senate Bill S2370

Authorizes municipalities to impose a tax lien upon foreclosed real property for unpaid building code and zoning violation fines and expenses

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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

  • 16 / Jan / 2013
    • REFERRED TO LOCAL GOVERNMENT
  • 08 / Jan / 2014
    • REFERRED TO LOCAL GOVERNMENT

Summary

Authorizes municipalities to impose a tax lien upon foreclosed real property for unpaid building code and zoning violation fines and expenses.

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Bill Details

See Assembly Version of this Bill:
A4860
Versions:
S2370
Legislative Cycle:
2013-2014
Current Committee:
Senate Local Government
Law Section:
General Municipal Law
Laws Affected:
Add ยง85-b, Gen Muni L
Versions Introduced in 2011-2012 Legislative Cycle:
S4752, S4752

Sponsor Memo

BILL NUMBER:S2370

TITLE OF BILL:
An act
to amend the general municipal law, in relation to authorizing a
municipality to impose tax liens for unpaid building code violations and
emergency repairs at foreclosed real property

PURPOSE OR GENERAL IDEA OF BILL: To ensure that those
financial
institutions or their successor property management organizations
that manage foreclosed upon residential or commercial properties
adequately maintain such properties until they are sold to a new
purchaser. Under current law, it is difficult and time consuming for
a municipality to collect municipal house code violation fines and
municipal costs incurred to correct such violations. This bill should
assist a municipality to collect such fines and encourage managers of
foreclosed upon properties to adequately maintain such properties
because they will have notice that such fines will ultimately be
collected.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Adds a new section 85-b to the General Municipal Law to
provide for a more formalized process by which a municipality can
file a lien against properties in which certain unpaid municipal
building code or zoning code violations are due. Such lien may only
be filed against real properties that are subject to a foreclosure
action pursuant to article 13 of the Real Property Actions and
proceedings Law. In addition to filing a lien for collection of
unpaid municipal code violations, such liens may include municipal
expenses to correct any such violation. Before the lien provisions
contained in this new section can be exercised, the municipality must
adopt a local law or ordinance to establish a lien filing procedure.
The municipality must file such lien in the county clerk's office, at
which time, such lien shall constitute a real property tax lien.

JUSTIFICATION:
The purpose of this bill is to enhance the ability of a municipality
to collect certain housing code violation fines on properties that
have been foreclosed upon or are subject to a foreclosure action. If
enacted, the provisions of this bill should give adequate notice to
banks that manage foreclosed properties, both residential and
commercial, that such municipal fines will be collected. Hence, such
financial institutions should be encouraged to adequately maintain
foreclosed properties to avoid the assessment and collection of such
fines.

PRIOR LEGISLATIVE HISTORY:
2012 - S. 4752 - Referred to Local Governments

FISCAL IMPLICATIONS: This bill will give
municipalities additional
powers to collect delinquent municipal housing code violation fines.


EFFECTIVE DATE: January 1st next succeeding the date
upon which it becomes law.

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

                                  2370

                       2013-2014 Regular Sessions

                            I N  S E N A T E

                            January 16, 2013
                               ___________

Introduced  by  Sen.  KLEIN  -- read twice and ordered printed, and when
  printed to be committed to the Committee on Local Government

AN ACT to amend the general municipal law, in relation to authorizing  a
  municipality  to  impose tax liens for unpaid building code violations
  and emergency repairs at foreclosed real property

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

  Section  1.  The  general  municipal  law  is  amended by adding a new
section 85-b to read as follows:
  S 85-B. LIENS FOR CERTAIN FINES AND EXPENSES OWED TO  A  MUNICIPALITY.
WITH  REGARD TO ANY REAL PROPERTY SUBJECT TO A FORECLOSURE ACTION PURSU-
ANT TO ARTICLE THIRTEEN OF THE REAL  PROPERTY  ACTIONS  AND  PROCEEDINGS
LAW, THE GOVERNING BODY OF A MUNICIPALITY MAY ENACT A LOCAL LAW, CODE OR
ORDINANCE  PROVIDING  THAT ANY UNPAID FINE FOR A BUILDING CODE OR ZONING
VIOLATION UPON SUCH REAL PROPERTY AND ANY UNPAID EXPENSE INCURRED BY THE
MUNICIPALITY TO CORRECT ANY SUCH VIOLATION SHALL BE LEVIED  AGAINST  THE
REAL  PROPERTY  AND SHALL CONSTITUTE A LIEN THEREON, IF THE MUNICIPALITY
FILES NOTICE THEREOF IN THE OFFICE OF THE COUNTY CLERK IN THE COUNTY  IN
WHICH  THE  REAL PROPERTY IS SITUATE. EVERY SUCH LIEN SHALL CONSTITUTE A
REAL PROPERTY TAX LIEN.
  S 2. This act shall take effect on the first of January next  succeed-
ing the date on which it shall have become a law.




 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD06712-01-3

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