Bill > S04652

This bill introduces comprehensive changes to property tax relief and local government finance in New York State, focusing on three main parts. Part A adjusts the School Tax Relief (STAR) exemption for homes located outside cities with populations over one million, modifying how the exemption is calculated for the 2025-2026 school year and beyond, with the enhanced STAR exemption to be set at fifty percent of the median assessed value of homes in those areas. Part B establishes a real property tax freeze credit for homeowners, which provides tax credits to eligible taxpayers in jurisdictions that comply with property tax levy limits and submit government efficiency plans demonstrating at least 1% annual savings through shared services, mergers, or cooperation agreements. The credit varies depending on the type of taxing jurisdiction and whether they meet specific budget compliance requirements for fiscal years 2026-2028. Part C creates a supplemental state assistance program that will provide additional state aid to cities, counties, towns, and villages that comply with property tax limits, with the total funding pool calculated based on the difference between current and historical municipal aid appropriations, adjusted for inflation. The bill aims to incentivize local governments to control property tax increases while promoting efficiency and shared services.

Health and Social Services

https://www.nysenate.gov/legislation/bills/2025/S4652