Bill Text: NY S05128 | 2019-2020 | General Assembly | Introduced

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Bill Title: Relates to waivers of rent adjustments attributable to major capital improvements.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Introduced - Dead) 2020-02-12 - RECOMMIT, ENACTING CLAUSE STRICKEN [S05128 Detail]

Download: New_York-2019-S05128-Introduced.html

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                STATE OF NEW YORK
        ________________________________________________________________________
                                          5128
                               2019-2020 Regular Sessions
                    IN SENATE
                                     April 10, 2019
                                       ___________
        Introduced  by Sen. KAVANAGH -- 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, in
          relation to waivers of rent adjustments
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section 1. Subdivision dd of section 11-243 of the administrative code
     2  of  the city of New York, as added by local law number 41 of the city of
     3  New York for the year 1988, is amended to read as follows:
     4    dd. [Partial waiver] Waiver of rent adjustments attributable to  major
     5  capital  improvements.  (1)  The provisions of this subdivision apply to
     6  and are additional requirements for claiming or receiving any tax abate-
     7  ment under this section, except as provided in paragraphs three and four
     8  of this subdivision.
     9    (2) The owner of the property shall file with the department of  hous-
    10  ing  preservation and development, on the date any application for bene-
    11  fits is made, a declaration stating that in  consideration  of  any  tax
    12  abatement  benefits  which  may be received pursuant to such application
    13  for alterations or improvements constituting a  major  capital  improve-
    14  ment,  such  owner  agrees  to waive the collection of a [portion of the
    15  total annual amount of any] rent adjustment attributable to  such  major
    16  capital  improvement which may be granted by the New York state division
    17  of housing and community renewal pursuant to the rent stabilization code
    18  equal to [one-half of] the total annual  amount  of  the  tax  abatement
    19  benefits  which  the property receives pursuant to such application with
    20  respect to such alterations or improvements. Such waiver shall  commence
    21  on  the  date  of the first collection of such rent adjustment, provided
    22  that, in the event that such tax abatement benefits were received  prior
    23  to  such  first  collection,  the  amount  waived  shall be increased to
    24  account for such tax abatement benefits  so  received.    Following  the
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD09275-01-9
        S. 5128                             2
     1  expiration of a tax abatement for alterations or improvements constitut-
     2  ing  a  major  capital  improvement for which a rent adjustment has been
     3  granted by such division, the owner may collect the full amount of annu-
     4  al  rent  permitted  pursuant  to  such  rent adjustment. A copy of such
     5  declaration shall be filed simultaneously with the New York state  divi-
     6  sion of housing and community renewal. Such declaration shall be binding
     7  upon such owner, and his or her successors and assigns.
     8    (3)  The provisions of this subdivision shall not apply to substantial
     9  rehabilitation of buildings vacant when alterations or improvements  are
    10  commenced  or to buildings rehabilitated with the substantial assistance
    11  of city, state or federal subsidies.
    12    (4) The provisions of this subdivision shall apply only to alterations
    13  and improvements commenced after its effective date.
    14    § 2. This act shall take effect immediately.