Assemblyman Michael Montesano (R,C,I-Glen Head) has announced his intent to sign onto legislation (A.7786) which will prevent the Long Island Power Authority from receiving a refund from last years tax payments, which would ultimately impact and place financial hardships on local governments.
As a state with some of the highest taxes in the nation, the last thing New Yorkers need is for taxes to be raised, said Montesano. If there is a settlement with LIPA, it could potentially mean financial ruin for property owners and school districts, in addition to higher school tax payments. Lets focus on helping our constituents, instead of hurting them.Back in 1998, LIPA became responsible for providing electrical utility service to all residential, commercial, nonprofit, industrial and governmental entities on all of Long Island, including a portion of Queens. An agreement was made that LIPA would never challenge property assessment values if the municipalities never raised them. Due to this happening with the Shoreham Power Plant, a provision was added to the law which governed LIPA to ensure that no refund of taxes would be collected from an impacted municipality. LIPA has recently initiated tax certiorari lawsuits in regards to properties on Long Island by challenging the assessments for this year and, therefore, is seeking relief in refunds for taxes paid during the past few years.