After the Storm: Clearing Some Paths, Blocking Others
Across housing, transit, and energy, here’s what’s moving forward and what’s still frozen
Reminder: We’re launching our Abundance Agenda, a robust set of policy recommendations, on Tuesday, March 3 at an event hosted at NYU Wagner. Sign up here to attend and hear from our leadership alongside an abundance of storied speakers: NYU Wagner Dean (and former Deputy Transportation Secretary) Polly Trottenberg, Comptroller Mark Levine, Department of City Planning Director Dan Garodnick, former Council Member and current NYSAFAH CEO Carlina Rivera, AFL-CIO Housing Policy Director Erik Forman, and more.
The storm has passed, but the city is still digging out.
The city’s budget deficit, now estimated by the Mamdani administration to be $5.4 billion, is forcing painful cuts and tough negotiations. After heading to Albany for “tin cup day” and securing a multi-year commitment of $1.5 billion from Governor Hochul to help patch the city budget, Mayor Mamdani played hardball with Hochul, giving her an ultimatum to raise taxes on the rich or stomach a 9.5% increase in property taxes. While property tax reform is sorely overdue—in particular, to correct for discrepancies and inequities across neighborhoods, boroughs, and multi-family vs. single-family homes—an across-the-board raise is broadly unpopular and has generated backlash from electeds across the city.
Between now and April 1, we’ll be watching how both Hochul and Mamdani approach this budget showdown; Mamdani has shown some signs of letting up on his initial campaign pledges (for example, planning to skip a “tax the rich” rally this week)—but this latest move signals an appetite to pressure the Governor.
Besides the budget fight, some abundance priorities are plowing ahead, while others remain on ice. Here’s what we’re watching across housing, transit, and climate policy.
Clearing Approvals, Reopening an Old Debate
🚜 Fast-track housing begins.
The administration announced the first affordable housing project to use ELURP—the new Expedited Land Use Review Procedure that exists thanks to voters approving last November’s charter amendments: an 84-unit development in the Bronx. By consolidating review timelines, the new framework reduces approvals from roughly seven months to as little as 90 days.
🧊 Encampment sweeps return.
After initially pausing the practice, the administration announced it will resume clearing homeless encampments. The revised approach shifts leadership to the Department of Homeless Services and adds a seven-day outreach period before enforcement. But homelessness advocates are quick to point out that only a small fraction of individuals cleared from encampments ultimately secured permanent housing in the past.
Tunnels Advancing, Highways Crumbling
🚜 Gateway construction resumes.
Work on the Gateway tunnel project will restart following the release of $127 million in previously frozen federal funds, allowing progress to continue on new rail tunnels under the Hudson.
🧊 The BQE’s long-term fix remains unsettled.
The city is still weighing options for the aging triple cantilever section of the Brooklyn-Queens Expressway. Major rehabilitation or replacement decisions will be required before the end of the decade.
Climate Funding Defended, Climate Targets Reconsidered
🚜 State challenges federal clean energy cuts.
State Attorney General Tish James filed a lawsuit contesting the cancellation of $7.5 billion in federal clean energy grants, arguing the move unlawfully halts funding already approved by Congress.
🧊 Emissions math may change, reducing pressure on buildings to decarbonize.
Governor Hochul indicated that she might adjust how emissions are measured under its Climate Law—which would bring New York more in line with how other states measure emissions, but allow buildings to rely on natural gas for longer.
We’ll keep you posted on these issues and more in the coming weeks. In the meantime, join our happy hour tonight and sign up to attend our policy launch next Tuesday!