Section 206. Limitations of redevelopment corporations  


Latest version.
  • No redevelopment
      corporation shall:
        1. Undertake any clearance, reconstruction, improvement, alteration or
      construction in connection with any development until  the  certificates
      of  approval  required by section two hundred three of this article have
      been issued;
        2. Change, alter, amend, add to or depart from  the  development  plan
      until the planning commission or the supervising agency, as the case may
      be, has issued a certificate of approval of that portion of such change,
      alteration,   amendment,   addition   or   departure   relevant  to  the
      determination required to be made by it as  set  forth  in  section  two
      hundred three of this article;
        3.  After  a  development has been commenced, sell, transfer or assign
      any real property in the development area without  first  obtaining  the
      consent of the supervising agency;
        4. Undertake more than one development;
        5.  Pay  interest  on its income debentures, if any, except out of net
      earnings which would have been applicable to the payment of dividends on
      its capital stock if there were no such income debentures;
        6. Pay as compensation for services to, or enter  into  contracts  for
      the  payment  of compensation for services to, its officers or employees
      in an amount greater than the limit thereon contained in the development
      plan, or in  default  thereof,  then  in  an  amount  greater  than  the
      reasonable  value  of  the services performed or to be performed by such
      officers or employees;
        7. Lease an entire building or improvement in the development area  to
      any  person  or  corporation  without  obtaining  the  approval  of  the
      supervising agency, which may be withheld only if  the  lease  is  being
      made for the purpose of evading the provisions of this article;
        8. Mortgage any of its real property without obtaining the approval of
      the supervising agency;
        9.   Make   any  guarantee  without  obtaining  the  approval  of  the
      supervising agency;
        10. Dissolve without obtaining the approval of the supervising agency,
      which may be given upon such conditions as the  supervising  agency  may
      deem  necessary  or appropriate to the protection of the interest of the
      city in the proceeds of the  sale  of  the  real  property  acquired  by
      condemnation  as provided in subdivision two of section two hundred five
      of this article, such approval to be  endorsed  on  the  certificate  of
      dissolution  and  such  certificate not to be filed in the department of
      state in the absence of such endorsement;
        11. Reorganize without  obtaining  the  approval  of  the  supervising
      agency.