October 6, 2021
Honorable Kathy Hochul
Governor of New York State
New York State Capitol Building
Albany, NY 12224
Re: Establishment of a New Affordable Housing Five-Year Capital Plan
Dear Governor Hochul,
We are writing on behalf of the undersigned organizations, which represent New York’s leading housing
advocates and experts, to request that you renew New York’s commitment to affordable and supportive housing by
creating a new five-year housing capital plan in the upcoming budget and legislative session. We also encourage you to
sign into law a piece of legislation already passed by the Legislature (S2193/A3807) that would codify funding for a new
five-year capital plan every fifth year thereafter.
We deeply appreciate your recognition of the worsening statewide housing crisis and applaud the many steps
you have taken already as Governor to mitigate that crisis, but the need for greater action is urgent. The statistics are
harrowing. More than half of New York renters spend more than 30 percent of their incomes on rent; of those, nearly
one million spend more than 50 percent.i Since the pandemic, 22 percent of renters are now behind on rent and more
than 1 million families face housing insecurity.ii And even before COVID-19, the state had a shortage of 609,225
extremely low-income homes.iii
A crisis of this magnitude requires bold action and leadership. It is critical that you both reinstitute a five-year
capital plan beginning in 2022 and require New York to do so every fifth year. Doing so will provide predictability for the
affordable and supportive housing industries, allowing them to maximize their ability to meet a growing need. The last
five-year budget commitment that expired last year created 27,112 affordable and supportive units (as of March 31,
2021), materially bettering the lives of thousands of New Yorkers.
We respectfully submit that in order to be successful and fully match the level of need New York currently faces,
a new five-year commitment must include:
1. A substantial increase in affordable housing capital spending. The economic downturn caused by the
pandemic has left behind a dearth of activity and uncertainty in many market sectors. The stimulus that
would be provided by a historic investment in housing construction and preservation alone would help
breathe new life into our economy. Furthermore, the housing affordability and homelessness crisis is here
and addressing it requires a concerted unified effort that begins with strong leadership from the state. We
call for an increase in capital funding across the board, surpassing the last plan’s investment to meet current
needs. (We will follow up with recommendations for funding and programmatic details in the coming
months.)
New York Housing Conference | 588 Broadway, Ste. 1208 New York, NY 10012 | 917-596-7665 | www.thenyhc.org
2. A focus on key policy priorities. From rural municipalities to downstate boroughs, housing needs vary
from one community to another. The diversity of need and unique housing issues that face our state must
be reflected in the investment strategy for mitigating those problems. The next five-year plan must build
on affordable and supportive housing construction and preservation commitments and other
funding categories that have been prioritized in the past: affordable rental housing; supportive housing;
senior housing; public housing; rural housing; affordable homeownership; fair access to
housing; environmental sustainability; and weatherization. Furthermore, emerging areas like electrification
and digital equity that reflect the needs of today must also be included.
3. Budget transparency. For the sake of clarity and accountability, the state should regularly
publish spending data that breaks down capital funds at the programmatic level, just as the capital budget
allocation displays commitments.
These investments are not only the best tools we have to protect vulnerable New Yorkers and end chronic
homelessness, they are also fiscally responsible.
Affordable housing subsidies are largely funded in the capital budget with long-term bonds paid back through
debt service. As a result, costs in the short term are minimal. Furthermore, with a still historically low 30-year treasury
rate of 1.9 percent and New York personal income tax and general obligation bonds rated at AA+ (S&P and Fitch) and
Aa2 (Moody’s), it is sound economics to invest in affordable housing at this time.
This spending is also an economic stimulus and investment, with every 100 units of affordable housing
construction creating 120 construction jobs; 135 indirect and induced jobs; and $43.5 million in direct, indirect, and
induced economic spending. Over the long-term, after construction is completed, those units generate 4 permanent on-
site jobs; 32 ongoing direct, indirect, and induced jobs; and $8 million in sustained economic activity.iv
The pandemic has highlighted the importance of housing in keeping New Yorkers healthy, as housing insecurity
and homelessness increase viral spread and mortality.v A five-year plan – especially one that is codified – will
mitigate current and future public health crises, provide needed economic stimulus, and create a healthier New York.
We would welcome the opportunity to meet with you and/or members of your staff to answer questions or
explain our reasoning in detail. We are confident that by working together, we can provide affordable and supportive
housing to all New Yorkers in need and create the fairest, safest, and most affordable state possible.
Sincerely,
Rachel Fee
Executive Director
New York Housing Conference
In partnership with the following organizations:
Citizens Housing and Planning Council
New York Housing Conference | 247 West 37th Street, New York, NY 10018 | 917-596-7665 | www.thenyhc.org
Corporation for Supportive Housing (CSH)
Community Preservation Corporation (CPC)
Enterprise Community Partners
Habitat for Humanity NYC and Westchester County
Leading Age New York
LiveOn NY
Local Initiatives Support Corporation New York City (LISC NYC)
New York State Association for Affordable Housing (NYSAFAH)
New York Housing Conference
New York State Public Housing Authorities Directors Association (NYSPHADA)
New York State Rural Advocates
Supportive Housing Network of New York (SHNNY)
Rural Housing Coalition of New York
CC: Honorable Andrea Stewart-Cousins
Majority Leader, New York State Senate
Legislative Office Building, Room 907
Albany, NY 12247
Honorable Carl Heastie
Speaker, New York State Assembly
Legislative Office Building, Room 932
Albany, NY 12248
Honorable Brian Kavanagh
Chairman, Senate Housing Committee
Legislative Office Building, Room 512
Albany, NY 12247
Honorable Steven H. Cymbrowitz
Chairman, Assembly Housing Committee
Legislative Office Building, Room 943
Albany, NY 12248
i
https://nlihc.org/resource/new-research-indicates-evictions-increase-covid-19-cases-and-deaths
New York Housing Conference | 247 West 37th Street, New York, NY 10018 | 917-596-7665 | www.thenyhc.org
ii
https://www.osc.state.ny.us/reports/osdc/new-york-state-rent-relief-funding-spotlight-new-york-city
iii
https://nlihc.org/housing-needs-by-state/new-york
iv
http://24cekndak1x120m2a2tln95l-wpengine.netdna-ssl.com/wp-content/uploads/2021/02/Five-Year-Housing-Plan-Letter-
Final.pdf
v
https://www.jchs.harvard.edu/ARH_2017_cost_burdens_by_state_total
New York Housing Conference | 247 West 37th Street, New York, NY 10018 | 917-596-7665 | www.thenyhc.org
