The state is considering authorizing drilling for natural gas on private land within the 2,000- square-mile Catskills watershed that provides drinking water to millions of NYC residents. Drilling could pump $1 billion into the state economy, but there's a bit of downside: It could leak toxic chemicals into drinking water, causing unknown health risks, according to a report by the city Department of Environmental Protection. That is, unless we build a $10 billion filtration plant and spend $100 million a year to run it!

That's a lot of money even by Bloomberg's standards, and he's asking the Paterson administration to prohibit drilling in the watershed, because it poses "unacceptable risks." Earlier this year the state unveiled a plan to drill in the "Marcellus Shale Formation," an energy-rich geological area running from upstate New York to western Virginia. The process involves blasting water and chemicals into rock to extract gas.

Environmental groups oppose it, and Eric Goldstein of the Natural Resources Defense Council tells the Daily News, "The governor's wrong-headed gas drilling scheme could doom the city's unfiltered drinking water supply."

Paterson has not yet made a decision on the drilling, and in a statement the Governor said, "We will listen to all the points of view. We've actually extended the public comment period because of the grave concern that so many who we trust, like the mayor, are raising in this issue."