NY Gen City L § 25-AA (2021)
2021 New York Laws GCT - General City Article 2-I - Rebates of Charges for Energy in Revitalization Areas in Cities Having a Population of One Million or More 25-AA - Definitions.

§  25-aa.  Definitions.  As  used  in this article the following terms shall have the following meanings:  (a) "Eligible building". A building or structure which is  located  in an eligible revitalization area and:  (1)  is  eligible  to  obtain  benefits  under title two-D or two-F of article four of the real property tax  law,  or  would  be  eligible  to receive  benefits  under  such title except that such property is exempt from real property taxation and the requirements  of  paragraph  (b)  of subdivision seven of section four hundred eighty-nine-dddd of such title two-D,  or  the  requirements  of  subparagraph (ii) of paragraph (b) of subdivision five of section  four  hundred  eighty-nine-cccccc  of  such title  two-F, whichever is applicable, of the real property tax law have not been satisfied, provided that application for such benefits was made after the thirtieth day of June, nineteen hundred ninety-five and before the first day of July, two thousand twenty-three, that  construction  or renovation   of  such  building  or  structure  was  described  in  such application, that such building  or  structure  has  been  substantially improved  by  such  construction or renovation, and (i) that the minimum required expenditure as defined in such title has  been  made,  or  (ii) where  there is no applicable minimum required expenditure, the building was constructed within such period or periods  of  time  established  by title  two-D  or  two-F, whichever is applicable, of article four of the real property tax law for construction of a new building  or  structure; or  (2)  has  obtained  approval after the thirtieth day of June, nineteen hundred ninety-five and before the  first  day  of  July,  two  thousand twenty-three,   for   financing  by  an  industrial  development  agency established pursuant to article eighteen-A of the general municipal law, provided that such financing has been  used  in  whole  or  in  part  to substantially  improve  such  building  or  structure by construction or renovation, that expenditures have been made for  improvements  to  such real  property in excess of twenty per centum of the value at which such real property was assessed for tax purposes for the tax  year  in  which such  improvements  commenced, and that such expenditures have been made within thirty-six months after the earlier of (i) the issuance  by  such agency  of  bonds for such financing, or (ii) the conveyance of title to such building or structure to such agency; or  (3) is owned by the city of New York  or  the  New  York  state  urban development  corporation,  or  a subsidiary corporation thereof, a lease for which was approved in accordance with the applicable  provisions  of the  charter  of  such  city  or  by  the  board  of  directors  of such corporation, as the case may be, and such approval  was  obtained  after the  thirtieth  day of June, nineteen hundred ninety-five and before the first day of July, two thousand twenty-three, provided that expenditures have been made for improvements to  such  real  property  in  excess  of twenty  per centum of the value at which such real property was assessed for tax purposes for the tax year in which such improvements  commenced, and that such expenditures have been made within thirty-six months after the effective date of such lease; or  (4)  is  eligible to obtain benefits under title two-E of article four of the real property tax law, or would be eligible to  receive  benefits under  such title except that such property is exempt from real property taxation and the requirements of paragraph (b)  of  subdivision  ten  of section four hundred eighty-nine-ccccc of the real property tax law have not been satisfied, provided that application for such benefits was made after the thirtieth day of June, nineteen hundred ninety-five and before the  first  day  of  July,  two  thousand three, that renovation of such building or structure was  described  in  such  application,  that  such  building   or   structure   has  been  substantially  improved  by  such renovation, and that the minimum required expenditure as defined in such title has been made.  (b)  "Eligible charges" and "eligible public utility service charges". (1)(i) Eligible charges are charges made by  a  private  utility  to  an eligible  redistributor  of energy or a qualified eligible redistributor of energy for energy services purchased from such private utility  at  a rate  or  rates established pursuant to an order or rule of the New York state  public  service  commission  or  the  federal  energy  regulatory commission,  other  than  charges  for  the purchase of the commodity of electricity, and shall include applicable rate reductions  for  economic development or similar purposes, and all taxes payable thereon and shall exclude charges in accordance with paragraph two of this subdivision.  (ii)  Eligible  public  utility service charges are actual charges for energy services made by a public utility service, and shall include  all taxes  payable  thereon,  and  shall  exclude  those charges excluded in accordance with paragraph two of this  subdivision,  provided,  however, that  the  department of business services of a city having a population of one million or more  may  by  rule  adjust  eligible  public  utility service  charges  for  purposes  of  adjusting  the special rebate based thereon to an amount that would be  comparable  to  the  special  rebate available to a comparable customer of a private utility as determined by such department.  (2) Eligible charges and eligible public utility service charges shall not include charges related to: (i) energy services used by persons that are  not eligible revitalization area energy users, and (ii) any special charges on bills relating to such energy  services,  including  but  not limited   to   collection  charges,  late  payment  charges,  or  excess distribution charges.  Eligible  charges  and  eligible  public  utility service  charges  shall  include  charges  for  energy services used for common areas, systems and facilities of an eligible building meeting the criteria of paragraph one, two or  three  of  subdivision  (a)  of  this section  or  a  targeted  eligible  building  meeting  the  criteria  of paragraph one, two or three of subdivision (q) of this  section  to  the extent  such  common  areas,  systems or facilities are used by eligible revitalization area energy users, except that  charges  attributable  to other  users,  if  minor  and  incidental,  may  be included in eligible charges and eligible public utility  service  charges  for  such  common areas,  systems  and  facilities.  Eligible  charges and eligible public utility service charges shall not include charges  for  energy  services used  for  common  areas, systems and facilities of an eligible building meeting the criteria of  paragraph  four  of  subdivision  (a)  of  this section  or  a  targeted  eligible  building  meeting  the  criteria  of paragraph four of subdivision (q) of this  section  unless  such  common areas,  systems  and  facilities  are  separate  from  the common areas, systems  and  facilities  that  serve  that  portion  of  the  mixed-use property, as defined in title two-E of article four of the real property tax  law,  used  for residential purposes and serve only that portion of such mixed-use property used for commercial purposes.  (c) "Eligible redistributor of energy". A person that owns  or  leases an  eligible  building,  or a portion thereof, and that purchases energy services on a metered basis from a private  utility  or  public  utility service, and (i) resells or otherwise redistributes such energy services to  one  or  more  eligible revitalization area energy users that occupy such building or structure or (ii) consumes or uses such energy services itself and qualifies as an eligible revitalization area energy  user  as defined  in  subdivision  (e) of this section, provided, however, that a person that owns or leases any portion of an eligible  building  meeting  the  criteria of paragraph four of subdivision (a) of this section shall not be an eligible redistributor of energy unless that portion  of  such mixed-use  property,  as  defined  in title two-E of article four of the real  property tax law, used for commercial purposes is metered directly and separately from other portions of such mixed-use property.  (d) "Eligible revitalization area".  Any  area  of  a  city  having  a population of one million or more, provided that in the city of New York the  eligible  revitalization  area  shall be 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 Murray Street; connecting through City Hall Park with 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 along the center line of West Street to  the  intersection  of West  Street  and  Murray  Street.  Any  tax lot which is partly located inside the eligible revitalization area shall be deemed to  be  entirely located inside such area.  (e)  "Eligible  revitalization  area  energy  user".  Any  person that purchases or otherwise receives energy services for its own use and that occupies, operates or  manages  premises  in  an  eligible  building  or targeted  eligible  building,  provided  such  premises  are  metered or submetered as required in the last sentence  of  this  subdivision,  but such  term  shall  not  include  a  person that (i) occupies residential space; (ii) is engaged  primarily  in  manufacturing  activity  in  such building;  (iii)  is a hospital; (iv) is a hotel; or (v) occupies retail space. An eligible redistributor  of  energy  or  a  qualified  eligible redistributor  of  energy is an eligible revitalization area energy user with respect to (i) vacant  premises  within  an  eligible  building  or targeted  eligible  building,  which  premises  have been constructed or renovated  by  such  redistributor  for   occupancy   by   an   eligible revitalization  area energy user other than such redistributor, provided such vacant premises are metered or submetered in accordance with  rules of  such department of business services; and (ii) common areas, systems and facilities to the extent such common areas, systems  and  facilities are  used  by eligible revitalization area energy users. Notwithstanding the foregoing provisions of this subdivision, a person shall not  be  an eligible  revitalization  area  energy  user  if  the premises occupied, operated or managed by such person (i) exceed the lesser of ten thousand contiguous square feet in area or the entire floor of a building and are not individually and accurately metered or submetered to  determine  the occupant's usage of energy services, or (ii) are located in that portion of  mixed-use property, as defined in title two-E of article four of the real property tax law, used for commercial purposes, and such portion is not  metered  directly  and  separately  from  other  portions  of  such mixed-use property.  (f) "Energy services bill". A bill rendered for energy services, which shall  include  a  bill for rent or similar charges for the occupancy of premises where such rent or similar charges include the  use  of  energy services.  (g) "Hotel". A building, or a portion thereof, which is regularly used and  kept  open  as  such  for  the  lodging of guests. The term "hotel"  includes, but is not limited to, an apartment hotel, a  motel,  boarding house or club, whether or not meals are served.  (h)  "Hospital". A hospital as defined in section twenty-eight hundred one of the public health law.  (i) "Manufacturing activity". An activity involving  the  assembly  of goods  to  create  a different article or the processing, fabrication or packaging of goods.  (j) "Person". Any individual, partnership,  association,  corporation, limited  liability  company,  agency of the state or federal government, public  benefit  corporation  or  instrumentality  of  such  agency   or corporation, estate or trust, and any combination of the foregoing.  (k)  "Private utility". A utility that provides energy services within any city having a population of one million or more, that is subject  to the  general  jurisdiction  and supervision of the New York state public service commission, and that is subject to a gross receipts tax  imposed pursuant to the authority contained in subdivision (a) of section twelve hundred one of the tax law.  (l)  "Public  utility  service".  A  service  established  pursuant to article fourteen-A of the general municipal  law  by  a  city  having  a population of one million or more.  (m)  "Qualified  eligible redistributor of energy". A person that owns or leases a targeted eligible building, or a portion thereof,  and  that purchases  energy  services  on  a  metered  basis from a public utility service, and (i) resells or otherwise redistributes such energy services to one or more eligible revitalization area  energy  users  that  occupy such building or structure or (ii) consumes or uses such energy services itself  and  qualifies as an eligible revitalization area energy user as defined in subdivision (e) of this section, provided,  however,  that  a person  that  owns or leases any portion of a targeted eligible building meeting the criteria of  paragraph  four  of  subdivision  (q)  of  this section shall not be a qualified eligible redistributor of energy unless that  portion  of  such mixed-use property, as defined in title two-E of article four of the real property tax law, used for commercial  purposes is metered directly and separately from other portions of such mixed-use property.  (n)  "Retail  space".  Retail  space  other  than  space occupied by a banker, insurance  broker,  real  estate  broker,  stockbroker,  lawyer, doctor,  accountant,  or any licensed professional designated by rule of such department of business services.  (o) "Special rebate". The amount of a reduction in an energy  services bill  rendered  by  a  private  utility  or public utility service to an eligible redistributor of energy or a qualified  eligible  redistributor of  energy,  or  an  agent  of either, and calculated as a percentage of eligible charges or eligible public utility service charges as specified in section twenty-five-bb of this article.  (p) "Simple payback period". The number of years necessary  to  recoup the  cost  of  an energy conservation measure through annual energy cost savings.  (q) "Targeted eligible building". A building  or  structure  which  is located in an eligible revitalization area and:  (1)  is  eligible to obtain benefits under title two-D of article four of the real property tax law, or would be eligible to  receive  benefits under  such title except that such property is exempt from real property taxation and the requirements of paragraph (b) of subdivision  seven  of section  four hundred eighty-nine-dddd of the real property tax law have not been satisfied, provided that application for such benefits was made after the thirtieth day of June, nineteen hundred ninety-five and before the first  day  of  July,  two  thousand  three,  that  construction  or  renovation   of  such  building  or  structure  was  described  in  such application, that such building  or  structure  has  been  substantially improved  by  such  construction  or  renovation, and (i) that twice the minimum  required expenditure as defined in such title has been made, or (ii)  where  there  is  no  applicable  minimum  required   expenditure, expenditures  have  been  made for improvements to such real property in excess of forty per centum of the value at which such real property  was assessed  for  tax  purposes for the tax year in which such improvements commenced and the building has been constructed within  such  period  or periods  of  time established by title two-D of article four of the real property tax law for construction of a new building or structure; or  (2) has obtained approval after the thirtieth day  of  June,  nineteen hundred  ninety-five  and  before  the  first  day of July, two thousand three, for financing by an  industrial  development  agency  established pursuant  to  article  eighteen-A of the general municipal law, provided that such financing has been used in whole or in part  to  substantially improve  such  building or structure by construction or renovation, that expenditures have been made for improvements to such  real  property  in excess  of forty per centum of the value at which such real property was assessed for tax purposes for the tax year in  which  such  improvements commenced,  and  that such expenditures have been made within thirty-six months after the earlier of (i) the issuance by such agency of bonds for such financing, or (ii) the conveyance of  title  to  such  building  or structure to such agency; or  (3)  is  owned  by  the  city  of New York or the New York state urban development corporation, or a subsidiary corporation  thereof,  a  lease for  which  was approved in accordance with the applicable provisions of the charter  of  such  city  or  by  the  board  of  directors  of  such corporation,  as  the  case may be, and such approval was obtained after the thirtieth day of June, nineteen hundred ninety-five and  before  the first  day  of July, two thousand three, provided that expenditures have been made for improvements to such real property in excess of forty  per centum  of  the  value  at which such real property was assessed for tax purposes for the tax year in which such improvements commenced, and that such expenditures have been made  within  thirty-six  months  after  the effective date of such lease; or  (4)  is  eligible to obtain benefits under title two-E of article four of the real property tax law, or would be eligible to  receive  benefits under  such title except that such property is exempt from real property taxation and the requirements of paragraph (b)  of  subdivision  ten  of section four hundred eighty-nine-ccccc of the real property tax law have not been satisfied, provided that application for such benefits was made after the thirtieth day of June, nineteen hundred ninety-five and before the  first  day  of  July,  two  thousand three, that renovation of such building or structure was  described  in  such  application,  that  such building   or   structure   has  been  substantially  improved  by  such renovation, and that twice the minimum required expenditure  as  defined in such title has been made.  (r)   "Energy   services".   The   transmission  and  distribution  of electricity, and such other  services  that  are  associated  with  such transmission and distribution, as shall be designated as energy services by  rule  of  the  department  of  business  services of a city having a population of one million or more as such department deems necessary  to promote  economic  development,  provided that energy services shall not include the commodity of electricity.