senate Bill S5915B

Enacts the "Mohawk Valley and Niagara county assessment relief act"

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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 / Jul / 2013
    • REFERRED TO RULES
  • 04 / Sep / 2013
    • AMEND (T) AND RECOMMIT TO RULES
  • 04 / Sep / 2013
    • PRINT NUMBER 5915A
  • 08 / Jan / 2014
    • REFERRED TO LOCAL GOVERNMENT
  • 03 / Feb / 2014
    • AMEND AND RECOMMIT TO LOCAL GOVERNMENT
  • 03 / Feb / 2014
    • PRINT NUMBER 5915B

Summary

Enacts the "Mohawk Valley and Niagara county assessment relief act" authorizing eligible municipalities in certain counties to provide assessment relief for property which was catastrophically damaged by severe weather.

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Bill Details

See Assembly Version of this Bill:
A8124A
Versions:
S5915
S5915A
S5915B
Legislative Cycle:
2013-2014
Current Committee:
Senate Local Government
Law Section:
Local Finance Law
Laws Affected:
Amd §11.00, Loc Fin L

Sponsor Memo

BILL NUMBER:S5915B

TITLE OF BILL: An act to enact the "Mohawk Valley and Niagara county
assessment relief act", and to amend the local finance law, in
relation to real property tax refunds and credits in such county

PURPOSE OR GENERAL IDEA OF BILL: Provides flood property assessment
relief for certain real property in the counties of Herkimer, Madison,
Montgomery, Niagara and Oneida. The purpose of this legislation is to
offer tax assessment relief to those who were victims of floods which
occurred in the Summer of 2013.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1: Title.

Section 2: Definitions.

Section 3: Establishes a local option to participate in the program.

Section 4: Allows for the affected municipalities to reassess property
that has been damaged by a flood.

Section 5: Develops a guidance memorandum for use by assessing units.

Section 6: Holds school districts harmless for the loss of STAR
reimbursement by the state as a result of lowered assessments.

Section 7: Authorizes the use of bonds and requires defeasance.

Section 8: Establishes a ten year deadline to refund and/or credit
real property tax.

Section 9: Defines the severability clause.

Section 10: Effective date.

JUSTIFICATION: In most upstate counties, a homeowner's property taxes
are based upon the assessed value of their home as of a March 1st
taxable status date. Between June 20, 2013 and July 7, 2013, five
counties across New York State experienced flooding from their local
rivers and streams, causing significant property damage.

Under current law, the owner of such property would still have to pay
taxes based on the March 1st value of the property.

This legislation creates a local option allowing taxpayers from
Herkimer, Madison, Montgomery, Niagara and Oneida counties, whose real
property was seriously damaged to grieve their assessment to the local
Board of Assessment Review. The Board will then revalue the property
based on the value of the home after the flood. Furthermore, local
assessors are authorized to request that assessments of seriously
damaged homes be based on the after-flood value. This will allow those
property owners to be fairly taxed.

LEGISLATIVE HISTORY: New bill. Similar legislation was signed into law
in 2005, 2007 and 2011.


FISCAL IMPLICATIONS: To be determined.

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
________________________________________________________________________

                                 5915--B

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                              July 8, 2013
                               ___________

Introduced  by  Sens. TKACZYK, AVELLA, BRESLIN, DILAN, GIANARIS, GIPSON,
  HASSELL-THOMPSON, KENNEDY, KRUEGER, LATIMER,  PARKER,  STEWART-COUSINS
  -- read twice and ordered printed, and when printed to be committed to
  the  Committee on Rules -- committee discharged, bill amended, ordered
  reprinted as amended and recommitted to said committee --  recommitted
  to the Committee on Local Government in accordance with Senate Rule 6,
  sec.  8  --  committee  discharged, bill amended, ordered reprinted as
  amended and recommitted to said committee

AN ACT to enact the "Mohawk Valley and Niagara county assessment  relief
  act", and to amend the local finance law, in relation to real property
  tax refunds and credits in such county

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

  Section 1. Short title. This act shall be known and may  be  cited  as
the "Mohawk Valley and Niagara county assessment relief act".
  S  2.  Definitions.  For the purposes of this act, the following terms
shall have the following meanings:
  1. "Eligible county" shall mean  the  counties  of  Oneida,  Herkimer,
Madison, Montgomery and Niagara.
  2.  "Eligible  municipality"  shall  mean  a municipal corporation, as
defined by subdivision 10 of section 102 of the real property  tax  law,
which  is  either: (a) an eligible county; or (b) a city, town, village,
special district, or school district that is wholly or partly  contained
within an eligible county.
  3.  "Impacted  tax  roll"  shall  mean the final assessment roll which
satisfies both of the following conditions: (a) the roll is based upon a
taxable status date occurring prior to June  20,  2013;  and  (b)  taxes
levied  upon  that  roll by or on behalf of a participating municipality
are payable without interest on or after June 20, 2013.
  4. "Participating municipality" shall mean  an  eligible  municipality
that  has  passed  a  local  law,  ordinance,  or resolution pursuant to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11622-04-4

S. 5915--B                          2

section three of this act  to  provide  assessment  relief  to  property
owners  within  such eligible municipality pursuant to the provisions of
this act.
  5.  "Severe  weather"  shall  mean the storms, rains, winds, or floods
which occurred within an eligible county during the period beginning  on
June 20, 2013 and ending July 7, 2013.
  6.  "Total  assessed value" shall mean the total assessed value on the
parcel prior to any and all exemption adjustments.
  7. "Improved value" shall mean the market value of the  real  property
improvements excluding the land.
  8.  "Property"  shall  mean  "real  property", "property" or "land" as
defined under paragraphs (a) through (g) of subdivision  12  of  section
102 of the real property tax law.
  S   3.  Local  option.  An  eligible  municipality  may  exercise  the
provisions of this act if its governing body shall, by  the  forty-fifth
day  following the date upon which this act is approved by the governor,
pass a local law or in the case of a school district a resolution adopt-
ing the provisions of this act.   An eligible municipality  may  provide
assessment  relief  for real property impacted by severe weather located
within such municipality as provided  in  paragraphs  (i),  (ii),  (iii)
and/or  (iv)  of subdivision (a) of section four of this act only if its
governing body specifically elects to do so as part of such local law or
resolution.
  S 4. Assessment relief for severe weather victims in an eligible coun-
ty. (a) Notwithstanding any provision of law to the contrary, where real
property impacted by severe weather is located  within  a  participating
municipality, assessment relief shall be granted as follows:
  (i)  If a participating municipality has elected to provide assessment
relief for real property that lost at least ten percent  but  less  than
twenty percent of its improved value due to severe weather, the assessed
value  attributable  to  the  improvements  shall  be reduced by fifteen
percent for purposes of the participating municipality on  the  impacted
tax roll.
  (ii) If a participating municipality has elected to provide assessment
relief for real property that lost at least twenty percent but less than
thirty percent of its improved value due to severe weather, the assessed
value  attributable  to the improvements shall be reduced by twenty-five
percent for purposes of the participating municipality on  the  impacted
tax roll.
  (iii)  If  a participating municipality has elected to provide assess-
ment relief for real property that lost at least thirty percent but less
than forty percent of its improved value  due  to  severe  weather,  the
assessed  value  attributable  to  the  improvements shall be reduced by
thirty-five percent for purposes of the  participating  municipality  on
the impacted tax roll.
  (iv) If a participating municipality has elected to provide assessment
relief  for real property that lost at least forty percent but less than
fifty percent of its improved value due to severe weather, the  assessed
value  attributable  to  the improvements shall be reduced by forty-five
percent for purposes of the participating municipality on  the  impacted
tax roll.
  (v) If the property lost at least fifty but less than sixty percent of
its  improved  value due to severe weather, the assessed value attribut-
able to the improvements shall be  reduced  by  fifty-five  percent  for
purposes of the participating municipality on the impacted tax roll.

S. 5915--B                          3

  (vi) If the property lost at least sixty but less than seventy percent
of  its improved value due to severe weather, the assessed value attrib-
utable to the improvements shall be reduced by  sixty-five  percent  for
purposes of the participating municipality on the impacted tax roll.
  (vii)  If  the  property  lost  at  least seventy but less than eighty
percent of its improved value due to severe weather, the assessed  value
attributable  to  the  improvements  shall  be  reduced  by seventy-five
percent for purposes of the participating municipality on  the  impacted
tax roll.
  (viii)  If  the  property  lost  at  least eighty but less than ninety
percent of its improved value due to severe weather, the assessed  value
attributable to the improvements shall be reduced by eighty-five percent
for purposes of the participating municipality on the impacted tax roll.
  (ix)  If  the  property lost at least ninety but less than one hundred
percent of its improved value due to severe weather, the assessed  value
attributable to the improvements shall be reduced by ninety-five percent
for purposes of the participating municipality on the impacted tax roll.
  (x) If the property lost one hundred percent of its improved value due
to  severe  weather, the assessed value attributable to the improvements
shall be reduced by one hundred percent for purposes of the  participat-
ing municipality on the impacted tax roll.
  (xi)  The  percentage loss in improved value for this purpose shall be
determined by the assessor in the manner provided by this  act,  subject
to review by the board of assessment review.
  (xii) No reduction in assessed value shall be granted pursuant to this
act  except  as  specified  above  for  such  counties.  No reduction in
assessed value shall be granted pursuant to this section for purposes of
any county, city, town, village or school district which has not adopted
the provisions of this act.
  (b) To receive such relief pursuant  to  this  section,  the  property
owner  shall submit a written request to the assessor on a form approved
by the director of the state office of real property tax services within
ninety days following the date upon which this act is  approved  by  the
governor.  Such  request  shall describe in reasonable detail the damage
caused to the property by severe weather and the condition of the  prop-
erty following the severe weather and shall be accompanied by supporting
documentation, if available.
  (c)  Upon receiving such a request, the assessor shall make a finding,
as to whether the property lost at least fifty percent of  its  improved
value or, if a participating municipality has elected to provide assess-
ment  relief for real property that lost a lesser percentage of improved
value, such lesser percentage of its  improved  value  as  a  result  of
severe weather, and thereafter the assessor, shall adopt or classify the
percentage loss of improved value within one of the following ranges:
  (i)  If a participating municipality has elected to provide assessment
relief for real property that lost at least ten percent  but  less  than
twenty  percent of its improvement value due to severe weather, at least
ten percent but less than twenty percent,
  (ii) If a participating municipality has elected to provide assessment
relief for real property that lost at least twenty percent but less than
thirty percent of its improved value due to  severe  weather,  at  least
twenty percent but less than thirty percent,
  (iii)  If  a participating municipality has elected to provide assess-
ment relief for real property that lost at least thirty percent but less
than forty percent of its improved value due to severe weather, at least
thirty percent but less than forty percent,

S. 5915--B                          4

  (iv) If a participating municipality has elected to provide assessment
relief for real property that lost at least forty percent but less  than
fifty  percent  of  its  improved  value due to severe weather, at least
forty percent but less than fifty percent,
  (v) At least fifty percent but less than sixty percent,
  (vi) At least sixty percent but less than seventy percent,
  (vii) At least seventy percent but less than eighty percent,
  (viii) At least eighty percent but less than ninety percent,
  (ix) At least ninety percent but less than one hundred percent, or
  (x) one hundred percent.
  (d)  The  assessor  shall  mail  written notice of such finding to the
property owner and the participating municipality.  Where  the  assessor
finds  that the loss in improved value is less than fifty percent or, if
a participating municipality has elected to  provide  assessment  relief
for  real  property located within such participating municipality for a
lesser percentage, is less than such lesser  percentage,  or  classifies
the  loss  within  a  lower  range  than  the property owner believes is
warranted, the property owner may file a complaint  with  the  board  of
assessment  review.  Such  board  shall  reconvene upon ten days written
notice to the property owner and assessor to hear the appeal and  deter-
mine  the  matter, and shall mail written notice of its determination to
the assessor and property owner. The provisions of article 5 of the real
property tax law shall govern the review process to the extent practica-
ble. For the purposes of this act only, the applicant may commence with-
in 30 days of service of a written  determination,  a  proceeding  under
title  1  of  article 7 of the real property tax law, or, if applicable,
under title 1-A of article 7 of the real property tax law. Sections  727
and 739 of the real property tax law shall not apply.
  (e)  Where  property  has  lost at least fifty percent of its improved
value or, if a participating municipality has elected to provide assess-
ment relief for real property that lost a lesser percentage of  improved
value,  such lesser percentage due to severe weather, the assessed value
attributable to the improvements on the property on the impacted assess-
ment roll shall be reduced by the appropriate  percentage  specified  in
subdivision  (a) of this section, provided that any exemptions which the
property may be receiving shall be adjusted as necessary to account  for
such  reduction  in  the  total  assessed value. To the extent the total
assessed value of the property originally appearing on such roll exceeds
the amount to which it should be  reduced  pursuant  to  this  act,  the
excess  shall  be  considered  an  error in essential fact as defined by
subdivision 3 of section 550 of the real property tax law.  If the error
appears on a tax roll, the tax roll shall be  corrected  in  the  manner
provided  by  section  554  of  the real property tax law or a refund or
credit of taxes shall be granted in the manner provided by  section  556
or section 556-b of the real property tax law. If the error appears on a
final  assessment roll but not on a tax roll, such final assessment roll
shall be corrected in the manner provided by section  553  of  the  real
property  tax  law.  The  errors in essential fact found pursuant to the
Montgomery county assessment relief act on either the tax roll or  final
assessment roll, upon application to the county director of real proper-
ty tax services, shall be forwarded by the county director of real prop-
erty tax services immediately to the levying body for an immediate order
setting forth the appropriate correction.
  (f)  The rights contained in this act shall not otherwise diminish any
other legally available right of any property owner  or  party  who  may
otherwise  lawfully  challenge  the  valuation or assessment of any real

S. 5915--B                          5

property or improvements thereon. All remaining rights hereby remain and
shall be available to the party to whom such rights would  otherwise  be
available notwithstanding this act.
  S 5. The commissioner of taxation and finance is authorized to develop
a guidance memorandum for use by assessing units. Such guidance memoran-
dum shall assist with the implementation of this act and shall be deemed
to  be  advisory  on all assessing units in counties which implement the
provisions of this act.  The guidance memorandum shall have no force  or
effect  or serve as authority for any other act of assessing units or of
the interpretation or implementation of the laws of  the  state  of  New
York except as they relate to the specific implementation of this act.
  S  6.  School  districts  held  harmless. Each school district that is
wholly or partially contained within an eligible county  shall  be  held
harmless  by  the  state  for any reduction in state aid that would have
been paid as tax savings pursuant to section 1306-a of the real property
tax law incurred due to the provisions of this act.
  S 7. Bonds authorized. Serial bonds, and  in  advance  of  such,  bond
anticipation  notes,  are hereby authorized pursuant to subdivision 33-c
of paragraph a of section 11.00 of  the  local  finance  law,  provided,
however,  that  any  federal  community  development block grant funding
received by such participating municipality,  in  relation  to  loss  of
property tax funding, shall first be used to defease, upon maturity, the
interest and principal of any such bond or note so outstanding.
  S  8. Paragraph a of section 11.00 of the local finance law is amended
by adding a new subdivision 33-c to read as follows:
  33-C. REAL PROPERTY TAX REFUNDS AND CREDITS. PAYMENTS  OF  EXEMPTIONS,
REFUNDS,  OR CREDITS FOR REAL PROPERTY TAX, SEWER AND WATER RENTS, RATES
AND CHARGES AND ALL OTHER REAL PROPERTY TAXES TO BE MADE  BY  A  MUNICI-
PALITY,  SCHOOL  DISTRICT OR DISTRICT CORPORATION AS A RESULT OF PARTIC-
IPATING IN THE MOHAWK VALLEY AND NIAGARA COUNTY ASSESSMENT  RELIEF  ACT,
TEN YEARS.
  S 9. Severability clause. If any clause, sentence, paragraph, subdivi-
sion,  section  or  part  of  this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment  shall  not  affect,
impair,  or  invalidate  the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph,  subdivision,  section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the  legislature  that  this  act  would  have been enacted even if such
invalid provisions had not been included herein.
  S 10. This act shall take effect immediately and shall  be  deemed  to
have been in full force and effect on and after June 20, 2013.

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