Thursday, January 7, 2010

The $22m story...coming Friday 01.08.10

COUNTY REIMBURSES MILLIONS TO SCHOOLS FOR UNCOLLECTED PROPERTY TAXES

COMPTROLLER ESTIMATES $22,000,000.00 TO BE PAID BY APRIL 2010

KINGSTON, NY (January 8, 2009)… Ulster County Comptroller Elliott Auerbach released a BY THE NUMBERS report indicating that the County can expect to make local school districts “whole” for close to $22,000,000.00 for their unpaid 2009-2010 school taxes. The County, by law (NYS Real Property Tax Law Section 1330), “on or before the first day of April “must pay to the fifteen (15) school districts “the amount of unpaid school taxes”. This is after the taxes remain unpaid subsequent to being re-levied on the 2010 town and county tax bill.

According to Auerbach, “unpaid school taxes are expected to climb by over 50% since 2006-2007

“In better financial times this was less of a burden on the County,” said the Comptroller. “As a matter of fact the County was rewarded with a 7% penalty for its efforts once the obligation was met.” “But these are unconventional times and a multi-million dollar strain will reek havoc on the already reduced fund balance or force the County to borrow in anticipation of the future revenues,” Auerbach said.

“As a county we inherit an annual financial burden that is not of our own making nor one that we have any control over,” Comptroller Auerbach stated.

8 comments:

Anonymous said...

It is absolutely insane that the townships, as small as they are, in Ulster County, have to individually support their own school districts. Coming back from the south, and learning quite a bit about how they run things, a countywide school system would save millions...and the teachers would not lose a dime....and the kids would not suffer. Take a look outside for once...this wheel has been invented and is turning quite well outside of NY. At the rate people are moving to North Carolina or Arizona or wherever taxes are a third (not a guess), the state will be fully funding the school taxes(along with BOA, WF, Wachovia Etc..)...not making up 22 million. The lack of business sense and business leadership with the schools is criminal....and to most outside it's comical. Why are people who have never ran a business making decisions on millions of dollars? And if they have...well then they're terrible at it and need to be fired...like any CEO of a failing company would. Where is the sense in letting an 18 year old make tax raising, business process decisions for the New Paltz school district? It's nice and cute he's there, but please....have some experience and pay some taxes first...

UC Client# 11 and Elliott's Advisor said...

The above comments are well taken! What is needed is centralization and consolidation of school districts on a county-level similar to the arrangements of southern states. Centralization would promote efficiency with administrative competency and far better use of existing resources. And taxation of property owners would be lower as the burden would be shifted. A win-win situation for all!!

Anonymous said...

I wouldn't say win win for all...there would not be a need for 12(or however many school districts in Ulster) superintendents, athletic directors, district offices, etc...only 1 of each would be needed. Overkill is overkill though and if it's not needed, get rid of it...sorry.

Anonymous said...

Assemblyman Cahill, when he spoke last month to the ULSTER COUNTY CHAMBER, suggested a "BURGER COMMISSION" type of approach, (similar to the one used to analyze hospital mergers)to analyze the individual school districts and employ the centralized strength of the BOCES.

Anonymous said...

How about the thousands of approaches out there that already work? Stop taking shots in the dark..suggesting approaches. Find a county that has a working model, take it, implement it here and be the hero that saved their county voters millions of dollars. It's not a speculation of saving millions...it's out there, it's proven and IT WORKS...stop reinventing the wheel!!!!!!

Anonymous said...

School taxes has always touched a sensitive nerve with property owners. They're the ones footing the bill. Approaches to reducing the tax burden have been suggested for as long as I can remember, and before that, too. The status quo will remain the same and nothing will change.

The problem is no one wants to give up their entrenched territory: school, fire, library, public safety,special districts etc. They'll all give you "good" reasons why they should be left to their own devices and autonomy. And if you can't afford it, "sell and move out" is their response! The fact that you can't afford to support their levels of spending is irrelevant to them.

Nonpayment of school taxes reflects the tough economic climate. The County, by law, will make the school districts whole by covering their expenses. Now the property owner owes the county money and will foreclose on the property if the balance isn't paid.

Anonymous said...

Nonpayment of school taxes does not reflect the tough economic climate. It represents a bad business leader and a selfish, lazy local gov't not willing to do what's best. When the first five hundred to a thousand dollars earned each month has to go to taxes, and the area will not support legitimate business growth, then of course people will move...of course banks will end up owning everything. The last comment is typical, lazy and most likely by someone with a stake in the local gov't.

Anonymous said...

short and sweet, we sold our home and left NYS. taxes are so much less where we are, and our retirement dollars go so much further. tired after over 50 yrs of spend spend spend. we do not miss it one bit. how do i spell mismanagement. , lets see, old post office on broadway, all the way to the county w/the new county jail overruns,and nobody is accountable. and all the BS stuff in between those years, and for all those of us who lived in ulster county those years we know of all the stuff in between those times. sad....