§ 489-II — Local reproduction cost

New York § 489-II

• Jurisdiction: New York
• Law RPT: Real Property Tax
• Title 2-B: Railroad Real Property of Interstate Railroad Companies
• Art. 4: Exemptions

Text

§ 489-ii. Local reproduction cost. 1. The commissioner shall determine\nthe local reproduction cost for each railroad company in each assessing\nunit as follows:\n (a) Ascertain in each assessing unit the cost of reproduction new less\ndepreciation of the railroad real property other than land;\n (b) Ascertain in each assessing unit the value of the land portion of\nrailroad real property and the value of rights in land in, above and\nunder any public street, highway or parkway used by such railroad\ncompany;\n (c) Add the amounts ascertained under paragraphs (a) and (b) above for\neach assessing unit. The result shall be the local reproduction cost.\n 2. Local reproduction cost and the state equalization rates used in\nestablishing railroad ceilings shall be based so far as practicable upon\nthe same period price levels.\n 3. In making determinations under this section, the commissioner shall\nclassify the real property of each railroad company as either\ntransportation or non-transportation so far as may be practicable and\nshall consider the manner in which such property is classified as\nproperty used for transportation purposes in accounts maintained\npursuant to the uniform system of accounts for railroad companies as\nprescribed by the interstate commerce commission and the commissioner of\ntransportation and in the publication of the interstate commerce\ncommission entitled "Elements of Value of Property Used in Common\nCarrier Service" as well as information available from other sources,\nincluding reports required pursuant to section four hundred\neighty-nine-nn of this chapter.\n 4. In ascertaining depreciation of property under this section,\nconsideration may be given to physical condition, average service lives\nof groups of property and other factors, which however, shall not\ninclude earnings.\n 5. As used in this section, the term "value of land" means the value\nof similar land in the immediate vicinity used for other than railroad\ntransportation purposes and the term "value of rights in land in, above\nand under any public street, highway or parkway" means ten per cent of\nthe value of land in the immediate vicinity used for other than railroad\ntransportation purposes.\n 6. The determinations made under this section shall reflect so far as\nmay be practicable the status of the property as of December\nthirty-first of the preceding year.\n 7. In determining local reproduction cost for purposes of railroad\nceilings determined for assessment rolls filed on or after January\nfirst, two thousand three, grading shall be deemed a depreciable asset.\nThe allowance for depreciation of grading shall be eighteen percent for\neach year in service up to a total of ninety percent.\n 8. In determining local reproduction cost for purposes of railroad\nceilings determined for assessment rolls filed on or after January\nfirst, two thousand three, the commissioner shall not include a factor\nfor any construction overhead in its calculation, nor shall such\noverhead costs be included for any new construction begun on or after\nthe effective date of this subdivision.\n 9. In determining a local reproduction cost for purposes of railroad\nceilings established for assessment rolls filed in two thousand three,\nthe commissioner shall allow for increased depreciation of railroad\ntrack. For high speed/high tonnage track and medium speed/high tonnage\ntrack, whether main track or side track, depreciation shall be increased\nto seventy-five percent. For low speed/medium tonnage track, whether\nmain track or side track, depreciation shall be increased to eighty-five\npercent. For low speed/low tonnage track, whether main track or side\ntrack, depreciation shall be increased to ninety percent. Such increased\ndepreciation shall only be granted for railroad ceilings established for\nassessment rolls filed in two thousand four upon application of a\nrailroad company. Any increased depreciation shall be granted to all the\ntracks owned by the railroad in this state not otherwise exempt from\ninclusion in the calculation of railroad ceilings. The commissioner\nshall, in consultation with the department of transportation and the\ndivision of the budget, establish by rule and regulation the schedules\nfor increased depreciation and standards for improved service that shall\nbe met in order for a railroad company to receive such increased\ndepreciation for railroad ceilings established for assessment rolls\nfiled in two thousand four and thereafter. A railroad company that has\nfailed to file an application or failed to meet the standards for\nimproved services contained in the rules and regulations of the\ncommissioner prior to the establishment of railroad ceilings for\nassessment rolls filed in two thousand four shall receive one-half of\nthe benefit for increased depreciation that it would have received had\nsuch application been made or such standards been met in a timely\nfashion. The standards for increased depreciation shall be based upon\nincreased tonnage, increased level of passenger service, increased\nnumber of passenger trains and/or improved on-time performance,\nincreased average speed, and any other factors indicating improved rail\nservice as the commissioner and the department of transportation shall\nspecify.\n