Redefines "nonresidents of a school district" to include persons over five and under twenty-one years of age who do not actually reside in the district or reside on real property in the district which is wholly exempt from real property taxes for school district purposes and students who reside on real property which is fifty percent or more exempt from taxation pursuant to the real property tax law and such property is the residence of ten or more students who attend a public school in the district.
TITLE OF BILL: An act to amend the education law, in relation to defining nonresidents of a district for purposes of admission
PURPOSE: To improve the fairness of the public education finance system.
SUMMARY OF PROVISIONS: Authorizes schools to charge tuition in the event 10 or more children reside on property which is 50% or more tax exempt pursuant to Sections 420-A and 420-B of the Real Property Tax Law. Prohibits the charging of tuition to students who reside on various charitable type properties.
EXISTING LAW: Allows for significant abuse in the real property tax system. For example, while Senior citizens, who are otherwise eligible to obtain tax exemptions, can be made to pay real property taxes - even for propel1y they have owned for decades and even with social security as their only income. On the other hand, multi-million dollar non-profits can move into a community, purchase dozens, if not hundreds of acres, engage in commercial enterprises through separately formed corporations, and still be wholly exempt from property taxes. These non-profit organizations can send their children to public schools - often increasing local class sizes, thereby requiring the hiring of more teachers.
JUSTIFICATION: This legislation is about bringing equity not only to the real propel1y tax system, but also to the education finance system. The current method of school finance pits students against property taxpayers. In some communities, the problem is exacerbated when large non-profits move into a community, purchase hundreds of acres, and send dozens of children to a small school district. This forces higher propel1y taxes on the taxpaying public and further forces property taxpayer to choose between the educational needs of their community and the capacity to pay.
LEGISLATIVE HISTORY: S.6839 of 2010: Referred to Education S.1125B of 2003: Referred to Education
FISCAL IMPLICATIONS: Increased revenue to some school districts which decide to charge tuition.
EFFECTIVE DATE: This act shall take effect on September 1, 2013.
STATE OF NEW YORK ________________________________________________________________________ 2547--A 2011-2012 Regular Sessions IN SENATE January 25, 2011 ___________Introduced by Sens. BONACIC, LARKIN -- read twice and ordered printed, and when printed to be committed to the Committee on Education -- recommitted to the Committee on Education in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the education law, in relation to defining nonresidents of a district for purposes of admission THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subdivision 2 of section 3202 of the education law is amended to read as follows: 2. A. Nonresidents of a district, if otherwise competent, may be admitted into the school or schools of a district or city, upon the consent of the trustees or the board of education, upon terms prescribed by such trustees or board, WHICH MAY INCLUDE THE PAYMENT OF TUITION. THE TERM "NONRESIDENTS OF A DISTRICT" SHALL INCLUDE, BUT NOT BE LIMITED TO PERSONS OVER FIVE AND UNDER TWENTY-ONE YEARS OF AGE WHO ARE NOT OTHER- WISE DESCRIBED IN THIS SECTION, WHO: (I) DO NOT ACTUALLY RESIDE IN THE DISTRICT; OR (II) RESIDE ON REAL PROPERTY IN THE DISTRICT WHICH IS: (1) FIFTY PERCENT OR MORE EXEMPT FROM TAXATION FOR SCHOOL DISTRICT PURPOSES PURSUANT TO THE PROVISIONS OF SECTION FOUR HUNDRED TWENTY-A OR SECTION FOUR HUNDRED TWENTY-B OF THE REAL PROPERTY TAX LAW; AND (2) THE RESIDENCE OF TEN OR MORE STUDENTS WHO ATTEND A PUBLIC SCHOOL IN THE DISTRICT. B. PROVIDED, HOWEVER, THAT THE PROVISIONS OF SUBPARAGRAPH (II) OF PARAGRAPH A OF THIS SUBDIVISION SHALL NOT AUTHORIZE THE PAYMENT OF TUITION IN AN AMOUNT IN EXCESS OF THE PROPERTY TAXES THAT WOULD HAVE BEEN PAID WERE THE PROPERTY FULLY TAXABLE AND IN ANY EVENT SHALL NOT APPLY TO PROPERTY WHICH:EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD01492-02-2 S. 2547--A 2
(I) WAS CONSTRUCTED AND REMAINS OCCUPIED PURSUANT TO THE PROVISIONS OF THE PUBLIC HOUSING LAW OR THE PRIVATE HOUSING FINANCE LAW; (II) IS OWNED OR OPERATED BY AN AUTHORIZED AGENCY AS DEFINED IN SUBDI- VISION TEN OF SECTION THREE HUNDRED SEVENTY-ONE OF THE SOCIAL SERVICES LAW OR PROPERTY DESCRIBED IN SUBDIVISION FIFTEEN, SEVENTEEN OR EIGHTEEN OF SECTION THREE HUNDRED SEVENTY-ONE OF THE SOCIAL SERVICES LAW; (III) IS OWNED BY THE STATE OR ANY MUNICIPALITY THEREOF WHICH PRIMARI- LY HOUSES CHILDREN DESCRIBED IN SUBDIVISION TWO, FOUR-A, FOUR-B, FIVE, SIX, SEVEN, EIGHT OR NINE OF SECTION THREE HUNDRED SEVENTY-ONE OF THE SOCIAL SERVICES LAW; OR (IV) PRIMARILY HOUSES DESTITUTE CHILDREN. FOR THE PURPOSES OF THIS SUBPARAGRAPH A CHILD IS DESTITUTE IF THE CHILD, THROUGH NO NEGLECT ON THE PART OF HIS OR HER PARENT, GUARDIAN OR CUSTODIAN IS DESTITUTE OR HOMELESS, OR IN A STATE OF WANT OR SUFFERING DUE TO LACK OF SUFFICIENT FOOD, CLOTHING, OR SHELTER, OR MEDICAL OR SURGICAL CARE, OR IS UNDER THE AGE OF EIGHTEEN AND IS ABSENT FROM HIS OR HER LEGAL RESIDENCE WITHOUT THE CONSENT OF THE PARENT, LEGAL GUARDIAN OR CUSTODIAN, OR IS A PERSON UNDER THE AGE OF EIGHTEEN WHO IS WITHOUT A PLACE OF SHELTER WHERE SUPER- VISION AND CARE ARE AVAILABLE. PROVIDED, HOWEVER, THAT A DESTITUTE CHILD SHALL NOT BE ONE WHOSE PARENT OR LEGAL GUARDIAN ARE WITHOUT FINANCIAL MEANS BECAUSE SUCH PERSON OR PERSONS CHOOSE NOT TO ACCEPT MONETARY COMPENSATION FOR WORK THEY DO OR WHO CHOOSES TO GIVE SUCH COMPENSATION AWAY OR ASSIGN IT TO THE BENEFIT OF ANOTHER, INCLUDING ANOTHER PERSON OR OTHER LEGAL ENTITY. S 2. This act shall take effect on September 1, 2013.