JOHNSTOWN - The Town Board has approved its end of a revenue-sharing deal that would allow a new Eagle Chevrolet dealership building to access city water and sewer.
The dealership's new building would straddle the town-city border, with 89 percent of the building sitting on a now-vacant lot in the town. Under the agreement, the city would allow the company to access municipal water and sewer lines in exchange for collecting the sales-tax revenue from the dealership's parts and service business. The town and city would share property-tax revenue, with the town taking 89 percent.
The agreement means the city and town will not have to pursue annexation in order for the dealership to access services.
"I'm happy with this agreement with Eagle Chevrolet [and] the city of Johnstown because I'm against annexations," town Supervisor Nancy MacVean said. "We're not letting go of any land, and they're going to put up a big, fancy building on about 80 percent of land that is still ours. And we get more tax revenue. We're not losing any land. That's the important thing."
MacVean said she'll sign the agreement after it's amended to say the town could collect property taxes on any other structures built on that town site, such as a storage shed. The board's approval is contingent on that addition.
City officials must pass the same agreement. The Common Council will meet tonight, but the agreement is not on the agenda. The sewer hookup also must be approved by the Gloversville Common Council, which will vote on it Tuesday.
Town Assessor Katherine Oare said the town historically has given on such matters as annexation, and now Town Board members "have to take."
"We've been extra, extra good to people," she said, "Someone has to be extra, extra good to us for what we've done."
MacVean said she's happy the revenue-sharing agreement came together quickly. She said she hopes the deal could be a starting point for improved relationships between the cities and the town.
"The city can be stubborn, but they went for this pretty fast. I think they were afraid of losing the dealership," MacVean said.