Long Island Association endorses tax cap

ALBANY - The Long Island Association has endorsed Governor-elect Andrew Cuomo's property tax cap, reversing its long-standing opposition to the concept.

The business group's announcement on Friday followed denunciations of the cap by school boards, mayors, county executives, the teachers' union and liberal activists. But others, including the Business Council and former Nassau County Executive Thomas Suozzi, support a cap.

Seeking to rein in soaring property taxes, Cuomo has proposed a 2 percent cap on yearly increases by school districts and other local governments. The cap could be overridden by a 60 percent majority vote. There also are exceptions for one-time expenses such as legal settlements and building projects.

Schools and local government officials have warned the cap will spark deep cuts in services because they won't have the funds to pay retirement and health care benefits to workers.

The LIA board reversed itself "because things have gotten worse both in Albany and property taxes on Long Island," association president Kevin Law said. In 2008, the business group opposed a 4 percent cap recommended by a commission led by Suozzi.

The LIA said its endorsement is contingent on passage of a cap on state spending, fewer regulations on schools and municipalities, changes to public employee benefits, a decrease in Medicaid costs and improved economic development programs.

Suozzi said Friday that Cuomo's cap, if adopted by lawmakers, would "break the cycle of skyrocketing property tax bills" through changes in public employee benefits and state regulations.

Cuomo spokesman Josh Vlasto welcomed the support of the LIA and Suozzi, saying the property tax cap "is the cornerstone to providing relief for our citizens."