By MIKE CAPUTO
Lawmakers are staring at a state budget with an anticipated $15 billion gap, and Gov. David Paterson left no doubt about what was in store when he released his proposed spending plan on Dec. 15. It includes major cuts in state aid for education and health care, the elimination of School Tax Rebate, or STAR, payments to homeowners and the institution of new taxes for certain goods and services.
School districts on Long Island, which already receive the smallest amount of aid of any region in the state, would be hit the hardest. The executive budget reduces education aid by 4.7 percent statewide, and 6.6 percent for Long Island schools. According to East Meadow Superintendent Leon Campo, the district stands to lose about $3 million.
"We have prepared for a rainy day," Campo said, "but what the governor is proposing is more than a rain shower - it is severe."
Campo said it would take teamwork and "creativity" to mold a spending plan that is best for the district and its taxpayers. "We are really in a bit of a jam, but we are going to be creative, and we need to work together," he said.
The school district is urging residents to sign a petition to be sent to Albany. It states: "The State Aid cuts proposed by Governor Paterson, if enacted, will devastate our public schools, reduce essential educational opportunities for children and increase property taxes." Several residents signed the petition at the school board's public communications meeting on Dec. 18.
East Meadow taxpayers continued a tradition of supporting school budgets by approving a $171 million spending plan for the current academic year last May. The district has operated under an austerity budget only once in its history.
To close the yawning gap in the current fiscal year budget, Paterson proposed a deficit reduction plan at a special session in November that would have cut state education aid in the middle of the year. The plan did not make it through the state Legislature.
"The best thing we did for them was not do midyear cuts," said Assemblyman Tom McKevitt (R-East Meadow). "Midyear cuts devastate you. Tomorrow, at least they know going into it."
Paterson did include measures to ease the unfunded mandates - required spending that is not reimbursed - that often handcuff school districts in the middle of an academic year.
But he also proposed significant reductions in the state's Medicaid program, which could affect all hospitals, including the Nassau University Medical Center in East Meadow. Arthur Gianelli, president and CEO of the Nassau Health Care Corporation, which operates NUMC, noted that jobs and services would be in jeopardy if such a plan passed.
"Cuts of this magnitude would be impossible to sustain, and would require major service reductions and the laying off of personnel," Gianelli said.
The executive budget also includes several new or revised taxes on goods and services. It would levy taxes on items like nondiet soft drinks and iTunes, and services like haircuts and massages. "Those fees add up to real money for every single taxpayer by driving them into bankruptcy," said Assemblyman David McDonough (R-Merrick), who represents southern portions of East Meadow.
Last week, McDonough joined several Republican Assembly colleagues at a press conference to address the impact that the proposed budget would have on Long Islanders. Despite their criticisms, they lauded the governor for releasing an early plan to address the state's financial situation.
Assemblyman Rob Walker (R-Hicksville), who represents Salisbury and parts of northern East Meadow, explained that the proposal offers lawmakers a chance to reach out to others, carefully analyze the state budget and make changes. During a recent meeting with an organization that focuses on autism, Walker said, its members pitched several ideas on how to save money while offering even better services. "They want to see that money spent better than possibly better than we do," Walker said. "We have the opportunity to sit down on a dollar-by-dollar basis from top to bottom and figure out a better ways to spend state taxpayers' money."
McKevitt said that instead of filling vacancies in various agencies, the state should enact a hiring freeze to gain significant savings. "The governor is talking about maybe laying off some employees, but in an average year we're talking about 12,000 retirements," he said. "If we just don't go and fill up those positions, that is a significant area we can go and gain some savings."
Sen. Craig Johnson (D-Port Washington), who represents portions of Westbury, said in a statement that he is concerned about the proposed cuts to schools and health care institutions and opposes the elimination of the STAR program. Like many of his colleagues, Johnson said he is looking forward to working with the governor, who invited lawmakers to provide input on how to close the budget deficit.
"I fully intend to take him up on that offer, and will fight to restore this funding," Johnson said.
Comments about this story? MCaputo@liherald.com or (516) 569-4000 ext. 287.
