Governor Increases County Tax Burden
Executive Budget would shift $83 million in costs onto county governments

Last week, I became very concerned with the governor's proposal to shift the cost of a number of programs from the state to local governments. The programs include non-emergency public assistance, two-parent Temporary Assistance for Needy Families (TANF) recipients and youth detention facilities at a cost of $83 million.

Under the governor's executive budget, the county share of the cost of non-emergency public assistance would increase by 2 percent to 52 percent, despite the state and local governments equally sharing the cost of benefits. In addition, in order to adhere to new federal work participation requirements, the adopted 2006-2007 budget shifted two-parent families receiving TANF public assistance to the Safety Net program, generating $15 million in Federal TANF savings that were split equally between the state and the counties. The governor's plan would allow the state to keep the counties' $7.5 million share of the savings. Lastly, the state would mandate that 100 percent of the costs to detain non-violent youths awaiting trial before family court be paid by local governments.

Governor Spitzer's Billion Dollar Upstate Revitalization Fund is beginning to show many cracks and flaws; one of my concerns is his decision to force local governments to pick up the tab for an additional $83 million in costs. Unfortunately, this part of the revitalization fund is being completely funded on the backs of county taxpayers and it is completely unacceptable. Governor Spitzer, in fact, is pulling money out of one pocket and sticking it in the other, which does not make financial sense. We certainly need revitalization of upstate but it should be done in a more prudent manner, and not adding to our debt.

The governor's plan would force Cayuga, Cortland, Onondaga, Ontario and Seneca counties to assume $2.2 million in additional costs. With the state facing a $4.6 billion deficit and an economic downturn on the horizon, we need to take a pro-active approach to reduce the property tax burden that has limited homeownership and impeded business growth, not place additional strain on individuals and local governments.

County Public Assistance Shift from state to county Two-Parent Family Shift from state to county Detention Cost Shift from state to county Total Impact Shift from state to county
Cayuga $47,438 $11,625 $54,000 $113,063
Cortland $49,131 $12,000 $152,000 $213,131
Onondaga $513,719 $114,000 $1,023,000 $1,650,719
Ontario $66,399 $14,063 $135,000 $215,462
Seneca $13,204 $5,438 $10,000 $28,641

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