Bill Text: NY A01329 | 2019-2020 | General Assembly | Introduced

Bill Title: Creates a statewide residential revaluation exemption; defines "eligible residential property"; and provides applicability, eligibility and the exemption calculation.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Engrossed) 2019-06-20 - REFERRED TO RULES [A01329 Detail]

Download: New_York-2019-A01329-Introduced.html

                STATE OF NEW YORK
            S. 1551                                                  A. 1329
                               2019-2020 Regular Sessions
                SENATE - ASSEMBLY
                                    January 15, 2019
        IN  SENATE  --  Introduced  by  Sen.  CARLUCCI -- read twice and ordered
          printed, and when printed to be committed to the  Committee  on  Local
        IN ASSEMBLY -- Introduced by M. of A. GALEF -- read once and referred to
          the Committee on Real Property Taxation
        AN  ACT to amend the real property tax law, in relation to a residential
          revaluation exemption
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  The  real  property  tax  law  is amended by adding a new
     2  section 485-u to read as follows:
     3    § 485-u. Residential revaluation exemption.  1.  Applicability.    The
     4  governing  body  of an assessing unit may, after a public hearing, adopt
     5  the provisions of this section by local law in the first year of a  full
     6  value revaluation to provide a residential revaluation exemption. If the
     7  governing  body of an assessing unit passes a local law pursuant to this
     8  subdivision, such exemption shall also apply in the same manner  and  to
     9  the  same  extent  to  each  village, county, special district or school
    10  district that levies taxes on  the  assessment  roll  prepared  by  such
    11  assessing  unit. A village assessing unit, within an assessing unit that
    12  has conducted a revaluation and that chooses  to  adopt  that  assessing
    13  unit's latest final assessment roll is permitted to adopt the provisions
    14  of this section within two years of its implementation.
    15    2.  Eligibility.  (a)  The  assessors in each assessing unit that have
    16  adopted the provisions of this section shall, in the first year in which
    17  revaluation assessments are to be entered on the assessment roll and for
    18  the next succeeding year, apply to each eligible residential property an
    19  exemption as provided in subdivision three  of  this  section.  For  the
    20  purpose  of  this  section, to be an "eligible residential property" the
    21  following criteria must be met:
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

        S. 1551                             2                            A. 1329
     1    (i) The property must be a residential property, provided that  dwell-
     2  ing  units  held in condominium form of ownership shall only be eligible
     3  if located in an approved assessing unit and classified in the homestead
     4  class or located in a special assessing unit  and  classified  in  class
     5  one;
     6    (ii)  The  property  must  be  eligible  to receive the STAR exemption
     7  authorized by section four hundred twenty-five  of  this  title  or  the
     8  owner  or  owners  must  be  eligible to receive the personal income tax
     9  school tax relief  (STAR)  credit  authorized  by  subsection  (eee)  of
    10  section six hundred six of the tax law, for such property;
    11    (iii)  In  any given year, the owner or owners receiving the exemption
    12  pursuant to this section must be the same as the owner  or  owners  that
    13  appeared  on  the  assessment  roll upon which the revaluation is imple-
    14  mented; and
    15    (iv) The property must not have any delinquent taxes as of the taxable
    16  status date for the roll on which an exemption is applied.
    17    (b) In addition to the criteria provided  in  paragraph  (a)  of  this
    18  subdivision,  an  assessing  unit  may  further limit the eligibility to
    19  eligible residential property whose full value increase exceeded  a  set
    20  percentage  threshold  as  specified  in  their  local  law adopting the
    21  provisions of this section.
    22    3. Exemption calculation. (a)(i) The exemption shall be computed  with
    23  respect  to  a  percentage  of  the "exemption base." The exemption base
    24  shall be the amount by which the assessed value of  a  property  on  the
    25  assessment  roll  upon  which the revaluation is implemented exceeds the
    26  prior year's equalized assessed value,  as  determined  in  the  initial
    27  year.  The  prior year's equalized assessed value shall be determined by
    28  applying the applicable change in level  of  assessment  factor  to  the
    29  prior  year's  assessed  value.  Such  exemption  base shall not include
    30  increases due to a physical improvement or a removal or reduction of  an
    31  exemption on property.
    32    (ii)  Any  increase  in  the  assessment of a property due to physical
    33  changes in the year following  the  implementation  roll  shall  not  be
    34  eligible for the exemption. In the event that any portion of a parcel is
    35  fully  or  partially removed from the roll during the year following the
    36  implementation roll by reason of fire, demolition,  destruction  or  new
    37  exemption,  the  assessor  shall  reduce the exemption for any remaining
    38  portion in the same proportion assessment  is  reduced  for  such  fire,
    39  demolition,  destruction  or  new exemption. If a property's revaluation
    40  assessment is reduced pursuant to title one-A of article five, or  title
    41  one  or  one-A  of article seven of this chapter, the exemption shall be
    42  recomputed accordingly.
    43    (b)(i) The exemption shall be to the extent of sixty-six per centum of
    44  the exemption base in year  one  and  thirty-three  per  centum  of  the
    45  exemption base in year two.
    46    (ii)  The  following  table  shall  illustrate  the computation of the
    47  exemption:
    48            Year of exemption        Percentage of Exemption
    49            1                        66% of exemption base
    50            2                        33% of exemption base
    51    4. Granting of exemption. (a) Such exemption  shall  be  granted  only
    52  upon  application by the owner or owners of such real property on a form
    53  prescribed by the commissioner. Such application shall be filed with the
    54  assessor on or before  the  appropriate  taxable  status  date  for  the
    55  assessment roll upon which the revaluation is implemented.

        S. 1551                             3                            A. 1329
     1    (b)  If the assessor is satisfied that the applicant is entitled to an
     2  exemption pursuant to this section, he or she shall approve the applica-
     3  tion and the taxable assessed value shall be reduced by  the  exemption,
     4  as in this section provided commencing with the assessment roll prepared
     5  after  the  taxable  status  date.  The  assessed value of any exemption
     6  granted pursuant to this section shall be entered by the assessor on the
     7  assessment roll with the amount of the exemption  shown  in  a  separate
     8  column.
     9    (c)  In  the  event that the residential property granted an exemption
    10  pursuant to this section transfers ownership or otherwise ceases to meet
    11  the eligibility requirements of the exemption in subdivision two of this
    12  section, the exemption granted pursuant to this section shall be discon-
    13  tinued. Upon determining that an  exemption  granted  pursuant  to  this
    14  section  should  be  discontinued,  the  assessor shall mail a notice so
    15  stating to the owner or owners thereof at the time  and  in  the  manner
    16  provided by section five hundred ten of this chapter.
    17    § 2. This act shall take effect immediately.