New York Laws
Article 2 - Limited-Profit Housing Companies
12 - Definitions.

(a) "Dwellings". "Dwelling accommodations". A room or rooms, with or
without cooking facilities, arranged for occupancy as a self-contained
unit.
(b) "Non-housekeeping accommodations". A room or rooms, without
cooking facilities, and with or without board designed for the occupancy
of staff members, employees or students of a college, university or
hospital.
(c) "Aged care accommodations". Non-housekeeping accommodations for
aged persons with board and aged care service as may be provided as an
incident to occupancy, provided however, that no such service shall be
of such a nature, kind or quality as to require licensing by the state
department of health under article twenty-eight of the public health
law.
(d) "Accommodations for handicapped persons." Dwelling accommodations
designed for the occupancy of handicapped persons or non-housekeeping
accommodations designed for the occupancy of handicapped persons with
board and such service as may be provided as an incident to occupancy,
provided however, that no such service shall be of such a nature, kind
or quality as to make the facility subject to the jurisdiction of any
other agency of the state.
10. "Persons of low income" and "families of low income". Persons or
families who are in the low income groups and who cannot afford to pay
enough to cause private enterprise in their municipality to build a
sufficient supply of adequate, safe and sanitary dwellings,
non-housekeeping accommodations or aged care accommodations.
11. "Preliminary Costs". Project costs approved by the supervising
agency as appropriate expenditures which may be incurred prior to
commitment and initial advance of the proceeds of a mortgage loan under
this article, including but not limited to: (a) payments for options to
purchase properties on the proposed housing project site, deposits on
contracts of purchase, or with prior approval of the supervising agency,
payments for the purchase of such properties; (b) legal and
organizational expenses, including payment of attorneys' fees, project
manager and clerical staff salaries, office rent and other incidental
expenses; (c) payment of fees for preliminary feasibility studies and
advances for planning, engineering and architectural work; (d) expenses
for tenant surveys and market analyses; (e) necessary application and
other fees; and (f) such other expenses incurred by the limited-profit
housing company as the supervising agency may deem appropriate to
effectuate the purposes of this article.
12. "Municipally-aided non-profit company." A non-profit housing
company duly incorporated pursuant to the not-for-profit corporation law
and this article, which is aided by a municipal mortgage loan, a loan by
the New York city housing development corporation or tax exemption or
both and is not aided by any state mortgage loan or any mortgage loan by
the New York state housing finance agency or a mortgage loan insured by
the federal government made for the purpose of refinancing a mortgage
loan other than a municipal mortgage loan or a mortgage loan made by the
New York city housing development corporation.
13. "Municipally-aided mutual company." A mutual company which is
aided by a municipal mortgage loan, a loan by the New York city housing
development corporation or tax exemption or both and is not aided by any

state mortgage loan or any mortgage loan by the New York state housing
finance agency or a mortgage loan insured by the federal government made
for the purpose of refinancing a mortgage loan other than a municipal
mortgage loan or a mortgage loan made by the New York city housing
development corporation.
14. "Low income non-profit housing company." A non-profit housing
company duly incorporated pursuant to the not-for-profit corporation law
and this article, whose principal purpose is to provide housing for
persons of low income and families of low income and which is aided by a
state mortgage loan or mortgage loan by the New York state housing
finance agency or a municipal mortgage loan or municipal tax exemption,
or both, or a mortgage loan insured by the federal government.
15. "Residual indebtedness." Where a mortgage loan is refinanced
pursuant to section twenty-three-a or subdivision twenty-two-a of
section six hundred fifty-four of this chapter, residual indebtedness
shall be the indebtedness of a company due on the original mortgage
loan, including all unpaid principal and all interest accrued thereon,
less an amount equal to the principal amount, when made, of the mortgage
insured by the federal government in connection with the refinancing.
Such indebtedness shall be secured by a mortgage which may be
subordinate to the lien of any mortgage insured by the federal
government and may contain such terms and conditions not inconsistent
with this article as may be approved by the supervising agency and as
the supervising agency may deem necessary or desirable to secure the
repayment of such residual indebtedness. Residual indebtedness shall not
be restricted by the provisions of this article relating to project
cost.
16. "Residual receipts obligations". Where a mortgage loan is
refinanced pursuant to section twenty-three-a or subdivision
twenty-two-a of section six hundred fifty-four of this chapter, residual
receipts obligations shall mean the amount of any additional loan to a
company, and any amounts paid other than by the company, to establish
escrow accounts or reserves or to satisfy minimum property standards or
to install life safety devices for the issuance of mortgage insurance by
the federal government in connection with the refinancing. With the
approval of the supervising agency and the consent of the company,
residual receipts obligations may be evidenced by non-interest bearing
residual receipts notes. Residual receipts obligations shall be payable
only after the payment in full of all residual indebtedness. Residual
receipts obligations shall not be restricted by the provisions of this
article relating to project cost and shall not include any amounts
deposited under an agreement with the federal government for the sharing
of claims paid by the federal government on account of insurance of
mortgages.

Structure New York Laws