|
June 21, 2007
Budget and Tax Package: Issues for Towns, Cities and Property Taxpayers
As you discuss a budget and tax package, CCM urges you to remember the needs of local governments and their business and residential property taxpayers.
- Support Present Rates of the municipal Real Estate Conveyance Tax
Unless legislation is passed, as recommended by the Finance, Revenue and Bonding Committee, to make these rates permanent, or extend them, the rates established in 2003 will sunset and municipalities will lose $40 to $45 million in revenue – revenue most municipal budgets are counting on. Losing this revenue will cause fiscal chaos in many towns across the state.
- Increase State Aid to Municipalities
Below is a comparison of key proposals for increased state aid to municipalities in the budget proposals made prior to this week’s agreement:
Recommended Increases -- FY 08 – In Millions |
| |
Governor |
Appropriations
&
Finance
Committees |
Republicans |
| ECS |
$228 |
$204 |
$100 |
| Special Education
(both equity and excess cost) |
$18 |
$22 |
$18 |
| Priority Schools |
$4 |
$20 |
$4 |
| PILOT-
State Property |
Cut $5 |
$10 |
$5 |
| PILOT-
Colleges &
Hospitals |
Cut $6 |
$10 |
$5 |
| Pequot-
Mohegan Grant |
Cut $5 |
$10 |
$5 |
| Town Aid Roads (TAR) |
Cut $8 |
0 (flat funded) |
0 (flat funded) |
| Clean Water Fund
(g.o.bond) |
$70 |
$110 |
n/a |
| Urban Act (g.o. bond) |
$40 |
0 |
n/a |
| STEAP (g.o. bond) |
$10 |
$20 |
n/a |
| 
