Bill Text: NY A06575 | 2023-2024 | General Assembly | Amended


Bill Title: Relates to the creation of an innovative housing initiative for persons with a developmental disability who wish and are able to safely reside in such a setting; directs the division of housing and community renewal to establish guidelines for the dissemination of disclosure materials for the offer and sale of interests in residential environments formed under the innovative housing initiative; creates an exemption from certain filing requirements for residential environments that are formed as cooperative interests in realty for persons receiving services under the innovative housing initiative.

Spectrum: Moderate Partisan Bill (Democrat 21-5)

Status: (Introduced) 2024-01-03 - referred to people with disabilities [A06575 Detail]

Download: New_York-2023-A06575-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                         6575--A

                               2023-2024 Regular Sessions

                   IN ASSEMBLY

                                     April 19, 2023
                                       ___________

        Introduced  by  M.  of  A. SEAWRIGHT, STIRPE, HUNTER, CLARK, MAGNARELLI,
          DARLING, BURDICK, JENSEN, BYRNES, McMAHON,  SIMON,  McDONALD  --  read
          once  and  referred  to  the  Committee on People with Disabilities --
          committee discharged, bill amended, ordered reprinted as  amended  and
          recommitted to said committee

        AN  ACT  to amend the mental hygiene law, in relation to the creation of
          an innovative housing initiative  for  persons  with  a  developmental
          disability  who  wish and are able to safely reside in such a setting;
          to direct the division of housing and community renewal  to  establish
          guidelines for the dissemination of disclosure materials for the offer
          and  sale  of  interests  in residential environments formed under the
          innovative housing initiative; and to amend the general business  law,
          in  relation to creating an exemption from certain filing requirements
          for residential environments that are formed as cooperative  interests
          in  realty for persons receiving services under the innovative housing
          initiative

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

     1    Section  1.  Legislative  purpose and findings. The legislature hereby
     2  finds and declares as follows:
     3    (a) New York state is currently facing a  severe  housing  crisis  for
     4  people with developmental disabilities. Staffing shortages for certified
     5  housing,  commonly  referred to as group homes, has put additional pres-
     6  sure on the state to provide alternative and innovative housing  models,
     7  especially for those persons who are able to live more independently and
     8  wish to do so.
     9    (b) Many persons with developmental disabilities live with a parent or
    10  parents,  a  family  member,  or other similar direct support personnel.
    11  However, many such persons wish to live more independently, and would do
    12  so if an option existed that included certain appropriate supports.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05184-04-3

        A. 6575--A                          2

     1    (c)  Further,  although  family  caregiving  is  appropriate  in  many
     2  instances,  parents  and similar direct support personnel may eventually
     3  become unable to continue supporting the person who has a  developmental
     4  disability,  due  to the direct support personnel's infirmity, death, or
     5  other concerns.
     6    (d)  Accordingly, there is a need to create new and innovative housing
     7  models that maximize independence for persons with  developmental  disa-
     8  bilities.  The  state should provide more independent housing options to
     9  persons with developmental disabilities, where such persons wish and are
    10  able to take advantage of such opportunities.
    11    (e) Thus, to maximize the availability of innovative housing settings,
    12  this legislation directs the office for people with developmental  disa-
    13  bilities  ("OPWDD")  to  create  an  Innovative  Housing Initiative that
    14  enables persons with developmental disabilities to live  more  independ-
    15  ently,  including  housing  that is owned or leased in their name, or by
    16  someone else on behalf of such person or that of a trust established for
    17  their benefit, with supports provided through OPWDD, such as availabili-
    18  ty of shared direct support personnel. In  this  way,  OPWDD  will  help
    19  ensure   that  persons  with  developmental  disabilities  are  afforded
    20  settings that are the most integrated and appropriate for their needs.
    21    § 2. The mental hygiene law is amended by adding a new  section  16.38
    22  to read as follows:
    23  § 16.38 Innovative housing initiative.
    24    (a) The office shall enable persons with a developmental disability to
    25  live  independently in a residential environment, with support services,
    26  including but not limited to staffing support, shared staffing  support,
    27  and opportunities for social engagement and recreation.
    28    (b)  Such residential environment may be comprised of a single housing
    29  unit or multiple units of housing, in one or more  buildings,  including
    30  but  not  limited to: (i) leased residential housing units; (ii) housing
    31  that qualifies as a cooperative interest in realty under  section  three
    32  hundred  fifty-two-e  of the general business law; and (iii) condominium
    33  units under article nine-B of the real property law.   The  interest  in
    34  such residential unit may be leased or owned by a person with a develop-
    35  mental  disability, or an entity on behalf of such person, including but
    36  not limited to a trust established for such person's benefit.  Each unit
    37  of residential housing may be occupied by no more  than  the  number  of
    38  unrelated persons permitted by local law.
    39    (c)  The  selection  of  the  residential  environment,  the person or
    40  persons with whom they live and the determination that  they  may  inde-
    41  pendently  live  in such residential environment, with support services,
    42  shall be made solely by such person with a developmental disability  and
    43  their qualified representative.
    44    (d) In recognition of the requirement that the individual's experience
    45  shall determine whether a residential environment is the most integrated
    46  and  appropriate  for the needs of the person with a developmental disa-
    47  bility, in determining eligibility  for  any  housing  program,  support
    48  services or other benefits, the office shall:
    49    (1)  honor  the right of the person with a developmental disability to
    50  choose the residential environment and with whom they may live;
    51    (2) maximize the types of residential environments in which  a  person
    52  with  a developmental disability may live while being eligible for funds
    53  through a home and community based waiver to the full  extent  permitted
    54  by federal law; and

        A. 6575--A                          3

     1    (3) permit a number of persons with a developmental disability to live
     2  in  a  residential  environment  when  viewed  as a whole up to the full
     3  extent permitted by federal law.
     4    (e)  This  section  shall  not  limit or otherwise affect requirements
     5  applying to:
     6    (1) an integrated  supportive  housing  program  administered  by  the
     7  office  in  coordination  with  the  division  of  housing and community
     8  renewal (commonly referred to  as  the  Integrative  Supportive  Housing
     9  program or "ISH"); or
    10    (2)  projects  developed as part of an empire state supportive housing
    11  initiative (commonly referred to as "ESSHI").
    12    (f) The office shall coordinate  with  the  department  of  health  to
    13  determine  whether  an amendment to the state plan authorized by section
    14  three hundred sixty-three-a of the social services law or  a  waiver  is
    15  required  from  the  federal  Centers for Medicare and Medicaid Services
    16  ("CMS") to maximize federal financial participation for  the  initiative
    17  described  in  this  section no more than thirty days from the effective
    18  date of this section. If the office determines that an amendment to  the
    19  state  plan  or  a  waiver  is  required or desirable, the department of
    20  health shall submit such amendment or apply to CMS for such waiver with-
    21  in twelve months from the date of said determination.
    22    (g) The office may conduct public hearings to receive  public  comment
    23  on  how residential environments that include innovative housing author-
    24  ized by this section can best be integrated with the broader community.
    25    (h) This section shall not be construed to permit the operation  with-
    26  out  an  operating certificate of a community residence, community resi-
    27  dential facility for the disabled, supervised living facility,  support-
    28  ive  living  facility,  or  any  other  provider of service requiring an
    29  operating certificate under section 16.03 of this  article.  Nothing  in
    30  this  section  shall  be  interpreted  as authorizing an increase in the
    31  number of beds approved for a community residence, community residential
    32  facility for the disabled, supervised living facility, supportive living
    33  facility, or any  other  provider  of  service  requiring  an  operating
    34  certificate under section 16.03 of this article.
    35    (i)  Residential  environments  in  which persons with a developmental
    36  disability receive services pursuant to the  innovative  housing  initi-
    37  ative described by this section shall not discriminate against any resi-
    38  dent or potential resident based on race, creed, age other than being at
    39  least  eighteen  years  of age, color, national origin, sex, disability,
    40  marital status, military  status,  family  status,  sexual  orientation,
    41  gender  identity  or  expression,  or any other protected characteristic
    42  under the New York state human rights law.
    43    § 3. The division of housing and  community  renewal  shall  establish
    44  guidelines  for  the dissemination of disclosure materials for the offer
    45  and sale of interests in residential environments formed under the inno-
    46  vative housing initiative established by section  16.38  of  the  mental
    47  hygiene  law,  including  (a)  housing  that  qualifies as a cooperative
    48  interest in realty under section 352-e of the general business law;  (b)
    49  condominium  units  under article 9-B of  the real property law; and (c)
    50  shares in a housing development fund  corporation  which  are  otherwise
    51  exempt  from  the  filing  requirements  of section 352-e of the general
    52  business law,  to  ensure  material  information  is  disclosed  to  any
    53  prospective  shareholder  that:  (i)  fully  describes  the  risks  to a
    54  prospective shareholder's investment; and (ii) encourages  the  prospec-
    55  tive  shareholder  to consult with legal counsel prior to purchasing any
    56  shares.  The division of housing and community renewal  shall  make  the

        A. 6575--A                          4

     1  disclosure  guidelines  publicly  available on its website in compliance
     2  with section 102(14) of the state administrative procedure act.
     3    §  4.  Section  352-g of the general business law, as added by chapter
     4  987 of the laws of 1960, is amended to read as follows:
     5    § 352-g. Exemptions. (a) The attorney general, upon  application,  may
     6  exempt  from the provisions of sections three hundred fifty-two-e, three
     7  hundred fifty-two-f and three hundred fifty-two-h any offerings of secu-
     8  rities (1) made to persons not exceeding forty in number  or  (2)  which
     9  securities  have  been fully registered with the securities and exchange
    10  commission of the United States of America or have received an exemption
    11  therefrom for reasons other than said offering is an intrastate offering
    12  to residents of the state of New York only.
    13    (b) Residential environments that are formed  as  housing  development
    14  fund  corporations pursuant to article XI of the private housing finance
    15  law and section four hundred two of the business corporation  law  where
    16  such  residential  environment  is formed for persons receiving services
    17  under the innovative housing initiative established by section 16.38  of
    18  the  mental  hygiene law and where the division of housing and community
    19  renewal is the supervising agency as defined  by  section  five  hundred
    20  seventy-two  of  the private housing finance law, and where the division
    21  of housing and community renewal requires the housing  development  fund
    22  corporation  to  enter into a monitoring agreement with a qualified not-
    23  for-profit with experience in the oversight, support and  management  of
    24  housing  development  fund  corporations shall be exempt from any filing
    25  requirements of section three hundred fifty-two-e of  this  article  for
    26  the investment in any residential environments and the conversion of any
    27  building,  group  of  buildings  or development which are converted to a
    28  housing development fund corporation.
    29    § 5. This act shall take effect immediately.
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