S T A T E O F N E W Y O R K
________________________________________________________________________
4359--B
2009-2010 Regular Sessions
I N A S S E M B L Y
February 3, 2009
___________
Introduced by M. of A. PRETLOW, KAVANAGH, ROSENTHAL, N. RIVERA,
O'DONNELL, BENJAMIN, JEFFRIES, POWELL, MAYERSOHN, BENEDETTO -- Multi-
Sponsored by -- M. of A. BING, BROOK-KRASNY, GLICK, MILLMAN, TITONE
-- read once and referred to the Committee on Housing -- committee
discharged, bill amended, ordered reprinted as amended and recommitted
to said committee -- again reported from said committee with amend-
ments, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the emergency tenant protection act of nineteen seven-
ty-four, in relation to limited-profit housing companies and other
buildings or structures which received project-based rental assistance
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative findings and declaration of emergency. The
legislature hereby finds and declares that the serious public emergency
which led to the enactment of the existing laws regulating residential
rents and evictions continues to exist; that such laws would better
serve the public interest if certain changes were made thereto, includ-
ing extending to certain cities, towns and villages the authority to
provide for the regulation of rents and evictions with regard to housing
accommodations that cease or have ceased to be regulated pursuant to
article 2 of the private housing finance law, known as the Mitchell-Lama
law, or pursuant to project-based section eight contracts entered into
with the federal government.
The legislature further recognizes that severe disruption of the
rental housing market has occurred and threatens to be exacerbated as a
result of the abrupt termination of rent and eviction regulation when
buildings completed or substantially renovated as family units on or
after January first, nineteen hundred seventy-four exit the Mitchell-
Lama program or when buildings cease to be subject to project-based
section eight contracts. The situation had permitted speculative and
profiteering practices and has brought about the loss of vital and irre-
placeable affordable housing for working persons and families.
The legislature therefore declares that in order to prevent uncertain-
ty, potential hardship and dislocation of tenants living in housing
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD07971-11-9
A. 4359--B 2
accommodations subject to government regulations as to rentals and
continued occupancy as well as those not subject to such regulations,
the provisions of this act are necessary to protect the public health,
safety and general welfare. The necessity in the public interest for the
provisions hereinafter enacted is hereby declared as a matter of legis-
lative determination.
S 2. Section 5 of section 4 of chapter 576 of the laws of 1974 consti-
tuting the emergency tenant protection act of nineteen seventy-four is
amended by adding a new subdivision c to read as follows:
C. NOTWITHSTANDING ANY OTHER PROVISION OF THIS SECTION, NOTHING SHALL
PREVENT THE DECLARATION OF AN EMERGENCY PURSUANT TO SECTION THREE OF
THIS ACT FOR RENTAL HOUSING ACCOMMODATIONS LOCATED IN BUILDINGS OR
STRUCTURES WHICH WERE OWNED BY A COMPANY ESTABLISHED UNDER ARTICLE TWO
OF THE PRIVATE HOUSING FINANCE LAW, OTHER THAN A MUTUAL COMPANY, WHICH
ARE NO LONGER OWNED BY SUCH COMPANY BY REASON OF A VOLUNTARY DISSOLUTION
PURSUANT TO SECTION THIRTY-FIVE OF SUCH LAW OR FOR RENTAL HOUSING ACCOM-
MODATIONS LOCATED IN BUILDINGS OR STRUCTURES DEFINED AS COVERED PROJECTS
PURSUANT TO SECTION 8 OF THE UNITED STATES HOUSING ACT OF NINETEEN THIR-
TY-SEVEN, AS AMENDED, OR ANY SUCCESSOR STATUTE, AND ANY REGULATIONS
PROMULGATED THEREUNDER IN WHICH RENTAL HOUSING ACCOMMODATIONS RECEIVED
PROJECT-BASED RENTAL ASSISTANCE FROM THE UNITED STATES DEPARTMENT OF
HOUSING AND URBAN DEVELOPMENT PURSUANT TO CONTRACTS WITH THE OWNERS OF
SUCH BUILDINGS OR STRUCTURES WHICH EXPIRED OR WERE TERMINATED. THE
INITIAL LEGAL REGULATED RENT FOR HOUSING ACCOMMODATIONS LOCATED IN
BUILDINGS OR STRUCTURES THAT WERE OWNED BY HOUSING COMPANIES OR THAT
WERE COVERED PROJECTS PREVIOUSLY REGULATED UNDER THE PRIVATE HOUSING
FINANCE LAW OR UNDER FEDERAL LAW, SHALL BE THE RENT CHARGED TO AND PAID
BY THE TENANT IN OCCUPANCY ON JANUARY FIRST, TWO THOUSAND SEVEN OR, FOR
ACCOMMODATIONS VACANT ON SUCH DATE, THE MOST RECENT RENT CHARGED TO AND
PAID BY A TENANT PRIOR TO SUCH DATE, INCLUDING ANY INCOME-RELATED
SURCHARGES, AS ADJUSTED BY ALL APPLICABLE GUIDELINES INCREASES AND OTHER
INCREASES AUTHORIZED BY LAW. THE PROVISIONS OF SUBDIVISION A OF SECTION
NINE OF THIS ACT OR OF SUBDIVISION A OF SECTION 26-513 OF THE ADMINIS-
TRATIVE CODE OF THE CITY OF NEW YORK SHALL NOT APPLY TO ANY HOUSING
ACCOMMODATION WHICH BECAME SUBJECT TO THIS ACT PURSUANT TO THE
PROVISIONS OF THIS SUBDIVISION.
S 3. Notwithstanding any provision of law to the contrary, in a city
having a population of one million or more, the New York city rent
stabilization law of nineteen hundred sixty-nine may be amended by local
law or ordinance to provide for the regulation of rents and evictions
and the enforcement of such rent stabilization law with regard to hous-
ing accommodations made subject to such law by a declaration of emergen-
cy made pursuant to this act.
S 4. This act shall take effect immediately and shall apply to housing
accommodations located in buildings or structures owned by housing
companies that dissolved on, before or after such date and to housing
accommodations in buildings or structures that were covered projects and
had contracts for rental assistance that expired or were terminated on,
before or after such date; provided that the amendments to section 5 of
the emergency tenant protection act of nineteen seventy-four made by
section two of this act shall expire on the same date as such act
expires and shall not affect the expiration of such act as provided in
section 17 of chapter 576 of the laws of 1974.