Bill Text: NY S02845 | 2019-2020 | General Assembly | Amended


Bill Title: 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.

Spectrum: Partisan Bill (Democrat 24-0)

Status: (Introduced) 2019-02-07 - PRINT NUMBER 2845A [S02845 Detail]

Download: New_York-2019-S02845-Amended.html


                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.
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