Specific HPD civil penalties have increased just before the end of 2023 as a result of Local Law 71, linked here. Here’s what’s changing, and how your team can prepare and avoid excess fines:

Registration Penalty Changes

Some of the biggest changes for HPD civil penalties are for annual registration. Local Law 71 sets up two different types of penalties, with varying ranges:

Failure To Register

Below are the new penalties for failure to register:

• Not less than $500 and not more than $1,500 for a multiple dwelling containing 5 or less dwelling units
• Not less than $1,000 and not more than $5,000 for a multiple dwelling containing more than 5 dwelling units

Immediate fines aren’t the only penalties for failing to register. In their update, HPD notes existing law that owners who fail to file “shall be denied the right to recover possession of the premises for nonpayment of rent during the period of noncompliance, and shall, in the discretion of the court, suffer a stay of proceedings to recover rents, during such period.”

False Information

A person who provides false information on the registration statement could be fined $750 – $5,000. 

Per HPD, examples of false information could be:

• Indicating the building address as the home or office address of an owner or agent, when the individual does not have an office or live at the building premises.
• Listing a superintendent as the managing agent or owner of a building when the individual does not serve that role.

Registration Reminders

As a reminder, the following types of buildings must register by September 1st each year:

• multiple dwellings (3+ units) including hotels, condominiums, and cooperatives
• 1-2 unit private dwellings where neither the owner nor the owner’s immediate family member resides

Registration must also be updated for any changes in ownership, management, or specific site management (contact information, etc.) via the PROS site. 

Any questions can be directed to HPD’s Registration Assistance Unit:

Registration Assistance Unit
100 Gold Street, 6th floor, Section: E, New York, NY 10038
212-863-7000
register@hpd.nyc.gov

In addition to general contact information, owners and managers can also schedule appointments to manage any registration issues via video conferencing. Here is the link to schedule an appointment with HPD directly. Per HPD’s website, you can also visit the unit in person and without an appointment on Wednesdays and Thursdays between 9:30 AM – 4 PM. Please note that these drop-in visits were available beginning July 26, 2023, and may change in the future depending on the registration season.

False Certifications

Fines are also increasing for false certifications – instances where violations are certified are correct, but not done properly. Here are the related penalties:

Non-Hazardous Violations	Hazardous Violations	Immediately Hazardous Violations
Not less than $50	Not less than $250	Not less than $500
Not more than $250	No more than $500	Not more than $1,000

 

Enforcement Programs For False Certifications

If a building incurs false certifications, they may see increased enforcement. Starting in 2025, properties with “significant” false certifications in 2024 may have to undergo inspections before certifications are deemed compliant.

Additionally, by January 15, 2025 (or the first business day following), and each calendar year after, HPD will post a list of 100 multiple dwellings based on the following criteria:

• more than 20 hazardous violations or immediately hazardous violations have been certified as corrected during the previous calendar year, other than a violation issued pursuant to section 27-2017.4 of this code*, and
• at least four of such hazardous or immediately hazardous violations that have been certified as corrected during such calendar year were falsely certified as corrected

*Section 27-2017.4 of this code references violations for pests.

General Penalty Increases

Below is a chart created by the department of general HPD civil penalties that are increasing, along with their current rate. Per the department:

Properties are subject to the penalties described below unless violations are corrected and the correction is certified to the Department by the dates indicated on the front of the Notice of Violation(s) mailed to the property owner or, in the case of heat and hot water violations, from the date the violation is posted at the building.

Some noteworthy changes:

• Class A, B, and C violations now all carry daily penalties in addition to initial fines
• Daily fines for Class C violations at buildings with more than 5 units have jumped significantly, up to $1,200 per day and $1,500 per day for subsequent heat violations
• The penalties for illegal devices for heat and hot water have now doubled to $50/day or $2,000 – whichever is more

Best Practices

If you’re a SiteCompli or InCheck user, make sure you’re taking advantage of the following:

• You can tailor HPD-specific alerts for folks on your team, so make sure everyone’s getting the information they need. You can also create automatically recurring reports to view information on-demand, without even having to log in
• InCheck users can automatically assign work for new HPD Complaints or Violations, so you won’t miss a minute when it comes to correction windows
• With SiteCompli or InCheck, there are no limits to the experts you can work with. Our platform allows you to add your favorite expert vendors and correction specialists to help take action on HPD issues. Reach out to our team to collaborate with your favorite experts with our platform

We’ve also got some exciting new features coming in 2024 to help your team take action even faster, so stay tuned – and don’t hesitate to reach out to support@sitecompli.com or your Customer Success Manager with any questions. We’re here to help!