The Department of Housing and Urban Development (HUD), the City of New York (City) and the New York City Housing Authority (NYCHA) announced an agreement that will address the longstanding issues at the housing authority’s properties.
The agreement establishes specific requirements and milestones to address health and safety hazards at NYCHA properties, including lead-based paint, mold, heat, vermin, among others. It also recognizes the existence of a substantial default by NYCHA but does not impose a receiver.
As part of the agreement, the City is committing at least $2.2 billion in funding over the next 10 years to address these issues, $1.9 billion of which was previously committed by the City for capital improvements. HUD will continue to provide funding to NYCHA, which is estimated to be $1.5 billion this year.
The agreement establishes a federal monitor selected by HUD and the Southern District of New York (SDNY) with input from the City. The monitor, to be announced soon, will submit quarterly reports to HUD and SDNY which will be made publicly available. The City will pay the cost of the monitor in addition to its other financial commitments.
60 days after the appointment of the monitor, the City shall engage a third-party management consultant to examine NYCHA’s systems, policies, procedures and management and personnel structures, and make recommendations to the City, NYCHA and the Monitor to improve the areas examined.
Finally, a list of jointly agreed to candidates for the position of Chair and CEO shall be developed by the City, HUD, and SDNY within 30 days. The City, HUD, and SDNY shall have the opportunity to interview any candidates.
