2023 New York Laws › SOS - Social Services › Article 5 - Assistance and Care › Title 1 - General Provisions › 143-C - Avoidance of Abuses in Connection With Rent Security Deposits.

§  143-c.  Avoidance  of  abuses  in  connection  with  rent  security
deposits.  1. Whenever a landlord requires that he  be  secured  against
non-payment  of  rent or for damages as a condition to renting a housing
accommodation to a  recipient  of  public  assistance,  a  local  social
services  official  may  in  accordance  with  the  regulations  of  the
department secure the landlord by either of the following means  at  the
option of the local social services official:
(a)  By means of an appropriate agreement between the landlord and the
social services official, or
(b) By depositing money in an escrow account, not under the control of
the landlord or his agent, subject to the terms  and  conditions  of  an
agreement  between the landlord and the social services official in such
form as the department may require or approve  provided,  however,  that
this  option  shall  not be used in instances where recipients reside in
public housing.
2. Except as expressly provided in subdivision three of this  section,
it shall be against the public policy of the state for a social services
official  to  pay  money  to a landlord to be held as a security deposit
against the non-payment of rent or for damages by  a  public  assistance
recipient,  or  to  issue  a  grant  to a recipient of public assistance
therefor.
3. When, however, in  the  judgment  of  a  social  services  official
housing  accommodations  available in a particular area are insufficient
to properly accommodate recipients  of  public  assistance  in  need  of
housing, and in order to secure such housing it is essential that he pay
money  to  landlords  to  be  held  as  security  deposits  against  the
non-payment of rent or for damages by public assistance  recipients,  or
to issue grants to recipients of public assistance therefor, such social
services  official  may  pay or furnish funds for such security deposits
until sufficient housing accommodations are available in the  particular
area  to properly accommodate recipients of public assistance in need of
housing. Social services officials shall not pay or furnish  such  funds
in  instances  where  recipients  reside  in public housing.   Landlords
receiving such security deposits shall comply  with  the  provisions  of
article  seven  of  the  general  obligations  law.  Such  cash security
deposits shall be subject to assignment to  the  local  social  services
official  by  the  recipients  of  public assistance or care. Any social
services official paying or furnishing funds for  security  deposits  in
accordance  with  the provisions of this subdivision shall make diligent
effort to recover such payments or funds from a  recipient  landlord  as
allowed by law.
4.  This  section  shall apply to federally-aided categories of public
assistance except to the extent prohibited by  applicable  federal  laws
and regulations.
5.  This  section  shall  apply to recipients of supplemental security
income benefits or additional state  payments,  as  defined  in  section
three  hundred  of  this  chapter,  and  such  persons  shall  be deemed
recipients of public assistance for the purposes of this section.