Sanitation Department Awards Contracts to Commercial Waste Haulers with Hundreds of Safety, Environmental, and Labor Violations, Comptroller Finds

 

Comptroller Lander’s review calls for stronger oversight and transparency to achieve the safety, labor, and environmental benefits intended by the 2019 “Commercial Waste Zone” law

New York City Comptroller Brad Lander released a review of the Department of Sanitation (DSNY)’s implementation of the Commercial Waste Zones (CWZ) program developed by Local Law 199, a 2019 reform enacted to address safety, labor, and environmental risks in the notorious commercial waste removal industry. While the review finds that DSNY technically complied with the law, it identifies numerous failures to address key industry issues.

“The Adams Administration’s rollout of Commercial Waste Zones raises serious concerns,” said Comptroller Brad Lander. “By awarding contracts to bad actors with terrible safety records, the Department of Sanitation is undermining the goals of the program. The City must improve transparency and be willing to hold bad carters to higher standards to ensure this law actually improves the conditions for workers and our environment.”

While DSNY itself collects waste from residents, for commercial businesses, the City manages a network of more than 90 private carting companies licensed to contract with and collect waste from businesses. Collectively, the City’s commercial businesses generate more than 3 million tons of waste each year.

For decades, the private carting industry operated in a disorganized, inefficient, and hazardous manner. Private garbage trucks crisscross the city collecting waste from businesses across long, overlapping routes. In some parts of the city, over 50 carters serve a single neighborhood; a single commercial block could see dozens of different private garbage trucks on a given night. The overlapping routes and high concentrations of trucks in a single area result in millions of excess truck miles each year, negatively impacting the city’s air quality and public health.

Local Law 199 gave DSNY the authority to reform the commercial waste industry by dividing the city into 20 “commercial waste zones,” each served by up to three carting companies selected through a competitive process for ten-year terms. New York City Business Integrity Commission (BIC) must license each carter. In January 2024, DSNY announced the selected carters and in September 2024 began implementation of the first Commercial Waste Zone. After environmental advocates, labor unions, and elected officials expressed concerns on the implementation of the CWZ program, Comptroller Lander launched the review into DSNY’s carter selection.

Auditors found that, despite following the letter of the law, the 18 carters selected by DSNY accumulated an average of 241 violations over a four-year period for traffic safety, hazardous waste disposal, and labor violations. Ultimately, DSNY chose eight of the ten carters with the worst safety records to participate in the CWZ program. One company alone, Action Carting Environmental Services Inc, received over 1,000 violations. Moreover, DSNY selected Cogent Waste Solutions to participate in the program, despite the company receiving $50 million in fines for violations issued by BIC. Cogent Waste Solutions’ violations resulted in a $500,000 settlement, the highest-ever payout on record with BIC, for overcharging customers in close to 5,000 instances from March 2020 to December 2022.

The Comptroller’s review uncovered problems in the program’s implementation:

• Active litigation did not impact selection: 12 out of the 18 awarded carters faced some form of civil litigation. Two companies (Royal Waste and Action Carting) accounted for 60% of the pending cases.
• Prices varied widely between and within zones, lacked transparency, and carters that scored highly on pricing were not necessarily awarded zones. The Comptroller’s review confirmed that pricing was DSNY’s most heavily weighted factor in reviewing proposals. However, carters’ proposals did not explain how they derived pricing, with the maximum five-day monthly price that some carters could charge being at least 50% more than what other carters could charge within the same    zone.
• The weighting process may have disadvantaged smaller operators. DSNY awarded 4 companies (Action Carting, Waste Connections, MRT BWR, and Cogent) 70% of zone assignments. DSNY gave higher scores to proposals submitted by the larger carters.

To improve implementation and transparency, Comptroller Lander’s review recommends tracking key indicators like vehicle miles traveled and safety violations in the Mayor’s Management Report. It also urges DSNY to investigate pricing discrepancies and closely monitor performers with major violation histories. While DSNY selected all carters for the Commercial Waste Zones program, full implementation will not be completed until 2027. In the meantime, carters with fewer violations that were not selected by the City are shutting down. As the industry consolidates, the City faces a narrowing window to rebid contracts to more responsible operators before they exit the market.

The Comptroller urged the City to consider interventions to ensure the program’s success:

Accelerate the rollout of Commercial Waste Zones to achieve full implementation by 2026 rather than 2027.

• Make public the safety and zero waste plans submitted by carters during the RFP process to hold them accountable, along with any customer education and training materials.
• Grant DSNY additional enforcement authority over carters, including an escalating violation structure where repeated safety, environmental, and labor infractions lead to higher fines and ultimately the loss of a carter’s BIC license, where appropriate.
• Require carters with the most serious safety, environmental, and labor records to pay DSNY a bond to compensate victims in the event of future violations or legal infractions.
• Explore the agency’s ability to void and rebid contracts with carters that fail to meet program requirements or are in violation of City, State or Federal law.
• Open permitted marine transfer stations to commercial waste haulers in order to reduce truck traffic and take advantage of underutilized capacity at these facilities.

MAYOR ADAMS BREAKS GROUND ON $218 MILLION PUBLIC SAFETY PROJECT TO PROTECT RED HOOK FROM COASTAL FLOODING, SAVE HUNDREDS OF MILLIONS OF DOLLARS FOR RESIDENTS IN LOST PROPERTY COSTS

 

Project Will Install Floodwalls and Floodgates to Mitigate Risk From Future Flooding and Sea Level Rise

Two Miles of Resiliency Features Will Stretch Along Red Hook’s Waterfront, Integrated Into Neighborhood’s Streetscape, Keeping New Yorkers Safe During Extreme Weather

New York City Mayor Eric Adams’ administration broke ground on Red Hook Coastal Resiliency (RHCR), a $218 million public safety project that will protect neighborhood residents and businesses from the effects of future storm surges and flooding above sea level — keeping more New Yorkers safe during extreme weather events and saving hundreds of millions of dollars in future repairs from destructive extreme weather events. RHCR will commission a series of floodwalls, floodgates, street redesigns, and other infrastructure enhancements to build a continuous line of long-term resiliency features in the Red Hook neighborhood, creating a two-mile integrated coastal defense system stretching across Atlantic Basin and Beard Street, two of the neighborhood’s most flood-prone areas. Work is scheduled to be completed by the summer of 2028, ensuring a more resilient Red Hook community in the face of future extreme weather and a changing climate, providing protection against storms that have a one in 10 chance of occurring each year, and protecting against sea level rise as projected by the New York City Panel on Climate Change in a low-lying coastal community where these storms are a more frequent flooding threat.

“Keeping people safe includes protecting New Yorkers from the destructive effects of climate change and extreme weather. Today, we are taking action as we break ground on Red Hook Coastal Resiliency and invest in the safety of our people, our neighborhoods, and our city,” said Mayor Adams “This massive $218-million public-safety project demonstrates that our city is leading the nation when it comes to protecting New Yorkers from the dangers of extreme weather, and thinking about how we can avoid infrastructure and residential damage and keep money in New Yorkers’ pockets. The work we begin here today is more than just protective infrastructure, it’s how we are investing in safer, more resilient neighborhoods for generations to come.”

“The Red Hook Coastal Resiliency project will deliver meaningful protection against storm surge flooding caused by climate change,” said New York City Chief Climate Officer and New York City Department of Environmental Protection Commissioner Rohit T. Aggarwala. “This project will bring much-needed coastal relief to Red Hook residents and businesses in this waterfront community. The Department of Environmental Protection, the Mayor’s Office of Climate and Environmental Justice, and our agency partners are delivering critical coastal infrastructure that ensures New Yorkers’ continued access to our waterfronts as sites of industry, transportation, and recreation.”  

Map showing project area of RHCR. Credit: New York City Department of Design and Construction

RHCR is designed to improve stormwater management and sustainability, while maintaining the Red Hook neighborhood’s character. Public space improvements include a full reconstruction of Todd Triangle — transforming it into a more inviting, plaza-like space with seating and landscaping — and extending the Brooklyn Waterfront Greenway by 1.2 miles with new bike lanes improving pedestrian, bicycle, and vehicle circulation. The IKEA waterfront park will also be upgraded to meet ADA standards, with improved pathways, additional seating, and new plantings for increased accessibility and comfort. Finally, there will be nearly 200 new tree plantings, as well as shrubs and flowers, to enhance greenery and natural water absorption throughout the neighborhood.

Floodwalls

The construction of floodwalls and deployable floodgates, the raising of some streets, and upgrades to local sewers will address flooding. Currently, Red Hook’s lowest point is about four feet above sea level. The project will create a continuous flood protection system that will boost the area’s protection to 10-feet above sea level.

Nearly 1.5 miles of floodwalls, reaching up to five feet in height, along with eight flip-up gates and two roller gates, will be constructed. Some streets within the project area will be raised by up to three feet to support both passive and deployable flood protection measures. Roadways, curbs, and sidewalks will also be reconstructed throughout the project to ensure seamless integration of the resiliency features with existing neighborhood infrastructure.

Floodgates

A design rendering shows a floodgate and street improvements that will be installed at Van Brunt and Reed Streets. Credit: DDC

Street Redesign

Future roadway and streetscape upgrades at Todd Triangle, which includes a bike lane, ADA-compliant pedestrian ramps, and street safety upgrades Credit: DDC

RHCR was designed with extensive input from the community and years of planning engagement. Numerous community board meetings, and community and stakeholder meetings, were held throughout the course of the design process to inform the public and take input and feedback on project alternatives and future implementation.

Governor Hochul Announces Record 7-Day Subway Ridership With 26.8 Million Rides Last Week

Subway Ridership Exceeded Four Million Riders Every Weekday for the First Time Since March 2020

Paratransit Achieves Highest Ridership Month Ever in August and Sets New Single-Day Ridership Record With Nearly 47,000 Trips

Metro-North Railroad Hits Highest 5-Day Ridership Average Since March 2020

Governor Kathy Hochul announced that the Metropolitan Transportation Authority (MTA) set a new post-pandemic subway ridership record, setting a new 7-day high of 26.8 million riders traveling between Monday, Sept. 8 and Sunday, Sept. 14. Additionally, the subway recorded more than four million riders every weekday – a first since the COVID-19 pandemic. New York City Transit recorded 4.1 million riders on the subway on Monday; 4.44 million on Tuesday; 4.48 million on Wednesday; 4.51 million on Thursday; and 4.2 million riders on Friday. This ridership milestone underscores customer confidence in public transit as the best way to get around the region as the MTA continues to deliver the best service in over a decade, with record on-time performance and enhanced reliability.

“The subway is New York City’s lifeblood, and when ridership is growing, it means even more New Yorkers are going to work, to school, to shop, and to take advantage of everything this city has to offer,” Governor Hochul said. “We’ve made real progress in the subway system delivering more service with increased reliability and by improving safety and reducing crime. This is what New Yorkers expect and deserve: a safe and reliable ride. By continuing to improve what matters to riders, I look forward to even more record weeks to come.”

Growing ridership comes on the heels of strong performance and improving safety. Subway weekday on-time performance in August was 85.2%, matching the previous high set in May of this year. It was also the best August in 10 years. The subway had a historically safe August, with transit crime down 22.8% from August of 2024. Last month was the safest August in the subway system in recorded history.

Buses saw its third highest weekly ridership since the pandemic with 9.3 million rides, up 2.7% compared to 2024. The highest week was the week of September 12, 2022, with 100,000 more riders.

Access-a-Ride paratransit service continues to experience historic ridership growth, setting a milestone of the highest monthly total ridership of all time in August and a new single-day record on Wednesday, Sept. 10, with 46,875 scheduled trips. Paratransit leads the MTA in post-pandemic ridership return, with 2025 ridership at 140% of its pre-pandemic peak. Access-A-Ride now regularly exceeds 40,000 scheduled weekday trips, with ridership the size of entire bus networks of cities such as Charlotte, Cincinnati and Kansas City.

It has also been a strong week for the commuter railroads. TMetro-North Railroad carried an average of 237,994 riders for the workweek, the highest 5-day average since March 2020. The Long Island Rail Road reached its highest 5-day ridership average since the pandemic the week of August 25, with an average of 288,459 riders,and continued to see strong ridership this past workweek with an average of 277, 435 riders. Additionally, on-time performance for both the Long Island Rail Road and Metro-North have consistently been at or near 97% in 2025.

The first time the MTA reached four million subway riders in a single day during the non-school summer season since the start of the pandemic was on Wednesday, June 25, 2025. These milestones reaffirm the MTA’s path towards a record-breaking year in ridership and on-time performance.

On top of the ridership increases, tap-and-go fare payment continues to grow in popularity with 81percent of riders deciding to tap their phones, contactless debit/credit cards, or OMNY cards to pay their fares during the week of Sept. 8, up from 67 percent in March 2025.

 

Justice Department Files Motion for Summary Judgment in Challenge to Vermont’s “Climate Superfund” Law

 

The Justice Department’s Environment and Natural Resources Division (ENRD) filed a motion for summary judgment in its challenge to the State of Vermont’s “climate superfund” law, which imposes what will likely be billions of dollars in liability on foreign and domestic energy companies for their alleged past contributions to climate change. The complaint was filed in May, along with a complaint against the State of New York for its similar statute, to advance President Donald J. Trump’s executive order  to protect American energy from state overreach.

As the Justice Department explains in its motion, “Vermont is defying federal law, the Constitution, and binding precedent—all so it can punish disfavored businesses for ill-defined harms, without regard to the real harm to our federal system and the Nation’s energy needs.” The motion asks the court to “end Vermont’s lawless experiment.”

“Like New York, Vermont is usurping the federal government’s exclusive authority over nationwide and global greenhouse gas emissions,” said Acting Assistant Attorney General Adam Gustafson of ENRD. “More than that, Vermont’s flagrantly unconstitutional statute threatens to throttle energy production, despite this Administration’s efforts to unleash American energy. It’s high time for the courts to put a stop to this crippling state overreach.”

Chief of Staff and Senior General Counsel John Adams and Counsel to the Assistant Attorney General Riley Walters of ENRD filed the motion.

Queens Man Pleads Guilty To Participating In A Conspiracy To Act As An Illegal Agent Of The Chinese Government In The United States

 

United States Attorney for the Southern District of New York, Jay Clayton, and the Assistant Director in Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), Christopher G. Raia, announced that YUANJUN TANG, a naturalized citizen of the United States and resident of Flushing, Queens, pled guilty to conspiring to act in the United States as an unregistered agent of the People’s Republic of China (“PRC”) before U.S. District Judge John G. Koeltl.  TANG will be sentenced on January 29, 2026. 

“For years, Yuanjun Tang abused the trust he had gained among pro-democracy activists in New York City and around the United States by secretly accepting tasks from Chinese intelligence officers and reporting on persons of interest to the PRC and events conducted in support of democracy,” said U.S. Attorney Jay Clayton.  “Tang’s covert operations violated our nation’s sovereignty and threatened the security of New Yorkers exercising their fundamental rights to free speech and free association.  Tang’s plea today illustrates our profound commitment to protecting American ideals from malign foreign influence.” 

Yuanjun Tang admitted that, for years, he willingly acted on orders of the Chinese government to report on the constitutionally protected activities of US-based Chinese dissidents,” said FBI Assistant Director in Charge Christopher G. Raia.  “Tang's betrayal of the ideals of the US to help the Chinese government repress pro-democracy activists goes against the very values he claimed to promote.  The FBI will continue to defend the freedoms enshrined in our Constitution and bring to justice anyone willing to break the law by illegally acting on behalf of a hostile foreign nation.”

As alleged in public court filings, statements at public court proceedings, and the charging documents in the case:

TANG is a former PRC citizen who was imprisoned in the PRC for his activities as a dissident opposing the one-party authoritarian political system controlled by the Chinese Communist Party (“CCP”), the PRC’s sole ruling party, including during the 1989 Tiananmen Square demonstrations.  In 2002, TANG defected to Taiwan, and he was subsequently granted political asylum in the U.S.  He has since resided continuously in New York City, where he has regularly participated in events with fellow PRC dissidents and leads a nonprofit dedicated to promoting democracy in China.

Between at least 2018 and June 2023, TANG acted in the U.S. as an agent of the PRC by gathering information and completing tasks at the direction of the PRC’s Ministry of State Security (“MSS”), which is the PRC’s principal civilian intelligence agency.  The MSS is responsible for, among other things, the PRC’s foreign intelligence, counterintelligence, espionage, and political security functions.

Specifically, TANG regularly received instructions from and reported to an MSS intelligence officer regarding individuals and groups viewed by the PRC as potentially adverse to the PRC’s interests, including prominent U.S.-based Chinese democracy activists and dissidents.  This included providing the MSS information about specific individuals identified by the MSS as persons of interest, as well as naming, photographing, and recording individuals participating in pro-democracy activities in the U.S.  TANG provided the MSS a range of additional information, such as contact information belonging to immigration lawyers based in New York City and details about the process for gaining political asylum in the U.S.

TANG accepted monetary payments for his work and traveled at least three times to Macau and mainland China for face-to-face meetings with MSS intelligence officers, during which he submitted to polygraphs and questioning.  During one of these meetings, he allowed the MSS to install an application on one of his cellphones to facilitate the instantaneous transmission of photographs and other information from his phone to the MSS and accepted a laptop for use in communicating with the MSS.

TANG used a large number of electronic devices and online services to collect or transmit information on behalf of the MSS.  Law enforcement agents recovered specific instructions TANG received from the MSS, including via encrypted methods, as well as photographs, videos, and documents that TANG collected or created for transmission to the MSS. TANG not only provided the MSS information about specific individuals and events but also helped the MSS infiltrate a group chat on an encrypted messaging application used by numerous U.S.-based PRC dissidents and pro-democracy activists to communicate about pro-democracy issues and express criticism of the PRC government.

TANG, 68, of Flushing, Queens, pled guilty to one count of conspiring to act as an agent of a foreign government without notifying the Attorney General, which carries a maximum sentence of five years in prison.

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

Mr. Clayton praised the outstanding investigative work of the FBI and its New York Field Office, Counterintelligence Division, and thanked the Department of Justice’s National Security Division, Counterintelligence and Export Control Section, for its assistance.

This case is being handled by the Office’s National Security and International Narcotics Unit.  Assistant U.S. Attorney Jane Yumi Chong is in charge of the prosecution, with assistance from Trial Attorney Sean O’Dowd of the National Security Division’s Counterintelligence and Export Control Section.

Assemblymember John Zaccaro, Jr.'s Family Fun Day & Back To School Giveaway is BACK

 

Friends,

The fun never ends!

Join me and Team JZ for a FREE Family Fun Day & Back-to-School Giveaway on Saturday, September 20th. Enjoy free games, activities for all ages, and free backpacks and school supplies for your child*!

Event Details:

 When: Saturday, September 20th

 Where: Zimmerman Playground – 650 Britton St, Bronx, NY

 Time: 12 PM – 4 PM

I look forward to spending the afternoon with you in the great Bronx outdoors!

With gratitude,

John Zaccaro, Jr.

*Children must be between the ages of 4 and 12 and accompanied by an adult.

MOST PRO-HOUSING ADMINISTRATION IN CITY HISTORY: MAYOR ADAMS, ATTORNEY GENERAL JAMES, HPD LAUNCH PILOT PROGRAM TO SUPPORT AFFORDABLE CO-OP OWNERS IN NEW YORK CITY

 

Through Pilot Program, Urban Homesteading Assistance Board Will Use $750,000 From Office of New York State Attorney General Settlements to Help Co-Ops Stabilize Finances, Resolve Arrears, Manage Renovations, and More

Pilot Program Builds on Adams Administration’s Ongoing Efforts to Support Homeownership and Make New York City Best Place to Raise a Family

New York City Mayor Eric Adams, New York Attorney General Letitia James, and New York City Department of Housing Preservation and Development (HPD) Acting Commissioner Ahmed Tigani today announced a new pilot program to support struggling Housing Development Fund Corporation (HDFC) cooperatives in New York City and ensure they can continue to offer safe, affordable homeownership opportunities for low- and- moderate-income New Yorkers. Through the pilot program — called the HDFC Cooperative Technical Assistance Program (CTAP), and which is backed by settlement funds from the Office of the New York Attorney General — Urban Homesteading Assistance Board (UHAB) will provide HDFC co-ops in New York City with targeted technical assistance to help improve their financial, operational, and physical health. CTAP builds on the Adams administration’s ongoing work to help more families achieve and maintain homeownership, including by expanding the city’s HomeFirst Down Payment Assistance Program to help more homebuyers with their first down payment or closing costs and launching a new rent reporting pilot to help tenants build credit through monthly rental payments.

“Our administration works every day to make New York City the best place to raise a family, including by helping more New Yorkers buy and keep homes here in the five boroughs. With this new program, we’re doubling down on those efforts, bolstering a critical part of our city’s housing stock and helping more families find an affordable place to live,” said Mayor Adams. “Our thanks to Attorney General James for helping launch this program and for her steadfast support for working-class New Yorkers. Whether it’s shattering affordable housing records year after year, passing the first citywide zoning reform in six decades, or finding creative ways to build more family-friendly neighborhoods, there is simply no other way to say it: we are the most pro-housing administration in New York City history.”

“As New York City faces a housing crisis, we must do everything we can to preserve affordable housing and homeownership opportunities,” said Attorney General James. “This pilot program will help HDFC co-ops continue to provide safe, sustainable, and affordable paths to homeownership for low-income New Yorkers. I am grateful to Mayor Adams, HPD, and UHAB for their partnership in bringing this new program to life.”

HDFC co-ops are an important part of New York City’s affordable housing landscape and provide one of the most reliable paths to homeownership for low- to moderate-income New Yorkers. There are over 1,200 limited equity HDFC cooperatives in New York City. While most HDFC co-ops are financially stable and demonstrate the positive, multigenerational impact of affordable homeownership, some co-ops are struggling to manage their finances and maintenance needs. Many HDFC co-ops in New York City could benefit from technical assistance as well as support with governance issues, shareholder engagement, and legal matters impacting a co-op’s ability to sell units. CTAP will help directly address these challenges and strengthen selected co-ops.

During the two-year program period, HPD will work closely with UHAB to identify a priority list of struggling HDFC co-ops that could benefit from support. Together with HPD, UHAB will assess each HDFC co-op’s operations, governance structure, financial needs, and physical needs to create and implement an actionable stabilization plan tailored to the specific co-op. Participating co-ops will also have access to a low-interest, flexible financing fund offered for urgent financial or physical needs. This technical assistance program expands HPD’s existing work to provide training and technical assistance to limited equity co-ops, as well as financial assistance offered through HPD’s loan and tax exemption offerings. UHAB will assist approximately 20-30 HDFC co-ops through the pilot program and address various common issues, including:

• Address Municipal Arrears and Other Outstanding Payments: Enable the co-op to pay off any debt owed — such as bills that are past due to the New York City Department of Finance, New York City Department of Environmental Protection, and utility companies — through a sustainable repayment plan or by refinancing the arrears with a below-market loan product.
• Stabilize Finances: Take steps to improve the co-op’s financial health by increasing or restructuring maintenance fees, refinancing debt, identifying unnecessary expenses, hiring third-party property management companies, and implementing sustainable cost-saving measures.
• Support Renovations and Address Housing Violations: Help co-ops explore financing options to complete repairs, including bringing vacant units back online so they can be sold to prospective shareholders. Guide the co-op in addressing outstanding building violations that may prevent the co-op from moving forward with rehabilitation projects.
• Establish Good Governance Practices: Aid the co-op in resolving governance issues by establishing or updating rules and regulations.
• Support Estate and Probate Issues: Engage attorneys to help the co-op’s shareholders and boards with estate planning and probate issues.

This pilot program is funded by the Office of the New York State Attorney General as a result of the 2012 National Mortgage Settlement — which secured $25 billion from five of the nation’s largest mortgage services — and the 2013 Residential Mortgage-Backed Securities Working Group — which secured a $13 billion settlement from JPMorgan Chase for the company’s role in the mortgage crisis.

“A severely aged housing stock, an increasingly complex compliance landscape, skyrocketing insurance and utility costs, and the economic ripple effects of the pandemic on low-income New Yorkers have made the operations of affordable co-ops more and more challenging,” said Margy Brown, executive director, UHAB. “UHAB is grateful to see the New York State attorney general and HPD’s generous investment in skilled technical assistance to support HDFCs’ pathway to long term stability.”

Mayor Adams has made historic investments to create more affordable housing and ensure more New Yorkers have a place to call home. Earlier this year, Mayor Adams  through its work to date. Mayor Adams also announced that, in Fiscal Year 2025, the Adams administration created the most affordable rental units in city history and celebrated back-to-back-to-back record-breaking years for producing permanently-affordable homes for formerly-homeless New Yorkers, placing homeless New Yorkers into housing, and connecting New Yorkers to housing through the city’s housing lottery.

In addition to creating and preserving record amounts of affordable and market-rate housing for New Yorkers, the Adams administration has passed ambitious plans that will create tens of thousands of new homes. Last December, Mayor Adams celebrated the passage of “City of Yes for Housing Opportunity,” the most pro-housing proposal in city history that will build 80,000 new homes over 15 years and invest $5 billion towards critical infrastructure updates and housing.

The Adams administration is also advancing several robust neighborhood plans that, if adopted, would deliver nearly 50,000 homes over the next 15 years to New York neighborhoods. In addition to the Bronx-Metro North Station Area Plan, the Midtown South plan, and the Atlantic Avenue Mixed-Use Plan — all of which have already been passed by the New York City Council — the Adams administration is also advancing plans in Jamaica and Long Island City in Queens.

Building on the success of City of Yes for Housing Opportunity, Mayor Adams unveiled his “City of Yes for Families” strategy in his State of the City address earlier this year to build more homes and create more family-friendly neighborhoods across New York City. Under City of Yes for Families, the Adams administration is advancing more housing on city-owned sites, creating new tools to support homeownership, and building more housing alongside schools, playgrounds, grocery stores, accessible transit stations, and libraries.

In addition to creating more housing opportunities, the Adams administration is actively working to strengthen tenant protections and support homeowners. The “Partners in Preservation” program was expanded citywide in 2024 through a $24 million investment in local organizations to support tenant organizing and combat harassment in rent-regulated housing. The Homeowner Help Desk, a trusted one-stop shop for low-income homeowners to receive financial and legal counseling from local organizations, was also expanded citywide in 2024 with a $13 million funding commitment.

Finally, Mayor Adams and members of his administration successfully advocated for new tools in the 2024 New York state budget that are already helping spur the creation of urgently needed housing. These tools include a new tax incentive for multifamily rental construction, a tax incentive program to encourage office conversions to create more affordable units, lifting the arbitrary “floor-to-area ratio” cap that held back affordable housing production in certain high-demand areas of the city, and the ability to create a pilot program to legalize and make safe basement apartments.

Idaho Husband and Wife and Three Others Charged with Conspiracy to Commit Wire Fraud and Related Charges

 

Defendants Sought Millions in False Tax Refunds by Filing Over 100 Fictitious Financial Instruments with the IRS

Two defendants made their initial appearance before a U.S. Magistrate judge last week after a federal grand jury in Boise, Idaho, returned an indictment charging five individuals with conspiracy to commit wire fraud and related charges for submitting false tax returns and fictious financial instruments to the IRS. The other three defendants had previously made their initial appearances in federal court in Boise. 

The following is according to the indictment: from 2023 through 2024, Andrea and Kent Shannon, of Kuna, Idaho, as well as Brittany Plahm, of Frankfort, Illinois, Monika Skinger of Chicago, and Sherita Chandler, of Port St. Lucie, Florida, allegedly conspired together to submit false individual and trust tax returns that claimed millions in refunds to which they were not entitled. To induce the IRS to accept their refund claims, the defendants and others allegedly sent more than 100 fictitious financial instruments — such as checks, money orders, or payment vouchers — totaling approximately $57 million to the IRS to make it appear that they had paid taxes that could be refunded.  

The indictment further alleges that Andrea and Kent Shannon used a portion of the false refunds they received to purchase, among other things, a $90,000 Cadillac Escalade and a $144,000 GMC Sierra 3500.

All defendants were charged with conspiracy to commit wire fraud. Andrea and Kent Shannon were also charged with wire fraud and filing false claims. Finally, Kent Shannon was also charged with money laundering.

If convicted, the defendants face a maximum penalty of 20 years in prison for the conspiracy charge. Andrea and Kent Shannon face an additional maximum penalty of 20 years in prison for each wire fraud charge and a maximum penalty of five years in prison for each false claim charge. Kent Shannon faces a maximum penalty of 10 years in prison for the money laundering charge. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.

IRS Criminal Investigations is investigating the case.

Trial Attorney David F. Scollan of the Tax Division and Assistant U.S. Attorney Brittney Campbell for the District of Idaho are prosecuting the case.

An indictment is merely an allegation. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.