STATE OF NEW YORK ________________________________________________________________________ 4956 2019-2020 Regular Sessions IN SENATE April 2, 2019 ___________ Introduced by Sen. BENJAMIN -- read twice and ordered printed, and when printed to be committed to the Committee on Corporations, Authorities and Commissions AN ACT to amend the cooperative corporations law and the not-for-profit corporation law, in relation to requiring the board of directors of residential cooperative corporations and not-for-profit corporations to provide tenants with changes to the by-laws in writing within ten days of adoption; in relation to notification to tenants of changes affecting occupancy or the rules of the building The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 16 of the cooperative corporations law is amended 2 to read as follows: 3 § 16. By-laws. 1. The by-laws may provide for their amendment by the 4 board of directors; but any amendment adopted by the board shall be 5 reported to the annual meeting of the corporation and, if not affirma- 6 tively approved thereat, shall cease to be in effect. By-laws may be 7 adopted, repealed or amended on the affirmative vote of two-thirds of 8 the members, stockholders or delegates voting thereon at a meeting held 9 after due written notice setting forth the proposed action and the 10 purpose of the meeting. 11 2. In the case of residential cooperative corporations, changes 12 including the adoption, amendment or repeal of the by-laws by the board 13 of directors shall be provided to the members, stockholders, and deleg- 14 ates of such corporation in writing, by physical or electronic means, 15 within ten days of such adoption. 16 § 2. The cooperative corporations law is amended by adding a new 17 section 78 to read as follows: 18 § 78. Notification to residents. Upon the adoption, amendment or 19 repeal of by-laws by the board of directors pursuant to subdivision two 20 of section sixteen of this chapter, where such change would have a EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD01517-01-9S. 4956 2 1 direct effect on the resident's occupancy or the rules of the building, 2 the board of directors shall post the adopted, amended, or repealed 3 by-laws conspicuously to ensure tenants will be aware of such adoption. 4 § 3. Section 602 of the not-for-profit corporation law is amended by 5 adding a new paragraph (g) to read as follows: 6 (g) In the case of residential not-for-profit corporations, changes 7 including the adoption, amendment or repeal of the by-laws by the board 8 of directors shall be provided to the members, stockholders, and deleg- 9 ates of such corporation in writing, by physical or electronic means, 10 within ten days of such adoption. 11 § 4. The not-for-profit corporation law is amended by adding a new 12 section 624 to read as follows: 13 § 624. Notification to tenants. 14 Upon the adoption, amendment or repeal of the by-laws by the board of 15 directors pursuant to paragraph (g) of section 602 (By-laws), where such 16 change would have a direct effect on the resident's occupancy or the 17 rules of the building, the board of directors shall post the adopted, 18 amended, or repealed by-laws conspicuously to ensure tenants will be 19 aware of such adoption. 20 § 5. This act shall take effect on the sixtieth day after it shall 21 have become a law.