Bill Text: NY S02273 | 2017-2018 | General Assembly | Introduced
Bill Title: Grants a real property tax exemption, at the option of the local taxing authority, to nonprofit organizations that purchase real property after the particular municipality's levy of taxes or taxable status date if the organization files an application for exemption with the assessor.
Spectrum: Slight Partisan Bill (Republican 2-1)
Status: (Introduced - Dead) 2018-06-20 - SUBSTITUTED BY A1647 [S02273 Detail]
Download: New_York-2017-S02273-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 2273 2017-2018 Regular Sessions IN SENATE January 12, 2017 ___________ Introduced by Sens. HANNON, AVELLA -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government AN ACT to amend the real property tax law, in relation to granting a real property tax exemption to nonprofit organizations that purchase real property after the taxable status date The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 13 of section 420-a of the real property tax 2 law, as added by chapter 630 of the laws of 1997, is renumbered subdivi- 3 sion 15 and a new subdivision 16 is added to read as follows: 4 16. (a) (i) For the purposes of this subdivision, "municipal corpo- 5 ration" shall mean a county, city, town, village or school district 6 which, after public hearing, adopts a local law, ordinance or resol- 7 ution, providing that this subdivision shall be applicable to nonprofit 8 organizations within its jurisdiction. Such local law, ordinance or 9 resolution shall apply to property transfers occurring on or after the 10 effective date of such local law, ordinance or resolution. A copy of 11 such local law, ordinance or resolution shall be filed with the commis- 12 sioner. 13 (ii) Where a nonprofit organization that meets the requirements for an 14 exemption pursuant to this section, purchases property after the levy of 15 taxes, such nonprofit organization may, if permitted by a local law, 16 ordinance or resolution of the municipal corporation in which the 17 nonprofit organization is located, file an application for exemption 18 with the assessor no later than the time specified in such local law, 19 ordinance or resolution. The assessor shall make a determination of 20 whether the parcel would have qualified for exempt status on the tax 21 roll on which the taxes were levied, had title to the parcel been in the 22 name of the applicant on the taxable status date applicable to the tax 23 roll. The application shall be on a form prescribed by the commissioner. 24 The assessor, no later than thirty days after receipt of such applica- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD02903-01-7S. 2273 2 1 tion, shall notify both the applicant and the board of assessment 2 review, by first class mail, of the exempt amount, if any, and the right 3 of the owner to a review of the exempt amount upon the filing of a writ- 4 ten complaint. Such complaint shall be on a form prescribed by the 5 commissioner and shall be filed with the board of assessment review 6 within twenty days of the mailing of such notice. If no complaint is 7 received, the board of assessment review shall so notify the assessor 8 and the exempt amount determined by the assessor shall be final. If the 9 applicant files a complaint, the board of assessment review shall sched- 10 ule a time and place for a hearing with respect thereto no later than 11 thirty days after the mailing of the notice by the assessor. The board 12 of assessment review shall meet and determine the exempt amount, and 13 shall immediately notify the assessor and the applicant, by first class 14 mail, of its determination. The amount of exemption determined pursuant 15 to this paragraph shall be subject to review as provided in article 16 seven of this chapter. Such a proceeding shall be commenced within thir- 17 ty days of the mailing of the notice of the board of assessment review 18 to the new owner as provided in this paragraph. 19 (iii) Upon receipt of a determination of the exempt amount as provided 20 in subparagraph (ii) of this paragraph, the assessor shall determine the 21 pro rata exemption to be credited toward such property by multiplying 22 the tax rate or tax rates for each municipal corporation which levied 23 taxes, or for which taxes were levied, on the appropriate tax roll used 24 for the fiscal year or years during which the transfer occurred times 25 the exempt amount, as determined in subparagraph (ii) of this paragraph, 26 times the fraction of each fiscal year or years remaining subsequent to 27 the transfer of title. The assessor shall immediately transmit a state- 28 ment of the pro rata exemption credit due to each municipal corporation 29 which levied taxes or for which taxes were levied on the tax roll used 30 for the fiscal year or years during which the transfer occurred and to 31 the applicant. 32 (iv) Each municipal corporation which receives notice of pro rata 33 exemption credits pursuant to this subdivision shall include an appro- 34 priation in its budget for the next fiscal year equal to the aggregate 35 amount of such credits to be applied in that fiscal year. Where a 36 parcel, the owner of which is entitled to a pro rata exemption credit, 37 is subject to taxation in said next fiscal year, the receiver or collec- 38 tor shall apply the credit to reduce the amount of taxes owed for the 39 parcel in such fiscal year. Pro rata exemption credits in excess of the 40 amount of taxes, if any, owed for the parcel shall be paid by the treas- 41 urer of a municipal corporation which levies such taxes for or on behalf 42 of the municipal corporation to all owners of property entitled to such 43 credits within thirty days of the expiration of the warrant to collect 44 taxes in said next fiscal year. Notwithstanding the foregoing, where 45 the municipal corporation has been reimbursed by another municipal 46 corporation for the tax credit to be paid to the owner pursuant to this 47 subdivision, such credit shall be paid to such municipal corporation 48 instead of such owner. 49 (b) (i) Notwithstanding the provisions of this section, where a 50 nonprofit organization that meets the requirements for an exemption 51 pursuant to this section, purchases property after the taxable status 52 date but prior to the levy of taxes, such nonprofit organization may, if 53 permitted by a local law, ordinance or resolution of the municipal 54 corporation in which the nonprofit organization is located, file an 55 application for an exemption with the assessor within thirty days of the 56 transfer of title to such nonprofit organization. The assessor shallS. 2273 3 1 make a determination within thirty days after receipt of such applica- 2 tion of whether the applicant would qualify for an exemption pursuant to 3 this section on the assessment roll if title had been in the name of the 4 applicant on the taxable status date applicable to such assessment roll. 5 The application shall be made on a form prescribed by the commissioner. 6 (ii) If the assessor's determination is made prior to the filing of 7 the tentative assessment roll, the assessor shall enter the exempt 8 amount, if any, on the tentative assessment roll and, within ten days 9 after filing such roll, notify the applicant of the approval or denial 10 of such exemption, the exempt amount, if any, and the applicant's right 11 to review by the board of assessment review. 12 (iii) If the assessor's determination is made after the filing of the 13 tentative assessment roll, the assessor shall petition the board of 14 assessment review to correct the tentative or final assessment roll in 15 the manner provided in title three of article five of this chapter, with 16 respect to unlawful entries, in the case of wholly exempt parcels, and 17 with respect of clerical errors, in the case of partially exempt 18 parcels, if the assessor determines that an exemption should be granted 19 and, within ten days of petitioning the board of assessment review, 20 notify the applicant of the approval or denial of such exemption, the 21 amount of such exemption, if any, and the applicant's right to adminis- 22 trative or judicial review of such determination pursuant to article 23 five or seven of this chapter, respectively. 24 (c) If, for any reason, a determination to exempt property from taxa- 25 tion as provided in paragraph (b) of this subdivision is not entered on 26 the final assessment roll, the assessor shall petition the board of 27 assessment review to correct the final assessment roll. 28 (d) If, for any reason, the pro rata tax credit as provided in para- 29 graph (a) of this subdivision is not extended against the tax roll imme- 30 diately succeeding the fiscal year during which the transfer occurred, 31 the assessor shall immediately notify the municipal corporation which 32 levied the tax or for which the taxes were levied of the amount of pro 33 rata exemption credits for the year in which such transfer occurred. 34 Such municipal corporation shall proceed as provided in subparagraph 35 (iv) of paragraph (a) of this subdivision. 36 (e) If, for any reason, a determination to exempt property from taxa- 37 tion as provided in paragraph (b) of this subdivision is not entered on 38 the tax roll for the year immediately succeeding the fiscal year during 39 which the transfer occurred, the assessor shall determine the pro rata 40 tax exemption credit for such tax roll by multiplying the tax rate or 41 tax rates for each municipal corporation which levied taxes or for which 42 taxes were levied times the exempt amount and shall immediately notify 43 such municipal corporation or corporations of the pro rata exemption 44 credits for such tax roll. Such municipal corporation shall add such pro 45 rata exemption credits for such property to any outstanding pro rata 46 exemption amounts and proceed as provided in subparagraph (iv) of para- 47 graph (a) of this subdivision. 48 § 2. Section 420-b of the real property tax law is amended by adding 49 a new subdivision 8 to read as follows: 50 8. (a) (i) For the purposes of this subdivision, "municipal corpo- 51 ration" shall mean a county, city, town, village or school district 52 which, after public hearing, adopts a local law, ordinance or resol- 53 ution, providing that this subdivision shall be applicable to nonprofit 54 organizations within its jurisdiction. Such local law, ordinance or 55 resolution shall apply to property transfers occurring on or after the 56 effective date of such local law, ordinance or resolution. A copy ofS. 2273 4 1 such local law, ordinance or resolution shall be filed with the commis- 2 sioner. 3 (ii) Where a nonprofit organization that meets the requirements for an 4 exemption pursuant to this section, purchases property after the levy of 5 taxes, such nonprofit organization may file, if permitted by a local 6 law, ordinance or resolution of the municipal corporation in which the 7 nonprofit organization is located, an application for exemption with the 8 assessor no later than the time specified in such local law, ordinance 9 or resolution. The assessor shall make a determination of whether the 10 parcel would have qualified for exempt status on the tax roll on which 11 the taxes were levied, had title to the parcel been in the name of the 12 applicant on the taxable status date applicable to the tax roll. The 13 application shall be on a form prescribed by the commissioner. The 14 assessor, no later than thirty days after receipt of such application, 15 shall notify both the applicant and the board of assessment review, by 16 first class mail, of the exempt amount, if any, and the right of the 17 owner to a review of the exempt amount upon the filing of a written 18 complaint. Such complaint shall be on a form prescribed by the commis- 19 sioner and shall be filed with the board of assessment review within 20 twenty days of the mailing of such notice. If no complaint is received, 21 the board of assessment review shall so notify the assessor and the 22 exempt amount determined by the assessor shall be final. If the appli- 23 cant files a complaint, the board of assessment review shall schedule a 24 time and place for a hearing with respect thereto no later than thirty 25 days after the mailing of the notice by the assessor. The board of 26 assessment review shall meet and determine the exempt amount, and shall 27 immediately notify the assessor and the applicant, by first class mail, 28 of its determination. The amount of exemption determined pursuant to 29 this paragraph shall be subject to review as provided in article seven 30 of this chapter. Such a proceeding shall be commenced within thirty days 31 of the mailing of the notice of the board of assessment review to the 32 new owner as provided in this paragraph. 33 (iii) Upon receipt of a determination of the exempt amount as provided 34 in subparagraph (ii) of this paragraph, the assessor shall determine the 35 pro rata exemption to be credited toward such property by multiplying 36 the tax rate or tax rates for each municipal corporation which levied 37 taxes, or for which taxes were levied, on the appropriate tax roll used 38 for the fiscal year or years during which the transfer occurred times 39 the exempt amount, as determined in subparagraph (ii) of this paragraph, 40 times the fraction of each fiscal year or years remaining subsequent to 41 the transfer of title. The assessor shall immediately transmit a state- 42 ment of the pro rata exemption credit due to each municipal corporation 43 which levied taxes or for which taxes were levied on the tax roll used 44 for the fiscal year or years during which the transfer occurred and to 45 the applicant. 46 (iv) Each municipal corporation which receives notice of pro rata 47 exemption credits pursuant to this subdivision shall include an appro- 48 priation in its budget for the next fiscal year equal to the aggregate 49 amount of such credits to be applied in that fiscal year. Where a 50 parcel, the owner of which is entitled to a pro rata exemption credit, 51 is subject to taxation in said next fiscal year, the receiver or collec- 52 tor shall apply the credit to reduce the amount of taxes owed for the 53 parcel in such fiscal year. Pro rata exemption credits in excess of the 54 amount of taxes, if any, owed for the parcel shall be paid by the treas- 55 urer of a municipal corporation which levies such taxes for or on behalf 56 of the municipal corporation to all owners of property entitled to suchS. 2273 5 1 credits within thirty days of the expiration of the warrant to collect 2 taxes in said next fiscal year. Notwithstanding the foregoing, where 3 the municipal corporation has been reimbursed by another municipal 4 corporation for the tax credit to be paid to the owner pursuant to this 5 subdivision, such credit shall be paid to such municipal corporation 6 instead of such owner. 7 (b) (i) Notwithstanding the provisions of this section, where a 8 nonprofit organization that meets the requirements for an exemption 9 pursuant to this section, purchases property after the taxable status 10 date but prior to the levy of taxes, such nonprofit organization may, if 11 permitted by a local law, ordinance or resolution of the municipal 12 corporation in which the nonprofit organization is located, file an 13 application for an exemption with the assessor within thirty days of the 14 transfer of title to such nonprofit organization. The assessor shall 15 make a determination within thirty days after receipt of such applica- 16 tion of whether the applicant would qualify for an exemption pursuant to 17 this section on the assessment roll if title had been in the name of the 18 applicant on the taxable status date applicable to such assessment roll. 19 The application shall be made on a form prescribed by the commissioner. 20 (ii) If the assessor's determination is made prior to the filing of 21 the tentative assessment roll, the assessor shall enter the exempt 22 amount, if any, on the tentative assessment roll and, within ten days 23 after filing such roll, notify the applicant of the approval or denial 24 of such exemption, the exempt amount, if any, and the applicant's right 25 to review by the board of assessment review. 26 (iii) If the assessor's determination is made after the filing of the 27 tentative assessment roll, the assessor shall petition the board of 28 assessment review to correct the tentative or final assessment roll in 29 the manner provided in title three of article five of this chapter, with 30 respect to unlawful entries, in the case of wholly exempt parcels, and 31 with respect of clerical errors, in the case of partially exempt 32 parcels, if the assessor determines that an exemption should be granted 33 and, within ten days of petitioning the board of assessment review, 34 notify the applicant of the approval or denial of such exemption, the 35 amount of such exemption, if any, and the applicant's right to adminis- 36 trative or judicial review of such determination pursuant to article 37 five or seven of this chapter, respectively. 38 (c) If, for any reason, a determination to exempt property from taxa- 39 tion as provided in paragraph (b) of this subdivision is not entered on 40 the final assessment roll, the assessor shall petition the board of 41 assessment review to correct the final assessment roll. 42 (d) If, for any reason, the pro rata tax credit as provided in para- 43 graph (a) of this subdivision is not extended against the tax roll imme- 44 diately succeeding the fiscal year during which the transfer occurred, 45 the assessor shall immediately notify the municipal corporation which 46 levied the tax or for which the taxes were levied of the amount of pro 47 rata exemption credits for the year in which such transfer occurred. 48 Such municipal corporation shall proceed as provided in subparagraph 49 (iv) of paragraph (a) of this subdivision. 50 (e) If, for any reason, a determination to exempt property from taxa- 51 tion as provided in paragraph (b) of this subdivision is not entered on 52 the tax roll for the year immediately succeeding the fiscal year during 53 which the transfer occurred, the assessor shall determine the pro rata 54 tax exemption credit for such tax roll by multiplying the tax rate or 55 tax rates for each municipal corporation which levied taxes or for which 56 taxes were levied times the exempt amount and shall immediately notifyS. 2273 6 1 such municipal corporation or corporations of the pro rata exemption 2 credits for such tax roll. Such municipal corporation shall add such pro 3 rata exemption credits for such property to any outstanding pro rata 4 exemption amounts and proceed as provided in subparagraph (iv) of para- 5 graph (a) of this subdivision. 6 § 3. This act shall take effect on the ninetieth day after it shall 7 have become a law.