S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   7111
 
                        2023-2024 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               May 11, 2023
                                ___________
 
 Introduced  by  M. of A. TAPIA, GONZALEZ-ROJAS -- read once and referred
   to the Committee on Housing
 
 AN ACT to amend the public authorities law, in relation to  establishing
   the "New York student loan assistance and home purchase act"
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. This act shall be known and may be cited as the  "New  York
 student loan assistance and home purchase act".
   §  2.  The  public  authorities law is amended by adding a new section
 2405-g to read as follows:
   § 2405-G. STUDENT LOAN ASSISTANCE AND HOME PURCHASE PROGRAM. 1.  DEFI-
 NITIONS. FOR THE PURPOSES OF THIS SECTION,  THE  FOLLOWING  TERMS  SHALL
 HAVE THE FOLLOWING MEANINGS:
   (A)  "PROGRAM"  MEANS  THE  STUDENT  LOAN ASSISTANCE AND HOME PURCHASE
 PROGRAM ESTABLISHED PURSUANT TO SUBDIVISION TWO OF THIS SECTION.
   (B) "STUDENT LOAN" MEANS ANY LOAN TO A BORROWER TO FINANCE POST-SECON-
 DARY EDUCATION OR EXPENSES RELATED TO POST-SECONDARY EDUCATION. FOR  THE
 PURPOSES  OF  THIS SECTION, THE TERM "STUDENT LOAN" SHALL NOT BE LIMITED
 TO LOANS, AS SUCH TERM IS DEFINED BY SUBDIVISION TEN OF SECTION  TWENTY-
 FOUR HUNDRED TWO OF THIS PART.
   2.  PROGRAM  ESTABLISHED.  THE  AGENCY SHALL ESTABLISH A "STUDENT LOAN
 ASSISTANCE AND HOME PURCHASE PROGRAM", TO BE ADMINISTERED BY THE AGENCY,
 FOR THE PURPOSES OF FACILITATING THE PURCHASE OF  HOMES  BY  INDIVIDUALS
 WHO  ARE  BURDENED BY STUDENT DEBT, BY PROVIDING FINANCING OPPORTUNITIES
 PURSUANT TO SUBDIVISION THREE OF THIS SECTION. THE CHAIR OF  THE  AGENCY
 SHALL APPOINT A DIRECTOR OF THE PROGRAM TO OVERSEE THE IMPLEMENTATION OF
 THE PROGRAM.
   3.  STUDENT LOAN ASSISTANCE AND HOME PURCHASE PROGRAM; IMPLEMENTATION.
 (A) THE PROGRAM SHALL ASSIST INDIVIDUALS WHO APPLY AND ARE  ACCEPTED  TO
 THE  PROGRAM  PURSUANT  TO PARAGRAPH (B) OF THIS SUBDIVISION, BY CONSOL-
 IDATING ALL OR A PORTION OF SUCH INDIVIDUALS' STUDENT  LOANS  INTO  SUCH
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD10949-01-3
              

 A. 7111                             2
 
 INDIVIDUALS'  MORTGAGES.  THE  PROGRAM  SHALL  BE AUTHORIZED TO PURCHASE
 MORTGAGES, EXISTING MORTGAGES, AND STUDENT LOANS FROM BANKS AS NEEDED TO
 EFFECTUATE THE PROVISIONS OF THIS SECTION. THERE SHALL BE  NO  LIMIT  TO
 THE AMOUNT OF STUDENT LOAN DEBT THAT MAY BE INCORPORATED INTO A MORTGAGE
 OR EXISTING MORTGAGE PURSUANT TO THIS SECTION, UNLESS OTHERWISE PROVIDED
 BY STATE OR FEDERAL LAW.
   (B)  THE  PROGRAM  SHALL  ESTABLISH  AN  APPLICATION  PROCESS  WHEREBY
 PROSPECTIVE HOMEOWNERS WHO ARE RESIDENTS OF THE STATE WITH STUDENT DEBT,
 MAY APPLY TO THE PROGRAM FOR CONSOLIDATION OF  SUCH  RESIDENTS'  STUDENT
 DEBT  WITH  A MORTGAGE OR EXISTING MORTGAGE. IN CONSIDERING AN APPLICANT
 TO THE PROGRAM, THE PROGRAM SHALL NOT CONSIDER FORECLOSURE STATUS,  HOME
 CLEANLINESS, OR WHETHER THE HOME WILL BE SUCH APPLICANT'S FIRST HOME.
   (C)  INDIVIDUALS  WHO  ARE  ACCEPTED  TO  THE PROGRAM PURSUANT TO THIS
 SECTION SHALL BE REQUIRED TO MAINTAIN THE PURCHASED HOME AS THEIR PRIMA-
 RY RESIDENCE FOR NO LESS THAN FIVE YEARS FROM THE DATE OF  CLOSING.  THE
 COMMISSIONER  OF HOUSING AND COMMUNITY RENEWAL SHALL ESTABLISH PENALTIES
 AND FEES APPLICABLE FOR VIOLATIONS OF THIS PARAGRAPH.
   (D) THE PROGRAM SHALL COMPLY WITH  ALL  APPLICABLE  FEDERAL  LAWS  AND
 REGULATIONS.
   4.  RULES  AND  REGULATIONS. THE COMMISSIONER OF HOUSING AND COMMUNITY
 RENEWAL SHALL PROMULGATE ANY RULES AND  REGULATIONS  NECESSARY  FOR  THE
 ESTABLISHMENT  AND  IMPLEMENTATION  OF  THE  PROGRAM UNDER THIS SECTION.
 FURTHER, THE COMMISSIONER OF HOUSING AND COMMUNITY RENEWAL SHALL PROMUL-
 GATE RULES AND REGULATIONS ESTABLISHING:
   (A) ELIGIBILITY REQUIREMENTS FOR ACCEPTANCE OF INDIVIDUALS  WHO  APPLY
 TO THE PROGRAM; AND
   (B) INTEREST RATES AND OTHER PENALTIES, CHARGES, AND FEES IN AN AMOUNT
 NECESSARY TO IMPLEMENT THE PROGRAM.
   § 3. 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.