- Summary
- Actions
- Committee Votes
- Floor Votes
- Memo
- Text
- LFIN
- Chamber Video/Transcript
A02633 Summary:
BILL NO | A02633 |
  | |
SAME AS | SAME AS S06492 |
  | |
SPONSOR | Thiele |
  | |
COSPNSR | |
  | |
MLTSPNSR | |
  | |
Add 64-k, Town L; amd 1449-bb & 1449-ee, Tax L | |
  | |
Authorizes towns in the Peconic Bay region to establish community housing funds to be funded by a supplemental real estate transfer tax. |
A02633 Actions:
BILL NO | A02633 | |||||||||||||||||||||||||||||||||||||||||||||||||
  | ||||||||||||||||||||||||||||||||||||||||||||||||||
01/19/2021 | referred to local governments | |||||||||||||||||||||||||||||||||||||||||||||||||
02/24/2021 | reported referred to ways and means | |||||||||||||||||||||||||||||||||||||||||||||||||
05/19/2021 | reported referred to rules | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | reported | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | rules report cal.85 | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | ordered to third reading rules cal.85 | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | passed assembly | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | delivered to senate | |||||||||||||||||||||||||||||||||||||||||||||||||
05/24/2021 | REFERRED TO LOCAL GOVERNMENT | |||||||||||||||||||||||||||||||||||||||||||||||||
06/10/2021 | SUBSTITUTED FOR S6492 | |||||||||||||||||||||||||||||||||||||||||||||||||
06/10/2021 | 3RD READING CAL.1747 | |||||||||||||||||||||||||||||||||||||||||||||||||
06/10/2021 | PASSED SENATE | |||||||||||||||||||||||||||||||||||||||||||||||||
06/10/2021 | RETURNED TO ASSEMBLY | |||||||||||||||||||||||||||||||||||||||||||||||||
09/28/2021 | delivered to governor | |||||||||||||||||||||||||||||||||||||||||||||||||
10/08/2021 | signed chap.445 |
A02633 Committee Votes:
Thiele | Aye | Schmitt | Aye | ||||||
Ramos | Aye | Friend | Aye | ||||||
Otis | Aye | Manktelow | Aye | ||||||
Woerner | Aye | Gallahan | Aye | ||||||
Wallace | Aye | Simpson | Aye | ||||||
Jacobson | Aye | ||||||||
Darling | Aye | ||||||||
Clark | Aye | ||||||||
Conrad | Aye | ||||||||
Rivera | Aye | ||||||||
Sillitti | Aye | ||||||||
Kelles | Aye | ||||||||
Lunsford | Aye | ||||||||
Weinstein | Aye | Ra | Aye | ||||||
Glick | Aye | Fitzpatrick | Aye | ||||||
Nolan | Excused | Hawley | Aye | ||||||
Pretlow | Aye | Montesano | Aye | ||||||
Perry | Aye | Blankenbush | Aye | ||||||
Colton | Aye | Norris | Aye | ||||||
Cook | Aye | Brabenec | Aye | ||||||
Cahill | Aye | Palmesano | Aye | ||||||
Aubry | Aye | Byrne | Aye | ||||||
Cusick | Aye | Ashby | Aye | ||||||
Benedetto | Aye | ||||||||
Weprin | Aye | ||||||||
Rodriguez | Aye | ||||||||
Ramos | Excused | ||||||||
Braunstein | Aye | ||||||||
McDonald | Aye | ||||||||
Rozic | Aye | ||||||||
Dinowitz | Aye | ||||||||
Joyner | Excused | ||||||||
Magnarelli | Aye | ||||||||
Zebrowski | Aye | ||||||||
Bronson | Aye | ||||||||
Dilan | Aye | ||||||||
Seawright | Aye | ||||||||
Hyndman | Aye | ||||||||
Heastie | Excused | Barclay | Aye | ||||||
Gottfried | Aye | Hawley | Aye | ||||||
Nolan | Excused | Giglio | Aye | ||||||
Weinstein | Aye | Blankenbush | Aye | ||||||
Pretlow | Aye | Norris | Aye | ||||||
Cook | Aye | Montesano | Nay | ||||||
Glick | Aye | Ra | Aye | ||||||
Aubry | Aye | Brabenec | Aye | ||||||
Englebright | Aye | ||||||||
Dinowitz | Aye | ||||||||
Colton | Aye | ||||||||
Magnarelli | Aye | ||||||||
Perry | Aye | ||||||||
Paulin | Aye | ||||||||
Peoples-Stokes | Aye | ||||||||
Benedetto | Aye | ||||||||
Lavine | Aye | ||||||||
Lupardo | Aye | ||||||||
Zebrowski | Aye | ||||||||
Thiele | Aye | ||||||||
Braunstein | Aye | ||||||||
Dickens | Aye | ||||||||
Davila | Aye | ||||||||
Go to top
A02633 Floor Votes:
Yes
Abbate
Yes
Clark
Yes
Frontus
Yes
Lalor
Yes
Paulin
Yes
Sillitti
Yes
Abinanti
Yes
Colton
Yes
Galef
Yes
Lavine
Yes
Peoples-Stokes
Yes
Simon
Yes
Anderson
Yes
Conrad
Yes
Gallagher
No
Lawler
Yes
Perry
No
Simpson
Yes
Angelino
Yes
Cook
No
Gallahan
Yes
Lemondes
Yes
Pheffer Amato
Yes
Smith
Yes
Ashby
Yes
Cruz
Yes
Gandolfo
No
Lunsford
Yes
Pichardo
Yes
Smullen
Yes
Aubry
Yes
Cusick
Yes
Giglio JA
Yes
Lupardo
Yes
Pretlow
Yes
Solages
Yes
Barclay
Yes
Cymbrowitz
Yes
Giglio JM
Yes
Magnarelli
Yes
Quart
Yes
Steck
Yes
Barnwell
Yes
Darling
Yes
Glick
Yes
Mamdani
Yes
Ra
Yes
Stern
No
Barrett
Yes
Davila
Yes
Gonzalez-Rojas
No
Manktelow
Yes
Rajkumar
Yes
Stirpe
Yes
Barron
Yes
De La Rosa
No
Goodell
Yes
McDonald
No
Ramos
No
Tague
Yes
Benedetto
Yes
DeStefano
Yes
Gottfried
Yes
McDonough
Yes
Reilly
No
Tannousis
Yes
Bichotte Hermel
Yes
Dickens
No
Griffin
No
McMahon
Yes
Reyes
Yes
Taylor
Yes
Blankenbush
Yes
Dilan
Yes
Gunther
Yes
Meeks
Yes
Richardson
Yes
Thiele
Yes
Brabenec
Yes
Dinowitz
Yes
Hawley
Yes
Mikulin
Yes
Rivera J
Yes
Vanel
Yes
Braunstein
No
DiPietro
Yes
Hevesi
No
Miller B
Yes
Rivera JD
No
Walczyk
Yes
Bronson
Yes
Durso
Yes
Hunter
Yes
Miller M
Yes
Rodriguez
Yes
Walker
No
Brown
Yes
Eichenstein
Yes
Hyndman
Yes
Mitaynes
Yes
Rosenthal D
No
Wallace
Yes
Burdick
Yes
Englebright
Yes
Jackson
No
Montesano
Yes
Rosenthal L
No
Walsh
Yes
Burgos
Yes
Epstein
Yes
Jacobson
Yes
Morinello
Yes
Rozic
Yes
Weinstein
No
Burke
Yes
Fahy
Yes
Jean-Pierre
Yes
Niou
Yes
Salka
Yes
Weprin
No
Buttenschon
Yes
Fall
No
Jensen
ER
Nolan
No
Santabarbara
Yes
Williams
No
Byrne
Yes
Fernandez
Yes
Jones
Yes
Norris
Yes
Sayegh
No
Woerner
Yes
Byrnes
Yes
Fitzpatrick
Yes
Joyner
Yes
O'Donnell
Yes
Schmitt
Yes
Zebrowski
Yes
Cahill
ER
Forrest
Yes
Kelles
Yes
Otis
Yes
Seawright
Yes
Zinerman
Yes
Carroll
No
Friend
Yes
Kim
Yes
Palmesano
ER
Septimo
Yes
Mr. Speaker
‡ Indicates voting via videoconference
A02633 Memo:
Go to topNEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)   BILL NUMBER: A2633 SPONSOR: Thiele
  TITLE OF BILL: An act to amend the town law and the tax law, in relation to authorizing towns in the Peconic Bay region to establish community housing funds to be funded by a supplemental real estate transfer tax   PURPOSE OR GENERAL IDEA OF BILL: Authorizing towns in the Peconic Bay region to establish a community housing funds to be funded by a supplemental real estate transfer tax   SUMMARY OF SPECIFIC PROVISIONS: Section 1. Legislative Findings Section 2. Cites the Peconic Bay Region Community Housing Act Section 3. Amends the Town Law by adding a new Section 64-k relating to the Peconic Bay Region Community Housing Act for the towns of East Hamp- ton, Riverhead, Shelter Island, Southampton and Southold. Section 4. Section 1449-bb of the Tax Law is amended to authorize each town within the Peconic Bay region, acting through its own board, to adopt a local law imposing a supplemental real estate transfer tax for the sole purpose of funding an established community housing fund Section 5. Subdivision 3 of Section 1449-ee of the Tax Law is amended to provide for certain exemptions from the supplemental real estate trans- fer tax Section 6. Amends subparagraph 1 of paragraph (a) of subdivision 4 of Section 1449-ee to increase the purchase price limit for the exemption for first-time homebuyers in the towns of East Hampton, Southampton and Shelter Island from 120% to 150% of the purchase price limit defined by the State of New York Mortgage Agency (SONYMA). Section 7. Severability Clause Section 8. Provides for an immediate effective date and shall remain in full force and effect until December 31, 2050, when upon such date the provisions of Sections four and five of this act shall expire and be deemed repealed.   JUSTIFICATION: The adverse impact resulting from the lack of housing opportunities is severe. Local employers have difficulty hiring and retaining employees because of housing costs and availability. Local volunteer emergency services agencies experience difficulty in recruitment-and retention. Long-time residents are forced to leave the area. Traffic congestion is intensified by the importation of labor from areas with lower housing costs. Finally, the lack of housing opportunities is resulting in resi- dents being forced to live in substandard, illegal conditions. The unique demographics and economics in the Peconic Bay region and a lack of affordable dwelling units are contributing to this housing shor- tage. The combination of the Peconic Bay region's attractiveness, prox- imity to the dense population of the New York metropolitan region and to that region's extraordinary wealth, makes the Peconic Bay region a prime location for seasonal and luxury homes. While this combination of extraordinary attractiveness, population density, and wealth has created a strong local economy for the Peconic Bay region, it has resulted in a housing crisis for local families. The demand for seasonal homes has driven up housing costs for local families. In the Peconic Bay region, more than 40% of all housing units are seasonal. The unique demographics and economics in the Peconic Bay region that have historically contributed to the housing shortage have only been exacerbated by the COVID-19 pandemic. The pandemic has resulted in a flight of residents from urban areas such as New York City to more rural areas such as the Peconic Bay region. The demand for housing in the region is currently at an all-time high. This increased demand has further driven up housing costs and has reduced the supply of housing units available for the local workforce. The increased demand for affordable housing opportunities resulting from the pandemic makes the need for increased community housing more acute. In summary, the demand of land for luxury and seasonal homes and seasonal rentals has left a short supply of housing opportunities for moderate income and working class local residents. The pandemic has only exacerbated this problem. The Peconic Bay region requires a balanced housing policy where there exists a variety of housing types and oppor- tunities across the region's economic spectrum. It is the public purpose of this legislation to give the towns of the Peconic Bay region the authority and resources needed to establish a dedicated fund to provide needed housing opportunities. Specifically, this legislation would permit each town to establish a community housing fund to increase housing opportunities in the region. Further, a town housing plan adhering to smart growth principles would be required to be approved and implemented to ensure that these new housing opportunities are enacted in the context of a comprehensive plan. Said fund would be financed by a combination of state and local funds, including a 0.5% supplemental real estate transfer tax, which would be in addition to the existing 2% real estate transfer tax for the Peconic Bay region community preservation fund. The supplemental real estate transfer shall be enacted by a local law subject to a mandatory referen- dum. In addition to the authorization of the supplemental real estate trans- fer tax, the exemption amounts from the entire real estate transfer tax would be increased to $400,000 in the towns of Southampton, East Hampton and Shelter Island and to $200,000 in the towns of Riverhead and Sout- hold. This will insure that in the towns of East Hampton, Southampton, and Shelter Island, the real estate transfer tax burden will be reduced for property transfers with a consideration under $1,000,000. The real estate transfer tax would be reduced in the towns of Southold and River- head for property transfers with a consideration under $400,000. Finally, the purchase price limit for the exemption for first time home- buyers in the towns of East Hampton, Southampton and Shelter Island would be increased from 120% to 150% of the purchase price limit as defined by the state of New York mortgage agency. These amendments to the exemptions will mitigate any adverse impact from the transfer tax on the provision of community housing.   PRIOR LEGISLATIVE HISTORY: 2020:A.9082/S.7332 2019:A.4941-B/S.4040-A Veto 247 of 2019   FISCAL IMPLICATIONS: To be determined   EFFECTIVE DATE: This act shall take effect immediately; provided, however, that the amendments to Section 1449-bb of the Tax Law and subdivision 3 of Section 1449-ee of the Tax Law, made by Sections 4 and 5 of this act, respectively, shall not affect the repeal of such sections and shall be deemed to be repealed therewith.
A02633 Text:
Go to top STATE OF NEW YORK ________________________________________________________________________ 2633 2021-2022 Regular Sessions IN ASSEMBLY January 19, 2021 ___________ Introduced by M. of A. THIELE -- read once and referred to the Committee on Local Governments AN ACT to amend the town law and the tax law, in relation to authorizing towns in the Peconic Bay region to establish community housing funds to be funded by a supplemental real estate transfer tax The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Legislative findings. The legislature hereby finds that an 2 adequate supply of housing opportunities for all segments of the Peconic 3 Bay community is critical to the future of the Peconic Bay region. 4 The adverse impact resulting from the lack of housing opportunities is 5 severe. Local employers have difficulty hiring and retaining employees 6 because of housing costs and availability. Local volunteer emergency 7 services agencies experience difficulty in recruitment and retention. 8 Long-time residents are forced to leave the area. Traffic congestion is 9 intensified by the importation of labor from areas with lower housing 10 costs. Finally, the lack of housing opportunities is resulting in resi- 11 dents being forced to live in substandard, illegal conditions. 12 The unique demographics and economics in the Peconic Bay region and a 13 lack of affordable dwelling units are contributing to this housing shor- 14 tage. The combination of the Peconic Bay region's attractiveness, prox- 15 imity to the dense population of the New York metropolitan region and to 16 that region's extraordinary wealth, makes the Peconic Bay region a prime 17 location for seasonal and luxury homes. While this combination of 18 extraordinary attractiveness, population density, and wealth has created 19 a strong local economy for the Peconic Bay region, it has resulted in a 20 housing crisis for local families. The demand for seasonal homes has 21 driven up housing costs for local families. In the Peconic Bay region, 22 more than 40% of all housing units are seasonal. 23 The unique demographics and economics in the Peconic Bay region that 24 have historically contributed to the housing shortage have only been EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD03098-01-1A. 2633 2 1 exacerbated by the COVID-19 pandemic. The pandemic has resulted in a 2 flight of residents from urban areas such as New York City to more rural 3 areas such as the Peconic Bay region. The demand for housing in the 4 region is currently at an all-time high. This increased demand has 5 further driven up housing costs and has reduced the supply of housing 6 units available for the local workforce. The increased demand for 7 affordable housing opportunities resulting from the pandemic makes the 8 need for increased community housing more acute. 9 In summary, the demand of land for luxury and seasonal homes and 10 seasonal rentals has left a short supply of housing opportunities for 11 moderate income and working class local residents. The pandemic has only 12 exacerbated this problem. The Peconic Bay region requires a balanced 13 housing policy where there exists a variety of housing types and oppor- 14 tunities across the region's economic spectrum. 15 It is the public purpose of this legislation to give the towns of the 16 Peconic Bay region the authority and resources needed to establish a 17 dedicated fund to provide needed housing opportunities. Specifically, 18 this legislation would permit each town to establish a community housing 19 fund to increase housing opportunities in the region. Further, a town 20 housing plan adhering to smart growth principles would be required to be 21 approved and implemented to ensure that these new housing opportunities 22 are enacted in the context of a comprehensive plan. 23 Said fund would be financed by a combination of state and local funds, 24 including a 0.5% supplemental real estate transfer tax, which would be 25 in addition to the existing 2% real estate transfer tax for the Peconic 26 Bay region community preservation fund. The supplemental real estate 27 transfer shall be enacted by a local law subject to a mandatory referen- 28 dum. 29 In addition to the authorization of the supplemental real estate 30 transfer tax, the exemption amounts from the entire real estate transfer 31 tax would be increased to $400,000 in the towns of Southampton, East 32 Hampton and Shelter Island and to $200,000 in the towns of Riverhead and 33 Southold. This will insure that in the towns of East Hampton, Southamp- 34 ton, and Shelter Island, the real estate transfer tax burden will be 35 reduced for property transfers with a consideration under $1,000,000. 36 The real estate transfer tax would be reduced in the towns of Southold 37 and Riverhead for property transfers with a consideration under 38 $400,000. 39 Finally, the purchase price limit for the exemption for first time 40 homebuyers in the towns of East Hampton, Southampton and Shelter Island 41 would be increased from 120% to 150% of the purchase price limit as 42 defined by the state of New York mortgage agency. These amendments to 43 the exemptions will mitigate any adverse impact from the transfer tax on 44 the provision of community housing. 45 § 2. This act shall be known and may be cited as the "Peconic Bay 46 region community housing act". 47 § 3. The town law is amended by adding a new section 64-k to read as 48 follows: 49 § 64-k. Peconic Bay region community housing fund. 1. Definitions. As 50 used in this section, the following words and terms shall have the 51 following meanings: 52 (a) "Peconic Bay region" means the towns of East Hampton, Riverhead, 53 Shelter Island, Southampton, and Southold. 54 (b) "Community housing" means a primary residential property for an 55 eligible individual that does not exceed one hundred fifty percent of 56 the purchase price limits established by the state of New York mortgageA. 2633 3 1 agency low interest rate loan program in non-target categories for 2 Suffolk county in effect on the contract date for the sale of such prop- 3 erty. 4 (c) "Board" means the advisory board created pursuant to subdivision 5 six of this section. 6 (d) "Fund" means the community housing fund authorized pursuant to 7 subdivision two of this section. 8 (e) "First-time homebuyer" means an eligible individual who has not 9 owned a primary residential property and is not married to a person who 10 has owned a residential property during the three-year period prior to 11 his or her purchase of the primary residential property, and who does 12 not own a vacation or investment home. 13 (f) "Primary residential property" means any one or two family house, 14 townhouse, or condominium. 15 (g) "Eligible individual" means a household with an income that does 16 not exceed one hundred percent of the income limits as established by 17 the state of New York mortgage agency low interest rate loan program in 18 non-target categories for Suffolk county in effect on the contract date 19 for the sale of such property. 20 2. Fund authorized. The town board of any town in the Peconic Bay 21 region is authorized to establish by local law a community housing fund, 22 pursuant to the provisions of this section. Deposits into the fund may 23 include revenues of the local government from whatever source, including 24 but not limited to: (a) all revenues from the supplemental real estate 25 transfer tax authorized by subdivision two of section fourteen hundred 26 forty-nine-bb of the tax law; (b) all proceeds from any indebtedness or 27 obligations issued pursuant to the local finance law for community hous- 28 ing opportunity purposes as authorized in subdivision three of this 29 section; (c) general fund balances or surpluses; (d) any proceeds 30 received by the local government from the sale or rental of community 31 housing produced from revenues of the fund; (e) the repayment of any 32 loans issued from proceeds of the fund; (f) any gifts of interests in 33 land or funds; and (g) any state or federal grants received by the town 34 for providing affordable homes. 35 3. Purposes of the fund. The proceeds of the fund established pursuant 36 to subdivision two of this section shall be utilized for the following 37 purposes: 38 (a) the provision of financial assistance to first-time homebuyers who 39 are residents of the town for the purchase of a first home. Such finan- 40 cial assistance may be in the form of a grant or a loan. 41 (1) A town may provide financial assistance for the purchase of a 42 first home to a first-time homebuyer who is a resident of the town or 43 who is employed in the town. A resident of the town shall include a 44 person who is currently a resident of the town or a non-resident who has 45 been a resident within the past five years. 46 (2) Such financial assistance shall not exceed fifty percent of the 47 purchase price of the home. 48 (3) If such financial assistance is in the form of a loan, such loan 49 shall be repayable to the town pursuant to the terms agreed to between 50 the recipient and the town, provided that any loan shall be fully repaid 51 by the recipient upon the resale of the home. 52 (4) For the purposes of calculating town tax liability for such prop- 53 erty, only, the dollar amount of any financial assistance for the 54 purchase of a first home made by the town pursuant to this section shall 55 be subtracted from the full equalized assessed value of such property.A. 2633 4 1 (5) All revenues received by the town from the repayment of a loan 2 shall be deposited in the fund. 3 (6) A town may provide financial assistance for community housing in 4 conjunction with a public/private partnership for employer assisted 5 housing. 6 (b) the actual production of community housing for sale to eligible 7 individuals by the town; 8 (c) the actual production of community housing for sale to eligible 9 individuals in conjunction with a public/private partnership, where the 10 private partner agrees to comply with the profit guidelines of the New 11 York state affordable housing corporation and the provisions of this 12 section; 13 (d) the actual production and maintenance of community housing for 14 rental to eligible individuals either by the town or the town housing 15 authority; or in conjunction with a public/private partnership, where 16 the private partner agrees to comply with the profit guidelines of the 17 New York state affordable housing corporation and the provisions of this 18 section; 19 (e) the rehabilitation of existing buildings and structures in the 20 town for the purpose of conversion to community housing for sale or 21 rental to eligible individuals; 22 (f) the acquisition of interests in real property in existing housing 23 units, which will result in the production of community housing for sale 24 or rental to eligible individuals; and 25 (g) the provision of housing counseling services by not-for-profit 26 corporations who are authorized by the United States department of hous- 27 ing and urban development to provide such services. 28 4. Fund management. Interest accrued by monies deposited into the fund 29 shall be credited to the fund. In no event shall monies deposited into 30 the fund be transferred to any other account. Nothing contained in this 31 section shall be construed to prevent the financing in whole or in part, 32 pursuant to the local finance law, of any purpose authorized pursuant to 33 this section. Monies from the fund may be utilized to repay indebtedness 34 or obligations incurred pursuant to the local finance law consistent 35 with effectuating the purposes of this section. 36 5. Eligible expenses. For the purposes of this section, eligible 37 expenses relating to the production of community housing and the reha- 38 bilitation of existing buildings and structures under the fund shall 39 include but not be limited to land acquisition, planning, engineering, 40 construction costs, and other hard and soft costs directly related to 41 the construction, rehabilitation, purchase or rental of housing pursuant 42 to this section. All revenues received by the town from the sale or 43 rental of community homes, or the repayment of loans shall be deposited 44 in the fund. 45 6. Advisory board established. The town board of any town in the 46 Peconic Bay region which has established a community housing fund pursu- 47 ant to this section shall create an advisory board to review and make 48 recommendations regarding the town's community housing plan required by 49 subdivision seven of this section. Such board shall consist of not less 50 than seven nor more than fifteen legal residents of the municipality who 51 shall serve without compensation. No member of the local legislative 52 body shall serve on the board. The board shall include a representative 53 of: (a) the construction industry; (b) the real estate industry; (c) the 54 banking industry; and three representatives of local housing advocacy or 55 human services organizations. Where a village or villages, located with- 56 in the town, have elected to participate in the fund, as provided inA. 2633 5 1 subdivision seven of this section, the board shall include at least one 2 resident of a participating village or villages. Where an Indian nation 3 is located within the boundaries of a town, the board shall include at 4 least one member from such nation. The board shall act in an advisory 5 capacity to the town board. 6 7. Adoption of housing plan. (a) Before a town in the Peconic Bay 7 region may expend any funds pursuant to this section, the town board 8 shall first adopt a town housing plan which establishes an implementa- 9 tion plan for the provision of community housing opportunities by the 10 fund. Said plan shall be adopted by local law. Such plan shall adhere to 11 the following smart growth principles: 12 (1) Public investment. To account for and minimize social, economic, 13 and environmental costs of new development, including infrastructure 14 costs such as transportation, sewers, and wastewater treatment, water, 15 schools, recreation, and loss of open space and agricultural land; 16 (2) Development. To encourage development in areas where transporta- 17 tion, water, and sewage infrastructure are available or practical; 18 (3) Conservation. To protect, preserve, and enhance the state's 19 resources, including agricultural land, forests, surface waters, ground- 20 water, recreation and open space, scenic areas, and significant historic 21 and archeological sites; 22 (4) Coordination. To promote coordination of state and local govern- 23 ment decisions and cooperation among communities to work toward the most 24 efficient, planned and cost-effective delivery of government services 25 by, among other means, facilitating cooperative agreements among adja- 26 cent communities, and to coordinate planning to ensure compatibility of 27 one's community development with development of neighboring communities; 28 (5) Community design. To strengthen communities through development 29 and redevelopment strategies that include integration of all income and 30 age groups, mixed land uses, and compact development, traditional neigh- 31 borhood development, planned unit development, open space districts, 32 downtown revitalization, brownfield redevelopment, enhanced beauty in 33 public spaces, and diverse and community housing in close proximity to 34 places of employment, recreation, and commercial development; 35 (6) Transportation. To provide transportation choices, including 36 increasing public transit and alternative modes of transportation, in 37 order to reduce automobile dependency, traffic congestion, and automo- 38 bile pollution; 39 (7) Consistency. To ensure predictability in building and land use 40 codes; and 41 (8) Community collaboration. To provide for and encourage local 42 governments to develop, through a collaborative community-based effort, 43 smart growth plans that include long term land use and permit predict- 44 ability and coordination, efficient decision making and planning imple- 45 mentation. 46 (b) Such plan may include the establishment of a map or maps that 47 delineate the housing implementation recommendations proposed by the 48 town. 49 (c) Such plan shall be updated at least once every five years. 50 (d) The town housing plan shall be an element of the town's comprehen- 51 sive plan. 52 (e) Such plan shall ensure that all community housing created pursuant 53 to this section remains affordable. Subsequent purchasers of such commu- 54 nity housing shall have at the time of purchase, pursuant to the defi- 55 nition "eligible individual", an income that does not exceed one hundred 56 percent of the income limits as established by the state of New YorkA. 2633 6 1 mortgage agency low interest rate loan program in non-target categories 2 for Suffolk county. 3 (f) Such plan shall provide for the equitable distribution of communi- 4 ty housing opportunities among all the communities of the town. The plan 5 shall ensure that no community has an undue concentration of community 6 housing opportunities that would substantially alter the character of 7 the community. In determining equitable distribution of community hous- 8 ing opportunities, existing community housing opportunities in a commu- 9 nity shall be considered. 10 8. Village participation. (a) The participation of any village in the 11 production of community housing authorized by this section shall be at 12 the option of the village. In order to participate, a village shall pass 13 a resolution opting into the program and shall submit said resolution to 14 the town board. 15 (b) Where a village opts to participate pursuant to this subdivision, 16 an intergovernmental agreement shall be executed pursuant to article 17 five-G of the general municipal law or other applicable legal authority, 18 in order to establish the rights and responsibilities of each government 19 regarding community housing opportunities. 20 (c) Regardless of whether a village participates in the program 21 authorized by this section, properties in the village shall be subject 22 to the supplemental real estate transfer tax authorized by subdivision 23 two of section fourteen hundred forty-nine-bb of the tax law. 24 § 4. Section 1449-bb of the tax law, as added by chapter 114 of the 25 laws of 1998, is amended to read as follows: 26 § 1449-bb. Imposition of tax. 1. Notwithstanding any other provisions 27 of law to the contrary, any town in the Peconic Bay region, acting 28 through its town board, is hereby authorized and empowered to adopt a 29 local law imposing in such town a tax on each conveyance of real proper- 30 ty or interest therein where the consideration exceeds five hundred 31 dollars, at the rate of two percent of the consideration for such 32 conveyance. Provided, however, any such local law imposing, repealing 33 or reimposing such tax shall be subject to a mandatory referendum pursu- 34 ant to section twenty-three of the municipal home rule law. Notwith- 35 standing the foregoing, prior to adoption of such local law, the town 36 must establish a community preservation fund pursuant to section sixty- 37 four-e of the town law. Revenues from such tax shall be deposited in 38 such fund and may be used solely for the purposes of such fund. Such 39 local law shall apply to any conveyance occurring on or after the first 40 day of a month to be designated by such town board, which is not less 41 than sixty days after the enactment of such local law, but shall not 42 apply to conveyances made on or after such date pursuant to binding 43 written contracts entered into prior to such date, provided that the 44 date of execution of such contract is confirmed by independent evidence 45 such as the recording of the contract, payment of a deposit or other 46 facts and circumstances as determined by the treasurer. 47 2. Notwithstanding any other provisions of law to the contrary, in 48 addition to the tax authorized by subdivision one of this section, any 49 town in the Peconic Bay region, acting through its town board, is hereby 50 authorized and empowered to adopt a local law imposing in such town a 51 supplemental tax on each conveyance of real property or interest therein 52 where the consideration exceeds five hundred dollars, at the rate of one 53 half of one percent of the consideration for such conveyance. Provided, 54 however, any such local law imposing, repealing or re-imposing such 55 supplemental tax shall be subject to a mandatory referendum pursuant to 56 section twenty-three of the municipal home rule law. NotwithstandingA. 2633 7 1 the foregoing, prior to adoption of such local law, the town must estab- 2 lish a community housing fund pursuant to section sixty-four-k of the 3 town law. Revenues from such supplemental tax shall be deposited in such 4 fund and may be used solely for the purposes of such fund. Such local 5 law shall apply to any conveyance occurring on or after the first day of 6 a month to be designated by such town board, which is not less than 7 sixty days after the enactment of such local law, but shall not apply to 8 conveyances made on or after such date pursuant to binding written 9 contracts entered into prior to such date, provided that the date of 10 execution of such contract is confirmed by independent evidence such as 11 the recording of the contract, payment of a deposit or other facts and 12 circumstances as determined by the treasurer. Any tax imposed pursuant 13 to this subdivision shall be administered and collected in a like manner 14 as the tax imposed by subdivision one of this section. 15 § 5. Subdivision 3 of section 1449-ee of the tax law, as added by 16 chapter 114 of the laws of 1998, is amended to read as follows: 17 3. (a) In the towns of East Hampton, Shelter Island and Southampton, 18 an exemption of [two] four hundred [fifty] thousand dollars shall be 19 allowed on the consideration of the conveyance of improved real property 20 or an interest therein and an exemption of one hundred thousand dollars 21 shall be allowed on the consideration of the conveyance of unimproved 22 real property. 23 (b) In the towns of Riverhead and Southold, an exemption of [one] two 24 hundred [fifty] thousand dollars shall be allowed on the consideration 25 of the conveyance of improved real property or an interest therein and 26 an exemption of seventy-five thousand dollars shall be allowed on the 27 consideration of the conveyance of unimproved real property. 28 (c) The exemption granted pursuant to the provisions of this subdivi- 29 sion shall only apply to conveyances for residential property where the 30 consideration is two million dollars or less. 31 § 6. Subparagraph 1 of paragraph (a) of subdivision 4 of section 32 1449-ee of the tax law, as amended by chapter 389 of the laws of 2014, 33 is amended to read as follows: 34 (1) in the towns of Southampton, East Hampton and Shelter Island, the 35 primary residential property is within one hundred [twenty] fifty 36 percent of the purchase price limits defined by the state of New York 37 mortgage agency low interest rate mortgage program in the non-target one 38 family categories for Suffolk county in effect on the contract date for 39 the sale of such property; 40 § 7. Severability clause. If any provision of this act or application 41 thereof shall for any reason be adjudged by any court of competent 42 jurisdiction to be invalid, such judgment shall not affect, impair, or 43 invalidate the remainder of the act, but shall be confined in its opera- 44 tion to the provision directly involved in the controversy in which the 45 judgment shall have been rendered. 46 § 8. This act shall take effect immediately; provided, however, that 47 the amendments to sections 1449-bb and 1449-ee of the tax law, made by 48 sections four, five, and six of this act shall not affect the repeal of 49 such sections and shall be deemed repealed therewith.