N.Y. Real Property Tax Law § 575-b: Solar or wind energy systems

§ 575-b. Solar or wind energy systems. 1. The assessed value for solar

or wind energy systems, as defined in section four hundred eighty-seven

of this chapter, shall be determined by a discounted cash flow approach

that includes:

(a) An appraisal model identified and published by the New York state

department of taxation and finance, in consultation with the New York

state energy research and development authority, within one hundred

eighty days of the effective date of this section, and periodically

thereafter as appropriate; and

(b) A solar or wind energy system discount rate or rates published

annually by the New York state department of taxation and finance;

provided that prior to such publication, such discount rate or rates

shall be published in preliminary form on the department's website and

notice thereof shall be sent to parties who have requested the same. The

department shall then allow at least sixty days for public comments to

be submitted, and shall consider any comments so submitted and make any

changes it deems necessary prior to publishing the final discount rate

or rates; and

(c) In the formulation of such a model and discount rate, the New York

state department of taxation and finance shall consult with the New York

State Assessors Association. Provided, further, in the formulation of

such a model and discount rate, the New York state department of

taxation and finance shall be authorized to take into account economic

and cost characteristics of such solar and wind energy systems located

in different geographic regions of the state and consider regionalized

market pressures in the formulation of the appraisal model and discount

rate required under this section; and

(d) Host community benefit payments made pursuant to part JJJ of

chapter fifty-eight of the laws of two thousand twenty, expenses

associated with decommissioning of solar and wind energy systems, and

community solar subscriber management costs associated with solar energy

systems shall be included as expenses; and

(e) Federal investment and production tax credits granted by the

Internal Revenue Code and environmental values, including but not

limited to, renewable energy credits, shall be deemed intangible assets

and not included as revenue streams.

1-a. Notwithstanding any provision of law to the contrary, the solar

or wind energy system appraisal model authorized by this section shall

be identified, formulated, adopted, published, and updated periodically

in the manner provided in this section without regard to the provisions

of article two of the state administrative procedure act.

2. The reports required by section five hundred seventy-five-a of this

title shall be designed to elicit such information as the commissioner

may reasonably require for the development and maintenance of an

appraisal model and discount rate.

3. The provisions of this section shall only apply to solar or wind

energy systems with a nameplate capacity equal to or greater than one

megawatt.

4. Complaints with respect to assessments determined under this

section shall be governed by sections five hundred twelve and five

hundred twenty-four of this article and the following provisions:

(a) The assessor shall, upon request, provide the owner with the

inputs that he or she entered into the commissioner's appraisal model

when valuing the property pursuant to this section.

(b) The property owner may advise the assessor of any alleged errors

to the appraisal model inputs believed to have been made by the

assessor, and may provide information to the assessor in support of any

proposed change to those inputs.

(c) If the property owner provides such information to the assessor

prior to the filing of the tentative assessment roll, the assessor may

make such adjustments to the appraisal model inputs as he or she deems

warranted based upon the information provided by the property owner, and

may recalculate the property value by entering the adjusted inputs into

the appraisal model.

(d) If dissatisfied with the assessed value appearing on the tentative

assessment roll, the property owner may file a complaint with the board

of assessment review; provided, however, that the grounds for review of

an assessment determined under this section with respect to both article

five and article seven of this chapter shall be limited to the accuracy

of the appraisal model inputs made by the assessor.

(e) Actions or proceedings that challenge the validity and accuracy of

the appraisal model or discount rates established under this section may

not be commenced against assessing units. Such challenges may only be

brought by commencing an action against the commissioner in the third

department of the appellate division of the supreme court in the manner

provided by article seventy-eight of the civil practice law and rules.

5. Any assessing unit establishing valuations on the basis of the

model published by the department in two thousand twenty-five, including

an assessing unit that has stipulated to rely on such model to settle a

proceeding to review an assessment of real property pursuant to article

seven of this chapter, shall not be subject to imposition of costs

pursuant to section seven hundred twenty-two of this chapter.