NYCHA and the Choices for Preserving Public Housing
Iziah Thompson
For decades the New York City Housing Authority (NYCHA) and its residents have been facing a difficult present and an uncertain future. Starvation federal funding and cumulative disinvestment at every level of government have left the city’s public housing in a state of worsening physical disrepair and financial stress. But for the first time, NYCHA residents can choose their own path to preservation. They can decide, through a voting process, how they want their development to be treated.
They have three options:
• Renovation through RAD/PACT conversion.
• Renovation through Preservation Trust conversion.
• Remain HUD Section 9 public housing.
Previously, residents had no choice, no veto rights over a NYCHA-planned RAD conversion. This is an unprecedented, welcome move to strengthen the resident role in the preservation decision process. As NYCHA moves in these directions, it is effectively embarking on a new plan, one with the potential to address its daunting infrastructural deficits even in the absence of major, new federal commitments—a plan with a wider range of preservation strategies and a strengthened, more decisive role for residents in the process.
Where Residents Are Now
In August 2022, the CSS Unheard Third Survey asked grassroots NYCHA residents which of the three options they currently preferred.
The results were as follows:
- Not enough information to answer (39%)
- Renovations through the RAD/PACT program (29%)
- Renovations through the Trust (18%)
- Keep my development in the Section 9 program (13%)
Before any development faces the preservation decision process, it is crucial that residents are informed and provided with evenhanded, reliable, resident-friendly information about their choices.
Our new report "Preserving New York City's Public Housing: Future Choices" addresses this issue by comparing each option's potential advantages and disadvantages.
Let's discuss a few of these, starting with Section 9
Section 9 is the current funding platform for public housing.
Some potential advantages
- The tenant pays only 30% of their income
- The rent is unlikely to increase
- Opportunities for resident management
Some potential disadvantages
- The repairs depend on limited public subsidies
- The resident doesn't have any role in contractor selection
- The tenant cannot apply for housing choice vouchers that can be used in the private market
The RAD/PACT Program
The RAD/PACT Program makes it possible to raise capital from new funding sources.
Some potential advantages
- Needed repairs could happen in just 2 to 3 years
- Opportunities for permanent and time-limited jobs for residents
- Residents have the right to participate in contractor selection
Some potential disadvantages
- Risk of rent increases
- Residents can apply for transfers but just within the same development
- Requires use of a new private manager
The Preservation Trust
The Preservation Trust creates a public-benefit corporation to take over some developments.
Some potential advantages
- NYCHA remains the manager of the development
- Funding per unit is higher than in Section 9 and PACT-RAD
- Opportunities for permanent and time-limited jobs
Some potential disadvantages
- Risk of rent increases
- Since NYCHA is going to manage the Preservation Trust, repairs requests will continue to be made through NYCHA Call Center
Now that residents can exercise choice in deciding on the future of their developments, they need to be fully informed about their options and maximally engaged in the election process. Resident associations will play a central role in helping make that happen. NYCHA can be expected to engage residents at each selected development, describe and compare the three options, and respond to questions and concerns. Residents should also have access to independent, reliable information and support from resource organizations that regularly provide technical and organizing assistance to NYCHA communities.
