Bill Text: NY A02609 | 2013-2014 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Increases the value of the exemption for certain solar or wind energy systems or farm waste energy systems; provides that where the municipality does not tax at full value such exemption shall be pro-rated.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2014-05-15 - print number 2609a [A02609 Detail]

Download: New_York-2013-A02609-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
           S. 2359                                                  A. 2609
                              2013-2014 Regular Sessions
                             S E N A T E - A S S E M B L Y
                                   January 16, 2013
                                      ___________
       IN SENATE -- Introduced by Sen. LAVALLE -- read twice and ordered print-
         ed, and when printed to be committed to the Committee on Local Govern-
         ment
       IN  ASSEMBLY  -- Introduced 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 increasing the
         value of the exemption for certain solar or  wind  energy  systems  or
         farm waste energy systems
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Section 487 of the real property tax  law,  as  amended  by
    2  chapter 515 of the laws of 2002, subdivision 5 as amended by chapter 366
    3  of  the laws of 2010, subdivisions 6 and 8 as further amended by section
    4  1 of part W of chapter 56 of the laws of 2010 and subdivision 9 as added
    5  by chapter 608 of the laws of 2002, is amended to read as follows:
    6    S 487. Exemption from  taxation  for  certain  solar  or  wind  energy
    7  systems or farm waste energy systems. 1. As used in this section:
    8    (a) "Solar or wind energy equipment" means collectors, controls, ener-
    9  gy  storage  devices,  heat pumps and pumps, heat exchangers, windmills,
   10  and other materials, hardware or equipment necessary to the  process  by
   11  which  solar  radiation  or  wind  is (i) collected, (ii) converted into
   12  another form of energy such as thermal, electrical, mechanical or chemi-
   13  cal, (iii) stored, (iv) protected from unnecessary dissipation  and  (v)
   14  distributed.  It  does  not include pipes, controls, insulation or other
   15  equipment which are part of the normal heating, cooling,  or  insulation
   16  system of a building. It does include insulated glazing or insulation to
   17  the  extent  that  such materials exceed the energy efficiency standards
   18  required by law.
   19    (b) "Solar or wind energy system" means an arrangement or  combination
   20  of  solar or wind energy equipment designed to provide heating, cooling,
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD06142-01-3
       S. 2359                             2                            A. 2609
    1  hot  water,  or  mechanical,  chemical,  or  electrical  energy  by  the
    2  collection  of  solar  or  wind  energy  and  its  conversion,  storage,
    3  protection and distribution.
    4    (c)  "Authority" means the New York state energy research and develop-
    5  ment authority.
    6    (d) ["Incremental cost" means the increased cost of a  solar  or  wind
    7  energy  system  or  farm  waste energy system or component thereof which
    8  also serves as part of the building structure, above  that  for  similar
    9  conventional  construction,  which  enables  its  use as a solar or wind
   10  energy or farm waste energy system or component.
   11    (e)] "Farm waste electric generating equipment" means  equipment  that
   12  generates   electric  energy  from  biogas  produced  by  the  anaerobic
   13  digestion of agricultural waste, such as livestock manure, farming waste
   14  and food processing wastes with a rated capacity of not more  than  four
   15  hundred  kilowatts  that  is (i) manufactured, installed and operated in
   16  accordance with  applicable  government  and  industry  standards,  (ii)
   17  connected  to  the  electric  system and operated in conjunction with an
   18  electric corporation's transmission and distribution  facilities,  (iii)
   19  operated in compliance with the provisions of section sixty-six-j of the
   20  public  service  law,  (iv)  fueled at a minimum of ninety percent on an
   21  annual basis by biogas produced from the anaerobic digestion of agricul-
   22  tural waste such as livestock manure materials, crop residues  and  food
   23  processing  wastes,  and  (v)  fueled  by  biogas generated by anaerobic
   24  digestion with at least seventy-five percent by weight of its  feedstock
   25  being livestock manure materials on an annual basis.
   26    [(f)]  (E) "Farm waste energy system" means an arrangement or combina-
   27  tion of farm waste electric generating  equipment  or  other  materials,
   28  hardware  or  equipment  necessary  to the process by which agricultural
   29  waste biogas is produced, collected, stored, cleaned, and converted into
   30  forms of energy such as thermal, electrical, mechanical or chemical  and
   31  by  which  the  biogas  and converted energy are distributed on-site. It
   32  does not include pipes, controls, insulation or  other  equipment  which
   33  are part of the normal heating, cooling or insulation system of a build-
   34  ing.
   35    2.  Real property which includes a solar or wind energy system or farm
   36  waste energy system approved in accordance with the provisions  of  this
   37  section  shall  be exempt from taxation to the extent of any increase in
   38  the value thereof by reason of the inclusion of such solar or wind ener-
   39  gy system or farm waste energy system for a  period  of  fifteen  years.
   40  When  a  solar or wind energy system or components thereof or farm waste
   41  energy system  also  serve  as  part  of  the  building  structure,  the
   42  [increase  in value which] TOTAL COST OF THE SYSTEM shall be exempt from
   43  taxation [shall be equal to the  assessed  value  attributable  to  such
   44  system  or components multiplied by the ratio of the incremental cost of
   45  such system or components to the total cost of  such  system  or  compo-
   46  nents].  THE  EXEMPTION  SHALL BE EQUAL TO THE TOTAL COST OF THE SYSTEM.
   47  SUCH EXEMPTION SHALL BE SUBTRACTED FROM THE TOTAL ASSESSED VALUE OF  THE
   48  REAL  PROPERTY.  THE TOTAL EXEMPTION IN NO CASE SHALL EXCEED FIFTY THOU-
   49  SAND DOLLARS. WHERE THE MUNICIPALITY DOES NOT TAX AT  FULL  VALUE,  SUCH
   50  EXEMPTION SHALL BE PRO-RATED.
   51    3. The president of the authority shall provide definitions and guide-
   52  lines  for  the  eligibility  for exemption of the solar and wind energy
   53  equipment and systems  and  farm  waste  energy  equipment  and  systems
   54  described in paragraphs (a) and (b) of subdivision one of this section.
   55    4. No solar or wind energy system or farm waste energy system shall be
   56  entitled  to  any exemption from taxation under this section unless such
       S. 2359                             3                            A. 2609
    1  system meets the guidelines set by the president of  the  authority  and
    2  all other applicable provisions of law.
    3    5. The exemption granted pursuant to this section shall only be appli-
    4  cable to solar or wind energy systems or farm waste energy systems which
    5  are  (a)  existing  or constructed prior to July first, nineteen hundred
    6  eighty-eight or (b) constructed subsequent to  January  first,  nineteen
    7  hundred  ninety-one  and  prior to January first, two thousand [fifteen]
    8  TWENTY-FOUR.
    9    6. Such exemption shall be granted only upon application by the  owner
   10  of  the  real  property  on  a form prescribed and made available by the
   11  commissioner in cooperation with  the  authority.  The  applicant  shall
   12  furnish such information as the commissioner shall require. The applica-
   13  tion  shall  be filed with the assessor of the appropriate county, city,
   14  town or village on or before the taxable status  date  of  such  county,
   15  city,  town  or  village. A copy of such application shall be filed with
   16  the authority.
   17    7. If the assessor is satisfied that the applicant is entitled  to  an
   18  exemption pursuant to this section, he or she shall approve the applica-
   19  tion  and  enter  the  taxable assessed value of the parcel for which an
   20  exemption has been granted pursuant to this section  on  the  assessment
   21  roll  with  the  taxable  property,  with the amount of the exemption as
   22  computed pursuant to subdivision two  of  this  section  in  a  separate
   23  column. In the event that real property granted an exemption pursuant to
   24  this  section  ceases  to  be  used primarily for eligible purposes, the
   25  exemption granted pursuant to this section shall cease.
   26    8. Notwithstanding the provisions of subdivision two of this  section,
   27  a  county,  city, town or village may by local law or a school district,
   28  other than a school district to which article fifty-two of the education
   29  law applies, may by resolution provide  that  no  exemption  under  this
   30  section  shall be applicable within its jurisdiction with respect to any
   31  solar or wind energy system or  farm  waste  energy  system  constructed
   32  subsequent  to  January first, nineteen hundred ninety-one or the effec-
   33  tive date of such local  law,  ordinance  or  resolution,  whichever  is
   34  later.  A  copy  of any such local law or resolution shall be filed with
   35  the commissioner and with the president of the authority.
   36    9. (a) A county, city, town, village  or  school  district,  except  a
   37  school  district  under article fifty-two of the education law, that has
   38  not acted to remove the exemption under this  section  may  require  the
   39  owner  of  a property which includes a solar or wind energy system which
   40  meets the requirements of subdivision four of  this  section,  to  enter
   41  into a contract for payments in lieu of taxes. Such contract may require
   42  annual  payments  in  an  amount  not  to exceed the amounts which would
   43  otherwise be payable but for the exemption under this section.
   44    (b) The payment in lieu of a tax agreement shall  not  operate  for  a
   45  period  of more than fifteen years, commencing in each instance from the
   46  date on which the benefits of such exemption first become available  and
   47  effective.
   48    S 2. This act shall take effect immediately.