By: Andrew S. Lazarus | Senior Vice President| Tudor Realty Services Corp.
Update On Changes To NYC Building Rules & Regulations
3 New Laws To Watch In 2018
As we approach the start of 2018, there are three new important laws affecting cooperative and condominiums in NYC to keep an eye on.
New Smoking Policy Disclosure Requirement
In August 2017, NYC Local Law 147 was enacted which is a disclosure law that requires that every residential building establish a written policy that states where in the building smoking is permitted or prohibited and to do so no later than the one year anniversary of Local Law 147’s enactment. This new law requires that each building establish a written policy that is then provided to all tenants, owners and/or shareholders annually or publicly displayed at the building. This will also require updates to building documents, such as sales and rental packages, house rules or by-laws and lease agreements.
Over the next several months we will be working with our clients to discuss this new law and to work with them to take the necessary steps to comply. In our experience, smoking has been a topic of discussion for some time and this new law is another indication that it is an issue that will continue to be discussed and that will likely continue to evolve over time. Many of the buildings that we manage have already been evaluating and/or are actively discussing smoking policies and are exploring various alternatives and ideas. We expect it is a discussion that will continue and this new disclosure law will likely keep it in the forefront.
If you would like read the full text of the Local Law 147, CLICK HERE
New Heating Laws for 2017
For the 2017 Heating Season, which runs from October 1, 2017 to May 31, 2018, NYC passed new legislation that made changes to temperature requirements. For the 2017 heating season, all residential building owners are required to maintain indoor temperatures at 68 degrees when it falls below 55 degrees outside during the day, and a minimum of 62 degrees indoors overnight, regardless of outdoor temperatures. This new legislation increased the minimum indoor temperature requirements (from 55 to 62 degrees) at night (10 pm to 6 am) and removed the outside temperature benchmark. Previously, heating law mandated that an apartment be 68 degrees during the day (6 am – 10 pm) when outside is below 55 degrees and at least 55 degrees whenever the outside temperature falls below 40 degrees at night (10 pm – 6 am).
New Conflict of Interest Law For Board Members
In September 2017, the NYS Business Corporation Law (BCL) and the Not-For-Profit Corporation Law (NPCL) were amended to add Sections 727 and 519-a respectively to mandate new conflict of interest disclosure requirements that must be reported on annually for every condominium or cooperative housing corporation formed under the BCL or NPCL. These new laws go into effect January 1, 2018 and require that each board member of a condominium or cooperative formed under the BCL or NPCL is provided with a copy of the law and that an annual notice is provided to each shareholder/unit owner regarding related party transactions (or the absence thereof) and is signed by each board member. The purpose of these new laws is awareness for board members as to certain conflict of interests laws, and disclosure and reporting on potential conflicts of interest by board members to all shareholders and unit owners. Over the next several months we will be working with our clients and each building’s legal counsel as necessary to discuss these new requirements and to ensure compliance.
As we roll into 2018, we will certainly be discussing these new laws and requirements with our clients. In April 2018, TRS will be celebrating our 28th Anniversary. We have a lot of experience in dealing with issues like this and what seems to be the constantly changing regulatory policies affecting the Co-Op and Condo buildings that we manage. Please give us a call if you would like to discuss this with us. We’d be happy to discuss our experience, view and approach. Thanks for reading!