STATE OF NEW YORK ________________________________________________________________________ 1494--A 2025-2026 Regular Sessions IN ASSEMBLY January 10, 2025 ___________ Introduced by M. of A. STECK, JACOBSON, STIRPE, BURKE, EPSTEIN, SIMON, LUPARDO, HUNTER, REYES, WILLIAMS, KIM, BENEDETTO, ROSENTHAL, DINOWITZ, CRUZ, RIVERA, TAYLOR, SEAWRIGHT, P. CARROLL, GLICK, DAVILA, COOK, BRONSON, BICHOTTE HERMELYN, ANDERSON, WALKER, MEEKS, KELLES, LUNSFORD, ZINERMAN, CLARK, BURDICK, FALL, SEPTIMO, SIMONE, CONRAD -- read once and referred to the Committee on Ways and Means -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee AN ACT to amend the state finance law, in relation to the repeal of the rebate for stock transfer tax paid and the funds of the stock transfer tax fund and the dedicated infrastructure investment fund; to amend the environmental conservation law, in relation to establishing the safe water infrastructure action program for the purpose of making payments toward the replacement and rehabilitation of existing local municipally-owned and funded drinking water, storm water and sanitary sewer systems; to amend the tax law, in relation to taxes imposed in certain transactions; to repeal section 280-a of the tax law relating to the rebate for stock transfer tax paid; to repeal section 92-i of the state finance law relating to the stock transfer incentive fund; and to repeal certain provisions of the administrative code of the city of New York relating thereto The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 280-a of the tax law is REPEALED. 2 § 2. Section 92-i of the state finance law is REPEALED. 3 § 3. Section 92-b of the state finance law, as added by chapter 91 of 4 the laws of 1965, subdivision 3 as amended by chapter 878 of the laws of 5 1977, subdivision 4 as amended by chapter 724 of the laws of 1979, 6 subdivision 5 as added and subdivision 6 as renumbered by section 2 of 7 chapter 3 of the laws of 1966, subdivision 7 as added by section 10 of 8 part SS1 of chapter 57 of the laws of 2008 and such section as renum- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD00700-03-5
A. 1494--A 2 1 bered by section 1 of chapter 3 of the laws of 1966, is amended to read 2 as follows: 3 § 92-b. Stock transfer tax fund. 1. There is hereby established in the 4 custody of the commissioner of taxation and finance a special fund, to 5 be known as the stock transfer tax fund. 6 2. Such fund shall consist of the revenues derived from the stock 7 transfer tax imposed by article twelve of the tax law and all other 8 moneys credited or transferred thereto from any other fund or source 9 pursuant to law. 10 3. The moneys received from such tax and other sources in such fund[, 11 after deducting the amount the commissioner of taxation and finance 12 shall determine to be necessary for] shall be used to cover the reason- 13 able costs of the state tax commission in administering, collecting and 14 distributing [such] the stock transfer tax, commencing with the fiscal 15 year ending March thirty-first, [nineteen hundred seventy-seven] two 16 thousand twenty-seven, [shall be appropriated to (i) the municipal 17 assistance corporation for the city of New York created pursuant to 18 title three of article ten of the public authorities law in order to 19 enable such corporation to fulfill the terms of any agreements made with 20 the holders of its notes and bonds and to carry out its corporate 21 purposes including the maintenance of the capital reserve fund and (ii) 22 to the extent such moneys are not required by such corporation as 23 provided in subdivision seven of section ninety-two-d of this chapter 24 and, after deducting the amount such commissioner shall determine to be 25 necessary for reasonable costs of the state tax commission in adminis- 26 tering and making distributions in accordance with the provisions of 27 section two hundred eighty-a of the tax law from the stock transfer 28 incentive fund, to the stock transfer incentive fund created pursuant to 29 section ninety-two-i of this chapter to enable rebates to be made from 30 such fund under the provisions of section two hundred eighty-a of the 31 tax law and (iii) to the extent such moneys are not required by such 32 fund, as certified by the commissioner of taxation and finance, the 33 balance shall be appropriated to the city of New York, for the support 34 of local government.] and the remainder shall be deposited into the 35 state general fund. Commencing with the fiscal year ending March thir- 36 ty-first, two thousand twenty-seven, such remainder shall be deposited 37 into the following funds: 38 (i) ten percent shall be directed to the metropolitan transportation 39 authority financial assistance fund established pursuant to section 40 ninety-two-ff of this article, of which fifty percent shall be used for 41 the purpose of operations and fifty percent shall be used for the 42 purpose of capital projects; 43 (ii) five percent shall be directed to the division of housing and 44 community renewal and five percent to the New York city housing authori- 45 ty for the purpose of affordable housing programs, capital projects and 46 other improvements to address issues relating to affordable housing, 47 conditions of governance and habitability, including but not limited to, 48 heating, mold, or lead, and other such conditions affecting the health 49 and safety of residents; 50 (iii) five percent shall be directed to the highway and bridge capital 51 account in the dedicated highway and bridge trust fund established 52 pursuant to section eighty-nine-b of this article; 53 (iv) five percent shall be directed to the dedicated highway and 54 bridge trust fund established pursuant to section eighty-nine-b of this 55 article, to be directed towards the infrastructure, maintenance and 56 development of rail lines for AMTRAK in the northeast corridor;
A. 1494--A 3 1 (v) five percent shall be directed to the local infrastructure account 2 of the general fund established pursuant to section seventy-two of this 3 article to be directed to the Consolidated Local Street and Highway 4 Improvement Program (CHIPS); 5 (vi) five percent shall be directed to the local infrastructure 6 account of the general fund to be dedicated to the safe water and 7 infrastructure action program as established by section 3-0323 of the 8 environmental conservation law; 9 (vii) five percent shall be directed to the municipal assistance state 10 aid fund established pursuant to section ninety-two-e of this article; 11 (viii) five percent shall be directed to the dedicated mass transpor- 12 tation trust fund to the credit of the non-MTA account for payment to 13 downstate transit systems other than those transit systems operated by 14 the metropolitan transportation authority; 15 (ix) five percent shall be directed to the dedicated mass transporta- 16 tion trust fund to the credit of the non-MTA account for payment to 17 upstate transit systems; 18 (x) ten percent shall be directed to the energy research development 19 operating fund pursuant to the provisions of section eighteen hundred 20 fifty-nine of the public authorities law, to be directed to the clean 21 energy fund and shall be divided equally among the four investment port- 22 folios that make up such fund; 23 (xi) two and one-half percent shall be directed to the city university 24 of New York, of which fifty percent shall be used for the purpose of 25 capital improvements and infrastructure projects and fifty percent shall 26 be used for the purpose of supporting academic programs at city of New 27 York institutions; 28 (xii) two and one-half percent shall be directed to the state univer- 29 sity of New York institutions, of which fifty percent shall be used for 30 the purposes of supporting and expanding services and care at state 31 university of New York hospitals, state university of New York academic 32 medical centers and fifty percent shall be used for the purpose of 33 supporting academic programs at state university of New York insti- 34 tutions; 35 (xiii) ten percent shall be directed to the department of education 36 for the purpose of supporting foundation aid; 37 (xiv) ten percent shall be directed to the department of health to 38 support health care; and 39 (xv) ten percent shall be directed to the department of agriculture, 40 department of environmental conservation, and office of parks, recre- 41 ation and historic preservation for the purposes of reforestation, soil 42 conservation, sustainable agriculture, local parks and open space. 43 4. [After the deduction of such costs of the state tax commission in 44 administering, collecting and distributing such tax, the balances in the 45 stock transfer tax fund so appropriated shall be distributed and paid on 46 the last business day of September, December, March and June into the 47 special account established for the municipal assistance corporation for 48 the city of New York in the municipal assistance tax fund established 49 pursuant to subdivision one of section ninety-two-d of this chapter, 50 unless and to the extent the balances in such fund on each such payment 51 day are not required by such corporation as provided in said subdivision 52 seven of said section ninety-two-d in which case the balance not so 53 required, if any, after the deduction of such costs of the state tax 54 commission in administering and making distributions in accordance with 55 the provisions of section two hundred eighty-a of the tax law from the 56 stock transfer incentive fund shall be distributed and paid to the stock
A. 1494--A 4 1 transfer incentive fund in the custody of the commissioner of taxation 2 and finance established pursuant to section ninety-two-i of this chapter 3 and unless and to the extent that the balances in the stock transfer tax 4 fund on each such payment day are not required by the stock transfer 5 incentive fund as provided in such section ninety-two-i of this chapter 6 in which case the balance not so required, if any, shall be distributed 7 and paid to the chief fiscal officer of the city of New York to be paid 8 into the treasury of the city to the credit of the general fund or paid 9 by the commissioner of taxation and finance to such other account or 10 fund as may be designated in writing by such chief fiscal officer at 11 least ten business days prior to such last day and on each such day, the 12 commissioner of taxation and finance shall certify to the comptroller 13 the amount deducted for administering, collecting and distributing such 14 tax during such quarterly period and shall pay such amount into the 15 general fund of the state treasury to the credit of the state purposes 16 fund therein. In no event shall any amount (other than the amount to be 17 deducted for administering, collecting and distributing such tax) be 18 distributed or paid from the stock transfer tax fund to any person other 19 than the municipal assistance corporation for the city of New York 20 unless and until the aggregate of all payments certified to the comp- 21 troller as required by such corporation in order to comply with its 22 agreements with the holders of its notes and bonds and to carry out its 23 corporate purposes, including the maintenance of the capital reserve 24 fund, which remain unappropriated or unpaid to such corporation shall 25 have been appropriated to such corporation and shall have been paid in 26 full provided, however, that no person, including such corporation or 27 the holders of its notes or bonds shall have any lien on such tax and 28 such agreements shall be executory only to the extent of the balances 29 available to the state in such fund. If the balances in such fund are 30 not required by such corporation pursuant to the provisions of this 31 subdivision, on each such last business day of September, December, 32 March and June, the commissioner of taxation and finance shall certify 33 to the comptroller the amount deducted for administering and making 34 distributions in accordance with the provisions of section two hundred 35 eighty-a of the tax law from the stock transfer incentive fund during 36 such quarterly period and he shall pay such amount into the general fund 37 of the state treasury to the credit of the state purposes fund therein. 38 To the extent such moneys are not required by such corporation, as 39 provided in subdivision seven of section ninety-two-d of this chapter, 40 no amount thereof (other than such amount to be deducted for administer- 41 ing, collecting and distributing such tax and such costs in administer- 42 ing and making distributions in accordance with the provisions of 43 section two hundred eighty-a of the tax law from the stock transfer 44 incentive fund) shall be distributed or paid from the stock transfer tax 45 fund other than to such stock transfer incentive fund in the custody of 46 the commissioner of taxation and finance unless and until the aggregate 47 of all payments certified to the comptroller by such commissioner pursu- 48 ant to the provisions of such incentive fund as necessary to provide 49 payments on account of rebates authorized pursuant to section two 50 hundred eighty-a of the tax law which remain unappropriated or unpaid to 51 such fund shall have been appropriated to such fund and shall have been 52 paid in full provided, however, that no person, including any taxpayer 53 under article twelve of the tax law or any member or dealer referred to 54 in subdivisions two-a and six of section two hundred eighty-a of such 55 law, shall have any lien on this fund or the stock transfer incentive 56 fund.
A. 1494--A 5 1 5. In no fiscal year shall the total amount paid from the fund exceed 2 the total collections during such fiscal year from the stock transfer 3 tax pursuant to the provisions of article twelve of the tax law and as 4 deposited to the credit of the stock transfer tax fund. 5 6.] All payments from the stock transfer tax fund shall be made on the 6 audit and warrant of the comptroller on vouchers approved by the commis- 7 sioner of taxation and finance. 8 [7. When all the notes and bonds of the municipal assistance corpo- 9 ration for the city of New York have been fully paid and discharged, 10 together with interest thereon and interest on unpaid installments of 11 interest, and the chairman of the corporation makes the final certif- 12 ication required by subdivision seven of section ninety-two-d of this 13 article, the comptroller must notify the commissioner of taxation and 14 finance that all remaining funds held in the stock transfer tax fund 15 must be released to the stock transfer incentive fund. From that time 16 forward, all funds previously deposited in the stock transfer tax fund 17 pursuant to subdivision two of this section will be deposited directly 18 into the stock transfer incentive fund pursuant to all the rules, regu- 19 lations or instructions that the commissioner may prescribe, after 20 deducting the amount the commissioner determines to be necessary for 21 reasonable costs of the department in administering, collecting and 22 distributing the tax imposed by article twelve of the tax law. Notwith- 23 standing any other provisions of this article, to the extent those 24 moneys are not required by the stock transfer incentive fund for the 25 purpose of administering and making distributions in accordance with the 26 provisions of section two hundred eighty-a of the tax law, as certified 27 by the commissioner of taxation and finance, the balance will be appro- 28 priated to the city of New York for the support of local government.] 29 § 4. Paragraph (c) of subdivision 1 of section 93-b of the state 30 finance law, as added by section 1 of part H of chapter 60 of the laws 31 of 2015, is amended to read as follows: 32 (c) Sources of funds. The sources of funds shall consist of all moneys 33 collected therefor, or moneys credited, appropriated or transferred 34 thereto from any other fund or source pursuant to law or any other 35 moneys made available for the purposes of the fund, including but not 36 limited to funds transferred from the stock transfer tax fund pursuant 37 to subdivision three of section ninety-two-b of this article and funds 38 transferred from the stock transfer incentive fund established by 39 section ninety-two-i of this article and repealed by a chapter of the 40 laws of two thousand twenty-five, which amended this paragraph. Any 41 interest received by the comptroller on moneys on deposit shall be 42 retained and become part of the fund, unless otherwise directed by law. 43 § 5. Subdivision (c) of section 11-503 of the administrative code of 44 the city of New York is REPEALED. 45 § 6. Subdivision 12 of section 11-604 of the administrative code of 46 the city of New York is REPEALED. 47 § 7. All monies accumulated in the stock transfer incentive fund 48 established pursuant to section 92-i of the state finance law on the 49 effective date of this act shall be transferred to the dedicated infras- 50 tructure investment fund as established by section 93-b of the state 51 finance law for the purposes set forth in such section. 52 § 8. The environmental conservation law is amended by adding a new 53 section 3-0323 to read as follows: 54 § 3-0323. Safe water and infrastructure action program. 55 1. Notwithstanding any other provisions of this chapter or any other 56 law and subject to an appropriation made therefor and in accordance with
A. 1494--A 6 1 the provisions of this section and with the rules and regulations 2 promulgated by the commissioner in connection therewith, on and after 3 the first day of April, two thousand twenty-six, a consolidated local 4 infrastructure program is hereby established for the purpose of making 5 payments toward the replacement and rehabilitation of existing local 6 municipally-owned and funded drinking water, storm water and sanitary 7 sewer systems. For purposes of this section, such program shall apply to 8 any county, city, town or village drinking water system, storm water 9 system or sanitary sewer system within the state that is not under the 10 maintenance and/or operational jurisdiction of the state nor any private 11 entity. The commissioner, in conjunction with the environmental facili- 12 ties corporation, shall promulgate all necessary rules and regulations 13 to carry out the program so that an equitable distribution of aid shall 14 be made for the general operation and/or general maintenance of any 15 existing county, city, town and village drinking water system, storm 16 water system or sanitary sewer system. 17 2. On or before the twenty-six day of April, June, September and 18 November of each state fiscal year commencing with the state fiscal year 19 beginning on April first, two thousand twenty-seven, there shall be 20 distributed and paid to counties, cities, towns and villages an amount 21 equal to the moneys appropriated for the purposes of this section 22 divided by the number of payment dates in that state fiscal year. Such 23 amounts shall be distributed and paid pursuant to subdivision three of 24 this section. 25 3. Amounts shall be distributed for local drinking water, storm water 26 and sanitary sewer systems based upon the total length and width of all 27 pipelines and mains owned and operated by the municipality. 28 4. Monies made available may be used to match other state and federal 29 funds made available for such projects. The funds may also be used to 30 support special improvement districts created to provide drinking water, 31 waste water and storm water services under articles twelve, twelve-A, 32 twelve-C and thirteen of the town law. The remainder of the apportion- 33 ment may be used for any existing drinking water, storm water or sewer 34 system purchases, including but not limited to, the acquisition of mate- 35 rials for the replacement or rehabilitation. 36 5. For any city, town, or village which proposes infrastructure 37 consolidation under this section or merges with another municipality, 38 the funds appropriated under this section may fund costs associated with 39 such consolidation. 40 6. For each fiscal year, starting in two thousand twenty-seven, funds 41 shall be made available to the local infrastructure assistance account 42 of the general fund, and distributed from that account, in an amount 43 that is at least equal to those appropriated and made available in the 44 Consolidated Local Street and Highway Improvement Program (CHIPS). 45 § 9. Subdivision 3 of section 270 of the tax law, as amended by chap- 46 ter 301 of the laws of 1967, is amended and two new subdivisions 3-a and 47 9 are added to read as follows: 48 3. It shall be the duty of the person or persons [making or effectu- 49 ating the sale or transfer, including the person or persons] to whom the 50 sale or transfer is made, to pay the tax provided by this article, 51 unless the parties to the sale or transfer agree to otherwise allocate 52 the cost of such tax among themselves; provided, however, that this 53 subdivision shall not apply to any sale or transfer wherein the vendor 54 or transferor is a governmental entity or international organization 55 which is not subject to the tax.
A. 1494--A 7 1 3-a. No purchaser of a stock or other certificate in a transaction 2 covered under this article shall have legal title or ownership of such 3 stock or certificate unless such purchaser has proof of purchase demon- 4 strating that such tax has been paid. Such proof of purchase shall 5 consist of either: (a) a receipt for the transaction showing that such 6 tax has been paid, the amount of such tax paid, and a representation 7 that such amount constitutes payment in full; or (b) a stamp required 8 pursuant to subdivision four of this section. 9 9. Notwithstanding any other provision to the contrary, a transaction 10 referred to in subdivision one of this section is subject to tax if any 11 activity in furtherance of the transaction occurs within the state or if 12 a party involved in the transaction satisfies a nexus with New York 13 state which shall be defined as broadly as is permitted under the United 14 States Constitution. 15 § 10. This act shall take effect immediately.