Amends the Monroe county tax act and the Monroe county tax foreclosure act; repealer

Summary of provisions

Section 1 amends Chapter 441 of the Laws of 1938 by repealing section 14-g and replacing it with a new section 14-g. The new section 14-g extends the payment plans to one additional payment.

Section 2 amends Chapter 441 of the Laws of 1938 by adding a new section 14-h that grants the purchaser of County owned tax sale certificates to enter into partial payment agreements or installment agreements with property owners.

Section 3 amends Chapter 441 of the Laws of 1938, section 23, extends the priority tax liens to remain superior to all other liens except for City of Rochester liens and New York State liens.

Section 4 amends Chapter 441 of the Laws of 1938, section 32, by repealing section 32 and replacing it with a new section 32. The new section requires all foreclosure of tax sale certificates be made as if it were a mortgage foreclosure.

Section 5 amends Chapter 440 of the Laws of 1938 by adding a new section 2-a which is the same as the new section 23 listed in section 3 above.

Section 6 amends Chapter 440 of the Laws of 1938 by repealing section 4 and replacing it with a new section 4. The new section 4 is the same as section 4 above.

Justification

This new legislation will expand from three to four the number of installment payments available for taxpayers who wish to enter into an installment agreement with the County, allowing for greater flexibility and affordability for taxpayers whose finances may not allow for a substantial up-front first installment payment. Currently, 50% of the balance due must be paid by February 10th without interest; 25% is due on February 28th with interest at the rate of 1.5% of the installment; and 25% is due on March 31st with interest at the rate of 3% of the installment. Under this new legislation, the 1st installment of 25% of the tax bill will be due on

or before February 10th without interest; 25% of the tax bill will be due on or before February 28th with interest at the rate of 1.5% of the installment; 25% of the tax bill due on or before March 31st with interest at the rate of 3% of the installment; and 25% of the tax bill will be due on or before April 30th with interest at the rate of 4.5% of the installment.

This new legislation will also provide to taxpayers who are unable to pay the full amount due for open taxes in a tax year by February 10th or who are unable to enter into an installment agreement, the option of either (1) paying the balance due in full plus all accrued interest at any time prior to August 20th; or (2) entering into a Partial Payment Plan at any time prior to August 20th of the tax year by making an initial payment of at least 25% of the balance due, including any accrued interest. The taxpayer would then make additional payments equal to no less than $100.00 each prior to August 20th on the balance due. In order to cover any additional administrative expenses that may be incurred as part of the Partial Payment Plan, Town Tax Receivers shall have the right to assess a fee of $5.00 per transaction for receiving any partial payments.

Legislative history

Chapter 440 of the Laws of 1938 Chapter 441 of the Laws of 1938 S.8447 of 2007/2008

Fiscal implications

None.

Effective date

Immediately.