Corning Among Cities Grappling With Temporary Loss Of Aid

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CORNING, NY (WSKG) – The City of Corning recently passed its 2021 budget with a shortfall of $300,000.

The deficit is pending action by the federal government on a new coronavirus relief package.

(Natalie Abruzzo/WSKG)

New York’s Division of the Budget office is temporarily withholding 20 percent of Corning’s Aid and Incentive to Municipalities (AIM) funding. The state budget has grown exponentially since the start of the COVID-19 pandemic.

“We do have information that in mid-July this will be taken up in a really active way,” said Corning Mayor Bill Boland. “So, let’s hope that by August 1, this will have been resolved. The governor will know what he’s getting from the federal government and he can release our AIM funding.”

According to Boland, the information comes from several conversations with Congressman Tom Reed (NY-23) over the past few weeks about the passage of another federal stimulus aid bill.

Reed’s office did not respond to several requests for comment.

The current budget does not call for any layoffs or interruptions in services, Boland said. However, the funds temporarily being withheld would amount to a 3.5 percent increase in taxes-if loss is made permanent.

The total state aid to Corning is approximately $1.7 million according to Boland.

Corning is one of several cities awaiting a portion of its state aid. Other cities awaiting AIM funding include Syracuse, Rochester, Buffalo, White Plains and Yonkers.