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CCM Affirms Governor’s Tax Proposals, Urges MRSA Reinstatment

Governor Lamont’s strong emphasis on local aid is encouraging for members

We commend the Governor for his investments in municipal aid and education aid, as well as direct relief to property taxpayers, as Connecticut continues to emerge from the COVID-19 pandemic, and state and local leaders continue to seek opportunities to grow and diversify Connecticut’s overall economy and tax base during these still challenging times.

CCM supports the Governor’s call to cap the onerous local motor vehicle tax at 29 mills and reimburse towns for any lost car tax revenues; and to reinstitute the property tax credit on the state income tax. CCM is also calling for priority action to reinstitute and fully fund the Municipal Revenue Sharing Grants for town

While the Governor has placed an emphasis on protecting and advancing aid to local governments, it is imperative it be done without creating a fiscal cliff in future budget years.

CCM also calls on the Governor and General Assembly leaders to protect funding for the new Tiered-PILOT program for local governments with large amounts of tax-exempt property; and to look closely at those already statutorily enacted municipal aid programs that are funded at less than the 100 percent-intended level.

Investing in state aid commitments to towns and cities will go a long way toward restraining the financial burden on Connecticut’s overburdened property taxpayers. As the Governor is committed to tax reductions, his recommendations on direct property tax relief and increases in municipal and education aid will go a long way toward restraining local property taxes across the state.

The proposed state budget clearly increases state investments in towns and provides greater local budget predictability for municipal leaders and property tax-paying families and businesses.

It is crucial that towns and cities continue to have a seat at the table with the Governor and state legislators this session to ensure adequate levels of state aid for towns, fight against unfunded state mandates, encourage regional service sharing, and diversify local revenues.