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How Wall Street debacle affects North Syracuse

While many municipalities throughout the area are facing large deficits and running short on cash, the village of North Syracuse is financially sound, Mayor John Heindorf said at last Thursday's village board meeting.

He said the state "depends heavily on Wall Street for revenue, and the last few months have been a disaster, called by Governor David Paterson 'the worst economic crisis since the Great Depression.' I attended the governor's town hall meeting in Syracuse, and many people were allowed to ask questions of the governor.

"Basically, the bottom line is that due to the state's heavy dependence on Wall Street and its failure, the governor is faced with closing a $1.5 billion deficit in the state budget for this year which ends March 31, 2009, and $12.5 billion in fiscal year 2010," Heindorf said. "The bottom line is the governor, and hence the state legislature has no other options except to cut expenditures."

The media has reported that under normal circumstances such drastic cuts would be considered political suicide.

"Our main concern so far is how this is going to affect North Syracuse. The answer is really unknown right now as the proposal so far is just a proposal," which is cutting a proposed five percent increase in state aid to municipalities. This would mean about $5,000 to the village, "which we can live with," Heindorf said.

He noted while many communities are facing serious financial difficulties, the village of North Syracuse is financially stable and has a "healthy fund balance."

Meanwhile, the New York State Conference of Mayors and Municipal Officials (NYCOM) is trying to warn state residents to the dangers of shifting state taxes and costs onto local governments and property taxpayers. In an effort to educate policymakers, the media, the public and New York's overburdened real property taxpayer, StopTheTaxShift.org is the one place where New Yorkers can go to fully understand the local impact of decisions made in Albany.

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