Bill Text: NY S06203 | 2019-2020 | General Assembly | Introduced
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Repeals the rebates for stock transfer tax paid; dedicates funds of the stock transfer tax fund and stock transfer incentive fund to various funds; establishes the safe water and infrastructure action program.
Spectrum: Partisan Bill (Democrat 13-0)
Status: (Introduced - Dead) 2020-06-26 - PRINT NUMBER 6203A [S06203 Detail]
Download: New_York-2019-S06203-Introduced.html
Bill Title: Repeals the rebates for stock transfer tax paid; dedicates funds of the stock transfer tax fund and stock transfer incentive fund to various funds; establishes the safe water and infrastructure action program.
Spectrum: Partisan Bill (Democrat 13-0)
Status: (Introduced - Dead) 2020-06-26 - PRINT NUMBER 6203A [S06203 Detail]
Download: New_York-2019-S06203-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 6203 2019-2020 Regular Sessions IN SENATE May 22, 2019 ___________ Introduced by Sen. SANDERS -- read twice and ordered printed, and when printed to be committed to the Committee on Budget and Revenue AN ACT to amend the state finance law, in relation to the repeal of the rebate for stock transfer tax paid and the funds of the stock transfer tax fund and the dedicated infrastructure investment fund; to amend the environmental conservation law, in relation to establishing the safe water infrastructure action program for the purpose of making payments toward the replacement and rehabilitation of existing local municipally-owned and funded drinking water, storm water and sanitary sewer systems; to amend the tax law, in relation to taxes imposed in certain transactions; to repeal section 280-a of the tax law relating to the rebate for stock transfer tax paid; to repeal section 92-i of the state finance law relating to the stock transfer incentive fund; and to repeal certain provisions of the administrative code of the city of New York relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 280-a of the tax law is REPEALED. 2 § 2. Section 92-i of the state finance law is REPEALED. 3 § 3. Section 92-b of the state finance law, as added by chapter 91 of 4 the laws of 1965, subdivision 3 as amended by chapter 878 of the laws of 5 1977, subdivision 4 as amended by chapter 724 of the laws of 1979, 6 subdivision 5 as added and subdivision 6 as renumbered by section 2 of 7 chapter 3 of the laws of 1966, subdivision 7 as added by section 10 of 8 part SS1 of chapter 57 of the laws of 2008 and such section as renum- 9 bered by section 1 of chapter 3 of the laws of 1966, is amended to read 10 as follows: 11 § 92-b. Stock transfer tax fund. 1. There is hereby established in the 12 custody of the commissioner of taxation and finance a special fund, to 13 be known as the stock transfer tax fund. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD09894-05-9S. 6203 2 1 2. Such fund shall consist of the revenues derived from the stock 2 transfer tax imposed by article twelve of the tax law and all other 3 moneys credited or transferred thereto from any other fund or source 4 pursuant to law. 5 3. The moneys received from such tax and other sources in such fund[,6after deducting the amount the commissioner of taxation and finance7shall determine to be necessary for] shall be used to cover the reason- 8 able costs of the state tax commission in administering, collecting and 9 distributing [such] the stock transfer tax, commencing with the fiscal 10 year ending March thirty-first, [nineteen hundred seventy-seven] two 11 thousand twenty-one, [shall be appropriated to (i) the municipal assist-12ance corporation for the city of New York created pursuant to title13three of article ten of the public authorities law in order to enable14such corporation to fulfill the terms of any agreements made with the15holders of its notes and bonds and to carry out its corporate purposes16including the maintenance of the capital reserve fund and (ii) to the17extent such moneys are not required by such corporation as provided in18subdivision seven of section ninety-two-d of this chapter and, after19deducting the amount such commissioner shall determine to be necessary20for reasonable costs of the state tax commission in administering and21making distributions in accordance with the provisions of section two22hundred eighty-a of the tax law from the stock transfer incentive fund,23to the stock transfer incentive fund created pursuant to section nine-24ty-two-i of this chapter to enable rebates to be made from such fund25under the provisions of section two hundred eighty-a of the tax law and26(iii) to the extent such moneys are not required by such fund, as certi-27fied by the commissioner of taxation and finance, the balance shall be28appropriated to the city of New York, for the support of local govern-29ment.] and the remainder shall be deposited into the following funds: 30 (i) twenty-five percent shall be directed to the metropolitan trans- 31 portation authority financial assistance fund established pursuant to 32 section ninety-two-ff of this article; 33 (ii) ten percent shall be directed to the division of housing and 34 community renewal for the purpose of capital projects and other improve- 35 ments to address issues relating to conditions of governance and habita- 36 bility, including but not limited to, heating, mold, or lead, and other 37 such conditions affecting the health and safety of tenants at housing 38 developments owned or operated by the New York city housing authority; 39 (iii) fifteen percent shall be directed to the highway and bridge 40 capital account in the dedicated highway and bridge trust fund estab- 41 lished pursuant to section eighty-nine-b of this article; 42 (iv) ten percent shall be directed to the dedicated highway and bridge 43 trust fund established pursuant to section eighty-nine-b of this arti- 44 cle, to be directed towards the infrastructure, maintenance and develop- 45 ment of rail lines for AMTRAK in the northeast corridor; 46 (v) five percent shall be directed to the local infrastructure account 47 of the general fund established pursuant to section seventy-two of this 48 article to be directed to the Consolidated Local Street and Highway 49 Improvement Program (CHIPS); 50 (vi) five percent shall be directed to the local infrastructure 51 account of the general fund to be dedicated to the safe water and 52 infrastructure action program as established by section 3-0323 of the 53 environmental conservation law; 54 (vii) five percent shall be directed to the municipal assistance state 55 aid fund established pursuant to section ninety-two-e of this article;S. 6203 3 1 (viii) five percent shall be directed to the dedicated mass transpor- 2 tation trust fund to the credit of the non-MTA account for payment to 3 downstate transit systems other than those transit systems operated by 4 the metropolitan transportation authority; 5 (ix) five percent shall be directed to the dedicated mass transporta- 6 tion trust fund to the credit of the non-MTA account for payment to 7 upstate transit systems; and 8 (x) fifteen percent shall be directed to the energy research and 9 development operating fund pursuant to the provisions of section eigh- 10 teen hundred fifty-nine of the public authorities law, to be directed to 11 the clean energy fund and shall be divided equally among the four 12 investment portfolios that make up such fund. 13 4. [After the deduction of such costs of the state tax commission in14administering, collecting and distributing such tax, the balances in the15stock transfer tax fund so appropriated shall be distributed and paid on16the last business day of September, December, March and June into the17special account established for the municipal assistance corporation for18the city of New York in the municipal assistance tax fund established19pursuant to subdivision one of section ninety-two-d of this chapter,20unless and to the extent the balances in such fund on each such payment21day are not required by such corporation as provided in said subdivision22seven of said section ninety-two-d in which case the balance not so23required, if any, after the deduction of such costs of the state tax24commission in administering and making distributions in accordance with25the provisions of section two hundred eighty-a of the tax law from the26stock transfer incentive fund shall be distributed and paid to the stock27transfer incentive fund in the custody of the commissioner of taxation28and finance established pursuant to section ninety-two-i of this chapter29and unless and to the extent that the balances in the stock transfer tax30fund on each such payment day are not required by the stock transfer31incentive fund as provided in such section ninety-two-i of this chapter32in which case the balance not so required, if any, shall be distributed33and paid to the chief fiscal officer of the city of New York to be paid34into the treasury of the city to the credit of the general fund or paid35by the commissioner of taxation and finance to such other account or36fund as may be designated in writing by such chief fiscal officer at37least ten business days prior to such last day and on each such day, the38commissioner of taxation and finance shall certify to the comptroller39the amount deducted for administering, collecting and distributing such40tax during such quarterly period and shall pay such amount into the41general fund of the state treasury to the credit of the state purposes42fund therein. In no event shall any amount (other than the amount to be43deducted for administering, collecting and distributing such tax) be44distributed or paid from the stock transfer tax fund to any person other45than the municipal assistance corporation for the city of New York46unless and until the aggregate of all payments certified to the comp-47troller as required by such corporation in order to comply with its48agreements with the holders of its notes and bonds and to carry out its49corporate purposes, including the maintenance of the capital reserve50fund, which remain unappropriated or unpaid to such corporation shall51have been appropriated to such corporation and shall have been paid in52full provided, however, that no person, including such corporation or53the holders of its notes or bonds shall have any lien on such tax and54such agreements shall be executory only to the extent of the balances55available to the state in such fund. If the balances in such fund are56not required by such corporation pursuant to the provisions of thisS. 6203 4 1subdivision, on each such last business day of September, December,2March and June, the commissioner of taxation and finance shall certify3to the comptroller the amount deducted for administering and making4distributions in accordance with the provisions of section two hundred5eighty-a of the tax law from the stock transfer incentive fund during6such quarterly period and he shall pay such amount into the general fund7of the state treasury to the credit of the state purposes fund therein.8To the extent such moneys are not required by such corporation, as9provided in subdivision seven of section ninety-two-d of this chapter,10no amount thereof (other than such amount to be deducted for administer-11ing, collecting and distributing such tax and such costs in administer-12ing and making distributions in accordance with the provisions of13section two hundred eighty-a of the tax law from the stock transfer14incentive fund) shall be distributed or paid from the stock transfer tax15fund other than to such stock transfer incentive fund in the custody of16the commissioner of taxation and finance unless and until the aggregate17of all payments certified to the comptroller by such commissioner pursu-18ant to the provisions of such incentive fund as necessary to provide19payments on account of rebates authorized pursuant to section two20hundred eighty-a of the tax law which remain unappropriated or unpaid to21such fund shall have been appropriated to such fund and shall have been22paid in full provided, however, that no person, including any taxpayer23under article twelve of the tax law or any member or dealer referred to24in subdivisions two-a and six of section two hundred eighty-a of such25law, shall have any lien on this fund or the stock transfer incentive26fund.275. In no fiscal year shall the total amount paid from the fund exceed28the total collections during such fiscal year from the stock transfer29tax pursuant to the provisions of article twelve of the tax law and as30deposited to the credit of the stock transfer tax fund.316.] All payments from the stock transfer tax fund shall be made on the 32 audit and warrant of the comptroller on vouchers approved by the commis- 33 sioner of taxation and finance. 34 [7. When all the notes and bonds of the municipal assistance corpo-35ration for the city of New York have been fully paid and discharged,36together with interest thereon and interest on unpaid installments of37interest, and the chairman of the corporation makes the final certif-38ication required by subdivision seven of section ninety-two-d of this39article, the comptroller must notify the commissioner of taxation and40finance that all remaining funds held in the stock transfer tax fund41must be released to the stock transfer incentive fund. From that time42forward, all funds previously deposited in the stock transfer tax fund43pursuant to subdivision two of this section will be deposited directly44into the stock transfer incentive fund pursuant to all the rules, regu-45lations or instructions that the commissioner may prescribe, after46deducting the amount the commissioner determines to be necessary for47reasonable costs of the department in administering, collecting and48distributing the tax imposed by article twelve of the tax law. Notwith-49standing any other provisions of this article, to the extent those50moneys are not required by the stock transfer incentive fund for the51purpose of administering and making distributions in accordance with the52provisions of section two hundred eighty-a of the tax law, as certified53by the commissioner of taxation and finance, the balance will be appro-54priated to the city of New York for the support of local government.]S. 6203 5 1 § 4. Paragraph (c) of subdivision 1 of section 93-b of the state 2 finance law, as added by section 1 of part H of chapter 60 of the laws 3 of 2015, is amended to read as follows: 4 (c) Sources of funds. The sources of funds shall consist of all moneys 5 collected therefor, or moneys credited, appropriated or transferred 6 thereto from any other fund or source pursuant to law or any other 7 moneys made available for the purposes of the fund, including but not 8 limited to funds transferred from the stock transfer tax fund pursuant 9 to subdivision three of section ninety-two-b of this article and funds 10 transferred from the stock transfer incentive fund established by 11 section ninety-two-i of this article and repealed by a chapter of the 12 laws of two thousand nineteen, which amended this paragraph. Any inter- 13 est received by the comptroller on moneys on deposit shall be retained 14 and become part of the fund, unless otherwise directed by law. 15 § 5. Subdivision (c) of section 11-503 of the administrative code of 16 the city of New York is REPEALED. 17 § 6. Subdivision 12 of section 11-604 of the administrative code of 18 the city of New York is REPEALED. 19 § 7. All monies accumulated in the stock transfer incentive fund 20 established pursuant to section 92-i of the state finance law on the 21 effective date of this act shall be transferred to the dedicated infras- 22 tructure investment fund as established by section 93-b of the state 23 finance law for the purposes set forth in such section. 24 § 8. The environmental conservation law is amended by adding a new 25 section 3-0323 to read as follows: 26 § 3-0323. Safe water and infrastructure action program. 27 1. Notwithstanding any other provisions of this chapter or any other 28 law and subject to an appropriation made therefor and in accordance with 29 the provisions of this section and with the rules and regulations 30 promulgated by the commissioner in connection therewith, on and after 31 the first day of April, two thousand twenty, a consolidated local 32 infrastructure program is hereby established for the purpose of making 33 payments toward the replacement and rehabilitation of existing local 34 municipally-owned and funded drinking water, storm water and sanitary 35 sewer systems. For purposes of this section, such program shall apply to 36 any county, city, town or village drinking water system, storm water 37 system or sanitary sewer system within the state that is not under the 38 maintenance and/or operational jurisdiction of the state nor any private 39 entity. The commissioner, in conjunction with the environmental facili- 40 ties corporation, shall promulgate all necessary rules and regulations 41 to carry out the program so that an equitable distribution of aid shall 42 be made for the general operation and/or general maintenance of any 43 existing county, city, town and village drinking water system, storm 44 water system or sanitary sewer system. 45 2. On or before the twenty-fifth day of April, June, September and 46 November of each state fiscal year commencing with the state fiscal year 47 beginning on April first, two thousand twenty, there shall be distrib- 48 uted and paid to counties, cities, towns and villages an amount equal to 49 the moneys appropriated for the purposes of this section divided by the 50 number of payment dates in that state fiscal year. Such amounts shall be 51 distributed and paid pursuant to subdivision three of this section. 52 3. Amounts shall be distributed for local drinking water, storm water 53 and sanitary sewer systems based upon the total length and width of all 54 pipelines and mains owned and operated by the municipality. 55 4. Monies made available may be used to match other state and federal 56 funds made available for such projects. The funds may also be used toS. 6203 6 1 support special improvement districts created to provide drinking water, 2 waste water and storm water services under articles twelve, twelve-A, 3 twelve-C and thirteen of the town law. The remainder of the apportion- 4 ment may be used for any existing drinking water, storm water or sewer 5 system purchases, including but not limited to, the acquisition of mate- 6 rials for the replacement or rehabilitation. 7 5. For any city, town, or village which proposes infrastructure 8 consolidation under this section or merges with another municipality, 9 the funds appropriated under this section may fund costs associated with 10 such consolidation. 11 6. For each fiscal year, starting in two thousand twenty, funds are to 12 be made available to the local infrastructure assistance account of the 13 general fund, and distributed from that account, in an amount that is at 14 least equal to those appropriated and made available in the Consolidated 15 Local Street and Highway Improvement Program (CHIPS). 16 § 9. Section 270 of the tax law is amended by adding a new subdivision 17 9 to read as follows: 18 9. Notwithstanding any other provision to the contrary, a transaction 19 referred to in subdivision one of this section is subject to tax if any 20 activity in furtherance of the transaction occurs within the state or if 21 a party involved in the transaction satisfies a nexus with New York 22 state which shall be defined as broadly as is permitted under the United 23 States Constitution. 24 § 10. This act shall take effect April 1, 2020.