New Castle |
Code of Ordinances |
Part II. General Legislation |
Chapter 63. Energize NY Open C-Pace Financing Program |
§ 63-8. Levy of annual installment amount and creation of annual installment lien.
Latest version.
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A.Upon the making of the loan pursuant to the finance agreement, the secured amount shall become a special benefit assessment lien on the benefited property in favor of the Town of New Castle. The amount of the benefit assessment lien shall be the secured amount Evidence of the benefit assessment lien shall be recorded by EIC, on behalf of the Town of New Castle, in the land records for properties in the Town of New Castle. Such recording shall be exempt from any charge, mortgage recording tax or other fee in the same manner as if recorded by the Town of New Castle. The benefit assessment lien shall not be foreclosed upon by or otherwise enforced by the Town of New Castle.B.The finance agreement shall provide for the repayment of the secured amount in installments made at least annually, as provided in a schedule attached to the benefit assessment lien (the "annual installment amount"). The annual installment amount shall be levied by EIC, on behalf of the Town of New Castle, on the benefited property in the same manner as other levies for municipal charges, shall become a lien on the benefited property as of the first day of January of the fiscal year for which levied (the "annual installment lien") and shall remain a lien until paid. The creation or any recording of the annual installment lien shall be exempt from any charge, mortgage recording tax or other fee in the same manner as if recorded by the Town of New Castle. Payment to the financing party shall be considered payment for this purpose. Such payment shall partly or wholly discharge the annual installment lien. Delinquent annual installment amounts may accrue financing charges as may be provided in the finance agreement. Any additional financing charges imposed by the financing party pursuant to the finance agreement shall increase the annual installment amount and the annual installment lien for the year in which such overdue payments were first due.C.The benefit assessment lien shall be reduced annually by the amount of each annual installment lien when each annual installment lien becomes a lien. Each annual installment lien shall be subordinate to all Municipal Liens, whether created by Section 902 of the RPTL or by any other state or local law. No portion of a secured amount shall be recovered by the Town of New Castle, EIC or an assignee upon foreclosure, sale or other disposition of the benefited property unless and until all municipal liens are fully discharged. Each annual installment lien, however, shall have priority over all nonmunicipal liens, irrespective of when created, except as otherwise required by law.D.Neither the benefit assessment lien nor any annual installment lien shall be extinguished or accelerated in the event of a default or bankruptcy of the benefited property owner. Each annual installment amount shall be considered a charge upon the benefited property and shall be collected by EIC, on behalf of the Town of New Castle, at the same time and in the same manner as real property taxes or municipal charges. Each annual installment lien shall remain a lien until paid. Amounts collected in respect of an annual installment lien shall be remitted to EIC, on behalf of the Town of New Castle, or the financing party, as may be provided in the finance agreement.E.EIC shall act as the Town of New Castle's agent in collection of the annual installment amounts. If any benefited property owner fails to pay an annual installment amount, the financing party may redeem the benefited property by paying the amount of all unpaid municipal liens thereon, and thereafter shall have the right to collect any amounts in respect of an annual installment lien by foreclosure or any other remedy available at law. Any foreclosure shall not affect any subsequent annual installment liens.F.EIC, on behalf of the Town of New Castle, may sell or assign for consideration any and all benefit assessment liens and annual installment liens to financing parties that provide financing to qualified properties pursuant to finance agreements. The financing parties may sell or assign for consideration any and all benefit assessment liens and annual installment liens received from EIC, on behalf of the Town of New Castle, subject to certain conditions provided in the administration agreement between EIC and the financing party. The assignee or assignees of such benefit assessment liens and annual installment liens shall have and possess the same powers and rights at law or in equity as the Town of New Castle would have had if the benefit assessment lien and the annual installment liens had not been assigned with regard to the precedence and priority of such lien, the accrual of interest and the fees and expenses of collection.