Bill Text: NY S03985 | 2019-2020 | General Assembly | Amended

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Bill Title: Increases the average assessed value threshold; relates to the eligibility of J-51 tax abatements to reflect cost of living adjustments.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Passed) 2019-07-03 - SIGNED CHAP.72 [S03985 Detail]

Download: New_York-2019-S03985-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                         3985--B

                               2019-2020 Regular Sessions

                    IN SENATE

                                    February 22, 2019
                                       ___________

        Introduced by Sens. STAVISKY, LIU -- read twice and ordered printed, and
          when printed to be committed to the Committee on Housing, Construction
          and  Community  Development  --  committee  discharged,  bill amended,
          ordered reprinted as amended and  recommitted  to  said  committee  --
          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 increasing the
          average assessed value threshold  and  to  eligibility  for  J-51  tax
          abatements

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. The opening paragraph of paragraph (a) of subdivision 1  of
     2  section  489  of  the real property tax law, as amended by section 19 of
     3  part A of chapter 20 of the laws of 2015, is amended to read as follows:
     4    Any city to which the multiple  dwelling  law  is  applicable,  acting
     5  through  its local legislative body or other governing agency, is hereby
     6  authorized and empowered, to and including January first,  two  thousand
     7  [nineteen] twenty, to adopt and amend local laws or ordinances providing
     8  that any increase in assessed valuation of real property shall be exempt
     9  from taxation for local purposes, as provided herein, to the extent such
    10  increase results from:
    11    §  2.  The  closing  paragraph  of  subparagraph 6 of paragraph (a) of
    12  subdivision 1 of section 489 of the real property tax law, as amended by
    13  section 20 of part A of chapter 20 of the laws of 2015,  is  amended  to
    14  read as follows:
    15    Such conversion, alterations or improvements shall be completed within
    16  thirty  months after the date on which same shall be started except that
    17  such thirty month limitation shall not apply to conversions of  residen-
    18  tial  units  which are registered with the loft board in accordance with
    19  article seven-C of the multiple dwelling law  pursuant  to  subparagraph
    20  one  of  this  paragraph.  Notwithstanding  the foregoing, a sixty month

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02925-11-9
        S. 3985--B                          2

     1  period for completion shall be available for alterations or improvements
     2  undertaken by a housing development fund company organized  pursuant  to
     3  article eleven of the private housing finance law, which are carried out
     4  with  the  substantial assistance of grants, loans or subsidies from any
     5  federal, state or local governmental agency or instrumentality or  which
     6  are  carried out in a property transferred from such city if alterations
     7  and improvements are completed within seven  years  after  the  date  of
     8  transfer.  In  addition, the local housing agency is hereby empowered to
     9  grant an extension of the period of completion for any  project  carried
    10  out  with  the substantial assistance of grants, loans or subsidies from
    11  any federal, state or local governmental agency or  instrumentality,  if
    12  such  alterations or improvements are completed within sixty months from
    13  commencement of construction. Provided, further, that  such  conversion,
    14  alterations  or  improvements  shall  in any event be completed prior to
    15  June thirtieth, two thousand [nineteen] twenty.  Exemption  for  conver-
    16  sions,  alterations  or  improvements pursuant to subparagraph one, two,
    17  three or four of this paragraph shall  continue  for  a  period  not  to
    18  exceed  fourteen  years and begin no sooner than the first quarterly tax
    19  bill immediately following the completion  of  such  conversion,  alter-
    20  ations or improvements. Exemption for alterations or improvements pursu-
    21  ant  to  this  subparagraph or subparagraph five of this paragraph shall
    22  continue for a period not to exceed thirty-four years and shall begin no
    23  sooner than the first  quarterly  tax  bill  immediately  following  the
    24  completion  of such alterations or improvements. Such exemption shall be
    25  equal to the increase in the valuation which is subject to exemption  in
    26  full  or  proportionally under this subdivision for ten or thirty years,
    27  whichever is applicable. After such period of time, the amount  of  such
    28  exempted  assessed  valuation  of  such improvements shall be reduced by
    29  twenty percent in each succeeding year until the assessed value  of  the
    30  improvements  are  fully taxable.   Provided, however, exemption for any
    31  conversion, alterations or improvements which are aided  by  a  loan  or
    32  grant  under  article eight, eight-A, eleven, twelve, fifteen or twenty-
    33  two of the private housing finance law, section six hundred ninety-six-a
    34  or section ninety-nine-h of the general municipal law, or section  three
    35  hundred  twelve  of  the  housing act of nineteen hundred sixty-four (42
    36  U.S.C.A. 1452b), or the Cranston-Gonzalez  national  affordable  housing
    37  act (42 U.S.C.A. 12701 et.  seq.), or started after July first, nineteen
    38  hundred  eighty-three  by  a  housing development fund company organized
    39  pursuant to article eleven of the private housing finance law which  are
    40  carried  out  with the substantial assistance of grants, loans or subsi-
    41  dies from any federal, state or local governmental agency or  instrumen-
    42  tality  or which are carried out in a property transferred from any city
    43  and where alterations and improvements are completed within seven  years
    44  after  the  date  of  transfer  may commence at the beginning of any tax
    45  quarter subsequent to the  start  of  such  conversion,  alterations  or
    46  improvements and prior to the completion of such conversion, alterations
    47  or improvements.
    48    §  3.  Subparagraph (iv) of paragraph (c) of subdivision 17 of section
    49  489 of the real property tax law, as added by chapter 388 of the laws of
    50  2016, is amended to read as follows:
    51    (iv) Notwithstanding anything to the contrary  contained  herein,  the
    52  assessed  value  limitation  shall  not at any time exceed [thirty-five]
    53  forty thousand dollars.
    54    § 4. This act shall take effect immediately.