NY A04166

Establishes a 10% annual reduction in medical assistance expenditure amounts for social services districts starting January 1, 2022, with a cap limiting reductions to cities with one million or more residents to no more than $2.3 billion.

Requires counties to reduce their property tax levies by the same dollar amount that their local contributions to the medical assistance program are reduced or eliminated due to changes in federal or state law.

Directs cities with one million or more residents to reduce personal income taxes by an equal amount when their medical assistance program contributions are reduced, with the reduction applied uniformly across all tax brackets.

Establishes a property tax levy cap for cities with one million or more residents, limiting annual increases to the lesser of 2.02% or the inflation rate, with exceptions for approved capital expenditures and certain legal settlements.

Allows city councils to override the property tax levy limitation only through a two-thirds vote for that fiscal year, effective for tax levies beginning in 2022.