Purpose of Audit

The purpose of our audit was to review the County’s budgeting practices for the period January 1, 2012 through November 30, 2013.

Background

Dutchess County (County) has approximately 297,000 residents, 20 towns, eight villages and two cities, and covers approximately 802 square miles. As of November 2013, the County had approximately 1,800 employees. Budgeted appropriations for the 2013 and 2014 fiscal years were approximately $409 and $411 million, which are funded primarily with real property taxes, sales and use taxes and State and Federal aid.

Key Finding

• The County enterprise funds users’ charges have not been sufficient to cover their respective expenses. The County’s general fund has had to subsidize a significant portion of both enterprise funds’ operations over the last three completed fiscal years, and the County Legislature has appropriated $2.8 million to subsidize two enterprise funds in the 2014 proposed budget.

Key Recommendation

• The Legislature should review the enterprise funds’ operations and consider actions which will help make the funds are more self-sufficient and less reliant on general fund subsidies.