In August, the State Legislature passed a state budget which level-funded most state agency operating budgets, did not address reappropriation of capital projects and the Environmental Protection Fund, and did not deal with the financing of two specialized DEC funds – the State Superfund and the Conservation Fund. Mr. Colvin reported that the 9/11 tragedy and other global events interfered with the Legislature returning to some of these unattended items after August, except the reappropriation of capital projects. A recent financial assessment has led to an announcement by the State Budget Director that, for the 18-month period beginning October 2001, the projected state budget deficit is $9 billion. The Governor has reinstated a freeze on state hiring. Limited exemptions under this freeze will be given to positions involving public health and safety, and revenue-generation. Non-personnel spending by the agencies is now limited to expenditures deemed, "critical," to their missions. Agency recommendations on budget initiatives for the upcoming fiscal year have been solicited that include budget reductions. Agency budgets for FY 02/03 will certainly be no larger than for the current fiscal year.

Mr. Colvin described the budget outlook as, "disturbing." A $50 billion economic assistance package for New York has been submitted to Congress to rebuild those sectors of the state’s economy most hurt by the 9/11 tragedy. How much of that eventually materializes will reduce the projected $9 billion deficit. The major budget priority for DEC’s Division of Fish, Wildlife, & Marine Resources is to solve the structural deficit in the State Conservation Fund. Restoration of the Environmental Protection Fund is also a priority; this fund supports several projects important to the marine resources program, including Hudson River fishery projects.

Mr. Colvin reiterated from the previous Council meeting the need for the Council to work cooperatively with the DEC to identify and secure sources of funds needed to support the Department’s marine programs. He stated that the Department needed the Council to step up to the plate on this one of its responsibilities, especially in light of the now-worrisome state budget picture. Mr. Wise noted that a previous Councilor, Tom Knobel, had agreed to chair a Council subcommittee on this topic, but nothing happened and Mr. Knobel is no longer on the Council. He asked for volunteers among the present Councilors for volunteers to sit on this subcommittee, which would help DEC develop a long-term strategic approach to funding the marine resources program. Mr. McBride suggested a committee that included at least 1 recreational and 1 commercial representative, plus perhaps a person from the charter/partyboat industry. Councilors Dearborn and Danielson volunteered to participate on the subcommittee. It was suggested that Councilor Relyea, who was not present, should be approached and asked to chair the subcommittee. He has long been active in the Conservation Fund Advisory Council. Mr. Wise will also ask Councilor John Davi to be a member of the subcommittee.