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NYS Budget Provides Funding for Five Years of Supportive & Affordable Housing

04.07.2017

This is a great day for New York.


Speaker Heastie, Governor Cuomo, and Majority Leader Flanagan

The Network would like to thank Governor Cuomo, Speaker Heastie, and Majority Leader Flanagan for funding five years of supportive and affordable housing to address New York’s homeless and affordable housing crisis.  On behalf of our community, our more than 200 supportive housing providers and the thousands more vulnerable homeless people they will now be able to serve, thank you.  This is a great day for New York.

The final FY2017-2018 budget details:

5 YEAR HOUSING & HOMELESSNESS PLAN

A total of $2.5 billion, including a re-appropriation of last year’s $1.97 billion, is contained in a 5 year housing and homelessness plan that includes funding for 6,000 units of supportive housing and 100,000 units of affordable housing. This final budget ends the requirement included in last year’s budget that the Executive and Legislative leaders negotiate a Memorandum of Understanding (MOU) in order to spend the money.    The programs listed in the budget as part of this $2.5 billion appropriation include:

  • Supportive Housing. $950 million for the construction of 6,000 or more supportive housing units throughout the State;
  • New Construction. $472 million for new construction or adaptive reuse of rental housing affordable to households that earn up to 60 percent of area median income (AMI);
  • Senior Housing. $125 million for developing or rehabilitating affordable housing targeted to low-income seniors, aged 60 and above;
  • Rural and Urban Community Investment Fund (CIF). $45 million for mixed-use affordable housing developments that may  include retail, commercial or community development components;
  • Middle Income Housing. $150 million for new construction, adaptive reuse, or reconstruction of rental housing affordable to households that earn up to 130 percent of AMI;
  • Affordable Housing Preservation. $146 million for substantial or moderate rehabilitation of affordable multi-family rental housing currently under a regulatory agreement;
  • Mitchell-Lama Rehabilitation. $75 million to preserve and improve Mitchell-Lama properties throughout the State;
  • Public Housing. $125 million for substantial or moderate rehabilitation and/or the demolition and replacement through new construction of public housing authority developments outside of New York City;
  • Small Building Construction. $62.5 million for rehabilitation and/or the demolition and replacement through new construction of buildings of 5 to 40 units;
  • Home Ownership. $41.5 million for promoting home ownership among families of low and moderate income and stimulating the development, stabilization, and preservation of New York communities;
  • Mobile and Manufactured Homes. $13 million for mobile and manufactured home programs;
  • Main Street Programs. $10 million for stimulating reinvestment in properties located within mixed-use commercial districts located in urban, small town, and rural areas of the state;
  • New York City Housing Authority (NYCHA). $200 million for projects and improvements related at housing developments owned or operated by NYCHA.
  • New York City Preservation and Development. $100 million for preservation of multifamily housing with a preference for not-for profit agencies with community development experience.

In addition to the capital funding, $124.5 million for service and operating expenses for the first 6,000 units over the next 5 years was also re-appropriated from last year’s budget. This includes $74.5 million from JPMorgan settlement funds and an additional $50 million from last year’s budget.  There is no new funding committed for services and operating in this year’s budget.

Office of Temporary & Disability Assistance

  • Homeless Housing Assistance Program (HHAP) - $64 million ($500,000 INCREASE)
    The budget funds the HHAP capital development program at $64 million which is a $500,000 INCREASE from last year. A new provision added to this year’s budget allows up to $1 million of HHAP funding to be used for emergency shelter repairs in local social services districts with a population of less than five million. Also, while not part of this appropriation line, it should be noted that HHAP did not receive any additional MRT funding.  Until last year, $10 million in MRT capital had been added to HHAP in each of the previous 3 years.
  • Homeless Housing Prevention Services Program  - $35.38 million ($600,000 INCREASE)
    The budget increased the Homeless Housing Prevention Services (HHPS) Program by $600,000 from last year’s final budget.  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. 

HOMES & COMMUNITY RENEWAL

  • Housing Trust Fund - $65.2 million  ($11 million INCREASE)
    The budget INCREASED the Housing Trust Fund by $11 million, up from $54.2 million last year.  These funds can be used for capital construction of both supportive and affordable housing.

OFFICE OF MENTAL HEALTH

  • Provide $10 million to Enhance Support for Existing Residential Programs. The budget increases funds for supported housing and single residence occupancy programs.

OMH/OASAS/OPWDD WORKFORCE

  • Increased salaries for direct care, direct support professionals who work in OPWDD, OMH and OASAS funded programs by 3.25% this January 1, 2018 and by another 3.25% in April 1, 2018. Increased salaries for clinical staff working in those same community agencies by April 1, 2108.
  • The budget invested $17 million to support the direct cost of FY 2018 minimum wage increases for direct care, direct support, and other workers at not-for-profits that provide services on behalf of OPWDD, OMH, and OASAS.
  • The budget language defers the COLA increase for 2017 until 2018.

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