BILL NUMBER: S9688
SPONSOR: FERNANDEZ
 
TITLE OF BILL:
An act to amend the real property tax law, in relation to providing an
exemption from taxation for capital improvements to residential build-
ings to reduce carbon emissions
 
PURPOSE:
Relates to establishing an e from real property taxes for capital
improvements made to residential real property for the purpose of reduc-
ing carbon emissions.
 
SUMMARY OF PROVISIONS:
Section 1. Creates a new section 421-q within the Real Property Tax Law
which establishes an exemption from real property taxation correlating
to the amount of increased assessed value resulting from improvements
made to residential real property for the purpose of reducing carbon
emissions. In order to provide this exemption, the applicable local
government would have to pass a local law opting into this program. The
exemption would last 20 years, with the first ten years being a 100%
exemption on the increased assessed value resulting from the improve-
ments, with the exemption decreasing by 10% annually for the next ten
years.
Section 2 is the effective date.
 
JUSTIFICATION:
The building sector accounted for the largest portion of greenhouse gas
emissions in New York State (32%) in 2019. This bill seeks to further
the greenhouse gas reduction goals laid out in the New York State
Climate Leadership and Community Protection Act (CLCPA) by establishing
a real property tax exemption for improvements made to residential real
property for the purpose of reducing carbon emissions. This will help
incentivize and address the decarbonization of the state's existing
residential building stock, which makes up the largest source of emis-
sions in the building sector (34%).
This exemption would be an opt-in by local law and be implemented by the
local assessor. The exemption on the increased assessed value resulting
from the improvements would last 20 years - a 100% exemption for the
first 10 years and decreasing by 10% annually for the next 10 years.
 
LEGISLATIVE HISTORY:
New bill.
 
FISCAL IMPLICATIONS:
None to the State.
 
EFFECTIVE DATE:
Immediately.