2023 New York Laws › RPT - Real Property Tax › Article 11 - Procedures for Enforcement of Collection of Delinquent Taxes › Title 5 - Sales of Delinquent Tax Liens › 1192 - Additional Powers of Tax Districts in Connection With the Sale of Delinquent Tax Liens.

§ 1192. Additional powers of tax districts in connection with the sale
  of  delinquent  tax liens. 1. Notwithstanding any general or special law
  to the contrary, a contract for  the  sale  of  tax  liens  from  a  tax
  district  to the bond bank or its tax lien entity shall, consistent with
  the provisions  of  title  eighteen  of  article  eight  of  the  public
  authorities  law,  contain  such terms, provisions and conditions as, in
  the judgment of the tax district shall be necessary or  desirable.  Each
  such  contract  shall  specify  the amount to be made available to a tax
  district from the proceeds  of  an  issue  of  tax  lien  collateralized
  securities, which amount may be more or less than the face amount of the
  tax  liens  sold  to the bond bank or its tax lien entity, and any other
  amounts which may be made available to the tax district on a  contingent
  basis  under  the  terms of the contract. In addition, each contract may
  require such tax district, subject to appropriation by  the  appropriate
  legislative  body  of  such  tax  district,  to  make provisions for the
  payment of such other fees, charges, costs and other amounts as the  tax
  district shall in its judgment determine to be necessary or desirable.
2.  Any  contract  entered  into  pursuant  to subdivision one of this
  section shall provide that the obligation of the tax district  executing
  such  contract to fund or pay the amounts therein provided for shall not
  constitute a debt of  such  tax  district  within  the  meaning  of  any
  constitutional or statutory provision and shall be deemed executory only
  to  the  extent  of  moneys  available  and  that  no liability shall be
  incurred by such tax district  beyond  the  moneys  available  for  such
  purpose, and that any such payment obligation of such tax district other
  than the timely payment of any moneys collected and due to the bond bank
  or  its tax lien entity as a result of the redemption of tax liens which
  are the subject of such contract, is subject  to  appropriation  by  the
  appropriate legislative body of such tax district.
3.  A  tax district may sell, and contract to sell, tax liens, and all
  or part of any other amounts which may be  made  available  to  the  tax
  district  on a contingent basis under the terms of the purchase and sale
  agreement, to the bond bank or its tax lien  entity  at  such  price  or
  prices,  upon  such  terms and conditions and in such manner, as the tax
  district shall deem advisable. A tax district may also sell, or contract
  to sell, real property acquired by the tax district pursuant to any  tax
  enforcement  proceeding and not yet disposed of by such tax district, to
  the bond bank or its tax lien entity in  connection  with  the  sale  or
  proposed sale of tax liens to the bond bank or its tax lien entity.
4.  As  a  condition  of sale of tax liens to the bond bank or its tax
  lien entity, each tax district shall  agree  (a)  to  promptly  pay,  as
  directed  by  the bond bank, any moneys collected by the tax district in
  connection with the redemption and cancellation of such tax  liens,  (b)
  to  pay, subject to appropriation by the appropriate legislative body of
  such tax district, any amounts due and owing to the bond bank or its tax
  lien entity as a result of the sale of such tax liens, (c) to make  such
  covenants, representations, and warranties with respect to the tax liens
  sold as required to effectuate the sale of such tax liens and facilitate
  the  marketing  of tax lien collateralized securities issued by the bond
  bank or its tax lien entity and (d) to accept a note or other instrument
  issued by the  bond  bank  or  its  tax  lien  entity  to  evidence  any
  contingent amounts payable under the terms of the contract.
5.  In  connection  with the sale or proposed sale of tax liens to the
  bond bank or its tax lien entity, a tax  district  may,  notwithstanding
  the  provisions  of  any general or special law to the contrary, pay (a)
  such fixed or annual charges as may be prescribed from time to  time  by
  the  bond  bank  for or with respect to the purchase by the bond bank or
  its tax lien entity of the tax liens of such tax district, and  (b)  all

  charges  or expenses necessary for the conversion or reconversion of any
  of its tax liens into such form as may be required by the bond  bank  in
  connection with any sale or other disposition of such tax liens.
6.  A  contract to sell tax liens pursuant to this section may require
  the  tax  district  to  repurchase  a  delinquent  tax  lien  under  the
  conditions  specified  therein.  If  a  delinquent  tax  lien  should be
  repurchased by the  tax  district,  the  tax  district  may  resume  the
  enforcement   of  the  delinquent  tax  lien  pursuant  to  the  locally
  applicable procedures.