Nassau could finalize a tax deal on LIPA's E.F. Barrett power...

Nassau could finalize a tax deal on LIPA's E.F. Barrett power plant by Monday's meeting of the legislature. Credit: Kevin P. Coughlin

Former Sen. Alfonse D’Amato remains a loyal son of Island Park, but the Republican power broker is picking an unwinnable fight with LIPA, which wants to end the battle over taxes on aging power plants. It's something his fellow Republicans want, too.   

The issue is Island Park’s E.F Barrett plant. After LIPA inked deals to end lawsuits against Brookhaven and Huntington towns on the Port Jefferson and Northport plants, agreements on Barrett and Glenwood Landing in Nassau County seemed likely to follow quickly. That didn’t happen. Giving a win to Democratic former County Executive Laura Curran didn’t tickle Republicans running the county legislature, and Nassau had time to maneuver because the trial date to decide its potential $800 million liability was still a ways off.

Now, it’s next month.

D’Amato argues that the proposal reducing taxes paid on Barrett to the county, Hempstead Town, and Island Park's school district, library and village by about half over five years would crush the community.

Yes, it will hurt, but not as much as losing in court, which Nassau almost certainly would. The county’s assessment of the plants is lower than LIPA’s, and a court ruling based on those assessments would cut tax payments to the school district and other bodies by as much as 90% immediately. Island Park residents would also help repay hundreds of millions in refunds Nassau would owe LIPA.

D’Amato said LIPA dragged its feet after promising a big battery storage project at Barrett, which would provide some replacement revenue. LIPA disputes that, saying it has numerous and varied proposals in hand for 3,000 megawatts of battery storage, and expects to approve about 200 MW by year's end.

National Grid and partner NextEra Energy, whom D’Amato says he has represented “for 20 years,” have consistently pursued battery projects at Barrett. But, D’Amato says, that relationship is not fueling his current activism. D'Amato, 86, who says he is not being paid to represent the village and whose reputation is built on his lobbying, not litigation skills, is promising to pursue legal strategies already rejected by judges in the Suffolk cases, in partnership with the same lawyer who lost those cases.

There is wiggle room in the $5.5 million offer on the table for Island Park schools to weather the changes: Based on the tax reductions, $6.5 million would put it right in line with the Northport schools’ $14.5 million and Glenwood Landing schools’ $3.25 million. Wednesday night, talks between LIPA and Island Park were making progress.

But there is no possibility of what D’Amato says he wants: LIPA paying unreduced taxes on Barrett in perpetuity. GOP County Executive Bruce Blakeman and Presiding Officer Rich Nicolello know that, and could finalize a deal by Monday's meeting of the legislature.

D'Amato says he isn't blocking the settlement for personal gain, but if his aim is to support Island Park, why is he putting the community at grave financial risk?

MEMBERS OF THE EDITORIAL BOARD are experienced journalists who offer reasoned opinions, based on facts, to encourage informed debate about the issues facing our community.

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