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

                                  10252

                          I N  A S S E M B L Y

                              May 18, 2016
                               ___________

Introduced  by  M.  of  A.  BRAUNSTEIN  -- read once and referred to the
  Committee on Real Property Taxation

AN ACT to amend the real property tax law and the administrative code of
  the city of New York, in relation to increasing the  average  assessed
  value threshold

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

  Section 1. Subparagraph (i) of paragraph  (b)  of  subdivision  17  of
section  489  of the real property tax law, as added by chapter 4 of the
laws of 2013, is amended to read as follows:
  (i) except as otherwise provided  in  this  section  with  respect  to
multiple  dwellings,  buildings and structures owned and operated either
by limited-profit housing companies established pursuant to article  two
of  the  private  housing  finance law or redevelopment companies estab-
lished pursuant to article five of the private housing finance  law,  or
with  respect  to  a group of multiple dwellings that was developed as a
planned community  and  that  is  owned  as  two  separate  condominiums
containing  a total of ten thousand or more dwelling units, any multiple
dwelling, building or structure that is owned  as  a  cooperative  or  a
condominium  that  has an average assessed value of [thirty] FIFTY thou-
sand dollars or more per dwelling unit shall only be eligible  for  such
benefits  if  the  alterations  or  improvements for which such multiple
dwelling, building or structure has applied for the benefits pursuant to
this section were carried out with substantial governmental  assistance;
and
  S  2.  Subparagraph  (ii)  of  paragraph 3 of subdivision d of section
11-243 of the administrative code of the city of New York, as amended by
local law number 49 of the city of  New  York  for  the  year  1993,  is
amended to read as follows:
  (ii)  is  owned  as  a condominium and is occupied as the residence or
home of three or more  families  living  independently  of  each  other;
provided,  however,  that, in addition to all other conditions of eligi-
bility for the benefits of this section, except for  multiple  dwellings
in  which units have been newly created by substantial rehabilitation of

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

                                                           LBD11320-04-6

A. 10252                            2

vacant buildings or conversions of non-residential buildings, the avail-
ability of benefits under this  section  for  such  multiple  dwellings,
buildings  or  structures  shall  be  conditioned  on the following: (a)
alterations  or  improvements  to  at least one building-wide system are
part of the application for benefits, and (b) (i) the assessed valuation
of such multiple dwelling, building, or structure, including land, shall
not exceed an average of [thirty] FIFTY thousand  dollars  per  dwelling
unit at the time of the commencement of the alterations or improvements,
and  (ii)  during the three years immediately preceding the commencement
of the alterations or improvements the average per room  sale  price  of
the  dwelling  units or the stock allocated to such dwelling units shall
have been no greater than thirty-five percent of  the  maximum  mortgage
amount  for  a  single  family home eligible for purchase by the Federal
National Mortgage Association; provided that if less than ten percent of
the dwelling units or an amount of stock less than the amount  allocable
to  ten  percent  of such dwelling units was not transferred during such
preceding three year period, eligibility for benefits  shall  be  condi-
tioned  upon  the  multiple  dwelling,  building, or structure having an
assessed valuation per dwelling unit of no more than  twenty-five  thou-
sand  dollars  at  the  time  of  the commencement of the alterations or
improvements. Provided, further, that such benefits shall  be  available
only  for  alterations or improvements commenced on or after June first,
nineteen hundred eighty-six.
  S 3. The opening paragraph  of  paragraph  (a)  of  subdivision  1  of
section  489  of  the real property tax law, as amended by section 19 of
part A of chapter 20 of the laws of 2015, is amended to read as follows:
  Any city to which the multiple  dwelling  law  is  applicable,  acting
through  its local legislative body or other governing agency, is hereby
authorized and empowered, to and including January first,  two  thousand
[nineteen]  TWENTY-ONE,  to  adopt  and  amend  local laws or ordinances
providing that any increase in assessed valuation of real property shall
be exempt from taxation for local purposes, as provided herein,  to  the
extent such increase results from:
  S  4.  The  closing  paragraph  of  subparagraph 6 of paragraph (a) of
subdivision 1 of section 489 of the real property tax law, as amended by
section 20 of part A of chapter 20 of the laws of 2015,  is  amended  to
read as follows:
  Such conversion, alterations or improvements shall be completed within
thirty  months after the date on which same shall be started except that
such thirty month limitation shall not apply to conversions of  residen-
tial  units  which are registered with the loft board in accordance with
article seven-C of the multiple dwelling law  pursuant  to  subparagraph
one  of  this  paragraph.  Notwithstanding  the foregoing, a sixty month
period for completion shall be available for alterations or improvements
undertaken by a housing development fund company organized  pursuant  to
article eleven of the private housing finance law, which are carried out
with  the  substantial assistance of grants, loans or subsidies from any
federal, state or local governmental agency or instrumentality or  which
are  carried out in a property transferred from such city if alterations
and improvements are completed within seven  years  after  the  date  of
transfer.  In  addition, the local housing agency is hereby empowered to
grant an extension of the period of completion for any  project  carried
out  with  the substantial assistance of grants, loans or subsidies from
any federal, state or local governmental agency or  instrumentality,  if
such  alterations or improvements are completed within sixty months from
commencement of construction. Provided, further, that  such  conversion,

A. 10252                            3

alterations  or  improvements  shall  in any event be completed prior to
June  thirtieth,  two  thousand  [nineteen]  TWENTY-ONE.  Exemption  for
conversions,  alterations  or improvements pursuant to subparagraph one,
two,  three or four of this paragraph shall continue for a period not to
exceed fourteen years and begin no sooner than the first  quarterly  tax
bill  immediately  following  the  completion of such conversion, alter-
ations or improvements. Exemption for alterations or improvements pursu-
ant to this subparagraph or subparagraph five of  this  paragraph  shall
continue for a period not to exceed thirty-four years and shall begin no
sooner  than  the  first  quarterly  tax  bill immediately following the
completion of such alterations or improvements. Such exemption shall  be
equal  to the increase in the valuation which is subject to exemption in
full or proportionally under this subdivision for ten or  thirty  years,
whichever  is  applicable. After such period of time, the amount of such
exempted assessed valuation of such improvements  shall  be  reduced  by
twenty  percent  in each succeeding year until the assessed value of the
improvements are fully taxable.   Provided, however, exemption  for  any
conversion,  alterations  or  improvements  which are aided by a loan or
grant under article eight, eight-A, eleven, twelve, fifteen  or  twenty-
two of the private housing finance law, section six hundred ninety-six-a
or  section ninety-nine-h of the general municipal law, or section three
hundred twelve of the housing act of  nineteen  hundred  sixty-four  (42
U.S.C.A.  1452b),  or  the Cranston-Gonzalez national affordable housing
act (42 U.S.C.A. 12701 et.  seq.), or started after July first, nineteen
hundred eighty-three by a housing  development  fund  company  organized
pursuant  to article eleven of the private housing finance law which are
carried out with the substantial assistance of grants, loans  or  subsi-
dies  from any federal, state or local governmental agency or instrumen-
tality or which are carried out in a property transferred from any  city
and  where alterations and improvements are completed within seven years
after the date of transfer may commence at  the  beginning  of  any  tax
quarter  subsequent  to  the  start  of  such conversion, alterations or
improvements and prior to the completion of such conversion, alterations
or improvements.
  S 5. This act shall take effect immediately.