BILL NUMBER: S7685
SPONSOR: PERSAUD
 
TITLE OF BILL:
An act to amend the real property tax law, in relation to increasing the
amount of the childcare center tax abatement for certain properties in a
city having a population of one million or more
 
PURPOSE:
This bill would allow for more child care centers to utilize the proper-
ty tax abatement program.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of this bill would amend paragraphs (a), (b) and (c) of para-
graph 2 of section 499-bbbbb of the Real Property Tax Law to increase
the maximum amount of the abatement authorized under this section to an
eligible building in which a childcare center has been created or has
been improved so as to accommodate additional children. The amount of
such abatement would be increased from $100,000 to $350,000 for a tax
abatement that is sought in a tax year commencing on or after July 1,
2025. For childcare centers opening in eligible buildings located within
a childcare desert, the amount of such abatement would be increased from
$250,000 to $750,000.
Section 2 of this bill would amend subdivision 1 of section 499-ccccc of
the Real Property Tax Law to extend the deadline for applications for
the abatement from March 15, 2025 to March 15, 2027.
Section 3 provides that the act takes effect immediately and is retroac-
tive to March 15, 2025.
 
JUSTIFICATION:
Part HH of Chapter 59 of the laws of 2022 added title 6 to article 4 of
the Real Property Tax Law, authorizing a childcare center tax abatement
in New York City. Since its enactment, this abatement has been granted
to 47 beneficiaries for the creation of 3,500 childcare seats, totaling
approximately $1,000,000 in abatements to childcare providers. However,
this program remains underutilized. This bill would increase the amount
of the abatement provided to applicants for such abatement in a tax year
commencing after July 1, 2025, including applicants for the enhanced
abatement, which may be granted to an owner of an eligible building
located within a "childcare desert." Deepening the benefit will incen-
tivize more property owners to work with childcare providers to build
and expand childcare facilities in New York City. The extension of the
application deadline for the childcare center tax abatement from March
15, 2025 to March 15, 2027 will allow more time for the creation of new
childcare centers and for the expansion of existing centers.
 
LEGISLATIVE HISTORY:
New bill.
 
FISCAL IMPLICATIONS:
To be determined.
 
EFFECTIVE DATE:
This act shall take effect immediately and shall be deemed to 6 have
been in full force and effect on and after March 15, 2025.

Statutes affected:
S7685: 499-ccccc real property tax law, 499-ccccc(1) real property tax law