Preconsidered Res. No. 1735
Resolution calling upon Congress to pass and President George W. Bush to approve a second economic stimulus package that includes $5 billion in supplemental funding for the Public Housing Capital Fund.
By Council Members Mendez, Dilan, Barron, Brewer, Fidler, James and Weprin
Whereas, The New York City Housing Authority (NYCHA) is the largest public housing agency (PHA) in the country; and
Whereas, NYCHA has 344 projects containing 2,691 buildings spread throughout the City; and
Whereas, NYCHA provides affordable housing for approximately 414,000 tenants residing in approximately 180,000 apartments; and
Whereas, Testimony from the Chairman of NYCHA before the New York City Council on May 29, 2008, indicated that NYCHA was going to transfer $75 million from their capital budget to their operating budget to help balance a budget deficit of $195.3 million in Fiscal Year (FY) 2008; and
Whereas, NYCHA will receive only 81.7 cents on the dollar in federal operating subsidy in FY 2008, and has been shortchanged by $502 million in federal capital subsidies since FY 2001; and
Whereas, The reduction in federal funding has forced NYCHA to reallocate its existing resources and forgo needed capital repairs; and
Whereas, A recent study by the consulting firm, Parsons Brinkerhoff, estimated that NYCHA’s backlog of unfunded capital needs is approximately $6 billion; and
Whereas, NYCHA has identified $500 million in capital projects for which it would be able to quickly issue requests for bids should funds materialize; and
Whereas, A recent study by the Econsult Corporation found that for every dollar spent on capital and maintenance projects, $2.12 in economic activity is usually generated in the surrounding community; and
Whereas, NYCHA has estimated that the aforementioned $500 million in capital projects would generate $3.174 billion in economic activity in the New York City metropolitan area and, according to the New York City Building and Construction Trades Council, would result in an estimated 3,500 new jobs, some of which could be filled by public housing residents; and
Whereas, Testimony from the Chairman of NYCHA before the New York City Council on October 29, 2008, indicated that NYCHA was going to proceed with a $107 million elevator modernization program, which would replace approximately 500 elevators at 30 projects, while deferring other needed capital projects; and
Whereas, Enacting a second stimulus package that includes $5 billion in contributions to the Public Housing Capital Fund would provide NYCHA an opportunity to obtain much, if not all, of money necessary to implement its elevator modernization project without jeopardizing other needed capital repairs; now, therefore, be it
Resolved, That the Council of the City of New York calls upon Congress to pass and President George W. Bush to approve a second stimulus package that includes $5 billion in supplemental funding for the Public Housing Capital Fund.
LS# 6864
BJG
12/12/08