S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    961
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                              January 9, 2019
                                ___________
 
 Introduced  by  Sens.  YOUNG,  FUNKE,  ORTT, RANZENHOFER, SEWARD -- read
   twice and ordered printed, and when printed to  be  committed  to  the
   Committee on Investigations and Government Operations
 
 AN ACT to amend the tax law, the general municipal law, the real proper-
   ty  tax  law  and  the agriculture and markets law, in relation to the
   establishment of a working farmland property tax credit for owners  of
   agricultural assessment land within agricultural districts
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative intent. The legislature  hereby  finds,  deter-
 mines and declares that the New York agriculture industry has a substan-
 tial  impact on the overall economic health and well-being of the state.
 The state constitution provides that the policy of the state shall be to
 encourage the development and improvement of its agricultural lands  for
 the  production  of food and other agricultural products. The activities
 of farmers and the protection of viable farmland provide  many  environ-
 mental  benefits to society, such as open space, scenic vistas, wetlands
 that aid in water purification, plants that purify air, and food,  water
 and habitat for people, domestic animals and wildlife.  Therefore, it is
 in the public interest to encourage the maintenance of existing farmland
 and  agricultural  lands for farming purposes, thereby helping to ensure
 the continued economic viability of farm operations.
   § 2. Section 210-B of the tax law is amended by adding a new  subdivi-
 sion 11-a to read as follows:
   11-A.  WORKING  FARMLAND PROPERTY TAX CREDIT. (A) GENERAL. IN THE CASE
 OF A TAXPAYER THAT OWNS AGRICULTURAL ASSESSMENT LAND WHICH  IS  ELIGIBLE
 FOR  THE  WORKING  FARMLAND  PROPERTY TAX CREDIT ESTABLISHED PURSUANT TO
 ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW  AND  AN  AGRICULTURAL
 DISTRICT  ESTABLISHED PURSUANT TO ARTICLE TWENTY-FIVE-AA OF THE AGRICUL-
 TURE AND MARKETS LAW, AND  THE  TAXPAYER  HAS  EXECUTED  A  COVENANT  TO
 RESTRICT  THE USE OF SUCH LAND PURSUANT TO SECTION NINE HUNDRED SEVENTY-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD03011-01-9

 S. 961                              2
 
 TWO-G OF THE GENERAL MUNICIPAL LAW, THERE SHALL BE ALLOWED A CREDIT  FOR
 THE  SCHOOL  DISTRICT,  TOWN  AND  COUNTY PROPERTY TAXES PAID DURING THE
 TAXABLE YEAR ON SUCH LAND; PROVIDED, HOWEVER, THAT  THE  AMOUNT  OF  THE
 CREDIT SHALL BE LIMITED TO THE TAXES PAID ON THE AGRICULTURAL ASSESSMENT
 VALUE  OF  SUCH  LAND  AS CALCULATED BY THE ASSESSOR PURSUANT TO SECTION
 THREE HUNDRED FIVE OR THREE HUNDRED SIX OF THE AGRICULTURE  AND  MARKETS
 LAW.  IN  THE EVENT THAT AGRICULTURAL ASSESSMENT LAND IS REMOVED FROM AN
 AGRICULTURAL DISTRICT PURSUANT TO ARTICLE TWENTY-FIVE-AA OF THE AGRICUL-
 TURE AND MARKETS LAW, A TAXPAYER THAT OWNS SUCH LAND SHALL  CONTINUE  TO
 BE  ELIGIBLE FOR THE CREDIT PROVIDED BY THIS SUBDIVISION FOR THE REMAIN-
 DER OF THE TERM OF THE EIGHT YEAR COVENANT.
   (B) SCHOOL DISTRICT PROPERTY TAXES. FOR PURPOSES OF THIS  SUBDIVISION,
 THE  TERM  "SCHOOL  DISTRICT  PROPERTY  TAXES" MEANS ALL PROPERTY TAXES,
 SPECIAL AD VALOREM LEVIES AND SPECIAL ASSESSMENTS, EXCLUSIVE  OF  PENAL-
 TIES  AND  INTEREST, LEVIED FOR SCHOOL DISTRICT PURPOSES ON THE AGRICUL-
 TURAL ASSESSMENT LAND OWNED BY THE TAXPAYER.
   (C) TOWN AND COUNTY PROPERTY TAXES. FOR PURPOSES OF THIS  SUBDIVISION,
 THE  TERM  "TOWN  AND  COUNTY  PROPERTY TAXES" MEANS ALL PROPERTY TAXES,
 SPECIAL AD VALOREM LEVIES AND SPECIAL ASSESSMENTS, EXCLUSIVE  OF  PENAL-
 TIES  AND  INTEREST, LEVIED FOR TOWN AND COUNTY PURPOSES ON THE AGRICUL-
 TURAL ASSESSMENT LAND OWNED BY THE TAXPAYER.
   (D) AGRICULTURAL ASSESSMENT LAND. THE  TERM  "AGRICULTURAL  ASSESSMENT
 LAND"  MEANS  LAND  WHICH RECEIVES OR IS ELIGIBLE TO RECEIVE AN AGRICUL-
 TURAL ASSESSMENT FOR THE TAXABLE YEAR PURSUANT TO SECTION THREE  HUNDRED
 FIVE  OR  THREE HUNDRED SIX OF THE AGRICULTURE AND MARKETS LAW. AGRICUL-
 TURAL ASSESSMENT LAND ALSO INCLUDES LAND SET ASIDE OR  RETIRED  UNDER  A
 FEDERAL SUPPLY MANAGEMENT OR SOIL CONSERVATION PROGRAM.
   (E) NONQUALIFIED USE OF AGRICULTURAL ASSESSMENT LAND. (1) NO CREDIT IN
 CONVERSION  YEAR. IN THE EVENT THAT AGRICULTURAL ASSESSMENT LAND, OR ANY
 PORTION OF SUCH LAND, IS CONVERTED TO  NONQUALIFIED  USE,  CREDIT  UNDER
 THIS  SUBDIVISION SHALL NOT BE ALLOWED WITH RESPECT TO SUCH PROPERTY FOR
 THE TAXABLE YEAR OF CONVERSION (THE CONVERSION YEAR).
   (2) CREDIT RECAPTURE. IF THE  CONVERSION  OF  AGRICULTURAL  ASSESSMENT
 LAND, OR ANY PORTION OF SUCH LAND, TO NONQUALIFIED USE OCCURS DURING THE
 PERIOD  OF  THE EIGHT TAXABLE YEARS FOLLOWING THE TAXABLE YEAR FOR WHICH
 THE CREDIT UNDER THIS SUBDIVISION WAS LAST CLAIMED WITH RESPECT TO  SUCH
 PROPERTY,  THE  CREDITS  ALLOWED  WITH  RESPECT TO SUCH PROPERTY FOR THE
 TAXABLE YEARS PRIOR TO THE CONVERSION YEAR, MULTIPLIED  BY  TWO  HUNDRED
 PERCENT, MUST BE ADDED BACK IN THE CONVERSION YEAR.
   (3)  EXCEPTION  TO RECAPTURE. SUBPARAGRAPH TWO OF THIS PARAGRAPH SHALL
 NOT APPLY TO THE CONVERSION OF LAND WHERE THE CONVERSION IS BY REASON OF
 INVOLUNTARY CONVERSION, WITHIN THE MEANING OF SECTION ONE THOUSAND THIR-
 TY-THREE OF THE INTERNAL REVENUE CODE.
   (4) CONVERSION TO NONQUALIFIED USE. FOR PURPOSES  OF  THIS  PARAGRAPH,
 CONVERSION TO NONQUALIFIED USE SHALL MEAN THAT SUCH LAND IS CONVERTED TO
 A  USE  WHICH  WOULD DISQUALIFY SUCH LAND FOR AN AGRICULTURAL ASSESSMENT
 UNDER SECTION THREE HUNDRED FIVE OR THREE HUNDRED SIX OF THE AGRICULTURE
 AND MARKETS LAW.
   (F) IN NO EVENT SHALL THE  CREDIT  PROVIDED  IN  THIS  SUBDIVISION  BE
 ALLOWED  IN AN AMOUNT WHICH WILL REDUCE THE TAX PAYABLE TO LESS THAN THE
 HIGHER OF  THE AMOUNTS PRESCRIBED IN PARAGRAPHS (B) AND (C) OF  SUBDIVI-
 SION  ONE  OF  THIS SECTION. IF, HOWEVER, THE AMOUNT OF CREDIT ALLOWABLE
 UNDER THIS SUBDIVISION  FOR ANY TAXABLE YEAR REDUCES  THE  TAX  TO  SUCH
 AMOUNT,  ANY AMOUNT OF CREDIT NOT DEDUCTIBLE IN SUCH TAXABLE YEAR MAY BE
 CARRIED OVER TO THE FOLLOWING  YEAR OR YEARS AND MAY  BE  DEDUCTED  FROM
 THE TAXPAYER'S TAX FOR SUCH YEAR OR YEARS. PROVIDED, HOWEVER, IN LIEU OF

 S. 961                              3

 CARRYING  OVER THE UNUSED PORTION OF SUCH CREDIT, THE TAXPAYER MAY ELECT
 TO TREAT SUCH UNUSED PORTION AS AN  OVERPAYMENT OF TAX TO BE CREDITED OR
 REFUNDED IN ACCORDANCE WITH THE PROVISIONS    OF  SECTION  ONE  THOUSAND
 EIGHTY-SIX OF THIS CHAPTER EXCEPT THAT NO INTEREST SHALL BE PAID ON SUCH
 OVERPAYMENT.
   (G)  A TAXPAYER SHALL REDUCE CREDITS CLAIMED UNDER THIS SUBDIVISION BY
 ANY CREDITS CLAIMED UNDER SUBDIVISION ELEVEN OF  THIS  SECTION  FOR  THE
 TAXABLE YEAR.
   §  3. Section 606 of the tax law is amended by adding a new subsection
 (n-3) to read as follows:
   (N-3) WORKING FARMLAND PROPERTY TAX CREDIT. (1) GENERAL. IN  THE  CASE
 OF A TAXPAYER THAT OWNS AGRICULTURAL ASSESSMENT LAND WHICH IS LOCATED IN
 AN  AGRICULTURAL DISTRICT ESTABLISHED PURSUANT TO ARTICLE TWENTY-FIVE-AA
 OF THE AGRICULTURE AND MARKETS LAW, AND  THE  TAXPAYER  HAS  EXECUTED  A
 COVENANT  TO  RESTRICT  THE  USE  OF  SUCH LAND PURSUANT TO SECTION NINE
 HUNDRED SEVENTY-TWO-G OF THE  GENERAL  MUNICIPAL  LAW,  THERE  SHALL  BE
 ALLOWED A CREDIT FOR THE SCHOOL DISTRICT, TOWN AND COUNTY PROPERTY TAXES
 PAID  DURING  THE TAXABLE YEAR ON SUCH LAND; PROVIDED, HOWEVER, THAT THE
 AMOUNT OF THE CREDIT SHALL BE LIMITED TO THE TAXES PAID ON THE  AGRICUL-
 TURAL ASSESSMENT VALUE OF SUCH LAND AS CALCULATED BY THE ASSESSOR PURSU-
 ANT  TO  SECTION THREE HUNDRED FIVE OR THREE HUNDRED SIX OF THE AGRICUL-
 TURE AND MARKETS LAW. SUCH CREDIT SHALL BE  ALLOWED  AGAINST  THE  TAXES
 IMPOSED  BY  THIS  ARTICLE  FOR  THE TAXABLE YEAR REDUCED BY THE CREDITS
 PERMITTED BY THIS ARTICLE. IF THE CREDIT EXCEEDS THE TAX AS SO  REDUCED,
 THE  TAXPAYER MAY RECEIVE, AND THE COMPTROLLER, SUBJECT TO A CERTIFICATE
 OF THE COMMISSIONER, SHALL PAY AS AN OVERPAYMENT, WITHOUT INTEREST,  THE
 AMOUNT OF SUCH EXCESS. IN THE EVENT THAT AGRICULTURAL ASSESSMENT LAND IS
 REMOVED  FROM  AN  AGRICULTURAL DISTRICT, A TAXPAYER THAT OWNS SUCH LAND
 SHALL CONTINUE TO BE ELIGIBLE FOR THE CREDIT PROVIDED BY  THIS  SUBDIVI-
 SION FOR THE REMAINDER OF THE TERM OF THE EIGHT YEAR COVENANT.
   (2)  SCHOOL  DISTRICT PROPERTY TAXES. FOR PURPOSES OF THIS SUBSECTION,
 THE TERM "SCHOOL DISTRICT PROPERTY  TAXES"  MEANS  ALL  PROPERTY  TAXES,
 SPECIAL  AD  VALOREM LEVIES AND SPECIAL ASSESSMENTS, EXCLUSIVE OF PENAL-
 TIES AND INTEREST, LEVIED FOR SCHOOL DISTRICT PURPOSES ON  THE  AGRICUL-
 TURAL ASSESSMENT LAND OWNED BY THE TAXPAYER.
   (3)  TOWN  AND COUNTY PROPERTY TAXES. FOR PURPOSES OF THIS SUBSECTION,
 THE TERM "TOWN AND COUNTY PROPERTY  TAXES"  MEANS  ALL  PROPERTY  TAXES,
 SPECIAL  AD  VALOREM LEVIES AND SPECIAL ASSESSMENTS, EXCLUSIVE OF PENAL-
 TIES AND INTEREST, LEVIED FOR TOWN AND COUNTY PURPOSES ON  THE  AGRICUL-
 TURAL ASSESSMENT LAND OWNED BY THE TAXPAYER.
   (4)  AGRICULTURAL  ASSESSMENT  LAND. THE TERM "AGRICULTURAL ASSESSMENT
 LAND" MEANS LAND WHICH RECEIVES OR IS ELIGIBLE TO  RECEIVE  AN  AGRICUL-
 TURAL  ASSESSMENT FOR THE TAXABLE YEAR PURSUANT TO SECTION THREE HUNDRED
 FIVE OR THREE HUNDRED SIX OF THE AGRICULTURE AND MARKETS  LAW.  AGRICUL-
 TURAL  ASSESSMENT  LAND  ALSO INCLUDES LAND SET ASIDE OR RETIRED UNDER A
 FEDERAL SUPPLY MANAGEMENT OR SOIL CONSERVATION PROGRAM.
   (5) NONQUALIFIED USE OF AGRICULTURAL ASSESSMENT LAND. (A) NO CREDIT IN
 CONVERSION YEAR. IN THE EVENT THAT AGRICULTURAL ASSESSMENT LAND, OR  ANY
 PORTION  OF  SUCH  LAND,  IS CONVERTED TO NONQUALIFIED USE, CREDIT UNDER
 THIS SUBSECTION SHALL NOT BE ALLOWED WITH RESPECT TO SUCH LAND  FOR  THE
 TAXABLE YEAR OF CONVERSION (THE CONVERSION YEAR).
   (B)  CREDIT  RECAPTURE.  IF  THE CONVERSION OF AGRICULTURAL ASSESSMENT
 LAND, OR ANY PORTION OF SUCH LAND, TO NONQUALIFIED USE OCCURS DURING THE
 PERIOD OF THE EIGHT TAXABLE YEARS FOLLOWING THE TAXABLE YEAR  FOR  WHICH
 THE  CREDIT  UNDER THIS SUBSECTION WAS LAST CLAIMED WITH RESPECT TO SUCH
 LAND, THE CREDITS ALLOWED WITH RESPECT TO  SUCH  LAND  FOR  THE  TAXABLE

 S. 961                              4
 
 YEARS  PRIOR  TO THE CONVERSION YEAR, MULTIPLIED BY TWO HUNDRED PERCENT,
 MUST BE ADDED BACK IN THE CONVERSION YEAR.
   (C)  EXCEPTION  TO RECAPTURE. SUBPARAGRAPH (B) OF THIS PARAGRAPH SHALL
 NOT APPLY TO THE CONVERSION OF LAND WHERE THE CONVERSION IS BY REASON OF
 INVOLUNTARY CONVERSION, WITHIN THE MEANING OF SECTION ONE THOUSAND THIR-
 TY-THREE OF THE INTERNAL REVENUE CODE.
   (D) CONVERSION TO NONQUALIFIED USE. FOR PURPOSES  OF  THIS  PARAGRAPH,
 CONVERSION TO NONQUALIFIED USE SHALL MEAN THAT SUCH LAND IS CONVERTED TO
 A  USE  WHICH WOULD DISQUALIFY SUCH PROPERTY FOR AN AGRICULTURAL ASSESS-
 MENT UNDER SECTION THREE HUNDRED FIVE OR THREE HUNDRED SIX OF THE  AGRI-
 CULTURE AND MARKETS LAW.
   (6)  A  TAXPAYER SHALL REDUCE CREDITS CLAIMED UNDER THIS SUBSECTION BY
 ANY CREDITS CLAIMED UNDER SUBSECTION (N) OF THIS SECTION FOR THE TAXABLE
 YEAR.
   § 4. The general municipal law is amended by adding a new article 18-D
 to read as follows:
                               ARTICLE 18-D
                   WORKING FARMLAND PROPERTY TAX CREDIT
 SECTION 972. SHORT TITLE.
         972-A. STATEMENT OF LEGISLATIVE FINDINGS AND DECLARATION.
         972-B. DEFINITIONS.
         972-C. ELIGIBILITY CRITERIA FOR WORKING  FARMLAND  PROPERTY  TAX
                  CREDIT.
         972-D. ELIGIBILITY  CRITERIA FOR APPROVAL OF COUNTY AGRICULTURAL
                  AND FARMLAND PROTECTION PLANS.
         972-E. POWERS AND DUTIES OF THE COMMISSIONER.
         972-F. APPLICATION FOR ELIGIBILITY FOR DESIGNATION  AS  ELIGIBLE
                  FOR THE WORKING FARMLAND PROPERTY TAX CREDIT.
         972-G. REVIEW OF WORKING FARMLAND DESIGNATION.
         972-H. RESTRICTION OF LANDS TO AGRICULTURAL USES.
         972-I. ANNUAL REPORT.
   §  972.  SHORT  TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS
 THE "WORKING FARMLAND PROPERTY TAX CREDIT ACT".
   § 972-A. STATEMENT OF LEGISLATIVE  FINDINGS  AND  DECLARATION.  IT  IS
 HEREBY  FOUND AND DECLARED THAT THE CONSERVATION AND PROTECTION OF AGRI-
 CULTURAL LANDS, AND THE  PROMOTION  OF  AGRICULTURE  AS  A  VITAL  LOCAL
 RESOURCE  IS  OF STATEWIDE CONCERN. IT IS THE PUBLIC POLICY OF THE STATE
 TO CONSERVE, PROTECT AND ENCOURAGE THE DEVELOPMENT  AND  IMPROVEMENT  OF
 ITS  AGRICULTURAL  LAND  FOR  PRODUCTION  OF FOOD AND OTHER AGRICULTURAL
 PRODUCTS. IT IS ALSO THE DECLARED POLICY OF THE STATE  TO  CONSERVE  AND
 PROTECT  AGRICULTURAL  LANDS  AS VALUED NATURAL AND ECOLOGICAL RESOURCES
 WHICH PROVIDE NEEDED OPEN SPACES FOR CLEAN AIR SHEDS,  AS  WELL  AS  FOR
 AESTHETIC PURPOSES. IN ORDER TO ACCOMPLISH THESE GOALS IN THE CONTEXT OF
 LOCAL PLANNING AND LAND USE DECISION-MAKING, IT IS DECLARED TO BE IN THE
 INTEREST  OF  THE  STATE TO ESTABLISH AUTHORITY AT THE TOWNSHIP LEVEL TO
 DESIGNATE THE TOWN AS ELIGIBLE FOR THE  WORKING  FARMLAND  PROPERTY  TAX
 CREDIT  TO  PROVIDE INCENTIVES AND OTHERWISE ASSIST LANDOWNERS AND TOWNS
 TO MUTUALLY ACHIEVE THESE GOALS.
   § 972-B. DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING WORDS AND
 TERMS SHALL HAVE THE FOLLOWING MEANINGS UNLESS THE CONTEXT  SHALL  INDI-
 CATE ANOTHER OR DIFFERENT MEANING OR INTENT:
   (A) "APPLICANT" SHALL MEAN THE COUNTY SUBMITTING AN APPLICATION IN THE
 MANNER AUTHORIZED BY THIS ARTICLE FOR DESIGNATION OF AN AREA AS ELIGIBLE
 FOR THE WORKING FARMLAND PROPERTY TAX CREDIT.
   (B)  "COMMISSIONER"  SHALL  MEAN  THE  COMMISSIONER OF AGRICULTURE AND
 MARKETS.

 S. 961                              5
 
   (C) "WORKING FARMLAND PROPERTY TAX CREDIT" SHALL MEAN A COUNTY  WITHIN
 THE  STATE  THAT HAS  BEEN DESIGNATED AS ELIGIBLE FOR A WORKING FARMLAND
 PROPERTY TAX CREDIT PURSUANT TO THIS ARTICLE.
   (D)  "COUNTY  AGRICULTURAL  AND FARMLAND PROTECTION PLAN" SHALL MEAN A
 PLAN THAT HAS BEEN  ADOPTED BY A COUNTY  LEGISLATIVE  BODY  PURSUANT  TO
 SECTION THREE HUNDRED TWENTY-FOUR OF THE AGRICULTURE AND MARKETS LAW.
   (E)  "AGRICULTURAL  AND FARMLAND PROTECTION BOARD" SHALL MEAN A COUNTY
 AGRICULTURAL AND   FARMLAND PROTECTION  BOARD  ESTABLISHED  PURSUANT  TO
 SECTION THREE HUNDRED TWO OF THE AGRICULTURE AND MARKETS LAW.
   (F)  "AGRICULTURAL  ASSESSMENT LAND" SHALL MEAN LAND WHICH RECEIVES OR
 IS ELIGIBLE TO RECEIVE AN AGRICULTURAL ASSESSMENT FOR THE  TAXABLE  YEAR
 PURSUANT  TO  SECTION  THREE  HUNDRED FIVE OR THREE   HUNDRED SIX OF THE
 AGRICULTURE AND MARKETS LAW. AGRICULTURAL ASSESSMENT LAND ALSO  INCLUDES
 LAND    SET  ASIDE  OR RETIRED UNDER A FEDERAL SUPPLY MANAGEMENT OR SOIL
 CONSERVATION PROGRAM.
   § 972-C. ELIGIBILITY CRITERIA FOR WORKING FARMLAND PROPERTY TAX  CRED-
 IT.   FOR DESIGNATION AS  ELIGIBLE FOR THE WORKING FARMLAND PROPERTY TAX
 CREDIT, A COUNTY  SHALL  ADOPT  A  COUNTY  AGRICULTURAL    AND  FARMLAND
 PROTECTION  PLAN  PURSUANT  TO  SECTION THREE HUNDRED TWENTY-FOUR OF THE
 AGRICULTURE AND   MARKETS LAW OR ITS EQUIVALENT  AS  DETERMINED  BY  THE
 COMMISSIONER.
   §  972-D. ELIGIBILITY CRITERIA FOR APPROVAL OF COUNTY AGRICULTURAL AND
 FARMLAND PROTECTION  PLANS. COUNTY AGRICULTURAL AND FARMLAND  PROTECTION
 PLANS  ADOPTED  BY  A COUNTY LEGISLATIVE BODY   PURSUANT TO THIS ARTICLE
 SHALL COMPLY WITH SECTION THREE HUNDRED TWENTY-FOUR OF  THE  AGRICULTURE
 AND MARKETS LAW AND SHALL INCLUDE BUT NOT BE LIMITED TO:
   (A) THE LOCATION OF ANY LAND OR AREAS PROPOSED TO BE PROTECTED;
   (B)  AN  ANALYSIS  OF  THE  FOLLOWING FACTORS CONCERNING ANY AREAS AND
 LANDS PROPOSED TO  BE PROTECTED:
   (I) VALUE TO THE AGRICULTURAL ECONOMY OF THE COUNTY;
   (II) OPEN SPACE VALUE;
   (III) CONSEQUENCES OF POSSIBLE CONVERSION; AND
   (IV) LEVEL OF CONVERSION PRESSURE ON THE LANDS OR AREAS PROPOSED TO BE
 PROTECTED;
   (C) AN EVALUATION OF THE EFFECT OF COUNTY PROGRAMS AND POLICIES ON THE
 VIABILITY OF FARM OPERATIONS AND THE AVAILABILITY OF LAND  FOR  AGRICUL-
 TURAL PRODUCTION;
   (D)  A DESCRIPTION OF THE ACTIVITIES, PROGRAMS AND STRATEGIES INTENDED
 TO BE USED BY THE COUNTY TO PROMOTE CONTINUED AGRICULTURAL USE.
   § 972-E. POWERS AND  DUTIES  OF  THE  COMMISSIONER.  THE  COMMISSIONER
 SHALL:
   (A)  PROMULGATE  REGULATIONS GOVERNING THE CRITERIA OF ELIGIBILITY FOR
 WORKING FARMLAND PROPERTY TAX CREDIT  DESIGNATION  AND  THE  APPLICATION
 PROCESS;
   (B)  RECEIVE  AND  REVIEW  APPLICATIONS FOR DESIGNATION OF COUNTIES AS
 ELIGIBLE FOR THE WORKING FARMLAND PROPERTY TAX CREDIT;
   (C) REVIEW THE STATUS OF ANY COUNTY PREVIOUSLY DESIGNATED AS  ELIGIBLE
 FOR THE WORKING FARMLAND PROPERTY TAX CREDIT; AND
   (D)  FILE  NOTICE OF THE DESIGNATION OR REVOCATION OF ELIGIBILITY OF A
 COUNTY FOR THE WORKING FARMLAND PROPERTY TAX CREDIT WITH THE  APPLICANT,
 THE  DEPARTMENT OF TAXATION AND FINANCE AND THE COMMISSIONER OF TAXATION
 AND FINANCE.
   § 972-F. APPLICATION FOR ELIGIBILITY FOR DESIGNATION AS  ELIGIBLE  FOR
 THE  WORKING FARMLAND PROPERTY TAX CREDIT. (A) A COUNTY LEGISLATIVE BODY
 MAY ADOPT A RESOLUTION AUTHORIZING THE TOWN TO  PREPARE  AND  SUBMIT  AN
 APPLICATION  TO THE COMMISSIONER FOR DESIGNATION OF THE COUNTY AS ELIGI-

 S. 961                              6
 
 BLE FOR THE WORKING FARMLAND PROPERTY TAX CREDIT; AND  THE  ADOPTION  OF
 SUCH  RESOLUTION BY THE COUNTY SHALL BE A PREREQUISITE TO THE SUBMISSION
 OF AN APPLICATION FOR SUCH DESIGNATION. SUCH RESOLUTION SHALL INCLUDE  A
 DESCRIPTION  OF  SUCH  AREA INCLUDING THE TAX MAP IDENTIFICATION NUMBERS
 FOR ALL PARCELS THAT WOULD BE ELIGIBLE FOR THE WORKING FARMLAND PROPERTY
 TAX CREDIT.
   (B) EACH APPLICATION SHALL:
   (I) BE PREPARED IN A MANNER AND FORM PRESCRIBED BY REGULATIONS PROMUL-
 GATED BY THE COMMISSIONER, AND SHALL INCLUDE WRITTEN CONFIRMATION BY THE
 COUNTY LEGISLATIVE BODY VERIFYING THAT THE INFORMATION CONTAINED IN  THE
 APPLICATION  IS  ACCURATE  AND  COMPLETE TO THE BEST OF HIS OR HER KNOW-
 LEDGE;
   (II) INCLUDE EVIDENCE OF THE ADOPTION OF  A  COUNTY  AGRICULTURAL  AND
 FARMLAND PROTECTION PLAN OR ITS EQUIVALENT, WHICH HAS BEEN PREPARED IN A
 MANNER AND FORM PRESCRIBED BY REGULATIONS PROMULGATED BY THE COMMISSION-
 ER,  BY  THE  GOVERNING  BODY OF THE COUNTY WHICH IS APPLYING FOR DESIG-
 NATION AS ELIGIBLE FOR THE WORKING FARMLAND PROPERTY TAX CREDIT;
   (III) INCLUDE A TAX MAP OR OTHER MAP OF THE COUNTY  WHICH  SETS  FORTH
 THE  TAX  MAP  NUMBERS OF ALL PARCELS OF LAND THAT WOULD BE ELIGIBLE FOR
 THE WORKING FARMLAND PROPERTY TAX CREDIT; AND
   (IV) INCLUDE A COPY OF THE REPORT OF THE COUNTY AGRICULTURAL AND FARM-
 LAND PROTECTION BOARD.
   (C) WITHIN NINETY DAYS  AFTER  RECEIPT  OF  WRITTEN  NOTICE  FROM  THE
 COMMISSIONER  THAT  AN  APPLICATION  FOR DESIGNATION AS ELIGIBLE FOR THE
 WORKING FARMLAND PROPERTY TAX  CREDIT  HAS  BEEN  APPROVED,  THE  COUNTY
 LEGISLATIVE  BODY  SHALL  COMMENCE  THE PROCESS TO ADOPT A COMPREHENSIVE
 PLAN, OR AMEND AN EXISTING COMPREHENSIVE PLAN, PURSUANT TO  SECTION  TWO
 HUNDRED  THIRTY-NINE-D  OF  THIS CHAPTER, TO INCLUDE THE COUNTY AGRICUL-
 TURAL AND FARMLAND PROTECTION PLAN WHICH HAS BEEN ADOPTED BY THE  COUNTY
 AGRICULTURAL  AND  FARMLAND PROTECTION BOARD AND APPROVED BY THE COMMIS-
 SIONER PURSUANT TO THIS SECTION. THE WORKING FARMLAND PROPERTY TAX CRED-
 IT SHALL NOT BE EFFECTIVE UNLESS THE  COUNTY'S  COMPREHENSIVE  PLAN,  OR
 AMENDMENT   OF  SUCH  PLAN,  INCLUDES  SUCH  AGRICULTURAL  AND  FARMLAND
 PROTECTION PLAN. THE WORKING  FARMLAND  PROPERTY  TAX  CREDIT  SHALL  BE
 EFFECTIVE FOR THE TAX YEAR IMMEDIATELY UPON THE ADOPTION OF THE COUNTY'S
 COMPREHENSIVE  PLAN, OR AMENDMENT OF SUCH PLAN, WHICH INCLUDES THE AGRI-
 CULTURAL AND FARMLAND PROTECTION PLAN.
   (D) WITHIN THIRTY DAYS AFTER THE EFFECTIVE DATE OF THE  WORKING  FARM-
 LAND  PROPERTY  TAX  CREDIT, THE COUNTY CLERK SHALL RECORD A COPY OF THE
 TAX MAP OR OTHER MAP OF THE PARCELS THAT WOULD BE ELIGIBLE FOR THE WORK-
 ING FARMLAND PROPERTY TAX CREDIT AS APPROVED BY THE COMMISSIONER  PURSU-
 ANT TO THIS ARTICLE.
   § 972-G. REVIEW OF WORKING FARMLAND DESIGNATION. (A) THE COUNTY LEGIS-
 LATIVE  BODY  MAY,  BY RESOLUTION, SUBMIT TO THE COMMISSIONER ONCE EVERY
 EIGHT YEARS A REQUEST TO REVIEW  AN  EXISTING  WORKING  FARMLAND  DESIG-
 NATION.  THE  RESOLUTION SHALL INCLUDE THE REASONS AND JUSTIFICATION FOR
 THE PROPOSED REVIEW ALONG WITH THE TAX MAP OR OTHER MAP OF THE  ELIGIBLE
 PARCELS.  THE  COMMISSIONER  SHALL REVIEW THE DESIGNATION SUBJECT TO THE
 FOLLOWING PROVISIONS:
   (I) THE COMMISSIONER SHALL DETERMINE WHETHER A CHANGE IN CIRCUMSTANCES
 HAS OCCURRED SINCE THE DESIGNATION OF ELIGIBILITY WHICH MAKES THE COUNTY
 NO LONGER ELIGIBLE.
   (II) ANY DESIGNATION OF A COUNTY AS ELIGIBLE FOR THE WORKING  FARMLAND
 PROPERTY  TAX CREDIT SHALL REMAIN IN EFFECT FOR A MINIMUM OF THREE YEARS
 FROM THE EFFECTIVE DATE OF THE DESIGNATION.

 S. 961                              7
 
   (B) ANY REQUEST BY A COUNTY LEGISLATIVE BODY TO REMOVE THE  COUNTY  AS
 ELIGIBLE FOR THE WORKING FARMLAND PROPERTY TAX CREDIT MUST INCLUDE PROOF
 THAT  THE  COUNTY  PROVIDED  PUBLIC  NOTICE  OF  SUCH  PROPOSED REMOVAL,
 PROVIDED INDIVIDUAL NOTICE IN WRITING TO PERSONS, AS LISTED ON THE  MOST
 RECENT  ASSESSMENT  ROLLS,  WHOSE  LAND  IS  THE SUBJECT OF THE PROPOSED
 REMOVAL AND HELD A PUBLIC HEARING AT LEAST  THIRTY  DAYS  PRIOR  TO  THE
 REQUEST TO THE COMMISSIONER.
   (C)  PRIOR  TO  SUBMISSION  TO  THE  COMMISSIONER OF THE RESOLUTION TO
 REMOVE THE COUNTY AS ELIGIBLE FOR  THE  WORKING  FARMLAND  PROPERTY  TAX
 CREDIT,  THE  COUNTY  AGRICULTURAL  AND FARMLAND PROTECTION BOARD SHALL,
 WITHIN FORTY-FIVE DAYS REPORT TO THE COUNTY LEGISLATIVE BODY ITS  RECOM-
 MENDATIONS  CONCERNING  THE  PROPOSED REMOVAL OF ELIGIBILITY. THE COUNTY
 LEGISLATIVE BODY SHALL PROVIDE A COPY OF THE REPORT, OR,  IN  THE  EVENT
 THAT  NO  REPORT  IS  PROVIDED  BY  THE COUNTY AGRICULTURAL AND FARMLAND
 PROTECTION BOARD, A STATEMENT OF THE FACTS AND CIRCUMSTANCES  CONCERNING
 THE  COUNTY  LEGISLATIVE  BODY'S REFERRAL TO THE COUNTY AGRICULTURAL AND
 FARMLAND PROTECTION BOARD, TO THE COMMISSIONER.
   (D) UPON THE REMOVAL OF ELIGIBILITY FOR THE WORKING FARMLAND  PROPERTY
 TAX  CREDIT  AS  PROVIDED  IN  THIS SECTION, THE COMMISSIONER SHALL FILE
 NOTICE OF SUCH ACTION AS REQUIRED BY SECTION NINE HUNDRED  SEVENTY-TWO-E
 OF THIS ARTICLE.
   (E)  WITHIN  THIRTY  DAYS  AFTER  RECEIPT  OF  WRITTEN NOTICE FROM THE
 COMMISSIONER THAT A REQUEST FOR REMOVAL OF THE WORKING FARMLAND PROPERTY
 TAX CREDIT HAS BEEN APPROVED, THE COUNTY CLERK SHALL RECORD SUCH  NOTICE
 RELATING TO THE PARCELS SO AFFECTED.
   §  972-H.  RESTRICTION  OF  LANDS TO AGRICULTURAL USES. (A) ANY COUNTY
 WHICH IS ELIGIBLE FOR THE WORKING FARMLAND PROPERTY TAX CREDIT  PURSUANT
 TO  THIS  ARTICLE  SHALL UTILIZE A COVENANT OR DEED RESTRICTION WITH THE
 LANDOWNER TO LIMIT THE USE  OF  AGRICULTURAL  ASSESSMENT  LAND  FOR  THE
 PURPOSE  OF  PRESERVING SUCH LAND SUBJECT TO THE CONDITIONS SET FORTH IN
 THE COVENANT AND IN THIS ARTICLE. THE OWNER OF SUCH LAND  SHALL  FURNISH
 THE COUNTY WITH SUCH INFORMATION AS THE COUNTY SHALL REQUIRE IN ORDER TO
 ENABLE IT TO DETERMINE THE ELIGIBILITY OF THE LAND INVOLVED.
   (B)  IF  SUCH  A COVENANT IS MADE WITH ANY LANDOWNER, THE COUNTY SHALL
 OFFER SUCH A COVENANT UNDER SIMILAR TERMS TO EVERY OTHER OWNER OF  AGRI-
 CULTURAL  ASSESSMENT  LAND  LOCATED  IN  AN AGRICULTURAL DISTRICT IN THE
 COUNTY.
   (C) EVERY COVENANT SHALL PROVIDE FOR THE EXCLUSION OF USES OTHER  THAN
 AGRICULTURAL,  AND  OTHER  THAN THOSE COMPATIBLE WITH AGRICULTURAL USES,
 FOR  THE DURATION OF THE COVENANT AND BE BINDING UPON, AND INURE TO  THE
 BENEFIT OF, ALL SUCCESSORS IN INTEREST OF THE OWNER.
   (D)  EACH  COVENANT SHALL BE FOR A TERM OF EIGHT YEARS AND SHALL AUTO-
 MATICALLY BE RENEWED EACH YEAR UNLESS THE LANDOWNER  FILES  NOTICE  WITH
 THE COUNTY CLERK.
   (E)  NO  LATER  THAN TWENTY DAYS AFTER A COUNTY ENTERS INTO A COVENANT
 WITH A LANDOWNER PURSUANT TO THIS SECTION, THE COUNTY CLERK SHALL RECORD
 THE COVENANT, WHICH SHALL DESCRIBE THE LAND SUBJECT  THERETO,  INCLUDING
 THE  TAX  MAP  IDENTIFICATION  NUMBER OR NUMBERS FOR SUCH LAND, TOGETHER
 WITH A REFERENCE TO THE MAP SHOWING THE  LOCATION  OF  THE  AGRICULTURAL
 DISTRICT  IN  WHICH  THE  PROPERTY LIES. FROM AND AFTER THE TIME OF SUCH
 RECORDATION SUCH COVENANT  SHALL  IMPART  SUCH  NOTICE  THEREOF  TO  ALL
 PERSONS AS IS AFFORDED BY THE RECORDING LAWS OF THIS STATE.
   (F)  THE COUNTY MAY BRING ANY ACTION IN COURT NECESSARY TO ENFORCE ANY
 COVENANT, INCLUDING, BUT NOT LIMITED TO, AN ACTION TO ENFORCE THE COVEN-
 ANT BY INJUNCTION.

 S. 961                              8
 
   § 972-I. ANNUAL REPORT. EACH COUNTY WHICH  BECOMES  ELIGIBLE  FOR  THE
 WORKING  FARMLAND PROPERTY TAX CREDIT ESTABLISHED PURSUANT TO THIS ARTI-
 CLE SHALL EVERY EIGHT YEARS FILE WITH THE COMMISSIONER AND  THE  COMMIS-
 SIONER  OF TAXATION AND FINANCE A REPORT CONCERNING THE STATUS OF ELIGI-
 BLE   AGRICULTURAL   LAND.   THE   REPORT  SHALL  INCLUDE  THE  TAX  MAP
 IDENTIFICATION NUMBERS FOR ALL PARCELS IN THE COUNTY FOR WHICH  A  LAND-
 OWNER HAS FILED A NON-AGRICULTURAL DEVELOPMENT COVENANT PURSUANT TO THIS
 ARTICLE AND THE TOTAL NUMBER OF ACRES IN THE COUNTY WHICH ARE SUBJECT TO
 SUCH  A  NON-AGRICULTURAL DEVELOPMENT COVENANT. IN THE EVENT THAT ANY OF
 THESE PARCELS OF LAND HAVE BEEN CONVERTED TO A USE WHICH WOULD DISQUALI-
 FY SUCH LAND FOR AN AGRICULTURAL ASSESSMENT UNDER SECTION THREE  HUNDRED
 FIVE OR THREE HUNDRED SIX OF THE AGRICULTURE AND MARKETS LAW, THE REPORT
 SHALL IDENTIFY SUCH PARCELS.
   § 5. Paragraph (a) of subdivision 1 of section 922 of the real proper-
 ty  tax  law  is  amended  by  adding a new subparagraph (xv) to read as
 follows:
   (XV) A STATEMENT AS TO WHETHER THE PARCEL IS ELIGIBLE  FOR  A  WORKING
 FARMLAND  PROPERTY  TAX CREDIT CREATED PURSUANT TO ARTICLE EIGHTEEN-D OF
 THE GENERAL MUNICIPAL LAW.
   § 6. Subdivision 1 of section 302 of the agriculture and  markets  law
 is amended by adding a new paragraph (f) to read as follows:
   (F) THE COUNTY AGRICULTURAL AND FARMLAND PROTECTION BOARD SHALL ADVISE
 THE COUNTY LEGISLATIVE BODY IN RELATION TO THE PROPOSED ESTABLISHMENT OR
 REVIEW  OF ANY WORKING FARMLAND PROPERTY TAX CREDIT ESTABLISHED PURSUANT
 TO ARTICLE EIGHTEEN-D OF THE GENERAL  MUNICIPAL  LAW.  THE  BOARD  SHALL
 RENDER  EXPERT  ADVICE  RELATING  TO  THE  DESIRABILITY  OF SUCH ACTION,
 INCLUDING ADVICE AS TO THE NATURE OF FARMING AND FARM  RESOURCES  WITHIN
 THE  COUNTY  AND  THE  EXTENT  TO WHICH IT IS CONSISTENT WITH THE COUNTY
 AGRICULTURAL AND FARMLAND PROTECTION PLAN THAT  MAY  HAVE  BEEN  ADOPTED
 PURSUANT  TO  SECTION  THREE  HUNDRED TWENTY-FOUR OF THE AGRICULTURE AND
 MARKETS LAW.
   § 7. This act shall take effect on the one hundred eightieth day after
 it shall have become a law and shall apply to taxable years beginning on
 or after the effective date of this act.   Provided  that  any  rule  or
 regulation  necessary for the timely implementation of the provisions of
 this act on its effective date may be  promulgated  on  or  before  such
 effective date.