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WPCNR COUNTY CLARION-LEDGER. From Ned McCormick, Westchester County Director of Communications. March 9, 2010: Faced with a projected county government deficit of at least $166 million next year – and more than double that by 2013 – County Executive Robert P. Astorino today outlined the short-term steps that his administration will implement immediately and the long-term measures, including possible layoffs of hundreds of employees, that must be considered to close the shortfall.

 

County Executive Rob Astorino at his Inauguration in January

 

            Since taking office Jan. 1, Astorino has been meeting with his department heads and budget experts to deal with the looming deficits. Today’s announcement is the outcome of that effort and includes $16 million in short-term operational savings that can be implemented this year without immediate layoffs.  He also detailed the options under consideration to reduce spending next year and beyond.  

Astorino briefed the district attorney and the county clerk, as well as members of the Board of Legislators whose approval will be needed for many of the long-term measures. Later today he will be meeting with employees.

            “We have no choice; we must act now or things will only get worse,” Astorino said. “We have to dramatically cut the costs of our government. If changes are not made, our deficit for next year will be at least $166 million and could be $266 million by 2012 and $355 million by 2013.”

He added, “I know cuts are painful, but I will not close this hole by asking our overburdened taxpayers to come up with more money. The measures I am calling for protect essential services and provide for a zero percent increase in the county’s property tax levy. ”

Every $5.6 million in net spending amounts to about a 1 percent increase in the property tax levy. A $166 million hole in the budget would require a county property tax increase of about 30 percent. County government taxes account for about 16-20 percent of a property owner’s full tax bill. 

For 2011, Astorino’s administration projects that if no cuts are made spending will automatically increase by about $116 million compared to 2010.  This includes increases in personnel costs (salaries, pensions, health care), social services and overall operations.

On the revenue side for 2011, the administration projects a decrease of about $50 million, including drops in federal aid and a drastically reduced fund balance from previous years to draw upon.

Sales tax revenue is expected to remain substantially down from its peak of approximately $363 million in both 2007 and 2008.  Projections for 2010 are $339.6 million and just $18 million more in 2011. However actual sales tax receipts are running behind projections for the first two months of the year. Even if the sales tax eventually rebounds as the nation and Westchester recover from the recession, this cannot offset the loss of other revenues and increased expenditures, Astorino said. 

For 2012 and 2013, the projections are for continued pressures on both the expenditure and revenue sides.

Bennett Kielson, the county’s long-time auditor, has reviewed the county’s assumptions and methodology for 2011 expenditures and revenues and has found them to be reasonable.

SHORT-TERM STEPS

Astorino, whose own office is operating with $1.2 million less than was spent in 2009, said he has already acted to realize some savings and will act to implement $16 million in savings in 2010 based on recommendations by his department heads.

These include: 

·        Social Services: $5.8 million from the Department of Social Services, including $3.3 million in reduced costs of foster care due to better case management.

·        Finance: $2.1 million in savings from the refinancing of bonds.

·        Information Technology: $2.7 million in savings by temporarily not filling vacant positions, cutting overtime, and deferring some maintenance and hardware purchases.

·        Public Safety: $905,000 by temporarily not filling vacant positions, reducing overtime through redeployment and eliminating the mounted unit.

·        Transportation: $1.37 million in savings by temporarily not filling vacant positions and eliminating the express bus route (Bx M4C) to New York City. The ridership on this bus route is down, other alternatives, such as Metro-North, are available and the loss of service will not unduly impact low-income commuters.  

—·        Parks: $1.6 million in savings by temporarily delaying the filling of 20 vacant positions, closing the Croton Park Pool and opening Playland one hour later each day.

“I thank my commissioners and department heads for their efforts to find savings in their current budgets,” said Astorino. “They have assured me that the cuts they have recommended and which I will be acting on do not affect their core services.” 

LONG-TERM STEPS

            Astorino stressed that these short-term measures, while very important, can only go so far. The solution for the future requires significant reduction in the county’s personnel costs. For 2010, salaries and fringe benefits (including health care and pension) account for $601 million.  For next year, they are projected to be $655 million.

            The county executive said there are various ways that savings can be accomplished and that he expects to have discussions with the county’s unions to determine the best path. Most of these changes would have to be approved by the Board of Legislators as well.

Some of the possibilities and their financial ramifications include the following:

·        Layoffs: The average cost of a Westchester County employee with fringe benefits is $100,000. For every 100 full-time positions eliminated, the savings would be $10 million. Eliminating 1,600 positions would save $160 million.

·        Pay freeze: $20.5 million can be saved in salary and fringe benefits if the county’s major unions would agree to forego raises next year.

·        Pay decreases: An additional $23.8 million can be saved with a 5 percent decrease in pay and $47.6 million with a 10 percent decrease.

·        Health care contributions: $22.3 million can be saved if the unions agreed to a 15 percent contribution to the cost of their county health plan. Savings grow as contributions are increased.

·        Furloughs: $5.1 million can be saved by a 5-day countywide employee furlough.

·        Separation incentive: An estimated $7 million in savings in personnel costs can be realized in 2011 if employees are given an incentive to voluntarily leave employment with the county.

 “Fixing our budget deficit will require changing the way we think about county government and the way we operate county government,” Astorino said in conclusion. “These changes will hurt, but not as much as denial that they are needed. The time for acting responsibly has come.”

 

WPCNR NEWS AND COMMENT. By John F. Bailey. March 7, 2010(the following is from a presentation made to the White Plains Downton Residents Association, February 27: On the city side, the city has to examine the process of extending site plans indefinitely which is the current common council policy. The effect is that it simply banks land and prevents city growth, and enhances an asset to the owner.

 

I think the city must take a more pro-active stance in attracting development to the city by identifying what areas might be developed.

 

 

The development of the West side of White Plains and the revitalization of Winbrook by an as yet unnamed, though selected developer has to be carefully examined if the White Plains Housing Authority ever tells us what we are going to eventually do there.

 

It is inconceivable that the Common Council would give away the right of approval on what is done at that site when they approved the zoning for it. But, they did. The Bradley administration promised oversight to me last Friday(February 24). But Mayor Bradley did confirm that the city did not have right of approval. Commissioner of Planning Susan Habel said though when I gave this talk,  that a full environmental review would be done and in order to build more than 20 stories the mystery developer would have to seek a Special Permit. The buildings though are 12 stories now. They can build 20 stories, 7 buildings,as of right.

 

I was called a “fear monger” for daring to suggest that the project did not have final approval of the city.

 

 But neighborhoods around it especially the downtown have to look into this one when plans start being formulated. And they are going to build it one building at a time? No developer in their right mind does that because of the time. That’s the trouble with government developments. They take forever. We are told it will take 10 years. Could there be some transparency here? There have been conceptual designs presented.

 

How in the devil does the council approve zoning just for the money sounds like a repeat of the mistakes of the recent past.

 

The Executive Director of the White Plains Housing Authority refused to even name the three finalists for this development when asked last August. How transparent is that? And he says he will reveal the contractor when the contract is signed. Think about that when the contract is signed. Shouldn’t the memorandum of agreement be public so we can let the Housing Authority know — what sounds good and what does not?

 

Transparency. Poppycock.

 

If it’s secret. It’s secret. Fear mongering? Wait until this starts being built and drags on for years. Remember how long urban renewal took?

 

The  “chosen one” developer should have been introduced before the contract is signed. What are they hiding? Even the city knows who the developer is but refuses to tell because it is the Housing Authority project. Why is the city afraid to name the developer flat out? Does the White Plains Housing Authority run the city? The city is really going to have control of this aren’t they?

 

Selling out Winbrook in a quick-deal because there is lots of money to be made, and a gentrification of the West side (read minority removal) may have seemed like a good idea at the time. But, with the hundreds of condominiums and apartments approved in White Plains, and not even being built means that this project could start — and stall out.  Notice how fast 55 Bank Street is moving. (It is not.) No developer builds something they cannot sell. Is anybody really thinking on this one?

 

Does government ever think?

 

The development of the Post Office property is another mystery development the city has no control over except for zoning.  The positive aspect of these mystery developments is, if they are done efficiently – and don’t last 15 years – the city will gain revenue from them in some way. Perhaps the Corner Nook will come back. The government does what they want with their property.

 

But the city will be forever changed by Winbrook 21st Century. It will take a long time for those buildings to be completed, and it will make Fisher Hill and Battle Hill much less attractive than they are now while they are being built.

 

Illegal housing:

 

Everyone wrings their hands about this, but the tool to enforce and discover possible illegal housing exists. It is a list of well over a hundred homes in White Plains offering rooms. Centro Hispano distributes it. If the city really wished to upgrade the occupancy and living standards of  the hard-working persons who are forced to take rooms in rooming houses,and possibly live in substandard, crowded, unsafe conditions this list of homes should be systematically inspected by the fire department and building department, routinely, monthly. Weekly. What an idea?

 

 That would be a start. It appears no one has really wanted to find illegal housing. They could do sweeps of all multiple family zoned homes in the city on a monthly basis.At the very least the buildings could have their assessments increased to reflect the illegal residencie revenues (instead of fines). No one is thinking how to help the victims of illegal housing, because no one wants to.

 

The Uriah Heeps of White Plains contribute too much to the community, I suppose.

 

The city workforce: The city budget process this year is now going to be a problem every year thanks to the dwindling tax roll, and the equally soft sales tax receipts.

 

Can the advantages of White Plains housing – lower taxes compared to surrounding communities, for example, be promoted by realtors and the city to repair the sorry state of the White Plains real estate market to get more buyers into the White Plains market? Can White Plains realtors take a partisan interest in promoting this town?

 

Of course realtors are not working for White Plains, they are working for themselves and will move a house everywhere they can get a commission these days.

 

A campaign for White Plains as the best tax buy, believe or not, it is, in Westchester is in order, as well as the best place to move in. Could we see that kind of marketing?

 

 (But first, should not  commercial landlords lower their rents to prevent the storefronts from going vacant? And parking policies be reevaluated to stimulate shoppers to come to WP?)

 

Can the city administration move to get union cooperation to lower the cost of wages? I doubt it. No one wants to run against labor. Does the city want to cut services? I doubt it. Residents want their services.

 

 Infrastructure? We have only the Department of Public Works analysis of infrastructure and needs to rely on, and there does not appear to be any end in sight of DPW needs. This past Monday the start of millions in projects were approved.

 

The city dump clean-up that continues to be shrouded in mystery and the Department of Environmental Conservation continues to contemplate…that was once estimated by the DPW to cost about $10 Million. Hopefully it will be less. As of Wednesday, Wendy Rosenbach of the Department of Energy Conservation that the DEC has not made a decison on the DPW Closing plan yet, but it will come “soon.”

 

 They’ve been very leisurely  with that decision, the DEC has for four years! How about — Mr. Nicoletti, get rid of these TCE’s. But no, the DEC has dragged this out and dragged this out. It is something for them to do.

 

The dump has been affecting the quality and health of residents in that neighborhood since 1976.  No connection, as Paul Harvey used to say, but the cancer rate in the zip code around that dump is 50% higher than the average according to a brochure put out by the  White Plains Hospital Medical Center’s Dickstein Center. Could there be a connection? I would hope not.
 

This new administration may have inherited a situation brought on by a combination of economy meltdown and financially risky decisions, but that is in the past. We only have the future to work with now. I see, if the new sewer tax is any indication, a new round of subtle tax devices worked in on city services to raise revenue now. Trimming services, I do not think that is going to happen, maybe next year.

 

Meanwhile a lot more than $2.3 Million has to be cut…a lot more. Crossing fingers does not work when there is not enough money coming in.

 

 

Despite this, the city is better poised than any other in the county to rebound more quickly once consumers regain their confidence. We have the City Center, the Ritz,  the thriving restaurant strip downtown, and developments poised “to go” once the banks loosen up the money. The city has to call their bluff of landholders with dormant site plans, the next time they have site plans to renew.

 

How soon will consumers be willing to make the first home and upgrade home buys? When will the Manhattanites start fleeing here again?

 

Another down the road thing in the next 10 years will be the new East-West corridor attached to the Tappan Zee Bridge…how will the Bus Rapid Transit mode of choice by the DOT effect White Plains on above all the I-287 perpetual construction project? The Traffic Department says they are being briefed regularly by the Task Force, and that the city will have approval of where any bus lanes go in the White Plains streets. Let us hope so. That whole project has to be more closely scrutinized by the city moving forward.

 

That being said, the past, as Rich Rodriguez of the University of Michigan says, doesn’t matter. Everything that happened is in the past. How we react and deal the situations I have just outlined, will define the strength of the White Plains recovery.

 

 

I  have the slogan: The truth is a harsh mistress.

 

Why? It is easier to believe what you are told by government and the powers we deal with than to go after the truth, verify it, and report it and voice it.

 

Why, because the truth presents you with a moral choice: do something about it or choose not to, by doing so you condone it.

 

That is a self character-defining choice that many in public office and in the community stop short of doing and choose to go along as a result.

 

That is the purpose of journalism: reporting what really is happening and having the courage to report and say that is wrong and you should not do that.

 

It is not to cheerlead or point out how something bad happened. The tough part is reporting the plot before it happens, that’s really tough. It does no good to point out that the horse has left the barn.