What's happening
This bill places a temporary ban on municipalities selling property tax warrants to private companies during the COVID-19 emergency.
Why it matters
Protects homeowners and property owners from immediate risk of foreclosure or aggressive debt collection. during the COVID-19 emergency by preventing the transfer of their tax debts to private companies, which often use harsher tactics to collect.
Ensures local governments retain control over outstanding property tax debts. during the pandemic period, which could lead to more flexible or compassionate approaches to collection in light of widespread financial hardship.
Limits opportunities for private companies to profit from public distress during a declared emergency,. addressing concerns about equity and fairness as many New Yorkers face economic uncertainty.
Provides a clear end date for the moratorium,. balancing temporary relief for property owners with the eventual resumption of standard fiscal practices for municipalities.
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Who cares
Headline styles
Pause Tax Lien Sales
Plain English, a few words. Used as the page title.
Sponsors
Senator · Senate District 14
No co-sponsors yet.
History
- Referred to rules
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.
Pause Tax Warrant Sales
In Assembly Committee · Real Property Taxation · Sponsor Robert C. Carroll
Full text
1 pageUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
8928
IN SENATE
August 19, 2020
Introduced by Sen. COMRIE -- read twice and ordered printed, and when printed to be committed to the Committee on Rules
AN ACT in relation to placing a moratorium on selling property tax warrants to private companies for the period of COVID-19 state of emergency; and providing for the repeal of such provisions upon the expiration thereof
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Notwithstanding any provisions of law, rule or regulation to the contrary, due to the coronavirus disease 2019 (COVID-19) pandemic, the state shall institute a moratorium on the sale of property tax warrants by municipalities to private companies for the period of COVID-19 state disaster emergency declared by executive order 202, as amended, that began on March 7, 2020.
§ 2. This act shall take effect immediately and shall expire and be deemed repealed January 1, 2024.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD16448-01-0
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act in relation to placing a moratorium on selling property tax warrants to private companies for the period of COVID-19 state of emer- gency; and providing for the repeal of such provisions upon the expira- tion thereof
Purpose
To ban the practice of selling property tax warrants for the duration of the COVID-19 state of emergency.
Summary of provisions
Section 1 places a moratorium on municipalities being able to sell prop- erty tax warrants to private companies for the duration of the COVID-19 state disaster emergency declared on March 7, 2020.
Section 2 sets the effective date and that the act will be deemed repealed on January 1, 2024.
Justification
In normal times the practice of municipalities selling property tax warrants to private for-profit companies is a nasty practice. During the COVID-19 emergency it will contribute to ruining homes, lives and busi- nesses so a select few can profit while municipalities see a minimal increase in tax revenue. This practice should be eliminated altogether, but a good first step would be to suspend this activity during the COVID-19 pandemic.
Legislative history
None.
Fiscal implications
None.
Effective date
This act shall take effect immediately.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.