Amendment Relating to Market Value of Alterations in Special Flood Hazard Areas

Adopted Rules: Closed to Comments

Effective Date: 
Thursday, July 30, 2015


Statement of Basis and Purpose of  Rule


Prior to the revisions that have been adopted, this rule set out methods for calculating the market value of a structure to determine if a structure has been or will be substantially damaged or substantially improved as such term is defined in Appendix G of the New York City Building Code. This rule also mandated that when the cost of an alteration exceeds $40,000, calculations must be submitted to the Department to verify that a building will not be substantially improved as a result of such alteration.


Subdivision (e) of this rule has been amended to clarify that signed-off work is not counted as part of the cost calculation.


Subdivision (g) of this rule has been amended to alter the trigger for which calculations are required to be submitted. The amendment allows the Department to effectively enforce the requirement of Appendix G both for structures of low and high market value. Applying the $40,000 trigger universally over the entire stock of buildings in New York City is not the most effective use of either the City’s or the building owner’s resources, as buildings of substantial market value can perform alterations of significant scope without being deemed substantially improved.


For buildings of significant value this rule amendment allows smaller alterations that exceed $40,000 dollars to proceed without presenting calculations to the Department, which will result in faster plan review and approval without compromising effective enforcement of the Department’s regulations.


The Department of Buildings’ authority for promulgating this rule and amendments thereto is found in sections 643 and 1043 of the New York City Charter, section 28-104.7.11 of the New York City Administrative Code and section G 201.2 of the New York City Building Code.