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History
- Referred to investigations and government operations
- Returned to senate
- Died in assembly
- Referred to ways and means
- Delivered to assembly
- Passed senateVote 62–0
- Advanced to third reading
- 2nd report cal.
- Amended 2960b
- 1st report cal.369
- Print number 2960a
- Amend and recommit to finance
Show 2 earlier actions
- Reported and committed to finance
- Referred to investigations and government operations
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Provides a tax credit for rehabilitation of historic properties; repeals section 5 of chapter 547 of the laws of 2006
In Assembly Committee · Ways And Means · Sponsor Sam Hoyt
Full text
The text isn't available here yet. Check nysenate.gov.
Sponsor's memo
Title of bill
An act to amend the tax law, in relation to providing a tax credit for rehabilitation of historic properties; to repeal section 5 of chapter 547 of the laws of 2006 amending the tax law and the parks, recreation and historic preservation law, relating to establishing a credit against income tax for the rehabilitation of historic properties, in relation to repealing certain administrative requirements relating thereto; and providing for the repeal of such provisions upon expiration thereof
Purpose or general idea of bill
The purpose of this legislation is to create an economic stimulus program in distressed communities by leveraging the state's existing inventory of vacant, underutilized, and deteriorating historic buildings. This economic stimulus will be accomplished by improving the NYS Rehabilitation Tax Credit programs while limiting program costs and providing cost certainty to New York State.
Summary of specific provisions
This legislation amends section 606 of the tax law by adding two new sections (00) and (pp).
Read the full memo (648 words)
These changes limit the availability of the commercial credit to distressed areas, increase the percent of qualified rehabilitation costs that can be claimed for the credit, increase the cap on credit value, and make the credit assignable, transferable, and conveyable within business partnerships. Proposed changes also limit revenue impacts to New York State by pushing back the date of program implementation and terminating the program after five years availability.
The commercial program is limited to qualified building located in distressed areas, defined as located within a census tract which is identified at or below one hundred percent median family income. The bill increases the rate of credit for these commercial properties from 6 percent to 20 percent, which allows for a higher percentage of qualified rehabilitation costs to be eligible for the program, and increases the credits available for these projects from $100,000 to $5 million. This bill allows the tax credit to be allocated within business partnerships to allow greater investor flexibility and attract increased outof-state financing to New York State rehabilitation projects.
The cap on the residential credit value is increased from $25,000 to $50,000. Additionally, the rehabilitation tax credit is also be offered as a rebate to make the program a stronger financial incentive for home-owners without significant income tax liability. The definition of "distressed areas" is changed to include those residential structures located within a census tract which is identified at or below one hundred percent of the state median family income in the most recent federal census. This change would allow a greater number of municipalities and neighborhoods to make use of the residential rehabilitation program.
Justification
In 2006, New York State became the 28th state in the nation to enact a tax incentive (Chapter 547 of the laws of 2006) to encourage the rehabilitation of historic commercial and residential properties. While the Legislature's establishment of this program was welcomed, enhancements are required to assure that this program will match the notable economic stimulus impacts and community redevelopment successes achieved by effective programs in other states. These changes target reinvestment in distressed census tracts and incorporate program features designed to curtail program costs and provide cost certainty to New York State. These changes also provide the New York State program with a level of incentive and flexibility to rehabilitate a significant number of properties above and beyond those that will be funded by use of the current state program. Distressed Upstate municipalities will be a particular beneficiary of the program.
Prior legislative history
2007-2008: A.30000/S.5425
Fiscal implications
No implication for 2009-10 New York State Budget due to program implementation date of January 1, 2010.
Effective date
This act shall take effect immediately and shall apply to taxable years beginning on and after January 1, 2010. Scheduled to sunset December 31, 2014, with projects commenced in 2014 eligible for the credit upon completion.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.