State Comptroller Thomas DiNapoli defended his record in office during a debate Thursday ahead of the June primary elections.
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ALBANY — The New York state comptroller debate Thursday erupted in clashes among the Democratic candidates that were so heated that Spectrum News NY1 moderators repeatedly intervened as they attempted to restore order.
One of the sharpest clashes came when former nonprofit housing executive Drew Warshaw accused incumbent Thomas P. DiNapoli of not using the powers of the comptroller’s office aggressively enough to confront Immigration and Customs Enforcement.
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Warshaw then removed his shirt during the live broadcast to reveal an “ICE OUT” T-shirt underneath.
Related: NY comptroller race fueled by public cash, with DiNapoli collecting the most
He demanded New York sever ties with federal immigration enforcement, a move state lawmakers had done earlier in the day when both legislative chambers approved measures to limit ICE cooperation.
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That exchange — and others during DiNapoli’s first primary debate in nearly 20 years — underscored the race’s central question. When early voting begins June 13, voters must decide whether they want an established fiscal manager focused on institutional stability or an activist comptroller who vows to use the office more aggressively against high living costs and President Donald J. Trump’s policies.
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DiNapoli said his opponents, including former Kansas state Rep. Raj Goyle, lack a basic understanding of the comptroller’s office. One of four statewide offices, the comptroller audits public spending and oversees New York’s nearly $300 billion pension fund.
“They ascribe powers to the state comptroller like you’re the president, the head of the UN and the Pope,” said DiNapoli.
Candidate for state comptroller Drew Warshaw challenged DiNapoli on his record in office during a debate on Thursday.
Will Waldron/Times Union
DiNapoli responded to attacks from Goyle, who blamed him for not stopping changes made to the state’s public pension tier in 2012. Lawmakers and the governor reached a deal this year to roll back some changes affecting hundreds of thousands of state employees.
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Goyle said state leaders have failed to address affordability, housing and economic inequality. He accused the comptroller’s office of being underused, overly cautious and disconnected from the economic struggles facing residents.
The office has been “asleep at the switch” and ineffective in using its “bully pulpit” to influence major policy debates, Goyle said.
That criticism centered on pension fund investment and Wall Street influence. Goyle repeatedly knocked the state pension system for relying on outside managers, arguing that it funnels large sums to Wall Street firms. He said the money could instead be placed in low-cost index funds to reduce fees and improve returns.
Raj Goyle is one of two Democrats vying to unseat DiNapoli.
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Goyle also attacked state investments in the software company Palantir Technologies, which provides the core software infrastructure used by ICE. He challenged the comptroller’s office over holdings in Palantir, citing reports that the pension fund increased its position during a period when the company was associated with immigration enforcement contracts.
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DiNapoli said that Palantir holdings were part of passive index-fund investing and not part of an active political or ideological investment choice. Goyle accused DiNapoli of either “lying to New Yorkers” or being unaware of internal portfolio changes.
Warshaw also tied investments to foreign policy and ethical concerns, criticizing holdings in companies linked to ICE, defense contracts and geopolitical conflicts.
DiNapoli rejected claims by his opponents that he could unilaterally reshape policies involving ICE enforcement, data centers and pension design. He said decisions about immigration enforcement, tax policy and regulations belong to the governor and Legislature.
Warshaw said that the pension fund relies too heavily on expensive outside managers. He said that the comptroller pays roughly $1 billion in annual fees to Wall Street firms that could be saved by eliminating outside managers.
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He repeatedly cited a figure of “664 Wall Street bankers” allegedly benefiting from these arrangements.
Warshaw also proposed using the pension fund for public benefit projects. He said that state capital could be invested in affordable housing development, saying that the pension fund could be leveraged for social infrastructure while still producing returns.
DiNapoli described his role as a constrained fiscal steward whose job is to protect long-term financial stability, not to act as a policymaker or activist.
“It’s not their money,” DiNapoli said. “It’s not for them to play with; it’s not for their pet projects, and not for their political agenda.”
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He rejected calls to eliminate outside managers, saying they are necessary form of diversification and private market exposure, and that most pubic equity investments are already in low-cost index funds.
DiNapoli also disputed claims of excessive Wall Street fees and underperformance, saying independent reviews show the system is professionally managed and aligned with benchmarks.
He said the fund’s goal is not to “beat the market” but to meet long-term return targets.
After the debate, DiNapoli’s campaign declared victory.
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Republican state comptroller candidate Joseph Hernandez offered a different assessment.
“Each candidate lacked the focus, discipline, and integrity needed to lead the Comptroller’s office in a manner that protects taxpayers and safeguards their hard-earned money from the one-party rule in Albany,” Hernandez said.