Relates to designating blighted property and blighted areas; establishes criteria for designation; provides definition of blighted property and blighted areas; amends definition of substandard or insanitary area by removing the words "slum" and "deteriorated or deteriorating".
STATE OF NEW YORK
________________________________________________________________________
2544
2025-2026 Regular Sessions
IN SENATE
January 21, 2025
___________
Introduced by Sen. MYRIE -- read twice and ordered printed, and when
printed to be committed to the Committee on Judiciary
AN ACT to amend the eminent domain procedure law, in relation to desig-
nating blighted property and blighted areas; to amend the New York
state urban development corporation act, in relation to the definition
of blight and substandard or insanitary area; and to amend the general
municipal law and the New York state urban development and research
corporation act, in relation to substandard and insanitary areas
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 103 of the eminent domain procedure law is amended
2 by adding a new subdivision (H) to read as follows:
3 (H) "Blighted property" and "blighted area" means property that is
4 declared blighted under section two hundred four-a of this chapter.
5 § 2. Subdivision (B) of section 204 of the eminent domain procedure
6 law is amended by adding a new closing paragraph to read as follows:
7 A condemnor shall not take action against a property or area when the
8 public use, benefit, or purpose to be served by the proposed public
9 project is to remedy blight, unless such property or area satisfies the
10 definition of "blighted property or blighted area" as defined by section
11 two hundred four-a of this article. The condemnor shall include such
12 findings in its determination and findings pursuant to this subdivision
13 in order to take action against an area or property to remedy blight.
14 § 3. The eminent domain procedure law is amended by adding a new
15 section 204-a to read as follows:
16 § 204-a. Blighted property and blighted areas. (A) Subject to the
17 exceptions listed in paragraph two of subdivision (B) of this section,
18 any single property may be declared blighted if:
19 (1) (a) (I) The property is unfit for human habitation due to iden-
20 tifiable conditions that endanger the life, health and safety of the
21 owners, occupants, or general public. Conditions rendering property
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD02003-01-5
S. 2544 2
1 unfit for human habitation include, but are not limited to, structural
2 defects, dilapidation, deterioration, vermin infestation, health
3 hazards, fire hazards, lack of proper sanitary facilities, obsolete
4 systems of utilities, or inadequate maintenance; or
5 (II) The property has deteriorated to the point where:
6 1. the building is structurally unsound or poses an immediate threat
7 to life or other property; or
8 2. the cost of rehabilitation significantly exceeds the post-rehabili-
9 tation market value.
10 (b) The owner fails to remedy subparagraph (a) of this paragraph with-
11 in a reasonable time after receiving notice of violation by the appro-
12 priate governing body requiring the owner to:
13 (I) rehabilitate the building to conform to minimum code habitability
14 requirements; or
15 (II) demolish the building for health and safety reasons.
16 (2) The property is abandoned. Property shall be deemed abandoned if:
17 (a) Property is unoccupied and has been tax delinquent for at least
18 two years; or
19 (b) A building is unoccupied by the owner or tenants, is unfit for
20 human habitation, and has deteriorated to the point where:
21 (I) The building is structurally unsound or poses an immediate threat
22 to life or other property; or
23 (II) The cost of rehabilitation significantly exceeds the post-rehabi-
24 litation market value; and
25 (III) The owner is unknown or the owner fails to respond within six
26 months to a violation notice from the appropriate governing body requir-
27 ing the owner to:
28 1. rehabilitate the building to conform to minimum habitability
29 requirements; or
30 2. demolish the building for health and safety reasons.
31 (3) A vacant lot on which a building has been demolished and for which
32 a municipal lien for demolition costs remains unpaid for six months.
33 (4) Property that is environmentally contaminated requiring remedi-
34 ation for current or future use under state or federal law, if the owner
35 fails to remedy the problem within six months of receiving notice of
36 violation from the appropriate governing body.
37 (5) A premises which, because of physical condition or use, is
38 regarded as a public nuisance at common law or has been declared a
39 public nuisance under a statute or an applicable municipal code, and the
40 owner fails to abate the nuisance within six months of receiving notice
41 of violation from the appropriate governing body.
42 (6) Defective or unusual conditions of title that make the free trans-
43 fer or alienation of the property impossible.
44 (7) Property that is occupied or unoccupied has tax delinquencies
45 exceeding the value of the property.
46 (B) Notwithstanding the provisions of subdivision (A) of this section,
47 the following exceptions shall apply:
48 (1) Property shall in no case be declared blighted if it meets one or
49 more of the following criteria:
50 (a) Vacant and unimproved property located in any rural or suburban
51 area which is not served by existing utilities.
52 (b) Property which satisfies the definition of "farm woodland", "land
53 used in agricultural production", "unique and irreplaceable agricultural
54 land", or "viable agricultural land", as those terms are defined in
55 section three hundred one of the agriculture and markets law.
S. 2544 3
1 (2) For purposes of this section, if a developer or condemner involved
2 in a redevelopment project has caused or brought about by action or
3 inaction or maintained for more than seven years a condition listed in
4 subdivision (A) of this section within the proposed project area, that
5 condition may not be used in the determination of blight.
6 (3) For purposes of this section, if property located in an urbanized
7 area generally served by municipal infrastructure and utilities meets
8 one or more of the conditions listed in subdivision (A) of this section
9 due to failure on the part of the appropriate governing body to provide
10 necessary utility services and/or infrastructure, that condition may not
11 be used in the determination of blight.
12 (C) Multiple properties and project areas may be declared blighted.
13 (1) A condemner may use eminent domain to acquire any unit of property
14 within a blighted project area.
15 (2) For purposes of acquiring multiple units of property by eminent
16 domain, an area may be declared generally blighted only if a majority of
17 the individual parcels in the area are declared blighted under subdivi-
18 sion (A) of this section and represent a majority of the geographic area
19 of the project.
20 (3) Properties owned by a developer or condemner involved in a rede-
21 velopment project may be included in any blighted project area determi-
22 nation.
23 (D) For purposes of this section, a building containing multiple units
24 shall be treated as a single property.
25 (E) Before a property may be declared blighted pursuant to this
26 section, the condemner shall:
27 (1) In the case of a single property, make written findings identify-
28 ing the specific conditions which render the property blighted under
29 subdivision (A) of this section;
30 (2) In the case of multiple properties or project areas, make written
31 findings demonstrating that the conditions of subdivision (C) of this
32 section have been met. In order to demonstrate that a majority of the
33 individual parcels are blighted and comprise a majority of the geograph-
34 ical area of the project, each blighted property must be identified and
35 the specific conditions rendering it blighted under subdivision (A) of
36 this section must be identified.
37 (F) Any declaration made pursuant to this section shall be valid for a
38 period of up to fifteen years.
39 § 4. Section 206 of the eminent domain procedure law, subdivision (B)
40 as amended by section 13 of part O of chapter 58 of the laws of 2024 and
41 subdivision (E) as added by chapter 468 of the laws of 1978, is amended
42 to read as follows:
43 § 206. Exemptions. The condemnor shall be exempt from compliance with
44 the provisions of this article when:
45 (A) pursuant to other state, federal, or local law or regulation it
46 considers and submits factors [similar to those] enumerated in subdivi-
47 sion (B) of section two hundred four, to a state, federal or local
48 governmental agency, board or commission before proceeding with the
49 acquisition and obtains a license, a permit, a certificate of public
50 convenience or necessity or other similar approval from such agency,
51 board, or commission or;
52 (B) pursuant to article VII of the public service law it obtained a
53 certificate of environmental compatibility and public need [or pursuant
54 to article VIII of the public service law it obtained a siting permit
55 with respect to a major electric transmission facility] or;
S. 2544 4
1 (C) pursuant to other law or regulation it undergoes or conducts [or
2 offers to conduct] prior to an acquisition one or more public hearings
3 upon notice to the public and owners of property to be acquired, and
4 provided further that factors [similar to those] enumerated in subdivi-
5 sion (B) of section two hundred four herein [may] shall be considered at
6 such public hearings, or;
7 (D) when in the opinion of the condemnor the acquisition is de minimis
8 in nature so that the public interest will not be prejudiced by the
9 construction of the project or because of an emergency situation the
10 public interest will be endangered by any delay caused by the public
11 hearing requirement in this article.
12 (E) when it complies with the procedures contained in section 41.34 of
13 the mental hygiene law.
14 § 4-a. Subparagraph (B) of section 206 of the eminent domain procedure
15 law is amended to read as follows:
16 (B) pursuant to article VII [or article VIII] of the public service
17 law it obtained a certificate of environmental compatibility and public
18 need or;
19 § 5. Section 3 of section 1 of chapter 174 of the laws of 1968,
20 constituting the New York state urban development corporation act, is
21 amended by adding a new subdivision 31 to read as follows:
22 (31) "Blighted property" and "blighted area". Property that is
23 declared blighted under section 204-a of the eminent domain procedure
24 law.
25 § 6. Subdivision 12 of section 3 of section 1 of chapter 174 of the
26 laws of 1968, constituting the New York state urban development corpo-
27 ration act, is amended to read as follows:
28 (12) "Substandard or insanitary area". The term "substandard or insan-
29 itary area" shall mean and be interchangeable with a [slum,] blighted[,
30 deteriorated or deteriorating] area, or an area which has a blighting
31 influence on the surrounding area, whether residential, non-residential,
32 commercial, industrial, vacant or land in highways, waterways, railway
33 and subway tracks and yards, bridge and tunnel approaches and entrances,
34 or other similar facilities, over which air rights and easements or
35 other rights of user necessary for the use and development of such air
36 rights, to be developed as air rights sites for the elimination of the
37 blighting influence, or any combination thereof and may include land,
38 buildings or improvements, or air rights and concomitant easements or
39 other rights of user necessary for the use and development of such air
40 rights not in themselves substandard or insanitary.
41 § 7. The second and the sixth undesignated paragraphs of section 2 of
42 section 1 of chapter 174 of the laws of 1968, constituting the New York
43 state urban development corporation act, are amended to read as follows:
44 It is further found and declared that there exist in many munici-
45 palities within this state residential, nonresidential, commercial,
46 industrial or vacant areas, and combinations thereof, which are [slum
47 or] blighted, or which are becoming [slum or] blighted areas because of
48 substandard[,] or insanitary conditions, [deteriorated or deteriorating
49 conditions, including obsolete and dilapidated buildings and structures,
50 defective construction, outmoded design, lack of proper sanitary facili-
51 ties or adequate fire or safety protection, excessive land coverage,
52 insufficient light and ventilation, excessive population density, ille-
53 gal uses and conversions, inadequate maintenance, buildings abandoned or
54 not utilized in whole or substantial part, obsolete systems of utili-
55 ties, poorly or improperly designed street patterns and intersections,
56 inadequate access to areas, traffic congestion hazardous to the public
S. 2544 5
1 safety, lack of suitable off-street parking, inadequate loading and
2 unloading facilities, impractical street widths, sizes and shapes,
3 blocks and lots of irregular form, shape or insufficient size, width or
4 depth, unsuitable topography, subsoil or other physical conditions, all
5 of] which hamper or impede proper and economic development of such areas
6 and which impair or arrest the sound growth of the area, community or
7 municipality, and the state as a whole.
8 It is further declared to be the policy of the state to promote the
9 safety, health, morals and welfare of the people of the state and to
10 promote the sound growth and development of our municipalities through
11 the correction of such substandard, insanitary[,] or blighted[, deteri-
12 orated or deteriorating] conditions, factors and characteristics by the
13 clearance, replanning, reconstruction, redevelopment, rehabilitation,
14 restoration or conservation of such areas, and of areas reasonably
15 accessible thereto the undertaking of public and private improvement
16 programs related thereto, including the provision of educational, recre-
17 ational and cultural facilities, and the encouragement of participation
18 in these programs by private enterprise.
19 § 8. Paragraph (d) of subdivision 6 of section 16-n of section 1 of
20 chapter 174 of the laws of 1968, constituting the New York state urban
21 development corporation act, as amended by section 3 of part HHH of
22 chapter 58 of the laws of 2022, is amended to read as follows:
23 (d) A municipality that is granted an award or awards under this
24 section shall provide a matching contribution of no less than ten
25 percent of the aggregated award or awards amount. Such matching contrib-
26 ution may be in the form of a financial and/or in kind contribution.
27 Financial contributions may include grants from federal, state and local
28 entities. In kind contributions may include but shall not be limited to
29 the efforts of municipalities to conduct an inventory and assessment of
30 vacant, abandoned, surplus, and condemned[, and deteriorated] properties
31 and to manage and administer grants pursuant to subdivisions four and
32 five of this section. A municipality that is granted an award or awards
33 under this section shall make best efforts to ensure that minority-owned
34 and women-owned business enterprises certified pursuant to article
35 fifteen-A of the executive law are given the opportunity for maximum
36 feasible participation in any municipal contracting opportunities.
37 § 9. Section 501 of the general municipal law, as added by chapter 402
38 of the laws of 1961, is amended to read as follows:
39 § 501. Policy and purposes of article. There exist in many munici-
40 palities within this state residential, non-residential, commercial,
41 industrial or vacant areas, and combinations thereof, which are [slum
42 or] blighted, or which are becoming [slum or] blighted areas because of
43 substandard[,] or insanitary[, deteriorated or deteriorating] condi-
44 tions, factors, and characteristics, with or without tangible physical
45 blight. The existence of such areas constitutes a serious and growing
46 menace, is injurious to the public safety, health, morals and welfare,
47 contributes increasingly to the spread of crime, juvenile delinquency
48 and disease, necessitates excessive and disproportionate expenditures of
49 public funds for all forms of public service and constitutes a negative
50 influence on adjacent properties impairing their economic soundness and
51 stability, thereby threatening the source of public revenues.
52 In order to protect and promote the safety, health, morals and welfare
53 of the people of the state and to promote the sound growth and develop-
54 ment of our municipalities, it is necessary to correct such substandard,
55 insanitary, or blighted[, deteriorated or deteriorating] conditions,
56 factors and characteristics by the clearance, replanning, recon-
S. 2544 6
1 struction, redevelopment, rehabilitation, restoration or conservation of
2 such areas, the undertaking of public and private improvement programs
3 related thereto and the encouragement of participation in these programs
4 by private enterprise.
5 It is necessary for the accomplishment of such purposes to grant muni-
6 cipalities of this state the rights and powers provided in this article.
7 The use of such rights and powers to correct such conditions, factors
8 and characteristics and to eliminate or prevent the development and
9 spread of [deterioration and] blight through the clearance, replanning,
10 reconstruction, rehabilitation, conservation or renewal of such areas,
11 for residential, commercial, industrial, community, public and other
12 uses is a public use and public purpose essential to the public inter-
13 est, and for which public funds may be expended.
14 § 10. Subdivision 4 of section 502 of the general municipal law, as
15 amended by chapter 748 of the laws of 1967, is amended to read as
16 follows:
17 4. "Substandard or insanitary area." The term "substandard or insani-
18 tary area" shall mean and be interchangeable with a [slum,] blighted[,
19 deteriorated or deteriorating] area, or an area which has a blighting
20 influence on the surrounding area, whether residential, non-residential,
21 commercial, industrial, vacant, or land in highways, railway and subway
22 tracks, bridge and tunnel approaches and entrances, or other similar
23 facilities, over which air rights and easements or other rights of user
24 necessary for the use and development of such air rights, to be devel-
25 oped as air rights sites for the elimination of the blighting influence,
26 or any combination thereof and may include land, buildings or improve-
27 ments, or air rights and concomitant easements or other rights of user
28 necessary for the use and development of such air rights, not in them-
29 selves substandard or insanitary, the inclusion of which is deemed
30 necessary for the effective undertaking of one or more urban renewal
31 programs.
32 § 11. Paragraph (a) of subdivision 5 of section 510 of the general
33 municipal law, as amended by chapter 829 of the laws of 1968, is amended
34 to read as follows:
35 (a) Notwithstanding anything contained in this article to the contra-
36 ry, the commissioner may in the name of the state, within appropriations
37 heretofore or hereafter made for state capital grants to assist in
38 carrying out one or more local urban renewal programs, make or contract
39 to make state capital grants to municipalities to assist in financing
40 the cost of the preparation and completion of one or more community
41 renewal programs.
42 A community renewal program may include, without being limited to (1)
43 the identification of [slum areas or] blighted[, deteriorated, or dete-
44 riorating] areas in the community, (2) the measurement of the nature and
45 degree of blight and blighting factors within such areas, (3) determi-
46 nation of the financial, relocation, and other resources needed and
47 available to renew such areas, (4) the identification of potential
48 project areas and, where feasible, types of urban renewal action contem-
49 plated within such areas, and (5) scheduling or programming of urban
50 renewal activities.
51 § 12. Section 520 of the general municipal law, as added by chapter
52 402 of the laws of 1961, is amended to read as follows:
53 § 520. Construction. This article shall be construed liberally to
54 effect the purposes hereof and the enumeration of specific powers in
55 this act shall not operate to restrict the meaning of any general grant
56 of power contained in this chapter or to exclude other powers compre-
S. 2544 7
1 hended in such general grant. In construing this chapter consideration
2 shall be given to its purposes and intent, among others, of consolidat-
3 ing, clarifying and simplifying the respective provisions of the chap-
4 ters repealed as hereinafter specified in section five hundred twenty-
5 five hereof and of authorizing municipalities to undertake one or more
6 programs of urban renewal with respect to the clearance, replanning,
7 reconstruction, rehabilitation, redevelopment, conservation, restoration
8 or improvement of substandard, insanitary, [slum,] or blighted[, deteri-
9 orated or deteriorating] residential, non-residential, improved or
10 vacant areas, or the remedying of unsuitable topographical, subsoil or
11 other physical conditions which tend to impede the development of such
12 areas, for residential, commercial, industrial, community, public and
13 other uses and to apply for and accept federal or state loans, subsidies
14 or grants in connection therewith. Insofar as the provisions of this
15 article are inconsistent with the provisions of any other general,
16 special or local law, the provisions of this article shall be control-
17 ling.
18 § 13. The third undesignated paragraph of section 2 of section 1 of
19 chapter 173 of the laws of 1968, constituting the New York state urban
20 development and research corporation act, is amended to read as follows:
21 The legislature hereby declares it to be the policy of this state to
22 provide an adequate supply of safe and sanitary dwelling accommodations;
23 to increase job opportunities and protect against involuntary unemploy-
24 ment and underemployment by promoting, attracting, stimulating and revi-
25 talizing business, commerce, industry and manufacturing in the urban
26 areas of the state; and to arrest the spread of [deterioration and]
27 blight and promote the economic and physical development of such areas
28 through the construction, reconstruction, rehabilitation and improvement
29 of residential, commercial and industrial structures and facilities
30 therein.
31 § 14. This act shall take effect immediately; provided that the amend-
32 ments to subparagraph (B) of section 206 of the eminent domain procedure
33 law made by section four of this act shall be subject to the expiration
34 and reversion of such subdivision pursuant to section 34 of part O of
35 chapter 58 of the laws of 2024, when upon such date the provisions of
36 section four-a of this act shall take effect.
