Governor Releases SFY 2023 Executive Budget

Categories: Funding, New York State

Governor Releases SFY 2023 Executive Budget image


The Governor released the SFY 2023 $216.3 billion Executive Budget yesterday. It includes substantial provisions, many of which the Network advocated for, to help existing supportive housing programs as well as continuing to expand new supportive housing development across New York State.

Below is the Network’s first glimpse of the budget. We will update our members as we learn more details.

For Existing Programs:

A Cost Of Living Adjustment (COLA). The Executive Budget includes a 5.4 percent, across-the-board COLA to human services providers in FY 2023. The COLA applies to OMH, OASAS, OCFS, OTDA, OPWDD and SOFA voluntary operated programs. At this time, the NYS Supportive Housing Program (NYSSHP) funded at OTDA is not included in the COLA.

Increased Funding for Existing Office of Mental Health Housing Programs. The Executive Budget makes a two-year commitment of an additional $104 million - $65 million in FY 2023 and $39 million in FY 2024 – for existing community-based residential programs across NYS including contracts administered by DOHMH in NYC. OMH plans to distribute these funds in part by extending property pass-through provisions to OMH’s unlicensed residential programs – including scattered site programs – to offset rising property costs.

Healthcare and Mental Hygiene Worker Bonuses. As part of Governor Hochul’s plan to grow the healthcare workforce by 20 percent over the next five years, bonuses will be provided to frontline direct care and clinical workers in the Mental Hygiene sector. The Executive Budget includes over $200 million in State resources to fund these bonuses for the community workforces providing services on behalf of OMH, OASAS and OPWDD. This retention program will provide an up to $3,000 bonus to full-time workers who remain in their positions for one year, and pro-rated bonuses for those working fewer hours.

Increased Funding for the OTDA Homeless Housing Prevention Services Program (HHPS). HHPS is funded at $47,981,000 which is a $2.8 million increase from last year.  HHPS funds the New York State Supportive Housing Program (NYSSHP), the Solutions to End Homelessness Program (STEHP) and the Operational Support for AIDS Housing (OSAH) Program. 
Increased Funding for Nonprofit Infrastructure. The Executive Budget provides an additional $50 million for the Nonprofit Infrastructure Capital Investment Program. The Nonprofit Infrastructure Capital Investment Program (NICIP) makes targeted investments in capital projects that improve the quality, efficiency, and accessibility of nonprofit human services organizations that provide direct services to New Yorkers.
Minimum Wage. The Executive Budget leverages an additional $40.7 million in State funds to support minimum wage increases for staff at nonprofits’ programs that are licensed, certified, or otherwise authorized by OPWDD, OMH, and OASAS.

Expanding New Housing Capital:

New 5 Year Affordable Housing Plan. The Budget advances a new $25 billion, five-year Housing Plan to create and preserve 100,000 affordable homes, including 10,000 supportive housing units.

Funding includes $5.7 billion in capital resources, $8.8 billion in State and Federal tax credits and other federal allocations, $11 billion to support the operation of shelters and supportive housing units and to provide rental subsidies. The plan expands on existing State programs and creates new ones, including providing $4.5 billion in capital funding for the following:

Office of Temporary and Disability Assistance Homeless Housing Assistance Program (HHAP). The budget also funds the Homeless Housing Assistance Program at $128 million, same as last year.

Homes & Community Renewal Housing Trust Fund. HCR also funds the Housing Trust Fund at $44.2 million as in previous years.

Office of Mental Health Preservation Capital Program. The final budget includes $60 million to maintain and preserve existing OMH community-based residential facilities.

Hotel Conversion
The budget includes language allowing any Class B hotel located within or near a residential zoning district in New York City to use the existing certificate of occupancy to convert to permanent residences, as long as the units are subject to applicable rent stabilization laws and agreements. Alterations must follow regulations for Class B hotels.

The Legislature will now convene a series of budget hearings and begin negotiating with the Governor to have a final budget completed by April 1. We will update our members with advocacy activities over the next several months. 

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