senate Bill S5759

Provides for the creation and administration of land banks, for the conversion of vacant, abandoned or tax-delinquent properties into productive use

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Bill Status


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor
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actions

  • 14 / Jun / 2011
    • REFERRED TO RULES

Summary

Provides for the creation and administration of land banks, for the conversion of vacant, abandoned or tax-delinquent properties into productive use.

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Bill Details

See other versions of this Bill:
S663A
, A373A
Versions:
S5759
Legislative Cycle:
2011-2012
Current Committee:
Senate Rules
Law Section:
Not-for-Profit Corporation Law
Laws Affected:
Add Art 16 §§1600 - 1617, N-PC L; amd §2, Pub Auth L
Versions Introduced in Previous Legislative Cycles:
2009-2010: A700A, S4281A
2007-2008: A8059C, S5366C

Sponsor Memo

BILL NUMBER:S5759

TITLE OF BILL:
An act
to amend the not-for-profit corporation law and
the public authorities law,
in relation to
providing for the creation
and administration of land banks, for the conversion of vacant,
abandoned or tax-delinquent
properties into productive use

PURPOSE OR GENERAL IDEA OF BILL:
To provide for the creation of land banks by municipalities in New York
State.

SUMMARY OF SPECIFIC PROVISIONS:
* The creation of a land bank is entirely optional, never obligatory.

* A land bank may be created by any "foreclosing governmental unit"
which is defined as "tax districts" as defined by New York Real
Property Tax Law.

* A land bank will include an inventory of vacant, abandoned and tax
foreclosed property that it acquires.

* A land bank will include a redevelopment plan to be approved by the
foreclosing governmental unit.

* A land bank can enter into agreements to purchase other real
property consistent with an approved redevelopment plan.

* A land bank will maintain and make available for public review and
inspection a complete inventory of all property received.

* Land banks are structured as Type C not-for-profit corporations
because of the inability for local governments to create municipal
authorities without state legislative action.

* To create a land bank a FGU simply needs to pass an appropriate
ordinance or resolution.

* Two or more FGUs may jointly agree to create a land bank.

* The size of the Board of Directors has minimum (5) and maximum (11)
members.

* The method of selecting Board members is left entirely to the FGU,
or to the agreement between the FGUs when a land bank is jointly
created.

* A land bank can enter into contracts with municipalities for the
full range of services, including staffing.

* A land bank has broad operational powers, but not the power of
eminent domain.


* A land bank must maintain its real property in accordance with
municipal laws.

* A land bank is limited to ownership of real property within the
jurisdictional boundaries of the FGU that created it.

* A land bank will be approved by the Urban Development Corporation
and can be audited by the Authority Budget Office and or the Office
of the State Comptroller.

* This draft does not specify particular end users, or end uses,
of property conveyed by a land bank, but it does recognize that the
FGUs creating land banks may specify priority uses for property
disposition.

* Upon creation of land banks, FGUs may create special voting or
approval rights with respect to pmticular uses or property, or
particular kinds of property

JUSTIFICATION:
A crisis exists in many Upstate New York cities and their metro areas
caused by disinvestment in real property and resulting in a
significant amount of vacant and abandoned property. For example,
Buffalo at its height had 580,000 residents, but now has a population
of only 250,000. The city of Buffalo has an estimated 20,000 vacant
parcels, 5,000 vacant structures and an estimated 22,290 vacant
residential units. Problems associated with abandoned property
include crime, fire, disease, and diminished value of surrounding
properties. Abandoned property creates a haven for illicit and
dangerous activity. Local governments lose revenue because of the
costs of demolition, safety hazards, and spreading deterioration of
neighborhoods including resulting mortgage foreclosures.

This bill seeks to solve the problems of vacant and abandoned property
in a coordinated manner and to foster the development of such
property and promote economic growth. Land banks with this
legislation would be type-C not for profit corporations under this
chapter and in accordance with the provisions of this article and
pursuant to this article that may be created by any "foreclosing
governmental unit" that would be authorized by a municipality through
appropriate local approval to efficiently acquire, hold, manage and
develop tax-foreclosed properties with the long-term interest of
the community in mind.
The creation of land banks as Type C not for profit corporations at
the request of municipalities can be an effective and cost efficient
approach to managing and revitalizing vacant and abandoned properties.

Land banks allow local governments to overcome legal restraints on the
conversion of public land and public liens on private land into
performing assets. Land banks can remove redevelopment barriers that
hinder the creation of functioning private markets for conversion of
abandoned land into better uses.

PRIOR LEGISLATIVE HISTORY:
06/17/08 A.8059C Passed Assembly
06/18/08 Passed Senate 09/25/08
Vetoed memo 14509/26/08 Tabled


06/22/10- Passed Senate
06/03/10-referred to ways and means-Assembly

FISCAL IMPLICATIONS:
None.

EFFECTIVE DATE:
This act shall take effect immediately.

view bill text
                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  5759

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              June 14, 2011
                               ___________

Introduced  by  Sens. VALESKY, GRISANTI, KLEIN, PARKER -- read twice and
  ordered printed, and when printed to be committed to the Committee  on
  Rules

AN  ACT  to  amend  the  not-for-profit  corporation  law and the public
  authorities law, in relation to providing for the creation and  admin-
  istration  of  land  banks, for the conversion of vacant, abandoned or
  tax-delinquent properties into productive use

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  The not-for-profit corporation law is amended by adding a
new article 16 to read as follows:
                               ARTICLE 16
                               LAND BANKS
SECTION 1600. SHORT TITLE.
        1601. LEGISLATIVE INTENT.
        1602. DEFINITIONS.
        1603. CREATION AND EXISTENCE.
        1604. APPLICABILITY OF NEW YORK LAW.
        1605. BOARD OF DIRECTORS.
        1606. STAFF.
        1607. POWERS.
        1608. ACQUISITION OF PROPERTY.
        1609. DISPOSITION OF PROPERTY.
        1610. FINANCING OF LAND BANK OPERATIONS.
        1611. BORROWING AND ISSUANCE OF BONDS.
        1612. PUBLIC RECORDS AND PUBLIC MEETINGS.
        1613. DISSOLUTION OF LAND BANK.
        1614. CONFLICTS OF INTEREST.
        1615. CONSTRUCTION, INTENT AND SCOPE.
        1616. DELINQUENT PROPERTY TAX ENFORCEMENT.
        1617. CONTRACTS.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01212-11-1

S. 5759                             2

S 1600. SHORT TITLE.
  THIS ARTICLE SHALL BE KNOWN AND MAY BE CITED AS THE "LAND BANK ACT".
S 1601. LEGISLATIVE INTENT.
  THE  LEGISLATURE  FINDS  AND  DECLARES THAT NEW YORK'S COMMUNITIES ARE
IMPORTANT TO THE SOCIAL AND ECONOMIC  VITALITY  OF  THE  STATE.  WHETHER
URBAN,  SUBURBAN, OR RURAL, MANY COMMUNITIES ARE STRUGGLING TO COPE WITH
VACANT, ABANDONED, AND TAX-DELINQUENT PROPERTIES.
  THERE EXISTS A CRISIS IN MANY CITIES AND THEIR METRO AREAS  CAUSED  BY
DISINVESTMENT  IN REAL PROPERTY AND RESULTING IN A SIGNIFICANT AMOUNT OF
VACANT AND ABANDONED PROPERTY. FOR EXAMPLE, CORNELL  COOPERATIVE  EXTEN-
SION  ASSOCIATION  OF ERIE COUNTY ESTIMATES THAT THE CITY OF BUFFALO HAS
THIRTEEN THOUSAND VACANT PARCELS, FOUR THOUSAND VACANT STRUCTURES AND AN
ESTIMATED TWENTY-TWO THOUSAND  TWO  HUNDRED  NINETY  VACANT  RESIDENTIAL
UNITS.  THIS  CONDITION OF VACANT AND ABANDONED PROPERTY REPRESENTS LOST
REVENUE TO LOCAL GOVERNMENTS AND LARGE COSTS  RANGING  FROM  DEMOLITION,
EFFECTS  OF  SAFETY HAZARDS AND SPREADING DETERIORATION OF NEIGHBORHOODS
INCLUDING RESULTING MORTGAGE FORECLOSURES.
  THE NEED EXISTS TO STRENGTHEN AND REVITALIZE THE ECONOMY OF THE  STATE
AND  ITS LOCAL UNITS OF GOVERNMENT BY SOLVING THE PROBLEMS OF VACANT AND
ABANDONED PROPERTY IN A COORDINATED MANNER AND TO FOSTER THE DEVELOPMENT
OF SUCH PROPERTY AND PROMOTE ECONOMIC GROWTH.  SUCH PROBLEMS MAY INCLUDE
MULTIPLE TAXING JURISDICTIONS LACKING COMMON POLICIES, INEFFECTIVE PROP-
ERTY INSPECTION, CODE ENFORCEMENT AND PROPERTY  REHABILITATION  SUPPORT,
LENGTHY  AND/OR  INADEQUATE  FORECLOSURE PROCEEDINGS AND LACK OF COORDI-
NATION AND RESOURCES TO SUPPORT ECONOMIC REVITALIZATION.
  THERE IS AN OVERRIDING PUBLIC NEED TO CONFRONT THE PROBLEMS CAUSED  BY
VACANT,  ABANDONED AND TAX-DELINQUENT PROPERTIES THROUGH THE CREATION OF
NEW TOOLS TO BE AVAILABLE TO COMMUNITIES THROUGHOUT  NEW  YORK  ENABLING
THEM TO TURN VACANT SPACES INTO VIBRANT PLACES.
  LAND BANKS ARE ONE OF THE TOOLS THAT CAN BE UTILIZED BY COMMUNITIES TO
FACILITATE  THE  RETURN OF VACANT, ABANDONED, AND TAX-DELINQUENT PROPER-
TIES TO PRODUCTIVE USE.  THE PRIMARY FOCUS OF LAND  BANK  OPERATIONS  IS
THE ACQUISITION OF REAL PROPERTY THAT IS TAX DELINQUENT, TAX FORECLOSED,
VACANT,  ABANDONED,  AND  THE USE OF TOOLS AUTHORIZED IN THIS ARTICLE TO
ELIMINATE THE HARMS AND LIABILITIES CAUSED BY SUCH PROPERTIES.
S 1602. DEFINITIONS.
  THE FOLLOWING WORDS AND PHRASES WHEN USED IN THIS ARTICLE  SHALL  HAVE
THE  MEANINGS  GIVEN  TO THEM IN THIS SECTION UNLESS THE CONTEXT CLEARLY
INDICATES OTHERWISE:
  (A) "BOARD OF DIRECTORS" OR "BOARD" SHALL MEAN THE BOARD OF  DIRECTORS
OF A LAND BANK;
  (B)  "LAND  BANK"  SHALL  MEAN  A  LAND  BANK  ESTABLISHED AS A TYPE C
NOT-FOR-PROFIT CORPORATION UNDER THIS CHAPTER AND IN ACCORDANCE WITH THE
PROVISIONS OF THIS ARTICLE AND PURSUANT TO THIS ARTICLE;
  (C) "FORECLOSING GOVERNMENTAL  UNIT"  SHALL  MEAN  "TAX  DISTRICT"  AS
DEFINED  IN  SUBDIVISION  SIX  OF SECTION ELEVEN HUNDRED TWO OF THE REAL
PROPERTY TAX LAW;
  (D) "MUNICIPALITY" SHALL MEAN A CITY, VILLAGE, TOWN  OR  COUNTY  OTHER
THAN A COUNTY LOCATED WHOLLY WITHIN A CITY;
  (E)  "SCHOOL  DISTRICT"  SHALL MEAN A SCHOOL DISTRICT AS DEFINED UNDER
THE EDUCATION LAW; AND
  (F) "REAL PROPERTY" SHALL MEAN LANDS, LANDS  UNDER  WATER,  STRUCTURES
AND ANY AND ALL EASEMENTS, AIR RIGHTS, FRANCHISES AND INCORPOREAL HERED-
ITAMENTS  AND  EVERY  ESTATE  AND  RIGHT  THEREIN,  LEGAL AND EQUITABLE,
INCLUDING TERMS FOR YEARS AND LIENS BY  WAY  OF  JUDGMENT,  MORTGAGE  OR
OTHERWISE, AND ANY AND ALL FIXTURES AND IMPROVEMENTS LOCATED THEREON.

S. 5759                             3

S 1603. CREATION AND EXISTENCE.
  (A)  ANY  FORECLOSING  GOVERNMENTAL UNIT MAY CREATE A LAND BANK BY THE
ADOPTION OF A LOCAL LAW, ORDINANCE, OR RESOLUTION AS APPROPRIATE TO SUCH
FORECLOSING GOVERNMENTAL UNIT WHICH ACTION SPECIFIES THE FOLLOWING:
  (1) THE NAME OF THE LAND BANK;
  (2) THE NUMBER OF MEMBERS OF  THE  BOARD  OF  DIRECTORS,  WHICH  SHALL
CONSIST  OF  AN  ODD  NUMBER OF MEMBERS, AND SHALL BE NOT LESS THAN FIVE
MEMBERS NOR MORE THAN ELEVEN MEMBERS;
  (3) THE INITIAL INDIVIDUALS TO SERVE AS MEMBERS OF THE BOARD OF DIREC-
TORS, AND THE LENGTH OF TERMS FOR WHICH THEY ARE TO SERVE;
  (4) THE QUALIFICATIONS, MANNER OF SELECTION OR APPOINTMENT, AND  TERMS
OF OFFICE OF MEMBERS OF THE BOARD; AND
  (5)  THE  ARTICLES  OF INCORPORATION FOR THE LAND BANK, WHICH SHALL BE
FILED WITH THE SECRETARY OF STATE IN ACCORDANCE WITH THE PROCEDURES  SET
FORTH IN THIS CHAPTER.
  (B)  TWO  OR  MORE  FORECLOSING  GOVERNMENTAL  UNITS MAY ENTER INTO AN
INTERGOVERNMENTAL COOPERATION AGREEMENT WHICH CREATES A SINGLE LAND BANK
TO ACT ON BEHALF OF SUCH FORECLOSING GOVERNMENTAL UNITS, WHICH AGREEMENT
SHALL BE AUTHORIZED BY AND BE IN ACCORDANCE WITH THE PROVISIONS OF PARA-
GRAPH (A) OF THIS  SECTION.    SUCH  INTERGOVERNMENTAL  AGREEMENT  SHALL
INCLUDE PROVISIONS FOR DISSOLUTION OF SUCH LAND BANK.
  (C)  ANY FORECLOSING GOVERNMENTAL UNITS AND ANY MUNICIPALITY MAY ENTER
INTO AN INTERGOVERNMENTAL COOPERATION AGREEMENT WHICH CREATES  A  SINGLE
LAND  BANK  TO  ACT  ON  BEHALF OF SUCH FORECLOSING GOVERNMENTAL UNIT OR
UNITS AND MUNICIPALITY, WHICH AGREEMENT SHALL BE AUTHORIZED BY AND BE IN
ACCORDANCE WITH THE PROVISIONS OF PARAGRAPH (A) OF THIS SECTION.    SUCH
INTERGOVERNMENTAL  AGREEMENT SHALL INCLUDE PROVISIONS FOR DISSOLUTION OF
SUCH LAND BANK.
  (D) EXCEPT WHEN A LAND BANK IS CREATED PURSUANT TO  PARAGRAPH  (B)  OR
(C)  OF  THIS  SECTION,  IN THE EVENT A COUNTY CREATES A LAND BANK, SUCH
LAND BANK SHALL HAVE THE POWER TO ACQUIRE REAL PROPERTY  ONLY  IN  THOSE
PORTIONS  OF  SUCH COUNTY LOCATED OUTSIDE OF THE GEOGRAPHICAL BOUNDARIES
OF ANY OTHER LAND BANK CREATED BY  ANY  OTHER  FORECLOSING  GOVERNMENTAL
UNIT LOCATED PARTIALLY OR ENTIRELY WITHIN SUCH COUNTY.
  (E)  A  SCHOOL  DISTRICT MAY PARTICIPATE IN A LAND BANK PURSUANT TO AN
INTERGOVERNMENTAL COOPERATION AGREEMENT  WITH  THE  FORECLOSING  GOVERN-
MENTAL  UNIT  OR  UNITS THAT CREATE THE LAND BANK, WHICH AGREEMENT SHALL
SPECIFY THE MEMBERSHIP, IF ANY, OF SUCH SCHOOL DISTRICT ON THE BOARD  OF
DIRECTORS  OF  THE  LAND BANK, OR THE ACTIONS OF THE LAND BANK WHICH ARE
SUBJECT TO APPROVAL BY THE SCHOOL DISTRICT.
  (F) EACH LAND BANK CREATED PURSUANT TO THIS ACT  SHALL  BE  A  TYPE  C
NOT-FOR-PROFIT CORPORATION, AND SHALL HAVE PERMANENT AND PERPETUAL DURA-
TION UNTIL TERMINATED AND DISSOLVED IN ACCORDANCE WITH THE PROVISIONS OF
SECTION SIXTEEN HUNDRED THIRTEEN OF THIS ARTICLE.
  (G) NOTHING IN THIS ARTICLE SHALL BE CONSTRUED TO AUTHORIZE THE EXIST-
ENCE  OF  MORE  THAN  TEN  LAND  BANKS LOCATED IN THE STATE AT ONE TIME,
PROVIDED FURTHER  THAT  EACH  FORECLOSING  GOVERNMENTAL  UNIT  OR  UNITS
PROPOSING  TO  CREATE A LAND BANK SHALL SUBMIT SUCH LOCAL LAW, ORDINANCE
OR RESOLUTION AS REQUIRED BY PARAGRAPH (A) OF THIS SECTION, TO THE URBAN
DEVELOPMENT CORPORATION, FOR ITS REVIEW AND APPROVAL. THE CREATION OF  A
LAND  BANK  SHALL  BE CONDITIONED UPON APPROVAL OF THE URBAN DEVELOPMENT
CORPORATION.
  (H) THE OFFICE OF THE STATE COMPTROLLER SHALL HAVE  THE  AUTHORITY  TO
AUDIT ANY LAND BANK PURSUANT TO THIS ARTICLE.
S 1604. APPLICABILITY OF NEW YORK LAW.

S. 5759                             4

  THIS  ARTICLE  SHALL APPLY ONLY TO LAND BANKS CREATED PURSUANT TO THIS
ARTICLE.
S 1605. BOARD OF DIRECTORS.
  (A)  (1)  THE INITIAL SIZE OF THE BOARD SHALL BE DETERMINED IN ACCORD-
ANCE  WITH  SECTION  SIXTEEN  HUNDRED  THREE  OF  THIS  ARTICLE.  UNLESS
RESTRICTED  BY  THE  ACTIONS  OR AGREEMENTS SPECIFIED IN SECTION SIXTEEN
HUNDRED THREE OF THIS ARTICLE, THE  PROVISIONS  OF  THIS  SECTION  SHALL
APPLY.
  (2)  THE  SIZE OF THE BOARD MAY BE ADJUSTED IN ACCORDANCE WITH BY-LAWS
OF THE LAND BANK.
  (B) IN THE EVENT THAT A LAND BANK IS CREATED PURSUANT TO AN  INTERGOV-
ERNMENTAL  AGREEMENT IN ACCORDANCE WITH SECTION SIXTEEN HUNDRED THREE OF
THIS ARTICLE, SUCH INTERGOVERNMENTAL COOPERATION AGREEMENT SHALL SPECIFY
MATTERS IDENTIFIED IN PARAGRAPH (A) OF SECTION SIXTEEN HUNDRED THREE  OF
THIS ARTICLE; PROVIDED, HOWEVER, THAT EACH FORECLOSING GOVERNMENTAL UNIT
SHALL HAVE AT LEAST ONE APPOINTMENT TO THE BOARD.
  (C)  ANY  PUBLIC  OFFICER SHALL BE ELIGIBLE TO SERVE AS A BOARD MEMBER
AND THE ACCEPTANCE OF THE APPOINTMENT SHALL NEITHER TERMINATE NOR IMPAIR
SUCH PUBLIC OFFICE. FOR PURPOSES OF THIS SECTION, "PUBLIC OFFICER" SHALL
MEAN A PERSON WHO IS  ELECTED  TO  A  MUNICIPAL  OFFICE.  ANY  MUNICIPAL
EMPLOYEE  OR  APPOINTED  OFFICER  SHALL  BE ELIGIBLE TO SERVE AS A BOARD
MEMBER.
  (D) THE MEMBERS OF THE BOARD OF DIRECTORS SHALL SELECT  ANNUALLY  FROM
AMONG  THEMSELVES  A  CHAIRMAN,  A  VICE-CHAIRMAN, A TREASURER, AND SUCH
OTHER OFFICERS AS THE BOARD MAY DETERMINE,  AND  SHALL  ESTABLISH  THEIR
DUTIES AS MAY BE REGULATED BY RULES ADOPTED BY THE BOARD.
  (E)  THE  BOARD SHALL ESTABLISH RULES AND REQUIREMENTS RELATIVE TO THE
ATTENDANCE AND PARTICIPATION OF MEMBERS  IN  ITS  MEETINGS,  REGULAR  OR
SPECIAL.  SUCH  RULES AND REGULATIONS MAY PRESCRIBE A PROCEDURE WHEREBY,
SHOULD ANY MEMBER FAIL TO COMPLY WITH SUCH RULES AND  REGULATIONS,  SUCH
MEMBER  MAY  BE DISQUALIFIED AND REMOVED AUTOMATICALLY FROM OFFICE BY NO
LESS THAN A MAJORITY VOTE OF THE REMAINING MEMBERS  OF  THE  BOARD,  AND
THAT  MEMBER'S  POSITION SHALL BE VACANT AS OF THE FIRST DAY OF THE NEXT
CALENDAR MONTH. ANY PERSON REMOVED UNDER THE PROVISIONS  OF  THIS  PARA-
GRAPH  SHALL  BE  INELIGIBLE FOR REAPPOINTMENT TO THE BOARD, UNLESS SUCH
REAPPOINTMENT IS CONFIRMED UNANIMOUSLY BY THE BOARD.
  (F) A VACANCY ON THE BOARD SHALL BE FILLED IN THE SAME MANNER  AS  THE
ORIGINAL APPOINTMENT.
  (G)  BOARD  MEMBERS  SHALL  SERVE WITHOUT COMPENSATION, SHALL HAVE THE
POWER TO ORGANIZE AND REORGANIZE THE  EXECUTIVE,  ADMINISTRATIVE,  CLER-
ICAL,  AND  OTHER  DEPARTMENTS  OF  THE LAND BANK AND TO FIX THE DUTIES,
POWERS, AND COMPENSATION OF ALL EMPLOYEES, AGENTS,  AND  CONSULTANTS  OF
THE  LAND BANK. THE BOARD MAY REIMBURSE ANY MEMBER FOR EXPENSES ACTUALLY
INCURRED IN THE PERFORMANCE OF DUTIES ON BEHALF OF THE LAND BANK.
  (H) THE BOARD SHALL MEET IN REGULAR SESSION ACCORDING  TO  A  SCHEDULE
ADOPTED BY THE BOARD, AND ALSO SHALL MEET IN SPECIAL SESSION AS CONVENED
BY  THE  CHAIRMAN  OR  UPON  WRITTEN  NOTICE SIGNED BY A MAJORITY OF THE
MEMBERS.
  (I) A MAJORITY OF THE MEMBERS OF THE BOARD, NOT  INCLUDING  VACANCIES,
SHALL  CONSTITUTE  A  QUORUM FOR THE CONDUCT OF BUSINESS. ALL ACTIONS OF
THE BOARD SHALL BE APPROVED BY THE AFFIRMATIVE VOTE OF A MAJORITY OF THE
MEMBERS OF THAT BOARD PRESENT AND VOTING; PROVIDED, HOWEVER,  NO  ACTION
OF  THE  BOARD  SHALL  BE  AUTHORIZED  ON  THE  FOLLOWING MATTERS UNLESS
APPROVED BY A MAJORITY OF THE TOTAL BOARD MEMBERSHIP:
  (1) ADOPTION OF BY-LAWS AND OTHER RULES AND REGULATIONS FOR CONDUCT OF
THE LAND BANK'S BUSINESS;

S. 5759                             5

  (2) HIRING OR FIRING OF ANY EMPLOYEE OR CONTRACTOR OF THE  LAND  BANK.
THIS  FUNCTION  MAY,  BY MAJORITY VOTE OF THE TOTAL BOARD MEMBERSHIP, BE
DELEGATED TO A SPECIFIED OFFICER OR COMMITTEE OF THE  LAND  BANK,  UNDER
SUCH  TERMS AND CONDITIONS, AND TO THE EXTENT, THAT THE BOARD MAY SPECI-
FY;
  (3) THE INCURRING OF DEBT;
  (4) ADOPTION OR AMENDMENT OF THE ANNUAL BUDGET; AND
  (5) SALE, LEASE, ENCUMBRANCE, OR ALIENATION OF REAL PROPERTY, IMPROVE-
MENTS, OR PERSONAL PROPERTY.
  (J)  MEMBERS OF A BOARD SHALL NOT BE LIABLE PERSONALLY ON THE BONDS OR
OTHER OBLIGATIONS OF THE LAND BANK, AND THE RIGHTS OF CREDITORS SHALL BE
SOLELY AGAINST SUCH LAND BANK.
  (K) VOTE BY PROXY SHALL NOT BE PERMITTED. ANY  MEMBER  MAY  REQUEST  A
RECORDED VOTE ON ANY RESOLUTION OR ACTION OF THE LAND BANK.
  (L)  EACH  DIRECTOR,  OFFICER AND EMPLOYEE SHALL BE A STATE OFFICER OR
EMPLOYEE FOR THE PURPOSES OF SECTIONS SEVENTY-THREE AND SEVENTY-FOUR  OF
THE PUBLIC OFFICERS LAW.
S 1606. STAFF.
  A  LAND  BANK  MAY  EMPLOY A SECRETARY, AN EXECUTIVE DIRECTOR, ITS OWN
COUNSEL AND LEGAL STAFF, AND SUCH  TECHNICAL  EXPERTS,  AND  SUCH  OTHER
AGENTS AND EMPLOYEES, PERMANENT OR TEMPORARY, AS IT MAY REQUIRE, AND MAY
DETERMINE  THE  QUALIFICATIONS  AND FIX THE COMPENSATION AND BENEFITS OF
SUCH PERSONS. A LAND BANK MAY ALSO ENTER INTO CONTRACTS  AND  AGREEMENTS
WITH  MUNICIPALITIES  FOR  STAFFING  SERVICES TO BE PROVIDED TO THE LAND
BANK BY MUNICIPALITIES OR AGENCIES OR DEPARTMENTS THEREOF, OR FOR A LAND
BANK TO PROVIDE SUCH STAFFING SERVICES TO MUNICIPALITIES OR AGENCIES  OR
DEPARTMENTS THEREOF.
S 1607. POWERS.
  (A)  A  LAND BANK SHALL CONSTITUTE A TYPE C NOT-FOR-PROFIT CORPORATION
UNDER NEW YORK LAW, WHICH POWERS SHALL INCLUDE ALL POWERS  NECESSARY  TO
CARRY  OUT  AND  EFFECTUATE THE PURPOSES AND PROVISIONS OF THIS ARTICLE,
INCLUDING THE FOLLOWING POWERS IN ADDITION  TO  THOSE  HEREIN  OTHERWISE
GRANTED:
  (1)  ADOPT, AMEND, AND REPEAL BYLAWS FOR THE REGULATION OF ITS AFFAIRS
AND THE CONDUCT OF ITS BUSINESS;
  (2) SUE AND BE SUED IN ITS OWN NAME AND PLEAD AND BE IMPLEADED IN  ALL
CIVIL  ACTIONS, INCLUDING, BUT NOT LIMITED TO, ACTIONS TO CLEAR TITLE TO
PROPERTY OF THE LAND BANK;
  (3) TO ADOPT A SEAL AND TO ALTER THE SAME AT PLEASURE;
  (4) TO MAKE CONTRACTS, GIVE GUARANTEES AND INCUR  LIABILITIES,  BORROW
MONEY AT SUCH RATES OF INTEREST AS THE LAND BANK MAY DETERMINE;
  (5)  TO  ISSUE  NEGOTIABLE  REVENUE  BONDS  AND NOTES ACCORDING TO THE
PROVISIONS OF THIS ARTICLE;
  (6) TO PROCURE INSURANCE OR GUARANTEES FROM THE STATE OF NEW  YORK  OR
FEDERAL  GOVERNMENT  OF  THE  PAYMENTS  OF  ANY  DEBTS  OR PARTS THEREOF
INCURRED BY THE LAND BANK, AND TO PAY PREMIUMS IN CONNECTION THEREWITH;
  (7) TO ENTER INTO CONTRACTS AND OTHER  INSTRUMENTS  NECESSARY  TO  THE
PERFORMANCE OF ITS DUTIES AND THE EXERCISE OF ITS POWERS, INCLUDING, BUT
NOT  LIMITED  TO, INTERGOVERNMENTAL AGREEMENTS UNDER SECTION ONE HUNDRED
NINETEEN-O OF THE GENERAL MUNICIPAL LAW FOR THE JOINT EXERCISE OF POWERS
UNDER THIS ARTICLE;
  (8) TO ENTER INTO CONTRACTS AND OTHER  INSTRUMENTS  NECESSARY  TO  THE
PERFORMANCE OF FUNCTIONS BY THE LAND BANK ON BEHALF OF MUNICIPALITIES OR
AGENCIES OR DEPARTMENTS OF MUNICIPALITIES, OR THE PERFORMANCE BY MUNICI-
PALITIES  OR  AGENCIES  OR DEPARTMENTS OF MUNICIPALITIES OF FUNCTIONS ON
BEHALF OF THE LAND BANK;

S. 5759                             6

  (9) TO MAKE AND EXECUTE CONTRACTS AND OTHER INSTRUMENTS  NECESSARY  TO
THE EXERCISE OF THE POWERS OF THE LAND BANK; AND ANY CONTRACT OR INSTRU-
MENT  WHEN  SIGNED BY THE CHAIRMAN OR VICE-CHAIRMAN OF THE LAND BANK, OR
BY AN AUTHORIZED USE OF THEIR FACSIMILE SIGNATURES, AND BY THE SECRETARY
OR ASSISTANT SECRETARY, OR, TREASURER OR ASSISTANT TREASURER OF THE LAND
BANK,  OR  BY  AN AUTHORIZED USE OF THEIR FACSIMILE SIGNATURES, SHALL BE
HELD TO HAVE BEEN PROPERLY EXECUTED FOR AND ON ITS BEHALF;
  (10) TO PROCURE INSURANCE AGAINST LOSSES IN CONNECTION WITH  THE  REAL
PROPERTY, ASSETS, OR ACTIVITIES OF THE LAND BANK;
  (11)  TO INVEST MONEY OF THE LAND BANK, AT THE DISCRETION OF THE BOARD
OF DIRECTORS,  IN  INSTRUMENTS,  OBLIGATIONS,  SECURITIES,  OR  PROPERTY
DETERMINED  PROPER BY THE BOARD OF DIRECTORS, AND NAME AND USE DEPOSITO-
RIES FOR ITS MONEY;
  (12) TO ENTER INTO CONTRACTS FOR THE MANAGEMENT OF, THE COLLECTION  OF
RENT FROM, OR THE SALE OF REAL PROPERTY OF THE LAND BANK;
  (13)  TO  DESIGN, DEVELOP, CONSTRUCT, DEMOLISH, RECONSTRUCT, REHABILI-
TATE, RENOVATE, RELOCATE, AND OTHERWISE IMPROVE REAL PROPERTY OR  RIGHTS
OR INTERESTS IN REAL PROPERTY;
  (14)  TO  FIX, CHARGE, AND COLLECT RENTS, FEES AND CHARGES FOR THE USE
OF REAL PROPERTY OF THE LAND BANK AND FOR SERVICES PROVIDED BY THE  LAND
BANK;
  (15)  TO GRANT OR ACQUIRE A LICENSE, EASEMENT, LEASE (AS LESSOR AND AS
LESSEE), OR OPTION WITH RESPECT TO REAL PROPERTY OF THE LAND BANK;
  (16) TO ENTER INTO PARTNERSHIP, JOINT VENTURES, AND  OTHER  COLLABORA-
TIVE  RELATIONSHIPS  WITH  MUNICIPALITIES  AND  OTHER PUBLIC AND PRIVATE
ENTITIES FOR THE OWNERSHIP, MANAGEMENT, DEVELOPMENT, AND DISPOSITION  OF
REAL PROPERTY;
  (17) TO INVENTORY VACANT, ABANDONED AND TAX FORECLOSED PROPERTIES;
  (18) TO DEVELOP A REDEVELOPMENT PLAN TO BE APPROVED BY THE FORECLOSING
GOVERNMENTAL UNIT OR UNITS;
  (19) TO BE SUBJECT TO MUNICIPAL BUILDING CODES AND ZONING LAWS;
  (20)  TO  ENTER IN AGREEMENTS WITH A FORECLOSING GOVERNMENTAL UNIT FOR
THE DISTRIBUTION OF REVENUES TO THE FORECLOSING  GOVERNMENTAL  UNIT  AND
SCHOOL DISTRICT; AND
  (21)  TO  DO  ALL OTHER THINGS NECESSARY TO ACHIEVE THE OBJECTIVES AND
PURPOSES OF THE LAND BANK OR OTHER LAWS THAT RELATE TO THE PURPOSES  AND
RESPONSIBILITY OF THE LAND BANK.
  (B)  A  LAND  BANK  SHALL  NEITHER  POSSESS  NOR EXERCISE THE POWER OF
EMINENT DOMAIN.
S 1608. ACQUISITION OF PROPERTY.
  (A) THE REAL PROPERTY OF A LAND BANK AND ITS INCOME AND OPERATIONS ARE
EXEMPT FROM ALL TAXATION BY THE STATE OF NEW YORK  AND  BY  ANY  OF  ITS
POLITICAL SUBDIVISIONS.
  (B) THE LAND BANK MAY ACQUIRE REAL PROPERTY OR INTERESTS IN REAL PROP-
ERTY  BY  GIFT,  DEVISE,  TRANSFER,  EXCHANGE, FORECLOSURE, PURCHASE, OR
OTHERWISE ON TERMS AND CONDITIONS AND IN A MANNER THE LAND BANK  CONSID-
ERS PROPER.
  (C)  THE  LAND  BANK  MAY ACQUIRE REAL PROPERTY BY PURCHASE CONTRACTS,
LEASE PURCHASE AGREEMENTS, INSTALLMENT SALES CONTRACTS, LAND  CONTRACTS,
AND  MAY ACCEPT TRANSFERS FROM MUNICIPALITIES UPON SUCH TERMS AND CONDI-
TIONS AS AGREED TO BY THE LAND BANK AND THE MUNICIPALITY.  NOTWITHSTAND-
ING  ANY OTHER LAW TO THE CONTRARY, ANY MUNICIPALITY MAY TRANSFER TO THE
LAND BANK REAL PROPERTY AND INTERESTS IN REAL PROPERTY  OF  THE  MUNICI-
PALITY  ON SUCH TERMS AND CONDITIONS AND ACCORDING TO SUCH PROCEDURES AS
DETERMINED BY THE MUNICIPALITY.

S. 5759                             7

  (D) THE LAND BANK SHALL MAINTAIN ALL OF ITS REAL PROPERTY  IN  ACCORD-
ANCE  WITH THE LAWS AND ORDINANCES OF THE JURISDICTION IN WHICH THE REAL
PROPERTY IS LOCATED.
  (E)  THE LAND BANK SHALL NOT OWN OR HOLD REAL PROPERTY LOCATED OUTSIDE
THE JURISDICTIONAL BOUNDARIES OF THE FORECLOSING  GOVERNMENTAL  UNIT  OR
UNITS  WHICH  CREATED THE LAND BANK; PROVIDED, HOWEVER, THAT A LAND BANK
MAY BE GRANTED AUTHORITY PURSUANT TO  AN  INTERGOVERNMENTAL  COOPERATION
AGREEMENT WITH ANOTHER MUNICIPALITY TO MANAGE AND MAINTAIN REAL PROPERTY
LOCATED WITHIN THE JURISDICTION OF SUCH OTHER MUNICIPALITY.
  (F)  NOTWITHSTANDING  ANY  OTHER PROVISION OF LAW TO THE CONTRARY, ANY
MUNICIPALITY MAY CONVEY TO A LAND BANK REAL PROPERTY  AND  INTERESTS  IN
REAL  PROPERTY  ON  SUCH  TERMS  AND  CONDITIONS,  FORM AND SUBSTANCE OF
CONSIDERATION, AND PROCEDURES, ALL AS  DETERMINED  BY  THE  TRANSFERRING
MUNICIPALITY IN ITS DISCRETION.
 (G)  THE  ACQUISITION  OF  REAL PROPERTY BY A LAND BANK PURSUANT TO THE
PROVISIONS OF THIS ARTICLE, FROM ENTITIES OTHER THAN POLITICAL  SUBDIVI-
SIONS,  SHALL  BE  LIMITED  TO REAL PROPERTY THAT IS TAX DELINQUENT, TAX
FORECLOSED, VACANT OR ABANDONED; PROVIDED, HOWEVER,  THAT  A  LAND  BANK
SHALL  HAVE  AUTHORITY  TO  ENTER INTO AGREEMENTS TO PURCHASE OTHER REAL
PROPERTY CONSISTENT WITH AN APPROVED REDEVELOPMENT PLAN.
  (H) THE LAND BANK SHALL MAINTAIN AND MAKE AVAILABLE FOR PUBLIC  REVIEW
AND INSPECTION A COMPLETE INVENTORY OF ALL PROPERTY RECEIVED BY THE LAND
BANK.  SUCH  INVENTORY  SHALL  INCLUDE:  THE LOCATION OF THE PARCEL; THE
PURCHASE PRICE, IF ANY, FOR EACH  PARCEL  RECEIVED;  THE  CURRENT  VALUE
ASSIGNED  TO  THE  PROPERTY  FOR PURPOSES OF REAL PROPERTY TAXATION; THE
AMOUNT, IF ANY, OWED TO THE LOCALITY FOR  REAL  PROPERTY  TAXATION;  THE
IDENTITY  OF THE TRANSFEROR; AND ANY CONDITIONS OR RESTRICTIONS APPLICA-
BLE TO THE PROPERTY.
  (I) ALL PARCELS RECEIVED BY THE LAND  BANK  SHALL  BE  LISTED  ON  THE
RECEIVED INVENTORY ESTABLISHED PURSUANT TO PARAGRAPH (H) OF THIS SECTION
WITHIN  ONE  WEEK  OF ACQUISITION AND SHALL REMAIN IN SUCH INVENTORY FOR
ONE WEEK PRIOR TO DISPOSITION.
  (J) FAILURE TO COMPLY WITH THE REQUIREMENTS IN PARAGRAPHS (H) AND  (I)
OF  THIS  SECTION  WITH REGARD TO ANY PARTICULAR PARCEL SHALL CAUSE SUCH
ACQUISITION BY THE LAND BANK TO BE NULL AND VOID.
S 1609. DISPOSITION OF PROPERTY.
  (A) THE LAND BANK SHALL  HOLD  IN  ITS  OWN  NAME  ALL  REAL  PROPERTY
ACQUIRED BY THE LAND BANK IRRESPECTIVE OF THE IDENTITY OF THE TRANSFEROR
OF SUCH PROPERTY.
  (B)  THE LAND BANK SHALL MAINTAIN AND MAKE AVAILABLE FOR PUBLIC REVIEW
AND INSPECTION A COMPLETE INVENTORY OF ALL REAL PROPERTY DISPOSITIONS BY
THE LAND BANK. SUCH INVENTORY SHALL INCLUDE A COMPLETE COPY OF THE SALES
CONTRACT INCLUDING ALL TERMS AND CONDITIONS INCLUDING, BUT  NOT  LIMITED
TO,  ANY  FORM  OF  COMPENSATION  RECEIVED BY THE LAND BANK OR ANY OTHER
PARTY WHICH IS NOT INCLUDED WITHIN THE SALE PRICE.
  (C) THE LAND BANK SHALL DETERMINE AND SET FORTH IN POLICIES AND PROCE-
DURES OF THE BOARD OF DIRECTORS THE GENERAL  TERMS  AND  CONDITIONS  FOR
CONSIDERATION  TO  BE RECEIVED BY THE LAND BANK FOR THE TRANSFER OF REAL
PROPERTY AND INTERESTS IN REAL PROPERTY, WHICH  CONSIDERATION  MAY  TAKE
THE  FORM OF MONETARY PAYMENTS AND SECURED FINANCIAL OBLIGATIONS, COVEN-
ANTS AND CONDITIONS RELATED TO THE PRESENT AND FUTURE USE OF THE PROPER-
TY, CONTRACTUAL COMMITMENTS OF THE TRANSFEREE, AND SUCH OTHER  FORMS  OF
CONSIDERATION AS ARE CONSISTENT WITH STATE AND LOCAL LAW.
  (D)  THE  LAND  BANK  MAY  CONVEY,  EXCHANGE, SELL, TRANSFER, LEASE AS
LESSOR, GRANT, RELEASE AND DEMISE, PLEDGE ANY AND ALL INTERESTS IN, UPON
OR TO REAL PROPERTY OF THE LAND BANK.

S. 5759                             8

  (E) A FORECLOSING GOVERNMENTAL UNIT MAY, IN ITS LOCAL LAW,  RESOLUTION
OR ORDINANCE CREATING A LAND BANK, OR, IN THE CASE OF MULTIPLE FORECLOS-
ING  GOVERNMENTAL  UNITS  CREATING  A SINGLE LAND BANK IN THE APPLICABLE
INTERGOVERNMENTAL COOPERATION AGREEMENT, ESTABLISH A HIERARCHICAL  RANK-
ING  OF  PRIORITIES FOR THE USE OF REAL PROPERTY CONVEYED BY A LAND BANK
INCLUDING BUT NOT LIMITED TO:
  (1) USE FOR PURELY PUBLIC SPACES AND PLACES;
  (2) USE FOR AFFORDABLE HOUSING;
  (3) USE FOR RETAIL, COMMERCIAL AND INDUSTRIAL ACTIVITIES;
  (4) USE AS WILDLIFE CONSERVATION AREAS; AND
  (5) SUCH OTHER USES AND IN SUCH HIERARCHICAL ORDER  AS  DETERMINED  BY
THE FORECLOSING GOVERNMENTAL UNIT OR UNITS.
  (F)  A FORECLOSING GOVERNMENTAL UNIT MAY, IN ITS LOCAL LAW, RESOLUTION
OR ORDINANCE CREATING A LAND BANK, OR, IN THE CASE OF MULTIPLE FORECLOS-
ING GOVERNMENTAL UNITS CREATING A SINGLE LAND  BANK  IN  THE  APPLICABLE
INTERGOVERNMENTAL  COOPERATION  AGREEMENT,  REQUIRE  THAT ANY PARTICULAR
FORM OF DISPOSITION OF REAL PROPERTY, OR ANY DISPOSITION OF REAL PROPER-
TY LOCATED WITHIN  SPECIFIED  JURISDICTIONS,  BE  SUBJECT  TO  SPECIFIED
VOTING  AND  APPROVAL REQUIREMENTS OF THE BOARD OF DIRECTORS. EXCEPT AND
UNLESS RESTRICTED OR CONSTRAINED IN THIS MANNER, THE BOARD OF  DIRECTORS
MAY  DELEGATE  TO OFFICERS AND EMPLOYEES THE AUTHORITY TO ENTER INTO AND
EXECUTE AGREEMENTS, INSTRUMENTS OF  CONVEYANCE  AND  ALL  OTHER  RELATED
DOCUMENTS  PERTAINING  TO  THE  CONVEYANCE  OF REAL PROPERTY BY THE LAND
BANK.
  (G) ALL PROPERTY DISPOSITIONS SHALL BE LISTED ON THE PROPERTY DISPOSI-
TION INVENTORY ESTABLISHED PURSUANT TO PARAGRAPH  (B)  OF  THIS  SECTION
WITHIN  ONE WEEK OF DISPOSITION. SUCH RECORDS SHALL REMAIN AVAILABLE FOR
PUBLIC INSPECTION IN THE PROPERTY DISPOSITION INVENTORY INDEFINITELY.
  (H) FAILURE TO COMPLY WITH THE REQUIREMENTS IN PARAGRAPH (G)  OF  THIS
SECTION  SHALL  SUBJECT  THE LAND BANK TO A CIVIL PENALTY OF ONE HUNDRED
DOLLARS PER VIOLATION UP TO A MAXIMUM OF TEN THOUSAND DOLLARS  FOR  EACH
PARCEL,  RECOVERABLE  IN  AN  ACTION  BROUGHT BY THE ATTORNEY GENERAL OR
DISTRICT ATTORNEY. THE ATTORNEY GENERAL OR DISTRICT  ATTORNEY  MAY  ALSO
SEEK RESCISSION OF THE REAL PROPERTY TRANSACTION.
S 1610. FINANCING OF LAND BANK OPERATIONS.
  (A)  A LAND BANK MAY RECEIVE FUNDING THROUGH GRANTS AND LOANS FROM THE
FORECLOSING GOVERNMENTAL UNIT OR UNITS WHICH CREATED THE LAND BANK, FROM
OTHER MUNICIPALITIES, FROM THE STATE  OF  NEW  YORK,  FROM  THE  FEDERAL
GOVERNMENT, AND FROM OTHER PUBLIC AND PRIVATE SOURCES.
  (B) A LAND BANK MAY RECEIVE AND RETAIN PAYMENTS FOR SERVICES RENDERED,
FOR  RENTS AND LEASEHOLD PAYMENTS RECEIVED, FOR CONSIDERATION FOR DISPO-
SITION OF REAL AND PERSONAL PROPERTY, FOR PROCEEDS OF INSURANCE COVERAGE
FOR LOSSES INCURRED, FOR INCOME FROM  INVESTMENTS,  AND  FOR  ANY  OTHER
ASSET AND ACTIVITY LAWFULLY PERMITTED TO A LAND BANK UNDER THIS ARTICLE.
  (C)  UPON  THE  ADOPTION  OF  A LOCAL LAW, ORDINANCE, OR RESOLUTION BY
MUNICIPALITY, SCHOOL DISTRICT OR ANY TAXING DISTRICT, FIFTY  PERCENT  OF
THE REAL PROPERTY TAXES COLLECTED ON ANY SPECIFIC PARCEL OF REAL PROPER-
TY IDENTIFIED BY SUCH MUNICIPALITY, SCHOOL DISTRICT OR ANY TAXING JURIS-
DICTION  MAY BE REMITTED TO THE LAND BANK, IN ACCORDANCE WITH PROCEDURES
ESTABLISHED BY REGULATIONS PROMULGATED BY THE DEPARTMENT OF TAXATION AND
FINANCE. SUCH ALLOCATION OF REAL PROPERTY TAX  REVENUES  SHALL  COMMENCE
WITH  THE  FIRST TAXABLE YEAR FOLLOWING THE DATE OF CONVEYANCE AND SHALL
CONTINUE FOR A PERIOD OF FIVE YEARS.
S 1611. BORROWING AND ISSUANCE OF BONDS.
  (A) A LAND BANK SHALL HAVE POWER TO ISSUE BONDS FOR ANY OF ITS  CORPO-
RATE  PURPOSES, THE PRINCIPAL AND INTEREST OF WHICH ARE PAYABLE FROM ITS

S. 5759                             9

REVENUES GENERALLY. ANY OF SUCH BONDS MAY BE SECURED BY A PLEDGE OF  ANY
REVENUES,  INCLUDING GRANTS OR CONTRIBUTIONS FROM THE STATE OF NEW YORK,
THE FEDERAL GOVERNMENT, OR ANY AGENCY, AND INSTRUMENTALITY  THEREOF,  OR
BY A MORTGAGE OF ANY PROPERTY OF THE LAND BANK.
  (B)  THE  BONDS  ISSUED BY A LAND BANK ARE HEREBY DECLARED TO HAVE ALL
THE QUALITIES OF NEGOTIABLE INSTRUMENTS UNDER NEW YORK STATE LAW.
  (C) THE BONDS OF A LAND BANK CREATED  UNDER  THE  PROVISIONS  OF  THIS
ARTICLE  AND  THE INCOME THEREFROM SHALL AT ALL TIMES BE FREE FROM TAXA-
TION FOR THE STATE OF NEW YORK OR LOCAL PURPOSES UNDER ANY PROVISION  OF
NEW YORK LAW.
  (D) BONDS ISSUED BY THE LAND BANK SHALL BE AUTHORIZED BY RESOLUTION OF
THE BOARD AND SHALL BE LIMITED OBLIGATIONS OF THE LAND BANK; THE PRINCI-
PAL  AND INTEREST, COSTS OF ISSUANCE, AND OTHER COSTS INCIDENTAL THERETO
SHALL BE PAYABLE SOLELY FROM THE INCOME AND  REVENUE  DERIVED  FROM  THE
SALE, LEASE, OR OTHER DISPOSITION OF THE ASSETS OF THE LAND BANK. IN THE
DISCRETION  OF  THE  LAND BANK, THE BONDS MAY BE ADDITIONALLY SECURED BY
MORTGAGE OR OTHER SECURITY DEVICE COVERING ALL OR PART  OF  THE  PROJECT
FROM  WHICH  THE REVENUES SO PLEDGED MAY BE DERIVED. ANY REFUNDING BONDS
ISSUED SHALL BE PAYABLE FROM ANY SOURCE  DESCRIBED  ABOVE  OR  FROM  THE
INVESTMENT  OF  ANY OF THE PROCEEDS OF THE REFUNDING BONDS AND SHALL NOT
CONSTITUTE AN INDEBTEDNESS OR PLEDGE OF THE GENERAL CREDIT OF ANY  FORE-
CLOSING  GOVERNMENTAL  UNIT  OR  MUNICIPALITY  WITHIN THE MEANING OF ANY
CONSTITUTIONAL OR STATUTORY LIMITATION OF INDEBTEDNESS AND SHALL CONTAIN
A RECITAL TO THAT EFFECT. BONDS OF THE LAND BANK SHALL BE ISSUED IN SUCH
FORM, SHALL BE IN SUCH DENOMINATIONS, SHALL BEAR INTEREST, SHALL  MATURE
IN  SUCH  MANNER, AND BE EXECUTED BY ONE OR MORE MEMBERS OF THE BOARD AS
PROVIDED IN THE RESOLUTION AUTHORIZING THE ISSUANCE THEREOF. SUCH  BONDS
MAY  BE  SUBJECT TO REDEMPTION AT THE OPTION OF AND IN THE MANNER DETER-
MINED BY THE BOARD IN THE RESOLUTION AUTHORIZING THE ISSUANCE THEREOF.
  (E) BONDS ISSUED BY THE LAND BANK SHALL BE ISSUED, SOLD, AND DELIVERED
IN ACCORDANCE WITH THE TERMS AND PROVISIONS OF A RESOLUTION  ADOPTED  BY
THE  BOARD.    THE  BOARD  MAY SELL SUCH BONDS IN SUCH MANNER, EITHER AT
PUBLIC OR AT PRIVATE SALE, AND FOR SUCH PRICE AS IT MAY DETERMINE TO  BE
IN  THE  BEST  INTERESTS  OF THE LAND BANK. THE RESOLUTION ISSUING BONDS
SHALL BE PUBLISHED IN A NEWSPAPER  OF  GENERAL  CIRCULATION  WITHIN  THE
JURISDICTION OF THE LAND BANK.
  (F)  NEITHER  THE  MEMBERS OF A LAND BANK NOR ANY PERSON EXECUTING THE
BONDS SHALL BE LIABLE PERSONALLY ON ANY SUCH  BONDS  BY  REASON  OF  THE
ISSUANCE  THEREOF.  SUCH BONDS OR OTHER OBLIGATIONS OF A LAND BANK SHALL
NOT BE A DEBT OF ANY MUNICIPALITY OR OF THE STATE OF NEW YORK, AND SHALL
SO STATE ON THEIR FACE, NOR SHALL ANY MUNICIPALITY OR THE STATE  OF  NEW
YORK  NOR  ANY  REVENUES  OR  ANY PROPERTY OF ANY MUNICIPALITY OR OF THE
STATE OF NEW YORK BE LIABLE THEREFOR.
S 1612. PUBLIC RECORDS AND PUBLIC MEETINGS.
  (A) THE BOARD SHALL CAUSE MINUTES AND A RECORD TO BE KEPT OF  ALL  ITS
PROCEEDINGS. EXCEPT AS OTHERWISE PROVIDED IN THIS SECTION, THE LAND BANK
SHALL BE SUBJECT TO THE OPEN MEETINGS LAW AND THE FREEDOM OF INFORMATION
LAW.
  (B)  A  LAND  BANK  SHALL  HOLD A PUBLIC HEARING PRIOR TO FINANCING OR
ISSUANCE OF BONDS. THE LAND BANK SHALL SCHEDULE AND HOLD A PUBLIC  HEAR-
ING AND SOLICIT PUBLIC COMMENT. AFTER THE CONCLUSION OF THE PUBLIC HEAR-
ING AND COMMENTS, THE LAND BANK SHALL CONSIDER THE RESULTS OF THE PUBLIC
HEARING  AND COMMENTS WITH RESPECT TO THE PROPOSED ACTIONS. SUCH CONSID-
ERATION BY THE LAND BANK SHALL INCLUDE THE ACCOMMODATION OF  THE  PUBLIC
INTEREST  WITH  RESPECT TO SUCH ACTIONS; IF SUCH ACCOMMODATION IS DEEMED

S. 5759                            10

IN THE BEST INTEREST OF THE COMMUNITY  PROPOSED  ACTIONS  SHALL  INCLUDE
SUCH ACCOMMODATION.
  (C) IN ADDITION TO ANY OTHER REPORT REQUIRED BY THIS CHAPTER, THE LAND
BANK, THROUGH ITS CHAIRPERSON, SHALL ANNUALLY DELIVER, IN ORAL AND WRIT-
TEN  FORM,  A REPORT TO THE MUNICIPALITY. SUCH REPORT SHALL BE PRESENTED
BY MARCH FIFTEENTH OF EACH YEAR TO THE GOVERNING BODY OR  BOARD  OF  THE
MUNICIPALITY. THE REPORT SHALL DESCRIBE IN DETAIL THE PROJECTS UNDERTAK-
EN  BY  THE  LAND  BANK DURING THE PAST YEAR, THE MONIES EXPENDED BY THE
LAND BANK DURING THE PAST YEAR, AND THE ADMINISTRATIVE ACTIVITIES OF THE
LAND BANK DURING THE PAST YEAR. AT THE CONCLUSION  OF  THE  REPORT,  THE
CHAIRPERSON  OF  THE LAND BANK SHALL BE PREPARED TO ANSWER THE QUESTIONS
OF THE MUNICIPALITY WITH RESPECT  TO  THE  PROJECTS  UNDERTAKEN  BY  THE
AUTHORITY  DURING THE PAST YEAR, THE MONIES EXPENDED BY THE MUNICIPALITY
DURING THE PAST YEAR, AND THE ADMINISTRATIVE ACTIVITIES OF  THE  MUNICI-
PALITY DURING THE PAST YEAR.
S 1613. DISSOLUTION OF LAND BANK.
  A  LAND  BANK  MAY BE DISSOLVED AS A TYPE C NOT-FOR-PROFIT CORPORATION
SIXTY  CALENDAR  DAYS  AFTER  AN  AFFIRMATIVE  RESOLUTION  APPROVED   BY
TWO-THIRDS  OF  THE MEMBERSHIP OF THE BOARD OF DIRECTORS. SIXTY CALENDAR
DAYS ADVANCE WRITTEN NOTICE OF CONSIDERATION OF A RESOLUTION OF  DISSOL-
UTION  SHALL BE GIVEN TO THE FORECLOSING GOVERNMENTAL UNIT OR UNITS THAT
CREATED THE LAND BANK, SHALL BE PUBLISHED IN A LOCAL NEWSPAPER OF GENER-
AL CIRCULATION, AND SHALL BE SENT CERTIFIED MAIL TO THE TRUSTEE  OF  ANY
OUTSTANDING  BONDS  OF  THE LAND BANK. UPON DISSOLUTION OF THE LAND BANK
ALL REAL PROPERTY, PERSONAL PROPERTY AND OTHER ASSETS OF THE  LAND  BANK
SHALL  BECOME  THE  ASSETS OF THE FORECLOSING GOVERNMENTAL UNIT OR UNITS
THAT CREATED THE LAND BANK. IN THE EVENT THAT TWO  OR  MORE  FORECLOSING
GOVERNMENTAL UNITS CREATE A LAND BANK IN ACCORDANCE WITH SECTION SIXTEEN
HUNDRED THREE OF THIS ARTICLE, THE WITHDRAWAL OF ONE OR MORE FORECLOSING
GOVERNMENTAL  UNITS SHALL NOT RESULT IN THE DISSOLUTION OF THE LAND BANK
UNLESS THE INTERGOVERNMENTAL AGREEMENT SO  PROVIDES,  AND  THERE  IS  NO
FORECLOSING  GOVERNMENTAL UNIT THAT DESIRES TO CONTINUE THE EXISTENCE OF
THE LAND BANK.
S 1614. CONFLICTS OF INTEREST.
  NO MEMBER OF THE BOARD OR EMPLOYEE OF A LAND BANK  SHALL  ACQUIRE  ANY
INTEREST,  DIRECT OR INDIRECT, IN REAL PROPERTY OF THE LAND BANK, IN ANY
REAL PROPERTY TO BE ACQUIRED BY THE LAND BANK, OR IN ANY  REAL  PROPERTY
TO BE ACQUIRED FROM THE LAND BANK. NO MEMBER OF THE BOARD OR EMPLOYEE OF
A LAND BANK SHALL HAVE ANY INTEREST, DIRECT OR INDIRECT, IN ANY CONTRACT
OR  PROPOSED  CONTRACT FOR MATERIALS OR SERVICES TO BE FURNISHED OR USED
BY A LAND BANK. THE BOARD MAY ADOPT SUPPLEMENTAL RULES  AND  REGULATIONS
ADDRESSING  POTENTIAL  CONFLICTS  OF INTEREST AND ETHICAL GUIDELINES FOR
MEMBERS OF THE BOARD AND LAND BANK EMPLOYEES.
S 1615. CONSTRUCTION, INTENT AND SCOPE.
  THE PROVISIONS OF THIS ARTICLE SHALL BE CONSTRUED LIBERALLY TO  EFFEC-
TUATE  THE LEGISLATIVE INTENT AND THE PURPOSES AS COMPLETE AND INDEPEND-
ENT AUTHORIZATION FOR THE PERFORMANCE OF EACH AND EVERY  ACT  AND  THING
AUTHORIZED  BY  THIS  ARTICLE,  AND  ALL POWERS GRANTED SHALL BE BROADLY
INTERPRETED TO EFFECTUATE THE INTENT AND PURPOSES AND NOT AS  A  LIMITA-
TION OF POWERS. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH IN THIS ARTICLE,
IN  THE  EXERCISE  OF  ITS  POWERS AND DUTIES UNDER THIS ARTICLE AND ITS
POWERS RELATING TO PROPERTY HELD BY THE LAND BANK, THE LAND  BANK  SHALL
HAVE  COMPLETE  CONTROL  AS  FULLY AND COMPLETELY AS IF IT REPRESENTED A
PRIVATE PROPERTY OWNER AND SHALL NOT BE SUBJECT TO RESTRICTIONS  IMPOSED
BY  THE  CHARTER,  ORDINANCES, OR RESOLUTIONS OF A LOCAL UNIT OF GOVERN-
MENT.

S. 5759                            11

S 1616. DELINQUENT PROPERTY TAX ENFORCEMENT.
  THE  MUNICIPALITY MAY ENTER INTO A CONTRACT TO SELL SOME OR ALL OF THE
DELINQUENT TAX LIENS HELD BY IT TO A LAND BANK, SUBJECT TO THE FOLLOWING
CONDITIONS:
  (A) THE CONSIDERATION TO BE PAID MAY BE MORE OR  LESS  THAN  THE  FACE
AMOUNT OF THE TAX LIENS SOLD.
  (B) PROPERTY OWNERS SHALL BE GIVEN AT LEAST THIRTY DAYS ADVANCE NOTICE
OF  SUCH  SALE IN THE SAME FORM AND MANNER AS IS PROVIDED BY SUBDIVISION
TWO OF SECTION ELEVEN HUNDRED NINETY OF THE REAL PROPERTY TAX LAW. FAIL-
URE TO PROVIDE SUCH NOTICE OR THE FAILURE OF THE  ADDRESSEE  TO  RECEIVE
THE  SAME  SHALL NOT IN ANY WAY AFFECT THE VALIDITY OF ANY SALE OF A TAX
LIEN OR TAX LIENS OR THE VALIDITY OF THE TAXES OR INTEREST PRESCRIBED BY
LAW WITH RESPECT THERETO.
  (C) THE MUNICIPALITY  SHALL  SET  THE  TERMS  AND  CONDITIONS  OF  THE
CONTRACT OF SALE.
  (D)  THE  LAND  BANK MUST THIRTY DAYS PRIOR TO THE COMMENCEMENT OF ANY
FORECLOSURE ACTION PROVIDE TO THE MUNICIPALITY A LIST  OF  LIENS  TO  BE
FORECLOSED.  THE  MUNICIPALITY  MAY,  AT ITS SOLE OPTION AND DISCRETION,
REPURCHASE A LIEN OR LIENS ON THE FORECLOSURE LIST FROM THE  LAND  BANK.
THE  REPURCHASE  PRICE SHALL BE THE AMOUNT OF THE LIEN OR LIENS PLUS ANY
ACCRUED INTEREST AND COLLECTION FEES INCURRED BY THE LAND BANK. THE LAND
BANK SHALL PROVIDE THE FORECLOSURE LIST TO THE MUNICIPALITY, ALONG  WITH
THE APPLICABLE REPURCHASE PRICE OF EACH LIEN, BY CERTIFIED MAIL, AND THE
MUNICIPALITY SHALL HAVE THIRTY DAYS FROM RECEIPT TO NOTIFY THE LAND BANK
OF ITS OPTION TO PURCHASE ONE OR MORE OF THE LIENS.  IF THE MUNICIPALITY
OPTS  TO  PURCHASE THE LIEN, IT SHALL PROVIDE PAYMENT WITHIN THIRTY DAYS
OF RECEIPT OF THE REPURCHASE PRICE OF SAID LIEN OR LIENS.  IF THE  MUNI-
CIPALITY SHALL FAIL TO OPT TO REPURCHASE THE LIEN OR LIENS THE LAND BANK
SHALL HAVE THE RIGHT TO COMMENCE A FORECLOSURE ACTION IMMEDIATELY.
  (E)  THE SALE OF A TAX LIEN PURSUANT TO THIS ARTICLE SHALL NOT OPERATE
TO SHORTEN THE OTHERWISE APPLICABLE  REDEMPTION  PERIOD  OR  CHANGE  THE
OTHERWISE APPLICABLE INTEREST RATE.
  (F)  UPON  THE  EXPIRATION OF THE REDEMPTION PERIOD PRESCRIBED BY LAW,
THE PURCHASER OF A DELINQUENT TAX LIEN, OR ITS  SUCCESSORS  OR  ASSIGNS,
MAY  FORECLOSE  THE  LIEN  AS  IN  AN  ACTION TO FORECLOSE A MORTGAGE AS
PROVIDED IN SECTION ELEVEN HUNDRED NINETY-FOUR OF THE REAL PROPERTY  TAX
LAW.  THE  PROCEDURE IN SUCH ACTION SHALL BE THE PROCEDURE PRESCRIBED BY
ARTICLE THIRTEEN OF THE REAL PROPERTY ACTIONS AND  PROCEEDINGS  LAW  FOR
THE FORECLOSURE OF MORTGAGES.  AT ANY TIME FOLLOWING THE COMMENCEMENT OF
AN  ACTION  TO FORECLOSE A LIEN, THE AMOUNT REQUIRED TO REDEEM THE LIEN,
OR THE AMOUNT RECEIVED UPON SALE OF A PROPERTY, SHALL INCLUDE REASONABLE
AND NECESSARY COLLECTION COSTS, ATTORNEYS'  FEES,  LEGAL  COSTS,  ALLOW-
ANCES, AND DISBURSEMENTS.
  (G) THE PROVISIONS OF TITLE FIVE OF ARTICLE ELEVEN OF THE REAL PROPER-
TY  TAX  LAW  SHALL APPLY SO FAR AS IS PRACTICABLE TO A CONTRACT FOR THE
SALE OF TAX LIENS PURSUANT TO THIS ARTICLE.
  (H) IF THE COURT ORDERS A  PUBLIC  SALE  PURSUANT  TO  SECTION  ELEVEN
HUNDRED  THIRTY-SIX  OF  THE REAL PROPERTY TAX LAW, AND THE PURCHASER OF
THE PROPERTY IS THE LAND BANK, THEN THE FORM, SUBSTANCE, AND  TIMING  OF
THE  LAND  BANK'S  PAYMENT  OF  THE SALES PRICE MAY BE ACCORDING TO SUCH
AGREEMENT AS IS MUTUALLY ACCEPTABLE TO THE PLAINTIFF AND THE LAND  BANK.
THE  OBLIGATION  OF  THE  LAND  BANK  TO PERFORM IN ACCORDANCE WITH SUCH
AGREEMENT SHALL BE DEEMED TO BE IN FULL SATISFACTION OF  THE  TAX  CLAIM
WHICH WAS THE BASIS FOR THE JUDGMENT.
  (I) NOTWITHSTANDING ANY OTHER PROVISION OF LAW TO THE CONTRARY, IN THE
EVENT  THAT  NO  MUNICIPALITY  ELECTS  TO  TENDER  A BID AT A JUDICIALLY

S. 5759                            12

ORDERED SALE PURSUANT TO THE PROVISIONS OF SECTION ELEVEN HUNDRED  THIR-
TY-SIX  OF  THE REAL PROPERTY TAX LAW, THE LAND BANK MAY TENDER A BID AT
SUCH SALE IN AN AMOUNT EQUAL TO THE TOTAL AMOUNT OF ALL MUNICIPAL CLAIMS
AND  LIENS  WHICH  WERE THE BASIS FOR THE JUDGMENT. IN THE EVENT OF SUCH
TENDER BY THE LAND BANK THE PROPERTY SHALL BE DEEMED SOLD  TO  THE  LAND
BANK  REGARDLESS  OF ANY BIDS BY ANY OTHER THIRD PARTIES. THE BID OF THE
LAND BANK SHALL BE PAID AS TO ITS FORM, SUBSTANCE, AND TIMING  ACCORDING
TO  SUCH  AGREEMENT  AS  IS MUTUALLY ACCEPTABLE TO THE PLAINTIFF AND THE
LAND BANK.  THE OBLIGATION OF THE LAND BANK  TO  PERFORM  IN  ACCORDANCE
WITH  SUCH  AGREEMENT  SHALL BE DEEMED TO BE IN FULL SATISFACTION OF THE
MUNICIPAL CLAIM WHICH WAS THE BASIS FOR THE JUDGMENT. THE LAND BANK,  AS
PURCHASER  AT SUCH SALE SHALL TAKE AND FOREVER THEREAFTER HAVE, AN ABSO-
LUTE TITLE TO THE PROPERTY SOLD, FREE AND  DISCHARGED  OF  ALL  TAX  AND
MUNICIPAL  CLAIMS,  LIENS,  MORTGAGES, CHARGES AND ESTATES OF WHATSOEVER
KIND. THE DEED TO THE LAND BANK  SHALL  BE  EXECUTED,  ACKNOWLEDGED  AND
DELIVERED WITHIN THIRTY DAYS OF THE SALE.
  S 1617. CONTRACTS.
  (A)  THE LAND BANK MAY, IN ITS DISCRETION, ASSIGN CONTRACTS FOR SUPER-
VISION AND COORDINATION TO THE SUCCESSFUL BIDDER FOR ANY SUBDIVISION  OF
WORK  FOR  WHICH  THE LAND BANK RECEIVES BIDS. ANY CONSTRUCTION, DEMOLI-
TION, RENOVATION AND RECONSTRUCTION CONTRACT AWARDED BY  THE  LAND  BANK
SHALL  CONTAIN SUCH OTHER TERMS AND CONDITIONS AS THE LAND BANK MAY DEEM
DESIRABLE.  THE LAND BANK SHALL NOT AWARD ANY CONSTRUCTION,  DEMOLITION,
RENOVATION AND RECONSTRUCTION CONTRACT GREATER THAN TEN THOUSAND DOLLARS
EXCEPT TO THE LOWEST BIDDER WHO, IN ITS OPINION, IS QUALIFIED TO PERFORM
THE  WORK  REQUIRED  AND  WHO IS RESPONSIBLE AND RELIABLE. THE LAND BANK
MAY, HOWEVER, REJECT ANY OR ALL BIDS OR WAIVE ANY INFORMALITY IN  A  BID
IF  IT  BELIEVES  THAT THE PUBLIC INTEREST WILL BE PROMOTED THEREBY. THE
LAND BANK MAY REJECT ANY BID, IF, IN  ITS  JUDGMENT,  THE  BUSINESS  AND
TECHNICAL ORGANIZATION, PLANT, RESOURCES, FINANCIAL STANDING, OR EXPERI-
ENCE  OF  THE  BIDDER JUSTIFIES SUCH REJECTION IN VIEW OF THE WORK TO BE
PERFORMED.
  (B) FOR THE PURPOSES OF ARTICLE FIFTEEN-A OF THE EXECUTIVE  LAW  ONLY,
THE  LAND  BANK  SHALL  BE DEEMED A STATE AGENCY AS THAT TERM IS USED IN
SUCH ARTICLE, AND ALL CONTRACTS FOR PROCUREMENT,  DESIGN,  CONSTRUCTION,
SERVICES  AND MATERIALS SHALL BE DEEMED STATE CONTRACTS WITHIN THE MEAN-
ING OF THAT TERM AS SET FORTH IN SUCH ARTICLE.
  S 2. Subdivision 2 of section 2 of  the  public  authorities  law,  as
added by chapter 766 of the laws of 2005, is amended to read as follows:
  2. "local authority" shall mean (a) a public authority or public bene-
fit  corporation  created by or existing under this chapter or any other
law of the state of New York whose members do not hold a civil office of
the state, are not appointed by the governor or  are  appointed  by  the
governor specifically upon the recommendation of the local government or
governments; (b) a not-for-profit corporation affiliated with, sponsored
by,  or  created  by  a  county, city, town or village government; (c) a
local industrial developmental agency or authority or other local public
benefit corporation; [or] (d) an affiliate of such local  authority;  OR
(E)  A  LAND BANK CORPORATION CREATED PURSUANT TO ARTICLE SIXTEEN OF THE
NOT-FOR-PROFIT CORPORATION LAW.
  S 3. This act shall take effect immediately.

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