N.Y. Tax Law § 1262-b: The Westchester county property tax stabilization and relief act

* § 1262-b. The Westchester county property tax stabilization and

relief act. Notwithstanding any other provision of law to the contrary:

(a) If the county of Westchester imposes sales and compensating use

taxes pursuant to subdivision (a) of section twelve hundred ten of this

article at the rate of three percent:

(1) The county shall allocate one-half of net collections from such

taxes imposed pursuant to subdivision (a) of section twelve hundred ten

of this article countywide among the cities and towns of the county on

the basis of the ratio which the full valuation of real property in each

city or town bears to the aggregate full valuation of real property in

all cities and towns of the county. Amounts so allocated shall be

credited to each of said cities and towns against the county taxes

levied upon real property in said cities and towns.

(2) The county shall allocate and credit or pay one-third of net

collections from such taxes imposed pursuant to subdivision (a) of

section twelve hundred ten of this article to the area of the county

outside any city imposing sales and compensating use taxes at a rate of

one and one-half percent or greater pursuant to the authority of

subdivision (a) or at any rate pursuant to the authority of subdivision

(b) of section twelve hundred ten of this article as follows:

(A) One-third of such net collections shall be allocated and credited

in the manner set forth in paragraph one of this subdivision.

(B) One-sixth of such net collections shall be allocated and paid

quarterly by the county commissioner of finance, in cash, to the several

school districts in such area of the county outside any such city

imposing sales and compensating use taxes. Such allocation and payment,

to such several school districts, shall be made on the basis of the

ratio which the population of each such school district bears to the

aggregate population of all of the school districts in such area. In the

case of school districts which are partially within and partially

without the county, or partially within or partially without the area of

the county outside a city imposing sales and compensating use taxes, the

allocation and payment to each such school district shall be made on the

basis of the population in such school district in the county, or in

such area of the county outside a city imposing sales and compensating

use taxes, as the case may be. Such populations shall be determined in

accordance with the latest federal census or special population census

under section twenty of the general municipal law completed and

published prior to the end of the quarter in which such allocation and

payment are made, which special population census shall include the

entire area of the county; provided that such special population census

shall not be taken more than once in every two years. A school district

split between Westchester county and another county shall apply such

allocation and payment solely to the benefit of the residents of the

county in which the sales and compensating use taxes are imposed.

(C) One-half of such net collections shall be allocated and paid

quarterly by the county commissioner of finance, in cash, to the cities

not imposing sales and compensating use taxes and to the towns and

villages on which such rate is imposed, on the basis of the ratio which

the population of each such city, town or village on which such rate is

imposed bears to the entire population of all such cities, towns and

villages in the area on which such rate is imposed. Such populations

shall be determined in accordance with the latest federal census or

special population census under section twenty of the general municipal

law completed and published prior to the end of the quarter in which

such allocation is made, which special population census shall include

the entire area of the county; provided that such special population

census shall not be taken more than once in every two years.

(D) The quarterly allocation and payment of cash to cities, towns,

villages and school districts provided for under this paragraph and

under paragraph three of this subdivision and under subdivision (b) of

this section may be made after payment by the state comptroller to the

county of the net collections subject to such allocation and receipt by

the county commissioner of finance of the quarterly settlement report

issued by the department, and may include adjustments for corrections

applicable to such allocations. All ratios established by the county

commissioner of finance with respect to allocations to cities, towns,

villages and school districts under this subdivision and under

subdivision (b) of this section shall be carried to four decimal places.

The allocation of net collections and payment of cash provided for under

this paragraph and under paragraph three of this subdivision and under

subdivision (b) of this section shall be made to a town based upon the

population of the town less the population of any village therein,

provided that a town/village or village/town shall be deemed a village

for the purpose of determining such allocation. The allocation of net

collections and payment of cash provided for under this paragraph and

under paragraph three of this subdivision and under subdivision (b) of

this section shall be applied by the cities, towns, villages and school

districts receiving such allocation and payment as a credit against the

taxes upon real property imposed by such municipalities and school

districts, respectively. The allocation and payment received by towns

shall be credited against real property taxes in either the general fund

town-wide or the town outside village fund or a combination thereof.

(3) The county shall allocate and credit or pay one-sixth of net

collections from such taxes imposed pursuant to subdivision (a) of

section twelve hundred ten of this article to the area of the county

outside any city imposing sales and compensating use taxes at a rate of

one and one-half percent or greater pursuant to the authority of

subdivision (a) or at any rate pursuant to the authority of subdivision

(b) of section twelve hundred ten of this article as follows:

(A) Seventy percent of such net collections shall be retained by the

county to be used for any county purpose.

(B) Ten percent of such net collections shall be allocated and paid in

the manner set forth in subparagraph (B) of paragraph two of this

subdivision.

(C) Twenty percent of such net collections shall be allocated and paid

in the manner set forth in subparagraph (C) of paragraph two of this

subdivision.

(b) If the county of Westchester imposes the additional one percent

rate of sales and compensating use tax authorized by clause forty-two of

subparagraph (i) of the opening paragraph of section twelve hundred ten

of this article, the county shall allocate and credit or pay net

collections from such additional one percent rate in the manner set

forth in paragraph three of subdivision (a) of this section with respect

to the area of the county outside any city imposing sales and

compensating use taxes at a rate of one and one-half percent or greater

pursuant to the authority of subdivision (a) of section twelve hundred

ten of this article or at any rate pursuant to the authority of

subdivision (b) of section twelve hundred ten of this article.

(c) Nothing in this section shall be construed to impair the powers of

a city currently imposing sales and compensating use taxes pursuant to

the authority of section twelve hundred ten of this article from

continuing to do so in accordance with law. No school district in any

city imposing such sales and compensating use taxes shall be entitled to

receive a cash allocation and payment under paragraph two or three of

subdivision (a) or under subdivision (b) of this section. No city, town

or village authorized or entitled to receive an allocation under

subparagraph (C) of paragraph two or subparagraph (C) of paragraph three

of subdivision (a) or under subdivision (b) of this section shall be

authorized or entitled to receive any cash allocation under section

twelve hundred sixty-two of this article.

* NB Expires November 30, 2027