Mayor wields veto pen

May 28, 2006

By DARRELL L. BREESE

Frontiersman

PALMER - Mat-Su Borough Mayor Tim Anderson pulled out his veto pen Thursday before the assembly approved the $263 million budget for fiscal year 2007.

Despite the record high budget, property owners can expect to receive some property tax relief on next years bill.

By striking down three amendments made by the assembly, the mayor achieved two goals: First is the reduction in property taxes and second is improving the borough's chance of increased state and federal funds for future projects.

Assembly members worked late into the night before giving final approval of the budget, the first drafted under the tap cap adopted last August. Amendments targeted by the vetoes removed funding for the state and federal lobbyist and the distribution of state energy assistance revenue sharing funds.

His veto of assembly member Lynne Woods' amendment, which would have spread the distribution of nearly $4.2 million in revenue sharing from the state over the next three years, shortened the duration to only FY2008, and restored the 2009 funds into the current budget.

&#8220By setting aside the money from the state energy assistance over three years is cheating the tax payers,” Anderson said. &#8220By applying the funds to the current budget, we can provide some real property-tax relief this year. Next year's budget is next year's budget. It will be what it is. The assembly was trying to manipulate the mil rate for next year with the amendment.”

Assembly member Betty Vehrs supported the mayor's veto.

&#8220The money belongs to the people of the borough and we need to treat them with respect,” Vehrs said. &#8220I believe when we voted on the tax cap, it was a determination to live within our means.”

Woods defended her amendment, pointing out that it would provide property-tax relief over a three-year period and not just the current year.

&#8220We have to think long term,” Woods said. &#8220If you have a child and come into a lot of money, you're not going to spend it all in one year. You'll save it to buy shoes this year, pants next year and try to make it last as long as possible as the child grows. The Valley is growing and we need to make the money we get from the state last as long as possible.”

The initial vote on the amendment passed with members Bill Allen, Cindy Bettine, Talis Colberg and Lynne Woods voting in favor of stretching the one-time windfall from the state over three years. Five votes are needed to override a veto.

Separate amendments eliminating borough lobbyists in Juneau and Washington, D.C., at a cost of $120,000 also were vetoed by the mayor.

&#8220It's important for us to have a voice in the capital and in D.C.,” Anderson said. &#8220We have several major state and federal projects coming down the pipe that depend on us getting the funding, and I believe it's critical for us to have the lobbyist working for us both in Juneau and D.C.”

The final vote of the assembly set the mil rate, which is used to determine property taxes, at 9.658, below the maximum of 10.235 allowed under the cap. As a result, a home owner whose property is assessed at $200,000 faces a property tax bill next spring of $1,932. This year, the tax bill for the same property was $2,176.

Contact Darrell L. Breese at

352-2267 or at darrell.breese@

frontiersman.com.