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County Executive William R. Steinhaus

Our Common Vision:

Getting There from Here

 

Chairman Kendall, Members of the Legislature, Guests -

Good Afternoon - We have faced and met many challenges together since my first State of the County address in 1992. Many of you in this room were here with me as I began with three ‘modest’ goals that first year; evaluating and assessing the operational areas of county government, putting our financial house in order, and helping Dutchess County regain its economic vitality. Our report card showed strong grades at the end of that first year, and we now can appreciate how important it was to begin by getting our house in order.

In subsequent county addresses I have presented dozens of new initiatives which you have embraced and supported that truly have made a difference in the lives of our citizens. We have strengthened our mission to create jobs and help people while cutting taxes; we have laid out the blueprint for our journey to a better tomorrow in the 21st century through our focus on children and families, on economic development initiatives, on investments in education at our community college, on administering a solid criminal justice system; and we have clearly expressed and begun to implement our common vision to preserve the character of our community and environment through smarter growth and long-term planning.

However, I believe the lessons learned in putting together the processes to build our firm financial footing, to create the necessary community consensus, to promote public/private partnerships through collaboration, and to breath new energy into our local economy have proven to be far more valuable than grades on that first report card, or any subsequent ones.

We have learned that while many of the creative and successful initiatives our community has embarked upon can start and have started on the 6th floor of the County Office building --- on both sides of the 6th floor --- they simply cannot begin and end on the 6th floor of this building with 35 legislators and a county executive. Major public policy decisions which impact the county, our communities, and citizens must be thoroughly discussed and wholly understood on multiple levels. The Legislature and executive, local elected officials, members of local policy boards, as well as the people of the community must be included in major public policy discussions which impact them.

Often, this community consensus building takes time and old fashioned hard work, but something else we have learned is there are always multiple choices, and different paths to take to achieve our goals. As stated by an unknown author, "One (path) is easy. And its only reward is that it is easy." In recent years, Dutchess County has not been known to take only the easy path, we are known to take the right path!

All of us in these chambers today share Common Visions and agree on many of the same principles. Where we differ, and what we frequently debate, is the path to take to get us from here to there. Let’s explore those visions and create the paths needed to carry us forward.

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Common Vision: A Solid Financial Foundation is Needed to Support Public Services

In putting the finishing touches on the 2001 Tentative Budget last October, we looked forward to continued growth in the national and local economies. We cautioned, however, that it is important to maintain the ability to meet sudden emergencies or economic downturns. I said, "Let us not lose sight of the simple reality that our nation is in the longest period of economic growth ever. History and prudence tell us that change will happen and we need to be prepared to respond." Well change did happen, and it happened quickly. By the time the 2001 Budget was adopted in early December, we had witnessed a slowing in Gross Domestic Product growth, watched the Index of Leading Indicators decline, saw the Index of Consumer Confidence slide to the lowest level in a year, experienced a tightening of credit standards and stood with fingers crossed as we watched our personal investments stumble in uncertain financial markets.

Dutchess Vs. NY County AveragesToday, we need to be more cautious with county finances than last fall since so much has changed. Despite that change, I remain secure in Dutchess County’s ability to respond to a changing economy and am confident in the strength of our county finances and the strategies and initiatives we have put in place over the past nine years to make our government among the most efficient and effective in New York. Based upon statistical data released by the State Comptroller recently, Dutchess taxes its residents 22% less per capita, and spends 23% less per capita than the state-wide county average. Of particular note, our outstanding debt per capita is an astonishing 58% below the statewide county average!

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Moody’s Bond Rating for NY State Counties Table
Dutchess County has a bond rating of Aa1, which is higher than 94% of New York Counties excluding New York City.

Moody’s Bond Rating for NY State Counties

Rating

# of Counties

Aaa

1

Aa1

2

Aa2

7

Aa3

2

A1

5

A2

12

A3

11

Baa1

6

Baa2

2

Baa3

1

As evidence of its financial strength, Dutchess received a MIG-1 rating, the highest    rating available on its short-term Series 2000 Bond Anticipation Notes, which were marketed last summer and maintains its Aa1 rating by Moody’s Investors Service on its long-term bonds. In its rating report, Moody’s cited improved financial results strengthened by recent surpluses, an improved economy with renewed job growth, reduced tax certiorari, and our manageable debt burden with rapid payout. In a credit forecast for New York State counties issued last month, Moody’s revealed that Dutchess and Orange are the only counties in the state to have earned Aa1 ratings. Only Westchester, where the local municipalities guarantee the county property tax levy, holds a higher Aaa rating. Moody’s offered high praise by noting, "Dutchess County is becoming the hub of high tech employment in the (Mid-Hudson) region, now employing the highest percentage of technical and professional employees in the region."

Further evidence of Dutchess County’s financial health is the property tax levy which totals only 23% of the county’s constitutional taxing limit and outstanding indebtedness which represents a mere 9% of the constitutional debt limit. And of particular importance to Dutchess County property taxpayers, the 2001 budget once again reduced the county levy—our sixth tax cut in the past nine years! Our property tax levy in 2001 is lower than in 1989, an achievement few governments can claim.

While we can be assured of the county’s financial well-being in the short term, recent economic changes underscore the need for caution in how we utilize fund balance. While we all know the saying, "Yes Virginia, there is a Santa Claus," let us remember he resides at the North Pole, not in the County Office Building! We must resist the temptation to use local tax dollars to supplement or supplant state and federal responsibilities. As I have stated repeatedly in previous State of the County addresses and budget messages, we cannot be all things to all people. If there are local needs which rightfully should be met by state and federal programs, our responsibility to our local taxpayers is to work with our counterparts in Albany and Washington for results, not succumb to the temptation to provide a cash bailout!

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We will also focus our attention in the months ahead to the 2001-2002 New York State budget. The Governor’s budget, released just last week, contains significant cuts in business and personal taxes and proposes major initiatives in economic development, housing, education, health care and the environment. We will be working with our counterparts statewide to identify the areas with the greatest impact on counties and to help shape public policy which achieves program objectives in the most effective and cost-efficient manner possible.

While recent changes in economic conditions signal a renewed call for prudence, I report to you today that the state of Dutchess County’s finances is sound. The reform agenda we established and the policies of fiscal restraint that have been followed enabled this government to maintain stability in good times and bad. Adherence to our core mission and the exercise of prudence in our financial decision-making will ensure the continued well-being of our financial position in 2001 and beyond.

Common Vision: Well Managed Economic Development--The Key to the Future

Dutchess County leads all of New York State in job growth--a remarkable achievement. The administration, with the support of the Legislature, together with our extraordinary organizations like the Economic Development Corporation (EDC), Industrial Development Agency (IDA), Chambers of Commerce, private sector, and others have detailed specific strategies and policies since 1993 which have proven our vision was on target, our plan was on target, and our decisions were on target. Our economic comeback has been impressive.

Thanks to you all!!!

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We now are reaping the harvest of what is expected to be 2,200 jobs at the GAP facility. It should be evident to the families enjoying employment at the GAP why we worked so hard to recruit the GAP and convince them to choose Dutchess County.

IBM will soon ramp up for 1,000 new employees at its 300mm Chip Fab Center. This $2.5 billion project puts us on the world stage as the largest project in IBM history, the largest project in NYS history and the largest project in the past half decade for the entire nation! It happened in Dutchess County because of the Economic Development Zone plan which we developed in the 90's. It happened because Dutchess County, the WWA, together with the help of many others, worked to commit the necessary water supply. It happened because Dutchess Community College tailored new technical degree programs to meet IBM’s needs. It happened because the administration and EDC worked relentlessly to maintain our relationship with IBM’s senior management, and $2.5 billion is happening in our backyard because we have worked tirelessly with State officials and Governor Pataki to keep Dutchess County in their mind at all times.

There are many successes other than the GAP and IBM, like Cervalis, the high tech Internet company, ETS, Epson-Seiko, Halo LSI, Multicast ISR all in Southern Dutchess, plus others like RJM Plastics, Harney’s Tea and Gray House Publishing in the Millerton Industrial Park--in total over 70 new companies/organizations convinced to make Dutchess their home. Our retention and expansion efforts, plus our external marketing, have helped create more than 20,000 new jobs since 1994-- an incredible 3,600 jobs in just the past 12 months alone! We have absorbed over six million square feet of previously vacant space, including over three million square feet of manufacturing space. And through extra care and responsiveness, like restructuring LOOP buses for five companies in Eastern Dutchess--Pawling Corp., Lumalite Plastics, Hunt Furniture, Westchester Modular Homes and Fiberlux--county government has directly assisted our residents along with Harlem Valley companies. As we promised two years ago, job fairs were held in the City of Poughkeepsie for city residents to access GAP jobs in Fishkill. Speaking of giving tools to help the City of Poughkeepsie, over 80% of the certified zone businesses are located in Poughkeepsie, accounting for $3 million of new construction.

The largest private sector job generators are among the highest paying industries. Dutchess County leads the Hudson Valley region in creating jobs in research and development-intensive industries. The nearly 500 manufacturing and high tech service companies classified as R&D intensive in the county paid an average annual wage of over $63,000. Twenty-seven percent of the jobs in Dutchess are professional and technical, a percentage that exceeds the region and the State. Approximately 16% of the jobs in the county were centered in manufacturing, markedly above the 11% in New York State.

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In 2000, Philips Electronics purchased the former Micrus Corporation. Immediately we met with company leaders to establish our new relationship. Future investment of $100 million and several hundred new jobs are expected to follow this acquisition. Most importantly for us, the Philips acquisition represents an important step in employer diversification in the County. Our policies have led to the NYS Department Of Labor stating, "Construction is extremely healthy--the best it has been," "...broad based improvement in manufacturing that is bucking the national trend," and, "Dutchess County, one of the state’s stellar performers. "

All this success has produced statewide and national acclaim. The June issue of Forbes listed Dutchess County as one of the best places to live and work in the United States. Our economic development team is in the Top Ten in the country and impressively, we are ranked #6 in the United States for growth in family household income.

Yes, the state of the Dutchess County economy is vibrant and dynamic. While success creates opportunities, it also creates consequences. Let’s examine those opportunities and consequences, define common visions, and create the path needed to move us forward in the year ahead.

Common Vision: Back to Dutchess Where It All Began

A Workforce Initiative to Enable our Children to Choose Dutchess County as Their Home

Our children understandably make choices to move away, some after high school and others after college; that is inevitable. But have we given them a viable choice to stay home or to come back home? With virtually no unemployment in Dutchess County and with our selfish wish to have our children near us, we would like to help them return home and participate in the local economy. Few realize that combined, our local school districts spend almost a half a billion dollars annually to educate our children? Surely the motivation for that investment is not to export our children elsewhere to build their labor supply? Let’s stop the brain drain!

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Let’s offer them a superb quality of life and exciting job opportunities. Let’s reintroduce them to the quality and excitement of our urban centers. Let’s allow them to share the spirit of hope and renewal exemplified by new business startups and the re-energizing of our traditional employers. Let’s roll out the red carpet for young workers from Dutchess County and elsewhere as they possess the talent to chart the course for Dutchess County.

Young Professionals

The Economic Development Corporation recently announced plans to take out print ads in the North East and New England newspapers advising young professionals they can find quality, well-paying jobs here. To supplement EDC’s efforts, I propose we also begin a movement to target Dutchess County’s "homegrown."

As we have done so successfully in the past, I will create a cooperative effort of the private and public sectors to look at creative ways to attract and retain the young working population in Dutchess County. I will call upon our local Workforce Investment Board (WIB) to create a work team representing the WIB and its youth council, EDC, IDA, businesses and schools to take this proposed workforce movement, "Back to Dutchess Where It All Began," from concept to reality.

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I will ask that a multi-pronged approach be developed that includes marketing and outreach, through advertising and web site development with links to colleges and high schools, so that our young people may learn about the great opportunities existing locally. We need to show how our quality of life can and does compete on the global stage! We can turn attitudes around with creative approaches and a minimal investment of dollars.

Common Vision: An Initiative to Foster Responsible Growth through Available Housing Choices

Dutchess is becoming a very dynamic county. Just look around you. Look at the thousands of commuters coming into the county across the Mid-Hudson and Newburgh-Beacon bridges; the thousands of cars on the Taconic snaking through the heart of the county going south and north; I-84 carrying people to and from Dutchess and Danbury, Eastern Connecticut and East Fishkill, Beacon and Brewster.

The County’s estimated population as of July, 1999 was a little over 268,000, a 3.4% increase from 1990; 76% of our employed residents commute within the county, 24% to points outside of the county.

Within walking distance of the county office building, eight new apartments were recently rehabilitated. They rented out quickly to young professionals. I cannot overstate the significance of this event. Young professionals chose to move into the heart of downtown Poughkeepsie into market rate apartments that were rehabilitated without government assistance.

Let’s extend this image. This summer Poughkeepsie’s Main Mall will be returned into a city street. Traffic and activity is assured and will be enhanced by the conversion of the Luckey Platt building into dozens of apartments and loft spaces. A jazz club is about to open at the former Up to Date Building and another is planned to follow on Church Street.

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We have also watched Beacon undergo an exciting transition into a city with new promise for the 21st century stimulated by a great deal of resources, good management, vision and assistance, and leadership from the county.

Neglect isn’t an option. The resurgence of our urban and village centers is essential for continued economic growth. The house in the suburbs will be balanced by the studio in the city, both contributing to a vitality that meets the needs of the young and old, as well as commuting families. But urban areas are harbingers of our new economy as we move forward.

A recent employer survey conducted by the Economic Development Corporation (EDC) showed that attainable housing in Dutchess County was of utmost concern. If we continue to see ourselves solely as a field for new, expensive homes; if we make decisions based on the notion that we do not want more school children; if we learn to distrust people who live in apartments or lower cost housing, then we diminish ourselves as a people and eventually we limit our economic vitality.

In every part of the county, we need a range of housing opportunities. As we encourage our young people to remain in Dutchess, or as we recruit productive workers into the county, they need homes, as well as jobs. A strong economy is based on interdependence, upon shared efforts of employers and their workers. Our housing opportunities must reflect this interdependence or we will increasingly become a commuter suburb to job sites elsewhere.

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I am asking today that we embrace our inclusive strategy for growth and prosperity. Let’s find a way to provide viable housing choices to people in all income groups. I believe new construction should include smaller, less expensive units, as well as large, luxury homes. Expensive homes along the Taconic, for example, often signal the strong economy of Westchester County, rather than our own. We need new construction that invites our policemen, teachers, health care workers, retail clerks, and others to Dutchess County and makes it possible for them to afford living where they work. Therefore, I ask you to share a vision similar to the one expressed for the hopeful residential renaissance occurring just a few hundred feet from the county office building.

I embrace the goal of adequate housing for the broad spectrum of people in Dutchess. Accordingly, I will ask the Dutchess County Planning Board to appoint a "Smart Growth Housing Task Group" to supplement the Planning Board membership. Its assignment will be to confirm and develop strategies to accomplish such a vision. It will identify obstacles to a balanced housing stock and then recommend what we must do as a community to overcome them.

I want the task force to suggest what it should be. What is our responsibility to provide housing choices to maintain a solid local economy? I want the task force to explore the relationship between the availability of a wide range of housing opportunities and the employers’ capacity to fill job openings.

I would expect its work to be completed by the end of the year. I am directing the Department of Planning and Development to provide staff support for this effort. While the expanded County Planning Board has a large responsibility in reviewing and preparing open space applications, I ask them to concentrate on housing issues, as well. The task group can include people from different parts of the county, builders and real estate professionals, rental housing providers, bankers, social advocates, and other citizens who have insight into and experience with the current dilemma. Importantly, it should also include local officials as well as members of the Legislature who have expressed interest in the housing availability issue.

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We have every reason to feel hopeful about this endeavor. Because we treasure our people as surely as our environment, we look for ways to connect us as a people and to seek balance as we develop.

We are in the midst of a growing regional pattern of commutation. People travel longer distances to work. We should not have to drive 40 miles to find a suitable house that we can afford. We have plenty of developable land closer in. Keeping jobs and housing together is the epitome of "smart growth." The ideal and goal must remain that we work in our community so that the highest level of local participation and citizenship can occur.

Common Vision: An Initiative to Enhance Community Service Through Volunteerism COMEVOL

The decline in volunteers for local fire departments is another example that illustrates my concern.  Our volunteer firefighters and EMS workers risk their lives for us everyday. The volunteer spirit evident in our County helps to enhance our quality of life and is part of a proud tradition here in Dutchess County. Yet there is a growing concern that this tradition is being threatened.

It’s no secret that our volunteer base is shrinking. There have been numerous news articles on the problem, including most recently regarding the Millerton and Union Vale Fire Departments. Another recent article indicated Pleasant Valley did not have sufficient firefighters to lay hose for a house fire and needed police officers to assist.

The need for volunteers is greater today than in the past due to the rising number of incidents and the increased amount of required annual training. However, the pool is diminished due to other pressures, such as the increasing number of residents who commute to work outside the county; more family activities such as little league, soccer, and after school events; more single-parent households and more households with two parents working outside the home. This trend continues to have a profound effect on the availability of volunteers to respond to emergencies.

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Emergency Service Personnel at Work

Dutchess County residents are fortunate to have a top quality early response system in place with its Enhanced 911 system. However, the benefits of that system quickly evaporate when there is an insufficient number of emergency service personnel on-call and readily available to respond. This is most apparent during the hours of 6 a.m. to 6 p.m. Monday through Friday when department and squad members are out of their districts at work. The lack of volunteers has impacted the EMS service most profoundly primarily due to the large proportion of calls they receive. However, the lack of volunteers also impacts the Fire and ambulance service, and the impact is growing.

We need unprecedented cooperation to address this issue now before it becomes a crisis. It has always been my philosophy and practice that partnerships and team building are the formula for success. Using an all-inclusive and collaborative approach to problem solving is the best, most effective method to achieve workable solutions. That is why I am initiating the Committee on Managing Emergency Volunteer Operating Levels (COMEVOL) to make an assessment of the challenge and develop possible solutions. I have asked Emergency Response Coordinator DeWitt Sagendorph to be a catalyst in initiating this effort.

I will also be asking representatives from the following organizations as well as membership of the public to participate on this work group: The Association of Fire Districts of Dutchess County; Fire Chief’s Council; the Emergency Medical Services Council; the Fire and Safety Advisory Board; Town Supervisors and Mayors Association; Volunteer Firemen’s Association; members of Volunteer Fire Departments; Fire Professionals; Volunteer Commercial Ambulances; and staff from the Department of Emergency Response.

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Common Vision: Initiatives to Ensure Sufficient Quantities of Safe Drinking Water

Dutchess County Safe Drinking Water Enhancement Program

Think about it. Every time we fill a glass with water, or go to the corner convenience store and buy our coffee or tea, we take for granted the water is safe for us and our families. Think again!

 

Young Child

For many families in our community a clean, a safe supply of water free of contaminants is something that is on their minds every day. Over the past few months we have witnessed the serious contamination of water supplies in Hyde Park and East Fishkill, underscoring the need for Dutchess County to play a larger role in monitoring and protecting this vital community resource. Accordingly, I am announcing today the Dutchess County Safe Drinking Water Enhancement Program.
Dutchess County is unique. We are second only to New York City in the scope of our water supply program. There are approximately 736 active public water supplies in our county, which is a greater number than any other county in the state.

 Recognizing this, we moved swiftly to take advantage of new State funding to expand our ability to monitor, protect, and ensure the continued safety of the County’s drinking water. Under this program we will expand the sampling of public water supplies, increase the frequency of on-site inspections, identify vulnerable sources of water, and review plans for new and modified supplies.

The department will also expand its sampling program by testing for a wider range of chemical contaminants, monitor supplies formerly outside its jurisdiction, and complete annual reviews of all systems which utilize treatment for biological disinfection, or the removal of chemical contaminants.

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In addition, this grant will enable our Health Department to provide technical advice and support to individual homeowners who rely entirely on their own wells for drinking water. Tens of thousands of homes in Dutchess County do not draw their drinking water from a public water supply; rather they rely upon private wells. I believe it is important the county assist these homeowners by providing technical guidance and knowledge necessary to understand how to monitor and protect their wells.

Also under this program, new laboratory equipment will be acquired to enable the department’s water laboratory to perform sophisticated analyses quickly and accurately, as well as additional data processing resources to record the vital information we collect.

Legislation to accept the grant funding to support this initiative will come before you in February.

Central Dutchess Utility Corridor

One of the most significant infrastructure projects to the future of Dutchess County is quickly becoming a reality. The Central Dutchess Corridor Water Line will deliver Hudson River water to communities, neighborhoods, and businesses along the Maybrook line corridor with a terminus in East Fishkill. The project is a collaborative effort with the State, local municipalities, the Water and Wastewater Authority, IBM and the County. We have worked hard to attract the interest and commitment of the other principals to make this project economically viable and without placing a huge burden on our local county property taxpayers or users. We went to Governor Pataki and he helped, we went to Senate Majority Leader Bruno and Senator Saland and they helped, and we have asked private business to help as well. I am particularly pleased to tell you we have secured from the partners 90% of the $23 million estimated cost of the project from our partners.

At present the administration, together with the WWA, is completing the environmental review and preparing for preliminary engineering design, work that will carry through this year into 2002, when we expect to move to construction. We anticipate we will soon be able to sit with you to fully engage the Legislature and begin to move from concept to implementation. Just as the Legislature was far-sighted in purchasing the Maybrook corridor, we must be far sighted in ensuring that a sufficient supply of safe drinking water is available from the corridor both now and in the future. We look forward to your participation and support of this effort.

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Common Vision: An Initiative to Facilitate Infrastructure Development

Another important initiative in the area of infrastructure development involves expanding the scope of the Water and Wastewater Authority to include a county-wide sewer district. This is not an expansion of power, just an expansion of opportunity. So as not to alarm anyone, particularly local municipalities, it does not imply a single wastewater system. Rather, it is an opportunity to effectively manage a multitude of small systems when and if local governments choose to avail themselves of the capacity.

For example, if a town planning board approves a rural site plan for compact development, say half acre lots in a three-acre zone, the balance of land will stay in permanent open space. To make this possible, however, the town must be assured that the septic systems or the small treatment plant will be properly maintained. This responsibility could be assigned to the WWA, similar to the small water and wastewater systems that have already been transferred to the Authority. These systems are supported by user fees.

As we look for efficient and effective ways to protect the rural landscape, few will succeed without a reliable process for management of utility infrastructure at a rural scale. Therefore, I will ask the Water and Wastewater Authority to work with our bond counsel to prepare wastewater district legislation for action by the New York Legislature, similar to the earlier legislation which established the county wide water district in 1992. This will give local communities an alternative to manage utilities that could give them the confidence they need to approve conservation subdivisions, rather than just carving our remaining open spaces into large house lots.

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Common Vision: A Coordinated Telecommunication Infrastructure

The Economic Development Corporation has spearheaded a task force of community stakeholders to explore telecommunications and fiber optics in Dutchess County. They researched business communication needs, developments in the telecommunications field, and the status of Dutchess County in telecommunications. The task force with support of multiple departments in the administration, has been exploring ways to enhance our telecommunications capacity while making sure that the process is managed appropriately. Two public workshops were held just last week where local officials and others learned about broad band communication and its application within their community. The Industrial Development Agency participated in this effort because of fiber optic’s profound implications for our economy.

I am directing County Attorney Ian MacDonald and Commissioner Akeley to continue working with local officials, business leaders, and the Legislature in this project. I have also asked them to draft a local law that will assure providers a uniform policy in Dutchess County and that will be available for local governments to use as a model in developing a standard approach to guiding fiber optic use within our jurisdictions.

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Common Vision: Preserving the Character of our Communities

Representative democracy is structured to be a deliberative process--it is expected to embrace various competing viewpoints. It is meant to invite into the process various interests and voices. Formulation of major policy with significant impact should be inclusive, and full discussion should be encouraged. The best democracy is when we have a broad-based discussion -- a conversation.

Farmland

Before you this month is a major public policy proposal to increase sales tax in Dutchess County with the goal to create a land preservation and conservation fund. This proposal resolution outlines many principles with which we all can agree and embrace: open space, farmland, shore frontage, and other scenic land uses are part of what gives our County its unique community character and exceptional quality of life; the policy to preserve our community character; the understanding that sprawl - type development will

inevitably consume such open space if not controlled; and the belief that it is in the public interest to encourage responsible development which is compatible with preservation efforts. I feel strongly in these principles as I know you do too.

Where we begin to differ is how we get there -- the path to follow to achieve our common principles. There are many available strategies, policies, and methodologies to explore and develop before concluding it is necessary to raise $44 million dollars in order to reach the goals of preserving the character of our community.

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I have communicated to you and the community my opposition to increasing the sales tax and removing another $44 million dollars from our local economy, directly out of the pockets of our residents. Frankly, I believe we should all agree increasing the sales tax for any purpose should be a mechanism of last resort. I also believe we can unite and identify strategies to accomplish our common goals of open space and land preservation without increasing the sales tax.

So far a very limited amount of time, a mere 30 minutes, was spent deliberating this $44 million tax increase at the committee meeting last Thursday, and this was the very first time it was discussed in these chambers. This proposal, which is the largest tax increase since the last time the sales tax was increased in 1989, demands much broader discussion and community consensus.

I have been in county government for 25 years, executive for nine, and along with many of the long-serving legislators here today, have observed the legislative process wrestle every type of major or minor issue imaginable. Dutchess County has a history of taking the time needed to analyze and debate major issues. For example, we devoted three years of discussion and study to the Dutchess County Jail expansion, two years of analysis to the Dutchess County Court House expansion, 1 ½ years to the Dutchess County Parks Plan & Bond, five years to E-911, and two years of deliberation on the closure of the Infirmary. Each of these policy issues warranted multiple legislative committee meetings and multiple full board meetings; hours upon hours of discussion, deliberation, and debate. In the end, we can all agree the results warranted the time spent.

Yet the debate hasn’t been on major issues only. I can also cite numerous examples of minor issues given much more than the 30 minute discussion this $44 million sales tax increase proposal has received. Just last Thursday a tractor and a couple of lawn mowers in the fleet bond proposal caused quite a stir. Why? Some legislators felt they did not have enough information and didn’t have enough time for appropriate review.

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As a matter of practice, and often justifiably so, the Legislature has put demands on the administration for specific information about spending proposals for both large and small items. During one budget review, a former Chairman of the Legislature said when referring to the administration’s budget, "It (the budget) says, ‘We need four rakes and three brooms.’ It doesn’t say why." I offer that example because of its extreme contrast to the standard of review being used in the case of this major public policy decision of increasing local taxes by $44 million.

Let’s be candid, if the administration, through its Executive Budget proposal were to recommend an $8 million dollar annual tax increase for each of the next 5 years--totaling over $40 million of new money to be raised -- the Legislature (again justifiably so) would want to see conclusive proof of the need, and the details on how the money would be spent. I can guarantee the Legislature wouldn’t just trust us, and you shouldn’t! When the Commissioner of Public Works comes to the Legislature for a highway bond of from $3 to $6 million dollars, he provides a specific project list of highway bridges, roads and intersections. Considerable debate and questions follow. Usually after a month or two of legislative review, the Legislature adopts the bond. The Legislature would not and should not authorize such an expenditure with the explanation that "We all know the roads need more money, just trust us."

One must question where the $44 million number for this proposal comes from. Is it the total of some identified parts, is it the aggregate of an agreed upon project list? Did it originate from a study, analysis, assessment or evaluation? One could speculate it is simply the amount that happens to be produced by a 1/4% increase in sales tax! Is that the way we should determine public or fiscal policy -- by the amount of money supplied rather than by a specifically identified demand?

Now let me turn to the concept of what the sponsors propose to create--a dedicated tax--with what supporters have characterized as a "permanent" revenue stream. By itself, many can legitimately question the very fairness and appropriateness of a dedicated tax for any singular purpose.

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Every year during our annual budget cycle the amount of dollars spent for senior citizen nutrition programs competes side by side with money allocated for day care for children; allocations to support Cooperative Extension and farmers compete dollar for dollar against how much we appropriate for libraries; the amount we spend on programs for the mentally ill competes head to head with money allocated for veterans; and of course, how much we spend to buy salt and sand for snow storms has to compete for limited tax dollars against how much we spend on 911 services or Deputy Sheriffs patrols. Budgeting to accommodate multiple competing interests and needs requires a careful balancing act, looking at everything we do in totality.

I have not previously heard from this Legislature the need to create a "dedicated" pool of money to fund any particular service or program. Should allocating money for a sewer project somehow be elevated to a higher level warranting a dedicated source of funding versus allocations for other critical health or human service programs we provide?

There are many issues to be explored in the open space/infrastructure proposal before us, including:

  • Why isn’t cost sharing part of this proposed program? Cost sharing and leveraging others money has enabled us to protect 500 acres in East Fishkill and Red Hook at an average of only $930/acre.

  • Why is the bill written to exclude the Water and Wastewater Agency from participation?

  • How will the infrastructure grants be administered and what criteria will be used to evaluate competing proposals?

  • Is it the Legislature’s intent to remove the acquired property from local City, Town, Village, and school district tax rolls?

  • How do we avoid the problems Suffolk County has endured with its open space acquisition program where, according to Newsday, "Experts debate whether the towns have extra purchasing power to buy more land, or simply extra money to buy the same land that now costs so much more." (I have placed an article from Suffolk at your desks that I recommend you review today because it raises some compelling questions.)

  • The Federal 2001 budget includes pending legislation that would provide $10.75 billion dollars to localities for open space, brownfields, infrastructure and more. Is this a program in which Dutchess might be interested? What state dollars are available? Shouldn’t we exhaust these sources before seeking $44 million from Dutchess County taxpayers?

  • Why would county government fund local town capital projects when it has not committed money to its own list of unfunded county government road and bridge capital projects totaling more than $25 million?

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Don’t you agree that local officials and the public, alike, have the right to be informed of these and many other issues? Don’t you agree that it is our responsibility to help them become informed?

So where do we go from here? As I stated earlier, I believe most of us agree on the common goals for our vision of open space and farmland preservation; most of us share common ground in the values of smart growth; most of us agree on the goals and objectives of our adopted Greenway Program. I do not believe, however, there is community consensus that we should raise $44 million in new sales tax money to accommodate this common vision without first exploring other, alternate funding streams strategies and policies already available.

Chairman Kendall and others indicated at the June land use conference that the various options on land use issues coming out of that conference would be further discussed for some type of community consensus, and that a second workshop would be convened to come to a final consensus on strategies and policies. The idea that an increased sales tax could be used for financing land preservation was but one of several options brought out in the report. Community consensus building on the sales tax option has not occurred, nor has to my knowledge a second workshop been planned for that purpose.

Our next step, therefore, is to devote the time this important initiative deserves. Accordingly, Mr. Kendall, I respectfully request you table your $44 million sales tax proposal. A broad based, diverse group of the Who’s Who of Dutchess County leaders and representatives of 2,500 businesses from the Chambers of Commerce, the real estate community, the Builders’ Association, bankers and others have also requested you table this tax proposal for further discussion. The coalition has asked for the opportunity to work together with the Legislature, the administration and other leaders over the coming months.

Mr. Chairman, we have a unique opportunity to find common ground not only on our vision and goal, but also on how to get there from here, how to realize our vision at a price we can afford -- to join together in a true community consensus to achieve this common vision of smart growth.

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I propose, Mr. Chairman, we take advantage of the experience, wisdom, and insight being offered. It is clear many people want to be able to embrace this vision but cannot support the method. It is clear there are Democrats and Republicans in these two caucuses who are reluctant to vote for a huge tax increase but want to embrace the vision. And certainly you know my commitment to the principles of this common vision of preserving the character of our community, and I reaffirm that here.

I am delighted we have expressions of interest by those who want to participate in this community consensus building--local officials, planners, environmentalists, business owners, economic developers and others--and of course our Planning Board and Planning Federation. I am absolutely confident we have the capability to spend these next few months, by rolling up our sleeves and being inclusive and extensive in our conversation, to come up with a workable consensus program. I commit my legal staff, my financial staff, my executive staff and other necessary resources of expertise to start this dialogue, and we can set a February date to begin that dialogue. As that conversation begins and evolves we will also have the benefit of receiving our 2000 year end financial closeouts in April which will more accurately detail our financial position and fund balance.

Two hundred years ago, Thomas Jefferson said in his 1801 Inaugural Address, "Every difference of opinion is not a difference of principle." I say, let all the people’s voices be heard. It is better to get it right than to just get it.

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Before I close today, I also want to recognize the county’s workforce. I am proud of their efforts to respond to the needs of our dynamic county and citizenry. While it is true many initiatives have begun on the 6th floor of the county office building, in these chambers, and in board meetings all across the county, it is also true none of them would achieve the acknowledged success they have without the hardworking and talented members of the county government management team and workforce - those charged with "getting us there."

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It is easy to take for granted many of our technology improvements starting with our wide area network (WAN) that will now allow us to integrate a new financial management system and integrate our criminal justice system, both making us more effective and efficient. Each year we make progress and take advantage of new technologies like our geographic information system (GIS), and our public safety mobile data system. The technology is there, but it takes our dedicated workers to make it happen.

As a county government, we are recognized statewide with numerous programs and initiatives: for recent recognition from the State Office for the Aging, "... The Dutchess OFA ...is without a doubt among the best in the State of New York"; for programming in our Health Department including collaborative efforts that could lead to the control of Lyme Disease and that support the Children’s Health (Tobacco Free Youth!) Initiative; for the work of the Youth Bureau and the Department of Social Services to integrate county planning in relation to their programs and services, as well as the strong lead each has taken in making our Children’s Services Council a meaningful collaboration to improve the lives of our children and families; for the dynamic leadership in our Department of Mental Hygiene to provide and oversee community services for our mentally ill, including implementing Kendra’s Law; for the Department of Public Works staff in keeping our roads safe, our Parks clean and vibrant; for the extraordinary and creative work our Planning & Development department has put into our "model" development of the Greenway Program, a certain legacy for future generations; and for the care and attention given our veterans and all our citizens through the efforts of the Veterans Affairs and Consumer Affairs. We cannot perform without the day to day administrative and legal support provided by the staffs of the County Attorney, and the Personnel, Finance, Risk Management, Real Property Tax, Central Services, and OCIS departments. Our Emergency Services, law enforcement and criminal justice service providers are second to none in keeping our community and citizens safe. And I must mention the other county wide elected officials and their staffs for the fine work they do in providing many services to the government and to the community. I know the Legislature joins me in saluting you.

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Throughout this address, I have attempted to paint a picture of Dutchess County as the dynamic county it is. I’ve talked about the importance of finding community consensus on major policy issues before choosing a course. And I want to emphasize we have been successful in accomplishing our common visions without the need to raise taxes. In fact, we have cut taxes.

We have always chosen the path of hard work, creativity, and persistence in finding the solutions to our challenges and our common visions. As a result, we have accomplished more with less. Our citizens and businesses recognize and appreciate our efforts. Now is not the time to change paths, and look to our citizens to give more to accomplish the same.

As we shared the special moments of the Inauguration of President George W. Bush, we heard our new President speak of his priority of cutting taxes to re-stimulate the economy and to allow the people to choose how best to spend their money. When President Bush finished those remarks, we also heard the loudest applause of the afternoon!

TEAM Dutchess in our community; TEAM Dutchess in our government; TEAM Dutchess lights up the scoreboard. Unlike sports where the game ends and every one goes home, in public service and government, there is no finish line, no end of the game. But we need to remain committed to playing our hearts out; to run in the front of the marathon; to always move the ball toward the goal; to work together as a TEAM to achieve our common vision for a better community.

Thank you for your courtesy and attention, and May God Bless Dutchess County.

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