What's happening
This bill provides state aid payments to cities, towns, villages, or fire districts where over 35% of property is tax-exempt.
Why it matters
Helps offset the financial strain on communities with large amounts of tax-exempt property. (such as land owned by nonprofits, governments, or universities), which often means fewer taxable properties to fund local services like schools, roads, and fire departments.
Distributes state aid based both on population and the value of exempt property. , aiming to reflect both the number of residents affected and the degree to which tax-exempt properties reduce the local tax base.
Could reduce pressure to raise property taxes on remaining taxable properties. , potentially making it easier for residents and businesses to afford staying in communities with high percentages of tax-exempt land.
May encourage fairer treatment of municipalities hosting major tax-exempt institutions. (like colleges, hospitals, or government facilities), ensuring they don’t bear disproportionate fiscal burdens for providing essential services.
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Who cares
City, town and village officials
Their municipalities would qualify for state payments, subject to budgetary appropriation, if tax-exempt property exceeds 35 percent of total property value.
Fire district officials
Fire districts meeting the same tax-exempt property threshold would also be eligible for payments.
State budget officials and lawmakers
Payments would depend on budgetary appropriations, with half distributed by eligible entities’ relative populations and half by their shares of tax-exempt property value.
Headline styles
Aid for Tax-Exempt Property Towns
Plain English, a few words. Used as the page title.
Sponsors
10 Co-sponsors
History
- Referred to real property taxation
- Referred to real property taxation
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Aid for Tax-Exempt Cities
In Senate Committee · Local Government · Sponsor Patty Ritchie
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
732
2017-2018 Regular Sessions
IN ASSEMBLY
January 9, 2017
Introduced by M. of A. GUNTHER, LUPARDO, JAFFEE, SKARTADOS, SANTABAR- BARA, BARRETT, CROUCH, FINCH, KOLB, BLANKENBUSH, BARCLAY -- Multi- Sponsored by -- M. of A. GIGLIO, HAWLEY, HIKIND, LOPEZ, MAGEE, McDO- NOUGH, McLAUGHLIN -- read once and referred to the Committee on Real Property Taxation
AN ACT to amend the real property tax law, in relation to state aid for certain towns adversely affected by a concentration of tax exempt property
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. The real property tax law is amended by adding a new section 532-a to read as follows:
§ 532-a. Certain lands subject to state payments. In any city, town, village or fire district in which the total amount of tax exempt property represents more than thirty-five percent, by value, of the total amount of property in such city, town, village or fire district, the state shall pay a sum, subject to budgetary appropriation, as follows:
1. Fifty percent of such sum shall be paid to each eligible city, town, village or fire district in proportion to such entity's population relative to the population of all such eligible entities; and
2. Fifty percent of such sum shall be paid based on the value of tax exempt property in each eligible city, town, village or fire district as a percentage of the value of all tax exempt property in all such eligible entities.
§ 2. This act shall take effect immediately and shall apply to assessment rolls prepared on the basis of taxable status dates occurring on and after the date on which this act shall have become a law.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD02788-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.