S T A T E   O F   N E W   Y O R K
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                                  3994

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                            January 28, 2015
                               ___________

Introduced  by  M.  of  A.  FITZPATRICK -- read once and referred to the
  Committee on Housing

AN ACT to amend the public housing law, in relation to the  purchase  of
  dwelling units by residents of public housing projects

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1.   Section 58-a of the public  housing  law  is  amended  by
adding a new subdivision 3 to read as follows:
  3.  (A)  SUBJECT  TO THE APPROVAL OF THE COMMISSIONER IN THE CASE OF A
STATE PROJECT OR IN THE CASE OF DWELLING UNITS  OPERATED  AS  PUBLIC  OR
INDIAN  HOUSING  PURSUANT TO THE PROVISIONS OF THE UNITED STATES HOUSING
ACT OF 1937, AS AMENDED, AND THE LOCAL LEGISLATIVE BODY IN THE  CASE  OF
MUNICIPAL  PROJECTS  AN  AUTHORITY SHALL PROVIDE TO THOSE RESIDENTS OF A
PROJECT THE OPPORTUNITY TO PURCHASE DWELLING UNITS IN A PROJECT PROVIDED
THAT:
  (I) THE RESIDENT HAS RESIDED IN PUBLIC HOUSING PROJECTS FOR  NOT  LESS
THAN TWENTY-FOUR CONSECUTIVE MONTHS; AND
  (II)  IS  DETERMINED  BY  THE  AUTHORITY TO BE CAPABLE OF ASSUMING THE
RESPONSIBILITIES OF HOMEOWNERSHIP; AND
  (III) COMPLIES WITH SUCH ADDITIONAL REQUIREMENTS AS  THE  COMMISSIONER
OR  THE  AUTHORITY  MAY  ESTABLISH IN THE CASE OF A STATE OR A MUNICIPAL
PROJECT.
  (B) ANY RESIDENT MEETING THE REQUIREMENTS OF  PARAGRAPH  (A)  OF  THIS
SUBDIVISION  MAY  PURCHASE  HIS  OR  HER DWELLING UNIT DIRECTLY FROM THE
AUTHORITY IF THE AUTHORITY DETERMINES THAT SUCH PURCHASE WILL NOT INTER-
FERE WITH THE RIGHTS OF OTHER RESIDENTS RESIDING IN THE PROJECT OR  HARM
THE  EFFICIENT  OPERATION  OF  SUCH PROJECT. SUCH PURCHASE OF A DWELLING
UNIT BY A RESIDENT SHALL ALSO INCLUDE A FIXED PERCENTAGE OF  THE  COMMON
ELEMENTS  OF  THE  PROJECT AS DETERMINED BY THE AUTHORITY. THE PRICE FOR
ANY SUCH PURCHASE SHALL NOT BE MORE THAN THE FAIR MARKET  VALUE  OF  THE
DWELLING UNIT AS DETERMINED BY THE AUTHORITY.

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05756-01-5
              

A. 3994                             2

  (C)  FOR  THE PURPOSE OF ASSISTING ANY PURCHASE BY A RESIDENT PURSUANT
TO THIS SUBDIVISION THE AUTHORITY INVOLVED OR ANY SUBSIDIARY CORPORATION
OF SUCH AUTHORITY MAY MAKE A  LOAN  ON  THE  SECURITY  OF  THE  PROPERTY
INVOLVED TO SUCH PURCHASING RESIDENT AT A RATE OF INTEREST DETERMINED BY
THE AUTHORITY TO BE APPROPRIATE.
  (D)  IF  ANY  RESIDENT  PURCHASER  OF A DWELLING UNIT PURSUANT TO THIS
SUBDIVISION SELLS SUCH DWELLING UNIT BEFORE THE  EXPIRATION  OF  A  FIVE
YEAR  PERIOD,  SUCH  PURCHASER SHALL PAY THE FOLLOWING PERCENTAGE OF THE
SALE PRICE TO THE AUTHORITY INVOLVED:
  (I) SEVENTY-FIVE PERCENT, IF SUCH SALE OCCURS  DURING  THE  FIRST  ONE
YEAR PERIOD FOLLOWING SUCH DATE;
  (II)  SIXTY  PERCENT,  IF  SUCH SALE OCCURS DURING THE SECOND ONE YEAR
PERIOD FOLLOWING SUCH DATE;
  (III) FORTY-FIVE PERCENT, IF SUCH SALE OCCURS  DURING  THE  THIRD  ONE
YEAR PERIOD FOLLOWING SUCH DATE;
  (IV)  THIRTY  PERCENT,  IF SUCH SALE OCCURS DURING THE FOURTH ONE YEAR
PERIOD FOLLOWING SUCH DATE; AND
  (V) FIFTEEN PERCENT, IF SUCH SALE OCCURS DURING  THE  FIFTH  ONE  YEAR
PERIOD FOLLOWING SUCH DATE.
  (E)  THE  AUTHORITY  OR  ANY EXISTING TENANT MANAGEMENT CORPORATION OR
ASSOCIATION SHALL CONTINUE TO MANAGE THE PROJECT AND PROVIDE MAINTENANCE
FOR THE PROJECT UNTIL SUCH  TIME  AS  ALL  OF  THE  DWELLING  UNITS  ARE
PURCHASED  BY  PROJECT  RESIDENTS AT WHICH TIME THE AFOREMENTIONED FUNC-
TIONS SHALL BE TRANSFERRED TO A RESIDENT MANAGEMENT ASSOCIATION OR TO  A
PRIVATE MANAGEMENT COMPANY.
  (F)  THE  COMMISSIONER  AND  THE AUTHORITY INVOLVED SHALL PROVIDE SUCH
TRAINING, TECHNICAL ASSISTANCE AND EDUCATION  AS  MAY  BE  NECESSARY  TO
PREPARE  THE RESIDENT MANAGEMENT ASSOCIATION TO UNDERTAKE THE MANAGEMENT
AND MAINTENANCE OF SUCH PROJECT AND TO PREPARE  THE  RESIDENTS  FOR  THE
RESPONSIBILITY OF HOMEOWNERSHIP.
  (G)  THE COMMISSIONER SHALL ISSUE SUCH REGULATIONS AS MAY BE NECESSARY
TO CARRY OUT THE PROVISIONS OF THIS SUBDIVISION.  SUCH  REGULATIONS  MAY
ESTABLISH ANY ADDITIONAL TERMS AND CONDITIONS FOR HOMEOWNERSHIP OR RESI-
DENT  MANAGEMENT PURSUANT TO THIS SUBDIVISION THAT ARE DETERMINED BY THE
COMMISSIONER TO BE APPROPRIATE.
  S 2. This act shall take effect immediately.