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Retired career military medevac pilot Bill Howard petitioned the Lansing Board of Education to adopt a tax exemption for military veterans at Monday's Board Of Education meeting.  He argued that while it would add to the tax burden for non-veteran property taxpayers by as much as $20.24 for homeowners whose property is assessed at the median value for homes in Tompkins County, the burden on active military personnel and their families is more.  Howard, who moved to Lansing six months ago and has a child in Lansing Middle School, spent four of his 26 years in the military in combat and imminent danger tours.

"My wife had to stay back and run the household, pick up her chores and my additional chores, not knowing if her husband was in a bad place, wounded, not knowing my status on a daily basis," he said.  "So there is a huge sacrifice, a huge burden that not only goes to the men and women in uniform, but also goes to the family.  Without their sacrifices we wouldn't be able to do the things we want to do in this great country, especially in this great state of New York."

Board President Christine Iacobucci invited Howard to stay for a budget discussion, and said the board should consider his request in light of all the needs and pressures on next year's budget.  Iacobucci thanked Howard for his service on behalf of the Board.  While sympathetic to his request, she noted that there are many people in need, as well as other pressures on next year's budget.

"We also have plenty of people who have to struggle with food scarcity and can't pay for their medicines, or are homeless," she said.  "We have a lot of things we have to consider in addition to veterans.  I would like to advise the board to pay very close attention to what Ms. (School District Business Administrator Mary June) King has to share with us about the projections for the upcoming year, whatever information can be shared with us about the power plant, and what our school needs are."

The biggest concern was the fate of the power plant.  Tompkins County officials have been in negotiation with power plant representatives for several months, and are nearing an agreement for the next PILOT (Payment In Lieu Of Taxes) agreement, that sets the property value of the plant for the next several years.  As the district's largest taxpayer, an additional annual $1.3 million tax burden could land on district property taxpayers if the plant were to close outright.  From what little King was able to say Monday, the news was anything but rosy.

"I can assure you that we're going to see a decrease in the value of the plant," she told the Board.  "Of that I am absolutely confident."

School districts across the state have been struggling with whether to adopt the veterans exemption.  Counties, towns, cities, and villages have long had the ability to adopt the exemption in part or in whole.  The first law the Town of Lansing passed in 1991, for example,  offered the full allowed exemption, and in 2008 the Town passed another law adopting exemptions for Cold War veterans that had been added by the state legislature. 

But the $4,980,899 Town budget is a fraction of the just under $30 million school budget.  Tompkins County Director of Assessment Jay Franklin says the Town tax rate could decrease $0.007046 if the exemption were eliminated.  That would mean a $1.91 savings for the median valued home in Tompkins County ($191,000).  The additional $20.24 school taxpayers would shoulder is over ten times that amount.

"If the Lansing Central School District were to adopt the Alternative Veterans Exemption at the level as the county, approximately $4,123,500 in taxable value would be lost," Franklin wrote in a letter to Howard.  "This would benefit 242 properties.  Based upon 2016 tax rates, approximately $84,621 in tax dollars would be shifted to the rest of the tax base.  Based upon the 2016 tax levy and tax rates, this would translate to roughly a $0.10 increase in the tax rate. Based upon the median assessed value for a house in the Lansing School District ($191,000), this would translate to a $20.24 increase in taxes."

Schools were permitted to adopt the exemptions in 2014.  But, to date, nearly 60% have not chosen to adopt it.  Adopting the exemption provides districts with either shifting taxes to non-veterans or cutting programs.  They argue that if the state wants to allow exemptions on top of what Albany is already imposing in the form of the property tax levy cap and a laundry list of unfunded mandates, that Albany should foot the bill.

"I think all of us would advocate to the state that to put this mandate on school districts is really unfair," Iacobucci told Howard.  "Because, of course we want you to have that tax exemption, but perhaps the burden should be coming from the State, not from individual school districts.  So I think it's something that we need to listen to advisement on."

Howard noted that the Trumansburg school district has granted a partial exemption as a compromise between honoring the sacrifices made by those who served in the military and paying its bills.

"Maybe you can't match (the Town of) Lansing because of other things... all the concerns about the power plant and the way it impacts the tax base," he said.  "Maybe, recognizing the dedication and sacrifice of your veterans, maybe you could lower it. If you would consider (doing what Trumansburg did) it could be less than $20 annually for non-veteran families.  Lower the rate and find cost savings somewhere else."

School Superintendent Chris Pettograsso said the administration would present a followup presentation to the board showing the impacts with and without the exemption.

"It will show what it really means to you, the board and our taxpayers, and make a decision," she said.  "We'd have to look at the timeline and what we need to submit to the state, as far as the tax cap.  I think we're in a good spot to do some study."

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