Enacts the "Rockland county financing act" to authorize the county of Rockland to issue bonds

1 Co-sponsor

• William J. Larkin Jr.

BILL NUMBER:S4674 REVISED 5/6/13

Title of bill

An act authorizing the county of Rockland to issue bonds; and providing for the repeal of such provisions upon expiration thereof

Purpose

To authorize the county of Rockland (the "County") to issue up to $96 million in bonds to liquidate the projected accumulated deficit in its general fund for the fiscal years ending December 31, 2010, December 31, 2011 and December 31, 2012.

Summary of provisions

The County is authorized to issue bonds on or before September 30, 2014 in an aggregate principal amount not to exceed $96,000,000 for the specific object or purpose of liquidating the projected accumulated deficit in the general fund of such county for the fiscal years ending December 31, 2010, December 31, 2011 and December 31, 2012. In anticipation of the issuance of the bonds authorized to be issued by this act, the issuance and sale of bond anticipation notes is authorized.

For each fiscal year during the time bonds and/or notes issued pursuant to this act are outstanding, the County Executive shall submit the proposed budget to the State Comptroller thirty days prior to the county legislature's scheduled vote on the adoption of the final budget. The State Comptroller shall examine the proposed budget and make recommendations and the county shall make adjustments to the proposed budget consistent with any such recommendations.

Justification

The County needs state legislative approval to finance the projected accumulated $96 million deficit over a ten year period. The County increased property taxes by 30% in the County's adopted 2012 budget, is currently negotiating with its public employee collective bargaining units to control personnel costs, and is otherwise evaluating its policy options to address significant increases in the costs of state retirement fund contributions and unfunded state mandated service costs during this very difficult economic environment for all local governments. The County is also evaluating the operations and possible disposition of its nursing home which requires significant annual operating subsidies. By local law, the County has imposed a multi-year financial planning requirement to facilitate understanding of revenue and expenditure trends and support fiscal management over a multi-year time horizon.

Legislative history

New bill; similar to S.7736/A.10707 of 2012.

Fiscal implications

None.

Effective date

This act shall take effect immediately; and shall remain in full force and effect until the tenth anniversary of the date of second issuance of deficit bonds or deficit notes pursuant to this act.