Daily Archives: August 20, 2011

Report: Consolidation of Painted Post Village and Town of Erwin would lower taxes

Dissolving the Village of Painted Post and consolidating it with the Town of Erwin would greatly reduce taxes, residents were told Thursday night.

Village taxes would drop from the current $20.52 to $12.68 per $1,000 of assessed property value, according to a report by the Center for Government Research, a Rochester-based consulting firm.

Town taxes would change little from the consolidation.

The report was presented Thursday to a nine-member committee studying the possibility of the two municipalities sharing services or consolidating entirely. The committee includes representatives from both the village and the town.

“Village growth has been less than inflation,” said Charles Zettek, of Center for Government Research. “The town is higher than inflation.”

“That’s pretty scary,” said Philip Roche, committee chairman.

“Village finances leave room for improvement,” Zettek said.

The firm’s report did not include the village’s plan to sell water for use in the Pennsylvania natural gas drilling operations, which could generate $2.6 million annually.

“That will make the (tax) savings even better,” Roche said.

Joseph Reilly – chair of a sub-committee studying the village and town’s water, sewer, public works and highway operations – said consolidating departments would best serve the residents.

“It would be good for the taxpayers,” Reilly said.

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Gallivan backs refunding employers for fees

State Sen. Patrick Gallivan, R-Elma, voiced his support for legislation introduced by U.S. Sen. Chuck Schumer to retroactively waive the Unemployment Insurance Assessment Surcharge.

Last month, employers across New York State began receiving notices from the New York State Department of Labor asking them to pay an extra $21 dollars per employee, stated Gallivan. The charge is to cover the interest cost on what had been traditionally interest-free loans issued to the states by the federal government to pay for the Unemployment Insurance extensions provided in the American Recovery and Reinvestment Act. The total interests owed to the federal government from New York State is $95 million.

“Because of the recent legislative impasse in Congress, New York state employers have been forced to bear the burden of paying an additional surcharge on their standard Unemployment Insurance Assessment. This out-of-the-blue tax is the last thing our country, our state, or Western New York needs — government taking more money from the businesses that provide jobs and vitality to our communities,” Gallivan said in a release.
Gallivan said he initially sought to work with Gov. Andrew Cuomo and the Department of Labor to seek a solution for New York State businesses. He proposed refunding businesses with the monies from the $800 million surplus revenues collected during the state’s first fiscal quarter. However, according to Gallivan, “the most direct way to resolve this problem was always through federal action.”

Gallivan said he has also contacted the members of the Western New York congressional delegation, urging them to work together to take action in the halls of Congress.

“With yesterday’s announcement that Senator Schumer has introduced legislation to reinstate interest-free lending to the states and refund employers, he has begun the process in Washington,” said Gallivan. “I applaud Senator Schumer and look forward to working with Governor Cuomo and the New York State Department of Labor to refund businesses the moment Senator Schumer’s legislation is enacted.”

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