A Letter from the Vice President of Government Advocacy
When the Legislative Session officially opened in January there was an air of cynicism surrounding elected leaders related to their capacity to address the major concerns of New Yorkers. These pressing issues posed to cast a shadow over this year’s productivity, and were compounded by the looming presidential election, which will also include the election of all 213 State legislative seats, Congress, and the seat currently held by U.S. Senator Kirsten Gillibrand.
New York State’s business environment, affordable housing, and moving toward a framework to meet the State’s sustainability and resiliency goals under the Climate Leadership and Community Protection Act (CLCPA) assumed a central role in budget negotiations and regular Session activity. It should come as no surprise that the built environment continues to play a major role in the lives of all New Yorkers. The future of this state will depend on the experience and expertise of architects and others in the design, real estate, and construction community to engage with policymakers on commonsense solutions.
This year AIANYS focused on the affordability challenges facing members, with a specific focus on the expansive cost of insurance and liability exposure. For its part, AIANYS performed well over 450 contacts with State lawmakers and executive branch officials over the course of the six-month session, including a successful Virtual Advocacy Day held on May 2nd. Several local chapters also rose to the advocacy challenge, sending letters to their State legislators in support of the legislative priorities.
Headed into the Summer season, AIANYS will focus on expanding advocacy resources on its brand new website and the establishment of the new Government Advocacy Council, borne out of a major governance study, and meant to propel AIANYS forward in the advocacy space and extend its reach over the vast amount of ground covered by the architectural profession. As always, our efforts and success depend on the dedication of volunteers and involvement of members to maintain and grow this prestigious professional association to its full potential.
Giuseppe Anzalone, AIA Vice President/Government Advocacy
2024 Legislative Session Round-Up
The end of this year’s Legislative Session in Albany was characterized by frenetic activity and the usual friction created by the push-and-pull of lawmakers and special interests to get their priorities across the finish line. 240 bills were introduced in the final two weeks and around 1,000 were passed in either house. From that number, some 600 same-as bills passed both houses, which means they will be sent to the governor for an approval or veto.
Over the course of the entire Session, 805 bills passed both houses of legislature. Meaning, 75% of the bills requiring action by the governor passed during the last two weeks. To date only 17% of the bills passing both houses have been approved or vetoed by the governor.
Over 10,000 bills in total were introduced in the Assembly and Senate over the two-year legislative cycle, which will be renewed in January of 2025. The American Institute of Architects New York State tracked around 900 of those bills which had either a direct or indirect impact on business and profession of architecture, or an impact on the design and construction industry.
Below are some highlights from this year’s Legislative Session.
Fate of AIANYS Legislative Priorities
AIANYS pursued three major priorities this year. Two dealt with liability concerns in private and public projects, and the third aimed to expand the use of qualifications-based selection (QBS) in public authority procurements.
10-Year Statute of Repose (A.4549 Pretlow/S.8213 Cooney)
This bill would make New York the 49th state to enact a clear and definitive statute or repose for third party lawsuits levied against design and construction professionals, starting at the time of a project’s completion. Without the necessary protections afforded by a clear cut off, retired individuals face substantial uncertainty, and their assets are at risk even after they are deceased, placing hardship not only on themselves, but their families as well.
Background and Actions: A longstanding priority for AIANYS, advocates worked this year to reassert the bill’s importance to the design and construction industry. AIANYS worked with the Senate sponsor to get the bill on the Senate Judiciary Committee agenda, where it passed for the first time in over a decade.
Assembly Status:
Senate Status:
Higher Education Committee (died)
3rd Reading of the Senate Calendar (died on the floor)
Indemnification Reform in Public Contracts (A.7610 Zebrowski/S.6059 Kennedy) This bill clarifies the obligations of design professionals to indemnify public owners throughout New York State. Under the bill, professional firms would indemnify and hold clients harmless for liabilities, damages and costs arising out of negligent acts for which the design professional is legally liable and provide defense costs only where appropriate. The bill would prohibit broad indemnification by a design professional for damages unrelated to professional negligence.
Background and Actions: This bill previously passed both houses but was vetoed by then-governor Andrew Cuomo. Prospects for the bill’s passage took a hit when the prime Senate sponsor, Tim Kennedy (D-Buffalo), won a Congressional special election to replace outgoing Congressman Brian Higgins, leaving the bill without a Senate sponsor.
Assembly Status:
Corporations, Authorities and Commissions Committee (died)
Senate Status:
Enacting Clause Stricken
QBS Expansion: Public Authorities (A.9575-A Hyndman/ S.8122-A Comrie) The intent of this bill is to ensure that public authorities and public benefit corporations receive the services of the most qualified licensed design professional through the establishment of a mechanism for the procurement of engineering, architectural, and surveying services. Instead of cost-based procurement which focuses primarily on price, Qualifications-Based Selection (QBS) procurement focuses on qualifications and experience as the paramount basis for selection.
Background and Actions: This bill previously passed both houses but was vetoed by then-governor Andrew Cuomo. Amendments to this bill were recently introduced to add landscape architects and geologists, as landscape architects
are relative newcomers to the QBS statute for State agencies, and geologists are a recently established licensed design profession in New York.
Assembly Status:
Corporations, Authorities, and Commissions Committee (died)
Senate Status:
Corporations, Authorities, and Commissions Committee (died)
State Budget Enacts New Affordable Housing and Workforce Benefits
Housing
On April 20th, 2024, the State Legislature passed the final bills comprising the 2024-25 New York State budget. The $237 billion spending plan was held up for weeks, due primarily to education funding and Medicaid, but was also delayed on account of policy issues concerning affordable housing production and tenant protections. After last year’s bruising battle over the governor’s Housing Compact, this year’s budget negotiations yielded some modest gains in housing production, preservation, and affordability.
NYC Floor Area Ratio (FAR) Cap Increase Authorizes NYC to allow new housing or designated lots to exceed the 12.0 FAR cap if new construction meets or exceeds permanent affordable housing requirements and adheres to current uniform land use review procedures. Further, this bill would prohibit buildings above12.0 FAR in historic districts and in zoning lots with joint living-working quarters governed by the Loft Law.
This new law is meant to enhance density and build more housing in NYC.
Affordable Housing from Commercial Conversions Tax Incentive Benefits (AHCC) This provision establishes the Affordable Housing from Commercial Conversions Tax Incentive Benefits (AHCC) program in NYC to incentivize the inclusion of affordable rental units in certain multiple dwellings converted from commercial, manufacturing, or other non-residential buildings. AHCC would not be available for converting a hotel or other class B multiple dwelling.
This new program would provide a 35, 30, or 25-year benefit to owners seeking to convert eligible commercial property into affordable rental property. Each benefit period maintains a 100% real property tax exemption during the construction period, with
a reduction of the benefit over time. Additionally, applicants for the program must ensure that entrances to common areas are shared among the affordable and market rate units and that units are not isolated to specific floors.
Affordable units must have a unit mix proportional to market units or at least 50% of affordable units must have 2 or more bedrooms and not more than 25% affordable units shall have less than 1 bedroom.
The NYC Department of Housing Preservation and Development (HPD) will manage the program and may accept certifications from architects or engineers to verify the information provided in the application for the benefit.
Legalizing Existing Basement and Cellar Units in NYC This bill would authorize NYC to establish by local law a program to convert inhabited and other basement or cellar apartments currently in existence to legal dwelling units, provided that such conversions are done consistently with the protection of health and safety.The program is limited to certain Community Districts in the Bronx (9-12), Brooklyn (4,10,11,17), Manhattan (2-3,912), and Queens (2).
Extension of 421-a Projects Under current law, to be eligible for a tax abatement pursuant to section 421-a of the RPTL, a vested project must be completed by June 15, 2026. This bill would extend the completion deadline to June 15, 2031. Upon the creation of an application form by NYC HPD, applicants will have 90 days to submit a letter of intent (LOI) to apply for the tax abatement for projects commenced between December 31, 2015 and June 15, 2022, with a completion date on or before June 15, 2031.
Affordable Neighborhoods for New Yorkers and Affordable Homeownership Tax Incentive Program (485-x) This new incentive is meant to replace the 421-a tax abatement in NYC. This new incentive is divided among Small Rental Projects (511 units), Modest Rental Projects (5-100 units), Large Rental Projects (100+ units), Very Large Rental Projects (150+ units), and Homeownership Projects (condominium or cooperative). Each category is assigned a different benefit period by project size, starting at a 10-year benefit period for a Small Rental Project to a 40-year benefit period for a Very Large Rental Project. Homeownership Projects are eligible for a 20-year benefit period.
Each project must conform with an assigned affordability option, and all enjoy a 100% exemption from real property tax during the construction period. Further, most of the options allow for a 100% exemption for the entirety of the program’s lifespan, except for Small and Modest Rental Projects and Homeownership Projects, which decrease over time.
Like the new Commercial Conversions Tax benefit, this new benefit requires universal access to common egress and spaces, and a proportional dispersal of affordable and market rate units throughout the building. The NYC Department of Housing Preservation and Development (HPD) will manage the program and may accept certifications from architects or engineers to verify the information provided in the application for the benefit.
Individual Apartment Improvement (IAI) Reform This budget provision makes changes to the Rent Reform law passed in 2019 with respect to IAIs. Specifically, these amendments raise the recoverable costs of a landlord for IAI in NYC from $15K to $30K over a 15-year period. The landlord must receive written consent from a tenant if the unit is currently occupied.
The period of eligibility begins on June 14, 2019 and $30K may be expended on any number of units over a 15-year period. $50K may be expended upon vacancy if it was certified as vacant on December 31st (2022-24) or if the apartment is vacant following a period of continuous occupation of 25 years prior to the IAI.
The landlord must provide evidence that the improvements are necessary to address sub-standard conditions or useful life concerns.
Study of Single-Exit, Single Stairway Multi-Unit Residential Buildings This budget provision directs the State Fire Prevention and Building Codes Council to study standards for egress for buildings up to 6 stories that are single-exit, single stairway, multi-unit residences. This provision is based on bill (S.6573/A.7322). The sponsor states that single stair buildings up to 6 stories are allowed in NYC code and should be considered for other parts of the state because it allows for a variety of housing types and increases window coverage and design options, allowing the expansion of the number of bedrooms and affordability.
Exemption for Newly-Constructed or Converted Rental Multiple Dwellings Authorizes municipalities to pass a local law allowing an exemption from property taxation and ad valorem levies of rental multiple dwellings constructed or converted in a benefit area defined by local law. Eligible projects include properties with 10 or more units where 25% of the units are affordable to individuals or families with an income no less than 60% of the average median income (AMI) and no more than 80%.
Accessory Dwelling Unit Capital Improvement Benefit This provision defines and adds the term “accessory dwelling unit,” to the definition of “housing accommodation,” under the State’s Human Rights Law. Additionally, this provision adds a capital improvement benefit, whereby a local government may pass a law authorizing the exemption from taxation and ad valorem levies for the construction of new accessory dwelling units.
The benefit allows for a 100% exemption of increase in assessed value for a period of 5 years, with an option for a 5-year extension if the owner agrees to a 25% decrease for the first 3 years and an additional 10% decrease in the final 2 years. The exemption is limited to $200K in increased market value.
New York Housing for the Future Homeownership and Rental Housing Program Authorizes the subsidization of construction for cooperative rental and cooperative homeownership for households with an income up to 130% of area median income. The State Division of Housing and Community Renewal (DHCR) may identify sites owned by the state, a municipality, not-forprofit, or community land trust for the provision of housing our rental purposes.
Good Cause Eviction This new law asserts certain rights and benefits to renters in NYC when faced with eviction and authorizes local governments outside NYC to adopt similar protections. Specifically, the budget makes annual rent increases above 10% or 5% plus the Consumer Price Index (whichever is lower) presumptively unreasonable to protect tenants against price gouging and strengthens legal protections for covered renters in eviction proceedings, where applicable. These protections will be mandatory in NYC.
Paid Breaks for Breast Milk Expression in the Workplace This provision amends the Labor law to require paid breaks for up to 30 minutes, for breast milk expression. Nursing employees who take more than 30 minutes to express breast milk would be permitted to be covered using existing paid break time or mealtime. This new law went into effect on June 19, 2024. More information may be found on the NYS Department of Labor website.
Sunset of the COVID-19 Sick Leave Law In a rebuke to the governor’s efforts to sunset the COVID-19 sick leave benefits this year, the Legislature negotiated a new sunset date of July 31, 2025.
Paid Prenatal Leave This provision amends the Workers’ Compensation Law to provide 20 additional hours of leave under New York’s Paid Family Leave Law for eligible pregnant employees to attend appointments for prenatal care, including physical exams, monitoring and testing, and discussions with a health care provider.
Legislation Passing Both Houses
Wrongful Death Expansion “Grieving Families Act” (A.9232-A Weinstein/S.8485-A Hoylman-Sigal) This bill, (aka The Grieving Families Act) would expand the type of recoverable damages by family members caused by negligence resulting in a wrongful death to include non-economic losses such as grief and anguish, loss of companionship, loss of support, and loss of nurturing.
This bill has been vetoed in back-to-back sessions. Amendments were made to the version that passed and was vetoed last year to refine eligible beneficiaries and the types of damages to be claimed, yet certain non-economic losses remain.
Electronic Registration for Professional Licensees (A.7716A/S.6112-A Stavisky) This bill authorizes the State Education Department (SED) to provide licensees via e-mail with applications for registration four months prior to the beginning of their registration period, provided that the applications will also be mailed forty-five days prior to the end of the registration period for licensees who have not registered.
Tropical Rainforest Economic & Environmental Sustainability Act (A.9711 Zebrowski/S.8898 Krueger) Enacts the tropical rainforest economic & environmental sustainability act requiring that companies contracting with the state do not contribute to tropical forest degradation or deforestation directly or through their supply chains; establishes the supply chain transparency assistance program to assist small and medium-sized businesses and minority and women-owned businesses in achieving compliant supply chains.
Climate Change Superfund Act (A.3351-A Dinowitz/S.2129-B Krueger) Establishes the climate change adaptation cost recovery program to require “responsible parties” that have contributed significantly to the buildup of climate-warming greenhouse gases in the atmosphere to bear a share of the costs of needed infrastructure investments to adapt to climate
change. “Responsible party” is defined as an entity holding ownership interest in the business of extracting fossil or refining crude oil and responsible for more than one billion tons of GHG emissions during the covered period (January 1, 2000-December 31, 2018).
Funds received from responsible parties will be placed in a Climate Change Adaptation Fund for qualifying Climate Change Adaptive Infrastructure Projects, such as resiliency projects and energy efficiency retrofits.
Mandatory EV Charging Stations for New Construction (A.3780-E Fahy/S.1736-E Krueger) Requires new construction that includes dedicated off-street parking to provide electric vehicle charging stations and electric vehicle ready parking spaces. This bill applies to residential 1-3 family homes, multi-family homes, and commercial buildings with varying requirements based on the number of parking spaces allotted.
Capital Improvement Tax Credit for Carbon Reductions (A.10146 Barrett/S.9688 Fernandez) Provides for an exemption from taxation for capital improvements to residential buildings to reduce carbon emissions.
Increase of NYC Green Roof Tax Abatement (A.6901-A Rozic/ S.6409-A Liu) This bill would raise the baseline abatement from $5/sq. ft. to $10/sq.ft., lowers the depth of soil requirement to 1.5 inches, and removes the controlled roof drain requirement. Further, this bill increases the cap to $4 million and sets the allocation to a first-come-first-serve basis.
Affordable Housing Development Web Portal (A.9354-A Simone/ S.7869-A May) This bill directs the creation of a common application, developed by the Commissioner of the Division of Homes and Community Renewal in collaboration with state agencies administering housing assistance programs. The web portal aims to unify the application process in an effort to save
resources for organizations building affordable housing. This common application would be used by all state agencies who administer housing funds, allowing applicants to complete and submit their applications online through a dedicated web portal.
Schools Impacted by Gross Highways (SIGH) Act (A.8998-B Tapia/S.4550-B May) Enacts the “schools impacted by gross highways (SIGH) act”; prohibits the commissioner of education from approving the plans for the erection of any new schoolhouse within five hundred feet of a controlled-access highway unless the commissioner of education determines that space limitations are so severe that there is no other site to erect such new schoolhouse, and there are adequate engineering controls to address air quality; makes related provisions.
Expansion of Alternative Project Delivery in NYC (A.10543 Braunstein/S.9849 Comrie) Expands the use of alternative delivery methods for NYC agencies to include construction manager build under certain circumstances. This authorization sunsets in 2027.
Mental Injuries Due to Work-Related Stress (A.5745 Reyes/S.6635 Ramos) Expands to all workers the ability to receive PTSD coverage under NYS Workers’ Compensation Coverage identified work-related stress.
Employment of People w/Disabilities Reporting (A.5815-A Epstein/S.6758-A Mannion) Relates to participation by individuals with disabilities with respect to state employment and state contracts; requires contractors to report to state agencies regarding the utilization and participation of work on both service and commodity contracts by a person with a disability.
AIANYS Member Input:
If members have any questions or comments regarding the legislation listed above, please reach out to the AIANYS Director of Government Affairs, Michael Burridge at mburridge@aianys.org or (518) 334-2091 (ext. 108).
AIANYS Wins Government Relations Award
The Empire State Society of Association Executives (ESSAE) presented the American Institute of Architects New York State (AIANYS) with the annual Government Relations Award at a ceremony packed with major state associations. The government relations award category sought to identify savvy development and implementation of an organization’s government relations project for grassroots lobbying, special campaigns, and ongoing efforts that created legislative or regulatory success.
Specifically, AIANYS won the award based on its campaign to raise awareness on the importance of design in school safety and its success in advocating for the Safe Schools by Design Act, which passed the Legislature unanimously and was signed into law on October 17, 2023. This bill directs the State Education Department to draft guidelines for the design and construction of safe, secure and welcoming learning environments. Further, this law expands the School Violence Prevention Grant program to allow funding for a community design process for schools, similar to the process used by Sandy Hook Elementary in the aftermath of the tragedy in 2012.
Since 2010, AIANYS has won six ESSAE awards in the areas of government relations, education, professional development, and marketing/public relations.
AIA New York State Executive Team
Willy Zambrano, FAIA President
Andrew Harding, AIA President-Elect
Paul McDonnell, AIA Immediate Past President
Giuseppe Anzalone, AIA Vice President, Government Advocacy
Jeffrey Pawlowski, AIA Vice President, Education
Tonja Adair, AIA Vice President, Communications & Public Awareness
Caitlin Daly, AIA Vice President, Emerging Professionals
Jacob Rivalsi, AIA Treasurer
Victor Han, AIA Secretary
AIA New York State Government Affairs Staff & Counsel
Georgi Ann Bailey, CAE, Hon. AIA Executive Vice President
Michael Burridge Director of Government Affairs
Richard E. Leckerling Partner
Whiteman Osterman & Hanna LLP
Katherine B. Herlihy Partner
Whiteman Osterman & Hanna LLP
Benjamin Eddy Legislative Analyst
Whiteman Osterman & Hanna LLP
