Bill Text: NY A10214 | 2015-2016 | General Assembly | Amended
Bill Title: Relates to an exemption of capital improvements to multiple dwelling buildings within certain cities.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2016-11-04 - signed chap.417 [A10214 Detail]
Download: New_York-2015-A10214-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 10214--D IN ASSEMBLY May 17, 2016 ___________ Introduced by M. of A. PALMESANO -- read once and referred to the Committee on Real Property Taxation -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said commit- tee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommit- ted to said committee AN ACT to amend the real property tax law, in relation to an exemption of capital improvements to multiple dwelling buildings within certain cities The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The real property tax law is amended by adding a new 2 section 421-o to read as follows: 3 § 421-o. Exemption of capital improvements to multiple dwelling build- 4 ings within certain cities. 1. Multiple dwelling buildings, recon- 5 structed, altered, converted back to an owner occupied single family 6 dwelling located in any city having a population of more than ten thou- 7 sand inhabitants but fewer than twelve thousand inhabitants, that is 8 located in a county having a population of more than ninety-seven thou- 9 sand inhabitants but fewer than ninety-nine thousand inhabitants, deter- 10 mined in accordance with the latest federal decennial census, that are 11 reconstructed, altered or improved subsequent to the effective date of a 12 local law or resolution pursuant to this section shall be exempt from 13 taxation and special ad valorem levies to the extent provided hereinaft- 14 er. After a public hearing, the governing board of such city may adopt a 15 local law to grant the exemption authorized pursuant to this section. A 16 copy of such local law shall be filed with the commissioner and the 17 assessor of such city who prepares the assessment roll on which the 18 taxes of such city are levied. 19 2. (a) Such buildings within such city shall be exempt for a period of 20 one year to the extent of one hundred percent of the increase in EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15431-05-6A. 10214--D 2 1 assessed value attributable to such reconstruction, alteration or 2 improvement and for an additional period of eleven years subject to the 3 following: 4 (i) The extent of such exemption shall be decreased by eight and one- 5 third percent of the "exemption base" each year during such additional 6 period. The "exemption base" shall be the increase in assessed value as 7 determined in the initial year of the term of the exemption, except as 8 provided in subparagraph (ii) of this paragraph. 9 (ii) In any year in which a change in level of assessment of fifteen 10 percent or more is certified for a final assessment roll pursuant to the 11 rules of the commissioner, the exemption base shall be multiplied by a 12 fraction, the numerator of which shall be the total assessed value of 13 the parcel on such final assessment roll (after accounting for any phys- 14 ical or quantity changes to the parcel since the immediately preceding 15 assessment roll), and the denominator of which shall be the total 16 assessed value of the parcel on the immediately preceding final assess- 17 ment roll. The result shall be the new exemption base. The exemption 18 shall thereupon be recomputed to take into account the new exemption 19 base, notwithstanding the fact that the assessor receives certification 20 of the change in level of assessment after the completion, verification 21 and filing of the final assessment roll. In the event the assessor does 22 not have custody of the roll when such certification is received, the 23 assessor shall certify the recomputed exemption to the local officers 24 having custody and control of the roll, and such local officers are 25 hereby directed and authorized to enter the recomputed exemption certi- 26 fied by the assessor on the roll. The assessor shall give written notice 27 of such recomputed exemption to the property owner, who may, if he or 28 she believes that the exemption was recomputed incorrectly, apply for a 29 correction in the manner provided by title three of article five of this 30 chapter for the correction of clerical errors. 31 (iii) Such exemption shall be limited to one hundred thousand dollars 32 in increased market value, or such other sum less than one hundred thou- 33 sand dollars, but not less than ten thousand dollars as may be provided 34 by the local law or resolution, of the property attributable to such 35 reconstruction, alteration or improvement and any increase in market 36 value greater than such amount shall not be eligible for the exemption 37 pursuant to this section. For the purposes of this section, the market 38 value of the reconstruction, alteration or improvement shall be equal to 39 the increased assessed value attributable to such reconstruction, alter- 40 ation or improvement divided by the most recently established state 41 equalization rate for such city. Where the state equalization rate or 42 special equalization rate equals or exceeds ninety-five percent, the 43 increase in assessed value attributable to such reconstruction, alter- 44 ation or improvement shall be deemed to equal the market value of such 45 reconstruction, alteration or improvement. 46 (b) No such exemption shall be granted for reconstruction, alterations 47 or improvements unless: 48 (i) such reconstruction, alteration or converted improvement was 49 commenced subsequent to the effective date of the local law adopted 50 pursuant to subdivision one of this section by such city; 51 (ii) the value of such reconstruction, alteration or improvement 52 exceeds five thousand dollars; and 53 (iii) the greater portion, as so determined by square footage, of the 54 building reconstructed, altered or improved is at least five years old. 55 (c) For purposes of this section the terms reconstruction, alteration 56 and improvement shall not include ordinary maintenance and repairs.A. 10214--D 3 1 3. Such exemption shall be granted only upon application by the owner 2 of such building on a form prescribed by the commissioner. The applica- 3 tion shall be filed with the assessor of such city on or before the 4 appropriate taxable status date of such city. 5 4. If satisfied that the applicant is entitled to an exemption pursu- 6 ant to this section, the assessor shall approve the application and such 7 building shall thereafter be exempt from taxation and special ad valorem 8 levies as provided in this section commencing with the assessment roll 9 prepared on the basis of the taxable status date referred to in subdivi- 10 sion three of this section. The assessed value of any exemption granted 11 pursuant to this section shall be entered by the assessor on the assess- 12 ment roll with the taxable property, with the amount of the exemption 13 shown in a separate column. 14 5. For purposes of this section, an owner occupied single family 15 dwelling shall mean any building or structure designed and occupied as 16 the temporary or permanent residence or home of one family. 17 6. In the event that a building granted an exemption pursuant to this 18 section ceases to be used primarily for residential purposes or title 19 thereto is transferred to other than the heirs or distributees of the 20 owner, the exemption granted pursuant to this section shall cease. 21 7. (a) The enactment of a local law in such city may: 22 (i) reduce the percent of exemption otherwise allowed pursuant to this 23 section; 24 (ii) limit eligibility for the exemption to those forms of recon- 25 struction, alterations or improvements as are prescribed in such local 26 law or resolution; 27 (iii) provide that the exemption shall be applicable only to those 28 improvements which would otherwise result in an increase in the assessed 29 valuation of the real property but which consist of an addition, remod- 30 eling or modernization to an existing residence building structure to 31 prevent physical deterioration of the structure or to comply with appli- 32 cable building, sanitary, health and/or fire codes. 33 (b) No such local law shall reduce or repeal an exemption granted 34 pursuant to this section until the expiration of the period for which 35 such exemption was granted. 36 § 2. This act shall take effect on the first of January next succeed- 37 ing the date on which it shall have become a law.
