City Council deadlocks on GIVE, lawsuit settlement

Two resolutions proposing Niagara Falls comply with a court order to satisfy a $4.029 million judgment against the City of Niagara Falls over its suit to use eminent domain to acquire land from Niagara Falls Redevelopment failed Wednesday night by a 2-2 vote.

The resolutions, one by councilmember Vincent Cauley and one by councilmember James Perry both proposed taking the funds from Tribal Revenue, which has been sequestered by the administration of Mayor Robert Restaino ever since 99H, the state agreement over the Seneca Niagara Casino expired.

Cauley said he doesn’t support the proposal for Centennial Park and was not on the council when the initial plan was hatched to seize the land from NFR for development but he was proposing satisfying the judgment to clean up the mess created by the eminent domain suit.

He also posited somehow that the casino revenue was not “taxpayer dollars” but he never explained to whom the money belongs if not the taxpayers.

Perry also proposed settling the suite with casino revenue but included language in his resolution acknowledging that paying the settlement from there rather than fund balance was contrary to appropriate procedure and the advice of the New York State comptroller as well as the city comptroller.

The city is sitting on a chestful of tribal revenue accrued since the expiration of 99H on Dec. 31, 2023. The city was obligated to share $200,000 annually with the Niagara National Heritage Areas, and about $1 million each with the school district and Destination Niagara tourism agency as well as $800,000 with Niagara Falls Memorial Hospital but, with no agreement in place, has kept the funds rather than sharing.

The Seneca nation and state have been at odds over renewal of the casino compact because the state allegedly violated the previous compact by allowing slot machines at Batavia Downs and elsewhere. 99H required 17% of slot machine revenue to be shared with the state and to continue to be paid on an interim basis after expiration. The Senecas have reportedly asked for a cut to 14% because of the Hochul administration’s violation of the compact.

The Heritage Area, hospital and school district and Destination Niagara have been hurt in the interim. The 2-2 deadlock was caused by the absence of Councilmember Brian Archie who has been excused over personal business. Archie’s daughter recently died.

In other action, the council refused to accept its annual GIVE grant because Cauley and Councilmember Bridgette Myles wanted more information about how the gun violence prevention grant is spent and the impact it has.

Former police chief John Faso runs the program and presented to the council on its impact two months ago but that was apparently insufficient for the councilmembers who questioned whether an email from police officer Troy Earp leaked to the media last November and detailing alleged overtime abuses within the department was ever substantially investigated.

Here’s a link to the Gazette’s Mark Scheer’s reporting on that topic, as published at Investigative Post. https://investigativepost.org/2025/11/05/niagara-falls-cop-blows-whistle-on-nepotism-ot-abuse/

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