Wal-Mart was established in the town under a tax abatement agreement that allowed the business to pay an increasing portion of its property taxes over a 10-year period. After that period ceased, however, the business sued the town over its assessment, prompting the town to spend thousands in legal fees to argue the case.
With all the investments in getting and keeping such sales tax-generating businesses, Dedrick argued it was only fair the towns were compensated for those efforts.
Under the plan, the funds would be distributed in proportion to a formula that equally weighs each town's property tax assessment with its population. North Elba and Ticonderoga would benefit most with those criteria.
"Elizabethtown has a double-whammy in that we generate a lot of sales tax, but we don't generate much in the way of assessed value," explained Merrihew, taking issue with the formula. Merrihew would ultimately oppose the resolution.
Four other supervisors also opposed the resolution, including newly reappointed board chair and Schroon Supervisor Cathy Moses, who said it was wrong to assume sales tax revenues would increase enough to make up the difference.