S T A T E O F N E W Y O R K
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7068--A
2015-2016 Regular Sessions
I N A S S E M B L Y
April 23, 2015
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Introduced by M. of A. SKARTADOS, PALMESANO, MONTESANO, WOERNER, FITZPA-
TRICK -- Multi-Sponsored by -- M. of A. LOPEZ -- read once and
referred to the Committee on Real Property Taxation -- recommitted to
the Committee on Real Property Taxation in accordance with Assembly
Rule 3, sec. 2 -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the public health law and the real property tax law, in
relation to authorizing real property taxing jurisdictions to grant a
tax exemption for a primary residence purchased by a physician in a
physician shortage area; and to amend the real property tax law, in
relation to providing state aid to such jurisdictions for the savings
granted by such exemption
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings and intent. The legislature hereby
finds that several communities within the state, particularly those
located within rural areas, lack adequate access to physicians. It is
well established that ensuring the sufficient availability of general
practitioners and specialists directly benefits the health of state
residents, and the legislature has enacted several measures towards that
end.
Furthermore, the legislature finds that municipalities are often best
situated to evaluate the needs of their communities. Therefore, it is
the intent of the legislature to offer counties, cities, towns, villages
and school districts the option to provide real property tax exemptions,
should they determine that such an incentive would aid in attracting
physicians to areas currently underserved by the medical community.
S 2. Section 206 of the public health law is amended by adding a new
subdivision 30 to read as follows:
30. (A) THE COMMISSIONER SHALL BIENNIALLY DESIGNATE AND MAKE AVAILABLE
A LIST OF DESIGNATED PHYSICIAN SHORTAGE AREAS IN THE STATE. A DESIGNATED
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06122-05-6
A. 7068--A 2
PHYSICIAN SHORTAGE AREA SHALL BE A COUNTY OR OTHER SUB-COUNTY GEOGRAPHIC
AREA DETERMINED BY THE COMMISSIONER TO BE IN SHORT SUPPLY OF PHYSICIANS
IN PRIMARY CARE PRACTICE AND/OR ONE OR MORE MEDICAL SPECIALITIES. THE
LIST SHALL INDICATE FOR EACH DESIGNATED PHYSICIAN SHORTAGE AREA, IF THE
AREA IS IN SHORT SUPPLY OF PRIMARY CARE PHYSICIANS AND WHICH MEDICAL
SPECIALITIES ARE IN SHORT SUPPLY IN THE DESIGNATED SHORTAGE AREA.
(B) IN ESTABLISHING DESIGNATED PHYSICIAN SHORTAGE AREAS, THE COMMIS-
SIONER, TO THE EXTENT PRACTICABLE, SHALL UTILIZE CRITERIA CONSISTENT
WITH THE CRITERIA UTILIZED TO MAKE AWARDS FOR THE PHYSICIAN PRACTICE
SUPPORT PROGRAM ESTABLISHED PURSUANT TO PARAGRAPH (E) OF SUBDIVISION
FIVE-A OF SECTION TWENTY-EIGHT HUNDRED SEVEN-M OF THIS CHAPTER.
(C) FOR THE PURPOSES OF THIS SUBDIVISION, "MEDICAL SPECIALTY OR
SPECIALTY AREA" SHALL MEAN THE BRANCH OR BRANCHES OF SPECIAL COMPETENCE
WITHIN A PHYSICIAN'S MEDICAL PRACTICE AS EVIDENCED BY THEIR CERTIF-
ICATION BY A SPECIALITY MEDICAL BOARD ACCEPTABLE TO THE COMMISSIONER.
S 3. The real property tax law is amended by adding a new section 439
to read as follows:
S 439. REAL PROPERTY TAX EXEMPTIONS IN DESIGNATED PHYSICIAN SHORTAGE
AREA. 1. A MUNICIPAL CORPORATION OR SCHOOL DISTRICT MAY EXEMPT REAL
PROPERTY PURCHASED BY A PHYSICIAN FOR USE SOLELY AS HIS OR HER PRIMARY
RESIDENCE, TO THE EXTENT PROVIDED IN THIS SECTION, FROM TAXATION BY SUCH
MUNICIPAL CORPORATION OR SCHOOL DISTRICT IF THE PHYSICIAN RESIDES IN AND
HAS AN OFFICE LOCATED WITHIN A PHYSICIAN SHORTAGE AREA AS DESIGNATED BY
THE COMMISSIONER OF HEALTH PURSUANT TO SUBDIVISION THIRTY OF SECTION TWO
HUNDRED SIX OF THE PUBLIC HEALTH LAW. AFTER A PUBLIC HEARING, THE
GOVERNING BODY OF A MUNICIPAL CORPORATION MAY ADOPT A LOCAL LAW, AND THE
BOARD OF A SCHOOL DISTRICT, OTHER THAN A SCHOOL DISTRICT SUBJECT TO
ARTICLE FIFTY-TWO OF THE EDUCATION LAW, MAY ADOPT A RESOLUTION, TO GRANT
THE EXEMPTION AUTHORIZED PURSUANT TO THIS SECTION.
2. EXEMPTIONS PROVIDED PURSUANT TO SUBDIVISION ONE OF THIS SECTION
SHALL ONLY APPLY TO REAL PROPERTY PURCHASED ON OR AFTER THE EFFECTIVE
DATE OF THIS SECTION, AND THE SUBSEQUENT ENACTMENT OF A LOCAL LAW OR
ADOPTION OF A RESOLUTION TO GRANT SUCH REAL PROPERTY TAX EXEMPTION.
3. ANY LOCAL LAW OR RESOLUTION ADOPTED PURSUANT TO SUBDIVISION ONE OF
THIS SECTION SHALL ESTABLISH THE DURATION AND PERCENTAGE OF SUCH AN
EXEMPTION, WHICH SHALL EXCEED NEITHER A PERIOD OF FIVE YEARS NOR THIR-
TY-FIVE PERCENT OF THE PROPERTY'S ASSESSED VALUE. SUCH LOCAL LAW OR
RESOLUTION MAY INCLUDE OTHER CONDITIONS OR RESTRICTIONS, INCLUDING BUT
NOT LIMITED TO PROVISIONS REGARDING THE MAXIMUM VALUE OF ELIGIBLE PROP-
ERTY, AT THE DISCRETION OF THE PROMULGATING MUNICIPAL CORPORATION OR
SCHOOL DISTRICT.
4. A COPY OF SUCH LOCAL LAWS OR RESOLUTIONS SHALL BE FILED WITH THE
STATE BOARD AND THE ASSESSOR FOR SUCH MUNICIPAL CORPORATION OR SCHOOL
DISTRICT WHO PREPARES THE ASSESSMENT ROLL UPON WHICH THE TAXES OF SUCH
MUNICIPAL CORPORATION OR SCHOOL DISTRICT ARE LEVIED.
S 4. The real property tax law is amended by adding a new section 985
to read as follows:
S 985. EFFECT OF EXEMPTION IN DESIGNATED PHYSICIAN SHORTAGE AREAS. 1.
IN A MUNICIPAL CORPORATION OR SCHOOL DISTRICT WHICH ELECTS TO PROVIDE
THE REAL PROPERTY TAX EXEMPTION IN A DESIGNATED PHYSICIAN SHORTAGE AREA
PURSUANT TO SECTION FOUR HUNDRED THIRTY-NINE OF THIS CHAPTER, THE AMOUNT
OF TAXES TO BE LEVIED FOR ANY TAX YEAR OR SCHOOL YEAR, AS THE CASE MAY
BE, SHALL BE DETERMINED WITHOUT REGARD TO THE FACT THAT STATE AID WILL
BE PAYABLE PURSUANT TO THIS SECTION. IN ADDITION, THE TAX RATE FOR ANY
SUCH YEAR SHALL BE DETERMINED AS IF NO PARCELS ARE EXEMPT FROM TAXATION
PURSUANT TO SECTION FOUR HUNDRED THIRTY-NINE OF THIS CHAPTER. HOWEVER,
A. 7068--A 3
THE TAX RATE SO DETERMINED SHALL BE APPLIED TO THE TAXABLE ASSESSED
VALUE OF EACH PARCEL AFTER ACCOUNTING FOR ALL APPLICABLE EXEMPTIONS,
INCLUDING THE EXEMPTION AUTHORIZED BY SECTION FOUR HUNDRED THIRTY-NINE
OF THIS CHAPTER.
2. THE TAX SAVINGS FOR EACH PARCEL RECEIVING THE EXEMPTION AUTHORIZED
BY SECTION FOUR HUNDRED THIRTY-NINE OF THIS CHAPTER SHALL BE COMPUTED BY
SUBTRACTING THE AMOUNT ACTUALLY LEVIED AGAINST THE PARCEL FROM THE
AMOUNT THAT WOULD HAVE BEEN LEVIED IF NOT FOR THE EXEMPTION.
3. (A) THE TOTAL TAX SAVINGS DULY PROVIDED BY A MUNICIPAL CORPORATION
OR SCHOOL DISTRICT PURSUANT TO THIS SECTION SHALL BE A STATE CHARGE,
WHICH SHALL BE PAYABLE AS PROVIDED IN THIS SUBDIVISION.
(B) A MUNICIPAL CORPORATION OR SCHOOL DISTRICT SEEKING STATE AID
PURSUANT TO THIS SUBDIVISION SHALL SUBMIT AN APPLICATION THEREFOR TO THE
COMMISSIONER. THE APPLICATION SHALL INCLUDE SUCH INFORMATION AS THE
COMMISSIONER SHALL REQUIRE.
(C) UPON APPROVING AN APPLICATION FOR STATE AID PURSUANT TO THIS
SUBDIVISION, THE COMMISSIONER SHALL COMPUTE AND CERTIFY THE AMOUNT PAYA-
BLE TO A MUNICIPAL CORPORATION OR SCHOOL DISTRICT. SUCH STATE AID SHALL
BE PAYABLE UPON THE AUDIT AND WARRANT OF THE STATE COMPTROLLER FROM
VOUCHERS CERTIFIED AND APPROVED BY THE COMMISSIONER.
S 5. This act shall take effect immediately and shall apply to tax
years beginning on or after the first of March next succeeding such
effective date; or in the case of municipal taxing authorities which
have a taxable status date other than March first established by char-
ter, this act shall take effect with the first establishment of the
taxable status of real property in the municipality next succeeding the
effective date of this act.