Categories: Funding, New York State
03.14.2022
The NYS Senate and Assembly released their one house budget proposals over the weekend. Below is an updated summary on how both proposals compare to the Governor’s proposed budget.
In general, both houses agreed with the Governor on both capital and services/operating funding levels for supportive housing but have some counter proposals to the overall five year affordable housing plan and human services COLA. There were no proposed cuts to existing programs. Here is our first glance. We will keep you posted as we learn more.
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 however, but doesn’t include the OTDA NYS Supportive Housing Program (NYSSHP). The Assembly proposes an 11% COLA and proposes making it permanent attached to the CPI every year. It also adds NYSSHP to the list of eligible programs. The Senate accepts the Governors 5.4 percent cost-of-living adjustment for eligible programs for SFY 2023 and provides an additional 5.4 percent adjustment for eligible programs in SFY 2024. It does not include NYSSHP as an eligible program. The Network has been advocating for inclusion of NYSSHP workers in the COLA and making those increases permanent and would like to thank the Assembly for including this essential workforce in their one house and making the COLA permanent moving forward.
Empire State Supportive Housing Initiative. The Governor’s budget funds ESSHI at $110 million. Both the Assembly and Senate accept this proposal.
Increased Funding for Existing Office of Mental Health Housing Programs. The Executive Budget funds $65 million in SFY 2023 for existing community-based residential programs across NYS including contracts administered by DOHMH in NYC. The Assembly and Senate both accept the additional $65 million.
OMH Property Pass Through. The Governor’s budget proposes extending property pass-through provisions to OMH’s unlicensed residential programs – including scattered site programs – to offset rising property costs. The Senate and Assembly both accept this proposal.
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. The Assembly and Senate both accept this funding increase.
Healthcare and Mental Hygiene Worker Bonuses. The Executive Budget includes over $200 million in State resources to fund 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. The Senate and Assembly both accept this proposal.
Capital Funding:
New 5 Year Affordable Housing Plan/10K Supportive Housing Commitment. Both the Assembly and Senate accept the Governor’s proposal for a new 5 year affordable housing plan but offer varying programs within the plan. The Governor, Assembly and Senate all agree on $1.5 billion for the construction of 7,000 new supportive housing units and the rehabilitation of existing 3,000 supportive housing units. In addition, the Assembly also includes language codifying an affordable housing plan to be developed every five years, starting in SFY 2027.
Office of Temporary and Disability Assistance Homeless Housing Assistance Program (HHAP). The executive budget funds the Homeless Housing Assistance Program at $128 million, same as last year. Both the Assembly and Senate accept this proposal.
Homes & Community Renewal Housing Trust Fund. HCR funds the Housing Trust Fund at $44.2 million as in previous years. Both the Assembly and Senate accept this proposal.
Office of Mental Health Preservation Capital Program. The executive budget includes $60 million to maintain and preserve existing OMH community-based residential facilities. The Assembly and Senate both accept this proposal.
Hotel Conversions. The Governor’s budget included 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. The Senate and Assembly both omit this proposal and instead propose $150 million in additional funding for the Housing Our Neighbors with Dignity Act and propose it be used statewide.
NEW Legislative Proposals:
Housing Access Voucher Program. The Senate and Assembly both add $250 million for the Housing Access Voucher Program which would provide rental assistance in the form of vouchers to individuals who are homeless or facing imminent risk of becoming homeless.
Emergency Rental Assistance Program (ERAP). The Senate adds $1.6 billion for ERAP using federal funds. In the absence of reallocated federal funding, the Senate will provide State funds to backfill any shortfalls up to $1 billion using criteria laid out in the Landlord Rental Assistance program (LRAP). The Assembly also increases funding for ERAP by $1.25 billion and $400 million for LRAP.
What’s Next?
Both houses will be voting on their one house budget bills imminently and negotiations between the Executive and Legislature will begin this week with the goal of passing a budget by April 1st.
Thank you to everyone who advocated on many of the proposals outlined above. Stay tuned for how you can continue to advocate on the COLA and ensuring NYSSHP be included.