More than 18 percent of the 2,416 counties, cities, towns, school districts and fire districts that filed their 2013 property tax cap report indicated they plan to override the cap this year, state Comptroller Thomas DiNapoli announced today.
That’s a higher percentage than was reported at this time last year, the comptroller said. Nearly 15 percent of municipalities, school and fire districts said they planned to override the 2 percent cap on the tax levy. That included 21 percent of cities, 21 percent of towns, 15 percent of fire districts and 6 percent of school districts.
A law adopted in 2011 established a cap of 2 percent a year or the rate of inflation, whichever is less, on the increase in the tax levy. There are some exceptions to the tax cap. It affects all local governments in the state, most school districts, and independent taxing entities such as library, fire and water districts. Local governments can override the cap, and school districts have to seek voter approval to do so.
The tax cap is 2 percent again this year for governments whose budget years start Jan. 1, March 1, April 1, June 1 or July 1. It is 1.96 percent for those whose budget years begin Aug. 1. The state has not yet set the rate for governments whose budget years start Oct. 1.
For details on tax-cap reporting by local governments and school districts, visit the comptroller’s Open Book New York website.