Opponents Say Cuomo's Plan To Fill Budget Gap Contains Hidden Fees That Will Hurt Taxpayers

NEW YORK (CBSNewYork) -- There's a showdown brewing in Albany over Gov. Andrew Cuomo's plan to fill the budget gap.

Opponents claim new fees could hurt taxpayers across the state.

William Barnes told CBS2's Hazel Sanchez he gave up regular cigarettes a year ago and turned to electronic cigarettes to save money. Now, Cuomo is proposing a 10 cent per milliliter tax on e-cigarette vapor as part of his effort to fill the more than $1 billion budget gap.

"It's getting very popular now and it's an alternative to cigarettes. I think they're trying to put a tax on everything and get as much as they can from the people," Barnes said.

"We think there's about $800 million in taxes and fees and surcharges hidden within the budget," State Assembly Member Nicole Malliotakis, R-Staten Island, said.

She says the governor's promise of "no new taxes" is evidently broken when you dig into the details of his budget proposal, which includes:

  • A $25 increase in certificates of title at the Department of Motor Vehicles
  • A sales tax for online purchases from vendors outside New York
  • A fee for movie theater alcohol sales permits
  • Pre-paid cellphone fees of up to $1.20
  • 5.5 percent charge on Uber/Lyft rides outside New York City

"Government in general believes that when they run out of money, they can simply go back to the tax payer and ask for more, and they're not ATM machines," Malliotakis said.

CBS2 tried getting answers from the governor at the Javitts Center as he toured the boat show filled with million dollar yachts, but his team kept us away.

"So the governor can't go on camera and talk to the people of New York who are going to be charged more?" Sanchez asked.

"Any way you frame it, he's not taking questions today," a staffer replied.

Some government watchdog groups say the governor's proposed revenue actions, aren't lofty but may make New Yorkers want to leave.

"As costs increase, the benefits of leaving obviously would increase as well, but most of these changes are relatively small in comparison to the overall cost of living in New York state," David Friedfel, of the Citizens Budget Commission, said.

"What are you going to do? As much as you fight it, it's government as usual," Al Torres, of Highbridge, said.

The governor's office said the budget proposal does include a tax cut that will save middle class taxpayers an average of $250 a year. Cuomo and the legislature have to reach an agreement on the budget by April 1.

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