The following statement comes from member organizations of the New York Neighbors Coalition in response to the proposed One-House budgets.
New York state leadership must act now to start moving the needle on our affordable housing crisis including addressing a severe lack in the number of homes. We need to build over 800,000 new homes in the next decade to meet current and future housing needs. Every year that passes without a significant scale-up means further delay in making sure New Yorkers can find stable and affordable housing.
The New York Neighbors coalition is glad to see continued interest in finding solutions to our on-going housing crisis, which continues to create challenges for New Yorkers across the state. While there are a few proposals being considered in this budget - such as making it easier to build ADUs, working with faith-based organizations, utilizing state-owned, lifting the 12.0 FAR cap in NYC and others, we remain concerned that these proposals are not ambitious enough, or even worse, will get watered down or removed during the budget negotiation process. This would be yet another setback during a time of crisis. Moreover, many of the proposals focus on addressing supply issues in New York City. While that is essential, especially with a low 1.4% rental vacancy rate, we need a statewide framework that ensures we meet our housing production needs at scale.
Our housing troubles are not simply about a compromise to address tenant needs and ensure developers can make projects financially feasible in New York City. Our lack of statewide mechanisms to further fair housing entrenches exclusionary policies and perpetuates our legacy of segregation. Too many communities that have seen tremendous investments in infrastructure and enjoy access to jobs and good education are able to keep New Yorkers out.
We continue to attract new industries, creating new economic hubs across the state. Our State’s natural beauty continues to attract tourists and locals who set up secondary homes so they can be a part of those communities. We continue to invest in transportation systems and need to create more opportunities where sustainable transit is viable.
But none of this will be successful without addressing the core need for more housing options. Tourism communities rely on seasonal workers who are struggling to find affordable housing. Young families are unable to afford housing in places they grew up, forcing families to relocate away from their roots. Older New Yorkers are limited in their ability to age in place. New developments that could provide the amenities they need or policies to legalize accessory dwelling units to subsidize their housing costs are often opposed, forcing them to live in unstable situations or find housing solutions outside of New York.
Below, we detail our position on the many housing-supply related proposals that have been discussed this session in the executive and one-house budgets. We hope you will consider our concerns and work to pass the most robust package possible this session. As always, our organizations stand ready to support you.
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The following proposals have been discussed in some parts of the executive or one-house budgets. They represent the limited options focused on housing supply this session. Much more needs to be done, but our coalition stands ready to support efforts in each of these areas.
ADUs:
Accessory dwelling units (ADUs) are a critical and affordable option on the menu of new housing. These types of units blend more easily within a low-density context, and are a great way to support a range of housing needs - for example, ADUs can help subsidize housing costs for elderly New Yorkers on fixed incomes or provide supportive housing for family members with neurodiversity needs who want to live independently.
We are disappointed that both houses have decided not to support granting NYC the authority to legalize and regulate basement apartments. Housing insecurity forces many vulnerable New Yorkers into precarious housing situations, where they have to choose between unsafe living conditions or being homeless. Over a dozen people died in basement apartments in NYC due to Hurricane Ida in 2021 as a result of unsafe conditions. Giving the City the authority to create a program and regulations to bring these units up to health and safety standards is a common sense strategy to limit tragedy and address the reality of our housing crisis.
We were pleased to see a proposal to establish a statewide ADU incentive program that would also provide temporary tax relief for owners that create ADUs. This proposal complements the existing Plus One ADU Program and the Pro-Housing Community Program from HCR. We would like to see more funding for the Plus One ADU Program, and an expansion of education around the program to help more communities understand the opportunity it presents.
Incentives for municipalities that have or may pass laws to allow for ADUs are an important first step. However, such incentives will not be enough to persuade the most stubborn communities from continuing to be a roadblock for homeowners and renters who would otherwise take advantage of this option.
12.0 FAR Cap:
We are in favor of allowing more mixed-income housing to be built within the urban core by enabling New York City to lift the 12 Floor Area Ratio (FAR) cap. We should ensure the cap is lifted when there is action to rezone an area for more residential density. This would both ensure that any new housing is mixed-income housing, as New York City must apply a Mandatory Inclusionary Zoning (MIH) component with any residential upzoning, and also let the City be intentional about the form of any new buildings. We have estimated that if the 12 FAR cap is removed, and high rise neighborhoods are zoned with MIH, New York City could produce over 30,000 units of income-restricted housing.
The buildings that are most often cited as concerns when it comes to this proposal - super tall luxury towers without any affordable housing - have all been built as-of-right under current rules. Instead of luxury supertalls, lifting the 12 FAR cap and rezoning for added density would let New York City prioritize the mixed-income housing we desperately need in these high-market areas.
We are disappointed that the Assembly drops this proposal and we are concerned that the Senate’s proposal to carve out historic districts will limit our ability to convert buildings otherwise primed for affordable housing. New York City’s ability to shape its neighborhoods shouldn’t be contingent upon a law enacted in Albany more than 60 years ago. A repeal of this outdated law would allow the city to meet its housing needs while tailoring solutions to the different needs and capacities of each neighborhood.
USDA Section 515 Properties:
Thousands of low-income rural New Yorkers utilize affordable rental housing that has been created through the USDA Section 515 program. This loan program helped build hundreds of units across the state, serving over 15,000 New Yorkers. Unfortunately, with mortgages maturing, many of these properties are at risk of losing their affordability requirements. Only 1 in 4 units of housing in rural areas are rentals, which means the loss of this source of affordable rental housing will create a significant burden for the vulnerable groups that rely on these units for stable housing.
We support the Senate’s proposal to fund USDA 515 affordable rental housing preservation with a $25 million investment of state funds. We hope the Assembly and Executive are able to come to agreement on this critical need to avoid furthering our housing crisis for some of the most vulnerable New Yorkers.
Faith-Based Affordable Housing Act (FBAHA):
Faith-leaders all over the state have seen the harm the affordable housing crisis is doing to their communities and want to be part of the solution. The Faith-Based Affordable Housing Act (S.7791 / A.8386) empowers houses of worship in urban centers to build contextual, mixed-income and 100% affordable housing on the land they already own, most of which is currently zoned for commercial use.
The Act would help these organizations serve their mission and become more financially stable.
We were pleased to see the Senate include language pertaining to the FBAHA. We hope the Assembly and Executive are able to work with the Senate to include the legislation in the FY2025 budget.
Pro-Housing Community Program:
Requiring municipalities to secure the pro-housing certification in order to access certain state funds gives more teeth to financial incentives in boosting housing supply. The program will be a useful measure to understand which localities are serious about addressing the housing crisis and gives such towns an advantage in accessing state funding. We were disappointed to not see this effort mentioned in the Senate and to see its provisions weakened in the Assembly budget.
Single-Stair:
Allowing single-exit and single-stairway multi-unit residential buildings – which are currently against code – will help lower the cost of construction and is a simple, common-sense reform that could help spur production.
We are encouraged to see the Senate advance the Governor’s recommendation to require the State Fire Prevention and Building Code Council to study and adopt regulations that would allow for single-stairway residential buildings of at least six stories. We hope the final budget includes language to support this effort so we can reduce costs and lower housing prices.
State-Owned Sites:
Since we have limited options when it comes to addressing housing needs outside of the City, we were glad to see the push to utilize state-owned land to build housing. We are pleased to see that the legislature and executive seem aligned on goals to utilize state-owned land to develop more housing. We hope language will be included in the final budget to ensure we maximize this limited opportunity, and that development undertaken showcases best practices in sustainability, design and community building to serve as an example for other localities to implement.
Additional funding and support programs:
We are supportive of the Senate and Assembly proposals to expand the Housing Access Voucher Program. This support is critical to assist tenants grappling with housing insecurity and escalating housing costs. However, without addressing the underlying supply challenges in a more structural way, expansion of this program will not guarantee New Yorkers the ability to find housing to utilize the voucher.
We support the Senate and Assembly proposals to return $40 Million to the budget for the Homeowner Protection Program (HOPP) to help stabilize homeownership especially for those at risk or going through foreclosure.
The Senate’s proposed $40 million infill program for new affordable homeownership in upstate cities is a good program to further sustainable development by taking advantage of existing vacant lots. Efforts should be made to prioritize multi-family homes to further reduce costs and increase housing supply, especially since many small multi-family homes can easily conform contextually to low-density areas.
With the decline of brick-and-mortar retail and hybrid work arrangements, commercial spaces in other parts of the state are also struggling. We are pleased to see the Senate advance a proposal to create an optional multifamily tax exemption for new construction and commercial conversions outside of New York City.
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The most impactful proposals in the FY2025 budget focus heavily on New York City, but the City cannot solve the housing crisis for the state. Our coalition is guided by the following principles that we hope you will consider as you continue to negotiate:
A statewide framework is critical to meaningfully and equitably addressing our housing supply needs at scale.
Every community has a role to play in providing stable and affordable housing
Sustainable development must be prioritized to promote the wellbeing of New Yorkers and achieve our climate goals
We must stop the abuse of using land use regulations as a barrier and instead streamline sound development
We must protect vulnerable New Yorkers by implementing measures to prevent displacement
We must reduce housing cost burdens and make housing across the state more affordable
Thank you again for all that you do for New Yorkers. We stand ready to provide resources and support your efforts to address our state’s housing crisis. Together, we can ensure all New Yorkers have safe and affordable housing.
Signed New York Neighbors members:
American Institute of Architects New York (AIANY)
Anti-Discrimination Center
Asset Funders Network
Better Housing for Tompkins County
Builders Patch
Building & Realty Institute of Westchester and Mid-Hudson Region
Catholic Homes New York
Catskill Center
Citizens Budget Commission
Citizens Housing and Planning Council
City of Kingston
CNY Fair Housing
Community Development Corporation of Long Island
East End YIMBY
ERASE Racism
Galvan Foundation
Habitat for Humanity NYC and Westchester
Habitat for Humanity of New York State
Habitat for Humanity of Tompkins and Cortland Counties
Home HeadQuarters
Housing Assistance Program of Essex County
Housing Help Inc.
Hudson River Housing
Ithaca Neighborhood Housing Services, Inc.
Lantern Organization
Local Initiatives Support Coalition NY (LISC)
Long Island Housing Coalition
Long Island Housing Services
Minority Millennials
Neighborworks Community Partners
Neighborhood Preservation Coalition of New York State, Inc. (NPCNYS)
New York Building Congress
New York Housing Conference
New York League of Conservation Voters
New York State Association for Affordable Housing
New York State Council of Churches (NYSCOC)
Niskanen Center
Nonprofit Westchester
Open New York
Partnership for NYC
Pointe of Praise Family Life Center
Regional Plan Association
Riders Alliance
RiseBoro Community Partnership
RUPCO
Rural Housing Coalition
Supportive Housing Network of New York
The Community Preservation Corporation
Transportation Alternatives
Tri-State Transportation Campaign
Up for Growth
Welcome Home Westchester Campaign
Win NYC
Westchester County Association
