Page 14 - The NY Cooperator September 2019
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14 THE COOPERATOR — SEPTEMBER 2019 COOPERATOR.COM ute requires a 14-day notice period before a fine can be enforced. A fine many not exceed $100 per violation, and fines may be imposed for each day that a violation continues – up to $1,000 per violation. A grievance committee of the condominium must hear the case and determine the final outcome. “Fines are a tool in the toolbox to com- pel a change in behavior,” says Brian Butler, Vice President of Property Management with FirstService Residential in Chicago. “Most buildings we manage have some fines. It could be as simple as a late fee on monthly common charges, or something hefty on lease restrictions like Airbnb vio- lations. These fines and fees are generally found in the association’s or corporation’s house rules – not in the governing docu- ments. The dollar amount of the fine is at the board’s discretion. They can amend house rules when necessary, and can have ranges and categories for different fines.” What Counts as ‘Finable’? Fines can be levied for all types of in- fractions. Typical infractions include pet violations (ranging from the pet relieving itself in the lobby or elevator to the size or breed of pet permitted); smoking in non- smoking areas; parking in non-reserved areas; noisy or disruptive behavior; and in some cases failing to observe pool etiquette. The list is long, and can differ sharply from one community to another. Roque points out that in Florida, pool behavior is a major issue. In mixed-age communities, approved activities and be- havior for kids in pool areas is one place where fines often come into play in order to maintain a safe facility – and to avoid some liabilities. For example, children must be accompanied to the pool and supervised by their parents for as long as they’re us- ing the space; failing to do so will result in the parent (or whichever association mem- ber is hosting the child) being fined. An- other major issue that can result in a fine is bringing glass containers into a pool area; owners must consider the damage a broken glass can do. Pool infractions might carry some non-monetary punishment as well, like a temporary ban from the pool facil- ity – but the pros we spoke with agreed that a stiff fine for letting your 6-year-old run around the pool deck with an empty glass bottle could be an excellent way to see to it that you keep a closer eye on your kid in future. Wollman makes a very interesting point about the effectiveness of fines. “First of all,” he says, “there aren’t that many of- fenses to fine for. You’re not going to fine a shareholder or a unit owner for leaving their shoes in front of their door because CONT... Unger adds that if a building is po- tentially at risk for exceeding the car- bon emissions limit for 2024, its owners should review and understand what im- mediate measures can be taken that will get the building within the compliance standard. “That’s something that should be going on right now with every build- ing owner,” he says, “looking at capital budgets that they may have available to do this work. They really need to start prioritizing those projects. The more data you have to understand the build- ing performance, the more informed de- cisions you can make on what needs to happen.” What’s Next... As reported by The New York Times, Mark Chambers, the director of the Mayor’s Office of Sustainability, said that while the cumulative cost for building owners to make the retrofits would go over $4 billion, they would later recover that spent money in reduced operating expenses. But not everyone is convinced about the return of investment from the retrofits, let alone if the city will be able to meet the 40 percent carbon emissions reduction goal by 2030. “I was told the same thing when we were told we should convert from No. 6 oil to natural gas,” Saft says, “and as I said, it cost $350,000. Our heating costs went down slightly, but it’ll take decades to recover that cost. I don’t imagine that we’re going to have any kind of significant savings to make up for what the costs are going to be.” Rizzo says that in the first few years of the law, the fines will be significant but manageable for most but not all buildings “Partial compliance with the law is pos- sible to minimize the fines. But by 2030 the emission limits will drop sharply, and without very significant financing and technical assistance, the fines could be- come unmanageable for some buildings.” In his view, Constantinides says that New York City is now at a crossroads: it can either continue its current energy in- frastructure or find new and clean ways to generate energy without making its citizens sick from harmful toxins. “That being said, I also realize how difficult it has become to own a home in New York City. You shouldn’t have to be forced out of your home by rising costs – or ris- ing sea levels. The intent of this law was not to punish co-ops and condos, but to reduce the massive amounts of carbon pumped out of a disproportionately small share of buildings.” n David Chiu is an associate editor at The Cooperator. LOCAL LAW 97 continued from page 11 FINES & PENALTIES continued from page 1