Statewide Rent Control (S.5040/A.7046) | 2019
April 29th, 2019
AN ACT to establish the “statewide tenant protection act of 2019”; And to amend the emergency tenant protection act of nineteen seventy-four, in relation to expanding rent and eviction protections statewide.
S.5040 (Breslin) / A.7046 (Cahill)
MEMORANDUM IN OPPOSITION
Unshackle Upstate, a non-partisan, pro-taxpayer, pro-economic growth, education and advocacy coalition made up of business and trade organizations from all parts of Upstate New York opposes this legislation.
This legislation would expand New York City rent control legislation to communities in Upstate New York. The proposal seeks to remove geographic restrictions on applicability of the state’s rent and eviction regulation system, thereby allowing municipalities in all parts of the state to opt into the system where the municipality has declared a housing emergency based on vacancy rate of five percent or less.
Removing the geographic restrictions included in the original Emergency Tenant Protection acts fails to recognize the significant economic differences between New York City and Upstate. Most Upstate communities have lower costs of living, older housing stock and experience continued outmigration. These communities are focused on efforts to rehabilitate existing housing stock and encourage new development to provide safe and affordable housing for their residents.
Expanding rent control to Upstate communities would significantly impede these efforts, reducing the incentive for investment in existing units and discouraging new development. For many communities in
Communities in Upstate New York face some of the highest property tax burdens as a percentage of home value. Disincentivizing property maintenance will further exacerbate this issue, reducing property values on deteriorating properties and decreasing our tax base.
Additionally, the local opt in approach proposed in this legislation will create a patchwork of regulations across Upstate. This will add additional challenges for landlords, removing certainty for long term investment in a community.
Instead of expanding New York City style regulations to Upstate municipalities, the legislature should focus on creating a favorable environment for construction. Improving the overall business climate will encourage the construction of new affordable housing, reduce the costs of upkeep on existing units and provide a much-needed boost to local economies.
For these reasons Unshackle Upstate strongly opposes the enactment of this legislation.