J-51 PROGRAM
NOT PRESENTLY AVAILABLE
WILL COOPS AND CONDOS
EVER BE ELIGIBLE?
The City's J-51 program sunset on
December 31,2011 and has not yet
been reinstated. The City has proposed
that cooperatives and condominiums
be excluded from future eligibility,
making an exception only for
those that subsidized by affordable
housing programs and those few open
market cooperatives and condominiums
whose assessed value averages
$30,000 or less per unit.
SOME HISTORY
The J-51 program began in the 1950
to help curb deterioration of the City's
housing stock and to encourage owners
to maintain and upgrade their properties.
It provides property tax exemptions and
abatements to defray part of the cost of
qualifying improvements.
In the 1980s, J-51 eligibility was
expanded to enable buildings newly
converted to condominiums and cooperatives
to obtain abatements for
capital improvements completed in
the first three years after conversion.
Thereafter, condominiums and cooperatives
had to meet strict financial
tests to continue to qualify. Average
actual assessed value per unit could
not exceed $40,000, ensuring that
luxury buildings would be ineligible for
J-51 benefits after the three years following
conversion.
GOOD FOR BUILDINGS
AND FOR THE CITY
However, existing buildings on the
Lower East Side, Washington Heights
and Inwood as well as those throughout
the Bronx, Queens Staten Island and
much of Brooklyn have continued to be
able to take advantage of J-51 as an incentive
to maintain their buildings. This
modest support enables them to keep
carrying costs affordable to their residents
while still being able to schedule
major maintenance and improvements
to the building at regular intervals. The
benefits to the City are great in terms
of better maintained housing, ongoing
tax payments, stabilization of neighborhoods
and resident satisfaction.
Buildings that are landmarked or part
of a landmarked district did qualify for enhanced
J-51 opportunities in recognition
of the additional costs of compliance with
landmark standards.
RENEWAL DEFERRED
TO SPECIAL SESSION
J-51 was routinely renewed again
and again over the years, but was allowed
to expire on December 31, 2011.
There was an expectation that it would
be reinstated and extended during the
recent session of the State legislature,
but the J-51 provisions were part
of the complex bill that included the
City's abatement proposals (see page
3), which remained unconsidered at
the end of the legislative session. J-51
will have to wait for the special session
promised in November.
WHERE DO MATTERS STAND NOW?
The Department of Housing Preservation
and Development continues to work
on J-51 applications received prior to December
31, 2011; it has not accepted any
new applications since that date.
With the City's proposals likely to be
implemented, all but a very few cooperatives
and condominiums, will be excluded
from further J-51 eligibility. Reducing
the qualifying assessment cap
from an already painfully low $40,000
per unit to $30,000 per unit wrenches
from eligibility many low, moderate and
middle income cooperatives throughout
the city. Many of these were in
the middle of projects that they fully
expected to have qualify for J-51.
Shareholders and unit owners in these
buildings will soon face jumps in their
carrying charges to meet the costs that
J-51 had been planned to cover.
The proposed legislation does not
address the issue of landmarked buildings
and landmarked districts. It is likely
that this source of benefits will no longer
be available.
NYSERDA
ENERGY INCENTIVES
The New York State Energy Research
and Development Authority (NYSERDA)
is a public benefit corporation that offers
objective information and analysis, innovative
programs, technical expertise, and
funding to help New Yorkers increase energy
efficiency, save money, use renewable
energy, and reduce their reliance
on fossil fuels. NYSERDA professionals
work to protect the environment and create
clean-energy jobs. NYSERDA has
been developing partnerships to advance
innovative energy solutions in New York
since 1975. Its funding comes primarily
from the System Benefits Charge, a portion
of every utility bill that is allocated
towards energy-efficiency programs,
research and development initiatives,
low-income energy programs, and environmental
disclosure activities. NYSERDA
devoted part of this funding to
the creation of New York Energy $martSM,
which helps to maintain momentum for
the State's efforts to develop competitive
markets for energy efficiency; demand
management; outreach and education
services; research, development, and to
provide direct economic and environmental
benefits to New Yorkers.
In July, NYSERDA announced its
new Multifamily Energy Performance
Portfolio (MEPP) brings together all
its programs for multifamily buildings.
Participants in this program can access
funding for whole-building energy
assessments and low-cost financing
for energy upgrades through Green
Jobs – Green NY, a statewide effort to
strengthen communities through energy
efficiency. Properties that make energy
efficiency upgrades can generally realize
significant cost savings and increase
comfort for residents at the same time.
FREE SEMINARS
To familiarize property owners and managers
and energy experts with the MEPP
program, NYSERDA has scheduled a series
of free seminars around the state. The
ones in New York City on Tuesday, September
18th will focus specifically on opportunities available to cooperatives and condominiums.
Attendees will learn how to:
• Select the most appropriate path for
implementing energy efficiency,
• Qualify for cash-back incentives
and low interest loans
• Become eligible for bonus incentives
of up to $300 per apartment
• Decrease building energy use
through submetering of electricity
Anyone is welcome at these seminars,
but preregistration is required. You
can choose between a morning class
from 9:30 to noon or one from 4 to 7.
Register at http://nyserdapowerevents.
org/participants.
BIODIESEL FUEL
Bioheating fuel blends animal or vegetable
oils with petroleum, using renewable
materials to reduce dependence
on fossil fuel. Use of bioheating fuel
reduces the emissions of air pollutants
and reduces cleaning and maintenance
costs. Accordingly, the City's Local Law
43 of 2010 requires a 2% component of
biodiesel in all heating oil burned in the
City effective October 1, 2012, except
for use in an emergency generator. The
legislation allows for certain exceptions,
including excessively high cost of biodiesel
(a real possibility in this summer
of excessive drought decimating corn
and soy crops).
BIODIESEL TAX CREDIT
The State of New York offers a tax
credit for the use of biodiesel heating
fuel in the amount of one cent per percentage
of biodiesel in each gallon purchased
up to 20%. This may not sound
like much, but the gallons will rapidly
add up as the heating season progresses.
The current requirement is for 2%
biodiesel, but many oil companies will
prepare a mix for you that contains more
biomatter. Testing different percentages
on your heating system will help you find
the mix that is right for you. The incentive
program is in place through 2016.
CITY COUNCIL
CONSIDERS ADDITIONAL
ACCESSIBILITY SIGNAGE
Legislation is being considered by
the City Council that would require
signs identifying wheelchair accessible
entrances in buildings where not
all entrances are accessible. The signs
must include a contact telephone number
or instructions to gain access if an
otherwise accessible building entrance
is locked. In addition, this law would
require that signs be placed at inaccessible
building entrances, public rest
rooms and elevators not serving an accessible
route, indicating the way to the
nearest like accessible element where
such accessible element is provided, so
that a person with disabilities will not be
required to retrace the approach route
from the inaccessible element. Existing
signs that were posted in compliance
with the Americans with Disabilities Act
of 1990 shall be deemed to comply.
APARTMENT MANAGEMENT
CHECKLIST
Every year the Vendome Group
publishes the Apartment Management
Checklist, an alphabetical listing of
virtually every law, rules and regulation
that affect apartment buildings
in New York City. The text of the law
is provided, along with a clear explanation
of what it requires. There
are samples of forms, lists of service
providers, calendars of filing requirements
and of days when garbage and
recycling are not collected. In recent
years, a disk of the electronic version
is included in this book.
Self managed buildings should purchase
this important book annually to
be on top of any and all new laws and
requirements. Property managers will
want it as a handy reference tool.
Every year at CNYC's annual Conference,
the Vendome group provides a
coupon giving CNYC members a generous
discount on the price of this book.
Look for the coupon at the last page of
the Conference Program, which every
registrant at the 32nd Annual Conference
will receive on November 11th.
MOLD & MOSQUITOES
The mild winter, wet spring and humid
summer have been ideal conditions for
breeding unwanted creatures including
mold and mosquitoes. Both pests are
generally harmless, more nuisance than
threat, but there are exceptions. Every
effort should be made to avoid contact
and to eliminate infestations. Encourage
shareholders and unit owners to report
problems and facilitate their access to
appropriate help.
Mold spores are airborne. When
they find a resting place where food
(sheetrock qualifies as food!) and moisture
are present they can quickly grow
and form a colony. The vast majority
of these are simply unsightly, but some
species can be dangerous, and others
can produce allergic reactions in some
people. A sample of the mold can be
tested to ascertain whether it poses any
health threat.
If a small area is affected, try to
clean away the mold and keep the
area dry. If reinfestation occurs, it is
wise to seek professional help in ensuring
removal.
West Nile Virus has begun to pose a
significant threat in parts of the country
this year. Fortunately, in New York,
mosquitoes are generally just pests. To
minimize the presence of these annoying
creatures, encourage the use of
screens for all windows. Do not allow
standing water of any sort in tree wells,
on sidewalks, in courtyards, back
yards or on roofs and terraces.
HE DETERGENT
HELPS THE ENVIRONMENT
AND HELPS
YOUR LAUNDRY
EQUIPMENT
Encourage shareholders and unit
owners to use only laundry detergent
labeled HE for High Efficiency, both in
washing machines in the laundry room
and in their own apartments. New York
has very soft water and therefore only a
small amount of detergent is needed to
get clothes clean. HE detergents make
fewer suds to clog pipes.
At CNYC's 32nd annual Housing
Conference on Sunday, November 11,
2012, property manager Ellen Kornfeld
and attorney Adam Leitman Bailey
will present a midday class on Laundry
Room Considerations. Topics covered
will range from contracts to smart cards
to vent cleaning. HE detergent will also
be mentioned.
CARBON MONOXIDE
DETECTOR
REPLACEMENT REQUIRED
Carbon monoxide fumes are odorless
and colorless and can be lethal. They are
released in improper combustion of oil or
gas. Local Law 7 of 2004 was promulgated
to help protect New Yorkers from
carbon monoxide poisoning by requiring
installation of carbon monoxide alarm devices.
Local Law 75 of 2011 amends that
law to require that the carbon monoxide
detecting devices be replaced at the end
of the manufacturer's suggested useful
life, which is 5 to 7 years.
The law also requires that these devices
have an audible signal to alert residents
when they expire.
Now owners of all New York City multiple
dwellings – including cooperatives
and condominiums – that burn any fossil
fuel (oil or natural gas) must provide and
install and replace at the end of its useful
life, one or more approved and operational
carbon monoxide (CO) alarms
in each dwelling unit. Records must be
kept and be available for inspection by
various City agencies of the dates of installation
and full details regarding testing,
maintenance and any problems with
each alarm, along with the expiration
date of the useful life of such alarm (at
which time, of course, the next replacement
device will have to be installed.)
If your cooperative or condominium
complied timely with Local Law 7 of 2004
and has not yet replaced CO alarms, this
should be done in the course of the next
few months.
Residents are responsible for maintaining
their CO alarms, but the owner
is responsible for repairing or replacing
broken or defective devices reported
to them, once it is ascertained
that the resident was not responsible
for the damage. One adult in each
residence must be given written information
regarding the maintenance
and testing of the CO alarm and providing
general information about carbon
monoxide poisoning and what to
do if a CO alarm goes off.
Finally the law provides samples for a
notice that must be posted in the building
describing the requirements of this program.
We reproduce the more general
one here (16 point typeface is required,
so please enlarge if you wish to use this
in your building):
NOTICE
THE LAW REQUIRES THE OWNER OF THE PREMISES TO PROVIDE A
CARBON MONOXIDE ALARM IN EACH APARTMENT IN THIS BUILDING.
THE CARBON MONOXIDE ALARM MUST BE PLACED WITHIN 15 FEET
OF THE PRIMARY ENTRANCE TO EACH ROOM LAWFULLY USED FOR
SLEEPING, MUST BE OF THE TYPE EQUIPPED WITH AN END OF LIFE
AUDIO INDICATOR, AND MUST BE PERIODICALLY REPLACED BY THE
PROPERTY OWNER AS NECESSARY. TENANTS ARE RESPONSIBLE
FOR THE MAINTENANCE AND REPAIR OF THE ALARMS INSTALLED
IN THE APARTMENT AND FOR REPLACING ANY OR ALL ALARMS THAT
ARE STOLEN, REMOVED, MISSING, OR BECOME INOPERABLE DURING
THE OCCUPANCY OF THE APARTMENT. THE LAW PROVIDES THAT THE
OCCUPANT OF EACH CLASS A APARTMENT IN A BUILDING IN WHICH A
CARBON MONOXIDE ALARM IS PROVIDED AND INSTALLED SHALL PAY
THE OWNER $25.00 PER ALARM FOR THE COST OF SUCH WORK FOR
THE INITIAL AND EACH PERIODIC REPLACEMENT. THE OCCUPANT
HAS ONE YEAR FROM THE DATE OF INSTALLATION TO MAKE SUCH
PAYMENT TO THE OWNER. |
TWO WAYS TO REQUEST
E-MAIL NOTICES FROM CNYC
CNYC
has long maintained its
award-winning website at www.
CNYC.coop, Notices are posted
there, as are listings of CNYC's
evening seminars, other events to
which CNYC members are invited
and the brochure for the Annual
Conference. There are also links
to City and State agencies and to
organization, reports and projects
of interest, extensive archives,
membership information and
forms and an opportunity for individuals
to register to receive periodic
e-mail messages and alerts.
As each cooperative and condominium
becomes a CNYC
member, it is asked to designate
one contact person to receive
notices and calendars of CNYC
events by US mail. This contact
person is tasked to relay the information
to all board members.
Without changing this system,
CNYC has added a way for more
board members to receive 'official'
notices. CNYC will comply
with specific requests from
member cooperatives and condominiums
to send e-mail copies
of these notices to one or more
Board members. Please do so
by sending e-mail to Rothman@
CNYC.coop with the names and
e-mail addresses of all board
members to whom notices should
be sent. This member service
is entirely separate and distinct
from the online registration for eblasts
of events and general announcements. |