Government Operations Meeting
Catskill Town Hall
November 10, 2008 6:00PM
Attending: Supervisor, Peter Markou
Councilman, Robert Antonelli
Councilman, Patrick Walsh
Councilman, Michael Smith
Dep.Tn.Clerk,Florence M. Fielman
Comptroller, Sandra Misevcis
Absent: Councilman, Lewis O’Connor
Supervisor Markou began the meeting at 6:00 pm. The only person from the community in attendance was Colin De Fries, from the newspaper.
The Supervisor began by discussing a handout sheet from the Assessor regarding some changes in valuation of specific commercial properties. The Assessor said that the changes were a result of personally checking said properties. Supervisor Markou said that the biggest hit was from Loews, that their 485 exemption goes into effect 100% this year, in 2009, and that 3 million dollars will be exempt from taxation. Of the 4 companies that are grieving their assessments, the Assessor has calculated their tax relief, and the tax loss on each entity, and the School District has a significant loss of revenue. The Supervisor said that he has a call into the Superintendent, Kate Farrell, to talk to her about this situation, because the Town has already gone through half of our legal expenses allocated to the
Assessor’s office. These petitions are going to cost money, so the Supervisor stated that he was going to try to get the School District to participate
financially in fighting the assessment reductions. He was bringing this situation to the Board so that they would be aware while going through the budget process.
Comptroller Sandra Misevcis handed out information sheets to the Board to look at another round of cuts to the budget, using 4% raise figures. She said that the cuts suggested were highlighted in yellow, basically were in contractual expenses, as follows; justice’s office down another $3,000.00; took the auditor out, and decreased computer equipment to $10,000.00 in the A fund, took out $3,000.00 from Dog Control, Cemetery. In the B fund, she said that she kept the Youth program expense the same, since she didn’t touch the $100,000.00 in the A fund. Also in the B fund, in the DA fund, dropping the payroll part of that down, since that is used very rarely. She didn’t touch the Highway at all. With these cuts, keeping it at 4%, it keeps the tax rate at $5.29/thousand,
equaling an 8% increase, opposed to the almost 10% in the initial budget.
Councilman Smith inquired about the Community Center. The Comptroller stated that she did not touch it, that it was left at the original amount.
There was some discussion about considering further changes, including reducing proposed salary from 4% to 3%. In considering these reductions, there is a real concern on the part of the Board regarding overspending, which will need to be vigorously monitored. Comptroller also stressed the importance of sticking to hours, and budgets, that there is no room for overspending.
Supervisor Markou mentioned that when there are overages on part-time work, that when the monies are expended, then the employee(s) can be furloughed for the rest of the year. Everyone has to be careful with expenses and the need to prioritize.
Councilman Patrick Walsh expressed his concern about the overall economy and effect on all.
Gas prices are down now, but for how long? How are people going to manage, between rising prices, slow economy, and unemployment. We are also in negotiations.
Councilman Smith remarked that we are all concerned about rising unemployment, increased prices, increased costs, and what kind of tools do we have in dealing with the unions? Suppose they want 4%?
Supervisor Markou stated that will be brought about during negotiations, but in reality, they could go to arbitration. It is unknown what will happen, however, everyone needs to be aware that there will be some hits.
Councilman Smith states we will need to deal with the reality of where we stand. He supports reducing the increase within the Town to 3%. If the Unions perceive that they are entitled to more, then let them fight it.
Councilman Walsh stated realistically the Town employees have a secure job. They have good benefits and believe that a 3% raise is appropriate. We are trying to keep the taxes down for the normal person out there. Councilman Smith agrees.
Councilman Walsh stated 1% is 1%. Supervisor Markou stated we are down to 36 cents. Sandy stated if the Board goes to 3% it will go to $5.25/$1,000.
Councilman Smith asked Councilman Antonelli what his point of view is. Councilman Antonelli stated that the problem is what you can’t see. He doesn’t understand why the Highway hasn’t sat down with us yet. Usually they are the first. He agrees with Peter and Sandy. He stated that Department Heads need to watch their spending because we are going to run into a problem. When people are only supposed to work 20 hours and they are working 30, 32, 35 hours it creates a problem. There are other areas that adjustments can be made to the budget. He believes that new employees should contribute to health care benefits. Retirement benefits should also be looked into. He stated that he prefers the 4% to build in some safety. There will not be any
money left to help if need be.
Councilman Walsh asked about the 4% built in. Councilman Antonelli stated he is worried that if the Unions come back and the Board says agrees to say, 3 ¾%, where will the money come from for that ¾%? Councilman Walsh stated that the wage will be non-negotiable. Councilman Antonelli stated, yes, you can make the wage non-negotiable, but then you will be spending another $25,000 to fight it in arbitration. The Unions don’t care.
He believes the Town Board should not take an increase. Even though the increase is $800, and it won’t affect the budget, symbolically, it shows the taxpayers that we are participating.
Councilman Smith asked if we put into the budget concerning a specified amount for Town employees and also something in regard to union negotiation that it gives a signal. Is it possible to create a contingency fund?
Supervisor Markou stated it is already there. Councilman Smith stated that with the regard to the contingency fund, if there is a 3% across the board increase, can we raise the contingency fund above that in order to take care of issues concerning litigation and the cost of litigation.
Supervisor Markou stated that the percentage changes. So instead of a 7% you may go back to 8%. The contingency is based on the percentage across the board. There is no way of providing the cushion without having that increase (36 cents). What we need to decide is, do we do the 3% and let the chips fall with the Unions? His feeling is that he is going to be as intransigent with the Union as he can be. He make talk about other things but he will want something back. He believes that they know it is a tough year for everybody. It is easy to say this is $36 on a $100,000 house. This may be a big deal for people. He states the Board needs to do something that shows we are cognizant of the fact of our financial environment.
Everyone in attendance agreed to the 3% pay increase across the Board.
Councilman Smith asked about funding for the Community Center and if the $100,000 was still in budget. Councilman Antonelli stated that the $100,000 is in the budget. Councilman Walsh said we all agreed to that amount. Supervisor Markou stated if we reduce the amount to $75,000 it changes the tax rate by four cents/thousand. Councilman Smith stated he supports the continuation of the $100,000 to the Center. Councilman Antonelli stated he supports the $100,000 funding this year, but eventually, their funding will have to be cut.
Councilman Smith stated that what the Center needs to do is to raise money so eventually the contribution from the Town can be reduced.
Councilman Smith asked Sandy if there is anything that the Board should be addressing. She stated that she wanted to reiterate that this is a really cut budget and the Board will need to keep after the Departments to stay in line with expenses. There is not a lot of leeway in the budget.
Supervisor Markou stated that in January at the re-organizational meeting, when the Board gets their committee assignments, the Board will have to watch their Departments. He stated that once the budget is adopted, there should be a meeting with all the Department heads to let them know that they need to really control their budgets. Councilman Walsh stated that if the Department heads don’t control it, then there will be a zero percent raise next year.
Councilman Antonelli stated that we should try to reduce our energy consumption.
Supervisor Markou stated that a memorandum will be sent to the Department Heads regarding the budget and to make sure they stay in line.
Supervisor Markou asked if there was any other business before the Board. Sandy asked if he wanted to discuss the smart technology regarding the ambulance. Supervisor Markou wants to discuss it at the next meeting. Sandy gave out a handout to the Board.
Supervisor Markou stated the Ambulance service has come up with a code of conduct. This was distributed to the Board members.
Sandy handed out a packet on accounts that have gone over or the potential to go over by the end of the year.
With no further business, Supervisor Markou asked for a motion to adjourn. Motion was made by Councilman Smith and seconded by Councilman Walsh. Meeting ended at 6:45 pm.
Respectfully submitted,
Florence M. Fielman
Deputy Town Clerk
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