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County Executive Thomas Santulli

Dear Friends:

On the following pages you will see a series of charts & graphs that paint a picture of a Chemung County Government that is meeting the needs of its citizens in the face of significant fiscal hardship.

As the graphs on these profile pages clearly demonstrate, Chemung County weathered a fairly severe economic storm in 2001. The total number of persons gainfully employed in the county was down slightly from the previous year, dropping from 44,900 to 44,000 at year-end. Likewise, our sales tax revenues dipped from a record high $20.6 million in 2000 to $19.6 million in 2001. At the same time, our unemployment rate spiked to the highest level in eight years, reaching 6.6% at the end of December, up from 4.1% at the end of 2000.

While many area employers struggled during 2001 to regain the momentum they had enjoyed from the early 1990's until the national economic downturn took hold in late 2000, there was still some very positive activity to report. Vulcraft of New York, Inc., a subsidiary of Nucor Steel, one of the nation's largest steel companies, completed its new $50 million facility in the Town of Chemung and commenced operations here. When fully operational, the plant will add 300 new jobs to the local economy. Likewise, during 2001 SYNTHES-USA, a maker of bio-medical orthopedic implants, selected Chemung County as the home for its new $11.5 million manufacturing plant that will eventually add another 300 employment opportunities for area residents. These developments bode well for the community as a whole as efforts continue to further diversify the local economy over the long term.

For our part, Chemung County remains committed to continuing its pursuit of planned economic growth and development while preserving the quality of life that residents of New York's Southern Tier so cherish.


The County Legislature and I take great pride in the fact that we have not increased the amount of the county real property tax levy in
10 years. However, the effects of the recent economic turn down, coupled with our escalating post September 11th, 2001 security expenditures, and the staggering burden of State mandated expenses including the Medicaid program, have now left us with no choice but to seek additional revenue. As a result of these forces, which are completely beyond our control, we have found it necessary to finally follow the course of action taken several years ago by our neighboring counties to increase our local sales tax from 3% to 4%, effective December 1st, 2002. At the same time, I want you to know that we are aggressively moving to constrain spending whenever possible to help meet this unprecedented challenge. While I fully expect the next several years to be a trying time for county government, I remain confident of our ability, and our commitment, to provide high quality services to the public in a cost effective manner.

I hope that you find this publication informative. If you should have any questions about county government, please feel free to contact me at at (607) 737-2912 or email me at tsantulli@co.chemung.ny.us.

TOM SANTULLI

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