In lowering Westchester County”™s bond outlook from “stable” to “negative” two weeks ago, Moody”™s Investors Service Inc. took into account statements by the county”™s finance commissioner that may ultimately prove premature, county legislators now say.
The Moody”™s report cited “the county’s ongoing structural imbalance that has driven reserves declines” as a primary reason for lowering the county”™s bond outlook. The county currently has a general reserve fund of just over $160 million, from which $41 million has been slotted to cover the county”™s budget gap for fiscal year 2011.
At a meeting of the budget and appropriations committee of the county Board of Legislators last Monday, Ann Marie Berg, the county”™s finance commissioner, said that she and other county officials had previously told Moody”™s analysts there would likely be no return of the $41 million of budgeted money to the county”™s general fund ”“ statements that are thought to have contributed to the “negative” outlook.
Chairman Jose Alvarado (D-Yonkers) of the budget and appropriations committee challenged Berg”™s theory, arguing that the county would likely end up returning some of the $41 million to the general fund.
“It is really pessimistic for the Astorino administration to tell a credit rating agency that you don”™t anticipate a return to fund balance when, historically, there are returns and everything”™s on track to do so again this year,” Alvarado said in a release.
The release noted that in fiscal year 2010, $67 million had been returned to the general fund balance by the year”™s end.
Ultimately, taxpayers will be faced with paying for the increased interest rates on the county”™s bonds that will likely result from the negative outlook, Alvarado said.
“With the county”™s bond rating outlook in the balance, these misstatements could cost the taxpayers,” he said.
 Cuomo to look into not-for-profit salariesÂ
Last Wednesday, Gov. Andrew Cuomo announced the creation of a task force to investigate executive and administrator compensation levels at not-for-profits that receive funding from the state.
The governor”™s announcement cited the state budget department”™s January 2010 preliminary analysis of not-for-profit employees contracting with the state”™s mental hygiene agencies, which showed that there were more than 1,900 employees with annual salaries of at least $100,000.
“Not-for-profits that provide services to the poor and the needy have a special obligation to the taxpayers that support them,” Cuomo said in a release. “Executives at these not-for-profits should be using the taxpayer dollars they receive to help New Yorkers, not to line their own pockets.”
There are currently no state laws that govern executive and administrative pay at not-for-profits that receive state funding.
County to survey seniors
The Westchester County Department of Senior Programs and Services is conducting a federally mandated survey to help assess what the needs of the county”™s seniors will be from 2012 to 2015.
The survey, which can be found on the county”™s website, poses questions on a number of topics ranging from affordable housing to health care to transportation.
The deadline to respond to the survey is Sept. 30, after which the results will be submitted to the state”™s Office for the Aging and the federal Administration on Aging.
