NY State Senate Bill 2017-S808

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

Please enter your contact information

First Name

Last Name

Email Address

A valid email address is required.

Home address is used to determine the senate district in which you reside. Your support or opposition to this bill is then shared immediately with the senator who represents you.

Optional services from the NY State Senate:

Create an account. An account allows you to officially support or oppose key legislation, sign petitions with a single click, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Include a custom message for your Senator? (Optional)

Enter a message to your senator. Many New Yorkers use this to share the reasoning behind their support or opposition to the bill. Others might share a personal anecdote about how the bill would affect them or people they care about.

Actions

View Actions

Date of Action	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 03, 2018	referred to housing, construction and community development
Jan 05, 2017	referred to housing, construction and community development

co-Sponsors

2017-S808 (ACTIVE) - Details

Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Amd §§26-408, 26-511, 26-405, 26-403, add §§26-504.4 & 26-416, rpld §26-403 sub e ¶2 sub¶ (k), §26-504.2, §26-405 sub g ¶1 sub¶¶ (l) & (n), NYC Ad Cd; amd §§5, 6 & 10, ren §14 to be §15, add §14, rpld §5 sub a ¶13, Emerg Ten Prot Act of 1974; amd §§5 & 4, rpld §2 sub 2 ¶(n), Emerg Hous Rent Cont L; §14, Pub Hous L
Versions Introduced in Other Legislative Sessions:: 2011-2012: S2783
2013-2014: S2105
2015-2016: S3364

2017-S808 (ACTIVE) - Summary

Enacts the "Tenant Protection Act of 2017"; relates to recovery of certain housing accommodations by a landlord (Part A); relates to the adjustment of maximum allowable rent (Part B); relates to project-based rental assistance (Part C)

2017-S808 (ACTIVE) - Sponsor Memo

                                 BILL NUMBER:  S808

 TITLE OF BILL :

An act to amend the administrative code of the city of New York, the
emergency tenant protection act of nineteen seventy-four and the
emergency housing rent control law, in relation to recovery of certain
housing accommodations by a landlord (Part A); to amend the
administrative code of the city of New York and the emergency tenant
protection act of nineteen seventy-four, in relation to limiting rent
increase after vacancy of a housing accommodation; and to amend the
administrative code of the city of New York, the emergency tenant
protection act of nineteen seventy-four and the emergency housing rent
control law, in relation to adjustment of maximum allowable rent (Part
B); to amend the emergency tenant protection act of nineteen
seventy-four, in relation to limited-profit housing companies and
other buildings or structures which received project-based rental
assistance (Part C); to amend the public housing law, in relation to
the definition of "family member"; to amend the administrative code of
the city of New York and the emergency tenant protection act of
nineteen seventy-four, in relation to the definition of a tenant (Part
D); to amend the administrative code of the city of New York and the
emergency tenant protection act of nineteen seventy-four, in relation
to making conforming technical changes; and to repeal paragraph 13 of
subdivision a of section 5 of the emergency tenant protection act of
nineteen seventy-four, paragraph (n) of subdivision 2 of section 2 of

the emergency housing rent control law, and section 26-504.2 and
subparagraph (k) of paragraph 2 of subdivision e of section 26-403 of
the administrative code of the city of New York, relating to vacancy
decontrol (Part E); to amend the administrative code of the city of
New York, the emergency tenant protection act of nineteen seventy-four
and the emergency housing rent control law, in relation to extending
the length of time over which major capital improvement expenses may
be recovered and in relation to approval of major capital improvement
rent increases (Part F); to amend the administrative code of the city
of New York and the emergency housing rent control law, in relation to
the establishment of rent adjustments; and repealing certain
provisions of the administrative code of the city of New York relating
thereto (Part G); and to amend the administrative code of the city of
New York, in relation to surcharges for the installation or use of
certain appliances in housing accommodations subject to rent control
(Part H)

 PURPOSE OR GENERAL IDEA OF BILL :

The purpose of this bill is to, expand tenant protections by limiting
a landlord's ability to take possession of units for their own
personal use, reduce the percentage by which rent may be increased
upon vacancy, extend rent and eviction protections to tenants living
in former federal Section 8 projects, allow cities with a population
of one million or more to strengthen rent regulation laws or to
provide more comprehensive coverage than provided by state laws,
extend the various provisions of the rent stabilization and rent.
Control laws, for an additional five years, until June 15, 20167
reduce the amount that rent can be increased to one-sixth of the cost
of the improvement and authorizes the Division of Housing and
Community Renewal to approve such rent increases for vacant
apartments, repeals vacancy decontrol, prohibit an owner from
adjusting the amount of preferential rent upon the renewal of a lease,
extend the number of ownership years from three to six years in
respect to eligibility for an alternative hardship rent adjustment,
establish a methodology for determining major capitol improvement rent
surcharges based on seven years, and protect tenants living in
Mitchell-Lama housing by ext ending rent stabilization after they
leave the supervision of the State.

 SUMMARY OF SPECIFIC PROVISIONS :

Part A:

*limit a landlord's ability to take possession of rent-regulated units
for his or her own primary residence to cases of immediate and
compelling necessity;

*permit recovery of only one such unit; and

*prohibit such recoveries if the tenant has occupied the apartment
twenty or more Years

Part B:

*eliminate the automatic 20% vacancy bonus increase

*Cap the amount by which the legal rent of a vacant apartment can
raised by Individual Apartment Improvements to 20%.

*Require landlords who are using Individual Apartment Improvements to
justify rent increases of the legal rent to give an itemized list of
the improvements and the accompanying receipts to the new tenant as a
rider to the lease

*Changes law so IAI improvements are no longer permanent but temporary
until the improvement cost is paid off.

Part C:

*authorize New York City or any city, town or village in the counties
of Westchester, Nassau and Rockland to extend the Emergency Tenant
Protection Act (ETPA) to cover rental buildings which: (1) were owned
by limited-profit housing companies which voluntarily dissolved or
which will dissolve in the future, or (2) were covered by rental
assistance contracts between their owners and BUD and such contracts
expired or terminated previously or will terminate at some future
date.

*set forth Legislative findings and declaration of emergency.

*amend Section 5 of section 4 of Chapter 576 of the laws of 1974
constituting the emergency tenant protection act of 1974 by adding a
new subdivision c to set rents for buildings completed after January
1, 1974 as the rents charged on January 1, 2007, as subsequently
adjusted by rent regulation laws, Furthermore, this section clarifies
that the rent setting language with a base date of January 1, 2007,
will supersede any agreement made between a tenant and landlord
whether in a lease or another agreement.

*make it clear that "Unique" or "Peculiar" circumstances rent
increases authorized by the New York City rent stabilization law and
the Emergency Tenant Protection Act are not applicable to
Mitchell-Lama or project-based Section 8 buildings whether the
buildings were completed before or after January 1, 1974.

*provide that in a city having a population of one million or more,
that the New York City rent law 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 housing
accommodations made subject to such law by a declaration of emergency
made pursuant to this act,

*set forth an effective date of immediate and provides that the law
applies 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.

Part D:

*the Emergency Housing Rent Control Law;

*the Emergency Tenant Protection Act;

*sections 52-eee and 352-eeee of the General Business Law establishing
cooperative and condominium conversion laws in New York City, Nassau,
Westchester, and Rockland counties; and

*the ability of the Division of Housing and Community Renewal to issue
increased penalties for violations of rent regulation law_ These
various statutes would be extended until and including June 15, 2017,
provided that there continues to be a housing emergency.

Part E:

*amend Paragraph (c) of subdivision 4 of section 14 of the public
housing law to include uncles, aunts, nephews and nieces to the
definition of "family member" for the purposes of tenant succession of
rent protected housing.

*amend Subdivision m of section 26-403 of the administrative code of
the city of New York by redefining the term "tenant." It will also add
a new section 26-504-4 to the administrative code of the city of New
York. This bill will also amend Section 4 of chapter 576 of the laws
of 1974, constituting the emergency tenant protection act of 1974, by
adding a new section 15.

Part F:

*set forth legislative findings and declaration of emergency.

*repeal paragraph (n) of subdivision 2 of section 2 of chapter 274 of
the laws of 1946, constituting the emergency rent control law,

*repeal paragraph 13 of subdivision a of section 5 of section 4 of
chapter 576 of the laws of 1974, constituting the emergency tenant
protection act of 1974

*repeal subparagraph (k) of paragraph 2 of subdivision e of section
25-403 of the administrative code of the city of New York.

*repeal section 26-504.2 of the administrative code of the city of New
York.

*subject accommodations to regulation under such laws which were
deregulated upon vacancy on or after January 1, 2007 or which were
deregulated upon vacancy prior to January 1, 2007 and which rented for
less than $5,000 per month in New York City or less than $3,500 per
month in the counties of Westchester, Nassau, and Rockland on or after
January 1, 2007 *repeal vacancy decontrol provisions of the New York
City Administrative Code and the Emergency Tenant Protection Act that
relate to preferential rents, respectively.

Part G:

*amend § 4(10) (a-2) of the Emergency Tenant Protection Act and S
26511(c) (14) of the Administrative Code of New York, to only allow
the landlord to readjust the rent of preferential rent regulated
apartments upon vacancy;

*add a provision that only allows the landlord to raise the unit's
rent if the vacancy of the apartment was not caused by the landlord's
failure to maintain the unit in a habitable condition;

*amend § 26-511(c) (14) of the administrative code of New York, to
repeal the provision that would automatically deregulate a unit, upon
vacancy, if the monthly rent for the unit is above $2,000; and

*amend § 4(10)(a-2) of the emergency tenant protection act, to repeal
the provision that would automatically deregulate a unit upon vacancy
if the monthly rent for the unit is above $2,000.

Part H:

*require that a major capital improvement rent increase cease once the
cost of such improvement has been paid for;

*provide that such increase be a temporary surcharge, lasting no more
than seven years, which is separately designated and billed from the
rent;

*provide a method for determining the surcharge allocable to each
apartment based upon the number of rooms in the apartment; and *
mandate that such surcharge be limited to six percent of the monthly
rent collected, and that any additional monies necessary to cover the
cost of MCI's be collected in, future years as a further surcharge not
to exceed an additional six percent in any one year period.

*Establish criteria for approval of rent increases to rent regulated
property resulting from major capital improvements. The criteria will
be used to ensure that the work performed is an enhancement or upgrade
to a housing accommodation or service, and is not merely a repair or
replacement of existing services. It also prohibits approval of major
capital improvement rent increases when any outstanding hazardous
violations exist.

*Amend subdivision d of section 6 of section 4 of chapter 576 of the
laws of 1974 by adding a new paragraph 6 to exclude NYSERDA funded
projects from receiving adjustments for major capital improvements.

*Amend paragraph 1 of subdivision g of section 26-405 of the
administrative code of the city of New York by adding a new
subparagraph m to exclude NYSERDA funded projects.

Part I:

*amend subdivision a of paragraph 5 of section 26-405 of the
administrative code of the city of New York

*repeal subparagraphs (1) and (n) of paragraph 1 of subdivision g of
section 26-405 of the administrative cede of the city of New York

*amend section 4 of chapter 274 of the laws of 1946 by adding a new
subdivision 9.

Part J:

*amend section (1) of the administrative code of the city of New York
by adding a new section (26-416) that prohibits the imposition of any
surcharge for the installation or use of a tenant-installed appliance
where the tenant pays for electric utility service.
 JUSTIFICATION :

New York's rent-regulation laws provide protection to approximately
2.5 million tenants throughout the state, The basis for both rent
control and rent stabilization is a housing emergency, defined as a
vacancy rate below five percent. Recent analysis of vacancy rates in
New York City has shown that the number of available apartments has
decreased to below three percent, which is well below the five percent
threshold necessary to declare a housing emergency.  For the
rent-regulation laws to work, major loopholes must be closed For
example, an Individual Apartment Improvement Increase allows a
landlord to raise the rent on rent stabilized apartments by passing
the cost of physical improvements to the next tenant by raising the
monthly rent an amount equal to 1/90th of the total cost of the
improvements.

A 1/90th increase can be taken in addition to any other rent increase
to which the landlord is statutorily entitled. There is no oversight
of any kind of the 1/90th loophole. Landlords are allowed to
unilaterally impose 1/40th rent increases without prior approval, or
even documentation. The current oversight mechanism is an inadequate
tenant-initiated complaint filed with the Division of Housing and
Community Renewal as a Complaint of Rent Overcharge. Because the
improvement occurs in a vacant apartment, the new tenant has no way of
knowing what the rent should be, and if the work done justifies the
increase. This legislation would give ONCE the authority to approve or
disapprove such increases in whole or in part based upon the proof of
expenses submitted by the landlord and would reduce the increase to
1/60th the amount of the individual apartment improvement.

With the shortage of housing in New York City and its surrounding
areas, vacancy decontrol laws only continue the erosion of the
existing rent regulation programs Vacancy decontrol is an incentive
for owners of rental housing to withhold services and to use forms of
harassment to induce regulated tenants to vacate their rental units.
In some instances, costs of renovation have been inflated or even
falsified in order to drive apartment rents to the $2,000 threshold
for vacancy decontrol, The need to repeal these provisions in statute
are of the greatest urgency, thus preserving affordable housing in New
York City, and protecting low and middle income families.

Also, building owners are currently allowed to increase rent levels
based on major capitol improvements to their buildings on a schedule
to recover all costs within a seven year period. However, tenants have
been forced to continue to pay for such improvements far past the
window in which costs have been recovered. This bill seeks to balance
the conflicting concerns of maintaining affordable housing and
insuring adequate incentives for investment in MCI's in order to
preserve and improve our housing stock.

In addition to the above mentioned reasons, this bill would make many
other significant changes to the rent regulation laws to address the
erosion of the existing rent regulation laws. These loopholes allow
drastic increases in rent and can even be used to force tenants from
their homes. The loss of affordable housing units can undermine and
uproot local communities by forcing working families from their homes
in the neighborhoods they helped create many years ago. This bill is
an important stew to ensure that the residents of New York will still
have access to affordable housing.

 PRIOR LEGISLATIVE HISTORY :

S2783A ESPAILLAT of 2011/12
S2105 ESPAILLAT of 2013/14
2015/16: Referred to housing, construction and community development

 FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS :

None to the State

 EFFECTIVE DATE :
Part A: This act shall take effect immediately and shall apply to any
tenant in possession at or after the time it takes effect, regardless
of whether the landlord's application for an order, refusal to renew a
lease or refusal to extend or renew a tenancy took place before this
act shall have taken effect, provided that amendments made to the
administrative code of the city of New York, the emergency tenant
protection act, and the emergency housing rent control law shall
expire-on the same date as such law expires and shall not affect the
expiration-date of such law.  Part B: This act shall take effect
immediately, provided that amendments made to the administrative code
of the city of New York and the emergency tenant protection act shall
expire on the same date as such law expires and shall not affect the
expiration date of such law Part C: This act shall take effect
immediately and shall apply to all buildings that are covered by a
project based assistance contract pursuant to section eight of the
United States housing act of 1937, which contract ceased to be
effective on or after such date; provided that amendments made to the
administrative code of the city of New York and the emergency tenant
protection act shall expire on the same date as such law expires and
shall not affect the expiration date of such law. Part D: This act
shall take effect immediately; provided, however, that the amendments
to chapter 21 of the laws of 1962 made by section one of this act
shall remain in full force and effect only so 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; provided further,
however, that the amendment to the second undesignated paragraph of
subdivision 5 of section 1 of chapter 21 of the. laws of 1962 made by
section one of this act shall not affect the expiration of such
paragraph and shall be deemed to expire therewith Part E: This act
shall take effect immediately.  Part F: This act shall take effect on
the ninetieth day after it shall have become a law, provided that
amendments made to the administrative code of the city of New York,
the emergency tenant protection act, and the emergency housing rent
control law shall expire on the same date as such law expires and
shall not affect the expiration date of such law Effective
immediately, the Division of Housing and Community Renewal is
authorized to and shall promulgate all rules, regulations and
standards necessary to implement the provisions of this act.  Part G:
This act shall take effect immediately.  Part H and Part I, This act
shall take effect immediately, provided that amendments made to the
administrative code of the city of New York and the emergency tenant
protection act shall expire on the same date as such law expires and
shall not affect the expiration date of such law. Part J: This act
shall take effect immediately, provided that the amendments made to
section 26-405 of the city rent and rehabilitation law made by
Sections one and two of this act shall remain in full force and effect
Only so 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; and provided further that amendments made to the administrative
code of the city of New York, the emergency tenant protection act, and
the emergency housing rent control law shall expire on the same date
as such law expires and shall not affect the expiration date of such
law. Part K: This act shall take effect immediately and shall apply to
housing companies that dissolve before, on or after such date,
provided, however, that the amendments made to the emergency tenant
protection act shall not affect the expiration of such act.

2017-S808 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    808
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                              January 5, 2017
                                ___________
 
 Introduced by Sen. ALCANTARA -- 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 administrative code of the city  of  New  York,  the
   emergency tenant protection act of nineteen seventy-four and the emer-
   gency  housing  rent  control  law, in relation to recovery of certain
   housing accommodations by a landlord (Part A); to amend  the  adminis-
   trative  code  of  the  city  of  New  York  and  the emergency tenant
   protection act of nineteen seventy-four, in relation to limiting  rent
   increase  after  vacancy  of a housing accommodation; and to amend the
   administrative code of the city of  New  York,  the  emergency  tenant
   protection act of nineteen seventy-four and the emergency housing rent
   control law, in relation to adjustment of maximum allowable rent (Part
   B);  to amend the emergency tenant protection act of nineteen seventy-
   four, in relation to limited-profit housing companies and other build-
   ings or structures  which  received  project-based  rental  assistance
   (Part  C);  to  amend the public housing law, in relation to the defi-
   nition of "family member"; to amend the  administrative  code  of  the
   city  of  New York and the emergency tenant protection act of nineteen
   seventy-four, in relation to the definition of a tenant (Part  D);  to
   amend the administrative code of the city of New York and the emergen-
   cy  tenant  protection  act  of  nineteen seventy-four, in relation to
   making conforming technical changes; and to  repeal  paragraph  13  of
   subdivision  a  of section 5 of the emergency tenant protection act of
   nineteen seventy-four, paragraph (n) of subdivision 2 of section 2  of
   the  emergency  housing  rent  control  law,  and section 26-504.2 and
   subparagraph (k) of paragraph 2 of subdivision e of section 26-403  of
   the  administrative  code of the city of New York, relating to vacancy
   decontrol (Part E); to amend the administrative code of  the  city  of
   New York, the emergency tenant protection act of nineteen seventy-four
   and  the  emergency housing rent control law, in relation to extending
   the length of time over which major capital improvement  expenses  may
   be  recovered and in relation to approval of major capital improvement
   rent increases (Part F); to amend the administrative code of the  city
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD00022-01-7

 S. 808                              2
 
   of New York and the emergency housing rent control law, in relation to
   the   establishment   of   rent  adjustments;  and  repealing  certain
   provisions of the administrative code of the city of New York relating
   thereto  (Part G); and to amend the administrative code of the city of
   New York, in relation to surcharges for the  installation  or  use  of
   certain  appliances  in housing accommodations subject to rent control
   (Part H)
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  This  act enacts into law major components of legislation
 related to rent regulations in the state of New York. Each component  is
 wholly  contained  within  a  Part  identified as Parts A through H. The
 effective date for each particular provision contained within such  Part
 is  set  forth  in  the  last section of such Part. Any provision in any
 section contained within a Part, including the  effective  date  of  the
 Part,  which  makes  reference  to a section "of this act", when used in
 connection with that particular component, shall be deemed to  mean  and
 refer  to  the  corresponding  section of the Part in which it is found.
 Section four of this act sets forth the general effective date  of  this
 act.
   §  2.  This  act  shall  be  known  and  may  be  cited as the "tenant
 protection act of 2017".
 
                                  PART A
 
   Section 1. Paragraph 1 of subdivision  b  of  section  26-408  of  the
 administrative  code  of  the  city  of  New  York is amended to read as
 follows:
   (1) The landlord seeks in good faith to recover possession of a  hous-
 ing  accommodation because of immediate and compelling necessity for his
 or her own personal use and occupancy AS HIS OR HER PRIMARY RESIDENCE or
 for the use and occupancy of his or her immediate family AS THEIR PRIMA-
 RY RESIDENCE provided,  however,  that  this  subdivision  shall  PERMIT
 RECOVERY  OF  ONLY ONE HOUSING ACCOMMODATION AND SHALL not apply where a
 member of the household lawfully occupying the housing accommodation  is
 sixty-two years of age or older, has been a tenant in a housing accommo-
 dation  in  that building for twenty years or more, or has an impairment
 which results from anatomical,  physiological  or  psychological  condi-
 tions,  other  than  addiction  to  alcohol, gambling, or any controlled
 substance, which are demonstrable by medically acceptable  clinical  and
 laboratory diagnostic techniques, and which are expected to be permanent
 and  which  prevent  the tenant from engaging in any substantial gainful
 employment; or
   § 2. Subparagraph (b) of paragraph  9  of  subdivision  c  of  section
 26-511  of the administrative code of the city of New York is amended to
 read as follows:
   (b) where he or she seeks to  recover  possession  of  one  [or  more]
 dwelling  [units] UNIT BECAUSE OF IMMEDIATE AND COMPELLING NECESSITY for
 his or her own personal use and occupancy as his or  her  primary  resi-
 dence [in the city of New York and/or] OR for the use and occupancy of a
 member  of  his  or her immediate family as his or her primary residence
 [in the city of New York],  provided  however,  that  this  subparagraph
 shall  PERMIT  RECOVERY  OF  ONLY  ONE DWELLING UNIT AND SHALL not apply

 S. 808                              3
 
 where a tenant or the spouse of a tenant lawfully occupying the dwelling
 unit is sixty-two years of age or older, HAS BEEN A TENANT IN A DWELLING
 UNIT IN THAT BUILDING FOR TWENTY YEARS OR MORE,  or  has  an  impairment
 which  results  from  anatomical,  physiological or psychological condi-
 tions, other than addiction to  alcohol,  gambling,  or  any  controlled
 substance,  which  are demonstrable by medically acceptable clinical and
 laboratory diagnostic techniques, and which are expected to be permanent
 and which prevent the tenant from engaging in  any  substantial  gainful
 employment,  unless  such  owner  offers  to  provide  and if requested,
 provides an equivalent or superior housing accommodation at the same  or
 lower  stabilized  rent  in  a closely proximate area. The provisions of
 this subparagraph shall only permit one of the individual owners of  any
 building  to  recover  possession of one [or more] dwelling [units] UNIT
 for his or her own personal use and/or for that of his or her  immediate
 family.  [Any]  A  dwelling  unit recovered by an owner pursuant to this
 subparagraph shall not for a period of three years  be  rented,  leased,
 subleased  or assigned to any person other than a person for whose bene-
 fit recovery of the dwelling unit is permitted pursuant to this subpara-
 graph or to the tenant in occupancy at the time of  recovery  under  the
 same  terms as the original lease. This subparagraph shall not be deemed
 to establish or eliminate any claim that the former tenant of the dwell-
 ing unit may otherwise have against the owner. Any such  rental,  lease,
 sublease  or  assignment  during  such period to any other person may be
 subject to a penalty of a forfeiture of the right to  any  increases  in
 residential rents in such building for a period of three years; or
   §  3.  Subdivision  a of section 10 of section 4 of chapter 576 of the
 laws of 1974, constituting the emergency tenant protection act of  nine-
 teen  seventy-four,  as  amended  by chapter 234 of the laws of 1984, is
 amended to read as follows:
   a. For cities having a population of less than one million  and  towns
 and  villages, the state division of housing and community renewal shall
 be empowered to implement this  act  by  appropriate  regulations.  Such
 regulations  may encompass such speculative or manipulative practices or
 renting or leasing practices as the state division of housing and commu-
 nity renewal determines constitute or are likely to cause  circumvention
 of  this act. Such regulations shall prohibit practices which are likely
 to prevent any person from asserting any right or remedy granted by this
 act, including but not limited to retaliatory  termination  of  periodic
 tenancies and shall require owners to grant a new one or two year vacan-
 cy or renewal lease at the option of the tenant, except where a mortgage
 or  mortgage  commitment existing as of the local effective date of this
 act provides that the owner shall not grant a one-year lease; and  shall
 prescribe  standards with respect to the terms and conditions of new and
 renewal leases, additional rent and such  related  matters  as  security
 deposits, advance rental payments, the use of escalator clauses in leas-
 es and provision for increase in rentals for garages and other ancillary
 facilities,  so  as to insure that the level of rent adjustments author-
 ized under this law will not be  subverted  and  made  ineffective.  Any
 provision  of  the  regulations permitting an owner to refuse to renew a
 lease on grounds that the owner seeks to recover possession of  [the]  A
 housing  accommodation  for  his OR HER own use and occupancy or for the
 use and occupancy of his OR HER immediate family shall  PERMIT  RECOVERY
 OF  ONLY  ONE  HOUSING ACCOMMODATION, SHALL require that an owner demon-
 strate immediate and compelling need AND THAT THE HOUSING  ACCOMMODATION
 WILL  BE  THE  PROPOSED OCCUPANTS' PRIMARY RESIDENCE and shall not apply
 where a member of the housing accommodation is sixty-two years of age or

 S. 808                              4

 older, has been a tenant in a housing accommodation in that building for
 twenty years or more, or has an impairment which  results  from  anatom-
 ical, physiological or psychological conditions, other than addiction to
 alcohol,  gambling,  or any controlled substance, which are demonstrable
 by medically acceptable clinical and laboratory  diagnostic  techniques,
 and which are expected to be permanent and which prevent the tenant from
 engaging in any substantial gainful employment.
   § 4. Paragraph (a) of subdivision 2 of section 5 of chapter 274 of the
 laws  of  1946,  constituting the emergency housing rent control law, as
 amended by chapter 234 of the laws  of  1984,  is  amended  to  read  as
 follows:
   (a)  the landlord seeks in good faith to recover possession of A hous-
 ing [accommodations] ACCOMMODATION because of immediate  and  compelling
 necessity  for  his  OR HER own personal use and occupancy AS HIS OR HER
 PRIMARY RESIDENCE or for the use and occupancy of his OR  HER  immediate
 family  AS  THEIR PRIMARY RESIDENCE; provided, however, this subdivision
 shall PERMIT RECOVERY OF ONLY ONE HOUSING ACCOMMODATION  AND  SHALL  not
 apply  where  a  member  of the household lawfully occupying the housing
 accommodation is sixty-two years of age or older, has been a tenant in a
 housing accommodation in that building for twenty years or more, or  has
 an impairment which results from anatomical, physiological or psycholog-
 ical  conditions,  other  than  addiction  to  alcohol, gambling, or any
 controlled substance, which are  demonstrable  by  medically  acceptable
 clinical and laboratory diagnostic techniques, and which are expected to
 be  permanent and which prevent the tenant from engaging in any substan-
 tial gainful employment; or
   § 5. This act shall take effect immediately and  shall  apply  to  any
 tenant in possession at or after the time it takes effect, regardless of
 whether  the  landlord's  application  for  an order, refusal to renew a
 lease or refusal to extend or renew a tenancy took place before this act
 shall have taken effect, provided that:
   a. the amendments to section 26-408 of the  city  rent  and  rehabili-
 tation  law  made  by section one 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;
   b.  the amendments to section 26-511 of the rent stabilization  law of
 nineteen hundred sixty-nine made by section two of this act shall expire
 on the same date as such law expires and shall not affect the expiration
 of such law as provided under section 26-520 of such law;
   c. the amendments to subdivision a of  section  10  of  the  emergency
 tenant  protection act of nineteen seventy-four made by section three 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
   d.  the  amendments  to paragraph (a) of subdivision 2 of section 5 of
 the emergency housing rent control law made by section four of this  act
 shall  expire  on the same date as such law expires and shall not affect
 the expiration of such law as provided in subdivision 2 of section 1  of
 chapter 274 of the laws of 1946.
 
                                  PART B
 
   Section  1.  Paragraph  5-a  of subdivision c of section 26-511 of the
 administrative code of the city of New York, as amended by section  16-a

 S. 808                              5
 
 of  part  A  of  chapter  20  of the laws of 2015, is amended to read as
 follows:
   (5-a)  provides  that,  notwithstanding any provision of this chapter,
 the legal regulated rent for any vacancy lease entered  into  after  the
 effective  date  of  this  paragraph shall be as hereinafter provided in
 this paragraph. [The previous legal  regulated  rent  for  such  housing
 accommodation  shall  be  increased by the following: (i) if the vacancy
 lease is for a term of two years, twenty percent of the  previous  legal
 regulated  rent;  or (ii) if the vacancy lease is for a term of one year
 the increase shall be twenty percent of  the  previous  legal  regulated
 rent  less  an  amount  equal to the difference between (a) the two year
 renewal lease guideline promulgated by the guidelines board of the  city
 of New York applied to the previous legal regulated rent and (b) the one
 year  renewal lease guideline promulgated by the guidelines board of the
 city of New York applied to the previous legal regulated rent.  However,
 where] WHERE the amount charged and paid by the prior tenant pursuant to
 paragraph  fourteen  of  this subdivision, was less than the legal regu-
 lated rent, such increase to the legal regulated rent shall not  exceed:
 five  percent  of  the previous legal regulated rent if the last vacancy
 lease commenced less than two years ago; ten  percent  of  the  previous
 legal regulated rent if the last vacancy lease commenced less than three
 years  ago;  fifteen percent of the previous legal regulated rent if the
 last vacancy lease commenced less than four years ago; twenty percent of
 the previous legal regulated rent if the last  vacancy  lease  commenced
 four or more years ago. In addition, if the legal regulated rent was not
 increased  with  respect  to  such  housing accommodation by a permanent
 vacancy allowance within eight years prior to a vacancy  lease  executed
 on  or  after  the effective date of this paragraph, the legal regulated
 rent may be [further] increased  by  an  amount  equal  to  the  product
 resulting  from  multiplying  such previous legal regulated rent by six-
 tenths of one  percent  and  further  multiplying  the  amount  of  rent
 increase  resulting  therefrom by the greater of (A) the number of years
 since the imposition of the last permanent vacancy allowance, or (B)  if
 the  rent  was  not increased by a permanent vacancy allowance since the
 housing accommodation became subject to  this  chapter,  the  number  of
 years  that such housing accommodation has been subject to this chapter.
 Provided that if the previous legal regulated rent was less  than  three
 hundred dollars the total increase shall be as calculated above plus one
 hundred dollars per month. Provided, further, that if the previous legal
 regulated  rent was at least three hundred dollars and no more than five
 hundred dollars in no event shall the total increase  pursuant  to  this
 paragraph  be  less  than  one  hundred dollars per month. Such increase
 shall be [in lieu of any allowance authorized for the one  or  two  year
 renewal  component  thereof,  but  shall  be]  in  addition to any other
 increases authorized pursuant to this chapter  including  an  adjustment
 based upon a major capital improvement, or a substantial modification or
 increase of dwelling space or services, or installation of new equipment
 or  improvements  or  new furniture or furnishings provided in or to the
 housing accommodation pursuant to this section. The increase  authorized
 in  this  paragraph  may  not  be  implemented more than one time in any
 calendar year, notwithstanding the number of vacancy leases entered into
 in such year, AND MAY NOT BE IMPLEMENTED WITHOUT THE LANDLORD  PROVIDING
 TO  THE  NEW  TENANT  AN  ITEMIZED  COST  ACCOUNTING OF ALL IMPROVEMENTS
 CLAIMED AS PART  OF  SUCH  INCREASE  AND  COPIES  OF  THE  CORRESPONDING
 RECEIPTS WITH THE LEASE AGREEMENT.

 S. 808                              6
 
   §  2.  Subdivision  (a-1) of section 10 of section 4 of chapter 576 of
 the laws of 1974, constituting the emergency tenant  protection  act  of
 nineteen  seventy-four,  as amended by section 16-b of part A of chapter
 20 of the laws of 2015, is amended to read as follows:
   (a-1)  provides  that,  notwithstanding any provision of this act, the
 legal regulated rent for any vacancy lease entered into after the effec-
 tive date of this subdivision shall be as hereinafter set forth.    [The
 previous  legal  regulated  rent for such housing accommodation shall be
 increased by the following: (i) if the vacancy lease is for  a  term  of
 two  years, twenty percent of the previous legal regulated rent; or (ii)
 if the vacancy lease is for a term of one year  the  increase  shall  be
 twenty percent of the previous legal regulated rent less an amount equal
 to  the  difference  between  (a)  the  two year renewal lease guideline
 promulgated by the guidelines board of the county in which  the  housing
 accommodation  is  located  applied to the previous legal regulated rent
 and (b) the one year renewal lease guideline promulgated by  the  guide-
 lines  board of the county in which the housing accommodation is located
 applied to the previous legal regulated rent. However, where] WHERE  the
 amount  charged and paid by the prior tenant pursuant to paragraph four-
 teen of this subdivision, was less than the legal regulated  rent,  such
 increase  to  the legal regulated rent shall not exceed: five percent of
 the previous legal regulated rent if the last  vacancy  lease  commenced
 less  than  two  years  ago; ten percent of the previous legal regulated
 rent if the last vacancy commenced less than three  years  ago;  fifteen
 percent  of  the previous legal regulated rent if the last vacancy lease
 commenced less than four years ago; twenty percent of the previous legal
 regulated rent if the last vacancy lease commenced four  or  more  years
 ago.  In  addition,  if  the legal regulated rent was not increased with
 respect to such housing accommodation by a permanent  vacancy  allowance
 within  eight  years  prior  to a vacancy lease executed on or after the
 effective date of this subdivision, the  legal  regulated  rent  may  be
 [further]  increased  by  an  amount equal to the product resulting from
 multiplying such previous legal regulated  rent  by  six-tenths  of  one
 percent  and  further  multiplying the amount of rent increase resulting
 therefrom by the greater of (A) the number of years since the imposition
 of the last permanent vacancy allowance, or (B)  if  the  rent  was  not
 increased  by  a  permanent vacancy allowance since the housing accommo-
 dation became subject to this act, the number of years that such housing
 accommodation has been subject to this act. Provided that if the  previ-
 ous  legal  regulated rent was less than three hundred dollars the total
 increase shall be as calculated  above  plus  one  hundred  dollars  per
 month.  Provided, further, that if the previous legal regulated rent was
 at least three hundred dollars and no more than five hundred dollars  in
 no  event  shall the total increase pursuant to this subdivision be less
 than one hundred dollars per month. Such increase shall be [in  lieu  of
 any allowance authorized for the one or two year renewal component ther-
 eof,  but shall be] in addition to any other increases authorized pursu-
 ant to this act including an  adjustment  based  upon  a  major  capital
 improvement, or a substantial modification or increase of dwelling space
 or  services,  or  installation  of new equipment or improvements or new
 furniture or furnishings provided in or  to  the  housing  accommodation
 pursuant  to  section  six  of this act. The increase authorized in this
 subdivision may not be implemented more than one time  in  any  calendar
 year,  notwithstanding the number of vacancy leases entered into in such
 year, AND MAY NOT BE IMPLEMENTED WITHOUT THE LANDLORD PROVIDING  TO  THE
 NEW  TENANT  AN  ITEMIZED COST ACCOUNTING OF ALL IMPROVEMENTS CLAIMED AS

 S. 808                              7
 
 PART OF SUCH INCREASE AND COPIES OF THE CORRESPONDING RECEIPTS WITH  THE
 LEASE AGREEMENT.
   §  3.  Subparagraph  (e)  of  paragraph  1 of subdivision g of section
 26-405 of the administrative code of the city of New York, as amended by
 section 15 of part B of chapter 97 of the laws of 2011,  is  amended  to
 read as follows:
   (e)  The  landlord  and  tenant  by mutual voluntary written agreement
 agree to a substantial increase or  decrease  in  dwelling  space  or  a
 change  in the services, furniture, furnishings or equipment provided in
 the housing accommodations. An adjustment under this subparagraph  shall
 be  TEMPORARY  UNTIL SUCH INCREASE OR MODIFICATION IS PAID FOR AND SHALL
 BE equal to one-fortieth, in the case of a building with thirty-five  or
 fewer  housing  accommodations,  or [one-sixtieth] ONE-EIGHTY-FOURTH, in
 the case of a building with more than thirty-five housing accommodations
 where such adjustment takes effect on or after September  twenty-fourth,
 two  thousand  eleven,  of  the  total  cost incurred by the landlord in
 providing such modification or increase  in  dwelling  space,  services,
 furniture, furnishings or equipment, including the cost of installation,
 but excluding finance charges AND COSMETIC IMPROVEMENTS, WITH AN ADJUST-
 MENT,  IN  BOTH  CASES, BEING NO MORE THAN TWENTY PERCENT OF THE CURRENT
 RENT, provided further that an owner who is entitled to a rent  increase
 pursuant  to  this  subparagraph shall not be entitled to a further rent
 increase based upon the installation of similar equipment, or new furni-
 ture or furnishings within the useful life of such new equipment, or new
 furniture or furnishings. The owner shall give  written  notice  to  the
 city  rent  agency of any such adjustment pursuant to this subparagraph;
 or
   § 4. Paragraph 13 of subdivision c of section 26-511 of  the  adminis-
 trative code of the city of New York, as amended by section 16 of part B
 of chapter 97 of the laws of 2011, is amended to read as follows:
   (13)  provides  that an owner is entitled to a TEMPORARY rent increase
 where there has been a substantial modification or increase of  dwelling
 space  or  an increase in the services, or installation of new equipment
 or improvements or new furniture or furnishings  provided  in  or  to  a
 tenant's  housing  accommodation UNTIL SUCH MODIFICATION OR INCREASE HAS
 BEEN PAID FOR, on written tenant consent to the rent  increase.  In  the
 case  of  a  vacant  housing  accommodation, tenant consent shall not be
 required. The [permanent] TEMPORARY increase in the legal regulated rent
 for the affected housing accommodation shall  be  one-fortieth,  in  the
 case  of a building with thirty-five or fewer housing accommodations, or
 [one-sixtieth] ONE-EIGHTY-FOURTH, in the case of a  building  with  more
 than thirty-five housing accommodations where such [permanent] TEMPORARY
 increase  takes effect on or after September twenty-fourth, two thousand
 eleven, of the total cost incurred by the  landlord  in  providing  such
 modification   or  increase  in  dwelling  space,  services,  furniture,
 furnishings or  equipment,  including  the  cost  of  installation,  but
 excluding  finance charges AND COSMETIC IMPROVEMENTS, PROVIDED, HOWEVER,
 THAT IN BOTH CASES, THE  TEMPORARY  INCREASE  IS  NO  MORE  THAN  TWENTY
 PERCENT  OF  THE  CURRENT LEGAL REGULATED RENT. Provided further that an
 owner who is entitled to a rent  increase  pursuant  to  this  paragraph
 shall  not be entitled to a further rent increase based upon the instal-
 lation of similar equipment, or new furniture or furnishings within  the
 useful life of such new equipment, or new furniture or furnishings.
   § 5. Paragraph 1 of subdivision d of section 6 of section 4 of chapter
 576  of  the  laws of 1974, constituting the emergency tenant protection

 S. 808                              8
 
 act of nineteen seventy-four, as amended by section  18  of  part  B  of
 chapter 97 of the laws of 2011, is amended to read as follows:
   (1)  there has been a substantial modification or increase of dwelling
 space or an increase in the services, or installation of  new  equipment
 or  improvements  or  new  furniture or furnishings, provided in or to a
 tenant's housing accommodation, on written tenant consent  to  the  rent
 increase.  In the case of a vacant housing accommodation, tenant consent
 shall not be required. The [permanent] increase in the  legal  regulated
 rent  for  the  affected  housing accommodation shall be TEMPORARY UNTIL
 SUCH MODIFICATION OR INCREASE IS PAID FOR AND SHALL BE one-fortieth,  in
 the case of a building with thirty-five or fewer housing accommodations,
 or [one-sixtieth] ONE-EIGHTY-FOURTH, in the case of a building with more
 than  thirty-five housing accommodations where such [permanent] increase
 takes effect on or after September twenty-fourth, two  thousand  eleven,
 of  the  total cost incurred by the landlord in providing such modifica-
 tion or increase in dwelling space, services, furniture, furnishings  or
 equipment,  including  the  cost  of installation, but excluding finance
 charges AND COSMETIC  IMPROVEMENTS,  PROVIDED,  HOWEVER,  THAT  IN  BOTH
 CASES,  THE  TEMPORARY  INCREASE  IS  NO MORE THAN TWENTY PERCENT OF THE
 CURRENT LEGAL REGULATED RENT. Provided further  that  an  owner  who  is
 entitled  to  a  rent  increase  pursuant to this paragraph shall not be
 entitled to a further rent increase based upon the installation of simi-
 lar equipment, or new furniture or furnishings within the useful life of
 such new equipment, or new furniture or furnishings.
   § 6. Clause 5 of the second undesignated paragraph of paragraph (a) of
 subdivision 4 of section 4 of chapter 274 of the laws of  1946,  consti-
 tuting  the emergency housing rent control law, as amended by section 25
 of part B of chapter 97 of the laws of  2011,  is  amended  to  read  as
 follows:
   (5)  the  landlord  and  tenant  by mutual voluntary written agreement
 agree to a substantial increase or  decrease  in  dwelling  space  or  a
 change  in the services, furniture, furnishings or equipment provided in
 the housing accommodations; provided that an owner shall be entitled  to
 a  TEMPORARY  rent increase UNTIL SUCH MODIFICATION OR INCREASE HAS BEEN
 PAID FOR where there has been a substantial modification or increase  of
 dwelling  space  or  an increase in the services, or installation of new
 equipment or improvements or new furniture or furnishings provided in or
 to a tenant's housing accommodation. The [permanent] TEMPORARY  increase
 in  the  maximum  rent  for  the affected housing accommodation shall be
 one-fortieth, in the case of a building with thirty-five or fewer  hous-
 ing  accommodations, or [one-sixtieth] ONE-EIGHTY-FOURTH, in the case of
 a building with more than thirty-five housing accommodations where  such
 [permanent]  TEMPORARY increase takes effect on or after September twen-
 ty-fourth, two thousand eleven, of the total cost incurred by the  land-
 lord  in  providing  such  modification  or  increase in dwelling space,
 services, furniture, furnishings or equipment,  including  the  cost  of
 installation,  but  excluding finance charges AND COSMETIC IMPROVEMENTS,
 PROVIDED, HOWEVER, THAT IN BOTH CASES, THE TEMPORARY INCREASE IS NO MORE
 THAN TWENTY PERCENT OF THE CURRENT RENT, AND provided  further  that  an
 owner  who  is entitled to a rent increase pursuant to this clause shall
 not be entitled to a further rent increase based upon  the  installation
 of  similar equipment, or new furniture or furnishings within the useful
 life of such new equipment, or new furniture or furnishings.  The  owner
 shall  give  written  notice  to  the  commission of any such adjustment
 pursuant to this clause; or
   § 7. This act shall take effect immediately; provided that:

 S. 808                              9
 
   a. the amendments to section 26-511 of chapter 4 of title  26  of  the
 administrative  code  of  the  city of New York made by sections one and
 four of this act shall expire on the same date as such law  expires  and
 shall  not  affect  the expiration of such law as provided under section
 26-520 of such law;
   b.  the  amendments  to  sections  10  and  6  of the emergency tenant
 protection act of nineteen seventy-four made by sections two and five 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;
   c.  the  amendments  to  section 26-405 of the city rent and rehabili-
 tation law made by section 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; and
   d. the amendments to section 4 of the emergency housing  rent  control
 law  made  by  section  six of this act shall expire on the same date as
 such law expires and shall not affect the  expiration  of  such  law  as
 provided  in  subdivision  2  of section 1 of chapter 274 of the laws of
 1946.
 
                                  PART C
 
   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,
 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.
   § 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:

 S. 808                             10
 
   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 ONE HUNDRED EIGHTY DAYS PRIOR TO THE EFFEC-
 TIVE DATE OF A CHAPTER OF THE LAWS OF TWO THOUSAND FIFTEEN  WHICH  ADDED
 THIS  SUBDIVISION  OR,  FOR ACCOMMODATIONS VACANT ON SUCH DATE, THE MOST
 RECENT RENT CHARGED TO AND PAID BY A TENANT PRIOR TO SUCH DATE,  INCLUD-
 ING  ANY INCOME-RELATED SURCHARGES, AS ADJUSTED BY ALL APPLICABLE GUIDE-
 LINES 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 ADMINISTRATIVE 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.
   § 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.
   § 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.
 
                                  PART D
 
   Section  1. Paragraph (c) of subdivision 4 of section 14 of the public
 housing law, as added by chapter 116 of the laws of 1997, is amended  to
 read as follows:
   (c)  that  for  the  purposes of such regulations: (i) "family member"
 shall be defined as a husband, wife, son, daughter, stepson, stepdaught-
 er, father, mother,  stepfather,  stepmother,  brother,  sister,  UNCLE,
 AUNT,  NEPHEW, NIECE, grandfather, grandmother, grandson, granddaughter,
 daughter-in-law,  son-in-law,  mother-in-law  or  father-in-law  of  the

 S. 808                             11
 
 tenant;  or  any  other  person  residing with the tenant in the housing
 accommodation as a primary residence who can prove emotional and  finan-
 cial commitment, and interdependence between such person and the tenant.
 Although  no single factor shall be solely determinative, evidence which
 is to be considered in determining whether such emotional and  financial
 commitment and interdependence existed, may include, without limitation,
 such  factors  as listed below.   In no event would evidence of a sexual
 relationship between such persons be required or considered.
   (A) longevity of the relationship;
   (B) sharing of or relying upon each other for payment of household  or
 family expenses, or other common necessities of life;
   (C)  intermingling  of  finances  as evidenced by, among other things,
 joint ownership of bank accounts, personal  and  real  property,  credit
 cards,  loan  obligations,  sharing  a  household budget for purposes of
 receiving government benefits, or such other factors as  may  be  deter-
 mined by regulation;
   (D)  engaging  in  family-type  activities by jointly attending family
 functions, holidays and celebrations,  social  and  recreational  activ-
 ities, or such other factors as may be determined by regulation;
   (E) formalizing of legal obligations, intentions, and responsibilities
 to  each  other  by  such  means as executing wills naming each other as
 executor or beneficiary, conferring upon each other a power of  attorney
 or  authority to make health care decisions each for the other, entering
 into a personal relationship contract,  making  a  domestic  partnership
 declaration, or serving as a representative payee for purposes of public
 benefits, or such other factors as may be determined by regulation;
   (F)  holding themselves out as family members to other family members,
 friends, members of the community or religious institutions, or  society
 in general, through their words or actions;
   (G)  regularly  performing  family  functions, such as caring for each
 other or each other's extended family  members,  or  relying  upon  each
 other for daily family services;
   (H)  engaging  in  any  other pattern of behavior, agreement, or other
 action which evidences the intention of creating a long-term, emotional-
 ly-committed relationship.
   (ii) a "senior citizen" is defined as a person who is sixty-two  years
 of age or older;
   (iii) a "disabled person" is defined as a person who has an impairment
 which  results  from  anatomical,  physiological or psychological condi-
 tions, other than addiction to  alcohol,  gambling,  or  any  controlled
 substance,  which  are demonstrable by medically acceptable clinical and
 laboratory diagnostic techniques, and which are expected to be permanent
 and which substantially limit one or more of such  person's  major  life
 activities.
   § 2. Subdivision m of section 26-403 of the administrative code of the
 city of New York is amended to read as follows:
   m.  "Tenant."  A tenant, subtenant, lessee, sublessee, or other person
 entitled to the possession or to the use or  occupancy  of  any  housing
 accommodation.  THE  TERM  TENANT  SHALL  BE  DEEMED  TO INCLUDE A CHILD
 (REGARDLESS OF AGE) WHO HAS RESIDED WITH HIS OR HER PARENT FOR TWO YEARS
 OR MORE IN A HOUSING ACCOMMODATION SUBJECT TO  THE  PROVISIONS  OF  THIS
 CHAPTER AND OF WHICH SUCH PARENT IS A TENANT.
   §  3.  The  administrative  code of the city of New York is amended by
 adding a new section 26-504.4 to read as follows:
   § 26-504.4 TENANT; DEFINITION. FOR THE PURPOSES OF THIS  CHAPTER,  THE
 TERM  TENANT  SHALL BE DEEMED TO INCLUDE A CHILD (REGARDLESS OF AGE) WHO

 S. 808                             12
 
 HAS RESIDED WITH HIS OR HER PARENT FOR TWO YEARS OR MORE  IN  A  HOUSING
 ACCOMMODATION  SUBJECT  TO  THE  PROVISIONS OF THIS CHAPTER AND OF WHICH
 SUCH PARENT IS A TENANT.
   §  4.  Section  14  of  section  4 of chapter 576 of the laws of 1974,
 constituting the emergency tenant protection act  of  nineteen  seventy-
 four,  is renumbered section 15 and a new section 14 is added to read as
 follows:
   § 14.  TENANT; DEFINITION. FOR THE PURPOSES  OF  THIS  ACT,  THE  TERM
 TENANT  SHALL  BE  DEEMED TO INCLUDE A CHILD (REGARDLESS OF AGE) WHO HAS
 RESIDED WITH HIS OR HER PARENT FOR TWO YEARS OR MORE IN A HOUSING ACCOM-
 MODATION SUBJECT TO THE PROVISIONS OF THIS ACT AND OF WHICH SUCH  PARENT
 IS A TENANT.
   §  5. This act shall take effect immediately, provided that the amend-
 ment to section 26-403 of the city rent and rehabilitation law  made  by
 section  two  of  this act shall remain in full force and effect only so
 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  and
 provided  further that section 26-504.4 of the rent stabilization law of
 nineteen hundred sixty-nine, as added by  section  three  of  this  act,
 shall  expire  on the same date as such law expires and shall not affect
 the expiration of such law as provided under section 26-520 of such law,
 as amended, and provided further that section 14 of the emergency tenant
 protection act of nineteen seventy-four, as added  by  section  four  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, as amended.
 
                                  PART E

   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  the  continued  regulation  of  certain housing accommodations that
 become vacant and the reinstatement of  regulation  of  certain  housing
 accommodations that have been deregulated upon vacancy.
   The  legislature  further  recognizes  that  severe  disruption of the
 rental housing market has occurred and threatens to be exacerbated as  a
 result  of  the present state of the law in relation to the deregulation
 of housing accommodations upon  vacancy.  The  situation  has  permitted
 speculative and profiteering practices and has brought about the loss of
 vital and irreplaceable affordable housing for working persons and fami-
 lies.
   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 regulation, the
 provisions of this act are necessary to protect the public health, safe-
 ty  and  general  welfare.  The necessity in the public interest for the
 provisions hereinafter enacted is hereby declared as a matter of  legis-
 lative determination.
   § 2. Paragraph (n) of subdivision 2 of section 2 of chapter 274 of the
 laws  of  1946,  constituting the emergency housing rent control law, is
 REPEALED.

 S. 808                             13
 
   § 3. Paragraph 13 of subdivision a of section 5 of section 4 of  chap-
 ter  576  of  the  laws  of  1974,  constituting  the  emergency  tenant
 protection act of nineteen seventy-four, is REPEALED.
   §  4.  Subparagraph  (k)  of  paragraph  2 of subdivision e of section
 26-403 of the administrative code of the city of New York is REPEALED.
   § 5. Section 26-504.2 of the administrative code of the  city  of  New
 York is REPEALED.
   §  6.  Any  housing accommodations that prior to the effective date of
 this  act  were  excluded  from  coverage  from  the  emergency   tenant
 protection  act  of  nineteen  seventy-four,  the emergency housing rent
 control law or the administrative code of the city of New York  pursuant
 to  the provisions of law repealed by sections two, three, four and five
 of this act, and where such housing accommodations were located  outside
 the city of New York and were rented to a tenant between January 1, 2015
 and  the  effective  date  of this act for less than $3,500.00 per month
 regardless of any subsequent payment of a higher monthly rent,  or  were
 located  within the city of New York and were rented to a tenant between
 January 1, 2015 and the  effective  date  of  this  act  for  less  than
 $5,000.00  per  month,  regardless of any subsequent payment of a higher
 monthly rent, shall be subject to the provisions of  such  act,  law  or
 administrative  code,  respectively.   Notwithstanding the provisions of
 any lease or rental agreement,  the  legal  regulated  rent  or  maximum
 collectible  rent  of any housing accommodation excluded from regulation
 prior to the effective date of this act  by  reason  of  the  provisions
 repealed  by  sections  two,  three,  four and five of this act and made
 subject to regulation shall be the actual  rent  paid  by  a  tenant  on
 December  31,  2016  or,  if  no rent was paid for such accommodation on
 December 31, 2016, the most recent actual rent paid by a tenant for such
 accommodation prior to December 31, 2016, subject to further  adjustment
 in accordance with applicable provisions of law.
   §  7.  Paragraph 14 of subdivision c of section 26-511 of the adminis-
 trative code of the city of New York, as amended by section 12 of part A
 of chapter 20 of the laws of 2015, is amended to read as follows:
   (14) provides that where the amount of rent charged to and paid by the
 tenant is less than the legal regulated rent for  the  housing  accommo-
 dation,  the  amount of rent for such housing accommodation which may be
 charged upon renewal or upon vacancy thereof, may, at the option of  the
 owner,  be  based upon such previously established legal regulated rent,
 as adjusted by the most recent applicable guidelines increases  and  any
 other  increases authorized by law. [Such housing accommodation shall be
 excluded from the provisions of this code pursuant to  section  26-504.2
 of  this  chapter  when, subsequent to vacancy: (i) such legal regulated
 rent prior to vacancy is two thousand five hundred dollars per month, or
 more, for any housing accommodation that is or becomes vacant after  the
 effective  date  of the rent act of 2011 but prior to the effective date
 of the rent act of 2015 or (ii) such legal regulated rent is  two  thou-
 sand  seven hundred dollars per month or more, provided, however that on
 January 1, 2016, and annually thereafter, the  maximum  legal  regulated
 rent  for  this  deregulation  threshold  shall  be adjusted by the same
 percentage as the most recent one year renewal adjustment as adjusted by
 the relevant rent guidelines board, for any housing  accommodation  that
 is or becomes vacant on or after the rent act of 2015.]
   §  8.  Subdivision  (a-2) of section 10 of section 4 of chapter 576 of
 the laws of 1974 constituting the emergency  tenant  protection  act  of
 nineteen  seventy-four, as amended by section 11 of part A of chapter 20
 of the laws of 2015, is amended to read as follows:

 S. 808                             14

   (a-2) Provides that where the amount of rent charged to  and  paid  by
 the  tenant is less than the legal regulated rent for the housing accom-
 modation, the amount of rent for such housing accommodation which may be
 charged upon renewal or upon vacancy thereof, may, at the option of  the
 owner,  be  based upon such previously established legal regulated rent,
 as adjusted by the most recent applicable guidelines increases and other
 increases authorized  by  law.  [Such  housing  accommodation  shall  be
 excluded  from the provisions of this act pursuant to paragraph thirteen
 of subdivision a of section five of this act when subsequent to vacancy:
 (i) such legal regulated rent is two thousand five hundred  dollars  per
 month,  or  more,  for  any  housing  accommodation that is, or becomes,
 vacant after the effective date of the rent act of 2011 but prior to the
 effective date of the rent act of 2015 or (ii) such legal regulated rent
 is two thousand seven hundred dollars per month or more for any  housing
 accommodation  that  is  or  becomes  vacant on or after the rent act of
 2015; starting on January 1, 2016, and annually thereafter, the  maximum
 legal  regulated  rent  for  this  deregulation threshold, shall also be
 increased by the same percent  as  the  most  recent  one  year  renewal
 adjustment,  adopted by the applicable rent guidelines board pursuant to
 the rent stabilization law.]
   § 9. This act shall take effect immediately; provided, however, that:
   (a) the amendments to section 26-511 of chapter 4 of title 26  of  the
 administrative  code  of  the  city of New York made by section seven of
 this act shall expire on the same date as such law expires and shall not
 affect the expiration of such law as provided under  section  26-520  of
 such law; and
   (b)  the amendments to subdivision (a-2) of section 10 of section 4 of
 the emergency tenant protection act of  nineteen  seventy-four  made  by
 section  eight  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.
 
                                  PART F
 
   Section 1. 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
 section  31  of part A of chapter 20 of the laws of 2015,  is amended to
 read as follows:
   (g) (I) COLLECTION OF SURCHARGES TO THE MAXIMUM RENT AUTHORIZED PURSU-
 ANT TO ITEM (II) OF THIS SUBPARAGRAPH SHALL CEASE  WHEN  THE  OWNER  HAS
 RECOVERED THE COST OF THE MAJOR CAPITAL IMPROVEMENT;
   (II)  There  has  been  since  July first, nineteen hundred seventy, a
 major capital improvement [required for the operation,  preservation  or
 maintenance  of the structure. An adjustment under this subparagraph (g)
 for any order of the commissioner issued after the effective date of the
 rent act of 2015 shall be in an amount sufficient to amortize  the  cost
 of the improvements pursuant to this subparagraph (g) over an eight-year
 period  for  buildings  with  thirty-five  or fewer units or a nine year
 period for buildings with more than thiry-five  units,];  PROVIDED  THAT
 THE  COMMISSIONER  FINDS  THAT  SUCH IMPROVEMENTS ARE DEEMED DEPRECIABLE
 UNDER THE INTERNAL REVENUE CODE AND SUCH IMPROVEMENTS ARE  REQUIRED  FOR
 THE  OPERATION,  PRESERVATION  OR  MAINTENANCE  OF  THE  STRUCTURE.  THE
 INCREASE PERMITTED FOR SUCH CAPITAL IMPROVEMENT SHALL BE COLLECTED AS  A
 MONTHLY SURCHARGE TO THE MAXIMUM RENT. IT SHALL BE SEPARATELY DESIGNATED
 AND  BILLED  AS SUCH AND SHALL NOT BE COMPOUNDED BY ANY OTHER ADJUSTMENT
 TO THE MAXIMUM RENT. THE SURCHARGE ALLOCABLE TO EACH APARTMENT SHALL  BE

 S. 808                             15
 
 AN  AMOUNT EQUAL TO THE COST OF THE IMPROVEMENT DIVIDED BY  EIGHTY-FOUR,
 DIVIDED BY THE NUMBER OF ROOMS IN THE BUILDING, AND THEN  MULTIPLIED  BY
 THE NUMBER OF ROOMS IN SUCH APARTMENT; PROVIDED THAT THE SURCHARGE ALLO-
 CABLE TO ANY APARTMENT IN ANY ONE YEAR MAY NOT EXCEED AN AMOUNT EQUAL TO
 SIX  PERCENT  OF THE MONTHLY RENT COLLECTED BY THE OWNER FOR SUCH APART-
 MENT AS SET FORTH IN THE SCHEDULE OF GROSS RENTS.  ANY EXCESS ABOVE SAID
 SIX PERCENT SHALL BE CARRIED FORWARD AND COLLECTED IN FUTURE YEARS AS  A
 FURTHER  SURCHARGE  NOT  TO  EXCEED AN ADDITIONAL SIX PERCENT IN ANY ONE
 YEAR PERIOD UNTIL THE TOTAL SURCHARGE EQUALS THE AMOUNT  IT  WOULD  HAVE
 BEEN IF THE AFOREMENTIONED SIX PERCENT LIMITATION DID NOT APPLY; or
   § 2. Paragraph 1 of subdivision g of section 26-405 of the administra-
 tive  code  of  the city of New York is amended by adding a new subpara-
 graph (p) to read as follows:
   (P) NOTWITHSTANDING SUBPARAGRAPH (G) OR (K) OF THIS  PARAGRAPH,  THERE
 SHALL  BE  NO  ADJUSTMENT  FOR  ANY MAJOR CAPITAL IMPROVEMENT OR FOR ANY
 OTHER EXPENDITURES TO IMPROVE, RESTORE OR  PRESERVE  THE  QUALITY  OF  A
 STRUCTURE IF SUCH MAJOR CAPITAL IMPROVEMENT OR SUCH OTHER EXPENDITURE IS
 FUNDED  IN  ANY  PART  FROM MONEYS PROVIDED BY THE NEW YORK STATE ENERGY
 RESEARCH AND DEVELOPMENT AUTHORITY.
   § 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.  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 addition to any
 adjustment granted for the  concurrent  major  capital  improvement  and
 shall  be  [in an amount sufficient to amortize the cost of the improve-
 ments pursuant to this subparagraph over a seven-year    period]  IMPLE-
 MENTED IN THE SAME MANNER AS SUCH MAJOR CAPITAL IMPROVEMENT AS A FURTHER
 SURCHARGE TO THE MAXIMUM RENT.
   §  4.    Section  26-405 of the administrative code of the city of New
 York is amended by adding a new subdivision n to read as follows:
   N. (1) NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL BE APPROVED  BY
 THE  DIVISION OF HOUSING AND COMMUNITY RENEWAL UNLESS THE WORK PERFORMED
 IS AN ENHANCEMENT OR UPGRADE TO A HOUSING ACCOMMODATION OR SERVICE THER-
 EIN; OR IS AN ADDITION  TO  SUCH  HOUSING  ACCOMMODATION  AND  OTHERWISE
 ELIGIBLE  ACCORDING  TO  THE PREREQUISITES FOR MAJOR CAPITAL IMPROVEMENT
 RENT INCREASES.   ANY REPAIR OR  REPLACEMENT  INTENDED  TO  MAINTAIN  AN
 EXISTING  SERVICE  SHALL NOT BE ELIGIBLE FOR A MAJOR CAPITAL IMPROVEMENT
 RENT INCREASE.
   (2) NO APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT  INCREASE  MAY
 BE  APPROVED  IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS AT THE
 TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
 REGULATIONS OF THE DIVISION OF HOUSING  AND  COMMUNITY  RENEWAL  OR  ANY
 AGENCY  ADMINISTERING  AND ENFORCING A BUILDING CODE IN THE JURISDICTION
 IN WHICH THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY  THE  DIVI-
 SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
 ALLEVIATION  OF  THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT WITH THE
 PROVISIONS OF THIS SECTION. EXCEPT IN THE  CASE  OF  EMERGENCY  OR  GOOD
 CAUSE,  THE  OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN THIRTY DAYS
 BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING

 S. 808                             16
 
 AND COMMUNITY RENEWAL A STATEMENT CONTAINING INFORMATION  OUTLINING  THE
 SCOPE  OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN AFFIDA-
 VIT SETTING FORTH THE FOLLOWING INFORMATION:
   (A)  EVERY  OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST IN THE
 PROPERTY OR ENTITY OWNING THE PROPERTY OR  SPONSORING  THE  IMPROVEMENT;
 AND
   (B)  A  STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE FIVE YEARS
 PRIOR TO THE IMPROVEMENT, BEEN FOUND  TO  HAVE  HARASSED  OR  UNLAWFULLY
 EVICTED  TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY UNDER
 THE PENAL LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY  STATE  OR
 LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.
   UPON  RECEIPT  OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED FOR IN THIS
 SUBDIVISION, THE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE
 THE TENANTS IN OCCUPANCY IN SUCH BUILDINGS WITH SUCH INFORMATION.    THE
 DIVISION  OF HOUSING AND COMMUNITY RENEWAL SHALL, IN ADDITION, IMPLEMENT
 PROCEDURES INCLUDING, BUT NOT LIMITED TO, ELICITING TENANT  COMMENTS  TO
 DETERMINE WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN
 SATISFACTORILY  COMPLETED.  NO  MAJOR  CAPITAL IMPROVEMENT RENT INCREASE
 SHALL BECOME EFFECTIVE UNTIL ANY DEFECTIVE OR  DEFICIENT  REHABILITATION
 WORK HAS BEEN CURED.
   § 5. Paragraph 6 of subdivision c of section 26-511 of the administra-
 tive code of the city of New York, as amended by section 29 of part A of
 chapter 20 of the laws of 2015,  is amended to read as follows:
   (6)  provides  criteria whereby the commissioner may act upon applica-
 tions by owners for increases in  excess  of  the  level  of  fair  rent
 increase  established under this law provided, however, that such crite-
 ria shall provide [(a)] as to hardship applications, for a finding  that
 the level of fair rent increase is not sufficient to enable the owner to
 maintain  approximately  the same average annual net income (which shall
 be computed without regard to debt service, financing costs  or  manage-
 ment  fees)  for the three year period ending on or within six months of
 the date of an application pursuant to such criteria  as  compared  with
 annual  net income, which prevailed on the average over the period nine-
 teen hundred sixty-eight through nineteen hundred seventy,  or  for  the
 first three years of operation if the building was completed since nine-
 teen  hundred  sixty-eight  or  for the first three fiscal years after a
 transfer of title to a new owner provided the new owner can establish to
 the satisfaction of the commissioner that he or she  acquired  title  to
 the  building as a result of a bona fide sale of the entire building and
 that the new owner is unable to obtain requisite records for the  fiscal
 years  nineteen  hundred  sixty-eight  through  nineteen hundred seventy
 despite diligent efforts to obtain same from predecessors in  title  and
 further  provided that the new owner can provide financial data covering
 a minimum of six years under his or  her  continuous  and  uninterrupted
 operation  of  the building to meet the three year to three year compar-
 ative test periods herein provided[; and (b) as to  completed  building-
 wide  major  capital  improvements, for a finding that such improvements
 are deemed depreciable under the Internal Revenue Code and that the cost
 is to be amortized over an eight-year period for a building  with  thir-
 ty-five  or  fewer  housing  accommodations, or a nine-year period for a
 building with more than  thirty-five  housing  accommodations,  for  any
 determination  issued  by  the division of housing and community renewal
 after the effective date of the  rent  act  of  2015,  based  upon  cash
 purchase price exclusive of interest or service charges].  Notwithstand-
 ing  anything  to  the  contrary  contained herein, no hardship increase
 granted pursuant to this paragraph shall, when added to the annual gross

 S. 808                             17
 
 rents, as determined by the commissioner, exceed the  sum  of,  (i)  the
 annual  operating expenses, (ii) an allowance for management services as
 determined by  the  commissioner,  (iii)  actual  annual  mortgage  debt
 service  (interest  and  amortization)  on its indebtedness to a lending
 institution, an insurance company, a retirement  fund  or  welfare  fund
 which is operated under the supervision of the banking or insurance laws
 of  the  state of New York or the United States, and (iv) eight and one-
 half percent of that portion of the fair market value  of  the  property
 which  exceeds  the unpaid principal amount of the mortgage indebtedness
 referred to in subparagraph (iii) of this paragraph. Fair  market  value
 for  the  purposes of this paragraph shall be six times the annual gross
 rent. The collection of any increase in  the  stabilized  rent  for  any
 apartment pursuant to this paragraph shall not exceed six percent in any
 year from the effective date of the order granting the increase over the
 rent  set  forth  in the schedule of gross rents, with collectability of
 any dollar excess above said sum to be spread forward in similar  incre-
 ments  and  added to the stabilized rent as established or set in future
 years;
   § 6. Subdivision c of section 26-511 of the administrative code of the
 city of New York is amended by adding three new paragraphs 6-b, 6-c  and
 6-d to read as follows:
   (6-B) PROVIDES CRITERIA WHEREBY THE COMMISSIONER MAY ACT UPON APPLICA-
 TION  BY  OWNERS  FOR  INCREASES  IN  EXCESS  OF  THE LEVEL OF FAIR RENT
 INCREASE ESTABLISHED UNDER THIS LAW PROVIDED HOWEVER, THAT SUCH CRITERIA
 SHALL PROVIDE THAT:
   (1) NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL BE APPROVED BY THE
 DIVISION OF HOUSING AND COMMUNITY RENEWAL UNLESS THE WORK  PERFORMED  IS
 AN ENHANCEMENT OR UPGRADE TO A HOUSING ACCOMMODATION OR SERVICE THEREIN;
 OR  IS  AN ADDITION TO SUCH HOUSING ACCOMMODATION AND OTHERWISE ELIGIBLE
 ACCORDING TO  THE  PREREQUISITES  FOR  MAJOR  CAPITAL  IMPROVEMENT  RENT
 INCREASES.    ANY REPAIR OR REPLACEMENT INTENDED TO MAINTAIN AN EXISTING
 SERVICE SHALL NOT BE ELIGIBLE  FOR  A  MAJOR  CAPITAL  IMPROVEMENT  RENT
 INCREASE.
   (2)  NO  APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE MAY
 BE APPROVED IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS  AT  THE
 TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
 REGULATIONS  OF  THE  DIVISION  OF  HOUSING AND COMMUNITY RENEWAL OR ANY
 AGENCY ADMINISTERING AND ENFORCING A BUILDING CODE IN  THE  JURISDICTION
 IN  WHICH  THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY THE DIVI-
 SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
 ALLEVIATION OF THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT  WITH  THE
 PROVISIONS  OF  THIS  SECTION.  EXCEPT  IN THE CASE OF EMERGENCY OR GOOD
 CAUSE, THE OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN  THIRTY  DAYS
 BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING
 AND  COMMUNITY  RENEWAL A STATEMENT CONTAINING INFORMATION OUTLINING THE
 SCOPE OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN  AFFIDA-
 VIT SETTING FORTH THE FOLLOWING INFORMATION:
   (A)  EVERY  OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST IN THE
 PROPERTY OR ENTITY OWNING THE PROPERTY OR  SPONSORING  THE  IMPROVEMENT;
 AND
   (B)  A  STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE FIVE YEARS
 PRIOR TO THE IMPROVEMENT, BEEN FOUND  TO  HAVE  HARASSED  OR  UNLAWFULLY
 EVICTED  TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY UNDER
 THE PENAL LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY  STATE  OR
 LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.

 S. 808                             18

   UPON  RECEIPT  OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED FOR HEREIN,
 THE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE THE  TENANTS
 IN  OCCUPANCY  IN SUCH BUILDINGS WITH SUCH INFORMATION.  THE DIVISION OF
 HOUSING AND COMMUNITY RENEWAL SHALL, IN ADDITION,  IMPLEMENT  PROCEDURES
 INCLUDING,  BUT  NOT  LIMITED TO, ELICITING TENANT COMMENTS TO DETERMINE
 WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN SATISFAC-
 TORILY COMPLETED. NO  MAJOR  CAPITAL  IMPROVEMENT  RENT  INCREASE  SHALL
 BECOME  EFFECTIVE  UNTIL  ANY DEFECTIVE OR DEFICIENT REHABILITATION WORK
 HAS BEEN CURED.
   (6-C) THE INCREASE PERMITTED FOR SUCH  CAPITAL  IMPROVEMENT  SHALL  BE
 COLLECTED  AS  A MONTHLY SURCHARGE TO THE LEGAL REGULATED RENT. IT SHALL
 BE SEPARATELY DESIGNATED AND BILLED AS SUCH AND SHALL NOT BE  COMPOUNDED
 BY  ANY  ANNUAL  ADJUSTMENT OF THE LEVEL OF FAIR RENT PROVIDED FOR UNDER
 SUBDIVISION B OF SECTION 26-510 OF THIS LAW.  THE SURCHARGE ALLOCABLE TO
 EACH APARTMENT SHALL BE AN AMOUNT EQUAL TO THE COST OF  THE  IMPROVEMENT
 DIVIDED  BY EIGHTY-FOUR, DIVIDED BY THE NUMBER OF ROOMS IN THE BUILDING,
 AND THEN MULTIPLIED BY THE NUMBER OF ROOMS IN SUCH  APARTMENT;  PROVIDED
 THAT  THE  SURCHARGE ALLOCABLE TO ANY APARTMENT, IN ANY ONE YEAR MAY NOT
 EXCEED AN AMOUNT EQUAL TO SIX PERCENT OF THE MONTHLY RENT  COLLECTED  BY
 THE  OWNER  FOR  SUCH  APARTMENT  AS  SET FORTH IN THE SCHEDULE OF GROSS
 RENTS.  ANY EXCESS ABOVE SAID SIX PERCENT SHALL BE CARRIED  FORWARD  AND
 COLLECTED  IN FUTURE YEARS AS A FURTHER SURCHARGE NOT TO EXCEED AN ADDI-
 TIONAL SIX PERCENT IN ANY ONE YEAR  PERIOD  UNTIL  THE  TOTAL  SURCHARGE
 EQUALS  THE  AMOUNT IT WOULD HAVE BEEN IF THE AFOREMENTIONED SIX PERCENT
 LIMITATION DID NOT APPLY.
   (6-D) COLLECTION OF SURCHARGES IN EXCESS OF THE  LEVEL  OF  FAIR  RENT
 AUTHORIZED  PURSUANT  TO PARAGRAPH SIX-B OF THIS SUBDIVISION SHALL CEASE
 WHEN THE OWNER HAS RECOVERED THE COST OF THE MAJOR CAPITAL IMPROVEMENT.
   § 7. 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 section 30 of part A of
 chapter 20 of the laws of 2015, is amended to read as follows:
   (3) (I) COLLECTION OF SURCHARGES IN ADDITION TO  THE  LEGAL  REGULATED
 RENT  AUTHORIZED  PURSUANT  TO SUBPARAGRAPH (II) OF THIS PARAGRAPH SHALL
 CEASE WHEN THE OWNER  HAS  RECOVERED  THE  COST  OF  THE  MAJOR  CAPITAL
 IMPROVEMENT;
   (II) there has been since January first, nineteen hundred seventy-four
 a major capital improvement [required for the operation, preservation or
 maintenance  of  the structure. An adjustment under this paragraph shall
 be in an amount sufficient to amortize  the  cost  of  the  improvements
 pursuant to this paragraph over an eight-year period for a building with
 thirty-five or fewer housing accommodations, or a nine-year period for a
 building  with  more  than  thirty-five  housing accommodations, for any
 determination issued by the division of housing  and  community  renewal
 after  the  effective  date  of the rent act of 2015]; PROVIDED THAT THE
 COMMISSIONER FINDS THAT SUCH IMPROVEMENTS ARE DEEMED  DEPRECIABLE  UNDER
 THE  INTERNAL  REVENUE  CODE  AND SUCH IMPROVEMENTS ARE REQUIRED FOR THE
 OPERATION, PRESERVATION OR MAINTENANCE OF THE STRUCTURE.   THE  INCREASE
 PERMITTED  FOR  SUCH CAPITAL IMPROVEMENT SHALL BE COLLECTED AS A MONTHLY
 SURCHARGE TO THE LEGAL REGULATED RENT. IT SHALL BE SEPARATELY DESIGNATED
 AND BILLED AS SUCH AND SHALL  NOT  BE  COMPOUNDED  BY  ANY  ANNUAL  RENT
 ADJUSTMENT  AUTHORIZED  BY THE RENT GUIDELINES BOARD UNDER THIS ACT. THE
 SURCHARGE ALLOCABLE TO EACH APARTMENT SHALL BE AN AMOUNT  EQUAL  TO  THE
 COST OF THE IMPROVEMENT DIVIDED BY EIGHTY-FOUR, DIVIDED BY THE NUMBER OF
 ROOMS  IN  THE  BUILDING,  AND THEN MULTIPLIED BY THE NUMBER OF ROOMS IN
 SUCH APARTMENT; PROVIDED THAT THE SURCHARGE ALLOCABLE TO  ANY  APARTMENT

 S. 808                             19
 
 IN  ANY  ONE  YEAR  MAY NOT EXCEED AN AMOUNT EQUAL TO SIX PERCENT OF THE
 MONTHLY RENT COLLECTED BY THE OWNER FOR SUCH APARTMENT AS SET  FORTH  IN
 THE SCHEDULE OF GROSS RENTS.  ANY EXCESS ABOVE SAID SIX PERCENT SHALL BE
 CARRIED FORWARD AND COLLECTED IN FUTURE YEARS AS A FURTHER SURCHARGE NOT
 TO  EXCEED  AN  ADDITIONAL  SIX PERCENT IN ANY ONE YEAR PERIOD UNTIL THE
 TOTAL SURCHARGE EQUALS THE AMOUNT IT WOULD HAVE BEEN  IF  THE  AFOREMEN-
 TIONED SIX PERCENT LIMITATION DID NOT APPLY, or
   §  8.  Section  6  of  section  4  of chapter 576 of the laws of 1974,
 constituting the emergency tenant protection act  of  nineteen  seventy-
 four, is amended by adding a new subdivision d-1 to read as follows:
   D-1.  (1)  NO MAJOR CAPITAL IMPROVEMENT RENT INCREASE WILL BE APPROVED
 BY THE DIVISION  OF  HOUSING  AND  COMMUNITY  RENEWAL  UNLESS  THE  WORK
 PERFORMED  IS  AN  ENHANCEMENT  OR UPGRADE TO A HOUSING ACCOMMODATION OR
 SERVICE THEREIN; OR IS AN ADDITION TO  SUCH  HOUSING  ACCOMMODATION  AND
 OTHERWISE  ELIGIBLE  ACCORDING  TO  THE  PREREQUISITES FOR MAJOR CAPITAL
 IMPROVEMENT RENT INCREASES.  ANY REPAIR OR REPLACEMENT INTENDED TO MAIN-
 TAIN AN EXISTING SERVICE SHALL NOT  BE  ELIGIBLE  FOR  A  MAJOR  CAPITAL
 IMPROVEMENT RENT INCREASE.
   (2)  NO  APPLICATION FOR A MAJOR CAPITAL IMPROVEMENT RENT INCREASE MAY
 BE APPROVED IF THERE EXIST ANY OUTSTANDING HAZARDOUS VIOLATIONS  AT  THE
 TIME OF THE CONSIDERATION OF SUCH APPLICATION, AS DETERMINED PURSUANT TO
 REGULATIONS  OF  THE  DIVISION  OF  HOUSING AND COMMUNITY RENEWAL OR ANY
 AGENCY ADMINISTERING AND ENFORCING A BUILDING CODE IN  THE  JURISDICTION
 IN  WHICH  THE PROPERTY IS LOCATED, UNLESS IT IS DETERMINED BY THE DIVI-
 SION OF HOUSING AND COMMUNITY RENEWAL THAT SUCH WORK IS ESSENTIAL TO THE
 ALLEVIATION OF THE VIOLATIONS AND SUCH APPROVAL IS CONSISTENT  WITH  THE
 PROVISIONS  OF  THIS  SECTION.  EXCEPT  IN THE CASE OF EMERGENCY OR GOOD
 CAUSE, THE OWNER OF THE PROPERTY SHALL FILE, NOT LESS THAN  THIRTY  DAYS
 BEFORE THE COMMENCEMENT OF THE IMPROVEMENT, WITH THE DIVISION OF HOUSING
 AND  COMMUNITY  RENEWAL A STATEMENT CONTAINING INFORMATION OUTLINING THE
 SCOPE OF WORK, EXPECTED DATE OF COMPLETION FOR SUCH WORK AND AN  AFFIDA-
 VIT SETTING FORTH THE FOLLOWING INFORMATION:
   (A)  EVERY  OWNER OF RECORD AND OWNER OF A SUBSTANTIAL INTEREST IN THE
 PROPERTY OR ENTITY OWNING THE PROPERTY OR  SPONSORING  THE  IMPROVEMENT;
 AND
   (B)  A  STATEMENT THAT NONE OF SUCH PERSONS HAD, WITHIN THE FIVE YEARS
 PRIOR TO THE IMPROVEMENT, BEEN FOUND  TO  HAVE  HARASSED  OR  UNLAWFULLY
 EVICTED  TENANTS BY JUDGMENT OR DETERMINATION OF A COURT OR AGENCY UNDER
 THE PENAL LAW, ANY STATE OR LOCAL LAW REGULATING RENTS OR ANY  STATE  OR
 LOCAL LAW RELATING TO HARASSMENT OF TENANTS OR UNLAWFUL EVICTION.
   UPON  RECEIPT  OF THE SCOPE OF WORK AND AFFIDAVIT PROVIDED FOR HEREIN,
 THE DIVISION OF HOUSING AND COMMUNITY RENEWAL SHALL PROVIDE THE  TENANTS
 IN  OCCUPANCY  IN SUCH BUILDINGS WITH SUCH INFORMATION.  THE DIVISION OF
 HOUSING AND COMMUNITY RENEWAL SHALL, IN ADDITION,  IMPLEMENT  PROCEDURES
 INCLUDING,  BUT  NOT  LIMITED TO, ELICITING TENANT COMMENTS TO DETERMINE
 WHETHER MAJOR CAPITAL IMPROVEMENT REHABILITATION WORK HAS BEEN SATISFAC-
 TORILY COMPLETED. NO  MAJOR  CAPITAL  IMPROVEMENT  RENT  INCREASE  SHALL
 BECOME  EFFECTIVE  UNTIL  ANY DEFECTIVE OR DEFICIENT REHABILITATION WORK
 HAS BEEN CURED.
   § 9. Subdivision d of section 6 of section 4 of  chapter  576  of  the
 laws  of 1974, constituting the emergency tenant protection act of nine-
 teen seventy-four, is amended by adding a new paragraph  6  to  read  as
 follows:
   (6) NOTWITHSTANDING PARAGRAPH THREE OF THIS SUBDIVISION THERE SHALL BE
 NO  ADJUSTMENT FOR ANY MAJOR CAPITAL IMPROVEMENT FUNDED IN ANY PART FROM

 S. 808                             20
 
 MONEYS PROVIDED BY THE NEW YORK STATE ENERGY  RESEARCH  AND  DEVELOPMENT
 AUTHORITY.
   §  10.  The second undesignated paragraph of paragraph (a) of subdivi-
 sion 4 of section 4 of chapter 274 of the laws of 1946, constituting the
 emergency housing rent control law, as amended by section 25 of  part  B
 of  chapter 97 of the laws of 2011, subparagraph 7 as amended by section
 32 of part A of chapter 20 of the laws of 2015, is amended  to  read  as
 follows:
   No application for adjustment of maximum rent based upon a sales price
 valuation  shall  be filed by the landlord under this subparagraph prior
 to six months from the date of such sale of the property.  In  addition,
 no  adjustment  ordered  by  the  commission based upon such sales price
 valuation shall be effective prior to one year from  the  date  of  such
 sale.  Where,  however,  the assessed valuation of the land exceeds four
 times the assessed valuation of the buildings  thereon,  the  commission
 may determine a valuation of the property equal to five times the equal-
 ized  assessed  valuation  of  the  buildings,  for the purposes of this
 subparagraph. The commission may make a determination that the valuation
 of the property is an amount  different  from  such  equalized  assessed
 valuation  where  there  is  a  request for a reduction in such assessed
 valuation currently pending; or where there has been a reduction in  the
 assessed valuation for the year next preceding the effective date of the
 current  assessed  valuation  in effect at the time of the filing of the
 application. Net annual return shall be the amount by which  the  earned
 income  exceeds  the operating expenses of the property, excluding mort-
 gage interest and amortization, and excluding  allowances  for  obsoles-
 cence  and  reserves, but including an allowance for depreciation of two
 per centum of the value of the buildings exclusive of the land,  or  the
 amount  shown  for  depreciation of the buildings in the latest required
 federal income tax return, whichever is lower; provided,  however,  that
 (1)  no  allowance  for  depreciation of the buildings shall be included
 where the buildings have been fully depreciated for federal  income  tax
 purposes  or  on the books of the owner; or (2) the landlord who owns no
 more than four rental units within the state has not been fully  compen-
 sated  by  increases  in  rental income sufficient to offset unavoidable
 increases in property taxes, fuel, utilities, insurance and repairs  and
 maintenance, excluding mortgage interest and amortization, and excluding
 allowances  for  depreciation,  obsolescence  and  reserves,  which have
 occurred since the federal date determining the maximum rent or the date
 the property was acquired by the present owner, whichever is  later;  or
 (3) the landlord operates a hotel or rooming house or owns a cooperative
 apartment  and  has  not  been  fully compensated by increases in rental
 income from the controlled housing accommodations sufficient  to  offset
 unavoidable increases in property taxes and other costs as are allocable
 to  such controlled housing accommodations, including costs of operation
 of such hotel or rooming house,  but  excluding  mortgage  interest  and
 amortization,  and  excluding  allowances for depreciation, obsolescence
 and reserves, which have occurred since the federal date determining the
 maximum rent or the date the landlord commenced  the  operation  of  the
 property, whichever is later; or (4) the landlord and tenant voluntarily
 enter into a valid written lease in good faith with respect to any hous-
 ing  accommodation,  which lease provides for an increase in the maximum
 rent not in excess of fifteen per centum and for a term of not less than
 two years, except that where such lease  provides  for  an  increase  in
 excess  of  fifteen  per  centum,  the  increase  shall be automatically
 reduced to fifteen per centum; or (5) the landlord and tenant by  mutual

 S. 808                             21
 
 voluntary  written agreement agree to a substantial increase or decrease
 in dwelling space or a change in the services, furniture, furnishings or
 equipment provided in the housing accommodations; provided that an owner
 shall  be entitled to a rent increase where there has been a substantial
 modification or increase  of  dwelling  space  or  an  increase  in  the
 services, or installation of new equipment or improvements or new furni-
 ture  or furnishings provided in or to a tenant's housing accommodation.
 The permanent increase in the maximum  rent  for  the  affected  housing
 accommodation  shall  be  one-fortieth,  in  the case of a building with
 thirty-five or fewer housing accommodations,  or  one-sixtieth,  in  the
 case  of  a  building  with more than thirty-five housing accommodations
 where such permanent increase takes effect on or after  September  twen-
 ty-fourth,  two thousand eleven, of the total cost incurred by the land-
 lord in providing such  modification  or  increase  in  dwelling  space,
 services,  furniture,  furnishings  or  equipment, including the cost of
 installation, but excluding finance charges  provided  further  that  an
 owner  who  is entitled to a rent increase pursuant to this clause shall
 not be entitled to a further rent increase based upon  the  installation
 of  similar equipment, or new furniture or furnishings within the useful
 life of such new equipment, or new furniture or furnishings.  The  owner
 shall  give  written  notice  to  the  commission of any such adjustment
 pursuant to this clause; or (6) there has been, since March first, nine-
 teen hundred fifty, an increase in  the  rental  value  of  the  housing
 accommodations as a result of a substantial rehabilitation of the build-
 ing  or housing accommodation therein which materially adds to the value
 of the property or appreciably prolongs  its  life,  excluding  ordinary
 repairs,   maintenance  and  replacements;  or  (7)  (I)  COLLECTION  OF
 SURCHARGES TO THE MAXIMUM RENT AUTHORIZED PURSUANT TO ITEM (II) OF  THIS
 CLAUSE  SHALL  CEASE  WHEN THE OWNER HAS RECOVERED THE COST OF THE MAJOR
 CAPITAL IMPROVEMENT; (II) there has been  since  March  first,  nineteen
 hundred  fifty, a major capital improvement [required for the operation,
 preservation or maintenance of the structure; which for any order of the
 commissioner issued after the effective date of the rent act of 2015 the
 cost of such improvement shall be amortized over  an  eight-year  period
 for  buildings with thirty-five or fewer units or a nine year period for
 buildings with more than thiry-five units], or PROVIDED THAT THE COMMIS-
 SIONER FINDS THAT SUCH IMPROVEMENTS ARE  DEEMED  DEPRECIABLE  UNDER  THE
 INTERNAL  REVENUE CODE AND SUCH IMPROVEMENTS ARE REQUIRED FOR THE OPERA-
 TION, PRESERVATION OR MAINTENANCE OF THE STRUCTURE. THE INCREASE PERMIT-
 TED FOR SUCH  CAPITAL  IMPROVEMENT  SHALL  BE  COLLECTED  AS  A  MONTHLY
 SURCHARGE  TO  THE  MAXIMUM  RENT. IT SHALL BE SEPARATELY DESIGNATED AND
 BILLED AS SUCH AND SHALL NOT BE COMPOUNDED BY ANY  OTHER  ADJUSTMENT  TO
 THE  MAXIMUM RENT. THE SURCHARGE ALLOCABLE TO EACH APARTMENT SHALL BE AN
 AMOUNT EQUAL TO THE COST OF THE IMPROVEMENT  DIVIDED  BY    EIGHTY-FOUR,
 DIVIDED  BY  THE NUMBER OF ROOMS IN THE BUILDING, AND THEN MULTIPLIED BY
 THE NUMBER OF ROOMS IN SUCH APARTMENT; PROVIDED THAT THE SURCHARGE ALLO-
 CABLE TO ANY APARTMENT IN ANY ONE YEAR MAY NOT EXCEED AN AMOUNT EQUAL TO
 SIX PERCENT OF THE MONTHLY RENT COLLECTED BY THE OWNER FOR  SUCH  APART-
 MENT AS SET FORTH IN THE SCHEDULE OF GROSS RENTS.  ANY EXCESS ABOVE SAID
 SIX  PERCENT SHALL BE CARRIED FORWARD AND COLLECTED IN FUTURE YEARS AS A
 FURTHER SURCHARGE NOT TO EXCEED AN ADDITIONAL SIX  PERCENT  IN  ANY  ONE
 YEAR  PERIOD  UNTIL  THE TOTAL SURCHARGE EQUALS THE AMOUNT IT WOULD HAVE
 BEEN IF THE AFOREMENTIONED SIX PERCENT LIMITATION DID NOT APPLY; or  (8)
 there  has been since March first, nineteen hundred fifty, in structures
 containing more than four  housing  accommodations,  other  improvements
 made  with  the  express consent of the tenants in occupancy of at least

 S. 808                             22
 
 seventy-five per centum of the housing accommodations, provided,  howev-
 er, that no adjustment granted hereunder shall exceed fifteen per centum
 unless  the  tenants  have agreed to a higher percentage of increase, as
 herein  provided;  or  (9)  there  has been, since March first, nineteen
 hundred fifty, a subletting without written consent from the landlord or
 an increase in the number of adult occupants who are not members of  the
 immediate  family  of  the tenant, and the landlord has not been compen-
 sated therefor by adjustment of the maximum rent by lease  or  order  of
 the  commission  or pursuant to the federal act; or (10) the presence of
 unique or peculiar circumstances materially affecting the  maximum  rent
 has  resulted  in  a  maximum rent which is substantially lower than the
 rents generally prevailing in the same area  for  substantially  similar
 housing accommodations.
   § 11. This act shall take effect immediately; provided that:
   a.  the  amendments  to  section 26-405 of the city rent and rehabili-
 tation law made by sections one, two, three and four of this  act  shall
 remain  in  full  force  and effect only so 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 emer-
 gency housing rent control act;
   b. the amendments to section 26-511 of the rent stabilization  law  of
 nineteen  hundred  sixty-nine  made by sections five and six of this act
 shall expire on the same date as such law expires and shall  not  affect
 the expiration of such law as provided under section 26-520 of such law,
 as from time to time amended;
   c.  the  amendment to section 6 of the emergency tenant protection act
 of nineteen seventy-four made by sections seven, eight and nine 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, as from time to time amended; and
   d.  the  amendment  to section 4 of the emergency housing rent control
 law made by section ten of this act shall expire on  the  same  date  as
 such  law  expires  and  shall  not affect the expiration of such law as
 provided in subdivision 2 of section 1 of chapter 274  of  the  laws  of
 1946.
 
                                  PART G
 
   Section  1.  Paragraph  5  of  subdivision  a of section 26-405 of the
 administrative code of the city of  New  York  is  amended  to  read  as
 follows:
   (5)  Where  a  maximum rent established pursuant to this chapter on or
 after January first, nineteen hundred seventy-two, is  higher  than  the
 previously  existing  maximum  rent,  the  landlord  may  not collect AN
 INCREASE FROM A TENANT IN OCCUPANCY IN ANY ONE YEAR PERIOD OF more  than
 THE  LESSER  OF  EITHER  seven  and  one-half percentum [increase from a
 tenant in occupancy on such date in any one year period, provided howev-
 er, that where] OR AN AVERAGE OF THE PREVIOUS  FIVE  YEARS  OF  ONE-YEAR
 RENT  INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED BY THE RENT
 GUIDELINES BOARD, PURSUANT TO SUBDIVISION B OF SECTION  26-510  OF  THIS
 TITLE. IF the period for which the rent is established exceeds one year,
 regardless  of  how the collection thereof is averaged over such period,
 the rent the landlord shall be entitled  to  receive  during  the  first
 twelve  months  shall not be increased by more than THE LESSER OF EITHER
 seven and one-half percentum OR AN AVERAGE OF THE PREVIOUS FIVE YEARS OF
 ONE-YEAR RENT INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED  BY

 S. 808                             23
 
 THE  RENT  GUIDELINES BOARD, PURSUANT TO SUBDIVISION B OF SECTION 26-510
 OF THIS TITLE, over the previous rent [and]. ANY additional annual rents
 shall not exceed THE LESSER OF EITHER seven and one-half percentum OR AN
 AVERAGE  OF  THE  PREVIOUS FIVE YEARS OF ONE-YEAR RENT INCREASES ON RENT
 STABILIZED APARTMENTS AS  ESTABLISHED  BY  THE  RENT  GUIDELINES  BOARD,
 PURSUANT  TO  SUBDIVISION B OF SECTION 26-510 OF THIS TITLE, of the rent
 paid during the previous year.  Notwithstanding  any  of  the  foregoing
 limitations  in  this paragraph five, maximum rent shall be increased if
 ordered by the agency pursuant to subparagraphs (d), (e), (f), (g), (h),
 (i), (k), [(l),] OR (m) [or (n)] of paragraph one of  subdivision  g  of
 this  section.  [Commencing January first, nineteen hundred eighty, rent
 adjustments pursuant to subparagraph (n) of paragraph one of subdivision
 g of this section shall be excluded from the maximum rent when computing
 the seven and one-half percentum increase authorized by  this  paragraph
 five.]  Where  a housing accommodation is vacant on January first, nine-
 teen hundred seventy-two, or  becomes  vacant  thereafter  by  voluntary
 surrender of possession by the tenants, the maximum rent established for
 such accommodations may be collected.
   §  2.  Subparagraphs  (l)  and  (n) of paragraph 1 of subdivision g of
 section 26-405 of the administrative code of the city of  New  York  are
 REPEALED.
   §  3.  Section  4 of chapter 274 of the laws of 1946, constituting the
 emergency housing rent control law, is amended by adding a new  subdivi-
 sion 9 to read as follows:
   9.  NO  ANNUAL  RENT  INCREASE  AUTHORIZED  PURSUANT TO THIS ACT SHALL
 EXCEED THE AVERAGE OF THE PREVIOUS FIVE ANNUAL RENTAL INCREASES  AUTHOR-
 IZED  BY  A RENT GUIDELINES BOARD FOR A RENT STABILIZED UNIT PURSUANT TO
 SECTION 4 OF THE EMERGENCY TENANT PROTECTION ACT  OF  NINETEEN  SEVENTY-
 FOUR.
   § 4. This act shall take effect on the one hundred eightieth day after
 it  shall  have  become  a  law; provided that the amendments to section
 26-405 of the city rent and rehabilitation law made by  section  one  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; and provided that the
 amendments to section 4 of the emergency housing rent control  law  made
 by  section  three of this act shall expire on the same date as such law
 expires and shall not affect the expiration of such law as  provided  in
 subdivision 2 of section 1 of chapter 274 of the laws of 1946.
 
                                  PART H
 
   Section  1. The administrative code of the city of New York is amended
 by adding a new section 26-416 to read as follows:
   § 26-416 SURCHARGES FOR TENANT-INSTALLED APPLIANCES. THE IMPOSITION OF
 ANY SURCHARGE FOR THE INSTALLATION OR USE OF A  TENANT-INSTALLED  APPLI-
 ANCE IS PROHIBITED WHERE THE TENANT PAYS FOR ELECTRIC UTILITY SERVICE.
   §  2.  This  act  shall take effect immediately; provided that section
 26-416 of the city rent and rehabilitation law as added by  section  one
 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.
   § 3. Severability clause. If any clause, sentence, paragraph, subdivi-
 sion,  section  or  part  of  this act shall be adjudged by any court of

 S. 808                             24
 
 competent jurisdiction to be invalid, such judgment  shall  not  affect,
 impair,  or  invalidate  the remainder thereof, but shall be confined in
 its operation to the clause, sentence, paragraph,  subdivision,  section
 or part thereof directly involved in the controversy in which such judg-
 ment  shall have been rendered.  It is  hereby declared to be the intent
 of the legislature that this act would have been enacted  even  if  such
 invalid provisions had not been included herein.
   §  4.  This  act shall take effect immediately provided, however, that
 the applicable effective dates of Parts A through H of this act shall be
 as specifically set forth in the last section of such Parts.

Comments

Open Legislation is a forum for New York State legislation. All comments are subject to review and community moderation is encouraged.

Comments deemed off-topic, commercial, campaign-related, self-promotional; or that contain profanity, hate or toxic speech; or that link to sites outside of the nysenate.gov domain are not permitted, and will not be published. Attempts to intimidate and silence contributors or deliberately deceive the public, including excessive or extraneous posting/posts, or coordinated activity, are prohibited and may result in the temporary or permanent banning of the user. Comment moderation is generally performed Monday through Friday. By contributing or voting you agree to the Terms of Participation and verify you are over 13.

Create an account. An account allows you to sign petitions with a single click, officially support or oppose key legislation, and follow issues, committees, and bills that matter to you. When you create an account, you agree to this platform's terms of participation.

Find your Senator and share your views on important issues.

Do you support this bill?

Senate Bill S808

Sponsored By

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Actions

co-Sponsors

2017-S808 (ACTIVE) - Details

2017-S808 (ACTIVE) - Summary

2017-S808 (ACTIVE) - Sponsor Memo

2017-S808 (ACTIVE) - Bill Text download pdf

Comments

Do you support this bill?

Get Status Alerts for 2017-S808

Senate Bill S808

Share this bill

Sponsored By

Marisol Alcantara

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Actions

co-Sponsors

Tony Avella

Jesse Hamilton

Jose Peralta

2017-S808 (ACTIVE) - Details

2017-S808 (ACTIVE) - Summary

2017-S808 (ACTIVE) - Sponsor Memo

2017-S808 (ACTIVE) - Bill Text download pdf

Comments