What's happening
This bill allows municipalities to exclude voter-approved capital project costs from the property tax cap, pending a 60% affirmative vote.
Why it matters
Empowers local voters to directly influence property taxes. By requiring a 60% affirmative vote for certain capital projects to be exempt from the tax cap, the bill gives communities more control over major infrastructure decisions and their tax implications.
Could enable more investment in infrastructure. Allowing municipalities to exclude voter-approved capital projects (like roads, sewers, waterlines, and bridges) from tax cap limits may make it easier for local governments to fund and pursue important long-term improvements.
Introduces checks and balances on tax increases. The need for both a majority of the governing body and a supermajority (60%) of voters to approve these exemptions ensures tax cap overrides are reserved for projects with broad public support, potentially discouraging frivolous or unpopular spending.
Creates a framework for future projects. The Department of Taxation and Finance is tasked with issuing guidelines for what constitutes a qualifying capital project, which could shape the types of projects eligible for exclusion and influence municipal planning for years to come.
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Who cares
Headline styles
Let Voters Exceed Tax Cap
Plain English, a few words. Used as the page title.
Sponsors
3 Co-sponsors
History
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.265
- Referred to local government
- Committed to rules
- Advanced to third reading
- 2nd report cal.
- 1st report cal.782
- Referred to local government
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
1708
2017-2018 Regular Sessions
IN SENATE
January 10, 2017
Introduced by Sen. MARCHIONE -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government
AN ACT to amend the general municipal law, in relation to excluding capital projects in a municipality from the tax cap if the projects were approved by the voters of the municipality
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subparagraph (iv) of paragraph (g) of subdivision 2 of section 3-c of the general municipal law, as added by section 1 of part A of chapter 97 of the laws of 2011, is amended and a new subparagraph (v) is added to read as follows:
(iv) in years in which the normal contribution rate of the New York state teachers' retirement system, as defined by paragraph a of subdivision two of section five hundred seventeen of the education law, increases by more than two percentage points from the previous year, a tax levy necessary for expenditures for the coming fiscal year for local government employer contributions to the New York state teachers' retirement system caused by growth in the normal contribution rate minus two percentage points[.]; and
(v) a tax levy necessary for expenditures to fund capital projects in a county, city, town or village, including the construction of roads, sewers, waterline and bridges, provided the capital project was approved by an affirmative vote of sixty percent of the electors of such county, city, town or village. The department of taxation and finance shall establish guidelines as to what, if any, additional capital projects may be subject to the provisions of this subparagraph.
§ 2. Section 3-c of the general municipal law is amended by adding a new subdivision 8 to read as follows:
8. A county, city, town, or village may adopt a tax levy in support of expenditures for capital projects as provided by subparagraph (v) of paragraph (g) of subdivision two of this section only if the governing
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06964-01-7
S. 1708 2
body of such county, city, town, or village first enacts, by a majority vote of the total voting power of such body, a local law subject to mandatory referendum. Notwithstanding any provision to the contrary, such local law shall become operative as prescribed therein only if approved at a general or special election pursuant to section twentythree of the municipal home rule law by the affirmative vote of sixty percent of the qualified electors of such county, city, town or village voting upon the proposition.
§ 3. This act shall take effect immediately; provided, however, that:
a. the amendments to section 3-c of the general municipal law made by sections one and two of this act shall not affect the repeal of such section and shall be deemed repealed therewith; and
b. the department of taxation and finance shall establish guidelines concerning additional capital projects as provided in subparagraph (v) of paragraph (g) of subdivision 2 of section 3-c of the general municipal law as added by section one of this act within sixty days of the effective date of this act.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the general municipal law, in relation to excluding capital projects in a municipality from the tax cap if the projects were approved by the voters of the municipality
Purpose or general idea of the bill
This bill would create an exception to the municipal tax cap for capital projects approved by the voters of said municipality.
Summary of specific provisions
Section 1 adds the exception to the tax levy limit for capital projects provided that the capital project is approved by a majority of registered voters in the municipality.
Section 2 sets forth the requirements for a referendum subject to the provisions of this act, including a time frame by which a resolution may be presented before the registered voters of the municipality.
Section 3 sets the effective date.
Justification
The tax levy limit implemented in 2011 created certain challenges to local governments, particularly in terms of addressing the infrastructure problems that they and our State as a whole face. By providing for an exemption to the cap approved by the voters, this bill would not only restore flexibility to local governments to improve their roads, bridges, and other infrastructure, but would also put the decision in the hands of the voters as to whether or not they feel the tax levy is necessary.
Legislative history
New bill.
Fiscal impact
To be determined.
Effective date
Immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.