Includes persons with disabilities within the definition of head of household for the senior citizens' tax abatement for rent-controlled and regulated property

2 Co-sponsors

• Andrew J. Lanza
• Frank Padavan

Title of bill

An act to amend the real property tax law, in relation to providing a rent increase exemption to persons with disabilities

Purpose

To simplify the application process for the Disability Rent Increase Exemption (DRIB) program by providing for an income limit similar to that currently used for the Senior Citizen Rent Increase Exemption (SCRIE) program.

Summary of provisions

Amends §467-b and §467-c of the Real Property Tax law to provide that tile DRIE income limit for persons who receive either Social Security Disability Insurance (SSDI) or disability related Medicaid is the same as the income limit for SCRIE applicants.

Additional amendments to sections 467-15 and 467-c of Real Property Tax law provide that the DRIB eligibility criteria for disabled veterans is the same as that currently provided for Supplemental Security Income (SSI) recipients. The bill specifies that disabled veterans are eligible for tile DRIE program if they meet the other criteria for eligibility (must live in a rent regulated apartment and pay one-third or more of their income for rent).

Justification

In 2005, the Legislature acted to expand the SCRIE program to disabled New Yorkers. SCRIE freezes rents for seniors living in rent-regulated housing with incomes below $25,000 per year who pay one-third or more of their income for rent. Landlords are compensated for the full amount of the foregone rent through refundable real property tax abatements. Starting October 10,2005, disabled New Yorkers became eligible for the new benefit, commonly referred to as DRIE. The DRIB program is designed to work the same way as SCRIE, however the income limits for DRIE vary making it difficult for consumers to know if they. meet the eligibility criteria.

While the SCRIE program uses an income limit regardless of household size (recently increased to $25,000), the DRIE program income limit varies depending on household size. In addition, the current DRIE application process is more complex as applicants must factor in impairment related work expenses (IRWEs), or blind work expenses (BWEs) in order to determine their income. Such expenses include attendant care, transportation, medical devices, prostheses, work-related equipment and assistants, residential modifications, medications and medical services, diagnostic procedures, and non-medical appliances and devices. Under this legislation, applicants would no longer need to determine these expenses.

This legislation also simplifies the application process by allowing disabled veterans, provided they meet any of the eligibility criteria, to be categorically eligible just as SSI recipients are now. While 94% of disabled veterans are already eligible for the program, the remaining 6% that will become eligible by this legislation are those which are severely disabled and therefore receive higher disability compensation.

Legislative history

S.5802 of 2006 - 3rd reading

Fiscal implications

Negligible.

Effective date

This act shall take effect on the ninetieth day after it shall have become a law; provided that the amendments to section 467-b of the real property tax law made by section one of this act shall be subject to the expiration and reversion of such section pursuant to section 17 of chapter 576 of the laws of 1974, as amended, when upon such date the provisions of section two of this act shall take effect.