The NYC Council’s Progressive caucus and Black, Latino and Asian caucus, together with a group of advocates, held a rally at City Hall on Thursday, April 30, to call for the immediate expansion of the CityFHEPS program, described as “a lifeline for New Yorkers facing homelessness.”

 

As reported, and according to NYC Human Resources Administration (HRA), the CityFHEPS (City Fighting Homelessness and Eviction Prevention Supplement) program is rental assistance that helps people and families find and keep housing.

 

HRA officials said it pays part of eligible tenants monthly rent anywhere in New York State for up to five years and is administered by NYC Department of Social Services (DSS), which includes both NYC Department of Homeless Services (DHS) and NYC Human Resources Administration (HRA).

 

Groups in attendance at the rally, including VOCAL-NY, who advocate for the incarcerated population, WIN, the largest provider of family shelter and supportive housing in New York City, the Legal Aid Society, Make the Road NY, and a broad coalition of other advocates called on the City to include funding in the Financial Year 2027 budget for the program’s expansion, and for NYC Mayor Zohran Mamdani to drop a lawsuit that began with a veto by former NYC Mayor Eric Adams on the implementation of the 2023 expansion law.

 

The City’s budget was due on May 1 but has been delayed, as has the State budget, which was due to be finalized since April 1. At least some of the sticking points revolve around differences of opinion about how to fund housing, healthcare and other programs, which progressives calling on moderates to tax the rich, as reported.

 

On April 15, Gov. Kathy Hochul proposed a pied-à-terre (“foot on ground”) tax in what was described as support for NYC Mayor Zohran Mamdani’s efforts to close New York City’s budget gap. According to the governor’s office, the proposal targets luxury second homes in New York City valued at $5 million or more, allowing the city to levy a yearly tax surcharge aimed at ultrawealthy, non-New York City residents. The aim is to generate much needed revenue for the city without impacting every day New Yorkers.

 

According to Decode Real Estate NYC, foreign nationals own a notable but focused portion of New York City housing, with foreign buyers accounting for 15-18% of high-end Manhattan condo transactions and roughly 10% in certain Brooklyn neighborhoods. The new tax proposal is expected to generate at least $500 million a year in recurring revenue for the City.

 

According to those who attended the City Hall rally, the 2023 CityFHEPS reforms expanded the program to households at risk of eviction in the community, increased the income limit for homeless households, removed work requirements, and extended eligibility to homeless households in non-DHS shelters.

 

They said homeless New Yorkers were deeply disappointed in Mamdani’s “reversal and abandonment” of campaign promises when he filed an appeal on March 24 to the New York Court of Appeals.

 

“After five years, I stopped counting how long I had been in the shelter system,” said Milton Perez, a homelessness union leader at VOCAL-NY. “Without CityFHEPS, I might still be there. That’s why we’re calling on Mayor Mamdani to fulfill his promise to homeless New Yorkers by dropping the lawsuit and urging the Council to include expansion in this year’s budget.”

Perez said every day the fight continues, more New Yorkers face eviction, more households are stuck in shelters, and alleged the City spends more on keeping people homeless than it would cost to house them. “The longer this fight drags on, the more New Yorkers pay the price for a broken promise,” he said.

 

VOCAL-NY, alongside coalition partners, had organized to pass the 2023 reforms but they were overridden by the Adams’ veto. VOCAL-NY officials said they have been supporting the council and The Legal Aid Society in their two-year-long litigation for implementation of the reforms.

 

For her part, City Council Speaker Julie Menin said with tens of thousands of New Yorkers at risk of eviction and the shelter system under immense strain, there was a need to focus on solutions that work. “CityFHEPS has proven to be a more effective and fiscally responsible way to keep families housed,” she said. “It’s beyond time to move forward with expanding the program so we can deliver real relief and stability for New Yorkers.”

 

Local Bronx City Council Member Pierina Sanchez (C.D. 14), who represents some or all of the Bronx neighborhoods of and who is chair of the city council’s committee on housing and buildings, said, “New Yorkers deserve stable, dignified housing, and CityFHEPS is one of the most effective tools we have to deliver that.”

Lead-sponsor of Local Laws 101 and 102 of 2023, Sanchez continued, saying, “Every day this appeal continues, families are harmed. Since the Council passed these laws, more than 42,000 evictions have taken place, an estimated 25,000 of which could have been prevented, while thousands remain in shelter, unable to access a permanent home.”

 

She added, “The data is clear: we are spending over $4 billion a year on shelter, while CityFHEPS serves more people at a fraction of the cost and stabilizes families. This is not just inefficient, it is indefensible. In communities like mine, where most families are one income shock away from losing their homes, housing stability is the foundation of safety, health, and opportunity.”

 

She said when New York City fails to keep people housed, it sees the consequences in schools, in the health system, and in neighborhoods. “The status quo is unacceptable,” she said. “The mayor must drop the appeal, come to an agreement, and fund the expansion of CityFHEPS in the FY27 budget. New Yorkers cannot wait.”

The group were also supported by several other City Council members from across the City, including, City Council Majority Leader Shaun Abreu (C.D. 7), representing Manhattan, and Deputy Whip Elsie Encarnación (C.D. 8), representing some or all of the Bronx neighborhoods of Mott Haven-Port Morris, Melrose, Concourse-Concourse Village, as well as Upper East Side-Carnegie Hill, Upper East Side-Yorkville, East Harlem (South), East Harlem (North), and Randall’s Island.

 

Manhattan Council Member Christopher Marte (C.D. 1), co-chair of the Black, Latino, and Asian caucus (BLAC), said, “Expanding CityFHEPS is one of the clearest, most humane, and most fiscally responsible steps this City can take to confront homelessness. It costs New York City far more to keep families in shelters than to help them secure permanent housing, yet tens of thousands of New Yorkers remain locked out of the very program that could keep them housed.”

 

He added, “A commitment was made to implement these reforms, and now the administration must follow through by dropping the lawsuit and fully funding CityFHEPS expansion in the FY27 Budget. New Yorkers need stable homes, not more delays.”

 

Bronx Council Member Shirley Aldebol (C.D. 13), who broadly represents the East Bronx, and is a former trade union leader, said for generations, the labor movement had fought for the basic dignity and security that every working person deserves – fair wages, a safe workplace, and a chance to build a stable life for themselves and their families.

A BREAKDOWN OF the CityFHEPs program Exhibit 4 Source: City Council Member Pierina Sanchez (C.D. 14)

VOCAL-NY officials described the fiscal and human cost of homelessness by referencing the Mayor’s Management Report and the latest NYC Housing and Vacancy Survey (HVS), adding that it costs the City $8,106 per month to house a single family in a shelter, while the median citywide rent was $1,641 per month. They said it costs the City, on average, five times more to keep people in shelters rather than supporting them with permanent housing.

A BREAKDOWN OF the CityFHEPs program Exhibit 5 Source: City Council Member Pierina Sanchez (C.D. 14)

A BREAKDOWN OF the CityFHEPs program Exhibit 6 Source: City Council Member Pierina Sanchez (C.D. 14)

 

As reported, several new housing developments, described as “affordable” by NYC Department of Housing, Preservation & Development (HPD), have opened in The Bronx in recent years.

 

Yet, with advertised rents of, for example, $3,234 for a one-bedroom unit, or $3,069 for a studio, compared to average Bronx incomes of, for example, $25,000/annum in City Council District 14, represented by City Council Member Pierina Sanchez, in reality, such new housing is anything but affordable, despite the increase in supply.

 

For some prior related reporting on the topic of housing, click here, here, here, here, and here,