What's happening
This bill amends local finance law to require meeting notices about certain taxes to include estimated interest costs, and for school districts to minimize those costs where possible.
Why it matters
Increases transparency for taxpayers. by requiring public notices about votes on special taxes or installment-collected taxes to include not just project costs, but also the estimated total interest costs for related bonds or capital notes, giving voters a fuller picture of the long-term financial impact.
Encourages fiscal responsibility in school districts. by mandating that they minimize interest costs “to the greatest extent practicable,” which could influence how and when borrowing is structured, potentially saving taxpayer money over time.
May affect the decision-making process at public meetings. by providing more complete cost information up front, which could lead to more informed debate and potentially less support for projects seen as having high interest burdens.
Albany, before your first meeting.
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Who cares
Headline styles
Require Interest in Tax Notices
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to local government
- Referred to local government
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2575
2017-2018 Regular Sessions
IN SENATE
January 13, 2017
Introduced by Sen. HELMING -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government
AN ACT to amend the local finance law, in relation to contents of notice of meeting or election where special tax or tax to be collected in installments is to be voted on
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Section 41.10 of the local finance law, as added by chapter 582 of the laws of 1951, is amended to read as follows:
§ 41.10 Contents of notice of meeting or election where special tax or tax to be collected in installments is to be voted. Where the voting of a special tax or a tax to be collected in installments is a condition precedent to the adoption of a bond resolution or capital note resolution and the bonds or capital notes are to be issued to finance a specific object or purpose, the notice of the meeting or the election at which such tax is voted must state the estimated maximum cost of each item of such specific object or purpose and the estimated total cost of all of the items, where the estimated total cost of all of the items includes, and lists, the estimated total interest costs associated with the bond resolution or capital note resolution; provided, however, with regard to school districts, the cost of providing such total interest costs shall be minimized to the greatest extent practicable.
§ 2. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08223-01-7
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the local finance law, in relation to contents of notice of meeting or election where special tax or tax to be collected in installments is to be voted on
Purpose
To require that the estimated total interest costs associated with a bond resolution or capital note resolution be added to the contents of notice of meeting or election where special tax or tax to be collected in installments is to be voted on.
Summary of provisions
Section 1 amends Section 41.10 of the local finance law by adding "where the estimated total cost of all of the items includes, and lists, the estimated total interest costs associated with the bond resolution or capital note resolution; provided, however, with regard to school districts, the cost of providing such total interest costs shall be minimized to the greatest extent possible."
Section 2 of this bill provides for an immediate effective date.
Justification
Currently school districts are not required to disclose estimated interest costs during capital projects to voters. This legislation would require school districts to disclose this estimated interest cost, similar to the way a bank is required to disclose interest cost to homeowners applying for mortgages.
Legislative history
S.5204A of 2011/2012, S.3861 of 2013/2014 S.4162 of 2015/2016
Fiscal implications
Minimal or None.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.