Resolution calling upon the New York State Legislature to pass and the Governor to sign A. 344 in relation to Mitchell-Lama and Project-Based Section 8 developments.

By Council Members Mendez, Williams, Chin, Gibson, Kallos, Lander, Levin, Levine, Rodriguez, Rose and Menchaca

Whereas, The New York State Legislature created the Mitchell-Lama Housing Program in 1955 to provide affordable housing for moderate and middle income households; and

Whereas, The federal government created Project Based Section 8 in 1974, administered by the United States Department of Housing and Urban Development (HUD), to provide affordable housing for low income households; and

Whereas, After 20 years of participation in the Mitchell-Lama Housing Program, property owners can pay off or conventionally refinance their mortgages and leave the program; and

Whereas, After 20 years of participation in the Project Based Section 8 program, property owners can elect not to renew their contract with HUD and leave the program; and

Whereas, Except for buildings receiving public subsidies that have restrictions for affordable housing, buildings that were first occupied on or after January 1, 1974, are not subject to rent and eviction protections offered by Emergency Tenant Protection Act; and

Whereas, Mitchell-Lama and Project Based Section 8 developments first occupied on or after January 1, 1974, could opt-out of such programs in the future, which could allow property owners to increase the rents to unaffordable levels for most of their residents; and

Whereas, According to the 2014 Housing and Vacancy Survey, New York City is currently in an affordable housing crisis and has a housing vacancy rate of 3.45 percent; and

Whereas, The low vacancy rate will make it difficult for Mitchell-Lama and Project Based Section 8 tenants to find comparable units if they must relocate; and

Whereas, A.344, currently pending in the New York State Legislature, sponsored by Assembly Member Rosenthal, amends the Emergency Tenant Protection Act of 1974 by allowing the City to expand rent regulation to housing accommodations that cease or have ceased to be Mitchells Lamas or to receive project-based section 8 rental assistance; now, therefore, be it

Resolved, That the Council of the City of New York calls upon the New York State Legislature to pass and the Governor to sign A. 344 in relation to Mitchell-Lama and Project-based Section 8 developments.

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LS # 3893 and LS # 4184

2/17/2015

7:14 PM

JLC