PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following proposed rule:
Proposed action:
Amendment of section 190-3.2(c)(2) of Title 9 NYCRR.
Statutory authority:
Real Property Tax Law, section 202(1)(l); State Finance Law, section 97-kk
Subject:
License fees for school district users of Office of Real Property Services.
Purpose:
To amend the annual license fee charged to school district users of the Real Property System.
Public hearing(s) will be held at:
2:30 p.m., June 7, 2007 at Office of Real Property Services, 16 Sheridan Ave., Albany, NY.
Accessibility:
All public hearings have been scheduled at places reasonably accessible to persons with a mobility impairment.
Interpreter Service:
Interpreter services will be made available to deaf persons, at no charge, upon written request submitted within reasonable time prior to the scheduled public hearing. The written request must be addressed to the agency representative designated in the paragraph below.
Text of proposed rule:
§ 1. Section 190-3.2(c)(2) is amended to read as follows:
(2) School districts wishing to purchase RPS software will be charged an annual licensing fee equal to the [highest] lowest licensing fee listed in 9 NYCRR 190-3.2(b).
§ 2. This amendment shall first apply to annual fees imposed on or after April 1, 2007.
Text of proposed rule and any required statements and analyses may be obtained from:
James J. O'Keeffe, General Counsel, Office of Real Property Services, 16 Sheridan Ave., Albany, NY 12210-2714, (518) 474-8821, e-mail: internet.legal@orps.state.ny.us
Data, views or arguments may be submitted to:
Same as above.
Public comment will be received until:
45 days after publication of this notice.
Regulatory Impact Statement
1. Statutory Authority: Section 202(1)(l) of the Real Property Tax Law (RPTL) authorizes the State Board of Real Property Services to adopt such rules “as may be necessary for the exercise of its powers and the performance of its duties.”
Section 97-kk of the State Finance Law directs that all revenue received by the Office of Real Property Services (ORPS) from fees for services related to the Real Property System (RPS) be deposited in the Local Services Account within the Miscellaneous Special Revenue Fund.
2. Legislative Objectives: The proposal will further the legislative objective of recovering a portion of the expenses incurred by ORPS in providing technical services to local governments, including software, for the improvement of real property tax administration.
3. Needs and Benefits: Section 190-3.2 of Title 9 provides that ORPS shall provide certain technical services for local governments. Included among these services is a set of software and procedures commonly known as RPS. Section 190-3.2 further provides that each local government that uses RPS must pay an annual license fee to defray the costs of ongoing software development, maintenance, documentation and distribution. The amount paid by a particular local government depends upon the number of parcels in the assessing unit. At present approximately 95% of the county, city and town assessing units in the State use RPS.
At its November 14, 2006, meeting, the State Board adopted by Resolution 06-30 (Item II-B) amendments making changes to the schedule of annual fees paid by users of RPS. That amendment included a revision to 190-3.2(c)(2) changing the fee for school district licensees to the highest rather than the lowest municipal charge. This change was based upon the assumption that there were no school licensees. During the period for public comment it was discovered that in fact there are five such school subscribers. This proposal would restore the previous language that placed schools at the lowest fee, preventing an increase of $1,700 for each district and replacing that with an increase of $250.
4. Costs: (a) To State Government: $7250 in license fees from the five districts.
(b) To local governments: None.
(c) To school districts: None. The five schools would experience an increase of $250, rather than the increases of $1,700 that would result under the 2006 amendment.
(d) To private regulated parties: There are no private regulated parties in this program. Private purchasers of RPS will continue to pay $2,500.
(e) Basis of cost estimates: The existing fee schedule.
5. Local Government Mandates: None. Use of RPS is optional with local governments.
6. Paperwork: The proposal would impose no additional paperwork on the State or local governments.
7. Duplication: There are no comparable State or Federal requirements.
8. Alternatives: The proposal could have imposed a greater or lesser fee on users of RPS. The increase imposed has been negotiated.
9. Federal Standards: There are no Federal regulations concerning this subject.
10. Compliance Schedule: The new, lower increase would first occur in fiscal 2007-2008.
Regulatory Flexibility Analysis
The amendment proposed would not impose any adverse economic conditions or any reporting, recordkeeping or other compliance requirements on small businesses. The rule will decrease the annual fee for school districts that use RPS.
Rural Area Flexibility Analysis
A rural area flexibility analysis is not required for this rule making because the amendment would not impose any adverse economic conditions, any reporting, recordkeeping or compliance requirements on public or private entities in rural areas. It provides for a revised fee schedule that reduces the fee for school district subscribers wherever located.
Job Impact Statement
A job impact statement is not required for this rule making because the amendment only concerns the annual license fee paid by school districts subscribers to RPS. The increase these districts would experience in 2007 is reduced from $1,700 to $250 for five school districts. It is highly unlikely this will have any effect on job opportunities.
