County Mulls Home Tax Relief Program

By Holly Crocco

The Putnam Legislature has unanimously approved moving $6.5 million from the county’s fund balance in the 2026 budget toward a homeowner tax relief program.

“This is intended to give meaningful tax relief to single-family homeowners,” said Legislator Paul Jonke, R-Southeast, during the Oct. 29 special meeting of the Legislature. “Even with putting this money in subcontingency because it’s coming out of the unassigned fund balance, it’s not going to have any impact on the tax rate.”

The program puts aside $200 per single-family, owner-occupied household. Legally, the funds cannot be returned via a “rebate,” so lawmakers are considering how, exactly, to put the money back in homeowners’ hands.

“The tax relief program is not going to benefit the City of New York, it’s not going to benefit large developers, it’s not going to benefit the owner of Putnam Plaza, or corporations,” said Jonke, who proposed the program. “It’s going to benefit senior citizens, it’s going to benefit veterans, it’s going to benefit people who need that little bit of help when they get their oil bill or their electric bills … So that’s what it’s intended for.”

If enacted, Putnam would be the first county in the state to have such an initiative.

“It has never been done before, and wouldn’t it be nice if Putnam County was first in line to be successful with a program like this?” asked Jonke.

While Legislator Erin Crowley, R-Carmel, was hesitant to support the program during prior discussions, she spoke in favor of it at the most recent meeting.

“If it’s ultimately determined that a rebate cannot be legally issued, I will propose that the money be placed into a tax stabilization fund, ensuring it continues to benefit residents by helping to prevent future tax increases,” she said. “In concept it’s wonderful. I’d like to see it happen… I hope that in the future we can do a little more research to have a better understanding before we propose stuff.”

Legislator Toni Addonizio, R-Kent, also voiced support for the program.

“The people who built this community deserve to see a tax relief program, and I believe that we can return some tax relief to every single-family, owner-occupied household in the county,” she said. “This is a tangible way to thank our taxpayers for their trust and ensure that they benefit from our sound financial stewardship.”

And that stewardship has certainly put Putnam in a good position.

Legislator Dan Birmingham, R-Brewster, explained that, as of 2024, an outside audit showed the county having $87 million in its unassigned fund balance.

“We’re sitting on a lot of money, folks,” he said, adding that the nonrestricted fund balance is the largest it’s ever been on a budget-to-fund-balance ratio. “I think this is the first step in helping to return some of that to the taxpayers… If we are the first to do something like that, that’s great. Nothing ventured nothing gained.”

According to Legislator Greg Ellner, R-Carmel, it’s critical that the Legislature approve the program now so steps can be taken to see how it can legally and successfully be implemented.

“I don’t care if we call it a credit, a refund, a check – whatever is necessary to get the $200 into the hands of all the single-family homeowners, that’s what I hope can be done,” he said.

Legislator Nancy Montgomery, D-Philipstown, supported the concept, but said she wished there was more material to back it up. “We have an ask here without any program,” she said.

Further, Montgomery said there are more than just homeowners who need relief.

“My thought is, there are many ways we can offer tax relief to Putnam County residents and not just homeowners,” she said. “I’d love to see money go back to homeowners … but let’s not exclude anybody. We don’t even know that this is legal. My prediction is this is going to be a very hard sell and it probably won’t be legal.”

Jonke countered that the Legislature had the opportunity to give people a break through reduced sales tax. “That was the time to grant relief to the people who are not homeowners,” he said.

Birmingham added that if the county can get traction on the initial program, it can try and implement additional saving measures for other cohorts.

“I think we should take the shot first at the homeowner and see if we can get that legislatively approved,” he said.

Birmingham also noted that “the worst thing that will happen” if the program is approved by the County Legislature but deemed unlawful by the state, is that the money will be in subcontingency and can be put toward another avenue to provide tax relief.

“Without exploring new options, things will never change,” he said.

Legislator Laura Russo, R-Patterson, also supported the concept, but said the proposal needs work.

“I am pro-tax-relief for all Putnam County residents, whether you’re a homeowner or you’re not,” she said. “Renters help homeowners pay their taxes or their mortgage. If this is going to be just for homeowners, I understand, but I don’t believe we have the proper mechanism in place to do it.”

Legislator Bill Gouldman, R-Putnam Valley, also supported putting the money into subcontingency.

“I like the idea of tax relief for Putnam County residents,” he said. “We’ve been advised that the way it’s structured now is not legal, and there’s a reason this hasn’t been done before… This gives the Legislature more time to get advice, have discussion, and review this type of concept, since we only learned about it two weeks ago.”

Legislature Chairwoman Amy Sayegh, R-Mahopac Falls, said the concept is nothing but positive for homeowners.

“I know we have a long way to go,” she said. “It might be an uphill battle, but I think we should put the taxpayer first on the list.”