NY State Senate Bill 2009-S3496

Senate Bill S3496

2009-2010 Legislative Session

Provides an optional pilot program to establish arts-based districts in the cities of Buffalo, Rochester, Syracuse and Troy

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Archive: Last Bill Status - In Senate Committee Cultural Affairs, Tourism, Parks And Recreation Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 06, 2010	referred to cultural affairs, tourism, parks and recreation
May 05, 2009	print number 3496a
May 05, 2009	amend (t) and recommit to cultural affairs, tourism, parks and recreation
Mar 20, 2009	referred to cultural affairs, tourism, parks and recreation

Bill Amendments

Original

A (Active)

2009-S3496 - Details

Current Committee:: Senate Cultural Affairs, Tourism, Parks And Recreation

2009-S3496 - Summary

Provides an optional pilot program to establish arts-based districts in the cities of Buffalo, Rochester, Syracuse and Troy and for the repeal of the provisions pertaining thereto.

2009-S3496 - Sponsor Memo

                                 BILL NUMBER:  S3496

 TITLE OF BILL :

An act to amend the arts and cultural affairs law, the real property
tax law and the tax law, in relation to the establishment of
arts-based districts; making an appropriation therefor; and providing
for the repeal of such provisions upon expiration thereof


 PURPOSE OR GENERAL IDEA OF THE BILL :

The purpose of this bill is to provide an optional pilot program for
the cities of Buffalo, Rochester, Syracuse and Troy to establish
arts-based districts in their cities. The districts will be a benefit
to citizens by promoting artistic activities and creating jobs causing
revitalization and generating economic development in four major
Upstate Cities.

 SUMMARY OF SPECIFIC PROVISIONS :

Section one states the legislative findings.

Section two defines the terms used throughout the article.

Section three defines the responsibility and the role of the arts

based districts advisory board. The advisory board will include of the
chief executive of the urban development corporation, housing and
community renewal commissioner, director of the New York State council
on the arts and the secretary of state. The board will assist
necessary state agencies in overseeing the pilot program and provide
the Governor and the legislature with progress reports,
recommendations and will meet at least three times per year.

Section four grants the authority to the cities of Buffalo, Rochester,
Syracuse, and Troy to set the boundaries of the said district with in
the respective municipal boarders. Each district created will be
distinguished by cultural and physical resources that will contribute
to the public through educational and recreational uses.

Section five describes the state's role with in the program. The
department of economic development through the "I Love New York"
program shall provide assistance to each said municipality in
developing a tourism and marketing plan to highlight the work of art
related activity defined in subsection one of article 16 of the arts
and cultural affairs law as amended by this bill. An artist home
ownership program will provide support for the purchase and
rehabilitation of real property in the district.

Section six amends the real property tax law to allow the local
legislature in each said municipality to approve all improvement
projects within the defined district. Improvements to a residential
dwelling in any defined district may be exempt from taxation from the
dwelling's increased value attributed to improvements made to
accommodate and foster development within the district. The department
of economic development and the advisory board will create a grant
program for infrastructure improvements and housing assistance to
artists residing in the district.

Section seven amends the real property tax law by adding a new section
that will give tax incentives to district residents who make
improvements to real property for the facilitation and accommodation
of the provisions set forth within this article.

 JUSTIFICATION :

Artists and related professions have a high community value and are
cultural, social, and economic assets to any locality.  This
legislation will improve the quality of life, enhance tourism and
establish a new economy within each participating city. New York State
has a long tradition of harboring creative activities and is home to
some of the world's most distinguished museums and performing arts
venues. Through State and local incentives, the pilot cities listed
above can revitalize areas and provide distinguished community culture
in presently abandoned, economically strapped areas. By providing
incentives to artists and their small business economy, this
legislation will foster the development of new markets oriented
towards individual (as opposed to mass-produced) artistic consumer
goods and entertainment facilities. The revitalization of downtown
districts, especially in Upstate cities could create an interest in
the redevelopment of existing infrastructure instead of extending
resources and infrastructure farther from our urban centers. An art
oriented economy will offer a distinguished cultural identity that
will attract tourism related industry and other economic interests.
Therefore, creating jobs and expanding the tax base for cities lacking
a strong service oriented economy.

 PRIOR LEGISLATIVE HISTORY :
01/09/08 A8222 referred to tourism, arts and sports development
05/28/08 reported to ways and means

 FISCAL IMPLICATIONS :

If this bill is enacted, there will be a one million dollar fiscal
commitment funded by the state general fund until the provision
expires. However, the generation of new independent economies offers
the prospect of easing local tax burdens through increased economic
activity.

 EFFECTIVE DATE :
This act shall take effect immediately and shall be deemed repealed on
March 31, 2015.

2009-S3496 - Bill Text download pdf

2009-S3496A (ACTIVE) - Details

Current Committee:: Senate Cultural Affairs, Tourism, Parks And Recreation

2009-S3496A (ACTIVE) - Summary

Provides an optional pilot program to establish arts-based districts in the cities of Buffalo, Rochester, Syracuse and Troy and for the repeal of the provisions pertaining thereto.

2009-S3496A (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S3496A

 TITLE OF BILL :
An act to amend the arts and cultural affairs law, the real property
tax law and the tax law, in relation to the establishment of
arts-based districts; and providing for the repeal of such provisions
upon expiration thereof


 PURPOSE OR GENERAL IDEA OF THE BILL
The purpose of this bill is to provide an optional pilot program for
the cities of Buffalo, Rochester, Syracuse and Troy to establish
arts-based districts in their cities. The districts will be a benefit
to citizens by promoting artistic activities and creating jobs causing
revitalization and generating economic development in four major
Upstate Cities.

 SUMMARY OF SPECIFIC PROVISIONS :
Section one states the legislative findings.

Section two creates a new article 16 of the arts and cultural affairs
law that establishes Art Based Districts, provides the definition of
terms used throughout the article. It also defines the responsibility
and the role of the arts based districts advisory board as well as
grants the authority to the cities of Buffalo, Rochester, Syracuse,
and Troy to set the boundaries of the said district within the

respective municipal boarders. Each district created will be
distinguished by cultural and physical resources that will contribute
to the public through educational and recreational uses.

Section three amends the real property tax law to allow the local
legislature in each said municipality to approve all improvement
projects within the defined district.  Improvements to a residential
dwelling in any defined· district may be exempt from taxation from the
dwelling's increased value attributed to improvements made to
accommodate and foster development within the district.

Section four exempts from sales and use taxes the merchandise created
by a qualified resident of an arts-based district that is sold within
the municipality in which the artist resides.

 JUSTIFICATION :
Artists and related professions have a high community value and are
cultural, social, and economic assets to any locality.  This
legislation will improve the quality of life, enhance tourism and
establish a new economy within each participating city.  New York
State has a long tradition of harboring creative activities and is
home to some of the world's most distinguished museums and performing
arts venues. Through State and local incentives, the pilot cities
listed above can revitalize areas and provide distinguished community
culture in presently abandoned, economically strapped areas.

By providing incentives to artists and their small business economy,
this legislation will foster the development of new markets oriented
towards individual (as opposed to mass produced) artistic consumer
goods and entertainment facilities. The revitalization of downtown
districts, especially in Upstate cities could create an interest in
the redevelopment of existing infrastructure instead of extending
resources and infrastructure farther from our urban centers. An art
oriented economy will offer a distinguished cultural identity that
will attract tourism related industry and other economic interests.
Therefore, creating jobs and expanding the tax base for cities lacking
a strong service oriented economy.

 PRIOR LEGISLATIVE HISTORY :
2007-08: A.8222 (Assembly Ways and Means Committee)
 FISCAL IMPLICATIONS :
None.

 EFFECTIVE DATE :
This act shall take effect immediately and shall be deemed repealed on
March 31, 2015.

2009-S3496A (ACTIVE) - Bill Text download pdf

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

                                 3496--A

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                             March 20, 2009
                               ___________

Introduced  by  Sen. VALESKY -- read twice and ordered printed, and when
  printed to be committed to the Committee on Cultural Affairs, Tourism,
  Parks and Recreation -- committee discharged,  bill  amended,  ordered
  reprinted as amended and recommitted to said committee

AN ACT to amend the arts and cultural affairs law, the real property tax
  law  and  the  tax law, in relation to the establishment of arts-based
  districts; and providing for the repeal of such provisions upon  expi-
  ration thereof

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

  Section 1. Legislative findings. The  legislature  hereby  finds  that
artists  and  related  creative professions have high community value as
cultural, social and economic assets. When they live and work  in  iden-
tifiable districts the opportunity exists for capitalizing for the bene-
fit  of  residents  of  the  district and the community at large through
enhancing quality of life and  supporting  elements  of  a  tourism  and
artist economy.
  The legislature further finds that the cities of New York state have a
long  tradition  of  artistic creative activities and major artistic and
cultural institutions including being the home to some  of  the  world's
major art museums and performing arts venues.
  The  legislature  further  finds that collaboration between cities and
the state offers the opportunity  to  establish  viable  and  productive
arts-based districts capable of becoming a model for cities and villages
throughout the state.
  Therefore,  the  legislature  hereby  provides  for  an optional pilot
program for the cities of  Buffalo,  Rochester,  Syracuse  and  Troy  to
establish arts-based districts in their cities.
  S 2. Article 16 and section 16.01 of the arts and cultural affairs law
are  redesignated  article 17 and section 17.01, and a new article 16 is
added to read as follows:

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD02871-03-9

S. 3496--A                          2

                                ARTICLE 16
                          ARTS-BASED DISTRICTS
SECTION 16.01. DEFINITIONS.
        16.03. ARTS-BASED DISTRICTS ADVISORY BOARD.
        16.05. PILOT ARTS-BASED DISTRICTS.
        16.07. STATE ASSISTANCE AND COOPERATION.
  S 16.01. DEFINITIONS. AS USED IN THIS ARTICLE:
  1.  "ARTISTIC WORK" MEANS AN ORIGINAL AND CREATIVE WORK, WHETHER WRIT-
TEN, COMPOSED OR EXECUTED, THAT FALLS UNDER ONE OR MORE OF THE FOLLOWING
CATEGORIES:
  A. A BOOK OR OTHER WRITING;
  B. A PLAY OR PERFORMANCE OF A PLAY;
  C. A MUSICAL COMPOSITION OR THE PERFORMANCE OF A MUSICAL COMPOSITION;
  D. A PAINTING OR OTHER PICTURE;
  E. A PERFORMANCE PIECE;
  F. A SCULPTURE;
  G. TRADITIONAL OR FINE CRAFTS;
  H. THE CREATION OF A FILM OR THE ACTING WITHIN A FILM;
  I. THE CREATION OF A DANCE OR THE PERFORMANCE OF A DANCE; OR
  J. THE CREATION OF ELECTRONIC ARTS.
  2. "ARTS AND ENTERTAINMENT ENTERPRISE" MEANS A FOR-PROFIT OR  NOT-FOR-
PROFIT ENTITY DEDICATED TO VISUAL OR PERFORMING ARTS.
  3.  "QUALIFYING  RESIDENT ARTISTS" MEANS AN INDIVIDUAL WHO: A. OWNS OR
RENTS RESIDENTIAL REAL PROPERTY IN THE DISTRICT; AND
  B. DERIVES INCOME FROM THE SALE OR PERFORMANCE WITHIN THE DISTRICT  OF
ANY  ARTISTIC  WORK  THAT  THE  INDIVIDUAL WROTE, COMPOSED, OR EXECUTED,
EITHER SOLELY OR WITH ONE OR MORE OTHER INDIVIDUALS.
  4. "DISTRICT" OR "ARTS-BASED DISTRICT" SHALL MEAN  A  DISTRICT  ESTAB-
LISHED BY LOCAL LAW OR ORDINANCE PURSUANT TO SECTION 16.05 OF THIS ARTI-
CLE.
  5.  "BOARD"  MEANS  THE  STATE  ARTS-BASED DISTRICTS ADVISORY BOARD AS
ESTABLISHED IN SECTION 16.03 OF THIS ARTICLE.
  S 16.03. ARTS-BASED DISTRICTS  ADVISORY  BOARD.  1.  THERE  IS  HEREBY
ESTABLISHED  A  STATE  ARTS-BASED DISTRICTS ADVISORY BOARD TO ADVISE THE
GOVERNOR AND STATE AGENCIES ON THE PILOT PROGRAM ESTABLISHED PURSUANT TO
THIS ARTICLE. THE BOARD SHALL CONSIST OF THE CHIEF EXECUTIVE OFFICER  OF
THE  URBAN  DEVELOPMENT  CORPORATION,  THE  COMMISSIONER  OF HOUSING AND
COMMUNITY RENEWAL, THE DIRECTOR OF THE NEW YORK  STATE  COUNCIL  ON  THE
ARTS,  THE  SECRETARY OF STATE, OR THEIR DESIGNATED REPRESENTATIVES, AND
THREE PRIVATE CITIZENS REPRESENTATIVE  OF  INTERESTS  RELATING  TO  SUCH
PILOT  PROGRAM  AND APPOINTED BY THE GOVERNOR. THE PRIVATE MEMBERS SHALL
HOLD OFFICE AT THE  PLEASURE  OF  THE  GOVERNOR.  STATE  AGENCIES  SHALL
PROVIDE STAFF SERVICES AS ARE NECESSARY AND APPROPRIATE FOR THE BOARD TO
CARRY OUT ITS DUTIES UNDER THIS ARTICLE.
  2.  THE BOARD SHALL MEET AT LEAST THREE TIMES A YEAR AND SHALL FACILI-
TATE AS PRACTICABLE THE IMPLEMENTATION  OF  PILOT  PROJECTS  UNDER  THIS
ARTICLE.    THE  BOARD  SHALL  REVIEW THE PLANS FOR ARTS-BASED DISTRICTS
PURSUANT TO SECTION 16.05 OF THIS ARTICLE  AND  SHALL  FORMALLY  APPROVE
EACH  PLAN  THAT  MEETS  THE  PURPOSES OF THIS ARTICLE. IN ADDITION, THE
BOARD SHALL REVIEW AND RESPOND TO RECOMMENDATIONS AND COMMENTS FROM  THE
PILOT  COMMUNITIES ON THEIR NEEDS FOR SUPPORT IN IMPLEMENTING THIS ARTI-
CLE.
  3. DURING THE FOURTH YEAR NEXT SUCCEEDING THE EFFECTIVE DATE  OF  THIS
ARTICLE,  THE BOARD SHALL UNDERTAKE OR CAUSE TO BE UNDERTAKEN A STUDY ON
THE EFFECTIVENESS OF THE PILOT PROJECT IN EACH OF THE PILOT  CITIES  AND
SHALL PREPARE RECOMMENDATIONS FOR THE GOVERNOR AND LEGISLATURE ON WHETH-

S. 3496--A                          3

ER  AN  ARTS-BASED  ECONOMIC AND COMMUNITY DEVELOPMENT PROGRAM SHOULD BE
ESTABLISHED STATEWIDE, AND, IF SO, MAKE RECOMMENDATIONS AS TO PROVISIONS
INCLUDING STATE INCENTIVES FOR THE PROGRAM.
  S  16.05.  PILOT  ARTS-BASED  DISTRICTS. 1.   IN ADDITION TO ANY OTHER
AUTHORITY FOR SUCH PURPOSE, THE CITIES OF BUFFALO,  ROCHESTER,  SYRACUSE
AND  TROY  MAY  ESTABLISH  AN ARTS-BASED DISTRICT WITHIN ITS BOUNDARIES.
SUCH DISTRICT SHALL HAVE RESIDENTIAL AND ARTS-RELATED AND SERVICE-RELAT-
ED COMMERCIAL USES AND SHALL BE IDENTIFIED AS AN AREA PRIMARILY, BUT NOT
EXCLUSIVELY, INTENDED FOR RESIDENTIAL USE BY ARTISTS AND PERSONS WORKING
IN ARTS-RELATED ACTIVITIES WHICH SHALL BE DEEMED TO INCLUDE, BUT NOT  BE
LIMITED  TO, ART GALLERIES, CRAFT STORES, THEATERS AND OTHER PERFORMANCE
SPACES, MUSEUMS, BOOK STORES AND ARTIST SUPPLY BUSINESSES AND  SERVICES-
RELATED ACTIVITIES LIKE RESTAURANTS, FOOD STORES, DRY CLEANERS AND TOUR-
ISM.
  2.  SUCH  DISTRICT  SHALL  BE  DISTINGUISHED  BY PHYSICAL AND CULTURAL
RESOURCES THAT PLAY A VITAL ROLE IN THE  LIFE  AND  DEVELOPMENT  OF  THE
COMMUNITY  AND  CONTRIBUTE  TO THE PUBLIC THROUGH INTERPRETATIVE, EDUCA-
TIONAL AND RECREATIONAL USES.
  3. SUCH DISTRICT SHALL HAVE AN ARTIST HOME OWNERSHIP PROGRAM TO ASSIST
ARTISTS IN PURCHASING AND REHABILITATING A  HOME  WITHIN  THE  DISTRICT.
SUCH  DISTRICT SHALL BE SUBJECT TO A PLAN APPROVED BY THE LOCAL LEGISLA-
TIVE BODY AND BE ORGANIZED AS A BUSINESS IMPROVEMENT  DISTRICT  PURSUANT
TO  THE  GENERAL MUNICIPAL LAW.   NOTWITHSTANDING ANY OTHER PROVISION OF
LAW, PROVISION MAY BE MADE FOR CONTRACT  AND/OR  INCENTIVE  ZONING  WITH
SUCH DISTRICTS.
  S  16.07.  STATE  ASSISTANCE  AND  COOPERATION.  1.  TO EFFECTUATE THE
PURPOSES OF THIS ARTICLE, A PILOT COMMUNITY MAY REQUEST FROM ANY DEPART-
MENT, BOARD, BUREAU, COMMISSION OR OTHER AGENCY OF THE  STATE,  AND  THE
SAME  ARE  AUTHORIZED  TO  PROVIDE,  SUCH  COOPERATION  AND  ASSISTANCE,
SERVICES AND DATA AS WILL ENABLE SUCH PILOT COMMUNITY TO CARRY  OUT  THE
PURPOSES OF THIS ARTICLE.
  2.  THE  DEPARTMENT  OF ECONOMIC DEVELOPMENT THROUGH THE STATE "I LOVE
NEW YORK" PROGRAM SHALL PROVIDE TECHNICAL  ASSISTANCE  IN  DEVELOPING  A
TOURISM  MARKETING PLAN FOR EACH PILOT COMMUNITY AND SHALL AT THE APPRO-
PRIATE TIME PREPARE OR CAUSE TO BE PREPARED A NATIONAL MARKETING  EFFORT
FOCUSING  GENERALLY  ON WORKING ARTISTS IN THE STATE AND PARTICULARLY ON
THE DISTRICTS ESTABLISHED PURSUANT TO THIS ARTICLE.
  3. THE DEPARTMENT OF ECONOMIC DEVELOPMENT  IN  CONSULTATION  WITH  THE
BOARD SHALL CREATE A GRANT PROGRAM DESIGNED TO ASSIST IN THE DEVELOPMENT
OF  DISTRICTS  PURSUANT  TO  THIS  ARTICLE.  WITHIN FUNDS MADE AVAILABLE
THEREFOR, GRANTS SHALL BE MADE TO  PILOT  CITIES  FOR  THE  PURPOSES  OF
INFRASTRUCTURE IMPROVEMENTS IN DISTRICTS, HOUSING ASSISTANCE FOR ARTISTS
IN DISTRICTS AND DEVELOPMENT OF A THEMATIC APPROACH TO TOURISM PROMOTION
IN  DISTRICTS.  THE COMMISSIONER IS DIRECTED TO ESTABLISH GUIDELINES AND
AN APPLICATION PROCESS.
  S 3. The real property tax law is amended by adding a new section  411
to read as follows:
  S  411.  CERTAIN  ARTS-BASED DISTRICTS. 1. AFTER A PUBLIC HEARING, THE
GOVERNING BODY OF THE CITIES OF BUFFALO, ROCHESTER,  SYRACUSE  AND  TROY
MAY  ADOPT  A  LOCAL  LAW  OR  A SCHOOL DISTRICT MAY ADOPT A RESOLUTION,
PROVIDING FOR AN EXEMPTION PURSUANT TO THE PROVISIONS OF  THIS  SECTION.
SUCH LOCAL LAW OR RESOLUTION MAY PROVIDE THAT AN IMPROVEMENT TO ANY REAL
PROPERTY  USED  SOLELY  FOR  RESIDENTIAL PURPOSES AS A ONE, TWO OR THREE
FAMILY RESIDENCE PURSUANT TO AN ARTS-BASED  DISTRICT  PLAN  PURSUANT  TO
ARTICLE  SIXTEEN  OF  THE  ARTS AND CULTURAL AFFAIRS LAW SHALL BE EXEMPT
FROM TAXATION TO THE EXTENT OF ANY INCREASE  IN  VALUE  ATTRIBUTABLE  TO

S. 3496--A                          4

SUCH  IMPROVEMENT IF SUCH IMPROVEMENT IS USED FOR THE PURPOSE OF FACILI-
TATING AND ACCOMMODATING THE USE AND ACCESSIBILITY OF SUCH REAL PROPERTY
BY A RESIDENT OWNER OF THE REAL PROPERTY WHO IS  A  QUALIFYING  RESIDENT
ARTIST PURSUANT TO SUCH ARTICLE SIXTEEN OF THE ARTS AND CULTURAL AFFAIRS
LAW.
  2.  A  LOCAL  LAW  OR  RESOLUTION ADOPTED PURSUANT TO THIS SECTION MAY
PROVIDE THAT THE EXEMPTION SHALL APPLY TO IMPROVEMENTS CONSTRUCTED PRIOR
TO THE EFFECTIVE DATE OF SUCH LOCAL LAW OR RESOLUTION. IF  THE  ASSESSOR
IS  SATISFIED THAT THE APPLICANT IS ENTITLED TO AN EXEMPTION PURSUANT TO
THIS SECTION, THE ASSESSOR SHALL APPROVE THE APPLICATION AND  ENTER  THE
TAXABLE  ASSESSED  VALUE  OF  THE PARCEL FOR WHICH AN EXEMPTION HAS BEEN
GRANTED PURSUANT TO THIS SECTION ON THE ASSESSMENT ROLL WITH THE TAXABLE
PROPERTY, WITH THE AMOUNT OF THE EXEMPTION IN A SEPARATE COLUMN.
  S 4. Subdivision (a) of section 1115 of the  tax  law  is  amended  by
adding a new paragraph 44 to read as follows:
  44.  TANGIBLE PERSONAL PROPERTY CREATED BY A QUALIFIED RESIDENT ARTIST
RESIDING IN AN ARTS-BASED DISTRICT PURSUANT TO ARTICLE  SIXTEEN  OF  THE
ARTS  AND CULTURAL AFFAIRS LAW AND SOLD WITHIN THE MUNICIPAL CORPORATION
IN WHICH THE ARTIST RESIDES.
  S 5. This act shall  take  effect  immediately  and  shall  be  deemed
repealed March 31, 2015.

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