Bill Text: NY S06203 | 2019-2020 | General Assembly | Amended
Bill Title: Repeals the rebates for stock transfer tax paid; dedicates funds of the stock transfer tax fund and stock transfer incentive fund to various funds; establishes the safe water and infrastructure action program.
Spectrum: Partisan Bill (Democrat 13-0)
Status: (Introduced - Dead) 2020-06-26 - PRINT NUMBER 6203A [S06203 Detail]
Download: New_York-2019-S06203-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 6203--A 2019-2020 Regular Sessions IN SENATE May 22, 2019 ___________ Introduced by Sens. SANDERS, BIAGGI, HOYLMAN, JACKSON, MYRIE, RAMOS, RIVERA, SALAZAR -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue -- recommitted to the Committee on Budget and Revenue in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the state finance law, in relation to the repeal of the rebate for stock transfer tax paid and the funds of the stock transfer tax fund and the dedicated infrastructure investment fund; to amend the environmental conservation law, in relation to establishing the safe water infrastructure action program for the purpose of making payments toward the replacement and rehabilitation of existing local municipally-owned and funded drinking water, storm water and sanitary sewer systems; to amend the tax law, in relation to taxes imposed in certain transactions; to repeal section 280-a of the tax law relating to the rebate for stock transfer tax paid; to repeal section 92-i of the state finance law relating to the stock transfer incentive fund; and to repeal certain provisions of the administrative code of the city of New York relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 280-a of the tax law is REPEALED. 2 § 2. Section 92-i of the state finance law is REPEALED. 3 § 3. Section 92-b of the state finance law, as added by chapter 91 of 4 the laws of 1965, subdivision 3 as amended by chapter 878 of the laws of 5 1977, subdivision 4 as amended by chapter 724 of the laws of 1979, 6 subdivision 5 as added and subdivision 6 as renumbered by section 2 of 7 chapter 3 of the laws of 1966, subdivision 7 as added by section 10 of 8 part SS1 of chapter 57 of the laws of 2008 and such section as renum- 9 bered by section 1 of chapter 3 of the laws of 1966, is amended to read 10 as follows: EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09894-08-0S. 6203--A 2 1 § 92-b. Stock transfer tax fund. 1. There is hereby established in the 2 custody of the commissioner of taxation and finance a special fund, to 3 be known as the stock transfer tax fund. 4 2. Such fund shall consist of the revenues derived from the stock 5 transfer tax imposed by article twelve of the tax law and all other 6 moneys credited or transferred thereto from any other fund or source 7 pursuant to law. 8 3. The moneys received from such tax and other sources in such fund[,9after deducting the amount the commissioner of taxation and finance10shall determine to be necessary for] shall be used to cover the reason- 11 able costs of the state tax commission in administering, collecting and 12 distributing [such] the stock transfer tax, commencing with the fiscal 13 year ending March thirty-first, [nineteen hundred seventy-seven] two 14 thousand twenty-two, [shall be appropriated to (i) the municipal assist-15ance corporation for the city of New York created pursuant to title16three of article ten of the public authorities law in order to enable17such corporation to fulfill the terms of any agreements made with the18holders of its notes and bonds and to carry out its corporate purposes19including the maintenance of the capital reserve fund and (ii) to the20extent such moneys are not required by such corporation as provided in21subdivision seven of section ninety-two-d of this chapter and, after22deducting the amount such commissioner shall determine to be necessary23for reasonable costs of the state tax commission in administering and24making distributions in accordance with the provisions of section two25hundred eighty-a of the tax law from the stock transfer incentive fund,26to the stock transfer incentive fund created pursuant to section nine-27ty-two-i of this chapter to enable rebates to be made from such fund28under the provisions of section two hundred eighty-a of the tax law and29(iii) to the extent such moneys are not required by such fund, as certi-30fied by the commissioner of taxation and finance, the balance shall be31appropriated to the city of New York, for the support of local govern-32ment.] and the remainder shall be deposited into the state general fund. 33 Commencing with the fiscal year ending March thirty-first, two thousand 34 twenty-three, such remainder shall be deposited into the following 35 funds: 36 (i) twenty-five percent shall be directed to the metropolitan trans- 37 portation authority financial assistance fund established pursuant to 38 section ninety-two-ff of this article; 39 (ii) ten percent shall be directed to the division of housing and 40 community renewal for the purpose of capital projects and other improve- 41 ments to address issues relating to conditions of governance and habita- 42 bility, including but not limited to, heating, mold, or lead, and other 43 such conditions affecting the health and safety of tenants at housing 44 developments owned or operated by the New York city housing authority; 45 (iii) fifteen percent shall be directed to the highway and bridge 46 capital account in the dedicated highway and bridge trust fund estab- 47 lished pursuant to section eighty-nine-b of this article; 48 (iv) ten percent shall be directed to the dedicated highway and bridge 49 trust fund established pursuant to section eighty-nine-b of this arti- 50 cle, to be directed towards the infrastructure, maintenance and develop- 51 ment of rail lines for AMTRAK in the northeast corridor; 52 (v) five percent shall be directed to the local infrastructure account 53 of the general fund established pursuant to section seventy-two of this 54 article to be directed to the Consolidated Local Street and Highway 55 Improvement Program (CHIPS);S. 6203--A 3 1 (vi) five percent shall be directed to the local infrastructure 2 account of the general fund to be dedicated to the safe water and 3 infrastructure action program as established by section 3-0323 of the 4 environmental conservation law; 5 (vii) five percent shall be directed to the municipal assistance state 6 aid fund established pursuant to section ninety-two-e of this article; 7 (viii) five percent shall be directed to the dedicated mass transpor- 8 tation trust fund to the credit of the non-MTA account for payment to 9 downstate transit systems other than those transit systems operated by 10 the metropolitan transportation authority; 11 (ix) five percent shall be directed to the dedicated mass transporta- 12 tion trust fund to the credit of the non-MTA account for payment to 13 upstate transit systems; and 14 (x) fifteen percent shall be directed to the energy research and 15 development operating fund pursuant to the provisions of section eigh- 16 teen hundred fifty-nine of the public authorities law, to be directed to 17 the clean energy fund and shall be divided equally among the four 18 investment portfolios that make up such fund. 19 4. [After the deduction of such costs of the state tax commission in20administering, collecting and distributing such tax, the balances in the21stock transfer tax fund so appropriated shall be distributed and paid on22the last business day of September, December, March and June into the23special account established for the municipal assistance corporation for24the city of New York in the municipal assistance tax fund established25pursuant to subdivision one of section ninety-two-d of this chapter,26unless and to the extent the balances in such fund on each such payment27day are not required by such corporation as provided in said subdivision28seven of said section ninety-two-d in which case the balance not so29required, if any, after the deduction of such costs of the state tax30commission in administering and making distributions in accordance with31the provisions of section two hundred eighty-a of the tax law from the32stock transfer incentive fund shall be distributed and paid to the stock33transfer incentive fund in the custody of the commissioner of taxation34and finance established pursuant to section ninety-two-i of this chapter35and unless and to the extent that the balances in the stock transfer tax36fund on each such payment day are not required by the stock transfer37incentive fund as provided in such section ninety-two-i of this chapter38in which case the balance not so required, if any, shall be distributed39and paid to the chief fiscal officer of the city of New York to be paid40into the treasury of the city to the credit of the general fund or paid41by the commissioner of taxation and finance to such other account or42fund as may be designated in writing by such chief fiscal officer at43least ten business days prior to such last day and on each such day, the44commissioner of taxation and finance shall certify to the comptroller45the amount deducted for administering, collecting and distributing such46tax during such quarterly period and shall pay such amount into the47general fund of the state treasury to the credit of the state purposes48fund therein. In no event shall any amount (other than the amount to be49deducted for administering, collecting and distributing such tax) be50distributed or paid from the stock transfer tax fund to any person other51than the municipal assistance corporation for the city of New York52unless and until the aggregate of all payments certified to the comp-53troller as required by such corporation in order to comply with its54agreements with the holders of its notes and bonds and to carry out its55corporate purposes, including the maintenance of the capital reserve56fund, which remain unappropriated or unpaid to such corporation shallS. 6203--A 4 1have been appropriated to such corporation and shall have been paid in2full provided, however, that no person, including such corporation or3the holders of its notes or bonds shall have any lien on such tax and4such agreements shall be executory only to the extent of the balances5available to the state in such fund. If the balances in such fund are6not required by such corporation pursuant to the provisions of this7subdivision, on each such last business day of September, December,8March and June, the commissioner of taxation and finance shall certify9to the comptroller the amount deducted for administering and making10distributions in accordance with the provisions of section two hundred11eighty-a of the tax law from the stock transfer incentive fund during12such quarterly period and he shall pay such amount into the general fund13of the state treasury to the credit of the state purposes fund therein.14To the extent such moneys are not required by such corporation, as15provided in subdivision seven of section ninety-two-d of this chapter,16no amount thereof (other than such amount to be deducted for administer-17ing, collecting and distributing such tax and such costs in administer-18ing and making distributions in accordance with the provisions of19section two hundred eighty-a of the tax law from the stock transfer20incentive fund) shall be distributed or paid from the stock transfer tax21fund other than to such stock transfer incentive fund in the custody of22the commissioner of taxation and finance unless and until the aggregate23of all payments certified to the comptroller by such commissioner pursu-24ant to the provisions of such incentive fund as necessary to provide25payments on account of rebates authorized pursuant to section two26hundred eighty-a of the tax law which remain unappropriated or unpaid to27such fund shall have been appropriated to such fund and shall have been28paid in full provided, however, that no person, including any taxpayer29under article twelve of the tax law or any member or dealer referred to30in subdivisions two-a and six of section two hundred eighty-a of such31law, shall have any lien on this fund or the stock transfer incentive32fund.335. In no fiscal year shall the total amount paid from the fund exceed34the total collections during such fiscal year from the stock transfer35tax pursuant to the provisions of article twelve of the tax law and as36deposited to the credit of the stock transfer tax fund.376.] All payments from the stock transfer tax fund shall be made on the 38 audit and warrant of the comptroller on vouchers approved by the commis- 39 sioner of taxation and finance. 40 [7. When all the notes and bonds of the municipal assistance corpo-41ration for the city of New York have been fully paid and discharged,42together with interest thereon and interest on unpaid installments of43interest, and the chairman of the corporation makes the final certif-44ication required by subdivision seven of section ninety-two-d of this45article, the comptroller must notify the commissioner of taxation and46finance that all remaining funds held in the stock transfer tax fund47must be released to the stock transfer incentive fund. From that time48forward, all funds previously deposited in the stock transfer tax fund49pursuant to subdivision two of this section will be deposited directly50into the stock transfer incentive fund pursuant to all the rules, regu-51lations or instructions that the commissioner may prescribe, after52deducting the amount the commissioner determines to be necessary for53reasonable costs of the department in administering, collecting and54distributing the tax imposed by article twelve of the tax law. Notwith-55standing any other provisions of this article, to the extent those56moneys are not required by the stock transfer incentive fund for theS. 6203--A 5 1purpose of administering and making distributions in accordance with the2provisions of section two hundred eighty-a of the tax law, as certified3by the commissioner of taxation and finance, the balance will be appro-4priated to the city of New York for the support of local government.] 5 § 4. Paragraph (c) of subdivision 1 of section 93-b of the state 6 finance law, as added by section 1 of part H of chapter 60 of the laws 7 of 2015, is amended to read as follows: 8 (c) Sources of funds. The sources of funds shall consist of all moneys 9 collected therefor, or moneys credited, appropriated or transferred 10 thereto from any other fund or source pursuant to law or any other 11 moneys made available for the purposes of the fund, including but not 12 limited to funds transferred from the stock transfer tax fund pursuant 13 to subdivision three of section ninety-two-b of this article and funds 14 transferred from the stock transfer incentive fund established by 15 section ninety-two-i of this article and repealed by a chapter of the 16 laws of two thousand twenty, which amended this paragraph. Any interest 17 received by the comptroller on moneys on deposit shall be retained and 18 become part of the fund, unless otherwise directed by law. 19 § 5. Subdivision (c) of section 11-503 of the administrative code of 20 the city of New York is REPEALED. 21 § 6. Subdivision 12 of section 11-604 of the administrative code of 22 the city of New York is REPEALED. 23 § 7. All monies accumulated in the stock transfer incentive fund 24 established pursuant to section 92-i of the state finance law on the 25 effective date of this act shall be transferred to the dedicated infras- 26 tructure investment fund as established by section 93-b of the state 27 finance law for the purposes set forth in such section. 28 § 8. The environmental conservation law is amended by adding a new 29 section 3-0323 to read as follows: 30 § 3-0323. Safe water and infrastructure action program. 31 1. Notwithstanding any other provisions of this chapter or any other 32 law and subject to an appropriation made therefor and in accordance with 33 the provisions of this section and with the rules and regulations 34 promulgated by the commissioner in connection therewith, on and after 35 the first day of April, two thousand twenty-one, a consolidated local 36 infrastructure program is hereby established for the purpose of making 37 payments toward the replacement and rehabilitation of existing local 38 municipally-owned and funded drinking water, storm water and sanitary 39 sewer systems. For purposes of this section, such program shall apply to 40 any county, city, town or village drinking water system, storm water 41 system or sanitary sewer system within the state that is not under the 42 maintenance and/or operational jurisdiction of the state nor any private 43 entity. The commissioner, in conjunction with the environmental facili- 44 ties corporation, shall promulgate all necessary rules and regulations 45 to carry out the program so that an equitable distribution of aid shall 46 be made for the general operation and/or general maintenance of any 47 existing county, city, town and village drinking water system, storm 48 water system or sanitary sewer system. 49 2. On or before the twenty-fifth day of April, June, September and 50 November of each state fiscal year commencing with the state fiscal year 51 beginning on April first, two thousand twenty-one, there shall be 52 distributed and paid to counties, cities, towns and villages an amount 53 equal to the moneys appropriated for the purposes of this section 54 divided by the number of payment dates in that state fiscal year. Such 55 amounts shall be distributed and paid pursuant to subdivision three of 56 this section.S. 6203--A 6 1 3. Amounts shall be distributed for local drinking water, storm water 2 and sanitary sewer systems based upon the total length and width of all 3 pipelines and mains owned and operated by the municipality. 4 4. Monies made available may be used to match other state and federal 5 funds made available for such projects. The funds may also be used to 6 support special improvement districts created to provide drinking water, 7 waste water and storm water services under articles twelve, twelve-A, 8 twelve-C and thirteen of the town law. The remainder of the apportion- 9 ment may be used for any existing drinking water, storm water or sewer 10 system purchases, including but not limited to, the acquisition of mate- 11 rials for the replacement or rehabilitation. 12 5. For any city, town, or village which proposes infrastructure 13 consolidation under this section or merges with another municipality, 14 the funds appropriated under this section may fund costs associated with 15 such consolidation. 16 6. For each fiscal year, starting in two thousand twenty-one, funds 17 are to be made available to the local infrastructure assistance account 18 of the general fund, and distributed from that account, in an amount 19 that is at least equal to those appropriated and made available in the 20 Consolidated Local Street and Highway Improvement Program (CHIPS). 21 § 9. Section 270 of the tax law is amended by adding a new subdivision 22 9 to read as follows: 23 9. Notwithstanding any other provision to the contrary, a transaction 24 referred to in subdivision one of this section is subject to tax if any 25 activity in furtherance of the transaction occurs within the state or if 26 a party involved in the transaction satisfies a nexus with New York 27 state which shall be defined as broadly as is permitted under the United 28 States Constitution. 29 § 10. This act shall take effect April 1, 2021.