Opinion: Let’s Be Honest About Putnam’s Sales Tax Debate

Tonight, 3/24/2025, the Putnam County Legislature’s Audit committee is meeting to vote on a blank tax rate—literally. Tucked into Item #15 of the Audit Committee agenda is a resolution titled:

That underscore is real. We’re being asked to approve a tax rate with a missing number. And if you think that sounds bizarre, that’s because it is. Voting on an undefined tax rate is procedurally reckless and fiscally irresponsible. It means the public has no idea what kind of impact to expect, and lawmakers are essentially authorizing a tax rate without vetting its consequences.

But even more troubling? This proposal could derail a much smarter, more impactful tax strategy that would actually help save Putnam County residents money: the redistribution of sales tax surplus to our towns and villages.

Let’s get one thing straight: sales tax is the one tax that is not solely on the backs of Putnam County residents. We share this burden with anyone who shops, dines, or travels through our county. That includes weekenders, tourists, and people who live just over the line in Westchester or Dutchess.

So when we talk about cutting the county portion of the sales tax—what’s really happening? We’re giving up revenue that comes, in part, from non-residents… and MAYBE giving back pennies to local taxpayers.

If the goal is relief, this ain't it.

Let’s say they shave a quarter-point off the county sales tax. Sounds nice, right? Until you realize what that actually means:

🧾 For the average resident, this is a savings of a few bucks a month—maybe enough for an extra pizza or two over the course of a year.

🏗️ In contrast, if we redistribute just 50% of the sales tax surplus back to towns, those funds can go directly into long-overdue infrastructure projects—roads, drainage, water systems, and more. That’s where real taxpayer savings happen.

Take Carmel Hamlet’s Water District #2 for example: We’re talking about the difference between maybe $20 in your pocket and saving $900+ on a water treatment project that the town would have otherwise stuck you with ads their original plan gone through.

If surplus tax funds were redistributed by the county to local governments, that could significantly save tax payers hundreds of dollars, much more than a quarter point on a sales tax rate we don’t even feel any way.

I live in Carmel Hamlet, and let me tell you—we feel the disparity in services every day. There’s a water treatment project on the horizon that would have cost us nearly $944 a year in new taxes, if it weren't stopped by Carmel town councilman Robert Kearns.

So sure, the reduction of a quarter point in the county portion of the sales tax rate might save you a few bucks, but that savings means nothing if local infrastructure projects cost you significantly more.

That’s why redistribution of surplus sales tax revenue, something the county has accumulated for four consecutive fiscal years, could save you multiples more.

The same kinds of local infrastructure projects like Carmel’s water treatment facility could be offset and partially funded through redistributed sales tax dollars all over Putnam if the county acted boldly and responsibly.

I said this publicly directly to the legislature at the last meeting where this was on the agenda, and I’ll say it again here:

Here’s the most important piece:

On February 11th, every town supervisor wrote and signed a letter unanimously asking the county legislature to consider this.

Putnam Valley town supervisor Jackie Anabi came to the February 19th meeting and spoke directly to them stressing its importance.

Even County Executive Kevin Byrne seems open to warming up the idea. He had reportedly been an ardent opponent to this, but since, he’s had conversations with town officials and has acknowledged the public pressure around this issue.

He will reportedly soon be meeting with town officials to discuss this issue directly.

This would put the 1% extension back in place, and make Sales Tax Surplus redistribution possible. Without the one percent extension - Sharing sales tax with municipalities is dead in the water.

There’s an opportunity tonight to discuss and even move forward the Montgomery resolution, which may not be allowed into the discussion by the committee’s majority, that commits to sharing sales tax. The formula by which this is done can be determined at a later time. Many counties change their formula annually.

But as Legislator Nancy Montgomery has pointed out since being the strongest county advocate for redistribution, a veto is meaningless unless we actually put a formula for redistribution on the books. And as of yet, no one in the county has committed to that yet.

This can’t be another empty gesture. Getting this on the books matters, without it, nothing changes. This can’t be another issue like public speaking that gets kicked down the road with more meetings about meetings.

As of now the 5-seat majority opposing this is Legislators Ellner and Birmingham, who have each proposed three different sales tax reduction measures between them, and Legislators Sayegh, Addonizio, and Jonke.

I don’t care whose political “win” this ends up being. It doesn’t matter whether it’s Kevin Byrne’s idea or the town supervisors’ or someone else’s. What matters is that we finally have the political will to share these funds in a way that lifts all of Putnam County—not just County Government.

So tonight, I hope:

Because this isn’t just about policy. It’s about trust. It’s about doing what’s right for the taxpayers who’ve been footing the bill without seeing the benefits.

Let’s stop playing politics and start fixing the roads.

— Brett Yarris