2023 New York Laws › RPT - Real Property Tax › Article 4 - Exemptions › Title 2 - Private Property › 485-P - Economic Transformation Area Exemption.

* §  485-p.  Economic  transformation  area  exemption.  1.  (a)  Real
property constructed, altered, installed  or  improved  in  an  economic
transformation  area  as  defined  in  subdivision  ten  of section four
hundred of the economic development law  which  is  used  for  business,
commercial  or  industrial  purposes  and  which  is owned by a business
entity that has been issued a certificate  of  eligibility  pursuant  to
subdivision   three   of  section  four  hundred  two  of  the  economic
development law shall be exempt from taxation  and  special  ad  valorem
levies by any municipal corporation in which located, for the period and
to the extent herein provided, provided that the governing board of such
municipal  corporation,  after  public  hearing,  adopts  a  local  law,
ordinance or resolution providing therefore. Such local  law,  ordinance
or  resolution  must  be  adopted  within three years of the date of the
closure of a closed facility (as that term  is  defined  in  subdivision
eleven  of section four hundred of the economic development law) located
in the economic transformation area.
(b) The exemption so authorized shall be for a term of five years. The
amount of such exemption shall be as follows:
(i) If  the  construction,  alteration,  installation  or  improvement
occurs  on  or  at  the  site  of  the  closed  facility in the economic
transformation area, then the exemption in the first year  of  its  term
shall  be  fifty  percent  of  the "base amount," determined pursuant to
subdivision two of this section. The amount  of  the  exemption  in  the
second, third, fourth and fifth year of its term shall be forty percent,
thirty  percent,  twenty  percent and ten percent, respectively, of such
base amount.
(ii) If the  construction,  alteration,  installation  or  improvement
occurs  in  the  economic  transformation  area  outside  of  the closed
facility, then the exemption in the first year  of  its  term  shall  be
twenty-five  percent  of  the  "base  amount,"  determined  pursuant  to
subdivision two of this section. The amount  of  the  exemption  in  the
second,  third,  fourth  and  fifth  year  of  its  term shall be twenty
percent, fifteen percent, ten percent and five percent, respectively, of
such base amount.
2. (a) The base amount of the exemption shall be  the  extent  of  the
increase   in   assessed   value   attributable  to  such  construction,
alteration, installation or improvement as  determined  in  the  initial
year  for  which  application  for  exemption  is  made pursuant to this
section. The base amount shall remain constant for the  authorized  term
of the exemption, subject to the following:
(i)  If  there is subsequent construction, alteration, installation or
improvement during the term of the exemption, the base amount  shall  be
revised  to  include the increase in assessed value attributable to such
construction, alteration, installation or improvement.
(ii) If a change in level of assessment of fifteen percent or more  is
certified   for  an  assessment  roll  pursuant  to  the  rules  of  the
commissioner, the base amount shall be adjusted by such change in  level
of  assessment. The exemption on that assessment roll shall thereupon be
recomputed, notwithstanding the fact  that  the  assessor  receives  the
certification 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.
(b)  No  such  exemption  shall  be  granted  unless the construction,
alteration, installation or improvement commenced within one year of the

date of the issuance of the certificate of eligibility to  the  property
owner.
(c)  For  purposes of this section the terms construction, alteration,
installation and improvement shall not include ordinary maintenance  and
repairs.
(d) No such exemption shall be granted concurrently with or subsequent
to   any   other  real  property  tax  exemption  granted  to  the  same
improvements to real property, except, where during the period  of  such
previous  exemption,  payments  in  lieu of taxes or other payments were
made to the local government in an amount that would have been equal  to
or  greater  than the amount of real property taxes that would have been
paid on such improvements had such property been  granted  an  exemption
pursuant  to  this  section. In such case, an exemption shall be granted
for a number of years equal to the five year exemption granted  pursuant
to  this  section  less the number of years the property would have been
previously exempt from real property taxes.
3. Such exemption shall be granted only upon application by the  owner
of  such  real  property  on  a form prescribed by the commissioner. The
original of such application shall be filed with  the  assessor  of  the
assessing  unit.  Such  original application shall be filed on or before
the appropriate taxable status date of such assessing unit and no  later
than  one  year  from  the  date  of  completion  of  such construction,
alteration, installation or improvement.
4. If the assessor receives an application by the owner  of  the  real
property, he or she shall approve the application and such real property
shall  thereafter  be exempt from taxation as herein provided 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 entered in a separate column.
* NB Repealed December 31, 2026