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POLITICO New York Playbook, presented by Nuclear Matters: TRUMP U suit continues -- LOBBYING spend numbers -- SUPER TUESDAY takeaways

03/02/2016 07:29 AM EDT

By Azi Paybarah in Manhattan, Jimmy Vielkind in Albany, and Mike Allen in D.C., with Daniel Lippman

SCHNEIDERMAN'S TRUMP U SUIT WILL GO ON - Times' Rick Rojas: "A New York appeals court decided on Tuesday that a lawsuit brought by the state attorney general claiming that Donald J. Trump's defunct for-profit school defrauded consumers can go forward. The attorney general, Eric T. Schneiderman, filed the lawsuit in 2013 asserting that Trump University, later known as the Trump Entrepreneur Initiative, misrepresented itself and bilked students individually of thousands of dollars and collectively of $40 million. A panel of justices from the State Supreme Court's Appellate Division ruled in Manhattan against dismissing the lawsuit. The justices found that Mr. Schneiderman was authorized to pursue the case and disagreed with the claim raised by Mr. Trump's lawyers that the statute of limitations for the claim had run out. In a statement on Tuesday, Mr. Schneiderman, a Democrat, hailed the decision as a 'clear victory in our effort to hold Donald Trump and Trump University accountable for defrauding thousands of students.' Jeffrey L. Goldman, a lawyer for Mr. Trump, called the court's decision 'intellectually dishonest.'"

BUDGET WARNING -- Council urges City Hall to prepare for state cuts -- POLITICO New York's Laura Nahmias: The specter of Andrew Cuomo's executive budget loomed large over the first day of hearings on Mayor Bill de Blasio's preliminary budget at City Hall Tuesday, as City Council members expressed repeated concerns that the city isn't prepared to fill the possible giant hole in its budget that would be created if Cuomo's proposals to cut city funding are enacted.

De Blasio's top budget official told council members that he and his staff have yet to hold any conversations with Cuomo's administration over how to mitigate any of the state budget proposals that would cost the city almost $1 billion in Fiscal Year 2017, and more in the next several years. "I have been told by the governor's staff they will be reaching out to me soon," City budget director Dean Fuleihan told council members, when asked what the city was doing to prepare for the possibility that some or all of Cuomo's proposed cuts could end up in the final state budget, which is due April 1. "Clearly from our perspective, the fact that we've engaged in very little conversations and they may be passing this budget by April 1st, in 30 days, does that bring concern to you, as a director, that they haven't engaged you as of yet?" City Council Finance chair Julissa Ferreras-Copeland asked. "Yes." Fuleihan replied.

DE BLASIO BUDGET CHIEF ASKS AGENCY HEADS FOR SAVINGS, WITHOUT TARGET - POLITICO New York's Laura Nahmias: Mayor Bill de Blasio's budget chief sent a letter Monday to the heads of New York City agencies asking them to identify ways to save money in the coming fiscal year. It is an open-ended request that is more aggressive than the voluntary savings program de Blasio has used in each of the past two budget years, but stops short of requiring city agencies to find a specific amount of potential savings in their budgets.

In the letter sent Monday, city Office of Management and Budget director Dean Fuleihan asks agencies to "find productivity and management improvements by restructuring the delivery of programs or services, using technology to produce efficiencies, improving revenue collection, reducing administrative and overhead costs, and funding underused programs at the appropriate levels."

POLLUTION PROBE WIDENS IN HOOSICK FALLS - POLITICO New York's Scott Waldman: The state is investigating at least 11 possible contaminated sites in the Hoosick Falls area ... The proliferation of the pollution in a variety of sites confirms that pollution in the village goes far beyond the Saint-Gobain facility that state officials have determined is responsible for the PFOA in the municipal water supply and could make finding a new water source more challenging. Some of the private wells have also tested for extremely high levels of PFOA, more than 30 times the federal Environmental Protection Agency's recommended limit of 100 parts per trillion. Some are miles from the factory site, and are likely polluted with PFOA after illegal dumping from the factory.

-- Tests in sburgh showed PFOA levels near the Taconic plant were 152,000 parts per trillion in 2004.

-- Rep. Paul Tonko unveiled legislation that would reauthorize the Safe Drinking Water Act bringing more than $20 billion to the state over the next five years for local water-line improvement projects.

MORE TRANSPARENCY ON DISCRETIONARY FUNDS - POLITICO New York's Jimmy Vielkind: Standing with good-government advocates and fiscal watchdogs, a Capital Region assemblyman is unveiling legislation Wednesday that he says will increase transparency for discretionary funds in the state budget. Assemblyman Jim Tedisco, a Republican from suburban Schenectady, wants to require infrastructure projects and economic development subsidies drawn from discretionary funds to be lined out in the state budget that lawmakers are hoping to adopt before the new fiscal year starts next month.

Such discretionary pools - including the State and Municipal Facilities Program and Transformative Investment Fund - currently appear in budget documents as large lumps of funding with usually loose eligibility criteria. A state agency or authority, like Empire State Development or the Dormitory Authority, then selects and approves projects. An obscure panel called the Public Authorities Control Board gives majority legislators the ability to veto their selections , otherwise the money is then spent or reimbursed. The Citizens Union, a government reform group, said in a report this week that there is $2.4 billion of "spending in the shadows" included in Gov. Andrew Cuomo's proposed budget. Tedisco noted that a different discretionary fund was a central component of the kickback scheme that led to the conviction of former Assembly speaker Sheldon Silver, and said bringing more transparency to the process was a crucial reform measure.

** A Message from Nuclear Matters: Providing 61 percent of the state's carbon-free electricity, New York's nuclear energy plants are a necessary and valuable part of the state's energy mix, and deserve the support of state lawmakers for their role in providing New York with reliable electricity while protecting the environment. Learn more: **

FREE TO DRINK -- Vance announces Manhattan summons overhaul -- POLITICO New York's Gloria Pazmino: New Yorkers who drink in public, litter, urinate or ride between subway cars in Manhattan will no longer be arrested by the NYPD even if they have a warrant, under a new initiative announced by District Attorney Cy Vance to overhaul how summons and low-level offenses are processed in the city.

The new program, announced jointly with Mayor Bill de Blasio and Police Commissioner Bill Bratton, will allow police officers to increase their use of discretion and the DA's office will no longer prosecute quality of life violations unless the public is at risk, Vance's office announced Tuesday. "Through this initiative, we are devoting our resources to best protect and serve New Yorkers," Vance said in a statement. "By ensuring courts are not unnecessarily bogged down with minor offenses committed by those who pose no threat to public safety, we help focus police and prosecutorial resources on those who commit serious crimes." The new directive, which will only impact Manhattan, will take effect by next Monday.

-- Daily News headline: "Littering, public urination and other minor offenses in Manhattan will lead to summons and not arrest" -

-- Gothamist's Miranda Katz: "This new policy would require that an officer bring someone with an open warrant to one of the Arraignment Parts of the Manhattan Criminal Courts Building to face a judge both on the summons matter and the outstanding warrant. Similarly, if an offender can't produce an ID, they'll be taken to a precinct where they can wait for someone to bring them their photo ID. In neither circumstance will an arrest be made. Police Reform Organizing Project Director Robert Gangi said that while this is a significant change, it ultimately affects a relatively small number of arrests-in 2014, police made 221,851 misdemeanor arrests."

-- Observer's Jillian Jorgensen: "[I]f someone has an open summons warrant-let's say they didn't pay their summons the last time they got caught littering and then they get stopped for that again-they'll be 'detained,' according to the DA's office, and brought to court to face a judge on that summonses and the new one. But they won't be arrested."

QUOTE OF DAY: "By ensuring courts are not unnecessarily bogged down with minor offenses committed by those who pose no threat to public safety, we help focus police and prosecutorial resources on those who commit serious crimes." -- Cy Vance, via WSJ:

TABS -- Post: "TEFLON DON! Trump wins seven states. Mud fails to stick" -- Daily News: "MAKE AMERICA MIGRATE" -- Metro: "HEAR THEM ROAR": Trump and Clinton make loud statements with overwhelming victories on Super Tuesday" -- El Diario: "Stop Trump!" -- SEE THEM:

-- Newsday: "BIG WINS FOR CLINTON, TRUMP" -- amNY: "WHAT A RIDE: $4B WTC transportation hub to set open - over budget and overdue" -- Hamodia: "Newly Released Hillary Emails Shed Light on Her Israel Policy"

FRONT PAGES -- NYT, 6-col., above the fold: "TRUMP AND CLINTON FEAST AS 12 STATES VOTE" -- WSJ, 2-col., above the fold: "New Discretion Given to Police on Minor Crimes"

GLENN THRUSH on Super Tuesday results: "1. Trump is resilient. ... 2. Hillary's perfectly happy to run against Trump."

NEW PODCAST -- WNYC's "Welcome to the Neighborhood": "There Goes the Neighborhood takes an in-depth look at gentrification in Brooklyn and the integral role that race plays in the process. Developers from all over the globe are hunting New York City, looking for deals that will allow them to 'revitalize' neighborhoods, and make a few bucks in the process. But to many tenants and homeowners, it feels like a violent shove out of the way, especially for black and brown Brooklynites who have lived here for generations. ... Beginning March 9, listen in on how the process is playing out."

THAT SURREAL INTRO to the Tonight Show, with Stephen Colbert, filmed by Spike Jonze: h/t Gothamist's Jen Chung: "If Stephen Colbert's Late Show opening is too upbeat for you, don't worry. Here's a new option, which gives you the opportunity to dwell on the meaning of your life and possible lack of connection with other humans, courtesy director Spike Jonze. Jonze ... was on the talk show to promote the new all-Vice, all-the-time cable channel, Viceland..."

'WANDERING DAGO' SUIT DISMISSED - Times Union's Casey Seiler: "A federal judge has dealt a blow to a lawsuit filed by the Schenectady-based food truck called Wandering Dago. In a decision dated Tuesday, U.S. District Judge Mae D'Agostino turned aside each of the arguments made by the truck's owners, Andrea Loguidice and Brendan Snooks, who filed the lawsuit in 2013 after being denied a permit to sell their wares at Empire State Plaza as part of the state's summer lunch program. D'Agostino ruled that officials at the state Office of General Services, which shot down the application, had imposed appropriate limits on speech. 'Given the nature of the Summer Outdoor Lunch Program and the fact that it is sponsored and promoted by OGS, it is reasonable for the State to want to avoid the perception that it condones the use of racial epithets,' she wrote."

CASHING IN -- Lobbyists earned record $86 million in New York City last year -- POLITICO New York's Laura Nahmias: Spending on lobbyists has soared in New York City since Bill de Blasio took office as mayor, according to a new report released by the City Clerk's office examining annual lobbying expenditures in 2015. Lobbyists earned a record $86 million in New York City in 2015, breaking the record set the previous year when lobbying expenses reached $72 million, the report said. Over the past two years, the amount lobbyists earned in New York City has increased by 37 percent, from $62.7 million in 2013 to $86 million in 2015.

New York City's top-earning lobbying firm last year was the firm James F. Capalino and Associates, which reported $12.9 million in compensation, followed by Kasirer LLC, the lobbying firm run by Suri Kasirer, which earned $9.5 million in compensation, and Pitta Bishop Del Giorno & Giblin, which reported $4.2 million in compensation last year.James Capalino, who heads his eponymous firm, enjoys a close relationship with City Hall. Capalino is the lobbyist who has had the most in-person meetings with the mayor, according to records of those meetings which the mayor's office voluntarily discloses. The other firms that ranked in the top 10 earners last year were Bolton St. Johns, Constantinople and Vallone, Greenberg Traurig, Davidoff Hutcher & Citron, Manatt, Phelps & Phillips, Geto & de Milly, and Mercury Public Affairs. Those 10 firms took earned more than all the rest of the lobbying firms in the city combined. SEE THE FULL REPORT:

New York Post headline: "Lobbyists just keep getting richer during de Blasio's reign" -

IN THE ZONE-"Talks on affordable housing heat up between de Blasio, Council," by POLITICO New York's Sally Goldenberg and Gloria Pazmino: "Negotiations between the de Blasio administration and the City Council over the mayor's controversial housing plans are heating up, with both sides hoping to reach a deal by the end of next week. Following two lengthy public hearings last month, the Council's Democratic caucus has held two private meetings to air concerns. Meanwhile, administration officials have been talking to members one on one about their individual issues and officials from both sides of City Hall have also been meeting to map out possible solutions, multiple sources told POLITICO New York. Several Council members who would speak only on background because of the ongoing negotiations said talks have accelerated in the past few weeks. It's possible the Council will vote on the entire package at its March 22 meeting. ... The top issue that has emerged from the meetings is the level of affordable housing required from Mandatory Inclusionary Housing, known as MIH for short."

BIRTHDAYS: Alec Brook-Krasny, the former assembly from Brooklyn ... Louis Cholden-Brown, City Council aide ... and Kristen Meriwether, a former for Gotham Gazette and Epoch Times

HOT VIDEO - "Jimmy Kimmel's 'Producers' sketch provides a hilarious explanation for the rise of Trump": "Instead of theater producers, [Nathan] Lane's Max Bialystock and [Matthew] Broderick's Leo Bloom are scheming, cynical political consultants." 5-min. video

MEDIA MORNING -- "The media's Trump reckoning: 'Everyone was wrong': From the New Yorker to FiveThirtyEight, outlets across the spectrum failed to grasp the Trump phenomenon," by Politico's Hadas Gold: "David Remnick, editor of The New Yorker, told his readers last summer that Donald Trump was running for president to promote his own brand and that the 'whole con might end well before the first snows in Sioux City and Manchester.'"

--"Willie Geist scores his own NBC morning show," by Post's Emily Smith : Geist "will next month step in as host of a revamped 'Sunday Today.' ... Geist, who is expected to continue to appear on 'Today' and MSNBC's 'Morning Joe.' ... The move also puts Geist head-to-head with his own father, Bill Geist, who has been a correspondent for 'CBS Sunday Morning' since 1987."

- Graydon Carter hires Nick Bilton as Vanity Fair special correspondent : "covering the intersection of technology and business for, as well as contributing regular features to the magazine ... Bilton comes to Vanity Fair after more than ten years at The New York Times, where he wrote the Disruptions column, which explored the cultural impact of technology."

--JOSH ELLIOTT to CBSN - "Elliott will join CBSN, its 24/7 digital streaming news service, as an anchor later this month. ... He will also appear on CBS News broadcasts and other platforms. ... Most recent, he worked with NBC Sports ... [and] spent three years at ABC News.

FUTURE OF MEDIA -- "Nobody Watches Live Television Anymore, Unless It's Sports: Nielsen's 2015 report on sports media also shows that ladies love soccer," by Vocativ's Cristina Cabrera: "According to the Nielsen 'Year in Sports Media' 2015 report, 93 percent of the top 100 live TV programs were sports content. This shows a dramatic increase from 2005, when sports programming made up only 14% of live TV viewership." ... The report

THE NEW GILDED AGE -- "Forbes 2016 World's Billionaires: Meet The Richest People On The Planet": "For our 30th annual guide to the world's richest, we found 1,810 billionaires, down from a record 1,826 a year ago. Their aggregate net worth was $6.48 trillion, $570 billion less than last year. It was also the first time since 2010 that the average net worth of a billionaire dropped - it is now $3.6 billion, $300 million less than last year. ... 221 people fell off the list, while 198 newcomers joined the ranks; another 29 people from 2015 died while 29 who'd previously fallen off climbed back on. Of those who were billionaires both years, 892 are poorer while 501 added to their fortunes." Full list

THE TALK OF WALL STREET -- "Wall Street's big short: President Donald J. Trump," by Reuters' Gertrude Chavez-Dreyfuss and David Randall: "A growing realization that the unpredictable New York real estate developer is in a position to win the Republican nomination and then battle Hillary Clinton for the White House in November's election has caused some investors to sell U.S. stocks. They fear having such a wild-card president could trigger trade wars, hurt the economy and add a lot of market volatility."

EAT BEAT -- "Cheesecake Factory Is Opening Its First New York Location This Year," by Eater NY's Serena Dai: "The popular suburban mall chain restaurant - which uniquely makes all of its food on-site at 200-plus locations - will be opening in the Queens Center mall in Elmhurst ... The company first started back in the 1940s as a cheesecake bakery and eventually opened in its current form in 1978 in Beverly Hills"

--"New York Has a New Destination for Ambitious Indian Cooking," by Grub Street's Sierra Tishgart: "Between La Sirena, Café Altro Paradiso, and Pasquale Jones, it seems like every major New York opening as of late is an Italian restaurant. Not the case, obviously, with Indian Accent: It's the first international location of an award-winning restaurant in New Delhi, and it has opened adjacent toLe Parker Méridien. Restaurateur Rohit Khattar and chef Manish Mehrotra's menu includes stuffed kulchas (a signature dish), potato-sphere chaat with white-pea mash, and more traditional dishes like butter chicken."

OUT AND ABOUT - The war comedy "Whiskey Tango Foxtrot" had its world premiere last night at AMC Loews Lincoln Square 13 with its stars out in full: Tina Fey (who plays the reporter and also produced the film), Margot Robbie, Martin Freeman, and Billy Bob Thornton and producer Lorne Michaels. The hilarious film, based on reporter Kim Barker's memoir "The Taliban Shuffle," about all the crazy things that happen when one is a reporter in Afghanistan covering the conflict, opens this Friday. Pix from the premiere ... Trailer

SPOTTED: Christopher Abbott, Josh Charles, Stephen Peacocke, Nicholas Braun, Sheila Vand, Fahim Anwar, Brad Grey, co-directors Glenn Ficarra & John Requa, screenwriter Robert Carlock, Kim Barker, executive Producers Charlie Gogolak, Eric Gurian and Sam Grey, Alec Baldwin and Hilaria Baldwin, Zosia Mamet, Colin Jost, Judah Friedlander (formerly of 30 Rock), Ashley Olsen, Christine Baranski, Bob Saget.

REAL ESTATE -- LUNCH BREAK-"Union, Lawmakers React After Construction Workers Caught Drinking," by Eyewitness News' Jim Hoffer: "Could you down five drinks at lunch and then go back to work? An Eyewitness News Investigators exclusive investigation showed construction workers in Manhattan doing just that, and now, lawmakers and officials are taking action. The City Council, the Department of Buildings and the construction industry are all responding, with some calling for mandatory alcohol testing. The amount of drinking by construction workers revealed by our undercover cameras -- beer after beer and shot after shot of hard liquor -- has caught the attention of those who call the shots."

BIG DEAL-"Mitsubishi buys Metropolitan Tower office portion for $163M," by Real Deal's Rich Bockmann: "Mitsubishi Corporation, a cousin company to the firm that lost Rockefeller Center to lenders in the 1990s, has bought a 98.6 percent stake in the office-and-retail portion of the Metropolitan Tower near Central Park for $163 million. Through a fund managed by Midtown-based GreenOak Real Estate, the Japanese firm bought the interest in the 250,000-square-foot commercial condominium at the base of the 41-story tower at 146 West 57th Street (also known as 142 West 57th Street), records filed Tuesday with the city show. The seller, a partnership between asset manager BlackRock and landlord L&L Holdings, bought the majority interest for an undisclosed sum in 2006 from Principal Global Investors."

IN THE WORKS-"Alfa plans 65-unit, 20-story Gramercy condo," by Real Deal's Mark Maurer: "Alfa Development filed plans for a 20-story condominium building on a site it acquired for nearly $70 million last year, the firm told The Real Deal. The roughly 104,700-square-foot property at 200 East 21st Street, also known as 253-261 Third Avenue, is expected to hold 65 condo units and a 7,200-square-foot ground-floor retail space. The apartments will range from one- to four-bedrooms. Alfa, a Chelsea-based development firm led by Michael Namer, hired BKSK as the architect, but has not yet decided on pricing or hired a brokerage to market the apartments."

THE HOME TEAMS -- POLITICO New York's Howard Megdal: MLB announced they came to an agreement with Aroldis Chapman on a 30-game suspension Chapman won't appeal stemming from a domestic violence incident last offseason. The Yankees get him back in May. And MLB avoids the appeals process, where other leagues have run into PR difficulties.

-- Blazers 104, Knicks 85: Damian Lillard scored 30, CJ McCollum added 25. It's been a recipe for victories, and the Knicks weren't about to change that.

-- The day ahead: exhibition baseball actually begins, with the Yankees taking on the Tigers. And St. Francis of New York attempts to win its first-ever men's basketball berth in the NCAA tournament as the four seed against Mount St. Mary's in the Northeast Conference quarterfinals.

CHESS BREAK -- "World Chess Championship Returning to New York City," by Times' WM. Ferguson: "For the first time in more than two decades, and only the fourth time in the past century, the World Chess Championship will be held in New York City. The reigning champion, Magnus Carlsen, a charismatic and formidable 25-year-old Norwegian, will defend his title in November ... The players will compete in a 12-round match for a prize of over $1 million."

#UpstateAmerica: With a lack of snow, fewer people are paying to register their snowmobiles, meaning less money for trail maintenance.

** A Message from Nuclear Matters: New York's existing nuclear energy plants provide 61 percent of the state's carbon-free electricity and play a vital role in achieving our clean-energy and carbon-reduction goals. Additional premature retirements of safe, reliable nuclear energy plants mean New Yorkers would pay more for electricity, the economy would suffer and we would face substantially higher carbon emissions.

New York has taken an essential step forward to address the premature closures of our nuclear energy plants. The proposed development of a Clean Energy Standard by the Public Service Commission would, for the first time, ensure that existing nuclear plants are valued for their carbon-free attributes.

We urge the state to include all of New York's existing nuclear energy plants, regardless of their geography in the state, in the proposed Clean Energy Standard. All nuclear energy facilities bring significant reliability and clean-air benefits to New York. Learn more: **

FOR MORE political and policy news from New York, check out Politico New York's home page:

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