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VLT's insecure future
The flighty nature of VLT funding, which amounts to about 10% of the city's operating budget, was brought up for discussion at tonight's budget workshop.
This has recently been a topic over at (Dis)utopia of Saratoga Springs, so I thought this was a good opportunity to link to that discussion. You can read the post on the topic here.
In general, I have to agree with Commissioner Franck a little more strongly than I agree with Mayor Johnson and Commissioner Ivins. It seems to me that it would be wise to plan to not have the money, especially since the state's budget is in such dire straights. If we do get the money, or some part of it, then great, buty why dig a hole, only to have to bail ourselves out later?
Of course, that's easy for me to say, since I'm not the one who will have to be responsible for cutting 10 percent from the budget. You can read more about the issue in my story in Tuesday's paper.
This has recently been a topic over at (Dis)utopia of Saratoga Springs, so I thought this was a good opportunity to link to that discussion. You can read the post on the topic here.
In general, I have to agree with Commissioner Franck a little more strongly than I agree with Mayor Johnson and Commissioner Ivins. It seems to me that it would be wise to plan to not have the money, especially since the state's budget is in such dire straights. If we do get the money, or some part of it, then great, buty why dig a hole, only to have to bail ourselves out later?
Of course, that's easy for me to say, since I'm not the one who will have to be responsible for cutting 10 percent from the budget. You can read more about the issue in my story in Tuesday's paper.
posted by The Saratogian City Desk at
9:07 PM
6 Comments:
To anonymous 7:34 a.m.: I'm declining to post your comment on the grounds that you employed racial slurs aimed at me. Kindly keep such screed off of this blog. I guess you haven't heard, but we're living in post-racial America, and there's no space for your ilk here.
As for your comments on increasing business at the racino, I would say that Franck and some other members of the council are concerned about the state taking the funding for hosting the VLTs away from the city, regardless of whether or not revenue increases at the state's racinos.
Even if gambling is on the up for the time being, I stand by my comments made on another blog, that an increase will not prove durable in the face of a worsening recession.
Finally, I don't pretend to be an expert on assessment, but the assessed values listed on the city's assessment database, when I last checked it (around assessment time), seemed to consistently increase with square footage and the number of bedrooms.
If you are some kind of expert on assessment who could offer me further insights, I'd be more than happy to listen to what you have to say. Otherwise, you are nothing more than another anonymous "pretender" who has no business insulting me.
I made a mistake. I entered into a dialogue with an anonymous poster whose comments were not only offensive, but not related to the topic at hand here. I should have simply ignored the comment, in addition to declining to post it.
I encourage tips (anonymous and not), and transmitting them through this blog is a fine way to get to me, but just because I didn't look into something that you think I should does not make me a bad reporter, and it does not give posters the right to attack me.
As I asked at the outset of this blog, I still ask that comments be on topic, and I ask that commentors remain civil in what they write. Even if you're hiding behind anonymity, please remember that we're all people and we ought to be civil to one another. Now, does anyone have anything to say about VLT funding?
P.S. 7:34/6:31: You know damn well that "pretender" is not the racial slur I'm referring to. And, if you truly don't know what I'm talking about, then I just feel bad for you, because not only are you an anti-Semite, but you're also clearly not very smart.
Andrew J. Bernstein:
In the lead article in the 11/13/08 paper, you wrote that Saratoga Springs began receiving State VLT Aid in 2006. That's a mistake. VLT aid didn't start until 2007.
The video lottery law was proposed by Republican Governor Pataki and Republican Senator Bruno in 2001. It included no provision for aid to host communities, but it did give the County government the right to opt in or out. The Republican dominated Board of Supervisors hurried to approve putting a racino at the harness track but never asked for a share of the money.
In 2006, Pataki proposed a VLT Aid law requested by the Republican mayor of Yonkers that would have benefited Yonkers and left Saratoga Springs out in the cold. Democratic Mayor Valerie Keehn went to Albany and lobbied the Governor, the Senate, and the Assembly, winning passage of a law that added Saratoga Springs into the program scheduled to begin aid payments in 2007.
In 2007, Governor Spitzer proposed reducing the share that was supposed to go to Saratoga Springs. Mayor Keehn went back to Albany and, with support from the Senate and the Assembly, succeeded in keeping the aid program intact. As a result, Saratoga Springs received the first VLT aid payment of $3.8 million in June 2007.
In 2008, Mayor Keehn was out of office. When Governor Paterson proposed cutting the aid payment, Republican Mayor Johnson neglected to lobby the Governor and the Assembly. Instead, he left it all up to Republican Senator Bruno. Result: Saratoga Springs took a hit and received only $3.7 million in June 2008.
Right now, Mayor Johnson should be lobbying the Governor's office, the Senate, and the Assembly, which are all held by Democrats. If he repeats past Republican mistakes and relies only on members of his own party, Saratoga Springs will lose.
The other big problem with the racino is that it is not assessed correctly. It's a gold mine that produces more revenue every year, yet Accounts Commissioner John Franck refuses to increase the assessment to a realistic level.
The property tax is the principal method cities use to pay for the infrastructure and services that benefit property owners. If Franck would do regular reassessments as required by law, the city wouldn't have to rely so much on the special VLT Aid program. If you would report on it, more people would know the real story.
Andrew J. Bernstein:
VLT revenues at the Saratoga racino were up by more than $100,000 last week.
When do you think that downturn you keep predicting is going to happen?
Andrew J. Bernstein:
In the 11/14/08 story, you quoted former Supervisor Roy McDonald as saying that when the Board of Supervisors approved the Saratoga racino there was a verbal agreement that Saratoga Springs and Saratoga County would share in the revenues.
How about asking McDonald some follow up questions? Why wasn't the "agreement" written into the Board's approval resolution? If the "agreement" included the City of Saratoga Springs, the County of Saratoga, and the State of New York, why didn't the Mayor, the Chairman of the Board of Supervisors, and the Governor say anything about it at the time?
And if there really was an "agreement" why did Governor Pataki propose a VLT aid program that would have benefited Yonkers and left Saratoga out in the cold?
According to your story, Supervisor Joanne Yepsen said VLT aid should stay in the "balance sheets" of the city and county. Is that what she really said? Doesn't she know the difference between a balance sheet and a budget?
To 4:46 -- I think we'll see revenue dip in 2009 as the financial crises deepens and spreads.
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