BILL NUMBER:S1043

TITLE OF BILL:
An act
to amend the tax law, in relation to providing a green building credit
to all residential buildings

PURPOSE:
This amendment would allow residential buildings to be eligible for
the Green Building Tax Credit.

SUMMARY OF PROVISIONS:
Section 1 provides that residential buildings are eligible for the
Green Building Tax Credit

Section 2 provides the effective date.

EXISTING LAW:
This is an amendment to Section 19 of the Tax Law, as added by section
2 of part II of chapter 63 of the laws of 2000. This bill expands
upon the existing Green building tax credit, which is currently
limited only to businesses.

JUSTIFICATION:
The buildings in which we live, work, and play protect us from
Nature's extremes, yet they also affect our health and environment in
              

countless ways.
The design, construction, operation, maintenance, and removal of
buildings takes enormous amounts of energy, water, and materials, and
generates large quantities of waste, air and water pollution, as well
as creating storm water runoff and heat islands. Buildings also
develop their own indoor environments, which present an array of
health challenges. Where and how they are built affects wildlife
habitat and corridors and the hydrologic cycle, while influencing the
overall quality of human life.

As the environmental impact of buildings becomes more apparent, a new
field called green building is gaining momentum. Green or sustainable
building is the practice of creating healthier and more
resource-efficient models of construction, renovation, operation,
maintenance, and demolition. Research and experience increasingly
demonstrate that when buildings are designed and operated with their
life cycle impacts in mind, they can provide great environmental,
economic, and social benefits.

Elements of green building include:
* Energy Efficiency and Renewable Energy
* Water Stewardship
* Environmentally Preferable Building Materials and Specifications
* Waste Reduction
* Indoor Environment
* Smart Growth and Sustainable
Development

Currently, New York State offers tax credits for the construction or
renovation of "green buildings", ranging from 5% to 8% of the cost of


construction or renovation, with additional incentives for the use of
photovoltaic installations (solar panels) and fuel cells. Green
buildings are designed for passive solar heating and cooling, and
require smaller mechanical systems.

The design of these buildings provides abundant natural light, and
produces and stores their own renewable energy. They use non-toxic
materials, paints, and finishes, which greatly enhance indoor air
quality. Construction methods are resource efficient, and materials
are chosen to be low in embodied energy, found regionally and contain
recycled materials. Construction waste is treated as a resource and
completely recycled. Green buildings are sited and designed to blend
with neighboring buildings; they use native landscapes that minimize
water use and are designed to filter and retain storm water.

This bill expands upon the existing Green building tax credit which is
currently limited only to businesses. By allowing residential
homeowners to take advantage of the green building tax credit, this
bill will promote the construction of Green buildings in the State
and assist New Yorkers to build healthier and more energy efficient
homes.

LEGISLATIVE HISTORY:
S.2546 (2009-2010) - Referred to Investigations & Government Operations
S.2000 (2007-2008) - Referred to Investigations & Government Operations

FISCAL IMPLICATIONS:
It is expected that the cost of this credit will be $25 million, the
same amount as the existing Green building credit contained in
section 19 of the tax law for commercial buildings.

EFFECTIVE DATE:
This act shall take effect immediately.