Under New York’s new budget package, the sale and maintenance of water vessels are exempt as long as they have seating of 20 passengers or more and are used for public transit. The provision includes exemptions on parts, equipment, lubricants, diesel fuel, maintenance, servicing and repair purchased for the craft. In order to qualify, the operator must provide local transit in New York. If the craft operates outside of New York as well, the credit will be figured by comparing total time in operation against time operated in New York. The exemption takes effect December 1, 2004. (New York Item #S.8)