City Legislators Back Aid Package; Cambridge May Receive $8.3 Million

Cambridge's five-member legislative delegation yesterday unanimously endorsed a compromise local aid package announced by Gov. Edward J. King and House and Senate leaders late last week.

The proposal, aimed at mitigating the impact of property tax cuts forced by Proposition 2 1/2, would provide an additional $150 million in aid to cities and towns over the next year. The provisions were unveiled at a press conference Friday afternoon, attended by one of King's senior officials, the President of the Senate, and the House and Senate chairmen of the Ways and Means Committees.

Under the plan, Cambridge would receive $8.3 million, roughly 80 percent of the second-year losses suffered under Proposition 2 1/2. That amount represents a $2 million improvement over King's initial proposal, which came out earlier this month.

The statement of support, signed by Sen. George Bachrach, Sen. Michael LoPresti Jr., Rep. Charles F. Flaherty Jr., Rep. Saundra Graham, and Rep. Michael J. Lombardi, praised the plan for eliminating a clause, included in King's first proposal, limiting the amount of state aid going to localities passing referenda over-riding the provisions of Proposition 2 1/2. Cambridge voters two weeks ago endorsed a proposal suspending the second-year of mandated tax cuts.

"We now have some more flexibility to consider reducing the tax rate a bit without making cuts." Anne M. Strong, a member of the Coalition for Cambridge said yesterday.

Strong and the legislators also singled out the provision in the plan which would take into account the tax-raising ability of localities. Areas such as Cambridge, in which 40 percent of the land is owned by universities and hospitals and consequently is tax-exempt, would benefit from that provision.

Overall the package insures that each of the 351 cities and towns receive at least 49 percent of the net losses incurred in the first two years of Proposition 2 1/2. It also reduces the amount of and going to the 16 "relatively wealthy" towns and guarantees the state's 45 poorest communities do not receive less than last year.

Debate on the local and proposal will begin in the House on Wednesday. The package, which is included as a line item in the state budget, is expected to pass easily, because almost every major legislator has backed it.

The harmony with which a package agreeable to all parties was reached in marked contrast to last year's fight between the executive and the legislature which spiled over into a summer session. "This agreement represent the best example of good government I've seen "since I've been in the Legislature." State Rep. Michael C. Creedon, chairman of the House Ways and Means committee, said Friday.