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Understanding New York's property tax levy cap
What do YOU need to know?
During the coming months, Green Island Union
Free School District will begin the process of formulating a proposed
spending plan for the 2012-2013 school year. For the most part, the
school district budget development calendar will be similar to last
year’s. However, the one dramatic change in the budget development
process comes in the form of the state’s new tax levy cap legislation.
The law has been misconstrued and misrepresented in media sound bites as
a “2 percent tax cap.” In fact, the law does not restrict any proposed
tax levy increase to 2 percent. Instead, the law determines what level
of support is needed for a school budget to pass. If the tax levy
increase (before exemptions)is above the tax levy limit the support of a
supermajority (60 percent) of voters would be required for budget
passage. If the levy is within the limit, a simple majority is needed
for budget approval.
Something to Keep in Mind
The tax levy is the total dollars that a school district collects from property owners within the district in order to balance its budget. The levy is determined after accounting for all other sources of income, including state aid. The tax rate is used to calculate what each property owner will pay in school taxes.
Capital Region BOCES, in partnership with Questar III BOCES, has released the publication "Understanding New York's Property Tax Levy Cap As It Relates To Public Schools." The publication answers some questions that parents, taxpayers and school staff members may have, based on what is known to date.
Download full publication [pdf]
