S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5081
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 7, 2019
                                ___________
 
 Introduced  by  M.  of  A.  DAVILA,  RAMOS,  WEPRIN, RIVERA, RICHARDSON,
   WILLIAMS, WALKER, BARRON, PRETLOW, ARROYO,  PICHARDO,  SIMON,  COLTON,
   CRESPO,  D'URSO,  DICKENS,  DE LA ROSA,  GLICK, COOK, MOSLEY -- Multi-
   Sponsored by -- M. of A. THIELE --  read  once  and  referred  to  the
   Committee on Real Property Taxation

 AN ACT to amend the real property tax law, in relation to tax exemptions
   for  community land trusts and income-restricted homeownership proper-
   ties
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Section  420-a of the real property tax law is amended by
 adding a new subdivision 17 to read as follows:
   17. REAL PROPERTY OWNED BY A HOUSING DEVELOPMENT FUND  COMPANY  FORMED
 PURSUANT  TO  ARTICLE  ELEVEN  OF  THE  PRIVATE  HOUSING FINANCE LAW AND
 SECTION FOUR HUNDRED TWO OF THE  NOT-FOR-PROFIT  CORPORATION  LAW  WHICH
 OPERATES  AS  A  COMMUNITY  LAND TRUST AS DEFINED IN SECTION TWO HUNDRED
 THIRTEEN OF THE  HOUSING  AND  COMMUNITY  DEVELOPMENT  ACT  OF  NINETEEN
 HUNDRED  NINETY-TWO,  EXCLUSIVELY FOR THE BENEFIT OF PERSONS OR FAMILIES
 OF LOW INCOME AS DEFINED IN SUBDIVISION TEN OF  SECTION  TWELVE  OF  THE
 PRIVATE  HOUSING FINANCE LAW, AND SEPARATELY ASSESSED IMPROVEMENTS OWNED
 BY THE RESIDENTS THEREOF, SHALL BE EXEMPT FROM TAXATION AND EXEMPT  FROM
 SPECIAL AD VALOREM LEVIES AND SPECIAL ASSESSMENTS TO THE EXTENT PROVIDED
 IN  SECTION  FOUR HUNDRED NINETY OF THIS CHAPTER. THE SUPERVISING AGENCY
 OF THE COMMUNITY LAND TRUST SHALL REQUIRE AN ANNUAL  CERTIFICATION  FROM
 THE COMMUNITY LAND TRUST THAT THE REAL PROPERTY LAND IS USED EXCLUSIVELY
 FOR  THE  BENEFIT  OF PERSONS OR FAMILIES OF LOW INCOME. THE SUPERVISING
 AGENCY MAY REQUIRE THE COMMUNITY LAND TRUST TO ENTER INTO  A  REGULATORY
 AGREEMENT,  WHICH  SHALL BE CO-TERMINUS WITH ANY GROUND LEASE GRANTED BY
 THE COMMUNITY LAND TRUST TO ANY QUALIFYING OWNER OF IMPROVEMENTS  THERE-
 ON.  NOTWITHSTANDING  THE  FOREGOING,  ANY  COMMUNITY  LAND TRUST FORMED
 PURSUANT TO SECTION FOUR HUNDRED TWO OF THE  NOT-FOR-PROFIT  CORPORATION
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD06368-01-9

 A. 5081                             2
 
 LAW  AND  WHICH  IS LOCATED IN A CITY WITH A POPULATION OF LESS THAN ONE
 MILLION SHALL ALSO BE ELIGIBLE FOR BENEFITS UNDER THIS SUBDIVISION.
   §  2.  Section 422 of the real property tax law is amended by adding a
 new subdivision 3 to read as follows:
   3. EXEMPTION OF INCOME-RESTRICTED HOMEOWNERSHIP PROPERTY,  INCOME-RES-
 TRICTED HOMEOWNERSHIP PROPERTY, INCLUDING BUT NOT LIMITED TO A SINGLE OR
 TWO-FAMILY  HOME  OR  MULTIPLE  DWELLING, WHICH IS OWNED BY AND OPERATED
 EXCLUSIVELY FOR THE BENEFIT OF PERSONS OR  FAMILIES  OF  LOW  INCOME  AS
 DEFINED  IN  SUBDIVISION  TEN  OF  SECTION TWELVE OF THE PRIVATE HOUSING
 FINANCE LAW AND IS SUBJECT TO THE TERMS OF A REGULATORY AGREEMENT WITH A
 SUPERVISING AGENCY, WHICH SHALL BE THE CITY OF NEW YORK  ACTING  BY  AND
 THROUGH  THE  DEPARTMENT  OF  HOUSING PRESERVATION AND DEVELOPMENT FOR A
 COMMUNITY LAND TRUST LOCATED IN THE CITY OF NEW YORK, OR  THE  NEW  YORK
 STATE  DIVISION  OF HOUSING AND COMMUNITY RENEWAL FOR ANY COMMUNITY LAND
 TRUST LOCATED OUTSIDE OF THE CITY OF NEW YORK, FOR A TERM  OF  AT  LEAST
 THIRTY  YEARS, OR IS LOCATED ON ANY COMMUNITY LAND TRUST FORMED PURSUANT
 TO SECTION FOUR HUNDRED TWO OF THE NOT-FOR-PROFIT  CORPORATION  LAW  AND
 WHICH  IS  LOCATED  IN  A CITY OR MUNICIPALITY WITH A POPULATION OF LESS
 THAN ONE MILLION WITHOUT A REGULATORY AGREEMENT WITH A SUPERVISING AGEN-
 CY, WHICH IS NOT OTHERWISE FULLY EXEMPT FROM TAXATION, SHALL  BE  EXEMPT
 FROM  TAXATION  AND  EXEMPT  FROM  SPECIAL AD VALOREM LEVIES AND SPECIAL
 ASSESSMENTS TO THE EXTENT PROVIDED IN SECTION  FOUR  HUNDRED  NINETY  OF
 THIS  ARTICLE,  PROVIDED  THAT  A  PORTION OF THE ASSESSED VALUE OF SUCH
 PROPERTY SHALL BE TAXABLE IN AN AMOUNT THAT WILL YIELD A TOTAL  TAX  FOR
 ALL  PURPOSES  AT  THE TAX RATES IN EFFECT ON THE TAXABLE STATUS DATE OF
 THE ASSESSMENT ROLL OR ROLLS ON WHICH SUCH  PROPERTY  IS  ASSESSED  THAT
 SHALL  NOT  EXCEED EITHER: (A) TWENTY PER CENTUM OF THE CARRYING CHARGES
 OF SUCH INCOME-RESTRICTED HOMEOWNERSHIP PROPERTY;  OR  (B)  THE  MAXIMUM
 RESALE  PRICE  OF THE SINGLE OR TWO-FAMILY HOME OR MULTIPLE DWELLING, AS
 REQUIRED BY EITHER A REGULATORY AGREEMENT WITH THE SUPERVISING AGENCY OR
 PURSUANT TO THE RESTRICTIONS SET FORTH IN THE  GROUND  LEASE  BETWEEN  A
 COMMUNITY  LAND TRUST AND THE OWNER OF SUCH SINGLE OR TWO-FAMILY HOME OR
 MULTIPLE DWELLING. THE TAXABLE ASSESSED VALUE OF ANY SINGLE OR TWO-FAMI-
 LY HOME OR MULTIPLE DWELLING WHICH IS SUBJECT TO TO TAX RATE BASED  UPON
 TWENTY  PER  CENTUM  OF  THE  CARRYING CHARGES IF SUCH INCOME-RESTRICTED
 HOMEOWNERSHIP PROPERTY SHALL BE REASSESSED UPON TRANSFER OR SALE OF SUCH
 INCOME-RESTRICTED HOMEOWNERSHIP PROPERTY.  IN THE EVENT SUCH INCOME-RES-
 TRICTED HOMEOWNERSHIP PROPERTY IS NOT TRANSFERRED OR SOLD FOR  A  PERIOD
 OF  TEN  YEARS  OR MORE, THE ASSESSOR IS HEREBY AUTHORIZED TO REVALUE OR
 UPDATE THE ASSESSMENT OF SUCH INCOME-RESTRICTED HOMEOWNERSHIP  PROPERTY.
 IF  THE  TOTAL  ASSESSED  VALUE  OF  THE  REAL  PROPERTY  FOR WHICH SUCH
 EXEMPTION HAS BEEN GRANTED INCREASES OR DECREASES BY  MORE  THAN  TWENTY
 PERCENT  AS  THE  RESULT  OF  A REVALUATION OR UPDATE OF ASSESSMENTS THE
 ASSESSOR SHALL INCREASE OR DECREASE THE AMOUNT OF THE  TAXABLE  ASSESSED
 VALUE  ON  THE ROLL FIRST REFLECTING SUCH CHANGE IN LEVEL OR REVALUATION
 BY MULTIPLYING THE AMOUNT OF SUCH TAXABLE ASSESSED VALUE BY  THE  CHANGE
 IN  LEVEL  OF  ASSESSMENT  FACTOR.  IF THE CHANGE IN LEVEL OF ASSESSMENT
 FACTOR IS DETERMINED AFTER THE VERIFICATION AND FILING OF THE ASSESSMENT
 ROLL, THE ASSESSOR SHALL CERTIFY THE AMOUNT OF EXEMPTION  AS  RECOMPUTED
 PURSUANT  TO  THIS  SUBDIVISION 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. ON THE ASSESSMENT ROLL NEXT FOLLOWING SUCH  REVALUATION  OR
 UPDATE THE TAXABLE ASSESSED VALUATION SHALL BE COMPUTED BASED ON THE TAX
 RATES  IN EFFECT ON THE TAXABLE STATUS DATE AS HEREINABOVE PROVIDED. THE
 DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL BE AUTHORIZED TO PROMUL-

 A. 5081                             3
 
 GATE SUITABLE RULES AND REGULATIONS TO CARRY OUT THE PROVISIONS OF  THIS
 SUBDIVISION.
   §  3.  This  act  shall take effect immediately and shall apply to all
 assessment rolls published after the date this act shall have  become  a
 law.