N.Y. Emergency Tenant Protection Act 576/74 § 4: Establishment of rent guidelines boards; duties

§ 4. Establishment of rent guidelines boards; duties. a. In each

county wherein any city having a population of less than one million or

any town or village has determined the existence of an emergency

pursuant to section three of this act, there shall be created a rent

guidelines board to consist of nine members appointed by the

commissioner of housing and community renewal upon recommendation of the

county legislature, except that a rent guidelines board created

subsequent to the effective date of the chapter of the laws of two

thousand nineteen that amended this section shall consist of nine

members appointed by the commissioner of housing and community renewal

upon recommendations of the local legislative body of each city having a

population of less than one million or town or village which has

determined the existence of an emergency pursuant to section three of

this act. Such recommendation shall be made within thirty days after the

first local declaration of an emergency in such county; two such members

shall be representative of tenants, two shall be representative of

owners of property, and five shall be public members each of whom shall

have had at least five years experience in either finance, economics or

housing. One public member shall be designated by the commissioner to

serve as chairman and shall hold no other public office. No member,

officer or employee of any municipal rent regulation agency or the state

division of housing and community renewal and no person who owns or

manages real estate covered by this law or who is an officer of any

owner or tenant organization shall serve on a rent guidelines board. One

public member, one member representative of tenants and one member

representative of owners shall serve for a term ending two years from

January first next succeeding the date of their appointment; one public

member, one member representative of tenants and one member

representative of owners shall serve for terms ending three years from

the January first next succeeding the date of their appointment and

three public members shall serve for terms ending four years from

January first next succeeding the dates of their appointment.

Thereafter, all members shall serve for terms of four years each.

Members shall continue in office until their successors have been

appointed and qualified. The commissioner shall fill any vacancy which

may occur by reason of death, resignation or otherwise in a manner

consistent with the original appointment. A member may be removed by the

commissioner for cause, but not without an opportunity to be heard in

person or by counsel, in his defense, upon not less than ten days

notice. Compensation for the members of the board shall be at the rate

of one hundred dollars per day, for no more than twenty days a year,

except that the chairman shall be compensated at the rate of one hundred

twenty-five dollars a day for no more than thirty days a year. The board

shall be provided staff assistance by the division of housing and

community renewal. The compensation of such members and the costs of

staff assistance shall be paid by the division of housing and community

renewal which shall be reimbursed in the manner prescribed in section

four of this act. The local legislative body of each city having a

population of less than one million and each town and village in which

an emergency has been determined to exist as herein provided shall be

authorized to designate one person who shall be representative of

tenants and one person who shall be representative of owners of property

to serve at its pleasure and without compensation to advise and assist

the county rent guidelines board in matters affecting the adjustment of

rents for housing accommodations in such city, town or village as the

case may be.

a-1. Notwithstanding the provisions of subdivision a of this section

to the contrary, in each county that became subject to this act pursuant

to the chapter of the laws of two thousand nineteen that amended this

section, the commissioner shall reconstitute the existing rent

guidelines board subsequent to any initial local declaration of

emergency within such county for the purpose of ensuring representation

of all cities having a population of less than one million and all towns

and villages within such county having determined the existence of an

emergency in accordance with this act are represented, pursuant to rules

and regulations promulgated by the division of housing and community

renewal.

b. A county rent guidelines board shall establish annual guidelines

for rent adjustments which, at its sole discretion may be varied and

different for and within the several zones and jurisdictions of the

board, and in determining whether rents for housing accommodations as to

which an emergency has been declared pursuant to this act shall be

adjusted, shall consider among other things (1) the economic condition

of the residential real estate industry in the affected area including

such factors as the prevailing and projected (i) real estate taxes and

sewer and water rates, (ii) gross operating maintenance costs (including

insurance rates, governmental fees, cost of fuel and labor costs), (iii)

costs and availability of financing (including effective rates of

interest), (iv) over-all supply of housing accommodations and over-all

vacancy rates, (2) relevant data from the current and projected cost of

living indices for the affected area, (3) such other data as may be made

available to it. As soon as practicable after its creation and

thereafter not later than July first of each year, a rent guidelines

board shall file with the state division of housing and community

renewal its findings for the preceding calendar year, and shall

accompany such findings with a statement of the maximum rate or rates of

rent adjustment, if any, for one or more classes of accommodation

subject to this act, authorized for leases or other rental agreements

commencing during the next succeeding twelve months. The standards for

rent adjustments may be applicable for the entire county or may be

varied according to such zones or jurisdictions within such county as

the board finds necessary to achieve the purposes of this subdivision. A

rent guidelines board shall not establish annual guidelines for rent

adjustments based on the current rental cost of a unit or on the amount

of time that has elapsed since another rent increase was authorized

pursuant to this chapter.

The standards for rent adjustments established annually shall be

effective for leases commencing on October first of each year and during

the next succeeding twelve months whether or not the board has filed its

findings and statement of the maximum rate or rates of rent adjustment

by July first of each year. If such lease is entered into before such

filing by the board, it may provide for the rent to be adjusted by the

rates then in effect, subject to change by the applicable rates of rent

adjustment when filed, such change to be effective as of the date of the

commencement of the lease. Said lease must provide that, if the new

rates of rent adjustment differ for leases of different terms, the

tenant has the option of changing the original lease term to any other

term for which a rate of rent adjustment is set by the board, with the

rental to be adjusted accordingly.

Where a city, town or village shall act to determine the existence of

public emergency pursuant to section three of this act subsequent to the

establishment of annual guidelines for rent adjustments of the

accommodations subject to this act, the rent guidelines board as soon as

practicable thereafter shall file its findings and rates of rent

adjustment for leases or other rental agreements for the housing

accommodations in such a city, town or village, which rates shall be

effective for leases or other rental agreements commencing on or after

the effective date of the determination.

c. In a city having a population of one million or more, the rent

guidelines board shall be the rent guidelines board established pursuant

to the New York city rent stabilization law of nineteen hundred

sixty-nine as amended, and such board shall have the powers granted

pursuant to the New York city rent stabilization law of nineteen hundred

sixty-nine as amended.

d. Maximum rates of rent adjustment shall not be established more than

once annually for any housing accommodation within a board's

jurisdiction. Once established, no such rate shall, within the one-year

period, be adjusted by any surcharge, supplementary adjustment or other

modification.

e. Notwithstanding any other provision of this act, the adjustment for

vacancy leases covered by the provisions of this act shall be determined

exclusively pursuant to section ten of this act. Rent guidelines boards

shall no longer promulgate adjustments for vacancy leases.