Bill Text: NY A10252 | 2011-2012 | General Assembly | Amended
Bill Title: Relates to interim multiple dwellings in a city with a population of one million or more persons.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2012-06-18 - amend and recommit to rules 10252c [A10252 Detail]
Download: New_York-2011-A10252-Amended.html
S T A T E O F N E W Y O R K ________________________________________________________________________ 10252--C I N A S S E M B L Y May 16, 2012 ___________ Introduced by M. of A. V. LOPEZ, LENTOL, MILLMAN -- read once and referred to the Committee on Housing -- reported and referred to the Committee on Codes -- reported and referred to the Committee on Rules -- Rules Committee discharged, bill amended, ordered reprinted as amended and recommitted to the Committee on Rules -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee -- again reported from said committee with amendments, ordered reprinted as amended and recommitted to said committee AN ACT to amend the multiple dwelling law and the real property tax law, in relation to interim multiple dwellings in a city with a population of one million or more THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: 1 Section 1. Subdivision 5 of section 281 of the multiple dwelling law, 2 as amended by chapter 139 of the laws of 2011, is amended to read as 3 follows: 4 5. Notwithstanding the provisions of paragraphs (i), (iii) and (iv) of 5 subdivision two of this section, but subject to paragraphs (i) and (ii) 6 of subdivision one of this section and paragraph (ii) of subdivision two 7 of this section, the term "interim multiple dwelling" shall include 8 buildings, structures or portions thereof that are located in a city of 9 more than one million persons which were occupied for residential 10 purposes as the residence or home of any three or more families living 11 independently from one another for a period of twelve consecutive months 12 during the period commencing January first, two thousand eight, and 13 ending December thirty-first, two thousand nine, provided that the unit: 14 is not located in a basement or cellar and has at least one entrance 15 that does not require passage through another residential unit to obtain 16 access to the unit, has at least one window opening onto a street or a 17 lawful yard or court as defined in the zoning resolution for such muni- 18 cipality, and is at least [five hundred fifty] FOUR HUNDRED square feet 19 in area. The term "interim multiple dwelling" as used in this subdivi- 20 sion shall not include (i) any building in an industrial business zone EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD15755-08-2 A. 10252--C 2 1 established pursuant to chapter six-D of title twenty-two of the admin- 2 istrative code of the city of New York except that a building in the 3 Williamsburg/Greenpoint or North Brooklyn industrial business zones and 4 a building located in that portion of the Long Island city industrial 5 business zone that has frontage on either side of forty-seventh avenue 6 or is located north of forty-seventh avenue and south of Skillman avenue 7 or in that portion of the Long Island city industrial business zone that 8 is located north of forty-fourth drive, south of Queens plaza north, and 9 west of twenty-third street may be included in the term "interim multi- 10 ple dwelling," or (ii) units in any building, OTHER THAN A BUILDING THAT 11 IS ALREADY DEFINED AS AN "INTERIM MULTIPLE DWELLING" PURSUANT TO SUBDI- 12 VISION ONE, TWO, THREE OR FOUR OF THIS SECTION, that, at the time this 13 subdivision shall take effect AND CONTINUING AT THE TIME OF THE 14 SUBMISSION OF AN APPLICATION FOR COVERAGE BY ANY PARTY, also contains a 15 use actively and currently pursued, which use is set forth in use groups 16 fifteen through eighteen, as described in the zoning resolution of such 17 municipality in effect on June twenty-first, two thousand ten, and which 18 the loft board has determined in rules and regulation is inherently 19 incompatible with residential use in the same building, provided that if 20 a building does not contain such active uses at the time this subdivi- 21 sion takes effect, no subsequent use by the owner of the building shall 22 eliminate the protections of this section for any residential occupants 23 in the building already qualified for such protections. The term "inter- 24 im multiple dwelling," as used in this subdivision shall also include 25 buildings, structures or portions thereof that are located north of West 26 24th Street and south of West 27th Street and west of tenth avenue and 27 east of eleventh avenue in a city of more than one million persons which 28 were occupied for residential purposes as the residence or home of any 29 two or more families living independently from one another for a period 30 of twelve consecutive months during the period commencing January first, 31 two thousand eight, and ending December thirty-first, two thousand nine 32 and subject to all the conditions and limitations of this subdivision 33 other than the number of units in the building. A reduction in the 34 number of occupied residential units in a building after meeting the 35 aforementioned twelve consecutive month requirement shall not eliminate 36 the protections of this section for any remaining residential occupants 37 qualified for such protections. Non-residential space in a building as 38 of the effective date of this subdivision shall be offered for residen- 39 tial use only after the obtaining of a residential certificate of occu- 40 pancy for such space and such space shall be exempt from this article, 41 even if a portion of such building may be an interim multiple dwelling. 42 S 2. Subdivision 2 of section 286 of the multiple dwelling law, as 43 amended by chapter 414 of the laws of 1999, subparagraphs (A) and (B) of 44 paragraph (ii) and paragraph (iii) as amended by chapter 135 of the laws 45 of 2010, is amended to read as follows: 46 2. (i) Prior to compliance with safety and fire protection standards 47 of article seven-B of this chapter, residential occupants qualified for 48 protection pursuant to this article shall be entitled to continued occu- 49 pancy, provided that the unit is their primary residence, and shall pay 50 the same rent, including escalations, specified in their lease or rental 51 agreement to the extent to which such lease or rental agreement remains 52 in effect or, in the absence of a lease or rental agreement, the same 53 rent most recently paid and accepted by the owner; if there is no lease 54 or other rental agreement in effect, rent adjustments prior to article 55 seven-B compliance shall be in conformity with guidelines to be set by A. 10252--C 3 1 the loft board for such residential occupants within six months from the 2 effective date of this article. 3 (ii) In addition to any rent adjustment pursuant to paragraph (i) of 4 this subdivision, on or after June twenty-first, nineteen hundred nine- 5 ty-two, the rent for residential units in interim multiple dwellings 6 that are not yet in compliance with the requirements of subdivision one 7 of section two hundred eighty-four of this article shall be adjusted as 8 follows: 9 (A) Upon the owners' filing of an alteration application, as required 10 by paragraph (ii), (iii), (iv), (v), or (vi) of subdivision one of 11 section two hundred eighty-four of this article, an adjustment equal to 12 [six] THREE percent of the rent in effect at the time the owner files 13 the alteration application. 14 (B) Upon obtaining an alteration permit, as required by paragraph 15 (ii), (iii), (iv), (v), or (vi) of subdivision one of section two 16 hundred eighty-four of this article, an adjustment equal to [eight] 17 THREE percent of the rent in effect at the time the owner obtains the 18 alteration permit. 19 (C) Upon achieving compliance with the standards of safety and fire 20 protection set forth in article seven-B of this chapter for the residen- 21 tial portions of the building, an adjustment equal to [six] FOUR percent 22 of the rent in effect at the time the owner achieves such compliance. 23 (D) Owners who filed an alteration application prior to the effective 24 date of this subparagraph shall be entitled to a prospective adjustment 25 equal to six percent of the rent on the effective date of this subpara- 26 graph. 27 (E) Owners who obtained an alteration permit prior to June twenty- 28 first, nineteen hundred ninety-two shall be entitled to a prospective 29 adjustment equal to fourteen percent of the rent on June twenty-first, 30 nineteen hundred ninety-two. 31 (F) Owners who achieved compliance with the standards of safety and 32 fire protection set forth in article seven-B of this chapter for the 33 residential portions of the building prior to June twenty-first, nine- 34 teen hundred ninety-two shall be entitled to a prospective adjustment 35 equal to twenty percent of the rent on June twenty-first, nineteen 36 hundred ninety-two. 37 (iii) Any rent adjustments pursuant to paragraph (ii) of this subdivi- 38 sion shall not apply to units which were rented at market value after 39 June twenty-first, nineteen hundred eighty-two and prior to June twen- 40 ty-first, nineteen hundred ninety-two. This paragraph shall not apply to 41 units made subject to this article by subdivision five of section two 42 hundred eighty-one of this article. 43 (iv) Payment of any rent adjustments pursuant to paragraph (ii) of 44 this subdivision shall commence the month immediately following the 45 month in which the act entitling the owner to the adjustment occurred. 46 S 3. The provisions of subdivision (c) of section 11-245 of the admin- 47 istrative code of the city of New York shall not be applicable to any 48 multiple dwelling located on lots numbered 13 and 14 of Manhattan block 49 numbered 51, lots numbered 17, 18, and 21 of Manhattan block number 90, 50 lots numbered 7, 8, 10, 11, 57 and 111 of Manhattan block numbered 1010, 51 and lots numbered 33, 34 and 35 of Manhattan block numbered 1259 as such 52 lots and blocks are numbered as of the date this act shall have become 53 law, provided that the construction of such multiple dwellings on those 54 lots commences on or after January 1, 2007, and on or before June 21, 55 2017, and provided that for all such multiple dwellings the department 56 of housing preservation and development of New York City shall impose a A. 10252--C 4 1 requirement and certify that twenty percent of the units on site are 2 affordable to households of low and moderate income pursuant to subdivi- 3 sion 7 of section 421-a of the real property tax law. The provisions of 4 subdivision (c) of section 11-245 of the administrative code of the city 5 of New York shall not be applicable to any multiple dwelling that is 6 located on lot 10 of Manhattan block number 123, as such lot and block 7 are numbered as of the date this act shall have become law, provided 8 that construction of such multiple dwelling commenced on or after Janu- 9 ary 1, 2007, and on or before June 21, 2012, and provided further that 10 the individual or agent thereof seeking benefits pursuant to section 11 421-a of the real property tax law enters into and fulfills the require- 12 ments of a memorandum of understanding with the city of New York Depart- 13 ment of Housing Preservation and Development to fund in an amount not 14 less than $9 million the construction of affordable rental housing with- 15 in the City of New York, provided, however, that such amount required 16 shall be reduced by the value of negotiable certificates that the indi- 17 vidual or agent thereof seeking benefits purchased, pursuant to section 18 6-08 of title 28 of the rules of the city of New York as such rules 19 existed as of the date this act shall have become law, in order to enti- 20 tle such multiple dwelling to the benefits pursuant to section 421-a of 21 the real property tax law for a specified number of units in the 22 geographic exclusion area, provided that such negotiable certificates 23 were generated by a written agreement with the Department of Housing 24 Preservation and Development, and provided further that, notwithstanding 25 any other provision of law, benefits granted pursuant to section 421-a 26 of the real property tax law for such multiple dwelling shall be granted 27 as if construction commenced as of the date this act shall have become 28 law. 29 S 4. Subparagraph (i) of paragraph (a) of subdivision 2 of section 30 421-a of the real property tax law, as amended by section 38 of part B 31 of chapter 97 of the laws of 2011, is amended to read as follows: 32 (i) Within a city having a population of one million or more, new 33 multiple dwellings, except hotels, shall be exempt from taxation for 34 local purposes, other than assessments for local improvements, for the 35 tax year or years immediately following taxable status dates occurring 36 subsequent to the commencement and prior to the completion of 37 construction, but not to exceed three such tax years, [except for new 38 multiple dwellings the construction of which commenced between January 39 first, two thousand seven, and June thirtieth, two thousand nine, shall 40 have an additional thirty-six months to complete construction and shall 41 be eligible for full exemption from taxation for the first three years 42 of the period of construction; any eligible project that seeks to 43 utilize the six-year period of construction authorized by this section 44 must apply for a preliminary certificate of eligibility within one year 45 of the effective date of the rent act of 2011, provided, however that 46 such multiple dwellings shall be eligible for a maximum of three years 47 of benefits during the construction period,] and shall continue to be 48 exempt from such taxation in tax years immediately following the taxable 49 status date first occurring after the expiration of the exemption herein 50 conferred during construction so long as used at the completion of 51 construction for dwelling purposes for a period not to exceed ten years 52 in the aggregate after the taxable status date immediately following the 53 completion thereof, as follows: 54 (A) except as otherwise provided herein there shall be full exemption 55 from taxation during the period of construction or the period of three 56 years immediately following commencement of construction, whichever A. 10252--C 5 1 expires sooner, [except for new multiple dwellings the construction of 2 which commenced between January first, two thousand seven, and June 3 thirtieth, two thousand nine, shall have an additional thirty-six months 4 to complete construction and shall be eligible for full exemption from 5 taxation for the first three years of the period of construction; any 6 eligible project that seeks to utilize the six-year period of 7 construction authorized by this section must apply for a preliminary 8 certificate of eligibility within one year of the effective date of the 9 rent act of 2011, provided, however that such multiple dwellings shall 10 be eligible for a maximum of three years of benefits during the 11 construction period,] and for two years following such period; 12 (B) followed by two years of exemption from eighty per cent of such 13 taxation; 14 (C) followed by two years of exemption from sixty per cent of such 15 taxation; 16 (D) followed by two years of exemption from forty per cent of such 17 taxation; 18 (E) followed by two years of exemption from twenty per cent of such 19 taxation; 20 The following table shall illustrate the computation of the tax 21 exemption: 22 CONSTRUCTION OF CERTAIN MULTIPLE DWELLINGS 23 Exemption 24 During Construction (maximum three years)[; 100% 25 except construction commenced between January 26 first, two thousand seven and June 27 thirtieth, two thousand nine (maximum 28 three years)] 29 Following completion of work 30 Year: 31 1 100% 32 2 100 33 3 80 34 4 80 35 5 60 36 6 60 37 7 40 38 8 40 39 9 20 40 10 20 41 S 5. Clause (A) of subparagraph (ii) of paragraph (a) of subdivision 2 42 of section 421-a of the real property tax law, as amended by section 39 43 of part B of chapter 97 of the laws of 2011, is amended to read as 44 follows: 45 (A) Within a city having a population of one million or more the local 46 housing agency may adopt rules and regulations providing that except in 47 areas excluded by local law new multiple dwellings, except hotels, shall 48 be exempt from taxation for local purposes, other than assessments for 49 local improvements, for the tax year or years immediately following 50 taxable status dates occurring subsequent to the commencement and prior 51 to the completion of construction, but not to exceed three such tax 52 years, [except for new multiple dwellings the construction of which A. 10252--C 6 1 commenced between January first, two thousand seven, and June thirtieth, 2 two thousand nine, shall have an additional thirty-six months to 3 complete construction and shall be eligible for full exemption from 4 taxation for the first three years of the period of construction; any 5 eligible project that seeks to utilize the six-year period of 6 construction authorized by this section must apply for a preliminary 7 certificate of eligibility within one year of the effective date of the 8 rent act of 2011, provided, however that such multiple dwellings shall 9 be eligible for a maximum of three years of benefits during the 10 construction period,] and shall continue to be exempt from such taxation 11 in tax years immediately following the taxable status date first occur- 12 ring after the expiration of the exemption herein conferred during such 13 construction so long as used at the completion of construction for 14 dwelling purposes for a period not to exceed fifteen years in the aggre- 15 gate, as follows: 16 a. except as otherwise provided herein there shall be full exemption 17 from taxation during the period of construction or the period of three 18 years immediately following commencement of construction, whichever 19 expires sooner, [except for new multiple dwellings the construction of 20 which commenced between January first, two thousand seven, and June 21 thirtieth, two thousand nine, shall have an additional thirty-six months 22 to complete construction and shall be eligible for full exemption from 23 taxation for the first three years of the period of construction; any 24 eligible project that seeks to utilize the six-year period of 25 construction authorized by this section must apply for a preliminary 26 certificate of eligibility within one year of the effective date of the 27 rent act of 2011, provided, however that such multiple dwellings shall 28 be eligible for a maximum of three years of benefits during the 29 construction period,] and for eleven years following such period; 30 b. followed by one year of exemption from eighty percent of such taxa- 31 tion; 32 c. followed by one year of exemption from sixty percent of such taxa- 33 tion; 34 d. followed by one year of exemption from forty percent of such taxa- 35 tion; 36 e. followed by one year of exemption from twenty percent of such taxa- 37 tion. 38 S 6. Clause (A) of subparagraph (iii) of paragraph (a) of subdivision 39 2 of section 421-a of the real property tax law, as amended by section 40 40 of part B of chapter 97 of the laws of 2011, is amended to read as 41 follows: 42 (A) Within a city having a population of one million or more the local 43 housing agency may adopt rules and regulations providing that new multi- 44 ple dwellings, except hotels, shall be exempt from taxation for local 45 purposes, other than assessments for local improvements, for the tax 46 year or years immediately following taxable status dates occurring 47 subsequent to the commencement and prior to the completion of 48 construction, but not to exceed three such tax years, [except for new 49 multiple dwellings the construction of which commenced between January 50 first, two thousand seven, and June thirtieth, two thousand nine, shall 51 have an additional thirty-six months to complete construction and shall 52 be eligible for full exemption from taxation for the first three years 53 of the period of construction; any eligible project that seeks to 54 utilize the six-year period of construction authorized by this section 55 must apply for a preliminary certificate of eligibility within one year 56 of the effective date of the rent act of 2011, provided, however that A. 10252--C 7 1 such multiple dwellings shall be eligible for a maximum of three years 2 of benefits during the construction period,] and shall continue to be 3 exempt from such taxation in tax years immediately following the taxable 4 status date first occurring after the expiration of the exemption herein 5 conferred during such construction so long as used at the completion of 6 construction for dwelling purposes for a period not to exceed twenty- 7 five years in the aggregate, provided that the area in which the project 8 is situated is a neighborhood preservation program area as determined by 9 the local housing agency as of June first, nineteen hundred eighty-five, 10 or is a neighborhood preservation area as determined by the New York 11 city planning commission as of June first, nineteen hundred eighty-five, 12 or is an area that was eligible for mortgage insurance provided by the 13 rehabilitation mortgage insurance corporation as of May first, nineteen 14 hundred ninety-two or is an area receiving funding for a neighborhood 15 preservation project pursuant to the neighborhood reinvestment corpo- 16 ration act (42 U.S.C. SS180 et seq.) as of June first, nineteen hundred 17 eighty-five, as follows: 18 a. except as otherwise provided herein there shall be full exemption 19 from taxation during the period of construction or the period of three 20 years immediately following commencement of construction, whichever 21 expires sooner, [except for new multiple dwellings the construction of 22 which commenced between January first, two thousand seven, and June 23 thirtieth, two thousand nine, shall have an additional thirty-six months 24 to complete construction and shall be eligible for full exemption from 25 taxation for the first three years of the period of construction; any 26 eligible project that seeks to utilize the six-year period of 27 construction authorized by this section must apply for a preliminary 28 certificate of eligibility within one year of the effective date of the 29 rent act of 2011, provided, however that such multiple dwellings shall 30 be eligible for a maximum of three years of benefits during the 31 construction period,] and for twenty-one years following such period; 32 b. followed by one year of exemption from eighty percent of such taxa- 33 tion; 34 c. followed by one year of exemption from sixty percent of such taxa- 35 tion; 36 d. followed by one year of exemption from forty percent of such taxa- 37 tion; 38 e. followed by one year of exemption from twenty percent of such taxa- 39 tion. 40 S 7. Severability clause. If any clause, sentence, paragraph, subdivi- 41 sion, section or subpart of this act shall be adjudged by any court of 42 competent jurisdiction to be invalid, such judgment shall not affect, 43 impair, or invalidate the remainder thereof, but shall be confined in 44 its operation to the clause, sentence, paragraph, subdivision, section 45 or subpart thereof directly involved in the controversy in which such 46 judgment shall have been rendered. It is hereby declared to be the 47 intent of the legislature that this act would have been enacted even if 48 such invalid provisions had not been included herein. 49 S 8. This act shall take effect immediately, provided, however, that 50 the provisions of section one of this act shall be deemed to have been 51 in full force and effect on and after July 1, 2010; and provided 52 further, however, that the provisions of section three of this act shall 53 be deemed to have been in full force and effect on and after December 54 31, 2007; and provided further, however, that the provisions of sections 55 four, five and six of this act shall be deemed to have been in full 56 force and effect on and after December 28, 2010; and provided that, with A. 10252--C 8 1 respect to any application for a preliminary certificate of eligibility 2 that is filed no later than June 24, 2012, or that is filed for a 3 project that was the subject of mortgage foreclosure proceedings or 4 other lien enforcement litigation by a lender on or before June 24, 5 2012, such project shall be subject to that portion of the definition of 6 "commence" contained in item (1) of clause (iv) of subparagraph (2) of 7 paragraph (b) of subdivision (a) of section 6-09 of title twenty-eight 8 of the rules of the city of New York.