³ 1291. New York housing for the future rental housing program. 1.
Program establishment. Within amounts appropriated or otherwise
available therefor, the division of housing and community renewal, the
housing trust fund corporation, or the housing finance agency shall
develop and administer a program which shall provide assistance in the
form of payments, grants and loans for the formation of income-limited
rental housing utilizing funding appropriated for such a purpose as well
as any other funding source or sources which the commissioner may
determine is suitable to support such a program. Such program may
utilize any appropriate site, including, but not limited to, state owned
sites, municipally owned sites, or sites owned by a not-for-profit
corporation or community land trust for the purpose of providing housing
pursuant to this section. Real property may be acquired by a
municipality for the purpose of such program as authorized pursuant to
section five hundred seventy-six-a of this chapter, provided, however,
that any acquisitions or transfers undertaken to further the goals of
this article pursuant to such section shall not be required to be
transferred to a housing development fund company incorporated and
organized pursuant to section five hundred seventy-three of this
chapter. Such program shall provide (a) housing for households with an
income up to one hundred and thirty percent of area median income at the
time such household initially occupies a unit, provided further that
households that are initially eligible for the program at the time such
household initially occupies a unit but realize income gains subsequent
to occupying such unit may be required to pay a surcharge as determined
by the division of housing and community renewal or other supervising
agency, as the case may be, and (b) that housing units created pursuant
to this section remain affordable in perpetuity.

2. Additional responsibilities. The division of housing and community
renewal, the housing trust fund corporation, or the housing finance
agency shall have the power to issue regulations, plans, guidance
documents, or set terms in regulatory agreements to implement such
program and the process for: (a) renters leasing a unit which shall
include both confirming income qualifications as well as a restriction
on the maximum amount of assets any qualified renter may have; (b)
selecting new households eligible to rent housing which has been vacated
by a previous renter; and (c) the creation of boards of directors for
such income-limited rental housing companies established by this
chapter, provided however that such boards shall have the powers and be
subject to the limitations contained in the not-for-profit corporation
law in the same manner and subject to the same exceptions as set forth
in section thirteen-a of this chapter.

3. Management. All such income-limited rental housing projects shall
be managed independently of the residents of the project by a
corporation or not-for-profit corporation determined qualified by the
division of housing and community renewal or other supervising agency,
as the case may be, in accordance with standards or guidelines set by
the division of housing and community renewal or other supervising
agency, as the case may be. Any regulatory agreement that is executed
for such program shall include a requirement that resident rent
increases by a minimum percentage annually to ensure that such housing
continues to be in good repair.

4. Tax exemptions. Housing for such program shall be eligible for tax
exemptions in the same manner as projects under article eleven of this
chapter.

5. Wage requirements. Notwithstanding any law, rule, or regulation to
the contrary, any project constructed pursuant to this section shall be
subject to prevailing wage requirements in accordance with sections two
hundred twenty and two hundred twenty-b of the labor law; provided,
however, such requirements shall not apply to construction work
performed under a pre-hire collective bargaining agreement between an
owner or developer and a bona fide building and construction trade labor
organization which has established itself and/or its affiliates as the
collective bargaining representative for all persons who will perform
work on such a project, and which provides that only contractors and
subcontractors who sign a pre-negotiated agreement with the labor
organization can perform work on such a project.