Creates a middle income home ownership subsidy program to assist persons with an income below the current median income for the city of New York with the purchase of a residence in an urban area.
STATE OF NEW YORK
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6898
2015-2016 Regular Sessions
IN ASSEMBLY
April 10, 2015
___________
Introduced by M. of A. BLAKE -- read once and referred to the Committee
on Housing
AN ACT to amend the public housing law, in relation to creating a middle
income home ownership subsidy program
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. The public housing law is amended by adding a new article
2 11-A to read as follows:
3 ARTICLE 11-A
4 MIDDLE INCOME HOME OWNERSHIP SUBSIDY
5 Section 250. Definitions.
6 251. Middle income home ownership subsidy program.
7 252. Applications.
8 253. Amount and procedure for middle income home ownership
9 subsidy payments.
10 254. Rules and regulations.
11 255. Funding for the middle income home ownership subsidy
12 program.
13 § 250. Definitions. For purposes of this article, the following terms
14 shall have the following meanings:
15 1. "Eligible unit" shall mean:
16 a. any (i) home with two or fewer units; (ii) condominium; or (iii)
17 cooperative;
18 b. where the purchase of such home, condominium, or cooperative is
19 provided for, insured, or guaranteed by the state or federal government;
20 c. located in an urban area as defined by the division.
21 2. "Qualified household" shall mean any person or his or her family
22 member who:
23 a. has an annual household income below the current median income for
24 the city of New York, provided, that any subsidy received as a result of
25 a social program shall not be considered when calculating an individ-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD09789-02-5
A. 6898 2
1 ual's gross income. The division shall determine income eligibility of
2 home buyers using the income determination methodology utilized by the
3 United States department of housing and urban development in accordance
4 with their section 8 housing program.
5 b. does not currently own a housing unit, including a single family
6 house, condominium unit, cooperative unit, or rental unit that could be
7 owner occupied;
8 c. has not previously received home ownership assistance.
9 § 251. Middle income home ownership subsidy program. There is hereby
10 established a middle income home ownership subsidy program. The purpose
11 of the program is to provide financial assistance to middle income
12 households, with an annual income below the current median income for
13 the city of New York who do not currently own a home, to purchase an
14 eligible unit for purposes of rehabilitation and ownership.
15 § 252. Applications. 1. A qualified household must make an application
16 to the division to receive a home ownership subsidy.
17 2. The division shall approve an individual's application if it finds
18 that:
19 a. such individual is part of a qualified household as defined in
20 subdivision two of section two hundred fifty of this article;
21 b. the home to be purchased by the individual is an eligible unit as
22 defined in subdivision one of section two hundred fifty of this article;
23 c. the home to be purchased has been inspected by a division approved
24 home inspector;
25 d. the home to be purchased has been appraised at a value not exceed-
26 ing the maximum purchase price as set by the division.
27 3. If any qualified household that has been approved and is receiving
28 home ownership assistance payments defaults on its mortgage payment,
29 such home ownership subsidy payments shall automatically cease and be
30 terminated.
31 § 253. Amount and procedure for middle income home ownership subsidy
32 payments. Subsidy amounts under this program shall equal more than one
33 hundred twenty-five thousand dollars in the aggregate.
34 § 254. Rules and regulations. 1. The division is authorized to imple-
35 ment any rule or regulation necessary for the successful implementation
36 of this program.
37 2. The division may create any form and require any applicant to fill
38 out such form before receiving departmental approval for the home owner-
39 ship assistance payments.
40 3. The division may charge an application fee for the processing of a
41 household's home ownership assistance payment application. Such fee
42 shall not exceed one hundred dollars.
43 § 255. Funding for the middle income home ownership subsidy program.
44 Funding shall be obtained by using funds from the community development
45 block grant.
46 § 2. This act shall take effect on the one hundred eightieth day after
47 it shall have become a law; provided, however, that effective immediate-
48 ly, the addition, amendment and/or repeal of any rule or regulation
49 necessary for the timely implementation of this act on its effective
50 date is hereby authorized and directed to be made on or before such
51 effective date.
