Bill Text: NY S05779 | 2023-2024 | General Assembly | Amended
Bill Title: Establishes a vacant residential investment exemption in cities with a population of not less than seven thousand fifty and not more than seven thousand sixty, determined in accordance with the two thousand twenty census.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced) 2024-01-16 - PRINT NUMBER 5779C [S05779 Detail]
Download: New_York-2023-S05779-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 5779--C 2023-2024 Regular Sessions IN SENATE March 15, 2023 ___________ Introduced by Sen. OBERACKER -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- recommitted to the Committee on Local Government in accordance with Senate Rule 6, sec. 8 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the real property tax law, in relation to establishing a residential investment exemption in certain cities 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-x to read as follows: 3 § 485-x. Vacant residential real property improvement exemption; 4 certain cities. 1. Construction of improvements to residential real 5 property, provided that such real property was vacant prior to such 6 construction, initiated on or after January first, two thousand twenty- 7 five in a city with a population of not less than seven thousand fifty 8 and not more than seven thousand sixty, determined in accordance with 9 the two thousand twenty census, may be exempt from city taxation as 10 provided in this section. 11 2. (a)(i) During the construction period, such real property shall be 12 fully exempt from city taxation, up to a period of eighteen months or 13 until a certificate of occupancy is issued, whichever is sooner, on all 14 city taxation. For the purposes of this section, the term "construction 15 period" shall mean the period of time beginning on the date which the 16 actual construction of improvements to vacant residential real property, 17 pursuant to subdivision one of this section, lawfully begins in good 18 faith and ending on the date a certificate of occupancy has been issued. 19 (ii) (A) Upon the termination of the exemption provided for under 20 subparagraph (i) of this paragraph, such real property shall be exempt 21 for a period of one year to the extent of eighty per centum of the 22 assessed value thereof and for an additional period of three years, EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09064-07-4S. 5779--C 2 1 provided, however, that the extent of such exemption shall decrease by 2 twenty per centum each year during such additional period of three years 3 and such exemption shall be computed with respect to the "exemption 4 base". For the purposes of this section, the term "exemption base" shall 5 mean the assessed value as determined by the assessor in the initial 6 year of such four-year period following the termination of the exemption 7 provided for under subparagraph (i) of this paragraph. 8 (B) The following table shall illustrate the computation of the city 9 tax exemption: 10 Year of exemption Percentage of exemption 11 1 80 12 2 60 13 3 40 14 4 20 15 (C) Exemptions granted pursuant to this section shall apply to real 16 property taxes imposed for city purposes. 17 (b) No such exemption shall be granted unless: (i) such construction 18 of improvements was commenced on or after the first day of January, two 19 thousand twenty-five or such later date as may be specified by local 20 law; 21 (ii) the residential real property is situate in a city with a popu- 22 lation of not less than seven thousand fifty and not more than seven 23 thousand sixty, determined in accordance with the two thousand twenty 24 census; and 25 (iii) such construction is documented by a building permit, if 26 required, for the improvements, or other appropriate documentation as 27 required by the assessor. 28 3. Such exemption shall be granted only upon application by the owner 29 of such real property on a form prescribed by the commissioner. Such 30 application shall be filed with the assessor of a city with a population 31 of not less than seven thousand fifty and not more than seven thousand 32 sixty, determined in accordance with the two thousand twenty census, on 33 or before the appropriate taxable status date of such city and within 34 one year from the date of completion of such construction of improve- 35 ments. 36 4. If the assessor is satisfied that the applicant is entitled to an 37 exemption pursuant to this section, they shall approve the application 38 and such real property shall thereafter be exempt from taxation and 39 special ad valorem levies by a city with a population of not less than 40 seven thousand fifty and not more than seven thousand sixty, determined 41 in accordance with the two thousand twenty census, as provided in this 42 section commencing with the assessment roll prepared after the taxable 43 status date referred to in subdivision three of this section. The 44 assessed value of any exemption granted pursuant to this section shall 45 be entered by the assessor on the assessment roll with the taxable prop- 46 erty, with the amount of the exemption shown in a separate column. 47 5. In the event that real property granted an exemption pursuant to 48 this section ceases to be used primarily for eligible purposes, the 49 exemption granted pursuant to this section shall cease. 50 6. A city with a population of not less than seven thousand fifty and 51 not more than seven thousand sixty, determined in accordance with the 52 two thousand twenty census, may, by local law, establish a date for the 53 commencement of effectiveness of the exemption offered pursuant to this 54 section. A copy of all such local laws shall be filed with the commis- 55 sioner and the assessor of the city. 56 § 2. This act shall take effect immediately.
