S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  1203--B
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 11, 2017
                                ___________
 
 Introduced by M. of A. BRAUNSTEIN, BENEDETTO, MOSLEY, JAFFEE, DenDEKKER,
   COLTON,  O'DONNELL  --  Multi-Sponsored  by  -- M. of A. COOK, HIKIND,
   LALOR, RIVERA -- read once and referred to the Committee on Real Prop-
   erty Taxation -- committee discharged, bill amended, ordered reprinted
   as amended and recommitted to said committee  --  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 administrative code of the city of New York and the
   real property tax law, in relation to increasing the average  assessed
   value  threshold;  and to amend the real property tax law, in relation
   to the eligibility for J-51 tax abatements to reflect cost  of  living
   adjustments
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. 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
 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
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07089-05-8

 A. 1203--B                          2
 
 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.
   § 2. 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-TWO,  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:
   §  3.  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,
 alterations  or  improvements  shall  in any event be completed prior to
 June  thirtieth,  two  thousand  [nineteen]  TWENTY-TWO.  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-

 A. 1203--B                          3
 
 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.
   §  4.  Subparagraph (iv) of paragraph (c) of subdivision 17 of section
 489 of the real property tax law, as added by chapter 388 of the laws of
 2016, is amended to read as follows:
   (iv) Notwithstanding anything to the contrary  contained  herein,  the
 assessed  value  limitation  shall  not at any time exceed [thirty-five]
 FIFTY thousand dollars.
   § 5. This act shall take effect immediately.