N.Y. Private Housing Finance Law Section 44-A
Low rent dwelling accommodations


1.

Subject to the approval of the commissioner and to the provisions of any contract with noteholders and bondholders, the agency shall have the power to lease dwellings in a project, not to exceed twenty per centum of the dwellings in such project, from a company, except that in the case of a project located in an area in which the commissioner finds that unusually difficult housing conditions exist, the number of dwellings which may be leased by the agency shall not exceed fifty per centum, and except that the agency may lease all or any portion of the dwellings in a non-profit company project designed or intended for occupancy by aged persons, at such rentals as may be fixed therefor by such company and approved by the commissioner or the supervising agency, as the case may be, pursuant to the provisions of subdivision one of § 31 (Rentals and selection of tenants)section thirty-one of this chapter less an appropriate adjustment for the increased tax exemption, if any, attributable to such dwellings pursuant to subdivision two of § 33 (Tax exemptions)section thirty-three of this chapter; and to sublet such dwellings, in accordance with subdivision two of this section, to persons or families eligible therefor in accordance with the provisions of paragraph (a) of subdivision two of § 31 (Rentals and selection of tenants)section thirty-one of this chapter, except that dwellings in a non-profit company project designed or intended for occupancy by the aged shall be sublet only to aged persons, and except that in the case of mutual companies, dwellings may be leased only when the agency shall purchase the shares appertaining to such dwellings.

2.

The rental of any dwelling sublet in accordance with subdivision one of this section shall be fixed at an amount equal to twenty per centum of the probable aggregate annual income of the occupants thereof, determined in accordance with § 31 (Rentals and selection of tenants)section thirty-one of this chapter, at the time of the execution of such sublease and at a time thereafter proximate to each anniversary date of the execution of such sublease and at the time of any renewal or extension of such sublease, provided that no such dwelling shall be sublet (a) at an average rental of less than fifteen dollars per room per month or at a rental less than that of comparable dwellings in new state-aided public housing projects in the community, whichever is greater, or

(b)

to a person or family whose probable aggregate annual income exceeds five times the rental fixed therefor by the company pursuant to subdivision one of § 31 (Rentals and selection of tenants)section thirty-one of this chapter, provided however, such person or family may continue to occupy such dwelling and pay to the agency such fixed rental, including any surcharges which would otherwise be authorized if such person or family were a tenant of the company, until the company shall have entered into a lease with such person or family or until such person or family has vacated or has been caused to vacate such dwelling.

3.

Subject to the approval of the commissioner and to the provisions of any contract with noteholders and bondholders, the agency shall have the power to lease dwellings, within areas designated to receive benefits under the federal demonstration cities and metropolitan development act of nineteen hundred sixty-six, in a multiple dwelling receiving benefits and subject to control of its rents under article 8 (Loans to Owners of Existing Multiple Dwellings)article eight of this chapter from the owner thereof at such rentals as may be approved by the governmental agency having jurisdiction pursuant to the provisions of § 405 (Rent control)section four hundred five of this chapter; and to sublet such dwellings to persons or families eligible therefor in accordance with the provisions of subdivision three of § 401 (Definitions)section four hundred one of this chapter. The rental of any dwelling sublet pursuant to this subdivision shall be fixed at an amount equal to twenty per centum of the probable aggregate annual income of the occupants thereof, determined in accordance with subdivision three of § 401 (Definitions)section four hundred one of this chapter, at the time of the execution of such sublease and at the time of each anniversary of the execution of such sublease and at the time of any renewal or extension of such sublease, provided that no such dwelling shall be sublet (a) at an average rental of less than fifteen dollars per room per month or at a rental less than that of comparable dwellings in new state-aided public housing projects in the community, whichever is greater, or

(b)

to a person or family whose probable aggregate annual income exceeds five times the rental fixed therefor pursuant to § 405 (Rent control)section four hundred five of this chapter.

4.

The agency shall create and establish a special account, to be known as the low rent housing assistance account, and shall pay into such account all monies appropriated and made available by the state for the purposes of such account and any other monies which may be made available to the agency for the purposes of such account from any other source or sources. All monies held in the low rent housing assistance accounts shall be used by the agency (a) to meet, together with rentals received therefor from the occupants, the agency’s rent obligation to the company or owner of a multiple dwelling with respect to dwellings leased pursuant to this section;

(b)

to make housing assistance payments pursuant to subdivision five of this section;

(c)

for the payment of administrative and other expenses of the agency allocable to its activities pursuant to this section, and

(d)

to reimburse the division of housing and community renewal the reasonable costs of services performed by the commissioner of housing and community renewal and the division of housing and community renewal in carrying out the provisions of this section pursuant to section fifty-five of this article. Any monies held in the low rent housing assistance account not required for immediate disbursement may be invested in the manner permitted by subdivision eight of § 44 (Powers of the agency)section forty-four of this article. Any income or interest earned by, or increment to such account shall be added to the monies held in such account for the purposes herein provided.

5.

(a) In lieu of leasing and subleasing housing accommodations pursuant to subdivisions one through three of this section, the agency may provide housing for persons and families of low income by making housing assistance payments to the company owning a project.

(b)

A housing assistance payment pursuant to this subdivision may be made only with respect to occupants of a dwelling in a project who would be eligible for a sublease under the provisions of this section.

(c)

Tenants receiving housing assistance payments shall pay a rent to the company equal to the rent they would pay under a sublease pursuant to this section. Housing assistance payments equal to the difference between such rent and the rental fixed for the dwelling pursuant to § 31 (Rentals and selection of tenants)section thirty-one of this chapter shall be made by or on behalf of the agency to the company.

(d)

The agency and the division of housing and community renewal may make such regulations, not inconsistent with the provisions of this section, and enter into such agreements with the owners of projects as may be necessary or proper to carry out the provisions of this subdivision. Such agreements may, in the case of a project the mortgage on which is held by the agency, provide for the making of housing assistance payments in the form of a credit against the company’s payments thereon.

Source: Section 44-A — Low rent dwelling accommodations, https://www.­nysenate.­gov/legislation/laws/PVH/44-A (updated Sep. 22, 2014; accessed Jul. 13, 2024).

40
Short title
41
Statement of legislative findings and purposes
42
Definitions
43
New York state housing finance agency
44
Powers of the agency
44‑A
Low rent dwelling accommodations
44‑B
Mortgage modifications, evidence of pre-existing indebtedness
44‑C
Federally-aided mortgage loans
45
Transfer of officers and employees
45‑A
Housing trust fund corporation
45‑B
Affordable housing corporation
45‑C
Homeless housing and assistance corporation
46
Notes and bonds of the agency
47
Reserve funds and appropriations
47‑A
State university construction bonds and notes
47‑B
Mental hygiene improvement bonds and notes
47‑C
Special provisions related to certain bonds and notes
47‑D
Health facilities bonds and notes
47‑E
Housing program bonds and notes
48
Agreement with the state
49
State’s right to require redemption of bonds
50
Remedies of noteholders and bondholders
51
Monies of the agency
51‑A
Federal rental assistance program administrative fees
52
Notes and bonds as legal investment
53
Exemption from taxation of property and income
54
Exemption from taxation of notes and bonds
55
Assistance by state officers, departments, boards and commissions
56
Reports
56‑A
Indemnification of members, officers and employees
57
Insured mortgage reserve fund
58
Special revenue housing coverage reserve funds
59
Bond reserve insurance fund
59‑A
Housing trust fund account
59‑B
Affordable housing development account
59‑C
Insured housing initiatives fund
59‑D
Turnkey/enhanced housing account
59‑E
Infrastructure development fund
59‑G
Permanent housing for homeless families fund
59‑H
Manufactured home cooperative fund
59‑I
Homeless housing and assistance account
60
Housing project repair fund
61
Inconsistent provisions in other laws superseded
61‑A
Actions
62
Article not affected if in part unconstitutional

Accessed:
Jul. 13, 2024

Last modified:
Sep. 22, 2014

§ 44-A’s source at nysenate​.gov

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