As I travel through my Assembly district each day, I hear about issues facing our residents. Rising energy costs, costly mandates and the need for more jobs to help our upstate economy are just a few of the topics.
But the issue that seems most urgent to many constituents is rapidly rising property taxes, the oldest means of raising revenue. Many residents I speak with are questioning whether it’s the best – or the fairest – way to generate revenue for local government and school operations. When the property tax was established two centuries ago, the amount of property individuals owned may well have been a fair gauge of their wealth. In today’s society, that is no longer necessarily true.
As we look ahead to a new legislative session and fiscal year, many of my colleagues in the state Legislature have joined with me in identifying local property tax burdens as a priority issue.
While we continue to search for the “big picture” solution to an issue faced by virtually every region of the state, I will update everyone on proposed legislation that would assist all taxpayers.
First, I was one of several Assembly minority members who, several years ago, drafted legislation that ultimately became the School Tax Relief (STAR) Program that was signed into law by the governor. While formulating the plan, we held hearings within my district, so residents from our region were directly involved. STAR has brought significant school tax savings to our property owners – particularly our senior citizens.
I’m also pleased to report that Fulton, Herkimer and Otsego county governments will see dramatic increases in savings as the caps on local Medicaid costs are further implemented. In the 2006-07 fiscal year, Fulton County can expect more than $1.9 million in savings, Herkimer County $1.56 million and Otsego County $1 million. These estimated savings will grow over the ensuing years, bringing much-needed tax relief to county taxpayers.
The caps on rising Medicaid costs also will help counties establish more timely and efficient budgets because officials will not have to include the annual, exorbitant Medicaid cost increases that marked past spending plans.
While the Medicaid cap plan may not be the ultimate solution, it is a clear signal that we in state government recognize the struggles endured by our local property taxpayers. I assure you the property tax burden will be a priority issue in the 2006 legislative session. As always, your thoughts, ideas and suggestions are welcome.