STATE OF NEW YORK ________________________________________________________________________ 4107 2023-2024 Regular Sessions IN ASSEMBLY February 9, 2023 ___________ Introduced by M. of A. DINOWITZ -- read once and referred to the Commit- tee on Real Property Taxation AN ACT to amend the real property tax law, the administrative code of the city of New York and the real property law, in relation to classi- fying properties held in condominium and cooperative form for assess- ment purposes as class one-a properties; and to repeal certain provisions of the real property tax law relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 1 of section 1802 of the real property tax law, 2 as separately amended by chapters 123 and 529 of the laws of 1990, para- 3 graph class one as amended by chapter 332 of the laws of 2008, is 4 amended to read as follows: 5 1. All real property, for the purposes of this article, in a special 6 assessing unit shall be classified as follows: 7 Class one: (a) all one, two and three family residential real proper- 8 ty, including such dwellings used in part for nonresidential 9 purposes but which are used primarily for residential purposes, 10 except such property held in cooperative or condominium forms of 11 ownership other than (i) property defined in subparagraphs (b) 12 and (c) of this paragraph and (ii) property which contains no 13 more than three dwelling units held in condominium form of 14 ownership and which was classified within this class on a previ- 15 ous assessment roll; and provided that, notwithstanding the 16 provisions of paragraph (g) of subdivision twelve of section one 17 hundred two of this chapter, a mobile home or a trailer shall 18 not be classified within this class unless it is owner-occupied 19 and separately assessed; and (b) residential real property not 20 more than three stories in height held in condominium form of 21 ownership, provided that no dwelling unit therein previously was 22 on an assessment roll as a dwelling unit in other than condomin- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD05351-01-3
A. 4107 2 1 ium form of ownership; and (c) residential real property 2 consisting of one family house structures owned by the occupant, 3 situated on land held in cooperative ownership by owner occupi- 4 ers, provided that; (i) such house structures and land consti- 5 tuted bungalow colonies in existence prior to nineteen hundred 6 forty; and (ii) the land is held in cooperative ownership for 7 the sole purpose of maintaining one family residences for 8 members own use; and (d) all vacant land located within a 9 special assessing unit which is a city (i) other than such land 10 in the borough of Manhattan, provided that any such vacant land 11 which is not zoned residential must be situated immediately 12 adjacent to property improved with a residential structure as 13 defined in subparagraphs (a) and (b) of this paragraph, be owned 14 by the same owner as such immediately adjacent residential prop- 15 erty immediately prior to and since January 1, 1989, and have a 16 total area not exceeding 10,000 square feet; and (ii) located in 17 the borough of Manhattan north of or adjacent to the north side 18 of 110th street provided such vacant land was classified within 19 this class on the assessment roll with a taxable status date of 20 January 5, 2008 and the owner of such land has entered into a 21 recorded agreement with a governmental entity on or before 22 December 31, 2008 requiring construction of housing affordable 23 to persons or families of low income in accordance with the 24 provisions of the private housing finance law. Notwithstanding 25 the foregoing, such vacant land shall be classified according to 26 its use on the assessment roll with a taxable status date imme- 27 diately following commencement of construction, provided 28 further, that construction pursuant to an approved plan for 29 affordable housing shall commence no later than December 31, 30 2010; and (e) all vacant land located within a special assessing 31 unit which is not a city, provided that such vacant land which 32 is not zoned residential must be situated immediately adjacent 33 to real property defined in subparagraph (a), (b) or (c) of this 34 paragraph and be owned by the same person or persons who own the 35 real property defined in such subparagraph immediately prior to 36 and since January 1, 2003; 37 Class one-a: all other residential real property held in condominium 38 or cooperative form of ownership which is not designated as 39 class one; the department of finance of any city enacting a 40 local law pursuant to this section shall reclassify class one-a 41 properties used primarily to generate rental income to class 42 two. The department of finance of any city enacting a local law 43 pursuant to this section shall have, in addition to any other 44 functions, powers and duties which have been or may be conferred 45 on it by law, the power to make and promulgate rules to carry 46 out the purposes of this section including, but not limited to, 47 rules defining the class one-a properties primarily used to 48 generate rental income, and relating to the timing, form and 49 manner of any certification required to be submitted under this 50 section. If a property previously reclassified from class one-a 51 to class two ceases to be used primarily to generate rental 52 income, the department shall reclassify such property to class 53 one-a. The department shall use a five-year period when deter- 54 mining whether a property is used primarily to generate rental 55 income;
A. 4107 3 1 Class two: all other residential real property which is not designated 2 as class one or class one-a, except hotels and motels and other 3 similar commercial property; 4 Class three: utility real property and property subject to former 5 section four hundred seventy of this chapter; 6 Class four: all other real property which is not designated as class 7 one, class one-a, class two, or class three. 8 § 2. The real property tax law is amended by adding a new section 9 1803-c to read as follows: 10 § 1803-c. Calculation of shares. 1. For the calendar year two thou- 11 sand twenty-two, notwithstanding the provisions of sections eighteen 12 hundred three, eighteen hundred three-a, and eighteen hundred three-b of 13 this article to the contrary, the New York city commissioner of finance 14 shall establish a new class one-a pursuant to subdivision one of section 15 eighteen hundred two of this article and shall calculate shares for 16 class one, class one-a, class two, class three and class four where the 17 base year used in the calculation of the current base proportion shall 18 be the 2017 assessment roll and the sum of class one-a and class two 19 shall not exceed the prior year adjusted base proportion for such class- 20 es. 21 2. After two thousand twenty-three, assessment rolls prepared accord- 22 ing to January first, two thousand twenty-five, the adjusted base 23 proportions for class one and class one-a, shall not exceed each class' 24 prior adjusted base proportion by more than five percent. 25 3. In a city having a population of one million or more, such city's 26 tax fixing resolution shall set a tax rate for class one-a in the same 27 manner as all class shares are calculated pursuant to sections eighteen 28 hundred three, eighteen hundred three-a and eighteen hundred three-b of 29 this article. 30 4. The assessment ratio for class one-a shall be six percent. 31 § 3. Subdivision 1, paragraph (c) of subdivision 2 and subdivision 4 32 of section 307-a of the real property tax law, as added by section 1 of 33 part G of chapter 63 of the laws of 2003, are amended to read as 34 follows: 35 1. Generally. Notwithstanding any provision of any general, special 36 or local law to the contrary, any city with a population of one million 37 or more is hereby authorized and empowered to adopt and amend local laws 38 in accordance with this section imposing an additional tax on certain 39 class one and class one-a properties, as such properties are defined in 40 section eighteen hundred two of this chapter, excluding vacant land. 41 (c) "Net real property tax" means the real property tax assessed on a 42 class one or class one-a property after deduction for any exemption or 43 abatement received pursuant to this chapter. 44 4. Property subject to additional tax. Such surcharge shall be imposed 45 on class one and class one-a property, excluding vacant land, that 46 provides rental income and is not the primary residence of the owner or 47 owners of such class one or class one-a property, or the primary resi- 48 dence of the parent or child of such owner or owners. 49 § 4. Paragraph (f) of subdivision 1 of section 467-a of the real prop- 50 erty tax law, as added by chapter 273 of the laws of 1996, is amended 51 and a new paragraph (m) is added to read as follows: 52 (f) "Property" means real property designated as class [two] one-a, 53 pursuant to section eighteen hundred two of this chapter, held in the 54 cooperative or condominium form of ownership. 55 (m) "Market value" shall be calculated by the New York city department 56 of finance based upon comparable sales.
A. 4107 4 1 § 5. Subdivision 2 of section 467-a of the real property tax law is 2 amended by adding seven new paragraphs (d-7), (d-8), (d-9), (d-10), 3 (d-11), (d-12) and (d-13) to read as follows: 4 (d-7) Eligible dwelling units in property whose average unit market 5 value is less than or equal to six hundred fifty thousand dollars shall 6 receive a partial abatement of real property taxes attributable to or 7 due on such dwelling units, not to exceed thirty-three percent in the 8 fiscal year commencing in calendar year two thousand twenty-four and 9 thereafter. 10 (d-8) Eligible dwelling units in property whose average unit market 11 value is between six hundred fifty thousand one dollars to seven hundred 12 fifty thousand dollars shall receive a partial abatement of the real 13 property taxes attributable to or due on such dwelling units, not to 14 exceed twenty-two and five-tenths percent in the fiscal year commencing 15 in calendar year two thousand twenty-four and thereafter. 16 (d-9) Eligible dwelling units in property whose average unit market 17 value is between seven hundred fifty thousand one and one million five 18 hundred thousand dollars shall receive a partial abatement of the real 19 property taxes attributable to or due on such dwelling units, not to 20 exceed seventeen and five-tenths percent in the fiscal year commencing 21 in calendar year two thousand twenty-four and thereafter. 22 (d-10) Eligible dwelling units in property whose average unit market 23 value is between one million five hundred thousand one dollars and two 24 million six hundred sixty-six thousand six hundred sixty-seven dollars 25 shall receive a partial abatement of the real property taxes attribut- 26 able to or due on such dwelling units, not to exceed thirteen and thir- 27 teen-hundredths percent in the fiscal year commencing in calendar year 28 two thousand twenty-four and thereafter. 29 (d-11) Eligible dwelling units in property whose average unit market 30 value is between two million six hundred sixty-six thousand six hundred 31 sixty-eight dollars and three million eight hundred thirty-three thou- 32 sand three hundred thirty-three dollars shall receive a partial abate- 33 ment of the real property taxes attributable to or due on such dwelling 34 units, not to exceed eight and seventy-five hundredth percent in the 35 fiscal year commencing in calendar year two thousand twenty-four and 36 thereafter. 37 (d-12) Eligible dwelling units in property whose average unit market 38 value is between three million eight hundred thirty-three thousand three 39 hundred thirty-four dollars and five million dollars shall receive a 40 partial abatement of the real property taxes attributable to or due on 41 such dwelling units, not to exceed four and thirty-eight hundredths 42 percent in the fiscal year commencing in calendar year two thousand 43 twenty-four and thereafter. 44 (d-13) Eligible dwelling units in property whose average unit market 45 value is five million dollars or more shall receive a partial abatement 46 of the real property taxes attributable to or due on such dwelling 47 units, not to exceed zero percent in the fiscal year commencing in 48 calendar year two thousand twenty-four and thereafter. 49 § 6. The real property tax law is amended by adding a new section 50 467-a-1 to read as follows: 51 § 467-a-1. Enhanced partial abatement for certain condominiums and 52 cooperative residences. 1. In addition to the partial abatement received 53 pursuant to section four hundred sixty-seven-a of this article, in the 54 fiscal year commencing in calendar year two thousand twenty-four, eligi- 55 ble units in property whose average unit market value is less than six 56 hundred fifty thousand dollars shall receive an enhanced abatement equal
A. 4107 5 1 to the excess above two percent of the difference between the prior 2 year's property tax and the current year's property tax. 3 2. In addition to the partial abatement received pursuant to section 4 four hundred sixty-seven-a of this article, in the fiscal year commenc- 5 ing in calendar year two thousand twenty-five, eligible units in proper- 6 ty whose average unit market value is less than six hundred fifty thou- 7 sand dollars shall receive an enhanced abatement equal to the excess 8 above four percent of the difference between the prior year's property 9 tax and the current year's property tax. 10 3. In addition to the partial abatement received pursuant to section 11 four hundred sixty-seven-a of this article, in the fiscal year commenc- 12 ing in calendar year two thousand twenty-six and thereafter, eligible 13 units in property whose average unit market value is less than six 14 hundred fifty thousand dollars shall receive an enhanced abatement equal 15 to the excess above six percent of the difference between the prior 16 year's property tax and the current year's property tax. The enhanced 17 condominium and cooperative abatement shall not be eligible for units 18 where the commissioner determines that renovation or construction within 19 the unit or building has produced a substantial yearly increase in the 20 unit's assessed value. 21 § 7. Subdivision 7 of section 499-aaa of the real property tax law, as 22 added by chapter 461 of the laws of 2008, is amended to read as follows: 23 7. "Eligible building" shall mean a class one, class one-a, class two 24 or class four real property, as defined in subdivision one of section 25 eighteen hundred two of this chapter, located within a city having a 26 population of one million or more persons. No building shall be eligible 27 for more than one tax abatement pursuant to this title. 28 § 8. Subdivision 7 of section 499-aaaa of the real property tax law, 29 as added by chapter 473 of the laws of 2008, is amended to read as 30 follows: 31 7. "Eligible building" shall mean a class one, class one-a, class two 32 or class four real property, as defined in subdivision one of section 33 eighteen hundred two of this chapter, located within a city having a 34 population of one million or more persons. No building shall be eligible 35 for more than one tax abatement pursuant to this title. 36 § 9. Paragraph (b) of subdivision 3 of section 522 of the real proper- 37 ty tax law, as added by chapter 714 of the laws of 1982, is amended to 38 read as follows: 39 (b) in a special assessing unit, the determination, pursuant to 40 section eighteen hundred two of this chapter, of whether real property 41 is included in class one, one-a, two, three or four. 42 § 10. Subdivision 10 of section 523-b of the real property tax law, as 43 added by chapter 593 of the laws of 1998, is amended to read as follows: 44 10. On or before April first, each year the commission shall mail to 45 each applicant, who has filed an application for the correction of the 46 assessment, a notice of the commission's determination of such appli- 47 cant's assessment. Such notice shall also contain the statement as to 48 the final determination of the assessment review commission, or a state- 49 ment that the commission has not yet made a determination as to the 50 final assessed valuation which shall be made as soon as the petitioners 51 application is reviewed or heard. If the applicants property is a prop- 52 erty defined in subdivision one of section eighteen hundred two of this 53 chapter as "Class 1", the commissions determination shall contain the 54 statement: "If you are dissatisfied with the determination of the 55 Assessment Review Commission and you are the owner of a one, two or 56 three family residential structure or residential real property not more
A. 4107 6 1 than three stories in height held in condominium form of ownership, 2 provided that no dwelling unit therein previously was on an assessment 3 roll as a dwelling unit in other than condominium form of ownership, and 4 you reside at such residence, you may seek judicial review of your 5 assessment either under title one of article seven of the real property 6 tax law or under small claims assessment review law provided by title 7 one-A of article seven of the real property tax law." Such notice shall 8 also state that the last date to file petitions for judicial review and 9 the location where small claims assessment review petitions may be 10 obtained. 11 Each applicant that has filed an application of a property as defined 12 in subdivision one of section eighteen hundred two of this chapter as 13 "Class 1-a", "Class 2", "Class 3" or "Class 4", shall receive a notice 14 as to the final determination of the assessment review commission or a 15 statement that the commission has not yet made a determination as to the 16 final assessed valuation which shall be made as soon as the petitioners 17 application is reviewed or heard. Such applicants determinations shall 18 contain the statement: "If you are dissatisfied with the determination 19 of the Assessment Review Commission you may seek judicial review of your 20 assessment under title one of article seven of the real property tax 21 law." Such notice shall also state the last date to file petitions for 22 judicial review. A final determination when rendered shall contain the 23 same statement. Failure to mail any such notice or failure of the appli- 24 cant to receive the same shall not affect the validity of the assess- 25 ment. 26 § 11. Paragraph (b) of subdivision 3 of section 701 of the real prop- 27 erty tax law, as added by chapter 714 of the laws of 1982, is amended to 28 read as follows: 29 (b) In a special assessing unit, the determination, pursuant to 30 section eighteen hundred two of this chapter, of whether real property 31 is included in class one, one-a, two, three or four. 32 § 12. Subparagraph 2 of paragraph (a) of subdivision 3 of section 720 33 of the real property tax law, as amended by chapter 679 of the laws of 34 1986, is amended to read as follows: 35 (2) "Major type of property" in special assessing units, for assess- 36 ments on rolls completed after December thirty-first, nineteen hundred 37 eighty-one, shall mean classes one, one-a, two, three and four as 38 defined in subdivision one of section eighteen hundred two of this chap- 39 ter. 40 § 13. The opening paragraph of subdivision 1 of section 1805 of the 41 real property tax law, as amended by chapter 935 of the laws of 1984, is 42 amended and two new subdivisions 1-a and 1-b are added to read as 43 follows: 44 The assessor of any special assessing unit shall not increase the 45 assessment of any individual parcel classified in class one or class 46 one-a in any one year, as measured from the assessment on the previous 47 year's assessment roll, by more than six percent and shall not increase 48 such assessment by more than twenty percent in any five-year period. The 49 first such five-year period shall be measured from the individual 50 assessment appearing on the assessment roll completed in nineteen 51 hundred eighty; provided that if such parcel would not have been subject 52 to the provisions of this subdivision in nineteen hundred eighty had 53 this subdivision then been in effect, the first such five-year period 54 shall be measured from the first year after nineteen hundred eighty in 55 which this subdivision applied to such parcel or would have applied to 56 such parcel had this subdivision been in effect in such year.
A. 4107 7 1 1-a. Assessment rolls computed for class one-a shall include any 2 outstanding phased-in increases accrued prior to the effective date of 3 the chapter of the laws of two thousand twenty-three which added this 4 subdivision pursuant to subdivision three of this section. 5 1-b. Class one-a parcels shall be assessed in a method comparable to 6 class one parcels. 7 § 14. Subdivisions e and f of section 11-208.1 of the administrative 8 code of the city of New York, subdivision e as amended by local law 9 number 41 of the city of New York for the year 1986 and subdivision f as 10 amended by chapter 385 of the laws of 2006, are amended to read as 11 follows: 12 e. As used in this section, the term "income-producing property" means 13 property owned for the purpose of securing an income from the property 14 itself, but shall not include property with an assessed value of forty 15 thousand dollars or less, or residential property containing ten or 16 fewer dwelling units or property classified in class one, one-a or two 17 as defined in article eighteen of the real property tax law containing 18 six or fewer dwelling units and one retail store. 19 f. Except in accordance with proper judicial order or as otherwise 20 provided by law, it shall be unlawful for the commissioner, any officer 21 or employee of the department, the president or a commissioner or 22 employee of the tax commission, any person engaged or retained by the 23 department or the tax commission on an independent contract basis, or 24 any person, who, pursuant to this section, is permitted to inspect any 25 income and expense statement or to whom a copy, an abstract or a portion 26 of any such statement is furnished, to divulge or make known in any 27 manner except as provided in this subdivision, the amount of income 28 and/or expense or any particulars set forth or disclosed in any such 29 statement required under this section. The commissioner, the president 30 of the tax commission, or any commissioner or officer or employee of the 31 department or the tax commission charged with the custody of such state- 32 ments shall not be required to produce any income and expense statement 33 or evidence of anything contained in them in any action or proceeding in 34 any court, except on behalf of the department or the tax commission. 35 Nothing herein shall be construed to prohibit the delivery to an owner 36 or his or her duly authorized representative of a certified copy of any 37 statement filed by such owner pursuant to this section or to prohibit 38 the publication of statistics so classified as to prevent the identifi- 39 cation of particular statements and the items thereof, or making known 40 aggregate income and expense information disclosed with respect to prop- 41 erty classified as class four as defined in article eighteen of the real 42 property tax law without identifying information about individual leas- 43 es, or making known a range as determined by the commissioner within 44 which the income and expenses of a property classified as class one-a or 45 class two falls, or the inspection by the legal representatives of the 46 department or of the tax commission of the statement of any owner who 47 shall bring an action to correct the assessment. Any violation of the 48 provisions of this subdivision shall be punished by a fine not exceeding 49 one thousand dollars or by imprisonment not exceeding one year, or both, 50 at the discretion of the court, and if the offender be an officer or 51 employee of the department or the tax commission, the offender shall be 52 dismissed from office. 53 § 15. Subdivision a of section 11-238 of the administrative code of 54 the city of New York, as amended by local law number 27 of the city of 55 New York for the year 2006, is amended to read as follows:
A. 4107 8 1 a. Imposition of surcharge. A real property tax surcharge is hereby 2 imposed on class one and class one-a property, as defined in section 3 eighteen hundred two of the real property tax law, excluding vacant 4 land, that provides rental income and is not the primary residence of 5 the owner or owners of such class one or class one-a property, or the 6 primary residence of the parent or child of such owner or owners, in an 7 amount equal to zero percent of the net real property taxes for fiscal 8 years beginning on or after July first, two thousand six. As used in 9 this section, "net real property tax" means the real property tax 10 assessed on class one property after deduction for any exemption or 11 abatement received pursuant to the real property tax law or this title. 12 § 16. Subdivisions a, a-1, a-2, a-3, a-4 and a-5 of section 11-319 of 13 the administrative code of the city of New York, subdivisions a, a-2 14 and a-3 as amended by local law number 24 of the city of New York for 15 the year 2021, subdivisions a-1 as amended, subdivision a-5 as added by 16 local law number 15 of the city of New York for the year 2011 and subdi- 17 vision a-4 as amended by local law number 4 of the city of New York for 18 the year 2017, are amended to read as follows: 19 a. A tax lien or tax liens on a property or any component of the 20 amount thereof may be sold by the city as authorized by subdivision b of 21 this section, when such tax lien or tax liens shall have remained unpaid 22 in whole or in part for one year, provided, however, that a tax lien or 23 tax liens on any class one property or on class [two] one-a property 24 [that is a residential condominium or residential cooperative], as such 25 classes of property are defined in subdivision one of section eighteen 26 hundred two of the real property tax law, may be sold by the city only 27 when the real property tax component of such tax lien or tax liens shall 28 have remained unpaid in whole or in part for three years and, in the 29 case of any such class one property that is not vacant land or any such 30 class two property that is a residential condominium or residential 31 cooperative, as such classes of property are defined in subdivision one 32 of section eighteen hundred two of the real property tax law, equals or 33 exceeds the sum of five thousand dollars, or, in the case of any class 34 two residential property owned by a company organized pursuant to arti- 35 cle XI of the state private housing finance law [that is not a residen- 36 tial condominium or a residential cooperative], as such class of proper- 37 ty is defined in subdivision one of section eighteen hundred two of the 38 real property tax law, for two years, and equals or exceeds the sum of 39 five thousand dollars or, in the case of abandoned class one property or 40 abandoned class [two] one-a property [that is a residential condominium 41 or residential cooperative], for eighteen months, and after such sale, 42 shall be transferred, in the manner provided by this chapter, and 43 provided, further, however, that (i) the real property tax component of 44 such tax lien may not be sold pursuant to this subdivision on any: (A) 45 residential real property in class one that is receiving an exemption 46 pursuant to section 11-245.3 or 11-245.4 of this title, or pursuant to 47 section four hundred fifty-eight of the real property tax law with 48 respect to real property purchased with payments received as prisoner of 49 war compensation from the United States government, or pursuant to para- 50 graph (b) or (c) of subdivision two of section four hundred 51 fifty-eight-a of the real property tax law, or where the owner of such 52 residential real property in class one is receiving benefits in accord- 53 ance with department of finance memorandum 05-3, or any successor memo- 54 randum thereto, relating to active duty military personnel, or where the 55 owner of such residential real property in class one has been allowed a 56 credit pursuant to subsection (e) of section six hundred six of the tax
A. 4107 9 1 law for the calendar year in which the date of the first publication, 2 pursuant to subdivision a of section 11-320 of this chapter, of the 3 notice of sale, occurs or for the calendar year immediately preceding 4 such date; or (B) real property that was granted an exemption pursuant 5 to section four hundred twenty-a, four hundred twenty-b, four hundred 6 forty-six, or four hundred sixty-two of the real property tax law in one 7 of the two fiscal years preceding the date of such sale, provided that: 8 (1) such exemption was granted to such real property upon the applica- 9 tion of a not-for-profit organization that owns such real property on or 10 after the date on which such real property was conveyed to such not-for- 11 profit organization; (2) the real property tax component of such lien 12 arose on or after the date on which such real property was conveyed to 13 such not-for-profit organization; and (3) such not-for-profit organiza- 14 tion is organized or conducted for one of the purposes described in 15 paragraph a or paragraph b of subdivision 1 of section 11-246 of this 16 chapter, and (ii) the sewer rents component, sewer surcharges component 17 or water rents component of such tax lien may not be sold pursuant to 18 this subdivision on any one family residential real property in class 19 one or on any two or three family residential real property in class one 20 that is receiving an exemption pursuant to section 11-245.3 or 11-245.4 21 of this title, or pursuant to section four hundred fifty-eight of the 22 real property tax law with respect to real property purchased with 23 payments received as prisoner of war compensation from the United States 24 government, or pursuant to paragraph (b) or (c) of subdivision two of 25 section four hundred fifty-eight-a of the real property tax law, or 26 where the owner of any two or three family residential real property in 27 class one is receiving benefits in accordance with department of finance 28 memorandum 05-3, or any successor memorandum thereto, relating to active 29 duty military personnel, or where the owner of any two or three family 30 residential real property in class one has been allowed a credit pursu- 31 ant to subsection (e) of section six hundred six of the tax law for the 32 calendar year in which the date of the first publication, pursuant to 33 subdivision a of section 11-320 of this chapter, of the notice of sale, 34 occurs or for the calendar year immediately preceding such date. A tax 35 lien or tax liens on any property classified as a class two property, 36 except [a class two property that is a residential condominium or resi- 37 dential cooperative, or] a class two residential property owned by a 38 company organized pursuant to article XI of the state private housing 39 finance law [that is not a residential condominium or a residential 40 cooperative], or class three property, as such classes of property are 41 defined in subdivision one of section eighteen hundred two of the real 42 property tax law, shall not be sold by the city unless such tax lien or 43 tax liens include a real property tax component as of the date of the 44 first publication, pursuant to subdivision a of section 11-320 of this 45 chapter, of the notice of sale. Notwithstanding any provision of this 46 subdivision to the contrary, any such tax lien or tax liens that remain 47 unpaid in whole or in part after such date may be sold regardless of 48 whether such tax lien or tax liens include a real property tax compo- 49 nent. A tax lien or tax liens on a property classified as a class four 50 property, as such class of property is defined in subdivision one of 51 section eighteen hundred two of the real property tax law, shall not be 52 sold by the city unless such tax lien or tax liens include a real prop- 53 erty tax component or sewer rents component or sewer surcharges compo- 54 nent or water rents component or emergency repair charges component, 55 where such emergency repair charges accrued on or after January first, 56 two thousand six and are made a lien pursuant to section 27-2144 of this
A. 4107 10 1 code, as of the date of the first publication, pursuant to subdivision a 2 of section 11-320 of this chapter, of the notice of sale, provided, 3 however, that any tax lien or tax liens that remain unpaid in whole or 4 in part after such date may be sold regardless of whether such tax lien 5 or tax liens include a real property tax component, sewer rents compo- 6 nent, sewer surcharges component, water rents component or emergency 7 repair charges component. For purposes of this subdivision, the words 8 "real property tax" shall not include an assessment or charge upon prop- 9 erty imposed pursuant to section 25-411 of the administrative code. A 10 sale of a tax lien or tax liens shall include, in addition to such lien 11 or liens that have remained unpaid in whole or in part for one year, or, 12 in the case of any class one property or class [two] one-a property 13 [that is a residential condominium or residential cooperative], when the 14 real property tax component of such lien or liens has remained unpaid in 15 whole or in part for three years, or, in the case of any class two resi- 16 dential property owned by a company organized pursuant to article XI of 17 the state private housing finance law [that is not a residential condo- 18 minium or a residential cooperative], when the real property tax compo- 19 nent of such lien or liens has remained unpaid in whole or in part for 20 two years, and equals or exceeds the sum of five thousand dollars, any 21 taxes, assessments, sewer rents, sewer surcharges, water rents, any 22 other charges that are made a lien subject to the provisions of this 23 chapter, the costs of any advertisements and notices given pursuant to 24 this chapter, any other charges that are due and payable, a surcharge 25 pursuant to section 11-332 of this chapter, and interest and penalties 26 thereon or such component of the amount thereof as shall be determined 27 by the commissioner of finance. The commissioner of finance may promul- 28 gate rules defining "abandoned" property, as such term is used in this 29 subdivision. 30 a-1. A subsequent tax lien or tax liens on a property or any component 31 of the amount thereof may be sold by the city pursuant to this chapter, 32 provided, however, that notwithstanding any provision in this chapter to 33 the contrary, such tax lien or tax liens may be sold regardless of 34 whether such tax lien or tax liens have remained unpaid in whole or in 35 part for one year and, notwithstanding any provision in this chapter to 36 the contrary, in the case of any class one property or class [two] one-a 37 property [that is a residential condominium or residential cooperative] 38 or, beginning January first, two thousand twelve, in the case of any 39 class two residential property owned by a company organized pursuant to 40 article XI of the state private housing finance law [that is not a resi- 41 dential condominium or a residential cooperative], such tax lien or tax 42 liens may be sold if the real property tax component of such tax lien or 43 tax liens has remained unpaid in whole or in part for one year, and 44 provided, further, however, that (i) the real property tax component of 45 such tax lien may not be sold pursuant to this subdivision on any resi- 46 dential real property in class one that is receiving an exemption pursu- 47 ant to section 11-245.3 or 11-245.4 of this title, or pursuant to 48 section four hundred fifty-eight of the real property tax law with 49 respect to real property purchased with payments received as prisoner of 50 war compensation from the United States government, or pursuant to para- 51 graph (b) or (c) of subdivision two of section four hundred 52 fifty-eight-a of the real property tax law, or where the owner of such 53 residential real property in class one is receiving benefits in accord- 54 ance with department of finance memorandum 05-3, or any successor memo- 55 randum thereto, relating to active duty military personnel, or where the 56 owner of such residential real property in class one has been allowed a
A. 4107 11 1 credit pursuant to subsection (e) of section six hundred six of the tax 2 law for the calendar year in which the date of the first publication, 3 pursuant to subdivision a of section 11-320 of this chapter, of the 4 notice of sale, occurs or for the calendar year immediately preceding 5 such date and (ii) the sewer rents component, sewer surcharges component 6 or water rents component of such tax lien may not be sold pursuant to 7 this subdivision on any one family residential real property in class 8 one or on any two or three family residential real property in class one 9 that is receiving an exemption pursuant to section 11-245.3 or 11-245.4 10 of this title, or pursuant to section four hundred fifty-eight of the 11 real property tax law with respect to real property purchased with 12 payments received as prisoner of war compensation from the United States 13 government, or pursuant to paragraph (b) or (c) of subdivision two of 14 section four hundred fifty-eight-a of the real property tax law, or 15 where the owner of any two or three family residential real property in 16 class one is receiving benefits in accordance with department of finance 17 memorandum 05-3, or any successor memorandum thereto, relating to active 18 duty military personnel, or where the owner of any two or three family 19 residential real property in class one has been allowed a credit pursu- 20 ant to subsection (e) of section six hundred six of the tax law for the 21 calendar year in which the date of the first publication, pursuant to 22 subdivision a of section 11-320 of this chapter, of the notice of sale, 23 occurs or for the calendar year immediately preceding such date. For 24 purposes of this subdivision, the term "subsequent tax lien or tax 25 liens" shall mean any tax lien or tax liens on property that become such 26 on or after the date of sale of any tax lien or tax liens on such prop- 27 erty that have been sold pursuant to this chapter, provided that the 28 prior tax lien or tax liens remain unpaid as of the date of the first 29 publication, pursuant to subdivision a of section 11-320 of this chap- 30 ter, of the notice of sale of the subsequent tax lien or tax liens. A 31 subsequent tax lien or tax liens on any property classified as a class 32 two property, except [a class two property that is a residential condo- 33 minium or residential cooperative, or] a class two residential property 34 owned by a company organized pursuant to article XI of the state private 35 housing finance law [that is not a residential condominium or a residen- 36 tial cooperative], or class three property, as such classes of property 37 are defined in subdivision one of section eighteen hundred two of the 38 real property tax law, shall not be sold by the city unless such tax 39 lien or tax liens include a real property tax component as of the date 40 of the first publication, pursuant to subdivision a of section 11-320 of 41 this chapter, of the notice of sale. Notwithstanding any provision of 42 this subdivision to the contrary, any such tax lien or tax liens that 43 remain unpaid in whole or in part after such date may be sold regardless 44 of whether such tax lien or tax liens include a real property tax compo- 45 nent. A subsequent tax lien or tax liens on a property classified as a 46 class four property, as such class of property is defined in subdivision 47 one of section eighteen hundred two of the real property tax law, shall 48 not be sold by the city unless such tax lien or tax liens include a real 49 property tax component or sewer rents component or sewer surcharges 50 component or water rents component or emergency repair charges compo- 51 nent, where such emergency repair charges accrued on or after January 52 first, two thousand six and are made a lien pursuant to section 27-2144 53 of this code, as of the date of the first publication, pursuant to 54 subdivision a of section 11-320 of this chapter, of the notice of sale, 55 provided, however, that any tax lien or tax liens that remain unpaid in 56 whole or in part after such date may be sold regardless of whether such
A. 4107 12 1 tax lien or tax liens include a real property tax component, sewer rents 2 component, sewer surcharges component, water rents component or emergen- 3 cy repair charges component. For purposes of this subdivision, the words 4 "real property tax" shall not include an assessment or charge upon prop- 5 erty imposed pursuant to section 25-411 of the administrative code. 6 Nothing in this subdivision shall be deemed to limit the rights 7 conferred by section 11-332 of this chapter on the holder of a tax lien 8 certificate with respect to a subsequent tax lien. 9 a-2. In addition to any sale authorized pursuant to subdivision a or 10 subdivision a-1 of this section and notwithstanding any provision of 11 this chapter to the contrary, beginning on December first, two thousand 12 seven, the water rents, sewer rents and sewer surcharges components of 13 any tax lien on any class of real property, as such real property is 14 classified in subdivision one of section eighteen hundred two of the 15 real property tax law, may be sold by the city pursuant to this chapter, 16 where such water rents, sewer rents or sewer surcharges component of 17 such tax lien, as of the date of the first publication, pursuant to 18 subdivision a of section 11-320 of this chapter, of the notice of sale: 19 (i) shall have remained unpaid in whole or in part for one year and (ii) 20 equals or exceeds the sum of one thousand dollars or, beginning on March 21 first, two thousand eleven, in the case of any two or three family resi- 22 dential real property in class one, for one year, and equals or exceeds 23 the sum of two thousand dollars, or, beginning on January first, two 24 thousand twenty-one, in the case of any two or three family residential 25 real property in class one, for one year, and equals or exceeds the sum 26 of three thousand dollars, or, beginning on January first, two thousand 27 twelve, in the case of any class two residential property owned by a 28 company organized pursuant to article XI of the state private housing 29 finance law [that is not a residential condominium or a residential 30 cooperative], as such class of property is defined in subdivision one of 31 section eighteen hundred two of the real property tax law, for two 32 years, and equals or exceeds the sum of five thousand dollars; provided, 33 however, that such water rents, sewer rents or sewer surcharges compo- 34 nent of such tax lien may not be sold pursuant to this subdivision on 35 any one family residential real property in class one or on any two or 36 three family residential real property in class one that is receiving an 37 exemption pursuant to section 11-245.3 or 11-245.4 of this title, or 38 pursuant to section four hundred fifty-eight of the real property tax 39 law with respect to real property purchased with payments received as 40 prisoner of war compensation from the United States government, or 41 pursuant to paragraph (b) or (c) of subdivision two of section four 42 hundred fifty-eight-a of the real property tax law, or where the owner 43 of any two or three family residential real property in class one is 44 receiving benefits in accordance with department of finance memorandum 45 05-3, or any successor memorandum thereto, relating to active duty mili- 46 tary personnel, or where the owner of any two or three family residen- 47 tial real property in class one has been allowed a credit pursuant to 48 subsection (e) of section six hundred six of the tax law for the calen- 49 dar year in which the date of the first publication, pursuant to subdi- 50 vision a of section 11-320 of this chapter, of the notice of sale, 51 occurs or for the calendar year immediately preceding such date. After 52 such sale, any such water rents, sewer rents or sewer surcharges compo- 53 nent of such tax lien may be transferred in the manner provided by this 54 chapter. 55 a-3. In addition to any sale authorized pursuant to subdivision a or 56 subdivision a-1 of this section and notwithstanding any provision of
A. 4107 13 1 this chapter to the contrary, beginning on December first, two thousand 2 seven, a subsequent tax lien on any class of real property, as such real 3 property is classified in subdivision one of section eighteen hundred 4 two of the real property tax law, may be sold by the city pursuant to 5 this chapter, regardless of whether such subsequent tax lien, or any 6 component of the amount thereof, shall have remained unpaid in whole or 7 in part for one year, and regardless of whether such subsequent tax 8 lien, or any component of the amount thereof, equals or exceeds the sum 9 of one thousand dollars or beginning on March first, two thousand elev- 10 en, in the case of any two or three family residential real property in 11 class one, a subsequent tax lien on such property may be sold by the 12 city pursuant to this chapter, regardless of whether such subsequent tax 13 lien, or any component of the amount thereof, shall have remained unpaid 14 in whole or in part for one year, and regardless of whether such subse- 15 quent tax lien, or any component of the amount thereof, equals or 16 exceeds the sum of two thousand dollars, or, beginning on January first, 17 two thousand twenty-one, in the case of any two or three family residen- 18 tial real property in class one, a subsequent tax lien on such property 19 may be sold by the city pursuant to this chapter, regardless of whether 20 such subsequent tax lien, or any component of the amount thereof, shall 21 have remained unpaid in whole or in part for one year, and regardless of 22 whether such subsequent tax lien, or any component of the amount there- 23 of, equals or exceeds the sum of three thousand dollars, or, beginning 24 on January first, two thousand twelve, in the case of any class two 25 residential property owned by a company organized pursuant to article XI 26 of the state private housing finance law [that is not a residential 27 condominium or a residential cooperative], as such class of property is 28 defined in subdivision one of section eighteen hundred two of the real 29 property tax law, a subsequent tax lien on such property may be sold by 30 the city pursuant to this chapter, regardless of whether such subsequent 31 tax lien, or any component of the amount thereof, shall have remained 32 unpaid in whole or in part for two years, and regardless of whether such 33 subsequent tax lien, or any component of the amount thereof, equals or 34 exceeds the sum of five thousand dollars; provided, however, that such 35 subsequent tax lien may not be sold pursuant to this subdivision on any 36 one family residential real property in class one or on any two or three 37 family residential real property in class one that is receiving an 38 exemption pursuant to section 11-245.3 or 11-245.4 of this title, or 39 pursuant to section four hundred fifty-eight of the real property tax 40 law with respect to real property purchased with payments received as 41 prisoner of war compensation from the United States government, or 42 pursuant to paragraph (b) or (c) of subdivision two of section four 43 hundred fifty-eight-a of the real property tax law, or where the owner 44 of any two or three family residential real property in class one is 45 receiving benefits in accordance with department of finance memorandum 46 05-3, or any successor memorandum thereto, relating to active duty mili- 47 tary personnel, or where the owner of any two or three family residen- 48 tial real property in class one has been allowed a credit pursuant to 49 subsection (e) of section six hundred six of the tax law for the calen- 50 dar year in which the date of the first publication, pursuant to subdi- 51 vision a of section 11-320 of this chapter, of the notice of sale, 52 occurs or for the calendar year immediately preceding such date. After 53 such sale, any such subsequent tax lien, or any component of the amount 54 thereof, may be transferred in the manner provided by this chapter. For 55 purposes of this subdivision, the term "subsequent tax lien" shall mean 56 the water rents, sewer rents or sewer surcharges component of any tax
A. 4107 14 1 lien on property that becomes such on or after the date of sale of any 2 water rents, sewer rents or sewer surcharges component of any tax lien 3 on such property that has been sold pursuant to this chapter, provided 4 that the prior tax lien remains unpaid as of the date of the first 5 publication, pursuant to subdivision a of section 11-320 of this chap- 6 ter, of the notice of sale of the subsequent tax lien. Nothing in this 7 subdivision shall be deemed to limit the rights conferred by section 8 11-332 of this chapter on the holder of a tax lien certificate with 9 respect to a subsequent tax lien. 10 a-4. In addition to any sale authorized pursuant to subdivision a, 11 a-1, a-2 or a-3 of this section and notwithstanding any provision of 12 this chapter to the contrary, beginning on March first, two thousand 13 eleven, the emergency repair charges component or alternative enforce- 14 ment expenses and fees component, where such emergency repair charges 15 accrued on or after January first, two thousand six and are made a lien 16 pursuant to section 27-2144 of this code, or where such alternative 17 enforcement expenses and fees are made a lien pursuant to section 18 27-2153 of this code, of any tax lien on any class of real property, as 19 such real property is defined in subdivision one of section eighteen 20 hundred two of the real property tax law, may be sold by the city pursu- 21 ant to this chapter, where such emergency repair charges component or 22 alternative enforcement expenses and fees component of such tax lien, as 23 of the date of the first publication, pursuant to subdivision a of 24 section 11-320 of this chapter, of the notice of sale: (i) shall have 25 remained unpaid in whole or in part for one year, and (ii) equals or 26 exceeds the sum of one thousand dollars or, beginning on January first, 27 two thousand twelve, in the case of any class two residential property 28 owned by a company organized pursuant to article XI of the state private 29 housing finance law [that is not a residential condominium or a residen- 30 tial cooperative], as such class of property is defined in subdivision 31 one of section eighteen hundred two of the real property tax law, for 32 two years, and equals or exceeds the sum of five thousand dollars; 33 provided, however, that such emergency repair charges component or 34 alternative enforcement expenses and fees component of such tax lien may 35 only be sold pursuant to this subdivision on any one, two or three fami- 36 ly residential real property in class one, where such one, two or three 37 family residential property in class one is not the primary residence of 38 the owner. After such sale, any such emergency repair charges component 39 or alternative enforcement expenses and fees component of such tax lien 40 may be transferred in the manner provided by this chapter. 41 a-5. In addition to any sale authorized pursuant to subdivision a, 42 a-1, a-2 or a-3 of this section and notwithstanding any provision of 43 this chapter to the contrary, beginning on March first, two thousand 44 eleven, a subsequent tax lien on any class of real property, or begin- 45 ning on January first, two thousand twelve in the case of any class two 46 residential property owned by a company organized pursuant to article XI 47 of the state private housing finance law [that is not a residential 48 condominium or a residential cooperative], a subsequent tax lien on such 49 property, may be sold by the city pursuant to this chapter, regardless 50 of the length of time such subsequent tax lien, or any component of the 51 amount thereof, shall have remained unpaid, and regardless of the amount 52 of such subsequent tax lien. After such sale, any such subsequent tax 53 lien, or any component of the amount thereof, may be transferred in the 54 manner provided by this chapter. For purposes of this subdivision, the 55 term "subsequent tax lien" shall mean the emergency repair charges 56 component or alternative enforcement expenses and fees component, where
A. 4107 15 1 such emergency repair charges accrued on or after January first, two 2 thousand six and are made a lien pursuant to section 27-2144 of this 3 code, or where such alternative enforcement expenses and fees are made a 4 lien pursuant to section 27-2153 of this code, of any tax lien on prop- 5 erty that becomes such on or after the date of sale of any emergency 6 repair charges component or alternative enforcement expenses and fees 7 component, of any tax lien on such property that has been sold pursuant 8 to this chapter, provided that the prior tax lien remains unpaid as of 9 the date of the first publication, pursuant to subdivision a of section 10 11-320 of this chapter, of the notice of sale of the subsequent tax 11 lien. Nothing in this subdivision shall be deemed to limit the rights 12 conferred by section 11-332 of this chapter on the holder of a tax lien 13 certificate with respect to a subsequent tax lien. 14 § 17. Subparagraph (i) of paragraph 2 of subdivision b and subpara- 15 graph (ii) of paragraph 1 of subdivision h of section 11-320 of the 16 administrative code of the city of New York, subparagraph (i) of para- 17 graph 2 of subdivision b as amended by local law number 147 of the city 18 of New York for the year 2013 and subparagraph (ii) of paragraph 1 of 19 subdivision h as added by local law number 15 of the city of New York 20 for the year 2011, are amended to read as follows: 21 (i) Such notices shall also include, with respect to any property 22 owner in class one, class one-a or class two, as such classes of proper- 23 ty are defined in subdivision one of section eighteen hundred two of the 24 real property tax law, an exemption eligibility checklist. The exemption 25 eligibility checklist shall also be posted on the website of the depart- 26 ment no later than the first business day after March fifteenth of every 27 year prior to the date of sale, and shall continue to be posted on such 28 website until ten days prior to the date of sale. Within ten business 29 days of receipt of a completed exemption eligibility checklist from such 30 property owner, provided that such receipt occurs prior to the date of 31 sale of any tax lien or tax liens on his or her property, the department 32 of finance shall review such checklist to determine, based on the infor- 33 mation provided by the property owner, whether such property owner could 34 be eligible for any exemption, credit or other benefit that would enti- 35 tle them to be excluded from a tax lien sale and, if the department 36 determines that such property owner could be eligible for any such 37 exemption, credit or other benefit, shall mail such property owner an 38 application for the appropriate exemption, credit or other benefit. If, 39 within twenty business days of the date the department mailed such 40 application, the department has not received a completed application 41 from such property owner, the department shall mail such property owner 42 a second application, and shall telephone the property owner, if the 43 property owner has included his or her telephone number on the exemption 44 eligibility checklist. 45 (ii) all class two residential property owned by a company organized 46 pursuant to article XI of the state private housing finance law [that is 47 not a residential condominium or a residential cooperative] on which any 48 tax lien has been sold pursuant to subdivision a, a-2 or a-4 of section 49 11-319 of this title. 50 § 18. Subdivision (a) of section 11-354 of the administrative code of 51 the city of New York, as amended by local law number 37 of the city of 52 New York for the year 1996, is amended to read as follows: 53 (a) Notwithstanding any other provision of law and notwithstanding any 54 omission to hold a tax lien sale, whenever any tax, assessment, sewer 55 rent, sewer surcharge, water rent, any charge that is made a lien 56 subject to the provisions of this chapter or chapter four of this title,
A. 4107 16 1 or interest and penalties thereon, has been due and unpaid for a period 2 of at least one year from the date on which the tax, assessment or other 3 legal charge represented thereby became a lien, or in the case of any 4 class one property or any class [two] one-a property [that is a residen- 5 tial condominium or residential cooperative], as such classes of proper- 6 ty are defined in subdivision one of section eighteen hundred two of the 7 real property tax law, or in the case of a multiple dwelling owned by a 8 company organized pursuant to article XI of the private housing finance 9 law with the consent and approval of the department of housing preserva- 10 tion and development, for a period of at least three years from the date 11 on which the tax, assessment or other legal charge became a lien, the 12 city, as owner of a tax lien, may maintain an action in the supreme 13 court to foreclose such lien. Such action shall be governed by the 14 procedures set forth in section 11-335 of this chapter; provided, howev- 15 er, that such parcel shall only be sold to the highest responsible 16 bidder. Such purchaser shall be deemed qualified as a responsible bidder 17 pursuant to such criteria as are established in rules promulgated by the 18 commissioner of finance after consultation with the commissioner of 19 housing preservation and development. 20 § 19. The opening paragraph of subdivision 4 of section 11-401 of the 21 administrative code of the city of New York, as amended by local law 22 number 152 of the city of New York for the year 2017, is amended to read 23 as follows: 24 "Distressed property." Any parcel of class one, class one-a or class 25 two real property that is subject to a tax lien or liens that result 26 from an environmental control board judgment against the owner of such 27 parcel for a building code violation with a lien or liens to value 28 ratio, as determined by the commissioner of finance, equal to or greater 29 than 25 percent or any parcel of class one, class one-a, or class two 30 real property that is subject to a tax lien or liens with a lien or 31 liens to value ratio, as determined by the commissioner of finance, 32 equal to or greater than fifteen percent and that meets one of the 33 following two criteria: 34 § 20. Subdivisions a and b of section 11-401.1 of the administrative 35 code of the city of New York, as added by local law number 37 of the 36 city of New York for the year 1996, are amended to read as follows: 37 a. The commissioner of finance shall, not less than sixty days preced- 38 ing the date of the sale of a tax lien or tax liens, submit to the 39 commissioner of housing preservation and development a description by 40 block and lot, or by such other identification as the commissioner of 41 finance may deem appropriate, of any parcel of class one, class one-a or 42 class two real property on which there is a tax lien that may be fore- 43 closed by the city. The commissioner of housing preservation and devel- 44 opment shall determine, and direct the commissioner of finance, not less 45 than ten days preceding the date of the sale of a tax lien or tax liens, 46 whether any such parcel is a distressed property as defined in subdivi- 47 sion four of section 11-401 of this chapter. Any tax lien on a parcel so 48 determined to be a distressed property shall not be included in such 49 sale. In connection with a subsequent sale of a tax lien or tax liens, 50 the commissioner of finance may, not less than sixty days preceding the 51 date of the sale, resubmit to the commissioner of housing preservation 52 and development a description by block and lot, or by such other iden- 53 tification as the commissioner of finance may deem appropriate, of any 54 parcel of class one, class one-a or class two real property that was 55 previously determined to be a distressed property pursuant to this para- 56 graph and on which there is a tax lien that may be included in such
A. 4107 17 1 sale. The commissioner of housing preservation and development shall 2 determine, and direct the commissioner of finance, not less than ten 3 days preceding the date of the sale, whether such parcel remains a 4 distressed property. If the commissioner of housing preservation and 5 development determines that the parcel is not a distressed property, 6 then the tax lien on the parcel may be included in the sale. 7 b. The commissioner of housing preservation and development may peri- 8 odically review whether a parcel of class one, class one-a or class two 9 real property that is subject to subdivision c of this section or subdi- 10 vision j of section 11-412.1 of this chapter remains a distressed prop- 11 erty. If the commissioner determines that the parcel is not a distressed 12 property as defined in subdivision four of section 11-401 of this chap- 13 ter, then the parcel shall not be subject to such subdivisions. 14 § 21. Subdivision b of section 11-404 of the administrative code of 15 the city of New York, as amended by local law number 37 of the city of 16 New York for the year 1996, is amended to read as follows: 17 b. A tax lien on any class one property or any class [two] one-a prop- 18 erty [that is a residential condominium or residential cooperative], as 19 such classes of property are defined in subdivision one of section eigh- 20 teen hundred two of the real property tax law, and on any multiple 21 dwelling owned by a company organized pursuant to article XI of the 22 private housing finance law with the consent and approval of the depart- 23 ment of housing preservation and development, shall not be foreclosed in 24 the manner provided in this chapter until such tax lien has been due and 25 unpaid for a period of at least three years from the date on which the 26 tax, assessment or other legal charge represented thereby became a lien. 27 § 22. Paragraph 5 of subdivision c of section 11-405 of the adminis- 28 trative code of the city of New York, as added by local law number 37 of 29 the city of New York for the year 1996, is amended to read as follows: 30 (5) Notwithstanding paragraph one, two or three of this subdivision, 31 with respect to installment agreements duly made, executed and filed on 32 or after the date on which this paragraph takes effect, the commissioner 33 of finance may also exclude or thereafter remove from such list any 34 parcel of class one, class one-a or class two real property, other than 35 a parcel described in paragraph four of this subdivision, as to which an 36 agreement has been duly made, executed and filed with such commissioner 37 for the payment of the delinquent taxes, assessments or other legal 38 charges, and the interest and penalties thereon, in installments. The 39 first installment thereof shall be paid upon the filing of the install- 40 ment agreement with the commissioner and shall be in an amount equal to 41 not less than fifteen percent of the total amount of such delinquent 42 taxes, assessments or other legal charges and the interest and penalties 43 thereon. The remaining installments, which shall be twice the number of 44 unpaid quarters of real estate taxes or the equivalent thereof, but 45 which shall in no event exceed thirty-two in number, shall be payable 46 quarterly on the first days of July, October, January and April. For the 47 purposes of calculating the number of such remaining installments, 48 unpaid real estate taxes that are due and payable on other than a quar- 49 terly basis shall be deemed to be payable on a quarterly basis. 50 § 23. Section 581 of the real property tax law is REPEALED. 51 § 24. Subdivision 1 of section 339-y of the real property law, as 52 amended by chapter 218 of the laws of 1986, subparagraph (ii) of para- 53 graph (d) as amended by chapter 223 of the laws of 1989, paragraph (e) 54 as added by chapter 135 of the laws of 1996, paragraph (f) as added by 55 chapter 293 of the laws of 1997 and paragraph (g) as added by 786 of the 56 laws of 2022, is amended to read as follows:
A. 4107 18 1 1. (a) With respect to all property submitted to the provisions of 2 this article other than property which is the subject of a qualified 3 leasehold condominium, each unit and its common interest, not including 4 any personal property, shall be deemed to be a parcel and shall be 5 subject to separate assessment and taxation by each assessing unit, 6 school district, special district, county or other taxing unit, for all 7 types of taxes authorized by law including but not limited to special ad 8 valorem levies and special assessments, except that the foregoing shall 9 not apply to a unit held under lease or sublease unless the declaration 10 requires the unit owner to pay all taxes attributable to his unit. 11 Neither the building, the property nor any of the common elements shall 12 be deemed to be a parcel. 13 (b) [In no event shall the aggregate of the assessment of the units 14 plus their common interests exceed the total valuation of the property 15 were the property assessed as a parcel. 16 (c)] For the purposes of this and the next succeeding section the 17 terms "assessing unit", "assessment", "parcel", "special ad valorem 18 levy", "special assessment", "special district", "taxation" and "taxes" 19 shall have the meanings specified in section one hundred two of the real 20 property tax law. 21 [(d) The provisions of paragraph (b) of this subdivision shall not 22 apply to such real property classified within: 23 (i) on and after January first, nineteen hundred eighty-six, class one 24 of section one thousand eight hundred two of the real property tax law; 25 or 26 (ii) on and after January first, nineteen hundred eighty-four, the 27 homestead class of an approved assessing unit which has adopted the 28 provisions of section one thousand nine hundred three of the real prop- 29 erty tax law, or the homestead class of the portion outside an approved 30 assessing unit of an eligible split school district which has adopted 31 the provisions of section nineteen hundred three-a of the real property 32 tax law; provided, however, that, in an approved assessing unit which 33 adopted the provisions of section one thousand nine hundred three of the 34 real property tax law prior to the effective date of this subdivision, 35 paragraph (b) of this subdivision shall apply to all such real property 36 (i) which is classified within the homestead class pursuant to paragraph 37 one of subdivision (e) of section one thousand nine hundred one of the 38 real property tax law and (ii) which, regardless of classification, was 39 on the assessment roll prior to the effective date of this subdivision 40 unless the governing body of such approved assessing unit provides by 41 local law adopted after a public hearing, prior to the taxable status 42 date of such assessing unit next occurring after December thirty-first, 43 nineteen hundred eighty-three, that such paragraph (b) shall not apply 44 to such real property to which this clause applies. Provided further, 45 however, real property subject to the provisions of this subparagraph 46 shall be assessed pursuant to subdivision two of section five hundred 47 eighty-one of the real property tax law. 48 (e)] (c) On the first assessment roll with a taxable status date on or 49 after the effective date of a declaration filed with the recording offi- 50 cer and on every assessment roll thereafter, the assessor shall enter 51 each unit as a parcel, as provided in paragraph (a) of this subdivision, 52 based upon the condition and ownership of each such unit on the appro- 53 priate valuation and taxable status dates. Units owned by a developer 54 may be entered as a single parcel with a parcel description correspond- 55 ing to the entire development, including the land under such develop- 56 ment, and excluding those units appearing separately. Upon the first
A. 4107 19 1 assessment roll where each unit is separately assessed, only an individ- 2 ual unit and its common interest shall constitute a parcel. 3 [(f) The provisions of paragraph (b) of this subdivision shall not 4 apply to a converted condominium unit in a municipal corporation other 5 than a special assessing unit, which has adopted, prior to the taxable 6 status date of the assessment roll upon which its taxes will be levied, 7 a local law or, for a school district, a resolution providing that the 8 provisions of paragraph (b) of this subdivision shall not apply to a 9 converted condominium unit within that municipal corporation. A 10 converted condominium unit for purposes of this paragraph shall mean a 11 dwelling unit held in condominium form of ownership that has previously 12 been on an assessment roll as a dwelling unit in other than condominium 13 form of ownership, and has not been previously subject to the provisions 14 of paragraph (b) of this subdivision. 15 (g)] (d) The provisions of paragraph (b) of this subdivision shall not 16 apply to real property owned or leased by a cooperative corporation or 17 on a condominium basis in the Town of Greenburgh, in Westchester County, 18 which has adopted, prior to the taxable status date of the assessment 19 roll upon which its taxes will be levied, a local law providing that the 20 provisions of paragraph (b) of this subdivision shall not apply to such 21 real property within such town; provided, however, the provisions of 22 this paragraph shall not apply to real property owned or leased by a 23 cooperative corporation or on a condominium basis that had been previ- 24 ously subject to the provisions of paragraph (b) of this subdivision 25 prior to January first, two thousand twenty-three; provided further, 26 however, the provisions of this paragraph shall not apply to real prop- 27 erty owned or leased by a cooperative corporation or on a condominium 28 basis that is participating in an affordable housing tax credit program 29 or has a regulatory agreement with a federal, state, or local agency 30 related to affordable housing requirements. 31 § 25. This act shall take effect on the first of January next succeed- 32 ing the date on which it shall have become a law and shall apply to 33 assessment rolls prepared pursuant to a taxable status date occurring on 34 or after such date. Effective immediately, the addition, amendment 35 and/or repeal of any rule or regulation necessary for the implementation 36 of this act on its effective date are authorized to be made and 37 completed on or before such effective date.