There is a newer version of the New York Consolidated Laws
2006 New York Code - Homestead Base Proportion And Non-homestead Base Proportion.
§ 1903. Homestead base proportion and non-homestead base proportion.
1. Adoption. (a) The governing body of any approved assessing unit
except a county may adopt the provisions of this section by local law
without referendum provided however, that the local law is enacted no
later than sixty days prior to the completion of the tentative
assessment roll to which it is applicable. Upon such enactment the
provisions of this section shall be applicable to taxes levied on all
final assessment rolls thereafter filed and shall apply to the levy of
taxes on all real property in such approved assessing unit by such
governing body and, where such approved assessing unit is not a village,
by each school district wholly contained within such approved assessing
unit. Upon enacting a local law pursuant to this paragraph, the
governing body of a city or town shall provide a copy of such local law
to the school authorities of each school district located wholly or
partially within such city or town and the county director of real
property tax services. The governing body of a town shall also provide
a copy of such local law to the governing body of each eligible
non-assessing unit village. The governing body of a village shall
provide a copy of such local law to the county director of real property
tax services. Notwithstanding the foregoing, the school authorities of
any school district wholly contained within an approved assessing unit
may by resolution provide that the provisions of this article shall not
apply to the levy of school taxes in such school district. In such case,
school taxes shall be levied as otherwise provided by law.
(b) Whenever a county assessing unit becomes an approved assessing
unit the governing body of such county may adopt, in the manner provided
by paragraph (a) of this subdivision, the provisions of this section
which shall be applicable to taxes levied on all final assessment rolls
thereafter filed and shall apply to the levy of taxes on all real
property in such county by such governing body and by each city,
village, town and school district wholly within such approved assessing
unit. A copy of such local law shall be filed with the governing body of
each such city, village, town and school district.
(c) The governing body of an eligible non-assessing unit village may
adopt the provisions of this section by enacting a local law without
referendum no later than thirty days prior to the last date provided by
law for the completion and filing of the tentative assessment roll by
the town in which the village is located or, where such village is
located within a town which has in effect a local law adopted pursuant
to this subdivision, not later than ninety days prior to the last date
provided by law for the levy of village taxes. Upon such enactment, the
governing body of such village shall have all the powers and duties
conferred by this section on the governing body of an approved assessing
unit and the provisions of this section shall apply to all village taxes
levied following the final completion and filing of such town assessment
roll or, where the village is located within a town which has in effect
a local law adopted pursuant to this subdivision, to all village taxes
levied following adoption of a local law pursuant to this paragraph,
until such time as such local law is rescinded as provided in
subdivision nine of this section. A copy of such local law shall be
filed with the town assessor and the county director of real property
tax services.
2. Determination of proportions. (a) (i) The governing body of each
assessing unit which has adopted the provisions of this section shall in
the first year in which this section shall apply, establish a homestead
base proportion and a non-homestead base proportion for the approved
assessing unit and for each portion thereof.
(ii) The governing body of a recertified approved assessing unit which
at the time of such recertification has in effect a local law enacted
pursuant to subdivision one of this section may by local law reestablish
the homestead base proportion and non-homestead base proportion for the
assessing unit and each portion thereof. Homestead and non-homestead
base proportions established pursuant to this subparagraph shall
supersede the homestead and non-homestead base proportions, locally
adjusted proportions or adjusted base proportions used for the
immediately preceding tax levy. The local law authorized by this
subparagraph may be enacted in any year not later than thirty days prior
to the last date provided by law for the completion of the final
assessment roll. Copies of such local law shall be provided to the
county director of real property tax services and the state board.
(iii) For assessment rolls completed in nineteen hundred ninety-one
and thereafter, up to and including the assessment roll upon which the
base percentage will be computed pursuant to subdivision five of this
section, in each year following the first year in which this section
shall apply to an assessing unit which has adopted its provisions, the
governing body of such assessing unit shall adjust the homestead base
proportion and the non-homestead base proportion to reflect the addition
to the assessment roll of new property, additions to or improvements of
existing property or formerly exempt property or the full or partial
removal from the assessment roll of property by reason of fire,
demolition, destruction or new exemption or any change in the class
designation of any parcel of real property subsequent to the taxable
status date of the latest final assessment roll which has been finally
adopted. The base proportions so adjusted shall be known as the
homestead base proportion and the non-homestead base proportion.
(iv) Except as provided in paragraph (b) of this subdivision and
subdivision four of this section, in any year prior to nineteen hundred
eighty-nine in which the state board certifies to such governing body
adjusted homestead base proportions and adjusted non-homestead base
proportions, such governing body shall use such adjusted homestead base
proportion and adjusted non-homestead base proportion thereafter for the
purposes of this section until new adjusted homestead base proportions
and adjusted non-homestead base proportions are so certified to it.
(b) If, in the year nineteen hundred eighty-nine, the state board
certifies to such governing body adjusted homestead base proportions and
adjusted non-homestead base proportions, such governing body may, for
tax levies based upon assessment rolls completed and filed in nineteen
hundred eighty-nine or nineteen hundred ninety, use such adjusted
homestead base proportion and adjusted non-homestead base proportion
thereafter for the purposes of this section, or alternatively, it may
use the homestead and non-homestead base proportions, the adjusted
homestead and non-homestead base proportions or the locally adjusted
homestead and non-homestead proportions, whichever are appropriate, used
for the immediately preceding tax year.
3. Adjusted base proportions for assessment rolls completed in
nineteen hundred ninety-one or thereafter.
(a) Current base proportions. (i) For each tax levy based upon the
implementation roll and each subsequent roll, the legislative body of
each approved assessing unit shall determine the current homestead and
non-homestead base proportion, the current percentage and base
percentage for the assessing unit and each portion included in its
boundaries and such alterations made to such current base proportions
made pursuant to subparagraph (iii) of this paragraph no later than the
date on which it determines adjusted base proportions pursuant to this
section.
(ii) The current base proportion shall be determined pursuant to the
following formula: (1) Divide the current percentage of each class by
the base percentage of such class.
(2) For each such class, multiply the result from clause one of this
subparagraph by the local base proportion of such class.
(3) Sum the products obtained in clause two of this subparagraph and
divide the product for each class by such sum.
(iii) Notwithstanding the provisions of subparagraph (ii) of this
paragraph, the current base proportion of either class shall not exceed
the adjusted base proportion, base proportion, or locally adjusted
proportion, whichever is appropriate, of the immediately preceding year
by more than five percent. Where the computation performed pursuant to
subparagraph (ii) of this paragraph exceeds five percent for either
class, the current base proportion of such class shall be limited to
such five percent increase and such legislative body shall alter the
current base proportions of the remaining class so that the sum of the
current base proportions equals one.
(iv) Notwithstanding any other provision of law, in an approved
assessing unit in the county of Suffolk and for current base proportions
to be determined by taxes based on such approved assessing unit's two
thousand three - two thousand four, two thousand four - two thousand
five and two thousand five - two thousand six assessment rolls, the
current base proportion of any class shall not exceed the adjusted base
proportion or adjusted proportion, whichever is appropriate, of the
immediately preceding year by more than two percent, or in the case of
the two thousand five--two thousand six assessment roll, one percent.
Where the computation of current base proportions would otherwise
produce such result, the current base proportion of such class or
classes shall be limited to such two percent or one percent increase
whichever is applicable, and the legislative body of such approved
assessing unit shall alter the current base proportion of either class
so that the sum of the current base proportions equals one.
(v) Notwithstanding any other provision of law, in an approved
assessing unit in the county of Nassau and for current base proportions
to be determined by taxes based on such approved assessing unit's two
thousand four assessment roll, the current base proportion of any class
shall not exceed the adjusted base proportion or adjusted proportion,
whichever is appropriate, of the immediately preceding year by more than
one percent. Where the computation of current base proportions would
otherwise produce such result, the current base proportion of such class
or classes shall be limited to such one percent increase and the
legislative body of such approved assessing unit shall alter the current
base proportion of either class so that the sum of the current base
proportions equals one.
(vi) Notwithstanding any other provision of law, in an approved
assessing unit in the county of Nassau and for current base proportions
to be determined by taxes based on such approved assessing unit's two
thousand five assessment roll, the current base proportion of any class
shall not exceed the adjusted base proportion or adjusted proportion,
whichever is appropriate, of the immediately preceding year by more than
one percent. Where the computation of current base proportions would
otherwise produce such result, the current base proportion of such class
or classes shall be limited to such one percent increase and the
legislative body of such approved assessing unit shall alter the current
base proportion of either class so that the sum of the current base
proportions equals one.
(b) For the purposes of this section, the base percentage and the
current percentage of each class and for each portion shall be computed
pursuant to this subdivision.
(i) Base percentage. The base percentage for each class for each
assessing unit and portion thereof shall be determined as follows:
(1) Determine the estimated market value of each class by dividing the
taxable assessed value of the real property in each class in the
approved assessing unit and portion thereof appearing on the first final
assessment roll for which the state board has established class
equalization rates by the class equalization rate which was finally
adopted by the state board for such roll. Provided, that if the
homestead and non-homestead base proportions have been adjusted by the
governing body of the approved assessing unit so as to reflect physical
or quantity changes occurring after the filing of such final assessment
roll, the state board shall make the same adjustments to the estimated
market value of each class determined pursuant to this paragraph.
(2) Determine the total estimated market value of the approved
assessing unit or portion thereof by summing the estimated market value
of each class.
(3) Divide the estimated market value for each class by the total
estimated market value of the approved assessing unit or portion
thereof.
Such quotient, as expressed as a percentage to at least four places to
the right of the decimal point, shall be the base percentage of each
class for such approved assessing unit or portion thereof.
(ii) Current percentage. The current percentage for each class for
each assessing unit and portion thereof shall be determined as follows:
(1) Determine the estimated market value of each class by dividing the
taxable assessed value of the real property in each class in the
approved assessing unit and portion thereof appearing on the latest
final assessment roll for which class equalization rates have been
finally adopted by the state board by the class equalization rate which
was finally adopted by the state board.
(2) Determine the total estimated market value of the approved
assessing unit or portion thereof by summing the estimated market value
of each class.
(3) Divide the estimated market value for each class by the total
estimated market value of the approved assessing unit or portion
thereof.
Such quotient, as expressed as a percentage to at least four places to
the right of the decimal point, shall be the current percentage of each
class for such approved assessing unit or portion thereof.
(c) Where there was no taxable real property in a class in a portion
on the base assessment roll, the local base proportion, base percentages
and current percentages for such portion shall be determined as provided
by this paragraph for each tax levy based upon an assessment roll filed
subsequent to the assessment roll on which such property first appears.
(i) The local base proportions shall be the adjusted proportions or
adjusted base proportions, whichever are appropriate, determined
pursuant to this section for the assessment roll on which such property
first appears.
(ii) The base percentage for each class shall be determined as
follows:
(1) For the class other than the class appearing for the first time,
determine the estimated market value by dividing the taxable assessed
value of the real property in the class in the portion on the final
assessment roll on which the new class first appeared by the class
equalization rate determined for such class in such portion on such
roll.
(2) For the class appearing for the first time, determine the
estimated market value of such class by dividing the taxable assessed
value of the real property in such class on the final assessment roll on
which such class first appeared by the class equalization rate
determined for such class in the approved assessing unit on such final
assessment roll.
(3) Determine the total estimated market value of the portion by
summing the estimated market value of each class.
(4) Divide the estimated market value for each class by the total
estimated market value of the portion. Such quotient, as expressed as a
percentage to at least four places to the right of the decimal point,
shall be the base percentage of each class for such portion.
(iii) Current percentages shall be determined as otherwise provided by
this section, except that until the state board can determine a class
equalization rate for the new class in such portion, the class
equalization rate for the class in the approved assessing unit shall be
used in lieu thereof.
(d) Adjusted base proportions. No later than five days subsequent to
the filing of the final assessment roll, or thirty days prior to the
last date prescribed by law for the first levy of taxes upon the final
assessment roll, whichever is later, the legislative body of such
assessing unit shall adjust such current base proportions to reflect the
addition to the assessment roll of new property, additions to or
improvements of existing property or formerly exempt property or the
full or partial removal from the assessment roll of property by reason
of fire, demolition, destruction or new exemption or any change in the
class designation of any parcel of real property subsequent to the
taxable status date of the latest final assessment roll for which class
equalization rates have been finally adopted. The current base
proportions so adjusted shall be known as the adjusted homestead and
non-homestead base proportions.
(e) Upon determination of the adjusted homestead and non-homestead
base proportions, the legislative body of such assessing unit shall
within five days notify the state board, on forms prescribed by the
state board, of the adjusted homestead and non-homestead base proportion
as computed pursuant to paragraph (c) of this subdivision for each class
applicable to such assessing unit and each portion contained therein;
the assessed value of all property in each class for such assessing unit
and each portion contained therein; the net change in assessed value for
each class on the assessment roll resulting from the additions to or
removals from the assessment roll referred to in paragraph (c) of this
subdivision for such assessing unit and each portion contained therein;
and the net change in assessed value for each class on the assessment
roll resulting from changes other than those referred to in paragraph
(c) of this subdivision for such assessing unit and each portion
contained therein.
(f) The state board shall review such adjusted homestead and
non-homestead base proportions for accuracy of its determination and
compliance with the provisions of this subdivision. The state board
shall complete its review no later than ninety days after the receipt of
such adjusted homestead and non-homestead base proportions. The state
board shall notify the legislative body of such approved assessing unit
of any adjusted homestead and non-homestead base proportions to which it
objects and the reasons therefor. A hearing shall be conducted by the
state board within ten days after notification of such objection. The
provisions of section five hundred twenty-five of this chapter shall
apply so far as practicable to a hearing under this section. After the
hearing, if the state board finds that the adjusted homestead and
non-homestead base proportions have been determined incorrectly, it
shall direct the local legislative body to redetermine the adjusted
homestead and non-homestead base proportions in compliance with its
findings.
(g) If the legislative body of the approved assessing unit discovers
that a mathematical error was made in the determination of the adjusted
homestead and non-homestead base proportions, or is directed by the
state board after a hearing to redetermine the adjusted homestead and
non-homestead base proportions, it shall redetermine the adjusted
homestead and non-homestead base proportions prior to the levy of taxes
for that fiscal year. If the redetermination cannot be made prior to the
extension of taxes for that fiscal year, the tax levying body shall
adjust the tax levy for the ensuing fiscal year to account for the
improper apportionment of taxes which resulted from the error in the
determination of the adjusted homestead and non-homestead base
proportions, upon notice to the state board.
(h) Where there is a new portion that did not appear on the base
assessment roll, the local base proportion, base percentages and current
percentages for each class in such portion shall be determined as
provided in paragraph (c) of this subdivision for a new class in a
portion.
4. Locally-adjusted proportions. (a) In the first year in which this
section applies, the governing body of such assessing unit may alter the
homestead base proportion of such assessing unit or for any portion by
subtracting the homestead base proportion from the initial percentage
for the homestead class and multiplying the difference by ten percent,
twenty percent, twenty-five percent, thirty percent, forty percent,
fifty percent, sixty percent, seventy percent, seventy-five percent,
eighty percent, ninety percent or one hundred percent; the product
thereof shall be added to the homestead base proportion and such sum
shall be the locally-adjusted homestead proportion, which shall be used
for all purposes of this section until a new locally adjusted proportion
is adopted by such governing body or until an adjusted homestead base
proportion is determined by such governing body. Where a
locally-adjusted homestead proportion is established pursuant to this
paragraph, the locally-adjusted non-homestead proportion shall be equal
to the difference between the whole number one and the locally-adjusted
homestead proportion.
(b) In each year after the first year in which this section applies
and until an adjusted homestead base proportion and adjusted
non-homestead base proportion are determined by the governing body, the
governing body may alter the homestead base proportion or
locally-adjusted homestead proportion, whichever was used in the
immediately preceding levy, by subtracting such homestead base
proportion from the interim percentage for the homestead class and
multiplying the difference by ten percent, twenty percent, twenty-five
percent, thirty percent, forty percent, fifty percent, sixty percent,
seventy percent, seventy-five percent, eighty percent, ninety percent or
one hundred percent; the product thereof shall be added to such
proportion and such sum shall be the locally-adjusted homestead
proportion, which shall be used for the purposes of this section until a
new adjusted homestead base proportion is determined by the governing
body. Where a locally-adjusted homestead proportion is established
pursuant to this paragraph, the locally-adjusted non-homestead
proportion shall be equal to the difference between the whole number one
and the locally-adjusted homestead proportion.
(c) When the governing body determines an adjusted homestead base
proportion and an adjusted non-homestead base proportion, the
locally-adjusted homestead proportion and locally-adjusted non-homestead
proportion used in the immediately preceding tax levy shall no longer be
used for the purposes of this section. The governing body may alter such
adjusted homestead base proportion of such assessing unit or for any
portion by subtracting such proportion from the current percentage for
the homestead class and multiplying the difference by ten percent,
twenty percent, twenty-five percent, thirty percent, forty percent,
fifty percent, sixty percent, seventy percent, seventy-five percent,
eighty percent, ninety percent or one hundred percent; the product
thereof shall be added to such proportion and such sum shall be the
locally-adjusted homestead proportion, which shall be used for the
purposes of this section until a new adjusted homestead base proportion
is determined by the governing body. Where a locally-adjusted homestead
proportion is established pursuant to this paragraph, the
locally-adjusted non-homestead proportion shall be equal to the
difference between the whole number one and the locally-adjusted
homestead proportion.
* 4-a. Elective method of accounting for the receipt of payments in
lieu of taxes from lessees of industrial development agency property in
the town of Tonawanda. In any year in which this section applies, the
governing body of the town of Tonawanda, prior to making the allocation
of a share of taxes levied by it to the homestead and non-homestead
classes required by subdivision five of this section, may elect to
account for its receipts of payments in lieu of taxes from lessees of
industrial development agency property pursuant to agreements described
in subdivision fifteen of section eight hundred fifty-eight of the
general municipal law requiring such payments, by applying such
receipts, in whole or in part, to reduce the share of taxes to be
allocated to the non-homestead class, rather than treating such receipts
as general revenue to reduce the share of taxes to be allocated to all
such property. Such election, if made, shall apply to assessment rolls
based upon the taxable status date occurring on or after January second
of the next succeeding calendar year.
* NB Repealed August 20, 2007
5. Assessing unit levies. The governing body of each such approved
assessing unit shall, in each year in which this section applies,
allocate to the homestead class a share of taxes levied by it equal to
the applicable homestead base proportion, adjusted homestead base
proportion or locally-adjusted homestead proportion for the assessing
unit or portion thereof. The remainder of such levies shall be allocated
to the non-homestead class utilizing the non-homestead base proportion,
adjusted non-homestead base proportion or locally-adjusted non-homestead
proportion, as appropriate.
6. Levies in school districts wholly contained within an approved
assessing unit and counties which are approved assessing units. (a) The
governing body of any approved assessing unit other than a county, which
has adopted the provisions of this section shall annually certify to the
chief fiscal officer of each school district wholly contained within
such assessing unit and to the state board, the applicable homestead
base proportions and non-homestead base proportions, adjusted homestead
and non-homestead base proportions or locally-adjusted homestead
proportions and locally-adjusted non-homestead proportions. Such
certification shall be made at the same time as the delivery of the
assessment roll to such school district.
(b) The governing body of any approved assessing unit which is a
county and has adopted the provisions of this section shall annually
certify to the chief fiscal officer of such county, to such officer of
each city, village, town or school district which levies taxes on its
roll, and to the state board, the applicable homestead base proportion
and non-homestead base proportion, adjusted homestead and non-homestead
base proportion or locally adjusted homestead proportion and
locally-adjusted non-homestead proportion. Such certification shall be
made at the same time as the delivery of the assessment roll to such
county, city, village, town, or school district.
(c) Each such officer shall allocate, to the homestead class of such
portion, a share of the tax levied on such portion in accordance with
the other applicable provisions of law equal to such homestead base
proportion, adjusted homestead base proportion, or locally-adjusted
homestead proportion. The remainder of such levy shall be allocated to
the non-homestead class utilizing the non-homestead base proportion,
non-homestead adjusted base proportion, or locally-adjusted
non-homestead proportion, as appropriate.
(i) For taxes levied based on assessment rolls completed prior to
nineteen hundred eighty-nine, unless a new locally-adjusted homestead
proportion and locally-adjusted non-homestead proportion is certified to
such an officer by such governing body, in any year in which the state
board certifies to such an officer an adjusted homestead base proportion
and adjusted non-homestead base proportion, such officer shall use such
adjusted homestead base proportion and adjusted non-homestead base
proportion thereafter for the purposes of this section until a new
adjusted homestead base proportion and adjusted non-homestead base
proportion are so certified.
(ii) If, in the year nineteen hundred eighty-nine, the state board
certifies adjusted homestead base proportions and adjusted non-homestead
base proportions, the governing body of the approved assessing unit may,
for tax levies based upon assessment rolls completed and filed in
nineteen hundred eighty-nine or nineteen hundred ninety, use such
adjusted homestead and non-homestead base proportions for the purposes
of this paragraph, or alternatively, such body may use the homestead and
non-homestead base proportions, the locally adjusted homestead and
non-homestead proportions or the adjusted homestead and non-homestead
base proportions, whichever is appropriate, used for the immediately
preceding tax year.
(iii) For taxes levied based on assessment rolls completed and filed
in nineteen hundred ninety-one and thereafter, the officer shall use
such base proportions, adjusted homestead and non-homestead base
proportions or locally adjusted homestead and non-homestead proportions
as are certified to him in that year by the legislative body of the
approved assessing unit, pursuant to the requirements of this section.
7. Annual certification by approved assessing units. The governing
body of any approved assessing unit, other than a village, which has
adopted the provisions of this section shall certify annually to the
school authorities of each school district which contains such assessing
unit or a portion thereof that the local law adopting the provisions of
this section is in effect. Such certification shall set forth the
homestead and non-homestead base proportions established for the school
district portion, the adjusted homestead and non-homestead base
proportions or, if locally adjusted homestead and non-homestead
proportions have been established for such portion, such locally
adjusted homestead and non-homestead proportions, whichever is
applicable. Such certification shall be made at the same time as the
delivery of the current assessment roll to such school district.
8. Placing on or removal from assessment roll. Nothing in this section
shall prevent placing on the assessment roll new property, additions to
or improvements of existing property or formerly exempt property or the
full or partial removal from the roll of property by reason of fire,
demolition, destruction or new exemption.
9. Rescission. The governing body of any approved assessing unit or
eligible non-assessing unit village which has adopted the provisions of
this section may by local law without referendum, no later than the last
date prescribed by law for the levy of taxes upon an assessment roll to
which it would otherwise be applicable, determine that the provisions of
this section shall no longer apply to any subsequent levies on its
assessment roll. A copy of such local law shall be provided to the
municipal corporations, bodies and officers receiving copies of local
laws enacted pursuant to subdivision one of this section.
10. Determination. The determination of inclusion within or exclusion
from the homestead class or non-homestead class for purposes of this
section shall be subject to administrative and judicial review as
provided by law for review of assessments.
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