Legislators Warn About Spending Casino Money

CANTON - St. Lawrence County lawmakers will ask state officials for permission to spend gaming compact proceeds from the Akwesasne Mohawk Casino as they please, but two lawmakers say if that happens, the money will never again be used for economic development.

"This board will throw it in the general fund and spend it for anything but economic development," said Legislator Vernon D. Burns, D-Ogdensburg, who chairs the Legislature's Economic Development Strategic Planning Committee.

The money is currently funneled to St. Lawrence and Franklin counties through the Empire State Development Corp., which requires that the counties and four towns also receiving a share - Massena, Brasher, Bombay and Fort Covington - submit annual plans for how it will be spent. The agency requires that the money solely be used for economic development and gambling addiction programs.

Some lawmakers have said the counties and towns should be able to spend it as they choose in tough financial times.

"A vote for this is a vote against economic development," said Legislator Frederick S. Morrill, D-DeKalb Junction, who joined Mr. Burns in opposing the request at Monday's Finance Committee meeting.

Franklin County's Legislature chairman agrees, however, that the counties should be able to spend the money as they wish.

"Who knows best how to use the money more prudently than the person working for the taxpayer?" said Guy H. Smith, D-Fort Covington.

Mr. Smith said his county has a good relationship with Empire State Development officials, but lawmakers have not always agreed with the agency about what projects should be considered economic development.

The resolution lawmakers are expected to approve at Monday's meeting also asks that the counties receive annual casino revenue directly from the state comptroller's office.

County Attorney Michael C. Crowe has said there is nothing in state law dictating how the money should be spent or designating Empire State Development to disburse it. Lawmakers had considered asking that the tribe be allowed to pay the county directly, but Mr. Crowe said state law prohibits it.