Summary
This bill would amend the real property tax law to provide a structure for computing the amount of local tax revenues lost to localities via the 480 and 480A working forest tax exemption, and for the municipalities to apply for state reimbursement for these losses.

Explanation

New York's working forest lands have always been important contributors to the state's economy. There is a long‑recognized place for a partnership between private enterprise and government for encouraging forestry practices.  For nearly a century, the Section 480 and 480a exemptions outlined in the Real Property Tax Law have been an important part of the state's commitment to such a partnership. The 480a program is particularly important and appropriate, since it requires landowners to submit a management plan in order for their forest land to qualify for the reduced tax assessment. This provision makes it a consistent part of the state's efforts to encourage certified forestry.

However, local “municipal corporations” - which include county, city, town and village governments, as well as school districts - should not bear the financial burden of the 480 and 480a exemption through the loss of local tax revenues, as is currently the case. The current situation is also bad for the environment because it serves to weaken the enthusiasm among local officials and taxpayers for subsidizing and encouraging responsible stewardship of forest lands. This bill represents a step toward bringing much‑needed equity that would help protect and nurture a vital natural resource by allowing local governments to apply for and receive “state assistance payments” to compensate for the lost tax revenue.

One issue that this bill does not address is the source of revenue for these assistance payments.  As proposed the legislation simply says that the state assistance payments shall be paid “out of moneys appropriated by the legislature.” 

Environmental Advocates of New York supports this bill.