NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A10522
SPONSOR: Rules (Cymbrowitz) TITLE OF BILL:
An act in relation to enacting the "emergency rent relief act of 2020"
to establish an interim residential rent relief program; and to provide
for the repeal of such provisions upon expiration thereof
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this bill is to support rental households impacted by the
COVID-19 pandemic.
SUMMARY OF PROVISIONS:
This bill would direct the commissioner of New York State Homes & Commu-
nity Renewal (HCR) to establish a short-term rental assistance program
available to rental households whose primary residence is in the state
of New York with an income below 80% of the area median income (AMI) and
a rent burden or amount of rent due over 30% of income both prior to
March 7, 2020 and at the time of application. The bill provides that
assistance shall be made available for rental payments due between April
1, 2020 and July 31, 2020.
The bill provides that up to $100 million shall be made available for
this program, and the commissioner of HCR is directed to establish pref-
erences to prioritize households with the greatest economic and social
need, with factors such as income, rent burden, percentage of income
loss and risk of homelessness being considered.
The commissioner is also directed to produce a report on the monthly
expenditures made pursuant to this act, including recipient demographic
data, regional data, and details on subsidy values, by October 31, 2020.
DIFFERENCE BETWEEN ORIGINAL AND AMENDED VERSION (IF APPLICABLE):
JUSTIFICATION:
Many families that were already rent burdened, or paying more than 30%
of their income toward rent, before the COVID-19 pandemic are now expe-
riencing a loss of income and a corresponding increase in rent burden
-putting them at risk of nonpayment, eviction and homelessness, and
their property owners at risk of falling behind on essential mortgage,
tax, insurance and maintenance payments. This legislation would provide
interim relief to renters struggling in the wake of COVID-19, helping to
mitigate the pandemic's negative effects on our State's tenants.
PRIOR LEGISLATIVE HISTORY:
New bill.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
Up to $100,000,000 of monies that have been allocated to the State of
New York by the federal Coronavirus Aid, Relief, and Economic Security
(CARES) Act of 2020 shall be made available for this program.
EFFECTIVE DATE:
Immediate.
