S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  5481--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                              March 31, 2017
                                ___________
 
 Introduced  by  Sens.  MURPHY, SERINO -- read twice and ordered printed,
   and when printed to be committed to the  Committee  on  Investigations
   and  Government Operations -- recommitted to the Committee on Investi-
   gations and Government Operations in accordance with  Senate  Rule  6,
   sec.  8  --  committee  discharged, bill amended, ordered reprinted as
   amended and recommitted to said committee
 
 AN ACT to direct the department of taxation and  finance  to  conduct  a
   study  of state-owned lands within the counties of Westchester, Putnam
   and Dutchess, and the real property tax impact of such lands upon such
   counties and the localities therein
 
   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 that on
 January 9, 2017, the state of  New  York  announced  an  agreement  with
 Entergy  to close the Indian Point nuclear plant. The planned closure of
 this facility is set for 2020 and 2021. It is estimated that the loss to
 the tax base of the county of Westchester and  surrounding  counties  in
 the catchment area of such plant will be severe. The legislature further
 finds  that  the state has utilized a piecemeal approach to the taxation
 of state-owned land. Home owners across  the  state  are  burdened  with
 subsidizing,  through  real  property  taxes,  the revenue lost from the
 untaxed state-owned land in their communities. The impact of this fiscal
 burden, coupled with the closure of  the  Indian  Point  nuclear  plant,
 creates  a  unique  situation  throughout communities in the counties of
 Westchester, Putnam and Dutchess.  Therefore, it is in the best interest
 of the taxpayers of these counties to study this disparate treatment  of
 taxation on state-owned land in light of the closure of the Indian Point
 nuclear  plant, which will have a substantial impact on local taxpayers.
 This study seeks to determine the fiscal impact of expanding  state  law
 that  currently requires the state to pay real property taxes to certain

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10850-02-8
              

 S. 5481--A                          2
 
 local governments in order to pay taxes on state lands located  through-
 out the Indian Point catchment region.
   §  2.  The  department  of taxation and finance shall, in consultation
 with any other department, division, board, bureau,  commission,  agency
 or  public  authority  of the state or any political subdivision thereof
 deemed necessary by the commissioner of taxation and finance, conduct  a
 study  of  state-owned  lands within the counties of Westchester, Putnam
 and Dutchess. The study shall include lands owned by the  state,  exclu-
 sive of the improvements erected thereon by the state including, but not
 limited to, parklands, forestation lands, forest preserves, correctional
 facilities,  facilities  governed  by  article  9  of the executive law,
 facilities governed by article 26-A of the public health  law,  and  any
 other  lands  located  within  such  counties  owned  by  the  state not
 described in this section. Such  study  shall  examine  the  methods  of
 compensating  counties,  cities,  towns,  villages  and school districts
 whose tax bases include state-owned land, the payments currently made by
 the state through sections 532, 533, 534 and 536 of  the  real  property
 tax  law  and section 15-2115 of the environmental conservation law, and
 provide the fiscal impact to the  state  and  counties,  cities,  towns,
 villages  and  school  districts of the aforementioned state-owned lands
 that are currently tax-exempt should the state be  required  to  provide
 compensation  to  such  counties,  cities,  towns,  villages  and school
 districts. The commissioner of taxation and finance shall, on or before,
 December 1, 2018, submit a report of findings, conclusions and recommen-
 dations of such study to the governor, the temporary  president  of  the
 senate,  the  speaker  of  the assembly, the chair of the senate finance
 committee, the chair of the senate investigations and  government  oper-
 ations committee, the chair of the assembly ways and means committee and
 the chair of the assembly real property taxation committee.
   § 3. This act shall take effect immediately.