CNYC's 39th ANNUAL
& EXPO held on
Sunday, November 17, 2019
8:00 AM - 5:30 PM 25 West 18th Street, Manhattan
We would like to thank all of our speakers, exhibitors and registrants for helping to make this year's Housing Conference a success! We look forward to seeing you at next year's Conference, and at our classes and other events throughout the year.
JOIN THIS PETITION TO EXEMPT COOPERATIVES FROM PART M
Since June, when the Housing Stability and Tenant Protection Act of 2019 (HSTPA) became State law, inadvertently including housing cooperatives in stringent new provisions imposed by Part M on “all leases”, CNYC has urged members to contact their Albany lawmakers to seek clarifying legislation exempting cooperatives from Part M.
HSTPA is directed at protecting tenants in landlord/tenant situations. Coopertatives are swept into Part M of HSTPA only because the relationship between shareholders and the cooperative is governed by a ‘lease’ – the proprietary lease. However, the relationship is not the same as that between landlords and rental tenants. In a cooperative the shareholders are also the owners.
Iimplementing Part M against cooperatives will have a materially adverse impact on the ability of cooperativess to function efficiently, will increase the cost of operations, decrease fee income causing increases to operating budgets, and will reduce the quality of life for residents.
Please continue to work for the exemption of cooperatives from Part M of HSTPA. Here are petitions that your board or your shareholders can complete and return to CNYC to help show the grass roots strength behind our push for legislation to exempt cooperatives from Part M. If your board opts to circulate the petition to shareholders, here is a sample letter that you may wish to use.
NYARM, The New York Association of Realty Managers INVITES CNYC building board members as No cost $0 guests on:
Tuesday September 24th 6:30 to 8pm at the law offices of Gallet Dreyer & Berkey, LLP 845 3rd Avenue, 5th Floor
"The Effect of Rent Law Amendments and Other Issues on Building Valuations in the World of Finance"
How your multifamily mortgage loan applications and other refinancing opportunities are affected: Loan Underwriting, Appraisal Issues, Construction and Rehab Lending and more. Seminar content specific to building: owners, boards and, property/building managers of both coop & rental buildings.
Presented by: Jay L. Hack, Esq., https://www.gdblaw.com/jay-hack Partner at Gallet Dreyer & Berkey, LLP and the former Chair, Business Law Section, NYS Bar Association. Mr. Hack's primary practice focus is providing a full range of legal services to banks and other financial institutions.
He will be joined by real estate law practitioners from GDBLAW.
Adult beverages and other light refreshments will be served.
RSVP is required and NYARM MEMBERS also come at no charge, Space is limited. Contact NYARM Executive Director, Margie Russell email@example.com with your: name, phone#, title and, building address.
UPDATE ON ALBANY LEGISLATION - July 1, 2019
The New York State Legislature closed its busy 2019 Session on June 20th , having passed a number of bills that impact housing cooperatives and condominiums. Four bills are of major concern.
Coop/Condo Abatement Program Extended for Two Years
Introduced in the last week of the Albany legislative session, the City approved bill extending the property tax abatement program for two years was quickly passed it was sent to the Governor for signature on June 28th. Happily, the Department of Finance had included the abatement in property tax bills for July 1st payment.
Reverse Mortgages for Seniors in Housing Cooperatives
Bronx lawmakers Jeff Dinowitz and Alexandria Biaggi sponsored legislation that enables seniors in New York cooperatives to seek reverse mortgages. The bill will take effect 180 days after it is signed by the Governor.
Prevailing Wage Bill Also Passed
This would require all cooperatives and condominiums valued at more than $60,000 per unit that wish to receive the abatement to attest annually that all building service workers are paid prevailing wages. This would create hardships for many non-union buildings or those using security guards, etc. CNYC has asked all members to contact the Governor and ask that he VETO A.8280/S6219. Please join this effort. Call the Governor’s Office at 518 474-8390 or write, using ideas from this sample letter
Provisions in Sweeping Rent Laws Affect Co-ops & Condos Part N. of the new rent laws completely overhauls the conversion process, doing away with eviction conversions and requiring that 51% of tenants in occupancy subscribe to purchase before a conversion plan can be declared effective.
Part M sets new requirements for all rentals , including limitations on security deposits, on application fees, etc, which can be construed to apply to sublets in cooperatives and rentals in condominiums. CNYC will work for a technical corrections amendment to clearly exempt cooperatives and condominiums in the next legislative session.
Several additional bills may affect your cooperative or condominium, generally in a positive way; they will be reviewed in the next issue of CNYC Highlights.
LEAD IN DUST STANDARDS - NEW REQUIREMENTS
The New York City Department of Health and Mental Hygiene (“DOHMH” or “the Department”) is writing to inform you that effective June 11th, NYC will have new lower lead in dust standards. Local Law 66 of 2019 outlines new lead reference/action levels and standards relating to lead-based paint hazards.
The new standards for lead dust clearance and lead dust hazard risk assessment testing in New York City are as follows:
Should you have any questions about the above requirements, please email questions to the DOHMH’s Healthy Homes Program at firstname.lastname@example.org referencing “New lead in dust standards.” Please also provide your name and phone number with your inquiry.
Co-ops Go Solar Solstice Celebration
Friday, June 21, 2019 (6:00 – 8:30 pm)
The Cathedral of St. John the Divine - Synod Hall
1047 Amsterdam Avenue (enter at 110 Street)
Join UHAB to celebrate the affordable co-ops signed up for solar around the city through Co-ops Go Solar! So far, 22 affordable co-ops have signed up for solar power across New York City. Collectively they’ll divert 9,500 tons of CO2 from the atmosphere over the panels’ 25 year lifetime. Join us on the longest day of the year to learn about solar innovation throughout the city, and explore a just transition that centers affordable housing. This is a free event; light refreshments and childcare will be provided.
We are very excited to honor the HDFC co-ops that are taking action on solar and efficiency; the program includes UPROSE who will speak about their Brooklyn Army Terminal project and recognition of Anika from Solar One. This event is focusing on solar in New York City, not just for HDFC co-ops but across affordable housing, mutual housing and co-ops, as well as on the efforts to connect our communities to energy efficiency, resiliency and energy reduction.
DEP is launching a new Water Conservation and Reuse Grant program this July. Conservation projects must propose a one million gallon water saving per year and will cover costs for replacement of inefficient fixtures and more. Building owners may save substantial costs by participating. Applications will be open till October.
On May 18th the City Council has passed Int. 1253-C which Mayor DeBlasio is expected to sign into law on Earth Day, April 22nd. While well-intentioned, this legislation unfairly forces larger coop and condo buildings to bear a disproportionate share of the burden of reducing the City’s carbon footprint by 40% in 2030 and 80 % in 2050. CNYC members whose buildings are 25,000 square feet or larger and have no rent regulated tenants will be forced to invest millions of dollars to meet greenhouse gas emission caps or face draconian fines, making necessary capital improvements even further out of reach.
CNYC will continue to advocate for an approach that includes all buildings, setting realistic but challenging goals for progressive percentage reductions in energy use and carbon output. As the legislation is implemented, CNYC will continue to work for these modifications.
STATE BUDGET EXPANDS TAXATION OF REAL PROPERTY
INCREASING TRANSFER FEES ON LARGE REAL ESTATE SALES
New York State has delivered a budget on time, and one that depends in part on an escalating transfer taxes on the sales of individual homes, cooperatives, condominiums.
The This Real Property Transfer Tax is payable by the seller. The rate of this tax is 0.4% of one percent of the purchase price up to $2,9999,99. This tax has been increased for sales of $3 million dollars and more to or more the tax is 0.65% of the purchase price.
The “Mansion Tax” to be paid by the purchaser is increased from 1% for all residential sales of over $1 million dollars in municipalities of more than a million people to
1.25% for of sales price on all residential sales of $ $2 million dollars but less than $3 million dollars OR
1.5% of of sales price on residential sales of $ 3 million dollars but to less than $5 million dollars, OR
2.25% of sales price on residential sales of $ 5 million dollars but to less than $10 million dollars. OR
3.25% of sales price on residential sales of $10 million dollars but to less than $15 million dollars, OR
3.5% of sales price on residential sales of $15 million dollars but to less than $20 million dollars, OR
3.75% of sales price on residential sales of $20 million dollars but to less than $25 million dollars, OR
3.9% of sales price on residential sales of $25 million dollars or more.
This graduated transfer tax supplants the proposed pied-a-terre tax that has been extensively discussed in the press.
Anti-Harassment Policies and Training Class at CNYC's Annual Conference
In 2018 both the NYS Legislature and the NYC Council adopted new legislation to prevent sexual harassment in the workplace. Guidance and information on the new requirements, which apply to ALL employers, are available at CNYC's November 11 Conference in "Anti-Harassment Policies and Training: Don't be the Next Headline."
SPECIAL OFFER FROM CON-ED: "UPGRADE YOUR LIGHTING ON US AND SAVE $$$$"
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The NYC Department of Buildings has asked CNYC to make its members aware that building owners and operators now have the opportunity to voluntarily register their cooling towers and evaporative condensers with the Department of Buildings. Online access to the registration form and additional information can be found at www.nyc.gov/buildings.
This voluntary registration is in anticipation of legislation that with the City Council's support, will establish regulations to be administered by the Department of Buildings and the Department of Mental Health & Hygiene for the regulation of cooling towers and evaporative condensers.
Fuel Oil Conversions Guidance Document from the DEP
The city is in the final year of phasing out the use of #6 fuel oil. The DEP has developed a guidance document that provides a quick step approach for users who have not completed the conversion process, which includes the proper filling of all documents with the DEP. We would appreciate your sharing this document with your members. If your members are not certain of the status of their equipment or fuel oil type they can click on the link near the bottom of the page titled “DEP Status”. Contact numbers are provided in the document.