Bill Text: NY A05163 | 2019-2020 | General Assembly | Introduced


Bill Title: Enacts the Housing New York Program Act for the twenty-first century to assure that funds from public sources for the provision of dwelling accommodations are used to benefit persons of low and moderate income.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced) 2019-02-07 - referred to housing [A05163 Detail]

Download: New_York-2019-A05163-Introduced.html


                STATE OF NEW YORK
        ________________________________________________________________________
                                          5163
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    February 7, 2019
                                       ___________
        Introduced  by  M.  of  A.  CYMBROWITZ  -- read once and referred to the
          Committee on Housing
        AN ACT in relation to enacting the housing New York program act for  the
          twenty-first  century and to amend the private housing finance law, in
          relation to the housing New York corporation
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.  The  housing  New  York  program act for the twenty-first
     2  century is hereby enacted to read as follows:
     3          HOUSING NEW YORK PROGRAM ACT FOR THE TWENTY-FIRST CENTURY
     4  Section 1.  Short title.
     5          2.  Legislative findings and purpose.
     6          3.  Definitions.
     7          4.  Housing New York program for the twenty-first century.
     8          5.  Minimization of displacement.
     9          6.  Affordability.
    10          7.  Rent regulation.
    11          8.  Standards and criteria.
    12          9.  Allocation of program funds.
    13          10. Income determinations.
    14          11. Maintenance of effort.
    15          12. Contracts.
    16          13. Reports.
    17          14. Act not to supersede other requirements.
    18          15. Severability.
    19    Section 1. Short title. This act shall be known and may  be  cited  as
    20  the "housing New York program act for the twenty-first century".
    21    § 2. Legislative findings and purpose. It is hereby found and declared
    22  that  there exists in the city of New York a seriously inadequate supply
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09272-01-9

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     1  of safe, sanitary and affordable dwelling accommodations for persons and
     2  families for whom the ordinary operations of private  enterprise  cannot
     3  provide such accommodations as provided herein and that such shortage is
     4  progressively more severe to the degree that the incomes of such persons
     5  are lower; that there exists in such city a significant number of one to
     6  two  unit  and multiple dwellings which are deteriorated or vacant; that
     7  the existence of such conditions creates a serious threat to the health,
     8  safety, welfare, comfort and security of the people  of  the  state  and
     9  further  depletes  the  supply of safe, sanitary and affordable dwelling
    10  accommodations; and  that  substantial  commitments  of  funds  will  be
    11  required to alleviate the present shortage of safe, sanitary and afford-
    12  able  dwelling accommodations for persons and families of low and moder-
    13  ate income.
    14    The legislature further finds that: (1) in order to assure that funds,
    15  which are now or may in the future become available from public  sources
    16  for  the  provision  of  dwelling  accommodations,  are  used to benefit
    17  persons of low and moderate income, who face the most  serious  shortage
    18  of  safe,  sanitary  and affordable housing; (2) in order to assure that
    19  such funds are otherwise used in the most beneficial manner; and (3)  in
    20  order  to  provide  new funds for such purposes through the Battery Park
    21  city authority and the subsidiary corporation of the New York city hous-
    22  ing development corporation pursuant to this act, the housing  New  York
    23  program  act  for  the twenty-first century should be established by the
    24  legislature.
    25    § 3. Definitions. As used in this  act,  unless  a  different  meaning
    26  clearly appears from the context:
    27    1.  "City"  shall  mean (a) the city of New York, (b) its agencies and
    28  instrumentalities (other than the housing New York corporation), and (c)
    29  except for the purposes of section twelve of this act, the New York city
    30  housing development corporation;
    31    2. "Housing New York corporation" shall  mean  the  subsidiary  corpo-
    32  ration  of  the New York city housing development corporation created by
    33  section 654-c of the private housing finance law;
    34    3. "Housing New York program for the twenty-first century" shall  mean
    35  the  housing  New  York program for the twenty-first century established
    36  pursuant to section four of this act;
    37    4. "Housing program funds" shall mean those moneys described in subdi-
    38  vision one of section four of this act;
    39    5. "Dwelling accommodations" shall mean one or more residential dwell-
    40  ing units, which are located in buildings  or  structures  eligible  for
    41  assistance  under  the  programs and activities set forth in subdivision
    42  two of section four of this act;
    43    6. "Median income for the area in which  dwelling  accommodations  are
    44  located"  shall  mean  median  income  calculated in accordance with the
    45  regulations of the United States department of housing and urban  devel-
    46  opment governing eligibility for occupancy as a lower income family by a
    47  family  of  four in the metropolitan statistical area which includes the
    48  city of New York for purposes of section  eight  of  the  United  States
    49  housing  act of nineteen hundred thirty-seven, as such act is amended to
    50  the date of enactment of this act;
    51    7. "Minority-owned business enterprise" shall mean a  business  enter-
    52  prise,  including a sole proprietorship, partnership or corporation that
    53  is: (a) at least fifty-one percent owned by one or more  minority  group
    54  members;  (b)  an  enterprise  in which such minority ownership is real,
    55  substantial and continuing; (c) an enterprise  in  which  such  minority
    56  ownership  has  and exercises the authority to control independently the

        A. 5163                             3
     1  day-to-day business decisions of the enterprise; and (d)  an  enterprise
     2  authorized  to  do  business  in  this state and independently owned and
     3  operated;
     4    8.  "Minority  group  member"  shall  mean  a United States citizen or
     5  permanent resident alien who is and can demonstrate membership in one of
     6  the following groups: (a) Black persons having origins  in  any  of  the
     7  Black  African  racial  groups;  (b) Hispanic persons of Mexican, Puerto
     8  Rican, Dominican, Cuban, Central or South American of either  Indian  or
     9  Hispanic  origin,  regardless  of  race;  (c) Native American or Alaskan
    10  native persons having origins in any of the original  peoples  of  North
    11  America;  and  (d)  Asian and Pacific Islander persons having origins in
    12  any of the Far East countries, South East Asia, the Indian  subcontinent
    13  or the Pacific Islands; and
    14    9.  "Utilization  plan" shall mean a plan prepared by a contractor and
    15  submitted in connection with a proposed state contract. The  utilization
    16  plan  shall  identify  certified  minority-owned or women-owned business
    17  enterprises, if known, that have committed to perform work in connection
    18  with the proposed state contract as well as  any  such  enterprises,  if
    19  known,  which  the  contractor  intends  to  use  in connection with the
    20  contractor's performance of the proposed state contract. The plan  shall
    21  specifically  contain  a list, including the name, address and telephone
    22  number, of each certified enterprise with which the  contractor  intends
    23  to subcontract.
    24    §  4. Housing New York program for the twenty-first century.  1. There
    25  is hereby established a program to be known as  the  "housing  New  York
    26  program  for the twenty-first century" pursuant to which the city of New
    27  York, its agencies and instrumentalities (other  than  the  housing  New
    28  York  corporation) and the New York city housing development corporation
    29  shall acquire, rehabilitate, construct, enlarge,  improve  and  renovate
    30  dwelling  accommodations  and  provide  assistance in order to have such
    31  activities performed, subject to the terms and conditions of  this  act.
    32  Such  program shall be financed with the total amount of funds which are
    33  made available from the following sources during the twenty year  period
    34  commencing  July first, next succeeding the date on which this act shall
    35  have taken effect:
    36    (a) moneys provided to the city by the housing  New  York  corporation
    37  pursuant to section 654-c of the private housing finance law; and
    38    (b)  moneys  committed to the housing New York program for the twenty-
    39  first century by the city.
    40    2. Housing program funds shall only be utilized in programs and activ-
    41  ities of the city for the provision of dwelling accommodations, and  the
    42  real  and  personal  property  acquired,  owned,  constructed, equipped,
    43  improved, enlarged, rehabilitated or renovated to provide such  accommo-
    44  dations  and incidental and appurtenant commercial, social, recreational
    45  or communal facilities, which programs and activities may include  those
    46  under  articles 8, 8-A, 11 and 15 of the private housing finance law and
    47  those programs and activities designed to:
    48    (a) preserve, repair, renovate, upgrade, improve, modernize, rehabili-
    49  tate or otherwise prolong the useful life of dwelling accommodations;
    50    (b) construct dwelling accommodations and undertake  site  preparation
    51  related thereto;
    52    (c)  restore  abandoned,  vacant  or  occupied city or privately-owned
    53  dwelling accommodations to habitable condition;
    54    (d) assist in the  acquisition  of  buildings  which  contain  or  are
    55  expected to contain dwelling accommodations;

        A. 5163                             4
     1    (e)  facilitate  the disposition of city-owned buildings which contain
     2  or are expected to contain dwelling accommodations; and
     3    (f)  provide  infrastructure improvements related to and undertaken as
     4  part of programs  and  activities  for  owner-occupied  buildings  which
     5  contain  no  more  than four dwelling accommodations; provided, however,
     6  that no more than ten percent of the amount  of  housing  program  funds
     7  shall be utilized for the purposes of this paragraph.
     8    The  city  is  hereby  authorized to carry out, by loans or otherwise,
     9  programs and activities designed to achieve the  purposes  described  in
    10  paragraphs  (a)  through (f) of this subdivision, all in accordance with
    11  any applicable provisions of law.
    12    3. All expenditures by the city of  housing  program  funds  shall  be
    13  appropriated by the city council of the city of New York.
    14    §  5.  Minimization  of displacement. Within nine months following the
    15  effective date of this act, the city  shall  issue  and  promulgate,  in
    16  accordance  with  the New York city charter, rules and regulations which
    17  describe the procedures pursuant  to  which  the  city  shall  meet  the
    18  following goals:
    19    1.  The  city  shall  use its best efforts to ensure that programs and
    20  activities carried out pursuant to the housing New York program for  the
    21  twenty-first  century are structured so as to minimize the likelihood of
    22  any involuntary physical or economic displacement of tenants and  owners
    23  who  reside  in  dwelling  accommodations  which are the subject of such
    24  programs and activities other than temporarily, as a  direct  result  of
    25  rehabilitation  work  which  is  performed  in  such tenant's or owner's
    26  building or dwelling accommodations, in which  case  suitable  temporary
    27  relocation arrangements shall be provided.
    28    2.  In  assembling  sites  for  new  construction  projects which will
    29  utilize housing program  funds,  and  undertaking  any  demolition  work
    30  necessary  to  prepare such sites, the city shall avoid the displacement
    31  of any existing tenants and owners of structurally sound dwelling accom-
    32  modations to the greatest extent feasible and in addition, give a prior-
    33  ity in occupying the project constructed with housing program  funds  to
    34  any tenant or owner so displaced, if they are income eligible to do so.
    35    3.  The  city  shall  keep  a record of all tenants and owners who are
    36  involuntarily physically displaced  by  virtue  of  rehabilitation  work
    37  carried  out with housing program funds or work necessary to prepare new
    38  construction sites which utilize housing program funds and take  reason-
    39  able  steps to determine the number of tenants economically displaced by
    40  virtue of such work.
    41    Nothing contained in  this  section  shall  be  deemed  to  make  less
    42  restrictive  any inconsistent requirement of state or local law or regu-
    43  lation which provides protections against  involuntary  displacement  of
    44  occupants of housing accommodations.
    45    § 6. Affordability. In structuring programs and activities pursuant to
    46  the  housing  New  York  program  for the twenty-first century, the city
    47  shall take reasonable  steps  to  assure  that  dwelling  accommodations
    48  assisted by housing program funds remain affordable to the income groups
    49  occupying  such  accommodations for a substantially long period of time,
    50  such periods to be determined by the city  in  accordance  with  section
    51  eight of this act.
    52    §  7. Rent regulation. Notwithstanding the provisions of, or any regu-
    53  lation promulgated pursuant to, the rent stabilization law  of  nineteen
    54  hundred  sixty-nine  or  the emergency tenant protection act of nineteen
    55  seventy-four, in the case of a  dwelling  accommodation  in  a  multiple
    56  dwelling  operated  as  rental  property,  which  benefits  from housing

        A. 5163                             5
     1  program  funds,  if:  (1)  such  dwelling  accommodation  at  the   time
     2  construction  or  rehabilitation  work  carried out with housing program
     3  funds is completed, is not subject to  the  rent  stabilization  law  of
     4  nineteen  hundred  sixty-nine,  the  emergency  tenant protection act of
     5  nineteen seventy-four, the local emergency housing rent control  act  or
     6  local  law  enacted  pursuant  thereto,  or  regulation by the city such
     7  dwelling accommodation shall be made subject to the  rent  stabilization
     8  law of nineteen hundred sixty-nine by the provisions of this section for
     9  a  period which shall be determined by the city and thereafter until the
    10  first vacancy which occurs in such dwelling accommodation, or  (2)  such
    11  dwelling  accommodation  is  subject  to  any of the laws, acts or regu-
    12  lations described in  subdivision  one  of  this  section  at  the  time
    13  construction  or  rehabilitation  work  carried out with housing program
    14  funds is completed, such dwelling accommodation  shall  continue  to  be
    15  subject  to  such  laws,  acts or regulations to the same extent, in the
    16  same manner and for the same period of  time  provided  in  any  statute
    17  which  provides coverage for such housing accommodation under such laws,
    18  acts or regulations and shall not be affected by the provisions of  this
    19  section  for  the duration of such coverage, provided, however, that the
    20  city may provide that upon the termination of coverage of  such  housing
    21  accommodations  under  any of the laws, acts or regulations described in
    22  subdivision one of this section such  housing  accommodations  shall  be
    23  subject to the rent stabilization law of nineteen hundred sixty-nine for
    24  a  period which shall be determined by the city and thereafter until the
    25  first vacancy which occurs in such housing accommodation. The provisions
    26  of this act shall not be deemed to provide rent regulation  pursuant  to
    27  the rent stabilization law of nineteen hundred sixty-nine for any period
    28  of time subsequent to the expiration or termination of such law.
    29    §  8.  Standards  and criteria. 1. In determining how long a period of
    30  time the city will seek to retain dwelling accommodations as  affordable
    31  to  the  income  groups  occupying them, pursuant to section six of this
    32  act, and, where applicable, how long a  period  of  time  such  dwelling
    33  accommodations  shall  be subject to the rent stabilization law of nine-
    34  teen hundred sixty-nine, pursuant to section seven of this act, the city
    35  shall be bound by any minimum period required by any federal,  state  or
    36  local  law,  and shall also take into consideration the term of any loan
    37  provided to benefit the housing accommodation through  such  program  or
    38  activity.  The  city  may  also consider the cost and useful life of the
    39  works or improvements provided for the dwelling accommodation, the  city
    40  program   or  activity  through  which  the  dwelling  accommodation  is
    41  assisted, the category of income  of  the  occupants  of  such  dwelling
    42  accommodation and the area or areas in which such dwelling accommodation
    43  is  located. The city shall issue and promulgate, in accordance with the
    44  New York city charter, rules and regulations which outline the  criteria
    45  and procedures it shall use to meet the requirements of this section.
    46    2.  Notwithstanding the provisions of subdivision one of this section,
    47  in the event housing program funds are provided to  the  New  York  city
    48  housing development corporation in connection with any loan made by such
    49  corporation  pursuant  to subdivision 23-c of section 654 of the private
    50  housing finance law to finance the  construction  of  dwelling  accommo-
    51  dations:  (a)  the  period of time such dwelling accommodations shall be
    52  subject to the rent stabilization law  of  nineteen  hundred  sixty-nine
    53  shall  be  a  minimum  of fifteen years, or such longer period as may be
    54  provided in any law other than this act, and thereafter each such dwell-
    55  ing accommodation shall remain subject  to  such  law  until  the  first
    56  vacancy  which occurs in such accommodation subsequent to the expiration

        A. 5163                             6
     1  of such period; and (b) with regard to newly constructed dwelling accom-
     2  modations financed by such corporation which  are  intended  to  benefit
     3  persons  and  families whose incomes do not exceed eighty percent of the
     4  median  income  for  the  area in which such dwelling accommodations are
     5  located, for a period of fifteen years persons  and  families  who  move
     6  into such dwelling accommodations shall have incomes which do not exceed
     7  eighty  percent  of  such median income and such dwelling accommodations
     8  shall remain affordable to such persons and families for a minimum peri-
     9  od of fifteen years.
    10    § 9. Allocation of program funds. At least forty percent of the  funds
    11  committed  to  the housing New York program for the twenty-first century
    12  shall be utilized to supply  dwelling  accommodations  for  persons  and
    13  families  whose  incomes  do not exceed fifty-five percent of the median
    14  income for the area in which such dwelling  accommodations  are  located
    15  and  in  addition, no more than twenty-five percent of such funds may be
    16  utilized to supply dwelling  accommodations  for  persons  and  families
    17  whose  incomes  exceed  ninety  percent of such median income, but in no
    18  event shall any housing program funds be utilized  to  provide  dwelling
    19  accommodations  for  persons and families whose incomes are greater than
    20  one hundred seventy-five percent of the median income for  the  area  in
    21  which  such  dwelling  accommodations are located. In addition, the city
    22  shall use its best efforts to achieve by the  end  of  each  consecutive
    23  five-year  period  during  which the housing New York program remains in
    24  effect beginning with a five-year period  commencing  July  first,  next
    25  succeeding the date on which this act shall have taken effect, the allo-
    26  cation  of  housing program funds described in the preceding sentence of
    27  this section.
    28    § 10. Income determinations. In determining which  income  groups  are
    29  being  served  by housing program funds for the purposes of section nine
    30  of this act, the city shall  utilize  and  may  rely  on  the  following
    31  certifications, assumptions and calculations:
    32    1. In the case of vacant dwelling accommodations assisted with housing
    33  program  funds or dwelling accommodations newly constructed with housing
    34  program funds, the city shall  require  that  the  owners  thereof:  (a)
    35  certify  that  each intended occupant has submitted an income affidavit,
    36  in a form prescribed by the city, (b) certify the category of income  in
    37  which  the occupant belongs, and (c) continue to certify compliance with
    38  respect to the income eligibility of new tenants or purchasers  for  the
    39  period  of  affordability  established  for  such dwelling accommodation
    40  pursuant to section eight of this act. The city shall periodically audit
    41  selected certifications provided pursuant to this section  to  determine
    42  the accuracy of the representations contained therein.
    43    2.  In the case of other dwelling accommodations assisted with housing
    44  program funds: (a) occupied dwelling accommodations owned by  the  city,
    45  dwelling  accommodations  occupied  by  persons and families transferred
    46  from emergency shelters for the  homeless  and  dwelling  accommodations
    47  occupied  by  persons  and  families  eligible  for  or receiving public
    48  assistance as shall be deemed to be occupied  by  persons  and  families
    49  whose incomes do not exceed fifty-five percent of median income; and (b)
    50  occupied dwelling accommodations not owned by the city and located in an
    51  area  eligible  for  mortgage  insurance  provided by the rehabilitation
    52  mortgage insurance corporation which have annual rent levels  after  the
    53  completion  of  rehabilitation work carried out pursuant to this act, of
    54  less than thirty percent of ninety percent of  median  income  shall  be
    55  deemed  to  be  occupied  by  persons  and families whose incomes are in

        A. 5163                             7
     1  excess of fifty-five percent of median income and equal to or less  than
     2  ninety percent of median income.
     3    3.  In  the case where (a) an entire building or structure is assisted
     4  under the housing New York program for  the  twenty-first  century;  (b)
     5  such  building  or  structure  contains  more than one dwelling accommo-
     6  dation; and (c) the categories of income of the occupants of such build-
     7  ing or structure are not uniform throughout, the  city  shall  determine
     8  the amount of housing program funds which benefit each particular dwell-
     9  ing accommodation by dividing the amount of such funds provided to bene-
    10  fit  the  building  or  structure  by the number of rental rooms in such
    11  building or structure and multiplying the quotient derived therefrom  by
    12  the number of rental rooms for each particular dwelling accommodation.
    13    §  11.  Maintenance  of  effort.  The  city  shall not use any housing
    14  program funds to substitute for  locally  funded  operating  or  capital
    15  expenditures  which the city would have allocated to programs to provide
    16  dwelling accommodations through its  normal  budgetary  process  in  the
    17  absence  of  the  housing New York program for the twenty-first century.
    18  All housing program funds shall be utilized  by  the  city  to  increase
    19  locally  funded  operating  or  capital expenditures to provide dwelling
    20  accommodations to a level which is greater than the  level  which  would
    21  have existed if housing program funds had not been available. Nothing in
    22  this  section  shall  require  the  city  to  allocate funds for housing
    23  purposes if in the city's judgment  such  allocation  would  require  an
    24  increase in taxation or reduction in other city services.
    25    §  12.  Contracts.  In  connection  with  development and construction
    26  contracts for dwelling accommodations funded with housing program funds,
    27  minority-owned and women-owned business enterprises and  minority  group
    28  members  and women shall be given the opportunity for meaningful partic-
    29  ipation.  The city shall establish measures  and  procedures  to  secure
    30  meaningful  participation  by  minority-owned  and  women-owned business
    31  enterprises on contracts for dwelling accommodations funded with housing
    32  program funds, including requiring submission of a utilization  plan  by
    33  the  contractor.  Such  measures  and  procedures shall also promote the
    34  employment of minority group members and women on such contracts.    The
    35  provisions  of  this section shall not be construed to limit the ability
    36  of any minority-owned or women-owned business enterprise to bid  on  any
    37  contract.  In order to implement the requirements and objectives of this
    38  section in connection with such dwellings accommodations, the city shall
    39  be responsible for monitoring compliance  with  the  provisions  hereof,
    40  providing  advice on the availability of competitive qualified minority-
    41  owned and women-owned business enterprises to perform contracts proposed
    42  to be awarded, and making  recommendations  to  improve  the  access  of
    43  minority-owned  and women-owned business enterprises to these contracts.
    44  On or before April first, two years after  this  act  shall  have  taken
    45  effect,  and  on or before the end of each three month period thereafter
    46  during which housing program funds are expended by the  city,  the  city
    47  shall  prepare  and  make available to the public a report detailing the
    48  measures and procedures established by the city in accordance with  this
    49  section,  the  dollar value of all contracts awarded to such enterprises
    50  and employees and the number of such  enterprises  and  employees  which
    51  benefit from such contracts.
    52    §  13. Reports. On or before January thirty-first, next succeeding the
    53  date on which this act shall have taken effect and on or before  January
    54  thirty-first  of  every  calendar  year  thereafter during which housing
    55  program funds are expended by the city, the city shall submit  a  report
    56  to  the  governor, the temporary president of the senate, the speaker of

        A. 5163                             8
     1  the assembly, the minority leader of the senate and the minority  leader
     2  of the assembly. Such report shall:
     3    1.  Describe the housing New York program for the twenty-first century
     4  activities carried out during the prior calendar year  and  the  housing
     5  New  York program for the twenty-first century activities which the city
     6  plans to carry out during the upcoming calendar year.  Such report shall
     7  include, but not be limited to:
     8    (a) (i) a description of the specific rehabilitation and  construction
     9  work undertaken and anticipated to be undertaken pursuant to the program
    10  including  the  addresses  of  all buildings assisted, and for each such
    11  building: the type of rehabilitation or construction work performed, the
    12  status of such work as of the date the report is prepared, the eligibil-
    13  ity and program criteria  utilized  therefor  and  the  city  agency  or
    14  instrumentality  responsible  for the administration and disbursement of
    15  housing program funds; and (ii) for the previous  year,  the  number  of
    16  units  and  the  amount  of funds utilized to provide such units in each
    17  such building or structure which are occupied by each of the  categories
    18  of income described in paragraph (d) of this subdivision and the methods
    19  and  calculations  used pursuant to section ten of this act to determine
    20  such categories of income;
    21    (b) a breakdown of the amount of program funds obligated and disbursed
    22  and anticipated to be obligated and disbursed to add new  units  to  the
    23  city's  housing  stock,  either  by  substantial  rehabilitation  or new
    24  construction and the number of units  so  added  or  anticipated  to  be
    25  added,  and  the  amount  obligated  and disbursed and anticipated to be
    26  obligated and disbursed to rehabilitate existing occupied units and  the
    27  number of such units;
    28    (c) the source and amount of total funds available for the housing New
    29  York  program  for the twenty-first century and the amount of such funds
    30  obligated and disbursed and anticipated to be  obligated  and  disbursed
    31  during the previous calendar year and the upcoming calendar year;
    32    (d)  the number of units, and the amount of housing program funds used
    33  to assist those units, and, as a subcategory, the number  of  units  and
    34  the  amount  of  housing  program funds used to assist those units which
    35  funds have been received by the city from the housing  New  York  corpo-
    36  ration pursuant to section 654-c of the private housing finance law, for
    37  units  which  have  been  and are expected to be occupied by persons and
    38  families whose incomes do not exceed fifty-five percent  of  the  median
    39  income, for persons and families whose incomes exceed fifty-five percent
    40  but  do  not  exceed ninety percent of median income and for persons and
    41  families whose incomes exceed ninety  percent  but  do  not  exceed  one
    42  hundred seventy-five percent of median income and the methods and calcu-
    43  lations  which  the city has used pursuant to section ten of this act in
    44  determining that these units have been or are expected to be occupied by
    45  such persons; and
    46    (e) a description of how the city has fulfilled  the  requirements  of
    47  section  eleven  of this act. Such description shall include, but not be
    48  limited to:
    49    (i) a statement of the aggregate amount of  locally  funded  operating
    50  and  capital expenditures the city utilized to provide dwelling accommo-
    51  dations, including, but not limited to, housing  program  funds,  during
    52  the  previous  and  present  city  fiscal  years and the sources of such
    53  funds;
    54    (ii) the aggregate amount, or an estimate of  such  amount,  whichever
    55  the  case  may  be, of locally funded operating and capital expenditures
    56  which were or would have been  utilized  to  provide  dwelling  accommo-

        A. 5163                             9
     1  dations in the previous and present fiscal years in the absence of hous-
     2  ing  program  funds and the percentage change in such amount between the
     3  previous and present fiscal year; and
     4    (iii) in the event the aggregate amount of locally funded expenditures
     5  on  housing  (exclusive  of  housing  program funds) appropriated in the
     6  expense and capital budgets as adopted in accordance with the charter of
     7  the city of New York is less than the aggregate amount of locally funded
     8  expenditures on housing (exclusive of housing program  funds)  appropri-
     9  ated  in  the  expense and capital budgets as adopted in accordance with
    10  the charter of the city of New York for the previous  fiscal  year,  the
    11  report shall set forth the reasons for such decline;
    12    (f)  a  listing,  pursuant to the requirements of section five of this
    13  act, of all those cases where tenants and owners have been involuntarily
    14  displaced from their homes by virtue of rehabilitation work carried  out
    15  with  housing  program  funds, or demolition work undertaken in order to
    16  construct buildings with housing program funds, and a statement, in each
    17  case as to why such displacement was necessary; and
    18    (g) a summary, prepared on an annual basis of the  reports  which  the
    19  city  is  required  to  make available to the public pursuant to section
    20  twelve of this act.
    21    2. Such report shall also include  the  percentage  of  total  housing
    22  program funds which have been utilized, up to the date of preparation of
    23  the  report,  to provide dwelling accommodations to persons and families
    24  in each of the categories of income described in paragraph (d) of subdi-
    25  vision one of this section and, if such  percentages  differ  from  that
    26  required  by  section  nine  of  this act, a description of how the city
    27  plans to meet the requirements of such section.
    28    3. On or before July first, two years after this act shall have  taken
    29  effect, and on or before the termination of each three year period ther-
    30  eafter  during which housing program funds are expended by the city, the
    31  city shall submit, to the  governor,  the  temporary  president  of  the
    32  senate,  the  speaker of the assembly, the minority leader of the senate
    33  and the minority leader of the assembly a projected  plan  for  how  the
    34  total amount of housing program funds will be spent over the life of the
    35  housing  New  York program for the twenty-first century. Such plan shall
    36  include, but not be limited to, all of the information,  to  the  extent
    37  known, required by this section.
    38    §  14.  Act  not  to supersede other requirements. Nothing in this act
    39  shall be deemed to make less restrictive any inconsistent requirement of
    40  state law or regulation relating to the financing, construction or reno-
    41  vation of dwelling accommodations assisted with housing program funds.
    42    § 15. Severability. If any clause, sentence,  paragraph,  section,  or
    43  part  of  this act shall be adjudged by any court of competent jurisdic-
    44  tion to be invalid such judgment shall not affect, impair, or invalidate
    45  the remainder thereof, but shall be confined in  its  operation  to  the
    46  clause,  sentence,  paragraph, section or part thereof directly involved
    47  in the controversy in which such judgment shall have been rendered.
    48    § 2. Paragraph (a) of subdivision 1, subdivisions 2 and  3,  paragraph
    49  (c) of subdivision 12 and subdivision 14 of section 654-c of the private
    50  housing  finance  law,  as  added by chapter 32 of the laws of 1986, are
    51  amended to read as follows:
    52    (a) "Housing New York program" shall mean the housing New York program
    53  established pursuant to section four of the housing New York program act
    54  and the "housing New York program for the  twenty-first  century"  shall
    55  mean  the  housing  New York program for the twenty-first century estab-

        A. 5163                            10
     1  lished pursuant to section four of the housing New York program act  for
     2  the twenty-first century.
     3    2.  There  is hereby established a public benefit corporation known as
     4  the "housing New York corporation" as a subsidiary  corporation  of  the
     5  corporation  solely for the purpose of borrowing money and granting such
     6  moneys to  the  city  for  the  purposes  and  in  accordance  with  the
     7  provisions  of  the  housing  New  York program and the housing New York
     8  program for the twenty-first century.
     9    3. It is hereby found and declared that the legislature,  pursuant  to
    10  the  housing  New  York program act and the housing New York program act
    11  for the twenty-first century, has established [a] the housing  New  York
    12  program  and  the  housing New York program for the twenty-first century
    13  under which the city will cause the  acquisition,  construction,  equip-
    14  ping,  improving,  rehabilitation  and  renovation  of dwelling accommo-
    15  dations within the city of New York for persons and  families  for  whom
    16  the  ordinary operations of private enterprise cannot supply such accom-
    17  modations; that such [program is] programs are  necessary  in  order  to
    18  increase  the  presently inadequate supply of dwelling accommodations in
    19  such city for such persons  and  families;  that  such  [program  shall]
    20  programs  require a substantial commitment of funds from public sources;
    21  and that the need for  such  moneys  necessitates  that  the  subsidiary
    22  corporation  created  by  this section be granted the powers and be made
    23  subject to the requirements of this section. The  legislature  therefore
    24  finds  that such subsidiary corporation, subject to the terms and condi-
    25  tions specified herein, should be given the power to  borrow  funds  and
    26  grant  such moneys to the city of New York, and any agency or instrumen-
    27  tality thereof (other than such subsidiary corporation)  or  the  corpo-
    28  ration  for  use  by such entity in the housing New York program and the
    29  housing New York program for the twenty-first century; that the  financ-
    30  ing of residential housing facilities in accordance with the housing New
    31  York  program  and  the  housing  New  York program for the twenty-first
    32  century is a public  purpose  for  which  moneys  may  be  granted,  and
    33  exemptions from taxation on the income of bonds or notes of such subsid-
    34  iary corporation and on such subsidiary corporation's income and proper-
    35  ty  granted, as specified herein; and that the powers and duties of such
    36  subsidiary corporation as recited in  this  section  are  necessary  and
    37  proper  for achieving the ends herein recited. Therefore such subsidiary
    38  corporation is hereby authorized and empowered:
    39    (a) to borrow money by issuing bonds and notes for the purposes of (i)
    40  granting  such  moneys  to  the  city  to   finance   the   acquisition,
    41  construction,  equipping,  improvement,  enlargement, rehabilitation and
    42  renovation of residential housing facilities for  the  purposes  and  in
    43  accordance  with  the provisions of the housing New York program and the
    44  housing New York program for the twenty-first century and (ii) refunding
    45  any bonds or notes of such subsidiary  corporation  issued  pursuant  to
    46  this section;
    47    (b)  to  grant  moneys  to  the  city for the purpose of financing the
    48  acquisition, construction, equipping, improvement, enlargement, rehabil-
    49  itation  and  renovation  of  residential  housing  facilities  for  the
    50  purposes  and  in accordance with the provisions of the housing New York
    51  program and the housing New York program for  the  twenty-first  century
    52  and  to  enter  into  any agreement specifying terms and conditions with
    53  respect thereto;
    54    (c) subject to the provisions of any contract with the holders of  any
    55  of  its bonds or notes, to pledge any revenues or assets of such subsid-
    56  iary corporation, including, but not limited to, any excess revenues  of

        A. 5163                            11
     1  the  Battery  Park city authority as shall be payable to such subsidiary
     2  corporation pursuant to an  agreement  between  the  Battery  Park  city
     3  authority and such subsidiary corporation as such subsidiary corporation
     4  shall  deem necessary, to secure any bonds or notes issued or any agree-
     5  ments entered into pursuant to this section;
     6    (d) to procure insurance, letters of credit or other  credit  enhance-
     7  ments with respect to its bonds or notes issued pursuant to this section
     8  and to pay the premiums and fees therefor;
     9    (e)  to  adopt,  amend or rescind rules and regulations appropriate to
    10  carry out its corporate purposes and to establish such requirements  and
    11  enter  into  such  agreements to achieve the objectives of this section;
    12  and
    13    (f) to exercise any and all other powers authorized  by  this  section
    14  and not inconsistent with the provisions of this section.
    15    (c)  the  city  shall  use  the  moneys granted to it pursuant to this
    16  section to finance residential housing facilities in accordance with the
    17  provisions of the housing New York program  and  the  housing  New  York
    18  program for the twenty-first century and shall comply with the terms and
    19  conditions  of  the  housing  New York program act, the housing New York
    20  program act for the twenty-first century and this section; and
    21    14. For the  purposes  of  financing  the  acquisition,  construction,
    22  equipping,  improvement,  enlargement,  rehabilitation and renovation of
    23  residential housing facilities pursuant to this section, such subsidiary
    24  corporation may borrow money by issuing bonds or notes in  an  aggregate
    25  principal amount not exceeding [four] eight hundred million dollars plus
    26  a principal amount of bonds or notes issued (i) to fund any related debt
    27  service reserve fund, (ii) to provide capitalized interest, and (iii) to
    28  provide  fees  and  other  charges and expenses, including underwriters'
    29  discount, related to the issuance of such bonds or notes and the mainte-
    30  nance of such reserves, all as  determined  by  such  subsidiary  corpo-
    31  ration,  excluding  bonds or notes issued to refund outstanding bonds or
    32  notes issued pursuant to this  section.  Any  bonds  or  notes  of  such
    33  subsidiary  corporation  shall  not be or be deemed to be obligations of
    34  the corporation or subject to or included in  any  authorization  of  or
    35  limitation on indebtedness of the corporation.
    36    In  computing the total principal amount of bonds or notes that may at
    37  any time be issued for any purpose under this section, the amount of the
    38  outstanding bonds or notes that constitutes interest  under  the  United
    39  States  Internal Revenue Code of nineteen hundred fifty-four, as amended
    40  to the effective date of this section, shall be excluded.
    41    § 3. This act shall take effect immediately.
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