GPTA Quarantine Newsletter 2

Dear Gateway Neighbors,

As we enter month 2 of quarantine, GPTA wants you to know we are here to listen and to help if we can.  We hope you are safe and strong.  Here are a few things to be aware of….some we mentioned before so as a reminder and new information as well.  

  1. First and foremost, if you need assistance, please reach out to GPTA.  As we all know, “WE ARE ALL IN THIS TOGETHER”.  We have volunteers ready to help if you need it or if you know of someone who may need help.  It could be with groceries, walking a dog, prescription pick up, or even if you just want someone to talk to. 

There is much to be done and your membership is more important than ever as we continue our efforts to answer your questions and to provide information to our community by working with our elected officials and Gateway management.  During the quarantine, we are organizing volunteers to help our neighbors at risk.  We have also started a staff appreciation program  and your dues will help recognize the many staff members who work on our behalf every day.

  • To get the most recent information regarding rents and leases or other Gateway info, please continue to check our website.
  • FREE MEALS are available now at 55 Battery Place. For information and schedule, go to: NYC DOE Free Meals.
  •  We have heard from many of you about the difficulty in paying rent due to job loss during the COVID-19 crisis. Gateway Management has advised us that tenants in this situation should contact them directly.
  • We have been contacted by several tenants who have inquired as to where they can purchase the necessary face coverings or masks to be worn whenever we leave our apartments to go to the lobby, laundry room or outside. Please understand that wearing a mask protects you and saves others.  We are excited to report that we have a group of Gateway volunteers who have come together to make face coverings to give to tenants!  We call this wonderful group of volunteers, “THE MASK MAKERS”Email us IF YOU NEED A MASK OR KNOW SOMEONE WHO NEEDS A MASK. To make your own no-sew mask, see the video below for.
  • Here are 3 Ways to show SOLIDARITY AND GRATITUDE for health care professionals, volunteers, and all essential workers of our community INCLUDING OUR GATEWAY STAFF. 
  1. We received the information below on this wonderful effort from Gateway neighbors to say “Thank you” to the Staff.

‘We are running a fundraiser to donate to all Gateway Staff for showing up for us during this time. This covers all staff across all buildings (doormen, porters, maintenance, security, etc)”  Consider giving if you can.”

To donate, visit the Gift Cards for Gateway Staff gofundme page.
  •  “SHARE YOUR LIGHT” (#shareyourlight).  Each night until this passes, put a light in your window in Solidarity and Gratitude.  Any kind of light….Holiday lights, candles, lamps, battery operated.
  • CLAP FOR OUR HEROES– (#clapbecausewecare) 7:00 PM each night, at a window near you!  Along with the healthcare workers on the front lines, we cheer for all essential workers who are making sure we have what we need.  This includes our Gateway Staff.
  • If you are part of the Gateway Settlement Lawsuit, the deadline to file your claim form is  THIS WEEK, April 16th ,so send it as soon as you can if you have not already. To make it easy, you can email your filled-out forms to claims@gatewayplazasettlement.com or file your claim online at the Gateway Plaza Settlement website.

We invite all tenants to connect with us at the Gateway Plaza Tenants Association (GPTA) via social media: 

Facebook: Gateway Plaza Tenants Association
To post on our FB page:

  • Like our page (not simply a post or a picture on the page.)
  • Click on “Post”. The “Post” option appears on the same row and to the right of “Home” and “About”.

Twitter: @GPTA_BPC
Email: gatewayplazata@gmail.com

In the meantime, we wish you good health during this challenging time.

GPTA

Executive Committee: Rosalie, Robin, Jeff, Bruce, Karlene
Board Members: Audrey, Denise, Honey, Howard, Larry, Pat, Sarah, Steve

We Are All in This Together

Dear Gateway Neighbors,

All of us on the GPTA Board are thinking of our neighbors and hoping you are all safe and healthy.  We want to make you aware of a few important things.First and foremost, if you need assistance, please reach out to GPTA.  As we all know, “WE ARE ALL IN THIS TOGETHER”.  We have volunteers ready to help if you need it, or if you know of someone else who may need it.  It could be with groceries, walking a dog, prescription pick-up, or even if you just want someone to talk to. 

1.Please check our website for updates. We recently posted an update on rent payments. Please check it out at this link: Update on Gateway Rent Payment.

2. It is census time so please be sure to fill out your census forms. You can do it online. It’s quick and easy.  Here is the link: Welcome to the 2020 Census.

3. If you are part of the Gateway Settlement Lawsuit, the deadline to file your form is April 16, 2020, so mail submit it as soon as you can, if you have not already done so. In addition to using postal mail to the address on the form (we suggest using certified mail), you can also email your completed form to: claims@gatewayplazasettlement.com or you can submit your claim via the settlment website located here: Gateway Plaza Residents Litigation website.

4. Free Meals for anyone will be available at 55 Battery Place beginning April 3, 2020.  For information and schedule, go to the NYC DOE Free Meals website.

5. Here are 3 Ways to show Solidarity and Gratitude for or Gateway staff workers, health care professionals, volunteers, and all essential workers of our community. 

a. From Gateway Management:

It can be easy to feel isolated during these times. In effort to show support for each other, especially our Healthcare and Emergency Services residents, we invite all Gateway residents to participate in our new Wednesday Community Initiative.


At 6:00pm each Wednesday moving forward, we are asking those who are well to open their windows and wave and engage with each other from a safe distance. Wave at your neighbors, lend a smile to someone who needs it, and applaud the incredibly hard-working Front Line Professionals who are enduring their third 12-hour shift this week. Let’s celebrate ourselves and each other at 6:00pm!

b.   From GPTA:

Share Your Light” (#shareyourlight).  Each night until this passes, put a light in your window in Solidarity and Gratitude.  Any kind of light….Holiday lights, candles, lamps, battery operated.

c.      Citywide:

Clap For Our Heroes (#clapbecausewecare). Join the entire city in clapping for our healthcare professional and essential workers. 7:00pm every night, at a window near you!

7.     There is strength in community and, as in the past, Gateway is resilient.  We invite all tenants to connect with us at the Gateway Plaza Tenants Association (GPTA) via social media: 

Facebook: Gateway Plaza Tenants Association
To post on our FB page:

  • Like our page (not simply a post or a picture on the page.)
  • Click on “Post”. The “Post” option appears on the same row and to the right of “Home” and “About”.

Twitter: @GPTA_BPC
Email: gatewayplazata@gmail.com

In the meantime, we wish you good health during this challenging time.

GPTA

Executive Committee: Rosalie, Robin, Jeff, Bruce, Karlene
Board Members: Audrey, Denise, Honey, Howard, Larry, Pat, Sarah, Steve

Update on Gateway Rent Payment

Renters and COVID-19

Many of you have asked whether rent need still be paid during the COVID crisis.  Our understanding for now, appears to be “yes.” However, late fees cannot be imposed for non-payment or late payment and you cannot be evicted for non-payment at least until June 20, 2020.

The commercial and legal landscape for renters in NYC, including in Gateway, is changing almost daily.  The major federal COVID relief legislation that became law on Friday, March 27 (the CARES Act) provides some relief.  The CARES act prohibits the commencement of non-payment eviction proceedings for a period of 120 days and prohibits the imposition of late fees or penalties for non-payment during that same period.  These protections apply to tenants in buildings that have federally backed mortgages, which include mortgages that are insured by HUD. We have confirmed today (April 1) with Greg Tumminia (Gateway’s General Manager) that Gateway does indeed have a federally insured mortgage.  Greg went on to say:

The landlord will adhere to all applicable laws and regulations. We are responding to all resident inquiries as we still have some staff on-site daily (seven days per week). We also have phones forwarded to staff members that are working remotely.

General Operations Update will be released later today to all residents in a form of an e-mail.  We are well stocked with masks( N-95), gloves, other PPE equipment in addition to sanitizer and hospital grade disinfectants.   Our building staff is holding up okay.

Best to you and your families during these difficult times.

In addition to these federal protections, New York State has imposed a prohibition against evictions for any reason, at least until June 20, 2020.

Other Resources:

https://www.washingtonpost.com/business/2020/04/01/april-1st-rent-mortgage-payment-due-faq

https://blog.augrented.com/renting-during-the-novel-coronavirus-outbreak/

Social Distancing? Connecting with Us!

Dear Gateway Neighbors,

We know that this time is scary and difficult for all of us. This community, standing together, has shown it can meet and get through challenges. Though the circumstances have changed and the way we interact may change, our core belief in the strength of our community is unchanged.

The key is to be there for one another by reaching out to our neighbors who may need help.  We encourage people to check in with neighbors…by phone, email, WhatsApp, or text. As more and more of us are self-isolating, it is important that we stay in touch with one another in ways that are safe.

There is strength in community and, as in the past, Gateway is resilient.  We invite all tenants to connect with us at the Gateway Plaza Tenants Association (GPTA) via social media: 

Facebook: Gateway Plaza Tenants Association
To post on our FB page:

  1. Like our page (not simply a post or a picture on the page.)
  2. Click on “Post”. The “Post” option appears on the same row and to the right of “Home” and “About”.

Twitter: @GPTA_BPC
Email: gatewayplazata@gmail.com

In the meantime, we wish you good health during this challenging time.


Resources:
CDC Checklist for Individuals and Families
NY State Department of Health
NYC Department of Health
GPTA Local Resources

Additional Class Action Settlement Q&A

Following are additional questions that we received from tenants and answers from the class action settlement attorneys Norton and Safirstein:

14. The claim form includes a section after question 2 to identify which apartments (with space for up to 3 apartments) a tenant has lived in.  In context, it appears that this section is supposed to be completed only if the class member answers “yes” to question 2 (“Did you reside at Gateway Plaza for any period of time since April 1, 2008”), which question is only to be answered if the class member answers “no” to question 1 (“Do you currently reside at Gateway Plaza?”)  Does this mean that the apartment information after question 2 is only to be answered by former Gateway tenants, but not by current Gateway tenants?

Yes. Current tenants should not answer question 2.

15. It is not uncommon for Gateway tenants to move within the apartment complex over time.  Assuming the answer to question 14, above, is that only former tenants provide the apartment information in the space after question 2 on the claim form, how would a current tenant indicate his/her/their residency since 2008 in an apartment other than the tenant’s current apartment?  Should a current tenant who has lived in other apartments at Gateway since 2008 fill out a separate claim form for each apartment?

No. We have the information readily available for tenants regardless of the time they have been residents or the units occupied. The detail required by question 2 is merely for additional verification purposes for former tenants.

16. There are a number of Gateway tenants who have combined apartments, the most common combination being adjacent studio and 2-bedroom apartments, combined to create a 3-bedroom apartment.  These tenants have a separate lease for each apartment, which remains separately numbered/lettered, e.g., an A-line and B-line combined apartment.  Where a class member resides in more than one apartment, does the class member need to fill out a claim form for each apartment?  (Note that such tenants have paid separate rent for each apartment.)  Alternatively, should such a class member put both apartment numbers in the address section of the claim form?

Thank you for flagging this issue. We will identify all tenants this applies to and make sure the double lease/rent is accounted for. That said, if more than one lease applies to a combined unit, it would probably help with the administration process if those tenants indicated as much on a single claim form.

17. The settlement agreement defines “Class Member” as “all persons who . . . reside at Gateway Plaza . . .” as well as certain former residents.  Many residents of Gateway include dependents, roommates or family members of lease-signing tenants.  Such dependents, roommates or family members, although residents of Gateway, often have not themselves executed a lease.  Should such non-lease-signing residents also fill out a claim form?

No. Only tenants appearing on a lease should submit a claim form. There is only one amount calculated per unit based on the total rent. If roommates who appear on the lease each submit claim forms, the allocation will be split evenly among them.

Class Action Settlement Q&A

GPTA has received many questions from tenants regarding the recent tenants class action settlement. GPTA was not involved in that lawsuit, but we have followed developments in the lawsuit since it was filed. The best general source of information regarding the lawsuit can be found at:  https://www.gatewayplazasettlement.com, or by contacting the lawyers representing the tenants in the lawsuit, Jeffrey Norton (Newman Ferrara LLP) and Peter Safirstein (Safirstein Metcalf LLP).

GPTA has taken some of the questions that we received from tenants and submitted them to Messrs. Norton and Safirstein.  Here are the questions and the attorneys’ answers:

  1. Will the rent abatements be credited all at once for a particular claimant, or will they be credited in increments over multiple rental periods?

    a. If someone’s rent abatement amount exceeds that person’s monthly rent, how will the abatement be handled?

    It is our understanding that the rent abatements will be credited within the least amount of rent cycles possible (likely one or two in most cases) as it will depend upon the amount of the abatement due. If the amount is such that it would be greater than the rent due in the first month, the remaining abatement would be credited against the following month’s rent, etc.
  2. Does a current tenant Class Member have the option of taking a cash payment from the settlement fund, or is the current tenant’s settlement fund benefit limited to a rent abatement?

    Current tenants are limited to rent abatements and cannot opt for cash payments.
  3. Will the settlement administrator provide a summary of how a Class Member’s
    abatement or payment was calculated? If that is not currently contemplated, could that be added to the administrator’s to-do list?

    No. That is not a common practice for a couple of reasons. First, adding that task (i.e., notifying Class Members of the proposed calculation before payments are made) would dramatically increase the amount presently allocated for notice and administration costs, reduce the overall amount payable to class members, and delay payment significantly (perhaps by years). Second, including that information with the payment (or abatement) to Class Members would also add cost without serving any meaningful purpose since there would be no mechanism to address perceived discrepancies once all the settlement funds are distributed.
  4. Will any rent abatements or cash payments be issued or distributed before the April 16 deadline for submitting claim forms? How long after claim submission or how long after the claim deadline will it be before rent abatements or cash payments are issued?

    Because the ultimate rent abatements/cash payments will be calculated on a pro-rata basis, no credits/payments will be issued until all claims have been submitted and allocation amounts have been calculated and verified. Even after all claims are submitted, there may be individual issues to sort out (e.g., claim forms conflict with rent records in some respect). Only after the claims process concludes will one be able to calculate how much each class member will be entitled to.
  5. Will cash payments or rent abatements from the settlement be subject to income taxation? If so, would they be taxed as regular income? Is the treatment different for rent abatements than for cash payments? Will 1099s be issued?

    For this question, I suggest class members speak with their tax professionals. We are not tax attorneys and cannot give tax advice or tax opinions. Often class action settlements are taxable but not always.
  6. Does a class member need to submit a claim form in order to have benefit of the 5% annual limitation on rent increases provided in the settlement?

    Yes. Although it may apply automatically, I wouldn’t suggest class members take that chance.
  7. If a tenant is covered under the 2009 QRS agreement, will protections under that
    agreement or any extension of that agreement be adversely affected by the tenant’s submission of a settlement claim form?

    No.
  8. If a tenant is not covered under the 2009 QRS agreement, will such tenant’s submission of a settlement claim form adversely affect the tenant’s prospects for being included in a new QRS agreement if such an agreement is reached between BPCA and the landlord?

    No.
  9. Will the rent abatement (or cash payment) be calculated based on rent paid only up to August 1, 2017 (by which time the capital improvements were largely completed), or will the abatements/payments be based on rent paid throughout the Class Period, which the settlement agreement defines as extending up to the Final Settlement Date? (Compare Settlement Notice para. 46 with para. 52.)

    a. If it’s the former, does that mean that Class Members who moved into Gateway on or after August 1, 2017 will receive no benefit from the $10 million settlement fund?

    No. Abatements/cash payments will be calculated through the end of the class period – regardless of when someone moved in to Gateway.
  10. Where there is more than one tenant named on a lease, and each tenant is a Class Member, will each co-tenant Class Member be entitled to a separate rent abatement or cash payment? If so, how is each co-tenant’s entitlement amount calculated?

    If the claims administrator receives more than one claim for the same unit over same time period (i.e., indicating more than one person on lease), the information will be checked against the rent data to confirm. Assuming it is determined that more than one Class Member was responsible for the rent on a unit (for a specified time), an assumption of joint responsibility will be applied such that each will be entitled to a separate cash payment. If there are two tenants, each gets half the allotment. If there are three, each gets one-third, etc. These scenarios have been flagged for the claims administrator so special attention is given.
  11. Can you clarify certification number 8 on the Claim Form (“I have not submitted any other Claim covering the same apartment during the Class Period and know of no other Person having done so on my behalf.”) This certification does not seem to reach an “other Claim” submitted on behalf of a co-tenant Class Member, since such an “other Claim” would not have been submitted on behalf of the Class Member signing the certification; it would instead have been submitted on behalf of a different Class Member.

    a. Another way of asking this question is whether or not certification number 8 should be read to mean: “I have not submitted any other Claim covering the same apartment during the Class Period and know of no other Person having done so on my behalf or on behalf of any co-tenant Class Member.”

    No, it should not be read to mean anything other than what it says. Each Class Member should submit their own claim. See Response to Question 10.
  12. Can you clarify whether the abatement/cash payment calculation examples given in the settlement notice include the effects of allocating approximately $3.6 million to legal fees and costs? It looks like the examples in the notice assumed that the full $10 million settlement fund would be distributed to the class. Is that correct? If so, would it be more accurate to estimate the rebate or cash payment amounts as being roughly 64% of the numbers given in the notice? (I.e., to assume that only $6.4 million of settlement funds would be distributed to Class members.)

    The numbers in the notice are for illustration purposes only and not based on any particular tenant or rent paid. The ultimate calculation, using the formula provided in the notice, will be based on the amount available for distribution after payment of attorneys’ fees and expenses which have not yet been set.
  13. Assuming a Class Member tenant has not opted out of the Class, is the scope of the Release applicable to such Class Member affected in any way by whether the Class Member submits a Claim or accepts a rent abatement or cash payment from the settlement fund?

    No, if a class member fails to opt out or submit a claim, they will be subject to the same release as those who did submit a claim as outlined in the notice and settlement agreement.

Changes to GPTA Bylaws

At its December 2, 2019 Board meeting, the GPTA approved the following changes to the GPTA Bylaws:

a.         Reduction of the maximum number of Directors from 15 to 13, effective as of the election next held after the February 2020 Annual Meeting. (That is, 15 Directors will be elected at the February 7, 2020  Annual Meeting, but 13 will be elected at all subsequent Annual Meetings.)

b.         Instituting a Board meeting attendance requirement for Directors as follows:  a Director may be removed by a vote of the Board if a Director has 3 consecutive unexcused absences from Board meetings, or 4 unexcused absences within a calendar year.  Among factors to be taken into account in any such removal vote would be the Director’s attendance and participation in other GPTA events or meetings apart from Board meetings.  Absences can be excused for personal or family medical issues, attendance to other GPTA business, or other issues in the discretion of the President.  In general, work commitments will not be a basis for excused absence, the thinking being that if a person is too busy with work to attend to GPTA matters, the person should not be a Director.

c.         Changing the Board meeting quorum from 1/3 to 1/2.

d.         Imposing a limit of one Director per household.

e.         Deleting the following language from Article III, Section 2: “If a household contains more than one (1) person, the votes allocable to such household may be divided in any manner as the persons comprising the household shall determine.”  The concept here is that fractional votes, which were permitted under the previous version of the By-Laws, had never actually occurred; and the Board believes that if a household did want to cast fractional votes, they would be difficult to administer and would be likely to cause confusion.

f.          Change in timing of Annual Meeting to the 4th quarter of the calendar year.  This means the next Annual Meeting after the February Annual Meeting will likely be less than a year after the February Meeting.

g.         Clarification of the nomination process for election of Directors:  any Member in good standing may nominate himself, herself, or another Member in good standing (measured as of the date and time of the annual meeting).  Candidates whose nominations are conveyed to the Board 14 days or more before the Annual Meeting will have their names reflected on the ballot, with the names of candidates presented in alphabetical order.  Nominations for write-in candidates will also be accepted at the annual meeting.

Read the full text of the newly adopted bylaws.

Class Action Settlement Agreement Update

Dear Gateway Tenants,

Notices of a class action settlement agreement were distributed to apartments on Tuesday.  If you did not receive a notice, you can download one at: https://www.nfllp.com/documents/Cases/Gateway-Plaza-Long-Form-Notice_2.pdf or call the settlement Claims Administrator at 1-855-648-7655.

We have received questions from many tenants about the settlement notice.  Here is a summary of key points:

1. GPTA is not directly involved in the lawsuit that is being settled, In re Gateway Plaza Residents Litigation (the “Gateway Lawsuit”).  The information in this note comes from speaking with people who were involved in the Lawsuit and from reading the information on the public court docket.  The most authoritative information about the settlement is what’s contained in the settlement notice and in the related court file.  Please don’t consider anything in this note to be legal advice.

2. The Gateway Lawsuit and its settlement have nothing to do with the on-going rent stabilization negotiations.  However, one of the settlement terms includes  an agreement by Lefrak that rent increases from 2020 to 2022 will be no more than 5% annually for ALL Gateway tenants.  This limit on rent increases will apply even if rent stabilization is not extended. If stabilization is extended, tenants covered by the extended agreement would have their renewals governed by the rent stabilization agreement. 

3.  Participating in the Gateway Lawsuit settlement will have no effect on your coverage under the rent stabilization agreement.

4. The settlement also provides for a rent rebate for any current tenant who has lived in Gateway since April 2008 (and for cash payments to tenants who lived in Gateway since April 2008, but who are no longer tenants).   How much a particular tenant gets will be based on the gross amount of rent that tenant has paid since April 2008.  The settlement notice estimates that the rebate for current tenants will be equal to 1.66% of the aggregate rent paid over that period – which could come to anywhere from a few hundred to a few thousand dollars.  The settlement notice doesn’t contain enough information to calculate any particular tenant’s actual rebate or refund with any accuracy.

5. In order to take advantage of the settlement, you will need to submit the claim form included with the settlement notice by April 16, 2020.  You also have the  option of excluding yourself from the settlement, if you do so by January 31, 2020.   There will be a court hearing on March 2, 2020, at which time the court will either approve or reject the settlement, based on fairness considerations.  Any class member who wishes to appear at the hearing and voice objections must submit a written objection to the court by January 31, 2020.