Comptroller Mark Poloncarz thinks Erie County residents could realize significant savings of tax dollars if Erie County consolidates local real-property assessments.

His office released a report Tuesday that examines the scope and costs of local property assessments, as well as New York state financial incentives for local and county governments that make changes to their assessment practices.

It notes that the New York State Office of Real Property Services has said the state's property-tax system "is, arguably, the most complex and confusing in the country" with 1,133 distinct assessing units, compared to just 59 in California. Erie County alone has 30 such units. Within those units, the comptroller said, there are 39 chief assessing officials and 130 budgeted positions at a cost to local taxpayers of $6.5 million annually - not including benefits.

"Our report demonstrates that the cost to taxpayers of local assessment is significant and growing," Poloncarz said. "Given inequities in the existing system and the potential to potentially save millions of dollars annually, the county and local governments should examine the rationale for local assessment and consider a new approach."

The report determined that countywide assessment utilizing an outside vendor could be budgeted for $3.1 million, with additional annual, recurring and one-time savings and state-aid inducements available to the county. Depending on the number of employees retained in a countywide assessment unit, potential annual savings to local taxpayers could be as high as $3.9 million, not including state aid and incentives.

"The state is offering county and local governments millions of dollars in annual and one-time financial incentives to improve the property assessment process," said Poloncarz, who is urging Erie County and local governments to examine assessment costs and look at alternatives to the current system.