Makes conforming technical changes to the New York City administrative code and the emergency tenant protection act relating to vacancy decontrol; repealer

Summary of specific provisions

Section one of this bill sets forth legislative findings and declaration of emergency.

Section two repeals paragraph (n) of subdivision 2 of section 2 of chapter 274 of the laws of 1946, constituting the emergency housing rent control law.

Section three of this bill repeals paragraph 13 of subdivision a of section 5 of section 4 of chapter 576 of the laws of 1974, constituting the emergency tenant protection act of 1974.

Section four repeals subparagraph (k) of paragraph 2 of subdivision e of section 25-403 of the administrative code of the city of New York.

Section five repeals section 26-504.2 of the administrative code of the city of New York.

Section six and Section seven also subject accommodations to regulation under such laws which were deregulated upon vacancy prior to the effective date of this bill and which rented for less than $5,000 per month in New York City or less than $3,500 per month in the counties of Westchester, Nassau, and Rockland between January 1, 2013 and the effective date. The maximum legal rents for such units will be for the rent paid on December 31, 2014.

Section seven and Section eight repeal vacancy decontrol provisions of the New York City Administrative Code and the Emergency Tenant Protection Act that relate to preferential rents, respectively.

Section nine makes this act effective immediately.

Justification

The shortage of affordable housing in New York City, in the suburban counties of Westchester, Nassau, and Rockland and in many other areas of the state is an acute crisis. The systems of rent regulation presently existing are the single most effective program of state and local governments to preserve the supply of affordable housing. These programs have been seriously eroded by the vacancy decontrol laws.

Available data and several studies suggest that over 300,000 rent stabilized apartments have been removed from regulation in New York City and the counties of Westchester, Nassau, and Rockland under vacancy decontrol. The pace at which vacancy decontrol removes affordable housing units from regulation is alarming and counter to public policies intended to preserve the supply of affordable housing.

Vacancy decontrol is an incentive for owners of rental housing to withhold services and to use forms of harassment to induce regulated tenants to vacate their rental units. In some instances, costs of renovation have been inflated or even falsified in order to drive apartment rents to the $2,500 threshold for vacancy decontrol. In other cases no renovations at all are done to vacant apartments and such apartments are treated as deregulated regardless of the legal rent. Such abuses are made possible by the existence of the vacancy decontrol laws. Repeal of vacancy decontrol is essential to restore the integrity of the rent regulation systems and to protect the state's precious supply of affordable housing.

Prior legislative history

2013-2014 - S1167 Died in Housing, Construction and Community Development (Passed Assembly - A1585) 2011-2012 - S1193 Died in Housing, Construction and Community Development (Passed Assembly - A2430) 2009-2010 - S2237 Died in Housing, Construction and Community Development (Passed Assembly - A2005) 2007-2008 - S5149 Died in Housing, Construction and Community Development (Passed Assembly - A7416)

Fiscal implications

Some costs may be incurred by HCR.

Effective date

This act shall take effect immediately.