S T A T E O F N E W Y O R K
________________________________________________________________________
5665
2009-2010 Regular Sessions
I N A S S E M B L Y
February 17, 2009
___________
Introduced by M. of A. V. LOPEZ, JOHN, GREENE, WEISENBERG, ENGLEBRIGHT,
JACOBS, PERRY, BROOK-KRASNY -- Multi-Sponsored by -- M. of A. CANES-
TRARI, CYMBROWITZ, DESTITO, EDDINGTON -- read once and referred to the
Committee on Ways and Means
AN ACT to amend the tax law, in relation to granting a tax credit to
business firms for contributions made to neighborhood assistance
programs
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Section 210 of the tax law is amended by adding a new
subdivision 25-b to read as follows:
25-B. NEIGHBORHOOD ASSISTANCE PROGRAM CREDIT. (A) FOR THE PURPOSE OF
THIS SUBDIVISION A QUALIFYING RECIPIENT SHALL BE A COMPANY UNDER
CONTRACT WITH THE DIVISION OF HOUSING AND COMMUNITY RENEWAL PURSUANT TO
SECTIONS NINE HUNDRED THREE AND ONE THOUSAND THREE OF THE PRIVATE HOUS-
ING FINANCE LAW OR OTHER NON-PROFIT ENTITIES THAT ENGAGE IN HOUSING AND
COMMUNITY DEVELOPMENT ACTIVITIES INCLUDING BUT NOT LIMITED TO: PRESERVA-
TION AND DEVELOPMENT OF AFFORDABLE HOUSING, HOUSING COUNSELING AND
COMMUNITY RENEWAL. THE COMMISSIONER OF THE DIVISION OF HOUSING AND
COMMUNITY RENEWAL SHALL ESTABLISH A PROCEDURE TO CERTIFY SUCH OTHER
ENTITIES AS QUALIFYING RECIPIENTS.
(B) THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL
SHALL ESTABLISH A PROCESS FOR APPROVAL OF A CREDIT AGAINST ANY TAX DUE
UNDER THIS ARTICLE TO BUSINESSES, WHICH CONTRIBUTE TO A QUALIFYING
RECIPIENT. SUCH APPROVAL SHALL BE FORWARDED TO THE DEPARTMENT UNDER
PROCEDURES TO BE ESTABLISHED BY THE DIVISION OF HOUSING AND COMMUNITY
RENEWAL AND THE DEPARTMENT. THE AMOUNT OF THE TAX CREDIT VOUCHER SHALL
NOT EXCEED ONE-HALF THE AMOUNT OF THE CONTRIBUTION. ONLY CASH CONTRIB-
UTIONS SHALL BE ELIGIBLE FOR THIS TAX CREDIT.
(C) CRITERIA FOR APPROVAL OF TAX CREDIT PROPOSALS SHALL INCLUDE: THE
EXTENT OF NEED OF THE COMMUNITY, VISION AND PLANS FOR THE REVITALIZATION
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08366-01-9
A. 5665 2
OF THE COMMUNITY; SUCCESSFUL TRACK RECORD OF SERVICE TO THE COMMUNITY;
BOARD AND COMMUNITY INVOLVEMENT; AND DEMONSTRATED ABILITY TO UTILIZE
RESOURCES EFFECTIVELY.
(D) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PREVENT TWO OR MORE
TAXPAYERS OR TWO OR MORE QUALIFYING RECIPIENTS FROM PARTICIPATING JOINT-
LY IN ONE OR MORE PROGRAMS UNDER THE PROVISIONS OF THIS SUBDIVISION NOR
SHALL IT BE CONSTRUED TO PREVENT ANY BUSINESS FROM PARTICIPATING IN ONE
OR MORE PROGRAMS.
(E) THE SUM OF ALL TAX CREDITS GRANTED PURSUANT TO THE PROVISIONS OF
THIS SUBDIVISION SHALL NOT EXCEED FIVE HUNDRED THOUSAND DOLLARS ANNUALLY
FOR ANY ONE TAXPAYER INCLUDING SUCH PARTY'S AFFILIATES AND RELATED ENTI-
TIES AS DETERMINED BY THE COMMISSIONER, UNLESS THE COMMISSIONER DETER-
MINES THAT THE TOTAL AMOUNT OF THE TAX CREDITS ALLOWED TO TAXPAYERS WILL
BE UNDER-UTILIZED IN ANY ONE FISCAL YEAR.
(F) NO TAX CREDIT SHALL BE GRANTED TO ANY BUSINESS FOR ACTIVITIES THAT
ARE PART OF ITS OR ANY OF ITS AFFILIATES' OR RELATED ENTITIES' ORDINARY
COURSE OF BUSINESS.
(G) ANY TAX CREDIT NOT USED DURING THE PERIOD WITHIN WHICH THE
CONTRIBUTION WAS MADE MAY BE CARRIED FORWARD FOR ONE IMMEDIATELY
SUCCEEDING CALENDAR OR FISCAL YEAR UNTIL THE FULL CREDIT HAS BEEN
ALLOWED.
(H) NO ONE QUALIFYING RECIPIENT SHALL BE ALLOWED TO RECEIVE CAPITAL,
WITH RESPECT TO WHICH A TAX CREDIT IS GRANTED PURSUANT TO THIS SUBDIVI-
SION, IN EXCESS OF ONE HUNDRED FIFTY THOUSAND DOLLARS IN ANY ONE-YEAR
PERIOD.
S 2. Section 1456 of the tax law is amended by adding a new subsection
(u) to read as follows:
(U) NEIGHBORHOOD ASSISTANCE PROGRAM CREDIT. (1) FOR THE PURPOSE OF
THIS SUBSECTION A QUALIFYING RECIPIENT SHALL BE A COMPANY UNDER CONTRACT
WITH THE DIVISION OF HOUSING AND COMMUNITY RENEWAL PURSUANT TO SECTIONS
NINE HUNDRED THREE AND ONE THOUSAND THREE OF THE PRIVATE HOUSING FINANCE
LAW OR OTHER NON-PROFIT ENTITIES THAT ENGAGE IN HOUSING AND COMMUNITY
DEVELOPMENT ACTIVITIES INCLUDING BUT NOT LIMITED TO: PRESERVATION AND
DEVELOPMENT OF AFFORDABLE HOUSING, HOUSING COUNSELING AND COMMUNITY
RENEWAL. THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMUNITY
RENEWAL SHALL ESTABLISH A PROCEDURE TO CERTIFY SUCH OTHER ENTITIES AS
QUALIFYING RECIPIENTS.
(2) THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL
SHALL ESTABLISH A PROCESS FOR APPROVAL OF A CREDIT AGAINST ANY TAX DUE
UNDER THIS ARTICLE TO BUSINESSES, WHICH CONTRIBUTE TO A QUALIFYING
RECIPIENT. SUCH APPROVAL SHALL BE FORWARDED TO THE DEPARTMENT UNDER
PROCEDURES TO BE ESTABLISHED BY THE DIVISION OF HOUSING AND COMMUNITY
RENEWAL AND THE DEPARTMENT. THE AMOUNT OF THE TAX CREDIT VOUCHER SHALL
NOT EXCEED ONE-HALF THE AMOUNT OF THE CONTRIBUTION. ONLY CASH CONTRIB-
UTIONS SHALL BE ELIGIBLE FOR THIS TAX CREDIT.
(3) CRITERIA FOR APPROVAL OF TAX CREDIT PROPOSALS SHALL INCLUDE: THE
EXTENT OF NEED OF THE COMMUNITY, VISION AND PLANS FOR THE REVITALIZATION
OF THE COMMUNITY; SUCCESSFUL TRACK RECORD OF SERVICE TO THE COMMUNITY;
BOARD AND COMMUNITY INVOLVEMENT; AND DEMONSTRATED ABILITY TO UTILIZE
RESOURCES EFFECTIVELY.
(4) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PREVENT TWO OR MORE
TAXPAYERS OR TWO OR MORE QUALIFYING RECIPIENTS FROM PARTICIPATING JOINT-
LY IN ONE OR MORE PROGRAMS UNDER THE PROVISIONS OF THIS SUBSECTION NOR
SHALL IT BE CONSTRUED TO PREVENT ANY BUSINESS FROM PARTICIPATING IN ONE
OR MORE PROGRAMS.
A. 5665 3
(5) THE SUM OF ALL TAX CREDITS GRANTED PURSUANT TO THE PROVISIONS OF
THIS SUBSECTION SHALL NOT EXCEED FIVE HUNDRED THOUSAND DOLLARS ANNUALLY
FOR ANY ONE TAXPAYER INCLUDING SUCH PARTY'S AFFILIATES AND RELATED ENTI-
TIES AS DETERMINED BY THE COMMISSIONER, UNLESS THE COMMISSIONER DETER-
MINES THAT THE TOTAL AMOUNT OF THE TAX CREDITS ALLOWED TO TAXPAYERS WILL
BE UNDER-UTILIZED IN ANY ONE FISCAL YEAR.
(6) NO TAX CREDIT SHALL BE GRANTED TO ANY BUSINESS FOR ACTIVITIES THAT
ARE PART OF ITS OR ANY OF ITS AFFILIATES' OR RELATED ENTITIES' ORDINARY
COURSE OF BUSINESS.
(7) ANY TAX CREDIT NOT USED DURING THE PERIOD WITHIN WHICH THE
CONTRIBUTION WAS MADE MAY BE CARRIED FORWARD FOR ONE IMMEDIATELY
SUCCEEDING CALENDAR OR FISCAL YEAR UNTIL THE FULL CREDIT HAS BEEN
ALLOWED.
(8) NO ONE QUALIFYING RECIPIENT SHALL BE ALLOWED TO RECEIVE CAPITAL,
WITH RESPECT TO WHICH A TAX CREDIT IS GRANTED PURSUANT TO THIS
SUBSECTION, IN EXCESS OF ONE HUNDRED FIFTY THOUSAND DOLLARS IN ANY ONE-
YEAR PERIOD.
S 3. Section 1511 of the tax law is amended by adding a new subdivi-
sion (l-1) to read as follows:
(L-1) NEIGHBORHOOD ASSISTANCE PROGRAM CREDIT. (1) FOR THE PURPOSE OF
THIS SUBDIVISION A QUALIFYING RECIPIENT SHALL BE A COMPANY UNDER
CONTRACT WITH THE DIVISION OF HOUSING AND COMMUNITY RENEWAL PURSUANT TO
SECTIONS NINE HUNDRED THREE AND ONE THOUSAND THREE OF THE PRIVATE HOUS-
ING FINANCE LAW OR OTHER NON-PROFIT ENTITIES THAT ENGAGE IN HOUSING AND
COMMUNITY DEVELOPMENT ACTIVITIES INCLUDING BUT NOT LIMITED TO: PRESERVA-
TION AND DEVELOPMENT OF AFFORDABLE HOUSING, HOUSING COUNSELING AND
COMMUNITY RENEWAL. THE COMMISSIONER OF THE DIVISION OF HOUSING AND
COMMUNITY RENEWAL SHALL ESTABLISH A PROCEDURE TO CERTIFY SUCH OTHER
ENTITIES AS QUALIFYING RECIPIENTS.
(2) THE COMMISSIONER OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL
SHALL ESTABLISH A PROCESS FOR APPROVAL OF A CREDIT AGAINST ANY TAX DUE
UNDER THIS ARTICLE TO BUSINESSES, WHICH CONTRIBUTE TO A QUALIFYING
RECIPIENT. SUCH APPROVAL SHALL BE FORWARDED TO THE DEPARTMENT UNDER
PROCEDURES TO BE ESTABLISHED BY THE DIVISION OF HOUSING AND COMMUNITY
RENEWAL AND THE DEPARTMENT. THE AMOUNT OF THE TAX CREDIT VOUCHER SHALL
NOT EXCEED ONE-HALF THE AMOUNT OF THE CONTRIBUTION. ONLY CASH CONTRIB-
UTIONS SHALL BE ELIGIBLE FOR THIS TAX CREDIT.
(3) CRITERIA FOR APPROVAL OF TAX CREDIT PROPOSALS SHALL INCLUDE: THE
EXTENT OF NEED OF THE COMMUNITY, VISION AND PLANS FOR THE REVITALIZATION
OF THE COMMUNITY; SUCCESSFUL TRACK RECORD OF SERVICE TO THE COMMUNITY;
BOARD AND COMMUNITY INVOLVEMENT; AND DEMONSTRATED ABILITY TO UTILIZE
RESOURCES EFFECTIVELY.
(4) NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PREVENT TWO OR MORE
TAXPAYERS OR TWO OR MORE QUALIFYING RECIPIENTS FROM PARTICIPATING JOINT-
LY IN ONE OR MORE PROGRAMS UNDER THE PROVISIONS OF THIS SUBDIVISION NOR
SHALL IT BE CONSTRUED TO PREVENT ANY BUSINESS FROM PARTICIPATING IN ONE
OR MORE PROGRAMS.
(5) THE SUM OF ALL TAX CREDITS GRANTED PURSUANT TO THE PROVISIONS OF
THIS SUBDIVISION SHALL NOT EXCEED FIVE HUNDRED THOUSAND DOLLARS ANNUALLY
FOR ANY ONE TAXPAYER INCLUDING SUCH PARTY'S AFFILIATES AND RELATED ENTI-
TIES AS DETERMINED BY THE COMMISSIONER, UNLESS THE COMMISSIONER DETER-
MINES THAT THE TOTAL AMOUNT OF THE TAX CREDITS ALLOWED TO TAXPAYERS WILL
BE UNDER-UTILIZED IN ANY ONE FISCAL YEAR.
(6) NO TAX CREDIT SHALL BE GRANTED TO ANY BUSINESS FOR ACTIVITIES THAT
ARE PART OF ITS OR ANY OF ITS AFFILIATES' OR RELATED ENTITIES' ORDINARY
COURSE OF BUSINESS.
A. 5665 4
(7) ANY TAX CREDIT NOT USED DURING THE PERIOD WITHIN WHICH THE
CONTRIBUTION WAS MADE MAY BE CARRIED FORWARD FOR ONE IMMEDIATELY
SUCCEEDING CALENDAR OR FISCAL YEAR UNTIL THE FULL CREDIT HAS BEEN
ALLOWED.
(8) NO ONE QUALIFYING RECIPIENT SHALL BE ALLOWED TO RECEIVE CAPITAL,
WITH RESPECT TO WHICH A TAX CREDIT IS GRANTED PURSUANT TO THIS SUBDIVI-
SION, IN EXCESS OF ONE HUNDRED FIFTY THOUSAND DOLLARS IN ANY ONE-YEAR
PERIOD.
S 4. In no event shall the total amount of the tax credits allowed to
taxpayers pursuant to the provisions of subdivision 25-b of section 210,
subsection (u) of section 1456 and subdivision (1-1) of section 1511 of
the tax law, in the aggregate, exceed ten million dollars in any one
fiscal year. No more than fifty percent of the total amount of the tax
credits shall be granted for contributions made to neighborhood organ-
izations located within a city with a population of one million or more.
S 5. This act shall take effect on the one hundred twentieth day after
it shall have become a law. Effective immediately, the commissioner of
the division of housing and community renewal shall promulgate any rules
and regulations necessary for the timely implementation of this act on
or before such date.