BUFFALO, N.Y. — At the request of former Buffalo Mayor Byron Brown, Assembly Majority Leader Crystal Peoples-Stokes, D-Buffalo, introduced legislation at the end of last legislative session that would have allowed the city to institute a 5% bed tax for hotel guests in the city on top of the tax Erie County already collects.

However, the bill never gained traction as state Sen. Sean Ryan, D-Buffalo, refused to carry it, citing concerns from the hospitality industry.

"The resources are still desperately needed in Buffalo and I'm not sure why Sen. Ryan didn't agree last year, but I think he should this year," Peoples-Stokes said.

The majority leader is again sponsoring a Buffalo bed tax bill, this time at 3%, per the request of Acting Mayor Chris Scanlon. 

“The Buffalo Parking and Mobility Authority and 3% Hotel Occupancy Tax will immediately help stabilize the city’s finances, result in a needed recurring revenue source and won’t cost city taxpayers one dime," Scanlon said.

He said the alternative would likely be a property tax increase for city residents and hoped Ryan would support it. However, Ryan said he's heard from many in the hospitality industry that weren't consulted before this was proposed.

The state senator said they are concerned an added bed tax would push hotel guests into neighboring towns and make it harder for Buffalo to attract conventions.

"This is more of the same short-term thinking that has plagued the City of Buffalo for years," Ryan said. 

Scanlon's team pushed back that convention industry is not a significant part of Buffalo's regional tourism success and the tax would cost the average hotel guest mere dollars per night. They said total hotel tax is less than comparable cities like Cincinatti and St. Louis.

Peoples-Stokes said she's approved similar bed taxes for other cities in New York.

"I have seen this work in other places and I believe it can work in Buffalo," she said.

The issue highlights a contrast between Scanlon and Ryan, two of the top candidates in the June Democratic primary for Buffalo. Peoples-Stokes said her support for the bed tax does not mean she's picking a side. 

"In my estimation, this is not being done for the mayor. This is being done for the people of the 141st Assembly District as well as the people who live and reside and love the city of Buffalo," she said.

New state Sen. April Baskin could also potentially carry the bed tax bill as another city representative. Her office declined to comment Monday, but Peoples-Stokes says the legislation can and often is settled outside of the state budget process.

Meanwhile, though she continues to push for increased Aid and Incentives for Municipalities Funding for the five largest upstate cities, including Buffalo. The governor wants to keep it flat.

"I did feel like it wasn't enough last year," Peoples-Stokes said. "I feel like it's not enough, what the governor has proposed, this year. The challenge is getting my people to add more for Buffalo. The problem with that is you have to add more for everybody." 

Scanlon plans to release his budget proposal for the next fiscal year early next week. His office said he inherited a roughly $70 million deficit, but through cost-cutting measures has already reduced the gap to $47.5 million.

The acting mayor has also proposed selling four city parking garages to the state for what his office said should result in $40-$50 million of immediate revenue and save the city on maintenance costs in the future.

Peoples-Stokes is sponsoring legislation to create the new state authority necessary to move the plan forward. She said the city will have to address the loss of revenue from the facilities in the future, but the sale should also put it in a better position for bonding.

This legislation would likely also need support from at least Ryan or Baskin in the Senate to pass.