Despite 'Dismal' Economic Climate, Southold Maintains Bond Rating

Supervisor Scott Russell touted Town accomplishments, such as achieving a surplus in a dismal economy, in his State of the Town Address on Thursday night.

Russell, addressing the crowd at Southold Town Hall and Fishers Island residents via video conferencing, began his informational session by reiterating his point from last year’s address on how the economic climate remains “dismal.” Town revenues continue to fall; however, the town has “hunkered town” and has developed economic policies to reduce expenditures.

“We finished fiscal year 2010 with a $5.8 million surplus,” said Russell.

The surplus was achieved by keeping the payroll down, tightening procurement policies, and adopting a 2010 Retirement Incentive Program allowing employees to retire early, he said. The town practiced overall belt tightening and maintained its Aa3 bond rating with credit rating agency Moody Corporation.

Of the $5.8 million surplus, $3.8 will be held in a fund balance and more than $2 million will be reallocated for the 2011 operating budget.

On a legislative note, Russell said the town amended its accessory apartment and accessory structure rules to boost the housing inventory within the town by making it easier for people to create legal apartments within their homes and in other buildings on their property

“This can be a source of income for people who are struggling and can help young families,” Russell said.

Russell also credited Town Councilman William Ruland for helping devise a fuel and fleet management system for the town. With 180 vehicles and 64 pieces of equipment, keeping up to date on maintenance can help save the town money.

One of the accomplishments Russell was particularly pleased with was the work on the . Russell said the town has worked hard on the economic chapter, which is now in draft form and available for public comment. According to Russell, this chapter really was critical to completing the remaining chapters.

“We need to find out what we need to invest in our downtowns to address employment opportunities and bring jobs to downtown,” he said.

Working with residents to address specific needs has been critical this year. Russell said working with Orient residents to into the community, holding forums to discuss the future of Plum Island, and helping were all agenda items in 2010.

“When the community comes together with the town, great things can get done,” he said.

One of the relatively hot topics Russell discussed with the After on the issue, the town board has agreed to take a closer look at the town is managing waste removal and recycling.

“Southold Town has probably The town board will meet next week to discuss finding a reasonable alternative,” Russell said.

What that “reasonable alternative” will be is still up in the air. Russell said the town needs to reduce the waste stream and increase recycling within the town and provide better education and enforcement. Remote recycling centers throughout the town were something Russell recognized as a positive way to encourage recycling in all areas on the town.

Marie Beninati, resident and real estate agent, applauded the supervisor’s efforts thus far but was concerned with senior housing.

“We need to address housing for those over 55. The seniors are moving out of Southold,” said Beninati, who added many of the seniors are moving to Riverhead where there is more senior housing.

Russell was definitely concerned over the loss of seniors because they help boost the local economy because they tend to shop locally, and use local doctors. The town will look at creating senior housing zones to create more housing inventory for seniors.

With 2011 well underway, Russell predicts the Peconic Lane Community Center (Peconic School) will be open for reservations in late spring and said the town will offer hot meals to seniors at the on Peconic Lane. He also predicts the town will andto address winery-related events to enhance business opportunities for all town businesses.