Bill Text: NY A09628 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Requires out-of-state affordable housing owners to maintain an escrow account for the purpose of financing utility costs, property tax obligations, fire services, and regular maintenance costs for affordable housing rental units located in New York state.

Spectrum: Partisan Bill (Democrat 4-0)

Status: (Introduced) 2024-04-10 - print number 9628a [A09628 Detail]

Download: New_York-2023-A09628-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________

                                          9628

                   IN ASSEMBLY

                                     March 26, 2024
                                       ___________

        Introduced  by  M.  of  A.  BUTTENSCHON -- read once and referred to the
          Committee on Housing

        AN ACT to amend the private housing finance law, in relation to  requir-
          ing  certain  out-of-state  affordable  housing  owners to maintain an
          escrow account for the purpose of  financing  utility  costs  and  tax
          obligations  for  affordable  housing rental units located in New York
          state

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

     1    Section  1. The private housing finance law is amended by adding a new
     2  section 615 to read as follows:
     3    § 615. Out-of-state affordable housing owner escrow account. 1.    For
     4  the purposes of this section, the following terms shall have the follow-
     5  ing meanings:
     6    (a)  "HUD"  shall  mean  the  federal  department of housing and urban
     7  development.
     8    (b) "Out-of-state affordable housing owner" shall mean  an  affordable
     9  housing development company that:
    10    (i) is located outside of New York state;
    11    (ii)  owns  twenty  or more affordable housing rental units located in
    12  New York state; and
    13    (iii) receives federal funding pursuant to a HUD-administered  program
    14  or initiative.
    15    2.  (a)  Every out-of-state affordable housing owner shall maintain an
    16  escrow account for the purpose of financing utility costs and tax  obli-
    17  gations for affordable housing rental units located in New York state.
    18    (b) Such escrow account shall contain fifty percent of:
    19    (i)  such  owner's  property  tax  obligations  for affordable housing
    20  rental units located in New York state for the prior tax year; and
    21    (ii) utility costs for affordable housing rental units located in  New
    22  York state for the previous twelve months.
    23    §  2.  This  act  shall take effect on the sixtieth day after it shall
    24  have become a law.

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14921-02-4