•  Summary 
  •  Actions 
  •  Floor Votes 
  •  Memo 
  •  Text 

A04508 Summary:

SAME ASNo same as
COSPNSRNesbitt, Finch, Crouch, Spano
MLTSPNSRAcampora, Alfano, Bacalles, Barclay, Barra, Barraga, Brown, Burling, Butler, Calhoun, Casale,Conte, Errigo, Ferrara, Fitzpatrick, Hayes, Hooker, Kirwan, Kolb, Manning, McDonald, McDonough,Miller, Mills, Mirones, Oaks, O'Connell, Ortloff, Raia, Reilich, Sayward, Scozzafava, Stephens,Straniere, Tedisco, Thiele, Townsend, Warner, Winner, Wirth
Amd SS21, 22 23, Pub Hous L
Expands the New York state low income housing tax credit program to certain one to four family residences, including a cooperative or a condominium unit.
Go to top

A04508 Text:

                STATE OF NEW YORK
                               2003-2004 Regular Sessions
                   IN ASSEMBLY
                                    February 19, 2003
        Introduced  by  M.  of A. YOUNG, NESBITT, FINCH, CROUCH, SPANO -- Multi-
          Sponsored by -- M. of A.  ACAMPORA, ALFANO, BACALLES, BARCLAY,  BARRA,

          TOWNSEND,  WARNER,  WINNER,  WIRTH  --  read  once and referred to the
          Committee on Housing -- recommitted to the  Committee  on  Housing  in
          accordance  with Assembly Rule 3, sec. 2 -- committee discharged, bill
          amended, ordered reprinted as amended and recommitted to said  commit-
          tee  --  again  reported  from said committee with amendments, ordered
          reprinted as amended and recommitted to said committee
        AN ACT to amend the public housing law, in relation to expanding the New
          York state low income housing tax credit program  to  certain  one  to
          four family residences
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1.  Subdivisions 6 and 7 of section 21 of the  public  housing

     2  law,  as added by section 1 of part CC of chapter 63 of the laws of 2000
     3  are amended and four new subdivisions 8, 9, 10 and 11 are added to  read
     4  as follows:
     5    6.  "Qualified  basis"  of  an  eligible low-income building means the
     6  qualified basis of such building determined under section 42(c)  of  the
     7  internal  revenue  code, or which would be determined under such section
     8  if the 40-90 test specified in paragraph (b) of subdivision five of this
     9  section applied under such section 42 to determine if such building were
    10  part of a qualified low-income housing project or in the case of a qual-
    11  ified residence, means its adjusted basis (excluding  land)  immediately
    12  before the sale of such residence.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets

                              [ ] is old law to be omitted.

        A. 4508--B                          2
     1    7.  References  in this article to [section] sections 5, 42 and 143 of
     2  the internal revenue code shall mean such section as amended  from  time
     3  to time.
     4    8. "Qualified residence" means any residence
     5    (a) which is located:
     6    (i)  in  a census tract which has a median gross income which does not
     7  exceed eighty percent of the greater of area or statewide  median  gross
     8  income, as determined by section 143 of the internal revenue code,
     9    (ii) in a rural area (defined under section 520 of the federal housing
    10  act of 1949),

    11    (iii) on a reservation for a federally recognized Indian tribe, or
    12    (iv)  in  an  area of chronic economic distress, as defined by section
    13  143 of the internal revenue code; and
    14    (b) which is purchased by a qualified buyer.
    15    9. "Residence" means
    16    (a) a single-family home containing one to four housing units, or
    17    (b) a condominium unit, or stock in a cooperative housing corporation.
    18    10. "Qualified buyer" means a person or persons or  low  and  moderate
    19  income as defined in subdivision fourteen of section twenty-four hundred
    20  two of the public authorities law.
    21    11.  "Substantially  rehabilitates"  means rehabilitation expenditures
    22  paid or incurred with respect to a qualified residence that are at least

    23  fifteen thousand dollars.
    24    § 2. Subdivisions 1, 2, 3, 4 and 5 of section 22 of the public housing
    25  law, subdivisions 1, 2, 3 and 5 as added by section  1  of  part  CC  of
    26  chapter 63 of the laws of 2000 and subdivision 4 as amended by section 1
    27  of  part  M  of  chapter  85 of the laws of 2002, are amended to read as
    28  follows:
    29    1. A taxpayer subject to tax under article nine-A,  twenty-two,  thir-
    30  ty-two  or  thirty-three of the tax law which owns an interest in one or
    31  more eligible low-income buildings or who substantially rehabilitates or
    32  constructs a qualified residence shall be allowed a credit against  such
    33  tax for the amount of low-income housing credit allocated by the commis-
    34  sioner  to  each such building. Except as provided in subdivision two of
    35  this section, the credit amount so allocated shall be allowed as a cred-

    36  it against the tax for the ten taxable years in the credit period.
    37    2. Adjustment of first-year credit allowed in eleventh year. The cred-
    38  it allowable for the first  taxable  year  of  the  credit  period  with
    39  respect  to  any building or qualified residence shall be adjusted using
    40  the rules of section 42(f)(2) of the internal revenue code (relating  to
    41  first-year  adjustment  of  qualified  basis  by the weighted average of
    42  low-income to total residential units), and any reduction in  first-year
    43  credit  by  reason  of  such adjustment shall be allowable for the first
    44  taxable year following the credit period.
    45    3. Amount of credit. Except as provided in subdivisions four and  five
    46  of  this  section,  the amount of low-income housing credit shall be the
    47  applicable percentage of the qualified basis of each eligible low-income

    48  building or qualified residence.
    49    4. Statewide limitation. The aggregate dollar amount of  credit  which
    50  the  commissioner  may  allocate  to eligible low-income buildings under
    51  this article shall be four million dollars.  The aggregate dollar amount
    52  of credit which the commissioner may allocate to a  qualified  residence
    53  shall  be four million dollars. The limitation provided by this subdivi-
    54  sion applies only to allocation of the aggregate dollar amount of credit
    55  by the commissioner, and does not apply to allowance to  a  taxpayer  of

        A. 4508--B                          3
     1  the  credit  with respect to an eligible low-income building or a quali-
     2  fied residence for each year of the credit period.
     3    5.  Building  limitation. The dollar amount of credit allocated to any

     4  building shall not exceed the  amount  the  commissioner  determines  is
     5  necessary for the financial feasibility of the project and the viability
     6  of  the  building  as  an eligible low-income building or as a qualified
     7  residence throughout the credit period. In allocating a dollar amount of
     8  credit to any building, the commissioner shall  specify  the  applicable
     9  percentage  and  the  maximum  qualified  basis  which may be taken into
    10  account under this article with respect to such building. The applicable
    11  percentage and the maximum qualified basis with respect  to  a  building
    12  shall  not  exceed  the  amounts determined in subdivisions one and six,
    13  respectively, of section twenty-one of this article.
    14    § 3. Section 23 of the public housing law, as added by  section  1  of
    15  part  CC  of  chapter  63  of  the  laws  of 2000, is amended to read as

    16  follows:
    17    § 23. Project monitoring. The commissioner shall establish such proce-
    18  dures as he deems necessary for monitoring  compliance  of  an  eligible
    19  low-income  building  or qualified residence with the provisions of this
    20  article, and for notifying the commissioner of taxation and  finance  of
    21  any such noncompliance of which he becomes aware.
    22    § 4. This act shall take effect immediately.
Go to top