to the Bloomberg Administration’s ongoing open government efforts.”

A “Checkbook NYC Hackathon,” designed to bring together civic activists, software developers, and entrepreneurs, is being planned for the fall. Discussions are also under way with other governments to form a consortium that would collaboratively manage the Checkbook NYC source code and share costs associated with future enhancements.

“I applaud the City Comptroller’s office for promoting transparency through Checkbook NYC and making important data available to the public,” said New York State Comptroller Thomas P. DiNapoli. “In 2008, our Open Book New York site gave the public access to state spending in real time. Since then we’ve had more than 2.7 million visits with people searching for contracts, local-government, and state-agency spending, and plan to add more spending data to the site. We invite others to join with us and the City Comptroller to share public data more easily and quickly.”

“With Checkbook NYC, the New York City Comptroller is proving unequivocally that technology can indeed make government more efficient, transparent, and accountable,” said Andrew Rasiej, founder of Personal Democracy Forum and Chairman of NY Tech Meetup. “The open way Checkbook NYC has been strategically designed and deployed further confirms that New York City is ready to move from the era of simple 20th-century E-Government to the reality and benefits of 21st-century We-Government.”

“This is a smart move that will benefit other cities and states seeking to adapt the unrivaled features of Checkbook NYC,” said Phineas Baxandall, a Senior Analyst at U.S. PIRG and national expert on government transparency. “It’s doubly smart because New York City will reap rewards every time other places build improvements and new functions for this platform. It’s a win-win.”

“Opening up the Checkbook NYC source code to the public is a fantastic step toward increasing transparency in government spending,” said Council Member Gale A. Brewer, an author of the City’s groundbreaking Open Data law. “I have been an advocate of Checkbook NYC and government transparency for many years. By opening this code to programmers, we will enable other municipalities to build their own open sites. Checkbook NYC lets citizens track spending and makes government work smarter here and across the country.”

“CheckbookNYC.com is an outstanding example of local government adoption of the open source software model, and with this project NYC has truly stepped up and into the open IT ecosystem,” said Deborah Bryant, Open Source for America co-chair and Director, Open Source Initiative. “NYCs highly evolved approach also increases the benefit of collaboration beyond software code – such as sharing related investments like training, knowledge base, and business rules – exponentially increasing its value to the City and anyone else joining the project.”

“Comptroller Liu continues to enhance transparency of the City’s finances with the latest advancement of Checkbook NYC, the online tool that provides virtual real-time updates of the City’s spending from payroll to contracts,” said Dick Dadey, Executive Director of Citizens Union. “By making publicly available the open source code for Checkbook NYC, Comptroller Liu is ensuring that other cities and states across the country can make known their expenditures in an accessible format to the public. This will help establish New York City as a leader in financial transparency.”

“Congratulations to the team who has delivered CheckbookNYC.com,” said Jennifer Foutty, Executive Director, Kuali Foundation. “It is a significant milestone that demonstrates how local government is finding ways to collaborate and use open source technology to provide effective services and drive down costs.  The Kuali Foundation, which produces open source software for higher education through leveraged investment by member institutions, is pleased to see like-minded efforts in local government.”

“Checkbook NYC is a great example of how open data can dramatically improve visibility for citizens and taxpayers into the operations of their government,” said Mark Headd, Chief Data Officer for the City of Philadelphia. “The move to open source the code for this application is a huge victory for government transparency and a boon for other cities that are working to open up spending and budget data.”

“Checkbook NYC has already set a new gold standard for financial data transparency by a major city,” said Andrew Hoppin, 2010 New York State Public Sector Chief Information Officer of the Year and CEO, New Amsterdam Ideas. “Even more laudable is the Comptroller's ambitious plan to release Checkbook NYC as an open-source software project that other cities can benefit from and contribute back to.”

“We’re impressed,” said John Kaehny, Co-Chair of the NYC Transparency Working Group and Executive Director of Reinvent Albany. “Comptroller Liu’s Checkbook NYC team has built a powerful transparency tool for New York City and created an open source process and partnerships that ensure it will keep evolving and improving. This is smart, effective 21st century government, and a new model for New York City technology tools.”

“By making the code for Checkbook NYC open source, New York City Comptroller John Liu is providing cities and towns across the country with a free tool to promote budget transparency,” said Ronnie Lowenstein, director of the New York City Independent Budget Office.

“Governments around the globe will benefit enormously from this contribution to the open data ecosystem,” said Kevin Merritt, Socrata's Founder and CEO. “Socrata will support the Checkbook NYC app by offering it as a turnkey cloud service, and enhancing it with open APIs for developers, and online data analysis and visualization tools for citizens.”

“Opening data and granting better access to public information will only get easier as governments and communities learn from each other’s successes and challenges,” said Ellen Miller, Executive Director and Co-Founder of the Sunlight Foundation. “By making Checkbook NYC open source, New York City is providing a valuable resource to other towns, cities, and states looking to attain greater financial transparency.”

“We applaud New York City and Oracle for the work they are doing to promote financial transparency,” said Montgomery County, Maryland, Controller Lenny R. Moore. “Montgomery County is a leader in open data and is always working to make government spending more accessible and easier to understand for our taxpayers. We are intrigued by the possibility of deploying an open Checkbook.”

“Cities need to share their resources, and innovations in any city should benefit every city,” said Abhi Nemani, Chief of Staff, Code for America. “Checkbook NYC is a flagship example of the emerging ecosystem of interoperable, useful, and reusable civic tools. This is the kind of project Code for America hopes to support in city after city.”

“New York has provided a very easy-to-use transparency portal to gain access to budget, payroll and departmental expenditures, to the point that not only will the citizens of New York benefit, but internal departments will benefit by having easy access to their own information for better management and accountability,” said Steve Reneker, General Manager and Chief Technology Officer, City of Los Angeles Information Technology Agency. “The City of Los Angeles will be looking into leveraging this open source solution to provide similar benefits.”

“Checkbook NYC provides New Yorkers with both the data on how City funds are spent and the tools to take a close look,” said Gene Russianoff, Senior Attorney for the New York Public Interest Research Group. “And now, cities across the nation will be able to do the same, thanks to the New York City Comptroller.”

“Checkbook NYC is by far the most sophisticated city-budget transparency app to date," said Adam Stiles, co-creator of Open Budget Oakland. “By making Checkbook available to cities nationwide, NYC is enabling a common framework to understand city spending that could one day allow, for example, apples-to-apples comparisons of spending across cities.”

Background

Press release: Launch of Checkbook NYC 2.0 (January 23, 2013)
http://www.comptroller.nyc.gov/press/2013_releases/pr13-01-014.shtm

Video: Launch of Checkbook NYC 2.0 (January 23, 2013)

About Oracle:
With more than 390,000 customers—including 100 of the Fortune 100—and with deployments across a wide variety of industries in more than 145 countries around the globe, Oracle offers an optimized and fully integrated stack of business hardware and software systems.

About CGI:
Founded in 1976, CGI Group Inc. is the fifth largest independent information technology and business process services firm in the world. Approximately 69,000 professionals serve thousands of global clients from offices and delivery centers across the Americas, Europe and Asia Pacific, leveraging a comprehensive portfolio of services including high-end business and IT consulting, systems integration, application development and maintenance, infrastructure management as well as a wide range of proprietary solutions. As a full-service systems integrator and managed services provider, CGI has the industry know-how, tools and technologies to address business challenges across the public sector spectrum. CGI provides state and local governments with creative IT solutions that drive efficiencies, effectiveness and cost containment—all while achieving short term needs and maintaining governments’ long-term vision. With annualized revenue in excess of C$10 billion and an order backlog exceeding C$18 billion, CGI shares are listed on the TSX (GIB.A) and the NYSE (GIB). Website: www.cgi.com.

About REI Systems:
REI Systems, serving Government for over 20 years, is the employee-owned software engineering company that supported the development and implementation of Checkbook NYC, in collaboration with the Comptroller’s Office. REI Systems is an established leader in open government, open data, and transparency solutions, having created a number of engaging and innovative government websites, including DATA.gov, USAspending.gov, ITDashboard.gov, and Performance.gov. Please visit REI at www.reisystems.com and follow us on Twitter.

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Tuesday, June 4, 2013

LIU: NEW CLAIMS AGAINST POLICE KEEP RISING


 NYPD Outpaces Other Agencies in Measure of Frustration

   City Comptroller John C. Liu today announced that rising legal claims against the police, especially for misconduct, significantly outpaced other City agencies, which either declined or remained flat. The information came in the Comptroller’s Fiscal Year 2012 Claims Report released today.

“The growing number of new claims against the NYPD will cost taxpayers more money, and is a measure of public frustration with the agency,” Comptroller Liu said. “It’s hard to ignore the link between rising claims and a growing chasm between communities and the police. This disturbing and persistent trend at the NYPD must be addressed by the Bloomberg Administration in order to keep New York truly the safest big city.”

The number of new Police Action claims rose 22 percent in FY 2012 and nearly doubled in the past five fiscal years, rising 94 percent. Police Action claims result from alleged improper police conduct, such as false arrest or imprisonment, shooting of a suspect, excessive force or assault, or failure to provide police protection.
                                                                                                    
The number of new claims against the NYPD overall rose 7 percent in FY 2012 over the number filed in FY 2011, leading all City agencies. The broader NYPD category includes vehicular accidents, civil liberties, and property damage, among other claims. Over the past five fiscal years, the number of new claims against the NYPD rose by more than half, or 52 percent.

In contrast, the overall number of new claims filed against all other City agencies as a group dropped 19 percent in FY 2012 as compared with FY 2011, and fell 10 percent over the past five fiscal years.

The dollar value of all settlements and judgments paid by the City resulting from claims against the police was $151.9 million in FY 2012.

The Claims Report provides a comprehensive examination of claims filed against and settled by the City.

Six of the nine agencies accounting for the most tort claims in FY 2012 showed decreases in the number of new claims compared to FY 2011. They are: Sanitation, down 62 percent; DOT, down 27 percent; Parks, down 22 percent, FDNY; down 14 percent; DOE, down 2 percent, and HHC, down 3 percent.

The amount that the City paid out in claims, tort settlements, and judgments in FY 2012 was $485.9 million, 12 percent less than the $553.7 million paid out in FY 2011.

Even with the drops in the number of new claims and amounts paid out, the fact that the City is spending nearly a half-billion dollars annually in settlements and judgments is a tremendous burden on taxpayers, Comptroller Liu said.

“My office will encourage City agencies to minimize and prevent costly claims,” he said. “At the same time, we will work with the Corporation Counsel to reduce the overall cost of litigation and settlements while being fair to people who have been harmed.”

New Claims Filed, by Agencies with Highest Claim Costs in FY 2012
FYs 2008 – 2012



Notes:
 
Data may not include all claims against the City that will be settled because of a time lag between when a settlement occurs and when settlements and updates are entered into the claims database. For the purpose of this report, “settlement and judgment costs,” “liabilities,” “expenditures,” or “amounts paid” are used interchangeably with “recorded settlements and judgments.”

Comptroller Liu credited Deputy Comptroller for Legal Affairs and General Counsel Valerie Budzik, Assistant Comptroller Karen S. Cohen, and the Bureau of Law and Adjustment for their efforts in compiling the report.


Visit www.comptroller.nyc.gov for the latest news, events and initiatives.


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Tuesday, May 14, 2013

LIU OFFERS SOLUTIONS TO LOOMING CRISIS IN HOUSING FOR NEW YORK CITY’S SENIORS


   Report Finds Two-Thirds of NYC Seniors 70+ Pay Unaffordable Rents, Presents Policy Prescriptions to Help Them Stay Independent Longer

  City Comptroller John C. Liu today warned that New York faces a looming crisis as the elderly population rises and rents skyrocket, and offered a comprehensive strategy to alleviate the shortage of affordable housing options.

“We cannot let our seniors fall into poverty – we need to do more to help them afford to stay in their homes,” Comptroller Liu said. “Unfortunately, the current administration’s measures are falling short. Increasing affordable-housing options for seniors is not only the right thing to do, it also makes financial sense. Helping seniors live independently saves the City money in the long run by reducing their reliance on costly social services.”

                                                   

A new report by the Comptroller’s office, “Senior Housing in New York City: The Coming Crisis,” released today, examines the effects of escalating housing costs and offers recommendations that would not only help lessen the burden on City seniors but also defray the need for more intensive and expensive care. The City’s senior population is growing fast: The number of New Yorkers over age 60 rose 12.4 percent from 2000 to 2010, as compared to a 2.1 percent increase in the City population overall during that period, according to Census figures.

And those seniors are literally pushed to the wall. The report found that 53 percent of households headed by those between ages 60 and 69 pay more than 30 percent of their income on rent – a level considered unaffordable by federal standards – and fully 66 percent of households headed by those 70 and over pay unaffordable rents by the same measure. The report also found nearly 20 percent of the City’s 60+ population lives below the poverty line compared to 9 percent nationally, and evictions of seniors account for 15 percent of all evictions in the City.

While the Mayor’s New Housing Marketplace Plan has worked to build or preserve 125,000 affordable-housing units since 2004, more than 32,000 Mitchell-Lama units are no longer subject to affordability requirements, and housing costs remain unaffordable for many segments of the population – especially seniors. The Mayor’s plan also relies extensively on federal funding support, which is increasingly at risk.

The report recommends a number of measures, including:

·         Revise rules on the City’s Senior Citizen Rent Increase Exemption (SCRIE) to take into account household size and inflation, plus increase outreach efforts;
·         Create a property tax credit for families that take in elderly dependents;

·         Increase aid to programs that help seniors stay in their homes longer.


Visit www.comptroller.nyc.gov for the latest news, events and initiatives.
Follow Comptroller Liu on 
Twitter. To receive Twitter updates via text message,
text “follow johncliu” to 40404.
 View the latest Comptroller’s office videos on 
YouTube.

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Monday, May 13, 2013

LIU STATEMENT ON CITY BANKING COMMISSION


  City Comptroller John C. Liu stated the following in response to questions about his vote today at the New York City Banking Commission.  Comptroller Liu voted against the proposed designated depository banks, because the Bloomberg Administration has failed to enforce the NYC Responsible Banking Act, which requires that the Mayor create a board to review banks’ reinvestments in local communities:
 
“The Mayor has refused to follow local law, which requires the City to examine whether the banks it designates as depositories are reinvesting in underserved communities,” Comptroller Liu said. “Depository banks receive billions of taxpayers’ dollars, so we must ensure that they comply with our stated aim of enhancing their reinvestment in those communities.  Because the Mayor has undermined the Responsible Banking Act by failing to appoint members to a Community Investment Advisory Board, we have no method for determining that compliance, and so we cannot approve any banks to serve as depositories for City funds today.”
 
BACKGROUND:
The Banking Commission last approved the City’s depository banks in May 2011. In June 2012, the NYC Council passed the Responsible Banking Act (RBA), overriding the Mayor’s veto.  The law stated that a Community Investment Advisory Board (CIAB) was to have been created within 60 days. In order to negate the effect of the law, the Mayor has refused to comply with the RBA’s requirement that he appoint members to a CIAB that would review banks’ performance in opening branches and investing in underserved and underfinanced neighborhoods.  By failing to appoint members to the CIAB, the Mayor has kept the CIAB from meeting in order to fulfill its intended role, and effectively vetoed the City’s RBA all over again.
 
In addition to Comptroller Liu, the Banking Commission consists of the Mayor and the Commissioner of Finance. The Department of Finance provides all administrative support for the Commission’s work.


Visit www.comptroller.nyc.gov for the latest news, events and initiatives.
Follow Comptroller Liu on 
Twitter. To receive Twitter updates via text message,
text “follow johncliu” to 40404.
 View the latest Comptroller’s office videos on 
YouTube.

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Friday, April 26, 2013

LIU, LAW DEPT. ANNOUNCE MAJOR SHAREOWNER SUIT AGAINST BRITISH PETROLEUM


    City Comptroller John C. Liu and the New York City Law Department today announced that the New York City Pension Funds have filed a lawsuit against British Petroleum (NYSE: BP) seeking to recover investment losses caused by BP’s fraudulent statements issued prior to, and after, the April 20, 2010 Deepwater Horizon disaster.

“BP failed to disclose to shareowners the serious risks involved in its offshore drilling operation,” Comptroller Liu said. “After the spill began, it misleadingly attempted to minimize the extent of the damage and the cost to shareowners.”

“In light of the Supreme Court’s ruling in Morrison v. National Australia Bank, Ltd., the City Pension Funds are barred from seeking recovery from BP under federal securities laws for the vast majority of its losses,” noted Inga Van Eysden, Chief of the New York City Law Department’s Pensions Division.  “We strongly believe the Funds deserve to be compensated for BP’s fraudulent actions and are therefore pursuing this case.”

The New York City Pension Funds’ complaint, filed in the Southern District of New York, alleges that BP and its officers and directors failed to disclose the material facts regarding the dangers inherent in the offshore drilling operation, the extent of the leak, and the estimated cost of the cleanup.

The estimated transactional investment losses to City pension beneficiaries caused by BP’s misconduct and fraudulent behavior exceed $39 million.

Background
On April 20, 2010, BP’s Deepwater Horizon rig began leaking oil into the Gulf of Mexico. At first, BP officials said the rig was leaking a few thousand gallons a day. Weeks later, it acknowledged that over 206 million gallons of oil had poured into the Gulf.

A class action suit against BP was filed that year under federal securities law in the U.S. District Court for the Southern District of Texas.  However, in a decision dated February 13, 2012, relying on the Supreme Court’s holding in Morrison v. National Australia Bank, Ltd., 130 S.Ct. 2869 (2010), the Texas court dismissed all claims relating to BP shares purchased on the London Stock Exchange.  As a result, that litigation provides no recourse for recovering the majority of the City Pension Funds’ losses on ordinary shares that were purchased abroad.  The current lawsuit primarily focuses on state law claims in an effort to recover those losses.

New York City’s legal team includes Valerie Budzik and Richard Simon of the Comptroller’s General Counsel’s Office, and Inga Van Eysden and Keith Snow of the New York City Law Department’s Pensions Division.  The City Pension Funds are represented by outside counsel Pomerantz Grossman Hufford Dahlstrom & Gross LLP, whose legal team includes Marc Gross, Jason Cowart, and Matthew Tuccillo.

The New York City Law Department is one of the oldest, largest, and most dynamic law offices in the world, ranking among the largest law offices in New York City and one of the largest public law offices in the country. Tracing its roots back to the 1600s, the Department has an active caseload of 80,000 matters and transactions in 17 legal divisions.

The Pomerantz Firm, with offices in New York, Chicago, San Diego, and Weston, Florida is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust litigation, and was a pioneer in the field of securities class actions.

New York City Comptroller John C. Liu serves as the investment advisor to, custodian, and trustee of the New York City Pension Funds. The New York City Pension Funds are composed of the New York City Employees’ Retirement System, Teachers’ Retirement System, New York City Police Pension Fund, New York City Fire Department Pension Fund, and the Board of Education Retirement System.  The New York City Pension Funds held a combined 2,822,840 shares in British Petroleum valued at $19,301,743.45 as of April 15, 2013.

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Friday, April 12, 2013

LIU: CITY SLOW TO REPAIR PLAYGROUNDS


Audit Finds Four of Five Boroughs Late in Fixing Damaged
Or Dangerous Equipment and Surfaces in Parks

City Comptroller John C. Liu today announced that a series of audits of the Parks Department found the agency has been slow to make both routine and emergency repairs to playgrounds.
 
“It’s bad enough that the City is slow in keeping up with routine maintenance and repairs to playgrounds, but it is unconscionable for the City to drag its feet on fixing hazards that can injure children,” Comptroller Liu said.  “No child should get hurt on a playground or play equipment that the City knows is damaged.  The Parks Department needs to better prioritize repairs to our children’s play areas.”  
 
The Parks Department oversees more than 1,000 playgrounds.  The agency’s district offices in each borough issue repair orders based on the observations of their staff and complaints from the public.  Many of these orders are for routine repairs and maintenance, but a small number are issued for repairs of hazardous conditions, such as dead tree limbs hanging over play areas, surface problems that can cause tripping, or exposed metal on play equipment.
 
The audits found that many routine — and even some hazardous — repairs go untouched for months, often taking more than a year to be resolved.  In addition, the audit found that the Parks Department has treated many conditions that could easily have been considered hazardous and classified as needing “Immediate Attention” by its Park Inspection Standards — thereby requiring attention within 30 days — as routine.  Although emergency conditions are to be resolved in 30 days, the agency lacks any guidelines for timely response to routine repairs and maintenance.  Among the five boroughs, only Staten Island playgrounds were consistently maintained and repaired in a timely manner.
 
The audits examined the Parks Department’s handling of work orders related to playgrounds, including Immediate Attention conditions reported by its Parks Inspection Program (PIP) inspectors, from April 1, 2011, through March 2012.  Comptroller Liu’s audits called on the Parks Department to better prioritize the repairs in order to focus on repairing hazardous conditions expeditiously.
 
 
Manhattan
The Parks Department issued 3,957 work orders for Manhattan playgrounds from April 1, 2011, through March 31, 2012.  Most were routine work ranging from turning on water fountains and spray showers to repairs of play equipment.  Of the 3,152 repairs (80 percent), the Parks Department reportedly completed (as of June 18, 2012), it took more than one month to complete 32 percent (996) of these repairs.
 
Additionally, there were 392 Immediate Attention conditions, such as trip hazards, that were identified by PIP inspectors and were supposed to be resolved in 30 days, although 36 of them were not. 
 
Comptroller Liu’s audit also found that dozens of playground conditions could easily have been classified as requiring Immediate Attention if the conditions had been found by the PIP inspectors, but were not because they were reported by Parks supervisors and were not repaired for many months. (See table below)
 
 
Manhattan Potential Immediate Attention Hazards with Longest Wait Times for Repair
 
Hazard
Playground
Date Reported
Date Repaired
Days Elapsed
Fall hazard on very top step at 110th Street & Manhattan Avenue
Morningside Park
5/20/2011
3/8/2012
293
Trip hazard at tree pit from broken tree post
Clement Clarke Moore Park
5/4/2011
2/24/2012
296
Trip hazard on ground around water cover
Hell’s Kitchen Park
5/4/2011
2/24/2012
296
Worn out s-hook at bottom of climbing chains
McCaffrey Playground
4/20/2011
2/16/2012
302
Up lifted concrete trip hazard on sidewalk outside playground
Gutenberg Playground
4/16/2011
2/16/2012
306
Dead limbs hanging over play equipment
Matthews -Palmer Playground
6/5/2011
5/24/2012
354
Large limb broken and hanging down over 23rd Street sidewalk
Asser Levy Playground
5/31/2011
6/4/2012
370
 
Brooklyn
The Parks Department issued 4,731 work orders for Brooklyn playground repairs and maintenance from April 1, 2011, through March 31, 2012.  The Parks Department completed just 3,541 (75 percent) of these work orders as of September 24, 2012.  Comptroller Liu’s audit found that, among the completed work orders, just 58 percent (2,043) were resolved in 30 days and 25 percent (868) took more than three months to correct. 
 
In addition, PIP inspectors identified 583 Immediate Attention conditions, of which 46 (8 percent) were not resolved within the required 30-day period.  Some of these took as long as 387 days to resolve. 
 
Finally, Comptroller Liu’s audit identified 63 of the work orders that could easily have been classified as needing Immediate Attention, requiring correction in 30 days, if the conditions had been found by PIP inspectors. (See table below)

Brooklyn Potential Immediate Attention Hazards with Longest Wait Times for Repair
 
Hazard
Playground
Date Reported

Date Repaired
Days Elapsed
Weld loose railing on Play Equipment. 5-foot fall hazard
Benson Playground
5/26/2011
2/15/2012
266
Exposed bolt on bottom railing of play equipment
Ethan Allen Playground
4/19/2011
1/11/2012
267
Trip hazard-missing cobble stones on East 68th Street opposite fire hydrant
Hickman Playground
5/9/2011
3/31/2012
327
Tree roots pushing up pavers causing a trip hazard
Jackie Robinson Park
7/31/2011
9/17/2012
414
Repair/Replace climbing on play equipment. Coating cracked, pinch hazard
Mother Cabrini Park
5/17/2011
8/28/2012
469

Queens
The Parks Department issued 6,164 work orders for Queens playground repairs and maintenance from April 1, 2011, through March 31, 2012.  Of the 5,269 work orders that the Parks Department managed to resolve by May 29, 2012, Comptroller Liu’s audit found only 64 percent (3,385) were corrected within 30 days, and another 16 percent (832) waited more than 90 days. 
 
In addition, PIP inspectors identified 527 Immediate Attention conditions, of which 58 (11 percent) were not fixed within the required 30-day period.   
 
Finally, Comptroller Liu’s audit identified 55 work orders that could easily have been classified as hazardous conditions that needed attention within 30 days.  Some of these took more than 200 days to resolve. (See table below)


Queens Potential Immediate Attention Hazards with Longest Wait Times for Repair


Hazard
Playground
Date Reported
Date Repaired
Days Elapsed
Uncovered manhole
P.S. 42/Almeda  Playground
7/30/2011
2/12/2012
198
Loose rail on both sides of monkey bars platform
Glendale Playground
6/18/2011
1/12/2012
209
Protruding chain link fencing at eye level to be removed in handball court
Leo Ehrenreich-Austin St. Playground
6/19/2011
1/20/2012
215
QBC/A  [Queens Boro Command/ High Priority] Please cold patch in front of water fountain ASAP
Astoria Park-Charybdis Playground
6/24/2011
3/14/2012
264
QBC/S [Queens Boro Command/ Safety] Several uplifted curled edges of safety surface
London Planetree Playground
7/24/2011
4/20/2012
272


Bronx
The Parks Department issued 6,040 work orders for Bronx playground repairs and maintenance from April 1, 2011, through March 31, 2012. Of the 5,432 work orders that the Parks Department was able to address by September 24, 2012, the audit found that 90 percent (4,916) were completed within 30 days.

In addition, PIP inspectors identified 239 Immediate Attention conditions, of which 12 (5 percent) were not resolved within 30 days.  In fact, some took from 31 days to 129 days to remedy. 

Finally, the Bronx audit found 32 work orders that could easily have been classified as hazards demanding repair within 30 days. (See table below)

Bronx Potential Immediate Attention Hazards with Longest Wait Times for Repair

Hazard
Playground
Date Reported
 
Date Repaired
Days Elapsed
Hole in handball court surface, trip hazards at curb, by comfort station, and work out play equipment
Captain Rivera Playground
11/12/2011
8/9/2012
271
Remove dead limb, entrance to basketball handball courts
Matthews Muliner Playground
8/31/2011
6/11/2012
286
Very large limb down over play equipment
St Mary’s Playground South
8/29/2011
6/14/2012
291
Large dead limb over sidewalk. Can fall on parked vehicles, Story Ave. side
Story Playground
4/19/2011
4/24/2012
371
Dead branch hanging over swings, approximately 20 feet long and 6 inches in diameter

Ciccarone Park
7/18/2011
8/3/2012
383
 
Staten Island
The Parks Department issued 1,301 work orders for Staten Island playground repairs and maintenance from April 1, 2011, through March 31, 2012.   Of the 1,206 work orders completed by May 29, 2012, 83 percent (1,001) were completed within 30 days.

In addition, PIP inspectors identified 90 Immediate Attention conditions, of which six (7 percent) were not resolved within 30 days.  They took 38 days to 63 days to resolve.

Finally, the Staten Island audit found 11 work orders that could easily have been classified as hazards demanding repair within 30 days but were not.  Some of these work orders took over 100 days to resolve. (See table below)
 
Staten Island Potential Immediate Attention Hazards with Longest Wait Times for Repair


Hazard
Playground
Date Reported
 
Date Repaired
Days Elapsed
I.S. 2 safety fences missing from bottom of backstop 
Midland Field
6/14/2011
8/15/2011
62
Remove large hanging limbs in trees on Lincoln Avenue
Midland Playground
12/29/2011
5/21/2012
144
Check all shackles on top of swings, at least four are worn
Lopez Playground
9/11/2011
5/24/2012
257
Trip hazard due to protruding bollard
Midland Field
6/14/2011
5/3/2012
324
Fall Hazard. 6 inches wide, 1.5 feet deep, 100 feet long
Naples Playground
5/25/2011
5/17/2012
358

The five audits are available for download here: http://www.comptroller.nyc.gov/bureaus/audit/yearlyview.asp

Background:
In March 2012, Comptroller Liu audited the Parks Department’s inspection process and found that, while inspectors were performing inspections in accordance with standards in many cases, the agency failed to fix hazards that its own inspectors flagged for attention.  A press release announcing the March 2012 findings is available here: http://www.comptroller.nyc.gov/press/2012_releases/pr12-03-022.shtm

The latest audits more closely examined the maintenance and repairs of playgrounds and determined if problems identified in the prior audit were limited or a systemic problem.



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