Acting Secretary of State Colón Announces Availability of Local Government Efficiency Grants

ALBANY, NY (09/24/2010)(readMedia)-- Acting New York Secretary of State Ruth Noemí Colón today announced the release of a request for applications for up to $5 million in Department of State Local Government Efficiency (LGE) grants.

"In these difficult economic times, the LGE program provides an opportunity for local leaders to work together to identify ways to lower taxes by reducing local government costs while maintaining appropriate levels of service," Acting Secretary of State Colón said. "Since its inception in 2005, local governments have identified $416 million in long-term savings opportunities from initial state investments of $46 million in 294 projects."

Acting Secretary Colón continued, "As projects are being completed, we have found the average household savings generated by the program are about 4.6 percent of local government taxes. This translates into a 93 percent annual rate of return for each state dollar invested in the program."

There are four LGE grant categories:

High Priority Planning Grants are non-competitive planning grants for city or county charter revisions that include functional consolidations or increased shared services; local government consolidations or dissolutions; countywide shared services; the transfer of local functions to the county and multi-county or regional services; or to plan for sustainable reductions in the cost of police, fire and highway services for eligible municipalities whose costs are in the top 25 percent of comparable municipalities in New York State. The grant maximum is $50,000.

General Efficiency Planning Grants are competitive planning grants to help identify and study opportunities to improve local government efficiency and cost savings. Two involved municipalities may seek up to $25,000, with an additional $1,000 for each additional municipality. The grant maximum is $35,000.

There is up to $750,000 total available funding for High Priority Planning Grants and General Efficiency Planning Grants combined.

Efficiency Implementation Grants (up to $2,125,000 available) are competitive grants to help applicants implement plans to improve local government efficiency and cost savings. Grants of up to $200,000 per municipality are available, with a maximum total grant award of $1 million.

21st Century Demonstration Projects (up to $2,125,000 available) are competitive grants promoting large-scale, transformative change in municipalities that can be used as models for municipal innovation. This may include consolidation of services on a multi-county basis, consolidation of certain services countywide, creation of a regional entity empowered to provide multiple functions on a countywide or regional basis, the creation of a regional or city-county consolidated municipal government, BOCES-wide consolidation of school districts or school district services or the creation of a regional smart growth compact or program. A maximum of $400,000 per municipality may be awarded.

State Senator Andrea Stewart-Cousins, chair of the Senate Local Government Committee, said: "The significant savings for taxpayers created through the LGE program have served as a vehicle for real relief for homeowners and working families across the state of New York. I am pleased to work in partnership with Acting Secretary Colón to continue to provide local governments with the means to effectively streamline services and consolidate resources. The LGE program has served as a vital tool in establishing greater efficiency, as well as achieving hundreds of millions in long-term savings for taxpayers. I encourage all of our local government officials to apply for these grants."

Assemblymember Sam Hoyt, chair of the Assembly Local Governments Committee, said, "Municipalities are faced with a number of challenges during these difficult fiscal times. It is therefore imperative that we give them the resources to make the systemic changes necessary to ensure that government is more efficient, and ultimately more effective, in its task of providing services to taxpayers. That's why I'm so pleased at the announcement of this new round of applications for Local Government Efficiency grants. I am confident that there are a number of local governments in need of these funds and are also ready to undertake the reforms that this program promotes."

Applications for General Efficiency Planning, Efficiency Implementation and 21st Century Demonstration Project grants must be received by 4:00 p.m. on Wednesday, December 1, 2010. Applications for High Priority Planning grants will be due Wednesdays at 4:00 p.m. on October 20, 2010, November 17, 2010, December 15, 2010, January 19, 2011, February 16, 2011, and March 16, 2011.

Questions about the grant program should be directed to the Local Government Efficiency Program Manager, as indicated in the application instructions. The applications are available on the Department of State website at www.dos.state.ny.us/lgss. Prospective applicants may also obtain applications by calling (518) 473-3355 or 1-800-367-8488.

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