Bill Text: NY S04662 | 2019-2020 | General Assembly | Introduced
Bill Title: Relates to authorizing a residential redevelopment inhibited property exemption; authorizes any city, town or village to, by local law, provide for a real property tax exemption for residential redevelopment inhibited property.
Spectrum: Partisan Bill (Republican 4-0)
Status: (Introduced - Dead) 2020-01-08 - REFERRED TO LOCAL GOVERNMENT [S04662 Detail]
Download: New_York-2019-S04662-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 4662 2019-2020 Regular Sessions IN SENATE March 20, 2019 ___________ Introduced by Sens. RANZENHOFER, AKSHAR, SERINO, SEWARD -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government AN ACT to amend the real property tax law, in relation to authorizing a residential redevelopment inhibited property exemption The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 485-r of the real property tax law, as added by 2 chapter 406 of the laws of 2015 and paragraph (f) of subdivision 1 as 3 amended by chapter 28 of the laws of 2016, is amended to read as 4 follows: 5 § 485-r. Residential redevelopment inhibited property exemption[;6certain cities]. 1. As used in this section, the following terms shall 7 have the following meanings: 8 (a) "Redevelopment inhibited property" shall mean a residential prop- 9 erty that has been neglected or abandoned because of the local economic 10 conditions and/or conditions on the property that inhibit such property 11 from being redeveloped by the private sector. Redevelopment inhibited 12 property shall not include land that is undeveloped. 13 (b) "Gap financing costs" shall mean the total cost of the property's 14 redevelopment as approved by the [city] municipality minus the increase 15 in the full valuation of the property upon completion of the redevelop- 16 ment. 17 (c) "Base assessment" shall mean the assessed value of the property on 18 the day the [city] municipality designates the property as redevelopment 19 inhibited. 20 (d) "Increased assessment" shall mean the assessed value of the prop- 21 erty as determined by the assessor upon completion of the redevelopment. 22 (e) "Incremental increase in annual property taxes" shall mean the 23 taxes based on the increased assessment minus the taxes based on the 24 base assessment. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD10852-01-9S. 4662 2 1 (f) ["City" shall mean a city with a population of not less than2fifteen thousand two hundred fifty and not more than fifteen thousand3five hundred as determined by the latest federal decennial census.] 4 "Municipality" means any city, town or village. 5 2. A [city] municipality may, by local law, provide for the exemption 6 of real property from taxation as provided in this section. Subsequent 7 to the adoption of such local law, the county in which such [city] muni- 8 cipality is located may after a public hearing and by local law, and any 9 school district, all or part of which is located in such [city] munici- 10 pality, may, by resolution, exempt such property from its taxation in 11 the same manner and to the same extent as the [city] municipality has 12 done. 13 3. A [city] municipality shall designate any property within the 14 [city] municipality's boundaries as a redevelopment inhibited property 15 if one or more of the following are met: 16 (a) the [city] municipality has acquired title to the property pursu- 17 ant to article nineteen-A of the real property actions and proceedings 18 law; or 19 (b) the property has been continuously vacant for a period of at least 20 three years; or 21 (c) the [city] municipality has acquired title to the property via 22 foreclosure for unpaid taxes pursuant to article eleven of this chapter; 23 or 24 (d) the property has outstanding zoning, housing, or uniform code 25 violations and the cost of remedying the violations exceeds the proper- 26 ty's value. 27 4. (a) Upon the adoption of such local law, redevelopment inhibited 28 property shall be exempt from taxation and special ad valorem levies to 29 the extent of any increase in value attributable to demolition, alter- 30 ation, rehabilitation, or remediation pursuant to the following require- 31 ments: 32 (i) the demolition, alterations, rehabilitation, and/or remediation 33 shall be permitted by the [city's] municipality's bureau of inspection 34 such that building or plumbing permits issued and said demolition, 35 alterations, rehabilitation, and/or remediation shall have met all 36 necessary approvals per the applicable New York state uniform fire 37 prevention and building code, the [city's] municipality's municipal code 38 and the [city's] municipality's bureau of inspection upon completion; 39 and 40 (ii) the property for which the exemption is sought shall be an 41 owner-occupied one-family residence; and 42 (iii) the owner of such property shall file annually an affidavit of 43 residency with the assessor of the [city] municipality on or before the 44 appropriate taxable status date of such [city] municipality, confirming 45 continued owner-occupancy of the property; and 46 (iv) the redevelopment inhibited property is exempt from taxation and 47 special ad valorem levies attributable to the increased assessment minus 48 the taxes and special ad valorem levies imposed on the base assessment. 49 Such exemption shall not apply to special assessments. 50 (b) In the event the property granted an exemption pursuant to this 51 section ceases to be owner-occupied and/or the affidavit of residency is 52 not filed annually for the approved exemption period, the exemption 53 granted pursuant to this section shall cease. 54 (c) In the event the property granted an exemption pursuant to this 55 section ceases to be a one-family dwelling, the exemption granted pursu- 56 ant to this section shall cease.S. 4662 3 1 (d) In the event the owner of the property is convicted of a violation 2 or misdemeanor pursuant to New York state uniform fire prevention and 3 building code or the [city's] municipality's municipal code, the 4 exemption granted pursuant to this section shall cease. 5 5. (a) Such redevelopment inhibited property shall be exempt for a 6 period equal to the gap financing costs divided by the incremental 7 increase in annual property taxes resulting from such redevelopment. The 8 exemption period shall be rounded up to the nearest whole number and 9 shall not exceed twenty-five years. 10 (b) The extent of such exemption shall decrease the last eight years 11 of the exemption period by twelve and one-half percent of the increase 12 in assessment due to the redevelopment equaling a zero percent exemption 13 on the final year of the exemption period. 14 6. (a) Such exemption shall be granted only upon application by the 15 owner of such building for the residential redevelopment inhibited prop- 16 erty exemption, on a form prescribed by the [city] municipality. Such 17 application must be filed with the assessor of the [city] municipality 18 on or before the appropriate taxable status date of such [city] munici- 19 pality. The application must be filed with the assessor of the [city] 20 municipality within three years from the date of completing the demoli- 21 tion, alterations, rehabilitation, and/or remediation. 22 (b) The owner filing for such exemption shall not be required to be 23 the owner responsible for completing the demolition, alterations, reha- 24 bilitation, and/or remediation. 25 (c) If the assessor is satisfied that the applicant is entitled to an 26 exemption pursuant to this section, he or she shall approve the applica- 27 tion and such real property shall thereafter be exempt from taxation and 28 special ad valorem levies by the [city] municipality commencing with the 29 assessment roll prepared after the taxable status date referred to in 30 this subdivision. The assessed value of any exemption granted pursuant 31 to this section shall be entered by the assessor of the [city] munici- 32 pality on the assessment roll with the taxable property, with the amount 33 of the exemption shown in a separate column. 34 (d) Once granted, the residential redevelopment inhibited property 35 exemption runs with the land for the exemption period pursuant to this 36 section. 37 § 2. This act shall take effect on the one hundred eightieth day after 38 it shall have become a law.