NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A5379
SPONSOR: Brennan (MS) TITLE OF BILL: An act to amend the urban development corporation act,
the private housing finance law, the public authorities law, the general
municipal law and the eminent domain procedure law, in relation to
addressing environmental and community concerns regarding the Atlantic
Yards arena and redevelopment project
PURPOSE OR GENERAL IDEA OF BILL:
To force a reduction in the overall size of the Atlantic yards project
in exchange for additional State support. This bill prohibits ESDC from
approving a project greater than 5.6 million square feet, compelling
greater than a 1/3 reduction in size.
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 of the bill sets forth the purpose. Section 2 defines the
"Atlantic Yards Arena and Redevelopment Project" by its location, scope
and sets its maximum size to be no greater than 5.6 million square feet;
requires there to be at least 2200 units of affordable housing units out
of a minimum 4200 units built as part of the project. Section 3 adds a
new section to the private housing finance to require affordable housing
and sets forth a subsidy arrangement that will provide between $12.6
million and $15.4 million per year for 30 years for 2200 units of
affordable housing. A plan shall be developed to provide for 300 of
these affordable units to be sold as condominiums and distributed to the
various income brackets set up in the bill. Sections4 and 5 relieve the
developer of this project of the obligation to pay for the MTA to devel-
op the railroad yards. The developer will still have to pay for the
construction of a platform above the yards as well as the environmental
clean-up of the yards. Section 6 amends the general municipal law to
protect the tenants in the affected area by requiring the developer to
provide accommodations for them at the same rent during construction of
the project and to provide them with the opportunity to occupy a similar
sized apartment in the new development at a rent provided for in section
3 of this bill. Section 7 provides that if an owner's property is taken
in an eminent domain procedure, that owner shall be entitled to 150% of
fair market value and shall be entitled to the cost of relocating.
Section 8 provides that at least 800 units of housing shall be commenced
within 2 years of completion of the arena (at least 50% of which shall
be designated as affordable) or ESDC will withdraw the designation of
Forest City Ratner as the developer and issue a new RFP for the project.
As a result, Forest City Ratner would be required to reimburse the state
for the value of the housing assistance payment contract negotiated with
a second developer.
JUSTIFICATION:
This bill would reduce the overall size of the Atlantic Yards project in
exchange for additional State support. This project, if scaled back by
the 3 million square feet required by this legislation, would dramat-
ically reduce the environmental, traffic and density burdens created by
the project as originally proposed. In exchange, the State would provide
for a subsidy for between 1800 and 2200 units of affordable rate hous-
ing; green tax credits of up to $2 million for each building that
complied with energy efficiencies and storm runoff reduction; and $310
million of the $450 million that Forest City Ratner has committed to the
MTA.
PRIOR LEGISLATIVE HISTORY:
Similar to A11431 of 2006.
2007-08 - A10073A - referred to economic development
2009-10 -A5058;2011-12- A5281 -referred to economic development
EFFECTIVE DATE:
Immediately.
