CCM presents unfinished municipal relief agenda

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Municipal officials around Connecticut recognize that this budget season has been an especially difficult one.

Despite the efforts of the Governor and state legislators to make municipal aid a state budget priority, the combination of aid reductions, negligible grand list growth and increasing education costs has made this fiscal year tough at the local level as well. Cities and towns have cutback services, laid off employees, and grudgingly raised already too-high property taxes. Moreover, there is a strong possibility of more budget troubles for Hometown Connecticut over the next several years.

Fortunately, the State has an opportunity to further help towns and cities as it puts together the state bond package and drafts budget implementation bills. The State can do this by enacting the Unfinished Municipal Relief Agenda. This Agenda will help provide property tax relief this year and for years to come. Key components of the Agenda include:

• The State bond package can help jump-start Connecticut’s state-local economy and build infrastructure by funding the following programs at least at the levels indicated:
  • TAR -- $30 million (level funding);
  • LoCIP -- at $40 million (as proposed by the Finance Committee);
  • School Construction grants (partially funded in the budget passed August 31);
  • Clean Water Fund -- $90 million (as proposed by the Governor);
  • Urban Act -- $30 million (as proposed by the Governor) and STEAP -- $20 million (level funding);
  • Regional Cooperation -- $100 million (as proposed by Finance); and
  • Local Bridge Program -- restore $28 million in funding taken from this program as part of a deficit mitigation package.

• Mandates Relief costs the State nothing and helps relieve pressure on local budgets. Other than allowing municipalities to delay revaluations, no significant mandates relief measure passed this year. CCM asks that you support legislation to delay implementation of (a) in-school suspension requirements (HB 5526), (b) "raise the age" juvenile justice mandates (which would also defer state costs, SB 674), and (c) FOI web-posting requirements (HB 6388). The State should also protect against future cost-drivers by enacting a statutory prohibition against new unfunded state mandates without a 2/3 vote of both chambers of the General Assembly (HB 6388);

• Make permanent the present rates of the municipal Real Estate Conveyance Tax. The rates are scheduled to sunset 6/30/2010. This will protect $30 - $40 million in non-property tax revenue, without costing the State a dime; and

• Increase state-determined local fees that were not increased by the budget bill, or give municipalities the authority to increase locally-administered fees according to local circumstances.

On behalf of Hometown Connecticut, CCM asks the Governor and state legislators to support the Unfinished Municipal Relief Agenda.

For more information, please contact Jim Finley (jfinley@ccm-ct.org), Gian-Carl Casa (gcasa@ccm-ct.org) or Ron Thomas (rthomas@ccm-ct.org) or call (203)498-3000.