CORONAVIRUS IMPACT

PART III

Coronavirus Economic Impact:

A NYS County Update
JULY 2020

HON. JOHN F. MARREN Counties Working For You

President
540 Broadway, 5th Floor
Albany, NY 12207
STEPHEN J. ACQUARIO
Executive Director
www.nysac.org

518-465-1473
 Introduction
The COVID-19 pandemic has impacted every aspect of our society, government and the economy, unlike any other event in
the past 50 years. In New York State, counties have led the local response to the novel coronavirus by working to keep people
safe and foster the reopening of communities by managing quarantine enforcement and support, operating our emergency
operation centers and 911 services, standing up and running testing facilities, conducting tracing operations, and providing
food assistance to families and seniors.

Counties did all of this in the face of very difficult economic times brought on by a severe decline in sales taxes, hotel
occupancy taxes, and other county revenues, cuts in state reimbursement, and the impact of lost jobs and business activity in
our communities.

This brief NYSAC report updates our previous economic impact reports that projected the loss in revenues for New York’s
counties. While our overall estimated losses largely have not changed, we have more data with which to base our 2020 and
2021 projections, including revenue impacts provided by New York City.

Total lost revenues for counties and New York City over two fiscal years could reach $13.5 billion (counties, $4.5 billion – New
York City, $9 billion, not including state reimbursement impacts). A breakdown for the counties is available in Appendix B.

Sales Tax
• Sales tax is the number one source of county revenue for nearly half of all counties and
averages over 20 percent of local revenue.

• States, counties, and local governments need direct and flexible federal coronavirus
Counties and NYC
stimulus funding to address depleted resources, state aid cuts, and reduced sales tax project $4.9 billion
revenues. in sales tax losses
• Calendar Year 2020 started strong for counties and New York City. Most counties were over their 2020 &
exceeding budgeted revenues for sales tax in January (+9.5%) and February (+6.5%). 2021 fiscal years.
• Then the pandemic began to take hold in March, first in New York City and surrounding
areas and then spreading across the state – the impact on revenues became quickly apparent.

• Over the next 12 months we project sales tax losses could be between $1 billion to $1.3 billion for the 57 counties
(not including New York City). Including New York City, the sales tax losses alone , over the next 12 months, could
reach $3.2 billion. Over the 2020 and 2021 fiscal years these losses could reach $4.9 billion in lost sales tax (counties,
$2 billion - New York City, $2.9 billion).

2 | NYSAC SUMMER 2020 CORONAVIRUS IMPACT

 Employment
County Local Revenue
• There are 1.4 million fewer jobs in New York
State in June 2020 compared to 2019. The & State Aid Losses
unemployment rate in New York is currently 16
percent for June. Hotel Occupancy Taxes: Down nearly
• The State projects the unemployment rate will -80%
remain as high as 11 percent through the end of
2021. See Appendix A Stopped
Gaming Revenues:
• Federal unemployment benefits have helped
Completely
maintain some level of consumer spending during
the social distancing period, but still at severely -20%
restricted levels compared to the prior year. Until State Revenue Cuts: Some Programs
people can return to work safely, support for More than -30%
these federal UI benefits are critical to consumer
spending. State reimbursement cuts will cost
counties (outside NYC) more than
$670 million a year

Other Revenue Losses

Counties and • Hotel Occupancy taxes are down nearly 80 percent

New York City are in most counties since COVID. For the next year we
expect these revenue losses to range between $50
the Boots on the million and $80 million (not including NYC). New York
City is projecting hotel tax losses of $536 million over
Ground their 2020 ($161 million) and 2021 ($375 million) fiscal
years.
New York State has provided significant guidance to
local governments to respond to the pandemic, but • Gaming Revenues have stopped completely since
it was counties and New York City that turned those COVID. For the next year we expect these revenue
plans into action. losses to range between $57 million to $86 million.
One horse racing facility in the Southern Tier has
As Governor Cuomo has said numerous times, it announced they will need to close permanently. The
is the county that has to enforce these regulations neighboring full-scale casino may need to close as well
and implement them on the ground. Response and if things do not turn around soon.
recovery.
• State Revenue cuts of 20 percent have commenced.
These efforts have been successful so far and we are These cuts are being implemented across to board
seeing the virus more or less contained and that has to all local governments and school districts. Some
enabled us to reopen. But the reopening has to be programs are being cut by more than 30 percent and
done carefully and gradually to prevent the nearly out we expect some state reimbursements and aid for
of control spread of the virus in other regions of the certain programs to be eliminated. Also, current year
country. New York has gone from 40 percent of all targeted state budget cuts implemented in response to
confirmed COVID cases in the nation in the early days the pandemic will reduce county revenues by another
of the pandemic, to about 10 percent today. $75 million per year. Without additional federal aid
Local public health departments, emergency response these cuts will become permanent.
programs, public works departments and social services • For New York counties (outside of New York City)
were all engaged in the local response to the global these state reimbursement cuts will be more than
pandemic. (See right) $670 million per year.
CORONAVIRUS IMPACT NYSAC SUMMER 2020 | 3
 Federal Aid
The financial picture for counties and New York City is extremely dire at this point and we have significant concerns about the
nation as a whole having made limited progress against the virus since it hit our shores several months ago.

Some areas have made progress, but others are seeing record setting infections and deaths on a daily basis.

In New York, we are projecting that counties could see revenue losses approaching $5 billion over two years because of the
pandemic, growing to nearly $14 billion with New York City revenue losses.

The federal government must come through with direct unrestricted assistance to states and counties to allow us to continue
to fight COVID, maintain essential services and maintain employment levels in our communities. State and local governments
are major employers, and provide nearly 12 percent of all U.S. jobs.

Economists have noted that in the last downturn, during the Great Recession, the federal government’s austerity approach and
prematurely ending financial assistance to states and local governments contributed significantly to the slow recovery, both in
employment terms and contributions to gross domestic product.

County Mid-Year Budget Cuts

The COVID-19 pandemic and resulting economic slowdown have devastated county budgets on a scale not seen since the
Great Depression. As counties throughout New York State await desperately needed direct aid from the federal government,
they have taken the following actions to stabilize their budgets and ensure the maintenance of critical local services.

• Eliminating all unnecessary travel, including commitments • Reducing planned public facilities projects, highway
for future discretionary travel. infrastructure projects, and soil and water conservation
initiatives.
• Instituting a hiring freeze, with exceptions only for
essential positions, i.e. nursing home employees, public • Seeking larger sponsor investment for community
safety, and public health. colleges to supplement State cuts.
• Making permanent layoffs. • Eliminating or outsourcing of certain county services (i.e.
mental health, substance abuse clinic, nursing homes).
• Implementing voluntary furloughs.

• Implementing separation incentive program (retirement

incentive).

• Reducing summer employment.

• Reviewing contracts, contingency measures, mandated

and unmandated programs. Some counties have
restricted or froze all non-mandated contractual
arrangements.

• Closing county parks, boat launches, athletic fields,

recreation areas, residential children’s summer camp.

• Curtailing road and bridge repairs to cap CHIPS/PAVE NY

spending.

4 | NYSAC SUMMER 2020 CORONAVIRUS IMPACT

 Appendix A

CORONAVIRUS IMPACT NYSAC SUMMER 2020 | 5

 Appendix B

Projected County COVID Revenue Losses (outside NYC), 2020 & 2021
Fiscal 2020 Revenue Losses Fiscal 2021 Revenue Losses Fiscal 2020 & 2021 Losses
Milder Severe Milder Severe Milder Severe
Albany $50,607,450 $68,819,883 $12,651,862 $34,409,941 $63,259,312 $103,229,824
Allegany $6,721,642 $13,206,632 $1,680,410 $6,603,316 $8,402,052 $19,809,948
Broome $31,369,789 $50,225,868 $7,842,447 $25,112,934 $39,212,236 $75,338,801
Cattaraugus $11,941,860 $20,492,988 $2,985,465 $10,246,494 $14,927,326 $30,739,482
Cayuga $10,844,800 $18,338,948 $2,711,200 $9,169,474 $13,555,999 $27,508,422
Chautauqua $16,299,362 $26,134,534 $4,074,840 $13,067,267 $20,374,202 $39,201,801
Chemung $12,517,703 $19,417,704 $3,129,426 $9,708,852 $15,647,129 $29,126,556
Chenango $5,945,099 $10,582,280 $1,486,275 $5,291,140 $7,431,374 $15,873,420
Clinton $12,259,300 $19,669,300 $3,064,825 $9,834,650 $15,324,125 $29,503,950
Columbia $9,409,724 $15,987,032 $2,352,431 $7,993,516 $11,762,155 $23,980,548
Cortland $7,244,029 $12,306,838 $1,811,007 $6,153,419 $9,055,036 $18,460,258
Delaware $5,492,501 $9,674,044 $1,373,125 $4,837,022 $6,865,626 $14,511,066
Dutchess $42,859,136 $68,936,798 $10,714,784 $34,468,399 $53,573,920 $103,405,196
Erie $144,396,191 $207,661,393 $36,099,048 $103,830,696 $180,495,239 $311,492,089
Essex $9,662,300 $14,234,036 $2,415,575 $7,117,018 $12,077,875 $21,351,054
Franklin $8,757,722 $15,158,973 $2,189,431 $7,579,487 $10,947,153 $22,738,460
Fulton $6,548,931 $10,741,227 $1,637,233 $5,370,613 $8,186,164 $16,111,840
Genesee $9,063,604 $14,128,610 $2,265,901 $7,064,305 $11,329,505 $21,192,915
Greene $7,754,815 $12,997,689 $1,938,704 $6,498,845 $9,693,518 $19,496,534
Hamilton $1,475,609 $2,813,574 $368,902 $1,406,787 $1,844,511 $4,220,361
Herkimer $7,359,885 $12,247,309 $1,839,971 $6,123,655 $9,199,856 $18,370,964
Jefferson $16,740,343 $26,361,324 $4,185,086 $13,180,662 $20,925,429 $39,541,986
Lewis $3,633,924 $6,778,829 $908,481 $3,389,414 $4,542,405 $10,168,243
Livingston $9,342,095 $16,967,494 $2,335,524 $8,483,747 $11,677,619 $25,451,242
Madison $11,255,477 $17,993,728 $2,813,869 $8,996,864 $14,069,346 $26,990,592
Monroe $105,688,713 $165,718,713 $26,422,178 $82,859,357 $132,110,892 $248,578,070
Montgomery $6,405,780 $10,498,289 $1,601,445 $5,249,145 $8,007,225 $15,747,434
Nassau $347,646,256 $430,293,556 $86,911,564 $215,146,778 $434,557,820 $645,440,334
Niagara $27,467,610 $39,505,231 $6,866,902 $19,752,616 $34,334,512 $59,257,847
Oneida $45,517,131 $69,835,987 $11,379,283 $34,917,993 $56,896,414 $104,753,980
Onondaga $70,032,493 $103,182,493 $17,508,123 $51,591,246 $87,540,616 $154,773,739
Ontario $17,247,860 $26,457,217 $4,311,965 $13,228,609 $21,559,825 $39,685,826
Orange $61,752,293 $90,243,680 $15,438,073 $45,121,840 $77,190,366 $135,365,520
Orleans $4,198,375 $7,722,264 $1,049,594 $3,861,132 $5,247,969 $11,583,396
Oswego $12,375,364 $22,135,703 $3,093,841 $11,067,852 $15,469,204 $33,203,555
Otsego $10,604,881 $16,592,325 $2,651,220 $8,296,162 $13,256,101 $24,888,487
Putnam $11,176,318 $17,835,484 $2,794,079 $8,917,742 $13,970,397 $26,753,226
Rensselaer $20,750,714 $34,978,815 $5,187,679 $17,489,407 $25,938,393 $52,468,222
Rockland $45,967,539 $72,097,334 $11,491,885 $36,048,667 $57,459,423 $108,146,001
Saratoga $24,646,220 $34,097,897 $6,161,555 $17,048,948 $30,807,775 $51,146,845
Schnectady $23,671,157 $38,734,884 $5,917,789 $19,367,442 $29,588,946 $58,102,326
Schoharie $5,816,067 $11,523,343 $1,454,017 $5,761,672 $7,270,084 $17,285,015
Schuyler $3,757,514 $6,107,555 $939,379 $3,053,778 $4,696,893 $9,161,333
Seneca $7,976,911 Continued$1,994,228
$12,019,176 $6,009,588 $9,971,138 $18,028,764
St. Lawrence $13,779,968 $22,472,513 $3,444,992 $11,236,256 $17,224,960 $33,708,769
Steuben $13,079,872 $21,030,430 $3,269,968 $10,515,215 $16,349,839 $31,545,644
Suffolk $386,920,028 $486,653,630 $96,730,007 $243,326,815 $483,650,034 $729,980,444
6 | NYSAC SUMMER 2020 CORONAVIRUS IMPACT
Sullivan $12,915,364 $19,985,015 $3,228,841 $9,992,507 $16,144,204 $29,977,522
Tioga $5,849,602 $9,549,663 $1,462,400 $4,774,831 $7,312,002 $14,324,494
Nassau $347,646,256 $430,293,556 $86,911,564 $215,146,778 $434,557,820 $645,440,334
Niagara $27,467,610 $39,505,231 $6,866,902 $19,752,616 $34,334,512 $59,257,847
Oneida $45,517,131 $69,835,987 $11,379,283 $34,917,993 $56,896,414 $104,753,980
Onondaga $70,032,493 $103,182,493 $17,508,123 $51,591,246 $87,540,616 $154,773,739
Ontario $17,247,860 $26,457,217 $4,311,965 $13,228,609 $21,559,825 $39,685,826
Orange $61,752,293 $90,243,680 $15,438,073 $45,121,840 $77,190,366 $135,365,520
Orleans $4,198,375 $7,722,264 $1,049,594 $3,861,132 $5,247,969 $11,583,396
Oswego $12,375,364 Appendix
$22,135,703 B- Continued
$3,093,841 $11,067,852 $15,469,204 $33,203,555
Otsego $10,604,881 $16,592,325 $2,651,220 $8,296,162 $13,256,101 $24,888,487
Putnam $11,176,318 $17,835,484 $2,794,079 $8,917,742 $13,970,397 $26,753,226
Rensselaer $20,750,714 $34,978,815 $5,187,679 $17,489,407 $25,938,393 $52,468,222
Rockland
Saratoga
Projected County COVID Revenue Losses (outside NYC), 2020 & 2021
$45,967,539
$24,646,220
$72,097,334
$34,097,897
$11,491,885
$6,161,555
$36,048,667
$17,048,948
$57,459,423
$30,807,775
$108,146,001
$51,146,845
Schnectady Fiscal 2020 Revenue Losses
$23,671,157 $38,734,884 Fiscal 2021 Revenue Losses
$5,917,789 $19,367,442 Fiscal 2020 & 2021 Losses
$29,588,946 $58,102,326
Schoharie Milder
$5,816,067 Severe
$11,523,343 Milder
$1,454,017 Severe
$5,761,672 Milder
$7,270,084 Severe
$17,285,015
Schuyler
Albany $3,757,514
$50,607,450 $6,107,555
$68,819,883 $939,379
$12,651,862 $3,053,778
$34,409,941 $4,696,893
$63,259,312 $9,161,333
$103,229,824
Seneca
Allegany $7,976,911
$6,721,642 $12,019,176
$13,206,632 $1,994,228
$1,680,410 $6,009,588
$6,603,316 $9,971,138
$8,402,052 $18,028,764
$19,809,948
St. Lawrence
Broome $13,779,968
$31,369,789 $22,472,513
$50,225,868 $3,444,992
$7,842,447 $11,236,256
$25,112,934 $17,224,960
$39,212,236 $33,708,769
$75,338,801
Steuben
Cattaraugus $13,079,872
$11,941,860 $21,030,430
$20,492,988 $3,269,968
$2,985,465 $10,515,215
$10,246,494 $16,349,839
$14,927,326 $31,545,644
$30,739,482
Suffolk
Cayuga $386,920,028
$10,844,800 $486,653,630
$18,338,948 $96,730,007
$2,711,200 $243,326,815
$9,169,474 $483,650,034
$13,555,999 $729,980,444
$27,508,422
Sullivan
Chautauqua $12,915,364
$16,299,362 $19,985,015
$26,134,534 $3,228,841
$4,074,840 $9,992,507
$13,067,267 $16,144,204
$20,374,202 $29,977,522
$39,201,801
Tioga
Chemung $5,849,602
$12,517,703 $9,549,663
$19,417,704 $1,462,400
$3,129,426 $4,774,831
$9,708,852 $7,312,002
$15,647,129 $14,324,494
$29,126,556
Tompkins
Chenango $18,759,348
$5,945,099 $28,989,348
$10,582,280 $4,689,837
$1,486,275 $14,494,674
$5,291,140 $23,449,185
$7,431,374 $43,484,023
$15,873,420
Ulster
Clinton $27,786,855
$12,259,300 $43,926,530
$19,669,300 $6,946,714
$3,064,825 $21,963,265
$9,834,650 $34,733,569
$15,324,125 $65,889,796
$29,503,950
Warren
Columbia $15,616,578
$9,409,724 $20,734,758
$15,987,032 $3,904,144
$2,352,431 $10,367,379
$7,993,516 $19,520,722
$11,762,155 $31,102,138
$23,980,548
Washington
Cortland $5,303,885
$7,244,029 $9,750,475
$12,306,838 $1,325,971
$1,811,007 $4,875,237
$6,153,419 $6,629,856
$9,055,036 $14,625,712
$18,460,258
Wayne
Delaware $10,114,426
$5,492,501 $17,145,581
$9,674,044 $2,528,606
$1,373,125 $8,572,790
$4,837,022 $12,643,032
$6,865,626 $25,718,371
$14,511,066
Westchester
Dutchess $259,113,656
$42,859,136 $360,201,601
$68,936,798 $64,778,414
$10,714,784 $180,100,801
$34,468,399 $323,892,070
$53,573,920 $540,302,402
$103,405,196
Wyoming
Erie $5,580,998
$144,396,191 $10,621,918
$207,661,393 $1,395,249
$36,099,048 $5,310,959
$103,830,696 $6,976,247
$180,495,239 $15,932,876
$311,492,089
Yates
Essex $3,473,263
$9,662,300 $6,149,288
$14,234,036 $868,316
$2,415,575 $3,074,644
$7,117,018 $4,341,579
$12,077,875 $9,223,932
$21,351,054
GRAND TOTAL
Franklin $2,090,496,329
$8,757,722 $2,978,667,729
$15,158,973 $522,624,082
$2,189,431 $1,489,333,865
$7,579,487 $2,613,120,411
$10,947,153 $4,468,001,594
$22,738,460
Fulton $6,548,931 $10,741,227 $1,637,233 $5,370,613 $8,186,164
*Counties outside of New York City.  New York City projects City revenue losses of $9 billion over fiscal years 2020 ($2.3B) & 2021 ($6.7B). $16,111,840
Genesee $9,063,604 $14,128,610 $2,265,901 $7,064,305 $11,329,505 $21,192,915
Greene $7,754,815 $12,997,689 $1,938,704 $6,498,845 $9,693,518 $19,496,534
Hamilton $1,475,609 $2,813,574 $368,902 $1,406,787 $1,844,511 $4,220,361
Herkimer $7,359,885 $12,247,309 $1,839,971 $6,123,655 $9,199,856 $18,370,964
Jefferson $16,740,343 $26,361,324 $4,185,086 $13,180,662 $20,925,429 $39,541,986
Lewis $3,633,924 $6,778,829 $908,481 $3,389,414 $4,542,405 $10,168,243
Livingston $9,342,095 $16,967,494 $2,335,524 $8,483,747 $11,677,619 $25,451,242
Madison $11,255,477 $17,993,728 $2,813,869 $8,996,864 $14,069,346 $26,990,592
Monroe $105,688,713 $165,718,713 $26,422,178 $82,859,357 $132,110,892 $248,578,070
Montgomery $6,405,780 $10,498,289 $1,601,445 $5,249,145 $8,007,225 $15,747,434
Nassau $347,646,256 $430,293,556 $86,911,564 $215,146,778 $434,557,820 $645,440,334
Niagara $27,467,610 $39,505,231 $6,866,902 $19,752,616 $34,334,512 $59,257,847
Oneida $45,517,131 $69,835,987 $11,379,283 $34,917,993 $56,896,414 $104,753,980
Onondaga $70,032,493 $103,182,493 $17,508,123 $51,591,246 $87,540,616 $154,773,739
Ontario $17,247,860 $26,457,217 $4,311,965 $13,228,609 $21,559,825 $39,685,826
Orange $61,752,293 $90,243,680 $15,438,073 $45,121,840 $77,190,366 $135,365,520
Orleans $4,198,375 $7,722,264 $1,049,594 $3,861,132 $5,247,969 $11,583,396
Oswego $12,375,364 $22,135,703 $3,093,841 $11,067,852 $15,469,204 $33,203,555
Otsego $10,604,881 $16,592,325 $2,651,220 $8,296,162 $13,256,101 $24,888,487
Putnam $11,176,318 $17,835,484 $2,794,079 $8,917,742 $13,970,397 $26,753,226
Rensselaer $20,750,714 $34,978,815 $5,187,679 $17,489,407 $25,938,393 $52,468,222
Rockland $45,967,539 $72,097,334 $11,491,885 $36,048,667 $57,459,423 $108,146,001
Saratoga $24,646,220 $34,097,897 $6,161,555 $17,048,948 $30,807,775 $51,146,845
Schnectady $23,671,157 $38,734,884 $5,917,789 $19,367,442 $29,588,946 $58,102,326
Schoharie $5,816,067 $11,523,343 $1,454,017 $5,761,672 $7,270,084 $17,285,015
Schuyler $3,757,514 $6,107,555 $939,379 $3,053,778 $4,696,893 $9,161,333
Seneca $7,976,911 $12,019,176 $1,994,228 $6,009,588 $9,971,138 $18,028,764
St. Lawrence $13,779,968 $22,472,513 $3,444,992 $11,236,256 $17,224,960 $33,708,769
Steuben $13,079,872 $21,030,430 $3,269,968 $10,515,215 $16,349,839 $31,545,644
CORONAVIRUS IMPACT NYSAC SUMMER 2020 | 7
Suffolk $386,920,028 $486,653,630 $96,730,007 $243,326,815 $483,650,034 $729,980,444
Sullivan $12,915,364 $19,985,015 $3,228,841 $9,992,507 $16,144,204 $29,977,522
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