STATE OF NEW YORK
        ________________________________________________________________________
                                          1647
                               2017-2018 Regular Sessions
                   IN ASSEMBLY
                                    January 12, 2017
                                       ___________
        Introduced  by  M. of A. GALEF, TITONE, OTIS, McKEVITT, RAIA, PALUMBO --
          Multi-Sponsored by -- M. of A. AUBRY, COOK, CROUCH, GOODELL, McDONALD,
          McDONOUGH, THIELE -- read once and referred to the Committee  on  Real
          Property Taxation
        AN  ACT  to  amend  the real property tax law, in relation to granting a
          real property tax exemption to nonprofit organizations  that  purchase
          real property after the taxable status date
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1.  Subdivision 13 of section 420-a of the real  property  tax
     2  law, as added by chapter 630 of the laws of 1997, is renumbered subdivi-
     3  sion 15 and a new subdivision 16 is added to read as follows:
     4    16.  (a)  (i)  For the purposes of this subdivision, "municipal corpo-
     5  ration" shall mean a county, city,  town,  village  or  school  district
     6  which,  after  public  hearing,  adopts a local law, ordinance or resol-
     7  ution, providing that this subdivision shall be applicable to  nonprofit
     8  organizations  within  its  jurisdiction.  Such  local law, ordinance or
     9  resolution shall apply to property transfers occurring on or  after  the
    10  effective  date  of  such  local law, ordinance or resolution. A copy of
    11  such local law, ordinance or resolution shall be filed with the  commis-
    12  sioner.
    13    (ii) Where a nonprofit organization that meets the requirements for an
    14  exemption pursuant to this section, purchases property after the levy of
    15  taxes,  such  nonprofit  organization  may, if permitted by a local law,
    16  ordinance or resolution  of  the  municipal  corporation  in  which  the
    17  nonprofit  organization  is  located,  file an application for exemption
    18  with the assessor no later than the time specified in  such  local  law,
    19  ordinance  or  resolution.    The assessor shall make a determination of
    20  whether the parcel would have qualified for exempt  status  on  the  tax
    21  roll on which the taxes were levied, had title to the parcel been in the
    22  name  of  the applicant on the taxable status date applicable to the tax
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD02903-01-7

        A. 1647                             2
     1  roll. The application shall be on a form prescribed by the commissioner.
     2  The assessor, no later than thirty days after receipt of  such  applica-
     3  tion,  shall  notify  both  the  applicant  and  the board of assessment
     4  review, by first class mail, of the exempt amount, if any, and the right
     5  of the owner to a review of the exempt amount upon the filing of a writ-
     6  ten  complaint.  Such  complaint  shall  be  on a form prescribed by the
     7  commissioner and shall be filed with  the  board  of  assessment  review
     8  within  twenty  days  of  the mailing of such notice. If no complaint is
     9  received, the board of assessment review shall so  notify  the  assessor
    10  and  the exempt amount determined by the assessor shall be final. If the
    11  applicant files a complaint, the board of assessment review shall sched-
    12  ule a time and place for a hearing with respect thereto  no  later  than
    13  thirty  days after the mailing of the notice by the assessor.  The board
    14  of assessment review shall meet and determine  the  exempt  amount,  and
    15  shall  immediately notify the assessor and the applicant, by first class
    16  mail, of its determination. The amount of exemption determined  pursuant
    17  to  this  paragraph  shall  be  subject to review as provided in article
    18  seven of this chapter. Such a proceeding shall be commenced within thir-
    19  ty days of the mailing of the notice of the board of  assessment  review
    20  to the new owner as provided in this paragraph.
    21    (iii) Upon receipt of a determination of the exempt amount as provided
    22  in subparagraph (ii) of this paragraph, the assessor shall determine the
    23  pro  rata  exemption  to be credited toward such property by multiplying
    24  the tax rate or tax rates for each municipal  corporation  which  levied
    25  taxes,  or for which taxes were levied, on the appropriate tax roll used
    26  for the fiscal year or years during which the  transfer  occurred  times
    27  the exempt amount, as determined in subparagraph (ii) of this paragraph,
    28  times  the fraction of each fiscal year or years remaining subsequent to
    29  the transfer of title.  The assessor shall immediately transmit a state-
    30  ment of the pro rata exemption credit due to each municipal  corporation
    31  which  levied  taxes or for which taxes were levied on the tax roll used
    32  for the fiscal year or years during which the transfer occurred  and  to
    33  the applicant.
    34    (iv)  Each  municipal  corporation  which  receives notice of pro rata
    35  exemption credits pursuant to this subdivision shall include  an  appro-
    36  priation  in  its budget for the next fiscal year equal to the aggregate
    37  amount of such credits to be  applied  in  that  fiscal  year.  Where  a
    38  parcel,  the  owner of which is entitled to a pro rata exemption credit,
    39  is subject to taxation in said next fiscal year, the receiver or collec-
    40  tor shall apply the credit to reduce the amount of taxes  owed  for  the
    41  parcel  in such fiscal year. Pro rata exemption credits in excess of the
    42  amount of taxes, if any, owed for the parcel shall be paid by the treas-
    43  urer of a municipal corporation which levies such taxes for or on behalf
    44  of the municipal corporation to all owners of property entitled to  such
    45  credits  within  thirty days of the expiration of the warrant to collect
    46  taxes in said next fiscal year.   Notwithstanding the  foregoing,  where
    47  the  municipal  corporation  has  been  reimbursed  by another municipal
    48  corporation for the tax credit to be paid to the owner pursuant to  this
    49  subdivision,  such  credit  shall  be paid to such municipal corporation
    50  instead of such owner.
    51    (b) (i) Notwithstanding  the  provisions  of  this  section,  where  a
    52  nonprofit  organization  that  meets  the  requirements for an exemption
    53  pursuant to this section, purchases property after  the  taxable  status
    54  date but prior to the levy of taxes, such nonprofit organization may, if
    55  permitted  by  a  local  law,  ordinance  or resolution of the municipal
    56  corporation in which the nonprofit  organization  is  located,  file  an

        A. 1647                             3
     1  application for an exemption with the assessor within thirty days of the
     2  transfer  of  title  to such nonprofit organization.  The assessor shall
     3  make a determination within thirty days after receipt of  such  applica-
     4  tion of whether the applicant would qualify for an exemption pursuant to
     5  this section on the assessment roll if title had been in the name of the
     6  applicant on the taxable status date applicable to such assessment roll.
     7  The application shall be made on a form prescribed by the commissioner.
     8    (ii)  If  the  assessor's determination is made prior to the filing of
     9  the tentative assessment roll,  the  assessor  shall  enter  the  exempt
    10  amount,  if  any,  on the tentative assessment roll and, within ten days
    11  after filing such roll, notify the applicant of the approval  or  denial
    12  of  such exemption, the exempt amount, if any, and the applicant's right
    13  to review by the board of assessment review.
    14    (iii) If the assessor's determination is made after the filing of  the
    15  tentative  assessment  roll,  the  assessor  shall petition the board of
    16  assessment review to correct the tentative or final assessment  roll  in
    17  the manner provided in title three of article five of this chapter, with
    18  respect  to  unlawful entries, in the case of wholly exempt parcels, and
    19  with respect of  clerical  errors,  in  the  case  of  partially  exempt
    20  parcels,  if the assessor determines that an exemption should be granted
    21  and, within ten days of petitioning  the  board  of  assessment  review,
    22  notify  the  applicant  of the approval or denial of such exemption, the
    23  amount of such exemption, if any, and the applicant's right to  adminis-
    24  trative  or  judicial  review  of such determination pursuant to article
    25  five or seven of this chapter, respectively.
    26    (c) If, for any reason, a determination to exempt property from  taxa-
    27  tion  as provided in paragraph (b) of this subdivision is not entered on
    28  the final assessment roll, the assessor  shall  petition  the  board  of
    29  assessment review to correct the final assessment roll.
    30    (d)  If,  for any reason, the pro rata tax credit as provided in para-
    31  graph (a) of this subdivision is not extended against the tax roll imme-
    32  diately succeeding the fiscal year during which the  transfer  occurred,
    33  the  assessor  shall  immediately notify the municipal corporation which
    34  levied the tax or for which the taxes were levied of the amount  of  pro
    35  rata  exemption  credits  for  the year in which such transfer occurred.
    36  Such municipal corporation shall proceed  as  provided  in  subparagraph
    37  (iv) of paragraph (a) of this subdivision.
    38    (e)  If, for any reason, a determination to exempt property from taxa-
    39  tion as provided in paragraph (b) of this subdivision is not entered  on
    40  the  tax roll for the year immediately succeeding the fiscal year during
    41  which the transfer occurred, the assessor shall determine the  pro  rata
    42  tax  exemption  credit  for such tax roll by multiplying the tax rate or
    43  tax rates for each municipal corporation which levied taxes or for which
    44  taxes were levied times the exempt amount and shall  immediately  notify
    45  such  municipal  corporation  or  corporations of the pro rata exemption
    46  credits for such tax roll. Such municipal corporation shall add such pro
    47  rata exemption credits for such property to  any  outstanding  pro  rata
    48  exemption  amounts and proceed as provided in subparagraph (iv) of para-
    49  graph (a) of this subdivision.
    50    § 2.  Section 420-b of the real property tax law is amended by  adding
    51  a new subdivision 8 to read as follows:
    52    8.  (a)  (i)  For  the purposes of this subdivision, "municipal corpo-
    53  ration" shall mean a county, city,  town,  village  or  school  district
    54  which,  after  public  hearing,  adopts a local law, ordinance or resol-
    55  ution, providing that this subdivision shall be applicable to  nonprofit
    56  organizations  within  its  jurisdiction.  Such  local law, ordinance or

        A. 1647                             4
     1  resolution shall apply to property transfers occurring on or  after  the
     2  effective  date  of  such  local law, ordinance or resolution. A copy of
     3  such local law, ordinance or resolution shall be filed with the  commis-
     4  sioner.
     5    (ii) Where a nonprofit organization that meets the requirements for an
     6  exemption pursuant to this section, purchases property after the levy of
     7  taxes,  such  nonprofit  organization  may file, if permitted by a local
     8  law, ordinance or resolution of the municipal corporation in  which  the
     9  nonprofit organization is located, an application for exemption with the
    10  assessor  no  later than the time specified in such local law, ordinance
    11  or resolution.  The assessor shall make a determination of  whether  the
    12  parcel  would  have qualified for exempt status on the tax roll on which
    13  the taxes were levied, had title to the parcel been in the name  of  the
    14  applicant  on  the  taxable  status date applicable to the tax roll. The
    15  application shall be on a  form  prescribed  by  the  commissioner.  The
    16  assessor,  no  later than thirty days after receipt of such application,
    17  shall notify both the applicant and the board of assessment  review,  by
    18  first  class  mail,  of  the exempt amount, if any, and the right of the
    19  owner to a review of the exempt amount upon  the  filing  of  a  written
    20  complaint.  Such  complaint shall be on a form prescribed by the commis-
    21  sioner and shall be filed with the board  of  assessment  review  within
    22  twenty  days of the mailing of such notice. If no complaint is received,
    23  the board of assessment review shall so  notify  the  assessor  and  the
    24  exempt  amount  determined by the assessor shall be final. If the appli-
    25  cant files a complaint, the board of assessment review shall schedule  a
    26  time  and  place for a hearing with respect thereto no later than thirty
    27  days after the mailing of the notice by the  assessor.    The  board  of
    28  assessment  review shall meet and determine the exempt amount, and shall
    29  immediately notify the assessor and the applicant, by first class  mail,
    30  of  its  determination.  The  amount of exemption determined pursuant to
    31  this paragraph shall be subject to review as provided in  article  seven
    32  of this chapter. Such a proceeding shall be commenced within thirty days
    33  of  the  mailing  of the notice of the board of assessment review to the
    34  new owner as provided in this paragraph.
    35    (iii) Upon receipt of a determination of the exempt amount as provided
    36  in subparagraph (ii) of this paragraph, the assessor shall determine the
    37  pro rata exemption to be credited toward such  property  by  multiplying
    38  the  tax  rate  or tax rates for each municipal corporation which levied
    39  taxes, or for which taxes were levied, on the appropriate tax roll  used
    40  for  the  fiscal  year or years during which the transfer occurred times
    41  the exempt amount, as determined in subparagraph (ii) of this paragraph,
    42  times the fraction of each fiscal year or years remaining subsequent  to
    43  the transfer of title.  The assessor shall immediately transmit a state-
    44  ment  of the pro rata exemption credit due to each municipal corporation
    45  which levied taxes or for which taxes were levied on the tax  roll  used
    46  for  the  fiscal year or years during which the transfer occurred and to
    47  the applicant.
    48    (iv) Each municipal corporation which  receives  notice  of  pro  rata
    49  exemption  credits  pursuant to this subdivision shall include an appro-
    50  priation in its budget for the next fiscal year equal to  the  aggregate
    51  amount  of  such  credits  to  be  applied  in that fiscal year. Where a
    52  parcel, the owner of which is entitled to a pro rata  exemption  credit,
    53  is subject to taxation in said next fiscal year, the receiver or collec-
    54  tor  shall  apply  the credit to reduce the amount of taxes owed for the
    55  parcel in such fiscal year. Pro rata exemption credits in excess of  the
    56  amount of taxes, if any, owed for the parcel shall be paid by the treas-

        A. 1647                             5
     1  urer of a municipal corporation which levies such taxes for or on behalf
     2  of  the municipal corporation to all owners of property entitled to such
     3  credits within thirty days of the expiration of the warrant  to  collect
     4  taxes  in  said  next fiscal year.  Notwithstanding the foregoing, where
     5  the municipal corporation  has  been  reimbursed  by  another  municipal
     6  corporation  for the tax credit to be paid to the owner pursuant to this
     7  subdivision, such credit shall be paid  to  such  municipal  corporation
     8  instead of such owner.
     9    (b)  (i)  Notwithstanding  the  provisions  of  this  section, where a
    10  nonprofit organization that meets  the  requirements  for  an  exemption
    11  pursuant  to  this  section, purchases property after the taxable status
    12  date but prior to the levy of taxes, such nonprofit organization may, if
    13  permitted by a local law,  ordinance  or  resolution  of  the  municipal
    14  corporation  in  which  the  nonprofit  organization is located, file an
    15  application for an exemption with the assessor within thirty days of the
    16  transfer of title to such nonprofit organization.   The  assessor  shall
    17  make  a  determination within thirty days after receipt of such applica-
    18  tion of whether the applicant would qualify for an exemption pursuant to
    19  this section on the assessment roll if title had been in the name of the
    20  applicant on the taxable status date applicable to such assessment roll.
    21  The application shall be made on a form prescribed by the commissioner.
    22    (ii) If the assessor's determination is made prior to  the  filing  of
    23  the  tentative  assessment  roll,  the  assessor  shall enter the exempt
    24  amount, if any, on the tentative assessment roll and,  within  ten  days
    25  after  filing  such roll, notify the applicant of the approval or denial
    26  of such exemption, the exempt amount, if any, and the applicant's  right
    27  to review by the board of assessment review.
    28    (iii)  If the assessor's determination is made after the filing of the
    29  tentative assessment roll, the assessor  shall  petition  the  board  of
    30  assessment  review  to correct the tentative or final assessment roll in
    31  the manner provided in title three of article five of this chapter, with
    32  respect to unlawful entries, in the case of wholly exempt  parcels,  and
    33  with  respect  of  clerical  errors,  in  the  case  of partially exempt
    34  parcels, if the assessor determines that an exemption should be  granted
    35  and,  within  ten  days  of  petitioning the board of assessment review,
    36  notify the applicant of the approval or denial of  such  exemption,  the
    37  amount  of such exemption, if any, and the applicant's right to adminis-
    38  trative or judicial review of such  determination  pursuant  to  article
    39  five or seven of this chapter, respectively.
    40    (c)  If, for any reason, a determination to exempt property from taxa-
    41  tion as provided in paragraph (b) of this subdivision is not entered  on
    42  the  final  assessment  roll,  the  assessor shall petition the board of
    43  assessment review to correct the final assessment roll.
    44    (d) If, for any reason, the pro rata tax credit as provided  in  para-
    45  graph (a) of this subdivision is not extended against the tax roll imme-
    46  diately  succeeding  the fiscal year during which the transfer occurred,
    47  the assessor shall immediately notify the  municipal  corporation  which
    48  levied  the  tax or for which the taxes were levied of the amount of pro
    49  rata exemption credits for the year in  which  such  transfer  occurred.
    50  Such  municipal  corporation  shall  proceed as provided in subparagraph
    51  (iv) of paragraph (a) of this subdivision.
    52    (e) If, for any reason, a determination to exempt property from  taxa-
    53  tion  as provided in paragraph (b) of this subdivision is not entered on
    54  the tax roll for the year immediately succeeding the fiscal year  during
    55  which  the  transfer occurred, the assessor shall determine the pro rata
    56  tax exemption credit for such tax roll by multiplying the  tax  rate  or

        A. 1647                             6
     1  tax rates for each municipal corporation which levied taxes or for which
     2  taxes  were  levied times the exempt amount and shall immediately notify
     3  such municipal corporation or corporations of  the  pro  rata  exemption
     4  credits for such tax roll. Such municipal corporation shall add such pro
     5  rata  exemption  credits  for  such property to any outstanding pro rata
     6  exemption amounts and proceed as provided in subparagraph (iv) of  para-
     7  graph (a) of this subdivision.
     8    §  3.  This  act shall take effect on the ninetieth day after it shall
     9  have become a law.