Bill S6296-2013

Extends the authority of the county of Ulster to impose an additional 1 percent sales and compensating use tax

Extends the authority of the county of Ulster to impose an additional 1 percent sales and compensating use tax; provides that the provisions of this act shall only take effect if the county of Ulster on January 1, 2015 assumes the entire cost of the safety net assistance program.

Details

Actions

  • Jan 23, 2014: SUBSTITUTED BY A7949B
  • Jan 23, 2014: ORDERED TO THIRD READING CAL.51
  • Jan 14, 2014: REPORTED AND COMMITTED TO RULES
  • Jan 9, 2014: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

Meetings

Calendars

Votes

VOTE: COMMITTEE VOTE: - Investigations and Government Operations - Jan 14, 2014
Ayes (7): Marcellino, Carlucci, Nozzolio, O'Mara, Zeldin, Hoylman, Diaz
Ayes W/R (2): Golden, Squadron

Memo

BILL NUMBER:S6296

TITLE OF BILL: An act to amend the tax law and chapter 200 of the laws of 2002 amending the tax law relating to certain tax rates imposed by the county of Ulster, in relation to extending the authority of the county of Ulster to impose an additional 1 percent sales and compensating use tax

PURPOSE: This bill would permit Ulster County to begin imposing an additional 1percent rate of sales and compensating use tax beginning February 1, 2014 until December 31, 2014. It would also allow Ulster County to begin imposing an additional 1 percent rate of sales and compensating use tax beginning January 1, 2015 until November 30, 2015 if the Ulster County Legislature certifies to the Commissioner of the Department of Taxation and Finance that the County of Ulster will be responsible for the full local share of the Safety Net Assistance Program.

SUMMARY OF PROVISIONS:

Section one of the bill permits Ulster County to collect sales taxes for the periods of February 1, 2014 to December 31, 2014 and January 1, 2015 to November 30, 2015.

Section three requires Ulster County to honor its existing sales tax collection and disbursement agreement with the City of Kingston within this new agreement.

Section three also requires the Ulster County Legislature to pass a local ordinance in order to impose a one percent additional rate of sales and compensating use tax authorized by this act for the period beginning February 1, 2014 and ending December 31, 2014 and send that ordinance to the commissioner of Taxation and Finance shall be received on or prior to January 23, 2014.

Section four requires the Ulster County Legislature to pass a local ordinance in order to impose a one percent additional rate of sales and compensating use tax authorized by this act for the period beginning January 1, 2015 and ending November 30, 2015. This ordinance also must include language which certifies that the County will take over all Safety Net costs from municipalities by January 1, 2015.

JUSTIFICATION: Ulster County is the only county in New York State that passes on the cost of the Safety Net Program to local municipalities. While Ulster County will assume two thirds of the local share annually beginning in 2014 as part of a phased takeover, municipalities had been assuming a 50 percent share of the cost of the program until a 2011 increase left localities to cover a 71%. share. This has caused a significant fiscal burden on Ulster County's local governments. The estimated revenue from the extension of a 1 percent sales and compensating use tax is more than enough funding to cover these costs and provide much needed relief to municipalities. It is also germane that State and Federal funding of the cost of separate public assistance programs was assumed completely at the same time the towns of Ulster County and the City of Kingston were required to pay an increased share of Safety Net costs. Where in other counties, the increased burden of Safety Net was more than offset by increased

Public Assistance support, in Ulster County uniquely the county government was enriched at the expense of the towns and City of Kingston. This legislation corrects that inequity.

FISCAL IMPLICATIONS: None to the State.

EFFECTIVE DATE: This act shall take effect immediately.


Text

STATE OF NEW YORK ________________________________________________________________________ 6296 IN SENATE January 9, 2014 ___________
Introduced by COMMITTEE ON RULES -- read twice and ordered printed, and when printed to be committed to the Committee on Investigations and Government Operations AN ACT to amend the tax law and chapter 200 of the laws of 2002 amending the tax law relating to certain tax rates imposed by the county of Ulster, in relation to extending the authority of the county of Ulster to impose an additional 1 percent sales and compensating use tax THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Clause 7 of subparagraph (i) of the opening paragraph of section 1210 of the tax law, as amended by chapter 231 of the laws of 2011, is amended to read as follows: (7) the county of Ulster is hereby further authorized and empowered to adopt and amend local laws, ordinances or resolutions imposing such taxes at a rate which is one percent additional to the three percent rate authorized above in this paragraph for such county (I) for the period beginning September first, two thousand two and ending November thirtieth, two thousand thirteen AND (II) FOR THE PERIOD BEGINNING FEBRUARY FIRST, TWO THOUSAND FOURTEEN, AND ENDING DECEMBER THIRTY-FIRST, TWO THOUSAND FOURTEEN AND (III) FOR THE PERIOD BEGINNING JANUARY FIRST, TWO THOUSAND FIFTEEN AND ENDING NOVEMBER THIRTIETH, TWO THOUSAND FIFTEEN; S 2. Section 3 of chapter 200 of the laws of 2002 amending the tax law relating to certain tax rates imposed by the county of Ulster, as amended by chapter 231 of the laws of 2011, is amended to read as follows: S 3. If, pursuant to the authority of this act, the county of Ulster imposes sales and compensating use taxes at a rate greater than three percent for all or any portion of the period commencing September 1, 2002, and ending November 30, [2013] 2015, net collections from such additional rate of tax imposed during such period shall be deemed to be, and shall be included in, net collections subject to such county's existing agreement with the city of Kingston entered into pursuant to
subdivision (c) of section 1262 of the tax law and such net collections shall be allocated in accordance with such agreement. S 3. Notwithstanding any provision of law to the contrary, if Ulster county adopts or amends a local law, ordinance, or resolution to impose a one percent additional rate of sales and compensating use taxes authorized by this act for the period beginning February 1, 2014 and ending December 31, 2014, such local law, ordinance, or resolution shall take effect on that date in accordance with the provisions of subdivi- sion (d) of section 1210 of the tax law, except that such additional rate may take effect on February 1, 2014, and the minimum notice requirements to the commissioner 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, and provides a true copy of such local law, ordinance or resolution to such commissioner by elec- tronic mail on or before January 23, 2014. S 4. (a) As a condition precedent to imposing the additional rate of sales and compensating use taxes authorized by this act for the period beginning January 1, 2015, and ending November 30, 2015, the county of Ulster shall adopt the resolution set out in subdivision (b) of this section, in exactly the form set out in such subdivision (b), and shall mail a certified copy of such resolution to the commissioner of taxation and finance at the same time and in the same envelope that the county mails a certified copy of its local enactment imposing such additional rate of tax, in accordance with the provisions of subdivision (d) of section 1210 of the tax law; provided, however, that notwithstanding the effective dates specified in such subdivision (d), such additional rate of tax may take effect on January 1, 2015. Upon receiving such certi- fied copy of the county's resolution adopted pursuant to this section, together with the certified copy of such enactment imposing such addi- tional rate of tax, the commissioner shall be authorized to administer such additional rate of tax for the period authorized by this act and as set forth in such enactment imposing such additional rate. (b) The form of the resolution described in subdivision (a) of this section shall be exactly as follows: RESOLUTION of the county of Ulster regarding the Safety Net Assistance Program Section 1. The county of Ulster will be responsible for the full local share of the Safety Net Assistance Program required of the county by the State of New York and will not require towns and cities within its limits to contribute to the cost of this program. This responsibility has also been assumed in Ulster County's Adopted Budget for the year 2015. This resolution shall take effect January 1, 2015. S 5. 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