Rising Family Homelessness in NYC: What the Next Mayor Can Do. Center for New York City Affairs Policy Forum November 20, 2013

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1 Rising Family Homelessness in NYC: What the Next Mayor Can Do Center for New York City Affairs Policy Forum November 20, 2013

2 Rising Family Homelessness in NYC In September, an average of 52,351 homeless people slept each night in NYC shelter system up 69% since current mayor took office. Includes 12,464 homeless families up 80% since mayor took office. Includes 22,136 homeless children up 69% since mayor took office. Homeless families & kids nearly four-fifths (79%) of NYC shelter population.

3 Rising Family Homelessness in NYC Avg. shelter stays for families with kids now 13 ½ months (409 days). African-American and Latino New Yorkers disproportionately impacted by homelessness shelter residents 57% African-American, 31% Latino. Research documents harmful effects of homelessness on children s health and education avg. school attendance rate of homeless students in shelters only 83%. 28% of homeless families are working, but in low-wage jobs.

4 ,000 50,000 45,000 Number of Homeless People Each Night in the NYC Shelter System, September 2013: 52,351 40,000 35,000 30,000 25,000 20,000 15,000 10,000 Source: NYC Department of Homeless Services and Human Resources Administration and NYCStat, shelter census reports

5 Number of Homeless Families Each Night in NYC Shelter System, ,000 September 2013: 12,464 10,000 8,000 6,000 4,000 2,000 0 Source: NYC Department of Homeless Services and Human Resources Administration and NYC Stat, shelter census reports

6 Number of Homeless People Each Night in the NYC Shelter System, September ,044 22,136 Total NYC Municipal Shelter Population: 52,351 19,171 Children Adults in Families Single Adults Source: City of New York, NYCStat

7 Rising Family Homelessness in NYC NYC housing affordability gap growing wider. Unemployment rate still high in NYC, higher in Bronx and Brooklyn where most lowincome New Yorkers live. From , during economic downturn, NYC median apartment rents went up 8.5% but median renter incomes fell 6.8%. 78% of low-income renters have high rent burdens.

8 NYC's Widening Housing Affordability Gap, (Percentage Change in Rents and Incomes) 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% -2.0% -4.0% -6.0% -8.0% -10.0% 8.5% Median Rents Median Renter Incomes -6.8% Source: U.S. Census Bureau data from NYU Furman Center report (August 2013)

9 Rising Family Homelessness in NYC NYC now spends more than $1 billion/year on homeless shelter and services up 85% under current mayor. Avg. annual cost to shelter a homeless family is $37,600 up 23% since mayor took office. More than half of all NYC homeless families now reside in for-profit shelter (hotels/motels & cluster-site units). 1 of 6 homeless families in shelters nationwide is in NYC.

10 85% Increase in Homeless Services Expenditures Under Current Mayor (NYC Department of Homeless Services Expenses in Millions) $1,000.0 $1,001.4 $800.0 $600.0 $540.2 $400.0 $200.0 $0.0 Source: NYC Office of Management and Budget

11 More NYC Homeless Families in For-Profit than Not-for-Profit Shelter, % 17% Hotels & Motels (families w/kids) 21% Cluster-Site Shelter (families w/kids) 49% Family Shelters (families w/kids) Hotels & Motels (childless families) Source: NYC Department of Homeless Services

12 Rising Family Homelessness in NYC Recent policy failures a major cause of rising & record NYC homelessness. Under Mayors Koch, Dinkins & Giuliani the City targeted Federal housing resources (e.g. public housing) to help homeless families get homes. Current administration ended that policy in 2005, claimed that number of families entering shelters would decline. But the number of families entering shelter system increased significantly after 2005.

13 ,183 2,010 2,743 3,202 2,857 3,035 2,852 2,880 3,537 4,042 3,646 3,530 3,418 3,975 3,615 5,777 Fewer Homeless Families Helped by Federal Housing Aid, (No. Moved from Shelters with Public Housing and Sect 8 Vouchers) 6,000 5,000 4,000 3,000 2,000 1, Source: Mayor's Management Report and NYC Department of Homeless Services

14 6,346 5,757 6,392 8,159 9,664 9,012 8,991 10,255 11,808 10,704 14,182 13,543 12,056 13,465 15,748 Number of Homeless Families Entering NYC Shelters, ,000 14,000 City Cuts Off Homeless Families from Federal Housing Programs 12,000 10,000 8,000 6,000 4,000 2, Source: NYC Department of Homeless Services

15 Rising Family Homelessness in NYC Current mayor replaced Federal programs with temporary rent subsidies (HSP and Advantage) in 2005, then eliminated all housing aid in Since 2005, more and more families entering shelters are formerly-homeless. Before 2005, 1 in 4 families entering shelter was formerly-homeless now 63%. 8,500 former Advantage families with 18,000 children have returned to shelter system half of all Advantage families without rent subsidies.

16 Percentage of All Families Entering NYC Shelters Who Were Formerly-Homeless 70% 63% 60% 50% 40% City Cuts Off Homeless Families from Federal Housing Programs 37% 39% 45% 40% 40% 49% 55% 30% 29% 22% 24% 25% 27% 24% 26% 20% 10% 0% Source: NYC Department of Homeless Services YTD

17 Shelter Return Rates for Time-Limited and Non-Time-Limited Housing Aid 50% 49.4% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Advantage program* 3.9% 4.1% All Subsidized Housing** Section 8 Voucher** 1.4% NYCHA Public Housing** Source: *NYC Department of Homeless Services (through Aug. 2013), **Vera Institute, "Understanding Family Homelessness" (2005)

18 Rising Family Homelessness in NYC Koch 10-year housing plan set aside 10% of apartments for homeless people (15,700 apts.). Koch plan set aside 63% of apts. for very-lowincome households. Current mayor s 10-year housing plan set aside only 4% of apartments for homeless people (4,800 apts.). Current mayor s plan set aside only 34% of apts. for very-low-income households.

19 ,204 1,181 1,392 2,071 1,908 Fewer Homeless Families Aided by City-Assisted Housing, (Number Moved from Shelters to City-Subsidized Apartments) 2,000 1,500 1, Source: Mayor's Management Report and NYC Department of Homeless Services

20 Solutions to Homelessness in NYC Mayor-elect de Blasio and his new administration can build on proven housing-based solutions to the problem of homelessness. Research & evidence overwhelmingly show that longterm subsidized housing reduces family homelessness. Wealth of research & experience point to success and cost savings from permanent supportive housing for homeless people living with special needs. Solutions endorsed by United to End Homelessness coalition of 130 groups.

21 Solutions to Homelessness in NYC Housing-based solutions: 1. Resume priority referrals of homeless families to public housing and Section 8 vouchers (at least 2,500 families/yr. to public housing). 2. Partner with State to create a new rental assistance program modelled on Section 8 vouchers. 3. Partner with State on a New York/New York IV Agreement to create permanent supportive housing. 4. New NYC housing plan should set aside at least 10% of apartments for homeless New Yorkers.

22 Solutions to Homelessness in NYC Eliminate barriers to shelter and punitive policies: 1. Eliminate bureaucratic barriers to shelter for homeless families at intake centers. 2. Rescind proposed shelter-denial rules for homeless adults. 3. Reform shelter sanction termination rules to protect families, children, and people living with disabilities. Reform shelter system: 1. Phase out use of apartment buildings as temporary shelter and use of commercial hotels & motels.

23 Solutions to Homelessness in NYC Expand homelessness prevention: 1. Enhance funding for homelessness prevention programs, including legal services and eviction prevention services. 2. Expand access to prevention rent subsidy programs (e.g., FEPS program). 3. Enhance rent-increase exemption programs to assist seniors and tenants living with disabilities (SCRIE and DRIE programs).

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