§ 1021-L — Exemption of the authority from taxation

New York § 1021-L

• Jurisdiction: New York
• Law PBA: Public Authorities
• Title 1-B: North Country Power Authority
• Art. 5: Public Utility Authorities

Text

§ 1021-l. Exemption of the authority from taxation. 1. It is hereby\nfound and declared that the operation of the authority is primarily for\nthe benefit of the people of the participating municipalities, counties\nand the state, for the improvement of their health, welfare and\nprosperity, and is a public purpose, and the authority shall be regarded\nas performing an essential governmental function in carrying out the\nprovisions of this title.\n 2. The authority shall be required to pay no taxes nor assessments\nupon any of the property acquired or controlled by it or upon its\nactivities in the operation and maintenance thereof or upon income\nderived therefrom, provided that nothing herein shall prevent the\nauthority from entering into agreements to make payments in lieu of\ntaxes.\n 3. The authority shall make payments in lieu of taxes to\nmunicipalities and school districts equal to the taxes and assessments\nwhich would have been received from year to year by such jurisdiction.\n 4. The authority shall also make payments in lieu of taxes for those\ntaxes which would otherwise be imposed upon a utility corporation\npursuant to: (a) section one hundred eighty-six-a and former section one\nhundred eighty-six of the tax law as such sections were in effect on\nDecember thirty-first, nineteen hundred ninety-nine; (b) any taxes\nimposed by a city within the authority's service area pursuant to the\nauthorization granted by section twenty-b of the general city law; and\n(c) any taxes imposed by a village within the authority's service area\npursuant to authorization granted by section 5-530 of the village law.\n 5. Notwithstanding the exemption in subdivision two of this section,\nthe authority shall also be subject to the assessments imposed pursuant\nto section eighteen-a of the public service law.\n 6. The securities issued by the authority, and the income therefrom\nshall, at all times, be free from taxation, except for estate and gift\ntaxes.\n 7. Nothing in this article shall relieve the authority from its\nobligations to register for sales tax purposes, collect state or local\nsales and compensating use taxes imposed by or pursuant to the authority\nof articles twenty-eight and twenty-nine of the tax law, and otherwise\ncomply with those articles on its sale of property or services.\n