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Finances

Port Jefferson High School. File photo by Elana Glowatz

New York State has issued a glowing report on the state of a local school district’s finances.

The Port Jefferson School District received a “spotless” report from the New York State Comptroller following an audit meant to examine if the school board properly managed its voucher payment system.

Audit vouchers are made on all school expenditures, where either the school board or a designated auditor looks at each claim to determine if each item complies with district policies and whether the amounts are necessary district expenditures before the cost is paid. The comptroller’s audit, which spanned from July 2016 to September 2017, stated Port Jeff’s claims audit process was “adequately designed and that it had been properly implemented.”

“This report reflects proper oversight by the board of education and the stringent controls put in place and carried out by our business office personnel,” Superintendent Paul Casciano said in a statement. “The carefully conducted examination and positive results are a testament to the district’s comprehensive policies and procedures for claims payments.”

The comptroller’s office reviewed one percent of all claims paid by the district during the span, which amounted to 60 general fund claims. These claims totaled close to $300,000, including $2,705 from 10 “extra-classroom activity” claims. The office determined Port Jeff’s system was working as intended, and that the school could support all of its expenditures.

Brian Butry, a spokesperson for the comptroller’s office, said while they don’t have specific numbers on how many schools have problems with their audit voucher systems, Port Jefferson has been more responsible than others.

“These types of audit results are not that common and, as noted in the final report, the district should be commended for their well-designed claims system,” Butry said.

The report said district officials created well working procedures to analyze extra-classroom activities such as clubs, where each has a treasurer and faculty advisor, and that payment orders were supported with fully signed invoices.

“Given that there were no negative findings indicates the district’s claims process has an overall well-designed system,” Deputy Superintendent Sean Leister said in a statement. “As our district places a strong emphasis on ensuring tax dollars are spent effectively and efficiently, we are pleased with the outcome of this auditing process, as it reinforces from an external perspective.”

Suffolk County Executive Steve Bellone has called on residents to donate PPE for health care workers and first responders. File photo by Kyle Barr

Though the fight over lump bonding in the Suffolk County Legislature is not over yet, both parties are looking to find common ground.

County Executive Steve Bellone (D) announced the county would be offering un-lumped bond resolutions for the next legislative session July 17, after a series of bond-seeking bills for various projects were voted down on a party-line vote last month.

“Unfortunately we have seen the creeping into Suffolk County of national style politics that has delivered abuse in Washington – which is a shame because we haven’t had that in Suffolk, particularly when it comes to funding of critically important and even routine capital projects,” Bellone said. “I want to move us back towards the way we have operated in the past where we treat these kinds of important bonds in a nonpartisan way.”

Bellone mentioned several bond resolutions that will be up for vote come July 17. One includes funding for repaving on Commack Road from Julia Circle to Route 25A and along Crooked Hill Road from Henry Street to Commack Road. Two other major projects include $2 million in funding for licensing the Rave Panic Button mobile app, a police and rescue emergency application for school and government employees, and $8.82 million in funds for the Rails to Trails project that will establish a trail from Wading River to Mount Sinai on grounds that used to host train tracks.

Ninety-four percent of Rails to Trails is funded by federal grants that will be paid back to the county after the project is completed. Legislator Sarah Anker (D-Mount Sinai), the driving force behind the project, said if the bond doesn’t pass the county could miss the August deadline to get access to those federal grants.

“We have already invested $1 million with a design and engineering plan that we will have to reimburse if this bond does not pass,” Anker said. “We are ready to put a shovel in the ground, even at the end of this year.”

“I want to move us back towards the way we have operated in the past where we treat these kinds of important bonds in a nonpartisan way.”

— Steve Bellone

The legislature needs to vote “yes” on both an appropriations bill as well as one to approve bond funding to support capital projects, and for weeks the two parties in the legislature have battled over bundled bonds. Bellone has said the Republican minority was hypocritical if it voted for the project’s appropriations but voted against the funding. Republicans were against any lump bonds because they did not want to feel forced to vote on items they might disagree with in the future, lumped with items they were comfortable supporting now.

Because the legislature requires 12 of the 18 members to pass a bond vote, the seven-member Republican minority have joined together during the past two legislative meetings to shoot down any lump bonds.

Bellone said he would be going forward with legislation that would require both appropriations and bonding be included in one single vote, but Presiding Officer DuWayne Gregory (D-Amityville) said the Legislative Counsel has questioned the legality of that idea, with appropriations requiring 10 votes and bonds needing 12.

Instead, Gregory said he instructed the county clerk to write up the next week’s meeting agenda to have bonds be voted on before appropriations.

“If the bond resolution fails then the appropriation doesn’t come up for a vote,” Gregory said. “It limits the opportunity for somebody to vote for it before voting against it … Hopefully it takes the politics a little bit out of it.”

Republicans in the legislature see the move away from lump bonding as a victory.

“We’re happy that the County Executive has agreed to go back to individual bond resolution for several bonds,” Minority Leader and Legislator Tom Cilmi (R-Bay Shore) said. “We’re looking forward to working forward with the County Executive over the coming months to find some common ground.”

Though Cilmi said he and other Republican legislators are happy the bonds will not be lumped together, he still has misgivings about a few of the projects, especially when it comes to county finances.

“There are certain proposals where we agree with the project, but we believe the funding for the project should come out of operating funds rather than going out and borrowing money to do it,” Cilmi said. “The county is $2 billion in debt, and we have to exercise restraint in how we go out and borrow money.”

Suffolk County Executive Steve Bellone speaks during a press conference June 20 calling out Republicans for voting down three bond resolutions. Photo by Kyle Barr

Democrats and Republicans in the Suffolk County Legislature are at each other’s throats over funding for a series of bonds, including for public safety initiatives, that failed to pass at the June 19 legislature meeting.

“The Republican caucus put politics ahead of public safety,” county Executive Steve Bellone (D) said at a press conference June 20. “We saw a group of seven Republican legislators put their own politics over the interests of their constituents, of public safety, of teachers and students.”

At the June 19 meeting, three out of four bond resolutions failed to garner support from at least 12 legislators, which would represent the two-thirds support necessary to pass a bond resolution. The seven members of the Republican minority caucus voted against the resolutions. The three failed bonds included 14 items that would have provided funding for county parks, correctional facilities, public safety initiatives, road reconstruction and more.

Republican legislators said they voted against the bonds because they did not want to feel forced to vote on items they might disagree with in the future, lumped with items they were comfortable supporting now.

“We shouldn’t be paying these things off for 30 years because it’s just not fair to young people.”

— Rob Trotta

“The blame for the failure of this bond rests squarely on the shoulders of Steve Bellone,” said Minority Leader Legislator Tom Cilmi (R-Bay Shore). “Last month the county executive abandoned 40 years of history and precedence in Suffolk County… in an effort to bully the legislature into every one of his proposals.”

Bonds traditionally had not been grouped together by the Suffolk Legislature.

Legislator Rob Trotta (R-Fort Salonga) said he opposed the resolutions in part because bonding for each of the 14 projects would increase the country’s deficit.

“What we’re doing is increasing debt,” Trotta said. “We shouldn’t be paying these things off for 30 years because it’s just not fair to young people.”

Legislator Sarah Anker (D-Mount Sinai) sponsored a bill that would allocate funds for a Rails to Trails project from Wading River to Port Jefferson. That bill was included in a larger bond proposal at the June 6 legislative meeting, and that too was voted down by the Republican caucus.

“I hope they can get this resolved soon because it’s basically hindering government,” Anker said. “The county has to bond for these sorts of projects – that’s why we have this sort of process.”

Anker said the $8 million Rails to Trails project was to be funded by that bond and then the county would be reimbursed by the federal government, but without the bond the county is now looking for different revenue sources so it would not have to push back plans to start building the trail by spring 2019.

The most contentious item amongst the recent three defeated bonds was $2 million in funding for licensing Rave Panic Button mobile app, a downloadable application that acts as an instant call to fire and emergency services as well as police in an emergency, specifically a school shooting, for school and government employees.

The Rave app is currently active in 95 percent of county facilities with 20 percent of county employee phones now equipped with the app, according to Joel Vetter, the county Emergency Medical Services coordinator. The program is already in place in 19 school districts with 10 enabled devices per building. The funding, Vetter said, would have put the app in the hands of all current school administrative and teaching staff in all county school districts.

“This means that if the cellular system is down, you could contact emergency services through WiFi,” Vetter said.

Bellone defended the lump bonding, saying it’s a practice used in town and local governments across the state. He said the public safety initiatives would have saved district schools more than $1 million since each would not have to pay for it themselves.

“This has become the worst of our politics.”

— Duwayne Gregory

“If we back down from this outrageous conduct now, they will continue to hold hostage every important investment on the environment, on public safety, on roads, on parks — and we’re not going to allow that to happen,” the county executive said.

Cilmi contended that bundling the bonds together does not save money because the county’s bond council, New York law firm Harris Beach PLLC, does not charge for bond preparation.

The contract between Suffolk and Harris Beach, signed by the county in 2014, reads that there shall be no fee paid by the county related to the preparation of county resolutions, which includes bonds.

Cilmi and Trotta both said they could come close to guaranteeing funding for the Rave app would be approved as a stand-alone measure.

Democrats accused the Republican caucus of being hypocritical as the bond vote was all for items those legislators have already supported in the recent past.

“This has become the worst of our politics.” Presiding Officer DuWayne Gregory (D-Amityville) said. “Nobody gets 100 percent of what they want, and when they say, ‘we’re going to vote against a package to other bills regarding funding for our correctional facilities,’ saying ‘I don’t like one or two parts of the bill and I’m going to vote against,’ is just ridiculous.”

Bellone said he expects to put the bonds back up for vote in the next legislative meeting July 17, but he did not give specifics about whether or not the county would try and repackage the bills to be more favorable to the wishes of the Republican caucus.

Deputy County Executive Jon Kaiman (D) said if the bond vote fails again the app will not be available to districts until after school reconvenes in September.

“We have to regroup and think what kind of strategies we have going forward,” Kaiman said. “When you fail a vote the process takes a lot of time to come back.”

Town to send letter to New York State comptroller asking for review of town's finances

Huntington Supervisor Chad Lupinacci. File photo by Sara-Megan Walsh.

A request by Huntington’s new town board to have the state comptroller review the town’s finances was met with criticism.

Huntington Town Board voted 4-1 at its Jan. 3 meeting to go forward with a request to New York Comptroller Thomas DiNapoli (D) to conduct a review and audit of the town’s finances, policies and procedures. Councilman Mark Cuthbertson (D) was the sole vote against the measure.

“I just think this is a ridiculous waste of taxpayer money,” he said. “I think it’s a shot at the prior administration that had healthy financials and won a number of awards each year for the records we keep and our finances.”

In December, the Town of Huntington received its 17th consecutive certificate of achievement for excellence in financial reporting from the Government Finance Officers Association.  The nonprofit professional association serving nearly 18,000 government financial professionals across North America, had reviewed the town’s comprehensive financial report for the year ending Dec. 31, 2016.

I just think this is a ridiculous waste of taxpayer money.”
— Mark Cuthbertson

Councilman Eugene Cook (R), who sponsored the audit resolution, denied that it was a strike against former Supervisor Frank Petrone (D) and his practices, but rather a way to provide for a fresh start.

“Any business owner knows if they are buying a new business and going into a new business, they want to check all the records,” he said. “It’s as simple as that.”

Cuthbertson suggested given the lengthy time and funds it would require for the state to audit the town, the new administration and town officials would be better served by studying the town’s yearly internal audits performed by an outside contractor.

Cook sponsored a similar resolution in 2012 calling for state review, but it failed to gain the board’s approval. Petrone then offered a revised resolution that was approved, and ultimately resulted in a 2013 audit conducted by the state comptroller.

The 2013 audit report, which reviewed the town’s finances from Jan. 1, 2011, to May 31, 2012, found issues with the town’s ability to track overtime hours and paid leave for town employees adequately.

“We found that the town may have higher payroll costs than necessary because town officials did not monitor and control these costs,” states the 2013 audit’s summary findings.

Any business owner knows if they are buying a new business and going into a new business, they want to check all the records.”
— Gene Cook

The state comptroller’s office also found the town was awarding contracts to attorneys without going through the standard bidding process and then paid without providing detailed invoices in some cases. Recommendations were made and discussed between state and Huntington officials on corrective actions to be made.

“While serving as an affirmation of the policies that have helped Huntington maintain its AAA bond rating, we also appreciate the audit’s insight on how to make Huntington’s government operate even more efficiently,” Petrone had said in his response to the 2013 audit. “We will consider changes to implement the recommendations we have not already put into place.”

Councilwoman Joan Cergol (D), who worked for the town prior to 2013 and was sworn in to sit on the town board this month, voted in favor of requesting the state comptroller’s office perform an audit, though she said the measure was not necessary.

“I welcome an audit, but I don’t think it’s going to happen,” the councilwoman said. “If there is one, I think it will prove we run a tight ship.”

Supervisor Chad Lupinacci (R) said the resolution merely sends a letter to the state comptroller’s office to review the town’s financials “if they feel it is necessary,” to indicate the town would be both willing and cooperative in the process.

Town of Huntington will host a Organ Donor Enrollment Day Oct. 10. File photo by Rohma Abbas

Huntington town announced last week that they have maintained their AAA bond rating, and their outlook has been upgraded to “stable.”

Standard & Poor’s and Moody’s Investors Service have upheld the town’s rating, covering both existing debt and a planned $13.925 million bond issue.

Moody’s said the rating “reflects the town’s currently satisfactory reserve position and improving financial obligations, its sizable wealthy tax base and low debt burden.” They also said the stable outlook “reflects our expectation of continued sound financial operations and modest growth and overall stability in the local economy.”

In issuing its rating, Moody’s cited Huntington’s management and good financial policies and practices, as well as adequate budgetary performance, strong budgetary flexibility, very strong liquidity and strong debt and contingent liability position.

“We believe the town has demonstrated sound monitoring, ability to adopt and adhere to formal policies, and forward-planning,” the rating firm’s report said. “Town management tends to conservatively estimate both expenditures and revenues.”

The ratings extend to both the $13.925 million in borrowing and the $109 million in outstanding debt. Of the outstanding debt, $84 million represents Huntington borrowing and $25 million is debt incurred by the water districts in the town; that debt is repaid only by district residents. The planned borrowing includes $12.4 million for town projects and $1.5 million for Greenlawn Water District.

Huntington Supervisor Frank Petrone (D) said he was pleased with the town’s results.

“We are gratified that Moody’s and Standard & Poor’s have once again affirmed their support of Huntington’s fiscal policies by maintaining the AAA bond rating and either upholding or upgrading their outlook,” he said in a statement. “These ratings will ensure that Huntington continues to save on borrowing costs, benefitting all Town taxpayers.”

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Town head has eyes on illegal housing, environmental issues

Supervisor Ed Romaine discusses his last term and his goals for another two years if re-elected. Photo by Desirée Keegan

After his first full term at the helm, Supervisor Ed Romaine (R) said he thinks the Town of Brookhaven should look better than it does, and if re-elected plans to continue the town on its positive trajectory.

Romaine is running for another two years as supervisor against Democratic challenger Douglas Dittko, who declined to attend a debate at the TBR Newspapers office alongside his opponent. Dittko also did not answer a request for an interview.

According to the Suffolk County Democratic Committee’s website, Dittko, a Manorville resident, is a civic leader who has worked to preserve open space and has been involved in other community issues.

For Romaine, re-election means finishing up current environmental projects, managing the town’s budget and introducing technology to make it easier for residents to interact with the town. While he said there is still work to be done, he highlighted improvements since his special election in early 2013, which put him into office for several months before he was re-elected to a full term.

“My predecessor left in mid-term and he left with a fiscal crisis. He was firing over 100 people as he left,” Romaine said, referring to former Supervisor Mark Lesko (D). “We stopped some of those firings — I haven’t laid off [anyone] since I took office.”

While in office, Romaine has helped get the town’s debt under control, and this year the town finished paying off its pension debt. One of the ways in which Romaine brought in funding to do that was selling the former tax receiver’s office in downtown Port Jefferson as well as the old town hall in Patchogue.

“I’ve worked on finances because I’ve learned from a long life that all issues of government are issues of money,” Romaine said.

One of the incumbent’s focuses in another term would be housing. Following the recession, there were more than 200 foreclosed homes that the town is trying to maintain or tear down. And residents of neighborhoods near Stony Brook University complain of illegal boarding homes bursting with college students. To combat that issue, Romaine and town officials have already enacted some restrictions, like making it illegal to pave over front lawns to make more room for parking.

Another goal the supervisor has for a second full term is expanding his single-stream recycling program beyond Brookhaven’s single-family homes. The single-stream system, in which residents can put all of their recyclables on the curb together, has already drastically increased recycling townwide, and has made money for Brookhaven because the town sells material it brings in.

He would also like to continue his efforts to encourage renewable energy use and reduce nitrogen pollution in local bodies of water.

“It’s time for us to wake up,” Romaine said. “We’re going to lose what we cherish about living in this town if we don’t start to preserve our waterways.”

Mayor blasts state comptroller’s scoring of village

Huntington Bay Village’s mayor is contesting a fiscal rating by the state comptroller’s office. Photo by Victoria Espinoza

Huntington Bay Village’s mayor strongly disagrees with a recent release by the New York State Comptroller’s office ranking the municipality as susceptible to fiscal stress.

The comptroller’s office sent out a statement about the scores last week but Herb Morrow said  the score is misleading and Huntington Bay is in sound fiscal shape.

“The report is worthless because what they do is take a snapshot of one point in the year,” Morrow said in a phone interview. “They don’t take the financial planning into consideration.”

Morrow said the comptroller’s office ranked Huntington Bay as “susceptible” to fiscal stress in February because its reserve fund decreased.

“We did some major reconstruction of the police department to save taxpayers an enormous amount of money in the long term,” Morrow said. The reorganization included incentives and retirement costs that reduced reserve funds but, Morrow said, over time would reduce village payroll for police by $400,000.

“We are in great shape, and the residents are not listening to the comptroller’s story.”

Despite what Morrow said, the state comptroller’s office confirms Huntington Bay is susceptible to fiscal stress.

According to a statement from Comptroller Thomas P. DiNapoli’s office, “susceptible to fiscal stress” is the least severe of three categories that all municipalities found to be under fiscal stress were filed into. The other two category designations are “moderate fiscal stress” and “significant fiscal stress.”

In order to be designated as “susceptible to fiscal stress,” a municipality has to reach at least 45 percent of the total points of the fiscal stress score. The scores are made using annual financial reports that are submitted by local governments to the state comptroller’s office. Fiscal stress is usually defined as a local government’s inability to generate enough revenues within its current fiscal period to meet its costs. The comptroller’s system evaluates local governments based on both financial and environmental indicators.

The indicators of a local government’s financial state are its year-end balance, operating deficits, cash position, use of short-term debt and fixed costs. Environmental indicators include population, age, poverty, employment base and more. Fund balances, like Huntington Bay’s reserve fund balance, are used to identify the amount of money available to cushion revenue shortfalls or expenditure overruns.

According to DiNapoli’s office, a negative or low-level fund balance can affect the local government’s ability to provide services at current levels. It also claims that fund balance is a strong measure of the financial condition of a local government.

In a letter Morrow posted to the Huntington Bay website when the scores were originally released in February, he criticized the message that the comptroller’s office was sending to residents.

“It makes the jobs of local leaders harder. It is a waste of New York State taxpayer dollars,” Morrow said in the letter. “With no conversation or discussion with our village, we were given a negative designation that is very misleading to our residents. By releasing reports that create inane headlines, they confuse residents.”

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Plan freezes salaries for pols, bumps highway budget

Town board members receive a copy of the 2016 preliminary budget. Photo by Victoria Espinoza

Huntington Town Supervisor Frank Petrone (D) unveiled a $188.7 million preliminary 2016 budget on Wednesday. Sept. 16, that reduces spending slightly from this year and stays within a state-mandated cap on property tax levy increases.

If approved, the budget would amount to a $29 increase for the average homeowner, if looking only at the town’s three major funds. The budget is balanced by a 1.3 percent increase in the town’s tax levy, because Huntington is using fewer funds from reserves to balance the budget, according to a town statement.

The town board voted at a meeting on Wednesday, Sept. 16, to schedule an Oct. 6 public hearing on the budget. The public hearing will take place at 6 p.m.

The spending plan is a “no-frills” budget, which is down from this year’s spending by .2 percent, officials said. The budget would maintain current services and reflects a reduction in staffing through attrition —fewer than five employees due to some retirements in the town’s General Services department, Petrone told reporters after the meeting.

There’s $1.9 million more budgeted for the town’s Highway Department, due to last year’s severe winter. That increase was offset by little to no increase in other major town funds and decreased spending in some of the special districts, a town statement said.

One of the issues the supervisor said he’s wrestling with is funding expenses taxpayers may want but that count against the municipality in its state tax cap levy increase calculations.

To that end, Petrone said officials have not included renewing a multi-million dollar Open Space Bond Act town taxpayers voted in favor of to have the town fund green initiatives, park improvements and land purchases, because revenue raised through the act counts into the town’s tax levy. Petrone also said that the town has been considering putting up a referendum to create a parking district, which could have the authority sell bonds to fund a long-desired parking garage in Huntington village, but that would count against the town’s tax levy calculation.

Petrone said he’s been calling on state lawmakers to look at possible revisions to the tax cap law in cases where voters directly choose to tax themselves.

“This 2016 budget preparation presented challenges and realities that will alter how the town does business going forward, without important changes to the tax cap act,” Petrone wrote in his budget message. “While the tax cap act seeks to stabilize the tax base, it also limits our ability to enhance or expand services to our residents.”

Other highlights of the budget include freezing all salaries for elected officials and appointment management, continued focus on building a $1.5 million new animal shelter and implementing design and initial construction of the James D. Conte Community Center at the former Huntington Armory.

The supervisor also proposed a $15 million capital budget that focuses on improvements to the town’s infrastructure, such as the rehabilitation of various plants and pump stations in the Dix Hills Water District to headworks improvements in the Huntington Sewer District. Funding is also included for road rehabilitation, drainage infrastructure and paving, according to the statement.

Victoria Espinoza contributed reporting

Commack Superintendent Donald James presented the district's 2018-19 budget draft. File photo by Greg Catalano

A state audit cracked down on the Commack Union Free School District, accusing officials of mishandling funds and costing taxpayers.

The audit, which was released Aug. 5, said Commack school administrators needed to do a better job overseeing the budgeting process after the district overestimated expenditures in its adopted budgets and did not use surplus cash to finance operations. The audit also found the district did not maintain a “complete and adequate” record of its fuel inventory to safeguard and account for its fuel.

“From 2011-12 through 2013-14, total actual revenues exceeded expenditures by as much as $3.7 million,” Comptroller Tom DiNapoli said in the audit, and while the district had a $24 million fund balance, it only used $1.8 million to offset taxes. “Had district officials used more realistic budget estimates, they could have avoided the accumulation of excess fund balance and possibly reduced the real property tax levy.”

The report also found that discrepancies in the fuel inventory records were not investigated. According to DiNapoli, Commack’s head groundskeeper performed a monthly reconciliation of district fuel purchase and use records with the actual fuel on hand but never acted on discrepancies, even though anything left unresolved within 48 hours must be reported to the state Department of Environmental Conservation.

In response, Commack Superintendent Donald James said the district had “varying fiscal philosophies” but cited a list of changes it would be implementing moving forward. As for the comptroller’s remarks on Commack’s financial condition, James kept it short and sweet.

“The district will review the expenditure budget areas and the variables affecting such areas discussed in the audit report in depth to assure reasonable estimates are presented,” he said in a statement.

District spokeswoman Brenda Lentsch said the district saves money through strong budgeting practices and all of its savings are returned to the taxpayers the following year.

“We go to great efforts not to spend the money the residents of this community entrust to us,” she said in a statement. “Further, the district returns every dollar not spent in the budget to the taxpayers to keep the tax levy as low as possible, and to continue to offer the multitude of programs and services that Commack is known for, and the community expects.”

On the subject of fuel inventory records, James had a lot more to say.

“The district has taken great care and effort to develop and implement new procedures to ensure that fuel supplies are adequately safeguarded, accounted for and protected against risk of loss or unidentified leakage,” he said in a response outlined within the audit.

Moving forward, James said the district would record, monitor and reconcile its fuel inventory via a senior account clerk and install video surveillance systems to monitor the area of the 2,500-gallon underground fuel tank and pump.

DiNapoli’s audit set out to evaluate the district’s overall financial condition and fuel inventory, specifically between July 1, 2013, and Nov. 30, 2014. The comptroller extended the scope of his audit back to July 1, 2011, however, to provide better perspective and background.

DiNapoli recommended the district develop procedures to ensure it adopts more reasonable budgets — to avoid raising more real property taxes than necessary — and use more of its surplus funds to support future budgets and reduce the burden on taxpayers. He also recommended the district adopt written policies to ensure fuel is periodically measured and to report discrepancies promptly.

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File photo

Calling upon previous instructions to be careful with Smithtown’s cash, two town board members voted against promoting two town employees at a public meeting Tuesday, though it was not enough to stop the raises.

Town Comptroller Donald Musgnug told the board in a special meeting last month that it must “tighten its belt” to protect its bond rating as the town goes out for bonding later this year to fund certain capital projects. Tuesday’s meeting agenda included two promotions that were ultimately approved by a vote of 3-2, but they were met with concern from Councilman Bob Creighton (R), who called upon Musgnug’s previous warning.

“We had Mr. Musgnug in here recently, and now I have a little bit of a problem,” said Creighton, who voted against the promotions along with Councilman Ed Wehrheim (R). “He tells us we shouldn’t be doing more promotions, and here it is, we have two more on here.”

The promotions ultimately went to Traffic Safety Department employees Dyanne Musmacker, to the position of senior clerk typist at $20.45 per hour, and Anthony R. Cannone, to the provisional position of traffic engineer at $54.07 per hour — both effective July 20. The two promotions were the only items Creighton and Wehrheim voted against in a list of 10 other personnel matters before the Smithtown Town Board on Tuesday.

Town Supervisor Pat Vecchio (R) defended the promotions, saying money was already allocated at the beginning of budget season for such raises.

“When the department asked for those promotions in September of 2014, I told them we would consider those promotions and that I would put the money in the budget effective July 1,” Vecchio said. “So there’s money already accounted for.”

Vecchio also said such a practice, allocating money in the budget for future raises, was not out of character for the town.

Creighton, however, was against the practice on the grounds of Musgnug’s presentation before the Town Board in which he expressed concern over the town’s financial future.

“My recommendation is that we fill only essential positions, promote from within where possible and leave non-essential positions vacant,” Musgnug said in his June 23 presentation on the status of the 2015 Smithtown budget. “The message is that we must continue to contain what we can control — expenditures.”

Musgnug said the town’s financial standing was ultimately on the line come the end of the year as it considers bonding for projects, and potentially faces a lowered rating.

“The rating agencies would like to see a structurally balanced budget,” he said at the June special meeting. “As we approach the 2016 budget cycle, the closer we are to breakeven in 2015 means less adjustments for 2016.”