COMMITTEE ON BUDGET AND APPROPRIATIONS

MINUTES

MARCH 6, 2002

 

 

ATTENDANCE:

 

B & A MEMBERS:                   Wishnie, Abinanti, Bronz, Kaplowitz,

Stewart-Cousins, Swanson

 

 

OTHERS:                                 Budget Dept.: Kate Carrano;  CBAC:  Barbara Strauss;   C.E.’s Office:  Bill Randolph, Karen Pasquale;  Labs & Research:  Tom McGimpsey;  Finance:  Peter Pucillo, Thurston Hartford, John Knox;  Law Dept.:  Charlene Indelicato, Lori Alesio;  Journal News:  Keith Eddings;  BOL:  Barbara Dodds, Chris Chang, Sally Schecter, Robert J. Boland, Tina Seckerson

 

Chairman Wishnie called the meeting to order at 9:18 a.m.

 

DISCUSSION:

 

MINUTES: 

 

On motion of Legislator Kaplowitz, seconded by Legislator Stewart-Cousins, the motion to approve the Minutes of February 25, 2002 was carried by a vote of 4-0 with Legislators Bronz and Abinanti out for the vote.

 

AGENDA ITEMS:

 

A12.  County Attorney:  Institution of Legal Proceedings:  Proposed Act authorizing the County to commence a legal proceeding against Melvin Smith to evict him from the Sprout Brook House, 144 Sprout Brook, Town of Cortlandt and to obtain the value of the fair use and occupancy of the subject property since November 1, 2001.  (2/4/02)

 

·       Melvin Smith is a County employee with the Department of Environmental Facilities.  County has a lease with him to live at the above-referenced county owned residence, which expired 10/31/01.  The county advised him before the lease was up that it was no longer going to be used as a residence since it was going to be closed and torn down.

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·       Mr. Smith does not want to leave the residence and refuses to do so.

·       His rent was $612 per month.  He has not paid rent since the lease expired.

·       This action has no affect on his employment.

 

On motion of Legislator Kaplowitz, seconded by Legislator Swanson, the motion to approve this item was carried by a vote of 6-0.

 

A2.    RocklandCountyIMA:  Proposed legislation authorizing the County to enter into an IMA with Rockland to engage the services of the Westchester County Department of Laboratories and Research.  (1/22/02)

 

·       This is an ongoing contract, basically for water testing.

·       Anticipate revenue for 2002 not to exceed $100,000.  Last year $87,000 was received and is incorporated into the departmental revenue.

·       Same fee schedule used as last year

·       Fees exceed the cost

·       Rockland is currently the only county we do this for.  Putnam expressed interest in the service and put it out to public bidding.  Westchester was not the low bidder so they awarded it to someone else.

 

On motion of Legislator Kaplowitz, seconded by Legislator Stewart-Cousins, the motion to approve this item was carried by a vote of 5-0 with Legislator Bronz out for the vote.

 

A9.    Investment Policy:  Proposed Act repealing Act 104-2000, which established an Investment Policy for the County and establishing a new Investment Policy pursuant to New York State General Municipal Law Section 39.  (1/7/01)

 

·       Commissioner Pucillo explained that this is the same policy as was approved in May of 2000 and is a broad-based “what if” policy.

·       There are 14 banks listed, really use 5, but like to have permission to use the others if needed

·       The County is ultra-conservative in investments  (time deposits, CD’s, money markets, U.S. treasury bills)

·       The Commissioner stated that he would be happy to meet with the CBAC and go over points they made in their review.

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·       Committee would like to see policy include some language the CRA (Community Reinvestment Act) ratings of financial institutions would be looked at before depositing county funds.  (Page 3, section 7)

·       The Commissioner explained that they look at the strength of each bank when deciding on dollar amounts for total depository

·       Only the U.S. treasury bills exceed five year maturity (6N, some 6J and watershed money)

·       Committee suggested that maybe the legislation should be amended to read that only third parties should hold collateral.  Commissioner Pucillo stated that it’s in an account and they have to get his or Deputy Commissioner Hartford’s authority to release it.  Discretion is who the third party is. Page 4-strike phrase “at the discretion of the Commissioner of Finance”

·       Committee will act on this matter on Monday, after the amendments are made.

 

A10.  Bond Counsel:  Proposed Act authorizing the County of Westchester to retain the law firms of Hawkins, Delafield and Wood, New York, New York, McGhee & Associates, New York, New York, Wilkie, Farr & Gallagher, New York, New York and Nixon Peabody LLP, Garden City, New York to provide bond counsel services to the County of Westchester in an “of counsel” capacity to the County Attorney, for the period from February 1, 2002 through January 26, 2006.  (2/4/02)

 

·       Discussed in detail at last week’s meeting

·       None of the firms have offices in Westchester

·       All are national firms

·       Purpose in having four is due to different expertise and as a cost savings device

 

On motion of Legislator Kaplowitz, seconded by Legislator Stewart-Cousins, the motion to approve this item was carried by a vote of 5-0 with Legislator Abinanti out for the vote.

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D1.    Outside Counsel:  Designating the law firm of Wilson, Elser, Moskowitz, Edelman, and Dicker, to be retained as outside counsel to represent Leonard Spano in the lawsuit of Ralph Martinelli v. Leonard Spano, individually, and the County of Westchester, N.Y., and authorizing the County to pay the designated counsel for legal services rendered in connection with the action.  (2/4/02)

 

·       The CountyAttorney stated that there is no conflict at this point and will probably not be a conflict in the future.  Since the firm of Wilson, Elser is familiar with case & since Leonard Spano has requested them, the Law Department feels it is best to keep them on this case.

·       Committee requested a waiver of conflict by the CountyClerk.

 

On motion of Legislator Swanson, seconded by Legislator Stewart-Cousins, the motion to go into Executive Session at 10:08 a.m. to discuss litigation was carried by a vote of 6-0.

 

On motion of Legislator Kaplowitz, seconded by Legislator Swanson, the motion to go out of Executive Session at 10:20 a.m. was carried by a vote of 6-0.

 

Based on the discussion in Executive Session, an amended resolution will come back to the Committee including a waiver for the Board of Legislators as well as for the CountyClerk.

 

STATE BUDGET DISCUSSION:

 

·       Budget Director Kate Carrano stated that they met with the delegation on Monday and they are aware of Westchester’s issues.

·       Ms. Carrano distributed a cumulative analysis of the impact of the state budget (on file)

·       The tax levy today is less than it was in 1997

·       The Governor’s budget as currently released does nothing to restore cuts.

·       From 1998-2002 there has been a $72 million combination of loss of aid or increased cost of mandates

·       Committee requested a summary of monies that come into county by category such as the comptroller’s report of receipts.  Ms. Carrano stated that the information is located in Schedule B in the County budget.

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·       The County gets billed for Medicaid ($171 m), SCD ($42.2 m) & MTA station maintenance ($22 m).

·       The revenue forecast is $500 m less than when the Governor released the executive budget.

·       There was a discussion with regard to the importance of the Health Care Reform ACT (HCRA).  Legislation Committee Chair Andrea Stewart-Cousins, stated that this was a subject in the 2002 Legislative Package.

·       When in Albany on Monday, Chair Bronz invited the delegation to come down and meet with the Board.

 

A&C CALENDAR:

 

Committee reviewed the A&C Calendar.  All questions and requests for information were referred to Bob Boland.

 

ADJOURNMENT:

 

There being no further items for discussion, on motion of Legislator  Stewart-Cousins, seconded by Legislator Abinanti, the meeting was adjourned at 11:10 a.m.