BILL NUMBER:S5044

TITLE OF BILL:  An act to amend the New York city charter, in relation
to rezoning and municipal building impacts in cities of one million or
more

SUMMARY OF PROVISIONS:

Section 1 of the bill amends the New York city charter by adding two
new section 201-a and 201-b that provide the following:

* 201-a. Rezoning. When a municipality rezones or makes a zoning text
change to an existing R1, R2, R3, R4 or R5 zone that has been
previously rezoned within the past fifteen years, the municipality
must pay a property owner three times the difference between the price
paid for the property for any sale made subsequent to the effective
date of the rezoning and the market value of the property as reflected
on the last property bill issued prior to the effective date of the
subsequent rezoning if the purchase price is less than the market
value of the property as reflected on the last property bill issued
prior to the effective date of the rezoning. This provision will not
apply to properties in existing overlays in R1, R2, R3, R4 or R5 zone.

* 201-b. Municipal building impacts and residential neighborhoods. If
a municipality constructs a municipal building that abuts an R1, R2,
R3 or R4 district, a municipality must pay a property owner three
              

times the difference between the price paid for the property for any
sale made subsequent to the construction of the municipal building and
the market value of the property as reflected on the last property
bill issued prior to the completion of the construction if the
purchase price is less than the market value of the property as
reflected on the last property bill issued prior to the construction.

Section 2 of the bill provides an immediate effective date.

JUSTIFICATION:  The process of rezoning in the city of New York is a
long and arduous one that often involves years' worth of extensive
work by the Department of City Planning in conjunction with community
input. This process often takes on special meaning when it involves
rezoning of residential neighborhoods because it directly affects
small property owners who can be significantly impacted by a change in
property values as a result of a rezoning.

A similar situation of financial instability can be brought on for
residential property owners when the city constructs a municipal
building directly abutting an R1, R2, R3 or R4 area.

This legislation will give residential property owners some form of
protection when the city of New York decides to engage in another
rezoning in their area within 15 years of a prior rezoning or when
then city constructs a municipal building that abuts their area if
their property losses its value as a result of the new rezoning.

PRIOR LEGISLATIVE HISTORY: None.

FISCAL IMPLICATIONS: None to the State.


EFFECTIVE DATE: This legislation shall take effect immediately.