S T A T E   O F   N E W   Y O R K
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                                  2499
                       2011-2012 Regular Sessions
                          I N  A S S E M B L Y
                            January 19, 2011
                               ___________
Introduced  by  M.  of  A.  ROSENTHAL  --  read once and referred to the
  Committee on Housing
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
accommodations  subject  to  government  regulations  as  to rentals and
continued occupancy as well as those not subject  to  such  regulations,
 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD07871-01-1
              
             
                          
                
A. 2499                             2
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.