senate Bill S1294

2011-2012 Legislative Session

Prevents landlords from receiving a financial windfall from major capital improvements funded by the New York state energy and research development authority

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Actions

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 04, 2012 referred to housing, construction and community development
Jan 06, 2011 referred to housing, construction and community development

S1294 - Bill Details

See Assembly Version of this Bill:
A6123
Current Committee:
Senate Housing, Construction And Community Development
Law Section:
Emergency Tenant Protection Act of 1974
Laws Affected:
Amd §6, Emerg Ten Prot Act of 1974; amd §26-405, NYC Ad Cd
Versions Introduced in 2009-2010 Legislative Session:
S1794, A4877

S1294 - Bill Texts

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Prevents landlords from receiving a financial windfall from major capital improvements funded by the New York State energy and research development authority.

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BILL NUMBER:S1294

TITLE OF BILL:
An act
to amend the emergency tenant protection act of nineteen seventy-four
and the administrative code of the city of New
York, in relation to prohibiting landlords from increasing rent for
major capital improvements funded through state entities

PURPOSE:
This bill prevents landlords from receiving a financial windfall from
major capital improvements funded by the New York State Energy and
Development Authority (NYSERDA).

SUMMARY OF SPECIFIC PROVISIONS
Section 1 - Amends paragraph 3 of subdivision d of section 6 of section
4 of chapter 576 of the laws of 1974 to exclude NYSERDA funded projects.

Section 2 - Amends subparagraph g of paragraph 1 of subdivision g of
section 26-405 of the administrative code of the city of New York to
exclude NYSERDA funded projects.

Section 3 - Amends subparagraph k of paragraph 1 of subdivision g
of section 26-405 of the administrative code of the city of New York
to exclude NYSERDA funded projects.

Section 4 - Effective date.

JUSTIFICATION:
The NYSERDA Multifamily Performance Program offers landlords
incentives to invest in energy-efficient building upgrades, including
implementing environmentally friendly measures to address specific
energy and operational needs of buildings. In many cases landlords
have filed applications with the Division of Housing and Community
Renewal for Major Capital Improvement rent increases for capital
work that is part of their jurisdiction for receiving NYSERDA funds.
This practice of double-dipping, by taking advantage of two different
incentives for the same work, violates the intent of the incentive
provisions and, if permitted, results in a windfall to landlords.
This bill would clarify that such double-dipping is not permitted.

LEGISLATIVE HISTORY:
2009: S.1794 (Duane), Died in Housing; A.4877 (Kavanaugh),
Died in Housing
2010: S.1794 (Duane),Died in Housing; A.4877 (Kavanaugh),
Died in Housing

FISCAL IMPACT ON THE STATE:
None.

EFFECTIVE DATE:

This act shall take effect immediately provided that (a) the amendments
to paragraph 3 of subdivision d of section 6 of section 4 of the
emergency tenant protection act of nineteen seventy-four made by section
one 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; and (b) the amendments to section
26-204 if the city rent and rehabilitation law made by sections two
and three of the act shall remain in full force and effect only as long
as the public emergency requiring the regulation and control of
residential rents and evictions continues, as provided in subdivision
3 of section 1 of the local emergency housing rent control act.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  1294

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                             January 6, 2011
                               ___________

Introduced  by  Sen.  DUANE  -- 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 emergency tenant protection act of nineteen seven-
  ty-four and the administrative code  of  the  city  of  New  York,  in
  relation to prohibiting landlords from increasing rent for major capi-
  tal improvements funded through state entities

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Paragraph 3 of subdivision d of section 6 of section  4  of
chapter  576  of  the  laws  of  1974  constituting the emergency tenant
protection act of nineteen seventy-four, as amended by  chapter  749  of
the laws of 1990, is amended to read as follows:
  (3)  there has been since January first, nineteen hundred seventy-four
a major capital improvement required for the operation, preservation  or
maintenance  of  the structure; PROVIDED THAT THE MAJOR CAPITAL IMPROVE-
MENT WAS NOT FUNDED IN ANY PART FROM MONEYS PROVIDED  BY  THE  NEW  YORK
STATE  ENERGY  RESEARCH  AND DEVELOPMENT AUTHORITY.  An adjustment under
this paragraph shall be in an amount sufficient to amortize the cost  of
the improvements pursuant to this paragraph over a seven-year period, or
  S  2.  Subparagraph  (g)  of  paragraph  1 of subdivision g of section
26-405 of the administrative code of the city of New York, as amended by
chapter 749 of the laws of 1990, is amended to read as follows:
  (g) There has been since July first, nineteen hundred seventy, a major
capital improvement required for the operation, preservation or  mainte-
nance  of the structure; PROVIDED THAT THE MAJOR CAPITAL IMPROVEMENT WAS
NOT FUNDED IN ANY PART FROM MONEYS PROVIDED BY THE NEW YORK STATE ENERGY
RESEARCH AND DEVELOPMENT AUTHORITY.  An adjustment under  this  subpara-
graph  (g)  shall be in an amount sufficient to amortize the cost of the
improvements pursuant to this subparagraph (g) over a seven-year period;
or

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD00583-01-1

S. 1294                             2

  S 3. Subparagraph (k) of paragraph  1  of  subdivision  g  of  section
26-405 of the administrative code of the city of New York, as amended by
chapter 749 of the laws of 1990, is amended to read as follows:
  (k)  The  landlord has incurred, since January first, nineteen hundred
seventy, in connection with and in addition to a concurrent major  capi-
tal  improvement  pursuant  to subparagraph (g) of this paragraph, other
expenditures to improve, restore or preserve the quality of  the  struc-
ture;  PROVIDED THAT SUCH OTHER EXPENDITURES WERE NOT FUNDED IN ANY PART
FROM MONEYS PROVIDED BY THE NEW YORK STATE ENERGY RESEARCH AND  DEVELOP-
MENT  AUTHORITY.  An adjustment under this subparagraph shall be granted
only if such improvements represent an expenditure equal to at least ten
per centum of the total  operating  and  maintenance  expenses  for  the
preceding  year. An adjustment under this subparagraph shall be in addi-
tion to any adjustment granted for the concurrent major capital improve-
ment and shall be in an amount sufficient to amortize the  cost  of  the
improvements pursuant to this subparagraph over a seven-year period.
  S 4. This act shall take effect immediately; provided that:
  (a)  the  amendments  to  paragraph 3 of subdivision d of section 6 of
section 4 of the emergency tenant protection act  of  nineteen  seventy-
four  made  by  section one 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; and
  (b)  the  amendments  to section 26-405 of the city rent and rehabili-
tation law made by sections two and three of this act  shall  remain  in
full force and effect only as long as the public emergency requiring the
regulation  and control of residential rents and evictions continues, as
provided in subdivision 3 of section 1 of the  local  emergency  housing
rent control act.

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