COMMITTEE ON BUDGET AND APPROPRIATIONS

MINUTES

FEBRUARY 9, 1998

ATTENDANCE:

B & A MEMBERS: Wishnie, Abinanti, Carsky, Kaplowitz, Latimer, Mosiello, Stewart-Cousins, Young

OTHERS: C.E.’s Office: Barbara Fratianni, Cynthia Walquist; Budget Dept: Budget Director Kate Tooher, Tom Coleman, Leslie Bennett; LWV: Jo Brill, Anne Nelson; CBAC: George Hosey, Fran MacEachron; Westchester County Health Care Corporation: Fred Miller, Michael White; Westchester County Visitors Bureau: Harold E. Vogt, Georgia Kalayjian; Westchester County Hotel Assn: John D. Williams; BOL: Legislator Oros, Robert J. Boland, Tina Seckerson

Chairman Wishnie called the meeting to order at 10:05 a.m.

DISCUSSION: (There is a cassette tape on file for more detailed information):

MINUTES: Mrs. Carsky asked for clarification of the word "employees" as stated by Mr. Jacknis at the January 26th meeting (i.e. are they present employees, former employees, with IBM, unemployed). The statement will be clarified.

On motion of Legislator Carsky, seconded by Legislator Young, the motion to approve the Minutes of January 26, 1998 was carried by a vote of 8-0.

(14.*) COUNTY EXECUTIVE: Invest-in-Kids: Proposed act authorizing the County to amend three IMA’s in order to increase the 1997 school year contract provisions of services under the "Invest-in-Kids" Urban Youth Initiative Program. (1/26/98)

• Ms. Walquist explained that there was over $20,000 left in the program. An RFP was sent out to develop a chorus or jazz program to put on a festival in the summer. Four municipalities responded to the RFP; Mt. Vernon, Peekskill, Eastchester and the Village of Ossining. Each group will receive $4,175.

On motion of Legislator Young, seconded by Legislator Kaplowitz the motion to approve this item was carried by a vote of 8-0.

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(8.*) COUNTY EXECUTIVE: Amending WCMC Enterprise Fund: Proposed

• Mr. Miller explained that the hospital had increased activities, not necessarily in volume, but in the level of intensity or sickness of patients which had a direct impact on the personal service costs and ancillary services necessary to care for these medical requirements. He further stated that the original request (in 1997) for increased expenditures is still valid.
• The New York Health Care Reform Act allowed insurance companies the ability to negotiate rates. The Medical Center took a conservative stand. When negotiations were concluded it resulted in higher rates than budgeted and therefore higher revenue.
• There is increased revenue to justify the increase in expenditures.

On motion of Legislator Carsky, seconded by Legislator Kaplowitz the motion to approve this item was carried by a vote of 8-0.

• Mr. Wishnie informed the Committee that Sheryl Kelly DeLeo was in to discuss an item that had been laid over at the February 5, 1998 A&C meeting.
• Mr. Latimer explained that the item is a contract that relates to the STOP-DWI program for 1998. There is a question regarding the 1997 program and how the funds were used.
• Mrs. Carsky stated that she was contacted in November regarding the Student Assistance Program - ROAD. There was a shortfall of $25,000 and she asked why this shortfall occurred.
• Ms. DeLeo explained that the shortfall in Student Assistance is not a contract shortfall with the STOP-DWI Program. Ms. Morehouse, Director of the Student Assistance Program, attempted to recoup money from other sources in the County but not through STOP-DWI because she was aware that the money was not there.

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• Student Assistance usually receives $150,000 per year from STOP-DWI. Last year’s contract was for $104,000 with the remainder of the money Student Assistance usually receives going to Labs & Research. Ms. Morehouse was promised that she would get the money from a different account and therefore did not cut back on the program.
• Mrs. Carsky asked why the transfer of the money did not come before the Board of Legislators. Ms. Tooher explained that the revenue is raised from fines and goes into the Trust Fund.
• The Committee questioned if it will be possible to make a transfer to make the program whole. Ms. Tooher stated that it will be up to the County Executive to make the program whole.
• Mr. Latimer suggested that since this matter is out of the Committee’s control it would beneficial to have a meeting involving the principles in this matter to determine what can be done to rectify the situation.
• **The Committee will forward a memo to the County Executive’s Office requesting a review of the 1997 allocation to the Student Assistance Program.

3. HON. GEORGE LATIMER: Tourism - Hotel and Sales Tax Revenue Growth: Urging the Committee on Budget and Appropriations to meet with key representatives of the County’s Tourism Community to discuss measures that may help increase the level of tourism and convention business in Westchester. (1/5/98) (Also referred to CA)

• Every year revenue estimates for hotel and sales tax are put into the budget.
• Last year a proposal was made to add a $1 tax for every hotel room in the county.
• Harold Vogt, County Chamber of Commerce, Georgia Kalayjian, President of the Westchester Convention and Visitors Bureau and John Williams, President of the Westchester Hotel Association gave the Committee an overview of the background of the Bureau. The Bureau was formed in 1975 at the request of the County Executive and the Board of Legislators. The tourism bureau began with only three hotels.
• The Convention and Visitors Bureau was formed as a public/private partnership in cooperation with the County Chamber of Commerce. Local Law 11 of 1987 created a hotel tax of which 15% would be used to fund the bureau.

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• Mr. Vogt stated that the hotel tax revenue estimate last year was less than it should have been.
• Ms. Kalayjian informed the Committee that Westchester is leading the way in tourism for the state. Tourism is keeping our tax dollars in Westchester.
• Advertising is done in all major magazines and leisure magazines. We qualify for matching funds from the "I Love New York Program".
• The total tourism budget was approximately $528,000 last year of which $378,000 came from the County.
• Mr. Williams stated that this is a great time for the hotel industry as a result of major corporations moving to Westchester. Weekend business (Thursday through Sunday) needs to be increased.
• Mr. Kaplowitz asked what percentage comes back to the County as revenue for every $100,000 the County puts into tourism. Ms. Kalayjian responded that for every $1.00 there is an $8.00 return.
• Mr. Oros asked if Bed & Breakfasts (B & B’s) qualify to pay hotel tax. Mr. Vogt explained that there is a problem with tracking Bed & Breakfasts as many are "mom & pop" operations and currently there is no tracking system for them. Ms. Kalayjian informed the Committee that there are only 7 or 8 B&B’s in Westchester, that are known of, although there are many more upstate. The possibility of a registration process for B & B’s should be explored.
• Mr. Vogt stated that they are working on possibly having a tourism conference in Westchester this year.
• Mr. Abinanti inquired as to how much of the tourist trade in Westchester is business vs. pleasure. Mr. Williams stated that it is probably 70/30.
• Mr. Latimer stated that it would be practical for Westchester to go after convention business as it currently does not get it’s fair share of the state-wide convention business. Having public officials visible at public functions helps to stimulate and generate tourism.
• Mr. Wishnie asked wherein the Board’s committee structure the tourism matter should be studied. Mr. Latimer stated that since the BOL’s Economic Task Force of last term has been incorporated into the Community Affairs Committee that it would be logical for the topical element of this matter to be studied there. Any financial impacts should be then referred to the Budget Committee.
• Ms. Kalayjian touched upon the subject of the film industry, stating that Westchester is a most desirable location for the film industry and should be promoted for such purposes.

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Mr. Boland reviewed last week’s A&C calendar with the Committee.

He highlighted the following:

• 6N & 6J Funds: The County Attorney requested additional funding for 1997: to cover Blumenthal & civil rights cases.
• Funding for Health Centers (Mt. Vernon, Peekskill, & Ossining): item was put over to give the Legislators representing those areas an opportunity to attend a meeting regarding this matter.
• Student Assistance - ROAD Program: Discussed earlier.

• Mr. Wishnie informed the Committee that these bond acts are all left over from 1997 and it is his intention to divide them the committee members so they can focus in on the ones assigned to them and help prepare the matters for discussion by the full committee.
• Bond Acts A-7 (Infrastructure, Repairs, IS, Public Safety) were assigned to Legislators Carsky & Mosiello
• Bond Acts 8-18 (Dunwoodie, Tibbetts, Planning matters) were assigned to Legislators Kaplowitz and LaMotte
• Bond Acts 19-27 (Medical Center) were assigned to Legislators Abinanti and Swanson. **Mr. Abinanti requested a letter be sent to the Health Care Corporation Board asking them to review and sign-off on these bonds before the Committee takes any action on them
• Bond Acts 28-41 (Sewer Districts) were assigned to Legislators Young, Stewart-Cousins and Wishnie
• Mr. Wishnie stated that he will be working with the Administration to have presentations on these matters set up in a swift manner.
• Ms. Tooher offered the assistance of the Budget Department staff.

Mr. Wishnie informed the Committee that he and Mr. Boland met with several representatives of the Administration, George Hosey (CBAC) and Jo Brill (LWV)

this morning to begin discussions regarding changing the County’s current budget format to a more user friendly style. Everything needs to be in place by June 1 to make the change in time for the 1999 budget. The Administration is committed to this and will continue to have meetings on this matter, the next one in three weeks.

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3. HON. GEORGE LATIMER: Tourism - Hotel and Sales Tax Revenue Growth: Urging the Committee on Budget and Appropriations to meet with key representatives of the County’s Tourism Community to discuss measures that may help increase the level of tourism and convention business in Westchester. (1/5/98) (Also referred to CA)

• Mr. Latimer suggested that based on the discussion on this matter earlier that this item be received and filed.

On motion of Legislator Latimer, seconded by Legislator Abinanti, the motion to Receive and File this item was carried by a vote of 8-0.

12.* COUNTY EXECUTIVE: Certiorari Refunds: Forwarding a package of court-ordered certiorari refunds. (1/26/98)

• Mr. Abinanti had a question with regard to the process by which certiorari matters are settled and why they are done so without approval by the Board of Legislators.
• Mr. Boland stated that they are settled at the local level.
• **A memo will be sent to the County Attorney’s Office inquiring as to the procedure by which certiorari matters are settled.

There being no further items for discussion, on motion of Legislator Abinanti, seconded by Legislator Carsky, the meeting was adjourned at 11:40 a.m.