Bill > S06263

This bill requires out-of-state affordable housing owners that own at least 20 rental units in New York and receive federal Housing and Urban Development (HUD) funding to establish and maintain a dedicated escrow account with a bank or licensed lender. The escrow account must include: fifty percent of the property tax obligations from the prior tax year for their New York rental units, fifty percent of utility and maintenance costs from the previous twelve months, and an additional amount determined by the commissioner to cover potential fire services. The bill defines an "out-of-state affordable housing owner" as a development company located outside New York that meets these specific criteria. The purpose of this legislation is to ensure that non-New York based affordable housing companies maintain financial reserves specifically for the ongoing operational and maintenance needs of their rental properties within the state. The bill will take effect 60 days after becoming law, providing these out-of-state owners a clear timeline to establish the required escrow accounts.

Housing and Urban Affairs

https://www.nysenate.gov/legislation/bills/2025/S6263