State Legislature Approves Greenburgh and Mt. Pleasant Hotel Taxes to Reduce Property Taxes

The New York State Assembly and Senate have passed Assemblyman Tom Abinanti’s (D-Greenburgh/Mt. Pleasant) legislation, A5006/S3816 and A2218/S3404 that authorize the Town of Mt. Pleasant to impose a hotel/motel occupancy tax and the Town of Greenburgh to continue its current hotel tax.

“This legislation ensures that Greenburgh and Mt. Pleasant benefit from this non-property tax revenue like so many other towns and cities,” said Assemblymember Abinanti. “This additional revenue eases the burden on local property tax payers by collecting a small user fee on out-of-towners staying in local hotels who benefit from using public services provided by the towns and villages. This is a revenue-raising alternative to local property taxes to fund basic and necessary services.”

Greenburgh Supervisor Paul Feiner provided the original impetus for the Greenburgh bill. “Greenburgh receives about a million dollars a year in Hotel Tax revenues from non- residents, not taxpayers. These revenues have helped us keep taxes below the tax cap and have also helped us maintain town roads that tourist use,” said Feiner.

While the Mt. Pleasant bill was supported by all town board members, Councilwoman Francesca Hagadus-McHale took the lead in advancing the Mt. Pleasant bill. "We must continue to seek ways to bring in revenue without further burdening the residents who already pay exorbitant property taxes,” said Hagadus-McHale. “The 3% fee added to hotel stays will go directly to the Town to fund basic services such as road maintenance, recreation and downtown revitalization. In the future we expect another hotel on the Grasslands campus of the Westchester Medical Center which will bring us considerable revenue.”

These bills would authorize nine local governments (Town of Greenburgh, Town of Mt. Pleasant and Villages of Tarrytown, Elmsford, Ardsley, Irvington, Dobbs Ferry, Hastings-on-Hudson, and Sleepy Hollow) to collect a hotel/motel occupancy tax of up to 3%. To provide some flexibility, the bill affords each municipality the ability to share a tax collection process.

The bills are awaiting the Governor’s approval.