New York, NY – Assemblymember Linda B. Rosenthal (D/WF-Manhattan) today announced that she passed two bills that will protect tenants and preserve affordable housing.

Assembly bill A.991 would overturn a pro-landlord decision by the New York City Rent Guidelines Board (RGB), which allowed landlords to levy a surcharge on the rents of rent-stabilized tenants paying less than $1,000 in monthly rent who had been living in their apartments for more than six years. The Legal Aid Society brought suit, and in 2010, the Supreme Court of New York County held that the RGB did not have the authority to grant supplemental rent increases if not authorized by the Legislature.

“Not only did the Court infringe on the Legislature’s exclusive role in determining rent adjustments for rent-regulated units in its decision in the Casado v. Markus case,” said Assemblymember Linda B. Rosenthal, “but it also reinforced a system whereby landlords are essentially allowed to charge rent-regulated tenants a poor tax. The decision is simply inconceivable on any number of levels, and sets a dangerous precedent.”

A.991 will guarantee that only the Legislature, and not the demonstrably pro-landlord RGB, will be able to determine rent adjustments for rent-regulated tenants. In addition, it will end a practice that disproportionately impacts seniors, low-income and working-class tenants. Specifically, the bill will prevent county rent guidelines boards from establishing rent adjustments for class A multiple dwelling units based on the current rental cost of a unit or on the amount of time that has elapsed since another rent increase authorized was authorized.

Assemblymember Rosenthal also passed legislation (A.748) that would allow the New York State Department of Homes and Community Renewal (HCR) to look back beyond the statutory four-year look back period when considering overcharge complaints based on rent reduction orders that were granted before the 4-year look back period but would have been in effect during it to consider the legal regulated rent.

This bill will codify the legal precedent set by the Court of Appeals of New York in 2010 in the Matter of Cintron v. Calogero. In the case, in 1986 the tenant sought and was granted a rent reduction order by HCR because of conditions that existed in his apartment. In 1989, the tenant again sought and was granted an additional rent reduction order for different conditions. The owner of the building at the time did not honor the rent reduction order, nor did he make any repairs to the unit. In 1991, the building was purchased by a new owner who also did not honor the rent reduction orders or make any repairs. In 2003, the tenant brought a legal action to establish that his legal regulated rent should have reflected the two rent reduction orders that had been granted. HCR, permitted by statute to only look back four years, determined that it could not consider either of the rent reduction orders. The Court disagreed.

“Though the explanation may sound complicated, the outcome of this law is very simple,” said Assemblymember Linda B. Rosenthal. “This bill will protect tenants from unwarranted and illegal rent increases as a result of a landlord’s failure to maintain a habitable building. Landlords will not be able to increase rent because of a statutory loophole that allows HCR to look back only four years.”

This session, Assemblymember Rosenthal has already passed A.1585/S.1167, which would repeal vacancy decontrol, which allows landlords to remove rent stabilized and rent controlled units from regulation if the apartment becomes vacant and the landlord undertakes repairs and improvements to the unit, a percentage of which could then be applied to the rent. Vacancy decontrol is an incentive to landlords to withhold services and necessary repairs and harass the tenant in hopes that the tenant will eventually vacate the unit. A.1128, which passed the Assembly earlier this month, would protect thousands of Mitchell-Lama tenants from steep rent increases after their building leaves the housing program.

“Taken together, these four bills will go a long way toward preserving the dwindling affordable housing stock in New York City, said Assemblymember Rosenthal. “The state Senate is in the pocket of wealthy landlords, so unfortunately, it will be an uphill battle to see these become law.”