2023 New York Laws › PVH - Private Housing Finance › Article 16 - Neighborhood Preservation Companies › 904 - Payments to Neighborhood Preservation Companies for Neighborhood Preservation Activities.

§   904.   Payments   to   neighborhood   preservation  companies  for
neighborhood preservation activities. 1. Each contract entered into with
a neighborhood preservation company shall provide  for  payment  to  the
neighborhood   preservation   company   for   neighborhood  preservation
activities to be performed by it.
2. Payment to neighborhood preservation  companies  pursuant  to  this
article shall be restricted to sums required for the payment of salaries
and  wages  to  employees of such companies who are engaged in rendering
neighborhood  preservation   activities,   fees   to   consultants   and
professionals   retained  by  them  for  planning  and  performing  such
activities and  other  costs  and  expenses  directly  related  to  such
employees, consultants and professionals.
3.  In  no  event shall any contract or payment be made, nor shall any
payments be used, to defray  the  costs  of  the  construction,  repair,
renovation,  rehabilitation, operation, demolition, clearance or sealing
of any building or other structure, except that such funds may  be  used
for   planning   any   such  activity  and  for  renovating,  repairing,
furnishing, equipping and operating an office facility  to  be  used  in
connection  with  the conduct of neighborhood preservation activities by
the neighborhood preservation company. Payments shall  be  made  by  the
division  to  the neighborhood preservation company, not less frequently
than semi-annually, at or prior to the commencement of  each  such  time
period,  to  compensate  such  company for the neighborhood preservation
activities which it shall  undertake  to  perform  provided,  that  with
respect  to  contracts entered into on or after June thirtieth, nineteen
hundred ninety-seven the  first  such  payment  shall  be  made  by  the
division  beginning  on or after July first of the fiscal year for which
an appropriation in support  of  such  payment  was  made  and  provided
further  that  the  final  such payment to the neighborhood preservation
company shall be made no later than March thirty-first  of  such  fiscal
year,  unless  such  payment  has  been withheld pursuant to subdivision
eight of section nine hundred three of this article.
4. In negotiating each contract, the division shall consider and  take
into  account any and all other sums available or anticipated to be made
available to the neighborhood preservation  company  from  any  and  all
sources  which  may  be  used  to  defray  the costs of the neighborhood
preservation activities set forth in the  contract,  including,  without
limitation,  fees generated by the management of housing accommodations,
contributions  from  private  foundations,   corporations,   firms   and
individuals  and  funds  received under grants and contracts pursuant to
any program or programs operated or  administered  by  any  governmental
agency  or  instrumentality and shall make a determination that the sums
available or anticipated to  be  made  available  for  the  neighborhood
preservation company from such other sources, together with the value of
services to be rendered for the benefit of the neighborhood preservation
company  for  which  payment is not required to be made by such company,
amount to at least thirty-three and one-third percent of the  amount  of
such contract.
5.  When disbursing funds for contracts with neighborhood preservation
companies, pursuant to section nine hundred three of this  article,  the
division  shall  use  the  following  criteria,  formulas  and tables to
determine the distribution of funds:
(a)(i) The total unmerged company  funding  shall  equal  the  current
number of unmerged company contracts multiplied by the per group award.
(ii) The unmerged company funding shall equal the per group award.
(iii)  The merged company funding shall equal the funding modification
multiplied by the per group award.
(b) Merged company funding shall be determined on an individual  basis
for  each  neighborhood  preservation company. The following tables show
the funding modification to be used:
(i) In the case of two companies merging, the following table shall be
used:
Years since    Funding
merger         modification
1              200%
2              190%
3              180%
4              170%
5              160%
6              150%
(ii) In the case of three companies merging, the following table shall
be used:
Years since    Funding
merger         modification
1              300%
2              290%
3              280%
4              270%
5              260%
6              250%
7              240%
8              230%
9              220%
10             210%
11             200%
(iii)  In  the  case  of four or more companies merging, the following
table shall be used:
Years since      Funding
merger       modification
1              400%
2              390%
3              380%
4              370%
5              360%
6              350%
7              340%
8              330%
9              320%
10              310%
11              300%
12              290%
13              280%
14              270%
15              260%
16              250%
(c) If a neighborhood preservation company that has undergone a merger
continues to renew their contract beyond the timeframes  listed  in  the
above  tables,  it  shall  have  its  funding  determined using the last
funding modification listed.
(d) The merged company savings shall be determined  on  an  individual
basis for each merged company. It shall be calculated by subtracting the
amount  of  such  company's  merged  company funding from the amount the
merged companies would have received if  they  had  maintained  separate
contracts.
(e)  The per group award shall equal the total funding available minus
the  amount  for  the  contract  with  the   neighborhood   preservation
coalition, which shall equal the total unmerged company funding plus the
sum  of  the  merged  company funding plus the sum of the merged company
savings.