IN THE NEWS:<\/p>\n
<\/p>\n
For Gov. Andrew Cuomo, the property-tax cap implemented in 2011 has worked as intended: It has limited the growth in taxes to 40 percent less than the previous 10-year average.<\/p>\n
For schools and local governments, the tax cap has served as another impediment at a time when they are grappling with higher costs and limited revenue.<\/p>\n
With the tax cap in its second year, questions abound as to whether it has\u00a0 curbed some of\u00a0 the highest taxes in the nation or\u00a0 negatively impacted education and government services. School districts face the second major test later this month, as 2013-14 budgets are put up for approval on May 21.<\/p>\n
Some experts said it\u2019s too soon to know the cap\u2019s influence.<\/p>\n
\u201cIts effects will be felt and play out over years, not in one year,\u201d said E.J. McMahon, senior fellow for the fiscally conservative Empire Center for New York State Policy in Albany.<\/p>\n
But McMahon, a supporter of the cap, said it has influenced local governments, particularly schools, to limit tax increases because of the publicity the issue has received.<\/p>\n
\u201cI think it undoubtedly suppressed the growth in tax levies, especially at the school-district level,\u201d he said. \u201cBut how much did it? It\u2019s impossible to say.\u201d<\/p>\n
School and municipal leaders said the cap has confused residents and put an unnecessary squeeze on their ability to raise taxes to pay for services. Also, the tax cap has not come with the anticipated reforms to state-mandated programs, they said.<\/p>\n
\u201cI think it\u2019s a good thing to give you a guideline,\u201d said Beacon Mayor Randy Casale. \u201cI don\u2019t think the state went far enough in reducing mandates. They keep passing laws and legislation that puts the burden on smaller municipalities.\u201d<\/p>\n
The cap limits the growth in the tax levy \u2014 the total amount of taxes collected by an entity \u2014 to 2 percent a year or the rate of inflation, whichever is lower. But each taxing entity in New York has a different tax-cap limit, based on a complex formula, which has added to confusion in communities.<\/p>\n
Continue Reading at: http:\/\/www.poughkeepsiejournal.com\/apps\/pbcs.dll\/article?AID=2013305050095&gcheck=1&nclick_check=1<\/a><\/p>\n","protected":false},"excerpt":{"rendered":" IN THE NEWS: For Gov. Andrew Cuomo, the property-tax cap implemented in 2011 has worked as intended: It has limited the growth in taxes to 40 percent less than the previous 10-year average. For schools and local governments, the … Continue reading