State budget holds up town budgets

Uncertainty about the state aid is delaying finalization of town budgets across the Commonwealth. The Standard Times has an article about that here. At issue is the amount of state aid that town's will receive on a wide range of budget categories. Dartmouth has already planned for many of the cuts but there are a few which may still impact our town budget. School aid, called Chapter 70 aid, will be funded at FY2009 levels. Other unrestricted aid will be cut. The state has already specified the amount of highway aid, called Chapter 90 funds, which I wrote about here. State Representatives are considering a sales tax increase ...

... according to the Blue Mass Group blog here and here. I would rather see a local option meals and room tax enacted or a modest increase in income tax. Sales tax is a regressive tax which falls most heavily upon those who must spend most of their income while the income tax is indexed to income and higher earners pay more. What are your thoughts on tax increases and the state budget?
UPDATE! Seems the Constitiution of the Commonwealth prohibits a graduated income tax. I stand corrected.