Local Law 97 FAQ: NYC Building Emissions Law Compliance Guide
This FAQ answers the most common questions about New York City’s Local Law 97, including requirements, penalties, timelines, and practical compliance solutions. Navigating the details takes time, so we’ve pulled them together in one clear resource.
What is Local Law 97 (for dummies)?Local Law 97 is part of New York City’s Climate Mobilization Act. It sets greenhouse gas emissions limits for most buildings that are 25,000 square feet or larger. The first compliance period began in 2024, and buildings that exceed their emissions limit are now subject to annual fines of $268 per metric ton of CO₂ emissions over the cap. In 2030, the emissions limits will become significantly stricter across all covered building types, meaning many properties that currently comply may need additional upgrades to stay within the new thresholds (NYC Department of Buildings overview).
What is the fine for Local Law 97?The standard fine is $268 for every metric ton of CO₂ emissions above your building’s allowed limit. This applies to most buildings 25,000 square feet or larger, with enforcement in effect and tighter limits in 2030.
Is there a grace period for Local Law 97?Some hardship adjustments, extensions, or alternative compliance methods may be available in specific cases (NYC DOB hardship guidance). Enforcement began in 2024 for most buildings 25,000 square feet or larger, with stricter limits coming in 2030.
Does Local Law 97 offer any incentives?Yes. While the law itself sets penalties, NYC and New York State offer incentives such as energy efficiency rebates and financing programs to help owners meet the requirements.
What is the Local Law 97 for renewable energy credits?Local Law 97 allows building owners to offset a portion of their emissions with approved renewable energy credits, provided they are sourced from NYC’s grid (REC policy details).
How much does it cost to comply with Local Law 97?There is no single set cost for Local Law 97. Expenses come from compliance measures such as energy efficiency upgrades. The financial risk comes from fines, which are $268 per metric ton of CO₂ emissions above the allowed limit for covered properties.
Does Local 97 include affordable housing?Affordable housing buildings are subject to different compliance pathways with more flexible timelines (affordable housing LL97 guidance). However, many still fall under the coverage of Local Law 97.
When was Local Law 97 passed?Local Law 97 was passed in May 2019 as part of NYC’s Climate Mobilization Act. Its first compliance period began in 2024 for most buildings 25,000 square feet or larger.
What’s the impact of a building’s non-compliance with Local Law 97?Non-compliance means recurring annual fines, potential reputational damage, and higher operating costs due to inefficient energy use.
What is the maximum penalty for breach of building regulations?For Local Law 97, there is no explicit cap on fines. They are tied to the number of tons of emissions over the limit each year for covered buildings.
Who is exempt from Local Law 97?Some industrial facilities, city-owned buildings, and places of worship may be exempt, along with certain smaller residential properties below the threshold (exemptions list).
What is the Local Law 97 inspection?There is no annual inspection like a building inspection. Compliance is verified through annual emissions reporting for covered buildings.
What industry is the focus of NYC Local law 97?The law impacts multiple sectors including commercial office, multifamily residential, healthcare, and institutional buildings.
What is the Local Law 97 for building energy exchange?The Building Energy Exchange is a nonprofit resource that helps NYC building owners understand and comply with laws like LL97.
What are the effects of Local Law 97?It requires building owners to upgrade systems, improve efficiency, and reduce emissions or face recurring penalties.
What is the difference between building control and building notice?These terms generally apply to UK building regulations and are not part of Local Law 97.
How to comply with Local Law 97?Complying with Local Law 97 starts with understanding your building’s current emissions. This is usually done through an energy audit or benchmarking analysis. From there, many owners look at a combination of solutions:
Upgrading HVAC equipment to high-efficiency models
Improving insulation and windows to reduce heating and cooling losses
Switching to cleaner energy sources such as heat pumps or renewable power
Sealing ductwork and the building envelope to eliminate air leaks and wasted energy
Of these options, duct and envelope sealing often provides the fastest and most cost-effective results. Aeroseal’s proven technology is guaranteed, non-destructive, and completed from the inside, meaning there is no tearing into walls or disrupting tenants. The process pinpoints and seals leaks with computer-controlled precision, and results are verified in real time.
Why Aeroseal stands out
Guaranteed, computer-verified results. Leaks are sealed from the inside and a certificate shows before-and-after leakage rates.
Non-destructive. No demolition, so tenants and operations stay undisturbed.
Fast payback. Duct leakage reductions of 90%+ often yield meaningful energy savings and help close the LL97 compliance gap quickly.
To understand how it works, watch the Aeroseal process in action. This short video shows leaks being sealed from the inside and verified in real time without opening walls or disrupting occupants.
See how one New York medical facility cut duct leakage by 97% and saved $22,694 annually in energy costs. This 100-year-old building stayed fully operational during the project, and the results were verified on-site, ensuring confidence in the energy savings and compliance gains.
“The veracity of Aeroseal’s energy model and the leakage rates the crew achieved gave us confidence that the savings would be on target, and it was all backed up with a guarantee on the ROI.” — Facilities Director, New York State Medical Facility
By sealing hidden leaks first, owners often reduce their Local Law 97 fines enough to buy time for bigger capital upgrades and stay ahead of the stricter 2030 limits.
What is the easiest way to comply with Local Law 97?
While every building’s path to compliance is different, one of the fastest and least disruptive ways to start cutting emissions is to seal wasted heating and cooling through air leaks. Aeroseal’s process seals leaks from the inside, is computer-verified, and requires no demolition, making it a quick upgrade that delivers immediate results without shutting down operations. Many building owners use Aeroseal first to reduce energy waste, lower emissions, and shrink potential fines, then follow up with other long-term improvements.
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