Senate Bill S2627A

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   2627
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                             January 22, 2025
                                ___________
 
 Introduced  by  Sens.  KAVANAGH,  BRISPORT,  COONEY, GOUNARDES, HINCHEY,
   JACKSON, MYRIE, S. RYAN -- read twice and ordered  printed,  and  when
   printed to be committed to the Committee on Judiciary
 
 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
              

 S. 2627                             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.