S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   10385
 
                           I N  A S S E M B L Y
 
                               May 21, 2024
                                ___________
 
 Introduced  by  COMMITTEE ON RULES -- (at request of M. of A. Burgos) --
   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:

   Section  1.  The public housing law is amended by adding a new article
 11-A to read as follows:
                                ARTICLE 11-A
                   MIDDLE INCOME HOME OWNERSHIP SUBSIDY
 SECTION 250. DEFINITIONS.
         251. MIDDLE INCOME HOME OWNERSHIP SUBSIDY PROGRAM.
         252. APPLICATIONS.
         253. AMOUNT AND  PROCEDURE  FOR  MIDDLE  INCOME  HOME  OWNERSHIP
                SUBSIDY PAYMENTS.
         254. RULES AND REGULATIONS.
         255. FUNDING  FOR  THE  MIDDLE  INCOME  HOME  OWNERSHIP  SUBSIDY
                PROGRAM.
   § 250. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE, THE FOLLOWING  TERMS
 SHALL HAVE THE FOLLOWING MEANINGS:
   1. "ELIGIBLE UNIT" SHALL MEAN:
   A.  ANY  (I)  HOME WITH TWO OR FEWER UNITS; (II) CONDOMINIUM; OR (III)
 COOPERATIVE;
   B. WHERE THE PURCHASE OF SUCH HOME,  CONDOMINIUM,  OR  COOPERATIVE  IS
 PROVIDED FOR, INSURED, OR GUARANTEED BY THE STATE OR FEDERAL GOVERNMENT;
   C. LOCATED IN AN URBAN AREA AS DEFINED BY THE DIVISION.
   2.  "QUALIFIED  HOUSEHOLD"  SHALL MEAN ANY PERSON OR HIS OR HER FAMILY
 MEMBER WHO:
   A. HAS AN ANNUAL HOUSEHOLD INCOME BELOW THE CURRENT MEDIAN INCOME  FOR
 THE CITY OF NEW YORK, PROVIDED, THAT ANY SUBSIDY RECEIVED AS A RESULT OF
 A  SOCIAL  PROGRAM  SHALL NOT BE CONSIDERED WHEN CALCULATING AN INDIVID-
 UAL'S GROSS INCOME. THE DIVISION SHALL DETERMINE INCOME  ELIGIBILITY  OF
 HOME  BUYERS  USING THE INCOME DETERMINATION METHODOLOGY UTILIZED BY THE
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD04421-01-3
              

 A. 10385                            2
 
 UNITED STATES DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT IN  ACCORDANCE
 WITH THEIR SECTION 8 HOUSING PROGRAM.
   B.  DOES  NOT  CURRENTLY OWN A HOUSING UNIT, INCLUDING A SINGLE FAMILY
 HOUSE, CONDOMINIUM UNIT, COOPERATIVE UNIT, OR RENTAL UNIT THAT COULD  BE
 OWNER OCCUPIED;
   C. HAS NOT PREVIOUSLY RECEIVED HOME OWNERSHIP ASSISTANCE.
   §  251.  MIDDLE INCOME HOME OWNERSHIP SUBSIDY PROGRAM. THERE IS HEREBY
 ESTABLISHED A MIDDLE INCOME HOME OWNERSHIP SUBSIDY PROGRAM. THE  PURPOSE
 OF  THE  PROGRAM  IS  TO  PROVIDE  FINANCIAL ASSISTANCE TO MIDDLE INCOME
 HOUSEHOLDS, WITH AN ANNUAL INCOME BELOW THE CURRENT  MEDIAN  INCOME  FOR
 THE  CITY  OF  NEW  YORK WHO DO NOT CURRENTLY OWN A HOME, TO PURCHASE AN
 ELIGIBLE UNIT FOR PURPOSES OF REHABILITATION AND OWNERSHIP.
   § 252. APPLICATIONS. 1. A QUALIFIED HOUSEHOLD MUST MAKE AN APPLICATION
 TO THE DIVISION TO RECEIVE A HOME OWNERSHIP SUBSIDY.
   2. THE DIVISION SHALL APPROVE AN INDIVIDUAL'S APPLICATION IF IT  FINDS
 THAT:
   A.  SUCH  INDIVIDUAL  IS  PART  OF A QUALIFIED HOUSEHOLD AS DEFINED IN
 SUBDIVISION TWO OF SECTION TWO HUNDRED FIFTY OF THIS ARTICLE;
   B. THE HOME TO BE PURCHASED BY THE INDIVIDUAL IS AN ELIGIBLE  UNIT  AS
 DEFINED IN SUBDIVISION ONE OF SECTION TWO HUNDRED FIFTY OF THIS ARTICLE;
   C.  THE HOME TO BE PURCHASED HAS BEEN INSPECTED BY A DIVISION APPROVED
 HOME INSPECTOR;
   D. THE HOME TO BE PURCHASED HAS BEEN APPRAISED AT A VALUE NOT  EXCEED-
 ING THE MAXIMUM PURCHASE PRICE AS SET BY THE DIVISION.
   3.  IF ANY QUALIFIED HOUSEHOLD THAT HAS BEEN APPROVED AND IS RECEIVING
 HOME OWNERSHIP ASSISTANCE PAYMENTS DEFAULTS  ON  ITS  MORTGAGE  PAYMENT,
 SUCH  HOME  OWNERSHIP  SUBSIDY PAYMENTS SHALL AUTOMATICALLY CEASE AND BE
 TERMINATED.
   § 253. AMOUNT AND PROCEDURE FOR MIDDLE INCOME HOME  OWNERSHIP  SUBSIDY
 PAYMENTS.  SUBSIDY  AMOUNTS UNDER THIS PROGRAM SHALL EQUAL MORE THAN ONE
 HUNDRED TWENTY-FIVE THOUSAND DOLLARS IN THE AGGREGATE.
   § 254. RULES AND REGULATIONS. 1. THE DIVISION IS AUTHORIZED TO  IMPLE-
 MENT  ANY RULE OR REGULATION NECESSARY FOR THE SUCCESSFUL IMPLEMENTATION
 OF THIS PROGRAM.
   2. THE DIVISION MAY CREATE ANY FORM AND REQUIRE ANY APPLICANT TO  FILL
 OUT SUCH FORM BEFORE RECEIVING DEPARTMENTAL APPROVAL FOR THE HOME OWNER-
 SHIP ASSISTANCE PAYMENTS.
   3.  THE DIVISION MAY CHARGE AN APPLICATION FEE FOR THE PROCESSING OF A
 HOUSEHOLD'S HOME OWNERSHIP  ASSISTANCE  PAYMENT  APPLICATION.  SUCH  FEE
 SHALL NOT EXCEED ONE HUNDRED DOLLARS.
   §  255.  FUNDING FOR THE MIDDLE INCOME HOME OWNERSHIP SUBSIDY PROGRAM.
 FUNDING SHALL BE OBTAINED BY USING FUNDS FROM THE COMMUNITY  DEVELOPMENT
 BLOCK GRANT.
   § 2. This act shall take effect on the one hundred eightieth day after
 it shall have become a law.  Effective immediately, the addition, amend-
 ment and/or repeal of any rule or regulation necessary for the implemen-
 tation  of  this act on its effective date are authorized to be made and
 completed on or before such effective date.