Relates to creating a new acquisition fund for community land trusts located in New York state; provides that moneys of the fund shall be expended solely to carry out the affordable home ownership development program exclusively for community land trusts; defines community land trusts.
STATE OF NEW YORK
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5501
2025-2026 Regular Sessions
IN SENATE
February 21, 2025
___________
Introduced by Sens. KAVANAGH, JACKSON, MAY, SALAZAR -- 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 creating
a new acquisition fund for community land trusts located in New York
state
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 2 of section 1111 of the private housing
2 finance law, as amended by chapter 202 of the laws of 2010, is amended
3 and a new subdivision 9 is added to read as follows:
4 2. "Eligible applicant" shall mean a city, a town, a village, a hous-
5 ing development fund company incorporated pursuant to article eleven of
6 this chapter, any not-for-profit corporation or charitable organization
7 which has as one of its primary purposes the improvement of housing or a
8 municipal housing authority created pursuant to the public housing law,
9 a community land trust as defined in subdivision nine of this section,
10 or a public benefit corporation formed to assist particular munici-
11 palities with their housing, community development or renewal needs, or
12 a county, provided, however, that the county acts as an administrator of
13 a program under which projects are constructed, rehabilitated or
14 improved by other eligible applicants or acts in any other capacity as
15 permitted by law.
16 9. For the purposes of this subdivision, "community land trust" shall
17 mean a corporation organized pursuant to the not-for-profit corporation
18 law and exempt from taxation pursuant to section 501(c)(3) of the inter-
19 nal revenue code that satisfies the following criteria:
20 (a) such nonprofit corporation's primary purpose is the creation and
21 preservation of permanently affordable single-family or multi-family
22 residences;
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08745-01-5
S. 5501 2
1 (b) all dwellings and units located on land owned by such nonprofit
2 corporation is sold to a qualified owner to be occupied as the qualified
3 owner's primary residence or rented to persons or families of low income
4 as defined in subdivision nineteen of section two of this chapter; and
5 (c) the land owned by the nonprofit corporation, on which a dwelling
6 or unit sold to a qualified owner is situated, is leased by such corpo-
7 ration to the qualified owner for the convenient occupation and use of
8 such dwelling or unit for an initial term of ninety-nine years with
9 renewal rights under the same initial terms and conditions.
10 § 2. The private housing finance law is amended by adding a new
11 section 59-j to read as follows:
12 § 59-j. The New York state community land trust acquisition fund. The
13 affordable housing corporation, created by section forty-five-b of this
14 article, shall create and establish a special fund known as the New York
15 state community land trust acquisition fund and shall pay into this fund
16 any moneys which may be made available to such corporation for the
17 purposes of this fund from any source including but not limited to
18 moneys appropriated by and made available pursuant to appropriation by
19 the state and any income or interest earned by, or increment to, the
20 account due to the investment thereof or loans made pursuant to article
21 nineteen of this chapter. The moneys held in or credited to the acquisi-
22 tion fund established under this section shall be expended solely to
23 carry out the provisions of article nineteen of this chapter exclusively
24 for community land trusts as defined in subdivision nine of section
25 eleven hundred eleven of this chapter.
26 § 3. This act shall take effect immediately.
