NY State Senate Bill 2009-S3455

Archive: Last Bill Status - In Senate Committee Finance Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

View Actions

Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Mar 26, 2010	print number 3455b
Mar 26, 2010	amend and recommit to finance
Mar 22, 2010	reported and committed to finance
Mar 17, 2010	print number 3455a
Mar 17, 2010	amend and recommit to housing, construction and community development
Jan 06, 2010	referred to housing, construction and community development
Jul 16, 2009	committed to rules
Jun 03, 2009	advanced to third reading
Jun 02, 2009	2nd report cal.
Jun 01, 2009	1st report cal.514
Mar 19, 2009	referred to housing, construction and community development

Votes

- Mar 22, 2010 - Committee Vote
  S3455
  
  Aye
  
  8
  
  Nay
  
  0
  
  Aye with Reservations
  
  0
  
  Absent
  
  0
  
  Excused
  
  0
  
  Abstained
  
  0
  - - Committee Vote: Mar 22, 2010
      
      aye (8)
      
      Bonacic
      
      Diaz
      
      Espada
      
      Hassell-Thompson
      
      Krueger
      
      Leibell
      
      Squadron
      
      Young

Bill Amendments

Original

B (Active)

co-Sponsors

2009-S3455 - Details

Current Committee:: Senate Finance
Law Section:: Private Housing Finance Law
Laws Affected:: Amd §§902, 903, 1002 & 1003, Priv Hous Fin L

2009-S3455 - Summary

Relates to activities engaged in by neighborhood preservation companies; allows certain limits on annual contract amounts may be exceeded in instances where the division of housing and community renewal has determined additional funding will address a compelling public purpose.

2009-S3455 - Sponsor Memo

                                 BILL NUMBER:  S3455

 TITLE OF BILL :  An act to amend the private housing finance law, in
relation to activities engaged in by neighborhood preservation
companies

 PURPOSE OF THE BILL :  This bill would amend Private Housing Finance
Law ("PHFL") articles 16 and 17.

 SUMMARY OF PROVISIONS :  Section 1 of the bill would amend PHFL §
902(5) to permit a neighborhood preservation company that is operating
within a designated neighborhood in a municipality to expand its
service area to include underserved areas of the municipality.

Section 2 of the bill would add a new subdivision 7 to PHFL § 902 to
define a "compelling public purpose" which would permit the division
of housing and community renewal to exceed contract funding caps in
order,to expand a neighborhood preservation company's service area to
include underserved areas of the municipality.

Section 3 of the bill would amend PHFL § 903(4) to authorize the
Division of Housing and Community Renewal ("DHCR") to exceed the
applicable limit on the annual contract amount if it is determined
that such additional funding will address a compelling public
.purpose.

Section 4 of the bill would add a new subdivision 7 to PHFL § 1002 to
define a "compelling public purpose" which would permit the DHCR to
exceed contract funding caps in order to expand a rural preservation
corporation's service area to include underserved rural areas.

Section 5 of the bill would amend PHFL § 1003(4) to authorize the DHCR
to exceed the applicable limit on the annual contract amount if it is
determined that such additional funding will address a compelling
public purpose.

Section 6 of the bill provides for an immediate effective date.

 EXISTING LAW :  Currently, the law caps the funds a rural or
neighborhood preservation company can receive in any one fiscal year
and restricts a neighborhood preservation company's service area to a
geographically defined neighborhood of a municipality.

 PRIOR LEGISLATIVE HISTORY : This is a new bill.

 STATEMENT IN SUPPORT :  The proposed amendments will improve the
effectiveness of neighborhood preservation company programs by
providing the DHCR with the discretion to exceed annual funding caps
to address a compelling public purpose and to expand a neighborhood
preservation company's service are a to include underserved areas of
the municipality. A compelling public purpose includes the ' merger or
consolidation of two or more preservation companies or corporations
where the pre-existing service areas of all merged or consolidated
companies and corporations remain served following the merger or
consolidation, and such action results in more efficient and cost
effective delivery of services; or services vital to the health,
safety and welfare of a service area as determined by the DHCR
pursuant to rules and regulations promulgated under articles 16 and
17.

 BUDGET IMPLICATIONS :  None. This bill could be implemented with the
funds currently available for these programs.

 EFFECTIVE DATE : This act shall take effect immediately.

2009-S3455 - Bill Text download pdf

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

                                  3455

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                             March 19, 2009
                               ___________

Introduced  by  Sen.  ESPADA -- (at request of the Division of Housing &
  Community Renewal) -- read twice and ordered printed, and when printed
  to be committed to the Committee on Housing, Construction and Communi-
  ty Development

AN ACT to amend the private housing finance law, in relation  to  activ-
  ities engaged in by neighborhood preservation companies

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

  Section 1. Subdivision 5 of section 902 of the private housing finance
law, as amended by chapter 668 of the laws of 1985, is amended  to  read
as follows:
  5.   "Neighborhood  preservation  activities"  shall  mean  activities
engaged in by a neighborhood preservation  company  within  a  geograph-
ically  defined  neighborhood of a municipality, PROVIDED, HOWEVER, THAT
THE DIVISION MAY AUTHORIZE A NEIGHBORHOOD PRESERVATION COMPANY TO ENGAGE
IN SUCH ACTIVITIES  IN  UNDERSERVED  AREAS  OF  THE  MUNICIPALITY  LYING
OUTSIDE OF ITS INITIALLY DESIGNATED NEIGHBORHOOD AREA, THAT ARE designed
(a)   to  construct,  maintain,  preserve,  repair,  renovate,  upgrade,
improve, modernize, rehabilitate or otherwise prolong  the  useful  life
and  to manage and coordinate the rehabilitation of residential dwelling
accommodations within such neighborhood, to restore abandoned and vacant
as well as occupied housing accommodations to  habitable  condition;  to
demolish  structurally  unsound  or  unsafe  or  otherwise  unsightly or
unhealthy structures which no longer serve or can economically  be  made
to  serve  a  useful  purpose consistent with stabilizing or improving a
neighborhood; to seal and maintain vacant but structurally sound  struc-
tures which are capable of being rehabilitated at a future time and used
for  housing  purposes;  to  acquire, where appropriate, buildings which
contain housing accommodations; to facilitate the disposition of  build-
ings  containing  housing accommodations to individual occupants thereof
or to cooperative groups whose members shall be  occupants  thereof;  to

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09050-02-9

S. 3455                             2

assist owners, occupants and tenants of housing accommodations to obtain
improvements  in  the physical conditions thereof and in the maintenance
and management thereof; and to manage housing accommodations  as  agents
for  the  owners  thereof  or  administrators  or receivers appointed or
designated pursuant to any law of the state; and (b) to accomplish simi-
lar purposes and meet similar needs with respect to retail  and  service
establishments  within such neighborhoods when carried out in connection
with and incidental to a program of housing related activities.
  S 2. Section 902 of the private housing  finance  law  is  amended  by
adding a new subdivision 7 to read as follows:
  7.  "COMPELLING  PUBLIC PURPOSE" SHALL MEAN: (I) THE MERGER OR CONSOL-
IDATION OF TWO OR MORE NEIGHBORHOOD  PRESERVATION  COMPANIES  WHERE  THE
PRE-EXISTING  SERVICE  AREAS  OF  ALL  MERGED  OR CONSOLIDATED COMPANIES
REMAIN SERVED FOLLOWING THE MERGER OR  CONSOLIDATION,  AND  SUCH  ACTION
RESULTS  IN MORE EFFICIENT AND COST EFFECTIVE DELIVERY OF SERVICES; (II)
SERVICES VITAL TO THE HEALTH, SAFETY AND WELFARE OF A SERVICE  AREA;  OR
(III)  AS  DETERMINED  BY THE DIVISION PURSUANT TO RULES AND REGULATIONS
PROMULGATED UNDER THIS ARTICLE.
  S 3. Subdivision 4 of section 903 of the private housing finance  law,
as amended by section 1 of part II of chapter 59 of the laws of 2008, is
amended to read as follows:
  4.  Contracts  entered  into  hereunder with neighborhood preservation
companies shall be limited in duration to periods of one year,  but  may
thereafter  be renewed, extended or succeeded by new contracts from year
to year in the discretion of the commissioner; they shall be limited  in
amount  to  the sum of one hundred thousand dollars in a single year and
to the aggregate sum of two  million  one  hundred  four  thousand  five
hundred dollars for a single neighborhood preservation company, provided
that  in  any  year in which the aggregate sum of three hundred thousand
dollars shall have been reached and all  succeeding  years,  the  annual
contract  amount  shall  be  subject to a limit of ninety-seven thousand
five hundred dollars per year, AND FURTHER PROVIDED THAT THE  APPLICABLE
LIMIT  ON  THE ANNUAL CONTRACT AMOUNT MAY BE EXCEEDED IN INSTANCES WHERE
THE DIVISION HAS DETERMINED THAT SUCH ADDITIONAL FUNDING WILL ADDRESS  A
COMPELLING  PUBLIC  PURPOSE;  they  shall  define with particularity the
neighborhood or portion thereof within which the neighborhood  preserva-
tion activities shall be performed; they shall specify the nature of the
neighborhood  preservation activities which shall be performed including
the approximate number of  buildings,  residential  dwelling  units  and
local  retail  and  service establishments which shall be affected; they
shall locate and describe, with as much particularity as  is  reasonably
possible,  the  buildings with respect to which such activities shall be
performed during the contract term; and they shall specify the number of
persons, salaries or rates of compensation and a description  of  duties
of  those  who shall be engaged by the neighborhood preservation company
to perform the activities embraced by the contract together with a sche-
dule of other anticipated expenses.
  S 4. Section 1002 of the private housing finance  law  is  amended  by
adding a new subdivision 7 to read as follows:
  7.  "COMPELLING  PUBLIC PURPOSE" SHALL MEAN: (I) THE MERGER OR CONSOL-
IDATION OF TWO OR MORE CORPORATIONS WHERE THE PRE-EXISTING SERVICE AREAS
OF ALL MERGED OR CONSOLIDATED CORPORATIONS REMAIN SERVED  FOLLOWING  THE
MERGER  OR  CONSOLIDATION, AND SUCH ACTION RESULTS IN MORE EFFICIENT AND
COST EFFECTIVE DELIVERY OF SERVICES; (II) SERVICES VITAL TO THE  HEALTH,
SAFETY  AND  WELFARE  OF  A  SERVICE AREA; OR (III) AS DETERMINED BY THE

S. 3455                             3

DIVISION PURSUANT TO RULES AND REGULATIONS PROMULGATED UNDER THIS  ARTI-
CLE.
  S 5. Subdivision 4 of section 1003 of the private housing finance law,
as amended by section 2 of part II of chapter 59 of the laws of 2008, is
amended to read as follows:
  4. Contracts pursuant to this section shall be for a period of no more
than  one  year,  but  may be renewed or extended from year to year, and
shall provide for payment by the division of no more  than  one  hundred
thousand  dollars  per year and shall be limited to the aggregate sum of
two million one hundred four thousand five hundred dollars for a  single
corporation,  provided  that  in  any year in which the aggregate sum of
three hundred thousand dollars shall have been reached and all  succeed-
ing  years,  the  annual  contract amount shall be subject to a limit of
ninety-seven  thousand  five  hundred  dollars  per  year,  AND  FURTHER
PROVIDED  THAT THE APPLICABLE LIMIT ON THE ANNUAL CONTRACT AMOUNT MAY BE
EXCEEDED IN INSTANCES WHERE THE DIVISION HAS DETERMINED THAT SUCH  ADDI-
TIONAL  FUNDING  WILL  ADDRESS  A  COMPELLING PUBLIC PURPOSE; they shall
define with particularity the region or portion thereof within which the
housing  preservation  and  community  renewal   activities   shall   be
performed; they shall specify the nature of the housing preservation and
community  renewal  activities  which  shall  be performed including the
approximate number of buildings, residential dwelling  units  and  local
retail  and  service  establishments which shall be affected; they shall
locate and describe, with as much particularity as is reasonably  possi-
ble,  the  buildings  with  respect  to  which  such activities shall be
performed during the contract term; and they shall specify the number of
persons, salaries or rates of compensation and a description  of  duties
of  those  who shall be engaged by the corporation to perform the activ-
ities embraced by the contract together with a schedule of other  antic-
ipated expenses.
  S 6. This act shall take effect immediately.

co-Sponsors

2009-S3455A - Details

Current Committee:: Senate Finance
Law Section:: Private Housing Finance Law
Laws Affected:: Amd §§902, 903, 1002 & 1003, Priv Hous Fin L

2009-S3455A - Summary

2009-S3455A - Sponsor Memo

                                 BILL NUMBER:  S3455A

 TITLE OF BILL :
An act to amend the private housing finance law, in relation to
activities engaged in by neighborhood preservation companies


 PURPOSE OF THE BILL :
This bill would amend Private  Housing Finance Law ("PHFL") articles
16 and 17.

 SUMMARY OF PROVISIONS :
Section 1 of the bill would amend PHFL § 902(5) to permit a
neighborhood preservation company that is operating within a
designated neighborhood in a municipality to expand its service area
to include under served areas of the municipality.

Section 2 of the bill would add a new subdivision 7 to PHFL § 902 to
define a "compelling public purpose" which would permit the division
of housing and community renewal to exceed contract funding caps in
order to expand a neighborhood preservation company's service area to
include underserved areas of the municipality.

Section 3 of the bill would amend PHFL § 903(4) to authorize the
Division of Housing and Community Renewal ("DHCR") to exceed the
applicable limit on the annual contract amount if it is determined

that such additional funding will address a compelling public purpose.

Section 4 of the bill would add a new subdivision 7 to PHFL § 1002 to
define a "compelling public purpose" which would permit the DHCR to
exceed contract funding caps in order to expand a rural preservation
corporation's service area to include underserved rural areas.

Section 5 of the bill would amend PHFL § 1003(4) to authorize the DHCR
to exceed the applicable limit on the annual contract amount if it is
determined that such additional funding will address a compelling
public purpose.

Section 6 of the bill provides for an immediate effective date.

 EXISTING LAW :
Currently, the law caps the funds a rural or neighborhood preservation
company can receive in anyone fiscal year and restricts a neighborhood
preservation company's service area to a geographically defined
neighborhood of a municipality.

 PRIOR LEGISLATIVE HISTORY :
This is a new bill.

 STATEMENT IN SUPPORT :
The proposed amendments will improve the effectiveness of neighborhood
preservation company programs by providing the DHCR with the
discretion to exceed annual funding caps to address a compelling
public purpose and to expand a neighborhood preservation company's
service area to include underserved areas of the municipality. A
compelling public purpose includes the merger or consolidation of two
or more preservation companies or corporations where the pre-existing
service areas of all merged or consolidated companies and corporations
remain served following the merger or consolidation, and such action
results in more efficient and cost effective delivery of services; or
services vital to the health, safety and welfare of a service area as
determined by the DHCR pursuant to rules and regulations promulgated
under articles 16 and 17.

 BUDGET IMPLICATIONS :

None. This bill could be implemented with the funds currently
available for these programs.

 EFFECTIVE DATE :
This act shall take effect immediately.

2009-S3455A - Bill Text download pdf

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

                                 3455--A

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                             March 19, 2009
                               ___________

Introduced  by  Sens.  ESPADA, HASSELL-THOMPSON, KRUEGER, OPPENHEIMER --
  read twice and ordered printed, and when printed to  be  committed  to
  the  Committee  on  Housing, Construction and Community Development --
  recommitted to the Committee on Housing,  Construction  and  Community
  Development  in  accordance  with  Senate  Rule 6, sec. 8 -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee

AN ACT to amend the private housing finance law, in relation  to  activ-
  ities engaged in by neighborhood preservation companies

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

  Section 1. Subdivision 5 of section 902 of the private housing finance
law, as amended by chapter 668 of the laws of 1985, is amended  to  read
as follows:
  5.   "Neighborhood  preservation  activities"  shall  mean  activities
engaged in by a neighborhood preservation  company  within  a  geograph-
ically  defined  neighborhood of a municipality, PROVIDED, HOWEVER, THAT
THE DIVISION MAY AUTHORIZE A NEIGHBORHOOD PRESERVATION COMPANY TO ENGAGE
IN SUCH ACTIVITIES  IN  UNDERSERVED  AREAS  OF  THE  MUNICIPALITY  LYING
OUTSIDE OF ITS INITIALLY DESIGNATED NEIGHBORHOOD AREA, THAT ARE designed
(a)   to  construct,  maintain,  preserve,  repair,  renovate,  upgrade,
improve, modernize, rehabilitate or otherwise prolong  the  useful  life
and  to manage and coordinate the rehabilitation of residential dwelling
accommodations within such neighborhood, to restore abandoned and vacant
as well as occupied housing accommodations to  habitable  condition;  to
demolish  structurally  unsound  or  unsafe  or  otherwise  unsightly or
unhealthy structures which no longer serve or can economically  be  made
to  serve  a  useful  purpose consistent with stabilizing or improving a
neighborhood; to seal and maintain vacant but structurally sound  struc-
tures which are capable of being rehabilitated at a future time and used
for  housing  purposes;  to  acquire, where appropriate, buildings which

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09050-06-0

S. 3455--A                          2

contain housing accommodations; to facilitate the disposition of  build-
ings  containing  housing accommodations to individual occupants thereof
or to cooperative groups whose members shall be  occupants  thereof;  to
assist owners, occupants and tenants of housing accommodations to obtain
improvements  in  the physical conditions thereof and in the maintenance
and management thereof; and to manage housing accommodations  as  agents
for  the  owners  thereof  or  administrators  or receivers appointed or
designated pursuant to any law of the state; and (b) to accomplish simi-
lar purposes and meet similar needs with respect to retail  and  service
establishments  within such neighborhoods when carried out in connection
with and incidental to a program of housing related activities.
  S 2. Section 902 of the private housing  finance  law  is  amended  by
adding a new subdivision 7 to read as follows:
  7.  "COMPELLING  PUBLIC PURPOSE" SHALL MEAN: (A) THE MERGER OR CONSOL-
IDATION OF TWO OR MORE NEIGHBORHOOD  PRESERVATION  COMPANIES  WHERE  THE
PRE-EXISTING  SERVICE  AREAS  OF  ALL  MERGED  OR CONSOLIDATED COMPANIES
REMAIN SERVED FOLLOWING THE MERGER OR  CONSOLIDATION,  AND  SUCH  ACTION
RESULTS  IN  MORE  EFFICIENT AND COST EFFECTIVE DELIVERY OF SERVICES; OR
(B) SERVICES VITAL TO THE HEALTH, SAFETY AND WELFARE OF A SERVICE AREA.
  S 3. Subdivision 4 of section 903 of the private housing finance  law,
as amended by section 1 of part FF of chapter 57 of the laws of 2009, is
amended to read as follows:
  4.  Contracts  entered  into  hereunder with neighborhood preservation
companies shall be limited in duration to periods of one year,  but  may
thereafter  be renewed, extended or succeeded by new contracts from year
to year in the discretion of the commissioner; they shall be limited  in
amount  to  the  sum  of  one hundred thousand dollars in a single year,
provided that in any year in which the aggregate sum  of  three  hundred
thousand  dollars  shall have been reached and all succeeding years, the
annual contract amount shall be subject to a limit of ninety-seven thou-
sand five hundred dollars per year, AND FURTHER PROVIDED THAT THE APPLI-
CABLE LIMIT ON THE ANNUAL CONTRACT AMOUNT MAY BE EXCEEDED  IN  INSTANCES
WHERE  THE  DIVISION  HAS  DETERMINED  THAT SUCH ADDITIONAL FUNDING WILL
ADDRESS A COMPELLING PUBLIC PURPOSE; they shall define with particulari-
ty the neighborhood or portion thereof  within  which  the  neighborhood
preservation  activities  shall  be  performed;  they  shall specify the
nature of  the  neighborhood  preservation  activities  which  shall  be
performed  including  the  approximate  number of buildings, residential
dwelling units and local retail and service establishments  which  shall
be  affected; they shall locate and describe, with as much particularity
as is reasonably possible, the buildings  with  respect  to  which  such
activities  shall  be performed during the contract term; and they shall
specify the number of persons, salaries or rates of compensation  and  a
description  of duties of those who shall be engaged by the neighborhood
preservation company to perform the activities embraced by the  contract
together with a schedule of other anticipated expenses.
  S  4.  Section  1002  of the private housing finance law is amended by
adding a new subdivision 7 to read as follows:
  7. "COMPELLING PUBLIC PURPOSE" SHALL MEAN: (A) THE MERGER  OR  CONSOL-
IDATION OF TWO OR MORE CORPORATIONS WHERE THE PRE-EXISTING SERVICE AREAS
OF  ALL  MERGED OR CONSOLIDATED CORPORATIONS REMAIN SERVED FOLLOWING THE
MERGER OR CONSOLIDATION, AND SUCH ACTION RESULTS IN MORE  EFFICIENT  AND
COST  EFFECTIVE  DELIVERY  OF  SERVICES;  OR  (B)  SERVICES VITAL TO THE
HEALTH, SAFETY AND WELFARE OF A SERVICE AREA.

S. 3455--A                          3

  S 5. Subdivision 4 of section 1003 of the private housing finance law,
as amended by section 2 of part FF of chapter 57 of the laws of 2009, is
amended to read as follows:
  4. Contracts pursuant to this section shall be for a period of no more
than  one  year,  but  may be renewed or extended from year to year, and
shall provide for payment by the division of no more  than  one  hundred
thousand dollars per year, provided that in any year in which the aggre-
gate  sum  of three hundred thousand dollars shall have been reached and
all succeeding years, the annual contract amount shall be subject  to  a
limit  of  ninety-seven  thousand  five  hundred  dollars  per year, AND
FURTHER PROVIDED THAT THE APPLICABLE LIMIT ON THE ANNUAL CONTRACT AMOUNT
MAY BE EXCEEDED IN   INSTANCES WHERE THE DIVISION  HAS  DETERMINED  THAT
SUCH  ADDITIONAL  FUNDING WILL ADDRESS A COMPELLING PUBLIC PURPOSE; they
shall define with particularity the region  or  portion  thereof  within
which the housing preservation and community renewal activities shall be
performed; they shall specify the nature of the housing preservation and
community  renewal  activities  which  shall  be performed including the
approximate number of buildings, residential dwelling  units  and  local
retail  and  service  establishments which shall be affected; they shall
locate and describe, with as much particularity as is reasonably  possi-
ble,  the  buildings  with  respect  to  which  such activities shall be
performed during the contract term; and they shall specify the number of
persons, salaries or rates of compensation and a description  of  duties
of  those  who shall be engaged by the corporation to perform the activ-
ities embraced by the contract together with a schedule of other  antic-
ipated expenses.
  S 6. This act shall take effect immediately.

co-Sponsors

2009-S3455B (ACTIVE) - Details

Current Committee:: Senate Finance
Law Section:: Private Housing Finance Law
Laws Affected:: Amd §§902, 903, 1002 & 1003, Priv Hous Fin L

2009-S3455B (ACTIVE) - Summary

2009-S3455B (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S3455B

 TITLE OF BILL :
An act to amend the private housing finance law, in relation to
activities engaged in by neighborhood preservation companies


 PURPOSE OF THE BILL :
This bill would amend Private Housing Finance Law ("PHFL") Articles 16
and 17.

 SUMMARY OF PROVISIONS :
Section 1 of the bill would amend PHFL § 902(5) to permit a
neighborhood preservation company that is operating within a
designated neighborhood in a municipality to expand its service area
to include underserved areas of the municipality.

Section 2 of the bill would add a new subdivision 7 to PHFL § 902 to
define a "compelling public purpose" which would permit the division
of housing and community renewal to exceed contract funding caps in
order to expand a neighborhood preservation company's service area to
include underserved areas of the municipality.

Section 3 of the bill would amend PHFL § 903(4) to authorize the
Division of Housing and Community Renewal ("DHCR") to exceed the
applicable limit on the annual contract amount if it is determined

that such additional funding will address a compelling public purpose.

Section 4 of the bill would add a new subdivision 7 to PHFL § 1002 to
define a "compelling public purpose" which would permit the DHCR to
exceed contract funding caps in order to expand a rural preservation
corporation's service area to include underserved rural areas.

Section 5 of the bill would amend PHFL § 1003(4) to authorize the DHCR
to exceed the applicable limit on the annual contract amount if it is
determined that such additional funding will address a compelling
public purpose.

Section 6 of the bill provides for an immediate effective date.

 EXISTING LAW :
Currently, the law caps the funds a rural or neighborhood preservation
company can receive in any one fiscal year and restricts a
neighborhood preservation company's service area to a geographically
defined neighborhood of a municipality.

 PRIOR LEGISLATIVE HISTORY :
This is a new bill.

 STATEMENT IN SUPPORT :
The proposed amendments will improve the effectiveness of neighborhood
preservation company programs by providing the DHCR with the
discretion to exceed annual funding caps to address a compelling
public purpose and to expand a neighborhood preservation company's
service are to include underserved areas of the municipality. A
compelling public purpose includes the merger or consolidation of two
or more preservation companies or corporations where the pre-existing
service areas of all merged or consolidated companies and corporations
remain served following the merger or consolidation, and such action
results in more efficient and cost effective delivery of services.

 BUDGET IMPLICATIONS :
None. This bill could be implemented with the funds currently
available for these programs.

 EFFECTIVE DATE :
This act shall take effect immediately.

2009-S3455B (ACTIVE) - Bill Text download pdf

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

                                 3455--B

                       2009-2010 Regular Sessions

                            I N  S E N A T E

                             March 19, 2009
                               ___________

Introduced  by  Sens.  ESPADA, HASSELL-THOMPSON, KRUEGER, OPPENHEIMER --
  read twice and ordered printed, and when printed to  be  committed  to
  the  Committee  on  Housing, Construction and Community Development --
  recommitted to the Committee on Housing,  Construction  and  Community
  Development  in  accordance  with  Senate  Rule 6, sec. 8 -- committee
  discharged, bill amended, ordered reprinted as amended and recommitted
  to said committee  --  reported  favorably  from  said  committee  and
  committed  to  the  Committee on Finance -- committee discharged, bill
  amended, ordered reprinted as amended and recommitted to said  commit-
  tee

AN  ACT  to amend the private housing finance law, in relation to activ-
  ities engaged in by neighborhood preservation companies

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

  Section 1. Subdivision 5 of section 902 of the private housing finance
law,  as  amended by chapter 668 of the laws of 1985, is amended to read
as follows:
  5.  "Neighborhood  preservation  activities"  shall  mean   activities
engaged  in  by  a  neighborhood preservation company within a geograph-
ically defined neighborhood of a municipality, PROVIDED,  HOWEVER,  THAT
THE DIVISION MAY AUTHORIZE A NEIGHBORHOOD PRESERVATION COMPANY TO ENGAGE
IN  SUCH  ACTIVITIES  IN  UNDERSERVED  AREAS  OF  THE MUNICIPALITY LYING
OUTSIDE OF ITS INITIALLY DESIGNATED NEIGHBORHOOD AREA, THAT ARE designed
(a)  to  construct,  maintain,  preserve,  repair,  renovate,   upgrade,
improve,  modernize,  rehabilitate  or otherwise prolong the useful life
and to manage and coordinate the rehabilitation of residential  dwelling
accommodations within such neighborhood, to restore abandoned and vacant
as  well  as  occupied housing accommodations to habitable condition; to
demolish structurally  unsound  or  unsafe  or  otherwise  unsightly  or
unhealthy  structures  which no longer serve or can economically be made
to serve a useful purpose consistent with  stabilizing  or  improving  a

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD09050-08-0

S. 3455--B                          2

neighborhood;  to seal and maintain vacant but structurally sound struc-
tures which are capable of being rehabilitated at a future time and used
for housing purposes; to acquire,  where  appropriate,  buildings  which
contain  housing accommodations; to facilitate the disposition of build-
ings containing housing accommodations to individual  occupants  thereof
or  to  cooperative  groups whose members shall be occupants thereof; to
assist owners, occupants and tenants of housing accommodations to obtain
improvements in the physical conditions thereof and in  the  maintenance
and  management  thereof; and to manage housing accommodations as agents
for the owners thereof  or  administrators  or  receivers  appointed  or
designated pursuant to any law of the state; and (b) to accomplish simi-
lar  purposes  and meet similar needs with respect to retail and service
establishments within such neighborhoods when carried out in  connection
with and incidental to a program of housing related activities.
  S  2.  Section  902  of  the private housing finance law is amended by
adding a new subdivision 7 to read as follows:
  7. "COMPELLING PUBLIC PURPOSE" SHALL MEAN:  (A) THE MERGER OR  CONSOL-
IDATION  OF  TWO  OR  MORE NEIGHBORHOOD PRESERVATION COMPANIES WHERE THE
PRE-EXISTING SERVICE AREAS  OF  ALL  MERGED  OR  CONSOLIDATED  COMPANIES
REMAIN  SERVED  FOLLOWING  THE  MERGER OR CONSOLIDATION, AND SUCH ACTION
RESULTS IN MORE EFFICIENT AND COST EFFECTIVE DELIVERY  OF  SERVICES;  OR
(B) SERVICE TO AN AREA UNDERSERVED BY AN EXISTING NEIGHBORHOOD PRESERVA-
TION  COMPANY  TO  PROMOTE  THE  HEALTH, SAFETY AND WELFARE OF A SERVICE
AREA.
  S 3. Subdivision 4 of section 903 of the private housing finance  law,
as amended by section 1 of part FF of chapter 57 of the laws of 2009, is
amended to read as follows:
  4.  Contracts  entered  into  hereunder with neighborhood preservation
companies shall be limited in duration to periods of one year,  but  may
thereafter  be renewed, extended or succeeded by new contracts from year
to year in the discretion of the commissioner; they shall be limited  in
amount  to  the  sum  of  one hundred thousand dollars in a single year,
provided that in any year in which the aggregate sum  of  three  hundred
thousand  dollars  shall have been reached and all succeeding years, the
annual contract amount shall be subject to a limit of ninety-seven thou-
sand five hundred dollars per year, AND FURTHER PROVIDED THAT THE APPLI-
CABLE LIMIT ON THE ANNUAL CONTRACT AMOUNT MAY BE EXCEEDED  IN  INSTANCES
WHERE  THE  DIVISION  HAS  DETERMINED  THAT SUCH ADDITIONAL FUNDING WILL
ADDRESS A COMPELLING PUBLIC PURPOSE; they shall define with particulari-
ty the neighborhood or portion thereof  within  which  the  neighborhood
preservation  activities  shall  be  performed;  they  shall specify the
nature of  the  neighborhood  preservation  activities  which  shall  be
performed  including  the  approximate  number of buildings, residential
dwelling units and local retail and service establishments  which  shall
be  affected; they shall locate and describe, with as much particularity
as is reasonably possible, the buildings  with  respect  to  which  such
activities  shall  be performed during the contract term; and they shall
specify the number of persons, salaries or rates of compensation  and  a
description  of duties of those who shall be engaged by the neighborhood
preservation company to perform the activities embraced by the  contract
together with a schedule of other anticipated expenses.
  S  4.  Section  1002  of the private housing finance law is amended by
adding a new subdivision 7 to read as follows:
  7. "COMPELLING PUBLIC PURPOSE" SHALL MEAN:  (A) THE MERGER OR  CONSOL-
IDATION  OF  TWO  OR  MORE NEIGHBORHOOD PRESERVATION COMPANIES WHERE THE
PRE-EXISTING SERVICE AREAS  OF  ALL  MERGED  OR  CONSOLIDATED  COMPANIES

S. 3455--B                          3

REMAIN  SERVED  FOLLOWING  THE  MERGER OR CONSOLIDATION, AND SUCH ACTION
RESULTS IN MORE EFFICIENT AND COST EFFECTIVE DELIVERY  OF  SERVICES;  OR
(B) SERVICE TO AN AREA UNDERSERVED BY AN EXISTING NEIGHBORHOOD PRESERVA-
TION  COMPANY  TO  PROMOTE  THE  HEALTH, SAFETY AND WELFARE OF A SERVICE
AREA.
  S 5. Subdivision 4 of section 1003 of the private housing finance law,
as amended by section 2 of part FF of chapter 57 of the laws of 2009, is
amended to read as follows:
  4. Contracts pursuant to this section shall be for a period of no more
than one year, but may be renewed or extended from  year  to  year,  and
shall  provide  for  payment by the division of no more than one hundred
thousand dollars per year, provided that in any year in which the aggre-
gate sum of three hundred thousand dollars shall have been  reached  and
all  succeeding  years, the annual contract amount shall be subject to a
limit of ninety-seven  thousand  five  hundred  dollars  per  year,  AND
FURTHER PROVIDED THAT THE APPLICABLE LIMIT ON THE ANNUAL CONTRACT AMOUNT
MAY  BE  EXCEEDED  IN   INSTANCES WHERE THE DIVISION HAS DETERMINED THAT
SUCH ADDITIONAL FUNDING WILL ADDRESS A COMPELLING PUBLIC  PURPOSE;  they
shall  define  with  particularity  the region or portion thereof within
which the housing preservation and community renewal activities shall be
performed; they shall specify the nature of the housing preservation and
community renewal activities which  shall  be  performed  including  the
approximate  number  of  buildings, residential dwelling units and local
retail and service establishments which shall be  affected;  they  shall
locate  and describe, with as much particularity as is reasonably possi-
ble, the buildings with  respect  to  which  such  activities  shall  be
performed during the contract term; and they shall specify the number of
persons,  salaries  or rates of compensation and a description of duties
of those who shall be engaged by the corporation to perform  the  activ-
ities  embraced by the contract together with a schedule of other antic-
ipated expenses.
  S 6. This act shall take effect immediately.

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