April Edition 2010 - New York Nonprofit Press
April Edition 2010 - New York Nonprofit Press
April Edition 2010 - New York Nonprofit Press
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8 <strong>New</strong> <strong>York</strong> <strong>Nonprofit</strong> <strong>Press</strong> www.nynp.biz <strong>April</strong> <strong>2010</strong><br />
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or more in cuts they will have to do,” says<br />
Allison Sesso, Deputy Executive Director<br />
of the Human Services Council of <strong>New</strong><br />
<strong>York</strong> City.<br />
“At the end of the day, there are going<br />
to be very significant budget reductions,”<br />
says Ronald Soloway, Managing Director<br />
of Government and External Relations<br />
for UJA-Federation of <strong>New</strong> <strong>York</strong>. “This is<br />
not going to be like last year when money<br />
was found to restore all the service cuts.<br />
In fact, every day the legislature waits the<br />
budget deficit gets larger. We are looking<br />
now at $9-$10 billion.”<br />
What would be the impact of the<br />
Governor’s Budget as currently proposed<br />
Here is a look at some of the larger cutbacks<br />
most recently identified by providers<br />
and advocates.<br />
Cuts to Homeless Shelters<br />
The budget proposes to effectively<br />
end direct State funding for <strong>New</strong> <strong>York</strong><br />
City’s homeless shelters which serve approximately<br />
7,500 single adults every<br />
night. Traditionally, say advocates, the<br />
State shared the cost of single adult homeless<br />
shelters with the City – although it<br />
had capped its share and is now paying<br />
less than half. As outlined in the Executive<br />
Budget, the State proposes that the<br />
City enroll single adult shelter residents on<br />
Public Assistance and take reimbursement<br />
for shelter costs through the individual’s<br />
PA shelter grant.<br />
Advocates, providers and the City itself<br />
view the plan as completely unworkable<br />
and estimate that it would result in<br />
a $65 million loss of funding. Only 24<br />
percent of Department of Homeless Services<br />
single adult shelter clients currently<br />
qualify for public assistance. The rest,<br />
they say, are hindered by mental or physical<br />
health problems and life on the streets.<br />
“People come in one night and are out the<br />
rest; or they are in one month and out the<br />
next,” says Shelly Nortz, Deputy Executive<br />
Director for Policy with Coalition for<br />
the Homeless.<br />
“The Governor’s proposal for homeless<br />
adult shelter funding is irresponsible<br />
and puts the City in an untenable position<br />
as we continue to provide shelter to our<br />
most vulnerable <strong>New</strong> <strong>York</strong>ers, said NYC<br />
DHS Commissioner Robert V. Hess. “The<br />
state proposal is particularly damaging<br />
and insensitive in this economic climate<br />
where the cuts would have a severe impact<br />
on our ability to deliver critical services to<br />
those who need it most.”<br />
“This is poorly thought out and<br />
doesn’t make any sense,” says Christy<br />
Parque, Executive Director of Homeless<br />
Services United. “It creates an ironic<br />
disincentive for shelter residents to work.<br />
And, undocumented people, who account<br />
for about 12% of the shelter population,<br />
will not be eligible.”<br />
The City anticipates the loss in state<br />
funding would result in at least a 10%<br />
across the board cut in funding for adult<br />
shelters – a cut which will have an even<br />
greater impact on services. “You can’t tell<br />
your landlord you are only going to pay<br />
90% of your rent or debt service,” says<br />
Parque. “The only place you can take the<br />
cut is in staffing or program services. We<br />
are estimating we could lose 600 to 700<br />
positions in the shelters.”<br />
In addition to directly impacting shelter<br />
operations, the cuts would eliminate<br />
vital discretionary services such as street<br />
outreach teams, Safe Havens and stabilization<br />
beds. “We could see 1,000 more new<br />
people on the street,” says Parque. “We<br />
will lose the progress we have made in<br />
reducing street homelessness prior to the<br />
downturn.”<br />
Ironically, the proposal comes just as<br />
the City reports that there has already been<br />
a setback in the effort to get homeless individuals<br />
and families off the streets and into<br />
shelter. This year’s annual Homeless Outreach<br />
Population Estimate (HOPE) street<br />
homeless survey found that 3,111 homeless<br />
individuals were living on city streets<br />
in January – up by 783 or 34% over the<br />
number in 2009. “These are challenging<br />
times that have had an impact on our street<br />
homeless population,” said DHS Commissioner<br />
Hess, who stressed that this year’s<br />
number was still 29% below where it had<br />
been in 2005.<br />
“With record homelessness in <strong>New</strong><br />
<strong>York</strong> City, this is exactly the wrong time<br />
for Governor Paterson to propose staggering<br />
cuts to our shelter system,” said Mary<br />
Brosnahan, Executive Director of Coalition<br />
for the Homeless.<br />
It is also worth noting that advocates<br />
believe the state proposal could actually<br />
increase total costs for both State and City<br />
taxpayers, since far more single adults<br />
pass through the shelter system each year<br />
(23,000) than are housed on any given<br />
night (7,500). “If, as DOB assumes, all<br />
shelter occupants become public assistance<br />
recipients, my calculation shows that<br />
not only would the combined income loss<br />
and added expenses cost <strong>New</strong> <strong>York</strong> City at<br />
least $74 million, but the added welfare<br />
costs would also wipe out the assumed<br />
$36 million in state savings and actually<br />
cost us a few million dollars,” said Shelly<br />
Nortz in legislative budget testimony on<br />
February 10th.<br />
“Save Our Centers”<br />
Another surprise hole in the State’s<br />
budget is a seemingly arcane proposal to<br />
redirect federal Title XX funds. In <strong>New</strong><br />
<strong>York</strong> City, the budget shift would cost the<br />
Department for the Aging (DFTA) approximately<br />
$25 million or roughly one-quarter<br />
of its entire budget for senior centers.<br />
The cut, if it is not reversed, is expected<br />
to result in the closing of between 80 and<br />
110 senior centers – and services for 5,500<br />
seniors -- across the five boroughs.<br />
Advocates, providers and elected officials<br />
turned out at City Hall on March 9th<br />
to protest the Governor’s budget proposal<br />
with the launch of a “Save Our Centers”<br />
campaign.<br />
“These cuts would literally starve<br />
thousands of poor seniors,” <strong>New</strong> <strong>York</strong> City<br />
Council Aging Committee Chair Jessica<br />
Lappin said. “In addition to providing hot<br />
meals, these centers provide care, companionship,<br />
and case management to some of<br />
our neediest <strong>New</strong> <strong>York</strong>ers. Our state legislators<br />
simply cannot approve this cut.”<br />
“The City Council has a proven record<br />
of success when it comes to defending our<br />
city’s senior centers,” said Speaker Christine<br />
C. Quinn. “Older <strong>New</strong> <strong>York</strong>ers depend<br />
on senior centers as a lifeline, especially<br />
during this recession. We’re urging everyone<br />
to call their state legislators and the<br />
Governor’s office to let them know these<br />
cuts are unacceptable. We won’t allow Albany<br />
to turn its back on our seniors.”<br />
“The tsunami of city and state cuts<br />
raining down on senior centers and other<br />
services funded through the Department<br />
for the Aging will close up to 110 senior<br />
centers and cripple the funding of the<br />
remaining senior centers,” said Bobbie<br />
Sackman, Director of Public Policy for the<br />
Council of Senior Centers and Services.<br />
“UNH, along with our fellow advocates<br />
and colleagues in government and<br />
the provider community, is adamantly opposed<br />
to the State’s proposal to redirect<br />
$25 million in Title XX funds away from<br />
<strong>New</strong> <strong>York</strong> City’s senior services,” said<br />
Nancy Wackstein, Executive Director of<br />
United Neighborhood Houses.<br />
“If the Title XX funding for senior<br />
centers is eliminated, then Selfhelp’s six<br />
senior centers, which serve many thousands<br />
of seniors in Queens, will face a<br />
funding loss of $90,000 per center – further<br />
compounding recent budget cuts,”<br />
said Leo Aspen, Vice President, Senior<br />
Communities, Selfhelp Community Services,<br />
Inc.<br />
“FPWA urges the Governor and <strong>New</strong><br />
<strong>York</strong> State Legislature to preserve the<br />
flexibility of Title XX funding so that<br />
needed resources can continue to flow to<br />
neighborhood-based senior centers,” said<br />
Kathy Fitzgibbons, Senior Policy Analyst<br />
from the Federation of Protestant Welfare<br />
Agencies (FPWA).<br />
Child Care Shortfall<br />
While not technically an Executive<br />
Budget cut, advocates are concerned that<br />
FY<strong>2010</strong>-2011 will see up to a $50 million<br />
reduction in available funding for child<br />
care services as the State’s runs out of rollover<br />
monies which had previously helped<br />
support current-year programming around<br />
the state. “The impact in <strong>New</strong> <strong>York</strong> City<br />
could be as high as $30 million,” says<br />
Gregory Brender, Policy Analyst with<br />
United Neighborhood Houses. “A loss that<br />
large could only be implemented through<br />
a significant reduction in capacity.”<br />
It’s the State, Stupid!<br />
In addition to these specific funding<br />
reductions, <strong>New</strong> <strong>York</strong> City is also slated<br />
to take a broader loss in revenue sharing<br />
and education aid. “We all know that hard<br />
budget choices are necessary – but so are<br />
fair ones,” the Mayor told the legislature<br />
during budget testimony in January. “I re-