[Adopted 7-6-2010 by L.L. No. 15-2010]
A. 
It is hereby found and determined as follows:
(1) 
The County Legislature of Putnam County, New York (hereinafter the "County Legislature" and the "County," respectively), has heretofore enacted real property tax exemptions for senior citizens, veterans, disabled persons, and qualified members of volunteer fire departments and ambulance corps.
(2) 
In 1995, in order to stimulate economic growth and development in the County, the County Legislature established the Putnam County Industrial Development Agency which grants certain abatements in the payment of real estate, mortgage recording and sales and compensating use taxes to qualifying industrial, commercial and retail businesses.
(3) 
In 2006 and 2007, in order to further stimulate economic growth and development in the County, the County Legislature petitioned the State Legislature to designate the County as an Empire Zone, and such designation was thereafter granted.
(4) 
The County Legislature hereby determines that capital improvements to residential property in the County will foster a more vigorous and healthy local economy through the purchase of materials for such capital improvements.
(5) 
The County Legislature further determines that homeowners would benefit from an abatement in the increased assessment attributable to reconstruction, alterations or improvements made to residential property.
(6) 
The County Legislature recognizes that § 421-f of the New York State Real Property Tax Law authorizes municipalities in New York State to grant partial exemptions from real property taxation of the increase of the assessed value of properties attributable to reconstruction, alterations or improvements made to residential property.
B. 
It is intended by the County Legislature that this article is adopted pursuant to § 421-f of the Real Property Tax Law for the purpose of exempting capital improvements to residential buildings from County taxation and special ad valorem levies and shall be applied in accordance with that statute, as amended from time to time.
A. 
Residential buildings reconstructed, altered or improved subsequent to the effective date of this article shall be exempt from County taxation and special ad valorem levies to the extent provided herein.
B. 
No such exemption shall be granted for reconstruction, alterations or improvements unless:
(1) 
Such reconstruction, alteration or improvement was commenced subsequent to the effective date of this article.
(2) 
The property for which exemption is sought must be a one- or two-family residence.
(3) 
The value of such reconstruction, alteration, or improvement must exceed the sum of $5,000. The property owner must attach proper documentation to include, but not be limited to, a construction contract, a building permit, or any receipts and bills to support the cost of the capital improvement.
(4) 
The exemption is limited to $80,000 in increased market value. The market value of the new construction is calculated by dividing the increase in assessed value attributable to the new construction by the latest state equalization rate or special equalization rate, unless such rate is 95% or more, in which case the increased assessed value will be deemed to be equal to the market value.
(5) 
The greater portion, as so determined by square footage, of the building reconstructed, altered or improved is at least five years old.
The buildings described in § 220-74 shall be exempt for a period of eight years to the extent of the following percentages of the increase in assessed value thereof attributable to such reconstruction, alteration or improvement:
Year
Exemption Percentage
1
100.0%
2
87.5%
3
75.0%
4
62.5%
5
50.0%
6
37.5%
7
25.0%
8
12.5%
A. 
An exemption shall be granted only upon application by the owner of the building on a form prescribed by the State Board of Real Property Services. The application shall be filed with the Assessor of the respective town in which the residential building is located on or before the appropriate taxable status date.
B. 
If satisfied that the applicant is entitled to an exemption pursuant to this article, the Assessor shall approve the application, and such building shall thereafter be exempt from County taxation and special ad valorem levies as herein provided commencing with the assessment roll prepared on the basis of the taxable status date. The assessed value of any exemption granted pursuant to this article shall be entered by the Assessor on the assessment roll with the taxable property, with the amount of the exemption shown in a separate column.
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 shall cease.