In December 2022, Governor Hochul signed into law Private Finance Housing Law ("PHFL") Section 610 which allows owners of certain types of affordable housing to collect increased tenant- or project-based subsidies that are above the legal rent.
HCR has released the application for owners/managing agents of NYS Homes and Community Renewal regulated properties (e.g. properties with regulatory agreements with NYS Housing Finance Agency (HFA), NYS Division of Housing and Community Renewal (DHCR) and/or NYS Housing Trust Fund Corporation (HTFC) to apply for approval to collect the higher rents under PHFL 610.
FOR OWNERS WITH PROPERTIES IN RECEIPT OF BOTH HCR AND HPD RESOURCES THAT ALREADY APPLIED TO HCR:
As you know, your property received resources from both HCR and HPD. In these instances, eligible, approved projects must have their HPD Regulatory Agreements amended as the provisions governing rent stabilization are contained in that agreement.
Please be advised that HCR will continue to process your application and, if it is eligible, transfer it to HPD to amend the regulatory agreement. HCR will notify you of your application’s transfer to HPD.
Guidance for Potential Applicants
Jointly Funded Projects
NYS HCR and NYC HPD provide two different applications for eligible affordable housing developments to take advantage of PHFL 610.
- Projects in receipt of funds from NYC HCR (e.g. 4% LIHTC or Tax Exempt Bonds from the NYS Housing Finance Agency; or 9% LIHTC from the NYS Division of Housing and Community Renewal, or HOME funds through the NYS Housing Trust Fund Corporation) should apply through HCR’s application at the link at the end of this page.
- Project in receipt of low-income housing tax credits from NYC HPD should apply through HPD’s application: website.
If your property has received resources from both HCR and HPD, you should apply to whichever agency provided the LIHTC or tax-exempt bonds.
Regardless of which agency you apply to, if your property received resources from both agencies, your property must have its HPD Regulatory Agreement amended as the provisions governing rent stabilization are contained in that agreement. For example, if you apply to HCR and are found eligible, HCR will transfer your application to HPD to amend the regulatory agreement. HCR will notify you if your application is conditionally eligible and confirm the date of its transfer to HPD.
Applying Through HCR
HCR is currently accepting applications for projects that meet all criteria listed below:
- regulatory agreements with HFA, DHCR and/or HTFC;
- subject to the Rent Stabilization Law (RSL)/Emergency Tenant Protection Act (ETPA); and
- are in receipt of certain project- or tenant-based subsidies.
Projects that satisfy the above criteria and can demonstrate ongoing financial constraints may be able to obtain agency approval to participate in this program. Projects will be evaluated on a case-by-case basis and issues of non-compliance with all applicable HCR funding sources and rent registration status with the Office of Rent Administration will be considered in review. The rent registration portal opens on April 1st each year and registrations are due July 31st.
In addition to completing the online application, please send the following supporting documents to [email protected] with the subject line "PHFL 610 Application Supporting Documents:"
- Current year's ARRO Rent Roll
- If you need to register for the first time or have forgotten your ARRO User ID and Password, please visit: https://hcr.ny.gov/owner-rent-regulation-applications-0
- Copy of most recent audited financial statement
- The audited financials that are submitted are required to be for a full fiscal year. Projects that are in their lease up phase are ineligible. For a project to be eligible the audited financials must reflect a full year of stable operations
- List of units you are applying for PHFL 610 rent increases
- Copy of project-based voucher HAP contract(s) that includes unit details
- Certified Rent Roll with tenant-based voucher information
- Copy of initial FHEPS approval letter(s) or any annual renewal letter(s) (CityFHEPS or FHEPS).