Pursuant to § 421-p of the Real Property Tax Law and subject to all the conditions set forth therein, residential buildings that are reconstructed, altered, improved or newly constructed in order to create one or more additional residential dwelling units on the same parcel as a preexisting residential building to provide independent living facilities for one or more persons shall be partially exempt from taxation and special ad valorem levies as provided herein and in Real Property Tax Laws § 421-p. Such exemption may only be granted for an accessory apartment permitted pursuant to § 230-41 of the Village of Croton-on-Hudson Zoning Code.
[Adopted 6-26-2024 by L.L. No. 10-2024]
A.
Such exemption shall be for a period of five years to the extent of 100% of the increase in assessed value thereof attributable to such reconstruction, alteration, improvement, or new construction for such additional residential unit or units, and for an additional period of five years, subject to the following:
(1)
The extent of such exemption shall be decreased by 25% of the "exemption base" for each of the first three years during such additional period and shall be decreased by a further 10% of the exemption base during each of the final two years of such additional period. The exemption shall expire at the end of the extended period. The "exemption base" shall be the increase in assessed value as determined in the initial year of the term of the exemption, or as otherwise set forth in § 421-p2(a)(ii) of the Real Property Tax Law.
(2)
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 Commissioner of Taxation and Finance, 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. The exemption shall thereupon be recomputed to take into account 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 the assessor does not have custody of the roll when such certification is received, the assessor shall certify the recomputed exemption to the local officers having custody and control of the roll, and such local officers are hereby directed and authorized to enter the recomputed exemption certified by the assessor on the roll. The assessor shall give written notice of such recomputed exemption to the property owner, who may, if such property owner believes that the exemption was recomputed incorrectly, apply for a correction in the manner provided by Title 3 of Article 5 of the Real Property Tax Law for the correction of clerical errors.
(3)
Such exemption shall be limited to $200,000 in increased market value of the property attributable to such reconstruction, alteration, improvement or new construction and any increase in market value greater than such amount shall not be eligible for the exemption pursuant to this article. The market value of the reconstruction, alteration, improvement or new construction shall be calculated as set forth in § 421-p2(a)(iii) of the Real Property Tax Law.
B.
No such exemption shall be granted for reconstruction, alterations, improvements or new construction unless:
(1)
Such reconstruction, alteration, improvement or new construction was commenced subsequent to the effective date of this article; and
(2)
The value of such reconstruction, alteration, improvement or new construction exceeds $3,000; and
(3)
Such reconstruction, alteration, improvement or new construction created one or more additional residential dwelling units on the same parcel as the preexisting building to provide independent living facilities for one or more persons as permitted by § 230-41 of the Village of Croton-on-Hudson Zoning Code.
C.
For the purposes of this article, reconstruction, alteration, improvement or new construction shall not include ordinary maintenance or repairs.
D.
If 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.
[Amended 7-9-2025 by L.L. No. 10-2025]
Such exemption shall be granted only upon application by the owner of such building on a form prescribed by the Commissioner of Taxation and Finance. The application shall be filed with the Assessor responsible for preparing the assessment roll for the Village of Croton-on-Hudson on or before the taxable status date of May 1 to be eligible for an exemption to be entered on the assessment roll prepared on the basis of said taxable status date.