BILL NUMBER: S8638

SPONSOR: KAMINSKY
 
TITLE OF BILL:

An act in relation to defining residential construction as an essential
business

 
SUMMARY OF PROVISIONS:

Section 1. Provides that notwithstanding any other law during the period
of executive order 202 of 2020 essential business would include residen-
tial construction not in excess of three stories, notwithstanding wheth-
er it is defined as affordable.

 
JUSTIFICATION:

Construction was included as an essential business in Executive Order
202.6. Residential home builders thus continued to work on projects.
However, issues were soon reported around high rise construction in New
York City where employees expressed concerns about social distancing and
              

other health issues. Subsequent to those reports, ESD updated their
guidance document to limit residential construction to only affordable
housing or public housing projects. This directive resulted in the shut-
down of numerous residential construction projects throughout the state
negatively impacting building construction loans, mortgage loan commit-
ments, as well as completion and closing dates. Businesses had to
furlough employees and cancel material orders.

As the COVID curve has descended, it provides an opportunity to review
prior decisions to evaluate their consequences. To that end, residential
construction should be considered as essential since the protocols
mandated for residential construction - social distancing, control of
access to the job site, and other hygiene protocols - have been effec-
tive in managing the virus. Plus, since construction has restarted,
there has been no evidence that this type of construction has contrib-
uted to an uptick in issues.

Several adjoining states, Massachusetts and Connecticut operated with
broader definitions of residential construction as essential. These
states did not suffer any adverse impacts as a result. In New York the
fact that affordable residential construction was able to continue
argues for expansion of essential to all residential construction. The
affordable construction was largely centered in high rise residential
construction in New York City with an affordable component. By compar-
ison single-family and low -rise construction covered under this bill
have fewer compliance challenges in implementing distancing and safety
protocols than high rise construction, which has closer quarters for
workers. This bill ensures that during the COVID-19 crisis residential
construction not in excess of three stories will be considered an essen-
tial business.

 
PRIOR LEGISLATIVE HISTORY:

New bill

 
FISCAL IMPLICATIONS:

None
 
EFFECTIVE DATE:
Immediately