2.

1. (a)

   1. (i) Such real property shall be exempt for a period of one year to the extent of fifty per centum of the increase in assessed value thereof attributable to such construction and for an additional period of nine years provided, however, that the extent of such exemption shall be decreased by five per centum each year during such additional period of nine years and such exemption shall be computed with respect to the "exemption base". The exemption base shall be the increase in assessed value as determined in the initial year of such ten year period following the filing of an original application, except as provided in subparagraph (ii) of this paragraph.
   2. (ii) In any year in which a change in level of assessment of fifteen percent or more is certified for a final assessment roll pursuant to the rules of the commissioner, the exemption base shall be multiplied by a fraction, the numerator of which shall be the total assessed value of the parcel on such final assessment roll (after accounting for any physical or quantity changes to the parcel since the immediately preceding assessment roll), and the denominator of which shall be the total assessed value of the parcel on the immediately preceding final assessment roll. The result shall be the new exemption base. The exemption shall thereupon be recomputed to take into account the new exemption base, notwithstanding the fact that the assessor receives the certification of the change in level of assessment after the completion, verification and filing of the final assessment roll. In the event the assessor does not have custody of the roll when such certification is received, the assessor shall certify the recomputed exemption to the local officers having custody and control of the roll, and such local officers are hereby directed and authorized to enter the recomputed exemption certified by the assessor on the roll. The assessor shall give written notice of such recomputed exemption to the property owner, who may, if he or she believes that the exemption was recomputed incorrectly, apply for a correction in the manner provided by title three of article five of this chapter for the correction of clerical errors.
   3. (iii) The following table shall illustrate the computation of the city tax exemption: Year of exemption Percentage of exemption 1 50 2 45 3 40 4 35 5 30 6 25 7 20 8 15 9 10 10 5

2. (b) No such exemption shall be granted unless:

   1. (i) such construction was commenced on or after the first day of January, two thousand three or such later date as may be specified by local law;
   2. (ii) the residential real property is situate in a city with a population of not less than thirty-one thousand and not more than thirty-two thousand;
   3. (iii) the cost of such construction exceeds the sum of thirty thousand dollars or such greater amount as may be specified by local law; and
   4. (iv) such construction is completed as may be evidenced by a certificate of occupancy or other appropriate documentation as provided by the owner.
3. (c) For purposes of this section the term construction shall not include ordinary maintenance and repairs.

9.

1. (a) A city with a population of not less than thirty-one thousand and not more than thirty-two thousand may, by local law, establish a board to be known as the residential incentive board. The membership and composition of such board shall be set forth in the local law.
2. (b) The residential incentive board shall present a plan to the legislative body of a city with a population of not less than thirty-one thousand and not more than thirty-two thousand concerning the various types of residential real property which should be granted eligibility for an exemption pursuant to subdivision one of this section. Such plan shall make a recommendation as to whether the exemption be computed as provided in subdivision two or eleven of this section. In addition, such plan shall identify specific geographic areas within which such exemptions should be offered. In developing the plan required by this paragraph, the board shall consider the planning objectives of a city with a population of not less than thirty-one thousand and not more than thirty-two thousand, the necessity of the exemption to the attraction or retention of home owners and the economic benefit to the area of providing exemptions to home owners.
3. (c) In addition, the board may make recommendations to the legislative body of a city with a population of not less than thirty-one thousand and not more than thirty-two thousand with respect to actions it deems desirable to improve the economic climate therein.

11. Notwithstanding subdivision two of this section, where a city with a population of not less than thirty-one thousand and not more than thirty-two thousand adopts restricted exemptions pursuant to subdivision ten of this section, the local law may provide that such exemptions shall be computed pursuant to the following accelerated strategic exemption schedule: Year of exemption Percentage of exemption 1 50 2 45 3 40 4 35 5 30 6 25 7 20 8 15 9 10 10 5 Provided however, that such local law shall:

1. (i) contain findings that the adoption of this accelerated strategic exemption schedule is necessary to encourage targeted residential development, and that the value of the exemptions to be provided is justified by the need to broaden the tax base; and
2. (ii) limit the applicability of such schedule to projects where the cost of such construction exceeds the sum of seventy thousand dollars; and
3. (iii) provide that such exemptions are restricted by geographic areas as provided by subdivision ten of this section.