senate Bill S5557

Amended

Authorizes certain municipalities to approve a partial tax exemption for reconstruction, alterations or improvements to qualified residential structures

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 01 / Jun / 2011
    • REFERRED TO LOCAL GOVERNMENT
  • 04 / Jan / 2012
    • REFERRED TO LOCAL GOVERNMENT
  • 06 / Feb / 2012
    • 1ST REPORT CAL.168
  • 07 / Feb / 2012
    • 2ND REPORT CAL.
  • 13 / Feb / 2012
    • ADVANCED TO THIRD READING
  • 15 / Feb / 2012
    • AMENDED ON THIRD READING 5557A
  • 29 / Feb / 2012
    • PASSED SENATE
  • 29 / Feb / 2012
    • DELIVERED TO ASSEMBLY
  • 29 / Feb / 2012
    • REFERRED TO REAL PROPERTY TAXATION
  • 08 / Jun / 2012
    • RECALLED FROM ASSEMBLY
  • 08 / Jun / 2012
    • RETURNED TO SENATE
  • 11 / Jun / 2012
    • VOTE RECONSIDERED - RESTORED TO THIRD READING
  • 11 / Jun / 2012
    • AMENDED ON THIRD READING (T) 5557B
  • 19 / Jun / 2012
    • SUBSTITUTED BY A8173B

Summary

Authorizes certain municipalities to approve a partial tax exemption for reconstruction, alterations or improvement to qualified residential structures.

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Bill Details

See Assembly Version of this Bill:
A8173
Versions:
S5557
S5557A
S5557B
Legislative Cycle:
2011-2012
Law Section:
Real Property Tax Law
Laws Affected:
Add ยง421-l, RPT L

Votes

8
0
8
Aye
0
Nay
0
aye with reservations
0
absent
0
excused
0
abstained
show Local Government committee vote details

Sponsor Memo

BILL NUMBER:S5557

TITLE OF BILL:
An act
to amend the real property tax law, in relation to a partial tax
exemption for new residential construction or improvements to qualified
residential structures in certain towns

PURPOSE:
To allow the Town of Evans in Erie County to implement a residential
property tax abatement program.

SUMMARY OF PROVISIONS:
Section 1. Authorizes the Town of Evans to enact a partial residential
tax abatement for the improvement, modification or construction of
one to three family homes that raise said home's assessed value by at
least $10,000. In the first year of the program, 50% of the assessed
value is abated, to a maximum of $150,000. This abatement is
decreased by 10% each year i.e. only 40% of the increased assessed
value is abated in the second year, etc.

Section 2. Enacting clause.

JUSTIFICATION:
In January 2007, the Town of Evans Economic Development Committee
formed a Subcommittee to address the issue of static or declining new
housing construction in the Town of Evans. The Subcommittee
identified the implementation of a temporary residential tax
abatement program as a critical first step in spurring economic
development throughout the Town.

New housing starts in Evans have been static or declining over the
past 5 years. This new program is expected to improve and maintain
quality housing stock, encourage renovation, rehabilitation or
replacement of residential property, increase owner occupied
dwellings, counter blight, improve the town's tax base, and improve
the quality of life for neighborhood residents.

The Town of Evans, The Village of Angola, and the Board of Education
for the Evans Brant Central School District have passed Home Rule
resolutions requesting authorization to implement the proposed
residential investment exemption.

LEGISLATIVE HISTORY:
New bill.

FISCAL IMPLICATIONS:
None to the state.

LOCAL FISCAL IMPLICATIONS:

With the growth of modifications, expansions and renovations to
existing houses in the Town of Evans, the partial tax abatement this
legislation provides will lead to a growth in revenues.

EFFECTIVE DATE:
This act shall take effect immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  5557

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              June 1, 2011
                               ___________

Introduced  by Sen. GALLIVAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Local Government

AN ACT to amend the real property tax law, in relation to a partial  tax
  exemption  for  new residential construction or improvements to quali-
  fied residential structures in certain towns

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The  real  property  tax  law  is amended by adding a new
section 421-1 to read as follows:
  S 421-1. EXEMPTION OF NEW CONSTRUCTION AND IMPROVEMENTS TO RESIDENTIAL
BUILDINGS IN CERTAIN TOWNS. 1. RESIDENTIAL BUILDINGS SITUATED  WITHIN  A
TOWN  WITH A POPULATION OF NOT LESS THAN SEVENTEEN THOUSAND FIVE HUNDRED
NINETY-FOUR AND NOT MORE THAN SEVENTEEN THOUSAND SIX  HUNDRED  FOURTEEN,
SITUATED  IN  A  COUNTY  WITH A POPULATION OF NOT LESS THAN NINE HUNDRED
NINETEEN THOUSAND FORTY AND NOT MORE THAN NINE HUNDRED NINETEEN THOUSAND
SIXTY, BASED UPON THE TWO THOUSAND FEDERAL  CENSUS  THAT  HOUSE  ONE  TO
THREE  FAMILIES AND WHICH HAVE BEEN NEWLY CONSTRUCTED OR IMPROVED SUBSE-
QUENT TO THE EFFECTIVE DATE OF A LOCAL LAW OR RESOLUTION PASSED  BY  THE
GOVERNING  BOARD  OF  SUCH  TOWN  AFTER  PUBLIC HEARING PURSUANT TO THIS
SECTION SHALL BE EXEMPT FROM TAXATION AND SPECIAL AD VALOREM  LEVIES  TO
THE  EXTENT PROVIDED HEREINAFTER. A COPY OF SUCH LOCAL LAW OR RESOLUTION
SHALL BE FILED WITH THE COMMISSIONER AND THE ASSESSOR OF SUCH TOWN.
  2. SUCH RESIDENTIAL REAL PROPERTY SHALL BE EXEMPT FOR A PERIOD OF  ONE
YEAR TO THE EXTENT OF FIFTY PER CENTUM OF THE INCREASE IN ASSESSED VALUE
THEREOF  ATTRIBUTABLE  TO  SUCH  CONSTRUCTION  OR IMPROVEMENT AND FOR AN
ADDITIONAL PERIOD OF FOUR YEARS SUBJECT TO THE FOLLOWING:
  (I) THE EXTENT OF SUCH EXEMPTION SHALL BE DECREASED BY TEN PER  CENTUM
OF THE "EXEMPTION BASE" EACH YEAR DURING SUCH ADDITIONAL FOUR-YEAR PERI-
OD,  SUCH  THAT DURING YEAR TWO THERE SHALL BE AN EXEMPTION OF FORTY PER
CENTUM OF THE INCREASE IN ASSESSED VALUE  THEREOF  ATTRIBUTABLE,  DURING
YEAR  THREE  THERE  SHALL  BE  AN  EXEMPTION OF THIRTY PER CENTUM OF THE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11781-02-1

S. 5557                             2

INCREASE IN ASSESSED VALUE THEREOF  ATTRIBUTABLE,  IN  YEAR  FOUR  THERE
SHALL  BE  AN EXEMPTION OF TWENTY PER CENTUM OF THE INCREASE IN ASSESSED
VALUE THEREOF ATTRIBUTABLE AND IN YEAR FIVE THERE SHALL BE AN  EXEMPTION
OF  TEN  PER  CENTUM OF THE INCREASE IN ASSESSED VALUE THEREOF ATTRIBUT-
ABLE;
  (II) THE "EXEMPTION BASE" SHALL BE THE INCREASE IN ASSESSED VALUE  DUE
TO NEW CONSTRUCTION OR IMPROVEMENTS AS DETERMINED BY THE ASSESSOR IN THE
INITIAL  YEAR  OF  SUCH  FIVE-YEAR  PERIOD  FOLLOWING  THE  FILING OF AN
ORIGINAL APPLICATION;
  (III) A QUALIFIED IMPROVEMENT SHALL HAVE INCREASED THE ASSESSED  VALUE
OF  THE  REAL  PROPERTY BY AT LEAST TEN THOUSAND DOLLARS, WITH A MAXIMUM
PERMITTED EXEMPTION NOT TO EXCEED ONE HUNDRED  FIFTY  THOUSAND  DOLLARS;
AND
  (IV)  AN  EXEMPTION  FOR  NEW CONSTRUCTION SHALL APPLY TO THE ASSESSED
VALUE OF THE REAL PROPERTY IN EXCESS OF ONE  HUNDRED  THOUSAND  DOLLARS,
WITH A MAXIMUM PERMITTED EXEMPTION NOT TO EXCEED ONE HUNDRED FIFTY THOU-
SAND DOLLARS.
  3. FOR PURPOSES OF THIS SECTION, "CONSTRUCTION" OR "IMPROVEMENT" SHALL
NOT INCLUDE ORDINARY MAINTENANCE AND REPAIRS.
  4.  EXEMPTIONS  GRANTED  PURSUANT  TO THIS SECTION SHALL APPLY TO REAL
PROPERTY TAXES IMPOSED FOR TOWN, VILLAGE AND SCHOOL DISTRICT PURPOSES.
  5. ANY OWNER OF A ONE TO THREE FAMILY RESIDENCE WITHIN A TOWN  WITH  A
POPULATION  OF NOT LESS THAN SEVENTEEN THOUSAND FIVE HUNDRED NINETY-FOUR
AND NOT MORE THAN SEVENTEEN THOUSAND SIX HUNDRED FOURTEEN, SITUATED IN A
COUNTY WITH A POPULATION OF NOT LESS THAN NINE HUNDRED NINETEEN THOUSAND
FORTY AND NOT MORE THAN NINE HUNDRED NINETEEN THOUSAND SIXTY, BASED UPON
THE TWO THOUSAND FEDERAL CENSUS SHALL QUALIFY FOR AN EXEMPTION  PURSUANT
TO  THIS  SECTION,  INCLUDING  OWNERS WHO DO NOT OCCUPY SUCH RESIDENCES,
INDIVIDUALS, PARTNERSHIPS AND LIMITED LIABILITY CORPORATIONS. EXEMPTIONS
GRANTED PURSUANT TO THIS SECTION ARE  NOT  TRANSFERABLE  FROM  OWNER  TO
ANOTHER IF THE REAL PROPERTY IS SOLD OR TRANSFERRED DURING THE EXEMPTION
PERIOD.
  6. NO SUCH EXEMPTION SHALL BE GRANTED UNLESS:
  (A)  SUCH  NEW CONSTRUCTION OR IMPROVEMENT WAS COMMENCED SUBSEQUENT TO
THE EFFECTIVE DATE OF THE LOCAL LAW OR RESOLUTION ADOPTED BY  SUCH  TOWN
WITH A POPULATION OF NOT LESS THAN SEVENTEEN THOUSAND FIVE HUNDRED NINE-
TY-FOUR AND NOT MORE THAN SEVENTEEN THOUSAND SIX HUNDRED FOURTEEN, SITU-
ATED  IN  A COUNTY WITH A POPULATION OF NOT LESS THAN NINE HUNDRED NINE-
TEEN THOUSAND FORTY AND NOT MORE THAN  NINE  HUNDRED  NINETEEN  THOUSAND
SIXTY,  BASED  UPON THE TWO THOUSAND FEDERAL CENSUS PURSUANT TO SUBDIVI-
SION ONE OF THIS SECTION;
  (B) THE OWNER OF REAL PROPERTY APPLYING FOR SUCH EXEMPTION HAS  SATIS-
FIED ALL OUTSTANDING TOWN, COUNTY AND SCHOOL TAX OBLIGATIONS; AND
  (C)  SUCH  NEW CONSTRUCTION OR IMPROVEMENT IS DOCUMENTED BY A BUILDING
PERMIT, IF REQUIRED, FOR THE IMPROVEMENTS OR OTHER APPROPRIATE  DOCUMEN-
TATION AS REQUIRED BY THE TOWN ASSESSOR AND/OR CODE ENFORCEMENT OFFICER.
  7.  SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE OWNER
OF SUCH REAL PROPERTY ON A FORM PRESCRIBED  BY  THE  COMMISSIONER.  SUCH
APPLICATION  SHALL BE FILED WITH THE ASSESSOR ON OR BEFORE THE APPROPRI-
ATE TAXABLE STATUS DATE OF SUCH TOWN AND WITHIN ONE YEAR AFTER THE  DATE
OF COMPLETION OF SUCH CONSTRUCTION OR IMPROVEMENT.
  8.  IF SATISFIED THAT THE APPLICANT IS ENTITLED TO AN EXEMPTION PURSU-
ANT TO THIS SECTION, THE ASSESSOR SHALL APPROVE THE APPLICATION AND SUCH
BUILDING SHALL THEREAFTER BE EXEMPT FROM TAXATION AND SPECIAL AD VALOREM
LEVIES BY THE TOWN AS PROVIDED  IN  THIS  SECTION  COMMENCING  WITH  THE
ASSESSMENT  ROLL  PREPARED  ON  THE  BASIS  OF  THE  TAXABLE STATUS DATE

S. 5557                             3

REFERRED TO IN SUBDIVISION SEVEN OF THIS  SECTION.  THE  ASSESSOR  SHALL
ENTER  THE  ASSESSED  VALUE  OF  ANY  EXEMPTION GRANTED PURSUANT TO THIS
SECTION ON THE ASSESSMENT ROLL FOR THE TAXABLE PROPERTY, WITH THE AMOUNT
OF THE EXEMPTION SHOWN IN A SEPARATE COLUMN.
  9.  IN  THE  EVENT THAT REAL PROPERTY GRANTED AN EXEMPTION PURSUANT TO
THIS SECTION CEASES TO BE USED  PRIMARILY  FOR  ELIGIBLE  PURPOSES,  THE
EXEMPTION GRANTED PURSUANT TO THIS SECTION SHALL CEASE.
  10. SUCH TOWN SHALL BE PERMITTED BY LOCAL LAW TO REDUCE THE PERCENTAGE
OF  EXEMPTION  OTHERWISE ALLOWABLE BY SUBDIVISION TWO OF THIS SECTION OR
INCREASE THE REQUIRED MINIMUM ASSESSED VALUES SET  FORTH  IN  PARAGRAPHS
(III)  AND  (IV)  OF  SUBDIVISION  TWO  OF THIS SECTION, PROVIDED THAT A
PROJECT IN THE COURSE  OF  CONSTRUCTION  OR  IMPROVEMENT  SHALL  NOT  BE
SUBJECT TO SUCH AMENDMENTS.
  S 2. This act shall take effect immediately.

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