News from the New York State Senate: The Golden Bill Was Amended On May 7, 2012
The former version of the Golden Bill created a vacation licensure structure (an owner to rent a unit for less than thirty days had to obtain a ‘vacation rental license’). This vacation rental license had to be renewed every two years for a fee of $200. For further information about the prior version of the bill, see our article dedicated to bill S4263-A.
* The term “vacation rental unit” is replaced by the term “short-term rental unit”.
* The new version of the Golden Bill merely requires a “short-term rental unit” (a unit rented for less than thirty days) to be registered with the New York City Department of Buildings (“DOB”) for a fee of $200. The new version of the bill does not require this registration to be renewed.
* The new version of the bill limits how many units in a residential building can be rented out for less than 30 days:
Building with 5-10 units: no more than 50% may be used as short-term rentals;
Building with 11-20 units: no more than 49% may be used as short-term rentals;
Building with 21+ units: no more than 10% may be used as short-term rentals.
* The new version of the bill provides for increased penalties:
Fines (for not registering with the DOB or for making fraudulent or misleading statements on the registration application) range from $1000 to $2000. The fines in the former version of the bill ranged from $500 to $1000.
* Rent-controlled, rent-stabilized and other subsidized housing units cannot be registered as “short-term rental units.”
What do you think of the new version of the Golden Bill? It is more likely to pass in the Senate? Are the requirements laid out in the amended version of the bill more likely to be followed by individuals renting their units for less than thirty days (registering one’s unit as a short-term rental as opposed to obtaining a ‘vacation rental license’)?