Last Edited: Wednesday, 04 Feb 2009, 7:50 PM EST
Created On: Wednesday, 04 Feb 2009, 7:49 PM EST
Posted by Rich Newberg
BUFFALO, N.Y. (WIVB) - A big debate over borrowing money is heating up in Erie County. Major projects are now on hold.
Erie County control board Chairman Robert Glaser said, "This is the key item."
The Erie County Fiscal Stability Authority says it could save the county $20 million dollars if given permission to do long term borrowing for major capital projects.
Glaser said, "We do not believe that the county can afford to miss these types of savings in today's economic environment."
$89 million dollars in projects, from road and bridge improvements to work on Ralph Wilson Stadium are on hold, because the control board and the county can't agree on who should do the borrowing.
Erie County Legislature Chair Lynn Marinelli said, "We're concerned that we are probably losing state and federal dollars that can be accessed for those projects."
County leaders believe if the control board is allowed to borrow long term, it will stay in power until the loans are paid off.
That could be twenty or thirty years.
Erie County Attorney Cheryl Green said, "Long term is off the table, as far as we're concerned."
Erie County Comptroller Mark Poloncarz was fuming because he was not asked for his input at the meeting.
He says the control board's $20 million dollar savings figure is not accurate, when you figure in the cost of bond insurance.
Poloncarz said, "Unfortunately we get issues like this where they don't even want to hear what the county's presentation is, and they just say 'here's what we want to do.'"
The capital projects, again, close to $90 million dollars worth, could be putting people to work in Erie County. But based on Wednesday's control board meeting and the response - the stalemate will likely continue.
