COMMITTEE ON BUDGET AND APPROPORIATONS

MINUTES

NOVEMBER 25, 2002

 

MEMBERS PRESENT:      Wishnie, Bronz, Kaplowitz, LaMotte, Oros, Stewart-Cousins

 

LEGISLATORS

PRESENT:                        Pinto

 

 

OTHERS PRESENT:         CE: B. Randolph, A. Newman; Budget: K. Carrano, A. Vietro, B. Leverence, C. Burkart, A. Finateri; DOT: H. Stanton, R. Stiller, L. Salley, J. DeMeilia, R. Bracchitta; Parks: D. McBride, L. Velez, J. Stout, J. Robbins; My Sister’s Place: J. Domonkos; CBAC: F. MacEachren, B. Strauss; BOL: B. Boland, S. Schecter, S. Vanderberg, B. Dodds, P. Neglia

 

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

 

On the motion of Mr. Kaplowitz, seconded by Mrs. LaMotte, the minutes for 11/19/02, 11/20/02 and 11/21/02 were approved 4-0.

 

TRANSPORTATION:

 

Mr. Wishnie said many legislators are concerned about the proposed bus route cuts and fare increases. 

 

Service Reductions:

 

The proposed service reductions will include a cut in shuttle service, feeders, and adjustments on the main line service.  A net total of $2,174,000 has been removed from the budget.  Affected areas include personnel and the vehicle fleet.  The Department will loose 28 van drivers (Liberty Line employees), 11 bus operators and 10 maintenance workers for a total of 49 positions.  42 of the oldest vehicles will be removed from the fleet, 26 of which are vans.  The removal of these vehicles will narrow the gap in the vehicle replacement fund, which is currently down.

 

Cuts in shuttle van service will affect about 800 passengers.  Cuts in bus routes will affect about 14,000 passengers, 1500 (800 shuttle riders) will be lost to system entirely, and 11,000 will have alternatives.  Offsetting the operating costs for the shuttle service would require a $7 dollar fare increase.

 

The projected 3.7 million in operating savings must be offset by State Aid.

 

Mr. Kaplowitz proposed the following alternatives to cutting shuttle service:

 

According to the 2003 Budget “Cheat Sheet”, in order to offset the 411.1 million dollar potential tax impact, the Department would have to implement a State Aid “Spin Up”, utilize the Preventative Maintenance Program, a 20 cent fare increase, service reductions and other savings.  This will result in a final tax levy impact of $.7 million dollars. 

 

Several alternatives to the proposed fare increase and cuts to the bus routes were discussed.  Mr. Wishnie said the State Delegation has offered to help the County secure additional funding.  A breakdown of the fiscal impact of an additional 15-cent added to the $1.60 fare increase will be prepared for review.

 

Federal Aid

 

This number is down to due a loss in federal operating assistance.  The Department has chosen not to draw down the total amount allowed for the year.  A detailed breakdown of State Aid funding will be provided for review. 

 

Overtime

 

A schedule of this line will be provided for review.

 

AIRPORT:

 

The Airport’s 2003 budget is 1.3 million dollars lower than last year.  Able to include 1.25 million in cash capital, substantially reduced Department of Public Safety charges from 8 million to 4.5 million.  Much of this is due to Federal reimbursement for costs, some functions have been taken over by the CSA and many capital projects have come in less than anticipated.

 

The Airport anticipates 1.9 million dollars in surplus revenues instead of the originally anticipated deficit of 3.2 million.  Received 4.4 million in Federal Assistance that they were able to apply directly to operating costs.  Because the Airport only uses oil for fuel, utility costs are a direct reflection of oil costs.

 

PARKS:

 

Commissioner Stout said tees and greens projects have affected revenue in the past, as the Dunwoodie course is slated for construction in late summer 2003, the Department anticipates a reduction in revenue.  Expects to be under budget closing out 2002, for the following reasons: started season with Spring Lake and Mohansic under construction and a hot summer kept people off courses. 

 

The reduced rate for seniors applies Monday-Friday.

 

Playland

 

Department projects about 1 million visitors in the upcoming year, families are staying longer/spending more money. 

 

Harbor Club

 

Harbor Club pays rental fee based an their annual sales.  A breakdown of this will be provided for review. 

 

County Center

 

The county Center generates a generous amount of money and the manages to cover expenses without a tax subsidy. The recreation summary reflects a positive cash flow and includes entire recreation Department outside of the County Center.  

 

Debt Service

 

There is no specific debt service attached to the County Center and debt service and fringe benefits appear for Playland in the PRC budget.  A debt service summary for all 6 golf courses will be provided for review.  The projected loss of 3.1 million dollars is mostly due to a debt service increase for employee benefits for the retirement system.

 

 

 

Debt service bond interest

 

The difference in the amount of interest requested and what is allowed is due to the fact when the budget is submitted in July the department is unaware of the bonds the County intends to sell in November, this usually results in this number being recalculated.  Calculations will be provided for review.

 

Intra-Departmental Services

 

A schedule will be provided reflecting the differences from 2002 to 2003.

 

Ice Casino

 

Anticipating a $1 million dollar reduction to the net tax levy, the Department plans to release an RFP in December, however they don’t anticipate a major drop.

 

Positions

 

Positions have been cut across the Departments.  A list of all cut s will be provided for review and as well as a reconciliation on the number of vacancies to date.

 

Contractual Services

 

The schedule provided for this line will be reviewed.

 

On the motion of Mr. Kaplowitz, seconded by Mr. Wishnie, the meeting was adjourned at 11:10 a.m.