A deal to enact a property-tax cap was announced last month, but the sides said today that some final pieces had been worked out.
The cap would limit annual levy increases to 2 percent or the rate of inflation, whichever is lower. It would have some minor exemptions, such as excluding unexpected growth in pension costs.
And while the cap would be for five years, it would be linked to rent-control regulations for New York City and its suburbs. Rent-control laws would expire after four years, but if rent laws were extended, so too would the tax cap.
For example, if after four years, rent laws are extended for another four years, so would the tax cap, according to legislative officials.
So if that’s the case, the argument is that a tax cap would go on indefinitely because rent-control laws are likely to never be let to expire permanently.
Senate Republicans wanted no sunset on a tax cap, but Assembly Democrats wanted it linked to the sunset for rent laws.