Assembly Bill A1625A

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1625
 
                        2025-2026 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 10, 2025
                                ___________
 
 Introduced by M. of A. SOLAGES, SHRESTHA, DINOWITZ, SIMON, REYES, ROSEN-
   THAL,  TAYLOR,  SIMONE, HYNDMAN, BLANKENBUSH -- read once and referred
   to the Committee on Housing
 
 AN ACT to amend the real property law, in relation to  establishing  the
   homeowner protection program

   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The real property law is amended by adding  a  new  section
 265-c to read as follows:
   §  265-C.  HOMEOWNER  PROTECTION PROGRAM.   1. LEGISLATIVE INTENT. THE
 LEGISLATURE DECLARES THAT THE ESTABLISHMENT OF THE HOMEOWNER  PROTECTION
 PROGRAM (HOPP) IS NECESSARY TO ENSURE CONTINUATION OF NEW YORK'S INVEST-
 MENT IN ITS STATEWIDE NETWORK OF NON-PROFIT CIVIL LEGAL SERVICES PROVID-
 ERS  AND  HOUSING  COUNSELING AGENCIES OFFERING A RANGE OF HOMEOWNERSHIP
 RETENTION AND PRESERVATION SERVICES TO HOMEOWNERS IN EVERY COUNTY IN THE
 STATE. THE PROGRAM IS  ALSO  NECESSARY  TO  ENSURE  THAT  THE  STATUTORY
 MANDATES OF SECTIONS THIRTEEN HUNDRED THREE AND THIRTEEN HUNDRED FOUR OF
 THE  REAL  PROPERTY  ACTIONS  AND  PROCEEDINGS  LAW AND RULE THIRTY-FOUR
 HUNDRED EIGHT OF THE CIVIL PRACTICE LAW AND RULES ARE FULFILLED, SO THAT
 FREE HOUSING COUNSELING AND LEGAL SERVICES ARE AVAILABLE  TO  HOMEOWNERS
 AS  PROVIDED FOR BY SECTIONS THIRTEEN HUNDRED THREE AND THIRTEEN HUNDRED
 FOUR OF THE REAL PROPERTY ACTIONS AND PROCEEDINGS LAW IN  EVERY  COUNTY,
 AND  SO THAT LEGAL SERVICES ARE AVAILABLE TO ASSIST HOMEOWNERS ANSWERING
 COMPLAINTS AND PARTICIPATING IN MANDATORY SETTLEMENT CONFERENCES  PURSU-
 ANT  TO  RULE  THIRTY-FOUR  HUNDRED  EIGHT OF THE CIVIL PRACTICE LAW AND
 RULES.
   2. COUNSELING AND LEGAL REPRESENTATION OF INDIVIDUALS WHO  ARE  FACING
 LOSS  OF  THEIR HOME OR THREATS TO HOMEOWNERSHIP. (A) WITHIN ONE YEAR OF
 THE EFFECTIVE DATE OF THIS SECTION, THE DEPARTMENT OF LAW  SHALL  ESTAB-
 LISH THE HOMEOWNER PROTECTION PROGRAM TO ENSURE THE AVAILABILITY OF FREE
 HOUSING  COUNSELING AND LEGAL SERVICES TO HOMEOWNERS FOR THE PURPOSES OF
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD03310-01-5
              

 A. 1625                             2
 
 MITIGATING THREATS TO  HOMEOWNERSHIP  INCLUDING,  BUT  NOT  LIMITED  TO,
 HOMEOWNERSHIP  RETENTION,  HOME PRESERVATION, ESTATE PLANNING, AS A TOOL
 FOR PREVENTING THEFT OF REAL PROPERTY AND OTHER SCAMS TARGETED TO  HOME-
 OWNERS,  PREVENTING  AVOIDABLE FORECLOSURES AND DISPLACEMENT, PRESERVING
 HOME EQUITY, PRESERVING  HOMEOWNERSHIP,  ESPECIALLY  IN  COMMUNITIES  OF
 COLOR,  AND  FOR ANY OTHER PURPOSES RELATED TO PRESERVING HOMEOWNERSHIP.
 SUCH PROGRAM SHALL BE FUNDED BY ANNUAL APPROPRIATION BY THE LEGISLATURE.
   (B) THE DEPARTMENT OF LAW SHALL PROVIDE GRANTS  TO  ELIGIBLE  NOT-FOR-
 PROFIT HOUSING COUNSELING ORGANIZATIONS AND LEGAL SERVICES ORGANIZATIONS
 TO  PROVIDE SERVICES UNDER THE PROGRAM. SUCH SERVICES SHALL INCLUDE, BUT
 NOT BE LIMITED TO, ASSISTANCE WITH LOSS MITIGATION AND LOAN AND  WORKOUT
 APPLICATIONS  AND  NEGOTIATIONS;  ASSISTANCE  IN APPLYING FOR ASSISTANCE
 PROGRAMS FOR HOMEOWNERS; ASSISTANCE WITH RESOLVING PROPERTY TAX, UTILITY
 AND BUILDING CODE VIOLATION DEBTS AND LIENS; REPRESENTATION IN  MORTGAGE
 AND TAX AND UTILITY LIEN FORECLOSURE LITIGATION, LIMITED SCOPE REPRESEN-
 TATION  AT  SETTLEMENT  CONFERENCES PURSUANT TO RULE THIRTY-FOUR HUNDRED
 EIGHT OF THE CIVIL PRACTICE LAW AND RULES; ASSISTANCE  TO  UNREPRESENTED
 LITIGANTS  WITH  ANSWERS AND MOTIONS IN JUDICIAL FORECLOSURE PROCEEDINGS
 AND BRIEF ADVICE; ASSISTANCE TO HOMEOWNERS  VICTIMIZED  BY  DEED  FRAUD,
 DISTRESSED  PROPERTY  CONSULTANT,  PARTITION  AND  OTHER  SCAMMERS;  AND
 REDRESS  OF  PREDATORY  AND  DISCRIMINATORY  LENDING,  ABUSIVE  MORTGAGE
 SERVICING,  AND  PROPERTY FLIPPING, INCLUDING AFFIRMATIVE LITIGATION AND
 ADMINISTRATIVE COMPLAINTS WITH FEDERAL, STATE  AND  LOCAL  FAIR  HOUSING
 AGENCIES; AND FOR WHATEVER OTHER PURPOSE DEEMED NECESSARY BY THE DEPART-
 MENT OF LAW TO PRESERVE HOMEOWNERSHIP.
   3.  PROGRAM  ADMINISTRATION. (A) THE DEPARTMENT OF LAW SHALL ESTABLISH
 CRITERIA FOR SELECTION OF GRANT APPLICATIONS,  REVIEW  APPLICATIONS  AND
 MAKE  AWARDS,  AND  EXERCISE  AND  PERFORM  SUCH  OTHER FUNCTIONS AS ARE
 RELATED TO THE PURPOSES OF THIS SECTION.
   (B) THE DEPARTMENT OF LAW  SHALL  MAKE  ONE-YEAR  GRANTS,  WITHIN  THE
 AMOUNTS  APPROPRIATED  FOR THAT PURPOSE, TO NOT-FOR-PROFIT HOUSING COUN-
 SELING ORGANIZATIONS SERVING HOMEOWNERS AT RISK OF LOSING  THEIR  HOMES,
 AND  LEGAL  SERVICES  ORGANIZATIONS,  TO PROVIDE COUNSELING SERVICES AND
 LEGAL REPRESENTATION OF PERSONS WHO RESIDE IN THE STATE OF NEW YORK  WHO
 ARE FACING THREATS TO HOMEOWNERSHIP.
   (C)  THE  DEPARTMENT  OF  LAW  SHALL  MAKE ONE-YEAR GRANTS, WITHIN THE
 AMOUNTS APPROPRIATED FOR THAT PURPOSE, TO ENSURE THAT HOUSING COUNSELING
 AND LEGAL SERVICES ARE AVAILABLE FREE OF CHARGE TO HOMEOWNERS  IN  EVERY
 COUNTY  OF  THE  STATE  AND  TO  ENSURE  THAT  THE STATUTORY MANDATES OF
 SECTIONS THIRTEEN HUNDRED THREE AND THIRTEEN HUNDRED FOUR  OF  THE  REAL
 PROPERTY  ACTIONS AND PROCEEDINGS LAW AND RULE THIRTY-FOUR HUNDRED EIGHT
 OF THE CIVIL PRACTICE LAW AND RULES ARE FULFILLED.
   (D) THE DEPARTMENT OF LAW  SHALL  MAKE  ONE-YEAR  GRANTS,  WITHIN  THE
 AMOUNTS  APPROPRIATED  FOR  THAT  PURPOSE,  TO ENSURE ADEQUATE TRAINING,
 TECHNICAL ASSISTANCE AND SUPPORT IS PROVIDED TO THE NOT-FOR-PROFIT HOUS-
 ING COUNSELING AND LEGAL SERVICES ORGANIZATIONS PROVIDING SERVICES UNDER
 THIS SECTION, AND TO ENSURE THE  MANAGEMENT  OF  GRANTS  AND  SUPPORTIVE
 SERVICES  INCLUDING,  BUT  NOT LIMITED TO, TOLL-FREE HOTLINES, DEDICATED
 OUTREACH, TECHNICAL EXPERTISE AND OTHER ASSISTANCE IS MADE AVAILABLE  TO
 THE ORGANIZATIONS PROVIDING SERVICES.
   4.  REPORTING. EACH NOT-FOR-PROFIT HOUSING COUNSELING ORGANIZATION AND
 LEGAL SERVICES ORGANIZATION RECEIVING A GRANT UNDER THIS  SECTION  SHALL
 AT  A  MINIMUM  REPORT  TO THE ATTORNEY GENERAL NO LATER THAN SIXTY DAYS
 AFTER THE END OF EACH ONE-YEAR GRANT.   SUCH  REPORT  SHALL  INCLUDE  AN
 ACCOUNTING OF THE FUNDS RECEIVED BY THE GRANT AND THE SERVICES PROVIDED.
   § 2. This act shall take effect immediately.