Bill Text: NY S04750 | 2015-2016 | General Assembly | Amended

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

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Bill Title: Relates to the exemption from taxation for micro-hydroelectric energy systems, fuel cell electric generating systems, or micro-combined heat and power generating equipment systems.

Spectrum: Slight Partisan Bill (Democrat 2-1)

Status: (Introduced - Dead) 0000-00-00 - [S04750 Detail]

Download: New_York-2015-S04750-Amended.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                        4750--A
                              2015-2016 Regular Sessions
                                   I N  S E N A T E
                                    April 15, 2015
                                      ___________
       Introduced  by  Sens.  GRIFFO, AVELLA, VALESKY -- read twice and ordered
         printed, and when printed to be committed to the  Committee  on  Local
         Government -- 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 exemption from
         taxation for certain energy systems
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. The section heading and subdivisions 2, 3 and 4 of  section
    2  487  of the real property tax law, as amended by chapter 515 of the laws
    3  of 2002, are amended to read as follows:
    4    Exemption from taxation for certain [solar or wind energy  systems  or
    5  farm waste] energy systems.
    6    2.  Real  property  which includes a solar or wind energy system [or],
    7  farm waste energy system, MICRO-HYDROELECTRIC ENERGY SYSTEM,  FUEL  CELL
    8  ELECTRIC  GENERATING  SYSTEM,  MICRO-COMBINED  HEAT AND POWER GENERATING
    9  EQUIPMENT SYSTEM, OR ELECTRIC  ENERGY  STORAGE  EQUIPMENT  AND  ELECTRIC
   10  ENERGY STORAGE SYSTEM approved in accordance with the provisions of this
   11  section  shall  be exempt from taxation to the extent of any increase in
   12  the value thereof by reason of the inclusion of such solar or wind ener-
   13  gy system [or], farm waste  energy  system,  MICRO-HYDROELECTRIC  ENERGY
   14  SYSTEM,  FUEL  CELL  ELECTRIC GENERATING SYSTEM, MICRO-COMBINED HEAT AND
   15  POWER GENERATING EQUIPMENT SYSTEM, OR ELECTRIC ENERGY STORAGE  EQUIPMENT
   16  AND  ELECTRIC ENERGY STORAGE SYSTEM for a period of fifteen years.  When
   17  a solar or wind energy system or components  thereof  [or],  farm  waste
   18  energy  system,  MICRO-HYDROELECTRIC  ENERGY  SYSTEM, FUEL CELL ELECTRIC
   19  GENERATING SYSTEM, MICRO-COMBINED HEAT AND  POWER  GENERATING  EQUIPMENT
   20  SYSTEM, OR ELECTRIC ENERGY STORAGE EQUIPMENT AND ELECTRIC ENERGY STORAGE
   21  SYSTEM  also  serve  as  part of the building structure, the increase in
   22  value which shall be exempt from taxation shall be equal to the assessed
   23  value attributable to such system or components multiplied by the  ratio
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD04869-06-5
       S. 4750--A                          2
    1  of  the  incremental cost of such system or components to the total cost
    2  of such system or components.
    3    3. The president of the authority shall provide definitions and guide-
    4  lines  for  the  eligibility  for exemption of the solar and wind energy
    5  equipment and systems [and], farm waste energy  equipment  and  systems,
    6  MICRO-HYDROELECTRIC EQUIPMENT AND SYSTEMS, FUEL CELL ELECTRIC GENERATING
    7  EQUIPMENT  AND  SYSTEMS, MICRO-COMBINED HEAT AND POWER GENERATING EQUIP-
    8  MENT AND SYSTEMS AND ELECTRIC  ENERGY  STORAGE  EQUIPMENT  AND  ELECTRIC
    9  ENERGY  STORAGE SYSTEM described in paragraphs (a) [and], (b), (E), (F),
   10  (G), (H), (I), (J), (K), (L), (M) AND (N) of  subdivision  one  of  this
   11  section.
   12    4.  No  solar  or  wind  energy system [or], farm waste energy system,
   13  MICRO-HYDROELECTRIC ENERGY SYSTEM, FUEL CELL ELECTRIC GENERATING SYSTEM,
   14  MICRO-COMBINED HEAT AND POWER GENERATING EQUIPMENT SYSTEM,  OR  ELECTRIC
   15  ENERGY  STORAGE  EQUIPMENT  AND  ELECTRIC ENERGY STORAGE SYSTEM shall be
   16  entitled to any exemption from taxation under this section  unless  such
   17  system  meets  the  guidelines set by the president of the authority and
   18  all other applicable provisions of law.
   19    S 2. Subdivision 1 of section 487 of the  real  property  tax  law  is
   20  amended by adding eight new paragraphs (g), (h), (i), (j), (k), (l), (m)
   21  and (n) to read as follows:
   22    (G)  "MICRO-HYDROELECTRIC  ENERGY  EQUIPMENT" MEANS ANY ENERGY STORAGE
   23  DEVICE, PENSTOCK, TURBINE, GENERATOR AND OTHER MATERIALS,  HARDWARE  AND
   24  EQUIPMENT  NECESSARY TO THE PROCESS BY WHICH THE FLOW OF STREAM OR RIVER
   25  WATER OR WATER FROM OTHER WATER BODIES IS (I) CONVERTED INTO  ELECTRICAL
   26  ENERGY;  (II) PROTECTED FROM UNNECESSARY DISSIPATION; AND (III) DISTRIB-
   27  UTED. IT DOES NOT INCLUDE PIPES, CONTROLS, INSULATION OR OTHER EQUIPMENT
   28  WHICH ARE PART OF THE NORMAL HEATING, COOLING, OR INSULATION SYSTEM OF A
   29  BUILDING. IT DOES NOT INCLUDE INSULATED GLAZING  OR  INSULATION  TO  THE
   30  EXTENT THAT SUCH MATERIALS EXCEED THE ENERGY EFFICIENCY STANDARDS ESTAB-
   31  LISHED BY LAW.
   32    (H) "MICRO-HYDROELECTRIC ENERGY SYSTEM" MEANS AN ARRANGEMENT OR COMBI-
   33  NATION OF MICRO-HYDROELECTRIC ENERGY EQUIPMENT DESIGNED TO PROVIDE ELEC-
   34  TRICAL  ENERGY  BY  THE USE OF FLOWING WATER. IT DOES NOT INCLUDE PIPES,
   35  CONTROLS, INSULATION OR OTHER EQUIPMENT WHICH ARE  PART  OF  THE  NORMAL
   36  HEATING,  COOLING,  OR  INSULATION  SYSTEM  OF  A  BUILDING. IT DOES NOT
   37  INCLUDE INSULATED GLAZING OR INSULATION TO THE EXTENT THAT SUCH  MATERI-
   38  ALS EXCEED THE ENERGY EFFICIENCY STANDARDS ESTABLISHED BY LAW.
   39    (I)  "FUEL  CELL  ELECTRIC  GENERATING EQUIPMENT" MEANS A SOLID OXIDE,
   40  MOLTEN CARBONATE, PROTON EXCHANGE MEMBRANE OR PHOSPHORIC ACID FUEL  CELL
   41  WITH  A COMBINED RATED CAPACITY OF NOT MORE THAN TWO THOUSAND KILOWATTS.
   42  IT DOES NOT INCLUDE INSULATED GLAZING OR INSULATION TO THE  EXTENT  THAT
   43  SUCH  MATERIALS  EXCEED  THE  ENERGY EFFICIENCY STANDARDS ESTABLISHED BY
   44  LAW.
   45    (J) "FUEL CELL ELECTRIC GENERATING SYSTEM"  MEANS  AN  ARRANGEMENT  OR
   46  COMBINATION  OF  EQUIPMENT DESIGNED TO PRODUCE ELECTRICAL ENERGY THROUGH
   47  REACTION OF CHEMICALS, INCLUDING BUT NOT LIMITED  TO  HYDROGEN,  OXYGEN,
   48  METHANE AND NATURAL GAS.
   49    (K)  "MICRO-COMBINED  HEAT  AND  POWER  GENERATING EQUIPMENT" MEANS AN
   50  INTEGRATED, COGENERATING BUILDING HEATING AND  ELECTRICAL  POWER  GENER-
   51  ATION  SYSTEM,  OWNED,  LEASED  OR  OPERATED  BY A RESIDENTIAL CUSTOMER,
   52  LOCATED AT SUCH CUSTOMER'S PREMISES, OPERATING ON ANY FUEL  AND  OF  ANY
   53  APPLICABLE  ENGINE,  FUEL CELL OR OTHER TECHNOLOGY WITH A RATED CAPACITY
   54  OF AT LEAST ONE KILOWATT AND NOT MORE THAN TEN  KILOWATTS  ELECTRIC  AND
   55  ANY  THERMAL  OUTPUT  THAT HAS A DESIGN TOTAL FUEL USE EFFICIENCY IN THE
   56  PRODUCTION OF HEAT AND ELECTRICITY OF NOT LESS THAN EIGHTY PERCENT,  AND
       S. 4750--A                          3
    1  ANNUALLY  PRODUCES AT LEAST TWO THOUSAND KILOWATT HOURS OF USEFUL ENERGY
    2  IN THE FORM OF ELECTRICITY THAT MAY WORK  IN  COMBINATION  WITH  SUPPLE-
    3  MENTAL  OR  PARALLEL CONVENTIONAL HEATING SYSTEMS, THAT IS MANUFACTURED,
    4  INSTALLED  AND  OPERATED  IN  ACCORDANCE  WITH APPLICABLE GOVERNMENT AND
    5  INDUSTRY STANDARDS, THAT IS CONNECTED TO THE ELECTRIC SYSTEM  AND  OPER-
    6  ATED  IN  CONJUNCTION  WITH  AN  ELECTRIC CORPORATION'S TRANSMISSION AND
    7  DISTRIBUTION FACILITIES. IT DOES NOT INCLUDE PIPES, CONTROLS, INSULATION
    8  OR OTHER EQUIPMENT WHICH ARE PART OF THE  NORMAL  HEATING,  COOLING,  OR
    9  INSULATION  SYSTEM  OF A BUILDING. IT DOES NOT INCLUDE INSULATED GLAZING
   10  OR INSULATION TO THE EXTENT THAT SUCH MATERIALS EXCEED THE ENERGY  EFFI-
   11  CIENCY STANDARDS ESTABLISHED BY LAW.
   12    (L)  "MICRO-COMBINED HEAT AND POWER GENERATING EQUIPMENT SYSTEM" MEANS
   13  AN ARRANGEMENT OR COMBINATION OF EQUIPMENT  DESIGNED  TO  PRODUCE  ELEC-
   14  TRICAL  ENERGY  AND  HEAT  FOR A RESIDENTIAL CUSTOMER ON SUCH CUSTOMER'S
   15  PREMISES.
   16    (M) "ELECTRIC ENERGY STORAGE EQUIPMENT" MEANS A  SET  OF  TECHNOLOGIES
   17  CAPABLE OF STORING ELECTRIC ENERGY AND RELEASING THAT ENERGY AS ELECTRIC
   18  POWER  AT  A  LATER TIME. ELECTRIC ENERGY STORAGE TECHNOLOGIES MAY STORE
   19  ENERGY AS POTENTIAL, KINETIC, CHEMICAL OR THERMAL ENERGY,  THAT  CAN  BE
   20  RELEASED  AS ELECTRIC POWER AND INCLUDE, BUT ARE NOT LIMITED TO, VARIOUS
   21  TYPES OF BATTERIES, FLYWHEELS,  ELECTROCHEMICAL  CAPACITORS,  COMPRESSED
   22  AIR STORAGE AND THERMAL STORAGE DEVICES.
   23    (N)  "ELECTRIC ENERGY STORAGE SYSTEM" MEANS AN ARRANGEMENT OR COMBINA-
   24  TION OF EQUIPMENT DESIGNED TO STORE ELECTRICAL ENERGY IN ELECTRIC ENERGY
   25  STORAGE EQUIPMENT AND RELEASE ELECTRIC POWER AT A LATER TIME.
   26    S 3. Subdivision 5 of section 487 of the real  property  tax  law,  as
   27  amended  by  chapter  344  of  the  laws  of 2014, is amended to read as
   28  follows:
   29    5. The exemption granted pursuant to this section shall only be appli-
   30  cable to (A) solar or wind energy systems or farm waste  energy  systems
   31  which  are  [(a)] (I) existing or constructed prior to July first, nine-
   32  teen hundred eighty-eight or [(b)] (II) constructed subsequent to  Janu-
   33  ary  first,  nineteen hundred ninety-one and prior to January first, two
   34  thousand twenty-five, AND (B) MICRO-HYDROELECTRIC ENERGY  SYSTEMS,  FUEL
   35  CELL ELECTRIC GENERATING SYSTEMS, MICRO-COMBINED HEAT AND POWER GENERAT-
   36  ING  EQUIPMENT SYSTEMS, OR ELECTRIC ENERGY STORAGE EQUIPMENT OR ELECTRIC
   37  ENERGY STORAGE SYSTEM WHICH ARE CONSTRUCTED SUBSEQUENT TO JANUARY FIRST,
   38  TWO  THOUSAND  SIXTEEN  AND  PRIOR  TO  JANUARY  FIRST,   TWO   THOUSAND
   39  TWENTY-FIVE.
   40    S 4. Paragraph (a) of subdivision 8 of section 487 of the real proper-
   41  ty tax law, as amended by chapter 344 of the laws of 2014, is amended to
   42  read as follows:
   43    (a) Notwithstanding the provisions of subdivision two of this section,
   44  a  county,  city, town or village may by local law or a school district,
   45  other than a school district to which article fifty-two of the education
   46  law applies, may by resolution provide  EITHER  (I)  that  no  exemption
   47  under  this  section  shall  be  applicable within its jurisdiction with
   48  respect to any solar or wind energy system or farm waste  energy  system
   49  which  began  construction subsequent to January first, nineteen hundred
   50  ninety-one or the effective date of such local law, ordinance or  resol-
   51  ution,  whichever  is  later,  AND/OR  (II) THAT NO EXEMPTION UNDER THIS
   52  SECTION SHALL BE APPLICABLE WITHIN ITS JURISDICTION WITH RESPECT TO  ANY
   53  MICRO-HYDROELECTRIC ENERGY SYSTEM, FUEL CELL ELECTRIC GENERATING SYSTEM,
   54  MICRO-COMBINED  HEAT  AND POWER GENERATING EQUIPMENT SYSTEM, OR ELECTRIC
   55  ENERGY STORAGE EQUIPMENT OR ELECTRIC ENERGY STORAGE  SYSTEM  CONSTRUCTED
   56  SUBSEQUENT  TO JANUARY FIRST, TWO THOUSAND SIXTEEN OR THE EFFECTIVE DATE
       S. 4750--A                          4
    1  OF SUCH LOCAL LAW, ORDINANCE OR RESOLUTION, WHICHEVER IS LATER.  A  copy
    2  of any such local law or resolution shall be filed with the commissioner
    3  and with the president of the authority.
    4    S 5. This act shall take effect January 1, 2016.