S T A T E O F N E W Y O R K
________________________________________________________________________
1632--A
2023-2024 Regular Sessions
I N S E N A T E
January 13, 2023
___________
Introduced by Sens. KAVANAGH, CLEARE, GONZALEZ, GOUNARDES, HOYLMAN-SI-
GAL, JACKSON, KRUEGER, RAMOS, RIVERA, SALAZAR -- read twice and
ordered printed, and when printed to be committed to the Committee on
Local Government -- committee discharged, bill amended, ordered
reprinted as amended and recommitted to said committee
AN ACT to amend the real property tax law, in relation to discontinuing
the real property tax exemption for certain real property used for
professional major league sports
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative intent. The legislature hereby declares that
any provision in a lease, agreement or any other written instrument
requiring that any taxes or their equivalent, set forth in such instru-
ment in the form of any charges of any kind whatsoever, imposed by any
taxing authority, shall be made the obligation of any person, sole
proprietorship, partnership, firm, corporation, limited liability compa-
ny, association, franchise, team, or any other entity, other than the
owner or owners of such property, shall be deemed void as against public
policy.
§ 2. Section 429 of the real property tax law, as added by chapter 459
of the laws of 1982, is amended to read as follows:
§ 429. Real property used for professional major league sports. Real
property within a city having a population of one million or more, used
by both a professional major league hockey team which is a member of the
National Hockey League and a professional major league basketball team
which is a member of the National Basketball Association to play their
home games shall be exempt from taxation to the extent said taxes are
the obligation by lease or otherwise of the owners of franchises for
such teams, provided that such owners enter into a written agreement
with the chief executive officer of the municipality in which such prop-
erty is located to play their home games within such municipality for a
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD01532-04-3
S. 1632--A 2
period of at least ten consecutive years; PROVIDED HOWEVER, THAT IN NO
CASE SHALL THE EXEMPTION GRANTED BY THIS SECTION APPLY TO ANY ASSESSMENT
ROLL ISSUED AFTER THE TWO THOUSAND TWENTY-THREE ASSESSMENT ROLL. The tax
exemption provided herein shall be granted to real property being used,
in whole or in part, for the aforesaid purposes on the date such agree-
ment is executed and shall apply to taxes which become due and payable
after the aforestated agreement is executed and shall continue with
respect to such property as long as both of said teams play their home
games therein and no longer. Such exemption shall not apply with respect
to any improvement to such property made after the date such agreement
is executed which improvement is not used for the provision of facili-
ties or services related to sports, entertainment, expositions,
conventions or trade shows. If one or both of said teams shall cease to
play their home games in said property at any time, the tax exemption
provided herein shall cease immediately and such property shall imme-
diately be restored to the tax rolls and thereupon become subject to
taxation and shall be taxed pro rata for the unexpired portion of the
taxable year.
§ 3. The real property tax law is amended by adding a new section
429-a to read as follows:
§ 429-A. EXPIRATION OF MAJOR LEAGUE SPORTS EXEMPTION. THE REAL PROPER-
TY TAX EXEMPTION UNDER SECTION FOUR HUNDRED TWENTY-NINE OF THIS ARTICLE
SHALL EXPIRE UPON THE EFFECTIVE DATE OF THIS SECTION; PROVIDED HOWEVER,
THAT THE REVENUE AND PENALTIES COLLECTED BY THE NEW YORK CITY DEPARTMENT
OF FINANCE FOR SUCH REAL PROPERTY SHALL BE REMITTED BY THE CITY OF NEW
YORK TO THE METROPOLITAN TRANSPORTATION AUTHORITY ON A SEMIANNUAL BASIS,
TO BE DEPOSITED INTO THE METROPOLITAN TRANSPORTATION AUTHORITY FINANCE
FUND ESTABLISHED UNDER SECTION ONE THOUSAND TWO HUNDRED SEVENTY-H OF THE
PUBLIC AUTHORITIES LAW.
§ 4. This act shall take effect immediately; provided however, that
the provisions of this act shall apply to assessment rolls beginning
with the 2024 assessment roll.