§ 41-02 Administering Agents.
RCNY § 41-02
(a)General Provisions For Rental and Homeownership Affordable Housing.
(1)By the close of financing for the Generating Site, the owner of the Affordable Housing shall enter into an agreement with an Administering Agent, for such Administering Agent to perform the duties as specified in the Program. At no time during the term of the Regulatory Agreement shall the Affordable Housing be without an Administering Agent.
(2)All affidavits from the Administering Agent shall be submitted to HPD by March 31st of the year in which such affidavits are due.
(3)Administering Agents shall retain records that form the basis of any affidavit submitted to HPD for the duration of the homeowner's ownership of an Affordable Housing Unit, plus six (6) years after such homeowner no longer owns such Affordable Housing Unit.
(b)Administering Agent Selection Process For Rental and Homeownership Affordable Housing. Administering Agents for Affordable Housing will be selected by the owner and must be approved by HPD based on criteria including, but not limited to: (1) Sponsor Review (i.e., a background investigation of the principals of the Administering Agent); (2) Determination that the Administering Agent is a not-for-profit; (3) Implementation by the Administering Agent of satisfactory procedures for relocating renters, when applicable; and (4) Determination that the Administering Agent is not an owner, affiliate of owner or managing agent of the Generating Site, unless HPD determines that the Generating Site is participating in a federal, state or local program that has procedures for performing paragraphs one through three of this subdivision or the owner and any such managing agent or affiliate are not-for-profit entities with adequate safeguards to ensure that such entities comply with the Program.
(c)Renting or Selling Homeownership Affordable Housing.
(ii)Administering Agent Notification to HPD of Homeowner's Intent to Sell a Homeownership Affordable Housing Unit. Within fourteen (14) business days from receipt of an HPD-approved notice of intent to sell form from a Homeowner, the Administering Agent must, using an HPD-approved form, give HPD information concerning: (A) the date upon which the Administering Agent received the Homeowner's notice of intent to sell form; (B) the address of the Homeownership Affordable Housing Unit and the Community Board(s) in which such unit is located; (C) the unit size of the Homeownership Affordable Housing Unit (including square footage and number of rooms); (D) the unit type – cooperative or condominium – of the Homeownership Affordable Housing Unit; (E) the last Sale Date and the price at which the Homeownership Affordable Housing Unit was sold on such date; (F) the estimated Monthly Housing Costs for the Homeownership Affordable Housing Unit; (G) the Maximum Resale Price of the Homeownership Affordable Housing Unit; (H) the Down Payment required to purchase the Homeownership Affordable Housing Unit; (I) the Income Marketing Band for the Homeownership Affordable Housing Unit; and (J) the Flip Tax applicable to the Homeownership Affordable Housing Unit.
(iii)Marketing of the Homeownership Affordable Housing Unit. (A) Listing the Homeownership Affordable Housing Unit. Within fourteen (14) business days from its receipt of the notice of intent to sell from a Homeowner, the Administering Agent must list the availability of such Homeownership Affordable Housing Unit for sale on the Administering Agent's website and send a copy of such listing to the Community Board(s) in which the Homeownership Affordable Housing Unit is located and to the Council Member(s) that represent(s) the council district(s) in which the Homeownership Affordable Housing Unit is located. Such listing must include: (1) the address of the Homeownership Affordable Housing Unit and Community Board(s) in which such unit is located; (2) the unit size of the Homeownership Affordable Housing Unit (including square footage and number of rooms); (3) the unit type – cooperative or condominium – of the Homeownership Affordable Housing Unit; (4) the last Sale Date and the price at which the Homeownership Affordable Housing Unit was sold on such date; (5) the estimated Monthly Housing Costs for the Homeownership Affordable Housing Unit; (6) the Maximum Resale Price of the Homeownership Affordable Housing Unit; (7) the Down Payment required to purchase the Homeownership Affordable Housing Unit; (8) the Income Marketing Band for the Homeownership Affordable Housing Unit; (9) the Flip Tax applicable to the Homeownership Affordable Housing Unit; (10) an HPD-approved application form for potential buyers, on which potential buyers are directed to return such application form with supporting documentation to HPD and potential buyers are informed that the Administering Agent is prohibited from charging an application fee; and (11) the Application Deadline.
(iv)The Lottery Process. HPD will create a list of potential buyers randomly-ordered from the applications received on or before the Application Deadline and will forward such list to the Administering Agent. The Administering Agent will select Eligible Buyers, beginning with the first name on the potential buyer list. The first potential buyer who meets the requirements of the Program will be offered an opportunity to: (A) at least two weeks prior to the closing date for the Homeownership Affordable Housing Unit, inspect the Homeownership Affordable Housing Unit, and (B) purchase the Homeownership Affordable Housing Unit.
(v)Closings. Homeowners shall enter into a performance or enforcement mortgage agreement with HPD and shall agree to all Program restrictions concerning the ownership and Sale or Resale of the Homeownership Affordable Housing Unit.
(vi)Homeownership Education. The Administering Agent must either provide HPD approved classes for homebuyers concerning the responsibilities attending Homeownership or direct potential buyers to HPD-approved providers of such classes.
