S7557A-2011 Actions

• Jun 14, 2012: referred to ways and means
• Jun 14, 2012: DELIVERED TO ASSEMBLY
• Jun 14, 2012: PASSED SENATE
• Jun 14, 2012: ORDERED TO THIRD READING CAL.1262
• Jun 14, 2012: COMMITTEE DISCHARGED AND COMMITTED TO RULES
• Jun 4, 2012: REFERRED TO INVESTIGATIONS AND GOVERNMENT OPERATIONS

S7557A-2011 Votes

S7557A-2011 Memo

BILL NUMBER:S7557

TITLE OF BILL:
An act
in relation to qualifying a certain parcel of land located in the city
of Syracuse, county of Onondaga for a tax credit for rehabilitation of
historic property

PURPOSE OR GENERAL IDEA OF BILL:
Provides an exception to the
census-tract requirement for the Huntley Apartment building at 407
Stolp Avenue in Syracuse to qualify for New York State historic
property rehabilitation tax credits.

SUMMARY OF SPECIFIC PROVISIONS:
Section 1. provides as exception to the requirement in subsection (oo)
of section 606 of the tax law that for a property to qualify for
historic rehabilitation tax credits it must be located in a
qualifying census-tract. This section also provides the legal
description of the property.

Section 2. establishes the effective date.

JUSTIFICATION:
The purpose of the Hew York State tax credit for the rehabilitation of
historic properties was to provide aid and incentive to restore
historic buildings in distressed areas. The Huntley Apartment
building in the Strathmore neighborhood of Syracuse, NY is one of
those properties. The Huntley was once a vibrant apartment building
that has become vacant and a center for crime in recent years. A
local group of neighborhood based developers known as the
"Strathmore-Huntley Group" is seeking to rehabilitate the property.
They are currently seeking funding for the project. Historic
preservation tax credits are an important funding aspect for the
rehabilitation.

The Huntley Building currently qualifies for Federal Historic
Preservation tax credits, but does not qualify for New York historic
tax credits because the property is not located in a qualifying
census-tract, despite being only a few blocks from a qualifying
tract. The Huntley is the type of property the historic preservation
Lax credits were meant to help. If the property is made eligible for
State tax credits, it would be an important step in solidifying the
needed funding to make this building a viable taxpaying property
again. A technicality in the law should not prevent this important
project from going forward. This bill would provide a one-time
exception to the census-tract requirement for the Huntley building.

PRIOR LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
Immediately.

S7557A-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 
                                         7557
 I N  SENATE
 June 4, 2012
 
 Introduced  by  Sen.  DeFRANCISCO -- read twice and ordered printed, and
 when printed to be committed to the Committee  on  Investigations  and
 Government Operations
 

AN ACT in relation to qualifying a certain parcel of land located in the
 city  of  Syracuse,  county of Onondaga for a tax credit for rehabili
 tation of historic property
 THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1. Notwithstanding any provision of subsection (oo) of section
 606  of  the  tax law or any other provision of law to the contrary, the
 owners of all that tract or parcel of land situate in the city of  Syra
 cuse,  county  of  Onondaga,  located  at  409 and 419-421 Stolp Avenue,
 otherwise known and distinguished as section 87, block 12, lots 113, 114
 and 115 of the Stolp Addition and commonly known as the "Huntley  Apart
 ments",  shall  qualify  for a tax credit for rehabilitation of historic
 real property.
 For taxable years before January 1, 2015, the owners of all that tract
 or parcel of land described above shall be allowed a credit  as  herein
 after provided, against the tax imposed by article 22 of the tax law, in
 an  amount  equal to one hundred percent of the amount of credit allowed
 the taxpayer with  respect  to  a  certified  historic  structure  under
 subsection  (a)  (2)  of section 47 of the federal internal revenue code
 with respect to a certified historic structure located within the state;
 provided, however, the credit shall not exceed five million dollars. For
 taxable years beginning on or after January 1, 2015, the owners  of  all
 that  tract  or parcel of land described above shall be allowed a credit
 as hereinafter provided, against the tax imposed by article  22  of  the
 tax  law,  in  an amount equal to thirty percent of the amount of credit
 allowed the taxpayer with respect  to  a  certified  historic  structure
 under  subsection  (a)(2)  of section 47 of the federal internal revenue
 code with respect to a certified historic structure located  within  the
 state;  provided, however, the credit shall not exceed one hundred thou
 sand dollars.  Tax credits allowed pursuant to  this  section  shall  be
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD14821-01-2
 
       S. 7557                             2
 allowed  in the taxable year that the qualified rehabilitation is placed
 in service under section 167 of the federal internal revenue code.
 If  the  taxpayer  is a partner in a partnership or a shareholder of a
 New York

S corporation, then the credit  cap  imposed  by  this  section
 shall  be  applied  at  the  entity  level, so that the aggregate credit
 allowed to all the partners or shareholders of each such entity  in  the
 taxable  year  does not exceed the credit cap that is applicable in that
 taxable year.
 If the credit allowed the taxpayer pursuant  to  section  47  of  the
 internal  revenue  code  with  respect  to a qualified rehabilitation is
 recaptured pursuant to subsection (a) of  section  50  of  the  internal
 revenue code, a portion of the credit allowed under this section must be
 added  back  in  the same taxable year and in the same proportion as the
 federal recapture.  If the amount of the  credit  allowable  under  this
 section  for  any  taxable year shall exceed the taxpayer's tax for such
 year, the excess may be carried over to the following year or years, and
 may be applied against the taxpayer's tax for such year or years.
 

S 2. This act shall take effect immediately.

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