Requires the disclosure of income and expense statements upon a petition for an article 7 proceeding; imposes staggered dates for submissions of appraisal reports.
STATE OF NEW YORK
________________________________________________________________________
7995
IN SENATE
January 4, 2024
___________
Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when
printed to be committed to the Committee on Local Government
AN ACT to amend the real property tax law, in relation to requiring the
disclosure of income and expense statements upon a petition for an
article 7 proceeding and imposes staggered dates for submissions of
appraisal reports
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivisions 1 and 2 of section 718 of the real property
2 tax law, subdivision 1 as amended by chapter 186 of the laws of 2002,
3 and subdivision 2 as added by chapter 693 of the laws of 1995, para-
4 graphs (a) and (b) of subdivision 2 as amended by chapter 503 of the
5 laws of 1996, are amended to read as follows:
6 1. Where a proceeding is commenced pursuant to this article to review
7 the assessment of a parcel of real property which contains one, two or
8 three family dwelling residential real property, including such dwell-
9 ings used in part for nonresidential purposes, but which are used prima-
10 rily for residential purposes, and farm dwellings, or a parcel of real
11 property which contains residential real property consisting of more
12 than three dwelling units held in condominium form of ownership, or a
13 parcel of real property which contains land used in agricultural
14 production which is eligible for an agricultural assessment pursuant to
15 section three hundred five or three hundred six of the agriculture and
16 markets law, where the owner of such land has filed an annual applica-
17 tion for an agricultural assessment, and farm buildings and structures
18 thereon, as defined in subdivision two of section four hundred eighty-
19 three of this chapter, or any parcel of real property located in a city
20 with a population of one million or more, unless a note of issue is
21 filed and the proceeding is placed on the court calendar within [four]
22 two years from the last date provided by law for the commencement of the
23 proceeding, the proceeding thereon shall be deemed to have been aban-
24 doned and an order dismissing the petition shall be entered without
25 notice and such order shall constitute a final adjudication of all
26 issues raised in the proceeding, except where the parties otherwise
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06995-01-3
S. 7995 2
1 stipulate or a court or judge otherwise orders on good cause shown with-
2 in such [four-year] two-year period.
3 2. Where a proceeding is commenced pursuant to this article to review
4 the assessment of a parcel of real property which solely contains prop-
5 erty which is not subject to the provisions of subdivision one of this
6 section, a note of issue shall be filed in accordance with this subdivi-
7 sion.
8 (a) Where a real property assessment challenge commenced under this
9 article has been pending for at least [two years] six months from the
10 date of the commencement of the proceeding, either party may demand, by
11 serving and filing a written demand, that the parties file a written
12 appraisal of the property which is the subject of the proceeding [and
13 serve same]. The demand shall be in writing and served by personal
14 delivery or certified mail, return receipt requested. The court shall
15 fix the date for submission of the appraisal reports for the petitioner
16 within one hundred twenty days of service of such demand, and the court
17 shall fix the date for submission of the appraisal reports for the
18 respondent ninety days subsequent to the date for submission of the
19 appraisal reports for the petitioner. Upon the filing of the appraisal
20 reports by the petitioner, the court shall notify the respondent in
21 writing that the petitioners' appraisal reports have been received and
22 the date by which the respondent must submit their appraisal reports.
23 Upon the receipt of appraisal reports, the court shall simultaneously
24 distribute all appraisal reports to all parties. [The demand shall be in
25 writing and served by personal delivery or certified mail, return
26 receipt requested. Both parties shall thereafter file an appraisal or]
27 (b) The court may, at any time, order the submission of appraisal
28 reports and fix a date for such submission for the petitioner within one
29 hundred twenty days, and the court shall fix for submission of the
30 appraisal reports for the respondent ninety days subsequent to the date
31 for submission of the appraisal reports for the petitioner. Upon the
32 filing of the appraisal reports by the petitioner, the court shall noti-
33 fy the respondent in writing that the petitioners' appraisal reports
34 have been received and the date by which the respondent must submit
35 their appraisal reports. Upon the receipt of appraisal reports, the
36 court shall simultaneously distribute all appraisal reports to all
37 parties.
38 (c) Should either party fail to file such appraisal report by the date
39 for submission fixed by the court, either party may show good cause as
40 to why such demand or order cannot be complied with within such time
41 period. Either party may move to dismiss the proceeding by reason of the
42 other party's failure to prosecute the proceeding and file the appraisal
43 pursuant to the demand or order. Unless the party shows good cause for
44 failing to file the appraisal, the court may in its discretion either
45 dismiss or grant the petition and such order shall constitute a final
46 adjudication of all issues raised in the proceeding.
47 [(b)] (d) Upon the serving and filing the appraisals pursuant to a
48 demand made under paragraph (a) of this subdivision or by order of the
49 court pursuant to paragraph (b) of this subdivision, the court shall
50 schedule a conference with the parties to be held within [ninety]
51 forty-five days to discuss settlement, resolve disclosure and decide
52 other pretrial issues.
53 [(c)] (e) After completion of the pretrial conference required by this
54 subdivision, the respondent may serve and file a written demand that
55 petitioner file a note of issue within thirty days of service of the
56 demand therefor. The demand shall be in writing and served by personal
S. 7995 3
1 delivery or certified mail, return receipt requested. Should the peti-
2 tioner fail to file a note of issue within thirty days of the service of
3 demand, the proceeding shall be deemed to have been abandoned, an order
4 dismissing the petition shall be entered without notice and such order
5 shall constitute a final adjudication of all issues raised in the
6 proceeding, unless the court or judge otherwise orders on good cause
7 shown.
8 [(d)] (f) Should the respondent fail to demand that the petitioner
9 file a note of issue pursuant to paragraph [(c)] (e) of this subdivision
10 within [four] two years from the date of the commencement of the
11 proceeding, and a note of issue has not otherwise been filed, the
12 proceeding shall be deemed to have been abandoned and an order dismiss-
13 ing the petition shall be entered without notice and such order shall
14 constitute a final adjudication of all issues raised in the proceeding,
15 except where the parties otherwise stipulate or a court or judge other-
16 wise orders on good cause shown within such [four-year] two-year period.
17 § 2. Section 706 of the real property tax law, as amended by chapter
18 714 of the laws of 1982, is amended to read as follows:
19 § 706. Grounds for review; contents of petition. 1. The grounds for
20 reviewing an assessment shall be that the assessment to be reviewed is
21 excessive, unequal or unlawful, or that real property is misclassified.
22 2. (a) A proceeding to review an assessment shall be founded upon a
23 petition setting forth the respect in which the assessment is excessive,
24 unequal or unlawful, or the respect in which real property is misclassi-
25 fied and stating that the petitioner is or will be injured thereby. Such
26 petition shall be duly verified by the petitioner, an officer thereof,
27 or by an agent thereof who has been authorized in writing to verify and
28 file such petition and whose authorization is made a part of such peti-
29 tion. Such petition must show that a complaint was made in due time to
30 the proper officers to correct such assessment. Two or more persons
31 having real property assessed upon the same roll who assert the same
32 grounds for review presenting a common question of law or fact, may
33 unite in the same petition.
34 (b) Within thirty days of commencing a proceeding pursuant to section
35 seven hundred four of this article, the petitioner shall serve upon the
36 respondent a statement that the property is not income producing or an
37 income and expense statement for the property for each tax year under
38 review; provided that the provisions of this paragraph shall not apply
39 to proceedings in a city with a population of one million or more.
40 § 3. This act shall take effect on the one hundred twentieth day after
41 it shall have become a law and shall apply to proceedings commenced on
42 and after the effective date of this act pursuant to section 704 of the
43 real property tax law. Effective immediately the addition, amendment
44 and/or repeal of any rule or regulation necessary for the implementation
45 of this act on its effective date are authorized to be made and
46 completed on or before such date.
