2023 New York Laws › PBG - Public Housing › Article 3 - Municipal Housing Authorities › 52 - Tax Exemptions of an Authority.

§  52. Tax exemptions of an authority. 1. An authority shall be exempt
from the payment  of  (a)  any  taxes  or  fees  to  the  state  or  any
subdivision  thereof  and (b) any fees to any officer or employee of the
state or of any subdivision thereof, except where it is provided  by  or
pursuant  to law that such officer or employee is personally entitled to
such fees as compensation for services rendered or performed by  him  in
his official capacity.
2.  Bonds,  mortgages, notes and other obligations of an authority are
declared  to  be  issued  for  a  public  purpose  and  to   be   public
instrumentalities  and  together  with interest thereon, shall be exempt
from tax.
2-a. The state of New York hereby consents to the inclusion, under the
United States internal revenue code of nineteen  hundred  fifty-four  or
any subsequent internal revenue law of the United States of the interest
payable  on bonds, mortgages, notes or other obligations of an authority
which are hereafter issued and  secured  (1)  by  a  mortgage  which  is
insured  under  section  two  hundred twenty-one (d) (3) of the national
housing act (or any successor section under said act or  any  subsequent
housing  act)  by  an  authority  as  mortgagor  in  connection with the
financing of a project assisted under section eight of the United States
housing act of nineteen hundred thirty-seven, or  (2)  by  a  pledge  of
housing  assistance  payments  made  or  to  be made under a contract or
contracts between an authority and the United States or  any  agency  or
instrumentality  thereof, in the gross income of the person who receives
or is entitled to receive such interest to the same extent  and  in  the
same   manner  that  the  interest  on  bills,  notes,  bonds  or  other
obligations of the United States issued subsequent to the effective date
of section four of the public debt act of nineteen hundred forty-one  is
includible  in  the  gross income of the holder or holders thereof under
said internal revenue code or any subsequent internal revenue law of the
United States  and,  notwithstanding  any  provisions  to  the  contrary
contained  in  this  chapter or in any general, special or local law, an
authority is authorized and empowered to issue  such  bonds,  mortgages,
notes  or  other obligations and shall include therein such reference to
or summary of this subdivision as it  shall  deem  proper.  The  consent
hereby  given by the state of New York shall not be construed to consent
to the application of any other provision of any other law,  federal  or
state,  to an authority or to the elimination or modification in any way
of any other exemption, privilege, or immunity thereof.
3. Except as to state projects, the property of an authority shall  be
exempt  from  all  local  and  municipal  taxes.  A federal or municipal
project consisting of land and one or more multiple dwellings leased  by
an  authority for a term of not less than ten years shall be exempt from
such taxes during the period of such lease. A municipality may (a) fix a
sum which shall be paid to it annually by the authority  in  respect  of
each project; or (b) agree that the authority shall not pay or be liable
to  pay  any  sum whatsoever in respect of a project or projects for any
year or years; or (c) agree with an authority or government upon the sum
to be paid by the authority for any  year  or  years  in  respect  of  a
project  or  projects, or accept or agree to accept a fixed sum or other
consideration in lieu of such payment; provided, however, that  the  sum
fixed,  or  agreed to be paid by the authority, for any year shall in no
case exceed the sum last levied as  an  annual  tax  upon  the  property
included  in  such  project  prior to the time of its acquisition by the
authority; and provided, further, that the sum fixed, or  agreed  to  be
paid  by  the  authority, for any year with respect to a federal project
shall in no case exceed the sum last levied as an annual  tax  upon  the
property  included  in such project prior to the time of its acquisition

by the authority or such greater amount as the  federal  government  may
permit.
3-a.  With  respect  to  a  federal  project  located  within a school
district, an authority may make  payments  to  such  district,  and  the
authority  and  the  district  may enter into agreements with respect to
such payments.  Such payments shall not exceed the amounts permitted for
such purposes by the federal  government.  The  power  granted  by  this
subdivision  shall  be  in  addition  to any other power granted in this
section or any other provision of law.
4. (a) So much of the value  of  the  property  included  in  a  state
project  as  represents  an  increase over the assessed valuation of the
real property, both land and improvements, on the date of  the  contract
for  a  state  loan,  or, in the absence of a contract for a state loan,
then on the date of the contract for a state subsidy,  shall  be  exempt
from  any and all state, county, city, village, town, school and special
district taxes, except that the assessed valuation may be  increased  or
decreased  to  reflect  a change in the level of assessment as certified
pursuant to title two of article twelve of the real property tax law. In
no event may any assessing  unit  assess  the  property  included  in  a
project at an amount in excess of the actual cost of the project.
(b) In any assessing unit in which there has been a change in level of
assessment  as  provided  in  title  two  of  article twelve of the real
property tax law, the commissioner of taxation and finance shall certify
the change in level of assessment factor in the manner provided in title
two of article twelve of the real property tax law. The term  "assessing
unit"  as used in this subdivision means a city, town, village or county
having a county department of assessment with the power to  assess  real
property.
5. The tax exemptions specified in subdivisions three and four of this
section  shall  not  operate  for  a  period  of  more than fifty years,
commencing in each instance from the date on which the benefits of  such
exemption  first become available and effective, except that in the case
of a federal project the tax exemption may operate for a period  not  to
exceed  sixty  years,  and except that in the case of a project, or part
thereof, leased from a housing company or in the case of  a  federal  or
municipal  project consisting of land and one or more multiple dwellings
leased by an authority for not less than ten years the tax exemption may
operate for a period not exceeding the term of such lease.
6.  Upon  the  completion  of  the  sixty-year  period   provided   in
subdivision  five  of  this section applicable to federal projects, each
authority  that  was  eligible  for  the  tax  exemption  specified   in
subdivisions  three  and  four  of this section shall be exempt from all
local and municipal taxes imposed by state  and  local  governments  for
sixty  years  after the expiration of the initial exemption period. Upon
the completion of the fifty-year period provided in subdivision five  of
this  section applicable to state and municipal projects, each authority
that received the tax exemption specified in subdivision three  or  four
of  this  section may, on the expiration of the tax exemption period, be
granted an additional tax exemption period  of  up  to  fifty  years.  A
municipality may (a) fix a sum which shall be paid to it annually by the
authority  in  respect  of each project; or (b) agree that the authority
shall not pay or be liable to pay any sum whatsoever  in  respect  of  a
project  or  projects  for  any  year  or  years;  or  (c) agree with an
authority or government upon the sum to be paid by the authority for any
year or years in respect of a project or projects, or accept or agree to
accept a fixed sum or other  consideration  in  lieu  of  such  payment;
provided,  however,  that  the  sum  fixed,  or agreed to be paid by the
authority, for any year shall in no case exceed the sum last  levied  as

an  annual  tax  upon the property included in such project prior to the
time of its acquisition by the authority or, in the case  of  a  federal
project, such greater amount as the federal government may permit.
With respect to a federal project located within a school district, an
authority  may make payments to such district, and the authority and the
district may enter into agreements with respect to such  payments.  Such
payments shall not exceed the amounts permitted for such purposes by the
federal  government.  The  power granted by this subdivision shall be in
addition to any other  power  granted  in  this  section  or  any  other
provision of law.