Help keep Sch’dy County off the Top 10 highest tax list
I’m writing in protest of the proposed Schenectady County tax hike. We finally got off the Top 10 list of highest taxes in the country, and I’d like to see our rank drop a whole lot farther. I’ve been a county resident for 21 years, since I bought my first house, and have put up with the nonsense, but the Oct. 4 article, “Raises proposed for Schenectady County managers,” really struck a nerve. Am I the only one who thinks the logic behind the raises is totally messed up? Maybe the answer isn’t giving the managers raises; it’s getting the union workers back in line. Do people who constantly mismanage our money really deserve raises? Wake up, people! Ultimately, it’s our fault. We went by on our busy days — too consumed by our own troubles to get involved with the jobs of the people we elected, trusted. We’ve learned this isn’t the way to do things. I urge all of you to call your legislator and protest this tax hike. Tell your neighbors, your friends: These people work for us! Every week, the Gazette posts the legislators’ phone numbers. Go to their Web site and send an email. Let’s show Schenectady County that we’re mad as heck and not going to take it anymore.
CAPITAL REGION Falling revenues pinch counties Taxes may rise; projects face delays BY SARA FOSS Gazette Reporter
At one time, Albany County had considered selling bonds this fall to pay for capital projects that are already under way. But the tight credit market convinced officials to hold off until late next year, according to John Rodat, Albany County’s commissioner of management and budget. “If the [credit market] isn’t frozen, then it’s certainly slushy,” he said. “We would have ended up paying extraordinarily high interest rates.” Lenders have tightened their lending standards as a result of the ongoing financial crisis, and despite the bailout, they remain reluctant to lend money except at extremely high interest rates. As a result, counties and towns throughout the country are having a harder time selling short-term and long-term bonds. For instance, the state of Maine recently failed to sell a $50 million transportation bond despite having a good credit rating. This failure, Rodat said, didn’t go unnoticed in Albany County. Mark LaVigne, a spokesman for the New York State Association of Counties, said only two counties in the state have reported difficulty selling bonds: Erie and Nassau counties. In New York, counties are more concerned about the slowed growth in sales tax revenue and the cuts to state aid than the credit market. “Sales tax revenues are stagnant or down,” said William Cherry, Schoharie County treasurer. Historically, sales tax revenues have grown between 6 to 7 percent a year, and the county depends on that growth to cover the yearly growth in operating expenses. But growth has been flat and is expected to remain flat through 2009. In addition, there’s been no growth in the property tax base — “that’s another way to get new revenue” — and state aid has been reduced. As a result, the county’s proposed $70 million budget carries a 3.2 percent tax increase. “Taxpayers are going to see an impact,” Cherry said. “No matter how much local governments cut, we have almost no choice but to go back to the taxpayers.” Cherry said that Schoharie County has no short-term or long-term debt, so the problems in the credit market are having little effect on county projects. Other counties said they keep their borrowing to a minimum. “We do very little borrowing,” said David Wickerham, Saratoga County administrator. The county plans to seek about $12 million in long-term bonds for a new communications system and an animal shelter but will wait for more favorable rates, he said. One positive development, Wickerham said, was the announcement last week that Advanced Micro Devices will build a $4.5 billion computer chip factory at the Luther Forest Technology Campus in Malta and Stillwater. The project is expected to employ nearly 1,500 people and generate another 1,600 jobs. “The greatest danger in times like this is unemployment,” he said. “If AMD is bringing in jobs, that takes away that fear for the people who live here.” LaVigne said counties are upset that state aid — which reimburses counties for the state-mandated programs they provide, such as preschool education and various public health programs — was cut 2 percent for 2008-09 and another 6 percent at the Legislature’s special session in August. “Counties still have to pay money for providing these services,” he said. “There’s just less revenue to cover the cost.” He said the counties would like to have the flexibility to make cuts to the mandated programs; right now, they only have the ability to reduce spending on non-mandated programs such as road patrol. “So when there’s a reduction in state aid, it necessitates a property tax increase,” LaVigne said. Most counties have seen sales tax growth slow to 1 or 2 percent, LaVigne said. Bradley Lewis, vice chairman of the Metroplex Development Authority, said municipalities have typically had an easier time obtaining credit than businesses because they have a source of revenue that they can back up with tax power, if necessary. “It’s clear that municipalities are going to be squeezed because of the sales tax, but it’s not going to go down as much here [as in other parts of the state] because we have a balanced economy,” he said. “There’s no question that municipalities are going to be looking at either financing more with property taxes or doing some cutting.” Lewis, a Union College economics professor who is currently teaching at Skidmore College, said the credit crunch hasn’t really affected Metroplex and that all of the authority’s projects are moving forward as planned. “I don’t see us winding up with things simply paralyzed,” he said. “We have a pretty diversified economy. There was never a big speculative boom here.” But he added that the Van Dyck, the Union Street jazz club and restaurant that was auctioned to the McDonald family this week for $252,000, plus $147,000 in back taxes, probably would have fetched a higher price just a few months ago. Originally, the Van Dyck was listed for sale at $1.6 million. “It’s hard for small businesses to get credit, and the Van Dyck lost value because the pool of bidders is smaller,” he said. Albany County’s sales tax revenue has been strong through the first three quarters of the year, but officials are not expecting that to last. Sales tax revenue growth is currently about 4 to 5 percent but is expected to dip to less than 1 percent by next year, Rodat said. Albany County released its proposed budget for 2009 on Friday. The $580 million budget would increase taxes by 4 percent and carries a spending increase of 2.2 percent.
In regard to the raises given Schenectady County managers along with the anticipated 12 percent tax increase [Oct. 8 Gazette], isn’t it time to be realistic and work for the common good of the people? You have many charities that are hurting because of lack of money, many low-income people on fixed income who must come up with the increase in taxes. I know you need good, qualified people to do these jobs, but could they be compensated a little bit less in order to ease the tax burden?
SCHENECTADY COUNTY Democrats to send state message 3 on county board call idea a ‘distraction’ BY MICHAEL LAMENDOLA Gazette Reporter
Faced with a projected 13 percent increase in the property tax levy, majority Democrats in the Schenectady County Legislature are calling for state help, but three legislators quickly criticized the effort as a distraction not likely to win approval in Albany. At tonight’s meeting, Majority Leader Gary Hughes, D-Schenectady, will ask the state to take over the non-federal share of Medicaid and increase the state income tax on people earning $1 million and more. The first measure would cut approximately $34 million from a proposed $68 million property tax levy in the county while the other would give the state money to run programs. Hughes said he is trying to send a message to Albany: Either cut mandates or increase state income taxes. “We want to make it clear there are choices on the table when the state Legislature convenes and considers what it will do,” he said. Gov. David Paterson wants the state Legislature to return in special session Nov. 18 to cut $2 billion from the budget. Paterson said the cuts are needed to close a state defi - cit. It is the second session this year to deal with the state’s mounting fiscal problems. The governor, a Democrat, and Senate Majority Leader Dean Skelos, a Republican, already have rejected raising taxes during the special session. Assembly Majority Leader Sheldon Silver, a Democrat, favors raising income taxes on millionaire New Yorkers. Hughes said county Democrats want to help taxpayers “connect the dots” between state program requirements and local costs. These so-called state mandates — basically, health and human service programs delivered locally and funded, in part, by county property taxes — comprise 77 percent, about $155 million, of Schenectady’s proposed $280 million budget, according to County Manager Kathleen Rooney. The $155 million is almost $8 million more than spending this year. Hughes said Democrats “want to make a real clear statement that when the state mandates a service, that there is an obligation on part of the state to pay for the service.” The county must adopt a budget by Nov. 1 so a state response to the county’s proposals would come afterward, if at all. Nonetheless, Hughes said the county has to raise the issue. “If you don’t ask, then you assume nothing will change,” he said. LEGISLATORS UNHAPPY Legislator Vincent DiCerbo, DSchenectady, said both measures distract from the business at hand and that the proposal to raise taxes is clearly a “talking point of Assembly Democrats.” DiCerbo asked why the county Legislature was “unilaterally interjecting itself in this partisan issue? We should stick to legislating for county taxpayers.” Both resolutions also caught him by surprise, DiCerbo said. He said he never saw them prior to their being put on tonight’s agenda of the Rules Committee, which he chairs. “I had no idea either of these was coming. I wish there had been some discussion beforehand,” he said. Legislator Joseph Suhrada, RRotterdam, said Hughes’ proposals were meaningless. “Although it would be nice if the state would assume the cost of Medicaid, we would have better odds for success if we gambled the county budget at the blackjack tables in Vegas.”
what kind of terrible idea does Suhrad have now? See what I mean how he never works for the taxpayers but instead had crazy ideas to waste meony by gambling it away. He should be ashamed of himself.This guy Hughes at least is trying to solve a big problem and he should get the credit over here for solving it
The public also spoke out against the $700B bailout. And not only did they shut down their internet email provider to shut down the voice of the people.....they passed it....WITH $1BILLION of pork added to it!!!!
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
SCHENECTADY COUNTY Raises swapped for insurance changes Health coverage agreement expected to save county money BY MICHAEL LAMENDOLA Gazette Reporter
More than 800 Schenectady County workers will receive 3 percent raises in 2010 in return for accepting money-saving changes in their health insurance plans over the next two years. The county Legislature approved the amended agreement Tuesday night. The 800 members of the Civil Service Employees Association, the largest bargaining unit in the county, will receive raises totaling $1.4 million in 2010. The county at the same time will see net savings of $400,000 for 2009 and 2010 under the contract. This figure is after the raises for the workers. The CSEA and county signed a three-year agreement in January 2007; the county reopened the agreement earlier this year. Savings come primarily by offering the Medicare Advantage Plan to past, current and future employees eligible for Medicare, said County Attorney Chris Gardner. “We believe it is better coverage at lower cost due to a federal subsidy to the plan,” he said. The health plan provides a range of coverage, eliminates or lowers co-payments and provides lower deductibles for prescription drugs. The contract also contains a rollover provision for spouses of county retirees. Should the retiree die, the spouse will receive individual health insurance coverage for life, as long as the spouse remains Medicare eligible. Should the federal government discontinue the Medicare Advantage Plan, the county will reinstate previously contracted insurance. The county hopes to see additional savings by offering the program to other bargaining units. It will reopen negotiations with the 200-member Service Employees International Union Local 1199, the 25-member SEIU Local 721, the 150-member Sheriff’s Benevolent Association and a smaller unit of correction officers, which approved multi-year contracts this year with 3 percent raises. Employees are also eligible for automatic pay increases based on longevity, regardless of whether they receive a negotiated raise. CITIZEN COMPLAINT A further 95 management-confidential employees would receive the same health insurance benefi t. The Legislature has yet to decide whether they will receive raises in 2009. Joe Guidarelli, owner of Lee’s Trophy on Crane Street, asked the Legislature not to grant raises to management-confidential employees for 2009. “I can’t understand when the county is running in the red it is giving out raises,” he said during the privilege of the floor. He said small businesses such as his are suffering economically from high taxes and can’t afford additional taxes. The county’s 2009 tentative budget of $279 million contains a 13 percent increase in the property tax levy. The Legislature has until Nov. 1 to adopt the budget. It scheduled a public hearing on the budget for 7 p.m. on Oct. 27. In other action, the Legislature signed an agreement with ProAct to help the pharmacy benefi ts management company distribute a discount prescription drug card. ProAct is not health insurance but is instead a free program that offers a discount of up to 20 percent on all brand medicine and up to 50 percent on all generic medicine, according to the New York State Association of Counties. The association’s board of directors has endorsed the program, which is in effect in 11 other counties in the state. Kinney Drugs started the pharmacy benefit program three years ago. The company will mail the benefit card to residents. The card can be used at all major drug chains.
Once again, the Schenectady County legislators show how great they manage the county. Not only did we just get a good school tax increase, now comes the county property tax. Too bad we can’t all work for the county and towns, where the wages and benefi ts go up every year, so they can pay their bills. It’s time we voted out these local politicians. Get out and vote.
Thank you Judy D Tony J Chris G and Angelo for saving the money on the insurance and thank you imenssly to Joey G who stands up for the taxpayers again as a true Conserv and goes down to lead the fight over there
The contract also contains a rollover provision for spouses of county retirees. Should the retiree die, the spouse will receive individual health insurance coverage for life, as long as the spouse remains Medicare eligible. Should the federal government discontinue the Medicare Advantage Plan, the county will reinstate previously contracted insurance.
This sounds like a deal, huh? I don't know why the county would lock themselves into a health care system that is draining the taxpayers...for life no less! I thought that they would have learned this lesson from past administrations who promised future benefits that are coming back to haunt us today. They should have just given them the raise and left the benefits as is. All they really did was move the future debt from one part of the budget to another.
With our every changing economic culture, the day of 3-4 year contracts need to come to an end. ONE YEAR at the most.
And perhaps Mr. Guidarelli was there to 'position' himself for a future run in politics...maybe?
When the INSANE are running the ASYLUM In individuals, insanity is rare; but in groups, parties, nations and epochs, it is the rule. -- Friedrich Nietzsche
“How fortunate for those in power that people never think.” Adolph Hitler
We will save $400,000 by raising everyone's salary and spending $1.9 million more? In a recession, with record County deficit. Instead of cuts we get more phony savings and the usual smoke and mirrors from Gary Hughes and Co. No wonder the Gazette has named Hughes as the biggest obstacle to selling the County Home and balancing this horrible draft Rooney presented. We need a 10% layoff of all non-public safety County personnel. Close all City library branches. Stop the posturing and cut something!