Res 0086-2014

By Council Members Williams, Arroyo, Johnson, Mendez, Rosenthal, Rodriguez, Cornegy, Garodnick, Van Bramer, Levin, Gibson, Kallos and Lander Whereas, Under New York State law, owners may make Individual Apartment Improvements (IAI) to rent regulated units, and permanently increase the rent in such units by 1/40th the cost of the improvement in a building with 35 or fewer units and by 1/60th the cost of the improvement in buildings with more than 35 units; and Whereas, Such increases require the filing of a notice with the New York State Division of Housing and Community Renewal (DHCR) only if the apartment is occupied by a tenant; and Whereas, An IAI rent increase is added to the base rent for all future rent increases; and Whereas, It is unfair to charge tenants for improvements long after the landlord has recouped his or her cost; and Whereas, DHCR should have a review and approval process for IAI rent increases in order to reduce the risk of unwarranted rent increases; and Whereas, Such a review and approval process may result in fewer IAI rent increases and allow units to remain in the rent regulation system for a longer period of time; and Whereas, A five-year rent surcharge for IAIs, rather than a permanent rent increase, should help ensure that tenants are not charged for improvements long after the landlord has been fully compensated for the cost of the improvements; now, therefore, be it Resolved, That the Council of the City of New York calls upon the New York State Legislature to pass and the Governor to sign legislation that would create a review process for Individual Apartments Improvement rent increases and make such increases a temporary surcharge rather than a permanent rent increase. JLC/SAK Res 114/2010 LS 291/2014 2/26/15 12:11 P.M.