Thursday, October 4, 2007

Holding the Line

Last Monday September 24 (yeah, I know I’m behind on my blogging…), the city council voted on property tax classifications which lead to the setting of the tax rate for the city. I’m pleased to say that this year, 79% of residential tax bills will stay the same or decrease. In addition, 13% of bills will increase by $100 or less.

This is a remarkable accomplishment, particularly given the extensive capital projects underway in Cambridge – the renovation of the main library, the new public safety facility,
the West Cambridge Youth and Community Center and the War Memorial facility, to name a few.

Two of my goals on the council have been to fight for sound fiscal policies and to make the budget process more open and transparent.

By controlling new spending, we have been able to minimize the impact of property taxes on Cambridge homeowners. The city has also been working out a long term approach for our budget. Long term planning, by projecting revenues, projects and operating expenses several years out, minimizes spikes in the budget. Reducing these spikes in the city’s annual budget makes it easier for families to manage their personal budgets.

It’s vitally important to make it easier for citizens to understand the city’s budget and tax policy. That’s why I have pushed for the city to send residents more information on the city’s budget – we provide more information than any other community in Massachusetts. I’m proud that thanks to my leadership on the Special Committee on Taxation, we now send out three newsletters annually: Understanding Your Taxes Newsletter, Property Tax Update Newsletter, and Property Tax Exemptions and Tax Deferral. These three newsletters are sent out around the time tax bills are sent out.

I urge people to pay particularly close attention to the exemptions and deferral newsletter. If you think your property is assessed too high, you can apply for an abatement. It is particularly important that you meet the deadline for filing an abatement AND that you pay the amount due on your property tax bill by that deadline. Under state law, if you have not paid the tax bill and filed for an abatement by the deadline, you are not eligible to receive an abatement.

I want each taxpayer to get every exemption he or she is entitled to receive. One of the most important exemptions is the residential exemption for owner-occupied residences. If you are an owner occupant, check your tax bill to make sure you are receiving the residential exemption. There is a list of all residential exemptions in the newsletter – please check the list and make sure you are receiving all eligible exemptions.

No one likes taxes, but I want to make sure our system of taxation in Cambridge is as fair and open as possible. I have significant concerns with the property tax – it’s regressive and hurts long-time residents who simply want to stay in their homes. Unfortunately, state law forbids Cambridge from using more equitable alternatives. By supporting the Municipal Partnership Act I am fighting to change that. However, that will be a long, tough battle against entrenched interests at the state level.

If you have questions on your taxes, you can call 617-349-4110 or e-mail assessors@cambridgema.gov. In addition, I am happy to meet with constituents who have questions about taxes (or any other issue with the city). I will gladly go with constituents when or if they meet with the city administration. In any case, you can reach me at 617-492-7426 or email brian@brianmurphy.org.

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