S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1951
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                             January 16, 2021
                                ___________
 
 Introduced  by  Sen.  AKSHAR -- 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  exemption
   from taxation for non-profit organizations
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 420-a of the real property tax law
 is amended by adding a new paragraph (c) to read as follows:
   (C) WHEN USED IN THIS SECTION:
   (I) "ORGANIZED OR CONDUCTED EXCLUSIVELY" SHALL REQUIRE THAT  A  CORPO-
 RATION'S OR ASSOCIATION'S ORGANIZATIONAL DOCUMENTS LIMIT THE PURPOSES OF
 SUCH  CORPORATION  OR ASSOCIATION TO ONE OR MORE EXEMPT PURPOSES, AS SET
 OUT IN PARAGRAPH (A) OF THIS SUBDIVISION;
   (II) "USED EXCLUSIVELY" SHALL REQUIRE THAT A  CORPORATION  OR  ASSOCI-
 ATION USE ITS PROPERTY ONLY FOR EXEMPT PURPOSES. USES WHICH MAY BE HELP-
 FUL  TO  THE EXEMPT ORGANIZATION BUT WOULD NOT, IF DONE ON LAND OWNED BY
 AN OTHERWISE TAXABLE ENTITY, QUALIFY FOR TAX EXEMPTION SHALL SUBJECT THE
 PORTION OF THE PROPERTY SO USED TO REAL PROPERTY TAXATION.  SUCH  PHRASE
 SHALL BE STRICTLY CONSTRUED AND SHALL BE INTENDED TO LIMIT EXEMPTIONS TO
 PROPERTY  AND IMPROVEMENTS UTILIZED SOLELY FOR EXEMPT PURPOSES. WHERE AN
 EXEMPT ORGANIZATION UTILIZES ITS LAND FOR OTHER PURPOSES, INCLUDING  BUT
 NOT  LIMITED  TO,  THE SALE OF PRODUCTS MADE ON THE LAND COMMERCIALLY OR
 THE SALE  OF  TIMBER,  OR  OTHERWISE  LEASES  THE  LAND  FOR  COMMERCIAL
 PURPOSES, OR ALLOWS THE PLACEMENT OR CONSTRUCTION OF IMPROVEMENTS ON THE
 LAND  FOR  COMMERCIAL  PURPOSES,  THAT  PORTION OF SUCH PROPERTY AND ANY
 IMPROVEMENTS THEREON IF SUCH IMPROVEMENTS ARE NOT  UTILIZED  FOR  WHOLLY
 EXEMPT PURPOSES SHALL BE SUBJECT TO REAL PROPERTY TAXATION;
   (III) "RELIGIOUS PURPOSES" SHALL MEAN AN ACTIVITY THAT IS FUNDAMENTAL,
 NECESSARY  AND  INTRINSIC  TO THE PRACTICE OF A RELIGION.  MEDITATION OR
 THE MAINTENANCE OF OPEN SPACE OR PROPERTY UTILIZED PRIMARILY FOR  HIKING
 SHALL  NOT BE CONSIDERED A FUNDAMENTAL OR INTRINSIC RELIGIOUS PURPOSE. A
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD04321-01-1

 S. 1951                             2
 
 CORPORATION OR ASSOCIATION ORGANIZED  OR  CONDUCTED  EXCLUSIVELY  FOR  A
 RELIGIOUS  PURPOSE  SHALL HAVE ITS OWN BELIEFS, FORM OF WORSHIP AND FORM
 OF ORGANIZATION. NO EXEMPTION MAY BE CLAIMED FOR RELIGIOUS PURPOSES  FOR
 BUILDINGS  WHICH ARE ON A PARCEL WHERE PERSONS LIVE IF SUCH PERSONS WORK
 IN INCOME PRODUCING VENTURES WHERE THE INCOME EITHER GOES TO  THE  INDI-
 VIDUAL  OR TO ANOTHER CLAIMING THE EXEMPTION OR TO AN ORGANIZATION WHICH
 IS LEGALLY ASSOCIATED OR AFFILIATED WITH THE INCOME  PRODUCING  VENTURE,
 UNLESS SUCH GOODS OR SERVICES ARE EXCLUSIVELY AND WITHOUT EXCEPTION SOLD
 TO  OR PROVIDED TO INDIVIDUALS OF THE SAME RELIGION. FOR THE PURPOSES OF
 THIS PARAGRAPH, THE TERM "INCOME" NEED NOT INCLUDE PAYMENT OF MONEY  BUT
 MAY INCLUDE THE RECEIPT BY AN INDIVIDUAL WHO HAS PROVIDED WORK OR HIS OR
 HER  FAMILY  OF  FOOD, OR CLOTHING OR SHELTER. THE FACT THAT INDIVIDUALS
 LIVE IN A CLASSLESS SOCIETY SHALL NOT BE A FACTOR IN GRANTING OR DENYING
 AN EXEMPTION BASED ON RELIGIOUS PURPOSES. THE PROVISIONS OF THIS SUBPAR-
 AGRAPH SHALL NOT AFFECT THE PROVISIONS OF SECTION FOUR  HUNDRED  THIRTY-
 SIX, FOUR HUNDRED SIXTY OR FOUR HUNDRED SIXTY-TWO OF THIS TITLE;
   (IV) "EDUCATIONAL PURPOSE" SHALL MEAN EITHER:
   (A)  AN ACTIVITY WHICH SHALL BE UNDERTAKEN IN A MANNER WHICH SATISFIES
 THE COMPULSORY EDUCATION REQUIREMENTS OF THE EDUCATION LAW OR AN  ACTIV-
 ITY WHICH IS DONE UNDER THE SUPERVISION OF AN ENTITY WHICH IS TAX EXEMPT
 PURSUANT  TO  THE NOT-FOR-PROFIT CORPORATION LAW OR THE INTERNAL REVENUE
 CODE AND THE ENTITY WHICH CONDUCTS SUCH ACTIVITIES CAN ISSUE  A  DIPLOMA
 AND  ALSO  HOLDS  A  CERTIFICATE  OF REGISTRATION ISSUED BY THE BOARD OF
 REGENTS. SUCH TERM SHALL ALSO MEAN PURPOSES WHICH ARE  EXCLUSIVELY  USED
 TO  INCREASE  THE  KNOWLEDGE  OF  INDIVIDUALS  AND WHICH ARE OWNED BY AN
 INSTITUTION OF HIGHER LEARNING OR A SCHOOL  OF  MEDICINE,  DENTISTRY  OR
 OSTEOPATHY  CREATED  BY  LAW  OR  OTHERWISE  AUTHORIZED  BY THE BOARD OF
 REGENTS OF THE STATE UNIVERSITY OF NEW YORK TO CONFER DEGREES AND  WHICH
 MEET  STANDARDS  OF  EDUCATIONAL  QUALITY  COMPARABLE TO THOSE AS MAY BE
 ESTABLISHED FROM TIME TO TIME BY THE  BOARD  OF  REGENTS  OF  THE  STATE
 UNIVERSITY  OF  NEW YORK; SUCH TERM SHALL ALSO INCLUDE PROPERTY OWNED BY
 ONE CLAIMING AN EXEMPTION FROM TAXATION FOR EDUCATIONAL  PURPOSES  WHICH
 IS  USED  TO  HOUSE  INDIVIDUALS  WHO  ARE ACTIVELY ENGAGED AT LEAST ONE
 HUNDRED TWENTY DAYS PER YEAR IN SEEKING TO SATISFY THE COMPULSORY EDUCA-
 TION REQUIREMENTS OF THE EDUCATION LAW OR  WHO  ARE  SEEKING  A  DEGREE,
 CERTIFICATE,  OR DIPLOMA, THROUGH A PROPERTY OWNER OR LESSEE WHICH HOLDS
 A CERTIFICATE OF REGISTRATION ISSUED BY THE  BOARD  OF  REGENTS  OR  WHO
 HOLDS  A  CHARTER GRANTED BY THE NEW YORK STATE EDUCATION DEPARTMENT. AN
 ENTITY CLAIMING EXEMPTION FOR EDUCATIONAL PURPOSES  SHALL  UTILIZE  EACH
 ACRE AT LEAST ONE HUNDRED TWENTY DAYS A YEAR EXCLUSIVELY FOR EDUCATIONAL
 PURPOSES IN ORDER TO MAINTAIN AN EXEMPTION FROM PROPERTY TAXATION PURSU-
 ANT TO THIS SUBPARAGRAPH; OR
   (B) PROPERTY OWNED BY AN ORGANIZATION WHICH IS A NOT-FOR-PROFIT CORPO-
 RATION OR IS OTHERWISE TAX EXEMPT PURSUANT TO THE INTERNAL REVENUE CODE,
 EACH  EXEMPT  ACRE  OF  WHICH  IS ACTIVELY AND EXCLUSIVELY USED AT LEAST
 SIXTY DAYS PER YEAR BY PERSONS UNDER  THE  AGE  OF  TWENTY-ONE  WHO  ARE
 LEARNING  SKILLS  RELATED  TO  NATURE,  THE OUTDOORS AND/OR PERSONAL AND
 CIVIC RESPONSIBILITIES.  THE PROVISIONS OF THIS  SUBPARAGRAPH  SHALL  BE
 STRICTLY INTERPRETED.  NOTWITHSTANDING ANY OTHER PORTION OF THIS SUBPAR-
 AGRAPH,  THE  PROPERTY MAY ALSO BE UTILIZED BY ORGANIZATIONS OR INDIVID-
 UALS FOR COMMUNITY MEETINGS OR COMMUNITY CLASSES OR EVENTS WHEN NO  MORE
 THAN  THE  ACTUAL  EXPENSES OF UTILIZING THE FACILITY ARE CHARGED TO THE
 ORGANIZATION OR INDIVIDUAL;  PROVIDED  NO  ACTIVITY  DESCRIBED  IN  THIS
 SUBPARAGRAPH  SHALL  COUNT  AS  PART  OF  THE DAY REQUIREMENTS OTHERWISE
 PROVIDED FOR IN THIS SUBPARAGRAPH.  PROPERTY NECESSARY FOR THE  CARRYING
 OUT  OF EDUCATIONAL PURPOSES, INCLUDING PROPERTY NECESSARY FOR TRANSPOR-

 S. 1951                             3
 
 TATION FACILITIES, ATHLETIC FACILITIES, PARKING FACILITIES, OR  ADMINIS-
 TRATIVE  OFFICES  SHALL BE CONSIDERED AN EDUCATIONAL PURPOSE IF OWNED BY
 AN ORGANIZATION WHICH OTHERWISE  QUALIFIES  AS  EXEMPT  FOR  EDUCATIONAL
 PURPOSES;
   (V)  "CHARITABLE  PURPOSES" SHALL MEAN AN ACTIVITY DONE WITHOUT PROFIT
 WHICH ACTUALLY AND EXCLUSIVELY EITHER:
   (A) UNDERTAKES SIGNIFICANT BLOOD  DONATION  INITIATIVES,  AS  WELL  AS
 OTHER  HEALTH  RELATED  INITIATIVES,  INCLUDING,  BUT NOT LIMITED TO THE
 TEACHING OF CLASSES, AND ALSO RESPONDS TO DISASTERS; OR
   (B) WHICH ACTIVELY AND EXCLUSIVELY ALLEVIATES THE CONDITION OF POOR OR
 PHYSICALLY OR MENTALLY DISABLED HUMANS. THE INTENDED BENEFICIARIES SHALL
 NOT BE SPECIFIED INDIVIDUALS AND THE SERVICES PROVIDED BY  AN  ORGANIZA-
 TION  CLAIMING CHARITABLE EXEMPTION SHALL BE OPEN TO THE PUBLIC BASED ON
 ECONOMIC OR PHYSICAL CRITERIA. AN ENTITY CLAIMING EXEMPTION FOR CHARITA-
 BLE PURPOSES SHALL UTILIZE EACH ACRE AT LEAST ONE HUNDRED TWENTY DAYS  A
 YEAR  EXCLUSIVELY  FOR  CHARITABLE  PURPOSES  IN  ORDER  TO  MAINTAIN AN
 EXEMPTION FROM PROPERTY TAXATION PURSUANT TO THIS SUBPARAGRAPH.  FOR THE
 PURPOSES OF THIS SECTION AND  SECTION  FOUR  HUNDRED  TWENTY-B  OF  THIS
 TITLE,  NO PERSON WHO RECEIVES FOOD, CLOTHING, OR HOUSING FROM AN EDUCA-
 TIONAL, CHARITABLE, RELIGIOUS,  MORAL  OR  MENTAL  IMPROVEMENT  OF  MEN,
 WOMEN,  AND  CHILDREN ENTITY SHALL BE DETERMINED TO BE POOR BECAUSE SUCH
 PERSON OR HIS OR HER FAMILY GIVES AS MUCH OR MORE OF THEIR INCOME TO THE
 CHARITABLE ENTITY OR ANOTHER ENTITY WHICH IS TAX EXEMPT PURSUANT TO  THE
 INTERNAL  REVENUE  CODE OR EXEMPT FROM REAL PROPERTY TAXATION UNDER THIS
 SECTION, OR BOTH, AS WOULD BE REQUIRED TO MAKE A DETERMINATION THAT THAT
 PERSON OR HIS OR HER SPOUSE OR CHILD IS POOR;
   (VI) "HOSPITAL PURPOSES" SHALL MEAN A HOSPICE FACILITY AS  DEFINED  IN
 ARTICLE FORTY OF THE PUBLIC HEALTH LAW AS WELL AS A HOSPITAL FACILITY OR
 INSTITUTION  ENGAGED  PRINCIPALLY  IN PROVIDING SERVICES BY OR UNDER THE
 SUPERVISION OF A PHYSICIAN FOR THE PREVENTION, DIAGNOSIS OR TREATMENT OF
 HUMAN DISEASE, PAIN, INJURY, DEFORMITY OR PHYSICAL CONDITION  AND  WHICH
 IS  CERTIFIED OR LICENSED PURSUANT TO ARTICLE TWENTY-EIGHT OF THE PUBLIC
 HEALTH LAW, AND WHICH ON AN ONGOING AND CONSTANT  BASIS  PROVIDES  OVER-
 NIGHT ACCOMMODATIONS TO THOSE IN NEED OF MEDICAL SERVICES. IT SHALL ALSO
 INCLUDE  FACILITIES  OWNED BY A HOSPITAL FACILITY OR CORPORATION RELATED
 THERETO WHICH PROVIDES MEDICAL CARE, EVEN IF NOT ON A CONSTANT BASIS. IT
 SHALL ALSO INCLUDE RELATED PARKING FACILITIES  WHICH  EXCLUSIVELY  SERVE
 THE  HOSPITAL  AS  WELL  AS  RELATED  GROUNDS WHICH ARE USED BY HOSPITAL
 PATIENTS; AND SHALL ALSO INCLUDE AN EMERGENCY ROOM, WHICH IS DEFINED  TO
 MEAN  A  CENTER OPEN ON A CONTINUOUS BASIS WHICH PROVIDES EMERGENCY CARE
 FOR THOSE IN NEED OF MEDICAL SERVICES AND WHICH IS IN THE SAME  BUILDING
 AS  A  HOSPITAL. IT SHALL NOT INCLUDE LIVING ACCOMMODATIONS FOR HOSPITAL
 PERSONNEL OR THEIR FAMILIES;
   (VII) "MORAL OR MENTAL IMPROVEMENT OF MEN, WOMEN, OR  CHILDREN"  SHALL
 INCLUDE  EACH  OF THE FOLLOWING CATEGORIES OF REAL PROPERTY DESCRIBED IN
 THIS SUBPARAGRAPH. IN ORDER TO BE EXEMPT FROM TAXATION, EACH ACRE  SHALL
 HAVE TO BE ACTIVELY AND ACTUALLY UTILIZED FOR AN EXEMPT PURPOSE AT LEAST
 ONE  HUNDRED  TWENTY  DAYS  IN  ANY  YEAR AN EXEMPTION IS CLAIMED FOR OR
 SOUGHT. IN ADDITION, THE PROPERTY, IN ADDITION TO ANY OTHER REQUIREMENT,
 SHALL BE CLASSIFIED AS NOT-FOR-PROFIT OR TAX EXEMPT UNDER  THE  INTERNAL
 REVENUE CODE.
   (A) REAL PROPERTY PRIMARILY USED TO FACILITATE OR ENHANCE THE ARTS;
   (B)  REAL  PROPERTY  PRIMARILY USED IN THE STUDY OF SCIENCES, BIOLOGY,
 AND HORTICULTURE;
   (C) REAL PROPERTY PRIMARILY USED FOR THE BENEFIT OF NON-HUMAN ANIMALS;

 S. 1951                             4
 
   (D) REAL PROPERTY WHICH IS OPEN TO THE PUBLIC AND IS  PRIMARILY  UNIM-
 PROVED  AND IS KEPT OPEN FOR HIKING, WALKING, OR FORMS OF EXERCISE WHICH
 DO NOT COMMONLY USE MECHANIZED DEVICES EXCEPT BY THOSE PERSONS  WHO  ARE
 DISABLED OR OTHERWISE UNABLE TO WALK WITHOUT MECHANIZED ASSISTANCE. SUCH
 OPEN  SPACE MAY BE OPEN TO THE PUBLIC UPON THE PAYMENT OF A FEE WHICH IS
 DIRECTLY RELATED TO THE COSTS OF MAINTAINING THE PROPERTY, INCLUDING THE
 IMPROVEMENTS THEREON. OPEN SPACE  SHALL  NOT  INCLUDE  ANY  PROPERTY  OR
 PORTION THEREFOR FROM WHICH THE PUBLIC IS EXCLUDED EXCEPT FOR EXCLUSIONS
 BASED  EXCLUSIVELY ON PUBLIC HEALTH PURPOSES, AS DETERMINED BY A GOVERN-
 MENTAL AGENCY, OR FOR PUBLIC SAFETY  REASONING,  AS  DETERMINED  BY  THE
 PROPERTY  OWNER, SUCH DETERMINATION TO BE REVIEWABLE IN ANY COURT HAVING
 EQUITY JURISDICTION AND A PRESUMPTION SHALL BE ATTACHED THERETO THAT THE
 PROPERTY OWNER'S DETERMINATION IS  REASONABLE.  ATTORNEYS  FEES  MAY  BE
 AWARDED,  AT  THE  DISCRETION OF THE COURT, FOR ANY PRIMARILY PREVAILING
 PARTY WHO COMMENCES OR DEFENDS A CIVIL ACTION BASED ON THE PUBLIC SAFETY
 ASPECTS OF THIS SUBPARAGRAPH;
   (E) "LAND TRUST" SHALL MEAN REAL PROPERTY  WHICH  IS  PRIMARILY  UNIM-
 PROVED. NO OWNER SHALL BE ENTITLED TO A PROPERTY TAX EXEMPTION AS A LAND
 TRUST  UNLESS  THAT  PROPERTY OWNER MEETS ALL OF THE FOLLOWING CRITERIA:
 (1) ENTERS INTO A CONTRACT WITH THE ASSESSING UNIT WHICH  PROVIDES  THAT
 THE  LAND  IN  THE  LAND  TRUST MAY NOT BE SOLD OR ENCUMBERED, EXCEPT BY
 MORTGAGE OR CONSERVATION EASEMENT, WITHOUT THE  PROPERTY  OWNER,  WITHIN
 THIRTY  DAYS OF SUCH SALE OR ENCUMBRANCE, ENTERING INTO A VALID CONTRACT
 TO PURCHASE LAND OF AT LEAST AN EQUAL VALUE IN THE STATE OF NEW YORK  TO
 BE  PLACED IN A LAND TRUST AND ACTUALLY SO PURCHASING WITHIN ONE YEAR OF
 ENTERING INTO SUCH CONTRACT; (2) IS  INCLUDED  AS  PART  OF  A  LAWFULLY
 ENACTED  COMPREHENSIVE  PLAN BY THE COUNTY, CITY, TOWN, OR VILLAGE WHICH
 SUCH PROPERTY IS IN OR IS  IDENTIFIED  IN  AN  OFFICIAL  OPEN  SPACE  OR
 NATURAL  RESOURCES  PROTECTION  PLAN DULY ADOPTED BY A FEDERAL, STATE OR
 LOCAL GOVERNMENT OR AGENCY THEREOF;  (3)  EXISTS  AS  A  LAND  TRUST  TO
 PROTECT ECOLOGICAL RESOURCES WHICH ARE CONSIDERED VALUABLE IN A LAWFULLY
 ENACTED  COMPREHENSIVE  PLAN  PROVIDED THAT PUBLIC ACCESS SHALL NOT BE A
 CRITERIA  IN  DETERRING  AN  EXEMPTION  FROM  TAXATION  FOR  LAND  TRUST
 PURPOSES;  AND  (4)  UNLESS  THE  GOVERNING  BOARD OF THE TOWN, CITY, OR
 VILLAGE WHERE THE PROPERTY  IS  SITUATED  PASSES  A  RESOLUTION  TO  THE
 CONTRARY,  IF  THE PURCHASE, REFERRED TO IN ITEM (A) OF THIS CLAUSE DOES
 NOT OCCUR WITHIN THE TIME LIMITATIONS PROVIDED IN SUCH  ITEM,  THE  LAND
 TRUST  SHALL  BE LIABLE FOR ALL TAX PAYMENTS WHICH SUCH LAND TRUST WOULD
 HAVE PAID ON THE PROPERTY SUCH LAND TRUST SOLD FOR THE  PERIOD  OF  TIME
 WHICH SUCH LAND TRUST WOULD HAVE OWED TO ALL LAWFUL TAXING JURISDICTIONS
 UNLESS  THE TITLE TO THE LAND SUCH LAND TRUST ENTERED INTO A CONTRACT TO
 PURCHASE WAS UNMARKETABLE OR THE SELLER OF SUCH  PROPERTY  WITHDREW  THE
 OFFER  TO  SELL  IN  WHICH CASE SUCH LAND TRUST SHALL HAVE AN ADDITIONAL
 THREE HUNDRED SIXTY-FIVE DAY PERIOD TO PURCHASE AND CLOSE TITLE ON PROP-
 ERTY IN THE STATE OF NEW YORK, THE VALUE OF WHICH IS AT LEAST  EQUAL  TO
 THE  VALUE  OF  THE  PROPERTY  SUCH  LAND  TRUST SOLD WHICH REQUIRED THE
 PURCHASE OF THE PROPERTY WHOSE TITLE WAS UNMARKETABLE OR WHOSE OFFER  TO
 SELL WAS WITHDRAWN;
   (F)  "PERSONAL  IMPROVEMENT"  SHALL MEAN REAL PROPERTY OTHER THAN THAT
 PROVIDED FOR IN CLAUSE (B) OF SUBPARAGRAPH (IV) OF THIS PARAGRAPH, WHICH
 IS USED PRIMARILY BY PERSONS UNDER THE AGE OF TWENTY-ONE WHO ARE  LEARN-
 ING  SKILLS  RELATED  TO  NATURE, THE OUTDOORS AND/OR PERSONAL AND CIVIC
 RESPONSIBILITIES. SUCH PROPERTY SHALL BE OWNED BY ORGANIZATIONS OR ASSO-
 CIATIONS WHICH ARE TAX EXEMPT UNDER THE INTERNAL REVENUE CODE.  NOTWITH-
 STANDING  ANY  PART  OF  THIS  SUBDIVISION TO THE CONTRARY, EACH ACRE OF

 S. 1951                             5
 
 PROPERTY EXEMPTED AS PERSONAL IMPROVEMENT PROPERTY NEED ONLY BE UTILIZED
 NINETY DAYS PER YEAR IN ORDER TO MAINTAIN SUCH PROPERTY'S EXEMPTION;
   (G)  "NON-SCHOLASTIC EDUCATIONAL" SHALL MEAN REAL PROPERTY OWNED BY AN
 ORGANIZATION WHICH IS TAX EXEMPT UNDER THE  INTERNAL  REVENUE  CODE  AND
 WHICH  IS  PRIMARILY  USED  TO  IMPROVE THE INTELLECTUAL CAPABILITIES OF
 HUMAN BEINGS WHICH DO NOT OTHERWISE QUALIFY FOR TAX  EXEMPTION  PURSUANT
 TO THIS SECTION;
   (H)  "RECREATIONAL"  SHALL MEAN REAL PROPERTY OWNED BY AN ORGANIZATION
 WHICH IS TAX EXEMPT UNDER THE INTERNAL REVENUE CODE AND  WHICH  PROVIDES
 RECREATIONAL  OPPORTUNITY  FOR INDIVIDUALS REGARDLESS OF ABILITY TO PAY.
 RECREATIONAL OPPORTUNITIES CAN BE EITHER INDOORS  OR  OUTDOORS  AND  MAY
 INCLUDE  OVERNIGHT  OPPORTUNITIES PRIMARILY FOR PERSONS UNDER THE AGE OF
 TWENTY-ONE YEARS;
   (I) "MEDICAL PURPOSES" SHALL MEAN REAL PROPERTY OTHERWISE OWNED BY  AN
 ORGANIZATION  WHICH  IS  TAX  EXEMPT UNDER THE INTERNAL REVENUE CODE AND
 WHICH IS NOT A HOSPITAL AS DEFINED BY THIS SECTION BUT  WHICH  QUALIFIES
 AS  A  HOSPITAL  AS DEFINED IN ARTICLE TWENTY-EIGHT OF THE PUBLIC HEALTH
 LAW. NOTWITHSTANDING ANY PROVISION OF THIS SUBDIVISION TO THE  CONTRARY,
 PROPERTY  EXEMPTED  FOR MEDICAL PURPOSES NEED NOT MEET ANY MINIMUM USAGE
 REQUIREMENT IN TERMS OF THE NUMBER OF DAYS EACH  ACRE  IS  ACTIVELY  AND
 ACTUALLY USED;
   (J)  "HOME  CARE SERVICES" SHALL MEAN REAL PROPERTY OTHERWISE OWNED BY
 AN ORGANIZATION WHICH IS TAX EXEMPT UNDER THE INTERNAL REVENUE CODE  AND
 IS  A  HOME CARE SERVICES AGENCY AS DEFINED IN ARTICLE THIRTY-SIX OF THE
 PUBLIC HEALTH LAW, NOTWITHSTANDING ANY PROVISION OF THIS SUBDIVISION  TO
 THE CONTRARY, PROPERTY EXEMPTED FOR HOME CARE SERVICES PURPOSES NEED NOT
 MEET  ANY  MINIMUM USAGE REQUIREMENT IN TERMS OF THE NUMBER OF DAYS EACH
 ACRE IS ACTIVELY AND ACTUALLY USED;
   (K) "RESIDENTIAL HEALTH CARE FACILITY" SHALL MEAN REAL PROPERTY OTHER-
 WISE OWNED BY AN ORGANIZATION WHICH  IS  TAX  EXEMPT  AS  A  RESIDENTIAL
 HEALTH  CARE  FACILITY  AS DEFINED IN ARTICLE TWENTY-EIGHT OF THE PUBLIC
 HEALTH LAW.  NOTWITHSTANDING ANY PROVISION OF THIS  SUBDIVISION  TO  THE
 CONTRARY,   PROPERTY  EXEMPTED  FOR  RESIDENTIAL  HEALTH  CARE  FACILITY
 PURPOSES NEED NOT MEET ANY MINIMUM USAGE REQUIREMENT  IN  TERMS  OF  THE
 NUMBER OF DAYS EACH ACRE IS ACTIVELY AND ACTUALLY USED;
   (L)  "OTHER MEDICAL PURPOSES" SHALL MEAN REAL PROPERTY WHICH OTHERWISE
 IS OWNED BY AN ORGANIZATION WHICH  IS  TAX  EXEMPT  UNDER  THE  INTERNAL
 REVENUE  CODE  AND IS USED TO PROVIDE MEDICAL SERVICES TO THOSE IN NEED.
 NOTWITHSTANDING ANY PROVISION OF THIS SUBDIVISION TO THE CONTRARY, PROP-
 ERTY EXEMPTED FOR OTHER MEDICAL PURPOSES NEED NOT MEET ANY MINIMUM USAGE
 REQUIREMENT IN TERMS OF THE NUMBER OF DAYS EACH  ACRE  IS  ACTIVELY  AND
 ACTUALLY USED;
   (M)  "PRIMARILY  CHARITABLE  PURPOSES"  SHALL MEAN AN ACTIVITY DONE ON
 REAL PROPERTY OWNED BY AN ORGANIZATION WHICH IS  TAX  EXEMPT  UNDER  THE
 INTERNAL  REVENUE  CODE  AND WHICH ACTUALLY AND PRIMARILY ALLEVIATES THE
 CONDITION OF  POOR  OR  PHYSICALLY  OR  MENTALLY  DISABLED  HUMANS.  THE
 INTENDED  BENEFICIARIES  SHALL  NOT  BE  SPECIFIED  INDIVIDUALS  AND THE
 SERVICES PROVIDED BY AN ORGANIZATION CLAIMING CHARITABLE EXEMPTION SHALL
 BE OPEN TO THE PUBLIC BASED ON ECONOMIC OR PHYSICAL CRITERIA; AND
   (N) "OTHER MORAL OR MENTAL IMPROVEMENT" SHALL MEAN REAL PROPERTY OWNED
 BY AN ORGANIZATION WHICH IS TAX EXEMPT UNDER THE INTERNAL  REVENUE  CODE
 AND  WHICH IS DEDICATED IN A MANNER OTHER THAN AS PROVIDED IN THIS PARA-
 GRAPH TO THE MORAL OR MENTAL IMPROVEMENT OF MEN, WOMEN, OR CHILDREN.
   § 2. Subdivision 1 of section 420-b of the real property  tax  law  is
 amended by adding a new paragraph (d) to read as follows:
   (D) WHEN USED IN THIS SECTION:

 S. 1951                             6
 
   (I)  "ORGANIZED  EXCLUSIVELY"  SHALL  REQUIRE  THAT A CORPORATION'S OR
 ASSOCIATION'S ORGANIZATIONAL DOCUMENTS LIMIT THE PURPOSE OF SUCH  CORPO-
 RATION  OR  ASSOCIATION  TO  ONE  OR MORE EXEMPT PURPOSES, AS SET OUT IN
 PARAGRAPH (A) OF THIS SUBDIVISION. FURTHERMORE, THE CORPORATION OR ASSO-
 CIATION  SHALL  NOT  BE EMPOWERED TO ENGAGE IN ACTIVITIES WHICH IN THEM-
 SELVES ARE NOT IN FURTHERANCE OF ONE OR MORE SUCH PURPOSES; AND
   (II) "USED EXCLUSIVELY" SHALL REQUIRE THAT A  CORPORATION  OR  ASSOCI-
 ATION USE ITS PROPERTY ONLY FOR EXEMPT PURPOSES. USES WHICH MAY BE HELP-
 FUL  TO  THE EXEMPT ORGANIZATION BUT WOULD NOT, IF DONE ON LAND OWNED BY
 AN OTHERWISE TAXABLE ENTITY, QUALIFY FOR TAX EXEMPTION SHALL SUBJECT THE
 PORTION OF THE PROPERTY SO USED TO REAL PROPERTY TAXATION.  SUCH  PHRASE
 SHALL BE STRICTLY CONSTRUED AND SHALL BE INTENDED TO LIMIT EXEMPTIONS TO
 PROPERTY  AND IMPROVEMENTS UTILIZED SOLELY FOR EXEMPT PURPOSES. WHERE AN
 EXEMPT ORGANIZATION UTILIZES ITS LAND FOR OTHER PURPOSES, INCLUDING  BUT
 NOT  LIMITED  TO,  THE SALE OF PRODUCTS MADE ON THE LAND COMMERCIALLY OR
 THE SALE  OF  TIMBER,  OR  OTHERWISE  LEASES  THE  LAND  FOR  COMMERCIAL
 PURPOSES, OR ALLOWS THE PLACEMENT OR CONSTRUCTION OF IMPROVEMENTS ON THE
 LAND  FOR  COMMERCIAL  PURPOSES,  THAT  PORTION OF SUCH PROPERTY AND ANY
 IMPROVEMENTS THEREON IF SUCH IMPROVEMENTS ARE NOT  UTILIZED  FOR  WHOLLY
 EXEMPT PURPOSES SHALL BE SUBJECT TO REAL PROPERTY TAXATION.
   §  3.  The  real  property  tax law is amended by adding a new section
 420-d to read as follows:
   § 420-D. STATE AID PAYMENTS FOR PROPERTIES EXEMPTED FROM TAXATION.  1.
 DEFINITIONS.  (A)  FOR  THE  PURPOSE OF THIS SECTION, THE PHRASE "TAXING
 DISTRICT" SHALL INCLUDE SCHOOLS, COUNTIES, CITIES, TOWNS,  VILLAGES,  AS
 WELL AS LAWFULLY FORMED DISTRICTS WHICH PROVIDE SERVICES, INCLUDING, BUT
 NOT  LIMITED  TO FIRE PROTECTION DISTRICTS, AMBULANCE DISTRICTS, AS WELL
 AS OTHER LAWFULLY FORMED DISTRICTS WHICH DO NOT RECEIVE PAYMENTS FROM AN
 AFFECTED PROPERTY OWNER.
   (B) FOR THE PURPOSES OF THIS SECTION, THE  PHRASE  "AFFECTED  PROPERTY
 OWNER" SHALL MEAN AN ORGANIZATION WHICH IS EXEMPT FROM TAXATION PURSUANT
 TO THE INTERNAL REVENUE CODE AND WHICH OWNS PROPERTY DESCRIBED IN CLAUSE
 (B)  OF SUBPARAGRAPH (IV) OF PARAGRAPH (C) OF SUBDIVISION ONE OF SECTION
 FOUR HUNDRED TWENTY-A OF THIS TITLE.
   2. STATE AID PAYMENTS. A TAXING DISTRICT IN WHICH PROPERTY IS SITUATED
 WHICH PROPERTY IS OWNED BY AN AFFECTED PROPERTY OWNER SHALL, SUBJECT  TO
 THE PROVISIONS OF THIS SECTION, BE ENTITLED TO RECEIVE UP TO ONE HUNDRED
 PERCENT  OF  THE  TAXES  WHICH WOULD HAVE BEEN PAID ON SUCH PROPERTY HAD
 SUCH PROPERTY NOT BEEN OWNED BY AN AFFECTED PROPERTY OWNER.
   3. APPLICATION. (A) THE CHIEF EXECUTIVE OFFICER OF A  TAXING  DISTRICT
 IN  WHICH THERE IS PROPERTY OWNED BY AN AFFECTED PROPERTY OWNER MAY MAKE
 APPLICATION FOR STATE ASSISTANCE PURSUANT TO THIS SECTION. SUCH APPLICA-
 TION SHALL BE ON A FORM DEVELOPED BY THE COMMISSIONER.  UPON RECEIPT  OF
 THE  APPLICATION  FOR STATE ASSISTANCE, SUCH PROPERTY SHALL BE VALUED BY
 THE COMMISSIONER AND THE CUMULATIVE VALUE OF ALL  SUCH  LANDS  SHALL  BE
 EQUALIZED BY APPLYING THERETO THE APPROPRIATE STATE EQUALIZATION RATE OR
 SPECIAL  EQUALIZATION  RATE  ESTABLISHED IN ACCORDANCE WITH THE RULES OF
 THE COMMISSIONER.
   (B) SUBJECT TO  AN  ACCEPTABLE  APPLICATION,  THE  COMMISSIONER  SHALL
 COMPUTE  THE AMOUNT OF STATE ASSISTANCE PAYABLE TO OR FOR THE BENEFIT OF
 EACH TAXING DISTRICT BY MULTIPLYING THE VALUE OF THE  ASSESSED  PROPERTY
 BY THE TAX RATE PER THOUSAND FOR EACH TAXING DISTRICT WHO MAKES APPLICA-
 TION  PURSUANT  TO THE PROVISIONS HEREIN. SUCH AMOUNT SHALL THEN BE PAID
 TO THE TAXING DISTRICT UPON THE AUDIT AND WARRANT  OF  THE  STATE  COMP-
 TROLLER OUT OF MONEYS APPROPRIATED BY THE LEGISLATURE. IN THE EVENT THAT
 THE  TOTAL  MONEYS  PAYABLE  PURSUANT  TO  THIS SECTION SHALL EXCEED THE

 S. 1951                             7
 
 AMOUNT APPROPRIATED BY THE LEGISLATURE IN ANY  STATE  FISCAL  YEAR,  THE
 PAYMENTS  TO  TAXING  DISTRICT SHALL BE REDUCED PROPORTIONATELY FOR EACH
 TAXING DISTRICT WHICH HAS  TIMELY  MADE  APPLICATION  PURSUANT  TO  THIS
 SECTION.
   4.  RULES.  THE  COMMISSIONER IS AUTHORIZED TO DEVELOP RULES AND REGU-
 LATIONS OR GUIDELINES FOR THE IMPLEMENTATION OF THIS SECTION.
   § 4. This act shall take effect on the first of January next  succeed-
 ing  the  date  on  which  it shall have become a law and shall apply to
 assessment rolls prepared on the basis of taxable status dates occurring
 on or after such date.