PLATTSBURGH — Sales-tax revenue for Clinton County continues to stay solid, and officials hope that trend continues as a new costly state initiative is looming.
The county is about $1.56 million ahead of sales-tax revenue projections for the year as of the end of July.
They are about $386,100 ahead of the actual amount collected through the same time last year.
STATE TAX CAP
The county had a strong year in sales-tax revenue collections last year, exceeding projections by more than $3 million.
Sales-tax revenue goes towards the county’s general fund budget, and it has been seen as a key factor in helping the county meet the 2-percent state-mandated tax cap since it was installed in 2012.
The county shares the sales-tax revenue with the City of Plattsburgh based on population, and towns and villages based on their assessed property value.
This year, however, under a new state directive that calls for county’s to help fund the Aid To Municipalities program, the county will have to pay the state $428,881 at the end of the year, according to Treasurer Kimberly Davis.
Statewide, internet sales-tax collections went into effect for the first time in June, and counties are hoping revenue from those sales will help offset the payments to AIM.
County Administrator and Budget Officer Michael Zurlo said the county should be able to make the state payment and still meet sales-tax projections for the end of the year.
“Since county governments were mandated to make towns and villages whole for Aid To Municipalities with our sales-tax revenue, we remain optimistic that any new sales-tax revenue generated from internet sales will cover the cost of the AIM payment,” Zurlo said.
“Having said that, our position remains that this should be a State of New York obligation.”
Zurlo said the county is fortunate to have such a good sales-tax record.
“Things continue to be strong and all economic indicators also remain strong,” he said.
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