Revised (2/20) OB-2016-1 Page 1 of 7
If the IAI was completed prior to June 14, 2019 and the rent increase for that IAI became effective prior to
June 14, 2019, the IAI is governed by the law in place prior to the enactment of HSTPA. For IAIs where the
work was completed after June 14, 2019 and the rent increase for that IAI was effective after June 14, 2019,
the rent increase is based on the new HSTPA amortization formulas and related limitations. If an IAI was
completed prior to June 14, 2019, but the rent increase for that IAI did not become effective until after June
14, 2019 the IAI rent increase is based on the new HSTPA amortization formulas but the IAI does not count
toward the $15,000 limitation and/or the three installations in a 15-year period limitation. The following
applies to leases offered or entered into prior to June 14, 2019 but commencing effective on June 14, 2019 or
thereafter that used the old amortization formula. Owners must within 150 days of this Operational Bulletin
provide their tenant with a revised lease as well as any refund required based on any needed recalculation of
the amortization formula and the legal rent.
HSTPA further requires that if an owner needs to hire an independent contractor and plans on calculating
related installation costs to be passed on to the tenant, the contractor must be licensed. There can be no
common ownership between the landlord and such contractor or vendor. Additionally, the owner must resolve
any and all outstanding hazardous or immediately hazardous violations of the Uniform Fire Prevention
and Building Code (Uniform Code), New York City Fire Code, or New York City Building and Housing
Maintenance Codes that pertain to the subject apartment.