Permits the city of Gloversville and town of Johnstown to enter into certain agreements to provide services and to share property taxes generated therefrom.
Ayes (7): Stewart-Cousins, Oppenheimer, Valesky, Thompson, Johnson C, Little, Bonacic
Excused (1): Morahan
BILL NUMBER: S7057
TITLE OF BILL : An act to amend chapter 148 of the laws of 2001, relating to authorizing the city of Gloversville and the town of Johnstown to enter into certain cooperative agreements, in relation to such agreements
PURPOSE : To expand the circumstances under which the City of Gloversville and the Town of Johnstown may enter into revenue sharing agreements.
SUMMARY OF PROVISIONS : The bill amends Chapter 148 of the Laws of 2001 -- which authorizes tax-sharing agreements between the City of Gloversville and the Town of Johnstown -- in order to allow the two municipalities to enter into revenue sharing agreements for properties of land that are annexed from the town into the city.
EXISTING LAW : Chapter 148 of 2001, as amended by Chapter 303 of 2009, authorized the City of Gloversville and the Town of Johnstown to enter into an agreement in which the City would provide water and other services to certain properties in the Town, and the two municipalities would agree to share the resulting property tax, sales tax and other revenues. The law specified certain items that must be included in the agreement, such as establishing a process for identifying affected properties, identifying the types of taxes to be shared, specifying the percentage of revenues each municipality shall receive, and specifying the process for collecting and sharing the revenues.
JUSTIFICATION : Legislation was enacted in 2001 (Chapter 148), and amended in 2009 (Chapter 303), to enable the City of Gloversville and the Town of Johnstown to enter into a tax sharing agreement in situations where the City provides services to properties in the Town. Officials from the two municipalities have been working together to develop such an agreement.
For one important local development project, these local officials agreed to a revenue sharing proposal. They have subsequently determined that, for this particular case, it is more viable to have the affected town lands annexed into the city. However, the 200 I law does not specifically authorize the two municipalities to enter into revenue sharing arrangements for cooperative efforts involving lands that are being annexed.
As requested by the two governing bodies, this bill expands the existing law in order to encourage and enable the two municipalities to continue to work cooperatively on economic development efforts.
LEGISLATIVE HISTORY : New bill.
FISCAL IMPLICATIONS : None to the State. It is expected that, by working together, both the City of Gloversville and the Town of Johnstown will benefit from future growth and development.
EFFECTIVE DATE : Immediately.
STATE OF NEW YORK ________________________________________________________________________ S. 7057 A. 10183 S E N A T E - A S S E M B L Y March 10, 2010 ___________IN SENATE -- Introduced by Sen. FARLEY -- read twice and ordered print- ed, and when printed to be committed to the Committee on Local Govern- ment IN ASSEMBLY -- Introduced by M. of A. BUTLER -- read once and referred to the Committee on Cities AN ACT to amend chapter 148 of the laws of 2001, relating to authorizing the city of Gloversville and the town of Johnstown to enter into certain cooperative agreements, in relation to such agreements THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Chapter 148 of the laws of 2001, relating to authorizing the city of Gloversville and the town of Johnstown to enter into certain cooperative agreements, as amended by chapter 303 of the laws of 2009, is amended to read as follows: Section 1. Notwithstanding any other provision of law to the contrary, the city of Gloversville and the town of Johnstown are hereby authorized and empowered to enter into agreements with each other whereby
[the city may agree and commit to provide water and other services, including sewer, to properties in the town and, in exchange,]the city and town may agree and commit to share all or a specified part of the [resulting]property tax, sales tax and any other specified taxes generated from [such properties]: (A) PROPERTIES IN THE TOWN FOR WHICH THE CITY HAS AGREED TO PROVIDE WATER AND OTHER SERVICES; AND (B) PROPERTIES ANNEXED FROM THE TOWN INTO THE CITY. S 2. Any such agreement, or any amendments to the agreement, must be approved by each municipality by a majority vote of the voting strength of its governing body. At least thirty days prior to voting on any such agreement or amendments to the agreement, each municipality shall hold a public hearing on the proposal. S 3. When any service to be provided TO PROPERTIES IN THE TOWN involves an independent municipal corporation, the agreement shall also require the participation and approval of such municipal corporation by a majority vote of the voting strength of its governing body.EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD16313-01-0 S. 7057 2 A. 10183
S 4. Any such agreement shall: (i) establish a process for entering into an agreement between the city and the town for identifying and determining the affected proper- ties or boundaries; (ii) identify the types of taxes to be shared; (iii) specify the percentage of tax revenues that each municipality shall receive, or otherwise establish a formula or other means for determining the amount of tax revenues each municipality shall receive; (iv) specify the process and method of collecting and sharing such tax revenues; and (v) address any other matters as determined to be necessary or appro- priate by the city and town. S 5. This act shall take effect immediately. S 2. This act shall take effect immediately, and shall apply to any properties subject to annexation after April 1, 2010.