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Alexander J.

Nicas

THE BLOOMBERG MACHINE EXPLOITS NEW YORK CITY’S FLAWED LAND USE
DECISION-MAKING PROCESS: WHY REFORM IS NECESSARY TO ENSURE
ORDERLY GROWTH ACROSS ADMINISTRATIONS.

Alexander J. Nicas
St. John’s University School of Law
Land Use Planning
Fall 2010

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Alexander J. Nicas

I. Introduction

According to a population projection survey published by the Department of City

Planning in 2006, New York City is projected to grow to 9.1 million people in 2030.1 This

population survey, a necessary predicate for any long-term development plan, ultimately became

the backbone for PlaNYC 2030.2 PlaNYC 2030, a 127-page comprehensive plan outlining a

common vision for future growth, was put together by the Bloomberg Administration

(“Administration”) in 2007 to address five key dimensions of New York City – land, air, water,

energy, and transportation.3 During the Administration’s pro-growth first term – focused on

major redevelopments and large rezonings designed to create jobs and increase the City’s tax

base – it became clear that there was no overarching land use strategy guiding these decisions.4

In the summer of 2005, as the Administration was preparing for a 2012 Olympics bid, City

agency staff comprehensively analyzed land use and infrastructure issues for the first time in

decades.5 Noticing the shortfalls in past decisions, the City actually set out to develop a strategic

land use plan to utilize resources more efficiently and to prepare for the expected population

growth of the future.6 Although PlaNYC began as a strategic land use plan, sustainability was

the common theme, and the report moved to encompass many issues related to the development

of New York City.7 PlaNYC is still lauded as “exhibiting the best characteristics of a

comprehensive plan, tying long-term goals like sustainability to demographic projections and

1
See Report, New York City Population Projections by Age/Sex & Borough, The City of New York & The Department of City
Planning (December 2006), http://www.nyc.gov/html/dcp/html/census/popproj.shtml (estimating this increase to be
approximately 14%).
2
See Case Study, The Process Behind the Plan: How the City of New York Developed its Comprehensive Long-Term
Sustainability Plan, ICLEI – Local Governments for Sustainability USA (April 2010),
http://www.nyc.gov/html/planyc2030/html/downloads/download.shtml [hereinafter Case Study].
3
See PlaNYC, A Greener, Greater New York, The City of New York (April 2007),
http://www.nyc.gov/html/planyc2030/html/downloads/download.shtml) [hereinafter PlaNYC]. For the purposes of this paper, I
will only be focusing on the land use component of PlaNYC. Any references to PlaNYC will only relate to this section.
4
Case Study, supra note 2, 11-12.
5
Id. at 13.
6
Id.
7
Id.

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holistic solutions.”8 Critics argue that because it was created “outside a charter-authorized

process, PlaNYC never went through a proper public review process and lacks the institutional

power to force city departments to comply with its goals.”9 In light of the fact that the

Bloomberg Administration has pursued a “massive and unprecedented rezoning agenda,” a long-

term plan with common vision is necessary.10 If the New York City Planning Commission is

really to stick to their Charter mandate – “planning relating to the orderly growth, improvement

and future development of the city”11 – a comprehensive plan12 must guide this development.

Recent studies indicate that the Administration has effectively implemented the basic

land-use goals outlined in PlaNYC, but Mayor Bloomberg & Co. won’t be around forever. To

ensure orderly development across mayoral administrations, something must be done. The most

reasonable solution would be an overhaul of the 1961 Zoning Resolution. Another option could

be to formalize the development goals in PlaNYC. A third option could be to increase the power

of local community boards in the land use planning process. Some solution, some middle

ground must be found. The orderly growth and future development of New York City depend

upon it.

This paper outlines the history of zoning in New York City, the procedural steps required

to propose site-specific rezoning, the relevant and recent cases delineating the law governing

rezonings, and a basic analysis of city-initiated rezonings since 2002. This paper also points out

8
Noah Kazis, Land Use Process Likely Safe in Charter Revision, But Major Issues Simmer, Streetsblog New York City, June 25,
2010, http://www.streetsblog.org/2010/06/25/land-use-process-likely-safe-in-charter-revision-but-major-issues-simmer/.
9
Id.
10
Amy Armstrong, Vicki Been, Josaih Madar & Simon McDonnell, How Have Recent Rezonings Affected the City’s Ability to
Grow, Furman Center for Real Estate & Urban Policy, New York University, March 2010,
http://furmancenter.org/files/publications/Rezonings_Furman_Center_Policy_Brief_March_2010.pdf (researching the net impact
of the Bloomberg Administration’s 100 rezoning projects, and how these decisions will accommodate new growth, or how the
outcomes square with the city’s stated goals).
11
See NYC Zoning History, Department of City Planning, http://www.nyc.gov/html/dcp/html/zone/zonehis.shtml#how.
12
The enabling statutes that require zoning regulations to be in accordance with a comprehensive plan are Town Law §263 for
towns, and Village Law §7-704 for villages. General City Law §20(25) makes reference to a well-considered plan in place of
comprehensive plan.

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Alexander J. Nicas

a few deficiencies in the current system, and proposes a couple reforms that could help ensure

orderly and efficient growth as New York City continues to develop and prosper.

II. Zoning as a means to further growth and development. But, we can’t forget to follow

the plan…

N.Y. General City Law §20(25) states that every city is empowered to regulate

development “in accord with a well considered plan.”13 Zoning, the means by which regulation

is enacted, seeks to plan for the future development of the community.14 Therefore, any

proposed zoning, rezoning, zoning amendment, etc. must be “in accord with a well considered

plan.”15 New York City doesn’t have an official comprehensive plan.16 Instead, a plan is

developed within the framework of the zoning resolution and applied in patchwork during site-

specific rezoning initiatives. In record numbers, the Administration’s ad hoc, site-specific

initiatives are upheld as well-considered plans.

A. NYC zoning from 1916 to 1961 to Today.

New York City enacted the nation’s first zoning resolution in 1916.17 Rapid growth and

out of context development made it clear that height and setback controls, and designated areas

for manufacturing, commercial and residential uses were necessary.18 Although limitations to

the 1916 Zoning Resolution soon became apparent, “[i]t fostered the iconic tall, slender towers

that epitomize the city’s business districts and established the familiar context of three- to six-

13
N.Y. GENERAL CITY LAW §20(25). In it’s entirety, §20(25) empowers every city “[t]o regulate and restrict the location of
trades and industries and the location of buildings, designed for specified uses, and for said purposes to divide the city into
districts and to prescribe for each such district the trades and industries that shall be excluded or subjected to special regulation
and the uses for which buildings may not be erectd or altered. Such regulations shall be designed to promote the public health,
safety and general welfare and shall be made with reasonable consideration, among other things, to the character of the district,
its peculiar suitability for particular uses, the conservation of property values and the direction of building development, in accord
with a well considered plan.”
14
Asian Americans for Equality v. Koch, 72 N.Y.2d 121, 131 (1988) (stating that “zoning is a means rather than an end”).
15
Id.
16
Noah Kazis, Planners Tackle Big Questions About How to Shape NYC Development, Streesblog New York City, July 22, 2010,
http://www.streetsblog.org/2010/07/22/planners-tackle-big-questions-about-how-to-shape-nyc-development/.
17
See NYC Zoning History, Department of City Planning, http://www.nyc.gov/html/dcp/html/zone/zonehis.shtml#how.
18
Id.

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Alexander J. Nicas

story residential buildings found in much of the city.”19 In response to changing times, it was

constantly amended, and by 1960, it “resembled a patchwork, reflecting forty-four tumultuous

years of technological, social and physical change.”20

The need for a new zoning resolution was evident, and after significant public debate, the

1961 Zoning Resolution was passed.21 The 1961 Zoning Resolution brought the zoning

framework up-to-date by coordinating use and bulk restrictions, encouraging the use of open

space, introducing incentive zoning22, and incorporating parking requirements.23 Many of these

changes guaranteed that new development would out of context24 with existing city blocks.25

Under the 1961 Zoning Resolution, contextual zoning was difficult to achieve because the

Resolution controlled height and bulk through floor to area ratio (“FAR”). As FAR relates the

size of a building to the lot size, the size of the lot often dictated the form of development.26 To

counter the issue of out of context development in certain locations, the New York Planning

Commission proposed a new zoning technique called a Special District in 1967.27 A Special

District “stipulates zoning requirements and/or zoning incentives tailored to distinctive qualities

that may not lend themselves to generalized zoning and standard development.”28 Today, over 40

Special Districts exist across all five boroughs of New York. The thrust of a Special District – to

19
Id.
20
Norman Marcus, New York City Zoning – 1961-1991: Turning Back the Clock – But With an Up-To-The Minute Social
Agenda, 19 Fordham Urb. L.J. 707, 707 (1992).
21
See NYC Zoning History, Department of City Planning, http://www.nyc.gov/html/dcp/html/zone/zonehis.shtml#how.
22
Incentive zoning refers to a bonus of extra floor space if a development includes public spaces or below market-rate housing.
23
See NYC Zoning History, Department of City Planning, http://www.nyc.gov/html/dcp/html/zone/zonehis.shtml#how.
24
Marcus, supra note 16, at 713 (stating that “context” means the surrounding conditions in which something occurs.
“Contextual zoning” extends the definition a step further and lets the context control the development).
25
Id. at 709 (noting that on a smaller lot basis, the changes created an awkward dissonance within an established neighborhood).
26
Id. at 712.
27
Id. at 713. (discussing the Special Theatre District, and its aim of preserving “New York City’s position as a national theatre
capital without curtailing construction of the high-rise office buildings which were steadily replacing the old, uneconomic, two
and three-story theatres … [r]ather than inhibit the building of new office space in the Times Square area which was well served
by the City’s mass transit network, the demarcation of the Special Theatre District in 1967 offered the developer an incentive in
the form of a floor area bonus of up to forty-four percent in exchange for the promise to build a legitimate theatre as part of the
project).
28
See Special Purpose Districts, Department of City Planning,
http://www.nyc.gov/html/dcp/html/zone/zh_special_purp_dist.shtml.

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Alexander J. Nicas

maintain context during growth and development – was important, but the enactment of even one

eroded general zoning enforcement.29 A better way was necessary, and in 1989, the concept of

contextual zoning was formally adopted into the Zoning Resolution.30 Contextual zoning

“regulate[s] the height and bulk of new buildings, their setback from the street line, and their

width along the street frontage, to produce buildings that are consistent with existing

neighborhood character.”31 The inclusion of contextual zoning only added to the confusion for

developers.32 It took ten years, but in response, the New York City Department of City Planning

(“DCP”) proposed the Unified Bulk Program in 1999.33 When the Program was announced,

there was a clear understanding that the Planning Commission had “encumber[ed]the 1961

Resolution with limited height districts, contextual districts, [etc.] … which have in the aggregate

produced an unduly complex, incoherent, and unpredictable set of regulations … that only

experts understand.”34 The Unified Bulk Program was supposed to “establish reasonable

parameters for new development that give communities, developers and regulators a clear sense

of what is and is not allowed in a given district, while allowing appropriate flexibility in the

design of individual buildings.”35 Clarity would close the “numerous loopholes and [minimize

the] interpretive gymnastics yielded by present zoning,” while a “public review and approval

process w[ould] allow for sufficient flexibility to address unique conditions and allow for

29
Marcus, supra note 16, at 714.
30
Andrew Watanabe, The Social and Spatial Imperatives of Contextual Zoning in New York City During the Bloomberg
Administration, Unpublished Thesis, Columbia University, May 2010, http://andywata.com/index.php?/ongoing/thesis-
contextual-zoning/.
31
See Glossary, Department of City Planning, http://www.nyc.gov/html/dcp/html/zone/glossary.shtml.
32
See Unified Bulk Program, Department of City Planning, http://www.nyc.gov/html/dcp/html/pub/unibulk.shtml (stating that
current zoning generally sets appropriate controls on the amount of floor area that can be built, but the rules governing building
height and massing reflect several competing visions of the city’s development, often applied simultaneously in the same zoning
district … [and] … this confusing situation has developed over the years, as the City Planning Commission has repeatedly
adopted amendments to limit or provide alternatives to the “tower-in-the-park” prototype underlying the 1961 Zoning
Resolution).
33
Armstrong, supra note 10, at 2.
34
See Unified Bulk Program, Department of City Planning, http://www.nyc.gov/html/dcp/html/pub/unibulk.shtml.
35
Id.

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architectural innovation.”36 The Unified Bulk Program report went on to state that the “less

appealing possibilities inherent in the 1961 [Resolution] appear with greater frequency now,

because market conditions are more favorable that in most of the preceding 40 years and good

development sites are in ever shorter supply … [and] … [n]ow more than ever, reforms are

needed to rebalance the zoning regulation and development economics.”37 Unfortunately, in the

face of significant opposition from real estate developers and unenthusiastic support from the

New York City Council, the Program was never adopted.38 Foresight was necessary, and I

believe the New York City Council ceded to the interests of those developing the city as the

technology boom of the late 20th century fueled growth.

In over 10 years, nothing has been done to simplify the 1961 Zoning Resolution. The

honest critiques of the Unified Bulk Program report still hold true today, but the Resolution is the

only tool planners have to shape development. In the absence of an explicit comprehensive

plan39, the 1961 Zoning Resolution must be able to accommodate the City’s future development

goals. Since taking office in 2001, the Bloomberg Administration has eschewed rewriting the

Resolution and focused instead on site-specific neighborhood rezonings initiated by the DCP.40

The impact of these rezonings will be discussed in Part VI, but one thing is very clear – the

Bloomberg Administration is a sophisticated, professional, well run organization, and has

become exceptionally adept at implementing its rezoning agenda. Part III will outline the major

procedural requirements that the Administration must satisfy when it proposes site-specific

rezoning, and Part’s IV + V will discuss the role of the courts in adjudicating challenges to city-

initiated rezonings.

36
Id.
37
Id.
38
See Armstrong, supra note 10 at 2; Watanabe, supra note 28 at 4.
39
Kazis, supra note 16.
40
Armstrong, supra note 10, at 2.

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III. ULURP, SEQRA, CEQR

A. Uniform Land Use Review Procedure (ULURP) - §197-c

Since 1976, all “applications by any person or agency respecting the use, development, or

improvement of real property subject to city regulation shall be reviewed pursuant to a uniform

review procedure.”41 For purposes of this paper, §197-c applies to all DCP-directed rezoning

projects.

First, a standardized Land Use Review Application must be filed with the Department of

City Planning.42 A completed application will include: (1) an application; (2) any amendments

made prior to approval of an application; (3) any written information submitted for purposes of

determining whether an environmental impact statement will be required by law, and; (4)

documents or records intended to define or substantially redefine the overall scope of issues to be

addressed in any draft environmental impact statement required by law.43 The DCP is

responsible for certifying a completed application, and must do so within six months of receipt.44

To certify, the DCP must have all forms, plans and supporting documents that are necessary to

address all issues, including a negative declaration, conditional negative declaration or a notice

of completion for Draft Environmental Statement.45 If certification is not given within six

months, the City Planning Commission has appellate review of the application and will either

certify or state in writing what further information is necessary.46 After certification, the

complete application is sent to each affected Community Board who then have sixty days to

41
New York, N.Y., CHARTER §197-c.
42
See Land Use Review Procedure, Department of City Planning, http://www.nyc.gov/html/dcp/html/luproc/ulpro.shtml.
43
New York, N.Y., CHARTER §197-c(b).
44
Id. §197-c(c) (stating that if the application is not certified with six months after filing, both applicant and, “if the land use
proposed in and application is consistent with the land use policy or strategic policy statement of the affected borough president,
the affected borough president shall have the right at any time” to appeal the DCP for certification).
45
See Land Use Review Procedure, Department of City Planning, http://www.nyc.gov/html/dcp/html/luproc/ulpro.shtml.
46
New York, N.Y., CHARTER §197-c (2008).

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notify the public47, and either hold a public hearing or submit a written waiver of the right to

hold a public hearing, and then submit a written recommendation to the CPC and affected

Borough Presidents.48 The Borough President(s) then has thirty days to submit a written

recommendation to the CPC.49 Finally, the CPC then has an additional sixty days to “approve,

approve with modifications, or disapprove the application.”50 The CPC has ultimate control over

the process before a possible City Council vote because it also must establish rules providing: (1)

guidelines, minimum standards, and procedural requirements for community boards and borough

presidents; (2) minimum standards for certification of applications, and; (3) specific time periods

for review of applications prior to certification.51 The City Council has mandatory review of

specific issues: zoning map changes, zoning text changes, housing and urban renewal plans, and

dispositions of residential buildings (except to non-profit companies for low income housing).52

The City Council may elect to review additional actions, by assuming jurisdiction within 20 days

of CPC approval, with majority vote.53 If a ULURP action is under review, the City Council

must hold a public hearing (after notice of not less than five days in advance), and vote within

fifty days of receipt.54 A majority vote of the Council shall be required to “approve, approve

with modifications or disapprove” a filing.55 The Mayor has the right to file a written

disapproval of any approval within five days.56 The City Council then has the last vote, and may

47
Id. §197-c(e)(1).
48
Id. §197-c(e)(2).
49
Id. §197-c(g).
50
Id. §197-c(h) (stating that any approval, or approval with modifications shall require the affirmative vote of at least seven of
the members, except capital projects, and sales or dispositions of city property which require nine).
51
Id. §197(c)(i).
52
Id. §197-d.
53
Id. §197-d(b)(3). Also, if both an affected community board (after holding a public hearing) and the affected borough
president have recommended in writing against approval, and the borough president files an appeal with the commission within
five days, the matter may be reviewed. Id. §197-d(b)(2).
54
Id. §197-d(c).
55
Id. (stating further that a failure to act, shall be deemed an approval of the decision by the CPC).
56
Id. §197-d(f).

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override the mayoral disapproval by a vote of two-thirds.57 The ULURP process governs the

path of an application that has been filed. The next section will outline a major component of

that application, the environmental impact statement.

B. State Environmental Quality Review Act (SEQRA) + City Environmental

Quality Review Act (CEQR)

Article 8 of the New York Environmental Conservation Law is titled State Environmental

Quality Review (“SEQR” or “SEQRA”).58 SEQRA incorporates environmental factors into land

use planning decisions, and requires all governmental agencies to assess the environmental

effects of discretionary actions before undertaking, funding, or approving these actions.59 In

New York City, SEQRA procedures are governed pursuant to City Environmental Quality

Review (CEQR).60 CEQR designates establishment and implementation of the rules relating to

environmental review to the CPC.61 The first step in a CEQR action is deciding the appropriate

lead agency.62 In private ULURP applications, §197-a plans, and all actions primarily involving

a zoning map or text change, the CPC is the designated lead agency.63 For other ULURP

applications, the city agency applicant or the agency that will be involved with implementation is

the lead agency.64 Designation pursuant to the above rules is not set in stone though. Lead

agency status may be to be transferred “from the lead agency, at its discretion, to an involved

57
Id. §197-d(g).
58
N.Y. ENVTL. CONSERV. LAW §8 (McKinney 2010) (stating that the purpose of Article 8 is to “encourage productive and
enjoyable harmony between man and his environment; to promote efforts which will prevent or eliminate damage to the
environment and enhance human and community resources; and to enrich the understanding of the ecological systems, natural,
human and community resources important to the people of the state”).
59
N.Y.C.R.R. tit. 6, ch. VI, §617.1(c) (2010); see also Matter of Coca-Cola Bottling Co. v. Board of Estimate, 72 N.Y.2d 674,
679 (emphasizing that SEQRA’s fundamental policy is to inject environmental considerations directly into governmental
decision maing).
60
New York, N.Y., R.C.N.Y. tit. 62, ch.5 (2009).
61
Id. §5-01.
62
Id. (stating that the CPC has selected the involved agency principally responsible for carrying out, funding, or approving the
action.
63
Id.
64
Id.

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agency that agrees to become the lead agency.” 65 In the context of all DCP-directed rezonings

pursued by the Bloomberg Administration, the DCP has often been the lead agency in CEQR

reviews, even if the CPC was the lead agency by statute.

SEQRA defines two types of actions – Type I66 and Type II67. All the rezoning

initiatives pursued by the Administration fall under Type I classification.68 For Type I actions,

the first step is to complete an environmental assessment form/statement (“EAF” or “EAS”),

which helps the agency determine the environmental significance or non-significance of its

actions.69 A completed EAS must contain enough information “to describe the proposed action,

its location, its purpose and its potential impacts on the environment.”70 An EAS may be waived

if a draft environmental impact statement (“EIS71”) is prepared, with the draft EIS being used to

determine significance.72 Once all documentation is provided, including the EAS or draft EIS,

the lead agency must determine the significance of the action within fifteen calendar days.73 The

lead agency’s determination must be in writing, and elaborate and provide all supporting

documentation.74 If one significant adverse environmental impact is found, a positive

declaration is issued and an EIS is required.75 If no adverse environmental impacts are identified

65
Id. §5-03(i) (defining “involved agency” as any agency that has jurisdiction to fund, approve or directly undertake an action but
requests or is requested to participate in the review process because of its specific concern or expertise about the proposed
action).
66
N.Y.C.R.R. tit. 6, ch. VI, §617.4 (2010) (acknowledging that there is a presumption that Type I actions may have a significant
adverse impact on the environment and require preparation of an EIS).
67
Id. §617.5 (acknowledging that Type II actions have been determined not to have a significant impact on the environment and
are otherwise precluded from environmental review under Environmental Conservation Law, article 8).
68
Id. §617.4(b)(3) (noting that a granting of a zoning change is a Type I action if it is directly undertaken, funded or approved by
an agency).
69
Id. §617.6(a)(2).
70
Id. §617.2(m).
71
Id. §617.2(n) (defining “EIS” to be a document that weighs the social, economic, and environmental factors early in the
planning and decision-making process, and then systematically consider the significant environmental impacts, alternatives and
mitigation possibilities).
72
Id. §617.6(a)(4).
73
New York, R.C.N.Y., tit. 43, ch.6, §6-07(a) (2009).
74
N.Y.C.R.R. tit. 6, ch. VI, §§617.7(b)(3) and (b)(4) (2010).
75
Id. §617.7(a)(1).

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or the identified adverse environmental impacts are not significant, then a negative declaration is

issued and no EIS is required.76

If an EIS is required, CEQR mandates that all draft or final copies include ten items,

including: (i) identification of any adverse environmental effects which cannot be avoided if the

proposed action is implemented77; (ii) a discussion of the social and economic impacts of the

proposed action78; (iii) a description of mitigation measures to minimize adverse environmental

effects79, and; (iv) a description of growth-inducing aspects of the proposed action80. Once a

draft EIS is filed by the lead agency, there is a 30 calendar day public review and comment

period81, and a public hearing upon 10 calendar day notice82. If the action is also subject to

ULURP, a public hearing pursuant to that process and held by the appropriate community board

or borough president and/or the CPC may satisfy the public hearing requirement.83 Within 30

days of a public hearing, the lead agency will prepare the final EIS.84 If an agency decides to

carry out an action that may have a significant effect on the environment, a written decision must

state the following findings: (1) consistent with social, economic and other essential

considerations of state and city policy, from among the reasonable alternatives thereto, the action

to be carried out or approved is one which minimizes or avoids adverse environmental effects to

the maximum extent possible, including the effects disclosed in the relevant environmental

impact statement85, and (2) consistent with social, economic and other essential considerations of

76
Id. §617.7(a)(2).
77
New York, R.C.N.Y., tit. 43, ch.6, §6-09(d)(3) (2009).
78
Id. §6-09(d)(4).
79
Id. §6-09(d)(7).
80
Id. §6-09(d)(8).
81
Id. §6-10(a)(iv).
82
Id. §6-10(c)(3). The hearing must commence no less than 15 calendar days or more than 60 calendar days of filing the draft
EIS. Id. §6-10(c)(2).
83
Id. §6-10(c)(4).
84
Id. §6-10(a).
85
Id. §6-12(b)(1).

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state and city policy, all practicable means will be taken in carrying out or approving the action

to minimize or avoid adverse environmental effects86.

ULURP, SEQRA, and CEQR all govern agency-directed initiatives, and provide the

procedural framework for the Administration’s rezoning agenda. The statutes supply the rules,

but courts decide when a violation of those rules has occurred.

IV. Judicial Review in Article 78 Proceedings – A Strict Standard

Zoning is a legislative act. Changes in zoning enjoy a strong presumption of

constitutionality and the burden rests on the party attacking them to overcome that presumption

beyond a reasonable doubt.87 The decision to zone or rezone rests with the local legislative

body, and it’s judgment and determination will be conclusive unless show to be arbitrary.88 The

threshold of arbitrariness is embodied in the Article 78 standard of review: whether “a

determination … was affected by an error of law or was arbitrary and capricious or an abuse of

discretion.”89 The arbitrary and capricious standard is strict, and doesn’t allow a court to weigh

in on the merits of a decision. Instead, a court is only left to determine whether the legislative

body complied with the statue, procedurally and substantively.

A. An Early Trilogy: Lai Chun, Chinese Staff, Asian Americans for Equality

All three of these cases were brought in opposition to the establishment of the Special

Manhattan Bridge District, and all three made it to the New York Court of Appeals. Lai Chun

Chan Jun v. Board of Estimate of the City of New York90, decided first in June of 1984, was

narrowly focused on two issues: (1) the appropriate notice of a public hearing pursuant to

ULURP, and (2) whether the Special District was adopted in conformance with a well-

86
Id. §6-12(b)(2).
87
Asian Americans, 72 N.Y.2d at 131.
88
See Rodgers v. Village of Tarrytown, 302 N.Y. 115, 121 (1951).
89
N.Y. C.P.L.R. §7803(3) (McKinney 2009).
90
62 N.Y.2d 900 (1984).

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considered plan.91 The Court summarily dismissed both of Petitioner’s contentions stating that

(1) notice is sufficient if it is given in any form that is reasonably adapted to inform the public,

and (2) because the CPC Study published and included in the record revealed the effects the

proposed redistricting would have upon the health, safety and welfare of the community, it was

considered pursuant to a well-considered plan.92 The Court of Appeals next decided Chinese

Staff Workers Ass’n v. City of New York93 (“Chinese Staff I”) in 1986. Petitioners in Chinese

Staff I commenced an Article 78 proceeding, and argued that the city’s environmental review

was arbitrary and capricious because it failed to consider whether the introduction of luxury

housing would “accelerate the displacement of local low-income residents and businesses or alter

the character of the community.”94 During planning, the City issued a negative declaration95,

and in response to Petitioners assertion, it stated “absent a determination that the proposed action

will have a significant adverse impact on an area’s physical environment, SEQRA and CEQR do

not require consideration of any social and economic impacts such as those asserted.”96 The

Court, limiting its scope of review, stated: “it is not the role of the courts to weigh the desirability

of any action or choose among alternatives, but to assure that the agency itself has satisfied

SEQRA, procedurally and substantively.”97 The issue was therefore whether the City “identified

the relevant areas of environmental concern, took a hard look at them, and made a reasoned

elaboration on the basis of their determination.”98 The Court determined that the negative

declaration was inappropriate, and that an EIS should have been completed because the potential

91
Id. at 901.
92
Id. at 902-03.
93
68 N.Y.2d 359 (1986).
94
Id. at 363.
95
Id. at 362 (issuing a negative declaration ultimately meant that no EIS (environmental impact statement) was prepared).
96
Id. at 363.
97
Id. (quoting Matter of Jackson v. New York State Urban Dev. Corp., 67 N.Y.2d 400, 436 (1986)).
98
Id.

14
Alexander J. Nicas

accelerated displacement of local residents and businesses required consideration under CEQR.99

Omission of these effects did not comply with the statutory mandate of CEQR and such omission

was deemed to be arbitrary and capricious.100 The final case relating to the Special Manhattan

Bridge District was Asian Americans for Equality v. Koch101, decided in 1988. Choosing to

bring a class action lawsuit instead of an Article 78 proceeding, Plaintiffs contended that the

Special District was unconstitutional because it was not comprehensive in outlook, and the study

on which it was based was not part of well-considered plan.102 Even though plaintiffs’ cause of

action failed at the pleading stage, the Court went to great lengths to outline the contours of the

law.103 The Court first stated that the function of land use regulation is to implement a plan for

future development, and a well-considered plan not only protects individuals from arbitrary use

of their land but also insures that local authorities act for the benefit of the community as a

whole.104 But, a well-considered plan need not be a single or tangible document, and legislation

is only tested as to whether it “accords with a well-considered plan,” not whether it “defines

[one].”105 Following the “accords with106” language, the Court stated that a zoning amendment

that has been studied, prepared and considered, meets the general requirement for a well-

considered plan and if the statutory requirements are also satisfied, a court will not pass on its

wisdom.107 The Court ultimately debunked the allegation that the development of housing or

rehabilitation of existing housing in Chinatown was inconsistent with the City’s general planning

99
Id. at 367.
100
Id. at 368.
101
72 N.Y.2d 121 (1988).
102
Id. at 130. Plaintiffs also alleged a second cause of action: a mandatory injunction compelling the City to create a zoning plan
for the District which provides for an mandates a realistic opportunity for the construction of low income housing. Id. at 126.
103
Id. at 130. Contrary to the Court of Appeals decision in Lai Chun Chan Jun, the Court in Asian Americans was extremely
thorough in detailing zoning law and justifications. For this reason, it is one of the most heavily cited cases in this area.
104
Id. at 131.
105
Id.
106
The Court parsed the text of G.C.L. §20(25) to caption this phrase.
107
Id. at 132.

15
Alexander J. Nicas

goals, and inasmuch as the amendment was enacted after study and consideration, it met the

requirements for a well-considered plan.108

The trilogy of cases relating to the Special Manhattan Bridge District brought clarity to a

couple issues. First, the Chinese Staff I case illustrated how potential social and economic

impacts of rezoning must be taken into consideration when performing a CEQR analysis.

Second, the Asian Americans case illustrated how deferential a court is when determining

whether a proposed rezoning initiative is in accord with a well-considered plan.

B. Akpan refines & Save the Audubon proves interesting

In April of 1990, the New York Court of Appeals decided Akpan v. Koch109. Plaintiffs

argued that the Board of Estimate (BOE) failed to take a “sufficiently hard” look at the

environmental impact of the Atlantic Terminal Project, an urban renewal project initiated by the

City of New York.110 For the project, the DCP and DEP111 were designated “co-lead”

agencies.112 While preparing the draft EIS, the issue of secondary displacement was raised in a

scoping hearing, and the final draft contained demographic data demonstrating a gentrification

trend already taking place.113 In response to concerns raised during the public hearing and

comment period, the DCP ordered additional studies to be done on the issue.114 Based on the

work of outside consultants, the DCP and DEP issued a final EIS stating that the project would

108
Id. In regards to the second cause of action, referenced in note 102, the Court held that it would not effectively rewrite the
zoning ordinance because the City was not compelled to facilitate the development of housing affordable to lower-income
households. Id. at 136.
109
75 N.Y.2d 561 (1990).
110
Id. at 565-66.
111
Department of Environmental Protection.
112
Akpan, 75 N.Y.2d at 567.
113
Id.
114
Id. at 567-68 (detailing how outside consultants reviewed dwelling unit data including rent stabilization statistics, and owner-
occupied and one or two family home rates, finally concluding that the Atlantic Terminal Project would not have a significant
impact on the secondary displacement already in progress there).

16
Alexander J. Nicas

not have a significant impact on secondary displacement.115 The Court in Akpan helped define

what a “hard look” means, and whether the co-lead agencies actually took one. The Court first

stated that the inquiry is not a de novo review of the data, but that it must be guided by a rule of

reason, and refrain from substituting its judgment for that of the agency.116 The narrow review

doesn’t absolve the agency from conducting an investigation and reasonably exercising its

discretion “so as to make a reasoned elaboration as to the effect of the proposed action on a

particular environmental concern.”117 The Court further stated it must “ensure that, in light of

the circumstances of a particular case, the agency has given due consideration to pertinent

environmental factors.”118 The Court reasoned that because the issue of secondary displacement

was raised at every level of planning, the BOE’s acceptance of the analysis was not irrational,

nor should it be subject to substituted judgment as to the accuracy of the data.119 Consequently,

the Court held that the agency’s action could not be characterized as arbitrary and capricious or

an abuse of discretion.120

In an interesting case decided by the First Department Appellate Division in 1992, Save

the Audubon Coalition v. City of New York121, the City’s environmental review related to the

development of a commercial laboratory building and project in the West 160’s.122 On the

development site sat the Audubon Theater and Ballroom123, a city-owned building largely vacant

115
Id. at 568 (noting how the final EIS included a “Response to Comments” chapter addressing the issue of secondary
displacement, and how the project would not be reversing or modifying land use trends nor would it be responsible for triggering
significant secondary displacement).
116
Id. at 571.
117
Id.
118
Id. (allowing for any determination to be made on a case-by-case basis).
119
Id. at 573 (stating further that the appropriate inquiry is not whether the project will have any impact, but whether the project
will have a significant impact on secondary displacement).
120
Id. at 574.
121
180 A.D.2d 348 (1st Dep’t 1992).
122
Id. at 349.
123
Id. (describing how the building is an example of the architecturally significant early 20th century neoclassical revival style,
and how it is also historically significant as the location of the assassination of Malcolm X in 1965).

17
Alexander J. Nicas

and in a state of disrepair.124 Petitioners focused their challenge on health and safety issues of

the lab, with a main emphasis on the use and potential release of hazardous chemicals,

radioactive materials and biohazardous chemicals.125 Turning to the 600-page final EIS, the

court pointed out places where the risks were identified and analyzed.126 Furthermore, the court

heard testimony from two expert witnesses who bolstered the final EIS determination.127 The

court ultimately held that petitioners failed to prove that the site-specific changes were not

rationally based, constituted an abuse of discretion or resulted from an error of law.128

Akpan and Save the Audobon help to illustrate the ends of the EIS spectrum. It was

sufficient, in the case of Akpan, for the agencies to rely on outside consultants’ analysis of the

displacement issue. As long as the issue was raised and addressed at every step in the planning

process, regardless of whether the final decision was meritorious, a court should defer to the

governmental agency. Save the Audobon, and the city’s 600-page EIS exemplifies how much

planning actually goes into some decisions. The point is, this 600-page EIS was prepared for a

four block rezoning – minute by today’s standard. It was only the early 1990’s, but the DCP’s

sophistication was beginning to show itself.

C. 4 Recent Major Rezoning Initiatives: (1) Greenpoint & Williamsburg; (2) Far

Rockaway; (3) East Village: (4) Sunset Park

Nash Metalware Co., Inc., v. Council of the City of New York129, was an unreported

Supreme Court decision ruling on the 2005 rezoning of Greenpoint & Williamsburg.130 In total,

124
Id.
125
Id. at 355.
126
Id at 355-57 (detailing the issues identified and analyzed: (1) hazardous chemicals used at the facility would be solvents but
the facilities would be equipped with fume hoods; (2) any biohazards used would be of the same Biosafety level as being used in
research at nearby Columbia Presbyterian Medical Center, and furthermore the staff would be specially trained).
127
Id. at 357.
128
Id. at 358. The Appellate Division decision fully affirmed the Supreme Court decision of Judge C. Beauchamp Ciparick, a
graduate of St. John’s Law School now sitting on the New York Court of Appeals.
129
14 Misc.3d 12311(A), No. 400331/06, 2006 WL 384906 (Sup. Ct. N.Y. County 2006).

18
Alexander J. Nicas

the massive rezoning project related to about 184 blocks, most of which had been zoned

manufacturing for many years.131 Recognizing the shift from manufacturing to housing, the City

reviewed and studied the area for over fifteen years.132 Petitioners challenged the 2005 City

Council Resolution authorizing the rezoning on procedural grounds, alleging that the Council

failed to make environmental findings as required by SEQRA.133 The City countered with

multiple arguments: practicality134, time constraints135, and omission by scrivener’s error136. The

court ultimately rejected all of the City’s arguments, and found that the 2005 Resolution was

ineffective to enact the zoning change.137 For Petitioners, their small victory was short-lived.

Recognizing the deficiencies inherent in the 2005 Resolution, the City Council passed a new

Resolution in 2006, correcting their mistakes.138 The court upheld the 2006 Resolution stating

that it was “effective to insulate the zoning changes against Petitioner’ procedural challenged

under SEQRA.”139

The value of Nash is not found in its holding. Returning to the City’s assertion that

certain environmental findings were omitted by “scrivener’s error,” the court found multiple

instances where procedural errors in the SEQRA process were excused.140 The court stated that

130
Id. at *1. In my opinion, it is quite a shame that this decision went unreported. Not only did Judge Lewis Bart Stone review a
handful of cases where procedural defects in the SEQRA process were deemed excusable errors, he outlined the law relating to
SEQRA/EIS/”hard look” in excruciating detail, all while managing to quote former German Chancellor Otto Von Bismark (“laws
like sausages are best not observed in their making”), and compare the “hard look” to the Moh’s Scale of mineral hardness.
131
Id. at *3.
132
Id.
133
Id. at *6 (noting that specifically, the City Council as an involved agency was bound by SEQRA and therefore had to make
the requisite environmental findings as part of their ruling to adopt the zoning amendments).
134
Id. at *7 (asserting that the changes were subject to extensive survey already, and the Council was fully aware of the findings,
and actually balanced the interests as necessary prior to adoption of the 2005 Resolution).
135
Id. (contending that if the 2005 Resolution was found to not be effective, the entire rezoning process would have to be
restarted from square one).
136
Id. at *8 (stating that petitioner’s assertion of defect was merely procedural, and that although noncompliant with the explicit
requirements of SEQRA, the error could be excusable).
137
Id. (reaching this conclusion on two grounds: (1) the procedural defect was not excusable error when compared to other cases
where the governmental action was approved notwithstanding technical non-compliance with SEQRA; (2) the practical
construction of SEQRA in years of unbroken precedent for substantially similar situations).
138
Id. at *12 (stating that the 2006 Resolution made it clear that the Council wished, in every way, to assure that the zoning
amendment would be valid).
139
Id.
140
Id. at 8

19
Alexander J. Nicas

“[a]lthough the Article 78 standard of review of the procedural requirements of an administrative

proceeding directs the Court to consider whether procedural requirements have been met, the

Appellate Divisions have regularly applied a less than literal standard in the SEQRA context.”141

The Second Department once held that even though a village didn’t prepare an EAF or draft EIS,

but instead issued a negative declaration and prepared an EIS, the purpose of SEQRA wasn’t

frustrated and thus the defect was excused.142 The First Department has held that even though a

notice of completion, expressly required by CEQR, was not issued, this defect was overlooked

because the information was timely disseminated in another manner.143 These, an additional

cases cited in Nash, show that deviation from express statutory requirements are tolerated, so

long as the reasons for non-compliance leave the core principals of SEQRA unsullied.

Considering how an Article 78 proceeding already presumes propriety on behalf of the

governmental agency, “excusable error” tilts the scales even farther.

In 2009, the Supreme Court ruled on the proposed rezoning of Far Rockaway in Collier

Realty LLC v. Bloomberg144. Zoning in Far Rockaway had been largely unchanged since the

1961 Resolution, and the plan, covering approximately 280 blocks, sought to bring future

development more in line with the reality on the ground.145 Residents of the area originally

pushed for the change, expressing concern that any future development could change the

essential character of the neighborhood if the 1961 Resolution was left in place.146 In response,

the DCP studied the area for two years, discussing potential amendments with numerous civic

141
Id.
142
Rusciano & Son Corp. v. Kiernan, 300 A.D.2d 590 (2nd Dep’t 2002)
143
Save the Audobon v. City of New York, 180 A.D.2d 348 (1st Dep’t 1992)
144
24 Misc.3d 1071 (Sup. Ct. N.Y. County 2009)
145
Id. at 1072 (stating that the 1961 Resolution encouraged construction of high-rise buildings and high density developments
near the oceanfront, but the neighborhood was dominated by low-rise, low-density housing).
146
Id. at 1072-73 (noting that residents also pushed for any rezoning to permit limited commercial establishments within
residential zones, and a relaxation of the Resolution’s restriction on the size of the footprint of houses in certain areas).

20
Alexander J. Nicas

groups, consultants, elected officials and developers.147 Once the application for rezoning was

filed, the DCP issued a draft EAS and negative declaration.148 Public review ensued, and after

prolonged dialogue with the local community board and residents, a revised EAS with resident-

initiated modifications was finalized.149 Petitioners, five real estate development companies who

collectively owned nine lots within the proposed rezoning area150, challenged the application’s

adequacy on procedural and substantive grounds.151 The court dismissed each of Petitioners

challenges, stating that the revised EAS considered the “short and long-term effects as well as

the primary and secondary effects” of all points of review, and that in reference to substance, “a

court is not free to substitute its judgment for that of the agency,” but instead must satisfy itself

that “in light of the circumstances … the agency has given due consideration to pertinent

environmental factors.”152 Although the rezoning was a Type I action – carrying a presumption

of significant adverse environmental impact, with a low threshold for a positive declaration153 –

the court’s scope of review in an Article 78 proceeding limited the analysis to whether the

“agency identified the relevant areas of environmental concern, took a hard look at them, and

made a reasoned elaboration of the basis for its determination.”154

The next challenge to a major rezoning initiative, Chinese Staff and Workers Ass’n v.

Bloomberg155 (“Chinese Staff II”), was also decided in 2009.156 The rezoning application in

147
Id. at 1073.
148
Id.
149
Id.
150
Id. at 1072.
151
Id. at 1075-77 (stating that petitioners argued: (1) that since the original EAS was a prepared, filed and approved on the same
day it was a sham; (2) the proposal was defective in that it lacked input from various agencies; (3) the negative declaration was
unwarranted given the presumption that a Type 1 action may have substantially adverse affects on the environment, and; (4)
substantively, the content of the EAS is substandard, and DCP failed to take a “hard look” at all relevant factors).
152
Id. at 1077-78 (stating that the negative declaration was supported by consideration, consistent with standard methodology of
a “reasonable worst-case scenario” in a “no-action” determination, and that the mitigation of environmental issues were taken
into consideration after a “hard look”).
153
Id. at 1075.
154
Id. at 1076 (quoting Fisher v. Giuliani, 280 A.D.2d 13, 19 (1st Dep’t 2001)).
155
26 Misc.3d 979 (Sup. Ct. N.Y. County 2009).
156
Id. at 979.

21
Alexander J. Nicas

Chinese Staff II involved a 110-block area encompassing the East Village and the northern

portion of the Lower East Side.157 Petitioners – entities, organizations, and individuals who lived

and worked in the rezoning area – claimed that the rezoning “accelerates and concentrates luxury

development in low-income communities of color,” and that the final EIS prepared by the DCP

failed to consider the disproportionate impact of the rezoning, the indirect displacement of low-

income people of color, the displacement of businesses, and the availability of affordable

housing.158 The arguments advanced by petitioners in Chinese Staff II were very sophisticated,

and supported by a Hunter College study which heavily criticized the final EIS for failing to

analyze all areas of concern, specifically the disparate socioeconomic effects of the rezoning.159

Petitioners explicitly argued: “concentrated upzoning, i.e. the expansion of FAR in specific

areas, would increase luxury development opportunities in areas where 60 to 90 percent of the

population are people of color, and are more vulnerable to displacement.”160 The court

countered by stating that the City’s assessment of socioeconomic impacts followed the two-step

approach set forth in the CEQR manual.161 By following the two-step approach,162 and

calculating affordable housing unit figures in-line with methodologies in the CEQR Technical

Manuel, the court determined that petitioners’ argument was based on “the conclusions reached

by DCP, and not on valid evidence which would warrant invalidation of respondents’ reasoned

157
Id. at 980 (outlining the rezoned area as Third Avenue to the west, Avenue D to the east, East 13th Street to the North, and
Grand Street to the South).
158
Id. at 981.
159
Id. at 987. The Hunter College Study, authored by Dr. Tom Angotti (Professor of Urban Affairs and Planning at Hunter
College, and Director of the Hunter College Center for Community Planning and Development) and Kate Ervin, is titled Analysis
of Draft Environmental Impact Statement, East Village/Lower East Side Rezoning. It was put out by the Hunter College Center
for Community Planning and Development in August 2008.
160
Id. at 984.
161
Id. at 987.
162
Id. at 988 (defining the approach as: (1) conducting “a preliminary assessment to learn about the effects of the proposed action
in relation to existing conditions and future trends, in order to rule out the possibility of significant adverse impacts,” and; (2)
conducting a detailed analysis if the assessment “reveals [that] the action’s effects could be significant in the context of existing
conditions and future trends).

22
Alexander J. Nicas

analysis”.163 Although the court sided with the City-respondents, it noted that petitioners

“advanced very valid concerns in its application and th[e] court is very sympathetic and aware of

the need for affordable housing in New York City, the concerns of overdevelopment and the

often economically driven shifting of demographics within neighborhoods.”164

In Chinese Staff and Workers’ Ass’n v. Burden165 (“Chinese Staff III”), an unreported

decision from 2010, petitioners challenged the rezoning of a 128-block area in Sunset Park,

Brooklyn.166 Area residents and community groups, concerned about out-of-context

development, sought DCP’s help in 2007 to ensure preservation of neighborhood character and

scale while “supporting local retail corridors and reinforcing existing uses.”167 Petitioners – the

same Chinese Staff and Workers’ Association as in previous suits, and multiple churches whose

congregations consisted of low-income Hispanic residents – brought suit, alleging that the

rezoning “will allow more opportunities for market-rate development, thereby increasing rental

prices and accelerating displacement of low-income tenants.”168 This argument is very similar to

petitioners’ argument in Chinese Staff II due to the fact that Dr. Tom Angotti (the author of the

Hunter College study referenced in Chinese Staff II) testified as petitioners’ expert witness. Dr.

Angotti expounded on petitioners’ attack of the negative declaration169, stating that it failed to

consider specific developable lots, ignored buildings with six or more residential units, failed to

adequately analyze the impact of commercial zoning changes in existing districts, and failed

163
Id. at 988-89.
164
Id. at 989.
165
27 Misc.3d 1219(A), No. 111575/09, 2010 WL 1852948 (Sup. Ct. N.Y. County 2010)
166
Id. at *1 (describing Sunset Park, Brooklyn to include one of the city’s Chinatowns and comprised of a majority Asian and
Hispanic working class residents).
167
Id.
168
Id. at *3.
169
Id. Petitioners’ alleged that in issuing the negative declaration, DCP’s action was arbitrary, capricious, and an abuse of
discretion because it (1) failed to take a hard look at developable lots, thus undercounting the projected net increase in residential
units; (2) failed to take a hard look at the likely impact of commercial zoning changes, and (3) ignored required CEQR technical
areas such as socioeconomic impacts and neighborhood character.

23
Alexander J. Nicas

analyze the proposed rezoning’s effects on neighborhood character.170 In the face of substantial

testimony and evidentiary support to the contrary, the court determined it would be

“impermissibly weighing the desirability of the proposed action, resolving disagreements among

experts, and substituting its judgment for that of the agency,” if it found the negative declaration

to be arbitrary and capricious.171 Coming to this determination, the court cited two Appellate

Division cases172 to support the proposition that “where the proposal is subject to input from the

community, and the agency takes the requisite hard look at the areas of concern, and rationally

articulates the basis for its action, the presumption [that a Type I action is likely to have a

significant adverse impact and may require an EIS] may be overcome.”173 This conclusion

creates additional headwind for plaintiffs, and as you will see in Part V, the threshold for

plaintiffs in an Article 78 action has moved beyond arbitrary and capricious, to almost

unwinnable.

V. Impact of Judicial Review – The Deck is Stacked, and Not for the People.

“If an agency identifies the relevant areas of concern, writes them up in moderate detail,

takes action consistent with the write-up, and follows the procedures reasonably closely, the

agency is highly likely to eventually win any SEQRA lawsuit brought against it.”174 The author

of this quote conducted a statistical study of nearly 2000 judicial opinions issued under SEQRA

between 1975-2000, and boiled his findings down to that one sentence.175

The early trilogy of Lai Chun, Chinese Staff I, and Asian Americans were a few of the

first Court of Appeals decisions focused on rezoning or special districts in the SEQRA era.

170
Id.
171
Id. at *8.
172
Matter of Friends of Port Chester Parks v. Logan, 305 A.D.2d 676 (2nd Dep’t 2003); Matter of Village of Tarrytown v.
Planning Board of Village of Sleepy Hollow, 292 A.D.2d 617 (2nd Dep’t 2002).
173
Chinese Staff and Workers’ Ass’n, 2010 WL 1852948 at *5.
174
Michael B. Gerrard, Judicial Review under SEQRA: A Statistical Study, 65 ALB. L. REV. 365, 379 (2001).
175
Id. at 365.

24
Alexander J. Nicas

Although early, the latter two decisions are still regularly cited today. Of particular importance,

Chinese Staff I showed the DCP and CPC that socioeconomic effects, and accelerated

displacement needed to be included in review. Even though Chinese Staff I was decided for

plaintiffs, the agencies quickly learned from their mistakes. Akpan, decided in the face of

voluminous expert reports detailing why the EIS analysis was deeply flawed, signaled that it was

not the courts job to second-guess the agencies judgment, but rather to defer to it when the

agency studied the issue and reached a reasoned conclusion.176 Akpan set plaintiff’s bar

extremely high, and is a major reason why plaintiffs seldom win cases in which an EIS has been

prepared.177 Turning to the last three cases highlighted – Collier Realty LLC, Chinese Staff II,

Chinese Staff III – a positive declaration and final EIS was only filed in Chinese Staff II. This

was likely the result of intense negotiation between community members and the DCP at the

beginning of the three-year period preceding the rezoning.178 In the other two cases, Collier

Realty LLC and Chinese Staff III, the DCP’s negative declaration was challenged even though

both actions were classified as Type I. Ultimately, all three cases were dismissed because the

agency was deemed to have taken a “hard look,” but was something else forcing the judiciary’s

hand?

In 1997, the Court of Appeals decided Merson v. McNally179, an Article 78 challenge of a

town board’s issuance of a negative declaration in a soil mining and reclamation project.180 In

Merson, the Court prescribed a “twofold inquiry to examine whether a negative declaration has

been impermissibly conditioned: (1) whether the project, as initially proposed, might result in the

identification of one or more significant adverse environmental effects; and (2) whether the

176
Id. at 369.
177
Id.
178
Chinese Staff and Workers Ass’n, 26 Misc.3d at n. 15.
179
90 N.Y.2d 742 (1997).
180
Id. at 742.

25
Alexander J. Nicas

proposed mitigating measures incorporated into the EAF were identified and required by the lead

agency as a condition precedent to the issuance of a negative declaration.”181 The Court was

clear to point out that the inclusion of mitigating measures did not obviate the need for an EIS

unless the measures “clearly negate[d] the continued potentiality of the adverse [environmental]

effects.”182 But, almost contradicting itself, the court ultimately stated that the modifications in

question were identified by the public, examined openly and deliberatively, and comported with

the overriding purposes with SEQRA; therefore, they “combine[d] to support the conclusion that

the negative declaration … was not improperly conditioned.”183

In all three cases – Collier Realty LLC, Chinese Staff II, Chinese Staff III – there was

significant community input prior to a final determination. Although none of the opinions cited

Merson, community input and the resulting modifications, likely aided the determination that the

agency had taken the requisite hard look.

It is well settled that courts “may not substitute their judgment for that of the agency.”184

As long as the agency discusses potential adverse environmental effects with community

members before making a reasoned conclusion, Merson leads one to believe that the agency’s

decision will be insulated from review. The Merson threshold, coupled with the examples of

“excusable error” outlined in Nash show that the deck is stacked, and not for the people.

VI. The People’s Voice Must Be Heard – Why Strengthening New York City’s Community

Boards Role in Planning Would Be a Good Start.

As the cases indicate, even getting the lead agency in a city-initiated project to draft an

EIS often proves difficult. Without this guarantee, the general public doesn’t participate in the

181
Id. at 752-53.
182
Id. at 754.
183
Id. at 754-56. (noting that what is dispositive is the character and source of the identified modifications, and comparing this to
the type of adverse environmental effects it seeks to lessen or negate).
184
Akpan, 75 N.Y.2d at 570.

26
Alexander J. Nicas

scoping process185, nor is afforded the minimum 30-day review period of a draft EIS186, or a

public hearing as mandated by CEQR187. The general public is therefore only able to rely on the

local community board to be its voice. Even though sole reliance on the community board is

unpalatable, strengthening the role of community boards may be the only option.

New York City’s fifty-nine community boards were created in 1975, and marked a return

to neighborhood-based politics.188 As part of the ULURP process created in the same year,

community boards are given the opportunity to review and make recommendations before any

City Council vote on an application.189 Unfortunately, the community board’s recommendation

is non-binding, and critics suggest that it simply insulates City Hall from neighborhood

concerns.190 Apart from the review and recommendation process, the community board can

effectively advocate for neighborhood change if it is properly organized. In the early 2000’s,

after the Unified Bulk Program failed, the East Harlem community board worked with a local

planning and urban development group to identify zoning and land use regulations that would

better fit the existing conditions in the neighborhood.191 After proposing a plan to the DCP, the

agency debated the scale of the zoning amendment and finally settled on rezoning a fifty-seven-

block area.192 This was less than the community board had pushed for, but was nevertheless a

victory for the neighborhood.193

185
N.Y.C.R.R. tit. 6, ch. VI, §617.2(af) (2010) (“scoping” means the process by which the lead agency identifies the potentially
significant adverse impacts related to the proposed action that are to be included in the draft EIS, but it also provides an
opportunity for early participation by the public in review of the proposal).
186
New York, R.C.N.Y., tit. 43, ch.6, §6-10(a)(iv) (2009).
187
Id. §6-10(c)(3).
188
Richard Bass & Cuz Potter, A Tale of Three Northern Manhattan Communities: Case Studies of Political Empowerment in the
Planning Process, 31 Fordham Urb. L.J. 285, 286 (January 2004)
189
Supra, note 47.
190
Bass, supra note 188, at 290 (stating in contrary that borough presidents appear to be responsive to decisions made by their
appointees, and that the CPC sometimes takes the recommendations into consideration).
191
Id. at 299-300 (explaining that the plan would move to protect the neighborhoods’ character and scale).
192
Id. at 300.
193
Id. at 303.

27
Alexander J. Nicas

Two ways a community board could strengthen its voice in planning decisions would be

through the use of community benefits agreements (CBA), or by reforming §197-a of the New

York City Charter. A CBA is a contract between a developer and community organization,

whereby the developer secures the organizations support by making specific promises or

commitments.194 For example, the developer may commit to a percentage of affordable housing

units or using local residents as labor for the cooperation of the community board in the ULURP

process.195 But, the community organization doesn’t need to be the official community board;

sometimes a developer may sign a CBA with different organizations to garner public support for

a project.196 The contractual freedom of a CBA will persistently lend itself to the questions of

whether the parties to a CBA really represent the community, or whether the commitments

extracted really equal support for the project.197 Nevertheless, these concerns should not

eliminate the CBA as a component of the community’s toolkit. The second way the community

could strengthen its role would be to reform §197-a. Section 197-a of the New York City

Charter allows a borough president, borough board, or community board to propose a plan of

development or improvement.198 While this hypothetically gives community members some

control over the planning process, any plan submitted is provisional and subject to approval by

the CPC.199 A report by Manhattan Borough President Scott Stringer, published in April 2010,

laid out multiple recommendations aimed at strengthening community boards including: the

194
Vicki Been, Community Benefits Agreeements: A New local Government Tool or Another Variation on the Exactions Theme?,
Working Paper, Furman Center for Real Estate & Urban Policy, April 2010,
http://furmancenter.org/files/publications/Community_Benefits_Agreements_Working_Paper.pdf .
195
Id. at 2.
196
Id. at 11-12 (describing the Atlantic Yards CBA, signed by Forest City Ratner as developer and various community groups –
New York Chapter of Association of Community Organizations for Reform Now, Brookyln United for Innovative Local
Development, and the Downtown Brooklyn Advisory and Oversight Committee).
197
Id. at 12 (describing how many groups negotiating CBAs have taken care to involve the community, and insure an inclusive
bargaining process, but admitting that there is no mechanism for ensuring that those who claim to speak for the community
actually do, or no guaranteed forum through which the community can express its views about the substance of the agreement).
198
New York, N.Y., CHARTER §197-a(a) (allowing the mayor, CPC or DCP to also propose plans of development, growth, and
improvement of the city).
199
Id. §197-a(b) (stating that upon receipt of a plan by a community board, borough board, or borough president, the CPC shall,
within a reasonable time period, determine whether the plan satisfies their standards).

28
Alexander J. Nicas

mandatory appointment of a full-time qualified urban planner to each board, with the necessary

budget appropriation to fund the position; and requiring the CPC to overturn a borough

president’s “no” vote on a rezoning plan with a supermajority of members instead of a

majority.200 Although the Charter Revision Committee took a pass at reforming §197-a this year,

the fact that it is on political radar is an admission that something needs to be done.201

VII. Has the Administration’s Site-Specific Rezoning Plan Actually Been Effective?

Rezoning is often referred to as a value recapture device – a device that unlocks value

lying dormant based on current zoning regulations.202 This is not the only objective; rezoning

can also shift growth to underutilized areas, or areas better equipped to handle an increase in

population.203 The Housing section in PlaNYC identifies both of these objectives as goals for

development.204 In the absence of a true comprehensive plan, we are left to test the

Administration’s success against these vague benchmarks.

The backbone of PlaNYC 2030 is that New York City will become home to over nine

million people by 2030.205 To accommodate the influx of additional residents, new housing

capacity is necessary. Looking at the Administration’s rezonings from 2002-2009206, one study

indicates that allowable density within rezoned areas increased by 4.9%.207 A second study, with

200
See Recommendations to the New York City Charter Revision Commission, Ensuring Meaningful Community-Based
Planning and Community Governance: The Future of Community Boards and the New York City Charter, Office of Manhattan
Borough President Scott Stringer, April 19, 2010, http://www.mbpo.org/release_details.asp?id=1578.
201
Kazis, supra note 16.
202
See Marcus, supra note 21, at 717; see also Watanabe, supra note 31, at 75 (defining value-recapture as using zoning to
extract public benefits from real estate developers in exchange for incentives like density bonuses).
203
See PlaNYC, supra note 3, at 21 (identifying “transit-oriented development” as a central initiative to the City’s rezoning
strategy).
204
Id. at 14 (stating that “[w]ith competing needs and limited land, we must unlock unrealized housing capacity, complete
unfinished parks, and direct growth toward transit centers. By being smarter about our land-use strategies, we can realize the
promise of an expanding population, while avoiding the pitfalls of unplanned and unbalanced growth”).
205
Id. at 3.
206
See Watanabe, supra note 31, at 36. There are rezonings excluded from the list, but the calculation began with the first 100
rezonings on the DCP website. Id. at 37.
207
Id. at 48.

29
Alexander J. Nicas

a narrower focus208, stated that residential development capacity was increased by about 1.7%.209

On the whole, these two studies indicate that residential capacity has increased, at least to some

degree. Digging deeper, the data is quite interesting:

Upzoned (net increase in allowable density)210

In 25 city-initiated rezonings where there was no evidence of community participation,


average change in density increased by approximately 29%.211

Upzoned lots tended to be in locations with a higher proportion of non-white residents, and
in areas with significantly lower income than the City median.212

Downzoned (net decrease in allowable density)213

In 68 city-initiated rezonings where there was community participation, average change in


density decreased by approximately 5%.214

Downzoned lots were more likely to be located in areas with a higher share of white
residents, and in areas of lower than median income but more affluent than upzoned
areas.215

Pinpointing exactly why there are ethnic and socioeconomic differences is extremely

difficult, but the findings do show a correlation between upzoning and no community

involvement. Although upzoning is generally thought of as pro-development (new housing,

208
See Armstrong, supra note 10, at 3 (stating that researchers looked at the impact of 76 rezonings that took place between
2003-2007, and calculated that 188,000 lots, already zoned to permit residential development, were affected by the City-initiated
rezonings).
209
Id. at 8. A change in residential development capacity is calculated by comparing: (a specific lot’s maximum FAR x
maximum buildable area) in both 2003 and 2007. Id. at 4.
210
Each conclusion under the heading is technically independent from the other. In other words, each conclusion is drawn on a
different data set, but because the data sets analyze approximately the same information, I believe it is fair to look at the
conclusions in tandem.
211
See, Watanabe, supra note 10, at 55. The 5 rezonings that accounted for the largest absolute increases in density were
Jamaica, Hudson Yards, Geenpoint/Williamsburg, Downtown Brooklyn, and Bedford-Stuyvesant South. Id. at 54.
212
See Armstrong, supra note 10, at 9-10.
213
Each conclusion under the heading is technically independent from the other. In other words, each conclusion is drawn on a
different data set, but because the data sets analyze approximately the same information, I believe it is fair to look at the
conclusions in tandem.
214
See Watanabe, supra note 31, at 55. The 5 rezonings that accounted for the largest absolute decrease in density were Bay
Ridge, Bensonhurst, Dutch Kills, Middle Village and North Corona. Id. at 54.
215
Id. at 10.

30
Alexander J. Nicas

businesses, jobs and, retail services), the negative effects (traffic, congestion, and decreased

affordability – gentrification) usually outweigh the positives for neighborhood residents.216

A second guidepost of PlaNYC is transit-oriented development.217 Transit-oriented

development focuses on creating new residential capacity “within a half-mile of mass transit.”218

On the whole, it appears that the city has been able increase density in areas adjacent to rail

transit.219 Specifically, 73% of all upzoned residential lots between 2003-2007 were within a

half-mile walk of a major transportation hub.220 Although downzoned lots were also within a

half-mile of transit 59% of the time, the residential capacity added in upzonings greatly exceeded

what the downzonings took away.221

When you look at this metric from a borough perspective, the shifting of density from

neighborhood to neighborhood is interesting. In Brooklyn, densities have been lowered in the

southern neighborhoods: Bay Ridge, Bensonhurst, and Canarsie, and increased in neighborhoods

closer to Mahattan: Downtown Brooklyn, the Greenpoint/Williamsburg waterfront, and Bedford-

Stuyvesant.222 Queens is somewhat different. In Queens, density has been skimmed off the

entire borough and deposited in the Jamaica and Kew Gardens/Richmond Hill areas.223 Not

coincidentally, these areas provide excellent access to Manhattan, North Brooklyn, JFK Airport

and Long Island.224

216
See Armstrong, supra note 10, at 7 (stating that downzoning is seen as preservation, only allowing development at a scale that
preserves the existing character of the neighborhood).
217
Supra note 3, at 21.
218
Id. at 19. (indicating that all of the PlaNYC policies, taken together, could accommodate 900,000 additional New Yorkers
while creating 95% of the new capacity within a half-mile of mass transit).
219
See Watanabe, supra note 31, at 58 (noting that in areas within one half-mile of transit, approximately 7% of new density was
added, while 17.1% was shifted from one area (less able to handle an increase in density – downzone) to another (more able to
handle an increase – upzone)).
220
See Armstrong, supra note 10, at 11 (defining major transportation hub as New York City Transit Subway, Staten Island
Railway, Metro North or Long Island Rail Road).
221
Id.
222
Watanabe, supra note 10, at 62.
223
Id.
224
Id.

31
Alexander J. Nicas

It is fair to say that the Bloomberg Administration has been effective at implementing its

duals goals: (1) creating or unlocking unrealized housing capacity, and (2) funneling growth

towards transit centers. It is also fair to say that the latter goal is a smart use of existing

resources. The transit system in-and-around New York City is vital to sustainable growth.

Expanding residential capacity around its outlets is solid policy. Any comprehensive plan should

consider this variable a crucial component to success.

VIII. Reforms to the Current System

Reform is necessary because long-run success requires all stakeholders to have a say in

the process. The DCP and CPC have done a valiant job at anticipating and preparing for New

York City’s future needs, but comprehensive urban planning requires meaningful community

involvement, private support, and communication between city agencies.

A. Create a Comprehensive Plan

A comprehensive plan is basically a road map. It provides a framework that guides all

future development decisions. New York City doesn’t have a comprehensive plan225, and has

been left to make piecemeal decisions on how best to accommodate growth. Without a plan,

different City agencies cannot coordinate their activities.226 For example, a neighborhood

upzoned for additional residential capacity may lack the necessary transit or public services that

help facilitate growth. A comprehensive plan would minimize these situations, and make

planning more efficient. The lack of a comprehensive plan also reduces the community’s ability

to plan for it’s own growth. Without a framework, neighborhoods have no way to know if they

are heading in the right direction, or if their plan will be well received.

225
Kazis, supra note 16.
226
See generally Recommendations to the New York City Charter Revision Commission, Shaping the City’s Growth: Improving
the City’s Ability to Perform Land Use Responsibilities and Planning in the New York City Charter, Office of the Manhattan
Borough President Scott M. Stringer, April 19, 2010, http://www.mbpo.org/release_details.asp?id=1578 [hereinafter Shaping
Growth].

32
Alexander J. Nicas

Critics argue that creating a comprehensive plan would be “too complicated and too

inflexible for New York.”227 It is also uncertain who would draft the document, or how it would

be reviewed or adopted. Recently, Manhattan Borough President Scott Stringer recommended

that a new entity – the “Independent Planning Office” – be created to focus on drafting a

comprehensive plan.228 Stringer also recommended that any plan be ratified through a public

review process – similar to ULURP – to ensure that it truly represents New York City’s interests

before being formally adopted as policy.229 Creating and adopting a comprehensive plan would

be a monumental feat requiring incredible political fortitude. But, vision is necessary, and a

comprehensive plan is an essential component to sound future growth.

B. Revising the New York City Charter (“Charter”)

The Charter is New York City’s constitution. It governs city agencies, designates

responsibilities, and controls processes such as §197-a plans discussed earlier. In March 2010,

Mayor Bloomberg appointed a Charter Revision Commission to review the Charter, and propose

possible improvements. 230 Although the Commission ultimately decided not to propose

revisions to the land use process, a few things were considered.231 First, the Commission looked

at ULURP, and whether community boards and borough presidents needed a stronger role in the

227
Kazis, supra note 16 (quoting Adam Friedman, Executive Director of the Pratt Center, who has suggested putting together a
matrix of land-use goals, such as the total number of affordable housing units the city needs, against which zoning can be
measured).
228
See Shaping Growth, supra note 226 (stating that the primary function would be to generate a citywide comprehensive plan
based on agency needs, citywide development goals, mayoral policies, borough presidents Strategic Policy Statements, and
community boards §197-a Plans).
229
Id.
230
See, Press Release, Mayor Bloomberg Announces Appointment of Charter Revision Commission, Office of the Mayor, March
3, 2010,
http://www.nyc.gov/portal/site/nycgov/menuitem.c0935b9a57bb4ef3daf2f1c701c789a0/index.jsp?pageID=mayor_press_release
&catID=1194&doc_name=http%3A%2F%2Fwww.nyc.gov%2Fhtml%2Fom%2Fhtml%2F2010a%2Fpr096-
10.html&cc=unused1978&rc=1194&ndi=1
231
See Final Report, NYC Charter Revision Commission, August 23, 2010,
http://www.nyc.gov/html/charter/html/home/home.shtml (stating that the only two issues put before the voters were: #1 term
limits, and #2 various changes to elections and government administration).

33
Alexander J. Nicas

process.232 Next, the Commission looked at ways to encourage the creation and implementation

of §197-a plans.233 Finally, the Commission looked at the use of community benefit agreements

(CBAs), and whether they circumvented the current process, and therefore needed to be

regulated.234 Although the Commission failed to recommend any changes, it noted that there

was considerable pushback from the DCP/CPC over the community’s role in land-use planning.

What is apparent is that the Charter’s balance of power is skewed heavily towards the Mayor and

city agencies, and they are taking advantage of it. The IPO, as suggested by Borough President

Stringer, would lessen the Administration’s power by forcing development plans through an

additional layer of review. A second suggestion, developed by the Pratt Center for Community

Development, calls for structural changes to the CPC appointment process.235 Currently, the

Mayor appoints the head of DCP to also serve as head of the CPC.236 Additionally, the Mayor

appoints 6 other members to the CPC.237 In total, the Mayor appoints 7 out of 15 members who

sit on the CPC, and as the body only requires 7 members to “approve, modify, or disapprove an

application”, the Mayor’s majority can push through any application it wants.238 Essentially, the

CPC has become an instrument of City Hall. The Pratt Center posits that by limiting the

Mayor’s appointment power (at least so less than a majority are appointed by City Hall), the

232
Id. (explaining that the DCP vigorously disputes the claim that their voice is ignored, but that careful study of what has
actually occurred in the decision-making process is necessary to resolve the competing claims).
233
Id. (recommending that further study be done because there is considerable disagreement between the DCP/CPC and
community advocates over whether the present role of §197-a plans – i.e. planning guides or frameworks – gives the community
satisfactory voice over local land use decisions).
234
Id. (noting that the Commission mainly heard negative feedback about the agreements, specifically that they invite mischief
and lack accountability).
235
See Policy Brief, City Charter Revision: Where Land Use Fits In, Pratt Center for Community Development, March 2010,
http://prattcenter.net/city-charter-revision
236
See About Us, Department of City Planning, http://www.nyc.gov/html/dcp/html/about/plancom.shtml
237
Id.
238
See Land Use Review Procedure, Department of City Planning, http://www.nyc.gov/html/dcp/html/luproc/ulpro.shtml (stating
that if the Borough President has recommended against an application, then nine affirmative votes are required).

34
Alexander J. Nicas

CPC can again become an independent planning body instead of a rubber stamp for DCP-

initiated rezonings.239

C. Overhaul the 1961 Zoning Resolution

The DCP attempted and failed to overhaul the Resolution with the Unified Bulk Program

in 1999. As noted in Part II, passage of the Unified Bulk Program would have given developers

a clearer sense of what type of development (i.e. scale and size) is allowed in a specific

neighborhood. Bringing clarity to the Resolution would be pro-growth. It would allow small-

scale development while not detracting from any city-initiated rezoning agenda. Reforming the

Resolution could also minimize conflict between future goals and current requirements. For

example, the Resolution contains a requirement that new residential construction in most

neighborhoods be accompanied by a minimum number of off-street parking spaces.240 Although

initial research indicates that per-unit parking requirements are, on average, lower near transit

centers, there are still requirements for new development which leave open the question of

whether there is real contradiction between the Resolution and PlaNYC’s transit-oriented

development focus.241

Although it would still be difficult, simplifying the Resolution from a contextual

standpoint would be the least political of the reforms proposed. Most of the city-initiated

rezonings over the last ten years have focused on maintaining neighborhood character.

Developers are more aware of this focus than when the Unified Bulk Program was announced in

1999, and there is a clear understanding that it’s core philosophy is here to stay. Simplifying the

239
See Policy Brief, City Charter Revision: Where Land Use Fits In, Pratt Center for Community Development, March 2010,
http://prattcenter.net/city-charter-revision.
240
Simon McDonnell et al, A Continuing Role for Minimum Parking Requirements in a Dense Growing City? Evidence from
New York City., New York University Law and Economics Working Papers, 2, 2010, http://lsr.nellco.org/nyu lewp/214.
241
Id. at 19-20

35
Alexander J. Nicas

Resolution – the framework for development – would not run counter to the Administration’s

plan, it may actually make it easier.

IX. Conclusion

What began as a pro-growth agenda quickly become a revolutionary plan, and this plan –

the rezoning agenda pursued by the Bloomberg Administration since 2002 – has been a success.

What is apparent though, is how the communities voice is slowly being drowned out. For this

reason, reform is necessary. To ensure orderly development across mayoral administrations,

New York City must take a “hard look” at the land-use process and create a way for all

stakeholders have a seat at the table.

36

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