Repeal the tax.
Make changes now before it goes into effect.
Wait a year and evaluate it.
The Howard County Council appears divided over the highly contested senior tax cut law as council members mull a measure aimed at tweaking the credit.
“I have yet to see any clear indication that need [for the cut] exists,” Council Member Mary Kay Sigaty, D-District 4, said at Monday?s work session. “As a concept, I would absolutely repeal [it].”
Sigaty suggested the county study the need for a credit and how to address it, while relying on current programs offering relief to seniors. If the council keeps the law, it should consider a sunset clause, which would allow the law to expire after a certain amount of time, she said.
On the other hand, Council Chairman Calvin Ball, D-District 2, has pushed changes based on task force recommendations.
“If we know there?s a bad bill, we have the responsibility” to changeit, he said.
Ball said he wants to make these changes, such as tying the income cap to the median county income or federal poverty level, now, and revisit the issue after it takes effect in July. With more data later, there may be more ways to tweak the law.
Council Member Greg Fox, R-District 5, offered still another view, saying the council “shouldn?t be governing by task force.” Fox said he supports a few minor changes, such as making sure residents apply for state credits before taking advantage of the county credit, but now isn?t the time for major changes.
Not making changes to the law could add to the county?s budget woes, administration officials told the council.
County Executive Ken Ulman has put a placeholder of about $1.5 million in the current budget to cover the expected revenue loss from the senior tax cut, Budget Administrator Ron Weinstein said. That?s assuming the council approves changes that narrow the scope of the law, he said. If not, the law as it stands could cost closer to $3 million.
The department?s requests are $20 million more than projected revenue, Finance Director Sharon Greisz told the council.
