Bill S5931-2013

Enacts the "Mohawk Valley and Niagara county assessment relief act"

Enacts the "Mohawk valley and Niagara county assessment relief act" authorizing eligible municipalities in certain counties to provide assessment relief for property which was catastrophically damaged by severe weather.

Details

Actions

  • Jan 27, 2014: referred to real property taxation
  • Jan 27, 2014: DELIVERED TO ASSEMBLY
  • Jan 27, 2014: PASSED SENATE
  • Jan 13, 2014: ORDERED TO THIRD READING CAL.2
  • Jan 13, 2014: COMMITTEE DISCHARGED AND COMMITTED TO RULES
  • Jan 8, 2014: REFERRED TO LOCAL GOVERNMENT
  • Sep 6, 2013: REFERRED TO RULES

Votes

VOTE: COMMITTEE VOTE: - Rules - Jan 13, 2014
Ayes (22): Skelos, Libous, Bonacic, Carlucci, Farley, Flanagan, Hannon, Larkin, LaValle, Marcellino, Maziarz, Nozzolio, Seward, Valesky, Stewart-Cousins, Breslin, Dilan, Hassell-Thompson, Krueger, Perkins, Espaillat, Gianaris
Ayes W/R (1): Montgomery
Absent (1): Parker

Memo

BILL NUMBER:S5931

TITLE OF BILL: An act to enact the "Mohawk Valley and Niagara county assessment relief act", and to amend the local finance law, in relation to real property tax refunds and credits in such county

PURPOSE OR GENERAL IDEA OF BILL: To provide real property tax relief to property owners in eligible counties whose properties were impacted by severe weather and flooding during the summer of 2013.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1 contains the title: "The Mohawk Valley and Niagara county assessment relief act."

Section 2 defines the terms used in the act.

Section 3 provides that an eligible county may adopt the provisions of this act by Passing a resolution by the forty-fifth day following the date upon which this act is approved by the Governor.

Section 4 provides that in a participating municipality, properties that were impacted by severe weather, having lost fifty percent or more of their improved value, shall be granted assessment relief as follows:

* If the property lost at least fifty but less than sixty percent of its improved value, the assessed value attributable to the improvements shall be reduced by fifty-five percent for the impacted tax roll.

* If the property lost at least sixty but less than seventy percent of its improved value, the assessed value attributable to the improvements shell be reduced by sixty-five Percent for the impacted tax roll.

* If the property lest at least seventy but less than eighty percent of its improved value, the assessed value attributable to the improvements shall be reduced by seventy-five percent for the impacted tax roll.

* If the property lost at least eighty but less than ninety percent of its improved value, the assessed value attributable to the improvements shall be reduced by eighty-five percent for the impacted tax roll.

* If the property lost at least ninety but less than one hundred percent of its improved value, the assessed value attributable to the improvements shall be reduced by ninety-five percent for the impacted tax roll.

* If the property lost all of its improved value, the assessed value attributable to the improvements shall be reduced to zero for the impacted tax roll.

At local option, a municipal corporation may also adopt the following additional assessment reductions:

* If the property lost at least ten but less than twenty percent of its improved value, the assessed value attributable to the improvements shall be reduced by fifteen percent for the impacted tax roll.

* If the property lost at twenty but less than thirty percent of its improved value, the assessed value attributable to the improvements shall be reduced by twenty-five percent for the impacted tax roll.

* If the property lost at least thirty but less than forty percent of its improved value, the assessed value attributable to the improvements shall be reduced by thirty-five percent for the impacted tax roll.

* If the property lost. at least forty but less than fifty percent of its improved value, the assessed value attributable to the improvements shall be reduced by forty-five percent for the impacted tax roll.

The percentage loss in value due to severe weather would be determined by the assessor, which would be subject to review by the Board of. Assessment Review, or the assessment review commission, whichever is applicable, if so requested by the taxpayer.

To receive relief pursuant to this act, the property owner must submit a written request to the assessor within 90 days following the date upon which this act is approved by the Governor.

Section 5 allows for the Commissioner of Taxation and Finance to develop a guidance memorandum for use by assessing units.

Section 6 of this act would provide that the schools districts be held harmless by the State for any reduction in State Aid that would have been paid as at tax savings pursuant to § 1306-a of the Real Property Tax Law.

Section 7 would provide that any Federal Community Development Block Grant funding received by a Participating municipality, in relation to loss of real property tax funding, shall first be used to defease the interest and principal of any bond authorized by this act.

Section 8 amends the local finance law by adding subdivision 33-c, which authorizes local governments to issue bonds related to this act.

Section 9 severability clause

Section 10 sets the effective date as immediate and sets it to have been in full force and effect on and after June 20, 2013.

JUSTIFICATION: Severe weather and flooding between the dates of June 20th and August 9th of 2013 resulted in significant damage to properties in several counties in New York State. This legislation provides relief in the form of a property tax reduction for those taxpayers in eligible counties whose property was substantially damaged by these incidents of severe weather.

PRIOR LEGISLATIVE HISTORY: None.

FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: None to State

EFFECTIVE DATE: This act shall take effect immediately and shall be deemed to have been in full force and effect on and after June 20th of 2013.


Text

STATE OF NEW YORK ________________________________________________________________________ 5931 2013-2014 Regular Sessions IN SENATE September 6, 2013 ___________
Introduced by Sens. SEWARD, O'MARA, GRIFFO, VALESKY, MAZIARZ, FARLEY -- read twice and ordered printed, and when printed to be committed to the Committee on Rules AN ACT to enact the "Mohawk Valley and Niagara county assessment relief act", and to amend the local finance law, in relation to real property tax refunds and credits in such county THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Short title. This act shall be known and may be cited as the "Mohawk Valley and Niagara county assessment relief act". S 2. Definitions. For the purposes of this act, the following terms shall have the following meanings: 1. "Eligible county" shall mean the counties of Oneida, Herkimer, Madison, Montgomery, Tompkins, Cortland, Chemung, Schuyler, Steuben and Niagara. 2. "Eligible municipality" shall mean a municipal corporation, as defined by subdivision 10 of section 102 of the real property tax law, which is either: (a) an eligible county; or (b) a city, town, village, special district, or school district that is wholly or partly contained within an eligible county. 3. "Impacted tax roll" shall mean the final assessment roll which satisfies both of the following conditions: (a) the roll is based upon a taxable status date occurring prior to June 20, 2013; and (b) taxes levied upon that roll by or on behalf of a participating municipality are payable without interest on or after June 20, 2013. 4. "Participating municipality" shall mean an eligible municipality that has passed a local law, ordinance, or resolution pursuant to section three of this act to provide assessment relief to property owners within such eligible municipality pursuant to the provisions of this act.
5. "Severe weather" shall mean the storms, rains, winds, or floods which occurred within an eligible county during the period beginning on June 20, 2013 and ending August 9, 2013. 6. "Total assessed value" shall mean the total assessed value on the parcel prior to any and all exemption adjustments. 7. "Improved value" shall mean the market value of the real property improvements excluding the land. 8. "Property" shall mean "real property", "property" or "land" as defined under paragraphs (a) through (g) of subdivision 12 of section 102 of the real property tax law. S 3. Local option. An eligible municipality may exercise the provisions of this act if its governing body shall, by the forty-fifth day following the date upon which this act is approved by the governor, pass a local law or in the case of a school district a resolution adopt- ing the provisions of this act. An eligible municipality may provide assessment relief for real property impacted by severe weather located within such municipality as provided in paragraphs (i), (ii), (iii) and/or (iv) of subdivision (a) of section four of this act only if its governing body specifically elects to do so as part of such local law or resolution. S 4. Assessment relief for severe weather victims in an eligible coun- ty. (a) Notwithstanding any provision of law to the contrary, where real property impacted by severe weather is located within a participating municipality, assessment relief shall be granted as follows: (i) If a participating municipality has elected to provide assessment relief for real property that lost at least ten percent but less than twenty percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by fifteen percent for purposes of the participating municipality on the impacted tax roll. (ii) If a participating municipality has elected to provide assessment relief for real property that lost at least twenty percent but less than thirty percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by twenty-five percent for purposes of the participating municipality on the impacted tax roll. (iii) If a participating municipality has elected to provide assess- ment relief for real property that lost at least thirty percent but less than forty percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by thirty-five percent for purposes of the participating municipality on the impacted tax roll. (iv) If a participating municipality has elected to provide assessment relief for real property that lost at least forty percent but less than fifty percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by forty-five percent for purposes of the participating municipality on the impacted tax roll. (v) If the property lost at least fifty but less than sixty percent of its improved value due to severe weather, the assessed value attribut- able to the improvements shall be reduced by fifty-five percent for purposes of the participating municipality on the impacted tax roll. (vi) If the property lost at least sixty but less than seventy percent of its improved value due to severe weather, the assessed value attrib- utable to the improvements shall be reduced by sixty-five percent for purposes of the participating municipality on the impacted tax roll.
(vii) If the property lost at least seventy but less than eighty percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by seventy-five percent for purposes of the participating municipality on the impacted tax roll. (viii) If the property lost at least eighty but less than ninety percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by eighty-five percent for purposes of the participating municipality on the impacted tax roll. (ix) If the property lost at least ninety but less than one hundred percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by ninety-five percent for purposes of the participating municipality on the impacted tax roll. (x) If the property lost one hundred percent of its improved value due to severe weather, the assessed value attributable to the improvements shall be reduced by one hundred percent for purposes of the participat- ing municipality on the impacted tax roll. (xi) The percentage loss in improved value for this purpose shall be determined by the assessor in the manner provided by this act, subject to review by the board of assessment review. (xii) No reduction in assessed value shall be granted pursuant to this act except as specified above for such counties. No reduction in assessed value shall be granted pursuant to this section for purposes of any county, city, town, village or school district which has not adopted the provisions of this act. (b) To receive such relief pursuant to this section, the property owner shall submit a written request to the assessor on a form approved by the director of the state office of real property tax services within ninety days following the date upon which this act is approved by the governor. Such request shall describe in reasonable detail the damage caused to the property by severe weather and the condition of the prop- erty following the severe weather and shall be accompanied by supporting documentation, if available. (c) Upon receiving such a request, the assessor shall make a finding, as to whether the property lost at least fifty percent of its improved value or, if a participating municipality has elected to provide assess- ment relief for real property that lost a lesser percentage of improved value, such lesser percentage of its improved value as a result of severe weather, and thereafter the assessor, shall adopt or classify the percentage loss of improved value within one of the following ranges: (i) If a participating municipality has elected to provide assessment relief for real property that lost at least ten percent but less than twenty percent of its improvement value due to severe weather, at least ten percent but less than twenty percent, (ii) If a participating municipality has elected to provide assessment relief for real property that lost at least twenty percent but less than thirty percent of its improved value due to severe weather, at least twenty percent but less than thirty percent, (iii) If a participating municipality has elected to provide assess- ment relief for real property that lost at least thirty percent but less than forty percent of its improved value due to severe weather, at least thirty percent but less than forty percent, (iv) If a participating municipality has elected to provide assessment relief for real property that lost at least forty percent but less than fifty percent of its improved value due to severe weather, at least forty percent but less than fifty percent,
(v) At least fifty percent but less than sixty percent, (vi) At least sixty percent but less than seventy percent, (vii) At least seventy percent but less than eighty percent, (viii) At least eighty percent but less than ninety percent, (ix) At least ninety percent but less than one hundred percent, or (x) one hundred percent. (d) The assessor shall mail written notice of such finding to the property owner and the participating municipality. Where the assessor finds that the loss in improved value is less than fifty percent or, if a participating municipality has elected to provide assessment relief for real property located within such participating municipality for a lesser percentage, is less than such lesser percentage, or classifies the loss within a lower range than the property owner believes is warranted, the property owner may file a complaint with the board of assessment review. Such board shall reconvene upon ten days written notice to the property owner and assessor to hear the appeal and deter- mine the matter, and shall mail written notice of its determination to the assessor and property owner. The provisions of article 5 of the real property tax law shall govern the review process to the extent practica- ble. For the purposes of this act only, the applicant may commence with- in 30 days of service of a written determination, a proceeding under title 1 of article 7 of the real property tax law, or, if applicable, under title 1-A of article 7 of the real property tax law. Sections 727 and 739 of the real property tax law shall not apply. (e) Where property has lost at least fifty percent of its improved value or, if a participating municipality has elected to provide assess- ment relief for real property that lost a lesser percentage of improved value, such lesser percentage due to severe weather, the assessed value attributable to the improvements on the property on the impacted assess- ment roll shall be reduced by the appropriate percentage specified in subdivision (a) of this section, provided that any exemptions which the property may be receiving shall be adjusted as necessary to account for such reduction in the total assessed value. To the extent the total assessed value of the property originally appearing on such roll exceeds the amount to which it should be reduced pursuant to this act, the excess shall be considered an error in essential fact as defined by subdivision 3 of section 550 of the real property tax law. If the error appears on a tax roll, the tax roll shall be corrected in the manner provided by section 554 of the real property tax law or a refund or credit of taxes shall be granted in the manner provided by section 556 or section 556-b of the real property tax law. If the error appears on a final assessment roll but not on a tax roll, such final assessment roll shall be corrected in the manner provided by section 553 of the real property tax law. The errors in essential fact found pursuant to this act on either the tax roll or final assessment roll, upon application to the county director of real property tax services, shall be forwarded by the county director of real property tax services immediately to the levying body for an immediate order setting forth the appropriate correction. (f) The rights contained in this act shall not otherwise diminish any other legally available right of any property owner or party who may otherwise lawfully challenge the valuation or assessment of any real property or improvements thereon. All remaining rights hereby remain and shall be available to the party to whom such rights would otherwise be available notwithstanding this act.
S 5. The commissioner of taxation and finance is authorized to develop a guidance memorandum for use by assessing units. Such guidance memoran- dum shall assist with the implementation of this act and shall be deemed to be advisory on all assessing units in counties which implement the provisions of this act. The guidance memorandum shall have no force or effect or serve as authority for any other act of assessing units or of the interpretation or implementation of the laws of the state of New York except as they relate to the specific implementation of this act. S 6. School districts held harmless. Each school district that is wholly or partially contained within an eligible county shall be held harmless by the state for any reduction in state aid that would have been paid as tax savings pursuant to section 1306-a of the real property tax law incurred due to the provisions of this act. S 7. Bonds authorized. Serial bonds, and in advance of such, bond anticipation notes, are hereby authorized pursuant to subdivision 33-c of paragraph a of section 11.00 of the local finance law, provided, however, that any federal community development block grant funding received by such participating municipality, in relation to loss of property tax funding, shall first be used to defease, upon maturity, the interest and principal of any such bond or note so outstanding. S 8. Paragraph a of section 11.00 of the local finance law is amended by adding a new subdivision 33-c to read as follows: 33-C. REAL PROPERTY TAX REFUNDS AND CREDITS. PAYMENTS OF EXEMPTIONS, REFUNDS, OR CREDITS FOR REAL PROPERTY TAX, SEWER AND WATER RENTS, RATES AND CHARGES AND ALL OTHER REAL PROPERTY TAXES TO BE MADE BY A MUNICI- PALITY, SCHOOL DISTRICT OR DISTRICT CORPORATION AS A RESULT OF PARTIC- IPATING IN THE MOHAWK VALLEY AND NIAGARA COUNTY ASSESSMENT RELIEF ACT, TEN YEARS. S 9. Severability clause. If any clause, sentence, paragraph, subdivi- sion, section or part of this act shall be adjudged by any court of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, subdivision, section or part thereof directly involved in the controversy in which such judg- ment shall have been rendered. It is hereby declared to be the intent of the legislature that this act would have been enacted even if such invalid provisions had not been included herein. S 10. This act shall take effect immediately and shall be deemed to have been in full force and effect on and after June 20, 2013.

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