Bill Text: NY A10318 | 2019-2020 | General Assembly | Amended


Bill Title: Establishes the Emergency Coronavirus Affordable Housing Preservation Act of 2020 to implement protections to reduce the harm to New York residents and ensure safe, decent, sanitary, affordable housing and financial stability during the novel coronavirus disease, COVID-19, crisis and all other public emergencies.

Spectrum: Partisan Bill (Democrat 14-0)

Status: (Introduced - Dead) 2020-05-04 - print number 10318a [A10318 Detail]

Download: New_York-2019-A10318-Amended.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                        10318--A

                   IN ASSEMBLY

                                     April 22, 2020
                                       ___________

        Introduced  by  M.  of  A. LENTOL, BARNWELL, TAYLOR, EPSTEIN, GOTTFRIED,
          ORTIZ, SEAWRIGHT, GLICK, SIMOTAS, COLTON, O'DONNELL -- read  once  and
          referred  to  the  Committee  on Housing -- committee discharged, bill
          amended, ordered reprinted as amended and recommitted to said  commit-
          tee

        AN ACT to establish the Emergency Coronavirus Affordable Housing Preser-
          vation Act of 2020

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

     1    Section 1. This act shall be known and may be cited as the  "Emergency
     2  Coronavirus Affordable Housing Preservation Act of 2020".
     3    § 2. Legislative findings. The legislature hereby finds that a serious
     4  public  emergency  exists  in the state of New York due to the impact of
     5  the global outbreak of novel coronavirus, COVID-19, which as of the date
     6  of this legislation, created destabilized housing,  loss  of  employment
     7  and/or income, closure of businesses and/or schools, and greatly exacer-
     8  bated  financial  insecurity  in  the state of New York. The legislature
     9  further finds that it is currently impossible to accurately  assess  the
    10  full  scope,  duration, and severity of impact this public emergency has
    11  and will have on the residents of New York and that, in response to this
    12  crisis, the executive declared a  'Disaster  Emergency'  which  has  put
    13  extraordinary  constraints  on  individuals, families, homeowners, small
    14  businesses,  not-for-profits,  and  local/state/federal  agencies.   The
    15  legislature  declares  that  it  is  both in the public interest and the
    16  responsibility of government to provide and secure federal and/or  state
    17  emergency  funding  to ensure small businesses, public housing entities,
    18  nonprofits, families, and individuals, unable to afford  housing  and/or
    19  necessary  expenses  as a result of lost income related to public health
    20  emergencies, such as the novel coronavirus, COVID-19, outbreak,  not  be
    21  encumbered  with severe financial burden and that, consistent with arti-
    22  cles 17 and 18 of the state constitution, it is therefore  incumbent  on
    23  the  legislature  and  the  executive  to implement protections so as to
    24  reduce the harm to New York residents and ensure safe, decent, sanitary,

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD16102-04-0

        A. 10318--A                         2

     1  affordable housing and financial stability during the novel coronavirus,
     2  COVID-19, crisis and all other public emergencies.
     3    § 3. Definitions. (a) "Residential tenant" shall have the same meaning
     4  as  in paragraph (a) of subdivision 1 of section 235-f of the real prop-
     5  erty law, those who otherwise pay for the use and occupancy of  a  resi-
     6  dential  dwelling,  or occupants as defined by paragraph (b) of subdivi-
     7  sion 1 of section 235-f of the real property law.
     8    (b) "Commercial small business tenant" shall mean a small business, as
     9  defined in section 131 of the economic development law, lawfully occupy-
    10  ing a covered property pursuant to a lease or other rental agreement.
    11    (c) "Small homeowner" shall mean an owner of  a  dwelling  with  6  or
    12  fewer units where such owner also resides as a primary residence.
    13    (d)  "Affordable  housing operator" shall mean a not-for-profit entity
    14  as defined in the not-for-profit corporation law or a  housing  develop-
    15  ment  fund  company  as  defined  in  section 572 of the private housing
    16  finance law that owns and operates a  housing  project  for  persons  of
    17  low-income.
    18    (e)  "Residential  cooperative"  shall  mean any not-for-profit corpo-
    19  ration or housing development fund  company  owning  and  operating  any
    20  housing  project,  of  any size, for persons of low-income as defined in
    21  section 573 of the private housing finance law  or  any  corporation  or
    22  entity  owning  and operating a residential cooperative with 10 or fewer
    23  units.
    24    § 4. Abatement of rent in the case of residential and commercial small
    25  business tenants  complying  or  formerly  employed  by  small  business
    26  complying  with  COVID-19  orders and tenants who are employees of small
    27  businesses; jurisdiction; evidentiary presumptions; effect of abatement;
    28  offset of abatement by owners. (a) Notwithstanding any  other  provision
    29  of  law,  rule or regulation to the contrary, for any residential tenant
    30  or commercial small business tenant in the state that has lost income as
    31  a result of such residential  tenant's,  or  such  tenant's  employer's,
    32  compliance  with  government  ordered  restrictions  in  response to the
    33  outbreak of novel coronavirus, COVID-19, or as a result of the  shutdown
    34  of  the  industry  in  which such residential tenant or commercial small
    35  business tenant was working, operating,  or  employed  as  a  result  of
    36  government  ordered  restrictions  in  response to the outbreak of novel
    37  coronavirus, COVID-19,  including  the  definition  of  "essential"  and
    38  "non-essential" work, or as a result of the closure of the premises when
    39  the  premises are such commercial small business tenant's place of busi-
    40  ness in compliance with government ordered restrictions in  response  to
    41  the  outbreak of novel coronavirus, COVID-19, no rent shall be recovered
    42  by an owner of any premises used by such tenant thereof for human  habi-
    43  tation, or for the operation of the small business, for the entire peri-
    44  od  of such compliance, which period shall run from March 20, 2020 until
    45  the date when the governor shall specify, in an  executive  order,  that
    46  the  prohibition  on  enforcement  of  either an eviction of any tenant,
    47  residential or commercial, imposed by executive order 202.8, shall  have
    48  expired, but in no event shall such period be less than ninety days from
    49  March 20, 2020.
    50    (b) (i) In the case of residential tenants, both the state division of
    51  housing  and  community renewal as well as any court of competent juris-
    52  diction, which shall include the New York City Civil Court and any city,
    53  village, or town court within a summary proceeding under  article  7  of
    54  the  real  property actions and proceedings law, shall have jurisdiction
    55  to determine rental abatements as provided herein. The state division of
    56  housing and community renewal shall issue regulations to effectuate this

        A. 10318--A                         3

     1  section.   The regulations  issued  pursuant  to  this  paragraph  shall
     2  include  provisions  designed to ensure that assistance will be provided
     3  by the relevant agencies to ensure  full  access  to  the  services  and
     4  financial assistance required under this section by individuals for whom
     5  English is not the primary language.
     6    (ii)  In  the  case of commercial small business tenants, any court of
     7  competent jurisdiction, which shall include  the  New  York  City  Civil
     8  Court  and  any city, village, or town court within a summary proceeding
     9  under article 7 of the real property actions  and  proceedings  law,  as
    10  well  as the comptroller in a municipality having a comptroller, or in a
    11  municipality having no comptroller, then the  chief  fiscal  officer  of
    12  such  municipality,  except  that  in the city of New York, then specif-
    13  ically the department of small business services, shall  have  jurisdic-
    14  tion  to  determine  rental  abatements  as  provided herein. Said comp-
    15  troller, chief fiscal  officer,  or,  in  the  city  of  New  York,  the
    16  department  of  small business services, such shall issue regulations to
    17  effectuate this section.  The regulations issued pursuant to this  para-
    18  graph  shall  include provisions designed to ensure that assistance will
    19  be provided by the relevant  agencies  to  ensure  full  access  to  the
    20  services  and  financial assistance required under this section by indi-
    21  viduals for whom English is not the primary language.
    22    (c) For the purpose of demonstrating that such residential tenant  has
    23  lost  income  as a result of such residential tenant's, or such tenant's
    24  employer's, compliance with government ordered restrictions in  response
    25  to the outbreak of novel coronavirus, COVID-19, a rebuttable presumption
    26  that  such  residential  tenant  has lost income shall be created if the
    27  residential tenant establishes through testimony or documentary evidence
    28  that the tenant has lost hourly income pay, or was terminated, laid-off,
    29  subject to a reduction in work hours, or terminated from an  independent
    30  contract  job  or  "gig"  employment  within  2 weeks of the issuance of
    31  government ordered restrictions in response to  the  outbreak  of  novel
    32  coronavirus,  COVID-19. For the purpose of this subdivision, the 2 weeks
    33  shall run from March 7, 2020.
    34    (d) For the purpose of demonstrating that such commercial small  busi-
    35  ness  tenant  has lost income as a result of such commercial small busi-
    36  ness  tenant's  compliance  with  government  ordered  restrictions   in
    37  response  to  the  outbreak of novel coronavirus, COVID-19, a rebuttable
    38  presumption that such commercial small business tenant has  lost  income
    39  shall  be  created  if such commercial small business tenant establishes
    40  through testimony or documentary evidence  that  such  commercial  small
    41  business  tenant  closed the premises when the premises are such commer-
    42  cial small business' place of business within 2 weeks of the issuance of
    43  government ordered restrictions in response to  the  outbreak  of  novel
    44  coronavirus, COVID-19.  For the purpose of this subdivision, the 2 weeks
    45  shall run from March 7, 2020.
    46    (e)  Any  abatement  of  rent  provided to a residential or commercial
    47  small business tenant hereunder shall have the same effect as a  cancel-
    48  lation of the rental debt and any claims related thereto for the purpose
    49  of legal collection, enforcement, and reporting to a credit reporting or
    50  tenant  screening  bureau,  and  shall  render  any  person who seeks to
    51  collect, enforce, or report to  a  credit  reporting  bureau  or  tenant
    52  screening  bureau such abated rent to all like penalties, sanctions, and
    53  liabilities under the law for the unlawful collection,  enforcement,  or
    54  reporting of debt.
    55    (f)  At  such  owner's  election, any owner of premises subject to any
    56  orders awarding abatements of rent issued by  the  state  department  of

        A. 10318--A                         4

     1  housing  and  community renewal or other department or agency designated
     2  by the chief executive of a city with a  population  of  more  than  one
     3  million or county, city, town, or village, or to any judgments issued by
     4  a court of competent jurisdiction shall be entitled to recover the total
     5  dollar  amount  of  all  abatements  issued  hereunder  either: (i) as a
     6  reduction in the owner's real property tax payment by deducting from the
     7  amount due in any quarter or period an amount not in excess  of  10%  of
     8  the total abatement dollar amount from each payment coming due until the
     9  total abatement amount is deducted; or
    10    (ii)  a  withholding  of  any  mortgage or construction loan principal
    11  payments, mortgage or construction loan interest payments,  or  mortgage
    12  or  construction  loan extension fee payments due and owing to the state
    13  or any political subdivision thereof until the total abatement amount is
    14  repaid. The department of taxation and finance and all  departments  and
    15  agencies  specified  in  the  private housing finance law, including the
    16  supervising agency as defined  in  article  1  of  the  private  housing
    17  finance  law, shall issue regulations establishing an application proce-
    18  dure for an owner to elect a method of abatement offsetting.  The  regu-
    19  lations  issued  pursuant  to  this  paragraph  shall include provisions
    20  designed to ensure that assistance will  be  provided  by  the  relevant
    21  agencies  to ensure full access to the services and financial assistance
    22  required under this section by individuals for whom English is  not  the
    23  primary language.
    24    §  5. Residential mortgage relief for individuals with financial hard-
    25  ship. The provisions of executive order 202.9 of 2020, dated  March  21,
    26  2020, relating to a modification of subdivision two of section 39 of the
    27  banking  law  to provide that any bank which is subject to the jurisdic-
    28  tion of the department of financial  services  shall  be  deemed  to  be
    29  engaging in an unsafe and unsound business practice if it does not grant
    30  a  forbearance to any person or business who has a financial hardship as
    31  a result of the novel coronavirus, COVID-19, pandemic for a period of 90
    32  days is hereby enacted, in its entirety, including  with  the  directive
    33  that  the  department  of  financial  services promulgate regulations to
    34  effectuate the contents of  such  directive.    The  regulations  issued
    35  pursuant  to  this paragraph shall include provisions designed to ensure
    36  that assistance will be provided by the relevant agencies to ensure full
    37  access to the services and  financial  assistance  required  under  this
    38  section by individuals for whom English is not the primary language.
    39    §  6.  Assistance to small homeowners losing rental income as a result
    40  of the novel coronavirus, COVID-19, public health crisis. (a) Except  as
    41  modified  in  this section, for the purpose of ensuring that small home-
    42  owners possess sufficient funds to continue operating safe, decent,  and
    43  sanitary housing, for themselves and for tenants, during the novel coro-
    44  navirus,  COVID-19,  public  health  crisis, any small homeowner who has
    45  lost 10% or greater of rental income as a result of  financial  hardship
    46  to  such small homeowner's tenants shall be entitled to a payment of the
    47  total amount of lost rental income if the small homeowner can  establish
    48  that  the  rental  income  was  lost  as  a result of novel coronavirus,
    49  COVID-19, hardship, for which a rebuttable presumption of loss resulting
    50  from the novel coronavirus, COVID-19, shall be  created  if  such  small
    51  homeowner can demonstrate the loss of 10% or more of rental income with-
    52  in  1  month  of  the  issuance  of  government  ordered restrictions in
    53  response to the outbreak of novel coronavirus, COVID-19.  In addition to
    54  those small homeowners who can demonstrate the loss of 10%  or  more  of
    55  their  rental  income,  any  small homeowner who can demonstrate through
    56  testimony or documentary evidence that such small homeowner has lost  an

        A. 10318--A                         5

     1  amount  of  rental income less than 10%, but which is sufficient to have
     2  caused financial hardship to the small homeowner by rendering such small
     3  homeowner incapable of covering necessary expenses related to the  prop-
     4  erty,  shall  also  be entitled to a payment of the total amount of lost
     5  rental income if the small  homeowner  can  establish  that  the  rental
     6  income  was  lost  as a result of novel coronavirus, COVID-19, hardship,
     7  for which a rebuttable presumption of  loss  resulting  from  the  novel
     8  coronavirus,  COVID-19,  shall  be  created  if such small homeowner can
     9  demonstrate the loss of such income within 1 month of  the  issuance  of
    10  government  ordered  restrictions  in  response to the outbreak of novel
    11  coronavirus, COVID-19.   For the  purpose  of  determining  whether  the
    12  rebuttable  presumption  created herein shall apply, the month shall run
    13  from March 7, 2020 until April 20, 2020.
    14    (b) Any payment made to a small homeowner under this  provision  shall
    15  be monthly, paid on or before May 1, 2020 and such payment shall contin-
    16  ue on a monthly basis until and through the date when the governor shall
    17  specify,  in  an executive order, that the prohibition on enforcement of
    18  either an eviction of any tenant, residential or commercial, imposed  by
    19  executive  order  202.8,  shall have expired, but in no event shall such
    20  period be less than 90 days from March 20, 2020. The  first  payment  on
    21  May  1,  2020 shall cover the period of March 20 through April 30, 2020.
    22  Such shall also include provisions designed to  ensure  that  assistance
    23  will  be  provided by the relevant agencies to ensure full access to the
    24  services and financial assistance required under this section  by  indi-
    25  viduals for whom English is not the primary language
    26    (c)  The  supervising  agency,  as defined in article 1 of the private
    27  housing finance law, shall issue regulations establishing an application
    28  procedure for a small homeowner to seek such lost rental income  relief.
    29  Such  regulations  shall  provide  that  as  a  condition of such relief
    30  payments, a small homeowner shall agree and shall be obligated,  through
    31  executing  an  instrument  in a form specified in any regulations issued
    32  hereunder, to provide all  tenants  residing  in  the  dwelling  with  a
    33  renewal  lease  of  at  least  1 year and at the amount of rent actually
    34  charged and collected 6 months prior to the application, and such  regu-
    35  lations  shall further provide that small homeowners shall not be eligi-
    36  ble for the relief provided herein for rental income  imputable  to  any
    37  illegal  unit  or  for  rental  income  imputable to any unit containing
    38  uncorrected, as of the time of the  application,  immediately  hazardous
    39  violations  of  a  state  or local housing or building code that existed
    40  prior to March 1, 2020.  Such regulations shall also include  provisions
    41  designed  to  ensure  that  assistance  will be provided by the relevant
    42  agencies to ensure full access to the services and financial  assistance
    43  required  under  this section by individuals for whom English is not the
    44  primary language.
    45    (d) The assistance provided under  this  section  shall  primarily  be
    46  funded  by any grants or funding available or repurposed by the state in
    47  relation to:
    48    (i) the novel coronavirus, COVID-19, public health crisis;
    49    (ii) any federal or state funds available in response  to  a  national
    50  and/or state emergency order;
    51    (iii)  any  funds received from federal programs in relation to public
    52  health emergencies;
    53    (iv) the novel coronavirus, COVID-19, public health emergency allowing
    54  for the protection of low-income, marginalized communities, public hous-
    55  ing programs and economic development, and the preservation and  conser-
    56  vation of housing;

        A. 10318--A                         6

     1    (v)  any  funds  available to the state under the federal "Coronavirus
     2  Aid, Relief, and Economic Security Act" or the CARES Act; and/or
     3    (vi)  any  federal  or  state  emergency relief funds available to the
     4  state.
     5    § 7. Assistance for affordable housing operators losing rental  income
     6  as a result of the novel coronavirus, COVID-19, public health crisis.
     7    (a)  Except  as  modified in this section, for the purpose of ensuring
     8  that affordable housing operators possess sufficient funds  to  continue
     9  operating  safe,  decent, and sanitary housing for vulnerable low-income
    10  populations  during  the  novel  coronavirus,  COVID-19,  public  health
    11  crisis,  any affordable housing operator that has lost 10% or greater of
    12  rental income as a result of financial hardship to such affordable hous-
    13  ing operator's tenants shall be entitled  to  a  payment  of  the  total
    14  amount  of  lost  rental  income  if the affordable housing operator can
    15  establish that the rental income was lost as a result of novel coronavi-
    16  rus, COVID-19, hardship, for which  a  rebuttable  presumption  of  loss
    17  resulting from the novel coronavirus, COVID-19, shall be created if such
    18  affordable  housing  operator can demonstrate the loss of 10% or more of
    19  rental income within 1 month  of  the  issuance  of  government  ordered
    20  restrictions in response to the outbreak of novel coronavirus, COVID-19.
    21  In  addition  to  those affordable housing operators who can demonstrate
    22  the loss of 10% or more of their rental income, any  affordable  housing
    23  operator  who  can demonstrate through testimony or documentary evidence
    24  that such affordable housing operator  has  lost  an  amount  of  rental
    25  income  less  than 10%, but which is sufficient to have caused financial
    26  hardship to the affordable housing operator by rendering such affordable
    27  housing operator incapable of covering necessary expenses related to the
    28  property, shall also be entitled to a payment of  the  total  amount  of
    29  lost rental income if the affordable housing operator can establish that
    30  the  rental  income was lost as a result of novel coronavirus, COVID-19,
    31  hardship, for which a rebuttable presumption of loss resulting from  the
    32  novel coronavirus, COVID-19, shall be created if such affordable housing
    33  operator  can  demonstrate the loss of such income within 1 month of the
    34  issuance of government ordered restrictions in response to the  outbreak
    35  of  novel coronavirus, COVID-19.  For the purpose of determining whether
    36  the rebuttable presumption created herein shall apply, the  month  shall
    37  be  deemed  to have begun on March 7, 2020 and shall run until April 20,
    38  2020.
    39    (b) Any payment made to an  affordable  housing  operator  under  this
    40  provision  shall be monthly, paid on May 1, 2020, and such payment shall
    41  continue on a monthly basis until and through the date when the governor
    42  shall specify, in an executive order, that the prohibition  on  enforce-
    43  ment  of  either  an  eviction of any tenant, residential or commercial,
    44  imposed by executive order 202.8, shall have expired, but  in  no  event
    45  shall  such  period  be less than 90 days from March 20, 2020. The first
    46  payment on May 1, 2020 shall cover the period of March 20 through  April
    47  30, 2020.
    48    (c)  All  departments  and  agencies  specified in the private housing
    49  finance law, including the supervising agency as defined in article 1 of
    50  the private housing finance law, shall issue regulations establishing an
    51  application procedure for an affordable housing  operator  seeking  such
    52  lost  rental  income  relief.  Such regulations shall provide that, as a
    53  condition of such relief, the affordable housing  operator  shall  enter
    54  into  a  regulatory  agreement, as defined in section 576 of the private
    55  housing finance law, with the executive unless such  affordable  housing
    56  operator  is already subject to a regulatory agreement as defined there-

        A. 10318--A                         7

     1  in, and such regulations shall further provide that  affordable  housing
     2  operators  shall  not  be  eligible  for  the relief provided herein for
     3  rental income imputable to any illegal unit or for rental income imputa-
     4  ble to a unit containing uncorrected, as of the time of the application,
     5  immediately hazardous violations of a state or local housing or building
     6  code  that  existed prior to March 1, 2020.  Such regulations shall also
     7  include provisions designed to ensure that assistance will  be  provided
     8  by  the  relevant  agencies  to  ensure  full access to the services and
     9  financial assistance required under this section by individuals for whom
    10  English is not the primary language.
    11    (d) The assistance provided under  this  section  shall  primarily  be
    12  funded  by any grants or funding available or repurposed by the state in
    13  relation to:
    14    (i) the novel coronavirus, COVID-19, public health crisis;
    15    (ii) any federal or state funds available in response  to  a  national
    16  and/or state emergency order;
    17    (iii)  any  funds received from federal programs in relation to public
    18  health emergencies;
    19    (iv) the novel coronavirus, COVID-19, public health emergency allowing
    20  for the protection of low-income, marginalized communities, public hous-
    21  ing programs and economic development, and the preservation and  conser-
    22  vation of housing;
    23    (v)  any  funds  available to the state under the federal "Coronavirus
    24  Aid, Relief, and Economic Security Act" or the CARES Act; and/or
    25    (vi) any federal or state emergency  relief  funds  available  to  the
    26  state.
    27    § 8. Assistance to residential housing cooperatives losing maintenance
    28  and rental income as a result of the novel coronavirus, COVID-19, public
    29  health  crisis.  (a) Except as modified in this section, for the purpose
    30  of ensuring that residential  housing  cooperatives  possess  sufficient
    31  funds to continue operating safe, decent, and sanitary multifamily hous-
    32  ing  during  the  novel coronavirus, COVID-19, public health crisis, any
    33  residential housing cooperatives that have lost 10% or greater of  main-
    34  tenance or rental income as a result of financial hardship to such resi-
    35  dential  housing cooperative's tenants or shareholders shall be entitled
    36  to a payment of the total amount of lost maintenance or rental income if
    37  the residential housing cooperative can establish that  the  maintenance
    38  or  rental  income  was lost as a result of novel coronavirus, COVID-19,
    39  hardship, for which a rebuttable presumption of loss resulting from  the
    40  novel  coronavirus, COVID-19, shall be created if such residential hous-
    41  ing cooperative can demonstrate the loss of 10% or more  of  maintenance
    42  or  rental  income  within 1 month of the issuance of government ordered
    43  restrictions in response to the outbreak of novel coronavirus, COVID-19.
    44  In addition to those residential housing  cooperatives  who  can  demon-
    45  strate  the  loss of 10% or more of their rental income, any residential
    46  housing cooperative which can demonstrate through testimony or  documen-
    47  tary  evidence  that  such  residential  housing cooperative has lost an
    48  amount of maintenance or rental income  less  than  10%,  but  which  is
    49  sufficient  to have caused financial hardship to the residential housing
    50  cooperative by rendering such residential housing cooperative  incapable
    51  of  covering  necessary  expenses related to the property, shall also be
    52  entitled to a payment of the total amount of lost maintenance or  rental
    53  income  if  the  residential  housing cooperative can establish that the
    54  maintenance or rental income was lost as a result of novel  coronavirus,
    55  COVID-19, hardship, for which a rebuttable presumption of loss resulting
    56  from  the novel coronavirus, COVID-19, shall be created if such residen-

        A. 10318--A                         8

     1  tial housing cooperative can demonstrate the loss of such maintenance or
     2  rental income within 1 month  of  the  issuance  of  government  ordered
     3  restrictions in response to the outbreak of novel coronavirus, COVID-19.
     4  For  the  purpose  of  determining  whether  the  rebuttable presumption
     5  created herein shall apply, the month shall run from March 7, 2020 until
     6  April 20, 2020.
     7    (b) Any payment made to a residential housing cooperative  under  this
     8  provision  shall  be  monthly,  paid  on  or before May 1, 2020 and such
     9  payment shall continue on a monthly basis until  and  through  the  date
    10  when  the governor shall specify, in an executive order, that the prohi-
    11  bition on enforcement of an  eviction  of  any  tenant,  residential  or
    12  commercial, imposed by executive order 202.8, shall have expired, but in
    13  no event shall such period be less than 90 days from March 20, 2020.
    14    (c)  All  departments  and  agencies  specified in the private housing
    15  finance law as supervising housing development fund companies,  as  well
    16  as the supervising agency as defined in article 1 of the private housing
    17  finance  law, shall issue regulations establishing an application proce-
    18  dure for a residential housing cooperative seeking assistance with  such
    19  lost  maintenance  and  rental  income  relief.  Such  regulations shall
    20  provide that as a condition of such assistance payments,  a  residential
    21  housing  cooperative shall agree and shall be obligated, through execut-
    22  ing an instrument in a form specified in the  regulations  issued  here-
    23  under, to provide any tenants residing in the housing cooperative with a
    24  renewal  lease  of  at  least 1 year, at the same rental amount actually
    25  charged and collected 6 months prior to the application for relief. Such
    26  regulations shall further provide that any  rental  housing  cooperative
    27  shall not be eligible for the relief provided herein for rental or main-
    28  tenance  income  imputable  to  any  illegal  unit  or  unit occupied in
    29  violation of the cooperative's bylaws or for rental income imputable  to
    30  a  unit containing uncorrected, as of the time of the application, imme-
    31  diately hazardous violations of a state or  local  housing  or  building
    32  code that existed prior to March 1, 2020 and which are the housing coop-
    33  erative's  legal  duty  to remedy.   Such regulations shall also include
    34  provisions designed to ensure that assistance will be  provided  by  the
    35  relevant  agencies  to  ensure full access to the services and financial
    36  assistance required under this section by individuals for  whom  English
    37  is not the primary language.
    38    (d)  The  assistance  provided  under  this section shall primarily be
    39  funded by any grants or funding available or repurposed by the state  in
    40  relation to:
    41    (i) the novel coronavirus, COVID-19, public health crisis;
    42    (ii)  any  federal  or state funds available in response to a national
    43  and/or state emergency order;
    44    (iii) any funds received from federal programs in relation  to  public
    45  health emergencies;
    46    (iv) the novel coronavirus, COVID-19, public health emergency allowing
    47  for the protection of low-income, marginalized communities, public hous-
    48  ing  programs and economic development, and the preservation and conser-
    49  vation of housing;
    50    (v) any funds available to the state under  the  federal  "Coronavirus
    51  Aid, Relief, and Economic Security Act" or the CARES Act; and/or
    52    (vi)  any  federal  or  state  emergency relief funds available to the
    53  state.
    54    § 9. Regulatory relief for affordable housing operators  and  residen-
    55  tial  housing  cooperatives providing housing during the novel coronavi-
    56  rus, COVID-19, public health crisis.  (a) Notwithstanding  any  contrary

        A. 10318--A                         9

     1  provision  of  law,  rule,  regulation or provision of any regulatory or
     2  other agreement by and between an affordable housing operator,  residen-
     3  tial  housing cooperative, or any affiliate or subsidiary of an afforda-
     4  ble  housing  operator or residential housing cooperative, as one party,
     5  and the department or agency of the state or any  political  subdivision
     6  of  the  state, as another party, affordable housing operators and resi-
     7  dential housing cooperatives shall: (i) have the right to use  or  apply
     8  any operating account reserves toward or for building or housing project
     9  operations  or the satisfaction of any debts or obligations arising from
    10  financial hardship caused by the  novel  coronavirus,  COVID-19,  public
    11  health  crisis without any penalty or sanction otherwise provided for in
    12  such law, rule, regulation, or provision of a regulatory or other agree-
    13  ment; and (ii) the right to withhold any mortgage or  construction  loan
    14  principal  payments, mortgage or construction loan interest payments, or
    15  mortgage or construction loan extension fee payments due  and  owing  to
    16  the  state  or any political subdivision thereof and apply such mortgage
    17  interest payments to housing project operations or the  satisfaction  of
    18  any  debts  or obligations arising from financial hardship caused by the
    19  novel coronavirus, COVID-19, public health crisis or to  the  replenish-
    20  ment of any operating account reserves.
    21    (b) Notwithstanding any contrary provision of law, rule, regulation or
    22  provision of any regulatory or other agreement by and between any corpo-
    23  ration, not-for-profit corporation, community benefit corporation, local
    24  community  development  corporation, as one party, and the department or
    25  agency of the state or any political subdivision of the state, as anoth-
    26  er party, relating to the provision of funding to any affordable housing
    27  operator or residential housing cooperative, whether as a mortgage or as
    28  any supportive fund, such community benefit corporation or local  commu-
    29  nity development shall, upon request of such affordable housing operator
    30  or residential housing cooperative, grant a forbearance to such afforda-
    31  ble housing operator or residential housing cooperative who has a finan-
    32  cial  hardship  as a result of the novel coronavirus, COVID-19, pandemic
    33  for a period of at least 90 days, which period shall be extended if  the
    34  governor  extends  the period of the mortgage forbearance as provided in
    35  section five of this act.
    36    (c) All departments and agencies  specified  in  the  private  housing
    37  finance law, including the supervising agency as defined in article 1 of
    38  the  private  housing finance law, shall issue regulations to effectuate
    39  the provisions of this section.
    40    § 10. Severability clause. If any clause, sentence, paragraph,  subdi-
    41  vision,  section  or  part  of  this act shall be adjudged by a court of
    42  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    43  impair or invalidate the remainder thereof, but shall be confined in its
    44  operation  to  the  clause, sentence, paragraph, subdivision, section or
    45  part thereof directly involved in the controversy in which such judgment
    46  shall have been rendered. It is hereby declared to be the intent of  the
    47  legislature  that  this act would have been enacted even if such invalid
    48  provisions had not been included herein.
    49    § 11. This act shall take effect immediately.
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