Provides for the establishment of the Long Island Next Generation - First Time Home Buyer Program

BILL NUMBER:A10652

Title of bill

An act to amend the public housing law and the public authorities law, in relation to establishing the Long Island Next Gener- ation - First Time Home Buyer Grant Program

Purpose or general idea of bill

The State of New York Mortgage Agency (SONYMA) receives no direct operating support from the state. However, as required by statute, the state must guarantee payments made by the agency to.the state in prior years. To satisfy this statute, the budget appropriates $375-$390 million per year for this cause, however no such cash disbursements Occur. With this in mind, the enactment of this bill will require at the end of the fiscal year that $150 million of the fund balance be reauthorized as the "Long Island Next Generation -First Time Home Buyers Grant Program.

Summary of specific provisions

The Public Housing Law is amended by adding a new section 18A and section 2415 of the Public Authorities law is amended by adding a new subdivision 5.

Justification

Housing continues to be a major problem for all Long Islanders. The lack of building opportunities, the cost of construction and the number of housing units needed have all played into this dilem- ma, Funds from this program will change that focus and provide opportu- nities for both first time homebuyers and middle class families. Helping to keep young families in New York and on the Island and preventing the steady stream of "brain drain" are just two important benefits of this legislation.

Prior legislative history

A7690 - 2008; A3949 - 2009

Fiscal implications for state and local governments

One hundred fifty million dollars per year, already appropriated in the budget, will be re-appropriated at the conclusion of the fiscal year to this newly created fund.

Effective date

Act shall take effect in ninety days.