Assemblyman Fred W. Thiele, Jr. (I-Sag Harbor) today reported that revenues for the Peconic Bay Community Preservation Fund (CPF) produced $5.47 million in revenue for the Peconic Bay Region during January 2019. This compares with $9.91 million during January 2018. This is a 44.8% decrease for the month from 2018. Since its inception in 1999, the Peconic Bay Regional Community Preservation Fund has generated $1.387 billion.

The January 2019 revenue number is the lowest monthly total in nearly 6 years since March 2013, when only $4.19 million was collected. Recently, New York State projected a $2.3 billion reduction in state income tax collections for 2019. Governor Cuomo put the onus for the reduced tax projections on the federal “Tax Cut and Jobs Act”. That federal tax law change placed a $10,000 cap on the federal deduction for state and local taxes (SALT).

In addition to the SALT cap, in 2018 the stock market experienced its worst year since 2008, the beginning of the Great Recession, and its worst December since the Great Depression in 1931. To begin 2019, the stock market has rebounded. The Dow Industrial has increased for 9 consecutive weeks for the first time since 1964.

Thiele stated, “It is impossible to determine trends based on a single month of CPF revenues. At least a quarter of a year of data is required to determine whether the revenue drop for January is an aberration or a significant change in the real estate market. Local government officials should closely monitor CPF revenues in the coming months and be cautious in making any long term projections.”

Below are revenues by Town for January 2019 compared with January 2018: