August 28, 2007 – The North Colonie Board of Education set final tax rates for the 2007-08 school year on Monday, August 27. Final tax rates are lower than the 5.5 percent increase initially projected at the time of the annual school budget vote in May.

North Colonie residents will see their tax rate increase 2.4 percent, from $19.27 per $1,000 of assessed residential property value in 2006-07 to $19.73 in 2007-08. The non-homestead tax rate will increase 1.4 percent, from $20.35 per $1,000 of assessed commercial property value in 2006-07 to $20.64 in 2007-08.

The average homeowner in North Colonie with a house assessed at $250,000 will see an increase of approximately $115 next year, before reductions or rebates resulting from the STAR program.

The difference between the tax rate estimated at the time of the budget vote and the tax rate set by the board is primarily the result of changes to the base proportions—i.e., the percentage of property taxes to be collected from residential homeowners and commercial property owners—set by the Town of Colonie and the NYS Office of Real Property Services (ORPS). Additionally, the Board of Education approved the allocation of $400,000 from North Colonie’s fund balance (savings) to be added to its Tax Certiorari Reserve Fund to help meet property assessment challenges.

District residents already enrolled in the STAR program may apply to receive additional property tax relief this year through the new Middle Class STAR Rebate Program. To receive a STAR rebate check, homeowners, who make less than $250,000 and receive the basic STAR exemption, must submit an application to the New York State Department of Taxation and Finance by November 30, 2007. The state agency will be mailing notices to eligible homeowners throughout the month of September. For more information, visit www.nystax.gov/star/2007.

Rebates will range from $282.59 for households with a combined income of less than $90,000, to $141.29 for households with a combined income between $150,000 and $250,000. Those households with a combined income between $90,000 and $150,000 will receive a refund of $211.94.

North Colonie’s school tax bills will be mailed to property owners and tax escrow account holders in September.