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NYCHA Eyes Layoffs, Possible Furloughs To Offset Budget Cuts

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TWC News: NYCHA Eyes Layoffs, Possible Furloughs To Offset Budget Cuts
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The New York City Housing Authority announced in a statement Wednesday that it will have layoffs, continue a hiring freeze and possibly have furloughs to offset an 11-percent reduction in its federal budget.

The housing authority announced on Monday that federal officials cut $205 million from the agency's current budget due to sequestration.

NYCHA officials will also reduce overtime spending and continue a hiring freeze that began in February that will also affect seasonal hiring.

However, they say they will continue their "Action Plan" set up in January to tackle a backlog of repairs and maintenance work requests.

NYCHA officials also say they will continue community and senior programs for summer with full staffing and continue improvements such as fixing roofs, elevators, heating and plumbing systems and brickwork.

"These mandatory cuts severely hinder our work to provide safe, affordable housing, as well as access to critical services, to the most vulnerable population — low-income New Yorkers," NYCHA Chairman John Rhea said in a statement. "[S]equestration underscores the need for NYCHA to pursue alternative sources of funding that aren't subject to government appropriations and can reliably sustain our mission to house low-income families in New York City."

The authority's Leased Housing Department also plans to reduce payment rates for Section 8 housing from 110 percent to 90 percent of the "Fair Market Rate," which could raise tenants' rents.

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