Village of Albion, NY Article IV Exemption for Capital Improvements to Residential Buildings

[Adopted 1-14-2009 by L.L. No. 2-2009]

§ 82-24 Legislative intent.

It is the intent of this article to grant the exemption authorized by Real Property Tax Law § 421-f. Real property altered or rehabilitated subsequent to the effective date of this article shall be exempt from taxation as herein provided.

§ 82-25 Exemption granted; eligibility.

Residential buildings, which for the purposes of this article shall mean any building or structure designed and occupied exclusively for residential purposes by not more than two families, that are reconstructed, altered or improved shall be exempt from taxation levied by the Village of Albion on the increase in assessed value attributable to such reconstruction, alteration, or improvement to the extent provided hereinafter, pursuant to § 421-f of the Real Property Tax Law.

§ 82-26 Duration and calculation.

The length of the exemption shall be eight years. The exemption shall be computed pursuant to the following schedule:

Year of Exemption	Percent of Exemption Base Exempt from Tax
1	100%
2	87.5%
3	75%
4	62.5%
5	50%
6	37.5%
7	25%
8	12.5%

§ 82-27 Exemption base and market value.

A. The "exemption base" shall be the increase in assessed value as determined in the initial year of the term of the exemption, except as provided in Subsection B of this section.

B. In any year in which a change in level of assessment of 15% or more is certified for a final assessment roll pursuant to the rules of the state board (Office of Real Property Services), the exemption base shall be multiplied by a fraction, the numerator of which shall be the total assessed value of the parcel on such final assessment roll (after accounting for any physical or quantity changes to the parcel since the immediately preceding assessment roll), and the denominator of which shall be the total assessed value of the parcel on the immediately preceding final assessment roll. The result shall be the new exemption base, notwithstanding the fact that the Assessor receives certification of the change in level of assessment after the completion, verification, and filing of the final assessment roll. In the event that the Assessor does not have custody of the roll when such certification is received, the Assessor shall certify the recomputed exemption in a manner authorized by the New York State Real Property Tax Law.

C. The exemption shall be limited to a maximum of $80,000 in increased market value of the property attributable to such reconstruction, alteration, or improvement, and any increase in market value shall not be eligible for an exemption pursuant to this article. The market value of such reconstruction, alteration, or improvement shall be equal to the increased assessed value attributable to such reconstruction, alteration or improvement divided by the most recently established state equalization rate or special equalization rate, unless such rate is 95% or more, in which case the increase in assessed value attributable to such reconstruction, alteration, or improvement is to be considered equal to market value.

§ 82-28 Requirements.

No exemption pursuant to this article shall be granted for reconstruction, alteration or improvement unless:

A. Such reconstruction, alteration or improvement was commenced subsequent to the effective date of this article.

B. The value of such reconstruction, alteration or improvement exceeds $3,000.

C. The greater portion, as so determined by square footage, of the building reconstructed, altered, or improved is at least five years old.

D. The reconstruction, alteration, or improvement is not ordinary maintenance or repairs.

§ 82-29 Application.

Such exemption shall be granted only upon application by the owner of such building on a form prescribed by the state board (Office of Real Property Services). The application shall be filed with the Assessor for the Village of Albion having the power to assess properly for taxation on or before the appropriate taxable status date of such town. Improvements to residential buildings must be completed to qualify for the exemption pursuant to this article.

§ 82-30 Exemption discontinuance.

A. In the event that a building granted an exemption pursuant to this article ceases to be used primarily for residential purposes or title thereto is transferred to other than the heirs or distributees of the owner, the exemption granted pursuant to this article shall cease.

B. Upon determining that an exemption granted pursuant to this article should be discontinued, the Assessor shall mail a notice so stating to the owner or owners thereof at the time and in the manner provided by § 510 of the New York State Real Property Tax Law. Such owner or owners shall be entitled to seek administrative and judicial review of such action in the manner provided by law, provided that the burden shall be on such owner or owners to establish eligibility for the exemption.