S T A T E   O F   N E W   Y O R K
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                                  5254

                       2009-2010 Regular Sessions

                          I N  A S S E M B L Y

                            February 11, 2009
                               ___________

Introduced  by M. of A. FARRELL -- read once and referred to the Commit-
  tee on Real Property Taxation

AN ACT to amend the real property tax law, in relation to the real prop-
  erty tax exemption for not-for-profit housing corporations

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

  Section  1.  Paragraph (a) of subdivision 1 of section 422 of the real
property tax law, as amended by chapter 409 of  the  laws  of  1993,  is
amended to read as follows:
  (a)  Real  property  owned  by  a not-for-profit corporation organized
pursuant to the not-for-profit corporation law  and  the  provisions  of
article  two  of  the  private  housing finance law, used exclusively to
provide housing and auxiliary facilities for faculty members,  students,
employees,  nurses,  interns, resident physicians, researchers and other
personnel and their immediate families  in  attendance  or  employed  at
colleges,  universities,  educational  institutions,  child  care insti-
tutions, hospitals and medical research institutes, or  for  handicapped
or  aged  persons  of  low  income,  or owned by non-profit nursing home
companies organized pursuant to the not-for-profit corporation  law  and
the  provisions of article twenty-eight-A of the public health law, used
exclusively to provide facilities for nursing  care  to  sick,  invalid,
infirm,  disabled  or  convalescent persons of low income, or to provide
health-related service as defined in article twenty-eight of the  public
health  law  to persons of low income, or any combination of the forego-
ing, and in addition thereto, to provide nursing care and health-related
service, or either of them, to persons of low income who are  not  occu-
pants  of  the  project,  or owned by housing development fund companies
organized pursuant to the not-for-profit  corporation  law  and  article
eleven  of  the private housing finance law, used exclusively to provide
housing for handicapped or aged persons of low income, and financed by a
federally-aided mortgage as defined in said article eleven, or owned  by

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09029-01-9
              

A. 5254                             2

companies  organized  pursuant to the not-for-profit corporation law and
the provisions of article seventy-five of the mental hygiene  law,  used
exclusively to provide care, treatment, training, education and residen-
tial  accommodations  for  operation  as hostels for the mentally ill or
mentally retarded, or owned  by  companies  organized  pursuant  to  the
membership corporations law and the provisions of article seven-A of the
private  housing  finance  law,  used  exclusively  to provide programs,
services and other facilities for the aging, OR OWNED BY A  NOT-FOR-PRO-
FIT  CORPORATION  ORGANIZED  PURSUANT  TO THE NOT-FOR-PROFIT CORPORATION
LAW, USED EXCLUSIVELY TO PROVIDE HOUSING FOR AGED PERSONS OF LOW, MODER-
ATE OR MIDDLE INCOME WHO AS  DEFINED  BY  THE  NEW  YORK  STATE  HOUSING
FINANCE  AGENCY REQUIRE ASSISTANCE WITH AT LEAST ONE INSTRUMENTAL ACTIV-
ITY OF DAILY LIVING AND SOME  SUPPORTIVE  SERVICES,  INCLUDING  BUT  NOT
LIMITED  TO  CONGREGATE  MEALS;  ACCESS TO MEDICAL ASSISTANCE; SECURITY;
HOUSEKEEPING AND OTHER INCIDENTALS shall be  exempt  from  taxation  and
exempt  from  special  ad  valorem levies and special assessments to the
extent  provided  in  section  four  hundred  ninety  of  this  chapter,
provided,  however, that in a city having a population of one million or
more real property owned by any such corporation  which  is  to  provide
housing  accommodations,  substantially  all  of  which are or are to be
assisted by rent subsidies made or to be made available by  the  Federal
government  pursuant  to  a  contract  under section eight of the United
States Housing Act of nineteen  hundred  thirty-seven,  as  amended,  or
pursuant  to  a  project  rental  assistance  contract under section two
hundred two of the United States Housing Act of nineteen hundred  fifty-
nine,  as  amended,  or pursuant to a project rental assistance contract
under section eight hundred eleven of the  National  Affordable  Housing
Act  of  nineteen  hundred  ninety, as amended, shall from and after the
commencement of construction be subject to taxation or exempt  therefrom
to the extent approved by a municipality acting through its local legis-
lative  body,  as  such local legislative body is defined in [paragraph]
SUBDIVISION twelve of section two of the private housing finance law. No
such corporation or company shall pay a dividend on any of its stock  or
pay  interest  on any of its debentures. Provided further, however, in a
county having a population of one million or more and  having  not  more
than  three  towns  within  such  county, real property owned by housing
development fund companies  organized  pursuant  to  the  not-for-profit
corporation  law  and article eleven of the private housing finance law,
used exclusively to provide housing for handicapped or aged  persons  of
low  income,  and  financed  by a federally-aided mortgage as defined in
said  article  eleven  shall  from  and  after   the   commencement   of
construction  be  subject  to taxation or exempt therefrom to the extent
approved by a municipality acting through its local legislative body, as
such local legislative body is defined in [paragraph] SUBDIVISION twelve
of section two of the private housing  finance  law.  Any  tax  payments
and/or  payments in lieu of taxes made to a municipality pursuant to the
preceding sentence shall not be passed through nor become the  liability
of any of the occupants of such property.
  S 2. This act shall take effect immediately.