N.Y. Real Property Tax Law § 491-b: Conservation easement agreement exemption; certain towns

* § 491-b. Conservation easement agreement exemption; certain towns.

1. Applicability. In a town having a population of not less than

thirty-five thousand and not more than thirty-six thousand, that is

located in a county having a population of not less than three hundred

thousand and not more than three hundred seven thousand, based upon and

recorded by the two thousand ten federal census, is hereby authorized to

adopt a local law to provide that, real property whose interests or

rights have been acquired for the purpose of the preservation of an open

space or an open area, as authorized in section two hundred forty-seven

of the general municipal law, may be partially exempt from local real

property taxation, provided that the owner or owners of such real

property enter into a conservation easement agreement with the

municipality in accordance with the procedures specified in subdivision

three of this section. A county having a population of not less than

three hundred thousand and not more than three hundred seven thousand

based upon and recorded in the two thousand ten federal census may, by

local law, and any school district, all or part of which is located in a

town having a population of not less than thirty-five thousand and not

more than thirty-six thousand that is located in a county having a

population of not less than three hundred thousand and not more than

three hundred seven thousand based upon and recorded by the two thousand

ten federal census, may, by resolution, exempt such property from its

taxation in the same manner and to the same extent as such town has

done.

2. Definitions. For the purpose of this section, the following terms

shall have the following meanings: "open space" or "open area" means any

space or area characterized by natural scenic beauty or whose existing

openness, natural condition or present state of use, if retained, would

enhance the present or potential value of abutting or surrounding urban

development or would maintain or enhance the conservation of natural or

scenic resources. For the purposes of this definition, "natural or

scenic resources" shall include, but not be limited to, agricultural

lands defined as open lands actually used in bona fide agricultural

production.

3. Procedures for obtaining a conservation easement agreement. (a) Any

owner or owners of land may submit a proposal to the town board of a

town having a population of not less than thirty-five thousand and not

more than thirty-six thousand that is located in a county having a

population of not less than three hundred thousand and not more than

three hundred seven thousand, based upon and recorded by the two

thousand ten federal census, for the granting of interest or rights in

real property for the preservation of open space or areas. Such proposal

shall be submitted in such a manner and form as may be prescribed by the

conservation board of such town.

(b) Upon receipt of such proposal, the town board shall convey the

proposal to the conservation board of such town. Such conservation board

shall investigate the area to determine if the proposal would be of

benefit to the people of the town and may negotiate the terms and

conditions of the offer. If the conservation board determines that it is

in the public interest to accept such proposal, it shall recommend to

the town board that it hold a public hearing for the purpose of

determining whether or not the town should accept such proposal.

(c) The town board shall, within thirty days of receipt of such

advisory opinion, hold a public hearing concerning such proposal at a

place within the town. At least ten days notice of the time and place of

such hearing shall be published in a paper of general circulation in

such town, and a written notice of such proposal shall be given to all

adjacent property owners and to any municipality whose boundaries are

within five hundred feet of the boundaries of said proposed area, and to

the school district in which it is located.

(d) The town board, after receiving the reports of the conservation

board of a town having a population of not less than thirty-five

thousand and not more than thirty-six thousand that is located in a

county having a population of not less than three hundred thousand and

not more than three hundred seven thousand, based upon and recorded by

the two thousand ten federal census, and after such public hearing, may

adopt the proposal or any modification thereof it deems appropriate or

may reject it in its entirety.

(e) If such proposal is adopted by the town board, it shall be

executed by the owner or owners in written form and in a form suitable

for recording in the county clerk's office.

(f) Such agreement may not be canceled by either party. However, the

owner or owners thereof may petition the town board for cancellation

upon good cause shown, and such cancellation may be granted only upon

payment of the penalties provided in this section.

4. Computation. (a) An exemption granted pursuant to this section

shall commence as of the effective date of the conservation easement

agreement, and shall terminate upon the expiration or termination of

such conservation easement agreement.

(b) The following table shall illustrate the computation of the

exemption:

Commitment Percentage of Exemption

15 to 29 years 50%

30 to 49 years 75%

50 to 75 years 85%

Perpetual 90%

Such exemption shall be granted only upon application by the owner or

owners of such real property on a form prescribed by the commissioner.

Such application shall be filed with the assessor of the town on or

before the taxable status date of such town.

(c) If satisfied that the applicant is entitled to an exemption

pursuant to this section, the assessor shall approve the application and

such real property shall thereafter be exempt from taxation and special

ad valorem levies as provided in this section commencing with the

assessment roll prepared on the basis of the taxable status date. The

assessed value of any exemption granted pursuant to this section shall

be entered by the assessor on the assessment roll with the taxable

property, with the amount of the exemption shown in a separate column.

(d) Whenever a conservation easement encumbers only a portion of a

parcel, the assessor shall henceforth enter that portion of the parcel

encumbered by such easement as a separate parcel on all subsequent

assessment rolls.

5. Penalties for offenses. If there is a violation of the terms and

conditions of the conservation easement agreement or if such

conservation easement agreement is canceled by the town board upon

petition, then the owner or owners of such property must pay to the town

the following amounts:

(a) All taxes abated pursuant to the conservation easement agreement,

as limited by the remainder of this section, including, if applicable,

those taxes imposed by the county, town, school districts and all

special improvement districts and other taxing units to which the

property is subject. Repayment of the aforementioned abated taxes shall

be equal to five times the taxes saved in the last year in which the

land benefited from a conservation easement agreement exemption, plus

interest of six percent per year compounded annually for each year in

which an exemption was granted, not exceeding five years.

(b) Payments shall be added by or on behalf of each taxing

jurisdiction to the taxes levied on the assessment roll prepared on the

basis of the first taxable status date after there is a violation of the

terms and conditions of the conservation easement or such conservation

easement agreement is canceled.

* NB There are 2 § 491-b's