Following the submission of the preliminary report for the New York State Commission on Property Tax Relief, Gov. David A. Paterson announced earlier this week that he would introduce school property tax cap legislation in an attempt to combat the statewide increases in property taxes.

The cap would apply to all school districts outside the “Big Five” cities (New York City, Buffalo, Rochester, Syracuse and Yonkers), because these cities do not currently vote on school budgets. The Commission presented its findings to Paterson Tuesday after conducting a four-month study.

Several problem areas were highlighted in the initial report, prompting Paterson’s suggestion of the tax cap. The report noted that New York state’s local taxes are the highest in America, registering 79 percent higher than the national average. It also showed that outside of New York City, 62 percent of property taxes are school property taxes. Furthermore, the report indicated that nine of the highest 10 tax rates by county in the entire country are upstate New York counties. Additionally, it stated that property tax levies are rapidly increasing, rising at more than twice the rate of inflation and salary growth across the state.

Paterson, who was making several stops throughout central New York Thursday to speak on the possibility of the property tax cap legislation, said, “The growth rate of property taxes in this state is unsustainable, especially for the elderly, working families and small businesses just starting out. All of us understand that the cap is a blunt instrument, but it is needed to force hard choices and to address the fact that New York’s local tax burden is the highest in the nation. No matter what else happens, the choice of raising property taxes above a capped amount without voter approval is not an option … now it is time for the leadership of this state to act.”

District 48 State Sen., Darrel Aubertine, D-Cape Vincent, also weighed in on the findings of the preliminary report. “Property tax relief is desperately needed in my district and all of New York state. The commission’s hard work in developing these recommendations and findings provides us with a framework for debate, starting with school taxes,” he said. “We must make the most of this opportunity to bring about some real change in how we pay for our children’s education.”

The legislation submitted by Paterson addresses much of what came to light in the commissions’ report. The governor’s proposed bill would establish a cap on school property tax levy increases of 4 percent or 120 percent of the Consumer Price Index (CPI), whichever figure is less. The CPI is a measure of the average change in prices over time in a market basket of goods and services.

The legislation would also require that 55 percent of those voting approve any tax levy over the cap, while providing a stipulation stating if the proposal is voted down, the levy increase reverts back to the cap of either 4 percent or 120 percent of the CPI. Voters could also authorize an “under ride” proposal if they wish to adopt a tax levy increase that is less than the cap or has no increase at all.

This legislation also provides an incentive for school districts across the state to propose increases that are under the cap through providing “banking” of unused levy growth amounts. It would also preserve the right of all school district residents to vote every year, regardless of a given school board’s proposed levy increase.

“The biggest proposals of a cap on tax levy increases, a circuit breaker system for relief programs and a closer inspection of unfunded mandates could be ideas whose time has come,” Aubertine said. “We must work out the details and continue to look at ways to reduce the property taxes for all New Yorkers, especially small businesses and people on fixed incomes. And in doing so, we must also never lose sight of how important it is we provide our children with a quality education.”

Looking forward to bringing this legislation closer to becoming a reality and relieving some of the tax burden from residents, Aubertine concluded, “We have the framework. I look forward to reviewing the details of this report and the final version, which will be submitted later this year ... we can’t continue to let a quality education for our children compete with our ability to afford owning our homes, farms and businesses.”

Stressing the importance of taking action on this matter, Paterson called upon his fellow officials, saying, “The question now becomes one of whether state government is up to this challenge. The public has spoken clearly. People are demanding an end to ever-escalating property taxes … Are we in public office willing to listen to those who we serve and take action, or will we delay action simply because it requires hard choices? I believe we must take action.”