Authorizes a municipal corporation to provide a real property tax exemption for improvements to real property meeting certification standards for green building

2 Co-sponsors

• Thomas K. Duane
• Velmanette Montgomery

BILL NUMBER:S1462D

Title of bill

An act to amend the real property tax law, in relation to authorizing a municipal corporation to provide a real property tax exemption for improvements to real property meeting certification standards for green buildings

Purpose

Authorizes a municipal corporation to provide a real property tax exemption for improvements to real property meeting LEED certification standards for green buildings provided in this section, the green building initiative's green globes rating system, the American National Standards Institute, or substantially equivalent standards for certification using a similar program for green buildings as determined by the municipal corporation.

Summary of provisions

Section 1 of the bill amends the real property tax law by adding a new section 470 relating to exemptions to improvements to real property meeting certification standards for green buildings.

1. Provides that construction of improvements to real property initiated on or after the January 1, 2013, meeting LEED certification standards for green buildings provided in this section, the green building initiative's green globes rating system, the American National Standards Institute, or substantially equivalent standards for certification using a similar program for green buildings as determined by the municipal corporation, shall be exempt from taxation by any municipal corporation in which such property is located to the extent provided in this section, provided the governing board of such municipal corporation, after conducting a public hearing, adopts a local law, ordinance or resolution providing therefor.

2. Sets forth the percentage of the exemption based on the LEED certification classification (certified/silver, gold or platinum). The percentages of exemptions are listed by year.

3. Lists eligibility criteria for the exemption: (a) construction of improvements must commence after January 1, 2013 or later as may be specified by local law; (b) project exceeds $10,000; and (c) proper documentation required. Further provides that "ordinary maintenance and repairs" do not qualify for this exemption.

4. Provides for the commencement of the exemption upon the approval of the assessor. The exemption will be effective after the taxable status date.

Section 2 of the bill provides for an immediate effective date.

Justification

New York has become proactive in bolstering efforts to reduce greenhouse gas emissions by promoting energy efficiency in homes and businesses throughout the State. Significant measures have been enacted in an effort to accomplish this goal. This legislation would allow municipal corporations to adopt local laws granting a real property tax exemption for property improvements meeting LEED certification standards for green buildings provided in this section, the green building initiative's green globes rating system. the American National Standards Institute, or substantially equivalent standards for certification using a similar program for green buildings as determined by the municipal corporation. This incentive would further build upon New York's efforts by encouraging more homeowners and businesses to go "green".

Legislative history

2010: A.9819/S.6755 - Remained in Committee

Fiscal impact on the state

To be determined.

Effective date

This act shall take effect immediately.