My two cents regarding soaring costs – observertoday.com

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My two cents regarding soaring costs – observertoday.com

Jun 11, 2026

This week I have a few thoughts about money, which is always an interesting subject.
As editor John D’Agostino recently pointed out while our governor complains about affordability in light of rising gas, grocery, utility and car insurance costs, she ignores the fact that much of the affordability problem has been caused by the unbridled spending in Albany leading to ever increasing taxes and programs like the state’s renewable energy program that has led to soaring energy prices.
Again speaking of affordability concerns, I found very interesting state Sen. George Borrello’s comments about the governor’s POWER program to provide direct financial relief to hardworking families struggling with rising utility costs and gas prices. The Protecting Our Wallets Energy Rebate (POWER) initiative will issue $1 billion in one-time energy rebate checks to millions of eligible tax filers who filed income taxes for 2024, supposedly to protect our wallets. This payoff will not affect affordability, it certainly will not fix the skyrocketing cost of energy in New York, and I suspect is nothing more than a clumsy attempt to buy votes in the upcoming election.
Here in Chautauqua County salaries and the number of employees in county government continue to rise. This has happened in spite of the fact that in the last 15 years our population has decreased by nearly 10,800 people making one wonder why you need more workers to serve fewer residents. The rising county payroll is placing an added burden on a shrinking tax base in a county where the median household income is well below the national average and the poverty rate is well above the national average. It seems that the county cannot continue on a business as usual course much longer.
The recent OBSERVER article on County Legislature Democratic Minority Leader Bob Bankoski’s rebuttal of County Executive Wendel’s recent State of the County address where he claimed the county is a good place with a strong future, got me wondering. Bankoski said the Democrats’ view is formed by three fundamental principles: “Make the county more affordable, make wise choices, and focus on job creation.”
He based his pessimistic view on the recent loss of 700 jobs in the county and Refresco’s canceling grape contracts in the county. Everything he cited is true as were his concerns about our low median family income, our high poverty rate, concerns about county government work force growth and population loss. I think that most Republicans share his concerns.
But here is the problem as County Legislator John Penhollow (R-Stockton) pointed out; New York state government is controlled by New York City progressive Democrats for whom upstate is a foreign land. Their urban mindset allows them to pass legislation that hurts our agricultural community. Their propensity to overregulate business and just about everything scares most job creating businesses to avoid coming to New York.
The only businesses that will chance coming to New York are the desperate ones attracted by tax holidays and other gimmicks like Athenex and we know what happened there. This situation will not change until New York gets its fiscal house in order by cutting spending, lowering taxes and trashing overregulation in every aspect of life. Those are my fundamental principles for saving upstate but for the foreseeable future that won’t happen unless an untreatable virus from outer space turns all downstate Democrats into zombie conservatives.
Next, a recent OBSERVER article on declining enrollment at Silver Creek Central caught my eye. As enrollment drops the workings of the economies of scale push the cost per student up and with it school taxes. In a subsequent OBSERVER article on the proposed 2026-27 budget at Silver Creek Central it was disclosed that Silver Creek’s spending per student of $26,111 in 2024 compared favorably with similar size districts like Forestville, Cassadaga Valley and Pine Valley. However I noted that larger districts like Lakeshore and Eden pay anywhere from $1,500 to $2,500 less per student.
The conclusion that can be taken from this is that larger districts because of the workings of the economies of scale reduce the per pupil cost of education by reducing the cost of specialized, non-instructional services like maintenance, transportation, and food services and through greater administrative efficiency. In addition consolidation would mean a larger tax base with less strain on taxpayers.
Studies of what is the optimum size district vary but the consensus seems to lie somewhere between 2,000 and 5,000 students after which inefficiencies may arise. Reading these articles made me wonder why two small districts like Silver Creek and Forestville and other districts like them don’t get serious about consolidation. It seems to me that parents would want the increased educational opportunities provided by larger districts and taxpayers would want lower taxes.
Thomas Kirkpatrick Sr. is a Silver Creek resident. Send comments to editorial@observertoday.com
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