Bill Text: NY A01659 | 2019-2020 | General Assembly | Introduced

Bill Title: Requires developers to deposit a portion of the total estimated project cost into an escrow account for damage caused to neighboring properties during construction; provides that any work on a project shall be stopped until repairs are made on the adjoining property; provides that the New York city department of buildings shall develop a procedure whereby individuals who suffer damage as a result of the construction may be reimbursed within a period of sixty days.

Spectrum: Partisan Bill (Democrat 8-0)

Status: (Introduced) 2019-01-16 - referred to cities [A01659 Detail]

Download: New_York-2019-A01659-Introduced.html

                STATE OF NEW YORK
                               2019-2020 Regular Sessions
                   IN ASSEMBLY
                                    January 16, 2019
        Introduced  by  M. of A. LENTOL, COLTON, L. ROSENTHAL -- Multi-Sponsored
          by -- M. of A.  AUBRY, COOK, DINOWITZ, GLICK, PERRY -- read  once  and
          referred to the Committee on Cities
        AN  ACT  to  amend  the  administrative code of the city of New York, in
          relation to establishing escrow accounts to protect neighboring  land-
          owners and tenants from damage due to construction
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
     1    Section 1. The administrative code of the city of New York is  amended
     2  by adding a new section 28-103.32 to read as follows:
     3    § 28-103.32 Developers' escrow accounts. 1. Any developer who plans to
     4  construct  any building within the city shall, prior to the commencement
     5  of any construction, deposit ten percent of the total estimated  project
     6  cost into an escrow account.
     7    2.  An  escrow account established pursuant to subdivision one of this
     8  section shall be used to settle claims of property owners whose property
     9  is damaged during any construction, or the claims  of  tenants  who  are
    10  displaced  from  their residence as the result of damage to the property
    11  from the construction. A developer shall be held strictly liable for any
    12  damage  or  relocation  expense  that  occurs  as  a   result   of   the
    13  construction.
    14    3.  In addition to the requirements imposed by subdivision one of this
    15  section, if any damages occur to an adjoining property, any and all work
    16  on such  project  shall  be  stopped  until  such  damaged  property  is
    17  repaired.
    18    4.  The  department  shall  establish  a  claim procedure for property
    19  owners and tenants who wish to file claims against the money  set  aside
    20  pursuant  to  this  section. Such procedure shall provide for a complete
    21  resolution of a claim within sixty days from the date of  its  commence-
    22  ment.
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.

        A. 1659                             2
     1    5. Any funds in the account that are not claimed by an aggrieved prop-
     2  erty  owner  or  tenant  within  six  months after the completion of the
     3  project shall be returned to the developer.
     4    §  2.  The  administrative  code of the city of New York is amended by
     5  adding a new section 28-201.5 to read as follows:
     6    § 28-201.5 Violations not caused by  property  owner.  The  department
     7  shall  not  impose  any fine or other penalty against any property owner
     8  for any violation of the provisions of this  title  that  occur  as  the
     9  result of damage caused by construction on an adjacent building.
    10    §  3.  This  act shall take effect on the ninetieth day after it shall
    11  have become a law.