S. 7685-A Summary

• Adjusts the enhanced STAR exemption for homes outside cities with populations over one million to equal 50% of the median assessed value of such homes for school years 2024-2025 and thereafter, calculated by the comptroller and commissioner.

• Establishes a real property tax freeze credit for eligible taxpayers whose primary residences are in jurisdictions with freeze-compliant budgets for fiscal years 2025-2027, with credit amounts varying by jurisdiction type and ranging from 25% to 100% of tax increases above specified thresholds.

• Requires school districts subject to tax levy limits to certify compliance with the commissioner of taxation and finance by the 21st day of the fiscal year, with excess levies placed in reserve if actual levies exceed the limit.

• Mandates school districts and municipal corporations seeking continued property tax credits in 2026-2027 to submit government efficiency plans demonstrating three-year savings of at least 1% annually through shared services, cooperation agreements, or mergers by June 1, 2026.

• Excludes property located within cities with populations of one million or more from the tax freeze credit provisions, with cooperative apartments and mobile homes eligible for reduced credit percentages (60% and 25% respectively of average jurisdiction credits).