S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8489
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                              August 22, 2025
                                ___________
 
 Introduced  by  Sen.  WEBER  -- read twice and ordered printed, and when
   printed to be committed to the Committee on Rules
 
 AN ACT to amend the tax law and the education law, in relation to estab-
   lishing a real property tax freeze credit
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  606  of  the  tax law is amended by adding a new
 subsection (bbb) to read as follows:
   (BBB) REAL PROPERTY TAX FREEZE CREDIT. (1) AS USED IN THIS SUBSECTION:
   (A) "FREEZE-COMPLIANT BUDGET" MEANS A BUDGET OF A TAXING  JURISDICTION
 THAT  HAS MET THE REQUIREMENTS OF SECTION TWO THOUSAND TWENTY-THREE-B OF
 THE EDUCATION LAW OR SECTION  THREE-D  OF  THE  GENERAL  MUNICIPAL  LAW,
 WHICHEVER IS APPLICABLE.
   (B)  "INDEPENDENT  SPECIAL  DISTRICT"  AND "DEPENDENT SCHOOL DISTRICT"
 HAVE THE SAME MEANING AS SET FORTH IN SECTION  THREE-D  OF  THE  GENERAL
 MUNICIPAL LAW.
   (C)  "STAR EXEMPTION" MEANS THE SCHOOL TAX RELIEF EXEMPTION AUTHORIZED
 BY SECTION FOUR HUNDRED TWENTY-FIVE OF THE REAL PROPERTY TAX LAW.
   (D) "STAR CREDIT" MEANS THE SCHOOL TAX  RELIEF  CREDIT  AUTHORIZED  BY
 SUBSECTION (EEE) OF THIS SECTION.
   (E)  "TAXING JURISDICTION" MEANS A COUNTY, CITY, TOWN, VILLAGE, SCHOOL
 DISTRICT OR AN INDEPENDENT SPECIAL DISTRICT, EXCEPT THAT SUCH TERM SHALL
 NOT INCLUDE A CITY WITH A POPULATION OF ONE MILLION OR MORE,  NOR  SHALL
 IT INCLUDE A COUNTY WHOLLY LOCATED WITHIN SUCH A CITY.
   (F)  "LEVY CREDIT FACTOR" MEANS THE ALLOWABLE LEVY GROWTH FACTOR FOR A
 TAXING JURISDICTION, AS DETERMINED PURSUANT TO SECTION  THREE-C  OF  THE
 GENERAL  MUNICIPAL  LAW  OR  SECTION  TWO THOUSAND TWENTY-THREE-A OF THE
 EDUCATION LAW, MINUS ONE.
   (2) AN INDIVIDUAL TAXPAYER WHO MEETS  THE  ELIGIBILITY  STANDARDS  SET
 FORTH  IN PARAGRAPH THREE OF THIS SUBSECTION AND WHOSE PRIMARY RESIDENCE
 IS LOCATED IN A TAXING JURISDICTION THAT HAS A  FREEZE-COMPLIANT  BUDGET
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD13625-02-5
              

 S. 8489                             2
 
 FOR  THE  FISCAL  YEAR STARTING IN TWO THOUSAND TWENTY-SIX, TWO THOUSAND
 TWENTY-SEVEN AND TWO THOUSAND TWENTY-EIGHT SHALL  BE  ALLOWED  A  CREDIT
 AGAINST  THE TAXES IMPOSED BY THIS ARTICLE. SUBJECT TO THE PROVISIONS OF
 PARAGRAPH  SIX  OF  THIS  SUBSECTION, SUCH CREDIT SHALL BE DETERMINED AS
 FOLLOWS:
   (A) IF A SCHOOL DISTRICT OTHER THAN A DEPENDENT SCHOOL DISTRICT HAS  A
 FREEZE-COMPLIANT  BUDGET  FOR  ITS  FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-SIX, A CREDIT SHALL BE ALLOWED FOR THE  ELIGIBLE  TAXPAYER'S  TWO
 THOUSAND  TWENTY-SIX  TAXABLE  YEAR IN THE AMOUNT THAT IS THE GREATER OF
 THE AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH  RESIDENCE
 BY  OR ON BEHALF OF THAT SCHOOL DISTRICT FOR THE FISCAL YEAR STARTING IN
 TWO THOUSAND TWENTY-SIX EXCEEDS THE REAL PROPERTY TAXES SO  IMPOSED  FOR
 THE  FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-FIVE, OR THE PRODUCT OF
 THE REAL PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON  BEHALF  OF
 THAT  SCHOOL DISTRICT FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWEN-
 TY-FIVE MULTIPLIED BY THE LEVY CREDIT FACTOR FOR  THAT  SCHOOL  DISTRICT
 FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX.
   (B)  IF  A TAXING JURISDICTION, OTHER THAN A SCHOOL DISTRICT OR A CITY
 WITH A DEPENDENT SCHOOL DISTRICT, HAS A FREEZE-COMPLIANT BUDGET FOR  ITS
 FISCAL  YEAR  STARTING  IN  TWO THOUSAND TWENTY-SEVEN, A CREDIT SHALL BE
 ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO  THOUSAND  TWENTY-SEVEN  TAXABLE
 YEAR  IN  THE AMOUNT THAT IS THE GREATER OF THE AMOUNT BY WHICH THE REAL
 PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE  BY  OR  ON  BEHALF  OF  THAT
 TAXING  JURISDICTION  FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWEN-
 TY-SEVEN EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL  YEAR
 STARTING IN TWO THOUSAND TWENTY-SIX, OR THE PRODUCT OF THE REAL PROPERTY
 TAXES  IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF THAT TAXING JURIS-
 DICTION FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWENTY-SIX  MULTI-
 PLIED  BY  THE  LEVY  CREDIT FACTOR FOR THAT TAXING JURISDICTION FOR THE
 FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN.
   (C) IF A SCHOOL DISTRICT OTHER THAN A DEPENDENT SCHOOL DISTRICT HAS  A
 FREEZE-COMPLIANT  BUDGET  FOR  ITS  FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-SEVEN, A CREDIT SHALL BE ALLOWED FOR THE ELIGIBLE TAXPAYER'S  TWO
 THOUSAND TWENTY-SEVEN TAXABLE YEAR IN THE AMOUNT BY WHICH THE REAL PROP-
 ERTY  TAXES  IMPOSED  UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH SCHOOL
 DISTRICT FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX EXCEEDS
 THE REAL PROPERTY TAXES SO IMPOSED FOR THE  FISCAL  YEAR  IDENTIFIED  AS
 FOLLOWS:
   (I)  IF  THE  SCHOOL DISTRICT'S BUDGET FOR THE FISCAL YEAR STARTING IN
 TWO THOUSAND TWENTY-SIX WAS A FREEZE-COMPLIANT BUDGET, A CREDIT SHALL BE
 ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO  THOUSAND  TWENTY-SEVEN  TAXABLE
 YEAR  IN  THE AMOUNT OF THE CREDIT FOR SCHOOL DISTRICT TAXES ALLOWED FOR
 THE ELIGIBLE TAXPAYER'S TWO THOUSAND TWENTY-SIX TAXABLE  YEAR;  TOGETHER
 WITH  THE  AMOUNT  THAT  IS  THE GREATER OF THE AMOUNT BY WHICH THE REAL
 PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE  BY  OR  ON  BEHALF  OF  THAT
 SCHOOL DISTRICT FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SEV-
 EN EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL YEAR START-
 ING  IN  TWO  THOUSAND  TWENTY-SIX,  OR THE PRODUCT OF THE REAL PROPERTY
 TAXES IMPOSED UPON SUCH  RESIDENCE  BY  OR  ON  BEHALF  OF  SUCH  SCHOOL
 DISTRICT  FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX MULTI-
 PLIED BY THE LEVY CREDIT FACTOR FOR THAT SCHOOL DISTRICT FOR THE  FISCAL
 YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN.
   (II)  IF  THE SCHOOL DISTRICT'S BUDGET FOR THE FISCAL YEAR STARTING IN
 TWO THOUSAND TWENTY-SIX WAS NOT  A  FREEZE-COMPLIANT  BUDGET,  A  CREDIT
 SHALL  BE  ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO THOUSAND TWENTY-SEVEN
 TAXABLE YEAR IN THE AMOUNT THAT IS THE GREATER OF THE  AMOUNT  BY  WHICH
 S. 8489                             3
 
 THE  REAL  PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF
 THAT SCHOOL DISTRICT FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWEN-
 TY-SEVEN  EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL YEAR
 STARTING IN TWO THOUSAND TWENTY-SIX, OR THE PRODUCT OF THE REAL PROPERTY
 TAXES  IMPOSED  UPON  SUCH  RESIDENCE  BY  OR  ON  BEHALF OF SUCH SCHOOL
 DISTRICT FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX  MULTI-
 PLIED  BY THE LEVY CREDIT FACTOR FOR SUCH SCHOOL DISTRICT FOR THE FISCAL
 YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN.
   (D) IF A TAXING JURISDICTION, OTHER THAN A SCHOOL DISTRICT OR  A  CITY
 WITH  A DEPENDENT SCHOOL DISTRICT, HAS A FREEZE-COMPLIANT BUDGET FOR ITS
 FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-EIGHT:
   (I) IF THE TAXING JURISDICTION'S BUDGET FOR THE FISCAL  YEAR  STARTING
 IN  TWO  THOUSAND  TWENTY-SEVEN  WAS A FREEZE-COMPLIANT BUDGET, A CREDIT
 SHALL BE ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO  THOUSAND  TWENTY-EIGHT
 TAXABLE  YEAR IN THE AMOUNT OF THE CREDIT FOR THE TAXES IMPOSED BY OR ON
 BEHALF OF SUCH TAXING JURISDICTION ALLOWED FOR THE  ELIGIBLE  TAXPAYER'S
 TWO THOUSAND TWENTY-SEVEN TAXABLE YEAR; TOGETHER WITH THE AMOUNT THAT IS
 THE  GREATER OF THE AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON
 SUCH RESIDENCE BY OR ON BEHALF  OF  SUCH  TAXING  JURISDICTION  FOR  THE
 FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-EIGHT EXCEEDS THE REAL PROP-
 ERTY  TAXES  IMPOSED  UPON SUCH RESIDENCE BY OR ON BEHALF OF THAT TAXING
 JURISDICTION FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWENTY-SEVEN,
 OR THE PRODUCT OF THE REAL PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY
 OR ON BEHALF OF SUCH TAXING JURISDICTION FOR THE FISCAL YEAR STARTING IN
 TWO  THOUSAND TWENTY-SEVEN MULTIPLIED BY THE LEVY CREDIT FACTOR FOR SUCH
 TAXING JURISDICTION FOR THE FISCAL YEAR STARTING IN TWO  THOUSAND  TWEN-
 TY-EIGHT.
   (II)  IF THE TAXING JURISDICTION'S BUDGET FOR THE FISCAL YEAR STARTING
 IN TWO THOUSAND TWENTY-SEVEN WAS NOT A FREEZE-COMPLIANT BUDGET, A CREDIT
 SHALL BE ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO  THOUSAND  TWENTY-EIGHT
 TAXABLE  YEAR  IN  THE AMOUNT THAT IS THE GREATER OF THE AMOUNT BY WHICH
 THE REAL PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON  BEHALF  OF
 SUCH  TAXING  JURISDICTION  FOR THE FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-EIGHT EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR  THE  FISCAL
 YEAR  STARTING  IN TWO THOUSAND TWENTY-SEVEN, OR THE PRODUCT OF THE REAL
 PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE  BY  OR  ON  BEHALF  OF  SUCH
 TAXING  JURISDICTION  FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWEN-
 TY-SEVEN MULTIPLIED BY THE LEVY CREDIT FACTOR FOR SUCH TAXING  JURISDIC-
 TION FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-EIGHT.
   (E)  IF A CITY WITH A DEPENDENT SCHOOL DISTRICT HAS A FREEZE-COMPLIANT
 BUDGET FOR ITS FISCAL YEAR STARTING IN TWO THOUSAND  TWENTY-SIX,  A  TAX
 CREDIT  SHALL  BE ALLOWED FOR THE ELIGIBLE TAXPAYER'S TWO THOUSAND TWEN-
 TY-SIX TAXABLE YEAR IN THE AMOUNT EQUIVALENT TO SIXTY-SEVEN  PERCENT  OF
 THE  AMOUNT THAT IS THE GREATER OF THE AMOUNT BY WHICH THE REAL PROPERTY
 TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF THAT CITY  FOR  THE
 FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX EXCEEDS THE REAL PROPER-
 TY  TAXES  SO IMPOSED FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWEN-
 TY-FIVE, OR THE PRODUCT OF THE REAL PROPERTY  TAXES  IMPOSED  UPON  SUCH
 RESIDENCE  BY  OR ON BEHALF OF SUCH CITY FOR THE FISCAL YEAR STARTING IN
 TWO THOUSAND TWENTY-FIVE MULTIPLIED BY THE LEVY CREDIT FACTOR  FOR  SUCH
 CITY FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX.
   (F)  IF A CITY WITH A DEPENDENT SCHOOL DISTRICT HAS A FREEZE-COMPLIANT
 BUDGET FOR ITS FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN:
   (I) IF THE CITY'S BUDGET FOR THE FISCAL YEAR STARTING IN TWO  THOUSAND
 TWENTY-FIVE WAS A FREEZE-COMPLIANT BUDGET, A CREDIT SHALL BE ALLOWED FOR
 THE  ELIGIBLE  TAXPAYER'S  TWO  THOUSAND TWENTY-SEVEN TAXABLE YEAR IN AN
 S. 8489                             4
 
 AMOUNT EQUIVALENT TO THIRTY-THREE PERCENT OF  THE  AMOUNT  THAT  IS  THE
 GREATER OF THE AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH
 RESIDENCE  BY  THAT  CITY  FOR  THE FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-SIX  EXCEEDS  THE  REAL  PROPERTY TAXES SO IMPOSED FOR THE FISCAL
 YEAR STARTING IN TWO THOUSAND TWENTY-FIVE, OR THE PRODUCT  OF  THE  REAL
 PROPERTY  TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH CITY
 FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-FIVE  MULTIPLIED  BY
 THE LEVY CREDIT FACTOR FOR SUCH CITY FOR THE FISCAL YEAR STARTING IN TWO
 THOUSAND  TWENTY-SIX;  TOGETHER  WITH  THE  AMOUNT OF THE CREDIT FOR THE
 TAXES IMPOSED BY OR ON BEHALF OF SUCH  CITY  ALLOWED  FOR  THE  ELIGIBLE
 TAXPAYER'S  TWO  THOUSAND TWENTY-FIVE TAXABLE YEAR; AND TOGETHER WITH AN
 AMOUNT EQUIVALENT TO SIXTY-SEVEN PERCENT  OF  THE  AMOUNT  THAT  IS  THE
 GREATER OF THE AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH
 RESIDENCE  BY  THAT  CITY  FOR  THE FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-SEVEN EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR  THE  FISCAL
 YEAR  STARTING  IN  TWO  THOUSAND TWENTY-SIX; OR THE PRODUCT OF THE REAL
 PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH  CITY
 FOR  THE  FISCAL  YEAR STARTING IN TWO THOUSAND TWENTY-SIX MULTIPLIED BY
 THE LEVY CREDIT FACTOR FOR SUCH CITY FOR THE FISCAL YEAR STARTING IN TWO
 THOUSAND TWENTY-SEVEN; AND A CREDIT SHALL BE ALLOWED  FOR  THE  ELIGIBLE
 TAXPAYER'S  TWO  THOUSAND  TWENTY-EIGHT TAXABLE YEAR IN AN AMOUNT EQUIV-
 ALENT TO THIRTY-THREE PERCENT OF THE AMOUNT THAT IS THE GREATER  OF  THE
 AMOUNT  BY  WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY
 THAT CITY FOR THE FISCAL YEAR  STARTING  IN  TWO  THOUSAND  TWENTY-SEVEN
 EXCEEDS  THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL YEAR STARTING
 IN TWO THOUSAND TWENTY-SIX, OR THE PRODUCT OF THE  REAL  PROPERTY  TAXES
 IMPOSED  UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH CITY FOR THE FISCAL
 YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN MULTIPLIED BY THE LEVY CREDIT
 FACTOR FOR SUCH CITY FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWEN-
 TY-SEVEN;  TOGETHER  WITH  AN  AMOUNT EQUIVALENT TO 49.25 PERCENT OF THE
 AMOUNT OF THE CREDIT FOR THE TAXES IMPOSED BY OR ON BEHALF OF SUCH  CITY
 ALLOWED  FOR  THE  ELIGIBLE  TAXPAYER'S  TWO THOUSAND TWENTY-SIX TAXABLE
 YEAR.
   (II) IF THE CITY'S BUDGET FOR THE FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-SIX WAS NOT A FREEZE-COMPLIANT BUDGET, A CREDIT SHALL BE  ALLOWED
 FOR THE ELIGIBLE TAXPAYER'S TWO THOUSAND TWENTY-SEVEN TAXABLE YEAR IN AN
 AMOUNT  EQUIVALENT  TO  SIXTY-SEVEN  PERCENT  OF  THE AMOUNT THAT IS THE
 GREATER OF THE AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH
 RESIDENCE BY THAT CITY FOR THE FISCAL  YEAR  STARTING  IN  TWO  THOUSAND
 TWENTY-SEVEN  EXCEEDS  THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL
 YEAR STARTING IN TWO THOUSAND TWENTY-SIX OR  THE  PRODUCT  OF  THE  REAL
 PROPERTY  TAXES IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH CITY
 FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWENTY-SIX  MULTIPLIED  BY
 THE LEVY CREDIT FACTOR FOR SUCH CITY FOR THE FISCAL YEAR STARTING IN TWO
 THOUSAND  TWENTY-SEVEN;  AND  A CREDIT SHALL BE ALLOWED FOR THE ELIGIBLE
 TAXPAYER'S TWO THOUSAND TWENTY-EIGHT TAXABLE YEAR IN  AN  AMOUNT  EQUIV-
 ALENT  TO  THIRTY-THREE PERCENT OF THE AMOUNT THAT IS THE GREATER OF THE
 AMOUNT BY WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH  RESIDENCE  BY
 THAT  CITY  FOR  THE  FISCAL  YEAR STARTING IN TWO THOUSAND TWENTY-SEVEN
 EXCEEDS THE REAL PROPERTY TAXES SO IMPOSED FOR THE FISCAL YEAR  STARTING
 IN  TWO  THOUSAND  TWENTY-SIX  OR THE PRODUCT OF THE REAL PROPERTY TAXES
 IMPOSED UPON SUCH RESIDENCE BY OR ON BEHALF OF SUCH CITY FOR THE  FISCAL
 YEAR  STARTING  IN TWO THOUSAND TWENTY-SIX MULTIPLIED BY THE LEVY CREDIT
 FACTOR FOR SUCH CITY FOR THE FISCAL YEAR STARTING IN TWO THOUSAND  TWEN-
 TY-SEVEN.
 S. 8489                             5
 
   (G)  IF A CITY WITH A DEPENDENT SCHOOL DISTRICT HAS A FREEZE-COMPLIANT
 BUDGET FOR ITS FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX BUT  DOES
 NOT  HAVE  A FREEZE-COMPLIANT BUDGET FOR ITS FISCAL YEAR STARTING IN TWO
 THOUSAND TWENTY-SEVEN, A TAX CREDIT SHALL BE ALLOWED  FOR  THE  ELIGIBLE
 TAXPAYER'S TWO THOUSAND TWENTY-SEVEN TAXABLE YEAR AN AMOUNT REPRESENTING
 THIRTY-THREE  PERCENT OF THE AMOUNT THAT IS THE GREATER OF THE AMOUNT BY
 WHICH THE REAL PROPERTY TAXES IMPOSED UPON SUCH RESIDENCE BY  THAT  CITY
 FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX EXCEEDS THE REAL
 PROPERTY  TAXES  SO IMPOSED FOR THE FISCAL YEAR STARTING IN TWO THOUSAND
 TWENTY-FIVE OR THE PRODUCT OF THE REAL PROPERTY TAXES IMPOSED UPON  SUCH
 RESIDENCE  BY  OR ON BEHALF OF SUCH CITY FOR THE FISCAL YEAR STARTING IN
 TWO THOUSAND TWENTY-FIVE MULTIPLIED BY THE LEVY CREDIT FACTOR  FOR  SUCH
 CITY FOR THE FISCAL YEAR STARTING IN TWO THOUSAND TWENTY-SIX.
   (3)  TO BE ELIGIBLE FOR SUCH CREDIT, THE TAXPAYER, OR TAXPAYERS FILING
 JOINT RETURNS, MUST MEET THE FOLLOWING CRITERIA:
   (A) FOR THE TWO  THOUSAND  TWENTY-SIX  TAXABLE  YEAR,  THE  TAXPAYER'S
 PRIMARY  RESIDENCE  MUST HAVE QUALIFIED FOR THE STAR EXEMPTION OR CREDIT
 FOR THE TWO THOUSAND TWENTY-SIX--TWO THOUSAND TWENTY-SEVEN SCHOOL  YEAR,
 OR  WOULD  HAVE SO QUALIFIED IF AN APPLICATION FOR SUCH BENEFIT HAD BEEN
 SUBMITTED IN A TIMELY MANNER.
   (B) FOR THE TWO THOUSAND TWENTY-SEVEN  TAXABLE  YEAR,  THE  TAXPAYER'S
 PRIMARY  RESIDENCE  MUST HAVE QUALIFIED FOR THE STAR EXEMPTION OR CREDIT
 FOR THE TWO  THOUSAND  TWENTY-SEVEN--TWO  THOUSAND  TWENTY-EIGHT  SCHOOL
 YEAR,  OR WOULD HAVE SO QUALIFIED IF AN APPLICATION FOR SUCH BENEFIT HAD
 BEEN SUBMITTED IN A TIMELY MANNER.
   (C) FOR THE TWO THOUSAND TWENTY-EIGHT  TAXABLE  YEAR,  THE  TAXPAYER'S
 PRIMARY  RESIDENCE  MUST HAVE QUALIFIED FOR THE STAR EXEMPTION OR CREDIT
 FOR THE TWO THOUSAND TWENTY-EIGHT--TWO THOUSAND TWENTY-NINE SCHOOL YEAR,
 OR WOULD HAVE SO QUALIFIED IF AN APPLICATION FOR SUCH BENEFIT  HAD  BEEN
 SUBMITTED IN A TIMELY MANNER.
   (4)  FOR  EACH  YEAR  THIS  CREDIT  IS ALLOWED, THE COMMISSIONER SHALL
 DETERMINE THE TAXPAYER'S  ELIGIBILITY  FOR  THIS  CREDIT  UTILIZING  THE
 INFORMATION  AVAILABLE  TO  THE  COMMISSIONER. WHEN THE COMMISSIONER HAS
 DETERMINED A TAXPAYER TO BE ELIGIBLE FOR THIS CREDIT,  THE  COMMISSIONER
 SHALL ADVANCE A PAYMENT OF THE AMOUNT DETERMINED IN ACCORDANCE WITH THIS
 SUBSECTION.  THE TAXPAYER SHALL NOT APPLY FOR SUCH CREDIT IN CONJUNCTION
 WITH THE FILING OF THEIR RETURN. A TAXPAYER WHO HAS FAILED TO RECEIVE AN
 ADVANCE PAYMENT THAT THEY BELIEVE WAS DUE TO THEM, OR WHO  HAS  RECEIVED
 AN  ADVANCE  PAYMENT  THAT THEY BELIEVE IS LESS THAN THE AMOUNT THAT WAS
 DUE TO THEM, MAY REQUEST PAYMENT OF THE CLAIMED DEFICIENCY IN  A  MANNER
 PRESCRIBED BY THE COMMISSIONER.
   (5) IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS SUBSECTION, IF ANY,
 SHALL  EXCEED  THE TAXPAYER'S TAX FOR THE TAXABLE YEAR, THE EXCESS SHALL
 BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE  CREDITED  OR  REFUNDED  IN
 ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED EIGHTY-SIX OF THIS
 ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE PAID THEREON.
   (6)  THE  FOLLOWING  PROVISIONS  SHALL APPLY TO THE CALCULATION OF THE
 CREDIT PURSUANT TO PARAGRAPH TWO OF THIS SUBSECTION:
   (A) IF THE TAX BILL PERTAINING  TO  THE  ELIGIBLE  TAXPAYER'S  PRIMARY
 RESIDENCE  INCLUDES  TAXES  LEVIED  BY  OR  ON BEHALF OF MULTIPLE TAXING
 JURISDICTIONS, THE CREDIT SHALL BE BASED UPON THE CHANGE IN  THE  AGGRE-
 GATE TAX LIABILITY OF SUCH RESIDENCE, PROVIDED THAT ANY TAX APPEARING ON
 THE TAX BILL THAT IS NOT ATTRIBUTABLE TO A FREEZE-COMPLIANT BUDGET SHALL
 BE  DISREGARDED  WHEN  DETERMINING  THE  AGGREGATE TAX LIABILITY OF SUCH
 RESIDENCE.
 S. 8489                             6
 
   (B) IF THE TAX BILL PERTAINING  TO  THE  ELIGIBLE  TAXPAYER'S  PRIMARY
 RESIDENCE  INCLUDES  RELIEVED  TAXES OR OTHER TAXES THAT WERE PREVIOUSLY
 BILLED BUT NOT PAID, THOSE TAXES SHALL BE DISREGARDED  WHEN  DETERMINING
 THE AGGREGATE TAX LIABILITY OF SUCH RESIDENCE.
   (C)  IF  THE  TAX  BILL  PERTAINING TO THE ELIGIBLE TAXPAYER'S PRIMARY
 RESIDENCE INCLUDES USAGE CHARGES, UNIT CHARGES OR OTHER CHARGES THAT ARE
 BASED UPON THE CONSUMPTION OF A SERVICE, THOSE CHARGES SHALL  BE  DISRE-
 GARDED WHEN DETERMINING THE AGGREGATE TAX LIABILITY OF SUCH RESIDENCE.
   (D)  NOTWITHSTANDING  THE  FOREGOING PROVISIONS OF THIS SUBSECTION, NO
 CREDIT SHALL BE ALLOWED TO THE EXTENT THAT  THE  TAX  LIABILITY  OF  THE
 ELIGIBLE  TAXPAYER'S  PRIMARY  RESIDENCE INCREASED DUE TO ONE OR MORE OF
 THE FOLLOWING EVENTS:
   (I) A PHYSICAL IMPROVEMENT TO THE ELIGIBLE  TAXPAYER'S  PRIMARY  RESI-
 DENCE.
   (II) A REMOVAL OR REDUCTION OF AN EXEMPTION ON THE ELIGIBLE TAXPAYER'S
 PRIMARY  RESIDENCE,  INCLUDING  A  REDUCTION  OF  THE STAR EXEMPT AMOUNT
 CALCULATED PURSUANT TO SUBDIVISION TWO OF SECTION FOUR  HUNDRED  TWENTY-
 FIVE OF THE REAL PROPERTY TAX LAW.
   (III) A REVALUATION THAT CAUSED THE ASSESSMENT OF THE ELIGIBLE TAXPAY-
 ER'S  PRIMARY RESIDENCE TO INCREASE BY A PERCENTAGE THAT IS GREATER THAN
 THE APPLICABLE CHANGE IN LEVEL OF ASSESSMENT. AS USED HEREIN, THE  TERMS
 "REVALUATION"  AND  "CHANGE  IN LEVEL OF ASSESSMENT" SHALL HAVE THE SAME
 MEANINGS AS DEFINED IN SECTIONS ONE HUNDRED TWO AND TWELVE HUNDRED TWEN-
 TY OF THE REAL PROPERTY TAX LAW, RESPECTIVELY.
   (E) IN THE CASE OF PROPERTY  CONSISTING  OF  A  COOPERATIVE  APARTMENT
 CORPORATION  THAT  IS  DESCRIBED  BY PARAGRAPH (K) OF SUBDIVISION TWO OF
 SECTION FOUR HUNDRED TWENTY-FIVE OF THE REAL PROPERTY TAX LAW, AN ELIGI-
 BLE OWNER SHALL BE ALLOWED A CREDIT IN THE AMOUNT EQUAL TO SIXTY PERCENT
 OF THE AVERAGE TAX CREDIT IN THAT TAXING JURISDICTION  FOR  THAT  FISCAL
 YEAR, AS DETERMINED BY THE COMMISSIONER, OR IN THE CASE OF A COOPERATIVE
 APARTMENT  CORPORATION  THAT  IS DESCRIBED BY SUBPARAGRAPH (IV) OF PARA-
 GRAPH (K) OF SUBDIVISION TWO OF SECTION FOUR HUNDRED TWENTY-FIVE OF  THE
 REAL  PROPERTY  TAX  LAW, A CREDIT OF TWENTY PERCENT OF SUCH AVERAGE TAX
 CREDIT.
   (F) IN THE CASE OF PROPERTY  CONSISTING  OF  A  MOBILE  HOME  THAT  IS
 DESCRIBED  BY  PARAGRAPH  (L) OF SUBDIVISION TWO OF SECTION FOUR HUNDRED
 TWENTY-FIVE OF THE REAL PROPERTY TAX LAW, AN  ELIGIBLE  OWNER  SHALL  BE
 ALLOWED A CREDIT IN THE AMOUNT EQUAL TO TWENTY-FIVE PERCENT OF THE AVER-
 AGE  TAX  CREDIT  IN  THAT  TAXING JURISDICTION FOR THAT FISCAL YEAR, AS
 DETERMINED BY THE COMMISSIONER.
   (G) IN THE CASE OF A CITY WITH A DEPENDENT SCHOOL DISTRICT,  IT  SHALL
 BE  PRESUMED THAT SIXTY-SEVEN PERCENT OF THE CITY TAX BILL IS FOR SCHOOL
 DISTRICT PURPOSES AND THAT THIRTY-THREE  PERCENT  IS  FOR  GENERAL  CITY
 PURPOSES.
   (H)  THE  AMOUNT OF THE CREDIT SHALL BE ROUNDED TO THE NEAREST DOLLAR,
 EXCEPT WHERE SUCH AMOUNT IS GREATER THAN ZERO AND LESS THAN  ONE  DOLLAR
 AND FIFTY CENTS, IN WHICH CASE THE AMOUNT OF THE CREDIT SHALL BE ROUNDED
 UP TO TWO DOLLARS.
   (7)  NO  CREDIT  SHALL BE ALLOWED UNDER THIS SUBSECTION IN RELATION TO
 PROPERTY LOCATED WITHIN A CITY WITH A POPULATION OF ONE MILLION OR MORE.
   § 2. The education law is amended by adding a new  section  2023-c  to
 read as follows:
   §  2023-C.  CERTIFICATION  OF  COMPLIANCE  WITH  PROPERTY  TAX  FREEZE
 REQUIREMENTS. 1. A SCHOOL DISTRICT THAT IS SUBJECT TO THE PROVISIONS  OF
 SECTION  TWO  THOUSAND  TWENTY-THREE-A OF THIS PART MUST COMPLY WITH THE
 REQUIREMENTS OF THIS SECTION IN ORDER TO RENDER ITS  TAXPAYERS  ELIGIBLE
 S. 8489                             7
 
 FOR  THE  REAL PROPERTY TAX FREEZE CREDIT AUTHORIZED BY SUBSECTION (BBB)
 OF SECTION SIX HUNDRED SIX OF THE TAX LAW FOR A FISCAL YEAR STARTING  IN
 TWO THOUSAND TWENTY-SIX.
   2.  A. UPON THE ADOPTION OF THE BUDGET OF AN ELIGIBLE SCHOOL DISTRICT,
 THE CHIEF EXECUTIVE OFFICER OF SUCH SCHOOL DISTRICT SHALL CERTIFY TO THE
 STATE COMPTROLLER, THE COMMISSIONER OF  TAXATION  AND  FINANCE  AND  THE
 COMMISSIONER  THAT  THE  BUDGET  SO ADOPTED DOES NOT EXCEED THE TAX LEVY
 LIMIT PRESCRIBED BY SECTION TWO THOUSAND TWENTY-THREE-A  OF  THIS  PART.
 SUCH  CERTIFICATION SHALL BE MADE IN A FORM AND MANNER PRESCRIBED BY THE
 STATE COMPTROLLER IN CONSULTATION WITH THE COMMISSIONER OF TAXATION  AND
 FINANCE AND THE COMMISSIONER.
   B. IN ORDER FOR SUCH CERTIFICATION TO GIVE RISE TO A REAL PROPERTY TAX
 FREEZE  CREDIT  UNDER SUBSECTION (BBB) OF SECTION SIX HUNDRED SIX OF THE
 TAX LAW, SUCH CERTIFICATION SHALL BE MADE NO LATER THAN THE TWENTY-FIRST
 DAY OF THE FISCAL YEAR TO WHICH IT APPLIES.
   C. IF SUCH A CERTIFICATION HAS BEEN MADE AND THE ACTUAL  TAX  LEVY  OF
 THE  SCHOOL  DISTRICT  EXCEEDS THE APPLICABLE TAX LEVY LIMIT, THE EXCESS
 AMOUNT SHALL BE PLACED IN RESERVE AND USED IN THE MANNER  PRESCRIBED  BY
 SUBDIVISION  FIVE  OF  SECTION TWO THOUSAND TWENTY-THREE-A OF THIS PART,
 EVEN IF A TAX LEVY IN EXCESS OF THE TAX LEVY LIMIT HAD BEEN DULY AUTHOR-
 IZED FOR THE APPLICABLE FISCAL YEAR BY THE SCHOOL DISTRICT VOTERS.
   D. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, EVERY  SCHOOL
 DISTRICT THAT IS SUBJECT TO THE PROVISIONS OF SECTION TWO THOUSAND TWEN-
 TY-THREE-A  OF  THIS  PART SHALL REPORT BOTH ITS PROPOSED BUDGET AND ITS
 ADOPTED BUDGET TO THE OFFICE OF THE STATE COMPTROLLER  AND  THE  COMMIS-
 SIONER  AT  THE TIME AND IN THE MANNER AS THEY MAY PRESCRIBE, WHETHER OR
 NOT SUCH BUDGET HAS BEEN OR WILL BE CERTIFIED AS PROVIDED BY THIS SUBDI-
 VISION.
   § 3. This act shall take effect immediately.