Requires multiple liens on farm property to be paid in chronological order, with the earliest lien being paid off first and the most recent being paid last.

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S4514-2011 Actions

• Apr 30, 2012: referred to real property taxation
• Apr 30, 2012: DELIVERED TO ASSEMBLY
• Apr 30, 2012: PASSED SENATE
• Apr 26, 2012: ADVANCED TO THIRD READING
• Apr 25, 2012: 2ND REPORT CAL.
• Apr 19, 2012: 1ST REPORT CAL.555
• Jan 4, 2012: REFERRED TO LOCAL GOVERNMENT
• Jan 4, 2012: returned to senate
• Jan 4, 2012: died in assembly
• Jun 14, 2011: referred to real property taxation
• Jun 14, 2011: DELIVERED TO ASSEMBLY
• Jun 14, 2011: PASSED SENATE
• Jun 14, 2011: ORDERED TO THIRD READING CAL.1232
• Jun 13, 2011: COMMITTEE DISCHARGED AND COMMITTED TO RULES
• Apr 8, 2011: REFERRED TO LOCAL GOVERNMENT

S4514-2011 Meetings

Local Government: Apr 19, 2012, Rules: Jun 17, 2011, Rules: Jun 24, 2011

S4514-2011 Calendars

Active List: Apr 30, 2012 , Floor Calendar: Apr 25, 2012 , Floor Calendar: Apr 26, 2012 , Floor Calendar: Apr 30, 2012 , Floor Calendar: Jun 14, 2011

S4514-2011 Votes

S4514-2011 Memo

BILL NUMBER:S4514

TITLE OF BILL:

An act
to amend the real property tax law, in relation to the redemption of
multiple liens on farm property

PURPOSE OR GENERAL IDEA OF BILL:

To allow farm property tax liens to be paid in chronological order

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 amends subdivision 1 and 2 of section 1112 of the real
property tax law, as amended by chapter 532 of the laws of 1994, to
require liens on a parcel that is not farm property to be redeemed in
reverse chronological order. Section b requires that a tax lien on a
parcel that is farm property to be redeemed in chronological order,
so that the lien with the earliest lien date is redeemed first, and
the lien with the most recent lien date is redeemed last.

Section 2 ensures that unpaid tax liens on farm property are held
under the same provisions for enforcement as parcels of non-farm
property.

JUSTIFICATION:

Enshrined in the New York State Constitution, as well as in the
Agriculture and Markets Law, is the directive that the State should
utilize all of its powers to protect and preserve one of our state's
greatest resources - New York's 7 million acres of farmland.

One of the challenges that farmers face in producing food in New York
is our increasingly higher cost of doing business. Farmers are price
takers, not price makers. And while farmers produce food in New York
State with higher tax rates, higher energy and labor costs, and
higher regulatory burdens, the food that is sold and the price the
farmer receives is based upon global factors and global commodity
prices.

This puts farmers in a uniquely difficult position financially,
especially during cyclical times of very low prices. Farmers caught
in a financial bind at times face tax liens on their land, but unlike
most other businesses farmers must by necessity hold a substantial
amount of land upon which to produce food.

In order to help the farm community avoid foreclosures, and thus
preserve and protect New York's critical agricultural land, changing
the process by which the liens are redeemed would be a substantial
aid to the farmer who is caught in a cyclical price downturn.

Allowing a farmer to redeem the earliest tax lien first helps avoid
the additional accrual of interest and a potential foreclosure
process spurred by factors that may largely be out of the farmer's
control.


This bill takes a step forward in helping our State's farm families
and maintaining the state's crucial farm land.

PRIOR LEGISLATIVE HISTORY:

None.

FISCAL IMPLICATIONS:

None.

EFFECTIVE DATE:

This act shall take effect immediately.

S4514-2011 Text

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

                                    4514

                         2011-2012 Regular Sessions

                              I N  SENATE

                                April 8, 2011
                                 ___________

  Introduced  by  Sen.  LIBOUS -- read twice and ordered printed, and when
    printed to be committed to the Committee on Local Government

  AN ACT to amend the real property tax law, in relation to the redemption
    of multiple liens on farm property

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


    Section  1.  Subdivisions 1 and 2 of section 1112 of the real property
  tax law, as amended by chapter 532 of the laws of 1994, are  amended  to
  read as follows:

    1.  When a tax district holds more than one tax lien against a parcel,
  the  liens  need not be redeemed simultaneously.  (A) However, the liens
  ON A PARCEL, WHICH IS NOT FARM PROPERTY, must  be  redeemed  in  reverse
  chronological  order, so that the lien with the most recent lien date is
  redeemed first, and the lien with the earliest  lien  date  is  redeemed
  last. Notwithstanding the redemption of one or more of the liens against
  SUCH  a  parcel  as  provided  [herein] IN THIS ARTICLE, the enforcement
  process shall proceed according to the provisions  of  this  article  as
  long as the earliest lien remains unredeemed.
    (B) HOWEVER, IN THE CASE OF LIENS AGAINST A PARCEL, THAT IS FARM PROP-
  ERTY,  THE  LIENS  MUST  BE REDEEMED IN CHRONOLOGICAL ORDER, SO THAT THE
  LIEN WITH THE EARLIEST LIEN DATE IS REDEEMED FIRST, AND  THE  LIEN  WITH
  THE  MOST RECENT LIEN DATE IS REDEEMED LAST. NOTWITHSTANDING THE REDEMP-
  TION OF ONE OR MORE OF THE LIENS AGAINST A PARCEL THAT IS FARM  PROPERTY
  AS  PROVIDED  IN  THIS  ARTICLE,  THE  ENFORCEMENT PROCESS SHALL PROCEED
  ACCORDING TO THE PROVISIONS OF THIS ARTICLE AS LONG AS THE  MOST  RECENT
  LIEN REMAINS UNREDEEMED.
    2. (a) When one or more liens against a parcel, THAT IS NOT FARM PROP-
  ERTY,  are redeemed as provided [herein] IN THIS ARTICLE, but the earli-
  est lien remains unredeemed, the receipt issued to the person  redeeming
  shall  include  a  statement in substantially the following form:  "This
  parcel remains subject to one or more delinquent tax liens. The  payment

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD10763-01-1

 S. 4514                             2

  you  have made will not postpone the enforcement of the outstanding lien
  or liens. Continued failure to pay the entire amount owed will result in
  the loss of the property."
    (b)  WHEN  ONE  OR MORE LIENS AGAINST A PARCEL, THAT IS FARM PROPERTY,
  ARE REDEEMED AS PROVIDED IN THIS  ARTICLE,  BUT  THE  MOST  RECENT  LIEN
  REMAINS  UNREDEEMED,  THE  RECEIPT  ISSUED TO THE PERSON REDEEMING SHALL
  INCLUDE A STATEMENT IN SUBSTANTIALLY  THE  FOLLOWING  FORM:  "THIS  FARM
  PARCEL  REMAINS SUBJECT TO ONE OR MORE DELINQUENT TAX LIENS. THE PAYMENT
  YOU HAVE MADE WILL NOT POSTPONE THE ENFORCEMENT OF THE OUTSTANDING  LIEN
  OR LIENS. CONTINUED FAILURE TO PAY THE ENTIRE AMOUNT OWED WILL RESULT IN
  THE LOSS OF THE PROPERTY."
    (C)  Failure  to  include  such  a  statement on the receipt shall not
  invalidate any tax lien or  prevent  the  enforcement  of  the  same  as
  provided by law.
    S 2. This act shall take effect immediately.