New York Laws
Title 1 - Public Property
406 - Municipal Corporations.

§ 406. Municipal corporations. 1. Real property owned by a municipal
corporation within its corporate limits held for a public use shall be
exempt from taxation and exempt from special ad valorem levies and
special assessments to the extent provided in section four hundred
ninety of this chapter.

2. Real property owned by a municipal corporation not within its
corporate limits while used for the provision of fire protection
services provided that some fire protection services are available to
the municipal corporation in which the real property is located, for a
public park, public aviation field, highway or for flood control and
soil conservation purposes as provided in section two hundred
twenty-three of the county law shall be exempt from taxation by any
municipal corporation in which it is located, provided the governing
board thereof shall so agree in writing.

3. Real property owned by a municipal corporation not within its
corporate limits while used as a sewage disposal plant or system,
including necessary connections and appurtenances, or real property
owned by a municipal corporation having a population of less than one
hundred thousand or a population of two hundred twenty-five thousand or
more but less than three hundred thousand used as a water plant, pumping
station, water treatment plant, water shed or reservoir, including
necessary connections and appurtenances shall be wholly or partially
exempt from taxation and wholly or partially exempt from special ad
valorem levies and special assessments, by any municipal corporation in
which located, provided the governing board thereof shall so agree in
writing.

4. The aqueducts which are a part of the water supply system of the
city of New York shall be entitled to the exemption provided by law.

5. Real property owned by a municipal corporation acquired by tax
deed, by referee's deed in tax foreclosure, pursuant to article eleven
of this chapter or pursuant to a deed made in lieu of tax foreclosure
shall be deemed to be held by it for a public use for a period of three
years from the date of the deed and during such period shall be exempt
from taxation and special ad valorem levies, but shall be liable for
taxes for school purposes and special assessments. Any such property
from which a municipal corporation is receiving revenue on the date of
taxable status, however, shall not be so exempt.

6. County reforested lands shall be entitled to the exemption provided
in the county law.

7. Real property owned by a municipal corporation on January first,
nineteen hundred sixty-eight outside the boundaries of the municipal
corporation shall be exempt from taxation where: (a) such property is
used for public aviation purposes; and (b) is served by three or more
major passenger air carriers; and (c) payments in lieu of real property
taxes are paid in accordance herewith. The owning municipal corporation
shall make payments in lieu of real property taxes to the county, town,
school districts and villages in which it is located in an amount which
will not be less than the amount of taxes finally determined to be
payable pursuant to the law in effect on the effective date of this act
or any agreement in effect on the effective date of this act made
pursuant to law. The owning municipal corporation is hereby authorized
and empowered to make payments in lieu of real property taxes in excess
of the amounts required by this subdivision.

8. Real property owned by a municipal corporation not within its
corporate limits while used for a municipal electrical generation and
distribution system, including necessary connections and appurtenances,
shall be wholly or partially exempt from taxation and wholly or
partially exempt from special ad valorem levies and special assessments,

by any municipal corporation in which located, provided the governing
board thereof shall so agree in writing.