2006 New York Code - Reporting Requirements; Revocation Of Abatements.

 
    §  499-ff.  Reporting  requirements; revocation of abatements.  1. For
  the duration of the applicant's benefit period, the applicant shall file
  annually with the department of finance, on or before July first of each
  year, a  certificate  of  continuing  eligibility  confirming  that  the
  eligible premises are occupied by the tenant who originally executed the
  lease  and  that  the  eligible premises are being used for the purposes
  described  in  the  application.     Such  certificate   of   continuing
  eligibility  shall  be on a form prescribed by the department of finance
  and shall contain such  additional  information  as  the  department  of
  finance  shall  require.    The  department  of  finance  shall have the
  authority to terminate abatements granted pursuant to  this  title  upon
  failure  of  an  applicant  to  file such certificate by such July first
  date.   The burden of proof shall  be  on  the  applicant  to  establish
  continuing  eligibility for benefits and the department of finance shall
  have the authority to require that statements made in  such  certificate
  shall be made under oath.
    2.    The  department  of  finance  shall revoke any abatement granted
  pursuant to this title when the tenant who originally executed the lease
  is no longer occupying the eligible premises.  Such revocation shall  be
  retroactive  to  the date that such tenant vacated the eligible premises
  and the department of finance shall require the landlord  to  pay,  with
  interest, any taxes which become payable as a result of such revocation.
  The  landlord  shall notify the department of finance within thirty days
  following the date on which such tenant vacated  the  eligible  premises
  and,  for failure to comply with this notification requirement, shall be
  liable for penalty  calculated  for  the  same  period  as  interest  is
  calculated pursuant to the preceding sentence.
    3.    If  any  portion of the premises for which an abatement has been
  granted pursuant to this title ceases to be occupied or used as eligible
  premises or is occupied by a subtenant, the department of finance  shall
  reduce  the  abatement granted pursuant to this title by an amount equal
  to the percentage of such eligible  premises  which  has  ceased  to  be
  occupied  or  used  as  eligible premises or is occupied by a subtenant.
  Such reduction shall be retroactive  to  the  date  that  such  premises
  ceased  to be occupied or used as eligible premises or was occupied by a
  subtenant, and the department of finance shall require the  landlord  to
  pay,  with  interest, any taxes which become payable as a result of such
  reduction.  The landlord shall notify the department of  finance  within
  thirty  days  following  the  date  on  which  the premises ceased to be
  occupied or used as eligible premises or was  occupied  by  a  subtenant
  and,  for failure to comply with this notification requirement, shall be
  liable for penalty  calculated  for  the  same  period  as  interest  is
  calculated pursuant to the preceding sentence.
    4.    If, during the benefit period, any real property tax or water or
  sewer charge or other lienable charge due and payable with respect to an
  eligible building shall remain unpaid for at least  one  year  following
  the  date  upon  which  such  tax  or charge became due and payable, all
  abatements granted pursuant to this title with respect to such  building
  shall be revoked, unless within thirty days from the mailing of a notice
  of  revocation  by  the  department  of  finance  satisfactory  proof is
  presented to the department of finance that any and all delinquent taxes
  and charges owing with respect to such building as of the date  of  such
  notice  have  been  paid  in  full or are currently being paid in timely
  installments pursuant to a written  agreement  with  the  department  of
  finance  or  other appropriate agency.   Any revocation pursuant to this
  subdivision shall be effective with respect to real property taxes which
  become due and payable following the date of such revocation.
    5.  The department of finance may deny, reduce, suspend, terminate  or
  revoke any abatement granted pursuant to this title whenever:
    (a)  the  landlord  or the tenant receiving abatement pursuant to this
  title fails to comply with the requirements of this title or  the  rules
  promulgated hereunder; or
    (b) an application, certificate, report or other document submitted by
  the  applicant contains a false or misleading statement as to a material
  fact or omits to state any material fact necessary in order to make  the
  statement therein not false or misleading, and may declare any applicant
  who  makes  such  false  or  misleading  statement  or  omission  to  be
  ineligible for future abatement pursuant to this title for the  same  or
  other  property.    In addition, the department of finance shall require
  the applicant to pay, with penalty and interest, any abatement  received
  pursuant to this title as a result of such false or misleading statement
  or omission of a material fact.
    6.  Notwithstanding  any other provision of this title, the department
  of finance shall deny, terminate or revoke any abatement applied for  or
  granted  pursuant  to  this  title  upon  a determination that the lease
  between the landlord and the tenant does  not  constitute  a  bona  fide
  arm's  length  lease.    In making such determination, the department of
  finance may consider, among other factors,  the  relationship,  if  any,
  between  the  landlord  and the tenant and whether the business terms of
  such lease are consistent with the business  terms  generally  found  in
  leases for comparable space.
    7.  (a) If any person described in the statement required by paragraph
  (b) of subdivision seven of section four hundred ninety-nine-cc of  this
  title  or  paragraph (b) of this subdivision is finally adjudicated by a
  court of competent jurisdiction to be guilty of  any  charge  listed  in
  such  statement,  the  department  of finance shall revoke the abatement
  granted pursuant to this title  and  shall  require  the  payment,  with
  interest, of any abatement received pursuant to this title.
    (b) The applicant shall, on the certificate of continuing eligibility,
  state  whether  any  charges  alleging violation by the applicant or any
  person owning a substantial interest in the eligible  building,  or  any
  officer, director or general partner of the applicant or person owning a
  substantial  interest  in  the eligible building, or any person for whom
  the applicant or person owning a substantial interest  in  the  eligible
  building  is  an  officer,  director  or general partner, of section two
  hundred thirty-five of the real property law or any section  of  article
  one  hundred  fifty of the penal law or any similar arson law of another
  jurisdiction, are pending. For purposes of this paragraph,  "substantial
  interest"  shall  have the same meaning as set forth in paragraph (c) of
  subdivision seven of section four hundred ninety nine-cc of this title.
    8. The department  of  finance  shall  revoke  any  abatement  granted
  pursuant  to  this  title  with  respect to premises leased to a renewal
  tenant if the applicant shall fail to submit evidence acceptable to  the
  department  of finance, within the time specified in subdivision four of
  section four hundred ninety-nine-dd of this title, that the requirements
  of  section  four  hundred  ninety-nine-cc  of  this  title   concerning
  expenditures  on improvements have been met within the time specified in
  such section four hundred ninety-nine-cc.  In such event, the department
  of finance shall require the landlord to pay, with penalty and interest,
  any abatement received pursuant  to  this  title  with  respect  to  the
  premises in question.