Crains New York - May 21, 2012 - (Page 8)

THE INSIDER by Jeremy Smerd and Shane Dixon Kavanaugh F Rangel on the ropes aced with a redrawn district, checkered health and a lingering ethics scandal, Charles Rangel, Harlem’s 21-term congressman, has appeared unprepared for what could be the toughest primary of his career, sources said. “He’s on cruise control in very turbulent waters,” said one Democratic official. The 81-year-old is being challenged by state Sen. Adriano Espaillat and Clyde Williams, a former adviser to President Bill Clinton. Even those close to Mr. Rangel admit that he’s yet to raise funds aggressively, show up at events or build a robust ground operation. A campaign spokeswoman insisted that would soon change. Mr. Rangel raised an anemic $67,000 in the quarter ended March 31 and had only $225,000 in his war chest. Mr. Clinton, who helped re-elect the incumbent in 2010, will stay neutral this year out of respect for Mr. Williams. A back injury sidelined Mr. Rangel for months and kept the congressman from campaigning throughout his reapportioned district, which now includes the Bronx and has a majority of Hispanic voters—a boon for Mr. Espaillat. On a recent Friday, the Washington Heights senator dropped by two subway stations, five senior centers and two events in 15 hours of campaigning. “He’s tireless,” a Rangel backer said of Mr. Espaillat. Still, political observers say Mr. Rangel will be tough to beat. He’s endorsed by unions and political clubs that could round up voters for the expected low-turnout primary June 26. Neither challenger is likely to chip away at the incumbent’s central Harlem base, and they could split the anti-incumbent vote. “After 40 years in Congress, there is no voter that has not made up his mind about Charlie Rangel,” an insider said. “You’re either with him or against him.” HOUSE HOPES: Counting on New York DEMOCRATS MUST GAIN 25 seats to retake the House, and Rep. Steve Israel said they are counting on New York for two to four of them. “There’s no such thing anymore in New York as a safe Republican seat,” the chairman of the Democratic Congressional Campaign Committee told Crain’s. The reason: New districts were drawn by judges, rather than politicians, so incumbents weren’t protected. Steve Israel His top GOP targets here, starting from downstate, are Mike Grimm, Nan Hayworth, Chris Gibson and Ann Marie Buerkle—all freshmen who won as Tea Party candidates in moderate districts. A metric the DCCC uses called the Democratic Performance Index suggests all four are in reach. A score of 50 suggests a generic Democrat would get that percentage of the vote. By that measure, the districts represented by Mr. Grimm (50.1), Ms. Hayworth (49.5), Mr. Gibson (49.9) and Ms. Buerkle (51.8) are teetering blue. Voters in Syracuse who elected Ms. Buerkle “don’t like voting for an extremist on either side” of the political spectrum, he said. The most vulnerable Democratic incumbents are Bill Owens (46.7), Kathy Hochul (40.9) and Suffolk County Rep. Tim Bishop (50). Mr. Israel believes the Tea Party tide is receding, exposing Republicans in Democratic areas. He booked airtime in advance in traditional presidential battlegrounds but will wait to do so in New York. What scares him is the prospect of super PACs. “It’s what keeps me up at night,” he said. Online auctions free Navy Yard site Fuhgeddabout scoring that cut-rate cop car or garbage truck at the Brooklyn Navy Yard. The city has scrapped its bimonthly fleet auction, turning over the keys to hundreds of used municipal vehicles to a pair of the country’s largest e-retail sites. Shoppers must now bid against buyers nationwide through Property Room and Copart, which newscom will hold weekly online auctions. “The fleet auctions will be more convenient and competitive,” said a spokeswoman for the Department of Citywide Administrative Services, which oversees the auctions. More than 200 vehicles— including hybrids, Chevy Impalas and a few John Deere Gators— have gone up for grabs since the city announced its partnership with the companies last month. Each year the city hocks roughly 2,500 of its 27,000 vehicles. Property Room will get 12.5% of each sale, but the city expects to save money on towing, management and staffing—though its auction staff was reassigned, not laid off. The move frees up six acres at the Brooklyn Navy Yard, presenting an opportunity for the city. Navy Yard President Andrew Kimball said the site “will become another key element of the Navy Yard’s transformation into the nation’s premier industrial park.” pressure from the Cuomo administration to go along with its plan to merge ailing hospitals in the borough. “I’m being viewed by my friends in Albany as not following the Cuomo plan,” he said. But Mr. Rodriguez defended himself, suggesting Albany bureaucrats were out of touch with the ethnic communities served by the hospital. “When was the last time [Deputy Secretary of Health] Jim Introne had rice and beans on Wyckoff Avenue?” he asked. Citi Bike’s an ad bargain Citigroup’s five-year, $41 million sponsorship of the city’s bike-share program will turn 10,000 bicycles into a fleet of advertisements, giving the bank a virtual monopoly on a form of mobile marketing that has until now been highly restricted. Koch bashes super PACs With super PACs poised to play a role in the 2013 mayoral race, former Mayor Ed Koch called them “the most destructive election issue that I’ve seen since I entered politics” more than 40 years ago. He’s counting on a constitutional amendment to allow Congress and state legislatures to limit campaign contributions. But until it gains traction, Mr. Koch said, he’ll hold his nose and use super PACs. “I don’t believe that President Obama should go into the election with one hand behind his back when the Republicans will be using super PACs. But I think they should be abolished.” Bucking Cuomo Wyckoff Heights Medical Center CEO Ramon Rodriguez is feeling It amounts to $2.20 per bike, per day. “Wow, that’s a pretty good deal,” said Bill Wise, the owner of Akron, Ohio-based American Mobile Ads, which operates the kind of truck billboards that cost $500 to $1,500 a day but are prohibited in New York City. Only rooftop taxi ads and displays related to businesses that normally use a truck are allowed. The advertising ban, however, does not apply to “devices moved by human power.” For daily political and government news, subscribe to CRAIN’S INSIDER @ www.crainsnewyork.com/insider 8 | Crain’s New York Business | May 21, 2012 buck ennis http://www.gvccnyc.com http://www.gvccnyc.com http://www.crainsnewyork.com/insider

Table of Contents for the Digital Edition of Crains New York - May 21, 2012

Crain's New York - May 21, 2012
Contents
Council Defies Mayor, Scares Business Leaders
Renegade Ceo Bucks Albany to Save His Hospital
Back to JPMorgan Chase’s Woes Have Some Local Bank Rivals Circling. in the Markets.
New York, New York
Hopes Rising Along B’klyn Waterfront in Sunset Park
Why Charlie Rangel Could Lose His Seat
Small Business
Viewpoint
Ibm Inside Big Blue’s Brain Trust, Which Pulled in More Than 6,180 Patents Last Year, the Most Ever by a Single Company. No Wonder the Stock Price Has More Than Doubled in the Past Five Years.
The List Our Annual Review of the New York Area’s Largest Publicly Held Companies, Ranked by Their 2011 Revenues.
What’s Up (And Down) at News Corp., Cbs, Bed Bath & Beyond, Vornado Realty, Mastercard, Jones Group, Revlon and Others.
For the Record
Classifieds
Real Estate Deals
The Week on the Web
Matchmakers Find Their Own Chemistry
Anne Fisher Tapping Into Human Emotions Pays Dividends
Hot Jobs
Executive Moves
Movers & Shakers Real Estate Veteran’s Surprising Switch
Gael Greene Dragonfly Lands on UES

Crains New York - May 21, 2012