Levy: Prepare for budget uncertainties

For the third year in a row, Suffolk County Executive Steve Levy Wednesday instructed department heads to set aside up to 10 percent in nonmandated spending to cope with ongoing budget uncertainties including state aid cuts, high snow removal costs and potential shortfalls in county revenue.

Although Levy set aside $35 million in 2009 and $25 million last year, spokesman Dan Aug said owing to cuts already made in this year's budget, the current savings goal was just $18 million.

The county's discretionary budget is $978 million, said Gail Vizzini, the county legislature's director of budget review.

"The time to act decisively . . . is at the outset of the year, not in subsequent months when it's too late," Levy said.

Levy's directive includes cuts to supplies, equipment, building maintenance, travel, advertising and personnel. Contract agencies that provide county services are not affected at this time.

Vizzini called Levy's move "prudent" in light of the slow economic recovery.

She said that while "there are some indications the economy is improving . . . we're concerned about state aid, the governor's budget and possible local shortfalls like red light camera ticket revenues."

The county already is facing $26 million in state health aid cuts and $20 million in federal Medicaid cuts, while state pension costs are expected to rise by $50 million in 2012. Levy also budgeted $18 million in revenue from a shutdown of the county nursing home in Yaphank and the sale of the building and operating license - though the closing so far has been blocked by a lawsuit.