$32 billion is required to make needed repairs and upgrades for safe and decent living conditions for the 400,000 public housing residents living in New York City Housing Authority (NYCHA) housing. Mayor de Blasio’s NYCHA 2.0 plan expands use of RAD-type conversions and identifies other strategies to raise $24 billion in revenue. While this plan, which will be under the control the newly appointed monitor, moves in the right direction, it leaves a budget gap of at least $8 billion.
The undersigned organizations ask for the State and City of New York take the following action for capital investment to #SAVENYCHA.
1.Raise $3.3 billion by earmarking revenue for NYCHA from Coop/Condo Abatement Reform.
This year, NYC will give away about $600 million in a relatively unknown tax break to homeowners. The Cooperative and Condominium Property Tax Abatement reduces real property taxes for owner-occupiers by 17.5% – 28.1%, depending on assessed value. While this abatement is the 2nd largest housing tax expenditure in New York City, many homebuyers are unaware of it when they purchase an apartment. Unlike the federal Mortgage Interest Deduction, it does not typically factor into a buyer’s calculation of affordability. With the abatement scheduled to sunset in June, Albany lawmakers have an opportunity to create a more just and equitable tax policy and provide a long-term funding solution for public housing by supporting the Coop/Condo Tax Abatement Reform Bill A7092/S5267. This bill:
- Renews tax benefits for 90% of owners
- Ends tax break for top 10% of luxury coop/condos
- Redirects revenue to raise $3.3B to #SAVENYCHA
- NYHC SUMMARY AND CITYWIDE IMPACT OF COOP/CONDO REFORM BILL
- A7092/S5267 Legislation
- Select Assembly District Impact 1 pagers: 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 39, 40, 41, 42, 43, 44, 45, 46, 47, 48, 49, 50, 51, 52, 53, 54, 55, 56, 57, 58, 59, 60, 61, 62, 63, 64, 65, 66, 67, 68, 69, 70, 71, 72, 73, 74, 75, 76, 77, 78, 79, 80, 81, 82, 83, 84, 85, 86, 87
- Select Senate District Impact 1 pagers: 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35, 36
- CHPC Analysis of Condo/ Coop Tax Expenditure
- City Limits Coverage
- WPIX Interview with Assembly Member Rodriquez
- Daily News Op Ed by Jessica Katz
- City Nixes Property Tax Break For Trump’s NYC Apartment, Daily News, July 2018
2. Release $450 million in already appropriated funds (FY17 $200 million, FY19 $250 million).
While Governor Cuomo has publicly committed to releasing funds, this funding promised to residents to make repairs and upgrades for critical capital needs has still not be officially released as of 4/10.
3. Fund the $8 billion budget gap, starting with $1 billion in FY2020.
We call on Governor Cuomo and the State Legislature to work with their NYC counterparts to develop a 10-year, joint funding plan. Full funding of the $32 billion in capital needs is essential for NYCHA to successfully reach compliance with all federal laws, especially those relating to housing quality standards and lead inspections and abatement. Long-term funding is needed for the new federal oversight agreement to be effective and for NYCHA to be able to fully implement a preservation plan to restore decent and safe housing conditions for each and every resident.
New York State has already appropriated $550 million over the past 5 years and Governor Cuomo’s Housing Finance Agency has allocated $220 million in bond financing to make NYCHA’s first RAD project a reality. While these are positive first steps, there have been a variety of difficulties with a funding approach that is neither long-term nor part of a larger capital improvements strategy. A new 10-year plan with support from both the State and the City of New York should begin this year with at least a $500 million commitment from each level of government to preserve public housing units which are not slated for conversion and therefore not eligible for private financing.
JOIN OUR CAMPAIGN
Add your organization to the list of supporters working to help NYCHA during this critical time.
COALITION FOR CAPITAL INVESTMENT TO #SAVENYCHA
116TH STREET BLOCK ASSOCIATION, INC.
ASSOCIATION FOR NEIGHBORHOOD HOUSING & DEVELOPMENT
BANANA KELLY COMMUNITY IMPROVEMENT ASSOCIATION
CITIZENS HOUSING PLANNING COUNCIL
COMMUNITY SERVICE SOCIETY OF NEW YORK (CSS)
COMMUNITY VOICES HEARD
CONCERN FOR INDEPENDENT LIVING
CURTIS + GINSBERG ARCHITECTS LLP
DAY CARE COUNCIL OF NEW YORK
ENTERPRISE COMMUNITY PARTNERS INC.
EQUAL OPPORTUNITY IN CONSTRUCTION INITIATIVE
HOUSING PARTNERSHIP DEVELOPMENT CORPORATION
IVP CAPITAL, LLC
JONATHAN ROSE COMPANIES
LEGAL AID NYC
NEW DESTINY HOUSING CORPORATION
NEW YORK HOUSING CONFERENCE
QUEENS COMMUNITY HOUSE
RED HOOK INITIATIVE
REGIONAL PLAN ASSOCIATION
RISEBORO COMMUNITY PARTNERSHIP
ROSENBERG HOUSING GROUP
UNITED NEIGHBORHOOD HOUSES