The New York Power Authority today fired back at the Local Government Task Force. They are defending their Moses-Saunders Power Dam relicensing offer and claim that they don't have the legal authority to give what St. Lawrence County officials are demanding.

On Thursday, the task force announced they turned down what chairman Joseph Gray called "a take-it or leave-it offer."

The two sides have been trying to settle a relicensing deal that expired in 2012 and local officials aren't buying NYPA's latest offer.

A reporter asked NYPA if Gray's characterization of the deal was accurate and if that equates to acting in good faith. NYPA media relations and corporate communications director Connie Cullen responded via email with "NYPA is committed to continuing negotiations with the Task Force. NYPA submitted a comprehensive proposal offering significant and substantial benefits such as $10 million in electric rate discounts for businesses, farms and dairies, and building new recreation facilities to attract large tourist events, all of which go beyond the hundreds of millions in current NYPA funding."

She adds that NYPA does not have the legal authority to give the millions over 40 years the task force wants.

The task force is pushing for a deal that is equitable to the one NYPA has with communities in western New York. In exchange for the right to operate the Niagara power project in Lewiston, NYPA pays the city of Buffalo and Erie and Niagara counties $973 million. St. Lawrence County and the towns of Massena, Louisville and Waddington get $115 million and in exchange, NYPA gets to operate the Moses-Saunders Power Dam in Massena.

Cullen claims that since the funds to match the western New York deal could "be used for general local government purposes," they can't legally agree to pay it.

"As this review is outside of the FERC licensing process, NYPA does not have the legal authority to make grants or contributions to the local communities," she wrote.

Gray has said he is upset because NYPA is touting the recent deal to monetize 20 megawatts of excess Moses-Saunders hydropower. He says it was something that should have happened anyways, as a separate item from the re-licensing.

A reporter asked Cullen if it is fair to include progress on something promised years ago and only delivered recently.

"Delivering our support for the recently established Northern New York Power Proceeds legislation was part of the licensing review so it is appropriate," she wrote.

The task force is reviewing with an attorney their legal options going forward, Gray said. They include filing a lawsuit and "actively engaging state and federal officials."

For more about Thursday's development that talks had come to a standstill, see our earlier story.