Senate Housing Committee advances package of housing bills; members press sponsor on homebuyer grant and condo-conversion rules

The Senate Committee on Housing, Construction and Community Development advanced a slate of housing measures Tuesday in Albany, reporting bills to the finance and cities committees and to the Senate floor while raising questions about means testing for a proposed first‑home grant and how condo/co‑op conversion rules interact with the Housing Stability and Tenant Protection Act (HSTPA).

Committee Chair Senator Brian Kavanaugh opened the fourth committee meeting of 2025 and noted the timing as state budget deadlines approach; the panel then took up a sequence of bills, many of which were carried over from earlier sessions and were reported out with motions and recorded objections on a small number of items.

The most detailed exchanges occurred on a Cleary‑sponsored bill (S1354) that would ease conversions from rental buildings to cooperative or condominium ownership when property owners commit to preserving permanently affordable units, and on a Cooney‑sponsored proposal (S3150) to establish a New York State first home grant program that would provide $10,000 grants to qualifying first‑time homebuyers.

On S1354, members discussed how the bill interacts with HSTPA. Senator Brian Kavanaugh and other members said the measure is intended to preserve affordability in buildings whose affordability requirements resulting from earlier tax benefits are about to expire. Committee members noted that HSTPA previously raised the conversion threshold from 15% to 55% to limit conversions that could be used to evade rent‑regulation protections; S1354 would roll that conversion threshold back to 15% in cases where the conversion is paired with preserving affordable units. Senator Cleary, the sponsor, was present for the discussion. The committee reported the bill with at least one recorded negative vote (Senator Burt) and other members recorded as not voting with recommendation in some cases.

On S3150, senators questioned eligibility and whether the bill includes means‑testing. Members raised concerns that the bill, as drafted, would not distinguish between lower‑income first‑time buyers and higher‑income purchasers and that manufactured homes are excluded from eligibility. Committee members asked whether groups or collective purchasers could qualify if at least one member had never previously owned a principal residence; the sponsor’s definition, as read in committee, requires that at least one individual in a group has not held an ownership interest in a principal residence, including properties owned abroad. Senators said they would relay concerns to the sponsor; several members recorded themselves as "without recommendation" for the committee’s action to report the bill.

Other bills advanced with less debate. The committee reported the Giannaris‑sponsored NYCHA utility accountability bill (S361) to finance. A Sanders‑sponsored measure (S3689) to prohibit eviction for certified medical use of medical marijuana was reported after recorded opposition from multiple members. The committee also advanced a Kavanaugh‑sponsored bill to create an acquisition fund for community land trusts (S5501), a Bailey‑sponsored change to qualifications for public members of the Rent Guidelines Board (S5645) that the committee referred to a city committee, and a Kavanaugh bill (S5662) authorizing a shelter‑rent tax reduction variant that was sent to a cities committee.

Votes at a glance: S361 (Giannaris) — Motion to report to finance moved by Senator Jackson, seconded by Senator May; reported to finance with no negative votes recorded in the immediate roll call. S1354 (Cleary) — Motion to report to finance moved and seconded with Senator Burt recorded as a negative vote; bill reported. S3150 (Cooney) — Motion to report to finance moved by Senator Jackson and seconded by Senator Cleary; members raised concerns about means testing and group eligibility; bill reported with several "AWR"/without‑recommendation notations. S3689 (Sanders) — Motion moved and seconded; Senator Wolczak (recorded as Volzak in one exchange) and Senator Martin recorded "no" votes; Senator Helming recorded "AWR"; bill reported. S5501 (Kavanaugh) — Motion to report to finance carried; bill reported. S5645 (Bailey) — Motion to report to Cities 1 moved and seconded; recorded nays from Senator Oldridge and Senator Martin and an "AWR" from Senator Helming; bill referred to Cities 1. S5662 (Kavanaugh) — Motion to report to Cities 1 moved and seconded; reported with some members "AWR".

Committee staff listed at the meeting included Hallie Choo, Naomi Lazarus, Jess Keenan, Naharin Gassu, Bobby Barnett and Kristen D'Souza. Chair Kavanaugh said the committee would relay members' questions and concerns back to sponsors, and several sponsors indicated they would work with members on clarifications before further action in subsequent stages of the legislative process.

Why it matters: several of the measures concern housing affordability, conversions of at‑risk affordable units and proposals that would distribute direct grant aid to first‑time buyers — all topics that affect housing availability and program design statewide as the Legislature moves toward finalizing the budget.

The committee will next await floor and secondary committee referrals; sponsors were asked to consider clarifications on means tests, group eligibility definitions and the interaction of conversion thresholds with HSTPA.