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City of Cortland Looks to Enter into Negotiations in Sales Tax Distributions by County

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The City of Cortland Common Council voted during Tuesday’s meeting at City Hall to notify the County of the city’s intent to terminate a sales tax sharing agreement. The agreement the City of Cortland had with Cortland County wasn’t set to expire until December 31, 2028. The vote was unanimous with Councilperson Schutt and Thompson absent.


Under the agreement with the county, municipalities throughout the county, the City of Cortland included, are allocated on a quarterly basis their pro-rated share of sales tax based upon their respective population. The agreement though additionally allows for alternative methods for allocating sales tax proportions on mutual agreements between the city, county and State Comptroller.

“We keep losing [sales tax share] from this year continuously so we need to do it.”

Mayor Steve said to the Common Council.

Steve continued on saying County Legislator Beau Harbin, who represents the 2nd Legislative District for the County will work to help the city move towards negotiating a new deal. Harbins district is located within the City of Cortland, he is also on the Legislative Finance & Administration Committee. During the privilege of the floor prior to vote, Harbin voiced his support in helping the City of Cortland receive its fair share of sales tax revenues.

“Mr. Harbin spoke clearly on what we’re [City of Cortland] is trying to do and we all work together to do it. Hopefully [Harbin] will grab the votes that he needs to make things move in the direction that we would want to have. If not, we can file for preemption.”

Steve continued.

With the approval of notice of intent to terminate the sales tax agreement. Mayor Steve will begin negotiations with the county on a new agreement. The official termination date for the agreement will be effective on November 21, 2024.

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