A judge in the State Supreme Court dismissed a proceeding filed by the Weindanchi School District against the Babylon Industrial Development Agency in an attempt to overturn the tax cuts on apartment developers.
The Article 78 procedure was given to Albanese Organization of Garden City in February 2020 for Dr. 11 Park, a 94-unit building surrounding the parking lot of the Wiren Dunch Long Island Rail Road Station. It originated from the tax cut of. Albanese is estimated to save $ 12 million in property and sales taxes on affordable residential buildings for people over the age of 62.
This was Albanese’s fourth pilot, a payment instead of taxes. The company saved an estimated $ 35.2 million in taxes, with two 40-year and one 30-year savings over the other three buildings that are part of the Wire Dunching redevelopment.
School district officials opposed the latest deal at the hearing, arguing that pilots would “steal” the tax revenue district for decades. The IDA Board unanimously voted in favor of the reduction, and the district filed a petition for Article 78 with government agencies and Albanese a few months later.
The proceedings alleged that the tax deduction was improper because the housing project was not subject to its provisions under the state’s Industrial Development Agency law and the state’s general city law.
Judge Carmen Victoria St. George said in a March 29 decision that the state’s accounting auditor’s opinion on whether the apartment building falls under the commercial side of the law must be decided by local authorities. He pointed out IDA’s defense that he said he had to. “Such decisions should take into account the stated objectives of the New York State Department of Industrial Development Act: promoting employment opportunities and preventing economic deterioration,” the opinion further states.
St. George quoted the district foreman Gina Tarbert’s affidavit, stating that “development of a senior housing project could be economically beneficial to the school district,” and the judge said IDA’s “decision is honest.” Consistent with. ” It is based on the law and is not harmful to the complainant. “
In a statement, IDA CEO Tom Dolan said authorities were pleased with the judge’s decision.
“I’ve heard many times from business leaders trying to build in town. Without housing that workers can actually live in, our region can’t provide a competitive workforce and the local economy Will suffer. “
Russell Albanese, chairman of Albanese, did not immediately respond to the request for comment.