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
________________________________________________________________________
6527
2017-2018 Regular Sessions
IN SENATE
May 31, 2017
___________
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 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 the amount of rent charged to and paid by
6 the tenant is less than the legal regulated rent for the housing accom-
7 modation, the amount of rent for such housing accommodation which may be
8 charged [upon renewal or] upon vacancy thereof, may, at the option of
9 the owner, be based upon such previously established legal regulated
10 rent, as adjusted by the most recent applicable guidelines increases and
11 other increases authorized by law; provided, however, that such vacancy
12 shall not be caused by the failure of the owner or an agent of the
13 owner, to maintain the housing accommodation in compliance with the
14 warranty of habitability set forth in subdivision one of section two
15 hundred thirty-five-b of the real property law; and further provided
16 that such increase to the previously established legal regulated rent
17 shall not exceed: five percent of the previous legal regulated rent if
18 the last vacancy lease commenced less than two years ago; ten percent of
19 the previous legal regulated rent if the last vacancy lease commenced
20 less than three years ago; fifteen percent of the previous legal regu-
21 lated rent if the last vacancy lease commenced less than four years ago;
22 and twenty percent of the previous legal regulated rent if the last
23 vacancy lease commenced four or more years ago. Such housing accommo-
24 dation shall be excluded from the provisions of this act pursuant to
25 paragraph thirteen of subdivision a of section five of this act when
26 subsequent to vacancy: (i) such legal regulated rent is two thousand
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD06860-03-7
S. 6527 2
1 five hundred dollars per month, or more, for any housing accommodation
2 that is, or becomes, vacant after the effective date of the rent act of
3 2011 but prior to the effective date of the rent act of 2015 or (ii)
4 such legal regulated rent is two thousand seven hundred dollars per
5 month or more for any housing accommodation that is or becomes vacant on
6 or after the rent act of 2015; starting on January 1, 2016, and annually
7 thereafter, the maximum legal regulated rent for this deregulation
8 threshold, shall also be increased by the same percent as the most
9 recent one year renewal adjustment, adopted by the applicable rent
10 guidelines board pursuant to the rent stabilization law.
11 § 2. Paragraph 14 of subdivision c of section 26-511 of the adminis-
12 trative code of the city of New York, as amended by section 12 of part A
13 of chapter 20 of the laws of 2015, is amended to read as follows:
14 (14) provides that where the amount of rent charged to and paid by the
15 tenant is less than the legal regulated rent for the housing accommo-
16 dation, the amount of rent for such housing accommodation which may be
17 charged [upon renewal or] upon vacancy thereof, may, at the option of
18 the owner, be based upon such previously established legal regulated
19 rent, as adjusted by the most recent applicable guidelines increases and
20 any other increases authorized by law; provided, however, that such
21 vacancy shall not be caused by the failure of the owner or an agent of
22 the owner, to maintain the housing accommodation in compliance with the
23 warranty of habitability set forth in subdivision one of section two
24 hundred thirty-five-b of the real property law; and further provided
25 that such increase to the previously established legal regulated rent
26 shall not exceed: five percent of the previous legal regulated rent if
27 the last vacancy lease commenced less than two years ago; ten percent of
28 the previous legal regulated rent if the last vacancy lease commenced
29 less than three years ago; fifteen percent of the previous legal regu-
30 lated rent if the last vacancy lease commenced less than four years ago;
31 and twenty percent of the previous legal regulated rent if the last
32 vacancy lease commenced four or more years ago. Such housing accommo-
33 dation shall be excluded from the provisions of this code pursuant to
34 section 26-504.2 of this chapter when, subsequent to vacancy: (i) such
35 legal regulated rent prior to vacancy is two thousand five hundred
36 dollars per month, or more, for any housing accommodation that is or
37 becomes vacant after the effective date of the rent act of 2011 but
38 prior to the effective date of the rent act of 2015 or (ii) such legal
39 regulated rent is two thousand seven hundred dollars per month or more,
40 provided, however that on January 1, 2016, and annually thereafter, the
41 maximum legal regulated rent for this deregulation threshold shall be
42 adjusted by the same percentage as the most recent one year renewal
43 adjustment as adjusted by the relevant rent guidelines board, for any
44 housing accommodation that is or becomes vacant on or after the rent act
45 of 2015.
46 § 3. This act shall take effect immediately; provided, however, that
47 the amendments to section 10 of the emergency tenant protection act of
48 nineteen seventy-four made by section one of this act shall expire on
49 the same date as such act expires and shall not affect the expiration of
50 such act as provided in section 17 of chapter 576 of the laws of 1974;
51 and provided, further, that the amendments to section 26-511 of the rent
52 stabilization law of nineteen hundred sixty-nine made by section two of
53 this act shall expire on the same date as such law expires and shall not
54 affect the expiration of such law as provided under section 26-520 of
55 such law.
