Bill Text: NY S01205 | 2023-2024 | General Assembly | Amended

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Bill Title: Directs payment of certain internet sales and use taxes into the central business district tolling capital lockbox fund partially dedicated for the MTA to be made without appropriation.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced) 2024-01-03 - REFERRED TO FINANCE [S01205 Detail]

Download: New_York-2023-S01205-Amended.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                         1205--A

                               2023-2024 Regular Sessions

                    IN SENATE

                                    January 10, 2023
                                       ___________

        Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
          printed  to  be  committed  to  the  Committee on Finance -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee

        AN ACT to amend the state finance law, the public  authorities  law  and
          the  tax  law,  in relation to directing payment of certain taxes into
          the central business district tolling capital lockbox fund to be  made
          without appropriation

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. Section 4 of the state finance law is amended by  adding  a
     2  new subdivision 14 to read as follows:
     3    14.  Notwithstanding subdivision one of this section and any other law
     4  to the contrary, the revenue (including fees, taxes, interest and penal-
     5  ties) from the taxes imposed pursuant to subparagraph (ii) of  paragraph
     6  five  of  subdivision (c) of section twelve hundred sixty-one of the tax
     7  law which are paid in accordance with subdivision one  of  section  five
     8  hundred  fifty-three-j  of  the  public authorities law into the central
     9  business district tolling capital lockbox fund  established  by  section
    10  five  hundred fifty-three-j of the public authorities law shall be allo-
    11  cated pursuant to statute but without appropriation.
    12    § 2. Subdivision 3 of section 99-ff of the state finance law, as added
    13  by section 6-c of part G of chapter 59 of the laws of 2019,  is  amended
    14  to read as follows:
    15    3. Uses of funds. [Following appropriation by the legislature, moneys]
    16  Moneys  shall  be  available  for  distribution  to the central business
    17  district tolling capital lockbox fund established  pursuant  to  section
    18  five hundred fifty-three-j of the public authorities law.
    19    §  3. Subdivision 1 of section 553-j of the public authorities law, as
    20  added by section 5 of subpart A of part ZZZ of chapter 59 of the laws of
    21  2019, is amended to read as follows:

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03168-02-3
        S. 1205--A                          2

     1    1. The authority shall establish a fund to be  known  as  the  central
     2  business district tolling capital lockbox fund which shall be kept sepa-
     3  rate  from  and  shall  not  be  commingled with any other monies of the
     4  authority. The fund shall consist of all monies received by the authori-
     5  ty  pursuant  to  article  forty-four-C  of the vehicle and traffic law,
     6  subdivision twelve-a of section five hundred fifty-three of this  title,
     7  and  revenues  of  the  real  estate  transfer tax deposited pursuant to
     8  subdivision (b) of section fourteen hundred twenty-one of the  tax  law,
     9  and  sales  tax  pursuant  to  subdivision (c) of section eleven hundred
    10  forty-eight of the tax law,  [subparagraph  (B)  of  paragraph  five  of
    11  subdivision (c) of section twelve hundred sixty-one of the tax law, and]
    12  funds  appropriated from the central business district trust fund estab-
    13  lished pursuant to section [ninty-nine-ff] ninety-nine-ff of  the  state
    14  finance  law,  and,  without appropriation, the revenue including taxes,
    15  interest and penalties collected in accordance with subparagraph (ii) of
    16  paragraph five of subdivision (c) of section twelve hundred sixty-one of
    17  the tax law.
    18    § 4. Subdivision (c) of section 1148 of  the  tax  law,  as  added  by
    19  section  6-a  of part G of chapter 59 of the laws of 2019, is amended to
    20  read as follows:
    21    (c) Provided however, after funds are distributed pursuant to subdivi-
    22  sion (b) of this section but before such funds are distributed  pursuant
    23  to  subdivision  (a)  of  this  section, funds shall be deposited by the
    24  comptroller into the New  York  central  business  district  trust  fund
    25  established  pursuant to section ninety-nine-ff of the state finance law
    26  in accordance with the following schedule: (1) in state fiscal year  two
    27  thousand nineteen - two thousand twenty, one hundred twelve million five
    28  hundred thousand dollars; (2) in state fiscal year two thousand twenty -
    29  two  thousand  twenty-one, one hundred fifty million dollars; and (3) in
    30  state fiscal year two thousand twenty-one - two thousand twenty-two  and
    31  every  succeeding  state fiscal year, an amount equal to one hundred one
    32  percent of the amount  deposited  in  the  immediately  preceding  state
    33  fiscal  year.  The  funds  deposited  into the New York central business
    34  district trust fund shall be deposited  monthly  in  equal  installments
    35  without appropriation.
    36    §  5.  Subparagraph  (ii) of paragraph 5 of subdivision (c) of section
    37  1261 of the tax law, as amended by section 2 of part RR of chapter 57 of
    38  the laws of 2022, is amended to read as follows:
    39    (ii) After withholding the taxes, penalties and  interest  imposed  by
    40  the  city  of  New York on and after August first, two thousand eight as
    41  provided in subparagraph (i) of this paragraph,  the  comptroller  shall
    42  withhold  a  portion of such taxes, penalties and interest sufficient to
    43  deposit annually into the  central  business  district  tolling  capital
    44  lockbox  established  pursuant  to section five hundred fifty-three-j of
    45  the public authorities law: (A) in state fiscal year two thousand  nine-
    46  teen  -  two  thousand  twenty,  one  hundred  twenty-seven million five
    47  hundred thousand dollars; (B) in state fiscal year two thousand twenty -
    48  two thousand twenty-one, one hundred seventy  million  dollars;  (C)  in
    49  state  fiscal year two thousand twenty-one - two thousand twenty-two and
    50  every succeeding state fiscal year, an amount equal to one  hundred  one
    51  percent  of  the  amount  deposited  in  the immediately preceding state
    52  fiscal year. The funds shall be deposited monthly in equal  installments
    53  without  appropriation.  During  the  period  that  the  comptroller  is
    54  required to withhold amounts and make payments described in  this  para-
    55  graph,  the  city  of  New York has no right, title or interest in or to
    56  those taxes, penalties and interest required to be paid into  the  above
        S. 1205--A                          3

     1  referenced  central  business district tolling capital lockbox. In addi-
     2  tion, the comptroller shall withhold a portion of such taxes,  penalties
     3  and  interest  in the amount of one hundred fifty million dollars, to be
     4  withheld  in  four  quarterly  installments  on January fifteenth, April
     5  fifteenth, July fifteenth and October fifteenth of each year, and  shall
     6  deposit  such  amounts  into  the  New  York  State  Agency  Trust Fund,
     7  Distressed Provider Assistance Account.
     8    § 6. Subparagraph (ii) of paragraph 5 of subdivision  (c)  of  section
     9  1261  of the tax law, as added by section 6-b of part G of chapter 59 of
    10  the laws of 2019, is amended to read as follows:
    11    (ii) After withholding the taxes, penalties and  interest  imposed  by
    12  the  city  of  New York on and after August first, two thousand eight as
    13  provided in subparagraph (i) of this paragraph,  the  comptroller  shall
    14  withhold  a  portion of such taxes, penalties and interest sufficient to
    15  deposit annually into the  central  business  district  tolling  capital
    16  lockbox  established  pursuant  to section five hundred fifty-three-j of
    17  the public authorities law: (A) in state fiscal year two thousand  nine-
    18  teen  -  two  thousand  twenty,  one  hundred  twenty-seven million five
    19  hundred thousand dollars; (B) in state fiscal year two thousand twenty -
    20  two thousand twenty-one, one hundred seventy million dollars; and (C) in
    21  state fiscal year two thousand twenty-one - two thousand twenty-two  and
    22  every  succeeding  state fiscal year, an amount equal to one hundred one
    23  percent of the amount  deposited  in  the  immediately  preceding  state
    24  fiscal  year. The funds shall be deposited monthly in equal installments
    25  without  appropriation.  During  the  period  that  the  comptroller  is
    26  required  to  withhold amounts and make payments described in this para-
    27  graph, the city of New York has no right, title or  interest  in  or  to
    28  those  taxes,  penalties and interest required to be paid into the above
    29  referenced central business district tolling capital lockbox.
    30    § 7. This act shall take effect immediately; provided that the  amend-
    31  ments  to subparagraph (ii) of paragraph 5 of subdivision (c) of section
    32  1261 of the tax law made by section five of this act shall be subject to
    33  the expiration and reversion of such subparagraph pursuant to section  5
    34  of part ZZ of chapter 56 of the laws of 2020, as amended, when upon such
    35  date the provisions of section six of this act shall take effect.