[BwayDems] City Council Moves to Stall Land Leases at Public Housing

[Paula Diamond Roman]

City Council Moves to Stall
Land Leases at Public Housing
New York Times, Mireya Navarro, October 10, 2013 

http://www.nytimes.com/2013/10/11/nyregion/city-council-moves-to-stall-land-leases-at-public-housing.html?ref=nyregion&_r=1&

 
The
New York City Council and a group of tenants sued the Bloomberg
administration on Thursday over plans to lease land in public housing
developments for the creation of market-rate apartments. 
 
The
lawsuit, filed in State Supreme Court in Manhattan, stems from a long-running
controversy over the New York City Housing Authority’s proposal to raise
revenue for repairs and capital projects by allowing private developers to
build on the grounds of eight public housing projects in Manhattan. 
 
Housing
officials have given developers a Nov. 18 deadline for proposing ideas —
so-called expressions of interest — but it was unclear whether they would be
able to select construction projects before the change in administration that
will follow the November mayoral election. 
 
Lawyers
for the plaintiffs say the lawsuit is intended to forestall any deals with
developers before Mayor Michael R. Bloomberg’s term is over. 
 
“The
city has the ability to designate a developer and tie the hands of the incoming
administration,” said Steven Banks, attorney-in-chief of the Legal Aid Society,
which is representing the tenants. “The new administration would be without
remedy.” 
 
Democrat
Bill de Blasio, the leading candidate for mayor, has not ruled out developing
land owned by the housing authority, but he has said he favors building
affordable housing, not market-rate units. The public housing system has more
than 400,000 residents and $6 billion in unmet capital needs. 
 
The
Council objected to being left out of the decision-making regarding the plan to
build on public housing grounds. In their lawsuit, the plaintiffs seek to have
the city rescind the request for expressions of interest. They argue that under
state law, housing officials have no authority to lease public housing land for
high-income residents and that they must submit their plan to the Council for
approval. 
 
“There’s
still a need for more low- and middle-income housing, and that should be the
city’s priority,” said Rosie Mendez, who heads the Council’s committee on
public housing. 
 
In
response to the lawsuit, the housing authority issued a statement saying that
it “has heard significant interest from developers and looks forward to
receiving their proposals next month.” 
 
“It’s
unfortunate that the City Council is attempting to block a proposal that would
generate significant revenue for the New York City Housing Authority — money
that would go directly into developments and repairs for residents,” the
statement said.
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