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A10727 Summary:

BILL NOA10727A
 
SAME ASSAME AS S09346-A
 
SPONSORTaylor
 
COSPNSR
 
MLTSPNSR
 
Add Art 7-B §§239-m - 239-u, RP L
 
Enacts the "housing transparency act"; requires the division of housing and community renewal to establish and maintain a statewide rental unit compliance registry for covered buildings within the state.
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A10727 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                        10727--A
 
                   IN ASSEMBLY
 
                                     March 27, 2026
                                       ___________
 
        Introduced by M. of A. TAYLOR -- read once and referred to the Committee
          on Housing -- committee discharged, bill amended, ordered reprinted as
          amended and recommitted to said committee
 
        AN  ACT  to  amend  the  real  property law, in relation to enacting the
          "housing transparency act"
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.  Short  title. This act shall be known and may be cited as
     2  the "housing transparency act".
     3    § 2. Legislative findings. The legislature finds and declares that:
     4    1. New York state  is  experiencing  significant  housing  challenges,
     5  including  limited housing supply, inconsistent reporting of rental unit
     6  occupancy status, and a lack of access to information regarding building
     7  code compliance and habitability standards;
     8    2. While existing state and local laws require compliance with  build-
     9  ing, fire, and housing codes, there is no consistent statewide mechanism
    10  for  reporting  the  occupancy  or vacancy status of rental units, nor a
    11  centralized system to provide public transparency  regarding  compliance
    12  certification prior to and following tenant occupancy;
    13    3.  The absence of consistent reporting and transparency impedes accu-
    14  rate housing supply data, complicates enforcement of habitability stand-
    15  ards, and limits tenants' ability to make informed decisions;
    16    4. The improvement of transparency in rental housing reporting,  while
    17  respecting  local enforcement authority and protecting personal privacy,
    18  serves a legitimate  public  purpose  by  enhancing  housing  stability,
    19  promoting  safe,  habitable  living  conditions, and supporting data-in-
    20  formed public policy decision making;
    21    5. Nothing in this act shall be  construed  to  supersede  or  preempt
    22  local  building, fire, or housing codes, but rather to supplement exist-
    23  ing enforcement mechanisms through standardized reporting  and  adminis-
    24  trative coordination;
    25    6.  The legislature recognizes the importance of small property owners
    26  in maintaining affordable housing and intends to implement this  act  to
    27  minimize undue administrative burden; and
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD15039-05-6

        A. 10727--A                         2
 
     1    7.  Reliable  and  accessible  housing data is necessary to ensure the
     2  integrity of rental markets,  prevent  prolonged  vacancy  of  habitable
     3  units, and promote public confidence in housing administration.
     4    §  3.  The real property law is amended by adding a new article 7-B to
     5  read as follows:
     6                                  ARTICLE 7-B
     7                          HOUSING TRANSPARENCY ACT
     8  Section 239-m. Definitions.
     9          239-n. Establishment of rental unit compliance registry.
    10          239-o. Pre-occupancy and turnover certification.
    11          239-p. Voluntary tenant occupancy reporting.
    12          239-q. Lease term election requirements.
    13          239-r. Enforcement and penalties.
    14          239-s. Privacy and data protection.
    15          239-t. Application and report.
    16          239-u. Exemption for nonprofit housing providers.
    17    § 239-m. Definitions. For the purposes of this article, the  following
    18  terms shall have the following meanings:
    19    1. "rental unit" shall mean any dwelling unit as defined in the multi-
    20  ple  dwelling law that is leased, rented, or otherwise occupied pursuant
    21  to a rental agreement for residential purposes; provided, however,  that
    22  such term shall not include:
    23    (a) owner-occupied buildings containing one or two dwelling units;
    24    (b) dwelling units within one- or two-family homes not held for rental
    25  as a primary business purpose;
    26    (c) any dwelling units subject to a cooperative or condominium form of
    27  ownership, including units sublet or leased by the owner;
    28    (d)  units  owned  or  operated  by  a  nonprofit housing provider, as
    29  defined in this article;
    30    (e) units receiving federal, state, or local subsidies where occupancy
    31  is contingent  upon  participation  in  supportive  services,  provided,
    32  however,  that  this  exclusion  shall  not apply to tenant-based rental
    33  assistance programs, including but not limited to the Section 8  Housing
    34  Choice Voucher Program;
    35    (f)  emergency  shelters, temporary housing accommodations, or transi-
    36  tional housing placements; or
    37    (g) any housing program where occupancy is  conditioned  upon  partic-
    38  ipation in social, medical, rehabilitative, or supportive services.
    39    2.  "covered  building" shall mean any residential building containing
    40  more than two rental units;
    41    3. "owner" shall mean  any  person,  firm,  partnership,  corporation,
    42  limited  liability  company,  or other entity holding legal title to the
    43  covered building, or any agent thereof authorized  to  collect  rent  or
    44  manage the property;
    45    4. "occupancy status" shall mean whether a rental unit is:
    46    (a) occupied pursuant to a lease or rental agreement;
    47    (b) vacant and available for rent;
    48    (c)  vacant  and  temporarily  unavailable  for rent due to repairs or
    49  renovations; or
    50    (d) otherwise not lawfully habitable pursuant to a government order;
    51    5. "pre-occupancy  compliance  certification"  shall  mean  a  written
    52  certification  by  the  owner that the rental unit is in compliance with
    53  applicable state and local building, fire, and housing maintenance codes
    54  at the time of lease commencement;

        A. 10727--A                         3
 
     1    6. "turnover certification" shall mean a written certification submit-
     2  ted by the owner following the termination of a tenancy, indicating  the
     3  condition of the rental unit and any outstanding violations;
     4    7.  "division"  shall  mean  the  division  of  housing  and community
     5  renewal;
     6    8. "small property owner" shall mean:
     7    (a) in the upstate region, an owner of a building containing  no  more
     8  than  three rental units, including single-family rental properties, and
     9  owners of one- to three-family residential properties,  whether  or  not
    10  owner occupied; and
    11    (b)  in  the downstate region, an individual  or entity owning no more
    12  the ten rental units statewide, including single-family  rental  proper-
    13  ties,  and  owners of one- to ten-family residential properties, whether
    14  or not owner-occupied; provided,  however,  that  such  term  shall  not
    15  include:
    16    (i)  any dwelling unit subject to a cooperative or condominium form of
    17  ownership;
    18    (ii) any entity that, directly or indirectly,  through  common  owner-
    19  ship,  affiliates,  or  controlling  interest, owns or manages more than
    20  three units statewide;
    21    (iii) any real estate investment trust, corporate landlord, or  insti-
    22  tutional investor; or
    23    (iv) any nonprofit housing provider as defined in this article; and
    24    9.  "nonprofit  housing  provider"  shall mean any organization exempt
    25  under section 501(c)(3) of the United States internal revenue code  that
    26  owns  or  operates  residential  housing  for  the  purpose of providing
    27  affordable,  supportive,  transitional,  or   community-based   housing;
    28  provided, however, that such term shall not include any entity primarily
    29  engaged in market-rate rental activity without the provision of support-
    30  ive or community-based services.
    31    10.  "downstate  region"  shall  mean the counties of New York, Kings,
    32  Queens, Bronx, Richmond, Nassau, Westchester, Rockland, Suffolk,  Dutch-
    33  ess, Putnam, Sullivan and Orange county.
    34    11. "upstate region" shall mean all counties of the state not included
    35  in the downstate region.
    36    § 239-n. Establishment  of  rental unit compliance registry. 1. Within
    37  one year of the effective date  of  this  article,  the  division  shall
    38  establish  and  maintain a statewide rental unit compliance registry for
    39  covered buildings within the state.
    40    2. Each owner of a covered building shall register annually  with  the
    41  division  in  a manner prescribed by regulation. Such registration shall
    42  include:
    43    (a) the address of the covered building;
    44    (b) the total number of rental units in such covered building;
    45    (c) the occupancy status of each unit;
    46    (d) the date of the most recent inspection conducted by  a  government
    47  entity;
    48    (e)  the  existence of any open housing, building, or fire violations;
    49  and
    50    (f) certification that each occupied rental unit complies with  appli-
    51  cable habitability requirements.
    52    3.  The  division  shall make registry information publicly accessible
    53  through an online portal.
    54    4. The division shall coordinate with local code enforcement agencies,
    55  housing agencies, and existing rental housing compliance or registration
    56  systems, to the extent practicable, to promote administrative  efficien-

        A. 10727--A                         4
 
     1  cy,  avoid  or  reduce  duplicative  reporting requirements, and improve
     2  interagency communication.
     3    5. Where practicable, the division shall establish procedures for data
     4  sharing, interoperability, or coordinated reporting with existing munic-
     5  ipal  or  local housing compliance systems, including but not limited to
     6  systems operated by the New York city department of housing preservation
     7  and development, provided  that  any  such  coordination  complies  with
     8  applicable privacy and data protection laws.
     9    6.  The  division  may  permit owners who are subject to substantially
    10  similar local registration or reporting requirements to satisfy applica-
    11  ble provisions of this article through coordinated or integrated report-
    12  ing mechanisms established by regulation.
    13    7. The division is authorized to promulgate such rules and regulations
    14  as may be necessary to implement the provisions of this article.
    15    § 239-o. Pre-occupancy and turnover certification.  1.  Prior  to  the
    16  commencement  of  any new tenancy in a covered building, the owner shall
    17  file with the division a pre-occupancy compliance certification  affirm-
    18  ing that:
    19    (a)  the  rental  unit is free from hazardous violations as defined by
    20  applicable state or local laws;
    21    (b) all smoke detection and carbon monoxide detection devices required
    22  by law are installed and functioning;
    23    (c) no outstanding vacate order or condemnation order applies  to  the
    24  unit; and
    25    (d) the unit is in compliance with the warranty of habitability pursu-
    26  ant to section two hundred thirty-five-b of this chapter.
    27    2.  A copy of such certification shall be provided to the tenant at or
    28  before the lease signing.
    29    3. Within thirty days following the  termination  of  a  tenancy,  the
    30  owner shall submit to the division a turnover certification indicating:
    31    (a) whether the unit is vacant and available to rent;
    32    (b) whether the unit is undergoing repair or renovation; and
    33    (c)  the  correction  status of any violations issued during the prior
    34  tenancy.
    35    4. Nothing in this section shall require  an  additional  governmental
    36  inspection where none is otherwise required by law.
    37    5.  Owners shall provide tenants, at or before the lease signing, with
    38  notice of registry access, occupancy reporting  rights,  and  applicable
    39  privacy protections established pursuant to this article.
    40    § 239-p. Voluntary  tenant  occupancy reporting. 1. The division shall
    41  establish a secure mechanism by which tenants of covered  buildings  may
    42  voluntarily submit information confirming:
    43    (a) occupancy of a rental unit;
    44    (b) the existence of a written or oral rental agreement; and
    45    (c) concerns regarding noncompliance with occupancy reporting require-
    46  ments.
    47    2.  No owner shall take adverse action against a tenant for submitting
    48  information pursuant to this section. Any such action  shall  constitute
    49  retaliation under section two hundred twenty-three-b of this chapter.
    50    3.  Information  submitted  by tenants shall not be publicly disclosed
    51  and shall be used solely for administrative verification and enforcement
    52  purposes.
    53    4. Submission of information by  a  tenant  shall  not  constitute  an
    54  alteration  of  the  terms  of  any  lease, tenancy, or lawful occupancy
    55  status.

        A. 10727--A                         5
 
     1    5. All information submitted pursuant to this section shall be made in
     2  good faith and to the best of the tenants' knowledge and belief.
     3    6.  The  division  shall  not  take enforcement action based solely on
     4  tenant-submitted information without independent verification or corrob-
     5  oration from reliable sources.
     6    7. Information submitted pursuant to this section shall not constitute
     7  prima facie evidence in any civil or administrative proceeding.
     8    8. Any person who knowingly submits materially false information  with
     9  the intent to mislead the division shall be subjected to a civil penalty
    10  as determined by regulation.
    11    9.  The  division shall establish procedures to identify and disregard
    12  repetitive, frivolous, or bad faith submissions.
    13    § 239-q. Lease term election requirements. 1. (a) For a covered build-
    14  ing, an owner shall, at the commencement of a new tenancy  occurring  on
    15  and  after  the  effective  date  of this section, offer the prospective
    16  tenant the option of entering into a:
    17    (i) lease term of not less than six months;
    18    (ii) lease term of twelve months; or
    19    (iii) lease term of twenty-four months.
    20    (b) Owners qualifying as small  property  owners  under  this  article
    21  shall be exempt from lease term election requirements.
    22    2.  Nothing  in this section shall prohibit an owner from establishing
    23  differing rental rates for  differing  lease  durations,  provided  such
    24  rates comply with applicable law.
    25    3. This section shall not apply to:
    26    (a) small property owners;
    27    (b) owner-occupied buildings containing less than three units; and
    28    (c)  temporary  housing  accommodations intended for occupancy of less
    29  than six months.
    30    4. Nothing in this section shall prohibit rental agreements for a term
    31  of thirty days or less provided such agreements comply with all applica-
    32  ble state and local laws and  are  not  used  to  circumvent  short-term
    33  rental regulations.
    34    § 239-r. Enforcement and penalties. 1. The division shall have author-
    35  ity  to enforce the provisions of this article and may conduct audits of
    36  registry submissions to ensure compliance.
    37    2. (a) An owner who fails to file required registration information or
    38  certifications pursuant to this article shall  be  subject  to  a  civil
    39  penalty  not to exceed five hundred dollars per unit per year of noncom-
    40  pliance.
    41    (b) An owner who knowingly submits materially false information  shall
    42  be  subject  to  a  civil penalty not to exceed one thousand dollars per
    43  unit per violation.
    44    3. Prior to the imposition of any civil penalty,  the  division  shall
    45  provide  written notice of noncompliance and allow the owner thirty days
    46  to cure such deficiency.
    47    4. No owner of a covered building shall be  eligible  to  implement  a
    48  rent increase otherwise permitted by law for any rental unit that:
    49    (a)  has  not  submitted a required pre-occupancy or annual compliance
    50  certification;
    51    (b) has an outstanding hazardous violation as  defined  by  applicable
    52  state and local code; or
    53    (c)  is not properly registered in the rental unit compliance registry
    54  pursuant to this article.

        A. 10727--A                         6

     1    5.  The  division  may  refer  cases  involving  repeated  or  willful
     2  violations to the office of the attorney general for further enforcement
     3  action.
     4    6.  No small property owner or compliant owner who demonstrates a good
     5  faith effort to comply with the provisions  of  this  article  shall  be
     6  subjected  to  civil  penalties for a first-time or technical violation,
     7  provided such violation is cured within the notice period established by
     8  the division.
     9    7. Owners demonstrating continuous compliance with  the  provision  of
    10  this  article  for  three  consecutive  years  may qualify for expedited
    11  administrative review or other incentives established  by  the  division
    12  pursuant to regulation.
    13    § 239-s. Privacy  and  data  protection.  1.  The  division  shall not
    14  disclose personally identifiable information of tenants collected pursu-
    15  ant to this article.
    16    2. The division shall implement reasonable administrative,  technical,
    17  and physical safeguards to protect confidential information.
    18    3.  Information collected pursuant to this article shall be solely for
    19  housing administration, compliance verification, public  reporting,  and
    20  enforcement purposes.
    21    § 239-t. Application  and  report.  1. Downstate region. (a) Beginning
    22  two years after the effective date of this article,  the  provisions  of
    23  this article shall apply to owners of covered buildings containing twen-
    24  ty or more rental units in the downstate region.
    25    (b)  Beginning  three  years after the effective date of this article,
    26  the provisions of this article shall apply to owners of  covered  build-
    27  ings containing ten or more rental units in the downstate region.
    28    2. Upstate region. (a) Beginning two years after the effective date of
    29  this  article,  the  provisions of this article shall apply to owners of
    30  covered buildings containing twenty or more rental units in the  upstate
    31  region.
    32    (b)  Beginning  three  years after the effective date of this article,
    33  the provisions of this article shall apply to owners of  covered  build-
    34  ings  containing  between  six  and nineteen rental units in the upstate
    35  region.
    36    3.  Full Implementation.   Beginning four years  after  the  effective
    37  date  of this article, the provisions of this article shall apply to all
    38  owners of covered buildings, except small  property  owners  and  exempt
    39  nonprofit housing providers.
    40    4.  Beginning four years after the effective date of this article, the
    41  division shall issue a report to the legislature on  the  implementation
    42  of  this  article  including  but not limited to the compliance rate and
    43  administrative impact of this article.
    44    § 239-u. Exemption for nonprofit  housing  providers.  Notwithstanding
    45  any  provision of this article to the contrary, the requirements of this
    46  article shall not apply to rental  units  owned  and/or  operated  by  a
    47  nonprofit  housing  provider,  as  defined  in  this article, where such
    48  rental units are  used  for  affordable,  supportive,  transitional,  or
    49  community-based purposes.
    50    § 4. Severability clause. If any clause, sentence, paragraph, subdivi-
    51  sion,  section  or  part  of  this act shall be adjudged by any court of
    52  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    53  impair,  or  invalidate  the remainder thereof, but shall be confined in
    54  its operation to the clause, sentence, paragraph,  subdivision,  section
    55  or part thereof directly involved in the controversy in which such judg-
    56  ment shall have been rendered. It is hereby declared to be the intent of

        A. 10727--A                         7
 
     1  the  legislature  that  this  act  would  have been enacted even if such
     2  invalid provisions had not been included herein.
     3    §  5.  This  act shall take effect eighteen months after it shall have
     4  become a law. Effective  immediately,  the  addition,  amendment  and/or
     5  repeal  of  any  rule  or regulation necessary for the implementation of
     6  this act on its effective date are authorized to be made  and  completed
     7  on or before such date.
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