S T A T E O F N E W Y O R K
________________________________________________________________________
7485
2009-2010 Regular Sessions
I N A S S E M B L Y
April 13, 2009
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Introduced by M. of A. BALL -- read once and referred to the Committee
on Agriculture
AN ACT to amend the agriculture and markets law and the real property
tax law, in relation to the assessment of land and structures used in
agricultural production; to amend the real property tax law, in
relation to providing state aid to taxing jurisdictions for the
difference between the full value and the agricultural assessment of
land and structures used in agricultural production; to repeal section
304-a of the agriculture and markets law relating to agricultural
assessment values; and to repeal section 582 of the real property tax
law relating to valuation of agricultural structures
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Subdivision 1 of section 301 of the agriculture and markets
law, as amended by chapter 797 of the laws of 1992, is amended to read
as follows:
1. "Agricultural assessment value" means the value [per acre] assigned
to land USED IN AGRICULTURAL PRODUCTION AND THE STRUCTURES THEREON for
assessment purposes determined pursuant to the [capitalized value of
production] procedure [prescribed by] ESTABLISHED BY THE STATE BOARD OF
REAL PROPERTY SERVICES IN ACCORDANCE WITH section three hundred four-a
of this article.
S 2. Section 304-a of the agriculture and markets law is REPEALED and
a new section 304-a is added to read as follows:
S 304-A. AGRICULTURAL ASSESSMENT VALUES. 1. AGRICULTURAL ASSESSMENT
VALUES FOR LAND USED IN AGRICULTURAL PRODUCTION AND THE STRUCTURES THER-
EON SHALL BE ANNUALLY CALCULATED AND CERTIFIED IN ACCORDANCE WITH THE
PROCEDURES ESTABLISHED BY THE OFFICE OF REAL PROPERTY SERVICES.
2. THE OFFICE OF REAL PROPERTY SERVICES SHALL ESTABLISH RULES AND
REGULATIONS, WHICH SHALL BE BINDING UPON ALL ASSESSING UNITS IN THE
STATE, FOR THE ASSESSMENT OF LAND USED IN AGRICULTURAL PRODUCTION AND
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD10649-01-9
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THE STRUCTURES THEREON. SUCH RULES AND REGULATIONS SHALL PROVIDE THAT
THE AGRICULTURAL ASSESSMENT VALUE OF LAND USED IN AGRICULTURAL
PRODUCTION AND THE STRUCTURES THEREON SHALL BE THE GROSS SALES VALUE OF
CROPS, LIVESTOCK AND LIVESTOCK PRODUCTS PRODUCED ON SUCH LAND, REDUCED
BY THE FIVE YEAR AVERAGE OF THE COST OF SEED, FERTILIZER, FEED, FUEL,
OIL, GREASE, REPAIRS, ELECTRICITY, LABOR, EQUIPMENT AND MACHINERY. UNDER
NO CIRCUMSTANCES SHALL LAND USED IN AGRICULTURAL PRODUCTION AND THE
STRUCTURES THEREON BE ASSESSED AT THE FULL VALUE THEREOF, UNLESS SUCH
FULL VALUE IS LESS THAN THE AGRICULTURAL ASSESSMENT VALUE ESTABLISHED
PURSUANT TO THIS SUBDIVISION.
S 3. Paragraphs (n), (o), (p) and (q) of subdivision 1 of section 202
of the real property tax law, paragraph (n) as relettered by chapter 833
of the laws of 1960, paragraph (o) as added by chapter 716 of the laws
of 1990, paragraph (p) as added by chapter 166 of the laws of 1991 and
paragraph (q) as added by chapter 450 of the laws of 2004, are amended
and a new paragraph (r) is added to read as follows:
(n) Exercise and perform such other powers and duties as may be
conferred or imposed on it by law[.];
(o) [monitor] MONITOR the quality of local assessment practices by
individual assessing units[.];
(p) [impose] IMPOSE, collect and receive such charges or fees as may
be authorized by statute[.];
(q) Promulgate rules and regulations for the ascertainment and report-
ing of "assessment record billing owner" information, as defined in
section one hundred three of the eminent domain procedure law, for the
purposes of the administration of said law[.]; AND
(R) PROMULGATE AND IMPLEMENT RULES AND REGULATIONS ESTABLISHING THE
PROCEDURE FOR THE DETERMINATION OF THE AGRICULTURAL ASSESSMENT VALUE OF
LAND USED IN AGRICULTURAL PRODUCTION AND THE STRUCTURES THEREON PURSUANT
TO SECTION THREE HUNDRED FOUR-A OF THE AGRICULTURE AND MARKETS LAW. SUCH
PROCEDURE SHALL BE USED BY ALL ASSESSING UNITS, AND THE AGRICULTURAL
ASSESSMENT VALUE SHALL BE THE ASSESSMENT OF LAND USED IN AGRICULTURAL
PRODUCTION AND THE STRUCTURES THEREON FOR ALL PURPOSES AND FOR ALL TAX
LEVIES BY EVERY TAXING JURISDICTION.
S 4. Section 481 of the real property tax law, as added by chapter 774
of the laws of 1987, is amended to read as follows:
S 481. Taxation of land used for agricultural production AND THE
STRUCTURES THEREON. Notwithstanding any other provision of this chap-
ter, land used in agricultural production as that term is defined in
section three hundred one of the agriculture and markets law AND THE
STRUCTURES THEREON, shall be assessed and taxed FOR ALL PURPOSES in the
manner provided by article twenty-five-AA of the agriculture and markets
law.
S 5. Section 582 of the real property tax law is REPEALED.
S 6. The real property tax law is amended by adding a new section 993
to read as follows:
S 993. EFFECT OF AGRICULTURAL ASSESSMENT. 1. LEVY OF TAXES. THE AMOUNT
OF TAXES TO BE LEVIED BY ANY MUNICIPAL CORPORATION OR SPECIAL DISTRICT
SHALL BE DETERMINED WITHOUT REGARD TO THE FACT THAT STATE AID WILL BE
PAYABLE PURSUANT TO THIS SECTION. IN ADDITION, THE TAX RATE FOR ANY
MUNICIPAL CORPORATION OR SPECIAL DISTRICT SHALL BE DETERMINED AS IF NO
PARCELS WERE SUBJECT TO AN AGRICULTURAL ASSESSMENT VALUE PURSUANT TO
SECTION THREE HUNDRED FOUR-A OF THE AGRICULTURE AND MARKETS LAW. HOWEV-
ER, THE TAX RATE SO DETERMINED SHALL BE APPLIED TO THE AGRICULTURAL
ASSESSMENT VALUE OF EACH PARCEL OF LAND USED IN AGRICULTURAL PRODUCTION
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AND THE STRUCTURES THEREON AFTER ACCOUNTING FOR ALL APPLICABLE
EXEMPTIONS.
2. TAX SAVINGS. THE TAX SAVINGS FOR EACH PARCEL OF LAND USED IN AGRI-
CULTURAL PRODUCTION AND THE STRUCTURES THEREON SUBJECT TO AN AGRICUL-
TURAL ASSESSMENT VALUE PURSUANT TO SECTION THREE HUNDRED FOUR-A OF THE
AGRICULTURE AND MARKETS LAW SHALL BE COMPUTED BY SUBTRACTING THE AGRI-
CULTURAL ASSESSMENT VALUE OF SUCH PARCEL FROM THE FULL VALUE OF SUCH
PARCEL. A STATEMENT SHALL THEN BE PLACED ON THE TAX BILL FOR THE PARCEL
IN SUBSTANTIALLY THE FOLLOWING FORM: "YOUR TAX SAVINGS THIS YEAR RESULT-
ING FROM AN AGRICULTURAL ASSESSMENT IS $________."
3. STATE AID. (A) THE TOTAL TAX SAVINGS DULY PROVIDED BY EACH MUNICI-
PAL CORPORATION AND SPECIAL DISTRICT PURSUANT TO THIS SECTION SHALL BE A
STATE CHARGE, WHICH SHALL BE PAYABLE AS PROVIDED IN THIS SECTION.
(B) A MUNICIPAL CORPORATION OR SPECIAL DISTRICT SEEKING AID PURSUANT
TO THIS SECTION SHALL SUBMIT AN APPLICATION THEREFOR TO THE STATE BOARD.
THE APPLICATION SHALL INCLUDE SUCH INFORMATION AS THE STATE BOARD SHALL
REQUIRE.
(C) UPON APPROVING AN APPLICATION FOR STATE AID PURSUANT TO THIS
SECTION, THE STATE BOARD SHALL COMPUTE THE AMOUNT PAYABLE TO THE APPRO-
PRIATE MUNICIPAL CORPORATION OR SPECIAL DISTRICT. SUCH AID SHALL BE
PAYABLE UPON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER FROM VOUCH-
ERS CERTIFIED AND APPROVED BY THE EXECUTIVE DIRECTOR OF THE OFFICE OF
REAL PROPERTY SERVICES.
(D) THE STATE BOARD MAY AUDIT AN APPLICATION FOR STATE AID PURSUANT TO
THIS SECTION WITHIN ONE YEAR AFTER AUTHORIZING PAYMENT THEREON. IF THE
STATE BOARD SHOULD DISCOVER THAT A MUNICIPAL CORPORATION OR SPECIAL
DISTRICT HAS RECEIVED A GREATER OR LESSER AMOUNT OF SUCH AID THAN IT
SHOULD HAVE RECEIVED, THE STATE BOARD SHALL NOTIFY THE MUNICIPAL CORPO-
RATION OR SPECIAL DISTRICT, AND SHALL CAUSE THE NEXT PAYMENT OF SUCH AID
TO THE MUNICIPAL CORPORATION OR SPECIAL DISTRICT TO BE ADJUSTED ACCORD-
INGLY.
(E) WHEN AN IMPROPERLY GRANTED AGRICULTURAL ASSESSMENT VALUE HAS BEEN
REVOKED, THE AID PAYABLE TO THE MUNICIPAL CORPORATION OR SPECIAL
DISTRICT PURSUANT TO THIS SECTION SHALL BE REDUCED BY THE AMOUNT OF
TAXES ATTRIBUTABLE TO THE REVOKED AGRICULTURAL ASSESSMENT.
4. INSTALLMENT PAYMENTS. WHEN REAL PROPERTY TAXES ARE PAYABLE IN
INSTALLMENTS PURSUANT TO LAW, THE TAX SAVINGS PROVIDED BY THIS SECTION
SHALL BE APPLIED PROPORTIONALLY AGAINST THE RESPECTIVE INSTALLMENTS.
5. UNTIMELY PAYMENT OF TAXES. (A) WHEN TAXES ON PROPERTY SUBJECT TO
AN AGRICULTURAL ASSESSMENT PURSUANT TO SECTION THREE HUNDRED FOUR-A OF
THE AGRICULTURE AND MARKETS LAW ARE NOT PAID IN A TIMELY MANNER, INTER-
EST, PENALTIES AND ANY OTHER APPLICABLE CHARGES SHALL BE IMPOSED ONLY
AGAINST THE BALANCE DUE AFTER THE TAX SAVINGS PROVIDED BY THIS SECTION
HAVE BEEN DEDUCTED FROM THE TAXES OWED.
(B) WHEN A COUNTY, CITY OR TOWN IS REQUIRED BY ANY PROVISION OF THIS
CHAPTER TO MAKE A PAYMENT TO A MUNICIPAL CORPORATION OR SPECIAL DISTRICT
ON ACCOUNT OF UNPAID TAXES, THE TAX SAVINGS PROVIDED BY THIS SECTION
SHALL BE DEDUCTED FROM THE AMOUNT SO PAYABLE.
6. INCONSISTENT LAWS SUPERSEDED. THE PROVISIONS OF THIS SECTION SHALL
APPLY TO ALL MUNICIPAL CORPORATIONS AND SPECIAL DISTRICTS, NOTWITHSTAND-
ING ANY PROVISION OF LAW TO THE CONTRARY.
S 7. This act shall take effect immediately, except that sections one,
two, four, five and six of this act shall take effect on the first of
January next succeeding the date on which this act shall have become a
law and shall apply to tax rolls completed on or after such date.