Legislation

Search OpenLegislation Statutes
This entry was published on 2014-09-22
The selection dates indicate all change milestones for the entire volume, not just the location being viewed. Specifying a milestone date will retrieve the most recent version of the location before that date.
SECTION 904
Payments to neighborhood preservation companies for neighborhood preservation activities
Private Housing Finance (PVH) CHAPTER 44-B, ARTICLE 16
§ 904. Payments to neighborhood preservation companies for
neighborhood preservation activities. 1. Each contract entered into with
a neighborhood preservation company shall provide for payment to the
neighborhood preservation company for neighborhood preservation
activities to be performed by it.

2. Payment to neighborhood preservation companies pursuant to this
article shall be restricted to sums required for the payment of salaries
and wages to employees of such companies who are engaged in rendering
neighborhood preservation activities, fees to consultants and
professionals retained by them for planning and performing such
activities and other costs and expenses directly related to such
employees, consultants and professionals.

3. In no event shall any contract or payment be made, nor shall any
payments be used, to defray the costs of the construction, repair,
renovation, rehabilitation, operation, demolition, clearance or sealing
of any building or other structure, except that such funds may be used
for planning any such activity and for renovating, repairing,
furnishing, equipping and operating an office facility to be used in
connection with the conduct of neighborhood preservation activities by
the neighborhood preservation company. Payments shall be made by the
division to the neighborhood preservation company, not less frequently
than semi-annually, at or prior to the commencement of each such time
period, to compensate such company for the neighborhood preservation
activities which it shall undertake to perform provided, that with
respect to contracts entered into on or after June thirtieth, nineteen
hundred ninety-seven the first such payment shall be made by the
division beginning on or after July first of the fiscal year for which
an appropriation in support of such payment was made and provided
further that the final such payment to the neighborhood preservation
company shall be made no later than March thirty-first of such fiscal
year, unless such payment has been withheld pursuant to subdivision
eight of section nine hundred three of this article.

4. In negotiating each contract, the division shall consider and take
into account any and all other sums available or anticipated to be made
available to the neighborhood preservation company from any and all
sources which may be used to defray the costs of the neighborhood
preservation activities set forth in the contract, including, without
limitation, fees generated by the management of housing accommodations,
contributions from private foundations, corporations, firms and
individuals and funds received under grants and contracts pursuant to
any program or programs operated or administered by any governmental
agency or instrumentality and shall make a determination that the sums
available or anticipated to be made available for the neighborhood
preservation company from such other sources, together with the value of
services to be rendered for the benefit of the neighborhood preservation
company for which payment is not required to be made by such company,
amount to at least thirty-three and one-third percent of the amount of
such contract.

5. When disbursing funds for contracts with neighborhood preservation
companies, pursuant to section nine hundred three of this article, the
division shall use the following criteria, formulas and tables to
determine the distribution of funds:

(a)(i) The total unmerged company funding shall equal the current
number of unmerged company contracts multiplied by the per group award.

(ii) The unmerged company funding shall equal the per group award.

(iii) The merged company funding shall equal the funding modification
multiplied by the per group award.

(b) Merged company funding shall be determined on an individual basis
for each neighborhood preservation company. The following tables show
the funding modification to be used:

(i) In the case of two companies merging, the following table shall be
used:

Years since Funding

merger modification

1 200%

2 190%

3 180%

4 170%

5 160%

6 150%

(ii) In the case of three companies merging, the following table shall
be used:

Years since Funding

merger modification

1 300%

2 290%

3 280%

4 270%

5 260%

6 250%

7 240%

8 230%

9 220%

10 210%

11 200%

(iii) In the case of four or more companies merging, the following
table shall be used:

Years since Funding

merger modification

1 400%

2 390%

3 380%

4 370%

5 360%

6 350%

7 340%

8 330%

9 320%

10 310%

11 300%

12 290%

13 280%

14 270%

15 260%

16 250%

(c) If a neighborhood preservation company that has undergone a merger
continues to renew their contract beyond the timeframes listed in the
above tables, it shall have its funding determined using the last
funding modification listed.

(d) The merged company savings shall be determined on an individual
basis for each merged company. It shall be calculated by subtracting the
amount of such company's merged company funding from the amount the
merged companies would have received if they had maintained separate
contracts.

(e) The per group award shall equal the total funding available minus
the amount for the contract with the neighborhood preservation
coalition, which shall equal the total unmerged company funding plus the
sum of the merged company funding plus the sum of the merged company
savings.