“As a unanimous jury found, Jeremy Reichberg orchestrated a years-long bribery scheme that led to tens of thousands of dollars in benefits being provided to a select group of NYPD officers to provide Reichberg with a private, paid police force. These illegal acts clearly undermine the mission of the NYPD and leave the citizens of New York City poorer, and Reichberg’s subsequent attempt to hide evidence of his scheme from law enforcement cannot be tolerated. We respect the jury’s verdict as to James Grant, and we thank the jurors for their service during this lengthy trial. Our Office will continue to work with the NYPD and the FBI to prevent corruption.”
Sunday, January 6, 2019
Attorney General James And Superintendent Vullo Announce $9 Million Settlement Of Federal Student Loan Servicing Claims With ACS Education Services
Attorney General Letitia James and Department of Financial Services Superintendent Maria T. Vullo announced a $9 million settlement with the federal student loan servicer, ACS Education Services (currently known as Conduent Education Services). This settlement is the first in the country to address claims that a federal student loan servicer steered distressed borrowers away from available income-based repayment plans towards other, more expensive options, thus costing them money and increasing their risk of default. It also addresses for the first time claims that a federal student loan servicer deceived borrowers concerning the availability of Public Service Loan Forgiveness (PSLF), a program that, under certain circumstances, provides forgiveness of student loan debt after a borrower works for ten years in a public-service job. In addition to paying penalties and restitution to injured borrowers, ACS has agreed not to service loans for the major federal programs or private loans for the next five years. Most eligible borrowers will receive between $100 and $450.
“Students rely on college to be a ladder to success, but too often prohibitive costs and disingenuous loan servicers trap students in a quicksand of debt,” saidAttorney General James. “ACS has systematically failed borrowers by refusing to educate them on more effective federal repayment options, and instead, pushing them towards options that padded their bottom line. At a time when the student debt crisis is at an all-time high, federal loan servicers should be supporting borrowers, not deceiving them at every turn. Everyone deserves a fair opportunity to work towards a life without debt.”
“While the federal government neglects students, New York once again acts. Today's action demonstrates the importance of states in taking action against student loan servicers who fail to respond to the needs of student loan borrowers as required by federal and state laws,” said Department of Financial Services Superintendent Maria T. Vullo. “I am pleased that DFS acted collaboratively with the Attorney General's Office on this important settlement which provides restitution to New York borrowers who were defrauded.”
The $9 million settlement announced today resolves several claims against ACS concerning its mishandling of student loan borrowers’ accounts. Most importantly, for several years, ACS steered struggling borrowers into forbearances, a temporary pause in payments, which are only a short-term solution for an inability to pay and usually increase the cost of a loan. It pushed these forbearances instead of directing borrowers to apply for a program that pegs payments to income and family size called Income-Based Repayment (IBR), which would have required more time and effort on the part of the company. Even after ACS largely stopped steering borrowers into forbearance, it continued to mislead borrowers, informing them that IBR was their best option despite the introduction of newer, more beneficial repayment options. In order to take advantage of these new options, the borrowers would have needed to consolidate their loans into a newer loan program, meaning that they would have been assigned to another servicer. Similarly, ACS informed borrowers who asked about PSLF that they were not eligible, even though they might have been if they had consolidated their loans.
In addition to misinforming borrowers about their options, ACS failed to provide borrowers who sought to consolidate their loans the necessary account information, preventing some from doing so for more than three years. These borrowers potentially lost years of qualifying service towards Public Service Loan Forgiveness and access to better repayment programs. ACS also failed to process IBR applications in a timely and accurate fashion; required some borrowers to reapply for IBR unnecessarily; misallocated payments by borrowers, in some cases costing them additional late fees or interest; made inaccurate reports to credit reporting agencies; did not inform private-loan borrowers about the possibility of the release of co-signers; overstated the monthly payments owed by some members of the armed forces who were eligible for reductions under the Servicemembers’ Civil Relief Act; and charged some borrowers late fees higher than the legal cap.
Finally, ACS consistently misinformed borrowers who were behind one or more payments concerning the amount they needed to pay to become current on their loans, overstating the amount due in an attempt to maximize collections.
ACS has transferred all the private and major federal loans it had been servicing to other servicers, and borrowers should continue to make payments to their current servicers. Federal student loan borrowers who are having difficulty making their loan payments or who are interested in PSLF may visit the NYAG’s Student Loan Repayment and Debt Relief Guide or the Department of Education’s website. They may also wish to discuss their options with their servicers.
Comptroller Stringer: Fair Fares Rollout Becoming an Indefinite Delay for Hard Working New Yorkers
Friday’s announcement still leaves out the majority of the estimated 800,000 residents living below the poverty line who were originally promised half-price MetroCards
Following Frday’s announcement regarding the next steps in launching the Fair Fares program, New York City Comptroller Scott M. Stringer released data that spotlights the estimated 800,000 New Yorkers who were originally promised half-price MetroCards beginning on January 1, 2019. However, the City has significantly scaled back initial eligibility to just a small subset of Cash Assistance and SNAP recipients, leaving out hundreds of thousands of New Yorkers living below the poverty line who will continue to face a significant financial burden to purchase a MetroCard.
“The good news is that Fair Fares is finally leaving the station. The bad news is that after today’s announcement, the price of a MetroCard will remain an obstacle for the vast majority of the 800,000 New Yorkers who were originally promised relief. That’s hundreds of thousands of families who will still struggle to get to work or a job interview because they can’t afford a full fare. For their sake, we need to make sure this delay doesn’t become a derailment,” said Comptroller Stringer.
When the $106 million program was originally announced as part of the Fiscal Year 2019 City budget, Fair Fares was intended to provide half-priced MetroCards to 800,000 adult New Yorkers living below the poverty line – $25,100 for a family of four.
Comptroller Stringer’s office took a look at those families and found the following:
- Nearly 300,000 potentially eligible New Yorkers live in just 12 community districts, with over 50% residing in Brooklyn or the Bronx;
- 60% are either unemployed or struggling to find a job;
- 79% are people of color;
- 58% are women;
- 77% do not have an Associate’s or Bachelor’s Degree;
- 52% were born abroad; and
- 44% are parents living with children in their home.
Below is a complete breakdown of the data:
Community District Population
| Belmont, Crotona Park East & East Tremont | 30898 | ||||||
| Washington Heights, Inwood & Marble Hill | 30763 | ||||||
| Hunts Point, Longwood & Melrose | 29537 | ||||||
| Morris Heights, Fordham South & Mount Hope | 26885 | ||||||
| Flushing, Murray Hill & Whitestone | 24834 | ||||||
| Concourse, Highbridge & Mount Eden | 21784 | ||||||
| Castle Hill, Clason Point & Parkchester | 21732 | ||||||
| Sunset Park & Windsor Terrace | 21470 | ||||||
| Borough Park, Kensington & Ocean Parkway | 20173 | ||||||
| Bedford Park, Fordham North & Norwood | 19576 | ||||||
| East Harlem | 19464 | ||||||
| East New York & Starrett City | 18846 | ||||||
By Borough Population %
| Bronx | 186348 | 23.00% |
| Brooklyn | 268679 | 33.00% |
| Manhattan | 147936 | 18.00% |
| Queens | 174423 | 22.00% |
| Staten Island | 28511 | 4.00% |
Empyolment Status Number
| Employed | 319626 |
| Unemployed | 110203 |
| Not in labor force | 376068 |
Ethnicity/Race Number %
| Hispanic | 312635 | 39.00% |
| White | 165568 | 21.00% |
| Black/African American | 180799 | 22.00% |
| Asian | 131602 | 16.00% |
| Other | 15293 | 2.00% |
Education Number %
| No High School Degree | 207258 | 26.00% |
| Only HS Degree | 297847 | 37.00% |
| HS Degree + Some College | 114364 | 14.00% |
| Associates Degree | 45254 | 6.00% |
| College Degree | 141174 | 18.00% |
Gender Number %
| Male | 336977 | 42.00% |
| Female | 468920 | 58.00% |
| Foreign Born | 417574 | 52.00% |
| Born in the United States | 388323 | 48.00% |
Citizenship Number %
| American Born | 388323 | 48.00% |
| Born abroad of American parents | 7681 | 1.00% |
| Naturalized citizen | 145667 | 18.00% |
| Not a citizen | 264226 | 33.00% |
Language Skills Number %
| Does not speak English | 60347 | 7.00% |
| Yes, speaks only English | 312061 | 39.00% |
| Yes, speaks very well | 210312 | 26.00% |
| Yes, speaks well | 101821 | 13.00% |
| Yes, but not well | 121356 | 15.00% |
Children Number %
| Live with own Children in the Home | 353974 | 44.00% |
| No Children in the Home | 451923 | 56.00% |
Comptroller Stringer Calls on City to Provide Tax Relief to CityLights Residents as its New Neighbor Amazon Receives $3 Billion in Subsidies
Seniors and working New Yorkers in Queens affordable co-op hit with $5.2M tax bill
Some residents face as much as a 60 percent increase in monthly carrying charges over the next five years
New York City Comptroller Scott M. Stringer and residents of CityLights – an affordable co-op in Long Island City – gathered in Gantry Park to demand relief for the building’s over-taxed middle-class residents following the expiration of a Payment-in-Lieu-of-Taxes (PILOT) agreement and a new assessment by the Department of Finance (DOF) that nearly doubled the building’s assessment from $51.7 million to $101.6 million in fiscal year (FY) 2019. This series of events could raise the monthly carrying charges for CityLights residents by nearly 60 percent over the next five years.
As a result, Comptroller Stringer sent a letter to the Mayor’s office urging the City to implement a solution that will reduce the tax burden and prevent the displacement of hundreds of families from their homes – especially at a time when its new expected neighbor, Amazon’s HQ2, is about to receive nearly $3 billion in government subsidies.
“Across the City, the very New Yorkers who made their neighborhoods desirable for companies to move in are being priced out. Meanwhile as its new neighbor negotiated billions in subsidies, CityLights residents are stuck with more than $5 million in taxes because their city failed to act,” said Comptroller Stringer. “It’s time that we show the people who built this city that we value them just as much as a multinational corporation and give them the relief they deserve.”
The Comptroller’s letter points out that while the cost of CityLights units were low when they were initially sold in the beginning of 1997, residents are also responsible for repaying the property’s $86 million mortgage that was taken out by its private developer, as well as a $500,000 ground lease to Empire State Development (ESD) – paying more per square foot than Amazon and other commercial neighbors.
In addition to these charges, when the development’s PILOT agreement expired in July 2018, DOF first increased the building’s assessment from $51.7 million to $96.9 million in FY 2018, followed by a further increase to $101.6 million in FY 2019. By the end of the exemption phase-out in 2023, residents will face a $5.2 million property tax bill – or an additional average monthly cost of nearly $1,000 per unit – undermining the ability for the co-op to remain affordable for middle-class New Yorkers.
“When my family and I moved to Long Island City decades ago, there wasn’t even a supermarket, let alone a Duane Reade,” said Shelley Cohen, resident of CityLights. “Now, the City and the State are extending handouts to big companies, like Amazon, while my middle-class neighbors and I suffer. If the City and the State can work together to lure Amazon, they can find a way to relieve of us our ground lease.”
“Long Island City is my home,” said Joanna Rock, president of the CityLights co-op. “I moved to CityLights 20 years ago because I could afford it. The governor at the time called it ‘middle income housing.’ But with our current tax bill and ground rent more and more owners are finding it to be no longer affordable and are being forced out. We once again call on the City and the State to work together and keep their promise of middle income housing.”
To read the Comptroller’s letter, click here.
Saturday, January 5, 2019
The Inauguration of Nathalia Fernandez as the New York State Assembly Member District 80
Things don't exactly go as planned sometimes. Normally guest speakers will come a little late, but U.S. Senator Charles Schumer was early. While this was suppose to be about Assemblywoman Nathalia Fernandez Senator Schumer couldn't resist getting an 'Off the Wall' comment in about President Donald Trump during his remarks. Senator Schumer said that he was on a tight schedule and was off to Staten Island for another event. After Senator Schumer left there was a brief pause until New York State Attorney General Letitia James arrived.
By then all of the scheduled speakers had arrived and were seated, so the program officially began. The Mistress of Ceremony was Community Board 7 District Manager Ischia Bravo, who did a spectacular job of keeping things moving, and not letting Assemblywoman Fernandez forget to thank each and every VIP who was in attendance at Jacobbi Hospitals Conference Center.
Those who spoke were led by Attorney General Letitia James who also left after she spoke for other events that were going on this busy day. MC Bravo then called up a surprised speaker Bronx District Attorney Darcel Clark, who while saying she had not prepared anything to say gave a spirited speech. The program returned to normal as scheduled Bronx elected officials were called upon to speak. Councilman Ritchie Torres, Councilman Mark Gjonaj, Deputy Borough President Marricka Scott-McFadden, State Senator Jamaal Bailey, and 83rd District Leader Kevin Riley representing New York State Assembly Speaker Carl Heastie. In the audience were Assembly members Michael Benedetto, Jeffrey Dinowitz, Victor Pichardo and a surprise guest from Queens State Senator Jessica Ramos who MC Bravo said had to take three trains and a bus to be here today.
Finally the time came for Judge Llinet Rosado to administer the oath of office to Assemblywoman Fernandez who called up her family to be on stage with her. Later during her Inaugural Address Assemblywoman Fernandez apologized that the National Anthem never was sung by Ms. Diane Arroya. She added that she was happy to see the very large crowd support her, and that she will represent her district at the best of her ability.
Above - A photo of the Bronx elected officials who were on hand.
Below - Assemblywoman Fernandez with Assemblyman Michael Blake who she is supporting for Public Advocate in the February special election.
Above - New York State Attorney General Letitia James.
Below - Good friend, and former boss whose assembly seat she now holds, City Councilman Mark Gjonaj.
Above - Judge Llinet Rosado administers the Oath of Office to Assemblywoman Nathalia Fernandez.
Below - Assemblywoman Fernandez hugs her family members after taking the Oath of Office.
Above - Assemblywoman Nathalia Fernandez gives her Inaugural Address.
Below - Congratulations were in order.
Biaggi, Sepulveda, Reyes Three Kings Event
It was billed as the Holy Family Church Three Kings Day Celebration beginning at 10 AM, running through 12 PM.. The event was being hosted by State Senator Alessandra Biaggi, State Senator Luis Sepulveda, and Assemblywoman Karines Reyes, but none of the three elected officials were on site as this reporter left at 11:15 AM to go to another event. As you will see by the photos below Where's the Elected officials?
Above - Only members of the United Brotherhood of Carpenters and Joiners, members of the PBA, a few children, are in this photo.
Below - The toys which the Union members brought to give out. Two children Peter and Esayah already know which toys they want.
MAYOR DE BLASIO: TLC COMMISSIONER MEERA JOSHI STEPPING DOWN
Mayor Bill de Blasio announced today that Meera Joshi, CEO and Chair of the New York City Taxi and Limousine Commission, plans to step down from her role in March. Commissioner Joshi’s tenure was marked by such progressive innovations as the protection and enhancement of driver earnings, citywide access to For-Hire services for persons with disabilities, a 50% reduction of fatalities in crashes involving taxis and For-Hire vehicles in the last year, significant advances in consumer protections, and a first-ever pathway to the effective management of congestion and environmental impact relating to TLC-licensed services — all of which was enabled by the collection of previously-unavailable data.
“In this unprecedented period of growth, Meera has brought about equally unprecedented and vital change that will serve as a model for cities throughout the nation and the world,” said Mayor de Blasio. “Under her leadership New Yorkers who use wheelchairs can get service, passengers are assured that every driver and vehicle is safe, our city has detailed records of the one million daily trips and New York City is the only place where app drivers have pay protection. She will leave an unparalleled legacy and has raised the bar for good government. I am grateful for her service.”
“It has been an honor to serve New York City through the effective regulation of almost 200,000 drivers in over 130,000 vehicles moving over a million people each day,” said Commissioner Joshi. “Thanks to a skilled and principled TLC staff, a Commission dedicated to doing the right thing and engaged industry members and advocates, through public debate and data we increased accountability, safety, access, modernized taxi regulation, protected drivers and increased consumer protections. I am deeply grateful to the TLC community that made this possible.”
The Administration will announce a replacement for Commissioner Joshi in the coming months. Created in 1971 by Local Law No. 12, the Taxi and Limousine Commission is a Charter-mandated agency, the purpose of which is the continuance, further development and improvement of taxi and for-hire service in the City of New York.
Council Member Rafael Salamanca Jr. - Week in Review, January 4, 2019
