Relates to the tax exemption of a mutual redevelopment company

Longer tax relief for redevelopment housing companies

The law takes effect immediately and covers mutual redevelopment companies in cities with at least 1 million people, including New York City. Local lawmakers can grant up to 50 extra years of property-tax relief after granting the maximum existing extension. The extra relief starts when that extension expires. During those extra years, residential taxes must be at least the lower of two amounts: 5% of annual rent or carrying charges after utilities, or residential taxes payable for July 1, 2000–June 30, 2001. This replaces a minimum based on the higher of 10% of those charges after utilities or that historical tax amount. The law does not require companies to pass savings on to residents.