Is The Olympic Regional Development Authority Fiscally Sound?

Is the New York State Olympic Regional Development Authority fiscally sound?

An audit released this week by state Comptroller Tom DiNapoli pointed out some serious revenue problems at the authority, but a few years ago a commission set up by Gov. Andrew Cuomo touted the organization for its solid fiscal management.

A May 2011 presentation by the governor’s Spending and Government Efficiency (SAGE) Commission said that the Olympic Regional Development Authority (ORDA) “manages ski centers profitably,” including Whiteface and Gore Mountains. The SAGE Commission, which sought ways to combine state agencies and reduce inefficiency, suggested that ORDA take over the money-losing Belleayre Ski Center from the Department of Environmental Conservation in order to “improve operations and reduce costs to taxpayers.” The transfer was completed as part of the 2012-2013 state budget.

By contrast, the state comptroller's audit found that ORDA used loans and outside contributions to cover cash shortfalls, relied on a line of credit to pay basic operating costs and even had other state agencies pay its bills. The authority lost $4.2 million in cash accounting between April 2010 and March 2013, and owed $3.4 million on its line of credit in June 2013. The audit also identified 11 procurements by ORDA totaling $427,000 that were not competitively bid.

The governor’s office did not respond to a request for comment.