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Editors note: Like Rudy Giuliani, H. Carl McCall is a New York State politician who has captured the hearts of a national audience. Born one of six children to a single mother, McCall did Dartmouth and the University of Edinburgh before embarking on a successful banking career with Citicorp. He served as President of the New York City Board of Education, as ambassador to the United Nations, and did three terms as a New York State senator before being elected state comptroller in 1996. Newsweek magazine said McCall was the embodiment of the American dream. Congressman John LaFalce said, simply, "He's got it all."
In September, he will face Andrew Cuomo, son of the former governor, in the Democratic primary. He is the odds-on favorite, and why Cuomo would even foul up the process no one knows.
In November, McCall will take on Gov. George Pataki, a two-term favorite whom everybody feels kind of creepy about.
McCall took time out of his busy schedule a week ago to sit down and grant this exclusive interview with the Editorial Board of the Reporter.
Reporter: Carl, there's been a lot of talk about what the state's role might be here in Niagara Falls. As the State Comptroller, what's your take on this?
McCall: Well, there's a lot of cities in Western New York. Look what's happened in Buffalo. In Buffalo, I had to come up a couple of months ago to verify the size of their deficit. It was like $97 million. What is happening throughout Western New York is that you've had people leaving, businesses leaving, a problem tax base and, as a result of that, you've got less revenue. Just about every city in Western New York is facing these difficulties. Niagara Falls isn't any different.
What's been happening over the past few years is that everyone is getting more and more dependent on the state. Now we're in a situation where the state's finances aren't in good shape.
So to say that there's a possibility that the state can take over, well, there's not much the state can do to help.
Even before Sept. 11, we were becoming too dependent on one sector of the economy -- Wall Street. It was booming these past several years and now it's not, and that means less money coming in. So I think Niagara Falls, whatever situation we face here, we can't expect much help from the state.
Reporter: OK. Given the fact we can't expect anything from the state, what can we, ourselves do?
McCall: There's not a lot that the city can do on its own. There are ways that the state can help, but there have been problems. The state spends a lot of money every year for economic development. To try and attract businesses and to try to get businesses to stay here. And it hasn't been done very well. That money's been scattered all over. This city is going to have to tighten its belt. There's not a lot they can do. They've got to live within their means. You've got to set priorities and, whatever money's available, you've got to spend it on those priorities
We're in for a tough time for a while. But the state can do some things. What you've got here is a good work force and people with a good work ethic. People who like to work. You've got affordable housing, affordable commercial space, good natural resources, and we're not currently exploiting that, we're not going around and telling businesses that, to try and bring them here. Most of the state's efforts are directed toward trying to bring businesses to New York City.
And you know what? New York City's too expensive for most of them.
There's no magic formula to make it turn around.
Reporter: You've been depicted as being anti-casino. What's up with that?
McCall: Like many other things they do in Albany, they just did it so badly. As you know, there's going to be problems, there's a lawsuit pending. But to get rid of the competition from Canada, you've got to do something. I don't know anything about gambling, but I was over there the other night and the difference is obvious.
Reporter: How bad did the Enron thing hurt New York State?
McCall: Really, we lost a lot less than most other states. Everybody got hurt. We lost about $50 million. Georgia lost $100 million, New York City lost $80 million, we're pretty near down at the bottom. When this story is told, and I'm glad about the investigations, everybody thought this was the best investment ever. There was never such a meltdown. So, obviously, there was massive fraud. And the State of New York is suing to try and get some of our money back. But there's not much left. The pension fund's in good shape. We didn't take too bad of a hit.
Reporter: In September you'll face Andrew Cuomo in the primary.
McCall: I'm going to have to spend a lot of money, and that's the problem with us Democrats. We spend all the money on the primaries and the Republicans are sitting there waiting for us.
Reporter: Do you think Gov. Pataki's performance in the wake of Sept. 11 makes him a more difficult opponent?
McCall: Initially it does. Every time after the attack, and Rudy Giuliani had a press conference, there was this tall guy standing behind him. So people see him. But look what he did. President Bush committed $20 billion to New York as an incentive. George Pataki goes to Washington with a $54 billion wish list, all kinds of projects that had nothing to do with what happened.
They literally laughed at him. He didn't do his homework. He didn't call (Sen. Hillary Clinton), he didn't call (Sen. Charles Schumer). He didn't even call the Republicans and say, "What should I do?"
Bottom line, you know what the State of New York got from Washington? $8.3 billion. That's less than half what the President committed, that's a major failure and here's the Governor who's in the same party as the President.
It's the same as the economy of Niagara Falls. When you look at it, you've got to say, "What has this guy done for us?"