Did Albany (gasp) just do a good job?

This week, after an embarrassing and seemingly endless round of dithering, Governor Paterson and New York’s legislature seem to have…done their jobs.

They whittled down a massive, $3.2 billion dollar deficit. Yes, that still leaves roughly $500 million in red ink, but in Albany terms that’s a more manageable number.

And yes, this budget borrows heavily against next year’s budget, siphoning off Federal aid and spending reserves.

But as the saying goes, that’s a battle for another day.

And it’s fair to argue that by preserving school aid and most local government support intact this year, this plan avoids devastating mid-year cuts.

School districts and local government leaders are on clear notice: Next year’s belt tightening will be even more draconian, so factor that in to your next round of budget-making.

We’ve already seen reactions to the looming cuts in the North Country, with Warren County hiking sales taxes 1% to rebuild their fund balance, and Washington County cutting salaries and setting up furlough days.

Look for more pain to follow.

In addition to the budget, lawmakers just hammered out to massive reform efforts that have been stuck in committee for years. This from the Albany Times Union:

Many public authorities have been criticized for their spending practices and lack of public accountability, as well for the patronage for jobs they hand out — all without voters having a say. The new reforms, which passed the Assembly last week, impose more oversight and controls on spending and will require increased review of contracts and contact with lobbyists.

The Senate also followed the Assembly in passing an overhaul of the state’s vast pension system for public employees. The new Tier V program will apply to public employees hired in the future. With older retirement ages, requirements for more contributions and limits on using overtime pay to calculate benefits, the move should save more than $48 billion over 30 years, supporters said.