A Local Law to amend the administrative code of the city of New York, in relation to reporting regarding unresolved tax liens, and to repeal and replace section 11-356 of such code, relating to a temporary task force on tax liens

This local law, Int. No. 1419-A, significantly amends the administrative code of New York City by repealing and replacing Section 11-356 to enhance reporting and transparency regarding unresolved tax liens. It defines an "unresolved tax lien" as one that remains unsatisfied for 36 months or more after its sale by the city.

Key Provisions:

• Annual Reporting: The Commissioner of Finance (DOF) must submit an annual report to the City Council by September 30 each year, detailing properties with unresolved tax liens from the prior fiscal year.
• Comprehensive Data: This report will include extensive information such as property type, tax class, building class, community district, the lien's status over time, outstanding debt, and the reasons for the lien remaining unresolved (e.g., probate issues, protracted litigation, bankruptcy, title issues, court delays). It will also track the number of inspections and violations issued by various inspection agencies (including DOB, FDNY, HPD, Sanitation, DEP) for these properties.
• Public Transparency: A public version of this report, excluding specific borough-block-lot numbers but using unique property identifiers, will be posted on the DOF website annually by September 30.
• Inter-agency Coordination: DOF is required to provide a list of these properties to relevant inspection agencies by September 30 annually, and these agencies shall provide necessary data to DOF for report generation.

This bill is a result of recommendations from the 2024 temporary task force on tax liens, aiming to address "graveyard trust" properties that are often effectively abandoned and accumulate violations. The legislation is anticipated to have no impact on City revenues or expenditures, as the Department of Finance is expected to fulfill its requirements using existing resources. It passed the Finance Committee by a vote of 15-0.

This law increases transparency and accountability regarding properties with long-standing unresolved tax liens, which can often be neglected or abandoned. Residents will benefit from public reporting on these properties, potentially leading to quicker resolution of issues like housing code violations and a more proactive approach to returning properties to productive use within communities.

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