Data brief: we have the least housing where renters need it most

2022 AMI Cheat Sheet

The AMI Cheat Sheet shows maximum household incomes and rents for three-person households, using 2022 AMI calculations, and estimates the share of renter households and rent-burdened households at each AMI level in New York City.

New York City's AMI Problem, and the Housing We Actually Need

You can’t discuss affordable housing policy in New York City without mentioning Area Median Income (AMI). The acronym is everywhere, from approving a development to renting a unit through the Housing Lottery. But what might seem like a straightforward measure is much more complex. In ANHD’s new AMI Cheat Sheet and analysis, we find that AMI is a convoluted and increasingly disconnected metric that contributes to equally disconnected – and inequitable – housing policies.

2021 AMI Cheat Sheet

The AMI Cheat Sheet shows maximum household incomes and rents for three-person households, using 2021 AMI calculations, and estimates the share of renter households and rent-burdened households at each AMI level in New York City.

ANHD’s Response to Mayor Eric Adams’ Housing Our Neighbors: A Blueprint for Housing and Homelessness

Many of the priorities in the plan reflect years of advocacy by ANHD and partners, and we applaud their inclusion. At the same time, we expect and will continue to advocate for tangible impacts for our communities and we await detailed policies and objectives and the necessary funding to realize those outcomes. Housing Our Neighbors must lead to actual major reductions in homelessness, improved housing quality in NYCHA, and stability and opportunity for tenants and homeowners.

The Administration has yet to lay out clear and transparent policies, metrics, and timelines.  Even with the Housing Our Neighbors plan’s new framing, there must still be transparency and accountability. This plan will need to be supplemented with detailed policy solutions and robust funding to achieve the goal of a safe, healthy, and affordable home for every New Yorker. We, community-based organizations, community members, and neighborhoods, must be able to clearly assess and evaluate where the Mayor is and is not meeting his housing commitments our neighborhoods needs and deserve. ANHD looks forward to working with this Administration where possible and will hold them accountable to meet the housing needs and priorities of our most marginalized community members.

Homelessness

We commend Housing Our Neighbors’ inclusion of all five shelter systems to streamline our homeless set-aside unit referral process so we can move homeless New Yorkers into permanent housing faster, as homeless advocates and non-profit developers of affordable and supportive housing have pushed for. We also support the goal of delivering 15,000 supportive housing units two years ahead of schedule, but to end homelessness we need concrete and measurable goals to end homelessness backed by deep investments in housing development and preservation.

Land use, public land, and housing development

ANHD supports using targeted zoning, land use, and development policies to create more affordable housing throughout the city, particularly in neighborhoods that are not producing enough today. These changes include supporting the creation of Accessory Dwelling Units, converting vacant hotels to affordable and supportive housing, and rezoning under-utilized government-owned land for deeply affordable housing. However, zoning and policy changes to promote more and more varied residential development must be rooted in the principles of land use equity to ensure a more just distribution of density and investments, and to empower communities that have not had a say in planning their futures. Any citywide zoning change to allow greater square footage for affordable housing must be crafted with a laser focus on developing 100% deeply affordable housing. Any development of public land must maximize public benefit and reflect local needs and should be implemented by non-profit, mission-driven developers and community-based organizations. Additionally, public investments in quality-of-life improvements in areas of the city that have not received key amenities and services must not be traded for new, primarily market-rate density.

We also support a comprehensive approach to housing development that includes diverse and innovative housing typologies and models such as single-room occupancies, shared housing, shared equity cooperatives and community land trusts. We are also happy to see a commitment to lowering construction costs through regulatory reforms, innovative new building techniques, and streamlined agency processes. However, streamlining and innovation alone is not sufficient – these measures must be accompanied by robust investments in deeply affordable housing preservation and development, including staff capacity at city agencies.

We are excited to see a commitment to revamping the Neighborhood Pillars Program with a downpayment assistance fund to support the acquisition of properties by non-profits and M/WBEs, including ANHD members, to redevelop and preserve as affordable housing. To be successful, any revamp of Neighborhood Pillars needs to be accompanied by a serious funding commitment.

We are also encouraged to see the blueprint’s prioritization of M/WBE and BIPOC-led non-profit mission-driven developers. This stated priority must be accompanied by clear metrics, such as a percentage of HPD capital commitments.

Tenant rights

The housing plan rightly draws the connection between housing and health. We applaud the focus on proactive enforcement to ensure that tenants have safe, healthy homes, and the commitment to bring proactive harassment cases in housing court to protect tenants’ rights. Far too often, tenants live with health and safety violations for years, navigating inspections and housing court dates while their apartments continue to deteriorate. The Administration must work with community organizations and tenant leaders to identify the gaps and flaws in the city’s inspection and enforcement models, and should increase and enforce penalties to landlords who endanger their tenants health and well-being with repeated violations.

ANHD members have been participants in the Partners in Preservation program in the neighborhoods where it was piloted, and we will be glad to see it expanded. But far more resources are needed to fund tenant organizing and legal assistance, increase staffing at HPD and other agencies, and aggressively pursue preservation options including transfer of ownership to non-profit, mission-driven developers.

Homeownership

We applaud the Mayor’s plan for recognizing the importance of homeownership for low and moderate-income and BIPOC New Yorkers, including doubling down payment assistance funding and expanding HomeFix. At the same time, we are concerned about a continuation of race-neutral policies to promote homeownership that do not explicitly address racism, redlining, and discrimination. New York City needs to create targeted programs for people of color to access and maintain homeownership, create a more equitable tax structure, and expand discrimination enforcement to test for fair lending violations and appraisal bias. We also need a more concerted focus on housing counseling, anti-displacement, and foreclosure prevention for the same populations.
 

ANHD will continue to work with our members, coalitions, and partners to review the Housing Our Neighbors plan in detail. Sign up for our email list or follow us on Twitter, Instagram or LinkedIn to stay appraised of all of our housing analysis and advocacy.

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Testimony Before the New York City Council Housing and Buildings Committee Regarding Priorities for the New York City Fiscal Year 2022-2023 Budget

New York City’s Unfair Share

As President Joe Biden enters office with the intention of working with Congress to get more desperately needed relief to Americans, it is critical that the government directs that relief to where it is needed most. In the final days of 2020, Congress passed a COVID-19 relief package that included $25 billion for rent relief, marking the first federal aid to America’s millions of renters in nearly 10 months. While the $1.3 billion that New York State is expected to receive will only meet a fraction of the need, we thank our elected officials and partners across the country who have and will continue to fight for tenants. 

At the same time, ANHD is concerned about the inequitable distribution of rent relief: even though the vast majority of the state’s renters live in New York City, the city is slated to receive less than 20% of that desperately needed relief. New York City has less than half (43%) of New York State’s population, but it has a dramatically higher proportion of renters. We are, predominantly, a renter’s city: two-thirds of New York City’s households rent compared to 30% of households in the rest of New York State. As a result of this uneven distribution, New York City has 63% of all the renters in the state.

The December 2020 COVID-19 relief package allocates emergency rental assistance using the same formula as set in the March 2020 CARES Act to states and directly to some localities. For localities, including New York City, direct allocations are 45% of the state population.[1]

Based on the legislation’s formula, New York City is set to receive just 19.4% of the state’s rent relief, an unfair share given that New York City houses 63% of New York State’s renters.

If New York City’s share of emergency rent relief mirrored its share of renters, the city’s allocation would more than triple from $252 million to $819 million.

This unfair share becomes even clearer when we look at our most marginalized renters. Strikingly, New York City houses 73.5% of all Black renters, 79.3% of all Latinx renters, and 83.4% of all Asian renters in New York State. Since the beginning of the pandemic, people of color have been disproportionately impacted by the worst effects of the COVID-19 crisis, from job loss to the loss of human life, and rent relief efforts should be specifically directed to those populations – not away from them. We cannot allow our desire to quickly move resources and aid to recreate the racial inequities our policies have maintained for so long. 

More than three in four people of color who rent in the state live in New York City; when we underfund New York City, we are harming New Yorkers of color.

New York City also has more than half of the state’s senior and low to moderate income renters. New York City houses 62.7% of senior renters and 58.6% of renter households earning less than $75,000 in annual income. Our seniors are particularly vulnerable during this pandemic; many are on fixed incomes and face higher risks of severe complications and death due to COVID-19. Similarly, our low-income renters do not have savings, investments, or assets in a time of economic crisis. 

The use of the CARES Act formula for rent relief distorts and hinders New York City’s ability to meet the needs of impacted renters. This is further compounded by New York City’s higher rents – the median gross rent in New York City is $1,443 versus $1,280 statewide. With higher rents, aid will cover less household rent arrears than in other parts of the state.

Upstate, Monroe and Erie counties have also applied for direct allocations. Like New York City, their urban centers Rochester and Buffalo are mostly comprised of renters: 63.6% of Rochester households and 59.3% of Buffalo households rent. To be equitable, rent relief across New York State must be calibrated proportionally to renter populations.

Our ability to support and serve our city’s struggling renters is directly connected to our ability to get them the relief they so desperately need and deserve. Without a fair share, New York City’s community developers, supportive housing providers, first-time homeowner landlords, and small landlords will not have access to emergency resources they need to keep their strained buildings in operation and families safely in their homes. If our state legislators and Governor Cuomo do not direct additional statewide rent relief funding to New York City and other localities with large renter populations, rent relief funding will miss New York’s renters who need it the most. 

In future rent relief packages, the Biden Administration and Congress must correct the formula for rent relief to ensure equity. Immediately, New York State can take action to remedy the disparity of December’s relief package. The 19.4% allocation towards rent relief in New York City is a floor, not a ceiling, and ANHD calls on our state legislators and Governor Cuomo to ensure rent relief funding reaches New York City and other renter-dense parts of New York State in proportion to their great need.

 

Data sources: All statistics in this blog come from the American Community Survey 2019 5-Year Estimates.

 

 

[1] Consolidated Appropriations Act 2021, §501(b), https://templates.legal/consolidated-appropriations-act/, and 42 US Code §801(c)(5), https://www.law.cornell.edu/uscode/text/42/801

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Four Months In and No Relief for Renters

It’s been over four months since Governor Cuomo ordered New York State into lockdown after the onset of COVID-19. The economic blow to millions of households was immediately apparent, but the solutions our government has offered have been piecemeal, haphazard, and insufficient. Without a comprehensive plan that prioritizes the wellbeing of our most marginalized communities, millions of New Yorkers are left without income and without a home. Last week, the State legislature went back into session but did nothing to provide meaningful support for New Yorkers experiencing homelessness or struggling to pay rent. Meanwhile, a new program implemented last week by the New York State Division Of Housing & Community Renewal (HCR) only highlights the government’s failure to address the scale of the crisis and reinforces the marginalization of many of our most vulnerable populations. With another month’s rent coming due at the end of the month, our government needs to take swift, bold, and comprehensive action that meets the scale of the crisis and centers New York’s most marginalized communities to keep millions of New Yorkers in their homes.

So far, government responses have consistently fallen completely short of need, both in scale and prioritization by excluding marginalized communities, offering paltry assistance to those who qualify and have access, and providing funding that is a drop in the bucket compared to the true need. At the federal level, weekly pandemic assistance payments are set to end this week, while New York State’s unemployment rate continued to increase to 15.6% and New York City’s to 20.4% in June 2020. As the effects of the pandemic and lockdown continue, New Yorkers who qualify for uninsurance will have to cover their costs with 50% of their normal earnings and a maximum of $504 per week.

While undocumented workers are twice as likely to lose jobs as the general population, approximately 725,000 undocumented immigrants in New York State are ineligible for State unemployment insurance, pandemic unemployment assistance, and rent relief, and were entirely excluded from the federal CARES stimulus payment of $1,200. Although New York City set up the COVID-19 Immigrant Emergency Relief Program to provide one-time payments of $400 to $1,000 to this excluded population, the allocated $20 million serves just 3% of the need. There are further barriers for immigrants to access emergency aid: although 311’s website points visitors to the Mayor’s Office of Immigrant Affairs (MOIA) website for information about the immigrant relief program, MOIA does not include the program in its resources. Instead of receiving widely available information, applicants have had to be connected to the right community organization at the right time for an opportunity to receive the funds.

The new State COVID Rent Relief Program passed into law in May and rolled out last week only allocated $100 million for rent relief for rent relief. Although 59% of New Yorkers report that their households have lost income, $100 million only covers 5% of the estimated $2 billion rent shortfall in New York as of July 22. Further, it reinforces poverty by design: the program perpetuates tenants’ existing levels of rent burden, which will maintain unaffordable rents for many of those most in need of true relief. Rather than ensuring that tenants have enough money to cover basic necessities during the pandemic, the program prioritizes ensuring that landlords will receive the same level of rent they had prior to COVID.

Meanwhile, the New York State Eviction Moratorium will expire next week, placing tens of thousands at risk of eviction with the pandemic far from over. The Tenant Safe Harbor Act, touted as an alternative eviction prevention method, simply opens tenants to new forms of harassment and displacement, while endangering their financial future and pushing them into poverty by allowing the accumulation of rent debt.

Beyond its meager funding, the State COVID Rent Relief Program is inaccessible to many of the tenants who need it most: Governor Andrew Cuomo announced the launch of the program two days before applications opened, with an application period of just two weeks.That’s not nearly enough time for tenants to learn about the program, obtain necessary documents, and submit their application – possibly by design, since the available funds will meet so little of the need. For those without internet access, the barriers increase. And non-English speakers face additional hurdles: although translated application forms are available in six languages on the HCR website, the forms specify that applications must be submitted in English and translated applications are “for instructional purposes only.” State officials gave no advance warning to community-based organizations and tenant advocates to whom tenants have turned to for assistance, and they certainly were not treated as collaborators who could have helped design a system that would work for tenants.

The New York State legislature had a chance to take meaningful action for renters when they went back to Albany last week, but failed to even touch the issue. We need more, we need better, and we need it now. ANHD and its members believe the following principles should guide the government’s approach to real rent relief:

  • We must address the needs of all of our communities’ vulnerable populations. We are all too aware that those most in need of support are often shortchanged, and that several recent federal programs have deliberately excluded undocumented immigrants, who are among the most severely impacted in the current crisis. Any approach to rent relief must center and address the needs of vulnerable and marginalized populations, including undocumented immigrants, those who work or worked in the informal or cash economy, non-English speakers, people without internet access, the unbanked, etc.
  • New York’s renters live in a broad range of housing – basement apartments; rented rooms; rent stabilized, unregulated, and subsidized apartments; small homes; public housing; etc. In some types of housing, leases are uncommon and tenants are month-to-month, or not all residents are included on the lease. Renters across this broad range of housing types still need support and relief to avoid eviction, and we must maintain safe and stable housing situations for as many people as possible.
  • Our communities include homeowners and limited equity coop shareholders as well as renters. We will not allow different members of our community to be pitted against each other, and we cannot withstand a repeat of the foreclosure crisis, which stripped so many Black and Brown families of their assets, displaced homeowners and tenants alike, and left our housing market open for predatory investors to swoop in. Any approach to rent relief must address the needs of vulnerable homeowners alongside renters so that all can weather the current crisis and come out prepared to rebuild our communities to be stronger and more equitable.
  • We must support existing affordable housing, and the community-based institutions that own and manage it. In many neighborhoods, the only truly – and permanently – affordable housing is owned and managed by non-profit, mission-driven developers based in and accountable to the local community. These housing providers operate on razor-thin margins because they maximize the subsidies they receive in order to set rents as low as possible and provide resources and services for their tenants and the broader community. This housing is a public good and precious community resource, and must be supported so that affordable housing and the organizations that provide it remain sustainable.

See here for more on ANHD's priorities for Rent Relief.

New York needs rent relief on the scale of the enormous crisis we face, that is accessible to those with the greatest housing and economic insecurity. In order to accomplish that goal, elected officials must allocate funds that match the crisis, and policy makers must listen to the community organizations that understand how to meet needs on the ground. We urge our elected officials at every level of government to rise to the moment and take extraordinary action to combat both the economic devastation of COVID-19 and the underlying affordability crisis that has left so many New Yorkers so vulnerable in the first place.

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Emergency Response to COVID-19: What Our Communities Need Now

The reverberations of the global human and economic loss due to the COVID-19 pandemic will be felt at the local level, from block to block. Historically marginalized neighborhoods and communities will be most acutely impacted and left particularly vulnerable. In New York, low-income communities of color and immigrant communities will face the brunt not only of the medical crisis that is upon us, but also the growing economic crisis in the form of evictions, mounting debt, job loss, and community disinvestment. The spread of COVID-19 has exposed the long-established gaps in our social infrastructure. These inequities are not new, but will be laid bare and felt more intensely than ever before. A crisis of this scale requires a commensurate and comprehensive response. It is the responsibility of federal, state, and local governments to act swiftly, strategically, and boldly to minimize the catastrophic economic and social consequences of the COVID-19 pandemic. We call on our government - at all levels - to act decisively to give everyone the ability to do their part without the risk of losing their jobs, homes, and their very lives.

 

ANHD calls for the following policies to be undertaken immediately: 

Issue a Moratorium on Evictions and Pass Good Cause Eviction

We commend the state of New York for passing a moratorium on commercial and residential evictions, closing housing courts across the state indefinitely. This was the right thing to do and a major victory for New York’s strong tenant movement. A permanent moratorium on evictions without good cause must also go into effect - the legislature should pass good cause eviction immediately. 

Freeze Commercial and Residential Rents

Although New York State has put an indefinite moratorium on evictions, residential and commercial tenants should not have to worry about paying rent on reduced incomes while they attempt to provide for family and loved ones. One recent survey found that 39% of New Yorkers would be unable to pay even 1 month of rent if they were to lose their income. All rents should be frozen for the duration of the crisis. Government should provide immediate financial relief for impacted tenants who are facing hardship and unable to pay their rent. Nonpayment of rent due to hardship from loss of income or revenue due to COVID-19 should not be considered a breach of contract or lease. 

Extend Residential Rent-Regulated Leases 

New York State Homes & Community Renewal (DHCR) should implement a one-time, three-month extension for all residential rent regulated leases. This action ensures that tenants remain protected under their current leases and ensures rent regulated tenants who are eligible for lease renewal during this crisis do not suffer the added strain of rent increases.  

Temporarily Suspend Mortgages and Issue a Moratorium on Mortgage Actions 

Banks and creditors should not be able to profit off of struggling commercial and residential tenants, homeowners, and small businesses. All mortgage holders should temporarily be prevented from collecting payments - including interest - during this time. All mortgage actions, specifically foreclosures, should be halted. 

Provide Emergency Support for Affordable Housing Developers 

In addition to suspending mortgage obligations, city/state/federal government should provide emergency financial support in the form of grants, interest free loans, and tax abatements to non-profit affordable housing providers so that they can properly maintain their buildings in the absence of rental income for the duration of the crisis. 

Rehouse the Homeless in Hotels and Motels, and Address Overcrowding in Impacted Residences 

Homeless New Yorkers are by far the most vulnerable to the spread of COVID-19. In order to protect the lives of the 92,000 people living in crowded shelters or on the streets, the City and State must take immediate measures to rehouse people in empty hotels and motels. This is crucial to preventing the further spread of COVID-19. 

The City and State should also utilize hotels and motels to quarantine impacted individuals who live in overcrowded residences or in close proximity to vulnerable population or essential service providers. New York City experiences overcrowding at more than two and a half times the national crowding rate, with 8.8% of households living in overcrowded homes. These residents are very likely to spread COVID-19 to loved ones and neighbors living in close proximity. The City and State must give the option of voluntary quarantine in currently underutilized accommodations. 

All rehousing facilities must be dispersed equitably by need across all five boroughs in high-wealth and low-income neighborhoods. Low-wealth neighborhoods, especially with high densities of service workers and frontline healthcare staff, are already at high risk of contracting the virus; rehousing facilities should not be concentrated in these neighborhoods. 

Reduce Utility Payments 

As more people are being ordered to stay home, they are becoming increasingly dependent on water, electricity, gas, and the internet to survive and stay connected. New York State should order telecommunications companies to cease shutoffs while the outbreak is ongoing and schools and workplaces are shut down. The State should also urge all utility providers to cease payment collection for low-income households. 

Implement Financial Protections for Small Businesses 

The closure of restaurants, bars, and other small businesses will result in a devastating loss of income for owners and employees of small businesses, particularly immigrant-run small businesses, which comprise 48% of New York’s local economy. NYC Small Business Services (SBS) is already offering zero-interest loans to businesses with fewer than 100 employees and grants to businesses with fewer than 5 employees to cover a portion of payroll costs. The grant program should be expanded, as businesses will face difficulty in repaying loans after several months of reduced income. All relevant information should be provided in multiple languages and available to small businesses that would not traditionally be eligible for SBS and/or government aid. A portion of this aid should be available to street vendors. The state and federal government should also invest in grants to small businesses to help them provide paid and sick leave to their employees, and offset the loss in revenue that will come from the shutdown. 

New York City should mandate that delivery service operators cap their delivery fees and suspend NYPD fines and summonses on delivery personnel and street vendors. 

The State should waive all late penalties for late sales filings for the New York State Department of Taxation and Finance, due on March 20th, for all small businesses, including vendors. 

Issue a Moratorium on ULURP Processes 

We commend the de Blasio administration for suspending the entirety of the ULURP process for the duration of the crisis. The Uniform Land Use Review Procedure (ULURP) is intended to allow public review of major land use actions, but this is dependent on an engaged public, with the ability to organize and testify. The ULURP process must be halted until this crisis has passed, and residents and stakeholders have the ability to be engaged.

Provide Emergency Fiscal Support for Non-Profits 

Non-profits and community-based organizations - including many of ANHD’s members - function as a social safety net in many communities, providing essential services like food, childcare, language access, and more. Many already struggle to cover operational costs and pay employees as they provide these services. Non-profit organizations providing essential services should receive emergency fiscal support. Non-profit organizations providing non-essential services should be eligible for grants based on the organization size.  

Fund Universal Paid Sick Leave, Childcare, and Unemployment Insurance 

Workers must be encouraged and compensated to take the full time needed for care and recovery, either for themselves or family members. Government must provide at least 3 weeks of paid emergency sick leave and at least 3 months of paid family or medical leave, with no exemptions for companies based on their size.  

Unemployment insurance must be expanded and enhanced to ensure financial support to laid-off and furloughed workers. Independent contractors and subcontracted workers - including domestic workers, gig economy workers, and home health workers - must be captured within these expanded provisions. Unemployment must be expanded in particular for tipped workers whose regular income is not adequately captured. 

Free childcare centers for the children of those still working should be established in schools, libraries, or other public facilities. Childcare workers at these centers must have access to the paid sick leave benefits described above. 

Suspend All Debt - Including Student Loans, Credit Card, and Medical Debt 

People should not have to choose between paying for vital necessities and paying their debt, or risk going into financial distress after a reduction in income due to closures and quarantines. All debt payments must be suspended - including student loans, credit cards and medical debt. This must apply to principal payments and not just interest payments alone. 

Issue a Moratorium on ICE - Ensure Immigrants Can Safely Access Healthcare and Services 

Immigrants cannot access healthcare if they are in fear for their safety and the safety of their family. If ICE continues to make arrests during this crisis, it will be harder to stop the spread of the virus and the health risks for everyone will increase. All ICE activities must cease, and detainees must be released to ensure equal opportunity for immigrants to receive the healthcare and support they need. 

Issue a Moratorium on Low-Level Arrests & Other Criminal Proceedings 

Putting people in cages increases our public health risk and the likelihood of major outbreaks occurring in prisons, jails, and courthouses. Now is the time to reduce our incarcerated populations by moving vulnerable individuals out of our jails. New York City must impose a moratorium on low-level arrests, and state legislators must resist efforts to roll back bail reform, ensuring our incarcerated population does not grow. 

End Medicaid Cuts and Provide Free COVID-19 Testing and Care 

Our public health insurance system is crucial during this public health crisis. New York State must eliminate the Medicaid “global cap” and ensure that everyone eligible for Medicaid continues to receive treatment. As many people as possible should be tested in order to ensure proper treatment and stem the spread of the virus. No one should have to pay for testing or be billed for any medical care they receive to treat COVID-19. 

 

How Will We Pay For This? 

Many of these policies are costly and will significantly shift the manner in which funding and resources have been allocated and prioritized. A crisis of this scale requires a proportionate response that prioritizes marginalized communities who are facing the brunt of this crisis. While the federal government has invested trillions of dollars in big business, government at all levels has an obligation to invest in the economic and physical well-being of those most impacted by structural inequities that have been exposed by COVID-19 - in particular immigrants, low-wealth communities, Black communities, and communities of color. An appropriate response to this crisis requires an equitable distribution of resources. 

Tax the Rich to Pay for Public Health Services 

Adequately addressing this crisis will require the expansion of health services and other parts of our social safety net. We can easily pay for many of these critical public health and safety supports by taxing the wealthiest Americans, on a state and federal level. New York State should enact the following taxes: 

  • Billionaire Wealth Tax - A yearly assessment on the speculative wealth of billionaires, including unrealized capital gains. This tax could raise $10 billion or more per year.  

  • Ultra-Millionaire Income Tax - The creation of higher income tax brackets for individuals making over $5 million, $10 million, and $100 million per year who are currently taxed at the same rate as those making $1 million per year. This tax could raise $2.2 billion per year.  

  • Pied-à-Terre Tax - Taxing vacant luxury apartments that are not used as a primary residence. There are more vacant luxury units than there are homeless people in New York City. This tax could raise over $500 million per year. 

  • Sales Tax on Stock Trades - New York’s stock transfer tax is currently rebated back to brokers. Ending this rebate could raise up to $13.8 billion per year. 

An unprecedented crisis requires unprecedented and immediate action. While all New Yorkers are impacted by COVID-19, we must recognize and swiftly address the needs of New York’s most vulnerable and at risk communities. Policies that ensure the health and safety of the most marginalized New Yorkers ensures the health and safety of all New Yorkers. 

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A Resurgence of Single Room Occupancy Housing for Affordability

The Association for Neighborhood & Housing Development (ANHD) congratulates members Ascendant Neighborhood Development and Cypress Hills Local Development Corporation (LDC) for being selected as part of NYC Housing Preservation & Development (HPD)’s ShareNYC pilot. Our members’ development proposals were chosen as models of affordable shared housing as part of the program’s Request for Expressions of Interest (RFEI).

Cypress Hills LDC will work with PadSplit to expand 9 rooming units in an existing Single Room Occupancy (SRO) building to 11 units while retaining the current extremely low- to low-income tenants. The rehabilitation is of a standard two-unit row house, creating a housing model that’s replicable across New York City.

Cypress Hills LDC project rendering courtesy of Heitler Houstoun Architects

Ascendant Neighborhood Development will partner with the Ali Forney Center (AFC) and Think! Architecture to create a new development targeted to formerly homeless youth. AFC is New York City’s largest provider of housing and services to LGBTQ+ youth, who have a 120% higher risk of experiencing homelessness compared to youth in general.

Prior to the ShareNYC RFEI, conforming to HPD’s minimum unit requirements and the Multiple Dwelling Law would have produced 27 studio units on the development site, each with one kitchen and one bathroom. The flexibility of the ShareNYC initiative will allow Ascendant to instead develop four duplex units and one simplex unit with a total of 36 bedrooms. ANHD commends HPD for initiating ShareNYC to recommit to a building typology that was historically a fundamental source of affordable housing but was decimated in recent decades -- Single Room Occupancy (SRO) units.

Project renderings courtesy of Ascendant Neighborhood Development

The Importance of SROs as a Source of Affordable Housing

From the beginning of New York City’s colonial settlement through the mid-twentieth century, migrants, women workers, factory laborers, and other working-class and poor city residents rented individual beds within larger shared housing to afford to live near centers of economic production. At one point, SROs constituted more than 10% of the city’s housing stock.

Despite its ubiquity, wealthy and middle-class New Yorkers increasingly viewed SRO housing as a scourge, or ”poor people housing,” in the years following World War II, along with the rising estimation of the nuclear family as society’s critical building block. In response to these changing beliefs, New York City began implementing anti-SRO policies in 1955. At the same time, redlining was in full force and the Federal Housing Administration was insuring mortgages to white families wholesale while barring African-Americans from accessing the same wealth-building tool.

By 1985, New York City eliminated more than 100,000 units of affordable SRO housing, with devastating consequences. Homelessness skyrocketed and former SRO tenants flooded homeless shelters. Public policies enabling coop conversion incentivized landlords to harass and displace SRO units. In 2014, SRO legal service providers found that approximately 175,000 SRO units had been lost -- the same number as New York City’s entire public housing system.

 

The Next Generation of SROs

The link between the loss of SRO units and our homelessness crisis is clear, and the recent tragic attack on homeless New Yorkers in Chinatown has brought the importance of permanent housing for the homeless into sharp focus. Single room occupancy units that provide flexible housing to those with extremely low incomes and those who have experienced homelessness is a critical component of housing all New Yorkers. The model also allows providers to offer a continuum of services to residents, giving additional support to those who need it.

For instance, with homelessness at an all-time high, the Ascendant/AFC project -- to be developed on a vacant site owned by Ascendant on East 106th Street -- will be a critical source of housing to youth experiencing marginalization and vulnerability on multiple fronts. The Ascendant/AFC project will create 36 beds of high-quality supportive housing and is anticipated to be filled with referrals from the shelter system. Within each shared housing unit will be a generous array of spaces including an oversized communal kitchen that accommodates a co-living occupancy, study areas, shared living rooms, and alcoves. The variety of spaces will allow both interaction and alone time for each resident. In addition to housing, AFC will provide meals, medical services, and mental health services to help residents thrive and prepare them for independent living.

AFC currently operates 72 transitional housing beds in shared apartments. The ShareNYC shared housing model will allow AFC and similar providers to deliver safe, stable housing and a diverse array of on-site culturally competent services. The co-living design provides programmatic and organizational advantages for AFC: the shared spaces will encourage a sense of community and foster positive interaction of the residents while the private bedrooms will teach independent living skills.

We applaud HPD for breathing new life into this important model for affordable housing, and for reaffirming the ability of mission-driven nonprofit developers to develop housing with maximum public value. We again congratulate Ascendant Neighborhood Development and Cypress Hills LDC for their selection and work on this front.

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