New York City Bill Protested

A Bill to Stop Illegal Hotels, and a Protest
http://www.nytimes.com/2010/07/19/nyregion/19hotel.html?_r=1

A bill that could be a problem for hostels in NYC if it becomes law:

The bill, which was passed by the State Senate on June 24 and by the Assembly on July 1, would amend the city’s multiple dwelling law and the administrative code to remove what lawmakers described as ambiguities in the current rules that allowed landlords to convert apartments in residential buildings into way stations for transient visitors.

Under the proposed rules, such apartments could not be rented for less than 30 days.

About the bill:
http://www.nysenate.gov/press-release/illegal-hotels-bill-passes-legislature-bill-protect-residents-increase-apartment-avail

The bill contains appropriate exceptions for roommates, boarders, etc. who live or rent in the unit with the permanent occupants, or while the permanent occupants are temporarily absent and nothing is being paid. The bill would also give a small number of buildings that have historically operated as hotels prior to the enactment of the Multiple Dwelling Law, or were legally operating as hotels under the pre-1961 zoning, time to comply with relevant building codes for transient use.

...The bill is supported by Mayor Michael Bloomberg, Manhattan Borough President Scott Stringer and the Manhattan Borough Board, Housing Conservation Coordinators, Goddard-Riverside West Side SRO Law Project, the Association for Neighborhood and Housing Development, West Side Neighborhood Alliance, the Hotel Association of New York City, and the Hotel and Motel Trades Council.

Does anyone know more about the situation? How exactly will it affect current and future hostels in the City?