Mayor Zohran Mamdani has appealed a court ruling requiring New York City to expand its City Fighting Homelessness and Eviction Prevention Supplement (CityFHEPS) rental assistance program, reversing his campaign promise to drop the lawsuit and implement the expansion. The move comes after negotiations with the City Council and housing advocates failed to yield a compromise before a court-imposed deadline.
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CityFHEPS currently serves more than 65,000 households, allowing tenants, many transitioning from shelters, to pay roughly one-third of their income toward rent while the city covers the remainder. The 2023 City Council laws would have expanded eligibility to those facing eviction but not yet in shelters, raised income thresholds, and removed work requirements. Estimates from the city’s Independent Budget Office suggested the full expansion could add 47,000 households, potentially costing over $4 billion annually by 2030.
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Mamdani’s administration argues the City Council lacked authority to enact the expansion and cited the program’s projected costs as unsustainable amid a multi-billion-dollar budget gap. Joe Calvello, the mayor’s spokesperson, emphasized the city remains committed to reaching a settlement, noting, “We are committed to reaching a settlement that keeps New Yorkers stably housed and delivers a balanced budget. We came to the table in good faith. But in the absence of an agreement so far, we are proceeding in accordance with the court’s timeline.”
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Housing advocates criticized the appeal as a betrayal of the mayor’s campaign promise. Christine Quinn, CEO of Women in Need, remarked, “It is unconscionable that the mayor would even propose ideas that weed out people who are languishing in shelters because they don’t qualify for benefits.” Legal Aid called the city’s arguments “unsound” and “regrettable,” emphasizing the need for vulnerable residents to access housing support.
Council members also voiced frustration. Pierina Sanchez, Chair of the Council’s housing committee, pointed out that delays in implementing the expansion continue to harm families in need. Despite the legal dispute, negotiations over potential settlements or phased expansions may continue as the city navigates both state and municipal budget processes.
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