What's happening
This bill makes information provided by mortgagees about residential foreclosure actions confidential, allowing its use only for monitoring and prevention purposes.
Why it matters
Protects homeowner privacy. By making foreclosure notice information confidential and exempt from public disclosure laws, the bill limits the risk of sensitive personal or financial data being exposed or misused.
Focuses data use on prevention. Restricting the use of this information to monitoring foreclosure trends and directing foreclosure prevention services ensures that the data serves public and homeowner-support purposes rather than becoming broadly accessible.
Facilitates targeted assistance. Allowing the department to share information with designated housing counseling agencies and relevant city agencies helps connect at-risk homeowners to resources, potentially reducing preventable foreclosures.
Limits potential for public scrutiny. While confidentiality safeguards privacy, it may also reduce transparency for journalists, researchers, or advocacy groups who monitor mortgage and foreclosure practices, shifting oversight primarily to city agencies.
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Who cares
Headline styles
Limit Foreclosure Data Release
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to housing, construction and community development
- Referred to housing, construction and community development
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Limit Foreclosure Notice Disclosure
In Assembly Committee · Housing · Sponsor Latoya Joyner
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
3650
2019-2020 Regular Sessions
IN SENATE
February 11, 2019
Introduced by Sen. GOUNARDES -- read twice and ordered printed, and when printed to be committed to the Committee on Housing, Construction and Community Development
AN ACT to amend the administrative code of the city of New York, in relation to the disclosure of information provided in the notice to the department of housing preservation and development by a mortgagee commencing an action to recover residential real property
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subdivision (a) of section 27-2109.1 of the administrative code of the city of New York, as added by local law number 4 of the city of New York for the year 2012, is amended and a new subdivision d is added to read as follows:
[(a)] a. 1. Any mortgagee that commences an action in a court of competent jurisdiction in the state of New York to foreclose a mortgage on residential real property within the city of New York shall provide notice to the department, in a form prescribed by the department, within fifteen days of service of the pleadings commencing such action. If such action was commenced before the effective date of the local law that added this section, and remains pending as of such effective date, notification shall be provided within thirty days of such effective date, provided, however, that no notice shall be required for actions commenced prior to February 13, 2010, regardless of whether such action remains pending as of such effective date. Such notice shall include, but need not be limited to, the following information: (i) the name of the mortgagee plaintiff commencing such action and the mailing address, telephone number and e-mail address of such mortgagee plaintiff, and, when applicable, the name of a principal or corporate officer of such mortgagee plaintiff, and the mailing address, telephone number and e-mail address of such principal or corporate officer; (ii) the name of the defendant in such action; (iii) the identification of such residen-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00500-01-9
S. 3650 2
tial real property by street address and block and lot number, (iv) the date of the commencement of such action, (v) the court in which such action was commenced, and (vi) such other information as the department may require by rule. For the purposes of this section, "mortgagee" shall mean any person that commences an action to foreclose a mortgage on residential real property including, but not limited to, a lender, assignee or mortgage loan service provider that commences such an action.
2. A mortgagee shall notify the department within fifteen days of the discontinuance of an action for which notice pursuant to paragraph one of this subdivision has been received by the department, the issuance of a judgment in such action, or the sale of the real property as a result of such action.
3. The department shall maintain on its website a list of all properties with twenty or more units, identified by block and lot number along with the name, mailing address and telephone number of the mortgagee plaintiff and the name of the defendant for which notice pursuant to paragraph one of this subdivision has been received. Such list shall be updated at a minimum on the first business day of each month. The department shall report on its website each three months: (i) the total number of foreclosure actions commenced during the immediately preceding three months for which notice pursuant to paragraph one of this subdivision has been received by the department, disaggregated by community district; and (ii) the total number of foreclosure actions pending, for which notice pursuant to paragraphs one and two of this subdivision has been received by the department, disaggregated by community district. The department shall provide the information provided to it pursuant to paragraphs one and two of this subdivision to one or more agencies for which the department determines that such information furthers such agency or agencies' duties, including but not limited to the enforcement of section 28-210.1 of this code or related provisions, and to any other city agency upon request by such agency.
d. The information provided in the notice submitted by the mortgagee to the department pursuant to this section shall not be subject to disclosure pursuant to article six of the public officers law. All such information shall be used by the department exclusively for the purposes of monitoring the extent of residential mortgage foreclosures and the properties subject to such foreclosures, to perform analyses of the information submitted, and directing as appropriate available public and private foreclosure prevention and counseling services to owners of residential properties that are the subject of a mortgage foreclosure proceeding. The department may share information received in the notice or notices submitted by the mortgagee with housing counseling agencies designated by the division of housing and community renewal as well as with other city agencies pursuant to paragraph three of subdivision a of this section.
§ 2. This act shall take effect immediately, and shall be deemed to have been in full force and effect on and after June 15, 2012.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the administrative code of the city of New York, in relation to the disclosure of information provided in the notice to the department of housing preservation and development by a mortgagee commencing an action to recover residential real property
Purpose or general idea of bill
To exempt from disclosure information contained in mandatory notifica- tions provided by mortgagees to the Department of Housing Preservation and Development.
Summary of provisions
Section 1 of this bill amends section 27-2109.1 of the New York City Administrative Code by adding a new subdivision relating to the informa- tion provided by mortgagees in the notifications that they are required to submit to the Department of Housing Preservation and Development (HPD). This new subdivision provides that the information in the notifi- cations would not be subject to disclosure pursuant to the Freedom of Information Law (Article 6 of the Public Officer Law). This new subdi- vision also sets forth the uses for which HPD shall use this information and authorizes HPD to share this information with other City agencies and other housing counseling agencies.
Section 2 of this bill provides that this act shall take effect imme- diately, and shall be deemed to have been in full force and effect on and after June 15, 2012.
Justification
Section 27-2109.1 of the New York City Administrative Code requires mortgagees to notify HPD when they commence a foreclosure action against residential real property located in the City and at certain other points during the foreclosure process. The rules implementing this section require the provision of personal information about mortgagors. This bill would ensure that this information is confidential and protected from disclosure pursuant to FOIL. It would, however, permit disclosure to housing counseling agencies assisting mortgagors in deal- ing with the foreclosure action and to other involved City agencies.
Prior legislative history
2017-8: S.1617- Passed the Senate both years 2015-2016: S.3204 - Passed the Senate both years 2013-2014: S.5154 - Referred to Housing, Construction and Community Development both years
Fiscal implications
To be determined
Effective date
This act shall take effect immediately, and shall be deemed to have been in full force and effect on and after June 15, 2012.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.