S T A T E O F N E W Y O R K
________________________________________________________________________
5027
2015-2016 Regular Sessions
I N A S S E M B L Y
February 10, 2015
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Introduced by M. of A. O'DONNELL, GLICK, BROOK-KRASNY -- Multi-Sponsored
by -- M. of A. GOTTFRIED -- read once and referred to the Committee
on Housing
AN ACT to amend the private housing finance law and the state finance
law, in relation to dedicating Mitchell-Lama buyout revenues to
affordable housing
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings and intent. Mitchell-Lama housing was
built in the 1950's as a response to the housing crisis after World War
II. This housing created new vibrant communities that attracted busi-
nesses, schools, day care centers and stimulated economic activity that
has allowed New York city to thrive. Without programs like Mitchell-
Lama, New York City would only be inhabitable for the very rich or the
very poor. Mitchell-Lama housing allows people of all economic means to
live together in decent, affordable housing. This community is being
threatened by the specter of buy-outs. Applying buy-out revenues to
provide more affordable housing will preserve and promote the well being
of our state's communities.
S 2. The private housing finance law is amended by adding a new
section 36-b to read as follows:
S 36-B. BUYOUT REVENUES TO BE DEDICATED TO AFFORDABLE HOUSING.
NOTWITHSTANDING ANY INCONSISTENT PROVISION OF LAW, ANY REVENUES DERIVED
BY THE STATE FROM A BUYOUT OF A STATE-AIDED PROJECT SHALL BE DEPOSITED
TO THE CREDIT OF THE MITCHELL-LAMA BUYOUT AFFORDABLE HOUSING FUND ESTAB-
LISHED PURSUANT TO SECTION NINETY-TWO-GG OF THE STATE FINANCE LAW AND
USED FOR THE PURPOSES OF PROVIDING AFFORDABLE HOUSING TO PROJECTS AND
PERSONS THAT MEET THE ELIGIBILITY CRITERIA PROVIDED FOR IN THIS ARTICLE
AND NO OTHER. ANY REVENUES DERIVED BY A MUNICIPALITY FROM THE BUYOUT OF
A MUNICIPALLY-AIDED PROJECT SHALL BE DEPOSITED TO A SPECIAL MUNICIPAL
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07585-01-5
A. 5027 2
FUND CONSISTING SOLELY OF SUCH REVENUES AND SHALL BE USED SOLELY FOR
AFFORDABLE HOUSING PURPOSES.
S 3. The state finance law is amended by adding a new section 92-gg to
read as follows:
S 92-GG. MITCHELL-LAMA BUYOUT AFFORDABLE HOUSING FUND. 1. THERE IS
HEREBY ESTABLISHED IN THE JOINT CUSTODY OF THE STATE COMPTROLLER AND THE
COMMISSIONER OF TAXATION AND FINANCE A FUND TO BE KNOWN AS THE "MITC-
HELL-LAMA BUYOUT AFFORDABLE HOUSING FUND".
2. THE MITCHELL-LAMA BUYOUT AFFORDABLE HOUSING FUND SHALL BE CLASSI-
FIED BY THE COMPTROLLER WITHIN THE CAPITAL PROJECT FUND TYPE AND SHALL
CONSIST OF ALL MONEYS COLLECTED THEREFOR OR CREDITED, APPROPRIATED OR
TRANSFERRED THERETO FROM ANY OTHER FUND OR SOURCE PURSUANT TO LAW OR ANY
OTHER MONEYS MADE AVAILABLE FOR THE PURPOSES OF THE FUND.
3. MONEYS OF THE FUND MAY BE INVESTED BY THE STATE COMPTROLLER AND
INCOME FROM SUCH INVESTMENTS SHALL BE CREDITED TO SUCH FUND.
4. MONEYS OF THE FUND SHALL BE APPROPRIATED BY THE LEGISLATURE AND
PAID OUT PURSUANT TO THE TERMS OF SUCH APPROPRIATION AND ONLY FOR
AFFORDABLE HOUSING PURPOSES AS SPECIFIED IN SECTION THIRTY-SIX-B OF THE
PRIVATE HOUSING FINANCE LAW.
S 4. This act shall take effect on the first of January next succeed-
ing the date on which it shall have become a law.