Thursday, December 26, 2024

Warren County supervisors mull 1% sales tax hike

By Ben Westcott, Chronicle Staff Writer

Warren County supervisors are discussing whether to increase the sales tax by one percentage point. It would bring the rate from 7% to 8% (4% state, 4% county).

Warren, Washington and Saratoga are the only counties with a 7% sales tax. All of New York’s other counties except one (Ontario, 7.5%) are at 8% or higher.

Warren County Administrator John Taflan noted at the July 3 Finance and Budget Committee meeting that Washington County has already entered discussions to increase their tax to 8%.

Mr. Taflan added, “We’ve talked to Saratoga County, and they’re not currently interested in increasing their sales tax from 7% to 8%. They’re not in as deep a need as we are and probably Washington County is.”

“This is somewhat of a poker game,” said Supervisor Daniel Bruno of Glens Falls Ward 4. “You’ve got three counties in close proximity to each other, and one of them is going to hold out to see what the other two do, or one does.”

Mr. Taflan argued that increasing the sales tax rate would “probably enable us” to decrease property taxes.

“We believe that a large portion of sales tax is paid through the tourism industry in this county, and so if we could pass on some property tax savings to our residents and have that offset occur with people who visit the county paying additional sales tax, that might be a reasonable thing to do,” he said.

Supervisor Bennet Driscoll of Glens Falls Ward 5 backs the increase. “I see this as an opportunity to possibly assist the average taxpayer in the county with housing and all different types of costs.”

Mr. Driscoll pushed back against an idea that people would take their retail dollars to Saratoga County or elsewhere to realize a tax savings.

He said, “95% of the expenditures that we’re talking about aren’t going to really be affected. You’re not going to drive to Vermont because cigarettes are less expensive there. I’ve never driven to another destination because gas was five cents less. If I fill up my car, the gas that I take and the time that I take to go over there isn’t worth it πfor me.

Supervisor Vincent Crocitto of Lake George also supported an increase.

“At the end of the day people complain, they adjust, they go back to what they want to do,” Mr. Crocitto said.

“They visit where they want to visit, and they take it on. As much as I don’t want to see a tax increase, I think it’s probably going to happen now or later, and we need it for our budget.”

Supervisor Nathan Etu of Queensbury also said he’d be in favor of an increase.

But Supervisor Michael Geraci of Horicon pushed back against Mr. Driscoll’s earlier comment.

“I do think people would drive not very far to South Glens Falls to get gas versus here,” he said. “I do that. It happens all the time. So I think we have to consider if the loss of revenue balances out the increased sales tax.”

Supervisor John Strough of Queensbury spoke up against a sales tax hike.

“Washington County may do their own thing,” he said. “I think we’re more in direct competition with Saratoga County. Saratoga County, from what I’m hearing, is not inclined to go to 8%. Therefore I’m not so quick to jump on that ship either. I’m tending to favor maintaining the 7% standard.”

Supervisor Bruno said he agreed with Mr. Strough.

Only a few supervisors were at the July 3 meeting where all of this was discussed, since it was just a committee meeting. The conversation will next move to a full board workshop.

Mr. Taflan, the county administrator, gave the tax increase a sense of inevitability. “Just seeing the budget, it’s something that we’re probably going to have to do at some point,” he said.

He said that if the county did approve the tax increase, 2026 would be the earliest it would take effect. State Senator Dan Stec and Assembly Members Matt Simpson and Carrie Woerner would have to introduce a bill in the Assembly and the Senate. If approved, it would be sent to the governor to be signed.

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