2023 New York Laws › RPT - Real Property Tax › Article 4 - Exemptions › Title 2 - Private Property › 485-M - Residential Investment Exemption; Certain School Districts.

§  485-m.  Residential investment exemption; certain school districts.
1. Residential real property constructed on or after the  first  day  of
January,  two thousand eight in school districts which serve a city with
a population of not less than thirty-four thousand  and  not  more  than
thirty-five  thousand  based upon the two thousand federal census may be
exempt from school district taxation as provided in this section.
2. (a) (i) Such real property shall be exempt for a period of one year
to the extent of fifty per centum of  the  increase  in  assessed  value
thereof  attributable  to such construction and for an additional period
of nine years provided, however, that the extent of such exemption shall
be decreased by five per centum each year during such additional  period
of  nine  years and such exemption shall be computed with respect to the
"exemption base". The exemption base shall be the increase  in  assessed
value  as  determined  in  the  initial  year  of  such  ten year period
following the filing of an original application, except as  provided  in
subparagraph (ii) of this paragraph.
(ii)  In  any year in which a change in level of assessment of fifteen
percent or more is certified for a final assessment roll pursuant to the
rules of the commissioner, the exemption base shall be multiplied  by  a
fraction,  the  numerator  of which shall be the total assessed value of
the parcel on such final  assessment  roll  (after  accounting  for  any
physical  or  quantity  changes  to  the  parcel  since  the immediately
preceding assessment roll), and the denominator of which  shall  be  the
total  assessed  value  of the parcel on the immediately preceding final
assessment roll. The  result  shall  be  the  new  exemption  base.  The
exemption  shall  thereupon  be  recomputed to take into account the new
exemption base, notwithstanding the fact that the assessor receives  the
certification of the change in level of assessment after the completion,
verification  and  filing of the final assessment roll. In the event the
assessor does not have custody of the roll when  such  certification  is
received,  the  assessor  shall  certify the recomputed exemption to the
local officers having custody and control of the roll,  and  such  local
officers  are  hereby  directed  and  authorized to enter the recomputed
exemption certified by the assessor on the roll. The assessor shall give
written notice of such recomputed exemption to the property  owner,  who
may,   if   he  or  she  believes  that  the  exemption  was  recomputed
incorrectly, apply for a correction in  the  manner  provided  by  title
three  of  article  five  of this chapter for the correction of clerical
errors.
(iii) The following table shall  illustrate  the  computation  of  the
school district tax exemption:
Year of exemption                      Percentage of exemption
1                                        50
2                                        45
3                                        40
4                                        35
5                                        30
6                                        25
7                                        20
8                                        15
9                                        10
10                                         5
(b) No such exemption shall be granted unless:
(i)  such  construction  was  commenced  on  or after the first day of
January, two thousand eight or such later date as may  be  specified  by
resolution;
(ii)  the  residential  real  property is situate in a school district
which serves a city with a  population  of  not  less  than  thirty-four
thousand  and  not  more  than  thirty-five  thousand based upon the two
thousand federal census;
(iii)  the  cost  of  such  construction  exceeds  the  sum of seventy
thousand dollars or such greater amount as may be specified; and
(iv)  such  construction  is  completed  as  may  be  evidenced  by  a
certificate  of occupancy or other appropriate documentation as provided
by the owner.
(c) For purposes of this  section  the  term  construction  shall  not
include ordinary maintenance and repairs.
3.  Such exemption shall be granted only upon application by the owner
of such real property on a form prescribed  by  the  commissioner.  Such
application  shall be filed with the assessor of a school district which
serves a city with a population of not less  than  thirty-four  thousand
and  not  more  than  thirty-five  thousand  based upon the two thousand
federal census on or before the appropriate taxable status date of  such
school  district and within one year from the date of completion of such
construction.
4. If the assessor is satisfied that the applicant is entitled  to  an
exemption  pursuant  to  this  section,  he  or  she  shall  approve the
application and such real  property  shall  thereafter  be  exempt  from
taxation  by  a school district which serves a city with a population of
not less  than  thirty-four  thousand  and  not  more  than  thirty-five
thousand  based upon the two thousand federal census as provided in this
section commencing with the assessment roll prepared after  the  taxable
status  date  referred  to  in  subdivision  three  of this section. The
assessed value of any exemption granted pursuant to this  section  shall
be  entered  by  the  assessor  on  the assessment roll with the taxable
property, with the amount of the exemption shown in a separate column.
5. The provisions of this section shall apply to real property used as
the primary residence of the owner.
6. In the event that real property granted an  exemption  pursuant  to
this  section  ceases  to  be  used primarily for eligible purposes, the
exemption granted pursuant to this section shall cease.
7. A school district which serves a city with a population of not less
than thirty-four thousand and not more than thirty-five  thousand  based
upon  the two thousand federal census may, by resolution, reduce the per
centum  of  exemption  otherwise  allowed  pursuant  to  this   section;
provided,  however,  that  a  project  in  course  of  construction  and
exemptions existing prior in time to  passage  of  any  such  resolution
shall  not  be  subject  to  any such reduction so effected. Such school
district upon reduction of the per centum of exemption pursuant to  this
subdivision  may  thereafter,  by resolution, increase the per centum of
exemption up to any per centum not  exceeding  the  maximum  allowed  by
subdivision  two  or  eleven  of  this section, whichever is applicable,
provided,  however,  that  any  such  resolution  shall  apply  only  to
construction   commenced  subsequent  to  the  effective  date  of  such
resolution. A copy of all such  resolutions  shall  be  filed  with  the
commissioner and the assessor of the school district.
8. A school district which serves a city with a population of not less
than  thirty-four  thousand and not more than thirty-five thousand based
upon the two thousand federal census by resolution, establish a date for
the commencement of effectiveness of exemption offered pursuant to  this
section  and may provide that the provisions of this section shall apply
only to construction having a  greater  value  than  that  specified  by
subdivision  two  of  this  section, provided, however, that such amount
shall not exceed three hundred fifty thousand dollars.
9. (a) A school district which serves a city with a population of  not
less  than  thirty-four  thousand and not more than thirty-five thousand
based upon the two thousand federal census may, by resolution, establish
a board to be known as the residential incentive board.  The  membership
and composition of such board shall be set forth in the resolution.
(b)  The residential incentive board shall present a plan to the board
of education of a school district which serves a city with a  population
of  not  less  than  thirty-four  thousand and not more than thirty-five
thousand based upon the  two  thousand  federal  census  concerning  the
various  types  of  residential  real  property  which should be granted
eligibility for  an  exemption  pursuant  to  subdivision  one  of  this
section.  Such  plan  shall  make  a  recommendation  as  to whether the
exemption be computed as provided in subdivision two of this section. In
addition, such plan shall  identify  specific  geographic  areas  within
which such exemptions should be offered. In developing the plan required
by this paragraph, the board shall consider the planning objectives of a
school  district  which serves a city with a population of not less than
thirty-four thousand and not more than thirty-five thousand  based  upon
the  two  thousand federal census, the necessity of the exemption to the
attraction or retention of home owners and the economic benefit  to  the
area of providing exemptions to home owners.
(c)  In  addition,  the  board  may make recommendations to the school
board of a school district which serves a city with a population of  not
less  than  thirty-four  thousand and not more than thirty-five thousand
based upon the two thousand federal census with respect  to  actions  it
deems desirable to improve the economic climate therein.
10.  If a school district which serves a city with a population of not
less than thirty-four thousand and not more  than  thirty-five  thousand
based  upon  the  two  thousand federal census establishes a residential
incentive board, pursuant to subdivision  nine  of  this  section,  such
school  district  may, by resolution, restrict real property eligible to
receive the exemption to real property constructed  for  those  purposes
identified  in  the  plan  presented by the board. Such resolution shall
restrict the availability of such exemption to the  specific  geographic
areas identified in the plan presented by the board.
11.  Any  school  district  which adopts an exemption pursuant to this
section shall cause information relating to  the  availability  of  such
exemption,  including  requirements  and  application  procedures, to be
attached  to  all  building  permit  applications  and  copies  of  such
information  shall  be posted in a conspicuous location in any office or
offices where such permits and applications for permits are  issued  and
processed.