Skip to main content

budget

Legal community makes a unified pitch at budget hearing to save Genesee Justice

By Howard B. Owens

It was a historic moment, Public Defender Gary Horton said.

"This may be the first time you have Judge (Robert) Noonan, (District Attorney Lawrence) Friedman and I all agree on something."

There was nothing but agreement from the two dozen or so speakers who took up the cause of Genesee Justice at the County Legislature's budget hearing Wednesday evening.

The budget proposal calls for the elimination of Genesee Justice as a department and moving most of its current functions into the probation department.

The change could save the county $237,000, but several speakers said that Genesee Justice saves the county maybe as much as $1 million a year by helping to keep people out of jail.

Nothing against the Probation Department, many speakers said, but probation officers won't take the same approach in dealing with offenders and victims which Genesee Justice has done successfully for 30 years.

Speakers praised Genesee Justice as a pioneering "restorative justice" program. They characterized probation as a law enforcement agency -- one that takes more of a punitive approach in dealing with offenders.

"Probation officers carry weapons, they make arrests," said Oakfield Justice Thomas Graham. "Genesee Justice is more of a social agency, they handle casework, and they work very hard to help people make it through without sending them back to jail."

After the meeting, Julie Smith, director of probation, said she disagrees with that characterization of her department.

"Probation is (also) an alternative to incarceration," Smith said. "There are about 700 offenders on our case load and if it wasn’t for us, they would be in jail.

"We are following offenders," Smith added. "We are checking up on them. We are in their lives."

According to County Manager Jay Gsell, the county budget picture is so dire -- more than 80 percent of the budget is state-mandated expenses -- that drastic measures are needed. The budget contains little that is discretionary and the direction of the legislature was to balance the budget without increasing the tax levy.

"If we were masters of our own fate, that would be a lot easier to do, but we’re not," Gsell said. "We are creatures of state government."

Genesee Justice is a pioneering agency in what is known as "restorative justice." It focuses on the needs of victims and offenders to help bring about some level of reconciliation, and to help offenders re-enter society as productive citizens rather treat offenders in a traditional law-and-order manner.

The local program was started with grants 30 years ago at a time when the concepts of restorative justice were rarely considered by judges or prosecutors. 

As one speaker noted, Genesee Justice has been cited in scholarly articles on restorative justice from around the world.

Among the functions handled by Genesee Justice are: supervising first-time DWI offenders who have been granted a conditional discharge; overseeing work-release programs and community service; helping victims of crime with getting through the judicial process; and receiving restitution payments and completing paperwork, as well as managing the "release-under-supervision" (RUS) program.

 

Genesee Justice took over RUS from probation 2002. RUS allows courts to release alleged offenders prior to trial who don't qualify for release under their own recognizance but do not necessarily need to be held on bail.

Judges Robert Noonan, Robert Balbick, Thomas Graham, Michael Delplato, as well as Sheriff Gary Maha and District Attorney Lawrence Friedman all expressed concern that switching RUS back to probation would mean fewer alleged offenders would receive RUS status.

"The Genesee Justice program as it has developed is amazing in terms of keeping the jail population down," said Noonan. "I know probation says they can do it and I know they honestly believe they can do it.

"But I believe what you are going to see is a spike in the population at the jail and you are going to wind up paying dollars at the far end after eliminating a very, very important program."

Balbick said he just doesn't know what will happen if RUS is moved back to probation, and that worries him.

"The RUS program runs well because we have a department that runs it well," Balbick said. "I don’t know what it will be if probation runs it. Maybe they will run it well, but I don’t know. I do know that Genesee Justice runs it well."

One speaker suggested it would take $30 million to build a new jail, if needed. Sheriff Maha noted that the current jail was constructed at its present capacity because there was a Genesee Justice program to help keep offenders out of jail.

"If the jail population increases, the State Commission of Correction will come down and tell us to do something about our increased population -- like build a new jail or put on an addition," Maha said. "We'll be like our neighbors to our south who had to build a jail addition to address their jail population."

Smith said that probation handled RUS for 26 years and they can easily take over the program again.

Several speakers said they believe the elimination of Genesee Justice is "a done deal," and that the local justice system community was not consulted first.

The repeated complaint was that only two people -- Gsell and Smith -- supported the plan and were pushing it through without a lot of outside input.

"It appears to me that the only people who are speaking out in favor of this proposal are the ones making the proposal," Friedman said. "They’re the only ones who appear to believe that it’s a good idea. Otherwise, from what I’m hearing, everyone involved in the criminal justice systems, thinks this is a bad idea."

Smith was quick to point out after the meeting that she's not the one who made the proposal.

“This is at the direction of the legislature," Smith said. "The legislature asked me to look at. It’s nothing that I sought out. There’s a lot of misinformation out there (saying) that I sought to do this, but the legislature asked us to do this and we’ll do our best to step up to the plate."

Gsell said it certainly isn't a done deal.

"How can it be? The legislature hasn’t even voted," Gsell said. "This is what we go through every year when we make proposals on the budget. I make a proposal and that becomes what the legislators deal with. That’s where we’re at right now."

The legislators we spoke with after the meeting said they certainly haven't made up their minds and they want to discuss it further with other members of the legislature before making a decision.

Mary Pat Hancock, chairwoman of the legislature, said "we're hearing the concerns and considerations of the people, and we're certainly listening."

"We will consider it carefully," Hancock said. "This is presented as a tentative budget and we don’t pass a budget for another three weeks."

Legislator Jay Grasso noted that he took copious notes during the meeting and he looks forward to sitting down with his fellow legislators to hear what they think.

Most of all, he said, it was a big change from previous public hearings where few people show up and even fewer have anything to say.

"It’s democracy in action," Grasso said. "You should have people here. You should have people questioning what we do. You should have people saying, ‘well, why are you doing this?’ I found it unique and refreshing."

Photos: Top, Gary Horton holding up a button in support of Genesee Justice; County Judge Robert Noonan; Legislature Chairwoman Mary Pat Hancock; City Court Judge Robert Balbick; County Manager Jay Gsell; Sheriff Gary Maha.

Proposal being floated to consolidate Genesee Justice with county probation

By Howard B. Owens

In an effort to close a significant budget gap, the Genesee County Legislature will be asked to look at eliminating Genesee Justice and moving its services to the County Probation Department.

Genesee Justice provides a variety of services, including supervising accused criminals released from jail, as well as some convicted drunken drivers, and assisting victims of crime.

County Manager Jay Gsell said in the 17 years he's been with the county, Genesee Justice has gone from a program funded entirely by state grants to one that now has $237,000 in unfunded expenses.

The county is a looking for a way to cut that expense in an effort to trim $7.5 million from the proposed 2011 budget.

"We know what services Genesee Justice delivers and we know how it is delivered," Gsell said. "What we're looking at is how can we deliver that same level of service to the community through the probation department."

Ed Minardo, director of Genesee Justice has some concerns about whether the same level of services can be maintained.

He said he's working on an information campaign to help decision-makers understand all that Genesee Justice does and exactly what's involved in delivering the current level of services.

"I'm concerned," Minardo said. "We've been here 30 years. I want to ensure that this is a carefully deliberated decision."

Under the proposal -- which Gsell says is very preliminary -- about seven-and-half positions in Genesee Justice would be eliminated and three positions created in probation.

The Children's Advocacy Center, which employs two people, would remain under the supervision of the Sheriff's Office, which currently oversees Genesee Justice.

Gsell said the change could eliminate administration and overhead costs, but it still needs further study.

Minardo said that in 2009, Genesee Justice supervised 419 people assigned to community service; and 518 people in Genesee Jail were screened for possible release under supervision; and 245 accused criminals were released and supervised by Genesee Justice. 

The number of victims helped by Genesee Justice is not immediately available.

The county budget hearing is at 6 p.m., Nov. 17 in the county courts facility.

Budget Round Up: Albany comes to budget agreement 123 days late

By Howard B. Owens

Parents, do your back-to-school shopping now.

Starting in October, under the 123-day-late budget passed by the Senate last night, clothing priced at under $110 will once again be assessed a 4-percent sales tax.

That's one of the provisions to increase revenue.

Even so, Associated Press reports that budget isn't balanced and Republicans complain that it both raises taxes and increases spending (Gothamist).

The revenue package is expected to generate $1.5 billion dollars and was approved by the Senate on a 32-28 vote.

A soda tax was not included in the bill.

The total budget: $136 billion.

Buffalo News: New financing provision for UB not included in budget.

New York Times: With Connecticut trying to woo hedge funds, the budget doesn't include a change in state law that would have taxed bonuses as ordinary income.

Albany Times-Union: Statement from Gov. Paterson's office.

LoHud.com: Senate is planning property tax cap.

New York Stats

By C. M. Barons

Normal 0 false false false EN-US X-NONE X-NONE According to a USDA study, it costs between $124,800 and $249,180 for a dual-parent family (range based on annual family incomes between $39,100 and over $65,000) to raise a child from birth to age 18.  As of 2007, the number of children in an average U. S. Family is 1.86.  27% of U. S. families are single-parented.  Single women, by far the majority of single-parent households, earn an average of $26,500 a year.  The average 3-person family in New York State has annual income of $69,421.  8.5% of adults age 55 or older were employed part-time compared to 20.3% of those ages 20 to 24 and 9.4% of adults ages 25 to 54.  Although median household income rose by about $700 between 2006 and 2007, the average income for households between the 20th and 40th percentile of the income distribution—the typical income range for low-income working families—did not grow at all, coming in at $29,442 in 2007. For households at this income level, an affordable housing payment would be $735 a month, so fair-market rents for a two-bedroom apartment would be technically unaffordable.  Government workers in blue-collar jobs earn $0.87 more per hour than private sector counterparts in the five-county Rochester region.

 

New York State Average Annual Salary by Occupation:

Legislators- $76,230

Education Administrators- $103,510

Accountants and Auditors- $84,280

Loan Officers- $77,310

Computer Software Engineers- $93,910

Computer Support Specialists- $52,570

Surveyors- $58,910

Urban and Regional Planners- $62,700

Substance Abuse Counselors- $42,460

Lawyers- $152,710

Secondary Teachers- $68,010

Teacher Assistants- $25,530

Dentists- $149,370

Veterinarians- $97,890

Landscaping, Groundskeeping- $28,700

Nursing Aides and Orderlies- $30,850

Police and Sheriff Patrol Officers- $60,180

Cooks, Fast Food- $19,480

Waiters, Waitresses- $25,660

Janitors and Cleaners- $28,100

Barbers- $22,510

Childcare Workers- $24,040

Cashiers- $19,710

Telemarketers- $27,120

Bookkeepers- $38,570

File clerks- $28,090

Farmworkers and Laborers- $22,010

Carpenters- $53,300

Roofer helpers- $25,840

Automotive Mechanics- $37,230

Machinists- $39,940

Packaging Machine Operators- $26,790

School Bus Drivers- $34,890

Stock Handlers- $26,650

Assemblers- $26,840

Retail Sales- $26,750

 

 

DSS Cash Assistance & Shelter Allowance (Family of three) - $8292

Unemployment Benefit- $21,060

 

Total New York State recorded debt: $52,100,000,000 as of March 31, 2009.  Six years ago public authority debt (increases annually) amounted to $120.4 billion. Only 30% of public authority debt is represented as recorded debt, yet amounts to more than 90 percent of total outstanding New York public debt. Current New York per capita public debt is $5,666- up from $2,420 in 2004. The state Debt Reform Act was enacted in 2000.

 

Hawley likes his seahorse friends, but votes against protection bill

By Howard B. Owens

With a state budget five weeks late and a $9.5 billion budget gap, Assemblyman Steve Hawley found a debate on seahorse protection legislation just a bit ridiculous.

Hawley voted no on the bill just as a matter of protest.

“The dysfunction in Albany has reached a breaking point, and today’s debate on seahorse legislation is a prime example of that," Hawley said in a news release. "Despite the fact I want to save my seahorse friends, I voted no on this bill in protest because of the sheer lunacy of its timing during this fiscal crisis. Over the last four weeks, the Assembly Majority has introduced trivial legislation, while continuing to send the rank-and-file members home after only a couple days of work.”

WGRB out of Albany spoke to the bill's sponsor:

The sponsor of the seahorse bill, Steve Englebright of Long Island, says this is important legislation to protect seahorses off Long Island that are collected for the aquarium industry, and that it would be malpractice for the Assembly not to work on other bills while waiting for a budget deal.

Hawley said he's frustrated with the lack of progress on a budget.

"Since April 1, four emergency budget extenders have been put in place, and there are no concrete plans for a budget to be passed anytime soon," Hawley said.

Batavia School Board holds budget hearing on Monday

By Daniel Crofts

The Batavia Board of Education will hold a budget hearing in the Jackson School multi-purpose room, 411 South Jackson St., beginning at 8 p.m., Monday, May 4. All are welcome to attend.

At 7 p.m., an hour prior to the public meeting, the board will meet in closed session.

For more information, please contact the board office at 343-2480, ext. 1000.

Event Date and Time
-

State's fund 'sweep' makes liars out of local officials, chief clerk complains

By Howard B. Owens

It's called a "sweep." Imagine if all the money for the state's various special funds were on a big table, and Gov. David Paterson reached out his arm and dragged it across the top of those stack of bills and pushed the greenbacks into a giant gunny sack labeled, "General Fund."

New York has been doing it for years -- taking money earmarked for dozens of special programs, collected from dedicated fees, and using the funds to make up budget imbalances.

"Much of it is money that would be expended but the time has not come up yet for it to be spent," said County Clerk Don Read. "In (sweeping), they tend to make liars out of us who have to collect that money and tell people (what it’s used for)."

Two examples out of the County Clerk's Office: document fees and snowmobile license fees. The state has taken more than $500,000 from that fund over the past three years, Read said.

The first fee is used to fund grants for cities, schools, libraries and other smaller agencies to store, maintain and retain important records, and to modernize old systems.The snowmobile fee -- $90 for a non-snowmobile club member, $45 for members -- is used to maintain trails and facilities for snowmobilers.

Paterson's office is planning a $1 million sweep from the snowmobile fund this year.

"By sweeping out that money, there’s less to distribute to the grants, so a number of grants just don’t get funded," Read said. "Yet, we still have to tell the people that’s what we collect the money for."

The New York Post recently ran a story about Albany sweeping $8.5 million from a fund dedicated to building a veteran's retirement home.

Photo: Don Read from a previous story about license plates.

No state budget yet, and Paterson says he'll withhold union raises

By Howard B. Owens

Gov. David Paterson plans to withhold funding for union raises in his next emergency budget act, which effectively suspends a 4-percent raise for the state's union workers.

The raise was part of a contract negotiated in 2007, but with a $9 billion budget deficit, Paterson says the state can't afford the extra expense.

“I am just shocked and amazed that every time you ask the special interests or the unions for some kind of sacrifice that the answer is either ‘no’ or ‘I’m going to sue you,’” Paterson said Thursday after a private meeting with Assembly Speaker Sheldon Silver. “The state has run out of money twice, for the first time in its history, in the last four months. We’re doing everything to keep the ship afloat. And some people are just very reticent or unable to recognize the gravity of the crisis.”

Meanwhile, Albany has yet to approve a new budget. Assemblyman Steve Hawley issued the following statement on the situation:

After another week of inaction, and seven days past the due date, the 2010-2011 State Budget has not passed. Instead, the Majority continues to meet behind closed doors, which will likely lead to new taxes, increased government spending, and worst of all, more state borrowing, while sending the rank-and-file members of the Assembly trivial legislation to vote on. With New York State nearly bankrupt, this kind of inaction is unacceptable. We should have been in session last week, and not passing the budget this week only wasted more taxpayer money at a cost of more than $100,000. I am willing to stay in Albany until the budget crisis is solved. Unfortunately, it appears that my colleagues in the Majority are not, and despite the ensuing fiscal crisis, would rather put the budget off until next week, if not next month. Clearly, this year’s budget process shows how broken New York state government really is.

State Budget News: Union givebacks, Wall Street taxes, and still no budget

By Howard B. Owens

Some members of public employees unions in New York are bucking their union bosses and saying they should give back their 4-percent raises, according to Associated Press.

"I talked to my friends and neighbors who are losing their jobs and taking pay cuts and for me to get a raise, I functionally have to ask them to pay for it," Regan said in an interview with The Associated Press. He said he hasn't heard from anyone who opposes his view.

In other budget news, a group calling itself Better Choice for Budgeting Campaign, is calling on higher taxes and closing tax loopholes for Wall Street financiers and hedge fund managers.

“When you look at hedge fund managers making millions and millions of dollars and Wall Street having caused a great deal of the economic turmoil we find ourselves in, they should really help pay for it,” said Sen. Neil Breslin.

And while New York's budget is a week late today, Albany's Democrats and Republics are squabbling over procedure, according to the Times-Union.

Senate Democrats gathered on Wednesday to roll out an ambitious set of reforms to New York's budget process. Republicans shot back that the majority would do better to devote their time to the work at hand, and lambasted Democrats for failing to follow budget reforms that are already on the books.

Nobody really knows how bad deficit is, says state's finance chief

By Howard B. Owens

The official deficit number is $9 billion, but years of accounting tricks aimed at hiding deficit spending masks New York's true fiscal picture, according to Comptroller Thomas DiNapoli.

For years, governors and legislators used a grab bag of fiscal gimmicks to cover up the growing gaps between revenue and expenditures. Those gimmicks are now so widespread and so embedded in Albany budgeting, DiNapoli said, that they have essentially rendered the state’s balance sheet immaterial.

One common device is the “sweep,” where the state grabs a surplus from an another entity — say, the Battery Park City Authority — to cover recurring expenses in the general fund, the state’s main bank account and the one that is required to be kept in balance.

Officials have also moved many day-to-day operating expenses out of the general fund and into other funds, hiding spending growth and hiding the true cost of running the government. For example, Governor Paterson’s proposed budget uses $40 million from the state’s Environmental Protection Fund, which is supposed to pay for parkland acquisitions, to pay salaries and other expenses of the state’s environmental and parks agencies.

Read the whole story.

No Joke: New York's union payroll jumped $400 million on April 1

By Howard B. Owens

At a time when New York is struggling to close a $9.2 billion budget deficit, the state's workers represented by labor unions received a 4-percent pay increase April 1.

The wage hike will saddle taxpayers with another $400 million in annual expenses to cover.

The contracts with the Civil Service Employees Association and the Public Employee Federation were negotiated by former Gov. Eliot Spitzer in 2007.

Gov. David Paterson thinks the unions should turn down the raises, according to Business First.

"All public employees are a critical part of our state government. They deliver essential public services and, for that, they deserve our respect," he said Thursday. "But New York remains mired in a fiscal crisis of nearly unprecedented magnitude that will require real sacrifices. In agreeing to forego these scheduled 4-percent salary increases, the leaders of New York’s public employee unions have a real and concrete opportunity to demonstrate they understand the dire nature of this fiscal and economic crisis, and that they are willing to become a serious partner in addressing it.”

Unions flatly stated they will not budge. They say their contracts were fairly negotiated and must be honored.

“PEF will not reopen its contract with the state of New York,” said Kenneth Brynien, president of the Latham-based union that represents 58,000 white-collar state workers.

“What people don’t seem to grasp is, if you break a contract, you’re setting a terrible precedent. It ignores that you have legally binding documents,” said Stephen Madarasz, spokesman for CSEA.

There are 196,375 workers on the state payroll, and 94 percent of them are represented by a union.

Assembly budget proposal includes $2 billion in borrowing

By Howard B. Owens

Assembly Democrats want to cut state aid to schools by only $800 million, not the $1.4 billion proposed by Senate Democrats and Gov. David Paterson.

The Assembly proposal also includes $2 billion in borrowing.

According to the New York Times, Assembly leader Sheldon Silver says,

“With this plan,” Mr. Silver said, “we close the deficit, we make responsible cuts, we hold the line on spending, we preserve vital programs and services, we reject a number of taxes and fees, and dramatically reform the budget process.”

The Assembly budget does not include Paterson's tax on soda, nor does it propose closing all 81 state parks, which Paterson asked for.

The Assembly budget cuts $4.3 billion in spending. Paterson's proposal cut $4.9 billion, but without borrowing.

Assemblyman Steve Hawley's office released this statement about the budget:

Earlier tonight, the Assembly Majority introduced, and passed, their 2010-2011 State Budget resolution. While it did eliminate the proposed tax on sugared beverages and the closure of state parks throughout the state, it still looks to solve the projected budget shortfalls by increasing state borrowing by $2 billion. With the state already on the brink of insolvency, we cannot afford anymore debt or borrowing. I voted against this resolution and hope that as the budget deadline approaches my colleagues in the Majority will not plan on voting for this in the final budget.

For more on the Assembly budget, here's the Albany Times-Union story.

Senate approves budget that increases spending, cuts funds to schools

By Howard B. Owens

Senate Democrats have approved a budget proposal that increases state spending by $1 billion, even as it cuts $1.4 billion in school spending, according to the Albany Business Journal.

The Senate budget -- which Republicans say they did not get time to review thoroughly, therefore voted against -- does not include a tax on soft drinks proposed by Gov. David Paterson, nor authorization for grocery stores to sell wine.

The proposed budget, which will need to be reconciled with an as-yet-unannounced Assembly budget, passed the Senate 32-29.

The two houses have until April 1 to agree on a budget.

Democrats say the increase in spending is still below the rate of inflation.

Sen. Mike Ranzenhofer released the following statement:

The Senate Democrats drafted their final budget resolution in secret, without any input from Republicans. They then released the resolution less than an hour before it was voted on. Only a budget resolution crafted in secret would produce such a bad deal for New Yorkers.

The Budget Resolution increases spending by $1.5 billion, expands welfare programs, and fails to restore the STAR rebate check program for all homeowners. Even worse, the resolution does nothing to help create private sector jobs. Instead, it only adds more government jobs by expanding welfare eligibility and increases public assistance payments again this year.

I will only support a budget which does not increase taxes and spending, delivers property tax relief to homeowners and enables the private sector to create jobs. This is the budget the people want. It’s a budget they deserve and the budget we must achieve.

Council passes $21 million budget, with tax increase, on 7-2 vote

By Howard B. Owens

It's now official -- city property owners can expect a 1.5-percent rate increase in property taxes.

On a 7-2 vote last night, the Batavia City Council approved the 2010/11 budget, which comes in at $21.7 million in expenditures.

The no votes came from Councilman Sam Barone and Councilwoman Rose Mary Christian.

"If this budget passes, the only thing we will be doing is squeezing and choking off the middle class," Christian said.

Christian's areas of concern, she said during the meeting, were legal fees, community celebrations, a drop in sales tax last month, the high cost of youth services and she called $527,000 for parks "outrageous." She also objected to the transfer of water funds to the general fund and said the contingency fund is much too low, especially since it's likely that police officers will win an arbitration case granting them retroactive pay raises.

Christian also complained that constituents in the Sixth Ward have reported high reassessments, from $7,000 to $11,000 more, for their homes.

"This is really going to hurt these people," Christian said.

During the public comments section of the meeting, before the budget vote, city resident Daniel Del Plato spoke vehemently against the proposed budget, saying city taxpayers couldn't handle any further tax increases.

"You're trying to get blood from stones," Del Plato said.

She also objected to a pay raise for non-union employees, which did pass in a separate motion on a 5-4 vote. Voting no were Christian, Barone and council members Bill Cox and Bob Bialkowski.

The council also approved plans to raise water rates and seek bonds to fund the start of a five-year or longer process of water infrastructure upgrades. Barone voted no on both resolutions.

Nobody at budget and water rate hearing, but Council getting citizen input, Clattenburg says

By Howard B. Owens

The audience was quite small for tonight's public hearings on the proposed 2010/2011 City of Batavia budget and a proposed water rate increase.

Between the two hearings, one person -- John Roach -- made a statement.

City Council President Marianne Clattenburg said she wasn't surprised.

"It (the lack of turnout) tells me that they've probably contacted us personally," Clattenburg said. "They've been following things in the media and understand the position we're in and realize we're trying to work through some difficult times. As always we're open to listening to constituents and if they can't make it to the meeting -- lots of people do get their information from other sources -- and they let us know."

There was no vote taken tonight (that will come at the next council meeting), but this was the chance for the public to weigh in on a proposed 1.5-percent property tax increase and the first in a series of planned, gradual water rate increases aimed at raising money to fix infrastructure.

Clattenburg said the council has gotten ample feedback from members of the public prior to tonight's meeting.

"People have come forward," Clattenburg said. "They realize the reasoning behind the tax increase and what we're trying to do with the infrastructure improvements and I think they just support what we're trying to do."

Ranzenhofer: GOP remains leery of governor on budget

By Howard B. Owens

After State Sen. Mike Ranzenhofer's press conference today on his jobs bill, I spoke with him for a minute about his position on the governor's budget.

My question was, with all of the proposed spending cuts from Gov. David Paterson, why aren't Republicans falling more in line with supporting the governor's proposed budget. Here's what he said:

I certainly support the cuts the governor has talked about and I don't think there's been a lot of push back from Republicans. But what Republicans are concerned about is that...(if) you actually take a look at the budget -- last year it was $131 billion, this year it's $134 billion -- spending goes up this year. Not withstanding all the comments about cuts, cuts, cuts, he's actually spending $3 billion more this year in his proposed budget than what happened last year.

So that's where the criticism is, that you can't say one thing and then introduce a budget that actually increases spending by $3 billion. When you look at the fine print, that's what what it actually does. If there's been any opposition, that's where the opposition has been.

The criticism and the push back is not from the Democratic Party or the Republican Party. When you talk about his low poll numbers, these are the residents our our state who are saying this -- that's their reaction to what he has done because they've seen what he said and compared it to what he did. I mean last year, he introduced a budget that was not that bad to start off, but at the end of the day, the budget he finally adopted was $12 billion in new spending. So people are very leery about what he actually says and what actually gets enacted at the end of the budget session.

Schumer-Authored Language to Ensure Counties Get Their Fair Share of Funding and Relief

By Bea McManis


FOR IMMEDIATE RELEASE: February 2, 2010

SCHUMER: OBAMA BUDGET INCLUDES MUCH NEEDED BUDGET RELIEF FOR NEW YORK - PROPOSAL WOULD SEND HUNDREDS OF MILLIONS DIRECTLY TO COUNTY GOVERNMENTS TO HELP PREVENT PROPERTY TAX HIKES, STAVE OFF LAYOFFS OF COPS, FIREFIGHTERS AND TEACHERS


Budget Includes Schumer-Authored Language to Ensure Counties Get Their Fair Share of Funding and Relief

President's Budget Includes Extension of the Boost in Federal Medicaid Reimbursements Originally Passed As Part of the Stimulus

Schumer: Cap Region will receive approx $21M; CNY $20M; RFL $24M; WNY $29M; ST $13M; HV $43M, and NC $10M

 

 

Today U.S. Senator Charles E. Schumer announced President Obama’s 2011 Budget released yesterday will include billions in urgently needed budget aid for New York’s counties that will help local governments avoid property tax hikes and stave off layoffs of cops, firefighters and teachers. The proposal will extend the boost in federal Medicaid reimbursements, called the Federal Medical Assistance Percentages (FMAP), which was originally passed as part of the American Recovery and Reinvestment Act (ARRA). Schumer will say the proposal will send New York State and county governments billions of dollars over the first six months of 2011. In ARRA, Schumer successfully fought to include a proposal called “local share,” which ensures that localities receive budget aid directly, in addition to aid given to the states.

 

“Unemployment is already too high and unless we get fiscal aid directly to our beleaguered county governments during this downturn, they will be forced to raise property taxes, layoff vital workers and make thing worse, instead of better,” said Senator Schumer. “This money will be a tremendous shot in the arm for taxpayers across New York because it will help prevent property tax hikes, mitigate the impact of service cuts, and reduce layoffs of cops, firefighters, and teachers. This support will help alleviate, though it will not eliminate, the tough choices facing the State and counties during these difficult times.”

 

 

“Today’s announcement by Senator Schumer is great news for the hardworking taxpayers of Erie County.  This latest allocation of targeted FMAP funding appears to plug our proposed budget gap for 2011.  Senator Schumer is to be applauded for understanding that New York’s property tax payers need protection during these troubled economic times when Erie County and other local governments have experienced a historic decline in sales tax collections.” said Erie County Executive Chris Collins

 

 “I am grateful to Senator Schumer for his work to secure additional FMAP monies for New York’s counties.  His leadership on this issue continues to be vital.  FMAP is one of the only stimulus programs that provides direct relief to property taxpayers by offsetting some of the cost of Medicaid,  the largest unfunded mandate that counties face.  The FMAP monies received by Onondaga County helped us avoid additional layoffs, painful service reductions and tax hikes in 2009 and 2010.  Given the continued loss of jobs and the possibility of additional state cuts, an extension of FMAP money in 2011 would relieve some of the pressure from what is shaping up to be another difficult budget cycle.” Said Onondaga County Executive Joanie Mahoney

 

“I want to thank Senator Schumer for recognizing that the federal Medicaid supplement is by far the most important stimulus program for counties.  Every dollar Albany County receives is a dollar saved by property taxpayers,” said Albany County Executive Michael Breslin.  “Last year, that amounted to more than $11 million for Albany County.  That’s equal to a property tax savings of 17%.” 

 

“We are sincerely  grateful for Senator Schumer’s continued leadership on this critical issue. By providing these funds directly to the counties, we are able to bypass Albany’s bureaucracy  while continuing to stabilize local tax rates,” said Orange County Executive Ed Diana

 

Schumer today said President Obama’s budget includes a proposal to extend for an additional six months the two-year increase in FMAP that was passed as part of the ARRA stimulus package. The original FMAP increase sent states and localities $87 billion for 2009 and 2010. By the end of 2010, New York State and county governments will have received an estimated $11.1 billion from the federal government from the federal government.

 

The proposal that was included in the President’s upcoming budget will extend the FMAP boost passed in the stimulus for an additional six-months covering the first six months of Fiscal Year 2011. The newly proposed total nationwide boost states with $25.5 billion. New York State is estimated to receive as much as $3 billion based on projections by New York State.  Of that, the NYSAC preliminary projections show that $150 million will go to upstate New York.

 

Schumer successfully fought to include a legislative language (the “county-local share” proposal) that ensures that counties and local governments across New York State receive their fair share of the FMAP relief for their Medicaid programs. Since the enactment of the Medicaid program in 1965, counties in New York have been required to share in the costs of services. New York is one of seventeen states where local governments share with the state in Medicaid participation. Counties are mandated by the state to contribute approximately $7 billion annually or about 32 percent of the non-federal share of the State’s Medicaid Program.

 

Recognizing that New York State counties and the New York City locality are in dire need of direct fiscal aid and are forced to share the cost of Medicaid, Schumer – a member of the Senate Leadership and the Finance Committee which has jurisdiction over Medicaid – fought to ensure that a “local share” proposal was included in the stimulus to ensure that New York State counties and localities received the billions in direct aid from FMAP as part of the economic stimulus plan.

 

The Federal Medical Assistance Percentage (FMAP) is a Medicaid matching rate enacted in 1965 that determines the federal funding share for state Medicaid programs. The federal government matches state funds spent on Medicaid, based on the state’s FMAP. The FMAP varies from state to state; and New York’s FMAP is 50%. Thirteen states have FMAPs equal to the 50 percent floor in 2008 (CA, CO, CT, DE, MD, MA, MN, NV, NH, NJ, NY, VA, WY). By law, the FMAP cannot be lower than 50 percent, or higher than 83 percent.  The FMAP formula is designed to account for income variation across the states and is based on rolling three-year average per capita income data for each state. The Department of Commerce’s Bureau of Economic Analysis calculates FMAP annually.

 

During an economic downturn, as state revenues become stagnant or decline, the number of Medicaid beneficiaries increases because of job losses and the health care coverage that comes with employment.

 

Below is how the funding breaks down across the state.  All data is based on preliminary projections provided by the New York State Association of Counties (NYSAC) and is subject to New York State Social Services law, Medicaid claims experience, and other economic conditions.

 

The President’s budget will provide the Capital Region with a projected $21 million in budget relief. 

 

The President’s budget will provide Central New York with a projected $20 million in budget relief. 

 

The President’s budget will provide the Rochester Finger Lakes Region with a projected $24 million in budget relief. 

 

The President’s budget will provide Western New York with a projected $29 million in budget relief. 

 

The President’s budget will provide the Southern Tier with a projected $13 million in budget relief. 

 

The President’s budget will provide the Hudson Valley with a projected $43 million in budget relief. 

 

The President’s budget will provide the North Country with a projected $10 million in budget relief. 

 


###

Hawley asks governor not to touch snowmobile fund

By Howard B. Owens

The governor is out of line, according to Assemblyman Steve Hawley, in planning to shift $1 million from New York's snowmobile program to the state's general fund.

Hawley today issued a statement asking Gov. David Paterson to strike that provision from his proposed 2010-2011 executive budget.

“This proposal to take $1 million away from the Snowmobile Fund is unacceptable and serves as just another example of the State trying to take every penny it can to cover its own fiscal mismanagement,” said Hawley. “This fund is entirely financed and supported by the fees New Yorkers pay to register their snowmobiles. For this reason, the fund should be used solely to maintain and develop snowmobile trails throughout the state.”

Full press release after the jump:

Press release:

Assemblyman Steve Hawley (R, I, C – Batavia) today called on Governor David Paterson to remove a proposal from his 2010-2011 Executive Budget aimed at removing $1 million from the Snowmobile Trail Development and Maintenance Fund and transferring it into the State’s General Fund.

“This proposal to take $1 million away from the Snowmobile Fund is unacceptable and serves as just another example of the State trying to take every penny it can to cover its own fiscal mismanagement,” said Hawley.“This fund is entirely financed and supported by the fees New Yorkers pay to register their snowmobiles.  For this reason, the fund should be used solely to maintain and develop snowmobile trails throughout the state.”

The 2010-2011 Executive Budget contains a proposal to sweep $1 million from the Snowmobile Trail Development and Maintenance Fund and transfer it into the State’s General Fund. In addition, the proposal would allow the General Fund to have access to 30% of the remaining Snowmobile Fund balance and expand the use of that money to include all recreational activities on State lands. When a similar proposal was raised in 2008, Assemblyman Hawley authored and introduced legislation, Assembly Bill 10732, which would prevent any transfer of funds from accounts that are specifically supported with a dedicated fee, such as the Snowmobile Trail Development and Maintenance Fund. 

According to the Office of Parks, Recreation and Historic Preservation, the Snowmobile industry contributes more than $875 million to the state economy each year. The removal of $1 million from the snowmobile fund, and the potential access to an additional 30% of that fund, could severely impact the Upstate economy. 

“Many small upstate communities rely heavily on the snowmobiling industry to generate local revenue and would be negatively impacted by this money grab by Albany. If Albany is serious about helping rebuild New York’s ailing economy, then this proposal should be taken out. I will continue to fight against this proposal to seize dedicated funds for some other use just as I did in 2008.”

City budget cut by $376K, tax incease by half

By Howard B. Owens

A preliminary budget approved by the Batavia City Council cuts $376,000 in spending from a previous draft, allowing the proposed property-tax increase to be cut in half.

Instead of anticipating a 3-percent tax increase, city property owners can expect an increase of just under 1.5 percent if the budget gets final approval following a Feb. 8 public hearing.

A good portion of the cut in expenses comes from a $150,000 reduction in the contingency fund. That fund might be needed if the city's unions win its any arbitration cases.

"As I mentioned, it's (cutting the contingency fund) a moderate risk," City Manager Jason Molino said following the meeting. "There's the potential there that there could be retroactive awards that could exceed that, and the city's fund balance position isn't where it should be now, though we're building it. It could be very difficult. One thing that has to be understood is that wages and benefits aren't what they used to be -- all work forces and city employees and unions have to understand that, and this is really their opportunity to recognize that and react to that. The community doesn't have the ability fund these things and in the future we're not going to be able to, and that's just something we're all going to have to react to."

In 2009, the city was forced to pay out $235,000 to the Police Benevolent Association after the union won its arbitration against the city. The city and PBA have yet to resolve all contract issues and the city will be three years behind in potential police raises in March. Two additional union contracts for city workers expire at the end of March.

Both Molino and Council President Marianne Clattenburg agree that some large settlement is likely.

"Something the unions are going to need to realize is that the city does not have the ability to provide that level of benefits," Molino said.

Cutting the property-tax rate increase in half reduces revenue by only $84,000. The additional expense cuts in the budget come from an anticipated $322,000 drop in sales tax revenue.

The spending plan now stands at $5,441,630.

The revised budget also cuts $105,000 from equipment reserve funds for police, fire, public works and facilities.

"They (the Council) did not feel they could support anything more than what was adopted," Clattenburg said. "We're just going to have to continue to live within our means."

Reaction to Gov. Paterson's budget swift and negative

By Howard B. Owens

The howls of anger and indignation you heard last night echoing from the Bronx to Buffalo is the reaction from special interests throughout the state to Gov. David Paterson's proposed budget.

While raising taxes $1 billion, the plan also cuts spending $5.5 billion.

You don't cut spending that much without stepping on some toes.

Typical of the "cut everybody but us" reaction was captured by the Albany Times-Union:

"Gov. Paterson is to be commended for his leadership in making the tough choices necessary to address a significant budget gap for the upcoming state fiscal year," said Peter Baynes, executive director of the state Conference of Mayors and Municipal Officials. " ... NYCOM, however, strongly objects to proposed cuts in AIM funding, as this program is a key element to controlling municipal property taxes."

Paterson has proposed a series of cuts to local governments, including a 2 to 5 percent cut in Aid and Incentives for Municipalities payments (AIM).  Paterson wants to totally eliminate AIM for New York City.

Locally, Assemblyman Steve Hawley got into the act and spoke up for snowmobilers.

"I was pleased to hear the governor call for a moratorium on land acquisition," Hawley said in a statement. "Yet, raiding one million dollars from the snowmobile fund to balance the budget is an unacceptable infringement on upstate sportsmen.  It was unacceptable last year when the governor proposed it, and it's unacceptable this year."

The Buffalo News reports that legislators, especially Democrats, are reacting harshly to the proposed budget, saying it's already dead.

Assembly Speaker Sheldon Silver, who has been splitting more and more from fellow Democrat Paterson, rebuked the governor's cuts, saying they "go too far [and] make life more difficult" for New Yorkers, especially the "most vulnerable and least fortunate citizens."

...

"He's tried to politically pin everything that's wrong with government on us. I don't like it. I don't think any of my colleagues like it," said Assemblyman Jeffrion Aubry, D-Queens.

Besides local government and snowmobilers, the budget proposes cuts to education, health care and the environment.

Education spending would be cut from $21.6 billion to $20.5 billion.  The Times-Union got this reaction:

"This budget proposes the largest cut to our children's schools in the history of the state, and yet again asks our children to bear the unbearable burden of balancing the state budget," said Billy Easton, executive director of the Alliance for Quality Education.

Turn to any news site in New York this morning, and you will find unhappy people talking about protecting their own interests.

It will be interesting to see what alternative the Legislature puts forward.

Authentically Local