Thanks to an obscure state senate race in Rockland County, Long Island commuters are about to enjoy a minor tax break. Recently, both the state senate and state assembly voted to repeal the commuter tax on suburbanites who work in New York City. Last week, Governor George Pataki signed the bill into law.

Hoping to boost the chances of Republican candidate Tom Morahan in his bid to keep a Rockland County seat in GOP control, Senate Majority Leader Joseph Bruno promised that the senate would repeal the commuter tax. No one paid much attention to Senator Bruno's promise since it was assumed that the Democratic-led assembly would not go along with the tax cut. But to everyone's surprise, Assembly Speaker Sheldon Silver announced his own support for the tax cut and also promised his body would vote to repeal the commuter tax. Not to be outdone, Gov. George Pataki said he would sign the bill once it passed both houses. New York City Mayor Rudolph Giuliani bitterly criticized the actions by state lawmakers, but by then the train had already left the station.

The Rockland County election, held after the Republican incumbent unexpectedly resigned, was important to both parties since the GOP holds only a slim majority in the upper chamber and the Democrats saw the election as an opportunity to gain on the Republican majority.

In all, the commuter tax amounts to 0.45 percent on wages and 0.65 percent on net earnings for the self-employed. A commuter earning $75,000 a year pays, for instance, $337.50 per year on the tax. Nassau County residents make up 48 percent of the 454,000 in-state commuters to New York City, the highest total of all the New York counties which have commuters into the city. Commuters from New Jersey and Connecticut also pay a tax, which is not repealed under this law.

As expected, local lawmakers eagerly supported the tax cut. Every Long Island state legislator voted to repeal the commuter tax, with the single exception of Assemblywoman Donna Ferrara who, due to the birth of her child, missed the vote.

State Assemblyman Tom DiNapoli (D-Great Neck), who represents most of the Roslyn area signed on as the lead sponsor of the legislation in the state assembly.

"The time has come to repeal the commuter tax that has discriminated against suburban residents who work in New York City," said Assemblyman DiNapoli.

"Suburban residents who work in New York City generate considerable revenue for the city," he added. "They have been penalized with this additional tax just for the privilege of working in the five boroughs. The time has come for this inequitable tax....to be finally eliminated."

The commuter tax was first signed into law in 1966. Concerning Mayor Giuliani's opposition to the tax cut, Assemblyman DiNapoli noted that New York City's annual budget is $35 billion and has a current budget surplus of $2 billion. The commuter tax represented just over one half of 1 percent of total revenues. The repeal, Assemblyman DiNapoli said, will save suburbanites $210 million. For his part, Mayor Giuliani, with the support of the New York City council and State Comptroller Carl McCall, said he would file legal action to prevent the tax cut from becoming a reality.