Wednesday, July 6, 2022

Two Men Charged In $5.4 Million Scheme To Defraud New York City Program For Homeless Veterans

 

 Damian Williams, United States Attorney for the Southern District of New York, and Jocelyn E. Strauber, Commissioner of the New York City Department of Investigation (“DOI”), announced today the unsealing of a Complaint charging RUDEAN WEIR and JEROME WEAH, with conspiracy to commit wire fraud, wire fraud, and aggravated identity theft, in connection with a scheme to defraud a program of the New York City Human Resources Administration (“HRA”) which provides cash assistance to homeless veterans of the United States armed services (“Veterans”) seeking permanent housing.  WEAH was presented yesterday in Manhattan federal court before United States Magistrate Judge Valerie Figueredo.  WEIR will be presented today in federal court in Atlanta, Georgia.

U.S. Attorney Damian Williams said:  “As alleged, the defendants abused a New York City program intended to benefit veterans of the United States armed services seeking permanent housing by submitting hundreds of false applications for benefits and causing more than $5 million in fraudulent payments.  Thanks to the efforts of the New York City Department of Investigation, the fraud has been exposed and the defendants will have to answer for their conduct.”

DOI Commissioner Jocelyn E. Strauber said:  “The Enhanced One-Shot Deal program provides critical funding to help New York City’s unhoused veterans obtain permanent housing.  As alleged, defendants Jerome Weah and Rudean Weir stole millions of dollars from the program by fraudulently claiming entitlement to rent, brokers’ fees and other program payments.  I thank the City’s Department of Social Services for referring this investigation to DOI and for their hard work on this matter.  DOI is proud to work with DSS, and our federal partners at the U.S. Attorney's Office for the Southern District of New York and the Office of Inspector General for the U.S. Department of Veterans Affairs, to expose and prevent the theft of precious public funding intended to aid vulnerable New Yorkers.”

As alleged in the Complaint unsealed today in Manhattan federal court[1]:

From at least October 2020 through at least May 2022, RUDEAN WEIR and JEROME WEAH submitted more than 340 fraudulent applications seeking cash assistance pursuant to the Enhanced One Shot Deal (“EOSD”) program administered by the HRA.  The EOSD is an emergency assistance program pursuant to which HRA makes a one-time cash assistance payment to qualifying individuals.  EOSD payments are often used to help individuals move out of homeless shelters and/or other temporary housing into permanent housing.  EOSD payments may be used to cover certain costs associated with the move to permanent housing, including rent, moving expenses, security deposits, broker’s fees, and payments for furniture and other household items.  The HRA also offers and administers services and programs for Veterans, sometimes referred to as “Veteran’s Initiatives.”  In connection with these services, the HRA has a designated group responsible for receiving and reviewing EOSD requests made on behalf of homeless Veterans seeking permanent housing.

Between October 2020 and May 2022, the HRA received at least 340 EOSD applications which claimed that the applicants were homeless Veterans who had entered into a lease agreement with a particular landlord (“Landlord-1”).  Each of these applications (the “Landlord-1 EOSD Applications”) claimed that a particular company provided broker’s services in connection with the lease agreement (“Broker Company-1”).  HRA paid over $5.4 million in EOSD payments and broker’s fees pursuant to the Landlord-1 EOSD Applications.

Based on a review of approximately 60 of the 340 Landlord-1 EOSD Applications, those applications included, among other things, a completed application for “Emergency Assistance” on an HRA designated form; a copy of a purported lease agreement between a Veteran and Landlord-1; forms requesting payment to Landlord-1 and Broker Company-1 for services provided; personal identifying information, such as copies of identification cards and military and/or employment records for the Veteran; and an identification card issued by the New York Department of State reflecting one of two individuals and purporting that each of those individuals was a “Real Estate Salesperson” with Broker Company-1.

The Landlord-1 EOSD Applications were fraudulent.  Specifically, Landlord-1 and the Veterans did not, in fact, enter into the lease agreements submitted to HRA in connection with the Landlord-1 EOSD Applications, and Broker Company-1 did not provide real estate brokerage services to either Landlord-1 and/or the Veterans.  Furthermore, the identification cards reflecting purported individual brokers associated with Broker Company-1 were forged, in that those brokers are not affiliated with Broker Company-1 and did not provide any real estate brokerage services to either Landlord-1 and/or the Veterans.  Therefore, the Landlord-1 EOSD Applications contained fake documentation and information, and fraudulently induced HRA into making EOSD payments.

HRA made EOSD payments of at least $5.4 million in connection with the Landlord-1 EOSD Applications.  Of this $5.4 million, over $3.6 million was deposited into a bank account controlled by WEIR, and over $1 million was deposited into a bank account controlled by WEAH.  In addition, during this period, the bank account controlled by WEIR paid over $1 million to a bank account held in the name of WEAH.

WEIR, 37, of Atlanta, Georgia, and WEAH, 46, of Edison, New Jersey, are charged with conspiracy to commit wire fraud and wire fraud, each of which carries a maximum sentence of 20 years in prison, and one count of aggravated identity theft, which carries an additional mandatory consecutive two-year sentence. 

The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.

The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

Mr. Williams praised the outstanding investigative work of the DOI.  Mr. Williams also thanked the DSS and the U.S. Department of Veterans Affairs, Office of Inspector General, for their assistance.

[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth in this release constitute only allegations, and every fact described should be treated as an allegation.

Comptroller Audit Finds EDC Underreported the Costs of NYC Ferry System by $224 Million from 2015 to 2021

 

Graphic of a ferry

Comptroller Lander calls for increased fiscal transparency, recouping overpayments, and a new RFP to operate the ferry system

New York City Comptroller Brad Lander released an audit showing NYC Economic Development Corporation (EDC) underreported nearly a quarter of a billion dollars in NYC Ferry expenditures during former Mayor Bill de Blasio’s Administration. EDC incurred a total of $758 million dollars in total ferry-related expenditures from July 1, 2015 through December 31, 2021, yet only reported $534 million as ferry-related expenses in its audited financial statements and other records. The total City subsidy-per-ride is nearly double the original estimate of $6.60 and has been consistently underreported. The press conference livestream is available here.

The audit also found that several decisions — including the early termination of the previous East River route operator’s contract and lack of proper oversight over vessel acquisition — resulted in as much as $66 million in unnecessary expenses. The audit’s many findings collectively indicate poor oversight and a failure to hold the operator, Hornblower, accountable to the fiscal terms and conditions of their contract. 

“Walt Whitman waxed poetic about New York City’s ferries, but EDC’s responsibility is to provide adequate oversight and report accurately,” said NYC Comptroller Brad Lander. “For a successful 21st century ferry system, we need more transparent reporting, better cost controls, and a new RFP to operate the system.”   

The Comptroller made 11 recommendations aimed at improving oversight over the ferry system and protecting the fiscal integrity of New York City. EDC accepted some of the recommendations for providing enhanced transparency and agreed to issue a new RFP for the system operator. However, they refused to include a full accounting of the Ferry system in its audited financial statements, or to seek recoupment of approximately $12 million in overpayments to Hornblower. 

Key highlights from the audit’s findings include:  

Undisclosed Expenses 

While the de Blasio Administration’s EDC reported spending $534 million on ferry operations from July 1, 2015 through December 31, 2021 in its financial statements and other records, auditors found they actually incurred at least $758,517,560 in ferry-related expenses. A review of other financial records, including payment lists provided for this audit, found an additional $180,960,344 in capital expenses and $43,470,732 in operating expenses.  

Subsidy Higher than Projected or Reported 

Previous reporting indicated that the NYC Ferry system operates at a deficit and that the City’s subsidy is higher than the $6.60 per ride initially projected. By calculating the subsidy based on a more accurate assessment of the real operating costs, auditors found that the actual City subsidy has been consistently higher than reported. In Fiscal Year 2021, the City subsidy amounted to $12.88 per ride, 50% higher than the $8.59 that EDC reported.  

The largest element of this understatement is EDC’s decision in 2018 to stop including depreciation in calculating the total cost, a practice the City had used from 2002 until 2017. The City removed capital expenses from its calculation in 2018, shortly after then-Mayor de Blasio announced a $300 million capital investment in the ferry system.

Period Reported Actual 
FY 2018 $10.72  $12.80  
FY 2019 $9.34  

$11.44  

FY 2020 $10.59  $14.57  
FY 2021 $8.59  $12.88 

Poor Financial Management 

Several of EDC’s decisions resulted in tens of millions in unnecessary expenses, including purchasing vessels at higher-than-market costs as well as early termination and transfer of the East River contract. 

  1. The Comptroller’s analysis of vessel costs found EDC paid $34 million in questionable vessel expenses to Hornblower, which was charged with overseeing acquisition and construction of vessels. In 2016, EDC ordered at an average of $4 million per 150 River Class vessel and $7.1 million per 350 passenger vessel. In 2018 and 2019, they ordered at an average of $5.8 million per 150 River Class vessel and $9.1 million per 350 passenger vessel, a price increase that far outstripped the rate of inflation. In one case, EDC ordered and paid Hornblower $8.4 million for a “Rockaway Class” vessel, but received a “River Class” vessel that the agency later valued at $5.6 million. EDC never insisted that Hornblower refund the $2.8 million difference.
  • Billybey originally operated the East River route under a five-year agreement with EDC, but EDC terminated the contract nearly three years early, incurring additional costs of $21 million to Billybey for early termination and $3 million to Hornblower for the transition. 

Contract Enforcement and Overpayments to Hornblower 

Auditors found that EDC’s weak enforcement of contract provisions resulted in at least $3 million of unsubstantiated payments to Hornblower. Those included failure to submit documentation of the East River early activation costs, questionable calculation of management incentive fees, unjustified ticketing infrastructure and marketing costs, and other miscellaneous overpayments to Hornblower. EDC also failed to ensure compliance with certain insurance requirements.  

The audit makes 11 recommendations. EDC agreed with two, partially agreed with three, stated that it is already in compliance with two, and disagreed with four. 

  • EDC agreed to provide enhanced financial reporting on its website, but did not commit to disclose all ferry-related expenditures in its audited financial statements.
  • EDC agreed to include some additional “non-Operator” costs in the subsidy-per-ride calculation (e.g. the City’s cost in maintaining the ferry landings), but refused to include capital asset depreciation, as had been the City’s practice from 2002 through 2017. 
  • EDC agreed to issue a new RFP to operate the system.
  • EDC refused to seek recoupment of overpayments to Hornblower totaling approximately $12 million.   

The Comptroller’s audit of the NYC Ferry is available here.

27-Year-Old Florida Man Sentenced To Over 26 Years In Prison For Enticing Minors In New York, Kentucky, And New Jersey To Engage In Sexual Activity

 

 Damian Williams, the United States Attorney for the Southern District of New York, announced today that CHRISTOPHER NUNEZ was sentenced to 320 months in prison by United States District Judge Kenneth M. Karas for his enticement of three minors to engage in sexual activity.  The sentencing today followed NUNEZ’s guilty plea on February 28, 2022.

U.S. Attorney Damian Williams said:  “Christopher Nunez’s conduct is the nightmare of any parent.  Today’s sentencing illustrates that we will continue to use every tool available to law enforcement to prosecute and punish those who sexually exploit children.”

According to documents filed in this case and statements made in related court proceedings:

Between in or about early March 2021 up to and including on or about May 1, 2021, NUNEZ communicated online with a 15-year-old minor (“Victim-1”) and persuaded Victim-1 to meet NUNEZ in person to engage in sexual activities with him.   On or about April 30, 2021 and May 1, 2021, NUNEZ travelled to New York from Miami, Florida to meet with Victim-1 in person in Westchester County, New York to engage in sexual activity with her.

On or about May 2, 2021, CHRISTOPHER NUNEZ was charged in the Town of North Salem with Rape in the Third Degree and Endangering the Welfare of a Child.  On October 5, 2021, NUNEZ pled guilty to Rape in the Third Degree.

The federal investigation revealed that, prior to Nunez’s abuse of Victim-1, he abused a 12-year-old girl (“Victim-2”) in Laurel County, Kentucky. Nunez engaged in sexually explicit communications online with Victim-2 beginning in or about January 1, 2021, when she was in 6th grade and 11 years old. During these communications, he persuaded Victim-2 to engage in sexually explicit activity, capture this activity in images and videos, and then transmit the photos and videos to Nunez. On March 6, 2021, Nunez travelled from his home in Florida to Laurel County, Kentucky, where he met Victim-2 in person and engaged in sexual activity with her.

The federal investigation also revealed that, in May and June of 2021, Nunez engaged in sexually explicit communications online with Victim-3, a 16-year-old in New Jersey. During these communications, Nunez persuaded Victim-3 to engage in sexually explicit activity, capture the activity in images and videos, and transmit the images and videos to Nunez.

On February 28, 2022, Nunez entered a guilty plea to a four-count federal Information, charging him with three counts of enticement, in violation of Title 18, United States Code, Section 2422(b) and one count of sexual exploitation, in violation of Title 18, United States Code, Section 2251(a). 

In addition to the prison term, NUNEZ, 27, was sentenced to a lifetime term of supervised release.

Mr. Williams praised the efforts of the Federal Bureau of Investigation, the New York State Police, the Westchester County District Attorney’s Office, and the Westchester County Safe Streets Task Force, which is comprised of special agents and task force officers from the FBI, U.S. Probation, New York State Police, New York State Department of Corrections and Community Supervision, Putnam County Sheriff's Office, Westchester County DAs Office, Rockland County DAs Office, NYPD, Westchester County PD, and the Yonkers, New Rochelle, Mount Vernon, Greenburgh, White Plains, Peekskill, Ramapo, and Clarkstown Police Departments, in connection with this investigation.    

Cushman & Wakefield in Contempt of Court for Failure to Comply With Judge’s Order in Attorney General James’ Investigation into Donald Trump and the Trump Organization

 

Judge Rules that Cushman & Wakefield Must Pay $10,000 A Day Until It Provides Documents to AG's Office Related to Its Work for the Trump Organization

  New York Attorney General Letitia James won a court victory in her office’s ongoing civil investigation into Donald Trump and the Trump Organization’s financial dealings with a judge ruling that Cushman & Wakefield is in contempt of court for failing to comply with subpoenas from the Office of the Attorney General (OAG). The Honorable Arthur Engoron of the New York County State Supreme Court ruled that Cushman & Wakefield is in contempt of court for failing to comply with his previous orders to provide documents to OAG and imposed a $10,000 fine on Cushman & Wakefield for every day that it continues to violate the court’s order to produce these documents.

“Cushman & Wakefield’s work for Donald Trump and the Trump Organization is clearly relevant to our investigation, and we’re pleased that the court has recognized that and taken action to force Cushman to comply with our subpoenas,” said Attorney General James. “No person or company, no matter how powerful, is above the law.”

On April 8, 2022, OAG filed a motion to compel Cushman & Wakefield to comply with subpoenas related to real estate services Cushman provided for the Trump Organization for many years. Those services included appraisals and brokerage services for Trump Organization properties relevant to OAG’s investigation into the Trump Organization and Donald Trump’s financial dealings. Cushman has refused to comply with subpoenas for information related to its appraisals of three Trump-owned properties — the Seven Springs Estate, Trump National Golf Club, Los Angeles, and 40 Wall Street — and information about Cushman’s larger business relationship with the Trump Organization.

On April 25, 2022, Justice Engoron ruled in favor of OAG and ordered Cushman to comply with those subpoenas. Cushman has since failed to fully comply with the judge’s order to turn over documents, and only raised concerns about its ability to comply after the latest deadline. 

Governor Hochul and Governor Murphy Sign Gateway Program's Phase One MOU for the Portal North Bridge & Hudson Tunnel Projects

 

 Governor Kathy Hochul and Governor Phil Murphy today signed the Phase One Memorandum of Understanding required by the Gateway Development Commission Act along with Port Authority of New York and New Jersey Executive Director Rick Cotton. The MOU outlines sources, uses, and timing of funding on behalf of New Jersey and New York for Phase One Gateway Projects: Portal North Bridge and the Hudson Tunnel Project. Signing this MOU advances the Gateway Program to its next phase, which will detail the parties' responsibilities with respect to delivery of the Hudson Tunnel Project and move forward in the federal project review. 

Phase One of the Gateway Program is funded by a combination of federal and local sources. On behalf of the states, PANYNJ's total commitment for Phase One is $2.7 billion. For Portal North Bridge, federal funding sources total approximately 60% of the total cost, leaving the States' PNB Commitment of $772.4 million to be split by New Jersey and New York at $386.2 million per state. For the rest of the Hudson Tunnel Project, the States will similarly split the local share 50-50. The States intend to work with their partners and federal entities to aggressively pursue greater federal sources of funding for the Gateway Program through the Infrastructure Investment and Jobs Act. 

"The Gateway Hudson Tunnel Project is vital to the Northeast corridor, and today's announcement is a critical step forward in turning this vision into reality," Governor Hochul said. "By signing the Phase One Memorandum of Understanding, we are establishing the framework to get this project over the finish line and are making good on our promise to modernize the state's transportation infrastructure and create a mass transit system worthy of New Yorkers. I thank my partner Governor Murphy, as well as our state and federal representatives, especially Senate Majority Leader Chuck Schumer and the Biden Administration, for their tireless efforts on this transformative project." 

"Today marks a pivotal milestone toward the completion of the most significant transportation project not just in New Jersey, but in the entire United States," said Governor Murphy. "The Gateway Project reflects the importance of New Jersey's regional partnerships and its alignment with the Biden administration's infrastructure and transportation priorities. As we proceed with construction of a new tunnel under the Hudson River, we advance one step closer toward a New Jersey that is better connected and better positioned to reap the full economic benefits of our status as a regional crossroads. I thank Governor Hochul, as well as our Gateway Program partners, our respective federal and state delegations, and the U.S. Department of Transportation for their support in achieving this next great step." 

Port Authority Chairman Kevin O'Toole said, "We appreciate the efforts of Governors Murphy and Hochul in moving this critical transportation project closer to the finish line. It is a project of enormous consequence for the many millions of riders who will benefit from it and it will be a significant driver of economic growth for the entire New Jersey-New York region." 

Port Authority Executive Director Rick Cotton said, "The signing of this MOU marks an important step forward in making the nation's most vital and impactful rail project a reality. We are delighted to see real progress being made toward a better, more reliable travel experience for rail customers throughout our region." 

NYS Office of the Comptroller DiNapoli Releases Analysis of State Financial Plan

 

NYS Office of the Comptroller Banner

After two years of extraordinary volatility in state finances, the State Fiscal Year (SFY) 2022-23 Enacted Budget Financial Plan from the Division of the Budget (DOB) projects fiscal stability for the next five years and includes plans to bolster rainy day reserves significantly, according to a report by State Comptroller Thomas P. DiNapoli. However, DiNapoli’s analysis identifies several revenue, spending, and sustainability risks that could disrupt the Financial Plan that should be monitored closely.

“Amidst tremendous uncertainty, the state’s fiscal position is currently stable, providing an opportunity to build reserves that should not be lost,” DiNapoli said. “While the state Financial Plan expects revenue growth to continue, economic risks are growing and may jeopardize the state’s fiscal footing. Making deposits to the rainy-day reserves on or ahead of schedule may help prevent disruptions in critical programs and services.”

Financial Plan Overview

The DOB Financial Plan projects disbursements in SFY 2022-23 of $222.2 billion from All Funds, including $122.7 billion from State Operating Funds. General Fund disbursements (including transfers to other funds) are projected by DOB to total $96.1 billion in SFY 2022-23, increasing to $115.8 billion by SFY 2026-27, for an average annual growth of 4.8%. General Fund receipts are projected to total $88.3 billion in SFY 2022-23, growing to $113.2 billion by SFY 2026-27, reflecting average annual growth of 6.4%. While planned disbursements exceed receipts in some years, the Financial Plan indicates that surplus General Fund resources, mostly accumulated in SFY 2021-22, will be used to balance the budget in SFY 2022-23 and the out-years.

DOB’s projected growth in General Fund spending reflects continuing temporary funding for pandemic recovery and the health care and direct care workforce in SFY 2022-23, as well as significant growth in spending over the Financial Plan period in school aid and Medicaid.

Risks and Causes for Concern

Spending may escalate beyond the current Financial Plan projections. For example, the Financial Plan assumes Medicaid enrollment will peak at nearly 7.7 million in SFY 2022-23 and return to near pre-pandemic levels of 6.1 million in SFY 2023-24. If Medicaid enrollment declines at a slower rate than projected or fails to decline as much as projected, the state will incur significant additional costs.

Over the longer term, the elevated level of General Fund spending may be difficult to sustain as temporary resources are depleted or expire. Notably, the American Rescue Plan included $12.7 billion for New York state that may be used for a wide range of purposes, including to cover loss of revenues due to the economic impacts of COVID-19. DOB intends to transfer this funding to the General Fund over four fiscal years. While spreading out the use of these funds over several years is prudent, DOB indicates that the majority of the SFY 2021-22 funding went to “government services.” Without greater detail, it is difficult to assess to what extent the temporary funds are sustaining recurring spending. However, this temporary funding is a significant factor in the projected General Fund balance throughout the Financial Plan period.

The Financial Plan’s reliance on certain SFY 2021-22 Enacted Budget actions, including temporary personal income tax (PIT) increases on high earners, creates additional risk. In 2019, taxpayers with incomes of at least $1 million represented 1.2% of total PIT taxpayers and provided 38.2% of PIT liability. The temporary PIT rate increase results in the state being more dependent on high-income taxpayers; these taxpayers typically have income from more volatile sources, such as capital gains.

PIT revenues are also reliant upon taxpayers, particularly high-income taxpayers, continuing to be residents of New York. According to analysis by the Office of the State Comptroller a larger number of taxpayers moved out of New York than moved in annually from 2015 to 2019. While this occurred at every income level, the number of taxpayers with incomes over $1 million that left the state were nearly double those that moved in.

Over the life of the Financial Plan, temporary tax rate increases in PIT and corporate franchise taxes and largely unrestricted federal aid are expected to total $27.6 billion or more than 5% of General Fund spending over the Financial Plan period. By the end of the plan period, when the PIT rate increase is slated to expire, nearly $4 billion in annual resources would become unavailable.

Chart

Recommendations

Given the backdrop of uncertainty facing the state, DiNapoli’s report notes that this Financial Plan will be challenging to execute, requiring careful and continuous attention. To maximize the likelihood of success, the report recommends:

  • Implementing Reserve Funds Plan on or Ahead of Schedule. The Financial Plan proposes to increase “principal reserves” from $9 billion at the end of SFY 2021-22 to $19.4 billion in SFY 2024-25, which would result in reserve funds equal to 15% of State Operating Funds spending. Achieving this level of reserves would have a significant stabilizing effect on the state’s long-term finances, and would reduce the likelihood of the state needing to take destabilizing actions to manage unexpected budget shortfalls.
  • Effectively Implementing Recovery Programs. DOB estimates that $40.1 billion of federal funding will be disbursed between SFY 2021-22 and SFY 2026-27 for pandemic-related assistance programs, including $15.1 billion in the current fiscal year. Given the importance of these funds to the economic and fiscal recovery of the state, a greater level of public disclosure regarding the actual and intended uses of funds is needed to allow policymakers and the public to monitor the allocation of these resources. In particular, it is essential to ensure that funds are provided in an equitable fashion to the most impacted communities and that they are deployed as quickly as possible. The Office of the State Comptroller will continue to update and expand the COVID-19 Relief Program Tracker to support this effort.
  • Monitoring Risks to Economic Growth. The current environment includes several risks that should be carefully monitored, including continuing supply chain disruptions, high levels of inflation, and uncertainty due to the conflict in Ukraine. These factors have further complicated the economic recovery in the state, which has lagged the nation in job recovery – only 79% of jobs lost during the pandemic have been recovered as compared to 96% nationally.
  • Reforming Capital and Debt Practices. With the state’s financial condition stabilized, policymakers should seek to restore prudent debt policies. The state should use more “pay-as-you-go” funding to reduce future debt issuances and long-term debt service costs, as well as seek to limit the uses of debt to capital projects related to state assets.

Report

State Fiscal Year 2022-23 Enacted Budget Financial Plan

Additional Resources for Tracking Federal and State Relief Spending

COVID 19 Relief Program Tracker

New York State Personal Income Taxpayer Migration Trends

Medicaid Enrollment Growth, COVID-19 and the Future

MAYOR ADAMS ANNOUNCES DEAL WITH LIFEGUARD UNION TO RAISE WAGES FOR LIFEGUARDS DURING 2022 SEASON, FULLY STAFF MINI POOLS

 

 New York City Mayor Eric Adams today announced that the city has reached a deal with the lifeguard union represented by District Council 37 to raise starting wages for lifeguards to $19.46 per hour this summer and develop a training program to fully staff the city’s 17 mini pools:

 

“Every New Yorker deserves to safely enjoy our city’s public pools and beaches this summer and my team has taken extraordinary measures to make that happen. Today we reached a deal with the lifeguard union to address the immediate needs of our pools.

 

“We negotiated for creation of a class of lifeguards who are restricted to mini pools and with this influx of mini pool guards we will be able to very quickly open all of our mini pools, an essential cooling center for young New Yorkers. We are also elevating, for this summer alone, lifeguard pay to $19.46 per hour, and to ensure our beaches and pools are guarded all summer long, we will pay a retention bonus in September to guards who work every week through the end of the summer season.

 

“Finally, we are collaborating across city agencies on a public safety presence to keep swimmers off closed sections of beach, and working with New York City Emergency Management, the New York City Fire Department, and the New York City Police Department to deploy complementary measures to keep New Yorkers safe.

 

“While these changes are a step in the right direction, our ability to safely open beaches and pools has been impacted by a national lifeguard shortage, and has also been held back by inefficient practices that are in dire need of further reform. We will continue to work closely to correct course on policies that don’t serve New Yorkers and pool resources from all agencies to ensure a fun and safe summer.”

 

Peninsula 1B Affordable Housing Building Completes Construction At 720 Tiffany Street In Hunts Point, The Bronx


Rendering of The Peninsula affordable housing campus - WXY Architecture + Urban Design

Developers and elected officials recently joined to celebrate the completion of Peninsula 1B, the first affordable housing building in The Peninsula complex at 720 Tiffany Street in Hunts Point, The Bronx. The building comprises 183 income-restricted units and a modest collection of amenities.

The complex is a conversion of the former Spofford Juvenile Detention Center, also known as the Bridges Juvenile Center, which was shuttered by the city in March 2011 after reports of inhumane conditions and unethical treatment of children. In 2018, the city announced its plans to redevelop the building and the surrounding five acres into a mixed-use, affordable housing campus that will eventually support 740 affordable units, publicly accessible outdoor space, a wellness facility, a childcare center, and a supermarket.

In addition to city agencies, The Peninsula development team includes Gilbane Development CompanyHudson Companies, and Mutual Housing Association of New York. The entire campus is designed by WXY Architecture + Urban Design and Body Lawson Associates Architects & Planners.

“Peninsula 1B is a groundbreaking development on two significant levels: it revitalizes and repurposes existing infrastructure in a sustainable manner and also creates new affordable housing units, which are in desperately short supply across the five boroughs,” said Edward Broderick, president and CEO of Gilbane Development Company. “As New Yorkers continue to deal with an emergency-level affordability crisis and mounting inflation, projects like this one are more vital than ever before.”

The Peninsula, rendering by WXY Architecture + Urban Design

The Peninsula, rendering by WXY Architecture + Urban Design

Rendering of Peninsula in The Bronx

The Peninsula, rendering by WXY Architecture + Urban Design


Available apartments at Peninsula 1B include 18 units reserved for formerly homeless individuals and households. The remainder are designated for households earning between 30 and 80 percent area median income (AMI).

Amenity spaces include an indoor community room with a kitchenette, bike storage, a children’s playroom, a laundry room, a fitness center, and an outdoor terrace with seating.

“Hunts Point in the Bronx is bringing the future of 100-percent affordability in the design of a new approach to live-work neighborhoods,” said architect Claire Weisz, FAIA, founding principal of WXY Architecture + Urban Design. “The Peninsula is innovative in its unified approach to saving energy, waste, and water through its urban plan, which connects the community through the quality of its public spaces and architecture.”