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A06772 Summary:

BILL NOA06772A
 
SAME ASSAME AS S06352-C
 
SPONSORBurgos
 
COSPNSRGibbs, Hyndman, Benedetto, Zebrowski, Slater, Zaccaro, Magnarelli, Wallace
 
MLTSPNSR
 
Amd §26-511, add §§26-511.2 & 26-513.1, NYC Ad Cd; amd §§6, 10 & 9, Emerg Ten Prot Act of 1974
 
Provides that when a housing accommodation has been vacated after continuous tenancy or occupancy of ten years or more prior to vacancy, and the owner can demonstrate restoration of the unit, the new legal regulated rent shall be the rent agreed to by the owner and first tenant after such restoration and reserved in a lease or other rental agreement; makes related provisions.
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A06772 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         6772--A
 
                               2023-2024 Regular Sessions
 
                   IN ASSEMBLY
 
                                       May 8, 2023
                                       ___________
 
        Introduced  by  M.  of  A. BURGOS, GIBBS, HYNDMAN, BENEDETTO, ZEBROWSKI,
          SLATER, ZACCARO -- read once and referred to the Committee on  Housing
          -- recommitted to the Committee on Housing in accordance with Assembly
          Rule  3,  sec.  2  --  committee  discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee

        AN ACT to amend the administrative code of the  city  of  New  York,  in
          relation  to  certain housing accommodations; and to amend chapter 576
          of the laws of 1974, constituting the emergency tenant protection  act
          of nineteen seventy-four, in relation to certain hardship provisions
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision c of section 26-511 of the administrative  code
     2  of  the city of New York is amended by adding a new paragraph 16 to read
     3  as follows:
     4    (16) provides that, notwithstanding any other provision of this  chap-
     5  ter  to the contrary, when a housing accommodation subject to this chap-
     6  ter has been vacated after continuous tenancy or occupancy of ten  years
     7  or  more  prior to vacancy, and the owner can demonstrate restoration of
     8  the unit as set forth in section 26-511.2 of this chapter, the new legal
     9  regulated rent shall be the rent agreed to by the owner and first tenant
    10  after such restoration and reserved in a lease or  other  rental  agree-
    11  ment; provided that such new legal regulated rent:  (i) shall not exceed
    12  the section 8 voucher payment standard adopted by a local public housing
    13  agency  for a unit of the same size and located within the same zip code
    14  that was in effect at the time the lease was executed; and (ii)  may  be
    15  adjusted  on  audit by the division under section 26-511.2 of this chap-
    16  ter, or on application of a tenant or owner under  section  26-513.1  of
    17  this  chapter.  The  legal  regulated  rent adjustment set forth in this
    18  paragraph shall be known as  the  local  regulated  housing  restoration
    19  adjustment.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10320-18-4

        A. 6772--A                          2
 
     1    §  2.  The  administrative  code of the city of New York is amended by
     2  adding a new section 26-511.2 to read as follows:
     3    § 26-511.2 The local regulated housing restoration adjustment.  a. The
     4  division  of  housing and community renewal, the "division" shall estab-
     5  lish a notification procedure and  documentation  submission  guidelines
     6  for  the  local regulated housing restoration adjustment.  Documentation
     7  to qualify for the local regulated housing restoration adjustment  shall
     8  be limited to:
     9    (1)  XRF test results or other documentation demonstrating a lead-free
    10  housing accommodation under applicable local definitions;
    11    (2) any required tenant protection plans or similar submissions to the
    12  local building department in connection with such restoration;
    13    (3) any required contractor licenses or certifications;
    14    (4) list and specifications of new electric appliances installed;
    15    (5) before and after photos;
    16    (6) lease or rental agreement listing new legal regulated rent;
    17    (7) evidence of renting to a housing subsidy voucher  holder,  or  the
    18  section  8  voucher  payment  standard adopted by a local public housing
    19  agency for a unit of the same size and located within the same zip  code
    20  that was in effect at the time the lease was executed;
    21    (8)  evidence  of  renting  to  a  housing  subsidy voucher holder, or
    22  documentation confirming that, as of the date of the commencement of the
    23  incoming tenant's lease, any physical condition within the unit that was
    24  the basis for a previously issued violation has been corrected; and
    25    (9) for units vacated after the effective date of this section, a form
    26  to be promulgated by the division and  signed  by  the  previous  tenant
    27  affirming that the vacatur prior to the local regulated housing restora-
    28  tion  adjustment  was  voluntary  and  not  the result of unlawful owner
    29  harassment. In considering the sufficiency of  alternate  documentation,
    30  and  notwithstanding other potentially sufficient documentation, vacatur
    31  shall be presumed voluntary and not the result of owner harassment  when
    32  (i)  the  owner  recovered  possession  of  the  unit  through  judicial
    33  proceedings, (ii) the owner demonstrates abandonment of the unit through
    34  electronic communications, recordings, or other  evidence  of  voluntary
    35  vacatur,  or  (iii)  the owner demonstrates the previous tenant died and
    36  the unit was not occupied by a lawful successor.
    37    b. The local regulated housing restoration  adjustment  shall  not  be
    38  permitted:
    39    (1)  for units that are rented within a twenty-four-month period after
    40  an arm's length transfer of ownership;
    41    (2) for units that are rented within a thirty-six-month  period  after
    42  determination  by  the  division  that the owner has engaged in unlawful
    43  harassment with respect to the unit;
    44    (3) for units in buildings subject to housing preservation and  devel-
    45  opment's alternative enforcement program; or
    46    (4) after an unlawful eviction.
    47    c.  The division shall establish an audit process to review a percent-
    48  age, as established by the  division,  of  housing  accommodations  that
    49  register  adjusted legal regulated rents under the local regulated hous-
    50  ing restoration adjustment.   The division's established  audit  process
    51  shall be subject to the following requirements:
    52    (1) any audit shall be limited to: (i) confirmation that documentation
    53  set  forth in subdivision a of this section has been submitted; and (ii)
    54  unless rented to a housing subsidy voucher holder, confirmation that the
    55  unit's agreed rent does not exceed the section 8 voucher payment  stand-
    56  ard adopted by a local public housing agency for a unit of the same size

        A. 6772--A                          3
 
     1  and  located within the same zip code that was in effect at the time the
     2  lease was executed.  Such audit shall be initiated within  one  year  of
     3  the  filing of an annual apartment registration indicating an adjustment
     4  to  the  legal regulated rent under the local regulated housing restora-
     5  tion adjustment; and
     6    (2) if an audit under this subdivision determines that  (i)  an  owner
     7  has  failed  to  submit documentation set forth in subdivision a of this
     8  section and the owner then fails to  submit  any  missing  documentation
     9  after  sixty  days'  written notice from the division, or (ii) the local
    10  housing restoration adjustment exceeds the  section  8  voucher  payment
    11  standard adopted by a local public housing agency for a unit of the same
    12  size and located within the same zip code that was in effect at the time
    13  the  lease was executed, the division shall set the subject unit's legal
    14  regulated rent at an amount equal to seventy-five percent of the section
    15  8 voucher payment standard adopted by a local public housing agency  for
    16  a unit of the same size and located within the same zip code that was in
    17  effect  at  the time the lease was executed, except that the legal regu-
    18  lated rents for units subject  to  housing  subsidy  vouchers  shall  be
    19  established  at the contract rent amount approved by the agency adminis-
    20  tering the voucher.
    21    (3) Any required refunds shall be  made  in  accordance  with  section
    22  26-513.1 of this chapter.
    23    d. To encourage rental of units subject to a local housing restoration
    24  adjustment  to individuals and families with housing subsidy vouchers or
    25  that are in communities of need, the  division  shall  establish  incen-
    26  tives, in addition to those already contained in this section, for hous-
    27  ing  providers  who  rent  to housing subsidy voucher holders located in
    28  very low- and low-income zip codes.
    29    e. Access to the documentation submitted as part of  the  local  regu-
    30  lated  housing restoration adjustment shall be governed by the same laws
    31  governing access to building and apartment registrations filed with  the
    32  division.
    33    §  3.  The  administrative  code of the city of New York is amended by
    34  adding a new section 26-513.1 to read as follows:
    35    § 26-513.1 Application  for  adjustment  of  local  regulated  housing
    36  restoration  adjustment.  a.  The tenant of a housing accommodation that
    37  was vacant on, or became vacant after,  June  14,  2019,  and  has  been
    38  subject  to the local regulated housing restoration adjustment, may file
    39  with the commissioner of housing and community renewal within  120  days
    40  after  notice  has  been received under subdivision c of this section an
    41  application for the adjustment of the rent  for  such  housing  accommo-
    42  dation. Such applications shall be subject to the following:
    43    (1)  in  the  application, the tenant must allege that the local regu-
    44  lated housing restoration adjustment rent exceeds the section 8  voucher
    45  payment  standard adopted by a local public housing agency for a unit of
    46  the same size and located within the same zip code that was in effect at
    47  the time the lease was executed.
    48    (2) in determining an application filed pursuant to this section,  the
    49  commissioner  shall  only  consider whether the subject rent exceeds the
    50  section 8 voucher payment standard adopted by  a  local  public  housing
    51  agency  for a unit of the same size and located within the same zip code
    52  that was in effect at the time the lease was executed.
    53    (3) the owner of the housing accommodation subject to  an  application
    54  under  this  section  shall  be given an opportunity to submit a written
    55  answer to any application.

        A. 6772--A                          4
 
     1    (4) when the  local  regulated  housing  restoration  adjustment  rent
     2  amount  is  determined  to exceed the section 8 voucher payment standard
     3  adopted by a local public housing agency for a unit of the same size and
     4  located within the same zip code that was in  effect  at  the  time  the
     5  lease  was  executed,  the commissioner of housing and community renewal
     6  shall order that the legal regulated rent for the subject unit shall  be
     7  equal  to seventy-five percent of the section 8 voucher payment standard
     8  adopted by a local public housing agency for a unit of the same size and
     9  located within the same zip code that was in  effect  at  the  time  the
    10  lease  was  executed;  except  that  the legal regulated rents for units
    11  subject to housing subsidy vouchers shall be equal to the contract  rent
    12  amount  approved by the local housing authority that issues the voucher.
    13  Any required refunds shall be made by the owner in cash or as  a  credit
    14  against unpaid rent over a period not to exceed six months.
    15    b.  Notwithstanding  subdivision  a of this section, provided that the
    16  owner has submitted to the division  documentation  in  accordance  with
    17  subdivision  a  of  section 26-511.2 of this chapter, the division shall
    18  only determine whether the tenancy  is  subject  to  a  housing  subsidy
    19  voucher  and, if not, whether the rent charged to the first tenant after
    20  the local regulated housing restoration adjustment exceeds the section 8
    21  voucher payment standard adopted by a local public housing agency for  a
    22  unit  of  the  same  size  located  within the same zip code that was in
    23  effect at the time the lease was executed.  Any documentation  deficien-
    24  cies  shall  be  resolved through the audit process set forth in section
    25  26-511.2 of this chapter.
    26    c. In the lease execution package for the first lease after the  legal
    27  rent  was adjusted under the local regulated housing restoration adjust-
    28  ment, the owner shall give notice, both in the lease and subsequently in
    29  writing by certified mail, or by electronic delivery if the  tenant  has
    30  opted to receive electronic delivery of documents, to the tenant of such
    31  housing  accommodation on a form prescribed by the commissioner of hous-
    32  ing and community renewal that the local regulated  housing  restoration
    33  adjustment  was applied, including notification of the prior legal regu-
    34  lated rent, a description of work completed, the  building  address  and
    35  the section 8 voucher payment standard adopted by a local public housing
    36  agency  for a unit of the same size and located within the same zip code
    37  that was in effect at the time the lease was executed, and such tenant's
    38  right to file an application challenging the new legal regulated rent of
    39  such housing accommodation.
    40    § 4. Paragraph 5 of subdivision d of section 6 of section 4 of chapter
    41  576 of the laws of 1974, constituting the  emergency  tenant  protection
    42  act  of  nineteen seventy-four, as amended by chapter 102 of the laws of
    43  1984, is amended and a new paragraph 6 is added to read as follows:
    44    (5) as an alternative to the hardship application provided under para-
    45  graph four of this subdivision, owners of buildings acquired by the same
    46  owner or a related entity owned by the same principals three years prior
    47  to the date of application may apply to the division  for  increases  in
    48  excess  of the level of applicable guideline increases established under
    49  this law based on a finding by  the  commissioner  that  such  guideline
    50  increases  are  not sufficient to enable the owner to maintain an annual
    51  gross rent income for such building which exceeds the  annual  operating
    52  expenses  of  such  building  by a sum equal to at least five percent of
    53  such gross rent. For the purposes of this paragraph, operating  expenses
    54  shall  consist  of  the actual, reasonable, costs of fuel, labor, utili-
    55  ties, taxes, other than  income  or  corporate  franchise  taxes,  fees,
    56  permits,  necessary  contracted services and non-capital repairs, insur-

        A. 6772--A                          5
 
     1  ance, parts and supplies, management fees and other administrative costs
     2  and mortgage interest. For the  purposes  of  this  paragraph,  mortgage
     3  interest  shall  be  deemed  to  mean  interest  on a bona fide mortgage
     4  including  an allocable portion of charges related thereto.  Criteria to
     5  be considered in determining a bona fide mortgage other than an institu-
     6  tional mortgage shall include; condition of the  property,  location  of
     7  the  property,  the existing mortgage market at the time the mortgage is
     8  placed, the term of the mortgage, the amortization rate,  the  principal
     9  amount  of  the mortgage, security and other terms and conditions of the
    10  mortgage. The commissioner shall set a rental value for any  unit  occu-
    11  pied  by the owner or a person related to the owner or unoccupied at the
    12  owner's choice for more than one month at the last regulated  rent  plus
    13  the minimum number of guidelines increases or, if no such regulated rent
    14  existed  or  is  known,  the commissioner shall impute a rent consistent
    15  with other rents in the building. The amount of hardship increase  shall
    16  be  such  as may be required to maintain the annual gross rent income as
    17  provided by this paragraph. The division  shall  not  grant  a  hardship
    18  application  under  this paragraph or paragraph four of this subdivision
    19  for a period of three years subsequent to granting a  hardship  applica-
    20  tion  under  the  provisions  of  this  paragraph. The collection of any
    21  increase in the rent for any  housing  accommodation  pursuant  to  this
    22  paragraph  shall  not  exceed six percent in any year from the effective
    23  date of the order granting the increase over the rent set forth  in  the
    24  schedule  of gross rents, with collectability of any dollar excess above
    25  said sum to be spread forward in similar increments  and  added  to  the
    26  rent  as  established  or  set  in future years. No application shall be
    27  approved unless the owner's equity in such building exceeds five percent
    28  of: (i) the arms length purchase price of the property; (ii) the cost of
    29  any capital improvements  for  which  the  owner  has  not  collected  a
    30  surcharge; (iii) any repayment of principal of any mortgage or loan used
    31  to  finance the purchase of the property or any capital improvements for
    32  which the owner has not collected a surcharge; and (iv) any increase  in
    33  the  equalized  assessed value of the property which occurred subsequent
    34  to the first valuation of the property after purchase by the owner.  For
    35  the purposes of this paragraph, owner's equity shall mean the sum of (i)
    36  the purchase price of the property less the principal of any mortgage or
    37  loan  used to finance the purchase of the property, (ii) the cost of any
    38  capital improvement for which the owner has not  collected  a  surcharge
    39  less the principal of any mortgage or loan used to finance said improve-
    40  ment,  (iii) any repayment of the principal of any mortgage or loan used
    41  to finance the purchase of the property or any capital  improvement  for
    42  which  the owner has not collected a surcharge, and (iv) any increase in
    43  the equalized assessed value of the property which  occurred  subsequent
    44  to  the  first valuation of the property after purchase by the owner[.];
    45  or
    46    (6) provides that, notwithstanding any other provision of this chapter
    47  to the contrary, when a housing accommodation subject  to  this  chapter
    48  has  been  vacated after continuous tenancy or occupancy of ten years or
    49  more prior to vacancy, and the owner can demonstrate restoration of  the
    50  unit  as  set forth in subdivision (a-1) of section ten of this chapter,
    51  the new legal regulated rent shall be the rent agreed to  by  the  owner
    52  and first tenant after such restoration and reserved in a lease or other
    53  rental  agreement;  provided  that  such new legal regulated rent:   (i)
    54  shall not exceed the section 8 voucher payment  standard  adopted  by  a
    55  local  public  housing  agency  for  a unit of the same size and located
    56  within the same zip code that was in effect at the time  the  lease  was

        A. 6772--A                          6

     1  executed; and (ii) may be adjusted on audit by the division under subdi-
     2  vision  (a-1)  of  section  ten  of this chapter, or on application of a
     3  tenant or owner under subdivision d-1 of section nine of  this  chapter.
     4  The legal regulated rent adjustment set forth in this paragraph shall be
     5  known as the local regulated housing restoration adjustment.
     6    §  5.  Section  10  of  section  4 of chapter 576 of the laws of 1974,
     7  constituting the emergency tenant protection act  of  nineteen  seventy-
     8  four is amended by adding a new subdivision (a-1) to read as follows:
     9    (a-1)  the division of housing and community renewal shall establish a
    10  notification procedure and documentation submission guidelines  for  the
    11  local  regulated  housing  restoration  adjustment.  a. Documentation to
    12  qualify for the local regulated housing restoration adjustment shall  be
    13  limited to:
    14    (1)  XRF test results or other documentation demonstrating a lead-free
    15  housing accommodation under applicable local definitions;
    16    (2) any required tenant protection plans or similar submissions to the
    17  local building department in connection with such restoration;
    18    (3) any required contractor licenses or certifications;
    19    (4) list and specifications of new electric appliances installed;
    20    (5) before and after photos;
    21    (6) lease or rental agreement listing new legal regulated rent;
    22    (7) evidence of renting to a housing subsidy voucher  holder,  or  the
    23  section  8  voucher  payment  standard adopted by a local public housing
    24  agency for a unit of the same size and located within the same zip  code
    25  that was in effect at the time the lease was executed;
    26    (8)  evidence  of  renting  to  a  housing  subsidy voucher holder, or
    27  documentation confirming that, as of the date of the commencement of the
    28  incoming tenant's lease, any physical condition within the unit that was
    29  the basis for a previously issued violation has been corrected; and
    30    (9) for units vacated after the effective date of this subdivision,  a
    31  form to be promulgated by the division and signed by the previous tenant
    32  affirming that the vacatur prior to the local regulated housing restora-
    33  tion  adjustment  was  voluntary  and  not  the result of unlawful owner
    34  harassment. In considering the sufficiency of  alternate  documentation,
    35  and  notwithstanding other potentially sufficient documentation, vacatur
    36  shall be presumed voluntary and not the result of owner harassment  when
    37  (i)  the  owner  recovered  possession  of  the  unit  through  judicial
    38  proceedings, (ii) the owner demonstrates abandonment of the unit through
    39  electronic communications, recordings, or other  evidence  of  voluntary
    40  vacatur,  or  (iii)  the owner demonstrates the previous tenant died and
    41  the unit was not occupied by a lawful successor.
    42    b. The local regulated housing restoration  adjustment  shall  not  be
    43  permitted:
    44    (1)  for units that are rented within a twenty-four-month period after
    45  an arm's length transfer of ownership;
    46    (2) for units that are rented within a thirty-six-month  period  after
    47  determination  by  the  division  that the owner has engaged in unlawful
    48  harassment with respect to the unit;
    49    (3) for units in buildings subject to housing preservation and  devel-
    50  opment's alternative enforcement program; or
    51    (4) after an unlawful eviction.
    52    c.  The  division  of housing and community renewal shall establish an
    53  audit process to review a percentage, as established by the division, of
    54  housing accommodations that  register  adjusted  legal  regulated  rents
    55  under  the  local  regulated housing restoration adjustment.   The divi-

        A. 6772--A                          7

     1  sion's established audit process  shall  be  subject  to  the  following
     2  requirements:
     3    (1) any audit shall be limited to: (i) confirmation that documentation
     4  set  forth  in  paragraph  a of this subdivision has been submitted; and
     5  (ii) unless rented to a housing  subsidy  voucher  holder,  confirmation
     6  that  the  units  agreed upon rent as reserved in a lease agreement does
     7  not exceed the section 8 voucher payment standard  adopted  by  a  local
     8  public housing agency for a unit of the same size and located within the
     9  same  zip  code  that  was in effect at the time the lease was executed.
    10  Such audit shall be initiated within one year of the filing of an annual
    11  apartment registration indicating an adjustment to the  legal  regulated
    12  rent under the local regulated housing restoration adjustment; and
    13    (2)  if  an audit under this subdivision determines that: (i) an owner
    14  has failed to submit documentation set forth in subdivision  a  of  this
    15  section  and  the  owner  then fails to submit any missing documentation
    16  after sixty days' written notice from the division; or  (ii)  the  local
    17  housing  restoration  adjustment  exceeds  the section 8 voucher payment
    18  standard adopted by a local public housing agency for a unit of the same
    19  size and located within the same zip code that was in effect at the time
    20  the lease was executed, the division shall set the subject unit's  legal
    21  regulated rent at an amount equal to seventy-five percent of the section
    22  8  voucher payment standard adopted by a local public housing agency for
    23  a unit of the same size and located within the same zip code that was in
    24  effect at the time the lease was executed, provided, however,  that  the
    25  legal  regulated  rents  for  units  subject to housing subsidy vouchers
    26  shall be established at the contract rent amount approved by the  agency
    27  administering the voucher.
    28    (3)  Any  required  refunds  shall  be made in accordance with section
    29  26-513.1 of this chapter.
    30    d. To encourage rental of units subject to a local housing restoration
    31  adjustment to individuals and families with housing subsidy vouchers  or
    32  that  are  in  communities  of need, the division shall establish incen-
    33  tives, in addition to those already contained in this section, for hous-
    34  ing providers who rent to housing subsidy  voucher  holders  located  in
    35  very low- and low-income zip codes.
    36    e.  Access  to  the documentation submitted as part of the local regu-
    37  lated housing restoration adjustment shall be governed by the same  laws
    38  governing  access to building and apartment registrations filed with the
    39  division.
    40    § 6. Section 9 of section 4 of  chapter  576  of  the  laws  of  1974,
    41  constituting  the  emergency  tenant protection act of nineteen seventy-
    42  four is amended by adding a new subdivision d-1 to read as follows:
    43    d-1. (1) The tenant of a housing accommodation that was vacant on,  or
    44  became  vacant  after,  June 14, 2019, and has been subject to the local
    45  regulated housing restoration adjustment, may file with the commissioner
    46  within 120 days after notice has been received under paragraph three  of
    47  this  subdivision an application for the adjustment of the rent for such
    48  housing accommodation.   Such  applications  shall  be  subject  to  the
    49  following:
    50    (i)  in  the  application, the tenant must allege that the local regu-
    51  lated housing restoration adjustment rent exceeds the section 8  voucher
    52  payment  standard adopted by a local public housing agency for a unit of
    53  the same size and located within the same zip code that was in effect at
    54  the time the lease was executed;
    55    (ii) in determining an application filed pursuant to this section, the
    56  commissioner of housing and community renewal shall only consider wheth-

        A. 6772--A                          8
 
     1  er the subject rent exceeds  the  section  8  voucher  payment  standard
     2  adopted by a local public housing agency for a unit of the same size and
     3  located  within  the  same  zip  code that was in effect at the time the
     4  lease was executed;
     5    (iii) the owner of the housing accommodation subject to an application
     6  under  this  section  shall  be given an opportunity to submit a written
     7  answer to any application; and
     8    (iv) when the local  regulated  housing  restoration  adjustment  rent
     9  amount  is  determined  to exceed the section 8 voucher payment standard
    10  adopted by a local public housing agency for a unit of the same size and
    11  located within the same zip code that was in  effect  at  the  time  the
    12  lease  was  executed,  the commissioner of housing and community renewal
    13  shall order that the legal regulated rent for the subject unit shall  be
    14  equal  to seventy-five percent of the section 8 voucher payment standard
    15  adopted by a local public housing agency for a unit of the same size and
    16  located within the same zip code that was in  effect  at  the  time  the
    17  lease  was  executed;  provided, however, that the legal regulated rents
    18  for units subject to housing subsidy vouchers  shall  be  equal  to  the
    19  contract rent amounts approved by the local housing agency administering
    20  the voucher.  Any required refunds shall be made by the owner in cash or
    21  as a credit against unpaid rent over a period not to exceed six months.
    22    (2) Notwithstanding paragraph a of this subdivision, provided that the
    23  owner  has  submitted  to  the division documentation in accordance with
    24  subdivision (a-1) of section ten of this  chapter,  the  division  shall
    25  only  determine  whether  the  tenancy  is  subject to a housing subsidy
    26  voucher and, if not, whether the rent charged to the first tenant  after
    27  the local regulated housing restoration adjustment exceeds the section 8
    28  voucher  payment standard adopted by a local public housing agency for a
    29  unit of the same size located within the  same  zip  code  that  was  in
    30  effect  at the time the lease was executed.  Any documentation deficien-
    31  cies shall be resolved through the audit process set forth  in  subdivi-
    32  sion (a-1) of section ten of this chapter.
    33    (3) In the lease execution package for the first lease after the legal
    34  rent  was adjusted under the local regulated housing restoration adjust-
    35  ment, the owner shall give notice, both in the lease and subsequently in
    36  writing by certified mail, or by electronic delivery if the  tenant  has
    37  opted to receive electronic delivery of documents, to the tenant of such
    38  housing  accommodation on a form prescribed by the commissioner of hous-
    39  ing and community renewal that the local regulated  housing  restoration
    40  adjustment  was applied, including notification of the prior legal regu-
    41  lated rent, a description of work completed, the  building  address  and
    42  the section 8 voucher payment standard adopted by a local public housing
    43  agency  for a unit of the same size and located within the same zip code
    44  that was in effect at the time the lease was executed, and such tenant's
    45  right to file an application for adjustment of the new  legal  regulated
    46  rent of such housing accommodation.
    47    §  7.  This  act  shall take effect immediately; and provided that the
    48  amendments to chapter 4 of title 26 of the administrative  code  of  the
    49  city  of  New York made by sections one, two and three of this act shall
    50  expire on the same date as such law expires and  shall  not  affect  the
    51  expiration of such law as provided under section 26-520 of such law.
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