KINGSTON – Noting that he takes little solace from the fact that Ulster County is in better condition than many neighboring counties, County Executive Mike Hein said that the county is still facing one of the most challenging times in its history. During a roundtable discussion with area media, Hein spoke on March 31 to his concerns about the county's fiscal standing, its budget history and the impact of federal stimulus funding on its budget.

Federal Stimulus
Hein said his position as the first executive of the county's charter government also establishes him as chair of the transportation council, enabling him to work with all county municipalities regarding roads, bridges, and public transportation. He said the $20.7 million of stimulus money the county has already received will be used for the municipalities whose projects met the federal threshold requiring the job to commence within 120 days of filing.

The reason for its 120-day threshold is the purpose and goal of the stimulus, which, as Hein explained, "is to put people to work immediately."

Hein expressed concern over the Department of Environmental Conservation's ability to move all of the projects through within the federal timeframe. He likened the DEC's process for handling the influx of stimulus initiatives to "moving a bowling ball through a garden hose."

Despite allocated funding designed specifically for administrative support within the stimulus funding, Hein questioned whether the amount would be sufficient to help the process move at a faster pace.

"It cannot continue to take five years to get a shovel in the ground or to come to a decision in Ulster County if we intend to compete globally," he said.

Hein also expressed concern that that everybody involved in the federal funding process must understand "just how severe the penalty is for getting it wrong," which can result in the immediate withdrawal of all federal funds for these projects.

More than $750,000 of stimulus funding is also allocated for specific environmental and alternative energy projects in Ulster County. Much of this funding will be used for "air-handling units and insulation at the Business Resource Center," to replace with solar lighting the streetlights and parking lots in the Golden Hill complex, and for solar panel installation in a salt storage shed and substation already undergoing construction in New Paltz.

In addition, the Office of Employment and Training will be receiving roughly $1.07 million in federal stimulus funds over the next 15 months — money that Hein says is targeted to "help youth, disadvantaged and displaced workers."

Fiscal concerns
Evidence of the economic downturn, for Mike Hein, is the fact that 8.4 percent of Ulster County's working population is now unemployed. In addition, he maintained that people have stopped buying at the county's retail businesses. As a result, Hein anticipates a possible 10 to 12 percent shortfall in sales tax revenues, representing an $8 million impact to the county's bottom line.

The county executive also expects the county to suffer budgetary deficits due to the state's imminent changes to the Rockefeller Drug Laws. Enacted in 1973 at the behest of Governor Nelson A. Rockefeller, the drug laws imposed stiff mandatory sentences for unlawful possession and sale of controlled substances based on the weight of the drug involved.

Though reformed in 2005, the laws still carry mandatory two-year sentences for first-time offenders; when the laws are changed and no mandatory sentence is imposed, drug offense sentences will likely average 8-10 months — time that Hein said the state will argue is served more cost-effectively in county facilities. Additional costs related to the changed drug laws will be accrued through an increased demand on the county's probation and mental health officials, as well.

Salary Freeze
The people's desire in creating the charter form of governance, Hein said, was a call for accountability. "The people in Ulster County wanted somebody who was going to step up," he said, adding, "and, as such, I am stepping up."

To that end, he announced a pay freeze for all "non-union management salaries at current levels for all 2009 and 2010." Those affected by the pay freeze include Hein, his staff and 143 non-union managers. Of the salary freeze, Hein said, "It's important that I lead by example and I'm committed to doing exactly that."

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