[ ] is old law to be omitted.
LBD12574-04-3
A. 3009--B 2
amend subpart B of part PP of chapter 59 of the laws of 2021 amending
the tax law and the state finance law relating to establishing the
New York city musical and theatrical production tax credit and estab-
lishing the New York state council on the arts cultural program fund,
in relation to the effectiveness thereof; and to amend the tax law, in
relation to the New York city musical and theatrical production tax
credit (Subpart E)(Part I); to amend the tax law, in relation to
making technical corrections to the credit for companies who provide
transportation to individuals with disabilities (Subpart A); to amend
the tax law, in relation to eligibility for the brownfield redevelop-
ment tax credit (Subpart B); to amend the tax law, in relation to the
pass-through entity tax and city pass-through entity tax and making
technical corrections thereto (Subpart C) (Part J); to amend the real
property tax law, in relation to simplifying the senior citizens real
property tax exemption and the exemption for persons with disabilities
and limited income (Part K); to amend chapter 540 of the laws of 1992,
amending the real property tax law relating to oil and gas charges, in
relation to the effectiveness thereof (Part L); intentionally omitted
(Part M); to amend the real property tax law and the state administra-
tive procedure act, in relation to clarifying the solar or wind energy
system appraisal model (Part N); intentionally omitted (Part O); to
repeal certain provisions of the tax law, relating to eliminating
congestion surcharge registration requirements (Part P); to amend the
tax law, in relation to the payment of tax on increased quantities of
motor fuel and Diesel motor fuel on which the taxes pursuant to arti-
cles 12-A, 13-A and 28 were not previously paid (Part Q); to amend the
tax law, in relation to extending the sales tax exemption for certain
sales made through vending machines (Part R); to amend the tax law, in
relation to an increase in the rate of tax on cigarettes (Part S);
intentionally omitted (Part T); to amend the tax law and the adminis-
trative code of the city of New York, in relation to extending the tax
rate reduction under the New York state real estate transfer tax and
the New York city real property transfer tax for conveyances of real
property to existing real estate investment funds (Part U); inten-
tionally omitted (Part V); to amend the state finance law, in relation
to clarifying the deposit timeframe for moneys deposited by the
commissioner of taxation and finance (Part W); to amend the tax law,
in relation to requiring the New York Racing Association, Inc. to
enter into a repayment agreement with the state of New York for the
repayment of funds provided by the state for the renovation of Belmont
Park (Part X); intentionally omitted (Part Y); intentionally omitted
(Part Z); to amend the racing, pari-mutuel wagering and breeding law,
in relation to the utilization of funds in the Capital region and
Catskill off-track betting corporations' capital acquisition funds
(Part AA); to amend the racing, pari-mutuel wagering and breeding law,
in relation to licenses for simulcast facilities, sums relating to
track simulcast, simulcast of out-of-state thoroughbred races, simul-
casting of races run by out-of-state harness tracks and distributions
of wagers; to amend chapter 281 of the laws of 1994 amending the
racing, pari-mutuel wagering and breeding law and other laws relating
to simulcasting; to amend chapter 346 of the laws of 1990 amending the
racing, pari-mutuel wagering and breeding law and other laws relating
to simulcasting and the imposition of certain taxes, in relation to
extending certain provisions thereof; and to amend the racing, pari-
mutuel wagering and breeding law, in relation to extending certain
provisions thereof (Part BB); intentionally omitted (Part CC); to
A. 3009--B 3
amend the tax law, in relation to adjusting certain income tax rates
(Part DD); to amend the tax law, in relation to extending supplemental
earned income tax credit and empire state child credit payments and
expanding existing programs (Part EE); to amend the tax law, the
public authorities law and the state finance law, in relation to sales
tax on digital products (Part FF); to amend the tax law, in relation
to establishing small business savings accounts (Part GG); to amend
the tax law, in relation to pass-through manufacturers zero percent
tax rate (Part HH); to amend the tax law, in relation to the amount of
credit for cider, wine, and liquor under the alcoholic beverage
production credit (Part II); to amend the tax law, the public authori-
ties law and the state finance law, in relation to adding a fee on
delivery transactions (Part JJ); to amend the state finance law, in
relation to the liability of a person who presents false claims for
money or property to the state or a local government (Part KK);
providing for the administration of certain funds and accounts related
to the 2023-2024 budget, authorizing certain payments and transfers;
to amend the state finance law, in relation to the administration of
certain funds and accounts; to amend the military law, in relation to
the deposit of funds for the use of armories; to amend the state
finance law, in relation to the rainy day reserve fund; to amend part
D of chapter 389 of the laws of 1997 relating to the financing of the
correctional facilities improvement fund and the youth facility
improvement fund, in relation to the issuance of certain bonds or
notes; to amend chapter 81 of the laws of 2002 relating to providing
for the administration of certain funds and accounts related to the
2002-2003 budget, in relation to the issuance of certain bonds &
notes; to amend part Y of chapter 61 of the laws of 2005, relating to
providing for the administration of certain funds and accounts related
to the 2005-2006 budget, in relation to the issuance of certain bonds
or notes; to amend the public authorities law, in relation to the
issuance of certain bonds or notes; to amend the New York state
medical care facilities finance agency act, in relation to the issu-
ance of certain bonds or notes; to amend the New York state urban
development corporation act, in relation to the issuance of certain
bonds or notes; to amend chapter 329 of the laws of 1991, amending the
state finance law and other laws relating to the establishment of the
dedicated highway and bridge trust fund, in relation to the issuance
of certain bonds or notes; to amend the public authorities law, in
relation to the issuance of certain bonds or notes; to amend the
private housing finance law, in relation to housing program bonds and
notes; to amend the New York state urban development corporation act,
in relation to the nonprofit infrastructure capital investment
program; to amend the New York state urban development corporation
act, in relation to state-supported debt issued during the 2024 fiscal
year; to amend the New York state urban development corporation act,
in relation to permitting the dormitory authority, the New York state
urban development corporation, and the thruway authority to issue
bonds for the purpose of refunding obligations of the power authority
of the state of New York to fund energy efficiency projects at state
agencies; to amend the public authorities law, in relation to financ-
ing of metropolitan transportation authority (MTA) transportation
facilities; to amend the state finance law, in relation to payments of
bonds; to amend the state finance law, in relation to the mental
health services fund; to amend the state finance law, in relation to
the issuance of revenue bonds; to amend part D of chapter 63 of the
A. 3009--B 4
laws of 2005, relating to the composition and responsibilities of the
New York state higher education capital matching grant board, in
relation to increasing the amount of authorized matching capital
grants; authorizing the dormitory authority and the urban development
corporation to issue certain bonds or notes; and providing for the
repeal of certain provisions upon expiration thereof (Part LL); to
amend the public authorities law and the labor law, in relation to
unemployment insurance fund bond financing (Part MM); and to amend the
county law, in relation to enacting the "Suffolk county water quality
restoration act", authorizing the county of Suffolk to establish a
water quality restoration fund, and authorizing the county of Suffolk
to form a county sewer and wastewater management district and extend
the existing one-quarter of one percent sales tax utilized to finance
the county drinking water protection program until 2060; to amend the
tax law, in relation to the Suffolk county water quality restoration
fund; and to amend the local finance law, in relation to the period of
probable usefulness of septic systems funded by programs established
by the county of Suffolk (Part NN)
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. This act enacts into law major components of legislation
which are necessary to implement the state fiscal plan for the 2023-2024
state fiscal year. Each component is wholly contained within a Part
identified as Parts A through NN. The effective date for each particular
provision contained within such Part is set forth in the last section of
such Part. Any provision in any section contained within a Part,
including the effective date of the Part, which makes a reference to a
section "of this act", when used in connection with that particular
component, shall be deemed to mean and refer to the corresponding
section of the Part in which it is found. Section three of this act sets
forth the general effective date of this act.
PART A
Section 1. The opening paragraph of paragraph a of subdivision twen-
ty-eighth of section 171 of the tax law, as amended by chapter 451 of
the laws of 2022, is amended to read as follows:
[In the case of a taxpayer who is determined for federal tax purposes
under the provisions of] HAVE THE AUTHORITY TO POSTPONE CERTAIN DEAD-
LINES FOR A PERIOD OF UP TO NINETY DAYS, OR LONGER WHEN NECESSARY TO
ALIGN WITH RELIEF PROVIDED BY THE INTERNAL REVENUE SERVICE PURSUANT TO
section seven thousand five hundred eight-A of the internal revenue code
[to be affected by a presidentially declared disaster, or who], FOR A
TAXPAYER WHO is determined [under regulations promulgated by the commis-
sioner] to be affected by a presidentially declared disaster or by a
disaster emergency declared by the governor[, have authority to provide
that a period of up to ninety days, or a longer period when necessary to
align with relief that has already been provided by the Internal Revenue
Service under the authority to postpone certain deadlines in section
seven thousand five hundred eight-A of the internal revenue code, may].
ANY EXTENSION PERIOD PROVIDED PURSUANT TO THE AUTHORITY IN THIS SUBDIVI-
SION SHALL be disregarded in determining under the tax law, or under a
law enacted pursuant to the authority of the tax law or former article
A. 3009--B 5
2-E of the general city law where administered by the commissioner, in
respect of any tax liability (including any interest, penalty, addi-
tional amount, or addition to the tax) of such taxpayer:
§ 2. Paragraph c of subdivision twenty-eighth of section 171 of the
tax law, as added by chapter 8 of the laws of 1998, is amended to read
as follows:
c. DEFINITIONS. 1. Presidentially declared disaster. For purposes of
this subdivision, the term "presidentially declared disaster" means any
disaster which, with respect to an area, resulted in a subsequent deter-
mination by the president of the United States that such area warrants
assistance by the federal government under the disaster relief and emer-
gency assistance act.
2. TAXPAYER. FOR PURPOSES OF THIS SUBDIVISION, THE TERM "TAXPAYER"
MEANS ANY PERSON OR ENTITY REQUIRED TO FILE A RETURN OR REMIT ANY TAX TO
THE COMMISSIONER PURSUANT TO THIS CHAPTER.
§ 3. Subdivision twenty-eighth of section 171 of the tax law is
amended by adding a new paragraph d to read as follows:
D. WHERE A TAXPAYER WHO, PURSUANT TO SECTION SEVEN THOUSAND FIVE
HUNDRED EIGHT-A OF THE INTERNAL REVENUE CODE, IS DETERMINED FOR FEDERAL
TAX PURPOSES TO BE AFFECTED BY A PRESIDENTIALLY DECLARED DISASTER, OR
WHO IS DETERMINED TO BE AFFECTED BY A DISASTER EMERGENCY DECLARED BY THE
GOVERNOR, BUT THE COMMISSIONER HAS NOT POSTPONED A TAX DEADLINE PURSUANT
TO THE AUTHORITY IN PARAGRAPH A OF THIS SUBDIVISION DUE TO SUCH DISAS-
TER, THE COMMISSIONER MAY ABATE ANY AMOUNT OF INTEREST FROM THE UNDER-
PAYMENT OF ANY TAX ADMINISTERED BY THE COMMISSIONER UNDER THIS CHAPTER
THAT ACCRUED FOR THE PERIOD DURING WHICH THE TAXPAYER WAS UNABLE TO MEET
SUCH DEADLINE DUE TO DIRECT IMPACTS OF THE DISASTER.
§ 4. This act shall take effect immediately.
PART B
Section 1. Subsection (e) of section 800 of the tax law, as added by
section 1 of part C of chapter 25 of the laws of 2009, is amended to
read as follows:
(e) Net earnings from self-employment. Net earnings from self-employ-
ment has the same meaning as in section 1402 of the internal revenue
code, PROVIDED, HOWEVER, THAT FOR PURPOSES OF DETERMINING WHETHER THE
EXCLUSION PURSUANT TO PARAGRAPH 13 OF SUBSECTION (A) OF SECTION 1402 OF
THE INTERNAL REVENUE CODE APPLIES, AN INDIVIDUAL SHALL NOT BE CONSIDERED
A LIMITED PARTNER IF THE INDIVIDUAL, DIRECTLY OR INDIRECTLY, TAKES PART
IN THE CONTROL, OR PARTICIPATES IN THE MANAGEMENT OR OPERATIONS OF THE
PARTNERSHIP SUCH THAT THE INDIVIDUAL IS NOT A PASSIVE INVESTOR, REGARD-
LESS OF THE INDIVIDUAL'S TITLE OR CHARACTERIZATION IN A PARTNERSHIP OR
OPERATING AGREEMENT.
§ 2. This act shall take effect immediately.
PART C
Section 1. Paragraph (d) of subdivision 1 of section 210-B of the tax
law, as amended by section 31 of part T of chapter 59 of the laws of
2015, is amended to read as follows:
(d) Except as otherwise provided in this paragraph, the credit allowed
under this subdivision for any taxable year shall not reduce the tax due
for such year to less than the fixed dollar minimum amount prescribed in
paragraph (d) of subdivision one of section two hundred ten of this
article. However, if the amount of credit allowable under this subdivi-
A. 3009--B 6
sion for any taxable year reduces the tax to such amount or if the
taxpayer otherwise pays tax based on the fixed dollar minimum amount,
any amount of credit allowed for a taxable year commencing prior to
January first, nineteen hundred eighty-seven and not deductible in such
taxable year may be carried over to the following year or years and may
be deducted from the taxpayer's tax for such year or years but in no
event shall such credit be carried over to taxable years commencing on
or after January first, two thousand two, and any amount of credit
allowed for a taxable year commencing on or after January first, nine-
teen hundred eighty-seven and not deductible in such year may be carried
over to the fifteen taxable years next following such taxable year and
may be deducted from the taxpayer's tax for such year or years. In lieu
of such carryover, (I) any such taxpayer which qualifies as a new busi-
ness under paragraph (f) of this subdivision may elect to treat the
amount of such carryover as an overpayment of tax to be credited or
refunded in accordance with the provisions of section one thousand
eighty-six of this chapter, AND (II) ANY SUCH TAXPAYER THAT IS AN ELIGI-
BLE FARMER, AS DEFINED IN SUBDIVISION ELEVEN OF THIS SECTION, MAY FOR
TAXABLE YEARS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-EIGHT,
ELECT TO TREAT THE AMOUNT OF SUCH CARRYOVER AS AN OVERPAYMENT OF TAX TO
BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE
THOUSAND EIGHTY-SIX OF THIS CHAPTER, provided, however, the provisions
of subsection (c) of section one thousand eighty-eight of this chapter
notwithstanding, no interest shall be paid thereon.
§ 2. Paragraph 5 of subsection (a) of section 606 of the tax law, as
amended by chapter 170 of the laws of 1994, is amended to read as
follows:
(5) If the amount of credit allowable under this subsection for any
taxable year shall exceed the taxpayer's tax for such year, the excess
allowed for a taxable year commencing prior to January first, nineteen
hundred eighty-seven may be carried over to the following year or years
and may be deducted from the taxpayer's tax for such year or years, but
in no event shall such credit be carried over to taxable years commenc-
ing on or after January first, nineteen hundred ninety-seven, and any
amount of credit allowed for a taxable year commencing on or after Janu-
ary first, nineteen hundred eighty-seven and not deductible in such year
may be carried over to the ten taxable years next following such taxable
year and may be deducted from the taxpayer's tax for such year or years.
In lieu of carrying over any such excess, (A) a taxpayer who qualifies
as an owner of a new business for purposes of paragraph ten of this
subsection may, at [his] THE TAXPAYER'S option, receive such excess as a
refund, AND (B) A TAXPAYER THAT IS AN ELIGIBLE FARMER AS DEFINED IN
SUBSECTION (N) OF THIS SECTION MAY, AT THE TAXPAYER'S OPTION, FOR TAXA-
BLE YEARS BEGINNING BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-EIGHT
RECEIVE SUCH EXCESS AS A REFUND. Any refund paid pursuant to this para-
graph shall be deemed to be a refund of an overpayment of tax as
provided in section six hundred eighty-six of this article, provided,
however, that no interest shall be paid thereon.
§ 3. This act shall take effect immediately, and apply to taxable
years beginning on or after January 1, 2023.
PART D
Section 1. Paragraph 2 of subdivision (a) of section 24 of the tax
law, as separately amended by sections 1 and 2 of part M of chapter 59
of the laws of 2020, is amended to read as follows:
A. 3009--B 7
(2) The amount of the credit shall be the product (or pro rata share
of the product, in the case of a member of a partnership) of [twenty-
five] THIRTY percent, OR THIRTY-FIVE PERCENT IN THE CASE OF AN ELIGIBLE
RELOCATED TELEVISION SERIES, and the qualified production costs paid or
incurred in the production of a qualified film, provided that: (i) the
qualified production costs (excluding post production costs) paid or
incurred which are attributable to the use of tangible property or the
performance of services at a qualified film production facility in the
production of such qualified film equal or exceed seventy-five percent
of the production costs (excluding post production costs) paid or
incurred which are attributable to the use of tangible property or the
performance of services at any film production facility within and with-
out the state in the production of such qualified film, and (ii) except
with respect to a qualified independent film production company or
pilot, at least ten percent of the total principal photography shooting
days spent in the production of such qualified film must be spent at a
qualified film production facility. However, if the qualified production
costs (excluding post production costs) which are attributable to the
use of tangible property or the performance of services at a qualified
film production facility in the production of such qualified film is
less than three million dollars, then the portion of the qualified
production costs attributable to the use of tangible property or the
performance of services in the production of such qualified film outside
of a qualified film production facility shall be allowed only if the
shooting days spent in New York outside of a film production facility in
the production of such qualified film equal or exceed seventy-five
percent of the total shooting days spent within and without New York
outside of a film production facility in the production of such quali-
fied film. The credit shall be allowed for the taxable year in which the
production of such qualified film is completed. However, in the case of
a qualified film that receives funds from additional pool 2, no credit
shall be claimed before the later of (1) the taxable year the production
of the qualified film is complete, or (2) the [first] taxable year
[beginning immediately after the] THAT INCLUDES THE LAST DAY OF THE
allocation year for which the film has been allocated credit by the
[governor's office for motion picture and television] DEPARTMENT OF
ECONOMIC development. If the amount of the credit is at least one
million dollars but less than five million dollars, the credit shall be
claimed over a two year period beginning in the first taxable year in
which the credit may be claimed and in the next succeeding taxable year,
with one-half of the amount of credit allowed being claimed in each
year. If the amount of the credit is at least five million dollars, the
credit shall be claimed over a three year period beginning in the first
taxable year in which the credit may be claimed and in the next two
succeeding taxable years, with one-third of the amount of the credit
allowed being claimed in each year.
§ 2. Paragraph 5 of subdivision (a) of section 24 of the tax law, as
amended by section 2 of part M of chapter 59 of the laws of 2022, is
amended to read as follows:
(5) For the period two thousand fifteen through two thousand [twenty-
nine] THIRTY-FOUR, in addition to the amount of credit established in
paragraph two of this subdivision, a taxpayer shall be allowed a credit
equal to the product (or pro rata share of the product, in the case of a
member of a partnership) of ten percent and the amount of wages or sala-
ries paid to individuals directly employed (excluding those employed as
writers, directors, [music directors] COMPOSERS, producers and perform-
A. 3009--B 8
ers, [including] OTHER THAN background actors with no scripted lines TO
THE EXTENT THOSE WAGES OR SALARIES OR OTHER COMPENSATION EXCEED FIVE
HUNDRED THOUSAND DOLLARS PER INDIVIDUAL) by a qualified film production
company or a qualified independent film production company for services
performed by those individuals in one of the counties specified in this
paragraph in connection with a qualified film with a minimum budget of
five hundred thousand dollars. PROVIDED, HOWEVER, THE AGGREGATE TOTAL
ELIGIBLE QUALIFIED PRODUCTION COSTS FOR PRODUCERS, WRITERS, DIRECTORS,
PERFORMERS (OTHER THAN BACKGROUND ACTORS WITH NO SCRIPTED LINES), AND
COMPOSERS SHALL NOT EXCEED FORTY PERCENT OF THE AGGREGATE SUM TOTAL OF
ALL OTHER QUALIFIED PRODUCTION COSTS. For purposes of this additional
credit, the services must be performed in one or more of the following
counties: Albany, Allegany, Broome, Cattaraugus, Cayuga, Chautauqua,
Chemung, Chenango, Clinton, Columbia, Cortland, Delaware, Dutchess,
Erie, Essex, Franklin, Fulton, Genesee, Greene, Hamilton, Herkimer,
Jefferson, Lewis, Livingston, Madison, Monroe, Montgomery, Niagara,
Oneida, Onondaga, Ontario, Orange, Orleans, Oswego, Otsego, Putnam,
Rensselaer, Saratoga, Schenectady, Schoharie, Schuyler, Seneca, St.
Lawrence, Steuben, Sullivan, Tioga, Tompkins, Ulster, Warren, Washing-
ton, Wayne, Wyoming, or Yates. The aggregate amount of tax credits
allowed pursuant to the authority of this paragraph shall be five
million dollars each year during the period two thousand fifteen through
two thousand [twenty-nine] TWENTY-THREE AND FIFTEEN MILLION DOLLARS EACH
YEAR DURING THE PERIOD TWO THOUSAND TWENTY-FOUR THROUGH TWO THOUSAND
THIRTY-FOUR of the annual allocation made available to the program
pursuant to paragraph four of subdivision (e) of this section. Such
aggregate amount of credits shall be allocated by the [governor's office
for motion picture and television] DEPARTMENT OF ECONOMIC development
among taxpayers in order of priority based upon the date of filing an
application for allocation of film production credit [with such office].
If the total amount of allocated credits applied for under this para-
graph in any year exceeds the aggregate amount of tax credits allowed
for such year under this paragraph, such excess shall be treated as
having been applied for on the first day of the next year. If the total
amount of allocated tax credits applied for under this paragraph at the
conclusion of any year is less than five million dollars EACH YEAR
DURING THE PERIOD TWO THOUSAND FIFTEEN THROUGH TWO THOUSAND TWENTY-THREE
AND FIFTEEN MILLION DOLLARS EACH YEAR DURING THE PERIOD TWO THOUSAND
TWENTY-FOUR THROUGH TWO THOUSAND THIRTY-FOUR, the remainder shall be
treated as part of the annual allocation made available to the program
pursuant to paragraph four of subdivision (e) of this section. However,
in no event may the total of the credits allocated under this paragraph
and the credits allocated under paragraph five of subdivision (a) of
section thirty-one of this article exceed five million dollars [in any
year during the period two thousand fifteen through two thousand twen-
ty-nine]; PROVIDED FURTHER, HOWEVER, THAT DURING THE PERIOD TWO THOUSAND
TWENTY-FOUR THROUGH TWO THOUSAND THIRTY-FOUR, IN NO EVENT MAY THE TOTAL
OF THE CREDITS ALLOCATED UNDER THIS PARAGRAPH EXCEED FIFTEEN MILLION
DOLLARS OR THE CREDITS ALLOCATED UNDER PARAGRAPH FIVE OF SUBDIVISION (A)
OF SECTION THIRTY-ONE OF THIS ARTICLE EXCEED FIVE MILLION DOLLARS.
§ 2-a. Paragraph 1 of subdivision (b) of section 24 of the tax law, as
amended by section 4 of part B of chapter 59 of the laws of 2013, is
amended to read as follows:
(1) "Qualified production costs" means production costs only to the
extent such costs are attributable to the use of tangible property or
the performance of services within the state directly and predominantly
A. 3009--B 9
in the production (including pre-production and post production) of a
qualified film. THE AGGREGATE TOTAL ELIGIBLE QUALIFIED PRODUCTION
COSTS FOR PRODUCERS, WRITERS, DIRECTORS, PERFORMERS (OTHER THAN BACK-
GROUND ACTORS WITH NO SCRIPTED LINES), AND COMPOSERS SHALL NOT EXCEED
FORTY PERCENT OF THE AGGREGATE SUM TOTAL OF ALL OTHER QUALIFIED
PRODUCTION COSTS.
§ 3. Paragraph 2 of subdivision (b) of section 24 of the tax law, as
added by section 1 of part P of chapter 60 of the laws of 2004, is
amended to read as follows:
(2) "Production costs" means any costs for tangible property used and
services performed directly and predominantly in the production (includ-
ing pre-production and post production) of a qualified film.
"Production costs" shall not include (i) costs for a story, script or
scenario to be used for a qualified film and (ii) wages or salaries or
other compensation for writers, directors, [including music directors]
COMPOSERS, producers and performers (other than background actors with
no scripted lines) TO THE EXTENT THOSE WAGES OR SALARIES OR OTHER
COMPENSATION EXCEED FIVE HUNDRED THOUSAND DOLLARS PER INDIVIDUAL.
"Production costs" generally include technical and crew production
costs, such as expenditures for film production facilities, or any part
thereof, props, makeup, wardrobe, film processing, camera, sound record-
ing, set construction, lighting, shooting, editing and meals.
§ 4. Paragraph 8 of subdivision (b) of section 24 of the tax law, as
added by section 2 of part B of chapter 59 of the laws of 2013, is
amended to read as follows:
(8) "Relocated television production" shall mean, notwithstanding the
limitations in subparagraph (i) of paragraph three of this subdivision,
a television production that is a talk or variety program that filmed at
least [five] TWO seasons outside the state prior to its first relocated
season in New York, the episodes are filmed before a studio audience of
two hundred or more, and the relocated television production incurs (i)
at least thirty million dollars in annual production costs in the state,
or (ii) at least ten million dollars in capital expenditures at a quali-
fied production facility in the state.
§ 5. Subdivision (b) of section 24 of the tax law is amended by adding
a new paragraph 9 to read as follows:
(9) "ELIGIBLE RELOCATED TELEVISION SERIES" SHALL MEAN THE FIRST TWO
YEARS OF A REGULARLY OCCURRING PRODUCTION INTENDED TO RUN IN ITS INITIAL
BROADCAST, REGARDLESS OF THE MEDIUM OR MODE OF ITS DISTRIBUTION, IN A
SERIES OF NARRATIVE AND/OR THEMATICALLY RELATED EPISODES, EACH OF WHICH
HAS A RUNNING TIME OF AT LEAST THIRTY MINUTES IN LENGTH (INCLUSIVE OF
COMMERCIAL ADVERTISEMENT AND INTERSTITIAL PROGRAMMING, IF ANY). FOR THE
PURPOSES OF THIS DEFINITION ONLY, A TELEVISION SERIES PRODUCED BY AND
FOR MEDIA SERVICES PROVIDERS DESCRIBED AS STREAMING SERVICES AND/OR
DIGITAL PLATFORMS (AND EXCLUDING NETWORK/CABLE) SHALL MEAN A REGULARLY
OCCURRING PRODUCTION INTENDED TO RUN IN ITS INITIAL RELEASE IN A SERIES
OF NARRATIVE AND/OR THEMATICALLY RELATED EPISODES, THE AGGREGATE LENGTH
OF WHICH IS AT LEAST SEVENTY-FIVE MINUTES, ALTHOUGH THE EPISODES THEM-
SELVES MAY VARY IN DURATION FROM THE THIRTY MINUTES SPECIFIED FOR
NETWORK/CABLE PRODUCTION, WHICH HAD FILMED A MINIMUM OF SIX EPISODES OF
THE TELEVISION SERIES OUTSIDE THE STATE IMMEDIATELY PRIOR TO RELOCATING
TO THE STATE, WHERE THE TELEVISION SERIES HAD A TOTAL MINIMUM BUDGET OF
AT LEAST ONE MILLION DOLLARS PER EPISODE.
§ 6. Paragraph 4 of subdivision (e) of section 24 of the tax law, as
amended by section 3 of part M of chapter 59 of the laws of 2022, is
amended to read as follows:
A. 3009--B 10
(4) Additional pool 2 - The aggregate amount of tax credits allowed in
subdivision (a) of this section shall be increased by an additional four
hundred twenty million dollars in each year starting in two thousand ten
through two thousand [twenty-nine] TWENTY-THREE AND SEVEN HUNDRED
MILLION DOLLARS EACH YEAR STARTING IN TWO THOUSAND TWENTY-FOUR THROUGH
TWO THOUSAND THIRTY-FOUR, provided however, seven million dollars of the
annual allocation shall be available for the empire state film post
production credit pursuant to section thirty-one of this article in two
thousand thirteen and two thousand fourteen, twenty-five million dollars
of the annual allocation shall be available for the empire state film
post production credit pursuant to section thirty-one of this article in
each year starting in two thousand fifteen through two thousand [twen-
ty-nine and] TWENTY-THREE, AND FORTY-FIVE MILLIONS DOLLARS OF THE ANNUAL
ALLOCATION SHALL BE AVAILABLE FOR THE EMPIRE STATE FILM POST PRODUCTION
CREDIT PURSUANT TO SECTION THIRTY-ONE OF THIS ARTICLE IN EACH YEAR
STARTING IN TWO THOUSAND TWENTY-FOUR THROUGH TWO THOUSAND THIRTY-FOUR.
PROVIDED FURTHER, five million dollars of the annual allocation shall be
made available for the television writers' and directors' fees and sala-
ries credit pursuant to section twenty-four-b of this article in each
year starting in two thousand twenty through two thousand [twenty-nine]
THIRTY-FOUR. This amount shall be allocated by the [governor's office
for motion picture and television] DEPARTMENT OF ECONOMIC development
among taxpayers in accordance with subdivision (a) of this section. If
the commissioner of economic development determines that the aggregate
amount of tax credits available from additional pool 2 for the empire
state film production tax credit have been previously allocated, and
determines that the pending applications from eligible applicants for
the empire state film post production tax credit pursuant to section
thirty-one of this article is insufficient to utilize the balance of
unallocated empire state film post production tax credits from such
pool, the remainder, after such pending applications are considered,
shall be made available for allocation in the empire state film tax
credit pursuant to this section, subdivision twenty of section two
hundred ten-B and subsection (gg) of section six hundred six of this
chapter. Also, if the commissioner of economic development determines
that the aggregate amount of tax credits available from additional pool
2 for the empire state film post production tax credit have been previ-
ously allocated, and determines that the pending applications from
eligible applicants for the empire state film production tax credit
pursuant to this section is insufficient to utilize the balance of unal-
located film production tax credits from such pool, then all or part of
the remainder, after such pending applications are considered, shall be
made available for allocation for the empire state film post production
credit pursuant to this section, subdivision thirty-two of section two
hundred ten-B and subsection (qq) of section six hundred six of this
chapter. The [governor's office for motion picture and television]
DEPARTMENT OF ECONOMIC development must notify taxpayers of their allo-
cation year and include the allocation year on the certificate of tax
credit. Taxpayers eligible to claim a credit must report the allocation
year directly on their empire state film production credit tax form for
each year a credit is claimed and include a copy of the certificate with
their tax return. In the case of a qualified film that receives funds
from additional pool 2, no empire state film production credit shall be
claimed before the later of (1) the taxable year the production of the
qualified film is complete, or (2) the taxable year [immediately follow-
ing] THAT INCLUDES THE LAST DAY OF the allocation year for which the
A. 3009--B 11
film has been allocated credit by the [governor's office for motion
picture and television] DEPARTMENT OF ECONOMIC development.
§ 7. Paragraph 4 of subdivision (e) of section 24 of the tax law, as
amended by section 4 of part M of chapter 59 of the laws of 2022, is
amended to read as follows:
(4) Additional pool 2 - The aggregate amount of tax credits allowed in
subdivision (a) of this section shall be increased by an additional four
hundred twenty million dollars in each year starting in two thousand ten
through two thousand [twenty-nine] TWENTY-THREE AND SEVEN HUNDRED
MILLION DOLLARS IN EACH YEAR STARTING IN TWO THOUSAND TWENTY-FOUR
THROUGH TWO THOUSAND THIRTY-FOUR, provided however, seven million
dollars of the annual allocation shall be available for the empire state
film post production credit pursuant to section thirty-one of this arti-
cle in two thousand thirteen and two thousand fourteen [and], twenty-
five million dollars of the annual allocation shall be available for the
empire state film post production credit pursuant to section thirty-one
of this article in each year starting in two thousand fifteen through
two thousand [twenty-nine] TWENTY-THREE, AND FORTY-FIVE MILLION DOLLARS
OF THE ANNUAL ALLOCATION SHALL BE AVAILABLE FOR THE EMPIRE STATE FILM
POST PRODUCTION CREDIT PURSUANT TO SECTION THIRTY-ONE OF THIS ARTICLE IN
EACH YEAR STARTING IN TWO THOUSAND TWENTY-FOUR THROUGH TWO THOUSAND
THIRTY-FOUR. This amount shall be allocated by the [governor's office
for motion picture and television] DEPARTMENT OF ECONOMIC development
among taxpayers in accordance with subdivision (a) of this section. If
the commissioner of economic development determines that the aggregate
amount of tax credits available from additional pool 2 for the empire
state film production tax credit have been previously allocated, and
determines that the pending applications from eligible applicants for
the empire state film post production tax credit pursuant to section
thirty-one of this article is insufficient to utilize the balance of
unallocated empire state film post production tax credits from such
pool, the remainder, after such pending applications are considered,
shall be made available for allocation in the empire state film tax
credit pursuant to this section, subdivision twenty of section two
hundred ten-B and subsection (gg) of section six hundred six of this
chapter. Also, if the commissioner of economic development determines
that the aggregate amount of tax credits available from additional pool
2 for the empire state film post production tax credit have been previ-
ously allocated, and determines that the pending applications from
eligible applicants for the empire state film production tax credit
pursuant to this section is insufficient to utilize the balance of unal-
located film production tax credits from such pool, then all or part of
the remainder, after such pending applications are considered, shall be
made available for allocation for the empire state film post production
credit pursuant to this section, subdivision thirty-two of section two
hundred ten-B and subsection (qq) of section six hundred six of this
chapter. The [governor's office for motion picture and television]
DEPARTMENT OF ECONOMIC development must notify taxpayers of their allo-
cation year and include the allocation year on the certificate of tax
credit. Taxpayers eligible to claim a credit must report the allocation
year directly on their empire state film production credit tax form for
each year a credit is claimed and include a copy of the certificate with
their tax return. In the case of a qualified film that receives funds
from additional pool 2, no empire state film production credit shall be
claimed before the later of (1) the taxable year the production of the
qualified film is complete, or (2) the taxable year [immediately follow-
A. 3009--B 12
ing] THAT INCLUDES THE LAST DAY OF the allocation year for which the
film has been allocated credit by the [governor's office for motion
picture and television] DEPARTMENT OF ECONOMIC development.
§ 8. Paragraph 2 of subdivision (a) of section 31 of the tax law, as
amended by section 5 of part M of chapter 59 of the laws of 2020, is
amended to read as follows:
(2) The amount of the credit shall be the product (or pro rata share
of the product, in the case of a member of a partnership) of [twenty-
five] THIRTY percent and the qualified post production costs paid in the
production of a qualified film at a qualified post production facility
located within the metropolitan commuter transportation district as
defined in section twelve hundred sixty-two of the public authorities
law or [thirty] THIRTY-FIVE percent and the qualified post production
costs paid in the production of a qualified film at a qualified post
production facility located elsewhere in the state.
§ 9. Paragraph 6 of subdivision (a) of section 31 of the tax law, as
amended by section 6 of part M of chapter 59 of the laws of 2022, is
amended to read as follows:
(6) For the period two thousand fifteen through two thousand [twenty-
nine] THIRTY-FOUR, in addition to the amount of credit established in
paragraph two of this subdivision, a taxpayer shall be allowed a credit
equal to the product (or pro rata share of the product, in the case of a
member of a partnership) of ten percent and the amount of wages or sala-
ries paid to individuals directly employed (excluding those employed as
writers, directors, [music directors] COMPOSERS, producers and perform-
ers, [including] OTHER THAN background actors with no scripted lines)
for services performed by those individuals in one of the counties spec-
ified in this paragraph in connection with the post production work on a
qualified film with a minimum budget of five hundred thousand dollars at
a qualified post production facility in one of the counties listed in
this paragraph. For purposes of this additional credit, the services
must be performed in one or more of the following counties: Albany,
Allegany, Broome, Cattaraugus, Cayuga, Chautauqua, Chemung, Chenango,
Clinton, Columbia, Cortland, Delaware, Dutchess, Erie, Essex, Franklin,
Fulton, Genesee, Greene, Hamilton, Herkimer, Jefferson, Lewis, Living-
ston, Madison, Monroe, Montgomery, Niagara, Oneida, Onondaga, Ontario,
Orange, Orleans, Oswego, Otsego, Putnam, Rensselaer, Saratoga, Schenec-
tady, Schoharie, Schuyler, Seneca, St. Lawrence, Steuben, Sullivan,
Tioga, Tompkins, Ulster, Warren, Washington, Wayne, Wyoming, or Yates.
The aggregate amount of tax credits allowed pursuant to the authority of
this paragraph shall be five million dollars each year during the period
two thousand fifteen through two thousand [twenty-nine] THIRTY-FOUR of
the annual allocation made available to the empire state film post
production credit pursuant to paragraph four of subdivision (e) of
section twenty-four of this article. Such aggregate amount of credits
shall be allocated by the [governor's office for motion picture and
television] DEPARTMENT OF ECONOMIC development among taxpayers in order
of priority based upon the date of filing an application for allocation
of post production credit with such office. If the total amount of allo-
cated credits applied for under this paragraph in any year exceeds the
aggregate amount of tax credits allowed for such year under this para-
graph, such excess shall be treated as having been applied for on the
first day of the next year. If the total amount of allocated tax credits
applied for under this paragraph at the conclusion of any year is less
than five million dollars, the remainder shall be treated as part of the
annual allocation for two thousand seventeen made available to the
A. 3009--B 13
empire state film post production credit pursuant to paragraph four of
subdivision (e) of section twenty-four of this article. However, in no
event may the total of the credits allocated under this paragraph and
the credits allocated under paragraph five of subdivision (a) of section
twenty-four of this article exceed five million dollars in any year
during the period two thousand fifteen through two thousand [twenty-
nine] THIRTY-FOUR.
§ 9-a. Paragraph 3 of subdivision (b) of section 24 of the tax law, as
amended by section 5 of part F of chapter 59 of the laws of 2021, is
amended to read as follows:
(3) "Qualified film" means a feature-length film, television film,
relocated television production, television pilot or television series,
regardless of the medium by means of which the film, pilot or series is
created or conveyed. For the purposes of the credit provided by this
section only, a "qualified film" whose majority of principal photography
shooting days in the production of the qualified film are shot in West-
chester, Rockland, Nassau, or Suffolk county or any of the five New York
City boroughs shall have a minimum budget of one million dollars. A
"qualified film", whose majority of principal photography shooting days
in the production of the qualified film are shot in any other county of
the state than those listed in the preceding sentence shall have a mini-
mum budget of two hundred fifty thousand dollars. "Qualified film" shall
not include: (i) a documentary film, news or current affairs program,
interview or talk program, "how-to" (i.e., instructional) film or
program, film or program consisting primarily of stock footage, sporting
event or sporting program, game show, award ceremony, film or program
intended primarily for industrial, corporate or institutional end-users,
fundraising film or program, daytime drama (i.e., daytime "soap opera"),
commercials, music videos or "reality" program; (ii) a production for
which records are required under section 2257 of title 18, United States
code, to be maintained with respect to any performer in such production
(reporting of books, films, etc. with respect to sexually explicit
conduct); or (iii) other than a relocated television production, a tele-
vision series commonly known as variety entertainment, variety sketch
and variety talk, i.e., a program with components of improvisational or
scripted content (monologues, sketches, interviews), either exclusively
or in combination with other entertainment elements such as musical
performances, dancing, cooking, crafts, pranks, stunts, and games and
which may be further defined in regulations of the commissioner of
economic development. However, a qualified film shall include a tele-
vision series as described in subparagraph (iii) of this paragraph only
if an application for such series has been deemed conditionally eligible
for the tax credit under this section prior to April first, two thousand
twenty, such series remains in continuous production for each season,
and an annual application for each season of such series is continually
submitted for such series after April first, two thousand twenty.
NOTWITHSTANDING SUBPARAGRAPH (III) OF THIS PARAGRAPH, AN ENTITY RECEIV-
ING A CREDIT PURSUANT TO THIS SECTION FOR A TELEVISION SERIES COMMONLY
KNOWN AS VARIETY ENTERTAINMENT, THAT WOULD OTHERWISE BE PROHIBITED FROM
RECEIVING A TAX CREDIT, SHALL BE ELIGIBLE FOR A NEW VARIETY ENTER-
TAINMENT SHOW CREDIT IF THE AMOUNT OF THE INITIAL YEAR CREDIT DOES NOT
EXCEED THE PREVIOUS YEAR'S AMOUNT, AT LEAST FIFTY PERCENT OF THE STAFF
ARE MAINTAINED IN THE FIRST YEAR OF THE CREDIT, THE SAME ELIGIBLE ENTITY
APPLIES FOR THE SUBSEQUENT SEASON'S CREDIT, AND SUCH APPLICATION IS MADE
PRIOR TO MARCH THIRTY-FIRST, TWO THOUSAND TWENTY-FOUR.
A. 3009--B 14
§ 10. This act shall take effect immediately for initial applications
received on or after such effective date; provided, however, that the
amendments to paragraph 4 of subdivision (e) of section 24 of the tax
law made by section six of this act shall take effect on the same date
and in the same manner as section 6 of chapter 683 of the laws of 2019,
as amended, takes effect.
PART E
Section 1. Section 1085 of the tax law is amended by adding a new
subsection (e-1) to read as follows:
(E-1) WAIVER OF ADDITION FOR UNDERPAYMENT OF ESTIMATED TAX. NO ADDI-
TION TO TAX SHALL BE IMPOSED UNDER SUBSECTION (C) OF THIS SECTION WITH
RESPECT TO ANY UNDERPAYMENT TO THE EXTENT THE COMMISSIONER DETERMINES
THAT BY REASON OF CASUALTY, DISASTER OR OTHER UNUSUAL CIRCUMSTANCES THE
IMPOSITION OF SUCH ADDITION TO TAX WOULD BE AGAINST EQUITY AND GOOD
CONSCIENCE.
§ 2. This act shall take effect immediately.
PART F
Section 1. Subdivision 4 of section 484 of the economic development
law, as added by section 1 of part E of chapter 59 of the laws of 2022,
is amended to read as follows:
4. The business entity must submit its application by [March thirty-
first] SEPTEMBER THIRTIETH, two thousand twenty-three.
§ 2. This act shall take effect immediately.
PART G
Section 1. Article 6 of the social services law is amended by adding a
new title 1-A to read as follows:
TITLE 1-A
CHILD CARE CREATION AND EXPANSION TAX CREDIT PROGRAM
SECTION 394. SHORT TITLE.
394-A. DEFINITIONS.
394-B. ELIGIBILITY CRITERIA.
394-C. APPLICATION AND APPROVAL PROCESS.
394-D. CHILD CARE CREATION AND EXPANSION TAX CREDIT.
394-E. ALLOCATION OF CREDIT.
394-F. POWERS AND DUTIES OF THE COMMISSIONER.
394-G. MAINTENANCE OF RECORDS.
§ 394. SHORT TITLE. THIS TITLE SHALL BE KNOWN AND MAY BE CITED AS THE
"CHILD CARE CREATION AND EXPANSION TAX CREDIT PROGRAM ACT".
§ 394-A. DEFINITIONS. FOR THE PURPOSES OF THIS TITLE:
1. "CERTIFICATE OF TAX CREDIT" SHALL MEAN THE DOCUMENT ISSUED TO A
BUSINESS ENTITY BY THE OFFICE AFTER THE OFFICE HAS VERIFIED THAT THE
BUSINESS ENTITY HAS MET ALL APPLICABLE ELIGIBILITY CRITERIA IN THIS
TITLE. THE CERTIFICATE SHALL SPECIFY THE EXACT AMOUNT OF THE TAX CREDIT
UNDER THIS TITLE THAT A BUSINESS ENTITY MAY CLAIM, PURSUANT TO SECTION
THREE HUNDRED NINETY-FOUR-D OF THIS TITLE, AND THE SERVICE YEAR.
2. "CHILD CARE PROGRAM" SHALL MEAN A CHILD DAY CARE FOR WHICH A
LICENSE OR REGISTRATION TO OPERATE SUCH PROGRAM HAS BEEN ISSUED BY THE
OFFICE PURSUANT TO SECTION THREE HUNDRED NINETY OF THIS ARTICLE.
3. "CHILD CARE RATE" SHALL MEAN THE WEEKLY CHILD CARE SUBSIDY MARKET
RATES, BASED ON THE EIGHTIETH PERCENTILE OF THE 2021-22 NEW YORK STATE
A. 3009--B 15
CHILD CARE MARKET RATE SURVEY, FOR INFANT AND TODDLER CARE PROVIDED BY A
LICENSED OR REGISTERED CHILD CARE PROGRAM, AS REFLECTED IN THE 2022
CHILD CARE MARKET RATE SURVEY REPORT PUBLISHED BY THE OFFICE IN COMPLI-
ANCE WITH SECTION 98.45 OF TITLE FORTY-FIVE OF THE CODE OF FEDERAL REGU-
LATIONS.
4. "CHILD CARE SEATS" SHALL MEAN THE MAXIMUM NUMBER OF CHILDREN TO BE
ALLOWED ON THE PREMISES OF A CHILD CARE PROGRAM AT ANY TIME THAT SUCH
PROGRAM IS IN OPERATION AS SPECIFIED ON THE LICENSE OR REGISTRATION
ISSUED FOR SUCH PROGRAM BY THE OFFICE.
5. "CREATES CHILD CARE" SHALL MEAN THE MAKING AVAILABLE OF CHILD CARE
SEATS IN A CHILD CARE PROGRAM BY A BUSINESS ENTITY, DIRECTLY OR THROUGH
A THIRD-PARTY, FOR EMPLOYEES OF SUCH BUSINESS ENTITY, WHERE SUCH CHILD
CARE PROGRAM WAS NOT AVAILABLE PRIOR TO APRIL FIRST, TWO THOUSAND TWEN-
TY-THREE, PROVIDED THAT THE COSTS IMPOSED ON SUCH EMPLOYEES FOR SUCH
CHILD CARE PROGRAM DO NOT EXCEED FORTY PERCENT OF THE CHILD CARE RATE.
6. "COMMISSIONER" SHALL MEAN COMMISSIONER OF THE OFFICE OF CHILDREN
AND FAMILY SERVICES.
7. "EXPANDS CHILD CARE" SHALL MEAN THE INCREASE IN THE NUMBER OF CHILD
CARE SEATS IN A CHILD CARE PROGRAM MADE AVAILABLE BY A BUSINESS ENTITY,
DIRECTLY OR THROUGH A THIRD PARTY, FOR EMPLOYEES OF SUCH BUSINESS ENTI-
TY, PROVIDED THAT SUCH INCREASE REQUIRES A NEW OR AMENDED LICENSE OR
REGISTRATION ISSUED BY THE OFFICE PURSUANT TO SECTION THREE HUNDRED
NINETY OF THIS ARTICLE ON OR AFTER APRIL FIRST, TWO THOUSAND TWENTY-
THREE, AND, PROVIDED FURTHER, THAT THE COSTS IMPOSED ON SUCH EMPLOYEES
FOR SUCH CHILD CARE PROGRAM DO NOT EXCEED FORTY PERCENT OF THE CHILD
CARE RATE.
8. "OCCUPIED" SHALL MEAN, FOR EACH SERVICE YEAR IN WHICH A CHILD CARE
PROGRAM IS IN OPERATION, THE AVERAGE DAILY NUMBER OF CHILDREN IN ATTEND-
ANCE ON THE PREMISES OF SUCH CHILD CARE PROGRAM.
9. "OFFICE" SHALL MEAN THE OFFICE OF CHILDREN AND FAMILY SERVICES.
10. "SERVICE YEAR" SHALL MEAN THE TWELVE-MONTH PERIOD, OR PORTION
THEREOF, COMMENCING ON JANUARY FIRST AND ENDING ON DECEMBER THIRTY-
FIRST.
§ 394-B. ELIGIBILITY CRITERIA. 1. TO BE ELIGIBLE FOR A TAX CREDIT
UNDER THE CHILD CARE CREATION AND EXPANSION TAX CREDIT PROGRAM, A BUSI-
NESS ENTITY MUST:
(A) BE A BUSINESS ENTITY THAT IS REQUIRED TO FILE A TAX RETURN PURSU-
ANT TO ARTICLE NINE-A, TWENTY-TWO OR THIRTY-THREE OF THE TAX LAW;
(B) BE A CHILD CARE PROGRAM, OR CONTRACT WITH SUCH CHILD CARE PROGRAM,
AS DEFINED IN THIS TITLE THAT IS LICENSED OR REGISTERED PURSUANT TO
SECTION THREE HUNDRED NINETY OF THIS ARTICLE;
(C) CREATE OR EXPAND CHILD CARE SEATS, DIRECTLY OR THROUGH A THIRD
PARTY, FOR THE EMPLOYEES OF SUCH BUSINESS ENTITY ON OR AFTER APRIL
FIRST, TWO THOUSAND TWENTY-THREE AND BEFORE JANUARY FIRST, TWO THOUSAND
TWENTY-FIVE;
(D) OPERATE A BUSINESS LOCATION IN NEW YORK STATE;
(E) BE IN SUBSTANTIAL COMPLIANCE WITH ANY CHILD CARE LICENSING LAWS
AND REGULATIONS RELATED TO THE ENTITY'S BUSINESS SECTOR OR OTHER LAWS
AND REGULATIONS AS DETERMINED BY THE COMMISSIONER; AND
(F) NOT OWE PAST DUE STATE TAXES OR LOCAL PROPERTY TAXES UNLESS THE
BUSINESS ENTITY IS MAKING PAYMENTS AND COMPLYING WITH AN APPROVED BIND-
ING PAYMENT AGREEMENT ENTERED INTO WITH THE TAXING AUTHORITY.
§ 394-C. APPLICATION AND APPROVAL PROCESS. 1. A BUSINESS ENTITY MUST
SUBMIT A COMPLETE APPLICATION AS PRESCRIBED BY THE COMMISSIONER BY THE
THIRTY-FIRST OF JANUARY AFTER THE END OF THE SERVICE YEAR.
A. 3009--B 16
2. THE COMMISSIONER SHALL ESTABLISH PROCEDURES FOR A BUSINESS ENTITY
TO SUBMIT APPLICATIONS. AS PART OF THE APPLICATION, EACH BUSINESS ENTITY
MUST:
(A) PROVIDE EVIDENCE IN A FORM AND MANNER PRESCRIBED BY THE COMMIS-
SIONER OF THEIR BUSINESS ELIGIBILITY;
(B) PROVIDE THE LICENSE OR REGISTRATION ISSUED TO THE BUSINESS ENTITY,
DIRECTLY OR THROUGH A THIRD PARTY, BY THE OFFICE TO OPERATE A CHILD CARE
PROGRAM INDICATING THE NUMBER OF CHILD CARE SEATS CREATED OR, IN THE
CASE OF A CHILD CARE PROGRAM THAT HAS EXPERIENCED AN EXPANSION OF CHILD
CARE SEATS, THE LICENSE OR REGISTRATION ISSUED BY THE OFFICE DEMONSTRAT-
ING SUCH EXPANSION;
(C) PROVIDE EVIDENCE IN A FORM AND MANNER PRESCRIBED BY THE COMMIS-
SIONER ESTABLISHING:
(I) THE TOTAL NUMBER OF CHILD CARE SEATS THAT WERE OCCUPIED DURING THE
SERVICE YEAR;
(II) OF SUCH TOTAL NUMBER OF CHILD CARE SEATS THAT WERE OCCUPIED, THE
NUMBER OF INFANT CHILD CARE SEATS THAT WERE OCCUPIED AND THE NUMBER OF
TODDLER CHILD CARE SEATS THAT WERE OCCUPIED;
(III) THAT, TO THE EXTENT THE BUSINESS ENTITY, DIRECTLY OR THROUGH A
THIRD PARTY, HAS EXPANDED CHILD CARE, THE NUMBER OF CHILD CARE SEATS IN
EXISTENCE BEFORE SUCH EXPANSION AND THE NUMBER OF SUCH CHILD CARE SEATS
THAT WERE OCCUPIED BEFORE SUCH EXPANSION; AND
(IV) THAT THE COSTS IMPOSED ON THE BUSINESS ENTITY'S EMPLOYEES FOR
SUCH CHILD CARE PROGRAM DO NOT EXCEED FORTY PERCENT OF THE CHILD CARE
RATE.
(D) AGREE TO ALLOW THE DEPARTMENT OF TAXATION AND FINANCE TO SHARE THE
BUSINESS ENTITY'S TAX INFORMATION RELEVANT TO THE ADMINISTRATION OF THIS
TITLE WITH THE OFFICE. HOWEVER, ANY INFORMATION SHARED AS A RESULT OF
THIS TITLE SHALL NOT BE AVAILABLE FOR DISCLOSURE OR INSPECTION UNDER THE
STATE FREEDOM OF INFORMATION LAW;
(E) ALLOW THE OFFICE AND ITS AGENTS ACCESS TO ANY AND ALL BOOKS AND
RECORDS THE OFFICE MAY REQUIRE TO MONITOR COMPLIANCE; AND
(F) AGREE TO PROVIDE ANY ADDITIONAL INFORMATION REQUIRED BY THE OFFICE
RELEVANT TO THIS TITLE.
3. AFTER REVIEWING A BUSINESS ENTITY'S COMPLETED FINAL APPLICATION AND
DETERMINING THAT THE BUSINESS ENTITY MEETS THE ELIGIBILITY CRITERIA AS
SET FORTH IN THIS TITLE, THE OFFICE MAY ISSUE TO THAT BUSINESS ENTITY A
CERTIFICATE OF TAX CREDIT, WHICH SHALL SET FORTH THE AMOUNT OF THE CRED-
IT THAT MAY BE CLAIMED AND THE SERVICE YEAR.
§ 394-D. CHILD CARE CREATION AND EXPANSION TAX CREDIT. ALLOWANCE OF
CREDIT. 1. A BUSINESS ENTITY IN THE CHILD CARE CREATION AND EXPANSION
TAX CREDIT PROGRAM THAT MEETS THE ELIGIBILITY REQUIREMENTS OF SECTION
THREE HUNDRED NINETY-FOUR-B OF THIS TITLE MAY BE ELIGIBLE TO CLAIM A
CREDIT FOR THE PORTION OF THE SERVICE YEAR IN WHICH THE CHILD CARE
PROGRAM WAS IN OPERATION, EQUAL TO THE SUM OF: (A) THE PRODUCT OF THE
NUMBER OF INFANT CHILD CARE SEATS THAT HAVE BEEN CREATED OR EXPANDED AND
TWENTY PERCENT OF THE CHILD CARE RATE FOR SUCH INFANT CHILD CARE SEATS
AND (B) THE PRODUCT OF THE NUMBER OF TODDLER CHILD CARE SEATS THAT HAVE
BEEN CREATED OR EXPANDED AND TWENTY PERCENT OF THE CHILD CARE RATE FOR
SUCH TODDLER CHILD CARE SEATS; PROVIDED THAT SUCH INFANT AND TODDLER
CHILD CARE SEATS ARE CHILD CARE SEATS THAT ARE OCCUPIED. NOTWITHSTAND-
ING THE PRECEDING SENTENCE, A CREDIT SHALL NOT BE ALLOWED FOR MORE THAN
TWENTY-FIVE CHILD CARE SEATS THAT ARE OCCUPIED, AND THE AMOUNT OF SUCH
CREDIT MAY BE REDUCED AS A RESULT OF AN ALLOCATION OF AVAILABLE FUNDS,
AS DESCRIBED IN SECTION THREE HUNDRED NINETY-FOUR-E OF THIS TITLE.
A. 3009--B 17
2. THE CREDIT SHALL BE ALLOWED AS PROVIDED IN SECTION FORTY-EIGHT,
SUBDIVISION FIFTY-NINE OF SECTION TWO HUNDRED TEN-B, SUBSECTION (OOO) OF
SECTION SIX HUNDRED SIX AND SUBDIVISION (EE) OF SECTION FIFTEEN HUNDRED
ELEVEN OF THE TAX LAW.
§ 394-E. ALLOCATION OF CREDIT. THE AGGREGATE AMOUNT OF TAX CREDITS
ALLOWED UNDER THIS TITLE, SUBDIVISION FIFTY-NINE OF SECTION TWO HUNDRED
TEN-B, SUBSECTION (OOO) OF SECTION SIX HUNDRED SIX AND SUBDIVISION (EE)
OF SECTION FIFTEEN ELEVEN OF THE TAX LAW SHALL BE TWENTY-FIVE MILLION
DOLLARS EACH YEAR DURING THE PERIOD TWO THOUSAND TWENTY-THREE AND TWO
THOUSAND TWENTY-FOUR. SUCH AGGREGATE AMOUNT OF CREDITS SHALL BE ALLO-
CATED BY THE OFFICE ON A PRO RATA BASIS TO EACH BUSINESS ENTITY THAT
DEMONSTRATES ELIGIBILITY PURSUANT TO SECTION THREE HUNDRED NINETY-FOUR-B
OF THIS TITLE.
§ 394-F. POWERS AND DUTIES OF THE COMMISSIONER. 1. THE COMMISSIONER
MAY PROMULGATE REGULATIONS ESTABLISHING AN APPLICATION PROCESS AND
ELIGIBILITY CRITERIA, WHICH WILL BE APPLIED CONSISTENT WITH THE PURPOSES
OF THIS TITLE SO AS NOT TO EXCEED THE ANNUAL CAP ON TAX CREDITS SET
FORTH IN THIS TITLE, THAT, NOTWITHSTANDING ANY PROVISIONS TO THE CONTRA-
RY IN THE STATE ADMINISTRATIVE PROCEDURE ACT, MAY BE ADOPTED ON AN EMER-
GENCY BASIS.
2. THE COMMISSIONER SHALL, IN CONSULTATION WITH THE DEPARTMENT OF
TAXATION AND FINANCE, DEVELOP A CERTIFICATE OF TAX CREDIT THAT SHALL BE
ISSUED BY THE COMMISSIONER TO ELIGIBLE BUSINESSES. SUCH CERTIFICATE
SHALL CONTAIN SUCH INFORMATION AS REQUIRED BY THE DEPARTMENT OF TAXATION
AND FINANCE.
3. THE COMMISSIONER SHALL SOLELY DETERMINE THE ELIGIBILITY OF ANY
BUSINESS ENTITY APPLYING FOR ENTRY INTO THE PROGRAM AND SHALL REMOVE ANY
BUSINESS ENTITY FROM THE PROGRAM FOR FAILING TO MEET ANY OF THE REQUIRE-
MENTS SET FORTH IN SECTION THREE HUNDRED NINETY-FOUR-B OF THIS TITLE.
§ 394-G. MAINTENANCE OF RECORDS. EACH BUSINESS ENTITY PARTICIPATING IN
THE PROGRAM SHALL KEEP ALL RELEVANT RECORDS FOR THE DURATION OF THEIR
PARTICIPATION IN THE PROGRAM FOR AT LEAST THREE YEARS.
§ 2. The tax law is amended by adding a new section 48 to read as
follows:
§ 48. CHILD CARE CREATION AND EXPANSION TAX CREDIT. (A) ALLOWANCE OF
CREDIT. A TAXPAYER SUBJECT TO TAX UNDER ARTICLE NINE-A, TWENTY-TWO OR
THIRTY-THREE OF THIS CHAPTER SHALL BE ALLOWED A CREDIT AGAINST SUCH TAX,
PURSUANT TO THE PROVISIONS REFERENCED IN SUBDIVISION (F) OF THIS
SECTION. THE AMOUNT OF THE CREDIT IS EQUAL TO THE AMOUNT DETERMINED
PURSUANT TO SECTION THREE HUNDRED NINETY-FOUR-D OF THE SOCIAL SERVICES
LAW AND SHALL BE CLAIMED IN THE TAXABLE YEAR THAT INCLUDES THE LAST DAY
OF THE SERVICE YEAR FOR WHICH THE CREDIT IS CALCULATED. NO COST OR
EXPENSE PAID OR INCURRED BY THE TAXPAYER THAT IS INCLUDED AS PART OF THE
CALCULATION OF THIS CREDIT SHALL BE THE BASIS OF ANY OTHER TAX CREDIT
ALLOWED UNDER THIS CHAPTER.
(B) ELIGIBILITY. TO BE ELIGIBLE FOR THE CHILD CARE CREATION AND EXPAN-
SION TAX CREDIT, THE TAXPAYER SHALL HAVE BEEN ISSUED A CERTIFICATE OF
TAX CREDIT BY THE OFFICE OF CHILDREN AND FAMILY SERVICES PURSUANT TO
SECTION THREE HUNDRED NINETY-FOUR-C OF THE SOCIAL SERVICES LAW. A
TAXPAYER THAT IS A PARTNER IN A PARTNERSHIP, MEMBER OF A LIMITED LIABIL-
ITY COMPANY OR SHAREHOLDER IN A SUBCHAPTER S CORPORATION THAT HAS
RECEIVED A CERTIFICATE OF TAX CREDIT SHALL BE ALLOWED ITS PRO RATA SHARE
OF THE CREDIT EARNED BY THE PARTNERSHIP, LIMITED LIABILITY COMPANY OR
SUBCHAPTER S CORPORATION.
(C) TAX RETURN REQUIREMENT. THE TAXPAYER SHALL BE REQUIRED TO ATTACH
TO ITS TAX RETURN IN THE FORM PRESCRIBED BY THE COMMISSIONER, PROOF OF
A. 3009--B 18
RECEIPT OF ITS CERTIFICATE OF TAX CREDIT ISSUED BY THE COMMISSIONER OF
THE OFFICE OF CHILDREN AND FAMILY SERVICES.
(D) INFORMATION SHARING. NOTWITHSTANDING ANY PROVISION OF THIS CHAP-
TER, EMPLOYEES OF THE OFFICE OF CHILDREN AND FAMILY SERVICES AND THE
DEPARTMENT SHALL BE ALLOWED AND ARE DIRECTED TO SHARE AND EXCHANGE:
(1) INFORMATION REGARDING THE CREDIT APPLIED FOR, ALLOWED OR CLAIMED
PURSUANT TO THIS SECTION AND TAXPAYERS THAT ARE APPLYING FOR THE CREDIT
OR THAT ARE CLAIMING THE CREDIT; AND
(2) INFORMATION CONTAINED IN OR DERIVED FROM CREDIT CLAIM FORMS
SUBMITTED TO THE DEPARTMENT. EXCEPT AS PROVIDED IN PARAGRAPH ONE OF THIS
SUBDIVISION, ALL INFORMATION EXCHANGED BETWEEN THE OFFICE OF CHILDREN
AND FAMILY SERVICES AND THE DEPARTMENT SHALL NOT BE SUBJECT TO DISCLO-
SURE OR INSPECTION UNDER THE STATE'S FREEDOM OF INFORMATION LAW.
(E) CREDIT RECAPTURE. IF A CERTIFICATE OF TAX CREDIT ISSUED BY THE
OFFICE OF CHILDREN AND FAMILY SERVICES UNDER TITLE 1-A OF ARTICLE SIX OF
THE SOCIAL SERVICES LAW IS REVOKED BY SUCH OFFICE, THE AMOUNT OF CREDIT
DESCRIBED IN THIS SECTION AND CLAIMED BY THE TAXPAYER PRIOR TO THAT
REVOCATION SHALL BE ADDED BACK TO TAX IN THE TAXABLE YEAR IN WHICH ANY
SUCH REVOCATION BECOMES FINAL.
(F) CROSS REFERENCES. FOR APPLICATION OF THE CREDIT PROVIDED FOR IN
THIS SECTION, SEE THE FOLLOWING PROVISIONS OF THIS CHAPTER:
(1) ARTICLE 9-A: SECTION 210-B, SUBDIVISION 59;
(2) ARTICLE 22: SECTION 606, SUBSECTION (OOO);
(3) ARTICLE 33: SECTION 1511, SUBDIVISION (EE).
§ 3. Section 210-B of the tax law is amended by adding a new subdivi-
sion 59 to read as follows:
59. CHILD CARE CREATION AND EXPANSION TAX CREDIT. (A) ALLOWANCE OF
CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS
PROVIDED IN SECTION FORTY-EIGHT OF THIS CHAPTER, AGAINST THE TAXES
IMPOSED BY THIS ARTICLE.
(B) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
FOR THE TAXABLE YEAR SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO LESS
THAN THE AMOUNT PRESCRIBED IN PARAGRAPH (D) OF SUBDIVISION ONE OF
SECTION TWO HUNDRED TEN OF THIS ARTICLE. HOWEVER, IF THE AMOUNT OF CRED-
IT ALLOWED UNDER THIS SUBDIVISION FOR THE TAXABLE YEAR REDUCES THE TAX
TO SUCH AMOUNT OR IF THE TAXPAYER OTHERWISE PAYS TAX BASED ON THE FIXED
DOLLAR MINIMUM AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE IN SUCH
TAXABLE YEAR SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDITED OR
REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION ONE THOUSAND
EIGHTY-SIX OF THIS CHAPTER. PROVIDED, HOWEVER, THE PROVISIONS OF
SUBSECTION (C) OF SECTION ONE THOUSAND EIGHTY-EIGHT OF THIS CHAPTER
NOTWITHSTANDING, NO INTEREST WILL BE PAID THEREON.
§ 4. Section 606 of the tax law is amended by adding a new subsection
(ooo) to read as follows:
(OOO) CHILD CARE CREATION AND EXPANSION TAX CREDIT. (1) ALLOWANCE OF
CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
IN SECTION FORTY-EIGHT OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS
ARTICLE.
(2) APPLICATION OF CREDIT. IF THE AMOUNT OF THE CREDIT ALLOWED UNDER
THIS SUBSECTION FOR THE TAXABLE YEAR EXCEEDS THE TAXPAYER'S TAX FOR SUCH
YEAR, THE EXCESS SHALL BE TREATED AS AN OVERPAYMENT OF TAX TO BE CREDIT-
ED OR REFUNDED IN ACCORDANCE WITH THE PROVISIONS OF SECTION SIX HUNDRED
EIGHTY-SIX OF THIS ARTICLE, PROVIDED, HOWEVER, THAT NO INTEREST WILL BE
PAID THEREON.
§ 5. Subparagraph (B) of paragraph 1 of subsection (i) of section 606
of the tax law is amended by adding a new clause (l) to read as follows:
A. 3009--B 19
(L) CHILD CARE CREATION AND AMOUNT OF CREDIT
EXPANSION TAX CREDIT UNDER UNDER SUBDIVISION 59
SUBSECTION (OOO) OF SECTION TWO HUNDRED
TEN-B
§ 6. Section 1511 of the tax law is amended by adding a new subdivi-
sion (ee) to read as follows:
(EE) CHILD CARE CREATION AND EXPANSION TAX CREDIT. (1) ALLOWANCE OF
CREDIT. A TAXPAYER SHALL BE ALLOWED A CREDIT, TO BE COMPUTED AS PROVIDED
IN SECTION FORTY-EIGHT OF THIS CHAPTER, AGAINST THE TAX IMPOSED BY THIS
ARTICLE.
(2) APPLICATION OF CREDIT. THE CREDIT ALLOWED UNDER THIS SUBDIVISION
SHALL NOT REDUCE THE TAX DUE FOR SUCH YEAR TO BE LESS THAN THE MINIMUM
FIXED BY PARAGRAPH FOUR OF SUBDIVISION (A) OF SECTION FIFTEEN HUNDRED
TWO OR SECTION FIFTEEN HUNDRED TWO-A OF THIS ARTICLE, WHICHEVER IS
APPLICABLE. HOWEVER, IF THE AMOUNT OF THE CREDIT ALLOWED UNDER THIS
SUBDIVISION FOR ANY TAXABLE YEAR REDUCES THE TAXPAYER'S TAX TO SUCH
AMOUNT, ANY AMOUNT OF CREDIT THUS NOT DEDUCTIBLE WILL BE TREATED AS AN
OVERPAYMENT OF TAX TO BE CREDITED OR REFUNDED IN ACCORDANCE WITH THE
PROVISIONS OF SECTION ONE THOUSAND EIGHTY-SIX OF THIS CHAPTER.
PROVIDED, HOWEVER, THE PROVISIONS OF SUBSECTION (C) OF ONE THOUSAND
EIGHTY-EIGHT OF THIS CHAPTER NOTWITHSTANDING, NO INTEREST SHALL BE PAID
THEREON.
§ 7. This act shall take effect immediately.
PART H
Section 1. Paragraph 5 of subdivision (d) of section 1201-a of the tax
law, as amended by chapter 260 of the laws of 2015, is amended to read
as follows:
5. Any local law adopted pursuant to this subdivision may provide for
a credit as authorized by this subdivision for a maximum of three
consecutive calendar years, provided, however, that any such credit may
not apply to taxable years beginning before January first, two thousand
[ten] TWENTY-THREE or beginning on or after January first, two thousand
[nineteen] TWENTY-SIX.
§ 2. This act shall take effect immediately.
PART I
Section 1. This Part enacts into law major components of legislation
relating to extending various taxes and tax credits. Each component is
wholly contained within a Subpart identified as Subparts A through E.
The effective date for each particular provision contained within such
Subpart is set forth in the last section of such Subpart. Any provision
in any section contained within a Subpart, including the effective date
of the Subpart, which makes reference to a section "of this act", when
used in connection with that particular component, shall be deemed to
mean and refer to the corresponding section of the Subpart in which it
is found. Section three of this Part sets forth the general effective
date of this Part.
SUBPART A
Section 1. The opening paragraph of paragraph (a) of subdivision 1 of
section 210 of the tax law, as amended by section 1 of part HHH of chap-
ter 59 of the laws of 2021, is amended to read as follows:
A. 3009--B 20
For taxable years beginning before January first, two thousand
sixteen, the amount prescribed by this paragraph shall be computed at
the rate of seven and one-tenth percent of the taxpayer's business
income base. For taxable years beginning on or after January first, two
thousand sixteen, the amount prescribed by this paragraph shall be six
and one-half percent of the taxpayer's business income base. For taxable
years beginning on or after January first, two thousand twenty-one and
before January first, two thousand [twenty-four] TWENTY-THREE for any
taxpayer with a business income base for the taxable year of more than
five million dollars, the amount prescribed by this paragraph shall be
seven and one-quarter percent of the taxpayer's business income base.
FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST TWO THOUSAND TWEN-
TY-THREE AND BEFORE JANUARY FIRST, TWO THOUSAND TWENTY-SEVEN FOR ANY
TAXPAYER WITH A BUSINESS INCOME BASE FOR THE TAXABLE YEAR OF MORE THAN
FIVE MILLION DOLLARS, THE AMOUNT PRESCRIBED BY THIS PARAGRAPH SHALL BE
NINE AND ONE-QUARTER PERCENT OF THE TAXPAYER'S BUSINESS INCOME BASE. The
taxpayer's business income base shall mean the portion of the taxpayer's
business income apportioned within the state as hereinafter provided.
However, in the case of a small business taxpayer, as defined in para-
graph (f) of this subdivision, the amount prescribed by this paragraph
shall be computed pursuant to subparagraph (iv) of this paragraph and in
the case of a manufacturer, as defined in subparagraph (vi) of this
paragraph, the amount prescribed by this paragraph shall be computed
pursuant to subparagraph (vi) of this paragraph, and, in the case of a
qualified emerging technology company, as defined in subparagraph (vii)
of this paragraph, the amount prescribed by this paragraph shall be
computed pursuant to subparagraph (vii) of this paragraph.
§ 2. Subparagraph 1 of paragraph (b) of subdivision 1 of section 210
of the tax law, as amended by section 2 of part HHH of chapter 59 of the
laws of 2021, is amended to read as follows:
(1) (i) The amount prescribed by this paragraph shall be computed
at .15 percent for each dollar of the taxpayer's total business capital,
or the portion thereof apportioned within the state as hereinafter
provided for taxable years beginning before January first, two thousand
sixteen. However, in the case of a cooperative housing corporation as
defined in the internal revenue code, the applicable rate shall be .04
percent until taxable years beginning on or after January first, two
thousand twenty and zero percent for taxable years beginning on or after
January first, two thousand twenty-one. The rate of tax for subsequent
tax years shall be as follows: .125 percent for taxable years beginning
on or after January first, two thousand sixteen and before January
first, two thousand seventeen; .100 percent for taxable years beginning
on or after January first, two thousand seventeen and before January
first, two thousand eighteen; .075 percent for taxable years beginning
on or after January first, two thousand eighteen and before January
first, two thousand nineteen; .050 percent for taxable years beginning
on or after January first, two thousand nineteen and before January
first, two thousand twenty; .025 percent for taxable years beginning on
or after January first, two thousand twenty and before January first,
two thousand twenty-one; and .1875 percent for years beginning on or
after January first, two thousand twenty-one and before January first,
two thousand [twenty-four] TWENTY-SEVEN, and zero percent for taxable
years beginning on or after January first, two thousand [twenty-four]
TWENTY-SEVEN. Provided however, for taxable years beginning on or after
January first, two thousand twenty-one, the rate of tax for a small
business as defined in paragraph (f) of this subdivision shall be zero
A. 3009--B 21
percent. The rate of tax for a qualified New York manufacturer shall be
.132 percent for taxable years beginning on or after January first, two
thousand fifteen and before January first, two thousand sixteen, .106
percent for taxable years beginning on or after January first, two thou-
sand sixteen and before January first, two thousand seventeen, .085
percent for taxable years beginning on or after January first, two thou-
sand seventeen and before January first, two thousand eighteen; .056
percent for taxable years beginning on or after January first, two thou-
sand eighteen and before January first, two thousand nineteen; .038
percent for taxable years beginning on or after January first, two thou-
sand nineteen and before January first, two thousand twenty; .019
percent for taxable years beginning on or after January first, two thou-
sand twenty and before January first, two thousand twenty-one; and zero
percent for years beginning on or after January first, two thousand
twenty-one. (ii) In no event shall the amount prescribed by this para-
graph exceed three hundred fifty thousand dollars for qualified New York
manufacturers and for all other taxpayers five million dollars.
§ 3. Section 218 of the tax law, as added by chapter 69 of the laws of
1978, is amended to read as follows:
§ 218. Deposit and disposition of revenue. 1. All taxes, interest and
penalties collected or received by the tax commission under this article
shall be deposited and disposed of pursuant to the provisions of section
one hundred seventy-one-a of this chapter.
2. PROVIDED, HOWEVER, AFTER THE COMPTROLLER RETAINS AN AMOUNT NECES-
SARY FOR REFUNDS AND REIMBURSEMENTS TO WHICH TAXPAYERS SHALL BE ENTITLED
UNDER THIS ARTICLE AS DESCRIBED IN SECTION ONE HUNDRED SEVENTY-ONE-A OF
THIS CHAPTER, SHE OR HE SHALL DEPOSIT INTO THE CREDIT OF THE CORPORATE
TRANSPORTATION ACCOUNT OF THE METROPOLITAN TRANSPORTATION AUTHORITY
SPECIAL ASSISTANCE FUND ESTABLISHED BY SECTION TWELVE HUNDRED SEVENTY-A
OF THE PUBLIC AUTHORITIES LAW FOR THE COSTS OF THE NEW YORK CITY TRANSIT
AUTHORITY, TO BE APPLIED AS PROVIDED IN PARAGRAPH (E) OF SUBDIVISION
FOUR OF SUCH SECTION IN THE FOLLOWING AMOUNTS: (I) IN STATE FISCAL YEAR
TWO THOUSAND TWENTY-THREE--TWO THOUSAND TWENTY-FOUR, AN AMOUNT EQUAL TO
SIX HUNDRED NINETY-TWO MILLION DOLLARS; AND (II) IN STATE FISCAL YEAR
TWO THOUSAND TWENTY-FOUR--TWO THOUSAND TWENTY-FIVE, AN AMOUNT EQUAL TO
NINE HUNDRED TWENTY-THREE MILLION DOLLARS; AND (III) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-FIVE--TWO THOUSAND TWENTY-SIX, AN AMOUNT EQUAL
TO SEVEN HUNDRED FIFTY-TWO MILLION DOLLARS; AND (IV) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-SIX--TWO THOUSAND TWENTY-SEVEN, AN AMOUNT EQUAL
TO EIGHT HUNDRED SEVENTEEN MILLION DOLLARS.
3. PROVIDED FURTHER, AFTER SUCH FUNDS ARE DISTRIBUTED PURSUANT TO
SUBDIVISION TWO OF THIS SECTION BUT BEFORE SUCH FUNDS ARE DISTRIBUTED
PURSUANT TO SUBDIVISION ONE OF THIS SECTION, SUCH FUNDS SHALL BE
DISTRIBUTED INTO THE CREDIT OF THE METROPOLITAN MASS TRANSPORTATION
OPERATING ASSISTANCE ACCOUNT ESTABLISHED BY SECTION EIGHTY-EIGHT-A OF
THE STATE FINANCE LAW IN THE FOLLOWING AMOUNTS: (I) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-THREE--TWO THOUSAND TWENTY-FOUR, AN AMOUNT
EQUAL TO ONE HUNDRED THIRTY MILLION DOLLARS; AND (II) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-FOUR--TWO THOUSAND TWENTY-FIVE, AN AMOUNT EQUAL
TO ONE HUNDRED SEVENTY-THREE MILLION DOLLARS; AND (III) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-FIVE--TWO THOUSAND TWENTY-SIX, AN AMOUNT EQUAL
TO ONE HUNDRED FORTY-ONE MILLION DOLLARS; AND (IV) IN STATE FISCAL YEAR
TWO THOUSAND TWENTY-SIX--TWO THOUSAND TWENTY-SEVEN AN AMOUNT EQUAL TO
ONE HUNDRED FIFTY-THREE MILLION DOLLARS.
4. AND, PROVIDED FURTHER, AFTER FUNDS ARE DISTRIBUTED PURSUANT TO
SUBDIVISIONS TWO AND THREE OF THIS SECTION, BUT BEFORE SUCH FUNDS ARE
A. 3009--B 22
DISTRIBUTED PURSUANT TO SUBDIVISION ONE OF THIS SECTION, SUCH FUNDS
SHALL BE DEPOSITED INTO THE CREDIT OF THE PUBLIC TRANSPORTATION SYSTEMS
OPERATING ASSISTANCE ACCOUNT ESTABLISHED BY SECTION EIGHTY-EIGHT-A OF
THE STATE FINANCE LAW IN THE FOLLOWING AMOUNTS: (I) IN STATE FISCAL YEAR
TWO THOUSAND TWENTY-THREE--TWO THOUSAND TWENTY-FOUR, AN AMOUNT EQUAL TO
FORTY-THREE MILLION DOLLARS; AND (II) IN STATE FISCAL YEAR TWO THOUSAND
TWENTY-FOUR--TWO THOUSAND TWENTY-FIVE, AN AMOUNT EQUAL TO FIFTY-EIGHT
MILLION DOLLARS; AND (III) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-
FIVE--TWO THOUSAND TWENTY-SIX, AN AMOUNT EQUAL TO FORTY-SEVEN MILLION
DOLLARS; AND (IV) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-SIX--TWO
THOUSAND TWENTY-SEVEN, AN AMOUNT EQUAL TO FIFTY-ONE MILLION DOLLARS.
§ 4. The closing paragraph of subdivision 1 of section 1270-a of the
public authorities law, as amended by section 7 of part FF of chapter 58
of the laws of 2019, is amended to read as follows:
The authority shall make deposits in the transit account and the
commuter railroad account of the moneys received by it pursuant to the
provisions of subdivision one of section two hundred sixty-one of the
tax law in accordance with the provisions thereof, and shall make depos-
its in the corporate transportation account of the moneys received by it
pursuant to the provisions of subdivision two of section two hundred
sixty-one of the tax law and section ninety-two-ff of the state finance
law. The comptroller shall deposit, without appropriation, into the
corporate transportation account the revenue fees, taxes, interest and
penalties collected in accordance with paragraph (b-1) of subdivision
two of section five hundred three of the vehicle and traffic law, para-
graph (c-3) of subdivision two of section five hundred three of the
vehicle and traffic law, article seventeen-C of the vehicle and traffic
law, article twenty-nine-A of the tax law [and], section eleven hundred
sixty-six-a of the tax law, AND SUBDIVISION TWO OF SECTION TWO HUNDRED
EIGHTEEN OF THE TAX LAW.
§ 5. Paragraph (a) of subdivision 7 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "metropolitan mass transportation operating assistance
account" shall consist of the revenues derived from the taxes for the
metropolitan transportation district imposed by section eleven hundred
nine of the tax law and that proportion of the receipts received pursu-
ant to the tax imposed by article [nine-a] NINE-A of such law as speci-
fied in section one hundred seventy-one-a of such law, [and] that
proportion of the receipts received pursuant to the tax imposed by arti-
cle nine of such law as specified in section two hundred five of such
law, AND SUBDIVISION THREE OF SECTION TWO HUNDRED EIGHTEEN OF THE TAX
LAW and the receipts required to be deposited pursuant to the provisions
of section one hundred eighty-two-a, and all other moneys credited or
transferred thereto from any other fund or source pursuant to law.
§ 6. Paragraph (a) of subdivision 5 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "public transportation systems operating assistance account"
shall consist of revenues required to be deposited therein pursuant to
the provisions of section one hundred eighty-two-a of the tax law,
SUBDIVISION FOUR OF SECTION TWO HUNDRED EIGHTEEN OF THE TAX LAW and all
other moneys credited or transferred thereto from any other fund or
source pursuant to law.
§ 7. Subdivision 1 of section 171-a of the tax law, as amended by
chapter 129 of the laws of 2022, is amended to read as follows:
A. 3009--B 23
1. All taxes, interest, penalties and fees collected or received by
the commissioner or the commissioner's duly authorized agent under arti-
cles nine (except section one hundred eighty-two-a thereof and except as
otherwise provided in section two hundred five thereof), nine-A (EXCEPT
AS OTHERWISE PROVIDED IN SECTION TWO HUNDRED EIGHTEEN THEREFOR),
twelve-A (except as otherwise provided in section two hundred eighty-
four-d thereof), thirteen, thirteen-A (except as otherwise provided in
section three hundred twelve thereof), eighteen, nineteen, twenty
(except as otherwise provided in section four hundred eighty-two there-
of), twenty-B, twenty-C, twenty-D, twenty-one, twenty-two, twenty-four,
twenty-four-A, twenty-six, twenty-eight (except as otherwise provided in
section eleven hundred two or eleven hundred three thereof),
twenty-eight-A, twenty-eight-D (except as otherwise provided in section
eleven hundred ninety-seven, twenty-nine-B),[,] thirty-one (except as
otherwise provided in section fourteen hundred twenty-one thereof),
thirty-three and thirty-three-A of this chapter shall be deposited daily
in one account with such responsible banks, banking houses or trust
companies as may be designated by the comptroller, to the credit of the
comptroller. Such an account may be established in one or more of such
depositories. Such deposits shall be kept separate and apart from all
other money in the possession of the comptroller. The comptroller shall
require adequate security from all such depositories. Of the total
revenue collected or received under such articles of this chapter, the
comptroller shall retain in the comptroller's hands such amount as the
commissioner may determine to be necessary for refunds or reimbursements
under such articles of this chapter out of which amount the comptroller
shall pay any refunds or reimbursements to which taxpayers shall be
entitled under the provisions of such articles of this chapter. The
commissioner and the comptroller shall maintain a system of accounts
showing the amount of revenue collected or received from each of the
taxes imposed by such articles. The comptroller, after reserving the
amount to pay such refunds or reimbursements, shall, on or before the
tenth day of each month, pay into the state treasury to the credit of
the general fund all revenue deposited under this section during the
preceding calendar month and remaining to the comptroller's credit on
the last day of such preceding month, (i) except that the comptroller
shall pay to the state department of social services that amount of
overpayments of tax imposed by article twenty-two of this chapter and
the interest on such amount which is certified to the comptroller by the
commissioner as the amount to be credited against past-due support
pursuant to subdivision six of section one hundred seventy-one-c of this
article, (ii) and except that the comptroller shall pay to the New York
state higher education services corporation and the state university of
New York or the city university of New York respectively that amount of
overpayments of tax imposed by article twenty-two of this chapter and
the interest on such amount which is certified to the comptroller by the
commissioner as the amount to be credited against the amount of defaults
in repayment of guaranteed student loans and state university loans or
city university loans pursuant to subdivision five of section one
hundred seventy-one-d and subdivision six of section one hundred seven-
ty-one-e of this article, (iii) and except further that, notwithstanding
any law, the comptroller shall credit to the revenue arrearage account,
pursuant to section ninety-one-a of the state finance law, that amount
of overpayment of tax imposed by article nine, nine-A, twenty-two, thir-
ty, thirty-A, thirty-B or thirty-three of this chapter, and any interest
thereon, which is certified to the comptroller by the commissioner as
A. 3009--B 24
the amount to be credited against a past-due legally enforceable debt
owed to a state agency pursuant to paragraph (a) of subdivision six of
section one hundred seventy-one-f of this article, provided, however, he
shall credit to the special offset fiduciary account, pursuant to
section ninety-one-c of the state finance law, any such amount credita-
ble as a liability as set forth in paragraph (b) of subdivision six of
section one hundred seventy-one-f of this article, (iv) and except
further that the comptroller shall pay to the city of New York that
amount of overpayment of tax imposed by article nine, nine-A, twenty-
two, thirty, thirty-A, thirty-B or thirty-three of this chapter and any
interest thereon that is certified to the comptroller by the commission-
er as the amount to be credited against city of New York tax warrant
judgment debt pursuant to section one hundred seventy-one-l of this
article, (v) and except further that the comptroller shall pay to a
non-obligated spouse that amount of overpayment of tax imposed by arti-
cle twenty-two of this chapter and the interest on such amount which has
been credited pursuant to section one hundred seventy-one-c, one hundred
seventy-one-d, one hundred seventy-one-e, one hundred seventy-one-f or
one hundred seventy-one-l of this article and which is certified to the
comptroller by the commissioner as the amount due such non-obligated
spouse pursuant to paragraph six of subsection (b) of section six
hundred fifty-one of this chapter; and (vi) the comptroller shall deduct
a like amount which the comptroller shall pay into the treasury to the
credit of the general fund from amounts subsequently payable to the
department of social services, the state university of New York, the
city university of New York, or the higher education services corpo-
ration, or the revenue arrearage account or special offset fiduciary
account pursuant to section ninety-one-a or ninety-one-c of the state
finance law, as the case may be, whichever had been credited the amount
originally withheld from such overpayment, and (vii) with respect to
amounts originally withheld from such overpayment pursuant to section
one hundred seventy-one-l of this article and paid to the city of New
York, the comptroller shall collect a like amount from the city of New
York.
§ 7. This act shall take effect immediately.
SUBPART B
Section 1. Subsection (oo) of section 606 of the tax law, as amended
by chapter 239 of the laws of 2009, paragraph 1 as amended by chapter
472 of the laws of 2010, subparagraph (A) of paragraph 1 as amended and
paragraph 6 as added by section 1 of part CCC of chapter 59 of the laws
of 2021, paragraph 3 as amended by section 1 of part RR of chapter 59 of
the laws of 2018, paragraph 4 as amended by section 1 of part F of chap-
ter 59 of the laws of 2013 and paragraph 5 as amended by section 2 of
part U of chapter 59 of the laws of 2019, is amended to read as follows:
(oo) Credit for rehabilitation of historic properties. (1) (A) For
taxable years beginning on or after January first, two thousand ten and
before January first, two thousand [twenty-five] THIRTY, a taxpayer
shall be allowed a credit as hereinafter provided, against the tax
imposed by this article, in an amount equal to:
(I) one hundred percent of the amount of credit allowed the taxpayer
with respect to a certified historic structure, and one hundred fifty
percent of the amount of credit allowed the taxpayer with respect to a
certified historic structure that is a small project, under internal
revenue code section 47(c)(3), determined without regard to ratably
A. 3009--B 25
allocating the credit over a five year period as required by subsection
(a) of such section 47; AND
(II) ONE HUNDRED PERCENT OF THE AMOUNT OF CREDIT ALLOWED THE TAXPAYER
WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A WHITE
ELEPHANT PROJECT, UNDER INTERNAL REVENUE CODE SECTION 47(C)(3) (RATABLY
ALLOCATING THE CREDIT OVER A FIVE-YEAR PERIOD), with respect to a certi-
fied historic structure located within the state. Provided, however, the
credit shall not exceed five million dollars, UNLESS SUCH CREDIT IS
ALLOWED WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A WHITE
ELEPHANT PROJECT, IN WHICH CASE, THE CREDIT SHALL NOT EXCEED FIFTY
MILLION DOLLARS. PROVIDED, FURTHER, THAT WHENEVER THE COMMISSIONER OF
PARKS, RECREATION AND HISTORIC PRESERVATION RECEIVES AN APPLICATION FOR
A WHITE ELEPHANT PROJECT FROM AN APPLICANT FOR WHICH SUCH COMMISSIONER
HAS PREVIOUSLY CERTIFIED CREDIT FOR AN ELIGIBLE WHITE ELEPHANT PROJECT,
THE COMMISSIONER OF PARKS, RECREATION AND HISTORIC PRESERVATION MAY DEEM
SUCH SUBSEQUENT APPLICATION TO BE PHASE II OF THE ORIGINAL ELIGIBLE
PROJECT IF SUCH COMMISSIONER DETERMINES THAT THE TWO PROJECTS ARE
REASONABLY RELATED, AS DETERMINED BY SUCH COMMISSIONER; THE PREVIOUS
PROJECT QUALIFIED AS AN ELIGIBLE WHITE ELEPHANT PROJECT WITH SEVENTY-
FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABILITATION EXPENDITURES;
AND THE PHASE II APPLICATION HAS BEEN SUBMITTED WITHIN FIVE YEARS OF
SUCH COMMISSIONER'S PREVIOUS CERTIFICATION OF CREDIT FOR THE PREVIOUSLY
ELIGIBLE WHITE ELEPHANT PROJECT.
(B) For taxable years beginning on or after January first, two thou-
sand [twenty-five] THIRTY, a taxpayer shall be allowed a credit as here-
inafter provided, against the tax imposed by this article, in an amount
equal to thirty percent of the amount of credit allowed the taxpayer
with respect to a certified historic structure under internal revenue
code section 47(c)(3), determined without regard to ratably allocating
the credit over a five year period as required by subsection (a) of such
section 47, with respect to a certified historic structure located with-
in the state; provided, however, the credit shall not exceed one hundred
thousand dollars, UNLESS SUCH CREDIT IS ALLOWED WITH RESPECT TO A CERTI-
FIED HISTORIC STRUCTURE THAT IS A WHITE ELEPHANT PROJECT, IN WHICH CASE,
THE CREDIT SHALL NOT EXCEED THREE HUNDRED THOUSAND DOLLARS.
[(B)] (C) If the taxpayer is a partner in a partnership or a share-
holder of a New York S corporation, then the credit cap imposed in
[subparagraph] SUBPARAGRAPHS (A) AND (B) of this paragraph shall be
applied at the entity level, so that the aggregate credit allowed to all
the partners or shareholders of each such entity in the taxable year
does not exceed the credit cap that is applicable in that taxable year.
(2) Tax credits allowed pursuant to this subsection shall be allowed
in the taxable year that the qualified rehabilitation is placed in
service under section 167 of the federal internal revenue code.
(3) If the taxpayer is allowed a credit pursuant to section 47 of the
internal revenue code with respect to a qualified rehabilitation that is
also the subject of the credit allowed by this subsection and that cred-
it pursuant to such section 47 is recaptured pursuant to subsection (a)
of section 50 of the internal revenue code, a portion of the credit
allowed under this subsection must be added back in the same taxable
year and in the same proportion as the federal recapture.
(4) If the amount of the credit allowed under this subsection for any
taxable year shall exceed the taxpayer's tax for such year, the excess
shall be treated as an overpayment of tax to be credited or refunded in
accordance with the provisions of section six hundred eighty-six of this
article, provided, however, that no interest shall be paid thereon.
A. 3009--B 26
(5) Except in the case of (A) a qualified rehabilitation project
undertaken within a state park, state historic site, or other land owned
by the state, that is under the jurisdiction of the office of parks,
recreation and historic preservation, OR (B) A QUALIFIED WHITE ELEPHANT
REHABILITATION PROJECT THAT IS ALSO A QUALIFIED LOW-INCOME HOUSING
PROJECT UNDER ARTICLE TWO-A OF THE PUBLIC HOUSING LAW, to be eligible
for the credit allowable under this subsection the rehabilitation
project shall be in whole or in part located within a census tract which
is identified as being at or below one hundred percent of the state
median family income as calculated as of April first of each year using
the most recent five year estimate from the American community survey
published by the United States Census bureau. If there is a change in
the most recent five year estimate, a census tract that qualified for
eligibility under this program before information about the change was
released will remain eligible for a credit under this subsection for an
additional two calendar years.
(6) [For purposes of this subsection the term] AS USED IN THIS
SUBSECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
["small] (A) "SMALL project" means qualified rehabilitation expendi-
tures totaling two million five hundred thousand dollars or less[.];
(B) "WHITE ELEPHANT PROJECT" MEANS QUALIFIED REHABILITATION EXPENDI-
TURES TOTALING FIFTY MILLION DOLLARS OR MORE WITH RESPECT TO A CERTIFIED
HISTORIC STRUCTURE THAT HAS BEEN VACANT, AS DETERMINED BY LOCAL CODE
ENFORCEMENT OR OTHER REASONABLE MEANS, FOR AT LEAST TEN OF FIFTEEN
CONSECUTIVE YEARS PRECEDING THE DATE OF THE TAXPAYER'S APPLICATION FOR
THE REHABILITATION CREDIT; AND
(C) "PHASE II HOUSING PROJECT" MEANS A WHITE ELEPHANT HOUSING PROJECT
WHICH THE COMMISSIONER DETERMINES (I) IS REASONABLY RELATED TO A PRIOR
ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE ELEPHANT HOUSING
PROJECT BY THE SAME APPLICANT, (II) SUCH PRIOR PROJECT QUALIFIED AS
ELIGIBLE WITH SEVENTY-FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABIL-
ITATION EXPENDITURES, AND (III) THE PHASE II APPLICATION HAS BEEN
SUBMITTED WITHIN FIVE YEARS OF THE COMMISSIONER'S PREVIOUS ALLOWANCE OF
CREDIT FOR THE PRIOR ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE
ELEPHANT HOUSING PROJECT.
(7) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST DAY
OF NOVEMBER, ON THE AGGREGATE AMOUNT OF CREDITS CLAIMED AND AWARDED
PURSUANT TO THIS SUBDIVISION ON RETURNS FILED DURING THE PRECEDING
CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE GOVERNOR, TEMPORARY
PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR OF THE SENATE
FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE AND
SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE.
(8) THE AGGREGATE AMOUNT OF TAX CREDITS ALLOCATED FOR WHITE ELEPHANT
PROJECTS PURSUANT TO ARTICLE FOURTEEN-A OF THE PARKS, RECREATION AND
HISTORIC PRESERVATION LAW SHALL BE FIFTY MILLION DOLLARS EACH YEAR. IF
THE TOTAL AMOUNT OF ALLOCATED CREDITS APPLIED FOR IN ANY PARTICULAR YEAR
EXCEEDS THE AGGREGATE AMOUNT OF TAX CREDITS ALLOWED FOR SUCH YEAR UNDER
THIS SECTION, SUCH EXCESS SHALL BE TREATED AS HAVING BEEN APPLIED FOR ON
THE FIRST DAY OF THE SUBSEQUENT YEAR.
§ 2. Subdivision 26 of section 210-B of the tax law, as added by
section 17 of part A of chapter 59 of the laws of 2014, paragraphs (a)
and (c) as amended by section 2 of part RR of chapter 59 of the laws of
2018, subparagraph (i) of paragraph (a) as amended and paragraph (f) as
added by section 2 of part CCC of chapter 59 of the laws of 2021, and
paragraph (e) as amended by section 1 of part U of chapter 59 of the
laws of 2019, is amended to read as follows:
A. 3009--B 27
26. Credit for rehabilitation of historic properties. (a) Application
of credit. (i) For taxable years beginning on or after January first,
two thousand ten, and before January first, two thousand [twenty-five]
THIRTY, a taxpayer shall be allowed a credit as hereinafter provided,
against the tax imposed by this article, in an amount equal to:
(A) one hundred percent of the amount of credit allowed the taxpayer
for the same taxable year with respect to a certified historic struc-
ture, and one hundred fifty percent of the amount of credit allowed the
taxpayer with respect to a certified historic structure that is a small
project, under internal revenue code section 47(c)(3), determined with-
out regard to ratably allocating the credit over a five year period as
required by subsection (a) of such section 47; AND
(B) ONE HUNDRED PERCENT OF THE AMOUNT OF CREDIT ALLOWED THE TAXPAYER
WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A "WHITE ELEPHANT
PROJECT", UNDER INTERNAL REVENUE CODE SECTION 47(C)(3) (RATABLY ALLOCAT-
ING THE CREDIT OVER A FIVE-YEAR PERIOD), with respect to a certified
historic structure located within the state. Provided, however, the
credit shall not exceed five million dollars, UNLESS SUCH CREDIT IS
ALLOWED WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A WHITE
ELEPHANT PROJECT, IN WHICH CASE, THE CREDIT SHALL NOT EXCEED FIFTY
MILLION DOLLARS. PROVIDED, FURTHER, THAT WHENEVER THE COMMISSIONER OF
PARKS, RECREATION AND HISTORIC PRESERVATION RECEIVES AN APPLICATION FOR
A WHITE ELEPHANT PROJECT FROM AN APPLICANT FOR WHICH SUCH COMMISSIONER
HAS PREVIOUSLY CERTIFIED CREDIT FOR AN ELIGIBLE WHITE ELEPHANT PROJECT,
THE COMMISSIONER OF PARKS, RECREATION AND HISTORIC PRESERVATION MAY DEEM
SUCH SUBSEQUENT APPLICATION TO BE PHASE II OF THE ORIGINAL ELIGIBLE
PROJECT IF SUCH COMMISSIONER DETERMINES THAT THE TWO PROJECTS ARE
REASONABLY RELATED, AS DETERMINED BY SUCH COMMISSIONER; THE PREVIOUS
PROJECT QUALIFIED AS AN ELIGIBLE WHITE ELEPHANT PROJECT WITH SEVENTY-
FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABILITATION EXPENDITURES;
AND THE PHASE II APPLICATION HAS BEEN SUBMITTED WITHIN FIVE YEARS OF
SUCH COMMISSIONER'S PREVIOUS CERTIFICATION OF CREDIT FOR THE PREVIOUSLY
ELIGIBLE WHITE ELEPHANT PROJECT.
(ii) For taxable years beginning on or after January first, two thou-
sand [twenty-five] THIRTY, a taxpayer shall be allowed a credit as here-
inafter provided, against the tax imposed by this article, in an amount
equal to thirty percent of the amount of credit allowed the taxpayer for
the same taxable year determined without regard to ratably allocating
the credit over a five year period as required by subsection (a) of
section 47 of the internal revenue code, with respect to a certified
historic structure under subsection (c)(3) of section 47 of the internal
revenue code with respect to a certified historic structure located
within the state. Provided, however, the credit shall not exceed one
hundred thousand dollars, UNLESS SUCH CREDIT IS ALLOWED WITH RESPECT TO
A CERTIFIED HISTORIC STRUCTURE THAT IS A WHITE ELEPHANT PROJECT, IN
WHICH CASE, THE CREDIT SHALL NOT EXCEED THREE HUNDRED THOUSAND DOLLARS.
[(B)] (III) If the taxpayer is a partner in a partnership or a share-
holder in a New York S corporation, then the credit caps imposed in
[subparagraph (A)] SUBPARAGRAPHS (I) AND (II) of this paragraph shall be
applied at the entity level, so that the aggregate credit allowed to all
the partners or shareholders of each such entity in the taxable year
does not exceed the credit cap that is applicable in that taxable year.
(b) Tax credits allowed pursuant to this subdivision shall be allowed
in the taxable year that the qualified rehabilitation is placed in
service under section 167 of the federal internal revenue code.
A. 3009--B 28
(c) If the taxpayer is allowed a credit pursuant to section 47 of the
internal revenue code with respect to a qualified rehabilitation that is
also the subject of the credit allowed by this subdivision and that
credit pursuant to such section 47 is recaptured pursuant to subsection
(a) of section 50 of the internal revenue code, a portion of the credit
allowed under this subdivision must be added back in the same taxable
year and in the same proportion as the federal credit.
(d) The credit allowed under this subdivision for any taxable year
shall not reduce the tax due for such year to less than the amount
prescribed in paragraph (d) of subdivision one of section two hundred
ten of this article. However, if the amount of the credit allowed under
this subdivision for any taxable year reduces the tax to such amount or
if the taxpayer otherwise pays tax based on the fixed dollar minimum
amount, any amount of credit thus not deductible in such taxable year
shall be treated as an overpayment of tax to be recredited or refunded
in accordance with the provisions of section one thousand eighty-six of
this chapter. Provided, however, the provisions of subsection (c) of
section one thousand eighty-eight of this chapter notwithstanding, no
interest shall be paid thereon.
(e) Except in the case of (A) a qualified rehabilitation project
undertaken within a state park, state historic site, or other land owned
by the state, that is under the jurisdiction of the office of parks,
recreation and historic preservation, OR (B) A QUALIFIED WHITE ELEPHANT
REHABILITATION PROJECT THAT IS ALSO A QUALIFIED LOW-INCOME HOUSING
PROJECT UNDER ARTICLE TWO-A OF THE PUBLIC HOUSING LAW, to be eligible
for the credit allowable under this subdivision, the rehabilitation
project shall be in whole or in part located within a census tract which
is identified as being at or below one hundred percent of the state
median family income as calculated as of April first of each year using
the most recent five year estimate from the American community survey
published by the United States Census bureau. If there is a change in
the most recent five year estimate, a census tract that qualified for
eligibility under this program before information about the change was
released will remain eligible for a credit under this subdivision for an
additional two calendar years.
(f) [For purposes of this subdivision] DEFINITIONS. AS USED IN THIS
SUBDIVISION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
["small] (A) "SMALL project" means qualified rehabilitation expendi-
tures totaling two million five hundred thousand dollars or less[.];
(B) "WHITE ELEPHANT PROJECT" MEANS QUALIFIED REHABILITATION EXPENDI-
TURES TOTALING FIFTY MILLION DOLLARS OR MORE WITH RESPECT TO A CERTIFIED
HISTORIC STRUCTURE THAT HAS BEEN VACANT, AS DETERMINED BY LOCAL CODE
ENFORCEMENT OR OTHER REASONABLE MEANS, FOR AT LEAST TEN OF FIFTEEN
CONSECUTIVE YEARS PRECEDING THE DATE OF THE TAXPAYER'S APPLICATION FOR
THE REHABILITATION CREDIT; AND
(C) "PHASE II HOUSING PROJECT" MEANS A WHITE ELEPHANT HOUSING PROJECT
WHICH THE COMMISSIONER DETERMINES (I) IS REASONABLY RELATED TO A PRIOR
ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE ELEPHANT HOUSING
PROJECT BY THE SAME APPLICANT, (II) SUCH PRIOR PROJECT QUALIFIED AS
ELIGIBLE WITH SEVENTY-FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABIL-
ITATION EXPENDITURES, AND (III) THE PHASE II APPLICATION HAS BEEN
SUBMITTED WITHIN FIVE YEARS OF THE COMMISSIONER'S PREVIOUS ALLOWANCE OF
CREDIT FOR THE PRIOR ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE
ELEPHANT HOUSING PROJECT.
(G) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST DAY
OF NOVEMBER, ON THE AGGREGATE AMOUNT OF CREDITS CLAIMED AND AWARDED
A. 3009--B 29
PURSUANT TO THIS SUBDIVISION ON RETURNS FILED DURING THE PRECEDING
CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE GOVERNOR, TEMPORARY
PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR OF THE SENATE
FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE AND
SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE.
(H) THE AGGREGATE AMOUNT OF TAX CREDITS ALLOCATED FOR WHITE ELEPHANT
PROJECTS PURSUANT TO ARTICLE 14-A OF THE PARKS, RECREATION AND HISTORIC
PRESERVATION LAW SHALL BE FIFTY MILLION DOLLARS EACH YEAR. IF THE TOTAL
AMOUNT OF ALLOCATED CREDITS APPLIED FOR IN ANY PARTICULAR YEAR EXCEEDS
THE AGGREGATE AMOUNT OF TAX CREDITS ALLOWED FOR SUCH YEAR UNDER THIS
SECTION, SUCH EXCESS SHALL BE TREATED AS HAVING BEEN APPLIED FOR ON THE
FIRST DAY OF THE SUBSEQUENT YEAR.
§ 3. Subdivision (y) of section 1511 of the tax law, as added by chap-
ter 472 of the laws of 2010, subparagraph (A) of paragraph 1 as amended
and paragraph 6 as added by section 3 of part CCC of chapter 59 of the
laws of 2021, paragraph 3 as amended by section 3 of part RR of chapter
59 of the laws of 2018, paragraph 4 as amended by section 4 of part F of
chapter 59 of the laws of 2013 and paragraph 5 as amended by section 3
of part U of chapter 59 of the laws of 2019, is amended to read as
follows:
(y) Credit for rehabilitation of historic properties. (1) (A) For
taxable years beginning on or after January first, two thousand ten and
before January first, two thousand [twenty-five] THIRTY, a taxpayer
shall be allowed a credit as hereinafter provided, against the tax
imposed by this article, in an amount equal to:
(I) one hundred percent of the amount of credit allowed the taxpayer
with respect to a certified historic structure, and one hundred fifty
percent of the amount of credit allowed the taxpayer with respect to a
certified historic structure that is a small project, under internal
revenue code section 47(c)(3), determined without regard to ratably
allocating the credit over a five year period as required by subsection
(a) of such section 47;AND
(II) ONE HUNDRED PERCENT OF THE AMOUNT OF CREDIT ALLOWED THE TAXPAYER
WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A "WHITE
ELEPHANT PROJECT", UNDER INTERNAL REVENUE CODE SECTION 47(C)(3) (RATABLY
ALLOCATING THE CREDIT OVER A FIVE-YEAR PERIOD), with respect to a certi-
fied historic structure located within the state. Provided, however, the
credit shall not exceed five million dollars, UNLESS SUCH CREDIT IS
ALLOWED WITH RESPECT TO A CERTIFIED HISTORIC STRUCTURE THAT IS A "WHITE
ELEPHANT PROJECT", IN WHICH CASE, THE CREDIT SHALL NOT EXCEED FIFTY
MILLION DOLLARS. PROVIDED, FURTHER, THAT WHENEVER THE COMMISSIONER OF
PARKS, RECREATION AND HISTORIC PRESERVATION RECEIVES AN APPLICATION FOR
A WHITE ELEPHANT PROJECT FROM AN APPLICANT FOR WHICH SUCH COMMISSIONER
HAS PREVIOUSLY CERTIFIED CREDIT FOR AN ELIGIBLE WHITE ELEPHANT PROJECT,
THE COMMISSIONER OF PARKS, RECREATION AND HISTORIC PRESERVATION MAY DEEM
SUCH SUBSEQUENT APPLICATION TO BE "PHASE II" OF THE ORIGINAL ELIGIBLE
PROJECT IF SUCH COMMISSIONER DETERMINES THAT THE TWO PROJECTS ARE
REASONABLY RELATED, AS DETERMINED BY SUCH COMMISSIONER; THE PREVIOUS
PROJECT QUALIFIED AS AN ELIGIBLE WHITE ELEPHANT PROJECT WITH SEVENTY-
FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABILITATION EXPENDITURES;
AND THE "PHASE II" APPLICATION HAS BEEN SUBMITTED WITHIN FIVE YEARS OF
SUCH COMMISSIONER'S PREVIOUS CERTIFICATION OF CREDIT FOR THE PREVIOUSLY
ELIGIBLE WHITE ELEPHANT PROJECT.
(B) For taxable years beginning on or after January first, two thou-
sand [twenty-five] THIRTY, a taxpayer shall be allowed a credit as here-
inafter provided, against the tax imposed by this article, in an amount
A. 3009--B 30
equal to thirty percent of the amount of credit allowed the taxpayer
with respect to a certified historic structure under internal revenue
code section 47(c)(3), determined without regard to ratably allocating
the credit over a five year period as required by subsection (a) of such
section 47 with respect to a certified historic structure located within
the state. Provided, however, the credit shall not exceed one hundred
thousand dollars, UNLESS SUCH CREDIT IS ALLOWED WITH RESPECT TO A CERTI-
FIED HISTORIC STRUCTURE THAT IS A WHITE ELEPHANT PROJECT, IN WHICH CASE,
THE CREDIT SHALL NOT EXCEED THREE HUNDRED THOUSAND DOLLARS.
[(B)] (C) If the taxpayer is a partner in a partnership, then the cap
imposed in [subparagraph] SUBPARAGRAPHS (A) AND (B) of this paragraph
shall be applied at the entity level, so that the aggregate credit
allowed to all the partners of such partnership in the taxable year does
not exceed the credit cap that is applicable in that taxable year.
(2) Tax credits allowed pursuant to this subsection shall be allowed
in the taxable year that the qualified rehabilitation is placed in
service under section 167 of the federal internal revenue code.
(3) If the taxpayer is allowed a credit pursuant to section 47 of the
internal revenue code with respect to a qualified rehabilitation that is
also the subject of the credit allowed by this subdivision and that
credit pursuant to such section 47 is recaptured pursuant to subsection
(a) of section 50 of the internal revenue code, a portion of the credit
allowed under this subdivision in the taxable year the credit was
claimed must be added back in the same taxable year and in the same
proportion as the federal recapture.
(4) The credit allowed under this subdivision for any taxable year
shall not reduce the tax due for such year to less than the minimum
fixed by paragraph four of subdivision (a) of section fifteen hundred
two or section fifteen hundred two-a of this article, whichever is
applicable. However, if the amount of credits allowed under this subdi-
vision for any taxable year reduces the tax to such amount, any amount
of credit thus not deductible in such taxable year shall be treated as
an overpayment of tax to be credited or refunded in accordance with the
provisions of section one thousand eighty-six of this chapter. Provided,
however, the provisions of subsection (c) of section one thousand eight-
y-eight of this chapter notwithstanding, no interest shall be paid ther-
eon.
(5) Except in the case of a (A) qualified rehabilitation project
undertaken within a state park, state historic site, or other land owned
by the state, that is under the jurisdiction of the office of parks,
recreation and historic preservation, OR (B) A QUALIFIED WHITE ELEPHANT
REHABILITATION PROJECT THAT IS ALSO A QUALIFIED LOW-INCOME HOUSING
PROJECT UNDER ARTICLE TWO-A OF THE PUBLIC HOUSING LAW, to be eligible
for the credit allowable under this subdivision, the rehabilitation
project shall be in whole or in part located within a census tract which
is identified as being at or below one hundred percent of the state
median family income as calculated as of April first of each year using
the most recent five year estimate from the American community survey
published by the United States Census bureau. If there is a change in
the most recent five year estimate, a census tract that qualified for
eligibility under this program before information about the change was
released will remain eligible for a credit under this subdivision for an
additional two calendar years.
(6) [For purposes of this subdivision] AS USED IN THIS SUBDIVISION,
THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
A. 3009--B 31
["small] (A) "SMALL project" means qualified rehabilitation expendi-
tures totaling two million five hundred thousand dollars or less[.];
(B) "WHITE ELEPHANT PROJECT" MEANS QUALIFIED REHABILITATION EXPENDI-
TURES TOTALING FIFTY MILLION DOLLARS OR MORE WITH RESPECT TO A CERTIFIED
HISTORIC STRUCTURE THAT HAS BEEN VACANT, AS DETERMINED BY LOCAL CODE
ENFORCEMENT OR OTHER REASONABLE MEANS, FOR AT LEAST TEN OF FIFTEEN
CONSECUTIVE YEARS PRECEDING THE DATE OF THE TAXPAYER'S APPLICATION FOR
THE REHABILITATION CREDIT; AND
(C) "PHASE II HOUSING PROJECT" MEANS A WHITE ELEPHANT HOUSING PROJECT
WHICH THE COMMISSIONER DETERMINES (1) IS REASONABLY RELATED TO A PRIOR
ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE ELEPHANT HOUSING
PROJECT BY THE SAME APPLICANT, (2) SUCH PRIOR PROJECT QUALIFIED AS
ELIGIBLE WITH SEVENTY-FIVE MILLION DOLLARS OR LESS OF QUALIFIED REHABIL-
ITATION EXPENDITURES, AND (3) THE PHASE II APPLICATION HAS BEEN SUBMIT-
TED WITHIN FIVE YEARS OF THE COMMISSIONER'S PREVIOUS ALLOWANCE OF CREDIT
FOR THE PRIOR ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE ELEPHANT
HOUSING PROJECT.
(7) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST DAY
OF NOVEMBER, ON THE AGGREGATE AMOUNT OF CREDITS CLAIMED AND AWARDED
PURSUANT TO THIS SUBDIVISION ON RETURNS FILED DURING THE PRECEDING
CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE GOVERNOR, TEMPORARY
PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR OF THE SENATE
FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE AND
SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE.
(8) THE AGGREGATE AMOUNT OF TAX CREDITS ALLOCATED FOR WHITE ELEPHANT
PROJECTS PURSUANT TO ARTICLE 14-A OF THE PARKS, RECREATION AND HISTORIC
PRESERVATION LAW SHALL BE FIFTY MILLION DOLLARS EACH YEAR. IF THE TOTAL
AMOUNT OF ALLOCATED CREDITS APPLIED FOR IN ANY PARTICULAR YEAR EXCEEDS
THE AGGREGATE AMOUNT OF TAX CREDITS ALLOWED FOR SUCH YEAR UNDER THIS
SECTION, SUCH EXCESS SHALL BE TREATED AS HAVING BEEN APPLIED FOR ON THE
FIRST DAY OF THE SUBSEQUENT YEAR.
§ 4. The parks, recreation and historic preservation law is amended by
adding a new article 14-A to read as follows:
ARTICLE 14-A
WHITE ELEPHANT HOUSING HISTORIC REHABILITATION PROJECTS TAX
CREDIT PROGRAM
SECTION 14.15 DEFINITIONS.
14.16 ALLOWANCE OF CREDIT, AMOUNT AND LIMITATIONS.
14.17 PROJECT MONITORING.
14.18 REGULATIONS, COORDINATION WITH FEDERAL REHABILITATION
CREDIT PROVISIONS.
§ 14.15 DEFINITIONS. AS USED IN THIS ARTICLE, THE FOLLOWING TERMS
SHALL HAVE THE FOLLOWING MEANINGS:
1. "ELIGIBILITY STATEMENT" MEANS A STATEMENT ISSUED BY THE COMMISSION-
ER, IN CONSULTATION WITH THE COMMISSIONER OF THE DIVISION OF COMMUNITY
HOUSING AND RENEWAL, CERTIFYING THAT A WHITE ELEPHANT HOUSING PROJECT IS
ELIGIBLE FOR WHITE ELEPHANT HOUSING PROJECT HISTORIC REHABILITATION
CREDITS UNDER THIS ARTICLE AND LOW INCOME HOUSING TAX CREDITS UNDER
ARTICLE TWO-A OF THE PUBLIC HOUSING LAW. SUCH STATEMENT SHALL SET FORTH
THE TAXABLE YEAR IN WHICH THE BUILDING IS PLACED IN SERVICE, THE DOLLAR
AMOUNT OF REHABILITATION CREDIT CERTIFIED BY THE COMMISSIONER TO SUCH
BUILDING AS PROVIDED IN SECTION 14.16 OF THIS ARTICLE, THE DOLLAR AMOUNT
OF LOW INCOME HOUSING TAX CREDIT ALLOCATED BY THE COMMISSIONER OF COMMU-
NITY HOUSING AND RENEWAL TO SUCH BUILDING AS PROVIDED IN SECTION TWEN-
TY-TWO OF THE PUBLIC HOUSING LAW, SUFFICIENT INFORMATION TO IDENTIFY
EACH SUCH BUILDING AND THE TAXPAYER OR TAXPAYERS WITH RESPECT TO EACH
A. 3009--B 32
SUCH BUILDING, WHETHER THE PROJECT IS A PHASE II HOUSING PROJECT, AND
SUCH OTHER INFORMATION AS THE COMMISSIONER, IN CONSULTATION WITH THE
COMMISSIONER OF TAXATION AND FINANCE AND COMMISSIONER OF COMMUNITY HOUS-
ING AND RENEWAL, SHALL PRESCRIBE. SUCH ELIGIBILITY STATEMENT SHALL BE
FIRST ISSUED FOLLOWING THE CLOSE OF THE FIRST TAXABLE YEAR, AND THERE-
AFTER, TO THE EXTENT REQUIRED BY THE COMMISSIONER OF TAXATION AND
FINANCE, FOLLOWING THE CLOSE OF EACH OF THE FOLLOWING FOUR TAXABLE
YEARS.
2. "ELIGIBLE WHITE ELEPHANT PROJECT" MEANS A WHITE ELEPHANT PROJECT AS
DEFINED IN SECTION TWO HUNDRED TEN-B, SIX HUNDRED SIX OR ONE THOUSAND
FIVE HUNDRED ELEVEN OF THE TAX LAW THAT QUALIFIES FOR HISTORIC REHABILI-
TATION TAX CREDIT.
3. "ELIGIBLE WHITE ELEPHANT HOUSING PROJECT" MEANS AN ELIGIBLE WHITE
ELEPHANT PROJECT AS DEFINED IN THIS SECTION THAT ALSO QUALIFIES FOR LOW
INCOME HOUSING TAX CREDIT UNDER ARTICLE TWO-A OF THE PUBLIC HOUSING LAW.
4. "PHASE II HOUSING PROJECT" MEANS A WHITE ELEPHANT HOUSING PROJECT
WHICH THE COMMISSIONER DETERMINES (A) IS REASONABLY RELATED TO A PRIOR
ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE ELEPHANT HOUSING
PROJECT BY THE SAME APPLICANT, (B) SUCH PRIOR PROJECT QUALIFIED AS
ELIGIBLE WITH LESS THAN SEVENTY-FIVE MILLION DOLLARS OF QUALIFIED REHA-
BILITATION EXPENDITURES, AND (C) THE PHASE II APPLICATION HAS BEEN
SUBMITTED WITHIN FIVE YEARS OF THE COMMISSIONER'S PREVIOUS ALLOWANCE OF
CREDIT FOR THE PRIOR ELIGIBLE WHITE ELEPHANT PROJECT OR ELIGIBLE WHITE
ELEPHANT HOUSING PROJECT.
5. "QUALIFIED REHABILITATION EXPENDITURES" SHALL HAVE THE SAME MEANING
AS IN SECTION 47 OF THE INTERNAL REVENUE CODE.
6. "WHITE ELEPHANT PROJECT" MEANS A PROJECT AS DEFINED IN SECTION TWO
HUNDRED TEN-B, SIX HUNDRED SIX OR ONE THOUSAND FIVE HUNDRED ELEVEN OF
THE TAX LAW.
7. "WHITE ELEPHANT HOUSING PROJECT" MEANS A "WHITE ELEPHANT PROJECT"
AS DEFINED IN SECTION TWO HUNDRED TEN-B, SIX HUNDRED SIX OR ONE THOUSAND
FIVE HUNDRED ELEVEN OF THE TAX LAW THAT IS ALSO A HOUSING PROJECT.
8. REFERENCES IN THIS ARTICLE TO SECTION 47 OF THE INTERNAL REVENUE
CODE SHALL MEAN SUCH SECTION AS AMENDED FROM TIME TO TIME.
§ 14.16 ALLOWANCE OF CREDIT, AMOUNT AND LIMITATIONS. A TAXPAYER
SUBJECT TO TAX UNDER ARTICLE NINE-A, TWENTY-TWO, OR THIRTY-THREE OF THE
TAX LAW WHICH OWNS AN INTEREST IN ONE OR MORE ELIGIBLE WHITE ELEPHANT
HOUSING PROJECTS SHALL BE ALLOWED A CREDIT AGAINST SUCH TAX FOR THE
AMOUNT OF WHITE ELEPHANT HOUSING PROJECT HISTORIC REHABILITATION CREDIT
CERTIFIED BY THE COMMISSIONER TO EACH SUCH STRUCTURE. IF THE TAXPAYER IS
A PARTNER IN A PARTNERSHIP OR A SHAREHOLDER OF A NEW YORK S CORPORATION,
THEN THE CREDIT SHALL BE APPLIED AT THE ENTITY LEVEL, SO THAT THE AGGRE-
GATE CREDIT ALLOWED TO ALL THE PARTNERS OR SHAREHOLDERS OF EACH SUCH
ENTITY IN THE TAXABLE YEAR DOES NOT EXCEED THE CREDIT ALLOWED TO THE
ENTITY. THE AGGREGATE AMOUNT OF TAX CREDITS ALLOCATED FOR WHITE ELEPHANT
PROJECTS SHALL BE FIFTY MILLION DOLLARS EACH YEAR.
§ 14.17 PROJECT MONITORING. THE COMMISSIONER SHALL ESTABLISH SUCH
PROCEDURES DEEMED NECESSARY FOR MONITORING COMPLIANCE OF AN ELIGIBLE
WHITE ELEPHANT HOUSING PROJECT WITH THE PROVISIONS OF THIS ARTICLE, AND
FOR NOTIFYING THE COMMISSIONER OF TAXATION AND FINANCE OF ANY SUCH
NONCOMPLIANCE.
§ 14.18 REGULATIONS, COORDINATION WITH FEDERAL REHABILITATION CREDIT
PROVISIONS. 1. THE COMMISSIONER SHALL PROMULGATE RULES AND REGULATIONS
NECESSARY TO ADMINISTER THE PROVISIONS OF THIS ARTICLE.
2. THE PROVISIONS OF SECTION 47 OF THE INTERNAL REVENUE CODE SHALL
APPLY TO THE CREDIT UNDER THIS ARTICLE, PROVIDED HOWEVER, TO THE EXTENT
A. 3009--B 33
SUCH PROVISIONS ARE INCONSISTENT WITH THIS ARTICLE, THE PROVISIONS OF
THIS ARTICLE SHALL CONTROL.
§ 5. Paragraph 2 of subsection (pp) of section 606 of the tax law, as
amended by section 4 of part RR of chapter 59 of the laws of 2018, is
amended and a new paragraph 13 is added to read as follows:
(2) (A) With respect to any particular residence of a taxpayer, the
credit allowed under paragraph one of this subsection shall not exceed
fifty thousand dollars for taxable years beginning on or after January
first, two thousand ten and before January first, two thousand [twenty-
five] THIRTY and twenty-five thousand dollars for taxable years begin-
ning on or after January first, two thousand [twenty-five] THIRTY. In
the case of a husband and wife, the amount of the credit shall be
divided between them equally or in such other manner as they may both
elect. If a taxpayer incurs qualified rehabilitation expenditures in
relation to more than one residence in the same year, the total amount
of credit allowed under paragraph one of this subsection for all such
expenditures shall not exceed fifty thousand dollars for taxable years
beginning on or after January first, two thousand ten and before January
first, two thousand [twenty-five] THIRTY and twenty-five thousand
dollars for taxable years beginning on or after January first, two thou-
sand [twenty-five] THIRTY.
(B) For taxable years beginning on or after January first, two thou-
sand ten and before January first, two thousand [twenty-five] THIRTY, if
the amount of credit allowable under this subsection shall exceed the
taxpayer's tax for such year, and the taxpayer's New York adjusted gross
income for such year does not exceed sixty thousand dollars, the excess
shall be treated as an overpayment of tax to be credited or refunded in
accordance with the provisions of section six hundred eighty-six of this
article, provided, however, that no interest shall be paid thereon. If
the taxpayer's New York adjusted gross income for such year exceeds
sixty thousand dollars, the excess credit that may be carried over to
the following year or years and may be deducted from the taxpayer's tax
for such year or years. For taxable years beginning on or after January
first, two thousand [twenty-five] THIRTY, if the amount of credit allow-
able under this subsection shall exceed the taxpayer's tax for such
year, the excess may be carried over to the following year or years and
may be deducted from the taxpayer's tax for such year or years.
(13) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST
DAY OF NOVEMBER, ON THE AGGREGATE AMOUNT OF CREDITS CLAIMED AND AWARDED
PURSUANT TO THIS SUBDIVISION ON RETURNS FILED DURING THE PRECEDING
CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE GOVERNOR, TEMPORARY
PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR OF THE SENATE
FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE,
SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE.
§ 6. Section 14.05 of the parks, recreation and historic preservation
law is amended by adding a new subdivision 5 to read as follows:
5. (A) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST
DAY OF NOVEMBER, ON THE TAX CREDIT PROJECTS APPLIED FOR IN ACCORDANCE
WITH SUBDIVISION TWENTY-SIX OF SECTION TWO HUNDRED TEN-B, SUBSECTION
(OO) OF SECTION SIX HUNDRED SIX, AND SUBDIVISION (Y) OF SECTION FIFTEEN
HUNDRED ELEVEN OF THE TAX LAW ON RETURNS FILED DURING THE PRECEDING
CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE GOVERNOR, TEMPORARY
PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY, CHAIR OF THE SENATE
FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND MEANS COMMITTEE,
SHALL BE MADE PUBLICLY AVAILABLE ON THE DEPARTMENT'S WEBSITE AND SHALL
INCLUDE THE FOLLOWING INFORMATION:
A. 3009--B 34
(I) THE NUMBER AND VALUE OF TAX CREDIT PROJECTS APPLIED FOR DURING THE
STATE FISCAL YEAR, ORGANIZED BY MUNICIPALITY AND COUNTY, AND PROJECT
SIZE;
(II) THE NUMBER AND VALUE OF TAX CREDIT PROJECTS CERTIFIED BY THE
NATIONAL PARK SERVICE DURING THE STATE FISCAL YEAR, ORGANIZED BY MUNICI-
PALITY AND COUNTY, AND PROJECT SIZE;
(III) THE TOTAL VALUE OF CREDITS CERTIFIED ANNUALLY FOR EACH OF THE
TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOUSAND SEVEN TO
THE PRESENT, BY MUNICIPALITY AND COUNTY;
(IV) THE NUMBER OF HOUSING UNITS BEFORE AND AFTER REHABILITATION;
(V) THE NUMBER OF LOW-MODERATE HOUSING UNITS BEFORE AND AFTER REHABIL-
ITATION; AND
(VI) THE NUMBER OF PROJECTS CERTIFIED FOR BOTH FEDERAL AND STATE CRED-
ITS, AND THE NUMBER OF PROJECTS CERTIFIED FOR FEDERAL CREDITS ONLY.
(B) THE COMMISSIONER SHALL REPORT ANNUALLY, ON OR BEFORE THE FIRST DAY
OF NOVEMBER, ON THE TAX CREDIT PROJECTS APPLIED FOR PURSUANT TO SUBDIVI-
SION (PP) OF SECTION SIX HUNDRED SIX OF THE TAX LAW ON RETURNS FILED
DURING THE PRECEDING CALENDAR YEAR. SUCH REPORT SHALL BE PROVIDED TO THE
GOVERNOR, TEMPORARY PRESIDENT OF THE SENATE, SPEAKER OF THE ASSEMBLY,
CHAIR OF THE SENATE FINANCE COMMITTEE AND CHAIR OF THE ASSEMBLY WAYS AND
MEANS COMMITTEE, SHALL BE MADE PUBLICLY AVAILABLE ON THE OFFICE'S
WEBSITE AND SHALL INCLUDE THE FOLLOWING INFORMATION:
(I) THE NUMBER AND VALUE OF TAX CREDIT PROJECTS APPLIED FOR DURING THE
STATE FISCAL YEAR, ORGANIZED BY MUNICIPALITY AND COUNTY, AND PROJECT
SIZE;
(II) THE NUMBER AND VALUE OF TAX CREDIT PROJECTS CERTIFIED BY THE
OFFICE DURING THE STATE FISCAL YEAR, ORGANIZED BY MUNICIPALITY AND COUN-
TY, AND PROJECT SIZE;
(III) THE TOTAL VALUE OF CREDITS CERTIFIED ANNUALLY FOR EACH OF THE
TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOUSAND SEVEN TO
THE PRESENT, BY MUNICIPALITY AND COUNTY;
(IV) THE NUMBER OF HOUSING UNITS BEFORE AND AFTER REHABILITATION; AND
(V) THE NUMBER OF PROJECTS CERTIFIED FOR STATE CREDITS BY THE OFFICE.
§ 7. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2024.
SUBPART C
Section 1. Paragraph 1 of subdivision (a) of section 28 of the tax
law, as amended by section 1 of part AAA of chapter 59 of the laws of
2019, is amended to read as follows:
(1) A taxpayer which is a qualified commercial production company, or
which is a sole proprietor of a qualified commercial production company,
and which is subject to tax under article nine-A or twenty-two of this
chapter, shall be allowed a credit against such tax, pursuant to the
provisions referenced in subdivision (c) of this section, to be computed
as provided in this section. Provided, however, to be eligible for such
credit, at least seventy-five percent of the production costs (excluding
post production costs) paid or incurred directly and predominantly in
the actual filming or recording of the qualified commercial must be
costs incurred in New York state. The tax credit allowed pursuant to
this section shall apply to taxable years beginning before January
first, two thousand [twenty-four] TWENTY-NINE.
§ 2. Paragraph (c) of subdivision 23 of section 210-B of the tax law,
as amended by chapter 518 of the laws of 2018, is amended to read as
follows:
A. 3009--B 35
(c) Expiration of credit. The credit allowed under this subdivision
shall not be applicable to taxable years beginning on or after January
first, two thousand [twenty-four] TWENTY-NINE.
§ 3. Paragraph 1 of subsection (jj) of section 606 of the tax law, as
amended by chapter 518 of the laws of 2018, is amended to read as
follows:
(1) Allowance of credit. A taxpayer that is eligible pursuant to the
provisions of section twenty-eight of this chapter shall be allowed a
credit to be computed as provided in such section against the tax
imposed by this article. The tax credit allowed pursuant to this section
shall apply to taxable years beginning before January first, two thou-
sand [twenty-four] TWENTY-NINE.
§ 4. This act shall take effect immediately.
SUBPART D
Section 1. Paragraph 1 of subdivision (a) of section 47 of the tax
law, as added by section 1 of part I of chapter 59 of the laws of 2022,
is amended to read as follows:
(1) Allowance of credit. A taxpayer that meets the eligibility
requirements of subdivision (b) of this section and is subject to tax
under article nine-A or twenty-two of this chapter may be eligible to
claim a grade no. 6 heating oil conversion tax credit in the taxable
year the conversion is complete. The credit shall be equal to fifty
percent of the conversion costs for all of the taxpayer's buildings
located at a facility regulated pursuant to section 19-0302 or title ten
of article seventeen of the environmental conservation law, paid by such
taxpayer on or after January first, two thousand twenty-two and before
[July] JANUARY first, two thousand [twenty-three] TWENTY-FOUR. The
credit cannot exceed five hundred thousand dollars per facility.
§ 2. This act shall take effect immediately.
SUBPART E
Section 1. Section 6 of subpart B of part PP of chapter 59 of the laws
of 2021 amending the tax law and the state finance law relating to
establishing the New York city musical and theatrical production tax
credit and establishing the New York state council on the arts cultural
program fund, as amended by section 7 of part F of chapter 59 of the
laws of 2022, is amended to read as follows:
§ 6. This act shall take effect immediately; provided however, that
[section] SECTIONS one, two, three and four of this act shall apply to
taxable years beginning on or after January 1, 2021, and before January
1, [2024] 2026 and shall expire and be deemed repealed January 1, [2024]
2026; provided further, however that the obligations under paragraph 3
of subdivision (g) of section 24-c of the tax law, as added by section
one of this act, shall remain in effect until December 31, [2025] 2027.
§ 2. Paragraph 2 of subdivision (a) of section 24-c of the tax law, as
amended by section 1 of part F of chapter 59 of the laws of 2022, is
amended to read as follows:
(2) The amount of the credit shall be the product (or pro rata share
of the product, in the case of a member of a partnership) of twenty-five
percent and the sum of the qualified production expenditures paid for
during the qualified New York city musical and theatrical production's
credit period. Provided however that the amount of the credit cannot
exceed three million dollars per qualified New York city musical and
A. 3009--B 36
theatrical production for productions whose first performance is prior
to January first, two thousand [twenty-three] TWENTY-FIVE. [For
productions whose first performance is on or after January first, two
thousand twenty-three, such cap shall decrease to one million five
hundred thousand dollars per qualified New York city musical and theat-
rical production unless the New York city tourism economy has not suffi-
ciently recovered, as determined by the department of economic develop-
ment in consultation with the division of the budget. In determining
whether the New York city tourism economy has sufficiently recovered,
the department of economic development will perform an analysis of key
New York city economic indicators which shall include, but not be limit-
ed to, hotel occupancy rates and travel metrics. The department of
economic development's analysis shall also be informed by the status of
any remaining COVID-19 restrictions affecting New York city musical and
theatrical productions.] In no event shall a qualified New York city
musical and theatrical production be eligible for more than one credit
under this program.
§ 3. Subparagraph (i) of paragraph 5 of subdivision (b) of section
24-c of the tax law, as amended by section 2 of part F of chapter 59 of
the laws of 2022, is amended to read as follows:
(i) "The credit period of a qualified New York city musical and theat-
rical production company" is the period starting on the production start
date and ending on the earlier of the date the qualified musical and
theatrical production has expended sufficient qualified production
expenditures to reach its credit cap, September thirtieth, two thousand
[twenty-three] TWENTY-FIVE or the date the qualified musical and theat-
rical production closes.
§ 4. Subdivision (c) of section 24-c of the tax law, as added by
section 1 of subpart B of part PP of chapter 59 of the laws of 2021, is
amended to read as follows:
(c) The credit shall be allowed for the taxable year beginning on or
after January first, two thousand twenty-one but before January first,
two thousand [twenty-four] TWENTY-SIX. A qualified New York city
musical and theatrical production company shall claim the credit in the
year in which its credit period ends.
§ 5. Paragraphs 1 and 2 of subdivision (f) of section 24-c of the tax
law, paragraph 1 as amended by section 3 of part F of chapter 59 of the
laws of 2022, and paragraph 2 as amended by section 4 of part F of chap-
ter 59 of the laws of 2022, are amended to read as follows:
(1) The aggregate amount of tax credits allowed under this section,
subdivision fifty-seven of section two hundred ten-B and subsection
(mmm) of section six hundred six of this chapter shall be [two] THREE
hundred million dollars. Such aggregate amount of credits shall be allo-
cated by the department of economic development among taxpayers based on
the date of first performance of the qualified musical and theatrical
production.
(2) The commissioner of economic development, after consulting with
the commissioner, shall promulgate regulations to establish procedures
for the allocation of tax credits as required by this section. Such
rules and regulations shall include provisions describing the applica-
tion process, the due dates for such applications, the standards that
will be used to evaluate the applications, the documentation that will
be provided by applicants to substantiate to the department the amount
of qualified production expenditures of such applicants, and such other
provisions as deemed necessary and appropriate. Notwithstanding any
other provisions to the contrary in the state administrative procedure
A. 3009--B 37
act, such rules and regulations may be adopted on an emergency basis. In
no event shall a qualified New York city musical and theatrical
production submit an application for this program after June thirtieth,
two thousand [twenty-three] TWENTY-FIVE.
§ 6. This act shall take effect immediately; provided that the amend-
ments to section 24-c of the tax law made by sections two, three, four
and five of this act shall not affect the repeal of such section and
shall be deemed repealed therewith.
§ 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
§ 3. This act shall take effect immediately provided, however, that
the applicable effective dates of Subparts A through E of this act shall
be as specifically set forth in the last section of such Subparts.
PART J
Section 1. This act enacts into law major components of legislation
relating to taxation. Each component is wholly contained within a
Subpart identified as Subparts A through C. The effective date for each
particular provision contained within such Subpart is set forth in the
last section of such Subpart. Any provision in any section contained
within a Subpart, including the effective date of the Subpart, which
makes reference to a section "of this act", when used in connection with
that particular component, shall be deemed to mean and refer to the
corresponding section of the Subpart in which it is found. Section three
of this act sets forth the general effective date of this act.
SUBPART A
Section 1. Paragraph (b) of subdivision 38 of section 210-B of the tax
law, as amended by section 2 of part L of chapter 59 of the laws of
2022, is amended to read as follows:
(b) Definitions. The term "accessible by individuals with disabili-
ties" shall, for the purposes of this subdivision, refer to a vehicle
that complies with federal regulations promulgated pursuant to the Amer-
icans with Disabilities Act applicable to vans under twenty-two feet in
length, by the federal Department of Transportation, in Code of Federal
Regulations, title 49, parts 37 and 38[, and by the federal Architecture
and Transportation Barriers Compliance Board, in Code of Federal Regu-
lations, title 36, section 1192.23,] and the Federal Motor Vehicle Safe-
ty Standards, Code of Federal Regulations, title 49, part [57] 571. The
term "electric vehicle" shall, for the purposes of this subdivision,
have the same meaning as in section sixty-six-s of the public service
law.
§ 2. Paragraph 2 of subsection (tt) of section 606 of the tax law, as
amended by section 4 of part L of chapter 59 of the laws of 2022, is
amended to read as follows:
(2) Definitions. The term "accessible by individuals with disabili-
ties" shall, for the purposes of this subsection, refer to a vehicle
A. 3009--B 38
that complies with federal regulations promulgated pursuant to the Amer-
icans with Disabilities Act applicable to vans under twenty-two feet in
length, by the federal Department of Transportation, in Code of Federal
Regulations, title 49, parts 37 and 38[, and by the federal Architecture
and Transportation Barriers Compliance Board, in Code of Federal Regu-
lations, title 36, section 1192.23,] and the Federal Motor Vehicle Safe-
ty Standards, Code of Federal Regulations, title [29] 49, part [57] 571.
The term "electric vehicle" shall, for the purposes of this subsection,
have the same meaning as in section sixty-six-s of the public service
law.
§ 3. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2023.
SUBPART B
Section 1. Paragraph 2 of subdivision (b) of section 21 of the tax
law, as amended by section 7 of part LL of chapter 58 of the laws of
2022, is amended to read as follows:
(2) Site preparation costs. The term "site preparation costs" shall
mean all amounts properly chargeable to a capital account, which are
paid or incurred which are necessary to implement a site's investi-
gation, remediation, or qualification for a certificate of completion,
and shall include costs of: excavation; demolition; activities undertak-
en under the oversight of the department of labor or in accordance with
standards established by the department of health to remediate and
dispose of regulated materials including asbestos, lead or polychlori-
nated biphenyls; environmental consulting; engineering; legal costs;
transportation, disposal, treatment or containment of contaminated soil;
remediation measures taken to address contaminated soil vapor; cover
systems consistent with applicable regulations; physical support of
excavation; dewatering and other work to facilitate or enable remedi-
ation activities; sheeting, shoring, and other engineering controls
required to prevent off-site migration of contamination from the quali-
fied site or migrating onto the qualified site; and the costs of fenc-
ing, temporary electric wiring, scaffolding, and security facilities
until such time as the certificate of completion has been issued. Site
preparation shall include all costs paid or incurred within sixty months
after the last day of the tax year in which the certificate of
completion is issued that are necessary for compliance with the certif-
icate of completion or subsequent modifications thereof, or the remedial
program defined in such certificate of completion including but not
limited to institutional controls, engineering controls, an approved
site management plan, and an environmental easement with respect to the
qualified site; provided, however, with respect to any qualified site
for which [the department of environmental conservation has issued a
notice to the taxpayer on or after July first, two thousand fifteen but
on or before June twenty-fourth, two thousand twenty-one that its
request for participation has been accepted under subdivision six of
section 27-1407 of the environmental conservation law] A CERTIFICATE OF
COMPLETION WAS ISSUED ON OR AFTER JULY FIRST, TWO THOUSAND FIFTEEN BUT
ON OR BEFORE JUNE TWENTY-FOURTH, TWO THOUSAND TWENTY-ONE, site prepara-
tion shall include all costs paid or incurred within eighty-four months
after the last day of the tax year in which the certificate of
completion is issued that are necessary for compliance with the certif-
icate of completion or subsequent modifications thereof, or the remedial
program defined in such certificate of completion including but not
A. 3009--B 39
limited to institutional controls, engineering controls, an approved
site management plan, and an environmental easement with respect to the
qualified site. Site preparation cost shall not include the costs of
foundation systems that exceed the cover system requirements in the
regulations applicable to the qualified site.
§ 2. This act shall take effect immediately and shall be deemed to
have been in effect on and after April 9, 2022.
SUBPART C
Section 1. Paragraphs 1, 2 and 3 of subsection (h) of section 860 of
the tax law, paragraph 1 as added by section 1 of part C of chapter 59
of the laws of 2021, and paragraph 2 as amended and paragraph 3 as added
by section 2 of subpart A of part MM of chapter 59 of the laws of 2022,
are amended to read as follows:
(1) In the case of an electing partnership, the sum of (i) all items
of income, gain, loss, or deduction derived from or connected with New
York sources to the extent they are included in the taxable income of a
nonresident partner subject to tax under article twenty-two, under para-
graph one of subsection (a) of section six hundred thirty-two of this
chapter; [and] (ii) all items of income, gain, loss, or deduction to the
extent they are included in the taxable income of a resident partner
subject to tax under article twenty-two of this chapter; AND (III) ALL
PASS-THROUGH ENTITY TAXES INCLUDING TAXES PAID UNDER THIS ARTICLE TO NEW
YORK, TAXES PAID UNDER ARTICLE TWENTY-FOUR-B OF THIS CHAPTER TO THE CITY
OF NEW YORK, AND TAXES PAID TO OTHER JURISDICTIONS THAT ARE SUBSTANTIAL-
LY SIMILAR TO THE TAXES PAID UNDER THIS ARTICLE, TO THE EXTENT THAT, FOR
FEDERAL INCOME TAX PURPOSES, THE TAXES ARE PAID AND DEDUCTED IN THE
TAXABLE YEAR, AND ARE INCLUDED IN THE TAXABLE INCOME OF THE PARTNERS
SUBJECT TO TAX UNDER ARTICLE TWENTY-TWO OF THIS CHAPTER FOR THE TAXABLE
YEAR.
(2) In the case of an electing standard S corporation, the sum of (I)
all items of income, gain, loss, or deduction derived from or connected
with New York sources to the extent they would be included under para-
graph two of subsection (a) of section six hundred thirty-two of this
chapter in the taxable income of a shareholder subject to tax under
article twenty-two of this chapter; AND (II) ALL PASS-THROUGH ENTITY
TAXES INCLUDING TAXES PAID UNDER THIS ARTICLE TO NEW YORK, TAXES PAID
UNDER ARTICLE TWENTY-FOUR-B OF THIS CHAPTER TO THE CITY OF NEW YORK, AND
TAXES PAID TO OTHER JURISDICTIONS THAT ARE SUBSTANTIALLY SIMILAR TO THE
TAXES PAID UNDER THIS ARTICLE, TO THE EXTENT THAT, FOR FEDERAL INCOME
TAX PURPOSES, THE TAXES ARE PAID AND DEDUCTED IN THE TAXABLE YEAR, AND
ARE INCLUDED IN THE TAXABLE INCOME OF THE SHAREHOLDERS SUBJECT TO TAX
UNDER ARTICLE TWENTY-TWO OF THIS CHAPTER FOR THE TAXABLE YEAR.
(3) In the case of an electing resident S corporation, the sum of (I)
all items of income, gain, loss, or deduction to the extent they are
included in the taxable income of a shareholder subject to tax under
article twenty-two of this chapter; AND (II) ALL PASS-THROUGH ENTITY
TAXES INCLUDING TAXES PAID UNDER THIS ARTICLE TO NEW YORK, TAXES PAID
UNDER ARTICLE TWENTY-FOUR-B OF THIS CHAPTER TO THE CITY OF NEW YORK, AND
TAXES PAID TO OTHER JURISDICTIONS THAT ARE SUBSTANTIALLY SIMILAR TO
TAXES PAID UNDER THIS ARTICLE, TO THE EXTENT THAT, FOR FEDERAL INCOME
TAX PURPOSES, THE TAXES ARE PAID AND DEDUCTED IN THE TAXABLE YEAR, AND
ARE INCLUDED IN THE TAXABLE INCOME OF THE SHAREHOLDERS SUBJECT TO TAX
UNDER ARTICLE TWENTY-TWO OF THIS CHAPTER FOR THE TAXABLE YEAR.
A. 3009--B 40
§ 2. Subsection (c) of section 861 of the tax law, as amended by
section 3 of subpart A of part MM of chapter 59 of the laws of 2022, is
amended to read as follows:
(c) The annual election must be made [by] ON OR BEFORE the due date of
the first estimated payment under section eight hundred sixty-four of
this article and will take effect for the current taxable year. Only one
election may be made during each calendar year. An election made under
this section is irrevocable [as of] AFTER the due date.
§ 3. Paragraphs 1 and 2 of subsection (b) of section 867 of the tax
law, as added by section 1 of subpart B of part MM of chapter 59 of the
laws of 2022, are amended to read as follows:
(1) In the case of an electing city partnership, the sum of (I) all
items of income, gain, loss, or deduction to the extent they are
included in the city taxable income of a partner or member of the elect-
ing city partnership who is a city taxpayer; AND (II) ALL PASS-THROUGH
ENTITY TAXES INCLUDING TAXES PAID UNDER ARTICLE TWENTY-FOUR-A OF THIS
CHAPTER TO NEW YORK, TAXES PAID UNDER THIS ARTICLE TO THE CITY OF NEW
YORK, AND TAXES PAID TO OTHER JURISDICTIONS THAT ARE SUBSTANTIALLY SIMI-
LAR TO TAXES PAID UNDER ARTICLE TWENTY-FOUR-A OF THIS CHAPTER, TO THE
EXTENT THAT, FOR FEDERAL INCOME TAX PURPOSES, THE TAXES WERE PAID AND
DEDUCTED IN THE TAXABLE YEAR, AND THEY ARE INCLUDED IN THE TAXABLE
INCOME OF THE PARTNERS SUBJECT TO TAX UNDER ARTICLE TWENTY-TWO OF THIS
CHAPTER FOR THE TAXABLE YEAR.
(2) In the case of an electing city resident S corporation, the sum of
(I) all items of income, gain, loss, or deduction to the extent they
would be included in the city taxable income of a shareholder of the
electing city resident S corporation who is a city taxpayer; AND (II)
ALL PASS-THROUGH ENTITY TAXES INCLUDING TAXES PAID UNDER ARTICLE TWEN-
TY-FOUR-A OF THIS CHAPTER TO NEW YORK, TAXES PAID UNDER THIS ARTICLE TO
THE CITY OF NEW YORK, AND TAXES PAID TO OTHER JURISDICTIONS THAT ARE
SUBSTANTIALLY SIMILAR TO TAXES PAID UNDER ARTICLE TWENTY-FOUR-A OF THIS
CHAPTER, TO THE EXTENT THAT, FOR FEDERAL INCOME TAX PURPOSES, THE TAXES
WERE PAID AND DEDUCTED IN THE TAXABLE YEAR, AND THEY ARE INCLUDED IN THE
TAXABLE INCOME OF THE SHAREHOLDERS SUBJECT TO TAX UNDER ARTICLE TWENTY-
TWO OF THIS CHAPTER FOR THE TAXABLE YEAR.
§ 4. Subsection (e) of section 867 of the tax law, as added by section
1 of subpart B of part MM of chapter 59 of the laws of 2022, is amended
to read as follows:
(e) City taxpayer. A city taxpayer means [a city resident individual
subject to the tax imposed pursuant to the authority of article thirty
of this chapter]:
(1) A CITY RESIDENT INDIVIDUAL, AS DEFINED IN SUBSECTION (A) OF
SECTION THIRTEEN HUNDRED FIVE OF THIS CHAPTER; AND
(2) A CITY RESIDENT TRUST OR ESTATE, AS DEFINED IN SUBSECTION (C) OF
SECTION THIRTEEN HUNDRED FIVE OF THIS CHAPTER.
§ 5. Subsection (i) of section 867 of the tax law, as added by section
1 of subpart B of part MM of chapter 59 of the laws of 2022, is amended
to read as follows:
(i) Eligible city partnership. Eligible city partnership means any
partnership as provided for in section 7701(a)(2) of the Internal Reven-
ue Code that has a filing requirement under paragraph one of subsection
(c) of section six hundred fifty-eight of this chapter other than a
publicly traded partnership as defined in section 7704 of the Internal
Revenue Code, where at least one partner or member is a city [resident
individual] TAXPAYER. An eligible city partnership includes any entity,
including a limited liability company, treated as a partnership for
A. 3009--B 41
federal income tax purposes that otherwise meets the requirements of
this subsection.
§ 6. Subsection (j) of section 867 of the tax law, as added by section
1 of subpart B of part MM of chapter 59 of the laws of 2022, is amended
to read as follows:
(j) Eligible city resident S corporation. Eligible city resident S
corporation means any New York S corporation as defined pursuant to
subdivision one-A of section two hundred eight of this chapter that is
subject to tax under section two hundred nine of this chapter that has
only city [resident individual] TAXPAYER shareholders. An eligible city
resident S corporation includes any entity, including a limited liabil-
ity company, treated as an S corporation for federal income tax purposes
that otherwise meets the requirements of this subsection.
§ 7. Subsection (c) of section 868 of the tax law, as added by section
1 of subpart B of part MM of chapter 59 of the laws of 2022, is amended
to read as follows:
(c) The annual election to be taxed pursuant to this article must be
made [by] ON OR BEFORE the due date of the first estimated payment under
section eight hundred sixty-four of this chapter and will take effect
for the current taxable year. Only one election to be taxed pursuant to
this article may be made during each calendar year. An election made
under this section is irrevocable [as of] AFTER such due date. To the
extent an election made under section eight hundred sixty-one of this
chapter is revoked or otherwise invalidated an election made under this
section is automatically invalidated.
§ 8. This act shall take effect immediately, provided, however, that:
(i) sections one and two of this act shall be deemed to have been in
full force and effect on and after the effective date of part C of chap-
ter 59 of the laws of 2021; (ii) sections three and seven of this act
shall be deemed to have been in full force and effect on and after the
effective date of section 1 of subpart B of part MM of chapter 59 of the
laws of 2022; and (iii) sections four, five and six of this act shall
apply to taxable years beginning on or after January 1, 2023.
§ 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
§ 3. This act shall take effect immediately; provided, however, that
the applicable effective dates of Subparts A through C of this act shall
be as specifically set forth in the last section of such Subparts.
PART K
Section 1. Paragraphs (a) and (d) of subdivision 1 of section 467 of
the real property tax law, as amended by section 1 of part B of chapter
686 of the laws of 2022, are amended to read as follows:
(a) Real property owned by one or more persons, each of whom is
sixty-five years of age or over, or real property owned by [husband and
wife] A MARRIED COUPLE or by siblings, one of whom is sixty-five years
of age or over, or real property owned by one or more persons, some of
whom qualify under this section and the others of whom qualify under
A. 3009--B 42
section four hundred fifty-nine-c of this title, shall be exempt from
payments in lieu of taxes (PILOT) to the battery park city authority or
from taxation by any municipal corporation in which located to the
extent of fifty per centum of the assessed valuation thereof, provided
the governing board of such municipality, after public hearing, adopts a
local law, ordinance or resolution providing therefor. For the purposes
of this section, [sibling shall mean a brother or a sister, whether
related] THE TERM "SIBLING" SHALL INCLUDE PERSONS WHOSE RELATIONSHIP AS
SIBLINGS HAS BEEN ESTABLISHED through EITHER half blood, whole blood or
adoption.
(d) The real property tax or PILOT exemption on real property owned by
[husband and wife] A MARRIED COUPLE, one of whom is sixty-five years of
age or over, once granted, shall not be rescinded by any municipal
corporation solely because of the death of the older spouse so long as
the surviving spouse is at least sixty-two years of age.
§ 2. Subdivision 3 of section 467 of the real property tax law, as
amended by section 1 of part B of chapter 686 of the laws of 2022, para-
graph (a) as separately amended by chapter 488 of the laws of 2022, is
amended to read as follows:
3. No exemption shall be granted:
(a) (I) if the income of the owner or the combined income of the
owners of the property for the APPLICABLE income tax year [immediately
preceding the date of making application for exemption] exceeds the sum
of three thousand dollars, or such other sum not less than three thou-
sand dollars nor more than [twenty-six thousand dollars beginning July
first, two thousand six, twenty-seven thousand dollars beginning July
first, two thousand seven, twenty-eight thousand dollars beginning July
first, two thousand eight, twenty-nine thousand dollars beginning July
first, two thousand nine, fifty thousand dollars beginning July first,
two thousand twenty-two, and in a city with a population of one million
or more fifty thousand dollars beginning July first, two thousand seven-
teen,] FIFTY THOUSAND DOLLARS, as may be provided by the local law,
ordinance or resolution adopted pursuant to this section.
(II) Where the taxable status date is on or before April fourteenth,
THE APPLICABLE income tax year shall [mean] BE the twelve-month period
for which the owner or owners filed a federal personal income tax return
for the year before the income tax year immediately preceding the date
of application and where the taxable status date is on or after April
fifteenth, THE APPLICABLE income tax year shall [mean] BE the twelve-
month period for which the owner or owners filed a federal personal
income tax return for the income tax year immediately preceding the date
of application.
(III) Where title is vested in [either the husband or the wife, their]
A MARRIED PERSON, THE combined income OF SUCH PERSON AND SUCH PERSON'S
SPOUSE may not exceed such sum, except where [the husband or wife, or
ex-husband or ex-wife] ONE-SPOUSE OR EX-SPOUSE is absent from the prop-
erty as provided in subparagraph (ii) of paragraph (d) of this subdivi-
sion, then only the income of the spouse or ex-spouse residing on the
property shall be considered and may not exceed such sum. [Such income
shall include social security and retirement benefits, interest, divi-
dends, total gain from the sale or exchange of a capital asset which may
be offset by a loss from the sale or exchange of a capital asset in the
same income tax year, net rental income, salary or earnings, and net
income from self-employment, but shall not include a return of capital,
gifts, inheritances, payments made to individuals because of their
status as victims of Nazi persecution, as defined in P.L. 103-286 or
A. 3009--B 43
monies earned through employment in the federal foster grandparent
program and any such income shall be offset by all medical and
prescription drug expenses actually paid which were not reimbursed or
paid for by insurance, if the governing board of a municipality, after a
public hearing, adopts a local law, ordinance or resolution providing
therefor. In addition, an exchange of an annuity for an annuity
contract, which resulted in non-taxable gain, as determined in section
one thousand thirty-five of the internal revenue code, shall be excluded
from such income. Provided that such exclusion shall be based on satis-
factory proof that such an exchange was solely an exchange of an annuity
for an annuity contract that resulted in a non-taxable transfer deter-
mined by such section of the internal revenue code. Furthermore, such
income shall not include the proceeds of a reverse mortgage, as author-
ized by section six-h of the banking law, and sections two hundred
eighty and two hundred eighty-a of the real property law; provided,
however, that monies used to repay a reverse mortgage may not be
deducted from income, and provided additionally that any interest or
dividends realized from the investment of reverse mortgage proceeds
shall be considered income. The provisions of this paragraph notwith-
standing, such income shall not include veterans disability compen-
sation, as defined in Title 38 of the United States Code provided the
governing board of such municipality, after public hearing, adopts a
local law, ordinance or resolution providing therefor. In computing net
rental income and net income from self-employment no depreciation
deduction shall be allowed for the exhaustion, wear and tear of real or
personal property held for the production of income;]
(IV) THE TERM "INCOME" AS USED HEREIN SHALL MEAN THE "ADJUSTED GROSS
INCOME" FOR FEDERAL INCOME TAX PURPOSES AS REPORTED ON THE APPLICANT'S
FEDERAL OR STATE INCOME TAX RETURN FOR THE APPLICABLE INCOME TAX YEAR,
SUBJECT TO ANY SUBSEQUENT AMENDMENTS OR REVISIONS, PLUS ANY SOCIAL SECU-
RITY BENEFITS NOT INCLUDED IN SUCH ADJUSTED GROSS INCOME, MINUS ANY
DISTRIBUTIONS, TO THE EXTENT INCLUDED IN FEDERAL ADJUSTED GROSS INCOME,
RECEIVED FROM AN INDIVIDUAL RETIREMENT ACCOUNT AND AN INDIVIDUAL RETIRE-
MENT ANNUITY; PROVIDED THAT IF NO SUCH RETURN WAS FILED FOR THE APPLICA-
BLE INCOME TAX YEAR, THE APPLICANT'S INCOME SHALL BE DETERMINED BASED ON
THE AMOUNTS THAT WOULD HAVE SO BEEN REPORTED IF SUCH A RETURN HAD BEEN
FILED; AND PROVIDED FURTHER, THAT THE GOVERNING BOARD OF A MUNICIPALITY
MAY ADOPT A LOCAL LAW, ORDINANCE OR RESOLUTION PROVIDING THAT ANY SOCIAL
SECURITY BENEFITS THAT WERE NOT INCLUDED IN THE APPLICANT'S ADJUSTED
GROSS INCOME SHALL NOT BE CONSIDERED INCOME FOR PURPOSES OF THIS
SECTION;
(b) unless the owner shall have held an exemption under this section
for [his] THE OWNER'S previous residence or unless the title of the
property shall have been vested in the owner or one of the owners of the
property for at least twelve consecutive months prior to the date of
making application for exemption, provided, however, that in the event
of the death of [either a husband or wife] A MARRIED PERSON in whose
name title of the property shall have been vested at the time of death
and then becomes vested solely in [the survivor] SUCH PERSON'S SURVIVING
SPOUSE by virtue of devise by or descent from the deceased [husband or
wife] SPOUSE, the time of ownership of the property by the deceased
[husband or wife] SPOUSE shall be deemed also a time of ownership by the
[survivor] SURVIVING SPOUSE and such ownership shall be deemed contin-
uous for the purposes of computing such period of twelve consecutive
months. In the event of a transfer by [either a husband or wife to the
other] A MARRIED PERSON TO SUCH PERSON'S spouse of all or part of the
A. 3009--B 44
title to the property, the time of ownership of the property by the
transferor spouse shall be deemed also a time of ownership by the trans-
feree spouse and such ownership shall be deemed continuous for the
purposes of computing such period of twelve consecutive months. Where
property of the owner or owners has been acquired to replace property
formerly owned by such owner or owners and taken by eminent domain or
other involuntary proceeding, except a tax sale, the period of ownership
of the former property shall be combined with the period of ownership of
the property for which application is made for exemption and such peri-
ods of ownership shall be deemed to be consecutive for purposes of this
section. Where a residence is sold and replaced with another within one
year and both residences are within the state, the period of ownership
of both properties shall be deemed consecutive for purposes of the
exemption from taxation by a municipality within the state granting such
exemption. Where the owner or owners transfer title to property which as
of the date of transfer was exempt from taxation or PILOT under the
provisions of this section, the reacquisition of title by such owner or
owners within nine months of the date of transfer shall be deemed to
satisfy the requirement of this paragraph that the title of the property
shall have been vested in the owner or one of the owners for such period
of twelve consecutive months. Where, upon or subsequent to the death of
an owner or owners, title to property which as of the date of such death
was exempt from taxation or PILOT under such provisions, becomes vested,
by virtue of devise or descent from the deceased owner or owners, or by
transfer by any other means within nine months after such death, solely
in a person or persons who, at the time of such death, maintained such
property as a primary residence, the requirement of this paragraph that
the title of the property shall have been vested in the owner or one of
the owners for such period of twelve consecutive months shall be deemed
satisfied;
(c) unless the property is used exclusively for residential purposes,
provided, however, that in the event any portion of such property is not
so used exclusively for residential purposes but is used for other
purposes, such portion shall be subject to taxation or PILOT and the
remaining portion only shall be entitled to the exemption provided by
this section;
(d) unless the real property is the legal residence of and is occupied
in whole or in part by the owner or by all of the owners of the proper-
ty: except where, (i) an owner is absent from the residence while
receiving health-related care as an inpatient of a residential health
care facility, as defined in section twenty-eight hundred one of the
public health law, provided that any income accruing to that person
shall only be income only to the extent that it exceeds the amount paid
by such owner, spouse, or co-owner for care in the facility, and
provided further, that during such confinement such property is not
occupied by other than the spouse or co-owner of such owner; or, (ii)
the real property is owned by a [husband and/or wife, or an ex-husband
and/or an ex-wife, and either] MARRIED PERSON OR A MARRIED COUPLE, OR BY
A FORMERLY MARRIED PERSON OR A FORMERLY MARRIED COUPLE, AND ONE SPOUSE
OR EX-SPOUSE is absent from the residence due to divorce, legal sepa-
ration or abandonment and all other provisions of this section are met
provided that where an exemption was previously granted when both
resided on the property, then the person remaining on the real property
shall be sixty-two years of age or over.
A. 3009--B 45
§ 3. Paragraph (a) of subdivision 3-a of section 467 of the real prop-
erty tax law, as amended by section 1 of part B of chapter 686 of the
laws of 2022, is amended to read as follows:
(a) For the purposes of this section, title to that portion of real
property owned by a cooperative apartment corporation in which a
tenant-stockholder of such corporation resides and which is represented
by [his] THE TENANT-STOCKHOLDER'S share or shares of stock in such
corporation as determined by its or their proportional relationship to
the total outstanding stock of the corporation, including that owned by
the corporation, shall be deemed to be vested in such tenant-stockhold-
er.
§ 4. Subdivisions 5 and 5-a of section 467 of the real property tax
law, as amended by section 1 of part B of chapter 686 of the laws of
2022, are amended to read as follows:
5. Application for such exemption must be made by the owner, or all of
the owners of the property, on forms prescribed by the commissioner to
be furnished by the appropriate assessing authority and shall furnish
the information and be executed in the manner required or prescribed in
such forms, and shall be filed in such assessor's office on or before
the appropriate taxable status date. Notwithstanding any other provision
of law, at the option of the municipal corporation, any person otherwise
qualifying under this section shall not be denied the exemption under
this section if [he] SUCH PERSON becomes sixty-five years of age after
the appropriate taxable status date and on or before December thirty-
first of the same year.
5-a. Any local law or ordinance adopted pursuant to paragraph (a) of
subdivision one of this section may be amended, or a local law or ordi-
nance may be adopted to provide, notwithstanding subdivision five of
this section, that an application for such exemption may be filed with
the assessor after the appropriate taxable status date but not later
than the last date on which a petition with respect to complaints of
assessment may be filed, where failure to file a timely application
resulted from: (a) a death of the applicant's spouse, child, parent[,
brother or sister] OR SIBLING; or (b) an illness of the applicant or of
the applicant's spouse, child, parent[, brother or sister] OR SIBLING,
which actually prevents the applicant from filing on a timely basis, as
certified by a licensed physician. The assessor shall approve or deny
such application as if it had been filed on or before the taxable status
date.
§ 5. Subdivision 6 of section 467 of the real property tax law, as
amended by section 1 of part B of chapter 686 of the laws of 2022, is
amended to read as follows:
6. (a) At least sixty days prior to the appropriate taxable status
date, the assessing authority shall mail to each person who was granted
exemption pursuant to this section on the latest completed assessment
roll an application form and a notice that such application must be
filed on or before the taxable status date and be approved in order for
the exemption to be granted. The assessing authority shall, within three
days of the completion and filing of the tentative assessment roll,
notify by mail any applicant [who has included with his] WHOSE applica-
tion INCLUDES at least one self-addressed, pre-paid envelope, of the
approval or denial of the application; provided, however, that the
assessing authority shall, upon the receipt and filing of the applica-
tion, send by mail notification of receipt to any applicant who has
included two of such envelopes with the application. Where an applicant
is entitled to a notice of denial pursuant to this subdivision, such
A. 3009--B 46
notice shall be on a form prescribed by the commissioner and shall state
the reasons for such denial and shall further state that the applicant
may have such determination reviewed in the manner provided by law.
Failure to mail any such application form or notices or the failure of
such person to receive any of the same shall not prevent the levy,
collection and enforcement of the payment of the taxes or PILOT on prop-
erty owned by such person.
(b) Except in cities of one million or more, any person who has been
granted exemption pursuant to this section on five (5) consecutive
completed assessment rolls, including any years when the exemption was
granted to a property owned by [a husband and/or wife] A MARRIED PERSON
OR A MARRIED COUPLE while both SPOUSES resided in such property, shall
not be subject to the requirements set forth in paragraph (a) of this
subdivision provided the governing board of the municipality in which
said property is situated after public hearing adopts a local law, ordi-
nance or resolution providing therefor however said person shall be
mailed an application form and a notice [informing him of his] SETTING
FORTH SUCH PERSON'S rights. Such exemption shall be automatically grant-
ed on each subsequent assessment roll. Provided, however, that when tax
payment is made by such person a sworn affidavit must be included with
such payment which shall state that such person continues to be eligible
for such exemption. Such affidavit shall be on a form prescribed by the
commissioner. If such affidavit is not included with the tax payment,
the collecting officer shall proceed pursuant to section five hundred
fifty-one-a of this chapter.
(c) In cities of one million or more, any person who has been granted
exemption pursuant to this section shall file the completed application
with the appropriate assessing authority every twenty-four months from
the date such exemption was granted without the necessity of having been
granted exemption pursuant to this section on five (5) consecutive
completed assessment rolls including any years when the exemption was
granted to a property owned by [a husband and/or wife] A MARRIED PERSON
OR A MARRIED COUPLE while both SPOUSES resided in such property.
§ 6. Subdivision 8-a of section 467 of the real property tax law, as
amended by section 1 of part B of chapter 686 of the laws of 2022, is
amended to read as follows:
8-a. Notwithstanding any provision of law to the contrary, the local
governing body of a municipal corporation that is authorized to adopt a
local law pursuant to subdivision eight of this section is further
authorized to adopt a local law providing that where a renewal applica-
tion for the exemption authorized by this section has not been filed on
or before the taxable status date, and the owner believes that good
cause existed for the failure to file the renewal application by that
date, the owner may, no later than the last day for paying taxes or
PILOT without incurring interest or penalty, submit a written request to
the assessor asking [him or her] THE ASSESSOR to extend the filing dead-
line and grant the exemption. Such request shall contain an explanation
of why the deadline was missed, and shall be accompanied by a renewal
application, reflecting the facts and circumstances as they existed on
the taxable status date. The assessor may extend the filing deadline and
grant the exemption if [he or she] THE ASSESSOR is satisfied that (i)
good cause existed for the failure to file the renewal application by
the taxable status date, and that (ii) the applicant is otherwise enti-
tled to the exemption. The assessor shall MAKE A DETERMINATION AND mail
notice [of his or her determination] THEREOF to the owner. If the deter-
mination states that the assessor has granted the exemption, [he or she]
A. 3009--B 47
THE ASSESSOR shall thereupon be authorized and directed to correct the
assessment roll accordingly, or, if another person has custody or
control of the assessment roll, to direct that person to make the appro-
priate corrections. If the correction is not made before taxes are
levied, the failure to take the exemption into account in the computa-
tion of the tax shall be deemed a "clerical error" for purposes of title
three of article five of this chapter, and shall be corrected according-
ly.
§ 7. Paragraph (a) of subdivision 1 and paragraph (a) of subdivision 2
of section 459-c of the real property tax law, as amended by section 2
of part B of chapter 686 of the laws of 2022, are amended to read as
follows:
(a) Real property owned by one or more persons with disabilities, or
real property owned by a [husband, wife] MARRIED COUPLE, or both, or by
siblings, at least one of whom has a disability, or real property owned
by one or more persons, some of whom qualify under this section and the
others of whom qualify under section four hundred sixty-seven of this
title, and whose income, as hereafter defined, is limited by reason of
such disability, shall be exempt from payments in lieu of taxes (PILOT)
to the battery city park authority or from taxation by any municipal
corporation in which located to the extent of fifty per centum of the
assessed valuation thereof as hereinafter provided. After a public hear-
ing, the governing board of a county, city, town or village may adopt a
local law and a school district, other than a school district subject to
article fifty-two of the education law, may adopt a resolution to grant
the exemption authorized pursuant to this section.
(a) ["sibling" shall mean a brother or a sister, whether related] THE
TERM "SIBLING" SHALL INCLUDE PERSONS WHOSE RELATIONSHIP AS SIBLINGS HAS
BEEN ESTABLISHED through EITHER half blood, whole blood or adoption.
§ 8. Paragraph (a) of subdivision 5 of section 459-c of the real prop-
erty tax law, as separately amended by section 2 of part B of chapter
686 and chapter 488 of the laws of 2022, is amended to read as follows:
(a) (I) if the income of the owner or the combined income of the
owners of the property for the income tax year [immediately preceding
the date of making application for exemption] exceeds the sum of three
thousand dollars, or such other sum not less than three thousand dollars
nor more than [twenty-six thousand dollars beginning July first, two
thousand six, twenty-seven thousand dollars beginning July first, two
thousand seven, twenty-eight thousand dollars beginning July first, two
thousand eight, twenty-nine thousand dollars beginning July first, two
thousand nine, and fifty thousand dollars beginning July first, two
thousand twenty-two, and in a city with a population of one million or
more fifty thousand dollars beginning July first, two thousand seven-
teen] FIFTY THOUSAND DOLLARS, as may be provided by the local law or
resolution adopted pursuant to this section. [Income]
(II) THE APPLICABLE INCOME tax year shall [mean] BE the twelve month
period for which the owner or owners filed a federal personal income tax
return, or if no such return is filed, the calendar year.
(III) Where title is vested in [either the husband or the wife, their]
A MARRIED PERSON, THE combined income OF SUCH PERSON AND SUCH PERSON'S
SPOUSE may not exceed such sum, except where [the husband or wife, or
ex-husband or ex-wife] ONE-SPOUSE OR EX-SPOUSE is absent from the prop-
erty due to divorce, legal separation or abandonment, then only the
income of the spouse or ex-spouse residing on the property shall be
considered and may not exceed such sum. [Such income shall include
social security and retirement benefits, interest, dividends, total gain
A. 3009--B 48
from the sale or exchange of a capital asset which may be offset by a
loss from the sale or exchange of a capital asset in the same income tax
year, net rental income, salary or earnings, and net income from self-
employment, but shall not include a return of capital, gifts, inheri-
tances or monies earned through employment in the federal foster grand-
parent program and any such income shall be offset by all medical and
prescription drug expenses actually paid which were not reimbursed or
paid for by insurance, if the governing board of a municipality, after a
public hearing, adopts a local law or resolution providing therefor. In
computing net rental income and net income from self-employment no
depreciation deduction shall be allowed for the exhaustion, wear and
tear of real or personal property held for the production of income;]
(IV) THE TERM "INCOME" AS USED HEREIN SHALL MEAN THE "ADJUSTED GROSS
INCOME" FOR FEDERAL INCOME TAX PURPOSES AS REPORTED ON THE APPLICANT'S
FEDERAL OR STATE INCOME TAX RETURN FOR THE APPLICABLE INCOME TAX YEAR,
SUBJECT TO ANY SUBSEQUENT AMENDMENTS OR REVISIONS, PLUS ANY SOCIAL SECU-
RITY BENEFITS NOT INCLUDED IN SUCH ADJUSTED GROSS INCOME, MINUS ANY
DISTRIBUTIONS, TO THE EXTENT INCLUDED IN FEDERAL ADJUSTED GROSS INCOME,
RECEIVED FROM AN INDIVIDUAL RETIREMENT ACCOUNT AND AN INDIVIDUAL RETIRE-
MENT ANNUITY; PROVIDED THAT IF NO SUCH RETURN WAS FILED FOR THE APPLICA-
BLE INCOME TAX YEAR, THE APPLICANT'S INCOME SHALL BE DETERMINED BASED ON
THE AMOUNTS THAT WOULD HAVE SO BEEN REPORTED IF SUCH A RETURN HAD BEEN
FILED; AND PROVIDED FURTHER, THAT THE GOVERNING BOARD OF A MUNICIPALITY
MAY ADOPT A LOCAL LAW, ORDINANCE OR RESOLUTION PROVIDING THAT ANY SOCIAL
SECURITY BENEFITS THAT WERE NOT INCLUDED IN THE APPLICANT'S ADJUSTED
GROSS INCOME SHALL NOT BE CONSIDERED INCOME FOR PURPOSES OF THIS
SECTION;
§ 9. Paragraph (a) of subdivision 6 of section 459-c of the real prop-
erty tax law, as amended by section 2 of part B of chapter 686 of the
laws of 2022, is amended to read as follows:
(a) If so provided in the local law or resolution adopted pursuant to
this section, title to that portion of real property owned by a cooper-
ative apartment corporation in which a tenant-stockholder of such corpo-
ration resides, and which is represented by [his] THE TENANT-
STOCKHOLDER'S share or shares of stock in such corporation as determined
by its or their proportional relationship to the total outstanding stock
of the corporation, including that owned by the corporation, shall be
deemed to be vested in such tenant-stockholder.
§ 10. This act shall take effect immediately and shall apply to all
applications for exemptions pursuant to section 467 and section 459-c of
the real property tax law on assessment rolls that are based on taxable
status dates occurring on and after October 1, 2023.
PART L
Section 1. Section 2 of chapter 540 of the laws of 1992, amending the
real property tax law relating to oil and gas charges, as amended by
section 1 of part C of chapter 59 of the laws of 2020, is amended to
read as follows:
§ 2. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 1992; provided,
however that any charges imposed by section 593 of the real property tax
law as added by section one of this act shall first be due for values
for assessment rolls with tentative completion dates after July 1, 1992,
and provided further, that this act shall remain in full force and
effect until March 31, [2024] 2027, at which time section 593 of the
A. 3009--B 49
real property tax law as added by section one of this act shall be
repealed.
§ 2. This act shall take effect immediately.
PART M
Intentionally Omitted
PART N
Section 1. Section 575-b of the real property tax law is amended by
adding a new subdivision 1-a to read as follows:
1-A. NOTWITHSTANDING ANY PROVISION OF LAW TO THE CONTRARY, THE SOLAR
OR WIND ENERGY SYSTEM APPRAISAL MODEL AUTHORIZED BY THIS SECTION SHALL
BE IDENTIFIED, FORMULATED, ADOPTED, PUBLISHED, AND UPDATED PERIODICALLY
IN THE MANNER PROVIDED IN THIS SECTION WITHOUT REGARD TO THE PROVISIONS
OF ARTICLE TWO OF THE STATE ADMINISTRATIVE PROCEDURE ACT.
§ 2. Subparagraph (viii) of paragraph (b) of subdivision 2 of section
102 of the state administrative procedure act, as amended by chapter 74
of the laws of 1987, is amended to read as follows:
(viii) APPRAISAL MODELS, DISCOUNT RATES, state equalization rates,
class ratios, special equalization rates and special equalization ratios
established pursuant to the real property tax law;
§ 3. No assessing unit that failed to use the appraisal model pursu-
ant to section 575-b of the real property tax law in 2022 shall be held
liable for failing to use such model in 2022. Within fifteen days from
the effective date of this act, the commissioner of taxation and finance
may readopt the 2022 appraisal model or models and discount rates for
use in 2023, without additional consultation with the New York state
energy research and development authority or the New York state asses-
sors association, and without soliciting or considering additional
public comments.
§ 4. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after the effective date of
part X of chapter 59 of the laws of 2021.
PART O
Intentionally Omitted
PART P
Section 1. Section 1299-C of the tax law is REPEALED.
§ 2. Notwithstanding any provision of law to the contrary, there shall
be no refund of any registration fees paid prior to the effective date
of this act.
§ 3. This act shall take effect immediately.
PART Q
Section 1. Section 285-a of the tax law is amended by adding a new
subdivision 4 to read as follow:
4. UPON EACH SALE OF MOTOR FUEL, OTHER THAN A SALE THAT IS OTHERWISE
EXEMPT UNDER THIS ARTICLE, THE DISTRIBUTOR MUST CHARGE THE TAX IMPOSED
A. 3009--B 50
BY THIS ARTICLE TO THE PURCHASER ON EACH GALLON SOLD. IF THE TAXES
IMPOSED BY THIS ARTICLE HAVE NOT ALREADY BEEN ASSUMED OR PAID BY A
DISTRIBUTOR ON ANY QUANTITY OF SUCH FUEL FOR ANY REASON, INCLUDING, BUT
NOT LIMITED TO, THE EXPANSION OF SUCH FUEL AS A RESULT OF TEMPERATURE
FLUCTUATION, THE DISTRIBUTOR MUST REMIT SUCH TAXES TO THE COMMISSIONER
ON THE RETURN FOR THE PERIOD IN WHICH SUCH SALE WAS MADE.
§ 2. Section 285-b of the tax law is amended by adding a new subdivi-
sion 5 to read as follows:
5. UPON EACH SALE OF DIESEL MOTOR FUEL, OTHER THAN A SALE THAT IS
OTHERWISE EXEMPT UNDER THIS ARTICLE, THE DISTRIBUTOR MUST CHARGE THE TAX
IMPOSED BY THIS ARTICLE TO THE PURCHASER ON EACH GALLON SOLD. IF THE
TAXES IMPOSED BY THIS ARTICLE HAVE NOT ALREADY BEEN ASSUMED OR PAID BY A
DISTRIBUTOR ON ANY QUANTITY OF SUCH FUEL FOR ANY REASON, INCLUDING, BUT
NOT LIMITED TO, THE EXPANSION OF SUCH FUEL AS A RESULT OF TEMPERATURE
FLUCTUATION, THE DISTRIBUTOR MUST REMIT SUCH TAXES TO THE COMMISSIONER
ON THE RETURN FOR THE PERIOD IN WHICH SUCH SALE WAS MADE.
§ 3. Section 308 of the tax law is amended by adding a new subdivision
(j) to read as follows:
(J) EVERY PETROLEUM BUSINESS SUBJECT TO TAX UNDER THIS ARTICLE THAT IS
ALSO A DISTRIBUTOR, AS DEFINED IN SECTION TWO HUNDRED EIGHTY-TWO OF THIS
CHAPTER, MUST CHARGE THE TAX IMPOSED BY THIS ARTICLE TO THE PURCHASER ON
EACH GALLON SOLD, UNLESS OTHERWISE EXEMPT. IF THE TAXES IMPOSED BY THIS
ARTICLE HAVE NOT ALREADY BEEN ASSUMED OR PAID BY SUCH PETROLEUM BUSINESS
ON ANY QUANTITY OF SUCH FUEL FOR ANY REASON, INCLUDING, BUT NOT LIMITED
TO, THE EXPANSION OF SUCH FUEL AS A RESULT OF TEMPERATURE FLUCTUATION,
SUCH PETROLEUM BUSINESS MUST REMIT SUCH TAXES TO THE COMMISSIONER ON THE
RETURN FOR THE PERIOD IN WHICH SUCH SALE WAS MADE.
§ 4. Section 1102 of the tax law is amended by adding a new subdivi-
sion (g) to read as follows:
(G) THE TAX IMPOSED BY THIS SECTION MUST BE CHARGED ON THE SALE, OTHER
THAN A RETAIL SALE OR A SALE THAT IS OTHERWISE EXEMPT UNDER THIS ARTI-
CLE, OF EACH GALLON OF MOTOR FUEL OR DIESEL MOTOR FUEL. IF THE TAXES
IMPOSED BY THIS SECTION HAVE NOT ALREADY BEEN ASSUMED OR PAID BY THE
DISTRIBUTOR ON ANY QUANTITY OF SUCH FUEL FOR ANY REASON, INCLUDING, BUT
NOT LIMITED TO, THE EXPANSION OF SUCH FUEL AS A RESULT OF TEMPERATURE
FLUCTUATION, THE DISTRIBUTOR MUST REMIT SUCH TAXES TO THE COMMISSIONER
ON THE RETURN FOR THE PERIOD IN WHICH SUCH SALE WAS MADE.
§ 5. This act shall take effect on September 1, 2023 and shall apply
to sales of motor fuel and Diesel motor fuel on or after such date.
PART R
Section 1. Subparagraph (B) of paragraph 1 of subdivision (a) of
section 1115 of the tax law, as amended by section 1 of part GG of chap-
ter 59 of the laws of 2022, is amended to read as follows:
(B) Until May [thirty first] THIRTY-FIRST, two thousand [twenty-three]
TWENTY-FOUR, the food and drink excluded from the exemption provided by
clauses (i), (ii) and (iii) of subparagraph (A) of this paragraph, and
bottled water, shall be exempt under this subparagraph: (I) when sold
for one dollar and fifty cents or less through any vending machine that
accepts coin or currency only; or (II) when sold for two dollars or less
through any vending machine that accepts any form of payment other than
coin or currency, whether or not it also accepts coin or currency.
§ 2. This act shall take effect June 1, 2023.
PART S
A. 3009--B 51
Section 1. Subdivision 1 of section 471 of the tax law, as amended by
section 1 of part D of chapter 134 of the laws of 2010, is amended to
read as follows:
1. There is hereby imposed and shall be paid a tax on all cigarettes
possessed in the state by any person for sale, except that no tax shall
be imposed on cigarettes sold under such circumstances that this state
is without power to impose such tax, including sales to qualified Indi-
ans for their own use and consumption on their nations' or tribes' qual-
ified reservation, or sold to the United States or sold to or by a
voluntary unincorporated organization of the armed forces of the United
States operating a place for the sale of goods pursuant to regulations
promulgated by the appropriate executive agency of the United States, to
the extent provided in such regulations and policy statements of such an
agency applicable to such sales. The tax imposed by this section is
imposed on all cigarettes sold on an Indian reservation to non-members
of the Indian nation or tribe and to non-Indians and evidence of such
tax shall be by means of an affixed cigarette tax stamp. Indian nations
or tribes may elect to participate in the Indian tax exemption coupon
system established in section four hundred seventy-one-e of this article
which provides a mechanism for the collection of the tax imposed by this
section on cigarette sales on qualified reservations to such non-members
and non-Indians and for the delivery of quantities of tax-exempt ciga-
rettes to Indian nations or tribes for the personal use and consumption
of qualified members of the Indian nation or tribe. If an Indian nation
or tribe does not elect to participate in the Indian tax exemption
coupon system, the prior approval system shall be the mechanism for the
delivery of quantities of tax-exempt cigarettes to Indian nations or
tribes for the personal use and consumption of qualified members of the
Indian nation or tribe as provided for in paragraph (b) of subdivision
five of this section. Such tax on cigarettes shall be at the rate of
[four] FIVE dollars and thirty-five cents for each twenty cigarettes or
fraction thereof, provided, however, that if a package of cigarettes
contains more than twenty cigarettes, the rate of tax on the cigarettes
in such package in excess of twenty shall be one dollar and [eight]
THIRTY-THREE and three-quarters cents for each five cigarettes or frac-
tion thereof. Such tax is intended to be imposed upon only one sale of
the same package of cigarettes. It shall be presumed that all cigarettes
within the state are subject to tax until the contrary is established,
and the burden of proof that any cigarettes are not taxable hereunder
shall be upon the person in possession thereof.
§ 2. Section 471-a of the tax law, as amended by section 5 of part D
of chapter 134 of the laws of 2010, is amended to read as follows:
§ 471-a. Use tax on cigarettes. There is hereby imposed and shall be
paid a tax on all cigarettes used in the state by any person, except
that no tax shall be imposed (1) if the tax provided in section four
hundred seventy-one of this article is paid, (2) on the use of ciga-
rettes which are exempt from the tax imposed by said section, or (3) on
the use of four hundred or less cigarettes, brought into the state on,
or in the possession of, any person. Such tax on cigarettes shall be at
the rate of [four] FIVE dollars and thirty-five cents for each twenty
cigarettes or fraction thereof, provided, however, that if a package of
cigarettes contains more than twenty cigarettes, the rate of tax on the
cigarettes in such package in excess of twenty shall be one dollar and
[eight] THIRTY-THREE and three-quarters cents for each five cigarettes
or fraction thereof. Within twenty-four hours after liability for the
tax accrues, each such person shall file with the commissioner a return
A. 3009--B 52
in such form as the commissioner may prescribe together with a remit-
tance of the tax shown to be due thereon. For purposes of this article,
the word "use" means the exercise of any right or power actual or
constructive and shall include but is not limited to the receipt, stor-
age or any keeping or retention for any length of time, but shall not
include possession for sale. All other provisions of this article if not
inconsistent shall apply to the administration and enforcement of the
tax imposed by this section in the same manner as if the language of
said provisions had been incorporated in full into this section.
§ 3. Notwithstanding any other provision of law to the contrary, the
tax due on cigarettes possessed in New York state as of the close of
business on August 31, 2023, by any person for sale solely attributable
to the increase imposed by the amendments to section 471 of the tax law,
as amended by section one of this act, shall be paid by November 20,
2023, subject to such terms and conditions as the commissioner of taxa-
tion and finance shall prescribe.
§ 4. This act shall take effect on September 1, 2023, and shall apply
to all cigarettes possessed in this state by any person for sale and all
cigarettes used in this state by any person on or after such date.
PART T
Intentionally Omitted
PART U
Section 1. The opening paragraph of subparagraph (B) of paragraph 2 of
subdivision (b) of section 1402 of the tax law, as amended by section 1
of item UUU of subpart B of part XXX of chapter 58 of the laws of 2020,
is amended to read as follows:
For purposes of this subdivision, the phrase "real estate investment
trust transfer" shall mean any conveyance of real property or an inter-
est therein to a REIT, or to a partnership or corporation in which a
REIT owns a controlling interest immediately following the conveyance,
which conveyance (I) occurs in connection with the initial formation of
the REIT, provided that the conditions set forth in clauses (i) and (ii)
of this subparagraph are satisfied, or (II) in the case of any real
estate investment trust transfer occurring on or after July thirteenth,
nineteen hundred ninety-six and before September first, two thousand
[twenty-three] TWENTY-SIX, is described in the last sentence of this
subparagraph.
§ 2. Subparagraph 2 of paragraph (xi) of subdivision (b) of section
1201 of the tax law, as amended by section 2 of item UUU of subpart B of
part XXX of chapter 58 of the laws of 2020, is amended to read as
follows:
(2) any issuance or transfer of an interest in a REIT, or in a part-
nership or corporation in which a REIT owns a controlling interest imme-
diately following the issuance or transfer, in connection with a trans-
action described in subparagraph one of this paragraph. Notwithstanding
the foregoing, a transaction described in the preceding sentence shall
not constitute a real estate investment trust transfer unless (A) it
occurs in connection with the initial formation of the REIT and the
conditions described in subparagraphs three and four of this paragraph
are satisfied, or (B) in the case of any real estate investment trust
transfer occurring on or after July thirteenth, nineteen hundred nine-
A. 3009--B 53
ty-six and before September first, two thousand [twenty-three] TWENTY-
SIX, the transaction is described in subparagraph five of this paragraph
in which case the provisions of such subparagraph shall apply.
§ 3. Subparagraph (B) of paragraph 2 of subdivision e of section
11-2102 of the administrative code of the city of New York, as amended
by section 3 of item UUU of subpart B of part XXX of chapter 58 of the
laws of 2020, is amended to read as follows:
(B) any issuance or transfer of an interest in a REIT, or in a part-
nership or corporation in which a REIT owns a controlling interest imme-
diately following the issuance or transfer in connection with a trans-
action described in subparagraph (A) of this paragraph. Notwithstanding
the foregoing, a transaction described in the preceding sentence shall
not constitute a real estate investment trust transfer unless (i) it
occurs in connection with the initial formation of the REIT and the
conditions described in subparagraphs (C) and (D) of this paragraph are
satisfied, or (ii) in the case of any real estate investment trust
transfer occurring on or after July thirteenth, nineteen hundred nine-
ty-six and before September first, two thousand [twenty-three] TWENTY-
SIX, the transaction is described in subparagraph (E) of this paragraph
in which case the provision of such subparagraph shall apply.
§ 4. This act shall take effect immediately.
PART V
Intentionally Omitted
PART W
Section 1. Subdivision 1 of section 105 of the state finance law, as
amended by chapter 204 of the laws of 2002, is amended to read as
follows:
1. All moneys received by the commissioner of taxation and finance on
account of the state, excepting such moneys as are required by law to be
deposited to the credit of the comptroller, but including such moneys as
are thereafter paid into the state treasury by the comptroller, shall be
deposited by the commissioner of taxation and finance within three BUSI-
NESS days after the receipt thereof, either as a demand deposit or an
interest-bearing time deposit (other than a time certificate of depos-
it), as [he] THE COMMISSIONER and the comptroller may determine, in such
banks, trust companies and industrial banks as in [his] THE opinion OF
THE COMMISSIONER and the opinion of the comptroller are secure. The
moneys so deposited shall be placed to the account of the commissioner
of taxation and finance. [He] THE COMMISSIONER shall keep a bankbook in
which shall be entered [his] THEIR account of deposit in and moneys
drawn from the banks and trust companies and industrial banks in which
deposits are made by [him] THE COMMISSIONER, which [he] THEY shall
exhibit to the comptroller for [his] inspection on the first Tuesday of
every month and oftener if required. [He] THE COMMISSIONER shall not
draw any moneys from such banks, trust companies or industrial banks
unless by checks signed and countersigned in the manner prescribed by
section one hundred one, unless otherwise provided by law. No moneys
shall be paid by any such bank, trust company or industrial bank out of
any such deposit except upon such checks. Moneys may be paid through
electronic transfer in accordance with procedures developed by the
commissioner of taxation and finance and the comptroller and consistent
A. 3009--B 54
with the requirements of this section for recording payments. Such
payments through electronic transfer shall be considered, for purposes
of this chapter, to be moneys drawn by check. Every such bank, trust
company or industrial bank shall transmit to the comptroller monthly
statements of all moneys received and paid by it on account of the
commissioner of taxation and finance.
§ 2. This act shall take effect immediately.
PART X
Section 1. Legislative findings. The legislature finds that it is in
the interests of the state to assist The New York Racing Association,
Inc., which is the franchised corporation pursuant to section two
hundred six of the racing, pari-mutuel wagering and breeding law, to
renovate Belmont Park racetrack. The legislature further finds and
determines that the anticipated cost of renovating Belmont Park race-
track is four hundred fifty-five million dollars and that the renovation
of Belmont Park racetrack shall initially be financed by the state
subject to the provisions of the repayment agreement of the franchised
corporation required by section two of this act. The franchised corpo-
ration will be responsible for repayment of the state funds in accord-
ance with the terms of such repayment agreement.
§ 2. Prior to, and as a condition to the state initially providing
funds for the renovation of Belmont Park racetrack, the franchised
corporation shall enter into a repayment agreement with the state
authorizing and directing that a portion of the funds of the franchised
corporation dedicated for capital expenditures of the franchised corpo-
ration pursuant to paragraph 3 of subdivision f and paragraph 3 of
subdivision f-1 of section 1612 of the tax law shall be used to repay
the state for the funds provided by the state for the renovation of
Belmont Park racetrack, in accordance with the repayment agreement
between the state and the franchised corporation. Such agreement shall
further provide that in the event the franchised corporation receives
future statutory payments enacted for the specific purpose of holding
the franchised corporation harmless for any loss of payments pursuant to
paragraph 3 of subdivision f and paragraph 3 of subdivision f-1 of
section 1612 of the tax law, such statutory payments shall also be used
to repay the state for the funds provided by the state for the reno-
vation of Belmont Park racetrack. Such agreement may also be amended
from time to time as agreed to by the state and the franchised corpo-
ration. At any time prior to the repayment of the state funds for the
renovation of Belmont Park racetrack, the state may issue state personal
income tax revenue bonds or state sales tax revenue bonds. In the event
of the issuance of such bonds, the repayment agreement shall be revised
to reflect the obligation of the franchised corporation to fully repay
the debt service costs associated with such bonds.
§ 3. As a condition of the state initially providing funds for the
renovation of Belmont Park racetrack, the franchise oversight board
shall include a requirement in any request for proposals for such reno-
vation that any projects in connection with such work shall only be
undertaken pursuant to a project labor agreement in accordance with
section 222 of the labor law. For the purposes of this section, "project
labor agreement" shall have the meaning set forth in subdivision 1 of
section 213 of the racing, pari-mutuel wagering and breeding law.
§ 4. The New York State Gaming Commission shall ensure that to the
extent that the law allows for a franchise agreement for the operation
A. 3009--B 55
of Belmont Park racetrack with a franchisee other than the franchised
corporation, the term of any such franchise agreement awarded after
funding provided by the state for the renovation of Belmont Park race-
track described by section one of this act shall include a provision
obligating such franchisee to assume the payments of the franchised
corporation required by section two of this act.
§ 5. The opening paragraph of paragraph 3 of subdivision f of section
1612 of the tax law is designated subparagraph (i) and a new subpara-
graph (ii) is added to read as follows:
(II) NOTWITHSTANDING SUBPARAGRAPH (I) OF THIS PARAGRAPH, IN THE EVENT
THE STATE PROVIDES FUNDS TO THE FRANCHISED CORPORATION FOR THE RENO-
VATION OF BELMONT PARK RACETRACK, OUT OF THE AMOUNT PAYABLE TO THE FRAN-
CHISED CORPORATION FOR CAPITAL EXPENDITURES PURSUANT TO SUBPARAGRAPH (I)
OF THIS PARAGRAPH DURING ANY STATE FISCAL YEAR, AN AMOUNT PURSUANT TO
THE REPAYMENT AGREEMENT BETWEEN THE STATE AND THE FRANCHISED CORPORATION
SHALL INSTEAD BE DEPOSITED INTO THE MISCELLANEOUS CAPITAL PROJECTS FUND,
NEW YORK RACING CAPITAL IMPROVEMENT FUND AS REQUIRED TO REPAY THE STATE
FOR FUNDS PROVIDED FOR THE RENOVATION OF BELMONT PARK RACETRACK. ANY
AMOUNT PAYABLE TO THE FRANCHISED CORPORATION IN ANY STATE FISCAL YEAR
FOR CAPITAL EXPENDITURES PURSUANT TO SUBPARAGRAPH (I) OF THIS PARAGRAPH
IN EXCESS OF THE AMOUNT PURSUANT TO THE REPAYMENT AGREEMENT BETWEEN
THE STATE AND THE FRANCHISED CORPORATION SHALL BE DEPOSITED PURSUANT TO
SUBPARAGRAPH (I) OF THIS PARAGRAPH. ONCE THE STATE HAS BEEN FULLY REIM-
BURSED FOR THE COSTS RELATED TO THE RENOVATION OF BELMONT PARK RACE-
TRACK, THIS SUBPARAGRAPH SHALL NO LONGER APPLY AND SUBPARAGRAPH (I) OF
THIS PARAGRAPH SHALL APPLY.
§ 6. The opening paragraph of paragraph 3 of subdivision f-1 of
section 1612 of the tax law is designated subparagraph (i) and a new
subparagraph (ii) is added to read as follows:
(II) NOTWITHSTANDING SUBPARAGRAPH (I) OF THIS PARAGRAPH, IN THE EVENT
THE STATE PROVIDES FUNDS TO THE FRANCHISED CORPORATION FOR THE RENO-
VATION OF BELMONT PARK RACETRACK, AND IN THE EVENT THE AMOUNT DEPOSITED
PURSUANT TO SUBPARAGRAPH (II) OF PARAGRAPH THREE OF SUBDIVISION F OF
THIS SECTION IS INSUFFICIENT TO MAKE THE REQUIRED REPAYMENT PURSUANT TO
SUCH SUBPARAGRAPH DURING ANY STATE FISCAL YEAR, AN AMOUNT PAYABLE TO THE
FRANCHISED CORPORATION FOR CAPITAL EXPENDITURES PURSUANT TO SUBPARAGRAPH
(I) OF THIS PARAGRAPH SHALL INSTEAD BE DEPOSITED INTO THE MISCELLANEOUS
CAPITAL PROJECTS FUND, NEW YORK RACING CAPITAL IMPROVEMENT FUND TO THE
EXTENT NECESSARY, WHEN COMBINED WITH THE AMOUNT SET FORTH IN SUBPARA-
GRAPH (II) OF PARAGRAPH THREE OF SUBDIVISION F OF THIS SECTION, TO MAKE
ANY REQUIRED REPAYMENT OF FUNDS PROVIDED BY THE STATE RELATED TO THE
RENOVATION OF BELMONT PARK RACETRACK DURING SUCH FISCAL YEAR. ANY AMOUNT
PAYABLE TO THE FRANCHISED CORPORATION IN ANY STATE FISCAL YEAR FOR CAPI-
TAL EXPENDITURES PURSUANT TO SUBPARAGRAPH (I) OF THIS PARAGRAPH IN
EXCESS OF THE AMOUNT PURSUANT TO THE REPAYMENT AGREEMENT BETWEEN THE
STATE AND THE FRANCHISED CORPORATION SHALL BE DEPOSITED PURSUANT TO
SUBPARAGRAPH (I) OF THIS PARAGRAPH. ONCE THE STATE HAS BEEN FULLY REIM-
BURSED FOR SUCH COSTS RELATED TO THE RENOVATION OF BELMONT PARK RACE-
TRACK, THIS SUBPARAGRAPH SHALL NO LONGER APPLY AND SUBPARAGRAPH (I) OF
THIS PARAGRAPH SHALL APPLY.
§ 7. The state comptroller is hereby authorized and directed to loan
money in accordance with the provisions set forth in subdivision 5 of
section 4 of the state finance law to the miscellaneous capital projects
fund, New York racing capital improvement fund.
§ 8. 1. Notwithstanding any other provisions of law to the contrary,
the dormitory authority, the urban development corporation, and the New
A. 3009--B 56
York state thruway authority are hereby authorized to issue personal
income tax revenue bonds or notes or state sales tax revenue bonds or
notes in one or more series in an aggregate principal amount not to
exceed four hundred fifty-five million dollars ($455,000,000) excluding
bonds or notes issued to pay costs of issuance of such bonds or notes
and bonds or notes issued to refund or otherwise repay such bonds or
notes previously issued, for the purpose of financing the renovation of
Belmont Park racetrack.
2. Notwithstanding any other provision of law to the contrary, in
order to assist the dormitory authority, urban development corporation,
and the New York state thruway authority in undertaking the financing
for the renovation of Belmont Park racetrack, the director of the budget
is hereby authorized to enter into one or more financing agreements with
the dormitory authority, the urban development corporation, and the New
York state thruway authority, upon such terms and conditions as the
director of the budget and the dormitory authority, the urban develop-
ment corporation and the New York state thruway authority agree, so as
to annually provide to the dormitory authority, the urban development
corporation, and the New York state thruway authority, in the aggregate,
a sum not to exceed the principal, interest, and related expenses
required for such bonds and notes. Any financing agreement entered into
pursuant to this section shall provide that the obligation of the state
to pay the amount therein provided shall not constitute a debt of the
state within the meaning of any constitutional or statutory provision
and shall be deemed executory only to the extent of monies available and
that no liability shall be incurred by the state beyond the monies
available for such purpose, subject to annual appropriation by the
legislature. Any such contract or any payments made or to be made there-
under may be assigned and pledged by the dormitory authority, the urban
development corporation, and the New York state thruway authority as
security for such bonds and notes, as authorized by this section.
§ 9. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed in each state fiscal year to transfer, upon request of the
director of the budget, up to the unencumbered balance or an amount up
to twenty-five million eight hundred thousand dollars ($25,800,000) from
the miscellaneous capital projects fund, New York racing capital
improvement fund to the general fund.
§ 10. This act shall take effect immediately.
PART Y
Intentionally Omitted
PART Z
Intentionally Omitted
PART AA
Section 1. Subdivision 2 of section 509-a of the racing, pari-mutuel
wagering and breeding law, as amended by section 1 of part DD of chapter
59 of the laws of 2022, is amended to read as follows:
A. 3009--B 57
2. a. Notwithstanding any other provision of law or regulation to the
contrary, from April nineteenth, two thousand twenty-one to March thir-
ty-first, two thousand twenty-two, twenty-three percent of the funds,
not to exceed two and one-half million dollars, in the Catskill off-
track betting corporation's capital acquisition fund and twenty-three
percent of the funds, not to exceed four hundred forty thousand dollars,
in the Capital off-track betting corporation's capital acquisition fund
established pursuant to this section shall also be available to such
off-track betting corporation for the purposes of statutory obligations,
payroll, and expenditures necessary to accept authorized wagers.
b. Notwithstanding any other provision of law or regulation to the
contrary, from April first, two thousand twenty-two to March thirty-
first, two thousand twenty-three, twenty-three percent of the funds, not
to exceed two and one-half million dollars, in the Catskill off-track
betting corporation's capital acquisition fund established pursuant to
this section, and twenty-three percent of the funds, not to exceed four
hundred forty thousand dollars, in the Capital off-track betting corpo-
ration's capital acquisition fund established pursuant to this section,
shall be available to such off-track betting corporations for the
purposes of statutory obligations, payroll, and expenditures necessary
to accept authorized wagers.
c. NOTWITHSTANDING ANY OTHER PROVISION OF LAW OR REGULATION TO THE
CONTRARY, FROM APRIL FIRST, TWO THOUSAND TWENTY-THREE TO MARCH THIRTY-
FIRST, TWO THOUSAND TWENTY-FOUR, TWENTY-THREE PERCENT OF THE FUNDS, NOT
TO EXCEED TWO AND ONE-HALF MILLION DOLLARS, IN THE CATSKILL OFF-TRACK
BETTING CORPORATION'S CAPITAL ACQUISITION FUND ESTABLISHED PURSUANT TO
THIS SECTION, AND TWENTY-THREE PERCENT OF THE FUNDS, NOT TO EXCEED FOUR
HUNDRED FORTY THOUSAND DOLLARS, IN THE CAPITAL OFF-TRACK BETTING CORPO-
RATION'S CAPITAL ACQUISITION FUND ESTABLISHED PURSUANT TO THIS SECTION,
SHALL BE AVAILABLE TO SUCH OFF-TRACK BETTING CORPORATION FOR THE
PURPOSES OF STATUTORY OBLIGATIONS, PAYROLL, AND EXPENDITURES NECESSARY
TO ACCEPT AUTHORIZED WAGERS.
D. Prior to a corporation being able to utilize the funds authorized
by [paragraph] PARAGRAPHS b AND C of this subdivision, the corporation
must submit an expenditure plan to the gaming commission for review.
Such plan shall include the corporation's outstanding liabilities,
projected revenue for the upcoming year, a detailed explanation of how
the funds will be used, and any other information determined necessary
by the commission. Upon review, the commission will make a determination
as to whether access to the funds is needed and warranted.
§ 2. This act shall take effect immediately.
PART BB
Section 1. Paragraph (a) of subdivision 1 of section 1003 of the
racing, pari-mutuel wagering and breeding law, as amended by section 1
of part EE of chapter 59 of the laws of 2022, is amended to read as
follows:
(a) Any racing association or corporation or regional off-track
betting corporation, authorized to conduct pari-mutuel wagering under
this chapter, desiring to display the simulcast of horse races on which
pari-mutuel betting shall be permitted in the manner and subject to the
conditions provided for in this article may apply to the commission for
a license so to do. Applications for licenses shall be in such form as
may be prescribed by the commission and shall contain such information
or other material or evidence as the commission may require. No license
A. 3009--B 58
shall be issued by the commission authorizing the simulcast transmission
of thoroughbred races from a track located in Suffolk county. The fee
for such licenses shall be five hundred dollars per simulcast facility
and for account wagering licensees that do not operate either a simul-
cast facility that is open to the public within the state of New York or
a licensed racetrack within the state, twenty thousand dollars per year
payable by the licensee to the commission for deposit into the general
fund. Except as provided in this section, the commission shall not
approve any application to conduct simulcasting into individual or group
residences, homes or other areas for the purposes of or in connection
with pari-mutuel wagering. The commission may approve simulcasting into
residences, homes or other areas to be conducted jointly by one or more
regional off-track betting corporations and one or more of the follow-
ing: a franchised corporation, thoroughbred racing corporation or a
harness racing corporation or association; provided (i) the simulcasting
consists only of those races on which pari-mutuel betting is authorized
by this chapter at one or more simulcast facilities for each of the
contracting off-track betting corporations which shall include wagers
made in accordance with section one thousand fifteen, one thousand
sixteen and one thousand seventeen of this article; provided further
that the contract provisions or other simulcast arrangements for such
simulcast facility shall be no less favorable than those in effect on
January first, two thousand five; (ii) that each off-track betting
corporation having within its geographic boundaries such residences,
homes or other areas technically capable of receiving the simulcast
signal shall be a contracting party; (iii) the distribution of revenues
shall be subject to contractual agreement of the parties except that
statutory payments to non-contracting parties, if any, may not be
reduced; provided, however, that nothing herein to the contrary shall
prevent a track from televising its races on an irregular basis primari-
ly for promotional or marketing purposes as found by the commission. For
purposes of this paragraph, the provisions of section one thousand thir-
teen of this article shall not apply. Any agreement authorizing an
in-home simulcasting experiment commencing prior to May fifteenth, nine-
teen hundred ninety-five, may, and all its terms, be extended until June
thirtieth, two thousand [twenty-three] TWENTY-FOUR; provided, however,
that any party to such agreement may elect to terminate such agreement
upon conveying written notice to all other parties of such agreement at
least forty-five days prior to the effective date of the termination,
via registered mail. Any party to an agreement receiving such notice of
an intent to terminate, may request the commission to mediate between
the parties new terms and conditions in a replacement agreement between
the parties as will permit continuation of an in-home experiment until
June thirtieth, two thousand [twenty-three] TWENTY-FOUR; and (iv) no
in-home simulcasting in the thoroughbred special betting district shall
occur without the approval of the regional thoroughbred track.
§ 2. Subparagraph (iii) of paragraph d of subdivision 3 of section
1007 of the racing, pari-mutuel wagering and breeding law, as amended by
section 2 of part EE of chapter 59 of the laws of 2022, is amended to
read as follows:
(iii) Of the sums retained by a receiving track located in Westchester
county on races received from a franchised corporation, for the period
commencing January first, two thousand eight and continuing through June
thirtieth, two thousand [twenty-three] TWENTY-FOUR, the amount used
exclusively for purses to be awarded at races conducted by such receiv-
ing track shall be computed as follows: of the sums so retained, two and
A. 3009--B 59
one-half percent of the total pools. Such amount shall be increased or
decreased in the amount of fifty percent of the difference in total
commissions determined by comparing the total commissions available
after July twenty-first, nineteen hundred ninety-five to the total
commissions that would have been available to such track prior to July
twenty-first, nineteen hundred ninety-five.
§ 3. The opening paragraph of subdivision 1 of section 1014 of the
racing, pari-mutuel wagering and breeding law, as amended by section 3
of part EE of chapter 59 of the laws of 2022, is amended to read as
follows:
The provisions of this section shall govern the simulcasting of races
conducted at thoroughbred tracks located in another state or country on
any day during which a franchised corporation is conducting a race meet-
ing in Saratoga county at Saratoga thoroughbred racetrack until June
thirtieth, two thousand [twenty-three] TWENTY-FOUR and on any day
regardless of whether or not a franchised corporation is conducting a
race meeting in Saratoga county at Saratoga thoroughbred racetrack after
June thirtieth, two thousand [twenty-three] TWENTY-FOUR. On any day on
which a franchised corporation has not scheduled a racing program but a
thoroughbred racing corporation located within the state is conducting
racing, each off-track betting corporation branch office and each simul-
casting facility licensed in accordance with section one thousand seven
(that has entered into a written agreement with such facility's repre-
sentative horsemen's organization, as approved by the commission), one
thousand eight, or one thousand nine of this article shall be authorized
to accept wagers and display the live simulcast signal from thoroughbred
tracks located in another state or foreign country subject to the
following provisions:
§ 4. Subdivision 1 of section 1015 of the racing, pari-mutuel wagering
and breeding law, as amended by section 4 of part EE of chapter 59 of
the laws of 2022, is amended to read as follows:
1. The provisions of this section shall govern the simulcasting of
races conducted at harness tracks located in another state or country
during the period July first, nineteen hundred ninety-four through June
thirtieth, two thousand [twenty-three] TWENTY-FOUR. This section shall
supersede all inconsistent provisions of this chapter.
§ 5. The opening paragraph of subdivision 1 of section 1016 of the
racing, pari-mutuel wagering and breeding law, as amended by section 5
of part EE of chapter 59 of the laws of 2022, is amended to read as
follows:
The provisions of this section shall govern the simulcasting of races
conducted at thoroughbred tracks located in another state or country on
any day during which a franchised corporation is not conducting a race
meeting in Saratoga county at Saratoga thoroughbred racetrack until June
thirtieth, two thousand [twenty-three] TWENTY-FOUR. Every off-track
betting corporation branch office and every simulcasting facility
licensed in accordance with section one thousand seven that have entered
into a written agreement with such facility's representative horsemen's
organization as approved by the commission, one thousand eight or one
thousand nine of this article shall be authorized to accept wagers and
display the live full-card simulcast signal of thoroughbred tracks
(which may include quarter horse or mixed meetings provided that all
such wagering on such races shall be construed to be thoroughbred races)
located in another state or foreign country, subject to the following
provisions; provided, however, no such written agreement shall be
A. 3009--B 60
required of a franchised corporation licensed in accordance with section
one thousand seven of this article:
§ 6. The opening paragraph of section 1018 of the racing, pari-mutuel
wagering and breeding law, as amended by section 6 of part EE of chapter
59 of the laws of 2022, is amended to read as follows:
Notwithstanding any other provision of this chapter, for the period
July twenty-fifth, two thousand one through September eighth, two thou-
sand [twenty-two] TWENTY-THREE, when a franchised corporation is
conducting a race meeting within the state at Saratoga Race Course,
every off-track betting corporation branch office and every simulcasting
facility licensed in accordance with section one thousand seven (that
has entered into a written agreement with such facility's representative
horsemen's organization as approved by the commission), one thousand
eight or one thousand nine of this article shall be authorized to accept
wagers and display the live simulcast signal from thoroughbred tracks
located in another state, provided that such facility shall accept
wagers on races run at all in-state thoroughbred tracks which are
conducting racing programs subject to the following provisions;
provided, however, no such written agreement shall be required of a
franchised corporation licensed in accordance with section one thousand
seven of this article.
§ 7. Section 32 of chapter 281 of the laws of 1994, amending the
racing, pari-mutuel wagering and breeding law and other laws relating to
simulcasting, as amended by section 7 of part EE of chapter 59 of the
laws of 2022, is amended to read as follows:
§ 32. This act shall take effect immediately and the pari-mutuel tax
reductions in section six of this act shall expire and be deemed
repealed on July 1, [2023] 2024; provided, however, that nothing
contained herein shall be deemed to affect the application, qualifica-
tion, expiration, or repeal of any provision of law amended by any
section of this act, and such provisions shall be applied or qualified
or shall expire or be deemed repealed in the same manner, to the same
extent and on the same date as the case may be as otherwise provided by
law; provided further, however, that sections twenty-three and twenty-
five of this act shall remain in full force and effect only until May 1,
1997 and at such time shall be deemed to be repealed.
§ 8. Section 54 of chapter 346 of the laws of 1990, amending the
racing, pari-mutuel wagering and breeding law and other laws relating to
simulcasting and the imposition of certain taxes, as amended by section
8 of part EE of chapter 59 of the laws of 2022, is amended to read as
follows:
§ 54. This act shall take effect immediately; provided, however,
sections three through twelve of this act shall take effect on January
1, 1991, and section 1013 of the racing, pari-mutuel wagering and breed-
ing law, as added by section thirty-eight of this act, shall expire and
be deemed repealed on July 1, [2023] 2024; and section eighteen of this
act shall take effect on July 1, 2008 and sections fifty-one and fifty-
two of this act shall take effect as of the same date as chapter 772 of
the laws of 1989 took effect.
§ 9. Paragraph (a) of subdivision 1 of section 238 of the racing,
pari-mutuel wagering and breeding law, as amended by section 9 of part
EE of chapter 59 of the laws of 2022, is amended to read as follows:
(a) The franchised corporation authorized under this chapter to
conduct pari-mutuel betting at a race meeting or races run thereat shall
distribute all sums deposited in any pari-mutuel pool to the holders of
winning tickets therein, provided such tickets are presented for payment
A. 3009--B 61
before April first of the year following the year of their purchase,
less an amount that shall be established and retained by such franchised
corporation of between twelve to seventeen percent of the total deposits
in pools resulting from on-track regular bets, and fourteen to twenty-
one percent of the total deposits in pools resulting from on-track
multiple bets and fifteen to twenty-five percent of the total deposits
in pools resulting from on-track exotic bets and fifteen to thirty-six
percent of the total deposits in pools resulting from on-track super
exotic bets, plus the breaks. The retention rate to be established is
subject to the prior approval of the commission.
Such rate may not be changed more than once per calendar quarter to be
effective on the first day of the calendar quarter. "Exotic bets" and
"multiple bets" shall have the meanings set forth in section five
hundred nineteen of this chapter. "Super exotic bets" shall have the
meaning set forth in section three hundred one of this chapter. For
purposes of this section, a "pick six bet" shall mean a single bet or
wager on the outcomes of six races. The breaks are hereby defined as the
odd cents over any multiple of five for payoffs greater than one dollar
five cents but less than five dollars, over any multiple of ten for
payoffs greater than five dollars but less than twenty-five dollars,
over any multiple of twenty-five for payoffs greater than twenty-five
dollars but less than two hundred fifty dollars, or over any multiple of
fifty for payoffs over two hundred fifty dollars. Out of the amount so
retained there shall be paid by such franchised corporation to the
commissioner of taxation and finance, as a reasonable tax by the state
for the privilege of conducting pari-mutuel betting on the races run at
the race meetings held by such franchised corporation, the following
percentages of the total pool for regular and multiple bets five percent
of regular bets and four percent of multiple bets plus twenty percent of
the breaks; for exotic wagers seven and one-half percent plus twenty
percent of the breaks, and for super exotic bets seven and one-half
percent plus fifty percent of the breaks.
For the period April first, two thousand one through December thirty-
first, two thousand [twenty-three] TWENTY-FOUR, such tax on all wagers
shall be one and six-tenths percent, plus, in each such period, twenty
percent of the breaks. Payment to the New York state thoroughbred breed-
ing and development fund by such franchised corporation shall be one-
half of one percent of total daily on-track pari-mutuel pools resulting
from regular, multiple and exotic bets and three percent of super exotic
bets and for the period April first, two thousand one through December
thirty-first, two thousand [twenty-three] TWENTY-FOUR, such payment
shall be seven-tenths of one percent of regular, multiple and exotic
pools.
§ 10. This act shall take effect immediately.
PART CC
Intentionally Omitted
PART DD
Section 1. Clause (vi) of subparagraph (B) of paragraph 1 of
subsection (a) of section 601 of the tax law, as amended by section 1 of
subpart A of part A of chapter 59 of the laws of 2022, is amended to
read as follows:
A. 3009--B 62
(vi) For taxable years beginning in two thousand twenty-three and
before two thousand twenty-eight the following rates shall apply:
If the New York taxable income is: The tax is:
Not over $17,150 4% of the New York taxable income
Over $17,150 but not over $23,600 $686 plus 4.5% of excess over
$17,150
Over $23,600 but not over $27,900 $976 plus 5.25% of excess over
$23,600
Over $27,900 but not over $161,550 $1,202 plus 5.5% of excess over
$27,900
Over $161,550 but not over $323,200 $8,553 plus 6.00% of excess over
$161,550
Over $323,200 but not over $18,252 plus 6.85% of excess over
$2,155,350 $323,200
Over $2,155,350 but not over $143,754 plus 9.65% of excess over
$5,000,000 $2,155,350
Over $5,000,000 but not over $418,263 plus [10.30] 10.80% of
excess over $5,000,000
$25,000,000
Over $25,000,000 $[2,478,263] 2,578,663 plus
[10.90] 11.40% of excess
over $25,000,000
§ 2. Clause (vi) of subparagraph (B) of paragraph 1 of subsection (b)
of section 601 of the tax law, as amended by section 2 of subpart A of
part A of chapter 59 of the laws of 2022, is amended to read as follows:
(vi) For taxable years beginning in two thousand twenty-three and
before two thousand twenty-eight the following rates shall apply:
If the New York taxable income is: The tax is:
Not over $12,800 4% of the New York taxable income
Over $12,800 but not over $17,650 $512 plus 4.5% of excess over
$12,800
Over $17,650 but not over $20,900 $730 plus 5.25% of excess over
$17,650
Over $20,900 but not over $107,650 $901 plus 5.5% of excess over
$20,900
Over $107,650 but not over $269,300 $5,672 plus 6.00% of excess over
$107,650
Over $269,300 but not over $15,371 plus 6.85% of excess over
$1,616,450 $269,300
Over $1,616,450 but not over $107,651 plus 9.65% of excess over
$5,000,000 $1,616,450
Over $5,000,000 but not over $434,163 plus [10.30] 10.80%
of excess over $5,000,000
$25,000,000
Over $25,000,000 $[2,494,163] 2,594,163 plus
[10.90] 11.40% of excess
over $25,000,000
§ 3. Clause (vi) of subparagraph (B) of paragraph 1 of subsection (c)
of section 601 of the tax law, as amended by section 3 of subpart A of
part A of chapter 59 of the laws of 2022, is amended to read as follows:
(vi) For taxable years beginning in two thousand twenty-three and
before two thousand twenty-eight the following rates shall apply:
A. 3009--B 63
If the New York taxable income is: The tax is:
Not over $8,500 4% of the New York taxable income
Over $8,500 but not over $11,700 $340 plus 4.5% of excess over
$8,500
Over $11,700 but not over $13,900 $484 plus 5.25% of excess over
$11,700
Over $13,900 but not over $80,650 $600 plus 5.50% of excess over
$13,900
Over $80,650 but not over $215,400 $4,271 plus 6.00% of excess over
$80,650
Over $215,400 but not over $12,356 plus 6.85% of excess over
$1,077,550 $215,400
Over $1,077,550 but not over $71,413 plus 9.65% of excess over
$5,000,000 $1,077,550
Over $5,000,000 but not over $449,929 plus [10.30] 10.80%
of excess over
$25,000,000 $5,000,000
Over $25,000,000 $[2,509,929] 2,609,929 plus
[10.90] 11.40% of excess over
$25,000,000
§ 4. Subsection (d-4) of section 601 of the tax law, as added by
section 3 of subpart B of part A of chapter 59 of the laws of 2022, is
amended to read as follows:
(d-4) Alternative tax table benefit recapture. Notwithstanding the
provisions of subsection (d), (d-1), (d-2) or (d-3) of this section, for
taxable years beginning on or after two thousand twenty-three and before
two thousand twenty-eight, there is hereby imposed a supplemental tax in
addition to the tax imposed under subsections (a), (b) and (c) of this
section for the purpose of recapturing the benefit of the tax tables
contained in such subsections. During these taxable years, any reference
in this chapter to subsection (d), (d-1), (d-2) or (d-3) of this section
shall be read as a reference to this subsection.
(1) For resident married individuals filing joint returns and resident
surviving spouses:
(A) If New York adjusted gross income is greater than $107,650, but
not over $25,000,000:
(i) the recapture base and incremental benefit shall be determined by
New York taxable income as follows:
Greater than Not over Recapture Base Incremental Benefit
$27,900 $161,550 $0 $333
$161,550 $323,200 $333 $807
$323,200 $2,155,350 $1,140 $2,747
$2,155,350 $5,000,000 $3,887 $60,350
$5,000,000 $25,000,000 $64,237 [$32,500]
$57,500
(ii) the applicable amount shall be determined by New York taxable
income as follows:
Greater than Not over Applicable Amount
$27,900 $161,550 New York adjusted gross income minus $107,650
$161,550 $323,200 New York adjusted gross income minus $161,550
$323,200 $2,155,350 New York adjusted gross income minus $323,200
$2,155,350 $5,000,000 New York adjusted gross income minus $2,155,350
$5,000,000 $25,000,000 New York adjusted gross income minus $5,000,000
(iii) the phase-in fraction shall be a fraction, the numerator of
which shall be the lesser of fifty thousand dollars or the applicable
amount and the denominator of which shall be fifty thousand dollars; and
A. 3009--B 64
(iv) the supplemental tax due shall equal the sum of the recapture
base and the product of (i) the incremental benefit and (ii) the phase-
in fraction. Provided, however, that if the New York taxable income of
the taxpayer is less than twenty-seven thousand nine hundred dollars,
the supplemental tax shall equal the difference between the product of
5.50 percent and New York taxable income and the tax table computation
on the New York taxable income set forth in paragraph one of subsection
(a) of this section, multiplied by a fraction, the numerator of which is
the lesser of fifty thousand dollars or New York adjusted gross income
minus one hundred seven thousand six hundred fifty dollars, and the
denominator of which is fifty thousand dollars.
(B) If New York adjusted gross income is greater than twenty-five
million dollars, the supplemental tax due shall equal the difference
between the product of [10.90] 11.40 percent and New York taxable income
and the tax table computation on the New York taxable income set forth
in paragraph one of subsection (a) of this section.
(2) For resident heads of households:
(A) If New York adjusted gross income is greater than $107,650, but
not over $25,000,000:
(i) the recapture base and incremental benefit shall be determined by
New York taxable income as follows:
Greater than Not over Recapture Base Incremental Benefit
$107,650 $269,300 $0 $787
$269,300 $1,616,450 $787 $2,289
$1,616,450 $5,000,000 $3,076 $45,261
$5,000,000 $25,000,000 $48,337 [$32,500]
$57,500
(ii) the applicable amount shall be determined by New York taxable
income as follows:
Greater than Not over Applicable Amount
$107,650 $269,300 New York adjusted gross income minus $107,650
$269,300 $1,616,450 New York adjusted gross income minus $269,300
$1,616,450 $5,000,000 New York adjusted gross income minus $1,616,450
$5,000,000 $25,000,000 New York adjusted gross income minus $5,000,000
(iii) the phase-in fraction shall be a fraction, the numerator of
which shall be the lesser of fifty thousand dollars or the applicable
amount and the denominator of which shall be fifty thousand dollars; and
(iv) the supplemental tax due shall equal the sum of the recapture
base and the product of (i) the incremental benefit and (ii) the phase-
in fraction. Provided, however, that if the New York taxable income of
the taxpayer is less than one hundred seven thousand six hundred fifty
dollars, the supplemental tax shall equal the difference between the
product of 6.00 percent and New York taxable income and the tax table
computation on the New York taxable income set forth in paragraph one of
subsection (b) of this section, multiplied by a fraction, the numerator
of which is the lesser of fifty thousand dollars or New York adjusted
gross income minus one hundred seven thousand six hundred fifty dollars,
and the denominator of which is fifty thousand dollars.
(B) If New York adjusted gross income is greater than twenty-five
million dollars, the supplemental tax due shall equal the difference
between the product of [10.90] 11.40 percent and New York taxable income
and the tax table computation on the New York taxable income set forth
in paragraph one of subsection (b) of this section.
(3) For resident unmarried individuals, resident married individuals
filing separate returns and resident estates and trusts:
A. 3009--B 65
(A) If New York adjusted gross income is greater than $107,650, but
not over $25,000,000:
(i) the recapture base and incremental benefit shall be determined by
New York taxable income as follows:
Greater than Not over Recapture Base Incremental Benefit
$80,650 $215,400 $0 $568
$215,400 $1,077,550 $568 $1,831
$1,077,550 $5,000,000 $2,399 $30,172
$5,000,000 $25,000,000 $32,571 [$32,500]
$57,500
(ii) the applicable amount shall be determined by New York taxable
income as follows:
Greater than Not over Applicable Amount
$80,650 $215,400 New York adjusted gross income minus $107,650
$215,400 $1,077,550 New York adjusted gross income minus $215,400
$1,077,550 $5,000,000 New York adjusted gross income minus $1,077,550
$5,000,000 $25,000,000 New York adjusted gross income minus $5,000,000
(iii) the phase-in fraction shall be a fraction, the numerator of
which shall be the lesser of fifty thousand dollars or the applicable
amount and the denominator of which shall be fifty thousand dollars; and
(iv) the supplemental tax due shall equal the sum of the recapture
base and the product of (i) the incremental benefit and (ii) the phase-
in fraction. Provided, however, that if the New York taxable income of
the taxpayer is less than eighty thousand six hundred fifty dollars, the
supplemental tax shall equal the difference between the product of 6.00
percent and New York taxable income and the tax table computation on the
New York taxable income set forth in paragraph one of subsection (c) of
this section, multiplied by a fraction, the numerator of which is the
lesser of fifty thousand dollars or New York adjusted gross income minus
one hundred seven thousand six hundred fifty dollars, and the denomina-
tor of which is fifty thousand dollars.
(B) If New York adjusted gross income is greater than twenty-five
million dollars, the supplemental tax due shall equal the difference
between the product of [10.90 ] 11.40 percent and New York taxable
income and the tax table computation on the New York taxable income set
forth in paragraph one of subsection (c) of this section.
§ 5. Notwithstanding any provision of law to the contrary, the method
of determining the amount to be deducted and withheld from wages on
account of taxes imposed by or pursuant to the authority of article 22
of the tax law in connection with the implementation of the provisions
of this act shall be prescribed by regulations of the commissioner of
taxation and finance with due consideration to the effect such withhold-
ing tables and methods would have on the receipt and amount of revenue.
The commissioner of taxation and finance shall adjust such withholding
tables and methods in regard to taxable years beginning in 2023 and
after in such manner as to result, so far as practicable, in withholding
from an employee's wages an amount substantially equivalent to the tax
reasonably estimated to be due for such taxable years as a result of the
provisions of this act. Any such regulations to implement a change in
withholding tables and methods for tax year 2023 shall be adopted and
effective as soon as practicable and the commissioner of taxation and
finance may adopt such regulations on an emergency basis notwithstanding
anything to the contrary in section 202 of the state administrative
procedure act.
§ 6. This act shall take effect immediately and shall apply to taxable
years beginning on and after January 1, 2023.
A. 3009--B 66
PART EE
Section 1. Subsection (c-1) of section 606 of the tax law is amended
by adding a new paragraph 5 to read as follows:
(5) (A) FOR TAX YEAR TWO THOUSAND TWENTY-TWO, THE COMMISSIONER SHALL
ISSUE A PAYMENT OF A SUPPLEMENTAL EMPIRE STATE CHILD CREDIT IN THE
AMOUNT OF (I) ONE HUNDRED PERCENT OF THE EMPIRE STATE CHILD CREDIT
CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION TO TAXPAYERS WHOSE
FEDERAL ADJUSTED GROSS INCOME WAS LESS THAN TEN THOUSAND DOLLARS; (II)
SEVENTY-FIVE PERCENT OF THE EMPIRE STATE CHILD CREDIT CALCULATED AND
ALLOWED PURSUANT TO THIS SUBSECTION TO TAXPAYERS WHOSE FEDERAL ADJUSTED
GROSS INCOME WAS GREATER THAN OR EQUAL TO TEN THOUSAND DOLLARS BUT LESS
THAN TWENTY-FIVE THOUSAND DOLLARS; (III) FIFTY PERCENT OF THE EMPIRE
STATE CHILD CREDIT CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION TO
TAXPAYERS WHOSE FEDERAL ADJUSTED GROSS INCOME WAS GREATER THAN OR EQUAL
TO TWENTY-FIVE THOUSAND DOLLARS BUT LESS THAN FIFTY THOUSAND DOLLARS;
AND (IV) TWENTY-FIVE PERCENT OF THE EMPIRE STATE CHILD CREDIT CALCULATED
AND ALLOWED PURSUANT TO THIS SUBSECTION TO TAXPAYERS WHOSE FEDERAL
ADJUSTED GROSS INCOME WAS GREATER THAN OR EQUAL TO FIFTY THOUSAND
DOLLARS. PROVIDED, HOWEVER, THAT NO PAYMENT SHALL BE ISSUED IF IT IS
LESS THAN TWENTY-FIVE DOLLARS.
(B) THE SUPPLEMENTAL PAYMENT PURSUANT TO THIS PARAGRAPH SHALL BE
ALLOWED TO TAXPAYERS WHO TIMELY FILED RETURNS PURSUANT TO SECTION SIX
HUNDRED FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO EXTENSIONS
PURSUANT TO SECTION SIX HUNDRED FIFTY-SEVEN OF THIS ARTICLE.
§ 2. Subsection (d) of section 606 of the tax law is amended by adding
a new paragraph 9 to read as follows:
(9) FOR TAX YEAR TWO THOUSAND TWENTY-TWO, THE COMMISSIONER SHALL ISSUE
A PAYMENT OF A SUPPLEMENTAL EARNED INCOME TAX CREDIT TO RESIDENT TAXPAY-
ERS IN THE AMOUNT OF TWENTY-FIVE PERCENT OF THE EARNED INCOME TAX CREDIT
CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION. SUCH PAYMENT WILL BE
ALLOWED TO RESIDENT TAXPAYERS WHO TIMELY FILED RETURNS PURSUANT TO
SECTION SIX HUNDRED FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO
EXTENSIONS PURSUANT TO SECTION SIX HUNDRED FIFTY-SEVEN OF THIS ARTICLE.
PROVIDED, HOWEVER, THAT NO PAYMENT SHALL BE ISSUED IF IT IS LESS THAN
TWENTY-FIVE DOLLARS.
§ 3. Subsection (d-1) of section 606 of the tax law is amended by
adding a new paragraph 10 to read as follows:
(10) FOR TAX YEAR TWO THOUSAND TWENTY-TWO, THE COMMISSIONER SHALL
ISSUE A PAYMENT OF A SUPPLEMENTAL ENHANCED EARNED INCOME TAX CREDIT IN
THE AMOUNT OF TWENTY-FIVE PERCENT OF THE ENHANCED EARNED INCOME TAX
CREDIT CALCULATED AND ALLOWED PURSUANT TO THIS SUBSECTION. SUCH PAYMENT
WILL BE ALLOWED TO TAXPAYERS WHO TIMELY FILED RETURNS PURSUANT TO
SECTION SIX HUNDRED FIFTY-ONE OF THIS ARTICLE, DETERMINED WITH REGARD TO
EXTENSIONS PURSUANT TO SECTION SIX HUNDRED FIFTY-SEVEN OF THIS ARTICLE.
PROVIDED, HOWEVER, THAT NO PAYMENT SHALL BE ISSUED IF IT IS LESS THAN
TWENTY-FIVE DOLLARS.
§ 4. Paragraph 1 of subsection (c-1) of section 606 of the tax law, as
amended by section 1 of part P of chapter 59 of the laws of 2018, is
amended to read as follows:
(1) A resident taxpayer shall be allowed a credit as provided herein
equal to the greater of one hundred dollars times the number of qualify-
ing children of the taxpayer or the applicable percentage of the child
tax credit allowed the taxpayer under section twenty-four of the inter-
nal revenue code for the same taxable year for each qualifying child.
Provided, however, in the case of a taxpayer whose federal adjusted
A. 3009--B 67
gross income exceeds the applicable threshold amount set forth by
section 24(b)(2) of the Internal Revenue Code, the credit shall only be
equal to the applicable percentage of the child tax credit allowed the
taxpayer under section 24 of the Internal Revenue Code for each qualify-
ing child. For the purposes of this subsection, a qualifying child shall
be a child who meets the definition of qualified child under section
24(c) of the internal revenue code [and is at least four years of age].
The applicable percentage shall be thirty-three percent. For purposes of
this subsection, any reference to section 24 of the Internal Revenue
Code shall be a reference to such section as it existed immediately
prior to the enactment of Public Law 115-97.
§ 5. Subsection (d) of section 606 of the tax law is amended by adding
a new paragraph 10 to read as follows:
(10) NOTWITHSTANDING ANY PROVISION TO THE CONTRARY, FOR TAXABLE YEARS
TWO THOUSAND TWENTY-THREE AND THEREAFTER, AN ELIGIBLE INDIVIDUAL, WHO
FILED A NEW YORK PERSONAL INCOME TAX RETURN USING A VALID UNITED STATES
INDIVIDUAL TAXPAYER IDENTIFICATION NUMBER (ITIN) OR IF SUCH INDIVIDUAL
OTHERWISE SATISFIES THE REQUIREMENTS OF THIS PARAGRAPH, SHALL BE ELIGI-
BLE FOR THE CREDIT UNDER THIS SUBSECTION. A FEDERAL INDIVIDUAL TAXPAYER
IDENTIFICATION NUMBER OR A SOCIAL SECURITY NUMBER MUST BE PROVIDED FOR
EACH SPOUSE IN THE CASE OF A COUPLE FILING JOINTLY OR SEPARATELY AND FOR
EACH CHILD IN ORDER TO BE ELIGIBLE FOR THE CREDIT. FOR PURPOSES OF THIS
PARAGRAPH, AN ELIGIBLE INDIVIDUAL, UPON REQUEST BY THE COMMISSIONER,
SHALL BE REQUIRED TO SUBMIT PROOF INCLUDING, BUT NOT LIMITED TO, (I)(A)
AN ELIGIBLE INDIVIDUAL FILED A TAX RETURN FOR EACH TAX YEAR SUCH CREDIT
IS ALLOWED WITH THE DEPARTMENT USING A VALID UNITED STATES INDIVIDUAL
IDENTIFICATION NUMBER, OR (B) ALTERNATIVELY, SUCH INDIVIDUAL MAY SUBMIT
ONE OR MORE PROOFS OF WORK DESCRIBED IN PARAGRAPH (K) OF SUBSECTION FIVE
OF SECTION TWO OF PART EEE OF CHAPTER FIFTY-NINE OF THE LAWS OF TWO
THOUSAND TWENTY-ONE; AND (II) THE PROOF OF IDENTITY AS DESCRIBED IN
PARAGRAPH (A) OF SUBSECTION FIVE OF SECTION TWO OF PART EEE OF CHAPTER
FIFTY-NINE OF THE LAWS OF TWO THOUSAND TWENTY-ONE. THE COMMISSIONER IN
CONJUNCTION WITH THE COMMISSIONER OF LABOR MAY, BY REGULATION, ESTAB-
LISH ALTERNATIVE DOCUMENTS THAT SUFFICIENTLY DEMONSTRATE AN ELIGIBLE
INDIVIDUAL'S QUALIFICATION FOR THE TAX CREDIT, INCLUDING BUT NOT LIMITED
TO PROOF OF IDENTITY AS DESCRIBED IN PARAGRAPH (A) OF SUBSECTION FIVE OF
SECTION TWO OF PART EEE OF CHAPTER FIFTY-NINE OF THE LAWS OF TWO THOU-
SAND TWENTY-ONE, PROVIDED THAT SUCH ADDITIONAL DOCUMENTS CLEARLY
DEMONSTRATE THAT SUCH INDIVIDUAL WAS EMPLOYED AND RECEIVED MONETARY
EARNINGS FOR EACH TAX YEAR SUCH INDIVIDUAL IS ELIGIBLE FOR THE CREDIT
PRIOR TO THE DATE SUCH INDIVIDUAL CERTIFIES THAT HE OR SHE BECAME
ELIGIBLE FOR THE CREDIT ALLOWED UNDER THIS SUBSECTION.
§ 6. This act shall take effect immediately; provided, however, that
sections four and five of this act shall apply to taxable years begin-
ning on and after January 1, 2023; and provided, further, that the
commissioner of the department of taxation and finance and the commis-
sioner of the department of labor are authorized to promulgate regu-
lations necessary to implement the provisions of this act.
PART FF
Section 1. Subdivision (b) of section 1105 of the tax law is amended
by adding a new paragraph 5 to read as follows:
(5) THE RECEIPTS FROM EVERY RETAIL SALE OF TANGIBLE PERSONAL PROPERTY
SHALL INCLUDE A DIGITAL PRODUCT AS DESCRIBED IN PARAGRAPH THIRTY-NINE OF
SUBDIVISION (B) OF SECTION ELEVEN HUNDRED ONE OF THIS ARTICLE.
A. 3009--B 68
§ 2. Subdivision (b) of section 1101 of the tax law is amended by
adding a new paragraph 39 to read as follows:
(39) DIGITAL PRODUCT. THE TERM DIGITAL PRODUCT SHALL MEAN, WHETHER
ELECTRONICALLY OR DIGITALLY DELIVERED, STREAMED OR ACCESSED AND WHETHER
PURCHASED INDIVIDUALLY, BY SUBSCRIPTION OR IN ANY OTHER MANNER, INCLUD-
ING MAINTENANCE, UPDATES AND SUPPORT (BUT EXCLUDING SIMILAR PROPERTY OR
ANY RELATED SIMILAR SERVICE OTHERWISE EXEMPT PURSUANT TO SECTION ELEVEN
HUNDRED FIVE OR SECTION ELEVEN HUNDRED FIFTEEN OR ANY OTHER SECTIONS OF
THIS ARTICLE) OF THE FOLLOWING:
(I) TELEVISION SHOWS AND MOVIES, EXCLUDING CABLE TELEVISION AND SATEL-
LITE TELEVISION;
(II) PHOTOGRAPHS;
(III) AUDIOBOOKS;
(IV) ANY OTHER OTHERWISE TAXABLE PRINTED MATTER ELECTRONICALLY OR
DIGITALLY DELIVERED, STREAMED OR ACCESSED, EXCLUDING NEWSPAPERS AND
PERIODICALS;
(V) APPLICATION PLATFORMS COMMONLY KNOWN AS "APPS";
(VI) GAMES EXCLUDING GAMES OTHERWISE TAXABLE AS THE FURNISHING OF AN
ENTERTAINMENT SERVICE DESCRIBED IN SUBPARAGRAPH (I) OF PARAGRAPH NINE OF
SUBDIVISION (C) OF SECTION ELEVEN HUNDRED FIVE OF THIS ARTICLE;
(VII) MUSIC;
(VIII) PODCASTS;
(IX) ANY OTHER AUDIO, INCLUDING SATELLITE RADIO OR ANY SUBSCRIPTION
SERVICE; OR
(X) ANY OTHER OTHERWISE TAXABLE TANGIBLE PERSONAL PROPERTY ELECTRON-
ICALLY OR DIGITALLY DELIVERED, STREAMED OR ACCESSED.
§ 2-a. Subdivision (l) of section 1111 of the tax law is amended by
adding a new paragraph 4 to read as follows:
(4) WITH RESPECT TO RECEIPTS FROM RETAIL SALE OF TANGIBLE PERSONAL
PROPERTY DESCRIBED IN PARAGRAPH THIRTY-NINE OF SUBDIVISION (B) OF
SECTION ELEVEN HUNDRED ONE OF THIS ARTICLE, DIGITAL PRODUCT THAT IS
ELECTRONICALLY OR DIGITALLY DELIVERED, STREAMED OR ACCESSED TO THE
CUSTOMER WITHIN THE STATE THE CUSTOMER SHALL PAY SUCH TAX, ON RECEIPTS
FROM ANY CHARGE THAT IS AGGREGATED WITH AND NOT SEPARATELY STATED FROM
OTHER CHARGES FOR RECEIPT FROM RETAIL SALE OF SUCH PROPERTY. PROVIDED,
HOWEVER, IF SELLER CHOOSES AN OBJECTIVE, REASONABLE AND VERIFIABLE STAN-
DARD FOR IDENTIFYING EACH OF THE COMPONENTS OF THE CHARGE FOR SUCH
RECEIPTS, THEN SUCH SELLER MAY SEPARATELY ACCOUNT FOR AND QUANTIFY THE
AMOUNT OF EACH SUCH COMPONENT CHARGE. IF A SELLER CHOOSES TO SO SEPA-
RATELY ACCOUNT FOR AND QUANTIFY AND SEPARATELY SELLS ANY SUCH PROPERTY,
THEN THE CHARGE FOR SUCH PROPERTY SHALL BE BASED UPON THE PRICE FOR SUCH
PROPERTY AS SEPARATELY SOLD. IF A SELLER CHOOSES TO SO SEPARATELY
ACCOUNT FOR AND QUANTIFY AND DOES NOT SEPARATELY SELL SUCH PROPERTY,
THEN THE CHARGE FOR SUCH PROPERTY SHALL BE BASED UPON THE PREVAILING
RETAIL PRICE OF COMPARABLE PROPERTY SOLD SEPARATELY BY OTHER SELLERS. IN
ANY CASE, THE CHARGE FOR SUCH PROPERTY SHALL BE REASONABLE AND PROPOR-
TIONATE TO THE TOTAL CHARGE TO THE CUSTOMER. NOTHING HEREIN SHALL BE
CONSTRUED TO EXEMPT FROM TAX OR SUBJECT TO TAX ANY SUCH PROPERTY OTHER-
WISE SUBJECT TO TAX OR EXEMPT FROM TAX UNDER THIS ARTICLE.
§ 3. Section 1148 of the tax law is amended by adding a new subdivi-
sion (d) to read as follows:
(D) PROVIDED HOWEVER, AFTER FUNDS ARE DISTRIBUTED PURSUANT TO SUBDIVI-
SIONS (B) AND (C) OF THIS SECTION BUT BEFORE SUCH FUNDS ARE DISTRIBUTED
PURSUANT TO SUBDIVISION (A) OF THIS SECTION, FUNDS SHALL BE DEPOSITED AS
FOLLOWS:
A. 3009--B 69
(1) INTO THE CREDIT OF THE METROPOLITAN MASS TRANSPORTATION OPERATING
ASSISTANCE ACCOUNT ESTABLISHED BY SECTION EIGHTY-EIGHT-A OF THE STATE
FINANCE LAW IN THE FOLLOWING AMOUNTS: (I) IN STATE FISCAL YEAR TWO
THOUSAND TWENTY-THREE--TWO THOUSAND TWENTY-FOUR, AN AMOUNT EQUAL TO
SIXTEEN MILLION DOLLARS AND (II) IN STATE FISCAL YEAR TWO THOUSAND TWEN-
TY-FOUR--TWO THOUSAND TWENTY-FIVE, AN AMOUNT EQUAL TO TWENTY-SEVEN
MILLION DOLLARS AND (III) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-FIVE-
-TWO THOUSAND TWENTY-SIX, AN AMOUNT EQUAL TO THIRTY-ONE MILLION DOLLARS
AND (IV) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-SIX--TWO THOUSAND
TWENTY-SEVEN AND THEREAFTER, AN AMOUNT EQUAL TO THIRTY-SIX MILLION
DOLLARS.
(2) PROVIDED, HOWEVER, AFTER SUCH FUNDS ARE DISTRIBUTED PURSUANT TO
SUBDIVISIONS (B) AND (C) OF THIS SECTION, AND PARAGRAPH ONE OF THIS
SUBDIVISION BUT BEFORE SUCH FUNDS ARE DISTRIBUTED PURSUANT TO SUBDIVI-
SION (A) OF THIS SECTION, SUCH FUNDS SHALL BE DISTRIBUTED INTO THE CRED-
IT OF THE CORPORATE TRANSPORTATION ACCOUNT OF THE METROPOLITAN TRANSPOR-
TATION AUTHORITY SPECIAL ASSISTANCE FUND ESTABLISHED BY SECTION TWELVE
HUNDRED SEVENTY-A OF THE PUBLIC AUTHORITIES LAW FOR THE COSTS OF THE NEW
YORK CITY TRANSIT AUTHORITY, TO BE APPLIED AS PROVIDED IN PARAGRAPH (E)
OF SUBDIVISION FOUR OF SUCH SECTION IN THE FOLLOWING AMOUNTS: (I) IN
STATE FISCAL YEAR TWO THOUSAND TWENTY-THREE--TWO THOUSAND TWENTY-FOUR,
AN AMOUNT EQUAL TO TWENTY-NINE MILLION DOLLARS AND (II) IN STATE FISCAL
YEAR TWO THOUSAND TWENTY-FOUR--TWO THOUSAND TWENTY-FIVE, AN AMOUNT EQUAL
TO FORTY-EIGHT MILLION DOLLARS AND (III) IN STATE FISCAL YEAR TWO THOU-
SAND TWENTY-FIVE--TWO THOUSAND TWENTY-SIX, AN AMOUNT EQUAL TO FIFTY-FIVE
MILLION DOLLARS AND (IV) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-SIX--
TWO THOUSAND TWENTY-SEVEN AND THEREAFTER, AN AMOUNT EQUAL TO SIXTY-THREE
MILLION DOLLARS.
(3) AND, PROVIDED FURTHER, AFTER FUNDS ARE DISTRIBUTED PURSUANT TO
SUBDIVISIONS (B) AND (C) OF THIS SECTION, AND PARAGRAPHS ONE AND TWO OF
THIS SUBDIVISION BUT BEFORE SUCH FUNDS ARE DISTRIBUTED PURSUANT TO
SUBDIVISION (A) OF THIS SECTION, SUCH FUNDS SHALL BE DEPOSITED INTO THE
CREDIT OF THE PUBLIC TRANSPORTATION SYSTEMS OPERATING ASSISTANCE ACCOUNT
ESTABLISHED BY SECTION EIGHTY-EIGHT-A OF THE STATE FINANCE LAW IN THE
FOLLOWING AMOUNTS: (I) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-THREE-
-TWO THOUSAND TWENTY-FOUR, AN AMOUNT EQUAL TO TWENTY-ONE MILLION DOLLARS
AND (II) IN STATE FISCAL YEAR TWO THOUSAND TWENTY-FOUR--TWO THOUSAND
TWENTY-FIVE, AN AMOUNT EQUAL TO THIRTY-FIVE MILLION DOLLARS AND (III) IN
STATE FISCAL YEAR TWO THOUSAND TWENTY-FIVE--TWO THOUSAND TWENTY-SIX, AN
AMOUNT EQUAL TO FORTY MILLION DOLLARS AND (IV) IN STATE FISCAL YEAR TWO
THOUSAND TWENTY-SIX--TWO THOUSAND TWENTY-SEVEN AND THEREAFTER, AN AMOUNT
EQUAL TO FORTY-SIX MILLION DOLLARS.
§ 4. The closing paragraph of subdivision 1 of section 1270-a of the
public authorities law, as amended by section 7 of part FF of chapter 58
of the laws of 2019, is amended to read as follows:
The authority shall make deposits in the transit account and the
commuter railroad account of the moneys received by it pursuant to the
provisions of subdivision one of section two hundred sixty-one of the
tax law in accordance with the provisions thereof, and shall make depos-
its in the corporate transportation account of the moneys received by it
pursuant to the provisions of subdivision two of section two hundred
sixty-one of the tax law and section ninety-two-ff of the state finance
law. The comptroller shall deposit, without appropriation, into the
corporate transportation account the revenue fees, taxes, interest and
penalties collected in accordance with paragraph (b-1) of subdivision
two of section five hundred three of the vehicle and traffic law, para-
A. 3009--B 70
graph (c-3) of subdivision two of section five hundred three of the
vehicle and traffic law, article seventeen-C of the vehicle and traffic
law, article twenty-nine-A of the tax law and section eleven hundred
sixty-six-a of the tax law, AND PARAGRAPH TWO OF SUBDIVISION (D) OF
SECTION ELEVEN HUNDRED FORTY-EIGHT OF THE TAX LAW.
§ 5. Paragraph (a) of subdivision 7 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "metropolitan mass transportation operating assistance
account" shall consist of the revenues derived from the taxes for the
metropolitan transportation district imposed by section eleven hundred
nine of the tax law and that proportion of the receipts received pursu-
ant to the tax imposed by article [nine-a] NINE-A of such law as speci-
fied in section one hundred seventy-one-a of such law, and that propor-
tion of the receipts received pursuant to the tax imposed by article
nine of such law as specified in section two hundred five of such law,
AND PARAGRAPH ONE OF SUBDIVISION (D) OF SECTION ELEVEN HUNDRED FORTY-
EIGHT OF THE TAX LAW and the receipts required to be deposited pursuant
to the provisions of section one hundred eighty-two-a OF THE TAX LAW,
and all other moneys credited or transferred thereto from any other fund
or source pursuant to law.
§ 6. Paragraph (a) of subdivision 5 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "public transportation systems operating assistance account"
shall consist of revenues required to be deposited therein pursuant to
the provisions of section one hundred eighty-two-a of the tax law, PARA-
GRAPH THREE OF SUBDIVISION (D) OF SECTION ELEVEN HUNDRED FORTY-EIGHT OF
THE TAX LAW and all other moneys credited or transferred thereto from
any other fund or source pursuant to law.
§ 7. This act shall take effect immediately and shall apply to sales
made on or after June 1, 2023.
PART GG
Section 1. Short title. This act shall be known and may be cited as
the "savings accounts for a variable economy (SAVE) for small businesses
act".
§ 2. The tax law is amended by adding a new section 48 to read as
follows:
§ 48. SMALL BUSINESS SAVINGS ACCOUNTS. (A) GENERAL. (1) THE COMMIS-
SIONER SHALL ESTABLISH A PROGRAM TO ADMINISTER SMALL BUSINESS SAVINGS
ACCOUNTS UNDER THIS SECTION.
(2) THE COMMISSIONER SHALL ESTABLISH MINIMUM STANDARDS FOR SMALL BUSI-
NESS SAVINGS ACCOUNTS AND SHALL ESTABLISH ACCOUNTS, OR ENTER INTO AGREE-
MENTS THAT MEET THESE STANDARDS TO ADMINISTER SUCH ACCOUNTS. IN ESTAB-
LISHING SUCH STANDARDS AND MAKING SUCH AGREEMENTS THE COMMISSIONER
SHALL, TO THE EXTENT PRACTICABLE, SEEK TO MINIMIZE FEES, MINIMIZE RISK
OF LOSS OF PRINCIPAL, AND ENSURE A RANGE OF INVESTMENT RISK OPTIONS
AVAILABLE TO ACCOUNT BENEFICIARIES. ANY ELIGIBLE SMALL BUSINESS MAY
ESTABLISH A SMALL BUSINESS SAVINGS ACCOUNT WITH RESPECT TO SUCH BUSINESS
UNDER TERMS WHICH MEET THE REQUIREMENTS OF THIS SECTION.
(B) DEFINITION. FOR THE PURPOSES OF THIS SECTION, THE TERM "SMALL
BUSINESS SAVINGS ACCOUNT" MEANS A TAX PREFERRED SAVINGS ACCOUNT WHICH IS
DESIGNATED AT THE TIME OF ESTABLISHMENT OF THE PLAN AS A SMALL BUSINESS
A. 3009--B 71
SAVINGS ACCOUNT. SUCH DESIGNATION SHALL BE MADE IN SUCH MANNER AS THE
COMMISSIONER MAY BY REGULATION PRESCRIBE.
(C) CONTRIBUTIONS. (1) THERE SHALL BE ALLOWED AS A DEDUCTION AN AMOUNT
EQUAL TO THE CONTRIBUTIONS TO A SMALL BUSINESS SAVINGS ACCOUNT FOR THE
TAXABLE YEAR.
(2) THE AGGREGATE AMOUNT OF CONTRIBUTIONS FOR ANY TAXABLE YEAR TO ALL
SMALL BUSINESS SAVINGS ACCOUNTS MAINTAINED FOR THE BENEFIT OF AN ELIGI-
BLE SMALL BUSINESS SHALL NOT EXCEED AN AMOUNT EQUAL TO TEN PERCENT OF
THE ENTIRE NET INCOME OF GREATER THAN ZERO BUT LESS THAN TWO HUNDRED
FIFTY THOUSAND DOLLARS FOR ARTICLE NINE-A TAXPAYERS AND TEN PERCENT OF
THE NEW YORK SOURCE GROSS INCOME OF GREATER THAN ZERO BUT LESS THAN TWO
HUNDRED FIFTY THOUSAND DOLLARS FOR A LIMITED LIABILITY COMPANY, PARTNER-
SHIP, OR NEW YORK S CORPORATION.
(D) DISTRIBUTIONS. (1) ANY QUALIFIED DISTRIBUTION FROM A SMALL BUSI-
NESS SAVINGS ACCOUNT SHALL NOT BE INCLUDIBLE IN GROSS INCOME.
(2) ANY AMOUNTS DISTRIBUTED OUT OF A SMALL BUSINESS SAVINGS ACCOUNT
THAT ARE NOT QUALIFIED DISTRIBUTIONS SHALL BE INCLUDED IN GROSS INCOME
FOR THE TAXABLE YEAR OF THE DISTRIBUTION.
(3) FOR PURPOSES OF THIS SECTION:
(A) THE TERM "QUALIFIED DISTRIBUTION" MEANS ANY AMOUNT:
(I) DISTRIBUTED FROM A SMALL BUSINESS SAVINGS ACCOUNT DURING A SPECI-
FIED PERIOD OF ECONOMIC HARDSHIP; AND
(II) THE DISTRIBUTION OF WHICH IS CERTIFIED BY THE TAXPAYER AS PART OF
A PLAN WHICH PROVIDES FOR THE REINVESTMENT OF SUCH DISTRIBUTION FOR THE
FUNDING OF WORKER HIRING OR FINANCIAL STABILIZATION FOR THE PURPOSES OF
JOB RETENTION OR CREATION.
(B) THE TERM "SPECIFIED PERIOD OF ECONOMIC HARDSHIP" MEANS:
(I) ANY ONE-YEAR PERIOD BEGINNING IMMEDIATELY AFTER THE END OF ANY TWO
CONSECUTIVE QUARTERS DURING WHICH THE ANNUAL RATE OF REAL GROSS DOMESTIC
PRODUCT (AS DETERMINED BY THE BUREAU OF ECONOMIC ANALYSIS OF THE DEPART-
MENT OF COMMERCE) DECREASES, OR
(II) ANY PERIOD, IN NO EVENT SHORTER THAN ONE YEAR, SPECIFIED BY THE
COMMISSIONER FOR PURPOSES OF THIS SECTION.
(C) THE COMMISSIONER MAY SPECIFY A PERIOD UNDER CLAUSE (II) OF SUBPAR-
AGRAPH (B) OF THIS PARAGRAPH WITH RESPECT TO A SPECIFIED AREA IN THE
CASE OF AN AREA DETERMINED BY THE GOVERNOR TO WARRANT ASSISTANCE FROM
THE FEDERAL GOVERNMENT UNDER THE ROBERT T. STAFFORD DISASTER RELIEF AND
EMERGENCY ASSISTANCE ACT.
(D) THE COMMISSIONER SHALL, FOR EACH SPECIFIED PERIOD OF ECONOMIC
HARDSHIP ESTABLISH A DISTRIBUTION LIMITATION FOR QUALIFIED DISTRIBUTIONS
FROM ELIGIBLE SMALL BUSINESS ACCOUNTS WITH RESPECT TO SUCH PERIOD. THE
AGGREGATE QUALIFIED DISTRIBUTIONS FOR ANY SUCH PERIOD FROM ALL ACCOUNTS
WITH RESPECT TO AN ELIGIBLE SMALL BUSINESS SHALL NOT EXCEED SUCH LIMITA-
TION.
(E) ANY DISTRIBUTION NOT USED IN THE MANNER CERTIFIED UNDER SUBPARA-
GRAPH (A) OF THIS PARAGRAPH SHALL BE TREATED AS A DISTRIBUTION OTHER
THAN A QUALIFIED DISTRIBUTION IN THE TAXABLE YEAR OF SUCH DISTRIBUTION.
(F) ANY AMOUNT CONTRIBUTED TO A SMALL BUSINESS SAVINGS ACCOUNT (AND
ANY EARNINGS ATTRIBUTABLE THERETO), ONCE DISTRIBUTED, SHALL NOT BE
TREATED AS A QUALIFIED DISTRIBUTION UNLESS SUCH DISTRIBUTION IS MADE NOT
LATER THAN EIGHT YEARS AFTER THE DATE OF SUCH CONTRIBUTION. FOR PURPOSES
OF THIS SUBPARAGRAPH, AMOUNTS (AND THE EARNINGS ATTRIBUTABLE THERETO)
SHALL BE TREATED AS DISTRIBUTED ON A FIRST-IN FIRST-OUT BASIS.
(E) ELIGIBLE SMALL BUSINESS. FOR PURPOSES OF THIS SECTION:
(1) THE TERM "ELIGIBLE SMALL BUSINESS" MEANS, WITH RESPECT TO ANY
CALENDAR YEAR, ANY PERSON IF THE ANNUAL AVERAGE NUMBER OF FULL-TIME
A. 3009--B 72
EMPLOYEES EMPLOYED BY SUCH PERSON DURING THE PRECEDING CALENDAR YEAR WAS
TWENTY-FIVE OR FEWER AND SUCH PERSON HAS AN ANNUAL NET INCOME OF LESS
THAN TWO HUNDRED FIFTY THOUSAND DOLLARS. FOR PURPOSES OF THIS PARAGRAPH,
A PRECEDING CALENDAR YEAR MAY BE TAKEN INTO ACCOUNT ONLY IF THE PERSON
WAS IN EXISTENCE THROUGHOUT THE YEAR.
(2)(A) THE TERM "FULL-TIME EMPLOYEE" MEANS, WITH RESPECT TO ANY YEAR,
AN EMPLOYEE WHO IS EMPLOYED ON AVERAGE AT LEAST FORTY HOURS OF SERVICE
PER WEEK.
(B) THE COMMISSIONER SHALL PRESCRIBE SUCH REGULATIONS, RULES, AND
GUIDANCE AS MAY BE NECESSARY TO DETERMINE THE HOURS OF SERVICE OF AN
EMPLOYEE, INCLUDING RULES FOR THE APPLICATION OF THIS SUBDIVISION TO
EMPLOYEES WHO ARE NOT COMPENSATED ON AN HOURLY BASIS.
(F) EFFECT OF PLEDGING ACCOUNT AS SECURITY. IF, DURING ANY TAXABLE
YEAR OF THE ELIGIBLE SMALL BUSINESS FOR WHOSE BENEFIT AN ACCOUNT IS
ESTABLISHED, THE ACCOUNT OR ANY PORTION THEREOF IS PLEDGED AS SECURITY
FOR A LOAN, THE PORTION SO PLEDGED SHALL BE TREATED AS DISTRIBUTED IN A
DISTRIBUTION OTHER THAN A QUALIFIED DISTRIBUTION.
(G) ANNUAL REPORT. THE COMMISSIONER SHALL PREPARE AND DELIVER AN ANNU-
AL REPORT ON THE EFFICACY OF SMALL BUSINESS SAVINGS ACCOUNTS TO THE
TEMPORARY PRESIDENT OF THE SENATE AND THE SPEAKER OF THE ASSEMBLY. SUCH
REPORT SHALL INCLUDE, BUT NOT BE LIMITED TO, AN EVALUATION AS TO WHETHER
SMALL BUSINESS SAVINGS ACCOUNTS CONTRIBUTE TO FINANCIAL STABILIZATION OF
THE SMALL BUSINESS DURING TIMES OF ECONOMIC HARDSHIP, JOB RETENTION OR
CREATION.
§ 3. Paragraph (a) of subdivision 9 of section 208 of the tax law is
amended by adding a new subparagraph 24 to read as follows:
(24) FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND TWENTY-THREE, CONTRIBUTIONS AND QUALIFIED DISTRIBUTIONS BY AN
ELIGIBLE SMALL BUSINESS, AS SUCH TERM IS DEFINED PURSUANT TO SECTION
FORTY-EIGHT OF THIS CHAPTER.
§ 4. Paragraph (b) of subdivision 9 of section 208 of the tax law is
amended by adding a new subparagraph 28 to read as follows:
(28) FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND TWENTY-THREE, ANY AMOUNTS OF INELIGIBLE CONTRIBUTIONS AND DISTRIB-
UTIONS DESCRIBED IN SECTION FORTY-EIGHT OF THIS CHAPTER.
§ 5. Subsection (c) of section 612 of the tax law is amended by adding
a new paragraph 47 to read as follows:
(47) FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND TWENTY-THREE, CONTRIBUTIONS AND QUALIFIED DISTRIBUTIONS BY AN
ELIGIBLE SMALL BUSINESS, AS SUCH TERM IS DEFINED PURSUANT TO SECTION
FORTY-EIGHT OF THIS CHAPTER.
§ 6. Subsection (b) of section 612 of the tax law is amended by adding
a new paragraph 44 to read as follows:
(44) FOR TAXABLE YEARS BEGINNING ON OR AFTER JANUARY FIRST, TWO THOU-
SAND TWENTY-THREE, ANY AMOUNTS OF INELIGIBLE CONTRIBUTIONS AND DISTRIB-
UTIONS DESCRIBED IN SECTION FORTY-EIGHT OF THIS CHAPTER.
§ 7. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2023.
PART HH
Section 1. Subsection (b) of section 612 of the tax law is amended by
adding a new paragraph 44 to read as follows:
(44) ANY INCOME, GAIN, LOSS AND DEDUCTION, TO THE EXTENT IT IS
INCLUDED IN FEDERAL ADJUSTED GROSS INCOME AND IS, WHEN COMBINED AND
COMBINED WITH ADDITIONS FOR FEDERAL DEPRECATION REQUIRED BY PARAGRAPH
A. 3009--B 73
EIGHT OF THIS SUBSECTION AND SUBTRACTIONS FOR NEW YORK ALLOWED BY
SUBSECTION (K) OF THIS SECTION, LESS THAN ZERO, OF AN INDIVIDUAL OR
TRUST FROM A QUALIFIED PASS-THROUGH MANUFACTURER, AS DEFINED IN PARA-
GRAPH FORTY-SEVEN OF SUBSECTION (C) OF THIS SECTION.
§ 2. Paragraph 39 of subsection (c) of section 612 of the tax law, as
amended by section 1 of part C of chapter 59 of the laws of 2022, is
amended and a new paragraph 47 is added to read as follows:
(39) (A) In the case of a taxpayer who is a small business or a
taxpayer who is a member, partner, or shareholder of a limited liability
company, partnership, or New York S corporation, respectively, that is a
small business, who or which has business income and/or farm income as
defined in the laws of the United States, an amount equal to fifteen
percent of the net items of income, gain, loss and deduction attribut-
able to such business or farm entering into federal adjusted gross
income, but not less than zero.
(B) (i) For the purposes of this paragraph, the term small business
shall mean: (I) a sole proprietor who employs one or more persons during
the taxable year and who has net business income or net farm income of
greater than zero but less than two hundred fifty thousand dollars;
(II) a limited liability company, partnership, or New York S corpo-
ration that during the taxable year employs one or more persons and has
net farm income attributable to a farm business that is greater than
zero but less than two hundred fifty thousand dollars;[or]
(III) a limited liability company, partnership, or New York S corpo-
ration that during the taxable year employs one or more persons and has
New York gross business income attributable to a non-farm business that
is greater than zero but less than one million five hundred thousand
dollars[.]; OR
(IV) FOR THE PURPOSES OF THIS PARAGRAPH, THE TERM SMALL BUSINESS SHALL
EXCLUDE ANY BUSINESS THAT IS A QUALIFIED PASS-THROUGH MANUFACTURER, AS
DEFINED IN PARAGRAPH FORTY-SEVEN OF THIS SUBSECTION FOR THE CURRENT TAX
YEAR.
(ii) For purposes of this paragraph, the term New York gross business
income shall mean: (I) in the case of a limited liability company or a
partnership, New York source gross income as defined in subparagraph (B)
of paragraph three of subsection (c) of section six hundred fifty-eight
of this article; and (II) in the case of a New York S corporation, New
York receipts included in the numerator of the apportionment factor
determined under section two hundred ten-A of this chapter for the taxa-
ble year.
(C) To qualify for this modification in relation to a non-farm small
business that is a limited liability company, partnership, or New York S
corporation, the taxpayer's income attributable to the net business
income from its ownership interests in non-farm limited liability compa-
nies, partnerships, or New York S corporations must be less than two
hundred fifty thousand dollars.
(47) (A) ANY INCOME, GAIN, LOSS AND DEDUCTION, TO THE EXTENT INCLUDED
IN FEDERAL ADJUSTED GROSS INCOME AND IS, WHEN COMBINED AND COMBINED WITH
ADDITIONS FOR FEDERAL DEPRECIATION REQUIRED BY PARAGRAPH EIGHT OF
SUBSECTION (B) OF THIS SECTION AND SUBTRACTIONS FOR NEW YORK ALLOWED BY
SUBSECTION (K) OF THIS SECTION, GREATER THAN ZERO, OF AN INDIVIDUAL OR
TRUST FROM A QUALIFIED PASS-THROUGH MANUFACTURER. INCOME FROM A QUALI-
FIED PASS-THROUGH MANUFACTURER SHALL INCLUDE WAGES OF AN INDIVIDUAL
CONTROLLING TEN PERCENT OR MORE OF THE QUALIFIED BUSINESS OR ENTITY.
INCOME OR LOSS FROM A QUALIFIED PASS-THROUGH MANUFACTURER SHALL NOT
INCLUDE AN AMOUNT REPRESENTING REASONABLE COMPENSATION FOR PERSONAL
A. 3009--B 74
SERVICES, AS DEFINED IN THE INTERNAL REVENUE CODE SECTION ONE HUNDRED
SIXTY-TWO REGULATIONS, FOR AN INDIVIDUAL CONTROLLING TEN PERCENT OR MORE
OF THE QUALIFIED BUSINESS OR ENTITY.
(B) THE QUALIFIED PASS-THROUGH MANUFACTURER MAY BE ORGANIZED AS A SOLE
PROPRIETORSHIP, A PARTNERSHIP, A LIMITED LIABILITY COMPANY ELECTING TO
BE TREATED AS A PARTNERSHIP OR SOLE PROPRIETORSHIP, OR AN S CORPORATION.
(C) FOR THE PURPOSES OF THIS SUBSECTION, THE TERM QUALIFIED PASS-
THROUGH MANUFACTURER SHALL MEAN A BUSINESS THAT IS A QUALIFIED NEW YORK
MANUFACTURER, AS DEFINED BY SUBPARAGRAPH (VI) OF PARAGRAPH (A) OF SUBDI-
VISION ONE OF SECTION TWO HUNDRED TEN OF THIS CHAPTER, EXCEPT THAT THE
TERM "GROSS RECEIPTS" SHALL BE REPLACED BY "BUSINESS RECEIPTS" IN DETER-
MINING WHETHER THE BUSINESS IS "PRINCIPALLY ENGAGED" IN MANUFACTURING. A
QUALIFIED PASS-THROUGH MANUFACTURER SHALL NOT INCLUDE A BUSINESS THAT IS
CURRENTLY PARTICIPATING IN THE START-UP NY PROGRAM.
§ 3. Paragraph 2 of subsection (a) of section 606 of the tax law is
amended by adding a new subparagraph (B-1) to read as follows:
(B-1) PROPERTY PLACED IN SERVICE DURING THE TAX YEAR THAT IS OTHERWISE
ELIGIBLE FOR THE INVESTMENT TAX CREDIT DESCRIBED IN SUBPARAGRAPH (A) OF
THIS PARAGRAPH, WILL NOT BE ELIGIBLE FOR THE INVESTMENT TAX CREDIT IF
THE USE OF THE PROPERTY IS BY A QUALIFIED PASS-THROUGH MANUFACTURER, AS
DEFINED IN PARAGRAPH FORTY-SEVEN OF SUBSECTION (C) OF SECTION SIX
HUNDRED TWELVE OF THIS ARTICLE FOR THE CURRENT TAX YEAR.
§ 4. Subdivision 1 of section 210-B of the tax law is amended by
adding a new paragraph (g) to read as follows:
(G) PROPERTY PLACED IN SERVICE DURING THE TAX YEAR THAT IS OTHERWISE
ELIGIBLE FOR THE INVESTMENT TAX CREDIT DESCRIBED IN THIS SUBDIVISION,
WILL NOT BE ELIGIBLE FOR THE INVESTMENT TAX CREDIT IF THE USE OF THE
PROPERTY IS BY A QUALIFIED NEW YORK MANUFACTURER, AS DEFINED IN SUBPARA-
GRAPH (VI) OF PARAGRAPH (A) OF SUBSECTION ONE OF SECTION TWO HUNDRED TEN
OF THIS ARTICLE FOR THE CURRENT TAX YEAR.
§ 5. For purposes of determining the modifications of paragraphs 39
and 47 of subsection (c) of section 612 of the tax law and the invest-
ment tax credit disallowance of subparagraph (B-1) of paragraph 2 of
subsection (a) of section 606 of the tax law, the amounts shall be
multiplied by the following percentages: (a) for tax years beginning on
or after January 1, 2025: forty percent; (b) for tax years beginning on
or after January 1, 2026: eighty percent; and (c) for tax years begin-
ning on or after January 1, 2027: one hundred percent.
§ 6. This act shall take effect immediately and shall apply to tax
years beginning on or after January 1, 2025.
PART II
Section 1. Paragraph 1 of subdivision (b) of section 37 of the tax
law, as amended by section 1 of part V of chapter 60 of the laws of
2016, is amended to read as follows:
(1) for the first five hundred thousand gallons of:
I. beer[, cider, wine or liquor] produced in this state in the taxable
year, the credit shall equal fourteen cents per gallon; [and]
II. CIDER, ARTIFICIALLY CARBONATED SPARKLING CIDER, AND NATURAL SPAR-
KLING CIDER, CONTAINING MORE THAN THREE AND TWO-TENTHS PER CENTUM OF
ALCOHOL BY VOLUME PRODUCED IN THIS STATE IN THE TAXABLE YEAR, THE CREDIT
SHALL EQUAL THREE AND SEVENTY-NINE HUNDREDTHS CENTS PER GALLON;
III. STILL WINE, ARTIFICIALLY CARBONATED SPARKLING WINE, AND NATURAL
SPARKLING WINE PRODUCED IN THIS STATE IN THE TAXABLE YEAR, THE CREDIT
SHALL EQUAL THIRTY CENTS PER GALLON;
A. 3009--B 75
IV. LIQUORS CONTAINING NOT MORE THAN TWENTY-FOUR PER CENTUM OF ALCOHOL
BY VOLUME, BUT MORE THAN TWO PER CENTUM OF ALCOHOL PER VOLUME, PRODUCED
IN THIS STATE IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL TWO DOLLARS
AND FIFTY-FOUR CENTS PER GALLON;
V. LIQUORS CONTAINING MORE THAN ZERO PER CENTUM OF ALCOHOL BY VOLUME,
BUT NOT MORE THAN TWO PER CENTUM OF ALCOHOL BY VOLUME, PRODUCED IN THIS
STATE IN THE TAXABLE YEAR, THE CREDIT SHALL EQUAL ZERO;
VI. ALL OTHER LIQUORS PRODUCED IN THIS STATE IN THE TAXABLE YEAR, THE
CREDIT SHALL EQUAL SIX DOLLARS AND FORTY-FOUR CENTS PER GALLON; AND
§ 2. This act shall take effect immediately and shall apply to taxable
years beginning on or after January 1, 2023.
PART JJ
Section 1. The tax law is amended by adding a new article 29-D to read
as follows:
ARTICLE 29-D
FEE ON DELIVERY TRANSACTIONS
SECTION 1299-M. DEFINITIONS.
1299-N. IMPOSITION OF FEE ON DELIVERY TRANSACTION.
1299-O. LIABILITY FOR FEE.
1299-P. REGISTRATION.
1299-Q. RETURNS AND PAYMENT OF FEE.
1299-R. RECORDS TO BE KEPT.
1299-S. SECRECY OF RETURNS.
1299-T. PRACTICE AND PROCEDURE.
1299-U. DEPOSIT AND DISPOSITION OF REVENUE.
1299-V. COOPERATION BY REGULATORY AGENCIES.
§ 1299-M. DEFINITIONS. (A) "PERSON" MEANS AN INDIVIDUAL, PARTNERSHIP,
LIMITED LIABILITY COMPANY, SOCIETY, ASSOCIATION, JOINT STOCK COMPANY,
CORPORATION, ESTATE, RECEIVER, TRUSTEE, ASSIGNEE, REFEREE OR ANY OTHER
PERSON ACTING IN A FIDUCIARY OR REPRESENTATIVE CAPACITY, WHETHER
APPOINTED BY A COURT OR OTHERWISE, ANY COMBINATION OF INDIVIDUALS AND
ANY OTHER FORM OF UNINCORPORATED ENTERPRISE OWNED OR CONDUCTED BY TWO OR
MORE PERSONS.
(B) "DELIVERY TRANSACTION" MEANS A TRANSACTION THAT RESULTS IN THE
DELIVERY OF PERSONAL TANGIBLE PROPERTY FROM RETAIL SALE, WHETHER
PURCHASED ONLINE OR NOT, TO THE PURCHASER WITHIN THE STATE.
(C) "PURCHASER" MEANS FOR THE PURPOSES OF THIS ARTICLE THE PERSON
RECEIVING THE PERSONAL TANGIBLE PROPERTY IN THE DELIVERY TRANSACTION.
§ 1299-N. IMPOSITION OF FEE ON DELIVERY TRANSACTION. (A) IN ADDITION
TO ANY OTHER TAX OR ASSESSMENT IMPOSED BY THIS CHAPTER OR OTHER LAW,
THERE IS HEREBY IMPOSED, BEGINNING ON SEPTEMBER FIRST, TWO THOUSAND
TWENTY-THREE, A FEE ON DELIVERY TRANSACTIONS OF TWENTY-FIVE CENTS FOR
EACH DELIVERY TRANSACTION WHERE THE DELIVERY IS MADE WITHIN THE STATE,
EXCEPT FOR DELIVERIES OF:
(1) DRUGS AND MEDICINES INTENDED FOR USE, INTERNALLY OR EXTERNALLY, IN
THE CURE, MITIGATION, TREATMENT OR PREVENTION OF ILLNESSES OR DISEASES
IN HUMAN BEINGS, MEDICAL EQUIPMENT, INCLUDING COMPONENT PARTS THEREOF,
AND SUPPLIES REQUIRED FOR SUCH USE OR TO CORRECT OR ALLEVIATE PHYSICAL
INCAPACITY, AND PRODUCTS CONSUMED BY HUMANS FOR THE PRESERVATION OF
HEALTH BUT NOT INCLUDING COSMETICS OR TOILET ARTICLES NOTWITHSTANDING
THE PRESENCE OF MEDICINAL INGREDIENTS THEREIN OR MEDICAL EQUIPMENT,
INCLUDING COMPONENT PARTS THEREOF, AND SUPPLIES, OTHER THAN SUCH DRUGS
AND MEDICINES, PURCHASED AT RETAIL FOR USE IN PERFORMING MEDICAL AND
SIMILAR SERVICES FOR COMPENSATION, AS SUCH TERMS ARE DEFINED IN PARA-
A. 3009--B 76
GRAPH THREE OF SUBDIVISION (A) OF SECTION ELEVEN HUNDRED FIFTEEN OF THIS
CHAPTER;
(2) DIAPERS INTENDED FOR HUMAN USE INCLUDING, BUT NOT LIMITED TO:
DISPOSABLE, REUSABLE, ADULT, AND CHILDREN'S DIAPERS, AS SUCH TERMS ARE
DEFINED IN PARAGRAPH THIRTY-A OF SUBDIVISION (A) OF SECTION ELEVEN
HUNDRED FIFTEEN OF THIS CHAPTER;
(3) BABY FORMULA INTENDED FOR FEEDING INFANTS; OR
(4) ANY FOOD OR FOOD PRODUCTS.
(B) THE PROVISIONS OF THIS ARTICLE SHALL NOT APPLY TO ANY DELIVERY
TRANSACTION RELATED TO:
(1) OPERATING OVER A RURAL ROUTE AND ENGAGE EXCLUSIVELY IN THE TRANS-
PORTATION OF UNITED STATES MAIL UNDER CONTRACT; OR
(2) OWNED AND OPERATED BY THE UNITED STATES, THIS STATE OR ANY OTHER
STATE OR ANY COUNTY, CITY, TOWN OR MUNICIPALITY IN THIS STATE, OR ANY
OTHER STATE OR BY ANY AGENCY OR DEPARTMENT THEREOF.
§ 1299-O. LIABILITY FOR FEE. (A) NOTWITHSTANDING ANY PROVISION OF LAW
TO THE CONTRARY, EVERY PERSON THAT SELLS PERSONAL TANGIBLE PROPERTY FROM
RETAIL SALES TO BE DELIVERED WITHIN THE STATE SHALL BE PERSONALLY LIABLE
FOR THE FEES IMPOSED BY THIS ARTICLE. FOR THE PURPOSES OF THIS SECTION,
A SELLER SHALL INCLUDE A MARKETPLACE PROVIDER AND MARKETPLACE SELLER AS
SUCH TERMS ARE DEFINED IN PARAGRAPHS ONE AND TWO OF SUBDIVISION (E) OF
SECTION ELEVEN HUNDRED ONE OF THIS CHAPTER. PROVIDED, HOWEVER, A MARKET-
PLACE SELLER MAY BE RELIEVED OF LIABILITY IF A MARKETPLACE PROVIDER
COLLECTS THE FEE ON BEHALF OF SUCH MARKETPLACE SELLER AS DESCRIBED IN
PARAGRAPH ONE OF SUBDIVISION (1) OF SECTION ELEVEN HUNDRED THIRTY-TWO OF
THIS CHAPTER.
(B) THE FEE IMPOSED BY THIS ARTICLE SHALL BE PASSED ALONG TO THE
PURCHASER AND SEPARATELY STATED ON ANY RECEIPT THAT IS PROVIDED TO SUCH
PURCHASER. PROVIDED, HOWEVER, FAILURE TO COLLECT SUCH FEE SHALL NOT
RELIEVE THE LIABILITY IMPOSED ON SUCH SELLER AND SUCH FEE SHALL NOT BE
CONSTRUED BY ANY COURT OR ADMINISTRATIVE BODY AS THE IMPOSITION OF THE
FEE ON THE PURCHASER.
(C) THE FEE IMPOSED BY THIS ARTICLE SHALL NOT APPLY TO ANY PURCHASER
USING THE SUPPLEMENTAL NUTRITION ASSISTANCE PROGRAM, SPECIAL SUPPLE-
MENTAL NUTRITION PROGRAM FOR WOMEN, INFANTS AND CHILDREN, OR ANY SUCCES-
SOR PROGRAMS AS FULL OR PARTIAL PAYMENT FOR THE ITEMS PURCHASED WHERE
ALL ITEMS PURCHASED IN THE DELIVERY TRANSACTION ARE PURCHASABLE USING
SUCH PROGRAMS.
§ 1299-P. REGISTRATION. (A) EVERY PERSON LIABLE FOR THE FEE IMPOSED BY
THIS ARTICLE SHALL FILE WITH THE COMMISSIONER A PROPERLY COMPLETED
APPLICATION FOR A CERTIFICATE OF REGISTRATION, IN A FORM PRESCRIBED BY
THE COMMISSIONER. SUCH APPLICATION SHALL BE ACCOMPANIED BY A FEE OF ONE
DOLLAR AND FIFTY CENTS, AND SHALL SET FORTH THE NAME AND ADDRESS OF THE
REGISTRANT, AND ANY OTHER INFORMATION THAT THE COMMISSIONER MAY REQUIRE.
(B) EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE COMMISSIONER
SHALL ISSUE A CERTIFICATE OF REGISTRATION TO EACH PERSON THAT APPLIES
FOR ONE FOR A SPECIFIED TERM OF NOT LESS THAN THREE YEARS. ANY CERTIF-
ICATE OF REGISTRATION REFERRED TO IN THIS SUBDIVISION SHALL BE SUBJECT
TO RENEWAL IN ACCORDANCE WITH RULES PROMULGATED BY THE COMMISSIONER, AND
UPON THE PAYMENT OF A FEE OF ONE DOLLAR FIFTY CENTS. WHETHER OR NOT SUCH
CERTIFICATE OF REGISTRATION IS ISSUED FOR A SPECIFIED TERM, IT SHALL BE
SUBJECT TO SUSPENSION OR REVOCATION AS PROVIDED FOR IN THIS SECTION.
EACH CERTIFICATE SHALL STATE THE REGISTRANT AND THE REGISTRANT'S TAXPAY-
ER ID NUMBER IT IS APPLICABLE TO. CERTIFICATES OF REGISTRATION ISSUED
PURSUANT TO THIS ARTICLE SHALL BE NON-ASSIGNABLE AND NON-TRANSFERABLE,
AND SHALL BE SURRENDERED TO THE COMMISSIONER IMMEDIATELY UPON THE REGIS-
A. 3009--B 77
TRANT'S CEASING TO DO BUSINESS AT THE ADDRESS PROVIDED IN ITS APPLICA-
TION, UNLESS THE REGISTRANT AMENDS ITS CERTIFICATE OF REGISTRATION IN
ACCORDANCE WITH RULES PROMULGATED BY THE COMMISSIONER. ALL REGISTRANTS
MUST NOTIFY THE COMMISSIONER OF CHANGES TO ANY OF THE INFORMATION STATED
ON THEIR CERTIFICATE OF REGISTRATION, INCLUDING VEHICLE CHANGES, IF ANY,
ON A CALENDAR QUARTERLY BASIS, AND SHALL AMEND THEIR CERTIFICATES OF
REGISTRATION ACCORDINGLY.
(C) (1) THE COMMISSIONER MAY REFUSE TO ISSUE A CERTIFICATE OF REGIS-
TRATION TO A PERSON, OR MAY SUSPEND OR REVOKE A CERTIFICATE OF REGISTRA-
TION THAT WAS ISSUED TO A PERSON, PURSUANT TO THIS SECTION UPON FINDING
THAT: (I) SUCH PERSON FAILED TO PAY ANY MONIES THAT ARE FINALLY DETER-
MINED TO BE DUE FOR ANY TAX OR IMPOSITION THAT IS ADMINISTERED BY THE
COMMISSIONER; (II) SUCH PERSON FAILED TO FILE ANY RETURN THAT IS DUE
FROM IT UNDER THIS CHAPTER; (III) SUCH PERSON WILLFULLY FILED A FALSE
RETURN OR OTHER DOCUMENT DUE UNDER THIS CHAPTER; (IV) SUCH PERSON WILL-
FULLY VIOLATED ANY PROVISIONS OF THIS ARTICLE, OR ANY RULE OR REGULATION
OF THE COMMISSIONER PROMULGATED UNDER THIS ARTICLE; OR (V) A CERTIFICATE
OF REGISTRATION ISSUED PURSUANT TO THIS SECTION TO SUCH PERSON, OR TO
ANY BUSINESS OR ENTITY UNDER CONTROL OF SUCH PERSON, OR THAT IS SUBJECT
TO SUBSTANTIALLY THE SAME OWNERSHIP, DIRECTION OR CONTROL OF SUCH
PERSON, THAT HAS BEEN REVOKED OR SUSPENDED WITHIN ONE YEAR FROM THE DATE
ON WHICH A CERTIFICATE OF REGISTRATION IS FILED.
(2) A NOTICE OF PROPOSED REVOCATION, SUSPENSION OR REFUSAL TO ISSUE
SHALL BE GIVEN TO THE PERSON THAT APPLIES FOR A CERTIFICATE OF REGISTRA-
TION PURSUANT TO THIS SECTION IN THE MANNER PRESCRIBED FOR A NOTICE OF
DEFICIENCY IN SUBSECTION (A) OF SECTION ONE THOUSAND EIGHTY-ONE OF THIS
CHAPTER, AND EXCEPT AS OTHERWISE PROVIDED HEREIN, ALL THE PROVISIONS OF
ARTICLE TWENTY-SEVEN OF THIS CHAPTER APPLICABLE TO A NOTICE OF DEFICIEN-
CY SHALL APPLY TO A NOTICE ISSUED PURSUANT TO THIS PARAGRAPH, INSOFAR AS
SUCH PROVISIONS CAN BE MADE APPLICABLE TO SUCH NOTICE, AND WITH SUCH
MODIFICATIONS AS MAY BE NECESSARY IN ORDER TO ADAPT THE LANGUAGE OF SUCH
PROVISIONS TO THE NOTICE AUTHORIZED BY THIS PARAGRAPH. ALL NOTICES OF
PROPOSED REVOCATION, SUSPENSION OR REFUSAL TO ISSUE SHALL CONTAIN A
STATEMENT ADVISING THE PERSON TO WHOM IT IS ISSUED THAT THE SUSPENSION,
REVOCATION OR REFUSAL TO ISSUE MAY BE CHALLENGED THROUGH A HEARING PROC-
ESS AND THAT THE PETITION FOR SUCH CHALLENGE MUST BE FILED WITH THE
DIVISION OF TAX APPEALS WITHIN NINETY DAYS AFTER THE GIVING OF SUCH
NOTICE.
(3) IN THE CASE OF A PROPOSED REVOCATION OR SUSPENSION, NOTICE OF
SUCH MUST BE GIVEN TO A PERSON WITHIN THREE YEARS FROM THE DATE OF THE
ACT OR OMISSION DESCRIBED IN PARAGRAPH ONE OF THIS SUBDIVISION, EXCEPT
THAT IN THE CASE OF ACTS INVOLVING FALSITY OR FRAUD, SUCH NOTICE MAY BE
ISSUED AT ANY TIME.
(4) IN ANY OF THE FOREGOING INSTANCES WHERE THE COMMISSIONER MAY
SUSPEND OR REVOKE OR REFUSE TO ISSUE A CERTIFICATE OF REGISTRATION, THE
COMMISSIONER MAY CONDITION THE RETENTION OR ISSUANCE OF A CERTIFICATE OF
REGISTRATION UPON THE FILING OF A BOND OR THE DEPOSIT OF TAX IN THE
MANNER PROVIDED IN PARAGRAPH TWO OR THREE OF SUBDIVISION (E) OF SECTION
ELEVEN HUNDRED THIRTY-SEVEN OF THIS CHAPTER.
(D) IF THE COMMISSIONER CONSIDERS IT NECESSARY FOR THE PROPER ADMINIS-
TRATION OF THE FEE IMPOSED BY THIS ARTICLE, HE OR SHE MAY REQUIRE EVERY
PERSON WHO HOLDS A CERTIFICATE OF REGISTRATION ISSUED PURSUANT TO THIS
SECTION TO APPLY FOR A NEW CERTIFICATE OF REGISTRATION IN SUCH FORM AND
AT SUCH TIME AS THE COMMISSIONER MAY PRESCRIBE, AND TO SURRENDER EACH
PREVIOUSLY ISSUED CERTIFICATE OF REGISTRATION. THE COMMISSIONER MAY
REQUIRE SUCH FILING AND SUCH SURRENDER NOT MORE OFTEN THAN ONCE EVERY
A. 3009--B 78
THREE YEARS. UPON THE FILING OF AN APPLICATION FOR A NEW CERTIFICATE OF
REGISTRATION AND THE SURRENDER OF ALL PREVIOUS SUCH CERTIFICATES, THE
COMMISSIONER SHALL ISSUE, WITHIN SUCH TIME AS THE COMMISSIONER MAY
PRESCRIBE, A NEW CERTIFICATE OF REGISTRATION, WITHOUT CHARGE, TO EACH
REGISTRANT.
§ 1299-Q. RETURNS AND PAYMENT OF FEE. (A) EVERY PERSON LIABLE FOR THE
FEE IMPOSED BY THIS ARTICLE SHALL FILE A RETURN WITH THE COMMISSIONER ON
A MONTHLY BASIS. EACH RETURN SHALL SHOW THE NUMBER OF DELIVERY TRANS-
ACTIONS COMPLETED SUBJECT TO THE FEE IMPOSED BY THIS ARTICLE IN THE
MONTH FOR WHICH THE RETURN IS FILED, ALONG WITH SUCH OTHER INFORMATION
AS THE COMMISSIONER MAY REQUIRE. THE RETURNS REQUIRED BY THIS SECTION
SHALL BE FILED WITHIN TWENTY DAYS AFTER THE END OF THE MONTH COVERED
THEREBY. IF THE COMMISSIONER DEEMS IT NECESSARY TO ENSURE THE PAYMENT OF
THE FEE IMPOSED BY THIS ARTICLE, HE OR SHE MAY REQUIRE RETURNS TO BE
MADE FOR SHORTER PERIODS THAN PRESCRIBED BY THE FOREGOING PROVISIONS OF
THIS SECTION, AND UPON SUCH DATES AS MAY BE SPECIFIED. THE FORM OF
RETURNS SHALL BE PRESCRIBED BY THE COMMISSIONER AND SHALL CONTAIN SUCH
INFORMATION AS THE COMMISSIONER MAY DEEM NECESSARY FOR THE PROPER ADMIN-
ISTRATION OF THIS ARTICLE. THE COMMISSIONER MAY REQUIRE THAT RETURNS BE
FILED ELECTRONICALLY.
(B) EVERY PERSON LIABLE FOR THE FEE IMPOSED BY THIS ARTICLE SHALL, AT
THE TIME OF FILING SUCH RETURN, PAY TO THE COMMISSIONER THE TOTAL AMOUNT
OF ALL FEES DUE UNDER THIS ARTICLE. SUCH AMOUNT SHALL BE DUE AND PAYABLE
ON THE DATE SPECIFIED FOR THE FILING OF THE RETURN FOR SUCH PERIOD,
WITHOUT REGARD TO WHETHER A RETURN IS FILED, OR WHETHER THE RETURN THAT
IS FILED CORRECTLY SHOWS THE CORRECT NUMBER OF DELIVERY TRANSACTIONS ARE
SUBJECT TO THE FEE, OR THE CORRECT FEE AMOUNT DUE THEREON. THE COMMIS-
SIONER MAY REQUIRE THAT THE FEE BE PAID ELECTRONICALLY.
(C) IN ADDITION TO ANY OTHER PENALTY OR INTEREST PROVIDED FOR UNDER
THIS ARTICLE OR OTHER LAW, AND UNLESS IT IS SHOWN THAT SUCH FAILURE IS
DUE TO REASONABLE CAUSE AND NOT DUE TO WILLFUL NEGLECT, ANY PERSON
LIABLE FOR THE FEE IMPOSED BY THIS ARTICLE THAT FAILS TO PAY SUCH FEE
WHEN DUE SHALL BE LIABLE FOR A PENALTY IN AN AMOUNT EQUAL TO TWO HUNDRED
PERCENT OF THE TOTAL FEE AMOUNT THAT IS DUE.
§ 1299-R. RECORDS TO BE KEPT. EVERY PERSON LIABLE FOR THE FEE IMPOSED
BY THIS ARTICLE SHALL KEEP, AND SHALL MAKE AVAILABLE FOR REVIEW UPON
DEMAND BY THE COMMISSIONER:
(A) RECORDS OF DELIVERY TRANSACTION COMPLETED BY SUCH PERSON, INCLUD-
ING ALL AMOUNTS PAID, CHARGED OR DUE THEREON, IN SUCH FORM AS THE
COMMISSIONER MAY REQUIRE;
(B) TRUE AND COMPLETE COPIES OF ANY RECORDS REQUIRED TO BE KEPT BY ANY
APPLICABLE REGULATORY DEPARTMENT OR AGENCY; AND
(C) SUCH OTHER RECORDS AND INFORMATION AS THE COMMISSIONER MAY REQUIRE
TO PERFORM HIS OR HER DUTIES UNDER THIS ARTICLE.
§ 1299-S. SECRECY OF RETURNS. (A) 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, ANY PERSON
ENGAGED OR RETAINED BY THE DEPARTMENT ON AN INDEPENDENT CONTRACT BASIS,
OR ANY PERSON WHO IN ANY MANNER MAY ACQUIRE KNOWLEDGE OF THE CONTENTS OF
A RETURN FILED WITH THE COMMISSIONER PURSUANT TO THIS ARTICLE, TO
DIVULGE OR MAKE KNOWN IN ANY MANNER ANY PARTICULARS SET FORTH OR
DISCLOSED IN ANY SUCH RETURN. THE OFFICERS CHARGED WITH THE CUSTODY OF
SUCH RETURNS SHALL NOT BE REQUIRED TO PRODUCE ANY OF THEM OR EVIDENCE OF
ANYTHING CONTAINED IN THEM IN ANY ACTION OR PROCEEDING IN ANY COURT,
EXCEPT ON BEHALF OF THE COMMISSIONER IN AN ACTION OR PROCEEDING UNDER
THE PROVISIONS OF THIS CHAPTER, OR IN ANY OTHER ACTION OR PROCEEDING
A. 3009--B 79
INVOLVING THE COLLECTION OF A TAX DUE UNDER THIS CHAPTER TO WHICH THE
STATE, THE COMMISSIONER OR AN AGENCY THAT IS AUTHORIZED TO PERMIT OR
REGULATE THE PROVISION OF ANY RELEVANT TRANSPORTATION IS A PARTY OR A
CLAIMANT, OR ON BEHALF OF ANY PARTY TO ANY ACTION, PROCEEDING OR HEARING
UNDER THE PROVISIONS OF THIS ARTICLE, WHEN THE RETURNS OR THE FACTS
SHOWN THEREBY ARE DIRECTLY INVOLVED IN SUCH ACTION, PROCEEDING OR HEAR-
ING, IN ANY OF WHICH EVENTS THE COURT, OR IN THE CASE OF A HEARING, THE
DIVISION OF TAX APPEALS, MAY REQUIRE THE PRODUCTION OF, AND MAY ADMIT IN
EVIDENCE SO MUCH OF SAID RETURNS OR OF THE FACTS SHOWN THEREBY AS ARE
PERTINENT TO THE ACTION OR PROCEEDING AND NO MORE. NOTHING HEREIN SHALL
BE CONSTRUED, HOWEVER, TO PROHIBIT THE COMMISSIONER, IN HIS OR HER
DISCRETION, FROM ALLOWING THE INSPECTION OR DELIVERY OF A CERTIFIED COPY
OF ANY RETURN FILED UNDER THIS ARTICLE, OR FROM PROVIDING ANY INFORMA-
TION CONTAINED IN ANY SUCH RETURN, BY OR TO A DULY AUTHORIZED OFFICER OR
EMPLOYEE OF THE COMPTROLLER; NOR TO PROHIBIT THE INSPECTION OR DELIVERY
OF A CERTIFIED COPY OF ANY RETURN FILED UNDER THIS ARTICLE, OR THE
PROVISION OF ANY INFORMATION CONTAINED THEREIN, BY OR TO THE ATTORNEY
GENERAL OR OTHER LEGAL REPRESENTATIVES OF THE STATE WHEN AN ACTION SHALL
HAVE BEEN RECOMMENDED OR COMMENCED PURSUANT TO THIS CHAPTER IN WHICH
SUCH RETURNS OR THE FACTS SHOWN THEREBY ARE DIRECTLY INVOLVED; NOR TO
PROHIBIT THE COMMISSIONER FROM PROVIDING OR CERTIFYING TO THE DIVISION
OF THE BUDGET OR THE COMPTROLLER THE TOTAL NUMBER OF RETURNS FILED UNDER
THIS ARTICLE IN ANY REPORTING PERIOD AND THE TOTAL COLLECTIONS RECEIVED
THEREFROM; NOR TO PROHIBIT THE DELIVERY TO A PERSON LIABLE FOR THE FEE
IMPOSED BY THIS ARTICLE, OR A DULY AUTHORIZED REPRESENTATIVE OF SUCH, A
CERTIFIED COPY OF ANY RETURN FILED BY SUCH PERSON PURSUANT TO THIS ARTI-
CLE, NOR TO PROHIBIT THE PUBLICATION OF STATISTICS SO CLASSIFIED AS TO
PREVENT THE IDENTIFICATION OF PARTICULAR RETURNS AND THE ITEMS THEREOF;
NOR TO PROHIBIT THE DISCLOSURE, IN SUCH MANNER AS THE COMMISSIONER DEEMS
APPROPRIATE, OF THE NAMES AND OTHER APPROPRIATE IDENTIFYING INFORMATION
OF THOSE PERSONS REQUIRED TO PAY THE FEE IMPOSED BY THIS ARTICLE.
(B) NOTWITHSTANDING THE PROVISIONS OF SUBDIVISION (A) OF THIS SECTION,
THE COMMISSIONER MAY PERMIT THE SECRETARY OF THE TREASURY OF THE UNITED
STATES OR SUCH SECRETARY'S DELEGATE, OR THE AUTHORIZED REPRESENTATIVE OF
EITHER SUCH OFFICER, TO INSPECT ANY RETURN FILED UNDER THIS ARTICLE, OR
MAY FURNISH TO SUCH OFFICER OF SUCH OFFICER'S AUTHORIZED REPRESENTATIVE
AN ABSTRACT OF ANY SUCH RETURN OR SUPPLY SUCH PERSON WITH INFORMATION
CONCERNING AN ITEM CONTAINED IN ANY SUCH RETURN, OR DISCLOSED BY ANY
INVESTIGATION OF LIABILITY UNDER THIS ARTICLE, BUT SUCH PERMISSION SHALL
BE GRANTED OR SUCH INFORMATION FURNISHED ONLY IF THE LAWS OF THE UNITED
STATES GRANT SUBSTANTIALLY SIMILAR PRIVILEGES TO THE COMMISSIONER OR
OFFICER OF THIS STATE CHARGED WITH THE ADMINISTRATION OF THE FEE IMPOSED
BY THIS ARTICLE, AND ONLY IF SUCH INFORMATION IS TO BE USED FOR PURPOSES
OF TAX ADMINISTRATION ONLY; AND PROVIDED FURTHER THE COMMISSIONER MAY
FURNISH TO THE COMMISSIONER OF INTERNAL REVENUE OR SUCH COMMISSIONER'S
AUTHORIZED REPRESENTATIVE SUCH RETURNS FILED UNDER THIS ARTICLE AND
OTHER TAX INFORMATION, AS SUCH COMMISSIONER MAY CONSIDER PROPER, FOR USE
IN COURT ACTIONS OR PROCEEDINGS UNDER THE INTERNAL REVENUE CODE, WHETHER
CIVIL OR CRIMINAL, WHERE A WRITTEN REQUEST THEREFOR HAS BEEN MADE TO THE
COMMISSIONER BY THE SECRETARY OF THE TREASURY OF THE UNITED STATES OR
SUCH SECRETARY'S DELEGATE, PROVIDED THE LAWS OF THE UNITED STATES GRANT
SUBSTANTIALLY SIMILAR POWERS TO THE SECRETARY OF THE TREASURY OF THE
UNITED STATES OR HIS OR HER DELEGATE. WHERE THE COMMISSIONER HAS SO
AUTHORIZED USE OF RETURNS AND OTHER INFORMATION IN SUCH ACTIONS OR
PROCEEDINGS, OFFICERS AND EMPLOYEES OF THE DEPARTMENT MAY TESTIFY IN
A. 3009--B 80
SUCH ACTIONS OR PROCEEDINGS IN RESPECT TO SUCH RETURNS OR OTHER INFORMA-
TION.
(C)(1) ANY OFFICER OR EMPLOYER OF THE STATE WHO WILLFULLY VIOLATES THE
PROVISIONS OF SUBDIVISION (A) OF THIS SECTION SHALL BE DISMISSED FROM
OFFICE AND BE INCAPABLE OF HOLDING ANY PUBLIC OFFICE FOR A PERIOD OF
FIVE YEARS THEREAFTER.
(2) CROSS-REFERENCE: FOR CRIMINAL PENALTIES, SEE ARTICLE THIRTY-SEVEN
OF THIS CHAPTER.
§ 1299-T. PRACTICE AND PROCEDURE. THE PROVISIONS OF ARTICLE TWENTY-
EIGHT OF THIS CHAPTER SHALL APPLY WITH RESPECT TO THE ADMINISTRATION OF
AND PROCEDURE WITH RESPECT TO THE FEE IMPOSED BY THIS ARTICLE IN THE
SAME MANNER AND WITH THE SAME FORCE AND EFFECT AS IF THE LANGUAGE OF
SUCH ARTICLE TWENTY-EIGHT HAD BEEN INCORPORATED IN FULL INTO THIS ARTI-
CLE AND HAD EXPRESSLY REFERRED TO THE FEE IMPOSED BY THIS ARTICLE,
EXCEPT TO THE EXTENT THAT ANY SUCH PROVISION IS EITHER INCONSISTENT WITH
A PROVISION OF THIS ARTICLE OR IS NOT RELEVANT TO THIS ARTICLE.
§ 1299-U. DEPOSIT AND DISPOSITION OF REVENUE. ALL TAXES, INTEREST AND
PENALTIES COLLECTED OR RECEIVED BY THE COMMISSIONER UNDER THIS ARTICLE
SHALL BE DEPOSITED AND DISPOSED OF PURSUANT TO THE PROVISIONS OF SECTION
ONE HUNDRED SEVENTY-ONE-A OF THIS CHAPTER, EXCEPT THAT AFTER RESERVING
AMOUNTS IN ACCORDANCE WITH SUCH SECTION ONE HUNDRED SEVENTY-ONE-A OF
THIS CHAPTER:
(A) ALL TAXES, INTEREST AND PENALTIES COLLECTED OR RECEIVED WITHIN
THE COUNTIES OF THE CITY OF NEW YORK BE DEPOSITED AND DISPOSED DAILY
WITH SUCH RESPONSIBLE BANKS, BANKING HOUSES OR TRUST COMPANIES, AS MAY
BE DESIGNATED BY THE COMPTROLLER, IN TRUST FOR THE CREDIT OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY. AN ACCOUNT MAY BE ESTABLISHED IN ONE
OR MORE OF SUCH DEPOSITORIES. SUCH DEPOSITS WILL BE KEPT SEPARATE AND
APART FROM ALL OTHER MONEY IN THE POSSESSION OF THE COMPTROLLER. OF THE
TOTAL REVENUE COLLECTED OR RECEIVED UNDER THIS ARTICLE, THE COMPTROLLER
SHALL RETAIN SUCH AMOUNT AS THE COMMISSIONER MAY DETERMINE TO BE NECES-
SARY FOR REFUNDS UNDER THIS ARTICLE. ON OR BEFORE THE TWELFTH DAY OF
EACH MONTH, AFTER RESERVING SUCH AMOUNT FOR SUCH REFUNDS AND DEDUCTING
SUCH AMOUNTS FOR SUCH COSTS, THE COMMISSIONER SHALL CERTIFY TO THE COMP-
TROLLER THE AMOUNT OF ALL REVENUES RECEIVED PURSUANT TO THIS ARTICLE
DURING THE PRIOR MONTH AS A RESULT OF THE TAX IMPOSED, INCLUDING ANY
INTEREST AND PENALTIES THEREON. THE AMOUNT OF REVENUES SO CERTIFIED OVER
THE PRIOR THREE MONTHS IN TOTAL SHALL BE PAID OVER BY THE FIFTEENTH DAY
OF THE LAST MONTH OF EACH CALENDAR QUARTER FROM SUCH ACCOUNT, WITHOUT
APPROPRIATION, INTO THE CORPORATE TRANSPORTATION ACCOUNT OF THE METRO-
POLITAN TRANSPORTATION AUTHORITY SPECIAL ASSISTANCE FUND ESTABLISHED BY
SECTION TWELVE HUNDRED SEVENTY-A OF THE PUBLIC AUTHORITIES LAW FOR THE
COSTS OF THE NEW YORK CITY TRANSIT AUTHORITY, TO BE APPLIED AS PROVIDED
IN PARAGRAPH (E) OF SUBDIVISION FOUR OF SUCH SECTION.
(B) ALL TAXES, INTEREST AND PENALTIES COLLECTED OR RECEIVED WITH
RESPECT TO THOSE COUNTIES, EXCLUDING THE COUNTIES WITHIN THE CITY OF NEW
YORK, COMPRISING THE METROPOLITAN COMMUTER TRANSPORTATION DISTRICT, AS
DEFINED BY THE PROVISIONS OF SECTION TWELVE HUNDRED SIXTY-TWO OF THE
PUBLIC AUTHORITIES LAW, SHALL BE PAID INTO THE CREDIT OF THE METROPOL-
ITAN MASS TRANSPORTATION OPERATING ASSISTANCE ACCOUNT ESTABLISHED BY
SECTION EIGHTY-EIGHT-A OF THE STATE FINANCE LAW.
(C) ALL TAXES, INTEREST AND PENALTIES COLLECTED OR RECEIVED OUTSIDE OF
THE METROPOLITAN COMMUTER TRANSPORTATION SHALL BE PAID TO THE CREDIT OF
THE PUBLIC TRANSPORTATION SYSTEMS OPERATING ASSISTANCE ACCOUNT ESTAB-
LISHED BY SECTION EIGHTY-EIGHT-A OF THE STATE FINANCE LAW.
A. 3009--B 81
§ 1299-V. COOPERATION BY REGULATORY AGENCIES. ALL REGULATORY AGENCIES
SHALL COOPERATE WITH AND ASSIST THE COMMISSIONER TO EFFECTUATE THE
PURPOSES OF THIS ARTICLE AND THE COMMISSIONER'S RESPONSIBILITIES HERE-
UNDER. SUCH COOPERATION SHALL ALSO INCLUDE FURNISHING TO THE COMMISSION-
ER ALL WRITTEN, COMPUTERIZED, AUTOMATED OR ELECTRONIC RECORDS IN THE
REGULATORY AGENCY'S POSSESSION, OR IN THE POSSESSION OF ANY OF ITS
AGENTS, INSTRUMENTALITIES, CONTRACTORS, OR ANY OTHER PERSON AUTHORIZED
OR REQUIRED TO OBTAIN OR POSSESS SUCH RECORDS OR INFORMATION, THAT
ACCOUNT FOR ANY PERSON OR ENTITY LIABLE UNDER THIS ARTICLE. SUCH INFOR-
MATION SHALL BE PROVIDED TO THE COMMISSIONER WITHOUT COST, AND IN A
FORMAT PRESCRIBED BY THE COMMISSIONER.
§ 2. The closing paragraph of subdivision 1 of section 1270-a of the
public authorities law, as amended by section 7 of part FF of chapter 58
of the laws of 2019, is amended to read as follows:
The authority shall make deposits in the transit account and the
commuter railroad account of the moneys received by it pursuant to the
provisions of subdivision one of section two hundred sixty-one of the
tax law in accordance with the provisions thereof, and shall make depos-
its in the corporate transportation account of the moneys received by it
pursuant to the provisions of subdivision two of section two hundred
sixty-one of the tax law and section ninety-two-ff of the state finance
law. The comptroller shall deposit, without appropriation, into the
corporate transportation account the revenue fees, taxes, interest and
penalties collected in accordance with paragraph (b-1) of subdivision
two of section five hundred three of the vehicle and traffic law, para-
graph (c-3) of subdivision two of section five hundred three of the
vehicle and traffic law, article seventeen-C of the vehicle and traffic
law, article twenty-nine-A of the tax law and section eleven hundred
sixty-six-a of the tax law, AND SUBDIVISION (A) OF SECTION TWELVE
HUNDRED NINETY-NINE-U OF THE TAX LAW.
§ 3. Paragraph (a) of subdivision 5 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "public transportation systems operating assistance account"
shall consist of revenues required to be deposited therein pursuant to
the provisions of section one hundred eighty-two-a of the tax law,
SUBDIVISION (C) OF SECTION TWELVE HUNDRED NINETY-NINE-U OF THE TAX LAW
and all other moneys credited or transferred thereto from any other fund
or source pursuant to law.
§ 4. Paragraph (a) of subdivision 7 of section 88-a of the state
finance law, as added by chapter 481 of the laws of 1981, is amended to
read as follows:
(a) The "metropolitan mass transportation operating assistance
account" shall consist of the revenues derived from the taxes for the
metropolitan transportation district imposed by section eleven hundred
nine of the tax law and that proportion of the receipts received pursu-
ant to the tax imposed by article nine-a of such law as specified in
section one hundred seventy-one-a of such law, AND SUBDIVISION (B) OF
SECTION TWELVE HUNDRED NINETY-NINE-U OF THE TAX LAW, and that proportion
of the receipts received pursuant to the tax imposed by article nine of
such law as specified in section two hundred five of such law, and the
receipts required to be deposited pursuant to the provisions of section
one hundred eighty-two-a, and all other moneys credited or transferred
thereto from any other fund or source pursuant to law.
§ 5. This act shall take effect immediately and shall apply to all
delivery transactions on or after September 1, 2023.
A. 3009--B 82
PART KK
Section 1. Paragraphs (a) and (b) of subdivision 4 of section 189 of
the state finance law, as amended by section 8 of part A of chapter 56
of the laws of 2013, are amended to read as follows:
(a) This section shall apply to [claims, records, or statements made
under the] tax law VIOLATIONS only if: (i) the net income or sales of
the person against whom the action is brought equals or exceeds one
million dollars for any taxable year subject to any action brought
pursuant to this article; (ii) the damages pleaded in such action exceed
three hundred and fifty thousand dollars; [and (iii) the person is
alleged to have violated paragraph (a), (b), (c), (d), (e), (f) or (g)
of subdivision one of this section; provided, however, that nothing in
this subparagraph shall be deemed to modify or restrict the application
of such paragraphs to any act alleged that relates to a violation of the
tax law] PROVIDED THAT (III) FOR PURPOSES OF APPLYING PARAGRAPH (H) OF
SUBDIVISION ONE OF THIS SECTION TO A TAX LAW VIOLATION, THE PERSON IS
ALLEGED TO HAVE KNOWINGLY CONCEALED OR KNOWINGLY AND IMPROPERLY AVOIDED
AN OBLIGATION TO PAY TAXES TO THE STATE OR A LOCAL GOVERNMENT.
(b) The attorney general shall consult with the commissioner of the
department of taxation and finance prior to filing or intervening in any
action under this article that is based on [the filing of false claims,
records or statements made under the tax law] A VIOLATION OF THE TAX
LAW. If the state declines to participate or to authorize participation
by a local government in such an action pursuant to subdivision two of
section one hundred ninety of this article, the qui tam plaintiff must
obtain approval from the attorney general before making any motion to
compel the department of taxation and finance to disclose tax records.
§ 2. Nothing in this act shall be deemed to modify or restrict the
application of paragraph (a), (b), (c), (d), (e), (f) or (g) of subdivi-
sion 1 of section 189 of the state finance law to any act alleged that
relates to a violation of the tax law.
§ 3. This act shall take effect immediately and in any pending case
shall apply to any tax obligation knowingly concealed or knowingly
avoided before, on, or after such effective date.
PART LL
Section 1. The state comptroller is hereby authorized and directed to
loan money in accordance with the provisions set forth in subdivision 5
of section 4 of the state finance law to the following funds and/or
accounts:
1. DOL-Child performer protection account (20401).
2. Local government records management account (20501).
3. Child health plus program account (20810).
4. EPIC premium account (20818).
5. Education - New (20901).
6. VLT - Sound basic education fund (20904).
7. Sewage treatment program management and administration fund
(21000).
8. Hazardous bulk storage account (21061).
9. Utility environmental regulatory account (21064).
10. Federal grants indirect cost recovery account (21065).
11. Low level radioactive waste account (21066).
12. Recreation account (21067).
13. Public safety recovery account (21077).
A. 3009--B 83
14. Environmental regulatory account (21081).
15. Natural resource account (21082).
16. Mined land reclamation program account (21084).
17. Great lakes restoration initiative account (21087).
18. Environmental protection and oil spill compensation fund (21200).
19. Public transportation systems account (21401).
20. Metropolitan mass transportation (21402).
21. Operating permit program account (21451).
22. Mobile source account (21452).
23. Statewide planning and research cooperative system account
(21902).
24. New York state thruway authority account (21905).
25. Mental hygiene program fund account (21907).
26. Mental hygiene patient income account (21909).
27. Financial control board account (21911).
28. Regulation of racing account (21912).
29. State university dormitory income reimbursable account (21937).
30. Criminal justice improvement account (21945).
31. Environmental laboratory reference fee account (21959).
32. Training, management and evaluation account (21961).
33. Clinical laboratory reference system assessment account (21962).
34. Indirect cost recovery account (21978).
35. Multi-agency training account (21989).
36. Bell jar collection account (22003).
37. Industry and utility service account (22004).
38. Real property disposition account (22006).
39. Parking account (22007).
40. Courts special grants (22008).
41. Asbestos safety training program account (22009).
42. Batavia school for the blind account (22032).
43. Investment services account (22034).
44. Surplus property account (22036).
45. Financial oversight account (22039).
46. Regulation of Indian gaming account (22046).
47. Rome school for the deaf account (22053).
48. Seized assets account (22054).
49. Administrative adjudication account (22055).
50. New York City assessment account (22062).
51. Cultural education account (22063).
52. Local services account (22078).
53. DHCR mortgage servicing account (22085).
54. Housing indirect cost recovery account (22090).
55. Voting Machine Examinations account (22099).
56. DHCR-HCA application fee account (22100).
57. Low income housing monitoring account (22130).
58. Restitution account (22134).
59. Corporation administration account (22135).
60. New York State Home for Veterans in the Lower-Hudson Valley
account (22144).
61. Deferred compensation administration account (22151).
62. Rent revenue other New York City account (22156).
63. Rent revenue account (22158).
64. Transportation aviation account (22165).
65. Tax revenue arrearage account (22168).
66. New York State Campaign Finance Fund account (22211).
67. New York state medical indemnity fund account (22240).
A. 3009--B 84
68. Behavioral health parity compliance fund (22246).
69. Pharmacy benefit manager regulatory fund (22255).
70. State university general income offset account (22654).
71. Lake George park trust fund account (22751).
72. Highway safety program account (23001).
73. DOH drinking water program account (23102).
74. NYCCC operating offset account (23151).
75. Commercial gaming revenue account (23701).
76. Commercial gaming regulation account (23702).
77. Highway use tax administration account (23801).
78. New York state secure choice administrative account (23806).
79. New York state cannabis revenue fund (24800).
80. Fantasy sports administration account (24951).
81. Mobile sports wagering fund (24955).
82. Highway and bridge capital account (30051).
83. State university residence hall rehabilitation fund (30100).
84. State parks infrastructure account (30351).
85. Clean water/clean air implementation fund (30500).
86. Hazardous waste remedial cleanup account (31506).
87. Youth facilities improvement account (31701).
88. Housing assistance fund (31800).
89. Housing program fund (31850).
90. Highway facility purpose account (31951).
91. New York racing account (32213).
92. Capital miscellaneous gifts account (32214).
93. Information technology capital financing account (32215).
94. New York environmental protection and spill remediation account
(32219).
95. Mental hygiene facilities capital improvement fund (32300).
96. Correctional facilities capital improvement fund (32350).
97. New York State Storm Recovery Capital Fund (33000).
98. OGS convention center account (50318).
99. Empire Plaza Gift Shop (50327).
100. Unemployment Insurance Benefit Fund, Interest Assessment Account
(50651).
101. Centralized services fund (55000).
102. Archives records management account (55052).
103. Federal single audit account (55053).
104. Civil service administration account (55055).
105. Civil service EHS occupational health program account (55056).
106. Banking services account (55057).
107. Cultural resources survey account (55058).
108. Neighborhood work project account (55059).
109. Automation & printing chargeback account (55060).
110. OFT NYT account (55061).
111. Data center account (55062).
112. Intrusion detection account (55066).
113. Domestic violence grant account (55067).
114. Centralized technology services account (55069).
115. Labor contact center account (55071).
116. Human services contact center account (55072).
117. Tax contact center account (55073).
118. Department of law civil recoveries account (55074).
119. Executive direction internal audit account (55251).
120. CIO Information technology centralized services account (55252).
121. Health insurance internal service account (55300).
A. 3009--B 85
122. Civil service employee benefits division administrative account
(55301).
123. Correctional industries revolving fund (55350).
124. Employees health insurance account (60201).
125. Medicaid management information system escrow fund (60900).
126. Virtual currency assessments account.
§ 1-a. The state comptroller is hereby authorized and directed to loan
money in accordance with the provisions set forth in subdivision 5 of
section 4 of the state finance law to any account within the following
federal funds, provided the comptroller has made a determination that
sufficient federal grant award authority is available to reimburse such
loans:
1. Federal USDA-food and nutrition services fund (25000).
2. Federal health and human services fund (25100).
3. Federal education fund (25200).
4. Federal block grant fund (25250).
5. Federal miscellaneous operating grants fund (25300).
6. Federal unemployment insurance administration fund (25900).
7. Federal unemployment insurance occupational training fund (25950).
8. Federal emergency employment act fund (26000).
9. Federal capital projects fund (31350).
§ 2. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, on
or before March 31, 2024, up to the unencumbered balance or the follow-
ing amounts:
Economic Development and Public Authorities:
1. $1,175,000 from the miscellaneous special revenue fund, underground
facilities safety training account (22172), to the general fund.
2. An amount up to the unencumbered balance from the miscellaneous
special revenue fund, business and licensing services account (21977),
to the general fund.
3. $19,810,000 from the miscellaneous special revenue fund, code
enforcement account (21904), to the general fund.
4. $3,000,000 from the general fund to the miscellaneous special
revenue fund, tax revenue arrearage account (22168).
Education:
1. $2,314,000,000 from the general fund to the state lottery fund,
education account (20901), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c of
the state finance law that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
2. $1,033,000,000 from the general fund to the state lottery fund, VLT
education account (20904), as reimbursement for disbursements made from
such fund for supplemental aid to education pursuant to section 92-c of
the state finance law that are in excess of the amounts deposited in
such fund for such purposes pursuant to section 1612 of the tax law.
3. $131,200,000 from the general fund to the New York state commercial
gaming fund, commercial gaming revenue account (23701), as reimbursement
for disbursements made from such fund for supplemental aid to education
pursuant to section 97-nnnn of the state finance law that are in excess
of the amounts deposited in such fund for purposes pursuant to section
1352 of the racing, pari-mutuel wagering and breeding law.
4. $895,897,000 from the general fund to the mobile sports wagering
fund, education account (24955), as reimbursement for disbursements made
from such fund for supplemental aid to education pursuant to section
A. 3009--B 86
92-c of the state finance law that are in excess of the amounts deposit-
ed in such fund for such purposes pursuant to section 1367 of the
racing, pari-mutuel wagering and breeding law.
5. $7,000,000 from the interactive fantasy sports fund, fantasy sports
education account (24950), to the state lottery fund, education account
(20901), as reimbursement for disbursements made from such fund for
supplemental aid to education pursuant to section 92-c of the state
finance law.
6. An amount up to the unencumbered balance in the fund on March 31,
2024 from the charitable gifts trust fund, elementary and secondary
education account (24901), to the general fund, for payment of general
support for public schools pursuant to section 3609-a of the education
law.
7. Moneys from the state lottery fund (20900) up to an amount deposit-
ed in such fund pursuant to section 1612 of the tax law in excess of the
current year appropriation for supplemental aid to education pursuant to
section 92-c of the state finance law.
8. $300,000 from the New York state local government records manage-
ment improvement fund, local government records management account
(20501), to the New York state archives partnership trust fund, archives
partnership trust maintenance account (20351).
9. $900,000 from the general fund to the miscellaneous special revenue
fund, Batavia school for the blind account (22032).
10. $900,000 from the general fund to the miscellaneous special reven-
ue fund, Rome school for the deaf account (22053).
11. $343,400,000 from the state university dormitory income fund
(40350) to the miscellaneous special revenue fund, state university
dormitory income reimbursable account (21937).
12. $8,318,000 from the general fund to the state university income
fund, state university income offset account (22654), for the state's
share of repayment of the STIP loan.
13. Intentionally omitted.
14. $5,160,000 from the miscellaneous special revenue fund, office of
the professions account (22051), to the miscellaneous capital projects
fund, office of the professions electronic licensing account (32222).
15. $24,000,000 from any of the state education department's special
revenue and internal service funds to the miscellaneous special revenue
fund, indirect cost recovery account (21978).
16. $4,200,000 from any of the state education department's special
revenue or internal service funds to the capital projects fund (30000).
17. $30,013,000 from the general fund to the miscellaneous special
revenue fund, HESC-insurance premium payments account (21960).
Environmental Affairs:
1. $16,000,000 from any of the department of environmental conserva-
tion's special revenue federal funds, and/or federal capital funds, to
the environmental conservation special revenue fund, federal indirect
recovery account (21065).
2. $5,000,000 from any of the department of environmental conserva-
tion's special revenue federal funds, and/or federal capital funds, to
the conservation fund (21150) or Marine Resources Account (21151) as
necessary to avoid diversion of conservation funds.
3. $3,000,000 from any of the office of parks, recreation and historic
preservation capital projects federal funds and special revenue federal
funds to the miscellaneous special revenue fund, federal grant indirect
cost recovery account (22188).
A. 3009--B 87
4. $1,000,000 from any of the office of parks, recreation and historic
preservation special revenue federal funds to the miscellaneous capital
projects fund, I love NY water account (32212).
5. $100,000,000 from the general fund to the environmental protection
fund, environmental protection fund transfer account (30451).
6. $6,000,000 from the general fund to the hazardous waste remedial
fund, hazardous waste oversight and assistance account (31505).
7. An amount up to or equal to the cash balance within the special
revenue-other waste management & cleanup account (21053) to the capital
projects fund (30000) for services and capital expenses related to the
management and cleanup program as put forth in section 27-1915 of the
environmental conservation law.
8. $1,800,000 from the miscellaneous special revenue fund, public
service account (22011) to the miscellaneous special revenue fund, util-
ity environmental regulatory account (21064).
9. $7,000,000 from the general fund to the enterprise fund, state fair
account (50051).
10. $4,000,000 from the waste management & cleanup account (21053) to
the general fund.
11. $3,000,000 from the waste management & cleanup account (21053) to
the environmental protection fund transfer account (30451).
12. Up to $10,000,000 from the general fund to the miscellaneous
special revenue fund, patron services account (22163).
Family Assistance:
1. $7,000,000 from any of the office of children and family services,
office of temporary and disability assistance, or department of health
special revenue federal funds and the general fund, in accordance with
agreements with social services districts, to the miscellaneous special
revenue fund, office of human resources development state match account
(21967).
2. $4,000,000 from any of the office of children and family services
or office of temporary and disability assistance special revenue federal
funds to the miscellaneous special revenue fund, family preservation and
support services and family violence services account (22082).
3. $18,670,000 from any of the office of children and family services,
office of temporary and disability assistance, or department of health
special revenue federal funds and any other miscellaneous revenues
generated from the operation of office of children and family services
programs to the general fund.
4. $175,000,000 from any of the office of temporary and disability
assistance or department of health special revenue funds to the general
fund.
5. $2,500,000 from any of the office of temporary and disability
assistance special revenue funds to the miscellaneous special revenue
fund, office of temporary and disability assistance program account
(21980).
6. $35,000,000 from any of the office of children and family services,
office of temporary and disability assistance, department of labor, and
department of health special revenue federal funds to the office of
children and family services miscellaneous special revenue fund, multi-
agency training contract account (21989).
7. $205,000,000 from the miscellaneous special revenue fund, youth
facility per diem account (22186), to the general fund.
8. $621,850 from the general fund to the combined gifts, grants, and
bequests fund, WB Hoyt Memorial account (20128).
A. 3009--B 88
9. $5,000,000 from the miscellaneous special revenue fund, state
central registry (22028), to the general fund.
10. $900,000 from the general fund to the Veterans' Remembrance and
Cemetery Maintenance and Operation account (20201).
11. $905,000,000 from the general fund to the housing program fund
(31850).
12. Up to $10,000,000 from any of the office of children and family
services special revenue federal funds to the office of the court admin-
istration special revenue other federal iv-e funds account.
General Government:
1. $12,000,000 from the general fund to the health insurance revolving
fund (55300).
2. $292,400,000 from the health insurance reserve receipts fund
(60550) to the general fund.
3. $150,000 from the general fund to the not-for-profit revolving loan
fund (20650).
4. $150,000 from the not-for-profit revolving loan fund (20650) to the
general fund.
5. $3,000,000 from the miscellaneous special revenue fund, surplus
property account (22036), to the general fund.
6. $19,000,000 from the miscellaneous special revenue fund, revenue
arrearage account (22024), to the general fund.
7. $1,826,000 from the miscellaneous special revenue fund, revenue
arrearage account (22024), to the miscellaneous special revenue fund,
authority budget office account (22138).
8. $1,000,000 from the miscellaneous special revenue fund, parking
account (22007), to the general fund, for the purpose of reimbursing the
costs of debt service related to state parking facilities.
9. $11,460,000 from the general fund to the agencies internal service
fund, central technology services account (55069), for the purpose of
enterprise technology projects.
10. $10,000,000 from the general fund to the agencies internal service
fund, state data center account (55062).
11. $12,000,000 from the miscellaneous special revenue fund, parking
account (22007), to the centralized services, building support services
account (55018).
12. $30,000,000 from the general fund to the internal service fund,
business services center account (55022).
13. $8,000,000 from the general fund to the internal service fund,
building support services account (55018).
14. $1,500,000 from the combined expendable trust fund, plaza special
events account (20120), to the general fund.
15. $50,000,000 from the New York State cannabis revenue fund (24800)
to the general fund.
16. A transfer from the general fund to the miscellaneous special
revenue fund, New York State Campaign Finance Fund Account (22211), up
to an amount equal to total reimbursements due to qualified candidates.
17. $6,000,000 from the miscellaneous special revenue fund, standards
and purchasing account (22019), to the general fund.
Health:
1. A transfer from the general fund to the combined gifts, grants and
bequests fund, breast cancer research and education account (20155), up
to an amount equal to the monies collected and deposited into that
account in the previous fiscal year.
2. A transfer from the general fund to the combined gifts, grants and
bequests fund, prostate cancer research, detection, and education
A. 3009--B 89
account (20183), up to an amount equal to the moneys collected and
deposited into that account in the previous fiscal year.
3. A transfer from the general fund to the combined gifts, grants and
bequests fund, Alzheimer's disease research and assistance account
(20143), up to an amount equal to the moneys collected and deposited
into that account in the previous fiscal year.
4. $8,940,000 from the HCRA resources fund (20800) to the miscella-
neous special revenue fund, empire state stem cell trust fund account
(22161).
5. $3,600,000 from the miscellaneous special revenue fund, certificate
of need account (21920), to the miscellaneous capital projects fund,
healthcare IT capital subfund (32216).
6. $4,000,000 from the miscellaneous special revenue fund, vital
health records account (22103), to the miscellaneous capital projects
fund, healthcare IT capital subfund (32216).
7. $6,000,000 from the miscellaneous special revenue fund, profes-
sional medical conduct account (22088), to the miscellaneous capital
projects fund, healthcare IT capital subfund (32216).
8. $114,500,000 from the HCRA resources fund (20800) to the capital
projects fund (30000).
9. $6,550,000 from the general fund to the medical cannabis trust
fund, health operation and oversight account (23755).
10. An amount up to the unencumbered balance from the charitable gifts
trust fund, health charitable account (24900), to the general fund, for
payment of general support for primary, preventive, and inpatient health
care, dental and vision care, hunger prevention and nutritional assist-
ance, and other services for New York state residents with the overall
goal of ensuring that New York state residents have access to quality
health care and other related services.
11. $500,000 from the miscellaneous special revenue fund, New York
State cannabis revenue fund, to the miscellaneous special revenue fund,
environmental laboratory fee account (21959).
12. An amount up to the unencumbered balance from the public health
emergency charitable gifts trust fund to the general fund, for payment
of goods and services necessary to respond to a public health disaster
emergency or to assist or aid in responding to such a disaster.
13. $1,000,000,000 from the general fund to the health care transfor-
mation fund (24850).
14. $2,590,000 from the miscellaneous special revenue fund, patient
safety center account (22140), to the general fund.
15. $1,000,000 from the miscellaneous special revenue fund, nursing
home receivership account (21925), to the general fund.
16. $130,000 from the miscellaneous special revenue fund, quality of
care account (21915), to the general fund.
17. $2,200,000 from the miscellaneous special revenue fund, adult home
quality enhancement account (22091), to the general fund.
18. $7,429,000 from the general fund, to the miscellaneous special
revenue fund, helen hayes hospital account (22140).
19. $1,117,000 from the general fund, to the miscellaneous special
revenue fund, New York city veterans' home account (22141).
20. $813,000 from the general fund, to the miscellaneous special
revenue fund, New York state home for veterans' and their dependents at
oxford account (22142).
21. $313,000 from the general fund, to the miscellaneous special
revenue fund, western New York veterans' home account (22143).
A. 3009--B 90
22. $1,473,000 from the general fund, to the miscellaneous special
revenue fund, New York state for veterans in the lower-hudson valley
account (22144).
Labor:
1. $600,000 from the miscellaneous special revenue fund, DOL fee and
penalty account (21923), to the child performer's protection fund, child
performer protection account (20401).
2. $11,700,000 from the unemployment insurance interest and penalty
fund, unemployment insurance special interest and penalty account
(23601), to the general fund.
3. $50,000,000 from the DOL fee and penalty account (21923), unemploy-
ment insurance special interest and penalty account (23601), and public
work enforcement account (21998), to the general fund.
4. $850,000 from the miscellaneous special revenue fund, DOL elevator
safety program fund (22252) to the miscellaneous special revenue fund,
DOL fee and penalty account (21923).
Mental Hygiene:
1. $3,800,000 from the general fund, to the agencies internal service
fund, civil service EHS occupational health program account (55056).
2. $2,000,000 from the general fund, to the mental hygiene facilities
capital improvement fund (32300).
3. $20,000,000 from the opioid settlement fund (23817) to the miscel-
laneous capital projects fund, opioid settlement capital account.
4. $20,000,000 from the miscellaneous capital projects fund, opioid
settlement capital account to the opioid settlement fund (23817).
Public Protection:
1. $1,350,000 from the miscellaneous special revenue fund, emergency
management account (21944), to the general fund.
2. $2,587,000 from the general fund to the miscellaneous special
revenue fund, recruitment incentive account (22171).
3. $23,773,000 from the general fund to the correctional industries
revolving fund, correctional industries internal service account
(55350).
4. $2,000,000,000 from any of the division of homeland security and
emergency services special revenue federal funds to the general fund.
5. $115,420,000 from the state police motor vehicle law enforcement
and motor vehicle theft and insurance fraud prevention fund, state
police motor vehicle enforcement account (22802), to the general fund
for state operation expenses of the division of state police.
6. $138,272,000 from the general fund to the correctional facilities
capital improvement fund (32350).
7. $5,000,000 from the general fund to the dedicated highway and
bridge trust fund (30050) for the purpose of work zone safety activities
provided by the division of state police for the department of transpor-
tation.
8. $10,000,000 from the miscellaneous special revenue fund, statewide
public safety communications account (22123), to the capital projects
fund (30000).
9. $9,830,000 from the miscellaneous special revenue fund, legal
services assistance account (22096), to the general fund.
10. $1,000,000 from the general fund to the agencies internal service
fund, neighborhood work project account (55059).
11. $7,980,000 from the miscellaneous special revenue fund, finger-
print identification & technology account (21950), to the general fund.
A. 3009--B 91
12. $1,100,000 from the state police motor vehicle law enforcement and
motor vehicle theft and insurance fraud prevention fund, motor vehicle
theft and insurance fraud account (22801), to the general fund.
13. $14,400,000 from the general fund to the miscellaneous special
revenue fund, criminal justice improvement account (21945).
14. $2,000,000 from the general fund to the miscellaneous special
revenue fund, hazard mitigation revolving loan account.
Transportation:
1. $20,000,000 from the general fund to the mass transportation oper-
ating assistance fund, public transportation systems operating assist-
ance account (21401), of which $12,000,000 constitutes the base need for
operations.
2. $727,500,000 from the general fund to the dedicated highway and
bridge trust fund (30050).
3. $244,250,000 from the general fund to the MTA financial assistance
fund, mobility tax trust account (23651).
4. $5,000,000 from the miscellaneous special revenue fund, transporta-
tion regulation account (22067) to the dedicated highway and bridge
trust fund (30050), for disbursements made from such fund for motor
carrier safety that are in excess of the amounts deposited in the dedi-
cated highway and bridge trust fund (30050) for such purpose pursuant to
section 94 of the transportation law.
5. $477,000 from the miscellaneous special revenue fund, traffic adju-
dication account (22055), to the general fund.
6. $5,000,000 from the miscellaneous special revenue fund, transporta-
tion regulation account (22067) to the general fund, for disbursements
made from such fund for motor carrier safety that are in excess of the
amounts deposited in the general fund for such purpose pursuant to
section 94 of the transportation law.
Miscellaneous:
1. $250,000,000 from the general fund to any funds or accounts for the
purpose of reimbursing certain outstanding accounts receivable balances.
2. $500,000,000 from the general fund to the debt reduction reserve
fund (40000).
3. $450,000,000 from the New York state storm recovery capital fund
(33000) to the revenue bond tax fund (40152).
4. $15,500,000 from the general fund, community projects account GG
(10256), to the general fund, state purposes account (10050).
5. $100,000,000 from any special revenue federal fund to the general
fund, state purposes account (10050).
6. $8,250,000,000 from the special revenue federal fund, ARPA-Fiscal
Recovery Fund (25546) to the general fund, state purposes account
(10050) to cover eligible costs incurred by the state.
§ 3. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, on or before March 31, 2024:
1. Upon request of the commissioner of environmental conservation, up
to $12,745,400 from revenues credited to any of the department of envi-
ronmental conservation special revenue funds, including $4,000,000 from
the environmental protection and oil spill compensation fund (21200),
and $1,834,600 from the conservation fund (21150), to the environmental
conservation special revenue fund, indirect charges account (21060).
2. Upon request of the commissioner of agriculture and markets, up to
$3,000,000 from any special revenue fund or enterprise fund within the
department of agriculture and markets to the general fund, to pay appro-
priate administrative expenses.
A. 3009--B 92
3. Upon request of the commissioner of the division of housing and
community renewal, up to $6,221,000 from revenues credited to any divi-
sion of housing and community renewal federal or miscellaneous special
revenue fund to the miscellaneous special revenue fund, housing indirect
cost recovery account (22090).
4. Upon request of the commissioner of the division of housing and
community renewal, up to $5,500,000 may be transferred from any miscel-
laneous special revenue fund account, to any miscellaneous special
revenue fund.
5. Upon request of the commissioner of health up to $13,694,000 from
revenues credited to any of the department of health's special revenue
funds, to the miscellaneous special revenue fund, administration account
(21982).
6. Upon the request of the attorney general, up to $4,000,000 from
revenues credited to the federal health and human services fund, federal
health and human services account (25117) or the miscellaneous special
revenue fund, recoveries and revenue account (22041), to the miscella-
neous special revenue fund, litigation settlement and civil recovery
account (22117).
§ 4. On or before March 31, 2024, the comptroller is hereby authorized
and directed to deposit earnings that would otherwise accrue to the
general fund that are attributable to the operation of section 98-a of
the state finance law, to the agencies internal service fund, banking
services account (55057), for the purpose of meeting direct payments
from such account.
§ 5. Notwithstanding any law to the contrary, upon the direction of
the director of the budget and upon requisition by the state university
of New York, the dormitory authority of the state of New York is
directed to transfer, up to $22,000,000 in revenues generated from the
sale of notes or bonds, the state university income fund general revenue
account (22653) for reimbursement of bondable equipment for further
transfer to the state's general fund.
§ 6. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor or his or her
designee, on or before March 31, 2024, up to $16,000,000 from the state
university income fund general revenue account (22653) to the state
general fund for debt service costs related to campus supported capital
project costs for the NY-SUNY 2020 challenge grant program at the
University at Buffalo.
§ 7. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget and
upon consultation with the state university chancellor or his or her
designee, on or before March 31, 2024, up to $6,500,000 from the state
university income fund general revenue account (22653) to the state
general fund for debt service costs related to campus supported capital
project costs for the NY-SUNY 2020 challenge grant program at the
University at Albany.
§ 8. Notwithstanding any law to the contrary, the state university
chancellor or his or her designee is authorized and directed to transfer
estimated tuition revenue balances from the state university collection
fund (61000) to the state university income fund, state university
general revenue offset account (22655) on or before March 31, 2024.
A. 3009--B 93
§ 9. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $1,439,512,500 from the general fund to the state university income
fund, state university general revenue offset account (22655) during the
period of July 1, 2023 through June 30, 2024 to support operations at
the state university.
§ 10. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $62,340,000 from the general fund to the state university income
fund, state university general revenue offset account (22655) during the
period of July 1, 2023 to June 30, 2024 for general fund operating
support pursuant to subparagraph (4-b) of paragraph h of subdivision 2
of section three hundred fifty-five of the education law.
§ 11. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the director of the budget, up
to $20,000,000 from the general fund to the state university income
fund, state university general revenue offset account (22655) during the
period of July 1, 2023 to June 30, 2024 to fully fund the tuition credit
pursuant to subdivision two of section six hundred sixty-nine-h of the
education law.
§ 12. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, upon request of the state university chancel-
lor or his or her designee, up to $55,000,000 from the state university
income fund, state university hospitals income reimbursable account
(22656), for services and expenses of hospital operations and capital
expenditures at the state university hospitals; and the state university
income fund, Long Island veterans' home account (22652) to the state
university capital projects fund (32400) on or before June 30, 2024.
§ 13. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller, after consultation
with the state university chancellor or his or her designee, is hereby
authorized and directed to transfer moneys, in the first instance, from
the state university collection fund, Stony Brook hospital collection
account (61006), Brooklyn hospital collection account (61007), and Syra-
cuse hospital collection account (61008) to the state university income
fund, state university hospitals income reimbursable account (22656) in
the event insufficient funds are available in the state university
income fund, state university hospitals income reimbursable account
(22656) to permit the full transfer of moneys authorized for transfer,
to the general fund for payment of debt service related to the SUNY
hospitals. Notwithstanding any law to the contrary, the comptroller is
also hereby authorized and directed, after consultation with the state
university chancellor or his or her designee, to transfer moneys from
the state university income fund to the state university income fund,
state university hospitals income reimbursable account (22656) in the
event insufficient funds are available in the state university income
fund, state university hospitals income reimbursable account (22656) to
pay hospital operating costs or to permit the full transfer of moneys
authorized for transfer, to the general fund for payment of debt service
related to the SUNY hospitals on or before March 31, 2024.
§ 14. Notwithstanding any law to the contrary, upon the direction of
the director of the budget and the chancellor of the state university of
A. 3009--B 94
New York or his or her designee, and in accordance with section 4 of the
state finance law, the comptroller is hereby authorized and directed to
transfer monies from the state university dormitory income fund (40350)
to the state university residence hall rehabilitation fund (30100), and
from the state university residence hall rehabilitation fund (30100) to
the state university dormitory income fund (40350), in an amount not to
exceed $100 million from each fund.
§ 15. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the budget,
up to $700 million from the unencumbered balance of any special revenue
fund or account, agency fund or account, internal service fund or
account, enterprise fund or account, or any combination of such funds
and accounts, to the general fund. The amounts transferred pursuant to
this authorization shall be in addition to any other transfers expressly
authorized in the 2023-24 budget. Transfers from federal funds, debt
service funds, capital projects funds, the community projects fund, or
funds that would result in the loss of eligibility for federal benefits
or federal funds pursuant to federal law, rule, or regulation as assent-
ed to in chapter 683 of the laws of 1938 and chapter 700 of the laws of
1951 are not permitted pursuant to this authorization.
§ 16. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the budget,
up to $100 million from any non-general fund or account, or combination
of funds and accounts, to the miscellaneous special revenue fund, tech-
nology financing account (22207), the miscellaneous capital projects
fund, the federal capital projects account (31350), information technol-
ogy capital financing account (32215), or the centralized technology
services account (55069), for the purpose of consolidating technology
procurement and services. The amounts transferred to the miscellaneous
special revenue fund, technology financing account (22207) pursuant to
this authorization shall be equal to or less than the amount of such
monies intended to support information technology costs which are
attributable, according to a plan, to such account made in pursuance to
an appropriation by law. Transfers to the technology financing account
shall be completed from amounts collected by non-general funds or
accounts pursuant to a fund deposit schedule or permanent statute, and
shall be transferred to the technology financing account pursuant to a
schedule agreed upon by the affected agency commissioner. Transfers from
funds that would result in the loss of eligibility for federal benefits
or federal funds pursuant to federal law, rule, or regulation as assent-
ed to in chapter 683 of the laws of 1938 and chapter 700 of the laws of
1951 are not permitted pursuant to this authorization.
§ 17. Notwithstanding any law to the contrary, and in accordance with
section 4 of the state finance law, the comptroller is hereby authorized
and directed to transfer, at the request of the director of the budget,
up to $400 million from any non-general fund or account, or combination
of funds and accounts, to the general fund for the purpose of consol-
idating technology procurement and services. The amounts transferred
pursuant to this authorization shall be equal to or less than the amount
of such monies intended to support information technology costs which
are attributable, according to a plan, to such account made in pursuance
to an appropriation by law. Transfers to the general fund shall be
completed from amounts collected by non-general funds or accounts pursu-
ant to a fund deposit schedule. Transfers from funds that would result
A. 3009--B 95
in the loss of eligibility for federal benefits or federal funds pursu-
ant to federal law, rule, or regulation as assented to in chapter 683 of
the laws of 1938 and chapter 700 of the laws of 1951 are not permitted
pursuant to this authorization.
§ 18. Notwithstanding any provision of law to the contrary, as deemed
feasible and advisable by its trustees, the power authority of the state
of New York is authorized and directed to transfer to the state treasury
to the credit of the general fund up to $20,000,000 for the state fiscal
year commencing April 1, 2023, the proceeds of which will be utilized to
support energy-related state activities.
§ 19. Notwithstanding any provision of law, rule or regulation to the
contrary, the New York state energy research and development authority
is authorized and directed to contribute $913,000 to the state treasury
to the credit of the general fund on or before March 31, 2024.
§ 20. Notwithstanding any provision of law, rule or regulation to the
contrary, the New York state energy research and development authority
is authorized and directed to transfer five million dollars to the cred-
it of the Environmental Protection Fund on or before March 31, 2024 from
proceeds collected by the authority from the auction or sale of carbon
dioxide emission allowances allocated by the department of environmental
conservation.
§ 21. Subdivision 5 of section 97-rrr of the state finance law, as
amended by section 21 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
5. Notwithstanding the provisions of section one hundred seventy-one-a
of the tax law, as separately amended by chapters four hundred eighty-
one and four hundred eighty-four of the laws of nineteen hundred eight-
y-one, and notwithstanding the provisions of chapter ninety-four of the
laws of two thousand eleven, or any other provisions of law to the
contrary, during the fiscal year beginning April first, two thousand
[twenty-two] TWENTY-THREE, the state comptroller is hereby authorized
and directed to deposit to the fund created pursuant to this section
from amounts collected pursuant to article twenty-two of the tax law and
pursuant to a schedule submitted by the director of the budget, up to
[$1,830,985,000,] $1,716,913,000 as may be certified in such schedule as
necessary to meet the purposes of such fund for the fiscal year begin-
ning April first, two thousand [twenty-two] TWENTY-THREE.
§ 22. Notwithstanding any law to the contrary, the comptroller is
hereby authorized and directed to transfer, upon request of the director
of the budget, on or before March 31, 2024, the following amounts from
the following special revenue accounts to the capital projects fund
(30000), for the purposes of reimbursement to such fund for expenses
related to the maintenance and preservation of state assets:
1. $43,000 from the miscellaneous special revenue fund, administrative
program account (21982).
2. $1,478,000 from the miscellaneous special revenue fund, helen hayes
hospital account (22140).
3. $456,000 from the miscellaneous special revenue fund, New York city
veterans' home account (22141).
4. $570,000 from the miscellaneous special revenue fund, New York
state home for veterans' and their dependents at oxford account (22142).
5. $170,000 from the miscellaneous special revenue fund, western New
York veterans' home account (22143).
6. $323,000 from the miscellaneous special revenue fund, New York
state for veterans in the lower-hudson valley account (22144).
A. 3009--B 96
7. $2,550,000 from the miscellaneous special revenue fund, patron
services account (22163).
8. $9,016,000 from the miscellaneous special revenue fund, state
university general income reimbursable account (22653).
9. $142,782,000 from the miscellaneous special revenue fund, state
university revenue offset account (22655).
10. $51,897,000 from the state university dormitory income fund, state
university dormitory income fund (40350).
11. $1,000,000 from the miscellaneous special revenue fund, litigation
settlement and civil recovery account (22117).
§ 23. Intentionally omitted.
§ 24. Subdivision 5 of section 183 of the military law, as amended by
section 2 of part O of chapter 55 of the laws of 2018, is amended to
read as follows:
5. All moneys paid as rent as provided in this section, together with
all sums paid to cover expenses of heating and lighting, shall be trans-
mitted by the officer in charge and control of the armory through the
adjutant general to the state treasury for deposit to the [agencies
enterprise fund] MISCELLANEOUS SPECIAL REVENUE FUND - 339 armory rental
account.
§ 25. Subdivision 2 of section 92-cc of the state finance law, as
amended by section 26 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
2. Such fund shall have a maximum balance not to exceed [fifteen]
TWENTY per centum of the aggregate amount projected to be disbursed from
the general fund during the fiscal year immediately following the then-
current fiscal year. At the request of the director of the budget, the
state comptroller shall transfer monies to the rainy day reserve fund up
to and including an amount equivalent to [three] TEN per centum of the
aggregate amount projected to be disbursed from the general fund [during
the then-current fiscal year] WITHIN THREE DAYS OF THE END OF THE THEN-
CURRENT FISCAL YEAR, unless such transfer would increase the rainy day
reserve fund to an amount in excess of [fifteen] TWENTY per centum of
the aggregate amount projected to be disbursed from the general fund
during the fiscal year immediately following the then-current fiscal
year, in which event such transfer shall be limited to such amount as
will increase the rainy day reserve fund to such [fifteen] TWENTY per
centum limitation.
§ 26. Notwithstanding any other law, rule, or regulation to the
contrary, the state comptroller is hereby authorized and directed to use
any balance remaining in the mental health services fund debt service
appropriation, after payment by the state comptroller of all obligations
required pursuant to any lease, sublease, or other financing arrangement
between the dormitory authority of the state of New York as successor to
the New York state medical care facilities finance agency, and the
facilities development corporation pursuant to chapter 83 of the laws of
1995 and the department of mental hygiene for the purpose of making
payments to the dormitory authority of the state of New York for the
amount of the earnings for the investment of monies deposited in the
mental health services fund that such agency determines will or may have
to be rebated to the federal government pursuant to the provisions of
the internal revenue code of 1986, as amended, in order to enable such
agency to maintain the exemption from federal income taxation on the
interest paid to the holders of such agency's mental services facilities
improvement revenue bonds. Annually on or before each June 30th, such
agency shall certify to the state comptroller its determination of the
A. 3009--B 97
amounts received in the mental health services fund as a result of the
investment of monies deposited therein that will or may have to be
rebated to the federal government pursuant to the provisions of the
internal revenue code of 1986, as amended.
§ 27. Subdivision 1 of section 16 of part D of chapter 389 of the laws
of 1997, relating to the financing of the correctional facilities
improvement fund and the youth facility improvement fund, as amended by
section 30 of part FFF of chapter 56 of the laws of 2022, is amended to
read as follows:
1. Subject to the provisions of chapter 59 of the laws of 2000, but
notwithstanding the provisions of section 18 of section 1 of chapter 174
of the laws of 1968, the New York state urban development corporation is
hereby authorized to issue bonds, notes and other obligations in an
aggregate principal amount not to exceed [nine billion five hundred two
million seven hundred thirty-nine thousand dollars $9,502,739,000] NINE
BILLION EIGHT HUNDRED SIXTY-FIVE MILLION EIGHT HUNDRED FIFTY-NINE THOU-
SAND DOLLARS $9,865,859,000, and shall include all bonds, notes and
other obligations issued pursuant to chapter 56 of the laws of 1983, as
amended or supplemented. The proceeds of such bonds, notes or other
obligations shall be paid to the state, for deposit in the correctional
facilities capital improvement fund to pay for all or any portion of the
amount or amounts paid by the state from appropriations or reappropri-
ations made to the department of corrections and community supervision
from the correctional facilities capital improvement fund for capital
projects. The aggregate amount of bonds, notes or other obligations
authorized to be issued pursuant to this section shall exclude bonds,
notes or other obligations issued to refund or otherwise repay bonds,
notes or other obligations theretofore issued, the proceeds of which
were paid to the state for all or a portion of the amounts expended by
the state from appropriations or reappropriations made to the department
of corrections and community supervision; provided, however, that upon
any such refunding or repayment the total aggregate principal amount of
outstanding bonds, notes or other obligations may be greater than [nine
billion five hundred two million seven hundred thirty-nine thousand
dollars $9,502,739,000] NINE BILLION EIGHT HUNDRED SIXTY-FIVE MILLION
EIGHT HUNDRED FIFTY-NINE THOUSAND DOLLARS $9,865,859,000, only if the
present value of the aggregate debt service of the refunding or repay-
ment bonds, notes or other obligations to be issued shall not exceed the
present value of the aggregate debt service of the bonds, notes or other
obligations so to be refunded or repaid. For the purposes hereof, the
present value of the aggregate debt service of the refunding or repay-
ment bonds, notes or other obligations and of the aggregate debt service
of the bonds, notes or other obligations so refunded or repaid, shall be
calculated by utilizing the effective interest rate of the refunding or
repayment bonds, notes or other obligations, which shall be that rate
arrived at by doubling the semi-annual interest rate (compounded semi-
annually) necessary to discount the debt service payments on the refund-
ing or repayment bonds, notes or other obligations from the payment
dates thereof to the date of issue of the refunding or repayment bonds,
notes or other obligations and to the price bid including estimated
accrued interest or proceeds received by the corporation including esti-
mated accrued interest from the sale thereof.
§ 28. Subdivision (a) of section 27 of part Y of chapter 61 of the
laws of 2005, relating to providing for the administration of certain
funds and accounts related to the 2005-2006 budget, as amended by
A. 3009--B 98
section 31 of part FFF of chapter 56 of the laws of 2022, is amended to
read as follows:
(a) Subject to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law to the contrary, the urban devel-
opment corporation is hereby authorized to issue bonds or notes in one
or more series in an aggregate principal amount not to exceed [four
hundred twenty-six million one hundred thousand dollars $426,100,000]
FIVE HUNDRED THIRTY-EIGHT MILLION ONE HUNDRED THOUSAND DOLLARS
$538,100,000, excluding bonds issued to finance one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued, for the purpose of financing capital projects including IT
initiatives for the division of state police, debt service and leases;
and to reimburse the state general fund for disbursements made therefor.
Such bonds and notes of such authorized issuer shall not be a debt of
the state, and the state shall not be liable thereon, nor shall they be
payable out of any funds other than those appropriated by the state to
such authorized issuer for debt service and related expenses pursuant to
any service contract executed pursuant to subdivision (b) of this
section and such bonds and notes shall contain on the face thereof a
statement to such effect. Except for purposes of complying with the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
§ 29. Subdivision 3 of section 1285-p of the public authorities law,
as amended by section 32 of part FFF of chapter 56 of the laws of 2022,
is amended to read as follows:
3. The maximum amount of bonds that may be issued for the purpose of
financing environmental infrastructure projects authorized by this
section shall be [eight billion one hundred seventy-one million one
hundred ten thousand dollars $8,171,110,000] NINE BILLION FIVE HUNDRED
THREE MILLION SEVEN HUNDRED TEN THOUSAND DOLLARS $9,503,710,000, exclu-
sive of bonds issued to fund any debt service reserve funds, pay costs
of issuance of such bonds, and bonds or notes issued to refund or other-
wise repay bonds or notes previously issued. Such bonds and notes of the
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to the corporation for debt service and
related expenses pursuant to any service contracts executed pursuant to
subdivision one of this section, and such bonds and notes shall contain
on the face thereof a statement to such effect.
§ 30. Subdivision (a) of section 48 of part K of chapter 81 of the
laws of 2002, relating to providing for the administration of certain
funds and accounts related to the 2002-2003 budget, as amended by
section 33 of part FFF of chapter 56 of the laws of 2022, is amended to
read as follows:
(a) Subject to the provisions of chapter 59 of the laws of 2000 but
notwithstanding the provisions of section 18 of the urban development
corporation act, the corporation is hereby authorized to issue bonds or
notes in one or more series in an aggregate principal amount not to
exceed [three hundred eighty-three million five hundred thousand dollars
$383,500,000] FOUR HUNDRED SEVENTY-SIX MILLION FIVE HUNDRED THOUSAND
DOLLARS $476,500,000, excluding bonds issued to fund one or more debt
service reserve funds, to pay costs of issuance of such bonds, and bonds
or notes issued to refund or otherwise repay such bonds or notes previ-
ously issued, for the purpose of financing capital costs related to
homeland security and training facilities for the division of state
A. 3009--B 99
police, the division of military and naval affairs, and any other state
agency, including the reimbursement of any disbursements made from the
state capital projects fund, and is hereby authorized to issue bonds or
notes in one or more series in an aggregate principal amount not to
exceed [one billion six hundred four million nine hundred eighty-six
thousand dollars $1,604,986,000] ONE BILLION SEVEN HUNDRED TEN MILLION
EIGHTY-SIX THOUSAND DOLLARS $1,710,086,000, excluding bonds issued to
fund one or more debt service reserve funds, to pay costs of issuance of
such bonds, and bonds or notes issued to refund or otherwise repay such
bonds or notes previously issued, for the purpose of financing improve-
ments to State office buildings and other facilities located statewide,
including the reimbursement of any disbursements made from the state
capital projects fund. Such bonds and notes of the corporation shall not
be a debt of the state, and the state shall not be liable thereon, nor
shall they be payable out of any funds other than those appropriated by
the state to the corporation for debt service and related expenses
pursuant to any service contracts executed pursuant to subdivision (b)
of this section, and such bonds and notes shall contain on the face
thereof a statement to such effect.
§ 31. Paragraph (c) of subdivision 19 of section 1680 of the public
authorities law, as amended by section 34 of part FFF of chapter 56 of
the laws of 2022, is amended to read as follows:
(c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, the dormitory authority shall not issue any bonds for state
university educational facilities purposes if the principal amount of
bonds to be issued when added to the aggregate principal amount of bonds
issued by the dormitory authority on and after July first, nineteen
hundred eighty-eight for state university educational facilities will
exceed [sixteen billion six hundred eleven million five hundred sixty-
four thousand dollars $16,611,564,000] EIGHTEEN BILLION FIVE HUNDRED
MILLION SIXTY-FOUR THOUSAND DOLLARS $18,500,064,000; provided, however,
that bonds issued or to be issued shall be excluded from such limitation
if: (1) such bonds are issued to refund state university construction
bonds and state university construction notes previously issued by the
housing finance agency; or (2) such bonds are issued to refund bonds of
the authority or other obligations issued for state university educa-
tional facilities purposes and the present value of the aggregate debt
service on the refunding bonds does not exceed the present value of the
aggregate debt service on the bonds refunded thereby; provided, further
that upon certification by the director of the budget that the issuance
of refunding bonds or other obligations issued between April first,
nineteen hundred ninety-two and March thirty-first, nineteen hundred
ninety-three will generate long term economic benefits to the state, as
assessed on a present value basis, such issuance will be deemed to have
met the present value test noted above. For purposes of this subdivi-
sion, the present value of the aggregate debt service of the refunding
bonds and the aggregate debt service of the bonds refunded, shall be
calculated by utilizing the true interest cost of the refunding bonds,
which shall be that rate arrived at by doubling the semi-annual interest
rate (compounded semi-annually) necessary to discount the debt service
payments on the refunding bonds from the payment dates thereof to the
date of issue of the refunding bonds to the purchase price of the
refunding bonds, including interest accrued thereon prior to the issu-
ance thereof. The maturity of such bonds, other than bonds issued to
refund outstanding bonds, shall not exceed the weighted average economic
life, as certified by the state university construction fund, of the
A. 3009--B 100
facilities in connection with which the bonds are issued, and in any
case not later than the earlier of thirty years or the expiration of the
term of any lease, sublease or other agreement relating thereto;
provided that no note, including renewals thereof, shall mature later
than five years after the date of issuance of such note. The legislature
reserves the right to amend or repeal such limit, and the state of New
York, the dormitory authority, the state university of New York, and the
state university construction fund are prohibited from covenanting or
making any other agreements with or for the benefit of bondholders which
might in any way affect such right.
§ 32. Paragraph (c) of subdivision 14 of section 1680 of the public
authorities law, as amended by section 35 of part FFF of chapter 56 of
the laws of 2022, is amended to read as follows:
(c) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, (i) the dormitory authority shall not deliver a series of
bonds for city university community college facilities, except to refund
or to be substituted for or in lieu of other bonds in relation to city
university community college facilities pursuant to a resolution of the
dormitory authority adopted before July first, nineteen hundred eighty-
five or any resolution supplemental thereto, if the principal amount of
bonds so to be issued when added to all principal amounts of bonds
previously issued by the dormitory authority for city university commu-
nity college facilities, except to refund or to be substituted in lieu
of other bonds in relation to city university community college facili-
ties will exceed the sum of four hundred twenty-five million dollars and
(ii) the dormitory authority shall not deliver a series of bonds issued
for city university facilities, including community college facilities,
pursuant to a resolution of the dormitory authority adopted on or after
July first, nineteen hundred eighty-five, except to refund or to be
substituted for or in lieu of other bonds in relation to city university
facilities and except for bonds issued pursuant to a resolution supple-
mental to a resolution of the dormitory authority adopted prior to July
first, nineteen hundred eighty-five, if the principal amount of bonds so
to be issued when added to the principal amount of bonds previously
issued pursuant to any such resolution, except bonds issued to refund or
to be substituted for or in lieu of other bonds in relation to city
university facilities, will exceed [ten billion two hundred fifty-four
million six hundred eighty-six thousand dollars $10,254,686,000] ELEVEN
BILLION FOUR HUNDRED THIRTY-THREE MILLION ONE HUNDRED FIFTY-TWO THOUSAND
DOLLARS $11,433,152,000. The legislature reserves the right to amend or
repeal such limit, and the state of New York, the dormitory authority,
the city university, and the fund are prohibited from covenanting or
making any other agreements with or for the benefit of bondholders which
might in any way affect such right.
§ 33. Subdivision 10-a of section 1680 of the public authorities law,
as amended by section 36 of part FFF of chapter 56 of the laws of 2022,
is amended to read as follows:
10-a. Subject to the provisions of chapter fifty-nine of the laws of
two thousand, but notwithstanding any other provision of the law to the
contrary, the maximum amount of bonds and notes to be issued after March
thirty-first, two thousand two, on behalf of the state, in relation to
any locally sponsored community college, shall be [one billion one
hundred twenty-three million one hundred forty thousand dollars
$1,123,140,000] ONE BILLION TWO HUNDRED TWENTY-SEVEN MILLION NINETY-
FIVE THOUSAND DOLLARS $1,227,095,000. Such amount shall be exclusive of
bonds and notes issued to fund any reserve fund or funds, costs of issu-
A. 3009--B 101
ance and to refund any outstanding bonds and notes, issued on behalf of
the state, relating to a locally sponsored community college.
§ 34. Subdivision 1 of section 17 of part D of chapter 389 of the laws
of 1997, relating to the financing of the correctional facilities
improvement fund and the youth facility improvement fund, as amended by
section 37 of part FFF of chapter 56 of the laws of 2022, is amended to
read as follows:
1. Subject to the provisions of chapter 59 of the laws of 2000, but
notwithstanding the provisions of section 18 of section 1 of chapter 174
of the laws of 1968, the New York state urban development corporation is
hereby authorized to issue bonds, notes and other obligations in an
aggregate principal amount not to exceed [nine hundred sixty-two million
seven hundred fifteen thousand dollars $962,715,000] ONE BILLION FOUR-
TEEN MILLION SEVEN HUNDRED THIRTY-FIVE THOUSAND DOLLARS $1,014,735,000,
which authorization increases the aggregate principal amount of bonds,
notes and other obligations authorized by section 40 of chapter 309 of
the laws of 1996, and shall include all bonds, notes and other obli-
gations issued pursuant to chapter 211 of the laws of 1990, as amended
or supplemented. The proceeds of such bonds, notes or other obligations
shall be paid to the state, for deposit in the youth facilities improve-
ment fund OR THE CAPITAL PROJECTS FUND, to pay for all or any portion of
the amount or amounts paid by the state from appropriations or reappro-
priations made to the office of children and family services from the
youth facilities improvement fund for capital projects. The aggregate
amount of bonds, notes and other obligations authorized to be issued
pursuant to this section shall exclude bonds, notes or other obligations
issued to refund or otherwise repay bonds, notes or other obligations
theretofore issued, the proceeds of which were paid to the state for all
or a portion of the amounts expended by the state from appropriations or
reappropriations made to the office of children and family services;
provided, however, that upon any such refunding or repayment the total
aggregate principal amount of outstanding bonds, notes or other obli-
gations may be greater than [nine hundred sixty-two million seven
hundred fifteen thousand dollars $962,715,000] ONE BILLION FOURTEEN
MILLION SEVEN HUNDRED THIRTY-FIVE THOUSAND DOLLARS $1,014,735,000, only
if the present value of the aggregate debt service of the refunding or
repayment bonds, notes or other obligations to be issued shall not
exceed the present value of the aggregate debt service of the bonds,
notes or other obligations so to be refunded or repaid. For the purposes
hereof, the present value of the aggregate debt service of the refunding
or repayment bonds, notes or other obligations and of the aggregate debt
service of the bonds, notes or other obligations so refunded or repaid,
shall be calculated by utilizing the effective interest rate of the
refunding or repayment bonds, notes or other obligations, which shall be
that rate arrived at by doubling the semi-annual interest rate
(compounded semi-annually) necessary to discount the debt service
payments on the refunding or repayment bonds, notes or other obligations
from the payment dates thereof to the date of issue of the refunding or
repayment bonds, notes or other obligations and to the price bid includ-
ing estimated accrued interest or proceeds received by the corporation
including estimated accrued interest from the sale thereof.
§ 35. Paragraph b of subdivision 2 of section 9-a of section 1 of
chapter 392 of the laws of 1973, constituting the New York state medical
care facilities finance agency act, as amended by section 38 of part FFF
of chapter 56 of the laws of 2022, is amended to read as follows:
A. 3009--B 102
b. The agency shall have power and is hereby authorized from time to
time to issue negotiable bonds and notes in conformity with applicable
provisions of the uniform commercial code in such principal amount as,
in the opinion of the agency, shall be necessary, after taking into
account other moneys which may be available for the purpose, to provide
sufficient funds to the facilities development corporation, or any
successor agency, for the financing or refinancing of or for the design,
construction, acquisition, reconstruction, rehabilitation or improvement
of mental health services facilities pursuant to paragraph a of this
subdivision, the payment of interest on mental health services improve-
ment bonds and mental health services improvement notes issued for such
purposes, the establishment of reserves to secure such bonds and notes,
the cost or premium of bond insurance or the costs of any financial
mechanisms which may be used to reduce the debt service that would be
payable by the agency on its mental health services facilities improve-
ment bonds and notes and all other expenditures of the agency incident
to and necessary or convenient to providing the facilities development
corporation, or any successor agency, with funds for the financing or
refinancing of or for any such design, construction, acquisition, recon-
struction, rehabilitation or improvement and for the refunding of mental
hygiene improvement bonds issued pursuant to section 47-b of the private
housing finance law; provided, however, that the agency shall not issue
mental health services facilities improvement bonds and mental health
services facilities improvement notes in an aggregate principal amount
exceeding [ten billion nine hundred forty-two million eight hundred
thirty-three thousand dollars $10,942,833,000] TWELVE BILLION FOUR
HUNDRED NINE MILLION ONE HUNDRED FIFTY-SEVEN THOUSAND DOLLARS
$12,409,157,000, excluding mental health services facilities improvement
bonds and mental health services facilities improvement notes issued to
refund outstanding mental health services facilities improvement bonds
and mental health services facilities improvement notes; provided,
however, that upon any such refunding or repayment of mental health
services facilities improvement bonds and/or mental health services
facilities improvement notes the total aggregate principal amount of
outstanding mental health services facilities improvement bonds and
mental health facilities improvement notes may be greater than [ten
billion nine hundred forty-two million eight hundred thirty-three thou-
sand dollars $10,942,833,000] TWELVE MILLION FOUR HUNDRED NINE MILLION
ONE HUNDRED FIFTY-SEVEN THOUSAND DOLLARS $12,409,157,000, only if,
except as hereinafter provided with respect to mental health services
facilities bonds and mental health services facilities notes issued to
refund mental hygiene improvement bonds authorized to be issued pursuant
to the provisions of section 47-b of the private housing finance law,
the present value of the aggregate debt service of the refunding or
repayment bonds to be issued shall not exceed the present value of the
aggregate debt service of the bonds to be refunded or repaid. For
purposes hereof, the present values of the aggregate debt service of the
refunding or repayment bonds, notes or other obligations and of the
aggregate debt service of the bonds, notes or other obligations so
refunded or repaid, shall be calculated by utilizing the effective
interest rate of the refunding or repayment bonds, notes or other obli-
gations, which shall be that rate arrived at by doubling the semi-annual
interest rate (compounded semi-annually) necessary to discount the debt
service payments on the refunding or repayment bonds, notes or other
obligations from the payment dates thereof to the date of issue of the
refunding or repayment bonds, notes or other obligations and to the
A. 3009--B 103
price bid including estimated accrued interest or proceeds received by
the authority including estimated accrued interest from the sale there-
of. Such bonds, other than bonds issued to refund outstanding bonds,
shall be scheduled to mature over a term not to exceed the average
useful life, as certified by the facilities development corporation, of
the projects for which the bonds are issued, and in any case shall not
exceed thirty years and the maximum maturity of notes or any renewals
thereof shall not exceed five years from the date of the original issue
of such notes. Notwithstanding the provisions of this section, the agen-
cy shall have the power and is hereby authorized to issue mental health
services facilities improvement bonds and/or mental health services
facilities improvement notes to refund outstanding mental hygiene
improvement bonds authorized to be issued pursuant to the provisions of
section 47-b of the private housing finance law and the amount of bonds
issued or outstanding for such purposes shall not be included for
purposes of determining the amount of bonds issued pursuant to this
section. The director of the budget shall allocate the aggregate princi-
pal authorized to be issued by the agency among the office of mental
health, office for people with developmental disabilities, and the
office of addiction services and supports, in consultation with their
respective commissioners to finance bondable appropriations previously
approved by the legislature.
§ 36. Subdivision (a) of section 28 of part Y of chapter 61 of the
laws of 2005, relating to providing for the administration of certain
funds and accounts related to the 2005-2006 budget, as amended by
section 39 of part FFF of chapter 56 of the laws of 2022, is amended to
read as follows:
(a) Subject to the provisions of chapter 59 of the laws of 2000, but
notwithstanding any provisions of law to the contrary, one or more
authorized issuers as defined by section 68-a of the state finance law
are hereby authorized to issue bonds or notes in one or more series in
an aggregate principal amount not to exceed [one hundred ninety-seven
million dollars $197,000,000] TWO HUNDRED FORTY-SEVEN MILLION DOLLARS
$247,000,000, excluding bonds issued to finance one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued, for the purpose of financing capital projects for public
protection facilities in the Division of Military and Naval Affairs,
debt service and leases; and to reimburse the state general fund for
disbursements made therefor. Such bonds and notes of such authorized
issuer shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to such authorized issuer for debt
service and related expenses pursuant to any service contract executed
pursuant to subdivision (b) of this section and such bonds and notes
shall contain on the face thereof a statement to such effect. Except for
purposes of complying with the internal revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
§ 37. Section 53 of section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development corporation act, as
amended by section 40 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
§ 53. 1. Notwithstanding the provisions of any other law to the
contrary, the dormitory authority and the urban development corporation
are hereby authorized to issue bonds or notes in one or more series for
A. 3009--B 104
the purpose of funding project costs for the acquisition of equipment,
including but not limited to the creation or modernization of informa-
tion technology systems and related research and development equipment,
health and safety equipment, heavy equipment and machinery, the creation
or improvement of security systems, and laboratory equipment and other
state costs associated with such capital projects. The aggregate princi-
pal amount of bonds authorized to be issued pursuant to this section
shall not exceed [three hundred ninety-three million dollars
$393,000,000] FIVE HUNDRED SIXTY-EIGHT MILLION DOLLARS $568,000,000,
excluding bonds issued to fund one or more debt service reserve funds,
to pay costs of issuance of such bonds, and bonds or notes issued to
refund or otherwise repay such bonds or notes previously issued. Such
bonds and notes of the dormitory authority and the urban development
corporation shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to the dormitory authority and the urban
development corporation for principal, interest, and related expenses
pursuant to a service contract and such bonds and notes shall contain on
the face thereof a statement to such effect. Except for purposes of
complying with the internal revenue code, any interest income earned on
bond proceeds shall only be used to pay debt service on such bonds.
2. Notwithstanding any other provision of law to the contrary, in
order to assist the dormitory authority and the urban development corpo-
ration in undertaking the financing for project costs for the acquisi-
tion of equipment, including but not limited to the creation or modern-
ization of information technology systems and related research and
development equipment, health and safety equipment, heavy equipment and
machinery, the creation or improvement of security systems, and labora-
tory equipment and other state costs associated with such capital
projects, the director of the budget is hereby authorized to enter into
one or more service contracts with the dormitory authority and the urban
development corporation, none of which shall exceed thirty years in
duration, upon such terms and conditions as the director of the budget
and the dormitory authority and the urban development corporation agree,
so as to annually provide to the dormitory authority and the urban
development corporation, in the aggregate, a sum not to exceed the prin-
cipal, interest, and related expenses required for such bonds and notes.
Any service contract entered into pursuant to this section shall provide
that the obligation of the state to pay the amount therein provided
shall not constitute a debt of the state within the meaning of any
constitutional or statutory provision and shall be deemed executory only
to the extent of monies available and that no liability shall be
incurred by the state beyond the monies available for such purpose,
subject to annual appropriation by the legislature. Any such contract or
any payments made or to be made thereunder may be assigned and pledged
by the dormitory authority and the urban development corporation as
security for its bonds and notes, as authorized by this section.
§ 38. Subdivision (b) of section 11 of chapter 329 of the laws of
1991, amending the state finance law and other laws relating to the
establishment of the dedicated highway and bridge trust fund, as amended
by section 41 of part FFF of chapter 56 of the laws of 2022, is amended
to read as follows:
(b) Any service contract or contracts for projects authorized pursuant
to sections 10-c, 10-f, 10-g and 80-b of the highway law and section
14-k of the transportation law, and entered into pursuant to subdivision
(a) of this section, shall provide for state commitments to provide
A. 3009--B 105
annually to the thruway authority a sum or sums, upon such terms and
conditions as shall be deemed appropriate by the director of the budget,
to fund, or fund the debt service requirements of any bonds or any obli-
gations of the thruway authority issued to fund or to reimburse the
state for funding such projects having a cost not in excess of [thirteen
billion fifty-three million eight hundred eighty-one thousand dollars
$13,053,881,000] THIRTEEN BILLION NINE HUNDRED FORTY-SEVEN MILLION TWO
HUNDRED THIRTY-FOUR THOUSAND DOLLARS $13,947,234,000 cumulatively by the
end of fiscal year [2022-23] 2023-24. For purposes of this subdivision,
such projects shall be deemed to include capital grants to cities, towns
and villages for the reimbursement of eligible capital costs of local
highway and bridge projects within such municipality, where allocations
to cities, towns and villages are based on the total number of New York
or United States or interstate signed touring route miles for which such
municipality has capital maintenance responsibility, and where such
eligible capital costs include the costs of construction and repair of
highways, bridges, highway-railroad crossings, and other transportation
facilities for projects with a service life of ten years or more.
§ 39. Subdivision 1 of section 1689-i of the public authorities law,
as amended by section 42 of part FFF of chapter 56 of the laws of 2022,
is amended to read as follows:
1. The dormitory authority is authorized to issue bonds, at the
request of the commissioner of education, to finance eligible library
construction projects pursuant to section two hundred seventy-three-a of
the education law, in amounts certified by such commissioner not to
exceed a total principal amount of [three hundred thirty-three million
dollars $333,000,000] THREE HUNDRED EIGHTY-SEVEN MILLION DOLLARS
$387,000,000.
§ 40. Section 44 of section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development corporation act, as
amended by section 43 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
§ 44. Issuance of certain bonds or notes. 1. Notwithstanding the
provisions of any other law to the contrary, the dormitory authority and
the corporation are hereby authorized to issue bonds or notes in one or
more series for the purpose of funding project costs for the regional
economic development council initiative, the economic transformation
program, state university of New York college for nanoscale and science
engineering, projects within the city of Buffalo or surrounding envi-
rons, the New York works economic development fund, projects for the
retention of professional football in western New York, the empire state
economic development fund, the clarkson-trudeau partnership, the New
York genome center, the cornell university college of veterinary medi-
cine, the olympic regional development authority, projects at nano
Utica, onondaga county revitalization projects, Binghamton university
school of pharmacy, New York power electronics manufacturing consortium,
regional infrastructure projects, high tech innovation and economic
development infrastructure program, high technology manufacturing
projects in Chautauqua and Erie county, an industrial scale research and
development facility in Clinton county, upstate revitalization initi-
ative projects, downstate revitalization initiative, market New York
projects, fairground buildings, equipment or facilities used to house
and promote agriculture, the state fair, the empire state trail, the
moynihan station development project, the Kingsbridge armory project,
strategic economic development projects, the cultural, arts and public
spaces fund, water infrastructure in the city of Auburn and town of
A. 3009--B 106
Owasco, a life sciences laboratory public health initiative, not-for-
profit pounds, shelters and humane societies, arts and cultural facili-
ties improvement program, restore New York's communities initiative,
heavy equipment, economic development and infrastructure projects,
Roosevelt Island operating corporation capital projects, Lake Ontario
regional projects, Pennsylvania station and other transit projects,
athletic facilities for professional football in Orchard Park, New York
and other state costs associated with such projects. The aggregate prin-
cipal amount of bonds authorized to be issued pursuant to this section
shall not exceed [fourteen billion nine hundred sixty-eight million four
hundred two thousand dollars $14,968,402,000] SEVENTEEN BILLION SIX
HUNDRED FIFTEEN MILLION SIX HUNDRED TWO THOUSAND DOLLARS
$17,615,602,000, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued. Such bonds and notes of the dormitory authority and the corpo-
ration shall not be a debt of the state, and the state shall not be
liable thereon, nor shall they be payable out of any funds other than
those appropriated by the state to the dormitory authority and the
corporation for principal, interest, and related expenses pursuant to a
service contract and such bonds and notes shall contain on the face
thereof a statement to such effect. Except for purposes of complying
with the internal revenue code, any interest income earned on bond
proceeds shall only be used to pay debt service on such bonds.
2. Notwithstanding any other provision of law to the contrary, in
order to assist the dormitory authority and the corporation in undertak-
ing the financing for project costs for the regional economic develop-
ment council initiative, the economic transformation program, state
university of New York college for nanoscale and science engineering,
projects within the city of Buffalo or surrounding environs, the New
York works economic development fund, projects for the retention of
professional football in western New York, the empire state economic
development fund, the clarkson-trudeau partnership, the New York genome
center, the cornell university college of veterinary medicine, the olym-
pic regional development authority, projects at nano Utica, onondaga
county revitalization projects, Binghamton university school of pharma-
cy, New York power electronics manufacturing consortium, regional
infrastructure projects, New York State Capital Assistance Program for
Transportation, infrastructure, and economic development, high tech
innovation and economic development infrastructure program, high tech-
nology manufacturing projects in Chautauqua and Erie county, an indus-
trial scale research and development facility in Clinton county, upstate
revitalization initiative projects, downstate revitalization initiative,
market New York projects, fairground buildings, equipment or facilities
used to house and promote agriculture, the state fair, the empire state
trail, the moynihan station development project, the Kingsbridge armory
project, strategic economic development projects, the cultural, arts and
public spaces fund, water infrastructure in the city of Auburn and town
of Owasco, a life sciences laboratory public health initiative, not-for-
profit pounds, shelters and humane societies, arts and cultural facili-
ties improvement program, restore New York's communities initiative,
heavy equipment, economic development and infrastructure projects,
Roosevelt Island operating corporation capital projects, Lake Ontario
regional projects, Pennsylvania station and other transit projects,
athletic facilities for professional football in Orchard Park, New York
and other state costs associated with such projects the director of the
A. 3009--B 107
budget is hereby authorized to enter into one or more service contracts
with the dormitory authority and the corporation, none of which shall
exceed thirty years in duration, upon such terms and conditions as the
director of the budget and the dormitory authority and the corporation
agree, so as to annually provide to the dormitory authority and the
corporation, in the aggregate, a sum not to exceed the principal, inter-
est, and related expenses required for such bonds and notes. Any service
contract entered into pursuant to this section shall provide that the
obligation of the state to pay the amount therein provided shall not
constitute a debt of the state within the meaning of any constitutional
or statutory provision and shall be deemed executory only to the extent
of monies available and that no liability shall be incurred by the state
beyond the monies available for such purpose, subject to annual appro-
priation by the legislature. Any such contract or any payments made or
to be made thereunder may be assigned and pledged by the dormitory
authority and the corporation as security for its bonds and notes, as
authorized by this section.
§ 41. Subdivision 1 of section 386-b of the public authorities law, as
amended by section 44 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
1. Notwithstanding any other provision of law to the contrary, the
authority, the dormitory authority and the urban development corporation
are hereby authorized to issue bonds or notes in one or more series for
the purpose of financing peace bridge projects and capital costs of
state and local highways, parkways, bridges, the New York state thruway,
Indian reservation roads, and facilities, and transportation infrastruc-
ture projects including aviation projects, non-MTA mass transit
projects, and rail service preservation projects, including work appur-
tenant and ancillary thereto. The aggregate principal amount of bonds
authorized to be issued pursuant to this section shall not exceed [ten
billion one hundred forty-seven million eight hundred sixty-three thou-
sand dollars $10,147,863,000] TWELVE BILLION FOUR HUNDRED EIGHT MILLION
THREE HUNDRED ELEVEN THOUSAND DOLLARS $12,408,311,000, excluding bonds
issued to fund one or more debt service reserve funds, to pay costs of
issuance of such bonds, and to refund or otherwise repay such bonds or
notes previously issued. Such bonds and notes of the authority, the
dormitory authority and the urban development corporation shall not be a
debt of the state, and the state shall not be liable thereon, nor shall
they be payable out of any funds other than those appropriated by the
state to the authority, the dormitory authority and the urban develop-
ment corporation for principal, interest, and related expenses pursuant
to a service contract and such bonds and notes shall contain on the face
thereof a statement to such effect. Except for purposes of complying
with the internal revenue code, any interest income earned on bond
proceeds shall only be used to pay debt service on such bonds.
§ 42. Paragraph (a) of subdivision 2 of section 47-e of the private
housing finance law, as amended by section 45 of part FFF of chapter 56
of the laws of 2022, is amended to read as follows:
(a) Subject to the provisions of chapter fifty-nine of the laws of two
thousand, in order to enhance and encourage the promotion of housing
programs and thereby achieve the stated purposes and objectives of such
housing programs, the agency shall have the power and is hereby author-
ized from time to time to issue negotiable housing program bonds and
notes in such principal amount as shall be necessary to provide suffi-
cient funds for the repayment of amounts disbursed (and not previously
reimbursed) pursuant to law or any prior year making capital appropri-
A. 3009--B 108
ations or reappropriations for the purposes of the housing program;
provided, however, that the agency may issue such bonds and notes in an
aggregate principal amount not exceeding [thirteen billion eighty-two
million eight hundred ninety-one thousand dollars $13,082,891,000] FOUR-
TEEN BILLION FOUR HUNDRED SIXTY-THREE MILLION SEVEN HUNDRED FIVE THOU-
SAND DOLLARS $14,463,705,000, plus a principal amount of bonds issued to
fund the debt service reserve fund in accordance with the debt service
reserve fund requirement established by the agency and to fund any other
reserves that the agency reasonably deems necessary for the security or
marketability of such bonds and to provide for the payment of fees and
other charges and expenses, including underwriters' discount, trustee
and rating agency fees, bond insurance, credit enhancement and liquidity
enhancement related to the issuance of such bonds and notes. No reserve
fund securing the housing program bonds shall be entitled or eligible to
receive state funds apportioned or appropriated to maintain or restore
such reserve fund at or to a particular level, except to the extent of
any deficiency resulting directly or indirectly from a failure of the
state to appropriate or pay the agreed amount under any of the contracts
provided for in subdivision four of this section.
§ 43. Subdivision 1 of section 50 of section 1 of chapter 174 of the
laws of 1968, constituting the New York state urban development corpo-
ration act, as amended by section 46 of part FFF of chapter 56 of the
laws of 2022, is amended to read as follows:
1. Notwithstanding the provisions of any other law to the contrary,
the dormitory authority and the urban development corporation are hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs undertaken by or on behalf of the state educa-
tion department, special act school districts, state-supported schools
for the blind and deaf, approved private special education schools,
non-public schools, community centers, day care facilities, residential
camps, day camps, Native American Indian Nation schools, and other state
costs associated with such capital projects. The aggregate principal
amount of bonds authorized to be issued pursuant to this section shall
not exceed [three hundred one million seven hundred thousand dollars
$301,700,000] THREE HUNDRED SIXTY-SIX MILLION SEVEN HUNDRED NINETY-NINE
THOUSAND DOLLARS $366,799,000, excluding bonds issued to fund one or
more debt service reserve funds, to pay costs of issuance of such bonds,
and bonds or notes issued to refund or otherwise repay such bonds or
notes previously issued. Such bonds and notes of the dormitory authority
and the urban development corporation shall not be a debt of the state,
and the state shall not be liable thereon, nor shall they be payable out
of any funds other than those appropriated by the state to the dormitory
authority and the urban development corporation for principal, interest,
and related expenses pursuant to a service contract and such bonds and
notes shall contain on the face thereof a statement to such effect.
Except for purposes of complying with the internal revenue code, any
interest income earned on bond proceeds shall only be used to pay debt
service on such bonds.
§ 44. Subdivision 1 of section 47 of section 1 of chapter 174 of the
laws of 1968, constituting the New York state urban development corpo-
ration act, as amended by section 47 of part FFF of chapter 56 of the
laws of 2022, is amended to read as follows:
1. Notwithstanding the provisions of any other law to the contrary,
the dormitory authority and the corporation are hereby authorized to
issue bonds or notes in one or more series for the purpose of funding
project costs for the office of information technology services, depart-
A. 3009--B 109
ment of law, and other state costs associated with such capital
projects. The aggregate principal amount of bonds authorized to be
issued pursuant to this section shall not exceed [one billion one
hundred fifty-two million five hundred sixty-six thousand dollars
$1,152,566,000] ONE BILLION TWO HUNDRED EIGHTY-EIGHT MILLION EIGHT
HUNDRED FIFTY-TWO THOUSAND DOLLARS $1,288,852,000, excluding bonds
issued to fund one or more debt service reserve funds, to pay costs of
issuance of such bonds, and bonds or notes issued to refund or otherwise
repay such bonds or notes previously issued. Such bonds and notes of the
dormitory authority and the corporation shall not be a debt of the
state, and the state shall not be liable thereon, nor shall they be
payable out of any funds other than those appropriated by the state to
the dormitory authority and the corporation for principal, interest, and
related expenses pursuant to a service contract and such bonds and notes
shall contain on the face thereof a statement to such effect. Except for
purposes of complying with the internal revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
§ 45. Paragraph (b) of subdivision 1 of section 385 of the public
authorities law, as amended by section 48 of part FFF of chapter 56 of
the laws of 2022, is amended to read as follows:
(b) The authority is hereby authorized, as additional corporate
purposes thereof solely upon the request of the director of the budget:
(i) to issue special emergency highway and bridge trust fund bonds and
notes for a term not to exceed thirty years and to incur obligations
secured by the moneys appropriated from the dedicated highway and bridge
trust fund established in section eighty-nine-b of the state finance
law; (ii) to make available the proceeds in accordance with instructions
provided by the director of the budget from the sale of such special
emergency highway and bridge trust fund bonds, notes or other obli-
gations, net of all costs to the authority in connection therewith, for
the purposes of financing all or a portion of the costs of activities
for which moneys in the dedicated highway and bridge trust fund estab-
lished in section eighty-nine-b of the state finance law are authorized
to be utilized or for the financing of disbursements made by the state
for the activities authorized pursuant to section eighty-nine-b of the
state finance law; and (iii) to enter into agreements with the commis-
sioner of transportation pursuant to section ten-e of the highway law
with respect to financing for any activities authorized pursuant to
section eighty-nine-b of the state finance law, or agreements with the
commissioner of transportation pursuant to sections ten-f and ten-g of
the highway law in connection with activities on state highways pursuant
to these sections, and (iv) to enter into service contracts, contracts,
agreements, deeds and leases with the director of the budget or the
commissioner of transportation and project sponsors and others to
provide for the financing by the authority of activities authorized
pursuant to section eighty-nine-b of the state finance law, and each of
the director of the budget and the commissioner of transportation are
hereby authorized to enter into service contracts, contracts, agree-
ments, deeds and leases with the authority, project sponsors or others
to provide for such financing. The authority shall not issue any bonds
or notes in an amount in excess of [nineteen billion seven hundred
seventy-six million nine hundred twenty thousand dollars
$19,776,920,000] TWENTY BILLION SIX HUNDRED FORTY-EIGHT MILLION FIVE
HUNDRED SEVEN THOUSAND DOLLARS $20,648,507,000, plus a principal amount
of bonds or notes: (A) to fund capital reserve funds; (B) to provide
A. 3009--B 110
capitalized interest; and, (C) to fund other costs of issuance. In
computing for the purposes of this subdivision, the aggregate amount of
indebtedness evidenced by bonds and notes of the authority issued pursu-
ant to this section, as amended by a chapter of the laws of nineteen
hundred ninety-six, there shall be excluded the amount of bonds or notes
issued that would constitute interest under the United States Internal
Revenue Code of 1986, as amended, and the amount of indebtedness issued
to refund or otherwise repay bonds or notes.
§ 46. Subdivision 1 of section 1680-r of the public authorities law,
as amended by section 50 of part FFF of chapter 56 of the laws of 2022,
is amended to read as follows:
1. Notwithstanding the provisions of any other law to the contrary,
the dormitory authority and the urban development corporation are hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for the capital restructuring financing program
for health care and related facilities licensed pursuant to the public
health law or the mental hygiene law and other state costs associated
with such capital projects, the health care facility transformation
programs, the essential health care provider program, and other health
care capital project costs. The aggregate principal amount of bonds
authorized to be issued pursuant to this section shall not exceed [four
billion six hundred fifty-three million dollars $4,653,000,000] FIVE
BILLION ONE HUNDRED FIFTY-THREE MILLION DOLLARS $5,153,000,000, exclud-
ing bonds issued to fund one or more debt service reserve funds, to pay
costs of issuance of such bonds, and bonds or notes issued to refund or
otherwise repay such bonds or notes previously issued. Such bonds and
notes of the dormitory authority and the urban development corporation
shall not be a debt of the state, and the state shall not be liable
thereon, nor shall they be payable out of any funds other than those
appropriated by the state to the dormitory authority and the urban
development corporation for principal, interest, and related expenses
pursuant to a service contract and such bonds and notes shall contain on
the face thereof a statement to such effect. Except for purposes of
complying with the internal revenue code, any interest income earned on
bond proceeds shall only be used to pay debt service on such bonds.
§ 47. Subdivision 1 of section 1680-k of the public authorities law,
as amended by section 51 of part FFF of chapter 56 of the laws of 2022,
is amended to read as follows:
1. Subject to the provisions of chapter fifty-nine of the laws of two
thousand, but notwithstanding any provisions of law to the contrary, the
dormitory authority is hereby authorized to issue bonds or notes in one
or more series in an aggregate principal amount not to exceed [forty
million eight hundred thirty thousand dollars ($40,830,000)] FORTY
MILLION NINE HUNDRED FORTY-FIVE THOUSAND DOLLARS $40,945,000, excluding
bonds issued to finance one or more debt service reserve funds, to pay
costs of issuance of such bonds, and bonds or notes issued to refund or
otherwise repay such bonds or notes previously issued, for the purpose
of financing the construction of the New York state agriculture and
markets food laboratory. Eligible project costs may include, but not be
limited to the cost of design, financing, site investigations, site
acquisition and preparation, demolition, construction, rehabilitation,
acquisition of machinery and equipment, and infrastructure improvements.
Such bonds and notes of such authorized issuers shall not be a debt of
the state, and the state shall not be liable thereon, nor shall they be
payable out of any funds other than those appropriated by the state to
such authorized issuers for debt service and related expenses pursuant
A. 3009--B 111
to any service contract executed pursuant to subdivision two of this
section and such bonds and notes shall contain on the face thereof a
statement to such effect. Except for purposes of complying with the
internal revenue code, any interest income earned on bond proceeds shall
only be used to pay debt service on such bonds.
§ 48. Intentionally omitted.
§ 49. Intentionally omitted.
§ 50. Subdivision 2 of section 58 of section 1 of chapter 174 of the
laws of 1968, constituting the New York state urban development corpo-
ration act, as added by section 56 of part FFF of chapter 56 of the laws
of 2022, is amended to read as follows:
2. Definitions. When used in this section:
(A) "Commission" shall mean the gateway development commission, a
bi-state commission and a body corporate and politic established by the
state of New Jersey and the state of New York, acting in the public
interest and exercising essential governmental functions in accordance
with the Gateway development commission act, and any successor thereto.
(B) "Federal transportation loan" shall mean one or more loans made to
the commission to finance the Hudson tunnel project under or pursuant to
any U.S. Department of Transportation program or act, including but not
limited to the Railroad Rehabilitation & Improvement Financing Program
or the Transportation Infrastructure Finance and Innovation Act, which
loan or loans are related to the state capital commitment.
(C) "Gateway development commission act" shall mean chapter 108 of the
laws of New York, 2019, as amended.
(D) "Gateway project" shall mean the Hudson tunnel project.
(E) "Hudson tunnel project" shall mean the project consisting of
construction of a tunnel connecting the states of New York and New
Jersey and the completion of certain ancillary facilities including
construction of concrete casing at Hudson Yards in Manhattan, New York
and the rehabilitation of the existing North River Tunnels.
(F) "State capital commitment" shall mean an aggregate principal
amount not to exceed [$2,350,000,000] $2,850,000,000, plus any interest
costs, including capitalized interest, and related expenses and fees
payable by the state of New York to the commission under one or more
service contracts or other agreements pursuant to this section, as well
as any expenses of the state incurred in connection therewith.
(G) "Related expenses and fees" shall mean commitment fees and other
ancillary costs, expenses and fees incurred, and to become due and paya-
ble, by the commission in connection with the Federal transportation
loan.
§ 51. Notwithstanding any law to the contrary, the comptroller is
hereby authorized and directed to transfer, upon request of the director
of the budget, on or before March 31, 2024 the following amounts from
the following special revenue accounts or enterprise funds to the gener-
al fund, for the purposes of offsetting principal and interest costs,
incurred by the state pursuant to section fifty-three of this act,
provided that the annual amount of the transfer shall be no more than
the principal and interest that would have otherwise been due to the
power authority of the state of New York, from any state agency, in a
given state fiscal year. Amounts pertaining to special revenue accounts
assigned to the state university of New York shall be considered inter-
changeable between the designated special revenue accounts as to meet
the requirements of this section and section fifty-three of this act:
1. $15,000,000 from the miscellaneous special revenue fund, state
university general income reimbursable account (22653).
A. 3009--B 112
2. $5,000,000 from the miscellaneous special revenue fund, state
university dormitory income reimbursable account (21937).
3. $5,000,000 from the enterprise fund, city university senior college
operating fund (60851).
§ 52. Section 59 of section 1 of chapter 174 of the laws of 1968,
constituting the New York state urban development corporation act, as
added by section 59 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
§ 59. The dormitory authority of the state of New York, the New York
state urban development corporation, and the New York state thruway
authority are hereby authorized to issue bonds in one or more series
under either article 5-C or article 5-F of the state finance law for the
purpose of refunding obligations of the power authority of the state of
New York to fund energy efficiency projects at state agencies including,
but not limited to, the state university of New York, city university of
New York, the New York state office of general services, New York state
office of mental health, state education department, and New York state
department of agriculture and markets. The aggregate principal amount
of bonds authorized to be issued pursuant to this section shall not
exceed [two hundred million dollars ($200,000,000)] FOUR HUNDRED SEVEN-
TY-FIVE MILLION DOLLARS ($475,000,000), excluding bonds issued to pay
costs of issuance of such bonds and to refund or otherwise repay such
bonds. Such bonds issued by the dormitory authority of the state of New
York, the New York state urban development corporation, and New York
state thruway authority shall not be a debt of the state, and the state
shall not be liable thereon, nor shall they be payable out of any funds
other than those appropriated by the state under article 5-C or article
5-F of the state finance law, as applicable.
§ 53. Subdivision 1 of section 386-a of the public authorities law, as
amended by section 49 of part FFF of chapter 56 of the laws of 2022, is
amended to read as follows:
1. Notwithstanding any other provision of law to the contrary, the
authority, the dormitory authority and the urban development corporation
are hereby authorized to issue bonds or notes in one or more series for
the purpose of assisting the metropolitan transportation authority in
the financing of transportation facilities as defined in subdivision
seventeen of section twelve hundred sixty-one of this chapter or other
capital projects. The aggregate principal amount of bonds authorized to
be issued pursuant to this section shall not exceed twelve billion five
hundred fifteen million eight hundred fifty-six thousand dollars
$12,515,856,000, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and to refund or
otherwise repay such bonds or notes previously issued. Such bonds and
notes of the authority, the dormitory authority and the urban develop-
ment corporation shall not be a debt of the state, and the state shall
not be liable thereon, nor shall they be payable out of any funds other
than those appropriated by the state to the authority, the dormitory
authority and the urban development corporation for principal, interest,
and related expenses pursuant to a service contract and such bonds and
notes shall contain on the face thereof a statement to such effect.
Except for purposes of complying with the internal revenue code, any
interest income earned on bond proceeds shall only be used to pay debt
service on such bonds. Notwithstanding any other provision of law to
the contrary, including the limitations contained in subdivision four of
section sixty-seven-b of the state finance law, (A) any bonds and notes
issued prior to April first, two thousand [twenty-three] TWENTY-FOUR
A. 3009--B 113
pursuant to this section may be issued with a maximum maturity of fifty
years, and (B) any bonds issued to refund such bonds and notes may be
issued with a maximum maturity of fifty years from the respective date
of original issuance of such bonds and notes.
§ 54. Paragraph (b) of subdivision 4 of section 72 of the state
finance law, as amended by section 46 of part JJ of chapter 56 of the
laws of 2020, is amended to read as follows:
(b) On or before the beginning of each quarter, the director of the
budget may certify to the state comptroller the estimated amount of
monies that shall be reserved in the general debt service fund for the
payment of debt service and related expenses payable by such fund during
each month of the state fiscal year, excluding payments due from the
revenue bond tax fund. Such certificate may be periodically updated, as
necessary. Notwithstanding any provision of law to the contrary, the
state comptroller shall reserve in the general debt service fund the
amount of monies identified on such certificate as necessary for the
payment of debt service and related expenses during the current or next
succeeding quarter of the state fiscal year. Such monies reserved shall
not be available for any other purpose. Such certificate shall be
reported to the chairpersons of the Senate Finance Committee and the
Assembly Ways and Means Committee. The provisions of this paragraph
shall expire June thirtieth, two thousand [twenty-three] TWENTY-SIX.
§ 55. Paragraph (b) of subdivision 3 and clause (B) of subparagraph
(iii) of paragraph (j) of subdivision 4 of section 1 of part D of chap-
ter 63 of the laws of 2005 relating to the composition and responsibil-
ities of the New York state higher education capital matching grant
board, as amended by section 52 of part FFF of chapter 56 of the laws of
2022, are amended to read as follows:
(b) Within amounts appropriated therefor, the board is hereby author-
ized and directed to award matching capital grants totaling [three
hundred forty-five million dollars $345,000,000] THREE HUNDRED SEVENTY-
FIVE MILLION DOLLARS $375,000,000. Each college shall be eligible for a
grant award amount as determined by the calculations pursuant to subdi-
vision five of this section. In addition, such colleges shall be eligi-
ble to compete for additional funds pursuant to paragraph (h) of subdi-
vision four of this section.
(B) The dormitory authority shall not issue any bonds or notes in an
amount in excess of [three hundred forty-five million dollars
$345,000,000] THREE HUNDRED SEVENTY-FIVE MILLION DOLLARS $375,000,000
for the purposes of this section; excluding bonds or notes issued to
fund one or more debt service reserve funds, to pay costs of issuance of
such bonds, and bonds or notes issued to refund or otherwise repay such
bonds or notes previously issued. Except for purposes of complying with
the internal revenue code, any interest on bond proceeds shall only be
used to pay debt service on such bonds.
§ 56. Notwithstanding the provisions of any other law to the contrary,
the dormitory authority and the urban development corporation are hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for equipment and facilities related to veter-
an's programs and other state costs associated with such capital
projects. The aggregate principal amount of bonds authorized to be
issued pursuant to this section shall not exceed ten million dollars
$10,000,000, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued. Such bonds and notes of the dormitory authority and the urban
A. 3009--B 114
development corporation shall not be a debt of the state, and the state
shall not be liable thereon, nor shall they be payable out of any funds
other than those appropriated by the state to the dormitory authority
and the urban development corporation for principal, interest, and
related expenses pursuant to a service contract and such bonds and notes
shall contain on the face thereof a statement to such effect. Except for
purposes of complying with the internal revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
§ 57. Notwithstanding the provisions of any other law to the contrary,
the dormitory authority and the urban development corporation are hereby
authorized to issue bonds or notes in one or more series for the purpose
of funding project costs for equipment for facility upgrades for volun-
teer fire companies and other state costs associated with such capital
projects. The aggregate principal amount of bonds authorized to be
issued pursuant to this section shall not exceed ten million dollars
$10,000,000, excluding bonds issued to fund one or more debt service
reserve funds, to pay costs of issuance of such bonds, and bonds or
notes issued to refund or otherwise repay such bonds or notes previously
issued. Such bonds and notes of the dormitory authority and the urban
development corporation shall not be a debt of the state, and the state
shall not be liable thereon, nor shall they be payable out of any funds
other than those appropriated by the state to the dormitory authority
and the urban development corporation for principal, interest, and
related expenses pursuant to a service contract and such bonds and notes
shall contain on the face thereof a statement to such effect. Except for
purposes of complying with the internal revenue code, any interest
income earned on bond proceeds shall only be used to pay debt service on
such bonds.
§ 58. This act shall take effect immediately and shall be deemed to
have been in full force and effect on and after April 1, 2023; provided,
however, that the provisions of sections one, one-a, two, three, four,
five, six, seven, eight, thirteen, fourteen, fifteen, sixteen, seven-
teen, eighteen, nineteen, twenty and twenty-two, of this act shall
expire March 31, 2024 when upon such date the provisions of such
sections shall be deemed repealed.
PART MM
Section 1. The public authorities law is amended by adding a new
section 1680-s to read as follows:
§ 1680-S. UNEMPLOYMENT INSURANCE FUND BOND FINANCING. 1. AS USED IN
THIS SECTION THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS:
(A) "ANCILLARY BOND FACILITY" MEANS ANY INTEREST RATE EXCHANGE OR
SIMILAR AGREEMENT OR ANY BOND INSURANCE POLICY, LETTER OF CREDIT OR
OTHER CREDIT ENHANCEMENT FACILITY, LIQUIDITY FACILITY, GUARANTEED
INVESTMENT OR REINVESTMENT AGREEMENT, OR OTHER SIMILAR AGREEMENT,
ARRANGEMENT OR CONTRACT.
(B) "BENEFITTED PARTY" MEANS ANY PERSON, FIRM OR CORPORATION THAT
ENTERS INTO AN ANCILLARY BOND FACILITY WITH THE AUTHORITY ACCORDING TO
THE PROVISIONS OF THIS SECTION.
(C) "BONDS" MEANS ANY BONDS, NOTES, CERTIFICATES OF PARTICIPATION AND
OTHER EVIDENCE OF INDEBTEDNESS ISSUED BY THE AUTHORITY PURSUANT TO
SUBDIVISION FIVE OF THIS SECTION.
(D) "BOND OWNERS OR OWNERS OF BONDS" MEANS ANY REGISTERED OWNERS OF
BONDS.
A. 3009--B 115
(E) "CODE" MEANS THE UNITED STATES INTERNAL REVENUE CODE OF 1986, AS
AMENDED.
(F) "COSTS OF ISSUANCE" MEANS ANY ITEM OF EXPENSE DIRECTLY OR INDI-
RECTLY PAYABLE OR REIMBURSABLE BY THE AUTHORITY AND RELATED TO THE
AUTHORIZATION, SALE, OR ISSUANCE OF BONDS, INCLUDING, BUT NOT LIMITED
TO, UNDERWRITING FEES AND FEES AND EXPENSES OF PROFESSIONAL CONSULTANTS
AND FIDUCIARIES.
(G) "DEBT SERVICE" MEANS ACTUAL DEBT SERVICE, COMPRISED OF PRINCIPAL,
INTEREST AND ASSOCIATED COSTS, AS DEFINED IN SECTION FIVE HUNDRED
FIFTY-FOUR OF THE LABOR LAW.
(H) "DIRECTOR OF THE BUDGET" OR "DIRECTOR" MEANS THE DIRECTOR OF THE
BUDGET OF THE STATE OF NEW YORK.
(I) "FINANCING AGREEMENT" MEANS ANY AGREEMENT AUTHORIZED PURSUANT TO
SUBDIVISION FOUR OF THIS SECTION BETWEEN THE COMMISSIONER OF LABOR, THE
COMMISSIONER OF TAXATION AND FINANCE AND THE AUTHORITY.
(J) "FINANCING COSTS" MEANS ALL COSTS OF ISSUANCE, CAPITALIZED INTER-
EST, CAPITALIZED OPERATING EXPENSES OF THE AUTHORITY AND, PURSUANT TO
THE FINANCING AGREEMENT, THE INITIAL CAPITALIZED OPERATING EXPENSES OF
THE WAIVER AGREEMENT MANAGEMENT OFFICE AND DEBT SERVICE RESERVES, FEES,
COSTS OF ANY ANCILLARY BOND FACILITY, AND ANY OTHER FEES, DISCOUNTS,
EXPENSES AND COSTS RELATED TO ISSUING, SECURING AND MARKETING THE BONDS
INCLUDING, WITHOUT LIMITATION, ANY NET ORIGINAL ISSUE DISCOUNT.
(K) "INVESTMENT SECURITIES" MEANS: (I) GENERAL OBLIGATIONS OF, OR
OBLIGATIONS GUARANTEED BY, ANY STATE OF THE UNITED STATES OF AMERICA OR
POLITICAL SUBDIVISION THEREOF, OR THE DISTRICT OF COLUMBIA OR ANY AGENCY
OR INSTRUMENTALITY OF ANY OF THEM, RECEIVING ONE OF THE THREE HIGHEST
LONG-TERM UNSECURED DEBT RATING CATEGORIES AVAILABLE FOR SUCH SECURITIES
OF AT LEAST ONE INDEPENDENT RATING AGENCY, OR (II) CERTIFICATES OF
DEPOSIT, SAVINGS ACCOUNTS, TIME DEPOSITS OR OTHER OBLIGATIONS OR
ACCOUNTS OF BANKS OR TRUST COMPANIES IN THE STATE, SECURED, IF THE
AUTHORITY SHALL SO REQUIRE, IN SUCH MANNER AS THE AUTHORITY MAY SO
DETERMINE, OR (III) OBLIGATIONS IN WHICH THE COMPTROLLER IS AUTHORIZED
TO INVEST PURSUANT TO EITHER SECTION NINETY-EIGHT OR NINETY-EIGHT-A OF
THE STATE FINANCE LAW.
(L) "INTEREST RATE EXCHANGE OR SIMILAR AGREEMENT" MEANS A WRITTEN
CONTRACT ENTERED INTO IN CONNECTION WITH THE ISSUANCE OF BONDS OR WITH
SUCH BONDS OUTSTANDING WITH A COUNTERPARTY TO PROVIDE FOR AN EXCHANGE OR
SWAP OF PAYMENTS BASED UPON FIXED AND/OR VARIABLE INTEREST RATES, AND
SHALL BE FOR EXCHANGES IN CURRENCY OF THE UNITED STATES OF AMERICA ONLY.
(M) "NET PROCEEDS" MEANS THE AMOUNT OF PROCEEDS REMAINING FOLLOWING
EACH SALE OF BONDS WHICH ARE NOT REQUIRED BY THE AUTHORITY FOR PURPOSES
OF THIS SECTION TO PAY OR PROVIDE FOR DEBT SERVICE OR FINANCING COSTS,
AS PROVIDED IN THE FINANCING AGREEMENT.
(N) "OPERATING EXPENSES" MEANS THE REASONABLE OR NECESSARY OPERATING
EXPENSES OF THE AUTHORITY FOR PURPOSES OF THIS SECTION, INCLUDING, WITH-
OUT LIMITATION, THE COSTS OF: RETENTION OF AUDITORS, PREPARATION OF
ACCOUNTING AND OTHER REPORTS, MAINTENANCE OF THE RATINGS ON THE BONDS,
ANY OPERATING EXPENSE RESERVE FUND, INSURANCE PREMIUMS, ANCILLARY BOND
FACILITIES, REBATE PAYMENTS, ANNUAL MEETINGS OR OTHER REQUIRED ACTIV-
ITIES OF THE AUTHORITY, AND PROFESSIONAL CONSULTANTS AND FIDUCIARIES.
(O) "OUTSTANDING", WHEN USED WITH RESPECT TO BONDS, SHALL EXCLUDE
BONDS THAT SHALL HAVE BEEN PAID IN FULL AT MATURITY, OR SHALL HAVE
OTHERWISE BEEN REFUNDED, REDEEMED, DEFEASED OR DISCHARGED, OR THAT MAY
BE DEEMED NOT OUTSTANDING PURSUANT TO AGREEMENTS WITH THE HOLDERS THERE-
OF.
A. 3009--B 116
(P) "PLEDGED ASSESSMENTS REVENUES", "PLEDGED REVENUES" OR "PLEDGED
ASSESSMENTS" MEANS RECEIPTS OF A PERCENTAGE OF CONTRIBUTIONS IMPOSED ON
EMPLOYERS PURSUANT TO ARTICLE EIGHTEEN OF THE LABOR LAW AND PLEDGED FOR
THE PAYMENT OF DEBT SERVICE ON THE BONDS OR AMOUNTS DUE PURSUANT TO AN
ANCILLARY BOND FACILITY, INCLUDING THE RIGHT TO RECEIVE SAME, IN AN
AMOUNT DETERMINED BY THE COMMISSIONER OF LABOR, THE COMMISSIONER OF
TAXATION AND FINANCE AND THE AUTHORITY.
(Q) "STATE" MEANS THE STATE OF NEW YORK.
(R) "UNEMPLOYMENT INSURANCE TRUST FUND BOND FINANCING AGREEMENT" OR
"FINANCING AGREEMENT" MEANS AN AGREEMENT AUTHORIZED AND CREATED PURSUANT
TO SUBDIVISION FOUR OF THIS SECTION AND SECTION FIVE HUNDRED FIFTY-FOUR
OF THE LABOR LAW, AS SAME BY ITS TERMS AND BOND PROCEEDINGS, MAY BE
AMENDED.
2. THE AUTHORITY IS HEREBY AUTHORIZED TO ISSUE BONDS TO REDUCE THE
CONTRIBUTIONS OF EMPLOYERS UNDER SECTION FIVE HUNDRED FIFTY OF THE LABOR
LAW AS A RESULT OF OBLIGATIONS OWED TO THE "UNEMPLOYMENT INSURANCE TRUST
FUND" OF THE UNITED STATES GOVERNMENT OR ITS AUTHORIZED AGENT. THE
AUTHORITY MAY ENTER INTO ONE OR MORE UNEMPLOYMENT INSURANCE TRUST FUND
BOND FINANCING AGREEMENTS DESCRIBED IN SECTION FIVE HUNDRED FIFTY-FOUR
OF THE LABOR LAW. ALL OF THE PROVISIONS OF THE AUTHORITY RELATING TO
BONDS AND NOTES WHICH ARE NOT INCONSISTENT WITH THE PROVISIONS OF THIS
SECTION SHALL APPLY TO OBLIGATIONS AUTHORIZED BY THIS SECTION, INCLUDING
BUT NOT LIMITED TO THE POWER TO ESTABLISH ADEQUATE RESERVES THEREFOR AND
TO ISSUE RENEWAL NOTES OR REFUNDING BONDS THEREOF. THE PROVISIONS OF
THIS SECTION SHALL APPLY SOLELY TO OBLIGATIONS AUTHORIZED BY THIS
SECTION.
3. IT IS FOUND AND DECLARED THAT OBLIGATIONS OWED TO THE "UNEMPLOYMENT
INSURANCE TRUST FUND" WILL, ABSENT PROVISION FOR LONG-TERM FINANCING,
RESULT IN THE IMPOSITION OF INCREASED COSTS ON EMPLOYERS THROUGH UNEM-
PLOYMENT INSURANCE ASSESSMENTS AND CONTRIBUTIONS; THAT SUCH INCREASED
ASSESSMENTS AND CONTRIBUTIONS MAY HAVE A DETRIMENTAL IMPACT ON BUSI-
NESSES IN NEW YORK STATE AND ON THEIR ABILITY TO HIRE AND RETAIN EMPLOY-
EES; THAT WITHOUT SUCH FINANCING EMPLOYERS WILL CONTINUE TO BE REQUIRED
TO PAY HIGHER ASSESSMENTS AND CONTRIBUTIONS TO PAY SUCH OBLIGATIONS;
THAT THE BONDS WILL PROVIDE A MORE EFFICIENT MEANS OF COVERING SUCH
OBLIGATIONS IN THE SHORT-TERM; THAT BONDS ISSUED BY THE AUTHORITY WOULD
ALLOW THE STATE TO LIMIT THE ASSESSMENTS AND CONTRIBUTIONS NEEDED TO PAY
SUCH OBLIGATIONS, THEREBY FURTHERING THE POLICY OF THE STATE TO IMPROVE
THE BUSINESS CLIMATE IN THE STATE; THAT ALL COSTS OF THE AUTHORITY IN
RELATION TO THIS SECTION SHALL BE PAID FROM CONTRIBUTIONS PROVIDED FOR
IN THE LABOR LAW; AND THAT, THEREFORE, THE PROVISIONS OF THIS SECTION
ARE FOR THE PUBLIC BENEFIT AND GOOD AND THE AUTHORIZATION AS PROVIDED IN
THIS SECTION FOR THE ISSUANCE OF REVENUE OBLIGATIONS OF THE AUTHORITY IS
DECLARED TO BE FOR A PUBLIC PURPOSE AND THE EXERCISE OF AN ESSENTIAL
GOVERNMENTAL FUNCTION.
4. (A) THE AUTHORITY, THE COMMISSIONER OF TAXATION AND FINANCE AND THE
COMMISSIONER OF LABOR SHALL EXECUTE A FINANCING AGREEMENT PRIOR TO THE
ISSUANCE OF ANY BONDS. SUCH AGREEMENT SHALL CONTAIN SUCH TERMS AND
CONDITIONS AS ARE NECESSARY TO CARRY OUT AND EFFECTUATE THE PURPOSES OF
THIS SECTION, INCLUDING COVENANTS WITH RESPECT TO THE ASSESSMENT AND
ENFORCEMENT OF THE ASSESSMENTS, THE APPLICATION AND USE OF THE PROCEEDS
OF THE SALE OF BONDS TO PRESERVE THE TAX-EXEMPTION ON THE BONDS, THE
INTEREST ON WHICH IS INTENDED TO BE EXEMPT FROM TAXATION. THE STATE
SHALL NOT BE AUTHORIZED TO MAKE ANY COVENANT, PLEDGE, PROMISE OR AGREE-
MENT PURPORTING TO BIND THE STATE WITH RESPECT TO PLEDGED REVENUES,
EXCEPT AS OTHERWISE SPECIFICALLY AUTHORIZED BY THIS SECTION.
A. 3009--B 117
(B) THE NET PROCEEDS OF THE BONDS SHALL BE DEPOSITED IN ACCORDANCE
WITH THE FINANCING AGREEMENT AND THIS SECTION. NOT INCONSISTENT WITH
THIS SECTION, THE AUTHORITY MAY PROVIDE RESTRICTIONS ON THE USE AND
INVESTMENT OF NET PROCEEDS OF THE BONDS AND OTHER AMOUNTS IN THE FINANC-
ING AGREEMENT OR OTHERWISE IN A TAX REGULATORY AGREEMENT AS NECESSARY OR
DESIRABLE TO ASSURE THAT THEY ARE EXEMPT FROM TAXATION.
5. (A) (I) THE AUTHORITY SHALL HAVE THE POWER AND IS HEREBY AUTHORIZED
TO ISSUE ITS BONDS AT SUCH TIMES AND IN SUCH AGGREGATE PRINCIPAL AMOUNT
NOT TO EXCEED TWO BILLION DOLLARS ($2,000,000,000) EXCLUDING BONDS
ISSUED TO FINANCE ONE OR MORE DEBT SERVICE RESERVE FUNDS, TO PAY COSTS
OF ISSUANCE OF SUCH BONDS, AND BONDS OR NOTES ISSUED TO REFUND OR OTHER-
WISE REPAY SUCH BONDS OR NOTES PREVIOUSLY ISSUED. THE BONDS SHALL BE
ISSUED FOR THE PURPOSE OF REDUCING THE OBLIGATIONS OWED TO THE "UNEM-
PLOYMENT INSURANCE TRUST FUND" OF THE UNITED STATES GOVERNMENT OR ITS
AUTHORIZED AGENT.
(II) EACH ISSUANCE OF BONDS SHALL BE AUTHORIZED BY A RESOLUTION OF THE
AUTHORITY, PROVIDED, HOWEVER, THAT ANY SUCH RESOLUTION AUTHORIZING THE
ISSUANCE OF BONDS MAY DELEGATE TO AN OFFICER OF THE AUTHORITY THE POWER
TO ISSUE SUCH BONDS FROM TIME TO TIME AND TO FIX THE DETAILS OF ANY SUCH
ISSUES OF BONDS BY AN APPROPRIATE CERTIFICATE OF SUCH AUTHORIZED OFFI-
CER. EVERY ISSUE OF THE BONDS OF THE AUTHORITY FOR THE UNEMPLOYMENT
INSURANCE TRUST FUND SHALL BE SPECIAL REVENUE OBLIGATIONS PAYABLE FROM
AND SECURED BY A PLEDGE OF REVENUES AND OTHER ASSETS, INCLUDING THOSE
PROCEEDS OF SUCH BONDS DEPOSITED IN A RESERVE FUND FOR THE BENEFIT OF
BONDHOLDERS, EARNINGS ON FUNDS OF THE AUTHORITY AND SUCH OTHER FUNDS AND
ASSETS AS MAY BECOME AVAILABLE, UPON SUCH TERMS AND CONDITIONS AS SPECI-
FIED BY THE AUTHORITY IN THE RESOLUTION UNDER WHICH THE BONDS ARE ISSUED
OR IN A RELATED TRUST INDENTURE.
(III) THE AUTHORITY SHALL HAVE THE POWER AND IS HEREBY AUTHORIZED FROM
TIME TO TIME TO ISSUE BONDS TO REFUND ANY BONDS ISSUED UNDER THIS
SECTION BY THE ISSUANCE OF NEW BONDS, WHETHER THE BONDS TO BE REFUNDED
HAVE OR HAVE NOT MATURED, AND TO ISSUE BONDS PARTLY TO REFUND BONDS THEN
OUTSTANDING AND PARTLY FOR ANY OF ITS OTHER CORPORATE PURPOSES UNDER
THIS SECTION. THE REFUNDING BONDS MAY BE EXCHANGED FOR THE BONDS TO BE
REFUNDED OR SOLD AND THE PROCEEDS APPLIED TO THE PURCHASE, REDEMPTION OR
PAYMENT OF SUCH BONDS.
(B) THE BONDS OF THE AUTHORITY OF EACH ISSUE SHALL BE DATED, SHALL
BEAR INTEREST (WHICH, IN THE OPINION OF BOND COUNSEL TO THE AUTHORITY,
MAY BE INCLUDABLE IN OR EXCLUDABLE FROM THE GROSS INCOME OF THE OWNERS
FOR FEDERAL INCOME TAX PURPOSES) AT SUCH FIXED OR VARIABLE RATES, PAYA-
BLE AT OR PRIOR TO MATURITY, AND SHALL MATURE AT SUCH TIME OR TIMES, AS
MAY BE DETERMINED BY THE AUTHORITY AND MAY BE MADE REDEEMABLE BEFORE
MATURITY, AT THE OPTION OF THE AUTHORITY, AT SUCH PRICE OR PRICES AND
UNDER SUCH TERMS AND CONDITIONS AS MAY BE FIXED BY THE AUTHORITY. THE
PRINCIPAL AND INTEREST OF SUCH BONDS MAY BE MADE PAYABLE IN ANY LAWFUL
MEDIUM. THE RESOLUTION OR THE CERTIFICATE OF THE AUTHORIZED OFFICER
SHALL DETERMINE THE FORM OF THE BONDS, EITHER REGISTERED OR BOOK-ENTRY
FORM, AND THE MANNER OF EXECUTION OF THE BONDS AND SHALL FIX THE DENOMI-
NATION OR DENOMINATIONS OF THE BONDS AND THE PLACE OR PLACES OF PAYMENT
OF PRINCIPAL AND INTEREST THEREOF, WHICH MAY BE AT ANY BANK OR TRUST
COMPANY WITHIN OR OUTSIDE THE STATE. IF ANY OFFICER WHOSE SIGNATURE OR A
FACSIMILE THEREOF APPEARS ON ANY BONDS SHALL CEASE TO BE SUCH OFFICER
BEFORE THE DELIVERY OF SUCH BONDS, SUCH SIGNATURE OR FACSIMILE SHALL
NEVERTHELESS BE VALID AND SUFFICIENT FOR ALL PURPOSES THE SAME AS IF
SUCH OFFICER HAD REMAINED IN OFFICE UNTIL SUCH DELIVERY. THE AUTHORITY
A. 3009--B 118
MAY ALSO PROVIDE FOR TEMPORARY BONDS AND FOR THE REPLACEMENT OF ANY
BONDS THAT SHALL BECOME MUTILATED OR SHALL BE DESTROYED OR LOST.
(C) THE AUTHORITY MAY SELL SUCH BONDS IN SUCH MANNER, EITHER AT A
PUBLIC OR PRIVATE SALE AND EITHER ON A COMPETITIVE OR NEGOTIATED BASIS,
PROVIDED NO SUCH BONDS MAY BE SOLD BY THE AUTHORITY AT PRIVATE SALE
UNLESS SUCH SALE AND THE TERMS THEREOF HAVE BEEN APPROVED IN WRITING BY
THE COMPTROLLER OF THE STATE OF NEW YORK. THE PROCEEDS OF SUCH BONDS
SHALL BE DISBURSED FOR THE PURPOSES FOR WHICH SUCH BONDS WERE ISSUED
UNDER SUCH RESTRICTIONS AS THE FINANCING AGREEMENT AND THE RESOLUTION
AUTHORIZING THE ISSUANCE OF SUCH BONDS OR THE RELATED TRUST INDENTURE
MAY PROVIDE. SUCH BONDS SHALL BE ISSUED UPON APPROVAL OF THE AUTHORITY
AND WITHOUT ANY OTHER APPROVALS, FILINGS, PROCEEDINGS OR THE HAPPENING
OF ANY OTHER CONDITIONS OR THINGS OTHER THAN THE APPROVALS, FINDINGS,
PROCEEDINGS, CONDITIONS, AND THINGS THAT ARE SPECIFIED AND REQUIRED BY
THIS SECTION. PROVIDED, HOWEVER, THAT ANY ISSUANCE OF BONDS UNDER THE
AUTHORITY OF THIS SECTION SHALL BE CONSIDERED A PROJECT FOR THE PURPOSES
OF SECTION FIFTY-ONE OF THIS CHAPTER, AND SUBJECT TO APPROVAL UNDER SUCH
SECTION.
(D) ANY PLEDGE MADE BY THE AUTHORITY SHALL BE VALID AND BINDING AT THE
TIME THE PLEDGE IS MADE. THE ASSETS, PROPERTY, REVENUES, RESERVES OR
EARNINGS SO PLEDGED SHALL IMMEDIATELY BE SUBJECT TO THE LIEN OF SUCH
PLEDGE WITHOUT ANY PHYSICAL DELIVERY THEREOF OR FURTHER ACT AND THE LIEN
OF ANY SUCH PLEDGE SHALL BE VALID AND BINDING AS AGAINST ALL PARTIES
HAVING CLAIMS OF ANY KIND AGAINST THE AUTHORITY, IRRESPECTIVE OF WHETHER
SUCH PARTIES HAVE NOTICE THEREOF. NOTWITHSTANDING ANY OTHER PROVISION OF
LAW TO THE CONTRARY, NEITHER THE BOND RESOLUTION NOR ANY INDENTURE OR
OTHER INSTRUMENT, INCLUDING THE FINANCING AGREEMENT, BY WHICH A PLEDGE
IS CREATED OR BY WHICH THE AUTHORITY'S INTEREST IN PLEDGED ASSETS, PROP-
ERTY, REVENUES, RESERVES OR EARNINGS THEREON IS ASSIGNED NEED BE FILED,
PERFECTED OR RECORDED IN ANY PUBLIC RECORDS IN ORDER TO PROTECT THE
PLEDGE THEREOF OR PERFECT THE LIEN THEREOF AS AGAINST THIRD PARTIES,
EXCEPT THAT A COPY THEREOF SHALL BE FILED IN THE RECORDS OF THE AUTHORI-
TY.
(E) WHETHER OR NOT THE BONDS OF THE AUTHORITY ARE OF SUCH FORM AND
CHARACTER AS TO BE NEGOTIABLE INSTRUMENTS UNDER THE TERMS OF THE UNIFORM
COMMERCIAL CODE, THE BONDS ARE HEREBY MADE NEGOTIABLE INSTRUMENTS FOR
ALL PURPOSES, SUBJECT ONLY TO THE PROVISIONS OF THE BONDS FOR REGISTRA-
TION.
(F) AT THE SOLE DISCRETION OF THE AUTHORITY, ANY BONDS ISSUED BY THE
AUTHORITY AND ANY ANCILLARY BOND FACILITY MADE UNDER THE PROVISIONS OF
THIS SUBDIVISION MAY BE SECURED BY A RESOLUTION OR TRUST INDENTURE BY
AND BETWEEN THE AUTHORITY AND THE TRUST INDENTURE TRUSTEE, WHICH MAY BE
ANY TRUST COMPANY OR BANK HAVING THE POWERS OF A TRUST COMPANY, WHETHER
LOCATED WITHIN OR OUTSIDE THE STATE, PROVIDED IT IS CARRIED OUT IN
ACCORDANCE WITH SECTION SIXTY-NINE-D OF THE STATE FINANCE LAW. SUCH
TRUST INDENTURE OR RESOLUTION PROVIDING FOR THE ISSUANCE OF SUCH BONDS
MAY PROVIDE FOR THE CREATION AND MAINTENANCE OF SUCH RESERVES AS THE
AUTHORITY SHALL DETERMINE TO BE PROPER AND MAY INCLUDE COVENANTS SETTING
FORTH THE DUTIES OF THE AUTHORITY IN RELATION TO THE BONDS, THE INCOME
OF THE AUTHORITY, OR THE FINANCING AGREEMENT. SUCH TRUST INDENTURE OR
RESOLUTION MAY CONTAIN PROVISIONS: (I) RESPECTING THE CUSTODY, SAFE-
GUARDING AND APPLICATION OF ALL MONEYS AND SECURITIES; (II) PROTECTING
AND ENFORCING THE RIGHTS AND REMEDIES (PURSUANT TO THE TRUST INDENTURE
AND THE FINANCING AGREEMENT) OF THE OWNERS OF THE BONDS AND ANY OTHER
BENEFITED PARTY AS MAY BE REASONABLE AND PROPER AND NOT IN VIOLATION OF
LAW; (III) CONCERNING THE RIGHTS, POWERS AND DUTIES OF THE TRUSTEE
A. 3009--B 119
APPOINTED BY BONDHOLDERS PURSUANT TO PARAGRAPH (G) OF THIS SUBDIVISION;
OR (IV) LIMITING OR ABROGATING THE RIGHT OF THE BONDHOLDERS TO APPOINT A
TRUSTEE. IT SHALL BE LAWFUL FOR ANY BANK OR TRUST COMPANY WHICH MAY ACT
AS DEPOSITORY OF THE PROCEEDS OF BONDS OR OF ANY OTHER FUNDS OR OBLI-
GATIONS RECEIVED ON BEHALF OF THE AUTHORITY TO FURNISH SUCH INDEMNIFYING
BONDS OR TO PLEDGE SUCH SECURITIES AS MAY BE REQUIRED BY THE AUTHORITY.
ANY SUCH TRUST INDENTURE OR RESOLUTION MAY CONTAIN SUCH OTHER PROVISIONS
AS THE AUTHORITY MAY DEEM REASONABLE AND PROPER FOR PRIORITIES AND
SUBORDINATION AMONG THE OWNERS OF THE BONDS AND OTHER BENEFICIARIES.
FOR PURPOSES OF THIS SECTION, A "RESOLUTION" OF THE AUTHORITY SHALL
INCLUDE ANY TRUST INDENTURE AUTHORIZED THEREBY.
(G) THE AUTHORITY MAY ENTER INTO, AMEND OR TERMINATE, AS IT DETERMINES
TO BE NECESSARY OR APPROPRIATE, ANY ANCILLARY BOND FACILITY (I) TO
FACILITATE THE ISSUANCE, SALE, RESALE, PURCHASE, REPURCHASE OR PAYMENT
OF BONDS, INTEREST RATE SAVINGS OR MARKET DIVERSIFICATION OR THE MAKING
OR PERFORMANCE OF INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, INCLUD-
ING WITHOUT LIMITATION BOND INSURANCE, LETTERS OF CREDIT AND LIQUIDITY
FACILITIES, (II) TO ATTEMPT TO MANAGE OR HEDGE RISK OR ACHIEVE A DESIRA-
BLE EFFECTIVE INTEREST RATE OR CASH FLOW, OR (III) TO PLACE THE OBLI-
GATIONS OR INVESTMENTS OF THE AUTHORITY, AS REPRESENTED BY THE BONDS OR
THE INVESTMENT OF RESERVED BOND PROCEEDS OR OTHER PLEDGED REVENUES OR
OTHER ASSETS, IN WHOLE OR IN PART, ON THE INTEREST RATE, CASH FLOW OR
OTHER BASIS, WHICH FACILITY MAY INCLUDE WITHOUT LIMITATION CONTRACTS
COMMONLY KNOWN AS INTEREST RATE EXCHANGE OR SIMILAR AGREEMENTS, FORWARD
PURCHASE CONTRACTS OR GUARANTEED INVESTMENT CONTRACTS AND FUTURES OR
CONTRACTS PROVIDING FOR PAYMENTS BASED ON LEVELS OF, OR CHANGES IN,
INTEREST RATES. THESE CONTRACTS OR ARRANGEMENTS MAY BE ENTERED INTO BY
THE AUTHORITY IN CONNECTION WITH, OR INCIDENTAL TO, ENTERING INTO, OR
MAINTAINING ANY (I) AGREEMENT WHICH SECURES BONDS OF THE AUTHORITY OR
(II) INVESTMENT, OR CONTRACT PROVIDING FOR INVESTMENT OF RESERVES OR
SIMILAR FACILITY GUARANTEEING AN INVESTMENT RATE FOR A PERIOD OF YEARS
NOT TO EXCEED THE UNDERLYING TERM OF THE BONDS. THE DETERMINATION BY THE
AUTHORITY THAT AN ANCILLARY BOND FACILITY OR THE AMENDMENT OR TERMI-
NATION THEREOF IS NECESSARY OR APPROPRIATE AS AFORESAID SHALL BE CONCLU-
SIVE. ANY ANCILLARY BOND FACILITY MAY CONTAIN SUCH PAYMENT, SECURITY,
DEFAULT, REMEDY, AND TERMINATION PROVISIONS AND PAYMENTS AND OTHER TERMS
AND CONDITIONS AS DETERMINED BY THE AUTHORITY, AFTER GIVING DUE CONSID-
ERATION TO THE CREDITWORTHINESS OF THE COUNTERPARTY OR OTHER OBLIGATED
PARTY, INCLUDING ANY RATING BY ANY NATIONALLY RECOGNIZED RATING AGENCY,
AND ANY OTHER CRITERIA AS MAY BE APPROPRIATE.
(H) THE AUTHORITY, SUBJECT TO SUCH AGREEMENTS WITH BONDHOLDERS AS MAY
THEN EXIST (INCLUDING PROVISIONS WHICH RESTRICT THE POWER OF THE AUTHOR-
ITY TO PURCHASE BONDS), OR WITH THE PROVIDERS OF ANY APPLICABLE ANCIL-
LARY BOND FACILITY, SHALL HAVE THE POWER OUT OF ANY FUNDS AVAILABLE
THEREFOR TO PURCHASE BONDS OF THE AUTHORITY, WHICH MAY OR MAY NOT THERE-
UPON BE CANCELLED, AT A PRICE NOT SUBSTANTIALLY EXCEEDING:
(I) IF THE BONDS ARE THEN REDEEMABLE, THE REDEMPTION PRICE THEN APPLI-
CABLE, INCLUDING ANY ACCRUED INTEREST; OR
(II) IF THE BONDS ARE NOT THEN REDEEMABLE, THE REDEMPTION PRICE AND
ACCRUED INTEREST APPLICABLE ON THE FIRST DATE AFTER SUCH PURCHASE UPON
WHICH THE BONDS BECOME SUBJECT TO REDEMPTION.
(I) NEITHER THE MEMBERS OF THE AUTHORITY NOR ANY OTHER PERSON EXECUT-
ING THE BONDS OR AN ANCILLARY BOND FACILITY OF THE AUTHORITY SHALL BE
SUBJECT TO ANY PERSONAL LIABILITY BY REASON OF THE ISSUANCE OR EXECUTION
AND DELIVERY THEREOF.
A. 3009--B 120
(J) THE MATURITIES OF THE BONDS SHALL NOT EXCEED FIFTEEN YEARS FROM
THEIR RESPECTIVE ISSUANCE DATES.
6. NEITHER ANY BOND ISSUED PURSUANT TO THIS SECTION NOR ANY ANCILLARY
BOND FACILITY OF THE AUTHORITY SHALL CONSTITUTE A DEBT OR MORAL OBLI-
GATION OF THE STATE OR A STATE SUPPORTED OBLIGATION WITHIN THE MEANING
OF ANY CONSTITUTIONAL OR STATUTORY PROVISION OR A PLEDGE OF THE FAITH
AND CREDIT OF THE STATE OR OF THE TAXING POWER OF THE STATE, AND THE
STATE SHALL NOT BE LIABLE TO MAKE ANY PAYMENTS THEREON NOR SHALL ANY
BOND OR ANY ANCILLARY BOND FACILITY BE PAYABLE OUT OF ANY FUNDS OR
ASSETS OTHER THAN PLEDGED REVENUES AND OTHER ASSETS OF THE AUTHORITY AND
OTHER FUNDS AND ASSETS OF OR AVAILABLE TO THE AUTHORITY PLEDGED THERE-
FOR, AND THE BONDS AND ANY ANCILLARY BOND FACILITY OF THE AUTHORITY
SHALL CONTAIN ON THE FACE THEREOF OR OTHER PROMINENT PLACE THEREON A
STATEMENT TO THE FOREGOING EFFECT.
7. (A) SUBJECT TO THE PROVISIONS OF SUBDIVISION FIVE OF THIS SECTION
IN THE EVENT THAT THE AUTHORITY SHALL DEFAULT IN THE PAYMENT OF PRINCI-
PAL OF, OR INTEREST ON, OR SINKING FUND PAYMENT ON, ANY ISSUE OF BONDS
AFTER THE SAME SHALL BECOME DUE, WHETHER AT MATURITY OR UPON CALL FOR
REDEMPTION, OR IN THE EVENT THAT THE AUTHORITY OR THE STATE SHALL FAIL
TO COMPLY WITH ANY AGREEMENT MADE WITH THE HOLDERS OF ANY ISSUE OF
BONDS, THE HOLDERS OF TWENTY-FIVE PERCENT IN AGGREGATE PRINCIPAL AMOUNT
OF THE BONDS OF SUCH ISSUE THEN OUTSTANDING, BY INSTRUMENT OR INSTRU-
MENTS FILED IN THE OFFICE OF THE CLERK OF THE COUNTY OF ALBANY AND
PROVED OR ACKNOWLEDGED IN THE SAME MANNER AS A DEED TO BE RECORDED, MAY
APPOINT A TRUSTEE TO REPRESENT THE HOLDERS OF SUCH BONDS FOR THE
PURPOSES HEREIN PROVIDED.
(B) SUCH TRUSTEE MAY, AND UPON WRITTEN REQUEST OF THE HOLDERS OF TWEN-
TY-FIVE PERCENT IN PRINCIPAL AMOUNT OF SUCH BONDS THEN OUTSTANDING
SHALL, IN HIS, HER OR ITS OWN NAME:
(I) BY SUIT, ACTION OR PROCEEDING IN ACCORDANCE WITH THE CIVIL PRAC-
TICE LAW AND RULES, ENFORCE ALL RIGHTS OF THE BONDHOLDERS, INCLUDING THE
RIGHT TO REQUIRE THE AUTHORITY TO CARRY OUT ANY AGREEMENT WITH SUCH
HOLDERS AND TO PERFORM ITS DUTIES UNDER THIS SECTION;
(II) BRING SUIT UPON SUCH BONDS;
(III) BY ACTION OR SUIT, REQUIRE THE AUTHORITY TO ACCOUNT AS IF IT
WERE THE TRUSTEE OF AN EXPRESS TRUST FOR THE HOLDERS OF SUCH BONDS;
(IV) BY ACTION OR SUIT, ENJOIN ANY ACTS OR THINGS WHICH MAY BE UNLAW-
FUL OR IN VIOLATION OF THE RIGHTS OF THE HOLDERS OF SUCH BONDS; AND
(V) DECLARE ALL SUCH BONDS DUE AND PAYABLE, AND IF ALL DEFAULTS SHALL
BE MADE GOOD, THEN, WITH THE CONSENT OF THE HOLDERS OF TWENTY-FIVE
PERCENT OF THE PRINCIPAL AMOUNT OF SUCH BONDS THEN OUTSTANDING, ANNUL
SUCH DECLARATION AND ITS CONSEQUENCES, PROVIDED, HOWEVER, THAT NOTHING
IN THIS SUBDIVISION SHALL PRECLUDE THE AUTHORITY FROM AGREEING THAT
CONSENT OF THE PROVIDER OF AN ANCILLARY BOND FACILITY IS REQUIRED FOR AN
ACCELERATION OF RELATED BONDS IN THE EVENT OF A DEFAULT OTHER THAN A
FAILURE TO PAY PRINCIPAL OF OR INTEREST ON THE BONDS WHEN DUE.
(C) THE SUPREME COURT SHALL HAVE JURISDICTION OF ANY SUIT, ACTION OR
PROCEEDING BY THE TRUSTEE ON BEHALF OF SUCH BONDHOLDERS. THE VENUE OF
ANY SUCH SUIT, ACTION OR PROCEEDING SHALL BE LAID IN THE COUNTY OF ALBA-
NY.
(D) BEFORE DECLARING THE PRINCIPAL OF BONDS DUE AND PAYABLE, THE TRUS-
TEE SHALL FIRST GIVE THIRTY DAYS NOTICE IN WRITING TO THE AUTHORITY.
8. ALL MONIES OF THE AUTHORITY FROM WHATEVER SOURCE DERIVED SHALL BE
PAID TO THE TREASURER OF THE AUTHORITY AND SHALL BE DEPOSITED FORTHWITH
IN A BANK OR BANKS DESIGNATED BY THE AUTHORITY. THE MONIES IN SUCH
ACCOUNTS SHALL BE PAID OUT OR WITHDRAWN ON THE ORDER OF SUCH PERSON OR
A. 3009--B 121
PERSONS AS THE AUTHORITY MAY AUTHORIZE TO MAKE SUCH REQUISITIONS. ALL
DEPOSITS OF SUCH MONIES SHALL EITHER BE SECURED BY OBLIGATIONS OF THE
UNITED STATES OR OF THE STATE OR OF ANY MUNICIPALITY OF A MARKET VALUE
EQUAL AT ALL TIMES TO THE AMOUNT ON DEPOSIT, OR MONIES OF THE AUTHORITY
MAY BE DEPOSITED IN MONEY MARKET FUNDS RATED IN THE HIGHEST SHORT-TERM
OR LONG-TERM RATING CATEGORY BY AT LEAST ONE NATIONALLY RECOGNIZED
RATING AGENCY. TO THE EXTENT PRACTICABLE, AND CONSISTENT WITH THE
REQUIREMENTS OF THE AUTHORITY, ALL SUCH MONIES SHALL BE DEPOSITED IN
INTEREST BEARING ACCOUNTS. THE AUTHORITY SHALL HAVE POWER, NOTWITHSTAND-
ING THE PROVISIONS OF THIS SECTION, TO CONTRACT WITH THE HOLDERS OF ANY
BONDS AS TO THE CUSTODY, COLLECTION, SECURITY, INVESTMENT AND PAYMENT OF
ANY MONIES OF THE AUTHORITY OR ANY MONIES HELD IN TRUST OR OTHERWISE FOR
THE PAYMENT OF BONDS OR ANY WAY TO SECURE BONDS, AND CARRY OUT ANY SUCH
CONTRACT NOTWITHSTANDING THAT SUCH CONTRACT MAY BE INCONSISTENT WITH THE
PROVISIONS OF THIS SECTION. MONIES HELD IN TRUST OR OTHERWISE FOR THE
PAYMENT OF BONDS OR IN ANY WAY TO SECURE BONDS AND DEPOSITS OF SUCH
MONEYS MAY BE SECURED IN THE SAME MANNER AS MONIES OF THE AUTHORITY AND
ALL BANKS AND TRUST COMPANIES ARE AUTHORIZED TO GIVE SUCH SECURITY FOR
SUCH DEPOSITS. ANY MONIES OF THE AUTHORITY NOT REQUIRED FOR IMMEDIATE
USE OR DISBURSEMENT MAY, AT THE DISCRETION OF THE AUTHORITY, BE INVESTED
IN ACCORDANCE WITH LAW AND SUCH GUIDELINES AS ARE APPROVED BY THE
AUTHORITY.
9. (A) IT IS HEREBY DETERMINED THAT THE CARRYING OUT BY THE AUTHORITY
OF ITS CORPORATE PURPOSES UNDER THIS SECTION ARE IN ALL RESPECTS FOR THE
BENEFIT OF THE PEOPLE OF THE STATE OF NEW YORK AND ARE PUBLIC PURPOSES.
ACCORDINGLY, THE AUTHORITY SHALL BE REGARDED AS PERFORMING AN ESSENTIAL
GOVERNMENTAL FUNCTION IN THE EXERCISE OF THE POWERS CONFERRED UPON IT BY
THIS SECTION. THE PROPERTY OF THE AUTHORITY, ITS INCOME AND ITS OPER-
ATIONS SHALL BE EXEMPT FROM TAXATION, ASSESSMENTS, SPECIAL ASSESSMENTS
AND AD VALOREM LEVIES. THE AUTHORITY SHALL NOT BE REQUIRED TO PAY ANY
FEES, TAXES, SPECIAL AD VALOREM LEVIES OR ASSESSMENTS OF ANY KIND,
WHETHER STATE OR LOCAL, INCLUDING, BUT NOT LIMITED TO, REAL PROPERTY
TAXES, FRANCHISE TAXES, SALES TAXES OR OTHER TAXES, UPON OR WITH RESPECT
TO ANY PROPERTY OWNED BY IT OR UNDER ITS JURISDICTION, CONTROL OR SUPER-
VISION, OR UPON THE USES THEREOF, OR UPON OR WITH RESPECT TO ITS ACTIV-
ITIES OR OPERATIONS IN FURTHERANCE OF THE POWERS CONFERRED UPON IT BY
THIS SECTION, OR UPON OR WITH RESPECT TO ANY ASSESSMENTS, RATES, CHARG-
ES, FEES, REVENUES OR OTHER INCOME RECEIVED BY THE AUTHORITY.
(B) ANY BONDS ISSUED PURSUANT TO THIS SECTION, THEIR TRANSFER AND THE
INCOME THEREFROM SHALL, AT ALL TIMES, BE EXEMPT FROM TAXATION EXCEPT FOR
ESTATE OR GIFT TAXES AND TAXES ON TRANSFERS.
(C) THE STATE HEREBY COVENANTS WITH THE PURCHASERS AND WITH ALL SUBSE-
QUENT HOLDERS AND TRANSFEREES OF BONDS ISSUED BY THE AUTHORITY PURSUANT
TO THIS SECTION, IN CONSIDERATION OF THE ACCEPTANCE OF AND PAYMENT FOR
THE BONDS, THAT THE BONDS OF THE AUTHORITY ISSUED PURSUANT TO THIS
SECTION AND THE INCOME THEREFROM AND ALL ASSESSMENTS, REVENUES, MONEYS,
AND OTHER PROPERTY RECEIVED BY THE AUTHORITY AND PLEDGED TO PAY OR TO
SECURE THE PAYMENT OF SUCH BONDS SHALL AT ALL TIMES BE EXEMPT FROM TAXA-
TION.
(D) IN THE CASE OF ANY BONDS OF THE AUTHORITY, INTEREST ON WHICH IS
INTENDED TO BE EXEMPT FROM FEDERAL INCOME TAX, THE AUTHORITY SHALL
PRESCRIBE RESTRICTIONS ON THE USE OF THE PROCEEDS THEREOF AND RELATED
MATTERS ONLY AS ARE NECESSARY OR DESIRABLE TO ASSURE SUCH EXEMPTION, AND
THE RECIPIENTS OF SUCH PROCEEDS SHALL BE BOUND THEREBY TO THE EXTENT
SUCH RESTRICTIONS SHALL BE MADE APPLICABLE TO THEM. ANY SUCH RECIPIENT,
INCLUDING, BUT NOT LIMITED TO, THE STATE, THE STATE INSURANCE FUND, A
A. 3009--B 122
PUBLIC BENEFIT CORPORATION, AND A SCHOOL DISTRICT OR MUNICIPALITY IS
AUTHORIZED TO EXECUTE A TAX REGULATORY AGREEMENT WITH THE AUTHORITY OR
THE STATE, AS THE CASE MAY BE, AND THE EXECUTION OF SUCH AN AGREEMENT
MAY BE TREATED BY THE AUTHORITY OR THE STATE AS A CONDITION TO RECEIVING
ANY SUCH PROCEEDS.
10. (A) THE STATE, SOLELY WITH RESPECT TO THE RESOURCES OF THE UNEM-
PLOYMENT INSURANCE TRUST FUND AND AS SET FORTH IN THE FINANCING AGREE-
MENT, COVENANTS WITH THE PURCHASERS AND ALL SUBSEQUENT OWNERS AND TRANS-
FEREES OF BONDS ISSUED BY THE AUTHORITY PURSUANT TO THIS SECTION IN
CONSIDERATION OF THE ACCEPTANCE OF THE PAYMENT OF THE BONDS, UNTIL THE
BONDS, TOGETHER WITH THE INTEREST THEREON, WITH INTEREST ON ANY UNPAID
INSTALLMENT OF INTEREST AND ALL COSTS AND EXPENSES IN CONNECTION WITH
ANY ACTION OR PROCEEDING ON BEHALF OF THE OWNERS, ARE FULLY MET AND
DISCHARGED OR UNLESS EXPRESSLY PERMITTED OR OTHERWISE AUTHORIZED BY THE
TERMS OF EACH FINANCING AGREEMENT AND ANY CONTRACT MADE OR ENTERED INTO
BY THE AUTHORITY WITH OR FOR THE BENEFIT OF SUCH OWNERS, (I) THAT IN THE
EVENT BONDS OF THE AUTHORITY ARE SOLD AS FEDERALLY TAX-EXEMPT BONDS, THE
STATE SHALL NOT TAKE ANY ACTION OR FAIL TO TAKE ACTION THAT WOULD RESULT
IN THE LOSS OF SUCH FEDERAL TAX EXEMPTION ON SAID BONDS, (II) THAT THE
STATE MAY IMPOSE, CHARGE, RAISE, LEVY, COLLECT AND APPLY THE PLEDGED
ASSESSMENTS AND OTHER REVENUES, RECEIPTS, FUNDS OR MONEYS PLEDGED FOR
THE PAYMENT OF DEBT SERVICE REQUIREMENTS IN EACH YEAR IN WHICH BONDS ARE
OUTSTANDING, AND (III) FURTHER, THAT THE STATE (A) WILL NOT MATERIALLY
LIMIT OR ALTER THE DUTIES IMPOSED ON THE UNEMPLOYMENT INSURANCE TRUST
FUND, THE AUTHORITY AND OTHER OFFICERS OF THE STATE BY THE UNEMPLOYMENT
INSURANCE TRUST FUND FINANCING AGREEMENT AND THE BOND PROCEEDINGS
AUTHORIZING THE ISSUANCE OF BONDS WITH RESPECT TO APPLICATION OF PLEDGED
ASSESSMENTS OR OTHER REVENUES, RECEIPTS, FUNDS OR MONEYS PLEDGED FOR THE
PAYMENT OF DEBT SERVICE REQUIREMENTS, (B) WILL NOT ISSUE ANY BONDS,
NOTES OR OTHER EVIDENCES OF INDEBTEDNESS, OTHER THAN THE BONDS, HAVING
ANY RIGHTS ARISING OUT OF THIS SECTION OR SECURED BY ANY PLEDGE OF OR
OTHER LIEN OR CHARGE ON THE PLEDGED REVENUES OR OTHER RECEIPTS, FUNDS OR
MONEYS PLEDGED FOR THE PAYMENT OF DEBT SERVICE REQUIREMENTS, (C) WILL
NOT CREATE OR CAUSE TO BE CREATED ANY LIEN OR CHARGE ON THE PLEDGED
REVENUES, OTHER THAN A LIEN OR PLEDGE CREATED THEREON PURSUANT TO SAID
SECTIONS, (D) WILL CARRY OUT AND PERFORM, OR CAUSE TO BE CARRIED OUT AND
PERFORMED, EACH AND EVERY PROMISE, COVENANT, AGREEMENT OR CONTRACT MADE
OR ENTERED INTO BY THE UNEMPLOYMENT INSURANCE TRUST FUND FINANCING
AGREEMENT, BY THE AUTHORITY OR ON ITS BEHALF WITH THE BOND OWNERS OF ANY
BONDS, (E) WILL NOT IN ANY WAY IMPAIR THE RIGHTS, EXEMPTIONS OR REMEDIES
OF THE BOND OWNERS, AND (F) WILL NOT LIMIT, MODIFY, RESCIND, REPEAL OR
OTHERWISE ALTER THE RIGHTS OR OBLIGATIONS OF THE APPROPRIATE OFFICERS OF
THE STATE TO IMPOSE, MAINTAIN, CHARGE OR COLLECT THE ASSESSMENTS AND
OTHER REVENUES OR RECEIPTS CONSTITUTING THE PLEDGED REVENUES AS MAY BE
NECESSARY TO PRODUCE SUFFICIENT REVENUES TO FULFILL THE TERMS OF THE
PROCEEDINGS AUTHORIZING THE ISSUANCE OF THE BONDS, INCLUDING PLEDGED
REVENUE COVERAGE REQUIREMENTS, PROVIDED, HOWEVER, (I) THE REMEDIES
AVAILABLE TO THE AUTHORITY AND THE BONDHOLDERS FOR ANY BREACH OF THE
PLEDGES AND AGREEMENTS OF THE STATE SET FORTH IN THIS SUBCLAUSE SHALL BE
LIMITED TO INJUNCTIVE RELIEF, (II) NOTHING IN THIS SUBDIVISION SHALL
PREVENT THE AUTHORITY FROM ISSUING EVIDENCES OF INDEBTEDNESS (A) WHICH
ARE SECURED BY A PLEDGE OR LIEN WHICH IS, AND SHALL ON THE FACE THEREOF,
BE EXPRESSLY SUBORDINATE AND JUNIOR IN ALL RESPECTS TO EVERY LIEN AND
PLEDGE CREATED BY OR PURSUANT TO SAID SECTIONS, OR (B) WHICH ARE SECURED
BY A PLEDGE OF OR LIEN ON MONEYS OR FUNDS DERIVED ON OR AFTER THE DATE
EVERY PLEDGE OR LIEN THEREON CREATED BY OR PURSUANT TO SAID SECTIONS
A. 3009--B 123
SHALL BE DISCHARGED AND SATISFIED, AND (III) NOTHING IN THIS SUBDIVISION
SHALL PRECLUDE THE STATE FROM EXERCISING ITS POWER, THROUGH A CHANGE IN
LAW, TO LIMIT, MODIFY, RESCIND, REPEAL OR OTHERWISE ALTER THE CHARACTER
OF THE PLEDGED ASSESSMENTS OR REVENUES OR TO SUBSTITUTE LIKE OR DIFFER-
ENT SOURCES OF ASSESSMENTS, TAXES, FEES, CHARGES OR OTHER RECEIPTS AS
PLEDGED REVENUES IF AND WHEN ADEQUATE PROVISION SHALL BE MADE BY LAW FOR
THE PROTECTION OF THE HOLDERS OF OUTSTANDING BONDS PURSUANT TO THE
PROCEEDINGS UNDER WHICH THE BONDS ARE ISSUED, INCLUDING CHANGING OR
ALTERING THE METHOD OF ESTABLISHING THE EMPLOYER CONTRIBUTION RATES.
THE AUTHORITY IS AUTHORIZED TO INCLUDE THIS COVENANT OF THE STATE, AS
A CONTRACT OF THE STATE, IN ANY AGREEMENT WITH THE OWNER OF ANY BONDS
ISSUED PURSUANT TO THIS SECTION AND IN ANY CREDIT FACILITY OR REIMBURSE-
MENT AGREEMENT WITH RESPECT TO SUCH BONDS. NOTWITHSTANDING THESE PLEDGES
AND AGREEMENTS BY THE STATE, THE ATTORNEY GENERAL MAY IN HIS OR HER
DISCRETION ENFORCE ANY AND ALL PROVISIONS RELATED TO THE UNEMPLOYMENT
INSURANCE TRUST FUND, WITHOUT LIMITATION.
(B) PRIOR TO THE DATE WHICH IS ONE YEAR AND ONE DAY AFTER THE AUTHORI-
TY NO LONGER HAS ANY BONDS ISSUED PURSUANT TO THIS SECTION OUTSTANDING,
THE AUTHORITY SHALL HAVE NO AUTHORITY TO FILE A VOLUNTARY PETITION UNDER
CHAPTER NINE OF THE FEDERAL BANKRUPTCY CODE OR SUCH CORRESPONDING CHAP-
TER OR SECTIONS AS MAY, FROM TIME TO TIME, BE IN EFFECT, AND NEITHER ANY
PUBLIC OFFICER NOR ANY ORGANIZATION, ENTITY OR OTHER PERSON SHALL
AUTHORIZE THE AUTHORITY TO BE OR BECOME A DEBTOR UNDER CHAPTER NINE OR
ANY SUCCESSOR OR CORRESPONDING CHAPTER OR SECTIONS DURING SUCH PERIOD.
THE STATE HEREBY COVENANTS WITH THE OWNERS OF THE BONDS OF THE AUTHORITY
THAT THE STATE WILL NOT LIMIT OR ALTER THE DENIAL OF AUTHORITY UNDER
THIS SUBDIVISION DURING THE PERIOD REFERRED TO IN THE PRECEDING
SENTENCE. THE AUTHORITY IS AUTHORIZED TO INCLUDE THIS COVENANT OF THE
STATE, AS A CONTRACT OF THE STATE, IN ANY AGREEMENT WITH THE OWNER OF
ANY BONDS ISSUED PURSUANT TO THIS SECTION.
(C) TO THE EXTENT DEEMED APPROPRIATE BY THE AUTHORITY ANY PLEDGE AND
AGREEMENT OF THE STATE WITH RESPECT TO THE BONDS AS PROVIDED IN THIS
SECTION MAY BE EXTENDED TO, AND INCLUDED IN, ANY ANCILLARY BOND FACILITY
AS A PLEDGE AND AGREEMENT OF THE STATE WITH THE AUTHORITY AND THE BENE-
FITED PARTY.
11. THE BONDS OF THE AUTHORITY ARE HEREBY MADE SECURITIES IN WHICH ALL
PUBLIC OFFICERS AND BODIES OF THIS STATE AND ALL MUNICIPALITIES AND
POLITICAL SUBDIVISIONS, ALL INSURANCE COMPANIES AND ASSOCIATIONS AND
OTHER PERSONS CARRYING ON AN INSURANCE BUSINESS, ALL BANKS, BANKERS,
TRUST COMPANIES, SAVINGS BANKS AND SAVINGS ASSOCIATIONS, INCLUDING
SAVINGS AND LOAN ASSOCIATIONS, BUILDING AND LOAN ASSOCIATIONS, INVEST-
MENT COMPANIES AND OTHER PERSONS CARRYING ON A BANKING BUSINESS, ALL
ADMINISTRATORS, GUARDIANS, EXECUTORS, TRUSTEES AND OTHER FIDUCIARIES,
AND ALL OTHER PERSONS WHATSOEVER WHO ARE NOW OR MAY HEREAFTER BE AUTHOR-
IZED TO INVEST IN BONDS OR IN OTHER OBLIGATIONS OF THE STATE, MAY PROP-
ERLY AND LEGALLY INVEST FUNDS, INCLUDING CAPITAL, IN THEIR CONTROL OR
BELONGING TO THEM. THE BONDS ARE ALSO HEREBY MADE SECURITIES WHICH MAY
BE DEPOSITED WITH AND MAY BE RECEIVED BY ALL PUBLIC OFFICERS AND BODIES
OF THE STATE AND ALL MUNICIPALITIES, POLITICAL SUBDIVISIONS AND PUBLIC
CORPORATIONS FOR ANY PURPOSE FOR WHICH THE DEPOSIT OF BONDS OR OTHER
OBLIGATIONS OF THE STATE IS NOW OR MAY HEREAFTER BE AUTHORIZED.
12. (A) AN ACTION AGAINST THE AUTHORITY FOR DEATH, PERSONAL INJURY OR
PROPERTY DAMAGE OR FOUNDED ON TORT SHALL NOT BE COMMENCED MORE THAN ONE
YEAR AND NINETY DAYS AFTER THE CAUSE OF ACTION THEREOF SHALL HAVE
ACCRUED NOR UNLESS A NOTICE OF CLAIM SHALL HAVE BEEN SERVED ON A MEMBER
OF THE AUTHORITY OR OFFICER OR EMPLOYEE THEREOF DESIGNATED BY THE
A. 3009--B 124
AUTHORITY FOR SUCH PURPOSE, WITHIN THE TIME LIMITED BY, AND IN COMPLI-
ANCE WITH THE REQUIREMENTS OF SECTION FIFTY-E OF THE GENERAL MUNICIPAL
LAW.
(B) THE VENUE OF EVERY ACTION, SUIT OR SPECIAL PROCEEDING BROUGHT
AGAINST THE AUTHORITY OR CONCERNING THE VALIDITY OF THIS SECTION SHALL
BE LAID IN THE COUNTY OF ALBANY.
(C) THE BONDS, AND ANY OBLIGATION OF THE AUTHORITY UNDER ANY ANCILLARY
BOND FACILITY, MAY CONTAIN A RECITAL THAT THEY ARE ISSUED OR EXECUTED,
RESPECTIVELY, PURSUANT TO THIS SECTION, WHICH RECITAL SHALL BE CONCLU-
SIVE EVIDENCE OF THE VALIDITY OF THE BONDS AND ANY SUCH OBLIGATION,
RESPECTIVELY, AND THE REGULARITY OF THE PROCEEDINGS OF THE AUTHORITY
RELATING THERETO.
13. ANY ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF
THE STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDI-
TY OF THIS SECTION, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF
ACTION OR CASES, EXCEPT ELECTION CAUSES OF ACTION OR CASES, IN ALL
COURTS OF THE STATE AND SHALL BE HEARD AND DETERMINED IN PREFERENCE TO
ALL OTHER CIVIL BUSINESS PENDING THEREIN, EXCEPT ELECTION CAUSES, IRRE-
SPECTIVE OF POSITION ON THE CALENDAR. THE SAME PREFERENCE SHALL BE
GRANTED UPON APPLICATION OF THE AUTHORITY OR ITS COUNSEL IN ANY ACTION
OR PROCEEDING QUESTIONING THE VALIDITY OF THIS SECTION IN WHICH THE
AUTHORITY MAY BE ALLOWED TO INTERVENE.
§ 2. The labor law is amended by adding a new section 554 to read as
follows:
§ 554. UNEMPLOYMENT INSURANCE TRUST FUND BONDS. 1. THE COMMISSIONER,
WITH THE COMMISSIONER OF TAXATION AND FINANCE, IS AUTHORIZED TO ENTER
INTO A FINANCING AGREEMENT WITH THE AUTHORITY, TO BE KNOWN AS THE "UNEM-
PLOYMENT INSURANCE TRUST FUND BOND FINANCING AGREEMENT". SUCH AGREEMENT
SHALL SET FORTH THE PROCESS FOR CALCULATING THE ANNUAL DEBT SERVICE OF
BONDS ISSUED BY THE DORMITORY AUTHORITY AND ANY OTHER ASSOCIATED COSTS
IN CONNECTION WITH THE UNEMPLOYMENT INSURANCE TRUST FUND, AS SET FORTH
IN SECTION SIXTEEN HUNDRED EIGHTY-S OF THE PUBLIC AUTHORITIES LAW. FOR
PURPOSES OF THIS SECTION, "ASSOCIATED COSTS" MAY INCLUDE A COVERAGE
FACTOR, RESERVE FUND REQUIREMENTS, ALL COSTS OF ANY NATURE INCURRED BY
THE AUTHORITY IN CONNECTION WITH THE UNEMPLOYMENT INSURANCE TRUST FUND
BOND FINANCING AGREEMENT OR PURSUANT THERETO, THE COSTS OF ANY INDEPEND-
ENT AUDITS UNDERTAKEN UNDER THIS SECTION, AND ANY OTHER COSTS FOR THE
IMPLEMENTATION OF THIS SUBDIVISION AND THE ISSUANCE OF BONDS BY THE
AUTHORITY, INCLUDING INTEREST RATE EXCHANGE PAYMENTS, REBATE PAYMENTS,
LIQUIDITY FEES, CREDIT PROVIDER FEES, FIDUCIARY FEES, REMARKETING, DEAL-
ER, AUCTION AGENT AND RELATED FEES AND OTHER SIMILAR BOND-RELATED
EXPENSES, UNLESS OTHERWISE FUNDED. BY SEPTEMBER FIRST OF EACH YEAR, THE
DORMITORY AUTHORITY SHALL PROVIDE TO THE COMMISSIONER THE CALCULATION OF
THE AMOUNT EXPECTED TO BE PAID BY THE AUTHORITY IN DEBT SERVICE AND
ASSOCIATED COSTS FOR PURPOSES OF CALCULATING THE ASSESSMENTS FOR THE
DEBT SERVICE PORTION OF THE ASSESSMENT PROVIDED FOR UNDER THIS CHAPTER.
ALL MONIES RECEIVED ON ACCOUNT OF SUCH ASSESSMENTS SHALL BE APPLIED IN
ACCORDANCE WITH THIS CHAPTER AND WITH THE UNEMPLOYMENT INSURANCE TRUST
FUND BOND FINANCING AGREEMENT UNTIL THE FINANCIAL OBLIGATIONS OF THE
AUTHORITY IN RESPECT TO ITS CONTRACT WITH ITS BONDHOLDERS ARE MET AND
ALL ASSOCIATED COSTS PAYABLE TO OR BY THE AUTHORITY HAVE BEEN PAID,
NOTWITHSTANDING ANY OTHER PROVISION OF LAW RESPECTING SECURED TRANS-
ACTIONS. THIS PROVISION MAY BE INCLUDED BY THE AUTHORITY IN ANY CONTRACT
OF THE AUTHORITY WITH ITS BONDHOLDERS. THE UNEMPLOYMENT INSURANCE TRUST
FUND BOND FINANCING AGREEMENT MAY RESTRICT DISBURSEMENTS, INVESTMENTS,
OR REBATES, AND MAY PRESCRIBE A SYSTEM OF ACCOUNTS APPLICABLE TO THE
A. 3009--B 125
UNEMPLOYMENT INSURANCE TRUST FUND AS CONSISTENT WITH THE PROVISIONS OF
THIS CHAPTER GOVERNING SUCH FUND, INCLUDING CUSTODY OF FUNDS AND
ACCOUNTS WITH A TRUSTEE THAT MAY BE PRESCRIBED BY THE AUTHORITY AS PART
OF ITS CONTRACT WITH THE BONDHOLDERS. FOR PURPOSES OF THIS SUBDIVISION,
THE TERM "BONDS" SHALL INCLUDE NOTES ISSUED IN ANTICIPATION OF THE ISSU-
ANCE OF BONDS, OR NOTES ISSUED PURSUANT TO A COMMERCIAL PAPER PROGRAM.
2. THE COMMISSIONER IS HEREBY AUTHORIZED TO RECEIVE AND CREDIT TO THE
UNEMPLOYMENT INSURANCE TRUST FUND ANY SUM OR SUMS THAT MAY AT ANY TIME
BE CONTRIBUTED TO THE STATE BY THE UNITED STATES OF AMERICA UNDER ANY
ACT OF CONGRESS, OR OTHERWISE, TO WHICH THE STATE MAY BE OR BECOME ENTI-
TLED BY REASON OF ANY PAYMENTS MADE OUT OF SUCH FUND.
§ 3. This act shall take effect immediately.
PART NN
Section 1. Short title. This act shall be known and may be cited as
the "Suffolk county water quality restoration act".
§ 2. Legislative intent. The county of Suffolk ("county"), with a
population of one million five hundred thousand persons, has in excess
of three hundred eighty thousand existing onsite wastewater disposal
systems, comprised mostly of cesspools and septic systems, with two
hundred nine thousand of these onsite systems in environmentally sensi-
tive areas which could benefit from nitrogen-reducing technologies. The
United States Environmental Protection Agency recognizes Long Island as
having a sole source aquifer system for its drinking water supply.
Suffolk county has an imminent need to preserve this valuable water
resource by reducing the amount of nitrogen discharged into the ground-
water by onsite systems. The full water cycle is impacted by increasing
quantities of nutrients, pathogens, pesticides, volatile organic contam-
inants and saltwater intrusion, as well as a number of emerging threats
such as prescription drugs and sea level rise.
The Suffolk county subwatersheds wastewater plan ("SWP"), certified by
the department of environmental conservation as a Nine Elements
Watershed (9E) plan, has documented the devastating effects of high
levels of nitrogen pollution, not only on the drinking water quality,
but also on coastal ecosystems, dissolved oxygen, water clarity,
eelgrass, wetlands, shellfish, coastal resilience and in triggering
harmful algal blooms. The SWP, is a long-term plan to address the need
for wastewater treatment infrastructure throughout the county comprehen-
sively over a period of fifty years. The SWP delineates the source and
concentration of nitrogen loading in one hundred ninety-one subwat-
ersheds throughout the county, and establishes nitrogen reduction goals
for each watershed.
For many areas of the county, installing or connecting sewers is not a
practical or cost-effective method of treating wastewater. For that
reason, the SWP prescribes a hybrid approach that relies on sewering
where feasible, and the replacement of cesspools and septic systems with
innovative/alternative onsite wastewater treatment systems. The consol-
idation of any or all of the twenty-seven county sewer districts, as
well as unsewered areas of the county, into a county wastewater manage-
ment district, the establishment of a water quality restoration fund,
and a county board of trustees to monitor progress and the allocation of
resources consistent with the goals of the SWP would allow for the
implementation of a much needed integrated long-term wastewater solution
for the county through comprehensive planning and management to improve
water quality.
A. 3009--B 126
The purpose of this act is to create a water quality restoration fund
to finance capital projects for the protection, preservation, and reha-
bilitation of groundwater and surface waters as recommended by the SWP.
This act would allow the funding of capital projects that will mitigate
wastewater pollutants utilizing the best available technology consistent
with the SWP. The water quality restoration fund would be financed with
a dedicated and recurring revenue source by the enactment of an addi-
tional sales and compensating use tax at the rate of one-eighth of one
percent until 2060. Such tax would be enacted pursuant to a mandatory
referendum.
This act shall also provide Suffolk county with the authority to
create a county wastewater management district through the consolidation
of existing county sewer districts with currently unsewered areas of the
county. A county wastewater management district will provide an inte-
grated and efficient approach to managing wastewater services across the
county; allow the county to enhance and expand its incentive program to
property owners to upgrade their wastewater treatment systems; to
manage, monitor and enforce nitrogen reduction programs throughout the
county; complete additional sewer extension projects; improve the
economic wellbeing of communities; and provide an opportunity to consol-
idate and streamline the county's existing sewer district system and
normalize the inequitable rate structure that has long existed.
In addition, this act will extend the existing one-quarter of one
percent sales tax utilized to finance the county drinking water
protection program until 2060.
§ 3. The county law is amended by adding a new section 256-b to read
as follows:
§ 256-B. SUFFOLK COUNTY WASTEWATER MANAGEMENT DISTRICT. 1. (A)
NOTWITHSTANDING THE PROVISIONS OF ANY GENERAL, SPECIAL OR LOCAL LAW TO
THE CONTRARY, INCLUDING THIS ARTICLE, THE COUNTY LEGISLATURE OF SUFFOLK
COUNTY IS HEREBY AUTHORIZED TO ESTABLISH BY RESOLUTION A SUFFOLK COUNTY
WASTEWATER MANAGEMENT DISTRICT, HEREINAFTER REFERRED TO IN THIS SECTION
AS THE "DISTRICT", WHICH SHALL INCLUDE ALL POWERS OF A SEWER DISTRICT
AND A WASTEWATER DISPOSAL DISTRICT AS PROVIDED IN SECTION TWO HUNDRED
FIFTY OF THIS ARTICLE AND AS SET FORTH IN THIS SUBDIVISION, PURSUANT TO
THE PROCEDURE CONTAINED IN THIS SECTION.
(B) IN ADDITION TO THE POWERS PROVIDED IN SECTION TWO HUNDRED FIFTY OF
THIS ARTICLE, THE DISTRICT SHALL HAVE THE POWER, AS DETERMINED BY THE
COUNTY LEGISLATURE, TO: (I) CONSOLIDATE ALL OF THE ORIGINAL COUNTY SEWER
DISTRICTS WITHIN THE COUNTY AS WELL AS UNSEWERED AREAS OF THE COUNTY,
UNDER THE JURISDICTION OF THE DISTRICT; (II) ESTABLISH ONE OR MORE ZONES
OF ASSESSMENT WITHIN THE DISTRICT, COTERMINOUS WITH THE TERRITORIAL
BOUNDARIES OF THE EXISTING COUNTY SEWER DISTRICTS, CONSOLIDATED PURSUANT
TO THIS SECTION, THE METHOD OF WASTEWATER COLLECTION, TREATMENT AND
DISPOSAL, EXISTING OR PROPOSED, OR BOTH, AND MAKE CHANGES TO SUCH ZONES
OF ASSESSMENTS; (III) ACQUIRE INTERESTS IN REAL PROPERTY WHICH MAY BE
COMPLETED BY THE TRANSFER OF PROPERTY OF ORIGINAL COUNTY SEWER DISTRICTS
TO THE DISTRICT, NECESSARY FOR THE INSTALLATION AND MAINTENANCE OF
DISTRICT FACILITIES; (IV) PRIORITIZE DISTRICT PROJECTS IN ACCORDANCE
WITH THE SUFFOLK COUNTY SUBWATERSHED WASTEWATER PLAN (SWP) ADOPTED BY
THE COUNTY LEGISLATURE, AND ANY AMENDMENTS THERETO; (V) RECEIVE FUNDS
FROM THE SUFFOLK COUNTY WATER QUALITY RESTORATION FUND, AS ESTABLISHED
BY SECTION ONE THOUSAND TWO HUNDRED TEN-F OF THE TAX LAW, AND DISTRIBUTE
GRANT PROCEEDS WITHIN THE DISTRICT IN ACCORDANCE WITH THE GOALS ESTAB-
LISHED IN THE SUFFOLK COUNTY SUBWATERSHED WASTEWATER PLAN; (VI) ASSUME
AND PAY ANY REMAINING INDEBTEDNESS OF EACH ORIGINAL COUNTY SEWER
A. 3009--B 127
DISTRICT; (VII) WITHIN THE ZONES OF ASSESSMENT, ESTABLISH AND PROVIDE
FOR THE COLLECTION OF CHARGES, RATES, TAXES OR ASSESSMENTS TO PROVIDE
FOR THE COSTS OF OPERATION, EXPENSES, THE SUMS SUFFICIENT TO PAY THE
ANNUAL INSTALLMENT OF PRINCIPAL OF, AND INTEREST ON, OBLIGATIONS FOR
IMPROVEMENTS OF THE DISTRICT, MAINTENANCE AND IMPROVEMENTS OF THE
DISTRICT, INCLUDING BUT NOT LIMITED TO: (A) SPECIAL ASSESSMENT AS
DEFINED IN SUBDIVISION FIFTEEN OF SECTION ONE HUNDRED TWO OF THE REAL
PROPERTY TAX LAW; (B) SPECIAL AD VALOREM LEVY AS DEFINED IN SUBDIVISION
FOURTEEN OF SECTION ONE HUNDRED TWO OF THE REAL PROPERTY TAX LAW; (C)
SEWER RENT AS PROVIDED UNDER ARTICLE FOURTEEN-F OF THE GENERAL MUNICIPAL
LAW; (VIII) DISTRIBUTE GRANT PROCEEDS WITHIN THE DISTRICT IN ACCORDANCE
WITH THE GOALS ESTABLISHED IN THE SWP; AND (IX) ADOPT, AMEND AND REPEAL,
FROM TIME TO TIME, RULES AND REGULATIONS FOR THE OPERATION OF A COUNTY
DISTRICT. NOTHING IN THIS SECTION SHALL BE CONSTRUED TO PERMIT THE
COLLECTION OF CHARGES, RATES, TAXES, OR ASSESSMENTS AUTHORIZED BY THIS
SECTION OUTSIDE OF THE ESTABLISHED ZONES OF ASSESSMENT WITHIN THE UNSEW-
ERED PORTIONS OF THE DISTRICT OR WITHIN TOWN OR VILLAGE SEWER DISTRICTS.
2. BOUNDARIES. THE BOUNDARIES OF THE DISTRICT UPON FORMATION SHALL
INCLUDE THE BOUNDARIES OF ALL COUNTY SEWER DISTRICTS CONSOLIDATED INTO
THE DISTRICT AND ALL UNSEWERED AREAS OF THE COUNTY.
3. COUNTY AGENCY REVIEW AND REPORT. THE COUNTY LEGISLATURE MAY DIRECT
THE COUNTY AGENCY, APPOINTED OR ESTABLISHED PURSUANT TO SECTION TWO
HUNDRED FIFTY-ONE OF THIS ARTICLE, TO, OR THE COUNTY AGENCY ON ITS OWN
MOTION MAY, REVIEW AND REPORT THEREON TO THE COUNTY LEGISLATURE ON THE
CREATION OF THE DISTRICT AND THE MERGER THEREWITH OF ANY OR ALL EXISTING
COUNTY SEWER DISTRICTS IN ACCORDANCE WITH THIS SECTION AND SUCH OTHER
DETAILS AS MAY BE DIRECTED BY THE COUNTY LEGISLATURE CONSISTENT WITH
THIS ARTICLE. WHEN THE AGENCY HAS CAUSED SUCH REPORT TO BE PREPARED, IT
SHALL TRANSMIT IT TO THE COUNTY LEGISLATURE. UPON RECEIPT OF THE REPORT,
THE COUNTY LEGISLATURE SHALL CALL A PUBLIC HEARING PURSUANT TO SUBDIVI-
SION FIVE OF THIS SECTION TO CREATE A SUFFOLK COUNTY WASTEWATER MANAGE-
MENT DISTRICT IN ACCORDANCE WITH THIS SECTION. SUCH REPORT SHALL BE
FILED IN THE OFFICE OF THE CLERK OF THE LEGISLATURE OF SUFFOLK COUNTY.
4. RESOLUTION. THE COUNTY LEGISLATURE OF SUFFOLK COUNTY MAY ADOPT A
RESOLUTION CALLING A PUBLIC HEARING UPON THE PROPOSED CREATION OF THE
DISTRICT.
5. NOTICE. THE CLERK OF THE COUNTY LEGISLATURE SHALL GIVE NOTICE OF
THE HEARING DESCRIBED IN SUBDIVISION FOUR OF THIS SECTION IN SUCH NEWS-
PAPERS AND WITHIN SUCH TIME PERIOD AS SET FORTH IN SECTION TWO HUNDRED
FIFTY-FOUR OF THIS ARTICLE. SUCH NOTICE SHALL SPECIFY THE TIME, DATE
AND LOCATION OF SUCH HEARING AND, IN GENERAL TERMS, DESCRIBE THE
PROPOSED ESTABLISHMENT OF THE DISTRICT AND THE PROPOSED BASIS OF THE
FUTURE ASSESSMENT OF ALL COSTS OF OPERATION, MAINTENANCE AND IMPROVE-
MENTS OF THE DISTRICT.
6. HEARING AND RESOLUTION TO ESTABLISH. THE COUNTY LEGISLATURE SHALL
MEET AT THE TIME, DATE AND LOCATION SPECIFIED IN SUCH NOTICE AND HEAR
ALL PERSONS INTERESTED IN THE SUBJECT MATTER THEREOF CONCERNING THE
SAME. IF THE COUNTY LEGISLATURE DETERMINES THAT IT IS IN THE PUBLIC
INTEREST TO ESTABLISH THE DISTRICT AS SPECIFIED IN SUCH NOTICE, IT SHALL
FURTHER DETERMINE BY RESOLUTION: (I) WHETHER ALL PROPERTY AND PROPERTY
OWNERS WITHIN THE PROPOSED DISTRICT ARE BENEFITED THEREBY; AND (II)
WHETHER ALL OF THE PROPERTY AND PROPERTY OWNERS BENEFITED ARE INCLUDED
WITHIN THE LIMITS OF THE PROPOSED DISTRICT, THE COUNTY LEGISLATURE MAY
ADOPT A RESOLUTION, SUBJECT TO A PERMISSIVE REFERENDUM, ESTABLISHING THE
DISTRICT.
A. 3009--B 128
7. NOTICE OF ADOPTION OF RESOLUTION. WITHIN TEN DAYS AFTER THE
ADOPTION BY THE COUNTY LEGISLATURE OF THE RESOLUTION TO ESTABLISH THE
DISTRICT DESCRIBED IN SUBDIVISION SIX OF THIS SECTION, THE COUNTY LEGIS-
LATURE SHALL GIVE NOTICE THEREOF, AT THE EXPENSE OF THE COUNTY, BY THE
PUBLICATION OF A NOTICE IN SUCH NEWSPAPERS AND WITHIN SUCH TIME PERIOD
AS SET FORTH IN SECTION ONE HUNDRED OF THIS CHAPTER. SUCH NOTICE SHALL
SET FORTH THE DATE OF ADOPTION OF THE RESOLUTION AND CONTAIN AN ABSTRACT
OF SUCH RESOLUTION, DESCRIBING, IN GENERAL TERMS, THE DISTRICT, THE
BASIS FOR THE FUTURE ASSESSMENT OF ALL COSTS OF OPERATION, MAINTENANCE
AND IMPROVEMENTS, AND THAT SUCH RESOLUTION WAS ADOPTED SUBJECT TO A
PERMISSIVE REFERENDUM.
8. ASSESSMENTS, LEVIES AND CHARGES. AFTER THE ESTABLISHMENT OF THE
DISTRICT IN ACCORDANCE WITH THIS SECTION, THE COUNTY IS HEREBY AUTHOR-
IZED BY RESOLUTION APPROVED BY MAJORITY VOTE OF THE TOTAL MEMBERSHIP OF
THE COUNTY LEGISLATURE TO ASSESS, LEVY AND COLLECT UPON EACH LOT OR
PARCEL OF LAND WITHIN THE ZONES OF ASSESSMENT ESTABLISHED BY THIS
SECTION: (A) SPECIAL ASSESSMENTS AS THAT TERM IS DEFINED IN SUBDIVISION
FIFTEEN OF SECTION ONE HUNDRED TWO OF THE REAL PROPERTY TAX LAW; (B)
SPECIAL AD VALOREM LEVY AS THAT TERM IS DEFINED IN SUBDIVISION FOURTEEN
OF SECTION ONE HUNDRED TWO OF THE REAL PROPERTY TAX LAW; AND (C) SEWER
RENTS AS PROVIDED BY ARTICLE FOURTEEN-F OF THE GENERAL MUNICIPAL LAW.
SUCH COSTS AND EXPENSES MAY INCLUDE, BUT SHALL NOT BE LIMITED TO, THE
AMOUNT OF MONEY REQUIRED TO PAY THE ANNUAL EXPENSES OF MAINTENANCE,
OPERATION, PERSONNEL SERVICES OF THE DISTRICT AND THE SUMS SUFFICIENT TO
PAY THE ANNUAL INSTALLMENT OF PRINCIPAL OF, AND INTEREST ON, OBLIGATIONS
FOR IMPROVEMENTS OF THE DISTRICT. SUCH SUMS SO LEVIED SHALL BE
COLLECTED BY THE LOCAL TAX COLLECTORS OR RECEIVERS OF TAXES AND ASSESS-
MENTS AND SHALL BE PAID OVER TO THE CHIEF FISCAL OFFICER OF THE COUNTY,
IN THE SAME MANNER AND AT THE SAME TIME AS TAXES LEVIED FOR GENERAL
COUNTY PURPOSES. THE CHIEF FISCAL OFFICER SHALL KEEP A SEPARATE ACCOUNT
OF SUCH MONEYS AND THEY SHALL BE USED ONLY FOR PURPOSES SET FORTH IN
THIS SECTION, AND IN ADDITION, ALL MONIES COLLECTED FROM EACH ZONE OF
ASSESSMENT ESTABLISHED OR AMENDED IN ACCORDANCE WITH THIS SECTION SHALL
BE FURTHER SEGREGATED AND SHALL NOT BE COMMINGLED WITH MONIES OF OTHER
ZONES OF ASSESSMENT EXCEPT UPON APPROVAL BY RESOLUTION OF THE COUNTY
LEGISLATURE UPON RECOMMENDATION OF THE BOARD OF TRUSTEES ESTABLISHED IN
ACCORDANCE WITH THE SUFFOLK COUNTY WATER QUALITY RESTORATION ACT. NOTH-
ING IN THIS SECTION SHALL BE CONSTRUED TO PERMIT THE COLLECTION OF
CHARGES, RATES, TAXES, OR ASSESSMENTS AUTHORIZED BY THIS SECTION OUTSIDE
OF THE ESTABLISHED ZONES OF ASSESSMENT WITHIN THE UNSEWERED PORTIONS OF
THE DISTRICT OR WITHIN TOWN OR VILLAGE SEWER DISTRICTS.
8-A. RECORDING DETERMINATION. THE CLERK OF THE COUNTY LEGISLATURE
SHALL WITHIN TEN DAYS AFTER THE EFFECTIVE DATE OF THE RESOLUTION CREAT-
ING THE DISTRICT CAUSE A CERTIFIED COPY TO BE RECORDED IN THE OFFICE OF
THE CLERK OF THE COUNTY AND WHEN SO RECORDED SUCH ORDER SHALL BE
PRESUMPTIVE EVIDENCE OF THE REGULARITY OF THE PROCEEDINGS FOR THE
CREATION OF THE DISTRICT AND OF ALL OTHER ACTION TAKEN BY THE COUNTY
LEGISLATURE PURSUANT TO THIS SECTION. A CERTIFIED COPY SHALL ALSO BE
FILED IN THE OFFICE OF THE STATE DEPARTMENT OF AUDIT AND CONTROL IN
ALBANY, NEW YORK.
9. OTHER LAWS. ALL PROVISIONS OF THE REAL PROPERTY TAX LAW AND THE
SUFFOLK COUNTY TAX ACT, AS THE SAME MAY BE AMENDED FROM TIME TO TIME,
NOT INCONSISTENT WITH THE PROVISIONS OF THIS ARTICLE, RELATING TO THE
ASSESSING, LEVY AND COLLECTION AND ENFORCEMENT OF SPECIAL ASSESSMENTS,
AD VALOREM LEVIES AND SEWER RENTS IN THE COUNTY SHALL APPLY AND BE OF
EQUAL FORCE AND APPLICABILITY TO SPECIAL ASSESSMENTS, AD VALOREM LEVIES
A. 3009--B 129
AND SEWER RENTS AUTHORIZED PURSUANT TO THIS SECTION. NOTHING IN THIS
SECTION SHALL BE CONSTRUED TO PERMIT THE COLLECTION OF CHARGES, RATES,
TAXES, OR ASSESSMENTS AUTHORIZED BY THIS SECTION OUTSIDE OF THE ESTAB-
LISHED ZONES OF ASSESSMENT WITHIN THE UNSEWERED PORTIONS OF THE DISTRICT
OR WITHIN TOWN OR VILLAGE SEWER DISTRICTS.
10. TOWNS AND VILLAGES. THIS SECTION SHALL NOT BE CONSTRUED AS MERGING
THE SEWER DISTRICTS OF TOWNS AND VILLAGES WITHIN THE COUNTY OF SUFFOLK
INTO THE DISTRICT CREATED BY THIS SECTION. THE MERGER OF ANY TOWN OR
VILLAGE SEWER DISTRICT, OR VILLAGE SEWERAGE SYSTEM WITH THE DISTRICT
SHALL BE IN ACCORDANCE WITH SECTION TWO HUNDRED SEVENTY-SEVEN OF THIS
ARTICLE.
11. WATER QUALITY RESTORATION FUND. (A) NOTWITHSTANDING ANY PROVISION
OF LAW TO THE CONTRARY, THE COUNTY OF SUFFOLK SHALL DEPOSIT THE NET
COLLECTIONS FROM THE SALES AND COMPENSATING USE TAX AUTHORIZED BY
SECTION ONE THOUSAND TWO HUNDRED TEN-F OF THE TAX LAW INTO THE SUFFOLK
COUNTY WATER QUALITY RESTORATION FUND ESTABLISHED IN ACCORDANCE THERE-
WITH, AND SHALL UTILIZE ALL MONIES TRANSFERRED FROM THE FUND CONSISTENT
WITH THIS SECTION. NOTHING CONTAINED IN THIS SECTION SHALL BE CONSTRUED
TO PREVENT THE FINANCING IN WHOLE OR IN PART, PURSUANT TO THE LOCAL
FINANCE LAW, OF ANY PROJECT AUTHORIZED PURSUANT TO THIS SECTION. MONIES
FROM THE FUND MAY BE UTILIZED TO REPAY ANY INDEBTEDNESS OR OBLIGATIONS
INCURRED PURSUANT TO THE LOCAL FINANCE LAW CONSISTENT WITH EFFECTUATING
THE PURPOSES OF THIS SECTION. WHERE SUFFOLK COUNTY FINANCES A PROJECT,
IN WHOLE, OR IN PART, PURSUANT TO THE LOCAL FINANCE LAW, THE RESOLUTION
AUTHORIZING SUCH INDEBTEDNESS SHALL BE ACCOMPANIED BY A REPORT FROM THE
COUNTY EXECUTIVE DEMONSTRATING HOW SAID INDEBTEDNESS WILL BE REPAID BY
THE FUND. SAID REPORT SHALL INCLUDE AN ESTIMATE OF PROJECTED REVENUES OF
THE FUND DURING THE PERIOD OF INDEBTEDNESS. THE REPORT SHALL ALSO
PROVIDE AN ACCOUNTING OF ALL OTHER INDEBTEDNESS INCURRED AGAINST THE
FUND TO BE REPAID FOR THE SAME PERIOD. THE COUNTY LEGISLATURE SHALL
MAKE FINDINGS BY RESOLUTION THAT THERE WILL BE SUFFICIENT REVENUE TO
REPAY SUCH INDEBTEDNESS IN ITS ENTIRETY FROM THE FUND BEFORE AUTHORIZING
SUCH INDEBTEDNESS. MONIES IN SAID FUND MAY BE APPROPRIATED FROM OR
EXPENDED IN ANY FISCAL YEAR TO IMPLEMENT THE POWERS SET FORTH IN THIS
SECTION AND TO REPAY ANY INDEBTEDNESS OR OBLIGATIONS INCURRED PURSUANT
TO THE LOCAL FINANCE LAW FOR THE PURPOSES AUTHORIZED PURSUANT TO THIS
SECTION.
(B) (I) WATER QUALITY IMPROVEMENT PROJECTS SHALL BE ELIGIBLE FOR FUND-
ING PURSUANT TO THIS SECTION. FOR PURPOSES OF THIS SECTION, "WATER
QUALITY IMPROVEMENT PROJECTS" SHALL MEAN THE PLANNING, DESIGN,
CONSTRUCTION, ACQUISITION, ENLARGEMENT, EXTENSION, OR ALTERATION OF A
COUNTY, TOWN OR VILLAGE WASTEWATER TREATMENT FACILITY, INCLUDING INDI-
VIDUAL HOOKUPS, OR AN INDIVIDUAL SEPTIC SYSTEM, INCLUDING AN ALTERNATIVE
WASTEWATER TREATMENT FACILITY OR AN INDIVIDUAL SEPTIC SYSTEM WITH ACTIVE
TREATMENT, TO TREAT, NEUTRALIZE, STABILIZE, ELIMINATE OR PARTIALLY ELIM-
INATE SEWAGE OR REDUCE POLLUTANTS, INCLUDING PERMANENT OR PILOT DEMON-
STRATION WASTEWATER TREATMENT PROJECTS, OR EQUIPMENT OR FURNISHINGS
THEREOF. SUCH PROJECTS SHALL HAVE AS THEIR PURPOSE THE REMEDIATION OF
EXISTING WATER QUALITY TO MEET SPECIFIC WATER QUALITY STANDARDS CONSIST-
ENT WITH THE SWP. PROJECTS CONSISTENT WITH OR LISTED IN THE SWP THAT ARE
PART OF A PLAN ADOPTED BY A LOCAL GOVERNMENT RESULTING IN A NET NITROGEN
REDUCTION SHALL BE ELIGIBLE FOR CONSIDERATION BY THE BOARD OF TRUSTEES,
ESTABLISHED IN ACCORDANCE WITH SUBDIVISION SIX OF THIS SECTION.
(II) OF THE ANNUAL COLLECTIONS OF THE FUND, ADMINISTRATION OF THE
COUNTY WASTEWATER MANAGEMENT DISTRICT SHALL NOT EXCEED TEN PERCENT. NOT
LESS THAN SEVENTY-FIVE PERCENT OF THE REMAINING ANNUAL FUNDS AFTER
A. 3009--B 130
ADMINISTRATION SHALL BE USED TOWARD FUNDING INDIVIDUAL SEPTIC SYSTEMS
PROJECTS. IN ADDITION TO WATER QUALITY IMPROVEMENT PROJECTS, OTHER
ELIGIBLE EXPENDITURES FROM THE FUND SHALL INCLUDE THE PREPARATION OF AN
ANNUAL SWP IMPLEMENTATION ACTION PLAN TO PROTECT, PRESERVE, AND REHABIL-
ITATE GROUNDWATER, SURFACE WATER, AND DRINKING WATER.
(III) OTHER THAN FOR THE PAYMENT OF INDEBTEDNESS OR OBLIGATIONS
INCURRED AS SET FORTH IN PARAGRAPH (A) OF THIS SUBDIVISION, AND EXCEPT
FOR THE PREPARATION OF THE SWP IMPLEMENTATION PLAN, ITSELF, NO MONIES
MAY BE EXPENDED UNTIL THE SWP IMPLEMENTATION PLAN HAS BEEN PREPARED AND
APPROVED AS PROVIDED FOR IN THIS SECTION.
(C) (I) WITHIN THE LOCAL LAW, ORDINANCE OR RESOLUTION ESTABLISHING THE
SUFFOLK COUNTY WATER QUALITY RESTORATION FUND, PURSUANT TO SECTION ONE
THOUSAND TWO HUNDRED TEN-F OF THE TAX LAW, THE COUNTY SHALL ESTABLISH A
BOARD OF TRUSTEES OF TWENTY-ONE MEMBERS TO PREPARE, REVIEW AND APPROVE
THE SWP IMPLEMENTATION PLAN FOR SUBMISSION TO THE COUNTY EXECUTIVE AND
COUNTY LEGISLATURE AND SHALL SPECIFY THE POWERS AND DUTIES OF THE BOARD
OF TRUSTEES, INCLUDING THE PROCEDURES FOR APPOINTMENT OF A CHAIRPERSON.
SUCH APPROVAL SHALL BE IN ADDITION TO ALL OTHER APPROVALS REQUIRED BY
LAW. THE BOARD OF TRUSTEES SHALL CONSIST OF: (A) A REPRESENTATIVE FROM
THE DEPARTMENT OF ENVIRONMENTAL CONSERVATION; (B) A REPRESENTATIVE FROM
THE EAST END SUPERVISORS AND MAYORS ASSOCIATION; (C) A REPRESENTATIVE OF
THE SUFFOLK TOWN SUPERVISORS ASSOCIATION; (D) A REPRESENTATIVE OF THE
SUFFOLK COUNTY VILLAGE OFFICIALS ASSOCIATION; (E) A TOWN REPRESENTATIVE
FROM THE STATE CENTRAL PINE BARRENS JOINT PLANNING AND POLICY COMMISSION
TO BE DESIGNATED BY THE COMMISSION; (F) A MUNICIPAL REPRESENTATIVE FROM
THE PECONIC ESTUARY PARTNERSHIP; (G) A MUNICIPAL REPRESENTATIVE FROM THE
STATE SOUTH SHORE ESTUARY RESERVE; (H) A MUNICIPAL REPRESENTATIVE FROM
THE LONG ISLAND SOUND ESTUARY; (I) A REPRESENTATIVE OF THE LONG ISLAND
FEDERATION OF LABOR; (J) A REPRESENTATIVE OF BUILDING AND CONSTRUCTION
TRADES COUNCIL OF NASSAU & SUFFOLK COUNTIES; (K) A REPRESENTATIVE FROM A
REGIONAL ENVIRONMENTAL ORGANIZATION; (L) THE CHAIR OF THE SUFFOLK COUNTY
PLANNING COMMISSION; (M) THE COUNTY EXECUTIVE OR DESIGNEE; (N) THE
PRESIDING OFFICER OF THE COUNTY LEGISLATURE OR DESIGNEE; (O) THE MINORI-
TY LEADER OF THE COUNTY LEGISLATURE OR DESIGNEE; (P) THE COUNTY DEPART-
MENT OF PUBLIC WORKS COMMISSIONER OR DESIGNEE; (Q) THE COUNTY DEPARTMENT
OF HEALTH SERVICES COMMISSIONER OR DESIGNEE; (R) A REPRESENTATIVE FROM A
REGIONAL ECONOMIC DEVELOPMENT ORGANIZATION; (S) A REPRESENTATIVE FROM
THE LIQUID WASTE INDUSTRY; (T) A REPRESENTATIVE FROM THE SUFFOLK COUNTY
ALLIANCE OF CHAMBERS, INC.; AND (U) A REPRESENTATIVE FROM THE LONG
ISLAND CONTRACTORS ASSOCIATION.
(II) THE POWERS AND DUTIES OF THE BOARD OF TRUSTEES SHALL OVERSEE THE
ANNUAL AUDIT PURSUANT TO PARAGRAPH (E) OF THIS SUBDIVISION, MAKING
PRUDENT RECOMMENDATIONS FOR RESOURCE ALLOCATIONS FOR COUNTY-APPROVED
ALTERNATIVE WASTEWATER TREATMENT TECHNOLOGIES NOT CONTEMPLATED IN THE
SUFFOLK COUNTY SUBWATERSHEDS WASTEWATER PLAN AND LONG-TERM PROGRESS
MONITORING OF THE IMPLEMENTATION OF THE SUFFOLK COUNTY SUBWATERSHEDS
WASTEWATER PLAN REGARDING ACHIEVEMENTS OF NITROGEN LOAD REDUCTIONS AND
ECOLOGICAL ENDPOINTS.
(D) ANNUAL SWP IMPLEMENTATION PLAN. THE BOARD OF TRUSTEES SHALL
PREPARE, REVIEW AND APPROVE AND SUBMIT TO THE COUNTY EXECUTIVE THE SWP
IMPLEMENTATION PLAN WITHIN ONE YEAR OF THE EFFECTIVE DATE OF THIS
SECTION, AND IN EVERY FIVE YEARS THEREAFTER IN A LIKE MANNER. THE BOARD
OF TRUSTEES SHALL CONDUCT A PUBLIC HEARING ON SAID PLAN BEFORE ITS
ADOPTION OR SUBSEQUENT AMENDMENT. SAID PLAN SHALL LIST EVERY WATER QUAL-
ITY RESTORATION PROJECT WHICH THE COUNTY PLANS TO UNDERTAKE PURSUANT TO
THE FUND AND SHALL STATE HOW SUCH PROJECT WOULD IMPROVE EXISTING WATER
A. 3009--B 131
QUALITY. FUNDS MAY ONLY BE EXPENDED PURSUANT TO THIS SECTION FOR
PROJECTS WHICH HAVE BEEN INCLUDED IN SAID PLAN. SAID PLAN SHALL BE
CONSISTENT WITH STATE, FEDERAL, COUNTY, AND LOCAL GOVERNMENT LAND USE
AND WASTEWATER MANAGEMENT PLANS. AFTER SUBMISSION AND APPROVAL BY THE
COUNTY EXECUTIVE, SUCH PLAN SHALL BE SUBMITTED TO THE COUNTY LEGISLA-
TURE. UPON REVIEW, THE COUNTY LEGISLATURE SHALL DETERMINE, BY LOCAL
LAW, WHETHER TO APPROVE THE PROPOSED PLAN, IF THE PLAN IS DENIED, THE
PLAN SHALL BE REMANDED TO THE BOARD OF TRUSTEES FOR FURTHER STUDY. SUCH
PLAN SHALL NOT BECOME EFFECTIVE UNTIL APPROVED BY LOCAL LAW. PROJECTS
MAY BE ADDED OR REMOVED FROM THE CURRENTLY EFFECTIVE SWP IMPLEMENTATION
PLAN IN A LIKE MANNER.
(E) ANNUAL AUDIT. THE COUNTY SHALL ANNUALLY COMMISSION AN INDEPENDENT
AUDIT OF THE FUND. THE AUDIT SHALL BE CONDUCTED BY AN INDEPENDENT CERTI-
FIED PUBLIC ACCOUNTANT OR AN INDEPENDENT PUBLIC ACCOUNTANT. SAID AUDIT
SHALL BE PERFORMED BY A CERTIFIED PUBLIC ACCOUNTANT OR AN INDEPENDENT
PUBLIC ACCOUNTANT OTHER THAN THE ONE THAT PERFORMS THE GENERAL AUDIT OF
THE COUNTY'S FINANCES. SUCH AUDIT SHALL BE AN EXAMINATION OF THE FUND
AND SHALL DETERMINE WHETHER THE FUND HAS BEEN ADMINISTERED CONSISTENT
WITH THE PROVISIONS OF THIS SECTION AND ALL OTHER APPLICABLE PROVISIONS
OF STATE LAW. SAID AUDIT SHALL BE INITIATED WITHIN SIXTY DAYS OF THE
CLOSE OF THE FISCAL YEAR OF THE COUNTY AND SHALL BE COMPLETED WITHIN ONE
HUNDRED TWENTY DAYS OF THE CLOSE OF THE FISCAL YEAR. A COPY OF THE
AUDIT SHALL BE SUBMITTED ANNUALLY TO THE STATE COMPTROLLER AND THE COUN-
TY COMPTROLLER. A COPY OF THE AUDIT SHALL BE MADE AVAILABLE TO THE
PUBLIC WITHIN THIRTY DAYS OF ITS COMPLETION. A NOTICE OF THE COMPLETION
OF THE AUDIT SHALL BE PUBLISHED IN THE OFFICIAL NEWSPAPER OF THE COUNTY
AND SHALL ALSO BE POSTED ON THE INTERNET WEBSITE FOR THE COUNTY. THE
COST OF THE AUDIT MAY BE A CHARGE TO THE FUND.
(F) ANNUAL REPORT. IN ADDITION TO ANY OTHER REPORT REQUIRED BY THIS
SECTION, THE BOARD OF TRUSTEES, THROUGH ITS CHAIRPERSON, SHALL DELIVER
ANNUALLY A REPORT TO THE COUNTY LEGISLATURE. SUCH REPORT SHALL BE
PRESENTED BY MAY FIFTEENTH OF EACH YEAR. THE REPORT SHALL DESCRIBE IN
DETAIL THE PROJECTS UNDERTAKEN, THE MONIES EXPENDED, AND THE ADMINISTRA-
TIVE ACTIVITIES OF THE WATER QUALITY FUND AND DISTRICT ESTABLISHED IN
ACCORDANCE WITH THIS SECTION, DURING THE PRIOR YEAR. AT THE CONCLUSION
OF THE REPORT, THE CHAIRPERSON OF THE BOARD OF TRUSTEES SHALL BE
PREPARED TO ANSWER THE QUESTIONS OF THE COUNTY LEGISLATURE WITH RESPECT
TO THE PROJECTS UNDERTAKEN, THE MONIES EXPENDED, AND THE ADMINISTRATIVE
ACTIVITIES DURING THE PAST YEAR.
§ 4. Subdivisions (a) and (d) of section 1210-A of the tax law, as
amended by chapter 683 of the laws of 2007, are amended to read as
follows:
(a) In addition to the taxes imposed by section twelve hundred ten or
any other provision of this article, the county of Suffolk is hereby
authorized and empowered to adopt and amend a local law, ordinance or
resolution imposing within the territorial limits of said county an
additional sales and compensating use tax at the rate of one-quarter of
one percent for the period beginning December first, nineteen hundred
eighty-four and ending November thirtieth, two thousand [thirty] SIXTY,
which tax shall be identical to the tax imposed by said county pursuant
to section twelve hundred ten of this article. Except as hereinafter
provided, all provisions of this article, including the definition and
exemption provisions and the provisions relating to the administration,
collection and distribution by the commissioner, shall apply for
purposes of the tax imposed by this section in the same manner and with
the same force and effect as if the language of this article had been
A. 3009--B 132
incorporated in full in this section and had expressly referred to the
tax imposed by this section; provided, however, that any provision
relating to a maximum rate shall be calculated without reference to the
additional sales and compensating use tax herein authorized. For
purposes of part IV of this article, relating to the disposition of
revenues resulting from taxes collected and administered by the commis-
sioner, the additional sales and compensating use tax herein provided
shall be deemed to be imposed under the authority of section twelve
hundred ten of this article and all provisions relating to the deposit,
administration and disposition of taxes, penalties and interest relating
to a tax imposed by a county under the authority of section twelve
hundred ten of this article shall, except as otherwise specifically
provided in this section, apply to the additional sales and compensating
use tax imposed pursuant to this section.
(d) Notwithstanding any other provision of this article to the contra-
ry, the net collections from the tax imposed pursuant to subdivision (a)
of this section for the period beginning December first, nineteen
hundred eighty-eight and ending November thirtieth, two thousand [thir-
ty] SIXTY shall, upon payment to the county of Suffolk, be deposited in
a special fund, to be designated as a drinking water protection reserve
fund, to be created by said county therefor separate and apart from any
other funds and accounts of the county. Moneys in such fund shall be
deposited in one or more of the banks or trust companies designated, in
the manner provided by law, as a depository of the funds of such county.
Pending expenditure from such fund, moneys therein may be invested in
the manner provided in section eleven of the general municipal law. Any
interest earned or capital gain realized on the moneys so deposited or
invested shall accrue to and become part of such fund. Moneys in said
fund may be appropriated from and transferred to or expended in any
fiscal year only for the purposes of making payments pursuant to subdi-
visions (b) and (c) of this section for the period beginning December
first, nineteen hundred eighty-eight, to the extent that moneys in said
fund are remaining, and if authorized by local law, for the following
purposes:
(i) for the purposes of specific environmental protection (acquisition
of: farmland development rights; open space, wetlands, woodlands, pine
barrens and other lands for passive recreational uses; lands for hamlet
greens, hamlet parks, pocket parks, historic parks, cultural parks and
other lands for active/parkland recreational uses; lands necessary for
maintaining and protecting the quality of surface water, groundwater and
coastal resources);
(ii) for a water quality protection and restoration program or
programs and land stewardship initiatives;
(iii) for the purposes of county-wide property tax protection; and
(iv) for the purpose of sewer taxpayer protection.
Notwithstanding any special or local law, resolution or charter
provision to the contrary, moneys in said fund which have not been
appropriated from and transferred to or expended in any fiscal year for
the purposes of making payments pursuant to subdivisions (b) and (c) of
this section, may alternatively be appropriated for the purposes of
paying debt service on any new indebtedness incurred after the effective
date of the chapter of the laws of two thousand one that enacted this
paragraph pursuant to the local finance law in order to effectuate the
purposes described in paragraph (i) or (ii) of this subdivision. For the
purpose of allocating moneys in said fund pursuant to local law among
the purposes described in paragraphs (i), (ii), (iii) and (iv) of this
A. 3009--B 133
subdivision, moneys applied to the payment of debt service under the
authority of the previous sentence shall be considered by said county to
have been expended for the purposes for which such indebtedness was
incurred.
§ 5. The tax law is amended by adding a new section 1210-F to read as
follows:
§ 1210-F. SALES AND COMPENSATING USE TAX FOR PURPOSES OF THE SUFFOLK
COUNTY WATER QUALITY RESTORATION FUND. (A) IN ADDITION TO THE TAXES
IMPOSED BY SECTION TWELVE HUNDRED TEN, SECTION TWELVE HUNDRED TEN-A, OR
ANY OTHER PROVISION OF THIS ARTICLE, THE COUNTY OF SUFFOLK IS HEREBY
AUTHORIZED AND EMPOWERED TO ADOPT AND AMEND A LOCAL LAW, ORDINANCE OR
RESOLUTION, SUBJECT TO A MANDATORY REFERENDUM, IN ACCORDANCE WITH THE
PROVISIONS SET FORTH IN SECTION TWENTY-THREE OF THE MUNICIPAL HOME RULE
LAW, IMPOSING WITHIN THE TERRITORIAL LIMITS OF SAID COUNTY AN ADDITIONAL
SALES AND COMPENSATING USE TAX AT THE RATE OF ONE-EIGHTH OF ONE PERCENT
FOR THE PERIOD BEGINNING MARCH FIRST, TWO THOUSAND TWENTY-FOUR AND
ENDING FEBRUARY TWENTY-NINTH, TWO THOUSAND SIXTY, WHICH TAX SHALL BE
IDENTICAL TO THE TAX IMPOSED BY SAID COUNTY PURSUANT TO SECTION TWELVE
HUNDRED TEN OF THIS ARTICLE. EXCEPT AS HEREINAFTER PROVIDED, ALL
PROVISIONS OF THIS ARTICLE, INCLUDING THE DEFINITION AND EXEMPTION
PROVISIONS AND THE PROVISIONS RELATING TO THE ADMINISTRATION, COLLECTION
AND DISTRIBUTION BY THE COMMISSIONER, SHALL APPLY FOR PURPOSES OF THE
TAX IMPOSED BY THIS SECTION IN THE SAME MANNER AND WITH THE SAME FORCE
AND EFFECT AS IF THE LANGUAGE OF THIS ARTICLE HAD BEEN INCORPORATED IN
FULL IN THIS SECTION AND HAD EXPRESSLY REFERRED TO THE TAX IMPOSED BY
THIS SECTION; PROVIDED, HOWEVER, THAT ANY PROVISION RELATING TO A MAXI-
MUM RATE SHALL BE CALCULATED WITHOUT REFERENCE TO THE ADDITIONAL SALES
AND COMPENSATING USE TAX HEREIN AUTHORIZED. FOR PURPOSES OF PART IV OF
THIS ARTICLE, RELATING TO THE DISPOSITION OF REVENUES RESULTING FROM
TAXES COLLECTED AND ADMINISTERED BY THE COMMISSIONER, THE ADDITIONAL
SALES AND COMPENSATING USE TAX HEREIN PROVIDED SHALL BE DEEMED TO BE
IMPOSED UNDER THE AUTHORITY OF SECTION TWELVE HUNDRED TEN OF THIS ARTI-
CLE AND ALL PROVISIONS RELATING TO THE DEPOSIT, ADMINISTRATION AND
DISPOSITION OF TAXES, PENALTIES AND INTEREST RELATING TO A TAX IMPOSED
BY A COUNTY UNDER THE AUTHORITY OF SECTION TWELVE HUNDRED TEN OF THIS
ARTICLE SHALL, EXCEPT AS OTHERWISE SPECIFICALLY PROVIDED IN THIS
SECTION, APPLY TO THE ADDITIONAL SALES AND COMPENSATING USE TAX IMPOSED
PURSUANT TO THIS SECTION.
(B) NOTWITHSTANDING ANY OTHER PROVISION OF THIS ARTICLE TO THE CONTRA-
RY, THE NET COLLECTIONS FROM THE TAX IMPOSED PURSUANT TO SUBDIVISION (A)
OF THIS SECTION FOR THE PERIOD BEGINNING MARCH FIRST, TWO THOUSAND TWEN-
TY-FOUR AND ENDING FEBRUARY TWENTY-NINTH, TWO THOUSAND SIXTY SHALL, UPON
PAYMENT TO THE COUNTY OF SUFFOLK, BE DEPOSITED IN A SPECIAL FUND, TO BE
DESIGNATED AS THE WATER QUALITY RESTORATION FUND TO BE CREATED BY SAID
COUNTY THEREFOR SEPARATE AND APART FROM ANY OTHER FUNDS AND ACCOUNTS OF
THE COUNTY. MONEYS IN SUCH FUND SHALL BE DEPOSITED AND SECURED IN THE
MANNER PROVIDED BY SECTION TEN OF THE GENERAL MUNICIPAL LAW AND IN NO
EVENT SHALL MONEYS DEPOSITED BE TRANSFERRED TO ANY OTHER ACCOUNT. IN
ADDITION TO THE NET COLLECTIONS FROM THE TAX, DEPOSITS INTO THE FUND MAY
INCLUDE REVENUES OF SUFFOLK COUNTY FROM WHATEVER SOURCE AND MAY INCLUDE
THE ACCEPTANCE OF GIFTS. PENDING EXPENDITURE FROM SUCH FUND, MONEYS
THEREIN MAY BE INVESTED IN THE MANNER PROVIDED IN SECTION ELEVEN OF THE
GENERAL MUNICIPAL LAW. ANY INTEREST EARNED OR CAPITAL GAIN REALIZED ON
THE MONEYS SO DEPOSITED OR INVESTED SHALL ACCRUE TO AND BECOME PART OF
SUCH FUND. MONEYS IN SAID FUND MAY BE APPROPRIATED FROM AND TRANSFERRED
A. 3009--B 134
TO OR EXPENDED IN ANY FISCAL YEAR ONLY FOR THE PURPOSES AUTHORIZED BY
SUBDIVISION ELEVEN OF SECTION TWO HUNDRED FIFTY-SIX-B OF THE COUNTY LAW.
§ 6. Paragraph a of section 11.00 of the local finance law is amended
by adding a new subdivision 109 to read as follows:
109. SEPTIC SYSTEMS. THE ACQUISITION, CONSTRUCTION, OR RECONSTRUCTION
OF OR ADDITION TO SEPTIC SYSTEMS FUNDED BY PROGRAMS ESTABLISHED BY THE
COUNTY OF SUFFOLK, TWENTY-FIVE YEARS.
§ 7. This act shall take effect immediately.
§ 2. Severability clause. If any clause, sentence, paragraph, subdivi-
sion, section or part of this act shall be adjudged by any court of
competent jurisdiction to be invalid, such judgment shall not affect,
impair, or invalidate the remainder thereof, but shall be confined in
its operation to the clause, sentence, paragraph, subdivision, section
or part thereof directly involved in the controversy in which such judg-
ment shall have been rendered. It is hereby declared to be the intent of
the legislature that this act would have been enacted even if such
invalid provisions had not been included herein.
§ 3. This act shall take effect immediately provided, however, that
the applicable effective date of Parts A through NN of this act shall be
as specifically set forth in the last section of such Parts.