AUBURN - The City of Auburn will hold a public hearing Feb. 28 to allow to discussion of a proposal to repeal the cap on gasoline sales tax within the city. Auburn City Council voted Thursday during its business meeting to authorize the hearing and carried out the first reading of the proposed law.

Should the law pass, taxes on motor and diesel fuels would be calculated as a percentage rate on every dollar. Under the current cap, which was adopted in 2006, the city stops collecting sales tax at $2 per gallon. The proposal comes on the heels of a

decision by the Cayuga County Legislature to repeal its own gas tax cap. The Legislature repealed its $2 cap in November 2007.

If the cap is repealed, the local law would conform to the county's tax rate and the city would gain additional revenue, according to city officials,

After the proposal's first reading, Councilor Matt Smith said that it would be a “major mistake” for the city to repeal the cap. People from Weedsport or Union Springs passing through Auburn will be more likely to get gas in Auburn if it is cheaper, which will actually create more tax revenue for the city, he said.

“This is an opportunity for us as a city council to benefit the taxpayers of our community,” Smith said. “Why should we make things more difficult for people?”

Councilor Thomas McNabb agreed, saying during the meeting that the 4 or 5 cents per gallon is a lot for a person raising four kids and driving to Syracuse or Rochester.

“Why should we penalize these people by putting more taxes on them?” McNabb said.

The public hearing will take place at 6 p.m. on Feb. 28 at city hall.

In other news:

- The city will retain counsel as it enters into negotiations with various unions representing city employees. The council approved a resolution allowing the city to use the legal consulting services of Bond, Schoeneck and King at an hourly rate of $210 for firm members and $175 for associates.

The city currently employs part-time attorneys as its representation. Corporation Counsel John Rossi said during the meeting that former city attorney Thomas Leone, who had extensive training and education in such matters, negotiated on behalf of the city in the past.

“I have never espoused an expertise in labor relations or negotiations,” Rossi said during the meeting.

- The city will enter into a mutual sharing plan with the Cayuga County Soil and Water Conservation District to assist with the project on city property at 44 West Garden St. The agreement states that the city will assist with the streambank remediation project, the cost of which will be no more than $5,200, according to the resolution passed by the city council.

- Seymour Public Library will receive one-half of its 2008-2009 tax levy ahead of schedule. Council passed a financial resolution allowing the library to receive the funds, an amount of $179,407.62, five months early. Under the resolution, the library is scheduled to receive the second payment in August.

- Mayor Michael Quill will enter into a cooperative bidding agreement with Cayuga-Onondaga BOCES for paper and janitorial supplies. According to a resolution passed by the council, the city has previously been part of a similar bidding agreement, which resulted in savings.

Staff writer Christopher Caskey can be reached at 253-5311 ext. 282 or christopher.caskey@lee.net.