OPINION: Putting Nassau finances on the right track

Edward P. Mangano is the Nassau County executive.

When I took office as county executive in January, I knew Nassau's finances were in rough shape. What I didn't know was that my predecessor left this county in worse fiscal shape that he ever let on. Nassau faces a $343-million deficit for 2011. This is the largest deficit in our history and is the result of years of mismanagement, a poor economy and empty promises of paying for deals without funding to fulfill them.

On Sept. 15, I submitted a budget proposal that attacks the deficit head on. My budget prevents the 43 percent property-tax increase that would have been necessary to close this deficit.

The Nassau Interim Finance Authority, created a decade ago to provide oversight of our fiscal problems, recently expressed concern about this budget. It presumably favors hiking property taxes over real reforms.

Despite the doubts of NIFA, I will say it again: I will not place the burden of Nassau's deficit on taxpayers' shoulders by raising property taxes. In fact, the multiyear plan I submitted to the legislature not only prevents a property-tax increase for 2011, but it also prevents one for each of the next three years.

What NIFA doesn't understand is that with 7 percent unemployment and rising foreclosure rates, families and seniors cannot afford property-tax hikes. The fact remains that NIFA's oversight and approval of past budgets - along with a state bailout of $100 million - did not fix our county's problems and instead allowed them to get far worse due to a lack of needed structural reforms. NIFA must share in the responsibility of our fiscal crisis.

The budget I submitted addresses Nassau's structural problems head on. First, I put an end to the "county guarantee," which requires Nassau - unlike every other county in the United States - to pay back not only its share of property-tax refunds but also the school districts' and towns' shares as well. For decades, Nassau has refunded $1 for every 20 cents it actually received. Ignoring this imbalance has created more than $1.5-billion in taxpayer debt.

Second, I will reform our sewer district to make all users pay for their fair share, and I will reduce rates for homeowners and businesses.

Third and most important, I have reduced the size of government and slashed the county's payroll - saving taxpayers more than $148 million annually. Under this budget, Nassau will have the lowest amount of employees since 1950.

That's the good news.

To avoid raising taxes, I had to make tough decisions, not the least of which is to order additional labor savings. We have one of the finest police forces in the nation, and our civil service employees are dedicated, hardworking men and women. I am hopeful we will come together to repair Nassau County.

The reality is that the prior administration signed deals with the county's labor unions that it could not honor. Despite the warning signs that the economy was worsening, jobs were being lost and people were being forced into foreclosure on their homes, the Suozzi administration made agreements with the unions without considering the consequences. In these times, it is clear that taxpayers cannot take on this extra burden.

These are different times that require a new way of thinking and firm resolve to do what is right. I will do what is right, because our county's future depends on it.