NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A9465
SPONSOR: Lavine TITLE OF BILL:
An act to amend the real property tax law, in relation to base
proportions in assessing units in Nassau county
PURPOSE:
To allow approved assessing units and special assessing units in the
county of Nassau to adjust their current base proportions.
PURPOSE OR GENERAL IDEA OF BILL:
This legislation would limit the amount of property tax shift between
homestead/non-homestead and class share apportionment for local govern-
ments within and including Nassau County.
SUMMARY OF PROVISIONS:
Section 1: Amends section 1803-a of the Real Property Tax Law by adding
a new paragraph (kk) to limit the amount of a property tax shift between
classes of properties caused by large fluctuations in property values
for the 2022 assessment roll.
Section 2: Amends subparagraph (iv) of paragraph (a) of subdivision 3 of
section 1903 of the real property tax law to extend for one year the
limitation on the amount of a property tax shift between homestead and
non-homestead properties caused by large fluctuations in property values
within such designated classes within Suffolk County.
Section 3: Amends Section 1903 of the Real Property Tax Law by adding
new subparagraph (xxiii) to subdivision 3 to limit the amount of a prop-
erty tax shift between homestead and non-homestead properties caused by
large fluctuations in property values within Nassau County.
JUSTIFICATION:
In both Nassau and Suffolk County, there is a large differential in
property tax value increases between classes of property. This in turn
causes a large property tax increase in one class of property. Present-
ly, the amount of taxes which can be shifted from one class to another
is generally capped at five percent, but for a number of years the
legislature has extended provisions to cap that amount at 1 percent to
better protect against large property tax shifts.
PRIOR LEGISLATIVE HISTORY:
New bill.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
There are no costs to the state or localities. This bill will allow for
a more equitable distribution of real property taxes between classes of
property.
EFFECTIVE DATE:
This act shall take effect immediately; provided, however, that section
one of this act shall apply to the levy of taxes based on the 2022
assessment roll in a special assessing unit that is not a city and that
section three of this act shall apply to the levy of taxes based on the
2022 assessment roll in approved assessing units in the county of Nassau
that pass a local law, ordinance or resolution to adopt these
provisions.
STATE OF NEW YORK
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S. 8497 A. 9465
SENATE - ASSEMBLY
March 7, 2022
___________
IN SENATE -- Introduced by Sen. KAMINSKY -- read twice and ordered
printed, and when printed to be committed to the Committee on Local
Government
IN ASSEMBLY -- Introduced by M. of A. LAVINE -- read once and referred
to the Committee on Real Property Taxation
AN ACT to amend the real property tax law, in relation to base
proportions in assessing units in Nassau county
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 1 of section 1803-a of the real property tax
2 law is amended by adding a new paragraph (kk) to read as follows:
3 (kk) Notwithstanding the provisions of paragraph (c) of this subdivi-
4 sion to the contrary, in a special assessing unit that is not a city and
5 for current base proportions to be determined by taxes based on such
6 special assessing unit's two thousand twenty-two assessment roll, the
7 current base proportion of any class shall not exceed the adjusted base
8 proportion or adjusted proportion, whichever is appropriate, of the
9 immediately preceding year by more than one percent. Where the computa-
10 tion performed pursuant to paragraph (b) of this subdivision would
11 otherwise produce such result, the current base proportion of such class
12 or classes shall be limited to such one percent increase and the legis-
13 lative body of such special assessing unit shall alter the current base
14 proportion of any or all remaining classes so that the sum of the
15 current base proportions equals one.
16 § 2. Subparagraph (iv) of paragraph (a) of subdivision 3 of section
17 1903 of the real property tax law, as amended by chapter 203 of the laws
18 of 2021, is amended to read as follows:
19 (iv) Notwithstanding any other provision of law, in an approved
20 assessing unit in the county of Suffolk and for current base proportions
21 to be determined by taxes based on such approved assessing unit's two
22 thousand three - two thousand four, two thousand four - two thousand
23 five and two thousand five - two thousand six assessment rolls, the
24 current base proportion of any class shall not exceed the adjusted base
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14734-01-2
S. 8497 2 A. 9465
1 proportion or adjusted proportion, whichever is appropriate, of the
2 immediately preceding year by more than two percent, or in the case of
3 the two thousand five--two thousand six, two thousand six--two thousand
4 seven, two thousand seven--two thousand eight, two thousand eight--two
5 thousand nine, two thousand twelve--two thousand thirteen, two thousand
6 thirteen--two thousand fourteen, two thousand fourteen--two thousand
7 fifteen, two thousand fifteen--two thousand sixteen, two thousand
8 sixteen--two thousand seventeen, two thousand seventeen--two thousand
9 eighteen, two thousand eighteen--two thousand nineteen, two thousand
10 nineteen--two thousand twenty, two thousand twenty--two thousand twen-
11 ty-one, [and] two thousand twenty-one--two thousand twenty-two, and two
12 thousand twenty-two--two thousand twenty-three assessment rolls, one
13 percent. Where the computation of current base proportions would other-
14 wise produce such result, the current base proportion of such class or
15 classes shall be limited to such two percent or one percent increase
16 whichever is applicable, and the legislative body of such approved
17 assessing unit shall alter the current base proportion of either class
18 so that the sum of the current base proportions equals one.
19 § 3. Paragraph (a) of subdivision 3 of section 1903 of the real prop-
20 erty tax law is amended by adding a new subparagraph (xxiv) to read as
21 follows:
22 (xxiv) Notwithstanding any other provision of law, in an approved
23 assessing unit in the county of Nassau and for current base proportions
24 to be determined by taxes based on such approved assessing unit's two
25 thousand twenty-two assessment roll, the current base proportion of any
26 class shall not exceed the adjusted base proportion or adjusted propor-
27 tion, whichever is appropriate, of the immediately preceding year, by
28 more than one percent, provided that such approved assessing unit has
29 passed a local law, ordinance or resolution providing therefor. Where
30 the computation of current base proportions would otherwise produce such
31 result, the current base proportion of such class or classes shall be
32 limited to such one percent increase and the legislative body of such
33 approved assessing unit shall alter the current base proportion of
34 either class so that the sum of the current base proportions equals one.
35 § 4. This act shall take effect immediately; provided, however, that
36 section one of this act shall apply to the levy of taxes based on the
37 2022 assessment roll in a special assessing unit that is not a city and
38 that section three of this act shall apply to the levy of taxes based on
39 the 2022 assessment roll in approved assessing units in the county of
40 Nassau that pass a local law, ordinance or resolution to adopt these
41 provisions.
