[HISTORY: Adopted by the Town Board of the Town of Lyons. Amendments noted where applicable.]
Resolution to establish. Pursuant to General Municipal Law § 22, the Town Board may adopt a resolution authorizing the Town Clerk to cause a notice of intention to claim against the proceeds of a policy of fire insurance insuring the interest of the owner and issued on real property located in the Town to the extent of any lien for an unpaid tax, special ad valorem levy, special assessment or other charge imposed upon real property by or on behalf of the Town which is an encumbrance on real property as provided in said section.
Filing of notice of intention. Upon the adoption of such resolution, the Town Clerk shall cause a notice of intention to claim against proceeds to be served upon the State Superintendent of Financial Services for entry in the index of tax districts maintained by him or her as provided in Insurance Law § 331.
Rendering certificate to insurer. Thereafter, the Town Clerk shall render to any insurer the certificate required and in the manner prescribed by such section and the amounts stated in such certificate shall be a lien on the proceeds of the insurance policy until paid.
Fire insurance proceeds subject to the lien of the Town upon premises damaged by fire when such premises are encumbered by unpaid taxes or assessments as provided in General Municipal Law § 22 may be released to the insured, provided that such insured agrees, in a manner directed by the Town Board of the Town of Lyons, to restore the affected premises to the same that or improved condition than it was in prior to the time the right to such lien arose, subject to such conditions as the resolution establishing the lien shall provide to guarantee performance of such obligation.
The provisions of this chapter shall not be deemed or construed to alter or impair the right of the Town to acquire or enforce any lien against real property, but shall be in addition to any other power provided by law to acquire or enforce such right.