After Denying Role, Mayor de blasio Takes Credit for RGb Rent Freezes

Transcription

1 WE house NEW york April 2017 vol. 36 ISSuE 4 After Denying Role, Mayor de blasio Takes Credit for RGb Rent Freezes In an unexpected twist that RSA hopes will help our case against the City Rent Guidelines Board (RGB), Mayor Bill de Blasio further touted the consecutive rent freezes during a town hall conference call on March 15 th with senior citizens about affordable housing. According to Politico New york, Mayor de Blasio publicly took credit for the rent freezes and his appointments to the Board and that the historic zero guidelines happened under this administration because I instructed the Rent Guidelines Board I name the members and I instructed them to not follow the biases of the past, but be respectful of the needs of tenants and not just the needs of landlords Last year, after the RGB voted in favor of the second straight rent freeze for one-year leases in RGB Order No. 48, Mayor de Blasio continuously denied having any involvement with the decisions made by the RGB and stated that the Board acted independently. After this recent admission by the Mayor, it has never been clearer that he indeed instructed the Board to fulfill his campaign promises of a rent freeze. The timing of this statement by Mayor de Blasio could not have been better as RSA awaits a decision by the Manhattan State Supreme Court in regard to the lawsuit against the RGB for the second consecutive rent freeze. RSA argued before Judge Debra James that the RGB should not have considered tenant affordability when determining rent guidelines because it is not among the several criteria set forth in the statute. The language of the law states that the Board is mandated to consider appropriate rent increases based on costs incurred by owners of rent-stabilized apartments. Based on the new claims by Mayor de Blasio in his conference call, Jeffrey Turkel of Rosenberg & Estis, P.C., who is representing RSA in the lawsuit against the RGB, formally wrote a letter to Supreme Court Justice Debra James on March 16 th. On behalf of RSA, Mr. Turkel requested that RGB Order No. 48 be annulled and that the RGB be directed to issue a new order in accordance with the statute. The Mayor s comments, in light of his prior political rhetoric, establish that the process leading to the rent freeze in Order No. 48 was a sham. By instructing the RGB to not follow the biases of the past, the Mayor was in fact directing RGB to disregard RSL section (b), which requires the RGB to calculate rent adjustments based on landlords costs and the general health of the residential real estate industry. Purporting to focus on the needs of tenants a consideration not permitted by the statute the RGB in fact focused on the Mayor s political agenda. The RGB then authorized rent freezes for the first time in its forty plus year history. All of this cannot be a coincidence. Fortunately, the Courts have recognized that New York City agencies cannot arbitrarily make decisions simply to further the Mayor s political agenda. In Prometheus Realty Corp. v New York City Water Bd., 2017 NY Slip Op (1st Dept 2017), the Water Board, at the Mayor s prompting, issued resolutions increasing water rates for owners of apartment houses, only to use that revenue to fund a rebate for owners of one-, two-, and threefamily homes. Justice Edmead annulled the resolutions (Continued on page 3 ) IN ThIS ISSuE 1 After Denying Role, Mayor de Blasio Takes Credit for RGB Rent Freezes 2 President s Message CITy & STATE RouNDuP 4 RPIE Statements Deadline is June 1, RSA s First Member Rent Registration for DSNY Hosts 2017 S.A.F.E. Disposal Events 7 RSA Supports State Proposals to Battle City s Historic Homeless Population 8 First RGB Meeting Cancelled, Deliberations Begin March 30 th 10 Important Information Regarding Backflow Prevention Devices 10 City Offers Funding to Fix Lead Paint Hazards 10 New Housing Court Judges Appointed IN ThE CouRTS 11 RSA Taking Action Against City Council Bills 12 Settlement Announced in Public Assistance Lawsuit 16 RSA Calendar of Events

2 PRESIDENT S MESSAGE There has never been a dull moment for the rental housing industry since the de Blasio Administration began in January From the moment Bill de Blasio made a campaign promise for a rent freeze through the City Rent Guidelines Board (RGB) in the summer of 2013, we knew that we would be in for a bumpy ride if he became Mayor. Joseph Strasburg Fast forward to the present day and we reflect on the battles RSA has taken on in the last three years. From two consecutive rent freezes, to an attempt at freezing water rates for 1-3 family homes only, Mayor de Blasio has made the rental housing industry his top target and RSA has stepped to the forefront in our battles against this progressive Mayor. Now, as deliberations for this year s RGB process are set to begin, Mayor de Blasio has added more fuel to the fire after publicly taking credit for the City s first ever rent freezes (see page 1). For the last two years, Mayor de Blasio has denied any involvement with the independent Board. We have known all along that he would appoint members to the Board that shared his pro-tenant interests, but to admit that he instructed the Board is something RSA hopes will give us leverage in our lawsuit against the RGB. In the 45 years leading up to this Administration, never has there been this much involvement from a Mayor in the RGB deliberations. In the past, the Mayor simply made appointments to the Board: a Chairperson, two property owner representatives, two tenant representatives and four public members. The votes made by the public members were always meant to offset those made by the owner and tenant members. Once these appointments were made, the Board always acted independently and by statute, approved rent increases based on increased operating costs sustained by owners of rent-stabilized apartments. However, that notion has gone out the window over the last three years under the current Administration. It begs the question, why have a Board at all if the outcome is pre-determined? That is why RSA has been in court against the RGB and now that the Mayor has finally taken credit for his involvement with the Board, it further proves the argument that RSA has been making through the media and through our public relations campaign over the past few years. Now, as his re-election efforts slowly progress this year, the proud tenant leader once again is at the center of attention as the RGB begins to meet to discuss this year s guidelines (see page 8). We patiently await the release of the RGB reports in the hope that they will justify the need for the first rent increases in three years. If the Price Index of Operating Costs (PIOC) produces a number in our favor, this Board will have no choice, by law, to vote in favor of rent increases that justifies the increased costs that owners continue to deal with. If not, then our battle against Mayor de Blasio and the RGB will only intensify. Take Advantage of RSA s Rent Registration Service I would like to remind you that a new cycle of annual required rent registration began on April 1 st. RSA s Rent Registration Service can help you complete this process quickly, efficiently and cost effectively. Our in-house service is the ultimate resource for your rent registration needs. RSA does everything from mailing out tenant notices, to retaining all your records without limit, eliminating any need to keep paper filings in your office! RSA worksheets have already been mailed to members, but I also encourage you to use our online services at discounted rates. A large majority of RSA members already use our online rent registration process and are extremely pleased with its convenience and efficiency. For more information about RSA s Rent Registration Service, please call (212) n RSA MEMBERSHIP MEETING Wednesday, April 26, :30PM 4:00PM RSA Office, 123 William St., 14 th Fl., Manhattan The Membership Meeting is an opportunity for owners to learn about political, legal and regulatory updates as well as to raise questions and concerns. All paid RSA members are welcome to attend. Register by calling or via at mrodriguez@rsanyc.org. Pre-registration is required and will close at noon the day before the date of the meeting. Rent Stabilization Association 123 William Street New York, NY (212) Disclaimer: Every effort is made to provide accurate and up-to-date information in RSA publications and bulletins. However, information or advice provided in these publications should not be taken as legal opinions. Always consult your attorney when in doubt. The RSA Reporter is intended for the exclusive use of RSA members. This publication may not be reproduced, in whole or in part, without the written permission of the RSA. The RSA welcomes comments, suggestions and questions from its members. Editor: Jack Freund Assistant Editor: Vito Signorile Production: Christine Chu. Copyright 2017, Rent Stabilization Association of N.Y.C., Inc., 123 William Street, NY, NY The RSA Reporter (ISSN # ) is published monthly (except August) by the Rent Stabilization Association of N.Y.C., Inc., 123 William Street, New York, NY Periodicals postage paid at New York, NY. POSTMASTER: Send address changes to The RSA Reporter, 123 William Street, 14 th Floor, New York, NY April 2017

3 INSIDE RSA After Denying Role, Mayor de blasio Takes Credit for RGb Rent Freezes RSA Mortgage Brokerage Invites Members and Non-Members to Attend (Continued From Cover ) in question. The Appellate Division affirmed Justice Edmead, holding that the one-time credit adopted for some, but not all, water customers at the same time the Water Board needed to increase overall water rates to fund a projected budget shortfall for that particular year, has no rational basis. Mayor de Blasio has admitted on the record that the rent freeze in Order No. 48 was not the reasoned decision of an independent board following the governing statute, but was instead the arbitrary and capricious action of RGB board members, politically controlled by the Mayor, who were instructed to deliver on a campaign promise. In addition to coverage in Politico New York, the New york Post wrote an editorial the day after Mr. Turkel submitted a letter to Supreme Court Justice James. The Editorial Board criticized Mayor de Blasio for his involvement in the outcome of the most recent RGB deliberations and defended RSA s argument that rent freezes will ultimately hurt the City s affordable housing stock As we went to press, we await the decision by Judge James which is expected on March 28 th. We will have a full summary of the decision in the May edition of the RSA Reporter, however, stay tuned for immediate updates via RSA s blasts and Facebook and Twitter pages. n Stay in Touch with the RSA through Social Media: Like RSA on Facebook at: Follow RSA on Twitter at: Overview: Acquisition/Refinance/Cash-Out Conventional Mortgage Line of Credit Bridge Money, Etc. Options/Terms: Rate (Fixed vs. Variable) Term / Amortization Loan-to-Value Rate Reset (Index + Spread) Prepayment Penalty / Recourse Presented by RSA Mortgage Brokerage: Wanda I. Pearson CEO/Managing Broker Benjamin Wagner Broker Wednesday, May 17, :30PM-4:00 PM RSA Office, 123 William Street, 14 th floor, New York Refreshments will be served. Watch RSA videos on YouTube at: Please RSVP to Nilah Rana at or NRana@RSAMortgageBrokers.com April

4 CITy & STATE RouNDuP RPIE Statements Deadline is June 1, 2017 The City Department of Finance (DOF) requires property owners to submit income and expense information annually so that the value of your property is accurately calculated. Owners are able to do this by filling out the Real Property Income and Expense (RPIE) Statements. The deadline to file the RPIE-2016 statement is June 1, 2017 and this year s RPIE statement will be used to determine property values for the 2017/18 tax year that will begin on July 1, The RPIE-2016 statement must be filed online. In order to fill out a paper statement, owners must apply for a waiver from the electronic filing by submitting an application postmarked by May 2, If DOF approves the waiver, the owner will be sent a hard copy of the RPIE-2016 form to complete and submit. The application for a waiver from the electronic filing can be found at or you may call 311. As a residential property owner, you are required to file the RPIE-2016 or a Claim of Exclusion if your property has an Actual Assessed Value of more than $40,000 on the Tentative Assessment Roll. Some properties are exempt and are not required to file either document, such as properties that have an assessed value under $40,000, contain 10 or less units, or are Class 1 or Class 2 properties with six or less units and one retail store. If you are not required to file an RPIE, property owners may voluntarily file the RPIE-B form, which is a simpler form that the City uses to accurately value your property. Unlike the RPIE form, the RPIE-B can be filled out either electronically or manually and mailed directly to DOF at 66 John Street, 12 th Floor, New York, NY To download samples of the RPIE forms, or for instructions on how to file your RPIE forms online, visit If you would like to file a Claim of Exclusion, owners must complete Section D of the RPIE-2016 form. Owners who may file a Claim of Exclusion, for example, have property that is vacant or inhabitable and has no existing leases. If there are any existing leases, the owner must file the RPIE. Owners who wish to file a Claim of Exclusion, but have still not submitted the claim by the June 1 st deadline, could be subject to a $100 fine. Please be advised that higher penalties will be applied for continued non-compliance. DOF also offers a Short form Option. If, on the Tentative Assessment Roll, your property has an Actual Assessed Value of $250,000 or less and is not a hotel, owners are permitted complete a new, shorter version of the RPIE application instead of the standard RPIE. If your property is eligible for the new short form, you will be given the option when you begin the RPIE-2016 filing process online. On this website, you can also download the non-compliance lists of all of the properties in each borough that have not filed the RPIE-2016 to this point. If you are required to file the RPIE-2016 and do not do so by the June 1 st deadline, you might be subject to penalties based on the Assessed Value of your property. The accompanying chart lists the penalties for owners based on the assessed value of their properties. n FY17 Final Assessed Value From To Penalty Amount $40,000 $99,999 $300 $100,000 $249,999 $750 $250,000 $499,999 $1,500 $500,000 $999,999 $3,000 $1,000,000 $4,999,999 $5,000 $5,000,000 $9,999,999 $20,000 $10,000,000 $14,999,999 $40,000 $15,000,000 $24,999,999 $60,000 $25,000,000+ $100,000 RSA s First Member Rent Registration for 2017 The new cycle for rent registration is underway and the deadline to register rents is July 31, 2017, but do not wait for the last minute! Please contact an RSA counselor as soon as possible to begin your rent registrations for this year. On March 10 th, Mary Corsaro of Brooklyn became the first RSA member to send in her rent registration information for On March 9 th, the first RSA member to complete the rent registration online for 2017 was Rhodes Building Management Inc. Don t forget that RSA s Rent Registration Service is available online and is the quickest and easiest way to register your rents! It is important to note that, when using RSA Rent Registration Services, you MUST use RSA worksheets ONly. If you do not have copies of the RSA worksheets, we can send it to you via mail, , or fax. We will not accept rent registration information unless it is filled out on the proper RSA forms, certified and signed by the owner. To receive the RSA worksheets, please call an RSA counselor (212) n 4 April 2017

5 INSIDE RSA 2017 ANNUAL RENT REGISTRATION IS NOW OPEN! Register your apartments now! Every rent stabilized and newly deregulated apartment must be registered with the NYS DHCR between April 1 and July 31 of each year. DHCR s Tenant Protection Unit (TPU) is closely monitoring rent registration and you may be subject to penalties if your apartments are not properly registered. Protect yourself and register your buildings today through RSA s Rent Registration Service. Why Should You Use RSA Rent Registration Service? Do You Really Trust DHCR To Be the Sole Repository of Your Rent Registration Information? RSA RENT REGISTRATION SERVICE: Mails required notices to tenants and retains proof of mailing Retains images of notices sent to tenants Filters rent information you provide to DHCR-acceptable form Electronically transfers building and apartment data to DHCR and retains the data without limit Produces amended rent registration packages if required Produces certified rent rolls and rent registration receipts if required Totally eliminates need to keep paper records in your office RSA Counselors help you provide all the necessary rent and building information. To use the RSA Online Rent Registration Service, simply visit today! April

6 CITy & STATE RouNDuP DSNy hosts 2017 S.A.F.E. Disposal Events The City Department of Sanitation (DSNY) is once again holding the S.A.F.E. (Solvents, Automotive, Flammable, and Electronics) Disposal Events from April through June throughout the City. These events provide City residents with a one-stop method to get rid of potentially harmful household products, as well as certain electronics that can no longer be discarded curbside. All events will be held from 10 a.m. to 4 p.m., rain or shine, and only New York City residential waste will be accepted. Those attending must provide proof of New York City residency, such as a valid New York State driver s license or a utility bill. These events have been very popular in the past, so DSNY urges participants to arrive early and prepare for lines. For more information on S.A.F.E. Disposal Events, visit The picture below are some examples of what you can bring for disposal, as well as how to package certain materials. The events will be held on these dates at the following locations: 2017 S.A.F.E. DISPOSAL EVENTS MANHATTAN: Sunday, April 30 th 120 th Street between Broadway and Amsterdam avenues STATEN ISLAND: Saturday, May 6 th Midland Beach Parking Lot Father Capodanno Boulevard and Hunter Avenue BRONX: Saturday, May 13 th Orchard Beach Parking Lot QUEENS: Saturday, June 10 th City Field Park Parking Lot A (Cars should approach from Shea Avenue and 126 th Street) 6 April 2017

7 INSIDE RSA RSA Supports State Proposals to Battle City s Historic Homeless Population With the City s homeless population at an all-time high, RSA has pledged support behind two proposals in the State Legislature that could help remedy the crisis throughout the five boroughs and keep tenants in their homes. One proposal, known as the Home Stability Support Program, is currently being sponsored by Queens Assemblyman Andrew Hevesi and Bronx/Westchester Senator Jeff Klein. The proposal aims to provide Federal and State-funded rent supplements to public-assistance eligible tenants who might be facing eviction or homelessness. Although the program is a statewide initiative, a large portion of the 80,000 households that Home Stability Support hopes to aid are in New York City. The program would not only keep thousands of tenants in their homes, but would ease the burden on City taxpayers who are currently funding millions of dollars in failed housing policies that have resulted in a record number of homeless people. In February, Mayor Bill de Blasio unveiled a plan that would build 90 new homeless shelters throughout the City to help curb the City s homeless population. The proposal was met with concern from RSA and many elected officials throughout the City who believe that the proposal is not a proper long-term solution and would require millions of additional taxpayer dollars in order to achieve. RSA strongly believes that the goal should be to provide homeless people with a permanent residence, as well as help those struggling financially with proper rental supplements they need to remain in their homes. Although the Home Stability Support Program would cost approximately $450 million, the burden would not rest exclusively on City taxpayers. The construction of new City homeless shelters, as well as additional money invested into City-funded subsidy programs, would be solely on the backs of the City s taxpayers. Keeping tenants in their homes through the Home Stability Support Program would be a win-win situation for both tenants and rental property owners. To read more about the Home Stability Support Program, visit Another proposal, known as the Tenant Rent Increase Exemption (TRIE) program, has also received the support of RSA. The proposal, which is being sponsored by State Senator Cathy Young, would create a Citywide rent subsidy program that would allow any rent regulated tenant residing in the five boroughs who earns less than $50,000 per year and is paying over 50% of their income in rent to become eligible for a permanent rent freeze. The proposal is very similar to the existing Senior Citizens Rent Increase Exemption (SCRIE) and Disability Rent Increase Exemption (DRIE) programs. However, there will be no age or disability requirements to qualify for the program. Any tenant who meets the criteria of the proposed TRIE program would have their rents frozen and all future increases enacted by the City Rent Guidelines Board (RGB) would be reimbursed to the property owner through real property tax abatements. RSA has said time after time that the true cause of tenants not being able to afford their rent is not a result of excessive rent costs, but because of inadequate incomes. After two years of rent freezes and only a 1% increase in the last three years, many tenants in rent-stabilized apartments continue to struggle paying their rent. As a result, RSA believes this proposal is a far better solution to aiding all tenants that are income-burdened, rather than Mayor de Blasio encouraging the RGB to continue freezing rents on oneyear leases. Although the TRIE proposal seems like the perfect solution for all tenants struggling to meet their rent, the bill has failed to obtain support from major tenant advocates including Mayor de Blasio and the pro-tenant members of the State Assembly. In fact, the bill has passed the State Senate unanimously but has failed to gain the same support in the Assembly. Mayor de Blasio and other protenant elected officials would rather prioritize political ploy rather than support sound policies that truly help tenants. For more on the proposed TRIE bill, visit We will keep you posted of further developments of these two proposals in upcoming editions of the RSA Reporter. n April

8 CITy & STATE RouNDuP First RGb Meeting Cancelled, Deliberations begin March 30 th In early March, RSA learned that Sabeel Rahman, Public Member on the Rent Guidelines Board (RGB) for the last two deliberations, submitted his resignation just weeks before deliberations for RGB Order Number 49 were set to commence. As a result, the deliberations were expected to begin on March 30 th. The resignation comes as a surprise mostly because of its timing. However, it is not the first time there have been vacant seats on the Board prior to the start of deliberations under the de Blasio Administration. The resignation is the second in three months, leaving two vacant Public Member positions on the RGB. As you may recall, beleaguered Public Member Steve Flax resigned in the middle of December Although Mayor Bill de Blasio has had three months to fill his vacant seat, he and his Administration have been notorious for delaying RGB deliberations as a result of not appointing new members to the Board in a timely fashion. At this time, it is unclear who will fill the seats left vacant by Mr. Flax and Mr. Rahman. Despite two vacant seats on the Board and a delayed start for the deliberations, we do not expect it to affect the remaining schedule through the end of June. The RGB schedule through the end of April has been released and the Preliminary Vote is tentatively scheduled to take place on April 27 th at 7 p.m. at the Great Hall at Cooper Union, located at 7 East 7 th Street in Manhattan. Shortly after the Preliminary Vote, we expect the RGB to release the remaining schedule, including dates for the public hearings and Final Vote. In the May edition of the RSA Reporter, we will have in-depth summaries of the RGB reports, including the Price Index of Operating Costs (PIOC) and the Income and Expense (I&E) report. Additionally, we will report on the outcome of the Preliminary Vote. If you have any questions regarding this year s RGB deliberations, please contact Vito Signorile, RSA s Director of Communications, at (212) or via at VSignorile@rsanyc.org. n COMPETITIVE RATES and TERMS ARE STILL AVAILABLE..! As an RSA member, you are entitled to: A free consultation to discuss your particular financing needs Benefit from our expertise & vast network of funding sources to find the right loan Brokers that are professional problem solvers working for you not the banks RSA-MB obtains financing for all Income-Producing properties from Multi-family/Mixed-use to Retail Strip/Office/Owner Occupied/Warehouse & many more We are closers Let us help you close next. Call Us! Wanda I. Pearson CEO/Managing Broker (212) WPearson@RSAMortgageBrokers.com Benjamin Wagner Broker (212) BWagner@RSAMortgageBrokers.com Visit us at 8 April 2017

9 INSIDE RSA April

10 city & state roundup Important Information Regarding Backflow Prevention Devices Backflow prevention devices prevent contaminated water or chemicals in a building from flowing back into the public drinking water supply if there is a sudden or unexpected change in water pressure. The City Department of Environmental Protection (DEP) requires property owners to maintain, inspect and test all approved backflow prevention devices installed in your buildings. Owners must have a licensed professional, known as a New York State Certified Backflow Prevention Device Tester, test each device after it is first installed and again after each repair. Owners are required to have a licensed professional conduct at least one test per year. Upon completion of the test, the certified tester must fill out a copy of DEP s GEN-215B form and mail it to DEP as directed on the form. The form can be found at To view a list of New York State Certified Backflow Prevention Device Testers, visit or contact the State Department of Health s Bureau of Water Supply Protection at (518) or by at h2ocert@health.state.ny.us. For more information regarding backflow prevention devices and inspections, contact the DEP Cross Connection Control Unit at (718) , or visit n City Offers Funding to Fix Lead Paint Hazards The City Department of Housing Preservation and Development (HPD) and City Department of Health and Mental Hygiene (DOHMH) are currently offering grants to rental property owners to fix any lead paint hazards in apartments, building common areas and on fire escapes through the Primary Prevention Program (PPP). Through the PPP, owners are given grants of up to $10,000 per apartment to fix any lead paint hazards. Additionally, the money can be used towards replacing windows and doors that present a significant safety hazard, as well as repair any conditions that can lead to mold, vermin infestation, risk of fall or injury and other health hazards. Owners are not required to pay back these grants. Buildings must meet the following criteria in order to qualify for a PPP grant: it must be located in the five boroughs; it must have been built before 1960; at least 80% of the units are occupied by tenants with low or very low incomes; owners agree to rent to low-income tenants for five years after the lead repair work is completed; and some apartments are occupied by families with young children, pregnant women or caretakers of young children. In order to receive a PPP grant, owners must complete an application and meet all of the program requirements. If you do not meet the all of the recommended criteria, additional rehabilitation programs may also be available through the City for property owners. To request an application or learn more about PPP or other additional funding options, visit and click on Primary Prevention Program in the Preservation section. You may also call 311 and ask for the Lead Treatment Primary Prevention Program. n New Housing Court Judges Appointed The Office of Court Administration has announced the appointment of five Housing Court judges in February. The new judges are Charles Liu, Julie Poley, Frances Ortiz (all previously court attorneys), David Bryan (previously with Brooklyn Legal Services) and Krzysztof Lach (previously with DC 37). Judges Liu, Lach and Bryan are assigned to the Bronx, while Judges Poley and Ortiz are assigned to Brooklyn. The process for appointment requires that an applicant first be approved by the Housing Court Advisory Council, a panel consisting of representatives of owners, tenants, HPD, DHCR, NYCHA, and other persons named by the Administrative Judge of the State of New York. Applicants who are approved by the Advisory Council are then reviewed by the Judiciary Committee of the New York City Bar Association. After successfully completing that stage, applicants are then required to be reviewed and approved by the Administrative Judge in order to be appointed. Judges of the Housing Court serve five-year terms. The process for re-appointment requires that they be reviewed again by the Advisory Council and the Judiciary Committee prior to their reappointment by the Administrative Judge. This process enables all litigants, including property owners and their attorneys, with the opportunity to provide input regarding whether a particular judge should be re-appointed for another five-year term. n 10 April 2017

11 in the courts RSA Taking Action Against City Council Bills The City Council Committee on Housing and Buildings is strongly considering more anti-owner legislation and RSA and its members have taken action by voicing their concern with the proposed bills. One bill, Intro. 648, which is sponsored by Queens Council Member Daniel Dromm, would require property owners to file an annual report with the City Department of Housing Preservation and Development (HPD) that lists any bedbug treatments in your building throughout the year. Additionally, owners would be required to provide all tenants an annual update with information on any bedbug infestations that have occurred throughout the building, as well as information on the prevention detection and removal of such infestations. RSA has argued that providing notices annually to every tenant in the building is a waste of resources since owners are already required to provide a bedbug history to prospective tenants. RSA believes that an annual submission to HPD of any bedbug treatment would be more than sufficient. Tenants should then be able to check the HPD website for bedbug history in a particular apartment. A second bill, Intro. 1489, which is sponsored by Manhattan Council Member Ben Kallos, would allow tenants with children under 10 years of age to request and receive radiator covers from the property owner at the owner s expense. For this bill, RSA has argued that these covers can cost as much as $250 per cover and would be an added financial burden to the property owner. Additionally, these radiator covers will ultimately cut down the amount of heat that is circulated in that tenant s apartment. Needless to say, RSA continues to oppose these proposed bills as they progress through the City Council. As you may recall, City Council Member Jumaane Williams, who is the Chairman of the Council Committee on Housing and Buildings, was the guest speaker at the RSA Membership Meeting in January. RSA members expressed many concerns with the pro-tenant City Council and about regulations that are typically harmful to the City s rental property owners. At that meeting, Council Member Williams vowed to be more considerate of sound legislation for both tenants and property owners. As a result, RSA urged our members via blast to reach out to Council Member Williams directly to voice concerns over these two proposed bills. Within a few days, dozens of RSA members sent s to the Council Member and his staff and detailed the additional burdens these proposed bills would create for rental property owners. If you have not already done so and would like to reach out to Council Member Williams regarding these bills, you may send an to JWilliams@council.nyc.gov. When ing, we also urge you to CC Vito Signorile, RSA s Director of Communications, at vsignorile@rsanyc.org, so that RSA knows that you have reached out to Council Member Williams regarding these proposed laws. n UPDATE YOUR CONTACT information Stay up-to-date with RSA and the rental housing industry by updating your member contact information. Additional names, phone numbers and addresses can be linked to your RSA Memer ID. You can indicate what type of information should be sent to each contact (for example, billing, rent registration, safety notices or all). Please contact an RSA counselor at to update this information or fill out the form below. RSA Member ID: Company: Name: Contact Type: o Rent Registration o Safety Notices o Membership Dues o All Information o Alerts Return To: Rent Stabilization Association -or- FAX To: William Street; 14 th Floor or via the RSA website New York, NY April

12 INSIDE RSA Settlement Announced in Public Assistance Lawsuit Rent Assistance to Increase for Low-Income Families with Children One of the often over-looked aspects of the landlord-tenant world is that the interests of apartment building owners and tenants can, on occasion, overlap. The most recent example of these overlapping interests was the announcement by the Legal Aid Society that it had settled a lawsuit it had brought against the State of New York relating to rental payment supplements for tenants on public assistance. The program, known as FEPS (Family Eviction Prevention Supplement), has not had an increase in the amount of the supplement since To be eligible to receive FEPS payments, there are several requirements that must be met by the tenant. Foremost among those requirements, the tenant must be a recipient of assistance from the Human Resources Administration (HRA) and the tenant must have an eviction proceeding brought against them in Housing Court where rent over and above the regular shelter allowance is owed by the tenant. There are other requirements as well, and the amount of the supplement varies depending upon the size of the apartment and the number of family members residing in the apartment. The settlement-, which still must be approved by the court and which will then require some time to allow for implementation, would result in a significant increase in the amount of the rental supplement. For example, the rent supplement for a twobedroom apartment, which is currently $900 for a family of four, would increase to $1,515. The program will also be re-named as the Family Homelessness and Eviction Prevention Supplement (FHEPS). By increasing the amount of the rental supplements, the settlement is indicative of the various mechanisms such as the sky-rocketing use of one-shot deals which are being used to try to address the City s ever-increasing homeless population. In 2014, when Mayor Bill de Blasio took office, 51,000 people were in homeless shelters; most recently, that number exceeded 60,000. Upcoming editions of the RSA Reporter will keep you informed regarding the implementation of the settlement. n SAVE THE DATE RSA SEMINAR: Rent Subsidies Wednesday, June 7, 2017 The seminar will provide information on State and City rent assistance programs and representatives from HPD and NYCHA will speak about Section 8. The seminar will also address the role of Housing Court in the public subsidy process. 12 April 2017

13 INSIDE RSA RSA Wants to Tell Your Story Ever wonder where the owner point of view is when you see news stories about NYC rent regulation issues? Are you tired of always hearing about the tenants? Do you own an aging building that you are struggling to maintain? If you d like to tell your story, please contact RSA Director of Communications Vito Signorile at or vsignorile@rsanyc.org to learn how you can help change the public perception of rent stabilized property owners. Protect your investment with RSA INSURANCE AGENCY, INC. A fully licensed in-house insurance brokerage agency fully dedicated to the needs of RSA members. Our goal is to provide members with the most adequate and reliable property and liability insurance coverage at the most competitive rates. COVERAGES: Property General Liability (Coverage also available for Silent on Lead and Mold) Umbrella Liability (Limits available to $200,000,000) Flood and Earthquake coverage available with most programs 3 years of Loss Experience is required for most programs. 5 years of Loss Experience is required for most Lead programs. For more information or to schedule an appointment, please contact RSA Insurance Agency, Inc. Director Mark Losavio at (212) or via at MLosavio@rsanyc.org. April

14 INSIDE RSA 14 April 2017

15 INSIDE RSA April

16 Rent Stabilization Association 123 William Street, 14 th Floor New York, NY Periodical Postage Paid NY NY RSA CALENDAR OF EVENTS April 26 RSA Membership Meeting 2:30PM-4:00PM at the RSA Office. Register by calling (212) or via at See page 2 for details. May 1 File J-51 Applications For tax abatements and exemptions with HPD, the second quarter filing period is May 1 to June 15. Local Law 84: Benchmarking (LL84) Last day to file without penalty. May 2 Income Certification Form to High Rent Tenants Last day to deliver or mail the DHCR Income Certification form to rent-stabilized and rent-controlled tenants whose rent is $2,700 or more per month. If you send the form by mail, make sure your envelope is postmarked no alter than April 30, May 29 Memorial Day Building Service Employees Union and Sanitation Workers holiday. No garbage pick-up. No street cleaning. CITy, STATE ANd RSA OffICES ClOSEd. May 31 Heating Season Ends Owners are not required to provide heat between June 1 and September 30. Hot water requirements apply year-round. May 31 Deadline to File Violation Certification for Cycles June 7 Save the Date RSA Seminar: Rent Subsidies See page 12 for details. May 17 RSA Mortgage Brokerage Seminar: Loan Types, Options & Terms 2:30PM-4:00PM at the RSA Office. RSVP by calling (212) or via at NRana@RSAMortgageBrokers.com. See page 3 for details.