There’s no question Alfred State College casts a long shadow.

A major employer, it draws thousands of students from all over New York state and serves as an economic engine for businesses in the 4,000-resident village’s downtown district.

But the college’s tax-exempt status is putting a serious strain on the Southern Tier community’s ability to fund some basic governmental services: fire and police protection, code enforcement and more.

Mayor Justin Grigg — an assistant dean at his community’s other college, the private Alfred University — calls his village’s taxes “silly high.” At nearly $17 per $1,000 of assessed value, the 2015 tax rate was the highest in the western portion of the state, according to the Empire Center for Public Policy. That works out to about $1,700 for the owner of a $100,000 home.

The story’s much the same in other municipalities that serve as home to the State University of New York’s 24 four-year residential colleges. According to state data obtained by the Democrat and Chronicle through a Freedom of Information request, there are 318 parcels in New York classified as both state-owned and educational in purpose. The bulk of them, covering more than 9,000 acres, are held by or house SUNY campuses.

The total value of the properties? Nearly $10 billion. And none of it is taxable. If it were, it would generate $316,200,000 in property taxes, according to the Empire Center’s median effective tax rate in New York.

Local government officials say it’s just another massive unfunded mandate pushing state costs down to the local property taxpayer, driving tax rates higher as communities scramble to keep paying for adequate public safety services for full-time residents as well as the quarter-million students at SUNY’s residential campuses.

“This (mandate) has so much to do with our high tax rates,” said Margay Blackman, mayor of the village of Brockport in Monroe County, home to the College at Brockport. “If the college were paying into our tax levy, our rate of $11.87 (per $1,000 assessed value) would go down to $4.30.”

Here are some findings from the data:

  • The most valuable lands, assessed at $1.4 billion and $1.2 billion, respectively, are in Albany and Amherst. Those are holdings of the University at Albany, SUNY Polytechnic Institute and the University at Buffalo.
  • St. Lawrence County, home to SUNY Potsdam, SUNY Canton and SUNY-ESF Ranger school, has more than 3,200 acres exempt from taxation.
  • There are tax-exempt SUNY properties in 23 of the state’s 62 counties
  • The loss of tax revenue is felt most acutely in some of the smallest communities: villages like Alfred, where the value of exempted SUNY land is three times greater than taxable property; or Brockport, where SUNY land is valued at twice the taxable portion of the village; and Morrisville, where SUNY tax-exempt property is four times more valuable than taxable land.

Blackman, along with numerous other officials from SUNY host communities, is working with the New York Conference of Mayors to throw support behind a bill introduced by state Sen. James Seward, R-Oneonta, and Assemblywoman Barbara Lifton, D-Cortland, that would see the state reimburse SUNY host communities for a portion of their expenses for public-safety services.

© 2016 Gannett

You may also like

State’s Growing Budget Hole Threatens NYC Jobs and Aid as Congress Takes a Holiday

“The biggest problem for the state is the enormous, recurring structural budget gap starting next year and into the future,” said E.J. McMahon of the conservative-leaning Empire Center. “Cuomo clearly hopes that starting in 2021, (Democratic presidential candidate Joseph) Biden and a Democratic Congress will provide states and local government a couple of year’s worth of added stimulus. Read More

How Andrew Cuomo became ‘maybe the most powerful governor’ in U.S.

Ed McKinley ALBANY — When the New York Constitution was reorganized nearly 100 years ago to give the governor more power over the budget process,  noted there was a risk of making “the governor a czar." M Read More

Study disputes Cuomo on Trump tax package; experts say it’s complicated

Michael Gormley ALBANY — A new study by a conservative think tank says President Donald Trump’s 2017 tax law gave most New Yorkers a tax cut, even as Gov. Andrew M. Cuomo insists on repealing the measure because he says it will cost New Yo Read More

Empire Center sues Department of Health over nursing home records

Johan Sheridan ALBANY, N.Y. () — The Empire Center filed a  against the state Department of Health on Friday. “This case isn’t about assigning blame or embarrassing political leaders,” said Bill Hammond, the Empire Center’s Read More

Good news: That New York pork isn’t going out the door after all

The Empire Center first reported Tuesday that grants — 226 of them, totaling $46 million, to recipients selected by the governor and individual state lawmakers — seemed to still be going ahead. Read More

New York Lawmakers Seek Independent Probe of Nursing-Home Coronavirus Deaths

With lingering questions about how the novel coronavirus killed thousands of New Yorkers who lived in nursing homes, a group of state lawmakers is pushing to create an independent commission to get answers from the state Department of Health. Read More

Policy analyst: Cuomo wrong to write-off nursing home criticism as political conspiracy

“The importance of discussing this and getting the true facts out is to understand what did and didn’t happen so we can learn from it in case this happens again,” Hammond said. Read More

EDITORIAL: Nursing home report requires a second opinion

No doubt, the Health Department and the governor would like this report to be the final word on the subject. But if it’s all the same with them, we’d still like a truly independent review. Read More