Bill Text: NY S07418 | 2017-2018 | General Assembly | Amended
Bill Title: Authorizes a tax exemption for certain energy systems; includes fuel-flexible linear generator among other energy systems which are exempt from taxation.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2018-06-18 - SUBSTITUTED BY A9651B [S07418 Detail]
Download: New_York-2017-S07418-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 7418--B Cal. No. 399 IN SENATE January 17, 2018 ___________ Introduced by Sen. GRIFFO -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government -- reported favorably from said committee, ordered to first and second report, ordered to a third reading, amended and ordered reprinted, retaining its place in the order of third reading -- passed by Senate and delivered to the Assembly, recalled, vote reconsidered, restored to third reading, amended and ordered reprinted, retaining its place in the order of third reading AN ACT to amend the real property tax law, in relation to authorizing an 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. Paragraph (k) of subdivision 1 of section 487 of the real 2 property tax law, as added by chapter 336 of the laws of 2017, is 3 amended to read as follows: 4 (k) "Micro-combined heat and power generating equipment" means an 5 integrated, cogenerating building heating and electrical power gener- 6 ation system, owned, leased or operated by a residential customer, 7 located at such customer's premises, operating on any fuel and of any 8 applicable engine, fuel cell, fuel-flexible linear generator or other 9 technology with a rated capacity of at least one kilowatt and not more 10 than ten kilowatts electric and any thermal output that has a design 11 total fuel use efficiency in the production of heat and electricity of 12 not less than eighty percent, and annually produces at least two thou- 13 sand kilowatt hours of useful energy in the form of electricity that may 14 work in combination with supplemental or parallel conventional heating 15 systems, that is manufactured, installed and operated in accordance with 16 applicable government and industry standards, that is connected to the 17 electric system and operated in conjunction with an electric corpo- 18 ration's transmission and distribution facilities. It does not include 19 pipes, controls, insulation or other equipment which are part of the 20 normal heating, cooling, or insulation system of a building. It does not 21 include insulated glazing or insulation to the extent that such materi- 22 als exceed the energy efficiency standards established by law. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD14242-07-8S. 7418--B 2 1 § 2. Subdivision 1 of section 487 of the real property tax law is 2 amended by adding two new paragraphs (o) and (p) to read as follows: 3 (o) "Fuel-flexible linear generator electric generating equipment" or 4 "fuel-flexible linear generator" means an integrated system consisting 5 of oscillators, cylinders, electricity conversion equipment and associ- 6 ated balance of plant components that directly convert the linear motion 7 of the oscillators into electricity and which has a combined rated 8 capacity of not more than two thousand kilowatts. 9 (p) "Fuel-flexible linear generator electric generating system" means 10 an arrangement or combination of fuel-flexible linear generator electric 11 generating equipment designed to produce electrical energy from linear 12 motion created by the reaction of gaseous or liquid fuels, including but 13 not limited to biogas and natural gas. 14 § 3. Subdivisions 2, 3, 4, 5, and 8 of section 487 of the real proper- 15 ty tax law, subdivisions 2, 3, 4 and 5 and paragraph (a) of subdivision 16 8 as amended by chapter 336 of the laws of 2017, and subdivision 8 as 17 amended by chapter 344 of the laws of 2014, are amended to read as 18 follows: 19 2. Real property which includes a solar or wind energy system, farm 20 waste energy system, micro-hydroelectric energy system, fuel cell elec- 21 tric generating system, micro-combined heat and power generating equip- 22 ment system, [or] electric energy storage equipment and electric energy 23 storage system, or fuel-flexible linear generator electric generating 24 system approved in accordance with the provisions of this section shall 25 be exempt from taxation to the extent of any increase in the value ther- 26 eof by reason of the inclusion of such solar or wind energy system, farm 27 waste energy system, micro-hydroelectric energy system, fuel cell elec- 28 tric generating system, micro-combined heat and power generating equip- 29 ment system, [or] electric energy storage equipment and electric energy 30 storage system, or fuel-flexible linear generator electronic generating 31 system for a period of fifteen years. When a solar or wind energy system 32 or components thereof, farm waste energy system, micro-hydroelectric 33 energy system, fuel cell electric generating system, micro-combined heat 34 and power generating equipment system, [or] electric energy storage 35 equipment and electric energy storage system, or fuel-flexible linear 36 generator electronic generating system also serve as part of the build- 37 ing structure, the increase in value which shall be exempt from taxation 38 shall be equal to the assessed value attributable to such system or 39 components multiplied by the ratio of the incremental cost of such 40 system or components to the total cost of such system or components. The 41 exemption provided by this section is inapplicable to any structure that 42 satisfies the requirements for exemption under section four hundred 43 eighty-three-e of this title. 44 3. The president of the authority shall provide definitions and guide- 45 lines for the eligibility for exemption of the solar and wind energy 46 equipment and systems, farm waste energy equipment and systems, micro- 47 hydroelectric equipment and systems, fuel cell electric generating 48 equipment and systems, micro-combined heat and power generating equip- 49 ment and systems [and], electric energy storage equipment and electric 50 energy storage system, and fuel-flexible linear generator electric 51 generating equipment and systems described in paragraphs (a), (b), (e), 52 (f), (g), (h), (i), (j), (k), (l), (m) [and], (n), (o) and (p) of subdi- 53 vision one of this section. 54 4. No solar or wind energy system, farm waste energy system, micro-hy- 55 droelectric energy system, fuel cell electric generating system, micro- 56 combined heat and power generating equipment system, [or] electric ener-S. 7418--B 3 1 gy storage equipment and electric energy storage system, or 2 fuel-flexible linear generator electric generating system shall be enti- 3 tled to any exemption from taxation under this section unless such 4 system meets the guidelines set by the president of the authority and 5 all other applicable provisions of law. 6 5. The exemption granted pursuant to this section shall only be appli- 7 cable to (a) solar or wind energy systems or farm waste energy systems 8 which are (i) existing or constructed prior to July first, nineteen 9 hundred eighty-eight or (ii) constructed subsequent to January first, 10 nineteen hundred ninety-one and prior to January first, two thousand 11 twenty-five, and (b) micro-hydroelectric energy systems, fuel cell elec- 12 tric generating systems, micro-combined heat and power generating equip- 13 ment systems, [or] electric energy storage equipment or electric energy 14 storage system, or fuel-flexible linear generator electric generating 15 system which are constructed subsequent to January first, two thousand 16 eighteen and prior to January first, two thousand twenty-five. 17 8. (a) Notwithstanding the provisions of subdivision two of this 18 section, a county, city, town or village may by local law or a school 19 district, other than a school district to which article fifty-two of the 20 education law applies, may by resolution provide either (i) that no 21 exemption under this section shall be applicable within its jurisdiction 22 with respect to any solar or wind energy system or farm waste energy 23 system which began construction subsequent to January first, nineteen 24 hundred ninety-one or the effective date of such local law, ordinance or 25 resolution, whichever is later, and/or (ii) that no exemption under this 26 section shall be applicable within its jurisdiction with respect to any 27 micro-hydroelectric energy system, fuel cell electric generating system, 28 micro-combined heat and power generating equipment system, [or] electric 29 energy storage equipment or electric energy storage system, or fuel- 30 flexible linear generator electric generating system constructed subse- 31 quent to January first, two thousand eighteen or the effective date of 32 such local law, ordinance or resolution, whichever is later. A copy of 33 any such local law or resolution shall be filed with the commissioner 34 and with the president of the authority. 35 (b) Construction of a solar or wind energy system or a farm waste 36 energy system shall be deemed to have begun upon the full execution of a 37 contract or interconnection agreement with a utility; provided however, 38 that if such contract or interconnection agreement requires a deposit to 39 be made, then construction shall be deemed to have begun when the 40 contract or interconnection agreement is fully executed and the deposit 41 is made. The owner or developer of such a system shall provide written 42 notification to the appropriate local jurisdiction or jurisdictions upon 43 execution of the contract or the interconnection agreement. 44 § 4. This act shall take effect March 1, 2019.
