Bill to Protect Against Tax Shifts Between Residential & Commercial Properties in Orangetown Passes State Legislature

Senator David Carlucci (D-Rockland/Westchester) and Assemblywoman Ellen Jaffee (D-Suffern) passed legislation (S7990/A9729), headed to the Governor's desk, which will protect homeowners and businesses in Orangetown against sudden changes in their tax burden.

Orangetown Supervisor Chris Day lobbied tirelessly in support of the bill. 

The legislation creates a band limiting the shift in assessed taxes between residential and commercial (homestead and non-homestead) properties in the Town of Orangetown to not more than 1% in any given year.

“This legislation protects both homeowners and businesses against sudden and unexpected changes in their tax burden in a given year,” said Senator David Carlucci, “The legislation will also allow a measure of predictability to taxpayers in Orangetown that will help them plan and manage their property taxes.”

“I’m pleased to have sponsored this legislation, which will assist the Town of Orangetown in their effort to improve how they assess taxes in the area.  This bill provides municipalities like Orangetown with the ability to examine the best and most effective ways to alleviate tax burden and provide relief to the hard working homeowners and small businesses.   We need to afford our homeowners and businesses with opportunities to remain in New York State contributing to their communities and the growth of our economy,” said Assemblywoman Ellen Jaffee.

“When I brought this concept up in January, I knew that it was extremely important for our taxpayers, as a shift in one year could – with no one being able to do anything to stop it – completely undo any positive steps taken by the town to reduce or keep taxes down for either residential or commercial properties,” said Orangetown Supervisor Chris Day, “I want to thank both Senator Carlucci and Assemblywoman Jaffee for their strong efforts in getting this legislation through.”

Most towns in New York State do not divide their tax levy into homestead and non-homestead, instead having a single rate for all types of property.  Towns that do, however, run the risk of changes in value in one type of property pushing more of the tax burden onto that type of property, resulting in tax hikes that were not passed by any legislative body.  

By creating a band that limits the shift, it allows changes in value to be recognized while not doing so in an extreme manner.

Once this legislation is signed into law it will take effect immediately.