Bill > S05662

This bill amends the Private Housing Finance Law to modify tax exemption rules for housing projects in New York, with significant distinctions between municipalities with populations under and over one million residents. Specifically, for projects in municipalities with less than one million people, the bill allows local legislative bodies to set tax rates at not less than ten percent of annual shelter rent (defined as total rents received from occupants minus utility costs), or at an even lower percentage if approved locally. However, for projects located in New York City (which has over one million residents), the bill completely eliminates property tax assessments, effectively providing a full tax exemption. The changes apply to various types of housing projects, including those developed by limited-profit housing companies, state urban development corporations, and mutual companies facilitating resident building acquisitions. The bill aims to provide more flexible and potentially more generous tax treatment for housing developments, with a particularly significant benefit for projects in New York City by removing their tax assessment obligation entirely. The bill takes effect immediately upon passage.

Budget and Finance, Government Affairs, Housing and Urban Affairs

https://www.nysenate.gov/legislation/bills/2025/S5662