[HISTORY: Adopted by the Town Board of the Town of Lyons.
Amendments noted where applicable.]
A.
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.
B.
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.
C.
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.
