Assembly Bill A10286

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10286
 
                           I N  A S S E M B L Y
 
                             February 20, 2026
                                ___________
 
 Introduced  by M. of A. REYES -- read once and referred to the Committee
   on Housing
 
 AN ACT to amend the public housing law and the  real  property  law,  in
   relation  to  creating  the  cooperative  and condominium ombudsperson
   program; to amend the tax law, in relation to authorizing the residen-
   tial unit fee; and to amend the state  finance  law,  in  relation  to
   establishing the cooperative and condominium ombudsperson program fund
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivision 1 of section 14 of the public  housing  law  is
 amended by adding a new paragraph (y) to read as follows:
   (Y)  ADMINISTER  THE  COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM
 PURSUANT TO ARTICLE ELEVEN OF THE REAL PROPERTY LAW.
   § 2. The real property law is amended by adding a new  article  11  to
 read as follows:
                                ARTICLE 11
             COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM
 SECTION 360.   SHORT TITLE.
         360-A.  LEGISLATIVE DECLARATION.
         360-B. DEFINITIONS.
         360-C. COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM.
         360-D. SERVICES UNDER THE PROGRAM.
         360-E. REGISTRATION  OF  COOPERATIVES  AND CONDOMINIUMS WITH THE
                  OMBUDSPERSON PROGRAM.
         360-F. ASSISTANCE OF OTHER STATE AGENCIES.
         360-G. REPORTS TO THE GOVERNOR AND THE LEGISLATURE.
         360-H. CONTRACT AUTHORITY.
         360-I. SEPARABILITY.
   § 360. SHORT TITLE. THIS ARTICLE SHALL BE KNOWN AND MAY  BE  CITED  AS
 THE "COOPERATIVE AND CONDOMINIUM OMBUDSPERSON ACT".
   § 360-A. LEGISLATIVE DECLARATION. THE LEGISLATURE FINDS AND DETERMINES
 AS FOLLOWS:
   COOPERATIVE  AND CONDOMINIUM HOUSING CONSTITUTES A SIGNIFICANT PORTION
 OF NEW YORK STATE'S RESIDENTIAL HOUSING STOCK. IT IS AND  HAS  BEEN  THE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11727-03-5
 A. 10286                            2
 
 PUBLIC POLICY OF THIS STATE TO ENCOURAGE SUCH FORMS OF HOME OWNERSHIP. A
 WIDE  VARIETY  OF  LAWS  HAVE  BEEN  ENACTED  TO PROVIDE FAIRNESS IN THE
 CONVERSION OF RENTAL PROPERTIES TO COOPERATIVE AND CONDOMINIUM OWNERSHIP
 AND  IN  THE  REGULATION  AND TAXATION OF COOPERATIVES AND CONDOMINIUMS.
 STATE AND LOCAL LAWS AND REGULATIONS ARE ALSO DESIGNED  TO  ENSURE  THAT
 THE  RESIDENTS  OF  SUCH  HOUSING  ARE  PROVIDED WITH SAFE AND HABITABLE
 ACCOMMODATIONS.
   UNFORTUNATELY, DISPUTES HAVE NOT INFREQUENTLY ARISEN AMONG COOPERATIVE
 AND CONDOMINIUM SPONSORS AND DEVELOPERS,  COOPERATIVE  SHAREHOLDERS  AND
 CONDOMINIUM  UNIT  OWNERS,  PROSPECTIVE  SHAREHOLDERS  AND  UNIT OWNERS,
 BOARDS OF DIRECTORS AND BOARDS OF MANAGERS. SUCH DISPUTES MAY RESULT  IN
 LENGTHY  AND  COSTLY  LITIGATION AND UNCERTAINTY AS TO THE RIGHTS OF THE
 PARTIES PENDING THE  OUTCOME  OF  LITIGATION.  SUCH  LITIGATION  DIVERTS
 RESOURCES  THAT COULD BE BETTER UTILIZED TO PROVIDE AFFORDABLE AND WELL-
 MAINTAINED BUILDINGS AND GROUNDS FOR THE COMMON GOOD OF THE OWNERS.
   THIS ARTICLE IS NECESSARY TO PROVIDE A NEUTRAL, INFORMATIVE AND ACCES-
 SIBLE RESOURCE AVAILABLE TO ALL PARTIES INVOLVED IN RESIDENTIAL  COOPER-
 ATIVE AND CONDOMINIUM OWNERSHIP AND GOVERNANCE. THE OMBUDSPERSON PROGRAM
 CREATED  PURSUANT  TO  THIS  ARTICLE  WILL  CONDUCT OUTREACH PROGRAMS TO
 EDUCATE UNIT OWNERS AND BOARD MEMBERS  AS  TO  THEIR  LEGAL  RIGHTS  AND
 RESPONSIBILITIES.  THE  OMBUDSPERSON  PROGRAM WILL ENCOURAGE ALTERNATIVE
 DISPUTE RESOLUTION WHEN DISPUTES DO  ARISE.  THE  OMBUDSPERSON  WILL  BE
 AVAILABLE  TO  PROVIDE  DISPUTE  RESOLUTION  SERVICES  ON CONSENT OF THE
 PARTIES. THE OMBUDSPERSON WILL ALSO PROVIDE MONITORING  AND  SUPERVISION
 OF COOPERATIVE AND CONDOMINIUM ELECTIONS.
   §  360-B.  DEFINITIONS. 1. "COOPERATIVE" MEANS A CORPORATION ORGANIZED
 AND OPERATING PURSUANT TO THE GENERAL BUSINESS LAW  OR  THE  COOPERATIVE
 CORPORATIONS  LAW FOR THE PRIMARY PURPOSE OF PROVIDING RESIDENTIAL HOUS-
 ING TO ITS SHAREHOLDERS.
   2. "CONDOMINIUM" MEANS A HOMEOWNERS  ASSOCIATION  OR  ANY  ASSOCIATION
 ORGANIZED  AND  OPERATING PURSUANT TO ARTICLE NINE-B OF THIS CHAPTER FOR
 THE PRIMARY PURPOSE OF PROVIDING RESIDENTIAL HOUSING TO ITS UNIT OWNERS.
   3.  "PROGRAM"  MEANS  THE  COOPERATIVE  AND  CONDOMINIUM  OMBUDSPERSON
 PROGRAM CREATED BY THIS ARTICLE.
   4.  "OMBUDSPERSON"  MEANS  THE NOT-FOR-PROFIT ORGANIZATION SELECTED TO
 RUN THE COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM.
   5. "STATE AGENCY" MEANS ANY  DEPARTMENT,  BOARD,  BUREAU,  COMMISSION,
 DIVISION,  OFFICE,  COUNCIL  OR AGENCY OF THE STATE, OR A PUBLIC BENEFIT
 CORPORATION OR AUTHORITY AUTHORIZED BY THE LAWS OF THE STATE.
   6. "LOCAL AGENCY" MEANS ANY  DEPARTMENT,  BOARD,  BUREAU,  COMMISSION,
 DIVISION, OFFICE, COUNCIL, OFFICER OR AGENCY OF A CITY, TOWN OR VILLAGE.
   §  360-C.  COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM.  1. THERE
 SHALL BE ESTABLISHED  WITHIN  THE  DIVISION  OF  HOUSING  AND  COMMUNITY
 RENEWAL  A COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM. THE COMMIS-
 SIONER OF THE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL BE RESPON-
 SIBLE FOR OVERSIGHT OF THE PROGRAM.
   2. WITHIN ONE YEAR OF THE EFFECTIVE DATE OF THIS ARTICLE, THE DIVISION
 OF HOUSING AND COMMUNITY RENEWAL SHALL  ESTABLISH  THE  COOPERATIVE  AND
 CONDOMINIUM  OMBUDSPERSON PROGRAM, AND SHALL HAVE THE POWER TO IMPLEMENT
 THE PROGRAM BY APPROPRIATE REGULATIONS.
   3. THE DIVISION OF HOUSING  AND  COMMUNITY  RENEWAL  SHALL  DISTRIBUTE
 MONIES  FROM  THE  COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM FUND
 ESTABLISHED PURSUANT TO SECTION EIGHTY-ONE-A OF THE STATE FINANCE LAW TO
 ONE ELIGIBLE NOT-FOR-PROFIT ENTITY, TO  BE  SELECTED  BY  A  COMPETITIVE
 BIDDING  PROCESS, TO ACT AS THE COOPERATIVE AND CONDOMINIUM OMBUDSPERSON
 AND TO OVERSEE THE  COOPERATIVE  AND  CONDOMINIUM  OMBUDSPERSON  PROGRAM
 A. 10286                            3

 STATEWIDE.  THE OMBUDSPERSON SHALL DEVELOP A STATEWIDE INFRASTRUCTURE TO
 DELIVER SERVICES ON A LOCAL OR REGIONAL LEVEL AND MAY  SUBCONTRACT  WITH
 ONE  OR  MORE ELIGIBLE NOT-FOR-PROFIT ENTITIES TO PROVIDE SERVICES UNDER
 THE PROGRAM.
   4. THE NOT-FOR-PROFIT ORGANIZATION AND ANY SUBCONTRACTED ORGANIZATIONS
 PROVIDING  SERVICES UNDER THE PROGRAM SHALL EMPLOY AT LEAST ONE ATTORNEY
 OR OTHER PROFESSIONAL WITH EXTENSIVE EXPERIENCE IN REAL ESTATE,  COOPER-
 ATIVE AND CONDOMINIUM LAW AND IN CONFLICT AND ALTERNATIVE DISPUTE RESOL-
 UTION  TO  OVERSEE  THE  OMBUDSPERSON  PROGRAM SERVICES PROVIDED BY SUCH
 ORGANIZATION.
   5. OMBUDSPERSON PROGRAM STAFF SHALL ADHERE TO  A  CODE  OF  ETHICS  IN
 ORDER  TO INSPIRE PUBLIC CONFIDENCE AND TRUST IN THE FAIRNESS AND IMPAR-
 TIALITY OF THE PROGRAM. THE DIVISION OF HOUSING  AND  COMMUNITY  RENEWAL
 SHALL  PRESCRIBE  SUCH  CODE OF ETHICS. SUCH CODE SHALL REQUIRE THAT THE
 OMBUDSPERSON PROGRAM STAFF RESPECT AND COMPLY WITH THE  LAW;  THAT  THEY
 NOT  USE  OR  ATTEMPT  TO  USE  THEIR  POSITIONS TO SECURE PRIVILEGES OR
 EXEMPTIONS FOR THEMSELVES OR OTHERS; THAT THEY NOT  SOLICIT,  ACCEPT  OR
 AGREE TO ACCEPT ANY GIFTS OR GRATUITIES FROM PERSONS HAVING OR LIKELY TO
 HAVE  ANY  TRANSACTION  WITH THE OFFICE; THAT THEY NOT REQUEST OR ACCEPT
 ANY PAYMENT IN ADDITION TO THEIR  REGULAR  COMPENSATION  FOR  ASSISTANCE
 GIVEN  AS PART OF THEIR OFFICIAL DUTIES; AND THAT THEY SHALL NOT PERFORM
 ANY FUNCTION IN A MANNER THAT IMPROPERLY FAVORS ANY PERSON OR PARTY.
   6. OMBUDSPERSON PROGRAM STAFF SHALL NOT SERVE AS OFFICERS OR EMPLOYEES
 OF A POLITICAL PARTY OR A CLUB OR ORGANIZATION RELATED  TO  A  POLITICAL
 PARTY,  RECEIVE  REMUNERATION  FOR ACTIVITIES ON BEHALF OF ANY CANDIDATE
 FOR PUBLIC OFFICE OR PARTY POSITION OR ENGAGE  IN  SOLICITING  VOTES  OR
 OTHER  ACTIVITIES  ON  BEHALF  OF A CANDIDATE FOR PUBLIC OFFICE OR PARTY
 POSITION.
   7. THE SECRETARY TO THE GOVERNOR SHALL ASSURE THAT ALL STATE  AGENCIES
 PROVIDE  THE  OMBUDSPERSON  WITH ASSISTANCE IN ADVANCING THE PURPOSES OF
 THE OFFICE AND TO ASSURE THAT THE ACTIVITIES OF  THE  OFFICE  ARE  FULLY
 COORDINATED  WITH  THE  ACTIVITIES  OF  STATE AGENCIES PROVIDING RELATED
 SERVICES.
   § 360-D. SERVICES UNDER  THE  PROGRAM.  SERVICES  PROVIDED  UNDER  THE
 PROGRAM SHALL INCLUDE:
   1.  EDUCATING  AND  INFORMING  SHAREHOLDERS  OF  COOPERATIVES AND UNIT
 OWNERS OF CONDOMINIUMS, THEIR BOARDS OF DIRECTORS AND BOARDS  OF  MANAG-
 ERS,  PROPERTY  MANAGERS, PROFESSIONALS WORKING WITH AND FOR SUCH BOARDS
 AND OTHER INTERESTED PARTIES OF THEIR LEGAL RIGHTS AND  RESPONSIBILITIES
 UNDER  THE  FEDERAL,  STATE AND LOCAL LAWS AND REGULATIONS APPLICABLE TO
 COOPERATIVE AND CONDOMINIUM HOUSING IN THE STATE OF NEW YORK  AND  UNDER
 THE COOPERATIVE AND CONDOMINIUM DOCUMENTS GOVERNING THE RESPECTIVE PROP-
 ERTIES.
   2.  COORDINATING  AND  ASSISTING IN THE PREPARATION AND PUBLICATION OF
 EDUCATIONAL AND REFERENCE MATERIALS ABOUT RESIDENTIAL  COOPERATIVES  AND
 CONDOMINIUMS,  TO  MAKE SUCH RESOURCES KNOWN AND AVAILABLE TO THE WIDEST
 POSSIBLE AUDIENCE.
   3. ORGANIZING AND CONDUCTING  MEETINGS,  WORKSHOPS,  CONFERENCES,  AND
 FORUMS  AND  UTILIZING  ALL FORMS OF COMMUNICATIONS MEDIA TO DISSEMINATE
 ACCURATE AND TIMELY INFORMATION OF  INTEREST  TO  PERSONS  RESIDING  IN,
 OWNING AND MANAGING COOPERATIVE AND CONDOMINIUM HOUSING.
   4.  PROVIDING  MEDIATION,  ARBITRATION  AND OTHER FORMS OF ALTERNATIVE
 DISPUTE RESOLUTION SERVICES TO COOPERATIVE AND CONDOMINIUM SPONSORS  AND
 DEVELOPERS,  COOPERATIVE  SHAREHOLDERS, CONDOMINIUM OWNERS, THEIR BOARDS
 OF DIRECTORS AND MANAGERS, PROSPECTIVE SHAREHOLDERS AND UNIT OWNERS  AND
 A. 10286                            4
 
 OTHER  PARTIES  SO  AS TO AVOID COSTLY AND LENGTHY LITIGATION AND REDUCE
 EXPENSES FOR THOSE INVOLVED IN DISPUTES.
   5.  REFERRING PARTIES FOR A HEARING BEFORE THE DIVISION OF HOUSING AND
 COMMUNITY RENEWAL.
   (A) SHOULD  MEDIATION,  ARBITRATION,  OR  OTHER  FORM  OF  ALTERNATIVE
 DISPUTE  RESOLUTION  PROVIDED  BY  OR  THROUGH  THE OMBUDSPERSON FAIL TO
 RESOLVE A DISPUTE BETWEEN  THE  PARTIES,  THE  OMBUDSPERSON,  MAY,  UPON
 REQUEST  BY  EITHER PARTY, REFER THE DISPUTE FOR A HEARING TO BE HELD BY
 THE DIVISION OF HOUSING AND COMMUNITY RENEWAL  IN  ACCORD  WITH  ARTICLE
 THREE OF THE STATE ADMINISTRATIVE PROCEDURE ACT.
   (B) REFERRALS FOR HEARING BEFORE THE DIVISION OF HOUSING AND COMMUNITY
 RENEWAL SHALL BE LIMITED TO DISPUTES REGARDING ACTS THAT MAY BE CONTRARY
 TO  LAW  OR  AN  ASSOCIATION'S  GOVERNING  RULES;  UNREASONABLE, UNFAIR,
 OPPRESSIVE, RETALIATORY, OR DISCRIMINATORY; BASED ON A MISTAKE OF  FACT;
 BASED ON IMPROPER OR IRRELEVANT GROUNDS; OR OTHERWISE ERRONEOUS.
   (C)  UPON RECEIPT OF A REFERRAL FROM THE OMBUDSPERSON'S OFFICE, IF THE
 DIVISION FINDS THAT THE DISPUTE MEETS THE CRITERIA OF PARAGRAPH  (B)  OF
 THIS SUBDIVISION, THE DIVISION SHALL SCHEDULE A HEARING AND ISSUE NOTICE
 TO THE PARTIES OF THE TIME AND PLACE OF THE HEARING.
   (D) SUCH HEARINGS SHALL BE HELD BEFORE AN ADMINISTRATIVE LAW JUDGE WHO
 SHALL RECEIVE EVIDENCE, DOCUMENTS, AND TESTIMONY AND PROVIDE THE PARTIES
 WITH AN OPPORTUNITY TO BE HEARD.
   (E)  THE ADMINISTRATIVE LAW JUDGE SHALL HAVE THE POWER TO SUBPOENA AND
 ENFORCE THE ATTENDANCE OF WITNESSES, ADMINISTER  OATHS  OR  AFFIRMATIONS
 AND  EXAMINE  WITNESSES  UNDER  OATH,  AND REQUIRE THE PRODUCTION OF ANY
 BOOKS AND PAPERS DEEMED RELEVANT OR MATERIAL TO THE  RESOLUTION  OF  ANY
 DISPUTE PENDING BEFORE THE DIVISION.
   (F)  AFTER CONCLUSION OF THE HEARING, THE DIVISION SHALL ISSUE A WRIT-
 TEN DETERMINATION OF ITS DECISION TO BOTH PARTIES. IN THE WRITTEN DETER-
 MINATION, THE DIVISION MAY ORDER ANY PARTY TO  ABIDE  BY  THE  STATUTES,
 REGULATIONS, OR GOVERNING RULES AT ISSUE.
   (G) EITHER PARTY MAY SEEK JUDICIAL REVIEW OF SUCH DETERMINATION PURSU-
 ANT  TO  ARTICLE  SEVENTY-EIGHT  OF  THE  CIVIL  PRACTICE  LAW AND RULES
 PROVIDED THAT SUCH REVIEW SHALL BE MAINTAINED AGAINST THE SAME PARTIES.
   6. ENGAGING WITH HOUSING COURTS, OTHER TRIAL COURTS, STATE  AND  LOCAL
 AGENCIES  AND WITH ALTERNATIVE DISPUTE RESOLUTION PROGRAMS MAINTAINED BY
 THE OFFICE OF COURT  ADMINISTRATION  IN  ORDER  TO  PROVIDE  SPECIALIZED
 EXPERTISE  IN  THE RESOLUTION OF COOPERATIVE AND CONDOMINIUM DISPUTES AS
 AN ALTERNATIVE TO LITIGATION.
   7. OFFERING PROCEDURES, MONITORS AND VOTE COUNTING SERVICES TO  ASSURE
 FAIR ELECTIONS FOR MEMBERS OF COOPERATIVE BOARDS OF DIRECTORS AND CONDO-
 MINIUM  BOARDS  OF MANAGERS.  FIFTEEN PERCENT OF THE TOTAL VOTING INTER-
 ESTS IN A COOPERATIVE OR CONDOMINIUM OR SHAREHOLDERS OR  OWNERS  OF  SIX
 RESIDENTIAL  UNITS,  WHICHEVER IS GREATER, MAY PETITION THE OMBUDSPERSON
 TO ATTEND AND CONDUCT AN ELECTION OF DIRECTORS OR  MANAGERS.  ALL  COSTS
 ASSOCIATED  WITH  THE  ELECTION  MONITORING PROCESS SHALL BE PAID BY THE
 COOPERATIVE OR CONDOMINIUM.
   8. REFERRING ANY COMPLAINTS RECEIVED TO THE APPROPRIATE  LAW  ENFORCE-
 MENT AGENCY FOR PROSECUTION, IF DEEMED APPROPRIATE BY THE OMBUDSPERSON.
   9. PERFORMING ANY OTHER FUNCTIONS THAT ARE NECESSARY OR APPROPRIATE TO
 FULFILL THE DUTIES AND RESPONSIBILITIES OF THE PROGRAM.
   § 360-E. REGISTRATION OF COOPERATIVES AND CONDOMINIUMS WITH THE OMBUD-
 SPERSON  PROGRAM.  THE  COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM
 SHALL COMPILE AND MAINTAIN A REGISTER OF COOPERATIVES  AND  CONDOMINIUMS
 WITHIN  THE  STATE  WHICH SHALL BE UPDATED ANNUALLY, UPON PAYMENT OF THE
 A. 10286                            5
 
 RESIDENTIAL UNIT FEE PURSUANT TO SECTION ONE HUNDRED EIGHTY-SIX-H OF THE
 TAX LAW, AND SHALL INCLUDE THE FOLLOWING INFORMATION:
   1. THE NAME, ADDRESS AND TELEPHONE NUMBER OF THE ASSOCIATION;
   2.  THE NAME OF THE MANAGEMENT COMPANY OR MANAGING AGENT, AND THE NAME
 OF ANY OTHER PERSON WHO IS AUTHORIZED TO MANAGE THE PROPERTY AT THE SITE
 OF THE COOPERATIVE OR CONDOMINIUM;
   3. THE NAMES, MAILING ADDRESSES AND TELEPHONE NUMBERS OF  THE  MEMBERS
 OF THE EXECUTIVE BOARD OF THE COOPERATIVE OR CONDOMINIUM;
   4. THE NAME OF THE DECLARANT;
   5. THE NUMBER OF UNITS IN THE COOPERATIVE OR CONDOMINIUM ASSOCIATION;
   6. THE TOTAL ANNUAL ASSESSMENT MADE BY THE ASSOCIATION;
   7. THE NUMBER OF FORECLOSURES WHICH WERE COMPLETED ON UNITS WITHIN THE
 COOPERATIVE  OR CONDOMINIUM, AND WHICH WERE BASED ON LIENS FOR THE FAIL-
 URE OF THE SHAREHOLDER OR UNIT'S OWNER TO  PAY  ANY  ASSESSMENTS  LEVIED
 AGAINST  THE SHARES OR UNIT OR ANY FINES IMPOSED AGAINST THE SHAREHOLDER
 OR UNIT'S OWNER; AND
   8. WHETHER A STUDY  OF  THE  RESERVES  OF  THE  ASSOCIATION  HAS  BEEN
 CONDUCTED.
   §  360-F.  ASSISTANCE  OF  OTHER  STATE  AGENCIES.  TO  EFFECTUATE THE
 PURPOSES OF THIS ARTICLE, THE DIVISION OF HOUSING AND COMMUNITY  RENEWAL
 MAY  REQUEST AND SHALL BE ENTITLED TO RECEIVE FROM ANY STATE AGENCY, AND
 THE SAME ARE AUTHORIZED TO PROVIDE, SUCH ASSISTANCE,  SERVICES,  FACILI-
 TIES,  AND DATA AS WILL ENABLE THE DIVISION TO CARRY OUT THE PURPOSES OF
 THE OMBUDSPERSON PROGRAM.
   § 360-G. REPORTS TO THE GOVERNOR AND THE LEGISLATURE. THE DIVISION  OF
 HOUSING  AND  COMMUNITY  RENEWAL  SHALL  MAKE  AN  ANNUAL  REPORT, TO BE
 RECEIVED ON OR BEFORE JANUARY FIRST, TO THE GOVERNOR AND THE LEGISLATURE
 CONCERNING THE ACTIVITIES UNDERTAKEN BY THE OMBUDSPERSON PROGRAM, RECOM-
 MENDATIONS FOR LEGISLATIVE PROPOSALS, DATA CONCERNING PROGRAM ACTIVITIES
 AND OTHER PERTINENT INFORMATION AS MAY BE REQUIRED.
   § 360-H. CONTRACT AUTHORITY. THE DIVISION  OF  HOUSING  AND  COMMUNITY
 RENEWAL IS HEREBY EMPOWERED TO ENTER INTO ANY AGREEMENT OR CONTRACT WITH
 ANY  STATE  OR  LOCAL  AGENCY  NECESSARY  OR CONVENIENT TO CARRY OUT THE
 PROVISIONS OF THIS ARTICLE.
   § 360-I. SEPARABILITY. IF ANY CLAUSE, SENTENCE, PARAGRAPH, SECTION  OR
 PART  OF THIS ARTICLE SHALL BE ADJUDGED BY ANY COURT OF COMPETENT JURIS-
 DICTION TO BE INVALID, SUCH JUDGMENT SHALL NOT AFFECT, IMPAIR OR INVALI-
 DATE THE REMAINDER THEREOF, BUT SHALL BE CONFINED IN  ITS  OPERATION  TO
 THE  CLAUSE,  SENTENCE,  PARAGRAPH,  SECTION  OR  PART  THEREOF DIRECTLY
 INVOLVED IN THE CONTROVERSY IN  WHICH  SUCH  JUDGMENT  SHALL  HAVE  BEEN
 RENDERED.
   §  3.  The tax law is amended by adding a new section 186-h to read as
 follows:
   § 186-H. RESIDENTIAL UNIT FEE. A COOPERATIVE HOUSING CORPORATION OR  A
 HOMEOWNERS ASSOCIATION, AS SUCH TERMS ARE DEFINED IN SECTION TWO HUNDRED
 TEN OF THIS CHAPTER, SHALL PAY AN ANNUAL FEE OF SIX DOLLARS PER YEAR FOR
 EACH  RESIDENTIAL UNIT LOCATED IN A BUILDING OR BUILDINGS OWNED OR OPER-
 ATED BY SUCH CORPORATION OR ASSOCIATION. SUCH FEE SHALL  BE  PAYABLE  TO
 THE  DEPARTMENT.  ALL  REVENUE  FROM  THE  FEE  IMPOSED PURSUANT TO THIS
 SECTION SHALL BE PAID BY THE DEPARTMENT TO THE STATE COMPTROLLER  TO  BE
 DEPOSITED  TO AND CREDITED TO THE COOPERATIVE AND CONDOMINIUM OMBUDSPER-
 SON PROGRAM FUND, ESTABLISHED PURSUANT TO SECTION  EIGHTY-ONE-A  OF  THE
 STATE FINANCE LAW.
   §  4. The state finance law is amended by adding a new section 81-a to
 read as follows:
 A. 10286                            6
 
   § 81-A. COOPERATIVE AND  CONDOMINIUM  OMBUDSPERSON  PROGRAM  FUND.  1.
 THERE  IS  HEREBY  ESTABLISHED IN THE CUSTODY OF THE STATE COMPTROLLER A
 SPECIAL FUND TO BE KNOWN AS THE "COOPERATIVE AND CONDOMINIUM  OMBUDSPER-
 SON PROGRAM FUND".
   2.  THE  COOPERATIVE  AND  CONDOMINIUM OMBUDSPERSON PROGRAM FUND SHALL
 CONSIST OF MONIES APPROPRIATED THERETO, FUNDS TRANSFERRED FROM ANY OTHER
 FUND OR SOURCES, AND MONIES DEPOSITED THEREIN PURSUANT  TO  SECTION  ONE
 HUNDRED EIGHTY-SIX-H OF THE TAX LAW.
   3.  THE MONIES IN THE COOPERATIVE AND CONDOMINIUM OMBUDSPERSON PROGRAM
 FUND SHALL BE KEPT SEPARATE FROM AND SHALL NOT BE  COMMINGLED  WITH  ANY
 OTHER  MONIES IN THE CUSTODY OF THE STATE COMPTROLLER. SUCH MONIES SHALL
 BE ALLOCATED TO AND EXPENDED BY THE DIVISION OF  HOUSING  AND  COMMUNITY
 RENEWAL  SOLELY  FOR  THE STAFFING AND ADMINISTRATION OF THE COOPERATIVE
 AND CONDOMINIUM OMBUDSPERSON PROGRAM.
   § 5. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.