Financial Basics 101

by Contributor | December 31, 2017 6:26 pm

To The Editor:
The date is December 14, 2017.

The place is the floor of the Oswego County Legislative chambers.

The purpose: Vote on an Oswego County 2018 budget.

Questions, concerns and ideas were voiced.

The Majority Leader had made some statements prior to the meeting referring to the Minority Caucus not understanding the budget process and the use of the fund balance.

During the meeting the Majority Leader made comments regarding how strong the fund balance was and how much there was in the fund balance, also how the sales tax revenue was increasing.

The financial basics 101 was missed completely by all members of the Majority Caucus.

The use of the fund balance to balance the budget was not understood by all the Majority Caucus.
They proved it by voting yes on the 2018 budget which included using $1.9 million out of the fund balance.

What the Majority Caucus isn’t understanding are the basics of finances and budgets.

First up is balancing a budget by using the fund balance (savings account) is giving the public a false budget and the public a false feeling of security.

Second is a financial problem. Simple.

If you take $10 out of your savings account every month and only put $5 back in, you are losing money and it won’t be long before your savings account is empty.

That is what the Majority Caucus has been doing for the last five years and the Minority Caucus has been trying to stop.

They have taken $38 million out of $42 million fund balance in the past five years and only returned $23 million.

Not smart!

They keep telling the public that they are helping them when they are misleading them.

It is like the story of the Emperor’s New Clothes. Telling you what you want to hear and not the truth.

We must stop living a fairy tail and start being part of reality.

Minority Caucus Leader
Frank Castiglia Jr.
Legislator 25th District

Source URL: https://oswegocountytoday.com/opinion/letters-to-the-editor/financial-basics-101/

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