2023 New York Laws › COM - Economic Development Law › Article 21 - Start-Up Ny Program › 435 - Approval of Tax-Free Ny Areas.

§  435.  Approval  of  tax-free  NY  areas.  1. The president or chief
  executive officer of any state university campus, community  college  or
  city  university  campus  seeking to sponsor a tax-free NY area and have
  some of its eligible land specified under  subdivision  one  of  section
  four  hundred  thirty-two of this article be designated as a tax-free NY
  area must submit a plan to the commissioner that specifies the  land  or
  space  the  campus  or  college  wants to include, describes the type of
  business or businesses that may locate on that land or  in  that  space,
  explains  how  those  types  of  businesses  align  with  or further the
  academic mission of the campus or college and how participation by those
  types of businesses in the  START-UP  NY  program  would  have  positive
  community and economic benefits, and describes the process the campus or
  college  will follow to select participating businesses. At least thirty
  days prior to submitting such plan, the campus or college  must  provide
  the  municipality  or  municipalities  in which the proposed tax-free NY
  area is located, local economic  development  entities,  the  applicable
  campus  or  college faculty senate, union representatives and the campus
  student government with a copy of the plan. In addition, if the plan  of
  the  campus  or  college  includes  land or space located outside of the
  campus  boundaries,  the  campus  or  college  must  consult  with   the
  municipality  or  municipalities  in which such land or space is located
  prior to including such space or land in its proposed tax-free  NY  area
  and  shall give preference to underutilized properties. Before approving
  or rejecting the plan submitted by a state university campus,  community
  college  or  city university campus, the commissioner shall consult with
  the chancellor of  the  applicable  university  system  or  his  or  her
  designee.
2.  The president or chief executive officer of any private college or
  university or of any state university campus, community college or  city
  university campus seeking to sponsor a tax-free NY area and have some of
  its  eligible  land  specified  under  subdivision  two  of section four
  hundred thirty-two of this article be designated as a tax-free  NY  area
  must  submit a plan to the commissioner that specifies the land or space
  the college or university  wants  to  include,  describes  the  type  of
  business  or  businesses  that may locate on that land or in that space,
  explains how those  types  of  businesses  align  with  or  further  the
  academic  mission  of the college or university and how participation by
  those types of businesses in the START-UP NY program would have positive
  community and economic benefits, and describes the process the campus or
  college will follow to select participating businesses. In addition,  if
  the plan of the campus or college includes land or space located outside
  of  the  campus  boundaries, the campus or college must consult with the
  municipality or municipalities in which such land or  space  is  located
  prior  to  including such space or land in its proposed tax-free NY area
  and shall notify local economic development entities.  The  commissioner
  shall  forward the plan submitted under this subdivision to the START-UP
  NY approval board. In evaluating such plans, the board shall examine the
  merits of each proposal, including but not limited to,  compliance  with
  the  provisions  of  this  article,  reasonableness  of the economic and
  fiscal assumptions contained in the application and  in  any  supporting
  documentation  and potential of the proposed project to create new jobs,
  and, except  for  proposals  for  designation  of  eligible  land  under
  paragraph  (c)  of subdivision two of section four hundred thirty-two of
  this article, shall prioritize for acceptance  and  inclusion  into  the
  START-UP NY program plans for tax-free NY areas in counties that contain
  a  city  with  a  population  of  one hundred thousand or more without a
  university center as defined  in  subdivision  seven  of  section  three
  hundred  fifty  of  the  education  law  on  the  effective date of this

  article. No preference shall be given based on the time of submission of
  the plan, provided that any  submission  deadlines  established  by  the
  board  are  met. In addition, the board shall give preference to private
  colleges  or  universities  that include underutilized properties within
  their proposed tax-free NY areas. The board by  a  majority  vote  shall
  approve or reject each plan forwarded to it by the commissioner.
3.  A  campus,  university  or  college  may  amend its approved plan,
  provided that the campus, university or  college  may  not  violate  the
  terms  of  any lease with a business located in the approved tax-free NY
  area. In addition, if a business located in a tax-free NY area does  not
  have  a lease with a campus, university or college, and such business is
  terminated from the START-UP NY program pursuant  to  paragraph  (b)  of
  subdivision four of section four hundred thirty-six of this article, and
  subsequently  does  not  relocate  outside  of  the  tax-free NY area, a
  campus, university or college may amend its approved plan to allocate an
  amount of vacant land or space equal to the amount of space occupied  by
  the business that is terminated. The amendment must be approved pursuant
  to  the  procedures and requirements set forth in subdivision one or two
  of this section, whichever is applicable.
4. The START-UP NY approval board, by majority vote,  shall  designate
  correctional  facilities  described  in  subdivision fourteen of section
  four hundred thirty-one of this article, START-UP NY airport  facilities
  described  in  subdivision fifteen of section four hundred thirty-one of
  this article and up to twenty strategic  state  assets  as  tax-free  NY
  areas.  Each  shall  be  affiliated with a state university campus, city
  university campus, community college, or private college  or  university
  and such designation shall require the support of the affiliated campus,
  college  or  university.  Each  strategic  state  asset  and START-UP NY
  airport facility, other than a correctional facility, may not  exceed  a
  maximum  of  two  hundred  thousand square feet of vacant land or vacant
  building  space  designated  as  a  tax-free  NY  area.  Designation  of
  strategic state assets, correctional facilities described in subdivision
  fourteen  of  section  four  hundred  thirty-one  of  this  article, and
  START-UP NY airport  facilities  described  in  subdivision  fifteen  of
  section  four  hundred  thirty-one  of this article as tax-free NY areas
  shall not count against any square footage limitations in  section  four
  hundred thirty-two of this article.
5.  The  commissioner  shall  promulgate regulations to effectuate the
  purposes of this section, including, but not  limited  to,  establishing
  the  process for the plan submissions and approvals of tax-free NY areas
  and the eligibility criteria that will be applied  in  evaluating  those
  plans.