Connecticut gubernatorial candidate Tom Foley announced his Urban Policy Agenda yesterday.
One of Foley’s proposals is to limit the tax rate on motor vehicles and personal property to 30 mills (point 6 in the document). He notes that mill rates are highest in the state’s cities, and that urban citizens are disproportionately hurt. Under his plan, “the state will make up the lost revenue” to the cities.
Hartford has the highest mill rate in the state, currently at 74.29. Limiting the tax rate to 30 mills would immediately reduce the burden by nearly 60% to residents on their automobiles, and to businesses on their personal property.
Reviewing Hartford’s funding structure, it is estimated that if the proposal had been in place during the fiscal year that ended in June of 2013 that Hartford residents and businesses would have saved nearly $40 million. According to the proposal, the State would have reimbursed the City for the $40 million in lost revenue.