2023 New York Laws › RPT - Real Property Tax › Article 4 - Exemptions › Title 2 - Private Property › 467-M - Exemption From Local Real Property Taxation of Certain Multiple Dwellings in a City Having a Population of One Million or More.

§  467-m.  Exemption  from  local  real  property  taxation of certain
multiple dwellings in a city having a population of one million or more.
1.  Definitions. For purposes of this section, the following terms shall
have the following meanings:
a. "Affordable  housing  from  commercial  conversions  tax  incentive
benefits" hereinafter referred to as "AHCC program benefits", shall mean
the  exemption  from  real property taxation authorized pursuant to this
section.
b. "Affordability requirement" shall mean  that  within  any  eligible
multiple dwelling: (i) not less than twenty-five percent of the dwelling
units  are  affordable housing units; (ii) not less than five percent of
the dwelling units are affordable housing forty percent units; (iii) the
weighted average of all income bands for all of the  affordable  housing
units does not exceed eighty percent of the area median income, adjusted
for  family size; (iv) there are no more than three income bands for all
of the affordable housing units; and (v) no income band  for  affordable
housing  units  exceeds  one  hundred percent of the area median income,
adjusted for family size.
c. "Affordable housing forty percent unit" shall mean a dwelling  unit
that:  (i)  is  situated within the eligible multiple dwelling for which
AHCC program benefits are granted; and (ii) upon initial rental and upon
each subsequent  rental  following  a  vacancy  during  the  restriction
period,  is  affordable to and restricted to occupancy by individuals or
families whose household income does not exceed  forty  percent  of  the
area  median  income,  adjusted  for  family size, at the time that such
household initially occupies such dwelling unit.
d.  "Affordable   housing   unit"   shall   mean,   collectively   and
individually:
(i)  an affordable housing forty percent unit; and (ii)
any other unit that meets the  affordability  requirement  upon  initial
rental  and  upon  each subsequent rental following a vacancy during the
restriction period, and is affordable to and restricted to occupancy  by
individuals  or  families  whose  household  income  does not exceed the
income  bands  established  in  conjunction  with   such   affordability
requirement.
e.  "Agency"  shall  mean  the  New  York  city  department of housing
preservation and development.
f. "Application" shall mean an application for AHCC program benefits.
g. "Building service employee" shall mean any person who is  regularly
employed   at,  and  performs  work  in  connection  with  the  care  or
maintenance of,  an  eligible  multiple  dwelling,  including,  but  not
limited  to,  a  watchman,  guard,  doorman,  building  cleaner, porter,
handyman,  janitor,  gardener,  groundskeeper,  elevator  operator   and
starter,  and  window  cleaner,  but  not  including  persons  regularly
scheduled to work fewer than eight  hours  per  week  at  such  eligible
multiple dwelling.
h.  "Commencement  date"  shall  mean,  with  respect  to  an eligible
conversion, the date  upon  which  a  permit  is  issued  by  the  local
department  of  buildings for alterations that require the issuance of a
new certificate of occupancy, provided that such alterations  constitute
an eligible conversion.
i.  "Completion  date"  shall  mean  the  date  upon  which  the local
department  of  buildings  issues  the  first  temporary  or   permanent
certificate  of  occupancy covering all residential areas of an eligible
multiple dwelling.
j. "Construction period" shall mean,  with  respect  to  any  eligible
multiple  dwelling,  a  period:  (i)  beginning  on  the  later  of  the
commencement date or three years before the completion  date;  and  (ii)
ending on the day preceding the completion date.
k.  "Dwelling" or "dwellings" shall have the same meaning as set forth
in subdivision four of section four of the multiple dwelling law.
l.   "Eligible   conversion"   shall   mean   the   conversion   of  a
non-residential building, except a  hotel  or  other  class  B  multiple
dwelling, to an eligible multiple dwelling.
m.  "Eligible  multiple dwelling" shall mean a multiple dwelling which
was subject to an eligible conversion in which: (i) all  dwelling  units
included  in any application are operated as rental housing; (ii) six or
more dwelling units have been created through  an  eligible  conversion;
(iii) the commencement date is after December thirty-first, two thousand
twenty-two and on or before June thirtieth, two thousand thirty-one; and
(iv)  the  completion  date  is  on or before December thirty-first, two
thousand thirty-nine.
n. "Fiscal officer" shall mean  the  comptroller  or  other  analogous
officer in a city having a population of one million or more.
o. "Floor area" shall mean the horizontal areas of the several floors,
or  any  portion  thereof,  of  a  dwelling  or dwellings, and accessory
structures on a lot measured from the exterior faces of exterior  walls,
or from the center line of party walls.
p.  "Income  band"  shall mean a percentage of the area median income,
adjusted for family size, that is a multiple of ten percent.
q. "Manhattan prime development area"  shall  mean  any  tax  lot  now
existing  or  hereafter  created which is located entirely south of 96th
street in the borough of Manhattan.
r. "Market unit" shall mean a dwelling unit in  an  eligible  multiple
dwelling other than an affordable housing unit.
s.  "Marketing  band"  shall  mean  maximum  rent amounts ranging from
twenty percent to thirty percent of the area  median  income  or  income
band,  respectively, that is applicable to a specific affordable housing
unit.
t. "Multiple dwelling" shall have the same meaning  as  set  forth  in
subdivision seven of section four of the multiple dwelling law.
u.  "Non-residential  building" shall mean a structure or portion of a
structure, except a hotel or other class B multiple dwelling, having  at
least  one  floor, a roof and at least three walls enclosing all or most
of the space used in connection with the structure  or  portion  of  the
structure,   which  has  a  certificate  of  occupancy  for  commercial,
manufacturing or other non-residential use  for  not  less  than  ninety
percent of the aggregate floor area of such structure or portion of such
structure,  or  other proof of such non-residential use as is acceptable
to the agency.
v. "Non-residential tax lot" shall  mean  a  tax  lot  that  does  not
contain any dwelling units.
w.   "Rent   stabilization"   shall   mean,   collectively,  the  rent
stabilization law of nineteen hundred sixty-nine, the rent stabilization
code, and the emergency tenant protection act of nineteen  seventy-four,
all  as in effect as of the effective date of this section or as amended
thereafter,  together  with  any  successor  statutes   or   regulations
addressing substantially the same subject matter.
x.  "Residential  tax lot" shall mean a tax lot that contains dwelling
units.
y.  "Restriction  period"  shall  mean  a  period  commencing  on  the
completion date and extending in perpetuity, notwithstanding any earlier
termination or revocation of AHCC program benefits.
z.  "Thirty-five  year  benefit  shall mean: (i) for the construction
period, a one hundred percent exemption  from  real  property  taxation,
other than assessments for local improvements; (ii) for the first thirty
years  of  the  restriction  period;  (A)  within  the  Manhattan  prime

development  area,  a  ninety  percent  exemption  from  real   property
taxation, other than assessments for local improvements; and (B) outside
of  the Manhattan prime development area, a sixty-five percent exemption
from   real   property   taxation,  other  than  assessments  for  local
improvements; (iii) for the thirty-first year of the restriction period,
(A) within the Manhattan  prime  development  area,  an  eighty  percent
exemption  from real property taxation, other than assessments for local
improvements; and (B) outside of the Manhattan prime development area, a
fifty  percent  exemption  from  real  property  taxation,  other   than
assessments  for  local improvements; (iv) for the thirty-second year of
the restriction period, (A) within the Manhattan prime development area,
a seventy percent exemption from  real  property  taxation,  other  than
assessments  for  local  improvements;  and (B) outside of the Manhattan
prime development area, a forty percent  exemption  from  real  property
taxation,  other  than  assessments  for local improvements; (v) for the
thirty-third year of the restriction period, (A)  within  the  Manhattan
prime  development  area,  a  sixty percent exemption from real property
taxation, other than assessments for local improvements; and (B) outside
of the Manhattan prime development area, a thirty percent exemption from
real property taxation, other than assessments for  local  improvements;
(vi)  for  the  thirty-fourth year of the restriction period; (A) within
the Manhattan prime development area, a  fifty  percent  exemption  from
real  property  taxation, other than assessments for local improvements;
and (B) outside of  the  Manhattan  prime  development  area,  a  twenty
percent  exemption  from  real property taxation, other than assessments
for local improvements; and (vii)  for  the  thirty-fifth  year  of  the
restriction  period,  (A) within the Manhattan prime development area, a
forty  percent  exemption  from  real  property  taxation,  other   than
assessments  for  local  improvements;  and (B) outside of the Manhattan
prime development area, a  ten  percent  exemption  from  real  property
taxation, other than assessments for local improvements.
aa. "Thirty year benefit" shall mean: (i) for the construction period,
a  one hundred percent exemption from real property taxation, other than
assessments for local improvements; (ii) for the first twenty-five years
of the restriction period, (A) within the  Manhattan  prime  development
area, a ninety percent exemption from real property taxation, other than
assessments  for  local  improvements;  and (B) outside of the Manhattan
prime  development  area,  a  sixty-five  percent  exemption  from  real
property  taxation, other than assessments for local improvements; (iii)
for the twenty-sixth year of the  restriction  period,  (A)  within  the
Manhattan  prime development area, an eighty percent exemption from real
property taxation, other than assessments for  local  improvements;  and
(B)  outside  of  the  Manhattan prime development area, a fifty percent
exemption from real property taxation, other than assessments for  local
improvements;  (iv)  for  the  twenty-seventh  year  of  the restriction
period, (A) within the  Manhattan  prime  development  area,  a  seventy
percent  exemption  from  real property taxation, other than assessments
for  local  improvements;  and  (B)  outside  of  the  Manhattan   prime
development area, a forty percent exemption from real property taxation,
other than assessments for local improvements; (v) for the twenty-eighth
year   of  the  restriction  period,  (A)  within  the  Manhattan  prime
development area, a sixty percent exemption from real property taxation,
other than assessments for local improvements; and (B)  outside  of  the
Manhattan  prime  development area, a thirty percent exemption from real
property taxation, other than assessments for local  improvements;  (vi)
for  the  twenty-ninth  year  of  the restriction period, (A) within the
Manhattan prime development area, a fifty percent  exemption  from  real
property  taxation,  other  than assessments for local improvements; and

(B) outside of the Manhattan prime development area,  a  twenty  percent
exemption  from real property taxation, other than assessments for local
improvements; and (vii)  for  the  thirtieth  year  of  the  restriction
period, (A) within the Manhattan prime development area, a forty percent
exemption  from real property taxation, other than assessments for local
improvements; and (B) outside of the Manhattan prime development area, a
ten  percent  exemption  from  real  property   taxation,   other   than
assessments for local improvements.
bb.  "Twenty-five  year  benefit" shall mean: (i) for the construction
period, a one hundred percent exemption  from  real  property  taxation,
other than assessments for local improvements; (ii) for the first twenty
years  of  the  restriction  period;  (A)  within  the  Manhattan  prime
development  area,  a  ninety  percent  exemption  from  real   property
taxation, other than assessments for local improvements; and (B) outside
of  the Manhattan prime development area, a sixty-five percent exemption
from  real  property  taxation,  other  than   assessments   for   local
improvements; (iii) for the twenty-first year of the restriction period,
(A)  within  the  Manhattan  prime  development  area, an eighty percent
exemption from real property taxation, other than assessments for  local
improvements; and (B) outside of the Manhattan prime development area, a
fifty   percent  exemption  from  real  property  taxation,  other  than
assessments for local improvements; (iv) for the twenty-second  year  of
the restriction period, (A) within the Manhattan prime development area,
a  seventy  percent  exemption  from  real property taxation, other than
assessments for local improvements; and (B)  outside  of  the  Manhattan
prime  development  area,  a  forty percent exemption from real property
taxation, other than assessments for local  improvements;  (v)  for  the
twenty-third  year  of  the restriction period, (A) within the Manhattan
prime development area, a sixty percent  exemption  from  real  property
taxation, other than assessments for local improvements; and (B) outside
of the Manhattan prime development area, a thirty percent exemption from
real  property  taxation, other than assessments for local improvements;
(vi) for the twenty-fourth year of the restriction  period,  (A)  within
the  Manhattan  prime  development  area, a fifty percent exemption from
real property taxation, other than assessments for  local  improvements;
and  (B)  outside  of  the  Manhattan  prime  development area, a twenty
percent exemption from real property taxation,  other  than  assessments
for  local  improvements;  and  (vii)  for  the twenty-fifth year of the
restriction period, (A) within the Manhattan prime development  area,  a
forty   percent  exemption  from  real  property  taxation,  other  than
assessments for local improvements; and (B)  outside  of  the  Manhattan
prime  development  area,  a  ten  percent  exemption from real property
taxation, other than assessments for local improvements.
2. Benefit. In cities having a population  of  one  million  or  more,
notwithstanding  the  provisions  of any other general, special or local
law to the contrary, a new eligible multiple dwelling, except  a  hotel,
that  complies  with the provisions of this section shall be exempt from
real property taxation, other than assessments for  local  improvements,
in  the  amounts and for the periods specified in this section, provided
that such eligible multiple dwelling is used or held  out  for  use  for
dwelling purposes. An eligible multiple dwelling that has a commencement
date  on or before June thirtieth, two thousand twenty-six shall receive
a thirty-five year benefit; an eligible multiple  dwelling  that  has  a
commencement date on or before June thirtieth, two thousand twenty-eight
shall  receive  a thirty year benefit; and an eligible multiple dwelling
that has a commencement date on or before June thirtieth,  two  thousand
thirty-one shall receive a twenty-five year benefit.
3.  Tax payments. In addition to any other amounts payable pursuant to
this section, the owner of any eligible multiple dwelling receiving AHCC
program benefits shall pay, in each tax year in which such AHCC  program
benefits are in effect, all assessments for local improvements.
4.  Limitation on benefits for non-residential space. If the aggregate
floor area of commercial, community facility and accessory use space  in
an  eligible  multiple  dwelling exceeds twelve percent of the aggregate
floor area in such eligible multiple dwelling, any AHCC program benefits
shall be reduced by a percentage equal to such excess.  If  an  eligible
multiple  dwelling  contains  multiple  tax lots, the tax arising out of
such reduction in AHCC program benefits shall first be  apportioned  pro
rata  among any non-residential tax lots. After any such non-residential
tax lots are fully taxable, the remainder of the tax arising out of such
reduction in AHCC program benefits, if any,  shall  be  apportioned  pro
rata  among the remaining residential tax lots. For the purposes of this
section, accessory use space shall not include home occupation space  or
accessory  parking  space  located not more than twenty-three feet above
the curb level.
5. Application of benefit. Based on the certification  of  the  agency
certifying  eligibility  for  AHCC  program  benefits, the department of
finance  shall  determine  the  amount  of  the  exemption  pursuant  to
subdivisions  two and four of this section and shall apply the exemption
to the assessed value of the eligible multiple dwelling.
6. Affordability requirements. An  eligible  multiple  dwelling  shall
comply  with  the  affordability  requirement  defined in paragraph b of
subdivision one of  this  section  during  the  restriction  period.  An
eligible   multiple  dwelling  shall  also  comply  with  the  following
requirements during the restriction period:
a. All affordable housing units in an eligible multiple dwelling shall
share the same common entrances and common areas as rental  market  rate
units  in such eligible multiple dwelling and shall not be isolated to a
specific  floor  or  area  of  an  eligible  multiple  dwelling.  Common
entrances  shall  mean  any means of ingress or egress regularly used by
any resident  of  a  rental  dwelling  unit  in  the  eligible  multiple
dwelling.
b.  Unless  preempted by the requirements of a federal, state or local
housing program, either: (i) the affordable housing units in an eligible
multiple dwelling shall have a  unit  mix  proportional  to  the  rental
market  units;  or (ii) at least fifty percent of the affordable housing
units in an eligible multiple dwelling shall have two or  more  bedrooms
and  no  more  than  twenty-five percent of the affordable housing units
shall have less than one bedroom.
c.  Notwithstanding  any  provision  of  rent  stabilization  to   the
contrary:
(i) all affordable housing units shall remain fully subject
to rent stabilization  during  the  restriction  period;  and  (ii)  any
affordable  housing  unit occupied by a tenant that has been approved by
the agency  prior  to  the  agency's  denial  of  an  eligible  multiple
dwelling's application for AHCC program benefits shall remain subject to
rent  stabilization  until  such  tenant vacates such affordable housing
unit.
d. All rent stabilization registrations required  to  be  filed  shall
contain  a  designation  that specifically identifies affordable housing
units created pursuant to  this  section  as  "AHCC  program  affordable
housing units" and shall contain an explanation of the requirements that
apply to all such affordable housing units.
e.  Failure  to  comply  with  the provisions of this subdivision that
require the creation, maintenance, rent  stabilization  compliance,  and

occupancy of affordable housing units shall result in revocation of AHCC
program benefits.
f.  Nothing  in  this  section shall: (i) prohibit the occupancy of an
affordable housing unit by individuals or families whose income  at  any
time  is  less  than the maximum percentage of the area median income or
income band, as applicable, adjusted for family size, specified for such
affordable housing unit pursuant to this section; or (ii)  prohibit  the
owner  of  an  eligible  multiple  dwelling from requiring, upon initial
rental or upon any rental following a  vacancy,  the  occupancy  of  any
affordable housing unit by such lower income individuals or families.
g. Following issuance of a temporary certificate of occupancy and upon
each  vacancy  thereafter,  an affordable housing unit shall promptly be
offered for rental by individuals or  families  whose  income  does  not
exceed  the maximum percentage of the area median income or income band,
as applicable, adjusted for family size, specified for  such  affordable
housing  unit  pursuant  to  this  section and who intend to occupy such
affordable housing  unit  as  their  primary  residence.  An  affordable
housing  unit  shall not be: (i) rented to a corporation, partnership or
other entity; or (ii) held off the market for a period  longer  than  is
reasonably  necessary  to perform repairs needed to make such affordable
housing unit available for occupancy.
h. An affordable housing unit shall not  be  rented  on  a  temporary,
transient  or  short-term  basis. Every lease and renewal thereof for an
affordable housing unit shall be for a term of one or two years, at  the
option of the tenant.
i. An affordable housing unit shall not be converted to cooperative or
condominium ownership.
j.  The  agency  may establish by rule such requirements as the agency
deems necessary or appropriate for:  (i)  the  marketing  of  affordable
housing  units,  both  upon initial occupancy and upon any vacancy; (ii)
monitoring compliance with the provisions of this subdivision; (iii) the
establishment of marketing bands for affordable housing units;
(iv) identifying the permit or permits required for the  determination
of the commencement date under this section; and
(v)   specifying   the   legal  instrument  by  which  the  marketing,
affordability,  rent  stabilization,  permitted  rent,  and  any   other
requirement  associated with this benefit will be recorded and enforced.
Such requirements may include, but need not be limited to,  retaining  a
monitor approved by the agency and paid for by the owner of the eligible
multiple dwelling.
k.  Notwithstanding  any  provision of this section to the contrary, a
market unit shall not be subject to rent stabilization  unless,  in  the
absence  of  AHCC  program  benefits,  the unit would be subject to rent
stabilization.
7.  Building  service  employees.  a.  For  the   purposes   of   this
subdivision,  (i)  "applicant"  shall mean an applicant for AHCC program
benefits and/or any successor  to  such  applicant;  and  (ii)  "covered
building  service employer" shall mean any applicant and/or any employer
of building service employees for  such  applicant  including,  but  not
limited to, a property management company or contractor.
b.  All  building  service  employees employed by the covered building
service employer at the eligible multiple  dwelling  shall  receive  the
applicable  prevailing  wage  for  the  duration  of the benefit period,
regardless of whether such benefits provided pursuant  to  this  section
are revoked or terminated.
c.  The  fiscal officer shall have the power to enforce the provisions
of this subdivision. In enforcing such provisions,  the  fiscal  officer
shall have the power: (i) to investigate or cause an investigation to be

made  to  determine the prevailing wages for building service employees,
and in making such investigation, the fiscal officer  may  utilize  wage
and fringe benefit data from various sources, including, but not limited
to,  data  and  determinations  of  federal, state or other governmental
agencies; provided, however, that the provision of a dwelling unit shall
not be considered wages or a  fringe  benefit;  (ii)  to  institute  and
conduct  inspections  at  the  site  of  the work or elsewhere; (iii) to
examine the books, documents and records pertaining to  the  wages  paid
to, and the hours of work performed by, building service employees; (iv)
to  hold  hearings and, in connection therewith, to issue subpoenas, the
enforcement of which shall be regulated by the civil  practice  law  and
rules,   administer   oaths   and  examine  witnesses;  (v)  to  make  a
classification  by  craft,   trade   or   other   generally   recognized
occupational category of the building service employees and to determine
whether  such  work has been performed by the building service employees
in such classification; (vi) to require the applicant to file  with  the
fiscal  officer  a  record  of  the  wages actually paid to the building
service employees and of their hours of work; (vii) to delegate  any  of
the   foregoing  powers  to  his  or  her  deputy  or  other  authorized
representative; (viii) to promulgate rules as he or she  shall  consider
necessary  for  the proper execution of the duties, responsibilities and
powers conferred upon him or her by the provisions of this  subdivision;
and  (ix)  to prescribe appropriate sanctions for failure to comply with
the provisions of this subdivision. For each violation of paragraph b of
this subdivision, the fiscal officer may require the payment of (A) back
wages and fringe benefits; (B) liquidated damages up to three times  the
amount  of  the  back  wages and fringe benefits for willful violations;
and/or (C) reasonable attorneys' fees. If the fiscal officer finds  that
the  applicant  has  failed  to  comply  with  the  provisions  of  this
subdivision, he or she shall present evidence of such non-compliance  to
the agency.
d.  Paragraph b of this subdivision shall not be applicable to: (i) an
eligible multiple dwelling containing less than thirty  dwelling  units;
or  (ii)  an  eligible  multiple  dwelling  whose eligible conversion is
carried  out  with  the  substantial  assistance  of  grants,  loans  or
subsidies  provided  by a federal, state or local governmental agency or
instrumentality pursuant to a program for the development of  affordable
housing.
e.  The  applicant shall submit a sworn affidavit with its application
certifying that it shall ensure compliance with the requirements of this
subdivision or  is  exempt  in  accordance  with  paragraph  d  of  this
subdivision.  Upon  the  agency's  approval  of  such  application,  the
applicant who is not exempt in  accordance  with  paragraph  d  of  this
subdivision  shall  submit  annually  a  sworn  affidavit  to the fiscal
officer certifying that it shall ensure compliance with the requirements
of this subdivision.
f. The agency shall annually publish a  list  of  all  eligible  sites
subject  to  the  requirements  of  this  subdivision and the affidavits
required pursuant to paragraph e of this subdivision.
g.  If  a  covered  building  service  employer  has  committed  three
violations of the requirements of paragraph (b) of this subdivision with
respect  to  the  same  eligible  multiple  dwelling  within a five-year
period, the agency may revoke any benefits associated with such eligible
multiple dwelling under this section. For purposes of this paragraph,  a
"violation"  of  paragraph  (b)  of  this  subdivision shall be deemed a
finding by the fiscal officer that a covered building  service  employer
has  failed  to  comply  with  paragraph (b) of this subdivision and has
failed to cure the deficiency  within  three  months  of  such  finding.

Provided,  however,  that  after  a second such violation, the applicant
shall  be  notified  that  any  further  violation  may  result  in  the
revocation  of  benefits  under this section and that the fiscal officer
shall  publish  on  its  website  a  list  of  all  applicants  with two
violations as defined in this paragraph. If benefits are  terminated  or
revoked  for  failure  to  comply  with  this  subdivision  all  of  the
affordable housing units shall remain subject to rent stabilization  and
all  other  requirements  of  this  section  for  the  duration  of  the
restriction period,  regardless  of  whether  such  benefits  have  been
terminated or revoked.
8.  Concurrent exemptions or abatements. An eligible multiple dwelling
receiving AHCC program benefits shall not receive any exemption from  or
abatement of real property taxation under any other law.
9.   Voluntary   renunciation   or  termination.  Notwithstanding  the
provisions of any general, special or local  law  to  the  contrary,  an
owner  shall  not  be entitled to voluntarily renounce or terminate AHCC
program benefits unless  the  agency  authorizes  such  renunciation  or
termination  in  connection  with  the  commencement  of a tax exemption
pursuant to the private housing finance  law  or  section  four  hundred
twenty-c of this title.
10. Termination or revocation. The agency may terminate or revoke AHCC
program  benefits  for  failure  to comply with this section. All of the
affordable housing units shall remain subject to rent stabilization  and
all  other  requirements  of  this  section  for  the  duration  of  the
restriction period,  regardless  of  whether  such  benefits  have  been
terminated or revoked.
11.  Powers  cumulative.  The  enforcement  provisions of this section
shall not be exclusive,  and  are  in  addition  to  any  other  rights,
remedies  or  enforcement powers set forth in any other law or available
at law or in equity.
12. Multiple tax lots.  If  an  eligible  multiple  dwelling  contains
multiple  tax  lots, an application may be submitted with respect to one
or more of such tax lots. The agency  shall  determine  eligibility  for
AHCC  program  benefits  based  upon  the  tax  lots  included  in  such
application and benefits for each such eligible multiple dwelling  shall
be based upon the completion date of each such multiple dwelling.
13.  Applications.  a.  The  application  with respect to any eligible
multiple dwelling shall be filed with the agency  no  earlier  than  the
completion date and not later than one year after the completion date of
such eligible multiple dwelling.
b.  Notwithstanding  the  provisions of any general, special, or local
law to the contrary, the agency may require by rule that applications be
filed electronically.
c. The agency may rely on certification by an  architect  or  engineer
submitted   by  an  applicant  in  connection  with  the  filing  of  an
application. A false certification by such architect or  engineer  shall
be  deemed  to be professional misconduct pursuant to section sixty-five
hundred nine of the education  law.  Any  architect  or  engineer  found
guilty  of  such  misconduct  under the procedures prescribed in section
sixty-five hundred ten of the education law  shall  be  subject  to  the
penalties  prescribed  in  section  sixty-five  hundred  eleven  of  the
education  law  and  shall  thereafter  be  ineligible   to   submit   a
certification pursuant to this section.
d.  Such application shall also certify that all taxes, water charges,
and sewer rents currently due and owing on the  property  which  is  the
subject of the application have been paid or are currently being paid in
timely  installments pursuant to a written agreement with the department
of finance or other appropriate agency.
14. Filing fee. The agency may require a filing fee of  no  less  than
three  thousand  dollars  per  dwelling  unit  in  connection  with  any
application, except that the agency may promulgate rules:
a.  imposing  a  lesser  fee  for  an eligible multiple dwelling whose
eligible conversion is carried out with the  substantial  assistance  of
grants,  loans  or  subsidies  provided  by  a  federal,  state or local
governmental agency or instrumentality pursuant to  a  program  for  the
development of affordable housing; and
b.  requiring  a  portion  of  the  filing  fee  to  be  paid upon the
submission  of  the  information  the  agency  requires  in  advance  of
approving  the  commencement  of the marketing process for such eligible
conversion.
15. Multiple  residence.  A  non-residential  building  undergoing  an
eligible  conversion shall be considered a multiple residence during the
construction period.
16. Rules. Except as provided in subdivision seven  of  this  section,
the  agency  shall  have the sole authority to enforce the provisions of
this section and may promulgate rules to carry  out  the  provisions  of
this section.
17.  Penalties  for violations of affordability requirements. a. On or
after the expiration date of  the  benefit  provided  pursuant  to  this
section,  the  agency  may impose, after notice and an opportunity to be
heard, a penalty for any violation by an eligible multiple  dwelling  of
the affordability requirements of subdivision six of this section.
b.  A  penalty  imposed  under this subdivision shall be computed as a
percentage of the capitalized value of all AHCC program benefits on  the
eligible  multiple  dwelling,  calculated  as  of  the  first  year that
benefits were granted, not to exceed one thousand  percent.  The  agency
shall  establish  a schedule and method of calculation of such penalties
pursuant to subdivision sixteen of this section.
c. A penalty imposed under this subdivision shall be  imposed  against
the  owner  of  the eligible multiple dwelling at the time the violation
occurred, even if such owner  no  longer  owns  such  eligible  multiple
dwelling at the time of the agency's determination.
d.  A  person or entity who fails to pay a penalty imposed pursuant to
this  subdivision  shall  be  guilty  of  a  misdemeanor  punishable  by
imprisonment not to exceed six months.