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Adopted Rules: Closed to Comments

Adopted Rules Content: 

 Statement of Basis and Purpose of Rule

 The City of New York conducts an annual tax lien sale for properties which have unpaid property taxes, water bills and other related charges in accordance with section 11-319 of the Administrative Code of the City of New York and section 40-02 of Title 19 of the Rules of the City of New York.  These unpaid charges become tax liens that under certain conditions may be sold by the Department of Finance in a tax lien sale.  The purchaser of tax liens will utilize a lien servicing company to collect these tax liens.  Section 11-322 of the Administrative Code of the City of New York authorizes and section 40-03 of Title 19 of the Rules of the City of New York sets forth the rules relating to installment agreements with the Department of Finance that allow for  installment payments of any delinquent real property taxes or any charges that are made a lien on real property under Chapter 3 of Title 11 of the Administrative Code, excluding any delinquent sewer rents, sewer surcharges and water rents that are collected by the New York City Water Board.  The current rule contains a list of extenuating circumstances which allow the property owner or other eligible person to enter into a new installment agreement after defaulting on a previous installment agreement.

This rule expands the list of extenuating circumstances to include a property owner or other eligible person who is actively enrolled (enrolled and up-to-date with payments) in the New York City Department of Environmental Protection’s water debt assistance program. The effective date of this rule shall be February 1, 2017 so that this additional extenuating circumstance applies to the 2017 tax lien sale.

Effective Date: 
Mon, 06/19/2017

Adopted Rules: Closed to Comments

Adopted Rules Content: 

Statement of Basis and Purpose

  

Section 11-322(b) of the Administrative Code of the City of New York authorizes owners of real property to enter into agreements with the New York City Department of Finance and the New York City Department of Environmental Protection for the payment in installments of delinquent real property taxes and other property-related charges, including water and sewer charges, that are liens on the property. The law further requires that the proposed sale of tax liens on a property be cancelled when such an installment agreement has been executed for the property.

 

Local Law 147 of 2013 amended section 11-322(b) to allow, in addition to property owners, other eligible persons to enter into installment agreements which would prevent the sale of tax liens on real property. The local law also requires the Department of Finance and Department of Environmental Protection to promulgate, no later than June 1, 2014, rules governing the eligibility of a property owner or other eligible person acting on behalf of the owner to enter into installment agreements.  Specifically, the local law provides that “other eligible person” must include a fiduciary, and directs any rules defining “other eligible person” to include the means by which a beneficiary of real property for which an installment agreement is sought may meet the definition.

 

These amendments to the Rules Relating to the Sale of Tax Liens carry out the requirements of section 11-322(b) as amended by Local Law 147 by:

    • amending references in the rules to property owners who may enter into installment agreements, by adding references to other eligible persons who may enter into such installment agreements
    • adding to the rules a definition of the “other eligible person” who can enter into an installment agreement, which includes (1) a fiduciary (a) administering the property of an estate of a decedent who owned the real property for which an installment agreement is sought, or (b) acting on behalf of a beneficiary of such real property from such estate, and (2) such estate beneficiary; and
    • listing the documentation required to verify the eligibility of fiduciaries and estate beneficiaries to enter into installment agreements.

 The Department of Finance’s authority for these rules is found in New York City Administrative Code §11-322(b) and New York City Charter §§ 1043 and 1504.

 New material is underlined.

 

[Deleted material is in brackets.]

 

“Shall” and “must” denote mandatory requirements and may be used interchangeably in the rules of this department unless otherwise specified or unless the context clearly indicates otherwise.

Effective Date: 
Thu, 07/10/2014

Proposed Rules: Closed to Comments (View Public Comments Received:1)

Agency:
Comment By: 
Tuesday, July 8, 2014
Proposed Rules Content: 

 

Statement of Basis and Purpose of Proposed Rule Amendment

Section 11-322(b) of the Administrative Code of the City of New York authorizes owners of real property to enter into agreements with the New York City Department of Finance and the New York City Department of Environmental Protection for the payment in installments of delinquent real property taxes and other property-related charges, including water and sewer charges, that are liens on the property. The law further requires that the proposed sale of tax liens on a property be cancelled when such an installment agreement has been executed for the property.

Local Law 147 of 2013 amended section 11-322(b) to allow, in addition to property owners, other eligible persons to enter into installment agreements which would prevent the sale of tax liens on real property. The local law also requires the Department of Finance and Department of Environmental Protection to promulgate, no later than June 1, 2014, rules governing the eligibility of a property owner or other eligible person acting on behalf of the owner to enter into installment agreements. Specifically, the local law provides that “other eligible person” must include a fiduciary, and directs any rules defining “other eligible person” to include the means by which a beneficiary of real property for which an installment agreement is sought may meet the definition.

These proposed amendments to the Rules Relating to the Sale of Tax Liens carry out the requirements of section 11-322(b) as amended by Local Law 147 by:

  • amending references in the rules to property owners who may enter into installment agreements, by adding references to other eligible persons who may enter into such installment agreements;
  • adding to the rules a definition of the “other eligible person” who can enter into an installment agreement, which includes (1) a fiduciary (a) administering the property of an estate of a decedent who owned the real property for which an installment agreement is sought, or (b) acting on behalf of a beneficiary of such real property from such estate, and (2) such estate beneficiary; and
  • listing the documentation required to verify the eligibility of fiduciaries and estate beneficiaries to enter into installment agreements.

The Department of Finance’s authority for these rules is found in New York City Administrative Code §11-322(b) and New York City Charter §§ 1043 and 1504.


Subject: 

Proposed Amendments to Tax Lien Sale Installment Agreements

Location: 
NYC Department of Finance
345 Adams Street 3rd Floor
Brooklyn, NY 11201
Contact: 

Timothy LaRose, Legal Affairs Division
345 Adams Street, 3rd Floor, Brooklyn, New York 11201
laroset@finance.nyc.gov

Download Copy of Proposed Rule (.pdf): 

Proposed Rules: Closed to Comments

Agency:
Comment By: 
Monday, August 22, 2011
Proposed Rules Content: 



 Click here (.pdf) for the complete text of the proposed rule.