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.