S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1288
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 17, 2023
                                ___________
 
 Introduced  by M. of A. WILLIAMS, OTIS, MILLER -- read once and referred
   to the Committee on Real Property Taxation
 
 AN ACT to amend the real property tax law, in relation to  property  tax
   exemptions for nonprofit organizations
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 16 of section 420-a of the  real  property  tax
 law,  as added by chapter 358 of the laws of 2018, is amended to read as
 follows:
   16. (a) (i) For the purposes of this  subdivision,  "municipal  corpo-
 ration"  shall  mean  a  county,  city, town, village or school district
 [which, after public hearing, adopts a local law,  ordinance  or  resol-
 ution,  providing that this subdivision shall be applicable to nonprofit
 organizations within its jurisdiction.  Such  local  law,  ordinance  or
 resolution  shall  apply to property transfers occurring on or after the
 effective date of such local law, ordinance or resolution.   A  copy  of
 such  local law, ordinance or resolution shall be filed with the commis-
 sioner].
   (ii) Where a nonprofit organization that meets the requirements for an
 exemption pursuant to this section, purchases property after the levy of
 taxes BUT PRIOR TO THE TAXABLE STATUS DATE APPLICABLE TO  THE  FOLLOWING
 YEAR'S  ASSESSMENT  ROLL, such nonprofit organization may[, if permitted
 by a local law, ordinance or resolution of the municipal corporation  in
 which  the  nonprofit  organization is located,] file an application for
 exemption with the assessor no later than the [time  specified  in  such
 local  law,  ordinance  or resolution] TAXABLE STATUS DATE APPLICABLE TO
 THE FOLLOWING YEAR'S ASSESSMENT ROLL; PROVIDED THAT  WHERE  A  NONPROFIT
 ORGANIZATION  THAT  MEETS  THE REQUIREMENTS FOR AN EXEMPTION PURSUANT TO
 THIS SECTION PURCHASED PROPERTY AFTER THE LEVY OF TAXES BUT PRIOR TO THE
 TAXABLE STATUS DATE APPLICABLE TO THE FOLLOWING YEAR'S  ASSESSMENT  ROLL
 IN  THE  YEARS  TWO THOUSAND NINETEEN, TWO THOUSAND TWENTY, TWO THOUSAND
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD05600-01-3
              

 A. 1288                             2
 
 TWENTY-ONE, TWO THOUSAND TWENTY-TWO OR TWO THOUSAND  TWENTY-THREE,  SUCH
 NONPROFIT  ORGANIZATION  MAY  FILE AN APPLICATION FOR EXEMPTION WITH THE
 ASSESSOR NO LATER THAN THE NEXT TAXABLE STATUS DATE FOLLOWING THE EFFEC-
 TIVE  DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND TWENTY-THREE WHICH
 AMENDED THIS SUBDIVISION.  The assessor shall make  a  determination  of
 whether  the  parcel would have qualified for exempt status on the [tax]
 ASSESSMENT roll on which the taxes were levied, had title to the  parcel
 been  in the name of the applicant on the taxable status date applicable
 to the [tax] ASSESSMENT  roll.  The  application  shall  be  on  a  form
 prescribed by the commissioner.  The assessor, no later than thirty days
 after  receipt  of such application, shall notify both the applicant and
 the board of assessment review, by  first  class  mail,  of  the  exempt
 amount,  if  any,  and  the right of the owner to a review of the exempt
 amount upon the filing of a written complaint. Such complaint  shall  be
 on  a  form  prescribed  by the commissioner and shall be filed with the
 board of assessment review within twenty days of  the  mailing  of  such
 notice.  If  no  complaint  is  received, the board of assessment review
 shall so notify the assessor and the exempt  amount  determined  by  the
 assessor  shall  be final. If the applicant files a complaint, the board
 of assessment review shall schedule a time and place for a hearing  with
 respect  thereto  no  later  than  thirty  days after the mailing of the
 notice by the assessor. The board of assessment review  shall  meet  and
 determine  the  exempt amount, and shall immediately notify the assessor
 and the applicant, by first class mail, of its determination. The amount
 of exemption determined pursuant to this paragraph shall be  subject  to
 review  as  provided in article seven of this chapter. Such a proceeding
 shall be commenced within thirty days of the mailing of  the  notice  of
 the  board  of  assessment  review  to the new owner as provided in this
 paragraph.
   (iii) Upon receipt of a determination of the exempt amount as provided
 in subparagraph (ii) of this paragraph, the assessor shall determine the
 pro rata exemption to be credited toward such  property  by  multiplying
 the  tax  rate  or tax rates for each municipal corporation which levied
 taxes, or for which taxes were levied, on the appropriate [tax]  ASSESS-
 MENT  roll  used  for the fiscal year or years during which the transfer
 occurred times the exempt amount, as determined in subparagraph (ii)  of
 this  paragraph, times the fraction of each fiscal year or years remain-
 ing subsequent to the transfer of title. The assessor shall  immediately
 transmit a statement of the pro rata exemption credit due to each munic-
 ipal  corporation  which  levied taxes or for which taxes were levied on
 the [tax] ASSESSMENT roll used for the fiscal year or years during which
 the transfer occurred and to the applicant.
   (iv) Each municipal corporation which  receives  notice  of  pro  rata
 exemption  credits  pursuant to this subdivision shall include an appro-
 priation in its budget for the next fiscal year equal to  the  aggregate
 amount  of  such  credits  to  be applied in that fiscal year.   Where a
 parcel, the owner of which is entitled to a pro rata  exemption  credit,
 is subject to taxation in said next fiscal year, the receiver or collec-
 tor  shall  apply  the credit to reduce the amount of taxes owed for the
 parcel in such fiscal year. Pro rata exemption credits in excess of  the
 amount of taxes, if any, owed for the parcel shall be paid by the treas-
 urer of a municipal corporation which levies such taxes for or on behalf
 of  the municipal corporation to all owners of property entitled to such
 credits within thirty days of the expiration of the warrant  to  collect
 taxes in said next fiscal year. Notwithstanding the foregoing, where the
 municipal  corporation  has  been reimbursed by another municipal corpo-
 A. 1288                             3
 
 ration for the tax credit to be paid  to  the  owner  pursuant  to  this
 subdivision,  such  credit  shall  be paid to such municipal corporation
 instead of such owner.
   (b)  (i)  Notwithstanding  the  provisions  of  this  section, where a
 nonprofit organization that meets  the  requirements  for  an  exemption
 pursuant  to  this  section, purchases property after the taxable status
 date but prior to the levy of taxes, such nonprofit  organization  may[,
 if  permitted  by  a local law, ordinance or resolution of the municipal
 corporation in which the nonprofit organization  is  located,]  file  an
 application  for  an  exemption with the assessor [within thirty days of
 the transfer of title to such nonprofit organization] NO LATER THAN  THE
 TAXABLE  STATUS DATE APPLICABLE TO THE FOLLOWING YEAR'S ASSESSMENT ROLL;
 PROVIDED THAT WHERE A NONPROFIT ORGANIZATION THAT MEETS THE REQUIREMENTS
 FOR AN EXEMPTION PURSUANT TO THIS SECTION PURCHASED PROPERTY  AFTER  THE
 TAXABLE  STATUS  DATE  BUT  PRIOR  TO THE LEVY OF TAXES IN THE YEARS TWO
 THOUSAND NINETEEN, TWO THOUSAND TWENTY,  TWO  THOUSAND  TWENTY-ONE,  TWO
 THOUSAND  TWENTY-TWO OR TWO THOUSAND TWENTY-THREE, SUCH NONPROFIT ORGAN-
 IZATION MAY FILE AN APPLICATION FOR EXEMPTION WITH THE ASSESSOR NO LATER
 THAN THE NEXT TAXABLE STATUS DATE FOLLOWING THE EFFECTIVE  DATE  OF  THE
 CHAPTER  OF  THE  LAWS  OF  TWO THOUSAND TWENTY-THREE WHICH AMENDED THIS
 SUBDIVISION. The assessor shall make a determination within thirty  days
 after receipt of such application of whether the applicant would qualify
 for  an  exemption  pursuant  to  this section on the assessment roll if
 title had been in the name of the applicant on the taxable  status  date
 applicable  to  such assessment roll. The application shall be made on a
 form prescribed by the commissioner.
   (ii) If the assessor's determination is made prior to  the  filing  of
 the  tentative  assessment  roll,  the  assessor  shall enter the exempt
 amount, if any, on the tentative assessment roll and,  within  ten  days
 after  filing  such roll, notify the applicant of the approval or denial
 of such exemption, the exempt amount, if any, and the applicant's  right
 to review by the board of assessment review.
   (iii)  If the assessor's determination is made after the filing of the
 tentative assessment roll, the assessor  shall  petition  the  board  of
 assessment  review  to correct the tentative or final assessment roll in
 the manner provided in title three of article five of this chapter, with
 respect to unlawful entries, in the case of wholly exempt  parcels,  and
 with  respect  of  clerical  errors,  in  the  case  of partially exempt
 parcels, if the assessor determines that an exemption should be  granted
 and,  within  ten  days  of  petitioning the board of assessment review,
 notify the applicant of the approval or denial of  such  exemption,  the
 amount  of such exemption, if any, and the applicant's right to adminis-
 trative or judicial review of such  determination  pursuant  to  article
 five or seven of this chapter, respectively.
   (c)  If, for any reason, a determination to exempt property from taxa-
 tion as provided in paragraph (b) of this subdivision is not entered  on
 the  final  assessment  roll,  the  assessor shall petition the board of
 assessment review to correct the final assessment roll.
   (d) If, for any reason, the pro rata tax credit as provided  in  para-
 graph  (a) of this subdivision is not extended against the [tax] ASSESS-
 MENT roll immediately succeeding the fiscal year during which the trans-
 fer occurred,  the  assessor  shall  immediately  notify  the  municipal
 corporation  which  levied the tax or for which the taxes were levied of
 the amount of pro rata exemption credits for  the  year  in  which  such
 transfer  occurred. Such municipal corporation shall proceed as provided
 in subparagraph (iv) of paragraph (a) of this subdivision.
 A. 1288                             4
 
   (e) If, for any reason, a determination to exempt property from  taxa-
 tion  as provided in paragraph (b) of this subdivision is not entered on
 the [tax] ASSESSMENT roll for the year immediately succeeding the fiscal
 year during which the transfer occurred, the  assessor  shall  determine
 the  pro  rata  tax  exemption  credit for such [tax] ASSESSMENT roll by
 multiplying the tax rate or tax rates  for  each  municipal  corporation
 which  levied  taxes  or  for  which  taxes were levied times the exempt
 amount and shall immediately notify such municipal corporation or corpo-
 rations of the pro rata exemption  credits  for  such  [tax]  ASSESSMENT
 roll. Such municipal corporation shall add such pro rata exemption cred-
 its  for such property to any outstanding pro rata exemption amounts and
 proceed as provided in subparagraph (iv) of paragraph (a) of this subdi-
 vision.
   § 2. Subdivision 8 of section 420-b of the real property tax  law,  as
 added by chapter 358 of the laws of 2018, is amended to read as follows:
   8.  (a)  (i)  For  the purposes of this subdivision, "municipal corpo-
 ration" shall mean a county, city,  town,  village  or  school  district
 [which,  after  public  hearing, adopts a local law, ordinance or resol-
 ution, providing that this subdivision shall be applicable to  nonprofit
 organizations  within  its  jurisdiction.  Such  local law, ordinance or
 resolution shall apply to property transfers occurring on or  after  the
 effective  date  of  such local law, ordinance or resolution.  A copy of
 such local law, ordinance or resolution shall be filed with the  commis-
 sioner].
   (ii) Where a nonprofit organization that meets the requirements for an
 exemption pursuant to this section, purchases property after the levy of
 taxes  BUT  PRIOR TO THE TAXABLE STATUS DATE APPLICABLE TO THE FOLLOWING
 YEAR'S ASSESSMENT  ROLL,  such  nonprofit  organization  may  file[,  if
 permitted  by  a  local  law,  ordinance  or resolution of the municipal
 corporation in which the nonprofit organization is located,] an applica-
 tion for exemption with the assessor no later than the  [time  specified
 in such local law, ordinance or resolution] TAXABLE STATUS DATE APPLICA-
 BLE  TO  THE  FOLLOWING  YEAR'S  ASSESSMENT  ROLL; PROVIDED THAT WHERE A
 NONPROFIT ORGANIZATION THAT MEETS  THE  REQUIREMENTS  FOR  AN  EXEMPTION
 PURSUANT  TO THIS SECTION PURCHASED PROPERTY AFTER THE LEVY OF TAXES BUT
 PRIOR TO THE TAXABLE STATUS DATE  APPLICABLE  TO  THE  FOLLOWING  YEAR'S
 ASSESSMENT ROLL IN THE YEARS TWO THOUSAND NINETEEN, TWO THOUSAND TWENTY,
 TWO  THOUSAND  TWENTY-ONE, TWO THOUSAND TWENTY-TWO OR TWO THOUSAND TWEN-
 TY-THREE, SUCH  NONPROFIT  ORGANIZATION  MAY  FILE  AN  APPLICATION  FOR
 EXEMPTION  WITH  THE ASSESSOR NO LATER THAN THE NEXT TAXABLE STATUS DATE
 FOLLOWING THE EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF TWO  THOUSAND
 TWENTY-THREE  WHICH AMENDED THIS SUBDIVISION.  The assessor shall make a
 determination of whether the parcel  would  have  qualified  for  exempt
 status  on the [tax] ASSESSMENT roll on which the taxes were levied, had
 title to the parcel been in the name of the  applicant  on  the  taxable
 status  date  applicable  to  the [tax] ASSESSMENT roll. The application
 shall be on a form prescribed by  the  commissioner.  The  assessor,  no
 later  than  thirty days after receipt of such application, shall notify
 both the applicant and the board of assessment review,  by  first  class
 mail,  of  the  exempt  amount,  if any, and the right of the owner to a
 review of the exempt amount upon the filing of a written complaint. Such
 complaint shall be on a form prescribed by the commissioner and shall be
 filed with the board of assessment review  within  twenty  days  of  the
 mailing  of  such  notice.  If  no  complaint  is received, the board of
 assessment review shall so notify the assessor  and  the  exempt  amount
 determined  by  the  assessor  shall  be final. If the applicant files a
 A. 1288                             5
 
 complaint, the board of assessment review  shall  schedule  a  time  and
 place for a hearing with respect thereto no later than thirty days after
 the  mailing  of  the  notice  by  the assessor. The board of assessment
 review shall meet and determine the exempt amount, and shall immediately
 notify  the  assessor  and  the  applicant,  by first class mail, of its
 determination. The amount of exemption determined pursuant to this para-
 graph shall be subject to review as provided in article  seven  of  this
 chapter.  Such a proceeding shall be commenced within thirty days of the
 mailing of the notice of the board of assessment review to the new owner
 as provided in this paragraph.
   (iii) Upon receipt of a determination of the exempt amount as provided
 in subparagraph (ii) of this paragraph, the assessor shall determine the
 pro rata exemption to be credited toward such  property  by  multiplying
 the  tax  rate  or tax rates for each municipal corporation which levied
 taxes, or for which taxes were levied, on the appropriate [tax]  ASSESS-
 MENT  roll  used  for the fiscal year or years during which the transfer
 occurred times the exempt amount, as determined in subparagraph (ii)  of
 this  paragraph, times the fraction of each fiscal year or years remain-
 ing subsequent to the transfer of title. The assessor shall  immediately
 transmit a statement of the pro rata exemption credit due to each munic-
 ipal  corporation  which  levied taxes or for which taxes were levied on
 the [tax] ASSESSMENT roll used for the fiscal year or years during which
 the transfer occurred and to the applicant.
   (iv) Each municipal corporation which  receives  notice  of  pro  rata
 exemption  credits  pursuant to this subdivision shall include an appro-
 priation in its budget for the next fiscal year equal to  the  aggregate
 amount  of  such  credits  to  be applied in that fiscal year.   Where a
 parcel, the owner of which is entitled to a pro rata  exemption  credit,
 is subject to taxation in said next fiscal year, the receiver or collec-
 tor  shall  apply  the credit to reduce the amount of taxes owed for the
 parcel in such fiscal year. Pro rata exemption credits in excess of  the
 amount of taxes, if any, owed for the parcel shall be paid by the treas-
 urer of a municipal corporation which levies such taxes for or on behalf
 of  the municipal corporation to all owners of property entitled to such
 credits within thirty days of the expiration of the warrant  to  collect
 taxes in said next fiscal year. Notwithstanding the foregoing, where the
 municipal  corporation  has  been reimbursed by another municipal corpo-
 ration for the tax credit to be paid  to  the  owner  pursuant  to  this
 subdivision,  such  credit  shall  be paid to such municipal corporation
 instead of such owner.
   (b) (i) Notwithstanding  the  provisions  of  this  section,  where  a
 nonprofit  organization  that  meets  the  requirements for an exemption
 pursuant to this section, purchases property after  the  taxable  status
 date  but  prior to the levy of taxes, such nonprofit organization may[,
 if permitted by a local law, ordinance or resolution  of  the  municipal
 corporation  in  which  the  nonprofit organization is located,] file an
 application for an exemption with the assessor [within  thirty  days  of
 the  transfer of title to such nonprofit organization] NO LATER THAN THE
 TAXABLE STATUS DATE APPLICABLE TO THE FOLLOWING YEAR'S ASSESSMENT  ROLL;
 PROVIDED THAT WHERE A NONPROFIT ORGANIZATION THAT MEETS THE REQUIREMENTS
 FOR  AN  EXEMPTION PURSUANT TO THIS SECTION PURCHASED PROPERTY AFTER THE
 TAXABLE STATUS DATE BUT PRIOR TO THE LEVY OF  TAXES  IN  THE  YEARS  TWO
 THOUSAND  NINETEEN,  TWO  THOUSAND  TWENTY, TWO THOUSAND TWENTY-ONE, TWO
 THOUSAND TWENTY-TWO OR TWO THOUSAND TWENTY-THREE, SUCH NONPROFIT  ORGAN-
 IZATION MAY FILE AN APPLICATION FOR EXEMPTION WITH THE ASSESSOR NO LATER
 THAN  THE  NEXT  TAXABLE STATUS DATE FOLLOWING THE EFFECTIVE DATE OF THE
 A. 1288                             6
 
 CHAPTER OF THE LAWS OF TWO  THOUSAND  TWENTY-THREE  WHICH  AMENDED  THIS
 SUBDIVISION.  The assessor shall make a determination within thirty days
 after receipt of such application of whether the applicant would qualify
 for  an  exemption  pursuant  to  this section on the assessment roll if
 title had been in the name of the applicant on the taxable  status  date
 applicable  to  such assessment roll. The application shall be made on a
 form prescribed by the commissioner.
   (ii) If the assessor's determination is made prior to  the  filing  of
 the  tentative  assessment  roll,  the  assessor  shall enter the exempt
 amount, if any, on the tentative assessment roll and,  within  ten  days
 after  filing  such roll, notify the applicant of the approval or denial
 of such exemption, the exempt amount, if any, and the applicant's  right
 to review by the board of assessment review.
   (iii)  If the assessor's determination is made after the filing of the
 tentative assessment roll, the assessor  shall  petition  the  board  of
 assessment  review  to correct the tentative or final assessment roll in
 the manner provided in title three of article five of this chapter, with
 respect to unlawful entries, in the case of wholly exempt  parcels,  and
 with  respect  of  clerical  errors,  in  the  case  of partially exempt
 parcels, if the assessor determines that an exemption should be  granted
 and,  within  ten  days  of  petitioning the board of assessment review,
 notify the applicant of the approval or denial of  such  exemption,  the
 amount  of such exemption, if any, and the applicant's right to adminis-
 trative or judicial review of such  determination  pursuant  to  article
 five or seven of this chapter, respectively.
   (c)  If, for any reason, a determination to exempt property from taxa-
 tion as provided in paragraph (b) of this subdivision is not entered  on
 the  final  assessment  roll,  the  assessor shall petition the board of
 assessment review to correct the final assessment roll.
   (d) If, for any reason, the pro rata tax credit as provided  in  para-
 graph  (a) of this subdivision is not extended against the [tax] ASSESS-
 MENT roll immediately succeeding the fiscal year during which the trans-
 fer occurred,  the  assessor  shall  immediately  notify  the  municipal
 corporation  which  levied the tax or for which the taxes were levied of
 the amount of pro rata exemption credits for  the  year  in  which  such
 transfer  occurred. Such municipal corporation shall proceed as provided
 in subparagraph (iv) of paragraph (a) of this subdivision.
   (e) If, for any reason, a determination to exempt property from  taxa-
 tion  as provided in paragraph (b) of this subdivision is not entered on
 the [tax] ASSESSMENT roll for the year immediately succeeding the fiscal
 year during which the transfer occurred, the  assessor  shall  determine
 the  pro  rata  tax  exemption  credit for such [tax] ASSESSMENT roll by
 multiplying the tax rate or tax rates  for  each  municipal  corporation
 which  levied  taxes  or  for  which  taxes were levied times the exempt
 amount and shall immediately notify such municipal corporation or corpo-
 rations of the pro rata exemption  credits  for  such  [tax]  ASSESSMENT
 roll. Such municipal corporation shall add such pro rata exemption cred-
 its  for such property to any outstanding pro rata exemption amounts and
 proceed as provided in subparagraph (iv) of paragraph (a) of this subdi-
 vision.
   § 3. This act shall take effect immediately.