BILL NUMBER:S3990

TITLE OF BILL:  An act to amend the New York city charter, in relation
to willful neglect of real property prevention

PURPOSE OR GENERAL IDEA OF BILL:  This bill provides for protection,
preservation and improvement of rent stabilized multi-family rental
property in which some landlords willfully neglect repairs,
improvements, or otherwise affected the existing conditions of
properties precipitating the conditions that reduce the habitability
of the units, resulting in condemnation and eviction of existing
tenants with the intent to build higher cost or luxury housing in a
climate wherein real property prices are rising at an unprecedented
rate.

SUMMARY OF SPECIFIC PROVISIONS:  Provides that HPD after three or more
good faith complaints by or on behalf of tenants and wherein within
120 days such conditions have not been addressed or remedied by the
landlord; and following the consensus of fifty percent or more of the
tenants, the city shall compel the landlord or responsible entity to
undertake repairs and/or cease in actions that affect the safety and
well-being of tenants. Furthermore, the bill provides that if the
repairs are not completed or negative actions have not ceased and if
elements essential to the safety and well-being of residents have not
been replaced, the city shall place a lien on the property equal to
the costs of repairs, improvements, replacements and treatment
              

measures and administrative fees required to remedy the property.

The bill further requires that HPD shall assess the costs of repair
and actions needed to make property habitable and safe and assign a
community based housing corporation to manage the repair process for a
fee. Financing of the repairs shall be made possible by a personal
income tax revenue bond authorized by the New York state housing
finance agency. The responsible landlord shall be responsible
reimbursing the city for the costs of repairs, interest, penalties and
administrative management fees to the community based housing
corporation.

Should repairs require the relocation of tenants, the responsible
party will be responsible for finding comparable housing for the
tenants in a closely proximate area, at a comparable or lower rate and
assume relocation costs and should the rent be higher, the difference
between the current rent and the rent at the relocated site.

Finally the bill requires HPD to establish an imminent danger list of
properties for which more than five complaints, the nature of which
pose a threat to the health and safety of tenants, are filed during
the course of a calendar year.

JUSTIFICATION:  For a number of years, reports of willful neglect on
the part of predatory landlords appeared to be isolated and random
against the backdrop of thousands of rent-regulated properties. As the
demand for housing and increasing commensurate costs and development
profit margins, the trend to willfully debilitate the integrity of
rent-regulated properties to the point of condemnation leading to
demolition for the purpose of developing high income luxury units.


The desire to live in locations within or in proximity of Manhattan
has impacted housing in central/northeastern Brooklyn, from Flatbush
to Bushwick; the western Bronx; Upper Manhattan, from East Harlem to
Washington Heights; and Lower Manhattan, Chinatown and the Lower East
Side{1}.

The acts have included failure to maintain exterior walls, interior
walls, and boilers and as of late have escalated to outright acts of
demolition in the name of bogus non-sanctioned construction; removing
essential services i.e. water, heat, commodes; and threats of imminent
eviction without cause.

Mayor DeBlasio has established a ten-year housing $41 billion plan
that aspires to the creation or preservation of 200,000 affordable
housing units.The actions of this group of landlords threatens to take
the plan two steps back for every step forward.  Moreover, the
displacement of the affected tenants threatens to change the character
of the targeted communities with no possibility of reintegrating
tenants in need of affordable housing e.g. municipal employees,
service industry workers, and health care providers ranging from the
working poor to the middle class. Justifiably, residents in these
communities are suspicious of any development efforts in their
neighborhoods maintaining that development is being done to them
without consideration and not with them in consultation.  The
prevailing opinion is that a wave of secondary displacement pressures,
would negatively affect both long-term residents and existing
businesses.{2}

{1} Metropolitan Council

{2} Michael McKee, treasure! of Tenants Political Action Committee

EFFECTIVE DATE:

Immediately