This bill modifies the existing high-rise sprinkler system grant program by amending the definitions and funding mechanisms associated with it. Notably, it expands the definition of "eligible building" to include those that are seven or more stories in height, in addition to those with at least one story used for human occupancy that is 75 feet or more above the lowest level of fire department vehicle access. The income threshold for affordability is also adjusted from 50% to 60% of the Department of Housing and Urban Development's adjusted income limits. The term "grant program" is replaced with "use of funds," and the program will now include both grants and loans for the installation of sprinkler systems, with a maximum grant amount of $2,000,000 per eligible building.

Additionally, the bill includes a financial component that transfers $10,000,000 from the general fund to the housing development fund and appropriates the same amount from the housing development fund to the commissioner of the Housing Finance Agency specifically for the high-rise sprinkler system program. This funding is designated as a one-time transfer and appropriation for fiscal year 2026, with priority given to nonprofit applicants and specific matching requirements for grants based on the type of organization.