Bill Text: NY S05028 | 2023-2024 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relates to the creation of an innovative housing initiative for persons with a developmental disability who wish and are able to safely live independently; directs the division of housing and community renewal to establish guidelines for the dissemination of disclosure materials for the offer and sale of interests in residential environments formed under the innovative housing initiative; creates an exemption from certain filing requirements for residential environments that are formed as cooperative interests in realty for persons receiving services under the innovative housing initiative.

Spectrum: Moderate Partisan Bill (Democrat 13-4)

Status: (Introduced) 2024-01-03 - REFERRED TO DISABILITIES [S05028 Detail]

Download: New_York-2023-S05028-Introduced.html



                STATE OF NEW YORK
        ________________________________________________________________________

                                          5028

                               2023-2024 Regular Sessions

                    IN SENATE

                                    February 22, 2023
                                       ___________

        Introduced  by  Sen. MANNION -- read twice and ordered printed, and when
          printed to be committed to the Committee on Disabilities

        AN ACT to amend the mental hygiene law, in relation to the  creation  of
          an  innovative  housing  initiative  for  persons with a developmental
          disability who wish and are able to safely reside in such  a  setting;
          to  direct  the division of housing and community renewal to establish
          guidelines for the dissemination of disclosure materials for the offer
          and sale of interests in residential  environments  formed  under  the
          innovative  housing initiative; and to amend the general business law,
          in relation to creating an exemption from certain filing  requirements
          for  residential environments that are formed as cooperative interests
          in realty for persons receiving services under the innovative  housing
          initiative

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

     1    Section 1. Legislative purpose and findings.  The  legislature  hereby
     2  finds and declares as follows:
     3    (a)  New  York  state  is currently facing a severe housing crisis for
     4  people with developmental disabilities. Staffing shortages for certified
     5  housing, commonly referred to as group homes, has put  additional  pres-
     6  sure  on the state to provide alternative and innovative housing models,
     7  especially for those persons who are able to live more independently and
     8  wish to do so.
     9    (b) Many persons with developmental disabilities live with a parent or
    10  parents, a family member, or other  similar  direct  support  personnel.
    11  However, many such persons wish to live more independently, and would do
    12  so if an option existed that included certain appropriate supports.
    13    (c)  Further,  although  family  caregiving  is  appropriate  in  many
    14  instances, parents and similar direct support personnel  may  eventually
    15  become  unable to continue supporting the person who has a developmental

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD05184-03-3

        S. 5028                             2

     1  disability, due to the direct support personnel's infirmity,  death,  or
     2  other concerns.
     3    (d)  Accordingly, there is a need to create new and innovative housing
     4  models that maximize independence for persons with  developmental  disa-
     5  bilities.  The  state should provide more independent housing options to
     6  persons with developmental disabilities, where such persons wish and are
     7  able to take advantage of such opportunities.
     8    (e) Thus, to maximize the availability of innovative housing settings,
     9  this legislation directs the office for people with developmental  disa-
    10  bilities  ("OPWDD")  to  create  an  Innovative  Housing Initiative that
    11  enables persons with developmental disabilities to live  more  independ-
    12  ently,  including  housing  that is owned or leased in their name, or by
    13  someone else on behalf of such person or that of a trust established for
    14  their benefit, with supports provided through OPWDD, such as availabili-
    15  ty of shared direct support personnel. In  this  way,  OPWDD  will  help
    16  ensure   that  persons  with  developmental  disabilities  are  afforded
    17  settings that are the most integrated and appropriate for their needs.
    18    § 2. The mental hygiene law is amended by adding a new  section  16.38
    19  to read as follows:
    20  § 16.38 Innovative housing initiative.
    21    (a) The office shall enable persons with a developmental disability to
    22  live  independently in a residential environment, with support services,
    23  including but not limited to staffing support, shared staffing  support,
    24  and opportunities for social engagement and recreation.
    25    (b)  Such residential environment may be comprised of a single housing
    26  unit or multiple units of housing, in one or more  buildings,  including
    27  but  not  limited to: (i) leased residential housing units; (ii) housing
    28  that qualifies as a cooperative interest in realty under  section  three
    29  hundred  fifty-two-e  of the general business law; and (iii) condominium
    30  units under article nine-B of the real property law.   The  interest  in
    31  such residential unit may be leased or owned by a person with a develop-
    32  mental  disability, or an entity on behalf of such person, including but
    33  not limited to a trust established for such person's benefit.  Each unit
    34  of residential housing may be occupied by no more  than  the  number  of
    35  unrelated persons permitted by local law.
    36    (c)  The  selection  of  the  residential  environment,  the person or
    37  persons with whom they live and the determination that  they  may  inde-
    38  pendently  live  in such residential environment, with support services,
    39  shall be made solely by such person with a developmental disability  and
    40  their qualified representative.
    41    (d) In recognition of the requirement that the individual's experience
    42  shall determine whether a residential environment is the most integrated
    43  and  appropriate  for the needs of the person with a developmental disa-
    44  bility, in determining eligibility  for  any  housing  program,  support
    45  services or other benefits, the office shall:
    46    (1)  honor  the right of the person with a developmental disability to
    47  choose the residential environment and with whom they may live;
    48    (2) maximize the types of residential environments in which  a  person
    49  with  a developmental disability may live while being eligible for funds
    50  through a home and community based waiver to the full  extent  permitted
    51  by federal law; and
    52    (3) permit a number of persons with a developmental disability to live
    53  in  a  residential  environment  when  viewed  as a whole up to the full
    54  extent permitted by federal law.
    55    (e) This section shall not  limit  or  otherwise  affect  requirements
    56  applying to:

        S. 5028                             3

     1    (1)  an  integrated  supportive  housing  program  administered by the
     2  office in coordination  with  the  division  of  housing  and  community
     3  renewal  (commonly  referred  to  as  the Integrative Supportive Housing
     4  program or "ISH"); or
     5    (2)  projects  developed as part of an empire state supportive housing
     6  initiative (commonly referred to as "ESSHI").
     7    (f) The office shall coordinate  with  the  department  of  health  to
     8  determine  whether  an amendment to the state plan authorized by section
     9  three hundred sixty-three-a of the social services law or  a  waiver  is
    10  required  from  the  federal  Centers for Medicare and Medicaid Services
    11  ("CMS") to maximize federal financial participation for  the  initiative
    12  described  in  this  section no more than thirty days from the effective
    13  date of this section. If the office determines that an amendment to  the
    14  state  plan  or  a  waiver  is  required or desirable, the department of
    15  health shall submit such amendment or apply to CMS for such waiver with-
    16  in twelve months from the date of said determination.
    17    (g) The office may conduct public hearings to receive  public  comment
    18  on  how residential environments that include innovative housing author-
    19  ized by this section can best be integrated with the broader community.
    20    (h) This section shall not be construed to permit the operation  with-
    21  out  an  operating certificate of a community residence, community resi-
    22  dential facility for the disabled, supervised living facility,  support-
    23  ive  living  facility,  or  any  other  provider of service requiring an
    24  operating certificate under section 16.03 of this  article.  Nothing  in
    25  this  section  shall  be  interpreted  as authorizing an increase in the
    26  number of beds approved for a community residence, community residential
    27  facility for the disabled, supervised living facility, supportive living
    28  facility, or any  other  provider  of  service  requiring  an  operating
    29  certificate under section 16.03 of this article.
    30    (i)  Residential  environments  in  which persons with a developmental
    31  disability receive services pursuant to the  innovative  housing  initi-
    32  ative described by this section shall not discriminate against any resi-
    33  dent or potential resident based on race, creed, age other than being at
    34  least  eighteen  years  of age, color, national origin, sex, disability,
    35  marital status, military  status,  family  status,  sexual  orientation,
    36  gender  identity  or  expression,  or any other protected characteristic
    37  under the New York state human rights law.
    38    § 3. The division of housing and  community  renewal  shall  establish
    39  guidelines  for  the dissemination of disclosure materials for the offer
    40  and sale of interests in residential environments formed under the inno-
    41  vative housing initiative established by section  16.38  of  the  mental
    42  hygiene  law,  including  (a)  housing  that  qualifies as a cooperative
    43  interest in realty under section 352-e of the general business law;  (b)
    44  condominium  units  under article 9-B of  the real property law; and (c)
    45  shares in a housing development fund  corporation  which  are  otherwise
    46  exempt  from  the  filing  requirements  of section 352-e of the general
    47  business law,  to  ensure  material  information  is  disclosed  to  any
    48  prospective  shareholder  that:  (i)  fully  describes  the  risks  to a
    49  prospective shareholder's investment; and (ii) encourages  the  prospec-
    50  tive  shareholder  to consult with legal counsel prior to purchasing any
    51  shares.  The division of housing and community renewal  shall  make  the
    52  disclosure  guidelines  publicly  available on its website in compliance
    53  with section 102(14) of the state administrative procedure act.
    54    § 4. Section 352-g of the general business law, as  added  by  chapter
    55  987 of the laws of 1960, is amended to read as follows:

        S. 5028                             4

     1    §  352-g.  Exemptions. (a) The attorney general, upon application, may
     2  exempt from the provisions of sections three hundred fifty-two-e,  three
     3  hundred fifty-two-f and three hundred fifty-two-h any offerings of secu-
     4  rities  (1)  made  to persons not exceeding forty in number or (2) which
     5  securities  have  been fully registered with the securities and exchange
     6  commission of the United States of America or have received an exemption
     7  therefrom for reasons other than said offering is an intrastate offering
     8  to residents of the state of New York only.
     9    (b) Residential environments that are formed  as  housing  development
    10  fund  corporations pursuant to article XI of the private housing finance
    11  law and section four hundred two of the business corporation  law  where
    12  such  residential  environment  is formed for persons receiving services
    13  under the innovative housing initiative established by section 16.38  of
    14  the  mental  hygiene law and where the division of housing and community
    15  renewal is the supervising agency as defined  by  section  five  hundred
    16  seventy-two  of  the private housing finance law, and where the division
    17  of housing and community renewal requires the housing  development  fund
    18  corporation  to  enter into a monitoring agreement with a qualified not-
    19  for-profit with experience in the oversight, support and  management  of
    20  housing  development  fund  corporations shall be exempt from any filing
    21  requirements of section three hundred fifty-two-e of  this  article  for
    22  the investment in any residential environments and the conversion of any
    23  building,  group  of  buildings  or development which are converted to a
    24  housing development fund corporation.
    25    § 5. This act shall take effect immediately.
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