Bill Text: NY A06161 | 2019-2020 | General Assembly | Introduced

Bill Title: Authorizes the purchase of dwelling units in public housing projects by residents thereof in certain instances; provides for the availability of loans for such purchase and technical assistance to prepare resident management associations undertaking the management of such project.

Spectrum: Partisan Bill (Republican 5-0)

Status: (Introduced) 2019-02-28 - referred to housing [A06161 Detail]

Download: New_York-2019-A06161-Introduced.html

                STATE OF NEW YORK
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    February 28, 2019
        Introduced  by  M.  of  A.  FITZPATRICK,  MONTESANO,  TAGUE, DiPIETRO --
          Multi-Sponsored by -- M. of A. MANKTELOW -- read once and referred  to
          the Committee on Housing
        AN  ACT  to amend the public housing law, in relation to the purchase of
          dwelling units by residents of public housing projects
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1.    Section  58-a  of  the public housing law is amended by
     2  adding a new subdivision 3 to read as follows:
     3    3. (a) Subject to the approval of the commissioner in the  case  of  a
     4  state  project  or  in  the case of dwelling units operated as public or
     5  Indian housing pursuant to the provisions of the United  States  housing
     6  act  of  1937, as amended, and the local legislative body in the case of
     7  municipal projects an authority shall provide to those  residents  of  a
     8  project the opportunity to purchase dwelling units in a project provided
     9  that:
    10    (i)  the  resident has resided in public housing projects for not less
    11  than twenty-four consecutive months; and
    12    (ii) is determined by the authority to  be  capable  of  assuming  the
    13  responsibilities of homeownership; and
    14    (iii)  complies  with such additional requirements as the commissioner
    15  or the authority may establish in the case of a  state  or  a  municipal
    16  project.
    17    (b)  Any  resident  meeting  the requirements of paragraph (a) of this
    18  subdivision may purchase his or her  dwelling  unit  directly  from  the
    19  authority if the authority determines that such purchase will not inter-
    20  fere  with the rights of other residents residing in the project or harm
    21  the efficient operation of such project. Such  purchase  of  a  dwelling
    22  unit  by  a resident shall also include a fixed percentage of the common
    23  elements of the project as determined by the authority.  The  price  for
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

        A. 6161                             2
     1  any  such  purchase  shall not be more than the fair market value of the
     2  dwelling unit as determined by the authority.
     3    (c)  For  the purpose of assisting any purchase by a resident pursuant
     4  to this subdivision the authority involved or any subsidiary corporation
     5  of such authority may make a  loan  on  the  security  of  the  property
     6  involved to such purchasing resident at a rate of interest determined by
     7  the authority to be appropriate.
     8    (d)  If  any  resident  purchaser  of a dwelling unit pursuant to this
     9  subdivision sells such dwelling unit before the  expiration  of  a  five
    10  year  period,  such  purchaser shall pay the following percentage of the
    11  sale price to the authority involved:
    12    (i) seventy-five percent, if such sale occurs  during  the  first  one
    13  year period following such date;
    14    (ii)  sixty  percent,  if  such sale occurs during the second one year
    15  period following such date;
    16    (iii) forty-five percent, if such sale occurs  during  the  third  one
    17  year period following such date;
    18    (iv)  thirty  percent,  if such sale occurs during the fourth one year
    19  period following such date; and
    20    (v) fifteen percent, if such sale occurs during  the  fifth  one  year
    21  period following such date.
    22    (e)  The  authority  or  any existing tenant management corporation or
    23  association shall continue to manage the project and provide maintenance
    24  for the project until such  time  as  all  of  the  dwelling  units  are
    25  purchased  by  project  residents at which time the aforementioned func-
    26  tions shall be transferred to a resident management association or to  a
    27  private management company.
    28    (f)  The  commissioner  and  the authority involved shall provide such
    29  training, technical assistance and education  as  may  be  necessary  to
    30  prepare  the resident management association to undertake the management
    31  and maintenance of such project and to prepare  the  residents  for  the
    32  responsibility of homeownership.
    33    (g)  The commissioner shall issue such regulations as may be necessary
    34  to carry out the provisions of this subdivision.  Such  regulations  may
    35  establish any additional terms and conditions for homeownership or resi-
    36  dent  management pursuant to this subdivision that are determined by the
    37  commissioner to be appropriate.
    38    § 2. This act shall take effect immediately.