RAH
A. MILESNow the state has seen the outcome of the buyout program, the governor and legislators will discuss the necessary tactics for closing the $2.1 billion budget deficit for this year.
A meeting was scheduled for late September. It is likely the buyout program will remain a hot topic as budget officials say they are in favor of urging state agencies to offer more buyouts.
Employees who have already accepted the buyout must leave employment by November 11. If more buyouts are approved, the date for those employees to leave the state payroll will likely change.
As of September 14, only 1,089 state employees were approved for the buyouts, less than a quarter of the 4,500 state officials had initially estimated.
The state should save $260.3 million over two years through a combination of severance payments, attrition and the elimination of funded vacancies, according to the state Division of Budget.
The buyout plan was crafted after PEF, the Civil Service Employees Association and the governor agreed on how to stop the threatened layoffs of 8,700 state workers.
The trade-off with the state was for the unions not to oppose Paterson’s proposal to institute a less-generous Tier 5 pension plan for new employees.
“Our concern now is for the PEF members who sought buyouts, but were refused. Our other concern, a double-edged sword, is to fight to save state jobs. With more than a $2 billion state budget deficit, we must raise red flags to protect against unwanted layoffs and to secure state services,” Brynien said.
To accomplish this, the PEF Web site has a section where state employees can sign up to show their interest in getting the buyout or to voluntarily reduce their work week. PEF will share this information with state budget officials.
“It has been PEF’s role for more than a decade to investigate and share with the state ways to save taxpayer dollars. The focus needs to be on the over-priced and unnecessary use of consultants,” Brynien said. “The state could save $730 million over three years by eliminating costly consultants and replacing them with state employees.
“It’s urgent for Congress to pass further financial assistance to the states no later than the end of February and that New York get at least $5 billion,” Brynien said.
“It’s also time to use the $1 billion in the state’s Tax Stabilization Fund to reduce the budget gap. We need to use this rainy-day fund now.
“The state also should consider extending the sales tax to certain services purchased by consumers and instituting a stock transfer tax on market speculators.”
For further updates on the state budget, visit the PEF Web site.