Thursday, January 6, 2011

Funding released.

State releases $2.5 million in Social Services funding


Gov. Cuomo already making Greene happy, dismisses treasurer flap

By Colin DeVries
Hudson-Catskill Newspapers
Published: Thursday, January 6, 2011 2:09 AM EST
CATSKILL — Just hours before his first State of the State Address, Gov. Andrew Cuomo allowed the release of $2.5 million in social services funds being withheld since last fall.

The announcement was made early Wednesday morning, less than 24 hours after a letter of inquiry was sent to the governor’s office Tuesday afternoon.

The money was being held back funds food stamps, Medicaid and heating assistance benefits — among other social services.

Greene County Legislature Chairman Wayne Speenburgh said he was “relieved” and “encouraged” by the decision.


“I’m surprised the governor’s office responded this quickly,” he said, noting it may be a sign of something better. “We may have a very good working relationship (with the new governor).”

The funds, a total of about $2.5 million, was being withheld by Gov. David Paterson’s administration due to a flap over the county treasurer appointment made last summer.

After County Treasurer Willis Vermilyea retired in July, the Greene County Legislature appointed Thomas Tracey, the treasurer’s office director of administrative services,  as interim treasurer.

Gov. Paterson’s counsel argued the appointment had to be made by the governor and the home-rule power struggle began.

The ensuing argument developed for months, with the governor’s office considering Tracey’s signature on reimbursement documents invalid and thus not releasing the funds.

The conflict wasn’t even settled after November’s election determined Peter Markou, Catskill town supervisor, was chosen as county treasurer. Even though both the governor’s office and the county legislature agreed to appoint the winner of the election, the argument continued after county lawmakers preempted the governor’s formal appointment.


The decision to release the funds was faxed to the county offices at 9 a.m. this morning, only four days after Gov. Cuomo’s new administration took over.

Counsel to the Governor Mylan Denerstein approved the order. She replaced Peter Kiernan, Gov. Paterson’s counsel, at the beginning of the year.

The governor’s office could not be reached for comment on why they decided to release the funds.

Speenburgh said the funds will begin coming in as soon as today.

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