STATE OF NEW YORK
________________________________________________________________________
5281
2011-2012 Regular Sessions
IN ASSEMBLY
February 15, 2011
___________
Introduced by M. of A. BRENNAN, MILLMAN -- read once and referred to the
Committee on Economic Development
AN ACT to amend the urban development corporation act, the private hous-
ing finance law, the public authorities law, the general municipal law
and the eminent domain procedure law, in relation to addressing envi-
ronmental and community concerns regarding the Atlantic Yards arena
and redevelopment project
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 2 of section 1 of chapter 174 of the laws of 1968
2 constituting the urban development corporation act is amended by adding
3 a new eleventh undesignated paragraph to read as follows:
4 The legislature hereby finds and declares that the development of the
5 Atlantic Yards and its immediate surrounding area in Brooklyn is in the
6 public interest. Such development may include a combination of a sports
7 arena, substantial new housing, including housing for persons of low-
8 and middle-income, as provided in section 608-b of the private housing
9 finance law, retail and commercial development, and public space. The
10 legislature finds that it is necessary to balance environmental and
11 community concerns regarding the size, scope, and density of the project
12 with the benefits of the project; and further finds it necessary to
13 assure an enhanced due process for owners and tenants in the project
14 area subject to eminent domain and displacement.
15 § 2. Section 1 of chapter 174 of the laws of 1968 constituting the
16 urban development corporation act is amended by adding a new section
17 16-u to read as follows:
18 § 16-u. The Atlantic Yards arena and redevelopment project. 1. The
19 "Atlantic Yards arena and redevelopment project" refers to an applicant
20 who signed a memorandum of understanding with the New York state urban
21 development corporation doing business as empire state development
22 corporation, the city of New York and the New York city economic devel-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD08093-01-1
A. 5281 2
1 opment corporation on February 18, 2005 and shall include an area of
2 approximately twenty-two acres roughly bounded by Flatbush and Fourth
3 Avenues to the west, Vanderbilt Avenue to the east, Atlantic Avenue to
4 the north, and Dean Street to the south. The affected parcels include
5 the entirety of tax blocks 1118, 1119, 1120, 1121, 1127, 1129 and tax
6 block 1128, lots 1, 2, 4, 85, 86, 87, 88 and 89 in the borough of Brook-
7 lyn as well as any parcels identified in the environmental impact state-
8 ment not listed. The project may include a residential project, land use
9 improvement project, civic project, small and medium-sized business
10 assistance project or economic development project as defined in section
11 three of this act. The Atlantic Yards arena and redevelopment project
12 shall not exceed a total of five million six hundred thousand square
13 feet.
14 2. The Atlantic Yards arena and redevelopment project modified general
15 project plan, as adopted by the board of the urban development corpo-
16 ration, doing business as the empire state development corporation on
17 December 8, 2006, shall be amended to limit the project to a size no
18 greater than five million six hundred fifty thousand square feet. The
19 project shall consist of a minimum of four thousand two hundred residen-
20 tial housing units, and a minimum of two thousand two hundred such units
21 shall be affordable housing units as provided in section 608-b of the
22 private housing finance law.
23 § 3. The private housing finance law is amended by adding a new
24 section 608-b to read as follows:
25 § 608-b. Atlantic Yards arena and redevelopment project: subsidy. 1.
26 Notwithstanding any other law to the contrary, the commissioner is here-
27 by directed to enter into a housing assistance payment contract with the
28 Atlantic Yards arena and redevelopment project, to provide an annual
29 subsidy of twelve million six hundred thousand dollars per year for a
30 minimum of two thousand two hundred units of affordable housing, up to
31 fifteen million four hundred thousand dollars per year for a maximum of
32 twenty-two hundred units of affordable housing plus adjustments for
33 annual inflation based on the consumer price index, for a period of
34 thirty years, rented to households of up to but not exceeding ninety
35 thousand dollars in income per year, in accordance with the following
36 table:
37 Tenant HouseholdPercentage of Rent
38 Annual Income ($)Subsidized (%)
39 30,000 or less70
40 30,001-45,00070-55
41 45,001-60,00055-40
42 60,001-75,00040-25
43 75,001-90,00025-10
44 90,001 or greaterno subsidy
45 2. The housing units to be subsidized pursuant to this section shall
46 be made available and rented to households in a manner that, as closely
47 as is practicable, distributes such housing units evenly to each of the
48 income brackets set forth in this section. The sponsor shall develop a
49 plan that provides for three hundred units of these housing units to be
50 sold as condominiums and to be made available and sold to households in
51 a manner that, as closely as is practicable, distributes such units
52 evenly to each of the income brackets as set forth in the project plan.
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1 § 4. Paragraph a of subdivision 6 of section 2897 of the public
2 authorities law, as added by chapter 766 of the laws of 2005, is amended
3 to read as follows:
4 a. All disposals or contracts for disposal of property of a public
5 authority made or authorized by the contracting officer shall be made
6 after publicly advertising for bids except as provided in [paragraph]
7 paragraphs c and c-1 of this subdivision.
8 § 5. Subdivision 6 of section 2897 of the public authorities law is
9 amended by adding a new paragraph c-1 to read as follows:
10 c-1. The legislature finds and declares it to be in the public inter-
11 est for the applicant to proceed with the Atlantic Yards arena and rede-
12 velopment project. In consideration of such and notwithstanding any
13 other provision of law to the contrary, the applicant shall not be
14 responsible for the following:
15 (i) payment for the development rights to the Atlantic Yards; and
16 (ii) reimbursement for ongoing platform maintenance.
17 The applicant shall indemnify the metropolitan transportation authori-
18 ty for remediation costs associated with environmental conditions on the
19 property commonly known as the Vanderbilt Yard.
20 § 6. The general municipal law is amended by adding a new section
21 507-a to read as follows:
22 § 507-a. Atlantic Yards arena and redevelopment project; accommodation
23 to tenants. 1. For purposes of this section, the terms "developer" and
24 "development project" shall mean the developer and development project
25 in the Atlantic Yards arena and redevelopment project as set forth in
26 section sixteen-u of section one of the urban development corporation
27 act.
28 2. The developer (and any successor owner or lessee of any building in
29 the development) shall accommodate all residential tenants affected by
30 the development project. The developer shall provide all residential
31 tenants currently and legally occupying a legal residential dwelling
32 unit as their primary residence within the affected area who are in good
33 standing under the terms of a valid written lease agreement, which is in
34 full force and effect, at such time as their premises are scheduled to
35 be impacted by construction of the development project, and who have
36 resided in such a residence for at least one year prior to the date of
37 the written proposal submitted by the developer, with "reasonably compa-
38 rable living space" in a new unit within the development project, at
39 their current rent and a reasonable relocation allowance. For the
40 purposes of this subdivision "reasonably comparable living space" shall
41 mean an apartment with approximately the same square footage and number
42 of bedrooms as such tenant's existing unit which is on a floor that is
43 no lower than the floor of such existing unit. If a reasonably compara-
44 ble space at the same rent is not available, the developer shall pay the
45 difference in rent for a reasonably comparable living space outside of
46 the development project area, which will to the extent reasonably prac-
47 ticable be in a neighboring community (or such other community accepta-
48 ble to the displaced persons and the developer) until such time as a
49 unit (if the development project is distinctly all or part residential)
50 is made available in the development project on then comparable rental
51 terms (giving effect to standard cost of living increases or rent
52 stabilization/control increases, as applicable) and a reasonable relo-
53 cation allowance for the initial move and subsequent move into the
54 development.
55 § 7. The eminent domain procedure law is amended by adding a new
56 section 209 to read as follows:
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1 § 209. Atlantic Yards arena and redevelopment project; compensation to
2 owners. 1. For purposes of this section, the term "development project"
3 shall mean the development project in the Atlantic Yards arena and rede-
4 velopment project as set forth in section sixteen-u of section one of
5 the urban development corporation act.
6 2. In addition to any rights afforded condemnees pursuant to this
7 chapter, the condemnor shall provide at least one hundred fifty percent
8 of the fair market value compensation to all property owners affected by
9 eminent domain acquisition for the purpose of implementing the develop-
10 ment project. Such condemnor shall also pay to such owners, the cost of
11 expenses incurred in relocating to a new residence.
12 § 8. Failure to develop housing. The sponsor shall commence
13 construction and develop residential housing units, including affordable
14 housing units, pursuant to the terms and conditions of chapter 15 of the
15 laws of 2008 of the state of New York. If within two years of the
16 completion of the arena, the sponsor has failed to commence construction
17 on residential apartment buildings containing at least eight hundred
18 units, of which no less than fifty percent of such units shall be
19 affordable housing as defined by section 608-b of the private housing
20 finance law, the Empire State Development Corporation shall withdraw the
21 designation of the Forest City Ratner Corporation as the sponsor of the
22 remainder of the redevelopment site. The Empire State Development Corpo-
23 ration shall issue a request for proposals for completion of the rede-
24 velopment project which shall include construction of the residential
25 housing units pursuant to the provisions of subdivision 2 of section
26 16-t of section 1 of the urban development corporation act, including
27 the offer of a housing payment assistance contract or contracts. As such
28 contract or contracts are executed, the Forest City Ratner Corporation
29 shall reimburse the state of New York for the amounts paid under the
30 contract, and the Empire State Development Corporation shall amend the
31 project plan to require such reimbursement as a condition of continued
32 approval of the plan.
33 § 9. This act shall take effect immediately.