Create NYC Public Administrator Division

Section 1. Article 11 of the surrogate's court procedure act is REPEALED and a new article 11 is added to read as follows:

ARTICLE 11

DIVISION OF THE PUBLIC ADMINISTRATOR FOR THE CITY OF

NEW YORK Section 1101. Definitions.

1102. Division of the public administrator; director; employees.

1103. General powers of the director.

1104. Oath and bond.

1105. Commissions.

1106. Deposit of funds.

1107. Responsibility of the city.

1108. Authority to act.

1109. Reports of deaths and burials.

1110. Inquiry and subpoena.

1111. Letters not required for small estates.

1112. Application for letters; when court may direct probate.

1113. No separate bond or oath.

1114. Powers before issuance of letters.

1115. Notice to consuls.

1116. Appearance by consuls.

1117. Grant of letters to others.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD08460-01-7

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1118. Delivery of estate assets to fiduciary; expenses, costs

and commissions.

1119. Appeal; bond.

1120. Property without value where no administration had.

1121. Disposition of records after 10 years.

§ 1101. Definitions

For purposes of this article, the following terms shall have the following meanings:

1. "Division" shall mean the division of public administrator established by section 1102 of this article.

2. "Director" shall mean the director of the division. § 1102. Division of the public administrator; director; employees

1. There is hereby created within the office of the corporation counsel for the city of New York, a division of the public administrator to have and exercise the functions, powers and duties provided by the provisions of this article.

2. The head of the office shall be the director, who shall be appointed by the mayor of the city of New York, and shall hold office at the pleasure of the mayor by whom he or she was appointed or until his or her successor is appointed and has qualified.

3. Subject to the provisions of this article and the civil service law, and rules and regulations adopted pursuant thereto, the director may appoint such other officers and employees as may be necessary, prescribe their duties, fix their compensation and provide for payment of their reasonable expenses, all within amounts as may be allowed annually in the budget of the city of New York. The director may transfer officers or employees from their positions to other positions in the division, or abolish or consolidate such positions.

4. The director acting by and through the division shall have powers set forth in section 1103 of this article. § 1103. General powers of the director

1. The director shall have all the powers specifically granted pursuant to this article and also the powers given by law to a fiduciary of a decedent's estate.

2. In addition to the foregoing grant of powers and without limitation thereon the director is authorized to:

(a) Sell personal property of the decedent at public auction pursuant to notice appearing for 3 successive days prior to the sale in a newspaper published in the county having jurisdiction over the estate.

(b) Retain marketable securities beyond 4 months after letters have been granted to him or her provided that the court has so permitted by order.

(c) Serve process on creditors, legatees or other persons interested, distributees, domiciled outside the city of New York by certified mail, return receipt requested, whenever directed by the court by order in any proceeding, notwithstanding the provisions of section 308 of this act. Such service shall be valid if made at least 30 days before the return date thereof.

(d) Distribute without an accounting proceeding the assets of any estate defined as a small estate in subdivision 1 of section 1301 of this act and upon distribution to take the costs and commissions ordinarily allowed by the court upon the entry of a decree upon final accounting.

(e) File in the court an informatory account in a form prescribed by rule where the gross value of the assets of the estate accounted for is more than $500 and less than that as defined as a small estate in subdi-

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vision 1 of section 1301 of this act and shall serve a copy of such informatory accounting by certified mail on all interested parties at least 30 days prior to filing with the court.

(f) Pay for the use and benefit of an infant distributee or legatee who has no guardian of the property the share of legacy due the infant if not exceeding $5,000 by payment thereof in the discretion of the director to a parent or to an adult competent person with whom the infant resides.

(g) Pay or deliver to the commissioner of finance of the city of New York the balance of any moneys or other assets in his or her hands remaining after settlement of his or her account or the filing of an informatory account, where payable to persons under disability or whose shares are to be deposited pursuant to section 2218 of this act.

(h) Apply ex parte or upon such notice as directed by the court for an order or decree in any appropriate proceeding requiring the city of New York to return to the director any money or unliquidated assets theretofore deposited by the director and remaining in the treasury of the city of New York and upon further order of the court to make distribution of such recovered funds to the persons entitled thereto.

(i) Receive process or other notice as a necessary party in the following proceedings:

(1) Any proceeding pending in the court where service of process or notice in behalf of any known or unknown person is directed by the court or where the court by order directs the director to appear therein.

(2) Every proceeding for the appointment of an administrator or for the probate of a will where it does not appear that the persons applying or named in the petition are all the distributees of the decedent or where it appears that such persons are related to the decedent in the fourth degree of consanguinity or are more remotely related.

(3) Ever proceeding to effect distribution of moneys or property deposited for the account of unknown persons or of infants or incompetents, or of known persons whose shares were deposited pursuant to section 2218 of this act. In any such proceeding the director shall be deemed a person interested.

(4) In all such proceedings the director, in his or her discretion, may take any action in behalf of such person or persons as a person interested might.

(j) Designate a designee from within the division to act on his or her behalf. § 1104. Oath and bond

The director of the division before entering upon the duties of his or her office shall take and file the constitutional oath of office. § 1105. Commissions

1. The director shall retain over and above all necessary expenses upon all moneys which shall come under the control of the division the same commissions as are now or may hereafter be allowed by law to fiduciaries under section 2307 of this act.

2. The value of any real or personal property and the increment thereof received, disbursed or delivered shall be considered as money in computing commissions, except where the real or personal property has been specifically devised or bequeathed.

3. On the settlement of the account of the division in each instance, notwithstanding the provisions of subdivisions 1 and 2 of this section, the court may allow reasonable and necessary expenses and disbursements of the division, and in addition, to be fixed by the court.

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4. The commissions and allowances provided for by this section may be retained by the director in preference to any debts or claims except funeral expenses.

5. The director shall pay into the treasury of the city of New York all commissions and allowances received by the division from any source. Such funds shall be used by the city to offset the expenses of the division and the compensation paid to the director, officers and employees of the division. § 1106. Deposit of funds

1. The director shall deposit all moneys collected and received by the division within 5 days after receipt in demand, time, thrift or other accounts in one or more banks or trust companies designated by the mayor, comptroller and commissioner of finance of the deposit of moneys of the city of New York. All interest received on such deposits shall be credited to the respective estates. In case of the insolvency or involuntary liquidation of the depository all money so deposited shall be entitled to equal priority of payment with that given by law to deposits of money by the state superintendent of banks.

2. The director shall whenever required exhibit to the city comptroller and the surrogate of the county with jurisdiction over the estate the bank books or statements and all other vouchers and documents relating to the division. The comptroller and surrogate shall examine the bank books and statements showing the deposits and the vouchers on which the check is required to be drawn and shall satisfy himself or herself fully as to the correctness thereof and in case of doubt or difficulty he or she shall report the case to the mayor for his or her direction. § 1107. Responsibility of the city

1. The city of New York shall be answerable for the faithful execution by the director of all the duties of the division and for the application by him or her of all moneys and property received by the division and for all moneys and securities and the interest, earnings and dividends thereon actually received by the division or which the division should have collected or received.

2. Any person aggrieved by any act or omission of the division and any person entitled to receive any money or property for which the division may be held to account, shall have each and every remedy against the city of New York as would be available against a fiduciary in like case and may initiate in the surrogate's court having jurisdiction a proceeding for the enforcement of his or her claim or right and shall serve process thereon on the comptroller of the city. The director then in office shall be a necessary party in such proceeding. § 1108. Authority to act

The director shall have authority to take possession of, manage and collect the rents of the real property and take charge of the personal property of an intestate:

1. Whenever any person not known to have left him or her surviving a person eligible to receive letters shall die intestate either within this state or elsewhere leaving any real or personal property within a county located within the city of New York.

2. Whenever any personal property of such intestate shall arrive within a county located within the city of New York after his or her death.

3. Whenever all of the surviving relatives are not known the director shall conduct a search for all living distributees of the decedent by reference to bank, postal, and telephone records and inquiry of neigh-

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bors, and other reasonable steps under the circumstances. The director shall maintain records of all responses to such notices. § 1109. Reports of deaths and burials 1. Every person keeping a hotel, boarding or rooming house in any county located within the city of New York shall report in writing to the director information concerning every person not a member of his or her family who shall die in his or her hotel or house within 12 hours after such death.

2. The chief medical examiner or such similar public officer of any county located within the city of New York within 12 hours after an inquest shall report in writing to the director, such information regarding the decedent which he or she may have.

3. Every undertaker doing business in a county located within the city of New York shall file a report in writing with the director within 12 hours after receiving an order for the burial by him or her of any decedent having no known distributees or having been survived only by cousins or relatives by marriage, such information regarding the decedent which he or she may have. § 1110. Inquiry and subpoena

1. The director may institute an inquiry in any case in which he or she is authorized to act as to any matter affecting the estate of the decedent.

2. For the purposes set forth in subdivision 1 of this section, the director may issue a subpoena or subpoena duces tecum either before or after the issuance of letters in the name of the court with the same effect as if either were issued by the court.

3. Failure to comply with the directions of the subpoena or subpoena duces tecum shall be punishable as a contempt of court. § 1111. Letters not required for small estates

1. Without the issuance of letters the director by virtue of his or her office shall have all the powers of a fiduciary of a decedent's estate whenever the gross assets of the estate do not exceed the monetary amount defined as a small estate pursuant to subdivision 1 of section 1301 of this act.