NEW THIS MORNING

NEW THIS MORNING:

* In response to news that advocates would be flooding his inbox with letters urging him to support campaign finance reform, Gov. Andrew Cuomo told the Associated Press that he was working on a legislative package for passage this session: http://on.wsj.com/HWp3dg

* Major structural problems have been discovered during the renovation of City Hall, and Mayor Michael Bloomberg reluctantly authorized an additional $25 million for repairs two weeks ago, the Post says: http://nyp.st/I3zREd

* Common Cause will release a report today highlighting how hedge funds have emerged as a force in New York state politics, funneling tens of millions of dollars to political parties, pet causes and candidates from both major parties, the Wall Street Journal writes: http://on.wsj.com/HSHWSR

* Two former allies, Assemblyman Steve Katz and Sen. Greg Ball, are duking it out in an increasingly bizarre Hudson Valley Senate race involving duct tape, pants-less photos and chicken suits, the New York Observer reports: http://bit.ly/IJkVel

* Senate Democrats are nearly broke and $1.47 million in debt just seven months before the crucial battle to retake the chamber, the News writes: http://nydn.us/I1vzBi

* Former State Sen. Pedro Espada collected a staggering $256,000 for unused vacation time the equivalent of 54 paid weeks of full-time work at his Bronx taxpayer-funded non-profit, an aide testified at Espadas corruption trial, according to the Post: http://nyp.st/HPuHwz

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