STATE OF NEW YORK ________________________________________________________________________ 7995 IN SENATE January 4, 2024 ___________ Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when printed to be committed to the Committee on Local Government AN ACT to amend the real property tax law, in relation to requiring the disclosure of income and expense statements upon a petition for an article 7 proceeding and imposes staggered dates for submissions of appraisal reports The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivisions 1 and 2 of section 718 of the real property 2 tax law, subdivision 1 as amended by chapter 186 of the laws of 2002, 3 and subdivision 2 as added by chapter 693 of the laws of 1995, para- 4 graphs (a) and (b) of subdivision 2 as amended by chapter 503 of the 5 laws of 1996, are amended to read as follows: 6 1. Where a proceeding is commenced pursuant to this article to review 7 the assessment of a parcel of real property which contains one, two or 8 three family dwelling residential real property, including such dwell- 9 ings used in part for nonresidential purposes, but which are used prima- 10 rily for residential purposes, and farm dwellings, or a parcel of real 11 property which contains residential real property consisting of more 12 than three dwelling units held in condominium form of ownership, or a 13 parcel of real property which contains land used in agricultural 14 production which is eligible for an agricultural assessment pursuant to 15 section three hundred five or three hundred six of the agriculture and 16 markets law, where the owner of such land has filed an annual applica- 17 tion for an agricultural assessment, and farm buildings and structures 18 thereon, as defined in subdivision two of section four hundred eighty- 19 three of this chapter, or any parcel of real property located in a city 20 with a population of one million or more, unless a note of issue is 21 filed and the proceeding is placed on the court calendar within [four] 22 two years from the last date provided by law for the commencement of the 23 proceeding, the proceeding thereon shall be deemed to have been aban- 24 doned and an order dismissing the petition shall be entered without 25 notice and such order shall constitute a final adjudication of all 26 issues raised in the proceeding, except where the parties otherwise EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD06995-01-3
S. 7995 2 1 stipulate or a court or judge otherwise orders on good cause shown with- 2 in such [four-year] two-year period. 3 2. Where a proceeding is commenced pursuant to this article to review 4 the assessment of a parcel of real property which solely contains prop- 5 erty which is not subject to the provisions of subdivision one of this 6 section, a note of issue shall be filed in accordance with this subdivi- 7 sion. 8 (a) Where a real property assessment challenge commenced under this 9 article has been pending for at least [two years] six months from the 10 date of the commencement of the proceeding, either party may demand, by 11 serving and filing a written demand, that the parties file a written 12 appraisal of the property which is the subject of the proceeding [and 13 serve same]. The demand shall be in writing and served by personal 14 delivery or certified mail, return receipt requested. The court shall 15 fix the date for submission of the appraisal reports for the petitioner 16 within one hundred twenty days of service of such demand, and the court 17 shall fix the date for submission of the appraisal reports for the 18 respondent ninety days subsequent to the date for submission of the 19 appraisal reports for the petitioner. Upon the filing of the appraisal 20 reports by the petitioner, the court shall notify the respondent in 21 writing that the petitioners' appraisal reports have been received and 22 the date by which the respondent must submit their appraisal reports. 23 Upon the receipt of appraisal reports, the court shall simultaneously 24 distribute all appraisal reports to all parties. [The demand shall be in 25 writing and served by personal delivery or certified mail, return 26 receipt requested. Both parties shall thereafter file an appraisal or] 27 (b) The court may, at any time, order the submission of appraisal 28 reports and fix a date for such submission for the petitioner within one 29 hundred twenty days, and the court shall fix for submission of the 30 appraisal reports for the respondent ninety days subsequent to the date 31 for submission of the appraisal reports for the petitioner. Upon the 32 filing of the appraisal reports by the petitioner, the court shall noti- 33 fy the respondent in writing that the petitioners' appraisal reports 34 have been received and the date by which the respondent must submit 35 their appraisal reports. Upon the receipt of appraisal reports, the 36 court shall simultaneously distribute all appraisal reports to all 37 parties. 38 (c) Should either party fail to file such appraisal report by the date 39 for submission fixed by the court, either party may show good cause as 40 to why such demand or order cannot be complied with within such time 41 period. Either party may move to dismiss the proceeding by reason of the 42 other party's failure to prosecute the proceeding and file the appraisal 43 pursuant to the demand or order. Unless the party shows good cause for 44 failing to file the appraisal, the court may in its discretion either 45 dismiss or grant the petition and such order shall constitute a final 46 adjudication of all issues raised in the proceeding. 47 [(b)] (d) Upon the serving and filing the appraisals pursuant to a 48 demand made under paragraph (a) of this subdivision or by order of the 49 court pursuant to paragraph (b) of this subdivision, the court shall 50 schedule a conference with the parties to be held within [ninety] 51 forty-five days to discuss settlement, resolve disclosure and decide 52 other pretrial issues. 53 [(c)] (e) After completion of the pretrial conference required by this 54 subdivision, the respondent may serve and file a written demand that 55 petitioner file a note of issue within thirty days of service of the 56 demand therefor. The demand shall be in writing and served by personal
S. 7995 3 1 delivery or certified mail, return receipt requested. Should the peti- 2 tioner fail to file a note of issue within thirty days of the service of 3 demand, the proceeding shall be deemed to have been abandoned, an order 4 dismissing the petition shall be entered without notice and such order 5 shall constitute a final adjudication of all issues raised in the 6 proceeding, unless the court or judge otherwise orders on good cause 7 shown. 8 [(d)] (f) Should the respondent fail to demand that the petitioner 9 file a note of issue pursuant to paragraph [(c)] (e) of this subdivision 10 within [four] two years from the date of the commencement of the 11 proceeding, and a note of issue has not otherwise been filed, the 12 proceeding shall be deemed to have been abandoned and an order dismiss- 13 ing the petition shall be entered without notice and such order shall 14 constitute a final adjudication of all issues raised in the proceeding, 15 except where the parties otherwise stipulate or a court or judge other- 16 wise orders on good cause shown within such [four-year] two-year period. 17 § 2. Section 706 of the real property tax law, as amended by chapter 18 714 of the laws of 1982, is amended to read as follows: 19 § 706. Grounds for review; contents of petition. 1. The grounds for 20 reviewing an assessment shall be that the assessment to be reviewed is 21 excessive, unequal or unlawful, or that real property is misclassified. 22 2. (a) A proceeding to review an assessment shall be founded upon a 23 petition setting forth the respect in which the assessment is excessive, 24 unequal or unlawful, or the respect in which real property is misclassi- 25 fied and stating that the petitioner is or will be injured thereby. Such 26 petition shall be duly verified by the petitioner, an officer thereof, 27 or by an agent thereof who has been authorized in writing to verify and 28 file such petition and whose authorization is made a part of such peti- 29 tion. Such petition must show that a complaint was made in due time to 30 the proper officers to correct such assessment. Two or more persons 31 having real property assessed upon the same roll who assert the same 32 grounds for review presenting a common question of law or fact, may 33 unite in the same petition. 34 (b) Within thirty days of commencing a proceeding pursuant to section 35 seven hundred four of this article, the petitioner shall serve upon the 36 respondent a statement that the property is not income producing or an 37 income and expense statement for the property for each tax year under 38 review; provided that the provisions of this paragraph shall not apply 39 to proceedings in a city with a population of one million or more. 40 § 3. This act shall take effect on the one hundred twentieth day after 41 it shall have become a law and shall apply to proceedings commenced on 42 and after the effective date of this act pursuant to section 704 of the 43 real property tax law. Effective immediately the addition, amendment 44 and/or repeal of any rule or regulation necessary for the implementation 45 of this act on its effective date are authorized to be made and 46 completed on or before such date.