Senate Bill S5952

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

                                  5952

                       2015-2016 Regular Sessions

                            I N  S E N A T E

                              June 12, 2015
                               ___________

Introduced  by COMMITTEE ON RULES -- read twice and ordered printed, and
  when printed to be committed to the Committee on Rules

AN ACT to amend the real property tax law, in relation to tax  exemption
  for multiple dwellings

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

  Section 1. Section 421-a of the real property tax law  is  amended  by
adding two new subdivisions 16 and 17 to read as follows:
  16. (A) DEFINITIONS. FOR THE PURPOSES OF THIS SUBDIVISION:
  (I)  "421-A BENEFITS" SHALL MEAN EXEMPTION FROM REAL PROPERTY TAXATION
PURSUANT TO THIS SUBDIVISION.
  (II) "AFFORDABILITY OPTION A" SHALL MEAN  THAT,  WITHIN  ANY  ELIGIBLE
SITE LOCATED EITHER ONSITE OR OFFSITE:  (A) NOT LESS THAN TEN PERCENT OF
THE  DWELLING  UNITS ARE AFFORDABLE HOUSING FORTY PERCENT UNITS, (B) NOT
LESS THAN AN ADDITIONAL TEN PERCENT OF THE DWELLING UNITS ARE AFFORDABLE
HOUSING SIXTY PERCENT UNITS,  (C)  NOT  LESS  THAN  AN  ADDITIONAL  FIVE
PERCENT  OF THE DWELLING UNITS ARE AFFORDABLE HOUSING ONE HUNDRED THIRTY
PERCENT UNITS, AND (D) SUCH  ELIGIBLE  SITE  IS  DEVELOPED  WITHOUT  THE
SUBSTANTIAL  ASSISTANCE  OF  GRANTS,  LOANS  OR  SUBSIDIES PROVIDED BY A
FEDERAL, STATE OR LOCAL GOVERNMENTAL AGENCY OR INSTRUMENTALITY  PURSUANT
TO A PROGRAM FOR THE DEVELOPMENT OF AFFORDABLE HOUSING, EXCEPT THAT SUCH
ELIGIBLE  SITE MAY RECEIVE TAX EXEMPT BOND PROCEEDS AND FOUR PERCENT TAX
CREDITS.
  (III) "AFFORDABILITY OPTION B" SHALL MEAN THAT,  WITHIN  ANY  ELIGIBLE
SITE LOCATED EITHER ONSITE OR OFFSITE:  (A) NOT LESS THAN TEN PERCENT OF
THE DWELLING UNITS ARE AFFORDABLE HOUSING SEVENTY PERCENT UNITS, AND (B)
NOT  LESS  THAN  AN  ADDITIONAL TWENTY PERCENT OF THE DWELLING UNITS ARE
AFFORDABLE HOUSING ONE HUNDRED THIRTY PERCENT UNITS.
  (IV) "AFFORDABILITY OPTION C" SHALL MEAN  THAT,  WITHIN  ANY  ELIGIBLE
SITE LOCATED EITHER ONSITE OR OFFSITE:  (A) NOT LESS THAN THIRTY PERCENT
OF  THE DWELLING UNITS ARE AFFORDABLE HOUSING ONE HUNDRED THIRTY PERCENT

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD11585-06-5
              

S. 5952                             2

UNITS, AND (B) SUCH ELIGIBLE SITE IS DEVELOPED WITHOUT  THE  SUBSTANTIAL
ASSISTANCE OF GRANTS, LOANS OR SUBSIDIES PROVIDED BY A FEDERAL, STATE OR
LOCAL  GOVERNMENTAL  AGENCY OR INSTRUMENTALITY PURSUANT TO A PROGRAM FOR
THE DEVELOPMENT OF AFFORDABLE HOUSING.
  (V)  "AFFORDABILITY  OPTION  D"  SHALL  ONLY  APPLY TO A HOMEOWNERSHIP
PROJECT, OF WHICH TWENTY-FIVE PERCENT OF THE UNITS SHALL HAVE AN AVERAGE
ASSESSED VALUE NOT TO EXCEED SEVENTY-FIVE THOUSAND DOLLARS.
  (VI) "AFFORDABILITY PERCENTAGE" SHALL MEAN A FRACTION,  THE  NUMERATOR
OF  WHICH  IS THE NUMBER OF AFFORDABLE HOUSING UNITS IN AN ELIGIBLE SITE
AND THE DENOMINATOR OF WHICH IS THE TOTAL NUMBER OF  DWELLING  UNITS  IN
SUCH ELIGIBLE SITE.
  (VII)  "AFFORDABLE  HOUSING  FORTY PERCENT UNIT" SHALL MEAN A DWELLING
UNIT THAT: (A) IS SITUATED WITHIN THE  ELIGIBLE  SITE  FOR  WHICH  421-A
BENEFITS  ARE  GRANTED, AND (B) UPON INITIAL RENTAL AND UPON EACH SUBSE-
QUENT RENTAL FOLLOWING A  VACANCY  DURING  THE  RESTRICTION  PERIOD,  IS
AFFORDABLE  TO  AND  RESTRICTED  TO OCCUPANCY BY INDIVIDUALS OR FAMILIES
WHOSE HOUSEHOLD INCOME DOES NOT EXCEED FORTY PERCENT OF THE AREA  MEDIAN
INCOME,  ADJUSTED  FOR  FAMILY  SIZE,  AT  THE  TIME THAT SUCH HOUSEHOLD
INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (VIII) "AFFORDABLE HOUSING SIXTY PERCENT UNIT" SHALL MEAN  A  DWELLING
UNIT  THAT:  (A)  IS  SITUATED  WITHIN THE ELIGIBLE SITE FOR WHICH 421-A
BENEFITS ARE GRANTED, AND (B) UPON INITIAL RENTAL AND UPON  EACH  SUBSE-
QUENT  RENTAL  FOLLOWING  A  VACANCY  DURING  THE RESTRICTION PERIOD, IS
AFFORDABLE TO AND RESTRICTED TO OCCUPANCY  BY  INDIVIDUALS  OR  FAMILIES
WHOSE  HOUSEHOLD INCOME DOES NOT EXCEED SIXTY PERCENT OF THE AREA MEDIAN
INCOME, ADJUSTED FOR FAMILY  SIZE,  AT  THE  TIME  THAT  SUCH  HOUSEHOLD
INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (IX)  "AFFORDABLE  HOUSING SEVENTY PERCENT UNIT" SHALL MEAN A DWELLING
UNIT THAT: (A) IS SITUATED WITHIN THE  ELIGIBLE  SITE  FOR  WHICH  421-A
BENEFITS  ARE  GRANTED, AND (B) UPON INITIAL RENTAL AND UPON EACH SUBSE-
QUENT RENTAL FOLLOWING A  VACANCY  DURING  THE  RESTRICTION  PERIOD,  IS
AFFORDABLE  TO  AND  RESTRICTED  TO OCCUPANCY BY INDIVIDUALS OR FAMILIES
WHOSE HOUSEHOLD INCOME DOES NOT EXCEED SEVENTY PERCENT OF THE AREA MEDI-
AN INCOME, ADJUSTED FOR FAMILY SIZE, AT THE  TIME  THAT  SUCH  HOUSEHOLD
INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (X)  "AFFORDABLE HOUSING ONE HUNDRED THIRTY PERCENT UNIT" SHALL MEAN A
DWELLING UNIT THAT: (A) IS SITUATED WITHIN THE ELIGIBLE SITE  FOR  WHICH
421-A  BENEFITS  ARE  GRANTED, AND (B) UPON INITIAL RENTAL AND UPON EACH
SUBSEQUENT RENTAL FOLLOWING A VACANCY DURING THE RESTRICTION PERIOD,  IS
AFFORDABLE  TO  AND  RESTRICTED  TO OCCUPANCY BY INDIVIDUALS OR FAMILIES
WHOSE HOUSEHOLD INCOME DOES NOT EXCEED ONE HUNDRED THIRTY PERCENT OF THE
AREA MEDIAN INCOME, ADJUSTED FOR FAMILY SIZE,  AT  THE  TIME  THAT  SUCH
HOUSEHOLD INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (XI)  "AFFORDABLE  HOUSING UNIT" SHALL MEAN, COLLECTIVELY AND INDIVID-
UALLY, AFFORDABLE HOUSING FORTY PERCENT UNITS, AFFORDABLE HOUSING  SIXTY
PERCENT  UNITS, AFFORDABLE HOUSING SEVENTY PERCENT UNITS, AND AFFORDABLE
HOUSING ONE HUNDRED THIRTY PERCENT UNITS.
  (XII) "AGENCY" SHALL MEAN THE DEPARTMENT OF HOUSING  PRESERVATION  AND
DEVELOPMENT.
  (XIII) "APPLICATION" SHALL MEAN AN APPLICATION FOR 421-A BENEFITS.
  (XIV)  "BUILDING  SERVICE EMPLOYEE" SHALL MEAN ANY PERSON WHO IS REGU-
LARLY EMPLOYED AT, AND PERFORMS WORK IN  CONNECTION  WITH  THE  CARE  OR
MAINTENANCE  OF,  AN  ELIGIBLE  SITE,  INCLUDING,  BUT NOT LIMITED TO, A
WATCHMAN, GUARD, DOORMAN, BUILDING CLEANER, PORTER,  HANDYMAN,  JANITOR,
GARDENER,  GROUNDSKEEPER,  ELEVATOR  OPERATOR  AND  STARTER,  AND WINDOW

S. 5952                             3

CLEANER, BUT NOT INCLUDING PERSONS REGULARLY  SCHEDULED  TO  WORK  FEWER
THAN EIGHT HOURS PER WEEK AT THE ELIGIBLE SITE.
  (XV)  "COMMENCEMENT  DATE"  SHALL  MEAN,  WITH RESPECT TO ANY ELIGIBLE
MULTIPLE DWELLING, THE DATE UPON WHICH EXCAVATION  AND  CONSTRUCTION  OF
INITIAL  FOOTINGS  AND FOUNDATIONS LAWFULLY BEGINS IN GOOD FAITH OR, FOR
AN ELIGIBLE CONVERSION, THE DATE UPON WHICH THE ACTUAL  CONSTRUCTION  OF
THE  CONVERSION,  ALTERATION OR IMPROVEMENT OF THE PRE-EXISTING BUILDING
OR STRUCTURE LAWFULLY BEGINS IN GOOD FAITH.
  (XVI) "COMPLETION DATE" SHALL MEAN  THE  DATE  UPON  WHICH  THE  LOCAL
DEPARTMENT  OF BUILDINGS ISSUES THE FIRST TEMPORARY OR PERMANENT CERTIF-
ICATE OF OCCUPANCY COVERING ALL RESIDENTIAL AREAS OF AN ELIGIBLE  MULTI-
PLE DWELLING.
  (XVII)  "CONSTRUCTION PERIOD" SHALL MEAN, WITH RESPECT TO ANY ELIGIBLE
MULTIPLE DWELLING, A PERIOD: (A) BEGINNING ON THE LATER OF THE COMMENCE-
MENT DATE OF SUCH ELIGIBLE MULTIPLE DWELLING OR THREE YEARS  BEFORE  THE
COMPLETION  DATE  OF  SUCH ELIGIBLE MULTIPLE DWELLING, AND (B) ENDING ON
THE DAY PRECEDING THE COMPLETION DATE OF SUCH ELIGIBLE  MULTIPLE  DWELL-
ING.
  (XVIII) "ELIGIBLE CONVERSION" SHALL MEAN THE CONVERSION, ALTERATION OR
IMPROVEMENT  OF  A  PRE-EXISTING  BUILDING  OR  STRUCTURE RESULTING IN A
MULTIPLE DWELLING IN WHICH NO MORE THAN FORTY-NINE PERCENT OF THE  FLOOR
AREA CONSISTS OF SUCH PRE-EXISTING BUILDING OR STRUCTURE.
  (XIX) "ELIGIBLE MULTIPLE DWELLING" SHALL MEAN A MULTIPLE DWELLING THAT
MAY  INCLUDE  BOTH  ONSITE  AND  OFFSITE  UNITS OR HOMEOWNERSHIP PROJECT
CONTAINING SIX OR MORE DWELLING UNITS CREATED THROUGH  NEW  CONSTRUCTION
OR ELIGIBLE CONVERSION FOR WHICH THE COMMENCEMENT DATE IS AFTER DECEMBER
THIRTY-FIRST,  TWO THOUSAND FIFTEEN AND ON OR BEFORE JUNE FIFTEENTH, TWO
THOUSAND NINETEEN, AND FOR WHICH THE COMPLETION DATE  IS  ON  OR  BEFORE
JUNE FIFTEENTH, TWO THOUSAND TWENTY-THREE.
  (XX)  "ELIGIBLE  SITE"  SHALL MEAN EITHER: (A) A TAX LOT CONTAINING AN
ELIGIBLE MULTIPLE DWELLING, OR (B) A ZONING LOT CONTAINING TWO  OR  MORE
ELIGIBLE MULTIPLE DWELLINGS THAT ARE PART OF A SINGLE APPLICATION.
  (XXI)  "FISCAL  OFFICER" SHALL MEAN THE COMPTROLLER OR OTHER ANALOGOUS
OFFICER IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  (XXII) "FLOOR AREA" SHALL MEAN "FLOOR AREA" AS DEFINED IN THE NEW YORK
CITY ZONING RESOLUTION.
  (XXIII) "FOUR PERCENT TAX CREDITS" SHALL MEAN FEDERAL LOW INCOME HOUS-
ING TAX CREDITS COMPUTED IN ACCORDANCE WITH CLAUSE (II) OF  SUBPARAGRAPH
(B)  OF  PARAGRAPH  ONE  OF  SUBSECTION  (B) OF SECTION FORTY-TWO OF THE
INTERNAL REVENUE CODE OF NINETEEN HUNDRED EIGHTY-SIX, AS AMENDED.
  (XXIV) "HOMEOWNERSHIP PROJECT"  SHALL  MEAN  A  MULTIPLE  DWELLING  OR
PORTION THEREOF OPERATED AS CONDOMINIUM OR COOPERATIVE HOUSING, HOWEVER,
IT  SHALL NOT INCLUDE A MULTIPLE DWELLING OR PORTION THEREOF OPERATED AS
COOPERATIVE OR CONDOMINIUM HOUSING LOCATED WITHIN THE BOROUGH OF MANHAT-
TAN.
  (XXV) "MARKET UNIT" SHALL MEAN A DWELLING UNIT IN AN ELIGIBLE MULTIPLE
DWELLING OTHER THAN AN AFFORDABLE HOUSING UNIT.
  (XXVI) "MULTIPLE DWELLING" SHALL HAVE THE MEANING  SET  FORTH  IN  THE
MULTIPLE DWELLING LAW.
  (XXVII)  "NON-RESIDENTIAL  TAX LOT" SHALL MEAN A TAX LOT THAT DOES NOT
CONTAIN ANY DWELLING UNITS.
  (XXVIII) "RENT  STABILIZATION"  SHALL  MEAN,  COLLECTIVELY,  THE  RENT
STABILIZATION LAW OF NINETEEN HUNDRED SIXTY-NINE, THE RENT STABILIZATION
CODE, AND THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN HUNDRED SEVEN-
TY-FOUR, ALL AS IN EFFECT AS OF THE EFFECTIVE DATE OF THE CHAPTER OF THE
LAWS  OF  TWO THOUSAND FIFTEEN THAT ADDED THIS SUBDIVISION OR AS AMENDED

S. 5952                             4

THEREAFTER, TOGETHER WITH ANY SUCCESSOR STATUTES OR REGULATIONS ADDRESS-
ING SUBSTANTIALLY THE SAME SUBJECT MATTER.
  (XXIX)  "RENTAL  PROJECT"  SHALL  MEAN  AN  ELIGIBLE SITE IN WHICH ALL
DWELLING UNITS INCLUDED IN ANY APPLICATION ARE OPERATED AS RENTAL  HOUS-
ING.
  (XXX)  "RESIDENTIAL TAX LOT" SHALL MEAN A TAX LOT THAT CONTAINS DWELL-
ING UNITS.
  (XXXI) "RESTRICTION PERIOD" SHALL MEAN  A  PERIOD  COMMENCING  ON  THE
COMPLETION  DATE  AND  EXPIRING  ON  THE THIRTY-FIFTH ANNIVERSARY OF THE
COMPLETION DATE, NOTWITHSTANDING ANY EARLIER TERMINATION  OR  REVOCATION
OF 421-A BENEFITS.
  (XXXII)  "TAX  EXEMPT  BOND  PROCEEDS"  SHALL  MEAN THE PROCEEDS OF AN
EXEMPT FACILITY BOND, AS DEFINED IN PARAGRAPH SEVEN OF SUBSECTION (A) OF
SECTION ONE HUNDRED FORTY-TWO OF THE INTERNAL REVENUE CODE  OF  NINETEEN
HUNDRED  EIGHTY-SIX,  AS AMENDED, THE INTEREST UPON WHICH IS EXEMPT FROM
TAXATION UNDER SECTION ONE HUNDRED THREE OF THE INTERNAL REVENUE CODE OF
NINETEEN HUNDRED EIGHTY-SIX, AS AMENDED.
  (XXXIII)  "THIRTY-FIVE  YEAR  BENEFIT"  SHALL  MEAN:   (A)   FOR   THE
CONSTRUCTION  PERIOD, A ONE HUNDRED PERCENT EXEMPTION FROM REAL PROPERTY
TAXATION, OTHER THAN ASSESSMENTS FOR LOCAL  IMPROVEMENTS,  (B)  FOR  THE
FIRST TWENTY-FIVE YEARS OF THE RESTRICTION PERIOD, A ONE HUNDRED PERCENT
EXEMPTION  FROM REAL PROPERTY TAXATION, OTHER THAN ASSESSMENTS FOR LOCAL
IMPROVEMENTS, AND (C) FOR THE FINAL TEN YEARS OF THE RESTRICTION PERIOD,
AN EXEMPTION FROM REAL PROPERTY TAXATION,  OTHER  THAN  ASSESSMENTS  FOR
LOCAL IMPROVEMENTS, EQUAL TO THE AFFORDABILITY PERCENTAGE.
  (B)  BENEFIT.  IN  CITIES  HAVING A POPULATION OF ONE MILLION OR MORE,
NOTWITHSTANDING THE PROVISIONS OF ANY OTHER SUBDIVISION OF THIS  SECTION
OR  OF  ANY  GENERAL, SPECIAL OR LOCAL LAW TO THE CONTRARY, NEW ELIGIBLE
SITES, EXCEPT HOTELS, THAT COMPLY WITH THE PROVISIONS OF  THIS  SUBDIVI-
SION SHALL BE EXEMPT FROM REAL PROPERTY TAXATION, OTHER THAN ASSESSMENTS
FOR  LOCAL IMPROVEMENTS, IN THE AMOUNTS AND FOR THE PERIODS SPECIFIED IN
THIS PARAGRAPH. A RENTAL  PROJECT  THAT  MEETS  ALL  OF  THE  APPLICABLE
REQUIREMENTS  OF THIS SUBDIVISION SHALL RECEIVE A THIRTY-FIVE YEAR BENE-
FIT. A HOMEOWNERSHIP PROJECT SHALL BE ELIGIBLE FOR, AND  SHALL  RECEIVE,
421-A  BENEFITS  CONSISTENT  WITH  THE  APPLICABLE  REQUIREMENTS OF THIS
SUBDIVISION.
  (C) TAX PAYMENTS. IN ADDITION TO ANY OTHER AMOUNTS PAYABLE PURSUANT TO
THIS SUBDIVISION, THE OWNER OF ANY ELIGIBLE SITE RECEIVING  421-A  BENE-
FITS  SHALL  PAY,  IN  EACH TAX YEAR IN WHICH SUCH 421-A BENEFITS ARE IN
EFFECT, REAL PROPERTY TAXES AND ASSESSMENTS AS FOLLOWS:
  (I) WITH RESPECT TO EACH ELIGIBLE  MULTIPLE  DWELLING  CONSTRUCTED  ON
SUCH  ELIGIBLE  SITE,  REAL  PROPERTY TAXES ON THE ASSESSED VALUATION OF
SUCH LAND AND ANY IMPROVEMENTS THEREON IN EFFECT  DURING  THE  TAX  YEAR
PRIOR TO THE COMMENCEMENT DATE OF SUCH ELIGIBLE MULTIPLE DWELLING, WITH-
OUT  REGARD TO ANY EXEMPTION FROM OR ABATEMENT OF REAL PROPERTY TAXATION
IN EFFECT DURING SUCH TAX YEAR,  WHICH  REAL  PROPERTY  TAXES  SHALL  BE
CALCULATED  USING THE TAX RATE IN EFFECT AT THE TIME SUCH TAXES ARE DUE;
AND
  (II) ALL ASSESSMENTS FOR LOCAL IMPROVEMENTS.
  (D) LIMITATION ON BENEFITS FOR NON-RESIDENTIAL SPACE. IF THE AGGREGATE
FLOOR AREA OF COMMERCIAL, COMMUNITY FACILITY AND ACCESSORY USE SPACE  IN
AN  ELIGIBLE  SITE,  OTHER  THAN  PARKING WHICH IS LOCATED NOT MORE THAN
TWENTY-THREE FEET ABOVE THE CURB LEVEL, EXCEEDS TWELVE  PERCENT  OF  THE
AGGREGATE  FLOOR AREA IN SUCH ELIGIBLE SITE, ANY 421-A BENEFITS SHALL BE
REDUCED BY A PERCENTAGE EQUAL  TO  SUCH  EXCESS.  IF  AN  ELIGIBLE  SITE
CONTAINS  MULTIPLE  TAX  LOTS,  THE TAX ARISING OUT OF SUCH REDUCTION IN

S. 5952                             5

421-A BENEFITS SHALL FIRST BE APPORTIONED PRO RATA AMONG  ANY  NON-RESI-
DENTIAL  TAX  LOTS.    AFTER ANY SUCH NON-RESIDENTIAL TAX LOTS ARE FULLY
TAXABLE, THE REMAINDER OF THE TAX ARISING OUT OF SUCH REDUCTION IN 421-A
BENEFITS,  IF  ANY,  SHALL  BE  APPORTIONED PRO RATA AMONG THE REMAINING
RESIDENTIAL TAX LOTS.
  (E) CALCULATION OF BENEFIT. BASED ON THE CERTIFICATION OF  THE  AGENCY
CERTIFYING THE APPLICANT'S ELIGIBILITY FOR 421-A BENEFITS, THE ASSESSORS
SHALL  CERTIFY  TO  THE  COLLECTING  OFFICER  THE  AMOUNT OF TAXES TO BE
EXEMPTED.
  (F) AFFORDABILITY  REQUIREMENTS.  DURING  THE  RESTRICTION  PERIOD,  A
RENTAL PROJECT SHALL COMPLY WITH EITHER AFFORDABILITY OPTION A, AFFORDA-
BILITY OPTION B, OR AFFORDABILITY OPTION C OR FOR PURPOSES OF A HOMEOWN-
ERSHIP  PROJECT,  SUCH PROJECT SHALL COMPLY WITH AFFORDABILITY OPTION D.
SUCH ELECTION SHALL BE MADE IN THE APPLICATION AND SHALL NOT  THEREAFTER
BE  CHANGED. THE RENTAL PROJECT SHALL ALSO COMPLY WITH ALL PROVISIONS OF
THIS PARAGRAPH DURING THE RESTRICTION PERIOD AND WITH SUBPARAGRAPH (III)
OF THIS PARAGRAPH BOTH DURING AND AFTER THE RESTRICTION  PERIOD  TO  THE
EXTENT PROVIDED IN SUCH SUBPARAGRAPH.
  (I)  ALL  RENTAL DWELLING UNITS IN AN ELIGIBLE MULTIPLE DWELLING WHERE
SUCH UNITS ARE IN THE SAME DWELLING SHALL BE ACCESSED THROUGH  THE  SAME
STREET  ENTRANCES AND LOBBIES, AND NO SUCH ENTRANCE OR LOBBY SHALL SERVE
SOME RENTAL DWELLING UNITS TO THE EXCLUSION OF OTHERS.
  (II) UNLESS PREEMPTED BY THE REQUIREMENTS OF A FEDERAL, STATE OR LOCAL
HOUSING PROGRAM, EITHER: (A) THE AFFORDABLE HOUSING UNITS IN AN ELIGIBLE
SITE CONTAINING RENTAL UNITS SHALL HAVE A UNIT MIX PROPORTIONAL  TO  THE
MARKET  UNITS,  OR  (B) AT LEAST FIFTY PERCENT OF THE AFFORDABLE HOUSING
UNITS IN AN ELIGIBLE SITE CONTAINING RENTAL UNITS SHALL HAVE TWO OR MORE
BEDROOMS AND NO MORE THAN TWENTY-FIVE PERCENT OF THE AFFORDABLE  HOUSING
UNITS SHALL HAVE LESS THAN ONE BEDROOM.
  (III)  NOTWITHSTANDING  ANY  PROVISION  OF  RENT  STABILIZATION TO THE
CONTRARY, THE RENTS OF ALL  AFFORDABLE  HOUSING  UNITS  SHALL  BE  FULLY
SUBJECT  TO  RENT  STABILIZATION DURING THE RESTRICTION PERIOD, PROVIDED
THAT TENANTS HOLDING A LEASE AND IN OCCUPANCY OF SUCH AFFORDABLE HOUSING
UNITS AT THE EXPIRATION OF THE RESTRICTION PERIOD SHALL HAVE  THE  RIGHT
TO  REMAIN AS RENT STABILIZED TENANTS FOR THE DURATION OF THEIR OCCUPAN-
CY.
  (IV) ALL RENT STABILIZATION REGISTRATIONS REQUIRED TO BE FILED  PURSU-
ANT  TO SUBPARAGRAPH (III) OF THIS PARAGRAPH SHALL CONTAIN A DESIGNATION
THAT SPECIFICALLY IDENTIFIES AFFORDABLE HOUSING UNITS  CREATED  PURSUANT
TO  THIS  SUBDIVISION  AS  "421-A  AFFORDABLE  HOUSING  UNITS" AND SHALL
CONTAIN AN EXPLANATION OF  THE  REQUIREMENTS  THAT  APPLY  TO  ALL  SUCH
AFFORDABLE HOUSING UNITS.
  (V)  FAILURE  TO  COMPLY  WITH  THE  PROVISIONS OF THIS PARAGRAPH THAT
REQUIRE THE CREATION, MAINTENANCE,  RENT  STABILIZATION  COMPLIANCE  AND
OCCUPANCY OF AFFORDABLE HOUSING UNITS OR FOR PURPOSES OF A HOMEOWNERSHIP
PROJECT  THE  FAILURE TO COMPLY WITH AFFORDABILITY OPTION D SHALL RESULT
IN REVOCATION OF ANY 421-A BENEFITS FOR THE PERIOD OF  SUCH  NON-COMPLI-
ANCE.
  (VI)  NOTHING IN THIS SUBDIVISION SHALL: (A) PROHIBIT THE OCCUPANCY OF
AN AFFORDABLE HOUSING UNIT BY INDIVIDUALS OR FAMILIES  WHOSE  INCOME  AT
ANY  TIME IS LESS THAN THE MAXIMUM PERCENTAGE OF THE AREA MEDIAN INCOME,
ADJUSTED FOR FAMILY SIZE, SPECIFIED FOR  SUCH  AFFORDABLE  HOUSING  UNIT
PURSUANT  TO  THIS SUBDIVISION, OR (B) PROHIBIT THE OWNER OF AN ELIGIBLE
SITE FROM REQUIRING, UPON INITIAL RENTAL OR UPON ANY RENTAL FOLLOWING  A
VACANCY,  THE  OCCUPANCY  OF  ANY  AFFORDABLE HOUSING UNIT BY SUCH LOWER
INCOME INDIVIDUALS OR FAMILIES.

S. 5952                             6

  (VII) FOLLOWING ISSUANCE OF A TEMPORARY CERTIFICATE OF  OCCUPANCY  AND
UPON  EACH VACANCY THEREAFTER, AN AFFORDABLE HOUSING UNIT SHALL PROMPTLY
BE OFFERED FOR RENTAL BY INDIVIDUALS OR FAMILIES WHOSE INCOME  DOES  NOT
EXCEED  THE  MAXIMUM  PERCENTAGE OF THE AREA MEDIAN INCOME, ADJUSTED FOR
FAMILY SIZE, SPECIFIED FOR SUCH AFFORDABLE HOUSING UNIT PURSUANT TO THIS
SUBDIVISION  AND  WHO  INTEND  TO OCCUPY SUCH AFFORDABLE HOUSING UNIT AS
THEIR PRIMARY RESIDENCE. AN AFFORDABLE HOUSING UNIT SHALL  NOT  BE:  (A)
RENTED  TO  A  CORPORATION, PARTNERSHIP OR OTHER ENTITY, OR (B) HELD OFF
THE MARKET FOR A PERIOD LONGER THAN IS REASONABLY NECESSARY  TO  PERFORM
REPAIRS  NEEDED TO MAKE SUCH AFFORDABLE HOUSING UNIT AVAILABLE FOR OCCU-
PANCY.
  (VIII) AN AFFORDABLE HOUSING UNIT SHALL NOT BE RENTED ON A  TEMPORARY,
TRANSIENT  OR  SHORT-TERM  BASIS. EVERY LEASE AND RENEWAL THEREOF FOR AN
AFFORDABLE HOUSING UNIT SHALL BE FOR A TERM OF ONE OR TWO YEARS, AT  THE
OPTION OF THE TENANT.
  (IX)  AN AFFORDABLE HOUSING UNIT SHALL NOT BE CONVERTED TO COOPERATIVE
OR CONDOMINIUM OWNERSHIP.
  (X) THE AGENCY MAY ESTABLISH BY RULE SUCH REQUIREMENTS AS  THE  AGENCY
DEEMS  NECESSARY  OR  APPROPRIATE  FOR:  (A) THE MARKETING OF AFFORDABLE
HOUSING UNITS, BOTH UPON INITIAL OCCUPANCY AND  UPON  ANY  VACANCY,  (B)
MONITORING  COMPLIANCE  WITH  THE  PROVISIONS OF THIS PARAGRAPH, (C) THE
MARKETING AND MONITORING OF ANY HOMEOWNERSHIP PROJECT THAT IS GRANTED AN
EXEMPTION PURSUANT TO THIS SUBDIVISION, (D) APPROVAL OF AN ELIGIBLE SITE
UNDER THIS SECTION THAT PROVIDES  BOTH  ONSITE  AND  OFFSITE  AFFORDABLE
HOUSING  UNITS  GRANTED  PURSUANT TO A CERTIFICATE PROGRAM THAT SHALL BE
ESTABLISHED BY SUCH AGENCY; AND (E) CONVENING A WORKING GROUP OF  STAKE-
HOLDERS  TO  EXAMINE  THE  PROGRAM  INCLUDING  THE  LABOR  AND WORKFORCE
CONCERNS RELATED TO CONSTRUCTION UNDER TAKEN PURSUANT TO  THIS  SECTION,
AND  THE CREATION OF AFFORDABLE HOUSING.  SUCH REQUIREMENTS MAY INCLUDE,
BUT NEED NOT BE LIMITED TO, RETAINING A MONITOR APPROVED BY  THE  AGENCY
AND PAID FOR BY THE OWNER.
  (XI)  NOTWITHSTANDING ANY PROVISION OF THIS SUBDIVISION TO THE CONTRA-
RY, A MARKET UNIT SHALL BE SUBJECT TO RENT STABILIZATION UNLESS, IN  THE
ABSENCE  OF  421-A  BENEFITS, THE OWNER WOULD BE ENTITLED TO REMOVE SUCH
MARKET UNIT FROM RENT STABILIZATION UPON VACANCY BY REASON OF THE MONTH-
LY RENT EXCEEDING ANY LIMIT ESTABLISHED THEREUNDER.
  (G) BUILDING SERVICE EMPLOYEES.  (I) FOR THE PURPOSES  OF  THIS  PARA-
GRAPH,  "APPLICANT"  SHALL  MEAN  AN  APPLICANT  FOR 421-A BENEFITS, ANY
SUCCESSOR TO SUCH APPLICANT, OR ANY EMPLOYER OF BUILDING SERVICE EMPLOY-
EES FOR SUCH APPLICANT,  INCLUDING,  BUT  NOT  LIMITED  TO,  A  PROPERTY
MANAGEMENT COMPANY OR CONTRACTOR.
  (II)  ALL  BUILDING SERVICE EMPLOYEES EMPLOYED BY THE APPLICANT AT THE
ELIGIBLE SITE SHALL RECEIVE  THE  APPLICABLE  PREVAILING  WAGE  FOR  THE
ENTIRE RESTRICTION PERIOD.
  (III)  THE  FISCAL  OFFICER  SHALL  HAVE  THE  POWER  TO  ENFORCE  THE
PROVISIONS OF THIS PARAGRAPH. IN ENFORCING SUCH PROVISIONS,  THE  FISCAL
OFFICER SHALL HAVE THE POWER:
  (A)  TO  INVESTIGATE OR CAUSE AN INVESTIGATION TO BE MADE TO DETERMINE
THE PREVAILING WAGES FOR BUILDING  SERVICE  EMPLOYEES;  IN  MAKING  SUCH
INVESTIGATION,  THE  FISCAL  OFFICER MAY UTILIZE WAGE AND FRINGE BENEFIT
DATA FROM VARIOUS SOURCES, INCLUDING,  BUT  NOT  LIMITED  TO,  DATA  AND
DETERMINATIONS OF FEDERAL, STATE OR OTHER GOVERNMENTAL AGENCIES;
  (B)  TO  INSTITUTE  AND CONDUCT INSPECTIONS AT THE SITE OF THE WORK OR
ELSEWHERE;

S. 5952                             7

  (C) TO EXAMINE THE BOOKS, DOCUMENTS  AND  RECORDS  PERTAINING  TO  THE
WAGES  PAID  TO,  AND  THE  HOURS OF WORK PERFORMED BY, BUILDING SERVICE
EMPLOYEES;
  (D) TO HOLD HEARINGS AND, IN CONNECTION THEREWITH, TO ISSUE SUBPOENAS,
ADMINISTER  OATHS  AND  EXAMINE WITNESSES; THE ENFORCEMENT OF A SUBPOENA
ISSUED UNDER THIS PARAGRAPH SHALL BE REGULATED BY THE CIVIL PRACTICE LAW
AND RULES;
  (E) TO MAKE A CLASSIFICATION BY CRAFT, TRADE OR OTHER GENERALLY RECOG-
NIZED OCCUPATIONAL CATEGORY OF THE BUILDING  SERVICE  EMPLOYEES  AND  TO
DETERMINE  WHETHER  SUCH WORK HAS BEEN PERFORMED BY THE BUILDING SERVICE
EMPLOYEES IN SUCH CLASSIFICATION;
  (F) TO REQUIRE THE APPLICANT TO FILE WITH THE FISCAL OFFICER A  RECORD
OF  THE  WAGES  ACTUALLY  PAID BY SUCH APPLICANT TO THE BUILDING SERVICE
EMPLOYEES AND OF THEIR HOURS OF WORK;
  (G) TO DELEGATE ANY OF THE FOREGOING POWERS TO HIS OR  HER  DEPUTY  OR
OTHER AUTHORIZED REPRESENTATIVE; AND
  (H)  TO PROMULGATE RULES AS HE OR SHE SHALL CONSIDER NECESSARY FOR THE
PROPER EXECUTION OF THE DUTIES, RESPONSIBILITIES  AND  POWERS  CONFERRED
UPON HIM OR HER BY THE PROVISIONS OF THIS SUBPARAGRAPH.
  (IV)  IF  THE  FISCAL  OFFICER  FINDS THAT THE APPLICANT HAS FAILED TO
COMPLY WITH THE PROVISIONS OF THIS PARAGRAPH, HE OR  SHE  SHALL  PRESENT
EVIDENCE OF SUCH NONCOMPLIANCE TO THE AGENCY.
  (V) SUBPARAGRAPH (II) OF THIS PARAGRAPH SHALL NOT BE APPLICABLE TO:
  (A)  AN ELIGIBLE MULTIPLE DWELLING CONTAINING LESS THAN FIFTY DWELLING
UNITS; OR
  (B) AN ELIGIBLE MULTIPLE  DWELLING  WHERE  THE  LOCAL  HOUSING  AGENCY
CERTIFIES THAT AT INITIAL OCCUPANCY AT LEAST FIFTY PERCENT OF THE DWELL-
ING  UNITS ARE AFFORDABLE TO INDIVIDUALS OR FAMILIES WITH A GROSS HOUSE-
HOLD INCOME AT OR BELOW ONE HUNDRED  TWENTY-FIVE  PERCENT  OF  THE  AREA
MEDIAN INCOME AND THAT ANY SUCH UNITS WHICH ARE LOCATED IN RENTAL BUILD-
INGS  WILL  BE  SUBJECT  TO RESTRICTIONS TO INSURE THAT THEY WILL REMAIN
AFFORDABLE FOR THE ENTIRE PERIOD  DURING  WHICH  THEY  RECEIVE  BENEFITS
UNDER THIS SECTION.
  (H)  REPLACEMENT  RATIO.  IF  THE  LAND  ON  WHICH AN ELIGIBLE SITE IS
LOCATED CONTAINED ANY DWELLING UNITS THREE YEARS PRIOR TO THE  COMMENCE-
MENT  DATE  OF  THE  FIRST ELIGIBLE MULTIPLE DWELLING THEREON, THEN SUCH
ELIGIBLE SITE SHALL CONTAIN AT LEAST ONE  AFFORDABLE  HOUSING  UNIT  FOR
EACH  DWELLING  UNIT THAT EXISTED ON SUCH DATE AND WAS THEREAFTER DEMOL-
ISHED, REMOVED OR RECONFIGURED.
  (I) CONCURRENT EXEMPTIONS OR ABATEMENTS. AN ELIGIBLE MULTIPLE DWELLING
RECEIVING 421-A BENEFITS SHALL NOT RECEIVE ANY EXEMPTION FROM OR  ABATE-
MENT OF REAL PROPERTY TAXATION UNDER ANY OTHER LAW.
  (J)   VOLUNTARY   RENUNCIATION  OR  TERMINATION.  NOTWITHSTANDING  THE
PROVISIONS OF ANY GENERAL, SPECIAL OR LOCAL  LAW  TO  THE  CONTRARY,  AN
OWNER  SHALL  NOT  BE  ENTITLED TO VOLUNTARILY RENOUNCE OR TERMINATE ANY
421-A BENEFITS UNLESS THE AGENCY AUTHORIZES SUCH RENUNCIATION OR  TERMI-
NATION IN CONNECTION WITH THE COMMENCEMENT OF A NEW TAX EXEMPTION PURSU-
ANT  TO  EITHER  THE PRIVATE HOUSING FINANCE LAW OR SECTION FOUR HUNDRED
TWENTY-C OF THIS TITLE.
  (K) TERMINATION OR REVOCATION. THE  AGENCY  MAY  TERMINATE  OR  REVOKE
421-A  BENEFITS  FOR NONCOMPLIANCE WITH THIS SUBDIVISION. IF 421-A BENE-
FITS ARE TERMINATED OR REVOKED FOR NONCOMPLIANCE WITH THIS  SUBDIVISION,
ALL  OF  THE  AFFORDABLE  HOUSING  UNITS  SHALL  REMAIN  SUBJECT TO RENT
STABILIZATION OR FOR A HOMEOWNERSHIP PROJECT SUCH PROJECT SHALL CONTINUE
TO COMPLY WITH AFFORDABILITY OPTION D OF THIS SUBDIVISION AND ALL  OTHER
REQUIREMENTS  OF  THIS  SUBDIVISION  FOR  THE RESTRICTION PERIOD AND ANY

S. 5952                             8

ADDITIONAL PERIOD EXPRESSLY PROVIDED IN  THIS  SUBDIVISION,  AS  IF  THE
421-A BENEFITS HAD NOT BEEN TERMINATED OR REVOKED.
  (L)  POWERS CUMULATIVE. THE ENFORCEMENT PROVISIONS OF THIS SUBDIVISION
SHALL NOT BE EXCLUSIVE, AND ARE IN ADDITION TO ANY OTHER  RIGHTS,  REME-
DIES,  OR  ENFORCEMENT POWERS SET FORTH IN ANY OTHER LAW OR AVAILABLE AT
LAW OR IN EQUITY.
  (M) MULTIPLE TAX LOTS. IF AN ELIGIBLE SITE CONTAINS MULTIPLE TAX LOTS,
AN APPLICATION MAY BE SUBMITTED WITH RESPECT TO ONE OR MORE OF SUCH  TAX
LOTS.  THE  AGENCY  SHALL DETERMINE ELIGIBILITY FOR 421-A BENEFITS BASED
UPON THE TAX LOTS INCLUDED IN SUCH APPLICATION.
  (N) APPLICATIONS. (I) THE APPLICATION WITH  RESPECT  TO  ANY  ELIGIBLE
MULTIPLE DWELLING SHALL BE FILED WITH THE AGENCY NOT LATER THAN ONE YEAR
AFTER THE COMPLETION DATE OF SUCH ELIGIBLE MULTIPLE DWELLING.
  (II)  NOTWITHSTANDING  THE PROVISIONS OF ANY GENERAL, SPECIAL OR LOCAL
LAW TO THE CONTRARY, THE AGENCY MAY REQUIRE BY RULE THAT APPLICATIONS BE
FILED ELECTRONICALLY.
  (III) THE AGENCY MAY RELY ON CERTIFICATION BY AN ARCHITECT OR ENGINEER
SUBMITTED BY AN APPLICANT IN CONNECTION WITH THE FILING OF  AN  APPLICA-
TION.  A  FALSE  CERTIFICATION  BY  SUCH  ARCHITECT OR ENGINEER SHALL BE
DEEMED TO BE PROFESSIONAL  MISCONDUCT  PURSUANT  TO  SECTION  SIXTY-FIVE
HUNDRED  NINE  OF  THE  EDUCATION LAW. ANY LICENSEE FOUND GUILTY OF SUCH
MISCONDUCT UNDER THE PROCEDURES PRESCRIBED IN SECTION SIXTY-FIVE HUNDRED
TEN OF THE EDUCATION LAW SHALL BE SUBJECT TO THE PENALTIES PRESCRIBED IN
SECTION SIXTY-FIVE HUNDRED ELEVEN OF SUCH LAW, AND SHALL  THEREAFTER  BE
INELIGIBLE TO SUBMIT A CERTIFICATION PURSUANT TO THIS SUBDIVISION.
  (O)  FILING FEE. THE AGENCY MAY REQUIRE A FILING FEE OF THREE THOUSAND
DOLLARS PER DWELLING UNIT IN CONNECTION WITH ANY  APPLICATION.  HOWEVER,
THE AGENCY MAY PROMULGATE RULES IMPOSING A LESSER FEE FOR ELIGIBLE SITES
CONTAINING  ELIGIBLE MULTIPLE DWELLINGS CONSTRUCTED WITH THE SUBSTANTIAL
ASSISTANCE OF GRANTS, LOANS OR SUBSIDIES PROVIDED BY A FEDERAL, STATE OR
LOCAL GOVERNMENTAL AGENCY OR INSTRUMENTALITY PURSUANT TO A  PROGRAM  FOR
THE DEVELOPMENT OF AFFORDABLE HOUSING.
  (P) RULES. THE AGENCY MAY PROMULGATE RULES TO CARRY OUT THE PROVISIONS
OF THIS SUBDIVISION.
  (Q)  AUTHORITY OF CITY TO ENACT LOCAL LAW. A CITY TO WHICH THIS SUBDI-
VISION IS APPLICABLE SHALL NOT BE AUTHORIZED TO ENACT  A  LOCAL  LAW  TO
RESTRICT,  LIMIT OR CONDITION THE ELIGIBILITY FOR OR THE SCOPE OR AMOUNT
OF 421-A BENEFITS IN ANY MANNER, OR GRANT 421-A  BENEFITS  BEYOND  THOSE
PROVIDED  IN  THIS  SUBDIVISION.  THE  PROVISIONS OF SECTIONS 11-245 AND
11-245.1 OF THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK  OR  OF  ANY
OTHER  LOCAL  LAW OF THE CITY OF NEW YORK THAT WERE ENACTED ON OR BEFORE
THE EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF  TWO  THOUSAND  FIFTEEN
THAT  ADDED  THIS  PARAGRAPH  SHALL NOT RESTRICT, LIMIT OR CONDITION THE
ELIGIBILITY FOR OR THE SCOPE OR AMOUNT OF  421-A  BENEFITS  PURSUANT  TO
THIS SUBDIVISION.
  (R)  ELECTION.  NOTWITHSTANDING  ANYTHING  IN  THIS SUBDIVISION TO THE
CONTRARY, A RENTAL PROJECT WITH A COMMENCEMENT DATE ON OR BEFORE  DECEM-
BER  THIRTY-FIRST,  TWO  THOUSAND FIFTEEN THAT HAS NOT RECEIVED BENEFITS
PURSUANT TO THIS SECTION PRIOR TO THE EFFECTIVE DATE OF THE  CHAPTER  OF
THE  LAWS  OF TWO THOUSAND FIFTEEN THAT ADDED THIS SUBDIVISION MAY ELECT
TO COMPLY WITH THIS SUBDIVISION AND RECEIVE 421-A BENEFITS  PURSUANT  TO
THIS SUBDIVISION.
  17. (A) DEFINITIONS. FOR PURPOSES OF THIS SUBDIVISION:
  (I)  "AFFORDABLE  HOUSING  EIGHTY  PERCENT  UNITS" SHALL MEAN DWELLING
UNITS THAT: (A) ARE SITUATED WITHIN THE EXTENDED AFFORDABILITY PROPERTY,
(B) UPON INITIAL RENTAL AND UPON  EACH  SUBSEQUENT  RENTAL  FOLLOWING  A

S. 5952                             9

VACANCY  DURING  THE  EXTENDED AFFORDABILITY PERIOD, ARE EACH AFFORDABLE
AND RESTRICTED TO OCCUPANCY BY INDIVIDUALS OR FAMILIES  WHOSE  HOUSEHOLD
INCOME  DOES  NOT  EXCEED ONE HUNDRED PERCENT OF THE AREA MEDIAN INCOME,
ADJUSTED  FOR  FAMILY  SIZE,  AT  THE TIME THAT SUCH HOUSEHOLD INITIALLY
OCCUPIES SUCH DWELLING UNIT, AND (C) UPON INITIAL RENTAL AND  UPON  EACH
SUBSEQUENT  RENTAL FOLLOWING A VACANCY DURING THE EXTENDED AFFORDABILITY
PERIOD, ARE COLLECTIVELY AFFORDABLE AND RESTRICTED TO OCCUPANCY BY INDI-
VIDUALS OR FAMILIES WHOSE HOUSEHOLD INCOME DOES NOT EXCEED AN AVERAGE OF
EIGHTY PERCENT OF THE AREA MEDIAN INCOME, ADJUSTED FOR FAMILY  SIZE,  AT
THE TIME THAT SUCH HOUSEHOLD INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (II)  "AFFORDABLE HOUSING ONE HUNDRED THIRTY PERCENT UNITS" SHALL MEAN
DWELLING UNITS THAT: (A) ARE SITUATED WITHIN AN  EXTENDED  AFFORDABILITY
PROPERTY,  AND  (B)  UPON INITIAL RENTAL AND UPON EACH SUBSEQUENT RENTAL
FOLLOWING A VACANCY DURING THE EXTENDED AFFORDABILITY PERIOD,  ARE  EACH
AFFORDABLE  AND RESTRICTED TO OCCUPANCY BY INDIVIDUALS OR FAMILIES WHOSE
HOUSEHOLD INCOME DOES NOT EXCEED ONE HUNDRED THIRTY PERCENT OF THE  AREA
MEDIAN INCOME, ADJUSTED FOR FAMILY SIZE, AT THE TIME THAT SUCH HOUSEHOLD
INITIALLY OCCUPIES SUCH DWELLING UNIT.
  (III)  "AFFORDABLE HOUSING UNIT" SHALL MEAN, COLLECTIVELY AND INDIVID-
UALLY, AFFORDABLE HOUSING EIGHTY PERCENT UNITS  AND  AFFORDABLE  HOUSING
ONE HUNDRED THIRTY PERCENT UNITS.
  (IV)  "AGENCY"  SHALL  MEAN THE DEPARTMENT OF HOUSING PRESERVATION AND
DEVELOPMENT.
  (V) "APPLICATION" SHALL MEAN  AN  APPLICATION  FOR  EXTENDED  BENEFITS
PURSUANT TO THIS SUBDIVISION.
  (VI) "BUILDING SERVICE EMPLOYEE" SHALL MEAN ANY PERSON WHO IS REGULAR-
LY EMPLOYED AT, AND PERFORMS WORK IN CONNECTION WITH THE CARE OR MAINTE-
NANCE OF, AN EXTENDED AFFORDABILITY PROPERTY, INCLUDING, BUT NOT LIMITED
TO,  A  WATCHMAN,  GUARD,  DOORMAN,  BUILDING CLEANER, PORTER, HANDYMAN,
JANITOR, GARDENER, GROUNDSKEEPER, ELEVATOR  OPERATOR  AND  STARTER,  AND
WINDOW  CLEANER,  BUT  NOT INCLUDING PERSONS REGULARLY SCHEDULED TO WORK
FEWER THAN EIGHT HOURS PER WEEK IN THE EXTENDED AFFORDABILITY PROPERTY.
  (VII) "COMMENCEMENT DATE" SHALL MEAN THE LATER OF: (A) THE  EXPIRATION
DATE, OR (B) THE RESTRICTIVE DECLARATION DATE.
  (VIII)  "EXPIRATION  DATE"  SHALL  MEAN  THE  DATE UPON WHICH BENEFITS
GRANTED TO A TWENTY YEAR BENEFIT PROPERTY OR  TWENTY-FIVE  YEAR  BENEFIT
PROPERTY  PURSUANT  TO  THIS  SECTION PRIOR TO THE EFFECTIVE DATE OF THE
CHAPTER OF THE LAWS OF TWO THOUSAND FIFTEEN THAT ADDED THIS  SUBDIVISION
WOULD EXPIRE.
  (IX)  "EXTENDED  AFFORDABILITY PERIOD" SHALL MEAN, NOTWITHSTANDING ANY
EARLIER TERMINATION OR REVOCATION OF THE EXTENDED  BENEFIT,  THE  PERIOD
COMMENCING  UPON  THE  COMMENCEMENT  DATE  AND ENDING: (A) FIFTEEN YEARS
THEREAFTER FOR A TWENTY YEAR BENEFIT PROPERTY, AND (B) TEN YEARS  THERE-
AFTER FOR A TWENTY-FIVE YEAR BENEFIT PROPERTY.
  (X) "EXTENDED AFFORDABILITY PROPERTY" SHALL MEAN A TWENTY YEAR BENEFIT
PROPERTY  OR  A TWENTY-FIVE YEAR BENEFIT PROPERTY THAT COMPLIES WITH THE
PROVISIONS OF THIS SUBDIVISION.
  (XI) "EXTENDED AFFORDABILITY REQUIREMENT" SHALL MEAN THAT, WITHIN  ANY
EXTENDED AFFORDABILITY PROPERTY: (A) NOT LESS THAN TWENTY PERCENT OF THE
DWELLING  UNITS ARE AFFORDABLE HOUSING EIGHTY PERCENT UNITS, AND (B) NOT
LESS THAN AN ADDITIONAL FIVE PERCENT OF THE DWELLING UNITS ARE  AFFORDA-
BLE HOUSING ONE HUNDRED THIRTY PERCENT UNITS.
  (XII)  "EXTENDED  BENEFIT"  SHALL MEAN, FOR ANY EXTENDED AFFORDABILITY
PROPERTY, A FIFTY PERCENT EXEMPTION FROM REAL PROPERTY  TAXATION,  OTHER
THAN  ASSESSMENTS FOR LOCAL IMPROVEMENTS, FOR THE EXTENDED AFFORDABILITY
PERIOD.

S. 5952                            10

  (XIII) "FISCAL OFFICER" SHALL MEAN THE COMPTROLLER OR OTHER  ANALOGOUS
OFFICER IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  (XIV)  "FLOOR AREA" SHALL MEAN "FLOOR AREA" AS DEFINED IN THE NEW YORK
CITY ZONING RESOLUTION.
  (XV) "MULTIPLE DWELLING" SHALL HAVE  THE  MEANING  SET  FORTH  IN  THE
MULTIPLE DWELLING LAW.
  (XVI)  "RESIDENTIAL TAX LOT" SHALL MEAN A TAX LOT THAT CONTAINS DWELL-
ING UNITS.
  (XVII) "RESTRICTIVE DECLARATION" SHALL MEAN A DOCUMENT EXECUTED BY ALL
PARTIES  IN  INTEREST  TO  THE  EXTENDED  AFFORDABILITY  PROPERTY  WHICH
PROVIDES  THAT,  DURING  THE EXTENDED AFFORDABILITY PERIOD, THE EXTENDED
AFFORDABILITY PROPERTY SHALL  COMPLY  WITH  THE  EXTENDED  AFFORDABILITY
REQUIREMENT.
  (XVIII)  "RESTRICTIVE DECLARATION DATE" SHALL MEAN THE DATE UPON WHICH
THE RESTRICTIVE DECLARATION IS RECORDED AGAINST THE EXTENDED AFFORDABIL-
ITY PROPERTY.
  (XIX) "TWENTY YEAR BENEFIT PROPERTY" SHALL MEAN  A  MULTIPLE  DWELLING
THAT  COMMENCED CONSTRUCTION PRIOR TO JULY FIRST, TWO THOUSAND EIGHT AND
THAT WAS GRANTED BENEFITS PURSUANT TO THIS SECTION PRIOR TO  THE  EFFEC-
TIVE  DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND FIFTEEN THAT ADDED
THIS SUBDIVISION DUE TO ITS COMPLIANCE WITH THE REQUIREMENTS OF ITEM (B)
OF CLAUSE (A) OF SUBPARAGRAPH (IV) OF PARAGRAPH (A) OF  SUBDIVISION  TWO
OF THIS SECTION.
  (XX)  "TWENTY-FIVE YEAR BENEFIT PROPERTY" SHALL MEAN A MULTIPLE DWELL-
ING THAT COMMENCED CONSTRUCTION PRIOR TO JULY FIRST, TWO THOUSAND  EIGHT
AND  THAT  WAS  GRANTED  BENEFITS  PURSUANT TO THIS SECTION PRIOR TO THE
EFFECTIVE DATE OF THE CHAPTER OF THE LAWS OF TWO THOUSAND  FIFTEEN  THAT
ADDED  THIS  SUBDIVISION  DUE TO ITS COMPLIANCE WITH THE REQUIREMENTS OF
ITEM (B) OF CLAUSE (D) OF SUBPARAGRAPH (III) OF PARAGRAPH (A) OF  SUBDI-
VISION TWO OF THIS SECTION.
  (B)  BENEFIT.  IN  CITIES  HAVING A POPULATION OF ONE MILLION OR MORE,
NOTWITHSTANDING THE PROVISIONS OF ANY OTHER SUBDIVISION OF THIS  SECTION
OR  OF  ANY  GENERAL,  SPECIAL OR LOCAL LAW TO THE CONTRARY, AN EXTENDED
AFFORDABILITY PROPERTY SHALL BE GRANTED AN EXTENDED  BENEFIT,  PROVIDED,
HOWEVER, THAT SUCH EXTENDED BENEFIT SHALL BE AVAILABLE ONLY IF ALL RESI-
DENTIAL  TAX  LOTS  IN  SUCH  EXTENDED AFFORDABILITY PROPERTY OPERATE AS
RENTAL HOUSING.
  (C) TAX PAYMENTS. IN ADDITION TO ANY OTHER AMOUNTS PAYABLE PURSUANT TO
THIS SUBDIVISION,  THE  OWNER  OF  AN  EXTENDED  AFFORDABILITY  PROPERTY
RECEIVING  AN EXTENDED BENEFIT SHALL PAY, IN EACH TAX YEAR IN WHICH SUCH
EXTENDED BENEFIT IS IN EFFECT, REAL PROPERTY TAXES  AND  ASSESSMENTS  AS
FOLLOWS:
  (I) REAL PROPERTY TAXES ON THE ASSESSED VALUATION OF SUCH LAND AND ANY
IMPROVEMENTS  THEREON  IN  EFFECT  DURING  THE  TAX  YEAR  PRECEDING THE
COMMENCEMENT OF THE CONSTRUCTION OF SUCH EXTENDED AFFORDABILITY PROPERTY
WITHOUT REGARD TO ANY EXEMPTION OR ABATEMENT FROM REAL PROPERTY TAXATION
IN EFFECT PRIOR TO SUCH CONSTRUCTION WHICH REAL PROPERTY TAXES SHALL  BE
CALCULATED ON THE TAX RATE IN EFFECT AT THE TIME SUCH TAXES ARE DUE; AND
  (II) ALL ASSESSMENTS FOR LOCAL IMPROVEMENTS.
  (D)  LIMITATION  ON  BENEFITS  FOR NON-RESIDENTIAL SPACE. ANY EXTENDED
BENEFIT SHALL BE REDUCED BY THE PERCENTAGE OF AGGREGATE  FLOOR  AREA  OF
THE  EXTENDED  AFFORDABILITY  PROPERTY OCCUPIED BY COMMERCIAL, COMMUNITY
FACILITY, PARKING, AND ACCESSORY USES AS PROVIDED IN  PARAGRAPH  (D)  OF
SUBDIVISION TWO OF THIS SECTION.
  (E)  CALCULATION  OF BENEFIT. BASED ON THE CERTIFICATION OF THE AGENCY
CERTIFYING THE APPLICANT'S ELIGIBILITY FOR  THE  EXTENDED  BENEFIT,  THE

S. 5952                            11

ASSESSORS SHALL CERTIFY TO THE COLLECTING OFFICER THE AMOUNT OF TAXES TO
BE EXEMPTED.
  (F) AFFORDABILITY REQUIREMENT. DURING THE EXTENDED AFFORDABILITY PERI-
OD,  AN  EXTENDED  AFFORDABILITY  PROPERTY MUST COMPLY WITH THE EXTENDED
AFFORDABILITY REQUIREMENT AND THE RESTRICTIVE DECLARATION. THE  EXTENDED
AFFORDABILITY  PROPERTY  SHALL  ALSO  COMPLY WITH ALL PROVISIONS OF THIS
PARAGRAPH DURING THE EXTENDED AFFORDABILITY PERIOD AND WITH SUBPARAGRAPH
(I) OF THIS PARAGRAPH BOTH DURING AND AFTER THE  EXTENDED  AFFORDABILITY
PERIOD TO THE EXTENT PROVIDED IN SUCH SUBPARAGRAPH.
  (I) NOTWITHSTANDING THE PROVISIONS OF ANY LOCAL LAW FOR THE STABILIZA-
TION  OF RENTS OR THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN SEVEN-
TY-FOUR, THE RENTS OF  ALL  AFFORDABLE  HOUSING  UNITS  IN  AN  EXTENDED
AFFORDABILITY  PROPERTY  SHALL  BE  FULLY  SUBJECT TO CONTROL UNDER SUCH
LOCAL LAW OR SUCH ACT DURING THE EXTENDED AFFORDABILITY PERIOD, PROVIDED
THAT TENANTS HOLDING A LEASE AND IN OCCUPANCY OF SUCH AFFORDABLE HOUSING
UNITS IN AN EXTENDED AFFORDABILITY PROPERTY AT  THE  EXPIRATION  OF  THE
EXTENDED  AFFORDABILITY  PERIOD  SHALL  HAVE THE RIGHT TO REMAIN AS RENT
STABILIZED TENANTS FOR THE DURATION OF THEIR OCCUPANCY. UPON ANY VACANCY
OF AN AFFORDABLE HOUSING UNIT AFTER THE EXTENDED  AFFORDABILITY  PERIOD,
SUCH AFFORDABLE HOUSING UNIT SHALL REMAIN FULLY SUBJECT TO RENT STABILI-
ZATION  UNLESS  THE  OWNER IS ENTITLED TO REMOVE SUCH AFFORDABLE HOUSING
UNIT FROM RENT STABILIZATION UPON SUCH VACANCY BY REASON OF THE  MONTHLY
RENT EXCEEDING ANY LIMIT ESTABLISHED THEREUNDER.
  (II)  ALL RENT STABILIZATION REGISTRATIONS REQUIRED TO BE FILED PURSU-
ANT TO SUBPARAGRAPH (I) OF THIS PARAGRAPH SHALL  CONTAIN  A  DESIGNATION
THAT SPECIFICALLY IDENTIFIES AFFORDABLE HOUSING UNITS COMPLYING WITH THE
EXTENDED  AFFORDABILITY  REQUIREMENT AS "421-A AFFORDABLE HOUSING UNITS"
AND SHALL CONTAIN AN EXPLANATION OF THE REQUIREMENTS THAT APPLY  TO  ALL
SUCH AFFORDABLE HOUSING UNITS.
  (III)  FAILURE  TO  COMPLY  WITH THE PROVISIONS OF THIS PARAGRAPH THAT
REQUIRE THE MAINTENANCE, RENT STABILIZATION AND OCCUPANCY OF  AFFORDABLE
HOUSING  UNITS  IN  AN  EXTENDED  AFFORDABILITY PROPERTY SHALL RESULT IN
REVOCATION OF THE EXTENDED BENEFIT FOR THE PERIOD  OF  SUCH  NON-COMPLI-
ANCE.
  (IV)  NOTHING IN THIS SUBDIVISION SHALL: (A) PROHIBIT THE OCCUPANCY OF
AN AFFORDABLE HOUSING UNIT BY INDIVIDUALS OR FAMILIES  WHOSE  INCOME  AT
ANY  TIME IS LESS THAN THE MAXIMUM PERCENTAGE OF THE AREA MEDIAN INCOME,
ADJUSTED FOR FAMILY SIZE, SPECIFIED FOR  SUCH  AFFORDABLE  HOUSING  UNIT
PURSUANT  TO  THIS SUBDIVISION, OR (B) PROHIBIT THE OWNER OF AN EXTENDED
AFFORDABILITY PROPERTY FROM REQUIRING, UPON INITIAL RENTAL OR  UPON  ANY
RENTAL FOLLOWING A VACANCY, THE OCCUPANCY OF ANY AFFORDABLE HOUSING UNIT
BY SUCH LOWER INCOME INDIVIDUALS OR FAMILIES.
  (V)  UPON  EACH  VACANCY, AN AFFORDABLE HOUSING UNIT SHALL PROMPTLY BE
OFFERED FOR RENTAL BY INDIVIDUALS OR  FAMILIES  WHOSE  INCOME  DOES  NOT
EXCEED  THE  MAXIMUM  PERCENTAGE OF THE AREA MEDIAN INCOME, ADJUSTED FOR
FAMILY SIZE, SPECIFIED FOR SUCH AFFORDABLE HOUSING UNIT PURSUANT TO THIS
SUBDIVISION AND WHO INTEND TO OCCUPY SUCH  AFFORDABLE  HOUSING  UNIT  AS
THEIR  PRIMARY  RESIDENCE.  AN AFFORDABLE HOUSING UNIT SHALL NOT BE: (A)
RENTED TO A CORPORATION, PARTNERSHIP OR OTHER ENTITY, OR  (B)  HELD  OFF
THE  MARKET  FOR A PERIOD LONGER THAN IS REASONABLY NECESSARY TO PERFORM
REPAIRS NEEDED TO MAKE SUCH AFFORDABLE HOUSING UNIT AVAILABLE FOR  OCCU-
PANCY.
  (VI)  AN  AFFORDABLE  HOUSING UNIT SHALL NOT BE RENTED ON A TEMPORARY,
TRANSIENT OR SHORT-TERM BASIS. EVERY LEASE AND RENEWAL  THEREOF  FOR  AN
AFFORDABLE  HOUSING UNIT SHALL BE FOR A TERM OF ONE OR TWO YEARS, AT THE
OPTION OF THE TENANT.

S. 5952                            12

  (VII) AN AFFORDABLE HOUSING UNIT SHALL NOT BE CONVERTED TO COOPERATIVE
OR CONDOMINIUM OWNERSHIP.
  (VIII) THE AGENCY MAY ESTABLISH BY RULE SUCH REQUIREMENTS AS THE AGEN-
CY  DEEMS  NECESSARY OR APPROPRIATE FOR: (A) THE MARKETING OF AFFORDABLE
HOUSING UNITS, AND (B) MONITORING COMPLIANCE WITH THE PROVISIONS OF THIS
PARAGRAPH. SUCH REQUIREMENTS MAY INCLUDE, BUT NEED NOT  BE  LIMITED  TO,
RETAINING A MONITOR APPROVED BY THE AGENCY AND PAID FOR BY THE OWNER.
  (G)  BUILDING  SERVICE  EMPLOYEES.  (I) FOR THE PURPOSES OF THIS PARA-
GRAPH, "APPLICANT" SHALL MEAN AN APPLICANT FOR  EXTENDED  BENEFITS,  ANY
SUCCESSOR TO SUCH APPLICANT, OR ANY EMPLOYER OF BUILDING SERVICE EMPLOY-
EES  FOR  SUCH  APPLICANT,  INCLUDING,  BUT  NOT  LIMITED TO, A PROPERTY
MANAGEMENT COMPANY OR CONTRACTOR.
  (II) ALL BUILDING SERVICE EMPLOYEES EMPLOYED BY THE APPLICANT  AT  THE
EXTENDED  AFFORDABILITY PROPERTY SHALL RECEIVE THE APPLICABLE PREVAILING
WAGE FOR THE ENTIRE EXTENDED AFFORDABILITY PERIOD.
  (III)  THE  FISCAL  OFFICER  SHALL  HAVE  THE  POWER  TO  ENFORCE  THE
PROVISIONS  OF  THIS PARAGRAPH. IN ENFORCING SUCH PROVISIONS, THE FISCAL
OFFICER SHALL HAVE THE POWER:
  (A) TO INVESTIGATE OR CAUSE AN INVESTIGATION TO BE MADE  TO  DETERMINE
THE  PREVAILING  WAGES  FOR  BUILDING  SERVICE EMPLOYEES; IN MAKING SUCH
INVESTIGATION, THE FISCAL OFFICER MAY UTILIZE WAGE  AND  FRINGE  BENEFIT
DATA  FROM  VARIOUS  SOURCES,  INCLUDING,  BUT  NOT LIMITED TO, DATA AND
DETERMINATIONS OF FEDERAL, STATE OR OTHER GOVERNMENTAL AGENCIES;
  (B) TO INSTITUTE AND CONDUCT INSPECTIONS AT THE SITE OF  THE  WORK  OR
ELSEWHERE;
  (C)  TO  EXAMINE  THE  BOOKS,  DOCUMENTS AND RECORDS PERTAINING TO THE
WAGES PAID TO, AND THE HOURS OF  WORK  PERFORMED  BY,  BUILDING  SERVICE
EMPLOYEES;
  (D) TO HOLD HEARINGS AND, IN CONNECTION THEREWITH, TO ISSUE SUBPOENAS,
ADMINISTER  OATHS  AND  EXAMINE WITNESSES; THE ENFORCEMENT OF A SUBPOENA
ISSUED UNDER THIS PARAGRAPH SHALL BE REGULATED BY THE CIVIL PRACTICE LAW
AND RULES;
  (E) TO MAKE A CLASSIFICATION BY CRAFT, TRADE OR OTHER GENERALLY RECOG-
NIZED OCCUPATIONAL CATEGORY OF THE BUILDING  SERVICE  EMPLOYEES  AND  TO
DETERMINE  WHETHER  SUCH WORK HAS BEEN PERFORMED BY THE BUILDING SERVICE
EMPLOYEES IN SUCH CLASSIFICATION;
  (F) TO REQUIRE THE APPLICANT TO FILE WITH THE FISCAL OFFICER A  RECORD
OF  THE  WAGES  ACTUALLY  PAID BY SUCH APPLICANT TO THE BUILDING SERVICE
EMPLOYEES AND OF THEIR HOURS OF WORK;
  (G) TO DELEGATE ANY OF THE FOREGOING POWERS TO HIS OR  HER  DEPUTY  OR
OTHER AUTHORIZED REPRESENTATIVE; AND
  (H)  TO PROMULGATE RULES AS HE OR SHE SHALL CONSIDER NECESSARY FOR THE
PROPER EXECUTION OF THE DUTIES, RESPONSIBILITIES  AND  POWERS  CONFERRED
UPON HIM OR HER BY THE PROVISIONS OF THIS SUBPARAGRAPH.
  (IV)  IF  THE  FISCAL  OFFICER  FINDS THAT THE APPLICANT HAS FAILED TO
COMPLY WITH THE PROVISIONS OF THIS PARAGRAPH, HE OR  SHE  SHALL  PRESENT
EVIDENCE OF SUCH NONCOMPLIANCE TO THE AGENCY.
  (V) SUBPARAGRAPH (II) OF THIS PARAGRAPH SHALL NOT BE APPLICABLE TO:
  (A)  AN  EXTENDED  AFFORDABILITY  PROJECT  CONTAINING  LESS THAN FIFTY
DWELLING UNITS; OR
  (B) AN EXTENDED AFFORDABILITY PROJECT WHERE THE LOCAL  HOUSING  AGENCY
CERTIFIES THAT AT INITIAL OCCUPANCY AT LEAST FIFTY PERCENT OF THE DWELL-
ING  UNITS ARE AFFORDABLE TO INDIVIDUALS OR FAMILIES WITH A GROSS HOUSE-
HOLD INCOME AT OR BELOW ONE HUNDRED  TWENTY-FIVE  PERCENT  OF  THE  AREA
MEDIAN INCOME AND THAT ANY SUCH UNITS WHICH ARE LOCATED IN RENTAL BUILD-
INGS  WILL  BE  SUBJECT  TO RESTRICTIONS TO INSURE THAT THEY WILL REMAIN

S. 5952                            13

AFFORDABLE FOR THE ENTIRE PERIOD  DURING  WHICH  THEY  RECEIVE  BENEFITS
UNDER THIS SECTION.
  (H)  CONCURRENT  EXEMPTIONS  OR  ABATEMENTS. AN EXTENDED AFFORDABILITY
PROPERTY RECEIVING AN EXTENDED BENEFIT SHALL NOT RECEIVE  ANY  EXEMPTION
FROM OR ABATEMENT OF REAL PROPERTY TAXATION UNDER ANY OTHER LAW.
  (I)   VOLUNTARY   RENUNCIATION  OR  TERMINATION.  NOTWITHSTANDING  THE
PROVISIONS OF ANY GENERAL, SPECIAL OR LOCAL  LAW  TO  THE  CONTRARY,  AN
OWNER  SHALL  NOT  BE  ENTITLED  TO VOLUNTARILY RENOUNCE OR TERMINATE AN
EXTENDED BENEFIT UNLESS  THE  AGENCY  AUTHORIZES  SUCH  RENUNCIATION  OR
TERMINATION  IN  CONNECTION WITH THE COMMENCEMENT OF A NEW TAX EXEMPTION
PURSUANT TO EITHER THE PRIVATE  HOUSING  FINANCE  LAW  OR  SECTION  FOUR
HUNDRED TWENTY-C OF THIS TITLE.
  (J)  TERMINATION OR REVOCATION. THE AGENCY MAY TERMINATE OR REVOKE THE
EXTENDED  BENEFIT  FOR  NONCOMPLIANCE  WITH  THIS  SUBDIVISION.  IF  THE
EXTENDED  BENEFIT  IS  TERMINATED OR REVOKED FOR NONCOMPLIANCE WITH THIS
SUBDIVISION, ALL OF THE AFFORDABLE HOUSING UNITS SHALL REMAIN SUBJECT TO
THE PROVISIONS OF ANY LOCAL LAW FOR THE STABILIZATION OF  RENTS  OR  THE
EMERGENCY  TENANT  PROTECTION ACT OF NINETEEN SEVENTY-FOUR AND ALL OTHER
REQUIREMENTS OF THIS SUBDIVISION FOR THE ENTIRE  EXTENDED  AFFORDABILITY
PERIOD AND ANY ADDITIONAL PERIOD EXPRESSLY PROVIDED IN THIS SUBDIVISION,
AS IF THE EXTENDED BENEFIT HAD NOT BEEN TERMINATED OR REVOKED.
  (K)  POWERS CUMULATIVE. THE ENFORCEMENT PROVISIONS OF THIS SUBDIVISION
SHALL NOT BE EXCLUSIVE, AND ARE IN ADDITION TO ANY OTHER  RIGHTS,  REME-
DIES,  OR  ENFORCEMENT POWERS SET FORTH IN ANY OTHER LAW OR AVAILABLE AT
LAW OR IN EQUITY.
  (L) MULTIPLE TAX LOTS. IF AN EXTENDED AFFORDABILITY PROPERTY  CONTAINS
MULTIPLE  TAX  LOTS, AN APPLICATION MAY BE SUBMITTED WITH RESPECT TO ONE
OR MORE OF SUCH TAX LOTS. THE AGENCY SHALL DETERMINE ELIGIBILITY FOR  AN
EXTENDED BENEFIT BASED UPON THE TAX LOTS INCLUDED IN SUCH APPLICATION.
  (M)  APPLICATIONS.  (I)  THE  APPLICATION WITH RESPECT TO ANY EXTENDED
AFFORDABILITY PROPERTY SHALL  INCLUDE  A  CERTIFICATION  THAT:  (A)  THE
RESTRICTIVE  DECLARATION HAS BEEN RECORDED AGAINST THE EXTENDED AFFORDA-
BILITY PROPERTY, AND (B)  THE  EXTENDED  AFFORDABILITY  PROPERTY  IS  IN
COMPLIANCE WITH SUCH RESTRICTIVE DECLARATION AND THIS SUBDIVISION.
  (II)  THE APPLICATION WITH RESPECT TO ANY EXTENDED AFFORDABILITY PROP-
ERTY SHALL BE FILED WITH THE AGENCY ON  OR  BEFORE  THE  LATER  OF:  (A)
DECEMBER  THIRTY-FIRST,  TWO  THOUSAND  SIXTEEN,  OR (B) EIGHTEEN MONTHS
AFTER THE EXPIRATION DATE.
  (III) NOTWITHSTANDING THE PROVISIONS OF ANY GENERAL, SPECIAL OR  LOCAL
LAW TO THE CONTRARY, THE AGENCY MAY REQUIRE BY RULE THAT APPLICATIONS BE
FILED ELECTRONICALLY.
  (IV)  THE AGENCY MAY RELY ON CERTIFICATION BY AN ARCHITECT OR ENGINEER
SUBMITTED BY AN APPLICANT IN CONNECTION WITH THE FILING OF  AN  APPLICA-
TION.  A  FALSE  CERTIFICATION  BY  SUCH  ARCHITECT OR ENGINEER SHALL BE
DEEMED TO BE PROFESSIONAL  MISCONDUCT  PURSUANT  TO  SECTION  SIXTY-FIVE
HUNDRED  NINE  OF  THE  EDUCATION LAW. ANY LICENSEE FOUND GUILTY OF SUCH
MISCONDUCT UNDER THE PROCEDURES PRESCRIBED IN SECTION SIXTY-FIVE HUNDRED
TEN OF THE EDUCATION LAW SHALL BE SUBJECT TO THE PENALTIES PRESCRIBED IN
SECTION SIXTY-FIVE HUNDRED ELEVEN OF SUCH LAW, AND SHALL  THEREAFTER  BE
INELIGIBLE TO SUBMIT A CERTIFICATION PURSUANT TO THIS SUBDIVISION.
  (N)  FILING FEE. THE AGENCY MAY REQUIRE A FILING FEE OF THREE THOUSAND
DOLLARS PER DWELLING UNIT IN CONNECTION WITH ANY APPLICATION.
  (O) RULES. THE AGENCY MAY PROMULGATE RULES TO CARRY OUT THE PROVISIONS
OF THIS SUBDIVISION.
  (P) AUTHORITY OF CITY TO ENACT LOCAL LAW. A CITY TO WHICH THIS  SUBDI-
VISION  IS  APPLICABLE  SHALL  NOT BE AUTHORIZED TO ENACT A LOCAL LAW TO

S. 5952                            14

RESTRICT, LIMIT OR CONDITION THE ELIGIBILITY FOR OR THE SCOPE OR  AMOUNT
OF  EXTENDED  BENEFITS  IN ANY MANNER, OR GRANT EXTENDED BENEFITS BEYOND
THOSE PROVIDED IN THIS SUBDIVISION. THE PROVISIONS  OF  SECTIONS  11-245
AND  11-245.1  OF  THE ADMINISTRATIVE CODE OF THE CITY OF NEW YORK OR OF
ANY OTHER LOCAL LAW OF THE CITY OF NEW YORK  THAT  WERE  ENACTED  ON  OR
BEFORE  THE  EFFECTIVE  DATE  OF THE CHAPTER OF THE LAWS OF TWO THOUSAND
FIFTEEN THAT ADDED THIS PARAGRAPH SHALL NOT RESTRICT, LIMIT OR CONDITION
THE ELIGIBILITY FOR OR THE SCOPE OR AMOUNT OF EXTENDED BENEFITS PURSUANT
TO THIS SUBDIVISION.
  S 2. The opening paragraph of clause (A) of subparagraph (iv) of para-
graph (a) of subdivision 2 of section 421-a of  the  real  property  tax
law,  as  amended  by  section 41 of part B of chapter 97 of the laws of
2011, is amended to read as follows:
  [Unless excluded by local law, in] IN the city of New York, the  bene-
fits of this subparagraph shall be available in the borough of Manhattan
for new multiple dwellings on tax lots now existing or hereafter created
south  of  or  adjacent  to either side of one hundred tenth street that
commence construction after July first, nineteen hundred ninety-two  and
ON  OR  before  [June  fifteenth]  DECEMBER  THIRTY-FIRST,  two thousand
fifteen, PROVIDED, HOWEVER, THAT (1) SUCH A MULTIPLE  DWELLING  RECEIVES
ITS  FIRST  TEMPORARY OR PERMANENT CERTIFICATE OF OCCUPANCY COVERING ALL
RESIDENTIAL AREAS ON OR BEFORE DECEMBER THIRTY-FIRST, TWO THOUSAND NINE-
TEEN, AND (2) SOLELY FOR PURPOSES OF  DETERMINING  WHETHER  THIS  CLAUSE
APPLIES  AND  NOTWITHSTANDING  ANY LOCAL LAW TO THE CONTRARY, "COMMENCE"
SHALL MEAN THE DATE UPON WHICH EXCAVATION AND  CONSTRUCTION  OF  INITIAL
FOOTINGS AND FOUNDATIONS LAWFULLY BEGINS IN GOOD FAITH OR, FOR AN ELIGI-
BLE  CONVERSION,  THE  DATE  UPON  WHICH  THE ACTUAL CONSTRUCTION OF THE
CONVERSION, ALTERATION OR IMPROVEMENT OF THE  PRE-EXISTING  BUILDING  OR
STRUCTURE LAWFULLY BEGINS IN GOOD FAITH, only if:
  S  3.  Subparagraph  (ii) of paragraph (c) of subdivision 2 of section
421-a of the real property tax law, as amended by section 42 of  part  B
of chapter 97 of the laws of 2011, is amended to read as follows:
  (ii)  construction  is commenced after January first, nineteen hundred
seventy-five and ON OR before [June  fifteenth]  DECEMBER  THIRTY-FIRST,
two thousand fifteen, provided, however, that (A) SUCH A MULTIPLE DWELL-
ING  RECEIVES  ITS FIRST TEMPORARY OR PERMANENT CERTIFICATE OF OCCUPANCY
COVERING ALL RESIDENTIAL AREAS ON OR BEFORE DECEMBER  THIRTY-FIRST,  TWO
THOUSAND  NINETEEN,  (B) SOLELY FOR PURPOSES OF DETERMINING WHETHER THIS
SUBPARAGRAPH APPLIES AND NOTWITHSTANDING ANY LOCAL LAW TO THE  CONTRARY,
"COMMENCE" SHALL MEAN THE DATE UPON WHICH EXCAVATION AND CONSTRUCTION OF
INITIAL  FOOTINGS  AND FOUNDATIONS LAWFULLY BEGINS IN GOOD FAITH OR, FOR
AN ELIGIBLE CONVERSION, THE DATE UPON WHICH THE ACTUAL  CONSTRUCTION  OF
THE  CONVERSION,  ALTERATION OR IMPROVEMENT OF THE PRE-EXISTING BUILDING
OR STRUCTURE LAWFULLY BEGINS IN GOOD FAITH, AND  (C)  such  commencement
period shall not apply to multiple dwellings eligible for benefits under
subparagraph (iv) of paragraph (a) of this subdivision;
  S  4.  Subdivision  2 of section 421-a of the real property tax law is
amended by adding a new paragraph (j) to read as follows:
  (J)  VOLUNTARY  RENUNCIATION  OR  TERMINATION.   NOTWITHSTANDING   THE
PROVISIONS  OF  ANY  GENERAL,  SPECIAL  OR LOCAL LAW TO THE CONTRARY, AN
OWNER SHALL NOT BE ENTITLED TO VOLUNTARILY RENOUNCE OR TERMINATE ANY TAX
EXEMPTION GRANTED PURSUANT TO THIS SUBDIVISION UNLESS THE LOCAL  HOUSING
AGENCY  AUTHORIZES  SUCH  RENUNCIATION OR TERMINATION IN CONNECTION WITH
THE COMMENCEMENT OF A NEW TAX EXEMPTION PURSUANT TO EITHER  THE  PRIVATE
HOUSING FINANCE LAW OR SECTION FOUR HUNDRED TWENTY-C OF THIS TITLE.

S. 5952                            15

  S  5.  The  opening paragraph of subdivision 3 of section 421-a of the
real property tax law is designated paragraph (a) and  a  new  paragraph
(b) is added to read as follows:
  (B)  NOTWITHSTANDING  THE  PROVISIONS OF ANY GENERAL, SPECIAL OR LOCAL
LAW TO THE CONTRARY, THE LOCAL HOUSING AGENCY MAY REQUIRE BY  RULE  THAT
APPLICATIONS BE FILED ELECTRONICALLY.
  S 6. Paragraph (a) of subdivision 6 of section 421-a of the real prop-
erty  tax  law  is amended by adding three new subparagraphs (iii), (iv)
and (v) to read as follows:
  (III) "COMMENCEMENT DATE" SHALL MEAN, WITH RESPECT TO ANY BUILDING  IN
A COVERED PROJECT AND NOTWITHSTANDING ANY LOCAL LAW TO THE CONTRARY, THE
DATE  UPON  WHICH  EXCAVATION  AND  CONSTRUCTION OF INITIAL FOOTINGS AND
FOUNDATIONS LAWFULLY BEGINS IN GOOD FAITH OR, FOR  AN  ELIGIBLE  CONVER-
SION,  THE  DATE  UPON  WHICH THE ACTUAL CONSTRUCTION OF THE CONVERSION,
ALTERATION OR IMPROVEMENT OF  THE  PRE-EXISTING  BUILDING  OR  STRUCTURE
LAWFULLY BEGINS IN GOOD FAITH.
  (IV)  "COMPLETION  DATE"  SHALL  MEAN  THE  DATE  UPON WHICH THE LOCAL
DEPARTMENT OF BUILDINGS ISSUES THE FIRST TEMPORARY OR PERMANENT  CERTIF-
ICATE  OF  OCCUPANCY  COVERING  ALL RESIDENTIAL AREAS OF A BUILDING IN A
COVERED PROJECT.
  (V) "COVERED PROJECT AGREEMENT" SHALL MEAN AN AGREEMENT  EXECUTED  AND
RECORDED  ON  OR BEFORE DECEMBER THIRTY-FIRST, TWO THOUSAND FIFTEEN, AND
NOT THEREAFTER AMENDED TO  INCLUDE  ADDITIONAL  REAL  PROPERTY,  BY  AND
BETWEEN THE OWNERS OF THE REAL PROPERTY CONTAINING ALL OF THE AFFORDABLE
UNITS  AND  THE  MARKET  UNITS  WHICH  WILL  CONSTITUTE A SINGLE COVERED
PROJECT AS DEFINED PURSUANT TO SUBPARAGRAPH (I) OF THIS PARAGRAPH.
  S 7. Paragraph (b) of subdivision 6 of section 421-a of the real prop-
erty tax law, as added by chapter 110 of the laws of 2005, is amended to
read as follows:
  (b) No  benefits  under  the  provisions  of  this  section  shall  be
conferred on any BUILDING IN A covered project located in the Greenpoint
- Williamsburg waterfront exclusion area unless [such] THE REAL PROPERTY
CONTAINING  SUCH  BUILDING IS IDENTIFIED IN A COVERED PROJECT AGREEMENT,
AND THE COVERED  project  THAT  INCLUDES  SUCH  BUILDING  shall  provide
affordable  housing  for persons and families of low and moderate income
that meets one of the following conditions:
  (i) not less than twenty percent of the units in the  covered  project
are affordable to and occupied or available for occupancy by individuals
or families whose incomes at the time of initial occupancy do not exceed
eighty  percent of the area median incomes adjusted for family size, AND
AT LEAST ONE BUILDING IN SUCH COVERED PROJECT  THAT  CONTAINS  NOT  LESS
THAN  TWENTY PERCENT OF ITS DWELLING UNITS MEETING THIS AFFORDABLE HOUS-
ING  REQUIREMENT  HAS  A  COMMENCEMENT  DATE  ON  OR   BEFORE   DECEMBER
THIRTY-FIRST,  TWO  THOUSAND  FIFTEEN  AND  ALL OF THE BUILDINGS IN SUCH
COVERED PROJECT THAT RECEIVE BENEFITS PURSUANT TO PARAGRAPH (F) OF  THIS
SUBDIVISION  HAVE  A  COMPLETION  DATE  ON OR BEFORE JUNE FIFTEENTH, TWO
THOUSAND TWENTY-FIVE; or
  (ii) not less than ten percent of the units in the covered project are
affordable to and occupied or available for occupancy by individuals  or
families  whose  incomes  at the time of initial occupancy do not exceed
eighty percent of the area median incomes adjusted for family  size  and
not  less than an additional fifteen percent of the units in the covered
project are affordable to and occupied or  available  for  occupancy  by
individuals  or  families whose incomes at the time of initial occupancy
do not exceed one hundred twenty-five percent of the area median incomes
adjusted for family size, AND AT LEAST  ONE  BUILDING  IN  SUCH  COVERED

S. 5952                            16

PROJECT  THAT CONTAINS NOT LESS THAN TWENTY-FIVE PERCENT OF ITS DWELLING
UNITS MEETING THIS AFFORDABLE HOUSING  REQUIREMENT  HAS  A  COMMENCEMENT
DATE ON OR BEFORE DECEMBER THIRTY-FIRST, TWO THOUSAND FIFTEEN AND ALL OF
THE  BUILDINGS IN SUCH COVERED PROJECT THAT RECEIVE BENEFITS PURSUANT TO
PARAGRAPH (F) OF THIS SUBDIVISION HAVE A COMPLETION DATE  ON  OR  BEFORE
JUNE FIFTEENTH, TWO THOUSAND TWENTY-FIVE.
  S 8. Paragraph (f) of subdivision 6 of section 421-a of the real prop-
erty tax law, as added by chapter 110 of the laws of 2005, is amended to
read as follows:
  (f)  With  respect  to any covered project located entirely within the
Greenpoint - Williamsburg waterfront exclusion area, the period  of  tax
benefits  awarded  to  any building in such covered project shall be the
same as the period of tax benefits awarded under  clause  [(A)]  (D)  of
subparagraph  (iii) of paragraph (a) of subdivision two of this section.
With respect to any covered project which includes one or more buildings
located outside the Greenpoint - Williamsburg waterfront exclusion area,
the period of tax benefits awarded  to  any  building  in  such  covered
project  that is located within the Greenpoint - Williamsburg waterfront
exclusion area shall be the same as the period of tax  benefits  awarded
under  clause  (A)  of subparagraph (ii) of paragraph (a) of subdivision
two of this section.
  S 9. Subdivision 8 of section 421-a of the real property tax  law,  as
added  by chapter 618 of the laws of 2007, subparagraph (i) of paragraph
(a) and paragraph (c) as amended by chapter 15 of the laws of 2008,  and
paragraphs (d) and (e) as amended by chapter 619 of the laws of 2007, is
amended to read as follows:
  8. (a) As used in this subdivision, the following terms shall have the
following meanings:
  (i)  "APPLICANT"  MEANS  AN  APPLICANT  FOR  BENEFITS PURSUANT TO THIS
SECTION, ANY SUCCESSOR TO SUCH APPLICANT, OR ANY  EMPLOYER  OF  BUILDING
SERVICE  EMPLOYEES  FOR SUCH APPLICANT, INCLUDING, BUT NOT LIMITED TO, A
PROPERTY MANAGEMENT COMPANY OR CONTRACTOR.
  (II) "Building service employee" means any  person  who  is  regularly
employed  at a building who performs work in connection with the care or
maintenance of such building. "Building service employee" includes,  but
is  not  limited to [superintendent,] watchman, guard, doorman, building
cleaner, porter, handyman, janitor,  gardener,  groundskeeper,  elevator
operator  and starter, and window cleaner, but shall not include persons
regularly scheduled to work fewer than  eight  hours  per  week  in  the
building.
  [(ii)  "Prevailing wage" means the wage determined by the fiscal offi-
cer to be prevailing for the various classes of building service employ-
ees in the locality pursuant to section two hundred thirty of the  labor
law.]
  (III)  "FISCAL OFFICER" MEANS THE COMPTROLLER OR OTHER ANALOGOUS OFFI-
CER IN A CITY HAVING A POPULATION OF ONE MILLION OR MORE.
  (b) [No benefits  under  this  section  shall  be  conferred  for  any
construction  commenced on or after December twenty-eighth, two thousand
seven for any tax lots now existing or hereafter  created  except  where
the applicant agrees that all building service employees employed at the
building,  whether employed directly by the applicant or its successors,
or through a property management company or a contractor, shall  receive
the  applicable  prevailing  wage for the duration of the building's tax
exemption.] ALL BUILDING SERVICE EMPLOYEES EMPLOYED BY THE APPLICANT  IN
A   BUILDING   WHOSE   CONSTRUCTION   COMMENCED  ON  OR  AFTER  DECEMBER

S. 5952                            17

TWENTY-EIGHTH, TWO THOUSAND SEVEN SHALL RECEIVE THE APPLICABLE  PREVAIL-
ING WAGE FOR THE DURATION OF BENEFITS PURSUANT TO THIS SECTION.
  (C)  [The limitations contained in paragraph] THE FISCAL OFFICER SHALL
HAVE THE POWER TO ENFORCE THE PROVISIONS OF THIS SUBDIVISION. IN ENFORC-
ING SUCH PROVISIONS, THE FISCAL OFFICER SHALL HAVE THE POWER:
  (I) TO INVESTIGATE OR CAUSE AN INVESTIGATION TO BE MADE  TO  DETERMINE
THE  PREVAILING  WAGES  FOR  BUILDING  SERVICE EMPLOYEES; IN MAKING SUCH
INVESTIGATION, THE FISCAL OFFICER MAY UTILIZE WAGE  AND  FRINGE  BENEFIT
DATA  FROM  VARIOUS  SOURCES,  INCLUDING,  BUT  NOT LIMITED TO, DATA AND
DETERMINATIONS OF FEDERAL, STATE OR OTHER GOVERNMENTAL AGENCIES;
  (II) TO INSTITUTE AND CONDUCT INSPECTIONS AT THE SITE OF THE  WORK  OR
ELSEWHERE;
  (III)  TO  EXAMINE  THE BOOKS, DOCUMENTS AND RECORDS PERTAINING TO THE
WAGES PAID TO, AND THE HOURS OF  WORK  PERFORMED  BY,  BUILDING  SERVICE
EMPLOYEES;
  (IV)  TO  HOLD HEARINGS AND, IN CONNECTION THEREWITH, TO ISSUE SUBPOE-
NAS, ADMINISTER OATHS  AND  EXAMINE  WITNESSES;  THE  ENFORCEMENT  OF  A
SUBPOENA  ISSUED  UNDER THIS SUBDIVISION SHALL BE REGULATED BY THE CIVIL
PRACTICE LAW AND RULES;
  (V) TO MAKE A CLASSIFICATION BY CRAFT, TRADE OR OTHER GENERALLY RECOG-
NIZED OCCUPATIONAL CATEGORY OF THE BUILDING  SERVICE  EMPLOYEES  AND  TO
DETERMINE  WHETHER  SUCH WORK HAS BEEN PERFORMED BY THE BUILDING SERVICE
EMPLOYEES IN SUCH CLASSIFICATION;
  (VI) TO REQUIRE THE APPLICANT TO FILE WITH THE FISCAL OFFICER A RECORD
OF THE WAGES ACTUALLY PAID BY SUCH APPLICANT  TO  THE  BUILDING  SERVICE
EMPLOYEES AND OF THEIR HOURS OF WORK;
  (VII)  TO DELEGATE ANY OF THE FOREGOING POWERS TO HIS OR HER DEPUTY OR
OTHER AUTHORIZED REPRESENTATIVE; AND
  (VIII) TO PROMULGATE RULES AS HE OR SHE SHALL CONSIDER  NECESSARY  FOR
THE   PROPER  EXECUTION  OF  THE  DUTIES,  RESPONSIBILITIES  AND  POWERS
CONFERRED UPON HIM OR HER BY THE PROVISIONS OF THIS PARAGRAPH.
  (D) IF THE FISCAL OFFICER FINDS  THAT  THE  APPLICANT  HAS  FAILED  TO
COMPLY  WITH THE PROVISIONS OF THIS SUBDIVISION, HE OR SHE SHALL PRESENT
EVIDENCE OF SUCH NONCOMPLIANCE TO THE LOCAL HOUSING AGENCY.
  (E) PARAGRAPH (b) of this subdivision shall not be applicable to:
  (i) projects containing less than fifty dwelling units; or
  (ii) buildings where  the  local  housing  agency  certifies  that  at
initial  occupancy  at  least  fifty  percent  of the dwelling units are
affordable to individuals or families with a gross household  income  at
or  below  one hundred twenty-five percent of the area median income and
that any such units which  are  located  in  rental  buildings  will  be
subject  to  restrictions to insure that they will remain affordable for
the entire period during which they receive benefits under this section.
  [(d)] (F) The local housing agency shall prescribe  appropriate  sanc-
tions for failure to comply with the provisions of this subdivision.
  [(e)]  (G)  Solely  for purposes of paragraph (b) of this subdivision,
construction shall be deemed to have commenced when excavation or alter-
ation has begun in good faith on  the  basis  of  approved  construction
plans.
  [(f)]  (H)  The  [limitations  on]  eligibility  CRITERIA for benefits
contained in this subdivision shall be in addition to those contained in
any other law or regulation.
  S 10. This act shall take effect  immediately,  except  that  sections
six,  seven  and  eight of this act shall be deemed to have been in full
force and effect on and after June 21, 2005, and section  nine  of  this

S. 5952                            18

act  shall  be deemed to have been in full force and effect on and after
August 17, 2007.