S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   5651
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 22, 2021
                                ___________
 
 Introduced by M. of A. FITZPATRICK, DiPIETRO, J. M. GIGLIO, RA, TAGUE --
   Multi-Sponsored  by  --  M. of A. BARCLAY, DeSTEFANO, MANKTELOW, McDO-
   NOUGH -- read once and referred to the Committee on Local Governments
 
 AN ACT to amend the general municipal law, in relation to expanding  the
   provisions of the urban development action area act

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivisions 2 and 3 of section 692 of the general  munici-
 pal law, subdivision 2 as amended by chapter 555 of the laws of 1994 and
 subdivision 3 as amended by chapter 492 of the laws of 2002, are amended
 to read as follows:
   2. "Municipality". A city [having a population of one hundred thousand
 or more] and the town of Huntington.
   3. "Eligible area". Real property, title to which is held by a munici-
 pality.  Provided,  however,  that  [in  a city of one million or more,]
 property that the city conveys by deed made pursuant to  a  judgment  of
 foreclosure  in  an  in rem tax lien foreclosure proceeding, or property
 whose conveyance is caused by, or the result of, the city's  foreclosure
 of  a tax lien thereon, including property to which title has not vested
 in the city, which is then acquired by a  third  party,  shall  also  be
 deemed  an  eligible area under this article. Provided further, however,
 that in a city of one million or more, property that has  been  acquired
 by the federal government as the result of the foreclosure of a mortgage
 loan  insured  or held by the federal government shall also be deemed an
 eligible area under this article. Provided further, however,  that  real
 property consisting of two contiguous acres or more of wooded land which
 exists  as  substantially  undeveloped  at the time this article becomes
 effective shall not be included as an eligible area for purposes of this
 article.
   § 2. Subdivision 2 of section 696-d of the general municipal  law,  as
 added by chapter 680 of the laws of 1996, is amended to read as follows:

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

                                                            LBD08438-01-1

 A. 5651                             2
 
   2.  Notwithstanding  the  provisions  of any general, special or local
 law, the agency [in a city having a population of one million  or  more]
 is  hereby  authorized  to make or contract to make mortgage loans or to
 participate with another lender in the making of mortgage loans for  the
 development  of  any  neighborhood  improvement project that such agency
 determines to be an improvement  associated  with  the  construction  or
 rehabilitation  of private or multiple dwellings. Real property assisted
 with a loan pursuant to this section shall be located: (i) in  an  urban
 development  action  area;  (ii)  in  proximity  to an urban development
 action area; or (iii) in proximity to an urban development  action  area
 project  for  which the area designation requirement was waived pursuant
 to section six hundred ninety-three of this article.
   § 3. This act shall take effect immediately.