S1275-2011 Actions

• Jan 4, 2012: REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVELOPMENT
• Jan 6, 2011: REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVELOPMENT

S1275-2011 Memo

BILL NUMBER:S1275

TITLE OF BILL:
An act
to amend the private housing financing law, in relation to the
dissolution of certain limited-profit housing companies

PURPOSE OR GENERAL IDEA OF BILL:
To require that, whenever the dissolution of a limited-profit housing
company is proposed, the vote taken may not be done by proxy.

SUMMARY OF SPECIFIC PROVISIONS:
Section one amends section 35 of the private housing finance law by
adding a new subdivision 5 that says that no mutual company may be
dissolved except by affirmative vote of 2/3 or more of the holders of
all outstanding shares of the company and that no person who has a
right to cast a vote may do so by proxy or by any other means except
in person.

An exception is made for persons who are certified by a physician as
unable to cast a vote by reason of illness or disability.

JUSTIFICATION:
The bill prevents the dissolution of certain limited-profit housing
companies when persons who have a right to vote cannot be present to
vote in person. It allows for such voting to be carried out only in
person, and not by proxy vote. This will ensure that persons who have
a right to take such vote, crucial to the future of their homes'
existence, will be voting in person.

PRIOR LEGISLATIVE HISTORY:
2004: S.7666 (Duane), Died in Rules; A.11745 (Sanders), Died in Housing
2005: S.2573 (Duane), Died in Housing
2006: S.2573 (Duane), Died in Housing
2007: S.1877 (Duane), Died in Housing
2008: S.1877 (Duane), Died in Housing
2009: S.1342 (Duane), Died in Housing
2010: S.1342 (Duane), Died in Housing

FISCAL IMPLICATIONS:
None to State.

EFFECTIVE DATE:
Immediately.

S1275-2011 Text

 S T A T E   O F   N E W   Y O R K
 
 
                                         1275
 2011-2012 Regular Sessions
 I N  SENATE
 January 6, 2011
 
 Introduced  by  Sen.  DUANE  -- 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 financing law, in relation to the
 dissolution of certain limited-profit housing companies
 THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM
 BLY, DO ENACT AS FOLLOWS:

 

Section 1.

Section 35 of the private housing finance law is amended by
 adding a new subdivision 5 to read as follows:

 5.  NOTWITHSTANDING  ANY INCONSISTENT PROVISION OF THIS SECTION OR ANY
 OTHER PROVISION OF ANY GENERAL, SPECIAL, OR LOCAL LAW, NO MUTUAL COMPANY
 MAY BE DISSOLVED EXCEPT UPON THE AFFIRMATIVE VOTE OF TWO-THIRDS OR  MORE
 OF  THE  HOLDERS  OF  ALL  OUTSTANDING SHARES OF SUCH COMPANY. NO PERSON
 HAVING THE RIGHT TO CAST A VOTE MAY DO SO BY PROXY OR  ANY  MEANS  OTHER
 THAN  IN PERSON, UNLESS SUCH PERSON IS CERTIFIED BY A PHYSICIAN LICENSED
 TO PRACTICE MEDICINE IN THIS STATE AS UNABLE TO CAST SUCH PERSON'S  VOTE
 IN PERSON BY REASON OF ILLNESS OR DISABILITY.
 

S 2. This act shall take effect immediately.
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD00958-01-1

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