S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1112
 
                        2021-2022 Regular Sessions
 
                             I N  S E N A T E
 
                              January 7, 2021
                                ___________
 
 Introduced  by  Sen.  LIU  --  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, the  administrative  code  of
   the city of New York and the real property law, in relation to classi-
   fying  properties held in condominium and cooperative form for assess-
   ment purposes  as  class  one-a  properties;  and  to  repeal  certain
   provisions of the real property tax law relating thereto
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 1802 of the real property tax law,
 as separately amended by chapters 123 and 529 of the laws of 1990, para-
 graph class one as amended by chapter  332  of  the  laws  of  2008,  is
 amended to read as follows:
   1.  All  real property, for the purposes of this article, in a special
 assessing unit shall be classified as follows:
   Class one: (a) all one, two and three family residential real  proper-
         ty,  including  such  dwellings  used in part for nonresidential
         purposes but which are used primarily for residential  purposes,
         except such property held in cooperative or condominium forms of
         ownership  other  than (i) property defined in subparagraphs (b)
         and (c) of this paragraph and (ii) property  which  contains  no
         more  than  three  dwelling  units  held  in condominium form of
         ownership and which was classified within this class on a previ-
         ous assessment roll;  and  provided  that,  notwithstanding  the
         provisions of paragraph (g) of subdivision twelve of section one
         hundred  two  of  this chapter, a mobile home or a trailer shall
         not be classified within this class unless it is  owner-occupied
         and  separately  assessed; and (b) residential real property not
         more than three stories in height held in  condominium  form  of
         ownership, provided that no dwelling unit therein previously was
         on an assessment roll as a dwelling unit in other than condomin-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD03633-01-1

 S. 1112                             2
 
         ium  form  of  ownership;  and  (c)  residential  real  property
         consisting of one family house structures owned by the occupant,
         situated on land held in cooperative ownership by owner  occupi-
         ers,  provided  that; (i) such house structures and land consti-
         tuted bungalow colonies in existence prior to  nineteen  hundred
         forty;  and  (ii)  the land is held in cooperative ownership for
         the sole  purpose  of  maintaining  one  family  residences  for
         members  own  use;  and  (d)  all  vacant  land located within a
         special assessing unit which is a city (i) other than such  land
         in  the borough of Manhattan, provided that any such vacant land
         which is not zoned  residential  must  be  situated  immediately
         adjacent  to  property  improved with a residential structure as
         defined in subparagraphs (a) and (b) of this paragraph, be owned
         by the same owner as such immediately adjacent residential prop-
         erty immediately prior to and since January 1, 1989, and have  a
         total area not exceeding 10,000 square feet; and (ii) located in
         the  borough of Manhattan north of or adjacent to the north side
         of 110th street provided such vacant land was classified  within
         this  class on the assessment roll with a taxable status date of
         January 5, 2008 and the owner of such land has  entered  into  a
         recorded  agreement  with  a  governmental  entity  on or before
         December 31, 2008 requiring construction of  housing  affordable
         to  persons  or  families  of  low income in accordance with the
         provisions of the private housing finance  law.  Notwithstanding
         the foregoing, such vacant land shall be classified according to
         its  use on the assessment roll with a taxable status date imme-
         diately  following  commencement   of   construction,   provided
         further,  that  construction  pursuant  to  an approved plan for
         affordable housing shall commence no  later  than  December  31,
         2010; and (e) all vacant land located within a special assessing
         unit  which  is not a city, provided that such vacant land which
         is not zoned residential must be situated  immediately  adjacent
         to real property defined in subparagraph (a), (b) or (c) of this
         paragraph and be owned by the same person or persons who own the
         real  property defined in such subparagraph immediately prior to
         and since January 1, 2003;
   CLASS ONE-A: ALL OTHER RESIDENTIAL REAL PROPERTY HELD  IN  CONDOMINIUM
         OR  COOPERATIVE  FORM  OF  OWNERSHIP  WHICH IS NOT DESIGNATED AS
         CLASS ONE; THE DEPARTMENT OF FINANCE  OF  ANY  CITY  ENACTING  A
         LOCAL  LAW PURSUANT TO THIS SECTION SHALL RECLASSIFY CLASS ONE-A
         PROPERTIES USED PRIMARILY TO GENERATE  RENTAL  INCOME  TO  CLASS
         TWO.  THE DEPARTMENT OF FINANCE OF ANY CITY ENACTING A LOCAL LAW
         PURSUANT TO THIS SECTION SHALL HAVE, IN ADDITION  TO  ANY  OTHER
         FUNCTIONS, POWERS AND DUTIES WHICH HAVE BEEN OR MAY BE CONFERRED
         ON  IT  BY  LAW, THE POWER TO MAKE AND PROMULGATE RULES TO CARRY
         OUT THE PURPOSES OF THIS SECTION INCLUDING, BUT NOT LIMITED  TO,
         RULES  DEFINING  THE  CLASS  ONE-A  PROPERTIES PRIMARILY USED TO
         GENERATE RENTAL INCOME, AND RELATING TO  THE  TIMING,  FORM  AND
         MANNER  OF ANY CERTIFICATION REQUIRED TO BE SUBMITTED UNDER THIS
         SECTION. IF A PROPERTY PREVIOUSLY RECLASSIFIED FROM CLASS  ONE-A
         TO  CLASS  TWO  CEASES  TO  BE USED PRIMARILY TO GENERATE RENTAL
         INCOME, THE DEPARTMENT SHALL RECLASSIFY SUCH PROPERTY  TO  CLASS
         ONE-A.  THE  DEPARTMENT SHALL USE A FIVE-YEAR PERIOD WHEN DETER-
         MINING WHETHER A PROPERTY IS USED PRIMARILY TO  GENERATE  RENTAL
         INCOME;

 S. 1112                             3
 
   Class two: all other residential real property which is not designated
         as  class one OR CLASS ONE-A, except hotels and motels and other
         similar commercial property;
   Class  three:  utility  real  property  and property subject to former
         section four hundred seventy of this chapter;
   Class four: all other real property which is not designated  as  class
         one, CLASS ONE-A, class two, or class three.
   §  2.  The  real  property  tax law is amended by adding a new section
 1803-c to read as follows:
   § 1803-C. CALCULATION OF SHARES.  1. FOR THE CALENDAR YEAR  TWO  THOU-
 SAND TWENTY, NOTWITHSTANDING THE PROVISIONS OF SECTIONS EIGHTEEN HUNDRED
 THREE,  EIGHTEEN  HUNDRED  THREE-A, AND EIGHTEEN HUNDRED THREE-B OF THIS
 ARTICLE TO THE CONTRARY, THE NEW YORK CITY COMMISSIONER OF FINANCE SHALL
 ESTABLISH A NEW CLASS ONE-A PURSUANT TO SUBDIVISION ONE OF SECTION EIGH-
 TEEN HUNDRED TWO OF THIS ARTICLE AND SHALL CALCULATE  SHARES  FOR  CLASS
 ONE,  CLASS  ONE-A, CLASS TWO, CLASS THREE AND CLASS FOUR WHERE THE BASE
 YEAR USED IN THE CALCULATION OF THE CURRENT BASE PROPORTION SHALL BE THE
 2017 ASSESSMENT ROLL AND THE SUM OF CLASS ONE-A AND CLASS TWO SHALL  NOT
 EXCEED THE PRIOR YEAR ADJUSTED BASE PROPORTION FOR SUCH CLASSES.
   2.  AFTER TWO THOUSAND TWENTY-ONE, ASSESSMENT ROLLS PREPARED ACCORDING
 TO JANUARY 1, 2023, THE ADJUSTED BASE  PROPORTIONS  FOR  CLASS  ONE  AND
 CLASS ONE-A, SHALL NOT EXCEED EACH CLASS' PRIOR ADJUSTED BASE PROPORTION
 BY MORE THAN FIVE PERCENT.
   3.  IN  A CITY HAVING A POPULATION OF ONE MILLION OR MORE, SUCH CITY'S
 TAX FIXING RESOLUTION SHALL SET A TAX RATE FOR CLASS ONE-A IN  THE  SAME
 MANNER  AS ALL CLASS SHARES ARE CALCULATED PURSUANT TO SECTIONS EIGHTEEN
 HUNDRED THREE, EIGHTEEN HUNDRED THREE-A AND EIGHTEEN HUNDRED THREE-B  OF
 THIS ARTICLE.
   4. THE ASSESSMENT RATIO FOR CLASS ONE-A SHALL BE SIX PERCENT.
   §  3.  Subdivision 1, paragraph (c) of subdivision 2 and subdivision 4
 of section 307-a of the real property tax law, as added by section 1  of
 part  G  of  chapter  63  of  the  laws  of 2003, are amended to read as
 follows:
   1. Generally.  Notwithstanding any provision of any  general,  special
 or  local law to the contrary, any city with a population of one million
 or more is hereby authorized and empowered to adopt and amend local laws
 in accordance with this section imposing an additional  tax  on  certain
 class  one AND CLASS ONE-A properties, as such properties are defined in
 section eighteen hundred two of this chapter, excluding vacant land.
   (c) "Net real property tax" means the real property tax assessed on  A
 class  one  OR CLASS ONE-A property after deduction for any exemption or
 abatement received pursuant to this chapter.
   4. Property subject to additional tax. Such surcharge shall be imposed
 on class one AND CLASS  ONE-A  property,  excluding  vacant  land,  that
 provides  rental income and is not the primary residence of the owner or
 owners of such class one OR CLASS ONE-A property, or the  primary  resi-
 dence of the parent or child of such owner or owners.
   § 4. Paragraph (f) of subdivision 1 of section 467-a of the real prop-
 erty  tax  law,  as added by chapter 273 of the laws of 1996, is amended
 and a new paragraph (i) is added to read as follows:
   (f) "Property" means real property designated as  class  [two]  ONE-A,
 pursuant  to  section  eighteen hundred two of this chapter, held in the
 cooperative or condominium form of ownership.
   (I) "MARKET VALUE" SHALL BE CALCULATED BY THE NEW YORK CITY DEPARTMENT
 OF FINANCE BASED UPON COMPARABLE SALES.

 S. 1112                             4
 
   § 5. Paragraphs (d-1), (d-2), (d-3) and  (d-4)  of  subdivision  2  of
 section  467-a of the real property tax law, as amended by chapter 90 of
 the laws of 2019, are amended and seven  new  paragraphs  (d-7),  (d-8),
 (d-9), (d-10), (d-11), (d-12) and (d-13) are added to read as follows:
   (d-1)  In  the  fiscal years commencing in calendar years two thousand
 twelve, two thousand thirteen and two thousand fourteen, eligible dwell-
 ing units in property whose average unit assessed value is less than  or
 equal to fifty thousand dollars shall receive a partial abatement of the
 real  property  taxes  attributable  to or due on such dwelling units of
 twenty-five percent, twenty-six and one-half  percent  and  twenty-eight
 and  one-tenth  percent  respectively. In the fiscal years commencing in
 calendar years two thousand fifteen through two thousand [twenty]  EIGH-
 TEEN  eligible  dwelling  units  in property whose average unit assessed
 value is less than or equal to fifty thousand dollars  shall  receive  a
 partial  abatement  of the real property taxes attributable to or due on
 such dwelling units of twenty-eight and one-tenth percent.
   (d-2) In the fiscal years commencing in calendar  years  two  thousand
 twelve, two thousand thirteen and two thousand fourteen, eligible dwell-
 ing  units  in  property  whose average unit assessed value is more than
 fifty thousand dollars, but less than or equal  to  fifty-five  thousand
 dollars,  shall  receive  a partial abatement of the real property taxes
 attributable to or due on such dwelling units of twenty-two and one-half
 percent, twenty-three and eight-tenths percent and twenty-five and  two-
 tenths  percent respectively. In the fiscal years commencing in calendar
 years two thousand fifteen through two thousand [twenty] EIGHTEEN eligi-
 ble dwelling units in property whose average unit assessed value is more
 than fifty thousand dollars, but less than or equal to fifty-five  thou-
 sand  dollars,  shall  receive  a partial abatement of the real property
 taxes attributable to or due on such dwelling units of  twenty-five  and
 two-tenths percent.
   (d-3)  In  the  fiscal years commencing in calendar years two thousand
 twelve, two thousand thirteen and two thousand fourteen, eligible dwell-
 ing units in property whose average unit assessed  value  is  more  than
 fifty-five  thousand  dollars,  but less than or equal to sixty thousand
 dollars, shall receive a partial abatement of the  real  property  taxes
 attributable  to  or due on such dwelling units of twenty percent, twen-
 ty-one and two-tenths percent, and twenty-two  and  five-tenths  percent
 respectively. In the fiscal years commencing in calendar years two thou-
 sand  fifteen  through  two thousand [twenty] EIGHTEEN eligible dwelling
 units in property whose average unit assessed value is more than  fifty-
 five thousand dollars, but less than or equal to sixty thousand dollars,
 shall  receive  a partial abatement of the real property taxes attribut-
 able to or due on such dwelling  units  of  twenty-two  and  five-tenths
 percent.
   (d-4)  In  the  fiscal years commencing in calendar years two thousand
 twelve through two thousand [twenty] EIGHTEEN, eligible  dwelling  units
 in  property  whose average unit assessed value is more than sixty thou-
 sand dollars shall receive a partial  abatement  of  the  real  property
 taxes  attributable  to  or  due on such dwelling units of seventeen and
 one-half percent.
   (D-7) ELIGIBLE DWELLING UNITS IN PROPERTY WHOSE  AVERAGE  UNIT  MARKET
 VALUE  IS LESS THAN OR EQUAL TO SIX HUNDRED FIFTY THOUSAND DOLLARS SHALL
 RECEIVE A PARTIAL ABATEMENT OF REAL PROPERTY TAXES  ATTRIBUTABLE  TO  OR
 DUE  ON  SUCH  DWELLING UNITS, NOT TO EXCEED THIRTY-THREE PERCENT IN THE
 FISCAL YEAR COMMENCING IN CALENDAR  YEAR  TWO  THOUSAND  TWENTY-TWO  AND
 THEREAFTER.

 S. 1112                             5
 
   (D-8)  ELIGIBLE  DWELLING  UNITS IN PROPERTY WHOSE AVERAGE UNIT MARKET
 VALUE IS BETWEEN SIX HUNDRED FIFTY THOUSAND ONE DOLLARS TO SEVEN HUNDRED
 FIFTY THOUSAND DOLLARS SHALL RECEIVE A PARTIAL  ABATEMENT  OF  THE  REAL
 PROPERTY  TAXES  ATTRIBUTABLE  TO  OR DUE ON SUCH DWELLING UNITS, NOT TO
 EXCEED  TWENTY-TWO AND FIVE-TENTHS PERCENT IN THE FISCAL YEAR COMMENCING
 IN CALENDAR YEAR TWO THOUSAND TWENTY-TWO AND THEREAFTER.
   (D-9) ELIGIBLE DWELLING UNITS IN PROPERTY WHOSE  AVERAGE  UNIT  MARKET
 VALUE  IS  BETWEEN SEVEN HUNDRED FIFTY THOUSAND ONE AND ONE MILLION FIVE
 HUNDRED THOUSAND DOLLARS SHALL RECEIVE A PARTIAL ABATEMENT OF  THE  REAL
 PROPERTY  TAXES  ATTRIBUTABLE  TO  OR DUE ON SUCH DWELLING UNITS, NOT TO
 EXCEED SEVENTEEN AND FIVE-TENTHS PERCENT IN THE FISCAL  YEAR  COMMENCING
 IN CALENDAR YEAR TWO THOUSAND TWENTY-TWO AND THEREAFTER.
   (D-10)  ELIGIBLE  DWELLING UNITS IN PROPERTY WHOSE AVERAGE UNIT MARKET
 VALUE IS BETWEEN ONE MILLION FIVE HUNDRED THOUSAND ONE DOLLARS  AND  TWO
 MILLION  SIX  HUNDRED SIXTY-SIX THOUSAND SIX HUNDRED SIXTY-SEVEN DOLLARS
 SHALL RECEIVE A PARTIAL ABATEMENT OF THE REAL PROPERTY  TAXES  ATTRIBUT-
 ABLE  TO OR DUE ON SUCH DWELLING UNITS, NOT TO EXCEED THIRTEEN AND THIR-
 TEEN-HUNDREDTHS PERCENT IN THE FISCAL YEAR COMMENCING IN  CALENDAR  YEAR
 TWO THOUSAND TWENTY-TWO AND THEREAFTER.
   (D-11)  ELIGIBLE  DWELLING UNITS IN PROPERTY WHOSE AVERAGE UNIT MARKET
 VALUE IS BETWEEN TWO MILLION SIX HUNDRED SIXTY-SIX THOUSAND SIX  HUNDRED
 SIXTY-EIGHT  DOLLARS  AND THREE MILLION EIGHT HUNDRED THIRTY-THREE THOU-
 SAND THREE HUNDRED THIRTY-THREE DOLLARS SHALL RECEIVE A  PARTIAL  ABATE-
 MENT  OF THE REAL PROPERTY TAXES ATTRIBUTABLE TO OR DUE ON SUCH DWELLING
 UNITS, NOT TO EXCEED EIGHT AND SEVENTY-FIVE  HUNDREDTH  PERCENT  IN  THE
 FISCAL  YEAR  COMMENCING  IN  CALENDAR  YEAR TWO THOUSAND TWENTY-TWO AND
 THEREAFTER.
   (D-12) ELIGIBLE DWELLING UNITS IN PROPERTY WHOSE AVERAGE  UNIT  MARKET
 VALUE IS BETWEEN THREE MILLION EIGHT HUNDRED THIRTY-THREE THOUSAND THREE
 HUNDRED  THIRTY-FOUR  DOLLARS  AND  FIVE MILLION DOLLARS SHALL RECEIVE A
 PARTIAL ABATEMENT OF THE REAL PROPERTY TAXES ATTRIBUTABLE TO OR  DUE  ON
 SUCH  DWELLING  UNITS,  NOT  TO  EXCEED FOUR AND THIRTY-EIGHT HUNDREDTHS
 PERCENT IN THE FISCAL YEAR COMMENCING  IN  CALENDAR  YEAR  TWO  THOUSAND
 TWENTY-TWO AND THEREAFTER.
   (D-13)  ELIGIBLE  DWELLING UNITS IN PROPERTY WHOSE AVERAGE UNIT MARKET
 VALUE IS FIVE MILLION DOLLARS OR MORE SHALL RECEIVE A PARTIAL  ABATEMENT
 OF  THE  REAL  PROPERTY  TAXES  ATTRIBUTABLE  TO OR DUE ON SUCH DWELLING
 UNITS, NOT TO EXCEED ZERO PERCENT  IN  THE  FISCAL  YEAR  COMMENCING  IN
 CALENDAR YEAR TWO THOUSAND TWENTY-TWO AND THEREAFTER.
   §  6.  The  real  property  tax law is amended by adding a new section
 467-a-1 to read as follows:
   § 467-A-1. ENHANCED PARTIAL ABATEMENT  FOR  CERTAIN  CONDOMINIUMS  AND
 COOPERATIVE RESIDENCES. 1. IN ADDITION TO THE PARTIAL ABATEMENT RECEIVED
 PURSUANT  TO  SECTION FOUR HUNDRED SIXTY-SEVEN-A OF THIS ARTICLE, IN THE
 FISCAL YEAR COMMENCING IN CALENDAR YEAR TWO THOUSAND TWENTY-TWO,  ELIGI-
 BLE  UNITS  IN PROPERTY WHOSE AVERAGE UNIT MARKET VALUE IS LESS THAN SIX
 HUNDRED FIFTY THOUSAND DOLLARS SHALL RECEIVE AN ENHANCED ABATEMENT EQUAL
 TO THE EXCESS ABOVE TWO PERCENT OF  THE  DIFFERENCE  BETWEEN  THE  PRIOR
 YEAR'S PROPERTY TAX AND THE CURRENT YEAR'S PROPERTY TAX.
   2.  IN  ADDITION TO THE PARTIAL ABATEMENT RECEIVED PURSUANT TO SECTION
 FOUR HUNDRED SIXTY-SEVEN-A OF THIS ARTICLE, IN THE FISCAL YEAR  COMMENC-
 ING  IN CALENDAR YEAR TWO THOUSAND TWENTY-THREE, ELIGIBLE UNITS IN PROP-
 ERTY WHOSE AVERAGE UNIT MARKET VALUE IS  LESS  THAN  SIX  HUNDRED  FIFTY
 THOUSAND DOLLARS SHALL RECEIVE AN ENHANCED ABATEMENT EQUAL TO THE EXCESS
 ABOVE  FOUR  PERCENT OF THE DIFFERENCE BETWEEN THE PRIOR YEAR'S PROPERTY
 TAX AND THE CURRENT YEAR'S PROPERTY TAX.

 S. 1112                             6
 
   3. IN ADDITION TO THE PARTIAL ABATEMENT RECEIVED PURSUANT  TO  SECTION
 FOUR  HUNDRED SIXTY-SEVEN-A OF THIS ARTICLE, IN THE FISCAL YEAR COMMENC-
 ING IN CALENDAR YEAR TWO THOUSAND TWENTY-FOUR AND  THEREAFTER,  ELIGIBLE
 UNITS  IN  PROPERTY  WHOSE  AVERAGE  UNIT  MARKET VALUE IS LESS THAN SIX
 HUNDRED FIFTY THOUSAND DOLLARS SHALL RECEIVE AN ENHANCED ABATEMENT EQUAL
 TO  THE  EXCESS  ABOVE  SIX  PERCENT OF THE DIFFERENCE BETWEEN THE PRIOR
 YEAR'S PROPERTY TAX AND THE CURRENT YEAR'S PROPERTY  TAX.  THE  ENHANCED
 CONDOMINIUM  AND  COOPERATIVE  ABATEMENT SHALL NOT BE ELIGIBLE FOR UNITS
 WHERE THE COMMISSIONER DETERMINES THAT RENOVATION OR CONSTRUCTION WITHIN
 THE UNIT OR BUILDING HAS PRODUCED A SUBSTANTIAL YEARLY INCREASE  IN  THE
 UNIT'S ASSESSED VALUE.
   § 7. Subdivision 7 of section 499-aaa of the real property tax law, as
 added by chapter 461 of the laws of 2008, is amended to read as follows:
   7.  "Eligible building" shall mean a class one, CLASS ONE-A, class two
 or class four real property, as defined in subdivision  one  of  section
 eighteen  hundred  two  of  this chapter, located within a city having a
 population of one million or more persons. No building shall be eligible
 for more than one tax abatement pursuant to this title.
   § 8. Subdivision 7 of section 499-aaaa of the real property  tax  law,
 as  added  by  chapter  473  of  the laws of 2008, is amended to read as
 follows:
   7. "Eligible building" shall mean a class one, CLASS ONE-A, class  two
 or  class  four  real property, as defined in subdivision one of section
 eighteen hundred two of this chapter, located within  a  city  having  a
 population of one million or more persons. No building shall be eligible
 for more than one tax abatement pursuant to this title.
   § 9. Paragraph (b) of subdivision 3 of section 522 of the real proper-
 ty  tax  law, as added by chapter 714 of the laws of 1982, is amended to
 read as follows:
   (b) in a  special  assessing  unit,  the  determination,  pursuant  to
 section  eighteen  hundred two of this chapter, of whether real property
 is included in class one, ONE-A, two, three or four.
   § 10. Subdivision 10 of section 523-b of the real property tax law, as
 added by chapter 593 of the laws of 1998, is amended to read as follows:
   10. On or before April first, each year the commission shall  mail  to
 each  applicant,  who has filed an application for the correction of the
 assessment, a notice of the commission's determination  of  such  appli-
 cant's  assessment.  Such  notice shall also contain the statement as to
 the final determination of the assessment review commission, or a state-
 ment that the commission has not yet made  a  determination  as  to  the
 final  assessed valuation which shall be made as soon as the petitioners
 application is reviewed or heard. If the applicants property is a  prop-
 erty  defined in subdivision one of section eighteen hundred two of this
 chapter as "Class 1", the commissions determination  shall  contain  the
 statement:  "If  you  are  dissatisfied  with  the  determination of the
 Assessment Review Commission and you are the owner  of  a  one,  two  or
 three family residential structure or residential real property not more
 than  three  stories  in  height  held in condominium form of ownership,
 provided that no dwelling unit therein previously was on  an  assessment
 roll as a dwelling unit in other than condominium form of ownership, and
 you  reside  at  such  residence,  you  may seek judicial review of your
 assessment either under title one of article seven of the real  property
 tax  law  or  under small claims assessment review law provided by title
 one-A of article seven of the real property tax law." Such notice  shall
 also  state that the last date to file petitions for judicial review and

 S. 1112                             7

 the location where small  claims  assessment  review  petitions  may  be
 obtained.
   Each  applicant that has filed an application of a property as defined
 in subdivision one of section eighteen hundred two of  this  chapter  as
 "CLASS  1-A",  "Class 2", "Class 3" or "Class 4", shall receive a notice
 as to the final determination of the assessment review commission  or  a
 statement that the commission has not yet made a determination as to the
 final  assessed valuation which shall be made as soon as the petitioners
 application is reviewed or heard. Such applicants  determinations  shall
 contain  the  statement: "If you are dissatisfied with the determination
 of the Assessment Review Commission you may seek judicial review of your
 assessment under title one of article seven of  the  real  property  tax
 law."  Such  notice shall also state the last date to file petitions for
 judicial review. A final determination when rendered shall  contain  the
 same statement. Failure to mail any such notice or failure of the appli-
 cant  to  receive  the same shall not affect the validity of the assess-
 ment.
   § 11. Paragraph (b) of subdivision 3 of section 701 of the real  prop-
 erty tax law, as added by chapter 714 of the laws of 1982, is amended to
 read as follows:
   (b)  In  a  special  assessing  unit,  the  determination, pursuant to
 section eighteen hundred two of this chapter, of whether  real  property
 is included in class one, ONE-A, two, three or four.
   §  12. Subparagraph 2 of paragraph (a) of subdivision 3 of section 720
 of the real property tax law, as amended by chapter 679 of the  laws  of
 1986, is amended to read as follows:
   (2)  "Major  type of property" in special assessing units, for assess-
 ments on rolls completed after December thirty-first,  nineteen  hundred
 eighty-one,  shall  mean  classes  one,  ONE-A,  two,  three and four as
 defined in subdivision one of section eighteen hundred two of this chap-
 ter.
   § 13. The opening paragraph of subdivision 1 of section  1805  of  the
 real property tax law, as amended by chapter 935 of the laws of 1984, is
 amended  and  two  new  subdivisions  1-a  and  1-b are added to read as
 follows:
   The assessor of any special assessing  unit  shall  not  increase  the
 assessment  of  any  individual  parcel classified in class one OR CLASS
 ONE-A in any one year, as measured from the assessment on  the  previous
 year's  assessment roll, by more than six percent and shall not increase
 such assessment by more than twenty percent in any five-year period. The
 first such five-year  period  shall  be  measured  from  the  individual
 assessment  appearing  on  the  assessment  roll  completed  in nineteen
 hundred eighty; provided that if such parcel would not have been subject
 to the provisions of this subdivision in  nineteen  hundred  eighty  had
 this  subdivision  then  been in effect, the first such five-year period
 shall be measured from the first year after nineteen hundred  eighty  in
 which  this  subdivision applied to such parcel or would have applied to
 such parcel had this subdivision been in effect in such year.
   1-A. ASSESSMENT ROLLS COMPUTED  FOR  CLASS  ONE-A  SHALL  INCLUDE  ANY
 OUTSTANDING  PHASED-IN  INCREASES ACCRUED PRIOR TO THE EFFECTIVE DATE OF
 THE CHAPTER OF THE LAWS OF TWO  THOUSAND  TWENTY-ONE  WHICH  ADDED  THIS
 SUBDIVISION PURSUANT TO SUBDIVISION THREE OF THIS SECTION.
   1-B.  CLASS  ONE-A PARCELS SHALL BE ASSESSED IN A METHOD COMPARABLE TO
 CLASS ONE PARCELS.
   § 14. Subdivisions e and f of section 11-208.1 of  the  administrative
 code  of  the  city  of  New York, subdivision e as amended by local law

 S. 1112                             8
 
 number 41 of the city of New York for the year 1986 and subdivision f as
 amended by chapter 385 of the laws of  2006,  are  amended  to  read  as
 follows:
   e. As used in this section, the term "income-producing property" means
 property  owned  for the purpose of securing an income from the property
 itself, but shall not include property with an assessed value  of  forty
 thousand  dollars  or  less,  or  residential property containing ten or
 fewer dwelling units or property classified in class one, ONE-A  or  two
 as  defined  in article eighteen of the real property tax law containing
 six or fewer dwelling units and one retail store.
   f. Except in accordance with proper judicial  order  or  as  otherwise
 provided  by law, it shall be unlawful for the commissioner, any officer
 or employee of the  department,  the  president  or  a  commissioner  or
 employee  of  the  tax commission, any person engaged or retained by the
 department or the tax commission on an independent  contract  basis,  or
 any  person,  who, pursuant to this section, is permitted to inspect any
 income and expense statement or to whom a copy, an abstract or a portion
 of any such statement is furnished, to divulge  or  make  known  in  any
 manner  except  as  provided  in  this subdivision, the amount of income
 and/or expense or any particulars set forth or  disclosed  in  any  such
 statement  required  under this section. The commissioner, the president
 of the tax commission, or any commissioner or officer or employee of the
 department or the tax commission charged with the custody of such state-
 ments shall not be required to produce any income and expense  statement
 or evidence of anything contained in them in any action or proceeding in
 any  court,  except  on  behalf of the department or the tax commission.
 Nothing herein shall be construed to prohibit the delivery to  an  owner
 or  his or her duly authorized representative of a certified copy of any
 statement filed by such owner pursuant to this section  or  to  prohibit
 the  publication of statistics so classified as to prevent the identifi-
 cation of particular statements and the items thereof, or  making  known
 aggregate income and expense information disclosed with respect to prop-
 erty classified as class four as defined in article eighteen of the real
 property  tax law without identifying information about individual leas-
 es, or making known a range as determined  by  the  commissioner  within
 which the income and expenses of a property classified as CLASS ONE-A OR
 class  two  falls, or the inspection by the legal representatives of the
 department or of the tax commission of the statement of  any  owner  who
 shall  bring  an  action to correct the assessment. Any violation of the
 provisions of this subdivision shall be punished by a fine not exceeding
 one thousand dollars or by imprisonment not exceeding one year, or both,
 at the discretion of the court, and if the offender  be  an  officer  or
 employee  of the department or the tax commission, the offender shall be
 dismissed from office.
   § 15. Subdivision a of section 11-238 of the  administrative  code  of
 the  city  of New York, as amended by local law number 27 of the city of
 New York for the year 2006, is amended to read as follows:
   a. Imposition of surcharge. A real property tax  surcharge  is  hereby
 imposed  on  class  one  AND CLASS ONE-A property, as defined in section
 eighteen hundred two of the real  property  tax  law,  excluding  vacant
 land,  that  provides  rental income and is not the primary residence of
 the owner or owners of such class one OR CLASS ONE-A  property,  or  the
 primary  residence of the parent or child of such owner or owners, in an
 amount equal to zero percent of the net real property taxes  for  fiscal
 years  beginning  on  or  after July first, two thousand six. As used in
 this section, "net real  property  tax"  means  the  real  property  tax

 S. 1112                             9
 
 assessed  on  class  one  property  after deduction for any exemption or
 abatement received pursuant to the real property tax law or this title.
   §  16. Subdivisions a, a-1, a-2, a-3, a-4 and a-5 of section 11-319 of
 the administrative code of the city of  New    York,  subdivision  a  as
 amended by chapter 42 of the laws of 2020, subdivisions a-1, a-2 and a-3
 as  amended, subdivision a-5 as added by local law number 15 of the city
 of New York for the year 2011 and subdivision a-4 as  amended  by  local
 law  number  4 of the city of New York for the year 2017, are amended to
 read as follows:
   a. A tax lien or tax liens on a  property  or  any  component  of  the
 amount thereof may be sold by the city as authorized by subdivision b of
 this section, when such tax lien or tax liens shall have remained unpaid
 in  whole or in part for one year, provided, however, that a tax lien or
 tax liens on any class one property or on  class  [two]  ONE-A  property
 [that  is a residential condominium or residential cooperative], as such
 classes of property are defined in subdivision one of  section  eighteen
 hundred  two  of the real property tax law, may be sold by the city only
 when the real property tax component of such tax lien or tax liens shall
 have remained unpaid in whole or in part for three years or, in the case
 of any class two residential  property  owned  by  a  company  organized
 pursuant to article XI of the state private housing finance law [that is
 not  a  residential  condominium  or a residential cooperative], as such
 class of property is defined in  subdivision  one  of  section  eighteen
 hundred  two  of the real property tax law, for two years, and equals or
 exceeds the sum of five thousand dollars or, in the  case  of  abandoned
 class  one  property  or abandoned class [two] ONE-A property [that is a
 residential  condominium  or  residential  cooperative],  for   eighteen
 months,  and  after  such  sale,  shall  be  transferred,  in the manner
 provided by this chapter, and provided, further, however, that  (i)  the
 real property tax component of such tax lien may not be sold pursuant to
 this subdivision on any: (A) residential real property in class one that
 is  receiving  an  exemption pursuant to section 11-245.3 or 11-245.4 of
 this title, or pursuant to section four hundred fifty-eight of the  real
 property  tax  law with respect to real property purchased with payments
 received as prisoner of war compensation from the United States  govern-
 ment,  or pursuant to paragraph (b) or (c) of subdivision two of section
 four hundred fifty-eight-a of the real property tax law,  or  where  the
 owner  of such residential real property in class one is receiving bene-
 fits in accordance with department of finance memorandum  05-3,  or  any
 successor  memorandum  thereto, relating to active duty military person-
 nel, or where the owner of such residential real property in  class  one
 has  been  allowed  a  credit  pursuant to subsection (e) of section six
 hundred six of the tax law for the calendar year in which  the  date  of
 the  first  publication,  pursuant to subdivision a of section 11-320 of
 this chapter, of the notice of sale, occurs or  for  the  calendar  year
 immediately  preceding  such  date; or (B) on any real property that was
 granted an exemption pursuant to section  four  hundred  twenty-a,  four
 hundred  twenty-b,  four hundred forty-six, or four hundred sixty-two of
 the real property tax law in one of the two fiscal years  preceding  the
 date of such sale, provided that: (1) such exemption was granted to such
 real property upon the application of a not-for-profit organization that
 owns such real property on or after the date on which such real property
 was  conveyed to such not-for-profit organization; (2) the real property
 tax component of such lien arose on or after the date on which such real
 property was conveyed to such not-for-profit organization; and (3)  such
 not-for-profit  organization  is  organized  or conducted for one of the

 S. 1112                            10
 
 purposes described in paragraph a or paragraph b  of  subdivision  1  of
 section  11-246  of  this  chapter,  and (ii) the sewer rents component,
 sewer surcharges component or water rents component of such tax lien may
 not  be  sold pursuant to this subdivision on any one family residential
 real property in class one or on any two  or  three  family  residential
 real  property  in  class one that is receiving an exemption pursuant to
 section 11-245.3 or 11-245.4 of this title, or pursuant to section  four
 hundred  fifty-eight  of  the real property tax law with respect to real
 property purchased with payments received as  prisoner  of  war  compen-
 sation  from  the United States government, or pursuant to paragraph (b)
 or (c) of subdivision two of section four hundred fifty-eight-a  of  the
 real  property  tax  law,  or where the owner of any two or three family
 residential real property in class one is receiving benefits in  accord-
 ance  with department of finance memorandum 05-3, or any successor memo-
 randum thereto, relating to active duty military personnel, or where the
 owner of any two or three family residential real property in class  one
 has  been  allowed  a  credit  pursuant to subsection (e) of section six
 hundred six of the tax law for the calendar year in which  the  date  of
 the  first  publication,  pursuant to subdivision a of section 11-320 of
 this chapter, of the notice of sale, occurs or  for  the  calendar  year
 immediately preceding such date. A tax lien or tax liens on any property
 classified as a class two property, except [a class two property that is
 a  residential  condominium  or residential cooperative, or] a class two
 residential property owned by a company organized pursuant to article XI
 of the state private housing finance law  [that  is  not  a  residential
 condominium  or  a residential cooperative], or class three property, as
 such classes of property are defined in subdivision one of section eigh-
 teen hundred two of the real property tax law, shall not be sold by  the
 city  unless  such  tax  lien  or  tax liens include a real property tax
 component as of the date of the first publication, pursuant to  subdivi-
 sion  a  of  section  11-320  of  this  chapter,  of the notice of sale.
 Notwithstanding any provision of this subdivision to the  contrary,  any
 such  tax lien or tax liens that remain unpaid in whole or in part after
 such date may be sold regardless of whether such tax lien or  tax  liens
 include  a  real  property  tax  component. A tax lien or tax liens on a
 property classified as a class four property, as such class of  property
 is  defined  in  subdivision  one of section eighteen hundred two of the
 real property tax law, shall not be sold by the  city  unless  such  tax
 lien  or  tax liens include a real property tax component or sewer rents
 component or sewer surcharges component  or  water  rents  component  or
 emergency  repair charges component, where such emergency repair charges
 accrued on or after January first, two thousand six and are made a  lien
 pursuant  to  section  27-2144 of this code, as of the date of the first
 publication, pursuant to subdivision a of section 11-320 of  this  chap-
 ter,  of the notice of sale, provided, however, that any tax lien or tax
 liens that remain unpaid in whole or in part after such date may be sold
 regardless of whether such tax lien or tax liens include a real property
 tax component, sewer rents component, sewer surcharges component,  water
 rents  component or emergency repair charges component.  For purposes of
 this subdivision, the words "real property tax"  shall  not  include  an
 assessment or charge upon property imposed pursuant to section 25-411 of
 the  administrative  code.  A  sale  of  a  tax  lien or tax liens shall
 include, in addition to such lien or liens that have remained unpaid  in
 whole or in part for one year, or, in the case of any class one property
 or  class  [two]  ONE-A  property  [that is a residential condominium or
 residential cooperative], when the real property tax component  of  such

 S. 1112                            11
 
 lien  or  liens has remained unpaid in whole or in part for three years,
 or, in the case of any class two residential property owned by a company
 organized pursuant to article XI of the state  private  housing  finance
 law  [that  is  not  a  residential condominium or a residential cooper-
 ative], when the real property tax component of such lien or  liens  has
 remained unpaid in whole or in part for two years, and equals or exceeds
 the  sum  of five thousand dollars, any taxes, assessments, sewer rents,
 sewer surcharges, water rents, any other charges that are  made  a  lien
 subject  to  the provisions of this chapter, the costs of any advertise-
 ments and notices given pursuant to this chapter, any other charges that
 are due and payable, a surcharge pursuant  to  section  11-332  of  this
 chapter,  and  interest  and  penalties thereon or such component of the
 amount thereof as shall be determined by the  commissioner  of  finance.
 The  commissioner  of  finance may promulgate rules defining "abandoned"
 property, as such term is used in this subdivision.
   a-1. A subsequent tax lien or tax liens on a property or any component
 of the amount thereof may be sold by the city pursuant to this  chapter,
 provided, however, that notwithstanding any provision in this chapter to
 the  contrary,  such  tax  lien  or  tax liens may be sold regardless of
 whether such tax lien or tax liens have remained unpaid in whole  or  in
 part  for one year and, notwithstanding any provision in this chapter to
 the contrary, in the case of any class one property or class [two] ONE-A
 property [that is a residential condominium or residential  cooperative]
 or,  beginning  January  first,  two thousand twelve, in the case of any
 class two residential property owned by a company organized pursuant  to
 article XI of the state private housing finance law [that is not a resi-
 dential  condominium or a residential cooperative], such tax lien or tax
 liens may be sold if the real property tax component of such tax lien or
 tax liens has remained unpaid in whole or in  part  for  one  year,  and
 provided,  further, however, that (i) the real property tax component of
 such tax lien may not be sold pursuant to this subdivision on any  resi-
 dential real property in class one that is receiving an exemption pursu-
 ant  to  section  11-245.3  or  11-245.4  of  this title, or pursuant to
 section four hundred fifty-eight of  the  real  property  tax  law  with
 respect to real property purchased with payments received as prisoner of
 war compensation from the United States government, or pursuant to para-
 graph   (b)   or   (c)  of  subdivision  two  of  section  four  hundred
 fifty-eight-a of the real property tax law, or where the owner  of  such
 residential  real property in class one is receiving benefits in accord-
 ance with department of finance memorandum 05-3, or any successor  memo-
 randum thereto, relating to active duty military personnel, or where the
 owner  of such residential real property in class one has been allowed a
 credit pursuant to subsection (e) of section six hundred six of the  tax
 law  for  the  calendar year in which the date of the first publication,
 pursuant to subdivision a of section 11-320  of  this  chapter,  of  the
 notice  of  sale,  occurs or for the calendar year immediately preceding
 such date and (ii) the sewer rents component, sewer surcharges component
 or water rents component of such tax lien may not be  sold  pursuant  to
 this  subdivision  on  any one family residential real property in class
 one or on any two or three family residential real property in class one
 that is receiving an exemption pursuant to section 11-245.3 or  11-245.4
 of  this  title,  or pursuant to section four hundred fifty-eight of the
 real property tax law with  respect  to  real  property  purchased  with
 payments received as prisoner of war compensation from the United States
 government,  or  pursuant  to paragraph (b) or (c) of subdivision two of
 section four hundred fifty-eight-a of the  real  property  tax  law,  or

 S. 1112                            12
 
 where  the owner of any two or three family residential real property in
 class one is receiving benefits in accordance with department of finance
 memorandum 05-3, or any successor memorandum thereto, relating to active
 duty  military  personnel, or where the owner of any two or three family
 residential real property in class one has been allowed a credit  pursu-
 ant  to subsection (e) of section six hundred six of the tax law for the
 calendar year in which the date of the first  publication,  pursuant  to
 subdivision  a of section 11-320 of this chapter, of the notice of sale,
 occurs or for the calendar year immediately  preceding  such  date.  For
 purposes  of  this  subdivision,  the  term  "subsequent tax lien or tax
 liens" shall mean any tax lien or tax liens on property that become such
 on or after the date of sale of any tax lien or tax liens on such  prop-
 erty  that  have  been  sold pursuant to this chapter, provided that the
 prior tax lien or tax liens remain unpaid as of the date  of  the  first
 publication,  pursuant  to subdivision a of section 11-320 of this chap-
 ter, of the notice of sale of the subsequent tax lien or tax liens.    A
 subsequent  tax  lien or tax liens on any property classified as a class
 two property, except [a class two property that is a residential  condo-
 minium  or residential cooperative, or] a class two residential property
 owned by a company organized pursuant to article XI of the state private
 housing finance law [that is not a residential condominium or a residen-
 tial cooperative], or class three property, as such classes of  property
 are  defined  in  subdivision one of section eighteen hundred two of the
 real property tax law, shall not be sold by the  city  unless  such  tax
 lien  or  tax liens include a real property tax component as of the date
 of the first publication, pursuant to subdivision a of section 11-320 of
 this chapter, of the notice of sale. Notwithstanding  any  provision  of
 this  subdivision  to  the contrary, any such tax lien or tax liens that
 remain unpaid in whole or in part after such date may be sold regardless
 of whether such tax lien or tax liens include a real property tax compo-
 nent. A subsequent tax lien or tax liens on a property classified  as  a
 class four property, as such class of property is defined in subdivision
 one  of section eighteen hundred two of the real property tax law, shall
 not be sold by the city unless such tax lien or tax liens include a real
 property tax component or sewer  rents  component  or  sewer  surcharges
 component  or  water  rents component or emergency repair charges compo-
 nent, where such emergency repair charges accrued on  or  after  January
 first,  two thousand six and are made a lien pursuant to section 27-2144
 of this code, as of the date  of  the  first  publication,  pursuant  to
 subdivision  a of section 11-320 of this chapter, of the notice of sale,
 provided, however, that any tax lien or tax liens that remain unpaid  in
 whole  or in part after such date may be sold regardless of whether such
 tax lien or tax liens include a real property tax component, sewer rents
 component, sewer surcharges component, water rents component or emergen-
 cy repair charges component. For purposes of this subdivision, the words
 "real property tax" shall not include an assessment or charge upon prop-
 erty imposed pursuant to section  25-411  of  the  administrative  code.
 Nothing  in  this  subdivision  shall  be  deemed  to  limit  the rights
 conferred by section 11-332 of this chapter on the holder of a tax  lien
 certificate with respect to a subsequent tax lien.
   a-2.  In  addition to any sale authorized pursuant to subdivision a or
 subdivision a-1 of this section and  notwithstanding  any  provision  of
 this  chapter to the contrary, beginning on December first, two thousand
 seven, the water rents, sewer rents and sewer surcharges  components  of
 any  tax  lien  on  any class of real property, as such real property is
 classified in subdivision one of section eighteen  hundred  two  of  the

 S. 1112                            13
 
 real property tax law, may be sold by the city pursuant to this chapter,
 where  such  water  rents,  sewer rents or sewer surcharges component of
 such tax lien, as of the date of  the  first  publication,  pursuant  to
 subdivision  a of section 11-320 of this chapter, of the notice of sale:
 (i) shall have remained unpaid in whole or in part for one year and (ii)
 equals or exceeds the sum of one thousand dollars or, beginning on March
 first, two thousand eleven, in the case of any two or three family resi-
 dential real property in class one, for one year, and equals or  exceeds
 the  sum  of  two  thousand dollars, or, beginning on January first, two
 thousand twelve, in the case of any class two residential property owned
 by a company organized pursuant to article XI of the state private hous-
 ing finance law [that is not a residential condominium or a  residential
 cooperative], as such class of property is defined in subdivision one of
 section  eighteen  hundred  two  of  the  real property tax law, for two
 years, and equals to exceeds the sum of five thousand dollars; provided,
 however, that such water rents, sewer rents or sewer  surcharges  compo-
 nent  of  such  tax lien may not be sold pursuant to this subdivision on
 any one family residential real property in class one or on any  two  or
 three family residential real property in class one that is receiving an
 exemption  pursuant  to  section  11-245.3 or 11-245.4 of this title, or
 pursuant to section four hundred fifty-eight of the  real  property  tax
 law  with  respect  to real property purchased with payments received as
 prisoner of war compensation  from  the  United  States  government,  or
 pursuant  to  paragraph  (b)  or  (c) of subdivision two of section four
 hundred fifty-eight-a of the real property tax law, or where  the  owner
 of  any  two  or  three family residential real property in class one is
 receiving benefits in accordance with department of  finance  memorandum
 05-3, or any successor memorandum thereto, relating to active duty mili-
 tary  personnel,  or where the owner of any two or three family residen-
 tial real property in class one has been allowed a  credit  pursuant  to
 subsection  (e) of section six hundred six of the tax law for the calen-
 dar year in which the date of the first publication, pursuant to  subdi-
 vision  a  of  section  11-320  of  this chapter, of the notice of sale,
 occurs or for the calendar year immediately preceding such  date.  After
 such  sale, any such water rents, sewer rents or sewer surcharges compo-
 nent of such tax lien may be transferred in the manner provided by  this
 chapter.
   a-3.  In  addition to any sale authorized pursuant to subdivision a or
 subdivision a-1 of this section and  notwithstanding  any  provision  of
 this  chapter to the contrary, beginning on December first, two thousand
 seven, a subsequent tax lien on any class of real property, as such real
 property is classified in subdivision one of  section  eighteen  hundred
 two  of  the  real property tax law, may be sold by the city pursuant to
 this chapter, regardless of whether such subsequent  tax  lien,  or  any
 component  of the amount thereof, shall have remained unpaid in whole or
 in part for one year, and regardless  of  whether  such  subsequent  tax
 lien,  or any component of the amount thereof, equals or exceeds the sum
 of one thousand dollars or beginning on March first, two thousand  elev-
 en,  in the case of any two or three family residential real property in
 class one, a subsequent tax lien on such property may  be  sold  by  the
 city pursuant to this chapter, regardless of whether such subsequent tax
 lien, or any component of the amount thereof, shall have remained unpaid
 in  whole or in part for one year, and regardless of whether such subse-
 quent tax lien, or any  component  of  the  amount  thereof,  equals  or
 exceeds the sum of two thousand dollars, or, beginning on January first,
 two  thousand  twelve, in the case of any class two residential property

 S. 1112                            14
 
 owned by a company organized pursuant to article XI of the state private
 housing finance law [that is not a residential condominium or a residen-
 tial cooperative], as such class of property is defined  in  subdivision
 one  of  section  eighteen  hundred  two of the real property tax law, a
 subsequent tax lien on such property may be sold by the city pursuant to
 this chapter, regardless of whether such subsequent  tax  lien,  or  any
 component  of the amount thereof, shall have remained unpaid in whole or
 in part for two years, and regardless of  whether  such  subsequent  tax
 lien,  or any component of the amount thereof, equals or exceeds the sum
 of five thousand dollars; provided, however, that  such  subsequent  tax
 lien  may  not  be  sold  pursuant to this subdivision on any one family
 residential real property in class one or on any  two  or  three  family
 residential  real  property  in class one that is receiving an exemption
 pursuant to section 11-245.3 or 11-245.4 of this title, or  pursuant  to
 section  four  hundred  fifty-eight  of  the  real property tax law with
 respect to real property purchased with payments received as prisoner of
 war compensation from the United States government, or pursuant to para-
 graph  (b)  or  (c)  of  subdivision  two  of   section   four   hundred
 fifty-eight-a  of  the  real property tax law, or where the owner of any
 two or three family residential real property in class one is  receiving
 benefits  in  accordance  with department of finance memorandum 05-3, or
 any successor memorandum  thereto,  relating  to  active  duty  military
 personnel,  or  where  the  owner of any two or three family residential
 real property in class  one  has  been  allowed  a  credit  pursuant  to
 subsection  (e) of section six hundred six of the tax law for the calen-
 dar year in which the date of the first publication, pursuant to  subdi-
 vision  a  of  section  11-320  of  this chapter, of the notice of sale,
 occurs or for the calendar year immediately preceding such  date.  After
 such  sale, any such subsequent tax lien, or any component of the amount
 thereof, may be transferred in the manner provided by this chapter.  For
 purposes  of this subdivision, the term "subsequent tax lien" shall mean
 the water rents, sewer rents or sewer surcharges component  of  any  tax
 lien  on  property that becomes such on or after the date of sale of any
 water rents, sewer rents or sewer surcharges component of any  tax  lien
 on  such  property that has been sold pursuant to this chapter, provided
 that the prior tax lien remains unpaid as  of  the  date  of  the  first
 publication,  pursuant  to subdivision a of section 11-320 of this chap-
 ter, of the notice of sale of the subsequent tax lien. Nothing  in  this
 subdivision  shall  be  deemed  to limit the rights conferred by section
 11-332 of this chapter on the holder of  a  tax  lien  certificate  with
 respect to a subsequent tax lien.
   a-4.  In  addition  to  any sale authorized pursuant to subdivision a,
 a-1, a-2 or a-3 of this section and  notwithstanding  any  provision  of
 this  chapter  to  the  contrary, beginning on March first, two thousand
 eleven, the emergency repair charges component or  alternative  enforce-
 ment  expenses  and  fees component, where such emergency repair charges
 accrued on or after January first, two thousand six and are made a  lien
 pursuant  to  section  27-2144  of  this code, or where such alternative
 enforcement expenses and fees  are  made  a  lien  pursuant  to  section
 27-2153  of this code, of any tax lien on any class of real property, as
 such real property is defined in subdivision  one  of  section  eighteen
 hundred two of the real property tax law, may be sold by the city pursu-
 ant  to  this  chapter, where such emergency repair charges component or
 alternative enforcement expenses and fees component of such tax lien, as
 of the date of the first  publication,  pursuant  to  subdivision  a  of
 section  11-320  of  this chapter, of the notice of sale: (i) shall have

 S. 1112                            15
 
 remained unpaid in whole or in part for one year,  and  (ii)  equals  or
 exceeds  the sum of one thousand dollars or, beginning on January first,
 two thousand twelve, in the case of any class two  residential  property
 owned by a company organized pursuant to article XI of the state private
 housing finance law [that is not a residential condominium or a residen-
 tial  cooperative],  as such class of property is defined in subdivision
 one of section eighteen hundred two of the real property  tax  law,  for
 two  years,  and  equals  or  exceeds  the sum of five thousand dollars;
 provided, however, that  such  emergency  repair  charges  component  or
 alternative enforcement expenses and fees component of such tax lien may
 only be sold pursuant to this subdivision on any one, two or three fami-
 ly  residential real property in class one, where such one, two or three
 family residential property in class one is not the primary residence of
 the owner. After such sale, any such emergency repair charges  component
 or  alternative enforcement expenses and fees component of such tax lien
 may be transferred in the manner provided by this chapter.
   a-5. In addition to any sale authorized  pursuant  to  subdivision  a,
 a-1,  a-2  or  a-3  of this section and notwithstanding any provision of
 this chapter to the contrary, beginning on  March  first,  two  thousand
 eleven,  a  subsequent tax lien on any class of real property, or begin-
 ning on January first, two thousand twelve in the case of any class  two
 residential property owned by a company organized pursuant to article XI
 of  the  state  private  housing  finance law [that is not a residential
 condominium or a residential cooperative], a subsequent tax lien on such
 property, may be sold by the city pursuant to this  chapter,  regardless
 of  the length of time such subsequent tax lien, or any component of the
 amount thereof, shall have remained unpaid, and regardless of the amount
 of such subsequent tax lien. After such sale, any  such  subsequent  tax
 lien,  or any component of the amount thereof, may be transferred in the
 manner provided by this chapter. For purposes of this  subdivision,  the
 term  "subsequent  tax  lien"  shall  mean  the emergency repair charges
 component or alternative enforcement expenses and fees component,  where
 such  emergency  repair  charges  accrued on or after January first, two
 thousand six and are made a lien pursuant to  section  27-2144  of  this
 code, or where such alternative enforcement expenses and fees are made a
 lien  pursuant to section 27-2153 of this code, of any tax lien on prop-
 erty that becomes such on or after the date of  sale  of  any  emergency
 repair  charges  component  or alternative enforcement expenses and fees
 component, of any tax lien on such property that has been sold  pursuant
 to  this  chapter, provided that the prior tax lien remains unpaid as of
 the date of the first publication, pursuant to subdivision a of  section
 11-320  of  this  chapter,  of  the notice of sale of the subsequent tax
 lien. Nothing in this subdivision shall be deemed to  limit  the  rights
 conferred  by section 11-332 of this chapter on the holder of a tax lien
 certificate with respect to a subsequent tax lien.
   § 17.  Subparagraph (i) of paragraph 2 of subdivision b  and  subpara-
 graph  (ii)  of  paragraph  1  of subdivision h of section 11-320 of the
 administrative code of the city of New York, subparagraph (i)  of  para-
 graph  2 of subdivision b as amended by local law number 147 of the city
 of New York for the year 2013 and subparagraph (ii) of  paragraph  1  of
 subdivision  h  as  added by local law number 15 of the city of New York
 for the year 2011, are amended to read as follows:
   (i) Such notices shall also include,  with  respect  to  any  property
 owner in class one, CLASS ONE-A or class two, as such classes of proper-
 ty are defined in subdivision one of section eighteen hundred two of the
 real property tax law, an exemption eligibility checklist. The exemption

 S. 1112                            16

 eligibility checklist shall also be posted on the website of the depart-
 ment no later than the first business day after March fifteenth of every
 year  prior to the date of sale, and shall continue to be posted on such
 website  until  ten  days prior to the date of sale. Within ten business
 days of receipt of a completed exemption eligibility checklist from such
 property owner, provided that such receipt occurs prior to the  date  of
 sale of any tax lien or tax liens on his or her property, the department
 of finance shall review such checklist to determine, based on the infor-
 mation provided by the property owner, whether such property owner could
 be  eligible for any exemption, credit or other benefit that would enti-
 tle them to be excluded from a tax lien  sale  and,  if  the  department
 determines  that  such  property  owner  could  be eligible for any such
 exemption, credit or other benefit, shall mail such  property  owner  an
 application  for the appropriate exemption, credit or other benefit. If,
 within twenty business days of  the  date  the  department  mailed  such
 application,  the  department  has  not received a completed application
 from such property owner, the department shall mail such property  owner
 a  second  application,  and  shall telephone the property owner, if the
 property owner has included his or her telephone number on the exemption
 eligibility checklist.
   (ii) all class two residential property owned by a  company  organized
 pursuant to article XI of the state private housing finance law [that is
 not a residential condominium or a residential cooperative] on which any
 tax  lien has been sold pursuant to subdivision a, a-2 or a-4 of section
 11-319 of this title.
   § 18. Subdivision (a) of section 11-354 of the administrative code  of
 the  city  of New York, as amended by local law number 37 of the city of
 New York for the year 1996, is amended to read as follows:
   (a) Notwithstanding any other provision of law and notwithstanding any
 omission to hold a tax lien sale, whenever any  tax,  assessment,  sewer
 rent,  sewer  surcharge,  water  rent,  any  charge  that is made a lien
 subject to the provisions of this chapter or chapter four of this title,
 or interest and penalties thereon, has been due and unpaid for a  period
 of at least one year from the date on which the tax, assessment or other
 legal  charge  represented  thereby became a lien, or in the case of any
 class one property or any class [two] ONE-A property [that is a residen-
 tial condominium or residential cooperative], as such classes of proper-
 ty are defined in subdivision one of section eighteen hundred two of the
 real property tax law, or in the case of a multiple dwelling owned by  a
 company  organized pursuant to article XI of the private housing finance
 law with the consent and approval of the department of housing preserva-
 tion and development, for a period of at least three years from the date
 on which the tax, assessment or other legal charge became  a  lien,  the
 city,  as  owner  of  a  tax lien, may maintain an action in the supreme
 court to foreclose such lien. Such  action  shall  be  governed  by  the
 procedures set forth in section 11-335 of this chapter; provided, howev-
 er,  that  such  parcel  shall  only  be sold to the highest responsible
 bidder. Such purchaser shall be deemed qualified as a responsible bidder
 pursuant to such criteria as are established in rules promulgated by the
 commissioner of finance after  consultation  with  the  commissioner  of
 housing preservation and development.
   §  19. The opening paragraph of subdivision 4 of section 11-401 of the
 administrative code of the city of New  York,  as  added  by  local  law
 number 152 of the city of New York for the year 2017, is amended to read
 as follows:

 S. 1112                            17
 
   "Distressed  property."  Any parcel of class one, CLASS ONE-A or class
 two real property that is subject to a tax lien  or  liens  that  result
 from  an  environmental control board judgment against the owner of such
 parcel for a building code violation with  a  lien  or  liens  to  value
 ratio, as determined by the commissioner of finance, equal to or greater
 than  25  percent  or any parcel of class one, CLASS ONE-A, or class two
 real property that is subject to a tax lien or  liens  with  a  lien  or
 liens  to  value  ratio,  as  determined by the commissioner of finance,
 equal to or greater than fifteen percent  and  that  meets  one  of  the
 following two criteria:
   §  20.  Subdivisions a and b of section 11-401.1 of the administrative
 code of the city of New York, as added by local law  number  37  of  the
 city of New York for the year 1996, are amended to read as follows:
   a. The commissioner of finance shall, not less than sixty days preced-
 ing  the  date  of  the  sale  of a tax lien or tax liens, submit to the
 commissioner of housing preservation and development  a  description  by
 block  and  lot,  or by such other identification as the commissioner of
 finance may deem appropriate, of any parcel of class one, CLASS ONE-A or
 class two real property on which there is a tax lien that may  be  fore-
 closed  by the city. The commissioner of housing preservation and devel-
 opment shall determine, and direct the commissioner of finance, not less
 than ten days preceding the date of the sale of a tax lien or tax liens,
 whether any such parcel is a distressed property as defined in  subdivi-
 sion four of section 11-401 of this chapter. Any tax lien on a parcel so
 determined  to  be  a  distressed property shall not be included in such
 sale. In connection with a subsequent sale of a tax lien or  tax  liens,
 the  commissioner of finance may, not less than sixty days preceding the
 date of the sale, resubmit to the commissioner of  housing  preservation
 and  development  a description by block and lot, or by such other iden-
 tification as the commissioner of finance may deem appropriate,  of  any
 parcel  of  class  one,  CLASS ONE-A or class two real property that was
 previously determined to be a distressed property pursuant to this para-
 graph and on which there is a tax lien that  may  be  included  in  such
 sale.  The  commissioner  of  housing preservation and development shall
 determine, and direct the commissioner of finance,  not  less  than  ten
 days  preceding  the  date  of  the  sale, whether such parcel remains a
 distressed property. If the commissioner  of  housing  preservation  and
 development  determines  that  the  parcel is not a distressed property,
 then the tax lien on the parcel may be included in the sale.
   b. The commissioner of housing preservation and development may  peri-
 odically  review whether a parcel of class one, CLASS ONE-A or class two
 real property that is subject to subdivision c of this section or subdi-
 vision j of section 11-412.1 of this chapter remains a distressed  prop-
 erty. If the commissioner determines that the parcel is not a distressed
 property  as defined in subdivision four of section 11-401 of this chap-
 ter, then the parcel shall not be subject to such subdivisions.
   § 21. Subdivision b of section 11-404 of the  administrative  code  of
 the  city  of New York, as amended by local law number 37 of the city of
 New York for the year 1996, is amended to read as follows:
   b. A tax lien on any class one property or any class [two] ONE-A prop-
 erty [that is a residential condominium or residential cooperative],  as
 such classes of property are defined in subdivision one of section eigh-
 teen  hundred  two  of  the  real  property tax law, and on any multiple
 dwelling owned by a company organized pursuant  to  article  XI  of  the
 private housing finance law with the consent and approval of the depart-
 ment of housing preservation and development, shall not be foreclosed in

 S. 1112                            18
 
 the manner provided in this chapter until such tax lien has been due and
 unpaid  for  a period of at least three years from the date on which the
 tax, assessment or other legal charge represented thereby became a lien.
   §  22.  Paragraph 5 of subdivision c of section 11-405 of the adminis-
 trative code of the city of New York, as added by local law number 37 of
 the city of New York for the year 1996, is amended to read as follows:
   (5) Notwithstanding paragraph one, two or three of  this  subdivision,
 with  respect to installment agreements duly made, executed and filed on
 or after the date on which this paragraph takes effect, the commissioner
 of finance may also exclude or thereafter  remove  from  such  list  any
 parcel  of class one, CLASS ONE-A or class two real property, other than
 a parcel described in paragraph four of this subdivision, as to which an
 agreement has been duly made, executed and filed with such  commissioner
 for  the  payment  of  the  delinquent taxes, assessments or other legal
 charges, and the interest and penalties thereon,  in  installments.  The
 first  installment thereof shall be paid upon the filing of the install-
 ment agreement with the commissioner and shall be in an amount equal  to
 not  less  than  fifteen  percent of the total amount of such delinquent
 taxes, assessments or other legal charges and the interest and penalties
 thereon. The remaining installments, which shall be twice the number  of
 unpaid  quarters  of  real  estate  taxes or the equivalent thereof, but
 which shall in no event exceed thirty-two in number,  shall  be  payable
 quarterly on the first days of July, October, January and April. For the
 purposes  of  calculating  the  number  of  such remaining installments,
 unpaid real estate taxes that are due and payable on other than a  quar-
 terly basis shall be deemed to be payable on a quarterly basis.
   § 23. Section 581 of the real property tax law is REPEALED.
   §  24.  Subdivision  1  of  section 339-y of the real property law, as
 amended by chapter 218 of the laws of 1986, subparagraph (ii)  of  para-
 graph  (d)  as amended by chapter 223 of the laws of 1989, paragraph (e)
 as added by chapter 135 of the laws of 1996 and paragraph (f)  as  added
 by chapter 293 of the laws of 1997, is amended to read as follows:
   1.  (a)  With  respect  to all property submitted to the provisions of
 this article other than property which is the  subject  of  a  qualified
 leasehold  condominium, each unit and its common interest, not including
 any personal property, shall be deemed to  be  a  parcel  and  shall  be
 subject  to  separate  assessment  and  taxation by each assessing unit,
 school district, special district, county or other taxing unit, for  all
 types of taxes authorized by law including but not limited to special ad
 valorem  levies and special assessments, except that the foregoing shall
 not apply to a unit held under lease or sublease unless the  declaration
 requires  the  unit  owner  to  pay  all taxes attributable to his unit.
 Neither the building, the property nor any of the common elements  shall
 be deemed to be a parcel.
   (b)  [In  no  event shall the aggregate of the assessment of the units
 plus their common interests exceed the total valuation of  the  property
 were the property assessed as a parcel.
   (c)]  For  the  purposes  of  this and the next succeeding section the
 terms "assessing unit",  "assessment",  "parcel",  "special  ad  valorem
 levy",  "special assessment", "special district", "taxation" and "taxes"
 shall have the meanings specified in section one hundred two of the real
 property tax law.
   [(d) The provisions of paragraph (b) of  this  subdivision  shall  not
 apply to such real property classified within:

 S. 1112                            19

   (i) on and after January first, nineteen hundred eighty-six, class one
 of  section one thousand eight hundred two of the real property tax law;
 or
   (ii)  on  and  after  January first, nineteen hundred eighty-four, the
 homestead class of an approved assessing  unit  which  has  adopted  the
 provisions  of section one thousand nine hundred three of the real prop-
 erty tax law, or the homestead class of the portion outside an  approved
 assessing  unit  of  an eligible split school district which has adopted
 the provisions of section nineteen hundred three-a of the real  property
 tax  law;  provided,  however, that, in an approved assessing unit which
 adopted the provisions of section one thousand nine hundred three of the
 real property tax law prior to the effective date of  this  subdivision,
 paragraph  (b) of this subdivision shall apply to all such real property
 (i) which is classified within the homestead class pursuant to paragraph
 one of subdivision (e) of section one thousand nine hundred one  of  the
 real  property tax law and (ii) which, regardless of classification, was
 on the assessment roll prior to the effective date of  this  subdivision
 unless  the  governing  body of such approved assessing unit provides by
 local law adopted after a public hearing, prior to  the  taxable  status
 date  of such assessing unit next occurring after December thirty-first,
 nineteen hundred eighty-three, that such paragraph (b) shall  not  apply
 to  such  real  property to which this clause applies. Provided further,
 however, real property subject to the provisions  of  this  subparagraph
 shall  be  assessed  pursuant to subdivision two of section five hundred
 eighty-one of the real property tax law.
   (e)] (C) On the first assessment roll with a taxable status date on or
 after the effective date of a declaration filed with the recording offi-
 cer and on every assessment roll thereafter, the  assessor  shall  enter
 each unit as a parcel, as provided in paragraph (a) of this subdivision,
 based  upon  the condition and ownership of each such unit on the appro-
 priate valuation and taxable status dates. Units owned  by  a  developer
 may  be entered as a single parcel with a parcel description correspond-
 ing to the entire development, including the land  under  such  develop-
 ment,  and  excluding  those  units appearing separately. Upon the first
 assessment roll where each unit is separately assessed, only an individ-
 ual unit and its common interest shall constitute a parcel.
   [(f) The provisions of paragraph (b) of  this  subdivision  shall  not
 apply  to  a converted condominium unit in a municipal corporation other
 than a special assessing unit, which has adopted, prior to  the  taxable
 status  date of the assessment roll upon which its taxes will be levied,
 a local law or, for a school district, a resolution providing  that  the
 provisions  of  paragraph  (b)  of this subdivision shall not apply to a
 converted  condominium  unit  within  that  municipal  corporation.    A
 converted  condominium  unit for purposes of this paragraph shall mean a
 dwelling unit held in condominium form of ownership that has  previously
 been  on an assessment roll as a dwelling unit in other than condominium
 form of ownership, and has not been previously subject to the provisions
 of paragraph (b) of this subdivision.]
   § 25. This act shall take effect on the first of January next succeed-
 ing the date on which it shall have become a  law  and  shall  apply  to
 assessment rolls prepared pursuant to a taxable status date occurring on
 or  after  such  date.  Effective  immediately,  the addition, amendment
 and/or repeal of any rule or regulation necessary for the implementation
 of this act on  its  effective  date  are  authorized  to  be  made  and
 completed on or before such effective date.