BILL NUMBER: S4503
SPONSOR: RIVERA
 
TITLE OF BILL:
An act to amend the real property tax law, in relation to expanding
eligibility for tax abatement for rent-controlled and rent regulated
property occupied by persons with disabilities
 
PURPOSE OR GENERAL IDEA OF BILL:
Provides that individuals who do not meet the non-medical qualifications
for Social Security Disability Insurance Program (SSDI) or Supplemental
Security Income Program (SSI) can qualify as a person with a disability
for the purposes of being eligible for the Disability Rent Increase
Exemption (DRIE) Program.
 
SUMMARY OF PROVISIONS:
Section 1 of the bill amends paragraph a of subdivision 5 of Section
467-b of the Real Property Tax Law, relating to tax abatement for rent-
controlled and rent-stabilized property occupied by senior citizens or
persons with disabilities, to include proof of appropriate certification
for purposes of qualifying for the Disability Rent Increase Exemption
(DRIE) program.
This section states that upon certification from an individual that they
do not meet the nonmedical qualifications for the Social Security Disa-
bility Insurance Program (SSDI) or Supplemental Security Income Program
(SSI), and are not able to engage in substantial gainful activity due to
their disability and upon certification from an individual's healthcare
provider that the individual has a disability which prevents them from
engaging in substantial gainful activity, would qualify for the DRIE
program.
Section 2 provides for the effective date.
 
JUSTIFICATION:
Established in 2005, the New York City Disability Rent Increase
Exemption (DRIE) Program has assisted and continues to assist an esti-
mated 11,600 disabled New York City (NYC) residents. The program offers
tax abatement to landlords to pay the difference in the rent increase,
which removes the escalating rent burden for the disabled tenant.
Homelessness in New York has been rising rapidly. While the city is
celebrating a record number of homeless New Yorkers being placed in
permanent housing the number of unsheltered individuals has also hit an
all-time high in 2024. Individuals with disabilities are at an increased
risk of becoming homeless. Supporting people in maintaining stable hous-
ing stands out as both the most compassionate and cost-effective
approach. Scholarly research by Heston TF shows housing costs and lack
of affordable housing as the primary causes of homelessness (REF).
In this context, the DRIE program has proven to be successful in keeping
individuals with disabilities in their homes, especially in a time of
rising housing costs and a high rent burden on households. Yet, this
option is not available to all New Yorkers with disabilities. Currently,
many disabled individuals do not qualify for this program because the
law requires a person to have supplemental security income (SSI) or
social security disability insurance(SSDI), which is not available to
all New York residents.
This bill would allow individuals who do not meet the current DRIE
criteria to now qualify for the program upon providing certification
from the individual and their healthcare provider certifying that the
individual has a disability that prevents them from engaging in substan-
tial gainful activity.
 
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
To be determined, however, New York City currently spends $25 million on
the DRIE program, which covers 11,639 households in Fiscal Year 2020.
(Could not find updated data)
 
LEGISLATIVE HISTORY:
2021-22: S6260/A7452 Gonzalez-Rojas
2023-2024: S2952/No same as
 
EFFECTIVE DATE:
Immediately.

Statutes affected:
S4503: 467-b real property tax law, 467-b(5) real property tax law