[Adopted 4-20-1999 by L.L. No. 15-1999 (Ch. 458, Art. XI,
of the 1985 Code)]
A.
Chapter 305 of the Laws of 1994 of the State of New York provided
counties the flexibility and authority to target property tax abatements
to key industries. It established the framework for counties to work
with other local governments (towns, villages and school districts)
to encourage economic development which is consistent with the master
plans of their communities and crafted in conformity with the needs
of their residents, businesses and environment.
B.
This action by the New York State Legislature amended New York State
Real Property Tax Law § 485-b. The prior business investment
abatement program authorized under Real Property Tax Law § 485-b
was an inefficient mechanism for encouraging appropriate local economic
development. The old law mandated an "all or nothing" standard for
commercial industrial tax abatements; it required that local government
provide an exemption to all businesses or they fully opt out of participation
in the program. The amended § 485-b statute now offers local
governments a realistic mechanism for attracting and encouraging business
growth and allows all locales to target incentives to businesses that
make improvements to real property in distressed or blighted commercial
areas.
C.
Pursuant to Chapter 305 of the Laws of 1994 of the State of New York,
this Legislature adopted Local Law No. 9-1995 which established an
Industrial and Commercial Incentive Board (ICIB) for the purpose of
presenting a Strategic Industries Property Tax Abatement Plan. The
Board has presented such a plan, with the full cooperation of the
towns within the County of Suffolk affected by said plan. This Legislature
finds that the plan is the product of the research and study conducted
by the planning and economic development professionals employed by
the towns affected, acting in consultation with the County Department
of Economic Development and the Industrial and Commercial Incentive
Board and is in harmony with the findings of the Long Island Regional
Planning Board.
D.
Chapter 305 of the Laws of 1994 of the State of New York further
provided that this Legislature may, after the presentation of the
findings of the Industrial and Commercial Incentive Board, adopt by
resolution a restricted real property tax exemption targeted to specific
divisions and major groups as defined in the Standard Industrial Classification
(SIC) Manual published by the United States Government and further
restricted to specific geographic areas identified in the plan presented
by the ICIB.
E.
This Legislature finds that the plan presented will encourage the
investment of small businesses which may not avail themselves of the
benefits available to larger businesses through the government Industrial
Development Agencies.
F.
This Legislature further finds that public investment in this program
will encourage private investment, thereby benefiting all of the residents
of Suffolk County by the creation or retention of private sector jobs.
G.
This Legislature finds that these exemptions are necessary to encourage
targeted economic development, and the value of the exemptions is
justified by the need to provide employment opportunities and broaden
the tax base. These targeted exemptions will particularly aid in the
revitalization of downtown areas.
A.
Real property constructed, altered, installed or improved subsequent
to the effective date of this article for the purpose of commercial,
business or industrial activity and which is contained within the
geographic areas and/or groups and major divisions described in the
attachments annexed hereto and made a part hereof shall be eligible
for an exemption from taxation and special ad valorem levies from
each town, village, school district located within the area within
which said exemption shall apply unless such town or village, by local
law, or such school district, by resolution, shall determine that
such exemptions shall not be applicable to its tax and ad valorem
levies.
B.
The exemptions described in Subsection A above shall only apply to those projects where the cost of such construction, alteration, installation or improvement exceeds the sum of $50,000. The amount of the exemption shall be calculated by taking the increase in the assessed value of such real property attributable to such construction, alteration, installation or improvement and reducing that increase in the assessed value of such real property, on a declining percentage basis, pursuant to the schedule set forth in Subsection C below.
