Thousands of New Yorkers living in Mitchell-Lama housing developments could soon see their rents increase, but tenants and several City Council members say they want answers before any major hikes move forward.
The issue took center stage during a City Council hearing Wednesday, where residents and lawmakers pressed officials from the city's Department of Housing Preservation and Development (HPD) over the financial health and conditions of Mitchell-Lama properties.
Created in the 1950s, the Mitchell-Lama program has provided affordable housing for working- and middle-class New Yorkers for decades. Now, some residents are facing proposed rent increases of up to 30%.
During the nearly three-hour hearing, council members questioned how developments overseen by government agencies for years could fall into financial and physical distress.
"How can housing that has been continuously supervised by the government fall into such severe financial and physical distress?" one council member asked.
Concerns about building conditions have been mounting for years.
News 12 has previously reported on complaints from Mitchell-Lama tenants who say living conditions inside some developments have steadily deteriorated. Earlier this month, residents at a Coney Island complex described ongoing problems including rodents, mold, overflowing garbage, broken elevators and a prolonged lack of gas service.
Despite those concerns, HPD officials told lawmakers that rising operating costs are placing significant financial pressure on Mitchell-Lama developments.
"The Mitchell-Lama portfolio has experienced massive increases in operating costs, as seen across all types of affordable housing," said Adam Phillips, HPD's first deputy commissioner. "Insurance premiums have skyrocketed. Utility costs are increasing. Salaries for maintenance and building staff have increased significantly."
However, after hours of questioning about building conditions, financial oversight and the scope of rent increases across the portfolio, several council members said they were frustrated by what they viewed as a lack of detailed answers from HPD.
"We sent a letter on June 25, and I'd like to just get an update on some of the questions that we asked in that letter," City Council Speaker Julie Menin said during the hearing.
Under state law, there is no cap on rent increases for Mitchell-Lama units. HPD is the agency responsible for reviewing and approving requests for rent hikes.
Council members said they plan to continue pressing HPD for more information, saying residents deserve greater transparency as the agency considers rent increases that could significantly impact thousands of New Yorkers.