Exemption from taxation of structures and buildings essential to the operation of agricultural and horticultural lands

4 Co-sponsors

• Tony Avella
• Patrick M. Gallivan
• Kathleen A. Marchione
• Robert Ortt

BILL NUMBER:S1835B

Title of bill

An act to amend the real property tax law, in relation to exemption from taxation of structures and buildings essential to the operation of agricultural and horticultural lands

Purpose or general idea of bill

This bill recognizes the contributions of commercial equine operations to agriculture in New York State by providing these operations with eligibility for the current ten-year real property tax exemption for indoor riding arenas, as part of structures and buildings essential to the operation of agricultural and horticultural lands.

Summary of specific provisions

Section 1 amends Subdivisions 2 and 8 of § 483 of the Real Property Tax Law to expand the definition of "structures and buildings" to include commercial equine operations, as defined in section 301 of the Agriculture and Markets Law. This section also expand the term "agricultural and horticultural" to include commercial equine operations, as defined in section 301 of the Agricultural and Markets Law.

Section 2 is the effective date.

Justification

Commercial equine operations already have access to agricultural district protections and agricultural assessment tax relief if they consist of at least seven acres, stable ten horses regardless of ownership and gross $10,000. This legislation would further extend benefits, already enjoyed by all other types of farms, to these operations. According to the National Agricultural Statistical Service's (NASS) Equine Survey from 2005, there are approximately 200,000 horses in New York, with a value of $1.83 billion. Over-all, total equine-related assets, held by owners, are valued at approximately $10 billion. Total annual revenue to the New York economy from equine businesses is approximately $450 million annually. A large portion of this total comes from revenues generated by providing equine services, such as boarding, trail riding, riding lessons, training and therapeutic riding. It is essential that the same tax exemptions are afforded to commercial equine operation as granted to structures and buildings essential to the operation of agricultural and horticultural lands. This bill applies only to structures build on or after such effective date.

Prior legislative history

2013-2014: S.4261/ A.6501

Fiscal implications

To be determined.

Effective date

This act will take effect immediately and shall only apply to structures built on or after the next succeeding final assessment roll date.