N.Y. Comp. Codes R. & Regs. tit. 14 § 621.9

Current through Register Vol. 46, No. 50, December 11, 2024

Section 621.9 - Fees and charges in connection with a Housing Finance Agency mortgage loan

(a) For the purposes of this section:

(1)Development period is the period commencing as of the date of the inception of a project receiving an HFA mortgage loan and terminating as of the tentative occupancy date.

(2)Operational period is the period commencing as of the tentative occupancy date of the aforementioned project and terminating as of the date the mortgage is paid or provision has been made for such payment.

(3)Occupancy date means the occupancy date as such is defined in the HFA mortgage. The occupancy date will be determined by the commissioner after an audit of the development period accounts.

(4)Tentative occupancy date is the first day of the first month following the expiration of 90 days after the later of the following two events:

(i) the issuance of a certificate of occupancy or temporary certificate of occupancy by the appropriate agency of local government; or

(ii) the issuance of the certificate of substantial completion; provided, however, that if the applicant is occupying the project and the commissioner determines that the issuance of either of the aforementioned documents is unduly delayed, the commissioner may declare a tentative occupancy date prior to the issuance of such document; and provided further that a tentative occupancy date may not predate the effective date of this Part.

(5)Company shall mean a company having received an HFA mortgage.

(b) An applicant who has obtained an HFA mortgage loan pursuant to the provisions of article 75 of the Mental Hygiene Law and article III of the Housing Finance Law to finance all or any part of a community facility for persons with developmental disabilities shall pay the charges due OPWDD in accordance with this Part promulgated pursuant to section 75.31 of said article 75 to cover the reasonable costs of services rendered by OPWDD, including inspection, regulation, supervision and audit.

(1) The charge for services rendered during the development period shall be 0.75 percent of the maximum mortgage commitment as of the day of the mortgage closing. Such charge shall be payable to OPWDD by the company upon requisition on or after the closing of the HFA mortgage.

(2) The charge for services rendered during the operational period shall be 0.05 percent per annum of the amount of the then maximum mortgage commitment less any grants received by HFA from the company as of the tentative occupancy date. Such charge shall be payable monthly to OPWDD by the company on the first day of the month following the aforesaid tentative occupancy date and on the first day of each and every succeeding month until said mortgage is paid.

(c) Within 30 days after the declaration of the tentative occupancy date of a project by the commissioner, the company shall open an operating escrow account in a bank which is a member of the Federal Reserve System or which is chartered by the State of New York pursuant to a corporate resolution in a form approved by the commissioner. The company shall furnish OPWDD with a certified copy of the resolution opening said account together with a letter of acceptance from the bank addressed to OPWDD in which it states that it is a member of the Federal Reserve System or that it is chartered by the State of New York.

(1) On the first day of the month following a notice of the declaration of the tentative occupancy date and on the first day of each and every month thereafter the company shall:

(i) pay to the New York State Housing Finance Agency the fees and charges set forth in the HFA mortgage;

(ii) pay to the OPWDD the charge for services set forth in paragraph (b)(2) of this section;

(iii) deposit in the operating escrow account a sufficient sum estimated by the commissioner, to cover one twelfth of the payments for reserves for replacement which will be required as of the tentative occupancy date;

(iv) deposit in the operating escrow account a sufficient sum as estimated by the commissioner to cover one twelfth of the annual interest charges on the HFA mortgage; and

(v) deposit in the operating escrow account a reserve for principal payments to become due after the issuance of bonds by the New York State Housing Finance Agency; said deposits to be one twelfth of 2.5 percent of the estimated net mortgage or such lesser percentage as may be approved by the commissioner.

(2) When the occupancy date is fixed there may be an adjustment made with respect to the payments and deposits made pursuant to paragraph (2) of this subdivision in accordance with the determination of the commissioner relating to said payments and deposits.

N.Y. Comp. Codes R. & Regs. Tit. 14 § 621.9

Amended New York State Register September 21, 2016/Volume XXXVIII, Issue 38, eff. 9/21/2016