Removes residential dwelling units that must be affordable to residents at a specific income level from the definition of "construction contracts" for the purposes of certain provisions of the General Business Law.
Summary
S05344 amends the General Business Law definition of “construction contract” in Article 36-A, which governs certain construction-related agreements. Under current law, the definition covers written or oral agreements for construction and related work when the project cost meets a specified threshold, but excludes several categories of projects, including public works and certain residential projects. This bill adds another exclusion: residential projects that include dwelling units required to be affordable to residents at a specific income level under a statute, regulation, restrictive declaration, or regulatory agreement with a government entity.
In practical terms, the bill would remove these income-restricted affordable housing projects from the scope of the construction-contract provisions that apply to covered construction contracts. The bill does not change the general rules for all construction work; it narrows the set of residential projects subject to this article by carving out affordable housing developments tied to affordability requirements. The measure takes effect immediately upon enactment.
Impact
The bill would amend section 756 of the General Business Law by expanding the list of exclusions from the statutory definition of “construction contract.” As a result, certain affordable housing developments with income-restricted units would no longer be treated as covered construction contracts for purposes of the affected provisions of Article 36-A. This change would affect owners, developers, contractors, and subcontractors involved in qualifying affordable housing projects, while leaving the existing treatment of public works, small residential projects, and other excluded categories unchanged.
Sentiment
Based on the bill text and the absence of recorded committee discussion or votes in the provided materials, the available record suggests a straightforward technical policy change rather than a controversial measure. The bill’s stated purpose is narrow and targeted, focusing on affordable housing projects subject to income-based affordability requirements. No opposition, amendments, or recorded vote history is provided, so there is no evidence here of significant public or legislative conflict.
Contention
The main policy issue is whether affordable housing developments should be treated differently from other construction projects under the General Business Law’s construction-contract provisions. Supporters would likely view the bill as reducing regulatory burdens on subsidized or income-restricted housing projects, while any critics might argue that removing these projects from the definition could reduce protections or alter legal remedies available under the article. Because no committee transcript or vote data is included, specific points of contention or named opponents are not available from the provided record.
Same As
Removes residential dwelling units that must be affordable to residents at a specific income level from the definition of "construction contracts" for the purposes of certain provisions of the General Business Law.
Removes residential dwelling units that must be affordable to residents at a specific income level from the definition of "construction contracts" for the purposes of certain provisions of the General Business Law.
Increases the interest rate for late payments due on construction contracts from one to two percent; includes a change order as part of the definition of construction contract; defines change order; repeals exceptions for lower Manhattan construction contracts.
Increases the interest rate for late payments due on construction contracts from one to two percent; includes a change order as part of the definition of construction contract; defines change order; repeals exceptions for lower Manhattan construction contracts.
Permits the construction of residential buildings that are up to four (4) stories and sixteen (16) dwelling units with a single staircase under certain conditions.