Bill S5104-2013

Authorizes the county of St. Lawrence to impose an additional 1% of sales and compensating use taxes

Authorizes the county of St. Lawrence to impose an additional 1% of sales and compensating use taxes.

Details

Actions

  • Jun 21, 2013: SUBSTITUTED BY A4761
  • Jun 21, 2013: ORDERED TO THIRD READING CAL.1650
  • Jun 21, 2013: COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • May 10, 2013: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

Votes

VOTE: COMMITTEE VOTE: - Rules - Jun 21, 2013
Ayes (18): Skelos, Libous, Bonacic, Farley, Flanagan, Marcellino, Maziarz, Nozzolio, Seward, Valesky, Stewart-Cousins, Breslin, Hassell-Thompson, Krueger, Montgomery, Parker, Perkins, Espaillat
Ayes W/R (4): Fuschillo, Hannon, LaValle, Gianaris
Nays (2): Carlucci, Dilan
Excused (1): Larkin

Memo

BILL NUMBER:S5104

TITLE OF BILL: An act to amend the tax law, in relation to authorizing the county of St. Lawrence to impose an additional one percent of sales and compensating use taxes

PURPOSE:

To authorize St. Lawrence County to impose an additional one percent rate of sales and compensating use taxes for the period beginning December 1, 2013 and ending November 30, 2015.

SUMMARY OF PROVISIONS:

Section 1 would add a new clause (41) to subparagraph (i) of the opening paragraph of section 1210 of the Tax Law, to authorize St Lawrence County to impose an additional one percent rate of sales and compensating use taxes for the period commencing December 1, 2013, and ending November 30, 2015.

Section 2 would amend subparagraph (iii) of the opening paragraph of section 1210 of the Tax Law, regarding the calculation of the maximum tax rate for preemption purposes under section 1224 of the Tax Law, to provide that St. Lawrence County's additional one Descent rate would be excluded from that calculation.

Section 3 would amend subdivision (a) of section 1223 of the Tax Law, to provide technical changes to sections 1210 or 2011, respectively, of the Tax Law that reflect the authorization of the St. Lawrence County to impose an additional one percent rate of sales tax.

Section 4 would add a new subdivision (ii) of section 1224 of the Tax Law to provide that St. Lawrence County has the sole right to impose the additional one percent rate of tax.

Section 5 provides that the bill would take effect December 1, 2013, provided that St. Lawrence County would be authorized to adopt and amend local laws, ordinances or resolutions to impose the additional rate of tax authorized by this act on or after it becomes law.

Section 6 provides the effective date, which is immediate.

JUSTIFICATION:

This legislation was submitted at the request of the St. Lawrence County Legislature in order to relieve its current severe fiscal stress. A recent report by the State Comptroller found a budget imbalance despite increasing revenues that has resulted in an overreliance on reserve fund balance by the County. During a 10-year review for the period 2001-2011, the Comptroller found that county revenues increased at a rate faster than the state average. At the same time, however, spending also increased at a pace (4.6%) that exceeded the state average (3.3%) (revenue growth for the period was 4.2%).

No level of government has been immune to the effects of the national recession, but all have had to adjust to the new economic realities by

making difficult decisions and reevaluating their methods of providing critically needed services and programs in order to better align spending and revenue. The Comptroller recommended that the county adopt a long-range plan to restore its fund balance and improve its overall fiscal outlook.

At the request of the sponsors, the county has proposed such a plan that holds the line on spending, restores fund balance, reduces the county's reliance on short-term borrowing to meet recurring budgetary needs and, importantly, provides sorely needed property tax relief to county residents, which includes a 14% reduction in the property tax levy. This plan is premised on the approval of this home rule legislation, and subsequent adoption of a local law.

LEGISLATIVE HISTORY:

New Bill

FISCAL IMPLICATIONS:

None to the State.

EFFECTIVE DATE:

This act shall take effect immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ 5104 2013-2014 Regular Sessions IN SENATE May 10, 2013 ___________
Introduced by Sens. RITCHIE, GRIFFO, LITTLE -- read twice and ordered printed, and when printed to be committed to the Committee on Investi- gations and Government Operations AN ACT to amend the tax law, in relation to authorizing the county of St. Lawrence to impose an additional one percent of sales and compen- sating use taxes THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Subparagraph (i) of the opening paragraph of section 1210 of the tax law is amended by adding a new clause 41 to read as follows: (41) THE COUNTY OF ST. LAWRENCE IS HEREBY FURTHER AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND LOCAL LAWS, ORDINANCES OR RESOLUTIONS IMPOSING SUCH TAXES AT A RATE THAT IS ONE PERCENT ADDITIONAL TO THE THREE PERCENT RATE AUTHORIZED ABOVE IN THIS PARAGRAPH FOR SUCH COUNTY FOR THE PERIOD BEGINNING DECEMBER FIRST, TWO THOUSAND THIRTEEN AND ENDING NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN; S 2. Subparagraph (iii) of the opening paragraph of section 1210 of the tax law, as amended by chapter 74 of the laws of 2010, is amended to read as follows: (iii) the maximum rate referred to in section twelve hundred twenty- four of this article shall be calculated without reference to the following additional rates authorized in subparagraphs (i) and (ii) of this paragraph: one and one-half percent for the county of Allegany; one percent for the counties of Rensselaer, Erie, Cattaraugus, Wyoming, Ulster, Albany, Suffolk, Greene, Orleans, Franklin, Herkimer, Genesee, Columbia, Schuyler, Chenango, Monroe, Steuben, Chemung, Seneca, Living- ston, Niagara, Yates, Tioga, Montgomery, Delaware, Wayne, Schoharie, Putnam, Clinton, ST. LAWRENCE and Onondaga and the cities of Yonkers, Mount Vernon and New Rochelle; three-quarters of one percent for the counties of Dutchess, Essex, Lewis, Orange, and Jefferson; one percent and three-quarters of one percent or one-half of one percent for the
county of Oneida; three-quarters of one percent and one-half of one percent for the county of Nassau; one-half of one percent and one-quar- ter of one percent and one-quarter of one percent for the city of White Plains; one-half or one percent for the county of Tompkins; three- eighths of one percent and five-eighths of one percent for the county of Rockland; one-half of one percent for the counties of Putnam and Sche- nectady; one-eighth of one percent and three-eighths of one percent for the county of Ontario; one-half of one percent; one-half of one percent for the county of Sullivan; and three-quarters of one percent or one- half of one percent for the county of Chautauqua; S 3. Subdivision (a) of section 1223 of the tax law, as amended by chapter 74 of the laws of 2010, is amended to read as follows: (a) No transaction taxable under sections twelve hundred two through twelve hundred four of this article shall be taxed pursuant to this article by any county or by any city located therein, or by both, at an aggregate rate in excess of the highest rate set forth in the applicable subdivision of section twelve hundred one of this article or, in the case of any taxes imposed pursuant to the authority of section twelve hundred ten or twelve hundred eleven of this article (other than taxes imposed by the county of Nassau, Erie, Steuben, Cattaraugus, Suffolk, Oneida, Genesee, Greene, Franklin, Herkimer, Tioga, Orleans, Allegany, Ulster, Albany, Rensselaer, Tompkins, Wyoming, Columbia, Schuyler, Rock- land, Chenango, Monroe, Chemung, Seneca, Sullivan, Wayne, Livingston, Schenectady, Montgomery, Delaware, Clinton, Niagara, Yates, Lewis, Essex, Dutchess, Schoharie, Putnam, Chautauqua, Orange, Oswego, Ontario, Jefferson, ST. LAWRENCE or Onondaga and by the county of Cortland and the city of Cortland and by the county of Broome and the city of Bing- hamton and by the county of Cayuga and the city of Auburn and by the county of Otsego and the city of Oneonta and by the county of Madison and the city of Oneida and by the county of Fulton and the city of Gloversville or the city of Johnstown as provided in section twelve hundred ten of this article) at a rate in excess of three percent, except that, in the city of Yonkers, in the city of Mount Vernon, in the city of New Rochelle, in the city of Fulton and in the city of Oswego, the rate may not be in excess of four percent and in the city of White Plains, the rate may not be in excess of four percent and except that in the city of Poughkeepsie in the county of Dutchess, if such county with- draws from the metropolitan commuter transportation district pursuant to section twelve hundred seventy-nine-b of the public authorities law and if the revenues from a three-eighths percent rate of such tax imposed by such county, pursuant to the authority of section twelve hundred ten of this article, are required by local laws, ordinances or resolutions to be set aside for mass transportation purposes, the rate may not be in excess of three and three-eighths percent. S 4. Section 1224 of the tax law is amended by adding a new subdivi- sion (ii) to read as follows: (II) THE COUNTY OF ST. LAWRENCE SHALL HAVE THE SOLE RIGHT TO IMPOSE THE ADDITIONAL ONE PERCENT RATE OF TAX WHICH SUCH COUNTY IS AUTHORIZED TO IMPOSE PURSUANT TO THE AUTHORITY OF SECTION TWELVE HUNDRED TEN OF THIS ARTICLE. SUCH ADDITIONAL RATE OF TAX SHALL BE IN ADDITION TO ANY OTHER TAX WHICH SUCH COUNTY MAY IMPOSE OR MAY BE IMPOSING PURSUANT TO THIS ARTICLE OR ANY OTHER LAW AND SUCH ADDITIONAL RATE OF TAX SHALL NOT BE SUBJECT TO PREEMPTION. THE MAXIMUM THREE PERCENT RATE REFERRED TO IN THIS SECTION SHALL BE CALCULATED WITHOUT REFERENCE TO THE ADDITIONAL ONE PERCENT RATE OF TAX WHICH THE COUNTY OF ST. LAWRENCE IS AUTHORIZED AND
EMPOWERED TO ADOPT PURSUANT TO SECTION TWELVE HUNDRED TEN OF THIS ARTI- CLE. S 5. Notwithstanding any other provision of law to the contrary, if the county of St. Lawrence enacts or amends a local law, ordinance or resolution to impose, effective on December 1, 2013, the additional one percent additional rate of sales and compensating use taxes authorized by this act, such local law, ordinance or resolution shall take effect in accordance with the provisions of subdivision (d) of section 1210 of the tax law, except that the minimum notice requirements to the commis- sioner of taxation and finance shall be deemed complied with if such county mails by certified or registered mail, a certified copy of such local law, ordinance or resolution to such commissioner at his or her office in Albany on or before November 1, 2013. S 6. This act shall take effect immediately.

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