A. 5177--A 2
S 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
amended by section 3 of part Z of chapter 59 of the laws of 2015, is
amended to read as follows:
(1) Either, all of the taxes described in article twenty-eight of this
chapter, at the same uniform rate, as to which taxes all provisions of
the local laws, ordinances or resolutions imposing such taxes shall be
identical, except as to rate and except as otherwise provided, with the
corresponding provisions in such article twenty-eight, including the
definition and exemption provisions of such article, so far as the
provisions of such article twenty-eight can be made applicable to the
taxes imposed by such city or county and with such limitations and
special provisions as are set forth in this article. The taxes author-
ized under this subdivision may not be imposed by a city or county
unless the local law, ordinance or resolution imposes such taxes so as
to include all portions and all types of receipts, charges or rents,
subject to state tax under sections eleven hundred five and eleven
hundred ten of this chapter, except as otherwise provided. (i) Any local
law, ordinance or resolution enacted by any city of less than one
million or by any county or school district, imposing the taxes author-
ized by this subdivision, shall, notwithstanding any provision of law to
the contrary, exclude from the operation of such local taxes all sales
of tangible personal property for use or consumption directly and
predominantly in the production of tangible personal property, gas,
electricity, refrigeration or steam, for sale, by manufacturing, proc-
essing, generating, assembly, refining, mining or extracting; and all
sales of tangible personal property for use or consumption predominantly
either in the production of tangible personal property, for sale, by
farming or in a commercial horse boarding operation, or in both; and,
unless such city, county or school district elects otherwise, shall omit
the provision for credit or refund contained in clause six of subdivi-
sion (a) or subdivision (d) of section eleven hundred nineteen of this
chapter. (ii) Any local law, ordinance or resolution enacted by any
city, county or school district, imposing the taxes authorized by this
subdivision, shall omit the residential solar energy systems equipment
and electricity exemption provided for in subdivision (ee), the commer-
cial solar energy systems equipment and electricity exemption provided
for in subdivision (ii) and the clothing and footwear exemption provided
for in paragraph thirty of subdivision (a) of section eleven hundred
fifteen of this chapter, unless such city, county or school district
elects otherwise as to either such residential solar energy systems
equipment and electricity exemption, such commercial solar energy
systems equipment and electricity exemption or such clothing and foot-
wear exemption. ANY LOCAL LAW, ORDINANCE OR RESOLUTION ENACTED BY ANY
CITY, COUNTY OR SCHOOL DISTRICT, IMPOSING THE TAXES AUTHORIZED BY THIS
SUBDIVISION, SHALL OMIT THE MOTOR FUEL AND DIESEL MOTOR FUEL EXEMPTION
PROVIDED FOR IN PARAGRAPH FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEV-
EN HUNDRED FIFTEEN OF THIS CHAPTER, UNLESS SUCH CITY, COUNTY OR SCHOOL
DISTRICT ELECTS OTHERWISE; PROVIDED THAT IF SUCH A CITY HAVING A POPU-
LATION OF ONE MILLION OR MORE ENACTS THE RESOLUTION DESCRIBED IN SUBDI-
VISION (P) OF THIS SECTION OR REPEALS SUCH RESOLUTION, SUCH RESOLUTION
OR REPEAL SHALL ALSO BE DEEMED TO AMEND ANY LOCAL LAW, ORDINANCE OR
RESOLUTION ENACTED BY SUCH A CITY IMPOSING SUCH TAXES PURSUANT TO THE
AUTHORITY OF THIS SUBDIVISION, WHETHER OR NOT SUCH TAXES ARE SUSPENDED
AT THE TIME SUCH CITY ENACTS ITS RESOLUTION PURSUANT TO SUBDIVISION (P)
OF THIS SECTION OR AT THE TIME OF ANY SUCH REPEAL; PROVIDED, FURTHER,
THAT ANY SUCH LOCAL LAW, ORDINANCE OR RESOLUTION AND SECTION ELEVEN
A. 5177--A 3
HUNDRED SEVEN OF THIS CHAPTER, AS DEEMED TO BE AMENDED IN THE EVENT A
CITY OF ONE MILLION OR MORE ENACTS A RESOLUTION PURSUANT TO THE AUTHORI-
TY OF SUBDIVISION (P) OF THIS SECTION, SHALL BE FURTHER AMENDED, AS
PROVIDED IN SECTION TWELVE HUNDRED EIGHTEEN OF THIS SUBPART, SO THAT THE
MOTOR FUEL AND DIESEL MOTOR FUEL EXEMPTION IN ANY SUCH LOCAL LAW, ORDI-
NANCE OR RESOLUTION OR IN SUCH SECTION ELEVEN HUNDRED SEVEN OF THIS
CHAPTER IS THE SAME AS THE MOTOR FUEL AND DIESEL MOTOR FUEL EXEMPTION IN
PARAGRAPH FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED
FIFTEEN OF THIS CHAPTER.
S 4. Subdivision (d) of section 1210 of the tax law, as amended by
section 4-a of part Z of chapter 59 of the laws of 2015, is amended to
read as follows:
(d) A local law, ordinance or resolution imposing any tax pursuant to
this section, increasing or decreasing the rate of such tax, repealing
or suspending such tax, exempting from such tax the energy sources and
services described in paragraph three of subdivision (a) or of subdivi-
sion (b) of this section or changing the rate of tax imposed on such
energy sources and services or providing for the credit or refund
described in clause six of subdivision (a) of section eleven hundred
nineteen of this chapter, or electing or repealing the exemption for
residential solar equipment and electricity in subdivision (ee) of
section eleven hundred fifteen of this article, or the exemption for
commercial solar equipment and electricity in subdivision (ii) of
section eleven hundred fifteen of this article must go into effect only
on one of the following dates: March first, June first, September first
or December first; provided, that a local law, ordinance or resolution
providing for the exemption described in paragraph thirty of subdivision
(a) of section eleven hundred fifteen of this chapter or repealing any
such exemption or a local law, ordinance or resolution providing for a
refund or credit described in subdivision (d) of section eleven hundred
nineteen of this chapter or repealing such provision so provided must go
into effect only on March first; PROVIDED, FURTHER, THAT A LOCAL LAW,
ORDINANCE OR RESOLUTION PROVIDING FOR THE EXEMPTION DESCRIBED IN PARA-
GRAPH FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF
THIS CHAPTER OR REPEALING ANY SUCH EXEMPTION SO PROVIDED AND A RESOL-
UTION ENACTED PURSUANT TO THE AUTHORITY OF SUBDIVISION (P) OF THIS
SECTION PROVIDING SUCH EXEMPTION OR REPEALING SUCH EXEMPTION SO PROVIDED
MAY GO INTO EFFECT IMMEDIATELY. No such local law, ordinance or resol-
ution shall be effective unless a certified copy of such law, ordinance
or resolution is mailed by registered or certified mail to the commis-
sioner at the commissioner's office in Albany at least ninety days prior
to the date it is to become effective. However, the commissioner may
waive and reduce such ninety-day minimum notice requirement to a mailing
of such certified copy by registered or certified mail within a period
of not less than thirty days prior to such effective date if the commis-
sioner deems such action to be consistent with the commissioner's duties
under section twelve hundred fifty of this article and the commissioner
acts by resolution. Where the restriction provided for in section twelve
hundred twenty-three of this article as to the effective date of a tax
and the notice requirement provided for therein are applicable and have
not been waived, the restriction and notice requirement in section
twelve hundred twenty-three of this article shall also apply.
S 5. Section 1210 of the tax law is amended by adding a new subdivi-
sion (p) to read as follows:
(P) NOTWITHSTANDING ANY OTHER PROVISION OF STATE OR LOCAL LAW, ORDI-
NANCE OR RESOLUTION TO THE CONTRARY;
A. 5177--A 4
(1) ANY CITY HAVING A POPULATION OF ONE MILLION OR MORE IN WHICH THE
TAXES IMPOSED BY SECTION ELEVEN HUNDRED SEVEN OF THIS CHAPTER ARE IN
EFFECT, ACTING THROUGH ITS LOCAL LEGISLATIVE BODY, IS HEREBY AUTHORIZED
AND EMPOWERED TO ELECT TO PROVIDE THE EXEMPTION FROM SUCH TAXES FOR THE
SAME MOTOR FUEL AND DIESEL MOTOR FUEL EXEMPT FROM STATE SALES AND
COMPENSATING USE TAXES DESCRIBED IN PARAGRAPH FORTY-FOUR OF SUBDIVISION
(A) OF SECTION ELEVEN HUNDRED FIFTEEN OF THIS CHAPTER BY ENACTING A
RESOLUTION IN THE FORM SET FORTH IN PARAGRAPH TWO OF THIS SUBDIVISION;
WHEREUPON, UPON COMPLIANCE WITH THE PROVISIONS OF SUBDIVISIONS (D) AND
(E) OF THIS SECTION, SUCH ENACTMENT OF SUCH RESOLUTION SHALL BE DEEMED
TO BE AN AMENDMENT TO SUCH SECTION ELEVEN HUNDRED SEVEN AND SUCH SECTION
ELEVEN HUNDRED SEVEN SHALL BE DEEMED TO INCORPORATE SUCH EXEMPTION AS IF
IT HAD BEEN DULY ENACTED BY THE STATE LEGISLATURE AND APPROVED BY THE
GOVERNOR.
(2) FORM OF RESOLUTION: BE IT ENACTED BY THE (INSERT PROPER TITLE OF
LOCAL LEGISLATIVE BODY) AS FOLLOWS:
SECTION ONE. RECEIPTS FROM SALES OF THE CONSIDERATION GIVEN OR
CONTRACTED TO BE GIVEN FOR PURCHASES OF MOTOR FUEL AND DIESEL MOTOR FUEL
EXEMPT FROM STATE SALES AND COMPENSATING USE TAXES PURSUANT TO PARAGRAPH
FORTY-FOUR OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF THE
TAX LAW SHALL ALSO BE EXEMPT FROM SALES AND COMPENSATING USE TAXES
IMPOSED IN THIS JURISDICTION.
SECTION TWO. THIS RESOLUTION SHALL TAKE EFFECT, (INSERT THE DATE) AND
SHALL APPLY TO SALES MADE AND USES OCCURRING ON AND AFTER THAT DATE
ALTHOUGH MADE OR OCCURRING UNDER A PRIOR CONTRACT.
S 6. The commissioner of taxation and finance is hereby authorized to
implement the provisions of sections one through five of this act with
respect to the elimination of the imposition of sales tax, additional
taxes, and supplemental taxes on diesel motor fuel and motor fuel and
all other taxes so addressed by this act.
S 7. Subdivision 1 of section 282-a of the tax law, as amended by
section 2 of part W of chapter 59 of the laws of 2013, is amended to
read as follows:
1. There is hereby levied and imposed with respect to Diesel motor
fuel an excise tax of [four] TWO cents per gallon upon the sale or use
of Diesel motor fuel in this state.
The excise tax is imposed on the first sale or use of Diesel motor
fuel to occur which is not exempt from tax under this article. Provided,
however, if the tax has not been imposed prior thereto, it shall be
imposed on the removal of highway Diesel motor fuel from a terminal,
other than by pipeline, barge, tanker or other vessel, or the delivery
of Diesel motor fuel to a filling station or into the fuel tank connect-
ing with the engine of a motor vehicle for use in the operation thereof
whichever event shall be first to occur. The tax shall be computed based
upon the number of gallons of Diesel motor fuel sold, removed or used or
the number of gallons of Diesel fuel delivered into the fuel tank of a
motor vehicle, as the case may be. Nothing in this article shall be
construed to require the payment of such excise tax more than once upon
the same Diesel motor fuel. Nor shall the collection of such tax be made
applicable to the sale or use of Diesel motor fuel under circumstances
which preclude the collection of such tax by reason of the United States
constitution and of laws of the United States enacted pursuant thereto.
Provided, further, no Diesel motor fuel shall be included in the measure
of the tax unless it shall have previously come to rest within the mean-
ing of federal decisional law interpreting the United States constitu-
tion. All tax for the period for which a return is required to be filed
A. 5177--A 5
shall be due on the date limited for the filing of the return for such
period, regardless of whether a return is filed as required by this
article or whether the return which is filed correctly shows the amount
of tax due.
S 8. Section 282-b of the tax law is REPEALED.
S 9. Section 282-c of the tax law is REPEALED.
S 10. Subdivision 1 of section 284 of the tax law, as amended by chap-
ter 276 of the laws of 1986, is amended to read as follows:
1. There is hereby levied and imposed an excise tax of [four] TWO
cents per gallon upon motor fuel (a) imported into or caused to be
imported into the state by a distributor for use, distribution, storage
or sale in the state or upon motor fuel which is produced, refined,
manufactured or compounded by a distributor in the state (which acts
shall hereinafter in this subdivision be encompassed by the phrase
"imported or manufactured") or (b) if the tax has not been imposed prior
to its sale in this state, which is sold by a distributor (which act, in
conjunction with the acts described in paragraph (a) of this subdivi-
sion, shall hereinafter in this article be encompassed by the phrase
"imported, manufactured or sold"), except when imported, manufactured or
sold under circumstances which preclude the collection of such tax by
reason of the United States constitution and of laws of the United
States enacted pursuant thereto or when imported or manufactured by an
organization described in paragraph one or two of subdivision (a) of
section eleven hundred sixteen of this chapter or a hospital included in
the organizations described in paragraph four of such subdivision for
its own use or consumption and except kero-jet fuel when imported or
manufactured by an airline for use in its airplanes. Provided, further,
no motor fuel shall be included in the measure of the tax unless it
shall have previously come to rest within the meaning of federal deci-
sional law interpreting the United States constitution. All tax for the
period for which a return is required to be filed shall be due on the
date limited for the filing of the return for such period, regardless of
whether a return is filed by such distributor as required by this arti-
cle or whether the return which is filed correctly shows the amount of
tax due.
S 11. Section 284-a of the tax law is REPEALED.
S 12. Section 284-c of the tax law is REPEALED.
S 13. Paragraph (b) of subdivision 5 of section 376 of the public
authorities law, as amended by chapter 55 of the laws of 1992, is
amended to read as follows:
(b) To assure the continued operation and solvency of the authority
for the carrying out of the purposes relating to this section, provision
is made in this section for the accumulation in the debt service reserve
fund of an amount equal to the maximum amount of principal and interest
maturing and becoming due in any succeeding calendar year on all bonds
of the authority then outstanding and secured by such reserve fund;
provided however for such bonds issued by the authority after April
first, nineteen hundred ninety-two, such debt service reserve fund may
in the discretion of the authority and consistent with any covenants
with any existing bondholders and without impairing the rights of any
existing bondholders be sized in an amount equal to not less than one-
half of the maximum amount of principal and interest maturing and becom-
ing due in any succeeding calendar year on such bonds of the authority
then outstanding and secured by such debt service reserve fund. In order
to further assure the maintenance of such debt service reserve fund,
with respect to bonds of the authority issued pursuant to subdivisions
A. 5177--A 6
two-a, two-b and two-c of this section after April first, nineteen
hundred ninety, the authority shall create a special subaccount in each
revenue fund established pursuant to any resolution or resolutions
authorizing such bonds. [Such subaccounts shall consist of the moneys
available after April first, nineteen hundred ninety, pursuant to
sections two hundred eighty-two-b, two hundred eighty-two-c, two hundred
eighty-four-a and two hundred eighty-four-c of the tax law, respective-
ly, in the emergency highway reconditioning and preservation fund
reserve account established pursuant to paragraph (b) of subdivision two
of section eighty-nine of the state finance law and in the emergency
highway construction and reconstruction fund reserve account established
pursuant to paragraph (b) of subdivision two of section eighty-nine-a of
the state finance law, apportioned and paid to the authority for deposit
in such subaccount of the revenue fund.] Amounts in each such subaccount
shall be kept separate and shall not be commingled with any other moneys
in the custody of the authority. Amounts in each such subaccount shall
be applied solely to pay such sum, if any, as shall semi-annually, (on
such dates as are established under the terms of any cooperative highway
contractual agreement of the department of transportation with the New
York state thruway authority entered into on or after April first, nine-
teen hundred ninety which is then in effect), be certified by the chair-
man of the authority to the governor and state director of the budget as
necessary to provide funds in an amount sufficient together with other
moneys available to the authority for such purpose, to pay one-half of
the total annual principal and interest maturing and becoming due during
the next succeeding twelve calendar months on all bonds of the authority
issued pursuant to subdivisions two-a, two-b and two-c of this section
after April first, nineteen hundred ninety and maintaining or funding
debt service reserve funds therefor. [Any surplus of funds in excess of
such certified amounts remaining in each such subaccount after such
payments, if any, have been made shall on the dates established under
the terms of such cooperative highway agreements, be paid over for
deposit, respectively, in the emergency highway reconditioning and pres-
ervation fund reserve account established pursuant to paragraph (b) of
subdivision two of section eighty-nine of the state finance law and in
the emergency highway construction and reconstruction fund reserve
account established pursuant to paragraph (b) of subdivision two of
section eighty-nine-a of the state finance law.]
S 14. Paragraphs (b), (d) and (e) of subdivision 3 of section 289-c of
the tax law, paragraph (b) as amended by chapter 411 of the laws of
1971, paragraph (d) as amended by chapter 836 of the laws of 1974 and
paragraph (e) as added by chapter 756 of the laws of 1974, are amended
to read as follows:
(b) Any omnibus carrier which shall buy any motor fuel on which the
aggregate tax imposed by section two hundred eighty-four [and section
two hundred eighty-four-a] of this chapter, or any diesel motor fuel on
which the aggregate tax imposed by section two hundred eighty-two-a [and
section two hundred eighty-two-b] of this chapter, shall have been paid,
shall be reimbursed, in the case of such motor fuel, the amount paid
pursuant to such [sections] SECTION two hundred eighty-four [and two
hundred eighty-four-a] in excess of four cents per gallon, and in the
case of diesel motor fuel, the amount paid pursuant to such [sections]
SECTION two hundred eighty-two-a [and two hundred eighty-two-b] in
excess of six cents per gallon, provided such motor fuel or diesel motor
fuel has been consumed by such carrier in the operation of an omnibus in
this state. Any taxicab licensee, as defined by subdivision ten of
A. 5177--A 7
section two hundred eighty-two of this chapter, who or which shall buy
any motor fuel on which the aggregate tax imposed by section two hundred
eighty-four [and section two hundred eighty-four-a] of this chapter or
any diesel motor fuel on which the aggregate tax imposed by section two
hundred eighty-two-a [and section two hundred eighty-two-b] of this
chapter, shall have been paid, shall be reimbursed, in the case of such
motor fuel, the amount paid pursuant to such [sections] SECTION two
hundred eighty-four [and two hundred eighty-four-a] in excess of four
cents per gallon, and in the case of diesel motor fuel, the amount paid
pursuant to such [sections] SECTION two hundred eighty-two-a [and two
hundred eighty-two-b] in excess of six cents per gallon, provided such
motor fuel or diesel fuel has been consumed by such licensee in the
operation of a taxicab in this state.
(d) Any omnibus carrier which shall buy motor fuel on which the aggre-
gate tax imposed by section two hundred eighty-four[, section two
hundred eighty-four-a and section two hundred eighty-four-c] of this
chapter or any diesel motor fuel on which the aggregate tax imposed by
section two hundred eighty-two-a[, section two hundred eighty-two-b and
section two hundred eighty-two-c] of this chapter shall have been paid,
shall be reimbursed the amount paid provided such motor fuel or diesel
motor fuel has been consumed by such carrier in the operation of an
omnibus in local transit service in this state pursuant to a certificate
of convenience and necessity issued by the commissioner of transporta-
tion of this state or by the interstate commerce commission of the
United States or pursuant to a contract, franchise or consent between
such carrier and a city having a population of more than one million
inhabitants, or any agency of such city.
(e) Any nonpublic school operator which shall buy motor fuel on which
the aggregate tax imposed by section two hundred eighty-four[, section
two hundred eighty-four-a and section two hundred eighty-four-c] of this
chapter or any diesel motor fuel on which the aggregate tax imposed by
section two hundred eighty-two-a[, section two hundred eighty-two-b and
section two hundred eighty-two-c] of this chapter shall have been paid,
shall be reimbursed the amount paid provided such motor fuel or diesel
motor fuel has been consumed by such nonpublic school operator exclu-
sively in educational related activities.
S 15. Subdivision 1 of section 289-e of the tax law, as amended by
section 15 of part K of chapter 61 of the laws of 2011, is amended to
read as follows:
1. All taxes, interest, penalties and fees collected or received by
the commissioner under the taxes imposed by this article, except as
provided otherwise in subdivision two and subdivision three of this
section [and sections two hundred eighty-two-b, two hundred
eighty-two-c, two hundred eighty-four-a and two hundred eighty-four-c,]
other than the fee imposed by section two hundred eighty-four-d and
penalties and interest on such fee, shall be deposited and disposed of
pursuant to the provisions of section one hundred seventy-one-a of this
chapter; provided that an amount equal to thirty-seven and one-half per
centum of the moneys collected under section two hundred eighty-four of
this chapter shall be appropriated and used for the acquisition of prop-
erty necessary for the construction and reconstruction of highways and
bridges or culverts on the state highway system, and for the
construction, maintenance and repair of such highways and bridges or
culverts, all under the direction of the commissioner of transportation.
S 16. Subdivision 5 of section 10-c of the highway law, as amended by
chapter 20 of the laws of 1983, is amended to read as follows:
A. 5177--A 8
5. For amounts to be distributed pursuant to this section above the
funding level, as defined in this subdivision, received by any munici-
pality, such municipality shall use at least seventy-five percent of
such apportioned moneys for the construction, reconstruction or improve-
ment of local highways, bridges and/or highway-railroad crossings,
including right of way acquisition, preliminary engineering, and
construction supervision and inspection, where the service life of the
project is at least ten years. Such moneys made available may be used to
match other state and federal funds made available for such projects
under federal-aid highway acts. The remainder of the apportionment, may
be used for any highway purposes, except debt service, including but not
limited to, the acquisition of materials and equipment devoted to opera-
tion and maintenance of local highways, bridges and/or highway-railroad
crossings and the payment of any costs directly attributable to opera-
tion and maintenance of local highways, bridges and/or highway-railroad
crossings. At the discretion of the commissioner, the requirement speci-
fied in this subdivision may be waived for assistance payments in
amounts of less than five thousand dollars. For purposes of this section
"funding level" shall mean the average amounts, calculated for each
municipality, received over two years ending March thirty-first, nine-
teen hundred eighty-two from the provisions of the town highway improve-
ment program, the distribution made by former section one hundred twelve
of this chapter, as repealed by section twenty-one of the transportation
systems assistance and financing act of 1981 of amounts collected from
taxes on motor fuel imposed by [sections] SECTION two hundred eighty-
four [and two hundred eighty-four-a] of the tax law and on Diesel motor
fuel imposed by [sections] SECTION two hundred eighty-two-a [and two
hundred eighty-two-b] of the tax law, and from motor vehicle fees
collected from residents pursuant to the vehicle and traffic law, and
the distribution made by former section two hundred seventy-nine of this
chapter, as repealed by section twenty-one of the transportation systems
assistance and financing act of 1981.
S 17. Notwithstanding any other section of the law, any taxes, inter-
est, penalties and fees that would have been received by the commission-
er of taxation and finance prior to the enactment of sections seven,
eight, nine, ten, eleven and twelve of this act, be deposited pursuant
to section 289-e of the tax law from the state general fund.
S 18. This act shall take effect immediately; provided, however, that
sections one through five of this act shall take effect on the first day
of the sales tax quarterly period, as described in subdivision (b) of
section 1136 of the tax law, next commencing at least 90 days after this
act shall have become a law and shall apply in accordance with the
applicable transitional provisions of section 1106 and 1217 of the tax
law.