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Borrello, Molitor urge Hochul to veto $13.7M Dunkirk loan

Senator George Borrello and Assemblyman Andrew Molitor have sent a joint letter to Gov. Kathy Hochul urging her to veto S.8413/A.8870, legislation that would authorize a $13.7 million state-backed loan to the City of Dunkirk.

The lawmakers warned that the plan would saddle city taxpayers with nearly $10 million in interest over 15 years, while eliminating the city’s $1.5 million in annual AIM (Aid and Incentives for Municipalities) funding, without providing the oversight or accountability needed to fix Dunkirk’s underlying financial problems.

“This isn’t a rescue, it’s a high-interest burden that will worsen the city’s fiscal standing,” said Borrello. “What Dunkirk needs is structure and discipline, not another loan that rewards failure.”

“We’re also hearing directly from city residents who’ve contacted our offices to voice their opposition to this plan,” Borrello noted. “People are concerned, and rightly so — they see this for what it is: a short-term patch that creates long-term pain.”

Molitor said, “Not only are Dunkirk residents opposed, but there is also mounting bipartisan opposition to this bill among elected officials. Three out of five Dunkirk City Council members — Nancy Nichols, James Stoyle, and Abigail Zatorski — have publicly opposed it, and Chautauqua County Legislator Bob Bankowski, a Democrat representing District 2 in the city, has now joined them in voicing his concerns. They want and deserve real solutions, not another fiscal band-aid that kicks the can down the road.”

Borrello stressed that the “bill was carried by members of the State Legislature from New York City — lawmakers who have never set foot in the City of Dunkirk. And the standard practice of receiving a home rule message was bypassed in order to move this bill to the floor. That kind of procedural end-run is deeply concerning and shows a disregard for the city’s elected leadership.”

Both lawmakers are urging the passage of S.7497/A.8019, their alternative proposal to create an independent financial control board to guide the city back to fiscal stability.

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