SUBJECT:

PURPOSE:

Skyrocketing school property taxes have become a major issue to homeowners throughout New York. To address the issue the State Legislature enacted a real property school tax rebate program (STAR rebate). The rebate checks were mailed out to most homeowners between September and November 1 of this year. The purpose of this hearing is to determine the effectiveness of the STAR rebate, the administration by involved State and local agencies and to ascertain its cost in relation to its ability to provide real property school tax relief. The public hearing is also a forum by which to address the sustainability of the STAR rebate and to hear proposals on how to enhance the program and/or discuss alternatives such as a real property tax circuit breaker.

Oral testimony will be limited to ten minute durations. Ten copies of any prepared testimony should be submitted at the hearing registration desk. The Committees would appreciate advance receipt of prepared statements. Written testimony will also be accepted and may be sent to the contact persons listed on the reply form. In order to publicize the hearing further, please inform interested parties of the Committees' interest in receiving written testimony from all sources.

In order to meet the needs of those who may have a disability, the Senate and Assembly, in accordance with their policy of non-discrimination on the basis of disability, as well as the 1990 Americans with Disabilities Act (ADA), has made its facilities and services available to all individuals with disabilities. For individuals with disabilities, accommodations will be provided, upon reasonable request, to afford such individuals access and admission to Senate and Assembly facilities and activities.

SELECTED ISSUES TO WHICH WITNESSES MAY DIRECT THEIR TESTIMONY:

1. What was the overall cost to administer the STAR real property rebate program (to include the 200,000 checks that had to be destroyed) and are there legislative and/or administrative changes that should be implemented to make the STAR real property tax rebate process more efficient?

2. Should the STAR real property tax rebate be continued in its current form in 2007?

3. The mailing schedule for the STAR rebate checks does not coincide with the deadline for school tax payments. Is there a formidable obstacle to having the STAR rebates issued so that they can coincide with the school tax payment date?

4. Would a real property tax circuit breaker - such as Assembly Bill A. 10258 (PART C) - be a more effective and efficient means of providing real property tax relief? Why or Why not?

5. Is the STAR real property tax rebate equitable tax relief or does it provide greater relief to a certain subset of homeowners?

6. What problems were encountered during the process of administering the rebates?

7. Is the STAR rebate a sustainable form of real property tax relief? Why or Why not?

PUBLIC HEARING REPLY FORM

Persons interested in presenting testimony at the public hearing on the STAR real property tax rebate to be held on December 12, 2006, or who wish to submit written testimony only, are requested to complete and return this reply form to:

Karen Smeaton
Legislative Analyst
23rd Floor, AESOB
Albany, New York 12248
Phone: (518) 455-4311
Fax: (518) 455-7095

I will address my remarks to the following subjects:

I will require assistance and/or handicapped accessibility information. Please specify the type of assistance required: