Regulate Short-Term Rentals

Section 1. Subparagraph 1 of paragraph a of subdivision 8 of section 4 of the multiple dwelling law, as amended by chapter 225 of the laws of 2010, is amended to read as follows:

(1) (A) occupancy of such dwelling unit for fewer than thirty consecutive days by other natural persons living within the household of the permanent occupant such as house guests or lawful boarders, roomers or lodgers; [or]

(B) incidental and occasional occupancy of such dwelling unit for fewer than thirty consecutive days by other natural persons when the permanent occupants are temporarily absent for personal reasons such as vacation or medical treatment, provided that there is no monetary compensation paid to the permanent occupants for such occupancy; or

(C) occupancy of such dwelling as a short-term rental unit pursuant to article seven-D of this chapter.

EXPLANATION--Matter in italics (underscored) is new; matter in brackets

[ ] is old law to be omitted.

LBD10115-07-9

S. 4899--B 2

§ 2. The multiple dwelling law is amended by adding a new article 7-D to read as follows:

ARTICLE 7-D

SHORT-TERM RENTAL UNITS Section 288. Definitions.

289. Short-term rental units authorized.

290. Registration.

291. Requirements of hosting platforms.

292. Regulations.

§ 288. Definitions. For the purposes of this article, the following terms shall have the following meanings:

1. "Short-term rental unit" means an entire dwelling unit, or a room, group of rooms, other living or sleeping space, or any other space, made available for rent by guests for less than thirty consecutive days.

2. "Short-term rental host" means an owner or tenant of a short-term rental unit who rents such unit to guests.

3. "Hosting platform" means a person or entity who, pursuant to an agreement with a short-term rental host:

(a) provides a platform for compensation through which unaffiliated third party short-term rental hosts can offer to rent short-term rental units; and

(b) collects a fee in connection with either:

(i) providing the forum in which, or by means of which, the offer of occupancy of a short-term rental unit is accepted; or

(ii) providing the forum in which a short-term rental host can list or advertise space in a short-term rental unit.

§ 289. Short-term rental units authorized. 1. A short-term rental host may operate a dwelling unit as a short-term rental unit provided such dwelling unit:

(a) is registered in accordance with section two hundred ninety of this article;

(b) is not used to provide single room occupancy as defined by subdivision sixteen of section four of this chapter;

(c) includes a conspicuously posted evacuation diagram identifying all means of egress from the unit and the building in which it is located;

(d) includes a conspicuously posted list of emergency phone numbers for police, fire, and poison control;

(e) is not subject to the emergency housing rent control law, the rent and rehabilitation law of the city of New York enacted pursuant to the local emergency housing rent control law, the emergency tenant protection act of nineteen seventy-four, the public housing law, or otherwise rent subsidized, rent controlled, rent stabilized, or considered affordable housing; and

(f) is insured for at least two hundred fifty thousand dollars to protect against third party claims of property damage or bodily injury that arise out of the operation of a short-term rental unit. Insurance provided by hosting platforms can satisfy this requirement.

2. A short-term rental host shall not operate a rent-stabilized dwelling unit as a short-term rental unit.

3. A short-term rental host may not operate a dwelling unit as a short-term rental unit if the unit is a rent-controlled unit subject to the local emergency rent control act or chapter seven of subtitle S of title nine of New York's compilation of codes, rules, and regulations, an income-based public housing unit, or a dwelling unit paid for with vouchers or other monetary subsidies, in whole or in part, from a government entity.

S. 4899--B 3

4. A short-term rental host shall not operate more than one class A multiple dwelling unit as a short-term rental unit unless the units are at the same address, including apartment number, if applicable.

5. Occupancies of a short-term rental unit shall be subject to taxes and fees pursuant to articles twenty-eight and twenty-nine of the tax law and applicable local laws.

6. Short-term rental hosts shall maintain records related to guest stays for one year, including the date of each booking and the identity and number of guests, and records related to their registration as short-term rental hosts with the division of housing and community renewal.

7. Hosting platforms shall maintain records related to guest stays for one year, including the date of each booking and the identity and number of guests. Hosting platforms shall make all relevant records available to the division of housing and community renewal consistent in response to valid legal process.

§ 290. Registration. 1. Short-term rental hosts shall be required to register each short-term rental unit with the division of housing and community renewal.

2. Registrations shall be valid for two years, after which time the short-term rental host may renew his or her registration in a manner prescribed by the division of housing and community renewal. The division of housing and community renewal may revoke the registration of a short-term rental host upon a determination that the short-term rental host has violated any provision of this article at least three times in two calendar years, and may determine that the short-term rental host shall be ineligible for registration for a period of up to twelve months from the date the third violation is determined to have occurred.

3. The division of housing and community renewal shall set a fee for short-term rental registration not to exceed one hundred dollars, with revenue dedicated to enforcement of short-term rental laws.

4. Hosting platforms are authorized to facilitate the registration process by collecting the required information and transmitting it to the division of housing and community renewal for processing.

§ 291. Requirements of hosting platforms. Hosting platforms shall:

1. create a dedicated means by which complaints can be submitted by short-term rental hosts, guests, and community members. These means shall be available twenty-four hours a day, seven days a week.

2. provide the division of housing and community renewal and the New York city mayor's office of special enforcement with anonymized statistics on a quarterly basis regarding the short-term rental of properties on their platforms in cities with a population of one million or more. Such report shall be submitted within thirty days following the end of each calendar quarter in which it operates as a hosting platform in a manner to be determined by the division of housing and community renewal. The information to be disclosed shall include:

(a) statistics regarding each short-term rental unit that was rented on the platform during the previous quarter, including city, borough, zip code, listing type (such as whether the listing is for an entire or shared property), the number of nights rented for the reporting period, the number of nights rented for the calendar year, and the total amount of revenue submitted to the short-term rental host in connection with the rental of the unit in question. Information regarding the number of nights rented shall be reported in ranges of twenty-five. Information regarding the total amount of revenue shall be reported in ranges of ten thousand dollars; and

S. 4899--B 4

(b) statistics regarding each short-term rental host who rented a short-term rental unit on the platform during the previous quarter, including:

(i) the number of distinct addresses simultaneously advertised as short-term rentals during the prior reporting period for each short-term rental host simultaneously advertising more than one distinct address as a short-term rental during the reporting period; and

(ii) the number of such distinct addresses simultaneously rented as short-term rentals during the reporting period for each short-term rental host simultaneously advertising more than one distinct address as a short-term rental during the reporting period. Hosting platforms shall not have the obligation to disclose any listing or host-level information if the disclosure could reasonably lead to the identification of a specific property or short-term rental host.

3. maintain records of all transactions in cities with a population of a million or more for a period of twelve months.

4. inform short-term rental hosts of the registration requirement and, if requested to do so, collect and transmit the required information to the division of housing and community renewal on behalf of the shortterm rental host.

§ 292. Regulations. The division of housing and community renewal shall promulgate regulations necessary and appropriate to enforce this article, including regulations to facilitate the registration of shortterm rental hosts and to facilitate information sharing between and among the division, hosting platforms, and other enforcement agencies.

§ 3. Section 304 of the multiple dwelling law is amended by adding a new subdivision 1-b to read as follows:

1-b. a. Every person who shall violate or assist in the violation of any provision of sections two hundred eighty-nine or two hundred ninety of this chapter shall be guilty of an offense, and any person found to have committed three or more offenses of such sections may be prohibited from operating a short-term rental unit for a period of one year.

b. The maximum fine for violating subdivision four of section two hundred eighty-nine of this chapter shall be one thousand dollars for a first offense; four thousand dollars for the second offense; and seven thousand five hundred dollars for the third or any subsequent offense. The maximum fine for violating subdivision two of section two hundred eighty-nine of this chapter shall be the difference between the annual rent generated by the short-term rental and the annual legal rent, plus an additional fine of fifty dollars for the first offense, one hundred dollars for the second offense, and two hundred fifty dollars for the third offense. The maximum fine for violating subdivision three of section two hundred eighty-nine of this chapter shall be the amount of revenue generated from the short-term rental plus an additional fine of fifty dollars for the first offense, one hundred dollars for the second offense, and two hundred fifty dollars for the third offense. The maximum fine for all other provisions of sections two hundred eighty-nine or two hundred ninety of this chapter shall be fifty dollars for a first offense; one hundred dollars for the second offense; and two hundred fifty dollars for the third or any subsequent offense.

c. Any violation under this subdivision shall not be a crime and the penalty or punishment imposed therefor shall not be deemed for any purpose a penal or criminal penalty or punishment, and shall not impose any disability upon or affect or impair the credibility as a witness, or otherwise, of any person convicted thereof.

S. 4899--B 5

§ 4. The multiple residence law is amended by adding a new article 4-A to read as follows:

ARTICLE 4-A

SHORT-TERM RENTAL UNITS Section 80. Definitions.

81. Short-term rental units authorized.

82. Registration.

83. Requirements of hosting platforms.

84. Regulations.

§ 80. Definitions. For the purposes of this article, the following terms shall have the following meanings:

1. "Short-term rental unit" means an entire dwelling unit, or a room, group of rooms, other living or sleeping space, or any other space, made available for rent by guests for less than thirty consecutive days.

2. "Short-term rental host" means an owner or tenant of a short-term rental unit who rents such unit to guests.

3. "Hosting platform" means a person or entity who, pursuant to an agreement with a short-term rental host:

(a) provides a platform for compensation through which unaffiliated third party short-term rental hosts can offer to rent short-term rental units; and

(b) collects a fee in connection with either:

(i) providing the forum in which, or by means of which, the offer of occupancy of a short-term rental unit is accepted; or

(ii) providing the forum in which a short-term rental host can list or advertise space in a short-term rental unit.

§ 81. Short-term rental units authorized. 1. A short-term rental host may operate a dwelling unit as a short-term rental unit provided such dwelling unit:

(a) is registered in accordance with section eighty-two of this article;

(b) is not used to provide single room occupancy as defined by subdivision forty-four of section four of this chapter;

(c) includes a conspicuously posted evacuation diagram identifying all means of egress from the unit and the building in which it is located;

(d) includes a conspicuously posted list of emergency phone numbers for police, fire, and poison control;