NY State Senate Bill 2023-S4139

Senate Bill S4139

2023-2024 Legislative Session

Relates to establishing the manufacturing development zone program and tax credits related thereto

download bill text pdf

Current Bill Status - In Senate Committee Commerce, Economic Development And Small Business Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 03, 2024	referred to commerce, economic development and small business
Feb 03, 2023	referred to commerce, economic development and small business

2023-S4139 (ACTIVE) - Details

Current Committee:: Senate Commerce, Economic Development And Small Business
Law Section:: Economic Development Law
Laws Affected:: Add Art 23 §§450 - 453, Ec Dev L; add §423-a, RPT L; amd §606, Tax L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S7398
2017-2018: S4685
2019-2020: S2483
2021-2022: S3918

2023-S4139 (ACTIVE) - Summary

Relates to establishing the manufacturing development zone program and tax credits related thereto.

2023-S4139 (ACTIVE) - Sponsor Memo

                                 
BILL NUMBER: S4139

SPONSOR: SANDERS
 
TITLE OF BILL:

An act to amend the economic development law, the real property tax law
and the tax law, in relation to the manufacturing development zone
program and tax credits related thereto

 
PURPOSE:

To encourage business entities engaged in manufacturing outside the
state to invest in manufacturing facilities in manufacturing development
zones in New York.

 
SUMMARY OF PROVISIONS:

Section 1 of the bill amends the economic development law by adding a
new article 23, sections 450 through 453, creating the Manufacturing
Development Zone Program.

Section 450 contains definitions.

Section 451 states the purpose of the program is to encourage business
entities engaged in manufacturing outside the state to invest in manu-
facturing facilities in manufacturing development zones in New York.

Section 452 provides the eligibility and application process and
requirements for establishing a manufacturing development zone.  Poli-
tical subdivisions submit applications and the commissioner makes the
designations.

Section 453 provides the tax incentives available to eligible business
entities that locate in a manufacturing development zone. On or before
December 15 of each year, the department and comptroller shall submit a
report outlining their findings in determining the effectiveness of
these tax credits.

Section 2 of the bill amends the real property tax law by adding a new
section 423-a creating a tax credit to a non-residential property used
in a manufacturing trade or business by a business entity located in a
manufacturing development zone as provided.

Section 3 of the bill amends the tax law by adding a new subsection
(ccc) creating the manufacturing development zone program tax credit
with the parameters described herein.

Section 4 of the bill provides this act shall take effect immediately.

 
EXISTING LAW:

None

 
JUSTIFICATION:

New York is open for business. Establishing manufacturing development
zones in the state with tax incentives will encourage manufacturing and
economic development here, providing a boost to the state economy. In

order to continue prospering, we should not allow these opportunities to
be lost to other states.

 
LEGISLATIVE HISTORY:

2021-22 REFERRED TO SENATE COMMERCE, ECONOMIC DEVELOPMENT AND SMALL
BUSINESS

2019-20 REFERRED TO SENATE COMMERCE, ECONOMIC DEVELOPMENT AND SMALL
BUSINESS

2017-18 REFERRED TO SENATE COMMERCE, ECONOMIC DEVELOPMENT AND SMALLBUSI-
NESS

 
FISCAL IMPLICATIONS:

Undetermined

 
LOCAL FISCAL IMPLICATIONS:

Undetermined

 
EFFECTIVE DATE:
This act shall take effect immediately.

2023-S4139 (ACTIVE) - Bill Text download pdf

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4139
 
                        2023-2024 Regular Sessions
 
                             I N  S E N A T E
 
                             February 3, 2023
                                ___________
 
 Introduced  by  Sen. SANDERS -- read twice and ordered printed, and when
   printed to be committed to the Committee on Commerce, Economic  Devel-
   opment and Small Business
 
 AN  ACT to amend the economic development law, the real property tax law
   and the tax law, in relation to  the  manufacturing  development  zone
   program and tax credits related thereto
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The economic development law is amended  by  adding  a  new
 article 23 to read as follows:
                                 ARTICLE 23
                  MANUFACTURING DEVELOPMENT ZONE PROGRAM
 SECTION 450. DEFINITIONS.
         451. PURPOSE.
         452. ELIGIBILITY AND APPLICATION PROCESS.
         453. TAX CREDIT INCENTIVES.
   § 450. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS SHALL
 HAVE THE FOLLOWING MEANINGS:
   1.  "AREA"  MEANS  A GEOGRAPHIC AREA IN ONE OR MORE POLITICAL SUBDIVI-
 SIONS IN THE STATE DESCRIBED BY A CLOSED PERIMETER BOUNDARY.
   2. "BUSINESS ENTITY" MEANS A PERSON THAT OPERATES OR CONDUCTS A  TRADE
 OR BUSINESS THAT IS ENGAGED IN HEAVY MANUFACTURING.
   3.  "HEAVY  MANUFACTURING" MEANS A MANUFACTURING PROCESS THAT INVOLVES
 LARGE SCALE PROJECTS.  IT INCLUDES CONSTRUCTION, MINING, AND METAL PROC-
 ESSING, BUT DOES NOT INCLUDE THE PROCESSING,  FABRICATING,  ASSEMBLY  OR
 DISASSEMBLY  OF  APPAREL,  DECORATIONS,  ELECTRONIC  DEVICES, FOOD, HOME
 ACCESSORIES, INSTRUMENTS, JEWELRY, LEATHER, PAPER, OR TEXTILES.
   4. "MANUFACTURING DEVELOPMENT ZONE" MEANS  AN  AREA  DESIGNATED  AS  A
 MANUFACTURING  DEVELOPMENT  ZONE  BY  THE COMMISSIONER UNDER SUBDIVISION
 FOUR OF SECTION FOUR HUNDRED FIFTY-TWO OF THIS ARTICLE.
   5. "POLITICAL SUBDIVISION" MEANS A COUNTY OR MUNICIPAL CORPORATION.

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD08579-01-3

 S. 4139                             2
 
   6. "SUBMISSION DATE" MEANS APRIL FIFTEENTH OR OCTOBER FIFTEENTH.
   §  451.  PURPOSE.  THE  PURPOSE  OF THE MANUFACTURING DEVELOPMENT ZONE
 PROGRAM IS TO  ENCOURAGE  BUSINESS  ENTITIES  ENGAGED  IN  MANUFACTURING
 OUTSIDE THE STATE TO INVEST IN MANUFACTURING FACILITIES IN MANUFACTURING
 DEVELOPMENT ZONES.
   § 452. ELIGIBILITY AND APPLICATION PROCESS. 1. THE FOLLOWING POLITICAL
 SUBDIVISIONS MAY APPLY TO DESIGNATE A MANUFACTURING DEVELOPMENT ZONE:
   (A)  A  POLITICAL  SUBDIVISION FOR AN AREA WITHIN A POLITICAL SUBDIVI-
 SION;
   (B) WITH THE PRIOR CONSENT OF THE MUNICIPAL CORPORATION, A  COUNTY  ON
 BEHALF  OF  A  MUNICIPAL CORPORATION FOR AN AREA IN THE MUNICIPAL CORPO-
 RATION; OR
   (C) TWO OR MORE POLITICAL SUBDIVISIONS JOINTLY  FOR  AN  AREA  ASTRIDE
 THEIR COMMON BOUNDARIES;
   2. THE APPLICATION SHALL:
   (A)  BE  IN  THE  FORM AND MANNER AND CONTAIN THE INFORMATION THAT THE
 COMMISSIONER REQUIRES BY REGULATION;
   (B) BE SUBMITTED FOR A POLITICAL  SUBDIVISION  BY  ITS  CHIEF  ELECTED
 OFFICER OR, IF NONE, ITS GOVERNING BODY;
   (C) STATE WHETHER THE POLITICAL SUBDIVISION HAS EXAMINED THE FEASIBIL-
 ITY  OF CREATING EDUCATIONAL OR TRAINING OPPORTUNITIES FOR EMPLOYERS AND
 EMPLOYEES OF BUSINESS ENTITIES LOCATED OR TO BE LOCATED IN THE  PROPOSED
 MANUFACTURING DEVELOPMENT ZONE;
   (D)  STATE THE STANDARDS ESTABLISHED BY THE POLITICAL SUBDIVISION THAT
 A BUSINESS ENTITY SHALL MEET BEFORE RECEIVING THE INCENTIVES AND  INITI-
 ATIVES UNDER SECTION FOUR HUNDRED FIFTY-THREE OF THIS ARTICLE; AND
   (E)  STATE  THE  METHODS  THAT  THE POLITICAL SUBDIVISIONS WILL USE TO
 TARGET AND ATTRACT BUSINESS ENTITIES.
   3. (A) THE COMMISSIONER SHALL SUBMIT EACH APPLICATION TO  THE  DEPART-
 MENT.
   (B)  WITHIN  THIRTY  DAYS  OF RECEIVING AN APPLICATION, THE DEPARTMENT
 SHALL APPROVE OR REJECT AN APPLICATION.
   4. (A) WITHIN SIXTY DAYS AFTER A SUBMISSION DATE, THE COMMISSIONER MAY
 DESIGNATE ONE OR MORE MANUFACTURING DEVELOPMENT  ZONES  FROM  AMONG  THE
 AREAS DESCRIBED IN THE APPLICATIONS AND APPROVED BY THE DEPARTMENT UNDER
 SUBDIVISION THREE OF THIS SECTION.
   (B)  THE DESIGNATION OF AN AREA AS A MANUFACTURING DEVELOPMENT ZONE IS
 EFFECTIVE FOR TEN YEARS.
   (C) THE COMMISSIONER MAY NOT DESIGNATE  MORE  THAN  SIX  MANUFACTURING
 DEVELOPMENT ZONES IN A CALENDAR YEAR.
   (D)  A  COUNTY MAY NOT RECEIVE MORE THAN TWO MANUFACTURING DEVELOPMENT
 ZONES IN A CALENDAR YEAR.
   5. THE DESIGNATION OF THE COMMISSIONER IS FINAL.
   6. AT ANY TIME, A POLITICAL SUBDIVISION MAY REAPPLY TO THE COMMISSION-
 ER TO DESIGNATE AS A MANUFACTURING DEVELOPMENT ZONE AN AREA THAT IS  NOT
 DESIGNATED.
   7. (A) A POLITICAL SUBDIVISION MAY APPLY TO THE COMMISSIONER TO EXPAND
 AN  EXISTING  MANUFACTURING  DEVELOPMENT  ZONE IN THE SAME MANNER AS THE
 POLITICAL SUBDIVISION WOULD  APPLY  TO  DESIGNATE  A  NEW  MANUFACTURING
 DEVELOPMENT ZONE.
   (B)  THE COMMISSIONER MAY GRANT AN EXPANSION OF A MANUFACTURING DEVEL-
 OPMENT ZONE INTO AN AREA.
   (C) FOR PURPOSES OF SUBDIVISIONS FOUR, FIVE AND SIX OF  THIS  SECTION,
 AN  EXPANSION  OF  A MANUFACTURING DEVELOPMENT ZONE THAT DOES NOT EXCEED
 FIFTY PERCENT OF THE  GEOGRAPHIC  AREA  OF  THE  EXISTING  MANUFACTURING
 DEVELOPMENT  ZONE  DOES NOT COUNT TOWARDS THE LIMIT ON THE NUMBER OF THE
 S. 4139                             3
 
 MANUFACTURING DEVELOPMENT ZONES THAT THE COMMISSIONER MAY DESIGNATE IN A
 CALENDAR YEAR OR A COUNTY MAY RECEIVE IN A CALENDAR YEAR.
   8.  (A)  THE  COMMISSIONER  MAY GRANT ONE EXTRAORDINARY EXPANSION OF A
 MANUFACTURING DEVELOPMENT ZONE IN THE STATE EACH CALENDAR  YEAR  FOR  AN
 AREA  THAT,  IN  THE  DETERMINATION  OF THE COMMISSIONER, HAS SUFFERED A
 SIGNIFICANT LOSS OF ECONOMIC BASE.
   (B) FOR PURPOSES OF SUBDIVISIONS FOUR, FIVE AND SIX OF  THIS  SECTION,
 AN  EXTRAORDINARY EXPANSION OF A MANUFACTURING DEVELOPMENT ZONE DOES NOT
 COUNT TOWARDS THE LIMIT ON THE NUMBER OF MANUFACTURING DEVELOPMENT ZONES
 THAT THE COMMISSIONER MAY DESIGNATE IN A CALENDAR YEAR OR A  COUNTY  MAY
 RECEIVE IN A CALENDAR YEAR.
   §  453.  TAX  CREDIT INCENTIVES. 1. TO THE EXTENT PROVIDED FOR IN THIS
 SECTION, A BUSINESS ENTITY IS ENTITLED TO:
   (A) THE PROPERTY TAX CREDIT PROVIDED FOR IN SECTION FOUR HUNDRED TWEN-
 TY-THREE-A OF THE REAL PROPERTY TAX LAW;
   (B) THE INCOME TAX CREDIT PROVIDED FOR IN SUBSECTION (OOO) OF  SECTION
 SIX HUNDRED SIX OF THE TAX LAW;
   2.  A  BUSINESS  ENTITY  THAT MOVES INTO OR LOCATES IN A MANUFACTURING
 DEVELOPMENT ZONE ON OR AFTER THE DATE THAT THE MANUFACTURING DEVELOPMENT
 ZONE IS DESIGNATED UNDER SUBDIVISIONS FOUR, FIVE AND SIX OF SECTION FOUR
 HUNDRED FIFTY-TWO OF THIS ARTICLE MAY BENEFIT FROM THE  INCENTIVE  UNDER
 THIS SECTION IF:
   (A)  THE  BUSINESS  ENTITY MEETS THE STATUTORY REQUIREMENTS AND CONDI-
 TIONS APPLICABLE TO EACH INCENTIVE OR INITIATIVE;
   (B) THE RESPECTIVE POLITICAL SUBDIVISION CERTIFIES THAT  THE  BUSINESS
 ENTITY  HAS  COMPLIED WITH THE STANDARDS THAT THE SUBDIVISIONS SUBMITTED
 UNDER PARAGRAPH (D) OF SUBDIVISION TWO OF SECTION FOUR HUNDRED FIFTY-TWO
 OF THIS ARTICLE;
   (C) THE BUSINESS ENTITY CREATES NEW OR  ADDITIONAL  JOBS  OR  MAKES  A
 CAPITAL  INVESTMENT TO QUALIFY FOR THE PROPERTY TAX CREDIT UNDER SECTION
 FOUR HUNDRED TWENTY-THREE-A OF THE REAL PROPERTY TAX LAW AND THE  INCOME
 TAX  CREDIT UNDER SUBSECTION (OOO) OF SECTION SIX HUNDRED SIX OF THE TAX
 LAW;
   (D) THE BUSINESS ENTITY IS ENGAGED IN A MANUFACTURING TRADE  OR  BUSI-
 NESS ON REAL PROPERTY WITHIN THE MANUFACTURING DEVELOPMENT ZONE THAT THE
 BUSINESS ENTITY OWNS; AND
   (E) THE COMMISSIONER DETERMINES THAT THE BUSINESS ENTITY DOES NOT HAVE
 AN ECONOMIC PRESENCE IN THE STATE PRIOR TO LOCATING IN THE MANUFACTURING
 DEVELOPMENT ZONE AND IS ENGAGED IN A MANUFACTURING TRADE OR BUSINESS.
   3. THE INCENTIVES AND INITIATIVES PROVIDED FOR IN THIS SECTION ARE NOT
 AVAILABLE  TO  A  BUSINESS  ENTITY  THAT  WAS LOCATED IN A MANUFACTURING
 DEVELOPMENT ZONE BEFORE THE DATE THAT THE MANUFACTURING DEVELOPMENT ZONE
 IS DESIGNATED, EXCEPT FOR A CAPITAL INVESTMENT OR AN  EXPANSION  OF  ITS
 LABOR  FORCE  THAT OCCURS ON OR AFTER THE MANUFACTURING DEVELOPMENT ZONE
 IS DESIGNATED.
   4. (A) EXCEPT AS PROVIDED IN SECTION FOUR  HUNDRED  TWENTY-THREE-A  OF
 THE  REAL  PROPERTY TAX LAW, THE INCENTIVES AND INITIATIVES SET FORTH IN
 THIS SECTION ARE AVAILABLE FOR TEN YEARS AFTER THE DATE THAT AN AREA  IS
 DESIGNATED A MANUFACTURING DEVELOPMENT ZONE.
   (B) A LAW ENACTED AFTER THE EFFECTIVE DATE OF THIS SECTION THAT ELIMI-
 NATES  OR REDUCES THE BENEFITS AVAILABLE TO A BUSINESS ENTITY UNDER THIS
 SECTION DOES NOT APPLY TO A BUSINESS ENTITY THAT WAS IN A  MANUFACTURING
 DEVELOPMENT ZONE BEFORE THE EFFECTIVE DATE OF THIS SECTION.
   5. NOTWITHSTANDING SUBDIVISION FOUR OF THIS SECTION, A BUSINESS ENTITY
 LOCATED  IN  A MANUFACTURING DEVELOPMENT ZONE MAY NOT RECEIVE THE INCEN-
 TIVES AND INITIATIVES SET FORTH IN SUBDIVISION ONE OF  THIS  SECTION  IF
 S. 4139                             4
 
 THE ENTITY IS LOCATED ON LAND OR WITHIN IMPROVEMENTS OWNED BY THE FEDER-
 AL  GOVERNMENT,  THE  STATE, A COUNTY, OR A MUNICIPAL CORPORATION UNLESS
 THE BUSINESS ENTITY HAS  FIRST  UTILIZED  ALL  APPLICABLE  PROPERTY  TAX
 EXEMPTIONS  UNDER  THE REAL PROPERTY TAX LAW INCLUDING ENTERING INTO ANY
 AVAILABLE PAYMENT IN LIEU OF TAX AGREEMENT.
   6. THE DEPARTMENT AND THE COMPTROLLER JOINTLY SHALL ASSESS  EACH  YEAR
 THE  EFFECTIVENESS  OF  THE TAX CREDITS PROVIDED TO BUSINESS ENTITIES IN
 MANUFACTURING DEVELOPMENT ZONES, INCLUDING:
   (A) THE NUMBER AND AMOUNTS OF CREDITS GRANTED EACH YEAR; AND
   (B) THE SUCCESS OF THE TAX CREDITS IN ATTRACTING AND  RETAINING  BUSI-
 NESS ENTITIES IN MANUFACTURING DEVELOPMENT ZONES.
   7.  ON  OR  BEFORE DECEMBER FIFTEENTH OF EACH YEAR, THE DEPARTMENT AND
 THE COMPTROLLER SHALL SUBMIT TO THE GOVERNOR, THE TEMPORARY PRESIDENT OF
 THE SENATE AND THE SPEAKER OF THE ASSEMBLY,  A  REPORT  OUTLINING  THEIR
 FINDINGS  AND  ANY  OTHER INFORMATION OF VALUE IN DETERMINING THE EFFEC-
 TIVENESS OF THE TAX CREDITS PROVIDED UNDER THIS SECTION.
   § 2. The real property tax law is amended  by  adding  a  new  section
 423-a to read as follows:
   §  423-A. EXEMPTION FOR BUSINESS ENTITIES PARTICIPATING IN MANUFACTUR-
 ING DEVELOPMENT ZONE PROGRAM. 1. AS USED IN THIS SECTION, THE  FOLLOWING
 WORDS SHALL HAVE THE FOLLOWING MEANINGS:
   (A)  "BASE YEAR" MEANS THE TAXABLE YEAR IMMEDIATELY BEFORE THE TAXABLE
 YEAR IN WHICH A PROPERTY TAX CREDIT UNDER THIS SECTION IS TO BE GRANTED.
   (B) "BASE YEAR VALUE" MEANS THE VALUE OF THE PROPERTY USED  TO  DETER-
 MINE  THE  ASSESSMENT  ON  WHICH  THE  PROPERTY TAX ON REAL PROPERTY WAS
 IMPOSED FOR THE BASE YEAR.  BASE YEAR VALUE DOES  NOT  INCLUDE  ANY  NEW
 REAL PROPERTY THAT WAS FIRST ASSESSED IN THE BASE YEAR.
   (C) "BUSINESS ENTITY" MEANS A PERSON THAT OPERATES OR CONDUCTS A TRADE
 OR BUSINESS THAT IS ENGAGED IN MANUFACTURING.
   (D)  (I)  "ELIGIBLE  ASSESSMENT" MEANS THE DIFFERENCE BETWEEN THE BASE
 YEAR VALUE AND THE ACTUAL VALUE AS DETERMINED BY THE STATE BOARD FOR THE
 APPLICABLE TAXABLE YEAR IN WHICH THE TAX CREDIT UNDER THIS SECTION IS TO
 BE GRANTED.
   (II) FOR A BUSINESS ENTITY THAT IS LOCATED ON LAND OR WITHIN  IMPROVE-
 MENTS  OWNED  BY  THE  FEDERAL,  STATE, COUNTY, OR MUNICIPAL GOVERNMENT,
 "ELIGIBLE ASSESSMENT" MEANS THE DIFFERENCE BETWEEN THE BASE  YEAR  VALUE
 AND THE ACTUAL VALUE REDUCED BY THE VALUE OF ANY PROPERTY ENTITLED TO AN
 EXEMPTION  UNDER  THIS  CHAPTER AS DETERMINED BY THE STATE BOARD FOR THE
 APPLICABLE TAXABLE YEAR IN WHICH THE TAX CREDIT UNDER THIS SECTION IS TO
 BE GRANTED.
   (E) "QUALIFIED PROPERTY" MEANS REAL PROPERTY THAT IS (I) NOT USED  FOR
 RESIDENTIAL  PURPOSES; (II) USED IN A MANUFACTURING TRADE OR BUSINESS BY
 A BUSINESS ENTITY; AND
   (III) LOCATED IN A MANUFACTURING DEVELOPMENT ZONE THAT  IS  DESIGNATED
 UNDER ARTICLE TWENTY-THREE OF THE ECONOMIC DEVELOPMENT LAW.
   2.  THE GOVERNING BODY OF A COUNTY OR OF A MUNICIPAL CORPORATION SHALL
 GRANT A TAX CREDIT UNDER THIS SECTION AGAINST THE PROPERTY  TAX  IMPOSED
 ON THE ELIGIBLE ASSESSMENT OF A QUALIFIED PROPERTY.
   3.  (A)  THE  APPROPRIATE GOVERNING BODY SHALL CALCULATE THE AMOUNT OF
 THE CREDIT UNDER THIS SECTION EQUAL TO ONE HUNDRED PERCENT OF THE AMOUNT
 OF PROPERTY TAX IMPOSED ON THE ELIGIBLE ASSESSMENT.
   (B) FOR PURPOSES OF CALCULATING THE AMOUNT OF THE CREDIT ALLOWED UNDER
 THIS SECTION, THE AMOUNT OF PROPERTY TAX IMPOSED ON THE ELIGIBLE ASSESS-
 MENT SHALL BE CALCULATED WITHOUT REDUCTION FOR ANY CREDITS ALLOWED UNDER
 THIS CHAPTER.
 S. 4139                             5
 
   4. (A) A TAX CREDIT UNDER THIS SECTION IS  AVAILABLE  TO  A  QUALIFIED
 PROPERTY FOR NO MORE THAN TEN CONSECUTIVE YEARS BEGINNING WITH THE TAXA-
 BLE YEAR FOLLOWING THE CALENDAR YEAR IN WHICH THE REAL PROPERTY INITIAL-
 LY BECOMES A QUALIFIED PROPERTY.
   (B)  IF  THE  DESIGNATION OF A MANUFACTURING DEVELOPMENT ZONE EXPIRES,
 THE TAX CREDIT UNDER THIS SECTION CONTINUES TO BE AVAILABLE TO A  QUALI-
 FIED PROPERTY.
   (C)  STATE  PROPERTY  TAX  IMPOSED ON REAL PROPERTY IS NOT AFFECTED BY
 THIS SECTION.
   5. WHEN A MANUFACTURING DEVELOPMENT ZONE IS DESIGNATED BY THE  COMMIS-
 SIONER  OF  ECONOMIC DEVELOPMENT, SUCH COMMISSIONER SHALL CERTIFY TO THE
 STATE BOARD:
   (A) THE REAL PROPERTIES IN THE ZONE THAT ARE QUALIFIED PROPERTIES  FOR
 EACH  TAXABLE  YEAR FOR WHICH THE PROPERTY TAX CREDIT UNDER THIS SECTION
 IS TO BE GRANTED; AND
   (B) THE DATE THAT THE REAL PROPERTIES BECAME QUALIFIED PROPERTIES.
   6. BEFORE PROPERTY TAX BILLS ARE SENT, THE STATE BOARD SHALL SUBMIT TO
 THE COMMISSIONER OF ECONOMIC DEVELOPMENT A LIST CONTAINING:
   (A) THE LOCATION OF EACH QUALIFIED PROPERTY;
   (B) THE AMOUNT OF THE BASE YEAR VALUE FOR EACH QUALIFIED PROPERTY; AND
   (C) THE AMOUNT OF THE ELIGIBLE ASSESSMENT FOR EACH QUALIFIED PROPERTY.
   § 3. Section 606 of the tax law is amended by adding a new  subsection
 (ooo) to read as follows:
   (OOO)  TAX CREDIT. (1) A BUSINESS ENTITY THAT IS LOCATED IN A MANUFAC-
 TURING DEVELOPMENT ZONE AND SATISFIES THE REQUIREMENTS OF  SECTION  FOUR
 HUNDRED  FIFTY-THREE  OF THE ECONOMIC DEVELOPMENT LAW MAY CLAIM A CREDIT
 AGAINST THE STATE INCOME TAX IN THE  AMOUNT  OF  THE  STATE  INCOME  TAX
 IMPOSED ON QUALIFIED INCOME.
   (2) A BUSINESS ENTITY SHALL MEAN AN ENTITY THAT IS ENGAGED IN MANUFAC-
 TURING  TRADE  OR BUSINESS, OPERATES A MANUFACTURING FACILITY IN A MANU-
 FACTURING DEVELOPMENT ZONE AS DESIGNATED BY ARTICLE TWENTY-THREE OF  THE
 ECONOMIC  DEVELOPMENT  LAW  AND  IS ELIGIBLE FOR THE PROPERTY TAX CREDIT
 UNDER SECTION FOUR HUNDRED TWENTY-THREE-A OF THE REAL PROPERTY TAX  LAW.
 QUALIFIED  INCOME  MEANS INCOME ATTRIBUTABLE TO ACTIVITIES AT A MANUFAC-
 TURING FACILITY LOCATED IN A MANUFACTURING DEVELOPMENT ZONE.
   (3) THE CREDIT ALLOWED UNDER THIS SUBSECTION MAY NOT  BE  CLAIMED  FOR
 MORE  THAN TEN CONSECUTIVE YEARS BEGINNING WITH THE TAXABLE YEAR FOLLOW-
 ING THE CALENDAR YEAR IN WHICH THE BUSINESS ENTITY BECOMES ELIGIBLE  FOR
 THE PROPERTY TAX CREDIT UNDER SECTION FOUR HUNDRED TWENTY-THREE-A OF THE
 REAL PROPERTY TAX LAW.
   § 4. This act shall take effect immediately.

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