NY S05519

Phases out local social services district medical assistance (Medicaid) expenditures over 10 years, starting with a 10% reduction from 2024 levels in 2025 and increasing by 10% annually until reaching 100% elimination in 2034

Requires 100% of the annual savings from each year's medical assistance expenditure reduction to be used for property tax levy reductions or property tax rebates in the following fiscal year

Applies to local governments subject to the property tax cap provisions under General Municipal Law section 3-c and Education Law section 2023-a

Counties that opted into the local sales tax intercept methodology for Medicaid payments will receive proportionate reductions in their sales tax intercept amounts and must use recaptured funds for property tax reductions

State Comptroller must calculate and notify each local government of their minimum required property tax levy reduction 180 days before the fiscal year in which the reduction takes effect