BILL NUMBER:  S1451

 TITLE OF BILL :  An act to amend the administrative code of the city
of New York, in relation to certain exemptions on multiple dwellings

 PURPOSE OR GENERAL IDEA OF BILL :

The purpose of this bill is to change the calculation of the income
eligibility criteria for new housing construction participating in the
421-a property tax benefit program so that such calculation is not
distorted by income levels outside of the community in which the new
construction is located.

 SUMMARY OF PROVISIONS :

Section 1 of the bill amends the administrative code of the city of
New York by adding a new section 11-245.10, which would require no
fewer than 40 percent of the dwelling units in new multiple dwellings
to be made affordable and available for occupancy by individuals or
families whose household incomes, respectively, are equal to or less
than the mean household income for individuals and families within the
zip code of the area in which the proposed dwelling is to be
constructed, for such a dwelling to be eligible to receive benefits
under section 421-a of the real property tax law.

Section 2 provides for this act to take effect immediately.
              

 JUSTIFICATION :

Real property tax benefits for the construction of new housing should
be structured in a way that provides the maximum amount of affordable
housing to those truly in need. This has not always been the case, in
part, because the current calculation of the Area Median Income
includes zip codes that inflate the calculation. Accordingly, when the
City confers benefits pursuant to section 421-a, the income
eligibility criteria for individuals and families should be more
closely related to the income levels of the population within the
communities where these units are located. This bill would make sure
that the income eligibility calculation only uses incomes of
individuals and families in the zip code of the area in which the
proposed dwelling is to be constructed.

 PRIOR LEGISLATIVE HISTORY :

None.

 FISCAL IMPLICATIONS :

To be determined.

 EFFECTIVE DATE :
This act shall be effective immediately.