2023 New York Laws › PVH - Private Housing Finance › Article 2 - Limited-Profit Housing Companies › 32-A - Additional Supervision and Regulation.

§ 32-a. Additional supervision and regulation. The commissioner or the
  supervising agency, as the case may be, shall:
1. Promulgate   regulations   providing   for   recognition   of  duly
  constituted tenants' associations and cooperators' advisory councils  by
  the  commissioner  or  supervising  agency,  as  the  case  may  be, and
  providing that a housing company shall meet  on  a  regular  basis  with
  representatives  of  such  an  association  or  council  at the specific
  project involved to discuss matters relating  to  the  project.  A  duly
  constituted  cooperators'  advisory council shall only be such a council
  in a mutual company  project  prior  to  the  election  of  a  board  of
  directors by the tenant-cooperators.
2.  Require  every  company  to  file  with  him,  her or it an annual
  operating budget for each individual project in the manner prescribed by
  the commissioner or supervising agency.
3. Require every company to file with him, her or  it  semi-annual  or
  quarterly  financial  statements and an annual financial statement. Each
  annual financial statement shall be accompanied by a certificate of  the
  company's   independent  certified  public  accountant.  Such  financial
  statements shall be filed at the times and in the manner  prescribed  by
  the commissioner or supervising agency.
4.  Afford  tenants  access to and an opportunity to acquire copies of
  all operating budgets or financial statements respecting the project  in
  which  such  tenants  reside,  to  the  extent  that  such  budgets  and
  statements are required by  law  to  be  kept  by  the  commissioner  or
  supervising agency.
5.  Permit  any  tenant,  duly  constituted tenants' association, duly
  constituted cooperators' advisory council  or  his,  hers  or  its  duly
  authorized  representative to audit the books of the company and to have
  access during normal business hours to the financial records upon  which
  the company's financial statements are based.
6.  Promulgate  regulations  relating  to  managing  agents, including
  criteria for the eligibility  for  selection  and  the  compensation  of
  managing  agents  by  companies organized pursuant to this article. Such
  regulations shall provide, among other things, that any contract with  a
  managing  agent  entered  into  after  September first, nineteen hundred
  seventy-seven shall be terminable for cause  and  shall  be  terminable,
  with  or  without cause, at least every twelve months after commencement
  of the term thereof, and that promptly  upon  termination  the  managing
  agent  shall  turn  over to the company all project records, rent rolls,
  bills, cancelled checks, bank statements and other papers owned by  such
  company.
7.  Require  that  every  company file with him, her or it, within six
  months  of  the  effective  date  of   regulations   implementing   this
  subdivision   and   in  such  format  as  shall  be  prescribed  by  the
  commissioner or the supervising agency after consultation with the state
  energy  office,  an  energy  audit  report  which  identifies  potential
  energy-saving     building    improvements,    including    alterations,
  modifications  and  adjustments  to  the  building  structure,  heating,
  cooling,   lighting  and  ventilation  systems;  their  relative  costs;
  potential energy and cost savings; and simple payback periods, which for
  the purpose of this subdivision shall mean that period  of  time  within
  which  the estimated cost of such improvements, exclusive of the cost of
  capital, would be recovered from the savings generated by reduced energy
  consumption resulting from the improvements. The energy audit  shall  be
  conducted  by a public utility, an engineer or architect licensed by the
  state, or the managing agent or other representative of the  company  if
  such individual has attended an energy audit training workshop sponsored
  by  the  commissioner  or  the state energy office. A copy of the energy

  audit report, required herein, shall be given to  any  duly  constituted
  tenant's  association  or cooperator's advisory council and a copy shall
  be available for inspection and copying by  any  individual  tenant  who
  requests  it.  The commissioner or supervising agency shall also require
  that every company  certify  by  March  thirty-first,  nineteen  hundred
  eighty-four  that all compatible conservation measures identified in the
  energy audit report which have simple payback periods  of  one  year  or
  less  have  been  implemented; provided, however, if the commissioner or
  supervising agency determines within sixty days of the date  the  energy
  audit  report  is filed that one or more of such identified conservation
  measures cannot be implemented by March thirty-first,  nineteen  hundred
  eighty-four,   given  the  projected  rent  revenues  and  other  monies
  available to the company from reserve funds, loans or  grants  from  the
  state  or  federal government or any other source, the implementation of
  such conservation measures shall be provided for according to a schedule
  prescribed by the commissioner or supervising agency.
8. Every tenant or resident, or a person acting on behalf of a  tenant
  or  resident,  shall  be  permitted  to copy, by photographic means, any
  document within the scope of this section pertaining to the  project  in
  which  such  tenant  or resident resides. A reasonable fee, subject to a
  maximum therefor prescribed in regulations,  may  be  charged  for  such
  copies.
* 9.  Require  that  within  ten  days of the filing of any reports or
  financial statements with the commissioner or  supervising  agency,  the
  housing  company  shall  transmit  a  copy  of  said report or financial
  statement to a duly constituted resident  board  of  directors,  and  if
  there  be none, to a cooperator's advisory council or a duly constituted
  tenants association representing the project concerned.  Where  no  such
  council  or  association  exists  in a project, a notice shall be posted
  informing the residents of the location on the premises of  the  project
  where  a  copy  of  said  report or financial statement is available for
  inspection. The notice shall be posted within ten days of filing,  in  a
  prominent place on the premises of the project concerned.
* NB There are 2 sb 9's
* 9.  Promulgate regulations to require each tenant use their dwelling
  unit as their primary residence to maintain  their  right  of  continued
  occupancy or be subject to eviction in a court of competent jurisdiction
  by a mutual housing company.
* NB There are 2 sb 9's
10.  Require  every  voting member of a board of directors of a mutual
  company subject to the provisions of this article, elected or  appointed
  for a term beginning on or after the effective date of this subdivision,
  to  complete, within the first year of his or her term and at least once
  every three years thereafter, a minimum of two  hours  of  training,  in
  person  or  virtually, as the commissioner or supervising agency, as the
  case  may  be,  may  deem  appropriate  on  the   financial   oversight,
  accountability  and fiduciary responsibilities of a board member; and to
  require every voting member of a board of directors of a mutual  company
  subject  to  the  provisions of this article, elected or appointed for a
  term beginning  before  the  effective  date  of  this  subdivision,  to
  complete  such  training  within  one year of the effective date of this
  subdivision and at least once every three years thereafter.
11. Require every voting member of a board of directors  of  a  mutual
  company  subject to the provisions of this article, elected or appointed
  for a term beginning on or after the effective date of this subdivision,
  to complete, within the first year of his or her term and at least  once
  every  three  years  thereafter, in addition to the training required by
  subdivision ten of  this  section,  a  training  course,  in  person  or

  virtually,  as  the  commissioner or supervising agency, as the case be,
  may deem appropriate, to acquaint him or her with the powers,  functions
  and  duties  of  a board of directors of a mutual company subject to the
  provisions  of  this  article, as well as the powers and duties of other
  governing and administrative authorities affecting such  companies;  and
  to  require  every  voting  member  of  a board of directors of a mutual
  company subject to the provisions of this article, elected or  appointed
  for  a  term beginning before the effective date of this subdivision, to
  complete such training within one year of the  effective  date  of  this
  subdivision and at least once every three years thereafter.
12.  Require  each  member of a board of directors of a mutual company
  subject to the provisions of this article to demonstrate compliance with
  the requirements set forth  in  subdivisions  ten  and  eleven  of  this
  section  by filing a certificate of completion of such course or courses
  on a form to be promulgated by the  commissioner.  Such  form  shall  be
  filed  with  the  secretary  of the mutual company and maintained by the
  secretary  as  a  corporate  record  and  distributed  annually  to  the
  shareholders and upon the filing of any director with the mutual company
  of  the  intention to seek re-election to the position. Sixty days prior
  to any scheduled election of members of  the  board  of  directors,  the
  secretary  of  the  mutual company shall furnish the commissioner or the
  supervising authority, as the case may be, with a list of all  incumbent
  directors  indicating  which  individuals  have  submitted  certificates
  required in this subdivision. Such course or courses shall  be  provided
  by  the  commissioner  or  supervising agency, as the case may be, at no
  cost to the trainee or the board to which the trainee has been elected.
13. Develop the curricula used for training required  by  subdivisions
  ten  and  eleven of this section for which the supervising agency or the
  commissioner  may  request  and  shall  receive  the   cooperation   and
  assistance from any departments, divisions, boards, bureaus, commissions
  or   agencies  of  the  state  and  political  subdivisions  thereof  in
  developing such curricula. These curricula may be offered together as  a
  single  course  or separately. The training required by this section may
  be offered by providers approved  by  the  commissioner  or  supervising
  agency,  as  the  case  may  be.  In approving other providers for these
  trainings, the commissioner  or  supervising  agency  shall  consider  a
  potential  provider's  understanding of cooperative homeownership; laws,
  rules  and  regulations  affecting  mutual  companies  subject  to   the
  provisions  of  this  article; and the fiduciary responsibilities of the
  board of a residential cooperative, as well as  the  experience  of  the
  provider in delivering such training.
14.  Hold  such  meeting  or  meetings,  in person or virtually as the
  commissioner or supervisory agency  shall  deem  appropriate,  with  the
  board of a mutual company on the financial oversight, accountability and
  fiduciary  responsibilities  of  such  board;  the powers, functions and
  duties of such board; and the powers and duties of other  governing  and
  administrative authorities affecting such company.