Bill > S00538

This bill prohibits individuals or households whose income exceeds 125% of the area median income from occupying certain rent-controlled and rent-stabilized housing accommodations in New York City. The legislation introduces means testing for tenancy, establishing that tenants with incomes above this threshold will be ineligible to live in these regulated housing units. Current tenants whose income increases above the threshold will be exempt from penalties and eviction for the duration of their current lease, but after the lease ends, continued occupancy would constitute grounds for eviction. The bill also applies these income restrictions to tenants seeking to inherit a lease through successorship, meaning that new successors must meet the income eligibility requirements. Tenants found to have willfully violated these provisions by providing false income documentation could be subject to civil penalties of up to $500 per day of illegal occupancy. The bill amends multiple existing housing laws, including the Emergency Tenant Protection Act and the Administrative Code of the City of New York, and tasks the Division of Homes and Community Renewal and the Department of Taxation and Finance with creating rules to implement these new requirements. The income restrictions for new tenants will take effect in January 2028, providing a transition period for implementation.

Housing and Urban Affairs

https://www.nysenate.gov/legislation/bills/2025/S538