NYC Government Falls Short of its July 2024 Local Law 97 Target

Expected to lead the way in the citywide effort to reduce carbon emissions throughout New York City, the 25% reduction from 2006 levels of emissions in municipal buildings by July 2024 fell short of the steep 40% target, which the city has now pushed back to July 2026. Enacted in 2019, Local Law 97’s (LL97) main goal is to achieve carbon neutrality citywide by 2050. As the largest landlord in the city, some policy observers “find the missed milestone troubling as the city works to bring private properties into compliance,” while others believe it “imperative that the city itself lead by example.” According to a spokesperson for the city’s Department of Citywide Administration Services (DCAS), contributing factors to the inability of the city to meet its compliance target were budget freezes that led to the “cancellation of several dozen” green building projects, the COVID-19 pandemic, supply-chain challenges, construction delays and staff vacancies, and “fiscal challenges driven by the migrant crisis.” “Economic conditions that led to the cancellations of high-profile offshore wind projects” by the state also contributed. Despite the slowdown of progress, the city reportedly said it completed 580 energy efficiency projects in Fiscal Year 2024, resulting in an estimated “annual reduction of greenhouse gas emissions by more than 26,600 metric tons, or the equivalent to removing roughly 5,700 cars from the road,” which “saved the city an estimated $11.6 million in annual energy costs” last year.

In contrast to the city government which “is not subject to fines for the carbon its buildings emit over the limit,” property owners will “face fees of $268 for every ton of carbon dioxide over the limit” of their carbon caps. In preparation for the quickly approaching 2025 deadline for the city’s property owners to meet compliance targets, the Department of Buildings’ (DOB) dedicated LL97 staff has increased to a total of 38, more than triple the 11 at the start of the year; and the city is rushing to fill another 25 positions — having set aside $4 million in this year’s budget toward the effort plus a portion of a recently secured $20 million grant from the U.S. Department of Energy. As overseers of the building decarbonization law, the LL97 team will be tasked with analyzing the submitted building reports, as well as issuing and enforcing penalties to building owners who fail to meet their emission reduction targets. However, a pending state court lawsuit to block LL97 that was initiated by “some property owners who aren’t eager to make green building investment,” was recently paused by a judge until at least December 9, 2024 “while the city tries to get the case dismissed on appeal,” court records reportedly show.

Source:    https://www.crainsnewyork.com/politics-policy/new-york-city-fails-comply-local-law-97

Source:    https://www.crainsnewyork.com/real-estate/nyc-triples-local-law-97-staff-lawsuit-looms