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Q&A

Clarification on rental assistance payment delays

1:56:07

ยท

117 sec

Annika Lescott-Martinez explains the reasons behind recent delays in rental assistance payments to landlords. The main issues were a federal funding freeze and uncertainty about fund availability due to the situation in Washington.

  • NYCHA was locked out of the federal grant disbursement system on January 28
  • Funding was released on February 1 (a Saturday) but not available to NYCHA until Monday, February 3
  • NYCHA now waits to receive federal funding before making payments to landlords
Chris Banks
1:56:07
There was a recent report that came out that basically blamed NYCHA for delaying the rental assistance payments.
1:56:19
Can you clarify the report?
Annika Lescott-Martinez
1:56:23
Sure.
1:56:23
Thank you for that question council member.
1:56:26
It's important to note that we had a federal funding freeze.
1:56:30
So on January 28 we were locked out of our federal grant disbursement system and were unable to receive funding.
1:56:40
So that meant that our pending payments from the day prior were not released and we could not request any additional reimbursements.
1:56:48
That also happened to coincide with the end of the month and the February.
1:56:55
So on February 1 which was a Saturday, we were unsure whether we would actually start to receive our payments from the federal government.
1:57:03
As you know, NYCHA is an administrator of the Section eight program so we receive the funding from the federal government and then we pay it to the landlords.
1:57:13
On the first we were actively monitoring our bank accounts to ensure whether that funding would actually come through given the uncertainty in Washington.
1:57:22
The funding was released on the first which was a Saturday, it was not actually available to NYCHA until Monday the third.
1:57:29
And on the third we made the payments.
1:57:31
So going forward we will wait until we receive the funding from the federal government and make the payments.
1:57:36
The same is true of this past month.
1:57:39
Saturday was the first again.
1:57:41
We waited for the money to be received.
1:57:43
The money was made available on the third and we issued the payments in time.
Chris Banks
1:57:46
Okay.
1:57:46
So no longer.
Annika Lescott-Martinez
1:57:48
I'm sorry?
Chris Banks
1:57:49
That in pass is no longer.
Annika Lescott-Martinez
1:57:51
Well it's still for now it's still very uncertain.
1:57:54
It's chaotic.
1:57:56
And we are just managing the best that we can.
1:57:58
But I think it's important for folks to note that we wait on the funding for the federal government and then make the payment.
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