Queens lawmakers press mayor to cancel tax lien sale during COVID pandemic
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State Sen. Leroy Comrie (at podium) and Assemblmember David Weprin (left of podium) have sponsored legislation to postpone the Sept. 4 tax lien sale. Photo courtesy of Comrie’s Office.
By David Brand
The city’s looming tax lien sale threatens to destabilize homeowners across New York City, according to a coalition of state and city lawmakers who have pressed Mayor Bill de Blasio to take action and introduced legislation to stop the sale.
The annual tax lien sale — where private servicing companies purchase property tax debt — was rescheduled for Sept. 4 following a May 15 postponement. The sale, occurring amid the COVID-19 pandemic, will particularly impact households of color in Southeast Queens, where as many as 600 properties are eligible for the 2020 lien sale, said State Sen. Leroy Comrie.
“Homeowners facing the lien sale need ample time to consult with attorneys, enter into payment agreements, and learn about exemption programs ahead of the sale,” Comrie said Monday. “COVID-19 has made this all but impossible to do on the scale that we need it to happen.
If homeowners do not enter into a payment agreement with the lien-holder, they risk having their property seized.
Comrie and Assemblymember David Weprin have sponsored legislation to postpone the sale by one year after the expiration of the COVID-19 state of emergency order.
“It is absolutely unconscionable to hold the tax lien sale in 2020,” Weprin said.
Comrie, Weprin and 48 other lawmakers also signed a letter drafted by Councilmember Adrienne Adams urging de Blasio to halt the sale.
“Even under normal circumstances, having a lien sold on their property can destabilize families in economic turmoil and jeopardize their homes,” the lawmakers wrote. “This year, in the midst of a pandemic that has caused skyrocketing unemployment, the sale must be canceled.”
More than half of the nearly 10,000 properties on the latest tax lien sale eligibility list are small homes, the lawmakers wrote. The pandemic has prevented the city from conducting robust outreach to homeowners on the list, they said.
“Without appropriate outreach, the tax lien sale cannot go forward as planned,” the lawmakers write. “Please exempt homeowners from the 2020 lien sale or cancel it completely to ensure that we do not compound the financial hardships of vulnerable New Yorkers.”
The properties eligible for the tax lien sale were delinquent on taxes prior to the COVID-19 pandemic.
Laura Feyer, a spokesperson for the mayor’s office, said the city relies on property taxes to fund services.
“We empathize with homeowners facing financial difficulties, but we face significant revenue losses due to COVID-19. We will continue to evaluate the sale,” Feyer said.
In July, de Blasio postponed a tax lien sale, stating that the delay would help the city “build a fair and equitable recovery for the working people of our city.
“Postponing the lien sale will give some relief to those struggling to make ends meet, and more time for New Yorkers to apply for our hardship programs,” he said.
Real estate attorney Joel Marcus, a partner in the firm Marcus Pollack, praised that delay at the time.
“This postponement of the tax lien sale for unpaid property taxes is a welcome rescue for our beleaguered property owners,” Marcus said. “They have suffered tremendously with the government’s mandated lockdowns and the closing of local business activities.”
“However, more help from the government is still needed,” he continued.
