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the county legislature eliminated a home energy tax. That act reduced tax to the revenues county
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budget, and about a year after Mangano was sworn in, NIFA re-instituted a control period. A
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lawsuit by Nassau County contesting the legitimacy of the control board was unsuccessful, and NIFA
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articulated the limits of its duties and the budgetary reasons for a control board, in a statement.
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Prior to that court decision, the Republican leader in the county legislature, Peter Schmitt,
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appeared to liken the bipartisan members of NIFA to a Mafia family.
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The Mangano-NIFA relationship, with a control board in place, was marked by almost annual disputes
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over the budgets that Mangano submitted and the county legislature approved. A 2013 agreement
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between the police officers’ union and the county was criticized by NIFA. A multi-year plan
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submitted by the Mangano administration in 2015 was rejected by NIFA. NIFA implemented a wage
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freeze in 2011, though it was lifted over several years. NIFA rejected the county's 2016 budget,
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and implemented a quarterly review. In December 2017, NIFA ordered specific spending cuts after
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finding additional flaws in Mangano's budget.
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Jon Kaiman, who at the time was supervisor of the town of North Hempstead, was appointed by
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Governor Andrew Cuomo to be chairman of NIFA in 2013. Kaiman resigned in 2016 to run an
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unsuccessful effort to become the Democratic nominee for an open House seat. He was succeeded by
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banker Adam Barsky.
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NIFA and the Curran administration
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As 2018 began, Mangano was out of office, having chosen not to seek-re-election to a third term in
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2017 following his indictment on 2016 on federal corruption charges. (He was ultimately convicted.)
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The two contenders for his position, Republican Jack Martins, a former State Senator and
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unsuccessful U.S. House of Representatives candidate a year earlier against Suozzi, and Democrat
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Laura Curran, a former newspaper reporter for the New York Daily News and a county legislator, both
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said during the campaign that steps must be taken to bring Nassau out from NIFA oversight. Curran
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won the election, and NIFA issued a deadline to offer any significant changes to the Mangano 2018
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budget, the one with the NIFA-ordered cuts. Her selection of Mark Page as her chief budget officer
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was praised by NIFA chairman Adam Barsky, and Page had worked as a consultant to NIFA so was
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expected to understand its workings.
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In April 2018, Curran presented her first budget to NIFA and made a rare public appearance before
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the members. At that meeting, the "conundrum" that Curran faced, with a Republican legislative
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majority rejecting her plan to hike fees to help close the budget gap, was discussed.
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In one of the first significant actions under the Curran administration, NIFA in July 2018
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overwhelmingly rejected a Curran administration request to borrow funds to pay for an earlier court
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judgement that went against the county for the wrongful conviction of two men. At the meeting where
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the vote was held, a report was discussed that talked about the country's "growing risks" in its
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budget.
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In October 2018, NIFA warned that Nassau County's deficit for 2019 could be $59 million, though
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that was the lowest estimate since 2014. In a pointed critique, NIFA also noted the continuing
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situation where almost 20 years after NIFA was created, Nassau had still not taken the steps to end
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its oversight. "“Other municipalities with fewer resources, such as Buffalo, Washington, D.C., and
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Detroit, have moved beyond the tight control of their oversight monitors and it seems incongruous
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that Nassau County, one of the wealthiest counties in the Country, is unable to do the same,” NIFA
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wrote in its report on the deficit estimate.
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In November 2018, NIFA approved the first budget of the Curran administration. The approval was
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unanimous. The budget did include $100 million in borrowing solely to pay back tax grievances.
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However, NIFA chairman Adam Barsky said "We always have concerns, but I think the concern over this
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budget is less severe, less concerning than prior budgets."
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The sometimes-uncomfortable position that NIFA could find itself in relative to the county was
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evident in December 2018 when NIFA hired an outside attorney to sit in on county negotiations with
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its labor unions. NIFA hired the same individual that the county legislature had rejected just a
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few months earlier, raising questions about whether its "seat at the table" was proper or an
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unauthorized expansion of its role in day-to-day operations. Critics called the move an "end-run"
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around the legislature's rejection, which had been proposed by Curran.
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NIFA's chairman Barsky got additional powers in March 2019 when he was granted "pre-approval"
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authority to sign off on labor agreements the county reaches, though the full NIFA board must
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ultimately accept the contract.
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In early April, local newspaper Newsday wrote a story questioning whether NIFA was treating Curran
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with a softer approach than Mangano. Republicans charged NIFA had been tougher on Mangano, and
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cited Curran's tardiness in filing various reports with NIFA—which Mangano filed on time—and the
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muted response from NIFA. Barsky denied the allegations. Soon after that, NIFA rejected half of the
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county's borrowing requests that needed to go through NIFA because adequate notice had not been
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given to the full NIFA board.
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In February 2020, NIFA took control of the finances of the Nassau University Medical Center, saying
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its perilous finances posed a "material threat" to Nassau County, given the county's backing of the
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financially troubled hospital.
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In June 2020, NIFA approved the use of Goldman Sachs as the financial advisor on any new borrowing
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the county might need to undertake as a result of the pandemic.
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By a 4-1 vote, NIFA approved the county budget for 2021 in mid-December 2020. However, noting the
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difficult economic times, NIFA said in its approval message that the county would need to develop a
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plan by March 31, 2021, to be updated regularly, on dealing with projections of future deficits.
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The budget approved by the county and NIFA did include NIFA borrowing long-term to help the county
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recover from the revenue shortfall created by the pandemic. (See below for more discussion on NIFA
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and the pandemic.)
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A NIFA report in April 2021 on the county's financial performance in the prior year reported at
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$43.3 million surplus fueled both by federal pandemic aid and the refinancing of longer-term debt,
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a deal that Newsday columnist Joye Browne called "the mother of all one-shots.". But in releasing
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the report, NIFA chairman Barsky said the county had not eliminated its structural deficit and that
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it still faced long-term financial issues.
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The rejection by the Nassau Patrolman's Benevolent Association of a contract offer led to NIFA
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chairman Barsky declaring in February 2021 that the union was "barking up the wrong tree" if it
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believed the rejection was going to lead to a better deal. NIFA would need to approve any deal.
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Strengthening county finances due to several different factors did lead to renewed discussion in
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fall 2021 whether NIFA needed to continue either the control period, or even its existence. As
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Newsday noted at the time, there also were questions about who was going to continue serving on
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NIFA itself.
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In October 2021, NIFA weighed in on what amounted to a battle of dueling tax cuts proposed by both
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Republicans and Democrats prior to the 2021 election. It said that a package of Republican cuts in
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fees and a boost in its sales tax revenue would throw the 2022 budget "out of balance." But it also
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said a Curran plan to cut $70 million in property taxes would "jeopardize" the budget as well.
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Those Republican amendments passed the legislature but were vetoed by Curran. The budget was passed
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with the Curran tax cuts in place, but needs NIFA approval.
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On Election Day 2021, Curran suffered a shocking loss in her attempt to be re-elected, falling to
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Republican candidate Bruce Blakeman.
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In December, NIFA approved the final Curran budget by a vote of 5-0. At the vote, NIFA executive
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director Evan Cohen said the Curran budget, approved by the legislature, had a potential shortfall
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of $39 million but had the lowest risks of any budget in several years.
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NIFA and the pandemic
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The prospect of NIFA staying with oversight over Nassau until 2051 was raised by Newsday in July
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2020, given the huge deficit created by the pandemic and NIFA's ability to borrow money on a
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longer-term basis and at a lower interest rate.