We’ve made no secret of our support of the two percent Property Tax Cap, in our opinion, the tax cap – coupled with the self-imposed cap on state spending, have been the signature achievements of the Cuomo administration and have helped correct years of outrageous spending increases and rising property taxes. Despite these achievements, the voices calling for a weakening of the tax cap continue to grow louder.
In today’s Newsday, school officials are quoted as saying the two percent cap is putting the squeeze on their budgets, and they argue the two percent cap is really more like .2 percent, since inflation continues to be so low.
The change they are asking for is subtle, but substantive. They want lawmakers to make the tax cap a hard two percent, instead of currently capping increases at the lower of two percent, or the consumer price index (CPI). They say the lack of growth in the CPI is putting a strain on school budgets and forcing them to tighten their belts in ways the law never intended. It is our belief that the real “strain” does not come from the fact that the CPI has kept the tax increases significantly below two percent, it’s that municipalities continue to be held hostage by antiquated laws that make it far too easy for the teacher’s unions to achieve sizeable yearly pay increases well above the rate of inflation.
At a time when regular worker salaries remain stagnant, and overall economic growth is weak, it makes all the sense in the world that unions should play by the same rules. We hope lawmakers continue to recognize that the tax cap is a tremendous achievement and resist calls to weaken it.