N.Y. Real Property Tax Law § 491-b*2: Conservation easement agreement exemption; certain towns

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

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

three thousand two hundred fifty and not more than three thousand four

hundred fifty, that is located in a county having a population of not

less than one hundred thousand and not more than one hundred five

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 one hundred thousand and not more than one

hundred five thousand based upon and recorded in the two thousand ten

federal census may, by local law, and any fire district, water district,

or school district, all or part of which is located in a town having a

population of not less than three thousand two hundred fifty and not

more than three thousand four hundred fifty that is located in a county

having a population of not less than one hundred thousand and not more

than one hundred five 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.

(b) A town having a population of not less than three thousand two

hundred fifty and not more than three thousand four hundred fifty, that

is located in a county having a population of not less than one hundred

thousand and not more than one hundred five thousand, based upon and

recorded by the two thousand ten federal census, may, by a vote of the

town board, opt out of this exemption at any time.

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

shall have the following meanings:

(a) "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.

(b) "conservation board" means a conservation advisory council or any

other board appointed by the town board for the purpose of advising on

the acquisition of conservation easements.

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 three thousand two hundred

fifty and not more than three thousand four hundred fifty that is

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

thousand and not more than one hundred five 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 three thousand two

hundred fifty and not more than three thousand four hundred fifty that

is located in a county having a population of not less than one hundred

thousand and not more than one hundred five 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, fire districts, water

districts, 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 up 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