New York Certifies 20 Pro-Housing Communities, Offers $650M In State Funding

Embracing growth and progress, a total of twenty towns, villages, and cities in New York have proudly earned their certification as "pro-housing communities". These forward-thinking localities have met the stringent state requirements, proving that they have granted permits for housing expansion of at least 1 percent (for those located downstate) or 0.33 percent (for those upstate) over the past year. Alternatively, these communities can also secure certification by approving enough permits for 3 percent growth (downstate) or 1 percent growth (upstate) within the span of three years.

However, even if a locality fails to meet these specific approval targets, it can still attain certification by unanimously adopting a pro-housing resolution. This resolution, carefully designed to foster supportive environments for housing, is a testament to their commitment to meet the evolving needs of their residents.

A Fresh Approach to Building Pro-Housing Communities

Gov. Kathy Hochul recently provided an update on her innovative Pro-Housing Communities program, highlighting the progress made since its launch in July. With 20 localities already certified and another 80 expressing their intent to participate, it is clear that the initiative is gaining traction. It is important to note that New York has over 1,500 towns, cities, and villages, making this widespread interest truly significant.

During a press conference, Gov. Hochul utilized a unique analogy to emphasize the need for more appealing incentives in this endeavor. Holding up a bunch of carrots, she made it apparent that these humble vegetables fall short in symbolizing the enticements necessary to drive effective policy. In her own words, "I'm told this is what you are willing to eat to help build more housing. And I've got 600 million carrots out there on the table."

A Fresh Approach to Promoting Pro-Housing Communities

With the goal of encouraging housing growth in pro-housing communities, the state has allocated a staggering $650 million in funding. As an emblem of this financial support, orange vegetables have been chosen to represent these communities. However, while this approach offers carrots as motivation, it lacks any accompanying sticks to hold localities accountable if they fail to meet certification standards.

In a bid to make certification a mandatory requirement for receiving discretionary funding, the governor is determined to establish a clear framework. Nevertheless, the exact strategies for implementing this requirement remain unclear, as highlighted in a recent article by the Times Union.

Housing experts have long contended that incentives alone are insufficient to fuel meaningful growth in the housing sector. However, Governor Hochul is adopting a different approach this year, prioritizing the desires expressed by various stakeholders. By avoiding potentially unpopular mandates that could impact the Democrats' electoral success, she is testing the effectiveness of an incentive-based strategy. Furthermore, the governor seeks to gauge whether the state legislature is willing to grant New York City "local control" in order to legalize basement apartments and increase residential density.