Bill Text: NY A05420 | 2021-2022 | General Assembly | Amended

---

Bill Title: Prohibits certain limited-profit housing companies from voluntarily dissolving or semi-privatizing during the state disaster emergency declared pursuant to executive order 202 of 2020 in response to the outbreak of novel coronavirus, COVID-19.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2022-01-05 - referred to housing [A05420 Detail]

Download: New_York-2021-A05420-Amended.html

---

                STATE OF NEW YORK
        ________________________________________________________________________

                                         5420--A

                               2021-2022 Regular Sessions

                   IN ASSEMBLY

                                    February 16, 2021
                                       ___________

        Introduced  by  M.  of  A. L. ROSENTHAL -- read once and referred to the
          Committee on Housing -- committee discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee

        AN  ACT in relation to prohibiting certain limited-profit housing compa-
          nies from voluntarily dissolving during the state  disaster  emergency
          declared in response to the outbreak of COVID-19

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. 1.  Notwithstanding any provision of law to  the  contrary,
     2  no company or urban rental company, as such terms are defined in section
     3  12  of  the  private housing finance law, shall be dissolved pursuant to
     4  the provisions of section 35 of such law or shall undergo  semi-privati-
     5  zation pursuant to 28 RCNY 3-14(i)(15), or shall initiate any actions or
     6  proceedings  related to dissolution or semi-privatization, including but
     7  not limited to, conducting a vote  to  authorize  a  feasibility  study;
     8  submitting  a  preliminary  offering  plan  to  the attorney general for
     9  approval; distributing a  preliminary  offering  plan  to  shareholders;
    10  distributing  a  final offering plan or proxy statement to shareholders;
    11  submitting a notice of intent to dissolve to the commissioner of housing
    12  or supervising agency; committing, promising, or expending funds in  any
    13  way  for  the  purposes of dissolution or semi-privatization; or holding
    14  any of the required notice meetings during the state disaster  emergency
    15  declared  pursuant  to  executive order 202 of 2020 in response  to  the
    16  outbreak of novel coronavirus, COVID-19.
    17    2. As used in this act, the term "semi-privatization" means dissolving
    18  as a mutual housing company and transferring the property to  a  housing
    19  development fund company organized pursuant to article XI of the private
    20  housing finance law.
    21    § 2. This act shall take effect immediately.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD07630-03-1