NIFA demands budget details from Mangano

Nassau County Executive Edward Mangano works in his Mineola office. (Dec. 16, 2010) Credit: Newsday/Alejandra Villa
Prove it.
A state oversight agency that is threatening to take control of Nassau's finances has given County Executive Edward Mangano a detailed list of demands for information showing his new budget is balanced.
In a letter obtained by Newsday, the Nassau Interim Finance Authority asked Mangano for new documentation about his budget - including $61 million in promised union concessions. The latest development came as a top county labor leader said his members will agree to no more givebacks this year.
NIFA members have refused to publicly describe their doubts about Mangano's $2.6-billion budget, saying only that they believe it is not balanced and may contain a 1 percent deficit - which would trigger a takeover.
But in a letter to Mangano on Dec. 31, NIFA chairman Ronald Stack tipped his hand about the board's specific worries as he demanded backup budget information in staggered deadlines through Jan. 20.
Besides documentation on the union savings and $172 million in "contingency" cuts and revenue, Stack also requests details on $65 million in surpluses, claimed by the county.
Deadline set
A Mangano spokesman said Thursday the administration will provide all the requested information by the Jan. 20 deadline.
Both Mangano and County Comptroller George Maragos insist the budget is balanced. Nonetheless, Maragos said Thursday that "structural fiscal reforms promised in the 2011 budget and beyond cannot happen" without the union concessions.
But Police Benevolent Association president James Carver said all five county unions are in the middle of a three-year concession plan negotiated by the former administration of Democrat Thomas Suozzi that is saving the county $150 million. The PBA also agreed to a buyout plan that reduced the police head count, saving another $25 million, he said. An additional $61 million in concessions would mean an 11 percent pay cut for each union member, he said.
"The PBA has done its fair share and held up its end of the bargain with its concessions," Carver said. "Without knowing what role NIFA may play in 2011 and beyond, it would not be prudent for the PBA to enter into a further concession plan."
Gary Learned, president of the Superior Officers Association, added: "We've never had any discussions for saving them $61 million in 2011. All of the things we've been working on were for 2012 and beyond."
NIFA members complain privately that Mangano and his staff have not delivered on their promises. For instance, NIFA was told that union concessions were imminent and would be achieved before the end of 2010; that state legislation authorizing new revenue initiatives, such as additional red light cameras, would be filed last month and that Mangano had secured state approval for a new quarter-cent sales tax increase - even though he now denies publicly that he even asked for it.
Credibility questioned
NIFA member George Marlin expressed the board's dismay at a public meeting on Dec. 30, when NIFA issued the Jan. 20 deadline for Mangano to prove his budget is sound. "There is the credibility deficit. A lack of candor from the county executive," Marlin said. "Promises made, not kept."
Mangano insists that the contingencies and a surplus will make up for any lack of progress in labor concessions. "This year's budget is not predicated on additional labor savings, red light camera expansion or a sales tax increase," he said. "While NIFA would like to see additional taxes generated from our residents, now is not the time."
A Mangano aide noted that NIFA would save only $10 million if it declares a control period and freezes union wages, which are scheduled to begin increasing April 1, while Mangano could achieve much higher savings through negotiations.
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