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Asylum seeker response savings and factors contributing to budget reductions

1:21:42

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Council Member Diana Ayala inquires about the savings achieved in the city's asylum seeker response, including $1.09 billion in FY25 and $1.34 billion in FY26. OMB Director Jacques Jiha explains that the savings result from people exiting the system, consolidation of sites, and contract renegotiations. He notes that the asylum seeker population has decreased from 69,000 to about 43,000.

The savings are not attributed to a single policy but a combination of factors
Contract renegotiations and site consolidations play a significant role in cost reduction
The implementation of 30-day and 60-day policies, along with Biden administration policies, contributed to the population decline

Diana Ayala

1:21:42

But in the preliminary plan, there wasn't included savings on the city's asylum seeker response, including a 1,090,000,000 in fiscal year twenty five and 1,340,000,000.00 in fiscal year twenty six and 400,000,000 in fiscal year twenty seven.

1:21:58

How were these savings achieved and how much of the savings reflected were due to shelter time limits?

Jacques Jiha

1:22:05

It's the saving basically came is a result of the number of people exiting the system.

1:22:13

As I said in my testimony, at the peak, we're about 69,000.

1:22:17

So we budgeted for a growing population.

1:22:21

And since the implementation of the thirty day, sixty day policies and the implement of the Biden policy last June, we see a substantial decline in the population.

1:22:32

So as more people leave the system, we begin to consolidate sites.

1:22:38

As we consolidate sites, we begin savings.

1:22:41

We renegotiated many other contracts.

1:22:43

So it's not just one policy.

1:22:44

I cannot tell you one particular policy what you know, how much you we we generated from it.

Gale Brewer

1:22:49

Was most of it due

Diana Ayala

1:22:50

to contract renegotiations?

1:22:51

Because I know there were issues in

Jacques Jiha

1:22:52

the beginning.

1:22:53

Renegotiation, but also people exiting the system.

1:22:56

We're down to, like, from 69,000 to about 43,000 now.

1:22:59

Okay?

1:23:00

So we were taking care of fewer people.

1:23:02

Okay?

1:23:03

So obviously, we're consolidating the sites.

1:23:06

We're closing sites.

1:23:07

As you're closing sites, you're saving resources.

1:23:10

So this is the process that we're going through right now.

Diana Ayala

1:23:12

Yeah.

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