NORWICH – In its final meeting of the year, the Norwich town board discussed a challenge ahead in 2009 – a potential loss in sales tax revenue.
“We are anticipating a 20 percent less revenue gain from the sales taxes in the year ahead,” said Town Supervisor David C. Law.
Law said the anticipated loss of revenue stems from the slow down in the economy combined with a decrease in sales by local car dealerships, which generate sales tax revenue for the town.
Law said there were “at least eight, large to medium sized dealerships in the town,” and that after speaking with local representatives, he believed a revenue loss was imminent.
“Not just here; I’d say across the board for New York State. I’ve spoken with local dealers and businessmen and they have relayed concerns over the auto industry and dropping sales. They tell us either that their sales are ‘definitely off’ or they’re just ‘holding their own,’” said Law.