dliu1/legal-llama-raw-text huggingface dataset:
Conversion of property. 1. Any recipient whose property is
the subject of a certificate of eligibility for commercial or renovation
construction  work,  and  who,  prior  to  the expiration of the benefit
period, uses such property as industrial  property,  shall  continue  to
receive  benefits  for commercial or renovation construction work as the
2. Any recipient whose property is the subject  of  a  certificate  of
eligibility  for  industrial  construction  work,  and who, prior to the
expiration of the benefit  period,  uses  such  property  as  commercial
property,  shall cease to be eligible for further exemption or abatement
for industrial construction work as of  the  last  date  to  which  such
recipient proves by clear and convincing evidence that such property was
used  as  industrial property, and shall pay with interest any taxes for
which an exemption or abatement was  claimed  after  such  date,  except
(a)  a  recipient  of  a  certificate  of  eligibility  for industrial
construction work in a  special  exemption  area  who  would  have  been
eligible   to  receive  a  certificate  of  eligibility  for  commercial
construction work at the time such recipient applied for benefits  shall
continue to receive an exemption for industrial construction; and
(b)  a  recipient  of  a  certificate  of  eligibility  for industrial
construction work in a  regular  exemption  area  who  would  have  been
construction work at the time such recipient applied for benefits shall,
commencing with the  date  of  conversion  to  commercial  property  and
continuing  until  the  expiration  of the benefit period for commercial
construction work, receive any exemption which such recipient would have
received in the corresponding tax year  pursuant  to  a  certificate  of
eligibility for commercial construction work; and
(c)  a  recipient  of  a  certificate  of  eligibility  for industrial
construction work in any area of the city on  whose  property  at  least
sixty-five  per centum of the net square footage continues to be used or
held out for  use  for  manufacturing  activities  after  conversion  to
commercial  property, shall not be required to pay the pro rata share of
tax for which an exemption was claimed during the tax year in which such
conversion occurred.
3. Except as  provided  in  subdivision  four  of  this  section,  any
recipient  whose property is the subject of a certificate of eligibility
for commercial, industrial or renovation construction work, and who uses
such property as residential property or  for  any  restricted  activity
prior  to  the  expiration  of  the  benefit  period,  shall cease to be
eligible for further exemption, abatement or deferral  as  of  the  date
such  property  was  first  used  as  residential  property  or  for any
restricted activity. In the  case  of  property  in  an  area  that  was
designated  as  an  exemption  area  at  the  time  the  certificate  of
eligibility was issued, such recipient shall pay with interest any taxes
for which an exemption was claimed after such date,  including  the  pro
rata  share  of  tax  for which any exemption was claimed during the tax
year in which such use occurred. In the  case  of  industrial  property,
such  recipient shall pay with interest any taxes for which an exemption
or abatement was claimed after such date, including the pro  rata  share
of  tax  for which any exemption or abatement was claimed during the tax
year in which such use occurred. In the case of property in an area that
was designated as a  deferral  area  at  the  time  the  certificate  of
eligibility  was issued, all deferred tax payments on the property shall
become due and payable immediately.
4. Notwithstanding subdivision three of this  section,  any  recipient
commercial or renovation construction work with  an  effective  date  of
July  first, nineteen hundred ninety-two or after, and who, prior to the
expiration of the benefit period, uses a portion  of  such  property  as
residential  property,  shall cease to be eligible for further exemption
for commercial or renovation construction work for that portion of  such
property used as residential property as of the date such portion of the
property  was  first  used as residential property. Such recipient shall
pay, with interest, any taxes for which an exemption was  claimed  after
such  date  attributable  to  that  portion  of  the  property  used  as
residential property, including the pro rata share of tax for which such
exemption was claimed during the tax year in which  such  use  occurred.
Such  recipient shall continue to receive an exemption for commercial or
renovation construction work for that  portion  of  the  property  which
continues to be used as commercial property.
Administration of the benefit program. 1. The department
of finance of any city enacting a local law  pursuant  to  section  four
hundred  eighty-nine-bbbb  of  this title shall have, in addition to any
other functions, powers and duties which have been or may  be  conferred
on it by law, the following functions, powers and duties:
(a)  To  publicize the availability of benefits pursuant to this title
for industrial, commercial and renovation construction work.
(b)  To  receive  and  review   applications   for   certificates   of
eligibility,  issue  such  certificates  where  authorized  pursuant  to
section four hundred eighty-nine-eeee of  this  title,  and  record  the
issuance of such certificates as prescribed in such section.
(c)  To  receive  evidence  of expenditures made for construction, and
where such expenditures do not equal the amount required to qualify  for
exemption  from  or  abatement  or  deferral  of  tax  payments  to take
appropriate action, including but  not  limited  to  denying,  reducing,
suspending, terminating or revoking benefits pursuant to this title.
(d)  To  enter  and  inspect  property  to  determine  whether  it  is
industrial or commercial or mixed-use and to determine whether  (i)  any
such property is being used for any restricted use, or (ii) any property
construction work is being used as commercial  property,  or  (iii)  any
industrial  or  commercial  property  is  being  used  as residential or
mixed-use property, or (iv) all or part of the nonresidential portion of
mixed-use property is being used as residential property.
(e) To collect all real property taxes for which payment  is  deferred
(f)  To  collect all real property taxes, with interest, due and owing
as a result of reduction, suspension, termination or revocation  of  any
exemption  from  or  abatement  or deferral of taxes granted pursuant to
(g) To make and promulgate regulations to carry out  the  purposes  of
this  title,  including,  but  not  limited  to,  regulations  requiring
applicants  to  publish   notice   of   their   applications,   defining
manufacturing  and  commercial  activities  and specifying the nature of
work for  which  expenses  may  be  included  in  the  minimum  required
expenditure,  provided,  however,  that  any  regulation  increasing the
minimum required expenditure shall not apply to  any  person  who  is  a
recipient  on  the  effective  date of such regulation. Such regulations
shall include a requirement that with respect to the  construction  work
recipients  and  their  contractors shall be equal opportunity employers
and may also provide that persons  employed  in  the  construction  work
shall  implement  a  training  program  for  economically  disadvantaged
persons enrolled  or  eligible  to  be  enrolled  in  training  programs
approved by the department of labor.
Code violations; suspension or termination of benefits. A
local law enacted pursuant to  this  title  may  provide  that  benefits
pursuant to this title shall be suspended or terminated if the recipient
is  found  to have failed to cure violations of the applicable building,
fire, or air pollution control  codes  on  the  property  which  is  the
subject  of  the certificate of eligibility. Such local law shall define
the circumstances under which benefits may be suspended or  revoked  for
such   violations  and  provide  procedures  whereby  determinations  to
suspend, terminate or reinstate such benefits shall be made.
Tax  lien;  interest  rate.  1.  All taxes plus interest
required  to  be  paid  retroactively  pursuant  to  this  title   shall
constitute  a  tax  lien  as of the date it is determined such taxes and
interest are owed.  All interest shall be calculated from the  date  the
taxes  would  have been due but for the exemption, abatement or deferral
claimed pursuant to this title at three per centum above the  applicable
rate  of interest imposed by such city generally for non-payment of real
property tax on such date.
2. All taxes for which payment is deferred pursuant  to  section  four
hundred eighty-nine bbbb of this title shall constitute a tax lien as of
the  date  they are due and payable in accordance with the provisions of
that section.
Penalties  for  non-compliance,  false  statements  and
omissions. 1. The department  of  finance  may  deny,  reduce,  suspend,
revoke  or  terminate any exemption from or abatement or deferral of tax
payments pursuant to this title whenever (a) a recipient fails to comply
with the requirements of this title or  the  rules  promulgated  by  the
department   of   finance  pursuant  thereto;  or  (b)  an  application,
certificate, report or other  document  delivered  by  an  applicant  or
recipient  hereunder  contains  a  false or misleading statement as to a
material fact or omits to state any material fact necessary in order  to
make the statements therein not false or misleading, and may declare any
applicant  or  recipient who makes such false or misleading statement or
omission to be ineligible for future exemption,  abatement  or  deferral
pursuant to this title for the same or other property.
2. Notwithstanding any other law to the contrary, a recipient shall be
personally  liable  for  any  taxes owed pursuant to this title whenever
such recipient fails to comply with such law and  rules  or  makes  such
false or misleading statement or omission, and the department of finance
determines  that such act was due to the recipient's willful neglect, or
that under the  circumstances  such  act  constituted  a  fraud  on  the
department  of  finance or a buyer or prospective buyer of the property.
The remedy provided herein  for  an  action  in  personam  shall  be  in
addition  to  any  other  remedy  or  procedure  for  the enforcement of
collection of delinquent taxes provided by any general, special or local
law. Any lease provision which obligates a tenant  to  pay  taxes  which
become  due  because  of  willful  neglect or fraud by the recipient, or
otherwise relieve or indemnify the recipient from any personal liability
arising hereunder, shall be void as against public policy  except  where
the  imposition  of  such taxes or liability is occasioned by actions of
the tenant in violation of the lease.
Participation  of  minority  and  women-owned  business
enterprises. A city enacting a local law  pursuant  to  this  title  may
provide for a program to ensure meaningful participation of minority and
woman-owned  business  enterprises  in  construction  work  for which an
applicant receives  benefits.  Such  program  may  be  established,  and
amended from time to time, by local law, or by rule of the department of
finance not inconsistent with any such local law.
Definitions.  When used in this title:
1.  Aggregate  floor  area  means  the sum of the gross areas of the
several floors of a building or structure, measured  from  the  exterior
faces of exterior walls or from the center lines of walls separating two
buildings or structures.
2.  Applicant  means any person obligated to pay real property taxes
on the property for which an exemption from real  property  taxes  under
this title is sought or in the case of exempt property, the record owner
3.  Approved  plans  means  plans  submitted  to and approved by the
department of buildings  in  connection  with  an  applicant's  building
4. Benefit period means the period  of  time  when  a  recipient  is
eligible to receive benefits pursuant to this title.
5.  Certificate  of  eligibility  means  the  document issued by the
department of finance pursuant to section four hundred eighty-nine-ddddd
of this title.
6.   Commercial   construction   work   means   the   modernization,
rehabilitation,  expansion  or  other  improvement  of  the  portion  of
mixed-use property to be used for commercial purposes.
7. Commercial purpose or use means the buying, selling or  otherwise
providing  of  goods  or  services,  including  hotel services, or other
lawful  business  or  commercial  activities  permitted   in   mixed-use
8.  Exemption  base.  For  the  purpose  of  computing the exemption
pursuant to  section  four  hundred  eighty-nine-bbbbb  of  this  title,
exemption  base  shall  mean:  (a) for the first through fifth taxable
years following the effective date of a certificate of eligibility,  the
assessed  value  of  improvements  made since the effective date of such
certificate  which   are   attributable   exclusively   to   residential
construction  work or a combination of residential construction work and
commercial construction work described in approved plans;  and  (b)  for
all other years, the assessed value of such improvements which have been
made  before  the sixth taxable status date following the effective date
of such certificate.
9. Initial assessed value  means  the  lesser  of  (a)  the  taxable
assessed  value  of  real  property appearing on the books of the annual
record of the assessed valuation of real property on the effective  date
which  such  assessment is thereafter reduced pursuant to application to
the tax commission or court order.
10. Minimum required expenditure means expenditure  for  residential
commercial construction work in an amount equal to twenty per centum  of
the initial assessed value; provided, however, that if the department of
finance,  after  consultation  with  the  deputy  mayor  for finance and
economic development, determines that a greater expenditure is  required
to  encourage  significant  development  of  mixed-use  property, it may
establish by rule a higher percentage of initial assessed value, not  to
exceed fifty per centum thereof, as the minimum required expenditure.
11.  Mixed-use  property  means  property on which will exist, after
completion  of  residential  construction  work  or  a  combination   of
residential  construction  work  and  commercial  construction  work,  a
building or structure used for both residential and commercial purposes,
provided that after completion of  such  construction  work,  more  than
twenty-five  per  centum of the aggregate floor area of such building or
structure is used or held out for use as commercial, community  facility
or accessory use space.
12.  Mixed-use  construction exemption area means any area of a city
having a population of one million or more persons, in which, subject to
the applicable law governing zoning in such city, mixed-use property  is
permitted,  provided,  however, that in the city of New York, subject to
the applicable law governing zoning in such city, mixed-use construction
exemption area shall mean: the area in the borough of Manhattan  bounded
by  Murray  Street  on  the  north  starting at the intersection of West
Street and Murray Street; running easterly  along  the  center  line  of
Frankfort  Street  and  running  easterly  along  the  center  lines  of
Frankfort and Dover Streets to the  intersection  of  Dover  Street  and
South Street; running southerly along the center line of South Street to
Peter  Minuit Plaza; connecting through Peter Minuit Plaza to the center
line of State Street and running northwesterly along the center line  of
State  Street  to  the  intersection  of State Street and Battery Place;
running  westerly  along  the  center  line  of  Battery  Place  to  the
intersection  of  Battery  Place  and West Street; and running northerly
and Murray Street.
13.  Person  means  an  individual,  corporation,  limited liability
company, partnership, association, agency,  trust,  estate,  foreign  or
domestic government or subdivision thereof, or other entity.
14.   Recipient   means  an  applicant  to  whom  a  certificate  of
15. Residential construction work means the creation, modernization,
rehabilitation,  expansion or other improvement of dwelling units, other
than dwelling units in a hotel, in the portion of mixed-use property  to
be used for residential purposes.
16.  Restricted  activity means any entertainment activity which the
department of finance has identified in rules as an activity  which,  in
Real  property tax exemption.   1. Within the mixed-use
construction exemption area specified in subdivision twelve  of  section
489-aaaaa  of  this  title, the following benefits shall be available to
qualified recipients:  A recipient who, following the effective date  of
a  certificate  of  eligibility,  has performed residential construction
work or both residential construction work and  commercial  construction
work  on mixed-use property shall be eligible for an exemption from real
property taxes as follows: For the first eight tax years, the  recipient
shall be exempt from taxation on one hundred per centum of the exemption
base. During the ninth year, the recipient shall be exempt from taxation
on  eighty  per centum of the exemption base; during the tenth year, the
recipient shall be exempt from taxation  on  sixty  per  centum  of  the
exemption  base; during the eleventh year, the recipient shall be exempt
from taxation on forty per centum of the exemption base; and during  the
twelfth  year, the recipient shall be exempt from taxation on twenty per
centum of the exemption base.
pursuant to this subdivision:
1 through 8                  100% of exemption base
9                            80% of exemption base
10                            60% of exemption base
11                            40% of exemption base
12                            20% of exemption base
2.  Notwithstanding  subdivision  one of this section, a recipient who
has  performed  residential  construction  work  or   both   residential
construction work and commercial construction work on mixed-use property
that,  in  accordance  with  procedures  set  forth  in  local  law, was
designated as a landmark before the  date  by  which  the  recipient  is
required  to complete the minimum required expenditure shall be eligible
for an exemption from real property taxes as follows: For the first nine
tax years, the recipient shall be exempt from taxation  on  one  hundred
per  centum  of the exemption base. During the tenth year, the recipient
shall be exempt from taxation on eighty  per  centum  of  the  exemption
base;  during  the  eleventh  year,  the  recipient shall be exempt from
taxation on sixty per centum of the exemption base; during  the  twelfth
year, the recipient shall be exempt from taxation on forty per centum of
the  exemption base; and during the thirteenth year, the recipient shall
be exempt from taxation on twenty per centum of the exemption base.
1 through 9                  100% of exemption base
10                             80% of exemption base
11                             60% of exemption base
12                             40% of exemption base
13                             20% of exemption base
Eligibility  for  benefits.    1.  A  recipient  of  a
certificate of  eligibility  with  an  effective  date  of  July  first,
nineteen  hundred  ninety-five  or  after must make one-half the minimum
required expenditure within eighteen months of  the  effective  date  of
such  certificate,  and  make  the  minimum  required expenditure within
thirty-six months of the  effective  date  of  such  certificate  to  be
eligible  to receive the benefits of this title. Any recipient who shall
fail to make such expenditures shall cease to be eligible  for  benefits
pursuant to this title and shall pay, with interest, any taxes for which
an exemption was claimed pursuant to this title.
under single ownership,  would  qualify  as  mixed-use  property.    The
minimum   required   expenditure   applicable  to  any  recipient  of  a
certificate of eligibility for construction work on a  condominium  unit
shall  be equal to the minimum required expenditure which would apply if
a certificate of eligibility were issued for construction  work  on  the
property from forming an association to be a recipient.
3.  No  benefits  pursuant  to  this  title  shall  be granted for any
by rule.
4.  No  benefits  pursuant  to  this  title  shall  be granted for any
construction work on property any part of which is used or is to be used
for a restricted activity.
5.  No  benefits  pursuant  to  this  title  shall  be   granted   for
construction  work  which is the subject of a certificate of eligibility
issued pursuant to title  two,  title  two-C  or  title  two-D  of  this
6.  The  benefits  of  this  title  shall  be  granted exclusively for
residential    construction  work  or  a  combination   of   residential
construction work and commercial construction work described in approved
plans.  The  benefits  of  this  title  shall be granted exclusively for
residential  construction  work  or   a   combination   of   residential
construction work and commercial construction work on existing buildings
or  structures  which,  after completion of such construction work, will
qualify as mixed-use property. No benefits pursuant to this title  shall
be granted for construction of a new building or structure.
7.   Any  tax  lot  which  is  partly  located  inside  the  mixed-use
construction exemption area shall  be  deemed  to  be  entirely  located
inside such area.
8.  No  benefits  pursuant  to  this  title  shall  be granted for any
residential construction work or combination of residential construction
work and commercial construction work unless the applicant  shall  file,
together  with the application, an affidavit setting forth the following
information:
of another jurisdiction with respect to any building, or was an officer,
director or general partner of a person at  the  time  such  person  was
(b)  a  statement setting forth any pending charges alleging violation
of section two hundred thirty-five of  the  real  property  law  or  any
section  of  article  one  hundred fifty of the penal law or any similar
arson law of another jurisdiction with respect to any  building  by  the
defined  in  paragraph (c) of this subdivision, or any officer, director
or general partner of the applicant or such person, or  any  person  for
whom  the  applicant  or  person  owning  a  substantial interest in the
property is an officer, director or general partner.
(c) Substantial interest as used in this subdivision and subdivision
nine of this section shall mean ownership and control of an interest  of
ten per centum or more in a property or any person owning a property.
9.  (a) If any person described in the statement required by paragraph
(b) of subdivision eight of  this  section  or  paragraph  (b)  of  this
subdivision  is finally adjudicated by a court of competent jurisdiction
to be guilty of any charge listed in such statement, the recipient shall
cease to be eligible for benefits pursuant to this title and shall  pay,
with  interest, any taxes for which an exemption was claimed pursuant to
(b) The recipient shall, on the certificate of continuing  use,  state
whether  any  charges  alleging violation by the recipient or any person
owning a substantial interest in the property, or any officer,  director
or  general  partner  of  the  recipient  or person owning a substantial
interest in the property, or any person for whom the recipient or person
owning a substantial interest in the property is an officer, director or
general partner, of section two hundred thirty-five of the real property
law or any section of article one hundred fifty of the penal law or  any
similar  arson law of another jurisdiction, are pending. For purposes of
this paragraph, substantial interest shall have the  same  meaning  as