BUDGET COMMITTEE
 February 20, 2008

** NOT APPROVED **

Committee Members Present

T. Hopkins, D. Fanton, W. Dibble, W. Hall, T. O’Grady, C. Crandall

 

Others Present

D. Burdick, K. Kruger, J. Margeson, B. Reynolds, B. Riehle, T. Ross

 

Approval of Minutes

            The January 16, 2008 Budget Committee minutes were approved on a motion by Hall, seconded by Dibble and carried.

 

Sales Tax Report

            County Treasurer Terri Ross distributed copies of a Sales Tax Report reflecting receipts through February 13, 2008, totaling $2,443,621.29.  Ms. Ross reported at our meeting last month that our first payment in 2008 was $1,197,992.34 which was much higher than anticipated.  Since that time, the New York State Comptroller’s Office reported that that amount included $546,638.29 remitted via Electronic Funds Transfer from vendors participating in the Department’s Electronic Funds Transfer (EFT) Program for Sales Tax and Prepaid Sales Tax on Motor Fuel.  These remittances cover the January 1 through 22 liability period.  Prior to the EFT, these remittances would have been reported and distributed to us in March.  Although we are showing a huge increase in sales tax receipts so far this year, that figure will even out by March.

 

Overtime Report

            Ms. Ross also distributed copies of an Overtime Report through payroll two ending January 18, 2008.  Total overtime hours worked so far for 2008 were 5,188.48 resulting in $154,888.91 in overtime costs.  Of the overtime hours worked, 3,582.17 hours were paid, and 1,606.31 were banked.  Ms. Ross has left the 2007 data on the spreadsheet so that figures can be compared. 

 

            At the last meeting the committee requested that a column be added to the overtime report showing the amount the Sheriff’s Office expects to be reimbursed for overtime expenses associated with housing inmates.   Legislator Timothy O’Grady questioned why the information was not included on this report and asked when the committee could expect to have the information.  Ms. Ross indicated that she has not been receiving overtime reports or the reimbursement information from the Sheriff’s Office.  County Administrator John Margeson will remind the Sheriff’s Office that they need to submit this information.

 

Health Care Costs

            County Treasurer Ross reported that in 2007 we budgeted $5 million in our CSH Risk Retention Health Fund for medical expenses, and we spent $6.5 million.  Ms. Ross had to move money from the County’s General Fund to cover that expense.  In 2006 we spent almost $6 million out of that account so the increase (approx. 8%) was good compared to what others have experienced with health care costs; however, we did not budget enough.  Ms. Ross expressed concern that we only budgeted $5.27 million for 2008, and she believes we will most likely experience a large deficit in that account.

 

            Legislator Dwight Fanton asked if we have made any progress in getting people into less expensive options.  Mr. Margeson indicated that four retirees have signed up for alternative options. 

 

            Ms. Ross reported that we received about $261,000 from employee contributions for medical insurance.  They have been working on premium equivalent adjustments, and some changes have been implemented.  More changes will need to take place to get employee contributions caught up to the place where they should be.

 

NYSAC – Impact of the 2008-09 Executive State Budget on County Government

            Chairman of the Budget Committee Legislator Theodore Hopkins distributed copies of a NYSAC report outlining the impact of the 2008-09 Executive State Budget on County Government. 

 

            Legislator William Dibble indicated that the issue was discussed at the Inter-County Association meeting on Friday, and many of the proposals will end up raising property taxes for counties.  Allegany County needs to come up with a figure representing the negative impact the Governor’s proposal will have on our citizens’ property tax rates.  Chairman Curtis Crandall indicated that he briefly discussed unfunded mandates and the negative impact they have on Allegany County with the Governor yesterday.  Chairman Crandall stated that even though Medicaid has been capped, our local share Medicaid expense is almost $10 million or 42 percent of our County tax dollars.  Our local property tax increases 2.1 percent just to cover the annual Medicaid increase.  Committee members discussed the similar situation that would arise with the proposed cap for the Pre-K Program.  Legislator Dibble commented that we are the only state that passes any cost of the Pre-K Program down to counties.

 

            Chairman Crandall talked about sending correspondence to the Governor that would expand on the points he discussed with the Governor when he was in the County earlier this week.  Chairman Crandall suggested that the letter should include a list of unfunded mandates with the local impact, the impact of the Governor’s budget proposals on Allegany County, and the message to truly save New York State residents from property tax increases do not shift the burden to the local taxes and reduce the programs provided.

 

            Mr. Margeson indicated that he should be able to interpret and figure the financial impact for Allegany County, and he will also get something out to the department heads that might suffer a negative impact from the Governor’s proposals.

 

Future Meetings

            Budget Chairman Theodore Hopkins suggested having representatives from the Social Services Department come to our next meeting to discuss their budget in further detail.

 

Adjournment

There being no further business to come before the committee, the meeting was adjourned on a motion by Fanton, seconded by Dibble and carried.

 

Respectfully submitted,

Brenda Rigby Riehle, Clerk of the Board

Allegany County Board of Legislators