MAYOR ADAMS ‘GETS STUFF DONE’ FOR NEW YORKERS DURING FIRST YEAR IN OFFICE

 

THE CITY OF NEW YORK 

OFFICE OF THE MAYOR

Year One Marked by Significant Steps Towards Creating a Safer, More Just City; Supporting Vulnerable New Yorkers; Building an Inclusive Economy; Fueling Job Growth for Young People; Investing in Infrastructure; and Expanding Opportunities for Students

As he concludes his first year in office, New York City Mayor Eric Adams today released a list of key wins achieved for New Yorkers over the last 12 months — demonstrating how his administration has worked to ‘Get Stuff Done’ since January. Mayor Adams’ first year has focused on delivering results for New Yorkers and tackling New York City’s most pressing challenges.

 

“We inherited a city in crisis, with spiking COVID rates, increasing crime, and lackluster job growth — but at the end of my rookie year, New York City isn’t just coming back – we’re back,” said Mayor Adams. “Shootings and homicides are down by double digits, subway ridership is back at pre-pandemic levels, our hotels are filling back up, and tourists are piling back in by the millions. We’ve got more to do in 2023, but I can confidently say that next year will be our Aaron Judge year. New York City’s best days are ahead of us, and we’re going to continue to ‘Get Stuff Done’ for New Yorkers every single day.”

 

Highlights from the first year of the Adams administration include:

 

Making New York City Safer: As a result of the Adams administration’s focus on public safety, shootings are down 17 percent year to date and homicides are down by 13.1 percent year to date. Further, the NYPD has removed more than 7,000 illegal guns from New York City streets this year and made over 4,500 gun arrests — a 27-year high. Additionally, November 2022 saw major crimes drop from where they were in November 2021, showing efforts are working across the board, and subway crime in that same month dropped by 12.8 percent compared to the same month last year, leading to more than 1 billion passengers using the MTA’s subway system this year.

 

Creating Opportunities for Young New Yorkers: During the summer of 2022, Mayor Adams expanded summer youth job opportunities, serving over 100,000 young people — that includes approximately 90,000 jobs through the Summer Youth Employment Program and approximately 10,000 through other city programs, the largest in the city’s history. The city operated the largest summer academic and enrichment program in New York City history, Summer Rising, serving 110,000 elementary and middle school students. The administration also expanded the Fair Futures program so that all youth in foster care, ages 11 to 26, and youth in juvenile justice programs, are connected with dedicated coaches or tutors. Additionally, Mayor Adams launched the Career Readiness and Modern Youth Apprenticeship program, connecting 3,000 students with paid multi-year apprenticeships.

 

Launching Dyslexia Screenings for Public School Students: Building off Mayor Adams’ own experience as someone with dyslexia, all 100,000 New York City educators are now trained in dyslexia awareness through Made by Dyslexia. The 80 elementary schools, 60 middle schools, and 20 high schools with the highest rates of dyslexia risk will have additional experts at their sites, and all students at risk of dyslexia in kindergarten through 2^nd grade will be screened to meet the needs of these children.

 

Securing Billions to Provide Quality, Equitable Childcare to Working Families: Mayor Adams secured $4 billion in the state budget for childcare, helping working families manage these rising costs. Mayor Adams also cleared the childcare voucher waitlist, allowing families of 36,000 additional children to apply for affordable and highly-subsidized childcare. These efforts, along with additional tax credits and abatements, moves the city closer to providing all working families with the quality childcare they deserve. 

 

Expanding the Gifted and Talented Programs for Public School Students: Mayor Adams added 100 kindergarten seats and 1,000 third-grade seats to Gifted and Talented schools, expanding both entry points to all districts and serving every community citywide for the first time in history. The city also expanded early childhood special-education seats across the five boroughs, putting the city on track to provide a seat for every child with a disability by February 2023.

 

Putting Hundreds of Millions of Dollars Back in New Yorkers Pockets with the Earned Income Tax Credit for Families: Mayor Adams secured an enhancement of the Earned Income Tax Credit, with a $250 million annual commitment from the city and a one-time state payment estimated at $100 million — reaching 800,000 New York City residents. Single parents will see a 400 percent increase in their benefits, for a total of $905. A married couple with two children will see a 200 percent increase, for a total of $897.

 

Creating the New York City Housing Authority (NYCHA) Preservation Trust to Deliver on Promises to NYCHA Residents: Mayor Adams got the NYCHA Public Housing Preservation Trust bill signed into law, which will deliver repairs to 25,000 NYCHA families through an innovative 100 percent public model, with residents scheduled to begin voting in 2023.

 

Connecting People in Need to Stable Housing: Since the beginning of the year, the Adams administration has connected nearly 3,000 households to supportive housing, well surpassing the number of New Yorkers connected to supportive housing in 2021, and putting the city on track to meet its goal of connecting 4,000 households to supportive housing by mid-2023.

 

Providing Free Internet and Cable to Hundreds of Thousands in NYCHA: Mayor Adams launched Big Apple Connect to provide free high-speed internet and basic cable TV to 300,000 New Yorkers living in more than 200 NYCHA developments by the end of 2023.

 

Reviving New York City’s Tourism Industry: New York City is estimated to receive 56 million visitors in 2022 — a 70 percent surge from 2021, and a return to 85 percent of pre-pandemic levels. Additionally, New York City had the highest hotel occupancy amongst the top 25 markets.

 

Making New York City Streets Safer: Thanks to Mayor Adams’ advocacy, the city was able to transition its 2,000 automated speed cameras to operate 24 hours a day, seven days a week on August 1. Speed cameras and automated traffic enforcement are proven, effective safety tools shown to reduce speeding by 72 percent. Additionally, the city has completed safety improvements at 1,400 intersections, exceeding an initial goal of 1,000. As a result of all this work, New York City has recorded 88 pedestrian fatalities, among the fewest to date in the city’s recorded history.

 

Building More Housing: Since the beginning of the year, the city has approved approximately 12,000 new homes through 40 packages of zoning changes, including approximately 7,500 income-restricted homes. In November, Mayor Adams also announced a plan to build 2,500 units of 100 percent affordable housing (the city’s largest 100 percent affordable housing new development in four decades) and the city’s first Major League Soccer stadium in Willets Point. This all built on the city’s financing, this past fiscal year, of the creation and preservation of 21,951 affordable homes, including 16,042 affordable homes financed by the New York City Department of Housing Preservation and Development, as well as securing financing for the upgrade and repair of 5,909 public housing apartments. NYCHA also completed renovations for over 2,600 public housing units.

 

Making New York City the Center of Life Science Jobs: Mayor Adams announced an agreement to create the Science Park and Research Campus Kips Bay, an innovation hub that will generate approximately $25 billion in economic impact for the city over the next 30 years; create 10,000 jobs, including 2,000 permanent jobs; and transform Hunter College’s Brookdale Campus on East 25^th Street and First Avenue into new, state-of-the-art teaching and commercial facilities.

 

Supporting Immigrants Coming to New York City: New York City has led the nation’s response to the influx of asylum seekers through an interagency operation that managed the arrival of buses; opening approximately 70 emergency shelters and humanitarian relief centers; and establishing the first-in-the-nation Asylum Seekers Resources Navigation Center and, subsequently, 10 additional centers, to provide comprehensive services, including access to health care, educational enrollment, and legal assistance, among other services. Additionally, the Adams administration responded to international emergencies with the Ukrainian and Haitian Response Initiatives to provide legal services to Ukrainian and Haitian refugees.

 

Getting Stuff Clean: Mayor Adams announced a $14.5 million sanitation investment to help build a cleaner, more welcoming city across all five boroughs that targeted more than 1,000 areas that have long been neglected. Mayor Adams also invested a record $22 million in new funding for litter basket service, with baskets now emptied approximately 50,000 more times per week citywide when compared to 2021. New Yorkers are tired of seeing overflowing litter baskets, trash under overpasses, and an out-of-control rat population, so the Adams administration intends to deliver a more functional and more well-kept city for all.

 

Creating Largest Composting Initiative in the Nation: Mayor Adams announced the nation’s largest curbside composting program as weekly collection of compostable materials became automatic and guaranteed for every resident in Queens.

 

Clearing the Backlog of Unpaid City Contracts: More than $5.3 billion in money owed to non-profits has now been unlocked through the ‘Clear the Backlog’ initiative, resulting in 3,303 previously unregistered, retroactive contract actions being registered or submitted for registration — helping 624 providers of essential community services get paid.

 

Staying Ahead of COVID-19: Mayor Adams launched a first-in-the-nation Mobile Test to Treat program to provide immediate access to COVID-19 antiviral treatment pills, which are proven to reduce hospitalization and death. The city also handed out more than 75 million free at-home COVID-19 test kits to ensure New Yorkers would have accurate test results right away when needed.

 

Building an Equitable Cannabis Industry: Mayor Adams launched Cannabis NYC, a first-of-its-kind initiative to build a legal and equitable cannabis industry that supports entrepreneurs, especially those disproportionately impacted by the criminalization of cannabis, and their workers as the industry develops. Through a two-week pilot program, the Adams administration also helped to protect justice-involved individuals who were promised the first opportunity at new cannabis licenses by conducting enforcement against unlicensed establishments selling cannabis — resulting in the seizure of more than $4 million worth of products being sold illegally and the issuance of more than 550 summonses.

 

Cutting Red Tape for Small Businesses: The Adams administration made reforms to 118 city regulations as part of “Small Business Forward,” which will save New York City small businesses approximately $8.9 million annually.

 

Protecting Vulnerable Workers

Mayor Adams delivered first-of-their-kind new protections for New York City’s more than 60,000 app-based restaurant delivery workers to raise labor standards and promote better working conditions in the food delivery industry. The Adams administration also launched the historic Medallion Relief Program+, which has provided more than $316.5 million in debt relief for over 1,200 medallion owners.

 

Expanding Services for LGBTQ+ New Yorkers: Mayor Adams announced a $6.7 Million investment in new and expanded services for LGBTQ+ New Yorkers, including a first-of-its-kind funding for capacity building of transgender and gender non-conforming (TGNC)/non-binary (NB)-led nonprofits, legal services, and support for homeless youth.  

 

Supporting Minority- and Women-Owned Businesses Enterprises (M/WBE): Mayor Adams helped secure legislation in Albany allowing the city to increase discretionary spending for M/WBE businesses and organizations from $500,000 to $1 million. Mayor Adams also achieved the city’s 10-year goal of awarding $25 billion in contracts to M/WBEs three years ahead of schedule.

 

Making New York an Inclusive City for All Ages: Mayor Adams launched the City Cabinet for Older New Yorkers, a first-of-its-kind multiagency collaboration created to seek coordination and efficiency across departments, leverage resources, and shape current and future services to better serve older adults.

 

Expanding Weekly Programming at Recreation Centers by 1,400 Additional Hours: The Adams administration supported New York City youth by announcing that the New York City Department of Parks and Recreation (NYC Parks) would expand recreation center hours by 1,400 hours at nine locations across the city. In October 2022, with an investment of $7 million, NYC Parks expanded hours and programming at nine recreation centers across the city, resulting in a 17 percent expansion of citywide recreation center hours. A total of 130 full time staff, including programming, maintenance, and security staff, were hired to support this expansion. Once fully-trained and onboarded, programming staff will deliver more than 1,400 additional hours of weekly programming.

Governor Hochul Announces New Framework to Achieve Nation-Leading Six Gigawatts of Energy Storage by 2030

 

Comprehensive Roadmap Proposes to Expand State's Successful Energy Storage Programs to Unlock the Rapid Growth of Renewables and Bolster Grid Reliability and Customer Resilience

Storage Deployments Expected to Reduce Projected Future Statewide Electric System Costs by Nearly $2 Billion if Approved

Supports the Climate Leadership and Community Protection Act Goals to Generate 70 Percent of State's Electricity from Renewables by 2030 and 100 Percent Zero-Emission Electricity by 2040

 Governor Kathy Hochul today announced a new framework for the State to achieve a nation-leading six gigawatts of energy storage by 2030, which represents at least 20 percent of the peak electricity load of New York State. The roadmap, submitted by the New York State Energy Research and Development Authority and the New York State Department of Public Service to the Public Service Commission for consideration, proposes a comprehensive set of recommendations to expand New York's energy storage programs to cost-effectively unlock the rapid growth of renewable energy across the state and bolster grid reliability and customer resilience. If approved, the roadmap will support a buildout of storage deployments estimated to reduce projected future statewide electric system costs by nearly $2 billion, in addition to further benefits in the form of improved public health because of reduced exposure to harmful fossil fuel pollutants. Today's announcement supports the Climate Leadership and Community Protection Act goals to generate 70 percent of the state's electricity from renewable sources by 2030 and 100 percent zero-emission electricity by 2040.

"Storing clean, renewable energy and delivering it where and when it is needed is one of the most critical challenges we must overcome to reduce statewide emissions, especially from traditional fossil fuel peaker plants," Governor Hochul said. "This roadmap will serve as a model for other states to follow by maximizing the use of renewable energy while enabling a reliable and resilient transformation of the power grid."

NYSERDA and DPS carefully assessed potential market reforms and cost-effective procurement mechanisms to achieve six gigawatts, and identified research and development needs to accelerate technology innovation, particularly for long-duration storage. The agencies also considered approaches to energy storage development in a way that advances the elimination of the state's most polluting fossil fuel power plants, as proposed by Governor Hochul in her 2022 State of the State address.

This roadmap proposes the implementation of NYSERDA-led programs towards procuring an additional 4.7 gigawatts of new storage projects across the bulk (large-scale), retail (community, commercial and industrial), and residential energy storage sectors in New York State. These future procurements, combined with the 1.3 gigawatts of existing energy storage already under contract with the State and moving towards commercial operation, will allow the State to achieve the six-gigawatt goal by 2030.

Department of Public Service CEO Rory M. Christian said, "Governor Hochul is a key supporter of energy storage development in New York State. The framework that is being proposed provides New York with the resources it needs to speed our transition to a clean-energy economy and meet our critically important climate goals."

The roadmap proposes:

1. 3,000 megawatts of new bulk storage, enough to power approximately one million homes for up to four hours, to be procured through a new competitive Index Storage Credit mechanism, which is anticipated to provide long-term certainty to projects while maximizing savings for consumers;
2. 1,500 megawatts of new retail storage, enough to power approximately 500,000 homes for up to four hours, and 200 megawatts of new residential storage, enough to power 120,000 homes for up to two hours, to be supported through an expansion of NYSERDA's existing region-specific block incentive programs;
3. Utilization of at least 35 percent of program funding to support projects that deliver benefits to Disadvantaged Communities (DACs) and that target fossil fuel peaker plant emissions reductions, with program carve-outs for projects sited in the downstate region, given its high concentration of DACs and peaker plants;
4. Requiring electric utilities to study the potential of high-value energy storage projects towards providing cost-effective transmission and distribution services not currently available through existing markets;
5. A continued prioritization by existing programs on investing in research and development related to reliable long-duration energy storage technologies; and
6. Payment of prevailing wage as a programmatic requirement for energy storage projects with a capacity of one megawatt and above, demonstrating the state's continued commitment to driving family-sustaining jobs in clean energy.

Expanding the State's energy storage goal is expected to have an average electricity bill impact for New York customers of less than half a percent, or approximately $0.46 per month. The Roadmap is available for public comment on the Department of Public Service's website, with a subsequent decision-making expected in 2023.

Energy storage plays a critical role in supporting New York's zero-emission electric grid by enabling the integration of large quantities of renewable energy, helping to smooth generation, reduce curtailment, and shift renewable generation to where and when it is needed most. As of November 2022, New York has awarded over $500 million to support approximately 130 megawatts of operating energy storage in the state. There are more than 1,300 megawatts of additional energy storage under contract with the State and moving towards commercial operation. As New York electrifies buildings, transportation and industrial end uses, accelerating energy storage deployment will provide a flexible solution to help meet these additional demands on the grid and support the retirement of downstate fossil fuel generators near their end of life.

New York State's Nation-Leading Climate Plan

New York State's nation-leading climate agenda is the most aggressive climate and clean energy initiative in the nation, calling for an orderly and just transition to clean energy that creates jobs and continues fostering a green economy as New York State recovers from the COVID-19 pandemic. Enshrined into law through the Climate Leadership and Community Protection Act, New York is on a path to achieve its mandated goal of a zero-emission electricity sector by 2040, including 70 percent renewable energy generation by 2030, and to reach economy wide carbon neutrality. It builds on New York's unprecedented investments to ramp-up clean energy including over $35 billion in 120 large-scale renewable and transmission projects across the state, $6.8 billion to reduce buildings emissions, $1.8 billion to scale up solar, more than $1 billion for clean transportation initiatives, and over $1.6 billion in NY Green Bank commitments. Combined, these investments are supporting more than 165,000 jobs in New York's clean energy sector in 2021, a 2,100 percent growth in the distributed solar sector since 2011 and a commitment to develop 9,000 megawatts of offshore wind by 2035. Under the Climate Act, New York will build on this progress and reduce greenhouse gas emissions by 85 percent from 1990 levels by 2050, while ensuring that at least 35 percent with a goal of 40 percent of the benefits of clean energy investments are directed to disadvantaged communities, and advance progress towards the state's 2025 energy efficiency target of reducing on-site energy consumption by 185 trillion BTUs of end-use energy savings.

ADMINISTRATION FOR CHILDREN’S SERVICES ANNOUNCES KEY FINDINGS FROM RECENT SURVEY ABOUT FAMILIES’ EXPERIENCES WITH PREVENTION SERVICES

 

Nearly All Survey Participants Reported Being Happy With the Prevention Services They Were Receiving Through ACS Contracted Providers & That These Services Were Helping Families Achieve Their Goals

The “ACS Prevention Family Experience Survey” is Just One of the Ways in Which ACS is Listening to & Working to Better Understand the Lived Experiences of Families in NYC

Today, the NYC Administration for Children’s Services (ACS) released key findings from its annual “ACS Prevention Family Experience Survey.” Approximately 94 percent of survey participants reported being happy with the services their families were receiving through ACS contracted providers.  Survey participants also felt that the services were helping them achieve their goals, and that they would recommend the services to a friend or family member.

Prevention services are designed to help families overcome challenges that ultimately help keep their children safely at home and in their communities. Through a network of community-based providers across NYC, over 16,000 families receive prevention services each year. Survey participants reported receiving services like family counseling, mental health counseling, support with their children’s education and/or daycare, domestic violence services as well as support with more concrete resources like clothing, furniture, food and access to government services (SSI, SNAP, etc.). This annual survey is just one of the ways in which ACS is listening to and working to better understand and respond to the lived experiences of families in New York City.

“When families need a helping hand, ACS will connect them to one of our community-based service providers that can help provide family counseling, mental health counseling, access to child care vouchers, access to food or clothing, and so much more. According to the just-released survey, the great majority of participating families are happy with the community-based services they’re receiving and would even recommend them to a friend or family member. ACS will continue to spread the word about how families can access these free and voluntary prevention services, and we will continue to find new ways to hear from those with lived experiences so that we can further improve our work,” said Commissioner Jess Dannhauser.

ACS’s nationally recognized continuum of prevention services have safely reduced the use of foster care. There were nearly 50,000 New York City children in foster care 25 years ago, and 17,000 just a decade ago. Today, there are fewer than 7,000 New York City children in foster care – a historic low.

In July 2020, ACS launched its redesigned prevention services system, which provides increased support to children and families in every neighborhood across New York City. The new system offers universal access to the full range of programs to all families across the City, regardless of where they live. Additionally, the new system expands therapeutic supports to families, aims to increase parent voice and choice in service delivery, and requires provider agencies to implement efforts to address racial disparities and promote racial equity in all programs.

In collaboration with provider agencies, the annual “ACS Prevention Family Experience Survey” was offered to families receiving prevention services. Thirty-three percent of families receiving prevention services during the point in time of survey administration chose to participate in the survey. The survey included questions about household demographics, the type and quality of services received, interactions with case planners, and suggestions for improvements. Findings from the survey will continue to inform further program and practice improvements.

• An overwhelmingly majority of survey participants were satisfied with the quality of services they received. For example, 93% of participants agree services are helping them achieve their goals; 94% of survey participants agree that they are happy with the prevention services their families received; 90% of survey participants agree that they would recommend services to a friend and/or family member; and 89% of survey participants agree that they would go to their prevention provider for help in the future.
• A large majority of survey participants (90 percent) said the referral to prevention services from ACS was helpful for their families. The continuum of prevention services programs aims to meet the varying needs of families. Families can expect services to be free, trauma informed, and culturally responsive while also having flexible hours to accommodate families’ schedules
• Nearly all survey participants were satisfied with the work of their case planners. Case planners are the primary staff members at the ACS-contracted prevention provider agencies with whom service recipients interact. They are crucial to the work, as they deliver services directly to parents/caregivers, children, young people, and families. Most families that participated in the survey reported that their case planner is available (97%); that they trust their case planner (96%); feel safe telling their case planner about their family (96%); feel listened to when setting goals for their family as part of their work with the case planner (97%); and feel their case planner respects their cultural practices (96%).

To read the full Prevention Family Experience Survey, please click here.

Final Defendant in Michigan Governor Kidnapping Plot Sentenced to Over 19 Years in Prison

 

Barry Croft Jr., 47, of Bear, Delaware, was sentenced today to 235 months in prison followed by five years of supervised release for conspiracy to kidnap the Governor of Michigan, conspiracy to use weapons of mass destruction against persons or property, and knowingly possessing an unregistered destructive device, which was a commercial firework refashioned with shrapnel to serve as a hand-grenade.

Croft was convicted by a federal jury in August 2022 during an 11-day retrial. According to court documents and evidence presented at trial, Croft and others intended to kidnap Governor Gretchen Whitmer from her vacation cottage near Elk Rapids, Michigan, and use the destructive devices to facilitate their plot by harming and hindering the governor’s security detail and any responding law enforcement officers. They specifically explored placing a bomb under an interstate overpass near a pedestrian boardwalk. A jury in an earlier trial was unable to reach a verdict.

Croft is the final defendant to be sentenced for his role in the plot.

Co-defendant Adam Fox, 39, of Wyoming, Michigan, was sentenced yesterday to 16 years in prison followed by five years of supervised release for his role in the conspiracy. Ty Garbin, 27, of Hartland, Michigan, pleaded guilty in January 2021 and initially received a sentence of 75 months, or over six years, in prison. The district court later reduced that sentence to a term of 30 months, or two and a half years in prison, after fully considering his cooperation at both trials. Kaleb Franks, 28, of Waterford, Michigan, received a term of four years in prison after pleading guilty and testifying at both trials. Co-defendants Daniel Harris and Brandon Caserta were acquitted at the first trial in April 2022.

Assistant Attorney General Matthew G. Olsen of the Justice Department’s National Security Division, Former U.S. Attorney Andrew Birge for the Western District of Michigan, appointed to oversee the trial, Assistant Director Robert R. Wells of the FBI’s Counterterrorism Division and Special Agent in Charge James A. Tarasca of the FBI Detroit Field Office made the announcement.

The FBI’s Detroit Field Office investigated the case with valuable assistance provided by the FBI’s Baltimore Field Office and the Joint Terrorism Task Force, including Michigan State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).

City Comptroller Lander Applauds Governor Hochul’s Signing of Legislation to Allow NY’s Public Pension Funds More Flexibility to Diversify Portfolios

 

New law, advocated for by Comptroller Lander, increases the share that City and State pension funds can invest in private market asset classes from 25% to 35%.

This increase in the “basket clause” is projected to generate higher returns over the long term, at a comparable level of risk.

New York City Comptroller Brad Lander welcomed Governor Kathy Hochul’s signing of S8532, which provides additional flexibility for public pension funds in New York State, including the five New York City Retirement Systems (NYCRS), to diversify their portfolios.

The legislation, which was sponsored by New York State Senator Robert Jackson and Assembly Member Peter J. Abbate Jr, makes changes to the “basket clause,” contained in New York Retirement and Social Security Law § 177. The new law increases the share of their portfolios that pension funds can allocate to private markets investments (including infrastructure, real estate, private equity, opportunistic fixed income, hedge funds, venture capital, and some foreign equities) from 25% to 35%.

“Safeguarding the retirement of New Yorkers in our public pension systems requires making prudent investment decisions for the long term,” said New York City Comptroller Brad Lander. “I am grateful to Governor Kathy Hochul for signing this critical piece of legislation to modernize the ‘basket clause’ and grant public pension funds the flexibility we need to make investment decisions in the best interest of our members and beneficiaries. Thank you also to Senator Jackson and Assembly Member Abbate for spearheading the legislative effort to make today’s signing a reality. Amid a challenging market environment, we believe this is the most significant long-term adjustment we can make to safely maximize returns. I look forward to working in collaboration with each of our City’s public pension boards to deliver strong returns for New York City’s pensioners”

The “basket clause,” established in 1960, ensures that pension funds are primarily invested in publicly traded equities and fixed income investments. It was last adjusted in 2006, when it was increased from 15% to 25%. Since 2000, private markets as measured against the global public equity index, have increased five-fold. Among all companies with more than $100 million in annual revenue, more than 18,000 are privately held while only 3,000 are publicly traded.

The legislation signed by the governor last Friday increases the allowable limit on private markets investments to 35%, which is in line with the asset allocations of other U.S. public pension funds (California Public Employees 33%, Texas Teachers 35%, and Florida State Board 33%). It is also well below that of foundations and university endowments, which average 57%.

Projections show better NYCRS performance with an increased basket cap, greater flexibility, and greater diversification. A recent analysis by an independent consultant shows an expected increase in annual returns of 60bp while keeping portfolio risk unchanged, which would translate to an average expected additional $1.4B of returns per year.

The legislation also applies to New York State Common Retirement Fund and New York State Teachers’ Retirement System. The law does not mandate any change to asset allocation but would provide the Systems with more flexibility as they embark on their next strategic asset allocation process and make investment decisions in the best interests of the members and beneficiaries they serve, and in full coordination with their board and designated consultants.

“Governor Hochul is to be commended for providing our public pension funds with the investment flexibility they need to generate the returns required to provide financial security to New York City retirees,” said Kathryn Wylde, President & CEO of the Partnership for New York City.

“A well-managed pension portfolio provides income security for public servants. A decision of this magnitude must protect pension assets through recessions, pandemics, war and climate change. This bill provides New York City’s pension boards with the tools necessary to take advantage of new opportunities in a changing economy while managing risk. New York City and State pension funds have a long tradition of strong leadership because they pay attention to these important but obscure aspects of the people’s business. Governor Kathy Hochul, City Comptroller Brad Lander, Senator Robert Jackson and Assemblymember Peter Abbate have done the right thing to protect the promises made to New York’s retirees,” said Tom Sanzillo, Former First Deputy Comptroller of New York State and Former Assistant Deputy Comptroller for New York City.

“Increased flexibility in public pension investments is essential in times of economic uncertainty. The ability to further diversify our assets will provide long-term stability for our members. We thank Governor Hochul for passing the “basket clause” bill and appreciate the partnership of the Comptroller’s office in advocating for this legislation,” said District Council 37 Executive Director Henry Garrido.

“The UFOA celebrates the signing of the “basket clause” bill (S8532) into law. This important legislation will allow the pension fund greater flexibility in making investment decisions, helping diversify the portfolio, and allowing for increased investment returns while minimizing risk. That is the goal of every pension fund investor in New York City. We thank Senator Jackson and Assemblyman Abbate for crafting this bill and shepherding it through both houses of the legislature. Governor Hochul signed the final version of the bill last week making it law and continuing her support for the working people of New York State. The UFOA looks forward to working with Comptroller Brad Lander, the Bureau of Asset Management, and other pension funds to implement this added ability to increase returns,” said Jim McCarthy, President of the Uniformed Fire Officers Association.

“I want to thank the governor, the legislative leaders, Comptroller Lander and my fellow trustees for their support and leadership on this important issue. Passage of this bill will provide the tools necessary for the funds to be invested in a more modern way that promotes prudent growth of the funds while safeguarding the assets and providing for the retirement security of our members,” said Debra Penny, Treasurer of the United Federation of Teachers.

“Allowing greater diversification while holding portfolio risk constant is the smartest step we could take in today’s investment environment for our beneficiaries,” said Bryan Berge, Director of the Mayor’s Office of Pension and Investments and Chair of the Board of the New York City Employees’ Retirement System. “As the Mayor’s representative on four of the five pension boards, I extend thanks on behalf of the administration of Mayor Eric Adams to Comptroller Lander, Senator Jackson, Assembly Member Abbate, and Gov. Hochul for their vision and wisdom in advancing this important measure.”

“We would like to thank the New York State Legislature and Governor Hochul for their work in increasing the basket clause cap from 25% to 35%. This permits New York City pension systems such as the New York City Board of Education Retirement System (BERS) to make investments in a more complex landscape. This will also allow for better diversification of investments between public and private markets and for realized returns that will make it possible for current and future members of BERS to retire with the dignity they earned in service to New York City’s public schools,” said Thomas Sheppard and Donald Nesbit, Co-Chairs of the New York City Board of Education Retirement Systems Board of Trustees.

A detailed explanation of the ‘basket clause’ and answers to frequently asked questions can be found here.

Governor Hochul Signs Legislative Package to Support Pedestrians, Bikers and Transit Riders

 

Legislation (S.3897/A.8936-A) Provides Funding for "Complete Streets" Projects Inclusive of a Holistic Approach to Street Design

Legislation (S.3959-B/A.7822-C) Adds Board Seats to NFTA, RGRTA, CDTA, and Central New York Regional Airport Authority Dedicated to a Transit Dependent Individual

 Governor Kathy Hochul today signed a legislative package supporting pedestrians, bikers and transit riders across New York State. These new laws will increase Department of Transportation support for municipal "complete streets" projects, and require regional transportation boards have voting seats for transit dependent individuals.

"Whether you're on the sidewalk, in the bike lane or riding the bus, you deserve a high-quality trip that gets you safely to your destination," Governor Hochul said. "Transportation is all about connections: bringing people closer to their jobs, their homes, and the people they love. I'm proud to sign two new laws that will make our streets safer and our communities more connected."

Legislation (S.3897/A.8936-A) provides increased funding for "Complete Streets" projects, which incorporate a holistic approach to street design. A Complete Street is a roadway planned and designed to consider the safe, convenient access and mobility of roadway users of all ages and abilities. This includes pedestrians, bicyclists, public transportation riders, and motorists; it includes children, the elderly, and persons with disabilities. Complete Street designs contribute to a cleaner, greener, transportation system. This bill increases the state share of funding for municipalities incorporating Complete Street features. Under the new legislation, the state's contribution to the non-federally funded portion of Complete Street projects will increase to 87.5 percent, which will help municipalities to implement these street designs.

Permits Filed For 1652 Grand Avenue In Morris Heights, The Bronx

 

Permits have been filed to expand a two-story, two-unit mixed-use building at 1652 Grand Avenue in Morris Heights, The Bronx. Located between West 174th Street and West 176th Street, the lot is near the 176th Street subway station, serviced by the 4 train. Isaac Friedman is listed as the owner behind the applications.

The proposed 25-foot-tall development will yield 3,941 square feet designated for residential space. The building will have nine residences, most likely rentals based on the average unit scope of 437 square feet. The steel-based structure will also have a cellar and a 36-foot-long rear yard.

Nikolai Katz Architect is listed as the architect of record.

Demolition permits will likely not be needed as the development calls for an expansion. An estimated completion date has not been announced.