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Representatives from all levels of local government from across Tompkins County joined together Thursday to voice serious concern about Governor Cuomo’s Property Tax Freeze proposal, calling the plan poorly conceived  and one that misses its mark in achieving a meaningful and sustainable reduction in property taxes.  Officials stress that, while they firmly agree with the need for lower property taxes, the Governor’s tax freeze proposal is misguided, costly to administer, would produce only modest impact, and that there is a simpler and better way to get there.  The Tompkins County Council of Governments (TCCOG), called for a rejection of the proposed property tax freeze, and for the State to attack the real cause of high property taxes—the crushing burden of state mandates.

“Earlier this week, the Governor said ‘the waste and duplication of local governments’ drives up property taxes,” said Cayuga Heights Village Mayor Kate Supron, Co-Chair of TCCOG.  “He’s wrong.  Property taxes are too high in New York State, not because of what local governments are doing, but because of what New York State has done to local governments.”

For counties, that means picking up the cost of the State’s largest social programs, such as Medicaid, and paying for them with local property taxes; for other levels of government, the State dictates what they must do, and how they must do it.

Tompkins County Legislature Chair Michael Lane pointed out that, while the State has touted the plan as a way to promote economic development, the tax freeze would provide no relief for the vast majority of businesses and only a modest effect for homeowners—had the rebate plan been in effect last year, the average county homeowner would have received a rebate check for the County portion of their tax bill of $7.31.

There is a better and simpler way, Lane said. 

“In keeping with the Governor’s call for realignment of responsibilities between governments, the State should start paying for the cost of its own programs.  Through that simple realignment, the State would not only address the cause of high local property taxes, it would erase much of the disparity in property taxes between New York and other states.”

In Tompkins County alone, County taxes would go down by nearly $26 million if the State paid the full cost of its largest mandates—a 57% cut for every property owner, residents and businesses, a $636 reduction for the average homeowner.  The State’s paying its own Medicaid bill, would enable Tompkins County to cut County taxes by 26% (almost $12 million), with a $300 saving for the average homeowner.

When the State stops using the property tax to fund its programs, Lane noted, property taxes will fall.

City of Ithaca Alderperson J.R. Clairborne, vice-chair of TCCOG, said the tax freeze plan ties everything to the tax cap and consolidations, suggesting local governments waste money and oppose cost-saving shared service plans, but that cities in New York State are in crisis because of burdensome regulatory mandates—such as the tripling of State pension costs over four years and binding arbitration for police and fire unions—that drive up the cost of doing the public’s business.  Clairborne said the City of Ithaca, along with other municipalities in the county, has long partnered in shared services agreements, including the countywide Health Benefits Consortium.  But he said that, while these shared services agreements are producing savings, the kind of real property tax relief we all want will require the State to acknowledge and address its own role in driving property taxes up.

Ulysses Town Supervisor Liz Thomas added that towns are frugal and work cooperatively every day.

“We rely on the County Sheriff, rather than running additional town police departments, for police protection.  Many municipalities in Tompkins County cooperatively own water and sewer treatment plants.  We share equipment.  We come to each other’s aid.  Those things that we can control are under control.  It’s those things we can’t—the mandates Albany requires us to do—that are stressing our budgets and our property tax levies.”

And the State, she said, puts barriers in place that stifle the very kind of consolidation it has talked about.

Thomas said the members of TCCOG join in opposing the Tax Freeze Plan, and support a plan to do what taxpayers want—provide historic levels of long-term property tax relief to all owners of taxable property—and requiring the State, at long last, to pay its own bills.

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