BRISTOL – Property tax rates needed to be increased in nearly 60% of 155 Connecticut municipalities for fiscal year 2019-20, according to an analysis released Aug. 26 by the Connecticut Conference of Municipalities (CCM).
Property tax hikes took place in 79 municipalities across the state; 59 of those 79 towns had tax hikes greater than the latest 1.6 % inflation rate reported for Connecticut.
The following are the changes in mill rates seen the area:
. Bristol’s mill rate increased from 36.88 to 38.05, a 3.17 % increase
. New Britain’s mill rate remained the same at 50.5.
. Berlin’s mill rate increased from 32.5 from 33.93, a 4.4 %t increase
. Newington’s mill rate increased from 38.5 to 39.45, a 2.47 % increase.
. Plymouth’s mill rare increased from 39.69 to 40.63, a 2.37 % increase.
. Plainville’s mill rate increased from 33.84 to 34.62, a 2.30 %t increase.
. Southington’s mill rate increased from 30.48 to 30.64, a 0.52 % increase.
“The need for adequate state aid to achieve significant property tax relief - along with other diversified local revenue sources and greater authority to contain local costs - is undeniable,” said Joe DeLong, CCM Executive Director and CEO. “Nearly 100 towns and cities were forced to increase their property tax rates because of cuts in some state aid programs, and in spite of sustained state aid in others areas for local governments.”
34 towns were able to sustain the same mill rate and 28 towns were able to slightly reduce their mill rate.
Statewide, local property taxes now total more than $11 billion, an increase of at least $500 million since 2017. That exceeds the State’s largest source of revenue, the personal income tax, which yielded nearly $10.8 billion in 2018 (the latest year for complete data).
“Some enhanced state aid enacted over the last several state legislative sessions has enabled some already high-tax communities to hold the line on property tax increases, or in some towns, to actually reduce taxes,” said DeLong. “Despite this, some communities still have extraordinarily high property tax rates. Relying on the property tax to continue to fund local government is unsustainable.”
The per capita property tax burden in Connecticut is $2,847, almost twice the national average of $1,518 and the third highest in the nation.
According to the CCM, the median property tax on owner-occupied housing in Connecticut as a percentage of median household income ranks the third highest in the nation.
The property tax in Connecticut is depended upon to raise 72% of all local revenues.
tate aid to municipalities in Connecticut still represents only 23.4% of municipal revenues; that is well below the national average of 32.9%, and ranks Connecticut 40th in the nation in state aid to local governments, the CCM reported.
And, Connecticut is one of only 15 states that limits municipalities to raise revenue only from the property taxes.
And here are some other related facts:
. Whether considered on a per capita basis or as a percent of total state taxable incomes, state taxes, and especially property taxes, are very high compared to the rest of the nation.
. The per capita property tax burden in Connecticut is $2,847. That is almost twice the national average of $1,518 and third highest in the nation.
. The median property tax on owner-occupied housing in Connecticut as a percentage of median household income ranks the third highest in the nation.
. The property tax in Connecticut is depended upon to raise 72 percent of all local revenues.
. State and Federal payments to local governments are lower in Connecticut than in most other states.
. State aid to municipalities in Connecticut still represents only 23.4 percent of municipal revenues; that is well below the national average of 32.9 percent, and ranks Connecticut 40th in the nation in state aid to local governments.
. State and federal payments to local governments are lower in Connecticut than in most states.
. The property tax is the highest tax that Connecticut businesses pay.
. Connecticut is one of only 15 states that limits municipalities to raise revenue only from the property tax.
CCM will continue to pursue the best ways to reduce property taxes on residents and businesses, to increase our quality of life, making Connecticut a more competitive place to live and work.
-The Connecticut Conference of Municipalities