N.Y. General Municipal Law § 699-b: Long Island workforce housing program

§ 699-b. Long Island workforce housing program. 1. When a local

government approves a subdivision plat or site plan for five or more

residential units or a mixed-use development that incorporates five or

more residential units, except as otherwise provided in subdivision two

of this section, the applicant shall receive a density bonus or other

incentive pursuant to a written agreement between the applicant and the

local government and such local government shall require of the

applicant:

(a) the set aside of at least ten percent of such units for affordable

workforce housing on site; or

(b) the provision of other land and the construction of the required

affordable workforce housing units that are not part of the applicant's

current subdivision plat or site plan but are to be provided on another

site within the same local government; or

(c) the payment of a fee equal to two times the median income for a

family of four for the Nassau-Suffolk primary metropolitan statistical

area as defined by the federal Department of Housing and Urban

Development, for each additional unit which results, or would have

resulted, from the density bonus or, when such fee exceeds the appraised

value of each lot resulting from such density bonus, then such fee shall

be equal to the appraised value of the lot or lots, or the equivalent

thereof, for each additional unit created by the density bonus. All fees

collected by the local government as provided in this section shall, at

the sole discretion of the local government, be:

(i) deposited in a single trust fund under the control of the local

government to be kept in trust and separate and apart from all other

monies of such local government, for the specific purpose of

constructing affordable workforce housing, acquiring land for the

purpose of providing affordable workforce housing or rehabilitating

structures for the purpose of providing affordable workforce housing.

Pending expenditures from such trust fund, monies therein may be

invested in the manner provided by law. Any interest earned or capital

gain realized on the monies so deposited shall accrue to and become part

of such trust fund; or

(ii) paid to another local government within the county within which

the local government paying such monies is located, pursuant to an

intermunicipal agreement, to be kept in trust and separate and apart

from all other monies of such other local government, for the specific

purpose of constructing affordable workforce housing, acquiring land for

the purpose of providing affordable workforce housing or rehabilitating

structures for the purpose of providing affordable workforce housing

within such other local government. Pending expenditures from such trust

fund, monies therein may be invested in the manner provided by law. Any

interest earned or capital gain realized on the monies so deposited

shall accrue to and become part of such trust fund; or

(iii) paid into a single trust fund under the control of the Long

Island Housing Partnership to be kept in trust and separate and apart

from all other monies of such partnership, fifty percent of which shall

be used for the specific purpose of constructing affordable workforce

housing, acquiring land for the purpose of providing affordable

workforce housing or rehabilitating structures for the purpose of

providing affordable workforce housing within the county within which

the local government paying such monies is located. The remaining fifty

percent of such funds shall be used to provide downpayment assistance to

eligible homebuyers who qualify for the existing employer assistance

housing benefit program administered by such partnership. The

downpayment assistance funds shall be secured by a note and mortgage on

the property purchased with such funds and shall be fully repaid to the

fund by the recipient upon the sale or refinancing of the aforementioned

property.

2. The provisions of this article shall not apply when an applicant

elects a lesser percentage than the maximum allowable residential

density, or floor area ratio if part of a mixed-use development, under

the applicable zoning ordinance and comprehensive plan in effect as of

the date of the application by the applicant to the local government.

3. Local governments shall ensure that all affordable housing units

created pursuant to this article remain affordable. Subsequent

purchasers of such units shall have at the time of purchase, pursuant to

the definition of "affordable workforce housing", an income at or below

one hundred thirty percent of the median income for the Nassau-Suffolk

primary statistical area as defined by the federal Department of Housing

and Urban Development.

4. Within six months of the establishment of a trust fund as set forth

in subparagraphs (i) and (ii) of paragraph (c) of subdivision one of

this section, the local government shall issue guidelines and policies

which shall govern the expenditure of trust fund monies. Any monies that

are not expended by the local government three years from the date of

such monies being collected shall be paid into a single trust fund under

the control of the Long Island Housing Partnership, as set forth in

subparagraph (iii) of paragraph (c) of subdivision one of this section.

5. A local government may enter into intermunicipal agreements with

any local government within the same county to meet the purposes of this

article.