New York City Department of Buildings Releases Proposed Rules Package for Local Law 97, the GHG Emissions Law
As part of its ongoing efforts to implement Local Law 97 of 2019, the New York City Department of Buildings (DOB) recently released a package of four new proposed rules; the full text of these proposed rules can be found at Rule 1, Rule 2, Rule 3, and Rule 4. Local Law 97 establishes strict GHG emissions caps for “Covered Buildings,” which essentially include all buildings over 25,000 square feet, subject to some exceptions. These GHG emissions caps went into effect on January 1, 2024, and become more stringent over time in five-year increments referred to as compliance periods. Beginning in May 2025, and each May thereafter, building owners are required to submit an annual GHG emissions report for their building. If the actual GHG emissions from the building exceed the GHG emissions cap established by the Law, the building owner will receive a penalty for non-compliance. The initial compliance period is 2024-2029, when, according to DOB estimates, approximately 10-15 percent of Covered Buildings in the city will exceed the Law’s GHG emissions caps. The second compliance period is 2030-2034, when the GHG emissions caps will be reduced by approximately 50 percent and the number of buildings facing Local Law 97 penalties will rise significantly. GHG emissions caps are reduced again in 2035 and 2040, until...