ALBANY – “The winds of change have come to Albany,” was how Governor David Paterson characterized cuts in state spending adopted by the Senate and Assembly Wednesday.

Among Paterson’s proposed cuts to eliminate $1 billion in spending over two years was a six percent in aid to individual municipalities. Lawmakers didn’t go for that and the spending reduction plan on the state level, which will knock $400 million from spending this year and another $600 million in the 2009-2010 state fiscal year.

Proposed cuts in aid to hospitals and no new state taxes are included in the plan.

Senator William Larkin of Cornwall-on-Hudson said state aid for area hospitals will stay intact.

 Money for construction of the new Orange Regional Medical Center campus in the Town of Wallkill will not be touched. No money will be cut for the merger of The Kingston Hospital and Benedictine Hospital in Kingston and for work at the Cornwall campus of St. Luke’s Cornwall Hospital.

Sullivan County Manager David Fanslau said the plan protects local property owners, for now.

“We are concerned with the impact that remains in the cuts to public nursing homes and how that may affect Sullivan County’s adult care center,” he said. “We are also concerned with the continuing deterioration of the economy whether or not the state legislature will be forced to consider further cuts later this year or next year.”

Orange County Executive Edward Diana said that while he is encouraged about the “tentative steps” to address the budget crisis, “we remain deeply concerned over the level of ‘trend factors’ funding that will impact our county nursing home.” He said the county’s nursing home, Valley View, will “be devastated” by over $8 million in lost revenue for fiscal year 2009.