Council members Brannan and Sanchez scrutinize NYC HPD's $1.6 billion budget proposal

The New York City Council's Finance and Housing Committees convened today to scrutinize the Department of Housing Preservation and Development's (HPD) proposed FY26 budget, revealing a stark reality: a nearly $90 million cut, amounting to almost 20%, at a time when the city grapples with a severe housing crisis. Council member Justin Brannan, chair of the Finance Committee, emphasized the urgency of the situation, stating, "We can all agree we're in a housing crisis. Families are being priced out. NYCHA is crumbling."

The proposed budget stands at $1.6 billion, which Brannan criticized as insufficient to address the pressing needs of New Yorkers. He pointed out that HPD is facing nearly 400 vacancies, which he argued exacerbates the housing crisis. "If you don't have the people to get the work done, the housing crisis will only get worse," he warned, calling for immediate action to fill these roles and increase capital investments in affordable housing projects.

Council member Pierina Sanchez, chair of the Housing and Buildings Committee, echoed these concerns, highlighting the imbalance between landlords and tenants and the need for significant investments to combat the crisis. She noted that only 1.3% of the mayor's budget is allocated to HPD, questioning the administration's commitment to addressing the housing needs of the city.

Despite the challenges, there was a glimmer of hope with the announcement of nearly $50 million in funding over three years for supportive housing, aimed at transitioning 5,800 units to better serve those in need. However, Sanchez pointed out critical gaps in the budget, including a lack of funding for enhancing HPD's litigation team and the need for substantial resources to hold negligent landlords accountable.

As the council members pressed for a more robust budget, they called on Mayor Adams and the administration to partner with them to create a budget that truly addresses the housing crisis. "We need your partnership," Sanchez urged, emphasizing the need for a pro-housing, pro-tenant, and pro-affordability approach.

The discussions today underscored the urgent need for action as New York City faces a pivotal moment in its housing policy. The council's commitment to advocating for more resources and support for HPD could shape the future of affordable housing in the city, but the path forward remains fraught with challenges.