S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   3409
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 27, 2025
                                ___________
 
 Introduced  by M. of A. JONES -- read once and referred to the Committee
   on Real Property Taxation
 
 AN ACT to amend the public health law and the real property tax law,  in
   relation  to authorizing real property taxing jurisdictions to grant a
   tax exemption for a primary residence purchased by a  clinician  in  a
   clinician  shortage  area;  and to amend the real property tax law, in
   relation to providing state aid to such jurisdictions for the  savings
   granted by such exemption
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1.  Legislative findings and intent.  The  legislature  hereby
 finds  that  several  communities  within  the state, particularly those
 located within rural areas, lack adequate access to  clinicians.  It  is
 well  established  that  ensuring  the sufficient availability of physi-
 cians, physician assistants, nurse  practitioners,  and  nurse  midwives
 directly benefits the health of state residents, and the legislature has
 enacted several measures towards that end.
   Furthermore,  the legislature finds that municipalities are often best
 situated to evaluate the needs of their communities.  Therefore,  it  is
 the intent of the legislature to offer counties, cities, towns, villages
 and school districts the option to provide real property tax exemptions,
 should  they  determine  that  such an incentive would aid in attracting
 clinicians to areas currently underserved by the medical community.
   § 2. Section 206 of the public health law is amended by adding  a  new
 subdivision 32 to read as follows:
   32. (A) THE COMMISSIONER SHALL BIENNIALLY DESIGNATE AND MAKE AVAILABLE
 A LIST OF DESIGNATED CLINICIAN SHORTAGE AREAS IN THE STATE. A DESIGNATED
 CLINICIAN SHORTAGE AREA SHALL BE A COUNTY OR OTHER SUB-COUNTY GEOGRAPHIC
 AREA  DETERMINED BY THE COMMISSIONER TO BE IN SHORT SUPPLY OF CLINICIANS
 IN PRIMARY CARE PRACTICE AND/OR ONE OR MORE  MEDICAL  SPECIALITIES.  THE
 LIST  SHALL INDICATE FOR EACH DESIGNATED CLINICIAN SHORTAGE AREA, IF THE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD06714-01-5
              

 A. 3409                             2
 
 AREA IS IN SHORT SUPPLY OF PRIMARY CARE  PHYSICIANS,  MEDICAL  SPECIALTY
 PHYSICIANS  AND WHICH MEDICAL SPECIALTY IS IN SHORT SUPPLY IN THE DESIG-
 NATED SHORTAGE AREA,  PHYSICIAN  ASSISTANTS,  NURSE  PRACTITIONERS,  AND
 NURSE MIDWIVES.
   (B)  IN  ESTABLISHING DESIGNATED CLINICIAN SHORTAGE AREAS, THE COMMIS-
 SIONER, TO THE EXTENT PRACTICABLE,  SHALL  UTILIZE  CRITERIA  CONSISTENT
 WITH  THE  CRITERIA  UTILIZED  TO MAKE AWARDS FOR THE PHYSICIAN PRACTICE
 SUPPORT PROGRAM ESTABLISHED PURSUANT TO  PARAGRAPH  (E)  OF  SUBDIVISION
 FIVE-A OF SECTION TWENTY-EIGHT HUNDRED SEVEN-M OF THIS CHAPTER.
   (C)  FOR  THE  PURPOSES  OF  THIS  SUBDIVISION,  "MEDICAL SPECIALTY OR
 SPECIALTY AREA" SHALL MEAN THE BRANCH OR BRANCHES OF SPECIAL  COMPETENCE
 WITHIN  A  PHYSICIAN'S  MEDICAL  PRACTICE  AS EVIDENCED BY THEIR CERTIF-
 ICATION BY A SPECIALITY MEDICAL BOARD ACCEPTABLE TO THE COMMISSIONER.
   (D) FOR THE PURPOSES OF THIS SUBDIVISION,  "CLINICIAN"  SHALL  MEAN  A
 PHYSICIAN, PHYSICIAN ASSISTANT, NURSE PRACTITIONER, OR NURSE MIDWIFE.
   §  3. The real property tax law is amended by adding a new section 439
 to read as follows:
   § 439. REAL PROPERTY TAX EXEMPTIONS IN DESIGNATED  CLINICIAN  SHORTAGE
 AREA.  1.  A  MUNICIPAL  CORPORATION  OR SCHOOL DISTRICT MAY EXEMPT REAL
 PROPERTY PURCHASED BY A CLINICIAN FOR USE SOLELY AS THEIR PRIMARY  RESI-
 DENCE,  TO  THE  EXTENT  PROVIDED IN THIS SECTION, FROM TAXATION BY SUCH
 MUNICIPAL CORPORATION OR SCHOOL DISTRICT IF THE CLINICIAN RESIDES IN AND
 HAS AN OFFICE LOCATED WITHIN A CLINICIAN SHORTAGE AREA AS DESIGNATED  BY
 THE COMMISSIONER OF HEALTH PURSUANT TO SUBDIVISION THIRTY-TWO OF SECTION
 TWO  HUNDRED  SIX OF THE PUBLIC HEALTH LAW.  AFTER A PUBLIC HEARING, THE
 GOVERNING BODY OF A MUNICIPAL CORPORATION MAY ADOPT A LOCAL LAW, AND THE
 BOARD OF 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.
   2.  EXEMPTIONS  PROVIDED  PURSUANT  TO SUBDIVISION ONE OF THIS SECTION
 SHALL ONLY APPLY TO REAL PROPERTY PURCHASED ON OR  AFTER  THE  EFFECTIVE
 DATE  OF  THIS  SECTION,  AND THE SUBSEQUENT ENACTMENT OF A LOCAL LAW OR
 ADOPTION OF A RESOLUTION TO GRANT SUCH REAL PROPERTY TAX EXEMPTION.
   3. ANY LOCAL LAW OR RESOLUTION ADOPTED PURSUANT TO SUBDIVISION ONE  OF
 THIS  SECTION  SHALL  ESTABLISH  THE  DURATION AND PERCENTAGE OF SUCH AN
 EXEMPTION, WHICH SHALL EXCEED NEITHER A PERIOD OF FIVE YEARS  NOR  THIR-
 TY-FIVE  PERCENT  OF  THE  PROPERTY'S  ASSESSED VALUE. SUCH LOCAL LAW OR
 RESOLUTION MAY INCLUDE OTHER CONDITIONS OR RESTRICTIONS,  INCLUDING  BUT
 NOT  LIMITED TO PROVISIONS REGARDING THE MAXIMUM VALUE OF ELIGIBLE PROP-
 ERTY, AT THE DISCRETION OF THE  PROMULGATING  MUNICIPAL  CORPORATION  OR
 SCHOOL DISTRICT.
   4.  A  COPY  OF SUCH LOCAL LAWS OR RESOLUTIONS SHALL BE FILED WITH THE
 STATE BOARD AND THE ASSESSOR FOR SUCH MUNICIPAL  CORPORATION  OR  SCHOOL
 DISTRICT  WHO  PREPARES THE ASSESSMENT ROLL UPON WHICH THE TAXES OF SUCH
 MUNICIPAL CORPORATION OR SCHOOL DISTRICT ARE LEVIED.
   § 4. The real property tax law is amended by adding a new section  985
 to read as follows:
   §  985. EFFECT OF EXEMPTION IN DESIGNATED CLINICIAN SHORTAGE AREAS. 1.
 IN A MUNICIPAL CORPORATION OR SCHOOL DISTRICT WHICH  ELECTS  TO  PROVIDE
 THE  REAL PROPERTY TAX EXEMPTION IN A DESIGNATED CLINICIAN SHORTAGE AREA
 PURSUANT TO SECTION FOUR HUNDRED THIRTY-NINE OF THIS CHAPTER, THE AMOUNT
 OF TAXES TO BE LEVIED FOR ANY TAX YEAR OR SCHOOL YEAR, AS THE  CASE  MAY
 BE,  SHALL  BE DETERMINED WITHOUT REGARD TO THE FACT THAT STATE AID WILL
 BE PAYABLE PURSUANT TO THIS SECTION. IN ADDITION, THE TAX RATE  FOR  ANY
 SUCH  YEAR SHALL BE DETERMINED AS IF NO PARCELS ARE EXEMPT FROM TAXATION
 PURSUANT TO SECTION FOUR HUNDRED THIRTY-NINE OF THIS  CHAPTER.  HOWEVER,
 A. 3409                             3
 
 THE  TAX  RATE  SO  DETERMINED  SHALL BE APPLIED TO THE TAXABLE ASSESSED
 VALUE OF EACH PARCEL AFTER ACCOUNTING  FOR  ALL  APPLICABLE  EXEMPTIONS,
 INCLUDING  THE  EXEMPTION AUTHORIZED BY SECTION FOUR HUNDRED THIRTY-NINE
 OF THIS CHAPTER.
   2.  THE TAX SAVINGS FOR EACH PARCEL RECEIVING THE EXEMPTION AUTHORIZED
 BY SECTION FOUR HUNDRED THIRTY-NINE OF THIS CHAPTER SHALL BE COMPUTED BY
 SUBTRACTING THE AMOUNT ACTUALLY  LEVIED  AGAINST  THE  PARCEL  FROM  THE
 AMOUNT THAT WOULD HAVE BEEN LEVIED IF NOT FOR THE EXEMPTION.
   3.  (A) THE TOTAL TAX SAVINGS DULY PROVIDED BY A MUNICIPAL CORPORATION
 OR SCHOOL DISTRICT PURSUANT TO THIS SECTION SHALL  BE  A  STATE  CHARGE,
 WHICH SHALL BE PAYABLE AS PROVIDED IN THIS SUBDIVISION.
   (B)  A  MUNICIPAL  CORPORATION  OR  SCHOOL  DISTRICT SEEKING STATE AID
 PURSUANT TO THIS SUBDIVISION SHALL SUBMIT AN APPLICATION THEREFOR TO THE
 COMMISSIONER. THE APPLICATION SHALL  INCLUDE  SUCH  INFORMATION  AS  THE
 COMMISSIONER SHALL REQUIRE.
   (C)  UPON  APPROVING  AN  APPLICATION  FOR  STATE AID PURSUANT TO THIS
 SUBDIVISION, THE COMMISSIONER SHALL COMPUTE AND CERTIFY THE AMOUNT PAYA-
 BLE TO A MUNICIPAL CORPORATION OR SCHOOL DISTRICT. SUCH STATE AID  SHALL
 BE  PAYABLE  UPON  THE  AUDIT  AND WARRANT OF THE STATE COMPTROLLER FROM
 VOUCHERS CERTIFIED AND APPROVED BY THE COMMISSIONER.
   § 5. This act shall take effect immediately and  shall  apply  to  tax
 years  beginning  on  or  after  the first of March next succeeding such
 effective date; or in the case of  municipal  taxing  authorities  which
 have  a  taxable status date other than March first established by char-
 ter, this act shall take effect with  the  first  establishment  of  the
 taxable  status of real property in the municipality next succeeding the
 effective date of this act.