Owners should have a plan for New York City’s Local Law 97

As we enter 2026, building owners in New York City should have a compliance plan for the city’s Local Law 97, according to Drew Maggio, technical director, Highmark Building Efficiency. The law affects buildings over 25,000 sf, more than 50,000 buildings in the city.

Every five years, the emissions limits are lowered, increasing fines and driving the city towards 80% carbon reduction by 2050 relative to 2005 levels. Many buildings that comply with 2024-2029 limits will not be compliant in 2030-2034, Maggio says.

“Beginning to electrify only after the building goes out of compliance can end up being very costly,” Maggio notes. “Upgrades to a building’s systems can take time, and unseen delays plague projects in New York City for any number of reasons.

“Sealing the building envelope is a necessary first step. Electrifying a leaky building is an uphill battle.” Energy recovery such as via Energy Recovery Ventilators (ERVs) that redirect excess heat from a cooling tower to domestic hot water production is another good option, he says.

LL97 fines can be estimated using this tool, provided by the Building Energy Exchange. Buildings can also rely on a number of resources made available by NYSERDA, including the Flex Tech program.