Authorizes the village of Mamaroneck to participate in small claims assessment review and tax certiorari proceedings

§ 2. This act shall take effect immediately and shall apply to the small claims assessment review decisions filed on and after January 1, 2016.

Existing law

Adds a new section to New York State RPTL Law that allows Westchester to participate in judicial review pursuant to article 78 of the civil practice law and rules of a small claims assessment review decision made pursuant to title 1-a of article 7 of the real property tax law

Justification

The village of Mamaroneck ceased being an assessing unit in late 2014 pursuant, to a local law adopted under Real Property Tax Law 1402(3). The Village expects that this decision will reduce the Village's expenditures by at least $100,000.00.

Beginning this year, the Villages' taxes will be levied on the relevant parts of the Town of Rye's and Town of Mamaroneck's assessments rolls. Property owners and other aggrieved persons who believe their properties are over -assessed will challenge those assessments via complaints to the Towns' Boards of Assessment Review and, if unsuccessful or unsatisfied, will commence under Article 7 of the RPTL tax certiorari and SCAR proceedings against the Towns.

Under the RPTL, the Village has no statutory right to intervene in any proceeding challenging the Towns assessments. Any resolution of the proceedings that results in a reduction in an assessment has a direct impact on the Village, as the Village will be responsible for refunding an assessment has a portion of the taxes collected in excess of the amount that would have been due had the reduced assessment been the assessment on which the taxes were based. Similar to non-assessing villages most school districts in Westchester County will also be charged with issuing refunds corresponding to reductions in a relevant town's assessments. But unlike the non-assessing villages, school districts within Westchester have the statutory right to intervene in tax certiorari proceedings

Because the the Village's future taxes will be levied on the relevant parts of the Towns of Rye's and Town of Mamaroneck's assessment rolls, the Villages has a vested interest in the Towns' assessments and SCAR and tax certiorari proceedings. In fact, the Village has more of a

vested interest in reductions in the Towns' assessments that the Towns.

The towns' resolutions of its RPTL proceedings, therefore, may upset or overshadow the Village's expected $100,000.00 in yearly savings and further affect the Village's finances, all without any required input by the village.

In no way is the Village implying that towns will not vigorously defend the rolls. The Village recognizes, however, that at some point, a town may decide to settle a matter that it would have continued to litigate had there been greater potential for refunds. For the above reasons, the Village of Mamaroneck is requesting legislation be passed giving it, (the Village of Mamaroneck) the explicit right to become a party to SCAR and tax certiorari proceedings.

Legislative history

None

Fiscal implications

To be determined

Local fiscal implications

To be determined.

Effective date

This act shall take effect immediately