What's happening
This bill changes the payment of returned unpaid school taxes so that half is paid by the county and half by the state, with the county repaying the state over eleven months.
Why it matters
Shifts short-term financial responsibility. By splitting initial payment of unpaid school taxes between the county and the state, counties face less immediate financial strain, potentially easing cash flow pressures—especially for those with limited reserves.
Creates a state-backed bridge loan. The new structure effectively has the state covering half of the unpaid school tax bill up front, then being repaid by the county over eleven months, which smooths out the county’s repayment obligations instead of requiring a lump sum.
May impact school district funding stability. Ensuring schools receive the full amount owed promptly, regardless of tax collection success, can help avoid budget disruptions and maintain consistent educational services.
Alters risk and accountability dynamics. By involving the state more directly in the process, there could be increased oversight or changes in how unpaid taxes are tracked and enforced, potentially affecting both administrative processes and incentives for local tax collection efficiency.
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Who cares
Headline styles
Share Unpaid School Taxes
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.1180
- Referred to local government
- Returned to senate
- Died in assembly
- Referred to real property taxation
- Delivered to assembly
- Passed senateVote 62–1
- Advanced to third reading
- 2nd report cal.
Show 2 earlier actions
- 1st report cal.1104
- Referred to local government
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.
Split School Tax Collection
In Assembly Committee · Real Property Taxation · Sponsor Aileen Gunther
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1404
2017-2018 Regular Sessions
IN SENATE
January 9, 2017
Introduced by Sen. RITCHIE -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government
AN ACT to amend the real property tax law, in relation to the enforcement of taxes in certain school districts
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 4 of section 1330 of the real property tax law, as amended by chapter 350 of the laws of 1978, is amended to read as follows:
4. (a) The county treasurer shall, on or before the first day of April following the receipt of the statement and certificate as provided in subdivision two of this section, pay to the officer charged by law with the custody of school district moneys, fifty percent of the amount of returned unpaid school taxes, not including the amount of taxes paid pursuant to section thirteen hundred forty-two of this [chapter] article. The state comptroller shall at the same time pay the other fifty percent of the amount of returned unpaid school taxes, not including the amount of taxes paid pursuant to section thirteen hundred forty-two of this article.
(b) The county treasurer shall, on the first day of each and every month thereafter for the next eleven months, pay to the state comptroller an amount equal to one-eleventh of the amount paid by the state so that the state is fully repaid by March first of the following year.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD03546-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the real property tax law, in relation to the enforcement of taxes in certain school districts
Purpose
This bill amends the Real Property Tax Law to provide that the county shall pay fifty percent of the unpaid school taxes. The State Comptroller shall at the same time pay the other fifty percent. The county treasurer shall, on the first day of each and ever y month thereafter for the next eleven months, pay to the State Comptroller an amount equal to one-eleventh of the amount paid by the state so that the State is fully repaid by March 1st of the following year.
Summary of specific provisions
Section 1 amends paragraph (a) of subdivision 4 of section 1330 of the Real Property Tax Law to provide that the county treasurer shall pay fifty percent of the amount of unpaid taxes. The State Comptroller shall at the same time pay the other fifty-percent. Section 1 also adds a new paragraph (b) which provides that the county treasurer shall on the first day of each and every month thereafter for the next eleven months, pay to the State Comptroller an amount equal to one-eleventh of the amount paid by the state so that the state is fully repaid by March first of the following year. Section 2 provides that this act shall take effect immediately.
Justification
Counties are experiencing great difficulties with their cash flow when having to make the schools whole for returned unpaid school taxes. By sharing the burden with the State and continuing to collect on the unpaid taxes, the counties will be in a better cash flow position and the State will be repaid within eleven months.
Legislative history
2015-2016: S.1797 Referred to Local Government 2012-2013: S.6576/ A.1405
Fiscal implications
Minimal.
Effective date
Shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.