NEW THIS MORNING

NEW THIS MORNING: * Police commissioner Ray Kelly unveiled a new policy designed to dramatically curb the NYPD's "stop and frisk" encounters, but critics said the measures lacked impact, the New York Times reports: http://nyti.ms/JzuIuP * New York received $700 million in excess Medicaid payments for its developmentally disabled population in 2009, according to a finding by a federal inspector general, the Times writes: http://nyti.ms/MqLwnv * A new coalition of labor unions and advocates is forming to back mayoral candidates who pledge to reverse some of Mayor Michael Bloomberg's educational policies, the Times reports: http://nyti.ms/J5ubMn * Schools Chancellor Dennis Walcott said the DOE would offer buyouts to "mediocre" teachers who are drawing full salaries but aren't employed at any school, the Times writes: http://nyti.ms/KWIiWG * Rochester is second only to New York City in private sector job gains this year, a sign city officials say points to a trend away from economic recession, the Democrat and Chronicle writes: http://on.rocne.ws/Kt2mxG * More than $138 million in "longevity increases" went out to the state's public sector workers again this year, despite the lack of raises in negotiated worker contracts, the Times-Union reports: http://bit.ly/L4rZ7l * State Sen. Tom Libous has another challenger for his seat in the form of Democrat John Orzel, the Ithaca Journal reports: http://ithacajr.nl/JVYgj5 * Food delivery service Fresh Direct, which is receiving $82 million from the Bloomberg Administration for its move to the Bronx from Queens, announced it will become the first online food delivery service to accept food stamps as payment, the Daily News reports: http://nydn.us/JlWWZ6