NYSLTA News

Title Insurance: Protecting Your Piece of the Planet

Changes to Emergency Repair Searches

BY David J. Carroll
Chair, NYSLTA Municipal Liaison Committee

The Emergency Repair Search has, for the past two decades, consisted of two parts. The first, known as the Work In Progress portion and the second, the Recoupment portion. Now, a proper search for emergency repair charges should encompass four separate areas.

The Work In Progress portion is where an emergency repair work order originates. When a routine inspection or an inspection triggered by a complaint is completed and hazardous conditions exist on a property, a work order may be issued. A notice of this work order is sent to the property owner stating a period of time in which the hazardous conditions must be corrected or the city will take it upon itself to rectify them.

The Recoupment portion lists a total dollar figure owed to the Housing Preservation & Development (HPD) for emergency repair work that was done by either HPD or a contractor hired by HPD. Previously, the dollar amount was posted, in the Recoupment Unit of HPD, after a contractor had been paid and administrative costs added.

The third and fourth areas of HPD that now need to be searched are the Demolition/Seal-up area and the Relocation area. These two units are now providing us with information about possible HPD charges that had previously caused continual headaches and claims to agents and underwriters. Our search indicates the possibility of pending charges as a result of demolition or seal-up and or possible pending charges related to the relocation of tenants. A complete and accurate search must reflect any and all information within these four areas of HPD. Carroll & Co. has been searching and has incorporated this information into our Emergency Repair Search

A payoff letter must still be obtained in order to determine the accurate amount currently owed to the HPD Recoupment Unit.

It is our opinion that providing this information does not eliminate the responsibility of HPD to properly index this information in a public record as required by the administrative code.

If you have any questions, please contact our office. This memo and earlier memos are on our website at www.sjcarroll.com

Please e-mail David J. Carroll at david@sjcarroll.com