State leaders will end up keeping their pledge to co-op and condo shareholders in the city.
According to Governor Andrew Cuomo and Assembly Speaker Sheldon Silver, the Legislature has reached an agreement on tax relief legislation and will sign it into law when officials return to Albany.
The city will also issue tax bills based on new and lower rates, they said, and the tax abatement — which reduces the difference in property taxes paid by Class 2 co-op and condo properties and one, two and three family homes in Class 1 — will be retroactive.
State Senator Toby Ann Stavisky said the J-51 program, which gives owners partial property tax exemptions for capital improvements, will also be extended to June 30, 2015.
These assurances come after widespread panic in co-op and condo communities at the end of June, when the Legislature adjourned session without extending the city’s J-51 program and the expired abatement. Fear mounted in November after elected officials said the Legislature would not reconvene to pass promised relief.
Assemblymember Ed Braunstein said the Legislature would likely pass his bill, which would increase abatements for middle class co-op owners from 17.5 percent to 25 percent this year and over 28 percent in three years, based on assessments.