NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A6246A Revised 5/16/2023
SPONSOR: Pretlow TITLE OF BILL:
An act to amend the tax law, in relation to revising the period of
authorization for the county of Westchester's additional one percent
rate of sales and compensating use tax; and to amend chapter 272 of the
laws of 1991, amending the tax law relating to the method of disposition
of sales and compensating use tax revenue in Westchester county and
enacting the Westchester county spending limitation act, in relation to
revising the period of authorization for the county of Westchester's
additional one percent rate of sales and compensating use tax
PURPOSE OF BILL:
This bill extends the expiration of the provisions of the Westchester
County spending limitation act from November 30, 2023 to November 30,
2025.
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 amends clause 42 of subparagraph i of the opening paragraph of
section 1210 of the tax law to extend the authorization of Westchester
County to impose an additional one percent tax rate, from November 30,
2023 to November 30, 2025.
Section 2 amends subdivision e of section 4 and sections 5, 7 and 16 of
chapter 272 of the laws of 1991, amending the tax law in relating to the
method of disposition of sales and compensating use tax revenue in West-
chester County and enacting the Westchester County spending limitation
act, as amended by section 1 of part DD of chapter 118 of the laws of
2001 to extend the expiration thereof from November 30, 2023 to November
30, 2025.
Section 3 sets the effective date.
JUSTIFICATION:
The additional one percent sales tax authorization and extension of the
Westchester County spending limitation was most recently provided for
through 2023 by chapter 58 of the laws of 2020. This bill provides an
additional two year extension. Since its inception, the sales tax has
been a vitally, important source of revenue to the county, its local
governments, and school districts.
Providing for the extension of this provision during this legislative
session will enable the County of Westchester, and the various local
governments, and school districts that rely on the revenues generated
from the sales and compensating use tax to more appropriately plan their
budgets for the coming fiscal years.
LEGISLATIVE HISTORY:
New bill. Relates to Chapter 58 of the laws of 2020
FISCAL IMPLICATIONS:
No cost to state and positive fiscal impact to Westchester County, its
municipal governments, and school districts.
EFFECTIVE DATE:
Immediately.
STATE OF NEW YORK
________________________________________________________________________
6246--A
2023-2024 Regular Sessions
IN ASSEMBLY
April 3, 2023
___________
Introduced by M. of A. PRETLOW -- read once and referred to the Commit-
tee on Ways and Means -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the tax law, in relation to revising the period of
authorization for the county of Westchester's additional one percent
rate of sales and compensating use tax; and to amend chapter 272 of
the laws of 1991, amending the tax law relating to the method of
disposition of sales and compensating use tax revenue in Westchester
county and enacting the Westchester county spending limitation act, in
relation to revising the period of authorization for the county of
Westchester's additional one percent rate of sales and compensating
use tax
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Clause 42 of subparagraph (i) of the opening paragraph of
2 section 1210 of the tax law, as amended by section 1 of item EEE of
3 subpart C of part XXX of chapter 58 of the laws of 2020, is amended to
4 read as follows:
5 (42) the county of Westchester is hereby further authorized and
6 empowered to adopt and amend local laws, ordinances or resolutions
7 imposing such taxes at a rate that is one percent additional to the
8 three percent rate authorized above in this paragraph for such county
9 for the period beginning August first, two thousand nineteen and ending
10 November thirtieth, two thousand [twenty-three] twenty-five;
11 § 2. Subdivision e of section 4 and sections 5, 7 and 16 of chapter
12 272 of the laws of 1991, amending the tax law relating to the method of
13 disposition of sales and compensating use tax revenue in Westchester
14 county and enacting the Westchester county spending limitation act, as
15 amended by section 2 of item EEE of subpart C of part XXX of chapter 58
16 of the laws of 2020, are amended to read as follows:
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10181-03-3
A. 6246--A 2
1 e. "Spending limitation" means the maximum amount of county spending
2 established in county fiscal years 1992, 1993, 1994, 1995, 1996, 1997,
3 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008, 2009,
4 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017, 2018, 2019, 2020, 2021,
5 2022 [and], 2023, 2024 and 2025.
6 § 5. Establishment of annual spending limitation. a. For county fiscal
7 years 1992, 1993, 1994, 1995, 1996, 1997, 1998, 1999, 2000, 2001, 2002,
8 2003, 2004, 2005, 2006, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014,
9 2015, 2016, 2017, 2018, 2019, 2020, 2021, 2022 [and], 2023, 2024 and
10 2025 there shall be in effect an annual spending limitation. The spend-
11 ing limitation shall be derived from a fixed percentage reflecting the
12 ratio of base year spending to county personal income. County personal
13 income for such calculation shall be for the period January 1, 1986
14 through December 31, 1986. Such percentage shall be applied to county
15 personal income for the period January 1, 1989 through December 31,
16 1989, to determine the spending limitation for county fiscal year 1992;
17 to determine the spending limitation for county fiscal year 1993, such
18 percentage shall be applied to county personal income for the period
19 January 1, 1990 through December 31, 1990; to determine the spending
20 limitation for county fiscal year 1994, such percentage shall be applied
21 to county personal income for the period January 1, 1991 through Decem-
22 ber 31, 1991; to determine the spending limitation for county fiscal
23 year 1995, such percentage shall be applied to county personal income
24 for the period January 1, 1992 through December 31, 1992; to determine
25 the spending limitation for county fiscal year 1996, such percentage
26 shall be applied to county personal income for the period January 1,
27 1993 through December 31, 1993; to determine the spending limitation for
28 county fiscal year 1997, such percentage shall be applied to county
29 personal income for the period January 1, 1994 through December 31,
30 1994; to determine the spending limitation for county fiscal year 1998,
31 such percentage shall be applied to county personal income for the peri-
32 od January 1, 1995 through December 31, 1995; to determine the spending
33 limitation for county fiscal year 1999, such percentage shall be applied
34 to county personal income for the period January 1, 1996 through Decem-
35 ber 31, 1996; to determine the spending limitation for county fiscal
36 year 2000, such percentage shall be applied to county personal income
37 for the period January 1, 1997 through December 31, 1997; to determine
38 the spending limitation for county fiscal year 2001, such percentage
39 shall be applied to county personal income for the period January 1,
40 1998 through December 31, 1998; to determine the spending limitation for
41 county fiscal year 2002, such percentage shall be applied to county
42 personal income for the period January 1, 1999 through December 31,
43 1999; to determine the spending limitation for county fiscal year 2003,
44 such percentage shall be applied to county personal income for the peri-
45 od January 1, 2000 through December 31, 2000; to determine the spending
46 limitation for county fiscal year 2004, such percentage shall be applied
47 to county personal income for the period January 1, 2001 through Decem-
48 ber 31, 2001; to determine the spending limitation for county fiscal
49 year 2005, such percentage shall be applied to county personal income
50 for the period January 1, 2002 through December 31, 2002; to determine
51 the spending limitation for county fiscal year 2006, such percentage
52 shall be applied to county personal income for the period January 1,
53 2003 through December 31, 2003; to determine the spending limitation for
54 the county fiscal year 2007, such percentage shall be applied to county
55 personal income for the period January 1, 2004 through December 31,
56 2004; to determine the spending limitation for the county fiscal year
A. 6246--A 3
1 2008, such percentage shall be applied to county personal income for the
2 period January 1, 2005 through December 31, 2005; to determine the
3 spending limitation for the county fiscal year 2009, such percentage
4 shall be applied to county personal income for the period January 1,
5 2006 through December 31, 2006; to determine the spending limitation for
6 the county fiscal year 2010, such percentage shall be applied to county
7 personal income for the period January 1, 2007 through December 31,
8 2007; to determine the spending limitation for the county fiscal year
9 2011, such percentage shall be applied to county personal income for the
10 period January 1, 2008 through December 31, 2008; to determine the
11 spending limitation for the county fiscal year 2012, such percentage
12 shall be applied to county personal income for the period January 1,
13 2009 through December 31, 2009; to determine the spending limitation for
14 the county fiscal year 2013, such percentage shall be applied to county
15 personal income for the period January 1, 2010 through December 31,
16 2010; to determine the spending limitation for the county fiscal year
17 2014, such percentage shall be applied to county personal income for the
18 period January 1, 2011 through December 31, 2011; to determine the
19 spending limitation for the county fiscal year 2015, such percentage
20 shall be applied to county personal income for the period January 1,
21 2012 through December 31, 2012; to determine the spending limitation for
22 county fiscal year 2016, such percentage shall be applied to the county
23 personal income for the period January 1, 2013 through December 31,
24 2013; to determine the spending limitation for the county fiscal year
25 2017, such percentage shall be applied to county personal income for the
26 period January 1, 2014 through December 31, 2014; and to determine the
27 spending limitation for county fiscal year 2018, such percentage shall
28 be applied to the county personal income for the period January 1, 2015
29 through December 31, 2015; to determine the spending limitation for the
30 county fiscal year 2019, such percentage shall be applied to county
31 personal income for the period January 1, 2016 through December 31,
32 2016; and to determine the spending limitation for county fiscal year
33 2020, such percentage shall be applied to the county personal income for
34 the period January 1, 2017 through December 31, 2017; and to determine
35 the spending limitation for the county fiscal year 2021, such percentage
36 shall be applied to county personal income for the period January 1,
37 2018 through December 31, 2018; and to determine the spending limitation
38 for the county fiscal year 2022, such percentage shall be applied to
39 county personal income for the period January 1, 2019 through December
40 31, 2019; and to determine the spending limitation for the county fiscal
41 year 2023, such percentage shall be applied to county personal income
42 for the period January 1, 2020 through December 31, 2020; and to deter-
43 mine the spending limitation for the county fiscal year 2024, such
44 percentage shall be applied to county personal income for the period
45 January 1, 2021 through December 31, 2021; and to determine the spending
46 limitation for the county fiscal year 2025, such percentage shall be
47 applied to county personal income for the period January 1, 2022 through
48 December 31, 2022.
49 b. The spending limitation shall serve as a statutory cap on county
50 spending to be reflected in the tentative budget as well as the enacted
51 budget for county fiscal years beginning in 1992.
52 § 7. Mandatory tax reduction. In the event that the county spending
53 subject to the spending limitation exceeds such limitation in the adop-
54 tive county budget for county fiscal year 1992, 1993, 1994, 1995, 1996,
55 1997, 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008,
56 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2016, 2017, 2018, 2019, 2020,
A. 6246--A 4
1 2021, 2022 [or], 2023, 2024 or 2025 then section 1262-b of the tax law
2 shall be repealed.
3 § 16. This act shall take effect immediately, provided, however, that
4 sections one through seven of this act shall be in full force and effect
5 until November 30, [2023] 2025.
6 § 3. This act shall take effect immediately; provided, however, that
7 the amendments to sections 4, 5 and 7 of chapter 272 of the laws of 1991
8 made by section two of this act shall not affect the expiration of such
9 sections and shall be deemed repealed therewith.
