Resolution calling upon the Governor of New York State to sign legislation extending the compliance period during which to obtain a tax abatement for solar electric generating systems.

Res. No. 422

Resolution calling upon the Governor of New York State to sign legislation extending the compliance period during which to obtain a tax abatement for solar electric generating systems.

By Council Members Williams, Barron, Chin, Constantinides, Koo, Levine, Mendez, Richards, Rodriguez and Ulrich

Whereas, The City of New York is committed to reducing greenhouse gas emissions and providing cleaner energy for all New Yorkers; and

Whereas, The use of solar electric generating systems assist in accomplishing that goal; and

Whereas, Installing solar electric generating systems in the City of New York costs approximately twenty-five percent more than doing so in other parts of the State, according to the New York State Energy Research and Development Authority; and

Whereas, A property tax abatement is necessary to offset the costs of installation in the City of New York and to promote clean energy investment; and

Whereas, Section 499-bbb of the State Real Property Tax law currently provides a property tax abatement to certain properties that install or have installed solar electric generating systems; and

Whereas, The law provides for a tax abatement at varying levels depending on the date of the system’s installation; and

Whereas, Prior to January 1, 2011, the applicable tax abatement in each year was the lesser of: 1) eight and three-quarters percent of eligible installation expenditures; 2) the amount of taxes payable in that year; or 3) sixty-two thousand and five hundred dollars; and

Whereas, Between January 1, 2011, and December 31, 2012, the applicable tax abatement in each year was the lesser of: 1) five percent of eligible installation expenditures; 2) the amount of taxes payable in that year; or 3) sixty-two thousand and five hundred dollars; and

Whereas, Between January 1, 2013, and December 31, 2014, the applicable tax abatement in each year was the lesser of: 1) two and a half percent of eligible installation expenditures; 2) the amount of taxes payable in that year; or 3) sixty-two thousand and five hundred dollars; and

Whereas, Since the abatement was first made available in 2008, approximately one thousand two hundred and sixty solar electric generating systems have been installed in the City of New York; and

Whereas, The New York State Legislature has passed legislation, specifically Assembly bill A.9680-A and Senate bill S.7464-A, that would extend the availability of the abatement to solar electric generating systems installed between January 1, 2015, and December 31, 2016; and

Whereas, This legislation would provide a property tax abatement each year in the amount of the lesser of 1) five percent of eligible installation expenditures; 2) the amount of taxes payable in that year; or 3) sixty-two thousand and five hundred dollars; and

Whereas, The legislation has been delivered to the Governor, but it has not yet been signed by the Governor; now, therefore, be it

Resolved, That the Council of the City of New York calls upon the Governor of New York State to sign legislation extending the compliance period during which to obtain a tax abatement for solar electric generating systems.

RC 09-18-2014

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