City Lost Funding By Not Charging Homeless for Rent

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Yesterday, news of the city's plan to charge the working homeless rent for staying in shelters was attacked by critics. But it turns out that NY State is the one behind the plan. State law requires that shelters charge rent, but the city had trouble complying and apparently lost state funding. City Hall spokeswoman Jessica Scaperotti told us, "The State disallowed funding to NYC (in the amount of $2.4 million) because the City was not collecting. We are instituting the program to avoid further penalty."

The city attempted to enforce the law last year, but was met with criticism and potential lawsuits. The Bloomberg administration then "temporarily suspended" the program, with hopes that the "technical issues" could be worked out in the near future. But now the opposition is rising, threatening to shut down the program once again.

The Legal Aid Society points out that the working homeless would be better off if they could save money to move out of shelters. The Working Families Party has put up a petition on their website, calling for an end to the "misguided" plan. Spokesman Dan Levitan said, "Charging rent to the homeless is like denying healthcare to people with pre-existing conditions. It's cruel, counterproductive, and just downright bizarre. New Yorkers who hear about this policy are rightfully shocked."

The city estimates that about 15% of all shelter residents will need to contribute. Contributions are on a sliding scale, and increase exponentially as earnings rise above the poverty level. The program will start in September, with the first payment due October 1st.

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By Jaya Saxena in News on April 14, 2010 1:55 PM

Comments [rss]

Fadlo K. Shell

Can a NYC mayor be impeached or removed from office?

Jonathan Rosen

Mayor Bloomberg's spokeswoman is being disingenuous at best. The Bloomberg administration is actively lobbying against legislation sponsored by Assemblyman Keith Wright and Senator Daniel Squadron (A.8353D – Wright and S.5605B – Squadron) that would release the city from the state policy and prohibit the city from collecting rent. The regulation Scaperroti refers to has been in place since 1995. Except for a brief, disastrous couple of weeks last year, the city has never enforced it. Deputy Mayor Linda Gibbs is actively lobbying in Albany to block the Squadron and Wright legislation and has fully embraced in public testimony this policy. The city can’t have it both ways – if they are doing this under duress from the state – why are they working furiously to stop legislation to block this policy?

horseplay

Really? I just figured that mayor bloomturd had his hopes in motion of closing homeless shelters and using that so desired space to build luxurious condos for the rich (bloomturd's friends) and classy lavish hotels for the tourists (not new yorkers)

Gothampc

"Spokesman Dan Levitan said, "Charging rent to the homeless is like denying healthcare to people with pre-existing conditions."

Can someone explain this analogy. I know they don't teach logic as a subject in school anymore, but I'm missing the analogy.

really!?!?

agreed. the proper analogy would be "Charging rent to the homeless is like charging people with pre-existing conditions for their premiums"

Both groups of people unfortunately are not in the best situation, but they both are required to pay for the goods and services they use.

Or the converse "Denying homeless people access to homeless shelters is like denying health care to people with pre-existing conditions." Which is true. But I don't think anyone will argue that just because someone has a pre-existing condition doesn't mean they should get health care for free; just because someone is homeless doesn't mean they shouldn't have to pay for the bed they occupy.

horseplay

And you're saying you completely understand the sick idea of charging the homeless for rent?

Gothampc

I'm not making a judgement one way or the other. I'm just saying I don't understand the parallel of charging the homeless and denying healthcare. There's no parallel between those two situations.

Elizabeth

In addition to getting that state funding, this plan will also save the city money, since instead of paying rent, people will just opt to move out of the shelters and back onto the street, and so some of the shelters will be able to shut down. Perfect!

horseplay

Oh boy! I cant wait until all the minority hating, anti-poor, pro- bloomturd white washed chinks and the usual evil racist whites (unlike myself), to get behind their keyboards and start expressing their pleasure of the idea of attacking the poor.