Here's a good analysis in the Buffalo News about the crazy rumor mill that has swept Albany and would leave you to believe Governor Paterson is toast. I think a lot of it comes down to derailing Paterson in favor of clearing the decks for Andrew Cuomo to be New York's Messiah. The Governor is said to be meeting with the New York Times today in what may be the perfunctory "confirm or deny" interview in advance of whatever they are going to print anyway.
My advice to the Governor is stand firm, especially during this budget process. Much of this may be driven by the groups for whom a hint of austerity never crossed their minds.
Capital rife with rumors of Paterson's political demise : Home: The Buffalo News