NY State Senate Bill 2019-S3972

Senate Bill S3972

Signed By Governor

2019-2020 Legislative Session

Relates to changes in assessment for businesses that make payments in lieu of taxes

download bill text pdf

Archive: Last Bill Status - Signed by Governor

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

View Actions

	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Oct 29, 2019	signed chap.421
Oct 17, 2019	delivered to governor
Jun 20, 2019	returned to senate passed assembly ordered to third reading cal.466 substituted for a218
Jun 18, 2019	referred to ways and means delivered to assembly passed senate ordered to third reading cal.1495 committee discharged and committed to rules
Feb 22, 2019	referred to local government

Votes

- Jun 18, 2019 - Floor Vote
  S3972
  
  48
  
  Aye
  
  14
  
  Nay
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Floor Vote: Jun 18, 2019
      
      aye (48)
      
      Addabbo Jr.
      
      Akshar
      
      Antonacci
      
      Bailey
      
      Benjamin
      
      Biaggi
      
      Boyle
      
      Breslin
      
      Brooks
      
      Carlucci
      
      Comrie
      
      Felder
      
      Gaughran
      
      Gianaris
      
      Gounardes
      
      Harckham
      
      Helming
      
      Hoylman-Sigal
      
      Jackson
      
      Kaminsky
      
      Kaplan
      
      Kavanagh
      
      Kennedy
      
      Krueger
      
      LaValle
      
      Little
      
      Liu
      
      Martinez
      
      May
      
      Mayer
      
      Metzger
      
      Montgomery
      
      Myrie
      
      Parker
      
      Persaud
      
      Ramos
      
      Ritchie
      
      Rivera
      
      Robach
      
      Salazar
      
      Sanders Jr.
      
      Savino
      
      Sepúlveda
      
      Serrano
      
      Skoufis
      
      Stavisky
      
      Stewart-Cousins
      
      Thomas
      
      nay (14)
      
      Amedore
      
      Flanagan
      
      Funke
      
      Gallivan
      
      Griffo
      
      Jacobs
      
      Jordan
      
      Lanza
      
      O'Mara
      
      Ortt
      
      Ranzenhofer
      
      Serino
      
      Seward
      
      Tedisco
  Jun 18, 2019 - Rules Committee Vote
  S3972
  
  14
  
  Aye
  
  3
  
  Nay
  
  2
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  - - Rules Committee Vote: Jun 18, 2019
      
      aye (14)
      
      Benjamin
      
      Breslin
      
      Comrie
      
      Gianaris
      
      Hoylman-Sigal
      
      Kennedy
      
      Krueger
      
      LaValle
      
      Liu
      
      Martinez
      
      Parker
      
      Robach
      
      Savino
      
      Stewart-Cousins
      
      nay (3)
      
      Flanagan
      
      Little
      
      Seward
      
      aye wr (2)
      
      Griffo
      
      Lanza

2019-S3972 (ACTIVE) - Details

See Assembly Version of this Bill:: A218
Law Section:: Real Property Tax Law
Laws Affected:: Add §561, RPT L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S7957, A9546
2017-2018: S4156, A7211

2019-S3972 (ACTIVE) - Summary

Relates to changes in assessment for businesses that make payments in lieu of taxes; establishes that any reduction in school taxes shall not take effect until the following taxable status year.

2019-S3972 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S3972

SPONSOR: HARCKHAM
 
TITLE OF BILL:  An act to amend the real property tax law, in relation
to changes in assessment for businesses that make payments in lieu of
taxes

 
PURPOSE:

This bill ensures that adjustments to payments in lieu of taxes (PILOTs)
based on a change of assessment do not affect school districts in the
middle of their fiscal year. Instead, the change of assessment will take
effect once the school's fiscal year has ended.

 
SUMMARY OF PROVISIONS:

The real property tax law is amended by adding a new section 561 to
require that for any payment in lieu of taxes agreement entered into on
or after the effective date of this section, when the assessment of a
property making payments in lieu of taxes is challenged through the
grievance process, any reduction in payments in lieu of taxes made to a

school district resulting from such challenge shall not take effect
until the following taxable status year.

 
JUSTIFICATION:

Businesses can be enticed to areas through the development incentive
know as payment in lieu of taxes (PILOTS). The program reduces property
taxes for certain businesses in exchange for payments to the county,
towns and/or school districts where they are located. Some PILOT agree-
ments have provisions that allow the business to challenge property tax
assessments and win a credit against future payments if found to be a
valid challenge.

Successful assessment challenges potentially create a substantial
reduction in revenue to a school district. Given that school budgets are
largely fixed at the beginning of the school district's fiscal year,
when an assessment-based PILOT is challenged, it should not impact a
school district if it occurs in the middle of their fiscal year. Any
reduction that is awarded through a grievance process affecting school
taxes should not take effect until the following fiscal year.

 
LEGISLATIVE HISTORY:

A.7211-A of 2017, referred to ways and means, passed assembly in 2018.
Same as S.4156-A of 2017 and 2018, committed to rules.

 
FISCAL IMPLICATIONS:

None.

 
EFFECTIVE DATE:
This act shall take effect on the sixtieth day after it shall have
become a law.

2019-S3972 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3972
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                             February 22, 2019
                                ___________
 
 Introduced  by Sen. HARCKHAM -- 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  changes  in
   assessment for businesses that make payments in lieu of taxes
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The real property tax  law  is  amended  by  adding  a  new
 section 561 to read as follows:
   §  561.  PAYMENTS  IN  LIEU  OF TAXES; CHANGE OF ASSESSMENT; EFFECTIVE
 DATE.  NOTWITHSTANDING ANY OTHER PROVISION OF LAW, FOR  ANY  PAYMENT  IN
 LIEU  OF  TAXES AGREEMENT ENTERED INTO ON OR AFTER THE EFFECTIVE DATE OF
 THIS SECTION, WHEN THE ASSESSMENT OF A PROPERTY MAKING PAYMENTS IN  LIEU
 OF  TAXES  IS CHALLENGED THROUGH THE GRIEVANCE PROCESS, ANY REDUCTION IN
 PAYMENTS IN LIEU OF TAXES MADE TO A SCHOOL DISTRICT RESULTING FROM  SUCH
 CHALLENGE SHALL NOT TAKE EFFECT UNTIL THE FOLLOWING TAXABLE STATUS YEAR.
   §  2.  This  act  shall take effect on the sixtieth day after it shall
 have become a law.
 
 
 
 

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD01789-01-9

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