|SAME AS||SAME AS S02772-A|
|Amd §3641, Ed L|
|Provides a $500,000 supplemental valuation impact grant to the West Valley central school district for the 2016 - 2017 school year.|
|02/23/2015||referred to real property taxation|
|01/06/2016||referred to real property taxation|
|02/08/2016||amend and recommit to real property taxation|
|02/08/2016||print number 5429a|
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NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A5429A SPONSOR: Giglio
TITLE OF BILL: An act to amend the education law, in relation to providing a supplemental valuation impact grant to the West Valley central school district   PURPOSE: To provide a $500,000 supplemental valuation impact grant to the West Valley central school district.   SUMMARY OF PROVISIONS: Section 3641, subdivision 3 of the Education Law is amended.   JUSTIFICATION: Within the boundaries of the West Valley Central School District is the West Valley Nuclear Demonstration project site. This site is located on approximately 3,300 acres in the Town of Ashford where West Valley is situated. Initially, in 1961, the site was created to commercially reprocess spent nuclear fuel. The operator of the site was Nuclear Fuel Services, Inc. (NFS). In the late 1970's, NFS determined that it was no longer feasible to pursue reprocessing. Since then the site has been in the process of being decommissioned. The New York State Energy Research and Development Authority (NYSERDA) is the owner of the facility. The real property tax school funding system that New York State uses to fund its public schools system disproportionately hurts West Valley, since they have little real property to tax, given that most of their land is state-owned, and as such is tax exempt, primarily as a result of the West Valley nuclear reprocessing project that folded. In addition, the School District is a small, rural, relatively poor area with little tax base to begin with. This situation is further magnified by an unwillingness of families to locate in the District due to fears associ- ated with living close to a nuclear facility couple with one of the highest tax rates in Cattaraugus County. West Valley School District assessment date for 2012 shows that $531,901,574 out of the district's estimated $628,380,834 assessed value is tax exempt. This equates to approximately 85% tax exempt lands. New York State-owned lands account for 94% of this exemption. If taxable, this nuclear site would provide over $2.7 million dollars of tax revenue each school year to the district. In addition, the school tax rate in the Town of Ashford would decrease from $37.62 per thousand to $5.45 per thousand. As a result of the high tax rate, which is 21 percent to 65 percent higher than contiguous districts, the District's current property owners pay a disproportionate share of school tax as compared to property owners in other districts. This makes purchasing a home cost prohibitive for young families, and is also a factor contributing to the District's 30.7 percent rate of decline in student enrollment between the 2005/06 and 2013/14 school years. Because of West Valley's unique situation, this bill was requested by the school district to help offset the loss of revenues that they incur due to their tax exempt lands.   LEGISLATIVE HISTORY: 2013/2014: A6018a (Giglio); 2011,2012: S.859A./A.1955A Referred to Education 2010: S.8189 Referred to Rules   FISCAL IMPLICATIONS: $500,000, subject to appropriation in the state budget.   EFFECTIVE DATE: Immediately.
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STATE OF NEW YORK ________________________________________________________________________ 5429--A 2015-2016 Regular Sessions IN ASSEMBLY February 23, 2015 ___________ Introduced by M. of A. GIGLIO -- read once and referred to the Committee on Real Property Taxation -- recommitted to the Committee on Real Property Taxation in accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the education law, in relation to providing a supple- mental valuation impact grant to the West Valley central school district The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 3 of section 3641 of the education law, as 2 added by section 29-a of part B of chapter 57 of the laws of 2008, para- 3 graph a as amended by section 31 of part A of chapter 57 of the laws of 4 2009, is amended to read as follows: 5 3. Supplemental valuation impact grants. a. In addition to apportion- 6 ments otherwise provided by section thirty-six hundred two of this arti- 7 cle, for aid payable in the two thousand [ eight] sixteen--two thousand 8 [ nine and two thousand nine--two thousand ten] seventeen school [ years] 9 year, the [ amounts] amount specified in [ paragraphs] paragraph c [ and d] 10 of this subdivision shall be paid for the purpose of providing addi- 11 tional funding for a school [ districts] district which [ have experienced12 a significant financial hardship caused by an extraordinary change in13 the taxable property valuation or extraordinary judgments resulting from14 tax certiorari proceedings] has more than eighty-three percent of its 15 real property classified as tax exempt. 16 b. The purpose of this subdivision is to provide financial assistance 17 to a school [ districts] district which [ have experienced a significant18 reduction in the taxable full value of the school district or extraor-19 dinary tax certiorari judgments] has more than eighty-three percent of 20 its real property classified as tax exempt. The legislature finds that 21 a school [ districts for which a judgment was made resulting from a taxEXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD06044-03-6A. 5429--A 2 1 certiorari proceeding which is larger than the total budget of the2 school district for school year two thousand seven--two thousand eight3 or for school districts] district which [ have observed a reduction of4 taxable real property of more than seventy-five percent between school5 year two thousand five--two thousand six and school year two thousand6 eight--two thousand nine] has more than eighty-three percent of its real 7 property classified as tax exempt during school year two thousand 8 sixteen--two thousand seventeen may benefit from temporary additional 9 assistance. 10 c. To the [ Barker central school district, there shall be paid one11 million three hundred thousand dollars ($1,300,000). Such grant shall be12 payable to the Barker central school district in accordance with the13 payment schedules contained in section thirty-six hundred nine-a of this14 article, notwithstanding any provision of law to the contrary.15 d. To the Haverstraw-Stony Point central school district, there shall16 be paid two million five hundred thousand dollars ($2,500,000). Such17 grant shall be payable to the Haverstraw-Stony Point central school18 district in accordance with the payment schedules contained in section19 thirty-six hundred nine-a of this article, notwithstanding any provision20 of law to the contrary] West Valley central school district, there shall 21 be paid five hundred thousand dollars ($500,000). Such grant shall be 22 payable to the West Valley central school district in accordance with 23 the payment schedules contained in section thirty-six hundred nine-a of 24 this article, notwithstanding any provision of law to the contrary. 25 § 2. This act shall take effect immediately.