Bill Text: NY S01041 | 2021-2022 | General Assembly | Introduced
Bill Title: Establishes a rent increase exemption for certain nonprofit organizations; provides a tax abatement for limiting rent increases on nonprofit organizations in a city of one million or more persons.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2022-01-05 - REFERRED TO CITIES 1 [S01041 Detail]
Download: New_York-2021-S01041-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 1041 2021-2022 Regular Sessions IN SENATE January 6, 2021 ___________ Introduced by Sen. RAMOS -- read twice and ordered printed, and when printed to be committed to the Committee on Cities 1 AN ACT to amend the real property tax law, in relation to establishing a nonprofit organization rent increase exemption The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Article 4 of the real property tax law is amended by adding 2 a new title 6 to read as follows: 3 TITLE 6 4 TAX ABATEMENT FOR LIMITING RENT INCREASES ON 5 NONPROFIT ORGANIZATIONS IN A CITY OF ONE MILLION OR MORE PERSONS 6 Section 499-aaaaa. Definitions. 7 499-bbbbb. Real property tax abatement. 8 499-ccccc. Eligibility requirements. 9 499-ddddd. Application for certificate of abatement. 10 499-eeeee. Enforcement and administration. 11 499-fffff. Reporting requirements; revocation of abatements. 12 499-ggggg. Tax lien; interest and penalty. 13 499-hhhhh. Confidentiality. 14 § 499-aaaaa. Definitions. When used in this title, the following terms 15 shall mean or include: 16 1. "Abatement base". The lesser of (a) two dollars and fifty cents of 17 the tax liability per square foot or (b) fifty per centum of the tax 18 liability per square foot. 19 2. "Abatement zone". Any area of a city having a population of one 20 million or more. Any tax lot that is partly located inside an abatement 21 zone shall be deemed to be entirely located inside such zone. 22 3. "Aggregate floor area". The sum of the gross areas of the several 23 floors of a building, measured from the exterior faces of exterior walls 24 or from the center lines of walls separating two buildings. 25 4. "Applicant". The landlord and the tenant. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD05068-01-1S. 1041 2 1 5. "Benefit period". The period commencing with the first day of the 2 month immediately following the rent commencement date and terminating 3 no later than one hundred twenty months thereafter. 4 6. "Billable assessed value". The lesser of the taxable transitional 5 or the taxable actual assessed value of the eligible building and the 6 land on which the eligible building is located for the fiscal year in 7 which the benefit period commences. 8 7. "Commercial activities". The buying, selling or otherwise providing 9 of goods or services by a nonprofit organization. 10 8. "Department of finance". The department of finance of any city 11 having a population of one million or more. 12 9. "Eligible building". With respect to the abatement zone defined in 13 subdivision two of this section, a non-residential or mixed-use building 14 which shall not include any building owned by a governmental agency. 15 Each condominium unit in a building that meets the requirements of this 16 subdivision shall be considered a separate eligible building. 17 10. "Eligibility period". The period commencing April first, two thou- 18 sand twenty-three and terminating March thirty-first, two thousand thir- 19 ty-three. 20 11. "Eligible premises". With respect to the abatement zone defined in 21 subdivision two of this section, premises located in an eligible build- 22 ing that (a) are occupied or used by a nonprofit organization and (b) 23 are occupied or used by a tenant under a lease that meets the eligibil- 24 ity requirements of section four hundred ninety-nine-ccccc of this 25 title. 26 12. "Fiscal year". The fiscal year of any city having a population of 27 one million or more. 28 13. "Governmental agency". The United States of America or any agency 29 or instrumentality thereof, the state of New York, the city of New York, 30 any public corporation (including a body corporate and politic created 31 pursuant to agreement or compact between the state of New York and any 32 other state), public benefit corporation, public authority or other 33 political subdivision of the state. 34 14. "Landlord". Any person who (a) controls all non-residential 35 portions of an eligible building, including, without limitation, the 36 record owner, the lessee under a ground lease, any mortgagee in 37 possession or any receiver, and (b) who grants the right to use or occu- 38 py eligible premises to any tenant, provided that landlord shall not 39 include any lessee who at any time during the lease term occupied or 40 used or occupies or uses any part of the non-residential portions of 41 such eligible building, other than premises occupied or used by such 42 lessee to provide rental or management services to such building. 43 15. "Lease commencement date". The date set forth in the lease on 44 which the term of the lease commences. 45 16. "Mixed-use building". A building used for both residential and 46 commercial activities or by a nonprofit organization, provided that more 47 than twenty-five per centum of the aggregate floor area of such building 48 is used or held out for use as commercial, community facility or acces- 49 sory use space. 50 17. "Person". An individual, corporation, limited liability company, 51 partnership, association, agency, trust, estate, foreign or domestic 52 government or subdivision thereof, nonprofit organization, or other 53 entity. 54 18. "Renewal tenant". A person who (a) occupies premises in an eligi- 55 ble building under a lease which expires during the eligibility period 56 and (b) executes a lease for the continued occupancy of all or part ofS. 1041 3 1 such premises or all or part of such premises and additional premises in 2 such eligible building, provided such premises are eligible premises and 3 such lease meets the eligibility requirements of section four hundred 4 ninety-nine-ccccc of this title. 5 19. "Rent commencement date". The date set forth in the lease on which 6 the obligation to pay basic fixed rent shall commence. 7 20. "Subtenant". A person whose right to occupy and use the eligible 8 premises is not derived from a lease with the landlord. 9 21. "Tax commission". The tax commission in any city having a popu- 10 lation of one million or more. 11 22. "Tax liability". The product obtained by multiplying the billable 12 assessed value for the fiscal year in which the benefit period commences 13 by the tax rate applicable to the eligible building for such fiscal year 14 as set by the local legislative body of any city having a population of 15 one million or more. 16 23. "Tax liability per square foot". The tax liability divided by the 17 total number of square feet in the eligible building, as listed on the 18 records of the department of finance. 19 24. "Tenant". A person, including any successors in interest, who 20 executes a lease with the landlord for the right to occupy or use the 21 eligible premises and who occupies or uses the eligible premises pursu- 22 ant to such lease. Tenant shall not include any subtenant. When used in 23 this title, "tenant" includes "renewal tenant". 24 25. "Tenant's percentage share". The percentage of the eligible 25 building's aggregate floor area allocated to the eligible premises, 26 which shall be presumed to be such percentage as set forth in the lease 27 for the eligible premises. 28 § 499-bbbbb. Real property tax abatement. 1. Within a city having a 29 population of one million or more, eligible buildings containing eligi- 30 ble premises shall receive an abatement of real property taxes during 31 the benefit period as follows: 32 (a) for each of the first five years of the benefit period, the abate- 33 ment shall be equal to the product obtained by (i) multiplying the 34 tenant's percentage share by the number of square feet in the eligible 35 building, as listed on the records of the department of finance and (ii) 36 multiplying the product obtained in subparagraph (i) of this paragraph 37 by the abatement base; 38 (b) for the sixth, seventh, and eighth year of the benefit period, the 39 abatement shall be equal to two-thirds of the abatement in the first 40 year of the benefit period; and 41 (c) for the ninth and tenth year of the benefit period, the abatement 42 shall be equal to one-third of the abatement in the first year of the 43 benefit period. 44 2. If, as a result of application to the tax commission or a court 45 order or action by the department of finance, the billable assessed 46 value is reduced, the department of finance shall recalculate the abate- 47 ment utilizing such reduced billable assessed value. The amount equal to 48 the difference between the abatement originally granted and the abate- 49 ment as so recalculated shall be deducted from any refund otherwise 50 payable or remission otherwise due as a result of such reduction in 51 billable assessed value, and any balance of such amount remaining unpaid 52 after making any such deduction shall be paid to the department of 53 finance within thirty days from the date of mailing by the department of 54 finance of a notice of the amount payable. Such amount payable shall 55 constitute a tax lien on the eligible building as of the date of such 56 notice and, if not paid within such thirty-day period, penalty andS. 1041 4 1 interest at the rate applicable to delinquent taxes on such eligible 2 building shall be charged and collected on such amount from the date of 3 such notice to the date of payment. 4 3. In no event shall the abatement for the eligible premises granted 5 pursuant to this title exceed the tax liability allocable to the eligi- 6 ble premises. 7 4. Notwithstanding the provisions of any lease for occupancy of non- 8 eligible premises in an eligible building or for occupancy of eligible 9 premises for which no certificate of abatement has been issued pursuant 10 to this title, a lessee of non-eligible premises or of eligible premises 11 for which no certificate of abatement has been issued pursuant to this 12 title shall not be entitled to receive directly or indirectly a 13 reduction in either the real property taxes or any rent (including addi- 14 tional rent) payable pursuant to such lease where such reduction would 15 result from an abatement of real property taxes granted pursuant to this 16 title. A landlord of an eligible building shall not allocate, credit, 17 assign or disburse any portion of an abatement granted pursuant to this 18 title to a lessee of non-eligible premises or of eligible premises for 19 which no certificate of abatement has been issued pursuant to this 20 title. A landlord shall not be required to reduce the real property 21 taxes or any rent (including additional rent) payable by renewal tenants 22 by an amount that exceeds the full amount of the abatement granted 23 pursuant to this title, but a landlord shall be required to reduce the 24 real property taxes or any rent (including additional rent) payable by 25 renewal tenants by an amount that, in the aggregate, equals the full 26 amount of the abatement granted pursuant to this title. Such reduction 27 shall be allocated in accordance with the abatement granted for the 28 eligible premises occupied by each such tenant. 29 5. A tenant who occupies or uses eligible premises for which a certif- 30 icate of abatement is issued pursuant to this title shall not be eligi- 31 ble to receive a second certificate of abatement for the same eligible 32 premises. A tenant who occupies or uses eligible premises for which a 33 certificate of abatement is issued pursuant to this title and who, upon 34 the expiration of the lease for such eligible premises, relocates to 35 otherwise eligible premises, shall not be eligible to receive a certif- 36 icate of abatement for such otherwise eligible premises, except to the 37 extent that the square footage of such otherwise eligible premises 38 exceeds the square footage of all eligible premises previously occupied 39 or used by such tenant for which such tenant held a certificate of 40 abatement. If the square footage of such otherwise eligible premises 41 exceeds the square footage of all such eligible premises previously 42 occupied or used by such tenant and if there is any variation in the tax 43 liability per square foot of such otherwise eligible premises, then, for 44 purposes of determining which square footage in such otherwise eligible 45 premises is entitled to an abatement pursuant to this title, square 46 footage with the greatest tax liability per square foot, in an amount 47 equal to the square footage of all such eligible premises previously 48 occupied or used by such tenant, shall first be excluded. 49 § 499-ccccc. Eligibility requirements. 1. No abatement shall be grant- 50 ed pursuant to this title unless: 51 (a) the landlord enters into a ten year lease for eligible premises 52 with a tenant; and 53 (b) such landlord includes within such lease with a tenant a renewal 54 clause that limits a rent increase to no more than three percent annual- 55 ly.S. 1041 5 1 2. No abatement shall be granted pursuant to this title if an appli- 2 cant shall fail to meet any of the requirements of this title within 3 sixty days of the rent commencement date. 4 3. For purposes of this title, the expiration date of a lease shall be 5 determined by the expiration date set forth in such lease, without 6 giving effect to any rights of the landlord or the tenant to terminate 7 such lease prior to the expiration date set forth therein. 8 4. The lease for the eligible premises shall contain the following 9 provisions: 10 (a) a statement of the tenant's percentage share; 11 (b) a statement certifying the percentage of eligible premises occu- 12 pied or used by a nonprofit organization; and 13 (c) a statement informing the tenant in at least twelve-point type 14 that: 15 (1) an application for abatement of real property taxes pursuant to 16 this title will be made for the premises; 17 (2) the rent, including amounts payable by the tenant for real proper- 18 ty taxes, will accurately reflect any abatement of real property taxes 19 granted pursuant to this title for the premises; 20 (3) a renewal of the lease will not increase rent by more than three 21 percent annually pursuant to the lease agreement; 22 (4) all abatements granted with respect to a building pursuant to this 23 title will be revoked if, during the benefit period, real estate taxes 24 or water or sewer charges or other lienable charges are unpaid for more 25 than one year, unless such delinquent amounts are paid as provided in 26 subdivision four of section four hundred ninety-nine-fffff of this 27 title; and 28 (5) all benefits granted with respect to eligible premises will be 29 reduced if, during the benefit period, the aggregate floor area of such 30 eligible premises occupied or used by a nonprofit organization is 31 reduced. 32 5. No abatement shall be granted pursuant to this title if: 33 (a) the lease for the eligible premises provides that during the 34 initial lease term required by subdivision one of this section either 35 the landlord or the tenant may terminate such lease prior to the expira- 36 tion date of such required initial lease term; provided that such lease 37 may provide that either the landlord or the tenant may terminate such 38 lease if (1) the other party is in default of any of such party's obli- 39 gations under the lease, (2) the eligible premises are damaged or 40 destroyed by fire or other casualty, (3) the eligible premises are 41 rendered unusable for any reason not attributable to any act or failure 42 to act of either tenant or landlord, or (4) the eligible premises are 43 acquired by eminent domain; and 44 (b) there are real property taxes, water or sewer charges or other 45 lienable charges currently due and owing on the eligible building which 46 is the subject of an application for abatement pursuant to this title, 47 unless such real property taxes or charges are currently being paid in 48 timely installments pursuant to a written agreement with the department 49 of finance or other appropriate agency. 50 6. No abatement shall be granted pursuant to this title unless the 51 applicant shall file, together with the application, an affidavit 52 setting forth the following information: 53 (a) a statement that within the seven years immediately preceding the 54 date of application for a certificate of abatement, neither the appli- 55 cant nor any person owning a substantial interest in the eligible build- 56 ing as defined in paragraph (c) of this subdivision, nor any officer,S. 1041 6 1 director or general partner of the applicant or such person was finally 2 adjudicated by a court of competent jurisdiction to have violated 3 section two hundred thirty-five of the real property law or any section 4 of article one hundred fifty of the penal law or any similar arson law 5 of another jurisdiction with respect to any building, or was an officer, 6 director or general partner of a person at the time such person was 7 finally adjudicated to have violated such law; and 8 (b) a statement setting forth any pending charges alleging violation 9 of section two hundred thirty-five of the real property law or any 10 section of article one hundred fifty of the penal law or any similar 11 arson law of another jurisdiction with respect to any building by the 12 applicant or any person owning a substantial interest in the eligible 13 building as defined in paragraph (c) of this subdivision, or any offi- 14 cer, director or general partner of the applicant or such person, or any 15 person for whom the applicant or person owning a substantial interest in 16 the eligible building is an officer, director or general partner. 17 (c) For purposes of this subdivision and subdivision seven of section 18 four hundred ninety-nine-fffff of this title, "substantial interest" 19 shall mean ownership and control of an interest of ten per centum or 20 more in the eligible building or in any person owning the eligible 21 building. 22 § 499-ddddd. Application for certificate of abatement. 1. Application 23 for a certificate of abatement may be made on or after April first, two 24 thousand twenty-two and until sixty days after the end of the eligibil- 25 ity period. Applications shall be filed with the department of finance. 26 No application may be filed prior to the date on which the lease for the 27 eligible premises is executed by the landlord and tenant. 28 2. No abatement pursuant to this title shall be granted unless the 29 applicant files an application for a certificate of abatement within 30 sixty days following the lease commencement date. 31 3. In addition to any other information required by the department of 32 finance, the application for a certificate of abatement shall include an 33 abstract of the lease for the eligible premises for which an abatement 34 is being sought, which abstract is signed by the landlord and the 35 tenant. Such abstract shall include the tenant's percentage share, the 36 lease commencement date, the rent commencement date, the expiration date 37 for such lease and a description of the lease renewal clause, including 38 the annual rent increase percentage. Such application shall also include 39 (a) a statement of the number of persons who will, on the rent commence- 40 ment date, be employed in the eligible premises, (b) a statement of the 41 location of all commercial space in the city of New York occupied by the 42 tenant prior to the execution of the lease for the eligible premises, 43 (c) the commencement and expiration dates of all leases for eligible 44 premises, and (d) the aggregate floor area of the eligible building. 45 Such application shall also state that the applicant agrees to comply 46 with and be subject to the rules issued from time to time by the depart- 47 ment of finance. 48 4. Within one hundred eighty days following the lease commencement 49 date, the applicant shall provide, in addition to any other information 50 required by the department of finance, evidence acceptable to the 51 department of finance of the number of employees in the eligible prem- 52 ises. The department of finance shall issue a certificate of abatement 53 upon determining that the applicant has submitted proof acceptable to 54 the department of finance that the applicant has met the requirements 55 set forth in this title.S. 1041 7 1 5. The burden of proof shall be on the applicant to show by clear and 2 convincing evidence that the requirements for granting a certificate of 3 abatement have been satisfied. The department of finance shall have the 4 authority to require that statements in connection with such application 5 be made under oath. 6 6. The department of finance may provide by rule for reasonable admin- 7 istrative charges or fees necessary to defray expenses in administering 8 the abatement program provided by this title. 9 § 499-eeeee. Enforcement and administration. The department of finance 10 shall have, in addition to any other functions, powers and duties which 11 have been or may be conferred on it by law, the following functions, 12 powers and duties: 13 1. To receive and review applications for certificates of abatement 14 under this title and issue such certificates where authorized pursuant 15 to this title. 16 2. To receive all certificates of continuing eligibility required by 17 section four hundred ninety-nine-fffff of this title. 18 3. To collect all real property taxes, with interest and penalty, due 19 and owing as a result of reduction, termination or revocation of any 20 abatement granted pursuant to this title. 21 4. To make and promulgate rules to carry out the purposes of this 22 title. 23 § 499-fffff. Reporting requirements; revocation of abatements. 1. For 24 the duration of the applicant's benefit period, the applicant shall file 25 annually with the department of finance, on or before July first of each 26 year, a certificate of continuing eligibility confirming that the eligi- 27 ble premises are occupied by the tenant who originally executed the 28 lease and that the eligible premises are being used for the purposes 29 described in the application. Such certificate of continuing eligibil- 30 ity shall be on a form prescribed by the department of finance and shall 31 contain such additional information as the department of finance shall 32 require. The department of finance shall have the authority to terminate 33 abatements granted pursuant to this title upon failure of an applicant 34 to file such certificate by such July first date. The burden of proof 35 shall be on the applicant to establish continuing eligibility for bene- 36 fits and the department of finance shall have the authority to require 37 that statements made in such certificate shall be made under oath. 38 2. The department of finance shall revoke any abatement granted pursu- 39 ant to this title when the tenant who originally executed the lease is 40 no longer occupying the eligible premises. Such revocation shall be 41 retroactive to the date that such tenant vacated the eligible premises 42 and the department of finance shall require the landlord to pay, with 43 interest, any taxes which become payable as a result of such revocation. 44 The landlord shall notify the department of finance within thirty days 45 following the date on which such tenant vacated the eligible premises 46 and, for failure to comply with this notification requirement, shall be 47 liable for penalty calculated for the same period as interest is calcu- 48 lated pursuant to the preceding sentence. 49 3. If any portion of the premises for which an abatement has been 50 granted pursuant to this title ceases to be occupied or used as eligible 51 premises or is occupied by a subtenant, the department of finance shall 52 reduce the abatement granted pursuant to this title by an amount equal 53 to the percentage of such eligible premises which has ceased to be occu- 54 pied or used as eligible premises or is occupied by a subtenant. Such 55 reduction shall be retroactive to the date that such premises ceased to 56 be occupied or used as eligible premises or was occupied by a subtenant,S. 1041 8 1 and the department of finance shall require the landlord to pay, with 2 interest, any taxes which become payable as a result of such reduction. 3 The landlord shall notify the department of finance within thirty days 4 following the date on which the premises ceased to be occupied or used 5 as eligible premises or was occupied by a subtenant and, for failure to 6 comply with this notification requirement, shall be liable for penalty 7 calculated for the same period as interest is calculated pursuant to the 8 preceding sentence. 9 4. If, during the benefit period, any real property tax or water or 10 sewer charge or other lienable charge due and payable with respect to an 11 eligible building shall remain unpaid for at least one year following 12 the date upon which such tax or charge became due and payable, all 13 abatements granted pursuant to this title with respect to such building 14 shall be revoked, unless within thirty days from the mailing of a notice 15 of revocation by the department of finance satisfactory proof is 16 presented to the department of finance that any and all delinquent taxes 17 and charges owing with respect to such building as of the date of such 18 notice have been paid in full or are currently being paid in timely 19 installments pursuant to a written agreement with the department of 20 finance or other appropriate agency. Any revocation pursuant to this 21 subdivision shall be effective with respect to real property taxes which 22 become due and payable following the date of such revocation. 23 5. The department of finance may deny, reduce, suspend, terminate or 24 revoke any abatement granted pursuant to this title whenever: 25 (a) the landlord or the tenant receiving abatement pursuant to this 26 title fails to comply with the requirements of this title or the rules 27 promulgated hereunder; or 28 (b) an application, certificate, report or other document submitted by 29 the applicant contains a false or misleading statement as to a material 30 fact or omits to state any material fact necessary in order to make the 31 statement therein not false or misleading, and may declare any applicant 32 who makes such false or misleading statement or omission to be ineligi- 33 ble for future abatement pursuant to this title for the same or other 34 property. In addition, the department of finance shall require the 35 applicant to pay, with penalty and interest, any abatement received 36 pursuant to this title as a result of such false or misleading statement 37 or omission of a material fact. 38 6. Notwithstanding any other provision of this title, the department 39 of finance shall deny, terminate or revoke any abatement applied for or 40 granted pursuant to this title upon a determination that the lease 41 between the landlord and the tenant does not constitute a bona fide 42 arm's length lease. In making such determination, the department of 43 finance may consider, among other factors, the relationship, if any, 44 between the landlord and the tenant and whether the business terms of 45 such lease are consistent with the business terms generally found in 46 leases for comparable space. 47 7. (a) If any person described in the statement required by paragraph 48 (b) of subdivision six of section four hundred ninety-nine-ccccc of this 49 title or paragraph (b) of this subdivision is finally adjudicated by a 50 court of competent jurisdiction to be guilty of any charge listed in 51 such statement, the department of finance shall revoke the abatement 52 granted pursuant to this title and shall require the payment, with 53 interest, of any abatement received pursuant to this title. 54 (b) The applicant shall, on the certificate of continuing eligibility, 55 state whether any charges alleging violation by the applicant or any 56 person owning a substantial interest in the eligible building, or anyS. 1041 9 1 officer, director or general partner of the applicant or person owning a 2 substantial interest in the eligible building, or any person for whom 3 the applicant or person owning a substantial interest in the eligible 4 building is an officer, director or general partner, of section two 5 hundred thirty-five of the real property law or any section of article 6 one hundred fifty of the penal law or any similar arson law of another 7 jurisdiction, are pending. For purposes of this paragraph, "substantial 8 interest" shall have the same meaning as set forth in paragraph (c) of 9 subdivision six of section four hundred ninety-nine-ccccc of this title. 10 § 499-ggggg. Tax lien; interest and penalty. All taxes, with interest, 11 required to be paid retroactively pursuant to this title shall consti- 12 tute a tax lien as of the date it is determined such taxes and interest 13 are owed. All interest shall be calculated from the date the taxes would 14 have been due but for the abatement granted pursuant to this title at 15 the applicable rate or rates of interest imposed by such city generally 16 for non-payment of real property tax with respect to the eligible build- 17 ing for the period in question. When a provision of this title requires 18 the payment of a penalty in addition to interest, the amount of such 19 penalty shall be equal to the amount of interest that would have been 20 payable pursuant to such provision had such interest been calculated at 21 the rate of three percent per annum. 22 § 499-hhhhh. Confidentiality. 1. Except in accordance with a proper 23 judicial order or as otherwise provided by law, it shall be unlawful for 24 the commissioner of finance, any officer or employee of the department 25 of finance, the president or a commissioner or employee of the tax 26 commission, any person engaged or retained by such department or such 27 commission on an independent contract basis, or any person who, pursuant 28 to this title, is permitted to inspect any information submitted by an 29 applicant to the department of finance pursuant to this title or to whom 30 a copy, an abstract or a portion of any such information is furnished, 31 to divulge or make known in any manner any such information to any 32 person not authorized pursuant to this title to inspect such informa- 33 tion. The officers charged with custody of such information shall not be 34 required to produce any of it or evidence of anything contained in it in 35 any action or proceeding in any court except on behalf of the commis- 36 sioner of finance in an action or proceeding under the provisions of 37 this title, or on behalf of any party to any action or proceeding under 38 the provisions of this title when such information or facts shown there- 39 by are directly involved in such action or proceeding, in either of 40 which events the court may require the production of, and may admit in 41 evidence so much of such information or of the facts shown thereby, as 42 are pertinent to the action or proceeding and no more. Nothing herein 43 shall be construed to prohibit the inspection by the legal represen- 44 tatives of the department of finance or the tax commission of such 45 information submitted by any applicant who shall bring an action to 46 correct an assessment. Nothing herein shall be construed to prohibit 47 the delivery to an applicant or the applicant's duly authorized repre- 48 sentative of a certified copy of any information submitted by an appli- 49 cant to the department of finance pursuant to this title; or to any 50 agency or any department of any city having a population of one million 51 or more provided the same is requested for official business; nor to 52 prohibit the inspection for official business of such information by the 53 corporation counsel or other legal representatives of a city having a 54 population of one million or more or by the district attorney of any 55 county within such city; nor to prohibit the publication of statistics 56 so classified as to prevent the identification of such information orS. 1041 10 1 particular items thereof. Information submitted by an applicant to the 2 department of finance pursuant to this title shall not be subject to 3 disclosure pursuant to article six of the public officers law. 4 2. Any violation of the provisions of subdivision one of this section 5 shall be punishable by a fine not exceeding one thousand dollars or by 6 imprisonment not exceeding one year, or both, at the discretion of the 7 court, and if the offender be an officer or employee of the department 8 of finance or of the tax commission, the offender shall be dismissed 9 from office. 10 § 2. This act shall take effect immediately.
