Bill Text: NY S05220 | 2009-2010 | General Assembly | Introduced


Bill Title: Establishes criteria for approval of rent increases to rent regulated property resulting from major capital improvements to insure that the work performed is an enhancement or upgrade to a housing accommodation or service therein and is not merely repair or replacement to existing services; prohibits approval of a major capital improvement rent increase where any outstanding hazardous violations exist.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2010-01-06 - REFERRED TO HOUSING, CONSTRUCTION AND COMMUNITY DEVELOPMENT [S05220 Detail]

Download: New_York-2009-S05220-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         5220
                              2009-2010 Regular Sessions
                                   I N  S E N A T E
                                    April 27, 2009
                                      ___________
       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 administrative code of the city of New York and the
         emergency tenant protection act of nineteen seventy-four, in  relation
         to approval of major capital improvement rent increases
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Section 26-405 of the administrative code of  the  city  of
    2  New York is amended by adding a new subdivision n to read as follows:
    3    N.  (1) NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL BE APPROVED BY
    4  THE DIVISION OF HOUSING AND COMMUNITY RENEWAL UNLESS THE WORK  PERFORMED
    5  IS AN ENHANCEMENT OR UPGRADE TO A HOUSING ACCOMMODATION OR SERVICE THER-
    6  EIN;  OR  IS  AN  ADDITION  TO  SUCH HOUSING ACCOMMODATION AND OTHERWISE
    7  ELIGIBLE ACCORDING TO THE PREREQUISITES FOR  MAJOR  CAPITAL  IMPROVEMENT
    8  RENT INCREASES.
    9    (A) ANY REPAIR OR REPLACEMENT INTENDED TO MAINTAIN AN EXISTING SERVICE
   10  SHALL NOT BE ELIGIBLE FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE.
   11    (B)  ANY  SERVICE  OR  FACILITY WHICH IS ASSURED UNDER THE WARRANTY OF
   12  HABITABILITY, OR OTHERWISE PROVIDED FOR IN A LEASE OR  RENTAL  AGREEMENT
   13  BETWEEN  OWNER  AND  TENANT,  SHALL  NOT BE ELIGIBLE FOR A MAJOR CAPITAL
   14  IMPROVEMENT RENT INCREASE.
   15    (2) NO APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT  INCREASE  MAY
   16  BE  APPROVED  IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS AT THE
   17  TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
   18  REGULATIONS OF THE DIVISION OF HOUSING  AND  COMMUNITY  RENEWAL  OR  ANY
   19  AGENCY  ADMINISTERING  AND ENFORCING A BUILDING CODE IN THE JURISDICTION
   20  IN WHICH THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY  THE  DIVI-
   21  SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
   22  ALLEVIATION  OF  THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT WITH THE
   23  PROVISIONS OF THIS SECTION. EXCEPT IN THE  CASE  OF  EMERGENCY  OR  GOOD
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD10329-01-9
       S. 5220                             2
    1  CAUSE,  THE  OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN THIRTY DAYS
    2  BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING
    3  AND COMMUNITY RENEWAL A STATEMENT CONTAINING INFORMATION  OUTLINING  THE
    4  SCOPE  OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN AFFIDA-
    5  VIT SETTING FORTH THE FOLLOWING INFORMATION:
    6    (A) EVERY OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST  IN  THE
    7  PROPERTY  OR  ENTITY  OWNING THE PROPERTY OR SPONSORING THE IMPROVEMENT;
    8  AND
    9    (B) A STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE  FIVE  YEARS
   10  PRIOR  TO  THE  IMPROVEMENT,  BEEN  FOUND TO HAVE HARASSED OR UNLAWFULLY
   11  EVICTED TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY  UNDER
   12  THE  PENAL  LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY STATE OR
   13  LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.
   14    UPON RECEIPT OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED  FOR  HEREIN,
   15  THE  DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE THE TENANTS
   16  IN OCCUPANCY IN SUCH BUILDINGS WITH SUCH INFORMATION.   THE DIVISION  OF
   17  HOUSING  AND  COMMUNITY RENEWAL SHALL, IN ADDITION, IMPLEMENT PROCEDURES
   18  INCLUDING, BUT NOT LIMITED TO, ELICITING TENANT  COMMENTS  TO  DETERMINE
   19  WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN SATISFAC-
   20  TORILY  COMPLETED.  NO  MAJOR  CAPITAL  IMPROVEMENT  RENT INCREASE SHALL
   21  BECOME EFFECTIVE UNTIL ANY DEFECTIVE OR  DEFICIENT  REHABILITATION  WORK
   22  HAS BEEN CURED.
   23    S 2. Subdivision c of section 26-511 of the administrative code of the
   24  city  of  New  York  is amended by adding a new paragraph 6-b to read as
   25  follows:
   26    (6-B) PROVIDES CRITERIA WHEREBY THE COMMISSIONER MAY ACT UPON APPLICA-
   27  TION BY OWNERS FOR INCREASES  IN  EXCESS  OF  THE  LEVEL  OF  FAIR  RENT
   28  INCREASE ESTABLISHED UNDER THIS LAW PROVIDED HOWEVER, THAT SUCH CRITERIA
   29  SHALL PROVIDE THAT:
   30    (1) NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL BE APPROVED BY THE
   31  DIVISION  OF  HOUSING AND COMMUNITY RENEWAL UNLESS THE WORK PERFORMED IS
   32  AN ENHANCEMENT OR UPGRADE TO A HOUSING ACCOMMODATION OR SERVICE THEREIN;
   33  OR IS AN ADDITION TO SUCH HOUSING ACCOMMODATION AND  OTHERWISE  ELIGIBLE
   34  ACCORDING  TO  THE  PREREQUISITES  FOR  MAJOR  CAPITAL  IMPROVEMENT RENT
   35  INCREASES.
   36    (A) ANY REPAIR OR REPLACEMENT INTENDED TO MAINTAIN AN EXISTING SERVICE
   37  SHALL NOT BE ELIGIBLE FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE.
   38    (B) ANY SERVICE OR FACILITY WHICH IS ASSURED  UNDER  THE  WARRANTY  OF
   39  HABITABILITY,  OR  OTHERWISE PROVIDED FOR IN A LEASE OR RENTAL AGREEMENT
   40  BETWEEN OWNER AND TENANT, SHALL NOT BE  ELIGIBLE  FOR  A  MAJOR  CAPITAL
   41  IMPROVEMENT RENT INCREASE.
   42    (2)  NO  APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE MAY
   43  BE APPROVED IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS  AT  THE
   44  TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
   45  REGULATIONS  OF  THE  DIVISION  OF  HOUSING AND COMMUNITY RENEWAL OR ANY
   46  AGENCY ADMINISTERING AND ENFORCING A BUILDING CODE IN  THE  JURISDICTION
   47  IN  WHICH  THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY THE DIVI-
   48  SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
   49  ALLEVIATION OF THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT  WITH  THE
   50  PROVISIONS  OF  THIS  SECTION.  EXCEPT  IN THE CASE OF EMERGENCY OR GOOD
   51  CAUSE, THE OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN  THIRTY  DAYS
   52  BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING
   53  AND  COMMUNITY  RENEWAL A STATEMENT CONTAINING INFORMATION OUTLINING THE
   54  SCOPE OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN  AFFIDA-
   55  VIT SETTING FORTH THE FOLLOWING INFORMATION:
       S. 5220                             3
    1    (A)  EVERY  OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST IN THE
    2  PROPERTY OR ENTITY OWNING THE PROPERTY OR  SPONSORING  THE  IMPROVEMENT;
    3  AND
    4    (B)  A  STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE FIVE YEARS
    5  PRIOR TO THE IMPROVEMENT, BEEN FOUND  TO  HAVE  HARASSED  OR  UNLAWFULLY
    6  EVICTED  TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY UNDER
    7  THE PENAL LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY  STATE  OR
    8  LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.
    9    UPON  RECEIPT  OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED FOR HEREIN,
   10  THE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE THE  TENANTS
   11  IN  OCCUPANCY  IN SUCH BUILDINGS WITH SUCH INFORMATION.  THE DIVISION OF
   12  HOUSING AND COMMUNITY RENEWAL SHALL, IN ADDITION,  IMPLEMENT  PROCEDURES
   13  INCLUDING,  BUT  NOT  LIMITED TO, ELICITING TENANT COMMENTS TO DETERMINE
   14  WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN SATISFAC-
   15  TORILY COMPLETED. NO  MAJOR  CAPITAL  IMPROVEMENT  RENT  INCREASE  SHALL
   16  BECOME  EFFECTIVE  UNTIL  ANY DEFECTIVE OR DEFICIENT REHABILITATION WORK
   17  HAS BEEN CURED.
   18    S 3. Section 6 of section 4 of  chapter  576  of  the  laws  of  1974,
   19  constituting  the  emergency  tenant protection act of nineteen seventy-
   20  four, is amended by adding a new subdivision d-1 to read as follows:
   21    D-1. (1) NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL  BE  APPROVED
   22  BY  THE  DIVISION  OF  HOUSING  AND  COMMUNITY  RENEWAL  UNLESS THE WORK
   23  PERFORMED IS AN ENHANCEMENT OR UPGRADE TO  A  HOUSING  ACCOMMODATION  OR
   24  SERVICE  THEREIN;  OR  IS  AN ADDITION TO SUCH HOUSING ACCOMMODATION AND
   25  OTHERWISE ELIGIBLE ACCORDING TO  THE  PREREQUISITES  FOR  MAJOR  CAPITAL
   26  IMPROVEMENT RENT INCREASES.
   27    (A) ANY REPAIR OR REPLACEMENT INTENDED TO MAINTAIN AN EXISTING SERVICE
   28  SHALL NOT BE ELIGIBLE FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE.
   29    (B)  ANY  SERVICE  OR  FACILITY WHICH IS ASSURED UNDER THE WARRANTY OF
   30  HABITABILITY, OR OTHERWISE PROVIDED FOR IN A LEASE OR  RENTAL  AGREEMENT
   31  BETWEEN  OWNER  AND  TENANT,  SHALL  NOT BE ELIGIBLE FOR A MAJOR CAPITAL
   32  IMPROVEMENT RENT INCREASE.
   33    (2) NO APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT  INCREASE  MAY
   34  BE  APPROVED  IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS AT THE
   35  TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
   36  REGULATIONS OF THE DIVISION OF HOUSING  AND  COMMUNITY  RENEWAL  OR  ANY
   37  AGENCY  ADMINISTERING  AND ENFORCING A BUILDING CODE IN THE JURISDICTION
   38  IN WHICH THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY  THE  DIVI-
   39  SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
   40  ALLEVIATION  OF  THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT WITH THE
   41  PROVISIONS OF THIS SECTION. EXCEPT IN THE  CASE  OF  EMERGENCY  OR  GOOD
   42  CAUSE,  THE  OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN THIRTY DAYS
   43  BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING
   44  AND COMMUNITY RENEWAL A STATEMENT CONTAINING INFORMATION  OUTLINING  THE
   45  SCOPE  OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN AFFIDA-
   46  VIT SETTING FORTH THE FOLLOWING INFORMATION:
   47    (A) EVERY OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST  IN  THE
   48  PROPERTY  OR  ENTITY  OWNING THE PROPERTY OR SPONSORING THE IMPROVEMENT;
   49  AND
   50    (B) A STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE  FIVE  YEARS
   51  PRIOR  TO  THE  IMPROVEMENT,  BEEN  FOUND TO HAVE HARASSED OR UNLAWFULLY
   52  EVICTED TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY  UNDER
   53  THE  PENAL  LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY STATE OR
   54  LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.
   55    UPON RECEIPT OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED  FOR  HEREIN,
   56  THE  DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE THE TENANTS
       S. 5220                             4
    1  IN OCCUPANCY IN SUCH BUILDINGS WITH SUCH INFORMATION.   THE DIVISION  OF
    2  HOUSING  AND  COMMUNITY RENEWAL SHALL, IN ADDITION, IMPLEMENT PROCEDURES
    3  INCLUDING, BUT NOT LIMITED TO, ELICITING TENANT  COMMENTS  TO  DETERMINE
    4  WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN SATISFAC-
    5  TORILY  COMPLETED.  NO  MAJOR  CAPITAL  IMPROVEMENT  RENT INCREASE SHALL
    6  BECOME EFFECTIVE UNTIL ANY DEFECTIVE OR  DEFICIENT  REHABILITATION  WORK
    7  HAS BEEN CURED.
    8    S  4. This act shall take effect immediately, provided that the amend-
    9  ment to section 26-405 of the city rent and rehabilitation law  made  by
   10  section  one  of  this act shall remain in full force and effect only so
   11  long as the public emergency requiring the  regulation  and  control  of
   12  residential  rents and evictions continues, as provided in subdivision 3
   13  of section 1 of  the  local  emergency  housing  rent  control  act  and
   14  provided  further  that  the  amendment  to  section  26-511 of the rent
   15  stabilization law of nineteen hundred sixty-nine made by section two  of
   16  this act shall expire on the same date as such law expires and shall not
   17  affect  the  expiration  of such law as provided under section 26-520 of
   18  such law, as from time to time amended and  provided  further  that  the
   19  amendment  to  section 6 of the emergency tenant protection act of nine-
   20  teen seventy-four made by section three of this act shall expire on  the
   21  same  date  as  such  act expires and shall not affect the expiration of
   22  such act as provided in section 17 of chapter 576 of the laws  of  1974,
   23  as from time to time amended.
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