Chamber $ request subject of debate

11/12/2008

By David Avitabile

Monday’s public hearing on the proposed 2009 Schoharie County budget became a debate for additional funding by the Chamber of Commerce’s tourism promotion agency.
Most of the 15 speakers at the hearing addressed the agency request for $140,500 in next year’s budget, a hike from $46,500.
The Chamber’s request was not included in the $62.6 million budget proposal that could raise taxes by 3.2 percent county-wide and by almost 24 percent in some towns.
In addition to speaking out against the Chamber’s request, other residents called for the county to cut in other areas such as the transportation department, health insurance, and salaries.
The county is facing a difficult budget year with the possibility of reduced state reimbursements, higher costs and a drop in sales tax revenue.
The Chamber’s request was the hot topic at the hearing.
Horst Fierek of Richmondville objected to the increased funding and added that the Chamber should be funded by businesses and not taxpayers’ dollars.
“You gave them money last year and they come right back and ask for more,” he told supervisors and about 25 people who attended the hearing.
“I vigorously object to it that they are funded by taxpayer dollars.”
Chamber tourism coordinator Ellen Ganci defended the request.
The county must advertise even more during tough economic times, she said.
“We need to be aggressive. This is not the time to sit back.”
The Chamber performs a service for the entire county, not just businesses, she said.
There are more than 200 tourism related businesses in the county and increased tourism benefits many of the county’s residents, she said.
The Chamber’s executive director Jodie Rutt added, “Tourism is vital to our economy. It will continue to bring in revenue into the county.”
In the future, she said, she hopes the occupancy or bed tax will raise $150,000 for the tourism funding.
A cut in tourism funding could have a long term effect on the county, Ms. Rutt said.
Seward Supervisor Larry Phillips, who’s also a Chamber director, said that the increased tourism funding “is going to help everyone.”
More tourism means more sales tax revenue in the county, he added.
But Fulton Supervisor Phil Skowfoe said his town board was against the extra funding.
It should not be a taxpayer burden, he said, suggesting raising the Chamber membership fee for extra funding.
Mr. Fierek said he ran a business before retiring and knows the benefits of a Chamber of Commerce but said the businesses should support it.
“As a businessman, there should be no funds for the Chamber of Commerce. It’s a business organization. They got $70,000 this year and they want more.”
Brian Strasavich, the manager of two state parks in the county, supported the tourism request, saying that increased tourism spreads the tax burden on visitors to the county.
Besides extra funding for the Chamber, several other subjects were addressed including near-empty buses, the cost of bottled water, equalization rates, the Empire Zones, the county fund balance, health insurance costs and salary increases.
Some of the speakers were from the towns of Sharon, Carlisle and Seward where county taxes could go up by 23.9 percent for next year.
Several residents asked for cuts in the $62.6 million budget to reduce taxes.
“You guys have to get a handle on this,” Ray Rivard of Seward said. “You’re going to drive people out of the county.”
In tough times, he said, “you have to cut the budget. You have to cut the taxes. Help us out.”
Peter Van Deusen of Sharon also called for an across-the-board cut in non-essential services.
“You only have so much money to work with,” he said.
Willie Karlau of Middleburgh asked, “Where am I supposed to get this money from? You should look at our side of the table.”
Earl Gaskill of Summit said that salaries should not rise by four percent next year. Salaries should decrease, he said.
Blenheim Supervisor Bob Mann, chairman of the Finance Committee, said that the recommendation is that supervisors and election commissioners will not get a raise next year and department heads will get increases of 2.5 percent.
The hearing on the budget is still open. The county board meets again at 10am on Friday, November 21.
The finance committee is in the process of reviewing the budget and will make recommendations to the full board this month.