News from New York State Department of State

For more information contact: Helen Wilbard, 518-474-4752

Secretary of State Lorraine Cortes-Vazquez Announces Receipt of $52 Million

in Grant Applications for Shared Municipal Services Incentive Program

ALBANY, NY (02/14/2008; 1422)(readMedia)-- New York State Secretary of State Lorraine Cortés-Vázquez announced that the Department of State has received 241 Shared Municipal Service Incentive (SMSI) Grant applications requesting a total of $51,719,126, almost four times the $13.7 million available for Shared Services projects in the 2007-2008 budget.

“We welcome these thoughtful and serious applications, which underscore the commitment of local governments across New York State to find innovative ways to provide services more efficiently and control the cost of government,” Secretary of State Cortés-Vázquez said. “These projects will provide cost savings for local governments and taxpayers.”

Governor Spitzer welcomed today’s announcement. “These challenging economic times require all of us to make choices and set priorities for spending. Reining in spending by sharing services will produce fiscally responsible projects that maximize limited resources. These grant applications indicate the willingness of municipalities in New York to work together to help reduce the cost of providing services, which in turn will help to reduce taxes.”

Eligible municipalities include counties, cities, towns, villages, special improvement districts, fire districts, school districts and Boards of Cooperative Educational Services (BOCES.) Grant awards will be available for up to $200,000 per municipality, with a 10% cash match.

Application requests vary widely. Proposals include plans for the consolidation of health services, municipal sharing of planning and code responsibilities, the dissolution of municipalities, municipal sharing and consolidation of highway services, shared recreation projects, along with water and wastewater projects. The applicants estimate savings from their proposals to be as much as $267,405,320 over a five year period.

New York State Senator Betty Little, Chair of the State Senate Local Government Committee and a member of the Commission on Local Government Efficiency and Competitiveness, acknowledges the financial difficulties confronting many local governments throughout New York. Senator Little said, “This program’s growing popularity affirms the importance of state government being a partner with local governments to help them meet the needs of their residents while saving tax dollars. This program rewards creativity, smart thinking and more efficient government. I’m pleased to join Secretary of State Cortés-Vázquez in making this latest announcement.”

Assemblyman Sam Hoyt, stated "Encouraging municipalities to share services is an important step in saving taxpayer dollars. The sheer number of applications means that municipalities across the State are thinking about how to work smarter. That can only benefit all of us taxpayers." As the Chair of the Assembly Committee on Local Governments and a member of the Commission on Local Government Efficiency and Competitiveness, Assemblyman Hoyt continues to champion legislation to allow for local government consolidation.

Secretary of State Lorraine Cortés-Vázquez thanked both Senator Little and Assemblyman Hoyt for their support of the SMSI program. “Both Senator Little and Assemblyman Hoyt are strong supporters of the Shared Municipal Service Incentive Grant program, which we administer through the Department of State’s Division of Local Government. Working together, we will continue our efforts to assist local governments and give New Yorkers the kind of government they deserve and can afford.”

The grant applications are currently under review by Department of State staff. In the selection of shared service grant awards, priority will be given to applications that: plan or study consolidations, mergers, and dissolutions (24 applications); include municipalities that meet fiscal distress indicators (133 applications); promote shared services between school districts and other municipalities (49 applications); implement shared highway services project (84 applications); and develop countywide shared services plans (22 applications). The Secretary of State will announce the grant awards by early spring.

More information about the Department of State and the Division of Local Government can be found at http://www.dos.state.ny.us.

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