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Monday, June 26, 2017

Column: "Politics as usual" by Karl Graves

By Karl Graves
Its politics as usual in Albany.  Once again we appear to be pawns in a larger game of Chess.  The expensive “part time” State Legislature ended its 2017 session on Wednesday (June 21st) without renewing the sales tax rates for 53 counties, which means the rates and resulting income for those counties will drop in December unless the legislators return to Albany to perform that normally routine duty.
According to “Reclaim New York”, a center for government reform and accountability, county governments in New York must get state permission every two years to charge anything higher than 3 percent in sales tax, the default level authorized in state law. Most of the 57 counties outside New York City do set higher rates, and the Legislature usually approves so-called extenders to continue them without a hitch. Without them, the rates would revert to 3 percent.
But those extensions got gnarled this week in two unrelated pieces of Albany politics. The Democrat-controlled Assembly grouped the sales-tax requests in a single bill, and tethered it to an extension of mayoral control of New York City schools, something that also requires state approval.
The Republican-controlled Senate, which is demanding the state, allow more charter schools in return for renewing the mayor’s control of the school system, balked at the Assembly bill. Instead, it passed individual sales-tax extensions for each county.
The session ended Wednesday night with neither chamber blinking and no sales tax extensions. The current rates expire Nov. 30. At stake locally is an additional 1.50 percent in sales tax which translates to around $6.5 million.
County Administrator Timothy Boyde, in a press release, explained what the ramifications might be should we lose this revenue and he mentioned the following about the matter before us:
“It should be noted that our local legislative representatives, Senator Cathy Young and Assemblyman Joe Giglio, have supported the sales tax extender legislation.  They understand the importance of these funds.  In conversations with Senator Young, she is confident the matter will be resolved.  We hope that this is the case.  It would, however, be woefully irresponsible for us to assume that everything will be fine.  We simply cannot base the needs of our constituency on the hope that the Tax Extender Legislation will be renewed.  County staff has already begun to examine cost cutting measures that have the potential to reduce our operating budget by 5 percent.”
I applaud his effort to forewarn the public about the possibility of a future financial problem. In my opinion, and others, Allegany County government has grown fat and lazy wallowing in this additional revenue. Building a $3.5 Million dollar surplus for 2016 - when you’re hoping and praying that you won’t have to dip into savings to make ends meet – speaks volumes.  The “surplus” now stands at over $32 Million.  Up from $29 Million last year.
In my view, we should always foster an environment that encourages “county staff” to constantly examine cost cutting measures and we should always be working to reduce our operating budget. Waiting for the sky to fall is not the answer to our problems.
Please know that some of your County Legislators did in fact vote against the additional 1.50 percent extender last fall.  We would love to have the rate fall to 7% but in reality that might be too big a bite to take all at one time.  Parity, being at the same rate as our neighboring counties, is what we were looking for.  It’s not 2005 anymore.  We have millions in the bank and – according to the leadership – the best financial position we’ve been in since the dawn of man.  Why not give our people a break?
I have great confidence in Senator Young and Assemblyman Gilio.  The 53 counties thus affected obviously will have a voice and the extender will get a due hearing.  Probably in September. In the mean time, I’m hoping that the exercise of creating two budgets – one with and one without the additional $6.5 Million in revenue - might turn up ways we can get off of this Merry Go Round and set things right.  The 8.5% County Sales Tax needs to go away.
In any event, you need to make sure your voice is heard in Belmont.  Call your County Legislator and let them know your opinion on these issues.  It’s an election year and your voice – and vote – is more important than ever!  Go to  www.alleganyco.com for details.
Karl Graves is an Allegany County Legislator, representing District IV, Wellsville/Andover.