S T A T E   O F   N E W   Y O R K
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                                  10692

                          I N  A S S E M B L Y

                              June 15, 2012
                               ___________

Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Hooper) --
  read once and referred to the Committee on Local Governments

AN ACT to amend the general municipal law, in relation  to  payments  in
  lieu  of  taxes  for projects approved by the town of Hempstead indus-
  trial development agency and the Nassau county industrial agency

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. The opening paragraph of section 905 of the general munici-
pal  law is designated subdivision 1 and three new subdivisions 2, 3 and
4 are added to read as follows:
  2. PRIOR TO THE APPROVAL OF ANY APPLICATION FOR A PAYMENT IN  LIEU  OF
TAXES  (HEREINAFTER REFERRED TO IN THIS SECTION AS "PILOT") AGREEMENT BY
THE AGENCY FOR A PROJECT LOCATED IN  THE  VILLAGE  OF  FREEPORT  OR  THE
VILLAGE OF HEMPSTEAD, THE WRITTEN CONSENT OF THE CHIEF EXECUTIVE OFFICER
OF THE AFFECTED VILLAGE SHALL BE OBTAINED.  THE AGENCY SHALL ALSO OBTAIN
THE  APPROVAL,  BY  THREE-FIFTHS MAJORITY, OF THE VILLAGE GOVERNING BODY
PRIOR TO ANY PILOT AGREEMENT BEING APPROVED BY THE AGENCY FOR A  PROJECT
LOCATED IN THE VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD. IN ADDI-
TION, THE AGENCY SHALL OBTAIN AN IMPACT ANALYSIS TO DETERMINE THE IMPACT
ON  THE  VILLAGE  OF  THE  PROJECT  AND THE PLANNED PILOT AGREEMENT. THE
APPLICANT FOR SUCH PILOT AGREEMENT SHALL BEAR THE COSTS RELATED  TO  THE
REQUIRED  IMPACT  ANALYSIS.  THE  AGENCY  AND THE VILLAGE GOVERNING BODY
SHALL JOINTLY SELECT A QUALIFIED ENTITY TO CONDUCT THE IMPACT  ANALYSIS.
THE  MEMBERSHIP OF THE AGENCY, WHEN REVIEWING APPLICATIONS AND APPROVING
PILOT AGREEMENTS FOR PROJECTS LOCATED IN THE VILLAGE OF FREEPORT OR  THE
VILLAGE  OF  HEMPSTEAD,  SHALL  INCLUDE  AT  LEAST  ONE  MEMBER  OF SUCH
VILLAGE'S GOVERNING BODY AND AT LEAST THREE AT LARGE MEMBERS DRAWN  FROM
A CROSS SECTION OF THE VILLAGE COMMUNITY.
  3.  THE  AGENCY SHALL REVIEW ANY PILOT AGREEMENT FOR A PROJECT LOCATED
IN THE VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD AFTER  THE  THIRD
YEAR  OF ENTERING INTO SUCH PILOT AGREEMENT, AND EVERY THIRD YEAR THERE-
AFTER, AND ADJUST THE PILOT AGREEMENT ACCORDINGLY BASED  ON  CHANGES  TO
THE  ASSESSED VALUE AND TAX RATE OF ALL OTHER REAL PROPERTIES LOCATED IN
SUCH VILLAGES.  THE AGENCY SHALL PROVIDE A WRITTEN REPORT TO THE VILLAGE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD16291-01-2

A. 10692                            2

OF FREEPORT AND THE VILLAGE OF HEMPSTEAD DOCUMENTING ANY AND  ALL  VARI-
ANCES  OR  CHANGES  TO  THE PROJECTED REVENUES OF SUCH VILLAGES FROM ANY
SUCH PILOT AGREEMENT.
  4.  A PILOT AGREEMENT FOR A PROJECT LOCATED IN THE VILLAGE OF FREEPORT
OR THE VILLAGE OF HEMPSTEAD SHALL NOT BE RENEWED OR RENEGOTIATED UNTIL A
FULL AUDIT HAS BEEN COMPLETED OF THE ACCOUNTS OF THE PARTY OBLIGATED  TO
MAKE  PAYMENTS IN LIEU OF TAXES PURSUANT TO THE PILOT AGREEMENT WITH THE
AGENCY. THE AGENCY AND THE VILLAGE GOVERNING BODY SHALL JOINTLY CHOOSE A
QUALIFIED ENTITY TO CONDUCT SUCH AUDIT.  THE PARTY THAT IS OBLIGATED  TO
MAKE  PAYMENTS IN LIEU OF TAXES PURSUANT TO THE PILOT AGREEMENT WITH THE
AGENCY SHALL BEAR THE COSTS OF PREPARING  SUCH  AUDIT.  THE  VILLAGE  OF
FREEPORT  OR THE VILLAGE OF HEMPSTEAD MAY REQUEST FROM THE OFFICE OF THE
STATE COMPTROLLER AN AUDIT OR REVIEW OF THE AUDIT PRIOR TO  THE  RENEWAL
OR  RENEGOTIATION  OF  A  PILOT  AGREEMENT  FOR A PROJECT LOCATED IN THE
VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD.
  S 2. The opening paragraph of section 922  of  the  general  municipal
law, as amended by chapter 474 of the laws of 1988, is designated subdi-
vision  1  and  three  new  subdivisions 2, 3 and 4 are added to read as
follows:
  2. PRIOR TO THE APPROVAL OF ANY APPLICATION FOR A PAYMENT IN  LIEU  OF
TAXES  (HEREINAFTER REFERRED TO IN THIS SECTION AS "PILOT") AGREEMENT BY
THE AGENCY FOR A PROJECT LOCATED IN  THE  VILLAGE  OF  FREEPORT  OR  THE
VILLAGE OF HEMPSTEAD, THE WRITTEN CONSENT OF THE CHIEF EXECUTIVE OFFICER
OF THE AFFECTED VILLAGE SHALL BE OBTAINED.  THE AGENCY SHALL ALSO OBTAIN
THE  APPROVAL,  BY  THREE-FIFTHS MAJORITY, OF THE VILLAGE GOVERNING BODY
PRIOR TO ANY PILOT AGREEMENT BEING APPROVED BY THE AGENCY FOR A  PROJECT
LOCATED IN THE VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD. IN ADDI-
TION, THE AGENCY SHALL OBTAIN AN IMPACT ANALYSIS TO DETERMINE THE IMPACT
ON  THE  VILLAGE  OF  THE  PROJECT  AND THE PLANNED PILOT AGREEMENT. THE
APPLICANT FOR SUCH PILOT AGREEMENT SHALL BEAR THE COSTS RELATED  TO  THE
REQUIRED  IMPACT  ANALYSIS.  THE  AGENCY  AND THE VILLAGE GOVERNING BODY
SHALL JOINTLY SELECT A QUALIFIED ENTITY TO CONDUCT THE IMPACT  ANALYSIS.
THE  MEMBERSHIP OF THE AGENCY, WHEN REVIEWING APPLICATIONS AND APPROVING
PILOT AGREEMENTS FOR PROJECTS LOCATED IN THE VILLAGE OF FREEPORT OR  THE
VILLAGE  OF  HEMPSTEAD,  SHALL  INCLUDE  AT  LEAST  ONE  MEMBER  OF SUCH
VILLAGE'S GOVERNING BODY AND AT LEAST THREE AT LARGE MEMBERS DRAWN  FROM
A CROSS SECTION OF THE VILLAGE COMMUNITY.
  3.  THE  AGENCY SHALL REVIEW ANY PILOT AGREEMENT FOR A PROJECT LOCATED
IN THE VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD AFTER  THE  THIRD
YEAR  OF ENTERING INTO SUCH PILOT AGREEMENT, AND EVERY THIRD YEAR THERE-
AFTER, AND ADJUST THE PILOT AGREEMENT ACCORDINGLY BASED  ON  CHANGES  TO
THE  ASSESSED VALUE AND TAX RATE OF ALL OTHER REAL PROPERTIES LOCATED IN
SUCH VILLAGES.
  4. A PILOT AGREEMENT FOR A PROJECT LOCATED IN THE VILLAGE OF  FREEPORT
OR THE VILLAGE OF HEMPSTEAD SHALL NOT BE RENEWED OR RENEGOTIATED UNTIL A
FULL  AUDIT HAS BEEN COMPLETED OF THE ACCOUNTS OF THE PARTY OBLIGATED TO
MAKE PAYMENTS IN LIEU OF TAXES PURSUANT TO THE PILOT AGREEMENT WITH  THE
AGENCY. THE AGENCY AND THE VILLAGE GOVERNING BODY SHALL JOINTLY CHOOSE A
QUALIFIED  ENTITY TO CONDUCT SUCH AUDIT.  THE PARTY THAT IS OBLIGATED TO
MAKE PAYMENTS IN LIEU OF TAXES PURSUANT TO THE PILOT AGREEMENT WITH  THE
AGENCY  SHALL  BEAR  THE  COSTS  OF PREPARING SUCH AUDIT. THE VILLAGE OF
FREEPORT OR THE VILLAGE OF HEMPSTEAD MAY REQUEST FROM THE OFFICE OF  THE
STATE  COMPTROLLER  AN AUDIT OR REVIEW OF THE AUDIT PRIOR TO THE RENEWAL
OR RENEGOTIATION OF A PILOT AGREEMENT  FOR  A  PROJECT  LOCATED  IN  THE
VILLAGE OF FREEPORT OR THE VILLAGE OF HEMPSTEAD.
  S 3. This act shall take effect immediately.