BUFFALO, N.Y. — Much of the focus and debate surrounding the recently passed New York state budget centered on affordable housing, with the spending plan calling for more than a billion dollars to create more of it.
Many of the measures passed are aimed at New York City in particular, and two Western New York state lawmakers say that also highlights the differences between there and the rest of the state, and the need tailor measures that serve both.
One of the housing bills extends tax breaks to developers of affordable housing, which State Senator Sean Ryan (D-Buffalo) says may work best in wealthier or high cost communities. However, he said a better approach for his district is supplying relief to prospective home buyers.
"You know where tax breaks don't work? Poor communities," said Ryan as he stood near a vacant lot in a residential neighborhood on Buffalo's east side. "They don't work in Buffalo and barely work in Erie County. And if you put a house up here that doesn't pay taxes it means everyone else here has to pay more taxes. So, we're not in a position to subsidize our way out of a housing problem."
However, subsidies are precisely what will create the homes that are hoped to pop up on vacant lots in several upstate cities as part of a program to use tax dollars to both cover construction costs and subsidize the sale of the new homes to low-to-moderate income owners.
Ideally, they would be working folks who four years ago were on the cusp of home ownership, but who – due to the dramatic rise in inflation and mortgage rates since then - have been pushed out of the market.
"It's not just the residents of the home or the street who will benefit either," insisted Ryan. "Everyone in the city of Buffalo will benefit from one more house on the tax roll that's paying taxes."
Meanwhile, NYS Senate Minority Leaser Rob Ortt (R-North Tonawanda) says the state isn't doing enough to combat the overall high cost of housing for everyone else, particularly in the area of housing starts.
Ortt says by some measures, the state is actually making it worse through its so-called climate initiatives.
"For example, the ban on natural gas appliance hookup in new construction is going to increase the cost to build new here in the State of New York," Ortt said.
Ortt was also critical of a measure banning landlords from increasing rent by more than ten percent, a measure which for now will effect only those in New York City but which could be implemented in other places in the future.
"This a clear sign that the socialists have taken charge of the Democratic Conferences," said Ortt. This radical housing policy will eliminate the rights of small business landlords to control their private property... a giveaway to the socialist tenant advocates who believe in making it illegal to make money in New York".
According to Ortt advocates originally wanted the rule to apply state wide. When there was resistance, it was proposed that it be implemented state wide unless a community "opted out". In the end, it was implemented in New York City, with other communities potentially "opting in" if desired.
"This was one of the things that held up passage of the state budget and why it was three weeks late," Ortt told WGRZ-TV.
However, Ortt believes that beyond flying in the face of free market principles, such a measure under the so-called just cause eviction standards, could undermine efforts to attract investment in affordable housing developments.
"I would argue that there's a risk that by (a municipality) opting in, some developers are gonna say you know what? No thanks. I'm gonna go to a place that doesn't have have these restrictions because I'll be able to get a return on my investment."
The governor has noted the budget calls for $650 million in discretionary funding which will go to "Pro-Housing Communities."
"She's yet to define what those are," said Ortt, "And I don't known of any 'anti-housing communities'."
Ortt said he suspects communities who opt into "just cause eviction rules" will be awarded funding while those who don't will not be.