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Bill

A 11311

Establishes income eligibility requirements for occupancy of rent-regulated housing accommodations

2025 Regular Session

Imposes a uniform 125% of AMI income eligibility to occupy rent-regulated units, with enforcement rules, penalties, and phased NYC implementation starting 2027.

REFERRED TO HOUSING
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Bill Summary · A 11311

Bill summary: A.11311 (2025-2026) – New York

Main purpose and intent

  • Establish income-based eligibility requirements for occupying rent-regulated housing.
  • Limit occupancy to individuals and households with income at or below 125% of the area median income (AMI) across several housing programs and laws in New York.
  • Aligns enforcement and penalties with income verification, while providing protections for current tenants who exceed the threshold under certain conditions.

Key provisions and changes

Scope and applicability

  • Applies to rent-regulated housing accommodations under:
    • Emergency Tenant Protection Act (ETPA) of 1974 and related emergency housing rent control law
    • New York City Administrative Code (rent stabilization context)
    • Related sections of the applicable housing laws in New York State and New York City rules

Income eligibility threshold

  • Ineligible if income exceeds 125% of the area median income (AMI) for occupancy of rent-regulated units.
  • This threshold applies to new occupants and successors (see “successorship” provisions).

Implementation and enforcement

  • New regulations to be issued by:
    • Division of Homes and Community Renewal (DHCR)
    • Department of Taxation and Finance (DTF)
  • Regulations must protect housing owners/agents from liability for violations of the income eligibility rule (i.e., hold harmless).

Penalties and exemptions

  • If a court finds a tenant willfully violated the income-eligibility rule (including submitting false income docs to obtain tenancy):
    • Civil penalty up to $500 per day of illegal occupancy.
  • Exemptions for current tenants:
    • Tenants occupying units at the time of enactment who have income above 125% AMI are exempt from penalties and cannot be evicted for 10 years from the most recent lease execution prior to the effective date of the subdivision.
    • After 10 years, continued violation can be grounds for eviction.
    • If a tenant’s income increases above 125% AMI, they are exempt from penalties and eviction for 3 years from the most recent lease execution prior to the increase; after 3 years, violations can be grounds for eviction.
  • Successorship (inheritance of tenancy):
    • New occupancy under successorship must meet the income eligibility requirements; ineligible individuals must have their tenancy application denied.

City-specific provisions (Administrative Code 26-418)

  • Mirrors state provisions for NYC:
    • Ineligibility for occupancy if income > 125% AMI.
    • Rules/processes to implement; owner/agent held harmless.
    • Penalties similar to state provisions: up to $500 per day for illegal occupancy; exemptions for current occupants and later evictions for continued violations.
    • Three-year exemption period for income increases; ten-year exemption for pre-enactment occupants with violations.

Housing unit-specific regulation (Administrative Code 26-512, new subdivision h)

  • Beginning January 1, 2027, certain dwelling units must be rented to tenants with adjusted gross income below 125% AMI.
  • Rules to implement with owner-harmless protections.
  • Penalties for illegal occupancy align with other sections.
  • Exemptions for pre-Effective-date occupants with higher income; three-year exemption for increases; successorship provisions remain.

Affected parties

  • Tenants in rent-regulated housing (state and NYC) who exceed or later exceed 125% AMI.
  • Current tenants who exceed the threshold at enactment (long-term exemptions).
  • Prospective tenants and successors (successorship in tenancy).
  • Housing owners and agents (protected from certain violations via “harmless” rules).
  • DHCR and DTF (responsible for implementing regulations).
  • NYC Department of Housing Preservation and Development (implicitly affected through city code provisions).

Procedural and timeline aspects

  • Effective date: immediate, with certain provisions (e.g., NYC 26-512 h) taking effect January 1, 2027.
  • Some provisions reference expiration tied to the public emergency housing rent control act as applicable in NYC.
  • Requires promulgation of rules and regulations by DHCR and DTF to implement both state and city provisions.

Overall impact

  • Introduces a uniform income eligibility bar (125% AMI) for occupancy of rent-regulated housing.
  • Provides a framework for enforcement, penalties, and protected antiharassment for owners.
  • Establishes phased implementation, including a 2027 start for specific city housing requirements.
  • Affects tenancy practices, eligibility determinations, and succession scenarios in both state and NYC rent-regulated housing markets.

Compiled from official sources — confirm details with the bill’s official record.

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