In April 2019, The New York City Council overwhelmingly passed one of the most ambitious and innovative legislative packages ever considered by any major city to combat the existential threat of climate change, specifically focused on reducing and eliminating carbon emissions.

NYC Local Law 97 of 2019 (Intro. Bill 1253), a part of the NYC Climate Mobilization Act, requires large and medium-sized buildings, which account for nearly a third of all greenhouse gas emissions in the city, to significantly reduce their emissions.

Before 2030, buildings with more than 25,000 sq. ft. need to reduce their carbon emissions by 40%, and 80% by 2050. The very worst performing buildings will have to act by 2024 to curb their emissions. Hefty fines will be enforced starting in 2024 and will build until the goals are reached.

In September 2023, it was proposed that landlords who make a “good faith effort” to comply with Local Law 97 legislation by 2024 will receive leeway — which will come in the form of lower penalties and an additional two years to comply.

Such efforts must include a plan for decarbonization in the long term, which must be submitted no later than May 1, 2025. This must be included upon submission of the annual compliance report, which details lighting upgrades alongside water and energy use.

2024 is here. It’s important to have your Local Law 97 strategies firmly in place to avoid financial penalties.