Assessor's Manual, Volume 4, Exemption Administration
(Property within corporate limits held for public use)
Year originally enacted: Before 1896
Related statutes: RPTL §490
Summary: Real property that (1) is owned by a county, city, town, or village, (2) is located within the boundaries of the owning municipal corporation, and (3) is held for public use is wholly exempt from taxation and is exempt, for certain purposes, from special ad valorem levies and special assessments.*
- Eligibility requirements:
- Ownership requirements: Property must be owned by a county, city, town, or village.
- Property location requirements: Property must be located inside the boundaries of the owning county, city, town, or village.
- Property use requirements: Property must be held for a public use," which means a use that is of benefit to the community at large (see definition in note below). This requirement is satisfied if the property is devoted to use by the general public or public agencies. Land or improvements, as well as portions thereof, which are leased to a private individual or organization are exempt so long as they are held for a public purpose. Conversely, if land or improvements, or portions thereof, are leased to a private individual or concern and used for nonpublic purposes they are subject to taxation for all purposes.
- Certification by state or local government: None required.
- Required construction start date or other time requirement: None.
- Local option: None.
- Limitation on exemption:
Limitation on exemption General Municipal Taxes School District Taxes Special Ad Valorem Tax Special Assessments 1. Amount No limit No limit No limit No limit 2. Duration No limit No limit No limit No limit 3. Taxing Jurisdiction a. County or County Special Districts Ex NA L L b. City Ex NA NA Tax c. Town or Town Special District Ex NA L L d. Village Ex NA NA Tax e. School District NA Ex NA NA Ex-Exempt Tax-Taxable NA-Not Applicable L - Liable only for (1) county and town charges for capital costs of sewer systems, water supply systems, waterways and drainage improvements, and streets and highways, plus (2) special assessments for indebtedness contracted before 7/1/53.
- payments in lieu of taxes: None required.
- Calculation of exemption:
- General municipal and school district taxes: 100% of assessed value of portion(s) of property held for property use.
- Special Ad Valorem Levies and special assessments: See General Municipal Taxes above.
The exemption applies to all levies and assessments imposed by counties, county special districts, towns, and town special districts except (1) charges levied to pay for the capital costs of sewer systems, water supply systems, waterways and drainage improvements, and streets and highways, and (2) special assessments for indebtedness contracted before 7/1/53. The exemption does not apply to special assessments imposed by cities or villages.
- Coding of exemption on assessment roll:
Coding of exemption on assessment roll Code Description of Alternative Codes Possible 13100 County-owned property 13350 City-owned property 13500 Town-owned property 13650 Village-owned property
Assessment roll section(s): Exempt (ARLM § 8).
Note: These codes should not be used to identify (1) property acquired through tax sale and exempt under RPTL §406(5), (2) reforested lands owned by counties (RPTL §406(6)), (3) property owned by a school district or Board of Cooperative Educational Services (RPTL §408), (4) property owned by a special district (RPTL §410 or §410-a), (5) cemetery property exempt under RPTL §446, or (6) property that is exempt under any of the statutes listed under Similar Exemptions below. For coding of such property, see the Exemption Profile for the statute that applies.
- Filing requirements (owner or occupant of property): None.
- Reporting requirements (assessor): None.
- Similar exemptions:
Similar exemptions Subject Statute Cemeteries, public or private RPTL §446 City University Construction Fund (NYC) Ed L §6282 Cultural Resources Trust, NYC Art-Cult L §21 Educational Construction Fund, NYC Ed L §468 Educational Construction Fund, Yonkers Ed L §492 Health & Hospital Corporation, NYC McK U Con L §7400 Multiple dwellings owned by municipality PHFL § §36-a(2), 36-a(4) Municipal corporations, revenue-producing
undertakings not exempt
under RPTL §406(1)
Gen Muny L §411 Municipal industrial development agencies RPTL §412-a &
Gen Muny L §874
Public authorities RPTL §412 & Pub Auth L Railroads and related property (NYC) Rap Tran L §103 Urban renewal property owned by municipality Gen Muny L § §506, 555, 560 Utica Transit Authority Trans L §64
* The New York State Court of Appeals has stated that held for public use" means that the property should be occupied, employed, or availed of, by and for the benefit of the community at large, and implies a possession, occupation and enjoyment of the public, or by public agencies" (Town of Harrison v. Westchester County, 1963).
Please send general questions or comments to ORPTS.