The state Assembly reconvened Tuesday, Aug. 19, in an emergency session to address what Gov. David Paterson says is an impending financial crisis in state government. The hope was to cut roughly $600 million in state spending during the session.
The Assembly will be cutting around $450 million immediately, with more to come over the next few years.
I think it went well, said Assemblyman Bob Reilly, D-Newtonville. `It was productive because we had the Senate, the Assembly and the governor working together.`
But the Assembly was also discussing ways to ease the burden of property tax on New Yorkers, and they did not adopt Paterson’s property tax cap plan (already passed in the Senate), which would keep school district budget growth below 4 percent per year.
Instead, the Assembly passed a circuit breaker plan by a wide margin. It is combined with a `millionaire tax,` and supporters say it will draw enough money into the school system while providing relief for taxpayers. The issue isn’t being ignored by candidates in the upcoming election however, and two local assemblymen are under attack for not supporting Paterson’s proposal.
Assemblymen Reilly and Tim Gordon, I-Bethlehem, both supported the circuit breaker approach to managing property taxes. A breaker would essentially limit the amount of money a family could pay in property taxes based on their income. New York already has one in place but it is not very extensive, affecting mainly the elderly and others living on a fixed income.
`The breaker literally caps the amount families have to pay,` said Gordon.
`The Senate’s plan isn’t really a cap; it still has a 4 percent increase.`
Reilly expressed concerns that less funding overall for schools, combined with rising fuel costs, will impact the quality of education.
`I would ask anyone who says we must put this cap in place, what exactly in the schools would you cut?` said Reilly.
Republican candidates Steve McLaughlin and John Wasielewski, who are challenging Gordon and Reilly in the 108th and 109th districts, respectively, have criticized the assemblymen for not supporting what they say is a better option for reducing taxes.
`With the circuit breaker, spending continues to go unchecked,` said McLaughlin. `Every year the taxes are going to go up and up for everybody. They’ll give you a little bit back, but they keep on taking too much.`
`It just shifts the burden to the other taxpayers,` said Wasielewski of the circuit breaker. `I think [the cap] should be 2 percent. I would even support a moratorium for a year or two.`
Educators are naturally keeping a close eye on how the Legislature acts. The New York State United Teachers (NYSUT) organization, with 600,000 members statewide, has run down the list of senators voting for Paterson’s tax cap and removed any endorsements from supporters. They are adjusting their support for assemblymen, as well.
`We are certainly pleased with the steps the Assembly took,` said NYSUT President Richard Iannuzzi. `It’s now time for the governor to bring the two leaders together and provide something that provides real relief.`
With the two different approaches to the property tax issue on the table, there won’t be any changes immediately.
`What we have to do now is negotiate an agreement between the two positions, and I think that’s what will happen in the coming months,` said Reilly, adding he expects the issue to reemerge in November or December.“