BILL NUMBER: S7008A
SPONSOR: ASHBY
 
TITLE OF BILL:
An act in relation to permitting the City of Troy to retroactively
extend a real property tax exemption to Hillside Redevelopment Associ-
ates
 
PURPOSE:
To authorize the City of Troy enter into a retroactive Payment-In-Lieu
Of Tax Agreement ("PILOT Agreement") with Hillside Redevelopment Associ-
ates, granting an exemption from real property taxes pursuant to Section
125 of the Private Housing Finance law for the 2022 assessment roll for
certain property in the City of Troy, County of Rensselaer.
 
SUMMARY OF PROVISIONS:
Section 1 authorizes the City of Troy, County of Rensselaer, to enter
into a PILOT Agreement with Hillside Redevelopment Associates, granting
an exemption from real property taxes.
Section 2 provides for an immediate effective date.
 
JUSTIFICATION:
Since 1982, the subject properties have provided 80-units of affordable
housing to families of low-income in the City of Troy, Rensselaer Coun-
ty. The City of Troy (the "City") and Hillside Redevelopment Associates
("Owner") entered into a previous PILOT Agreement, dated June 17, 1982
(the "1982 PILOT Agreement"), whereby the subject properties were
exempted from local and municipal taxes, other than assessments for
local improvements. In lieu of such taxes, the Owner was obligated to
make a payment to the City in the amount of five percent (5%) of the
Gross Shelter Rents collected by the Owner annually. The 1982 PILOT
Agreement expired on February 28, 2022. In order to assist the Owner in
the rehabilitation of the properties, so as to continue the provision of
80-units of safe and quality affordable housing to families of low
income in the City of Troy, the City and the Owner entered into a new
PILOT Agreement, effective March 1, 2023 (the "Current PILOT Agreement).
The Current PILOT Agreement similarly exempts the subject properties
from local and municipal taxes, other than assessments for local
improvements. In lieu of such taxes, the Owner is again obligated to
make a payment to the City in the amount of five percent (5%) of the
Gross Shelter Rents collected by the Owner annually. The purpose of this
bill is to authorize the City to retroactively apply the provisions of
the Current PILOT Agreement to the 2022 assessment and tax rolls. A
retroactive PILOT Agreement was authorized by the City Council on May 4,
2023, to cover the interim period between the expiration of the 1982
PILOT Agreement and the commencement of the Current PILOT Agreement, but
it will not be executed or take effect until the State Legislature
authorizes the retroactive PILOT Agreement and exemption.
 
LEGISLATIVE HISTORY:
None.
 
FISCAL IMPLICATIONS:
None.
 
EFFECTIVE DATE:
This act shall take effect immediately.