Amd SS26-405 & 26-511, NYC Ad Cd; amd S6, Emerg Ten Prot Act of 1974
Establishes criteria for approval of rent increases to rent regulated property resulting from major capital improvements to insure that the work performed is an enhancement or upgrade to a housing accommodation or service therein and is not merely repair or replacement to existing services; prohibits approval of a major capital improvement rent increase where any outstanding hazardous violations exist.
STATE OF NEW YORK
________________________________________________________________________
5220
2009-2010 Regular Sessions
IN SENATE
April 27, 2009
___________
Introduced by Sen. KRUEGER -- read twice and ordered printed, and when
printed to be committed to the Committee on Housing, Construction and
Community Development
AN ACT to amend the administrative code of the city of New York and the
emergency tenant protection act of nineteen seventy-four, in relation
to approval of major capital improvement rent increases
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Section 26-405 of the administrative code of the city of
2 New York is amended by adding a new subdivision n to read as follows:
3 n. (1) No major capital improvement rent increase will be approved by
4 the division of housing and community renewal unless the work performed
5 is an enhancement or upgrade to a housing accommodation or service ther-
6 ein; or is an addition to such housing accommodation and otherwise
7 eligible according to the prerequisites for major capital improvement
8 rent increases.
9 (a) Any repair or replacement intended to maintain an existing service
10 shall not be eligible for a major capital improvement rent increase.
11 (b) Any service or facility which is assured under the warranty of
12 habitability, or otherwise provided for in a lease or rental agreement
13 between owner and tenant, shall not be eligible for a major capital
14 improvement rent increase.
15 (2) No application for a major capital improvement rent increase may
16 be approved if there exist any outstanding hazardous violations at the
17 time of the consideration of such application, as determined pursuant to
18 regulations of the division of housing and community renewal or any
19 agency administering and enforcing a building code in the jurisdiction
20 in which the property is located, unless it is determined by the divi-
21 sion of housing and community renewal that such work is essential to the
22 alleviation of the violations and such approval is consistent with the
23 provisions of this section. Except in the case of emergency or good
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD10329-01-9
S. 5220 2
1 cause, the owner of the property shall file, not less than thirty days
2 before the commencement of the improvement, with the division of housing
3 and community renewal a statement containing information outlining the
4 scope of work, expected date of completion for such work and an affida-
5 vit setting forth the following information:
6 (a) every owner of record and owner of a substantial interest in the
7 property or entity owning the property or sponsoring the improvement;
8 and
9 (b) a statement that none of such persons had, within the five years
10 prior to the improvement, been found to have harassed or unlawfully
11 evicted tenants by judgment or determination of a court or agency under
12 the penal law, any state or local law regulating rents or any state or
13 local law relating to harassment of tenants or unlawful eviction.
14 Upon receipt of the scope of work and affidavit provided for herein,
15 the division of housing and community renewal shall provide the tenants
16 in occupancy in such buildings with such information. The division of
17 housing and community renewal shall, in addition, implement procedures
18 including, but not limited to, eliciting tenant comments to determine
19 whether major capital improvement rehabilitation work has been satisfac-
20 torily completed. No major capital improvement rent increase shall
21 become effective until any defective or deficient rehabilitation work
22 has been cured.
23 § 2. Subdivision c of section 26-511 of the administrative code of the
24 city of New York is amended by adding a new paragraph 6-b to read as
25 follows:
26 (6-b) provides criteria whereby the commissioner may act upon applica-
27 tion by owners for increases in excess of the level of fair rent
28 increase established under this law provided however, that such criteria
29 shall provide that:
30 (1) no major capital improvement rent increase will be approved by the
31 division of housing and community renewal unless the work performed is
32 an enhancement or upgrade to a housing accommodation or service therein;
33 or is an addition to such housing accommodation and otherwise eligible
34 according to the prerequisites for major capital improvement rent
35 increases.
36 (a) Any repair or replacement intended to maintain an existing service
37 shall not be eligible for a major capital improvement rent increase.
38 (b) Any service or facility which is assured under the warranty of
39 habitability, or otherwise provided for in a lease or rental agreement
40 between owner and tenant, shall not be eligible for a major capital
41 improvement rent increase.
42 (2) no application for a major capital improvement rent increase may
43 be approved if there exist any outstanding hazardous violations at the
44 time of the consideration of such application, as determined pursuant to
45 regulations of the division of housing and community renewal or any
46 agency administering and enforcing a building code in the jurisdiction
47 in which the property is located, unless it is determined by the divi-
48 sion of housing and community renewal that such work is essential to the
49 alleviation of the violations and such approval is consistent with the
50 provisions of this section. Except in the case of emergency or good
51 cause, the owner of the property shall file, not less than thirty days
52 before the commencement of the improvement, with the division of housing
53 and community renewal a statement containing information outlining the
54 scope of work, expected date of completion for such work and an affida-
55 vit setting forth the following information:
S. 5220 3
1 (a) every owner of record and owner of a substantial interest in the
2 property or entity owning the property or sponsoring the improvement;
3 and
4 (b) a statement that none of such persons had, within the five years
5 prior to the improvement, been found to have harassed or unlawfully
6 evicted tenants by judgment or determination of a court or agency under
7 the penal law, any state or local law regulating rents or any state or
8 local law relating to harassment of tenants or unlawful eviction.
9 Upon receipt of the scope of work and affidavit provided for herein,
10 the division of housing and community renewal shall provide the tenants
11 in occupancy in such buildings with such information. The division of
12 housing and community renewal shall, in addition, implement procedures
13 including, but not limited to, eliciting tenant comments to determine
14 whether major capital improvement rehabilitation work has been satisfac-
15 torily completed. No major capital improvement rent increase shall
16 become effective until any defective or deficient rehabilitation work
17 has been cured.
18 § 3. Section 6 of section 4 of chapter 576 of the laws of 1974,
19 constituting the emergency tenant protection act of nineteen seventy-
20 four, is amended by adding a new subdivision d-1 to read as follows:
21 d-1. (1) No major capital improvement rent increase will be approved
22 by the division of housing and community renewal unless the work
23 performed is an enhancement or upgrade to a housing accommodation or
24 service therein; or is an addition to such housing accommodation and
25 otherwise eligible according to the prerequisites for major capital
26 improvement rent increases.
27 (a) Any repair or replacement intended to maintain an existing service
28 shall not be eligible for a major capital improvement rent increase.
29 (b) Any service or facility which is assured under the warranty of
30 habitability, or otherwise provided for in a lease or rental agreement
31 between owner and tenant, shall not be eligible for a major capital
32 improvement rent increase.
33 (2) No application for a major capital improvement rent increase may
34 be approved if there exist any outstanding hazardous violations at the
35 time of the consideration of such application, as determined pursuant to
36 regulations of the division of housing and community renewal or any
37 agency administering and enforcing a building code in the jurisdiction
38 in which the property is located, unless it is determined by the divi-
39 sion of housing and community renewal that such work is essential to the
40 alleviation of the violations and such approval is consistent with the
41 provisions of this section. Except in the case of emergency or good
42 cause, the owner of the property shall file, not less than thirty days
43 before the commencement of the improvement, with the division of housing
44 and community renewal a statement containing information outlining the
45 scope of work, expected date of completion for such work and an affida-
46 vit setting forth the following information:
47 (a) every owner of record and owner of a substantial interest in the
48 property or entity owning the property or sponsoring the improvement;
49 and
50 (b) a statement that none of such persons had, within the five years
51 prior to the improvement, been found to have harassed or unlawfully
52 evicted tenants by judgment or determination of a court or agency under
53 the penal law, any state or local law regulating rents or any state or
54 local law relating to harassment of tenants or unlawful eviction.
55 Upon receipt of the scope of work and affidavit provided for herein,
56 the division of housing and community renewal shall provide the tenants
S. 5220 4
1 in occupancy in such buildings with such information. The division of
2 housing and community renewal shall, in addition, implement procedures
3 including, but not limited to, eliciting tenant comments to determine
4 whether major capital improvement rehabilitation work has been satisfac-
5 torily completed. No major capital improvement rent increase shall
6 become effective until any defective or deficient rehabilitation work
7 has been cured.
8 § 4. This act shall take effect immediately, provided that the amend-
9 ment to section 26-405 of the city rent and rehabilitation law made by
10 section one of this act shall remain in full force and effect only so
11 long as the public emergency requiring the regulation and control of
12 residential rents and evictions continues, as provided in subdivision 3
13 of section 1 of the local emergency housing rent control act and
14 provided further that the amendment to section 26-511 of the rent
15 stabilization law of nineteen hundred sixty-nine made by section two of
16 this act shall expire on the same date as such law expires and shall not
17 affect the expiration of such law as provided under section 26-520 of
18 such law, as from time to time amended and provided further that the
19 amendment to section 6 of the emergency tenant protection act of nine-
20 teen seventy-four made by section three of this act shall expire on the
21 same date as such act expires and shall not affect the expiration of
22 such act as provided in section 17 of chapter 576 of the laws of 1974,
23 as from time to time amended.
