S T A T E   O F   N E W   Y O R K
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                                 7015--A

                            I N  S E N A T E

                             March 16, 2016
                               ___________

Introduced by Sen. PANEPINTO -- 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 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.
              

                                                           LBD14600-05-6

S. 7015--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

S. 7015--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.