Assembly Bill A7189

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  7189--A
 
                        2017-2018 Regular Sessions
 
                           I N  A S S E M B L Y
 
                              April 12, 2017
                                ___________
 
 Introduced  by M. of A. JENNE -- read once and referred to the Committee
   on Economic Development -- committee discharged, bill amended, ordered
   reprinted as amended and recommitted to said committee
 
 AN ACT to amend the  economic  development  law  and  the  tax  law,  in
   relation  to  granting eligibility for the economic transformation and
   facility redevelopment program tax credit to certain state psychiatric
   centers with decommissioned or surplus land
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  (e)  of  subdivision  4  of section 400 of the
 economic development law, as added by section 1 of part QQ of chapter 60
 of the laws of 2016, is amended to read as follows:
   (e) provided, however that the requirement in paragraph  (a)  of  this
 subdivision  that the participant be a new business shall not apply to a
 closed facility as defined in paragraph (d) OR (E) of subdivision eleven
 of this section.
   § 2. Paragraph (d) of subdivision 10 of section 400  of  the  economic
 development  law,  as added by section 2 of part QQ of chapter 60 of the
 laws of 2016, is amended to read as follows:
   (d) Notwithstanding paragraph (b) of this subdivision, with respect to
 a closed facility described in paragraph (d) OR (E) of subdivision elev-
 en of this section, the economic transformation area shall consist  only
 of the acreage of the closed facility.
   §  3.  Paragraph  (d) of subdivision 11 of section 400 of the economic
 development law, as added by section 3 of part QQ of chapter 60  of  the
 laws  of  2016,  is  amended and a new paragraph (e) is added to read as
 follows:
   (d) a facility previously owned by the state, and when  operated,  was
 operated  as  a  psychiatric  facility  pursuant  to section 7.17 of the
 mental hygiene law, and located within the metropolitan commuter  trans-
 portation district but outside New York city[.]; OR

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

                                                            LBD08300-02-7

 A. 7189--A                          2
 
   (E)  A FACILITY THAT CURRENTLY OPERATES AS A PSYCHIATRIC CENTER PURSU-
 ANT TO SECTION 7.17 OF THE MENTAL HYGIENE LAW,  WHERE  AT  LEAST  THREE-
 FIFTHS  OF THE TOTAL ACREAGE OF SUCH FACILITY HAS BEEN DESIGNATED BY THE
 COMMISSIONER OF MENTAL HEALTH AS DECOMMISSIONED  OR  SURPLUS,  INCLUDING
 THE BUILDINGS THEREON.
   §  4. Subdivision 1 of section 402 of the economic development law, as
 amended by section 4 of part QQ of chapter 60 of the laws  of  2016,  is
 amended to read as follows:
   1. A business entity must submit a completed application as prescribed
 by  the  commissioner  by  the later of (a) the date that is three years
 after the date of the closure of the  closed  facility  located  in  the
 economic  transformation area in which the business entity would operate
 or (b) January first, two thousand fifteen.  Provided  however,  in  the
 case  of a closed facility described in paragraph (d) OR (E) of subdivi-
 sion eleven of section four hundred of this article, a  business  entity
 must submit a completed application as prescribed by the commissioner by
 September first, two thousand [sixteen] SEVENTEEN.
   §  5.  Paragraph 1 of subdivision (h) of section 35 of the tax law, as
 amended by section 5 of part QQ of chapter 60 of the laws  of  2016,  is
 amended to read as follows:
   (1)  A  taxpayer which meets the requirements in this section shall be
 eligible to claim a credit on qualified investments with respect to  the
 project  for  which the certificate of eligibility is issued. The credit
 shall be equal to ten percent of the cost or  other  basis  for  federal
 income  tax  purposes  of the qualified investment at a closed facility.
 Provided however, for purposes of this credit only, a taxpayer  that  is
 the  owner  of  a  closed  facility described in paragraph (d) OR (E) of
 subdivision eleven of section four hundred of the  economic  development
 law, shall be allowed to include in its cost or other basis of the qual-
 ified  investment  at the closed facility, any demolition costs incurred
 at such closed facility. Those demolition costs shall be limited to  the
 following  costs:  (i) asbestos removal costs, (ii) rental of demolition
 equipment, (iii) personnel costs to operate  the  demolition  equipment,
 (iv)  costs to remove and dispose of demolition debris, (v) the costs of
 any permits, licenses and insurance necessary for  the  demolition.  The
 total  amount  of investment tax credit allowed for all eligible partic-
 ipants under this subdivision for qualified investments located at  each
 closed facility shall not exceed eight million dollars. The credit shall
 be  equal  to  six percent of the cost or other basis for federal income
 tax purposes for all other qualified investments, but the credit allowed
 to a taxpayer may not exceed four million dollars.
   § 6. This act shall take effect immediately, provided that the  amend-
 ments  to  sections 400 and 402 of the economic development law, made by
 sections one, two, three and four of this act, and section 35 of the tax
 law, made by section five of this act, shall not affect  the  expiration
 and repeal of such sections and shall be deemed repealed therewith.