De Blasio and Carson ink new deal for NYCHA oversight

Feds install powerful monitor over the housing agency

New York /
Jan.January 31, 2019 03:10 PM

Ben Carson and Mayor Bill de Blasio shake hands after signing an agreement intended to correct mismanagement of the NYCHA (Credit: Getty Images)

Housing Secretary Ben Carson visited New York Thursday to announce a new federal monitor for NYCHA, the city’s public housing authority that has settled federal litigation over mismanagement of tens of thousands of subsidized apartments.

Mayor Bill de Blasio signed the settlement agreement at a press conference with Carson at the Jacob Javits Federal Building in Manhattan. The agreement allows HUD to install a monitor overseeing NYCHA’s management and requires the city to make an additional investment of $2 billion over the next five years, the New York Times reported. NYCHA says its needed capital repairs total about $32 billion.

Under new federal oversight, NYCHA will have to meet deadlines for its clean-up of identified hazards at its 334 developments across the city. According to the Times, the new monitorship will also lead to the replacement of NYCHA’s current interim chairman, Stanley Brezenoff.

Mishandling of lead paint inspections led to an investigation by U.S. Attorneys for the Southern District of New York. Prosecutors accused NYCHA of repeatedly covering up its mismanagement problems over a period of years. A full federal takeover of NYCHA was one possible outcome, but Thursday’s agreement doesn’t quite go that far.

NYCHA, which houses 1 in 14 New York City residents, is the country’s largest public housing authority. Citing inadequate funding, the agency has recently moved to sell some of its land and air rights to real estate developers. It is also looking to have private landlords manage 62,000 units, which would be converted to Section 8 housing.

Last year, the Trump administration proposed an 18 percent cut to the Department of Housing and Urban Development, which would have included the elimination of federal funding to NYCHA for capital repairs.

“I’m very excited about what we have agreed to here,” Carson said Thursday, “because I think it sets a great precedent for what could be done around the country.” [NYT] — Will Parker


Related Articles

arrow_forward_ios
Secretary of the Department of Housing and Urban Development Ben Carson (Credit: Getty Images and iStock)

“Rich people are going to get richer anyway”: HUD Secretary Ben Carson dismisses concerns that Opportunity Zones will only benefit rich people

“Rich people are going to get richer anyway”: HUD Secretary Ben Carson dismisses concerns that Opportunity Zones will only benefit rich people
Vanke US managing director Kai-yan Lee, RFR’s Aby Rosen and 100 East 53rd Street (Photos via Foster + Partners and Getty)

Vanke seeks to remove RFR from Midtown condo project

Vanke seeks to remove RFR from Midtown condo project
Hippo founders Assaf Wand and Eyal Navon (LinkedIn)

Home insurance startup Hippo raises $350M

Home insurance startup Hippo raises $350M
Prices increased 6.6 percent year-over-year in September (iStock)

US home prices surged 6.6% in September

US home prices surged 6.6% in September
From left: Edison Properties CEO Robert Selsam, Ironstate Development's Michael Barry, Stellar Management founder Larry Gluck (LinkedIn; Gluck Family Foundation)

These developers could benefit the most from Soho’s rezoning

These developers could benefit the most from Soho’s rezoning
176 North 6th Street and 16 South Portland Avenue in Brooklyn (StreetEasy; Google Maps)

Brooklyn luxury market surges with nearly $73M in contracts

Brooklyn luxury market surges with nearly $73M in contracts
1045 Madison Avenue and 300 Central Park West (The Benson; Wikipedia Commons)

Manhattan luxury market shows signs of progress with 25 deals

Manhattan luxury market shows signs of progress with 25 deals
TikTok's biggest stars include (from left) Bryce Hall, Griffin Johnson, Addison Rae, Charli D'Amelio and Dixie D’Amelio (Getty)

Firm that manages TikTok party houses goes public

Firm that manages TikTok party houses goes public
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...