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S127Senate2019-2020 SessionSame asA4977

Expand Tax Exemption Statewide

Official title

“Expands the residential-commercial exemption program to include any municipality regardless of the population of the county in which it is located”

Sponsor Robert OrttSD-62Affects Local Government
Status
In Senate Committee
Local Government
Impact
4/10
Low
Passage
0%

Bill progress

Step 2 of 7

In committee · Local Government

What's happening

This bill removes population-based restrictions, allowing all municipalities in New York to participate in the residential-commercial property tax exemption program.

Why it matters

  1. Broader eligibility for revitalization. By removing population-based limits, the bill allows every municipality—no matter its size—to use the residential-commercial exemption program, potentially spurring more widespread property redevelopment and mixed-use projects.

  2. Potential for increased investment in smaller communities. Smaller towns and villages, previously excluded, can now offer property tax incentives to attract developers, businesses, and residents, which could help reverse decline or stagnation in these areas.

  3. Uniformity and fairness. Standardizing access to the exemption program across the state ensures that similar redevelopment opportunities are available everywhere, preventing arbitrary advantages based on population thresholds.

  4. Possible impacts on local tax revenues. While the exemption may encourage new investment, it could also temporarily reduce property tax collections for participating municipalities, affecting budgets for local services—making local policy decisions about participation especially significant.

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Who cares

Headline styles

Expand Tax Exemption Statewide

Plain English, a few words. Used as the page title.

Sponsors

Primary sponsor
Robert Ortt

Senator · Senate District 62

No co-sponsors yet.

History

  1. Referred to local government
  2. Referred to local government

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.

A4977Assembly

Expand Tax Exemptions Statewide

In Assembly Committee · Real Property Taxation · Sponsor David DiPietro

Impact 4 · Low0% to pass

Full text

1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗

STATE OF NEW YORK

127

2019-2020 Regular Sessions

IN SENATE (Prefiled)

January 9, 2019

Introduced by Sen. ORTT -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government

AN ACT to amend the real property tax law, in relation to the residential-commercial exemption program

The People of the State of New York, represented in Senate and Assembly, do enact as follows:

Section 1. Paragraph (g) of subdivision 1 of section 485-n of the real property tax law, as amended by chapter 394 of the laws of 2012, is amended to read as follows:

(g) "Municipality" means any town, city, village or other taxing entity [located in a county having a population of not less than sixty-five thousand three hundred ninety and not more than sixty-five thousand four hundred as determined by the federal decennial census for the year two thousand ten or in a county having a population of not less than ninety-eight thousand nine hundred and not more than ninety-nine thousand as determined by the federal decennial census for the year two thousand ten].

§ 2. This act shall take effect immediately, provided that the amendments to subdivision 1 of section 485-n of the real property tax law made by section one of this act shall not affect the repeal of such section and shall be deemed repealed therewith.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD01435-01-9

Reflowed for reading: line numbers and page breaks removed. Cite the official text.

Sponsor's memo

Title of bill

An act to amend the real property tax law, in relation to the residen- tial-commercial exemption program

Purpose or general idea of bill

Expands the Residential-Commercial Exemption program statewide.

Summary of specific provisions

Section 1. The real property tax law is amended to remove the restriction that limits the residential-commercial exemption program's applicability to Livingston County.

Justification

New York's older communities are faced with thousands of properties in need of significant remediation and rehabilitation. The cost of such remediation and rehabilitation frequently exceeds the value of the Prop- erty creating a situation where private sector financing will not loan money to undertake the remediation or rehabilitation. As a result, these properties will not be rehabilitated or redeveloped without addressing this gap in the private sector financing. This legislation will facili- tate the redevelopment of New York's communities by allowing counties, towns, villages and school districts, to grant real property tax abate- ment in defined redevelopment areas.

Tax abatements are a proven technique for local governments to attract investors for revitalization. A tax abatement, which this bill would provide, is different than a strict tax exemption. A tax exemption takes away existing revenue generated by a property, while tax abatement does not change existing tax payments. With tax abatements, governments agree to take less than 100% of new revenue generated through property invest- ment, repair and renovation.

This legislation will provide a tool for local governments to improve their communities. The proposed tax abatement program will not impose a cost upon the state, and therefore should be considered by the Legisla- ture as a no cost, mandate-free way to allow local governments across New York to invest in and attract outside investment to their communi- ties.

Legislative history

2015-16 A3940 2013-14 A7931 2011-12 A10193

Fiscal implications

Unknown

Effective date

This act shall take effect immediately.

Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.