BALCONY - Business and Labor Coalition of New York

Impact of Airbnb on New York City’s Housing Market

June 27th, 2016

By Sally Goldenberg

A new report examining the impact of Airbnb on New York City’s rental market concludes the company is responsible for removing at least 8,000 apartments from the city’s housing stock and driving up lease prices.
The analysis, titled “Short Changing New York City; The impact of Airbnb on New York City’s housing market,” was prepared by BJH Advisors LLC for two organizations that are part of a coalition critical of the short-tern rental company – Housing Conservation Coordinators and MFY Legal Services.

The report found that in 2015, 8,058 Airbnb listings – 16 percent of the company’s total in the five boroughs – were what the authors classified as “impact listings,” which refer to those likely to have the biggest effect on the city’s residential market.

The designation refers to listings that meet all of the following criteria: rental of an entire apartment or home; “regular short-term,” which means booked for fewer than 30 days, booked for more than one reservation per month and containing at least one non-booked day a month; and “commercial,” which is defined as those listed for at least three months a year by hosts with more than one unit on the site or those listed for at least six months a year by hosts with only one unit on Airbnb.

In New York, it is illegal to rent an apartment in a three-unit building or larger for fewer than 30 days without the host present.

The 49-age report found that more than half of the so-called impact listings were managed by hosts who control multiple Airbnb units.

It also concluded that Airbnb activity is concentrated in several neighborhoods in Manhattan and Brooklyn – the East Village, West Village, Williamsburg and Bedford Stuyvesant, for instance.

The report states that in addition to increasing rental prices, Airbnb rentals are often in violation of health, safety, building and zoning regulations.

The analysis was presented at a press conference on the steps of City Hall Monday morning.

“Airbnb and companies like it do way more harm than good,” said Peter Ward, president of the Hotel Trades Council, the politically powerful hotel workers union that has been critical of Airbnb. “Airbnb comes to communities like New York and it operates illegally most of the time. It breaks our laws. It avoids taxation. … It has a terrible effect on affordable housing.”

Public Advocate Letitia James said the company “is one of the biggest factors contributing to our affordable housing crisis.”

Airbnb dismissed the findings as inaccurate and politically motivated.

“If the hotel lobby that funded this misleading study was serious about affordable housing, they would have urged politicians in Albany to act on real solutions like restarting the 421-a tax credit program,” company spokesman Peter Schottenfels said. “Instead, they made targeting middle-class people their top priority.”

Schottenfels was referring to the development tax incentive program for residential properties that expired in January when the building trades coalition and the Real Estate Board of New York could not reach an agreement on construction worker wages for projects receiving the tax break.

“We need to work together and find solutions that actually benefit middle-class New Yorkers, including how to protect responsible home sharers, rather than protecting the interests of a well-connected hotel industry,” he said.

A spokesman for the anti-Airbnb coalition, ShareBetter, said the analysis was paid for by Housing Conservation Coordinators and MFY Legal Services, not the Hotel Trades Council.

Airbnb also said 95 percent of the company’s entire home hosts only have one listing.

The Hotel Trades Council teamed up with the Real Estate Board of New York to push the passage of a bill in Albany that would increase fines on illegal Airbnb listings.

Ward, in his comments, said he hopes Gov. Andrew Cuomo will sign the bill.

A spokesman for Cuomo emailed in response, “This is one of 554 bills that passed both houses of the Legislature at the end of this session. They are under review by Counsel’s office.”

Read the study here: http://bit.ly/28YROsH

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Posted under Housing, News from BALCONY

Housing activists ramp up campaign against affordable housing developers

June 24th, 2016

By Sally Goldenberg

An activist group that has long criticized Mayor Bill de Blasio’s housing plan is targeting an affordable housing association with a barrage of attacks and a call for all elected officials not to accept campaign contributions from the association.

New York Communities for Change has launched a push to publicly shame the New York State Association for Affordable Housing (NYSAFAH), arguing that the trade organization is responsible for gentrification and the city should rely on nonprofit developers as it increases the stock of below-market-rate housing.
NYSAFAH counts both for-profit and nonprofit developers of below-market-rate housing among its membership, according to its website.

The new campaign, known as “The Real Gentrifiers of NYC,” recently protested outside the Greenwich, Conn., home of a leading for-profit developer of low- and middle-income housing in the city – Ron Moelis of L+M Development Partners.

Moelis is a member of NYSAFAH and a prolific developer. He currently is building the massive Essex Crossing complex on the Lower East Side.

He previously has been the target of construction unions over his preference for non-union workers who work for lower wages.

“NYSAFAH developers often act like the Koch brothers and try to buy elections as a way to rig housing and development policy in their favor. We plan to turn the 2017 election cycle into a major referendum on NYSAFAH developers and the most extreme consequences of their gentrification playbook in our city,” Renata Pumarol, who works for New York Communities for Change, said in a prepared statement.

“Our message is very simple: electoral candidates, especially those who represent and care about low-income communities of color, should think twice before accepting money from NYSAFAH developers,” she added. The group did not have research compiled on exactly how much money the housing association has donated to political campaigns in recent years.

New York Communities for Change also started a website to chronicle its campaign. The site will feature negative profiles of developers – “a rogues’ gallery of greedy bad actors who maximize profit on the backs of poor people of color,” in the words of a press release from the group.

“This is yet another misleading political attack orchestrated by construction unions seeking to increase their market share,” a spokesman for NYSAFAH said. “Their irrational campaign targets those who are already addressing New York’s urgent housing crisis rather than pursuing efforts to create new affordable units. NYSAFAH remains undeterred and our members will continue building more of the low-income housing New Yorkers need.”

The push may seem contradictory: affordable housing advocates slamming the state’s most prominent association of affordable housing developers.

But New York Communities for Change – a spin-off of the now-defunct organization ACORN – has argued for several years that affordable housing built in concert with the de Blasio administration is hurting low-income communities instead of helping them.

The argument, which mirrors a broader criticism of the mayor’s housing plan, is that by aggressively constructing new development in poor neighborhoods, builders are making those areas more attractive to market-rate developers, and eventually long-time residents will be priced out. While NYSAFAH’s members build apartments at below the market rate, the units are available to a range of tenants, some of whom are very poor and others who would be regarded as middle class.

The counterargument from de Blasio and his supporters is that every corner of New York City is being gentrified, and ensuring that some of the new housing is reserved for low-income tenants is the only way to protect them.

Moelis and other for-profit housing developers set their rents based in large part on government subsidies: The more money they receive from the city’s housing agency, the more they can build. Less subsidy means either fewer units or higher rents, because the projects must be cleared for financing from outside lenders.
New York Communities for Change has previously partnered with the city’s construction unions in opposing aspects of the mayor’s housing plan and the trades are likely to join this push as well, a source familiar with the effort said. Photographs from the rally outside Moelis’s house show signs that made reference to “wage theft” and “good union jobs.”

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Cuomo puts affordable housing development in jeopardy

June 16th, 2016

In an otherwise sleepy end-of-session up in Albany, one of the supposed hallmarks of Gov. Andrew Cuomo’s finalized budget this spring – $1.9 billion for affordable housing and supportive housing for the homeless – is being held hostage, potentially jeopardizing an entire year’s worth of affordable housing development throughout the state.

Housing advocates are understandably anxious after state Sen. Jeff Klein emerged from a meeting with legislative leaders to say that it was unlikely a memorandum of understanding would be signed by leaders of the Assembly and Senate to release the money before the legislative session concludes at midnight on Thursday.

The problem is that nobody can really pinpoint why the MOU hasn’t been signed, save for a stalemate over a tax break that would not directly impact affordable housing. Sources say the Real Estate Board of New York is pressuring Senate Republicans not to sign the MOU unless Assembly Democrats support the recently introduced 421-a legislation, while the governor refuses to budge on that bill without an agreement between REBNY and the building trades unions on paying a living wage for developments that use 421-a.

Because of these obstacles, nobody with knowledge of the negotiations at the state level believes that 421-a has a prayer of passing this session, nor does anyone believe that the tax break is directly related to the lack of movement on the housing MOU. After all, even Senate Majority Leader John Flanagan admitted to Politico New York that the tax abatement and MOU “are really separate issues,” and he’s right, at least partially. A good portion of the $1.9 billion budgeted for affordable and supportive housing would go to nonprofit developers that don’t use the 421-a tax break (nonprofit developers have their own tax abatement program, 420-c, that they use in partnership with for-profit developers).

What nobody knows is what Cuomo is looking for in these negotiations. If it’s a strategy to extract concessions from the Senate and Assembly on 421-a, when the clock strikes midnight the governor’s leverage expires. Even more puzzling is that the housing money has already been budgeted for, and would address a pressing statewide issue of working to get 80,000 homeless families and individuals off the street.

A cynical political observer would also point out that as long as Cuomo is hell bent on scoring political victories over New York City Mayor Bill de Blasio – who has already made great progress on developing affordable and supportive housing in the five boroughs – why would the governor not want to move forward with a statewide pipeline of affordable housing?

What we do know is that Klein’s statement that the MOU negotiations are not on “any time frame” is probably true. As Coalition for the Homeless CEO Mary Brosnahan noted in her Daily News op-ed on Thursday, history does not bode well for MOUs getting agreed upon post-session, most recently evidenced by the protracted negotiations over what to do with the JP Morgan Chase settlement money in 2014, which was put into the budget only this year.

The truth is, there is very little political fallout for letting negotiations drag on into the summer or beyond, as your average voter likely won’t notice whether the $1.9 billion has been spent come November. Perhaps there will be movement in August, when the state issues requests for proposals to developers for housing tax credits. Without the capital to pair with those credits, housing deals will be hard to come by and affordable housing development will stall. Is that the end game the governor wants?

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Posted under Housing, News from BALCONY

We Won a Stop Work Order on UES’ Tallest Skyscraper After Zoning Violation

May 26th, 2016

By Ben Kallos, NYC Council Member

Today, the New York Times reported that the Department of Buildings has issued a stop work order for 180 East 88th Street, planned to be the tallest building north of 70th Street at 521 feet, following Monday coverage in the New York Times of a letter I sent last week with Manhattan Borough President Gale Brewer, arguing the building violated the law.

Developer Ordered to Stop Work on Upper East Side Luxury Apartment Tower
By J. David Goodman, May 25 2016

Councilman Ben Kallos and the Manhattan borough president, Gale A. Brewer, who are Democrats and who sent a letter to the city last week flagging the zoning irregularities at the building site and requesting a stop-work order, praised the city’s decision. “I am glad we won before it was too late,” Mr. Kallos said.

The building, which would tower over the surrounding residential neighborhood, listed its entrance on a tiny, 4-foot lot, allowing it to skirt laws and increase its height. Now, it will have to come back to the Department of Buildings with new plans.

Thank you to Community Board 8 Manhattan for focusing on the issue, FRIENDS of the Upper East Side Historic Districts for their advocacy, and last but certainly not least, Carnegie Hill Neighbors for the partnership and investment in planners George M. Janes & Associates who helped identify the underlying legal issues. Even when a Borough President, Council Member, Community Board, neighborhood association, and local residents pool resources, the odds may be against us, but together we can win.

You can learn more from our summary in the press release or in my letter with Gale Brewer to Department of Buildings Commissioner Rick Chandler from last week:

Thank you to everyone who wrote to my office and Commissioner Chandler in opposition to 180 East 88th Street.

I am glad we stopped this loophole before it was too late.

Please share this victory by forwarding it on to your friends and join our fight at http://benkallos.com/petition/stopsuperscrapers

Regards,

Ben Kallos
Council Member
City Council District 5
244 East 93rd Street
New York, NY 10128
BKallos@BenKallos.com
Phone: 212-860-1950
Web: BenKallos.com
Twitter: @BenKallos
Facebook: /BenKallos

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Posted under Housing, News from BALCONY

500 Affordable Units to Rise on Housing Authority Land in Bronx and Brooklyn

May 5th, 2016

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By MIREYA NAVARRO

Moving toward its goal of building 80,000 new affordable housing units over 10 years, the de Blasio administration plans to announce on Thursday that it will lease public housing land to build nearly 500 apartments for low-income tenants, most of them elderly. The apartments will be in three buildings that will rise up to 16 floors in the parking lots and grassland of housing projects in Brooklyn and the Bronx.

New York City has selected three private developers for the buildings at the Mill Brook Houses in the South Bronx and at the Ingersoll Houses and the Van Dyke Houses in Brooklyn. The additions to the grounds of the three housing projects will feature amenities and services like rooftop gardens, arts and technology programs, community centers, preschool education, social services and a walk-in urgent care center, housing officials said.

The agreements between the New York City Housing Authority and the developers are expected to be finalized by the end of the year, with construction expected to start next year and last about two years, officials said.

The sites were included in a strategic plan announced last year by the housing authority that seeks to shore up the deteriorating public housing stock as well as increase the stock of affordable units. The 489 units in the new buildings will charge below-market rents to households earning 20 to 60 percent of area median income — or $12,700 to $38,100 a year for one person — and public housing residents citywide will get preference for 25 percent of the apartments, officials said.

The new services and amenities will be open to both housing authority residents and the residents in the surrounding neighborhoods, officials said.

“We expect that our developer partners are going to integrate these new buildings with the existing community to ensure that residents feel there’s a benefit,” said Shola Olatoye, the chairwoman and chief executive of the housing authority.

Although the city has tapped available public housing land before to build affordable housing, the new construction comes as the city is struggling to keep up with the demand for low-cost housing and the housing authority is facing large deficits. The new all-affordable buildings are the first three of 50 to 60 similar buildings city officials envision on housing authority land; they are expected to generate about 10,000 below-market-rate units, officials said.

The all-affordable buildings are expected to generate up to $200 million in fees from developers over 10 years. But to raise up to three times as much, administration officials also have plans to use land parcels within public housing in prime real estate locations for buildings in which half the units would rent at market rates.

Already, plans for the first two of 30 to 40 of these hybrid buildings envisioned by the housing authority have been announced for housing projects in Brooklyn and Manhattan. But residents weary of gentrification are adamantly opposed to these additions. The concept proved equally controversial when first proposed by Mayor Michael R. Bloomberg.

Residents have been more welcoming of the all-affordable buildings, partly because there is more consensus on the need for housing for the elderly, and housing authority officials have met regularly with tenants to hear their concerns. The developers chosen for the three lower-rent buildings are BFC Partners, a company that builds both affordable and market-rate housing; Dunn Development, an affordable housing developer that has already built on housing authority property in the Bronx; and West Side Federation for Senior and Supportive Housing, a nonprofit provider of senior housing and services in Mott Haven in the Bronx.

The housing authority is leasing the land for the three buildings under 60-year leases that guarantee affordability for at least that long, officials said.

The proposal for “Ingersoll Senior” at the Ingersoll Houses in Fort Greene, Brooklyn, by BFC Partners, consists of a 16-story building with 145 apartments on the site of an unused grass area for people 62 years or older earning up to 60 percent of area median income. It will include a senior center with a large variety of social, health and cultural services.

At the Van Dyke Houses in Brownsville, Brooklyn, Dunn Development plans to build Dumont Commons, a 13-story building on the site of a parking lot with 188 homes for single adults and families earning 30 to 60 percent of area median income. The building will offer a walk-in urgent care and wellness center and many early childhood, prekindergarten and after-school programs, among others.

“It will bring tons of jobs to the community, at least 50 employees for the two health care programs and 33 employees for early childhood and pre-K,” said Martin Dunn, president of the company. “And we are committed to hiring a significant number of Nycha residents for construction jobs,” he said, using the acronym for the housing authority.

Mill Brook Terrace in the South Bronx, by the West Side Federation, will have 156 units within nine floors for low-income older adults. The building, on the site of a current parking lot, will include a senior center, a community room for the use of the neighborhood and a rooftop garden.

The units will be available to applicants earning 20 to 60 percent of area median income.

Asked about the plans on Wednesday, however, some housing authority residents in Brooklyn said they had no knowledge of what was coming.

At Ingersoll, Samantha Newton, 49, said she had heard about the proposed building but she felt that, combined with all the other glassy residential buildings going up in the neighborhood, it would make the area “Little Manhattan.” She said she would rather see money spent on improving the existing buildings.

But another tenant, Gertrude Moore, 71, said: “If they build apartments for seniors, I’ll be glad to go in. I wouldn’t have to worry about kids playing in the hallway, throwing balls against my door, eating in the hallway.”

Still, she worried she may not have enough income to qualify. “Their low is not my low,” she said.

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Gonzalez: NYC’s housing reports so flawed they’re nearly useless

May 3rd, 2016

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Mayor de Blasio is using fuzzy math to tabulate one of his signature projects, the building of new affordable housing units, Controller Scott Stringer said Thursday.

In a letter to de Blasio’s Deputy Mayor Alicia Glen, Stringer said his office found so many errors and omissions in a periodic report required by the City Council since 2012 to track both new affordable units and the subsidies handed to real estate developers that the data are almost useless.

According to Stringer, housing officials have only been listing rent levels for 20% of some 1,000 buildings that are currently in the database and for which a portion of housing units must be affordable.

In some cases, entire buildings that received major city subsidies are not even listed in the database that the Council’s legislation, known as Local Law 44, created.

Take, for example, the huge Atlantic Yards project in Brooklyn developed by Greenland Forest City Partners, Bruce Ratner’s joint venture with a huge Chinese company.

One of the developers’ buildings, 535 Carlton Ave., received $85 million in loans from the city’s Housing Development Corp. and is supposed to offer all units as affordable. Another, at 38 Sixth Ave., benefitted from $93 million in HDC loans and is likewise supposed to be 100% affordable.

But neither building is listed in the latest Local Law 44 report.

“Whether these omissions occur due to the law failing to explicitly require information or through the city’s interpretation of the law, the result is the same,” Stringer said in the letter obtained by the Daily News.

“The public is deprived of basic information necessary to analyze and understand the city’s affordable housing construction efforts,” Stringer said.

De Blasio’s aides immediately dismissed the criticism as an attempt to smear the housing program.

CUOMO VOWS TO REJECT ANY AFFORDABLE TAX CREDIT PROGRAM WITH NO FAIL LABOR PROVISIONS

“There’s not much he (Stringer) gets right in his letter,” said Vicki Been, commissioner for housing preservation and development.

“We are following the law,” Been said. “If the controller has a problem with the law, he should take it up with the Council.”

According to Been, her agency is not reporting on projects that receive financial assistance solely from HDC because it is an “independent agency.”

Independent?

That ignores the simple fact that the majority of HDC’s governing board is made up of City Hall executives, including Been.

In 2014, HDC provided developers nearly $2 billion in affordable housing assistance. By what reading of Local Law 44 should that money not be tracked?

The law specifically defines financial assistance as “any loans, grants, tax credits, tax exemptions . . . or other thing of value allocated, conveyed or expended by the city.”

CITY COUNCIL ADVANCES PLAN TO BUILD THOUSANDS OF AFFORDABLE APARTMENTS IN EAST NEW YORK

The only tax break the City Council specifically excluded from the law’s reporting requirement is the now-expired luxury housing exemption known as 421a.

Given de Blasio’s promise to build and preserve 200,000 units of affordable housing, and all the money being spent to achieve that, there’s certainly a need for one reporting system to track what actually happens.

“Right now, we don’t know how many units are being built, what the rent levels are, how long they are affordable and whether the programs we are funding are actually helping the New Yorkers who need it the most,” Stringer said.

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REBNY pushes 421-a’s significance for below-market-rate housing

April 29th, 2016

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By Sally Goldenberg

Apr. 28, 2016

More than half of the below-market-rate residential projects financed by the de Blasio administration’s housing agency in the past two years used the now-expired 421-a tax break, according to a new analysis from the Real Estate Board of New York.

REBNY, the industry’s lobbying organization, examined public data from the city’s Department of Housing Preservation and Development. It found that of the 156 residential projects with low- to moderate-income apartments the city financed, 50.6 percent received the 421-a exemption, and nearly 10 percent were union projects.

The highest concentration of developments that used 421-a was in Manhattan with nearly 79 percent of the total projects, compared to 55 percent in Brooklyn, 50 percent on Staten Island, 44 percent in Queens and 17 percent in the Bronx.

The report concludes that 421-a, which provided a property tax exemption for residential development, “plays a critical role” in creating low- to middle-income housing, especially where land prices are high.

REBNY was tasked by Gov. Andrew Cuomo with negotiating the future of the tax break with the building trades union after the program sunset last year. The two groups could not reach an agreement on whether to attach a prevailing wage requirement to the tax program, which accounted for $1.1 billion in foregone revenue last year.

Many of the city’s top developers have threatened to stop building rental housing if the tax break is not reinstated.

“New York is a city of renters and a city that continues to grow. It is clear that without 421-a, much less affordable housing will be developed, particularly in those areas of the city where it is most difficult to build,” REBNY president John Banks said in a prepared statement.

In an interview, Gary LaBarbera, president of the Building and Construction Trades Council of Greater New York, which negotiated with REBNY, dismissed the group’s findings as cherry-picked and irrelevant.

LaBarbera said unions build the vast majority of larger residential projects that are not funded by the city, and REBNY only took into account the ones the city finances.

“They’re talking about … small-scale projects and I think they’re doing this as a distraction to the whole upcoming 421-a debate, which is really apples and oranges,” LaBarbera said.

He said the city’s construction unions worked on 79 percent of housing developments that are more than 300 units or larger than 300,000 square feet.

“We’re not in that market that they analyzed. We never said that that’s what we’re talking about,” he said. “To me, it’s a distraction and it’s not really relevant in the 421-a conversation.”

Cuomo recently said he would not support a 421-a bill that is not approved by the trades.

Read the REBNY report here: http://bit.ly/1rDlbKM

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At chaotic council meeting, de Blasio wins affordable-housing requirement

March 24th, 2016

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Boisterous opposition from the gallery could not stop the mayor’s zoning overhaul from sailing through

By Rosa Goldensohn

Mayor Bill de Blasio notched a major win Tuesday, changing the way housing is built in the city through a zoning revision that mandates affordable apartments for the middle class and people aspiring to get there.

His two zoning text amendments sailed through the City Council. A bill mandating affordable housing in newly rezoned areas passed 42-5, and a bill changing height and parking requirements passed 40-6. As protesters railed against the plan from the balcony of the council chamber, members lauded it as the most far-reaching affordable-housing policy in the country.

The mandatory inclusionary housing policy defines de Blasio’s political agenda. It was proposed as a counterweight to the trend of rising residential rents and the displacement of longtime residents from their neighborhoods.

When unveiled last year, the plan got a rocky reception. The amendments were roundly rejected by community boards across the city last fall. The mayor also upset construction unions by refusing to mandate union-level wages on affected projects, and angered community groups that said the planned housing will speed gentrification and be too expensive for the poor.

But despite long lines of critics at City Planning Commission hearings and rallies from some left-wing groups, the proposal gained momentum over the winter. Powerful city unions backed the plan, and business groups including the Partnership for New York City and the Real Estate Board of New York testified in its favor.

The plan insists that developers set aside apartments for lower-income residents in exchange for being allowed to build more market-rate units. The administration also committed billions of dollars in subsidies over the decade-long plan to foster affordability in neighborhoods where the zoning bonus is not valuable enough to support reduced-rent apartments.

The main coalition opposed to the proposal, Real Affordability for All, came on board after the mayor pledged to study its demands for lower-income options. But by that point, it had become clear that the council would approve the plan. Still, other protesters interrupted the Tuesday vote on mandatory inclusionary housing, chanting “City Council vote no, MIH has got to go.” After a struggle with security guards, one protester required medical attention.

A typical development under the proposal would include housing for individuals making $36,300 or $48,400, on average–equivalent to 60% or 80% of the area median income for New York City, respectively. The City Council added to the plan a formula for developers to build units for poorer tenants, but that will be entirely optional.

EXCLUSIVE: Assembly Democrats pushing for $500 million to repair dilapidated NYCHA buildings

March 11th, 2016

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BY KENNETH LOVETT DAILY NEWS ALBANY BUREAU CHIEF

ALBANY — State Assembly Democrats want to spend $500 million over five years for much-needed capital repairs at dilapidated New York City Housing Authority buildings, the Daily News has learned.

“More than 400,000 people reside in NYCHA housing,” Assembly Speaker Carl Heastie said. “The disrepair of this aging infrastructure is well documented. This funding is critical for the New Yorkers who live in these buildings.”

The state set aside $100 million for NYCHA last year, the first state investment in years. But the money was controlled by the state, not the city and NYCHA.

SURVEY SHOWS NYCHA TENANTS WAIT YEARS FOR REPAIRS

Mayor de Blasio last year had set aside $100 million a year in city spending for NYCHA upgrades to leaky roofs and other big infrastructure projects and had hoped the state would match it, which it did not.

The $500 million the Assembly proposes for NYCHA is part of a $2.5 billion, five-year affordable housing plan to be unveiled Friday. The NYCHA spending would be on top of the $100 million the state agreed to spend last year.

NYCHA, in consultation with the state, would control how the money is spent, an Assembly official said.

The plan also rejects Cuomo’s push, opposed by Mayor de Blasio, to require an obscure state board to sign off on all city affordable housing projects funded with tax-exempt bonds.

The Assembly would set aside $50 million for homeless shelter upgrades, including enhanced security.

There’d be $250 million over five years for repairs and improvements at Mitchell-Lama properties, $500 million over five years to build 6,000 supportive housing units statewide, and $44 million for rental subsidies for domestic violence victims.

Heastie (D-Bronx) said the overall plan will “help families remain in their homes and expand affordable housing programs.”

“The housing crisis is affecting so many New Yorkers,” he said. “Near-record numbers are homeless, and still others are living in housing in desperate need of repair.”

Heastie spokesman Michael Whyland said the $2.5 billion, five-year program would be funded with existing money in the state budget.

The overall plan “details the Assembly’s priorities for housing capital” and will be subject to negotiation in the state budget talks with Cuomo and the Senate, Whyland said.

In addition to the housing plan, the Assembly’s budget proposal to be unveiled Friday rejects Cuomo‘s attempt to shift $485 million in CUNY costs on to the city and seeks to boost education aid to localities by $2.1 billion, more than twice what the governor has proposed.

It will also include a call to raise taxes on millionaires while expanding the Earned Income Tax Credit for the working poor and extending middle class tax cuts due to expire in 2017.

Cuomo and the Senate Republicans rejected the idea of raising taxes this year. Cuomo has proposed small business tax cuts while the Senate earlier this week unveiled its own proposal to cut income taxes for the middle class by 25% by 2025.

The Daily News reported on Wednesday the Assembly Democratic budget proposal will also include an anti-poverty initiative they say would make it easier for welfare recipients to become self-sufficient.

Cuomo in January proposed a $20 billion homeless and housing plan, half of which would be to create and preserve 100,000 units of affordable housing statewide.

The other $10 billion, $2.6 billion of which is for new commitments, would be earmarked over the next five years to combat homelessness, including the same 6,000 units of new supportive housing the Assembly Dems are now seeking.

Budget talks among state leaders have been heating up in hopes of having a new spending plan in place by the April 1 start of the new fiscal year.

Unions mount effort to push de Blasio housing plan over the finish line

March 3rd, 2016

Politically powerful labor groups urge City Council members to approve the mayor’s proposals, saying their members would benefit

By Rosa Goldensohn

Leaders from six of the city’s most muscular unions will send letters to City Council members Thursday urging them to support the mayor’s zoning amendments, and saying they will create housing their members can afford.

While council members generally support the plan, some have argued that the income levels for which it would produce housing are too high. The chamber is likely to demand apartments be set aside for even lower-income households than it does now.

But the unions say the majority of the affordable units built under the plan would be within reach of their members, including school maintenance workers, building service workers and nursing assistants. And the apartments designated for those in higher income brackets would serve members including nurses, telephone company technicians, and physician assistants, they wrote.

“Like many other New Yorkers, members of 1199 SEIU, SEIU 32BJ, CWA District 1, DC 37, HTC, and RWDSU are increasingly forced to live far outside of the city we work in or pay rents we can’t afford,” the letter says, referring to unions representing workers in health care, building services, communications, clerical positions and retail, respectively. “Our members will be among the hundreds of thousands of working New Yorkers who will directly benefit from this desperately needed housing plan.”

It is signed by George Gresham, president of the healthcare union 1199; Hector Figueroa from SEIU 32BJ; Peter Ward from the Hotel Trades Council; Henry Garrido from DC 37; Stuart Appelbaum from the retail workers’ union; and Dennis Trainor, who represents the Communications Workers of America.

Those unions are also behind a nonprofit organization, United for Affordable NYC, that was created to rally public support for the mayor’s housing plan.

The proposals will get a vote in March, a City Council spokeswoman said. The administration would require affordable units to be included in any project that benefits from a rezoning. Some critics have said the dwellings would be too expensive and would trigger gentrification and displacement. Mayoral aides have said if too much affordability is required, projects would not be economical and thus would not be built.

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Posted under Housing, News from BALCONY