Will these housing projects generate local property tax revenue?
Yes. Any new residential building created through this Act will be taxed like all other similar housing, based on its location, size, and revenue.
Municipalities can expect that the Faith-Based Affordable Housing Act will increase their tax rolls, since these housing projects will typically be transitioning land and/or buildings that are currently exempt from local property taxes to new housing that will pay local property taxes.
Where will this bill apply?
To ensure that we are creating new housing sustainably and in a climate-friendly way, all development under the Faith-Based Affordable Housing Act must be located within existing, developed areas.
The U.S. Census refers to these areas as “urban,” but what it really means is that there is already a dense concentration of housing and people in the vicinity.
Additionally, new housing created through this Act must be connected to a public or community sewerage system at occupancy and cannot be located in a manufacturing or industrial zoning district.
Will you be able to build a skyscraper in a suburban village?
No. The Faith-Based Affordable Housing Act enables contextual housing development on properties owned by religious organizations. As such, there are different height and density limits depending on the type of locality in which the project is located.
For example, in a village with less than 50,000 residents, the height would be limited to 35’ (or the height of an existing building on the same site) and the density would be limited to 30 units per acre.
Does the Act allow a faith-based organization to tear down a landmarked house of worship?
No. The Faith-Based Affordable Housing Act does not alter any protections currently placed on land or buildings through local law or regulation. This means that it does not alter any local processes in place for reviewing an application to alter a building that may be deemed a landmark. The bill has been amended to further clarify that this is the intent.
Why allow mixed-income housing?
All projects that leverage the new zoning provisions will be required to include income-restricted, permanently affordable housing.
By allowing projects that mix market-rate and affordable housing, the Faith-Based Affordable Housing Act will unlock many more housing options for New Yorkers than if it were limited to 100% affordable projects.
The State and different localities have a many-year waitlist to provide financial support that is necessary to build 100% affordable projects.
In mixed-income projects, the high rents from market-rate homes are able to provide enough revenue to the building that income-restricted homes can also be included.
These income-restricted homes will be permanently affordable.
Inside New York City, affordability would match most of the options available under the Mandatory Inclusionary Housing (MIH) program:
Option A (25% of the building at 60% AMI, with at least 10% at 40% AMI);
Option B (30% at 80% AMI); or
Option C (20% at 40% AMI).
Outside NYC, a minimum of 20% of the building would be required to be affordable at 80% AMI.
Will this apply to 100% Affordable Housing projects or just mixed-income housing?
The standards outlined above for mixed-income housing are a floor, not a ceiling. Faith-based organizations absolutely can choose to add more affordability to the project than the minimum requirements.
That means that 100% Affordable Housing projects would be eligible and encouraged as well.
How does this bill address homelessness?
Researchers, experts, and advocates all agree: A Housing First strategy is a homelessness prevention strategy. On any given night over 100,000 New Yorkers seek refuge in shelters. We know that we will not be able to help folks get housed and stay housed without significant streamlining of affordable and permanent supportive housing. The Faith-Based Affordable Housing Act will help us speed up affordable housing production and presents a critical opportunity to address the homelessness crisis.
How can we ensure that faith-based organizations will not be taken advantage of?
With the objective of fostering community-driven projects, the Faith-Based Affordable Housing Act will require comprehensive training courses for religious organizations. Such training courses must include content regarding the development process, timeline and funding sources for affordable and mixed-income housing, the types and selection of vendors and consultants related to such development, a review of the statutory requirements for such sale or lease by a religious corporation and other information relevant to housing development as determined by the commissioner of Homes and Community Renewal.
Additionally, all courses must be approved by the Commissioner of the Division of Homes and Community Renewal. Only once FBOs have gotten their certifications will they be able to take advantage of the transactions enabled by the Faith-Based Affordable Housing Act.
This, paired with companion efforts to raise funds for pre-development grants, aims to equip institutions with the independent counsel and advice to successfully develop and manage housing projects.
Many religious institutions are in significant financial distress. How much capital would be required upfront to support the development of housing?
We know how hard the last few years have been for religious institutions across New York. Part of the goal of this legislation is to provide them with the opportunity to bring in additional revenue while also helping their communities address the housing shortage.
A small amount of money would be required to hire outside counsel in order to put together a request for proposal to which developers could respond. In different localities and organizations, there are public and private pre-development grants that help to pay for said outside counsel.
What is stopping a faith-based organization from buying new land immediately after this bill passes for the purposes of building housing?
When the Faith-Based Affordable Housing Act passes, only land owned by faith-based organizations at the time of adoption will be covered.
Any land acquired or purchased after the time of adoption will not be covered by the Faith-Based Affordable Housing Act.
How does the Faith-Based Affordable Housing Act interact with New York City’s City of Yes for Housing Opportunity proposal?
The “City of Yes for Housing Opportunity” is an important proposal in New York City to create new possibilities for adding a little more housing in every neighborhood.
A key part of the proposal is making it easier for owners of large properties, such as faith-based organizations with a house of worship, rectory, and parking lot, to more easily transform part of their property into housing.
The Faith-Based Affordable Housing Act complements this proposal, and expands opportunities for faith-based organizations outside of New York City.
How can we ensure that faith-based organizations will not discriminate against tenants on the basis of religion?
The Faith-Based Affordable Housing Act will create housing opportunities that are open to all New Yorkers, regardless of religious beliefs or practices.
All new housing would be bound by existing laws that say landlords and developers cannot discriminate on the basis of an applicant’s religious belief or practice in any of the housing created through the Act.
In addition, the marketing and leasing of all housing created through the Act will be subject to rulemaking from the Division of Homes and Community Renewal (HCR) or, in New York City, from the Department of Housing Preservation and Development (HPD).
Will this bill change accessibility requirements or make buildings less accessible?
No, the Faith-Based Affordable Housing Act does not make any changes to accessibility requirements in the New York Building Codes or in federal laws, including the federal Fair Housing Act and the Americans with Disabilities Act.
In fact, the Act will encourage the creation of significant amounts of new, accessible housing – both through the construction of new buildings and in the substantial renovation of older, currently non-compliant buildings.
Does this bill weaken environmental protections? How will we account for religious land that includes woodlands? Will there be protections for trees?
No, the Act does not weaken or override any existing local, state, or federal environmental protections placed on land in New York.
Instead, the Act encourages sustainable and climate-friendly development in existing, developed areas – preventing sprawl and the destruction of forests and other greenfields on the outskirts of towns, villages, and cities.
How does the bill account for strain to sewers and the need for infrastructure upgrades in many localities across the state?
As noted above, the Act will encourage the development of tax-paying housing in municipalities across the state, by adding new residential housing on land that is currently tax-exempt and thus does not contribute financially to local revenues.
This new stream of property taxes will generate resources that can be used to invest in infrastructure that will serve both existing and new residents.