$16M Shortage ~ Another County Tax Increase! - Print Topic

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SCHENECTADY COUNTY
Officials see up to $16M shortage Budget picture looks bleak for 2009
BY MICHAEL LAMENDOLA Gazette Reporter

    When the Schenectady County Legislature last November passed an “austerity” budget for 2008, legislators warned that there could be more difficult fiscal times ahead. Well, the warning bells are now ringing.
    Two months into a new fiscal year, county officials are confronting a revenue shortage estimated at between $12 million and $16 million looking toward 2009.
    At least three Democrats are calling for a minimum tax increase coupled with budget cuts, and the county has started working on its budget months ahead of schedule; it must adopt a budget by Nov. 1.
    County officials are also suggesting they may take steps this year to reduce costs to lessen 2009’s problems. The scope of the reductions has not been determined.
    “We are starting the process early. When you lose a million here and there, you have to look at the budget earlier,” said Legislator Philip Fields, D-Schenectady, chairman of the Legislature’s Ways and Means Committee. “There are gaps in revenues, which are estimates and they change.”
    County Manager Kathleen Rooney, who develops the tentative budget that goes to the Legislature in October, said “overall, we will have less money,” compared to projections, and “we may need to look at things differently. We are doing a number of things to mitigate any potential hits.”
PLANNING, NOT PANIC
    County Legislature Chairwoman Susan Savage, D-Niskayuna, called the revenue projections part of the planning process and urged calm.
    “The county is a solvent corporation. We are undertaking a real-round budget process, which is to continue looking at ways to maximize efficiences [and] work toward a streamlined budget in 2009,” Savage said.
    In the end, Fields said, “we will balance the budget. The balance is not there yet. It is premature to say what the results will be, but certainly we may have to start thinking about things to sacrifice. We are not looking at balancing the budget on the backs of taxpayers.”
    Fields plans to hold a special meeting Saturday to outline the county’s financial predicament. He plans to invite economists and representatives of the New York State Association of Counties.
    “We can bring the problem to the people and let them understand the tough decisions we may face,” Fields said. “It is going to take a lot to get there. Mountains will have to be moved.”
    Mark Lavigne, spokesman for the state association of counties, said Schenectady is not alone in its fi scal problems. “There are other counties, like Chautauqua and Rockland, facing shortfalls.”
    He said “right from get go, and before you look at the governor’s budget, you have a 3 percent increase in Medicaid spending. And that’s without any additional programs and service cost increases.”
LOOKING FOR CUTS
    Schenectady County adopted a $283.4 million budget for 2008 with a 5 percent increase in the property tax levy. The budget itself only grew by 1 percent in expenditures from the prior year.
    The initial tax levy increase was 9.7 percent. To reduce it, the Democrat-controlled Legislature cut around $3 million from the budget. The items cut came from so-called discretionary areas in the budget, areas such as supplies and equipment, staffing and professional service contracts.
    Under the adopted budget, a homeowner in the city with a house valued at $110,000 would pay $1,107 in county taxes while a homeowner in Glenville would pay $773 for a house with the same value.
    Legislators say approximately 80 percent of the county budget is mandated, leaving approximately $30 million open to cuts. Non-mandated areas include services for senior citizens, veterans and youths, public health and the library system, among other departments.
    Fields said the county’s fiscal problems reflect a mix of many factors. He said the county will see approximately $7 million less than expected in sales tax revenues and $1.5 million less in mortgage receipts between 2007, 2008 and 2009 due to a worsening economy. Except for one year, the county has budgeted conservatively for these revenues. It over-estimated the fi gures for the 2008 budget.
    The county also will lose approximately $2.7 million in federal revenues for the Glendale Home, the county-owned nursing home, and for the county’s program for children with special needs, Fields said. The county expects to spend more than $7 million in 2009 to subsidize the Glendale Home.
MANDATED BURDENS
    Should Gov. Eliot Spitzer’s Executive Budget take effect, the county could also lose an additional $1.5 million in state aid and would have to pay more for some mandated programs. The governor’s budget shifts approximately $77 million in costs to local counties in 2008 and 2009, the state association of counties said.
    Fields said the county expects to see large cost increases in 2009 in areas over which it has little or no control. Employee health insurance and wages will increase by $3 million; the county’s debt will increase by $1 million due to interest in bonds as part of the GE sales tax repayment settlement; and the county will see a $1 million increase in local Medicaid program costs, despite a state government cap.
    The county is also under state mandates to increase the number of correctional officers at the jail and to correct deficiencies in the county courthouse, costs that will add hundreds of thousands, if not millions, to the county budget, Fields said.
    “We would like to see changes in mandates; they are onerous,” he said.
PATRONAGE PROBLEM
    Minority Leader Robert Farley, R-Niskayuna, sees the county’s fi - nancial problems differently.
    “They spend way too much money. It’s not a revenue stream problem; it is a spending problem,” he said.
    Farley accused Democrats of adding to the cost of government by hiring people for patronage positions in government.
    “They have far too much patronage,” he said.
    He listed the $80,000-per-year job Democrats gave to former Legislator Edward Kosiur in January as well as several staff jobs in the county Legislature department.
    Republicans followed the same practice when they controlled county government for 37 years, said county Legislator Vincent DiCerbo, D-Schenectady. A review of the list of management-confi - dential employees shows numerous well-connected current and former Republican Party officials, ward leaders, deputy mayors and party chairmen and their children and relatives.
    Some current and past GOP patronage appointees include pharmacist Ralph Comanzo, a former GOP majority leader; Assistant Public Defender Joseph Litz, brother of Republican Rotterdam Town Justice Ken Litz; and Chief Defense Trial Attorney Stephen Signore, brother of Republican former Rotterdam Supervisor Joe Signore.
    Farley said Republicans in the Legislature “offered many solutions, and they have not accepted anyone of them. They don’t care to listen, and now it has come back and bitten them on the tuchis.” Republicans “stand for fiscal responsibility, and we will stand up and fight for our taxpayers,” he said.
    DiCerbo said Republican proposals listed savings based on guesswork or were not workable when analyzed.
TAX PAIN POSTPONED
    Two Democratic members of Fields’ Finance Committee, as well as Fields himself, said the Legislature should have raised property taxes by the cost of living to help offset the current revenue predicament.
    “We should have had a minimum cost of living increase, but you have people in towns where the county tax is a good size and who are feeling the pain of taxes,” Fields said. “We tried to minimize the pain, but if you keep taxes low, you create a seesaw level and perhaps have higher taxes in future years.”
    DiCerbo, chairman of the Legislature’s Economic Development Committee, said “taxes should have been raised.” He said the county now faces “drastic cuts or increases in property taxes, sales tax and fees.”
    One thing the county cannot do, he said, is tap its fund balance, a practice commonly used in prior years. The current fund balance is approximately $15 million, which is less than the 7 percent or 10 percent recommended by the state comptroller’s office and down from $30 million a few years ago.
    “It is a serious issue, and we are definitely worried. We do not want to jeopardize the county’s longterm financial picture,” DiCerbo said. “I will consider deep cuts and tax increases.”
    Michael Petta, D-Schenectady, said during the past two years, “I wanted them to put in a 2 percent or 3 percent increase, and we should have been more conservative with sales tax revenues.”
    Petta said Democrats instead put in a zero percent tax increase one year and raised the amount of sales tax they would collect. “As a result of the recession, they ended up $3 million less than expected” for one year, he said. “They were overly optimistic. They felt with all these new places opening, it would boost sales tax.”
    Petta said he would consider increasing the county’s sales tax by one-half of 1 percent; it’s now at 8 percent. The increase would generate $8 million to $10 million in revenues for the county, he said.
    “I am not looking forward to this,” Petta said.
    The county’s fiscal crunch could cause it to delay some major capital projects, such as dealing with the county library and the TrustCo building.
    The library is slated for a $7.7 million rehabilitation, paid for in part with county money. The county purchased the TrustCo building several years ago to serve as a new county office building.

Someday they will learn that they need to cut spending and eliminate the pork in their budget. Maybe the Schenectady County Council and Metroplex should sign up for a course of economics 101 at SCCC and learn how to construct a budget that works.

First, for Gazette reporter Michael Lamendola to characterize the 2008 budget as an "austerity" budget illustrates his naivety or his political bias in favor of the Democratic majority in the county government.  I attended the public hearing, there was nothing austere about the budget.  The positions in county government that were eliminated were postings that had not been staffed.

Schenectady County has the 8th highest property taxes in the entire nation. Despite that distinction, our Democratic majority in the County Legislature is proposing tax increases.  The residents of the City of Schenectady and the townships of the county saw a year over year increase in their county taxes of between 6% and 20% in 2008.

It is time for the tax and spend County Legislature to discontinue the creation and award of high paying political patronage positions.  Many of these positions, including Kosiur's Youth Program Commissioner position, should be eliminated.  The funding to Proctors that was approved in the fall needs to be discontinued.  The theater, with the millions of dollars of investment to date must become self-supporting.

An increase in the county sales tax, as proposed by Legislator Petta will further decrease sales tax receipts as consumers purchase goods in surrounding counties.  Increasing taxes, rather than reducing spending, is the path taken by those without courage or wisdom in that requires no hard choices and decisions to be made.

The taxpaying electorate must demand accountabilty of the tax and spend Democratic majority that control the city and county governments.

Finally, if the vast majority of county spending is mandated by state and federal public assistance programs, as asserted by Legislator Fields, a study should be performed to determine why the expenditures are so exorbitant in Schenectady County.  Does Schenectady County have a greater percentage of residents who are receiving public assistance than in surrounding counties?  If yes, why?  If no, why are we not hearing of similar budget gaps in those surrounding counties?  Are benefits received by those on public assistance guaged to the local cost of living which is presumed to be lower than in downstate areas?

The fleecing of Schenectady County taxpayers continues ...

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The county also will lose approximately $2.7 million in federal revenues for the Glendale Home, the county-owned nursing home, and for the county’s program for children with special needs, Fields said. The county expects to spend more than $7 million in 2009 to subsidize the Glendale Home.

Sell the Glendale home to a private investor. The county should not be in the nursing home business.

The state mandates private nursing homes to allocate some beds for government pay. (medicare/medicaid). The rest is private pay. When nursing home residents use all of their personal assets, then medicare/medicaid take over.

They should do the same with Glendale.

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DiCerbo, chairman of the Legislature’s Economic Development Committee, said “taxes should have been raised.” He said the county now faces “drastic cuts or increases in property taxes, sales tax and fees.”

Gee, I wonder which route they will take? :o
Yes, that's my shocked looked!!! They are apparently not happy with the distinction of 8th highest taxed, now they must work on being first. This is what happens when you play politics with the budget.

Quoted from JoAnn

Sell the Glendale home to a private investor. The county should not be in the nursing home business.

The county shouldn't be in ANY business, period.

The whole affair turns my stomach. In the end, we all know that a tax increase gets favored over cutting spending by our esteemed legislators.

Here's a simple, if not knee jerk, solution. Vote EVERY sitting member out that comes up for re-election. We didn't become among the highest taxed overnight so I don't buy it's solely the Democrats at fault. Another 1/2% sales tax increase really rubs me...we're getting doubly banged between paying income tax and sales tax.

Where does it end?

Quoted from Michael

Where does it end?

Just like you suggested. In the voting booth!

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Quoted from Michael:
... Vote EVERY sitting member out that comes up for re-election ...

Michael,

I hope that your statement is a result of your frustration but does not reflect your position.  There are a
few individuals on the Schenectady County Legislature who act with fiscal restraint and have voted against
resolutions that propose irresponsible spending.  Unfortunately, their voices are not heard as they are in the minority.

It is easiest to throw the baby out with the bath water.  I prefer, however, to stay informed of the actions of our
elected leaders and to sort the wheat from the chaff.

Let us replace the tax and spend liberals in the Democratic majority party.  We can begin with Judy Dagastino in
her reelection bid in 2009.  I have heard that her party intends to run her with Bob Godlewski in District 4.  Those residents in other districts will have to do their parts too if we are to see a change.

$16M shortage is unbelieveable. I can't believe voters continue to re-elect legislators who continually vote for patronage jobs that put us further into debt. I would not be suprised if we are number one and not number 8 someday. A close review of each and every line of the budget should be conducted to determine what is necessary and what is not. There have to be places in the budget that can be drastically cut. Regardless of what political party these legislators are- they need to speak up against spending money we do not have and can not afford. I have been saying since it was first brought up that the county road patrol is a tremendous waste of taxpayer money. The road deputies serve no purpose other than writing traffic tickets. That comes at an expense of 2 million dollars a year. Before the legislators decided to spend 2 million a year of our money, let me ask one question. What kind of analysis was done by police experts or unbiased police officials to come to the conclusion that another police agency was necessary in Schenectady county? If I remember correctly- the decision was based on the false promise of road patrol solely to Duanesburg and Princetown. Now, the sheriffs write tickets in every city and town in the county so they can go to court on every court night and get tens of thousands in overtime each, every year. That county budget could easily be trimmed by 3 million a year if the legislators were willing to make tough decisions, but I do not see many of them willing to speak up or question the creation of jobs that cost millions a year to us. If you are aware of any county legislator who spoke up against the creation of the jobs I refer to or ever ask about what kind of analysis was done to justify such an expenditure, I would like to hear about it- so I know who to vote for. :o

I can't speak specifically to the Legislators' views and positions re: the Sheriff's Road Patrol. However, I can say with certainty that District 4 Legislator Joe Suhrada has been a vocal opponent to increased spending including the creation of and staffing of patronage positions.

j, I didn't realize until after we had a previous discussion some months ago that the road patrol was created solely for D'bur and P'town. The patrol was set into motion before I was on the board and a newbie when it started. It was created because we did not have a police force designated for our area. When and why did the expansion occur into the towns and cities that already have a police force? I'm sure a close review of each line item is a normal procedure, but they reviewed and decided to stick it to us anyway. With the number of staff the legislaure has to do their work for them I have to wonder if they even bother to understand what makes up each line or do they just take staff word on it.

The reports I've seen from the road patrols (that appear in the gazette blotter summary) show a LOT of drug/dwi/dui/traffic stops. Living on a route that they frequently travel from their HQ to those remote areas, I see them stopping people all the time. They're obligated, as law enforcement officers, to react if they witness a situation - doing any less would be neglectful. They've made numerous pot busts in cars on the road, within city limits - that somehow the city PD couldn't/didn't.

Do I think they're patrolling the city streets? No, there's no evidence to back that up.
Do I think they're reacting and stopping people during their normal routes out to D'burg and P'town? Yes - and frankly, if the SPD can't do it, I'm glad they are. Nobody should be criticizing the work these folks do. If they didn't stop these folks, nobody would have. Are the one's they're stopping in the midst of transporting drugs etc to D'burg/P'town? I hope so, for your sakes.

Hhhhhmmmm----SHOW ME THE MONEY TRAIL,,,WHERE DID IT GO??,,,,THERE IS NO SHORTAGE,,,IT WAS THERE LAST YEAR,OR THE YEAR BEFORE? OR THE YEAR BEFORE? OR THE GENERATION BEFORE?----STOP FOLLOWING IN YOUR FATHERS FOOTSTEPS ON THIS ONE.....

GET THE MONKEY OFF OUR BACKS.....UNIONS, ORGANIZATIONS ETC ETC....

I agree with Michael vote out all current sitters and let the babies come in----this is our daycare....

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SCHENECTADY COUNTY
Senior citizen services discussed
Public hearing today about funding
BY MICHAEL LAMENDOLA Gazette Reporter

    A majority of senior citizens in Schenectady County wants services and programs that allow them to remain in their homes for as long as possible, according to county research.
    Delivering those services and programs — and how to pay for them — are subjects of a public hearing today from 10 a.m. to 1 p.m. in the county Legislative Chambers.
    The Schenectady County Department of Long Term Care Services is sponsoring the hearing, a federal and state requirement as part of its 2008-2012 service plan development.
    Today’s hearing will allow the public to discuss funding and service issues and more, said Cathyrn Berne-Smith, Long Term Care Services manager. “We urge people to come out and speak. We are looking at what we do to see if we can do it better and protect services,” she said.
    The county proposes to spend $3.4 million next year on services for senior citizens. The money comes from federal, state and county sources, all of which are subject to change, Berne-Smith said. “We don’t know what is going to happen on the state and federal levels,” she said.
    Schenectady County provides $1.3 million toward these costs; it is not required to provide services to senior citizens but does as a quality-of-life enhancement, Berne-Smith said. “The county is very generous in its support of senior services.”
    The level of that support could possibly change, said county Legislator Philip Fields, D-Schenectady, chairman of the Legislature’s Ways and Means Committee.
    The county is looking at a projected $12 million to $16 million revenue shortfall going into 2009, forcing officials to examine all nonmandated programs for cost savings, he said.
    “That is an area we will look at. We have a large senior population, one of the highest percentages in region, and at the same time we are not getting satisfactory funding to fulfill the things we need to do. Therefore, we have to move a little hill here and there” to balance the budget, Fields said.
    “We need to streamline along the lines of least resistance,” Fields said. “County government will definitively improve and become even more efficient.”
    The Long Term Care department provides a variety of services to people age 60 and older, some directly and some under contract. Fields said the county will have to re-examine all contracts with outside agencies as a way to reduce costs.
    The department’s services range from providing home health aides, legal assistance and respite to transporting meals to shut-ins and offering meals at community sites. It also administers the county’s Home Fuel Tax Rebate Program and the Home Energy Assistance Program. It has contracts with such agencies as Cooperative Extension, Visiting Nurse Home Care and Eddy Senior Care.
    Berne-Smith said the four-year plan offers some program enhances at little or no cost. She said the department, for instance, updated its Web site, to provide more information on programs and services to senior citizens.
    The department developed its four-year plan using information from focus groups, interviews and surveys. It sent 5,000 questionnaires to senior citizens in the county, receiving 675 back, or 14 percent.
    About 32 percent of respondents listed their No. 1 concern as remaining in their homes or returning to their homes and participating in family and community life. They wanted to see services that helped them with finances and medical issues, and they also wanted help in modifying their homes for safety and access concerns.
    Some 31 percent of the respondents said access and availability of transportation is a major consideration for their remaining in their homes. Nearly half said they own vehicles but are concerned about rising fuel costs, car repairs and maintenance. More than onethird said they completely depend on public transportation, family, friends and other community options for transportation.
    Lack of transportation, especially at off hours and in rural areas, is challenging and expensive for the seniors, according to survey results.
    Other survey results showed senior citizens want help paying for their prescription medicine, home repairs and home energy costs. Personal safety, especially for seniors living alone, is a priority. Senior citizens said they wanted to see additional police patrols, neighborhood watch groups and presentations on keeping safe within the community and the home, the survey said.
Reach Gazette reporter Michael
Lamendola at 395-3114 or
lamend@dailygazette.com

We have been stripped of our clan/tribe traditions....AARP cant replace that....they can only take our money via lobbying.....

Quoted from Brad Littlefield

Michael,

I hope that your statement is a result of your frustration but does not reflect your position.  There are a
few individuals on the Schenectady County Legislature who act with fiscal restraint and have voted against
resolutions that propose irresponsible spending.  Unfortunately, their voices are not heard as they are in the minority.

It is easiest to throw the baby out with the bath water.  I prefer, however, to stay informed of the actions of our
elected leaders and to sort the wheat from the chaff.

Yes and no, Brad. I must admit I still try to do a little wheat sorting myself when it actually comes down to pulling the lever so I respect what you are saying entirely. However, it is getting increasingly more difficult to send even those who stand up against it back when they can't find a way to affect the outcome. Before I incur the holy wrath from the masses on that comment, I'll try to explain it somewhat. If I get a viable alternative to an incumbent (let's say in a primary, for instance) I'll send a fresh set of legs into the game to see if maybe he can bust one loose since my champ hasn't been getting it done even with a great effort. Do you follow me? Granted, that approach is for wider fields and doesn't really get a chance in practice, especially in our County races.

You're right, though. I am frustrated and the comment was bad hyperbole. More and more, however, I find myself willing to take a chance on newcomers, 'cause let's face it, our seasoned pros just ain't gettin' it done.

I tend to swing more toward Michaels views on this one. That is why I voted for and supported Angelo, he is a fresh face and new set of legs. The same old same old is NOT working. I have a substantial amount of faith in him. He is a good man and appears to want to simply do whats right for his district. I have faith in Jeff McDonald, also a newcomer. Lets keep our eyes glued to these two and see how they do when they get a few months behind them. On the other hand we lost one of the greatest representatives of our district, Carolina, she would have been automatically lost if we go by your theory entirely Michael.

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SCHENECTADY COUNTY
Service agency fears loss of funding
Catholic Charities helps out seniors
BY MICHAEL LAMENDOLA Gazette Reporter

    A major provider of meals, adult day care and medical transportation to senior citizens in Schenectady County is worried the county may reduce services because of its financial problems.
    The county pays $1.1 million more toward these programs than is required under federal and state matching requirements; such programs are considered non-mandated but essential.
    John Steele, executive director of the Catholic Charities of Schenectady County, shared his concerns during a public hearing Wednesday. Approximately 20 people attended, most of them representing service providers.
    The Schenectady County Department of Senior and Long Term Care Services sponsored the hearing. The hearing is a federal and state requirement as part of the department’s development of its four-year service plan.
    “You can see that the county is having fiscal issues. The concern I have as a major provider is cutbacks in funding for what we consider essential services,” Steele said. “The bottom line is, how do we protect services?”
    Catholic Charities receives approximately $1 million under contracts with the county to provide congregate and home-delivered meals and transportation services, as well as other programs. Its allocation is nearly one-third of the $3.4 million the county proposes to spend this year for programs and services to assist the county’s large population of people aged 60 and older. That money is a combination of state, federal, local tax revenue and contributions from the nonprofit agencies.
    Steele said the county’s allocation is the same amount it spent in 2007. Meanwhile, he said, Catholic Charities is not receiving an increase in county funding, despite seeing its fuel and food costs for its programs increase.
    Steele said Catholic Charities actually had to reduce staff in 2007 because it lost $46,000 providing case management assistance to senior citizens under the county contract.
    “We are doing more with less,” Steele said. “We have adapted to that loss and we are working with the county to find more efficient ways to provide essential services.”
    Schenectady County officials said the county is facing a revenue shortfall of between $12 million and $16 million going into the 2009 budget process. They plan to review all programs and services, especially nonmandated services such as those provided to senior citizens and youths, to find ways to reduce costs and balance the budget without excessive tax increases. The county must adopt a budget by Nov. 1.
    Paul Deierlein of the state Office for the Aging, who attended the public hearing, said counties must provide a 10 percent match to receive state and federal grants to operate senior citizen programs. Schenectady County, he said, receives state grants for senior citizen programs based on a strict formula.
    Schenectady County exceeds the match, said Senior and Long Term Care Services Manager Cathryn Bern-Smith. She described the county as generous in its support of programs for senior citizens.
    The county receives $1.4 million in state and federal funds. It spends $1.3 million on the programs. The remainder of the projected $3.4 million is overmatch and agency contributions.
    Deierlein said while federal grants for senior citizen programs have remained flat, Gov. Eliot Spitzer is proposing to increase program funding in his Executive Budget. Both the state Senate and Assembly are presenting their own plans. The state must adopt a budget by April 1.
    Deierlein said the state will not pick up the difference should Schenectady County cut back its funding to cover just the 10 percent match. “The state will not pick up the slack.”
    Other speakers at Wednesday’s hearing said the county needs to hire additional staff to administer programs for senior citizens and needs to develop programs to assist senior citizens with mental health problems. Some praised the county plan for its comprehensiveness and its efforts to improve the lives of the county’s senior citizens.
    Larry Czech, a senior citizen who is handicapped and lives in Schenectady County, did not attend the hearing but learned of it through media accounts. He said the county does not do a good enough job informing senior citizens about services available to them.
    “One of my issues is that I know more about Fulton, Montgomery and Albany counties’ senior programs than I do about Schenectady’s,” Czech said.
    He said the department’s name is “partially misleading. Other counties have offices for the aging, Schenectady has the department of senior and long term care services.”
    The county merged its offi ce for the aging with its senior and long-term care department several years ago.
    “They need to do a better job of getting around and letting people know the services they offer,” Czech said.
    Bern-Smith said the department is addressing the issue this year. The department added a link to the Schenectady County Web site. The Web site offers links to NY Connects, the state Office for the Aging and other counties.
    Czech also criticized the location of Wednesday’s meeting, held in the County Office Building on State Street.
    He said parking is difficult for handicapped people to find in the area and that the terrain is difficult for someone with a walker, which he has, to negotiate. Sidewalks leading to the county office building Wednesday still showed signs of the previous night’s winter storm, making foot travel hazardous.

I read in the paper today that the NYS Comptroller had no trouble auditing the past Republican Administration of the town of Colonie after the town ended up with an $18 million dollar shortfall. Schenectady has a $14 million dollar shortfall and I have not heard a word from the state about auditing Schenectady or the Metroplex. Could it be because Schenectady is run by a dysfunctional, arrogant, tax and spend Democratic controlled government that the Dems in Albany won't investigate the shortfall?

Is Catholic Charities just another "name" for a government funded welfare program or is it a CATHOLIC organization that is being funded by the government?

The article states that the county is paying to Catholic Charities $1.1M MORE than required by mandates. This should be discontinued. JoAnn, your question is an interesting one. I will be looking for clarification.

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Quoted from shadow:

I read in the paper today that the NYS Comptroller had no trouble auditing the past Republican Administration of the town of Colonie after the town ended up with an $18 million dollar shortfall. Schenectady has a $14 million dollar shortfall and I have not heard a word from the state about auditing Schenectady or the Metroplex. Could it be because Schenectady is run by a dysfunctional, arrogant, tax and spend Democratic controlled government that the Dems in Albany won't investigate the shortfall?

Shadow,

I was questioning that myself. Could it be that the new Democratic majority in the Town of Colonie government requested the audit to prove that the deficit resulted from management during Republican rule?

You are correct that the NYS Office of the Comptroller should now turn its attention to Schenectady County with the recent announcement of a potential $16,000,000 budget shortfall. The financial audit of the Schenectady Metroplex must be performed as part of the investigation of government in Schenectady.

I encourage you to write a Letter to the Editor of the Daily Gazette that points out this inconsistency in application of
municipal audits performed by the Democratic State Comptroller.

http://www.ccrcda.org/agen_list_.asp#

It is The Catholic Charities of The Diocese Of Albany.

Hey, the county funds planned parenthood, alternative religions - why not catholics?

Catholic Charities provides a HUGE service to members of the community - of any faith. The provide meals, counseling, HEAP/PA assistance to seniors, tax filing assistance at little or no cost, etc.

Despite it's affiliation with the Catholic Church, this service is needed as much as St. Clare's Hospital is - another Catholic Diocesan institution funded by the County/State and Federal Govt.

I'm not questioning their services. The Catholic Religion is the #1 contributors in the world. They are also the richest! And I know people who receive benefits from Catholic Charities. But as I'm reading their website, there is a link>>>>> http://www.rcda.org/

So they must be a tax exempt organization, correct?

Ya, they're definately tax exempt

http://www.ccrcda.org/links.asp

Catholic Charities Network Links

  Catholic Charities USA
  Catholic Charities Disabilities Services
  Community Maternity Services
  St. Peter's Hospital
  St. Mary's Hospital
  St. Clare's Hospital
  Seton Health
  Teresian House
  LaSalle School for Boys
  St. Catherine's Center for Children
  Roman Catholic Diocese of Albany
  The Evangelist
  New York State Catholic Conference
  Fidelis Care New York
  Caregivers Program of Catholic Charities
  Catholic Charities of Saratoga, Warren & Washington Counties
  United Tenants of Albany
  Catholic Relief Services
  Care For Life
  DePaul Housing Management
  Catholic Campaign for Human Development
  Catholic Charities of Albany & Rensselaer Counties
  Hispanic Outreach Services
  Sunnyside Center
  Avila Retirement Community
  The Foundation of the Roman Catholic Diocese of Albany
  The Cathedral of the Immaculate Conception
  Catholic Schools of the Diocese of Albany
  Cathoilc Charities Housing Office
  Catholic Charities of Fulton and Montgomery Counties
  Catholic Charities of Herkimer County's Prevention Program
  2007 Bishop's Appeal

Can The Catholic Charities of The Diocese Of Albany donate to political campaigns? Being that they are an exempt status?

http://projectfairplay.org/faq/

Q. What types of activities are prohibited under the IRS Code?

A. Church endorsements of candidates and statements of opposition to candidates are strictly forbidden and can result in revocation of a church’s tax-exempt status. (However, clergy may endorse candidates as individuals in forums outside the church or work on behalf of candidates during their personal time.)
In addition, churches may not contribute money to candidates, solicit contributions on their behalf or donate to candidates’ political action committees. Churches may not set up their own PACs.

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Catholic Charities receives approximately $1 million under contracts with the county to provide congregate and home-delivered meals and transportation services, as well as other programs.

I didn't know a government could be in a contract with a religious organization.

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The county pays $1.1 million more toward these programs than is required under federal and state matching requirements; such programs are considered non-mandated but essential.

Why are we paying 1.1M more than we should? It isn't even a state mandate.

The catholic church has a vote in the UN that the US is part of.....they may not be able to give money directly to a person but they can feed money to systems that please.....

Quoted from Rene

On the other hand we lost one of the greatest representatives of our district, Carolina, she would have been automatically lost if we go by your theory entirely Michael.

I suppose you and Brad are right, ultimately. Rarely can you apply an idea like I threw out there without some flexibility. I guess it's back to sorting wheat...but I'll still look to throw an incumbent out any reasonable chance that presents itself. Fair enough?

Fair enough. I also got to thinking about the irony of my comment........I too am an elected official, sometimes I forget ;)

http://www.dailygazette.com

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County deficit defies rational explanation

    Hidden within the paragraphs of the Feb. 24 article, “Officials see up to $16M shortage,” there was a surprisingly honest statement from the Schenectady County Legislature on how they are confronting a multimillion-dollar revenue shortage.
    Allow me to summarize their position on this matter in the form of a “Dear Taxpayer” letter composed from the legislators’ quoted statements in the article: Overall, we will have less money. When you lose a million here and there, you have to look at the budget earlier. It’s premature to say what the results will be, but certainly we may have to start thinking about things to sacrifice. It’s going to take a lot to get there. Mountains will have to be moved.
    We can bring the problem to the people and let them understand the tough decisions we may face. We tried to minimize the pain, but if you keep taxes low, you create a seesaw level and perhaps have higher taxes in future years. Taxes should have been raised.
    It’s a serious issue, and we are defi - nitely worried. We do not want to jeopardize the county’s long-term financial picture. [We] were overly optimistic. [We] felt with all these new places opening, it would boost sales tax revenue. I am not looking forward to this. Signed: Schenectady County Officials.
    Pain? Sacrifices? Worry? Imagine if you, as an investor in some public company, received this letter from that corporation’s board of directors. Or, to be more analogous to the Schenectady scenario, suppose each board member shared with you his or her dismal outlook independently, and then left you to form your own impression of the corporation — something like this letter. Would you continue to invest? Would you continue to trust those decisions-makers?
    Perhaps the county Legislature is making an even bigger statement, that it’s tired and that room should be made for fresh ideas.
    JONATHAN MARKOWICZ
    Glenville

http://www.dailygazette.com

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SCHENECTADY COUNTY
Officials expect $343K in drug savings
County seeking to cut into shortfall
BY MICHAEL LAMENDOLA Gazette Reporter

    Schenectady County continues to whittle away at a projected $12 million to $16 million revenue shortfall going into 2009, county officials said Friday.
    Small steps are being taken while officials wait to see the fi nal state budget, which will provide a clearer picture of the scope of the situation.
    In the latest effort, Susan Savage, D-Niskayuna, chairwoman of the county Legislature, announced the county expects to save $343,444 this year in prescription drug costs through its pharmacy benefit manager, Express Scripts.
    “In our ongoing effort to save
taxpayer dollars,
we are taking decisive action to reduce the cost of the health-care benefits we provide our employees,” Savage said.
    She said the $343,444 represents an 8.5 percent reduction in county costs to purchase prescription drugs on the American market for its employees. Express Scripts negotiates on behalf of the county for discounts from drug manufacturers.
    New York authorities sued Express Scripts in 2004 for fraud, alleging the company pocketed as much as $100 million in drug rebates that should have gone to the state.
    County Legislator Philip Fields, D-Schenectady, chairman of the Legislature’s Ways and Means Committee, said this is the fi rst time since 2004 the county has negotiated rebates and cost reductions with Express Scripts.
    “Prior to 2004, Schenectady County did not receive rebates on its drug buys and it did not negotiate with a pharmacy benefit manager on the price it would pay for drugs,” Fields said. “This is a new way of doing business — a better way of doing business.”
    Fields said the county will end up paying less for employee prescription drugs in 2008 than it did in 2004. “By moving away from the old way of doing business and seeking creative solutions, we are saving taxpayers nearly $2 million each year,” he said. proximately $2.7 million in federal revenues for the Glendale Home, the county-owned nursing home, and for the county’s program for children with special needs, Fields said. The county expects to spend more than $7 million in 2009 to subsidize the Glendale Home.
    In addition, the county would lose revenue and have to pay more for state-mandated programs should Gov. Eliot Spitzer’s executive budget take effect as proposed, Fields said.
    The governor’s budget would cost counties approximately $84 million in 2008 and 2009, cutting reimbursements to county-run nursing homes, Consolidated Highway Improvement Project aid and aid to community colleges, according to an analysis by the New York State Association of Counties.
    While revenues remain questionable, county costs are expected to increase, Fields said. He said employee health insurance and wages will increase by $3 million; the county’s debt will increase by $1 million due to interest in bonds as part of the GE sales tax repayment settlement; and the county will see a $1 million increase in
    The county spends approximately $5 million annually on prescription drug costs for employees. It spends approximately $1.3 million per year through the CanaRx program, mostly for name-brand drugs purchased in Canada, Australia and Britain, and spends the rest on generic drugs purchased in the United States, either through local pharmacists or through mail order via Express Scripts.
    Fields called the latest savings “huge for us” in efforts to produce a balanced budget for 2009. “All these things help. Some things we can do internally. In some things, we have no choice,” he said.
    Fields said the county will see approximately $7 million less than expected in sales tax revenues and $1.5 million less in mortgage receipts due to a worsening economy going into 2009. Sales and mortgage taxes are primary revenue sources for the county, along with property taxes.
    The county will also lose aplocal Medicaid program costs, despite a state government cap.
    The county also remains under state mandates to increase the number of correctional officers at the jail and to correct deficiencies in the county courthouse, costs that will add hundreds of thousands, if not millions, to the county budget, Fields said.
    “We are hoping the state will reverse some mandates in their budget process,” Fields said. He expects to conduct a special budget meeting in April, after the state adopts a budget, to explore county options.
    The county Legislature, Fields said, does not want to increase revenues by raising property taxes.
    Fields likened county government to the operation of a large ship.
    “We are trying to turn a small rudder on a giant ship. When you steer the ship, the wheel is whirling and whirling and the ship is barely turning. It takes a while to see changes,” he said. “Eventually the ship aligns itself. That alignment is under way.”

Wait a second - hold the phone.

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In the latest effort, Susan Savage, D-Niskayuna, chairwoman of the county Legislature, announced the county expects to save $343,444 this year in prescription drug costs through its pharmacy benefit manager, Express Scripts.
    Express Scripts negotiates on behalf of the county for discounts from drug manufacturers.
    New York authorities sued Express Scripts in 2004 for fraud, alleging the company pocketed as much as $100 million in drug rebates that should have gone to the state.
    County Legislator Philip Fields, D-Schenectady, chairman of the Legislature’s Ways and Means Committee, said this is the fi rst time since 2004 the county has negotiated rebates and cost reductions with Express Scripts.

On Feb 12, Judy Dagostino said:

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The Canadian drug program will save county taxpayers $1.8 million in 2008 — a 3 percent reduction in their county real property tax rate, and it will save county employees and retirees several hundred thousand dollars on their copays.

If this company was crooked enough to be sued by the NY Attorney General in 2004, How come the democratic leadership is doing business with them? Doesn't the county Sounds to me like someone's in bed with someone here.

Which is it - are we going to save $1.8 Million - or $343,444 ?

Something REALLY fishy is going on in the County Office Building - and it stinks to no end.

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Fields likened county government to the operation of a large ship.

A LARGE SINKING SHIP.

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Fields likened county government to the operation of a large ship.

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Quoted from Rene:
A LARGE SINKING SHIP.

Much like the Titanic. A ship in which an exorbitant amount of money was invested. It, too, failed due to poor leadership in a troubling environment.

The builders of the Titanic said it was unsinkable, Schenectady County Council says things are getting better in Schenectady all we have to do is raise the taxes and fees, either way you look at it Schenectady will end up just like the Titanic only we're sinking into a sea of debt.

Quoted from MobileTerminal

Wait a second - hold the phone.

On Feb 12, Judy Dagostino said:

If this company was crooked enough to be sued by the NY Attorney General in 2004, How come the democratic leadership is doing business with them? Doesn't the county Sounds to me like someone's in bed with someone here.

Which is it - are we going to save $1.8 Million - or $343,444 ?

Something REALLY fishy is going on in the County Office Building - and it stinks to no end.

Who is in bed with this company you ask???? ask the unions of the public employees.....they are soooooooo honest....again, bad money following bad money......the government sues just to get into their pockets---no different than the local mob boss....who did the suing?---Andrew Cuomo or Spitzer???? hhhmmmm, very very interesting the web we weave.....that monkey is clever..... >:( :D

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....that monkey is clever.....

Indeed he was

http://www.dailygazette.com

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SCHENECTADY COUNTY
Budget squeeze to mean program cuts
Lawmakers face $10M revenue gap
BY MICHAEL LAMENDOLA Gazette Reporter

Hard times flow downhill, to paraphrase an old plumbing maxim, and Schenectady County may have to cut programs it has traditionally helped now that a financial squeeze is on. The Schenectady County Legislature is looking to close a projected revenue gap of at least $10 million going into the 2009 budget year, a county legislator said Monday, so trimming programs and services is under study.
gazette.com  “I cannot emphasize how critical our finances are. There are pressures and the hemorrhaging has to stop. We will have to go through multi years of corrections,” said Legislator Philip Fields, D-Schenectady, chairman of the Legislature’s Ways and Means Committee.
    Under review for cuts are day care, highway lighting, aging and youth services and local government, Fields said.
    The county funds hazardous material coverage through a contract with the Schenectady Fire Department, pays for some police protection in the city and pays to help operate the horticulture center in Central Park. It also pays millions of dollars to operate the countywide public library system and Glendale Home, both non-mandated services. Such programs and services represent approximately 20 percent of the budget; the rest are mandated state and federal programs over which the county has little control.
    “There may be some changes in who gets money in the long run. Maybe it is about time certain municipalities, which are doing better fiscally, pick up costs we have been funding,” Fields said.
    Fields called some of the proposals controversial, adding he has yet to discuss them in detail with his Democratic caucus. “We will have to resolve them, whether they are controversial or not,” he said. “We will find solutions and we will come up with creative things.”
    In the long run, Fields said, the county will have to “cut millions, not hundreds of thousands of dollars” to bring in balanced budgets for next year and thereafter.
    The county’s budget cycle runs Dec. 31 to Jan. 1. It usually has a budget in place by late October or early November. Legislators have not yet decided on any options.
    Fields said the county may also sell more of its surplus land and ask the Metroplex Development Authority to pay infrastructure costs on economic development projects which the county now pays.
    The county this year is selling 24 acres at the Schenectady County Airport to Fortitech, a creator of nutrition supplements, for $1.2 million. Fortitech plans to build a $4 million research center and warehouse there. The county also accepted $150,000 from Metroplex to build a road to the proposed Fortitech project. The county will own the road.
    In addition, the county is considering slowing down the pace of several major capital projects, such as the proposed $7.7 million rehabilitation and expansion of the central branch of the public library and work at Schenectady County Community College, Fields said.
    The county is scheduled to provide $5.7 million toward the library project, and it is responsible for sharing with the state half the costs of construction projects at SCCC. It may divert these funds to other purposes, county officials said.
    The county’s difficult fiscal picture is necessitating these considerations, Fields said. Revenues are declining while costs are increasing.
    To begin with, the county is looking at a structural budget deficit of at least $8 million going into 2009. Officials used the fund balance to close the deficit in the current budget. They are reluctant to use the same amount for 2009, for fear of depleting the account. The fund balance currently stands at approximately $20 million, less than 10 percent of the county’s $283 million current budget.
    Fields said the county is seeing for the first quarter of this year a decline in mortgage tax receipts and a reduced rate of growth in sales tax; these are now seen growing 1.5 percent vs. the usual 3 percent annual expansion. The current economic slowdown has affected both key revenue streams.
    On top of this, the county is losing $1.3 million in state and federal aid this year and expects to lose an additional $1.6 million in 2009. The state and federal cuts hit after county legislators approved the budget last year, as the state and federal governments are on different budget cycles.
    Meanwhile, county costs for Medicaid, to pay its bond debt and for employee wages and benefits continue to climb by millions of dollars going into 2009, Fields said. And the county remains under state mandates to increase the number of corrections officers at the jail and to correct deficiencies in the county courthouse.
    Fields said the county is trying to narrow the deficit gap this year through constant monitoring of costs and by trying to find ways to increase revenues. The county, for example, continues to achieve significant savings through its prescription drug program for employees and other savings in health care costs, he said.

How can this be, Stratton just got done telling us how well we were doing and that we had a $10 million surplus and that our bond rating was just lowered. Could Stratton have told us a little white lie about the finances in the county? Figures don't lie but liars can sure figure.

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... Fields said the county may also sell more of its surplus land and ask the Metroplex Development Authority to pay infrastructure costs on economic development projects which the county now pays....

Sounds like a more appropriate use of tax revenues than redistributing public revenues to private entities.

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... Fields said the county is seeing for the first quarter of this year a decline in mortgage tax receipts and a reduced rate of growth in sales tax; these are now seen growing 1.5 percent vs. the usual 3 percent annual expansion. The current economic slowdown has affected both key revenue streams....

Aren't sales tax revenues supposed to increase with the tens of millions of dollars of public revenues being distributed by the Metroplex to fund privately owned businesses including bars, restaurants, retail, etc.?

Is sales tax collected on all of the movie tickets that are being sold at the busy Bowtie Cinema, on tickets for all of the sold out performances at Proctor's Theater, on hotel room rates at the Hampton Inn, and on meals served at the newly opened restaurants in downtown Schenectady? ;-)

Quoted from Shadow

How can this be, Stratton just got done telling us how well we were doing and that we had a $10 million surplus and that our bond rating was just lowered. Could Stratton have told us a little white lie about the finances in the county? Figures don't lie but liars can sure figure.

Stratton is city - not county.

SHHHHHHHHHHH.....Don't question the dollars and cents to determine Metroplex's success. Just look at all the pretty buildings.

I'm surprised the Democrats released this information before they raised Metroplex's spending cap to $75 million. This certainly won't help their argument.

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Quoted from Cicero:
... Just look at all the pretty buildings.

ahhhh ... pretty

As far as I'm concerned so goes the city so goes the county as the Dems run both and some of the money that comes from the county goes to fuel the cities endless need for more money.

http://www.schenectadymetroplex.org

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The Schenectady Metroplex Development Authority's
cooperative efforts and investments are focused within the
Metroplex Corridor, with a particular emphasis on the downtown area.
We are guided by the three criteria developed by the
Metroplex Strategic Planning Committee:

to expand the county's property tax base;
to expand the sales tax base; and
to create and retain jobs.

After 10 years of the taxpaid Metroplex coupled by the tax reimbursement Empire Zone, how can there possibly be nothing short of a surplus? This just supports the opposition to a bonding increase for the Metroplex.

They certainly found an extra $80K sitting around for Mr. Kosiur though, didn't they? Not to mention the health/retirement benefits we will all be paying for FOREVER!! How DO these people sleep at night?

Quoted from bumblethru

They certainly found an extra $80K sitting around for Mr. Kosiur though, didn't they? Not to mention the health/retirement benefits we will all be paying for FOREVER!! How DO these people sleep at night?

On a bed stuffed with tax dollars.

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If P then Q??????

Surplus: Surplus is the amount by which unreserved and undesignated fund balance ...

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Main Entry: surplus value
Function: noun
Date: 1887
: the difference in Marxist theory between the value of work done or of commodities produced by labor and the usually subsistence wages paid by the employer

They say they're going to need to start looking at the budget earlier this year. We also need to look at this
budget this year and advise the County Legislature where we think they need to start making cuts.

Here's a link to the budget that was enacted for 2008.

It can be found on this page: http://schenectadycounty.com/FullStory.aspx?m=63&amid=796

or directly at this link: http://schenectadycounty.com/2008_Adopted_Operating_Budget_Oj0ii.pdf.file

Here's something that I found interesting in my beginning to read this again...

page 3/298, officially page 2 of the budget, after the header page...

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Major Fiscal Pressures

County expenditures are up $2.2M but more significantly revenues are down by $3.4M, resulting in a
$5.6M increase in levy over 2007. Unfortunately this reflects a 9.7% levy increase; as a result of
decreasing revenues, increasing mandated expenditures and a current reliance on surplus. Although
the increase is substantial, it must be viewed in context with what has transpired over the past
several years and benchmarked against what has occurred in neighboring counties. It also must
be viewed in context with current economic conditions. Pertinent facts are as follows:
• From 2006-08 the average tax rate increase is equal to 2.75% per annum;
• From 2003-07 Schenectady County increased its taxes 14.9%. The average rate increase for the
other Capital District counties during this period was 46.3%;
• The 9.7% increase can be attributed entirely to identified mandated cost increases and revenue
reductions.

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• From 2003-07 Schenectady County increased its taxes 14.9%. The average rate increase for the
other Capital District counties during this period was 46.3%;

Can't you just SEE it coming??

How about this for a start?  Let's slash the entire Legislature's pay...maybe 10% across the board?
                                                                                                           10% reduction
A1010.111 01001-Chairman of the Legislature 16,499                                    $14849.10
A1010.111 06001-Deputy Chairman of the Legislature 15,499                         $13949.10
A1010.111 05001-Vice Chairman of the Legislature 15,499                             $13949.10
A1010.111 02001-Majority Leader 15,499                                                     $13949.10
A1010.111 03001-Minority Leader 15,499                                                     $13949.10
A1010.111 04010-Legislator (10) 140,930                                                    $126,837.00
A1010.111 Total Regular Employees 219,425                                               $197,482.50

There's already a savings of $21,942.50, the price of 1 1/2 legislators.  Then, what additional work is done as
Deputy Chairman(Vince DiCerbo) or Vice Chairman (Judy Dagostino)?  Why should the be getting paid any
more than a non-bumped up Legislator?  In the new calculations, this would be an additional $1,265.40 savings.

The County Manager (Kathy Rooney) currently makes $120,000 per year...and she can't speak up for
herself, so the Legislature recently had to appoint a $60,000-per-year position for the Communications
Director?  What happened to getting rid of non-essential positions by attrition?  If this person only
makes half the money she does, maybe he's not worth it?  Shouldn't someone with "his MBA and
his bachelor’s degree in communications, and his years of experience with the United Way" be looking
a bit higher than a $60,000 per year patronage position?  Although, I must give credit, paying this
$60,000 position is better than paying the Assistant County Manager $85,000...until they fill THAT
behind other's backs.  Then, there's Ed Kosiur's position, at another $80,000
(http://www.rotterdamny.info/m-1195562645/s-30/).

So, my savings plan, slash 10% from the County Legislature, knocking back 2 Sub-Chairmen to
regular old Legislators, making Kathy Rooney take care of that part in her contract that we all have
to deal with (a.k.a. Other duties as assigned,), and disbursement of the position of the Assistant
to the Commissioner of Social Services for Youth Development position brings my immediate
savings to the taxpayer of...$161,942.50.  While it's only a beginning, it is 1% of the current
deficit that the county has to deal with.

...But I'm just a lowly resident.  Who am I to bring about possibilities for change?

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