91 N.Y.2d 51 (1997)
When state law mandates both transition assessments and payments in lieu of taxes (PILOTS) following a state takeover of property, both apply; PILOTS are subtracted from state aid calculated for transition assessments, unless the legislature explicitly states otherwise.
Summary
This case addresses whether transition assessments under RPTL 545 apply to revenue decreases from the Long Island Power Authority (LIPA) takeover and decommissioning of the Shoreham nuclear power plant. The Court of Appeals held that RPTL 545 does apply because the LIPA Act doesn’t explicitly supersede it, and transition assessments are consistent with LIPA’s PILOT obligations under Public Authorities Law § 1020-q. The court emphasized that both statutes can be harmonized: PILOT payments are simply deducted from any transition assessment aid. The Appellate Division’s order was reversed and the matter remitted for further proceedings.
Facts
In 1987, the LIPA Act was enacted to replace LILCO with LIPA as owner of the Shoreham plant. Shoreham was transferred to LIPA on February 29, 1992. Public Authorities Law § 1020-q requires LIPA to make PILOTS, initially equal to the taxes the taxing jurisdictions would have received without the state takeover. These PILOTS decrease by 10% annually until they equal the taxes on Shoreham in an inoperative state. Several taxing jurisdictions applied for transition assessments under RPTL 545 due to the shortfall from declining PILOTS.
Procedural History
The SBEA initially certified a zero transition assessment, then later certified approximately $53 million for the 1993-1994 tax year. After the Appellate Division’s decision in a related PILOT litigation case, the SBEA rescinded both certifications, claiming RPTL 545 didn’t apply. Appellants commenced an Article 78 proceeding, which the Supreme Court dismissed. The Appellate Division affirmed, holding that SBEA’s decision was rational, that declining PILOTS reflected Shoreham’s inoperative condition, and that the Legislature intended PILOTS to compensate for revenue loss. This appeal followed.
Issue(s)
1. Whether RPTL 545 applies to LIPA’s acquisition of Shoreham.
2. If RPTL 545 applies, whether the LIPA Act supersedes the transition assessment provisions of RPTL 545.
Holding
1. Yes, RPTL 545 applies because Shoreham was acquired by a state agency (LIPA), became tax-exempt due to the acquisition, and constituted more than 2% of the total taxable assessed valuation.
2. No, the LIPA Act does not supersede RPTL 545 because the LIPA Act does not explicitly repeal RPTL 545, and the two statutes can be read harmoniously, with PILOTS reducing the amount of state aid calculated for transition assessments.
Court’s Reasoning
The Court of Appeals determined that RPTL 545, a statute of general applicability, applies when the State or its agency acquires property that becomes exempt, meeting certain valuation thresholds. The court emphasized that the statute contains no exemptions preventing it from applying to the LIPA takeover. Regarding whether the LIPA Act supersedes RPTL 545, the court stated that repeals by implication are disfavored and require a finding that the statutes are in irreconcilable conflict. The court noted, “Generally, a statute is deemed impliedly repealed by another statute only if the two are in such conflict that it is impossible to give some effect to both. If a reasonable field of operation can be found for each statute, that construction should be adopted.” The court found that RPTL 545(6) already accounts for PILOTS by requiring transition assessments to be reduced by the amount of PILOTS paid. Therefore, the statutes are consistent. The court rejected the SBEA’s argument that the Legislature intended to displace all other laws with the LIPA Act, finding no unequivocal declaration to that effect. The Court explicitly stated that absent a legislative directive otherwise, they cannot disturb the manner of balancing state aid as explicitly stated in RPTL 545.