Senate Bill S5138A

                                BILL NUMBER:S5138A

TITLE OF BILL:
An act
to authorize the village of North Hills to file applications for real
property tax exemptions with the
county of Nassau

PURPOSE:
To allow the Incorporated village of North Hills, a municipal
corporation, to file retroactively for tax exemption for property
which would have received such exemption if a timely application had
been filed before the applicable Nassau County taxable status dates.

SUMMARY OF PROVISIONS:
Section one authorizes the assessor of the County of Nassau (who is
also the assessor for the Village of North Hills) to accept from the
Incorporated Village of North Hills an application for exemption for
real property taxes pursuant to Real Property Tax Law §406 for the
2008-2009 assessment roll with respect to the pro-rata share of the
2008-2009 school taxes and the pro-rata share of the 2009 general
taxes; and for the 2009-2010 assessment roll with respect to the
2009-2010 school taxes and the 2010 general taxes, for the parcel
located in the Town of North Hempstead (Village of North Hills) and
known as section 8, block A, lots 169A and 169C on the Nassau County
Land and Tax Map. If accepted, the application shall be reviewed as
              

if it had been received on or before the taxable status date
established for such roll, and any exemptions shall be granted for
the period of each respective tax year commencing on and after
February 26, 2009, the date of acquisition of the property, and
continuing to and including the end of each such tax year.

EXISTING LAW:
Existing law authorizes tax exemptions to be granted after the taxable
status date has passed if a bill chaptered authorizing an assessor to
accept a late application.

JUSTIFICATION:
On February 26, 2009, the Incorporated Village of North Hills, a
municipal corporation, acquired property in the Village of North
Hills, Town of North Hempstead, Nassau County, New York, for
municipal purposes. Subsequent to acquiring title, the Village filed
an application with the Nassau County Assessor for tax exempt status
for the property, and such application has been granted commencing
with the 2010-2011 tax roll.

However, February 26, 2009, the date on which the Village aC~lired the
subject property, was after the applicable taxable status date for
the Nassau County assessment roll for the County and general tax year
2009-2010, and the school tax years 2008-2009 and 2009-2010. The
Village therefore could not file for and obtain tax exempt status for
its property for the tax years for which assessment rolls already had
closed as of the date of acquisition.
Accordingly, the property does not qualify for exempt status for taxes
for the portions of those tax years from February 26, 2009 continuing
to the


conclusion of each of those respective tax years. This bill would
permit the Village to make applications to the assessor for real
property tax exemption for the portions of those respective tax
years commencing with the February 26, 2009 date of acquisition of
the property for continuing until the conclusion of those tax years.

Granting property tax exemption to this institution will be consistent
with New York State policy which grants mandatory exemptions pursuant
to Real Property Tax Law §420.

Taxable status dates are intended to fix the date on which property is
valued for assessment purposes, so that all properties are assessed
as of the same date. If an institution is properly exempt, its
assessment would be academic, as it would not be obligated to pay
taxes. However, where an otherwise exempt institution acquires title
to property after the taxable status date has passed and the
assessment has been fixed, the institution is unable to file a timely
exemption application, and therefore is required to pay property
taxes which it would not otherwise be required to pay. This
legislation would permit the Village of North Hills to seek
retroactive exempt status for the portions of those tax years for
which assessments already were fixed as of the February 26, 2009
acquisition date. None of the purposes of taxable status dates are
served by refusing permission to apply for the exemption under the
circumstances.

The Village has applied for, and received, tax exempt status for this
property commencing with the 2010-2001 county assessment roll.

LEGISLATIVE HISTORY:
This is a new bill.

FISCAL IMPLICATIONS:
None to the State.

EFFECTIVE DATE:
This act shall take effect immediately.