STATE OF NEW YORK ________________________________________________________________________ 9876 IN ASSEMBLY April 24, 2024 ___________ Introduced by M. of A. McDONALD -- read once and referred to the Commit- tee on Housing AN ACT to amend the public housing law, the tax law and the state finance law, in relation to establishing the shovel-ready housing program The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The public housing law is amended by adding a new section 2 150-a to read as follows: 3 § 150-a. Shovel-ready housing program. 1. No later than one year after 4 the effective date of this section, and after consultation with munici- 5 pal governments throughout the state, the division of housing and commu- 6 nity renewal shall establish a "shovel-ready housing program" under 7 which municipalities, excluding cities with a population of over one 8 million, and planning commissions of such municipalities, if any, at 9 their option, may pre-authorize parcels of property for the construction 10 of housing. 11 2. The commissioner shall promulgate rules, regulations, and reporting 12 requirements to establish the program pursuant to subdivision one of 13 this section. Factors considered shall include, but not be limited to, 14 environmental review, permitting, and local zoning. Nothing under such 15 program shall supersede local laws. The division of housing and communi- 16 ty renewal shall annually publish on its website a list of munici- 17 palities that have opted in to participate in such program. 18 3. In order for the division of housing and community renewal to 19 certify a municipality's participation in the program under subdivision 20 one of this section, such municipality shall pre-authorize parcels 21 sufficient to increase the number of housing units in such municipality 22 by at least one per centum or a minimum of ten units, whichever is 23 greater. 24 § 2. Section 606 of the tax law is amended by adding a new subsection 25 (n-3) to read as follows: 26 (n-3) Shovel-ready community tax rebate credit. (1) An individual 27 taxpayer who meets the eligibility standards in paragraph two of this EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD15072-01-4A. 9876 2 1 subsection shall be allowed a credit against the taxes imposed by this 2 article in the amount specified in paragraph three of this subsection 3 for the tax year following the year in the municipality in which such 4 individual resides being certified as participating in the shovel-ready 5 housing program established under section one hundred fifty-a of the 6 public housing law. 7 (2) To be eligible for the credit, the taxpayer (or taxpayers filing 8 joint returns) (i) shall own and primarily reside in real property 9 receiving either the STAR exemption authorized by section four hundred 10 twenty-five of the real property tax law or the school tax relief credit 11 authorized by subsection (eee) of this section, (ii) shall have had 12 qualified gross income no greater than two hundred fifty thousand 13 dollars in the tax year two thousand twenty, and (iii) reside in a muni- 14 cipality that has certified participation in the shovel-ready housing 15 program established under section one hundred fifty-a of the public 16 housing law. 17 (3) (i) For a taxpayer who owned and primarily resided in real proper- 18 ty receiving the basic STAR exemption or who received the basic STAR 19 credit, the amount of the credit shall equal the STAR tax savings asso- 20 ciated with such basic STAR exemption in the two thousand twenty-three- 21 -two thousand twenty-four school year, multiplied by the following 22 percentage: 23 For a taxpayer whose primary residence is located outside the city of 24 New York: 25 Qualified Gross Income Percentage 26 Not over $75,000 163% 27 Over $75,000 but not over $150,000 115% 28 Over $150,000 but not over $200,000 66% 29 Over $200,000 but not over $250,000 18% 30 Over $250,000 No credit 31 (ii) For a taxpayer who owned and primarily resided in real property 32 receiving the enhanced STAR exemption or who received the enhanced STAR 33 credit, the amount of the credit shall equal the STAR tax savings asso- 34 ciated with such enhanced STAR exemption in the two thousand twenty- 35 three--two thousand twenty-four school year, multiplied by sixty-six 36 percent if the taxpayer's primary residence is located outside the city 37 of New York, or one hundred ten percent if the taxpayer's primary resi- 38 dence is located within the city of New York. 39 (iii) In no case shall the amount of the credit allowed under this 40 subsection exceed the school district taxes due with respect to the 41 residence for that school year, nor shall any credit be allowed under 42 this subsection if the amount determined pursuant to this paragraph is 43 less than one hundred dollars. 44 (4) For purposes of this subsection: 45 (i) "Qualified gross income" means the adjusted gross income of the 46 qualified taxpayer for the taxable year as reported for federal income 47 tax purposes, or which would be reported as adjusted gross income if a 48 federal income tax return were required to be filed. In computing quali- 49 fied gross income, the net amount of loss reported on Federal Schedule 50 C, D, E, or F shall not exceed three thousand dollars per schedule. In 51 addition, the net amount of any other separate category of loss shall 52 not exceed three thousand dollars. The aggregate amount of all losses 53 included in computing qualified gross income shall not exceed fifteen 54 thousand dollars.A. 9876 3 1 (ii) "STAR tax savings" means the tax savings attributable to the 2 basic or enhanced STAR exemption, whichever is applicable, within a 3 portion of a school district, as determined by the commissioner pursuant 4 to subdivision two of section thirteen hundred six-a of the real proper- 5 ty tax law. 6 (5) If the amount of the credit allowed under this subsection shall 7 exceed the taxpayer's tax for the taxable year, the excess shall be 8 treated as an overpayment of tax to be credited or refunded in accord- 9 ance with the provisions of section six hundred eighty-six of this arti- 10 cle, provided, however, that no interest shall be paid thereon. For each 11 year this credit is allowed, on or before October fifteenth of such 12 year, or as soon thereafter as is practicable, the commissioner shall 13 determine the taxpayer's eligibility for this credit utilizing the 14 information available to the commissioner on the taxpayer's personal 15 income tax return filed for the taxable year two years prior to the 16 taxable year in which the credit is allowed. For those taxpayers whom 17 the commissioner has determined eligible for this credit, the commis- 18 sioner shall advance a payment in the amount specified in paragraph 19 three of this subsection, which payment shall be issued, to the greatest 20 extent practicable, by October thirty-first of each year the credit is 21 allowed. A taxpayer who has failed to receive an advance payment that 22 such taxpayer believes was due to such taxpayer, or who has received an 23 advance payment that such taxpayer believes is less than the amount that 24 was due to such taxpayer, may request payment of the claimed deficiency 25 in a manner prescribed by the commissioner. 26 (6) A taxpayer shall not be eligible for the credit allowed under this 27 subsection if the school district taxes levied upon the residence during 28 the taxable year remain unpaid sixty days after the last date on which 29 they could have been paid without interest, or in the case of a school 30 district where such taxes are payable in installments, if such taxes 31 remain unpaid sixty days after the last date on which the final install- 32 ment could have been paid without interest. If the taxes remain unpaid 33 on such sixtieth day, the amount of credit claimed by the taxpayer under 34 this subsection or the amount of advance payment of credit received by 35 the taxpayer pursuant to paragraph five of this subsection shall be 36 added back as tax on the income tax return for the taxable year in which 37 such sixtieth day occurs. 38 (7) Only one credit per residence shall be allowed per taxable year 39 under this subsection. When two or more members of a residence are able 40 to meet the qualifications for a qualified taxpayer, the credit shall be 41 equally divided between or among such individuals. In the case of spous- 42 es who file a joint federal return but who are required to determine 43 their New York taxes separately, the credit allowed pursuant to this 44 subsection may be applied against the tax of either or divided between 45 them as they may elect. 46 § 3. The state finance law is amended by adding a new section 54-n to 47 read as follows: 48 § 54-n. Grants to shovel-ready housing municipalities. 1. Annual 49 apportionment. During each fiscal year of the state, there shall be 50 apportioned and paid to cities, towns and villages, that have certified 51 participation in the shovel-ready housing program established under 52 section one hundred fifty-a of the public housing law from moneys appro- 53 priated by the state, infrastructure grants for the support of shovel 54 ready housing municipalities. Such funding apportioned and paid to each 55 qualified municipality shall be equal to double the municipalities'A. 9876 4 1 allotment of the consolidated local street and highway improvement 2 program (CHIPS) funds in the previous fiscal year enacted budget. 3 2. Use of funds. Grants to shovel-ready housing municipalities shall 4 be used for infrastructure purposes including, but not limited to road, 5 bridge, sewer, power generation and distribution, and broadband 6 projects. All other purposes shall be certified by the office of the 7 state comptroller to ensure funds are used for projects that facilitate 8 the construction of additional housing. 9 § 4. This act shall take effect immediately.