Mayor Michael Bloomberg and City Council Speaker Christine Quinn announced an agreement on new legislation authorizing lien sales for the collection of overdue taxes and water bills.
A one-time Payment Incentive Program (PIP), which will eliminate late payment charges when a bill is settled and can reduce an outstanding balance by more than a quarter, was also introduced with this legislation.
These liens, combined with PIP, will force more people to pay their bills and forestall a previously proposed 18 percent mid-year water rate increase.
“Now we can effectively enforce collections and stop passing the burden caused by a small percentage of irresponsible ratepayers onto the more than 85 percent of New Yorkers who pay on time and maintain their accounts,” Bloomberg said in a statement.
The agreement also features a complete redesign of the dispute resolution process so that problems can be resolved more quickly. Many disputes can now be settled by the call center (311), and account holders have the right to a dispute hearing before the newly formed Ombudsman Unit.

