BILL NUMBER: S10446
SPONSOR: KAVANAGH
 
TITLE OF BILL:
An act to amend chapter 514 of the laws of 1983 amending the private
housing finance law and the real property tax law relating to the powers
of the New York state housing finance agency and the New York city hous-
ing development corporation to finance certain multi-family housing, in
relation to the effectiveness thereof; to amend chapter 396 of the laws
of 1984 amending the private housing finance law and the real property
tax law relating to the powers of the New York state housing finance
agency to finance certain multi-family housing, in relation to the
effectiveness thereof; to amend chapter 915 of the laws of 1982 amending
the public authorities law relating to the powers of the state of New
York mortgage agency, in relation to the effectiveness thereof; to amend
the public authorities law, in relation to the powers of the state of
New York mortgage agency; to amend chapter 555 of the laws of 1989
amending the public authorities law and other laws relating to estab-
lishing a New York state infrastructure trust fund, in relation to the
effectiveness thereof; to amend chapter 172 of the laws of 2002, amend-
ing the public authorities law relating to the powers of the state of
New York mortgage agency, in relation to the effectiveness thereof; to
amend chapter 208 of the laws of 2010 amending the public authorities
law relating to the powers of the state of New York mortgage agency, in
relation to the effectiveness thereof; and to amend chapter 246 of the
laws of 2010 amending the public authorities law relating to the powers
of the state of New York mortgage agency, in relation to the effective-
ness thereof
 
PURPOSE OF THE BILL:
This bill would extend indefinitely certain statutory authorizations of
the New York State Housing Finance Agency ("HFA"), the State of New York
Mortgage Agency ("SONYMA"), the New York City Housing Development Corpo-
ration ("HDC"), and the SONYMA Mortgage Insurance Fund ("MIF"). This
bill amends sections of the Private Housing Finance Law ("PHFL"), Real
Property Tax Law ("RPTL"), and the Public Authorities Law ("PAL").
 
SUMMARY OF PROVISIONS:
Section 1 of the bill makes permanent the provisions of chapter 514 of
the laws of 1983. These provisions provide authority to HFA and HDC to
finance certain multifamily housing projects and includes an opt-in
local tax exemption.
Section 2 of the bill makes permanent sections one, three, four, five,
and six of chapter 396 of the laws of 1984. These provisions provide
authority to HFA to finance certain multifamily housing projects.
Section 3 of the bill makes permanent sections one through ten of chap-
ter 915 of the laws of 1982. These provisions authorize SONYMA to
purchase existing mortgages, forward commitment mortgages, and new hous-
ing loans.
Section 4 of the bill amends PAL 2407 to make permanent SONYMA's author-
ity to issue new money taxable and tax-exempt bonds.
Section 5 of the bill makes permanent sections six and nine through
seventeen of chapter 555 of the laws of 1989 and section thirteen of
chapter three of the laws of 2004. The former provisions authorize the
MIF to provide mortgage pool insurance, and the latter provision permits
development corporation credit support relating to the Jacob Javits
Convention Center.
Section 6 of the bill makes permanent two amendments to PAL 2426(12):
(1) a technical amendment changing the word "chapter" to "part;" and
(ii) an amendment that at least 20% of a rehabilitation loan given by
SONYMA be used for rehabilitation or construction of improvements.
Section 7 of the bill makes permanent the provisions of chapter 208 of
the laws of 2010. These provisions amend PAL 2402 to make permanent the
definition and use of the term "government sponsored enterprises."
Section 8 of the bill makes permanent the provisions of chapter 246 of
the laws of 2010. These provisions make two amendments to PAL 2428,
authorizing the MIF to provide and insure a one hundred percent preser-
vation loan to certain overleveraged affordable multi-family residential
buildings with existing indebtedness originating during the period of
January 1, 2004, through December 31, 2008, for the purpose of preserv-
ing these buildings.
Section 9 of the bill provides an immediate effective date.
 
JUSTIFICATION:
HFA and HDC are the multi-family housing finance agencies serving the
state and New York City, respectively, and together are national leaders
in multi-family housing bond financings. SONYMA is the state's only
issuer of single-family housing bonds and provides mortgage financing to
low- and- moderate income first-time homebuyers. SONYMA's MIF provides
mortgage insurance, including pool insurance, for SONYMA's programs and
also provides project insurance on multi-family mortgage loans made by
HFA, HDC, and other issuers in the state.
As illustrated in the summary of provisions, the provisions of the PHFL,
RPTL, and PAL that expire on a biannual basis represent core responsi-
bilities of HFA, HDC, SONYMA, and the MIF. These provisions further
represent foundational definitions within the law, and technical amend-
ments that avoid inconsistent and conflictual provisions of law.
There is no manifest need to continue extending these provisions every
two years, especially since New Yorkers may be at risk if the provisions
lapse. To avoid confusion and for legislative economy, the provisions of
law represented in this bill should be made permanent.
 
PRIOR LEGISLATIVE HISTORY:
The provisions of law that this bill would make permanent are routinely
extended. Most recently, these provisions were extended by Chapter 170
of the Laws of 2025.
 
FISCAL IMPLICATIONS:
N/A
 
EFFECTIVE DATE:
This act shall take effect immediately.

Statutes affected:
S10446: 2407 public authorities law