BILL NUMBER:S4146                Revised 03/04/15

TITLE OF BILL:

An act to amend the administrative code of the city of New York, in
relation to establishing a property tax credit for class 2 cooperative
and condominium buildings that are designated safe after a facade
safety program inspection

PURPOSE OR GENERAL IDEA OF BILL:

To offer a property tax credit for class 2 co-op and condo buildings
that are designated safe after a facade inspection safety program
inspection.

SUMMARY OF SPECIFIC PROVISIONS:

Section 1. Adds a new section 11-242.1 to the administrative code of
the city of New York to provide for an exemption for buildings
designated safe by the facade inspection safety program (FISP).

Subdivision a provides that class two cooperative and/or condominium
buildings that have been designated safe after a FISP are eligible for
the exemption.

Subdivision b provides that the taxes of the eligible property shall
              

be abated and reduced by an amount equal to the costs of the FISP
inspection.  Subdivision c provides that the abatements shall be
reevaluated every five years after such inspection is performed,
pursuant to Title 28, Article 302, Chapter 3 of the administrative
code.

Section 2. Provides the effective date.

JUSTIFICATION:

Local Law 11 of 1998 requires all buildings in New York City that are
greater than six stories to have a Qualified Exterior Wall Inspector.
("QEWI") inspect all exterior walls and appurtences of the building.
This inspection process, also known as the Facade Inspection and
Safety Program ("FISP"), covers all of the exterior facades, including
balconies, fire escapes, parapets, window casings, and railings of a
building, and must be conducted every five years, regardless of the
building's diligence in maintaining the exterior.

The results of a FISP inspection are deemed either: 1) Safe - which
indicates that the facade has no problems and is in good condition; 2)
Safe With a Repair and Maintenance Program - which indicates that the
facade is safe, but requires repairs or maintenance; or 3) Unsafe
which indicates that the facade has problems or defects that could
pose a threat to public safety.

Because the inspections require the construction of scaffolding or
observation platform, the services of QEWI's who must be licensed
architects or engineers, and the drafting of a detailed technical
report, the inspections can cost thousands of dollars or more. While
the inspections are vital to the safety of residents and neighbors,


the costs of these inspections in class 2 cooperative and condominium
buildings are generally passed on directly to the homeowners through
increased maintenance fees or special assessments. These homeowners,
whose facades are deemed Safe after the FISP inspection, should not
have to bear the burden of the costly inspection process. As such, a
tax abatement program to offset the costs of these inspections would
be beneficial to the co-ops and condos subject to inspections under
the program.

PRIOR LEGISLATIVE HISTORY:

None.

FISCAL IMPLICATIONS:

EFFECTIVE DATE:

This act shall take effect immediately.