S T A T E   O F   N E W   Y O R K
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                                  8352

                       2015-2016 Regular Sessions

                          I N  A S S E M B L Y

                             August 5, 2015
                               ___________

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

AN ACT to amend the private housing finance law, in relation to creating
  a housing trust fund for individuals with limited resources

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

  Section  1. The private housing finance law is amended by adding a new
section 45-d to read as follows:
  S 45-D. HOUSING TRUST FUND FOR INDIVIDUALS WITH LIMITED RESOURCES.  1.
THERE IS HEREBY CREATED WITHIN THE AGENCY A HOUSING TRUST FUND FOR INDI-
VIDUALS WITH LIMITED RESOURCES.
  2.  THE  TRUST FUND SHALL BE MANAGED BY A BOARD OF TRUSTEES. THE TRUS-
TEES SHALL INCLUDE: A REPRESENTATIVE OF THE GOVERNOR, WHO SHALL  BE  THE
CHAIRPERSON  OF THE BOARD; A MEMBER CHOSEN BY THE NEW YORK BANKERS ASSO-
CIATION; A MEMBER CHOSEN BY THE  MORTGAGE  BANKERS  ASSOCIATION  OF  NEW
YORK;  AND THREE MEMBERS OF THE TARGET COMMUNITY, WHO SHALL BE CHOSEN BY
THE OTHER TRUSTEES THROUGH MAJORITY VOTE. TRUSTEES SHALL NOT BE PAID FOR
THEIR SERVICE TO THE TRUST, BUT SHALL  BE  REIMBURSED  FOR  ANY  ACTUAL,
NECESSARY EXPENSES.
  3. THE BOARD SHALL HAVE THE POWER TO:
  (A) ENTER INTO AGREEMENTS ON BEHALF OF THE TRUST;
  (B)  ISSUE DEBT AND OTHER SECURITIES IN ACCORDANCE WITH THE PROVISIONS
OF THIS SECTION;
  (C) INVEST THE MONEYS OF THE FUNDS;
  (D) OPEN BANK ACCOUNTS AND INVESTMENT ACCOUNTS;
  (E) BORROW MONEY;
  (F) RECEIVE GIFTS AND DONATIONS;
  (G) HOLD AND MANAGE ASSETS, INCLUDING REAL ESTATE AND OTHER  ITEMS  OF
VALUE;
  (H)  HIRE  ADMINISTRATIVE  PERSONNEL  AND  INDEPENDENT CONTRACTORS, AS
NEEDED, AND TO SET THEIR COMPENSATION; AND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD03572-01-5
              

A. 8352                             2

  (I) SUE AND BE SUED.
  4. THE TRUST SHALL BE FUNDED BY THE FOLLOWING SOURCES:
  (A) INVESTMENTS BY FINANCIAL INSTITUTIONS;
  (B) CAPITAL MARKET TRANSACTIONS;
  (C) STATE AND PHILANTHROPIC FUNDING PROGRAMS;
  (D)  GRANTS,  GIFTS, AND DONATIONS FROM PRIVATE INSTITUTIONS AND CITI-
ZENS; AND
  (E) OTHER CORPORATE AND INDIVIDUAL INVESTORS.
  5. (A) THE TRUSTEES SHALL ISSUE  TAX  EXEMPT  NOTES  TO  CITIZENS  AND
FINANCIAL INSTITUTIONS IN NEW YORK STATE. THE NET PROCEEDS OF SUCH OBLI-
GATIONS SHALL BE USED TO PURCHASE INVESTMENTS IN THE CAPITAL MARKET.
  (B)  THE  TRUSTEES SHALL ISSUE TAX EXEMPT BONDS TO CITIZENS AND FINAN-
CIAL INSTITUTIONS IN NEW YORK STATE. THE  NET  PROCEEDS  OF  SUCH  BONDS
SHALL BE INVESTED IN GRADE RATED CORPORATE OBLIGATIONS.
  6.  THE  TRUSTEES  SHALL  ENSURE THAT ALL MEASURES ARE TAKEN TO COMPLY
WITH FEDERAL REGULATIONS UNDER THE NATIONAL HOUSING TRUST FUND, SO  THAT
THE FUND MAY BE ELIGIBLE FOR MATCHING FUNDS FROM THE FEDERAL GOVERNMENT.
  7.  THE  TRUSTEES  SHALL  ESTABLISH  THE  CRITERIA TO DETERMINE WHO IS
ELIGIBLE TO RECEIVE FUNDING FROM THE TRUST, THE AMOUNT OF  FUNDING  EACH
APPLICANT  MAY  RECEIVE,  AND  THE TYPE OF ASSISTANCE EACH APPLICANT MAY
RECEIVE, SUCH AS A GRANT, LOAN, OR INTEREST-FREE MORTGAGE.
  8. ALL ASSETS AND INCOME OF THE FUND SHALL BE EXEMPT FROM STATE  TAXA-
TION.
  S 2. This act shall take effect on the one hundred eightieth day after
it shall have become a law.