Amd §1307, add §§1307-a & 1308, RPAP L; add §91-g, St Fin L
 
Establishes the "Abandoned Property Neighborhood Relief Act of 2016"; relates to the duty of the mortgagee or its loan servicing agent to maintain property secured by a delinquent mortgage.
STATE OF NEW YORK
________________________________________________________________________
6932--A
2015-2016 Regular Sessions
IN ASSEMBLY
April 10, 2015
___________
Introduced by M. of A. WEINSTEIN, WOERNER, BRINDISI, SKARTADOS, KAMIN-
SKY, RUSSELL, MAGNARELLI, SKOUFIS, LAVINE, SOLAGES, ROBINSON, CAHILL,
BARRETT, PEOPLES-STOKES, MAYER, SANTABARBARA, HOOPER, SCHIMEL, FAHY,
WOZNIAK, TITONE -- Multi-Sponsored by -- M. of A. CERETTO, CURRAN,
GALEF, KEARNS, McDONALD, MURRAY -- (at request of the Department of
Law) -- read once and referred to the Committee on Judiciary -- recom-
mitted to the Committee on Judiciary in accordance with Assembly Rule
3, sec. 2 -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT establishing the "New York state abandoned property neighborhood
relief act of 2016"; and to amend the real property actions and
proceedings law, in relation to the duty of the mortgagee or its loan
servicing agent to maintain property secured by delinquent mortgage
and in relation to special foreclosure proceedings for vacant aban-
doned property; and to amend the state finance law, in relation to
establishing the abandoned property neighborhood relief fund
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. This act shall be known and may be cited as the "New York
2 state abandoned property neighborhood relief act of 2016".
3 § 2. Section 1307 of the real property actions and proceedings law, as
4 added by chapter 507 of the laws of 2009, is amended to read as follows:
5 § 1307. Duty to maintain [foreclosed] property secured by delinquent
6 mortgage. 1. [A plaintiff in a mortgage foreclosure action who obtains
7 a judgment of foreclosure and sale pursuant to section thirteen hundred
8 fifty-one of this article, involving residential real property, as
9 defined in section thirteen hundred five of this article, that is
10 vacant, or becomes vacant after the issuance of such judgment, or is
11 abandoned by the mortgagor but occupied by a tenant] (a) With respect to
12 a mortgage loan secured by residential real property, as defined under
13 section thirteen hundred five of this article, where the property is
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09229-09-6
A. 6932--A 2
1 "vacant and abandoned" as defined in paragraph (b) of this subdivision
2 or a foreclosure action has been commenced against the property because
3 the mortgagor has failed to maintain the property or where a judgment of
4 foreclosure under section thirteen hundred fifty-one of this article has
5 been obtained on the property that has been abandoned by the mortgagor
6 but remains occupied by a tenant lawfully in possession, the mortgagee
7 or its loan servicing agent shall maintain such property until such time
8 as ownership has been transferred through the closing of title in fore-
9 closure, or other disposition, and the deed for such property has been
10 duly recorded; provided, however, that if a municipality or governmental
11 entity holds a mortgage [subordinate to one or more mortgages] on the
12 residential real property, the municipality or governmental entity shall
13 not be subject to the requirements of this section.
14 (b) For purposes of this section, residential real property shall be
15 deemed "vacant and abandoned" when: (i) at least three monthly payments
16 are past due on the mortgage loan or the mortgagor has informed the
17 mortgagee or loan servicing company in writing that the mortgagor does
18 not intend to occupy the property in the future; and (ii) either: (A)
19 there is a reasonable basis to believe that the property is not occupied
20 which shall be determined in accordance with the requirements of para-
21 graph (b-1) of this subdivision; (B) such residential real property is a
22 risk to the health, safety or welfare of the public or any adjoining or
23 adjacent property owners, due to acts of vandalism, loitering, criminal
24 conduct, or physical destruction or deterioration of the property; or
25 (C) the relevant governmental authority has declared the property unfit
26 for occupancy and to remain vacant and unoccupied or to be demolished.
27 Where a mortgagee or loan servicing company has received written notice
28 from a mortgagor that such mortgagor does not intend to occupy such
29 property in the future, the mortgagee or loan servicing company shall
30 promptly notify the attorney general in writing of its receipt of such
31 notification and the date thereof.
32 (b-1) For purposes of paragraph (b) of this subdivision, a reasonable
33 basis to believe that residential real property is not occupied shall,
34 at a minimum, be based upon periodic inspections of such property, at
35 least thirty days apart, where two or more such inspections reveal
36 evidence of abandonment. For purposes of this subdivision, "evidence of
37 abandonment" shall include but not be limited to any of the following
38 conditions: (i) overgrown or dead vegetation; (ii) accumulation of news-
39 papers, circulars, flyers or mail; (iii) past due utility notices,
40 disconnected utilities, or utilities not in use; (iv) accumulation of
41 trash refuse or other debris; (v) absence of window coverings such as
42 curtains, blinds, or shutters; (vi) one or more boarded, missing or
43 broken windows; (vii) the property is open to casual entry or trespass;
44 or (viii) the property has a building or structure that is or appears
45 structurally unsound or has any other condition that presents a poten-
46 tial hazard or danger to the safety of persons.
47 (b-2) For purposes of determining whether residential real property is
48 occupied, the mortgagee or loan servicing company shall conduct or cause
49 to be conducted periodic inspections of such property at least once
50 every thirty days commencing no later than seven days after the date
51 upon which two mortgage payments on such property are past due, or soon-
52 er if so required by federal statute, rule, regulation, published guid-
53 ance, or other requirements of the Federal National Mortgage Associ-
54 ation, Federal Home Loan Mortgage Corporation or Federal Housing Finance
55 Agency.
A. 6932--A 3
1 (b-3) For purposes of paragraph (b) of this subdivision, residential
2 real property shall not be deemed "vacant and abandoned" where such
3 property is: (i) an unoccupied building which is undergoing
4 construction, renovation or rehabilitation that is proceeding to
5 completion, and the building is in compliance with all applicable ordi-
6 nances, codes, regulations and statutes; (ii) a building occupied on a
7 seasonal basis that is otherwise secure; (iii) a building that is
8 secure, but is the subject of a probate action, action to quiet title,
9 or other similar ownership dispute; (iv) a building damaged by a natural
10 disaster and one or more owner intends to repair and reoccupy the prop-
11 erty; or (v) occupied by the mortgagor, a relative of the mortgagor or a
12 tenant lawfully in possession.
13 2. Such [plaintiff] mortgagee and/or its loan servicing agent shall
14 have the right to peaceably enter upon such property determined to be
15 vacant and abandoned pursuant to subdivision one of this section, or to
16 cause others to peaceably enter upon the property for the limited
17 purpose of inspections, repairs and maintenance as required by this
18 section, or as otherwise ordered by court; provided, however, that if
19 the property is occupied by a tenant lawfully in possession, at least
20 seven days notice must be given to such tenant, unless emergency repairs
21 are required in which case reasonable notice shall be provided to the
22 tenant.
23 2-a. (a) It shall be unlawful for a mortgagee, its servicer or a third
24 party agent or other person acting on behalf of a mortgagee to enter
25 residential real property that is not vacant and abandoned for the
26 purpose of forcing, intimidating, harassing or coercing a lawful occu-
27 pant of such residential property to vacate that property in order to
28 render the property vacant and abandoned, or to otherwise force, intim-
29 idate, harass, or coerce a lawful occupant of residential real property
30 to vacate that property so that it may be considered as vacant and aban-
31 doned.
32 (b) Liability for such unlawful conduct shall extend to any mortgagee
33 for whose benefit the actions were initiated, in addition to any agent,
34 employee or subcontractor of the mortgagee who retained, hired or other-
35 wise enlisted the perpetrator.
36 (c) A homeowner and/or occupant who has been subjected to such unlaw-
37 ful conduct may bring an action for damages and injunctive relief which
38 may be raised as a counterclaim in a foreclosure or eviction proceeding,
39 or in any other action or proceeding brought to regain possession of, or
40 quiet title to, residential real property, or may be raised as an affir-
41 mative action in any court of competent jurisdiction.
42 (d) Punitive damages, costs and/or attorney fees, may be awarded when
43 the conduct complained of has been carried out with knowing disregard of
44 the rights of the occupant or was part of a pattern of conduct intended
45 to secure the vacating of properties so that those properties would be
46 considered as vacant and abandoned for purposes of this section.
47 3. [The] In addition to the authority granted to the attorney general
48 pursuant to subdivision three of section thirteen hundred seven-a of
49 this article, the municipality in which such residential real property
50 is located, any tenant lawfully in possession, and a board of managers
51 of a condominium in which the premises are located or a homeowners asso-
52 ciation if said premises are subject to the rules and regulations of
53 such an association, shall have the right to enforce the obligations
54 described in this section in any court of competent jurisdiction after
55 at least seven days notice to the [plaintiff in the foreclosure action]
56 mortgagee or its loan servicing agent unless emergency repairs are
A. 6932--A 4
1 required. Any entity acting pursuant to this subdivision shall have a
2 cause of action in any court of competent jurisdiction against the
3 [plaintiff in the foreclosure action] mortgagee or its loan servicing
4 agent to recover costs incurred as a result of maintaining the property.
5 Such entity shall provide the attorney general with written notice at
6 least ten days prior to bringing an action pursuant to this subdivision;
7 provided, however, that failure to comply with this notice requirement
8 shall not be a defense to the entity's proceeding. The authority
9 provided by this subdivision shall be in addition to, and shall not be
10 deemed to diminish or reduce, any rights of the parties described in
11 this section under existing law against the mortgagor of such property
12 for failure to maintain such property.
13 4. In the event the mortgagor of the property commences a proceeding
14 in bankruptcy court prior to the completion of the public auction
15 ordered in the judgment of sale, the duties created by this section
16 shall be suspended during the pendency of the bankruptcy proceeding or
17 until such time as an order has been entered in that proceeding lifting
18 or removing the automatic stay of the foreclosure sale.
19 5. For the purposes of this section "maintain" shall mean keeping the
20 subject property in a manner that is consistent with the standards set
21 forth in the New York property maintenance code chapter 3 sections 301,
22 302 (excluding 302.2, 302.6 and 302.8), 304.1, 304.3, 304.7, 304.10,
23 304.12, 304.13, 304.15, 304.16, 307.1, and 308.1; provided, however,
24 that if the property is occupied by a tenant, then such property must
25 also be maintained in a safe and habitable condition.
26 6. A [plaintiff] mortgagee or its loan servicing agent shall be
27 relieved of its responsibilities [to maintain the residential real prop-
28 erty that is the subject of a foreclosure action] under paragraph (a) of
29 subdivision one of this section for the period that a receiver of such
30 property is serving.
31 7. Nothing contained in this section shall diminish in any way the
32 obligations pursuant to any state or local law of the mortgagor of the
33 property or a receiver of rents and profits appointed in an action to
34 foreclose a mortgage to maintain the property prior to the closing of
35 title pursuant to a foreclosure sale.
36 8. This section shall not preempt, reduce or limit any rights or obli-
37 gations imposed by any local laws with respect to property maintenance
38 and the locality's ability to enforce those laws.
39 § 3. The real property actions and proceedings law is amended by
40 adding a new section 1307-a to read as follows:
41 § 1307-a. Delinquent mortgage; vacant and abandoned property; state-
42 wide vacant and abandoned property electronic registry. 1. Where a
43 mortgagor is three monthly payments past due on a mortgage loan secured
44 by residential real property, the mortgagee or its loan servicing agent
45 shall provide written notice to the mortgagor stating that the mortgagor
46 has the right to occupy the property until he or she is ordered to leave
47 the property by a court of competent jurisdiction. Such notice shall be
48 provided to the mortgagor within fifteen days of the date that the home-
49 owner's account is past due by ninety days, and a copy of such notice
50 shall promptly be provided by such mortgagee or loan servicing agent to
51 the attorney general. The notice shall be in fourteen-point font and
52 shall include the following language in a clear and conspicuous format:
53 "As your loan servicer or mortgage holder, we are required to send you
54 this notice pursuant to New York state law.
A. 6932--A 5
1 As the owner of your home, you have the right to occupy your home
2 until such time as you are ordered to leave by a court of competent
3 jurisdiction.
4 We may initiate collection activity including taking steps to commence
5 and litigate a foreclosure lawsuit against you and the property.
6 You are allowed by New York state law to continue living in your home
7 regardless of any collection methods we pursue or oral or written state-
8 ments made during the collections process, including the foreclosure
9 process, until such time as you are ordered by a court to leave your
10 property."
11 2. (a) The attorney general shall maintain a statewide vacant and
12 abandoned property registry in the form of an electronic database. The
13 attorney general may, in accordance with the applicable provisions of
14 the state finance law, retain a private contractor to administer such
15 database for the purposes of satisfying this requirement, and shall,
16 upon written request, provide appropriate officials of any county, city,
17 town or village with direct electronic access to information maintained
18 on such database for the purpose of enforcing this section, section
19 thirteen hundred seven of this article or article nineteen-A of this
20 chapter, or any other related law, code, rule, regulation or ordinance.
21 (b) A mortgagee or its agent shall submit to the attorney general
22 information required by the attorney general about any vacant and aban-
23 doned residential real property, as that term is defined in paragraph
24 (b) of subdivision one of section thirteen hundred seven of this arti-
25 cle, within fifteen days of when the mortgagee or its agents learn, or
26 reasonably should have learned, that such property is vacant and aban-
27 doned. Such information shall, at a minimum, include: (i) the current
28 name, address and contact information for the lender or servicer respon-
29 sible for maintaining the vacant property; (ii) whether a foreclosure
30 action has been filed for the property in question, and, if so, the date
31 on which the foreclosure action was commenced; and (iii) the last known
32 address and contact information for the mortgagee of record.
33 (c) Where any of the information contained in a mortgagee's or its
34 agent's initial submission to the registry has materially changed since
35 such submission, such mortgagee or agent shall make an amended
36 submission to the registry not later than thirty days after the mortga-
37 gee or its agents learn, or reasonably should have learned, of the new
38 or changed information.
39 (d) The attorney general is authorized and empowered to adopt such
40 rules and regulations as may in the judgment of the attorney general be
41 necessary for the effective administration and operation of such regis-
42 try, including but not limited to rules and regulations governing access
43 to the registry and specifying the manner and frequency of registration
44 and the information that must be provided. The attorney general may
45 amend such regulations from time to time as necessary to effectuate the
46 purpose of this section and section thirteen hundred seven of this arti-
47 cle.
48 (d-1) The attorney general shall take such measures as he or she deems
49 appropriate to ensure that the Federal National Mortgage Association or
50 the Federal Home Loan Mortgage Association, as applicable, is promptly
51 notified in writing, which may include notification by email or other
52 electronic means, when residential real property with respect to which
53 either such association is the mortgagee, servicer or insurer, is added
54 to the registry.
55 (e) The attorney general shall establish and maintain a toll-free
56 hotline that neighbors of real property that is, or appears to be,
A. 6932--A 6
1 vacant and abandoned residential real property, as such term is defined
2 in paragraph (b) of subdivision one of section thirteen hundred seven of
3 this article, and other community residents can use to report to the
4 attorney general any hazards, blight or other concerns related to such
5 property and to obtain publicly available information concerning the
6 status of such property. Such publicly available information shall
7 include but not be limited to whether such property is currently listed
8 on the statewide vacant and abandoned property registry established
9 pursuant to this subdivision, and the identity of the mortgagee or loan
10 servicing company responsible for maintaining such vacant and abandoned
11 property pursuant to subdivision one of this section. The office of the
12 attorney general shall include on its official public website informa-
13 tion about such toll-free hotline.
14 3. (a) Whenever a mortgagee or agent of a mortgagee shall violate this
15 section or section thirteen hundred seven of this article, an applica-
16 tion may be made by the attorney general in the name of the people of
17 the state of New York to a court or justice having jurisdiction by a
18 special proceeding to issue an injunction, and upon notice to the
19 defendant of not less than five days, to enjoin or restrain the contin-
20 uance of such violation; and if it shall appear to the satisfaction of
21 the court or justice that the defendant has, in fact, violated this
22 section or section thirteen hundred seven of this article, an injunction
23 may be issued by such court or justice, enjoining and restraining any
24 further violation, without requiring proof that any person has, in fact,
25 been injured or damaged thereby. In connection with any such proposed
26 application, the attorney general is authorized to take proof and make a
27 determination of the relevant facts and to issue subpoenas in accordance
28 with the civil practice law and rules.
29 (b) In addition to, or in lieu of, the relief authorized in paragraphs
30 (a) and (c) of this subdivision, a municipality where the residential
31 real property is located may intervene as a matter of right in any fore-
32 closure action commenced under this article for the purposes of request-
33 ing injunctive relief to assure that the property in question is main-
34 tained in accordance with all ordinances, codes, regulations and
35 statutes and that the foreclosure action is timely prosecuted. The
36 intervenor may move to have any adjournments or voluntary discontin-
37 uances in such foreclosure action conditioned upon the posting of a bond
38 or other undertaking or to order other measures intended to ensure ongo-
39 ing maintenance of the property until such time as title to the property
40 has been transferred through a foreclosure sale or otherwise. Inter-
41 vention in a foreclosure action pursuant to this paragraph shall be
42 available with respect to any residential property secured by a mortgage
43 loan as defined under section thirteen hundred five of this article,
44 regardless of whether the property is occupied, so long as one of the
45 other conditions described in paragraph (b) of subdivision one of
46 section thirteen hundred seven of this article is present.
47 (c) Whenever the court shall determine that a violation of this
48 section or section thirteen hundred seven of this article by a mortgagee
49 or agent of a mortgagee has occurred, the court may impose a civil
50 penalty of up to one thousand dollars per day for each day the violation
51 persisted in addition to the costs of maintaining the property. Notwith-
52 standing any provision of law to the contrary, all civil penalties
53 collected by the attorney general pursuant to this paragraph shall be
54 deposited to the credit of the abandoned property neighborhood relief
55 fund established pursuant to section ninety-one-g of the state finance
56 law.
A. 6932--A 7
1 (d) The provisions of this section may also be enforced by any locali-
2 ty or municipality in which the vacant property is located, provided
3 that the locality or municipality provides the attorney general with
4 written notice at least ten days prior to commencing such an action
5 under this section; and provided further that failure to comply with
6 this notice requirement shall not be a defense to the locality's or
7 municipality's proceeding. Any civil penalty imposed pursuant to para-
8 graph (c) of this subdivision in an action brought by a municipality
9 pursuant to this paragraph shall be retained by such municipality.
10 4. This section shall not preempt, reduce or limit any rights or obli-
11 gations imposed by any local law with respect to property maintenance
12 and the locality's ability to enforce those laws.
13 § 4. A part of the supreme court shall be devoted to foreclosure
14 actions involving property alleged to be vacant and abandoned.
15 § 5. The real property actions and proceedings law is amended by
16 adding a new section 1308 to read as follows:
17 § 1308. Special foreclosure proceeding for vacant and abandoned resi-
18 dential real property. 1. In any foreclosure action involving residen-
19 tial real property, as defined in section thirteen hundred five of this
20 article, alleged to be vacant and abandoned, the plaintiff may make an
21 application for an order to show cause upon notice which seeks entry of
22 judgment of foreclosure and sale on the grounds that such property is
23 vacant and abandoned. Any such application shall be made via order to
24 show cause, wherein the court shall direct service consistent with
25 section three hundred eight of the civil practice law and rules. No such
26 application shall be directed to be served upon defendant until the time
27 to answer the complaint in such action shall have expired, nor shall any
28 such application be granted until after the mandatory settlement confer-
29 ence pursuant to rule three thousand four hundred eight of the civil
30 practice law and rules has been noticed to any such defendant, and after
31 all such defendants have failed to appear for said conference. Such
32 application shall:
33 (a) state on the face of the order to show cause that "This order to
34 show cause seeks entry of a judgment of foreclosure and sale pursuant to
35 Real Property Actions and Proceedings Law § 1308 on the ground that the
36 mortgaged premises are vacant and abandoned";
37 (b) set forth the allegations evidencing vacant and abandoned residen-
38 tial property as provided for under subdivision four of this section and
39 attach documentary evidence in support;
40 (c) state within the affidavit or affirmation supporting the applica-
41 tion the sums alleged to be due and owing upon the subject mortgage
42 documents and attach documentary evidence in support, including but not
43 limited to proof of ownership of the mortgage and the note; and
44 (d) state within the affidavit or affirmation supporting the applica-
45 tion that an immediate order of reference is sought for the appointment
46 of a referee to compute pursuant to this chapter.
47 2. The chief administrative judge of the courts shall adopt such rules
48 as he or she deems necessary to expeditiously implement the provisions
49 of this subdivision.
50 3. The court shall take the evidence supporting the facts and circum-
51 stances stated in the order to show cause and shall examine the plain-
52 tiff or his or her agent, at an evidentiary hearing under oath, as to
53 the evidence presented with respect to vacant and abandoned property,
54 and shall make a written finding whether the property to be foreclosed
55 upon pursuant to this section meets the definition of vacant and aban-
56 doned pursuant to subdivision four of this section and shall set forth
A. 6932--A 8
1 with specificity the factors met under such section. Evidence to be
2 submitted to the court shall include utility company records evidencing
3 the abandoned status of the premises. Written findings shall include
4 evidence that the plaintiff is the owner and holder of the subject mort-
5 gage and note, or has been delegated the authority to institute a mort-
6 gage foreclosure action by the owner of same.
7 4. (a) As used in this section, "vacant and abandoned" residential
8 real property means residential real property, as defined in section
9 thirteen hundred five of this article, with respect to which the mortga-
10 gee proves to the satisfaction of the court that the mortgaged property
11 is not occupied by a mortgagor or tenant as defined in section thirteen
12 hundred five of this article, and:
13 (1) the property is a risk to the health, safety, or welfare of the
14 public, or any adjoining or adjacent property owners, due to acts of
15 vandalism, loitering, criminal conduct, or physical destruction or dete-
16 rioration of the property; or
17 (2) the relevant governmental authority has declared the property
18 unfit for occupancy and to remain vacant and unoccupied or to be demol-
19 ished.
20 (b) For purposes of this section, residential real property shall not
21 be considered "vacant and abandoned" if the property is a building
22 described in subparagraph (i), (ii), (iii) or (iv) of paragraph (b-3) of
23 subdivision one of section thirteen hundred seven of this article, or is
24 occupied as described in subparagraph (v) of such paragraph.
25 5. (a) A judgment of foreclosure and sale shall not be entered pursu-
26 ant to this section if the mortgagor or any other defendant has filed an
27 answer, appearance or other written objection that is not withdrawn.
28 (b) The court's denial of a judgment of foreclosure and sale pursuant
29 to this section where the court does not find that the mortgaged proper-
30 ty is vacant and abandoned shall not be on the merits.
31 (c) The provisions of this section shall not preempt, reduce or limit
32 any rights or obligations imposed by any local laws with respect to
33 property maintenance or a locality's ability to enforce such laws.
34 (d) The provisions of this section shall not abrogate any rights or
35 duties pursuant to this article.
36 § 6. The state finance law is amended by adding a new section 91-g to
37 read as follows:
38 § 91-g. Abandoned property neighborhood relief fund; enforcement
39 assistance grants. 1. There is hereby established in the custody of the
40 state comptroller a special fund to be known as the "abandoned property
41 neighborhood relief fund."
42 2. Such fund shall consist of all civil penalties collected by the
43 attorney general pursuant to paragraph (c) of subdivision three of
44 section thirteen hundred seven-a of the real property actions and
45 proceedings law and required to be deposited into this fund, and all
46 other moneys credited or transferred thereto from any other fund or
47 source pursuant to law. Any income earned on moneys within the abandoned
48 property neighborhood relief fund shall be added to and made available
49 for the purpose of such fund.
50 3. Monies of the fund shall be allocated to and expended by the attor-
51 ney general, on the audit and warrant of the state comptroller, only for
52 the purpose of providing abandoned property enforcement assistance
53 grants to localities in accordance with subdivisions four, five and six
54 of this section.
55 4. The chief elected official of a county, city, town or village
56 located within the state may, on an annual basis, submit a written
A. 6932--A 9
1 application to the attorney general, or his or her authorized designee,
2 for an abandoned property enforcement assistance grant from available
3 moneys in the abandoned property neighborhood relief fund established
4 pursuant to subdivision one of this section. The attorney general shall
5 require that applications submitted pursuant to this subdivision provide
6 such information as the attorney general deems appropriate, including,
7 at a minimum, the following:
8 (a) The amount of funding sought;
9 (b) A detailed description of the impact that the presence of vacant
10 and abandoned residential real properties in the requesting locality has
11 had on its affected communities, the locality's efforts to address the
12 problem to date and the result of those efforts;
13 (c) A detailed description of the enforcement purpose or purposes to
14 which the funding will be applied, with specific reference to the
15 provision or provisions of sections thirteen hundred seven and thirteen
16 hundred seven-a of the real property actions and proceedings law sought
17 to be enforced; and
18 (d) The date and result of any prior applications made by the locality
19 to the attorney general pursuant to this section.
20 5. In determining whether to approve an application submitted pursuant
21 to subdivision four of this section, the attorney general shall, at a
22 minimum, consider:
23 (a) The extent to which the presence of vacant and abandoned residen-
24 tial properties in the requesting locality has negatively impacted the
25 communities where those properties are located and the locality as a
26 whole;
27 (b) The likely impact approval of the application and disbursement of
28 funds would have on addressing the problem of vacant and abandoned resi-
29 dential properties in the requesting locality through enhanced enforce-
30 ment of sections thirteen hundred seven and thirteen hundred seven-a of
31 the real property actions and proceedings law;
32 (c) The availability of other sources of funding to pay some or all of
33 the enforcement costs for which the requesting locality seeks funding;
34 and
35 (d) Where the requesting locality previously applied for and received
36 an enforcement assistance grant pursuant to this section, whether the
37 grant funds were used by the locality in accordance with the provisions
38 of this section and any applicable rules or regulations adopted by the
39 attorney general.
40 6. Upon approval of an application, the attorney general may authorize
41 disbursement of funds in any amount up to the amount sought by the
42 requesting locality. Such disbursement may be by advance payment to the
43 locality before it incurs the cost for which its application sought
44 funding, by reimbursement to the locality after it incurs and pays such
45 costs in the first instance, or by some combination thereof, as the
46 attorney general determines is appropriate under the circumstances. Any
47 and all enforcement assistance grant moneys disbursed pursuant to this
48 section shall be used by the recipient county, city, town or village
49 solely to aid in the enforcement by such locality of sections thirteen
50 hundred seven and thirteen hundred seven-a of the real property actions
51 and proceedings law.
52 7. The attorney general shall adopt such rules and regulations as he
53 or she deems appropriate to effectuate the purposes of this section,
54 including provisions for periodic monitoring and evaluation of the
55 enforcement assistance grant program established herein.
A. 6932--A 10
1 8. The state comptroller shall have the power to inspect, examine and
2 audit the fiscal affairs of any locality awarded an enforcement assist-
3 ance grant pursuant to this section to the extent necessary to determine
4 whether the funding received has been used in accordance with the
5 purpose or purposes for which it was sought in the application, and
6 whether there has been compliance with the applicable provisions of this
7 section and any applicable rules or regulations adopted by the attorney
8 general.
9 9. The attorney general, in consultation with the state comptroller,
10 shall report annually to the governor and the legislature regarding the
11 operation and success of such grant program.
12 § 7. This act shall take effect on the ninetieth day after it shall
13 have become a law; provided, however, that effective immediately, the
14 addition and/or repeal of any rule or regulation necessary for the
15 implementation of this act on its effective date is authorized and
16 directed to be made and completed on or before such effective date.