A04088 Summary:

BILL NOA04088
 
SAME ASNo Same As
 
SPONSORKolb
 
COSPNSRAshby, Barclay, Blankenbush, Brabenec, Byrne, Crouch, DiPietro, Finch, Fitzpatrick, Friend, Garbarino, Giglio, Goodell, Hawley, Johns, Lalor, Lawrence, Malliotakis, McDonough, Miller B, Miller ML, Montesano, Morinello, Norris, Palmesano, Palumbo, Ra, Raia, Stec, Walsh, LiPetri, Salka, Smullen, Manktelow
 
MLTSPNSR
 
Amd part C §1, Chap 58 of 2005; add Art 11-A §§500 - 502, Soc Serv L; amd §§606 & 686, rpld §606 sub§ (c) ¶1-a, Tax L; amd §590, add §590-a, Lab L; add §54-n, St Fin L; add §2023-c, Ed L; add §§3-e & 3-f, Art 12-J §239-aaa, Gen Muni L; amd §23, Munic Home R L
 
Relates to a ten-year state takeover of the local share of Medicaid outside of New York city; provides a twenty-year state takeover of fifty percent of the local share of Medicaid in New York city; creates a commission to reform public assistance benefits; expands the state earned income tax credit from thirty percent to forty-five percent of the federal credit amount; offers the option for individuals to receive the state earned income tax credit in monthly installments; expands the child and dependent care tax credit; allows those receiving unemployment insurance to work part-time while still receiving a partial unemployment benefit; provides for state assumption of the growth in property taxes for school districts and local governments that remain under the real property tax cap; creates a real property tax redesign team required to produce recurring savings; and subjects New York city to the property tax cap.
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A04088 Actions:

BILL NOA04088
 
02/01/2019referred to ways and means
04/09/2019held for consideration in ways and means
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A04088 Committee Votes:

WAYS AND MEANS Chair:Weinstein DATE:04/09/2019AYE/NAY:22/10 Action: Held for Consideration
WeinsteinAyeBarclayNay
LentolAyeCrouchNay
SchimmingerAyeFitzpatrickNay
GanttExcusedHawleyNay
GlickAyeMalliotakisNay
NolanExcusedMontesanoNay
PretlowAyeRaNay
PerryExcusedBlankenbushNay
ColtonAyePalmesanoNay
CookAyeNorrisNay
CahillAye
AubryAye
ThieleAye
CusickAye
OrtizAye
BenedettoAye
WeprinAye
RodriguezAye
RamosAye
BraunsteinAye
McDonaldAye
RozicAye
SimotasAye
DinowitzAye
MillerAye

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A04088 Floor Votes:

There are no votes for this bill in this legislative session.
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A04088 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          4088
 
                               2019-2020 Regular Sessions
 
                   IN ASSEMBLY
 
                                    February 1, 2019
                                       ___________
 
        Introduced  by  M.  of  A.  KOLB, ASHBY, BARCLAY, BLANKENBUSH, BRABENEC,
          BYRNE,  CROUCH,  DiPIETRO,  FINCH,  FITZPATRICK,  FRIEND,   GARBARINO,
          GIGLIO,  GOODELL,  HAWLEY,  JOHNS, LALOR, LAWRENCE, MALLIOTAKIS, McDO-
          NOUGH, B. MILLER, M. L. MILLER, MONTESANO, MORINELLO, NORRIS, PALMESA-
          NO, PALUMBO, RA, RAIA, STEC, WALSH -- read once and  referred  to  the
          Committee on Ways and Means
 
        AN  ACT to amend chapter 58 of the laws of 2005, relating to authorizing
          reimbursements for  expenditures  made  by  or  on  behalf  of  social
          services  districts  for  medical assistance for needy persons and the
          administration thereof, in relation to providing for a ten-year  state
          takeover of the local share of medicaid outside of New York City (Part
          A); providing for a twenty-year state takeover of fifty percent of the
          local share of Medicaid in New York City (Part B); to amend the social
          services  law, in relation to creating the Commission to Reform Public
          Assistance Benefits (Part C); to amend the tax  law,  in  relation  to
          expanding  the  state  earned income tax credit from thirty percent to
          forty-five percent of the federal credit amount (Part D); to amend the
          tax law, in relation to offering the option for individuals to receive
          the state earned income tax credit in monthly installments  (Part  E);
          to amend the tax law, in relation to expanding the child and dependent
          care tax credit; and to repeal certain provisions of such law relating
          thereto  (Part  F);  to  amend  the labor law, in relation to allowing
          those receiving unemployment insurance to work part-time  while  still
          receiving  a partial unemployment benefit (Part G); to amend the state
          finance law, the education law, and  the  general  municipal  law,  in
          relation to the state assuming the growth in property taxes for school
          districts  and  local  governments that remain under the real property
          tax cap (Part H); to amend the general municipal law, in  relation  to
          creating a property tax redesign team; and providing for the repeal of
          such  provisions  upon  expiration  thereof (Part I); and to amend the
          general municipal law and the municipal home rule law, in relation  to
          establishing  limitations upon real property tax levies in cities with
          a population of one million or more (Part J)
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06159-01-9

        A. 4088                             2
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Legislative  findings  and intent. New York State is at a
     2  very critical moment in its history. Many  recent  articles  have  cited
     3  information  provided by the United States Census Bureau that shows over
     4  one million people have left the New York area since 2010, and this  can
     5  be  attributed  to  the high cost of living forced on New York taxpayers
     6  through high taxes and a lack of  job  opportunities.  Our  high  taxes,
     7  particularly  our  high  property  taxes,  have  contributed to New York
     8  consistently being ranked near the bottom when compared to other  states
     9  for  business tax climate and total combined tax burden. By doing little
    10  to reform the structural reasons behind the high cost of living  in  New
    11  York,  the  state government has failed to make life better for families
    12  and businesses in every region.
    13    To compound this problem, New York spends  a  high  amount  on  public
    14  assistance  programs  that are meant to help citizens escape poverty and
    15  become self-sufficient, but include income thresholds that  create  what
    16  are known as "benefit cliffs".  These benefit cliffs occur when an indi-
    17  vidual  or  family  receiving  public  benefits  hits a specified dollar
    18  amount in income and immediately loses eligibility to receive a  certain
    19  public  assistance  benefit.  When this happens, the state is creating a
    20  situation where New Yorkers would actually see a reduction in real take-
    21  home pay because the value of the public assistance  benefit  they  will
    22  lose  is worth more than the increased income they would receive through
    23  working. This means that low-income New Yorkers,  through  no  fault  of
    24  their  own,  will  find  it difficult to accept a job, more hours, or an
    25  increase in pay as the financial well-being of their family  is  threat-
    26  ened  by  working  more.  Work should be incentivized, and no New Yorker
    27  should ever be faced with a situation where working hard and  earning  a
    28  larger salary can actually lead to a decrease in real take-home pay.
    29    These  problems require state government officials to make hard choic-
    30  es, and make long-term structural changes in order to see real  systemic
    31  changes to our economy in the long run. Therefore, the legislature finds
    32  it  necessary  to implement a ten-year state takeover of the local share
    33  of Medicaid outside of New York City, create the  Commission  to  Reform
    34  Public  Assistance  Benefits to implement a new payment method to eradi-
    35  cate the benefit cliffs, expand the state earned income tax credit  from
    36  thirty percent to forty-five percent of the federal credit amount, offer
    37  the option for individuals to receive the state earned income tax credit
    38  in monthly installments, expand the child and dependent care tax credit,
    39  allow  those  receiving  unemployment  insurance to work part-time while
    40  still receiving a partial unemployment benefit,  assume  the  growth  in
    41  property  taxes  for  school districts and local governments that remain
    42  under the real property tax cap to take the burden  off  of  homeowners,
    43  create  a property tax redesign team that will produce recurring savings
    44  and subject New York City to the real property tax cap.    These  struc-
    45  tural  changes  will  help  make  New  York more competitive, and a more
    46  attractive place to build a business and raise a family. They will  also
    47  provide  low-income  New Yorkers with additional opportunities to better
    48  their situation and rise out of poverty.
    49    § 2. This act enacts into law major components of legislation  provid-
    50  ing for a ten-year state takeover of the local share of Medicaid outside
    51  of  New  York  City, providing for a twenty-year state takeover of fifty
    52  percent of the local share of Medicaid in New York  City,  creating  the
    53  Commission  to  Reform  Public  Assistance Benefits, expanding the state

        A. 4088                             3
 
     1  earned income tax credit from thirty percent to  forty-five  percent  of
     2  the  federal  credit  amount,  offering  the  option  for individuals to
     3  receive the state earned income  tax  credit  in  monthly  installments,
     4  expanding  the  child  and  dependent  care  tax  credit, allowing those
     5  receiving unemployment insurance to work part-time while still receiving
     6  a partial unemployment benefit, assuming the growth  in  property  taxes
     7  for  school  districts  and local governments that remain under the real
     8  property tax cap to take the burden off of homeowners, creating a  prop-
     9  erty  tax  redesign  team  required  to  produce  recurring  savings and
    10  subjecting New York City to the real property tax cap. Each component is
    11  wholly contained within a Part identified as  Parts  A  through  J.  The
    12  effective  date for each particular provision contained within such Part
    13  is set forth in the last section of such  Part.  Any  provision  in  any
    14  section  contained  within  a  Part, including the effective date of the
    15  Part, which makes reference to a section "of this  act",  when  used  in
    16  connection  with  that particular component, shall be deemed to mean and
    17  refer to the corresponding section of the Part in  which  it  is  found.
    18  Section  four  of this act sets forth the general effective date of this
    19  act.
 
    20                                   PART A
 
    21    Section 1. Subdivision (c) of section 1 of part C of chapter 58 of the
    22  laws of 2005 relating to  authorizing  reimbursements  for  expenditures
    23  made by or on behalf of social services districts for medical assistance
    24  for  needy  persons and the administration thereof is amended and twelve
    25  new subdivisions (c-2), (c-3), (c-4), (c-5), (c-6), (c-7), (c-8), (c-9),
    26  (c-10), (c-11),(c-12) and (c-13) are added to read as follows:
    27    (c) Commencing with the  calendar  year  beginning  January  1,  2006,
    28  calendar  year  social  services district medical assistance expenditure
    29  amounts for each social services district shall be calculated by  multi-
    30  plying  the  results of the calculations performed pursuant to paragraph
    31  (b) of this section by a non-compounded trend factor, as follows:
    32    (i) 2006 (January 1, 2006 through December 31, 2006):  3.5%;
    33    (ii) 2007 (January 1, 2007 through December 31, 2007):   6.75%  (3.25%
    34  plus the prior year's 3.5%);
    35    (iii)  2008  (January  1,  2008 through December 31, 2008):  9.75% (3%
    36  plus the prior year's 6.75%);
    37    (iv) 2009 (January 1,  2009  through  December  31,  2009),  and  each
    38  succeeding  calendar  year  through  2020:  prior  year's  trend  factor
    39  percentage plus 3%.
    40    (c-2) Notwithstanding the provisions of section 368-a  of  the  social
    41  services  law, or any other provision of law, commencing with the period
    42  January 1, 2020 through December 31, 2020, calendar year social services
    43  district medical assistance expenditure amounts for each social services
    44  district shall be reduced by 10% from the  2019  expenditures.  No  less
    45  than 100% of the annual savings from this medical assistance expenditure
    46  reduction,  compared  to  the prior year medical assistance expenditure,
    47  shall be used for property tax levy reductions, or property tax rebates,
    48  effective in the local government's 2021 fiscal year. This section shall
    49  not apply to a city with a population of one million or more.
    50    (c-3) Notwithstanding the provisions of section 368-a  of  the  social
    51  services  law, or any other provision of law, commencing with the period
    52  January 1, 2021 through December 31, 2021, calendar year social services
    53  district medical assistance expenditure amounts for each social services
    54  district shall be reduced by 20% from the  2019  expenditures.  No  less

        A. 4088                             4
 
     1  than 100% of the annual savings from this medical assistance expenditure
     2  reduction,  compared  to  the prior year medical assistance expenditure,
     3  shall be used for property tax levy reductions, or property tax rebates,
     4  effective in the local government's 2022 fiscal year. This section shall
     5  not apply to a city with a population of one million or more.
     6    (c-4)  Notwithstanding  the  provisions of section 368-a of the social
     7  services law, or any other provision of law, commencing with the  period
     8  January 1, 2022 through December 31, 2022, calendar year social services
     9  district medical assistance expenditure amounts for each social services
    10  district  shall  be  reduced  by 30% from the 2019 expenditures. No less
    11  than 100% of the annual savings from this medical assistance expenditure
    12  reduction, compared to the prior year  medical  assistance  expenditure,
    13  shall be used for property tax levy reductions, or property tax rebates,
    14  effective in the local government's 2023 fiscal year. This section shall
    15  not apply to a city with a population of one million or more.
    16    (c-5)  Notwithstanding  the  provisions of section 368-a of the social
    17  services law, or any other provision of law, commencing with the  period
    18  January 1, 2023 through December 31, 2023, calendar year social services
    19  district medical assistance expenditure amounts for each social services
    20  district  shall  be  reduced  by 40% from the 2019 expenditures. No less
    21  than 100% of the annual savings from this medical assistance expenditure
    22  reduction, compared to the prior year  medical  assistance  expenditure,
    23  shall be used for property tax levy reductions, or property tax rebates,
    24  effective in the local government's 2024 fiscal year. This section shall
    25  not apply to a city with a population of one million or more.
    26    (c-6)  Notwithstanding  the  provisions of section 368-a of the social
    27  services law, or any other provision of law, commencing with the  period
    28  January 1, 2024 through December 31, 2024, calendar year social services
    29  district medical assistance expenditure amounts for each social services
    30  district  shall  be reduced by 50% from the 2019 expenditures; and shall
    31  remain eliminated each year thereafter. No less than 100% of the  annual
    32  savings  from this medical assistance expenditure reduction, compared to
    33  the prior year medical assistance expenditure, shall be used for proper-
    34  ty tax levy reductions, or property tax rebates, effective in the  local
    35  government's  2025  fiscal  year. This section shall not apply to a city
    36  with a population of one million or more.
    37    (c-7) Notwithstanding the provisions of section 368-a  of  the  social
    38  services  law, or any other provision of law, commencing with the period
    39  January 1, 2025 through December 31, 2025, calendar year social services
    40  district medical assistance expenditure amounts for each social services
    41  district shall be reduced by 60% from the 2019 expenditures;  and  shall
    42  remain  eliminated each year thereafter. No less than 100% of the annual
    43  savings from this medical assistance expenditure reduction, compared  to
    44  the prior year medical assistance expenditure, shall be used for proper-
    45  ty  tax levy reductions, or property tax rebates, effective in the local
    46  government's 2026 fiscal year. This section shall not apply  to  a  city
    47  with a population of one million or more.
    48    (c-8)  Notwithstanding  the  provisions of section 368-a of the social
    49  services law, or any other provision of law, commencing with the  period
    50  January 1, 2026 through December 31, 2026, calendar year social services
    51  district medical assistance expenditure amounts for each social services
    52  district  shall  be reduced by 70% from the 2019 expenditures; and shall
    53  remain eliminated each year thereafter. No less than 100% of the  annual
    54  savings  from this medical assistance expenditure reduction, compared to
    55  the prior year medical assistance expenditure, shall be used for proper-
    56  ty tax levy reductions, or property tax rebates, effective in the  local

        A. 4088                             5
 
     1  government's  2027  fiscal  year. This section shall not apply to a city
     2  with a population of one million or more.
     3    (c-9)  Notwithstanding  the  provisions of section 368-a of the social
     4  services law, or any other provision of law, commencing with the  period
     5  January 1, 2027 through December 31, 2027, calendar year social services
     6  district medical assistance expenditure amounts for each social services
     7  district  shall  be reduced by 80% from the 2019 expenditures; and shall
     8  remain eliminated each year thereafter. No less than 100% of the  annual
     9  savings  from this medical assistance expenditure reduction, compared to
    10  the prior year medical assistance expenditure, shall be used for proper-
    11  ty tax levy reductions, or property tax rebates, effective in the  local
    12  government's  2028  fiscal  year. This section shall not apply to a city
    13  with a population of one million or more.
    14    (c-10) Notwithstanding the provisions of section 368-a of  the  social
    15  services  law, or any other provision of law, commencing with the period
    16  January 1, 2028 through December 31, 2028, calendar year social services
    17  district medical assistance expenditure amounts for each social services
    18  district shall be reduced by 90% from the 2019 expenditures;  and  shall
    19  remain  eliminated each year thereafter. No less than 100% of the annual
    20  savings from this medical assistance expenditure reduction, compared  to
    21  the prior year medical assistance expenditure, shall be used for proper-
    22  ty  tax levy reductions, or property tax rebates, effective in the local
    23  government's 2029 fiscal year. This section shall not apply  to  a  city
    24  with a population of one million or more.
    25    (c-11)  Notwithstanding  the provisions of section 368-a of the social
    26  services law, or any other provision of law, commencing with the  period
    27  January 1, 2029 through December 31, 2029, calendar year social services
    28  district medical assistance expenditure amounts for each social services
    29  district  shall be reduced by 100% from the 2019 expenditures; and shall
    30  remain eliminated each year thereafter. No less than 100% of the  annual
    31  savings  from this medical assistance expenditure reduction, compared to
    32  the prior year medical assistance expenditure, shall be used for proper-
    33  ty tax levy reductions, or property tax rebates, effective in the  local
    34  government's  2030  fiscal  year. This section shall not apply to a city
    35  with a population of one million or more.
    36    (c-12) Notwithstanding the provisions of section seven  of  this  act,
    37  any  county  that  opted  into the local sales tax intercept methodology
    38  shall receive a proportionate reduction in the sales  tax  intercept  as
    39  described  in  subdivisions  (c-2),  (c-3),  (c-4), (c-5), (c-6), (c-7),
    40  (c-8), (c-9), (c-10) and (c-11) of this section and use these recaptured
    41  funds for property tax reductions in the  same  manner  as  other  local
    42  jurisdictions as described.
    43    (c-13)  The  minimum  amount  of  annual  property tax levy reductions
    44  resulting from savings achieved as defined in subdivisions (c-2), (c-3),
    45  (c-4), (c-5), (c-6), (c-7), (c-8), (c-9),  (c-10)  and  (c-11)  of  this
    46  section, shall be determined by the state comptroller and transmitted to
    47  each local government one hundred eighty days in advance of the start of
    48  the fiscal year for which the property tax reduction is to be effective.
    49    § 2. This act shall take effect immediately.
 
    50                                   PART B
 
    51    Section  1.  Notwithstanding the provisions of part C of chapter 58 of
    52  the laws of 2005 and section 368-a of the social services  law,  or  any
    53  other  provision  of  law, in cities with a population of one million or
    54  more:

        A. 4088                             6
 
     1    (a) commencing with the period January 1, 2020  through  December  31,
     2  2020, calendar year social services district medical assistance expendi-
     3  ture  amounts for each social services district shall be reduced by 2.5%
     4  from the 2019 expenditures. No less than 100% of the annual savings from
     5  this  medical  assistance  expenditure  reduction, compared to the prior
     6  year medical assistance expenditure, shall be used for property tax levy
     7  reductions, or property tax rebates, effective in the local government's
     8  2021 fiscal year;
     9    (b) commencing with the period January 1, 2021  through  December  31,
    10  2021, calendar year social services district medical assistance expendi-
    11  ture  amounts  for  each social services district shall be reduced by 5%
    12  from the 2019 expenditures. No less than 100% of the annual savings from
    13  this medical assistance expenditure reduction,  compared  to  the  prior
    14  year medical assistance expenditure, shall be used for property tax levy
    15  reductions, or property tax rebates, effective in the local government's
    16  2022 fiscal year;
    17    (c)  commencing  with  the period January 1, 2022 through December 31,
    18  2022, calendar year social services district medical assistance expendi-
    19  ture amounts for each social services district shall be reduced by  7.5%
    20  from the 2019 expenditures. No less than 100% of the annual savings from
    21  this  medical  assistance  expenditure  reduction, compared to the prior
    22  year medical assistance expenditure, shall be used for property tax levy
    23  reductions, or property tax rebates, effective in the local government's
    24  2023 fiscal year;
    25    (d) commencing with the period January 1, 2023  through  December  31,
    26  2023, calendar year social services district medical assistance expendi-
    27  ture  amounts  for each social services district shall be reduced by 10%
    28  from the 2019 expenditures. No less than 100% of the annual savings from
    29  this medical assistance expenditure reduction,  compared  to  the  prior
    30  year medical assistance expenditure, shall be used for property tax levy
    31  reductions, or property tax rebates, effective in the local government's
    32  2024 fiscal year;
    33    (e)  commencing  with  the period January 1, 2024 through December 31,
    34  2024, calendar year social services district medical assistance expendi-
    35  ture amounts for each social services district shall be reduced by 12.5%
    36  from the 2019 expenditures; and shall remain eliminated each year there-
    37  after. No less than 100% of the annual savings from this medical assist-
    38  ance expenditure reduction, compared to the prior year  medical  assist-
    39  ance  expenditure,  shall  be  used for property tax levy reductions, or
    40  property tax rebates, effective in the local  government's  2025  fiscal
    41  year;
    42    (f)  commencing  with  the period January 1, 2025 through December 31,
    43  2025, calendar year social services district medical assistance expendi-
    44  ture amounts for each social services district shall be reduced  by  15%
    45  from the 2019 expenditures; and shall remain eliminated each year there-
    46  after. No less than 100% of the annual savings from this medical assist-
    47  ance  expenditure  reduction, compared to the prior year medical assist-
    48  ance expenditure, shall be used for property  tax  levy  reductions,  or
    49  property  tax  rebates,  effective in the local government's 2026 fiscal
    50  year;
    51    (g) commencing with the period January 1, 2026  through  December  31,
    52  2026, calendar year social services district medical assistance expendi-
    53  ture amounts for each social services district shall be reduced by 17.5%
    54  from the 2019 expenditures; and shall remain eliminated each year there-
    55  after. No less than 100% of the annual savings from this medical assist-
    56  ance  expenditure  reduction, compared to the prior year medical assist-

        A. 4088                             7
 
     1  ance expenditure, shall be used for property  tax  levy  reductions,  or
     2  property  tax  rebates,  effective in the local government's 2027 fiscal
     3  year;
     4    (h)  commencing  with  the period January 1, 2027 through December 31,
     5  2027, calendar year social services district medical assistance expendi-
     6  ture amounts for each social services district shall be reduced  by  20%
     7  from the 2019 expenditures; and shall remain eliminated each year there-
     8  after. No less than 100% of the annual savings from this medical assist-
     9  ance  expenditure  reduction, compared to the prior year medical assist-
    10  ance expenditure, shall be used for property  tax  levy  reductions,  or
    11  property  tax  rebates,  effective in the local government's 2028 fiscal
    12  year;
    13    (i) commencing with the period January 1, 2028  through  December  31,
    14  2028, calendar year social services district medical assistance expendi-
    15  ture amounts for each social services district shall be reduced by 22.5%
    16  from the 2019 expenditures; and shall remain eliminated each year there-
    17  after. No less than 100% of the annual savings from this medical assist-
    18  ance  expenditure  reduction, compared to the prior year medical assist-
    19  ance expenditure, shall be used for property  tax  levy  reductions,  or
    20  property  tax  rebates,  effective in the local government's 2029 fiscal
    21  year;
    22    (j) commencing with the period January 1, 2029  through  December  31,
    23  2029, calendar year social services district medical assistance expendi-
    24  ture  amounts  for each social services district shall be reduced by 25%
    25  from the 2019 expenditures; and shall remain eliminated each year there-
    26  after. No less than 100% of the annual savings from this medical assist-
    27  ance expenditure reduction, compared to the prior year  medical  assist-
    28  ance  expenditure,  shall  be  used for property tax levy reductions, or
    29  property tax rebates, effective in the local  government's  2030  fiscal
    30  year;
    31    (k)  commencing  with  the period January 1, 2030 through December 31,
    32  2030, calendar year social services district medical assistance expendi-
    33  ture amounts for each social services district shall be reduced by 27.5%
    34  from the 2019 expenditures; and shall remain eliminated each year there-
    35  after. No less than 100% of the annual savings from this medical assist-
    36  ance expenditure reduction, compared to the prior year  medical  assist-
    37  ance  expenditure,  shall  be  used for property tax levy reductions, or
    38  property tax rebates, effective in the local  government's  2031  fiscal
    39  year;
    40    (l)  commencing  with  the period January 1, 2031 through December 31,
    41  2031, calendar year social services district medical assistance expendi-
    42  ture amounts for each social services district shall be reduced  by  30%
    43  from the 2019 expenditures; and shall remain eliminated each year there-
    44  after. No less than 100% of the annual savings from this medical assist-
    45  ance  expenditure  reduction, compared to the prior year medical assist-
    46  ance expenditure, shall be used for property  tax  levy  reductions,  or
    47  property  tax  rebates,  effective in the local government's 2032 fiscal
    48  year;
    49    (m) commencing with the period January 1, 2032  through  December  31,
    50  2032, calendar year social services district medical assistance expendi-
    51  ture amounts for each social services district shall be reduced by 32.5%
    52  from the 2019 expenditures; and shall remain eliminated each year there-
    53  after. No less than 100% of the annual savings from this medical assist-
    54  ance  expenditure  reduction, compared to the prior year medical assist-
    55  ance expenditure, shall be used for property  tax  levy  reductions,  or

        A. 4088                             8
 
     1  property  tax  rebates,  effective in the local government's 2033 fiscal
     2  year;
     3    (n)  commencing  with  the period January 1, 2033 through December 31,
     4  2033, calendar year social services district medical assistance expendi-
     5  ture amounts for each social services district shall be reduced  by  35%
     6  from the 2019 expenditures; and shall remain eliminated each year there-
     7  after. No less than 100% of the annual savings from this medical assist-
     8  ance  expenditure  reduction, compared to the prior year medical assist-
     9  ance expenditure, shall be used for property  tax  levy  reductions,  or
    10  property  tax  rebates,  effective in the local government's 2034 fiscal
    11  year;
    12    (o) commencing with the period January 1, 2034  through  December  31,
    13  2034, calendar year social services district medical assistance expendi-
    14  ture amounts for each social services district shall be reduced by 37.5%
    15  from the 2019 expenditures; and shall remain eliminated each year there-
    16  after. No less than 100% of the annual savings from this medical assist-
    17  ance  expenditure  reduction, compared to the prior year medical assist-
    18  ance expenditure, shall be used for property  tax  levy  reductions,  or
    19  property  tax  rebates,  effective in the local government's 2035 fiscal
    20  year;
    21    (p) commencing with the period January 1, 2035  through  December  31,
    22  2035, calendar year social services district medical assistance expendi-
    23  ture  amounts  for each social services district shall be reduced by 40%
    24  from the 2019 expenditures; and shall remain eliminated each year there-
    25  after. No less than 100% of the annual savings from this medical assist-
    26  ance expenditure reduction, compared to the prior year  medical  assist-
    27  ance  expenditure,  shall  be  used for property tax levy reductions, or
    28  property tax rebates, effective in the local  government's  2036  fiscal
    29  year;
    30    (q)  commencing  with  the period January 1, 2036 through December 31,
    31  2036, calendar year social services district medical assistance expendi-
    32  ture amounts for each social services district shall be reduced by 42.5%
    33  from the 2019 expenditures; and shall remain eliminated each year there-
    34  after. No less than 100% of the annual savings from this medical assist-
    35  ance expenditure reduction, compared to the prior year  medical  assist-
    36  ance  expenditure,  shall  be  used for property tax levy reductions, or
    37  property tax rebates, effective in the local  government's  2037  fiscal
    38  year;
    39    (r)  commencing  with  the period January 1, 2037 through December 31,
    40  2037, calendar year social services district medical assistance expendi-
    41  ture amounts for each social services district shall be reduced  by  45%
    42  from the 2019 expenditures; and shall remain eliminated each year there-
    43  after. No less than 100% of the annual savings from this medical assist-
    44  ance  expenditure  reduction, compared to the prior year medical assist-
    45  ance expenditure, shall be used for property  tax  levy  reductions,  or
    46  property  tax  rebates,  effective in the local government's 2038 fiscal
    47  year;
    48    (s) commencing with the period January 1, 2038  through  December  31,
    49  2038, calendar year social services district medical assistance expendi-
    50  ture amounts for each social services district shall be reduced by 47.5%
    51  from the 2019 expenditures; and shall remain eliminated each year there-
    52  after. No less than 100% of the annual savings from this medical assist-
    53  ance  expenditure  reduction, compared to the prior year medical assist-
    54  ance expenditure, shall be used for property  tax  levy  reductions,  or
    55  property  tax  rebates,  effective in the local government's 2039 fiscal
    56  year;

        A. 4088                             9
 
     1    (t) commencing with the period January 1, 2039  through  December  31,
     2  2039, calendar year social services district medical assistance expendi-
     3  ture  amounts  for each social services district shall be reduced by 50%
     4  from the 2019 expenditures; and shall remain eliminated each year there-
     5  after. No less than 100% of the annual savings from this medical assist-
     6  ance  expenditure  reduction, compared to the prior year medical assist-
     7  ance expenditure, shall be used for property  tax  levy  reductions,  or
     8  property  tax  rebates,  effective in the local government's 2040 fiscal
     9  year.
    10    § 2. Notwithstanding the provisions of section  seven  of  part  C  of
    11  chapter  58  of  the  laws of 2005, any county that opted into the local
    12  sales tax intercept methodology shall receive a proportionate  reduction
    13  in  the  sales tax intercept as described in section one of this act and
    14  use those recaptured funds for  property  tax  reductions  in  the  same
    15  manner as other local jurisdictions as described.
    16    § 3. The minimum amount of annual property tax levy reductions result-
    17  ing  from  savings achieved as defined in section one of this act, shall
    18  be determined by the state comptroller and  transmitted  to  each  local
    19  government one hundred eighty days in advance of the start of the fiscal
    20  year for which the property tax reduction is to be effective.
    21    § 4. This act shall take effect immediately.
 
    22                                   PART C
 
    23    Section  1. The social services law is amended by adding a new article
    24  11-A to read as follows:
    25                                ARTICLE 11-A
    26               COMMISSION TO REFORM PUBLIC ASSISTANCE BENEFITS
    27  Section 500. Definitions.
    28          501. Commission to reform public assistance benefits.
    29          502. Powers and duties of the commission.
    30    § 500. Definitions. As used in this article:
    31    1. "Commission" shall mean the commission to reform public  assistance
    32  benefits established pursuant to this article.
    33    2. "Public assistance benefits" shall include family assistance, safe-
    34  ty  net  assistance,  veteran  assistance,  medical assistance for needy
    35  persons, institutional care for adults, child  care  granted  at  public
    36  expense,  and  any other form of governmental assistance for individuals
    37  and/or families as determined by the commission.
    38    3. "Real take-home pay" shall mean the total amount of income  for  an
    39  individual  and/or  family  when  including  public assistance benefits,
    40  salary earned through employment and any other form of compensation.
    41    § 501. Commission to reform public assistance benefits. 1.   There  is
    42  hereby  created  the  commission  to  reform public assistance benefits,
    43  which shall consist of the following  seventeen  members  who  shall  be
    44  appointed within thirty days after the effective date of this section:
    45    a.  The commissioner of the office of temporary and disability assist-
    46  ance or his or her designee and shall serve as the  chairperson  of  the
    47  commission;
    48    b.  The  commissioner of the office of children and family services or
    49  his or her designee;
    50    c. The commissioner of labor or his or her designee;
    51    d. The commissioner of health or his or her designee;
    52    e. The director of the division of budget or his or her designee;
    53    f. Three members appointed by the temporary president of the senate;
    54    g. Three members appointed by the speaker of the assembly;

        A. 4088                            10

     1    h. Three members appointed by the minority leader of the senate;
     2    i. Three members appointed by the minority leader of the assembly.
     3    2.  No member of the commission shall be disqualified from holding any
     4  public office or employment, nor shall he or she forfeit any such office
     5  or employment by virtue of his or her appointment pursuant to this arti-
     6  cle. Members of the commission shall receive no compensation  for  their
     7  service,  but  shall  be  allowed  their  actual  and necessary expenses
     8  incurred in the performance of their functions pursuant to this article.
     9  A member of the commission may be removed by  the  appointing  authority
    10  only for good cause, after notice and opportunity to be heard. Vacancies
    11  shall be filled in the same manner as original appointments.
    12    §  502.  Powers  and duties of the commission. 1. The commission shall
    13  conduct a study to examine the current payment method for public assist-
    14  ance benefits and identify any and all income levels that exist where an
    15  individual or family would become ineligible for any  public  assistance
    16  benefit.
    17    a.  The  commission  may  require  the  production of any documents or
    18  information the commission deems reasonably necessary  to  conduct  this
    19  study.
    20    b.  The  commission shall, within ninety days of the effective date of
    21  this article, issue a report providing details on the  results  of  such
    22  study  to the governor and the legislature, and the report shall also be
    23  made widely available to the public via, among other things, publication
    24  on a website maintained  by  the  office  of  temporary  and  disability
    25  assistance.
    26    2.  Beginning  within ten days after the issuance of the report issued
    27  pursuant to subdivision one of this section, the commission  shall  hold
    28  at  least  one  public  hearing  in  each of the following regions: Long
    29  Island; New York City; Hudson Valley; Capital District;  North  Country;
    30  Central New York; Finger Lakes; Western New York; and Southern Tier.
    31    a. During the public hearings, the commission shall hear the testimony
    32  of  voluntary  witnesses,  may compel the testimony of witnesses and may
    33  require the production of any documents or  information  the  commission
    34  deems reasonably necessary to carry out its responsibilities.
    35    b.  After review, study, and receipt of public comment, the commission
    36  shall issue a report within one hundred eighty  days  of  the  effective
    37  date  of  this  article  that  includes  a new payment method for public
    38  assistance benefits that ensures  an  individual's  or  family's  public
    39  assistance  benefits  are not eliminated at specified income levels, but
    40  rather decreased to ensure an individual's or  family's  real  take-home
    41  pay increases as a result of any increase in income due to employment.
    42    c.  Notwithstanding any other provision of law, such payment method as
    43  determined by the commission shall have the force of  law  unless  acted
    44  upon by the legislature.
    45    § 2. This act shall take effect immediately.
 
    46                                   PART D
 
    47    Section  1.  Paragraph  1  of subsection (d) of section 606 of the tax
    48  law, as amended by section 1 of part Q of chapter  63  of  the  laws  of
    49  2000, is amended to read as follows:
    50    (1)  General.  A taxpayer shall be allowed a credit as provided herein
    51  equal to (i) the applicable  percentage  of  the  earned  income  credit
    52  allowed  under  section  thirty-two of the internal revenue code for the
    53  same taxable year, (ii) reduced by the credit permitted under subsection
    54  (b) of this section.

        A. 4088                            11
 
     1    The applicable percentage shall be (i) seven and one-half percent  for
     2  taxable  years  beginning  in  nineteen  hundred  ninety-four,  (ii) ten
     3  percent for taxable years beginning  in  nineteen  hundred  ninety-five,
     4  (iii)  twenty percent for taxable years beginning after nineteen hundred
     5  ninety-five  and  before  two  thousand,  (iv)  twenty-two  and one-half
     6  percent for taxable years beginning in  two  thousand,  (v)  twenty-five
     7  percent  for  taxable  years beginning in two thousand one, (vi) twenty-
     8  seven and one-half percent for taxable years beginning in  two  thousand
     9  two, [and] (vii) thirty percent for taxable years beginning in two thou-
    10  sand three, and (viii) forty-five percent for taxable years beginning in
    11  two  thousand  nineteen  and  thereafter. Provided, however, that if the
    12  reversion event, as defined in this paragraph,  occurs,  the  applicable
    13  percentage  shall be twenty percent for taxable years ending on or after
    14  the date on which the reversion  event  occurred.  The  reversion  event
    15  shall  be  deemed  to have occurred on the date on which federal action,
    16  including but not limited to, administrative,  statutory  or  regulatory
    17  changes, materially reduces or eliminates New York state's allocation of
    18  the  federal  temporary  assistance  for  needy families block grant, or
    19  materially reduces the ability of the state to spend  federal  temporary
    20  assistance  for  needy  families block grant funds for the earned income
    21  credit or to apply state general fund  spending  on  the  earned  income
    22  credit  toward  the  temporary assistance for needy families block grant
    23  maintenance of effort requirement, and the commissioner of the office of
    24  temporary and disability assistance shall certify the date of such event
    25  to the commissioner of taxation and finance, the director of  the  divi-
    26  sion of the budget, the speaker of the assembly and the temporary presi-
    27  dent of the senate.
    28    § 2. This act shall take effect immediately and shall apply to taxable
    29  years beginning on and after January 1, 2019.
 
    30                                   PART E
 
    31    Section  1.  Section  686  of  the  tax law is amended by adding a new
    32  subsection (j) to read as follows:
    33    (j) Earned income tax  credit.--A  taxpayer  eligible  to  receive  an
    34  earned  income  tax  credit  pursuant  to  subsection (d) of section six
    35  hundred six of this article or an  enhanced  earned  income  tax  credit
    36  pursuant  to subsection (d-1) of section six hundred six of this article
    37  shall be prescribed the option to receive such credit in  the  following
    38  manner:  (i)  for amounts equal to or less than two hundred dollars, the
    39  payment or refund shall be made in a  lump  sum,  (ii)  for  amounts  in
    40  excess  of  two  hundred dollars and less than two thousand four hundred
    41  dollars, the payment or refund shall be two hundred dollars a month  for
    42  the  number  of  months equal to the total amount thereof divided by two
    43  hundred and rounded down to the nearest whole number, and the  remaining
    44  balance of such payment or refund shall be made in the first month ther-
    45  eafter, and (iii) for amounts equal to or greater than two thousand four
    46  hundred  dollars,  the  payment or refund shall be paid in equal monthly
    47  payments equal to the total amount thereof divided by twelve.
    48    § 2. This act shall take effect on the one hundred twentieth day after
    49  it shall have become a law. Effective immediately, the  commissioner  of
    50  taxation  and  finance  is  authorized  to  make any addition, amendment
    51  and/or repeal of any rule or regulation necessary for the implementation
    52  of this act on its effective date on or before such date.
 
    53                                   PART F

        A. 4088                            12
 
     1    Section 1. Paragraph 1 of subsection (c) of section  606  of  the  tax
     2  law,  as  amended  by  section  1 of part M of chapter 63 of the laws of
     3  2000, is amended to read as follows:
     4    (1)  A  taxpayer shall be allowed a credit as provided herein equal to
     5  the applicable percentage of the credit allowable under section  twenty-
     6  one  of  the  internal  revenue  code for the same taxable year (without
     7  regard to whether the taxpayer in fact claimed  the  credit  under  such
     8  section  twenty-one  for  such  taxable year). The applicable percentage
     9  shall be the sum of (i) [twenty] sixty-two percent and (ii) a multiplier
    10  multiplied by a  fraction.  For  taxable  years  beginning  in  nineteen
    11  hundred  ninety-six  and nineteen hundred ninety-seven, the numerator of
    12  such fraction shall be the lesser of (i) four thousand dollars  or  (ii)
    13  fourteen  thousand  dollars  less the New York adjusted gross income for
    14  the taxable year, provided, however, the numerator  shall  not  be  less
    15  than  zero.  For  the taxable year beginning in nineteen hundred ninety-
    16  eight, the numerator of such fraction shall be the lesser of  (i)  thir-
    17  teen  thousand dollars or (ii) thirty thousand dollars less the New York
    18  adjusted gross income for  the  taxable  year,  provided,  however,  the
    19  numerator  shall  not  be less than zero. For taxable years beginning in
    20  nineteen hundred ninety-nine, the numerator of such  fraction  shall  be
    21  the  lesser  of  (i)  fifteen  thousand  dollars  or (ii) fifty thousand
    22  dollars less the New York adjusted gross income for  the  taxable  year,
    23  provided,  however, the numerator shall not be less than zero. For taxa-
    24  ble years beginning after nineteen hundred ninety-nine, the numerator of
    25  such fraction shall be the lesser of (i)  fifteen  thousand  dollars  or
    26  (ii) sixty-five thousand dollars less the New York adjusted gross income
    27  for the taxable year, provided, however, the numerator shall not be less
    28  than  zero.  The  denominator  of  such  fraction shall be four thousand
    29  dollars for taxable years beginning in nineteen hundred  ninety-six  and
    30  nineteen hundred ninety-seven, thirteen thousand dollars for the taxable
    31  year  beginning  in  nineteen hundred ninety-eight, and fifteen thousand
    32  dollars for taxable years beginning after nineteen hundred ninety-eight.
    33  The multiplier shall be ten percent for taxable years beginning in nine-
    34  teen hundred ninety-six, forty percent for taxable  years  beginning  in
    35  nineteen  hundred  ninety-seven,  [and] eighty percent for taxable years
    36  beginning [after nineteen  hundred  ninety-seven]  in  nineteen  hundred
    37  ninety-eight,  and  one  hundred  thirty-eight percent for taxable years
    38  beginning after two thousand nineteen. Provided,  however,  for  taxable
    39  years  beginning  after nineteen hundred ninety-nine, for a person whose
    40  New York adjusted gross income is less than forty thousand dollars, such
    41  applicable percentage shall be equal to (i) one  hundred  percent,  plus
    42  (ii)  ten  percent multiplied by a fraction whose numerator shall be the
    43  lesser of (i) fifteen thousand dollars or (ii)  forty  thousand  dollars
    44  less  the  New York adjusted gross income for the taxable year, provided
    45  such numerator shall not be less than zero, and whose denominator  shall
    46  be  fifteen  thousand  dollars.    Provided,  however, for taxable years
    47  beginning after two thousand nineteen,  for  a  person  whose  New  York
    48  adjusted gross income is less than forty thousand dollars, such applica-
    49  ble  percentage  shall  be  equal  to (i) two hundred percent, plus (ii)
    50  twenty percent multiplied by a fraction whose  numerator  shall  be  the
    51  lesser  of  (i)  fifteen thousand dollars or (ii) forty thousand dollars
    52  less the New York adjusted gross income for the taxable  year,  provided
    53  such  numerator shall not be less than zero, and whose denominator shall
    54  be fifteen thousand dollars. Provided, further, that  if  the  reversion
    55  event,  as  defined in this paragraph, occurs, the applicable percentage
    56  shall, for taxable years ending on or after the date on which the rever-

        A. 4088                            13
 
     1  sion event occurred, be determined using the  rules  specified  in  this
     2  paragraph  applicable  to  taxable  years  beginning in nineteen hundred
     3  ninety-nine. The reversion event shall be deemed to have occurred on the
     4  date  on which federal action, including but not limited to, administra-
     5  tive, statutory or regulatory changes, materially reduces or  eliminates
     6  New  York  state's  allocation  of  the federal temporary assistance for
     7  needy families block grant, or materially reduces  the  ability  of  the
     8  state  to  spend  federal  temporary assistance for needy families block
     9  grant funds for the credit for  certain  household  and  dependent  care
    10  services necessary for gainful employment or to apply state general fund
    11  spending on the credit for certain household and dependent care services
    12  necessary  for  gainful  employment  toward the temporary assistance for
    13  needy families block grant maintenance of effort  requirement,  and  the
    14  commissioner  of the office of temporary and disability assistance shall
    15  certify the date of such event to the commissioner, the director of  the
    16  division  of  the  budget, the speaker of the assembly and the temporary
    17  president of the senate.
    18    § 2. Paragraph 1-a of subsection (c) of section 606 of the tax law  is
    19  REPEALED.
    20    § 3. This act shall take effect immediately.
 
    21                                   PART G
 
    22    Section  1.  Subdivision 1 of section 590 of the labor law, as amended
    23  by chapter 645 of the laws of 1951, is amended to read as follows:
    24    1. Entitlement to benefits. A claimant shall be entitled to accumulate
    25  effective days for the purpose of benefit rights only if he has complied
    26  with the provisions of this article regarding the filing of  his  claim,
    27  including  the  filing  of a valid original claim, registered as totally
    28  unemployed or partially employed pursuant to section five hundred  nine-
    29  ty-a of this title, reported his subsequent employment and unemployment,
    30  and  reported  for  work or otherwise given notice of the continuance of
    31  his unemployment.
    32    § 2. The labor law is amended by adding a new section 590-a to read as
    33  follows:
    34    § 590-a. Reductions in unemployment benefits due to part-time work. 1.
    35  Entitlement to benefits. Notwithstanding any other provision of  law  to
    36  the  contrary, any claimant who accepts part-time work shall be eligible
    37  to collect partial unemployment pursuant to this section  provided  such
    38  claimant meets the criteria outlined in this section.
    39    2.  Reporting part-time employment. A claimant collecting unemployment
    40  who is paid for part-time employment while collecting unemployment shall
    41  be required to report during each compensable period the amount of money
    42  earned from such part-time work.
    43    3. Benefit rate. A claimant's unemployment benefit shall be reduced by
    44  fifty percent of the part-time income during a compensable period, in  a
    45  manner determined by the commissioner.
    46    4.  Penalties  for  false  or  inaccurate reporting. The provisions of
    47  section five hundred ninety-four of this title shall  control  should  a
    48  claimant  inaccurately  report or fail to report the amount of part-time
    49  wages earned during any compensable period.
    50    § 3. This act shall take effect on the sixtieth  day  after  it  shall
    51  have  become a law; provided, however that the commissioner of labor may
    52  promulgate any rules or regulations necessary for the implementation  of
    53  this act prior to such effective date.

        A. 4088                            14
 
     1                                   PART H
 
     2    Section  1.  The  state finance law is amended by adding a new section
     3  54-n to read as follows:
     4    § 54-n. Aid to local governments for real  property  tax.  1.    Defi-
     5  nitions. As used in this section:
     6    (a)  The  term  "freeze-compliant  budget"  means a budget of a taxing
     7  jurisdiction that has zero percent growth of the real property tax levy.
     8    (b) The terms "independent special  district"  and  "dependent  school
     9  district"  have the same meanings as set forth in section three-d of the
    10  general municipal law.
    11    (c) The  term  "taxing  jurisdiction"  means  a  county,  city,  town,
    12  village, school district or an independent special district; except that
    13  such  term  shall not include a city with a population of one million or
    14  more, nor shall it include a county wholly located within such a city.
    15    (d) The term "tax levy limit" means the allowable levy  growth  factor
    16  for  a taxing jurisdiction, as determined pursuant to section three-c of
    17  the general municipal law or section two thousand twenty-three-a of  the
    18  education law.
    19    (e)  The term "coming fiscal year" means the fiscal year of the taxing
    20  jurisdiction for which a tax levy limit shall be determined,  as  deter-
    21  mined  pursuant  to  section  three-c  of  the  general municipal law or
    22  section two thousand twenty-three-a of the education law.
    23    2. The state shall provide aid to a taxing jurisdiction that enacts  a
    24  freeze-compliant  budget for the coming fiscal year equal to two percent
    25  of a taxing jurisdiction's  prior  fiscal  year  levy.  Subject  to  the
    26  provisions  of  subdivision  three  of  this  section, such aid shall be
    27  determined as follows:
    28    (a) If a taxing jurisdiction other than a  dependent  school  district
    29  has  not  previously received aid pursuant to this act and has a freeze-
    30  compliant budget for its coming fiscal year, aid equal to two percent of
    31  the taxing jurisdiction's prior fiscal year levy will be provided.
    32    (b) If a taxing jurisdiction other than a  dependent  school  district
    33  has  previously received aid pursuant to this chapter, the taxing juris-
    34  diction shall continue to receive the aid amount designated in paragraph
    35  (a) of this subdivision for each fiscal  year  the  taxing  jurisdiction
    36  enacted a freeze-compliant budget.
    37    3.  The  following shall apply to the calculation of the state aid for
    38  counties pursuant to subdivision two of this section for  counties  that
    39  qualify  for  the aid pursuant to subdivision two of this section, state
    40  aid shall be calculated after taking into  account  the  reduced  county
    41  property  tax levy provisions found in paragraph (iv) of subdivision (c)
    42  of section one of part C of chapter fifty-eight of the laws of two thou-
    43  sand five, has been subtracted from the prior year levy.
    44    § 2. The education law is amended by adding a new  section  2023-c  to
    45  read as follows:
    46    §  2023-c. Certification of compliance with state aid to local govern-
    47  ments for real property. A  school  district  that  is  subject  to  the
    48  provisions  of  section two thousand twenty-three-a of this article must
    49  comply with the requirements of subdivision two of this section in order
    50  to be eligible for the aid authorized by  section  fifty-four-n  of  the
    51  state finance law.
    52    1.  Definition.  As  used  in this section: "Eligible school district"
    53  means a school district that is subject to section two thousand  twenty-
    54  three-a  of  this  article, but shall not mean a school district that is
    55  subject to article fifty-two of this chapter.

        A. 4088                            15
 
     1    2. Certification of compliance with  tax  levy  limit.  (a)  Upon  the
     2  adoption  of the budget of an eligible school district, the chief execu-
     3  tive officer of such school district shall certify to  the  state  comp-
     4  troller,  the  commissioner of taxation and finance and the commissioner
     5  that  the  budget  so  adopted  does  not exceed the zero percent growth
     6  prescribed by section  fifty-four-n  of  the  state  finance  law.  Such
     7  certification shall be made in a form and manner prescribed by the state
     8  comptroller  in  consultation  with  the  commissioner  of  taxation and
     9  finance and the commissioner.
    10    (b) In order for such certification to give  rise  to  the  aid  under
    11  section  fifty-four-n of the state finance law, such certification shall
    12  be made no later than the twenty-first day of the fiscal year  to  which
    13  it applies.
    14    (c)  If  such a certification has been made and the actual tax levy of
    15  the school district exceeds zero percent growth, the excess amount shall
    16  be placed in reserve and used in the manner  prescribed  by  subdivision
    17  five of section two thousand twenty-three-a of this article.
    18    (d) Notwithstanding any provision of law to the contrary, every school
    19  district that is subject to the provisions of section two thousand twen-
    20  ty-three-a of this article shall report both its proposed budget and its
    21  adopted budget to the state comptroller and the commissioner at the time
    22  and  in the manner as they may prescribe, whether or not such budget has
    23  been or will be certified as provided by this subdivision.
    24    (e) The director of the budget shall review the documents referred  to
    25  in paragraph a of this subdivision to determine whether the requirements
    26  of  section  fifty-four-n  of  the  state finance law have been met with
    27  respect to an eligible school district and shall determine the total aid
    28  payment amount for that fiscal year.
    29    § 3. The general municipal law is amended by adding a new section  3-e
    30  to read as follows:
    31    § 3-e. Certification of compliance with state aid to local governments
    32  for  real  property.  1.  A  local  government  that  is  subject to the
    33  provisions of section three-c of  this  article  must  comply  with  the
    34  requirements  of  subdivision  two  of section fifty-four-n of the state
    35  finance law in order to  be  eligible  for  aid  authorized  by  section
    36  fifty-four-n of the state finance law.
    37    2.  Certification  of  compliance  with  tax  levy limit. (a) Upon the
    38  adoption of the budget of a local government unit, the  chief  executive
    39  officer or budget officer of such local government unit shall certify to
    40  the  state comptroller and the commissioner of taxation and finance that
    41  the budget so adopted does not exceed the zero percent growth prescribed
    42  by section fifty-four-n of the state  finance  law.  Such  certification
    43  shall  be  made in a form and manner prescribed by the state comptroller
    44  in consultation with the commissioner  of  taxation  and  finance.  Such
    45  certification shall be made in a form and manner prescribed by the state
    46  comptroller  in  consultation  with  the  commissioner  of  taxation and
    47  finance. For the purposes of this section, a local government unit means
    48  a municipal corporation or  an  independent  special  district  that  is
    49  subject to the provisions of section three-c of this article.
    50    (b)  In  order  for  such  certification to give rise to the aid under
    51  section fifty-four-n of the state finance law, such certification  shall
    52  be  made  no later than the twenty-first day of the fiscal year to which
    53  it applies.
    54    (c) Notwithstanding any other law to the contrary, if such  a  certif-
    55  ication  has  been  made and the actual tax levy of the local government
    56  unit exceeds the applicable zero percent growth, the excess amount shall

        A. 4088                            16
 
     1  be placed in reserve and used in the manner  prescribed  by  subdivision
     2  six of section three-c of this article.
     3    (d)  Notwithstanding any provision of law to the contrary, every local
     4  government unit shall report both its proposed budget  and  its  adopted
     5  budget  to  the  office  of the state comptroller at the time and in the
     6  manner as he or she may prescribe, whether or not such budget  has  been
     7  or will be certified as provided by this subdivision.
     8    § 4. This act shall take effect immediately.
 
     9                                   PART I
 
    10    Section  1. The general municipal law is amended by adding a new arti-
    11  cle 12-J to read as follows:
    12                                ARTICLE 12-J
    13                       REAL PROPERTY TAX REDESIGN TEAM
    14  Section 239-aaa. Creation of the real property tax redesign team.
    15    § 239-aaa. Creation of the real property tax redesign team. 1.   There
    16  is  hereby  established the real property tax redesign team, which shall
    17  consist of twenty members appointed by the governor.  As  used  in  this
    18  article, the following terms shall have the following meanings:
    19    a. "State officer or employee" shall have the same meaning as given in
    20  section seventy-three of the public officers law;
    21    b.  "Local  government"  shall  mean  county,  city,  town, village or
    22  special district;
    23    c. "School district" shall mean a common, union free, central, city or
    24  central high school district;
    25    d. "Mandate" shall mean (i) any legal requirement that a local govern-
    26  ment or school district provide or undertake  any  program,  project  or
    27  activity,  or  increase spending for an existing program, project, regu-
    28  lation or activity on behalf of  New  York  state;  or  (ii)  any  legal
    29  requirement that a local government or school district grant a new prop-
    30  erty  tax exemption or broaden the eligibility, or increase the value of
    31  an existing property tax exemption; or (iii) any legal requirement  that
    32  otherwise would likely have the effect of raising property taxes.
    33    2.  The members of the team shall include: state officers or employees
    34  with relevant expertise; two members of the New York state assembly, one
    35  recommended by the speaker of the assembly and one  recommended  by  the
    36  minority  leader  of  the  assembly;  two  members of the New York state
    37  senate, one recommended by the temporary president of the senate and one
    38  recommended by the minority leader of the senate; and stakeholders  with
    39  expertise in the areas of:
    40    a. local governments;
    41    b. school districts;
    42    c. businesses;
    43    d. property tax assessment;
    44    e. local government budgeting;
    45    f. economic development; and
    46    g. other relevant areas.
    47    3.  Vacancies  shall  be  filled  by the governor. Members of the team
    48  shall serve at the pleasure of the governor.
    49    4. The governor shall designate a chair or co-chairs  from  among  the
    50  members of the team.
    51    5. The director of the budget shall serve as an ex-officio, non-voting
    52  member of the team.
    53    6.  The  duties and obligations of the real property tax redesign team
    54  shall consist of making  costs  savings  recommendations  regarding  the

        A. 4088                            17
 
     1  structure  of  the  New  York state property tax system and the adminis-
     2  tration of mandated programs. The real property tax redesign team shall:
     3    a.  through  the  approval of a majority of its total members, develop
     4  recommendations that result in annual recurring savings of at least five
     5  hundred million dollars;
     6    b. solicit and consider input  from  a  broad  and  diverse  range  of
     7  groups,  organizations and individuals with interest or expertise in the
     8  redesign or implementation of real property taxes in New York to  assist
     9  in the development of cost savings recommendations; and
    10    c.  convene within sixty days after the effective date of this article
    11  and continue to convene twice every month thereafter for a period not to
    12  exceed one year.
    13    7. The team shall submit a final report one year after the first meet-
    14  ing of the team to the senate, assembly and governor  for  consideration
    15  in  the  following  fiscal year's state budget. The report shall consist
    16  of:
    17    a. specific cost savings with a recommended procedure for  implementa-
    18  tion;
    19    b.  any  necessary actions to be taken by the state legislature, local
    20  governments or school districts for each recommendation;
    21    c. recurring annual savings of each recommendation; and
    22    d. the total recurring annual savings for all recommendations.
    23    § 2. This act shall  take  effect  immediately  and  shall  be  deemed
    24  repealed five years after it shall have become a law.
 
    25                                   PART J
 
    26    Section  1.  The  general  municipal  law  is  amended by adding a new
    27  section 3-f to read as follows:
    28    § 3-f. Limitation upon real property tax levies  by  cities  having  a
    29  population of one million or more.  1. Unless otherwise provided by law,
    30  the  amount of real property taxes that may be levied by or on behalf of
    31  any city having a population of one million or more shall not exceed the
    32  tax levy limitation established pursuant to this section.
    33    2. When used in this section:
    34    (a) "Allowable levy growth factor" shall be the lesser of: (i) one and
    35  two one-hundredths; or (ii) the sum of one plus  the  inflation  factor;
    36  provided,  however, that in no case shall the levy growth factor be less
    37  than one.
    38    (b) "Approved capital expenditures" means the expenditures  associated
    39  with capital projects that have been approved by the qualified voters of
    40  the local government.
    41    (c) "Available carryover" means the sum of the amount by which the tax
    42  levy  for  the  prior  fiscal year was below the tax levy limit for such
    43  fiscal year, if any, but no more than one and one-half  percent  of  the
    44  tax levy limit for such fiscal year.
    45    (d) "Capital tax levy" means the tax levy necessary to support capital
    46  expenditures, if any.
    47    (e) "Coming fiscal year" means the fiscal year of the local government
    48  for  which  a  tax  levy limitation shall be determined pursuant to this
    49  section.
    50    (f) "Inflation factor" means the quotient of: (i) the average  of  the
    51  national  consumer price indexes determined by the United States depart-
    52  ment of labor for the twelve-month period ending six months prior to the
    53  start of the coming fiscal  year  minus  the  average  of  the  national
    54  consumer  price  indexes  determined  by the United States department of

        A. 4088                            18
 
     1  labor for the twelve-month period ending six months prior to  the  start
     2  of  the  prior fiscal year, divided by: (ii) the average of the national
     3  consumer price indexes determined by the  United  States  department  of
     4  labor  for  the twelve-month period ending six months prior to the start
     5  of the prior fiscal year, with the result expressed as a decimal to four
     6  places.
     7    (g) "Local government" means a city having a population of one million
     8  or more.
     9    (h) "Prior fiscal year" means the fiscal year of the local  government
    10  immediately preceding the coming fiscal year.
    11    (i) "Tax levy limitation" means the amount of taxes a local government
    12  is  authorized to levy pursuant to this section, provided, however, that
    13  the tax levy limit shall not include  the  local  government's  approved
    14  capital tax levy, if any.
    15    3.  (a)  Beginning  with  the  fiscal year that begins in two thousand
    16  twenty, no local government shall adopt a budget  that  requires  a  tax
    17  levy  that is greater than the tax levy limitation for the coming fiscal
    18  year.
    19    (b) The state comptroller shall calculate the tax levy limitation  for
    20  each  local  government  by  the one hundred twentieth day preceding the
    21  commencement of each local government's fiscal year,  and  shall  notify
    22  each local government of the tax levy limitation so determined.
    23    (c) The tax levy limitation applicable to the coming fiscal year shall
    24  be determined as follows:
    25    (i)  Ascertain  the  total amount of taxes levied for the prior fiscal
    26  year.
    27    (ii) Add any payments in lieu of taxes that  were  receivable  in  the
    28  prior fiscal year.
    29    (iii)  Subtract  the  approved  capital  tax levy for the prior fiscal
    30  year, if any.
    31    (iv) Subtract the levy attributable to a large legal settlement  of  a
    32  tort  action excluded from the levy limitation in the prior fiscal year,
    33  if any.
    34    (v) Multiply the result by the allowable levy growth factor.
    35    (vi) Subtract any payments in lieu of taxes receivable in  the  coming
    36  fiscal year.
    37    (vii) Add the available carryover, if any.
    38    (d) In the event the city council of a local government has approved a
    39  legal  settlement  of  a  tort action against the government, the annual
    40  costs of which exceed ten percent of the property taxes  levied  by  the
    41  local  government  in the prior fiscal year, the state comptroller, upon
    42  application by the local government, may adjust the tax levy  limitation
    43  for  the  coming  fiscal  year  applicable  to such local government, by
    44  adding the annual costs of such settlement to the tax levy limitation.
    45    (e) The state comptroller shall determine the portion of the tax  levy
    46  of  each  local  government  that  is  attributable  to  any increase or
    47  decrease over the prior year in the cost of the local  government  share
    48  of  direct cash assistance to persons eligible for the federal-state-lo-
    49  cal temporary assistance to needy families program  or  the  state-local
    50  safety  net  assistance program and shall adjust the tax levy limitation
    51  for such local government to reflect such change.
    52    4. A local government may adopt a budget that requires a tax levy that
    53  is greater than the tax levy limitation for the coming fiscal year  only
    54  if  the  city  council  of such local government first enacts, by a two-
    55  thirds vote of the total voting power of such city council, a local  law
    56  to override such limitation for such coming fiscal year only.

        A. 4088                            19
 
     1    5.  In  the  event  a  local  government's actual tax levy for a given
     2  fiscal year exceeds the maximum allowable levy as  established  pursuant
     3  to  this  section due to clerical or technical errors, the local govern-
     4  ment shall place the excess amount of the levy in reserve in  accordance
     5  with such requirements as the state comptroller may prescribe, and shall
     6  use  such  funds  and any interest earned thereon to offset the tax levy
     7  for the ensuing fiscal year.
     8    § 2. Paragraphs j and k of subdivision 2 of section 23 of the  munici-
     9  pal home rule law are relettered paragraphs k and l, and a new paragraph
    10  j is added to read as follows:
    11    j.  Overrides the tax levy limitation applicable for the coming fiscal
    12  year in accordance with section three-f of the general municipal law.
    13    §  3.  This act shall take effect immediately and shall first apply to
    14  the levy of taxes by local governments for the fiscal year  that  begins
    15  in 2020.
    16    § 3. Severability clause. If any clause, sentence, paragraph, subdivi-
    17  sion,  section  or  part  of  this act shall be adjudged by any court of
    18  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    19  impair,  or  invalidate  the remainder thereof, but shall be confined in
    20  its operation to the clause, sentence, paragraph,  subdivision,  section
    21  or part thereof directly involved in the controversy in which such judg-
    22  ment shall have been rendered. It is hereby declared to be the intent of
    23  the  legislature  that  this  act  would  have been enacted even if such
    24  invalid provisions had not been included herein.
    25    § 4. This act shall take effect immediately; provided,  however,  that
    26  the  applicable effective date of Parts A through J of this act shall be
    27  as specifically set forth in the last section of such Parts.
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