S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   8098
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                               June 11, 2021
                                ___________
 
 Introduced  by  M.  of  A.  CYMBROWITZ  -- read once and referred to the
   Committee on Housing
 
 AN ACT to amend the private housing finance law, in relation  to  rental
   assistance and legal regulated rents in affordable housing projects
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. The private housing finance law is amended by adding a  new
 section 610 to read as follows:
   §  610.  RENTAL  ASSISTANCE AND LEGAL REGULATED RENTS. 1. (A) NOTWITH-
 STANDING THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR OR
 THE RENT STABILIZATION LAW OF NINETEEN  HUNDRED  SIXTY-NINE,  ANY  REGU-
 LATION  PROMULGATED  PURSUANT TO SUCH ACT OR LAW, OR ANY OTHER PROVISION
 OF LAW, WHERE A HOUSING ACCOMMODATION IS SUBJECT TO A REGULATORY  AGREE-
 MENT  WITH A STATE OR MUNICIPAL AGENCY OR PUBLIC BENEFIT CORPORATION, OR
 A POLITICAL SUBDIVISION OF THE STATE, AND WHERE  A  FEDERAL,  STATE,  OR
 LOCAL PROGRAM PROVIDES RENTAL ASSISTANCE FOR SUCH HOUSING ACCOMMODATION,
 SUCH  STATE  OR MUNICIPAL AGENCY OR PUBLIC BENEFIT CORPORATION, OR POLI-
 TICAL SUBDIVISION OF THE STATE, MAY ALLOW IN SUCH  REGULATORY  AGREEMENT
 THE OWNER OF SUCH HOUSING ACCOMMODATION TO CHARGE AND COLLECT A RENT FOR
 SUCH  HOUSING ACCOMMODATION THAT (I) DOES NOT EXCEED THE MAXIMUM PAYMENT
 STANDARD OR CONTRACT RENT THAT THE RENTAL ASSISTANCE PROGRAM MAY PROVIDE
 FOR SUCH HOUSING ACCOMMODATION, BUT (II) DOES EXCEED THE LEGAL REGULATED
 RENT FOR THE HOUSING ACCOMMODATION.
   (B) IF ANY SUCH RENTAL ASSISTANCE ENDS UPON THE VACANCY OF THE HOUSING
 ACCOMMODATION, THE OWNER OF SUCH HOUSING ACCOMMODATION SHALL  THEREAFTER
 CHARGE  AND  COLLECT A RENT FOR SUCH HOUSING ACCOMMODATION THAT DOES NOT
 EXCEED THE LESSER OF (I) THE PREVIOUSLY ESTABLISHED LEGAL REGULATED RENT
 FOR SUCH HOUSING ACCOMMODATION, AS ADJUSTED BY THE MOST RECENT  APPLICA-
 BLE GUIDELINES INCREASES APPROVED BY A RENT GUIDELINES BOARD ESTABLISHED
 PURSUANT TO THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR
 AND ANY OTHER INCREASES AUTHORIZED BY LAW, REGARDLESS OF WHEN THE PREVI-
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11815-01-1

 A. 8098                             2
 
 OUSLY  ESTABLISHED  LEGAL  REGULATED RENT WAS LAST CHARGED, AND (II) ANY
 LOWER RENT THAT IS REQUIRED BY SUCH REGULATORY AGREEMENT.
   (C)  IF  ANY  SUCH RENTAL ASSISTANCE ENDS DURING A TENANCY, INCLUDING,
 BUT NOT LIMITED TO, UPON THE RENEWAL OF A LEASE, THE OWNER OF SUCH HOUS-
 ING ACCOMMODATION SHALL THEREAFTER CHARGE AND COLLECT A  RENT  FOR  SUCH
 HOUSING  ACCOMMODATION THAT DOES NOT EXCEED THE LESSER OF (I) THE PREVI-
 OUSLY ESTABLISHED LEGAL REGULATED RENT FOR SUCH  HOUSING  ACCOMMODATION,
 AS  ADJUSTED BY THE MOST RECENT APPLICABLE GUIDELINES INCREASES APPROVED
 BY A RENT GUIDELINES BOARD ESTABLISHED PURSUANT TO THE EMERGENCY  TENANT
 PROTECTION  ACT OF NINETEEN SEVENTY-FOUR AND ANY OTHER INCREASES AUTHOR-
 IZED BY LAW, REGARDLESS OF WHEN THE PREVIOUSLY ESTABLISHED  LEGAL  REGU-
 LATED  RENT  WAS  LAST CHARGED, (II) ANY RENT CHARGED TO AND PAID BY THE
 TENANT IMMEDIATELY PRIOR TO THE COMMENCEMENT OF  THE  RENTAL  ASSISTANCE
 THAT  WAS  LESS  THAN THE LEGAL REGULATED RENT FOR SUCH HOUSING ACCOMMO-
 DATION, AS ADJUSTED BY SUCH MOST RECENT APPLICABLE GUIDELINES  INCREASES
 AND ANY OTHER INCREASES AUTHORIZED BY LAW, AND (III) ANY LOWER RENT THAT
 IS REQUIRED BY SUCH REGULATORY AGREEMENT.
   2.  ANY  RENT  CHARGED  PURSUANT TO SUBDIVISION ONE OF THIS SECTION IN
 EXCESS OF THE LEGAL REGULATED RENT FOR A HOUSING ACCOMMODATION SHALL NOT
 BE REGISTERED AS THE LEGAL REGULATED  RENT  PURSUANT  TO  THE  EMERGENCY
 TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR OR THE RENT STABILIZATION
 LAW  OF  NINETEEN HUNDRED SIXTY-NINE. THE OWNER OF SUCH HOUSING ACCOMMO-
 DATION SHALL CONTINUE TO REGISTER THE LEGAL REGULATED RENT AND ANY PREF-
 ERENTIAL RENT CALCULATED ACCORDING TO  APPLICABLE  GUIDELINES  INCREASES
 APPLIED  TO THE PREVIOUSLY ESTABLISHED LEGAL REGULATED RENT OR PREFEREN-
 TIAL RENT, RESPECTIVELY, AND SEPARATELY REGISTER THE ACTUAL RENT CHARGED
 TO THE TENANT PURSUANT TO SUBDIVISION ONE OF THIS SECTION.
   3. WHERE THE OWNER OF A HOUSING ACCOMMODATION CHARGES AND  COLLECTS  A
 RENT  THAT  EXCEEDS  THE  LEGAL REGULATED RENT FOR SUCH HOUSING ACCOMMO-
 DATION PURSUANT TO SUBDIVISION ONE OF THIS  SECTION,  SUCH  OWNER  SHALL
 PROVIDE  EVERY  TENANT  OF  SUCH  HOUSING  ACCOMMODATION  WITH A NOTICE,
 ATTACHED TO THE INITIAL LEASE  AND  ALL  RENEWAL  LEASES,  ADVISING  THE
 TENANT  IN  PLAIN  LANGUAGE  THAT  IF  SUCH TENANT CEASES TO RECEIVE THE
 RENTAL ASSISTANCE DESCRIBED IN SUBDIVISION ONE OF THIS SECTION  FOR  ANY
 REASON, THE RENT FOR SUCH HOUSING ACCOMMODATION SHALL BE THE LEGAL REGU-
 LATED  RENT,  OR  ANY  LOWER RENT AS REQUIRED BY SUBDIVISION ONE OF THIS
 SECTION. THE OWNER SHALL DISCLOSE ANY  APPLICABLE  REGULATORY  AGREEMENT
 AND  THE  APPLICABILITY  OF THIS SECTION IN ANY LEGAL PROCEEDING BROUGHT
 AGAINST A TENANT WHOSE RENT IS GOVERNED BY THIS SECTION.
   4. AN OWNER OF A HOUSING ACCOMMODATION WHO FAILS TO ADJUST A RENT UPON
 THE TERMINATION OF ANY SUCH RENTAL ASSISTANCE AS REQUIRED BY SUBDIVISION
 ONE OF THIS SECTION SHALL REFUND TO THE TENANT THE AMOUNT OF  THE  OVER-
 CHARGE AND BE LIABLE FOR TREBLE DAMAGES. THE TENANT SHALL HAVE THE RIGHT
 TO  RECOVER SUCH OVERCHARGES AND DAMAGES FROM THE DATE OF THEIR ACCRUAL,
 NOTWITHSTANDING ANY STATUTE OF LIMITATIONS SET FORTH  IN  THE  EMERGENCY
 TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR OR THE RENT STABILIZATION
 LAW  OF  NINETEEN HUNDRED SIXTY-NINE. THE TENANT MAY RAISE SUCH AN OVER-
 CHARGE AS A CLAIM OR DEFENSE IN ANY COURT OF  APPROPRIATE  JURISDICTION,
 OR  IN  A  PROCEEDING  AT THE DIVISION OF HOUSING AND COMMUNITY RENEWAL,
 PURSUANT TO THE EMERGENCY TENANT PROTECTION ACT OF NINETEEN SEVENTY-FOUR
 OR THE RENT STABILIZATION LAW OF NINETEEN HUNDRED SIXTY-NINE.
   5. WHERE A REGULATORY AGREEMENT ALLOWS AN OWNER OF A HOUSING  ACCOMMO-
 DATION  TO  CHARGE AND COLLECT A RENT FOR THE HOUSING ACCOMMODATION THAT
 EXCEEDS THE LEGAL REGULATED  RENT  FOR  SUCH  HOUSING  ACCOMMODATION  IN
 ACCORDANCE  WITH SUBDIVISION ONE OF THIS SECTION, THE STATE OR MUNICIPAL
 AGENCY OR PUBLIC BENEFIT CORPORATION, OR POLITICAL  SUBDIVISION  OF  THE

 A. 8098                             3
 
 STATE,  THAT  HAS  EXECUTED  THE  REGULATORY  AGREEMENT SHALL AUDIT SUCH
 OWNER'S RECORDS AT LEAST ONCE EVERY THREE  YEARS  TO  VERIFY  THAT  SUCH
 OWNER IS COMPLYING WITH THE PROVISIONS OF THIS SECTION.
   § 2. This act shall take effect immediately.