Assembly Bill A9587A

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

                                 9587--A

                          I N  A S S E M B L Y

                             March 21, 2016
                               ___________

Introduced  by  M.  of  A.  SCHIMMINGER -- read once and referred to the
  Committee on Real Property  Taxation  --  committee  discharged,  bill
  amended,  ordered reprinted as amended and recommitted to said commit-
  tee

AN ACT to amend the real property tax law, in  relation  to  residential
  investment exemptions in certain cities

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

  Section 1. The real property tax  law  is  amended  by  adding  a  new
section 485-s to read as follows:
  S  485-S.  RESIDENTIAL INVESTMENT EXEMPTION; CERTAIN CITIES. 1.  RESI-
DENTIAL REAL PROPERTY CONSTRUCTED ON OR AFTER THE FIRST DAY OF JULY, TWO
THOUSAND SIXTEEN IN CITIES WITH A POPULATION OF NOT  LESS  THAN  FIFTEEN
THOUSAND  ONE  HUNDRED  AND  NOT MORE THAN FIFTEEN THOUSAND TWO HUNDRED,
DETERMINED IN ACCORDANCE WITH THE LATEST DECENNIAL CENSUS, MAY BE EXEMPT
FROM CITY TAXATION AND SPECIAL AD VALOREM LEVIES  AS  PROVIDED  IN  THIS
SECTION, PROVIDED SUCH CITY HAS PASSED A LOCAL LAW, PROVIDING THEREFOR.
  2. (A) (I) SUCH REAL PROPERTY SHALL BE EXEMPT FOR A PERIOD OF ONE YEAR
TO  THE  EXTENT  OF  FIFTY  PER CENTUM OF THE INCREASE IN ASSESSED VALUE
THEREOF ATTRIBUTABLE TO SUCH CONSTRUCTION AND FOR AN  ADDITIONAL  PERIOD
OF NINE YEARS PROVIDED, HOWEVER, THAT THE EXTENT OF SUCH EXEMPTION SHALL
BE  DECREASED BY FIVE PER CENTUM EACH YEAR DURING SUCH ADDITIONAL PERIOD
OF NINE YEARS AND SUCH EXEMPTION SHALL BE COMPUTED WITH RESPECT  TO  THE
"EXEMPTION  BASE".  THE EXEMPTION BASE SHALL BE THE INCREASE IN ASSESSED
VALUE AS DETERMINED IN THE INITIAL YEAR OF SUCH TEN YEAR PERIOD  FOLLOW-
ING THE FILING OF AN ORIGINAL APPLICATION, EXCEPT AS PROVIDED IN SUBPAR-
AGRAPH (II) OF THIS PARAGRAPH.
  (II)  IN  ANY YEAR IN WHICH A CHANGE IN LEVEL OF ASSESSMENT OF FIFTEEN
PERCENT OR MORE IS CERTIFIED FOR A FINAL ASSESSMENT ROLL PURSUANT TO THE
RULES OF THE COMMISSIONER, THE EXEMPTION BASE SHALL BE MULTIPLIED  BY  A
FRACTION,  THE  NUMERATOR  OF WHICH SHALL BE THE TOTAL ASSESSED VALUE OF
THE PARCEL ON SUCH FINAL ASSESSMENT ROLL (AFTER ACCOUNTING FOR ANY PHYS-
ICAL OR QUANTITY CHANGES TO THE PARCEL SINCE THE  IMMEDIATELY  PRECEDING
ASSESSMENT  ROLL),  AND  THE  DENOMINATOR  OF  WHICH  SHALL BE THE TOTAL

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

                                                           LBD14600-04-6

A. 9587--A                          2

ASSESSED VALUE OF THE PARCEL ON THE IMMEDIATELY PRECEDING FINAL  ASSESS-
MENT  ROLL.  THE  RESULT  SHALL BE THE NEW EXEMPTION BASE. THE EXEMPTION
SHALL THEREUPON BE RECOMPUTED TO TAKE INTO  ACCOUNT  THE  NEW  EXEMPTION
BASE,  NOTWITHSTANDING  THE  FACT THAT THE ASSESSOR RECEIVES THE CERTIF-
ICATION OF THE CHANGE IN  LEVEL  OF  ASSESSMENT  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. THE ASSESSOR SHALL GIVE
WRITTEN NOTICE OF SUCH RECOMPUTED EXEMPTION TO THE PROPERTY  OWNER,  WHO
MAY,  IF HE OR SHE BELIEVES THAT THE EXEMPTION WAS RECOMPUTED INCORRECT-
LY, APPLY FOR A CORRECTION IN THE MANNER  PROVIDED  BY  TITLE  THREE  OF
ARTICLE FIVE OF THIS CHAPTER FOR THE CORRECTION OF CLERICAL ERRORS.
  (III) THE FOLLOWING TABLE SHALL ILLUSTRATE THE COMPUTATION OF THE CITY
TAX EXEMPTION:

      YEAR OF EXEMPTION                      PERCENTAGE OF EXEMPTION
              1                                        50
              2                                        45
              3                                        40
              4                                        35
              5                                        30
              6                                        25
              7                                        20
              8                                        15
              9                                        10
             10                                         5

  (B) NO SUCH EXEMPTION SHALL BE GRANTED UNLESS:
  (I) SUCH CONSTRUCTION WAS COMMENCED ON OR AFTER THE FIRST DAY OF JULY,
TWO  THOUSAND  SIXTEEN  OR  SUCH LATER DATE AS MAY BE SPECIFIED BY LOCAL
LAW;
  (II) THE RESIDENTIAL REAL PROPERTY IS SITUATE IN A CITY WITH  A  POPU-
LATION  OF  NOT LESS THAN FIFTEEN THOUSAND ONE HUNDRED AND NOT MORE THAN
FIFTEEN THOUSAND TWO HUNDRED, DETERMINED IN ACCORDANCE WITH  THE  LATEST
DECENNIAL CENSUS;
  (III)  THE  COST OF SUCH CONSTRUCTION EXCEEDS THE SUM OF SEVENTY THOU-
SAND DOLLARS; AND
  (IV) SUCH CONSTRUCTION IS COMPLETED AS MAY BE EVIDENCED BY  A  CERTIF-
ICATE OF OCCUPANCY OR OTHER APPROPRIATE DOCUMENTATION AS PROVIDED BY THE
OWNER.
  (C)  FOR  PURPOSES  OF  THIS  SECTION  THE TERM CONSTRUCTION SHALL NOT
INCLUDE ORDINARY MAINTENANCE AND REPAIRS.
  3. SUCH EXEMPTION SHALL BE GRANTED ONLY UPON APPLICATION BY THE  OWNER
OF  SUCH  REAL  PROPERTY  ON A FORM PRESCRIBED BY THE COMMISSIONER. SUCH
APPLICATION SHALL BE FILED WITH THE ASSESSOR OF A CITY WITH A POPULATION
OF NOT LESS THAN FIFTEEN THOUSAND ONE HUNDRED AND NOT MORE THAN  FIFTEEN
THOUSAND TWO HUNDRED, DETERMINED IN ACCORDANCE WITH THE LATEST DECENNIAL
CENSUS,  ON  OR  BEFORE THE APPROPRIATE TAXABLE STATUS DATE OF SUCH CITY
AND WITHIN ONE YEAR FROM THE DATE OF COMPLETION OF SUCH CONSTRUCTION.
  4. IF THE ASSESSOR IS SATISFIED THAT THE APPLICANT IS ENTITLED  TO  AN
EXEMPTION PURSUANT TO THIS SECTION, HE OR SHE SHALL APPROVE THE APPLICA-
TION AND SUCH REAL PROPERTY SHALL THEREAFTER BE EXEMPT FROM TAXATION AND
SPECIAL  AD  VALOREM LEVIES BY A CITY WITH A POPULATION OF NOT LESS THAN

A. 9587--A                          3

FIFTEEN THOUSAND ONE HUNDRED AND NOT  MORE  THAN  FIFTEEN  THOUSAND  TWO
HUNDRED,  DETERMINED  IN ACCORDANCE WITH THE LATEST DECENNIAL CENSUS, AS
PROVIDED IN THIS SECTION 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  PROPERTY,  WITH THE AMOUNT OF THE EXEMPTION SHOWN IN A SEPARATE
COLUMN.
  5. THE PROVISIONS OF THIS SECTION SHALL APPLY TO REAL PROPERTY USED AS
THE PRIMARY RESIDENCE OF THE OWNER.
  6. IN THE EVENT THAT REAL PROPERTY GRANTED AN  EXEMPTION  PURSUANT  TO
THIS  SECTION  CEASES  TO  BE  USED PRIMARILY FOR ELIGIBLE PURPOSES, THE
EXEMPTION GRANTED PURSUANT TO THIS SECTION SHALL CEASE.
  7. ANY CITY WHICH ADOPTS AN EXEMPTION PURSUANT TO THIS  SECTION  SHALL
CAUSE  INFORMATION  RELATING  TO  THE  AVAILABILITY  OF  SUCH EXEMPTION,
INCLUDING REQUIREMENTS AND APPLICATION PROCEDURES, TO BE ATTACHED TO ALL
BUILDING PERMIT APPLICATIONS AND COPIES OF  SUCH  INFORMATION  SHALL  BE
POSTED  IN  A  CONSPICUOUS  LOCATION IN ANY OFFICE OR OFFICES WHERE SUCH
PERMITS AND APPLICATIONS FOR PERMITS ARE ISSUED AND PROCESSED.
  S 2. This act shall take effect immediately.