Westchester County Executive Robert P. Astorino”™s proposed $1.7 billion county budget for 2014 would avoid layoffs and keep property taxes flat if approved by the county Board of Legislators.
The executive budget, likely to be altered or reshaped by the Democratic-led board, projects an increase of $17 million in federal aid and a 4 percent increase in annual sales tax revenue to a total of $398 million.
The budget maintains funding for Playland in the event the board does not approve an Astorino-approved management deal with nonprofit Sustainable Playland Inc. and does not cut Bee-Line bus service. Bus fares would not increase if the executive”™s budget is approved.
“This budget shows once again that government ”“ just like the taxpayers who pay the bills must do ”“ can live within its means,” Astorino said.
In the early goings, the proposal has the backing of local business leaders. Marsha Gordon, the president and CEO of the Business Council of Westchester, said in a written statement that the budget served as a “roadmap to keep the county”™s fiscal house in order.” Gordon praised Astorino, a Republican who won re-election to a second four-year term this month and is a rumored gubernatorial candidate for 2014.
“The Business Council of Westchester looks forward to continuing to work with the county executive to advocate for real mandate relief in Albany,” Gordon said.
To avoid a property tax increase, the county under Astorino”™s plan would not tap into budget reserves, but instead defer part of its anticipated $96 million in pension costs in 2014. Under a state plan, municipalities can essentially borrow from Albany for the cost of contributions to the state pension fund, then pay back the amount with 3 percent interest over a 10-year period.
Astorino took the same approach last year to present a budget with no tax increase, amid criticism from some who said that though the move would keep pension payments more stable in the short term, it amounted to long-term debt to meet immediate obligations.
Although the legislature is likely to make changes to the plan before approval, board leadership said it was committed to passing a budget with no tax levy increase.
Even Board Chairman Ken Jenkins, a Yonkers Democrat who has frequently clashed with Astorino in the past, seemed on board with the spirit of the county executive”™s proposal in a press release ”“ although he shifted credit for the county”™s budgets of previous years.
“The 2014 proposed budget from County Executive Astorino seems to recognize past Democratic budget initiatives that featured a low number of layoffs and proper investments in social services,” he said.
Astorino held a press conference Nov. 15 announcing the budget and calling on the Civil Service Employees Association, one of the labor unions representing county workers, to agree to a new contract that would include larger employee contributions for health care premium costs.
County employees until recently did not contribute to their health care coverage. Seven of eight county employee unions and nonunion management now contribute to their plans. Employees in 2014 will pay $4 million of a projected $95 million health care bill for the county, according to the county executive”™s office.
Labor costs continue to consume a large share of the county budget. Astorino said the average salary of a county worker is $76,414, higher than the average Westchester private-sector salary of $65,185. In addition to salary, the county pays as much as $45,000 more per employee annually for fringe benefits such as health care, according to his administration.
“Our county workers do a terrific job,” Astorino said in a release announcing the budget. “The problem is they are very expensive. So together, labor and management sat down to work out contracts that are fair to our workers and fair to our taxpayers.”
Although the county tax levy will remain flat, the impact on individual tax bills can vary by municipality based on assessed property values and equalization rates. County taxes make up about 20 percent of a Westchester property owner”™s tax bill. School districts account for about 60 percent of property taxes.
Astorino also released a separate capital budget of $275 million, which includes infrastructure improvements and park renovations.
The board”™s budget process is already under way. Its budget and appropriations committee has held several budget presentations with the heads of various county departments. There were three public hearings scheduled on the budget, the first was scheduled to take place after press time, Nov. 21, in Peekskill. A hearing at the Yonkers Waterfront Library was scheduled for Nov. 26 and the third and final hearing was set for Dec. 4 at the Westchester County Center.
The board is required to adopt a budget by Dec. 27.
