Bill Text: NY S01282 | 2011-2012 | General Assembly | Introduced


Bill Title: Provides that no landlord shall deny access to a licensed professional engineer or licensed registered architect hired by any tenant or tenant association representing tenants of a multiple dwelling of six units or more for the purpose of conducting an inspection of a major capital improvement for which an application for a maximum rent adjustment has been filed by the landlord; provides that such inspection shall be conducted after notice to the landlord and during normal business hours; provides for the filing of such inspection report by such tenants with the New York city rent agency for consideration in such application's determination.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2012-01-11 - PRINT NUMBER 1282A [S01282 Detail]

Download: New_York-2011-S01282-Introduced.html
                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         1282
                              2011-2012 Regular Sessions
                                   I N  S E N A T E
                                    January 6, 2011
                                      ___________
       Introduced  by  Sen.  DUANE  -- read twice and ordered printed, and when
         printed to be committed to the Committee on Housing, Construction  and
         Community Development
       AN  ACT to amend the administrative code of the city of New York and the
         emergency tenant protection act of nineteen seventy-four, in  relation
         to  inspection  of major capital improvements for which rent increases
         are requested and in relation to extending the provisions of the  rent
         stabilization law
         THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section 1. Subparagraph (g) of paragraph 1 of subdivision g of section
    2  26-405 of the administrative code of the city of New York, as amended by
    3  chapter 749 of the laws of 1990, is amended to read as follows:
    4    (g) There has been since July first, nineteen hundred seventy, a major
    5  capital improvement required for the operation, preservation or  mainte-
    6  nance  of  the  structure.  An  adjustment under this subparagraph [(g)]
    7  shall be in an amount sufficient to amortize the cost  of  the  improve-
    8  ments  pursuant to this subparagraph [(g)] over a seven-year period.  NO
    9  LANDLORD SHALL DENY ACCESS TO A PROFESSIONAL ENGINEER LICENSED TO  PRAC-
   10  TICE  IN  THE  STATE  OF  NEW YORK OR A REGISTERED ARCHITECT LICENSED TO
   11  PRACTICE IN THE STATE OF NEW YORK HIRED BY ANY TENANT, TENANTS OR TENANT
   12  ASSOCIATION REPRESENTING TENANTS OF A MULTIPLE DWELLING OF SIX UNITS  OR
   13  MORE  FOR  THE  PURPOSE  OF  CONDUCTING AN INSPECTION OF A MAJOR CAPITAL
   14  IMPROVEMENT FOR WHICH AN APPLICATION FOR ADJUSTMENT OF MAXIMUM RENT  HAS
   15  BEEN FILED. SUCH INSPECTION SHALL BE CONDUCTED AFTER NOTICE TO THE LAND-
   16  LORD  AND  DURING NORMAL BUSINESS HOURS. SUCH TENANT MAY FILE THE REPORT
   17  OF THE INSPECTION WITH THE CITY RENT AGENCY  FOR  CONSIDERATION  IN  THE
   18  DETERMINATION OF SUCH APPLICATION; or
   19    S 2. Paragraph 6 of subdivision c of section 26-511 of the administra-
   20  tive code of the city of New York, as amended by chapter 116 of the laws
   21  of 1997, is amended to read as follows:
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD01126-01-1
       S. 1282                             2
    1    (6)  provides  criteria whereby the commissioner may act upon applica-
    2  tions by owners for increases in  excess  of  the  level  of  fair  rent
    3  increase  established under this law provided, however, that such crite-
    4  ria shall provide (a) as to hardship applications, for  a  finding  that
    5  the level of fair rent increase is not sufficient to enable the owner to
    6  maintain  approximately  the same average annual net income (which shall
    7  be computed without regard to debt service, financing costs  or  manage-
    8  ment  fees)  for the three year period ending on or within six months of
    9  the date of an application pursuant to such criteria  as  compared  with
   10  annual  net income, which prevailed on the average over the period nine-
   11  teen hundred sixty-eight through nineteen hundred seventy,  or  for  the
   12  first three years of operation if the building was completed since nine-
   13  teen  hundred  sixty-eight  or  for the first three fiscal years after a
   14  transfer of title to a new owner provided the new owner can establish to
   15  the satisfaction of the commissioner that he or she  acquired  title  to
   16  the  building as a result of a bona fide sale of the entire building and
   17  that the new owner is unable to obtain requisite records for the  fiscal
   18  years  nineteen  hundred  sixty-eight  through  nineteen hundred seventy
   19  despite diligent efforts to obtain same from predecessors in  title  and
   20  further  provided that the new owner can provide financial data covering
   21  a minimum of six years under his or  her  continuous  and  uninterrupted
   22  operation  of  the building to meet the three year to three year compar-
   23  ative test periods herein provided; and (b) as  to  completed  building-
   24  wide  major  capital  improvements, for a finding that such improvements
   25  are deemed depreciable under the Internal Revenue Code and that the cost
   26  is to be amortized over a seven-year period, based  upon  cash  purchase
   27  price  exclusive  of interest or service charges. NO LANDLORD SHALL DENY
   28  ACCESS TO A PROFESSIONAL ENGINEER LICENSED TO PRACTICE IN THE  STATE  OF
   29  NEW  YORK OR A REGISTERED ARCHITECT LICENSED TO PRACTICE IN THE STATE OF
   30  NEW YORK HIRED BY ANY TENANT, TENANTS OR TENANT ASSOCIATION REPRESENTING
   31  TENANTS OF A MULTIPLE DWELLING OF SIX UNITS OR MORE FOR THE  PURPOSE  OF
   32  CONDUCTING  AN  INSPECTION  OF  A MAJOR CAPITAL IMPROVEMENT FOR WHICH AN
   33  APPLICATION  FOR  ADJUSTMENT  OF  MAXIMUM  RENT  HAS  BEEN  FILED.  SUCH
   34  INSPECTION  SHALL  BE  CONDUCTED AFTER NOTICE TO THE LANDLORD AND DURING
   35  NORMAL BUSINESS HOURS. SUCH TENANT MAY FILE THE REPORT OF THE INSPECTION
   36  WITH THE CITY RENT AGENCY FOR CONSIDERATION IN THE DETERMINATION OF SUCH
   37  APPLICATION. Notwithstanding anything to the contrary contained  herein,
   38  no  hardship  increase  granted  pursuant  to this paragraph shall, when
   39  added to the annual gross rents,  as  determined  by  the  commissioner,
   40  exceed  the sum of, (i) the annual operating expenses, (ii) an allowance
   41  for management services as determined by the commissioner, (iii)  actual
   42  annual  mortgage debt service (interest and amortization) on its indebt-
   43  edness to a lending institution, an insurance company, a retirement fund
   44  or welfare fund which is operated under the supervision of  the  banking
   45  or  insurance  laws  of  the state of New York or the United States, and
   46  (iv) eight and one-half percent of that portion of the fair market value
   47  of the property which exceeds the unpaid principal amount of  the  mort-
   48  gage  indebtedness  referred to in subparagraph (iii) of this paragraph.
   49  Fair market value for the purposes of this paragraph shall be six  times
   50  the  annual gross rent. The collection of any increase in the stabilized
   51  rent for any apartment pursuant to this paragraph shall not  exceed  six
   52  percent  in  any  year from the effective date of the order granting the
   53  increase over the rent set forth in the schedule of  gross  rents,  with
   54  collectability  of any dollar excess above said sum to be spread forward
   55  in similar increments and added to the stabilized rent as established or
   56  set in future years;
       S. 1282                             3
    1    S 3. Paragraph 3 of subdivision d of section 6 of section 4 of chapter
    2  576 of the laws of 1974, constituting the  emergency  tenant  protection
    3  act  of  nineteen seventy-four, as amended by chapter 749 of the laws of
    4  1990, is amended to read as follows:
    5     (3) there has been since January first, nineteen hundred seventy-four
    6  a  major capital improvement required for the operation, preservation or
    7  maintenance of the structure. An adjustment under this  paragraph  shall
    8  be  in  an  amount  sufficient  to amortize the cost of the improvements
    9  pursuant to this paragraph over a seven-year period.  NO LANDLORD  SHALL
   10  DENY ACCESS TO A PROFESSIONAL ENGINEER LICENSED TO PRACTICE IN THE STATE
   11  OF  NEW YORK OR A REGISTERED ARCHITECT LICENSED TO PRACTICE IN THE STATE
   12  OF NEW YORK HIRED BY ANY TENANT, TENANTS OR TENANT  ASSOCIATION  REPRES-
   13  ENTING  TENANTS  OF  A  MULTIPLE  DWELLING  OF SIX UNITS OR MORE FOR THE
   14  PURPOSE OF CONDUCTING AN INSPECTION OF A MAJOR CAPITAL  IMPROVEMENT  FOR
   15  WHICH AN APPLICATION FOR ADJUSTMENT OF MAXIMUM RENT HAS BEEN FILED. SUCH
   16  INSPECTION  SHALL  BE  CONDUCTED AFTER NOTICE TO THE LANDLORD AND DURING
   17  NORMAL BUSINESS HOURS. SUCH TENANT MAY FILE THE REPORT OF THE INSPECTION
   18  WITH THE CITY RENT AGENCY FOR CONSIDERATION IN THE DETERMINATION OF SUCH
   19  APPLICATION, or
   20    S 4. Section 26-520 of the administrative code  of  the  city  of  New
   21  York,  as amended by local law number 23 of the city of New York for the
   22  year 2009, is amended to read as follows:
   23    S 26-520 Expiration date. This chapter shall expire  on  April  first,
   24  two  thousand  [twelve] FOURTEEN unless rent control shall sooner termi-
   25  nate as provided in subdivision three of section one of the local  emer-
   26  gency housing rent control law.
   27    S 5. This act shall take effect on the one hundred twentieth day after
   28  it shall have become a law, except that any rules and regulations neces-
   29  sary  for  the  timely  implementation of this act on its effective date
   30  shall be promulgated on or before such date; provided that the amendment
   31  to section 26-405 of the  city  rent  and  rehabilitation  law  made  by
   32  section  one  of  this act shall remain in full force and effect only so
   33  long as the public emergency requiring the  regulation  and  control  of
   34  residential  rents and evictions continues, as provided in subdivision 3
   35  of section 1 of  the  local  emergency  housing  rent  control  act  and
   36  provided  further  that  the  amendment  to  section  26-511 of the rent
   37  stabilization law of nineteen hundred sixty-nine made by section two  of
   38  this act shall expire on the same date as such law expires and shall not
   39  affect  the  expiration  of such law as provided under section 26-520 of
   40  such law and provided further that the amendment to  section  6  of  the
   41  emergency tenant protection act of nineteen seventy-four made by section
   42  three  of this act shall expire on the same date as such act expires and
   43  shall not affect the expiration of such act as provided in section 17 of
   44  chapter 576 of the laws of 1974, as amended.
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