Two joint ventures that Cayuga County and Auburn leaders first thought were examples of progress in their relationship have instead caused friction.

Neither an arrangement to create and fill the position of an Owasco Lake watershed inspector nor discussions to bump up the city's sales tax intake in exchange for the city providing utilities to new businesses beyond its borders have come to any tangible conclusions.

“I think what started as the spirit of going forward together in a positive way is stalled and it's disheartening,” Auburn City Councilor David Dempsey said.

County officials chalk up the snags to miscommunication, while city councilors say the county has dropped the ball.

A month after city manager Mark Palesh's first day, he and Owasco town officials had drafted a pact that would fund a water steward for Owasco Lake. However, city officials are waiting for the county's stamp of approval for the agreement calling for the city to pay 85 percent, while Owasco will fund the other 15 percent.

Owasco Town Council gave its stamp of approval last week to hire a steward. City council will discuss the situation during the work session this week.

Cayuga County Legislature chairman George Fearon said the county is in favor of the arrangement, but legislators aren't responsible for approving it.

“The county is in total support of protecting Owasco Lake. There's not one legislator who's not for that,” Fearon said.

He points to the county Soil and Water Conservation District as the county entity that has a stake in the agreement, not the legislature. Last Thursday, the county's Water Quality Management Agency approved the contract but this was not a necessary step in the process, even though the steward likely will work with both organizations.

County attorney Fred Westphal confirmed the inspector would work for the conservation district on behalf of Auburn and Owasco; therefore, the organization will lead the hiring process. Westphal said the district is waiting for the first year's funding promised from state Sen. Michael Nozzolio before it fills the position.

But some city officials are tired of waiting.

“My feeling is that the city should just do it. We don't have time for the county to make a decision,” city councilor William Graney said.

“The city needed to step up and take the lead. The county made good noise about it, but now they've backed down,” Dempsey said.

County leaders approached him to push the idea of a lake steward to city officials, he said. Then, after town and city officials penned a preliminary contract, the county didn't respond.

“It's disappointing that they dropped the ball,” Dempsey said.

Councilors also accused the county of not honoring a settlement reached six months ago regarding sales tax distribution.

However, Fearon said the discussions about upping the city's sales tax resulted in a consensus among a few legislators, not a final contract.

The two groups met six months ago. The groups had a series of meetings about a proposal to encourage economic development in the county, rather than the municipalities using their resources to fight over prospective businesses.

The first meeting centered around a new store being built by Home Depot, which had decided pass up a Grant Avenue location in the city and decided instead for a spot in Aurelius.

The city agreed to provide sewer and water utilities to the company, and any other that locate in developing areas of the county. In exchange, the county would increase the percentage of sales taxes for the city to 21 percent.

“For the first time, I thought to myself, the city and the county (are) finally getting their act together and working together,” Dempsey said.

He thought the deal was all but signed. After three months and no progress, he asked the city corporation counsel for answers. Three months after that, he started asking out of frustration on the floor of council during meetings.

Fearon, legislators David Pappert and Paul Dudley, and members of council came to a consensus, one that did not automatically ensure the full Legislature's approval, Fearon said.

“They're three legislators. They don't represent the Legislature as a whole,” he said.

Policies have to go through the committees, then the group as a whole. The county officials called the meeting to try to work with the city.

“They left us with the impression that they were the power brokers to the Legislature,” Dempsey said.

Now councilors have requested a future meeting to renegotiate a deal they thought was already done, Graney said. Dempsey agreed a meeting is necessary to alleviate the tension brought by these two issues.

“The leadership under George Fearon balked at this deal,” Dempsey said.

While Cayuga County Manager Wayne Allen wasn't present for the initial talks, he understands the agreement has two parts. City leaders have agreed to extend water and sewer lines outside the city to assist in the economic growth of businesses, which would produce that sales tax revenue.

The agreement “said there won't be any obstacles for the extensions,” Allen said. He added that he has not seen any formal document pertaining to such arrangements.

But there was a problem with the city's end of the deal, Fearon added.

The second part of the two-prong consensus deals with utilities, but the county required protection relieving the county of responsibility against problems or legal issues in future decades, Fearon said. The city never addressed this in the package, therefore, the county could not go forward.

“The city is talking about regionalizing their utilities if they are able to accomplish that, that would take care of it,” Fearon said.

Also, situations have changed since those initial discussion, he said.

A cap on gasoline sales tax has cut into revenues. The county is losing the money people aren't using to fill up their tanks, and they may not spend the cash they've saved in other Cayuga County stores.

City councilors say they never received any directions or heard any concerns from county legislators.

Fearon points to the change in the city's legal teams as one reason the miscommunication continued.

Former city Corporation Counsel Thomas Leone became preoccupied with his campaign for judge, and left when he won, Fearon said. Another legal team then joined the city temporarily.

“We need to have a full meeting with the Legislature and council where it's clear that no one is speaking for anyone else... that we're on the same page,” Dempsey said.

But the fact that the city already provided incoming Aurelius businesses with utilities shows the city was willing to do its part, and it expected the county to reciprocate, Dempsey said.

“If the city didn't go there, Home Depot couldn't have been able to be there, so the city stepped up to the plate,” he said.

Some city leaders have said the city pulls its weight with the county, perhaps more than other towns and villages.

As it has for years, the city provided half the funding for the annual fire works show, which is in conducted in Owasco's Emerson Park. The county fronts $4,500 for the fireworks display and $4,500 for the Syracuse Symphony, with Auburn matching those amounts.

County Director of Parks and Trails Gary Duckett points to the fireworks display as a great example of the whole community pitching in. All assisting organizations incur expenses other than the costs of the actual fireworks, Duckett said.

“My understanding is this is a past practice that the city has done for a long, long time,” Allen said.

The city and the county successfully have worked together in the past, and still have joint ventures in the works, Auburn director of capital projects and grants, Michael Long said. Often successful projects involve staff, instead of elected bodies with dynamics that can change with each election.

Both municipalities' representatives are exploring joint energy cost-savings projects.

Another undertaking is John Walsh Boulevard, commonly known as the connector road because it is to link Grant Avenue with North Street. Planners split the project into four sections, with the first already completed. County leaders have pledged $250,000 towards the construction of the street, which will lay completely within city limits. The two entities will then share revenues from the grant, Long said.

Before either one of these, the county assisted the city in the rebuilding of Falcon Park by providing help through the water conservation district. The county stepped in when the city's budget was stretched too thin to cover the project.

The bottom line, Dempsey said, is that neither the county nor city can survive without the other.

“The days of us apart are over,” Dempsey said.

Staff writer Jessica Soule can be reached at 253-5311, ext 267 or jessica.soule@lee.net