Senate Bill S6263

                             
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   6263
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                               March 7, 2025
                                ___________
 
 Introduced  by  Sen.  GRIFFO -- read twice and ordered printed, and when
   printed to be committed to the Committee on Housing, Construction  and
   Community Development
 
 AN  ACT to amend the private housing finance law, in relation to requir-
   ing certain out-of-state affordable  housing  owners  to  maintain  an
   escrow account for affordable housing rental units located in New York
   state
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The private housing finance law is amended by adding a  new
 section 615 to read as follows:
   §  615.  OUT-OF-STATE AFFORDABLE HOUSING OWNER ESCROW ACCOUNT. 1.  FOR
 THE PURPOSES OF THIS SECTION, THE FOLLOWING TERMS SHALL HAVE THE FOLLOW-
 ING MEANINGS:
   (A) "HUD" SHALL MEAN THE  FEDERAL  DEPARTMENT  OF  HOUSING  AND  URBAN
 DEVELOPMENT.
   (B)  "OUT-OF-STATE  AFFORDABLE HOUSING OWNER" SHALL MEAN AN AFFORDABLE
 HOUSING DEVELOPMENT COMPANY THAT:
   (I) IS LOCATED OUTSIDE OF NEW YORK STATE;
   (II) OWNS TWENTY OR MORE AFFORDABLE HOUSING RENTAL  UNITS  LOCATED  IN
 NEW YORK STATE; AND
   (III)  RECEIVES FEDERAL FUNDING PURSUANT TO A HUD-ADMINISTERED PROGRAM
 OR INITIATIVE.
   2. (A) EVERY OUT-OF-STATE AFFORDABLE HOUSING OWNER SHALL  MAINTAIN  AN
 ESCROW  ACCOUNT,  HELD  BY  A BANK OR LICENSED LENDER, AS SUCH TERMS ARE
 DEFINED BY SECTION TWO OF THE BANKING LAW, FOR THE PURPOSE OF  FINANCING
 UTILITY  COSTS,  TAX OBLIGATIONS, FIRE SERVICES, AND REGULAR MAINTENANCE
 COSTS FOR AFFORDABLE HOUSING RENTAL UNITS LOCATED IN NEW YORK STATE.
   (B) SUCH ESCROW ACCOUNT SHALL CONTAIN:
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04486-01-5
 S. 6263                             2
 
              

   (I) FIFTY PERCENT OF SUCH OWNER'S PROPERTY TAX OBLIGATIONS FOR AFFORD-
 ABLE HOUSING RENTAL UNITS LOCATED IN NEW YORK STATE FOR  THE  PRIOR  TAX
 YEAR;
   (II)  FIFTY PERCENT OF UTILITY COSTS AND REGULAR MAINTENANCE COSTS FOR
 AFFORDABLE HOUSING RENTAL UNITS LOCATED IN NEW YORK STATE FOR THE PREVI-
 OUS TWELVE MONTHS; AND
   (III) AN AMOUNT SUFFICIENT TO COVER ANY POTENTIAL  FIRE  SERVICES,  AS
 DETERMINED BY THE COMMISSIONER.
   §  2.  This  act  shall take effect on the sixtieth day after it shall
 have become a law.