New York Laws
Article 2 - Limited-Profit Housing Companies
11-A - Additional Policy and Purposes of Article.

§ 11-a. Additional policy and purposes of article. 1. It is hereby
declared that the elimination of conditions causing a deterioration of
the quality of urban life in municipalities of the State and the
revitalization and improvement of the quality of urban life in such
municipalities through comprehensive programs and projects constituting
a total attack upon such conditions are the most critical problems
facing the municipalities, the state and the federal government, and are
vital to the health, well-being, safety and prosperity of the
inhabitants of the municipalities and the people of the state. Neither
the municipalities nor the state have adequate resources to undertake,
develop and operate the comprehensive programs and projects necessary
for the accomplishment of such purposes. The ordinary operations of
private enterprise cannot rectify such conditions or accomplish such
purposes. The elimination of such conditions and accomplishment of such
purposes require the participation and cooperation of the
municipalities, the State, the Federal government, private enterprise,
institutions of higher learning, community and civic groups, fraternal
and labor organizations, foundations, and all other responsible
components of the community.

2. Among the conditions causing such deterioration are: the residence
of large numbers of families, adults and children in slum ghettos;
insanitary and inadequate housing or other physical environment; a
severe shortage of decent healthful housing accommodations to meet the
needs of large numbers of families, adults and children; economic,
educational or community imbalance resulting from excessive migration of
economic or other groups to or from communities; depletion of job or
business opportunities because of migration of business and industry
from communities; and the existence of physical, social, and economic
blight and crime. Such conditions create and perpetuate slum ghettos,
blight and crime, cause a progressive deterioration of the quality of
urban life for all persons in the municipalities and the State, render
or tend to render the municipalities undesirable places in which to
live, work and raise families, impair the sound economic, cultural and
social growth of municipalities and communities thereof, break down the
ability of municipalities or communities thereof to grow, expand,
develop or continue as viable municipalities or communities, and
threaten the life, health, well-being, safety and prosperity of all
persons in municipalities and the people of the State.

2-a. It is hereby found that improvement of the physical environment
and revitalization of the quality of urban life in such municipalities
would be promoted by cooperative action by tenants who are persons or
families of low income to acquire ownership of their dwellings and to
operate them on a nonprofit basis; that such cooperative undertakings,
with their consequent pride and responsibility of ownership, would help
to stem the abandonment of deteriorating but structually sound
buildings, which contributes to a substantial loss of much needed
housing stock, and would lead to the stabilization and renewal of
deteriorating neighborhoods. It is found necessary, in order to assure
the feasibility of such cooperative undertakings, to make available to
such tenants long-term financing on a favorable basis and tax exemption
to enable them to purchase and maintain their dwellings at a reasonable
cost.

3. The rehabilitation or redevelopment of slum ghettos and other areas
into sound healthy balanced viable communities, the enhancement of the
physical environment, health, and social well-being of the inhabitants
and the expansion of their social and economic opportunity require among
other measures the attraction to the neighborhoods of varying economic
classes in addition to persons of low income and the availability

therein of a wide choice of housing from the standpoint of design and
amenities.

4. It is hereby further found that there are certain parts of
municipalities where conditions of blight are so extensive in area that,
notwithstanding a continued shortage of safe and sanitary dwelling
accommodations in the municipality for low and middle income families,
it is not economic for private enterprise to build limited profit
housing in such areas since it cannot supply proper housing at prices
within the economic reach of low-income families in such blighted areas
or attract tenants or buyers from other areas by offering rents and
prices which are competitive with rents and prices of housing in areas
of the municipality which are not blighted. It is found that there are
other locations in such municipalities where housing development is
desirable for sound community growth, but, similarly, where private
enterprise cannot build limited profit housing which is within the
economic reach of persons in the area who require such housing.

5. It is the purpose of this article to enable municipalities to
undertake projects directly or in combination with the Federal
government, private enterprise and any of the other responsible
components of the community, to accomplish the public purposes herein
described through the most effective and economical concentration and
coordination of Federal, State, local and private resources and efforts.

6. It is hereby further found and determined that the accomplishment
of the purposes herein described is a matter of public concern, a
governmental purpose, a city, town, and village purpose, and a public
purpose and a public use for the accomplishment of which (a) the money
and property of a city, town or village, may be given, loaned or
expended, (b) indebtedness may be contracted by a city, town or village,
and (c) eminent domain exercised by a city, town or village, as
hereinafter provided.

Structure New York Laws