Amd §10, Emerg Ten Prot Act of 1974; amd §26-511, NYC Ad Cd
 
Prohibits an owner from adjusting the amount of preferential rent, rent charged and paid by the tenant which is less than the legal regulated rent for the housing accommodation, upon the renewal of a lease; only allows the owner to make such adjustments upon a vacancy which is not the result of the failure of the owner to maintain a habitable residence.
STATE OF NEW YORK
________________________________________________________________________
2845--A
2019-2020 Regular Sessions
IN SENATE
January 29, 2019
___________
Introduced by Sens. KRUEGER, ADDABBO, BAILEY, BENJAMIN, COMRIE, GIANAR-
IS, HOYLMAN, JACKSON, KAVANAGH, MAYER, MONTGOMERY, PARKER, PERSAUD,
RIVERA, SANDERS, SAVINO, SEPULVEDA, SERRANO, STAVISKY -- read twice
and ordered printed, and when printed to be committed to the Committee
on Housing, Construction and Community Development -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee
AN ACT to amend the emergency tenant protection act of nineteen seven-
ty-four and the administrative code of the city of New York, in
relation to the regulation of rents
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (a-2) of section 10 of section 4 of chapter 576
2 of the laws of 1974, constituting the emergency tenant protection act of
3 nineteen seventy-four, as amended by section 11 of part A of chapter 20
4 of the laws of 2015, is amended to read as follows:
5 (a-2) [Provides that where] Where the amount of rent charged to and
6 paid by the tenant is less than the legal regulated rent for the housing
7 accommodation, the amount of rent for such housing accommodation which
8 may be charged [upon renewal or] upon vacancy thereof, may, at the
9 option of the owner, be based upon such previously established legal
10 regulated rent, as adjusted by the most recent applicable guidelines
11 increases and other increases authorized by law; provided, however, that
12 for buildings that are subject to this statute by virtue of a regulatory
13 agreement with a local government agency and which buildings receive
14 federal project based rental assistance administered by the United
15 States department of housing and urban development or a state or local
16 section eight administering agency, where the rent set by the federal,
17 state or local governmental agency is less than the legal regulated rent
18 for the housing accommodation, the amount of rent for such housing
19 accommodation which may be charged upon renewal or upon vacancy thereof,
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00186-05-9
S. 2845--A 2
1 may, at the option of the owner, be based upon such previously estab-
2 lished legal regulated rent, as adjusted by the most recent applicable
3 guidelines increases and other increases authorized by law; and further
4 provided that such vacancy shall not be caused by the failure of the
5 owner or an agent of the owner, to maintain the housing accommodation in
6 compliance with the warranty of habitability set forth in subdivision
7 one of section two hundred thirty-five-b of the real property law. Such
8 housing accommodation shall be excluded from the provisions of this act
9 pursuant to paragraph thirteen of subdivision a of section five of this
10 act when subsequent to vacancy: (i) such legal regulated rent is two
11 thousand five hundred dollars per month, or more, for any housing accom-
12 modation that is, or becomes, vacant after the effective date of the
13 rent act of 2011 but prior to the effective date of the rent act of 2015
14 or (ii) such legal regulated rent is two thousand seven hundred dollars
15 per month or more for any housing accommodation that is or becomes
16 vacant on or after the rent act of 2015; starting on January 1, 2016,
17 and annually thereafter, the maximum legal regulated rent for this
18 deregulation threshold, shall also be increased by the same percent as
19 the most recent one year renewal adjustment, adopted by the applicable
20 rent guidelines board pursuant to the rent stabilization law.
21 § 2. Paragraph 14 of subdivision c of section 26-511 of the adminis-
22 trative code of the city of New York, as amended by section 12 of part A
23 of chapter 20 of the laws of 2015, is amended to read as follows:
24 (14) [provides that] where the amount of rent charged to and paid by
25 the tenant is less than the legal regulated rent for the housing accom-
26 modation, the amount of rent for such housing accommodation which may be
27 charged [upon renewal or] upon vacancy thereof, may, at the option of
28 the owner, be based upon such previously established legal regulated
29 rent, as adjusted by the most recent applicable guidelines increases and
30 any other increases authorized by law; provided, however, that for
31 buildings that are subject to this statute by virtue of a regulatory
32 agreement with a local government agency and which buildings receive
33 federal project based rental assistance administered by the United
34 States department of housing and urban development or a state or local
35 section eight administering agency, where the rent set by the federal,
36 state or local governmental agency is less than the legal regulated rent
37 for the housing accommodation, the amount of rent for such housing
38 accommodation which may be charged upon renewal or upon vacancy thereof,
39 may, at the option of the owner, be based upon such previously estab-
40 lished legal regulated rent, as adjusted by the most recent applicable
41 guidelines increases and other increases authorized by law; and further
42 provided that such vacancy shall not be caused by the failure of the
43 owner or an agent of the owner, to maintain the housing accommodation in
44 compliance with the warranty of habitability set forth in subdivision
45 one of section two hundred thirty-five-b of the real property law. Such
46 housing accommodation shall be excluded from the provisions of this code
47 pursuant to section 26-504.2 of this chapter when, subsequent to vacan-
48 cy: (i) such legal regulated rent prior to vacancy is two thousand five
49 hundred dollars per month, or more, for any housing accommodation that
50 is or becomes vacant after the effective date of the rent act of 2011
51 but prior to the effective date of the rent act of 2015 or (ii) such
52 legal regulated rent is two thousand seven hundred dollars per month or
53 more, provided, however that on January 1, 2016, and annually thereaft-
54 er, the maximum legal regulated rent for this deregulation threshold
55 shall be adjusted by the same percentage as the most recent one year
56 renewal adjustment as adjusted by the relevant rent guidelines board,
S. 2845--A 3
1 for any housing accommodation that is or becomes vacant on or after the
2 rent act of 2015.
3 § 3. This act shall take effect immediately; provided, however, that
4 the amendments to section 10 of the emergency tenant protection act of
5 nineteen seventy-four made by section one of this act shall expire on
6 the same date as such act expires and shall not affect the expiration of
7 such act as provided in section 17 of chapter 576 of the laws of 1974,
8 as amended; and provided, further, that the amendments to section 26-511
9 of chapter 4 of title 26 of the administrative code of the city of New
10 York made by section two of this act shall expire on the same date as
11 such law expires and shall not affect the expiration of such law as
12 provided under section 26-520 of such law.