senate Bill S5491F

2011-2012 Legislative Session

Enacts the New York state green economic development zones act

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jun 06, 2012 reported and committed to finance
May 11, 2012 print number 5491f
amend and recommit to local government
Apr 25, 2012 print number 5491e
amend and recommit to local government
Apr 04, 2012 print number 5491d
amend and recommit to local government
Mar 09, 2012 print number 5491c
amend (t) and recommit to local government
Jan 23, 2012 print number 5491b
amend and recommit to local government
Jan 04, 2012 referred to local government
Jun 09, 2011 print number 5491a
amend and recommit to local government
May 25, 2011 referred to local government

Votes

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Jun 6, 2012 - Local Government committee Vote

S5491F
8
0
committee
8
Aye
0
Nay
0
Aye with Reservations
0
Absent
0
Excused
0
Abstained
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Local Government Committee Vote: Jun 6, 2012

Bill Amendments

Original
A
B
C
D
E
F (Active)
Original
A
B
C
D
E
F (Active)

S5491 - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491 - Bill Texts

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Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

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BILL NUMBER:S5491

TITLE OF BILL:
An act
to amend the general municipal law, the
real property tax law, the
general city law, the tax law and the public service law, in relation to
enacting the New York state green economic development zones act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the
Green Enterprise Trade Zone, which is a designated area of in the
commercial and/or industrial zoned area of Staten Island, that would
attract companies producing goods and services for the Green
Environmental Standards that government is mandating and leverage
green business strategies and green technology, with tax exemptions
to accelerate investment in our City and State green tech and clean
tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 of this bill states the name of the act.

Section 2 amends section 499-aa of the real property tax law by adding
paragraph (b-1) which includes "green zones" in the abatement zone in
New York City.

Section 3 amends paragraphs (b),(c)and (d) of subdivision 10 of
section 499-aa of the real property tax law. Paragraphs (b), (c) and
(d) add the green zone provisions in regard to abatement zones.

Section 4 adds two new subdivisions, 14-b and 14-c to section 499-aa
of the real property tax law. 14-b defines "green business" as a
business that has its primary source of revenue of services in the
following areas: (i) green house gas emission for reduction
technologies; (ii) the assembly of essential components for a
clean-fueled vehicle; or (iii) energy efficiency technologies.
Section 14-b proceeds to define what each provision of services
means. 14-c of the subdivision determines which area of the borough
of Staten Island will be considered a "green zone" based on the New
York City department of city planning zoning maps.

Section 5 amends paragraph (b) of subdivision 28 of section 499-aa of
the real property tax law in regards to adding a green business in a
green zone to (as defined by subdivision 14-b) to what is considered
an eligible building or eligible premise.

Section 6 defines "eligible business" and addresses the time when a
green business can relocate into a green zone. This section determines
that on or after July 1st, 2011, a green business can enter into a
contract to purchase or lease premises in a green zone.

Section 7 adds subdivisions 1-c to 499-bb to the real property tax
law. 1-c deals with the effective date and the benefits of a green
zone. If a green business is located in a green zone and has a lease
on or after July 1st, 2011 for no less than 3 years, shall receive


an abatement of real property taxes for each
year of the benefit period equal to the product obtained by
multiplying the tenant's percentage share by the number of square
feet in the eligible building.

Section 8 amends section 25-y of the general city law adding two new
subdivision, (a-1) and (a-2). A-1 defines "green business" as any
person that conducts eligible green activities and is subject to a
tax imposed under a local law. A-2 defines "green zone" and lists the
areas of Staten Island that are considered to be green zones.

Section 9 amends section 25-y of the general city law by adding
paragraph 4 in regard to nonresidential premises located entirely in
real property located partially or entirely in a green zone.

Section 10 amends subdivision (f) of the general city regarding
"eligible area", adding a provision that states when a green business
relocates after July 1st, 2011, an eligible area shall include a
green zone.

Section 11 amends subdivision (a) section 25-s of the general city
law adding paragraph 1-a. 1-a is a provision that states that a green
business relocating after July 1st, 2011, is a green zone.

Section 12 deals with subdivision 25-y of the general business law
concerning "revitalization area" adding "green zones" to the
definition after July 1st, 2011.

Section 13, 14, & 15 amends section 25-s of the general city law.

Section 16 amends the real property tax law by adding a new section
485-n.

Section 17 amends the tax law by adding a new subdivision 11.

Section 18 amends section 210 of the tax law by adding two new
subdivisions 12-H and 12-1.

Section 19 amends the tax law by adding a new subdivision 43.

Section 20 adds a new clause (xxxii) to the tax law.

Section 21 amends section 606 of the tax law by adding a new
subsection (qq)

Section 22 amends section 1456 of the tax law by adding new subsection
(x)

Section 23 amends section 1511 of the tax law by adding subdivision (aa)

JUSTIFICATION:
The green zone acts as a "go to place" for the
entrepreneur to put his/her green technology into production. The
green zone is a designated area of Staten Island aimed at attracting
companies that produce 'Green' goods and service. The zone will
attract green technology companies, venture capitalists, strategic


planners and marketers that recognize the economic development
potential in Staten Island.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and
leaving the Foreign Trade Zone, promotes trade and economic
development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the
outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies
and the production of green technology thus creating an area where
the investment community can focus on green product development. as
well as, an area where green products can be manufactured. This zone
will establish a location where companies focusing on green economic
development can come together to individually and jointly spur
development of a more green state.

Most importantly, the Green Zone Act will be a tax exemption on
business profits for a fixed period of time. The tax exemption on
business profits would stimulate green economic development and
accelerate the developing clean tech industries that locate within
the zone, allowing lower cost for green products sold in New York
City and State, the largest market in the United States. Tax
exemption worked for the Foreign Trade Zones, it will work for Green
Zones.

PRIOR LEGISLATIVE HISTORY:
2010: A.10662 - Died in Economic Development.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                  5491

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed to the Committee on Local Government

AN ACT to amend the general municipal law, the real  property  tax  law,
  the  general  city  law,  the  tax  law and the public service law, in
  relation to enacting the New York  state  green  economic  development
  zones act

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

  Section 1. This act shall be known and may be cited as the  "New  York
state green economic development zones act."
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
        974-D. RESPONSIBILITIES OF THE COMMISSIONER.
        974-E. DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE.
        974-F. APPLICATION  FOR  GREEN  ECONOMIC DEVELOPMENT ZONE DESIG-
                 NATION.
        974-G. GREEN ECONOMIC DEVELOPMENT ZONE DEVELOPMENT PLAN.
        974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE.
        974-I. DESIGNATION OF  GREEN  ECONOMIC  DEVELOPMENT  ZONE  AS  A
                 FEDERAL GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.
        974-J. DIVISION OF TAXES BY GOVERNMENT BODIES.
        974-K. DISPOSITION OF PROPERTY.
        974-L. TERMINATION  OR REVERSION OF A GREEN ECONOMIC DEVELOPMENT
                 ZONE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-01-1

S. 5491                             2

  S 974.  SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE  CITED  AS
THE "NEW YORK GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S  974-A.    LEGISLATIVE FINDINGS AND DECLARATION.  IT IS HEREBY FOUND
AND DECLARED THAT THERE EXISTS WITHIN THE STATE THE  NEED  TO  STIMULATE
EMPLOYMENT  AND  MORE EFFICIENT TRANSPORTATION BY UTILIZING THE EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF THE STATE, IMPROVE THE STATE'S  ENVIRONMENTAL  QUALITY  OF  LIFE  AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO  STIMULATE  PRIVATE  INVESTMENT, PRIVATE BUSINESS DEVELOPMENT AND JOB
CREATION. IT IS THE PUBLIC POLICY OF THE STATE TO OFFER  SPECIAL  INCEN-
TIVES  AND  ASSISTANCE  THAT  WILL  PROMOTE THE DEVELOPMENT OF NEW GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED AREAS AND TO DO SO WITHOUT ENCOURAGING  THE  RELOCATION  OF  BUSINESS
INVESTMENT  FROM  OTHER  AREAS  OF  THE  STATE.  IT IS FURTHER FOUND AND
DECLARED THAT IT IS THE PUBLIC POLICY OF  THE  STATE  TO  ACHIEVE  THESE
GOALS  THROUGH  THE  MUTUAL COOPERATION OF ALL LEVELS OF STATE AND LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S 974-B. DEFINITIONS. AS USED IN THIS  ARTICLE,  THE  FOLLOWING  TERMS
SHALL  HAVE  THE  FOLLOWING  MEANINGS  UNLESS THE CONTEXT SHALL INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A) "APPLICANT" SHALL MEAN THE COUNTY, CITY, TOWN OR  VILLAGE  SUBMIT-
TING  AN  APPLICATION  IN  THE MANNER AUTHORIZED BY LOCAL LAW FOR DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B) "ENTERPRISE" SHALL MEAN A BUSINESS ENTERPRISE THAT  IS  AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C) "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT HAS ITS PRIMARY SOURCE
OF  REVENUE  THE PROVISION OF SERVICES IN THE FOLLOWING AREAS: (1) GREEN
HOUSE EMISSION REDUCTION TECHNOLOGIES; (2)  THE  ASSEMBLY  OF  ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A)  "GREENHOUSE  EMISSION  REDUCTION  TECHNOLOGIES"  SHALL  MEAN  AND
INCLUDE, BUT NOT BE LIMITED TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT THE NEW OR  RETROFITTED  FURNACES  AND  BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN  0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHI-
CLES OR THE CONVERSION OF EXISTING VEHICLES  TO  CLEAN-FUELED  VEHICLES;
AND  (IV)  OTHER  MEASURES  THAT  WILL  REDUCE THE DEMAND FOR AND/OR THE
CONSUMPTION OF ENERGY INCLUDING FUELS, AS DETERMINED BY  THE  DEPARTMENT
OF  ENVIRONMENTAL  CONSERVATION  WITH THE NEW YORK STATE ENERGY RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-

S. 5491                             3

MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY AS DETER-
MINED  BY  THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
AND
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  (D) "COMMISSIONER" SHALL MEAN THE COMMISSIONER  OF  ECONOMIC  DEVELOP-
MENT.
  S  974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION. TO
BE ELIGIBLE FOR DESIGNATION AS A GREEN  ECONOMIC  DEVELOPMENT  ZONE  THE
AREA  MUST  BE  DESIGNATED BY THE FEDERAL GOVERNMENT AS A GREEN ECONOMIC
DEVELOPMENT ZONE OR GREEN ENTERPRISE ZONE AND BE DEFINED  BY  PRE-DESIG-
NATED BOUNDARIES.
  S 974-D. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A)  AFTER CONSULTATION WITH ALL APPROPRIATE DIRECTORS AND COMMISSION-
ERS OF STATE AGENCIES PROMULGATE REGULATIONS GOVERNING THE  CRITERIA  OF
ELIGIBILITY FOR LOCAL GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATIONS;
  (B)  RECEIVE AND REVIEW APPLICATIONS FOR DESIGNATION OF AREAS AS LOCAL
GREEN ECONOMIC DEVELOPMENT ZONES;
  (C) PROMULGATE REGULATIONS, IN CONSULTATION WITH THE  COMMISSIONER  OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION  SYSTEM,  WHICH IS CAPABLE OF COMPILING AND ANALYZING ACCURATE AND
CONSISTENT INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER  STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET; AND
  (D) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S  974-E.  DESIGNATION  OF  GREEN ECONOMIC DEVELOPMENT ZONE. THE GREEN
ECONOMIC DEVELOPMENT ZONE SHALL BE IN COORDINATION AND  CORRESPOND  WITH
THE FEDERAL DESIGNATION OF GREEN ENTERPRISE DEVELOPMENT ZONES.
  S  974-F. APPLICATION FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
A CITY, COUNTY (OTHER THAN A COUNTY WHOLLY  CONTAINED  WITHIN  A  CITY),
TOWN  OR VILLAGE MAY ADOPT A LOCAL LAW AUTHORIZING SUCH MUNICIPAL CORPO-
RATION TO PREPARE AND SUBMIT AN APPLICATION TO THE DEPARTMENT OF ECONOM-
IC DEVELOPMENT FOR DESIGNATION OF AN AREA THEREIN AS  A  GREEN  ECONOMIC
DEVELOPMENT  ZONE; AND THE ADOPTION OF SUCH A LOCAL LAW BY THE MUNICIPAL
CORPORATION WITHIN WHICH THE PROPOSED GREEN ECONOMIC DEVELOPMENT ZONE IS
TO BE LOCATED SHALL BE A PREREQUISITE TO THE SUBMISSION OF  AN  APPLICA-
TION FOR SUCH DESIGNATION. SUCH LOCAL LAW SHALL ALSO DESIGNATE THE BOUN-
DARIES OF SUCH AREA.
  S  974-G.  GREEN  ECONOMIC  DEVELOPMENT ZONE DEVELOPMENT PLAN. A GREEN
ECONOMIC DEVELOPMENT ZONE DEVELOPMENT  PLAN  SHALL  BE  FILED  WITH  THE
DEPARTMENT  OF  ECONOMIC  DEVELOPMENT, AND WITH THE LOCAL GREEN ECONOMIC
DEVELOPMENT ZONE BODY, AND SHALL DEMONSTRATE THE METHODS  BY  WHICH  THE
APPLICANT  INTENDS  TO PROMOTE THE DEVELOPMENT OF NEW GREEN BUSINESS AND
THE EXPANSION OF EXISTING BUSINESS DEVELOPING  GREEN  TECHNOLOGY  WITHIN
THE GREEN ECONOMIC DEVELOPMENT ZONE.
  S  974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE. THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE  CERTIFICATION  SHALL  BE  BY  THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE BODY.

S. 5491                             4

  S  974-I.  DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE AS A FEDERAL
GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.   (FEDERAL GREEN  ENTERPRISE
ECONOMIC DEVELOPMENT ZONE PROPOSED)
  S 974-J. DIVISION OF TAXES BY GOVERNMENT BODIES. THE GOVERNING BODY OF
ANY  CITY, TOWN, VILLAGE OR COUNTY IN WHICH A GREEN ECONOMIC DEVELOPMENT
ZONE IS LOCATED IS HEREBY AUTHORIZED AND EMPOWERED TO ADOPT A LOCAL  LAW
PROVIDING  THAT  ANY  TAXES  LEVIED  BY OR ON BEHALF OF SUCH CITY, TOWN,
VILLAGE OR COUNTY UPON TAXABLE REAL PROPERTY IN SUCH ZONE MAY BE  EXEMPT
FOR A TEN-YEAR PERIOD.
  S 974-K. DISPOSITION OF PROPERTY. (A) NOTWITHSTANDING ANY PROVISION OF
ANY  OTHER  LAW TO THE CONTRARY, IN ORDER TO FURTHER THE PURPOSES OF THE
GREEN ECONOMIC DEVELOPMENT ZONE, ANY REAL OR PERSONAL  PROPERTY  LOCATED
WITHIN  A GREEN ECONOMIC DEVELOPMENT ZONE AND OWNED BY ANY LOCAL GOVERN-
MENTAL ENTITY IN WHOSE JURISDICTION A GREEN ECONOMIC DEVELOPMENT ZONE IS
LOCATED, MAY BE SOLD OR LEASED FOR  A  TERM  NOT  EXCEEDING  NINETY-NINE
YEARS  TO A PRIVATE USER, A COMMUNITY-BASED ORGANIZATION, A PUBLIC BENE-
FIT CORPORATION OR  ANY  OTHER  PERSON;  PROVIDED,  HOWEVER,  THAT  EACH
CONTRACT FOR SUCH SALE, AND EACH SUCH LEASE, SHALL OBLIGATE THE BUYER OR
LESSEE  TO  COMPLY  WITH  THE  PROVISIONS  OF THIS ARTICLE AND THE GREEN
ECONOMIC DEVELOPMENT ZONE PLAN FILED WITH THE COMMISSIONER  PURSUANT  TO
SECTION  NINE  HUNDRED  SEVENTY-FOUR-G OF THIS ARTICLE. SUCH OBLIGATIONS
CONTAINED IN A CONTRACT FOR THE SALE  OF  REAL  PROPERTY  SHALL  SURVIVE
DELIVERY  OF  THE  DEED.  A  BREACH BY THE BUYER OR LESSEE OF A MATERIAL
OBLIGATION OF SUCH CONTRACT OR LEASE SHALL, IN  ADDITION  TO  ANY  OTHER
REMEDIES AVAILABLE TO THE SELLER OR LESSOR UNDER THE CONTRACT, TERMINATE
THE ELIGIBILITY OF THE BUYER OR LESSEE FOR ANY BENEFITS PROVIDED IN THIS
ARTICLE.
  S  974-L.  TERMINATION  OR  REVERSION  OF A GREEN ECONOMIC DEVELOPMENT
ZONE. (A) EXCEPT AS PROVIDED IN THIS SECTION, ANY DESIGNATION OF AN AREA
AS A GREEN ECONOMIC DEVELOPMENT ZONE SHALL REMAIN IN EFFECT  DURING  THE
PERIOD  BEGINNING ON THE DATE OF DESIGNATION AND ENDING TEN YEARS THERE-
AFTER. AFTER CONSULTATION WITH  THE  DIRECTOR  OF  THE  BUDGET  AND  THE
COMMISSIONER OF LABOR, THE COMMISSIONER MAY TERMINATE THE DESIGNATION OF
AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE UPON A FINDING THAT (1) THE
APPLICANT  HAS  FAILED  SUBSTANTIALLY  TO  IMPLEMENT  THE GREEN ECONOMIC
DEVELOPMENT ZONE DEVELOPMENT PLAN WITHIN THE TIME STATED THEREIN; OR (2)
THERE HAS BEEN NO SUBSTANTIAL BUSINESS DEVELOPMENT OR JOB CREATION WITH-
IN THE AREA DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE WITHIN  FIVE
YEARS  AFTER  SUCH  DESIGNATION;  PROVIDED, HOWEVER, THAT NO TERMINATION
SHALL OCCUR UNLESS AND UNTIL WRITTEN NOTICE HAS BEEN GIVEN TO THE APPLI-
CANT AND A PUBLIC HEARING HAS BEEN HELD THIRTY DAYS PRIOR TO THE  EFFEC-
TIVE DATE OF SUCH TERMINATION.
  (B)  UPON  THE  TERMINATION  OF  A  GREEN ECONOMIC DEVELOPMENT ZONE AS
PROVIDED IN THIS SECTION, THE COMMISSIONER SHALL  FILE  NOTICE  OF  SUCH
TERMINATION.
  S  3.  Subdivision 2 of section 499-aa of the real property tax law is
amended by adding a new paragraph (b-1) to read as follows:
  (B-1) IN ADDITION TO THE ABATEMENT ZONE SET FORTH  IN  PARAGRAPHS  (A)
AND  (B) OF THIS SUBDIVISION, IN THE CITY OF NEW YORK THE ABATEMENT ZONE
SHALL INCLUDE A "GREEN ZONE" AS DEFINED IN THIS SECTION.
  S 4. Paragraphs (b), (c) and (d) of subdivision 10 of  section  499-aa
of  the  real  property  tax  law, paragraphs (b) and (c) as amended and
paragraph (d) as added by chapter 403 of the laws of 2006,  are  amended
to read as follows:
  (b)  With  respect  to  the abatement zone defined in paragraph (b) OR
(B-1) of subdivision two of this section, premises located in an  eligi-

S. 5491                             5

ble  building that are (i) occupied or used as offices (including ancil-
lary uses) or are occupied or used for other lawful commercial  business
activities,  but  not  premises  occupied or used as retail space or for
hotel  or  residential purposes; or (ii) occupied or used for industrial
and manufacturing activities (including ancillary uses) OR  BY  A  GREEN
BUSINESS IN A GREEN ZONE, but not premises occupied or used for hotel or
residential purposes; and
  (c)  With  respect  to  the abatement zone defined in paragraph (c) of
subdivision two of this section, premises located in an eligible  build-
ing  that  are  occupied or used for industrial and manufacturing activ-
ities (including ancillary uses) OR USED BY A GREEN BUSINESS IN A  GREEN
ZONE,  but  not  premises  occupied  or  used  for  hotel or residential
purposes.
  (d) Notwithstanding the provisions of subparagraph (ii)  of  paragraph
(b)  or paragraph (c) of this subdivision, premises located in an eligi-
ble building shall not be eligible for the tax abatement granted  pursu-
ant  to subdivision one-b of section four hundred ninety-nine-bb of this
title unless at least fifty percent of the aggregate floor area of  such
premises is occupied or used for industrial and manufacturing activities
(exclusive  of  ancillary  uses) as defined in subdivision fourteen-a of
this section OR BY A GREEN BUSINESS AS DEFINED IN SUBDIVISION FOURTEEN-B
OF THIS SECTION.
  S 5. Section 499-aa of the real property tax law is amended by  adding
two new subdivisions 14-b and 14-c to read as follows:
  14-B.  "GREEN  BUSINESS."  A  "GREEN BUSINESS" SHALL BE DEFINED AS ONE
THAT HAS AS ITS PRIMARY SOURCE OF REVENUE THE PROVISION OF  SERVICES  IN
THE  FOLLOWING  AREAS:  (I) GREEN HOUSE GAS EMISSION REDUCTION TECHNOLO-
GIES; (II) THE ASSEMBLY OF ESSENTIAL COMPONENTS FOR A CLEAN-FUELED VEHI-
CLE; OR (III) ENERGY  EFFICIENCY  TECHNOLOGIES.  FOR  PURPOSES  OF  THIS
TITLE, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE BUT NOT BE LIMITED  TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT NEW OR RETROFITTED FURNACES AND  BOILERS  SHALL
NOT  AT  ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE CONVERSION OF EXISTING VEHICLES TO CLEAN FUELED VEHICLES;  AND  (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY.
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN.
  (C) "ENERGY EFFICIENCY TECHNOLOGIES"   SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT

S. 5491                             6

WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY.
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  14-C.  "GREEN  ZONE." A GREEN ZONE SHALL BE THE AREA IN THE BOROUGH OF
STATEN ISLAND DEFINED BY THE FOLLOWING AREA BASED ON THE NEW  YORK  CITY
DEPARTMENT  OF  CITY PLANNING ZONING MAPS: BEGINNING AT THE INTERSECTION
OF THE NORTH SIDE OF THE FOOT OF THE GOETHALS BRIDGE AND THE US PIERHEAD
AND BULKHEAD LINE; THENCE  RUNNING  EASTERLY  3,214.78  FEET  ALONG  AND
PARALLEL  TO  THE  NORTH  SIDE  OF  THE GEOTHALS BRIDGE EXTENSION TO THE
CENTERLINE OF WESTERN AVENUE; THENCE RUNNING NORTH  93.71  FEET  TO  THE
CENTERLINE  OF  GOETHALS  ROAD  NORTH; THENCE RUNNING EAST 5,909.12 FEET
ALONG AND PARALLEL TO THE SOUTH SIDE OF GEOTHALS ROAD NORTH  TO  CENTER-
LINE  OF SOUTH AVENUE; THENCE RUNNING SOUTH 433.81 FEET ALONG AND PARAL-
LEL TO THE WEST SIDE OF SOUTH AVENUE TO THE CENTERLINE OF FAHEY  AVENUE;
THENCE  RUNNING EAST 424.89 FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF
FAHEY AVENUE TO THE CENTERLINE OF FELTON STREET;  THENCE  RUNNING  SOUTH
1,314.02  FEET  ALONG  AND PARALLEL TO THE WEST SIDE OF FELTON STREET TO
THE CENTERLINE OF LAMBERTS LANE; THENCE RUNNING SOUTH 790.62 FEET  ALONG
THE  FELTON  STREET LINE TO THE INTERSECTION OF GRAHAM AVENUE AND LANDER
AVENUE; THENCE RUNNING  SOUTH 3,413.10 FEET ALONG AND  PARALLEL  TO  THE
WEST  SIDE  OF  GRAHAM  AVENUE  TO  THE CENTERLINE OF VICTORY BOULEVARD;
THENCE RUNNING SOUTHEAST 3,114.21 FEET ALONG THE WEST  SIDE  OF  VICTORY
BOULEVARD  TO  THE  CENTERLINE  OF  TRAVIS  AVENUE;  THENCE RUNNING EAST
5,030.20 FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF TRAVIS  AVENUE  TO
THE  CENTERLINE  OF RICHMOND AVENUE; THENCE RUNNING SOUTH 12,265.02 FEET
ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO THE CENTERLINE
OF ARTHUR KILL ROAD; THENCE RUNNING  WEST  14,266.19    FEET  ALONG  AND
PARALLEL  TO  THE  NORTH  SIDE  OF ARTHUR KILL ROAD TO THE CENTERLINE OF
ROSSVILLE AVENUE; THENCE RUNNING NORTH 650 FEET ALONG THE LINE OF  ROSS-
VILLE  AVENUE  TO THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING NORTH 34,553.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF  THE
US PIERHEAD AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S  6.  Paragraph  (b)  of subdivision 28 of section 499-aa of the real
property tax law, as added by chapter  403  of  the  laws  of  2006,  is
amended to read as follows:
  (b)  For  eligible  premises defined in subparagraph (ii) of paragraph
(b) or paragraph (c) of subdivision ten of this section, the  percentage
of  the eligible building's aggregate floor area allocated to the eligi-
ble premises to be occupied or used  for  industrial  and  manufacturing
activities OR BY A GREEN BUSINESS IN A GREEN ZONE, as defined in [subdi-
vision]  SUBDIVISIONS  fourteen-a AND FOURTEEN-B, AS THE CASE MAY BE, of
this section; provided that where the eligible premises includes  expan-
sion  premises,  the  "tenant's percentage share" shall be calculated on
the basis of the eligible  building's  aggregate  floor  area  allocated
solely  to  expansion premises to be occupied or used for industrial and
manufacturing activities OR BY THE GREEN BUSINESS IN THE GREEN ZONE.
  S 7. Section 499-bb of the real property tax law is amended by  adding
a new subdivision 1-c to read as follows:

S. 5491                             7

  1-C.  WITHIN A CITY HAVING A POPULATION OF ONE MILLION OR MORE, ELIGI-
BLE BUILDINGS CONTAINING ELIGIBLE PREMISES AS  DEFINED  IN  SUBPARAGRAPH
(II)  OF  PARAGRAPH (B) OR PARAGRAPH (C) OF SUBDIVISION TEN AND OCCUPIED
BY GREEN BUSINESSES IN A GREEN ZONE AS DEFINED BY SUBDIVISION FOURTEEN-B
OF SECTION FOUR HUNDRED NINETY-NINE-AA OF THIS TITLE OCCUPIED OR USED BY
A  TENANT  PURSUANT  TO  A  LEASE HAVING A LEASE COMMENCEMENT DATE ON OR
AFTER JULY FIRST, TWO THOUSAND ELEVEN WITH AN INITIAL LEASE TERM OF  NOT
LESS THAN THREE YEARS, SHALL RECEIVE AN ABATEMENT OF REAL PROPERTY TAXES
FOR EACH YEAR OF THE BENEFIT PERIOD EQUAL TO THE PRODUCT OBTAINED BY (I)
MULTIPLYING  THE TENANT'S  PERCENTAGE SHARE BY THE NUMBER OF SQUARE FEET
IN THE ELIGIBLE BUILDING, AS LISTED ON THE RECORDS OF THE DEPARTMENT  OF
FINANCE,  AND  (II) MULTIPLYING THE PRODUCT OBTAINED IN PARAGRAPH (I) OF
THIS SUBDIVISION BY THE ABATEMENT BASE.
  S 8. Subdivision (a) of section 25-y  of  the  general  city  law,  as
amended  by  chapter  149  of  the  laws  of 1999, is amended to read as
follows:
  (a) "Eligible business" means any person  subject  to  a  tax  imposed
under  a local law enacted pursuant to part two or three of section one,
or section two, of chapter seven hundred  seventy-two  of  the  laws  of
nineteen hundred sixty-six or a gross receipts tax imposed under a local
law enacted pursuant to subdivision (a) of section twelve hundred one of
the  tax  law  that:  (1) has been conducting substantial business oper-
ations at one or more business locations outside an  eligible  area  for
the  twenty-four  consecutive  months  immediately preceding the taxable
year during which such eligible business relocates as defined in  subdi-
vision  (j) of this section OR, IF A GREEN BUSINESS, HAS BEEN CONDUCTING
SUBSTANTIAL BUSINESS OPERATIONS OUTSIDE OF A GREEN ZONE; and (2)  on  or
after  May  twenty-seventh,  nineteen  hundred eighty-seven relocates as
defined in subdivision (j) of this section all or part of such  business
operations  OR IF A GREEN BUSINESS HAS RELOCATED INTO A GREEN ZONE AFTER
JULY FIRST, TWO THOUSAND ELEVEN; and (3) either  (i)  on  or  after  May
twenty-seventh,  nineteen  hundred  eighty-seven  first  enters  into  a
contract to purchase or lease the premises  to  which  it  relocates  as
defined in subdivision (j) of this section, or a parcel on which will be
constructed  such  premises,  or (ii) as of May twenty-seventh, nineteen
hundred eighty-seven owns such parcel or premises and has not  prior  to
such  date made application for benefits pursuant to a local law enacted
in accordance with title two-D of article four of the real property  tax
law OR IF A GREEN BUSINESS, ON OR AFTER JULY FIRST, TWO THOUSAND ELEVEN,
ENTERS INTO A CONTRACT TO PURCHASE OR LEASE PREMISES IN A GREEN ZONE.
  S 9. Section 25-y of the general city law is amended by adding two new
subdivisions (a-1) and (a-2) to read as follows:
  (A-1)  "GREEN  BUSINESS" MEANS ANY PERSON THAT CONDUCTS ELIGIBLE GREEN
ACTIVITIES AS DEFINED IN THIS  SUBDIVISION  AND  IS  SUBJECT  TO  A  TAX
IMPOSED  UNDER  A  LOCAL  LAW  ENACTED  PURSUANT TO PART TWO OR THREE OF
SECTION ONE, OR SECTION TWO, OF CHAPTER SEVEN HUNDRED SEVENTY-TWO OF THE
LAWS OF NINETEEN HUNDRED SIXTY-SIX OR A GROSS RECEIPTS TAX IMPOSED UNDER
A LOCAL LAW ENACTED  PURSUANT  TO  SUBDIVISION  (A)  OF  SECTION  TWELVE
HUNDRED ONE OF THE TAX LAW THAT HAS BEEN CONDUCTING SUBSTANTIAL BUSINESS
OPERATIONS  AT  ONE  OR  MORE BUSINESS LOCATIONS OUTSIDE A GREEN ZONE AS
DEFINED IN THIS SECTION AND ON OR AFTER JULY FIRST, TWO THOUSAND  ELEVEN
MOVES  INTO  THE  GREEN  ZONE. FOR PURPOSES OF THIS SUBDIVISION ELIGIBLE
GREEN ACTIVITIES SHALL INCLUDE: THE PROVISION OF SERVICES IN THE FOLLOW-
ING AREAS: (1) GREEN HOUSE GAS EMISSION REDUCTION TECHNOLOGIES; (2)  THE
ASSEMBLY  OF ESSENTIAL COMPONENTS FOR A CLEAN-FUELED VEHICLE; (3) ENERGY
EFFICIENCY TECHNOLOGIES; WHERE

S. 5491                             8

  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES: SHALL INCLUDE BUT
NOT BE LIMITED TO: (I) COGENERATION TECHNOLOGIES, WHICH SHALL  MEAN  ANY
ONE  OF  THE  SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM ON-SITE ELEC-
TRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE STEAM OR HOT WATER  TO
MEET  ON-SITE  NEEDS,  SUCH AS HEATING AND/OR AIR CONDITIONING AND WHICH
ATTAINS OVERALL SYSTEM EFFICIENCY AS ESTABLISHED BY  THE  DEPARTMENT  OF
ENVIRONMENTAL  CONSERVATION,  CONSIDERING  BOTH  THERMAL  AND ELECTRICAL
PROCESS TOGETHER; (II) FURNACE AND BOILER  REPLACEMENTS  AND  RETROFITS,
PROVIDED  THAT  NEW  OR  RETROFITTED  FURNACES  AND BOILERS SHALL NOT AT
ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR  CONTENT  GREATER  THAN  0.05
PERCENT  BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR THE
CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES; AND (IV) OTHER
MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF ENER-
GY INCLUDING FUELS, AS DETERMINED BY  THE  DEPARTMENT  OF  ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY; AND
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  (A-2)  "GREEN  ZONE"  MEANS  THE  AREA OF STATEN ISLAND DEFINED BY THE
FOLLOWING AREA BASED ON THE NEW YORK CITY DEPARTMENT  OF  CITY  PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF  THE  GOETHAL  BRIDGE  AND  THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING EASTERLY 3,214.78 FEET ALONG AND PARALLEL TO  THE  NORTHSIDE  OF
THE  GOETHALS  BRIDGE  EXTENSION  TO  THE  CENTERLINE OF WESTERN AVENUE;
THENCE RUNNING NORTH 93.71 FEET  TO  THE  CENTERLINE  OF  GOETHALS  ROAD
NORTH; THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE SOUTH
SIDE  OF  GOETHALS  ROAD  NORTH  TO  CENTERLINE  OF SOUTH AVENUE; THENCE
RUNNING SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE  OF  SOUTH
AVENUE  TO  THE  CENTERLINE  OF FAHEY AVENUE; THENCE RUNNING EAST 424.89
FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF FAHEY AVENUE TO THE CENTER-
LINE OF FELTON STREET; THENCE RUNNING  SOUTH  1,314.02  FEET  ALONG  AND
PARALLEL TO THE WEST SIDE OF FELTON STREET TO THE CENTERLINE OF LAMBERTS
LANE;  THENCE  RUNNING SOUTH 790.62 FEET ALONG THE FELTON STREET LINE TO
THE INTERSECTION OF GRAHAM AVENUE  AND  LANDER  AVENUE;  THENCE  RUNNING
SOUTH 3,413.10 FEET ALONG AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE
TO  THE  CENTERLINE  OF  VICTORY  BOULEVARD;  THENCE  RUNNING  SOUTHEAST
3,114.21 FEET ALONG THE WEST SIDE OF VICTORY BOULEVARD TO THE CENTERLINE
OF TRAVIS AVENUE; THENCE RUNNING EAST 5,030.20 FEET ALONG  AND  PARALLEL

S. 5491                             9

TO THE SOUTH SIDE OF TRAVIS AVENUE TO THE CENTERLINE OF RICHMOND AVENUE;
THENCE  RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST  14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR KILL
ROAD TO THE CENTERLINE OF ROSSVILLE AVENUE;  THENCE  RUNNING  NORTH  650
FEET  ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US PIERHEAD
AND BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND  PARAL-
LEL  TO  THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO THE POINT
AND PLACE OF THE BEGINNING.
  S 10. Subdivision (e) of section 25-y  of  the  general  city  law  is
amended by adding a new paragraph 4 to read as follows:
  (4) IF USED BY A GREEN BUSINESS AFTER JULY FIRST, TWO THOUSAND ELEVEN,
NON-RESIDENTIAL  PREMISES  LOCATED  ENTIRELY  IN  REAL  PROPERTY LOCATED
PARTIALLY OR ENTIRELY IN A GREEN ZONE AS DEFINED IN THIS SECTION.
  S 11. Subdivision (f) of section 25-y of  the  general  city  law,  as
added by chapter 331 of the laws of 1987, is amended to read as follows:
  (f) "Eligible area" means an area of a city having a population of one
million  or  more,  excluding the area lying south of the center line of
96th Street, in the borough of Manhattan in the city of New York  OR  IN
THE  CASE  OF A GREEN BUSINESS RELOCATING AFTER JULY FIRST, TWO THOUSAND
ELEVEN, AN ELIGIBLE AREA SHALL INCLUDE A GREEN ZONE.
  S 12. Subdivision (n) of section 25-y of  the  general  city  law,  as
added by chapter 261 of the laws of 2000, is amended to read as follows:
  (n) "Revitalization area" means any area of a city having a population
of one million or more, provided that in the city of New York a revital-
ization  area shall mean: (I) any district that is zoned C4, C5, C6, M1,
M2 or M3 in accordance with the zoning resolution of such  city  in  any
area  such  city  except the area lying south of the center line of 96th
Street in the borough of Manhattan, OR (II) IN THE CASE OF A GREEN BUSI-
NESS RELOCATING AFTER JULY FIRST, TWO THOUSAND ELEVEN, A GREEN ZONE.
  S 13. Subdivision (a) of section 25-s  of  the  general  city  law  is
amended by adding a new paragraph 1-a to read as follows:
  (1-A) IS A GREEN BUSINESS AND TAKES OCCUPANCY OF NON-RESIDENTIAL PREM-
ISES AFTER JULY FIRST, TWO THOUSAND ELEVEN, FOR WHICH IT HAS, AFTER SUCH
DATE,  ENTERED  INTO  A WRITTEN AGREEMENT TO BUY OR LEASE, PROVIDED THAT
SUCH PREMISES ARE LOCATED IN A GREEN ZONE AND THAT SUCH PREMISES  ARE  A
REPLACEMENT  FOR  PREMISES PREVIOUSLY OCCUPIED BY SUCH ENERGY USER FOR A
CONTINUOUS PERIOD OF TWENTY-FOUR MONTHS DURING THE THIRTY  MONTH  PERIOD
IMMEDIATELY  PRECEDING  SUCH  USER'S  TAKING OCCUPANCY, WHICH PREVIOUSLY
OCCUPIED PREMISES WERE OUTSIDE OF THE GREEN ZONE; OR
  S 14. Section 25-s of the general city law is amended  by  adding  two
new subdivisions (d-1) and (d-2) to read as follows:
  (D-1)  "GREEN  BUSINESS."  A  "GREEN BUSINESS" SHALL BE DEFINED AS ONE
THAT HAS AS ITS PRIMARY SOURCE OF REVENUE THE PROVISION OF  SERVICES  IN
THE  FOLLOWING  AREAS:  (1) GREEN HOUSE GAS EMISSION REDUCTION TECHNOLO-
GIES, (2) THE ASSEMBLY OF ESSENTIAL COMPONENTS FOR A CLEAN-FUELED  VEHI-
CLE; OR (3) ENERGY EFFICIENCY TECHNOLOGIES.
  FOR  PURPOSES  OF THIS SUBDIVISION, THE FOLLOWING TERMS SHALL HAVE THE
FOLLOWING MEANINGS:
  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES"  SHALL  MEAN  AND
INCLUDE  BUT  NOT  BE  LIMITED  TO: (I) COGENERATION TECHNOLOGIES, WHICH
SHALL MEAN ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE  HEAT  FROM
ON-SITE  ELECTRICAL  GENERATION PROCESS IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND WHICH ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED  BY  THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND

S. 5491                            10

ELECTRICAL PROCESS TOGETHER; (II) FURNACE AND  BOILER  REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT NEW OR RETROFITTED FURNACES AND BOILERS SHALL
NOT AT ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT  GREATER  THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE  CONVERSION  OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES; AND (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE  DEMAND  FOR  AND/OR THE CONSUMPTION OF ELECTRICITY AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY; AND
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  (D-2) "GREEN ZONE". THE AREA OF STATEN ISLAND DEFINED BY THE FOLLOWING
AREA BASED ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING ZONING MAPS:
BEGINNING AT THE INTERSECTION OF THE NORTH  SIDE  OF  THE  FOOT  OF  THE
GOETHALS  BRIDGE  AND  THE US PIERHEAD AND BULKHEAD LINE; THENCE RUNNING
EASTERLY 3,214.78 FEET ALONG AND PARALLEL  TO  THE  NORTH  SIDE  OF  THE
GOETHALS  BRIDGE  EXTENSION  TO THE CENTERLINE OF WESTERN AVENUE; THENCE
RUNNING NORTH 93.71 FEET TO  THE  CENTERLINE  OF  GOETHALS  ROAD  NORTH;
THENCE  RUNNING  EAST 5,909.12 FEET ALONG AND PARALLEL TO THE SOUTH SIDE
OF GOETHALS ROAD NORTH TO CENTERLINE OF  SOUTH  AVENUE;  THENCE  RUNNING
SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE OF SOUTH AVENUE TO
THE  CENTERLINE  OF  FAHEY AVENUE; THENCE RUNNING EAST 424.89 FEET ALONG
AND PARALLEL TO THE SOUTH SIDE OF FAHEY  AVENUE  TO  THE  CENTERLINE  OF
FELTON  STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL TO
THE WEST SIDE OF FELTON STREET  TO  THE  CENTERLINE  OF  LAMBERTS  LANE;
THENCE  RUNNING  SOUTH  790.62  FEET ALONG THE FELTON STREET LINE TO THE
INTERSECTION OF GRAHAM AVENUE AND LANDER AVENUE;  THENCE  RUNNING  SOUTH
3,413.10  FEET  ALONG  AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE TO
THE CENTERLINE OF VICTORY BOULEVARD; THENCE RUNNING  SOUTHEAST  3,114.21
FEET  ALONG  THE  WEST  SIDE  OF  VICTORY BOULEVARD TO THE CENTERLINE OF
TRAVIS AVENUE; THENCE RUNNING EAST 5,030.20 FEET ALONG AND  PARALLEL  TO
THE  SOUTH  SIDE  OF TRAVIS AVENUE TO THE CENTERLINE OF RICHMOND AVENUE;
THENCE RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST  SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST  14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR KILL
ROAD TO THE CENTERLINE OF ROSSVILLE AVENUE;  THENCE  RUNNING  NORTH  650
FEET  ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US PIERHEAD
AND BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND  PARAL-

S. 5491                            11

LEL  TO  THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO THE POINT
AND PLACE OF BEGINNING.
  S  15.  Subdivision  (g)  of  section 25-s of the general city law, as
added by chapter 551 of the laws of 1985, is amended to read as follows:
  (g) "Eligible areas". Areas of a city designated by local law  enacted
pursuant  to  section twenty-five-t of this article as needing the bene-
fits available under this article as an inducement to economic  develop-
ment,  provided  that  the  area  lying south of the center line of 96th
Street, in the borough of Manhattan in the city of New York,  shall  not
be so designated.  NOTWITHSTANDING THE PROVISIONS OF THIS SUBDIVISION, A
GREEN ZONE SHALL BE CONSIDERED AN ELIGIBLE AREA.
  S  16.  The  real  property tax law is amended by adding a new section
485-n to read as follows:
  S 485-N. GREEN ECONOMIC DEVELOPMENT ZONE EXEMPTION. 1. (A) REAL  PROP-
ERTY CONSTRUCTED, ALTERED, INSTALLED OR IMPROVED IN AN AREA DESIGNATED A
GREEN  ECONOMIC  DEVELOPMENT  ZONE PURSUANT TO ARTICLE EIGHTEEN-D OF THE
GENERAL MUNICIPAL LAW SHALL BE EXEMPT FROM TAXATION AND SPECIAL AD VALO-
REM LEVIES BY ANY MUNICIPAL CORPORATION IN WHICH LOCATED, FOR THE PERIOD
AND TO THE EXTENT HEREIN PROVIDED, PROVIDED THAT THE GOVERNING BOARD  OF
SUCH  MUNICIPAL  CORPORATION,  AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW,
ORDINANCE OR RESOLUTION PROVIDING THEREFOR.
  (B) FOR EXEMPTIONS COMMENCING IN THE FIRST SEVEN YEARS FROM  THE  DATE
ON  WHICH THE GREEN ECONOMIC DEVELOPMENT ZONE WAS DESIGNATED, THE AMOUNT
OF SUCH EXEMPTION IN ANY OF THESE YEARS SHALL BE ONE HUNDRED PERCENT  OF
THE  "BASE  AMOUNT",  DETERMINED  PURSUANT  TO  SUBDIVISION  TWO OF THIS
SECTION. IN THE EIGHTH,  NINTH  AND  TENTH  YEARS,  THE  AMOUNT  OF  THE
EXEMPTION  SHALL BE SEVENTY-FIVE PERCENT, FIFTY PERCENT, AND TWENTY-FIVE
PERCENT, RESPECTIVELY, OF SUCH BASE AMOUNT.
  (C) FOR EXEMPTIONS COMMENCING IN THE EIGHTH,  NINTH  AND  TENTH  YEARS
FROM  THE  DATE  ON WHICH THE GREEN ECONOMIC DEVELOPMENT ZONE WAS DESIG-
NATED, THE AMOUNT OF SUCH EXEMPTION SHALL BE SEVENTY-FIVE PERCENT, FIFTY
PERCENT AND TWENTY-FIVE PERCENT, RESPECTIVELY,  OF  THE  "BASE  AMOUNT",
DETERMINED PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
  1-A.  (A) A MUNICIPAL CORPORATION MAY PROVIDE IN SUCH LOCAL LAW, ORDI-
NANCE OR RESOLUTION, OR IN A SEPARATE LOCAL LAW, ORDINANCE OR RESOLUTION
ADOPTED AFTER PUBLIC HEARING, THAT THE EXEMPTION SO AUTHORIZED SHALL  BE
FOR  A  TERM  OF  TEN YEARS, NOTWITHSTANDING THAT THE DESIGNATION OF THE
ZONE MAY EXPIRE PRIOR TO THE END OF SUCH TEN YEAR TERM. ANY  SUCH  LOCAL
LAW,  ORDINANCE  OR  RESOLUTION  SHALL  BE APPLICABLE ONLY TO EXEMPTIONS
COMMENCING ON ASSESSMENT ROLLS WITH TAXABLE STATUS DATES ON OR AFTER THE
EFFECTIVE DATE OF SUCH LOCAL LAW, ORDINANCE OR RESOLUTION.
  (B) WHERE SUCH LOCAL LAW, ORDINANCE OR RESOLUTION  HAS  BEEN  ADOPTED,
THE  AMOUNT OF SUCH EXEMPTION IN THE FIRST SEVEN YEARS OF ITS TERM SHALL
BE ONE HUNDRED PERCENT OF THE  "BASE  AMOUNT,"  DETERMINED  PURSUANT  TO
SUBDIVISION  TWO  OF  THIS  SECTION.  THE AMOUNT OF THE EXEMPTION IN THE
EIGHTH, NINTH, AND  TENTH  YEARS  OF  ITS  TERM  SHALL  BE  SEVENTY-FIVE
PERCENT,  FIFTY  PERCENT  AND TWENTY-FIVE PERCENT, RESPECTIVELY, OF SUCH
BASE AMOUNT.
  2. (A) THE BASE AMOUNT OF THE EXEMPTION SHALL BE  THE  EXTENT  OF  THE
INCREASE  IN  ASSESSED  VALUE  ATTRIBUTABLE TO SUCH CONSTRUCTION, ALTER-
ATION, INSTALLATION OR IMPROVEMENT AS DETERMINED IN THE INITIAL YEAR FOR
WHICH APPLICATION FOR EXEMPTION IS MADE PURSUANT TO  THIS  SECTION.  THE
BASE  AMOUNT  SHALL  REMAIN  CONSTANT  FOR  THE  AUTHORIZED  TERM OF THE
EXEMPTION, SUBJECT TO THE FOLLOWING:
  (I) IF THERE IS SUBSEQUENT CONSTRUCTION, ALTERATION,  INSTALLATION  OR
IMPROVEMENT  DURING  THE TERM OF THE EXEMPTION, THE BASE AMOUNT SHALL BE

S. 5491                            12

REVISED TO INCLUDE THE INCREASE IN ASSESSED VALUE ATTRIBUTABLE  TO  SUCH
CONSTRUCTION, ALTERATION, INSTALLATION OR IMPROVEMENT.
  (II)  IF A CHANGE IN LEVEL OF ASSESSMENT OF FIFTEEN PERCENT OR MORE IS
CERTIFIED FOR AN ASSESSMENT ROLL PURSUANT TO  THE  RULES  OF  THE  STATE
BOARD,  THE  BASE  AMOUNT  SHALL  BE ADJUSTED BY SUCH CHANGE IN LEVEL OF
ASSESSMENT. THE EXEMPTION ON THAT ASSESSMENT  ROLL  SHALL  THEREUPON  BE
RECOMPUTED,  NOTWITHSTANDING  THE  FACT  THAT  THE ASSESSOR RECEIVES THE
CERTIFICATION AFTER THE COMPLETION, VERIFICATION AND FILING OF THE FINAL
ASSESSMENT ROLL. IN THE EVENT THE ASSESSOR DOES NOT HAVE CUSTODY OF  THE
ROLL WHEN SUCH CERTIFICATION IS RECEIVED, THE ASSESSOR SHALL CERTIFY THE
RECOMPUTED EXEMPTION TO THE LOCAL OFFICERS HAVING CUSTODY AND CONTROL OF
THE  ROLL, AND SUCH LOCAL OFFICERS ARE HEREBY DIRECTED AND AUTHORIZED TO
ENTER THE RECOMPUTED EXEMPTION CERTIFIED BY THE ASSESSOR ON THE ROLL.
  (B) NO SUCH EXEMPTION SHALL BE GRANTED  UNLESS,  PURSUANT  TO  ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW:
  (1)  NOTICE  OF THE DESIGNATION OF THE GREEN ECONOMIC DEVELOPMENT ZONE
HAS BEEN FILED WITH THE CLERK OF THE ASSESSING UNIT BY THE  COMMISSIONER
ON OR BEFORE THE APPLICABLE TAXABLE STATUS DATE;
  (2)   THE   CONSTRUCTION,   ALTERATION,  INSTALLATION  OR  IMPROVEMENT
COMMENCED ON OR AFTER THE DATE THE GREEN ECONOMIC DEVELOPMENT  ZONE  WAS
DESIGNATED; AND
  (3)  THE  DESIGNATION  OF  THE GREEN ECONOMIC DEVELOPMENT ZONE HAS NOT
ENDED AND HAS NOT BEEN TERMINATED BY THE COMMISSIONER ON OR  BEFORE  THE
APPLICABLE TAXABLE STATUS DATE.
  (C)  FOR  PURPOSES OF THIS SECTION THE TERMS CONSTRUCTION, ALTERATION,
INSTALLATION AND IMPROVEMENT SHALL NOT INCLUDE ORDINARY MAINTENANCE  AND
REPAIRS.
  (D)  NO  SUCH EXEMPTION SHALL BE GRANTED CONCURRENT WITH OR SUBSEQUENT
TO ANY OTHER REAL PROPERTY TAX EXEMPTION GRANTED TO  THE  SAME  IMPROVE-
MENTS TO REAL PROPERTY, EXCEPT, WHERE DURING THE PERIOD OF SUCH PREVIOUS
EXEMPTION,  PAYMENTS IN LIEU OF TAXES OR OTHER PAYMENTS WERE MADE TO THE
LOCAL GOVERNMENT IN AN AMOUNT THAT WOULD HAVE BEEN EQUAL TO  OR  GREATER
THAN THE AMOUNT OF REAL PROPERTY TAXES THAT WOULD HAVE BEEN PAID ON SUCH
IMPROVEMENTS  HAD  SUCH  PROPERTY  BEEN GRANTED AN EXEMPTION PURSUANT TO
THIS SECTION. IN SUCH CASE, AN EXEMPTION SHALL BE GRANTED FOR  A  NUMBER
OF  YEARS  EQUAL  TO  THE  TEN  YEAR  EXEMPTION GRANTED PURSUANT TO THIS
SECTION LESS THE NUMBER OF YEARS THE PROPERTY WOULD HAVE BEEN PREVIOUSLY
EXEMPT FROM REAL PROPERTY TAXES.
  3. SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE  OWNER
OF  SUCH  REAL  PROPERTY  ON  A  FORM PRESCRIBED BY THE STATE BOARD. THE
ORIGINAL OF SUCH APPLICATION SHALL BE FILED WITH  THE  ASSESSOR  OF  THE
ASSESSING  UNIT.  SUCH  ORIGINAL APPLICATION SHALL BE FILED ON OR BEFORE
THE APPROPRIATE TAXABLE STATUS DATE OF SUCH ASSESSING UNIT AND NO  LATER
THAN  ONE  YEAR FROM THE DATE OF COMPLETION OF SUCH CONSTRUCTION, ALTER-
ATION, INSTALLATION OR IMPROVEMENT.
  4. IF THE ASSESSOR RECEIVES THE NOTICE DESCRIBED IN  SUBPARAGRAPH  ONE
OF  PARAGRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION AND AN APPLICATION
BY THE OWNER OF THE REAL PROPERTY, HE SHALL APPROVE THE APPLICATION  AND
SUCH  REAL  PROPERTY  SHALL THEREAFTER BE EXEMPT FROM TAXATION AS HEREIN
PROVIDED COMMENCING WITH THE ASSESSMENT ROLL PREPARED AFTER THE  TAXABLE
STATUS  DATE  REFERRED  TO  IN  SUBDIVISION  THREE  OF THIS SECTION. THE
ASSESSED VALUE OF ANY EXEMPTION GRANTED PURSUANT TO THIS  SECTION  SHALL
BE ENTERED BY THE ASSESSOR ON THE ASSESSMENT ROLL WITH THE TAXABLE PROP-
ERTY, WITH THE AMOUNT OF THE EXEMPTION ENTERED IN A SEPARATE COLUMN.
  5.  EXEMPTIONS EXISTING PRIOR IN TIME TO THE TERMINATION OF THE DESIG-
NATION OF A GREEN ECONOMIC DEVELOPMENT ZONE BY THE COMMISSIONER, OR,  IN

S. 5491                            13

THE CASE OF A MUNICIPAL CORPORATION WHICH HAS ADOPTED A LOCAL LAW, ORDI-
NANCE OR RESOLUTION PURSUANT TO SUBDIVISION ONE-A OF THIS SECTION, PRIOR
IN  TIME TO THE EXPIRATION OF SUCH DESIGNATION, SHALL CONTINUE AS IF THE
DESIGNATION  OF  THE GREEN ECONOMIC DEVELOPMENT ZONE HAD NOT BEEN TERMI-
NATED, OR, IF APPLICABLE, HAD NOT EXPIRED; PROVIDED, HOWEVER,  THAT  ANY
FURTHER  INCREASE IN THE VALUE ATTRIBUTABLE TO CONSTRUCTION, ALTERATION,
INSTALLATION OR IMPROVEMENT COMMENCED SUBSEQUENT TO THE DATE  OF  TERMI-
NATION, OR, IF APPLICABLE, THE DATE OF EXPIRATION, SHALL NOT BE ELIGIBLE
FOR EXEMPTION PURSUANT TO THIS SECTION.
  S 17. Section 186-a of the tax law is amended by adding a new subdivi-
sion 11 to read as follows:
  11.  NOTWITHSTANDING  ANY OTHER PROVISION OF THIS CHAPTER OR ANY OTHER
LAW TO THE CONTRARY, ANY UTILITY (A) WHICH IS SUBJECT TO TAX  HEREUNDER,
AND  (B) WHICH IS SUBJECT TO THE SUPERVISION OF THE DEPARTMENT OF PUBLIC
SERVICE, SHALL PROVIDE, IN ADDITION TO ANY OTHER DISCOUNT,  A  REDUCTION
OF  THREE  PERCENT  IN  THE  RATE CHARGED FOR GAS, ELECTRICITY, STEAM OR
WATER SOLD, OR GAS, ELECTRIC, STEAM OR WATER SERVICE RENDERED, PRIOR  TO
NINETEEN  HUNDRED NINETY-FOUR, FOR ULTIMATE CONSUMPTION OR USE WITHIN AN
AREA DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE PURSUANT TO ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW BY A BUSINESS, WHETHER  INCORPO-
RATED  OR  UNINCORPORATED,  OTHER THAN A RETAIL ENTERPRISE AS DEFINED IN
PARAGRAPH (K) OF SUBDIVISION TWELVE OF SECTION TWO HUNDRED TEN  OF  THIS
CHAPTER BUT WITHOUT REGARD TO SUBPARAGRAPH (III) THEREOF, WHICH HAS BEEN
CERTIFIED  PURSUANT  TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW,
AND WHICH HAS CLAIMED A CREDIT UNDER SUBDIVISION TWELVE-H OF SECTION TWO
HUNDRED TEN, SUBSECTION (E) OF SECTION  FOURTEEN  HUNDRED  FIFTY-SIX  OR
SUBDIVISION (G) OF SECTION FIFTEEN HUNDRED ELEVEN OF THIS CHAPTER DURING
THE PREVIOUS FIFTEEN MONTHS, AS EVIDENCED BY A CERTIFICATE ISSUED BY THE
COMMISSIONER  TO  SUCH BUSINESS.  NINETY-SIX AND ONE-HALF PERCENT OF THE
AGGREGATE OF SUCH REDUCTIONS DURING THE YEAR MAY BE APPLIED AS A  CREDIT
AGAINST  THE  TAX  IMPOSED PURSUANT TO THIS SECTION WITH RESPECT TO SUCH
YEAR.
  S 18. Section 210 of the tax law is amended by adding two new subdivi-
sions 12-H and 12-I to read as follows:
  12-H. GREEN ECONOMIC DEVELOPMENT ZONE INVESTMENT TAX CREDIT (GED-ITC).
(A) A TAXPAYER SHALL BE ALLOWED A  CREDIT,  TO  BE  COMPUTED  AS  HEREIN
PROVIDED,  AGAINST  THE  TAX IMPOSED BY THIS ARTICLE IF THE TAXPAYER HAS
BEEN CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE  GENERAL  MUNICIPAL
LAW.  THE AMOUNT OF THE CREDIT SHALL BE TEN PERCENT OF THE COST OR OTHER
BASIS  FOR FEDERAL INCOME TAX PURPOSES OF TANGIBLE PERSONAL PROPERTY AND
OTHER TANGIBLE PROPERTY, INCLUDING BUILDINGS AND  STRUCTURAL  COMPONENTS
OF  BUILDINGS,  DESCRIBED IN PARAGRAPH (B) OF THIS SUBDIVISION, WHICH IS
LOCATED WITHIN A GREEN ECONOMIC  DEVELOPMENT  ZONE  DESIGNATED  AS  SUCH
PURSUANT TO ARTICLE EIGHTEEN-D OF SUCH LAW, BUT ONLY IF THE ACQUISITION,
CONSTRUCTION,  RECONSTRUCTION  OR  ERECTION OF SUCH PROPERTY OCCURRED OR
WAS COMMENCED ON OR AFTER THE DATE OF SUCH DESIGNATION AND PRIOR TO  THE
EXPIRATION  THEREOF.  PROVIDED, HOWEVER, THAT IN THE CASE OF AN ACQUISI-
TION, CONSTRUCTION,  RECONSTRUCTION  OR  ERECTION  WHICH  WAS  COMMENCED
DURING  SUCH PERIOD AND CONTINUED OR COMPLETED SUBSEQUENTLY, SUCH CREDIT
SHALL BE TEN PERCENT OF THE PORTION OF  THE  COST  OR  OTHER  BASIS  FOR
FEDERAL  INCOME  TAX PURPOSES ATTRIBUTABLE TO SUCH PERIOD, WHICH PORTION
SHALL BE ASCERTAINED BY MULTIPLYING SUCH COST OR BASIS BY A FRACTION THE
NUMERATOR OF WHICH SHALL BE THE EXPENDITURES  PAID  OR  INCURRED  DURING
SUCH  PERIOD FOR SUCH PURPOSES AND THE DENOMINATOR OF WHICH SHALL BE THE
TOTAL OF  ALL  EXPENDITURES  PAID  OR  INCURRED  FOR  SUCH  ACQUISITION,
CONSTRUCTION, RECONSTRUCTION OR ERECTION.

S. 5491                            14

  (B)  A  CREDIT SHALL BE ALLOWED UNDER THIS SUBDIVISION WITH RESPECT TO
TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROPERTY, INCLUDING BUILD-
INGS AND STRUCTURAL COMPONENTS OF BUILDINGS, WHICH (I)  ARE  DEPRECIABLE
PURSUANT  TO  SECTION  ONE  HUNDRED  SIXTY-SEVEN OF THE INTERNAL REVENUE
CODE,  (II) HAVE A USEFUL LIFE OF FOUR YEARS OR MORE, (III) ARE ACQUIRED
BY PURCHASE AS DEFINED IN SECTION ONE HUNDRED SEVENTY-NINE  (D)  OF  THE
INTERNAL REVENUE CODE, (IV) HAVE A SITUS IN A GREEN ECONOMIC DEVELOPMENT
ZONE  DESIGNATED  AS  SUCH PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AND (V) ARE (A) PRINCIPALLY USED BY THE TAXPAYER  IN  THE
PRODUCTION  OF GOODS BY MANUFACTURING, PROCESSING, ASSEMBLING, REFINING,
MINING, EXTRACTING, FARMING,  AGRICULTURE,  HORTICULTURE,  FLORICULTURE,
VITICULTURE OR COMMERCIAL FISHING, (B) INDUSTRIAL WASTE TREATMENT FACIL-
ITIES  OR  AIR POLLUTION CONTROL FACILITIES USED IN THE TAXPAYER'S TRADE
OR BUSINESS, (C) RESEARCH AND DEVELOPMENT PROPERTY, (D) PRINCIPALLY USED
IN THE ORDINARY COURSE OF THE TAXPAYER'S TRADE OR BUSINESS AS  A  BROKER
OR  DEALER  IN CONNECTION WITH THE PURCHASE OR SALE (WHICH SHALL INCLUDE
BUT NOT BE LIMITED TO THE ISSUANCE, ENTERING INTO,  ASSUMPTION,  OFFSET,
ASSIGNMENT,  TERMINATION, OR TRANSFER) OF STOCKS, BONDS OR OTHER SECURI-
TIES AS DEFINED IN SECTION  FOUR  HUNDRED  SEVENTY-FIVE  (C)(2)  OF  THE
INTERNAL  REVENUE  CODE,  OR  OF  COMMODITIES AS DEFINED IN SECTION FOUR
HUNDRED SEVENTY-FIVE (E) OF THE INTERNAL REVENUE CODE,  (E)  PRINCIPALLY
USED  IN  THE  ORDINARY  COURSE  OF  THE TAXPAYER'S TRADE OR BUSINESS OF
PROVIDING INVESTMENT ADVISORY SERVICES FOR A REGULATED INVESTMENT COMPA-
NY AS DEFINED IN SECTION EIGHT HUNDRED FIFTY-ONE OF THE INTERNAL REVENUE
CODE, OR LENDING, LOAN ARRANGEMENT,  OR  LOAN  ORIGINATION  SERVICES  TO
CUSTOMERS  IN  CONNECTION WITH THE PURCHASE OR SALE (WHICH SHALL INCLUDE
BUT NOT BE LIMITED TO THE ISSUANCE, ENTERING INTO,  ASSUMPTION,  OFFSET,
ASSIGNMENT, TERMINATION OR TRANSFER) OF SECURITIES AS DEFINED IN SECTION
FOUR  HUNDRED  SEVENTY-FIVE  (C)(2) OF THE INTERNAL REVENUE CODE, OR (F)
PRINCIPALLY USED IN THE ORDINARY COURSE OF THE TAXPAYER'S BUSINESS AS AN
EXCHANGE REGISTERED AS A NATIONAL SECURITIES EXCHANGE WITHIN THE MEANING
OF SECTIONS 3(A)(1) AND 6(A) OF THE SECURITIES EXCHANGE ACT OF 1934 OR A
BOARD OF TRADE AS DEFINED  IN  SUBPARAGRAPH  ONE  OF  PARAGRAPH  (A)  OF
SECTION FOURTEEN HUNDRED TEN OF THE NOT-FOR-PROFIT CORPORATION LAW OR AS
AN  ENTITY  THAT IS WHOLLY OWNED BY ONE OR MORE SUCH NATIONAL SECURITIES
EXCHANGES OR BOARDS OF TRADE AND THAT PROVIDES AUTOMATION  OR  TECHNICAL
SERVICES  THERETO.  FOR PURPOSES OF CLAUSES (D), (E) AND (F) OF SUBPARA-
GRAPH (V) OF THIS PARAGRAPH, PROPERTY PURCHASED BY A TAXPAYER AFFILIATED
WITH A REGULATED BROKER, DEALER, REGISTERED INVESTMENT ADVISER, NATIONAL
SECURITIES EXCHANGE OR BOARD OF TRADE IS ALLOWED  A  CREDIT  UNDER  THIS
SUBDIVISION  IF THE PROPERTY IS USED BY ITS AFFILIATED REGULATED BROKER,
DEALER, REGISTERED INVESTMENT ADVISER OR NATIONAL SECURITIES EXCHANGE OR
BOARD OF TRADE IN ACCORDANCE WITH  THIS  SUBDIVISION.  FOR  PURPOSES  OF
DETERMINING  IF THE PROPERTY IS PRINCIPALLY USED IN QUALIFYING USES, THE
USES BY THE TAXPAYER DESCRIBED IN CLAUSES (D) AND  (E)  OF  SUBPARAGRAPH
(V)  OF  THIS  PARAGRAPH MAY BE AGGREGATED. IN ADDITION, THE USES BY THE
TAXPAYER, ITS AFFILIATED REGULATED BROKER, DEALER AND REGISTERED INVEST-
MENT ADVISER UNDER EITHER OR BOTH OF THOSE CLAUSES  MAY  BE  AGGREGATED.
PROVIDED,  HOWEVER,  A TAXPAYER SHALL NOT BE ALLOWED THE CREDIT PROVIDED
BY CLAUSES (D), (E) AND (F)  OF  THIS  SUBPARAGRAPH  UNLESS  (I)  EIGHTY
PERCENT  OR  MORE  OF  THE  EMPLOYEES  PERFORMING THE ADMINISTRATIVE AND
SUPPORT FUNCTIONS RESULTING FROM OR RELATED TO THE  QUALIFYING  USES  OF
SUCH  EQUIPMENT ARE LOCATED IN THIS STATE, OR (II) THE AVERAGE NUMBER OF
EMPLOYEES THAT PERFORM THE ADMINISTRATIVE AND SUPPORT FUNCTIONS  RESULT-
ING  FROM  OR  RELATED  TO THE QUALIFYING USES OF SUCH EQUIPMENT AND ARE
LOCATED IN THIS STATE DURING THE TAXABLE YEAR FOR WHICH  THE  CREDIT  IS

S. 5491                            15

CLAIMED  IS  EQUAL TO OR GREATER THAN NINETY-FIVE PERCENT OF THE AVERAGE
NUMBER OF EMPLOYEES THAT PERFORM THESE FUNCTIONS AND ARE LOCATED IN THIS
STATE DURING THE THIRTY-SIX MONTHS IMMEDIATELY PRECEDING  THE  YEAR  FOR
WHICH THE CREDIT IS CLAIMED, OR (III) THE NUMBER OF EMPLOYEES LOCATED IN
THIS  STATE  DURING  THE TAXABLE YEAR FOR WHICH THE CREDIT IS CLAIMED IS
EQUAL TO OR GREATER THAN NINETY  PERCENT  OF  THE  NUMBER  OF  EMPLOYEES
LOCATED  IN  THIS STATE ON DECEMBER THIRTY-FIRST, NINETEEN HUNDRED NINE-
TY-EIGHT OR, IF THE TAXPAYER WAS NOT A CALENDAR YEAR TAXPAYER  IN  NINE-
TEEN HUNDRED NINETY-EIGHT, THE LAST DAY OF ITS FIRST TAXABLE YEAR ENDING
AFTER  DECEMBER  THIRTY-FIRST,  NINETEEN  HUNDRED  NINETY-EIGHT.  IF THE
TAXPAYER BECOMES SUBJECT TO TAX IN THIS STATE  AFTER  THE  TAXABLE  YEAR
BEGINNING  IN  NINETEEN  HUNDRED  NINETY-EIGHT, THEN THE TAXPAYER IS NOT
REQUIRED TO SATISFY  THE  EMPLOYMENT  TEST  PROVIDED  IN  THE  PRECEDING
SENTENCE  OF  THIS  SUBPARAGRAPH  FOR  ITS  FIRST  TAXABLE YEAR. FOR THE
PURPOSES OF CLAUSE (III) OF THIS SUBPARAGRAPH THE EMPLOYMENT  TEST  WILL
BE  BASED  ON  THE NUMBER OF EMPLOYEES LOCATED IN THIS STATE ON THE LAST
DAY OF THE FIRST TAXABLE YEAR THE TAXPAYER IS SUBJECT  TO  TAX  IN  THIS
STATE.  IF  THE  USES  OF  THE  PROPERTY MUST BE AGGREGATED TO DETERMINE
WHETHER THE PROPERTY IS PRINCIPALLY USED IN QUALIFYING USES, THEN EITHER
EACH AFFILIATE USING THE PROPERTY MUST SATISFY THIS EMPLOYMENT  TEST  OR
THIS  EMPLOYMENT  TEST  MUST BE SATISFIED THROUGH THE AGGREGATION OF THE
EMPLOYEES OF THE TAXPAYER, ITS AFFILIATED REGULATED BROKER, DEALER,  AND
REGISTERED  INVESTMENT  ADVISER  USING  THE PROPERTY. FOR THE PURPOSE OF
THIS SUBDIVISION, THE TERM "GOODS" SHALL NOT  INCLUDE  ELECTRICITY.  FOR
PURPOSES  OF  THIS  PARAGRAPH,  MANUFACTURING  SHALL MEAN THE PROCESS OF
WORKING RAW MATERIALS INTO WARES SUITABLE FOR USE  OR  WHICH  GIVES  NEW
SHAPES, NEW QUALITY OR NEW COMBINATIONS TO MATTER WHICH ALREADY HAS GONE
THROUGH  SOME  ARTIFICIAL PROCESS BY THE USE OF MACHINERY, TOOLS, APPLI-
ANCES AND OTHER SIMILAR EQUIPMENT. PROPERTY USED IN  THE  PRODUCTION  OF
GOODS  SHALL  INCLUDE  MACHINERY,  EQUIPMENT  OR OTHER TANGIBLE PROPERTY
WHICH IS PRINCIPALLY USED IN THE REPAIR AND SERVICE OF OTHER  MACHINERY,
EQUIPMENT  OR OTHER TANGIBLE PROPERTY USED PRINCIPALLY IN THE PRODUCTION
OF GOODS AND SHALL INCLUDE ALL FACILITIES USED IN THE PRODUCTION  OPERA-
TION,  INCLUDING STORAGE OF MATERIAL TO BE USED IN PRODUCTION AND OF THE
PRODUCTS THAT ARE PRODUCED. FOR PURPOSES OF THIS  PARAGRAPH,  THE  TERMS
"RESEARCH AND DEVELOPMENT PROPERTY", "INDUSTRIAL WASTE TREATMENT FACILI-
TIES",  AND  "AIR  POLLUTION CONTROL FACILITIES" SHALL HAVE THE MEANINGS
ASCRIBED THERETO BY CLAUSES (B), (C) AND (D), RESPECTIVELY, OF  SUBPARA-
GRAPH  (II)  OF PARAGRAPH (B) OF SUBDIVISION TWELVE OF THIS SECTION, AND
THE PROVISIONS OF SUBPARAGRAPH (III) OF SUCH PARAGRAPH (B) SHALL APPLY.
  (C) A TAXPAYER SHALL NOT BE ALLOWED A CREDIT  UNDER  THIS  SUBDIVISION
WITH  RESPECT TO ANY TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROP-
ERTY, INCLUDING BUILDINGS AND STRUCTURAL COMPONENTS OF BUILDINGS,  WHICH
IT  LEASES  TO  ANY  OTHER PERSON OR CORPORATION EXCEPT WHERE A TAXPAYER
LEASES PROPERTY TO AN AFFILIATED REGULATED  BROKER,  DEALER,  REGISTERED
INVESTMENT  ADVISER,  NATIONAL SECURITIES EXCHANGE OR BOARD OF TRADE (OR
OTHER ENTITY DESCRIBED IN CLAUSE (F) OF SUBPARAGRAPH  (V)  OF  PARAGRAPH
(B)  OF  THIS  SUBDIVISION  THAT  USES  SUCH PROPERTY IN ACCORDANCE WITH
CLAUSE (D), (E) OR (F) OF SUBPARAGRAPH (V)  OF  PARAGRAPH  (B)  OF  THIS
SUBDIVISION.  FOR  PURPOSES  OF  THE PRECEDING SENTENCE, ANY CONTRACT OR
AGREEMENT TO LEASE OR RENT OR FOR A LICENSE TO USE SUCH  PROPERTY  SHALL
BE  CONSIDERED  A  LEASE.  PROVIDED,  HOWEVER,  IN DETERMINING WHETHER A
TAXPAYER SHALL BE ALLOWED A CREDIT UNDER THIS SUBDIVISION  WITH  RESPECT
TO SUCH PROPERTY, ANY ELECTION MADE WITH RESPECT TO SUCH PROPERTY PURSU-
ANT  TO  THE  PROVISIONS OF PARAGRAPH EIGHT OF SUBSECTION (F) OF SECTION
ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL REVENUE CODE, AS SUCH  PARAGRAPH

S. 5491                            16

WAS  IN EFFECT FOR AGREEMENTS ENTERED INTO PRIOR TO JANUARY FIRST, NINE-
TEEN HUNDRED EIGHTY-FOUR, SHALL BE DISREGARDED.
  (D)  THE  CREDIT  ALLOWED  UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR
SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS THAN  THE  HIGHER  OF
THE  AMOUNTS  PRESCRIBED IN PARAGRAPHS (C) AND (D) OF SUBDIVISION ONE OF
THIS SECTION. PROVIDED, HOWEVER, THAT IF THE AMOUNT  OF  CREDIT  ALLOWED
UNDER  THIS  SUBDIVISION  FOR  ANY  TAXABLE YEAR REDUCES THE TAX TO SUCH
AMOUNT, ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY  BE
CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE
TAXPAYER'S  TAX  FOR  SUCH YEAR OR YEARS. IN LIEU OF SUCH CARRYOVER, ANY
SUCH TAXPAYER WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH  (J)  OF
SUBDIVISION  TWELVE  OF  THIS  SECTION  MAY ELECT, ON ITS REPORT FOR ITS
TAXABLE YEAR WITH RESPECT TO WHICH SUCH  CREDIT  IS  ALLOWED,  TO  TREAT
FIFTY  PERCENT  OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT OF TAX
TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF  SECTION
ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. IN ADDITION, ANY TAXPAYER WHICH
IS  APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A SIGNIF-
ICANT CAPITAL INVESTMENT  PROJECT  PURSUANT  TO  RULES  AND  REGULATIONS
PROMULGATED  BY  THE COMMISSIONER OF ECONOMIC DEVELOPMENT, ON ITS REPORT
FOR ITS TAXABLE YEAR WITH RESPECT TO WHICH SUCH CREDIT  IS  ALLOWED,  IN
LIEU  OF  SUCH CARRYOVER, MAY ELECT TO TREAT FIFTY PERCENT OF THE AMOUNT
OF SUCH CARRYOVER WHICH IS ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS
SUBDIVISION FOR PROPERTY WHICH IS PART OF SUCH PROJECT AS AN OVERPAYMENT
OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE  PROVISIONS  OF
SECTION  TEN HUNDRED EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, SUCH
OWNER SHALL BE ALLOWED SUCH REFUND FOR A MAXIMUM OF  TEN  TAXABLE  YEARS
WITH  RESPECT  TO SUCH QUALIFIED INVESTMENT PROJECT AND EACH SIGNIFICANT
CAPITAL INVESTMENT PROJECT, STARTING WITH  THE  FIRST  TAXABLE  YEAR  IN
WHICH  PROPERTY COMPRISING SUCH PROJECT IS PLACED IN SERVICE.  PROVIDED,
FURTHER, HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE  THOU-
SAND  EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE
PAID THEREON.
  (D-1) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  (E) AT THE OPTION OF THE  TAXPAYER  AIR  OR  WATER  POLLUTION  CONTROL
FACILITIES  WHICH QUALIFY FOR ELECTIVE DEDUCTIONS UNDER PARAGRAPH (G) OF
SUBDIVISION NINE OF SECTION TWO HUNDRED EIGHT  OF  THIS  ARTICLE  OR  AN
ELIGIBLE  BUSINESS FACILITY FOR WHICH A CREDIT IS ALLOWED UNDER SUBDIVI-
SION ELEVEN OF THIS SECTION,  OR  RESEARCH  AND  DEVELOPMENT  FACILITIES
WHICH  QUALIFY  FOR ELECTIVE DEDUCTION UNDER SUBPARAGRAPHS TWO AND THREE
OF PARAGRAPH (E) OF SUBDIVISION THREE OF THIS SECTION, OR PROPERTY WHICH
QUALIFIES FOR THE CREDIT PROVIDED UNDER SUBDIVISION TWELVE  OR  EIGHTEEN
OF  THIS  SECTION  MAY  BE  TREATED  AS PROPERTY PRINCIPALLY USED BY THE
TAXPAYER IN THE PRODUCTION OF GOODS BY MANUFACTURING, PROCESSING, ASSEM-
BLING, REFINING, MINING, EXTRACTING, FARMING, AGRICULTURE, HORTICULTURE,
VITICULTURE OR COMMERCIAL FISHING, PROVIDED THE PROPERTY OTHERWISE QUAL-
IFIES UNDER  PARAGRAPH  (B)  OF  THIS  SUBDIVISION,  IN  WHICH  EVENT  A
DEDUCTION  SHALL NOT BE ALLOWED UNDER SUCH PARAGRAPH (G), A CREDIT SHALL
NOT BE ALLOWED UNDER SUCH SUBDIVISION ELEVEN AND A DEDUCTION  SHALL  NOT
BE  ALLOWED  UNDER SUCH SUBPARAGRAPH THREE OF PARAGRAPH (E) AND A CREDIT
SHALL NOT BE ALLOWED UNDER SUCH SUBDIVISION TWELVE OR EIGHTEEN.
  (F) (1) WITH RESPECT TO PROPERTY  WHICH  IS  DEPRECIABLE  PURSUANT  TO
SECTION  ONE HUNDRED SIXTY-SEVEN OF THE INTERNAL REVENUE CODE BUT IS NOT

S. 5491                            17

SUBJECT TO THE PROVISIONS OF SECTION ONE  HUNDRED  SIXTY-EIGHT  OF  SUCH
CODE  AND WHICH IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO
THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT  IS  TO  BE  TAKEN,  THE
AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF THE CREDIT PROVIDED FOR IN
THIS  SUBDIVISION  WHICH REPRESENTS THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO THE MONTHS OF USEFUL LIFE. IF PROPERTY ON WHICH  CREDIT
HAS  BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO
THE END OF ITS USEFUL LIFE, THE DIFFERENCE BETWEEN THE CREDIT TAKEN  AND
THE  CREDIT  ALLOWED  FOR  ACTUAL  USE MUST BE ADDED BACK IN THE YEAR OF
DISPOSITION. PROVIDED, HOWEVER, IF SUCH PROPERTY IS DISPOSED OF OR CEAS-
ES TO BE IN QUALIFIED USE AFTER IT HAS BEEN IN QUALIFIED  USE  FOR  MORE
THAN TWELVE CONSECUTIVE YEARS, IT SHALL NOT BE NECESSARY TO ADD BACK THE
CREDIT  AS  PROVIDED  IN THIS SUBPARAGRAPH. THE AMOUNT OF CREDIT ALLOWED
FOR ACTUAL USE SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY
THE RATIO WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE MONTHS OF USEFUL
LIFE. FOR PURPOSES OF THIS SUBPARAGRAPH, USEFUL LIFE OF  PROPERTY  SHALL
BE  THE SAME AS THE TAXPAYER USES FOR DEPRECIATION PURPOSES WHEN COMPUT-
ING HIS FEDERAL INCOME TAX LIABILITY.
  (2) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS PARAGRAPH APPLIES, WITH RESPECT TO THREE-YEAR PROPERTY, AS  DEFINED
IN  SUBSECTION  (E)  OF  SECTION ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL
REVENUE CODE, WHICH IS DISPOSED OF OR CEASES  TO  BE  IN  QUALIFIED  USE
PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT IS TO BE TAKEN,
THE  AMOUNT  OF  THE CREDIT SHALL BE THAT PORTION OF THE CREDIT PROVIDED
FOR IN THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH THE  MONTHS  OF
QUALIFIED  USE  BEAR TO THIRTY-SIX. IF PROPERTY ON WHICH CREDIT HAS BEEN
TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO  THE  END
OF  THIRTY-SIX  MONTHS,  THE DIFFERENCE BETWEEN THE CREDIT TAKEN AND THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF  QUALI-
FIED USE BEAR TO THIRTY-SIX.
  (3) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS  PARAGRAPH  APPLIES,  WITH  RESPECT  TO  PROPERTY  SUBJECT  TO  THE
PROVISIONS OF SECTION ONE HUNDRED SIXTY-EIGHT OF  THE  INTERNAL  REVENUE
CODE OTHER THAN THREE-YEAR PROPERTY AS DEFINED IN SUBSECTION (E) OF SUCH
SECTION  ONE HUNDRED SIXTY-EIGHT WHICH IS DISPOSED OF OR CEASES TO BE IN
QUALIFIED USE PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH  THE  CREDIT
IS  TO  BE  TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF THE
CREDIT PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH
THE MONTHS OF QUALIFIED USE BEAR TO SIXTY. IF PROPERTY ON  WHICH  CREDIT
HAS  BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO
THE END OF SIXTY MONTHS, THE DIFFERENCE BETWEEN THE CREDIT TAKEN AND THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF  QUALI-
FIED USE BEAR TO SIXTY.
  (4)  WITH  RESPECT  TO  ANY  PROPERTY  TO  WHICH  SECTION  ONE HUNDRED
SIXTY-EIGHT OF THE INTERNAL REVENUE CODE APPLIES, WHICH IS A BUILDING OR
A STRUCTURAL COMPONENT OF A BUILDING AND WHICH IS DISPOSED OF OR  CEASES
TO BE IN QUALIFIED USE PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE
CREDIT IS TO BE TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF
THE  CREDIT  PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS THE RATIO
WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE  TOTAL  NUMBER  OF  MONTHS
OVER  WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE INTER-
NAL REVENUE CODE. IF PROPERTY ON WHICH CREDIT HAS BEEN TAKEN IS DISPOSED

S. 5491                            18

OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO THE END OF THE PERIOD  OVER
WHICH  THE  TAXPAYER  CHOOSES  TO DEDUCT THE PROPERTY UNDER THE INTERNAL
REVENUE CODE, THE DIFFERENCE BETWEEN THE CREDIT  TAKEN  AND  THE  CREDIT
ALLOWED  FOR  ACTUAL  USE MUST BE ADDED BACK IN THE YEAR OF DISPOSITION.
PROVIDED, HOWEVER, IF SUCH PROPERTY IS DISPOSED OF OR CEASES  TO  BE  IN
QUALIFIED  USE  AFTER  IT HAS BEEN IN QUALIFIED USE FOR MORE THAN TWELVE
CONSECUTIVE YEARS, IT SHALL NOT BE NECESSARY TO ADD BACK THE  CREDIT  AS
PROVIDED  IN  THIS SUBPARAGRAPH. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL
USE SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY THE  RATIO
WHICH  THE  MONTHS  OF  QUALIFIED USE BEAR TO THE TOTAL NUMBER OF MONTHS
OVER WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE  INTER-
NAL REVENUE CODE.
  (5) FOR PURPOSES OF THIS PARAGRAPH, DISPOSAL OR CESSATION OF QUALIFIED
USE  SHALL NOT BE DEEMED TO HAVE OCCURRED SOLELY BY REASON OF THE TERMI-
NATION OR EXPIRATION OF A GREEN ECONOMIC DEVELOPMENT ZONE'S  DESIGNATION
AS SUCH.
  (6)(A)  FOR PURPOSES OF THIS PARAGRAPH, THE DECERTIFICATION OF A BUSI-
NESS ENTERPRISE WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE  SHALL
CONSTITUTE  A  DISPOSAL OR CESSATION OF QUALIFIED USE OF THE PROPERTY ON
WHICH THE CREDIT WAS TAKEN WHICH IS LOCATED IN THE  ZONE  TO  WHICH  THE
DECERTIFICATION APPLIES, ON THE EFFECTIVE DATE OF SUCH DECERTIFICATION.
  (B)  WHERE A BUSINESS ENTERPRISE HAS BEEN DECERTIFIED BASED ON A FIND-
ING PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMISSIONER OF
ECONOMIC DEVELOPMENT, THE AMOUNT REQUIRED TO BE ADDED BACK BY REASON  OF
THIS  PARAGRAPH  SHALL BE AUGMENTED BY AN AMOUNT EQUAL TO THE PRODUCT OF
THE AMOUNT OF CREDIT, WITH RESPECT TO PROPERTY WHICH IS DISPOSED  OF  OR
CEASES  TO  BE  IN QUALIFIED USE, WHICH WAS DEDUCTED FROM THE TAXPAYER'S
TAX OTHERWISE DUE  UNDER  THIS  ARTICLE  FOR  ALL  PRIOR  TAXABLE  YEARS
(SUBJECT  TO THE LIMIT SET FORTH IN THIS SUBPARAGRAPH) AND THE UNDERPAY-
MENT RATE OF INTEREST (WITHOUT REGARD TO COMPOUNDING) SET BY THE COMMIS-
SIONER OF TAXATION AND FINANCE PURSUANT TO SUBSECTION (E) OF SECTION TEN
HUNDRED NINETY-SIX OF THIS CHAPTER, IN EFFECT ON THE  LAST  DAY  OF  THE
TAXABLE  YEAR. THE LIMIT SHALL BE (I) THE AMOUNT OF CREDIT, WITH RESPECT
TO THE PROPERTY WHICH IS DISPOSED OF OR CEASES TO BE IN  QUALIFIED  USE,
WHICH  WAS  DEDUCTED  FROM  THE  TAXPAYER'S TAX OTHERWISE DUE UNDER THIS
ARTICLE FOR ALL PRIOR TAXABLE YEARS, REDUCED (BUT  NOT  BELOW  ZERO)  BY
(II)  THE  CREDIT ALLOWED FOR ACTUAL USE.  FOR PURPOSES OF THIS SUBPARA-
GRAPH, THE ATTRIBUTION TO SPECIFIC PROPERTY OF CREDIT  AMOUNTS  DEDUCTED
FROM  TAX  SHALL BE ESTABLISHED IN ACCORDANCE WITH THE DATE OF PLACEMENT
IN SERVICE OF SUCH PROPERTY IN THE GREEN ECONOMIC DEVELOPMENT ZONE.
  (C) IN NO EVENT SHALL THE AMOUNT OF THE  CREDIT  ALLOWED  PURSUANT  TO
THIS  SUBDIVISION  BE  RENDERED,  SOLELY BY REASON OF CLAUSE (A) OF THIS
SUBPARAGRAPH, LESS THAN THE AMOUNT OF THE CREDIT TO WHICH  THE  TAXPAYER
WOULD OTHERWISE BE ENTITLED UNDER SUBDIVISION TWELVE OF THIS SECTION.
  (D)  NOTWITHSTANDING  ANY  OTHER PROVISION OF THIS SUBDIVISION, IN THE
CASE OF A BUSINESS ENTERPRISE WHICH HAS BEEN DECERTIFIED, ANY AMOUNT  OF
CREDIT  ALLOWED WITH RESPECT TO THE PROPERTY OF SUCH BUSINESS ENTERPRISE
LOCATED IN THE ZONE  TO  WHICH  THE  DECERTIFICATION  APPLIES  WHICH  IS
CARRIED  OVER PURSUANT TO PARAGRAPH (D) OF THIS SUBDIVISION SHALL NOT BE
CARRIED OVER BEYOND THE SEVENTH TAXABLE YEAR NEXT FOLLOWING THE  TAXABLE
YEAR  WITH  RESPECT TO WHICH THE CREDIT PROVIDED FOR IN THIS SUBDIVISION
WAS ALLOWED.
  (7) FOR PURPOSES OF THIS PARAGRAPH, WHERE A  CREDIT  IS  ALLOWED  WITH
RESPECT  TO  AN AIR POLLUTION CONTROL FACILITY ON THE BASIS OF A CERTIF-
ICATE OF COMPLIANCE ISSUED PURSUANT TO  THE  ENVIRONMENTAL  CONSERVATION
LAW  AND  THE  CERTIFICATE  IS  REVOKED PURSUANT TO SUBDIVISION THREE OF

S. 5491                            19

SECTION 19-0309 OF THE ENVIRONMENTAL CONSERVATION LAW,  SUCH  REVOCATION
SHALL  CONSTITUTE  A DISPOSAL OR CESSATION OF QUALIFIED USE, EXCEPT WITH
RESPECT TO PROPERTY CONTAINED IN OR COMPRISING SUCH  FACILITY  WHICH  IS
DESCRIBED IN CLAUSE (A), (B) OR (C) OF SUBPARAGRAPH (V) OF PARAGRAPH (B)
OF THIS SUBDIVISION OTHER THAN AS PART OF OR COMPRISING AN AIR POLLUTION
CONTROL FACILITY. ALSO FOR PURPOSES OF THIS PARAGRAPH, THE USE OF AN AIR
POLLUTION CONTROL FACILITY OR AN INDUSTRIAL WASTE TREATMENT FACILITY FOR
THE PRIMARY PURPOSE OF SALVAGING MATERIALS WHICH ARE USABLE IN THE MANU-
FACTURING  PROCESS  OR  ARE  MARKETABLE  SHALL CONSTITUTE A CESSATION OF
QUALIFIED USE, EXCEPT WITH RESPECT TO PROPERTY CONTAINED IN OR  COMPRIS-
ING  SUCH  FACILITY  WHICH IS DESCRIBED IN CLAUSE (A) OR (C) OF SUBPARA-
GRAPH (V) OF PARAGRAPH (B) OF THIS SUBDIVISION.
  (8) EXCEPT AS PROVIDED IN THIS SUBPARAGRAPH, THIS PARAGRAPH SHALL  NOT
APPLY  TO  A  CREDIT ALLOWED BY THIS SUBDIVISION TO A TAXPAYER THAT IS A
PARTNER  IN  A  PARTNERSHIP  IN  THE  CASE  OF  MANUFACTURING  PROPERTY;
PROVIDED,  AT THE TIME SUCH PROPERTY WAS PLACED IN SERVICE BY SUCH PART-
NERSHIP IN A GREEN ECONOMIC  DEVELOPMENT  ZONE  THE  BASIS  FOR  FEDERAL
INCOME  TAX  PURPOSES  OF SUCH PROPERTY (OR A PROJECT THAT INCLUDES SUCH
PROPERTY) EQUALED OR EXCEEDED THREE HUNDRED  MILLION  DOLLARS  AND  SUCH
PARTNER OWNED ITS PARTNERSHIP INTEREST FOR AT LEAST THREE YEARS FROM THE
DATE  SUCH PROPERTY WAS PLACED IN SERVICE. IF SUCH PROPERTY CEASES TO BE
IN QUALIFIED USE AFTER IT IS PLACED IN  SERVICE,  THIS  PARAGRAPH  SHALL
APPLY TO SUCH PARTNER IN THE YEAR SUCH PROPERTY CEASES TO BE IN QUALIFY-
ING USE.
  (9)  IF  A TAXPAYER, WHICH IS APPROVED BY THE COMMISSIONER OF ECONOMIC
DEVELOPMENT AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A  SIGNIF-
ICANT CAPITAL INVESTMENT PROJECT, FAILS TO (A) CREATE AT LEAST THE MINI-
MUM  NUMBER  OF  JOBS AT SUCH PROJECT AS REQUIRED BY THE RULES AND REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT  OR  (B)
PLACE  IN  SERVICE PROPERTY COMPRISING SUCH QUALIFIED INVESTMENT PROJECT
OR SIGNIFICANT CAPITAL INVESTMENT  PROJECT  WITH  A  BASIS  FOR  FEDERAL
INCOME  TAX  PURPOSES  EQUALING  OR  EXCEEDING  THE  APPLICABLE  MINIMUM
REQUIRED BASIS AS PROVIDED IN SUCH RULES AND REGULATIONS PROMULGATED  BY
THE  COMMISSIONER OF ECONOMIC DEVELOPMENT, WHICHEVER IS RELEVANT, BY THE
LAST DAY OF THE FIFTH TAXABLE YEAR FOLLOWING THE TAXABLE YEAR IN WHICH A
CREDIT IS FIRST ALLOWED UNDER THIS SUBDIVISION FOR  THE  PROPERTY  WHICH
COMPRISES  SUCH QUALIFIED INVESTMENT PROJECT OR SUCH SIGNIFICANT CAPITAL
INVESTMENT PROJECT, THE TOTAL AMOUNT OF THE CREDIT  ALLOWED  UNDER  THIS
SUBDIVISION  FOR  ALL  TAXABLE  YEARS WITH RESPECT TO THE PROPERTY WHICH
COMPRISES SUCH PROJECT WHICH HAS BEEN REFUNDED TO SUCH TAXPAYER SHALL BE
ADDED BACK IN SUCH TAXABLE YEAR.
  12-I. GREEN ECONOMIC  DEVELOPMENT  ZONE  EMPLOYMENT  INCENTIVE  CREDIT
(GED-EIC).    (A) WHERE A TAXPAYER IS ALLOWED A CREDIT UNDER SUBDIVISION
TWELVE-H OF THIS SECTION, THE TAXPAYER SHALL BE  ALLOWED  A  CREDIT  FOR
EACH  OF  THE THREE YEARS NEXT SUCCEEDING THE TAXABLE YEAR FOR WHICH THE
CREDIT UNDER SUBDIVISION TWELVE-H  OF  THIS  SECTION  IS  ALLOWED,  WITH
RESPECT TO SUCH PROPERTY, WHETHER OR NOT DEDUCTIBLE IN SUCH TAXABLE YEAR
OR  IN SUBSEQUENT TAXABLE YEARS PURSUANT TO PARAGRAPH (D) OF SUCH SUBDI-
VISION TWELVE-H, OF THIRTY PERCENT OF THE CREDIT  ALLOWABLE  UNDER  SUCH
SUBDIVISION TWELVE-H; PROVIDED, HOWEVER, THAT THE CREDIT ALLOWABLE UNDER
THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL ONLY BE ALLOWED IF THE AVER-
AGE  NUMBER  OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN THE GREEN ECONOMIC
DEVELOPMENT ZONE, DESIGNATED  PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE
GENERAL  MUNICIPAL  LAW,  IN  WHICH SUCH PROPERTY IS LOCATED DURING SUCH
TAXABLE YEAR IS AT LEAST ONE HUNDRED ONE PERCENT OF THE  AVERAGE  NUMBER
OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN SUCH GREEN ECONOMIC DEVELOPMENT

S. 5491                            20

ZONE  OR,  WHERE APPLICABLE, IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTI-
TUTING SUCH ZONE, DURING THE  TAXABLE  YEAR  IMMEDIATELY  PRECEDING  THE
TAXABLE  YEAR  FOR  WHICH  THE CREDIT UNDER SUBDIVISION TWELVE-H OF THIS
SECTION  IS  ALLOWED AND PROVIDED, FURTHER, THAT IF THE TAXPAYER WAS NOT
SUBJECT TO TAX AND DID NOT HAVE A TAXABLE YEAR IMMEDIATELY PRECEDING THE
TAXABLE YEAR FOR WHICH THE CREDIT UNDER  SUBDIVISION  TWELVE-H  OF  THIS
SECTION  IS ALLOWED, THE CREDIT ALLOWABLE UNDER THIS SUBDIVISION FOR ANY
TAXABLE YEAR SHALL  BE  ALLOWED  IF  THE  AVERAGE  NUMBER  OF  EMPLOYEES
EMPLOYED IN SUCH GREEN ECONOMIC DEVELOPMENT ZONE IN SUCH TAXABLE YEAR IS
AT LEAST ONE HUNDRED ONE PERCENT OF THE AVERAGE NUMBER OF SUCH EMPLOYEES
DURING  THE  TAXABLE  YEAR  IN  WHICH  THE CREDIT UNDER SUCH SUBDIVISION
TWELVE-H IS ALLOWED.
  (B) THE AVERAGE NUMBER OF  EMPLOYEES  EMPLOYED  IN  A  GREEN  ECONOMIC
DEVELOPMENT  ZONE,  OR,  WHERE APPLICABLE, IN THE GEOGRAPHIC AREA SUBSE-
QUENTLY CONSTITUTING SUCH ZONE, IN A TAXABLE YEAR SHALL BE  COMPUTED  BY
ASCERTAINING  THE  NUMBER  OF SUCH EMPLOYEES WITHIN SUCH ZONE, OR, WHERE
APPLICABLE, IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTITUTING SUCH  ZONE,
EXCEPT GENERAL EXECUTIVE OFFICERS, EMPLOYED BY THE TAXPAYER ON THE THIR-
TY-FIRST  DAY  OF MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF
SEPTEMBER AND THE THIRTY-FIRST DAY OF DECEMBER IN THE TAXABLE  YEAR,  BY
ADDING  TOGETHER  THE  NUMBER  OF  EMPLOYEES ASCERTAINED ON EACH OF SUCH
DATES AND DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH  ABOVE-MEN-
TIONED DATES OCCURRING WITHIN THE TAXABLE YEAR. FOR THE PURPOSES OF THIS
SUBDIVISION,  THE TERM "EMPLOYEES" AND THE TERM "GENERAL EXECUTIVE OFFI-
CERS" SHALL MEAN THE SAME AS IN SUBPARAGRAPH THREE OF PARAGRAPH  (A)  OF
SUBDIVISION THREE OF THIS SECTION.
  (C)  IN NO EVENT SHALL THE CREDIT HEREIN PROVIDED FOR BE ALLOWED IN AN
AMOUNT WHICH WILL REDUCE  THE  TAX  PAYABLE  TO  LESS  THAN  THE  AMOUNT
PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF  THIS  SECTION.
PROVIDED, HOWEVER, THAT IF THE AMOUNT OF  CREDIT  ALLOWABLE  UNDER  THIS
SUBDIVISION  FOR  ANY  TAXABLE  YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY
AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM  THE  TAXPAYER'S
TAX  FOR SUCH YEAR OR YEARS. IN LIEU OF SUCH CARRYOVER, ANY SUCH TAXPAY-
ER, WHICH IS APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT  OR
A  SIGNIFICANT  CAPITAL  INVESTMENT  PROJECT PURSUANT TO RULES AND REGU-
LATIONS PROMULGATED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,  MAY
ELECT,  ON  ITS  REPORT  FOR ITS TAXABLE YEAR WITH RESPECT TO WHICH SUCH
CREDIT IS ALLOWED, TO TREAT FIFTY PERCENT OF THE AMOUNT OF  SUCH  CARRY-
OVER  AS  AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE
WITH THE PROVISIONS OF SECTION TEN HUNDRED EIGHTY-SIX OF  THIS  CHAPTER.
PROVIDED,  HOWEVER,  IN THE CASE OF SUCH OWNER OF A QUALIFIED INVESTMENT
PROJECT OR A SIGNIFICANT CAPITAL INVESTMENT PROJECT, ONLY FIFTY  PERCENT
OF  THE  AMOUNT  OF  SUCH  CARRYOVER WHICH IS ATTRIBUTABLE TO THE CREDIT
ALLOWED UNDER THIS SUBDIVISION WITH RESPECT TO PROPERTY WHICH IS PART OF
SUCH PROJECT SHALL BE ALLOWED TO BE CREDITED OR REFUNDED AND SUCH  OWNER
SHALL  BE  ALLOWED SUCH CREDIT OR REFUND ONLY FOR THOSE TAXABLE YEARS IN
WHICH SUCH OWNER WOULD BE ALLOWED  A  CREDIT  OR  REFUND  OF  THE  GREEN
ECONOMIC  DEVELOPMENT  ZONE  INVESTMENT TAX CREDIT PURSUANT TO PARAGRAPH
(D) OF SUBDIVISION TWELVE-H OF THIS SECTION. PROVIDED, FURTHER, HOWEVER,
THE PROVISIONS OF SUBSECTION (C) OF SECTION TEN HUNDRED EIGHTY-EIGHT  OF
THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
  (C-1)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED IF AN EMPIRE ZONE RETENTION CERTIFICATE IS NOT  ISSUED  PURSUANT
TO  RULES  AND  REGULATIONS  PROMULGATED BY THE COMMISSIONER OF ECONOMIC

S. 5491                            21

DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE ENTERPRISE  WHICH  IS
THE BASIS OF THE CREDIT.
  S  19.  Section 210 of the tax law is amended by adding a new subdivi-
sion 43 to read as follows:
  43. GREEN ECONOMIC DEVELOPMENT ZONE WAGE TAX CREDIT.  (A)  A  TAXPAYER
SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS HEREINAFTER PROVIDED,
AGAINST THE TAX IMPOSED BY THIS ARTICLE  WHERE  THE  TAXPAYER  HAS  BEEN
CERTIFIED  PURSUANT  TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW.
THE AMOUNT OF SUCH CREDIT SHALL BE AS PRESCRIBED  BY  PARAGRAPH  (D)  OF
THIS SUBDIVISION.
  (B)  FOR  THE  PURPOSES OF THIS SUBDIVISION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS:
  (1) "GREEN ECONOMIC DEVELOPMENT ZONE WAGES" MEANS WAGES  PAID  BY  THE
TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO GENERAL EXECUTIVE OFFI-
CERS, DURING THE TAXABLE YEAR IN AN AREA DESIGNATED OR PREVIOUSLY DESIG-
NATED  AS  A  GREEN  ECONOMIC  DEVELOPMENT  ZONE OR ZONE EQUIVALENT AREA
PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW, WHERE  SUCH
EMPLOYMENT  IS IN A JOB CREATED IN THE AREA (I) DURING THE PERIOD OF ITS
DESIGNATION AS A GREEN ECONOMIC DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS
OF THE EXPIRATION OF SUCH DESIGNATION, OR  (III)  DURING  THE  TEN  YEAR
PERIOD  IMMEDIATELY  FOLLOWING  THE DATE OF DESIGNATION AS A ZONE EQUIV-
ALENT AREA, PROVIDED, HOWEVER,  THAT  IF  THE  TAXPAYER'S  CERTIFICATION
UNDER  ARTICLE  EIGHTEEN-D  OF THE GENERAL MUNICIPAL LAW IS REVOKED WITH
RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE OR  ZONE  EQUIVALENT  AREA,
ANY  WAGES  PAID BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE OF SUCH
DECERTIFICATION, FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE EMPIRE
ZONE WAGES.
  (2) "TARGETED EMPLOYEE" MEANS A NEW YORK RESIDENT WHO  RECEIVES  GREEN
ECONOMIC  DEVELOPMENT  ZONE  WAGES AND WHO IS (A) AN ELIGIBLE INDIVIDUAL
UNDER THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION  FIFTY-ONE
OF  THE  INTERNAL  REVENUE  CODE),  (B)  ELIGIBLE FOR BENEFITS UNDER THE
PROVISIONS OF THE WORKFORCE INVESTMENT ACT AS  A  DISLOCATED  WORKER  OR
LOW-INCOME  INDIVIDUAL  (P.L.   105-220, AS AMENDED), (C) A RECIPIENT OF
PUBLIC ASSISTANCE BENEFITS, (D) AN INDIVIDUAL WHOSE INCOME IS BELOW  THE
MOST  RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED STATES
DEPARTMENT OF COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY  INCOME  IS
BELOW  THE  MOST  RECENTLY  ESTABLISHED  POVERTY RATE PROMULGATED BY THE
APPROPRIATE FEDERAL AGENCY OR (E) AN HONORABLY DISCHARGED MEMBER OF  ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN  INDIVIDUAL WHO SATISFIES THE CRITERIA SET FORTH IN CLAUSE (A), (B)
OR (D) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT IN THE JOB
WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES THE CRITE-
RION SET FORTH IN CLAUSE (C) OF THIS SUBPARAGRAPH AT SUCH TIME OR AT ANY
TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED EMPLOYEE SO LONG
AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC DEVELOPMENT  ZONE
WAGES.
  (3)  "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE OFFI-
CERS, EMPLOYED FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING  THE  NUMBER
OF  SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER  APPLICA-
BLE  PERIOD,  BY  ADDING  TOGETHER THE NUMBER OF SUCH INDIVIDUALS ASCER-
TAINED ON EACH OF SUCH DATES AND DIVIDING THE SUM  SO  OBTAINED  BY  THE
NUMBER  OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER APPLI-
CABLE PERIOD.

S. 5491                            22

  (C) THE CREDIT PROVIDED FOR HEREIN SHALL BE  ALLOWED  ONLY  WHERE  THE
AVERAGE  NUMBER  OF  INDIVIDUALS,  EXCLUDING GENERAL EXECUTIVE OFFICERS,
EMPLOYED FULL-TIME BY THE TAXPAYER IN (A) THE STATE AND  (B)  THE  GREEN
ECONOMIC  DEVELOPMENT  ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH ZONE OR
ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE AVERAGE NUMBER
OF  SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (A) THE STATE
AND (B) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY  CONSTITUTING  SUCH
ZONE  OR  SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING THE FOUR YEARS
IMMEDIATELY PRECEDING THE FIRST TAXABLE YEAR  IN  WHICH  THE  CREDIT  IS
CLAIMED  WITH  RESPECT TO SUCH ZONE OR AREA. WHERE THE TAXPAYER PROVIDED
FULL-TIME EMPLOYMENT WITHIN (A) THE STATE  OR  (B)  SUCH  ZONE  OR  AREA
DURING  ONLY  A  PORTION  OF SUCH FOUR-YEAR PERIOD, THEN FOR PURPOSES OF
THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD TO
SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE
MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION. SUBSEQUENT CERTIF-
ICATIONS OF THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF  THE  GENERAL
MUNICIPAL  LAW,  AT  THE  SAME OR A DIFFERENT LOCATION IN THE SAME GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN  A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT  NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR BEGIN-
NING MORE THAN FOUR YEARS FOLLOWING THE TAXABLE  YEAR  IN  WHICH  DESIG-
NATION  AS  A  GREEN  ECONOMIC DEVELOPMENT ZONE EXPIRED OR MORE THAN TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA. IN  LIEU  OF  THE
FIVE YEAR TIME PERIOD DESCRIBED IN THE PRECEDING SENTENCES OF THIS PARA-
GRAPH  FOR  THE  ALLOWANCE  OF  THIS  CREDIT, WITH RESPECT TO A BUSINESS
ENTERPRISE WHICH QUALIFIES AS A NEW BUSINESS PURSUANT TO PARAGRAPH  FIVE
OF SUBDIVISION (J) OF SECTION FOURTEEN OF THIS CHAPTER, THE CREDIT SHALL
BE ALLOWED WITH RESPECT TO THE FIRST TAXABLE YEAR OF THE BUSINESS ENTER-
PRISE'S BUSINESS TAX BENEFIT PERIOD, AS DETERMINED PURSUANT TO PARAGRAPH
ONE-A  OF  SUBDIVISION  (A)  OF SECTION FOURTEEN OF THIS CHAPTER, DURING
WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE  WAGES  ARE  MADE  AND
WITH  RESPECT  TO  EACH  OF  THE  FOUR  TAXABLE YEARS NEXT FOLLOWING, IN
ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION.
  (D) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (1) THE PRODUCT OF
THREE THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS  (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT  TO  THE  PROVISIONS  OF SUBPARAGRAPH THREE OF PARAGRAPH (B) OF
THIS SUBDIVISION, WHO
  (A) RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN  HALF
OF THE TAXABLE YEAR,
  (B)  RECEIVED, WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF EMPLOY-
MENT BY THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE  WHICH  WAS
AT  LEAST  ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM WAGE SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (C) ARE TARGETED EMPLOYEES; AND
  (2) THE PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE  NUMBER  OF
INDIVIDUALS   (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND  INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH ONE OF THIS PARAGRAPH) EMPLOYED  FULL-TIME  BY
THE  TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH THREE

S. 5491                            23

OF PARAGRAPH (B) OF THIS SUBDIVISION, WHO RECEIVED GREEN ECONOMIC DEVEL-
OPMENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  PROVIDED,  FURTHER,  HOWEVER, THAT THE CREDIT PROVIDED FOR HEREIN WITH
RESPECT TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE  TAXA-
BLE  YEAR,  DEDUCTED  FROM THE TAX OTHERWISE DUE, MAY NOT, IN THE AGGRE-
GATE, EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION TWO  HUNDRED
NINE  OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT PROVIDED FOR
BY THIS ARTICLE.
  (3) FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT,  INDIVIDUALS
EMPLOYED  WITHIN  A  GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT
AREA WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED  PERSON,
AS  SUCH  TERM  IS  DEFINED  IN  SUBPARAGRAPH  (C) OF PARAGRAPH THREE OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE CODE, SHALL NOT BE INCLUDED IN  THE  AVERAGE  NUMBER  OF  INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH  ONE  OR SUBPARAGRAPH TWO OF THIS PARAGRAPH,
UNLESS SUCH RELATED PERSON WAS NEVER ALLOWED A CREDIT UNDER THIS  SUBDI-
VISION WITH RESPECT TO SUCH EMPLOYEES. FOR THE PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED  AS  A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD NOT BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (4) IF A TAXPAYER IS CERTIFIED IN A GREEN  ECONOMIC  DEVELOPMENT  ZONE
DESIGNATED  UNDER  SECTION  NINE  HUNDRED  SEVENTY-FOUR-C OF THE GENERAL
MUNICIPAL LAW, THE DOLLAR AMOUNTS SPECIFIED UNDER  SUBPARAGRAPH  ONE  OR
TWO  OF  THIS  PARAGRAPH  SHALL BE INCREASED BY FIVE HUNDRED DOLLARS FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (5) THE REQUIREMENT IN THIS PARAGRAPH THAT AN  EMPLOYEE  MUST  RECEIVE
GREEN  ECONOMIC  DEVELOPMENT  ZONE  WAGES FOR MORE THAN HALF THE TAXABLE
YEAR SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER  SATISFYING
THE  CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE CREDIT
ALLOWED UNDER THIS SUBDIVISION SHALL BE COMPUTED BY UTILIZING THE NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME
BY THE TAXPAYER ON THE LAST DAY OF ITS FIRST TAXABLE  YEAR.  A  TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (A) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE  PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY
WHICH IS NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION
(G)  OF SECTION FOURTEEN OF THIS CHAPTER); (B) THE FIRST TAXABLE YEAR OF
SUCH TAXPAYER SHALL BE A SHORT TAXABLE  YEAR  OF  NOT  MORE  THAN  SEVEN
MONTHS IN DURATION; AND (C) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME
ON THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED
NINETY  AND  SUBSTANTIALLY ALL OF SUCH INDIVIDUALS MUST HAVE BEEN PREVI-
OUSLY EMPLOYED BY THE ENTITY  FROM  WHOM  SUCH  TAXPAYER  PURCHASED  ITS
ASSETS.
  (E) THE CREDIT AND CARRYOVERS OF SUCH CREDIT ALLOWED UNDER THIS SUBDI-
VISION  FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE TAX
DUE FOR SUCH YEAR TO LESS THAN THE HIGHER OF THE AMOUNTS  PRESCRIBED  IN
PARAGRAPHS  (C)  AND (D) OF SUBDIVISION ONE OF THIS SECTION. HOWEVER, IF
THE AMOUNT OF CREDIT OR CARRYOVERS OF  SUCH  CREDIT,  OR  BOTH,  ALLOWED
UNDER  THIS  SUBDIVISION  FOR  ANY  TAXABLE YEAR REDUCES THE TAX TO SUCH
AMOUNT, OR IF ANY PART OF THE CREDIT OR CARRYOVERS OF  SUCH  CREDIT  MAY
NOT  BE  DEDUCTED  FROM  THE  TAX  OTHERWISE  DUE BY REASON OF THE FINAL
SENTENCE OF PARAGRAPH (D) OF THIS SUBDIVISION, ANY AMOUNT OF  CREDIT  OR
CARRYOVERS  OF  SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY
BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED  FROM
THE  TAX  FOR  SUCH  YEAR  OR YEARS. IN LIEU OF SUCH CARRYOVER, ANY SUCH

S. 5491                            24

TAXPAYER WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH (J) OF SUBDI-
VISION TWELVE OF THIS SECTION OR A TAXPAYER WHICH  IS  APPROVED  AS  THE
OWNER OF A QUALIFIED INVESTMENT PROJECT OR A SIGNIFICANT CAPITAL INVEST-
MENT  PROJECT  PURSUANT  TO  RULES  AND  REGULATIONS  PROMULGATED BY THE
COMMISSIONER OF ECONOMIC DEVELOPMENT MAY ELECT, ON ITS  REPORT  FOR  ITS
TAXABLE  YEAR  WITH  RESPECT  TO  WHICH SUCH CREDIT IS ALLOWED, TO TREAT
FIFTY PERCENT OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT  OF  TAX
TO  BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION
TEN HUNDRED EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, IN  THE  CASE
OF  SUCH  OWNER OF A QUALIFIED INVESTMENT PROJECT OR SIGNIFICANT CAPITAL
INVESTMENT PROJECT, ONLY FIFTY PERCENT OF THE AMOUNT OF  SUCH  CARRYOVER
WHICH  IS  ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS SUBDIVISION FOR
INDIVIDUALS EMPLOYED AT SUCH PROJECT SHALL BE ALLOWED TO BE CREDITED  OR
REFUNDED.  PROVIDED,  FURTHER, HOWEVER, THE PROVISIONS OF SUBSECTION (C)
OF SECTION TEN HUNDRED EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING,  NO
INTEREST SHALL BE PAID THEREON.
  (E-1)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED IF A GREEN ECONOMIC DEVELOPMENT ZONE  RETENTION  CERTIFICATE  IS
NOT  ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMIS-
SIONER OF ECONOMIC DEVELOPMENT TO THE GREEN  ECONOMIC  DEVELOPMENT  ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  (F)  FOR  THE INTERACTION OF THIS SUBDIVISION AND SUBDIVISION TWELVE-D
OF THIS SECTION (EMPLOYMENT INCENTIVE CREDIT), SEE PARAGRAPH (B) OF SUCH
SUBDIVISION TWELVE-D.
  S 20. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxii)  to  read  as
follows:
(XXXII) GREEN ECONOMIC DEVELOPMENT ZONE        AMOUNT OF CREDIT UNDER
WAGE TAX CREDIT UNDER SUBSECTION               SUBDIVISION FORTY-THREE OF
(SS)                                           SECTION TWO HUNDRED TEN
  S 21. Section 606 of the tax law is amended by adding a new subsection
(ss) to read as follows:
  (SS)  GREEN  ECONOMIC DEVELOPMENT ZONE WAGE TAX CREDIT. (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED,
AGAINST  THE  TAX  IMPOSED  BY THIS ARTICLE, WHERE THE TAXPAYER HAS BEEN
CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW.
THE  AMOUNT  OF  SUCH CREDIT SHALL BE AS PRESCRIBED IN PARAGRAPH FOUR OF
THIS SUBSECTION.
  (2) FOR THE PURPOSES OF THIS SUBSECTION,  THE  FOLLOWING  TERMS  SHALL
HAVE THE FOLLOWING MEANINGS: (A) "GREEN ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS  WAGES  PAID  BY  THE TAXPAYER FOR FULL-TIME EMPLOYMENT DURING THE
TAXABLE YEAR, IN AN AREA DESIGNATED OR PREVIOUSLY DESIGNATED AS A  GREEN
ECONOMIC  DEVELOPMENT  ZONE  OR ZONE EQUIVALENT AREA PURSUANT TO ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW, WHERE SUCH EMPLOYMENT IS  IN  A
JOB  CREATED  IN  THE AREA (I) DURING THE PERIOD OF ITS DESIGNATION AS A
GREEN ECONOMIC DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS OF  THE  EXPIRA-
TION OF SUCH DESIGNATION, OR (III) DURING THE TEN YEAR PERIOD IMMEDIATE-
LY  FOLLOWING  THE  DATE  OF  DESIGNATION  AS  A  ZONE  EQUIVALENT AREA,
PROVIDED, HOWEVER, THAT IF THE TAXPAYER'S  CERTIFICATION  UNDER  ARTICLE
EIGHTEEN-D  OF  THE  GENERAL  MUNICIPAL LAW IS REVOKED WITH RESPECT TO A
GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, ANY WAGES  PAID
BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE OF SUCH DECERTIFICATION,
FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE GREEN ECONOMIC DEVELOP-
MENT ZONE WAGES.
  (B)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (I)  AN  ELIGIBLE  INDIVIDUAL

S. 5491                            25

UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE), (II)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME  INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED  STATES
DEPARTMENT  OF  COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY INCOME IS
BELOW THE MOST RECENTLY ESTABLISHED  POVERTY  RATE  PROMULGATED  BY  THE
APPROPRIATE  FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN INDIVIDUAL WHO SATISFIES THE CRITERIA  SET  FORTH  IN  CLAUSE  (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE  CRITERION  SET  FORTH  IN CLAUSE (III) OF THIS SUBPARAGRAPH AT SUCH
TIME OR AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE  A  TARGETED
EMPLOYEE  SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C) "AVERAGE  NUMBER  OF  INDIVIDUALS  EMPLOYED  FULL-TIME"  SHALL  BE
COMPUTED  BY ASCERTAINING THE NUMBER OF SUCH INDIVIDUALS EMPLOYED BY THE
TAXPAYER ON THE THIRTY-FIRST DAY OF MARCH, THE THIRTIETH  DAY  OF  JUNE,
THE  THIRTIETH  DAY  OF  SEPTEMBER  AND THE THIRTY-FIRST DAY OF DECEMBER
DURING EACH TAXABLE YEAR OR OTHER APPLICABLE PERIOD, BY ADDING  TOGETHER
THE  NUMBER  OF  SUCH  INDIVIDUALS ASCERTAINED ON EACH OF SUCH DATES AND
DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH DATES OCCURRING WITH-
IN SUCH TAXABLE YEAR OR OTHER APPLICABLE PERIOD.
  (3) THE CREDIT PROVIDED FOR HEREIN SHALL BE  ALLOWED  ONLY  WHERE  THE
AVERAGE  NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (A)
THE STATE AND (B) THE GREEN ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY
CONSTITUTING SUCH ZONE OR ZONE EQUIVALENT AREA, DURING THE TAXABLE  YEAR
EXCEEDS THE AVERAGE NUMBER OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE
TAXPAYER  IN  (A)  THE  STATE  AND (B) SUCH ZONE OR AREA SUBSEQUENTLY OR
PREVIOUSLY CONSTITUTING SUCH ZONE OR SUCH ZONE EQUIVALENT AREA,  RESPEC-
TIVELY,  DURING  THE  FOUR YEARS IMMEDIATELY PRECEDING THE FIRST TAXABLE
YEAR IN WHICH THE CREDIT IS CLAIMED WITH RESPECT TO SUCH ZONE  OR  AREA.
WHERE THE TAXPAYER PROVIDED FULL-TIME EMPLOYMENT WITHIN (A) THE STATE OR
(B)  SUCH  ZONE  OR AREA DURING ONLY A PORTION OF SUCH FOUR-YEAR PERIOD,
THEN FOR PURPOSES OF THIS PARAGRAPH  THE  TERM  "FOUR  YEARS"  SHALL  BE
DEEMED TO REFER INSTEAD TO SUCH PORTION, IF ANY.
  THE  CREDIT  SHALL  BE  ALLOWED ONLY WITH RESPECT TO THE FIRST TAXABLE
YEAR DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES  ARE
MADE  AND  THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE SATISFIED, AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH RESPECT TO EACH OF SUCH YEARS, IF SUCH CONDITIONS  ARE  SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS  OF  THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AT THE SAME OR A DIFFERENT LOCATION  IN  THE  SAME  GREEN
ECONOMIC  DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR  BEGIN-
NING  MORE  THAN  FOUR  YEARS FOLLOWING THE TAXABLE YEAR IN WHICH DESIG-
NATION AS A GREEN ECONOMIC DEVELOPMENT ZONE EXPIRED  OR  MORE  THAN  TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF

S. 5491                            26

  (A)  THE  PRODUCT  OF THREE THOUSAND DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO THE
PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
  (I)  RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF
OF THE TAXABLE YEAR,
  (II) RECEIVED WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF  EMPLOY-
MENT  BY  THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE WHICH WAS
AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM  WAGE  SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (III) ARE TARGETED EMPLOYEES; AND
  (B)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS (EXCLUDING INDIVIDUALS DESCRIBED IN SUBPARAGRAPH (A) OF THIS
PARAGRAPH) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO  THE
PROVISIONS  OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF OF THE
TAXABLE YEAR.
  PROVIDED, FURTHER, HOWEVER, THAT THE CREDIT PROVIDED FOR  HEREIN  WITH
RESPECT  TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE TAXA-
BLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE, MAY NOT,  IN  THE  AGGRE-
GATE,  EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION SIX HUNDRED
ONE OF THIS PART COMPUTED WITHOUT REGARD  TO  ANY  CREDIT  PROVIDED  FOR
UNDER THIS ARTICLE.
  (C)  FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT, INDIVIDUALS
EMPLOYED WITHIN A GREEN ECONOMIC DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT
AREA  WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED PERSON,
AS SUCH TERM IS DEFINED  IN  SUBPARAGRAPH  (C)  OF  PARAGRAPH  THREE  OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE  CODE,  SHALL  NOT  BE  INCLUDED IN THE AVERAGE NUMBER OF INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH (A) OR SUBPARAGRAPH  (B)  OF  THIS  PARAGRAPH,
UNLESS  SUCH  RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT UNDER THIS
SUBSECTION WITH RESPECT TO SUCH EMPLOYEES. FOR PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED AS A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD  NOT  BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (D)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL
MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH (A) OR
(B) OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE  THAN  HALF  THE  TAXABLE
YEAR  SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING
THE CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE  CREDIT
ALLOWED  UNDER THIS SUBSECTION SHALL BE COMPUTED BY UTILIZING THE NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME
BY THE TAXPAYER ON THE LAST DAY OF ITS FIRST TAXABLE  YEAR.  A  TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (I) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE  PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY
WHICH IS NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION
(G) OF SECTION FOURTEEN OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF
SUCH  TAXPAYER  SHALL  BE  A  SHORT  TAXABLE YEAR OF NOT MORE THAN SEVEN
MONTHS IN  DURATION;  AND  (III)  THE  NUMBER  OF  INDIVIDUALS  EMPLOYED
FULL-TIME  ON  THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST
ONE HUNDRED NINETY AND SUBSTANTIALLY ALL OF SUCH INDIVIDUALS  MUST  HAVE

S. 5491                            27

BEEN PREVIOUSLY EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED
ITS ASSETS.
  (5)  IF THE AMOUNT OF THE CREDIT AND CARRYOVERS OF SUCH CREDIT ALLOWED
UNDER THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED  THE  TAXPAYER'S
TAX  FOR  SUCH  YEAR,  THE  EXCESS, AS WELL AS ANY PART OF THE CREDIT OR
CARRYOVERS OF SUCH CREDIT, OR BOTH, WHICH MAY NOT BE DEDUCTED  FROM  THE
TAX  OTHERWISE  DUE BY REASON OF THE FINAL SENTENCE IN PARAGRAPH FOUR OF
THIS SUBSECTION, MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS  AND
MAY  BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. IN LIEU
OF CARRYING OVER ANY SUCH EXCESS, A TAXPAYER WHO QUALIFIES AS  AN  OWNER
OF  A  NEW  BUSINESS  FOR PURPOSES OF PARAGRAPH TEN OF SUBSECTION (A) OF
THIS SECTION MAY, AT HIS OPTION, RECEIVE FIFTY PERCENT OF SUCH EXCESS AS
A REFUND. ANY REFUND PAID PURSUANT TO THIS PARAGRAPH SHALL BE DEEMED  TO
BE  A REFUND OF AN OVERPAYMENT OF TAX AS PROVIDED IN SECTION SIX HUNDRED
EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
PAID THEREON.
  (5-A) ANY CARRYOVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL  NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  S 22. Section 1456  of  the  tax  law  is  amended  by  adding  a  new
subsection (x) to read as follows:
  (X)  GREEN  ECONOMIC  DEVELOPMENT ZONE WAGE TAX CREDIT. (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED,
AGAINST  THE  TAX  IMPOSED  BY  THIS ARTICLE WHERE THE TAXPAYER HAS BEEN
CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW.
THE  AMOUNT  OF  SUCH CREDIT SHALL BE AS PRESCRIBED IN PARAGRAPH FOUR OF
THIS SUBSECTION.
  (2) FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING  TERMS  SHALL  HAVE
THE  FOLLOWING  MEANINGS:  (A)  "GREEN  ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS WAGES PAID BY THE TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO
GENERAL EXECUTIVE OFFICERS, DURING THE TAXABLE YEAR IN  AN  AREA  DESIG-
NATED  OR  PREVIOUSLY DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE OR
ZONE EQUIVALENT AREA PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE  GENERAL
MUNICIPAL  LAW WHERE SUCH EMPLOYMENT IS IN A JOB CREATED IN THE AREA (I)
DURING THE PERIOD OF ITS DESIGNATION AS  A  GREEN  ECONOMIC  DEVELOPMENT
ZONE,  (II)  WITHIN FOUR YEARS OF THE EXPIRATION OF SUCH DESIGNATION, OR
(III) DURING THE TEN YEAR  PERIOD  IMMEDIATELY  FOLLOWING  THE  DATE  OF
DESIGNATION  AS  A  ZONE EQUIVALENT AREA, PROVIDED, HOWEVER, THAT IF THE
TAXPAYER'S CERTIFICATION UNDER ARTICLE EIGHTEEN-D OF THE GENERAL MUNICI-
PAL LAW IS REVOKED WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE  OR
ZONE  EQUIVALENT  AREA,  ANY WAGES PAID BY THE TAXPAYER, ON OR AFTER THE
EFFECTIVE DATE OF SUCH DECERTIFICATION,  FOR  EMPLOYMENT  IN  SUCH  ZONE
SHALL NOT CONSTITUTE EMPIRE ZONE WAGES.
  (B)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (I)  AN  ELIGIBLE  INDIVIDUAL
UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE), (II)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT  OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST  RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED STATES
DEPARTMENT OF COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY  INCOME  IS
BELOW  THE  MOST  RECENTLY  ESTABLISHED  POVERTY RATE PROMULGATED BY THE

S. 5491                            28

APPROPRIATE FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF  ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN  INDIVIDUAL  WHO  SATISFIES  THE  CRITERIA SET FORTH IN CLAUSE (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE CRITERION SET FORTH IN CLAUSE (III) OF  THIS  SUBPARAGRAPH  AT  SUCH
TIME  OR  AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED
EMPLOYEE SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN  ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C)  "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE OFFI-
CERS, EMPLOYED FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING  THE  NUMBER
OF  SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER  APPLICA-
BLE  PERIOD,  BY  ADDING  TOGETHER THE NUMBER OF SUCH INDIVIDUALS ASCER-
TAINED ON EACH OF SUCH DATES AND DIVIDING THE SUM  SO  OBTAINED  BY  THE
NUMBER  OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER APPLI-
CABLE PERIOD.
  (3) THE CREDIT PROVIDED FOR HEREIN SHALL BE  ALLOWED  ONLY  WHERE  THE
AVERAGE  NUMBER  OF  INDIVIDUALS,  EXCLUDING GENERAL EXECUTIVE OFFICERS,
EMPLOYED FULL-TIME BY THE TAXPAYER IN (I) THE STATE AND (II)  THE  GREEN
ECONOMIC  DEVELOPMENT  ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH ZONE OR
ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE AVERAGE NUMBER
OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (I) THE  STATE
AND  (II) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY CONSTITUTING SUCH
ZONE OR SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING THE  FOUR  YEARS
IMMEDIATELY  PRECEDING  THE  FIRST  TAXABLE  YEAR IN WHICH THE CREDIT IS
CLAIMED WITH RESPECT TO SUCH ZONE OR AREA. WHERE THE  TAXPAYER  PROVIDED
FULL-TIME  EMPLOYMENT  WITHIN  (I)  THE  STATE OR (II) SUCH ZONE OR AREA
DURING ONLY A PORTION OF SUCH FOUR-YEAR PERIOD,  THEN  FOR  PURPOSES  OF
THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD TO
SUCH PORTION, IF ANY.
  THE  CREDIT  SHALL  BE  ALLOWED ONLY WITH RESPECT TO THE FIRST TAXABLE
YEAR DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES  ARE
MADE  AND  THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE SATISFIED, AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH RESPECT TO EACH OF SUCH YEARS, IF SUCH CONDITIONS  ARE  SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS  OF  THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AT THE SAME OR A DIFFERENT LOCATION  IN  THE  SAME  GREEN
ECONOMIC  DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR  BEGIN-
NING  MORE  THAN  FOUR  YEARS FOLLOWING THE TAXABLE YEAR IN WHICH DESIG-
NATION AS A GREEN ECONOMIC DEVELOPMENT ZONE EXPIRED  OR  MORE  THAN  TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (A) THE PRODUCT OF
THREE  THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF  THIS
SUBSECTION,  WHO  (I) RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR
MORE THAN HALF OF THE TAXABLE YEAR, (II) RECEIVED, WITH RESPECT TO  MORE
THAN HALF OF THE PERIOD OF EMPLOYMENT BY THE TAXPAYER DURING THE TAXABLE
YEAR,  AN HOURLY WAGE WHICH WAS AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT

S. 5491                            29

OF THE MINIMUM WAGE SPECIFIED IN SECTION SIX HUNDRED  FIFTY-TWO  OF  THE
LABOR LAW, AND (III) ARE TARGETED EMPLOYEES; AND
  (B)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS  (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND   INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH (A) OF THIS PARAGRAPH) EMPLOYED FULL-TIME BY
THE TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (C) OF
PARAGRAPH TWO OF THIS SUBSECTION, WHO RECEIVED GREEN  ECONOMIC  DEVELOP-
MENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  (C)  FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT, INDIVIDUALS
EMPLOYED WITHIN A GREEN ECONOMIC DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT
AREA  WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED PERSON,
AS SUCH TERM IS DEFINED  IN  SUBPARAGRAPH  (C)  OF  PARAGRAPH  THREE  OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE  CODE,  SHALL  NOT  BE  INCLUDED IN THE AVERAGE NUMBER OF INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH (A) OR SUBPARAGRAPH  (B)  OF  THIS  PARAGRAPH,
UNLESS  SUCH  RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT UNDER THIS
SUBSECTION WITH RESPECT TO SUCH EMPLOYEES.  FOR  THE  PURPOSES  OF  THIS
SUBPARAGRAPH,  A  "RELATED  PERSON"  SHALL INCLUDE AN ENTITY WHICH WOULD
HAVE QUALIFIED AS A "RELATED PERSON" TO THE TAXPAYER IF IT HAD NOT  BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (D)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL
MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH (A) OR
(B) OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
EMPIRE ZONE WAGES FOR MORE THAN HALF THE TAXABLE YEAR SHALL NOT APPLY IN
THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING THE CRITERIA  SET  FORTH
IN  THIS  SUBPARAGRAPH.  IN  SUCH  A CASE, THE CREDIT ALLOWED UNDER THIS
SUBSECTION SHALL BE COMPUTED BY  UTILIZING  THE  NUMBER  OF  INDIVIDUALS
(EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME BY THE TAXPAY-
ER  ON  THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER SHALL SATISFY
THE FOLLOWING CRITERIA: (I) SUCH  TAXPAYER  ACQUIRED  REAL  OR  TANGIBLE
PERSONAL  PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY WHICH IS
NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION  (G)  OF
SECTION  FOURTEEN  OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF SUCH
TAXPAYER SHALL BE A SHORT TAXABLE YEAR OF NOT MORE THAN SEVEN MONTHS  IN
DURATION;  AND (III) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME ON THE
LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED NINETY
AND SUBSTANTIALLY ALL OF SUCH  INDIVIDUALS  MUST  HAVE  BEEN  PREVIOUSLY
EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED ITS ASSETS.
  PROVIDED,  FURTHER,  HOWEVER, THAT THE CREDIT PROVIDED FOR HEREIN WITH
RESPECT TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE  TAXA-
BLE  YEAR,  DEDUCTED  FROM THE TAX OTHERWISE DUE, MAY NOT, IN THE AGGRE-
GATE, EXCEED FIFTY PERCENT OF THE TAX  IMPOSED  UNDER  SECTION  FOURTEEN
HUNDRED FIFTY-FIVE OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (5)  THE  CREDIT  AND  CARRYOVERS  OF  SUCH  CREDIT ALLOWED UNDER THIS
SUBSECTION FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE  THE
TAX  DUE  FOR SUCH YEAR TO LESS THAN THE MINIMUM TAX FIXED BY SUBSECTION
(B) OF SECTION FOURTEEN HUNDRED FIFTY-FIVE OF THIS ARTICLE. HOWEVER,  IF
THE  AMOUNT  OF  CREDIT  OR  CARRYOVERS OF SUCH CREDIT, OR BOTH, ALLOWED
UNDER THIS SUBSECTION FOR ANY TAXABLE  YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  OR  IF  ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT MAY

S. 5491                            30

NOT BE DEDUCTED FROM THE TAX  OTHERWISE  DUE  BY  REASON  OF  THE  FINAL
SENTENCE IN PARAGRAPH FOUR HEREOF, ANY AMOUNT OF CREDIT OR CARRYOVERS OF
SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO  THE  FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE TAXPAYER'S
TAX FOR SUCH YEAR OR YEARS.
  (5-A) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  S 23. Section 1511 of the tax law is amended by adding a new  subdivi-
sion (aa) to read as follows:
  (AA)  GREEN  ECONOMIC DEVELOPMENT ZONE CAPITAL CREDIT.  (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS  ARTICLE.  THE
AMOUNT OF THE CREDIT SHALL BE EQUAL TO TWENTY-FIVE PERCENT OF THE SUM OF
THE FOLLOWING INVESTMENTS AND CONTRIBUTIONS MADE DURING THE TAXABLE YEAR
AND CERTIFIED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT: (A) FOR TAXA-
BLE YEARS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND TWELVE, QUALIFIED
INVESTMENTS  MADE IN, OR CONTRIBUTIONS IN THE FORM OF DONATIONS MADE TO,
ONE OR MORE GREEN ECONOMIC DEVELOPMENT ZONE CAPITAL  CORPORATIONS  PRIOR
TO  JANUARY  FIRST,  TWO  THOUSAND  TWELVE, (B) QUALIFIED INVESTMENTS IN
CERTIFIED ZONE BUSINESSES WHICH DURING THE  TWELVE  MONTH  PERIOD  IMME-
DIATELY  PRECEDING  THE  MONTH IN WHICH SUCH INVESTMENT IS MADE EMPLOYED
FULL-TIME WITHIN THE STATE AN AVERAGE NUMBER OF  INDIVIDUALS,  EXCLUDING
GENERAL  EXECUTIVE  OFFICERS,  OF  TWO  HUNDRED FIFTY OR FEWER, COMPUTED
PURSUANT TO THE PROVISIONS OF  SUBPARAGRAPH  (C)  OF  PARAGRAPH  TWO  OF
SUBDIVISION  (G)  OF  THIS SECTION, EXCEPT FOR INVESTMENTS MADE BY OR ON
BEHALF OF AN OWNER OF THE BUSINESS, INCLUDING, BUT  NOT  LIMITED  TO,  A
STOCKHOLDER,  PARTNER  OR  SOLE  PROPRIETOR,  OR  ANY RELATED PERSON, AS
DEFINED IN SUBPARAGRAPH (C) OF PARAGRAPH  THREE  OF  SUBSECTION  (B)  OF
SECTION  FOUR  HUNDRED  SIXTY-FIVE OF THE INTERNAL REVENUE CODE, AND (C)
CONTRIBUTIONS OF MONEY TO COMMUNITY DEVELOPMENT PROJECTS AS  DEFINED  IN
REGULATIONS  PROMULGATED  BY  THE  COMMISSIONER OF ECONOMIC DEVELOPMENT.
"QUALIFIED INVESTMENTS" MEANS THE CONTRIBUTION OF PROPERTY TO  A  CORPO-
RATION  IN  EXCHANGE FOR ORIGINAL ISSUE CAPITAL STOCK OR OTHER OWNERSHIP
INTEREST, THE CONTRIBUTION OF PROPERTY TO A PARTNERSHIP IN EXCHANGE  FOR
AN INTEREST IN THE PARTNERSHIP, AND SIMILAR CONTRIBUTIONS IN THE CASE OF
A  BUSINESS  ENTITY NOT IN CORPORATE OR PARTNERSHIP FORM IN EXCHANGE FOR
AN OWNERSHIP INTEREST IN SUCH ENTITY. THE TOTAL AMOUNT OF CREDIT  ALLOW-
ABLE  TO  A  TAXPAYER  UNDER  THIS PROVISION FOR ALL YEARS, TAKEN IN THE
AGGREGATE, SHALL NOT EXCEED THREE HUNDRED THOUSAND  DOLLARS,  AND  SHALL
NOT  EXCEED ONE HUNDRED THOUSAND DOLLARS WITH RESPECT TO THE INVESTMENTS
AND CONTRIBUTIONS DESCRIBED IN EACH OF SUBPARAGRAPHS (A), (B) AND (C) OF
THIS PARAGRAPH.
  (2) THE CREDIT AND CARRYOVER OF SUCH CREDIT ALLOWED UNDER THIS  SUBDI-
VISION  FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE TAX
DUE FOR SUCH YEAR TO LESS THAN THE MINIMUM FIXED BY  PARAGRAPH  FOUR  OF
SUBDIVISION  (A)  OF  SECTION  FIFTEEN HUNDRED TWO OF THIS ARTICLE OR BY
SECTION FIFTEEN HUNDRED TWO-A OF THIS ARTICLE, WHICHEVER IS  APPLICABLE.
HOWEVER,  IF THE AMOUNT OF CREDIT OR CARRYOVERS OF SUCH CREDIT, OR BOTH,
ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE  TAX  TO
SUCH  AMOUNT,  OR IF ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT
MAY NOT BE DEDUCTED FROM THE TAX OTHERWISE DUE BY REASON  OF  THE  FINAL
SENTENCE  OF  THIS PARAGRAPH, ANY AMOUNT OF CREDIT OR CARRYOVERS OF SUCH
CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED  OVER  TO
THE  FOLLOWING  YEAR  OR YEARS AND MAY BE DEDUCTED FROM THE TAX FOR SUCH

S. 5491                            31

YEAR OR YEARS. IN ADDITION, THE AMOUNT OF SUCH CREDIT, AND CARRYOVERS OF
SUCH CREDIT TO THE TAXABLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE MAY
NOT, IN THE AGGREGATE, EXCEED FIFTY  PERCENT  OF  (I)  IN  THE  CASE  OF
TAXPAYERS  SUBJECT  TO  TAX  UNDER  SUBDIVISION  (B)  OF SECTION FIFTEEN
HUNDRED TEN OF THIS ARTICLE, THE LESSER OF (I)  THE  LIMITATION  ON  TAX
COMPUTED PURSUANT TO SUBDIVISION (A) OF SECTION FIFTEEN HUNDRED FIVE, OR
(II)  THE GREATER OF THE SUM OF THE TAXES IMPOSED UNDER SECTIONS FIFTEEN
HUNDRED ONE AND FIFTEEN HUNDRED TEN OR THE AMOUNT OF TAX COMPUTED PURSU-
ANT TO SUBDIVISION (B) OF SECTION FIFTEEN HUNDRED FIVE, OR (II) FOR  ALL
OTHER  INSURANCE  CORPORATIONS,  THE  TAX  IMPOSED UNDER SECTION FIFTEEN
HUNDRED TWO-A OF THIS ARTICLE, COMPUTED WITHOUT  REGARD  TO  ANY  CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (2-A)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED TO A GREEN ECONOMIC DEVELOPMENT ZONE  ENTERPRISE  WHICH  IS  THE
BASIS  OF  THE  CREDIT,  IF  A GREEN ECONOMIC DEVELOPMENT ZONE RETENTION
CERTIFICATE IS NOT ISSUED TO SUCH ENTITY PURSUANT  TO  RULES  AND  REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT.
  (3)  WHERE THE STOCK, PARTNERSHIP INTEREST OR OTHER OWNERSHIP INTEREST
ARISING FROM A QUALIFIED INVESTMENT AS DESCRIBED  IN  SUBPARAGRAPHS  (A)
AND (B) OF PARAGRAPH ONE OF THIS SUBDIVISION IS DISPOSED OF, THE TAXPAY-
ER'S  ENTIRE  NET  INCOME  SHALL  BE  COMPUTED,  PURSUANT TO REGULATIONS
PROMULGATED BY THE COMMISSIONER, SO AS TO PROPERLY REFLECT  THE  REDUCED
COST  THEREOF  ARISING  FROM  THE APPLICATION OF THE CREDIT PROVIDED FOR
HEREIN.
  (4)(A) WHERE A TAXPAYER SELLS,  TRANSFERS  OR  OTHERWISE  DISPOSES  OF
CORPORATE  STOCK,  A  PARTNERSHIP  INTEREST  OR OTHER OWNERSHIP INTEREST
ARISING FROM THE MAKING OF A QUALIFIED INVESTMENT WHICH WAS  THE  BASIS,
IN  WHOLE OR IN PART, FOR THE ALLOWANCE OF THE CREDIT PROVIDED FOR UNDER
THIS SUBDIVISION, OR WHERE A CONTRIBUTION OR INVESTMENT  WHICH  WAS  THE
BASIS  FOR  SUCH ALLOWANCE IS IN ANY MANNER, IN WHOLE OR IN PART, RECOV-
ERED BY SUCH TAXPAYER, AND SUCH DISPOSITION OR  RECOVERY  OCCURS  DURING
THE TAXABLE YEAR OR WITHIN THIRTY-SIX MONTHS FROM THE CLOSE OF THE TAXA-
BLE  YEAR WITH RESPECT TO WHICH SUCH CREDIT IS ALLOWED, SUBPARAGRAPH (B)
OF THIS PARAGRAPH SHALL APPLY.
  (B) THE TAXPAYER SHALL ADD BACK WITH RESPECT TO THE  TAXABLE  YEAR  IN
WHICH  THE DISPOSITION OR RECOVERY DESCRIBED IN SUBPARAGRAPH (A) OF THIS
PARAGRAPH  OCCURRED  THE  REQUIRED  PORTION  OF  THE  CREDIT  ORIGINALLY
ALLOWED.
  (C) THE REQUIRED PORTION OF THE CREDIT ORIGINALLY ALLOWED SHALL BE THE
PRODUCT  OF  (I) THE PORTION OF SUCH CREDIT ATTRIBUTABLE TO THE PROPERTY
DISPOSED OF OR THE PAYMENT OR CONTRIBUTION RECOVERED AND (II) THE APPLI-
CABLE PERCENTAGE.
  (D) THE APPLICABLE PERCENTAGE SHALL BE:
  (I) ONE HUNDRED PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS  WITHIN
THE  TAXABLE  YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED OR WITHIN
TWELVE MONTHS OF THE END OF SUCH TAXABLE YEAR,
  (II) SIXTY-SEVEN PERCENT, IF THE DISPOSITION OR RECOVERY  OCCURS  MORE
THAN  TWELVE  BUT  NOT MORE THAN TWENTY-FOUR MONTHS AFTER THE END OF THE
TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED, OR
  (III) THIRTY-THREE PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS MORE
THAN TWENTY-FOUR BUT NOT MORE THAN THIRTY-SIX MONTHS AFTER  THE  END  OF
THE TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED.
  S  24. Section 66 of the public service law is amended by adding a new
subdivision 12-d to read as follows:
  12-D. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, UPON APPLICATION  OF
A  GAS  OR  ELECTRIC  CORPORATION,  THE  COMMISSION SHALL AUTHORIZE SUCH

S. 5491                            32

CORPORATION TO CHARGE A SPECIAL GREEN  ECONOMIC  DEVELOPMENT  ZONE  RATE
EQUAL  TO  THE INCREMENTAL COST OF PROVIDING SERVICE TO CUSTOMERS CERTI-
FIED AS ELIGIBLE FOR SUCH RATE PURSUANT TO  ARTICLE  EIGHTEEN-D  OF  THE
GENERAL MUNICIPAL LAW.
  S 25. This act shall take effect immediately.

S5491A - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491A - Bill Texts

view summary

Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

view sponsor memo
BILL NUMBER:S5491A

TITLE OF BILL:
An act
to amend the general municipal law, the
real property tax law, the
general city law, the tax law and the public service law, in relation to
enacting the New York state green economic development zones act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the
Green Enterprise Trade Zone, which is a designated area of in the
commercial and/or industrial zoned area of Staten Island, that would
attract companies producing goods and services for the Green
Environmental Standards that government is mandating and leverage
green business strategies and green technology, with tax exemptions
to accelerate investment in our City and State green tech and clean
tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of this bill states the name of the act.

Section 2 amends section 499-aa of the real property tax law by adding
paragraph (b-1) which includes "green zones" in the abatement zone in
New York City.

Section 3 amends paragraphs (b),(c)and (d) of subdivision 10 of
section 499-aa of the real property tax law. Paragraphs (b), (c) and
(d) add the green zone provisions in regard to abatement zones.

Section 4 adds two new subdivisions, 14-b and 14-c to section 499-aa
of the real property tax law. 14-b defines "green business" as a
business that has its primary source of revenue of services in the
following areas: (i) green house gas emission for reduction
technologies; (ii) the assembly of essential components for a
clean-fueled vehicle; or (iii) energy efficiency technologies.
Section 14-b proceeds to define what each provision of services
means. 14-c of the subdivision determines which area of the borough
of Staten Island will be considered a "green zone" based on the New
York City department of city planning zoning maps.

Section 5 amends paragraph (b) of subdivision 28 of section 499-aa of
the real property tax law in regards to adding a green business in a
green zone to (as defined by subdivision 14-b) to what is considered
an eligible building or eligible premise.

Section 6 adds subdivisions 1-c to 499-bb to the real property tax
law. 1-c deals with the effective date and the benefits of a green
business in a green zone. If a green business is located in a green
zone and has a lease on or after July 1st, 2011 for no less than 3
years, shall receive an abatement of real property taxes for each

year of the benefit period equal to the product obtained by
multiplying the tenant's percentage share by the number of square
feet in the eligible building.

Section 7 defines "eligible business" and addresses the time when a
green business can relocate into a green zone. This section
determines that on or after July 1st 2011, a green business can
enter into a contract to purchase of lease premises in a green zone.

Section 8 amends section 25-y of the general city law adding two new
subdivision, (a-1) and (a-2). A-1 defines "green business" as any
person that conducts eligible green activities and is subject to a
tax imposed under a local law. A-2 defines "green zone" and lists the
areas of Staten Island that are considered to be green zones.

Section 9 amends section 25-y of the general city law by adding
paragraph 4 in regard to nonresidential premises located entirely in
real property located partially or entirely in a green zone.

Section 10 amends subdivision (f) of the general city regarding
"eligible area", adding a provision that states when a green business
relocates after July 1st, 2011, an eligible area shall include a
green zone.

Section 11 deals with subdivision 25-y of the general business law
concerning "revitalization area" adding "green zones" to the
definition after July 1st, 2011.

Section 12 amends subdivision (a) section 25-s of the general city law
adding paragraph 1-a.
1-a is a provision that states that-a green business relocating after
July 1st, 2011, is a green zone.

Section 13, 14, & 15 amends section 25-s of the general city law.

Section 16 amends the real property tax law by adding a new section
485-n.

Section 17 amends the tax law by adding a new subdivision 11.

Section 18 amends section 210 of the tax law by adding two new
subdivisions 12-H and 12-I.

Section 19 amends the tax law by adding a new subdivision 43.

Section 20 adds a new clause (xxxii) to the tax law.

Section 21 amends section 606 of the tax law by adding a new
subsection (qq).

Section 22 amends section 1456 of the tax law by adding new subsection.

Section 23 amends section 1511 of the tax law by adding subdivision (aa).

JUSTIFICATION:
The Green Zone is a geographically designated area of
Staten Island aimed at attracting companies that produce Green goods
and services, or who utilize Green technology. The Green Zone
attracts companies who work within the sphere of smart growth and
environmentally friendly development and research. The Green Zone
acts as a "go to place" for the entrepreneur who is prepared to put
their technology into production and the market. Staten Island has a
rich history of manufacturing and industrial production and a strong
base for skilled labor. Advances in Green technology allow for
increased and diversified employment and production on Staten Island.
Businesses that take measurable steps in increasing energy and
material efficiency will be the standard-bearers for increased Green
initiatives throughout the region. The Green Zone and the initiatives
of Green Zone companies will educate local companies and residents
about the Green economy. This education and availability of resources
will allow for efficiency retrofits, professional support and
guidance for companies seeking financial incentives for Green
investment, promote Green Collar job retraining options, improve
alternative energy development. and attract Green businesses
that create sustainable employment opportunities for
Islanders.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and
leaving the Foreign Trade Zone, promotes trade and economic
development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the
outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies
and the production of green technology thus creating an area where
the investment community can focus on green product development. as
well as, an area where green products can be manufactured. This zone
will establish a location where companies focusing on green economic
development can come together to individually and jointly spur
development of a more green state.

Most importantly, the Green Zone Act will be a tax exemption on
business profits for a fixed period of time. The tax exemption on
business profits would stimulate green economic development and
accelerate the developing clean tech industries that locate within
the zone, allowing lower cost for green products sold in New York
City and State, the largest market in the United States. Tax
exemption worked for the Foreign Trade Zones, it will work for Green
Zones.

PRIOR LEGISLATIVE HISTORY:

2010: A.10662 - Died in Economic Development.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                 5491--A

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  committee  discharged,  bill amended, ordered reprinted as amended and
  recommitted to said committee

AN ACT to amend the general municipal law, the real  property  tax  law,
  the  general  city  law,  the  tax  law and the public service law, in
  relation to enacting the New York  state  green  economic  development
  zones act

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

  Section 1. This act shall be known and may be cited as the  "New  York
state green economic development zones act."
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
        974-D. RESPONSIBILITIES OF THE COMMISSIONER.
        974-E. DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE.
        974-F. APPLICATION  FOR  GREEN  ECONOMIC DEVELOPMENT ZONE DESIG-
                 NATION.
        974-G. GREEN ECONOMIC DEVELOPMENT ZONE DEVELOPMENT PLAN.
        974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE.
        974-I. DESIGNATION OF  GREEN  ECONOMIC  DEVELOPMENT  ZONE  AS  A
                 FEDERAL GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.
        974-J. DIVISION OF TAXES BY GOVERNMENT BODIES.
        974-K. DISPOSITION OF PROPERTY.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-03-1

S. 5491--A                          2

        974-L. TERMINATION  OR REVERSION OF A GREEN ECONOMIC DEVELOPMENT
                 ZONE.
  S  974.   SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
THE "NEW YORK GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S 974-A.  LEGISLATIVE FINDINGS AND DECLARATION.   IT IS  HEREBY  FOUND
AND  DECLARED  THAT  THERE EXISTS WITHIN THE STATE THE NEED TO STIMULATE
EMPLOYMENT AND MORE EFFICIENT TRANSPORTATION BY UTILIZING  THE  EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF  THE  STATE,  IMPROVE  THE  STATE'S ENVIRONMENTAL QUALITY OF LIFE AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO STIMULATE PRIVATE INVESTMENT, PRIVATE BUSINESS  DEVELOPMENT  AND  JOB
CREATION.  IT  IS THE PUBLIC POLICY OF THE STATE TO OFFER SPECIAL INCEN-
TIVES AND ASSISTANCE THAT WILL PROMOTE  THE  DEVELOPMENT  OF  NEW  GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED  AREAS  AND  TO  DO SO WITHOUT ENCOURAGING THE RELOCATION OF BUSINESS
INVESTMENT FROM OTHER AREAS OF  THE  STATE.  IT  IS  FURTHER  FOUND  AND
DECLARED  THAT  IT  IS  THE  PUBLIC POLICY OF THE STATE TO ACHIEVE THESE
GOALS THROUGH THE MUTUAL COOPERATION OF ALL LEVELS OF  STATE  AND  LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S  974-B.  DEFINITIONS.  AS  USED IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS  UNLESS  THE  CONTEXT  SHALL  INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A)  "APPLICANT"  SHALL MEAN THE COUNTY, CITY, TOWN OR VILLAGE SUBMIT-
TING AN APPLICATION IN THE MANNER AUTHORIZED BY  LOCAL  LAW  FOR  DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B)  "ENTERPRISE"  SHALL MEAN A BUSINESS ENTERPRISE THAT IS AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C) "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES  IN
ONE  OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH AND
DEVELOPMENT AND THE APPLICATION AND INSTALLATION OF GREEN  PRODUCTS  AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE  GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION COMPA-
NIES INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR  PANEL
PRODUCTION  OR  ASSEMBLY,  WIND  TURBINE  PRODUCTION OR ASSEMBLY, CARBON
CAPTURE AND STORAGE MECHANISM, CLEAN  FUEL  VEHICLES,  RENEWABLE  ENERGY
DEVELOPMENT,  OR  ENERGY EFFICIENCY TECHNOLOGIES. GREEN PRODUCTION SHALL
ALSO INCLUDE, BUT SHALL NOT BE LIMITED TO, THE  FOLLOWING:    (1)  GREEN
HOUSE  EMISSION  REDUCTION  TECHNOLOGIES;  (2) THE ASSEMBLY OF ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES"  SHALL  MEAN  AND
INCLUDE,  BUT  NOT  BE  LIMITED TO: (I) COGENERATION TECHNOLOGIES, WHICH
SHALL MEAN ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE  HEAT  FROM
ON-SITE  ELECTRICAL  GENERATION PROCESS IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND WHICH ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED  BY  THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND
ELECTRICAL PROCESS TOGETHER; (II) FURNACE AND  BOILER  REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT  THE  NEW OR RETROFITTED FURNACES AND BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN 0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED  VEHI-
CLES  OR  THE  CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES;
AND (IV) OTHER MEASURES THAT WILL  REDUCE  THE  DEMAND  FOR  AND/OR  THE

S. 5491--A                          3

CONSUMPTION  OF  ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT
OF ENVIRONMENTAL CONSERVATION WITH THE NEW YORK  STATE  ENERGY  RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY  AS  DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE AND SALE OF LOW VOC PAINTS,  LOW  ENERGY  RADIANT  FLOORING,  WHITE,
COATED,  OR  GREEN ROOF INSTALLATION, RECOVERY AND RECYCLING PROCESSING,
REPLACEMENT OF INEFFICIENT TECHNOLOGIES, CLEAN-FUEL  VEHICLE  SALES  AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G) "GREEN APPLICATION AND INSTALLATION" IS  THE  ACT  OF  A  PROPERTY
OWNER  OR  TENANT  INSTALLING  OR  USING A TYPE OF GREEN TECHNOLOGY THAT
RESULTS IN GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER  ENERGY  EFFI-
CIENCY  TECHNOLOGIES  AND  SHALL  ALSO INCLUDE CERTAIN WORK PERFORMED BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION TECHNOLOGY RETROFITTING, GREEN ROOF INSTALLATION, LOW  FLOW  WATER
FIXTURE  INSTALLATION,  CLEAN-FUEL  VEHICLE  UTILIZATION, GREENHOUSE GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  (D) "COMMISSIONER" SHALL MEAN THE COMMISSIONER  OF  ECONOMIC  DEVELOP-
MENT.
  S  974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION. TO
BE ELIGIBLE FOR DESIGNATION AS A GREEN  ECONOMIC  DEVELOPMENT  ZONE  THE

S. 5491--A                          4

AREA  MUST  BE  DESIGNATED BY THE FEDERAL GOVERNMENT AS A GREEN ECONOMIC
DEVELOPMENT ZONE OR GREEN ENTERPRISE ZONE AND BE DEFINED  BY  PRE-DESIG-
NATED BOUNDARIES.
  S 974-D. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A)  AFTER CONSULTATION WITH ALL APPROPRIATE DIRECTORS AND COMMISSION-
ERS OF STATE AGENCIES PROMULGATE REGULATIONS GOVERNING THE  CRITERIA  OF
ELIGIBILITY FOR LOCAL GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATIONS;
  (B)  RECEIVE AND REVIEW APPLICATIONS FOR DESIGNATION OF AREAS AS LOCAL
GREEN ECONOMIC DEVELOPMENT ZONES;
  (C) PROMULGATE REGULATIONS, IN CONSULTATION WITH THE  COMMISSIONER  OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION  SYSTEM,  WHICH IS CAPABLE OF COMPILING AND ANALYZING ACCURATE AND
CONSISTENT INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER  STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET; AND
  (D) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S  974-E.  DESIGNATION  OF  GREEN ECONOMIC DEVELOPMENT ZONE. THE GREEN
ECONOMIC DEVELOPMENT ZONE SHALL BE IN COORDINATION AND  CORRESPOND  WITH
THE FEDERAL DESIGNATION OF GREEN ENTERPRISE DEVELOPMENT ZONES.
  S  974-F. APPLICATION FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
A CITY, COUNTY (OTHER THAN A COUNTY WHOLLY  CONTAINED  WITHIN  A  CITY),
TOWN  OR VILLAGE MAY ADOPT A LOCAL LAW AUTHORIZING SUCH MUNICIPAL CORPO-
RATION TO PREPARE AND SUBMIT AN APPLICATION TO THE DEPARTMENT OF ECONOM-
IC DEVELOPMENT FOR DESIGNATION OF AN AREA THEREIN AS  A  GREEN  ECONOMIC
DEVELOPMENT  ZONE; AND THE ADOPTION OF SUCH A LOCAL LAW BY THE MUNICIPAL
CORPORATION WITHIN WHICH THE PROPOSED GREEN ECONOMIC DEVELOPMENT ZONE IS
TO BE LOCATED SHALL BE A PREREQUISITE TO THE SUBMISSION OF  AN  APPLICA-
TION FOR SUCH DESIGNATION. SUCH LOCAL LAW SHALL ALSO DESIGNATE THE BOUN-
DARIES OF SUCH AREA.
  S  974-G.  GREEN  ECONOMIC  DEVELOPMENT ZONE DEVELOPMENT PLAN. A GREEN
ECONOMIC DEVELOPMENT ZONE DEVELOPMENT  PLAN  SHALL  BE  FILED  WITH  THE
DEPARTMENT  OF  ECONOMIC  DEVELOPMENT, AND WITH THE LOCAL GREEN ECONOMIC
DEVELOPMENT ZONE BODY, AND SHALL DEMONSTRATE THE METHODS  BY  WHICH  THE
APPLICANT  INTENDS  TO PROMOTE THE DEVELOPMENT OF NEW GREEN BUSINESS AND
THE EXPANSION OF EXISTING BUSINESS DEVELOPING  GREEN  TECHNOLOGY  WITHIN
THE GREEN ECONOMIC DEVELOPMENT ZONE.
  S  974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE. THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE  CERTIFICATION  SHALL  BE  BY  THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE BODY.
  S  974-I.  DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE AS A FEDERAL
GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.   (FEDERAL GREEN  ENTERPRISE
ECONOMIC DEVELOPMENT ZONE PROPOSED)
  S 974-J. DIVISION OF TAXES BY GOVERNMENT BODIES. THE GOVERNING BODY OF
ANY  CITY, TOWN, VILLAGE OR COUNTY IN WHICH A GREEN ECONOMIC DEVELOPMENT
ZONE IS LOCATED IS HEREBY AUTHORIZED AND EMPOWERED TO ADOPT A LOCAL  LAW
PROVIDING  THAT  ANY  TAXES  LEVIED  BY OR ON BEHALF OF SUCH CITY, TOWN,
VILLAGE OR COUNTY UPON TAXABLE REAL PROPERTY IN SUCH ZONE MAY BE  EXEMPT
FOR A TEN-YEAR PERIOD.
  S 974-K. DISPOSITION OF PROPERTY. (A) NOTWITHSTANDING ANY PROVISION OF
ANY  OTHER  LAW TO THE CONTRARY, IN ORDER TO FURTHER THE PURPOSES OF THE
GREEN ECONOMIC DEVELOPMENT ZONE, ANY REAL OR PERSONAL  PROPERTY  LOCATED
WITHIN  A GREEN ECONOMIC DEVELOPMENT ZONE AND OWNED BY ANY LOCAL GOVERN-
MENTAL ENTITY IN WHOSE JURISDICTION A GREEN ECONOMIC DEVELOPMENT ZONE IS
LOCATED, MAY BE SOLD OR LEASED FOR  A  TERM  NOT  EXCEEDING  NINETY-NINE
YEARS  TO A PRIVATE USER, A COMMUNITY-BASED ORGANIZATION, A PUBLIC BENE-
FIT CORPORATION OR  ANY  OTHER  PERSON;  PROVIDED,  HOWEVER,  THAT  EACH
CONTRACT FOR SUCH SALE, AND EACH SUCH LEASE, SHALL OBLIGATE THE BUYER OR

S. 5491--A                          5

LESSEE  TO  COMPLY  WITH  THE  PROVISIONS  OF THIS ARTICLE AND THE GREEN
ECONOMIC DEVELOPMENT ZONE PLAN FILED WITH THE COMMISSIONER  PURSUANT  TO
SECTION  NINE  HUNDRED  SEVENTY-FOUR-G OF THIS ARTICLE. SUCH OBLIGATIONS
CONTAINED  IN  A  CONTRACT  FOR  THE SALE OF REAL PROPERTY SHALL SURVIVE
DELIVERY OF THE DEED. A BREACH BY THE BUYER  OR  LESSEE  OF  A  MATERIAL
OBLIGATION  OF  SUCH  CONTRACT  OR LEASE SHALL, IN ADDITION TO ANY OTHER
REMEDIES AVAILABLE TO THE SELLER OR LESSOR UNDER THE CONTRACT, TERMINATE
THE ELIGIBILITY OF THE BUYER OR LESSEE FOR ANY BENEFITS PROVIDED IN THIS
ARTICLE.
  S 974-L. TERMINATION OR REVERSION  OF  A  GREEN  ECONOMIC  DEVELOPMENT
ZONE. (A) EXCEPT AS PROVIDED IN THIS SECTION, ANY DESIGNATION OF AN AREA
AS  A  GREEN ECONOMIC DEVELOPMENT ZONE SHALL REMAIN IN EFFECT DURING THE
PERIOD BEGINNING ON THE DATE OF DESIGNATION AND ENDING TEN YEARS  THERE-
AFTER.  AFTER  CONSULTATION  WITH  THE  DIRECTOR  OF  THE BUDGET AND THE
COMMISSIONER OF LABOR, THE COMMISSIONER MAY TERMINATE THE DESIGNATION OF
AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE UPON A FINDING THAT (1) THE
APPLICANT HAS FAILED  SUBSTANTIALLY  TO  IMPLEMENT  THE  GREEN  ECONOMIC
DEVELOPMENT ZONE DEVELOPMENT PLAN WITHIN THE TIME STATED THEREIN; OR (2)
THERE HAS BEEN NO SUBSTANTIAL BUSINESS DEVELOPMENT OR JOB CREATION WITH-
IN  THE AREA DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE WITHIN FIVE
YEARS AFTER SUCH DESIGNATION; PROVIDED,  HOWEVER,  THAT  NO  TERMINATION
SHALL OCCUR UNLESS AND UNTIL WRITTEN NOTICE HAS BEEN GIVEN TO THE APPLI-
CANT  AND A PUBLIC HEARING HAS BEEN HELD THIRTY DAYS PRIOR TO THE EFFEC-
TIVE DATE OF SUCH TERMINATION.
  (B) UPON THE TERMINATION OF  A  GREEN  ECONOMIC  DEVELOPMENT  ZONE  AS
PROVIDED  IN  THIS  SECTION,  THE COMMISSIONER SHALL FILE NOTICE OF SUCH
TERMINATION.
  S 3. Subdivision 2 of section 499-aa of the real property tax  law  is
amended by adding a new paragraph (b-1) to read as follows:
  (B-1)  IN  ADDITION  TO THE ABATEMENT ZONE SET FORTH IN PARAGRAPHS (A)
AND (B) OF THIS SUBDIVISION, IN THE CITY OF NEW YORK THE ABATEMENT  ZONE
SHALL INCLUDE A "GREEN ZONE" AS DEFINED IN THIS SECTION.
  S  4.  Paragraphs (b), (c) and (d) of subdivision 10 of section 499-aa
of the real property tax law, paragraphs (b)  and  (c)  as  amended  and
paragraph  (d)  as added by chapter 403 of the laws of 2006, are amended
to read as follows:
  (b) With respect to the abatement zone defined  in  paragraph  (b)  OR
(B-1)  of subdivision two of this section, premises located in an eligi-
ble building that are (i) occupied or used as offices (including  ancil-
lary  uses) or are occupied or used for other lawful commercial business
activities, but not premises occupied or used as  retail  space  or  for
hotel  or  residential purposes; or (ii) occupied or used for industrial
and manufacturing activities (including ancillary uses) OR  BY  A  GREEN
BUSINESS IN A GREEN ZONE, but not premises occupied or used for hotel or
residential purposes; and
  (c)  With  respect  to  the abatement zone defined in paragraph (c) of
subdivision two of this section, premises located in an eligible  build-
ing  that  are  occupied or used for industrial and manufacturing activ-
ities (including ancillary uses) OR USED BY A GREEN BUSINESS IN A  GREEN
ZONE,  but  not  premises  occupied  or  used  for  hotel or residential
purposes.
  (d) Notwithstanding the provisions of subparagraph (ii)  of  paragraph
(b)  or paragraph (c) of this subdivision, premises located in an eligi-
ble building shall not be eligible for the tax abatement granted  pursu-
ant  to subdivision one-b of section four hundred ninety-nine-bb of this
title unless at least fifty percent of the aggregate floor area of  such

S. 5491--A                          6

premises is occupied or used for industrial and manufacturing activities
(exclusive  of  ancillary  uses) as defined in subdivision fourteen-a of
this section OR BY A GREEN BUSINESS AS DEFINED IN SUBDIVISION FOURTEEN-B
OF THIS SECTION.
  S  5. Section 499-aa of the real property tax law is amended by adding
two new subdivisions 14-b and 14-c to read as follows:
  14-B. "GREEN BUSINESS." A "GREEN BUSINESS" SHALL  BE  DEFINED  AS  ONE
THAT  PRIMARILY  OPERATES  IN  ONE  OR  MORE  OF FOUR AREAS: PRODUCTION,
SERVICE AND REPAIR, RESEARCH AND DEVELOPMENT  AND  THE  APPLICATION  AND
INSTALLATION  OF GREEN PRODUCTS AND SERVICES. A GREEN PRODUCTION COMPANY
IS A COMPANY DEALING PRIMARILY WITH THE MANUFACTURING  AND  DISTRIBUTION
OF  ENERGY EFFICIENCY TECHNOLOGIES AND GREENHOUSE GAS EMISSION REDUCTION
TECHNOLOGIES. GREEN PRODUCTION COMPANIES INCLUDE, BUT  ARE  NOT  LIMITED
TO,  BIO  FUEL  DEVELOPMENT,  SOLAR  PANEL  PRODUCTION OR ASSEMBLY, WIND
TURBINE PRODUCTION OR ASSEMBLY, CARBON CAPTURE  AND  STORAGE  MECHANISM,
CLEAN  FUEL VEHICLES, RENEWABLE ENERGY DEVELOPMENT, OR ENERGY EFFICIENCY
TECHNOLOGIES. GREEN PRODUCTION SHALL ALSO  INCLUDE,  BUT  SHALL  NOT  BE
LIMITED TO, THE FOLLOWING:
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE BUT NOT BE LIMITED  TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT NEW OR RETROFITTED FURNACES AND  BOILERS  SHALL
NOT  AT  ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE CONVERSION OF EXISTING VEHICLES TO CLEAN FUELED VEHICLES;  AND  (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY.
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN.
  (C) "ENERGY EFFICIENCY TECHNOLOGIES"   SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY.
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-

S. 5491--A                          7

UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE  AND  SALE  OF  LOW  VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE,
COATED, OR GREEN ROOF INSTALLATION, RECOVERY AND  RECYCLING  PROCESSING,
REPLACEMENT  OF  INEFFICIENT  TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES.
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES.
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION  TECHNOLOGY  RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE INSTALLATION, CLEAN-FUEL  VEHICLE  UTILIZATION,  GREENHOUSE  GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  14-C.  "GREEN  ZONE." A GREEN ZONE SHALL BE THE AREA IN THE BOROUGH OF
STATEN ISLAND DEFINED BY THE FOLLOWING AREA BASED ON THE NEW  YORK  CITY
DEPARTMENT  OF  CITY PLANNING ZONING MAPS: BEGINNING AT THE INTERSECTION
OF THE NORTH SIDE OF THE FOOT OF THE GOETHALS BRIDGE AND THE US PIERHEAD
AND BULKHEAD LINE; THENCE  RUNNING  EASTERLY  3,214.78  FEET  ALONG  AND
PARALLEL  TO  THE  NORTH  SIDE  OF  THE GEOTHALS BRIDGE EXTENSION TO THE
CENTERLINE OF WESTERN AVENUE; THENCE RUNNING NORTH  93.71  FEET  TO  THE
CENTERLINE  OF  GOETHALS  ROAD  NORTH; THENCE RUNNING EAST 5,909.12 FEET
ALONG AND PARALLEL TO THE SOUTH SIDE OF GEOTHALS ROAD NORTH  TO  CENTER-
LINE  OF SOUTH AVENUE; THENCE RUNNING SOUTH 433.81 FEET ALONG AND PARAL-
LEL TO THE WEST SIDE OF SOUTH AVENUE TO THE CENTERLINE OF FAHEY  AVENUE;
THENCE  RUNNING EAST 424.89 FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF
FAHEY AVENUE TO THE CENTERLINE OF FELTON STREET;  THENCE  RUNNING  SOUTH
1,314.02  FEET  ALONG  AND PARALLEL TO THE WEST SIDE OF FELTON STREET TO
THE CENTERLINE OF LAMBERTS LANE; THENCE RUNNING SOUTH 790.62 FEET  ALONG
THE  FELTON  STREET LINE TO THE INTERSECTION OF GRAHAM AVENUE AND LANDER
AVENUE; THENCE RUNNING  SOUTH 3,413.10 FEET ALONG AND  PARALLEL  TO  THE
WEST  SIDE  OF  GRAHAM  AVENUE  TO  THE CENTERLINE OF VICTORY BOULEVARD;
THENCE RUNNING SOUTHEAST 3,114.21 FEET ALONG THE WEST  SIDE  OF  VICTORY
BOULEVARD  TO  THE  CENTERLINE  OF  TRAVIS  AVENUE;  THENCE RUNNING EAST
5,030.20 FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF TRAVIS  AVENUE  TO
THE  CENTERLINE  OF RICHMOND AVENUE; THENCE RUNNING SOUTH 12,265.02 FEET
ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO THE CENTERLINE
OF ARTHUR KILL ROAD; THENCE RUNNING  WEST  14,266.19    FEET  ALONG  AND
PARALLEL  TO  THE  NORTH  SIDE  OF ARTHUR KILL ROAD TO THE CENTERLINE OF
ROSSVILLE AVENUE; THENCE RUNNING NORTH 650 FEET ALONG THE LINE OF  ROSS-
VILLE  AVENUE  TO THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE

S. 5491--A                          8

RUNNING NORTH 34,553.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF  THE
US PIERHEAD AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S  6.  Paragraph  (b)  of subdivision 28 of section 499-aa of the real
property tax law, as added by chapter  403  of  the  laws  of  2006,  is
amended to read as follows:
  (b)  For  eligible  premises defined in subparagraph (ii) of paragraph
(b) or paragraph (c) of subdivision ten of this section, the  percentage
of  the eligible building's aggregate floor area allocated to the eligi-
ble premises to be occupied or used  for  industrial  and  manufacturing
activities OR BY A GREEN BUSINESS IN A GREEN ZONE, as defined in [subdi-
vision]  SUBDIVISIONS  fourteen-a AND FOURTEEN-B, AS THE CASE MAY BE, of
this section; provided that where the eligible premises includes  expan-
sion  premises,  the  "tenant's percentage share" shall be calculated on
the basis of the eligible  building's  aggregate  floor  area  allocated
solely  to  expansion premises to be occupied or used for industrial and
manufacturing activities OR BY THE GREEN BUSINESS IN THE GREEN ZONE.
  S 7. Section 499-bb of the real property tax law is amended by  adding
a new subdivision 1-c to read as follows:
  1-C.  WITHIN A CITY HAVING A POPULATION OF ONE MILLION OR MORE, ELIGI-
BLE BUILDINGS CONTAINING ELIGIBLE PREMISES AS  DEFINED  IN  SUBPARAGRAPH
(II)  OF  PARAGRAPH (B) OR PARAGRAPH (C) OF SUBDIVISION TEN AND OCCUPIED
BY GREEN BUSINESSES IN A GREEN ZONE AS DEFINED BY SUBDIVISION FOURTEEN-B
OF SECTION FOUR HUNDRED NINETY-NINE-AA OF THIS TITLE OCCUPIED OR USED BY
A TENANT PURSUANT TO A LEASE HAVING A  LEASE  COMMENCEMENT  DATE  ON  OR
AFTER  JULY FIRST, TWO THOUSAND ELEVEN WITH AN INITIAL LEASE TERM OF NOT
LESS THAN THREE YEARS, SHALL RECEIVE AN ABATEMENT OF REAL PROPERTY TAXES
FOR EACH YEAR OF THE BENEFIT PERIOD EQUAL TO THE PRODUCT OBTAINED BY (I)
MULTIPLYING THE TENANT'S  PERCENTAGE SHARE BY THE NUMBER OF SQUARE  FEET
IN  THE ELIGIBLE BUILDING, AS LISTED ON THE RECORDS OF THE DEPARTMENT OF
FINANCE, AND (II) MULTIPLYING THE PRODUCT OBTAINED IN PARAGRAPH  (I)  OF
THIS SUBDIVISION BY THE ABATEMENT BASE.
  S  8.  Subdivision  (a)  of  section  25-y of the general city law, as
amended by chapter 149 of the laws  of  1999,  is  amended  to  read  as
follows:
  (a)  "Eligible  business"  means  any  person subject to a tax imposed
under a local law enacted pursuant to part two or three of section  one,
or  section  two,  of  chapter  seven hundred seventy-two of the laws of
nineteen hundred sixty-six or a gross receipts tax imposed under a local
law enacted pursuant to subdivision (a) of section twelve hundred one of
the tax law that: (1) has been  conducting  substantial  business  oper-
ations  at  one  or more business locations outside an eligible area for
the twenty-four consecutive months  immediately  preceding  the  taxable
year  during which such eligible business relocates as defined in subdi-
vision (j) of this section OR, IF A GREEN BUSINESS, HAS BEEN  CONDUCTING
SUBSTANTIAL  BUSINESS  OPERATIONS OUTSIDE OF A GREEN ZONE; and (2) on or
after May twenty-seventh, nineteen  hundred  eighty-seven  relocates  as
defined  in subdivision (j) of this section all or part of such business
operations OR IF A GREEN BUSINESS HAS RELOCATED INTO A GREEN ZONE  AFTER
JULY  FIRST,  TWO  THOUSAND  ELEVEN;  and (3) either (i) on or after May
twenty-seventh,  nineteen  hundred  eighty-seven  first  enters  into  a
contract  to  purchase  or  lease  the premises to which it relocates as
defined in subdivision (j) of this section, or a parcel on which will be
constructed such premises, or (ii) as of  May  twenty-seventh,  nineteen
hundred  eighty-seven  owns such parcel or premises and has not prior to
such date made application for benefits pursuant to a local law  enacted
in  accordance with title two-D of article four of the real property tax

S. 5491--A                          9

law OR IF A GREEN BUSINESS, ON OR AFTER JULY FIRST, TWO THOUSAND ELEVEN,
ENTERS INTO A CONTRACT TO PURCHASE OR LEASE PREMISES IN A GREEN ZONE.
  S 9. Section 25-y of the general city law is amended by adding two new
subdivisions (a-1) and (a-2) to read as follows:
  (A-1)  "GREEN  BUSINESS" MEANS ANY PERSON THAT CONDUCTS ELIGIBLE GREEN
ACTIVITIES AS DEFINED IN THIS  SUBDIVISION  AND  IS  SUBJECT  TO  A  TAX
IMPOSED  UNDER  A  LOCAL  LAW  ENACTED  PURSUANT TO PART TWO OR THREE OF
SECTION ONE, OR SECTION TWO, OF CHAPTER SEVEN HUNDRED SEVENTY-TWO OF THE
LAWS OF NINETEEN HUNDRED SIXTY-SIX OR A GROSS RECEIPTS TAX IMPOSED UNDER
A LOCAL LAW ENACTED  PURSUANT  TO  SUBDIVISION  (A)  OF  SECTION  TWELVE
HUNDRED ONE OF THE TAX LAW THAT HAS BEEN CONDUCTING SUBSTANTIAL BUSINESS
OPERATIONS  AT  ONE  OR  MORE BUSINESS LOCATIONS OUTSIDE A GREEN ZONE AS
DEFINED IN THIS SECTION AND ON OR AFTER JULY FIRST, TWO THOUSAND  ELEVEN
MOVES  INTO  THE  GREEN  ZONE. FOR PURPOSES OF THIS SUBDIVISION ELIGIBLE
GREEN  ACTIVITIES  SHALL  INCLUDE:    PRODUCTION,  SERVICE  AND  REPAIR,
RESEARCH  AND  DEVELOPMENT AND THE APPLICATION AND INSTALLATION OF GREEN
PRODUCTS AND SERVICES. A GREEN PRODUCTION COMPANY IS A  COMPANY  DEALING
PRIMARILY  WITH  THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY
TECHNOLOGIES AND GREENHOUSE GAS EMISSION REDUCTION  TECHNOLOGIES.  GREEN
PRODUCTION  COMPANIES INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOP-
MENT, SOLAR PANEL PRODUCTION OR ASSEMBLY,  WIND  TURBINE  PRODUCTION  OR
ASSEMBLY,  CARBON  CAPTURE  AND  STORAGE MECHANISM, CLEAN FUEL VEHICLES,
RENEWABLE ENERGY DEVELOPMENT, OR ENERGY EFFICIENCY  TECHNOLOGIES.  GREEN
PRODUCTION  SHALL ALSO INCLUDE, BUT SHALL NOT BE LIMITED TO, THE FOLLOW-
ING:
  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES" SHALL INCLUDE BUT
NOT BE LIMITED TO: (I) COGENERATION TECHNOLOGIES, WHICH SHALL  MEAN  ANY
ONE  OF  THE  SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM ON-SITE ELEC-
TRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE STEAM OR HOT WATER  TO
MEET  ON-SITE  NEEDS,  SUCH AS HEATING AND/OR AIR CONDITIONING AND WHICH
ATTAINS OVERALL SYSTEM EFFICIENCY AS ESTABLISHED BY  THE  DEPARTMENT  OF
ENVIRONMENTAL  CONSERVATION,  CONSIDERING  BOTH  THERMAL  AND ELECTRICAL
PROCESS TOGETHER; (II) FURNACE AND BOILER  REPLACEMENTS  AND  RETROFITS,
PROVIDED  THAT  NEW  OR  RETROFITTED  FURNACES  AND BOILERS SHALL NOT AT
ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR  CONTENT  GREATER  THAN  0.05
PERCENT  BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR THE
CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES; AND (IV) OTHER
MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF ENER-
GY INCLUDING FUELS, AS DETERMINED BY  THE  DEPARTMENT  OF  ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-

S. 5491--A                         10

TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE AND SALE OF LOW VOC PAINTS,  LOW  ENERGY  RADIANT  FLOORING,  WHITE,
COATED,  OR  GREEN ROOF INSTALLATION, RECOVERY AND RECYCLING PROCESSING,
REPLACEMENT OF INEFFICIENT TECHNOLOGIES, CLEAN-FUEL  VEHICLE  SALES  AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G) "GREEN APPLICATION AND INSTALLATION" IS  THE  ACT  OF  A  PROPERTY
OWNER  OR  TENANT  INSTALLING  OR  USING A TYPE OF GREEN TECHNOLOGY THAT
RESULTS IN GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER  ENERGY  EFFI-
CIENCY  TECHNOLOGIES  AND  SHALL  ALSO INCLUDE CERTAIN WORK PERFORMED BY
NON-MANUFACTURING AND SERVICE COMPANIES.  GREEN APPLICATION AND  INSTAL-
LATION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGEN-
ERATION TECHNOLOGY RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE  INSTALLATION,  CLEAN-FUEL  VEHICLE  UTILIZATION, GREENHOUSE GAS
EMISSION REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY  TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  (A-2)  "GREEN  ZONE"  MEANS  THE  AREA OF STATEN ISLAND DEFINED BY THE
FOLLOWING AREA BASED ON THE NEW YORK CITY DEPARTMENT  OF  CITY  PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF  THE  GOETHAL  BRIDGE  AND  THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING EASTERLY 3,214.78 FEET ALONG AND PARALLEL TO  THE  NORTHSIDE  OF
THE  GOETHALS  BRIDGE  EXTENSION  TO  THE  CENTERLINE OF WESTERN AVENUE;
THENCE RUNNING NORTH 93.71 FEET  TO  THE  CENTERLINE  OF  GOETHALS  ROAD
NORTH; THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE SOUTH
SIDE  OF  GOETHALS  ROAD  NORTH  TO  CENTERLINE  OF SOUTH AVENUE; THENCE
RUNNING SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE  OF  SOUTH
AVENUE  TO  THE  CENTERLINE  OF FAHEY AVENUE; THENCE RUNNING EAST 424.89
FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF FAHEY AVENUE TO THE CENTER-
LINE OF FELTON STREET; THENCE RUNNING  SOUTH  1,314.02  FEET  ALONG  AND
PARALLEL TO THE WEST SIDE OF FELTON STREET TO THE CENTERLINE OF LAMBERTS
LANE;  THENCE  RUNNING SOUTH 790.62 FEET ALONG THE FELTON STREET LINE TO
THE INTERSECTION OF GRAHAM AVENUE  AND  LANDER  AVENUE;  THENCE  RUNNING
SOUTH 3,413.10 FEET ALONG AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE
TO  THE  CENTERLINE  OF  VICTORY  BOULEVARD;  THENCE  RUNNING  SOUTHEAST
3,114.21 FEET ALONG THE WEST SIDE OF VICTORY BOULEVARD TO THE CENTERLINE
OF TRAVIS AVENUE; THENCE RUNNING EAST 5,030.20 FEET ALONG  AND  PARALLEL
TO THE SOUTH SIDE OF TRAVIS AVENUE TO THE CENTERLINE OF RICHMOND AVENUE;

S. 5491--A                         11

THENCE  RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST 14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR  KILL
ROAD  TO  THE  CENTERLINE  OF ROSSVILLE AVENUE; THENCE RUNNING NORTH 650
FEET ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US  PIERHEAD
AND  BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND PARAL-
LEL TO THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO  THE  POINT
AND PLACE OF THE BEGINNING.
  S  10.  Subdivision  (e)  of  section  25-y of the general city law is
amended by adding a new paragraph 4 to read as follows:
  (4) IF USED BY A GREEN BUSINESS AFTER JULY FIRST, TWO THOUSAND ELEVEN,
NON-RESIDENTIAL PREMISES  LOCATED  ENTIRELY  IN  REAL  PROPERTY  LOCATED
PARTIALLY OR ENTIRELY IN A GREEN ZONE AS DEFINED IN THIS SECTION.
  S  11.  Subdivision  (f)  of  section 25-y of the general city law, as
added by chapter 331 of the laws of 1987, is amended to read as follows:
  (f) "Eligible area" means an area of a city having a population of one
million or more, excluding the area lying south of the  center  line  of
96th  Street,  in the borough of Manhattan in the city of New York OR IN
THE CASE OF A GREEN BUSINESS RELOCATING AFTER JULY FIRST,  TWO  THOUSAND
ELEVEN, AN ELIGIBLE AREA SHALL INCLUDE A GREEN ZONE.
  S  12.  Subdivision  (n)  of  section 25-y of the general city law, as
added by chapter 261 of the laws of 2000, is amended to read as follows:
  (n) "Revitalization area" means any area of a city having a population
of one million or more, provided that in the city of New York a revital-
ization area shall mean: (I) any district that is zoned C4, C5, C6,  M1,
M2  or  M3  in accordance with the zoning resolution of such city in any
area such city except the area lying south of the center  line  of  96th
Street in the borough of Manhattan, OR (II) IN THE CASE OF A GREEN BUSI-
NESS RELOCATING AFTER JULY FIRST, TWO THOUSAND ELEVEN, A GREEN ZONE.
  S  13.  Subdivision  (a)  of  section  25-s of the general city law is
amended by adding a new paragraph 1-a to read as follows:
  (1-A) IS A GREEN BUSINESS AND TAKES OCCUPANCY OF NON-RESIDENTIAL PREM-
ISES AFTER JULY FIRST, TWO THOUSAND ELEVEN, FOR WHICH IT HAS, AFTER SUCH
DATE, ENTERED INTO A WRITTEN AGREEMENT TO BUY OR  LEASE,  PROVIDED  THAT
SUCH  PREMISES  ARE LOCATED IN A GREEN ZONE AND THAT SUCH PREMISES ARE A
REPLACEMENT FOR PREMISES PREVIOUSLY OCCUPIED BY SUCH ENERGY USER  FOR  A
CONTINUOUS  PERIOD  OF TWENTY-FOUR MONTHS DURING THE THIRTY MONTH PERIOD
IMMEDIATELY PRECEDING SUCH USER'S  TAKING  OCCUPANCY,  WHICH  PREVIOUSLY
OCCUPIED PREMISES WERE OUTSIDE OF THE GREEN ZONE; OR
  S  14.  Section  25-s of the general city law is amended by adding two
new subdivisions (d-1) and (d-2) to read as follows:
  (D-1) "GREEN BUSINESS." A "GREEN BUSINESS" SHALL  BE  DEFINED  AS  ONE
THAT  PRIMARILY  OPERATES  IN  ONE  OR  MORE  OF FOUR AREAS: PRODUCTION,
SERVICE AND REPAIR, RESEARCH AND DEVELOPMENT  AND  THE  APPLICATION  AND
INSTALLATION  OF GREEN PRODUCTS AND SERVICES. A GREEN PRODUCTION COMPANY
IS A COMPANY DEALING PRIMARILY WITH THE MANUFACTURING  AND  DISTRIBUTION
OF  ENERGY EFFICIENCY TECHNOLOGIES AND GREENHOUSE GAS EMISSION REDUCTION
TECHNOLOGIES. GREEN PRODUCTION COMPANIES INCLUDE, BUT  ARE  NOT  LIMITED
TO,  BIO  FUEL  DEVELOPMENT,  SOLAR  PANEL  PRODUCTION OR ASSEMBLY, WIND
TURBINE PRODUCTION OR ASSEMBLY, CARBON CAPTURE  AND  STORAGE  MECHANISM,
CLEAN  FUEL VEHICLES, RENEWABLE ENERGY DEVELOPMENT, OR ENERGY EFFICIENCY
TECHNOLOGIES. GREEN PRODUCTION SHALL ALSO  INCLUDE,  BUT  SHALL  NOT  BE
LIMITED TO, THE FOLLOWING:
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE BUT NOT BE LIMITED  TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM

S. 5491--A                         12

ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND
ELECTRICAL PROCESS TOGETHER; (II) FURNACE AND  BOILER  REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT NEW OR RETROFITTED FURNACES AND BOILERS SHALL
NOT AT ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT  GREATER  THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE  CONVERSION  OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES; AND (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE  DEMAND  FOR  AND/OR THE CONSUMPTION OF ELECTRICITY AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E) "GREEN SERVICE AND REPAIR"  SHALL  MEAN  ANY  COMPANY  THAT  DEALS
PRIMARILY  WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR INDIVID-
UALS IN A SUSTAINABLE OR ENERGY  EFFICIENT  MANNER.  GREEN  SERVICE  AND
REPAIR  COMPANIES  INCLUDE,  BUT ARE NOT LIMITED TO, THOSE OFFERING SUCH
SERVICES AS GREEN ROOFING, LEED CERTIFICATION AND  INSPECTION  SERVICES,
USE  AND  SALE  OF  LOW  VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE,
COATED, OR GREEN ROOF INSTALLATION, RECOVERY AND  RECYCLING  PROCESSING,
REPLACEMENT  OF  INEFFICIENT  TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-

S. 5491--A                         13

CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION  TECHNOLOGY  RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE INSTALLATION, CLEAN-FUEL  VEHICLE  UTILIZATION,  GREENHOUSE  GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  (D-2) "GREEN ZONE". THE AREA OF STATEN ISLAND DEFINED BY THE FOLLOWING
AREA BASED ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING ZONING MAPS:
BEGINNING  AT  THE  INTERSECTION  OF  THE  NORTH SIDE OF THE FOOT OF THE
GOETHALS BRIDGE AND THE US PIERHEAD AND BULKHEAD  LINE;  THENCE  RUNNING
EASTERLY  3,214.78  FEET  ALONG  AND  PARALLEL  TO THE NORTH SIDE OF THE
GOETHALS BRIDGE EXTENSION TO THE CENTERLINE OF  WESTERN  AVENUE;  THENCE
RUNNING  NORTH  93.71  FEET  TO  THE  CENTERLINE OF GOETHALS ROAD NORTH;
THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE  SOUTH  SIDE
OF  GOETHALS  ROAD  NORTH  TO CENTERLINE OF SOUTH AVENUE; THENCE RUNNING
SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE OF SOUTH AVENUE TO
THE CENTERLINE OF FAHEY AVENUE; THENCE RUNNING EAST  424.89  FEET  ALONG
AND  PARALLEL  TO  THE  SOUTH  SIDE OF FAHEY AVENUE TO THE CENTERLINE OF
FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL  TO
THE  WEST  SIDE  OF  FELTON  STREET  TO THE CENTERLINE OF LAMBERTS LANE;
THENCE RUNNING SOUTH 790.62 FEET ALONG THE FELTON  STREET  LINE  TO  THE
INTERSECTION  OF  GRAHAM  AVENUE AND LANDER AVENUE; THENCE RUNNING SOUTH
3,413.10 FEET ALONG AND PARALLEL TO THE WEST SIDE OF  GRAHAM  AVENUE  TO
THE  CENTERLINE  OF VICTORY BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21
FEET ALONG THE WEST SIDE OF  VICTORY  BOULEVARD  TO  THE  CENTERLINE  OF
TRAVIS  AVENUE;  THENCE RUNNING EAST 5,030.20 FEET ALONG AND PARALLEL TO
THE SOUTH SIDE OF TRAVIS AVENUE TO THE CENTERLINE  OF  RICHMOND  AVENUE;
THENCE  RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST 14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR  KILL
ROAD  TO  THE  CENTERLINE  OF ROSSVILLE AVENUE; THENCE RUNNING NORTH 650
FEET ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US  PIERHEAD
AND  BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND PARAL-
LEL TO THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO  THE  POINT
AND PLACE OF BEGINNING.
  S  15.  Subdivision  (g)  of  section 25-s of the general city law, as
added by chapter 551 of the laws of 1985, is amended to read as follows:
  (g) "Eligible areas". Areas of a city designated by local law  enacted
pursuant  to  section twenty-five-t of this article as needing the bene-
fits available under this article as an inducement to economic  develop-
ment,  provided  that  the  area  lying south of the center line of 96th
Street, in the borough of Manhattan in the city of New York,  shall  not
be so designated.  NOTWITHSTANDING THE PROVISIONS OF THIS SUBDIVISION, A
GREEN ZONE SHALL BE CONSIDERED AN ELIGIBLE AREA.
  S  16.  The  real  property tax law is amended by adding a new section
485-n to read as follows:
  S 485-N. GREEN ECONOMIC DEVELOPMENT ZONE EXEMPTION. 1. (A) REAL  PROP-
ERTY CONSTRUCTED, ALTERED, INSTALLED OR IMPROVED IN AN AREA DESIGNATED A
GREEN  ECONOMIC  DEVELOPMENT  ZONE PURSUANT TO ARTICLE EIGHTEEN-D OF THE
GENERAL MUNICIPAL LAW SHALL BE EXEMPT FROM TAXATION AND SPECIAL AD VALO-
REM LEVIES BY ANY MUNICIPAL CORPORATION IN WHICH LOCATED, FOR THE PERIOD
AND TO THE EXTENT HEREIN PROVIDED, PROVIDED THAT THE GOVERNING BOARD  OF
SUCH  MUNICIPAL  CORPORATION,  AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW,
ORDINANCE OR RESOLUTION PROVIDING THEREFOR.

S. 5491--A                         14

  (B) FOR EXEMPTIONS COMMENCING IN THE FIRST SEVEN YEARS FROM  THE  DATE
ON  WHICH THE GREEN ECONOMIC DEVELOPMENT ZONE WAS DESIGNATED, THE AMOUNT
OF SUCH EXEMPTION IN ANY OF THESE YEARS SHALL BE ONE HUNDRED PERCENT  OF
THE  "BASE  AMOUNT",  DETERMINED  PURSUANT  TO  SUBDIVISION  TWO OF THIS
SECTION.  IN  THE  EIGHTH,  NINTH  AND  TENTH  YEARS,  THE AMOUNT OF THE
EXEMPTION SHALL BE SEVENTY-FIVE PERCENT, FIFTY PERCENT, AND  TWENTY-FIVE
PERCENT, RESPECTIVELY, OF SUCH BASE AMOUNT.
  (C)  FOR  EXEMPTIONS  COMMENCING  IN THE EIGHTH, NINTH AND TENTH YEARS
FROM THE DATE ON WHICH THE GREEN ECONOMIC DEVELOPMENT  ZONE  WAS  DESIG-
NATED, THE AMOUNT OF SUCH EXEMPTION SHALL BE SEVENTY-FIVE PERCENT, FIFTY
PERCENT  AND  TWENTY-FIVE  PERCENT,  RESPECTIVELY, OF THE "BASE AMOUNT",
DETERMINED PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
  1-A. (A) A MUNICIPAL CORPORATION MAY PROVIDE IN SUCH LOCAL LAW,  ORDI-
NANCE OR RESOLUTION, OR IN A SEPARATE LOCAL LAW, ORDINANCE OR RESOLUTION
ADOPTED  AFTER PUBLIC HEARING, THAT THE EXEMPTION SO AUTHORIZED SHALL BE
FOR A TERM OF TEN YEARS, NOTWITHSTANDING THAT  THE  DESIGNATION  OF  THE
ZONE  MAY  EXPIRE PRIOR TO THE END OF SUCH TEN YEAR TERM. ANY SUCH LOCAL
LAW, ORDINANCE OR RESOLUTION SHALL  BE  APPLICABLE  ONLY  TO  EXEMPTIONS
COMMENCING ON ASSESSMENT ROLLS WITH TAXABLE STATUS DATES ON OR AFTER THE
EFFECTIVE DATE OF SUCH LOCAL LAW, ORDINANCE OR RESOLUTION.
  (B)  WHERE  SUCH  LOCAL LAW, ORDINANCE OR RESOLUTION HAS BEEN ADOPTED,
THE AMOUNT OF SUCH EXEMPTION IN THE FIRST SEVEN YEARS OF ITS TERM  SHALL
BE  ONE  HUNDRED  PERCENT  OF  THE "BASE AMOUNT," DETERMINED PURSUANT TO
SUBDIVISION TWO OF THIS SECTION. THE AMOUNT  OF  THE  EXEMPTION  IN  THE
EIGHTH,  NINTH,  AND  TENTH  YEARS  OF  ITS  TERM  SHALL BE SEVENTY-FIVE
PERCENT, FIFTY PERCENT AND TWENTY-FIVE PERCENT,  RESPECTIVELY,  OF  SUCH
BASE AMOUNT.
  2.  (A)  THE  BASE  AMOUNT OF THE EXEMPTION SHALL BE THE EXTENT OF THE
INCREASE IN ASSESSED VALUE ATTRIBUTABLE  TO  SUCH  CONSTRUCTION,  ALTER-
ATION, INSTALLATION OR IMPROVEMENT AS DETERMINED IN THE INITIAL YEAR FOR
WHICH  APPLICATION  FOR  EXEMPTION IS MADE PURSUANT TO THIS SECTION. THE
BASE AMOUNT SHALL  REMAIN  CONSTANT  FOR  THE  AUTHORIZED  TERM  OF  THE
EXEMPTION, SUBJECT TO THE FOLLOWING:
  (I)  IF  THERE IS SUBSEQUENT CONSTRUCTION, ALTERATION, INSTALLATION OR
IMPROVEMENT DURING THE TERM OF THE EXEMPTION, THE BASE AMOUNT  SHALL  BE
REVISED  TO  INCLUDE THE INCREASE IN ASSESSED VALUE ATTRIBUTABLE TO SUCH
CONSTRUCTION, ALTERATION, INSTALLATION OR IMPROVEMENT.
  (II) IF A CHANGE IN LEVEL OF ASSESSMENT OF FIFTEEN PERCENT OR MORE  IS
CERTIFIED  FOR  AN  ASSESSMENT  ROLL  PURSUANT TO THE RULES OF THE STATE
BOARD, THE BASE AMOUNT SHALL BE ADJUSTED BY  SUCH  CHANGE  IN  LEVEL  OF
ASSESSMENT.  THE  EXEMPTION  ON  THAT ASSESSMENT ROLL SHALL THEREUPON BE
RECOMPUTED, NOTWITHSTANDING THE FACT  THAT  THE  ASSESSOR  RECEIVES  THE
CERTIFICATION AFTER THE COMPLETION, VERIFICATION AND FILING OF THE FINAL
ASSESSMENT  ROLL. IN THE EVENT THE ASSESSOR DOES NOT HAVE CUSTODY OF THE
ROLL WHEN SUCH CERTIFICATION IS RECEIVED, THE ASSESSOR SHALL CERTIFY THE
RECOMPUTED EXEMPTION TO THE LOCAL OFFICERS HAVING CUSTODY AND CONTROL OF
THE ROLL, AND SUCH LOCAL OFFICERS ARE HEREBY DIRECTED AND AUTHORIZED  TO
ENTER THE RECOMPUTED EXEMPTION CERTIFIED BY THE ASSESSOR ON THE ROLL.
  (B)  NO  SUCH  EXEMPTION  SHALL BE GRANTED UNLESS, PURSUANT TO ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW:
  (1) NOTICE OF THE DESIGNATION OF THE GREEN ECONOMIC  DEVELOPMENT  ZONE
HAS  BEEN FILED WITH THE CLERK OF THE ASSESSING UNIT BY THE COMMISSIONER
ON OR BEFORE THE APPLICABLE TAXABLE STATUS DATE;
  (2)  THE  CONSTRUCTION,  ALTERATION,   INSTALLATION   OR   IMPROVEMENT
COMMENCED  ON  OR AFTER THE DATE THE GREEN ECONOMIC DEVELOPMENT ZONE WAS
DESIGNATED; AND

S. 5491--A                         15

  (3) THE DESIGNATION OF THE GREEN ECONOMIC  DEVELOPMENT  ZONE  HAS  NOT
ENDED  AND  HAS NOT BEEN TERMINATED BY THE COMMISSIONER ON OR BEFORE THE
APPLICABLE TAXABLE STATUS DATE.
  (C)  FOR  PURPOSES OF THIS SECTION THE TERMS CONSTRUCTION, ALTERATION,
INSTALLATION AND IMPROVEMENT SHALL NOT INCLUDE ORDINARY MAINTENANCE  AND
REPAIRS.
  (D)  NO  SUCH EXEMPTION SHALL BE GRANTED CONCURRENT WITH OR SUBSEQUENT
TO ANY OTHER REAL PROPERTY TAX EXEMPTION GRANTED TO  THE  SAME  IMPROVE-
MENTS TO REAL PROPERTY, EXCEPT, WHERE DURING THE PERIOD OF SUCH PREVIOUS
EXEMPTION,  PAYMENTS IN LIEU OF TAXES OR OTHER PAYMENTS WERE MADE TO THE
LOCAL GOVERNMENT IN AN AMOUNT THAT WOULD HAVE BEEN EQUAL TO  OR  GREATER
THAN THE AMOUNT OF REAL PROPERTY TAXES THAT WOULD HAVE BEEN PAID ON SUCH
IMPROVEMENTS  HAD  SUCH  PROPERTY  BEEN GRANTED AN EXEMPTION PURSUANT TO
THIS SECTION. IN SUCH CASE, AN EXEMPTION SHALL BE GRANTED FOR  A  NUMBER
OF  YEARS  EQUAL  TO  THE  TEN  YEAR  EXEMPTION GRANTED PURSUANT TO THIS
SECTION LESS THE NUMBER OF YEARS THE PROPERTY WOULD HAVE BEEN PREVIOUSLY
EXEMPT FROM REAL PROPERTY TAXES.
  3. SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE  OWNER
OF  SUCH  REAL  PROPERTY  ON  A  FORM PRESCRIBED BY THE STATE BOARD. THE
ORIGINAL OF SUCH APPLICATION SHALL BE FILED WITH  THE  ASSESSOR  OF  THE
ASSESSING  UNIT.  SUCH  ORIGINAL APPLICATION SHALL BE FILED ON OR BEFORE
THE APPROPRIATE TAXABLE STATUS DATE OF SUCH ASSESSING UNIT AND NO  LATER
THAN  ONE  YEAR FROM THE DATE OF COMPLETION OF SUCH CONSTRUCTION, ALTER-
ATION, INSTALLATION OR IMPROVEMENT.
  4. IF THE ASSESSOR RECEIVES THE NOTICE DESCRIBED IN  SUBPARAGRAPH  ONE
OF  PARAGRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION AND AN APPLICATION
BY THE OWNER OF THE REAL PROPERTY, HE SHALL APPROVE THE APPLICATION  AND
SUCH  REAL  PROPERTY  SHALL THEREAFTER BE EXEMPT FROM TAXATION AS HEREIN
PROVIDED COMMENCING WITH THE ASSESSMENT ROLL PREPARED AFTER THE  TAXABLE
STATUS  DATE  REFERRED  TO  IN  SUBDIVISION  THREE  OF THIS SECTION. THE
ASSESSED VALUE OF ANY EXEMPTION GRANTED PURSUANT TO THIS  SECTION  SHALL
BE ENTERED BY THE ASSESSOR ON THE ASSESSMENT ROLL WITH THE TAXABLE PROP-
ERTY, WITH THE AMOUNT OF THE EXEMPTION ENTERED IN A SEPARATE COLUMN.
  5.  EXEMPTIONS EXISTING PRIOR IN TIME TO THE TERMINATION OF THE DESIG-
NATION OF A GREEN ECONOMIC DEVELOPMENT ZONE BY THE COMMISSIONER, OR,  IN
THE CASE OF A MUNICIPAL CORPORATION WHICH HAS ADOPTED A LOCAL LAW, ORDI-
NANCE OR RESOLUTION PURSUANT TO SUBDIVISION ONE-A OF THIS SECTION, PRIOR
IN  TIME TO THE EXPIRATION OF SUCH DESIGNATION, SHALL CONTINUE AS IF THE
DESIGNATION OF THE GREEN ECONOMIC DEVELOPMENT ZONE HAD NOT  BEEN  TERMI-
NATED,  OR,  IF APPLICABLE, HAD NOT EXPIRED; PROVIDED, HOWEVER, THAT ANY
FURTHER INCREASE IN THE VALUE ATTRIBUTABLE TO CONSTRUCTION,  ALTERATION,
INSTALLATION  OR  IMPROVEMENT COMMENCED SUBSEQUENT TO THE DATE OF TERMI-
NATION, OR, IF APPLICABLE, THE DATE OF EXPIRATION, SHALL NOT BE ELIGIBLE
FOR EXEMPTION PURSUANT TO THIS SECTION.
  S 17. Section 186-a of the tax law is amended by adding a new subdivi-
sion 11 to read as follows:
  11. NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER OR  ANY  OTHER
LAW  TO THE CONTRARY, ANY UTILITY (A) WHICH IS SUBJECT TO TAX HEREUNDER,
AND (B) WHICH IS SUBJECT TO THE SUPERVISION OF THE DEPARTMENT OF  PUBLIC
SERVICE,  SHALL  PROVIDE, IN ADDITION TO ANY OTHER DISCOUNT, A REDUCTION
OF THREE PERCENT IN THE RATE CHARGED  FOR  GAS,  ELECTRICITY,  STEAM  OR
WATER  SOLD, OR GAS, ELECTRIC, STEAM OR WATER SERVICE RENDERED, PRIOR TO
NINETEEN HUNDRED NINETY-FOUR, FOR ULTIMATE CONSUMPTION OR USE WITHIN  AN
AREA DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE PURSUANT TO ARTICLE
EIGHTEEN-D  OF THE GENERAL MUNICIPAL LAW BY A BUSINESS, WHETHER INCORPO-
RATED OR UNINCORPORATED, OTHER THAN A RETAIL ENTERPRISE  AS  DEFINED  IN

S. 5491--A                         16

PARAGRAPH  (K)  OF SUBDIVISION TWELVE OF SECTION TWO HUNDRED TEN OF THIS
CHAPTER BUT WITHOUT REGARD TO SUBPARAGRAPH (III) THEREOF, WHICH HAS BEEN
CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW,
AND WHICH HAS CLAIMED A CREDIT UNDER SUBDIVISION TWELVE-H OF SECTION TWO
HUNDRED  TEN,  SUBSECTION  (E)  OF SECTION FOURTEEN HUNDRED FIFTY-SIX OR
SUBDIVISION (G) OF SECTION FIFTEEN HUNDRED ELEVEN OF THIS CHAPTER DURING
THE PREVIOUS FIFTEEN MONTHS, AS EVIDENCED BY A CERTIFICATE ISSUED BY THE
COMMISSIONER TO SUCH BUSINESS.  NINETY-SIX AND ONE-HALF PERCENT  OF  THE
AGGREGATE  OF SUCH REDUCTIONS DURING THE YEAR MAY BE APPLIED AS A CREDIT
AGAINST THE TAX IMPOSED PURSUANT TO THIS SECTION WITH  RESPECT  TO  SUCH
YEAR.
  S 18. Section 210 of the tax law is amended by adding two new subdivi-
sions 12-H and 12-I to read as follows:
  12-H. GREEN ECONOMIC DEVELOPMENT ZONE INVESTMENT TAX CREDIT (GED-ITC).
(A)  A  TAXPAYER  SHALL  BE  ALLOWED  A CREDIT, TO BE COMPUTED AS HEREIN
PROVIDED, AGAINST THE TAX IMPOSED BY THIS ARTICLE IF  THE  TAXPAYER  HAS
BEEN  CERTIFIED  PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL
LAW.  THE AMOUNT OF THE CREDIT SHALL BE TEN PERCENT OF THE COST OR OTHER
BASIS FOR FEDERAL INCOME TAX PURPOSES OF TANGIBLE PERSONAL PROPERTY  AND
OTHER  TANGIBLE  PROPERTY, INCLUDING BUILDINGS AND STRUCTURAL COMPONENTS
OF BUILDINGS, DESCRIBED IN PARAGRAPH (B) OF THIS SUBDIVISION,  WHICH  IS
LOCATED  WITHIN  A  GREEN  ECONOMIC  DEVELOPMENT ZONE DESIGNATED AS SUCH
PURSUANT TO ARTICLE EIGHTEEN-D OF SUCH LAW, BUT ONLY IF THE ACQUISITION,
CONSTRUCTION, RECONSTRUCTION OR ERECTION OF SUCH  PROPERTY  OCCURRED  OR
WAS  COMMENCED ON OR AFTER THE DATE OF SUCH DESIGNATION AND PRIOR TO THE
EXPIRATION THEREOF. PROVIDED, HOWEVER, THAT IN THE CASE OF  AN  ACQUISI-
TION,  CONSTRUCTION,  RECONSTRUCTION  OR  ERECTION  WHICH  WAS COMMENCED
DURING SUCH PERIOD AND CONTINUED OR COMPLETED SUBSEQUENTLY, SUCH  CREDIT
SHALL  BE  TEN  PERCENT  OF  THE  PORTION OF THE COST OR OTHER BASIS FOR
FEDERAL INCOME TAX PURPOSES ATTRIBUTABLE TO SUCH PERIOD,  WHICH  PORTION
SHALL BE ASCERTAINED BY MULTIPLYING SUCH COST OR BASIS BY A FRACTION THE
NUMERATOR  OF  WHICH  SHALL  BE THE EXPENDITURES PAID OR INCURRED DURING
SUCH PERIOD FOR SUCH PURPOSES AND THE DENOMINATOR OF WHICH SHALL BE  THE
TOTAL  OF  ALL  EXPENDITURES  PAID  OR  INCURRED  FOR  SUCH ACQUISITION,
CONSTRUCTION, RECONSTRUCTION OR ERECTION.
  (B) A CREDIT SHALL BE ALLOWED UNDER THIS SUBDIVISION WITH  RESPECT  TO
TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROPERTY, INCLUDING BUILD-
INGS  AND  STRUCTURAL COMPONENTS OF BUILDINGS, WHICH (I) ARE DEPRECIABLE
PURSUANT TO SECTION ONE HUNDRED  SIXTY-SEVEN  OF  THE  INTERNAL  REVENUE
CODE,  (II) HAVE A USEFUL LIFE OF FOUR YEARS OR MORE, (III) ARE ACQUIRED
BY PURCHASE AS DEFINED IN SECTION ONE HUNDRED SEVENTY-NINE  (D)  OF  THE
INTERNAL REVENUE CODE, (IV) HAVE A SITUS IN A GREEN ECONOMIC DEVELOPMENT
ZONE  DESIGNATED  AS  SUCH PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AND (V) ARE (A) PRINCIPALLY USED BY THE TAXPAYER  IN  THE
PRODUCTION  OF GOODS BY MANUFACTURING, PROCESSING, ASSEMBLING, REFINING,
MINING, EXTRACTING, FARMING,  AGRICULTURE,  HORTICULTURE,  FLORICULTURE,
VITICULTURE OR COMMERCIAL FISHING, (B) INDUSTRIAL WASTE TREATMENT FACIL-
ITIES  OR  AIR POLLUTION CONTROL FACILITIES USED IN THE TAXPAYER'S TRADE
OR BUSINESS, (C) RESEARCH AND DEVELOPMENT PROPERTY, (D) PRINCIPALLY USED
IN THE ORDINARY COURSE OF THE TAXPAYER'S TRADE OR BUSINESS AS  A  BROKER
OR  DEALER  IN CONNECTION WITH THE PURCHASE OR SALE (WHICH SHALL INCLUDE
BUT NOT BE LIMITED TO THE ISSUANCE, ENTERING INTO,  ASSUMPTION,  OFFSET,
ASSIGNMENT,  TERMINATION, OR TRANSFER) OF STOCKS, BONDS OR OTHER SECURI-
TIES AS DEFINED IN SECTION  FOUR  HUNDRED  SEVENTY-FIVE  (C)(2)  OF  THE
INTERNAL  REVENUE  CODE,  OR  OF  COMMODITIES AS DEFINED IN SECTION FOUR
HUNDRED SEVENTY-FIVE (E) OF THE INTERNAL REVENUE CODE,  (E)  PRINCIPALLY

S. 5491--A                         17

USED  IN  THE  ORDINARY  COURSE  OF  THE TAXPAYER'S TRADE OR BUSINESS OF
PROVIDING INVESTMENT ADVISORY SERVICES FOR A REGULATED INVESTMENT COMPA-
NY AS DEFINED IN SECTION EIGHT HUNDRED FIFTY-ONE OF THE INTERNAL REVENUE
CODE,  OR  LENDING,  LOAN  ARRANGEMENT,  OR LOAN ORIGINATION SERVICES TO
CUSTOMERS IN CONNECTION WITH THE PURCHASE OR SALE (WHICH  SHALL  INCLUDE
BUT  NOT  BE LIMITED TO THE ISSUANCE, ENTERING INTO, ASSUMPTION, OFFSET,
ASSIGNMENT, TERMINATION OR TRANSFER) OF SECURITIES AS DEFINED IN SECTION
FOUR HUNDRED SEVENTY-FIVE (C)(2) OF THE INTERNAL REVENUE  CODE,  OR  (F)
PRINCIPALLY USED IN THE ORDINARY COURSE OF THE TAXPAYER'S BUSINESS AS AN
EXCHANGE REGISTERED AS A NATIONAL SECURITIES EXCHANGE WITHIN THE MEANING
OF SECTIONS 3(A)(1) AND 6(A) OF THE SECURITIES EXCHANGE ACT OF 1934 OR A
BOARD  OF  TRADE  AS  DEFINED  IN  SUBPARAGRAPH  ONE OF PARAGRAPH (A) OF
SECTION FOURTEEN HUNDRED TEN OF THE NOT-FOR-PROFIT CORPORATION LAW OR AS
AN ENTITY THAT IS WHOLLY OWNED BY ONE OR MORE SUCH  NATIONAL  SECURITIES
EXCHANGES  OR  BOARDS OF TRADE AND THAT PROVIDES AUTOMATION OR TECHNICAL
SERVICES THERETO. FOR PURPOSES OF CLAUSES (D), (E) AND (F)  OF  SUBPARA-
GRAPH (V) OF THIS PARAGRAPH, PROPERTY PURCHASED BY A TAXPAYER AFFILIATED
WITH A REGULATED BROKER, DEALER, REGISTERED INVESTMENT ADVISER, NATIONAL
SECURITIES  EXCHANGE  OR  BOARD  OF TRADE IS ALLOWED A CREDIT UNDER THIS
SUBDIVISION IF THE PROPERTY IS USED BY ITS AFFILIATED REGULATED  BROKER,
DEALER, REGISTERED INVESTMENT ADVISER OR NATIONAL SECURITIES EXCHANGE OR
BOARD  OF  TRADE  IN  ACCORDANCE  WITH THIS SUBDIVISION. FOR PURPOSES OF
DETERMINING IF THE PROPERTY IS PRINCIPALLY USED IN QUALIFYING USES,  THE
USES  BY  THE  TAXPAYER DESCRIBED IN CLAUSES (D) AND (E) OF SUBPARAGRAPH
(V) OF THIS PARAGRAPH MAY BE AGGREGATED. IN ADDITION, THE  USES  BY  THE
TAXPAYER, ITS AFFILIATED REGULATED BROKER, DEALER AND REGISTERED INVEST-
MENT  ADVISER  UNDER  EITHER OR BOTH OF THOSE CLAUSES MAY BE AGGREGATED.
PROVIDED, HOWEVER, A TAXPAYER SHALL NOT BE ALLOWED THE  CREDIT  PROVIDED
BY  CLAUSES  (D),  (E)  AND  (F)  OF THIS SUBPARAGRAPH UNLESS (I) EIGHTY
PERCENT OR MORE OF  THE  EMPLOYEES  PERFORMING  THE  ADMINISTRATIVE  AND
SUPPORT  FUNCTIONS  RESULTING  FROM OR RELATED TO THE QUALIFYING USES OF
SUCH EQUIPMENT ARE LOCATED IN THIS STATE, OR (II) THE AVERAGE NUMBER  OF
EMPLOYEES  THAT PERFORM THE ADMINISTRATIVE AND SUPPORT FUNCTIONS RESULT-
ING FROM OR RELATED TO THE QUALIFYING USES OF  SUCH  EQUIPMENT  AND  ARE
LOCATED  IN  THIS  STATE DURING THE TAXABLE YEAR FOR WHICH THE CREDIT IS
CLAIMED IS EQUAL TO OR GREATER THAN NINETY-FIVE PERCENT OF  THE  AVERAGE
NUMBER OF EMPLOYEES THAT PERFORM THESE FUNCTIONS AND ARE LOCATED IN THIS
STATE  DURING  THE  THIRTY-SIX MONTHS IMMEDIATELY PRECEDING THE YEAR FOR
WHICH THE CREDIT IS CLAIMED, OR (III) THE NUMBER OF EMPLOYEES LOCATED IN
THIS STATE DURING THE TAXABLE YEAR FOR WHICH THE CREDIT  IS  CLAIMED  IS
EQUAL  TO  OR  GREATER  THAN  NINETY  PERCENT OF THE NUMBER OF EMPLOYEES
LOCATED IN THIS STATE ON DECEMBER THIRTY-FIRST, NINETEEN  HUNDRED  NINE-
TY-EIGHT  OR,  IF THE TAXPAYER WAS NOT A CALENDAR YEAR TAXPAYER IN NINE-
TEEN HUNDRED NINETY-EIGHT, THE LAST DAY OF ITS FIRST TAXABLE YEAR ENDING
AFTER DECEMBER  THIRTY-FIRST,  NINETEEN  HUNDRED  NINETY-EIGHT.  IF  THE
TAXPAYER  BECOMES  SUBJECT  TO  TAX IN THIS STATE AFTER THE TAXABLE YEAR
BEGINNING IN NINETEEN HUNDRED NINETY-EIGHT, THEN  THE  TAXPAYER  IS  NOT
REQUIRED  TO  SATISFY  THE  EMPLOYMENT  TEST  PROVIDED  IN THE PRECEDING
SENTENCE OF THIS SUBPARAGRAPH  FOR  ITS  FIRST  TAXABLE  YEAR.  FOR  THE
PURPOSES  OF  CLAUSE (III) OF THIS SUBPARAGRAPH THE EMPLOYMENT TEST WILL
BE BASED ON THE NUMBER OF EMPLOYEES LOCATED IN THIS STATE  ON  THE  LAST
DAY  OF  THE  FIRST  TAXABLE YEAR THE TAXPAYER IS SUBJECT TO TAX IN THIS
STATE. IF THE USES OF THE  PROPERTY  MUST  BE  AGGREGATED  TO  DETERMINE
WHETHER THE PROPERTY IS PRINCIPALLY USED IN QUALIFYING USES, THEN EITHER
EACH  AFFILIATE  USING THE PROPERTY MUST SATISFY THIS EMPLOYMENT TEST OR
THIS EMPLOYMENT TEST MUST BE SATISFIED THROUGH THE  AGGREGATION  OF  THE

S. 5491--A                         18

EMPLOYEES  OF THE TAXPAYER, ITS AFFILIATED REGULATED BROKER, DEALER, AND
REGISTERED INVESTMENT ADVISER USING THE PROPERTY.  FOR  THE  PURPOSE  OF
THIS  SUBDIVISION,  THE  TERM "GOODS" SHALL NOT INCLUDE ELECTRICITY. FOR
PURPOSES  OF  THIS  PARAGRAPH,  MANUFACTURING  SHALL MEAN THE PROCESS OF
WORKING RAW MATERIALS INTO WARES SUITABLE FOR USE  OR  WHICH  GIVES  NEW
SHAPES, NEW QUALITY OR NEW COMBINATIONS TO MATTER WHICH ALREADY HAS GONE
THROUGH  SOME  ARTIFICIAL PROCESS BY THE USE OF MACHINERY, TOOLS, APPLI-
ANCES AND OTHER SIMILAR EQUIPMENT. PROPERTY USED IN  THE  PRODUCTION  OF
GOODS  SHALL  INCLUDE  MACHINERY,  EQUIPMENT  OR OTHER TANGIBLE PROPERTY
WHICH IS PRINCIPALLY USED IN THE REPAIR AND SERVICE OF OTHER  MACHINERY,
EQUIPMENT  OR OTHER TANGIBLE PROPERTY USED PRINCIPALLY IN THE PRODUCTION
OF GOODS AND SHALL INCLUDE ALL FACILITIES USED IN THE PRODUCTION  OPERA-
TION,  INCLUDING STORAGE OF MATERIAL TO BE USED IN PRODUCTION AND OF THE
PRODUCTS THAT ARE PRODUCED. FOR PURPOSES OF THIS  PARAGRAPH,  THE  TERMS
"RESEARCH AND DEVELOPMENT PROPERTY", "INDUSTRIAL WASTE TREATMENT FACILI-
TIES",  AND  "AIR  POLLUTION CONTROL FACILITIES" SHALL HAVE THE MEANINGS
ASCRIBED THERETO BY CLAUSES (B), (C) AND (D), RESPECTIVELY, OF  SUBPARA-
GRAPH  (II)  OF PARAGRAPH (B) OF SUBDIVISION TWELVE OF THIS SECTION, AND
THE PROVISIONS OF SUBPARAGRAPH (III) OF SUCH PARAGRAPH (B) SHALL APPLY.
  (C) A TAXPAYER SHALL NOT BE ALLOWED A CREDIT  UNDER  THIS  SUBDIVISION
WITH  RESPECT TO ANY TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROP-
ERTY, INCLUDING BUILDINGS AND STRUCTURAL COMPONENTS OF BUILDINGS,  WHICH
IT  LEASES  TO  ANY  OTHER PERSON OR CORPORATION EXCEPT WHERE A TAXPAYER
LEASES PROPERTY TO AN AFFILIATED REGULATED  BROKER,  DEALER,  REGISTERED
INVESTMENT  ADVISER,  NATIONAL SECURITIES EXCHANGE OR BOARD OF TRADE (OR
OTHER ENTITY DESCRIBED IN CLAUSE (F) OF SUBPARAGRAPH  (V)  OF  PARAGRAPH
(B)  OF  THIS  SUBDIVISION  THAT  USES  SUCH PROPERTY IN ACCORDANCE WITH
CLAUSE (D), (E) OR (F) OF SUBPARAGRAPH (V)  OF  PARAGRAPH  (B)  OF  THIS
SUBDIVISION.  FOR  PURPOSES  OF  THE PRECEDING SENTENCE, ANY CONTRACT OR
AGREEMENT TO LEASE OR RENT OR FOR A LICENSE TO USE SUCH  PROPERTY  SHALL
BE  CONSIDERED  A  LEASE.  PROVIDED,  HOWEVER,  IN DETERMINING WHETHER A
TAXPAYER SHALL BE ALLOWED A CREDIT UNDER THIS SUBDIVISION  WITH  RESPECT
TO SUCH PROPERTY, ANY ELECTION MADE WITH RESPECT TO SUCH PROPERTY PURSU-
ANT  TO  THE  PROVISIONS OF PARAGRAPH EIGHT OF SUBSECTION (F) OF SECTION
ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL REVENUE CODE, AS SUCH  PARAGRAPH
WAS  IN EFFECT FOR AGREEMENTS ENTERED INTO PRIOR TO JANUARY FIRST, NINE-
TEEN HUNDRED EIGHTY-FOUR, SHALL BE DISREGARDED.
  (D) THE CREDIT ALLOWED UNDER THIS SUBDIVISION  FOR  ANY  TAXABLE  YEAR
SHALL  NOT  REDUCE  THE TAX DUE FOR SUCH YEAR TO LESS THAN THE HIGHER OF
THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND (D) OF SUBDIVISION  ONE  OF
THIS  SECTION.  PROVIDED,  HOWEVER, THAT IF THE AMOUNT OF CREDIT ALLOWED
UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE
CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE
TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. IN LIEU OF  SUCH  CARRYOVER,  ANY
SUCH  TAXPAYER  WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH (J) OF
SUBDIVISION TWELVE OF THIS SECTION MAY ELECT,  ON  ITS  REPORT  FOR  ITS
TAXABLE  YEAR  WITH  RESPECT  TO  WHICH SUCH CREDIT IS ALLOWED, TO TREAT
FIFTY PERCENT OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT  OF  TAX
TO  BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION
TEN HUNDRED EIGHTY-SIX OF THIS CHAPTER. IN ADDITION, ANY TAXPAYER  WHICH
IS  APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A SIGNIF-
ICANT CAPITAL INVESTMENT  PROJECT  PURSUANT  TO  RULES  AND  REGULATIONS
PROMULGATED  BY  THE COMMISSIONER OF ECONOMIC DEVELOPMENT, ON ITS REPORT
FOR ITS TAXABLE YEAR WITH RESPECT TO WHICH SUCH CREDIT  IS  ALLOWED,  IN
LIEU  OF  SUCH CARRYOVER, MAY ELECT TO TREAT FIFTY PERCENT OF THE AMOUNT

S. 5491--A                         19

OF SUCH CARRYOVER WHICH IS ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS
SUBDIVISION FOR PROPERTY WHICH IS PART OF SUCH PROJECT AS AN OVERPAYMENT
OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE  PROVISIONS  OF
SECTION  TEN HUNDRED EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, SUCH
OWNER SHALL BE ALLOWED SUCH REFUND FOR A MAXIMUM OF  TEN  TAXABLE  YEARS
WITH  RESPECT  TO SUCH QUALIFIED INVESTMENT PROJECT AND EACH SIGNIFICANT
CAPITAL INVESTMENT PROJECT, STARTING WITH  THE  FIRST  TAXABLE  YEAR  IN
WHICH  PROPERTY COMPRISING SUCH PROJECT IS PLACED IN SERVICE.  PROVIDED,
FURTHER, HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE  THOU-
SAND  EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE
PAID THEREON.
  (D-1) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  (E) AT THE OPTION OF THE  TAXPAYER  AIR  OR  WATER  POLLUTION  CONTROL
FACILITIES  WHICH QUALIFY FOR ELECTIVE DEDUCTIONS UNDER PARAGRAPH (G) OF
SUBDIVISION NINE OF SECTION TWO HUNDRED EIGHT  OF  THIS  ARTICLE  OR  AN
ELIGIBLE  BUSINESS FACILITY FOR WHICH A CREDIT IS ALLOWED UNDER SUBDIVI-
SION ELEVEN OF THIS SECTION,  OR  RESEARCH  AND  DEVELOPMENT  FACILITIES
WHICH  QUALIFY  FOR ELECTIVE DEDUCTION UNDER SUBPARAGRAPHS TWO AND THREE
OF PARAGRAPH (E) OF SUBDIVISION THREE OF THIS SECTION, OR PROPERTY WHICH
QUALIFIES FOR THE CREDIT PROVIDED UNDER SUBDIVISION TWELVE  OR  EIGHTEEN
OF  THIS  SECTION  MAY  BE  TREATED  AS PROPERTY PRINCIPALLY USED BY THE
TAXPAYER IN THE PRODUCTION OF GOODS BY MANUFACTURING, PROCESSING, ASSEM-
BLING, REFINING, MINING, EXTRACTING, FARMING, AGRICULTURE, HORTICULTURE,
VITICULTURE OR COMMERCIAL FISHING, PROVIDED THE PROPERTY OTHERWISE QUAL-
IFIES UNDER  PARAGRAPH  (B)  OF  THIS  SUBDIVISION,  IN  WHICH  EVENT  A
DEDUCTION  SHALL NOT BE ALLOWED UNDER SUCH PARAGRAPH (G), A CREDIT SHALL
NOT BE ALLOWED UNDER SUCH SUBDIVISION ELEVEN AND A DEDUCTION  SHALL  NOT
BE  ALLOWED  UNDER SUCH SUBPARAGRAPH THREE OF PARAGRAPH (E) AND A CREDIT
SHALL NOT BE ALLOWED UNDER SUCH SUBDIVISION TWELVE OR EIGHTEEN.
  (F) (1) WITH RESPECT TO PROPERTY  WHICH  IS  DEPRECIABLE  PURSUANT  TO
SECTION  ONE HUNDRED SIXTY-SEVEN OF THE INTERNAL REVENUE CODE BUT IS NOT
SUBJECT TO THE PROVISIONS OF SECTION ONE  HUNDRED  SIXTY-EIGHT  OF  SUCH
CODE  AND WHICH IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO
THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT  IS  TO  BE  TAKEN,  THE
AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF THE CREDIT PROVIDED FOR IN
THIS  SUBDIVISION  WHICH REPRESENTS THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO THE MONTHS OF USEFUL LIFE. IF PROPERTY ON WHICH  CREDIT
HAS  BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO
THE END OF ITS USEFUL LIFE, THE DIFFERENCE BETWEEN THE CREDIT TAKEN  AND
THE  CREDIT  ALLOWED  FOR  ACTUAL  USE MUST BE ADDED BACK IN THE YEAR OF
DISPOSITION. PROVIDED, HOWEVER, IF SUCH PROPERTY IS DISPOSED OF OR CEAS-
ES TO BE IN QUALIFIED USE AFTER IT HAS BEEN IN QUALIFIED  USE  FOR  MORE
THAN TWELVE CONSECUTIVE YEARS, IT SHALL NOT BE NECESSARY TO ADD BACK THE
CREDIT  AS  PROVIDED  IN THIS SUBPARAGRAPH. THE AMOUNT OF CREDIT ALLOWED
FOR ACTUAL USE SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY
THE RATIO WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE MONTHS OF USEFUL
LIFE. FOR PURPOSES OF THIS SUBPARAGRAPH, USEFUL LIFE OF  PROPERTY  SHALL
BE  THE SAME AS THE TAXPAYER USES FOR DEPRECIATION PURPOSES WHEN COMPUT-
ING HIS FEDERAL INCOME TAX LIABILITY.
  (2) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS PARAGRAPH APPLIES, WITH RESPECT TO THREE-YEAR PROPERTY, AS  DEFINED
IN  SUBSECTION  (E)  OF  SECTION ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL

S. 5491--A                         20

REVENUE CODE, WHICH IS DISPOSED OF OR CEASES  TO  BE  IN  QUALIFIED  USE
PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT IS TO BE TAKEN,
THE  AMOUNT  OF  THE CREDIT SHALL BE THAT PORTION OF THE CREDIT PROVIDED
FOR  IN  THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH THE MONTHS OF
QUALIFIED USE BEAR TO THIRTY-SIX. IF PROPERTY ON WHICH CREDIT  HAS  BEEN
TAKEN  IS  DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO THE END
OF THIRTY-SIX MONTHS, THE DIFFERENCE BETWEEN THE CREDIT  TAKEN  AND  THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING  THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO THIRTY-SIX.
  (3) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS  PARAGRAPH  APPLIES,  WITH  RESPECT  TO  PROPERTY  SUBJECT  TO  THE
PROVISIONS  OF  SECTION  ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL REVENUE
CODE OTHER THAN THREE-YEAR PROPERTY AS DEFINED IN SUBSECTION (E) OF SUCH
SECTION ONE HUNDRED SIXTY-EIGHT WHICH IS DISPOSED OF OR CEASES TO BE  IN
QUALIFIED  USE  PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT
IS TO BE TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT  PORTION  OF  THE
CREDIT PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH
THE  MONTHS  OF QUALIFIED USE BEAR TO SIXTY. IF PROPERTY ON WHICH CREDIT
HAS BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR  TO
THE END OF SIXTY MONTHS, THE DIFFERENCE BETWEEN THE CREDIT TAKEN AND THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING  THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO SIXTY.
  (4) WITH  RESPECT  TO  ANY  PROPERTY  TO  WHICH  SECTION  ONE  HUNDRED
SIXTY-EIGHT OF THE INTERNAL REVENUE CODE APPLIES, WHICH IS A BUILDING OR
A  STRUCTURAL COMPONENT OF A BUILDING AND WHICH IS DISPOSED OF OR CEASES
TO BE IN QUALIFIED USE PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE
CREDIT IS TO BE TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF
THE CREDIT PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS  THE  RATIO
WHICH  THE  MONTHS  OF  QUALIFIED USE BEAR TO THE TOTAL NUMBER OF MONTHS
OVER WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE  INTER-
NAL REVENUE CODE. IF PROPERTY ON WHICH CREDIT HAS BEEN TAKEN IS DISPOSED
OF  OR CEASES TO BE IN QUALIFIED USE PRIOR TO THE END OF THE PERIOD OVER
WHICH THE TAXPAYER CHOOSES TO DEDUCT THE  PROPERTY  UNDER  THE  INTERNAL
REVENUE  CODE,  THE  DIFFERENCE  BETWEEN THE CREDIT TAKEN AND THE CREDIT
ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE  YEAR  OF  DISPOSITION.
PROVIDED,  HOWEVER,  IF  SUCH PROPERTY IS DISPOSED OF OR CEASES TO BE IN
QUALIFIED USE AFTER IT HAS BEEN IN QUALIFIED USE FOR  MORE  THAN  TWELVE
CONSECUTIVE  YEARS,  IT SHALL NOT BE NECESSARY TO ADD BACK THE CREDIT AS
PROVIDED IN THIS SUBPARAGRAPH. THE AMOUNT OF CREDIT ALLOWED  FOR  ACTUAL
USE  SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY THE RATIO
WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE  TOTAL  NUMBER  OF  MONTHS
OVER  WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE INTER-
NAL REVENUE CODE.
  (5) FOR PURPOSES OF THIS PARAGRAPH, DISPOSAL OR CESSATION OF QUALIFIED
USE SHALL NOT BE DEEMED TO HAVE OCCURRED SOLELY BY REASON OF THE  TERMI-
NATION  OR EXPIRATION OF A GREEN ECONOMIC DEVELOPMENT ZONE'S DESIGNATION
AS SUCH.
  (6)(A) FOR PURPOSES OF THIS PARAGRAPH, THE DECERTIFICATION OF A  BUSI-
NESS  ENTERPRISE WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE SHALL
CONSTITUTE A DISPOSAL OR CESSATION OF QUALIFIED USE OF THE  PROPERTY  ON
WHICH  THE  CREDIT  WAS  TAKEN WHICH IS LOCATED IN THE ZONE TO WHICH THE
DECERTIFICATION APPLIES, ON THE EFFECTIVE DATE OF SUCH DECERTIFICATION.

S. 5491--A                         21

  (B) WHERE A BUSINESS ENTERPRISE HAS BEEN DECERTIFIED BASED ON A  FIND-
ING PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMISSIONER OF
ECONOMIC  DEVELOPMENT, THE AMOUNT REQUIRED TO BE ADDED BACK BY REASON OF
THIS PARAGRAPH SHALL BE AUGMENTED BY AN AMOUNT EQUAL TO THE  PRODUCT  OF
THE  AMOUNT  OF CREDIT, WITH RESPECT TO PROPERTY WHICH IS DISPOSED OF OR
CEASES TO BE IN QUALIFIED USE, WHICH WAS DEDUCTED  FROM  THE  TAXPAYER'S
TAX  OTHERWISE  DUE  UNDER  THIS  ARTICLE  FOR  ALL  PRIOR TAXABLE YEARS
(SUBJECT TO THE LIMIT SET FORTH IN THIS SUBPARAGRAPH) AND THE  UNDERPAY-
MENT RATE OF INTEREST (WITHOUT REGARD TO COMPOUNDING) SET BY THE COMMIS-
SIONER OF TAXATION AND FINANCE PURSUANT TO SUBSECTION (E) OF SECTION TEN
HUNDRED  NINETY-SIX  OF  THIS  CHAPTER, IN EFFECT ON THE LAST DAY OF THE
TAXABLE YEAR. THE LIMIT SHALL BE (I) THE AMOUNT OF CREDIT, WITH  RESPECT
TO  THE  PROPERTY WHICH IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE,
WHICH WAS DEDUCTED FROM THE TAXPAYER'S  TAX  OTHERWISE  DUE  UNDER  THIS
ARTICLE  FOR  ALL  PRIOR  TAXABLE YEARS, REDUCED (BUT NOT BELOW ZERO) BY
(II) THE CREDIT ALLOWED FOR ACTUAL USE.  FOR PURPOSES OF  THIS  SUBPARA-
GRAPH,  THE  ATTRIBUTION TO SPECIFIC PROPERTY OF CREDIT AMOUNTS DEDUCTED
FROM TAX SHALL BE ESTABLISHED IN ACCORDANCE WITH THE DATE  OF  PLACEMENT
IN SERVICE OF SUCH PROPERTY IN THE GREEN ECONOMIC DEVELOPMENT ZONE.
  (C)  IN  NO  EVENT  SHALL THE AMOUNT OF THE CREDIT ALLOWED PURSUANT TO
THIS SUBDIVISION BE RENDERED, SOLELY BY REASON OF  CLAUSE  (A)  OF  THIS
SUBPARAGRAPH,  LESS  THAN THE AMOUNT OF THE CREDIT TO WHICH THE TAXPAYER
WOULD OTHERWISE BE ENTITLED UNDER SUBDIVISION TWELVE OF THIS SECTION.
  (D) NOTWITHSTANDING ANY OTHER PROVISION OF THIS  SUBDIVISION,  IN  THE
CASE  OF A BUSINESS ENTERPRISE WHICH HAS BEEN DECERTIFIED, ANY AMOUNT OF
CREDIT ALLOWED WITH RESPECT TO THE PROPERTY OF SUCH BUSINESS  ENTERPRISE
LOCATED  IN  THE  ZONE  TO  WHICH  THE  DECERTIFICATION APPLIES WHICH IS
CARRIED OVER PURSUANT TO PARAGRAPH (D) OF THIS SUBDIVISION SHALL NOT  BE
CARRIED  OVER BEYOND THE SEVENTH TAXABLE YEAR NEXT FOLLOWING THE TAXABLE
YEAR WITH RESPECT TO WHICH THE CREDIT PROVIDED FOR IN  THIS  SUBDIVISION
WAS ALLOWED.
  (7)  FOR  PURPOSES  OF  THIS PARAGRAPH, WHERE A CREDIT IS ALLOWED WITH
RESPECT TO AN AIR POLLUTION CONTROL FACILITY ON THE BASIS OF  A  CERTIF-
ICATE  OF  COMPLIANCE  ISSUED PURSUANT TO THE ENVIRONMENTAL CONSERVATION
LAW AND THE CERTIFICATE IS REVOKED  PURSUANT  TO  SUBDIVISION  THREE  OF
SECTION  19-0309  OF THE ENVIRONMENTAL CONSERVATION LAW, SUCH REVOCATION
SHALL CONSTITUTE A DISPOSAL OR CESSATION OF QUALIFIED USE,  EXCEPT  WITH
RESPECT  TO  PROPERTY  CONTAINED IN OR COMPRISING SUCH FACILITY WHICH IS
DESCRIBED IN CLAUSE (A), (B) OR (C) OF SUBPARAGRAPH (V) OF PARAGRAPH (B)
OF THIS SUBDIVISION OTHER THAN AS PART OF OR COMPRISING AN AIR POLLUTION
CONTROL FACILITY. ALSO FOR PURPOSES OF THIS PARAGRAPH, THE USE OF AN AIR
POLLUTION CONTROL FACILITY OR AN INDUSTRIAL WASTE TREATMENT FACILITY FOR
THE PRIMARY PURPOSE OF SALVAGING MATERIALS WHICH ARE USABLE IN THE MANU-
FACTURING PROCESS OR ARE MARKETABLE  SHALL  CONSTITUTE  A  CESSATION  OF
QUALIFIED  USE, EXCEPT WITH RESPECT TO PROPERTY CONTAINED IN OR COMPRIS-
ING SUCH FACILITY WHICH IS DESCRIBED IN CLAUSE (A) OR  (C)  OF  SUBPARA-
GRAPH (V) OF PARAGRAPH (B) OF THIS SUBDIVISION.
  (8)  EXCEPT AS PROVIDED IN THIS SUBPARAGRAPH, THIS PARAGRAPH SHALL NOT
APPLY TO A CREDIT ALLOWED BY THIS SUBDIVISION TO A TAXPAYER  THAT  IS  A
PARTNER  IN  A  PARTNERSHIP  IN  THE  CASE  OF  MANUFACTURING  PROPERTY;
PROVIDED, AT THE TIME SUCH PROPERTY WAS PLACED IN SERVICE BY SUCH  PART-
NERSHIP  IN  A  GREEN  ECONOMIC  DEVELOPMENT  ZONE THE BASIS FOR FEDERAL
INCOME TAX PURPOSES OF SUCH PROPERTY (OR A PROJECT  THAT  INCLUDES  SUCH
PROPERTY)  EQUALED  OR  EXCEEDED  THREE HUNDRED MILLION DOLLARS AND SUCH
PARTNER OWNED ITS PARTNERSHIP INTEREST FOR AT LEAST THREE YEARS FROM THE
DATE SUCH PROPERTY WAS PLACED IN SERVICE. IF SUCH PROPERTY CEASES TO  BE

S. 5491--A                         22

IN  QUALIFIED  USE  AFTER  IT IS PLACED IN SERVICE, THIS PARAGRAPH SHALL
APPLY TO SUCH PARTNER IN THE YEAR SUCH PROPERTY CEASES TO BE IN QUALIFY-
ING USE.
  (9)  IF  A TAXPAYER, WHICH IS APPROVED BY THE COMMISSIONER OF ECONOMIC
DEVELOPMENT AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A  SIGNIF-
ICANT CAPITAL INVESTMENT PROJECT, FAILS TO (A) CREATE AT LEAST THE MINI-
MUM  NUMBER  OF  JOBS AT SUCH PROJECT AS REQUIRED BY THE RULES AND REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT  OR  (B)
PLACE  IN  SERVICE PROPERTY COMPRISING SUCH QUALIFIED INVESTMENT PROJECT
OR SIGNIFICANT CAPITAL INVESTMENT  PROJECT  WITH  A  BASIS  FOR  FEDERAL
INCOME  TAX  PURPOSES  EQUALING  OR  EXCEEDING  THE  APPLICABLE  MINIMUM
REQUIRED BASIS AS PROVIDED IN SUCH RULES AND REGULATIONS PROMULGATED  BY
THE  COMMISSIONER OF ECONOMIC DEVELOPMENT, WHICHEVER IS RELEVANT, BY THE
LAST DAY OF THE FIFTH TAXABLE YEAR FOLLOWING THE TAXABLE YEAR IN WHICH A
CREDIT IS FIRST ALLOWED UNDER THIS SUBDIVISION FOR  THE  PROPERTY  WHICH
COMPRISES  SUCH QUALIFIED INVESTMENT PROJECT OR SUCH SIGNIFICANT CAPITAL
INVESTMENT PROJECT, THE TOTAL AMOUNT OF THE CREDIT  ALLOWED  UNDER  THIS
SUBDIVISION  FOR  ALL  TAXABLE  YEARS WITH RESPECT TO THE PROPERTY WHICH
COMPRISES SUCH PROJECT WHICH HAS BEEN REFUNDED TO SUCH TAXPAYER SHALL BE
ADDED BACK IN SUCH TAXABLE YEAR.
  12-I. GREEN ECONOMIC  DEVELOPMENT  ZONE  EMPLOYMENT  INCENTIVE  CREDIT
(GED-EIC).    (A) WHERE A TAXPAYER IS ALLOWED A CREDIT UNDER SUBDIVISION
TWELVE-H OF THIS SECTION, THE TAXPAYER SHALL BE  ALLOWED  A  CREDIT  FOR
EACH  OF  THE THREE YEARS NEXT SUCCEEDING THE TAXABLE YEAR FOR WHICH THE
CREDIT UNDER SUBDIVISION TWELVE-H  OF  THIS  SECTION  IS  ALLOWED,  WITH
RESPECT TO SUCH PROPERTY, WHETHER OR NOT DEDUCTIBLE IN SUCH TAXABLE YEAR
OR  IN SUBSEQUENT TAXABLE YEARS PURSUANT TO PARAGRAPH (D) OF SUCH SUBDI-
VISION TWELVE-H, OF THIRTY PERCENT OF THE CREDIT  ALLOWABLE  UNDER  SUCH
SUBDIVISION TWELVE-H; PROVIDED, HOWEVER, THAT THE CREDIT ALLOWABLE UNDER
THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL ONLY BE ALLOWED IF THE AVER-
AGE  NUMBER  OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN THE GREEN ECONOMIC
DEVELOPMENT ZONE, DESIGNATED  PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE
GENERAL  MUNICIPAL  LAW,  IN  WHICH SUCH PROPERTY IS LOCATED DURING SUCH
TAXABLE YEAR IS AT LEAST ONE HUNDRED ONE PERCENT OF THE  AVERAGE  NUMBER
OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN SUCH GREEN ECONOMIC DEVELOPMENT
ZONE  OR,  WHERE APPLICABLE, IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTI-
TUTING SUCH ZONE, DURING THE  TAXABLE  YEAR  IMMEDIATELY  PRECEDING  THE
TAXABLE  YEAR  FOR  WHICH  THE CREDIT UNDER SUBDIVISION TWELVE-H OF THIS
SECTION IS ALLOWED AND PROVIDED, FURTHER, THAT IF THE TAXPAYER  WAS  NOT
SUBJECT TO TAX AND DID NOT HAVE A TAXABLE YEAR IMMEDIATELY PRECEDING THE
TAXABLE  YEAR  FOR  WHICH  THE CREDIT UNDER SUBDIVISION TWELVE-H OF THIS
SECTION IS ALLOWED, THE CREDIT ALLOWABLE UNDER THIS SUBDIVISION FOR  ANY
TAXABLE  YEAR  SHALL  BE  ALLOWED  IF  THE  AVERAGE  NUMBER OF EMPLOYEES
EMPLOYED IN SUCH GREEN ECONOMIC DEVELOPMENT ZONE IN SUCH TAXABLE YEAR IS
AT LEAST ONE HUNDRED ONE PERCENT OF THE AVERAGE NUMBER OF SUCH EMPLOYEES
DURING THE TAXABLE YEAR IN  WHICH  THE  CREDIT  UNDER  SUCH  SUBDIVISION
TWELVE-H IS ALLOWED.
  (B)  THE  AVERAGE  NUMBER  OF  EMPLOYEES  EMPLOYED IN A GREEN ECONOMIC
DEVELOPMENT ZONE, OR, WHERE APPLICABLE, IN THE  GEOGRAPHIC  AREA  SUBSE-
QUENTLY  CONSTITUTING  SUCH ZONE, IN A TAXABLE YEAR SHALL BE COMPUTED BY
ASCERTAINING THE NUMBER OF SUCH EMPLOYEES WITHIN SUCH  ZONE,  OR,  WHERE
APPLICABLE,  IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTITUTING SUCH ZONE,
EXCEPT GENERAL EXECUTIVE OFFICERS, EMPLOYED BY THE TAXPAYER ON THE THIR-
TY-FIRST DAY OF MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH  DAY  OF
SEPTEMBER  AND  THE THIRTY-FIRST DAY OF DECEMBER IN THE TAXABLE YEAR, BY
ADDING TOGETHER THE NUMBER OF EMPLOYEES  ASCERTAINED  ON  EACH  OF  SUCH

S. 5491--A                         23

DATES  AND DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH ABOVE-MEN-
TIONED DATES OCCURRING WITHIN THE TAXABLE YEAR. FOR THE PURPOSES OF THIS
SUBDIVISION, THE TERM "EMPLOYEES" AND THE TERM "GENERAL EXECUTIVE  OFFI-
CERS"  SHALL  MEAN THE SAME AS IN SUBPARAGRAPH THREE OF PARAGRAPH (A) OF
SUBDIVISION THREE OF THIS SECTION.
  (C) IN NO EVENT SHALL THE CREDIT HEREIN PROVIDED FOR BE ALLOWED IN  AN
AMOUNT  WHICH  WILL  REDUCE  THE  TAX  PAYABLE  TO  LESS THAN THE AMOUNT
PRESCRIBED  IN  PARAGRAPH  (D)  OF  SUBDIVISION  ONE  OF  THIS  SECTION.
PROVIDED,  HOWEVER,  THAT  IF  THE AMOUNT OF CREDIT ALLOWABLE UNDER THIS
SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAX  TO  SUCH  AMOUNT,  ANY
AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO  THE  FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE TAXPAYER'S
TAX FOR SUCH YEAR OR YEARS. IN LIEU OF SUCH CARRYOVER, ANY SUCH  TAXPAY-
ER,  WHICH IS APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR
A SIGNIFICANT CAPITAL INVESTMENT PROJECT PURSUANT  TO  RULES  AND  REGU-
LATIONS  PROMULGATED  BY  THE  COMMISSIONER OF ECONOMIC DEVELOPMENT, MAY
ELECT, ON ITS REPORT FOR ITS TAXABLE YEAR WITH  RESPECT  TO  WHICH  SUCH
CREDIT  IS  ALLOWED, TO TREAT FIFTY PERCENT OF THE AMOUNT OF SUCH CARRY-
OVER AS AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED  IN  ACCORDANCE
WITH  THE  PROVISIONS OF SECTION TEN HUNDRED EIGHTY-SIX OF THIS CHAPTER.
PROVIDED, HOWEVER, IN THE CASE OF SUCH OWNER OF A  QUALIFIED  INVESTMENT
PROJECT  OR A SIGNIFICANT CAPITAL INVESTMENT PROJECT, ONLY FIFTY PERCENT
OF THE AMOUNT OF SUCH CARRYOVER WHICH  IS  ATTRIBUTABLE  TO  THE  CREDIT
ALLOWED UNDER THIS SUBDIVISION WITH RESPECT TO PROPERTY WHICH IS PART OF
SUCH  PROJECT SHALL BE ALLOWED TO BE CREDITED OR REFUNDED AND SUCH OWNER
SHALL BE ALLOWED SUCH CREDIT OR REFUND ONLY FOR THOSE TAXABLE  YEARS  IN
WHICH  SUCH  OWNER  WOULD  BE  ALLOWED  A  CREDIT OR REFUND OF THE GREEN
ECONOMIC DEVELOPMENT ZONE INVESTMENT TAX CREDIT  PURSUANT  TO  PARAGRAPH
(D) OF SUBDIVISION TWELVE-H OF THIS SECTION. PROVIDED, FURTHER, HOWEVER,
THE  PROVISIONS OF SUBSECTION (C) OF SECTION TEN HUNDRED EIGHTY-EIGHT OF
THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
  (C-1) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  AN EMPIRE ZONE RETENTION CERTIFICATE IS NOT ISSUED PURSUANT
TO RULES AND REGULATIONS PROMULGATED BY  THE  COMMISSIONER  OF  ECONOMIC
DEVELOPMENT  TO  THE GREEN ECONOMIC DEVELOPMENT ZONE ENTERPRISE WHICH IS
THE BASIS OF THE CREDIT.
  S 19. Section 210 of the tax law is amended by adding a  new  subdivi-
sion 44 to read as follows:
  44.  GREEN  ECONOMIC  DEVELOPMENT ZONE WAGE TAX CREDIT. (A) A TAXPAYER
SHALL BE ALLOWED A CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED,
AGAINST  THE  TAX  IMPOSED  BY  THIS ARTICLE WHERE THE TAXPAYER HAS BEEN
CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW.
THE  AMOUNT  OF  SUCH  CREDIT SHALL BE AS PRESCRIBED BY PARAGRAPH (D) OF
THIS SUBDIVISION.
  (B) FOR THE PURPOSES OF THIS SUBDIVISION, THE  FOLLOWING  TERMS  SHALL
HAVE THE FOLLOWING MEANINGS:
  (1)  "GREEN  ECONOMIC  DEVELOPMENT ZONE WAGES" MEANS WAGES PAID BY THE
TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO GENERAL EXECUTIVE OFFI-
CERS, DURING THE TAXABLE YEAR IN AN AREA DESIGNATED OR PREVIOUSLY DESIG-
NATED AS A GREEN ECONOMIC  DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT  AREA
PURSUANT  TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW, WHERE SUCH
EMPLOYMENT IS IN A JOB CREATED IN THE AREA (I) DURING THE PERIOD OF  ITS
DESIGNATION AS A GREEN ECONOMIC DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS
OF  THE  EXPIRATION  OF  SUCH  DESIGNATION, OR (III) DURING THE TEN YEAR
PERIOD IMMEDIATELY FOLLOWING THE DATE OF DESIGNATION AS  A  ZONE  EQUIV-
ALENT  AREA,  PROVIDED,  HOWEVER,  THAT  IF THE TAXPAYER'S CERTIFICATION

S. 5491--A                         24

UNDER ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW  IS  REVOKED  WITH
RESPECT  TO  A  GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA,
ANY WAGES PAID BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE  OF  SUCH
DECERTIFICATION, FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE EMPIRE
ZONE WAGES.
  (2)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (A)  AN  ELIGIBLE  INDIVIDUAL
UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE),  (B)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME INDIVIDUAL (P.L.  105-220, AS AMENDED), (C)  A  RECIPIENT  OF
PUBLIC  ASSISTANCE BENEFITS, (D) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED  STATES
DEPARTMENT  OF  COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY INCOME IS
BELOW THE MOST RECENTLY ESTABLISHED  POVERTY  RATE  PROMULGATED  BY  THE
APPROPRIATE  FEDERAL AGENCY OR (E) AN HONORABLY DISCHARGED MEMBER OF ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN INDIVIDUAL WHO SATISFIES THE CRITERIA SET FORTH IN CLAUSE (A),  (B)
OR (D) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT IN THE JOB
WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES THE CRITE-
RION SET FORTH IN CLAUSE (C) OF THIS SUBPARAGRAPH AT SUCH TIME OR AT ANY
TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED EMPLOYEE SO LONG
AS  SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC DEVELOPMENT ZONE
WAGES.
  (3) "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE  OFFI-
CERS,  EMPLOYED  FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING THE NUMBER
OF SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY  OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST  DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER APPLICA-
BLE PERIOD, BY ADDING TOGETHER THE NUMBER  OF  SUCH  INDIVIDUALS  ASCER-
TAINED  ON  EACH  OF  SUCH DATES AND DIVIDING THE SUM SO OBTAINED BY THE
NUMBER OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER  APPLI-
CABLE PERIOD.
  (C)  THE  CREDIT  PROVIDED  FOR HEREIN SHALL BE ALLOWED ONLY WHERE THE
AVERAGE NUMBER OF INDIVIDUALS,  EXCLUDING  GENERAL  EXECUTIVE  OFFICERS,
EMPLOYED  FULL-TIME  BY  THE TAXPAYER IN (A) THE STATE AND (B) THE GREEN
ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH  ZONE  OR
ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE AVERAGE NUMBER
OF  SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (A) THE STATE
AND (B) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY  CONSTITUTING  SUCH
ZONE  OR  SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING THE FOUR YEARS
IMMEDIATELY PRECEDING THE FIRST TAXABLE YEAR  IN  WHICH  THE  CREDIT  IS
CLAIMED  WITH  RESPECT TO SUCH ZONE OR AREA. WHERE THE TAXPAYER PROVIDED
FULL-TIME EMPLOYMENT WITHIN (A) THE STATE  OR  (B)  SUCH  ZONE  OR  AREA
DURING  ONLY  A  PORTION  OF SUCH FOUR-YEAR PERIOD, THEN FOR PURPOSES OF
THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD TO
SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE
MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION. SUBSEQUENT CERTIF-
ICATIONS OF THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF  THE  GENERAL
MUNICIPAL  LAW,  AT  THE  SAME OR A DIFFERENT LOCATION IN THE SAME GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN  A

S. 5491--A                         25

DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT  NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR BEGIN-
NING MORE THAN FOUR YEARS FOLLOWING THE TAXABLE  YEAR  IN  WHICH  DESIG-
NATION  AS  A  GREEN  ECONOMIC DEVELOPMENT ZONE EXPIRED OR MORE THAN TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA. IN  LIEU  OF  THE
FIVE YEAR TIME PERIOD DESCRIBED IN THE PRECEDING SENTENCES OF THIS PARA-
GRAPH  FOR  THE  ALLOWANCE  OF  THIS  CREDIT, WITH RESPECT TO A BUSINESS
ENTERPRISE WHICH QUALIFIES AS A NEW BUSINESS PURSUANT TO PARAGRAPH  FIVE
OF SUBDIVISION (J) OF SECTION FOURTEEN OF THIS CHAPTER, THE CREDIT SHALL
BE ALLOWED WITH RESPECT TO THE FIRST TAXABLE YEAR OF THE BUSINESS ENTER-
PRISE'S BUSINESS TAX BENEFIT PERIOD, AS DETERMINED PURSUANT TO PARAGRAPH
ONE-A  OF  SUBDIVISION  (A)  OF SECTION FOURTEEN OF THIS CHAPTER, DURING
WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE  WAGES  ARE  MADE  AND
WITH  RESPECT  TO  EACH  OF  THE  FOUR  TAXABLE YEARS NEXT FOLLOWING, IN
ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION.
  (D) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (1) THE PRODUCT OF
THREE THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS  (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT  TO  THE  PROVISIONS  OF SUBPARAGRAPH THREE OF PARAGRAPH (B) OF
THIS SUBDIVISION, WHO
  (A) RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN  HALF
OF THE TAXABLE YEAR,
  (B)  RECEIVED, WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF EMPLOY-
MENT BY THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE  WHICH  WAS
AT  LEAST  ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM WAGE SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (C) ARE TARGETED EMPLOYEES; AND
  (2) THE PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE  NUMBER  OF
INDIVIDUALS   (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND  INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH ONE OF THIS PARAGRAPH) EMPLOYED  FULL-TIME  BY
THE  TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH THREE
OF PARAGRAPH (B) OF THIS SUBDIVISION, WHO RECEIVED GREEN ECONOMIC DEVEL-
OPMENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  PROVIDED, FURTHER, HOWEVER, THAT THE CREDIT PROVIDED FOR  HEREIN  WITH
RESPECT  TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE TAXA-
BLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE, MAY NOT,  IN  THE  AGGRE-
GATE,  EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION TWO HUNDRED
NINE OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT PROVIDED  FOR
BY THIS ARTICLE.
  (3)  FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT, INDIVIDUALS
EMPLOYED WITHIN A GREEN ECONOMIC DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT
AREA  WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED PERSON,
AS SUCH TERM IS DEFINED  IN  SUBPARAGRAPH  (C)  OF  PARAGRAPH  THREE  OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE  CODE,  SHALL  NOT  BE  INCLUDED IN THE AVERAGE NUMBER OF INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH ONE OR SUBPARAGRAPH  TWO  OF  THIS  PARAGRAPH,
UNLESS  SUCH RELATED PERSON WAS NEVER ALLOWED A CREDIT UNDER THIS SUBDI-
VISION WITH RESPECT TO SUCH EMPLOYEES. FOR THE PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED AS A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD  NOT  BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (4)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL

S. 5491--A                         26

MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH ONE OR
TWO OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (5)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE  THAN  HALF  THE  TAXABLE
YEAR  SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING
THE CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE  CREDIT
ALLOWED UNDER THIS SUBDIVISION SHALL BE COMPUTED BY UTILIZING THE NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME
BY  THE  TAXPAYER  ON THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (A) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN  ENTITY
WHICH  IS  NOT  A RELATED PERSON (AS SUCH TERM IS DEFINED IN SUBDIVISION
(G) OF SECTION FOURTEEN OF THIS CHAPTER); (B) THE FIRST TAXABLE YEAR  OF
SUCH  TAXPAYER  SHALL  BE  A  SHORT  TAXABLE YEAR OF NOT MORE THAN SEVEN
MONTHS IN DURATION; AND (C) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME
ON THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED
NINETY AND SUBSTANTIALLY ALL OF SUCH INDIVIDUALS MUST HAVE  BEEN  PREVI-
OUSLY  EMPLOYED  BY  THE  ENTITY  FROM  WHOM SUCH TAXPAYER PURCHASED ITS
ASSETS.
  (E) THE CREDIT AND CARRYOVERS OF SUCH CREDIT ALLOWED UNDER THIS SUBDI-
VISION FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE  TAX
DUE  FOR  SUCH YEAR TO LESS THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN
PARAGRAPHS (C) AND (D) OF SUBDIVISION ONE OF THIS SECTION.  HOWEVER,  IF
THE  AMOUNT  OF  CREDIT  OR  CARRYOVERS OF SUCH CREDIT, OR BOTH, ALLOWED
UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  OR  IF  ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT MAY
NOT BE DEDUCTED FROM THE TAX  OTHERWISE  DUE  BY  REASON  OF  THE  FINAL
SENTENCE  OF  PARAGRAPH (D) OF THIS SUBDIVISION, ANY AMOUNT OF CREDIT OR
CARRYOVERS OF SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE  YEAR  MAY
BE  CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM
THE TAX FOR SUCH YEAR OR YEARS. IN LIEU  OF  SUCH  CARRYOVER,  ANY  SUCH
TAXPAYER WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH (J) OF SUBDI-
VISION  TWELVE  OF  THIS  SECTION OR A TAXPAYER WHICH IS APPROVED AS THE
OWNER OF A QUALIFIED INVESTMENT PROJECT OR A SIGNIFICANT CAPITAL INVEST-
MENT PROJECT PURSUANT  TO  RULES  AND  REGULATIONS  PROMULGATED  BY  THE
COMMISSIONER  OF  ECONOMIC  DEVELOPMENT MAY ELECT, ON ITS REPORT FOR ITS
TAXABLE YEAR WITH RESPECT TO WHICH SUCH  CREDIT  IS  ALLOWED,  TO  TREAT
FIFTY  PERCENT  OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT OF TAX
TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF  SECTION
TEN  HUNDRED  EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, IN THE CASE
OF SUCH OWNER OF A QUALIFIED INVESTMENT PROJECT OR  SIGNIFICANT  CAPITAL
INVESTMENT  PROJECT,  ONLY FIFTY PERCENT OF THE AMOUNT OF SUCH CARRYOVER
WHICH IS ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS  SUBDIVISION  FOR
INDIVIDUALS  EMPLOYED AT SUCH PROJECT SHALL BE ALLOWED TO BE CREDITED OR
REFUNDED. PROVIDED, FURTHER, HOWEVER, THE PROVISIONS OF  SUBSECTION  (C)
OF  SECTION TEN HUNDRED EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO
INTEREST SHALL BE PAID THEREON.
  (E-1) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.

S. 5491--A                         27

  (F) FOR THE INTERACTION OF THIS SUBDIVISION AND  SUBDIVISION  TWELVE-D
OF THIS SECTION (EMPLOYMENT INCENTIVE CREDIT), SEE PARAGRAPH (B) OF SUCH
SUBDIVISION TWELVE-D.
  S 20. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of  the  tax  law  is amended by adding a new clause (xxxiii) to read as
follows:
(XXXIII) GREEN ECONOMIC DEVELOPMENT ZONE       AMOUNT OF CREDIT UNDER
WAGE TAX CREDIT UNDER SUBSECTION               SUBDIVISION FORTY-FOUR OF
(TT)                                           SECTION TWO HUNDRED TEN
  S 21. Section 606 of the tax law is amended by adding a new subsection
(tt) to read as follows:
  (TT) GREEN ECONOMIC DEVELOPMENT ZONE WAGE TAX CREDIT. (1)  A  TAXPAYER
SHALL  BE  ALLOWED  A  CREDIT,  TO  BE COMPUTED AS HEREINAFTER PROVIDED,
AGAINST THE TAX IMPOSED BY THIS ARTICLE, WHERE  THE  TAXPAYER  HAS  BEEN
CERTIFIED  PURSUANT  TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW.
THE AMOUNT OF SUCH CREDIT SHALL BE AS PRESCRIBED IN  PARAGRAPH  FOUR  OF
THIS SUBSECTION.
  (2)  FOR  THE  PURPOSES  OF THIS SUBSECTION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS: (A) "GREEN ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS WAGES PAID BY THE TAXPAYER FOR  FULL-TIME  EMPLOYMENT  DURING  THE
TAXABLE  YEAR, IN AN AREA DESIGNATED OR PREVIOUSLY DESIGNATED AS A GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA  PURSUANT  TO  ARTICLE
EIGHTEEN-D  OF  THE GENERAL MUNICIPAL LAW, WHERE SUCH EMPLOYMENT IS IN A
JOB CREATED IN THE AREA (I) DURING THE PERIOD OF ITS  DESIGNATION  AS  A
GREEN  ECONOMIC  DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS OF THE EXPIRA-
TION OF SUCH DESIGNATION, OR (III) DURING THE TEN YEAR PERIOD IMMEDIATE-
LY FOLLOWING  THE  DATE  OF  DESIGNATION  AS  A  ZONE  EQUIVALENT  AREA,
PROVIDED,  HOWEVER,  THAT  IF THE TAXPAYER'S CERTIFICATION UNDER ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW IS REVOKED  WITH  RESPECT  TO  A
GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, ANY WAGES PAID
BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE OF SUCH DECERTIFICATION,
FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE GREEN ECONOMIC DEVELOP-
MENT ZONE WAGES.
  (B) "TARGETED EMPLOYEE" MEANS A NEW YORK RESIDENT WHO  RECEIVES  GREEN
ECONOMIC  DEVELOPMENT  ZONE  WAGES AND WHO IS (I) AN ELIGIBLE INDIVIDUAL
UNDER THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION  FIFTY-ONE
OF  THE  INTERNAL  REVENUE  CODE),  (II) ELIGIBLE FOR BENEFITS UNDER THE
PROVISIONS OF THE WORKFORCE INVESTMENT ACT AS  A  DISLOCATED  WORKER  OR
LOW-INCOME  INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED  STATES
DEPARTMENT  OF  COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY INCOME IS
BELOW THE MOST RECENTLY ESTABLISHED  POVERTY  RATE  PROMULGATED  BY  THE
APPROPRIATE  FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN INDIVIDUAL WHO SATISFIES THE CRITERIA  SET  FORTH  IN  CLAUSE  (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE  CRITERION  SET  FORTH  IN CLAUSE (III) OF THIS SUBPARAGRAPH AT SUCH
TIME OR AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE  A  TARGETED
EMPLOYEE  SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C) "AVERAGE  NUMBER  OF  INDIVIDUALS  EMPLOYED  FULL-TIME"  SHALL  BE
COMPUTED  BY ASCERTAINING THE NUMBER OF SUCH INDIVIDUALS EMPLOYED BY THE
TAXPAYER ON THE THIRTY-FIRST DAY OF MARCH, THE THIRTIETH  DAY  OF  JUNE,
THE  THIRTIETH  DAY  OF  SEPTEMBER  AND THE THIRTY-FIRST DAY OF DECEMBER

S. 5491--A                         28

DURING EACH TAXABLE YEAR OR OTHER APPLICABLE PERIOD, BY ADDING  TOGETHER
THE  NUMBER  OF  SUCH  INDIVIDUALS ASCERTAINED ON EACH OF SUCH DATES AND
DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH DATES OCCURRING WITH-
IN SUCH TAXABLE YEAR OR OTHER APPLICABLE PERIOD.
  (3)  THE  CREDIT  PROVIDED  FOR HEREIN SHALL BE ALLOWED ONLY WHERE THE
AVERAGE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN  (A)
THE STATE AND (B) THE GREEN ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY
CONSTITUTING  SUCH ZONE OR ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR
EXCEEDS THE AVERAGE NUMBER OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE
TAXPAYER IN (A) THE STATE AND (B) SUCH  ZONE  OR  AREA  SUBSEQUENTLY  OR
PREVIOUSLY  CONSTITUTING SUCH ZONE OR SUCH ZONE EQUIVALENT AREA, RESPEC-
TIVELY, DURING THE FOUR YEARS IMMEDIATELY PRECEDING  THE  FIRST  TAXABLE
YEAR  IN  WHICH THE CREDIT IS CLAIMED WITH RESPECT TO SUCH ZONE OR AREA.
WHERE THE TAXPAYER PROVIDED FULL-TIME EMPLOYMENT WITHIN (A) THE STATE OR
(B) SUCH ZONE OR AREA DURING ONLY A PORTION OF  SUCH  FOUR-YEAR  PERIOD,
THEN  FOR  PURPOSES  OF  THIS  PARAGRAPH  THE TERM "FOUR YEARS" SHALL BE
DEEMED TO REFER INSTEAD TO SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE
MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS OF THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF  THE  GENERAL
MUNICIPAL  LAW,  AT  THE  SAME OR A DIFFERENT LOCATION IN THE SAME GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN  A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT  NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR BEGIN-
NING MORE THAN FOUR YEARS FOLLOWING THE TAXABLE  YEAR  IN  WHICH  DESIG-
NATION  AS  A  GREEN  ECONOMIC DEVELOPMENT ZONE EXPIRED OR MORE THAN TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF
  (A) THE PRODUCT OF THREE THOUSAND DOLLARS AND THE  AVERAGE  NUMBER  OF
INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO THE
PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
  (I)  RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF
OF THE TAXABLE YEAR,
  (II) RECEIVED WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF  EMPLOY-
MENT  BY  THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE WHICH WAS
AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM  WAGE  SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (III) ARE TARGETED EMPLOYEES; AND
  (B)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS (EXCLUDING INDIVIDUALS DESCRIBED IN SUBPARAGRAPH (A) OF THIS
PARAGRAPH) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO  THE
PROVISIONS  OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF OF THE
TAXABLE YEAR.
  PROVIDED, FURTHER, HOWEVER, THAT THE CREDIT PROVIDED FOR  HEREIN  WITH
RESPECT  TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE TAXA-
BLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE, MAY NOT,  IN  THE  AGGRE-
GATE,  EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION SIX HUNDRED
ONE OF THIS PART COMPUTED WITHOUT REGARD  TO  ANY  CREDIT  PROVIDED  FOR
UNDER THIS ARTICLE.

S. 5491--A                         29

  (C)  FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT, INDIVIDUALS
EMPLOYED WITHIN A GREEN ECONOMIC DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT
AREA  WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED PERSON,
AS SUCH TERM IS DEFINED  IN  SUBPARAGRAPH  (C)  OF  PARAGRAPH  THREE  OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE  CODE,  SHALL  NOT  BE  INCLUDED IN THE AVERAGE NUMBER OF INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH (A) OR SUBPARAGRAPH  (B)  OF  THIS  PARAGRAPH,
UNLESS  SUCH  RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT UNDER THIS
SUBSECTION WITH RESPECT TO SUCH EMPLOYEES. FOR PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED AS A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD  NOT  BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (D)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL
MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH (A) OR
(B) OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE  THAN  HALF  THE  TAXABLE
YEAR  SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING
THE CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE  CREDIT
ALLOWED  UNDER THIS SUBSECTION SHALL BE COMPUTED BY UTILIZING THE NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME
BY THE TAXPAYER ON THE LAST DAY OF ITS FIRST TAXABLE  YEAR.  A  TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (I) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE  PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY
WHICH IS NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION
(G) OF SECTION FOURTEEN OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF
SUCH  TAXPAYER  SHALL  BE  A  SHORT  TAXABLE YEAR OF NOT MORE THAN SEVEN
MONTHS IN  DURATION;  AND  (III)  THE  NUMBER  OF  INDIVIDUALS  EMPLOYED
FULL-TIME  ON  THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST
ONE HUNDRED NINETY AND SUBSTANTIALLY ALL OF SUCH INDIVIDUALS  MUST  HAVE
BEEN PREVIOUSLY EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED
ITS ASSETS.
  (5)  IF THE AMOUNT OF THE CREDIT AND CARRYOVERS OF SUCH CREDIT ALLOWED
UNDER THIS SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED  THE  TAXPAYER'S
TAX  FOR  SUCH  YEAR,  THE  EXCESS, AS WELL AS ANY PART OF THE CREDIT OR
CARRYOVERS OF SUCH CREDIT, OR BOTH, WHICH MAY NOT BE DEDUCTED  FROM  THE
TAX  OTHERWISE  DUE BY REASON OF THE FINAL SENTENCE IN PARAGRAPH FOUR OF
THIS SUBSECTION, MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS  AND
MAY  BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. IN LIEU
OF CARRYING OVER ANY SUCH EXCESS, A TAXPAYER WHO QUALIFIES AS  AN  OWNER
OF  A  NEW  BUSINESS  FOR PURPOSES OF PARAGRAPH TEN OF SUBSECTION (A) OF
THIS SECTION MAY, AT HIS OPTION, RECEIVE FIFTY PERCENT OF SUCH EXCESS AS
A REFUND. ANY REFUND PAID PURSUANT TO THIS PARAGRAPH SHALL BE DEEMED  TO
BE  A REFUND OF AN OVERPAYMENT OF TAX AS PROVIDED IN SECTION SIX HUNDRED
EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
PAID THEREON.
  (5-A) ANY CARRYOVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL  NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.

S. 5491--A                         30

  S 22. Section 1456  of  the  tax  law  is  amended  by  adding  a  new
subsection (y) to read as follows:
  (Y)  GREEN  ECONOMIC  DEVELOPMENT ZONE WAGE TAX CREDIT. (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED,
AGAINST  THE  TAX  IMPOSED  BY  THIS ARTICLE WHERE THE TAXPAYER HAS BEEN
CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW.
THE  AMOUNT  OF  SUCH CREDIT SHALL BE AS PRESCRIBED IN PARAGRAPH FOUR OF
THIS SUBSECTION.
  (2) FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING  TERMS  SHALL  HAVE
THE  FOLLOWING  MEANINGS:  (A)  "GREEN  ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS WAGES PAID BY THE TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO
GENERAL EXECUTIVE OFFICERS, DURING THE TAXABLE YEAR IN  AN  AREA  DESIG-
NATED  OR  PREVIOUSLY DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE OR
ZONE EQUIVALENT AREA PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE  GENERAL
MUNICIPAL  LAW WHERE SUCH EMPLOYMENT IS IN A JOB CREATED IN THE AREA (I)
DURING THE PERIOD OF ITS DESIGNATION AS  A  GREEN  ECONOMIC  DEVELOPMENT
ZONE,  (II)  WITHIN FOUR YEARS OF THE EXPIRATION OF SUCH DESIGNATION, OR
(III) DURING THE TEN YEAR  PERIOD  IMMEDIATELY  FOLLOWING  THE  DATE  OF
DESIGNATION  AS  A  ZONE EQUIVALENT AREA, PROVIDED, HOWEVER, THAT IF THE
TAXPAYER'S CERTIFICATION UNDER ARTICLE EIGHTEEN-D OF THE GENERAL MUNICI-
PAL LAW IS REVOKED WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE  OR
ZONE  EQUIVALENT  AREA,  ANY WAGES PAID BY THE TAXPAYER, ON OR AFTER THE
EFFECTIVE DATE OF SUCH DECERTIFICATION,  FOR  EMPLOYMENT  IN  SUCH  ZONE
SHALL NOT CONSTITUTE EMPIRE ZONE WAGES.
  (B)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (I)  AN  ELIGIBLE  INDIVIDUAL
UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE), (II)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT  OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST  RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED STATES
DEPARTMENT OF COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY  INCOME  IS
BELOW  THE  MOST  RECENTLY  ESTABLISHED  POVERTY RATE PROMULGATED BY THE
APPROPRIATE FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF  ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN  INDIVIDUAL  WHO  SATISFIES  THE  CRITERIA SET FORTH IN CLAUSE (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE CRITERION SET FORTH IN CLAUSE (III) OF  THIS  SUBPARAGRAPH  AT  SUCH
TIME  OR  AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED
EMPLOYEE SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN  ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C)  "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE OFFI-
CERS, EMPLOYED FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING  THE  NUMBER
OF  SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER  APPLICA-
BLE  PERIOD,  BY  ADDING  TOGETHER THE NUMBER OF SUCH INDIVIDUALS ASCER-
TAINED ON EACH OF SUCH DATES AND DIVIDING THE SUM  SO  OBTAINED  BY  THE
NUMBER  OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER APPLI-
CABLE PERIOD.
  (3) THE CREDIT PROVIDED FOR HEREIN SHALL BE  ALLOWED  ONLY  WHERE  THE
AVERAGE  NUMBER  OF  INDIVIDUALS,  EXCLUDING GENERAL EXECUTIVE OFFICERS,
EMPLOYED FULL-TIME BY THE TAXPAYER IN (I) THE STATE AND (II)  THE  GREEN
ECONOMIC  DEVELOPMENT  ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH ZONE OR

S. 5491--A                         31

ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE AVERAGE NUMBER
OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (I) THE  STATE
AND  (II) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY CONSTITUTING SUCH
ZONE  OR  SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING THE FOUR YEARS
IMMEDIATELY PRECEDING THE FIRST TAXABLE YEAR  IN  WHICH  THE  CREDIT  IS
CLAIMED  WITH  RESPECT TO SUCH ZONE OR AREA. WHERE THE TAXPAYER PROVIDED
FULL-TIME EMPLOYMENT WITHIN (I) THE STATE OR  (II)  SUCH  ZONE  OR  AREA
DURING  ONLY  A  PORTION  OF SUCH FOUR-YEAR PERIOD, THEN FOR PURPOSES OF
THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD TO
SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE
MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS OF THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF  THE  GENERAL
MUNICIPAL  LAW,  AT  THE  SAME OR A DIFFERENT LOCATION IN THE SAME GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN  A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT  NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR BEGIN-
NING MORE THAN FOUR YEARS FOLLOWING THE TAXABLE  YEAR  IN  WHICH  DESIG-
NATION  AS  A  GREEN  ECONOMIC DEVELOPMENT ZONE EXPIRED OR MORE THAN TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (A) THE PRODUCT OF
THREE THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS  (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT  TO THE PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS
SUBSECTION, WHO (I) RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE  WAGES  FOR
MORE  THAN HALF OF THE TAXABLE YEAR, (II) RECEIVED, WITH RESPECT TO MORE
THAN HALF OF THE PERIOD OF EMPLOYMENT BY THE TAXPAYER DURING THE TAXABLE
YEAR, AN HOURLY WAGE WHICH WAS AT LEAST ONE HUNDRED THIRTY-FIVE  PERCENT
OF  THE  MINIMUM  WAGE SPECIFIED IN SECTION SIX HUNDRED FIFTY-TWO OF THE
LABOR LAW, AND (III) ARE TARGETED EMPLOYEES; AND
  (B) THE PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE  NUMBER  OF
INDIVIDUALS   (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND  INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH (A) OF THIS PARAGRAPH) EMPLOYED  FULL-TIME  BY
THE TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (C) OF
PARAGRAPH  TWO  OF THIS SUBSECTION, WHO RECEIVED GREEN ECONOMIC DEVELOP-
MENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  (C) FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT,  INDIVIDUALS
EMPLOYED  WITHIN  A  GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT
AREA WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED  PERSON,
AS  SUCH  TERM  IS  DEFINED  IN  SUBPARAGRAPH  (C) OF PARAGRAPH THREE OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE CODE, SHALL NOT BE INCLUDED IN  THE  AVERAGE  NUMBER  OF  INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH  (A)  OR SUBPARAGRAPH (B) OF THIS PARAGRAPH,
UNLESS SUCH RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT  UNDER  THIS
SUBSECTION  WITH  RESPECT  TO  SUCH  EMPLOYEES. FOR THE PURPOSES OF THIS
SUBPARAGRAPH, A "RELATED PERSON" SHALL INCLUDE  AN  ENTITY  WHICH  WOULD
HAVE  QUALIFIED AS A "RELATED PERSON" TO THE TAXPAYER IF IT HAD NOT BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.

S. 5491--A                         32

  (D) IF A TAXPAYER IS CERTIFIED IN A GREEN  ECONOMIC  DEVELOPMENT  ZONE
DESIGNATED  UNDER  SECTION  NINE  HUNDRED  SEVENTY-FOUR-C OF THE GENERAL
MUNICIPAL LAW, THE DOLLAR AMOUNTS SPECIFIED UNDER  SUBPARAGRAPH  (A)  OR
(B)  OF  THIS  PARAGRAPH  SHALL BE INCREASED BY FIVE HUNDRED DOLLARS FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
EMPIRE ZONE WAGES FOR MORE THAN HALF THE TAXABLE YEAR SHALL NOT APPLY IN
THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING THE CRITERIA  SET  FORTH
IN  THIS  SUBPARAGRAPH.  IN  SUCH  A CASE, THE CREDIT ALLOWED UNDER THIS
SUBSECTION SHALL BE COMPUTED BY  UTILIZING  THE  NUMBER  OF  INDIVIDUALS
(EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME BY THE TAXPAY-
ER  ON  THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER SHALL SATISFY
THE FOLLOWING CRITERIA: (I) SUCH  TAXPAYER  ACQUIRED  REAL  OR  TANGIBLE
PERSONAL  PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY WHICH IS
NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION  (G)  OF
SECTION  FOURTEEN  OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF SUCH
TAXPAYER SHALL BE A SHORT TAXABLE YEAR OF NOT MORE THAN SEVEN MONTHS  IN
DURATION;  AND (III) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME ON THE
LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED NINETY
AND SUBSTANTIALLY ALL OF SUCH  INDIVIDUALS  MUST  HAVE  BEEN  PREVIOUSLY
EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED ITS ASSETS.
  PROVIDED,  FURTHER,  HOWEVER, THAT THE CREDIT PROVIDED FOR HEREIN WITH
RESPECT TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE  TAXA-
BLE  YEAR,  DEDUCTED  FROM THE TAX OTHERWISE DUE, MAY NOT, IN THE AGGRE-
GATE, EXCEED FIFTY PERCENT OF THE TAX  IMPOSED  UNDER  SECTION  FOURTEEN
HUNDRED FIFTY-FIVE OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (5)  THE  CREDIT  AND  CARRYOVERS  OF  SUCH  CREDIT ALLOWED UNDER THIS
SUBSECTION FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE  THE
TAX  DUE  FOR SUCH YEAR TO LESS THAN THE MINIMUM TAX FIXED BY SUBSECTION
(B) OF SECTION FOURTEEN HUNDRED FIFTY-FIVE OF THIS ARTICLE. HOWEVER,  IF
THE  AMOUNT  OF  CREDIT  OR  CARRYOVERS OF SUCH CREDIT, OR BOTH, ALLOWED
UNDER THIS SUBSECTION FOR ANY TAXABLE  YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  OR  IF  ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT MAY
NOT BE DEDUCTED FROM THE TAX  OTHERWISE  DUE  BY  REASON  OF  THE  FINAL
SENTENCE IN PARAGRAPH FOUR HEREOF, ANY AMOUNT OF CREDIT OR CARRYOVERS OF
SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO  THE  FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE TAXPAYER'S
TAX FOR SUCH YEAR OR YEARS.
  (5-A) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  S 23. Section 1511 of the tax law is amended by adding a new  subdivi-
sion (bb) to read as follows:
  (BB)  GREEN  ECONOMIC DEVELOPMENT ZONE CAPITAL CREDIT.  (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS  ARTICLE.  THE
AMOUNT OF THE CREDIT SHALL BE EQUAL TO TWENTY-FIVE PERCENT OF THE SUM OF
THE FOLLOWING INVESTMENTS AND CONTRIBUTIONS MADE DURING THE TAXABLE YEAR
AND CERTIFIED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT: (A) FOR TAXA-
BLE YEARS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND TWELVE, QUALIFIED
INVESTMENTS  MADE IN, OR CONTRIBUTIONS IN THE FORM OF DONATIONS MADE TO,
ONE OR MORE GREEN ECONOMIC DEVELOPMENT ZONE CAPITAL  CORPORATIONS  PRIOR
TO  JANUARY  FIRST,  TWO  THOUSAND  TWELVE, (B) QUALIFIED INVESTMENTS IN

S. 5491--A                         33

CERTIFIED ZONE BUSINESSES WHICH DURING THE  TWELVE  MONTH  PERIOD  IMME-
DIATELY  PRECEDING  THE  MONTH IN WHICH SUCH INVESTMENT IS MADE EMPLOYED
FULL-TIME WITHIN THE STATE AN AVERAGE NUMBER OF  INDIVIDUALS,  EXCLUDING
GENERAL  EXECUTIVE  OFFICERS,  OF  TWO  HUNDRED FIFTY OR FEWER, COMPUTED
PURSUANT TO THE PROVISIONS OF  SUBPARAGRAPH  (C)  OF  PARAGRAPH  TWO  OF
SUBDIVISION  (G)  OF  THIS SECTION, EXCEPT FOR INVESTMENTS MADE BY OR ON
BEHALF OF AN OWNER OF THE BUSINESS, INCLUDING, BUT  NOT  LIMITED  TO,  A
STOCKHOLDER,  PARTNER  OR  SOLE  PROPRIETOR,  OR  ANY RELATED PERSON, AS
DEFINED IN SUBPARAGRAPH (C) OF PARAGRAPH  THREE  OF  SUBSECTION  (B)  OF
SECTION  FOUR  HUNDRED  SIXTY-FIVE OF THE INTERNAL REVENUE CODE, AND (C)
CONTRIBUTIONS OF MONEY TO COMMUNITY DEVELOPMENT PROJECTS AS  DEFINED  IN
REGULATIONS  PROMULGATED  BY  THE  COMMISSIONER OF ECONOMIC DEVELOPMENT.
"QUALIFIED INVESTMENTS" MEANS THE CONTRIBUTION OF PROPERTY TO  A  CORPO-
RATION  IN  EXCHANGE FOR ORIGINAL ISSUE CAPITAL STOCK OR OTHER OWNERSHIP
INTEREST, THE CONTRIBUTION OF PROPERTY TO A PARTNERSHIP IN EXCHANGE  FOR
AN INTEREST IN THE PARTNERSHIP, AND SIMILAR CONTRIBUTIONS IN THE CASE OF
A  BUSINESS  ENTITY NOT IN CORPORATE OR PARTNERSHIP FORM IN EXCHANGE FOR
AN OWNERSHIP INTEREST IN SUCH ENTITY. THE TOTAL AMOUNT OF CREDIT  ALLOW-
ABLE  TO  A  TAXPAYER  UNDER  THIS PROVISION FOR ALL YEARS, TAKEN IN THE
AGGREGATE, SHALL NOT EXCEED THREE HUNDRED THOUSAND  DOLLARS,  AND  SHALL
NOT  EXCEED ONE HUNDRED THOUSAND DOLLARS WITH RESPECT TO THE INVESTMENTS
AND CONTRIBUTIONS DESCRIBED IN EACH OF SUBPARAGRAPHS (A), (B) AND (C) OF
THIS PARAGRAPH.
  (2) THE CREDIT AND CARRYOVER OF SUCH CREDIT ALLOWED UNDER THIS  SUBDI-
VISION  FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE TAX
DUE FOR SUCH YEAR TO LESS THAN THE MINIMUM FIXED BY  PARAGRAPH  FOUR  OF
SUBDIVISION  (A)  OF  SECTION  FIFTEEN HUNDRED TWO OF THIS ARTICLE OR BY
SECTION FIFTEEN HUNDRED TWO-A OF THIS ARTICLE, WHICHEVER IS  APPLICABLE.
HOWEVER,  IF THE AMOUNT OF CREDIT OR CARRYOVERS OF SUCH CREDIT, OR BOTH,
ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE  TAX  TO
SUCH  AMOUNT,  OR IF ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT
MAY NOT BE DEDUCTED FROM THE TAX OTHERWISE DUE BY REASON  OF  THE  FINAL
SENTENCE  OF  THIS PARAGRAPH, ANY AMOUNT OF CREDIT OR CARRYOVERS OF SUCH
CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED  OVER  TO
THE  FOLLOWING  YEAR  OR YEARS AND MAY BE DEDUCTED FROM THE TAX FOR SUCH
YEAR OR YEARS. IN ADDITION, THE AMOUNT OF SUCH CREDIT, AND CARRYOVERS OF
SUCH CREDIT TO THE TAXABLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE MAY
NOT, IN THE AGGREGATE, EXCEED FIFTY  PERCENT  OF  (I)  IN  THE  CASE  OF
TAXPAYERS  SUBJECT  TO  TAX  UNDER  SUBDIVISION  (B)  OF SECTION FIFTEEN
HUNDRED TEN OF THIS ARTICLE, THE LESSER OF (I)  THE  LIMITATION  ON  TAX
COMPUTED PURSUANT TO SUBDIVISION (A) OF SECTION FIFTEEN HUNDRED FIVE, OR
(II)  THE GREATER OF THE SUM OF THE TAXES IMPOSED UNDER SECTIONS FIFTEEN
HUNDRED ONE AND FIFTEEN HUNDRED TEN OR THE AMOUNT OF TAX COMPUTED PURSU-
ANT TO SUBDIVISION (B) OF SECTION FIFTEEN HUNDRED FIVE, OR (II) FOR  ALL
OTHER  INSURANCE  CORPORATIONS,  THE  TAX  IMPOSED UNDER SECTION FIFTEEN
HUNDRED TWO-A OF THIS ARTICLE, COMPUTED WITHOUT  REGARD  TO  ANY  CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (2-A)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED TO A GREEN ECONOMIC DEVELOPMENT ZONE  ENTERPRISE  WHICH  IS  THE
BASIS  OF  THE  CREDIT,  IF  A GREEN ECONOMIC DEVELOPMENT ZONE RETENTION
CERTIFICATE IS NOT ISSUED TO SUCH ENTITY PURSUANT  TO  RULES  AND  REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT.
  (3)  WHERE THE STOCK, PARTNERSHIP INTEREST OR OTHER OWNERSHIP INTEREST
ARISING FROM A QUALIFIED INVESTMENT AS DESCRIBED  IN  SUBPARAGRAPHS  (A)
AND (B) OF PARAGRAPH ONE OF THIS SUBDIVISION IS DISPOSED OF, THE TAXPAY-
ER'S  ENTIRE  NET  INCOME  SHALL  BE  COMPUTED,  PURSUANT TO REGULATIONS

S. 5491--A                         34

PROMULGATED BY THE COMMISSIONER, SO AS TO PROPERLY REFLECT  THE  REDUCED
COST  THEREOF  ARISING  FROM  THE APPLICATION OF THE CREDIT PROVIDED FOR
HEREIN.
  (4)(A)  WHERE  A  TAXPAYER  SELLS,  TRANSFERS OR OTHERWISE DISPOSES OF
CORPORATE STOCK, A PARTNERSHIP  INTEREST  OR  OTHER  OWNERSHIP  INTEREST
ARISING  FROM  THE MAKING OF A QUALIFIED INVESTMENT WHICH WAS THE BASIS,
IN WHOLE OR IN PART, FOR THE ALLOWANCE OF THE CREDIT PROVIDED FOR  UNDER
THIS  SUBDIVISION,  OR  WHERE A CONTRIBUTION OR INVESTMENT WHICH WAS THE
BASIS FOR SUCH ALLOWANCE IS IN ANY MANNER, IN WHOLE OR IN  PART,  RECOV-
ERED  BY  SUCH  TAXPAYER, AND SUCH DISPOSITION OR RECOVERY OCCURS DURING
THE TAXABLE YEAR OR WITHIN THIRTY-SIX MONTHS FROM THE CLOSE OF THE TAXA-
BLE YEAR WITH RESPECT TO WHICH SUCH CREDIT IS ALLOWED, SUBPARAGRAPH  (B)
OF THIS PARAGRAPH SHALL APPLY.
  (B)  THE  TAXPAYER  SHALL ADD BACK WITH RESPECT TO THE TAXABLE YEAR IN
WHICH THE DISPOSITION OR RECOVERY DESCRIBED IN SUBPARAGRAPH (A) OF  THIS
PARAGRAPH  OCCURRED  THE  REQUIRED  PORTION  OF  THE  CREDIT  ORIGINALLY
ALLOWED.
  (C) THE REQUIRED PORTION OF THE CREDIT ORIGINALLY ALLOWED SHALL BE THE
PRODUCT OF (I) THE PORTION OF SUCH CREDIT ATTRIBUTABLE TO  THE  PROPERTY
DISPOSED OF OR THE PAYMENT OR CONTRIBUTION RECOVERED AND (II) THE APPLI-
CABLE PERCENTAGE.
  (D) THE APPLICABLE PERCENTAGE SHALL BE:
  (I)  ONE HUNDRED PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS WITHIN
THE TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED  OR  WITHIN
TWELVE MONTHS OF THE END OF SUCH TAXABLE YEAR,
  (II)  SIXTY-SEVEN  PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS MORE
THAN TWELVE BUT NOT MORE THAN TWENTY-FOUR MONTHS AFTER THE  END  OF  THE
TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED, OR
  (III) THIRTY-THREE PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS MORE
THAN  TWENTY-FOUR  BUT  NOT MORE THAN THIRTY-SIX MONTHS AFTER THE END OF
THE TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED.
  S 24. Section 66 of the public service law is amended by adding a  new
subdivision 12-e to read as follows:
  12-E.  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, UPON APPLICATION OF
A GAS OR ELECTRIC  CORPORATION,  THE  COMMISSION  SHALL  AUTHORIZE  SUCH
CORPORATION  TO  CHARGE  A  SPECIAL GREEN ECONOMIC DEVELOPMENT ZONE RATE
EQUAL TO THE INCREMENTAL COST OF PROVIDING SERVICE TO  CUSTOMERS  CERTI-
FIED  AS  ELIGIBLE  FOR  SUCH RATE PURSUANT TO ARTICLE EIGHTEEN-D OF THE
GENERAL MUNICIPAL LAW.
  S 25. This act shall take effect immediately.

S5491B - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491B - Bill Texts

view summary

Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

view sponsor memo
BILL NUMBER:S5491B

TITLE OF BILL:
An act to amend the general municipal law, the real property tax law,
the general city law, the tax law and the public service law, in
relation to enacting the New York state green economic development zones
act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the Green Enterprise Trade Zone, which is
a designated area of in the commercial and/or industrial zoned area of
Staten Island, that would attract companies producing goods and services
for the Green Environmental Standards that government is mandating and
leverage green business strategies and green technology, with tax
exemptions to accelerate investment in our City and State green tech and
clean tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 This act shall be known and be cited as the "New York state
green economic development zones act.
Section 2 The general municipal law is amended by adding a new article
18-D.
Section 3 Subdivision 2 of section 499-aa of the real property tax law
is amended by adding a new paragraph (b-1).
Section 4 Paragraphs (b), (c) and (d) of subdivision 10 of section
499-aa of the real property tax law, paragraphs (b) and (c) as
amended and paragraph (d) as added by chapter 403 of the laws of 2006.
Section 5 Section 499-aa of real property tax law is amended by adding
two new subdivisions 14-b and 14c.
Section 6 adds subdivisions 1-c to 499-bb to the real property tax
law. 1-c deals with the effective date and the benefits of a green
business in a green zone. If a green business is located in a green
zone and have lease on or after July 1, 2012 for no less than 3
years, shall receive an abatement of real property taxes for each
year of the benefit period equal to the product obtained by
multiplying the tenant's percentage share by the number of square
feet in the eligible building.
Section 7 defines "eligible business" and addresses the time when a
green business can relocate into a green zone. This section
determines that on or after July 1, 2012, a green business can enter
into a contract to purchase of lease premises in a green zone.
Section 8 amends section 25-y of the general city law adding two new
subdivision, (a-1) and (a-2). A-1 defines "green business" as any
person that conducts eligible green activities and is subject to a
tax imposed under a local law. A-2 defines "green zone" and lists the
areas of Staten Island that are considered to be green zones.
Section 9 amends section 25-y of the general city law by adding
paragraph 4 in regard to nonresidential premises located entirely in
real property located partially or entirely in a green zone.
Section 10 amends subdivision (f) of the general city regarding
"eligible area", adding a provision that states when a green business

relocates after July 1, 2012, an eligible area shall include a
green zone.
Section 11 deals with subdivision 25-y of the general business law
concerning "revitalization area" adding "green zones" to the
definition after July 1, 2012.
Section 12 amends subdivision (a) section 25-s of the general city law
adding paragraph 1-a. 1-a is a provision that states that-a green
business relocating after July 1, 2012, is a green zone.
Section 13, 14, & 15 amends section 25-s of the general city law.
Section 16 amends the real property tax law by adding a new section
485-n.
Section 17 amends the tax law by adding a new subdivision 11.
Section 18 amends section 210 of the tax law by adding two new
subdivisions 12- H and 12-I.
Section 19 amends the tax law by adding a new subdivision 43.
Section 20 adds a new clause (xxxii) to the tax law.
Section 21 amends section 606 of the tax law by adding a new
subsection (qq).
Section 22 amends section 1456 of the tax law by adding new subsection.
Section 23 amends section 1511 of the tax law by adding subdivision (aa).

JUSTIFICATION:
The Green Zone is a geographically designated area of Staten Island
aimed at attracting companies that produce Green goods and services,
or who utilize Green technology. The Green Zone attracts companies
who work within the sphere of smart growth and environmentally
friendly development and research. The Green Zone acts as a "go to
place" for the entrepreneur who is prepared to put their technology
into production and the market. Staten Island has a rich history of
manufacturing and industrial production and a strong base for skilled
labor. Advances in Green technology allow for increased and
diversified employment and production on Staten Island. Businesses
that take measurable steps in increasing energy and material
efficiency will be the standard-bearers for increased Green
initiatives throughout the region.
The Green Zone and the initiatives of Green Zone companies will
educate local companies and residents about the Green economy. This
education and availability of resources will allow for efficiency
retrofits, professional support and guidance for companies seeking
financial incentives for Green investment, promote Green Collar job
retraining options, improve alternative energy development. and
attract Green businesses that create sustainable employment
opportunities for Islanders.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and
leaving the Foreign Trade Zone, promotes trade and economic
development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the

outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies
and the production of green technology thus creating an area where
the investment community can focus on green product development. as
well as, an area where green products can be manufactured. This zone
will establish a location where companies focusing on green economic
development can come together to individually and jointly spur
development of a more green state.

Most importantly, the Green Zone Act will be a tax exemption on
business profits for a fixed period of time. The tax exemption on
business profits would stimulate green economic development and
accelerate the developing clean tech industries that locate within
the zone, allowing lower cost for green products sold in New York
City and State, the largest market in the United States. Tax
exemption worked for the Foreign Trade Zones, it will work for Green
Zones.

PRIOR LEGISLATIVE HISTORY:
2010: A.10662 - Died in Economic Development.
2011: S.5491 - Amend and recommit to Local Government/A.2219
Reported to Ways and Means

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                 5491--B

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  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  amend the general municipal law, the real property tax law,
  the general city law, the tax law  and  the  public  service  law,  in
  relation  to  enacting  the  New York state green economic development
  zones act

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

  Section  1.  This act shall be known and may be cited as the "New York
state green economic development zones act."
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
        974-D. RESPONSIBILITIES OF THE COMMISSIONER.
        974-E. DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE.
        974-F. APPLICATION FOR GREEN ECONOMIC  DEVELOPMENT  ZONE  DESIG-
                 NATION.
        974-G. GREEN ECONOMIC DEVELOPMENT ZONE DEVELOPMENT PLAN.
        974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-06-1

S. 5491--B                          2

        974-I. DESIGNATION  OF  GREEN  ECONOMIC  DEVELOPMENT  ZONE  AS A
                 FEDERAL GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.
        974-J. DIVISION OF TAXES BY GOVERNMENT BODIES.
        974-K. DISPOSITION OF PROPERTY.
        974-L. TERMINATION  OR REVERSION OF A GREEN ECONOMIC DEVELOPMENT
                 ZONE.
  S 974.  SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE  CITED  AS
THE "NEW YORK GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S  974-A.    LEGISLATIVE FINDINGS AND DECLARATION.  IT IS HEREBY FOUND
AND DECLARED THAT THERE EXISTS WITHIN THE STATE THE  NEED  TO  STIMULATE
EMPLOYMENT  AND  MORE EFFICIENT TRANSPORTATION BY UTILIZING THE EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF THE STATE, IMPROVE THE STATE'S  ENVIRONMENTAL  QUALITY  OF  LIFE  AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO  STIMULATE  PRIVATE  INVESTMENT, PRIVATE BUSINESS DEVELOPMENT AND JOB
CREATION. IT IS THE PUBLIC POLICY OF THE STATE TO OFFER  SPECIAL  INCEN-
TIVES  AND  ASSISTANCE  THAT  WILL  PROMOTE THE DEVELOPMENT OF NEW GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED AREAS AND TO DO SO WITHOUT ENCOURAGING  THE  RELOCATION  OF  BUSINESS
INVESTMENT  FROM  OTHER  AREAS  OF  THE  STATE.  IT IS FURTHER FOUND AND
DECLARED THAT IT IS THE PUBLIC POLICY OF  THE  STATE  TO  ACHIEVE  THESE
GOALS  THROUGH  THE  MUTUAL COOPERATION OF ALL LEVELS OF STATE AND LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S 974-B. DEFINITIONS. AS USED IN THIS  ARTICLE,  THE  FOLLOWING  TERMS
SHALL  HAVE  THE  FOLLOWING  MEANINGS  UNLESS THE CONTEXT SHALL INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A) "APPLICANT" SHALL MEAN THE COUNTY, CITY, TOWN OR  VILLAGE  SUBMIT-
TING  AN  APPLICATION  IN  THE MANNER AUTHORIZED BY LOCAL LAW FOR DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B) "ENTERPRISE" SHALL MEAN A BUSINESS ENTERPRISE THAT  IS  AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C)  "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES IN
ONE OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH  AND
DEVELOPMENT  AND  THE APPLICATION AND INSTALLATION OF GREEN PRODUCTS AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION  COMPA-
NIES  INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR PANEL
PRODUCTION OR ASSEMBLY, WIND  TURBINE  PRODUCTION  OR  ASSEMBLY,  CARBON
CAPTURE  AND  STORAGE  MECHANISM,  CLEAN FUEL VEHICLES, RENEWABLE ENERGY
DEVELOPMENT, OR ENERGY EFFICIENCY TECHNOLOGIES. GREEN  PRODUCTION  SHALL
ALSO  INCLUDE,  BUT  SHALL  NOT BE LIMITED TO, THE FOLLOWING:  (1) GREEN
HOUSE EMISSION REDUCTION TECHNOLOGIES; (2)  THE  ASSEMBLY  OF  ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE, BUT NOT BE LIMITED TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT THE NEW OR  RETROFITTED  FURNACES  AND  BOILERS

S. 5491--B                          3

SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN  0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHI-
CLES OR THE CONVERSION OF EXISTING VEHICLES  TO  CLEAN-FUELED  VEHICLES;
AND  (IV)  OTHER  MEASURES  THAT  WILL  REDUCE THE DEMAND FOR AND/OR THE
CONSUMPTION OF ENERGY INCLUDING FUELS, AS DETERMINED BY  THE  DEPARTMENT
OF  ENVIRONMENTAL  CONSERVATION  WITH THE NEW YORK STATE ENERGY RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY AS DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E) "GREEN SERVICE AND REPAIR"  SHALL  MEAN  ANY  COMPANY  THAT  DEALS
PRIMARILY  WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR INDIVID-
UALS IN A SUSTAINABLE OR ENERGY  EFFICIENT  MANNER.  GREEN  SERVICE  AND
REPAIR  COMPANIES  INCLUDE,  BUT ARE NOT LIMITED TO, THOSE OFFERING SUCH
SERVICES AS GREEN ROOFING, LEED CERTIFICATION AND  INSPECTION  SERVICES,
USE  AND  SALE  OF  LOW  VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE,
COATED, OR GREEN ROOF INSTALLATION, RECOVERY AND  RECYCLING  PROCESSING,
REPLACEMENT  OF  INEFFICIENT  TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION  TECHNOLOGY  RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE INSTALLATION, CLEAN-FUEL  VEHICLE  UTILIZATION,  GREENHOUSE  GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.

S. 5491--B                          4

  (D)  "COMMISSIONER"  SHALL  MEAN THE COMMISSIONER OF ECONOMIC DEVELOP-
MENT.
  S  974-C. CRITERIA FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION. TO
BE ELIGIBLE FOR DESIGNATION AS A GREEN  ECONOMIC  DEVELOPMENT  ZONE  THE
AREA  MUST  BE  DESIGNATED BY THE FEDERAL GOVERNMENT AS A GREEN ECONOMIC
DEVELOPMENT ZONE OR GREEN ENTERPRISE ZONE AND BE DEFINED  BY  PRE-DESIG-
NATED BOUNDARIES.
  S 974-D. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A)  AFTER CONSULTATION WITH ALL APPROPRIATE DIRECTORS AND COMMISSION-
ERS OF STATE AGENCIES PROMULGATE REGULATIONS GOVERNING THE  CRITERIA  OF
ELIGIBILITY FOR LOCAL GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATIONS;
  (B)  RECEIVE AND REVIEW APPLICATIONS FOR DESIGNATION OF AREAS AS LOCAL
GREEN ECONOMIC DEVELOPMENT ZONES;
  (C) PROMULGATE REGULATIONS, IN CONSULTATION WITH THE  COMMISSIONER  OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION  SYSTEM,  WHICH IS CAPABLE OF COMPILING AND ANALYZING ACCURATE AND
CONSISTENT INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER  STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET; AND
  (D) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S  974-E.  DESIGNATION  OF  GREEN ECONOMIC DEVELOPMENT ZONE. THE GREEN
ECONOMIC DEVELOPMENT ZONE SHALL BE IN COORDINATION AND  CORRESPOND  WITH
THE FEDERAL DESIGNATION OF GREEN ENTERPRISE DEVELOPMENT ZONES.
  S  974-F. APPLICATION FOR GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATION.
A CITY, COUNTY (OTHER THAN A COUNTY WHOLLY  CONTAINED  WITHIN  A  CITY),
TOWN  OR VILLAGE MAY ADOPT A LOCAL LAW AUTHORIZING SUCH MUNICIPAL CORPO-
RATION TO PREPARE AND SUBMIT AN APPLICATION TO THE DEPARTMENT OF ECONOM-
IC DEVELOPMENT FOR DESIGNATION OF AN AREA THEREIN AS  A  GREEN  ECONOMIC
DEVELOPMENT  ZONE; AND THE ADOPTION OF SUCH A LOCAL LAW BY THE MUNICIPAL
CORPORATION WITHIN WHICH THE PROPOSED GREEN ECONOMIC DEVELOPMENT ZONE IS
TO BE LOCATED SHALL BE A PREREQUISITE TO THE SUBMISSION OF  AN  APPLICA-
TION FOR SUCH DESIGNATION. SUCH LOCAL LAW SHALL ALSO DESIGNATE THE BOUN-
DARIES OF SUCH AREA.
  S  974-G.  GREEN  ECONOMIC  DEVELOPMENT ZONE DEVELOPMENT PLAN. A GREEN
ECONOMIC DEVELOPMENT ZONE DEVELOPMENT  PLAN  SHALL  BE  FILED  WITH  THE
DEPARTMENT  OF  ECONOMIC  DEVELOPMENT, AND WITH THE LOCAL GREEN ECONOMIC
DEVELOPMENT ZONE BODY, AND SHALL DEMONSTRATE THE METHODS  BY  WHICH  THE
APPLICANT  INTENDS  TO PROMOTE THE DEVELOPMENT OF NEW GREEN BUSINESS AND
THE EXPANSION OF EXISTING BUSINESS DEVELOPING  GREEN  TECHNOLOGY  WITHIN
THE GREEN ECONOMIC DEVELOPMENT ZONE.
  S  974-H. LOCAL ADMINISTRATION OF GREEN ECONOMIC DEVELOPMENT ZONE. THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE  CERTIFICATION  SHALL  BE  BY  THE
LOCAL GREEN ECONOMIC DEVELOPMENT ZONE BODY.
  S  974-I.  DESIGNATION OF GREEN ECONOMIC DEVELOPMENT ZONE AS A FEDERAL
GREEN ENTERPRISE ECONOMIC DEVELOPMENT ZONE.   (FEDERAL GREEN  ENTERPRISE
ECONOMIC DEVELOPMENT ZONE PROPOSED)
  S 974-J. DIVISION OF TAXES BY GOVERNMENT BODIES. THE GOVERNING BODY OF
ANY  CITY, TOWN, VILLAGE OR COUNTY IN WHICH A GREEN ECONOMIC DEVELOPMENT
ZONE IS LOCATED IS HEREBY AUTHORIZED AND EMPOWERED TO ADOPT A LOCAL  LAW
PROVIDING  THAT  ANY  TAXES  LEVIED  BY OR ON BEHALF OF SUCH CITY, TOWN,
VILLAGE OR COUNTY UPON TAXABLE REAL PROPERTY IN SUCH ZONE MAY BE  EXEMPT
FOR A TEN-YEAR PERIOD.
  S 974-K. DISPOSITION OF PROPERTY. (A) NOTWITHSTANDING ANY PROVISION OF
ANY  OTHER  LAW TO THE CONTRARY, IN ORDER TO FURTHER THE PURPOSES OF THE
GREEN ECONOMIC DEVELOPMENT ZONE, ANY REAL OR PERSONAL  PROPERTY  LOCATED
WITHIN  A GREEN ECONOMIC DEVELOPMENT ZONE AND OWNED BY ANY LOCAL GOVERN-
MENTAL ENTITY IN WHOSE JURISDICTION A GREEN ECONOMIC DEVELOPMENT ZONE IS

S. 5491--B                          5

LOCATED, MAY BE SOLD OR LEASED FOR  A  TERM  NOT  EXCEEDING  NINETY-NINE
YEARS  TO A PRIVATE USER, A COMMUNITY-BASED ORGANIZATION, A PUBLIC BENE-
FIT CORPORATION OR  ANY  OTHER  PERSON;  PROVIDED,  HOWEVER,  THAT  EACH
CONTRACT FOR SUCH SALE, AND EACH SUCH LEASE, SHALL OBLIGATE THE BUYER OR
LESSEE  TO  COMPLY  WITH  THE  PROVISIONS  OF THIS ARTICLE AND THE GREEN
ECONOMIC DEVELOPMENT ZONE PLAN FILED WITH THE COMMISSIONER  PURSUANT  TO
SECTION  NINE  HUNDRED  SEVENTY-FOUR-G OF THIS ARTICLE. SUCH OBLIGATIONS
CONTAINED IN A CONTRACT FOR THE SALE  OF  REAL  PROPERTY  SHALL  SURVIVE
DELIVERY  OF  THE  DEED.  A  BREACH BY THE BUYER OR LESSEE OF A MATERIAL
OBLIGATION OF SUCH CONTRACT OR LEASE SHALL, IN  ADDITION  TO  ANY  OTHER
REMEDIES AVAILABLE TO THE SELLER OR LESSOR UNDER THE CONTRACT, TERMINATE
THE ELIGIBILITY OF THE BUYER OR LESSEE FOR ANY BENEFITS PROVIDED IN THIS
ARTICLE.
  S  974-L.  TERMINATION  OR  REVERSION  OF A GREEN ECONOMIC DEVELOPMENT
ZONE. (A) EXCEPT AS PROVIDED IN THIS SECTION, ANY DESIGNATION OF AN AREA
AS A GREEN ECONOMIC DEVELOPMENT ZONE SHALL REMAIN IN EFFECT  DURING  THE
PERIOD  BEGINNING ON THE DATE OF DESIGNATION AND ENDING TEN YEARS THERE-
AFTER. AFTER CONSULTATION WITH  THE  DIRECTOR  OF  THE  BUDGET  AND  THE
COMMISSIONER OF LABOR, THE COMMISSIONER MAY TERMINATE THE DESIGNATION OF
AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE UPON A FINDING THAT (1) THE
APPLICANT  HAS  FAILED  SUBSTANTIALLY  TO  IMPLEMENT  THE GREEN ECONOMIC
DEVELOPMENT ZONE DEVELOPMENT PLAN WITHIN THE TIME STATED THEREIN; OR (2)
THERE HAS BEEN NO SUBSTANTIAL BUSINESS DEVELOPMENT OR JOB CREATION WITH-
IN THE AREA DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE WITHIN  FIVE
YEARS  AFTER  SUCH  DESIGNATION;  PROVIDED, HOWEVER, THAT NO TERMINATION
SHALL OCCUR UNLESS AND UNTIL WRITTEN NOTICE HAS BEEN GIVEN TO THE APPLI-
CANT AND A PUBLIC HEARING HAS BEEN HELD THIRTY DAYS PRIOR TO THE  EFFEC-
TIVE DATE OF SUCH TERMINATION.
  (B)  UPON  THE  TERMINATION  OF  A  GREEN ECONOMIC DEVELOPMENT ZONE AS
PROVIDED IN THIS SECTION, THE COMMISSIONER SHALL  FILE  NOTICE  OF  SUCH
TERMINATION.
  S  3.  Subdivision 2 of section 499-aa of the real property tax law is
amended by adding a new paragraph (b-1) to read as follows:
  (B-1) IN ADDITION TO THE ABATEMENT ZONE SET FORTH  IN  PARAGRAPHS  (A)
AND  (B) OF THIS SUBDIVISION, IN THE CITY OF NEW YORK THE ABATEMENT ZONE
SHALL INCLUDE A "GREEN ZONE" AS DEFINED IN THIS SECTION.
  S 4. Paragraphs (b), (c) and (d) of subdivision 10 of  section  499-aa
of  the  real  property  tax  law, paragraphs (b) and (c) as amended and
paragraph (d) as added by chapter 403 of the laws of 2006,  are  amended
to read as follows:
  (b)  With  respect  to  the abatement zone defined in paragraph (b) OR
(B-1) of subdivision two of this section, premises located in an  eligi-
ble  building that are (i) occupied or used as offices (including ancil-
lary uses) or are occupied or used for other lawful commercial  business
activities,  but  not  premises  occupied or used as retail space or for
hotel or residential purposes; or (ii) occupied or used  for  industrial
and  manufacturing  activities  (including ancillary uses) OR BY A GREEN
BUSINESS IN A GREEN ZONE, but not premises occupied or used for hotel or
residential purposes; and
  (c) With respect to the abatement zone defined  in  paragraph  (c)  of
subdivision  two of this section, premises located in an eligible build-
ing that are occupied or used for industrial  and  manufacturing  activ-
ities  (including ancillary uses) OR USED BY A GREEN BUSINESS IN A GREEN
ZONE, but not  premises  occupied  or  used  for  hotel  or  residential
purposes.

S. 5491--B                          6

  (d)  Notwithstanding  the provisions of subparagraph (ii) of paragraph
(b) or paragraph (c) of this subdivision, premises located in an  eligi-
ble  building shall not be eligible for the tax abatement granted pursu-
ant to subdivision one-b of section four hundred ninety-nine-bb of  this
title  unless at least fifty percent of the aggregate floor area of such
premises is occupied or used for industrial and manufacturing activities
(exclusive of ancillary uses) as defined in  subdivision  fourteen-a  of
this section OR BY A GREEN BUSINESS AS DEFINED IN SUBDIVISION FOURTEEN-B
OF THIS SECTION.
  S  5. Section 499-aa of the real property tax law is amended by adding
two new subdivisions 14-b and 14-c to read as follows:
  14-B. "GREEN BUSINESS." A "GREEN BUSINESS" SHALL  BE  DEFINED  AS  ONE
THAT  PRIMARILY  OPERATES  IN  ONE  OR  MORE  OF FOUR AREAS: PRODUCTION,
SERVICE AND REPAIR, RESEARCH AND DEVELOPMENT  AND  THE  APPLICATION  AND
INSTALLATION  OF GREEN PRODUCTS AND SERVICES. A GREEN PRODUCTION COMPANY
IS A COMPANY DEALING PRIMARILY WITH THE MANUFACTURING  AND  DISTRIBUTION
OF  ENERGY EFFICIENCY TECHNOLOGIES AND GREENHOUSE GAS EMISSION REDUCTION
TECHNOLOGIES. GREEN PRODUCTION COMPANIES INCLUDE, BUT  ARE  NOT  LIMITED
TO,  BIO  FUEL  DEVELOPMENT,  SOLAR  PANEL  PRODUCTION OR ASSEMBLY, WIND
TURBINE PRODUCTION OR ASSEMBLY, CARBON CAPTURE  AND  STORAGE  MECHANISM,
CLEAN  FUEL VEHICLES, RENEWABLE ENERGY DEVELOPMENT, OR ENERGY EFFICIENCY
TECHNOLOGIES. GREEN PRODUCTION SHALL ALSO  INCLUDE,  BUT  SHALL  NOT  BE
LIMITED TO, THE FOLLOWING:
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE BUT NOT BE LIMITED  TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT NEW OR RETROFITTED FURNACES AND  BOILERS  SHALL
NOT  AT  ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE CONVERSION OF EXISTING VEHICLES TO CLEAN FUELED VEHICLES;  AND  (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY.
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN.
  (C) "ENERGY EFFICIENCY TECHNOLOGIES"   SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY.
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE

S. 5491--B                          7

COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS.
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE AND SALE OF LOW VOC PAINTS,  LOW  ENERGY  RADIANT  FLOORING,  WHITE,
COATED,  OR  GREEN ROOF INSTALLATION, RECOVERY AND RECYCLING PROCESSING,
REPLACEMENT OF INEFFICIENT TECHNOLOGIES, CLEAN-FUEL  VEHICLE  SALES  AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES.
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES.
  (G) "GREEN APPLICATION AND INSTALLATION" IS  THE  ACT  OF  A  PROPERTY
OWNER  OR  TENANT  INSTALLING  OR  USING A TYPE OF GREEN TECHNOLOGY THAT
RESULTS IN GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER  ENERGY  EFFI-
CIENCY  TECHNOLOGIES  AND  SHALL  ALSO INCLUDE CERTAIN WORK PERFORMED BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION TECHNOLOGY RETROFITTING, GREEN ROOF INSTALLATION, LOW  FLOW  WATER
FIXTURE  INSTALLATION,  CLEAN-FUEL  VEHICLE  UTILIZATION, GREENHOUSE GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  14-C. "GREEN ZONE." A GREEN ZONE SHALL BE THE AREA IN THE  BOROUGH  OF
STATEN  ISLAND  DEFINED BY THE FOLLOWING AREA BASED ON THE NEW YORK CITY
DEPARTMENT OF CITY PLANNING ZONING MAPS: BEGINNING AT  THE  INTERSECTION
OF THE NORTH SIDE OF THE FOOT OF THE GOETHALS BRIDGE AND THE US PIERHEAD
AND  BULKHEAD  LINE;  THENCE  RUNNING  EASTERLY  3,214.78 FEET ALONG AND
PARALLEL TO THE NORTH SIDE OF  THE  GEOTHALS  BRIDGE  EXTENSION  TO  THE
CENTERLINE  OF  WESTERN  AVENUE;  THENCE RUNNING NORTH 93.71 FEET TO THE
CENTERLINE OF GOETHALS ROAD NORTH; THENCE  RUNNING  EAST  5,909.12  FEET
ALONG  AND  PARALLEL TO THE SOUTH SIDE OF GEOTHALS ROAD NORTH TO CENTER-
LINE OF SOUTH AVENUE; THENCE RUNNING SOUTH 433.81 FEET ALONG AND  PARAL-
LEL  TO THE WEST SIDE OF SOUTH AVENUE TO THE CENTERLINE OF FAHEY AVENUE;
THENCE RUNNING EAST 424.89 FEET ALONG AND PARALLEL TO THE SOUTH SIDE  OF
FAHEY  AVENUE  TO  THE CENTERLINE OF FELTON STREET; THENCE RUNNING SOUTH
1,314.02 FEET ALONG AND PARALLEL TO THE WEST SIDE OF  FELTON  STREET  TO
THE  CENTERLINE OF LAMBERTS LANE; THENCE RUNNING SOUTH 790.62 FEET ALONG
THE FELTON STREET LINE TO THE INTERSECTION OF GRAHAM AVENUE  AND  LANDER
AVENUE;  THENCE  RUNNING   SOUTH 3,413.10 FEET ALONG AND PARALLEL TO THE
WEST SIDE OF GRAHAM AVENUE  TO  THE  CENTERLINE  OF  VICTORY  BOULEVARD;
THENCE  RUNNING  SOUTHEAST  3,114.21 FEET ALONG THE WEST SIDE OF VICTORY
BOULEVARD TO THE  CENTERLINE  OF  TRAVIS  AVENUE;  THENCE  RUNNING  EAST
5,030.20  FEET  ALONG AND PARALLEL TO THE SOUTH SIDE OF TRAVIS AVENUE TO
THE CENTERLINE OF RICHMOND AVENUE; THENCE RUNNING SOUTH  12,265.02  FEET
ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO THE CENTERLINE

S. 5491--B                          8

OF  ARTHUR  KILL  ROAD;  THENCE  RUNNING WEST 14,266.19   FEET ALONG AND
PARALLEL TO THE NORTH SIDE OF ARTHUR KILL  ROAD  TO  THE  CENTERLINE  OF
ROSSVILLE  AVENUE; THENCE RUNNING NORTH 650 FEET ALONG THE LINE OF ROSS-
VILLE  AVENUE  TO THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING NORTH 34,553.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF  THE
US PIERHEAD AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S  6.  Paragraph  (b)  of subdivision 28 of section 499-aa of the real
property tax law, as added by chapter  403  of  the  laws  of  2006,  is
amended to read as follows:
  (b)  For  eligible  premises defined in subparagraph (ii) of paragraph
(b) or paragraph (c) of subdivision ten of this section, the  percentage
of  the eligible building's aggregate floor area allocated to the eligi-
ble premises to be occupied or used  for  industrial  and  manufacturing
activities OR BY A GREEN BUSINESS IN A GREEN ZONE, as defined in [subdi-
vision]  SUBDIVISIONS  fourteen-a AND FOURTEEN-B, AS THE CASE MAY BE, of
this section; provided that where the eligible premises includes  expan-
sion  premises,  the  "tenant's percentage share" shall be calculated on
the basis of the eligible  building's  aggregate  floor  area  allocated
solely  to  expansion premises to be occupied or used for industrial and
manufacturing activities OR BY THE GREEN BUSINESS IN THE GREEN ZONE.
  S 7. Section 499-bb of the real property tax law is amended by  adding
a new subdivision 1-c to read as follows:
  1-C.  WITHIN A CITY HAVING A POPULATION OF ONE MILLION OR MORE, ELIGI-
BLE BUILDINGS CONTAINING ELIGIBLE PREMISES AS  DEFINED  IN  SUBPARAGRAPH
(II)  OF  PARAGRAPH (B) OR PARAGRAPH (C) OF SUBDIVISION TEN AND OCCUPIED
BY GREEN BUSINESSES IN A GREEN ZONE AS DEFINED BY SUBDIVISION FOURTEEN-B
OF SECTION FOUR HUNDRED NINETY-NINE-AA OF THIS TITLE OCCUPIED OR USED BY
A TENANT PURSUANT TO A LEASE HAVING A  LEASE  COMMENCEMENT  DATE  ON  OR
AFTER  JULY FIRST, TWO THOUSAND TWELVE WITH AN INITIAL LEASE TERM OF NOT
LESS THAN THREE YEARS, SHALL RECEIVE AN ABATEMENT OF REAL PROPERTY TAXES
FOR EACH YEAR OF THE BENEFIT PERIOD EQUAL TO THE PRODUCT OBTAINED BY (I)
MULTIPLYING THE TENANT'S  PERCENTAGE SHARE BY THE NUMBER OF SQUARE  FEET
IN  THE ELIGIBLE BUILDING, AS LISTED ON THE RECORDS OF THE DEPARTMENT OF
FINANCE, AND (II) MULTIPLYING THE PRODUCT OBTAINED IN PARAGRAPH  (I)  OF
THIS SUBDIVISION BY THE ABATEMENT BASE.
  S  8.  Subdivision  (a)  of  section  25-y of the general city law, as
amended by chapter 149 of the laws  of  1999,  is  amended  to  read  as
follows:
  (a)  "Eligible  business"  means  any  person subject to a tax imposed
under a local law enacted pursuant to part two or three of section  one,
or  section  two,  of  chapter  seven hundred seventy-two of the laws of
nineteen hundred sixty-six or a gross receipts tax imposed under a local
law enacted pursuant to subdivision (a) of section twelve hundred one of
the tax law that: (1) has been  conducting  substantial  business  oper-
ations  at  one  or more business locations outside an eligible area for
the twenty-four consecutive months  immediately  preceding  the  taxable
year  during which such eligible business relocates as defined in subdi-
vision (j) of this section OR, IF A GREEN BUSINESS, HAS BEEN  CONDUCTING
SUBSTANTIAL  BUSINESS  OPERATIONS OUTSIDE OF A GREEN ZONE; and (2) on or
after May twenty-seventh, nineteen  hundred  eighty-seven  relocates  as
defined  in subdivision (j) of this section all or part of such business
operations OR IF A GREEN BUSINESS HAS RELOCATED INTO A GREEN ZONE  AFTER
JULY  FIRST,  TWO  THOUSAND  TWELVE;  and (3) either (i) on or after May
twenty-seventh,  nineteen  hundred  eighty-seven  first  enters  into  a
contract  to  purchase  or  lease  the premises to which it relocates as
defined in subdivision (j) of this section, or a parcel on which will be

S. 5491--B                          9

constructed such premises, or (ii) as of  May  twenty-seventh,  nineteen
hundred  eighty-seven  owns such parcel or premises and has not prior to
such date made application for benefits pursuant to a local law  enacted
in  accordance with title two-D of article four of the real property tax
law OR IF A GREEN BUSINESS, ON OR AFTER JULY FIRST, TWO THOUSAND TWELVE,
ENTERS INTO A CONTRACT TO PURCHASE OR LEASE PREMISES IN A GREEN ZONE.
  S 9. Section 25-y of the general city law is amended by adding two new
subdivisions (a-1) and (a-2) to read as follows:
  (A-1) "GREEN BUSINESS" MEANS ANY PERSON THAT CONDUCTS  ELIGIBLE  GREEN
ACTIVITIES  AS  DEFINED  IN  THIS  SUBDIVISION  AND  IS SUBJECT TO A TAX
IMPOSED UNDER A LOCAL LAW ENACTED PURSUANT  TO  PART  TWO  OR  THREE  OF
SECTION ONE, OR SECTION TWO, OF CHAPTER SEVEN HUNDRED SEVENTY-TWO OF THE
LAWS OF NINETEEN HUNDRED SIXTY-SIX OR A GROSS RECEIPTS TAX IMPOSED UNDER
A  LOCAL  LAW  ENACTED  PURSUANT  TO  SUBDIVISION  (A) OF SECTION TWELVE
HUNDRED ONE OF THE TAX LAW THAT HAS BEEN CONDUCTING SUBSTANTIAL BUSINESS
OPERATIONS AT ONE OR MORE BUSINESS LOCATIONS OUTSIDE  A  GREEN  ZONE  AS
DEFINED  IN THIS SECTION AND ON OR AFTER JULY FIRST, TWO THOUSAND TWELVE
MOVES INTO THE GREEN ZONE. FOR PURPOSES  OF  THIS  SUBDIVISION  ELIGIBLE
GREEN  ACTIVITIES  SHALL  INCLUDE:    PRODUCTION,  SERVICE  AND  REPAIR,
RESEARCH AND DEVELOPMENT AND THE APPLICATION AND INSTALLATION  OF  GREEN
PRODUCTS  AND  SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING
PRIMARILY WITH THE MANUFACTURING AND DISTRIBUTION OF  ENERGY  EFFICIENCY
TECHNOLOGIES  AND  GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES. GREEN
PRODUCTION COMPANIES INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL  DEVELOP-
MENT,  SOLAR  PANEL  PRODUCTION  OR ASSEMBLY, WIND TURBINE PRODUCTION OR
ASSEMBLY, CARBON CAPTURE AND STORAGE  MECHANISM,  CLEAN  FUEL  VEHICLES,
RENEWABLE  ENERGY  DEVELOPMENT, OR ENERGY EFFICIENCY TECHNOLOGIES. GREEN
PRODUCTION SHALL ALSO INCLUDE, BUT SHALL NOT BE LIMITED TO, THE  FOLLOW-
ING:
  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES" SHALL INCLUDE BUT
NOT  BE  LIMITED TO: (I) COGENERATION TECHNOLOGIES, WHICH SHALL MEAN ANY
ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT  FROM  ON-SITE  ELEC-
TRICAL  GENERATION PROCESS IS RECOVERED TO PROVIDE STEAM OR HOT WATER TO
MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR  CONDITIONING  AND  WHICH
ATTAINS  OVERALL  SYSTEM  EFFICIENCY AS ESTABLISHED BY THE DEPARTMENT OF
ENVIRONMENTAL CONSERVATION,  CONSIDERING  BOTH  THERMAL  AND  ELECTRICAL
PROCESS  TOGETHER;  (II)  FURNACE AND BOILER REPLACEMENTS AND RETROFITS,
PROVIDED THAT NEW OR RETROFITTED  FURNACES  AND  BOILERS  SHALL  NOT  AT
ANYTIME  OPERATE  ON  DIESEL  FUEL WITH SULFUR CONTENT GREATER THAN 0.05
PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR  THE
CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES; AND (IV) OTHER
MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF ENER-
GY  INCLUDING  FUELS,  AS  DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE  DEMAND  FOR  AND/OR THE CONSUMPTION OF ELECTRICITY AS

S. 5491--B                         10

DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE AND SALE OF LOW VOC PAINTS,  LOW  ENERGY  RADIANT  FLOORING,  WHITE,
COATED,  OR  GREEN ROOF INSTALLATION, RECOVERY AND RECYCLING PROCESSING,
REPLACEMENT OF INEFFICIENT TECHNOLOGIES, CLEAN-FUEL  VEHICLE  SALES  AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G) "GREEN APPLICATION AND INSTALLATION" IS  THE  ACT  OF  A  PROPERTY
OWNER  OR  TENANT  INSTALLING  OR  USING A TYPE OF GREEN TECHNOLOGY THAT
RESULTS IN GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER  ENERGY  EFFI-
CIENCY  TECHNOLOGIES  AND  SHALL  ALSO INCLUDE CERTAIN WORK PERFORMED BY
NON-MANUFACTURING AND SERVICE COMPANIES.  GREEN APPLICATION AND  INSTAL-
LATION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGEN-
ERATION TECHNOLOGY RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE  INSTALLATION,  CLEAN-FUEL  VEHICLE  UTILIZATION, GREENHOUSE GAS
EMISSION REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY  TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  (A-2)  "GREEN  ZONE"  MEANS  THE  AREA OF STATEN ISLAND DEFINED BY THE
FOLLOWING AREA BASED ON THE NEW YORK CITY DEPARTMENT  OF  CITY  PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF  THE  GOETHAL  BRIDGE  AND  THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING EASTERLY 3,214.78 FEET ALONG AND PARALLEL TO  THE  NORTHSIDE  OF
THE  GOETHALS  BRIDGE  EXTENSION  TO  THE  CENTERLINE OF WESTERN AVENUE;
THENCE RUNNING NORTH 93.71 FEET  TO  THE  CENTERLINE  OF  GOETHALS  ROAD
NORTH; THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE SOUTH
SIDE  OF  GOETHALS  ROAD  NORTH  TO  CENTERLINE  OF SOUTH AVENUE; THENCE
RUNNING SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE  OF  SOUTH
AVENUE  TO  THE  CENTERLINE  OF FAHEY AVENUE; THENCE RUNNING EAST 424.89
FEET ALONG AND PARALLEL TO THE SOUTH SIDE OF FAHEY AVENUE TO THE CENTER-
LINE OF FELTON STREET; THENCE RUNNING  SOUTH  1,314.02  FEET  ALONG  AND
PARALLEL TO THE WEST SIDE OF FELTON STREET TO THE CENTERLINE OF LAMBERTS
LANE;  THENCE  RUNNING SOUTH 790.62 FEET ALONG THE FELTON STREET LINE TO
THE INTERSECTION OF GRAHAM AVENUE  AND  LANDER  AVENUE;  THENCE  RUNNING
SOUTH 3,413.10 FEET ALONG AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE

S. 5491--B                         11

TO  THE  CENTERLINE  OF  VICTORY  BOULEVARD;  THENCE  RUNNING  SOUTHEAST
3,114.21 FEET ALONG THE WEST SIDE OF VICTORY BOULEVARD TO THE CENTERLINE
OF TRAVIS AVENUE; THENCE RUNNING EAST 5,030.20 FEET ALONG  AND  PARALLEL
TO THE SOUTH SIDE OF TRAVIS AVENUE TO THE CENTERLINE OF RICHMOND AVENUE;
THENCE  RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST 14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR  KILL
ROAD  TO  THE  CENTERLINE  OF ROSSVILLE AVENUE; THENCE RUNNING NORTH 650
FEET ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US  PIERHEAD
AND  BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND PARAL-
LEL TO THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO  THE  POINT
AND PLACE OF THE BEGINNING.
  S  10.  Subdivision  (e)  of  section  25-y of the general city law is
amended by adding a new paragraph 4 to read as follows:
  (4) IF USED BY A GREEN BUSINESS AFTER JULY FIRST, TWO THOUSAND TWELVE,
NON-RESIDENTIAL PREMISES  LOCATED  ENTIRELY  IN  REAL  PROPERTY  LOCATED
PARTIALLY OR ENTIRELY IN A GREEN ZONE AS DEFINED IN THIS SECTION.
  S  11.  Subdivision  (f)  of  section 25-y of the general city law, as
added by chapter 331 of the laws of 1987, is amended to read as follows:
  (f) "Eligible area" means an area of a city having a population of one
million or more, excluding the area lying south of the  center  line  of
96th  Street,  in the borough of Manhattan in the city of New York OR IN
THE CASE OF A GREEN BUSINESS RELOCATING AFTER JULY FIRST,  TWO  THOUSAND
TWELVE, AN ELIGIBLE AREA SHALL INCLUDE A GREEN ZONE.
  S  12.  Subdivision  (n)  of  section 25-y of the general city law, as
added by chapter 261 of the laws of 2000, is amended to read as follows:
  (n) "Revitalization area" means any area of a city having a population
of one million or more, provided that in the city of New York a revital-
ization area shall mean: (I) any district that is zoned C4, C5, C6,  M1,
M2  or  M3  in accordance with the zoning resolution of such city in any
area such city except the area lying south of the center  line  of  96th
Street in the borough of Manhattan, OR (II) IN THE CASE OF A GREEN BUSI-
NESS RELOCATING AFTER JULY FIRST, TWO THOUSAND TWELVE, A GREEN ZONE.
  S  13.  Subdivision  (a)  of  section  25-s of the general city law is
amended by adding a new paragraph 1-a to read as follows:
  (1-A) IS A GREEN BUSINESS AND TAKES OCCUPANCY OF NON-RESIDENTIAL PREM-
ISES AFTER JULY FIRST, TWO THOUSAND TWELVE, FOR WHICH IT HAS, AFTER SUCH
DATE, ENTERED INTO A WRITTEN AGREEMENT TO BUY OR  LEASE,  PROVIDED  THAT
SUCH  PREMISES  ARE LOCATED IN A GREEN ZONE AND THAT SUCH PREMISES ARE A
REPLACEMENT FOR PREMISES PREVIOUSLY OCCUPIED BY SUCH ENERGY USER  FOR  A
CONTINUOUS  PERIOD  OF TWENTY-FOUR MONTHS DURING THE THIRTY MONTH PERIOD
IMMEDIATELY PRECEDING SUCH USER'S  TAKING  OCCUPANCY,  WHICH  PREVIOUSLY
OCCUPIED PREMISES WERE OUTSIDE OF THE GREEN ZONE; OR
  S  14.  Section  25-s of the general city law is amended by adding two
new subdivisions (d-1) and (d-2) to read as follows:
  (D-1) "GREEN BUSINESS." A "GREEN BUSINESS" SHALL  BE  DEFINED  AS  ONE
THAT  PRIMARILY  OPERATES  IN  ONE  OR  MORE  OF FOUR AREAS: PRODUCTION,
SERVICE AND REPAIR, RESEARCH AND DEVELOPMENT  AND  THE  APPLICATION  AND
INSTALLATION  OF GREEN PRODUCTS AND SERVICES. A GREEN PRODUCTION COMPANY
IS A COMPANY DEALING PRIMARILY WITH THE MANUFACTURING  AND  DISTRIBUTION
OF  ENERGY EFFICIENCY TECHNOLOGIES AND GREENHOUSE GAS EMISSION REDUCTION
TECHNOLOGIES. GREEN PRODUCTION COMPANIES INCLUDE, BUT  ARE  NOT  LIMITED
TO,  BIO  FUEL  DEVELOPMENT,  SOLAR  PANEL  PRODUCTION OR ASSEMBLY, WIND
TURBINE PRODUCTION OR ASSEMBLY, CARBON CAPTURE  AND  STORAGE  MECHANISM,
CLEAN  FUEL VEHICLES, RENEWABLE ENERGY DEVELOPMENT, OR ENERGY EFFICIENCY

S. 5491--B                         12

TECHNOLOGIES. GREEN PRODUCTION SHALL ALSO  INCLUDE,  BUT  SHALL  NOT  BE
LIMITED TO, THE FOLLOWING:
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE BUT NOT BE LIMITED  TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESS IS RECOVERED TO PROVIDE  STEAM  OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESS  TOGETHER;  (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT NEW OR RETROFITTED FURNACES AND  BOILERS  SHALL
NOT  AT  ANYTIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER THAN
0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHICLES OR
THE CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES;  AND  (IV)
OTHER MEASURES THAT WILL REDUCE THE DEMAND FOR AND/OR THE CONSUMPTION OF
ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT OF ENVIRONMENTAL
CONSERVATION IN CONSULTATION WITH THE NEW YORK STATE ENERGY RESEARCH AND
DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, OR HYDROGEN;
  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR  THE  CONSUMPTION  OF  ELECTRICITY  AS
DETERMINED BY THE NEW YORK STATE ENERGY RESEARCH AND DEVELOPMENT AUTHOR-
ITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLOSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
USE AND SALE OF LOW VOC PAINTS,  LOW  ENERGY  RADIANT  FLOORING,  WHITE,
COATED,  OR  GREEN ROOF INSTALLATION, RECOVERY AND RECYCLING PROCESSING,
REPLACEMENT OF INEFFICIENT TECHNOLOGIES, CLEAN-FUEL  VEHICLE  SALES  AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,

S. 5491--B                         13

COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING AND SERVICE COMPANIES. GREEN APPLICATION AND INSTALLA-
TION INCLUDES, BUT IS NOT LIMITED TO, SOLAR PANEL INSTALLATION, COGENER-
ATION  TECHNOLOGY  RETROFITTING, GREEN ROOF INSTALLATION, LOW FLOW WATER
FIXTURE INSTALLATION, CLEAN-FUEL  VEHICLE  UTILIZATION,  GREENHOUSE  GAS
EMISSIONS REDUCTION TECHNOLOGY UTILIZATION, ENERGY EFFICIENCY TECHNOLOGY
UTILIZATION, AND LEED CERTIFICATION.
  (D-2) "GREEN ZONE". THE AREA OF STATEN ISLAND DEFINED BY THE FOLLOWING
AREA BASED ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING ZONING MAPS:
BEGINNING  AT  THE  INTERSECTION  OF  THE  NORTH SIDE OF THE FOOT OF THE
GOETHALS BRIDGE AND THE US PIERHEAD AND BULKHEAD  LINE;  THENCE  RUNNING
EASTERLY  3,214.78  FEET  ALONG  AND  PARALLEL  TO THE NORTH SIDE OF THE
GOETHALS BRIDGE EXTENSION TO THE CENTERLINE OF  WESTERN  AVENUE;  THENCE
RUNNING  NORTH  93.71  FEET  TO  THE  CENTERLINE OF GOETHALS ROAD NORTH;
THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE  SOUTH  SIDE
OF  GOETHALS  ROAD  NORTH  TO CENTERLINE OF SOUTH AVENUE; THENCE RUNNING
SOUTH 433.81 FEET ALONG AND PARALLEL TO THE WEST SIDE OF SOUTH AVENUE TO
THE CENTERLINE OF FAHEY AVENUE; THENCE RUNNING EAST  424.89  FEET  ALONG
AND  PARALLEL  TO  THE  SOUTH  SIDE OF FAHEY AVENUE TO THE CENTERLINE OF
FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL  TO
THE  WEST  SIDE  OF  FELTON  STREET  TO THE CENTERLINE OF LAMBERTS LANE;
THENCE RUNNING SOUTH 790.62 FEET ALONG THE FELTON  STREET  LINE  TO  THE
INTERSECTION  OF  GRAHAM  AVENUE AND LANDER AVENUE; THENCE RUNNING SOUTH
3,413.10 FEET ALONG AND PARALLEL TO THE WEST SIDE OF  GRAHAM  AVENUE  TO
THE  CENTERLINE  OF VICTORY BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21
FEET ALONG THE WEST SIDE OF  VICTORY  BOULEVARD  TO  THE  CENTERLINE  OF
TRAVIS  AVENUE;  THENCE RUNNING EAST 5,030.20 FEET ALONG AND PARALLEL TO
THE SOUTH SIDE OF TRAVIS AVENUE TO THE CENTERLINE  OF  RICHMOND  AVENUE;
THENCE  RUNNING SOUTH 12,265.02 FEET ALONG AND PARALLEL TO THE WEST SIDE
OF RICHMOND AVENUE TO THE CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING
WEST 14,266.19 FEET ALONG AND PARALLEL TO THE NORTH SIDE OF ARTHUR  KILL
ROAD  TO  THE  CENTERLINE  OF ROSSVILLE AVENUE; THENCE RUNNING NORTH 650
FEET ALONG THE LINE OF ROSSVILLE AVENUE TO THE POINT OF THE US  PIERHEAD
AND  BULKHEAD LINE; THENCE RUNNING NORTH 34,553.83 FEET ALONG AND PARAL-
LEL TO THE EAST SIDE OF THE US PIERHEAD AND BULKHEAD LINE TO  THE  POINT
AND PLACE OF BEGINNING.
  S  15.  Subdivision  (g)  of  section 25-s of the general city law, as
added by chapter 551 of the laws of 1985, is amended to read as follows:
  (g) "Eligible areas". Areas of a city designated by local law  enacted
pursuant  to  section twenty-five-t of this article as needing the bene-
fits available under this article as an inducement to economic  develop-
ment,  provided  that  the  area  lying south of the center line of 96th
Street, in the borough of Manhattan in the city of New York,  shall  not
be so designated.  NOTWITHSTANDING THE PROVISIONS OF THIS SUBDIVISION, A
GREEN ZONE SHALL BE CONSIDERED AN ELIGIBLE AREA.
  S  16.  The  real  property tax law is amended by adding a new section
485-q to read as follows:
  S 485-Q. GREEN ECONOMIC DEVELOPMENT ZONE EXEMPTION. 1. (A) REAL  PROP-
ERTY CONSTRUCTED, ALTERED, INSTALLED OR IMPROVED IN AN AREA DESIGNATED A
GREEN  ECONOMIC  DEVELOPMENT  ZONE PURSUANT TO ARTICLE EIGHTEEN-D OF THE
GENERAL MUNICIPAL LAW SHALL BE EXEMPT FROM TAXATION AND SPECIAL AD VALO-

S. 5491--B                         14

REM LEVIES BY ANY MUNICIPAL CORPORATION IN WHICH LOCATED, FOR THE PERIOD
AND TO THE EXTENT HEREIN PROVIDED, PROVIDED THAT THE GOVERNING BOARD  OF
SUCH  MUNICIPAL  CORPORATION,  AFTER PUBLIC HEARING, ADOPTS A LOCAL LAW,
ORDINANCE OR RESOLUTION PROVIDING THEREFOR.
  (B)  FOR  EXEMPTIONS COMMENCING IN THE FIRST SEVEN YEARS FROM THE DATE
ON WHICH THE GREEN ECONOMIC DEVELOPMENT ZONE WAS DESIGNATED, THE  AMOUNT
OF  SUCH EXEMPTION IN ANY OF THESE YEARS SHALL BE ONE HUNDRED PERCENT OF
THE "BASE AMOUNT",  DETERMINED  PURSUANT  TO  SUBDIVISION  TWO  OF  THIS
SECTION.  IN  THE  EIGHTH,  NINTH  AND  TENTH  YEARS,  THE AMOUNT OF THE
EXEMPTION SHALL BE SEVENTY-FIVE PERCENT, FIFTY PERCENT, AND  TWENTY-FIVE
PERCENT, RESPECTIVELY, OF SUCH BASE AMOUNT.
  (C)  FOR  EXEMPTIONS  COMMENCING  IN THE EIGHTH, NINTH AND TENTH YEARS
FROM THE DATE ON WHICH THE GREEN ECONOMIC DEVELOPMENT  ZONE  WAS  DESIG-
NATED, THE AMOUNT OF SUCH EXEMPTION SHALL BE SEVENTY-FIVE PERCENT, FIFTY
PERCENT  AND  TWENTY-FIVE  PERCENT,  RESPECTIVELY, OF THE "BASE AMOUNT",
DETERMINED PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
  1-A. (A) A MUNICIPAL CORPORATION MAY PROVIDE IN SUCH LOCAL LAW,  ORDI-
NANCE OR RESOLUTION, OR IN A SEPARATE LOCAL LAW, ORDINANCE OR RESOLUTION
ADOPTED  AFTER PUBLIC HEARING, THAT THE EXEMPTION SO AUTHORIZED SHALL BE
FOR A TERM OF TEN YEARS, NOTWITHSTANDING THAT  THE  DESIGNATION  OF  THE
ZONE  MAY  EXPIRE PRIOR TO THE END OF SUCH TEN YEAR TERM. ANY SUCH LOCAL
LAW, ORDINANCE OR RESOLUTION SHALL  BE  APPLICABLE  ONLY  TO  EXEMPTIONS
COMMENCING ON ASSESSMENT ROLLS WITH TAXABLE STATUS DATES ON OR AFTER THE
EFFECTIVE DATE OF SUCH LOCAL LAW, ORDINANCE OR RESOLUTION.
  (B)  WHERE  SUCH  LOCAL LAW, ORDINANCE OR RESOLUTION HAS BEEN ADOPTED,
THE AMOUNT OF SUCH EXEMPTION IN THE FIRST SEVEN YEARS OF ITS TERM  SHALL
BE  ONE  HUNDRED  PERCENT  OF  THE "BASE AMOUNT," DETERMINED PURSUANT TO
SUBDIVISION TWO OF THIS SECTION. THE AMOUNT  OF  THE  EXEMPTION  IN  THE
EIGHTH,  NINTH,  AND  TENTH  YEARS  OF  ITS  TERM  SHALL BE SEVENTY-FIVE
PERCENT, FIFTY PERCENT AND TWENTY-FIVE PERCENT,  RESPECTIVELY,  OF  SUCH
BASE AMOUNT.
  2.  (A)  THE  BASE  AMOUNT OF THE EXEMPTION SHALL BE THE EXTENT OF THE
INCREASE IN ASSESSED VALUE ATTRIBUTABLE  TO  SUCH  CONSTRUCTION,  ALTER-
ATION, INSTALLATION OR IMPROVEMENT AS DETERMINED IN THE INITIAL YEAR FOR
WHICH  APPLICATION  FOR  EXEMPTION IS MADE PURSUANT TO THIS SECTION. THE
BASE AMOUNT SHALL  REMAIN  CONSTANT  FOR  THE  AUTHORIZED  TERM  OF  THE
EXEMPTION, SUBJECT TO THE FOLLOWING:
  (I)  IF  THERE IS SUBSEQUENT CONSTRUCTION, ALTERATION, INSTALLATION OR
IMPROVEMENT DURING THE TERM OF THE EXEMPTION, THE BASE AMOUNT  SHALL  BE
REVISED  TO  INCLUDE THE INCREASE IN ASSESSED VALUE ATTRIBUTABLE TO SUCH
CONSTRUCTION, ALTERATION, INSTALLATION OR IMPROVEMENT.
  (II) IF A CHANGE IN LEVEL OF ASSESSMENT OF FIFTEEN PERCENT OR MORE  IS
CERTIFIED  FOR  AN  ASSESSMENT  ROLL  PURSUANT TO THE RULES OF THE STATE
BOARD, THE BASE AMOUNT SHALL BE ADJUSTED BY  SUCH  CHANGE  IN  LEVEL  OF
ASSESSMENT.  THE  EXEMPTION  ON  THAT ASSESSMENT ROLL SHALL THEREUPON BE
RECOMPUTED, NOTWITHSTANDING THE FACT  THAT  THE  ASSESSOR  RECEIVES  THE
CERTIFICATION AFTER THE COMPLETION, VERIFICATION AND FILING OF THE FINAL
ASSESSMENT  ROLL. IN THE EVENT THE ASSESSOR DOES NOT HAVE CUSTODY OF THE
ROLL WHEN SUCH CERTIFICATION IS RECEIVED, THE ASSESSOR SHALL CERTIFY THE
RECOMPUTED EXEMPTION TO THE LOCAL OFFICERS HAVING CUSTODY AND CONTROL OF
THE ROLL, AND SUCH LOCAL OFFICERS ARE HEREBY DIRECTED AND AUTHORIZED  TO
ENTER THE RECOMPUTED EXEMPTION CERTIFIED BY THE ASSESSOR ON THE ROLL.
  (B)  NO  SUCH  EXEMPTION  SHALL BE GRANTED UNLESS, PURSUANT TO ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW:

S. 5491--B                         15

  (1) NOTICE OF THE DESIGNATION OF THE GREEN ECONOMIC  DEVELOPMENT  ZONE
HAS  BEEN FILED WITH THE CLERK OF THE ASSESSING UNIT BY THE COMMISSIONER
ON OR BEFORE THE APPLICABLE TAXABLE STATUS DATE;
  (2)   THE   CONSTRUCTION,   ALTERATION,  INSTALLATION  OR  IMPROVEMENT
COMMENCED ON OR AFTER THE DATE THE GREEN ECONOMIC DEVELOPMENT  ZONE  WAS
DESIGNATED; AND
  (3)  THE  DESIGNATION  OF  THE GREEN ECONOMIC DEVELOPMENT ZONE HAS NOT
ENDED AND HAS NOT BEEN TERMINATED BY THE COMMISSIONER ON OR  BEFORE  THE
APPLICABLE TAXABLE STATUS DATE.
  (C)  FOR  PURPOSES OF THIS SECTION THE TERMS CONSTRUCTION, ALTERATION,
INSTALLATION AND IMPROVEMENT SHALL NOT INCLUDE ORDINARY MAINTENANCE  AND
REPAIRS.
  (D)  NO  SUCH EXEMPTION SHALL BE GRANTED CONCURRENT WITH OR SUBSEQUENT
TO ANY OTHER REAL PROPERTY TAX EXEMPTION GRANTED TO  THE  SAME  IMPROVE-
MENTS TO REAL PROPERTY, EXCEPT, WHERE DURING THE PERIOD OF SUCH PREVIOUS
EXEMPTION,  PAYMENTS IN LIEU OF TAXES OR OTHER PAYMENTS WERE MADE TO THE
LOCAL GOVERNMENT IN AN AMOUNT THAT WOULD HAVE BEEN EQUAL TO  OR  GREATER
THAN THE AMOUNT OF REAL PROPERTY TAXES THAT WOULD HAVE BEEN PAID ON SUCH
IMPROVEMENTS  HAD  SUCH  PROPERTY  BEEN GRANTED AN EXEMPTION PURSUANT TO
THIS SECTION. IN SUCH CASE, AN EXEMPTION SHALL BE GRANTED FOR  A  NUMBER
OF  YEARS  EQUAL  TO  THE  TEN  YEAR  EXEMPTION GRANTED PURSUANT TO THIS
SECTION LESS THE NUMBER OF YEARS THE PROPERTY WOULD HAVE BEEN PREVIOUSLY
EXEMPT FROM REAL PROPERTY TAXES.
  3. SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE  OWNER
OF  SUCH  REAL  PROPERTY  ON  A  FORM PRESCRIBED BY THE STATE BOARD. THE
ORIGINAL OF SUCH APPLICATION SHALL BE FILED WITH  THE  ASSESSOR  OF  THE
ASSESSING  UNIT.  SUCH  ORIGINAL APPLICATION SHALL BE FILED ON OR BEFORE
THE APPROPRIATE TAXABLE STATUS DATE OF SUCH ASSESSING UNIT AND NO  LATER
THAN  ONE  YEAR FROM THE DATE OF COMPLETION OF SUCH CONSTRUCTION, ALTER-
ATION, INSTALLATION OR IMPROVEMENT.
  4. IF THE ASSESSOR RECEIVES THE NOTICE DESCRIBED IN  SUBPARAGRAPH  ONE
OF  PARAGRAPH  (B) OF SUBDIVISION TWO OF THIS SECTION AND AN APPLICATION
BY THE OWNER OF THE REAL PROPERTY, HE SHALL APPROVE THE APPLICATION  AND
SUCH  REAL  PROPERTY  SHALL THEREAFTER BE EXEMPT FROM TAXATION AS HEREIN
PROVIDED COMMENCING WITH THE ASSESSMENT ROLL PREPARED AFTER THE  TAXABLE
STATUS  DATE  REFERRED  TO  IN  SUBDIVISION  THREE  OF THIS SECTION. THE
ASSESSED VALUE OF ANY EXEMPTION GRANTED PURSUANT TO THIS  SECTION  SHALL
BE ENTERED BY THE ASSESSOR ON THE ASSESSMENT ROLL WITH THE TAXABLE PROP-
ERTY, WITH THE AMOUNT OF THE EXEMPTION ENTERED IN A SEPARATE COLUMN.
  5.  EXEMPTIONS EXISTING PRIOR IN TIME TO THE TERMINATION OF THE DESIG-
NATION OF A GREEN ECONOMIC DEVELOPMENT ZONE BY THE COMMISSIONER, OR,  IN
THE CASE OF A MUNICIPAL CORPORATION WHICH HAS ADOPTED A LOCAL LAW, ORDI-
NANCE OR RESOLUTION PURSUANT TO SUBDIVISION ONE-A OF THIS SECTION, PRIOR
IN  TIME TO THE EXPIRATION OF SUCH DESIGNATION, SHALL CONTINUE AS IF THE
DESIGNATION OF THE GREEN ECONOMIC DEVELOPMENT ZONE HAD NOT  BEEN  TERMI-
NATED,  OR,  IF APPLICABLE, HAD NOT EXPIRED; PROVIDED, HOWEVER, THAT ANY
FURTHER INCREASE IN THE VALUE ATTRIBUTABLE TO CONSTRUCTION,  ALTERATION,
INSTALLATION  OR  IMPROVEMENT COMMENCED SUBSEQUENT TO THE DATE OF TERMI-
NATION, OR, IF APPLICABLE, THE DATE OF EXPIRATION, SHALL NOT BE ELIGIBLE
FOR EXEMPTION PURSUANT TO THIS SECTION.
  S 17. Section 186-a of the tax law is amended by adding a new subdivi-
sion 11 to read as follows:
  11. NOTWITHSTANDING ANY OTHER PROVISION OF THIS CHAPTER OR  ANY  OTHER
LAW TO THE CONTRARY, ANY UTILITY (A) WHICH IS SUBJECT TO TAX PURSUANT TO
THIS SECTION, AND (B) WHICH IS SUBJECT TO THE SUPERVISION OF THE DEPART-
MENT  OF  PUBLIC  SERVICE,  SHALL  PROVIDE,  IN  ADDITION  TO  ANY OTHER

S. 5491--B                         16

DISCOUNT, A REDUCTION OF THREE PERCENT IN  THE  RATE  CHARGED  FOR  GAS,
ELECTRICITY,  STEAM  OR  WATER  SOLD,  OR  GAS, ELECTRIC, STEAM OR WATER
SERVICE RENDERED, PRIOR TO NINETEEN HUNDRED  NINETY-FOUR,  FOR  ULTIMATE
CONSUMPTION  OR USE WITHIN AN AREA DESIGNATED AS A GREEN ECONOMIC DEVEL-
OPMENT ZONE PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL  LAW
BY  A  BUSINESS,  WHETHER  INCORPORATED  OR UNINCORPORATED, OTHER THAN A
RETAIL ENTERPRISE AS DEFINED IN PARAGRAPH (K) OF SUBDIVISION  TWELVE  OF
SECTION  TWO  HUNDRED TEN OF THIS CHAPTER BUT WITHOUT REGARD TO SUBPARA-
GRAPH (III) OF SUCH PARAGRAPH, WHICH  HAS  BEEN  CERTIFIED  PURSUANT  TO
ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW, AND WHICH HAS CLAIMED A
CREDIT UNDER SUBDIVISION TWELVE-H OF SECTION TWO HUNDRED TEN, SUBSECTION
(E)  OF SECTION FOURTEEN HUNDRED FIFTY-SIX OR SUBDIVISION (G) OF SECTION
FIFTEEN HUNDRED ELEVEN OF  THIS  CHAPTER  DURING  THE  PREVIOUS  FIFTEEN
MONTHS, AS EVIDENCED BY A CERTIFICATE ISSUED BY THE COMMISSIONER TO SUCH
BUSINESS.    NINETY-SIX  AND  ONE-HALF  PERCENT OF THE AGGREGATE OF SUCH
REDUCTIONS DURING THE YEAR MAY BE APPLIED AS A CREDIT  AGAINST  THE  TAX
IMPOSED PURSUANT TO THIS SECTION WITH RESPECT TO SUCH YEAR.
  S 18. Section 210 of the tax law is amended by adding two new subdivi-
sions 12-H and 12-I to read as follows:
  12-H. GREEN ECONOMIC DEVELOPMENT ZONE INVESTMENT TAX CREDIT (GED-ITC).
(A)  A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN
THIS SUBDIVISION, AGAINST THE TAX IMPOSED BY THIS ARTICLE IF THE TAXPAY-
ER HAS BEEN CERTIFIED PURSUANT TO  ARTICLE  EIGHTEEN-D  OF  THE  GENERAL
MUNICIPAL  LAW.    THE  AMOUNT OF THE CREDIT SHALL BE TEN PERCENT OF THE
COST OR OTHER BASIS FOR FEDERAL INCOME TAX PURPOSES OF TANGIBLE PERSONAL
PROPERTY AND OTHER TANGIBLE PROPERTY, INCLUDING BUILDINGS AND STRUCTURAL
COMPONENTS OF BUILDINGS, DESCRIBED IN PARAGRAPH (B) OF THIS SUBDIVISION,
WHICH IS LOCATED WITHIN A GREEN ECONOMIC DEVELOPMENT ZONE DESIGNATED  AS
SUCH  PURSUANT TO ARTICLE EIGHTEEN-D OF SUCH LAW, BUT ONLY IF THE ACQUI-
SITION,  CONSTRUCTION,  RECONSTRUCTION  OR  ERECTION  OF  SUCH  PROPERTY
OCCURRED  OR  WAS COMMENCED ON OR AFTER THE DATE OF SUCH DESIGNATION AND
PRIOR TO THE EXPIRATION THEREOF. PROVIDED, HOWEVER, THAT IN THE CASE  OF
AN  ACQUISITION,  CONSTRUCTION,  RECONSTRUCTION  OR  ERECTION  WHICH WAS
COMMENCED DURING SUCH PERIOD AND CONTINUED  OR  COMPLETED  SUBSEQUENTLY,
SUCH  CREDIT  SHALL  BE  TEN PERCENT OF THE PORTION OF THE COST OR OTHER
BASIS FOR FEDERAL INCOME TAX PURPOSES ATTRIBUTABLE TO SUCH PERIOD, WHICH
PORTION SHALL BE ASCERTAINED BY MULTIPLYING SUCH  COST  OR  BASIS  BY  A
FRACTION  THE  NUMERATOR  OF  WHICH  SHALL  BE  THE EXPENDITURES PAID OR
INCURRED DURING SUCH PERIOD FOR SUCH PURPOSES  AND  THE  DENOMINATOR  OF
WHICH  SHALL  BE THE TOTAL OF ALL EXPENDITURES PAID OR INCURRED FOR SUCH
ACQUISITION, CONSTRUCTION, RECONSTRUCTION OR ERECTION.
  (B) A CREDIT SHALL BE ALLOWED UNDER THIS SUBDIVISION WITH  RESPECT  TO
TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROPERTY, INCLUDING BUILD-
INGS  AND  STRUCTURAL COMPONENTS OF BUILDINGS, WHICH (I) ARE DEPRECIABLE
PURSUANT TO SECTION ONE HUNDRED  SIXTY-SEVEN  OF  THE  INTERNAL  REVENUE
CODE,  (II) HAVE A USEFUL LIFE OF FOUR YEARS OR MORE, (III) ARE ACQUIRED
BY PURCHASE AS DEFINED IN SECTION ONE HUNDRED SEVENTY-NINE  (D)  OF  THE
INTERNAL REVENUE CODE, (IV) HAVE A SITUS IN A GREEN ECONOMIC DEVELOPMENT
ZONE  DESIGNATED  AS  SUCH PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AND (V) ARE (A) PRINCIPALLY USED BY THE TAXPAYER  IN  THE
PRODUCTION  OF GOODS BY MANUFACTURING, PROCESSING, ASSEMBLING, REFINING,
MINING, EXTRACTING, FARMING,  AGRICULTURE,  HORTICULTURE,  FLORICULTURE,
VITICULTURE OR COMMERCIAL FISHING, (B) INDUSTRIAL WASTE TREATMENT FACIL-
ITIES  OR  AIR POLLUTION CONTROL FACILITIES USED IN THE TAXPAYER'S TRADE
OR BUSINESS, (C) RESEARCH AND DEVELOPMENT PROPERTY, (D) PRINCIPALLY USED
IN THE ORDINARY COURSE OF THE TAXPAYER'S TRADE OR BUSINESS AS  A  BROKER

S. 5491--B                         17

OR  DEALER  IN CONNECTION WITH THE PURCHASE OR SALE (WHICH SHALL INCLUDE
BUT NOT BE LIMITED TO THE ISSUANCE, ENTERING INTO,  ASSUMPTION,  OFFSET,
ASSIGNMENT,  TERMINATION, OR TRANSFER) OF STOCKS, BONDS OR OTHER SECURI-
TIES  AS  DEFINED  IN  SECTION  FOUR  HUNDRED SEVENTY-FIVE (C)(2) OF THE
INTERNAL REVENUE CODE, OR OF COMMODITIES  AS  DEFINED  IN  SECTION  FOUR
HUNDRED  SEVENTY-FIVE  (E) OF THE INTERNAL REVENUE CODE, (E) PRINCIPALLY
USED IN THE ORDINARY COURSE OF  THE  TAXPAYER'S  TRADE  OR  BUSINESS  OF
PROVIDING INVESTMENT ADVISORY SERVICES FOR A REGULATED INVESTMENT COMPA-
NY AS DEFINED IN SECTION EIGHT HUNDRED FIFTY-ONE OF THE INTERNAL REVENUE
CODE,  OR  LENDING,  LOAN  ARRANGEMENT,  OR LOAN ORIGINATION SERVICES TO
CUSTOMERS IN CONNECTION WITH THE PURCHASE OR SALE (WHICH  SHALL  INCLUDE
BUT  NOT  BE LIMITED TO THE ISSUANCE, ENTERING INTO, ASSUMPTION, OFFSET,
ASSIGNMENT, TERMINATION OR TRANSFER) OF SECURITIES AS DEFINED IN SECTION
FOUR HUNDRED SEVENTY-FIVE (C)(2) OF THE INTERNAL REVENUE  CODE,  OR  (F)
PRINCIPALLY USED IN THE ORDINARY COURSE OF THE TAXPAYER'S BUSINESS AS AN
EXCHANGE REGISTERED AS A NATIONAL SECURITIES EXCHANGE WITHIN THE MEANING
OF SECTIONS 3(A)(1) AND 6(A) OF THE SECURITIES EXCHANGE ACT OF 1934 OR A
BOARD  OF  TRADE  AS  DEFINED  IN  SUBPARAGRAPH  ONE OF PARAGRAPH (A) OF
SECTION FOURTEEN HUNDRED TEN OF THE NOT-FOR-PROFIT CORPORATION LAW OR AS
AN ENTITY THAT IS WHOLLY OWNED BY ONE OR MORE SUCH  NATIONAL  SECURITIES
EXCHANGES  OR  BOARDS OF TRADE AND THAT PROVIDES AUTOMATION OR TECHNICAL
SERVICES THERETO. FOR PURPOSES OF CLAUSES (D), (E) AND (F)  OF  SUBPARA-
GRAPH (V) OF THIS PARAGRAPH, PROPERTY PURCHASED BY A TAXPAYER AFFILIATED
WITH A REGULATED BROKER, DEALER, REGISTERED INVESTMENT ADVISER, NATIONAL
SECURITIES  EXCHANGE  OR  BOARD  OF TRADE IS ALLOWED A CREDIT UNDER THIS
SUBDIVISION IF THE PROPERTY IS USED BY ITS AFFILIATED REGULATED  BROKER,
DEALER, REGISTERED INVESTMENT ADVISER OR NATIONAL SECURITIES EXCHANGE OR
BOARD  OF  TRADE  IN  ACCORDANCE  WITH THIS SUBDIVISION. FOR PURPOSES OF
DETERMINING IF THE PROPERTY IS PRINCIPALLY USED IN QUALIFYING USES,  THE
USES  BY  THE  TAXPAYER DESCRIBED IN CLAUSES (D) AND (E) OF SUBPARAGRAPH
(V) OF THIS PARAGRAPH MAY BE AGGREGATED. IN ADDITION, THE  USES  BY  THE
TAXPAYER, ITS AFFILIATED REGULATED BROKER, DEALER AND REGISTERED INVEST-
MENT  ADVISER  UNDER  EITHER OR BOTH OF THOSE CLAUSES MAY BE AGGREGATED.
PROVIDED, HOWEVER, A TAXPAYER SHALL NOT BE ALLOWED THE  CREDIT  PROVIDED
BY  CLAUSES  (D),  (E)  AND  (F)  OF THIS SUBPARAGRAPH UNLESS (I) EIGHTY
PERCENT OR MORE OF  THE  EMPLOYEES  PERFORMING  THE  ADMINISTRATIVE  AND
SUPPORT  FUNCTIONS  RESULTING  FROM OR RELATED TO THE QUALIFYING USES OF
SUCH EQUIPMENT ARE LOCATED IN THIS STATE, OR (II) THE AVERAGE NUMBER  OF
EMPLOYEES  THAT PERFORM THE ADMINISTRATIVE AND SUPPORT FUNCTIONS RESULT-
ING FROM OR RELATED TO THE QUALIFYING USES OF  SUCH  EQUIPMENT  AND  ARE
LOCATED  IN  THIS  STATE DURING THE TAXABLE YEAR FOR WHICH THE CREDIT IS
CLAIMED IS EQUAL TO OR GREATER THAN NINETY-FIVE PERCENT OF  THE  AVERAGE
NUMBER OF EMPLOYEES THAT PERFORM THESE FUNCTIONS AND ARE LOCATED IN THIS
STATE  DURING  THE  THIRTY-SIX MONTHS IMMEDIATELY PRECEDING THE YEAR FOR
WHICH THE CREDIT IS CLAIMED, OR (III) THE NUMBER OF EMPLOYEES LOCATED IN
THIS STATE DURING THE TAXABLE YEAR FOR WHICH THE CREDIT  IS  CLAIMED  IS
EQUAL  TO  OR  GREATER  THAN  NINETY  PERCENT OF THE NUMBER OF EMPLOYEES
LOCATED IN THIS STATE ON DECEMBER THIRTY-FIRST, NINETEEN  HUNDRED  NINE-
TY-NINE OR, IF THE TAXPAYER WAS NOT A CALENDAR YEAR TAXPAYER IN NINETEEN
HUNDRED NINETY-NINE, THE LAST DAY OF ITS FIRST TAXABLE YEAR ENDING AFTER
DECEMBER  THIRTY-FIRST,  NINETEEN  HUNDRED  NINETY-NINE. IF THE TAXPAYER
BECOMES SUBJECT TO TAX IN THIS STATE AFTER THE TAXABLE YEAR BEGINNING IN
NINETEEN HUNDRED NINETY-NINE, THEN  THE  TAXPAYER  IS  NOT  REQUIRED  TO
SATISFY  THE  EMPLOYMENT TEST PROVIDED IN THE PRECEDING SENTENCE OF THIS
SUBPARAGRAPH FOR ITS FIRST TAXABLE YEAR.  FOR  THE  PURPOSES  OF  CLAUSE
(III)  OF  THIS  SUBPARAGRAPH  THE  EMPLOYMENT TEST WILL BE BASED ON THE

S. 5491--B                         18

NUMBER OF EMPLOYEES LOCATED IN THIS STATE ON THE LAST DAY OF  THE  FIRST
TAXABLE  YEAR  THE TAXPAYER IS SUBJECT TO TAX IN THIS STATE. IF THE USES
OF THE PROPERTY MUST BE AGGREGATED TO DETERMINE WHETHER THE PROPERTY  IS
PRINCIPALLY  USED  IN  QUALIFYING USES, THEN EITHER EACH AFFILIATE USING
THE PROPERTY MUST SATISFY THIS EMPLOYMENT TEST OR THIS  EMPLOYMENT  TEST
MUST  BE  SATISFIED  THROUGH  THE  AGGREGATION  OF  THE EMPLOYEES OF THE
TAXPAYER,  ITS  AFFILIATED  REGULATED  BROKER,  DEALER,  AND  REGISTERED
INVESTMENT  ADVISER USING THE PROPERTY. FOR THE PURPOSE OF THIS SUBDIVI-
SION, THE TERM "GOODS" SHALL NOT INCLUDE ELECTRICITY.  FOR  PURPOSES  OF
THIS  PARAGRAPH,  MANUFACTURING  SHALL  MEAN  THE PROCESS OF WORKING RAW
MATERIALS INTO WARES SUITABLE FOR USE OR WHICH  GIVES  NEW  SHAPES,  NEW
QUALITY  OR  NEW  COMBINATIONS  TO MATTER WHICH ALREADY HAS GONE THROUGH
SOME ARTIFICIAL PROCESS BY THE USE OF MACHINERY, TOOLS,  APPLIANCES  AND
OTHER  SIMILAR EQUIPMENT. PROPERTY USED IN THE PRODUCTION OF GOODS SHALL
INCLUDE MACHINERY, EQUIPMENT OR OTHER TANGIBLE PROPERTY WHICH IS PRINCI-
PALLY USED IN THE REPAIR AND SERVICE OF OTHER  MACHINERY,  EQUIPMENT  OR
OTHER  TANGIBLE PROPERTY USED PRINCIPALLY IN THE PRODUCTION OF GOODS AND
SHALL INCLUDE ALL FACILITIES USED IN THE PRODUCTION OPERATION, INCLUDING
STORAGE OF MATERIAL TO BE USED IN PRODUCTION AND OF  THE  PRODUCTS  THAT
ARE  PRODUCED.  FOR  PURPOSES OF THIS PARAGRAPH, THE TERMS "RESEARCH AND
DEVELOPMENT PROPERTY", "INDUSTRIAL WASTE TREATMENT FACILITIES", AND "AIR
POLLUTION CONTROL FACILITIES" SHALL HAVE THE MEANINGS  ASCRIBED  THERETO
BY CLAUSES (B), (C) AND (D), RESPECTIVELY, OF SUBPARAGRAPH (II) OF PARA-
GRAPH  (B)  OF SUBDIVISION TWELVE OF THIS SECTION, AND THE PROVISIONS OF
SUBPARAGRAPH (III) OF SUCH PARAGRAPH (B) SHALL APPLY.
  (C) A TAXPAYER SHALL NOT BE ALLOWED A CREDIT  UNDER  THIS  SUBDIVISION
WITH  RESPECT TO ANY TANGIBLE PERSONAL PROPERTY AND OTHER TANGIBLE PROP-
ERTY, INCLUDING BUILDINGS AND STRUCTURAL COMPONENTS OF BUILDINGS,  WHICH
IT  LEASES  TO  ANY  OTHER PERSON OR CORPORATION EXCEPT WHERE A TAXPAYER
LEASES PROPERTY TO AN AFFILIATED REGULATED  BROKER,  DEALER,  REGISTERED
INVESTMENT  ADVISER,  NATIONAL SECURITIES EXCHANGE OR BOARD OF TRADE (OR
OTHER ENTITY DESCRIBED IN CLAUSE (F) OF SUBPARAGRAPH  (V)  OF  PARAGRAPH
(B)  OF  THIS  SUBDIVISION  THAT  USES  SUCH PROPERTY IN ACCORDANCE WITH
CLAUSE (D), (E) OR (F) OF SUBPARAGRAPH (V)  OF  PARAGRAPH  (B)  OF  THIS
SUBDIVISION.  FOR  PURPOSES  OF  THE PRECEDING SENTENCE, ANY CONTRACT OR
AGREEMENT TO LEASE OR RENT OR FOR A LICENSE TO USE SUCH  PROPERTY  SHALL
BE  CONSIDERED  A  LEASE.  PROVIDED,  HOWEVER,  IN DETERMINING WHETHER A
TAXPAYER SHALL BE ALLOWED A CREDIT UNDER THIS SUBDIVISION  WITH  RESPECT
TO SUCH PROPERTY, ANY ELECTION MADE WITH RESPECT TO SUCH PROPERTY PURSU-
ANT  TO  THE  PROVISIONS OF PARAGRAPH EIGHT OF SUBSECTION (F) OF SECTION
ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL REVENUE CODE, AS SUCH  PARAGRAPH
WAS  IN EFFECT FOR AGREEMENTS ENTERED INTO PRIOR TO JANUARY FIRST, NINE-
TEEN HUNDRED EIGHTY-FOUR, SHALL BE DISREGARDED.
  (D) THE CREDIT ALLOWED UNDER THIS SUBDIVISION  FOR  ANY  TAXABLE  YEAR
SHALL  NOT  REDUCE  THE TAX DUE FOR SUCH YEAR TO LESS THAN THE HIGHER OF
THE AMOUNTS PRESCRIBED IN PARAGRAPHS (C) AND (D) OF SUBDIVISION  ONE  OF
THIS  SECTION.  PROVIDED,  HOWEVER, THAT IF THE AMOUNT OF CREDIT ALLOWED
UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE
CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM THE
TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. IN LIEU OF  SUCH  CARRYOVER,  ANY
SUCH  TAXPAYER  WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH (J) OF
SUBDIVISION TWELVE OF THIS SECTION MAY ELECT,  ON  ITS  REPORT  FOR  ITS
TAXABLE  YEAR  WITH  RESPECT  TO  WHICH SUCH CREDIT IS ALLOWED, TO TREAT
FIFTY PERCENT OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT  OF  TAX
TO  BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION

S. 5491--B                         19

ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. IN ADDITION, ANY TAXPAYER WHICH
IS APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A  SIGNIF-
ICANT  CAPITAL  INVESTMENT  PROJECT  PURSUANT  TO  RULES AND REGULATIONS
PROMULGATED  BY  THE COMMISSIONER OF ECONOMIC DEVELOPMENT, ON ITS REPORT
FOR ITS TAXABLE YEAR WITH RESPECT TO WHICH SUCH CREDIT  IS  ALLOWED,  IN
LIEU  OF  SUCH CARRYOVER, MAY ELECT TO TREAT FIFTY PERCENT OF THE AMOUNT
OF SUCH CARRYOVER WHICH IS ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS
SUBDIVISION FOR PROPERTY WHICH IS PART OF SUCH PROJECT AS AN OVERPAYMENT
OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE  PROVISIONS  OF
SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, SUCH
OWNER  SHALL  BE  ALLOWED SUCH REFUND FOR A MAXIMUM OF TEN TAXABLE YEARS
WITH RESPECT TO SUCH QUALIFIED INVESTMENT PROJECT AND  EACH  SIGNIFICANT
CAPITAL  INVESTMENT  PROJECT,  STARTING  WITH  THE FIRST TAXABLE YEAR IN
WHICH PROPERTY COMPRISING SUCH PROJECT IS PLACED IN SERVICE.   PROVIDED,
FURTHER,  HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOU-
SAND EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL  BE
PAID THEREON.
  (D-1)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED IF A GREEN ECONOMIC DEVELOPMENT ZONE  RETENTION  CERTIFICATE  IS
NOT  ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMIS-
SIONER OF ECONOMIC DEVELOPMENT TO THE GREEN  ECONOMIC  DEVELOPMENT  ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  (E)  AT  THE  OPTION  OF  THE  TAXPAYER AIR OR WATER POLLUTION CONTROL
FACILITIES WHICH QUALIFY FOR ELECTIVE DEDUCTIONS UNDER PARAGRAPH (G)  OF
SUBDIVISION  NINE  OF  SECTION  TWO  HUNDRED EIGHT OF THIS ARTICLE OR AN
ELIGIBLE BUSINESS FACILITY FOR WHICH A CREDIT IS ALLOWED UNDER  SUBDIVI-
SION  ELEVEN  OF  THIS  SECTION,  OR RESEARCH AND DEVELOPMENT FACILITIES
WHICH QUALIFY FOR ELECTIVE DEDUCTION UNDER SUBPARAGRAPHS TWO  AND  THREE
OF PARAGRAPH (E) OF SUBDIVISION THREE OF THIS SECTION, OR PROPERTY WHICH
QUALIFIES  FOR  THE CREDIT PROVIDED UNDER SUBDIVISION TWELVE OR EIGHTEEN
OF THIS SECTION MAY BE TREATED  AS  PROPERTY  PRINCIPALLY  USED  BY  THE
TAXPAYER IN THE PRODUCTION OF GOODS BY MANUFACTURING, PROCESSING, ASSEM-
BLING, REFINING, MINING, EXTRACTING, FARMING, AGRICULTURE, HORTICULTURE,
VITICULTURE OR COMMERCIAL FISHING, PROVIDED THE PROPERTY OTHERWISE QUAL-
IFIES  UNDER  PARAGRAPH  (B)  OF  THIS  SUBDIVISION,  IN  WHICH  EVENT A
DEDUCTION SHALL NOT BE ALLOWED UNDER SUCH PARAGRAPH (G), A CREDIT  SHALL
NOT  BE  ALLOWED UNDER SUCH SUBDIVISION ELEVEN AND A DEDUCTION SHALL NOT
BE ALLOWED UNDER SUCH SUBPARAGRAPH THREE OF PARAGRAPH (E) AND  A  CREDIT
SHALL NOT BE ALLOWED UNDER SUCH SUBDIVISION TWELVE OR EIGHTEEN.
  (F)  (1)  WITH  RESPECT  TO  PROPERTY WHICH IS DEPRECIABLE PURSUANT TO
SECTION ONE HUNDRED SIXTY-SEVEN OF THE INTERNAL REVENUE CODE BUT IS  NOT
SUBJECT  TO  THE  PROVISIONS  OF SECTION ONE HUNDRED SIXTY-EIGHT OF SUCH
CODE AND WHICH IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR  TO
THE  END  OF  THE  TAXABLE  YEAR IN WHICH THE CREDIT IS TO BE TAKEN, THE
AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF THE CREDIT PROVIDED FOR IN
THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH THE MONTHS  OF  QUALI-
FIED  USE BEAR TO THE MONTHS OF USEFUL LIFE. IF PROPERTY ON WHICH CREDIT
HAS BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR  TO
THE  END OF ITS USEFUL LIFE, THE DIFFERENCE BETWEEN THE CREDIT TAKEN AND
THE CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED  BACK  IN  THE  YEAR  OF
DISPOSITION. PROVIDED, HOWEVER, IF SUCH PROPERTY IS DISPOSED OF OR CEAS-
ES  TO  BE  IN QUALIFIED USE AFTER IT HAS BEEN IN QUALIFIED USE FOR MORE
THAN TWELVE CONSECUTIVE YEARS, IT SHALL NOT BE NECESSARY TO ADD BACK THE
CREDIT AS PROVIDED IN THIS SUBPARAGRAPH. THE AMOUNT  OF  CREDIT  ALLOWED
FOR ACTUAL USE SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY
THE RATIO WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE MONTHS OF USEFUL

S. 5491--B                         20

LIFE.  FOR  PURPOSES OF THIS SUBPARAGRAPH, USEFUL LIFE OF PROPERTY SHALL
BE THE SAME AS THE TAXPAYER USES FOR DEPRECIATION PURPOSES WHEN  COMPUT-
ING HIS FEDERAL INCOME TAX LIABILITY.
  (2) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS  PARAGRAPH APPLIES, WITH RESPECT TO THREE-YEAR PROPERTY, AS DEFINED
IN SUBSECTION (E) OF SECTION ONE HUNDRED  SIXTY-EIGHT  OF  THE  INTERNAL
REVENUE  CODE,  WHICH  IS  DISPOSED  OF OR CEASES TO BE IN QUALIFIED USE
PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT IS TO BE TAKEN,
THE AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF  THE  CREDIT  PROVIDED
FOR  IN  THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH THE MONTHS OF
QUALIFIED USE BEAR TO THIRTY-SIX. IF PROPERTY ON WHICH CREDIT  HAS  BEEN
TAKEN  IS  DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR TO THE END
OF THIRTY-SIX MONTHS, THE DIFFERENCE BETWEEN THE CREDIT  TAKEN  AND  THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING  THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO THIRTY-SIX.
  (3) EXCEPT WITH RESPECT TO THAT PROPERTY TO WHICH SUBPARAGRAPH FOUR OF
THIS  PARAGRAPH  APPLIES,  WITH  RESPECT  TO  PROPERTY  SUBJECT  TO  THE
PROVISIONS  OF  SECTION  ONE HUNDRED SIXTY-EIGHT OF THE INTERNAL REVENUE
CODE OTHER THAN THREE-YEAR PROPERTY AS DEFINED IN SUBSECTION (E) OF SUCH
SECTION ONE HUNDRED SIXTY-EIGHT WHICH IS DISPOSED OF OR CEASES TO BE  IN
QUALIFIED  USE  PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE CREDIT
IS TO BE TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT  PORTION  OF  THE
CREDIT PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS THE RATIO WHICH
THE  MONTHS  OF QUALIFIED USE BEAR TO SIXTY. IF PROPERTY ON WHICH CREDIT
HAS BEEN TAKEN IS DISPOSED OF OR CEASES TO BE IN QUALIFIED USE PRIOR  TO
THE END OF SIXTY MONTHS, THE DIFFERENCE BETWEEN THE CREDIT TAKEN AND THE
CREDIT ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE YEAR OF DISPOSI-
TION. THE AMOUNT OF CREDIT ALLOWED FOR ACTUAL USE SHALL BE DETERMINED BY
MULTIPLYING  THE ORIGINAL CREDIT BY THE RATIO WHICH THE MONTHS OF QUALI-
FIED USE BEAR TO SIXTY.
  (4) WITH  RESPECT  TO  ANY  PROPERTY  TO  WHICH  SECTION  ONE  HUNDRED
SIXTY-EIGHT OF THE INTERNAL REVENUE CODE APPLIES, WHICH IS A BUILDING OR
A  STRUCTURAL COMPONENT OF A BUILDING AND WHICH IS DISPOSED OF OR CEASES
TO BE IN QUALIFIED USE PRIOR TO THE END OF THE TAXABLE YEAR IN WHICH THE
CREDIT IS TO BE TAKEN, THE AMOUNT OF THE CREDIT SHALL BE THAT PORTION OF
THE CREDIT PROVIDED FOR IN THIS SUBDIVISION WHICH REPRESENTS  THE  RATIO
WHICH  THE  MONTHS  OF  QUALIFIED USE BEAR TO THE TOTAL NUMBER OF MONTHS
OVER WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE  INTER-
NAL REVENUE CODE. IF PROPERTY ON WHICH CREDIT HAS BEEN TAKEN IS DISPOSED
OF  OR CEASES TO BE IN QUALIFIED USE PRIOR TO THE END OF THE PERIOD OVER
WHICH THE TAXPAYER CHOOSES TO DEDUCT THE  PROPERTY  UNDER  THE  INTERNAL
REVENUE  CODE,  THE  DIFFERENCE  BETWEEN THE CREDIT TAKEN AND THE CREDIT
ALLOWED FOR ACTUAL USE MUST BE ADDED BACK IN THE  YEAR  OF  DISPOSITION.
PROVIDED,  HOWEVER,  IF  SUCH PROPERTY IS DISPOSED OF OR CEASES TO BE IN
QUALIFIED USE AFTER IT HAS BEEN IN QUALIFIED USE FOR  MORE  THAN  TWELVE
CONSECUTIVE  YEARS,  IT SHALL NOT BE NECESSARY TO ADD BACK THE CREDIT AS
PROVIDED IN THIS SUBPARAGRAPH. THE AMOUNT OF CREDIT ALLOWED  FOR  ACTUAL
USE  SHALL BE DETERMINED BY MULTIPLYING THE ORIGINAL CREDIT BY THE RATIO
WHICH THE MONTHS OF QUALIFIED USE BEAR TO THE  TOTAL  NUMBER  OF  MONTHS
OVER  WHICH THE TAXPAYER CHOOSES TO DEDUCT THE PROPERTY UNDER THE INTER-
NAL REVENUE CODE.
  (5) FOR PURPOSES OF THIS PARAGRAPH, DISPOSAL OR CESSATION OF QUALIFIED
USE SHALL NOT BE DEEMED TO HAVE OCCURRED SOLELY BY REASON OF THE  TERMI-

S. 5491--B                         21

NATION  OR EXPIRATION OF A GREEN ECONOMIC DEVELOPMENT ZONE'S DESIGNATION
AS SUCH.
  (6)(A)  FOR PURPOSES OF THIS PARAGRAPH, THE DECERTIFICATION OF A BUSI-
NESS ENTERPRISE WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE  SHALL
CONSTITUTE  A  DISPOSAL OR CESSATION OF QUALIFIED USE OF THE PROPERTY ON
WHICH THE CREDIT WAS TAKEN WHICH IS LOCATED IN THE  ZONE  TO  WHICH  THE
DECERTIFICATION APPLIES, ON THE EFFECTIVE DATE OF SUCH DECERTIFICATION.
  (B)  WHERE A BUSINESS ENTERPRISE HAS BEEN DECERTIFIED BASED ON A FIND-
ING PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMISSIONER OF
ECONOMIC DEVELOPMENT, THE AMOUNT REQUIRED TO BE ADDED BACK BY REASON  OF
THIS  PARAGRAPH  SHALL BE AUGMENTED BY AN AMOUNT EQUAL TO THE PRODUCT OF
THE AMOUNT OF CREDIT, WITH RESPECT TO PROPERTY WHICH IS DISPOSED  OF  OR
CEASES  TO  BE  IN QUALIFIED USE, WHICH WAS DEDUCTED FROM THE TAXPAYER'S
TAX OTHERWISE DUE  UNDER  THIS  ARTICLE  FOR  ALL  PRIOR  TAXABLE  YEARS
(SUBJECT  TO THE LIMIT SET FORTH IN THIS SUBPARAGRAPH) AND THE UNDERPAY-
MENT RATE OF INTEREST (WITHOUT REGARD TO COMPOUNDING) SET BY THE COMMIS-
SIONER OF TAXATION AND FINANCE PURSUANT TO SUBSECTION (E) OF SECTION ONE
THOUSAND NINETY-SIX OF THIS CHAPTER, IN EFFECT ON THE LAST  DAY  OF  THE
TAXABLE  YEAR. THE LIMIT SHALL BE (I) THE AMOUNT OF CREDIT, WITH RESPECT
TO THE PROPERTY WHICH IS DISPOSED OF OR CEASES TO BE IN  QUALIFIED  USE,
WHICH  WAS  DEDUCTED  FROM  THE  TAXPAYER'S TAX OTHERWISE DUE UNDER THIS
ARTICLE FOR ALL PRIOR TAXABLE YEARS, REDUCED (BUT  NOT  BELOW  ZERO)  BY
(II)  THE  CREDIT ALLOWED FOR ACTUAL USE.  FOR PURPOSES OF THIS SUBPARA-
GRAPH, THE ATTRIBUTION TO SPECIFIC PROPERTY OF CREDIT  AMOUNTS  DEDUCTED
FROM  TAX  SHALL BE ESTABLISHED IN ACCORDANCE WITH THE DATE OF PLACEMENT
IN SERVICE OF SUCH PROPERTY IN THE GREEN ECONOMIC DEVELOPMENT ZONE.
  (C) IN NO EVENT SHALL THE AMOUNT OF THE  CREDIT  ALLOWED  PURSUANT  TO
THIS  SUBDIVISION  BE  RENDERED,  SOLELY BY REASON OF CLAUSE (A) OF THIS
SUBPARAGRAPH, LESS THAN THE AMOUNT OF THE CREDIT TO WHICH  THE  TAXPAYER
WOULD OTHERWISE BE ENTITLED UNDER SUBDIVISION TWELVE OF THIS SECTION.
  (D)  NOTWITHSTANDING  ANY  OTHER PROVISION OF THIS SUBDIVISION, IN THE
CASE OF A BUSINESS ENTERPRISE WHICH HAS BEEN DECERTIFIED, ANY AMOUNT  OF
CREDIT  ALLOWED WITH RESPECT TO THE PROPERTY OF SUCH BUSINESS ENTERPRISE
LOCATED IN THE ZONE  TO  WHICH  THE  DECERTIFICATION  APPLIES  WHICH  IS
CARRIED  OVER PURSUANT TO PARAGRAPH (D) OF THIS SUBDIVISION SHALL NOT BE
CARRIED OVER BEYOND THE SEVENTH TAXABLE YEAR NEXT FOLLOWING THE  TAXABLE
YEAR  WITH  RESPECT TO WHICH THE CREDIT PROVIDED FOR IN THIS SUBDIVISION
WAS ALLOWED.
  (7) FOR PURPOSES OF THIS PARAGRAPH, WHERE A  CREDIT  IS  ALLOWED  WITH
RESPECT  TO  AN AIR POLLUTION CONTROL FACILITY ON THE BASIS OF A CERTIF-
ICATE OF COMPLIANCE ISSUED PURSUANT TO  THE  ENVIRONMENTAL  CONSERVATION
LAW  AND  THE  CERTIFICATE  IS  REVOKED PURSUANT TO SUBDIVISION THREE OF
SECTION 19-0309 OF THE ENVIRONMENTAL CONSERVATION LAW,  SUCH  REVOCATION
SHALL  CONSTITUTE  A DISPOSAL OR CESSATION OF QUALIFIED USE, EXCEPT WITH
RESPECT TO PROPERTY CONTAINED IN OR COMPRISING SUCH  FACILITY  WHICH  IS
DESCRIBED IN CLAUSE (A), (B) OR (C) OF SUBPARAGRAPH (V) OF PARAGRAPH (B)
OF THIS SUBDIVISION OTHER THAN AS PART OF OR COMPRISING AN AIR POLLUTION
CONTROL FACILITY. ALSO FOR PURPOSES OF THIS PARAGRAPH, THE USE OF AN AIR
POLLUTION CONTROL FACILITY OR AN INDUSTRIAL WASTE TREATMENT FACILITY FOR
THE PRIMARY PURPOSE OF SALVAGING MATERIALS WHICH ARE USABLE IN THE MANU-
FACTURING  PROCESS  OR  ARE  MARKETABLE  SHALL CONSTITUTE A CESSATION OF
QUALIFIED USE, EXCEPT WITH RESPECT TO PROPERTY CONTAINED IN OR  COMPRIS-
ING  SUCH  FACILITY  WHICH IS DESCRIBED IN CLAUSE (A) OR (C) OF SUBPARA-
GRAPH (V) OF PARAGRAPH (B) OF THIS SUBDIVISION.
  (8) EXCEPT AS PROVIDED IN THIS SUBPARAGRAPH, THIS PARAGRAPH SHALL  NOT
APPLY  TO  A  CREDIT ALLOWED BY THIS SUBDIVISION TO A TAXPAYER THAT IS A

S. 5491--B                         22

PARTNER  IN  A  PARTNERSHIP  IN  THE  CASE  OF  MANUFACTURING  PROPERTY;
PROVIDED,  AT THE TIME SUCH PROPERTY WAS PLACED IN SERVICE BY SUCH PART-
NERSHIP IN A GREEN ECONOMIC  DEVELOPMENT  ZONE  THE  BASIS  FOR  FEDERAL
INCOME  TAX  PURPOSES  OF SUCH PROPERTY (OR A PROJECT THAT INCLUDES SUCH
PROPERTY) EQUALED OR EXCEEDED THREE HUNDRED  MILLION  DOLLARS  AND  SUCH
PARTNER OWNED ITS PARTNERSHIP INTEREST FOR AT LEAST THREE YEARS FROM THE
DATE  SUCH PROPERTY WAS PLACED IN SERVICE. IF SUCH PROPERTY CEASES TO BE
IN QUALIFIED USE AFTER IT IS PLACED IN  SERVICE,  THIS  PARAGRAPH  SHALL
APPLY TO SUCH PARTNER IN THE YEAR SUCH PROPERTY CEASES TO BE IN QUALIFY-
ING USE.
  (9)  IF  A TAXPAYER, WHICH IS APPROVED BY THE COMMISSIONER OF ECONOMIC
DEVELOPMENT AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT OR A  SIGNIF-
ICANT CAPITAL INVESTMENT PROJECT, FAILS TO (A) CREATE AT LEAST THE MINI-
MUM  NUMBER  OF  JOBS AT SUCH PROJECT AS REQUIRED BY THE RULES AND REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT  OR  (B)
PLACE  IN  SERVICE PROPERTY COMPRISING SUCH QUALIFIED INVESTMENT PROJECT
OR SIGNIFICANT CAPITAL INVESTMENT  PROJECT  WITH  A  BASIS  FOR  FEDERAL
INCOME  TAX  PURPOSES  EQUALING  OR  EXCEEDING  THE  APPLICABLE  MINIMUM
REQUIRED BASIS AS PROVIDED IN SUCH RULES AND REGULATIONS PROMULGATED  BY
THE  COMMISSIONER OF ECONOMIC DEVELOPMENT, WHICHEVER IS RELEVANT, BY THE
LAST DAY OF THE FIFTH TAXABLE YEAR FOLLOWING THE TAXABLE YEAR IN WHICH A
CREDIT IS FIRST ALLOWED UNDER THIS SUBDIVISION FOR  THE  PROPERTY  WHICH
COMPRISES  SUCH QUALIFIED INVESTMENT PROJECT OR SUCH SIGNIFICANT CAPITAL
INVESTMENT PROJECT, THE TOTAL AMOUNT OF THE CREDIT  ALLOWED  UNDER  THIS
SUBDIVISION  FOR  ALL  TAXABLE  YEARS WITH RESPECT TO THE PROPERTY WHICH
COMPRISES SUCH PROJECT WHICH HAS BEEN REFUNDED TO SUCH TAXPAYER SHALL BE
ADDED BACK IN SUCH TAXABLE YEAR.
  12-I. GREEN ECONOMIC  DEVELOPMENT  ZONE  EMPLOYMENT  INCENTIVE  CREDIT
(GED-EIC).    (A) WHERE A TAXPAYER IS ALLOWED A CREDIT UNDER SUBDIVISION
TWELVE-H OF THIS SECTION, THE TAXPAYER SHALL BE  ALLOWED  A  CREDIT  FOR
EACH  OF  THE THREE YEARS NEXT SUCCEEDING THE TAXABLE YEAR FOR WHICH THE
CREDIT UNDER SUBDIVISION TWELVE-H  OF  THIS  SECTION  IS  ALLOWED,  WITH
RESPECT TO SUCH PROPERTY, WHETHER OR NOT DEDUCTIBLE IN SUCH TAXABLE YEAR
OR  IN SUBSEQUENT TAXABLE YEARS PURSUANT TO PARAGRAPH (D) OF SUCH SUBDI-
VISION TWELVE-H, OF THIRTY PERCENT OF THE CREDIT  ALLOWABLE  UNDER  SUCH
SUBDIVISION TWELVE-H; PROVIDED, HOWEVER, THAT THE CREDIT ALLOWABLE UNDER
THIS SUBDIVISION FOR ANY TAXABLE YEAR SHALL ONLY BE ALLOWED IF THE AVER-
AGE  NUMBER  OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN THE GREEN ECONOMIC
DEVELOPMENT ZONE, DESIGNATED  PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE
GENERAL  MUNICIPAL  LAW,  IN  WHICH SUCH PROPERTY IS LOCATED DURING SUCH
TAXABLE YEAR IS AT LEAST ONE HUNDRED ONE PERCENT OF THE  AVERAGE  NUMBER
OF EMPLOYEES EMPLOYED BY THE TAXPAYER IN SUCH GREEN ECONOMIC DEVELOPMENT
ZONE  OR,  WHERE APPLICABLE, IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTI-
TUTING SUCH ZONE, DURING THE  TAXABLE  YEAR  IMMEDIATELY  PRECEDING  THE
TAXABLE  YEAR  FOR  WHICH  THE CREDIT UNDER SUBDIVISION TWELVE-H OF THIS
SECTION IS ALLOWED AND PROVIDED, FURTHER, THAT IF THE TAXPAYER  WAS  NOT
SUBJECT TO TAX AND DID NOT HAVE A TAXABLE YEAR IMMEDIATELY PRECEDING THE
TAXABLE  YEAR  FOR  WHICH  THE CREDIT UNDER SUBDIVISION TWELVE-H OF THIS
SECTION IS ALLOWED, THE CREDIT ALLOWABLE UNDER THIS SUBDIVISION FOR  ANY
TAXABLE  YEAR  SHALL  BE  ALLOWED  IF  THE  AVERAGE  NUMBER OF EMPLOYEES
EMPLOYED IN SUCH GREEN ECONOMIC DEVELOPMENT ZONE IN SUCH TAXABLE YEAR IS
AT LEAST ONE HUNDRED ONE PERCENT OF THE AVERAGE NUMBER OF SUCH EMPLOYEES
DURING THE TAXABLE YEAR IN  WHICH  THE  CREDIT  UNDER  SUCH  SUBDIVISION
TWELVE-H IS ALLOWED.
  (B)  THE  AVERAGE  NUMBER  OF  EMPLOYEES  EMPLOYED IN A GREEN ECONOMIC
DEVELOPMENT ZONE, OR, WHERE APPLICABLE, IN THE  GEOGRAPHIC  AREA  SUBSE-

S. 5491--B                         23

QUENTLY  CONSTITUTING  SUCH ZONE, IN A TAXABLE YEAR SHALL BE COMPUTED BY
ASCERTAINING THE NUMBER OF SUCH EMPLOYEES WITHIN SUCH  ZONE,  OR,  WHERE
APPLICABLE,  IN THE GEOGRAPHIC AREA SUBSEQUENTLY CONSTITUTING SUCH ZONE,
EXCEPT GENERAL EXECUTIVE OFFICERS, EMPLOYED BY THE TAXPAYER ON THE THIR-
TY-FIRST  DAY  OF MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF
SEPTEMBER AND THE THIRTY-FIRST DAY OF DECEMBER IN THE TAXABLE  YEAR,  BY
ADDING  TOGETHER  THE  NUMBER  OF  EMPLOYEES ASCERTAINED ON EACH OF SUCH
DATES AND DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH  ABOVE-MEN-
TIONED DATES OCCURRING WITHIN THE TAXABLE YEAR. FOR THE PURPOSES OF THIS
SUBDIVISION,  THE TERM "EMPLOYEES" AND THE TERM "GENERAL EXECUTIVE OFFI-
CERS" SHALL MEAN THE SAME AS IN SUBPARAGRAPH THREE OF PARAGRAPH  (A)  OF
SUBDIVISION THREE OF THIS SECTION.
  (C)  IN  NO EVENT SHALL THE CREDIT PROVIDED FOR IN THIS SUBDIVISION BE
ALLOWED IN AN AMOUNT WHICH WILL REDUCE THE TAX PAYABLE TO LESS THAN  THE
AMOUNT  PRESCRIBED  IN PARAGRAPH (D) OF SUBDIVISION ONE OF THIS SECTION.
PROVIDED, HOWEVER, THAT IF THE AMOUNT OF  CREDIT  ALLOWABLE  UNDER  THIS
SUBDIVISION  FOR  ANY  TAXABLE  YEAR REDUCES THE TAX TO SUCH AMOUNT, ANY
AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED OVER
TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM  THE  TAXPAYER'S
TAX  FOR SUCH YEAR OR YEARS. IN LIEU OF SUCH CARRYOVER, ANY SUCH TAXPAY-
ER, WHICH IS APPROVED AS THE OWNER OF A QUALIFIED INVESTMENT PROJECT  OR
A  SIGNIFICANT  CAPITAL  INVESTMENT  PROJECT PURSUANT TO RULES AND REGU-
LATIONS PROMULGATED BY THE COMMISSIONER  OF  ECONOMIC  DEVELOPMENT,  MAY
ELECT,  ON  ITS  REPORT  FOR ITS TAXABLE YEAR WITH RESPECT TO WHICH SUCH
CREDIT IS ALLOWED, TO TREAT FIFTY PERCENT OF THE AMOUNT OF  SUCH  CARRY-
OVER  AS  AN OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE
WITH THE PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS  CHAPTER.
PROVIDED,  HOWEVER,  IN THE CASE OF SUCH OWNER OF A QUALIFIED INVESTMENT
PROJECT OR A SIGNIFICANT CAPITAL INVESTMENT PROJECT, ONLY FIFTY  PERCENT
OF  THE  AMOUNT  OF  SUCH  CARRYOVER WHICH IS ATTRIBUTABLE TO THE CREDIT
ALLOWED UNDER THIS SUBDIVISION WITH RESPECT TO PROPERTY WHICH IS PART OF
SUCH PROJECT SHALL BE ALLOWED TO BE CREDITED OR REFUNDED AND SUCH  OWNER
SHALL  BE  ALLOWED SUCH CREDIT OR REFUND ONLY FOR THOSE TAXABLE YEARS IN
WHICH SUCH OWNER WOULD BE ALLOWED  A  CREDIT  OR  REFUND  OF  THE  GREEN
ECONOMIC  DEVELOPMENT  ZONE  INVESTMENT TAX CREDIT PURSUANT TO PARAGRAPH
(D) OF SUBDIVISION TWELVE-H OF THIS SECTION. PROVIDED, FURTHER, HOWEVER,
THE PROVISIONS OF SUBSECTION (C) OF SECTION ONE THOUSAND EIGHTY-EIGHT OF
THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID THEREON.
  (C-1) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  AN EMPIRE ZONE RETENTION CERTIFICATE IS NOT ISSUED PURSUANT
TO RULES AND REGULATIONS PROMULGATED BY  THE  COMMISSIONER  OF  ECONOMIC
DEVELOPMENT  TO  THE GREEN ECONOMIC DEVELOPMENT ZONE ENTERPRISE WHICH IS
THE BASIS OF THE CREDIT.
  S 19. Section 210 of the tax law is amended by adding a  new  subdivi-
sion 45 to read as follows:
  45.  GREEN  ECONOMIC  DEVELOPMENT ZONE WAGE TAX CREDIT. (A) A TAXPAYER
SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED IN  THIS  SUBDIVI-
SION,  AGAINST  THE  TAX  IMPOSED BY THIS ARTICLE WHERE THE TAXPAYER HAS
BEEN CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE  GENERAL  MUNICIPAL
LAW.  THE  AMOUNT OF SUCH CREDIT SHALL BE AS PRESCRIBED BY PARAGRAPH (D)
OF THIS SUBDIVISION.
  (B) FOR THE PURPOSES OF THIS SUBDIVISION, THE  FOLLOWING  TERMS  SHALL
HAVE THE FOLLOWING MEANINGS:
  (1)  "GREEN  ECONOMIC  DEVELOPMENT ZONE WAGES" MEANS WAGES PAID BY THE
TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO GENERAL EXECUTIVE OFFI-
CERS, DURING THE TAXABLE YEAR IN AN AREA DESIGNATED OR PREVIOUSLY DESIG-

S. 5491--B                         24

NATED AS A GREEN ECONOMIC  DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT  AREA
PURSUANT  TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW, WHERE SUCH
EMPLOYMENT IS IN A JOB CREATED IN THE AREA (I) DURING THE PERIOD OF  ITS
DESIGNATION AS A GREEN ECONOMIC DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS
OF  THE  EXPIRATION  OF  SUCH  DESIGNATION, OR (III) DURING THE TEN YEAR
PERIOD IMMEDIATELY FOLLOWING THE DATE OF DESIGNATION AS  A  ZONE  EQUIV-
ALENT  AREA,  PROVIDED,  HOWEVER,  THAT  IF THE TAXPAYER'S CERTIFICATION
UNDER ARTICLE EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW  IS  REVOKED  WITH
RESPECT  TO  A  GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA,
ANY WAGES PAID BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE  OF  SUCH
DECERTIFICATION, FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE EMPIRE
ZONE WAGES.
  (2)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (A)  AN  ELIGIBLE  INDIVIDUAL
UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE),  (B)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME INDIVIDUAL (P.L.  105-220, AS AMENDED), (C)  A  RECIPIENT  OF
PUBLIC  ASSISTANCE BENEFITS, (D) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED  STATES
DEPARTMENT  OF  COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY INCOME IS
BELOW THE MOST RECENTLY ESTABLISHED  POVERTY  RATE  PROMULGATED  BY  THE
APPROPRIATE  FEDERAL AGENCY OR (E) AN HONORABLY DISCHARGED MEMBER OF ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN INDIVIDUAL WHO SATISFIES THE CRITERIA SET FORTH IN CLAUSE (A),  (B)
OR (D) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT IN THE JOB
WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES THE CRITE-
RION SET FORTH IN CLAUSE (C) OF THIS SUBPARAGRAPH AT SUCH TIME OR AT ANY
TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED EMPLOYEE SO LONG
AS  SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC DEVELOPMENT ZONE
WAGES.
  (3) "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE  OFFI-
CERS,  EMPLOYED  FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING THE NUMBER
OF SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY  OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST  DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER APPLICA-
BLE PERIOD, BY ADDING TOGETHER THE NUMBER  OF  SUCH  INDIVIDUALS  ASCER-
TAINED  ON  EACH  OF  SUCH DATES AND DIVIDING THE SUM SO OBTAINED BY THE
NUMBER OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER  APPLI-
CABLE PERIOD.
  (C)  THE  CREDIT  PROVIDED  FOR HEREIN SHALL BE ALLOWED ONLY WHERE THE
AVERAGE NUMBER OF INDIVIDUALS,  EXCLUDING  GENERAL  EXECUTIVE  OFFICERS,
EMPLOYED  FULL-TIME  BY  THE TAXPAYER IN (A) THE STATE AND (B) THE GREEN
ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH  ZONE  OR
ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE AVERAGE NUMBER
OF  SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (A) THE STATE
AND (B) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY  CONSTITUTING  SUCH
ZONE  OR  SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING THE FOUR YEARS
IMMEDIATELY PRECEDING THE FIRST TAXABLE YEAR  IN  WHICH  THE  CREDIT  IS
CLAIMED  WITH  RESPECT TO SUCH ZONE OR AREA. WHERE THE TAXPAYER PROVIDED
FULL-TIME EMPLOYMENT WITHIN (A) THE STATE  OR  (B)  SUCH  ZONE  OR  AREA
DURING  ONLY  A  PORTION  OF SUCH FOUR-YEAR PERIOD, THEN FOR PURPOSES OF
THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD TO
SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE

S. 5491--B                         25

MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION. SUBSEQUENT CERTIF-
ICATIONS  OF  THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AT THE SAME OR A DIFFERENT LOCATION  IN  THE  SAME  GREEN
ECONOMIC  DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR  BEGIN-
NING  MORE  THAN  FOUR  YEARS FOLLOWING THE TAXABLE YEAR IN WHICH DESIG-
NATION AS A GREEN ECONOMIC DEVELOPMENT ZONE EXPIRED  OR  MORE  THAN  TEN
YEARS  AFTER  THE  DESIGNATION AS A ZONE EQUIVALENT AREA. IN LIEU OF THE
FIVE YEAR TIME PERIOD DESCRIBED IN THE PRECEDING SENTENCES OF THIS PARA-
GRAPH FOR THE ALLOWANCE OF THIS  CREDIT,  WITH  RESPECT  TO  A  BUSINESS
ENTERPRISE  WHICH QUALIFIES AS A NEW BUSINESS PURSUANT TO PARAGRAPH FIVE
OF SUBDIVISION (J) OF SECTION FOURTEEN OF THIS CHAPTER, THE CREDIT SHALL
BE ALLOWED WITH RESPECT TO THE FIRST TAXABLE YEAR OF THE BUSINESS ENTER-
PRISE'S BUSINESS TAX BENEFIT PERIOD, AS DETERMINED PURSUANT TO PARAGRAPH
ONE-A OF SUBDIVISION (A) OF SECTION FOURTEEN  OF  THIS  CHAPTER,  DURING
WHICH  PAYMENTS  OF  GREEN  ECONOMIC DEVELOPMENT ZONE WAGES ARE MADE AND
WITH RESPECT TO EACH OF  THE  FOUR  TAXABLE  YEARS  NEXT  FOLLOWING,  IN
ACCORDANCE WITH PARAGRAPH (D) OF THIS SUBDIVISION.
  (D) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (1) THE PRODUCT OF
THREE  THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH THREE  OF  PARAGRAPH  (B)  OF
THIS SUBDIVISION, WHO
  (A)  RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF
OF THE TAXABLE YEAR,
  (B) RECEIVED, WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF  EMPLOY-
MENT  BY  THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE WHICH WAS
AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM  WAGE  SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (C) ARE TARGETED EMPLOYEES; AND
  (2)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS  (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND   INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH ONE OF THIS PARAGRAPH) EMPLOYED FULL-TIME BY
THE TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH  THREE
OF PARAGRAPH (B) OF THIS SUBDIVISION, WHO RECEIVED GREEN ECONOMIC DEVEL-
OPMENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  PROVIDED,  FURTHER,  HOWEVER, THAT THE CREDIT PROVIDED FOR HEREIN WITH
RESPECT TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE  TAXA-
BLE  YEAR,  DEDUCTED  FROM THE TAX OTHERWISE DUE, MAY NOT, IN THE AGGRE-
GATE, EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION TWO  HUNDRED
NINE  OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT PROVIDED FOR
BY THIS ARTICLE.
  (3) FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT,  INDIVIDUALS
EMPLOYED  WITHIN  A  GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT
AREA WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED  PERSON,
AS  SUCH  TERM  IS  DEFINED  IN  SUBPARAGRAPH  (C) OF PARAGRAPH THREE OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE CODE, SHALL NOT BE INCLUDED IN  THE  AVERAGE  NUMBER  OF  INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH  ONE  OR SUBPARAGRAPH TWO OF THIS PARAGRAPH,
UNLESS SUCH RELATED PERSON WAS NEVER ALLOWED A CREDIT UNDER THIS  SUBDI-

S. 5491--B                         26

VISION WITH RESPECT TO SUCH EMPLOYEES. FOR THE PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED  AS  A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD NOT BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (4)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL
MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH ONE OR
TWO OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (5)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE  THAN  HALF  THE  TAXABLE
YEAR  SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING
THE CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE  CREDIT
ALLOWED UNDER THIS SUBDIVISION SHALL BE COMPUTED BY UTILIZING THE NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME
BY  THE  TAXPAYER  ON THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (A) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN  ENTITY
WHICH  IS  NOT  A RELATED PERSON (AS SUCH TERM IS DEFINED IN SUBDIVISION
(G) OF SECTION FOURTEEN OF THIS CHAPTER); (B) THE FIRST TAXABLE YEAR  OF
SUCH  TAXPAYER  SHALL  BE  A  SHORT  TAXABLE YEAR OF NOT MORE THAN SEVEN
MONTHS IN DURATION; AND (C) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME
ON THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED
NINETY AND SUBSTANTIALLY ALL OF SUCH INDIVIDUALS MUST HAVE  BEEN  PREVI-
OUSLY  EMPLOYED  BY  THE  ENTITY  FROM  WHOM SUCH TAXPAYER PURCHASED ITS
ASSETS.
  (E) THE CREDIT AND CARRYOVERS OF SUCH CREDIT ALLOWED UNDER THIS SUBDI-
VISION FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE  TAX
DUE  FOR  SUCH YEAR TO LESS THAN THE HIGHER OF THE AMOUNTS PRESCRIBED IN
PARAGRAPHS (C) AND (D) OF SUBDIVISION ONE OF THIS SECTION.  HOWEVER,  IF
THE  AMOUNT  OF  CREDIT  OR  CARRYOVERS OF SUCH CREDIT, OR BOTH, ALLOWED
UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  OR  IF  ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT MAY
NOT BE DEDUCTED FROM THE TAX  OTHERWISE  DUE  BY  REASON  OF  THE  FINAL
SENTENCE  OF  PARAGRAPH (D) OF THIS SUBDIVISION, ANY AMOUNT OF CREDIT OR
CARRYOVERS OF SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE  YEAR  MAY
BE  CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM
THE TAX FOR SUCH YEAR OR YEARS. IN LIEU  OF  SUCH  CARRYOVER,  ANY  SUCH
TAXPAYER WHICH QUALIFIES AS A NEW BUSINESS UNDER PARAGRAPH (J) OF SUBDI-
VISION  TWELVE  OF  THIS  SECTION OR A TAXPAYER WHICH IS APPROVED AS THE
OWNER OF A QUALIFIED INVESTMENT PROJECT OR A SIGNIFICANT CAPITAL INVEST-
MENT PROJECT PURSUANT  TO  RULES  AND  REGULATIONS  PROMULGATED  BY  THE
COMMISSIONER  OF  ECONOMIC  DEVELOPMENT MAY ELECT, ON ITS REPORT FOR ITS
TAXABLE YEAR WITH RESPECT TO WHICH SUCH  CREDIT  IS  ALLOWED,  TO  TREAT
FIFTY  PERCENT  OF THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT OF TAX
TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF  SECTION
ONE  THOUSAND EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, IN THE CASE
OF SUCH OWNER OF A QUALIFIED INVESTMENT PROJECT OR  SIGNIFICANT  CAPITAL
INVESTMENT  PROJECT,  ONLY FIFTY PERCENT OF THE AMOUNT OF SUCH CARRYOVER
WHICH IS ATTRIBUTABLE TO THE CREDIT ALLOWED UNDER THIS  SUBDIVISION  FOR
INDIVIDUALS  EMPLOYED AT SUCH PROJECT SHALL BE ALLOWED TO BE CREDITED OR
REFUNDED. PROVIDED, FURTHER, HOWEVER, THE PROVISIONS OF  SUBSECTION  (C)
OF SECTION ONE THOUSAND EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO
INTEREST SHALL BE PAID THEREON.

S. 5491--B                         27

  (E-1)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED IF A GREEN ECONOMIC DEVELOPMENT ZONE  RETENTION  CERTIFICATE  IS
NOT  ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMIS-
SIONER OF ECONOMIC DEVELOPMENT TO THE GREEN  ECONOMIC  DEVELOPMENT  ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  (F)  FOR  THE INTERACTION OF THIS SUBDIVISION AND SUBDIVISION TWELVE-D
OF THIS SECTION (EMPLOYMENT INCENTIVE CREDIT), SEE PARAGRAPH (B) OF SUCH
SUBDIVISION TWELVE-D.
  S 20. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxiv)  to  read  as
follows:
(XXXIV) GREEN ECONOMIC DEVELOPMENT ZONE        AMOUNT OF CREDIT UNDER
WAGE TAX CREDIT UNDER SUBSECTION               SUBDIVISION FORTY-FIVE OF
(UU)                                           SECTION TWO HUNDRED TEN
  S 21. Section 606 of the tax law is amended by adding a new subsection
(uu) to read as follows:
  (UU)  GREEN  ECONOMIC DEVELOPMENT ZONE WAGE TAX CREDIT. (1) A TAXPAYER
SHALL  BE  ALLOWED  A  CREDIT,  TO  BE  COMPUTED  AS  PROVIDED  IN  THIS
SUBSECTION,  AGAINST THE TAX IMPOSED BY THIS ARTICLE, WHERE THE TAXPAYER
HAS BEEN CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICI-
PAL LAW. THE AMOUNT OF SUCH CREDIT SHALL BE AS PRESCRIBED  IN  PARAGRAPH
FOUR OF THIS SUBSECTION.
  (2)  FOR  THE  PURPOSES  OF THIS SUBSECTION, THE FOLLOWING TERMS SHALL
HAVE THE FOLLOWING MEANINGS: (A) "GREEN ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS WAGES PAID BY THE TAXPAYER FOR  FULL-TIME  EMPLOYMENT  DURING  THE
TAXABLE  YEAR, IN AN AREA DESIGNATED OR PREVIOUSLY DESIGNATED AS A GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA  PURSUANT  TO  ARTICLE
EIGHTEEN-D  OF  THE GENERAL MUNICIPAL LAW, WHERE SUCH EMPLOYMENT IS IN A
JOB CREATED IN THE AREA (I) DURING THE PERIOD OF ITS  DESIGNATION  AS  A
GREEN  ECONOMIC  DEVELOPMENT ZONE, (II) WITHIN FOUR YEARS OF THE EXPIRA-
TION OF SUCH DESIGNATION, OR (III) DURING THE TEN YEAR PERIOD IMMEDIATE-
LY FOLLOWING  THE  DATE  OF  DESIGNATION  AS  A  ZONE  EQUIVALENT  AREA,
PROVIDED,  HOWEVER,  THAT  IF THE TAXPAYER'S CERTIFICATION UNDER ARTICLE
EIGHTEEN-D OF THE GENERAL MUNICIPAL LAW IS REVOKED  WITH  RESPECT  TO  A
GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, ANY WAGES PAID
BY THE TAXPAYER, ON OR AFTER THE EFFECTIVE DATE OF SUCH DECERTIFICATION,
FOR EMPLOYMENT IN SUCH ZONE SHALL NOT CONSTITUTE GREEN ECONOMIC DEVELOP-
MENT ZONE WAGES.
  (B) "TARGETED EMPLOYEE" MEANS A NEW YORK RESIDENT WHO  RECEIVES  GREEN
ECONOMIC  DEVELOPMENT  ZONE  WAGES AND WHO IS (I) AN ELIGIBLE INDIVIDUAL
UNDER THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION  FIFTY-ONE
OF  THE  INTERNAL  REVENUE  CODE),  (II) ELIGIBLE FOR BENEFITS UNDER THE
PROVISIONS OF THE WORKFORCE INVESTMENT ACT AS  A  DISLOCATED  WORKER  OR
LOW-INCOME  INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED  STATES
DEPARTMENT  OF  COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY INCOME IS
BELOW THE MOST RECENTLY ESTABLISHED  POVERTY  RATE  PROMULGATED  BY  THE
APPROPRIATE  FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN INDIVIDUAL WHO SATISFIES THE CRITERIA  SET  FORTH  IN  CLAUSE  (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE  CRITERION  SET  FORTH  IN CLAUSE (III) OF THIS SUBPARAGRAPH AT SUCH
TIME OR AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE  A  TARGETED

S. 5491--B                         28

EMPLOYEE  SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C)  "AVERAGE  NUMBER  OF  INDIVIDUALS  EMPLOYED  FULL-TIME"  SHALL BE
COMPUTED BY ASCERTAINING THE NUMBER OF SUCH INDIVIDUALS EMPLOYED BY  THE
TAXPAYER  ON  THE  THIRTY-FIRST DAY OF MARCH, THE THIRTIETH DAY OF JUNE,
THE THIRTIETH DAY OF SEPTEMBER AND  THE  THIRTY-FIRST  DAY  OF  DECEMBER
DURING  EACH TAXABLE YEAR OR OTHER APPLICABLE PERIOD, BY ADDING TOGETHER
THE NUMBER OF SUCH INDIVIDUALS ASCERTAINED ON EACH  OF  SUCH  DATES  AND
DIVIDING THE SUM SO OBTAINED BY THE NUMBER OF SUCH DATES OCCURRING WITH-
IN SUCH TAXABLE YEAR OR OTHER APPLICABLE PERIOD.
  (3)  THE  CREDIT  PROVIDED  FOR HEREIN SHALL BE ALLOWED ONLY WHERE THE
AVERAGE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN  (A)
THE STATE AND (B) THE GREEN ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY
CONSTITUTING  SUCH ZONE OR ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR
EXCEEDS THE AVERAGE NUMBER OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE
TAXPAYER IN (A) THE STATE AND (B) SUCH  ZONE  OR  AREA  SUBSEQUENTLY  OR
PREVIOUSLY  CONSTITUTING SUCH ZONE OR SUCH ZONE EQUIVALENT AREA, RESPEC-
TIVELY, DURING THE FOUR YEARS IMMEDIATELY PRECEDING  THE  FIRST  TAXABLE
YEAR  IN  WHICH THE CREDIT IS CLAIMED WITH RESPECT TO SUCH ZONE OR AREA.
WHERE THE TAXPAYER PROVIDED FULL-TIME EMPLOYMENT WITHIN (A) THE STATE OR
(B) SUCH ZONE OR AREA DURING ONLY A PORTION OF  SUCH  FOUR-YEAR  PERIOD,
THEN  FOR  PURPOSES  OF  THIS  PARAGRAPH  THE TERM "FOUR YEARS" SHALL BE
DEEMED TO REFER INSTEAD TO SUCH PORTION, IF ANY.
  THE CREDIT SHALL BE ALLOWED ONLY WITH RESPECT  TO  THE  FIRST  TAXABLE
YEAR  DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES ARE
MADE AND THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE  SATISFIED,  AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH  RESPECT  TO EACH OF SUCH YEARS, IF SUCH CONDITIONS ARE SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS OF THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF  THE  GENERAL
MUNICIPAL  LAW,  AT  THE  SAME OR A DIFFERENT LOCATION IN THE SAME GREEN
ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN  A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT  NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR BEGIN-
NING MORE THAN FOUR YEARS FOLLOWING THE TAXABLE  YEAR  IN  WHICH  DESIG-
NATION  AS  A  GREEN  ECONOMIC DEVELOPMENT ZONE EXPIRED OR MORE THAN TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF
  (A) THE PRODUCT OF THREE THOUSAND DOLLARS AND THE  AVERAGE  NUMBER  OF
INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO THE
PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
  (I)  RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF
OF THE TAXABLE YEAR,
  (II) RECEIVED WITH RESPECT TO MORE THAN HALF OF THE PERIOD OF  EMPLOY-
MENT  BY  THE TAXPAYER DURING THE TAXABLE YEAR, AN HOURLY WAGE WHICH WAS
AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT OF THE MINIMUM  WAGE  SPECIFIED
IN SECTION SIX HUNDRED FIFTY-TWO OF THE LABOR LAW, AND
  (III) ARE TARGETED EMPLOYEES; AND
  (B)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS (EXCLUDING INDIVIDUALS DESCRIBED IN SUBPARAGRAPH (A) OF THIS
PARAGRAPH) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED PURSUANT TO  THE
PROVISIONS  OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF THIS SUBSECTION, WHO
RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR MORE THAN HALF OF THE
TAXABLE YEAR.

S. 5491--B                         29

  PROVIDED, FURTHER, HOWEVER, THAT THE CREDIT PROVIDED FOR  HEREIN  WITH
RESPECT  TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE TAXA-
BLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE, MAY NOT,  IN  THE  AGGRE-
GATE,  EXCEED FIFTY PERCENT OF THE TAX IMPOSED UNDER SECTION SIX HUNDRED
ONE  OF  THIS  PART  COMPUTED  WITHOUT REGARD TO ANY CREDIT PROVIDED FOR
UNDER THIS ARTICLE.
  (C) FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT,  INDIVIDUALS
EMPLOYED  WITHIN  A  GREEN  ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT
AREA WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED  PERSON,
AS  SUCH  TERM  IS  DEFINED  IN  SUBPARAGRAPH  (C) OF PARAGRAPH THREE OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE CODE, SHALL NOT BE INCLUDED IN  THE  AVERAGE  NUMBER  OF  INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH  (A)  OR SUBPARAGRAPH (B) OF THIS PARAGRAPH,
UNLESS SUCH RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT  UNDER  THIS
SUBSECTION WITH RESPECT TO SUCH EMPLOYEES. FOR PURPOSES OF THIS SUBPARA-
GRAPH, A "RELATED PERSON" SHALL INCLUDE AN ENTITY WHICH WOULD HAVE QUAL-
IFIED  AS  A  "RELATED  PERSON"  TO  THE  TAXPAYER  IF  IT  HAD NOT BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (D) IF A TAXPAYER IS CERTIFIED IN A GREEN  ECONOMIC  DEVELOPMENT  ZONE
DESIGNATED  UNDER  SECTION  NINE  HUNDRED  SEVENTY-FOUR-C OF THE GENERAL
MUNICIPAL LAW, THE DOLLAR AMOUNTS SPECIFIED UNDER  SUBPARAGRAPH  (A)  OR
(B)  OF  THIS  PARAGRAPH  SHALL BE INCREASED BY FIVE HUNDRED DOLLARS FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E) THE REQUIREMENT IN THIS PARAGRAPH THAT AN  EMPLOYEE  MUST  RECEIVE
GREEN  ECONOMIC  DEVELOPMENT  ZONE  WAGES FOR MORE THAN HALF THE TAXABLE
YEAR SHALL NOT APPLY IN THE FIRST TAXABLE YEAR OF A TAXPAYER  SATISFYING
THE  CRITERIA SET FORTH IN THIS SUBPARAGRAPH. IN SUCH A CASE, THE CREDIT
ALLOWED UNDER THIS SUBSECTION SHALL BE COMPUTED BY UTILIZING THE  NUMBER
OF INDIVIDUALS (EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME
BY  THE  TAXPAYER  ON THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER
SHALL SATISFY THE FOLLOWING CRITERIA: (I) SUCH TAXPAYER ACQUIRED REAL OR
TANGIBLE PERSONAL PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN  ENTITY
WHICH  IS  NOT  A RELATED PERSON (AS SUCH TERM IS DEFINED IN SUBDIVISION
(G) OF SECTION FOURTEEN OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF
SUCH TAXPAYER SHALL BE A SHORT TAXABLE  YEAR  OF  NOT  MORE  THAN  SEVEN
MONTHS  IN  DURATION;  AND  (III)  THE  NUMBER  OF  INDIVIDUALS EMPLOYED
FULL-TIME ON THE LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE  AT  LEAST
ONE  HUNDRED  NINETY AND SUBSTANTIALLY ALL OF SUCH INDIVIDUALS MUST HAVE
BEEN PREVIOUSLY EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED
ITS ASSETS.
  (5) IF THE AMOUNT OF THE CREDIT AND CARRYOVERS OF SUCH CREDIT  ALLOWED
UNDER  THIS  SUBSECTION FOR ANY TAXABLE YEAR SHALL EXCEED THE TAXPAYER'S
TAX FOR SUCH YEAR, THE EXCESS, AS WELL AS ANY  PART  OF  THE  CREDIT  OR
CARRYOVERS  OF  SUCH CREDIT, OR BOTH, WHICH MAY NOT BE DEDUCTED FROM THE
TAX OTHERWISE DUE BY REASON OF THE FINAL SENTENCE IN PARAGRAPH  FOUR  OF
THIS  SUBSECTION, MAY BE CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND
MAY BE DEDUCTED FROM THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. IN  LIEU
OF  CARRYING  OVER ANY SUCH EXCESS, A TAXPAYER WHO QUALIFIES AS AN OWNER
OF A NEW BUSINESS FOR PURPOSES OF PARAGRAPH TEN  OF  SUBSECTION  (A)  OF
THIS SECTION MAY, AT HIS OPTION, RECEIVE FIFTY PERCENT OF SUCH EXCESS AS
A  REFUND. ANY REFUND PAID PURSUANT TO THIS PARAGRAPH SHALL BE DEEMED TO
BE A REFUND OF AN OVERPAYMENT OF TAX AS PROVIDED IN SECTION SIX  HUNDRED
EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST SHALL BE
PAID THEREON.

S. 5491--B                         30

  (5-A)  ANY  CARRYOVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED IF A GREEN ECONOMIC DEVELOPMENT ZONE  RETENTION  CERTIFICATE  IS
NOT  ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE COMMIS-
SIONER OF ECONOMIC DEVELOPMENT TO THE GREEN  ECONOMIC  DEVELOPMENT  ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  S  22.  Section  1456  of  the  tax  law  is  amended  by adding a new
subsection (z) to read as follows:
  (Z) GREEN ECONOMIC DEVELOPMENT ZONE WAGE TAX CREDIT.  (1)  A  TAXPAYER
SHALL  BE  ALLOWED  A  CREDIT,  TO  BE  COMPUTED  AS  PROVIDED  IN  THIS
SUBSECTION, AGAINST THE TAX IMPOSED BY THIS ARTICLE WHERE  THE  TAXPAYER
HAS BEEN CERTIFIED PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL MUNICI-
PAL  LAW.  THE AMOUNT OF SUCH CREDIT SHALL BE AS PRESCRIBED IN PARAGRAPH
FOUR OF THIS SUBSECTION.
  (2) FOR PURPOSES OF THIS SUBSECTION, THE FOLLOWING  TERMS  SHALL  HAVE
THE  FOLLOWING  MEANINGS:  (A)  "GREEN  ECONOMIC DEVELOPMENT ZONE WAGES"
MEANS WAGES PAID BY THE TAXPAYER FOR FULL-TIME EMPLOYMENT, OTHER THAN TO
GENERAL EXECUTIVE OFFICERS, DURING THE TAXABLE YEAR IN  AN  AREA  DESIG-
NATED  OR  PREVIOUSLY DESIGNATED AS A GREEN ECONOMIC DEVELOPMENT ZONE OR
ZONE EQUIVALENT AREA PURSUANT  TO  ARTICLE  EIGHTEEN-D  OF  THE  GENERAL
MUNICIPAL  LAW WHERE SUCH EMPLOYMENT IS IN A JOB CREATED IN THE AREA (I)
DURING THE PERIOD OF ITS DESIGNATION AS  A  GREEN  ECONOMIC  DEVELOPMENT
ZONE,  (II)  WITHIN FOUR YEARS OF THE EXPIRATION OF SUCH DESIGNATION, OR
(III) DURING THE TEN YEAR  PERIOD  IMMEDIATELY  FOLLOWING  THE  DATE  OF
DESIGNATION  AS  A  ZONE EQUIVALENT AREA, PROVIDED, HOWEVER, THAT IF THE
TAXPAYER'S CERTIFICATION UNDER ARTICLE EIGHTEEN-D OF THE GENERAL MUNICI-
PAL LAW IS REVOKED WITH RESPECT TO A GREEN ECONOMIC DEVELOPMENT ZONE  OR
ZONE  EQUIVALENT  AREA,  ANY WAGES PAID BY THE TAXPAYER, ON OR AFTER THE
EFFECTIVE DATE OF SUCH DECERTIFICATION,  FOR  EMPLOYMENT  IN  SUCH  ZONE
SHALL NOT CONSTITUTE EMPIRE ZONE WAGES.
  (B)  "TARGETED  EMPLOYEE" MEANS A NEW YORK RESIDENT WHO RECEIVES GREEN
ECONOMIC DEVELOPMENT ZONE WAGES AND WHO IS (I)  AN  ELIGIBLE  INDIVIDUAL
UNDER  THE PROVISIONS OF THE TARGETED JOBS TAX CREDIT (SECTION FIFTY-ONE
OF THE INTERNAL REVENUE CODE), (II)  ELIGIBLE  FOR  BENEFITS  UNDER  THE
PROVISIONS  OF  THE  WORKFORCE  INVESTMENT ACT AS A DISLOCATED WORKER OR
LOW-INCOME INDIVIDUAL (P.L.  105-220, AS AMENDED), (III) A RECIPIENT  OF
PUBLIC ASSISTANCE BENEFITS, (IV) AN INDIVIDUAL WHOSE INCOME IS BELOW THE
MOST  RECENTLY ESTABLISHED POVERTY RATE PROMULGATED BY THE UNITED STATES
DEPARTMENT OF COMMERCE, OR A MEMBER OF A FAMILY WHOSE FAMILY  INCOME  IS
BELOW  THE  MOST  RECENTLY  ESTABLISHED  POVERTY RATE PROMULGATED BY THE
APPROPRIATE FEDERAL AGENCY OR (V) AN HONORABLY DISCHARGED MEMBER OF  ANY
BRANCH OF THE ARMED FORCES OF THE UNITED STATES.
  AN  INDIVIDUAL  WHO  SATISFIES  THE  CRITERIA SET FORTH IN CLAUSE (I),
(II), (IV) OR (V) OF THIS SUBPARAGRAPH AT THE TIME OF INITIAL EMPLOYMENT
IN THE JOB WITH RESPECT TO WHICH THE CREDIT IS CLAIMED, OR WHO SATISFIES
THE CRITERION SET FORTH IN CLAUSE (III) OF  THIS  SUBPARAGRAPH  AT  SUCH
TIME  OR  AT ANY TIME WITHIN THE PREVIOUS TWO YEARS, SHALL BE A TARGETED
EMPLOYEE SO LONG AS SUCH INDIVIDUAL CONTINUES TO RECEIVE GREEN  ECONOMIC
DEVELOPMENT ZONE WAGES.
  (C)  "AVERAGE NUMBER OF INDIVIDUALS, EXCLUDING GENERAL EXECUTIVE OFFI-
CERS, EMPLOYED FULL-TIME" SHALL BE COMPUTED BY ASCERTAINING  THE  NUMBER
OF  SUCH INDIVIDUALS EMPLOYED BY THE TAXPAYER ON THE THIRTY-FIRST DAY OF
MARCH, THE THIRTIETH DAY OF JUNE, THE THIRTIETH DAY OF SEPTEMBER AND THE
THIRTY-FIRST DAY OF DECEMBER DURING EACH TAXABLE YEAR OR OTHER  APPLICA-
BLE  PERIOD,  BY  ADDING  TOGETHER THE NUMBER OF SUCH INDIVIDUALS ASCER-
TAINED ON EACH OF SUCH DATES AND DIVIDING THE SUM  SO  OBTAINED  BY  THE

S. 5491--B                         31

NUMBER  OF SUCH DATES OCCURRING WITHIN SUCH TAXABLE YEAR OR OTHER APPLI-
CABLE PERIOD.
  (3)  THE  CREDIT PROVIDED FOR IN THIS SUBSECTION SHALL BE ALLOWED ONLY
WHERE THE AVERAGE NUMBER OF  INDIVIDUALS,  EXCLUDING  GENERAL  EXECUTIVE
OFFICERS,  EMPLOYED  FULL-TIME BY THE TAXPAYER IN (I) THE STATE AND (II)
THE GREEN ECONOMIC DEVELOPMENT ZONE OR AREA PREVIOUSLY CONSTITUTING SUCH
ZONE OR ZONE EQUIVALENT AREA, DURING THE TAXABLE YEAR EXCEEDS THE  AVER-
AGE NUMBER OF SUCH INDIVIDUALS EMPLOYED FULL-TIME BY THE TAXPAYER IN (I)
THE  STATE AND (II) SUCH ZONE OR AREA SUBSEQUENTLY OR PREVIOUSLY CONSTI-
TUTING SUCH ZONE OR SUCH ZONE EQUIVALENT AREA, RESPECTIVELY, DURING  THE
FOUR  YEARS  IMMEDIATELY  PRECEDING  THE FIRST TAXABLE YEAR IN WHICH THE
CREDIT IS CLAIMED WITH RESPECT TO SUCH ZONE OR AREA. WHERE THE  TAXPAYER
PROVIDED  FULL-TIME EMPLOYMENT WITHIN (I) THE STATE OR (II) SUCH ZONE OR
AREA DURING ONLY A PORTION OF SUCH FOUR-YEAR PERIOD, THEN  FOR  PURPOSES
OF THIS PARAGRAPH THE TERM "FOUR YEARS" SHALL BE DEEMED TO REFER INSTEAD
TO SUCH PORTION, IF ANY.
  THE  CREDIT  SHALL  BE  ALLOWED ONLY WITH RESPECT TO THE FIRST TAXABLE
YEAR DURING WHICH PAYMENTS OF GREEN ECONOMIC DEVELOPMENT ZONE WAGES  ARE
MADE  AND  THE CONDITIONS SET FORTH IN THIS PARAGRAPH ARE SATISFIED, AND
WITH RESPECT TO EACH OF THE FOUR TAXABLE YEARS NEXT FOLLOWING (BUT ONLY,
WITH RESPECT TO EACH OF SUCH YEARS, IF SUCH CONDITIONS  ARE  SATISFIED),
IN ACCORDANCE WITH PARAGRAPH FOUR OF THIS SUBSECTION. SUBSEQUENT CERTIF-
ICATIONS  OF  THE TAXPAYER PURSUANT TO ARTICLE EIGHTEEN-D OF THE GENERAL
MUNICIPAL LAW, AT THE SAME OR A DIFFERENT LOCATION  IN  THE  SAME  GREEN
ECONOMIC  DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA OR AT A LOCATION IN A
DIFFERENT GREEN ECONOMIC DEVELOPMENT ZONE OR ZONE EQUIVALENT AREA, SHALL
NOT EXTEND THE FIVE TAXABLE YEAR TIME LIMITATION ON THE ALLOWANCE OF THE
CREDIT SET FORTH IN THE PRECEDING SENTENCE.  PROVIDED, FURTHER, HOWEVER,
THAT NO CREDIT SHALL BE ALLOWED WITH RESPECT TO ANY TAXABLE YEAR  BEGIN-
NING  MORE  THAN  FOUR  YEARS FOLLOWING THE TAXABLE YEAR IN WHICH DESIG-
NATION AS A GREEN ECONOMIC DEVELOPMENT ZONE EXPIRED  OR  MORE  THAN  TEN
YEARS AFTER THE DESIGNATION AS A ZONE EQUIVALENT AREA.
  (4) THE AMOUNT OF THE CREDIT SHALL EQUAL THE SUM OF (A) THE PRODUCT OF
THREE  THOUSAND DOLLARS AND THE AVERAGE NUMBER OF INDIVIDUALS (EXCLUDING
GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL-TIME BY THE TAXPAYER, COMPUTED
PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (C) OF PARAGRAPH TWO OF  THIS
SUBSECTION,  WHO  (I) RECEIVED GREEN ECONOMIC DEVELOPMENT ZONE WAGES FOR
MORE THAN HALF OF THE TAXABLE YEAR, (II) RECEIVED, WITH RESPECT TO  MORE
THAN HALF OF THE PERIOD OF EMPLOYMENT BY THE TAXPAYER DURING THE TAXABLE
YEAR,  AN HOURLY WAGE WHICH WAS AT LEAST ONE HUNDRED THIRTY-FIVE PERCENT
OF THE MINIMUM WAGE SPECIFIED IN SECTION SIX HUNDRED  FIFTY-TWO  OF  THE
LABOR LAW, AND (III) ARE TARGETED EMPLOYEES; AND
  (B)  THE  PRODUCT OF FIFTEEN HUNDRED DOLLARS AND THE AVERAGE NUMBER OF
INDIVIDUALS  (EXCLUDING  GENERAL  EXECUTIVE  OFFICERS  AND   INDIVIDUALS
DESCRIBED  IN  SUBPARAGRAPH (A) OF THIS PARAGRAPH) EMPLOYED FULL-TIME BY
THE TAXPAYER, COMPUTED PURSUANT TO THE PROVISIONS OF SUBPARAGRAPH (C) OF
PARAGRAPH TWO OF THIS SUBSECTION, WHO RECEIVED GREEN  ECONOMIC  DEVELOP-
MENT ZONE WAGES FOR MORE THAN HALF OF THE TAXABLE YEAR.
  (C)  FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT, INDIVIDUALS
EMPLOYED WITHIN A GREEN ECONOMIC DEVELOPMENT  ZONE  OR  ZONE  EQUIVALENT
AREA  WITHIN THE IMMEDIATELY PRECEDING SIXTY MONTHS BY A RELATED PERSON,
AS SUCH TERM IS DEFINED  IN  SUBPARAGRAPH  (C)  OF  PARAGRAPH  THREE  OF
SUBSECTION (B) OF SECTION FOUR HUNDRED SIXTY-FIVE OF THE INTERNAL REVEN-
UE  CODE,  SHALL  NOT  BE  INCLUDED IN THE AVERAGE NUMBER OF INDIVIDUALS
DESCRIBED IN SUBPARAGRAPH (A) OR SUBPARAGRAPH  (B)  OF  THIS  PARAGRAPH,
UNLESS  SUCH  RELATED  PERSON  WAS  NEVER  ALLOWED  A  CREDIT UNDER THIS

S. 5491--B                         32

SUBSECTION WITH RESPECT TO SUCH EMPLOYEES.  FOR  THE  PURPOSES  OF  THIS
SUBPARAGRAPH,  A  "RELATED  PERSON"  SHALL INCLUDE AN ENTITY WHICH WOULD
HAVE QUALIFIED AS A "RELATED PERSON" TO THE TAXPAYER IF IT HAD NOT  BEEN
DISSOLVED, LIQUIDATED, MERGED WITH ANOTHER ENTITY OR OTHERWISE CEASED TO
EXIST OR OPERATE.
  (D)  IF  A  TAXPAYER IS CERTIFIED IN A GREEN ECONOMIC DEVELOPMENT ZONE
DESIGNATED UNDER SECTION NINE  HUNDRED  SEVENTY-FOUR-C  OF  THE  GENERAL
MUNICIPAL  LAW,  THE  DOLLAR AMOUNTS SPECIFIED UNDER SUBPARAGRAPH (A) OR
(B) OF THIS PARAGRAPH SHALL BE INCREASED BY  FIVE  HUNDRED  DOLLARS  FOR
EACH QUALIFYING INDIVIDUAL UNDER SUCH SUBPARAGRAPHS WHO RECEIVED, DURING
THE TAXABLE YEAR, WAGES IN EXCESS OF FORTY THOUSAND DOLLARS.
  (E)  THE  REQUIREMENT  IN THIS PARAGRAPH THAT AN EMPLOYEE MUST RECEIVE
EMPIRE ZONE WAGES FOR MORE THAN HALF THE TAXABLE YEAR SHALL NOT APPLY IN
THE FIRST TAXABLE YEAR OF A TAXPAYER SATISFYING THE CRITERIA  SET  FORTH
IN  THIS  SUBPARAGRAPH.  IN  SUCH  A CASE, THE CREDIT ALLOWED UNDER THIS
SUBSECTION SHALL BE COMPUTED BY  UTILIZING  THE  NUMBER  OF  INDIVIDUALS
(EXCLUDING GENERAL EXECUTIVE OFFICERS) EMPLOYED FULL TIME BY THE TAXPAY-
ER  ON  THE LAST DAY OF ITS FIRST TAXABLE YEAR. A TAXPAYER SHALL SATISFY
THE FOLLOWING CRITERIA: (I) SUCH  TAXPAYER  ACQUIRED  REAL  OR  TANGIBLE
PERSONAL  PROPERTY DURING ITS FIRST TAXABLE YEAR FROM AN ENTITY WHICH IS
NOT A RELATED PERSON (AS SUCH TERM IS  DEFINED  IN  SUBDIVISION  (G)  OF
SECTION  FOURTEEN  OF THIS CHAPTER); (II) THE FIRST TAXABLE YEAR OF SUCH
TAXPAYER SHALL BE A SHORT TAXABLE YEAR OF NOT MORE THAN SEVEN MONTHS  IN
DURATION;  AND (III) THE NUMBER OF INDIVIDUALS EMPLOYED FULL-TIME ON THE
LAST DAY OF SUCH FIRST TAXABLE YEAR SHALL BE AT LEAST ONE HUNDRED NINETY
AND SUBSTANTIALLY ALL OF SUCH  INDIVIDUALS  MUST  HAVE  BEEN  PREVIOUSLY
EMPLOYED BY THE ENTITY FROM WHOM SUCH TAXPAYER PURCHASED ITS ASSETS.
  PROVIDED,  FURTHER,  HOWEVER, THAT THE CREDIT PROVIDED FOR HEREIN WITH
RESPECT TO THE TAXABLE YEAR, AND CARRYOVERS OF SUCH CREDIT TO THE  TAXA-
BLE  YEAR,  DEDUCTED  FROM THE TAX OTHERWISE DUE, MAY NOT, IN THE AGGRE-
GATE, EXCEED FIFTY PERCENT OF THE TAX  IMPOSED  UNDER  SECTION  FOURTEEN
HUNDRED FIFTY-FIVE OF THIS ARTICLE COMPUTED WITHOUT REGARD TO ANY CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (5)  THE  CREDIT  AND  CARRYOVERS  OF  SUCH  CREDIT ALLOWED UNDER THIS
SUBSECTION FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE  THE
TAX  DUE  FOR SUCH YEAR TO LESS THAN THE MINIMUM TAX FIXED BY SUBSECTION
(B) OF SECTION FOURTEEN HUNDRED FIFTY-FIVE OF THIS ARTICLE. HOWEVER,  IF
THE  AMOUNT  OF  CREDIT  OR  CARRYOVERS OF SUCH CREDIT, OR BOTH, ALLOWED
UNDER THIS SUBSECTION FOR ANY TAXABLE  YEAR  REDUCES  THE  TAX  TO  SUCH
AMOUNT,  OR  IF  ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT MAY
NOT BE DEDUCTED FROM THE TAX  OTHERWISE  DUE  BY  REASON  OF  THE  FINAL
SENTENCE  IN  PARAGRAPH FOUR OF THIS SUBSECTION, ANY AMOUNT OF CREDIT OR
CARRYOVERS OF SUCH CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE  YEAR  MAY
BE  CARRIED OVER TO THE FOLLOWING YEAR OR YEARS AND MAY BE DEDUCTED FROM
THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS.
  (5-A) ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT  BE
ALLOWED  IF  A  GREEN ECONOMIC DEVELOPMENT ZONE RETENTION CERTIFICATE IS
NOT ISSUED PURSUANT TO RULES AND REGULATIONS PROMULGATED BY THE  COMMIS-
SIONER  OF  ECONOMIC  DEVELOPMENT TO THE GREEN ECONOMIC DEVELOPMENT ZONE
ENTERPRISE WHICH IS THE BASIS OF THE CREDIT.
  S 23. Section 1511 of the tax law is amended by adding a new  subdivi-
sion (cc) to read as follows:
  (CC)  GREEN  ECONOMIC DEVELOPMENT ZONE CAPITAL CREDIT.  (1) A TAXPAYER
SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS  ARTICLE.  THE
AMOUNT OF THE CREDIT SHALL BE EQUAL TO TWENTY-FIVE PERCENT OF THE SUM OF
THE FOLLOWING INVESTMENTS AND CONTRIBUTIONS MADE DURING THE TAXABLE YEAR

S. 5491--B                         33

AND CERTIFIED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT: (A) FOR TAXA-
BLE  YEARS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND THIRTEEN, QUALI-
FIED INVESTMENTS MADE IN, OR CONTRIBUTIONS IN THE FORM OF DONATIONS MADE
TO,  ONE  OR  MORE  GREEN ECONOMIC DEVELOPMENT ZONE CAPITAL CORPORATIONS
PRIOR TO JANUARY FIRST, TWO THOUSAND THIRTEEN, (B) QUALIFIED INVESTMENTS
IN CERTIFIED ZONE BUSINESSES WHICH DURING THE TWELVE MONTH PERIOD  IMME-
DIATELY  PRECEDING  THE  MONTH IN WHICH SUCH INVESTMENT IS MADE EMPLOYED
FULL-TIME WITHIN THE STATE AN AVERAGE NUMBER OF  INDIVIDUALS,  EXCLUDING
GENERAL  EXECUTIVE  OFFICERS,  OF  TWO  HUNDRED FIFTY OR FEWER, COMPUTED
PURSUANT TO THE PROVISIONS OF  SUBPARAGRAPH  (C)  OF  PARAGRAPH  TWO  OF
SUBDIVISION  (G)  OF  THIS SECTION, EXCEPT FOR INVESTMENTS MADE BY OR ON
BEHALF OF AN OWNER OF THE BUSINESS, INCLUDING, BUT  NOT  LIMITED  TO,  A
STOCKHOLDER,  PARTNER  OR  SOLE  PROPRIETOR,  OR  ANY RELATED PERSON, AS
DEFINED IN SUBPARAGRAPH (C) OF PARAGRAPH  THREE  OF  SUBSECTION  (B)  OF
SECTION  FOUR  HUNDRED  SIXTY-FIVE OF THE INTERNAL REVENUE CODE, AND (C)
CONTRIBUTIONS OF MONEY TO COMMUNITY DEVELOPMENT PROJECTS AS  DEFINED  IN
REGULATIONS  PROMULGATED  BY  THE  COMMISSIONER OF ECONOMIC DEVELOPMENT.
"QUALIFIED INVESTMENTS" MEANS THE CONTRIBUTION OF PROPERTY TO  A  CORPO-
RATION  IN  EXCHANGE FOR ORIGINAL ISSUE CAPITAL STOCK OR OTHER OWNERSHIP
INTEREST, THE CONTRIBUTION OF PROPERTY TO A PARTNERSHIP IN EXCHANGE  FOR
AN INTEREST IN THE PARTNERSHIP, AND SIMILAR CONTRIBUTIONS IN THE CASE OF
A  BUSINESS  ENTITY NOT IN CORPORATE OR PARTNERSHIP FORM IN EXCHANGE FOR
AN OWNERSHIP INTEREST IN SUCH ENTITY. THE TOTAL AMOUNT OF CREDIT  ALLOW-
ABLE  TO  A  TAXPAYER  UNDER  THIS PROVISION FOR ALL YEARS, TAKEN IN THE
AGGREGATE, SHALL NOT EXCEED THREE HUNDRED THOUSAND  DOLLARS,  AND  SHALL
NOT  EXCEED ONE HUNDRED THOUSAND DOLLARS WITH RESPECT TO THE INVESTMENTS
AND CONTRIBUTIONS DESCRIBED IN EACH OF SUBPARAGRAPHS (A), (B) AND (C) OF
THIS PARAGRAPH.
  (2) THE CREDIT AND CARRYOVER OF SUCH CREDIT ALLOWED UNDER THIS  SUBDI-
VISION  FOR ANY TAXABLE YEAR SHALL NOT, IN THE AGGREGATE, REDUCE THE TAX
DUE FOR SUCH YEAR TO LESS THAN THE MINIMUM FIXED BY  PARAGRAPH  FOUR  OF
SUBDIVISION  (A)  OF  SECTION  FIFTEEN HUNDRED TWO OF THIS ARTICLE OR BY
SECTION FIFTEEN HUNDRED TWO-A OF THIS ARTICLE, WHICHEVER IS  APPLICABLE.
HOWEVER,  IF THE AMOUNT OF CREDIT OR CARRYOVERS OF SUCH CREDIT, OR BOTH,
ALLOWED UNDER THIS SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE  TAX  TO
SUCH  AMOUNT,  OR IF ANY PART OF THE CREDIT OR CARRYOVERS OF SUCH CREDIT
MAY NOT BE DEDUCTED FROM THE TAX OTHERWISE DUE BY REASON  OF  THE  FINAL
SENTENCE  OF  THIS PARAGRAPH, ANY AMOUNT OF CREDIT OR CARRYOVERS OF SUCH
CREDIT THUS NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE CARRIED  OVER  TO
THE  FOLLOWING  YEAR  OR YEARS AND MAY BE DEDUCTED FROM THE TAX FOR SUCH
YEAR OR YEARS. IN ADDITION, THE AMOUNT OF SUCH CREDIT, AND CARRYOVERS OF
SUCH CREDIT TO THE TAXABLE YEAR, DEDUCTED FROM THE TAX OTHERWISE DUE MAY
NOT, IN THE AGGREGATE, EXCEED FIFTY  PERCENT  OF  (I)  IN  THE  CASE  OF
TAXPAYERS  SUBJECT  TO  TAX  UNDER  SUBDIVISION  (B)  OF SECTION FIFTEEN
HUNDRED TEN OF THIS ARTICLE, THE LESSER OF (I)  THE  LIMITATION  ON  TAX
COMPUTED PURSUANT TO SUBDIVISION (A) OF SECTION FIFTEEN HUNDRED FIVE, OR
(II)  THE GREATER OF THE SUM OF THE TAXES IMPOSED UNDER SECTIONS FIFTEEN
HUNDRED ONE AND FIFTEEN HUNDRED TEN OR THE AMOUNT OF TAX COMPUTED PURSU-
ANT TO SUBDIVISION (B) OF SECTION FIFTEEN HUNDRED FIVE, OR (II) FOR  ALL
OTHER  INSURANCE  CORPORATIONS,  THE  TAX  IMPOSED UNDER SECTION FIFTEEN
HUNDRED TWO-A OF THIS ARTICLE, COMPUTED WITHOUT  REGARD  TO  ANY  CREDIT
PROVIDED FOR UNDER THIS ARTICLE.
  (2-A)  ANY CARRY OVER OF A CREDIT FROM PRIOR TAXABLE YEARS WILL NOT BE
ALLOWED TO A GREEN ECONOMIC DEVELOPMENT ZONE  ENTERPRISE  WHICH  IS  THE
BASIS  OF  THE  CREDIT,  IF  A GREEN ECONOMIC DEVELOPMENT ZONE RETENTION

S. 5491--B                         34

CERTIFICATE IS NOT ISSUED TO SUCH ENTITY PURSUANT  TO  RULES  AND  REGU-
LATIONS PROMULGATED BY THE COMMISSIONER OF ECONOMIC DEVELOPMENT.
  (3)  WHERE THE STOCK, PARTNERSHIP INTEREST OR OTHER OWNERSHIP INTEREST
ARISING FROM A QUALIFIED INVESTMENT AS DESCRIBED  IN  SUBPARAGRAPHS  (A)
AND (B) OF PARAGRAPH ONE OF THIS SUBDIVISION IS DISPOSED OF, THE TAXPAY-
ER'S  ENTIRE  NET  INCOME  SHALL  BE  COMPUTED,  PURSUANT TO REGULATIONS
PROMULGATED BY THE COMMISSIONER, SO AS TO PROPERLY REFLECT  THE  REDUCED
COST  THEREOF  ARISING  FROM  THE APPLICATION OF THE CREDIT PROVIDED FOR
HEREIN.
  (4)(A) WHERE A TAXPAYER SELLS,  TRANSFERS  OR  OTHERWISE  DISPOSES  OF
CORPORATE  STOCK,  A  PARTNERSHIP  INTEREST  OR OTHER OWNERSHIP INTEREST
ARISING FROM THE MAKING OF A QUALIFIED INVESTMENT WHICH WAS  THE  BASIS,
IN  WHOLE OR IN PART, FOR THE ALLOWANCE OF THE CREDIT PROVIDED FOR UNDER
THIS SUBDIVISION, OR WHERE A CONTRIBUTION OR INVESTMENT  WHICH  WAS  THE
BASIS  FOR  SUCH ALLOWANCE IS IN ANY MANNER, IN WHOLE OR IN PART, RECOV-
ERED BY SUCH TAXPAYER, AND SUCH DISPOSITION OR  RECOVERY  OCCURS  DURING
THE TAXABLE YEAR OR WITHIN THIRTY-SIX MONTHS FROM THE CLOSE OF THE TAXA-
BLE  YEAR WITH RESPECT TO WHICH SUCH CREDIT IS ALLOWED, SUBPARAGRAPH (B)
OF THIS PARAGRAPH SHALL APPLY.
  (B) THE TAXPAYER SHALL ADD BACK WITH RESPECT TO THE  TAXABLE  YEAR  IN
WHICH  THE DISPOSITION OR RECOVERY DESCRIBED IN SUBPARAGRAPH (A) OF THIS
PARAGRAPH  OCCURRED  THE  REQUIRED  PORTION  OF  THE  CREDIT  ORIGINALLY
ALLOWED.
  (C) THE REQUIRED PORTION OF THE CREDIT ORIGINALLY ALLOWED SHALL BE THE
PRODUCT  OF  (I) THE PORTION OF SUCH CREDIT ATTRIBUTABLE TO THE PROPERTY
DISPOSED OF OR THE PAYMENT OR CONTRIBUTION RECOVERED AND (II) THE APPLI-
CABLE PERCENTAGE.
  (D) THE APPLICABLE PERCENTAGE SHALL BE:
  (I) ONE HUNDRED PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS  WITHIN
THE  TAXABLE  YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED OR WITHIN
TWELVE MONTHS OF THE END OF SUCH TAXABLE YEAR,
  (II) SIXTY-SEVEN PERCENT, IF THE DISPOSITION OR RECOVERY  OCCURS  MORE
THAN  TWELVE  BUT  NOT MORE THAN TWENTY-FOUR MONTHS AFTER THE END OF THE
TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED, OR
  (III) THIRTY-THREE PERCENT, IF THE DISPOSITION OR RECOVERY OCCURS MORE
THAN TWENTY-FOUR BUT NOT MORE THAN THIRTY-SIX MONTHS AFTER  THE  END  OF
THE TAXABLE YEAR WITH RESPECT TO WHICH THE CREDIT IS ALLOWED.
  S  24. Section 66 of the public service law is amended by adding a new
subdivision 12-e to read as follows:
  12-E. NOTWITHSTANDING ANY OTHER PROVISION OF LAW, UPON APPLICATION  OF
A  GAS  OR  ELECTRIC  CORPORATION,  THE  COMMISSION SHALL AUTHORIZE SUCH
CORPORATION TO CHARGE A SPECIAL GREEN  ECONOMIC  DEVELOPMENT  ZONE  RATE
EQUAL  TO  THE INCREMENTAL COST OF PROVIDING SERVICE TO CUSTOMERS CERTI-
FIED AS ELIGIBLE FOR SUCH RATE PURSUANT TO  ARTICLE  EIGHTEEN-D  OF  THE
GENERAL MUNICIPAL LAW.
  S 25. This act shall take effect immediately.

S5491C - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491C - Bill Texts

view summary

Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

view sponsor memo
BILL NUMBER:S5491C

TITLE OF BILL:
An act to amend the general municipal law and the tax law, in relation
to enacting the New York state green economic development zones act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the Green Enterprise Trade Zone, which is
a designated area in the commercial and/or industrial zoned area of
Staten Island. It would attract companies producing goods and services
for the Green Environmental Standards that government is mandating and
leverage green business strategies and green technology, with investment
tax credits to accelerate investment in our City and State green tech
and clean tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of this bill states the name of the act.

Section 2 of this bill establishes the types of green businesses that
are covered under the act and establishes the Green Zone location within
Staten Island. It also grants the commissioner of economic development
the authority to establish rules and regulations.

Section 3 amends Section 210 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a qualify-
ing business within the Green Zone.

Sections 4 and 5 amend Section 606 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a qualify-
ing business within the Green Zone.

Section 6 amends Section 1456 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a qualify-
ing business within the Green Zone.

Section 7 amends Section 1511 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a qualify-
ing business within the Green Zone.

Section 8 states that the law shall take effect immediately.

JUSTIFICATION:
The NYC Regional Council designated the Staten Island Green Zone as one
of eight priority projects for the City of New York in its January 2012
report to the Governor. In addition, the Regional Council also desig-
nated the West Shore of Staten Island, which is home to the proposed
Green Zone. as an "Opportunity Zone" meaning special attention from
Staten funding agencies should be given to this region, including fund-
ing through the Excelsior Tax Credit program. The Federal Economic
Development Administration recently awarded the Staten Island Economic
Development Corporation $120,000 grant to study the proposed Green Zone.

The Green Zone is a geographically designated area of Staten Island
aimed at attracting companies that produce Green goods and services, or
who utilize Green technology. The Green Zone attracts companies who work
within the sphere of smart growth and environmentally friendly develop-
ment and research. The Green Zone acts as a "go to place" for the entre-
preneur who is prepared to put their technology into production and the
market. Staten Island has a rich history of manufacturing and industrial
production and a strong base for skilled labor. Advances in Green tech-
nology allow for increased and diversified employment and production on
Staten Island. Businesses that take measurable steps in increasing ener-
gy and material efficiency will be the standard-bearers for increased
Green initiatives throughout the region. The Green Zone and the initi-
atives of Green Zone companies will educate local companies and resi-
dents about the Green economy. This education and availability of
resources will allow for efficiency retrofits, professional support and
guidance for companies seeking financial incentives for Green invest-
ment, promote Green Collar job retraining options, improve alternative
energy development, and attract Green businesses that create sustainable
employment opportunities for Islanders.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and leaving
the Foreign Trade Zone, promotes trade and economic development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the
outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies and
the production of green technology thus creating an area where the
investment community can focus on green product development, as well as
an area where green products can be manufactured. This zone will estab-
lish a location where companies focusing on green economic development
can come together to individually and jointly spur development of a more
green state.

Most importantly. the Green Zone Act will provide a tax credit for the
businesses that invest within it. providing an incentive to relocate
within the zone and create the synergies of locating in a common area.

PRIOR LEGISLATIVE HISTORY:
2010: A.10662-Died in Assembly Economic Development.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                 5491--C

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  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  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said committee

AN ACT to amend the general municipal law and the tax law,  in  relation
  to enacting the New York state green economic development zones act

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

  Section 1. This act shall be known and may be cited as the  "New  York
state green economic development zones act".
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. RESPONSIBILITIES OF THE COMMISSIONER.
  S  974.   SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
THE "NEW YORK STATE GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S 974-A.  LEGISLATIVE FINDINGS AND DECLARATION.   IT IS  HEREBY  FOUND
AND  DECLARED  THAT  THERE EXISTS WITHIN THE STATE THE NEED TO STIMULATE
EMPLOYMENT AND MORE EFFICIENT TRANSPORTATION BY UTILIZING  THE  EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF  THE  STATE,  IMPROVE  THE  STATE'S ENVIRONMENTAL QUALITY OF LIFE AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-09-2

S. 5491--C                          2

TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO STIMULATE PRIVATE INVESTMENT, PRIVATE BUSINESS  DEVELOPMENT  AND  JOB
CREATION.  IT  IS THE PUBLIC POLICY OF THE STATE TO OFFER SPECIAL INCEN-
TIVES  AND  ASSISTANCE  THAT  WILL  PROMOTE THE DEVELOPMENT OF NEW GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED AREAS AND TO DO SO WITHOUT ENCOURAGING  THE  RELOCATION  OF  BUSINESS
INVESTMENT  FROM  OTHER  AREAS  OF  THE  STATE.  IT IS FURTHER FOUND AND
DECLARED THAT IT IS THE PUBLIC POLICY OF  THE  STATE  TO  ACHIEVE  THESE
GOALS  THROUGH  THE  MUTUAL COOPERATION OF ALL LEVELS OF STATE AND LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S 974-B. DEFINITIONS. AS USED IN THIS  ARTICLE,  THE  FOLLOWING  TERMS
SHALL  HAVE  THE  FOLLOWING  MEANINGS  UNLESS THE CONTEXT SHALL INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A) "APPLICANT" SHALL MEAN THE COUNTY, CITY, TOWN OR  VILLAGE  SUBMIT-
TING  AN  APPLICATION  IN  THE MANNER AUTHORIZED BY LOCAL LAW FOR DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B) "ENTERPRISE" SHALL MEAN A BUSINESS ENTERPRISE THAT  IS  AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C)  "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES IN
ONE OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH  AND
DEVELOPMENT  AND  THE APPLICATION AND INSTALLATION OF GREEN PRODUCTS AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION  COMPA-
NIES  INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR PANEL
PRODUCTION OR ASSEMBLY, WIND  TURBINE  PRODUCTION  OR  ASSEMBLY,  CARBON
CAPTURE  AND  STORAGE  MECHANISM,  CLEAN FUEL VEHICLES, RENEWABLE ENERGY
DEVELOPMENT, OR ENERGY EFFICIENCY TECHNOLOGIES. GREEN  PRODUCTION  SHALL
ALSO  INCLUDE,  BUT  SHALL  NOT BE LIMITED TO, THE FOLLOWING:  (1) GREEN
HOUSE EMISSION REDUCTION TECHNOLOGIES; (2)  THE  ASSEMBLY  OF  ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE, BUT NOT BE LIMITED TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESSES IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND WHICH ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED  BY  THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND
ELECTRICAL PROCESSES TOGETHER; (II) FURNACE AND BOILER REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT  THE  NEW OR RETROFITTED FURNACES AND BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN 0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED  VEHI-
CLES  OR  THE  CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES;
AND (IV) OTHER MEASURES THAT WILL  REDUCE  THE  DEMAND  FOR  AND/OR  THE
CONSUMPTION  OF  ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT
OF ENVIRONMENTAL CONSERVATION WITH THE NEW YORK  STATE  ENERGY  RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)

S. 5491--C                          3

REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL  REDUCE  THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY AS DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E) "GREEN SERVICE AND REPAIR"  SHALL  MEAN  ANY  COMPANY  THAT  DEALS
PRIMARILY  WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR INDIVID-
UALS IN A SUSTAINABLE OR ENERGY  EFFICIENT  MANNER.  GREEN  SERVICE  AND
REPAIR  COMPANIES  INCLUDE,  BUT ARE NOT LIMITED TO, THOSE OFFERING SUCH
SERVICES AS GREEN ROOFING, LEED CERTIFICATION AND  INSPECTION  SERVICES,
USE  AND  SALE  OF  LOW  VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE,
COATED, OR GREEN ROOF INSTALLATION, RECOVERY AND  RECYCLING  PROCESSING,
REPLACEMENT  OF  INEFFICIENT  TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES AND
REPAIR, COGENERATION TECHNOLOGY INSTALLATION AND REPAIR, AND GREEN LEGAL
AND FINANCIAL SERVICES;
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING  AND  SERVICE  COMPANIES  AS  DEFINED BY THIS SECTION.
GREEN APPLICATION AND INSTALLATION INCLUDES,  BUT  IS  NOT  LIMITED  TO,
SOLAR  PANEL  INSTALLATION,  COGENERATION TECHNOLOGY RETROFITTING, GREEN
ROOF INSTALLATION, LOW FLOW WATER FIXTURE INSTALLATION, CLEAN-FUEL VEHI-
CLE UTILIZATION, GREENHOUSE GAS EMISSIONS REDUCTION TECHNOLOGY  UTILIZA-
TION, ENERGY EFFICIENCY TECHNOLOGY UTILIZATION, AND LEED CERTIFICATION.
  (D)  "COMMISSIONER"  SHALL  MEAN THE COMMISSIONER OF ECONOMIC DEVELOP-
MENT.
  (E) "GREEN ZONE" SHALL MEAN THE AREA OF STATEN ISLAND DEFINED  BY  THE
FOLLOWING  AREA  BASED  ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF THE GOETHALS BRIDGES AND THE US PIERHEAD AND  BULKHEAD  LINE;  THENCE
RUNNING  EASTERLY  3,214.78 FEET ALONG AND PARALLEL TO NORTH SIDE OF THE
GOETHALS BRIDGE EXTENSION TO THE CENTERLINE OF  WESTERN  AVENUE;  THENCE
RUNNING  NORTH  93.71  FEET  TO  THE CENTER LINE OF GOETHALS ROAD NORTH;
THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE  SOUTH  SIDE
OF  GOETHALS  ROAD  NORTH  TO CENTERLINE OF SOUTH AVENUE; THENCE RUNNING
SOUTH 433.81 FEET ALONG AND PARALLEL THE WEST SIDE OF  SOUTH  AVENUE  TO
THE  CENTERLINE  OF  FAHEY AVENUE; THENCE RUNNING EAST 424.89 FEET ALONG
AND PARALLEL TO THE SOUTH SIDE OF FAHEY  AVENUE  TO  THE  CENTERLINE  OF

S. 5491--C                          4

FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL THE
WEST  SIDE  OF  FELTON STREET TO THE CENTERLINE OF LAMBERTS LANE; THENCE
RUNNING SOUTH 790.62 ALONG THE FELTON STREET LINE TO THE INTERSECTION OF
GRAHAM  AVENUE  AND  LANDER  AVENUE;  THENCE RUNNING SOUTH 3,413.10 FEET
ALONG AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE TO  THE  CENTERLINE
OF  VICTORY  BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21 ALONG THE WEST
SIDE OF VICTORY BOULEVARD TO THE CENTERLINE  OF  TRAVIS  AVENUE;  THENCE
RUNNING  EAST  5,030.20 FEET ALONG AND PARALLEL THE SOUTH SIDE OF TRAVIS
AVENUE TO THE  CENTERLINE  OF  RICHMOND  AVENUE;  THENCE  RUNNING  SOUTH
12,265.02  ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO THE
CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING WEST 14,266.19 FEET ALONG
AND PARALLEL THE NORTH SIDE OF ARTHUR KILL ROAD  TO  THE  CENTERLINE  OF
ROSSVILLE  AVENUE; THENCE RUNNING NORTH 650 FEET ALONG THE LINE OF ROSS-
VILLE AVENUE TO THE POINT OF THE US PIERHEAD AND BULKHEAD  LINE;  THENCE
RUNNING  NORTH 34,553.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF THE
US PIERHEAD AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S 974-C. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A) PROMULGATE REGULATIONS, IN CONSULTATION WITH THE  COMMISSIONER  OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION  SYSTEM,  WHICH IS CAPABLE OF COMPILING AND ANALYZING ACCURATE AND
CONSISTENT INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER  STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET;
  (B)  DESIGNATE BUSINESSES AS MEETING THE CRITERIA OF A GREEN BUSINESS;
AND
  (C) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S 3. Section 210 of the tax law is amended by adding a new subdivision
45 to read as follows:
  45. GREEN ZONE TAX  REDUCTION  CREDIT.  (A)  ALLOWANCE  OF  CREDIT.  A
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS CHAP-
TER.  SUCH  CREDIT,  TO  BE  COMPUTED  AS HEREINAFTER PROVIDED, SHALL BE
ALLOWED FOR A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE,  OR  A  SOLE
PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE OR A MEMBER
OF  A  PARTNERSHIP  WHICH  IS  A QUALIFIED GREEN BUSINESS WITHIN A GREEN
ZONE.
  (B) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxiv)  to  read  as
follows:
(XXXIV) GREEN ECONOMIC DEVELOPMENT ZONE        AMOUNT OF CREDIT UNDER
CREDIT UNDER SUBSECTION                        SUBDIVISION FORTY-FIVE OF
(UU)                                           SECTION TWO HUNDRED TEN
  S  5. Section 606 of the tax law is amended by adding a new subsection
(uu) to read as follows:
  (UU) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE  ALLOWED
A  CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED, AGAINST THE TAX
IMPOSED BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED  GREEN  BUSI-
NESS  WITHIN  A  GREEN  ZONE,  OR A SOLE PROPRIETOR OF A QUALIFIED GREEN
BUSINESS WITHIN A GREEN ZONE OR A MEMBER OF A  PARTNERSHIP  WHICH  IS  A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.

S. 5491--C                          5

  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 6. Section 1456 of the tax law is amended by adding a new subsection
(z) to read as follows:
  (Z) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
CREDIT, TO BE COMPUTED AS HEREINAFTER PROVIDED, AGAINST THE TAX  IMPOSED
BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSINESS WITHIN
A  GREEN ZONE, OR A SOLE PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN
A GREEN ZONE OR A MEMBER OF A PARTNERSHIP WHICH  IS  A  QUALIFIED  GREEN
BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 7. Section 1511 of the tax law is amended by adding a  new  subdivi-
sion (cc) to read as follows:
  (CC)  GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED
A CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  AGAINST  THE  TAX
IMPOSED  BY  THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSI-
NESS WITHIN A GREEN ZONE, OR A SOLE  PROPRIETOR  OF  A  QUALIFIED  GREEN
BUSINESS  WITHIN  A  GREEN  ZONE OR A MEMBER OF A PARTNERSHIP WHICH IS A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 8. This act shall take effect immediately.

S5491D - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491D - Bill Texts

view summary

Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

view sponsor memo
BILL NUMBER:S5491D

TITLE OF BILL:
An act
to amend the general municipal law
and
the tax law, in relation to
enacting the New York state green economic development zones act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the
Green Enterprise Trade Zone, which is a designated area in the
commercial and/or industrial zoned area of Staten Island. It would
attract companies producing goods and services for the Green
Environmental Standards that government is mandating and leverage
green business strategies and green technology, with investment tax
credits to accelerate investment in our City and State green tech and
clean tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of this bill states the name of the act.

Section 2 of this bill establishes the types of green businesses that
are covered under the act and establishes the Green Zone location
within Staten Island. It also grants the commissioner of economic
development the authority to establish rules and regulations.

Section 3 amends Section 210 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Sections 4 and 5 amend Section 606 of the tax law to allow for a
thirty percent credit of any business or investment capital spent by
a qualifying business within the Green Zone.

Section 6 amends Section 1456 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Section 7 amends Section 1511 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Section 8 states that the law shall take effect immediately.

JUSTIFICATION:
The NYC Regional Council designated the Staten Island
Green Zone as one of eight priority projects for the City of New York
in its January 2012 report to the Governor. In addition, the Regional
Council also designated the West Shore of Staten Island, which is
home to the proposed Green Zone, as an "Opportunity Zone" meaning

special attention from Staten funding agencies should be given to
this region, including funding through the Excelsior Tax Credit
program. The Federal Economic Development Administration recently
awarded the Staten Island Economic Development Corporation $120,000
grant to study the proposed Green Zone.

The Green Zone is a geographically designated area of Staten Island
aimed at attracting companies that produce Green goods and services,
or who utilize Green technology. The Green Zone attracts companies
who work within the sphere of smart growth and environmentally
friendly development and research. The Green Zone acts as a "go to
place" for the entrepreneur who is prepared to put their technology
into production and the market. Staten Island has a rich history of
manufacturing and industrial production and a strong base for skilled
labor. Advances in Green technology allow for increased and
diversified employment and production on Staten Island. Businesses
that take measurable steps in increasing energy and material
efficiency will be the standard-bearers for increased Green
initiatives throughout the region. The Green Zone and the initiatives
of Green Zone companies will educate local companies and residents
about the Green economy. This education and
availability of resources will allow for efficiency retrofits,
professional support and guidance for companies seeking financial
incentives for Green investment, promote Green Collar job retraining
options, improve alternative energy development, and attract Green
businesses that create sustainable employment opportunities for
Islanders.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and
leaving the Foreign Trade Zone, promotes trade and economic
development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the
outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies
and the production of green technology thus creating an area where
the investment community can focus on green product development, as
well as an area where green products can be manufactured. This zone
will establish a location where companies focusing on green economic
development can come together to individually and jointly spur
development of a more green state.

Most importantly, the Green Zone Act will provide a tax credit for the
businesses that invest within it, providing an incentive to relocate
within the zone and create the synergies of locating in a common area.

PRIOR LEGISLATIVE HISTORY:
2010: A.10662 - Died in Assembly Economic Development

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                 5491--D

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  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  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said  committee  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN  ACT  to amend the general municipal law and the tax law, in relation
  to enacting the New York state green economic development zones act

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

  Section  1.  This act shall be known and may be cited as the "New York
state green economic development zones act".
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. RESPONSIBILITIES OF THE COMMISSIONER.
  S 974.  SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE  CITED  AS
THE "NEW YORK STATE GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S  974-A.    LEGISLATIVE FINDINGS AND DECLARATION.  IT IS HEREBY FOUND
AND DECLARED THAT THERE EXISTS WITHIN THE STATE THE  NEED  TO  STIMULATE
EMPLOYMENT  AND  MORE EFFICIENT TRANSPORTATION BY UTILIZING THE EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-11-2

S. 5491--D                          2

OF THE STATE, IMPROVE THE STATE'S  ENVIRONMENTAL  QUALITY  OF  LIFE  AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO  STIMULATE  PRIVATE  INVESTMENT, PRIVATE BUSINESS DEVELOPMENT AND JOB
CREATION. IT IS THE PUBLIC POLICY OF THE STATE TO OFFER  SPECIAL  INCEN-
TIVES  AND  ASSISTANCE  THAT  WILL  PROMOTE THE DEVELOPMENT OF NEW GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED AREAS AND TO DO SO WITHOUT ENCOURAGING  THE  RELOCATION  OF  BUSINESS
INVESTMENT  FROM  OTHER  AREAS  OF  THE  STATE.  IT IS FURTHER FOUND AND
DECLARED THAT IT IS THE PUBLIC POLICY OF  THE  STATE  TO  ACHIEVE  THESE
GOALS  THROUGH  THE  MUTUAL COOPERATION OF ALL LEVELS OF STATE AND LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S 974-B. DEFINITIONS. AS USED IN THIS  ARTICLE,  THE  FOLLOWING  TERMS
SHALL  HAVE  THE  FOLLOWING  MEANINGS  UNLESS THE CONTEXT SHALL INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A) "APPLICANT" SHALL MEAN THE COUNTY, CITY, TOWN OR  VILLAGE  SUBMIT-
TING  AN  APPLICATION  IN  THE MANNER AUTHORIZED BY LOCAL LAW FOR DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B) "ENTERPRISE" SHALL MEAN A BUSINESS ENTERPRISE THAT  IS  AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C)  "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES IN
ONE OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH  AND
DEVELOPMENT  AND  THE APPLICATION AND INSTALLATION OF GREEN PRODUCTS AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION  COMPA-
NIES  INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR PANEL
PRODUCTION OR ASSEMBLY, WIND  TURBINE  PRODUCTION  OR  ASSEMBLY,  CARBON
CAPTURE  AND  STORAGE  MECHANISM,  CLEAN FUEL VEHICLES, RENEWABLE ENERGY
DEVELOPMENT, OR ENERGY EFFICIENCY TECHNOLOGIES. GREEN  PRODUCTION  SHALL
ALSO  INCLUDE,  BUT  SHALL  NOT BE LIMITED TO, THE FOLLOWING:  (1) GREEN
HOUSE EMISSION REDUCTION TECHNOLOGIES; (2)  THE  ASSEMBLY  OF  ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE, BUT NOT BE LIMITED TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESSES IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND WHICH ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED  BY  THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND
ELECTRICAL PROCESSES TOGETHER; (II) FURNACE AND BOILER REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT  THE  NEW OR RETROFITTED FURNACES AND BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN 0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED  VEHI-
CLES  OR  THE  CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES;
AND (IV) OTHER MEASURES THAT WILL  REDUCE  THE  DEMAND  FOR  AND/OR  THE
CONSUMPTION  OF  ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT
OF ENVIRONMENTAL CONSERVATION WITH THE NEW YORK  STATE  ENERGY  RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;

S. 5491--D                          3

  (C) "ENERGY EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN  TECHNOLOGIES  THAT
REDUCE  THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO: (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED  IN
ARTICLE  SIXTEEN  OF  THE ENERGY LAW; AND (III) OTHER SUCH MEASURES THAT
WILL REDUCE THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY  AS  DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION  OF  TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY INTO ELEC-
TRICITY OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR,  WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701  OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
THE GREEN BUILDING INITIATIVE'S GREEN GLOBES SYSTEM, USE AND SALE OF LOW
VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE, COATED,  OR  GREEN  ROOF
INSTALLATION,  RECOVERY AND RECYCLING PROCESSING, REPLACEMENT OF INEFFI-
CIENT TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES  AND  REPAIR,  COGENERATION
TECHNOLOGY  INSTALLATION  AND  REPAIR,  AND  GREEN  LEGAL  AND FINANCIAL
SERVICES;
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING  AND  SERVICE  COMPANIES  AS  DEFINED BY THIS SECTION.
GREEN APPLICATION AND INSTALLATION INCLUDES,  BUT  IS  NOT  LIMITED  TO,
SOLAR  PANEL  INSTALLATION,  COGENERATION TECHNOLOGY RETROFITTING, GREEN
ROOF INSTALLATION, LOW FLOW WATER FIXTURE INSTALLATION, CLEAN-FUEL VEHI-
CLE UTILIZATION, GREENHOUSE GAS EMISSIONS REDUCTION TECHNOLOGY  UTILIZA-
TION, ENERGY EFFICIENCY TECHNOLOGY UTILIZATION, AND LEED CERTIFICATION.
  (D)  "COMMISSIONER"  SHALL  MEAN THE COMMISSIONER OF ECONOMIC DEVELOP-
MENT.
  (E) "GREEN ZONE" SHALL MEAN THE AREA OF STATEN ISLAND DEFINED  BY  THE
FOLLOWING  AREA  BASED  ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF THE GOETHALS BRIDGES AND THE US PIERHEAD AND  BULKHEAD  LINE;  THENCE
RUNNING  EASTERLY  3,214.78 FEET ALONG AND PARALLEL TO NORTH SIDE OF THE
GOETHALS BRIDGE EXTENSION TO THE CENTERLINE OF  WESTERN  AVENUE;  THENCE
RUNNING  NORTH  93.71  FEET  TO  THE CENTER LINE OF GOETHALS ROAD NORTH;
THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE  SOUTH  SIDE
OF  GOETHALS  ROAD  NORTH  TO CENTERLINE OF SOUTH AVENUE; THENCE RUNNING

S. 5491--D                          4

SOUTH 433.81 FEET ALONG AND PARALLEL THE WEST SIDE OF  SOUTH  AVENUE  TO
THE  CENTERLINE  OF  FAHEY AVENUE; THENCE RUNNING EAST 424.89 FEET ALONG
AND PARALLEL TO THE SOUTH SIDE OF FAHEY  AVENUE  TO  THE  CENTERLINE  OF
FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL THE
WEST  SIDE  OF  FELTON STREET TO THE CENTERLINE OF LAMBERTS LANE; THENCE
RUNNING SOUTH 790.62 ALONG THE FELTON STREET LINE TO THE INTERSECTION OF
GRAHAM AVENUE AND LANDER AVENUE;  THENCE  RUNNING  SOUTH  3,413.10  FEET
ALONG  AND  PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE TO THE CENTERLINE
OF VICTORY BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21 ALONG  THE  WEST
SIDE  OF  VICTORY  BOULEVARD  TO THE CENTERLINE OF TRAVIS AVENUE; THENCE
RUNNING EAST 5,030.20 FEET ALONG AND PARALLEL THE SOUTH SIDE  OF  TRAVIS
AVENUE  TO  THE  CENTERLINE  OF  RICHMOND  AVENUE;  THENCE RUNNING SOUTH
12,265.02 ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO  THE
CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING WEST 14,266.19 FEET ALONG
AND  PARALLEL  THE  NORTH  SIDE OF ARTHUR KILL ROAD TO THE CENTERLINE OF
ROSSVILLE AVENUE; THENCE RUNNING NORTH 650 FEET ALONG THE LINE OF  ROSS-
VILLE  AVENUE  TO THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING NORTH 34,553.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF  THE
US PIERHEAD AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S 974-C. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A)  PROMULGATE  REGULATIONS, IN CONSULTATION WITH THE COMMISSIONER OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION SYSTEM, WHICH IS CAPABLE OF COMPILING AND ANALYZING  ACCURATE  AND
CONSISTENT  INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET;
  (B) DESIGNATE BUSINESSES AS MEETING THE CRITERIA OF A GREEN  BUSINESS;
AND
  (C) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S 3. Section 210 of the tax law is amended by adding a new subdivision
45 to read as follows:
  45.  GREEN  ZONE  TAX  REDUCTION  CREDIT.  (A)  ALLOWANCE OF CREDIT. A
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS CHAP-
TER. SUCH CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  SHALL  BE
ALLOWED  FOR  A  QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE, OR A SOLE
PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE OR A MEMBER
OF A PARTNERSHIP WHICH IS A QUALIFIED  GREEN  BUSINESS  WITHIN  A  GREEN
ZONE.
  (B)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 4. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law  is  amended by adding a new clause (xxxiv) to read as
follows:
(XXXIV) GREEN ECONOMIC DEVELOPMENT ZONE        AMOUNT OF CREDIT UNDER
CREDIT UNDER SUBSECTION                        SUBDIVISION FORTY-FIVE OF
(UU)                                           SECTION TWO HUNDRED TEN
  S 5. Section 606 of the tax law is amended by adding a new  subsection
(uu) to read as follows:
  (UU)  GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED
A CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  AGAINST  THE  TAX
IMPOSED  BY  THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSI-
NESS WITHIN A GREEN ZONE, OR A SOLE  PROPRIETOR  OF  A  QUALIFIED  GREEN

S. 5491--D                          5

BUSINESS  WITHIN  A  GREEN  ZONE OR A MEMBER OF A PARTNERSHIP WHICH IS A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 6. Section 1456 of the tax law is amended by adding a new subsection
(z) to read as follows:
  (Z) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
CREDIT, TO BE COMPUTED AS HEREINAFTER PROVIDED, AGAINST THE TAX  IMPOSED
BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSINESS WITHIN
A  GREEN ZONE, OR A SOLE PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN
A GREEN ZONE OR A MEMBER OF A PARTNERSHIP WHICH  IS  A  QUALIFIED  GREEN
BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 7. Section 1511 of the tax law is amended by adding a  new  subdivi-
sion (cc) to read as follows:
  (CC)  GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED
A CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  AGAINST  THE  TAX
IMPOSED  BY  THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSI-
NESS WITHIN A GREEN ZONE, OR A SOLE  PROPRIETOR  OF  A  QUALIFIED  GREEN
BUSINESS  WITHIN  A  GREEN  ZONE OR A MEMBER OF A PARTNERSHIP WHICH IS A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 8. This act shall take effect immediately.

S5491E - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491E - Bill Texts

view summary

Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

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

                                 5491--E

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  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  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said  committee  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to  said  committee  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said committee

AN ACT to amend the general municipal law and the tax law,  in  relation
  to enacting the New York state green economic development zones act

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

  Section 1. This act shall be known and may be cited as the  "New  York
state green economic development zones act".
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. RESPONSIBILITIES OF THE COMMISSIONER.
  S  974.   SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
THE "NEW YORK STATE GREEN ECONOMIC DEVELOPMENT ZONES ACT".
  S 974-A.  LEGISLATIVE FINDINGS AND DECLARATION.   IT IS  HEREBY  FOUND
AND  DECLARED  THAT  THERE EXISTS WITHIN THE STATE THE NEED TO STIMULATE
EMPLOYMENT AND MORE EFFICIENT TRANSPORTATION BY UTILIZING  THE  EMERGING

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-13-2

S. 5491--E                          2

GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF  THE  STATE,  IMPROVE  THE  STATE'S ENVIRONMENTAL QUALITY OF LIFE AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO  STIMULATE  PRIVATE  INVESTMENT, PRIVATE BUSINESS DEVELOPMENT AND JOB
CREATION. IT IS THE PUBLIC POLICY OF THE STATE TO OFFER  SPECIAL  INCEN-
TIVES  AND  ASSISTANCE  THAT  WILL  PROMOTE THE DEVELOPMENT OF NEW GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED AREAS AND TO DO SO WITHOUT ENCOURAGING  THE  RELOCATION  OF  BUSINESS
INVESTMENT  FROM  OTHER  AREAS  OF  THE  STATE.  IT IS FURTHER FOUND AND
DECLARED THAT IT IS THE PUBLIC POLICY OF  THE  STATE  TO  ACHIEVE  THESE
GOALS  THROUGH  THE  MUTUAL COOPERATION OF ALL LEVELS OF STATE AND LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S 974-B. DEFINITIONS. AS USED IN THIS  ARTICLE,  THE  FOLLOWING  TERMS
SHALL  HAVE  THE  FOLLOWING  MEANINGS  UNLESS THE CONTEXT SHALL INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A) "APPLICANT" SHALL MEAN THE COUNTY, CITY, TOWN OR  VILLAGE  SUBMIT-
TING  AN  APPLICATION  IN  THE MANNER AUTHORIZED BY LOCAL LAW FOR DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B) "ENTERPRISE" SHALL MEAN A BUSINESS ENTERPRISE THAT  IS  AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C)  "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES IN
ONE OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH  AND
DEVELOPMENT  AND  THE APPLICATION AND INSTALLATION OF GREEN PRODUCTS AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION  COMPA-
NIES  INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR PANEL
PRODUCTION OR ASSEMBLY, WIND  TURBINE  PRODUCTION  OR  ASSEMBLY,  CARBON
CAPTURE  AND  STORAGE  MECHANISM,  CLEAN FUEL VEHICLES, RENEWABLE ENERGY
DEVELOPMENT, OR ENERGY EFFICIENCY TECHNOLOGIES. GREEN  PRODUCTION  SHALL
ALSO  INCLUDE,  BUT  SHALL  NOT BE LIMITED TO, THE FOLLOWING:  (1) GREEN
HOUSE EMISSION REDUCTION TECHNOLOGIES; (2)  THE  ASSEMBLY  OF  ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A)  "GREENHOUSE  GAS  EMISSION REDUCTION TECHNOLOGIES" SHALL MEAN AND
INCLUDE, BUT NOT BE LIMITED TO:  (I)  COGENERATION  TECHNOLOGIES,  WHICH
SHALL  MEAN  ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE HEAT FROM
ON-SITE ELECTRICAL GENERATION PROCESSES IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND WHICH ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED  BY  THE
DEPARTMENT  OF  ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH THERMAL AND
ELECTRICAL PROCESSES TOGETHER; (II) FURNACE AND BOILER REPLACEMENTS  AND
RETROFITS,  PROVIDED  THAT  THE  NEW OR RETROFITTED FURNACES AND BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN 0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED  VEHI-
CLES  OR  THE  CONVERSION OF EXISTING VEHICLES TO CLEAN-FUELED VEHICLES;
AND (IV) OTHER MEASURES THAT WILL  REDUCE  THE  DEMAND  FOR  AND/OR  THE
CONSUMPTION  OF  ENERGY INCLUDING FUELS, AS DETERMINED BY THE DEPARTMENT
OF ENVIRONMENTAL CONSERVATION WITH THE NEW YORK  STATE  ENERGY  RESEARCH
AND DEVELOPMENT AUTHORITY;
  (B)  "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED IN
SECTION ONE HUNDRED TWENTY-FIVE OF THE VEHICLE  AND  TRAFFIC  LAW,  THAT
USES  ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR GENERATED

S. 5491--E                          3

ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY AS DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR OTHER END USES, WHERE RENEWABLE ENERGY INCLUDES SOLAR, WIND,
TIDAL,  FUEL  CELL,  GEOTHERMAL  AND  HYDROGEN,  BUT  DOES  NOT  INCLUDE
COMBUSTION  OR PYROLYSIS OF SOLID WASTE AS DEFINED IN SECTION 27-0701 OF
THE ENVIRONMENTAL CONSERVATION LAW OR ELECTRICITY GENERATED FROM NUCLEAR
POWER PLANTS;
  (E) "GREEN SERVICE AND REPAIR"  SHALL  MEAN  ANY  COMPANY  THAT  DEALS
PRIMARILY  WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR INDIVID-
UALS IN A SUSTAINABLE OR ENERGY  EFFICIENT  MANNER.  GREEN  SERVICE  AND
REPAIR  COMPANIES  INCLUDE,  BUT ARE NOT LIMITED TO, THOSE OFFERING SUCH
SERVICES AS GREEN ROOFING, LEED CERTIFICATION AND  INSPECTION  SERVICES,
THE GREEN BUILDING INITIATIVE'S GREEN GLOBES SYSTEM, USE AND SALE OF LOW
VOC  PAINTS,  LOW  ENERGY RADIANT FLOORING, WHITE, COATED, OR GREEN ROOF
INSTALLATION, RECOVERY AND RECYCLING PROCESSING, REPLACEMENT OF  INEFFI-
CIENT  TECHNOLOGIES,  CLEAN-FUEL  VEHICLE SALES AND REPAIR, COGENERATION
TECHNOLOGY INSTALLATION  AND  REPAIR,  AND  GREEN  LEGAL  AND  FINANCIAL
SERVICES;
  (F)  "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES, AND THEN APPLIES THAT KNOWLEDGE TO  CREATE  NEW  AND  IMPROVED
GREEN  PRODUCTS,  PROCESSES,  AND SERVICES THAT FILL MARKET NEEDS. GREEN
RESEARCH AND DEVELOPMENT PROJECTS  INCLUDE,  BUT  ARE  NOT  LIMITED  TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE  FARMING  OR LANDSCAPING PROCESSES, WATER CONSERVATION TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G) "GREEN APPLICATION AND INSTALLATION" IS  THE  ACT  OF  A  PROPERTY
OWNER  OR  TENANT  INSTALLING  OR  USING A TYPE OF GREEN TECHNOLOGY THAT
RESULTS IN GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER  ENERGY  EFFI-
CIENCY  TECHNOLOGIES  AND  SHALL  ALSO INCLUDE CERTAIN WORK PERFORMED BY
NON-MANUFACTURING AND SERVICE COMPANIES  AS  DEFINED  BY  THIS  SECTION.
GREEN  APPLICATION  AND  INSTALLATION  INCLUDES,  BUT IS NOT LIMITED TO,
SOLAR PANEL INSTALLATION, COGENERATION  TECHNOLOGY  RETROFITTING,  GREEN
ROOF INSTALLATION, LOW FLOW WATER FIXTURE INSTALLATION, CLEAN-FUEL VEHI-
CLE  UTILIZATION, GREENHOUSE GAS EMISSIONS REDUCTION TECHNOLOGY UTILIZA-
TION, ENERGY EFFICIENCY TECHNOLOGY UTILIZATION, AND LEED CERTIFICATION.
  (D) "COMMISSIONER" SHALL MEAN THE COMMISSIONER  OF  ECONOMIC  DEVELOP-
MENT.
  (E)  "GREEN  ZONE" SHALL MEAN THE AREA OF STATEN ISLAND DEFINED BY THE
FOLLOWING AREA BASED ON THE NEW YORK CITY DEPARTMENT  OF  CITY  PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF  THE  GOETHALS  BRIDGES AND THE US PIERHEAD AND BULKHEAD LINE; THENCE
RUNNING EASTERLY 3,214.78 FEET ALONG AND PARALLEL TO NORTH SIDE  OF  THE
GOETHALS  BRIDGE  EXTENSION  TO THE CENTERLINE OF WESTERN AVENUE; THENCE
RUNNING NORTH 93.71 FEET TO THE CENTER  LINE  OF  GOETHALS  ROAD  NORTH;

S. 5491--E                          4

THENCE  RUNNING  EAST 5,909.12 FEET ALONG AND PARALLEL TO THE SOUTH SIDE
OF GOETHALS ROAD NORTH TO CENTERLINE OF  SOUTH  AVENUE;  THENCE  RUNNING
SOUTH  433.81  FEET  ALONG AND PARALLEL THE WEST SIDE OF SOUTH AVENUE TO
THE  CENTERLINE  OF  FAHEY AVENUE; THENCE RUNNING EAST 424.89 FEET ALONG
AND PARALLEL TO THE SOUTH SIDE OF FAHEY  AVENUE  TO  THE  CENTERLINE  OF
FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL THE
WEST  SIDE  OF  FELTON STREET TO THE CENTERLINE OF LAMBERTS LANE; THENCE
RUNNING SOUTH 790.62 ALONG THE FELTON STREET LINE TO THE INTERSECTION OF
GRAHAM AVENUE AND LANDER AVENUE;  THENCE  RUNNING  SOUTH  3,413.10  FEET
ALONG  AND  PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE TO THE CENTERLINE
OF VICTORY BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21 ALONG  THE  WEST
SIDE  OF  VICTORY  BOULEVARD  TO THE CENTERLINE OF TRAVIS AVENUE; THENCE
RUNNING EAST 5,030.20 FEET ALONG AND PARALLEL THE SOUTH SIDE  OF  TRAVIS
AVENUE  TO  THE  CENTERLINE  OF  RICHMOND  AVENUE;  THENCE RUNNING SOUTH
12,265.02 ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO  THE
CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING WEST 23,752.19 FEET ALONG
AND  PARALLEL  THE  NORTH  SIDE OF ARTHUR KILL ROAD TO THE CENTERLINE OF
ELLIS ROAD; THENCE RUNNING NORTH 3,571 FEET ALONG THE LINE OF ELLIS ROAD
TO THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE RUNNING  NORTH
47,725.83  FEET  ALONG  AND PARALLEL TO THE EAST SIDE OF THE US PIERHEAD
AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S 974-C. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A) PROMULGATE REGULATIONS, IN CONSULTATION WITH THE  COMMISSIONER  OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION  SYSTEM,  WHICH IS CAPABLE OF COMPILING AND ANALYZING ACCURATE AND
CONSISTENT INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER  STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET;
  (B)  DESIGNATE BUSINESSES AS MEETING THE CRITERIA OF A GREEN BUSINESS;
AND
  (C) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S 3. Section 210 of the tax law is amended by adding a new subdivision
45 to read as follows:
  45. GREEN ZONE TAX  REDUCTION  CREDIT.  (A)  ALLOWANCE  OF  CREDIT.  A
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS CHAP-
TER.  SUCH  CREDIT,  TO  BE  COMPUTED  AS HEREINAFTER PROVIDED, SHALL BE
ALLOWED FOR A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE,  OR  A  SOLE
PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE OR A MEMBER
OF  A  PARTNERSHIP  WHICH  IS  A QUALIFIED GREEN BUSINESS WITHIN A GREEN
ZONE.
  (B) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S  4. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new  clause  (xxxiv)  to  read  as
follows:
(XXXIV) GREEN ZONE TAX REDUCTION               AMOUNT OF CREDIT UNDER
CREDIT UNDER SUBSECTION                        SUBDIVISION FORTY-FIVE OF
(UU)                                           SECTION TWO HUNDRED TEN
  S  5. Section 606 of the tax law is amended by adding a new subsection
(uu) to read as follows:
  (UU) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE  ALLOWED
A  CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED, AGAINST THE TAX

S. 5491--E                          5

IMPOSED BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED  GREEN  BUSI-
NESS  WITHIN  A  GREEN  ZONE,  OR A SOLE PROPRIETOR OF A QUALIFIED GREEN
BUSINESS WITHIN A GREEN ZONE OR A MEMBER OF A  PARTNERSHIP  WHICH  IS  A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 6. Section 1456 of the tax law is amended by adding a new subsection
(z) to read as follows:
  (Z) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
CREDIT, TO BE COMPUTED AS HEREINAFTER PROVIDED, AGAINST THE TAX  IMPOSED
BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSINESS WITHIN
A  GREEN ZONE, OR A SOLE PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN
A GREEN ZONE OR A MEMBER OF A PARTNERSHIP WHICH  IS  A  QUALIFIED  GREEN
BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 7. Section 1511 of the tax law is amended by adding a  new  subdivi-
sion (cc) to read as follows:
  (CC)  GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED
A CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  AGAINST  THE  TAX
IMPOSED  BY  THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSI-
NESS WITHIN A GREEN ZONE, OR A SOLE  PROPRIETOR  OF  A  QUALIFIED  GREEN
BUSINESS  WITHIN  A  GREEN  ZONE OR A MEMBER OF A PARTNERSHIP WHICH IS A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 8. This act shall take effect immediately.

S5491F (ACTIVE) - Bill Details

See Assembly Version of this Bill:
A2219E
Current Committee:
Law Section:
General Municipal Law
Laws Affected:
Add Art 18-D §§974 - 974-c, Gen Muni L; amd §§210, 606, 1456 & 1511, Tax L
Versions Introduced in 2009-2010 Legislative Session:
A10662

S5491F (ACTIVE) - Bill Texts

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Enacts the New York state green economic development zones act to offer special incentives and assistance that promote the development of new green businesses and expansion of existing businesses within designated green economic development zones in areas of Staten Island.

view sponsor memo
BILL NUMBER:S5491F

TITLE OF BILL:
An act
to amend the general municipal law
and
the tax law, in relation to
enacting the New York state green economic development zones act

PURPOSE OR GENERAL IDEA OF BILL:
This legislation would create the
Green Enterprise Trade Zone, which is a designated area in the
commercial and/or industrial zoned area of Staten Island. It would
attract companies producing goods and services for the Green
Environmental Standards that government is mandating and leverage
green business strategies and green technology, with investment tax
credits to accelerate investment in our City and State green tech and
clean tech developing industries.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of this bill states the name of the act.

Section 2 of this bill establishes the types of green businesses that
are covered under the act and establishes the Green Zone location
within Staten Island. It also grants the commissioner of economic
development the authority to establish rules and regulations.

Section 3 amends Section 210 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Sections 4 and 5 amend Section 616 of the tax law to allow for a
thirty percent credit of any business or investment capital spent by
a qualifying business within the Green Zone.

Section 6 amends Section 1456 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Section 7 amends Section 1511 of the tax law to allow for a thirty
percent credit of any business or investment capital spent by a
qualifying business within the Green Zone.

Section 8 states that the law shall take effect immediately.

JUSTIFICATION:
The NYC Regional Council designated the Staten Island
Green Zone as one of eight priority projects for the City of New York
in its January 2012 report to the Governor. In addition, the Regional
Council also designated the West Shore of Staten Island, which is
home to the proposed Green Zone, as an "Opportunity Zone" meaning
special attention from Staten funding agencies should be given to
this region, including funding through the Excelsior Tax Credit
program. The Federal Economic Development Administration recently
awarded the Staten Island Economic Development Corporation $120,000
grant to study the proposed Green Zone.


The Green Zone is a geographically designated area of Staten Island
aimed at attracting companies that produce Green goods and services,
or who utilize Green technology. The Green Zone attracts companies
who work within the sphere of smart growth and environmentally
friendly development and research. The Green Zone acts as a "go to
place" for the entrepreneur who is prepared to put their technology
into production and the market. Staten Island has a rich history of
manufacturing and industrial production and a strong base for skilled
labor. Advances in Green technology allow for increased and
diversified employment and production on Staten Island. Businesses
that take measurable steps in increasing energy and material
efficiency will be the standard-bearers for increased Green
initiatives throughout the region. The Green Zone and the initiatives
of Green Zone companies will educate local companies and residents
about the Green economy. This education and
availability of resources will allow for efficiency retrofits,
professional support and guidance for companies seeking financial
incentives for Green investment, promote Green Collar job retraining
options, improve alternative energy development, and attract Green
businesses that create sustainable employment opportunities for
Islanders.

A Green Enterprise Trade Zone is not unlike a Foreign Trade Zone. The
concept of a Foreign Trade Zone has been part of our economic scheme
since the 1930's. It exempted from tax, merchandise entering and
leaving the Foreign Trade Zone, promotes trade and economic
development.

This legislation proposes to establish a Green enterprise Zone to
encourage and develop the green technologies necessary to slow the
outflow of our U.S. dollars to purchase foreign oil, to protect our
environment by encouraging the adoption of green business strategies
and the production of green technology thus creating an area where
the investment community can focus on green product development, as
well as an area where green products can be manufactured. This zone
will establish a location where companies focusing on green economic
development can come together to individually and jointly spur
development of a more green state.

Most importantly, the Green Zone Act will provide a tax credit for the
businesses that invest within it, providing an incentive to relocate
within the zone and create the synergies of locating in a common area.

PRIOR LEGISLATIVE HISTORY:
2010: A.10662 - Died in Assembly Economic Development.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
This act shall take effect immediately.

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

                                 5491--F

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              May 25, 2011
                               ___________

Introduced  by  Sen.  LANZA  -- read twice and ordered printed, and when
  printed to be committed  to  the  Committee  on  Local  Government  --
  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  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said  committee  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to  said  committee  --  committee  discharged,  bill amended, ordered
  reprinted as amended and recommitted to said  committee  --  committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN  ACT  to amend the general municipal law and the tax law, in relation
  to enacting the New York state green economic development zones act

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

  Section  1.  This act shall be known and may be cited as the "New York
state green economic development zones act".
  S 2. The general municipal law is amended by adding a new article 18-D
to read as follows:
                               ARTICLE 18-D
                    GREEN ECONOMIC DEVELOPMENT ZONES

SECTION 974. SHORT TITLE.
        974-A. LEGISLATIVE FINDINGS AND DECLARATION.
        974-B. DEFINITIONS.
        974-C. RESPONSIBILITIES OF THE COMMISSIONER.
  S 974.  SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE  CITED  AS
THE "NEW YORK STATE GREEN ECONOMIC DEVELOPMENT ZONES ACT".

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD04764-15-2

S. 5491--F                          2

  S  974-A.    LEGISLATIVE FINDINGS AND DECLARATION.  IT IS HEREBY FOUND
AND DECLARED THAT THERE EXISTS WITHIN THE STATE THE  NEED  TO  STIMULATE
EMPLOYMENT  AND  MORE EFFICIENT TRANSPORTATION BY UTILIZING THE EMERGING
GREEN TECHNOLOGY THAT WILL REDUCE THE OUTPUT OF CARBON IN THE ATMOSPHERE
OF  THE  STATE,  IMPROVE  THE  STATE'S ENVIRONMENTAL QUALITY OF LIFE AND
GENERAL HEALTH OF THE RESIDENTS. THIS NEED REQUIRES THE STATE GOVERNMENT
TO TARGET AREAS FOR EXTRAORDINARY ECONOMIC DEVELOPMENT PROGRAMS IN ORDER
TO STIMULATE PRIVATE INVESTMENT, PRIVATE BUSINESS  DEVELOPMENT  AND  JOB
CREATION.  IT  IS THE PUBLIC POLICY OF THE STATE TO OFFER SPECIAL INCEN-
TIVES AND ASSISTANCE THAT WILL PROMOTE  THE  DEVELOPMENT  OF  NEW  GREEN
BUSINESSES AND THE EXPANSION OF EXISTING BUSINESSES WITHIN PRE-DESIGNAT-
ED  AREAS  AND  TO  DO SO WITHOUT ENCOURAGING THE RELOCATION OF BUSINESS
INVESTMENT FROM OTHER AREAS OF  THE  STATE.  IT  IS  FURTHER  FOUND  AND
DECLARED  THAT  IT  IS  THE  PUBLIC POLICY OF THE STATE TO ACHIEVE THESE
GOALS THROUGH THE MUTUAL COOPERATION OF ALL LEVELS OF  STATE  AND  LOCAL
GOVERNMENT AND THE BUSINESS COMMUNITY.
  S  974-B.  DEFINITIONS.  AS  USED IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS  UNLESS  THE  CONTEXT  SHALL  INDICATE
ANOTHER OR DIFFERENT MEANING OR INTENT:
  (A)  "APPLICANT"  SHALL MEAN THE COUNTY, CITY, TOWN OR VILLAGE SUBMIT-
TING AN APPLICATION IN THE MANNER AUTHORIZED BY  LOCAL  LAW  FOR  DESIG-
NATION OF AN AREA AS A GREEN ECONOMIC DEVELOPMENT ZONE.
  (B)  "ENTERPRISE"  SHALL MEAN A BUSINESS ENTERPRISE THAT IS AUTHORIZED
TO DO BUSINESS IN THIS STATE AND IS INDEPENDENTLY OWNED AND OPERATED AND
FOUND TO COMPLY WITH GREEN ECONOMIC DEVELOPMENT ZONE CRITERIA.
  (C) "GREEN BUSINESS" SHALL MEAN A BUSINESS THAT PRIMARILY OPERATES  IN
ONE  OR MORE OF FOUR AREAS: PRODUCTION, SERVICE AND REPAIR, RESEARCH AND
DEVELOPMENT AND THE APPLICATION AND INSTALLATION OF GREEN  PRODUCTS  AND
SERVICES. A GREEN PRODUCTION COMPANY IS A COMPANY DEALING PRIMARILY WITH
THE MANUFACTURING AND DISTRIBUTION OF ENERGY EFFICIENCY TECHNOLOGIES AND
GREENHOUSE  GAS EMISSION REDUCTION TECHNOLOGIES. GREEN PRODUCTION COMPA-
NIES INCLUDE, BUT ARE NOT LIMITED TO, BIO FUEL DEVELOPMENT, SOLAR  PANEL
PRODUCTION  OR  ASSEMBLY,  WIND  TURBINE  PRODUCTION OR ASSEMBLY, CARBON
CAPTURE AND STORAGE MECHANISM, CLEAN  FUEL  VEHICLES,  RENEWABLE  ENERGY
DEVELOPMENT,  OR  ENERGY EFFICIENCY TECHNOLOGIES. GREEN PRODUCTION SHALL
ALSO INCLUDE, BUT SHALL NOT BE LIMITED TO, THE  FOLLOWING:    (1)  GREEN
HOUSE  EMISSION  REDUCTION  TECHNOLOGIES;  (2) THE ASSEMBLY OF ESSENTIAL
COMPONENTS FOR A CLEAN-FUELED VEHICLE; OR (3) ENERGY EFFICIENCY TECHNOL-
OGIES; WHERE
  (A) "GREENHOUSE GAS EMISSION REDUCTION TECHNOLOGIES"  SHALL  MEAN  AND
INCLUDE,  BUT  NOT  BE  LIMITED TO: (I) COGENERATION TECHNOLOGIES, WHICH
SHALL MEAN ANY ONE OF THE SEVERAL TECHNOLOGIES WHEREIN WASTE  HEAT  FROM
ON-SITE ELECTRICAL GENERATION PROCESSES IS RECOVERED TO PROVIDE STEAM OR
HOT WATER TO MEET ON-SITE NEEDS, SUCH AS HEATING AND/OR AIR CONDITIONING
AND  WHICH  ATTAINS  OVERALL  SYSTEM  EFFICIENCY  AS  ESTABLISHED BY THE
DEPARTMENT OF ENVIRONMENTAL CONSERVATION, CONSIDERING BOTH  THERMAL  AND
ELECTRICAL  PROCESSES TOGETHER; (II) FURNACE AND BOILER REPLACEMENTS AND
RETROFITS, PROVIDED THAT THE NEW OR  RETROFITTED  FURNACES  AND  BOILERS
SHALL NOT AT ANY TIME OPERATE ON DIESEL FUEL WITH SULFUR CONTENT GREATER
THAN  0.05 PERCENT BY WEIGHT; (III) THE PRODUCTION OF CLEAN-FUELED VEHI-
CLES OR THE CONVERSION OF EXISTING VEHICLES  TO  CLEAN-FUELED  VEHICLES;
AND  (IV)  OTHER  MEASURES  THAT  WILL  REDUCE THE DEMAND FOR AND/OR THE
CONSUMPTION OF ENERGY INCLUDING FUELS, AS DETERMINED BY  THE  DEPARTMENT
OF  ENVIRONMENTAL  CONSERVATION  WITH THE NEW YORK STATE ENERGY RESEARCH
AND DEVELOPMENT AUTHORITY;

S. 5491--F                          3

  (B) "CLEAN-FUELED VEHICLE" SHALL MEAN ANY MOTOR VEHICLE AS DEFINED  IN
SECTION  ONE  HUNDRED  TWENTY-FIVE  OF THE VEHICLE AND TRAFFIC LAW, THAT
USES ELECTRICITY,  INCLUDING  ELECTRICITY  EITHER  STORED  OR  GENERATED
ON-BOARD, AS ITS PRIMARY MOTIVE FORCE, OR THAT IS FUELED BY NATURAL GAS,
PROPANE, HYDROGEN OR ANY OTHER NON-CARBON PRODUCING FUEL;
  (C)  "ENERGY  EFFICIENCY  TECHNOLOGIES"  SHALL  MEAN TECHNOLOGIES THAT
REDUCE THE CONSUMPTION OF ELECTRICITY INCLUDING BUT NOT LIMITED TO:  (I)
REPLACEMENT OF INEFFICIENT LIGHTING FIXTURES; (II) APPLIANCES AND EQUIP-
MENT  THAT MEET ENERGY EFFICIENCY PERFORMANCE STANDARDS AS IDENTIFIED IN
ARTICLE SIXTEEN OF THE ENERGY LAW; AND (III) OTHER  SUCH  MEASURES  THAT
WILL  REDUCE  THE DEMAND FOR AND/OR CONSUMPTION OF ELECTRICITY AS DETER-
MINED BY THE NEW YORK STATE ENERGY AND RESEARCH DEVELOPMENT AUTHORITY;
  (D) "RENEWABLE ENERGY DEVELOPMENT" SHALL MEAN THE PURCHASE AND INSTAL-
LATION OF TECHNOLOGIES DESIGNED TO CONVERT RENEWABLE ENERGY  INTO  ELEC-
TRICITY  OR  OTHER END USES, WHERE RENEWABLE ENERGY SHALL MEAN RENEWABLE
ENERGY RESOURCES AS DEFINED IN SUBDIVISION TWELVE OF  SECTION  1-103  OF
THE ENERGY LAW;
  (E)  "GREEN  SERVICE  AND  REPAIR"  SHALL  MEAN ANY COMPANY THAT DEALS
PRIMARILY WITH THE PROVISION OF SERVICES TO OTHER COMPANIES OR  INDIVID-
UALS  IN  A  SUSTAINABLE  OR  ENERGY EFFICIENT MANNER. GREEN SERVICE AND
REPAIR COMPANIES INCLUDE, BUT ARE NOT LIMITED TO,  THOSE  OFFERING  SUCH
SERVICES  AS  GREEN ROOFING, LEED CERTIFICATION AND INSPECTION SERVICES,
THE GREEN BUILDING INITIATIVE'S GREEN GLOBES SYSTEM, USE AND SALE OF LOW
VOC PAINTS, LOW ENERGY RADIANT FLOORING, WHITE, COATED,  OR  GREEN  ROOF
INSTALLATION,  RECOVERY AND RECYCLING PROCESSING, REPLACEMENT OF INEFFI-
CIENT TECHNOLOGIES, CLEAN-FUEL VEHICLE SALES  AND  REPAIR,  COGENERATION
TECHNOLOGY  INSTALLATION  AND  REPAIR,  AND  GREEN  LEGAL  AND FINANCIAL
SERVICES;
  (F) "GREEN RESEARCH AND DEVELOPMENT" SHALL MEAN ANY ENTITY THAT  WORKS
PRIMARILY TO DISCOVER NEW KNOWLEDGE ABOUT GREEN PRODUCTS, PROCESSES, AND
SERVICES,  AND  THEN  APPLIES  THAT KNOWLEDGE TO CREATE NEW AND IMPROVED
GREEN PRODUCTS, PROCESSES, AND SERVICES THAT FILL  MARKET  NEEDS.  GREEN
RESEARCH  AND  DEVELOPMENT  PROJECTS  INCLUDE,  BUT  ARE NOT LIMITED TO,
STUDIES INVOLVING IMPROVEMENTS TO RENEWABLE ENERGY TECHNOLOGY, SUSTAINA-
BLE FARMING OR LANDSCAPING PROCESSES, WATER  CONSERVATION  TECHNOLOGIES,
ENERGY EFFICIENCY TECHNOLOGY IMPROVEMENTS, ALTERNATIVE FUEL DEVELOPMENT,
COST-BENEFIT ANALYSES OF SUSTAINABLE PRACTICES, ENERGY RETURN ON INVEST-
MENT, GREEN EDUCATION OUTREACH, AND URBAN SUSTAINABILITY PRACTICES; AND
  (G)  "GREEN  APPLICATION  AND  INSTALLATION"  IS THE ACT OF A PROPERTY
OWNER OR TENANT INSTALLING OR USING A  TYPE  OF  GREEN  TECHNOLOGY  THAT
RESULTS  IN  GREENHOUSE GAS EMISSION REDUCTION OR ANY OTHER ENERGY EFFI-
CIENCY TECHNOLOGIES AND SHALL ALSO INCLUDE  CERTAIN  WORK  PERFORMED  BY
NON-MANUFACTURING  AND  SERVICE  COMPANIES  AS  DEFINED BY THIS SECTION.
GREEN APPLICATION AND INSTALLATION INCLUDES,  BUT  IS  NOT  LIMITED  TO,
SOLAR  PANEL  INSTALLATION,  COGENERATION TECHNOLOGY RETROFITTING, GREEN
ROOF INSTALLATION, LOW FLOW WATER FIXTURE INSTALLATION, CLEAN-FUEL VEHI-
CLE UTILIZATION, GREENHOUSE GAS EMISSIONS REDUCTION TECHNOLOGY  UTILIZA-
TION, ENERGY EFFICIENCY TECHNOLOGY UTILIZATION, AND LEED CERTIFICATION.
  (D)  "COMMISSIONER"  SHALL  MEAN THE COMMISSIONER OF ECONOMIC DEVELOP-
MENT.
  (E) "GREEN ZONE" SHALL MEAN THE AREA OF STATEN ISLAND DEFINED  BY  THE
FOLLOWING  AREA  BASED  ON THE NEW YORK CITY DEPARTMENT OF CITY PLANNING
ZONING MAPS: BEGINNING AT THE INTERSECTION OF THE NORTH SIDE OF THE FOOT
OF THE GOETHALS BRIDGES AND THE US PIERHEAD AND  BULKHEAD  LINE;  THENCE
RUNNING  EASTERLY  3,214.78 FEET ALONG AND PARALLEL TO NORTH SIDE OF THE
GOETHALS BRIDGE EXTENSION TO THE CENTERLINE OF  WESTERN  AVENUE;  THENCE

S. 5491--F                          4

RUNNING  NORTH  93.71  FEET  TO  THE CENTER LINE OF GOETHALS ROAD NORTH;
THENCE RUNNING EAST 5,909.12 FEET ALONG AND PARALLEL TO THE  SOUTH  SIDE
OF  GOETHALS  ROAD  NORTH  TO CENTERLINE OF SOUTH AVENUE; THENCE RUNNING
SOUTH  433.81  FEET  ALONG AND PARALLEL THE WEST SIDE OF SOUTH AVENUE TO
THE CENTERLINE OF FAHEY AVENUE; THENCE RUNNING EAST  424.89  FEET  ALONG
AND  PARALLEL  TO  THE  SOUTH  SIDE OF FAHEY AVENUE TO THE CENTERLINE OF
FELTON STREET; THENCE RUNNING SOUTH 1,314.02 FEET ALONG AND PARALLEL THE
WEST SIDE OF FELTON STREET TO THE CENTERLINE OF  LAMBERTS  LANE;  THENCE
RUNNING SOUTH 790.62 ALONG THE FELTON STREET LINE TO THE INTERSECTION OF
GRAHAM  AVENUE  AND  LANDER  AVENUE;  THENCE RUNNING SOUTH 3,413.10 FEET
ALONG AND PARALLEL TO THE WEST SIDE OF GRAHAM AVENUE TO  THE  CENTERLINE
OF  VICTORY  BOULEVARD; THENCE RUNNING SOUTHEAST 3,114.21 ALONG THE WEST
SIDE OF VICTORY BOULEVARD TO THE CENTERLINE  OF  TRAVIS  AVENUE;  THENCE
RUNNING  EAST  5,030.20 FEET ALONG AND PARALLEL THE SOUTH SIDE OF TRAVIS
AVENUE TO THE  CENTERLINE  OF  RICHMOND  AVENUE;  THENCE  RUNNING  SOUTH
12,265.02  ALONG AND PARALLEL TO THE WEST SIDE OF RICHMOND AVENUE TO THE
CENTERLINE OF ARTHUR KILL ROAD; THENCE RUNNING WEST 23,752.19 FEET ALONG
AND PARALLEL THE NORTH SIDE OF ARTHUR KILL ROAD  TO  THE  CENTERLINE  OF
ELLIS ROAD; THENCE RUNNING NORTH 3,571 FEET ALONG THE LINE OF ELLIS ROAD
TO  THE POINT OF THE US PIERHEAD AND BULKHEAD LINE; THENCE RUNNING NORTH
47,725.83 FEET ALONG AND PARALLEL TO THE EAST SIDE OF  THE  US  PIERHEAD
AND BULKHEAD LINE TO THE POINT AND PLACE OF THE BEGINNING.
  S 974-C. RESPONSIBILITIES OF THE COMMISSIONER. THE COMMISSIONER SHALL:
  (A)  PROMULGATE  REGULATIONS, IN CONSULTATION WITH THE COMMISSIONER OF
LABOR, FOR PROGRAM EVALUATION AND COORDINATE IMPLEMENTATION OF AN EVALU-
ATION SYSTEM, WHICH IS CAPABLE OF COMPILING AND ANALYZING  ACCURATE  AND
CONSISTENT  INFORMATION NECESSARY FOR AN ASSESSMENT OF WHETHER STATUTORY
OBJECTIVES AND CRITERIA ARE BEING MET;
  (B) DESIGNATE BUSINESSES AS MEETING THE CRITERIA OF A GREEN  BUSINESS;
AND
  (C) REVIEW PERFORMANCE OBJECTIVES AND PROGRESS IN MEETING OBJECTIVES.
  S 3. Section 210 of the tax law is amended by adding a new subdivision
45 to read as follows:
  45.  GREEN  ZONE  TAX  REDUCTION  CREDIT.  (A)  ALLOWANCE OF CREDIT. A
TAXPAYER SHALL BE ALLOWED A CREDIT AGAINST THE TAX IMPOSED BY THIS CHAP-
TER. SUCH CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  SHALL  BE
ALLOWED  FOR  A  QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE, OR A SOLE
PROPRIETOR OF A QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE OR A MEMBER
OF A PARTNERSHIP WHICH IS A QUALIFIED  GREEN  BUSINESS  WITHIN  A  GREEN
ZONE.
  (B)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 4. Subparagraph (B) of paragraph 1 of subsection (i) of section  606
of  the  tax  law  is  amended by adding a new clause (xxxiv) to read as
follows:
(XXXIV) GREEN ZONE TAX REDUCTION               AMOUNT OF CREDIT UNDER
CREDIT UNDER SUBSECTION                        SUBDIVISION FORTY-FIVE OF
(UU)                                           SECTION TWO HUNDRED TEN
  S 5. Section 606 of the tax law is amended by adding a new  subsection
(uu) to read as follows:

S. 5491--F                          5

  (UU)  GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED
A CREDIT, TO BE  COMPUTED  AS  HEREINAFTER  PROVIDED,  AGAINST  THE  TAX
IMPOSED  BY  THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSI-
NESS WITHIN A GREEN ZONE, OR A SOLE  PROPRIETOR  OF  A  QUALIFIED  GREEN
BUSINESS  WITHIN  A  GREEN  ZONE OR A MEMBER OF A PARTNERSHIP WHICH IS A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 6. Section 1456 of the tax law is amended by adding a new subsection
(z) to read as follows:
  (Z) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE ALLOWED A
CREDIT,  TO BE COMPUTED AS HEREINAFTER PROVIDED, AGAINST THE TAX IMPOSED
BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED GREEN BUSINESS WITHIN
A GREEN ZONE, OR A SOLE PROPRIETOR OF A QUALIFIED GREEN BUSINESS  WITHIN
A  GREEN  ZONE  OR  A MEMBER OF A PARTNERSHIP WHICH IS A QUALIFIED GREEN
BUSINESS WITHIN A GREEN ZONE.
  (2) AMOUNT OF CREDIT. THE AMOUNT  OF  THE  CREDIT  FOR  TAXABLE  YEARS
BEGINNING  ON  OR  AFTER  JANUARY FIRST, TWO THOUSAND THIRTEEN, SHALL BE
COMPUTED AT THIRTY PERCENT FOR EACH DOLLAR OF  THE  TOTAL  BUSINESS  AND
INVESTMENT  CAPITAL,  OR  THE PORTION THEREOF ALLOCATED WITHIN THE GREEN
ZONE, AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B  OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S  7.  Section 1511 of the tax law is amended by adding a new subdivi-
sion (cc) to read as follows:
  (CC) GREEN ZONE TAX REDUCTION CREDIT. (1) A TAXPAYER SHALL BE  ALLOWED
A  CREDIT,  TO  BE  COMPUTED  AS  HEREINAFTER  PROVIDED, AGAINST THE TAX
IMPOSED BY THIS ARTICLE, WHERE THE TAXPAYER IS A QUALIFIED  GREEN  BUSI-
NESS  WITHIN  A  GREEN  ZONE,  OR A SOLE PROPRIETOR OF A QUALIFIED GREEN
BUSINESS WITHIN A GREEN ZONE OR A MEMBER OF A  PARTNERSHIP  WHICH  IS  A
QUALIFIED GREEN BUSINESS WITHIN A GREEN ZONE.
  (2)  AMOUNT  OF  CREDIT.  THE  AMOUNT  OF THE CREDIT FOR TAXABLE YEARS
BEGINNING ON OR AFTER JANUARY FIRST, TWO  THOUSAND  THIRTEEN,  SHALL  BE
COMPUTED  AT  THIRTY  PERCENT  FOR EACH DOLLAR OF THE TOTAL BUSINESS AND
INVESTMENT CAPITAL, OR THE PORTION THEREOF ALLOCATED  WITHIN  THE  GREEN
ZONE,  AS SUCH TERM IS DEFINED IN SECTION NINE HUNDRED SEVENTY-FOUR-B OF
THE GENERAL MUNICIPAL LAW. THIS CREDIT MAY ONLY BE TAKEN BY THE TAXPAYER
IN ONE TAX YEAR AND ONCE USED MAY NOT BE USED AGAIN.
  S 8. This act shall take effect immediately.

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