NY State Senate Bill 2019-S299

Senate Bill S299

2019-2020 Legislative Session

Relates to the establishment of rent adjustments and prohibition of fuel pass-along charges; repealer

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Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Introduced
- In Committee Assembly
- In Committee Senate
- On Floor Calendar Assembly
- On Floor Calendar Senate
- Passed Assembly
- Passed Senate
Delivered to Governor
Signed By Governor

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Actions

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	Assembly Actions - Lowercase Senate Actions - UPPERCASE
Jan 08, 2020	referred to housing, construction and community development
Feb 21, 2019	print number 299a
Feb 21, 2019	amend (t) and recommit to housing, construction and community development
Jan 09, 2019	referred to housing, construction and community development

Bill Amendments

Original

A (Active)

co-Sponsors

2019-S299 - Details

Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Amd §26-405, rpld sub g ¶1 sub¶¶ (l) & (n), NYC Ad Cd; amd §4, Emerg Hous Rent Cont L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S5040
2017-2018: S6925

2019-S299 - Summary

Relates to the establishment of rent adjustments and prohibition of fuel pass-along charges.

2019-S299 - Sponsor Memo

                                
 
BILL NUMBER: S299

SPONSOR: BENJAMIN
 
TITLE OF BILL:  An act to amend the administrative code of the city of
New York and the emergency housing rent control law, in relation to the
establishment of rent adjustments; and repealing certain provisions of
the administrative code of the city of New York relating thereto

 
PURPOSE:

This bill would create parity between the maximum rent increases eligi-
ble for rent controlled and rent stabilized apartments. It would require
the Department of Housing and Community Renewal to cap the percentage
rent increase available to owners of rent controlled apartments at a
rate on par with recent Rent Guidelines Board adjustments for 1-year
renewal leases.

 
SUMMARY OF PROVISIONS:

Section one amends subdivision (a) of paragraph 5 of section 26-405 of
the administrative code of the city of New York.

Section two repeals subparagraphs (1) and (n) of paragraph 1 of subdivi-
sion g of section 26-405 of the administrative cede of the city of New
York.

Section three amends section 4 of chapter 274 of the laws of.1946 by
adding a new subdivision 9.

Section four sets forth the effective date.

 
EXISTING LAW:

Currently, Department of Housing and Community Renewal regulated rents
are set variously, and this bill links these rents to those controlled
by the Rent Guidelines Board.

 
JUSTIFICATION:

Many rent controlled tenants are currently subject to steep rent
increases calculated using an abstruse formula. Rent increases in rent
stabilized apartments are set by the Rent Guidelines Boards (one in New
York City and one each in Nassau, Westchester and Rockland counties)
using a formula that takes into account a wide range of economic
factors. Certain owners of rent-controlled apartments are entitled to
automatic raise rents up to 7.5 percent each year, rates higher than
average increases for rent stabilized apartments.

This bill would create parity between the two systems by capping rent
controlled rent increases at a level equal to the average of the previ-
ous 5 RGB rent increases for 1-year rent stabilized renewal leases. This
will prevent rent controlled apartment rents from inflating farther
beyond their rent stabilized counterparts, while maintaining the system
of rent control increases currently in place and the protections it
affords.

 
LEGISLATIVE HISTORY:

2017-18: 5.6925 / A. 268
2015-16: S.5040/A.398
2013-14: A.7881

 
FISCAL IMPLICATIONS:

Undetermined

 
LOCAL FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This bill shall take effect on the one hundred and eightieth day after
it shall have become a law; provided that the amendments to section
26-405 of the city rent and rehabilitation law made by sections one and
two of this act shall remain in full force and effect only as long as
the public emergency requiring the regulation and control of residential
rents and evictions continues, as provided in subdivision 3 of section 1
of the local emergency housing rent control act; and provided that the
amendments to section 4 of the emergency housing rent control law made
by section four of this act shall expire on the same date as such law
expires and shall not affect the expiration of such law as provided in
subdivision 2 of section 1 of chapter 274 of the laws of 1946.

2019-S299 - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    299
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced  by Sens. BENJAMIN, HOYLMAN, KRUEGER, SEPULVEDA -- 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  housing  rent control law, in relation to the establishment
   of rent adjustments; and repealing certain provisions of the  adminis-
   trative code of the city of New York relating thereto
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Paragraph 5 of subdivision  a  of  section  26-405  of  the
 administrative  code  of  the  city  of  New  York is amended to read as
 follows:
   (5) Where a maximum rent established pursuant to this  chapter  on  or
 after  January  first,  nineteen hundred seventy-two, is higher than the
 previously existing maximum  rent,  the  landlord  may  not  collect  AN
 INCREASE  FROM A TENANT IN OCCUPANCY IN ANY ONE YEAR PERIOD OF more than
 THE LESSER OF EITHER seven  and  one-half  percentum  [increase  from  a
 tenant in occupancy on such date in any one year period, provided howev-
 er,  that  where]  OR  AN AVERAGE OF THE PREVIOUS FIVE YEARS OF ONE-YEAR
 RENT INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED BY THE  RENT
 GUIDELINES  BOARD,  PURSUANT  TO SUBDIVISION B OF SECTION 26-510 OF THIS
 TITLE. IF the period for which the rent is established exceeds one year,
 regardless of how the collection thereof is averaged over  such  period,
 the  rent  the  landlord  shall  be entitled to receive during the first
 twelve months shall not be increased by more than THE LESSER  OF  EITHER
 seven and one-half percentum OR AN AVERAGE OF THE PREVIOUS FIVE YEARS OF
 ONE-YEAR  RENT INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED BY
 THE RENT GUIDELINES BOARD, PURSUANT TO SUBDIVISION B OF  SECTION  26-510
 OF THIS TITLE, over the previous rent [and]. ANY additional annual rents
 shall not exceed THE LESSER OF EITHER seven and one-half percentum OR AN
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD00516-01-9

 S. 299                              2
 
 AVERAGE  OF  THE  PREVIOUS FIVE YEARS OF ONE-YEAR RENT INCREASES ON RENT
 STABILIZED APARTMENTS AS  ESTABLISHED  BY  THE  RENT  GUIDELINES  BOARD,
 PURSUANT  TO  SUBDIVISION B OF SECTION 26-510 OF THIS TITLE, of the rent
 paid  during  the  previous  year.  Notwithstanding any of the foregoing
 limitations in this paragraph five, maximum rent shall be  increased  if
 ordered by the agency pursuant to subparagraphs (d), (e), (f), (g), (h),
 (i),  (k),  [(l),]  OR (m) [or (n)] of paragraph one of subdivision g of
 this section. [Commencing January first, nineteen hundred  eighty,  rent
 adjustments pursuant to subparagraph (n) of paragraph one of subdivision
 g of this section shall be excluded from the maximum rent when computing
 the  seven  and one-half percentum increase authorized by this paragraph
 five.] Where a housing accommodation is vacant on January  first,  nine-
 teen  hundred  seventy-two,  or  becomes  vacant thereafter by voluntary
 surrender of possession by the tenants, the maximum rent established for
 such accommodations may be collected.
   § 2. Subparagraphs (l) and (n) of paragraph  1  of  subdivision  g  of
 section  26-405  of  the administrative code of the city of New York are
 REPEALED.
   § 3. Section 4 of chapter 274 of the laws of  1946,  constituting  the
 emergency  housing rent control law, is amended by adding a new subdivi-
 sion 9 to read as follows:
   9. NO ANNUAL RENT INCREASE  AUTHORIZED  PURSUANT  TO  THIS  ACT  SHALL
 EXCEED  THE AVERAGE OF THE PREVIOUS FIVE ANNUAL RENTAL INCREASES AUTHOR-
 IZED BY A RENT GUIDELINES BOARD FOR A RENT STABILIZED UNIT  PURSUANT  TO
 SECTION  4  OF  THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN SEVENTY-
 FOUR.
   § 4. This act shall take effect on the one hundred eightieth day after
 it shall have become a law; provided  that  the  amendments  to  section
 26-405  of  the  city rent and rehabilitation law made by section one of
 this act shall remain in full force and  effect  only  as  long  as  the
 public  emergency  requiring  the  regulation and control of residential
 rents and evictions continues, as provided in subdivision 3 of section 1
 of the local emergency housing rent control act; and provided  that  the
 amendments  to  section 4 of the emergency housing rent control law made
 by section three of this act shall expire on the same date as  such  law
 expires  and  shall not affect the expiration of such law as provided in
 subdivision 2 of section 1 of chapter 274 of the laws of 1946.

co-Sponsors

View additional co-sponsors

2019-S299A (ACTIVE) - Details

Current Committee:: Senate Housing, Construction And Community Development
Law Section:: New York City Administrative Code
Laws Affected:: Amd §26-405, rpld sub g ¶1 sub¶¶ (l) & (n), NYC Ad Cd; amd §4, Emerg Hous Rent Cont L
Versions Introduced in Other Legislative Sessions:: 2015-2016: S5040
2017-2018: S6925

2019-S299A (ACTIVE) - Summary

Relates to the establishment of rent adjustments and prohibition of fuel pass-along charges.

2019-S299A (ACTIVE) - Sponsor Memo

                                
 
BILL NUMBER: S299A

SPONSOR: BENJAMIN
 
TITLE OF BILL:

An act to amend the administrative code of the city of New York and the
emergency housing rent control law, in relation to the establishment of
rent adjustments and prohibition of fuel pass-along charges; and repeal-
ing certain provisions of the administrative code of the city of New
York relating thereto

 
PURPOSE:

This bill would create parity between the maximum rent increases eligi-
ble for rent controlled and rent stabilized apartments. It would require
the Department of Housing and Community Renewal to cap the percentage
rent increase available to owners of rent controlled apartments at a
rate on par with recent Rent Guidelines Board adjustments for 1-year
renewal leases.

 
SUMMARY OF PROVISIONS:

Section one amends subdivision (a) of paragraph 5 of section 26-405 of
the administrative code of the city of New York.

Section two repeals subparagraphs (1) and (n) of paragraph 1 of subdivi-
sion g of section 26-405 of the administrative cede of the city of New
York.

Section three amends section 4 of chapter 274 of the laws of.1946 by
adding a new subdivision 9.

Section four sets forth the effective date.

 
EXISTING LAW:

Currently, Department of Housing and Community Renewal regulated rents
are set variously, and this bill links these rents to those controlled
by the Rent Guidelines Board.

 
JUSTIFICATION:

Many rent controlled tenants are currently subject to steep rent
increases calculated using an abstruse formula. Rent increases in rent
stabilized apartments are set by the Rent Guidelines Boards (one in New
York City and one each in Nassau, Westchester and Rockland counties)
using a formula that takes into account a wide range of economic
factors. Certain owners of rent-controlled apartments are entitled to
automatic raise rents up to 7.5 percent each year, rates higher than
average increases for rent stabilized apartments. This bill would create
parity between the two systems by capping rent controlled rent increases
at a level equal to the average of the previous 5 ROB rent increases for
1-year rent stabilized renewal leases. This will prevent rent controlled
apartment rents from inflating farther beyond their rent stabilized
counterparts, while maintaining the system of rent control increases
currently in place and the protections it affords.

 
LEGISLATIVE HISTORY:

2017-18: S.6925/A.268
2015-16: S.5040/A.398
2013-14: A.7881

 
FISCAL IMPLICATIONS:

Undetermined

 
LOCAL FISCAL IMPLICATIONS:

None

 
EFFECTIVE DATE:
This bill shall take effect on the one hundred and eightieth day after
it shall have become a law; provided that the amendments to section
26-405 of the city rent and rehabilitation law made by sections one and
two of this act shall remain in full force and effect only as long as
the public emergency requiring the regulation and control of residential
rents and evictions continues, as provided in subdivision 3 of section 1
of the local emergency housing rent control act; and provided that the
amendments to section 4 of the emergency housing rent control law made
by section four of this act shall expire on the same date as such law
expires and shall not affect the expiration of such law as provided in
subdivision 2 of section 1 of chapter 274 of the laws of 1946.

2019-S299A (ACTIVE) - Bill Text download pdf

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  299--A
 
                        2019-2020 Regular Sessions
 
                             I N  S E N A T E
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced by Sens. BENJAMIN, HOYLMAN, KRUEGER, MYRIE, RIVERA, SEPULVEDA
   -- read twice and ordered printed, and when printed to be committed to
   the  Committee  on  Housing, Construction and Community Development --
   committee discharged, bill amended, ordered reprinted as  amended  and
   recommitted to said committee
 
 AN  ACT to amend the administrative code of the city of New York and the
   emergency housing rent control law, in relation to  the  establishment
   of  rent  adjustments  and prohibition of fuel pass-along charges; and
   repealing certain provisions of the administrative code of the city of
   New York relating thereto
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  5  of  subdivision  a of section 26-405 of the
 administrative code of the city of  New  York  is  amended  to  read  as
 follows:
   (5)  Where  a  maximum rent established pursuant to this chapter on or
 after January first, nineteen hundred seventy-two, is  higher  than  the
 previously  existing  maximum  rent,  the  landlord  may  not collect AN
 INCREASE FROM A TENANT IN OCCUPANCY IN ANY ONE YEAR PERIOD OF more  than
 THE  LESSER  OF  EITHER  seven  and  one-half percentum [increase from a
 tenant in occupancy on such date in any one year period, provided howev-
 er, that where] OR AN AVERAGE OF THE PREVIOUS  FIVE  YEARS  OF  ONE-YEAR
 RENT  INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED BY THE RENT
 GUIDELINES BOARD, PURSUANT TO SUBDIVISION B OF SECTION  26-510  OF  THIS
 TITLE. IF the period for which the rent is established exceeds one year,
 regardless  of  how the collection thereof is averaged over such period,
 the rent the landlord shall be entitled  to  receive  during  the  first
 twelve  months  shall not be increased by more than THE LESSER OF EITHER
 seven and one-half percentum OR AN AVERAGE OF THE PREVIOUS FIVE YEARS OF
 ONE-YEAR RENT INCREASES ON RENT STABILIZED APARTMENTS AS ESTABLISHED  BY
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets

                       [ ] is old law to be omitted.
                                                            LBD00516-03-9

 S. 299--A                           2
 
 THE  RENT  GUIDELINES BOARD, PURSUANT TO SUBDIVISION B OF SECTION 26-510
 OF THIS TITLE, over the previous rent [and]. ANY additional annual rents
 shall not exceed THE LESSER OF EITHER seven and one-half percentum OR AN
 AVERAGE  OF  THE  PREVIOUS FIVE YEARS OF ONE-YEAR RENT INCREASES ON RENT
 STABILIZED APARTMENTS AS  ESTABLISHED  BY  THE  RENT  GUIDELINES  BOARD,
 PURSUANT  TO  SUBDIVISION B OF SECTION 26-510 OF THIS TITLE, of the rent
 paid during the previous year.  Notwithstanding  any  of  the  foregoing
 limitations  in  this paragraph five, maximum rent shall be increased if
 ordered by the agency pursuant to subparagraphs (d), (e), (f), (g), (h),
 (i), (k), [(l),] OR (m) [or (n)] of paragraph one of  subdivision  g  of
 this  section.  [Commencing January first, nineteen hundred eighty, rent
 adjustments pursuant to subparagraph (n) of paragraph one of subdivision
 g of this section shall be excluded from the maximum rent when computing
 the seven and one-half percentum increase authorized by  this  paragraph
 five.]  Where  a housing accommodation is vacant on January first, nine-
 teen hundred seventy-two, or  becomes  vacant  thereafter  by  voluntary
 surrender of possession by the tenants, the maximum rent established for
 such accommodations may be collected.
   §  2.  Subparagraphs  (l)  and  (n) of paragraph 1 of subdivision g of
 section 26-405 of the administrative code of the city of  New  York  are
 REPEALED.
   §  3.  Section  4 of chapter 274 of the laws of 1946, constituting the
 emergency housing rent control law, is amended by adding a new  subdivi-
 sion 9 to read as follows:
   9.  NO  ANNUAL  RENT  INCREASE  AUTHORIZED  PURSUANT TO THIS ACT SHALL
 EXCEED THE AVERAGE OF THE PREVIOUS FIVE ANNUAL RENTAL INCREASES  AUTHOR-
 IZED  BY  A RENT GUIDELINES BOARD FOR A RENT STABILIZED UNIT PURSUANT TO
 SECTION 4 OF THE EMERGENCY TENANT PROTECTION ACT  OF  NINETEEN  SEVENTY-
 FOUR.
   §  4.    The administrative code of the city of New York is amended by
 adding a new section 26-407.1 to read as follows:
   § 26-407.1 FUEL PASS-ALONG TO TENANTS UNDER RENT  CONTROL  PROHIBITED.
 NOTWITHSTANDING ANY OTHER PROVISION OF LAW, RULE, REGULATION, CHARTER OR
 ADMINISTRATIVE CODE, TENANTS OF HOUSING ACCOMMODATIONS WHICH ARE SUBJECT
 TO  RENT  CONTROL  UNDER  THIS  CHAPTER  SHALL  NOT BE SUBJECT TO A FUEL
 ADJUSTMENT OR PASS-ALONG INCREASE IN RENT AND ANY SUCH INCREASE TO  SUCH
 TENANT SHALL BE NULL AND VOID.
   § 5. This act shall take effect on the one hundred eightieth day after
 it  shall  have  become  a  law; provided that the amendments to section
 26-405 of the city rent and rehabilitation law made by  section  one  of
 this  act  shall  remain  in  full  force and effect only as long as the
 public emergency requiring the regulation  and  control  of  residential
 rents and evictions continues, as provided in subdivision 3 of section 1
 of  the  local emergency housing rent control act; and provided that the
 amendments to section 4 of the emergency housing rent control  law  made
 by  section  three of this act shall expire on the same date as such law
 expires and shall not affect the expiration of such law as  provided  in
 subdivision  2  of  section  1  of  chapter 274 of the laws of 1946; and
 provided further that the addition of section 26-407.1 to the city  rent
 and  rehabilitation law made by section four of this act shall remain in
 full force and effect only as long as the public emergency requiring the
 regulation and control of residential rents and evictions continues,  as
 provided  in  subdivision  3 of section 1 of the local emergency housing
 rent control act.

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Senate Bill S299

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Sponsored By

Archive: Last Bill Status - In Senate Committee Housing, Construction And Community Development Committee

Bill Amendments

co-Sponsors

2019-S299 - Details

2019-S299 - Summary

2019-S299 - Sponsor Memo

2019-S299 - Bill Text download pdf

co-Sponsors

2019-S299A (ACTIVE) - Details

2019-S299A (ACTIVE) - Summary

2019-S299A (ACTIVE) - Sponsor Memo

2019-S299A (ACTIVE) - Bill Text download pdf

Comments