Categories: New York State
01.22.2025
On Tuesday, January 21st, Governor Hochul released her 2025-26 Executive Budget, totaling $252 billion, a 3.6% increase over last year.
The proposed budget contains several items that will directly impact supportive housing, as well as key programs for behavioral health and affordable housing.
Office of Temporary and Disability Assistance (OTDA)
- New York State Supportive Housing Program (NYSSHP) increases of over 40% totaling an additional $17.8 million
- The Homeless Housing Assistance Program adds $25 million, increasing to $153 million.
Empire State Supportive Housing Initiative (ESSHI)
- Proposed rate increases for new programs from $25,000 per unit to $31,000 per unit, with an additional $3,000 per unit in the NYC Metropolitan Area.
- This may effectively delay the next ESSHI request for proposals until after the budget passes.
Behavioral Health
- A 2.1% increase for most behavioral health contracts. This includes Offices of Mental Health, Addiction Services and Supports and People with Developmental Disabilities. No additional programs are added by the Governor.
- An $11.9 million increase in state Office of Mental Health (OMH) targeted to rate increases for Supported Housing
- Funding for up to seven new Clubhouses in Upstate New York
- New Peer Bridger and INSET Outreach Team
Homes and Community Renewal
- The Executive Budget continues Governor Hochul’s historic $25 billion five-year housing plan to create and preserve 100,000 affordable homes, including 10,000 homes with support services.
- The budget continues to fund the Housing Trust Fund at $44.2Million.
- New in 2026:
- The State Low-Income Housing Credit is doubled to $30 million.
- The budget amends the State Historic Property Tax Credits by removing restrictions, allowing for the State credit to be transferred and exempts projects from the low-income census tract limitations for affordable housing purposes.