New York 2025-2026 Regular Session

New York Assembly Bill A09353

Introduced
12/19/25  
Refer
12/19/25  

Caption

Removes provisions of law where a tax district has sold or conveyed a tax-foreclosed property to a land bank, a housing development agency or another public entity and the sale or conveyance was not the result or a public sale.

Impact

The primary impact of A09353 is the alteration of how surplus funds from tax-foreclosed property sales are calculated and distributed. By amending Section 1196 of the real property tax law, the bill empowers enforcing officers to determine the existence of surplus funds within a specified timeframe and mandates a structured approach for reporting these findings to the court. This can enhance transparency and accountability in the management of tax-foreclosed properties and the handling of surplus funds, potentially leading to increased funds available for public use.

Summary

Bill A09353 amends the real property tax law in New York, specifically concerning the handling of surplus funds after the sale of tax-foreclosed properties. The bill removes existing provisions that stipulate that when a tax district sells or conveys a tax-foreclosed property to a land bank, housing development agency, or another public entity without a public sale, no surplus shall be payable. This legislative change aims at clarifying how surpluses should be determined following such sales, focusing on public auctions and the circumstances under which surplus payments may be applicable.

Contention

One notable point of contention is likely to arise from the section that previously allowed for no surplus payments if specific conditions regarding public auctions are met. Opponents of the changes may argue that this amendment could allow for less favorable treatment of former property owners, especially in cases where properties are conveyed without a competitive public auction. The balance between ensuring that local governments can effectively manage tax-foreclosed properties while safeguarding the rights and interests of former owners is a critical area of debate.

Final_notes

Overall, A09353 reflects an effort to streamline the processes involved in managing tax-foreclosed properties and their associated surplus funds. The impact on state laws revolves around the clarification of responsibilities for enforcing officers and the judicial accountability regarding surplus determination, which may lead to broader implications for real estate and public resource management in the state.

Companion Bills

No companion bills found.

Previously Filed As

NY HB05979

An Act Exempting Conveyances And Sales Or Transfers Of Controlling Interest To Public Housing Authorities From The Real Estate Conveyance Tax And The Controlling Interest Transfer Tax.

NY S07647

Enacts the "deed theft: proof of sale price act" requiring a statement of the full sales price of real property being conveyed and proof of such sales price to be submitted to the recording officer in order for such officer to record or accept for recording the conveyance of real property.

NY A10173

Enacts the "deed theft: proof of sale price act" requiring a statement of the full sales price of real property being conveyed and proof of such sales price to be submitted to the recording officer in order for such officer to record or accept for recording the conveyance of real property.

NY A09116

Relates to the collection of monies owed for unpaid real property tax liens and water and sewer charges; establishes the homeowner protection fund; prohibits municipalities from conveying tax liens on real property to any private entity, trust, or third-party servicer; repeals certain provisions relating to foreclosure of real property tax liens.

NY A09554

Enacts the "deed protection act" in relation to prohibiting a mortgage banker or mortgage loan servicer from commencing, maintaining, or proceeding with a foreclosure action on a mortgage loan where such mortgage banker or mortgage loan servicer knows or has reason to know that the mortgage securing such loan is dependent on a deed, conveyance, or other instrument affecting title to residential real property that was procured by fraud, forgery, or other unlawful means.

NY S09309

Enacts the "deed protection act" in relation to prohibiting a mortgage banker or mortgage loan servicer from commencing, maintaining, or proceeding with a foreclosure action on a mortgage loan where such mortgage banker or mortgage loan servicer knows or has reason to know that the mortgage securing such loan is dependent on a deed, conveyance, or other instrument affecting title to residential real property that was procured by fraud, forgery, or other unlawful means.

NY LB458

Change provisions relating to tax sale certificates, real property sold for delinquent taxes, certain tax-related foreclosure actions, and land banks and adopt the Permitting Approval Timeliness Act and the By-Right Housing Development Act

NY LB650

Adopt the Community Development Assistance Act and change provisions relating to land banks, property tax exemptions, real property sold for delinquent taxes, sales tax provisions, and certain tax credits

NY A11249

Repeals certain provisions of law relating to the use of tax funds collected by the county of Orange, which permits Orange county to distribute all of its sales and compensating use taxes to the municipalities thereof.

NY S10188

Repeals certain provisions of law relating to the use of tax funds collected by the county of Orange, which permits Orange county to distribute all of its sales and compensating use taxes to the municipalities thereof.

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