NY State Senate Bill 2019-S185

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

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to housing, construction and community development
Jan 09, 2019	referred to housing, construction and community development

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2019-S185 (ACTIVE) - Details

See Assembly Version of this Bill:: A2351
Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Rpld §26-511 sub c ¶5-a, amd §§26-512 & 26-403.2, NYC Ad Cd; rpld §10 sub (a-1), amd §6, Emerg Ten Prot Act of 1974; amd §5, Emerg Hous Rent Cont L; amd §1, Chap 21 of 1962
Versions Introduced in 2019-2020 Legislative Session:: S185, A2351

2019-S185 (ACTIVE) - Summary

Repeals provisions permitting rent increases after vacancy of a housing accommodation.

2019-S185 (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S185

SPONSOR: SERRANO
 
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,
the emergency housing rent control law and the local emergency rent
control act, in relation to rent increases after vacancy of a housing
accommodation; and to repeal certain provisions of the administrative
code of the city of New York and the emergency tenant protection act of
nineteen seventy-four relating thereto

 
PURPOSE OF THE BILL:

To protect tenants by repealing the ability of a landlord to obtain a
twenty percent increase in rent pursuant to the statutory vacancy bonus
provision of the Emergency Tenant Protection Act.

 
SUMMARY OF SPECIFIC PROVISIONS:

This legislation amends the administrative code of the City of New York,
the emergency tenant protection act of nineteen seventy-four, the emer-

gency housing rent control law and the local emergency rent control act,
in relation to rent increases after vacancy of a housing accommodation
and to repeal certain provisions of the administration code of the city
of New York and the emergency tenant protection act of nineteen seven-
ty-four, that permits a landlord to increase the legally permissible
rent by twenty percent (20%) upon vacancy of a rent-regulated apartment.

 
JUSTIFICATION:

As housing costs increase rapidly across New York City, the displacement
of working families and middle class residents from rent-regulated
apartments has reached crisis proportions.  Undoubtedly, the ability of
landlords to increase rent by 20% in the event of a vacancy, thus bring-
ing a unit closer to the decontrol threshold of $2500 per month, has
been a significant factor.

Under current law, a landlord is eligible for a statutory vacancy bonus
once per year when an apartment becomes vacant. Accordingly, a landlord
can rapidly transform an affordable apartment into one that is market-
rate and decontrolled.

Equally problematic, there is no "clean hands" requirement that land-
lords conduct themselves responsibly in order to benefit from the bonus.
Consequently, if a tenant leaves an apartment that is uninhabitable due
to lack of heat, hot water, electricity, repairs or sanitary conditions,
the landlord remains eligible for the twenty percent increase in rent
upon vacancy. As a result, current law creates incentives for bad actors
to deprive tenants of a habitable apartment in order to benefit from the
statutory vacancy bonus. In order to stem the displacement crisis in New
York City, and preserve the affordable housing stock that remains avail-
able to working families and moderate income residents, the rent regu-
lation laws are in need of comprehensive reform. The repeal of the stat-
utory vacancy bonus provision is an important step in that direction.

 
PRIOR LEGISLATIVE HISTORY:

2008: S.8155 - Referred to Housing, Construction, and Community Develop-
ment
2009-10: Senate & Assembly Referred to Housing
2011-12: S.2699- Referred to Housing, Construction, and Community Devel-
opment
2013-14: S.1040- Referred to Housing, Construction, and Community Devel-
opment
2015-16: S.951- Referred to Housing, Construction, and Community Devel-
opment
2017-18: S.1593- Referred to Housing, Construction, and Community Devel-
opment

 
FISCAL IMPLICATIONS FOR STATE & LOCAL GOVERNMENTS:

None.

 
EFFECTIVE DATE:
This act shall take effect immediately; provided that:
(a) the amendments to section 6 of the emergency tenant protection act
of nineteen seventy-four made 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; and
(b) the amendments to section 5 of the emergency housing rent control
law made by section five 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; and
(c) the amendments to section 26-512 of chapter 4 of title 26 of the
administrative code of the city of New York 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 under. section 26-520 of
such law; and
(d) the amendments to section 26-403.2 of the city rent and rehabili-
tation law made by section six 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
(e) the amendments to subdivision 5 of section 1 of the local emergency
housing rent control act, made by section seven of this act, shall not
affect the effectiveness of such subdivision and shall cease to be in
full force.

2019-S185 (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    185
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by Sens. SERRANO, ADDABBO, BAILEY, BENJAMIN, COMRIE, GIANAR-
   IS, HOYLMAN, KAVANAGH, KRUEGER, MAYER,  MONTGOMERY,  PARKER,  PERSAUD,
   RIVERA, SANDERS, SAVINO, SEPULVEDA, STAVISKY -- 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, the emergen-
   cy housing rent control law and the local emergency rent control  act,
   in  relation  to  rent  increases  after vacancy of a housing accommo-
   dation; and to repeal certain provisions of the administrative code of
   the city of New York and the emergency tenant protection act of  nine-
   teen seventy-four relating thereto
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph 5-a of subdivision c of  section  26-511  of  the
 administrative code of the city of New York is REPEALED.
   §  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 is REPEALED.
   § 3. Subdivision f of section 26-512 of the administrative code of the
 city  of  New  York,  as  added  by  chapter 116 of the laws of 1997, is
 amended to read as follows:
   f. Notwithstanding any provision of this law to the  contrary  in  the
 case where all tenants named in a lease have permanently vacated a hous-
 ing accommodation and a family member of such tenant or tenants is enti-
 tled  to  and  executes a renewal lease for the housing accommodation if
 such accommodation continues to be subject to this law after such family
 member vacates, on the occurrence of such vacancy  the  legal  regulated
 rent  shall  be increased by a sum equal to the allowance then in effect
 for vacancy leases[, including the amount allowed by paragraph  (five-a)

  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD02626-01-9

 S. 185                              2

 of  subdivision c of section 26-511 of this law]. Such increase shall be
 in addition to any other increases provided for in this law 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 26-511
 of this law and shall be applicable in like manner to each second subse-
 quent succession.
   § 4. Subdivision g 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, as added by chapter 116  of  the  laws  of  1997,  is
 amended to read as follows:
   g.  Notwithstanding  any  provision of this act to the contrary in the
 case where all tenants named in a lease have permanently vacated a hous-
 ing accommodation and a family member of such tenant or tenants is enti-
 tled to and executes a renewal lease for the  housing  accommodation  if
 such accommodation continues to be subject to this act after such family
 member  vacates,  on  the occurrence of such vacancy the legal regulated
 rent shall be increased by a sum equal to the allowance then  in  effect
 for  vacancy  leases[, including the amount allowed by subdivision (a-1)
 of section ten of this act].  Such increase shall be in addition to  any
 other  increases  provided for in 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 THIS section [six of  this  act]  and
 shall be applicable in like manner to each second subsequent succession.
   §  5.  Subdivision  9 of section 5 of chapter 274 of the laws of 1946,
 constituting the emergency housing rent control law, as added by chapter
 116 of the laws of 1997, is amended to read as follows:
   9. Notwithstanding any provision of this law to the  contrary  in  the
 case where all tenants occupying the housing accommodation on the effec-
 tive date of this subdivision have vacated the housing accommodation and
 a  family  member  of such vacating tenant or tenants is entitled to and
 continues to occupy the housing accommodation subject to the protections
 of this law, if such accommodation continues to be subject to  this  law
 after  such family member vacates, on the occurrence of such vacancy the
 maximum collectable rent shall be increased by a sum equal to the allow-
 ance then in  effect  for  vacancy  leases  for  housing  accommodations
 covered  by  the rent stabilization law of nineteen hundred sixty-nine[,
 including the amount allowed by paragraph five-a  of  subdivision  c  of
 section  26-511  of such law]. This increase shall be in addition to any
 other increases provided in this law including an adjustment based  upon
 a  major  capital  improvement, or a substantial increase or decrease in
 dwelling space or a change in the services,  furniture,  furnishings  or
 equipment  provided  in  the  housing accommodation, pursuant to section
 four of this law and shall be applicable in like manner to  each  second
 subsequent succession.
   §  6.  Section  26-403.2 of the administrative code of the city of New
 York, as added by chapter 116 of the laws of 1997, is amended to read as
 follows:
   § 26-403.2 Increase in maximum collectable rent.  Notwithstanding  any
 provision  of  this  law  to  the contrary in the case where all tenants
 occupying the housing  accommodation  on  the  effective  date  of  this
 section  have  vacated  the housing accommodation and a family member of
 such vacating tenant or tenants is entitled to and continues  to  occupy

 S. 185                              3
 
 the  housing  accommodation  subject  to the protections of this law, if
 such accommodation continues to be subject to this law after such family
 member vacates, on the occurrence of such vacancy the maximum  collecta-
 ble  rent  shall  be  increased  by a sum equal to the allowance then in
 effect for vacancy leases for housing accommodations covered by the rent
 stabilization law of nineteen hundred sixty-nine[, including the  amount
 allowed  by  paragraph five-a of subdivision c of section 26-511 of such
 law]. This increase shall be in addition to any other increases provided
 for in this law including an  adjustment  based  upon  a  major  capital
 improvement,  or a substantial increase or decrease in dwelling space or
 a change in the services, furniture, furnishings or  equipment  provided
 in the housing accommodation, pursuant to section 26-405 of this law and
 shall be applicable in like manner to each second subsequent succession.
   § 7. The sixth undesignated paragraph of subdivision 5 of section 1 of
 chapter  21  of  the laws of 1962, constituting the local emergency rent
 control act, as amended by chapter 82 of the laws of 2003, is amended to
 read as follows:
   Notwithstanding any provision of this act to the contrary,  any  local
 law  adopted pursuant to this act shall provide that notwithstanding any
 provision of such local law in the case where all tenants occupying  the
 housing  accommodation  on  the  effective  date  of this paragraph have
 vacated the housing accommodation and a family member of  such  vacating
 tenant  or  tenants  is  entitled to and continues to occupy the housing
 accommodation subject to the protections of such act, if  such  accommo-
 dation  continues  to  be  subject  to such act after such family member
 vacates, on the occurrence of such vacancy the maximum collectable  rent
 shall  be  increased  by a sum equal to the allowance then in effect for
 vacancy leases for housing accommodations covered by the rent stabiliza-
 tion law of nineteen hundred sixty-nine[, including the  amount  allowed
 by paragraph (5-a) of subdivision c of section 26-511 of such law]. This
 increase  shall  be  in  addition to any other increases provided for in
 this act and shall be applicable in like manner to  each  second  subse-
 quent succession.
   § 8. This act shall take effect immediately; provided that:
   (a)  the  amendments to section 26-512 of chapter 4 of title 26 of the
 administrative code of the city of New York 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 under section 26-520 of
 such law; and
   (b) the amendments to section 6 of the emergency tenant protection act
 of nineteen seventy-four made 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; and
   (c) the amendments to section 5 of the emergency housing rent  control
 law  made  by  section five 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; and
   (d) the amendments to section 26-403.2 of the city rent and  rehabili-
 tation  law  made  by section six 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

 S. 185                              4
 
   (e) the amendments to subdivision 5 of section 1 of the local emergen-
 cy  housing  rent  control act, made by section seven of this act, shall
 not affect the effectiveness of such subdivision and shall cease  to  be
 in  full force and effect pursuant to subdivision 3 of section 1 of such
 act.

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Senate Bill S185

Sponsored By

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

co-Sponsors

2019-S185 (ACTIVE) - Details

2019-S185 (ACTIVE) - Summary

2019-S185 (ACTIVE) - Sponsor Memo

2019-S185 (ACTIVE) - Bill Text download pdf

Comments

Senate Bill S185

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Sponsored By

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

co-Sponsors

2019-S185 (ACTIVE) - Details

2019-S185 (ACTIVE) - Summary

2019-S185 (ACTIVE) - Sponsor Memo

2019-S185 (ACTIVE) - Bill Text download pdf

Comments