N.Y. Real Property Tax Law § 489-d: Exemption of railroad real property from taxation

§ 489-d. Exemption of railroad real property from taxation. 1.

Subsidized railroad real property shall be exempt from taxation. The

exemption shall be granted each year only upon (a) application by the

owner of said property on a form prescribed by the commissioner and (b)

submission of such proof as may be required by the commissioner that the

property is subsidized railroad real property. The application and proof

shall be filed with the appropriate assessing authority on or before the

appropriate taxable status date, with copies thereof simultaneously

filed with the commissioner and the department of transportation.

2. Bridges, viaducts, and other similar structures constructed on or

after January first, nineteen hundred fifty-nine as the result of the

creation, pursuant to article twelve-B of the highway law, of a new

highway, street, or roadway carrying railroad facilities over such new

highway, street, or roadway shall be exempt from taxation. No assessment

of any bridges, viaducts, and other similar structures lengthened or

reconstructed on or after January first, nineteen hundred fifty-nine as

the result of the widening, relocation, or reconstruction of an existing

highway, street, or roadway, pursuant to article twelve-B of the highway

law, shall be increased by reason of such reconstruction or relocation,

notwithstanding the provisions of any general, special, or local law to

the contrary; provided, however, that the assessment on the original

portion of such bridges, viaducts, and other similar structures may be

varied in accordance with the changes made generally in assessments on

other local real property. Whenever any new construction of property is

exempt pursuant to the provisions of this subdivision and the provisions

of subdivision three-a or three-b of this section, such property shall

receive the exemption provided by subdivision three-a or three-b of this

section.

3. Railroad real property shall be exempt from taxation to the extent

of any increase in value thereof by reason of any of the following

additions, betterments, improvements, or reconstructions made or

installed thereon after the last preceding taxable status date prior to

April twenty-first, nineteen hundred fifty-nine: (a) the installation of

automatic grade crossing protective devices, such as flashing lights or

automatic gates and their attendant facilities; (b) the reconstruction

or the replacement of signals, railroad bridges, stations, freight

houses, classification yards, repair shops, or any other facility used

for transportation purposes; provided that the property as reconstructed

or replaced is the same general type of facility and is located in the

same city or town as the property reconstructed or replaced; and (c) the

construction or reconstruction pursuant to the grade crossing

elimination acts, the railroad law, or the highway law of any grade

separation structure, such as bridges, viaducts, tunnels, retaining

walls, and embankments constructed for the purpose of eliminating or

avoiding highway-railroad crossings at grade. Whenever any new

construction of property is exempt pursuant to the provisions of this

subdivision and the provisions of subdivision three-a or three-b of this

section, such property shall receive the exemption provided by

subdivision three-a or three-b of this section.

3-a. Whenever a railroad company makes any improvements, enhancements,

or upgrades to any existing railroad real property in order to improve

freight service or to provide improved or new passenger service, the

cost of such project shall not be included in the calculation of any

subsequent railroad ceilings for a period of ten years from the date of

completion of such project; provided that such project's improvements,

enhancements, or upgrades were made pursuant to a capital project

proposal approved by the commissioner of the department of

transportation, as provided in section four hundred eighty-nine-v of

this title. The department of transportation shall certify to the

commissioner the location and cost of any such improvements,

enhancements, or upgrades in a manner that provides the commissioner

with sufficient time to carry out its responsibilities pursuant to this

chapter.

3-b. The cost of bridges, viaducts, other structures, or improvements

and new rail lines, including any new rail lines built to replace

existing rail lines, shall not be included in the calculation of any

subsequent railroad ceilings for a period of ten years from the date of

completion of such project; provided that such construction was pursuant

to a capital project proposal approved by the commissioner of the

department of transportation as provided in section four hundred

eighty-nine-v of this title. The department of transportation shall

certify to the commissioner the location and cost of any such

construction in a manner that provides the commissioner with sufficient

time to carry out its responsibilities pursuant to this chapter.

4. Except as provided in subdivision five of this section, railroad

real property other than subsidized railroad real property shall be

exempt from taxation to the extent that the assessed valuation thereof

exceeds the railroad ceiling determined in accordance with the earnings

ratio as hereinafter prescribed.

5. Railroad real property other than subsidized railroad real property

of a railroad company shall not be exempt from taxation under this title

on an assessment roll of any assessing unit if the company failed for

any reason to pay within thirty days of the date when due the tax levied

upon the taxable portion of the assessment of any railroad real property

of the company set forth on the immediately preceding assessment roll of

any assessing unit, provided, however, that this subdivision shall not

apply if the payment or enforcement of such taxes was restrained or

prohibited by an order issued by a court of competent jurisdiction under

the bankruptcy act of the United States.