What's happening
This bill allows local governments to opt out of certain tax assessment methods for co-ops and condos, with exceptions for properties previously assessed under the old rules before 2021.
Why it matters
Empowers local governments and school districts. to decide whether to use the state-mandated tax assessment method for co-ops and condos, potentially allowing them to set their own valuation rules that could better reflect local needs or priorities.
Preserves previous tax treatment for existing properties. , ensuring that co-op and condo buildings assessed under the old method before 2021 continue to be taxed the same way, which protects current owners from sudden tax increases or decreases.
Could lead to variation in property taxes. for co-ops and condos between different municipalities, depending on whether local governments adopt the opt-out, making local tax policy a more significant factor in housing costs.
May impact affordability and investment. in co-ops and condos, as changes in assessment methods could shift tax burdens and influence decisions by buyers, developers, and current residents.
Albany, before your first meeting.
Every bill that moved yesterday, summarized in a sentence and ranked by impact. The Albany Scorecard follows on Sundays.
Free. Unsubscribe in one click. Want alerts on specific bills? Create an account.
Who cares
Headline styles
Change Coop Property Tax Rules
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 38
No co-sponsors yet.
History
- Print number 7057a
- Amend and recommit to local government
- 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.
Change Co-op Property Tax Rules
Assembly Floor Calendar · Sponsor Sandy Galef
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
7057--A
IN SENATE (Prefiled)
January 8, 2020
Introduced by Sen. CARLUCCI -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government -committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the real property tax law and the real property law, in relation to the taxation of property owned by a cooperative corporation
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision 1 of section 581 of the real property tax law is amended by adding a new paragraph (d) to read as follows:
(d) The provisions of paragraph (a) of this subdivision shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis in a municipal corporation, other than a special assessing unit, which has adopted, prior to the taxable status date of the assessment roll upon which its taxes will be levied, a local law or, for a school district, a resolution providing that the provisions of paragraph (a) of this subdivision shall not apply to such real property within that municipal corporation; provided, however, the provisions of this paragraph shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis that had been previously subject to the provisions of paragraph (a) of this subdivision prior to January first, two thousand twenty-one.
§ 2. Subdivision 1 of section 339-y of the real property law is amended by adding a new paragraph (g) to read as follows:
(g) The provisions of paragraph (b) of this subdivision shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis in a municipal corporation other than a special assessing unit, which has adopted, prior to the taxable status date of the assessment roll upon which its taxes will be levied, a local law or, for a school district, a resolution providing that the provisions of paragraph (b) of this subdivision shall not apply to such real property within that municipal corporation; provided, however, the provisions of
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08645-05-0
S. 7057--A 2
this paragraph shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis that had been previously subject to the provisions of paragraph (b) of this subdivision prior to January first, two thousand twenty-one.
§ 3. This act shall take effect immediately and shall apply to assessment rolls prepared on the basis of taxable status dates occurring on or after January 1, 2021.
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 and the real property law, in relation to the taxation of property owned by a cooperative corporation
Purpose or general idea of bill
The purpose of this legislation is to allow municipal corporations to value newly constructed and converted cooperative and condominium units as they would for real property to alleviate any negative impacts placed on the locality by the current statute.
Summary of provisions
Section 1. Subdivision 1 of section 581 of the Real Property Tax Law is amended by adding a new paragraph: (d) The provisions of paragraph (a) of this subdivision shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis in a municipal corporation, other than a special assessing unit, which has adopted, prior to the taxable statue date of the assessment roll upon which its taxes will be levied, a local law or, for a school district, a resol- ution providing that the provisions of paragraph (a) of this subdivision shall not apply to such real property within that municipal corporation; provided, however, the provisions of this paragraph shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis that had been previously subject to the provisions of paragraph (a) of this subdivision prior to January 1, 2021.
Read the full memo (634 words)
Section 2. Subdivision 1 of section 339-y of the Real Property Law is amended by adding a new paragraph: (g) The provisions of paragraph (b) of this subdivision shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis in a municipal corporation other than a special assessing unit, which has adopted, prior to the taxable status date of the assessment roll upon which its taxes will be levied, a local law or, for a school district, a resol- ution providing that the provisions of paragraph (b) of this subdivision shall not apply to such real property within that municipal corporation; provided, however, the provisions of this paragraph shall not apply to real property owned or leased by a cooperative corporation or on a condominium basis that had been previously subject to the provisions of paragraph (b) of this subdivision prior to January 1, 2021.
Section 3. Establishes the effective date.
Justification
As currently written, the Real Property Tax Law and the Real Property Law does not allow the sum of the assessments of individual cooperative or condominium units to exceed the value of the entire complex if it was valued as a single entity. The restriction tends to reduce condominium and cooperative assessments by preventing the use of sales of units in the assessment process. The Office of Real Property Services, assessors and other local officials generally consider the restrictions an unrea- sonable state mandate that unfairly limits the revenue-raising abilities of local governments. Assessors and appraisers also cite the difficul- ties they encounter when they are forced to ignore market information - usually the best indicator of value in developing estimates of taxable value. This bill would allow municipal corporations to value newly constructed and converted cooperative and condominium units as they would other real property to alleviate any negative impacts placed on the locality by the current statute.
Prior legislative history
A.2874-A and S.1191-B of 2017/2018 A.5484-A and S.618-A of 2015/2016 A.685-A and S.1000-A of 2013/2014 A.4981-A and S.546-A of 2011/2012 A.5724 and 5.255 of 2009/2010 A.10730 and 5.7727 of 2007/2008
Fiscal implications for state and local governments
There are no fiscal implications associated with the passage of this bill.
Effective date
This act shall take effect immediately and shall apply to assessment rolls prepared on the basis of taxable status dates occurring on or after January 1, 2021.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.