BILL NUMBER: S967A

SPONSOR: GAUGHRAN
 
TITLE OF BILL:

An act to amend the real property tax law, in relation to certain state
lands constituting a state park subject to taxation

 
PURPOSE OR GENERAL IDEA OF BILL:

This bill expands the list of state lands that will be subject to taxa-
tion.

 
SUMMARY OF SPECIFIC PROVISIONS:

Section 1 adds a new section 532(1) to the real property tax law, which
provides certain circumstances where state land will be subject to taxa-
tion. The benefits of this provision will be available to municipalities
that meet the following criteria:

- The average daily state park attendance for the preceding year
exceeded 25% of the municipal population,
              

- The State owned lands constitutes 10% or more of the total land
contained within the municipality,

- The municipality provides or pays for first responder police
protection and either:

* Pays or provides the cost of first responder fire protection; or

* The residents of the municipality make direct payment to a fire
protection district responsible for protecting the state park and its
visitors, and

- The principal entrance to the state park is within the boundaries of
the municipality.

If a municipality meets the above criteria, and the land is otherwise
not subject to local property taxation, then the municipality will be
entitled to receive a tax payment from the state for the subject land,
not to exceed $250,000.00 as adjusted annually based on CPI, with a
reduction based on any payment in lieu of taxes or other state payments
paid to the municipality which are related to the state park.

Section 2 provides that this act will take effect on the first of April
in the year after it becomes law.

 
JUSTIFICATION:

State lands are typically exempt from local property taxes. However, the
real property tax law enumerates eleven different instances where the
state remains responsible for paying their share of local property
taxes. The state lands which are subject to taxation are as follows:

- wild or forest lands in the forest preserve

- wild or forest lands in the Towns of Altona and Dannemora

- state lands within the boundaries of the Allegany state park

- public lands in Rockland and Putnam Counties

- certain lands in Rockland, Putnam and Orange counties acquired by the
Commissioners of the Palisades Parkway

- lands acquired for the construction and management of portions of the
railway from Lake Champlain

- certain lands leased from the Unites States for use by DEC

- the Bashkill wetland properties

- lands owned by the state pursuant to the racing, pari-mutuel wagering
and breeding law

- lands constituting a portion of Bowman Lake State Park

This legislation would add a new category of taxable state land for
those municipalities that are experiencing high costs related to fire
and police protection services they render at state parks within their
jurisdictions.

A high percent of non-taxed state land shifts the burden of supporting
police, fire and wear and tear on the infrastructure to local residents
even though the public at large uses the state park facilities. This
legislation will bring relief to a small handful of municipalities which
are disproportionately impacted by having large, popular state park land
within their boundaries.

The tax received by the qualifying municipality would be capped at no
more than $250,000.00 per municipality adjusted by CPI annually, and
would be reduced by any PILOT payments or other state support that is
related to support for the subject state park.

 
PRIOR LEGISLATIVE HISTORY:

2020: S7662-A/A9935

 
FISCAL IMPLICATIONS:

To be determined.

 
EFFECTIVE DATE:
This act shall take effect on the first of April next succeeding the
date on which it shall have become a law.