Mayor Zohran Kwame Mamdani and New York City Department of Finance (DOF) Commissioner Richard Lee announced Debt Demolisher, a fine relief program for small businesses and homeowners across the five boroughs. Beginning today and running for the next 90 days, the program will allow eligible New Yorkers to resolve debt accrued from City fines at a reduced cost and avoid future penalties. Debt Demolisher will also help the City collect outstanding fines that may have otherwise gone unpaid.
“City government shouldn’t saddle New Yorkers with endless fines and interest,” said Mayor Mamdani. “When the city issues a fine, the goal is to incentivize compliance with the rules that keep all of us safe and healthy, not make it impossible to grow your business or repair your home. Debt Demolisher makes it more affordable for small business owners and homeowners to get back into good standing, move forward and avoid future penalties. Building a city every New Yorker can afford means tackling not just the major expenses, but the small fines and fees that make it harder to call the five boroughs home.”
“This program gives New Yorkers a more affordable way to clear longstanding city debt and move forward, while helping businesses put old fines behind them and focus on serving their communities,” said Commissioner Lee. “Our city is better off when outstanding fines are resolved, New Yorkers and businesses come into compliance, and revenue that might otherwise go uncollected is recovered. By removing financial barriers to compliance, we are bolstering local businesses, strengthening neighborhoods and supporting our essential city services.”
“As we continue to confront affordability challenges, we must explore every available option to help small businesses remain operational, and homeowners remain in their homes,” said Council Member Linda Lee, Chair of the Committee on Finance. “The passage of Local Law 147 offers New Yorkers a pathway to address outstanding fines and manage accumulated debt, while generating much-needed revenue for the City. By providing practical avenues for individuals to resolve violations and come into compliance with agency regulations, this program helps ease financial burdens and supports a more affordable New York City.”
Debt Demolisher provides New Yorkers with an opportunity to address Environmental Control Board (ECB) judgments, which stem from unpaid violations issued by a number of city agencies, including the Department of Sanitation, Department of Buildings and Department of Transportation. Infractions can range from building code violations to failure to properly dispose of a mattress.
Under Debt Demolisher, New Yorkers with eligible outstanding debt can have accrued interest waived and resolve their debt at a discounted rate. Program participants will be required to come into compliance with outstanding agency violations associated with their judgments. Debt Demolisher is projected to bring in $25 million that would have likely gone otherwise uncollected by the city.
