Assemblywoman Carrie Woerner (D-Round Lake) announced that legislation she authored that would allow the Ballston Spa Central School District to establish a tax stabilization reserve fund has passed the Assembly (A.7622-B). The measure previously passed the state Senate, and will now be sent to the Governor for final approval. The bill would allow the district to set aside funding from the GlobalFoundries Luther Forest PILOT payments instead of spending it all in one year, as law typically requires.
The funds generated by the GlobalFoundries PILOT are a valuable resource that must be used responsibly, said Assemblywoman Woerner. This legislation will provide stability to the school district and ensure that students will have the resources they need without burdening taxpayers.
GlobalFoundries has been making payments in lieu of taxes, otherwise known as PILOT payments, for its Luther Forest semiconductor manufacturing facility. However, Ballston Spa schools are receiving funding from these payments that are in excess of the current needs of the school district. Assemblywoman Woerners legislation, which was requested by the school district, will ensure that funds from the PILOT payments are set aside for future needs.
In the face of losing approximately $450 million in assessed value as a result of the depreciation of the existing GlobalFoundries properties over the next 10 years, establishing this reserve was critical for the long term fiscal stability of the district, said Joseph P. Dragone, Ph.D., Superintendent of Schools for the Ballston Spa Central School District. If further development occurs, this reserve will help manage the negative fiscal impact our community has faced. We are grateful for the leadership and support of Assemblywoman Woerner, and her commitment to the residents of our district is greatly appreciated.
Creating a reserve fund is the fiscally responsible thing to do, added Assemblywoman Woerner. Reducing the burden on local taxpayers and supporting public education have been two of my top priorities since entering office, and this bill does both.