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

                                  7856

                            I N  S E N A T E

                              May 17, 2016
                               ___________

Introduced  by  Sen.  AVELLA -- read twice and ordered printed, and when
  printed to be committed to the Committee on Cities

AN ACT to amend the real property tax law,  in  relation  to  exemptions
  from local real property taxation of certain low income housing accom-
  modations in a city with a population of one million or more

  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-c of  the  real  property  tax
law,  as  amended by chapter 104 of the laws of 1999, is amended to read
as follows:
  1. In a city having a population of one million or more, real property
owned by a corporation, partnership or limited liability company  formed
for  the  purpose  of  providing  housing accommodations for persons and
families of low income as defined in section two of the private  housing
finance  law  and used for such purpose, shall be exempt from local real
property taxation, provided that such corporation, partnership or limit-
ed liability company: (a) is organized as a non-profit housing  develop-
ment  fund  company  pursuant  to  article eleven of the private housing
finance law AND IS NOT ESTABLISHED OR CONTROLLED BY A FOR-PROFIT ENTITY,
or is a non-profit housing corporation as defined in article  eleven  of
the  private  housing finance law which is not incorporated as a housing
development fund company as defined in article  eleven  of  the  private
housing finance law AND IS NOT ESTABLISHED OR CONTROLLED BY A FOR-PROFIT
ENTITY,  or is a wholly-owned subsidiary of such a company or is a part-
nership or limited liability company the controlling interest  of  which
is held by such a company or corporation or by a wholly owned subsidiary
of  such  a  company  or  by a corporation sponsored or formed by such a
company or corporation; and (b) has received a loan from a municipality,
the state or the housing trust fund corporation established pursuant  to
section forty-five-a of the private housing finance law or any successor
corporation; and (c) enters into a regulatory agreement with the munici-
pality,  the  state  or  the  housing trust fund corporation established
pursuant to section forty-five-a of the private housing finance  law  or
any successor corporation guaranteeing the provision of housing accommo-

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

                                                           LBD02450-01-5

S. 7856                             2

dations for persons and families of low income; and (d) is a participant
in  the federal low income housing tax credit program established pursu-
ant to section forty-two  of  the  internal  revenue  code  of  nineteen
hundred  eighty-six,  as amended. Any exemption pursuant to this section
shall expire upon the expiration or termination of the regulatory agree-
ment.
  S 2. Subparagraphs 4 and 5  of  paragraph  (a)  of  subdivision  4  of
section  420-c  of the real property tax law, subparagraph 4 as added by
chapter 522 of the laws of 2004 and subparagraph 5 as amended by chapter
526 of the laws of 2004, are amended to read as follows:
  (4) The term "charitable organization" shall mean (i) an  entity,  NOT
ESTABLISHED  OR  CONTROLLED  BY A FOR-PROFIT ENTITY, formed for purposes
that include providing housing accommodations for persons  and  families
of  low  income  and  that has received written recognition of exemption
pursuant to section 501(c)(3)  or  section  501(c)(4)  of  the  internal
revenue  code of nineteen hundred eighty-six, as amended, or any succes-
sor statute, from the United States Internal  Revenue  Service,  or  any
successor  agency, or (ii) a corporation, partnership or limited liabil-
ity company wholly owned and wholly controlled by an entity, NOT  ESTAB-
LISHED  OR  CONTROLLED  BY A FOR-PROFIT ENTITY, formed for purposes that
include providing housing accommodations for persons and families of low
income and that has received written recognition of  exemption  pursuant
to  section  501(c)(3) or section 501(c)(4) of the internal revenue code
of nineteen hundred eighty-six, as amended, or  any  successor  statute,
from  the United States Internal Revenue Service, or any successor agen-
cy.
  (5) The term "eligible entity" shall mean a  corporation,  partnership
or  limited  liability company at least [fifty] FIFTY-ONE percent of the
controlling interest of which is held by a charitable organization.
  S 3. This act shall take effect immediately and  shall  apply  to  all
projects  approved  on  or  after  the date on which this act shall have
become a law.