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Wednesday, November 30, 2016

Rally against 421-A deal

The proposed deal between the Real Estate Board of NY (REBNY) and the construction unions guarantees higher wages for buildings constructed with proposed 421-A tax breaks.  But at what cost?  On THURSDAY, DEC. 1 at 1 PM at City Hall in Manhattan, join the Real Rent Reform Campaign, the Alliance for Tenant Power and other coalitions opposed to the $billion giveaway to developers. 

See NY Slant's article by Tom Waters


GOVERNOR CUOMO’S FLAWED 421-A PROPOSAL

BY TOM WATERS |  
NOVEMBER 29, 2016 |  

Excerpt:  
In recent years, 421-a has cost New York City more than a billion dollars a year in foregone tax revenue ($1.2 billion in 2016), while producing about $100 million a year worth of affordable housing.
Cuomo’s proposal would cost the city $2.4 billion a year in revenue, without bringing about a remotely comparable increase in affordability benefit.
This enormous new tax expenditure would be wasteful in any context, but it is especially ill advised at a time when vital federal subsidy streams to the city are in jeopardy in a Trump presidency. For comparison, the New York City Housing Authority currently receives $910 million a year in federal operating subsidies for public housing and $930 million a year for Section 8 vouchers. 


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