THE COUNCIL January 30, 2002 Res. No. 10 Title Resolution calling upon the State Legislature and the Governor to support S. 4373, an Act authorizing the City to reinstate the modest charge to non-residents who work in the City for their use of City services, also known as the "commuter tax", the elimination of which is costing the City of New York half a billion dollars a year during a time when the City, is facing serious financial difficulties as a result of the September 11th terrorist attacks, and must do even more, in the wake of the attacks, to protect those who work and live in the City. Body By Council Members Nelson, Jennings, Avella, Baez, Comrie, DeBlasio, Fidler, Gennaro, Gerson, Katz, Liu, McMahon, Monserrate, Recchia, Reyna, Rivera, Rodriguez, Sanders Jr., Sears, Weprin, Yassky and Brewer; also Council Members Addabbo, Dilan, Jackson, Martinez and Stewart Whereas, In 1999, the State Legislature adopted, and the Governor signed, legislation repealing the commuter tax -- a tax on non-residents of New York City who work in the City and use City services; and Whereas, This tax was set at a modest rate of less than one-half of one percent of wages earned in the City, and cost the average commuter less than the price of a subway token each day; and Whereas, The cost to the City of New York of the repeal of the commuter tax averages $500 million per year; and Whereas, On September 11, 2001 terrorists launched attacks on New York City, resulting in the death of thousands of people, the damage of tens of billions of dollars of property, the displacement of thousands of New Yorkers from their homes and the destruction, dislocation or disruption of thousands of businesses; and Whereas, The City Council and Mayor's Office of Management and Budget have estimated that the City will lose at least one and one-half billion dollars in revenue over the next 20 months as a direct result of the terrorist attacks, and that this revenue loss will increase in the following years; and Whereas, The City of New York is the economic engine of the State, sending approximately $2.5 billion more in tax revenue to the State in calendar year 2000 than it got back in State aid; and Whereas, Since September 11th, the City has been on a heightened state of alert, with its police, fire and emergency services responding to numerous threats, including numerous incidents of anthrax found in mail sent to media offices throughout the City; and Whereas, These emergency and other protective services - as is the case with other City services -- are provided without regard to whether the lives being protected are those of New York City residents or those of the commuters working in the City but living elsewhere; and Whereas, This past Spring, State Senator Thomas Duane of Manhattan introduced S. 4373, an Act which would authorize the City to reinstitute the modest commuter tax, and since the events of September 11th has renewed calls for action on the proposed legislation in light of the urgency of the City's economic situation; now therefore, be it Resolved, That the Council of the City of New York calls upon the State Legislature and the Governor to support S. 4373, an Act authorizing the City to reinstate the modest charge to non-residents who work in the City for their use of City services, also known as the "commuter tax", the elimination of which is costing the City of New York half a billion dollars a year during a time when the City is facing serious financial difficulties as a result of the September 11th terrorist attacks and must do even more, in the wake of the attacks, to protect those who work and live in the City. Referred to the Committee on State and Federal Legislation. |913|