The Suffolk County Department of Social Services (DSS) shall
undertake the following actions in seeking to collect payment or enforce
any obligation on any lien arising out of any payment to a recipient
of public assistance:
A. Computers shall be programmed by the DSS so that the names of grantors
on transfers of real estate located within the County of Suffolk,
as obtained from the Suffolk County Clerk or the Suffolk County Real
Property Tax Service Agency, shall be matched with current liens on
property of former recipients of public assistance or current names
of recipients of public assistance and care so as to provide and ensure
expedited identification of individuals who have received or may still
be receiving aid from the DSS and who have transferred property without
paying off the preexisting lien from the proceeds of the sale of such
real property.
B. When the transfer of real estate by a current or former recipient
of public assistance is discovered, the DSS shall inform the Suffolk
County Department of Law ("Department") of the facts and the Department
shall determine when the statute of limitations will likely bar collection
or foreclosure actions. If such action will be barred within six months
of discovery, the Department may undertake a civil action to foreclose
forthwith.
(1) If
the statute of limitations will not run out within six months, the
Department shall advise DSS to investigate the circumstances of the
transfer and to report back to the Department as follows:
(a)
Whether or not the transfer was to an unrelated third party
and whether that third party has title insurance coverage.
(b)
Whether the whereabouts of the former DSS recipient of public
assistance are ascertainable.
(c)
The financial condition of the former DSS recipient of public
assistance, if ascertainable.
(d) The whereabouts of any assets owned by the former DSS recipient of
public assistance.
(2) Upon receipt of such a report from DSS, the Department shall proceed
as follows:
(a)
If title insurance does exist, and it is sufficient to cover
the moneys due, commence such action as is necessary to collect the
claim against the title insurance.
(b)
If there is no title insurance or if the title insurance is
inadequate to cover the moneys due, commence collection procedures
against the former DSS recipient of public assistance if it determines
that the collection can be undertaken with a reasonable expectation
of success and if it determines that the provisions of New York Real
Property Actions and Proceedings Law § 1301, Subdivision
1, when invoked, will not unreasonably inhibit the collection of the
moneys due and/or jeopardize the commencement of a foreclosure action.
(c)
Commence collection procedures against the successors in title of the former DSS recipient of public assistance if, in its judgment, proceeding under Subsection
B(2)(a) or
(b) above is not a reasonable alternative.
Any recipient or former recipient of public assistance and care
who transfers real estate located within the County of Suffolk shall
notify the Commissioner of the DSS via certified mail, return receipt
requested, at least 30 days prior to a transfer of such real estate,
as to the intention of said recipient to transfer such real property.
A willful violation of § 166-3 of this article shall
constitute an unclassified misdemeanor punishable by a fine of not
more than $1,000 and/or 30 days in jail.