Requires the establishment of a commercial assessment ratio for certain counties

1 Co-sponsor

• Ruben Diaz

Title of bill

An act to amend the real property tax law, in relation to creating a county commercial assessment ratio

Purpose or general idea of bill

To establish in a county, which has a population of more than nine hundred twenty-three thousand but less than nine hundred twenty-four thousand, a commercial assessment ratio for major type B property for use in article 7 proceedings reviewing assessments of major type B commercial properties.

Summary of specific provisions

This bill creates a new section of the RPTL by adding section 1215, which establishes a commercial assessment ratio for major type B commercial property and amends section 720 of the RPTL permitting its use in article 7 proceedings reviewing the assessments of major type B commercial property.

Justification

Many assessing units have experienced unprecedented appreciation in residential property values over the last few years while commercial property values have remained constant or have appreciated slightly. This unprecedented appreciation in residential property values has caused the state equalization rates for these assessing units to drop drastically. These enormous changes in the final state equalization rates do not accurately reflect the changes in the values of commercial property. The annual establishment of state equalization rates alone in a rising residential market is creating artificial over-assessment of commercial property. The commercial assessment ratio would be the market value ratio for major type B property, which is currently a component of the full Value measurement used in establishing the state equalization rate for an assessing unit.

Prior legislative history

2005-2006: A5793A; 2007-2008: A6099A/S3298A

Fiscal implications

De minimis

Effective date

Immediately