A06444 Summary:

BILL NOA06444
 
SAME ASSAME AS S04420
 
SPONSORGalef (MS)
 
COSPNSRRivera, Abinanti
 
MLTSPNSRThiele
 
Amd 302, RPT L
 
Provides that an assessing unit may pass a local law to provide that for the assessment of golf courses, the assessed valuation shall be based upon the property's highest and best use rather than its current use.
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A06444 Actions:

BILL NOA06444
 
03/07/2019referred to real property taxation
03/19/2019reported referred to codes
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A06444 Committee Votes:

REAL PROPERTY TAXATION Chair:Galef DATE:03/19/2019AYE/NAY:8/1 Action: Favorable refer to committee Codes
GalefAyeMillerNay
McDonaldAyeTagueExcused
PichardoAye
DickensAye
BarnwellAye
RosenthalAye
SayeghAye
EichensteinAye

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A06444 Floor Votes:

There are no votes for this bill in this legislative session.
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A06444 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A6444
 
SPONSOR: Galef (MS)
  TITLE OF BILL: An act to amend the real property tax law, in relation to the taxable status date and the assessment of golf courses   PURPOSE OR GENERAL IDEA OF BILL: The purpose of this legislation is to allow the passage of a local law in regards to the assessment of golf courses.   SUMMARY OF PROVISIONS: Section 1. Section 302 of the Real Property Tax Law is amended by adding a new subdivision 6 to read as follows: 6. Notwithstanding any other provision of law to the contrary, an assessing unit may pass a local law to provide that for the assessment of golf courses, the assessed valu- ation shall be based upon the property's highest and best use rather than its current use. Such local law shall be passed no later than 60 days prior to the completion and filing of the first tentative assess- ment roll to which it is applicable. Section 2. Establishes the effective date.   DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE): This portion of this memorandum is not applicable at this time.   JUSTIFICATION: Golf courses are unique, and often challenging to value. There are several types of courses (private, semiprivate, public, not-for-profit, municipal, etc.) with varying business models and economic returns. Golf courses do not typically sell on the open market, making the Sales Comparison Approach unreliable and typically disregarded. The income approach is the generally accepted approach to valuing golf courses, but it often requires reliance on per-round fees paid at neighboring cours- es. For private country clubs, this has meant considering public and municipal course fees, which do not mirror the economics of a private club which often receives significant revenue from initiation and membership fees, restaurants, sports shops, etc. In other instances, such as a member owned not-for-profit golf course, the cash flow and revenue of the club may be unimpressive. However, the property may be located in a prime-real estate area where developers are willing to pay a premium for developable land. Such value is not considered in these assessments. This bill gives a community the option to assess golf courses based upon their highest and best use. The Appraisal Institute defines highest and best use as follows: the reasonably probable and legal use of vacant land or an improved property that is physically possible, appropriately supported, financially feasible, and that results in the highest value. This appraisal principal allows the consideration of other economically profitable uses of a property when determining its value. For the valu- ation of golf courses only, it could be used by assessors, at local option, to provide a more accurate assessment of the property. This legislation provides another option for communities to explore should they have a golf course(s) that they feel is being assessed at the wrong value.   PRIOR LEGISLATIVE HISTORY: A.9677 and S. 8045 of 2017/2018   FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS: There are no fiscal implications to New York State or our local govern- ments in association with the passage of this legislation.   EFFECTIVE DATE: This act shall take effect immediately.
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A06444 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                          6444
 
                               2019-2020 Regular Sessions
 
                   IN ASSEMBLY
 
                                      March 7, 2019
                                       ___________
 
        Introduced  by  M. of A. GALEF, SEAWRIGHT, RIVERA, ABINANTI, LAWRENCE --
          Multi-Sponsored by -- M. of A. THIELE -- read once and referred to the
          Committee on Real Property Taxation
 
        AN ACT to amend the real property tax law, in relation  to  the  taxable
          status date and the assessment of golf courses

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Section 302 of the real property  tax  law  is  amended  by
     2  adding a new subdivision 6 to read as follows:
     3    6.  Notwithstanding  any  other  provision  of law to the contrary, an
     4  assessing unit may pass a local law to provide that for  the  assessment
     5  of  golf courses, the assessed valuation shall be based upon the proper-
     6  ty's highest and best use rather than its current use.  Such  local  law
     7  shall  be  passed  no  later than sixty days prior to the completion and
     8  filing of the first tentative assessment roll to which it is applicable.
     9    § 2. This act shall take effect immediately.
 
 
 
 
 

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD01904-01-9
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