Eliminates state sales and compensating use taxes on motor fuels and diesel motor fuels; authorizes localities to eliminate such taxes at the local level; establishes various exemptions from New York's sales and use tax; provides for a sales tax exemption for housekeeping supplies and for ready-to-eat foods.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A1690
SPONSOR: Barclay
 
TITLE OF BILL:
An act to amend the tax law, in relation to eliminating state sales and
compensating use taxes on motor fuels and diesel motor fuels and author-
izing localities to eliminate such taxes at the local level; and provid-
ing for the repeal of such provisions upon expiration thereof (Part A);
to amend the tax law, in relation to exemptions from sales and use
taxes; and providing for the repeal of such provisions upon expiration
thereof (Part B); to amend the tax law, in relation to providing a sales
tax exemption for housekeeping supplies; and providing for the repeal of
such provisions upon expiration thereof (Part C); and to amend the tax
law, in relation to providing a sales tax exemption for ready-to-eat
foods; and providing for the repeal of such provisions upon expiration
thereof (Part D)
 
PURPOSE:
This legislation would amend the tax law to provide various state sales
and compensating use tax exemptions on motor fuel, personal care
products, housekeeping supplies and ready-to-eat foods at grocery stores
and restaurants. This legislation also authorizes local governments to
eliminate such taxes on these products at their discretion.
 
SUMMARY OF PROVISIONS:
Section 1. Enacts into law various components of legislation relating to
establishing various exemptions from New York's sales and compensating
use tax.
Part A: Section 1 amends Subdivision (a) of section 1115 of the Tax Law
by adding a new paragraph (47) to exempt Motor Fuel and Diesel Motor
Fuel from New York State sales tax.
Section 2 through Section 6 amends the tax law to provide for the local
option for local governments to eliminate their portion of sales tax
imposed on motor fuels and diesel motor fuels.
Section 7 provides the effective date.
Part B:
Section 1 and 2 amends Subdivision (a) of section 1115 of the Tax Law by
adding a new paragraph (48) to exempt personal care products from New
York State sales tax.
Section 3 through Section 7 amends the tax law to provide for the local
option for local governments to eliminate their portion of sales tax
imposed on personal care products.
Section 8 provides the effective date. Part C:
Section 1 Subdivision (a) of section 1115 of the Tax Law by adding a new
paragraph (49) to exempt housekeeping supplies from New York State sales
tax.
Section 2 through 6 amends the tax law to provide for the local option
for local governments to eliminate their portion of sales tax imposed on
housekeeping supplies.
Section 7 provides the effective date. Part D:
Section 1 amends Subdivision (a) of section 1115 of the Tax Law by
adding a new paragraph (1-a) to exempt ready-to-eat foods sold at
grocery stores, restaurants, diners, taverns, food trucks, catered food
and food sold at food courts from New York State sales tax.
Section 2 through 7 amends the tax law to provide for the local option
for local governments to eliminate their portion of the sales and
compensating use tax imposed on ready-to-eat foods sold at grocery
stores, restaurants, diners, taverns, food trucks, catered food and food
sold at food courts.
Section 7 provides the effective date.
Section 2 of the bill. Contains a severability clause.
Section 3 of the bill. Contains the effective date.
 
JUSTIFICATION:
Sales Tax is considered one of the most regressive taxes imposed on New
York State residents. Since the tax rate is applied uniformly on
purchases, lower-income households spend a greater share of their income
on sales tax than higher income households. As a result, the sales tax
burden placed on low-income households is significantly higher when
measured.
The COVID-19 pandemic disrupted nearly every aspect of the global supply
chain leading to a scarcity of a variety of everyday products consumers
rely on. This in turn has led to an increase in the cost of many every-
day needed products including motor fuel, personal care products, house-
keeping supplies, and food. The disruption in the supply chain has led
to significant increases in inflation and in the consumer price index
both nationally and in New York. Based on a 2020 Consumer Expenditure
survey conducted by the U.S. Bureau of Labor Statistics and the Consumer
Price Index for December 2022 released by the Bureau of Labor Statis-
tics, it is estimated that the average consumer saw a monthly increase
in costs of $221 and an average family of four saw a monthly increase of
$477 in December of 2022.
The increase of prices from the global supply chain shortage will also
impact New York's revenues. Since prices are increasing, New York is now
seeing increases in State revenues from Sales Tax. This sales tax wind-
fall also comes at a time when the State has received significant feder-
al funding of over $12 billion and has also seen a rebound of State tax
revenues particularly from personal income and business taxes. Specif-
ically, State tax receipts in State Fiscal Year (SFY) 2022-23 exceeded
the Financial Plan's Mid-Year Update forecast (November estimates) by
$7.3 billion through the end of November.
The windfall of additional State Sales Tax revenue from inflated prices
of goods should not be compounded on the backs of New York consumers.
The passage of this bill will allow New York consumers to purchase
products that are necessary for everyday like motor fuel, personal care
products, housekeeping supplies and prepared foods without the addi-
tional financial burden of State sales tax. This bill suspends, for
2-years, the State's 4% sales tax on products that families rely on
daily. As mentioned before, NYS has significant revenues to account for
the loss of Sales Tax revenue from the suspension provided in this bill.
Finally, this bill allows localities to also suspend their portion of
Sales Tax on these products, potentially providing additional savings to
consumers.
 
LEGISLATIVE HISTORY:
A.8481 of 2021-22, Held in Ways and Means
A.4558 of 2019-20, Held in Ways and Means.
A.6113 of 2017-18, Held in Ways and Means;
A.5216-A of 2015-16, Held in Ways and Means;
A.1574 of 2013-14, Held in Ways and Means;
A.10355 of 2012, Referred to Ways and Means
 
FISCAL IMPLICATIONS:
$2.6 billion in annual State Sales Tax savings to New York State consum-
ers.
 
EFFECTIVE DATE:
This act shall take effect immediately provided that the applicable
effective date of Parts A through D of this act shall be as specifically
set forth in the last section of such parts.
STATE OF NEW YORK
________________________________________________________________________
1690
2023-2024 Regular Sessions
IN ASSEMBLY
January 17, 2023
___________
Introduced by M. of A. BARCLAY, RA, TANNOUSIS, J. M. GIGLIO, BRABENEC,
BLANKENBUSH, GANDOLFO, TAGUE, WALSH, SMULLEN, SMITH, SIMPSON, NORRIS,
PALMESANO, REILLY, MANKTELOW, LEMONDES, HAWLEY, GOODELL, J. A. GIGLIO,
GALLAHAN, FRIEND, FITZPATRICK, DURSO, DeSTEFANO, ANGELINO, K. BROWN,
JENSEN, MIKULIN, MORINELLO, MILLER, BYRNES, McDONOUGH -- read once and
referred to the Committee on Ways and Means
AN ACT to amend the tax law, in relation to eliminating state sales and
compensating use taxes on motor fuels and diesel motor fuels and
authorizing localities to eliminate such taxes at the local level; and
providing for the repeal of such provisions upon expiration thereof
(Part A); to amend the tax law, in relation to exemptions from sales
and use taxes; and providing for the repeal of such provisions upon
expiration thereof (Part B); to amend the tax law, in relation to
providing a sales tax exemption for housekeeping supplies; and provid-
ing for the repeal of such provisions upon expiration thereof (Part
C); and to amend the tax law, in relation to providing a sales tax
exemption for ready-to-eat foods; and providing for the repeal of such
provisions upon expiration thereof (Part D)
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. This act enacts into law components of legislation relating
2 to establishing various exemptions from New York's sales and compensat-
3 ing use tax. Each component is wholly contained within a Part identi-
4 fied as Parts A through D. The effective date for each particular
5 provision contained within such Part is set forth in the last section of
6 such Part. Any provision in any section contained within a Part, includ-
7 ing the effective date of the Part, which makes a reference to a section
8 "of this act", when used in connection with that particular component,
9 shall be deemed to mean and refer to the corresponding section of the
10 Part in which it is found. Section three of this act sets forth the
11 general effective date of this act.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD05328-01-3
A. 1690 2
1 PART A
2 Section 1. Subdivision (a) of section 1115 of the tax law is amended
3 by adding a new paragraph 47 to read as follows:
4 (47) Motor fuel and diesel motor fuel.
5 § 2. Subdivision (b) of section 1107 of the tax law is amended by
6 adding a new clause 12 to read as follows:
7 (12) Except as otherwise provided by law, the exemption provided in
8 paragraph forty-seven of subdivision (a) of section eleven hundred
9 fifteen of this article relating to motor fuel and diesel motor fuel
10 shall be applicable pursuant to a local law, ordinance or resolution
11 adopted by a city subject to the provisions of this section. Such city
12 is empowered to adopt or repeal such a local law, ordinance or resol-
13 ution. Such adoption or repeal shall also be deemed to amend any local
14 law, ordinance or resolution enacted by such a city imposing taxes
15 pursuant to the authority of subdivision (a) of section twelve hundred
16 ten of this chapter.
17 § 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
18 amended by section 5 of part J of chapter 59 of the laws of 2021, is
19 amended to read as follows:
20 (1) Either, all of the taxes described in article twenty-eight of this
21 chapter, at the same uniform rate, as to which taxes all provisions of
22 the local laws, ordinances or resolutions imposing such taxes shall be
23 identical, except as to rate and except as otherwise provided, with the
24 corresponding provisions in such article twenty-eight, including the
25 definition and exemption provisions of such article, so far as the
26 provisions of such article twenty-eight can be made applicable to the
27 taxes imposed by such city or county and with such limitations and
28 special provisions as are set forth in this article. The taxes author-
29 ized under this subdivision may not be imposed by a city or county
30 unless the local law, ordinance or resolution imposes such taxes so as
31 to include all portions and all types of receipts, charges or rents,
32 subject to state tax under sections eleven hundred five and eleven
33 hundred ten of this chapter, except as otherwise provided. Notwith-
34 standing the foregoing, a tax imposed by a city or county authorized
35 under this subdivision shall not include the tax imposed on charges for
36 admission to race tracks and simulcast facilities under subdivision (f)
37 of section eleven hundred five of this chapter. (i) Any local law, ordi-
38 nance or resolution enacted by any city of less than one million or by
39 any county or school district, imposing the taxes authorized by this
40 subdivision, shall, notwithstanding any provision of law to the contra-
41 ry, exclude from the operation of such local taxes all sales of tangible
42 personal property for use or consumption directly and predominantly in
43 the production of tangible personal property, gas, electricity, refrig-
44 eration or steam, for sale, by manufacturing, processing, generating,
45 assembly, refining, mining or extracting; and all sales of tangible
46 personal property for use or consumption predominantly either in the
47 production of tangible personal property, for sale, by farming or in a
48 commercial horse boarding operation, or in both; and all sales of fuel
49 sold for use in commercial aircraft and general aviation aircraft; and,
50 unless such city, county or school district elects otherwise, shall omit
51 the provision for credit or refund contained in clause six of subdivi-
52 sion (a) or subdivision (d) of section eleven hundred nineteen of this
53 chapter. (ii) Any local law, ordinance or resolution enacted by any
54 city, county or school district, imposing the taxes authorized by this
55 subdivision, shall omit the residential solar energy systems equipment
A. 1690 3
1 and electricity exemption provided for in subdivision (ee), the commer-
2 cial solar energy systems equipment and electricity exemption provided
3 for in subdivision (ii), the commercial fuel cell electricity generating
4 systems equipment and electricity generated by such equipment exemption
5 provided for in subdivision (kk) and the clothing and footwear exemption
6 provided for in paragraph thirty of subdivision (a) of section eleven
7 hundred fifteen of this chapter, unless such city, county or school
8 district elects otherwise as to such residential solar energy systems
9 equipment and electricity exemption, such commercial solar energy
10 systems equipment and electricity exemption, commercial fuel cell elec-
11 tricity generating systems equipment and electricity generated by such
12 equipment exemption or such clothing and footwear exemption. (iii) Any
13 local law, ordinance or resolution enacted by any city, county or school
14 district, imposing the taxes authorized by this subdivision, shall omit
15 the motor fuel and diesel motor fuel exemption provided for in paragraph
16 forty-seven of subdivision (a) of section eleven hundred fifteen of this
17 chapter, unless such city, county or school district elects otherwise;
18 provided that if such a city having a population of one million or more
19 enacts the resolution described in subdivision (q) of this section or
20 repeals such resolution, such resolution or repeal shall also be deemed
21 to amend any local law, ordinance or resolution enacted by such a city
22 imposing such taxes pursuant to the authority of this subdivision,
23 whether or not such taxes are suspended at the time such city enacts its
24 resolution pursuant to subdivision (q) of this section or at the time of
25 any such repeal; provided, further, that any such local law, ordinance
26 or resolution and section eleven hundred seven of this chapter, as
27 deemed to be amended in the event a city of one million or more enacts a
28 resolution pursuant to the authority of subdivision (q) of this section,
29 shall be further amended, as provided in section twelve hundred eighteen
30 of this subpart, so that the motor fuel and diesel motor fuel exemption
31 in any such local law, ordinance or resolution or in such section eleven
32 hundred seven of this chapter is the same as the motor fuel and diesel
33 motor fuel exemption in paragraph forty-seven of subdivision (a) of
34 section eleven hundred fifteen of this chapter.
35 § 4. Subdivision (d) of section 1210 of the tax law, as amended by
36 section 4 of part WW of chapter 60 of the laws of 2016, is amended to
37 read as follows:
38 (d) A local law, ordinance or resolution imposing any tax pursuant to
39 this section, increasing or decreasing the rate of such tax, repealing
40 or suspending such tax, exempting from such tax the energy sources and
41 services described in paragraph three of subdivision (a) or of subdivi-
42 sion (b) of this section or changing the rate of tax imposed on such
43 energy sources and services or providing for the credit or refund
44 described in clause six of subdivision (a) of section eleven hundred
45 nineteen of this chapter, or electing or repealing the exemption for
46 residential solar equipment and electricity in subdivision (ee) of
47 section eleven hundred fifteen of this article, or the exemption for
48 commercial solar equipment and electricity in subdivision (ii) of
49 section eleven hundred fifteen of this article, or electing or repealing
50 the exemption for commercial fuel cell electricity generating systems
51 equipment and electricity generated by such equipment in subdivision
52 (kk) of section eleven hundred fifteen of this article must go into
53 effect only on one of the following dates: March first, June first,
54 September first or December first; provided, that a local law, ordinance
55 or resolution providing for the exemption described in paragraph thirty
56 of subdivision (a) of section eleven hundred fifteen of this chapter or
A. 1690 4
1 repealing any such exemption or a local law, ordinance or resolution
2 providing for a refund or credit described in subdivision (d) of section
3 eleven hundred nineteen of this chapter or repealing such provision so
4 provided must go into effect only on March first; provided, further,
5 that a local law, ordinance or resolution providing for the exemption
6 described in paragraph forty-seven of subdivision (a) of section eleven
7 hundred fifteen of this chapter or repealing any such exemption so
8 provided and a resolution enacted pursuant to the authority of subdivi-
9 sion (q) of this section providing such exemption or repealing such
10 exemption so provided may go into effect immediately. No such local law,
11 ordinance or resolution shall be effective unless a certified copy of
12 such law, ordinance or resolution is mailed by registered or certified
13 mail to the commissioner at the commissioner's office in Albany at least
14 ninety days prior to the date it is to become effective. However, the
15 commissioner may waive and reduce such ninety-day minimum notice
16 requirement to a mailing of such certified copy by registered or certi-
17 fied mail within a period of not less than thirty days prior to such
18 effective date if the commissioner deems such action to be consistent
19 with the commissioner's duties under section twelve hundred fifty of
20 this article and the commissioner acts by resolution. Where the
21 restriction provided for in section twelve hundred twenty-three of this
22 article as to the effective date of a tax and the notice requirement
23 provided for therein are applicable and have not been waived, the
24 restriction and notice requirement in section twelve hundred twenty-
25 three of this article shall also apply.
26 § 5. Section 1210 of the tax law is amended by adding a new subdivi-
27 sion (q) to read as follows:
28 (q) Notwithstanding any other provision of state or local law, ordi-
29 nance or resolution to the contrary:
30 (1) Any city having a population of one million or more in which the
31 taxes imposed by section eleven hundred seven of this chapter are in
32 effect, acting through its local legislative body, is hereby authorized
33 and empowered to elect to provide the exemption from such taxes for the
34 same motor fuel and diesel motor fuel exempt from state sales and
35 compensating use taxes described in paragraph forty-seven of subdivision
36 (a) of section eleven hundred fifteen of this chapter by enacting a
37 resolution in the form set forth in paragraph two of this subdivision;
38 whereupon, upon compliance with the provisions of subdivisions (d) and
39 (e) of this section, such enactment of such resolution shall be deemed
40 to be an amendment to such section eleven hundred seven and such section
41 eleven hundred seven shall be deemed to incorporate such exemption as if
42 it had been duly enacted by the state legislature and approved by the
43 governor.
44 (2) Form of Resolution: Be it enacted by the (insert proper title of
45 local legislative body) as follows:
46 Section one. Receipts from sales of and consideration given or
47 contracted to be given for purchases of motor fuel and diesel motor fuel
48 exempt from state sales and compensating use taxes pursuant to paragraph
49 forty-seven of subdivision (a) of section eleven hundred fifteen of the
50 tax law shall also be exempt from sales and compensating use taxes
51 imposed in this jurisdiction.
52 Section two. This resolution shall take effect, (insert the date) and
53 shall apply to sales made and uses occurring on and after that date
54 although made or occurring under a prior contract.
55 § 6. The commissioner of taxation and finance is hereby authorized to
56 implement the provisions of this act with respect to the elimination of
A. 1690 5
1 the imposition of sales tax, additional taxes, and supplemental taxes on
2 diesel motor fuel and motor fuel and all other taxes so addressed by
3 this act.
4 § 7. This act shall take effect on the first day of the sales tax
5 quarterly period, as described in subdivision (b) of section 1136 of the
6 tax law, next commencing at least 90 days after this act shall have
7 become a law and shall apply in accordance with the applicable transi-
8 tional provisions of sections 1106 and 1217 of the tax law and shall
9 expire and be deemed repealed two years after such date.
10 PART B
11 Section 1. Paragraph 3 of subdivision (a) of section 1115 of the tax
12 law, as amended by chapter 201 of the laws of 1976, is amended to read
13 as follows:
14 (3) Drugs and medicines intended for use, internally or externally, in
15 the cure, mitigation, treatment or prevention of illnesses or diseases
16 in human beings, medical equipment (including component parts thereof)
17 and supplies required for such use or to correct or alleviate physical
18 incapacity, and products consumed by humans for the preservation of
19 health but not including cosmetics [or toilet articles] notwithstanding
20 the presence of medicinal ingredients therein or medical equipment
21 (including component parts thereof) and supplies, other than such drugs
22 and medicines, purchased at retail for use in performing medical and
23 similar services for compensation.
24 § 2. Subdivision (a) of section 1115 of the tax law is amended by
25 adding a new paragraph 48 to read as follows:
26 (48) Personal care products as determined by the commissioner.
27 § 3. Subdivision (b) of section 1107 of the tax law is amended by
28 adding a new clause 13 to read as follows:
29 (13) Except as otherwise provided by law, the exemption provided in
30 paragraph forty-eight of subdivision (a) of section eleven hundred
31 fifteen of this article relating to personal care products shall be
32 applicable pursuant to a local law, ordinance or resolution adopted by a
33 city subject to the provisions of this section. Such city is empowered
34 to adopt or repeal such a local law, ordinance or resolution. Such
35 adoption or repeal shall also be deemed to amend any local law, ordi-
36 nance or resolution enacted by such a city imposing taxes pursuant to
37 the authority of subdivision (a) of section twelve hundred ten of this
38 chapter.
39 § 4. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
40 amended by section 5 of part J of chapter 59 of the laws of 2021, is
41 amended to read as follows:
42 (1) Either, all of the taxes described in article twenty-eight of this
43 chapter, at the same uniform rate, as to which taxes all provisions of
44 the local laws, ordinances or resolutions imposing such taxes shall be
45 identical, except as to rate and except as otherwise provided, with the
46 corresponding provisions in such article twenty-eight, including the
47 definition and exemption provisions of such article, so far as the
48 provisions of such article twenty-eight can be made applicable to the
49 taxes imposed by such city or county and with such limitations and
50 special provisions as are set forth in this article. The taxes author-
51 ized under this subdivision may not be imposed by a city or county
52 unless the local law, ordinance or resolution imposes such taxes so as
53 to include all portions and all types of receipts, charges or rents,
54 subject to state tax under sections eleven hundred five and eleven
A. 1690 6
1 hundred ten of this chapter, except as otherwise provided. Notwith-
2 standing the foregoing, a tax imposed by a city or county authorized
3 under this subdivision shall not include the tax imposed on charges for
4 admission to race tracks and simulcast facilities under subdivision (f)
5 of section eleven hundred five of this chapter. (i) Any local law, ordi-
6 nance or resolution enacted by any city of less than one million or by
7 any county or school district, imposing the taxes authorized by this
8 subdivision, shall, notwithstanding any provision of law to the contra-
9 ry, exclude from the operation of such local taxes all sales of tangible
10 personal property for use or consumption directly and predominantly in
11 the production of tangible personal property, gas, electricity, refrig-
12 eration or steam, for sale, by manufacturing, processing, generating,
13 assembly, refining, mining or extracting; and all sales of tangible
14 personal property for use or consumption predominantly either in the
15 production of tangible personal property, for sale, by farming or in a
16 commercial horse boarding operation, or in both; and all sales of fuel
17 sold for use in commercial aircraft and general aviation aircraft; and,
18 unless such city, county or school district elects otherwise, shall omit
19 the provision for credit or refund contained in clause six of subdivi-
20 sion (a) or subdivision (d) of section eleven hundred nineteen of this
21 chapter. (ii) Any local law, ordinance or resolution enacted by any
22 city, county or school district, imposing the taxes authorized by this
23 subdivision, shall omit the residential solar energy systems equipment
24 and electricity exemption provided for in subdivision (ee), the commer-
25 cial solar energy systems equipment and electricity exemption provided
26 for in subdivision (ii), the commercial fuel cell electricity generating
27 systems equipment and electricity generated by such equipment exemption
28 provided for in subdivision (kk) and the clothing and footwear exemption
29 provided for in paragraph thirty of subdivision (a) of section eleven
30 hundred fifteen of this chapter, unless such city, county or school
31 district elects otherwise as to such residential solar energy systems
32 equipment and electricity exemption, such commercial solar energy
33 systems equipment and electricity exemption, commercial fuel cell elec-
34 tricity generating systems equipment and electricity generated by such
35 equipment exemption or such clothing and footwear exemption. (iii) Any
36 local law, ordinance or resolution enacted by any city, county or school
37 district, imposing the taxes authorized by this subdivision, shall omit
38 the personal care products exemption provided for in paragraph forty-
39 eight of subdivision (a) of section eleven hundred fifteen of this chap-
40 ter, unless such city, county or school district elects otherwise;
41 provided that if such a city having a population of one million or more
42 enacts the resolution described in subdivision (r) of this section or
43 repeals such resolution, such resolution or repeal shall also be deemed
44 to amend any local law, ordinance or resolution enacted by such a city
45 imposing such taxes pursuant to the authority of this subdivision,
46 whether or not such taxes are suspended at the time such city enacts its
47 resolution pursuant to subdivision (r) of this section or at the time of
48 such repeal; provided, further, that any such local law, ordinance or
49 resolution and section eleven hundred seven of this chapter, as deemed
50 to be amended in the event a city of one million or more enacts a resol-
51 ution pursuant to the authority of subdivision (r) of this section,
52 shall be further amended, as provided in section twelve hundred eighteen
53 of this subpart, so that the personal care products exemption in any
54 such local law, ordinance or resolution or in such section eleven
55 hundred seven of this chapter is the same as the personal care products
A. 1690 7
1 exemption in paragraph forty-eight of subdivision (a) of section eleven
2 hundred fifteen of this chapter.
3 § 5. Subdivision (d) of section 1210 of the tax law, as amended by
4 section 4 of part WW of chapter 60 of the laws of 2016, is amended to
5 read as follows:
6 (d) A local law, ordinance or resolution imposing any tax pursuant to
7 this section, increasing or decreasing the rate of such tax, repealing
8 or suspending such tax, exempting from such tax the energy sources and
9 services described in paragraph three of subdivision (a) or of subdivi-
10 sion (b) of this section or changing the rate of tax imposed on such
11 energy sources and services or providing for the credit or refund
12 described in clause six of subdivision (a) of section eleven hundred
13 nineteen of this chapter, or electing or repealing the exemption for
14 residential solar equipment and electricity in subdivision (ee) of
15 section eleven hundred fifteen of this article, or the exemption for
16 commercial solar equipment and electricity in subdivision (ii) of
17 section eleven hundred fifteen of this article, or electing or repealing
18 the exemption for commercial fuel cell electricity generating systems
19 equipment and electricity generated by such equipment in subdivision
20 (kk) of section eleven hundred fifteen of this article must go into
21 effect only on one of the following dates: March first, June first,
22 September first or December first; provided, that a local law, ordinance
23 or resolution providing for the exemption described in paragraph thirty
24 of subdivision (a) of section eleven hundred fifteen of this chapter or
25 repealing any such exemption or a local law, ordinance or resolution
26 providing for a refund or credit described in subdivision (d) of section
27 eleven hundred nineteen of this chapter or repealing such provision so
28 provided must go into effect only on March first; provided, further,
29 that a local law, ordinance or resolution providing for the exemption
30 described in paragraph forty-eight of subdivision (a) of section eleven
31 hundred fifteen of this chapter or repealing any such exemption so
32 provided and a resolution enacted pursuant to the authority of subdivi-
33 sion (r) of this section providing such exemption or repealing such
34 exemption so provided may go into effect immediately. No such local law,
35 ordinance or resolution shall be effective unless a certified copy of
36 such law, ordinance or resolution is mailed by registered or certified
37 mail to the commissioner at the commissioner's office in Albany at least
38 ninety days prior to the date it is to become effective. However, the
39 commissioner may waive and reduce such ninety-day minimum notice
40 requirement to a mailing of such certified copy by registered or certi-
41 fied mail within a period of not less than thirty days prior to such
42 effective date if the commissioner deems such action to be consistent
43 with the commissioner's duties under section twelve hundred fifty of
44 this article and the commissioner acts by resolution. Where the
45 restriction provided for in section twelve hundred twenty-three of this
46 article as to the effective date of a tax and the notice requirement
47 provided for therein are applicable and have not been waived, the
48 restriction and notice requirement in section twelve hundred twenty-
49 three of this article shall also apply.
50 § 6. Section 1210 of the tax law is amended by adding a new subdivi-
51 sion (r) to read as follows:
52 (r) Notwithstanding any other provision of state or local law, ordi-
53 nance or resolution to the contrary: (1) Any city having a population of
54 one million or more in which the taxes imposed by section eleven hundred
55 seven of this chapter are in effect, acting through its local legisla-
56 tive body, is hereby authorized and empowered to elect to provide the
A. 1690 8
1 exemption from such taxes for the same personal care products exempt
2 from state sales and compensating use taxes described in paragraph
3 forty-eight of subdivision (a) of section eleven hundred fifteen of this
4 chapter by enacting a resolution in the form set forth in paragraph two
5 of this subdivision; whereupon, upon compliance with the provisions of
6 subdivisions (d) and (e) of this section, such enactment of such resol-
7 ution shall be deemed to be an amendment to such section eleven hundred
8 seven and such section eleven hundred seven shall be deemed to incorpo-
9 rate such exemption as if it had been duly enacted by the state legisla-
10 ture and approved by the governor.
11 (2) Form of resolution: Be it enacted by the (insert proper title of
12 local legislative body) as follows:
13 Section one. Receipts from sales of and consideration given or
14 contracted to be given for purchases of personal care products exempt
15 from state sales and compensating use taxes pursuant to paragraph
16 forty-eight of subdivision (a) of section eleven hundred fifteen of the
17 tax law shall also be exempt from sales and compensating use taxes
18 imposed in this jurisdiction.
19 Section two. This resolution shall take effect, (insert the date) and
20 shall apply to sales made and uses occurring on and after that date
21 although made or occurring under a prior contract.
22 § 7. The commissioner of taxation and finance is hereby authorized to
23 implement the provisions of this act with respect to the elimination of
24 the imposition of sales tax, additional taxes, and supplemental taxes on
25 personal care products and all other taxes so addressed by this act.
26 § 8. This act shall take effect on the first day of the sales tax
27 quarterly period, as described in subdivision (b) of section 1136 of the
28 tax law, beginning at least 90 days after the date this act shall have
29 become a law and shall apply in accordance with the applicable transi-
30 tional provisions of sections 1106 and 1217 of the tax law and shall
31 expire and be deemed repealed two years after such date.
32 PART C
33 Section 1. Subdivision (a) of section 1115 of the tax law is amended
34 by adding a new paragraph 49 to read as follows:
35 (49) Housekeeping supplies as determined by the commissioner.
36 § 2. Subdivision (b) of section 1107 of the tax law is amended by
37 adding a new clause 14 to read as follows:
38 (14) Except as otherwise provided by law, the exemption provided in
39 paragraph forty-nine of subdivision (a) of section eleven hundred
40 fifteen of this article relating to housekeeping supplies shall be
41 applicable pursuant to a local law, ordinance or resolution adopted by a
42 city subject to the provisions of this section. Such city is empowered
43 to adopt or repeal such a local law, ordinance or resolution. Such
44 adoption or repeal shall also be deemed to amend any local law, ordi-
45 nance or resolution enacted by such a city imposing taxes pursuant to
46 the authority of subdivision (a) of section twelve hundred ten of this
47 chapter.
48 § 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law,
49 as amended by section 5 of part J of chapter 59 of the laws of 2021, is
50 amended to read as follows:
51 (1) Either, all of the taxes described in article twenty-eight of this
52 chapter, at the same uniform rate, as to which taxes all provisions of
53 the local laws, ordinances or resolutions imposing such taxes shall be
54 identical, except as to rate and except as otherwise provided, with the
A. 1690 9
1 corresponding provisions in such article twenty-eight, including the
2 definition and exemption provisions of such article, so far as the
3 provisions of such article twenty-eight can be made applicable to the
4 taxes imposed by such city or county and with such limitations and
5 special provisions as are set forth in this article. The taxes author-
6 ized under this subdivision may not be imposed by a city or county
7 unless the local law, ordinance or resolution imposes such taxes so as
8 to include all portions and all types of receipts, charges or rents,
9 subject to state tax under sections eleven hundred five and eleven
10 hundred ten of this chapter, except as otherwise provided. Notwith-
11 standing the foregoing, a tax imposed by a city or county authorized
12 under this subdivision shall not include the tax imposed on charges for
13 admission to race tracks and simulcast facilities under subdivision (f)
14 of section eleven hundred five of this chapter. (i) Any local law, ordi-
15 nance or resolution enacted by any city of less than one million or by
16 any county or school district, imposing the taxes authorized by this
17 subdivision, shall, notwithstanding any provision of law to the contra-
18 ry, exclude from the operation of such local taxes all sales of tangible
19 personal property for use or consumption directly and predominantly in
20 the production of tangible personal property, gas, electricity, refrig-
21 eration or steam, for sale, by manufacturing, processing, generating,
22 assembly, refining, mining or extracting; and all sales of tangible
23 personal property for use or consumption predominantly either in the
24 production of tangible personal property, for sale, by farming or in a
25 commercial horse boarding operation, or in both; and all sales of fuel
26 sold for use in commercial aircraft and general aviation aircraft; and,
27 unless such city, county or school district elects otherwise, shall omit
28 the provision for credit or refund contained in clause six of subdivi-
29 sion (a) or subdivision (d) of section eleven hundred nineteen of this
30 chapter. (ii) Any local law, ordinance or resolution enacted by any
31 city, county or school district, imposing the taxes authorized by this
32 subdivision, shall omit the residential solar energy systems equipment
33 and electricity exemption provided for in subdivision (ee), the commer-
34 cial solar energy systems equipment and electricity exemption provided
35 for in subdivision (ii), the commercial fuel cell electricity generating
36 systems equipment and electricity generated by such equipment exemption
37 provided for in subdivision (kk) and the clothing and footwear exemption
38 provided for in paragraph thirty of subdivision (a) of section eleven
39 hundred fifteen of this chapter, unless such city, county or school
40 district elects otherwise as to such residential solar energy systems
41 equipment and electricity exemption, such commercial solar energy
42 systems equipment and electricity exemption, commercial fuel cell elec-
43 tricity generating systems equipment and electricity generated by such
44 equipment exemption or such clothing and footwear exemption. (iii) Any
45 local law, ordinance or resolution enacted by any city, county or school
46 district, imposing the taxes authorized by this subdivision, shall omit
47 the housekeeping supplies exemption provided for in paragraph forty-nine
48 of subdivision (a) of section eleven hundred fifteen of this chapter,
49 unless such city, county or school district elects otherwise; provided
50 that if such a city having a population of one million or more enacts
51 the resolution described in subdivision (s) of this section or repeals
52 such resolution, such resolution or repeal shall also be deemed to amend
53 any local law, ordinance or resolution enacted by such a city imposing
54 such taxes pursuant to the authority of this subdivision, whether or not
55 such taxes are suspended at the time such city enacts its resolution
56 pursuant to subdivision (s) of this section or at the time of such
A. 1690 10
1 repeal; provided, further, that any such local law, ordinance or resol-
2 ution and section eleven hundred seven of this chapter, as deemed to be
3 amended in the event a city of one million or more enacts a resolution
4 pursuant to the authority of subdivision (s) of this section, shall be
5 further amended, as provided in section twelve hundred eighteen of this
6 subpart, so that the housekeeping supplies exemption in any such local
7 law, ordinance or resolution or in such section eleven hundred seven of
8 this chapter is the same as the housekeeping supplies exemption in para-
9 graph forty-nine of subdivision (a) of section eleven hundred fifteen of
10 this chapter.
11 § 4. Subdivision (d) of section 1210 of the tax law, as amended by
12 section 4 of part WW of chapter 60 of the laws of 2016, is amended to
13 read as follows:
14 (d) A local law, ordinance or resolution imposing any tax pursuant to
15 this section, increasing or decreasing the rate of such tax, repealing
16 or suspending such tax, exempting from such tax the energy sources and
17 services described in paragraph three of subdivision (a) or of subdivi-
18 sion (b) of this section or changing the rate of tax imposed on such
19 energy sources and services or providing for the credit or refund
20 described in clause six of subdivision (a) of section eleven hundred
21 nineteen of this chapter, or electing or repealing the exemption for
22 residential solar equipment and electricity in subdivision (ee) of
23 section eleven hundred fifteen of this article, or the exemption for
24 commercial solar equipment and electricity in subdivision (ii) of
25 section eleven hundred fifteen of this article, or electing or repealing
26 the exemption for commercial fuel cell electricity generating systems
27 equipment and electricity generated by such equipment in subdivision
28 (kk) of section eleven hundred fifteen of this article must go into
29 effect only on one of the following dates: March first, June first,
30 September first or December first; provided, that a local law, ordinance
31 or resolution providing for the exemption described in paragraph thirty
32 of subdivision (a) of section eleven hundred fifteen of this chapter or
33 repealing any such exemption or a local law, ordinance or resolution
34 providing for a refund or credit described in subdivision (d) of section
35 eleven hundred nineteen of this chapter or repealing such provision so
36 provided must go into effect only on March first; provided, further,
37 that a local law, ordinance or resolution providing for the exemption
38 described in paragraph forty-nine of subdivision (a) of section eleven
39 hundred fifteen of this chapter or repealing any such exemption so
40 provided and a resolution enacted pursuant to the authority of subdivi-
41 sion (s) of this section providing such exemption or repealing such
42 exemption so provided may go into effect immediately. No such local law,
43 ordinance or resolution shall be effective unless a certified copy of
44 such law, ordinance or resolution is mailed by registered or certified
45 mail to the commissioner at the commissioner's office in Albany at least
46 ninety days prior to the date it is to become effective. However, the
47 commissioner may waive and reduce such ninety-day minimum notice
48 requirement to a mailing of such certified copy by registered or certi-
49 fied mail within a period of not less than thirty days prior to such
50 effective date if the commissioner deems such action to be consistent
51 with the commissioner's duties under section twelve hundred fifty of
52 this article and the commissioner acts by resolution. Where the
53 restriction provided for in section twelve hundred twenty-three of this
54 article as to the effective date of a tax and the notice requirement
55 provided for therein are applicable and have not been waived, the
A. 1690 11
1 restriction and notice requirement in section twelve hundred twenty-
2 three of this article shall also apply.
3 § 5. Section 1210 of the tax law is amended by adding a new subdivi-
4 sion (s) to read as follows:
5 (s) Notwithstanding any other provision of state or local law, ordi-
6 nance or resolution to the contrary: (1) Any city having a population of
7 one million or more in which the taxes imposed by section eleven hundred
8 seven of this chapter are in effect, acting through its local legisla-
9 tive body, is hereby authorized and empowered to elect to provide the
10 exemption from such taxes for the same housekeeping supplies exempt from
11 state sales and compensating use taxes described in paragraph forty-nine
12 of subdivision (a) of section eleven hundred fifteen of this chapter by
13 enacting a resolution in the form set forth in paragraph two of this
14 subdivision; whereupon, upon compliance with the provisions of subdivi-
15 sions (d) and (e) of this section, such enactment of such resolution
16 shall be deemed to be an amendment to such section eleven hundred seven
17 and such section eleven hundred seven shall be deemed to incorporate
18 such exemption as if it had been duly enacted by the state legislature
19 and approved by the governor.
20 (2) Form of resolution: Be it enacted by the (insert proper title of
21 local legislative body) as follows:
22 Section one. Receipts from sales of and consideration given or
23 contracted to be given for purchases of housekeeping supplies exempt
24 from state sales and compensating use taxes pursuant to paragraph
25 forty-nine of subdivision (a) of section eleven hundred fifteen of the
26 tax law shall also be exempt from sales and compensating use taxes
27 imposed in this jurisdiction.
28 Section two. This resolution shall take effect, (insert the date) and
29 shall apply to sales made and uses occurring on and after that date
30 although made or occurring under a prior contract.
31 § 6. The commissioner of taxation and finance is hereby authorized to
32 implement the provisions of this act with respect to the elimination of
33 the imposition of sales tax, additional taxes, and supplemental taxes on
34 housekeeping supplies and all other taxes so addressed by this act.
35 § 7. This act shall take effect on the first day of the sales tax
36 quarterly period, as described in subdivision (b) of section 1136 of the
37 tax law, beginning at least 90 days after the date this act shall have
38 become a law and shall apply in accordance with the applicable transi-
39 tional provisions of sections 1106 and 1217 of the tax law and shall
40 expire and be deemed repealed two years after such date.
41 PART D
42 Section 1. Subdivision (a) of section 1115 of the tax law is amended
43 by adding a new paragraph (1-a) to read as follows:
44 (1-a) Food which is sold heated or prepared, including food sold at
45 grocery stores, restaurants, diners, taverns, food trucks, and food
46 courts at a mall and food that is catered.
47 § 2. Subdivision (b) of section 1107 of the tax law is amended by
48 adding a new clause 15 to read as follows:
49 (15) Except as otherwise provided by law, the exemption provided in
50 paragraph one-a of subdivision (a) of section eleven hundred fifteen of
51 this article relating to heated or prepared foods shall be applicable
52 pursuant to a local law, ordinance or resolution adopted by a city
53 subject to the provisions of this section. Such city is empowered to
54 adopt or repeal such a local law, ordinance or resolution. Such adoption
A. 1690 12
1 or repeal shall also be deemed to amend any local law, ordinance or
2 resolution enacted by such a city imposing taxes pursuant to the author-
3 ity of subdivision (a) of section twelve hundred ten of this chapter.
4 § 3. Paragraph 1 of subdivision (a) of section 1210 of the tax law, as
5 amended by section 5 of part J of chapter 59 of the laws of 2021, is
6 amended to read as follows:
7 (1) Either, all of the taxes described in article twenty-eight of this
8 chapter, at the same uniform rate, as to which taxes all provisions of
9 the local laws, ordinances or resolutions imposing such taxes shall be
10 identical, except as to rate and except as otherwise provided, with the
11 corresponding provisions in such article twenty-eight, including the
12 definition and exemption provisions of such article, so far as the
13 provisions of such article twenty-eight can be made applicable to the
14 taxes imposed by such city or county and with such limitations and
15 special provisions as are set forth in this article. The taxes author-
16 ized under this subdivision may not be imposed by a city or county
17 unless the local law, ordinance or resolution imposes such taxes so as
18 to include all portions and all types of receipts, charges or rents,
19 subject to state tax under sections eleven hundred five and eleven
20 hundred ten of this chapter, except as otherwise provided. Notwith-
21 standing the foregoing, a tax imposed by a city or county authorized
22 under this subdivision shall not include the tax imposed on charges for
23 admission to race tracks and simulcast facilities under subdivision (f)
24 of section eleven hundred five of this chapter. (i) Any local law, ordi-
25 nance or resolution enacted by any city of less than one million or by
26 any county or school district, imposing the taxes authorized by this
27 subdivision, shall, notwithstanding any provision of law to the contra-
28 ry, exclude from the operation of such local taxes all sales of tangible
29 personal property for use or consumption directly and predominantly in
30 the production of tangible personal property, gas, electricity, refrig-
31 eration or steam, for sale, by manufacturing, processing, generating,
32 assembly, refining, mining or extracting; and all sales of tangible
33 personal property for use or consumption predominantly either in the
34 production of tangible personal property, for sale, by farming or in a
35 commercial horse boarding operation, or in both; and all sales of fuel
36 sold for use in commercial aircraft and general aviation aircraft; and,
37 unless such city, county or school district elects otherwise, shall omit
38 the provision for credit or refund contained in clause six of subdivi-
39 sion (a) or subdivision (d) of section eleven hundred nineteen of this
40 chapter. (ii) Any local law, ordinance or resolution enacted by any
41 city, county or school district, imposing the taxes authorized by this
42 subdivision, shall omit the residential solar energy systems equipment
43 and electricity exemption provided for in subdivision (ee), the commer-
44 cial solar energy systems equipment and electricity exemption provided
45 for in subdivision (ii), the commercial fuel cell electricity generating
46 systems equipment and electricity generated by such equipment exemption
47 provided for in subdivision (kk) and the clothing and footwear exemption
48 provided for in paragraph thirty of subdivision (a) of section eleven
49 hundred fifteen of this chapter, unless such city, county or school
50 district elects otherwise as to such residential solar energy systems
51 equipment and electricity exemption, such commercial solar energy
52 systems equipment and electricity exemption, commercial fuel cell elec-
53 tricity generating systems equipment and electricity generated by such
54 equipment exemption or such clothing and footwear exemption. (iii) Any
55 local law, ordinance or resolution enacted by any city, county or school
56 district, imposing the taxes authorized by this subdivision, shall omit
A. 1690 13
1 the hot or prepared food items exemption provided for in paragraph one-a
2 of subdivision (a) of section eleven hundred fifteen of this chapter,
3 unless such city, county or school district elects otherwise; provided
4 that if such a city having a population of one million or more enacts
5 the resolution described in subdivision (t) of this section or repeals
6 such resolution, such resolution or repeal shall also be deemed to amend
7 any local law, ordinance or resolution enacted by such a city imposing
8 such taxes pursuant to the authority of this subdivision, whether or not
9 such taxes are suspended at the time such city enacts its resolution
10 pursuant to subdivision (t) of this section or at the time of such
11 repeal; provided, further, that any such local law, ordinance or resol-
12 ution and section eleven hundred seven of this chapter, as deemed to be
13 amended in the event a city of one million or more enacts a resolution
14 pursuant to the authority of subdivision (t) of this section, shall be
15 further amended, as provided in section twelve hundred eighteen of this
16 subpart, so that the hot or prepared food items exemption in any such
17 local law, ordinance or resolution or in such section eleven hundred
18 seven of this chapter is the same as the hot or prepared food items
19 exemption in paragraph one-a of subdivision (a) of section eleven
20 hundred fifteen of this chapter.
21 § 4. Subdivision (d) of section 1210 of the tax law, as amended by
22 section 4 of part WW of chapter 60 of the laws of 2016, is amended to
23 read as follows:
24 (d) A local law, ordinance or resolution imposing any tax pursuant to
25 this section, increasing or decreasing the rate of such tax, repealing
26 or suspending such tax, exempting from such tax the energy sources and
27 services described in paragraph three of subdivision (a) or of subdivi-
28 sion (b) of this section or changing the rate of tax imposed on such
29 energy sources and services or providing for the credit or refund
30 described in clause six of subdivision (a) of section eleven hundred
31 nineteen of this chapter, or electing or repealing the exemption for
32 residential solar equipment and electricity in subdivision (ee) of
33 section eleven hundred fifteen of this article, or the exemption for
34 commercial solar equipment and electricity in subdivision (ii) of
35 section eleven hundred fifteen of this article, or electing or repealing
36 the exemption for commercial fuel cell electricity generating systems
37 equipment and electricity generated by such equipment in subdivision
38 (kk) of section eleven hundred fifteen of this article must go into
39 effect only on one of the following dates: March first, June first,
40 September first or December first; provided, that a local law, ordinance
41 or resolution providing for the exemption described in paragraph thirty
42 of subdivision (a) of section eleven hundred fifteen of this chapter or
43 repealing any such exemption or a local law, ordinance or resolution
44 providing for a refund or credit described in subdivision (d) of section
45 eleven hundred nineteen of this chapter or repealing such provision so
46 provided must go into effect only on March first; provided, further,
47 that a local law, ordinance or resolution providing for the exemption
48 described in paragraph one-a of subdivision (a) of section eleven
49 hundred fifteen of this chapter or repealing any such exemption so
50 provided and a resolution enacted pursuant to the authority of subdivi-
51 sion (t) of this section providing such exemption or repealing such
52 exemption so provided may go into effect immediately. No such local law,
53 ordinance or resolution shall be effective unless a certified copy of
54 such law, ordinance or resolution is mailed by registered or certified
55 mail to the commissioner at the commissioner's office in Albany at least
56 ninety days prior to the date it is to become effective. However, the
A. 1690 14
1 commissioner may waive and reduce such ninety-day minimum notice
2 requirement to a mailing of such certified copy by registered or certi-
3 fied mail within a period of not less than thirty days prior to such
4 effective date if the commissioner deems such action to be consistent
5 with the commissioner's duties under section twelve hundred fifty of
6 this article and the commissioner acts by resolution. Where the
7 restriction provided for in section twelve hundred twenty-three of this
8 article as to the effective date of a tax and the notice requirement
9 provided for therein are applicable and have not been waived, the
10 restriction and notice requirement in section twelve hundred twenty-
11 three of this article shall also apply.
12 § 5. Section 1210 of the tax law is amended by adding a new subdivi-
13 sion (t) to read as follows:
14 (t) Notwithstanding any other provision of state or local law, ordi-
15 nance or resolution to the contrary: (1) Any city having a population of
16 one million or more in which the taxes imposed by section eleven hundred
17 seven of this chapter are in effect, acting through its local legisla-
18 tive body, is hereby authorized and empowered to elect to provide the
19 exemption from such taxes for the same hot or prepared food items exempt
20 from state sales and compensating use taxes described in paragraph one-a
21 of subdivision (a) of section eleven hundred fifteen of this chapter by
22 enacting a resolution in the form set forth in paragraph two of this
23 subdivision; whereupon, upon compliance with the provisions of subdivi-
24 sions (d) and (e) of this section, such enactment of such resolution
25 shall be deemed to be an amendment to such section eleven hundred seven
26 and such section eleven hundred seven shall be deemed to incorporate
27 such exemption as if it had been duly enacted by the state legislature
28 and approved by the governor.
29 (2) Form of resolution: Be it enacted by the (insert proper title of
30 local legislative body) as follows:
31 Section one. Receipts from sales of and consideration given or
32 contracted to be given for purchases of hot or prepared food items
33 exempt from state sales and compensating use taxes pursuant to paragraph
34 one-a of subdivision (a) of section eleven hundred fifteen of this chap-
35 ter shall also be exempt from sales and compensating use taxes imposed
36 in this jurisdiction.
37 Section two. This resolution shall take effect, (insert the date) and
38 shall apply to sales made and uses occurring on and after that date
39 although made or occurring under a prior contract.
40 § 6. The commissioner of taxation and finance is hereby authorized to
41 implement the provisions of this act with respect to the elimination of
42 the imposition of sales tax, additional taxes, and supplemental taxes on
43 hot and prepared food items and all other taxes so addressed by this
44 act.
45 § 7. This act shall take effect on the first day of the sales tax
46 quarterly period, as described in subdivision (b) of section 1136 of the
47 tax law, beginning at least 90 days after the date this act shall have
48 become a law and shall apply in accordance with the applicable transi-
49 tional provisions of sections 1106 and 1217 of the tax law and shall
50 expire and be deemed repealed two years after such date.
51 § 2. Severability. If any clause, sentence, paragraph, section or part
52 of this act shall be adjudged by any court of competent jurisdiction to
53 be invalid and after exhaustion of all further judicial review, the
54 judgment shall not affect, impair, or invalidate the remainder thereof,
55 but shall be confined in its operation to the clause, sentence, para-
A. 1690 15
1 graph, section or part of this act directly involved in the controversy
2 in which the judgment shall have been rendered.
3 § 3. This act shall take effect immediately provided, however, that
4 the applicable effective date of Parts A through D of this act shall be
5 as specifically set forth in the last section of such Parts.