Bill S1930-2013

Relates to the definition of income for purposes of the senior citizen rent increase exemptions (SCRIE) program

Excludes social security payments and supplemental security income from the definition of "income" for the purposes of determining eligibility under the senior citizen rent increase exemption (SCRIE).

Details

Actions

  • Jan 8, 2014: REFERRED TO AGING
  • Jan 9, 2013: REFERRED TO AGING

Memo

BILL NUMBER:S1930

TITLE OF BILL: An act to amend the real property tax law, in relation to the definition of income for purposes of the senior citizen rent increase exemptions (SCRIE) program

PURPOSE OR GENERAL IDEA OF BILL: Amends the real property tax law to change the definition of "income" for purposes of eligibility in the SCRIE program. The changes would make 100% of social security income exempt from calculation for the SCRIS program eligibility.

Current law states that 100% for social security income is applied when determining eligibility for the SCRIS program. This bill would amend the law and exclude 100% of social security benefits from the calculation.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 paragraph c of subdivision 1 of section 467-b of the real property tax law, as amended by chapter 500 of the laws of 2001, is amended to read that income shall not include income from social security benefits or supplemental security income payments if the governing board of the municipality in which the senior citizen resides, after public hearing, adopts a local law, ordinance, or resolution electing to exempt such benefits and payments.

Section 2 paragraph f of subdivision 1 of section 467-C of the real property tax law, as amended by chapter 500 of the laws of 2001, is amended to read that provided however, that income shall not include income from social security benefits or supplemental security income payments if the governing board of the municipality in which the senior citizen resides, after public hearing, adopts a local law, ordinance, or resolution electing to exempt such benefits and payments.

Section 3 Effective date.

JUSTIFICATION: Each year the rate of inflation increases at a far greater rate than the increases in social security income benefits. This puts many senior citizens who live in. New York city in a very difficult financial position. It is no secret that a large portion of a senior citizen's income in,NYC is applied towards housing costs; adding these costs with the price of healthcare and prescription drugs puts seniors in a fiscal crisis. This bill would work towards solving that crisis by excluding social security income from the calculation for eligibility in the SCRIE program, therefore allowing more seniors to enroll and take part in the benefits of stabilized rent rates. This in turn would allow seniors to apply the money they would have had to use for the increase in rent towards food, prescription drugs and other necessities.

It is no secret that a large portion of a senior citizen's income in NYC is applied towards housing costs; adding these costs with the price of healthcare and prescription drugs puts seniors in a fiscal crisis. This

bill would work towards solving that crisis by excluding social security income from the calculation for eligibility in the SCRIE program, therefore allowing more seniors to enroll and take part in the benefits of stabilized rent rates. This in turn would allow seniors to apply the money they would have had to use for the increase in rent towards food, prescription drugs and other necessities.

PRIOR LEGISLATIVE HISTORY: 2009-10: S.3498 - Passed Aging; Referred to Finance 2011-12: S. 1251 - Referred to Aging

FISCAL IMPLICATIONS: To be determined for 2011.

For 2010, the following was determined:

"None to the State. Excluding social secondary benefits and supplemental security income payments from the definition of income would greatly expand eligibility for the SCRIE and the DRIE programs by increasing the population of participants resulting in additional costs for municipalities that provide the programs.

Currently, the SCRIE program costs New York City $125 million per year, and the DRIE program costs $7.5 million per year. The City estimates the combined cost of this expansion to be $5 million that first year, $11 million the second year, $16 million the third year and $28 million the fourth year, which would grow to $62 million by the tenth year after eligibility requirements are implemented.

In addition to New York City, other municipalities that participate in the program would also incur increased yearly costs from the expansion of the program. However, this bill does not automatically expand eligibility as the local legislative body in the municipality providing the program must approve the language before new requirements are to go into effect."

EFFECTIVE DATE: Immediately, provided that the amendments to paragraph c of subdivision 1 of section 467-b of the real property tax law, made by section one of this act, shall not affect the expiration of such section and shall be deemed to expire therewith.


Text

STATE OF NEW YORK ________________________________________________________________________ 1930 2013-2014 Regular Sessions IN SENATE (PREFILED) January 9, 2013 ___________
Introduced by Sen. ADDABBO -- read twice and ordered printed, and when printed to be committed to the Committee on Aging AN ACT to amend the real property tax law, in relation to the definition of income for purposes of the senior citizen rent increase exemptions (SCRIE) program THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraph c of subdivision 1 of section 467-b of the real property tax law, as amended by chapter 500 of the laws of 2001, is amended to read as follows: c. "Income" means income from all sources after deduction of all income and social security taxes and includes social security and retirement benefits, supplemental security income and additional state payments, public assistance benefits, interest, dividends, net rental income, salary or earnings, and net income from self-employment, but shall not include gifts or inheritances, payments made to individuals because of their status as victims of Nazi persecution, as defined in P.L. 103-286, or increases in benefits accorded pursuant to the social security act or a public or private pension paid to any member of the household which increase, in any given year, does not exceed the consum- er price index (all items United States city average) for such year which take effect after the date of eligibility of head of the household receiving benefits hereunder whether received by the head of the house- hold or any other member of the household; PROVIDED HOWEVER THAT INCOME SHALL NOT INCLUDE INCOME FROM SOCIAL SECURITY BENEFITS OR SUPPLEMENTAL SECURITY INCOME PAYMENTS IF THE GOVERNING BOARD OF THE MUNICIPALITY IN WHICH THE SENIOR CITIZEN RESIDES, AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW, ORDINANCE, OR RESOLUTION ELECTING TO EXEMPT SUCH BENEFITS AND PAYMENTS;
S 2. Paragraph f of subdivision 1 of section 467-c of the real proper- ty tax law, as amended by chapter 500 of the laws of 2001, is amended to read as follows: f. "Income" means income received by the eligible head of the house- hold combined with the income of all other members of the household from all sources after deduction of all income and social security taxes and includes without limitation, social security and retirement benefits, supplemental security income and additional state payments, public assistance benefits, interest, dividends, net rental income, salary and earnings, and net income from self employment, but shall not include gifts or inheritances, payments made to individuals because of their status as victims of Nazi persecution as defined in P.L. 103-286, nor increases in benefits accorded pursuant to the social security act or a public or private pension paid to any member of the household which increase, in any given year, does not exceed the consumer price index (all items United States city average) for such year which take effect after the eligibility date of an eligible head of the household receiv- ing benefits hereunder whether received by the eligible head of the household or any other member of the household. When the eligible head of the household has retired on or after the commencement of the taxable period and prior to the date of making an application for a rent increase exemption order/tax abatement certificate pursuant to this section, such person's income shall be adjusted by excluding salary or earnings and projecting such person's retirement income over the entire taxable period. FOR PURPOSES OF DETERMINING INCOME PURSUANT TO THIS PARAGRAPH, INCOME SHALL NOT INCLUDE SOCIAL SECURITY BENEFITS AND SUPPLE- MENTAL SECURITY INCOME PAYMENTS IF THE GOVERNING BOARD OF THE LOCAL MUNICIPALITY IN WHICH THE SENIOR CITIZEN RESIDES, AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW, ORDINANCE, OR RESOLUTION ELECTING TO EXEMPT SUCH BENEFITS AND PAYMENTS. S 3. This act shall take effect immediately; provided, however, that the amendments to paragraph c of subdivision 1 of section 467-b of the real property tax law, made by section one of this act, shall not affect the expiration of such section and shall be deemed to expire therewith.

Comments

Open Legislation comments facilitate discussion of New York State legislation. All comments are subject to moderation. Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity or hate speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Comment moderation is generally performed Monday through Friday.

By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Discuss!

blog comments powered by Disqus