An earlier Tax Tracker discusses the evaluation process for photo voltaic and wind power tasks in New York State underneath Section 575-b of the Real Property Tax Law: Real Property Taxation of Solar and Wind Energy Systems In New York State: Methodology for Projects – Farrell Fritz.
Enacted in 2020, Section 575-b gives that photo voltaic and wind tasks of not less than one megawatt should be assessed for actual property tax values underneath the Discounted Cash Flow (DCF) methodology utilizing a mannequin components (the “Model”) and low cost charges established. of the NYS Department of Taxation and Finance (“DOTF”). An preliminary Model was established by the DOTF and carried out statewide for the 2022 and 2023 tax years. Now that the Model has been up to date by the DOTF, it’s efficient May 1, 2024, and should be utilized by all native assessors valuing photo voltaic and wind tasks for the 2024 tax yr. A abstract of the adjustments within the 2024 Model contains:
- Net power metering tasks are included.
- Market switch credit/neighborhood credit and neighborhood adders now default to the utmost credit score quantity except overridden by the consumer.
- Revenue forecasts, value forecasts, and low cost charges are up to date.
More on the up to date Model and revised low cost charges for 2024 may be discovered on the DOTF web site right here: Appraisal course of for photo voltaic and wind power tasks (ny.gov)
In April, the 2024 Model survived a collateral assault by a bunch of native assessors and municipal officers who, once more, sought a short lived restraining order stopping the implementation of the up to date Model. The Albany County Court denied the TRO request, however an utility for a preliminary injunction is scheduled for May 24, 2024, at Airey, and others. v. State of New York, et al. (Index No. 903991-2014). This newest lawsuit is the second try by native officers looking for to invalidate the Section 575-b Model, following the decision of earlier litigation in City of Blenheim, et al, v. Hiller et al, (Albany Supreme Court, Index No. 903157-2022). That litigation was resolved after motion by the State Legislature that pushed the claims raised Blenheim.
For extra about Blenheim litigation and New York State’s ongoing efforts to encourage renewable challenge improvement via Section 575-b and different initiatives, you could consult with this text beforehand revealed by Nassau Lawyer: Real Property Taxation of Solar and Wind Energy Systems in New York State – Farrell Fritz
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