S T A T E O F N E W Y O R K
________________________________________________________________________
701
2023-2024 Regular Sessions
I N A S S E M B L Y
January 11, 2023
___________
Introduced by M. of A. CARROLL, DINOWITZ, COLTON, EPSTEIN, SIMON, HYND-
MAN -- Multi-Sponsored by -- M. of A. DAVILA -- read once and referred
to the Committee on Real Property Taxation
AN ACT to amend the real property tax law, in relation to providing a
tax abatement for geothermal well systems in cities of one million or
more
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. The title heading of title 4-C of article 4 of the real
property tax law, as amended by chapter 412 of the laws of 2018, is
amended to read as follows:
SOLAR ELECTRIC GENERATING SYSTEM, GEOTHERMAL
WELL SYSTEM AND ELECTRIC ENERGY STORAGE EQUIPMENT
TAX ABATEMENT FOR CERTAIN PROPERTIES IN A CITY OF ONE MILLION OR MORE
PERSONS
§ 2. Subdivisions 2 and 8 of section 499-aaaa of the real property tax
law, as amended by chapter 412 of the laws of 2018, are amended and a
new subdivision 12 is added to read as follows:
2. "Application for tax abatement" shall mean an application for a
solar electric generating system, GEOTHERMAL WELL SYSTEM or electric
energy storage equipment tax abatement pursuant to section four hundred
ninety-nine-cccc of this title.
8. "Eligible solar electric generating system expenditures", "ELIGIBLE
GEOTHERMAL WELL SYSTEM EXPENDITURES" and "eligible electric energy stor-
age equipment expenditures" shall mean reasonable expenditures for mate-
rials, labor costs properly allocable to on-site preparation, assembly
and original installation, architectural and engineering services, and
designs and plans directly related to the construction or installation
of a solar electric generating system, GEOTHERMAL WELL SYSTEM or elec-
tric energy storage equipment installed in connection with an eligible
building. Such eligible expenditures shall not include interest or other
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01048-01-3
A. 701 2
finance charges, or any expenditures incurred using a federal, state or
local grant.
12. "GEOTHERMAL WELL SYSTEM" MEANS A SYSTEM WHICH USES THE EARTH'S
NATURAL TEMPERATURE UNDER THE GROUND TO HEAT AND/OR COOL A BUILDING.
§ 3. Paragraph (e) of subdivision 1 of section 499-bbbb of the real
property tax law, as amended by section 1 of item B of subpart H of part
XXX of chapter 58 of the laws of 2020, is amended and a new paragraph
(f) is added to read as follows:
(e) if electric energy storage equipment is placed in service on or
after January first, two thousand nineteen, and before January first,
two thousand twenty-four, for each year of the compliance period such
tax abatement shall be the lesser of (i) ten percent of eligible elec-
tric energy storage equipment expenditures, (ii) the amount of taxes
payable in such tax year, or (iii) sixty-two thousand five hundred
dollars[.]; OR
(F) IF A GEOTHERMAL WELL SYSTEM IS PLACED IN SERVICE ON OR AFTER JANU-
ARY FIRST, TWO THOUSAND TWENTY-FIVE, AND BEFORE JANUARY FIRST, TWO THOU-
SAND TWENTY-SEVEN, FOR EACH YEAR OF THE COMPLIANCE PERIOD SUCH TAX
ABATEMENT SHALL BE THE LESSER OF (I) TEN PERCENT OF ELIGIBLE GEOTHERMAL
WELL SYSTEM EXPENDITURES, (II) THE AMOUNT OF TAXES PAYABLE IN SUCH TAX
YEAR, OR (III) SIXTY-TWO THOUSAND FIVE HUNDRED DOLLARS.
§ 4. Subdivisions 1 and 3 of section 499-cccc of the real property tax
law, subdivision 1 as amended by section 2 of item B of subpart H of
part XXX of chapter 58 of the laws of 2020 and subdivision 3 as amended
by chapter 412 of the laws of 2018, are amended to read as follows:
1. To obtain a tax abatement pursuant to this title, an applicant must
file an application for tax abatement, which may be filed on or after
January first, two thousand nine, and on or before March fifteenth, two
thousand twenty-four FOR ELIGIBLE SOLAR ELECTRIC GENERATING SYSTEM
EXPENDITURES AND ELIGIBLE ELECTRIC ENERGY STORAGE EXPENDITURES AND ON OR
AFTER JANUARY FIRST, TWO THOUSAND TWENTY-FIVE, AND ON OR BEFORE MARCH
FIFTEENTH, TWO THOUSAND TWENTY-SEVEN FOR ELIGIBLE GEOTHERMAL WELL SYSTEM
EXPENDITURES.
3. Such application shall contain the following:
(a) The name and address of the applicant and the location of the
solar electric generating system, GEOTHERMAL WELL SYSTEM or the electric
energy storage equipment.
(b) Proof that the applicant received all required certifications,
permits and other approvals to construct the solar electric generating
system, GEOTHERMAL WELL SYSTEM or the electric energy storage equipment.
(c) Certifications in a form prescribed by a designated agency, from
an architect, engineer or other certified or licensed professional whom
a designated agency designates by rule, that (i) a solar electric gener-
ating system, GEOTHERMAL WELL SYSTEM or electric energy storage equip-
ment has been placed in service in connection with an eligible building
in accordance with this title, the rules promulgated hereunder, and
local construction and fire codes, and (ii) if the solar electric gener-
ating system, GEOTHERMAL WELL SYSTEM or electric energy storage equip-
ment has been placed on the roof of a building or other structure, that
a structural analysis has been performed establishing that such building
or structure can sustain the load of such solar electric generating
system, GEOTHERMAL WELL SYSTEM or electric energy storage equipment. All
certifications required by this title or the rules promulgated hereunder
shall set forth the specific findings upon which the certification is
based, and shall include information sufficient to identify the eligible
A. 701 3
building, the certifying engineer, architect or other professional, and
such other information as may be prescribed by a designated agency.
(d) An agreement to permit a designated agency or its designee to
inspect the solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment and any related structures and equip-
ment upon reasonable notice.
(e) Any other information or certifications required by a designated
agency pursuant to this title and the rules promulgated hereunder.
§ 5. Subdivision 1 of section 499-dddd of the real property tax law,
as amended by chapter 412 of the laws of 2018, is amended to read as
follows:
1. continuing compliance during the compliance period with all appli-
cable provisions of law, including without limitation the local
construction and fire codes, maintaining the solar electric generating
system or electric energy storage equipment in such a manner that it
continuously constitutes a solar electric generating system, GEOTHERMAL
WELL SYSTEM or electric energy storage equipment within the meaning of
this title and the rules promulgated hereunder, and permitting a desig-
nated agency or its designee to inspect the solar electric generating
system, GEOTHERMAL WELL SYSTEM or electric energy storage equipment and
any related structures and equipment upon reasonable notice; and
§ 6. Paragraphs (c) and (d) of subdivision 1 of section 499-eeee of
the real property tax law, as amended by chapter 412 of the laws of
2018, are amended to read as follows:
(c) the solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment for which a tax abatement was granted
has at any time during the compliance period failed to meet any require-
ment for a solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment pursuant to this title or any rule
promulgated hereunder;
(d) the solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment has become a fire or safety hazard at
any time during the compliance period; or
§ 7. Paragraphs (b), (c) and (d) of subdivision 2 of section 499-ffff
of the real property tax law, as amended by chapter 412 of the laws of
2018, are amended to read as follows:
(b) to inspect solar electric generating systems, GEOTHERMAL WELL
SYSTEMS or electric energy storage equipment and any related structures
and equipment;
(c) to establish permit or certification requirements to determine
when the solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment has been placed in service, such as
certification by an architect, engineer or other certified or licensed
professional whom a designated agency designates by rule;
(d) to establish guidance and procedures for determining or certifying
eligible solar electric generating system, GEOTHERMAL WELL SYSTEM or
electric energy storage equipment expenditures;
§ 8. This act shall take effect immediately.