senate Bill S4533C

Amended

Requires the public service commission and the New York state energy research and development authority to ensure funds are available to fund programs

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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

  • 08 / Apr / 2013
    • REFERRED TO ENERGY AND TELECOMMUNICATIONS
  • 01 / May / 2013
    • AMEND AND RECOMMIT TO ENERGY AND TELECOMMUNICATIONS
  • 01 / May / 2013
    • PRINT NUMBER 4533A
  • 04 / Jun / 2013
    • REPORTED AND COMMITTED TO FINANCE
  • 05 / Jun / 2013
    • AMEND AND RECOMMIT TO FINANCE
  • 05 / Jun / 2013
    • PRINT NUMBER 4533B
  • 08 / Jan / 2014
    • REFERRED TO ENERGY AND TELECOMMUNICATIONS
  • 21 / Jan / 2014
    • AMEND AND RECOMMIT TO ENERGY AND TELECOMMUNICATIONS
  • 21 / Jan / 2014
    • PRINT NUMBER 4533C
  • 21 / May / 2014
    • AMEND (T) AND RECOMMIT TO ENERGY AND TELECOMMUNICATIONS
  • 21 / May / 2014
    • PRINT NUMBER 4533D
  • 28 / May / 2014
    • REPORTED AND COMMITTED TO FINANCE

Summary

Requires the public service commission and the New York state energy research and development authority to ensure funds are available to fund programs assisting building owners with installing energy efficient improvements.

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Bill Details

Versions:
S4533
S4533A
S4533B
S4533C
S4533D
Legislative Cycle:
2013-2014
Current Committee:
Senate Finance
Law Section:
Public Service Law
Laws Affected:
Add §73, Pub Serv L; amd §606, Tax L

Sponsor Memo

BILL NUMBER:S4533C

TITLE OF BILL: An act to amend the public service law and the tax
law, in relation to establishing an energy efficiency tax credit for
single family and multi-family homes

PURPOSE: To provide a tax credit fox single family and multi-family
homes that will incent the use of cleaner burning fuels or on-site
renewable energy in order to reduce carbon emissions, improve air
quality and reduce capital costs to homeowners.

SUMMARY OF PROVISIONS: Section 1. Sets forth the title of the bill
which shall be known as the energy efficiency and carbon emission
reduction tax credit.

Section 2 Amends the public service law to add a new section that
allows the Department of taxation and finance to coordinate with, the
Public Service Commission and NYSERDA to ensure that the residences
that utilize this tax credit are known for the purpose of quantifying
the benefits of the program.

Section 3 mends section 606 of the tax law by adding a new subsection
that lays out the equipment that qualifies for the credit, enumerates
the amounts allowed for singe family homes as well as multi-family
hones and lays out certain efficiency and emission reduction criterion
that boilers and other equipment must achieve in order to qualify.

Section 4 identifies the amount and sources of funding for the credit
starting in fiscal year 2013-14 and ending in fiscal year 2020-2021.

JUSTIFICATION: Currently, some dwellings use fuel sources that are
more carbon-intense than others, or that operate at a lower level of
efficiency than would be optimal. Although dwelling owners may want to
purchase e new heating system that is less carbon-intense or more
efficient, the cost of doing so is a deterrent. By providing a tax
incentive, this bill would encourage homeowners to purchase more
efficient and less carbon intensive heating systems.

LEGISLATIVE HISTORY: New Bill

FISCAL IMPLICATIONS: None.

EFFECTIVE DATE: This act shall take effect on the 190th day after it
shall have become law.

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

                                 4533--C

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              April 8, 2013
                               ___________

Introduced  by  Sens. MAZIARZ, DeFRANCISCO, FELDER, RANZENHOFER, SAMPSON
  -- read twice and ordered printed, and when printed to be committed to
  the  Committee  on  Energy   and   Telecommunications   --   committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to  said  committee  --  reported  favorably  from  said committee and
  committed to the Committee on Finance --  committee  discharged,  bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee -- recommitted to the Committee on Energy  and  Telecommunications
  in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee

AN ACT to amend the public service law and the tax law, in  relation  to
  establishing  an  energy  efficiency  tax credit for single family and
  multi-family homes

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

  Section  1.  This  act  shall be known and may be cited as the "energy
efficiency and carbon emission reduction tax credit act".
  S 2. The public service law is amended by adding a new section  73  to
read as follows:
  S 73. COORDINATION WITH CERTAIN PROVISIONS OF THE TAX LAW. THE DEPART-
MENT  MAY REQUEST FROM THE DEPARTMENT OF TAXATION AND FINANCE OR THE NEW
YORK STATE ENERGY  RESEARCH  AND  DEVELOPMENT  AUTHORITY  A  SUMMARY  OF
INSPECTION  REPORTS  PREPARED  BY THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY IN ACCORDANCE WITH THE  PROVISIONS  OF  SUBSECTION
(BBB)  OF  SECTION  SIX  HUNDRED  SIX OF THE TAX LAW. SUCH SUMMARY SHALL
INCLUDE THE TOTAL NUMBER OF RESIDENCES THAT HAVE BEEN GRANTED  A  CARBON
EMISSIONS  REDUCTION  CREDIT, A DESCRIPTION OF THE IMPROVEMENTS TO WHICH
THE CREDIT RELATES, AND AN INDICATION OF  THE  AMOUNT  BY  WHICH  CARBON
EMISSIONS  ARE  TO  BE  REDUCED AND/OR THE AMOUNT BY WHICH FUEL USAGE IS
REDUCED.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD08685-10-4

S. 4533--C                          2

  S 3. Subsections (yy) and (zz) of section  606  of  the  tax  law,  as
relettered  by section 5 of part H of chapter 1 of the laws of 2003, are
relettered subsections (yyy) and (zzz) and a  new  subsection  (bbb)  is
added to read as follows:
  (BBB)  CARBON  EMISSIONS  REDUCTION  CREDIT.  (1) ALLOWANCE OF CREDIT.
SUBJECT TO APPROVAL BY  THE  DEPARTMENT  PURSUANT  TO  THIS  SECTION,  A
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS ARTI-
CLE FOR COSTS INCURRED ON OR AFTER THE EFFECTIVE DATE OF THIS SUBSECTION
BY  SUCH  TAXPAYER  WHICH  ARE  DIRECTLY  ASSOCIATED WITH INSTALLING ANY
IMPROVEMENT TO A HEATING OR COOLING SYSTEM WHICH WILL INCREASE EFFICIEN-
CY BY AT LEAST TEN PERCENT OR REDUCE FUEL USAGE BY AT LEAST TEN  PERCENT
AND  LEAD  TO  A SIGNIFICANT REDUCTION IN CARBON EMISSIONS AS DEFINED BY
THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY GUIDELINES,
PROVIDED THAT SUCH PROJECT SHALL HAVE A RETURN  ON  INVESTMENT  OF  FIVE
YEARS  OR  LESS AT MINIMUM.   SUCH IMPROVEMENTS SHALL INCLUDE, BUT SHALL
NOT BE LIMITED TO, THE INSTALLATION  OF  A  HIGH  EFFICIENCY  BOILER  OR
FURNACE,  AN  IMPROVEMENT TO AND/OR REPLACEMENT OF A BURNER IN A BOILER,
THE INSTALLATION OF ON-SITE RENEWABLE GENERATION, A FUEL CATALYST SYSTEM
AS DEFINED IN THIS SUBSECTION, OR ANY OTHER  IMPROVEMENT  TO  A  HEATING
SYSTEM  THAT  SATISFIES  THE  CRITERIA  SET  FORTH  IN  THIS SUBSECTION.
NOTWITHSTANDING THE FOREGOING PROVISIONS OF THIS SUBSECTION, FOR BOILERS
THAT ARE REGULATED BY THE NEW  YORK  CITY  DEPARTMENT  OF  ENVIRONMENTAL
PROTECTION,  THE  IMPROVEMENTS MUST RESULT IN A REDUCTION OF PARTICULATE
MATTER THAT IS TWO AND ONE-HALF  MICRONS  OR  LESS  IN  WIDTH  (COMMONLY
REFERRED TO AS PM 2.5 EMISSIONS) OF AT LEAST FIFTY PERCENT.
  (2)  AMOUNT  OF  CREDIT.  THE AMOUNT OF THE CREDIT SHALL BE UP TO FIVE
THOUSAND DOLLARS FOR A SINGLE FAMILY HOME AND UP TO TWENTY-FIVE THOUSAND
DOLLARS FOR A MULTIPLE FAMILY DWELLING OF AT LEAST FIVE  UNITS,  TOWARDS
THE  TOTAL  COST  OF DESIGNING, PURCHASING AND INSTALLING SUCH A HEATING
SYSTEM, WHICH COST SHALL INCLUDE  THE  DECOMMISSIONING  AND  REMOVAL  OF
EXISTING EQUIPMENT. IN NO CASE SHALL THE AMOUNT OF THE APPLICABLE CREDIT
EXCEED THE AMOUNT OF THE INVESTMENT IN THE IMPROVEMENT MADE.
  (3) MULTIPLE TAXPAYERS. IF THE PRINCIPAL RESIDENCE IS SHARED BY TWO OR
MORE TAXPAYERS, THE AMOUNT OF THE CREDIT ALLOWABLE UNDER THIS SUBSECTION
FOR  EACH  SUCH  ELIGIBLE  TAXPAYER  SHALL  BE PRORATED ACCORDING TO THE
PERCENTAGE OF THE TOTAL EXPENDITURE FOR SUCH CONVERSION INCURRED BY EACH
TAXPAYER.
  (4) APPLICATION FOR CREDIT. SUCH CREDIT SHALL  BE  GRANTED  ONLY  UPON
APPLICATION  BY  THE ELIGIBLE TAXPAYER OR TAXPAYERS ON A FORM PRESCRIBED
BY THE NEW YORK STATE ENERGY  RESEARCH  AND  DEVELOPMENT  AUTHORITY  AND
AFTER  INSPECTION  BY  SUCH AUTHORITY, THE RESULTS OF WHICH SHALL BE SET
FORTH IN A  REPORT  PREPARED  THEREBY.  THE  APPLICATION  SHALL  REQUIRE
SUBMISSION  OF  DOCUMENTATION  OF THE CONVERSION, INCLUDING INVOICES FOR
ANY SERVICES USED AND CONTRACTED AND EQUIPMENT INSTALLED  OR  ADDED,  AS
WELL  AS  ANY  CONTRACTS  WITH  A  HEATING SUPPLIER. THE APPLICATION AND
INSPECTION REPORT SHALL BE FILED WITH THE DEPARTMENT ON  OR  BEFORE  THE
LAST DAY OF THE APPLICABLE TAXABLE YEAR, WHO SHALL APPROVE OR DISAPPROVE
SUCH APPLICATION. A COPY OF SUCH APPLICATION SHALL BE FILED WITH THE NEW
YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHORITY.
  (5)  APPLICATION  OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S TAX FOR
SUCH YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF  TAX  TO  BE
CREDITED  OR  REFUNDED  IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX
HUNDRED EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO  INTEREST
SHALL BE PAID THEREON.

S. 4533--C                          3

  (A)  FOR  PURPOSES  OF  THIS  SUBSECTION,  "PRINCIPAL RESIDENCE" FOR A
SINGLE FAMILY DWELLING SHALL MEAN THE  RESIDENTIAL  PROPERTY  WHERE  THE
TAXPAYER  HAS HIS OR HER TRUE, FIXED, AND PERMANENT HOME TO WHICH, WHEN-
EVER ABSENT HE OR SHE INTENDS TO RETURN.
  (B) "FUEL CATALYST SYSTEM" SHALL MEAN ANY HETEROGENEOUS METALLIC ALLOY
CATALYST  OR  "HMAC"  COMPONENT THAT WHEN APPLIED TO A FURNACE OR BOILER
UTILIZING NUMBER 2 OIL LEADS TO REDUCED  FUEL  USAGE  OF  AT  LEAST  TEN
PERCENT,  A  SUBSTANTIAL REDUCTION IN CARBON EMISSIONS OR AN INCREASE IN
OVERALL EFFICIENCY OF AT LEAST TEN PERCENT WITH A RETURN  ON  INVESTMENT
OF FIVE YEARS OR UNDER.
  (C)  IN  ORDER TO VERIFY A TAXPAYER'S CLAIM THAT A PARTICULAR PROPERTY
IS A PRINCIPAL RESIDENCE, THE DEPARTMENT MAY  ACCEPT  VARIOUS  DOCUMENTS
THAT,  TAKEN  TOGETHER,  ESTABLISH THAT THE TAXPAYER CLAIMING THE CREDIT
PROVIDED BY THIS SUBSECTION OCCUPIES THE PROPERTY AS A  PRINCIPAL  RESI-
DENCE,  INCLUDING,  BUT NOT LIMITED TO, THE TAXPAYER'S DRIVER'S LICENSE,
VOTER REGISTRATION CARD, CANCELLED CHECKS LISTING THE PROPERTY  ADDRESS,
STATEMENTS  SUCH  AS  MEDICAL,  BANK  OR  CHARGE  ACCOUNTS OR INCOME TAX
RECORDS INDICATING THE MAILING ADDRESS AND INSURANCE POLICIES.
  (D) THE PRESIDENT OF THE NEW YORK STATE ENERGY RESEARCH  AND  DEVELOP-
MENT  AUTHORITY  SHALL PROVIDE ADDITIONAL DEFINITIONS AND GUIDELINES FOR
THE ELIGIBILITY OF AN IMPROVEMENT OR PROJECT, WHICH SHALL INCLUDE DEFIN-
ING THE PARAMETERS OF WHAT CONSTITUTES A SIGNIFICANT REDUCTION IN CARBON
EMISSIONS FOR A SINGLE FAMILY OR MULTIPLE FAMILY DWELLING AS WELL AS ANY
AND ALL APPLICABLE  STANDARDS,  OTHER  THAN  THOSE  ENUMERATED  IN  THIS
SUBSECTION.
  S  4.  The  New  York  state energy research and development authority
shall make available funding in the amount of  $15  million  for  fiscal
years  2014-2015  and  2015-2016, and $3 million in each subsequent year
until fiscal year 2021-2022.  Funding for the carbon emissions reduction
credit provided by subsection (bbb) of section 606 of the  tax  law,  as
added  by  section  three  of  this act, shall be provided through funds
collected pursuant to proceeds  collected  but  not  allocated  by  such
authority  from  the auction, pursuant to regulations of such authority,
of emission allowances allocated  by  the  department  of  environmental
conservation  to  such authority pursuant to regulations adopted by such
department.
  S 5. This act shall take effect on the one hundred eightieth day after
it shall have become a law.

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