2014 Executive Budget Presentation by Ulster County Executive Mike - - PowerPoint PPT Presentation

2014 Executive Budget

Presentation by Ulster County Executive Mike Hein September 26, 2013

• 2-

The “Cahill Crisis”

Ulster County still faces the loss of $22 Million in sales tax revenue

• 3-

The “Cahill Crisis”

We will take the steps needed to shield property taxpayers and NOT RAISE TAXES

• 4-

This Budget…

• Protects the Sheriff’s Deputies from layoffs
• Protects the Community College from cuts
• Maintains critical programs
• Helps vulnerable residents

Delivers a budget with NO LAYOFFS

• 5-

• 6-

• 7-

Golden Hill

• Told it was “impossible” to sell the County

nursing home

• Was no longer Public vs. Private…

It was Open vs. Closed

• Refused to let the facility close
• Prevented the loss of jobs and the

displacement of residents

• 8-

• 9-

Financial Questions

Question: Where did the sale proceeds go? Financial Reality: Golden Hill was sold for $11.25 million, virtually all of which was budgeted for in 2012 and 2013. After paying all of the liabilities and debts of the nursing home, there was a net $6 million in available revenue, all of which had been budgeted for in 2012 and 2013 by my Administration and the Ulster County Legislature.

• 10-

Financial Questions

Question: How are the annual savings spent (former subsidy)? Financial Reality: An elimination of a subsidy does not equate to a financial surplus. Ulster County used “one shot” revenues to offset the subsidy in 2012 & 2013. In 2014 while the subsidy to Golden Hill no longer exists, neither do the “one shot” revenues. This “financial bridge” was part of the benefit of the LDC model

• 11-

Without Action

90% Tax Increase Avoided

280,000,000 300,000,000 320,000,000 340,000,000 360,000,000 380,000,000 400,000,000 2008 2009 2010 2011 2012 2013 2014 Appropration Year

What would have been

Status Quo Executive Actions

• 12-

Spending Cut

This Budget includes the largest spending reduction in County history

Spending is down $23.7 million

• 13-

Spending Reduction

$320,000,000 $325,000,000 $330,000,000 $335,000,000 $340,000,000 $345,000,000 $350,000,000 $355,000,000 $360,000,000 $365,000,000 2010 2011 2012 2013 2014

APPROPRIATIONS

ADOPTED APPROPRIATIONS

• 14-

Doing More With Less

1,000 1,100 1,200 1,300 1,400 1,500 1,600 1,700 1,800 1,900 2,000 2009 2010 2011 2012 2013 2014

Position levels are down 32% since 2009

• 15-

The Bottom Line…the “Cahill Crisis”

• Never about Safety Net
• About Assemblyman’s desire to impose

control over local government

• Cahill’s actions cost taxpayers $4.5 million

• 16-

In the end…

The planned takeover of Safety Net continues

• 17-

The “Cahill Crisis” Legacy

• Assemblyman Cahill severely hurt his

constituents

• Visitors will receive a tax break on the backs of

the property taxpayers

• The financial stability of Ulster County and the

City of Kingston have been weakened

• County property taxpayers lost out on a major

property tax cut

• 18-

Sequestration

• $2 million in spending restrictions are

included in contingency

• February Sales Tax is budgeted in a

designated line to balance this spending

• There are a progression of spending cuts

that only kick in if timely action is not taken in Albany

• 19-

Sequestration

• Contract Agencies
• Mental Health Contracts
• Personnel Adjustments
• Sheriff’s Department
• Department of Public Works
• Social Services Contracts
• UCAT Buses
• Municipal Dues

• 20-

Sequestration

Time runs out on February 1, 2014

• 21-

How We Pay For It

$- $50,000,000 $100,000,000 $150,000,000 $200,000,000 $250,000,000 $300,000,000 $350,000,000 $400,000,000 2012 2013 2014

Other Revenue Tax Levy Sales Tax Fund Balance One Shot

• 22-

Fund Balance

• Without Kevin Cahill’s actions there would

be $4 million more in the General Fund Balance

• This would have left the General Fund

Balance at 5.1%

• Instead, because of the “Cahill Crisis” the

2013 General Fund Balance appropriation leaves only 3.7%

• 23-

Property Tax Levy

2013 Property Tax Levy

$ 78,730,408

2014 Proposed Tax Levy Change

• $ 0

2014 Proposed Tax Levy

$ 78,730,408

Property Tax Levy

0%

• 24-

The Past 5 Years

Reorganized

• DPW...Buildings & Grounds
• Stop DWI…Probation
• The Health Department…Mental Health
• Traffic Safety…Safety
• Real Property…Finance
• Youth…Human Rights

• 25-

A.C.E- Accountability, Compliance & Efficiency

• Good government initiative to implement

best practices

• Responsible for:
• Risk Management
• Corporate Compliance
• Program Development
• Operational Efficiency
• Grant Management
• Capital Project Management
• Internal Controls

• 26-

Ulster Cares

• Approximately a 50% state reduction to

Mental Health funding in the past 5 years

• 27-

State and Federal Cuts to Mental Health

2000000 4000000 6000000 8000000 10000000 12000000 14000000 16000000 18000000

2009 2010 2011 2012 2013

State & Federal Funding Net County Share

$8 Million less over 5 years

• 28-

Ulster Cares

• Approximately a 50% state reduction to

Mental Health funding in the past 5 years

• Service delivery was at risk
• Innovative public-private partnership with

Hudson Valley Mental Health

• 29-

Ulster Cares

• Improves the Local Government Unit (LGU)
• Results in no Layoffs
• Ensures the continuation of care regardless
• f ability to pay

• 30-

We will always fight to protect the great people of Ulster County

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We will never be like typical governments

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Questions?

Available online at WWW.ULSTERCOUNTYNY.GOV