Nassau County Executive Ed Mangano filed a lawsuit yesterday against the state fiscal watchdog that seized budgetary authority from him last week, alleging that the governor-appointed panel violates the state Constitution.
The suit, filed in Nassau County Supreme Court, seeks to “annul” the Nassau Interim Financial Authority vote last week rejecting Mangano’s $2.6 billion 2011 budget on the grounds that it was fiscally unsound.
The lawsuit came just hours after Mangano’s political ally Peter Schmitt, the presiding officer of the county legislature, vowed to investigate NIFA itself for a series of alleged “ethical” lapses.
But, in a sign of dissension within Mangano’s camp, top aide Pat Foye, his economic-development czar, resigned in protest of the lawsuit, according to Mangano’s spokesman, Brian Nevin.
NIFA, which invoked state law last week after determining Mangano’s 2011 budget was not balanced, failed to meet the “high threshold” required to “appropriate authority and responsibility of the county’s fiscal affairs from the duly elected officials of the county,” the lawsuit states.
The court papers maintain that the budget would not be more than 1 percent in the red and would actually show a surplus.
Further, Nassau County Attorney John Ciampoli wrote that NIFA itself violates the state Constitution because it ignored “home rule” guarantees. He also argued that state lawmakers failed to properly reauthorize the board in 2001 and in 2008 — meaning it is technically operating without legal mandate.
“I think it is a foolish mistake,” said NIFA board member and former Mangano ally George Marlin. “They should be reaching out, working with us, not fighting us.”
Mangano said in a statement that NIFA’s “action is unfounded, unfair and wrong.”
He also accused the organization of wanting to increase revenue by raising property taxes — which he said would not happen on his watch.
He added that, under the law, NIFA is required to make recommendations to county management in regards to reducing costs and improving services.
NIFA “never provided such recommendations,” Mangano said.
“NIFA even chose not to freeze union wage hikes.”