(Albany, NY) Assemblyman Patrick Chludzinski, (R,C – Cheektowaga) announced today that legislation he sponsored to establish a 3% occupancy tax for the Town of Cheektowaga was signed by Governor Hochul yesterday and takes effect immediately. The Governor’s signature allows the town to implement the collection of the tax in time to be a revenue source for next year’s town budget.

“I want to thank the Governor for signing this law that creates a new revenue stream that can help reduce stress on the town budget while protecting Cheektowaga taxpayers,” said Chludzinski. “The revenue generated by the occupancy tax will be paid primarily by people from outside the town, county, and state, and is estimated to be substantial enough to hopefully enable town officials to future budgets without having to raise more taxes or increase borrowing.”

Chludzinski wrote to the Governor last week asking for her to expedite her signature on the bill, and cited the recent strain on town finances, increased debt load, and a proposed property tax increase of more than 7.5 percent as justification. He pointed out in his letter that approximately a quarter of a million dollars in potential occupancy tax revenue had gone uncollected in the time since the legislation was passed in June until the signing yesterday, revenue that could have been used in the current budget year.

Cheektowaga is home to seventeen hotels, the Buffalo Niagara International Airport and a major retail and entertainment attraction in the Walden Galleria Mall. In addition to substantial sales tax revenue being generated by these entities, conservative projections estimate the town’s new occupancy tax could generate well over $1 million annually.

“I want to thank my colleague Senator Baskin for sponsoring this bill in the Senate and securing its passage, and I want to thank Councilman Tony Filipski for approaching me with the idea and requesting state approval,” said Chludzinski. “This bipartisan effort is a great example of how we can better deliver for local residents when we work collaboratively with our partners in local government,” he concluded.