S T A T E O F N E W Y O R K
________________________________________________________________________
5027
2009-2010 Regular Sessions
I N A S S E M B L Y
February 10, 2009
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Introduced by M. of A. BRODSKY -- Multi-Sponsored by -- M. of A. GALEF,
PAULIN -- read once and referred to the Committee on Local Governments
AN ACT to amend the general municipal law, in relation to limitation on
issuance of title insurance in certain cases
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 99-v to read as follows:
S 99-V. LIMITATION ON ISSUANCE OF TITLE INSURANCE IN CERTAIN CASES. 1.
FOR PURPOSES OF THIS SECTION, "LOCAL GOVERNMENT" SHALL MEAN A COUNTY,
CITY, TOWN, OR VILLAGE WHICH OPERATES A SEWAGE TREATMENT PLANT PURSUANT
TO ARTICLE SEVENTEEN OF THE ENVIRONMENTAL CONSERVATION LAW OR, IF NO
SUCH ENTITY OPERATES SUCH PLANT OR IF SUCH COUNTY, CITY, TOWN, OR
VILLAGE DOES NOT HAVE JURISDICTION OVER AN AREA SERVED BY SUCH PLANT,
THE COUNTY WHICH IS SERVED BY SUCH PLANT.
2. ANY LOCAL GOVERNMENT WHICH IS SERVED BY A SEWAGE TREATMENT PLANT
OPERATING AT NINETY-NINE PERCENT OR MORE OF ITS PERMITTED AVERAGE DAILY
FLOW FOR MORE THAN SIXTY DAYS IN A CALENDAR YEAR SHALL REQUIRE, BY LOCAL
LAW OR ORDINANCE ADOPTED WITHIN FORTY-FIVE DAYS OF THE END OF SUCH
CALENDAR YEAR, THAT:
A. NO TITLE INSURANCE SHALL BE ISSUED FOR ANY REAL PROPERTY SERVED BY
SUCH SEWAGE TREATMENT PLANT WITHOUT CERTIFICATION BY THE PURCHASER OF
SUCH POLICY THAT STORM WATER DRAINS ARE NOT CONNECTED TO MAIN SANITARY
SEWER SYSTEMS WITHOUT LOCAL AUTHORIZATION;
B. A PENALTY OF A MAXIMUM OF ONE THOUSAND DOLLARS BE IMPOSED UPON A
PURCHASER OF TITLE INSURANCE WHO KNOWINGLY FILES A FALSE CERTIFICATION
FOR THE PURPOSE OF RECEIVING SUCH POLICY; AND
C. A PENALTY OF A MAXIMUM OF ONE THOUSAND DOLLARS BE IMPOSED UPON ANY
SELLER OF TITLE INSURANCE WHO ALLOWS ISSUANCE OF SUCH POLICY WITHOUT
SUBMISSION OF THE REQUIRED CERTIFICATION.
S 2. This act shall take effect immediately.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD08232-01-9