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DIVISION OF HOUSING AND COMMUNITY RENEWAL


                         Adjusted      Executive    Legislative                       
                           Approp.        Request        Approp.
                           2000-01        2001-02        2001-02        Change


STATE OPERATIONS
  General Fund          30,422,000     33,196,200      31,796,200   (1,400,000)
  Special Rev.-Fed.      7,642,000      8,696,500       8,696,500             0 
  Special Rev.-Other    44,711,000     45,926,500      45,926,500             0 
  Total for 
  STATE OPERATIONS:     82,775,000     87,819,200      86,419,200   (1,400,000)

AID TO LOCALITIES
  General Fund          70,457,149     59,533,000      71,439,731    11,906,731 
  Special Rev.-Fed.     81,525,000     83,450,000      83,450,000             0 
  Fiduciary             10,000,000     10,000,000      10,000,000             0 
  Total for 
  AID TO LOCALITIES:   161,982,149    152,983,000     164,889,731    11,906,731 

  Capital Projects 
     Fund              121,200,000    105,200,000     125,200,000    20,000,000 
  Total for 
  CAPITAL PROJECTS:    121,200,000    105,200,000     125,200,000    20,000,000 

Agency Mission

The Division of Housing and Community Renewal (DHCR) supervises, maintains and develops affordable housing for New York State residents. This is accomplished by providing construction and rehabilitation loans and grants, administering rent control, rent stabilization and rent subsidy programs and supervising management of State assisted housing stock.

Year-to-Year Change

The Executive requests appropriations totaling $346,002,200 for State Fiscal Year (SFY) 2001-02, a decrease of $19,954,949 or 5.5 percent from SFY 2000-01 levels. State Operations appropriations of $87,819,200 represent an increase of $5,044,200 from SFY 2000-01. Aid to Localities appropriations total $152,983,000, a decrease of $8,999,149 from SFY 2000-01, while Capital Projects appropriations total $105,200,000, a decrease of $16,000,000 from SFY 2000-01.

Legislative Changes

Reject capital transfer of Homeless Housing Assistance Program (HHAP). $(30,000,000)   CAPITAL

The Assembly plan rejects the capital transfer of the HHAP from the Office of Temporary and Disability Assistance (OTADA) to DHCR. A transfer could disrupt the nexus of capital and support services which are provided under this program.

Reduce Affordable Housing Directory appropriation. $(1,000,000)   ST/GEN

The Executive's $1,800,000 appropriation for the creation of a web-site is reduced due to high consulting and personnel costs. In addition, the Executive has not clearly stated how and where the directory will be utilized.

Reject HHAP administration appropriation. $(400,000)   ST/GEN

This appropriation for administration is not necessary due to the transfer of HHAP back to OTADA.

Legislative Proposals

The Assembly provides additional capital and local assistance funding to DHCR as a part of a comprehensive housing package to help rebuild and revitalize housing in New York State. The Assembly plan increases the commitment of the State to affordable housing development for low- and moderate-income families, the homeless, and the elderly by increasing housing capital appropriations by $50,000,000 in 2001-02.

The Assembly plan proposes increasing operating aid to Neighborhood Preservation Corporations (NPCs) by $5,810,000. This shall be for additional operating expenses as determined most useful by each NPC and shall be provided to all eligible NPCs in a single appropriation that includes their base contract amount. The Assembly proposal also raises the statutory funding cap to $100,000 and authorizes the Commissioner of DHCR to enter into a contract with the Neighborhood Preservation Coalition to provide technical assistance and services. The Coalition contract for technical assistance and services shall be at least $150,000.

The Assembly plan also includes $2,400,000 in operating aid for Rural Preservation Companies (RPCs).

The Assembly plan restores $1,296,731 in Periodic Subsidies to various public housing authorities to assist them in meeting operating expenses and to prevent the shifting of additional public housing costs to local governments.

The Assembly plan also restores $450,000 in funding for the Public Housing Drug Elimination Program. These monies will enable the Commissioner of DHCR to award grants to public housing authorities or agencies to eliminate drug-related crimes.

The Assembly plan also restores $450,000 in operating aid for services related to the Lead Poisoning Prevention Demonstration Program. These monies will allow the State, through not-for-profit organizations, to continue and expand educational and outreach programs regarding lead abatement.

The Assembly plan also restores $1,500,000 for the Urban Homeownership Assistance Program to establish and maintain Urban Homeownership Assistance Counseling Centers to assist families in the purchase of a home through counseling, grants for closing costs and rehabilitation expenses associated with purchasing a home.

The Assembly plan eliminates the cap on Service Contract Obligation Revenue (SCOR) bonds, making all housing capital appropriations and reappropriations eligible for SCOR bond reimbursement.

The Assembly accepts the Executive's Article VII proposal to authorize an additional $2,000,000 in support for the State Low-Income Housing Tax Credit Program. In addition, the Assembly provides an additional $2,000,000 allocation to areas that are currently experiencing a limited benefit from the current program.

The Assembly accepts the Executive's Article VII proposal to transfer $1,000,000 from the Upstate Rent Revenue Account to the General Fund.

The Assembly increases the Executive's Article VII proposal to transfer $685,000 from the tax credit application fee account to the General Fund by $1,000,000.

The Assembly rejects the Executive's Article VII proposal to transfer $3,000,000 from the Housing Development Fund to the Housing Program Fund and directs the transfer to the General Fund.

The Assembly rejects the Executive's Article VII proposal to transfer $1,100,000 from the General Fund to the Federal Small Cities Community Development Account for administration. Support for administration will be maintained from existing resources in conjunction with the $1,000,000 in support from the Housing Finance Agency, as proposed by the Executive.


ADDITIONAL FUNDING FOR CAPITAL PROGRAMS.
NEIGHBORHOOD PRESERVATION PROGRAM.
RURAL PRESERVATION PROGRAM.
URBAN HOMEOWNERSHIP ASSISTANCE PROGRAM.
PERIODIC SUBSIDIES - LOCAL AREAS PROGRAM.
PUBLIC HOUSING DRUG ELIMINATION PROGRAM.
LEAD POISIONING PREVENTION DEMONSTRATION PROGRAM.
$50,000,000
$5,810,000
$2,400,000
$1,500,000
$1,296,731
$450,000
$450,000
CAPITAL
ATL/GEN
ATL/GEN
ATL/GEN
ATL/GEN
ATL/GEN
ATL/GEN