After Lead Paint Fiasco, NYCHA Admits To More Shortcomings

NEW YORK, NY — The New York City Housing Authority admitted Wednesday that it may be violating a slew of federal rules beyond its failure to check apartments for lead paint. In a letter to the U.S. Department of Housing and Urban Development, Interim Chairman Stanley Brezenoff said NYCHA "believes it may not be in compliance with a number of federal regulations" governing issues such as overtime, tenant protection oversight and emergency management plans.

The revelation came several weeks after the housing authority admitted to federal prosecutors that it falsely said it had conducted mandated lead paint inspections when they hadn't been done for years.

Brezenoff's letter was read aloud near the end of Wednesday's NYCHA board meeting, where no one asked any questions about it.

The chairman later told reporters he wanted to be "transparent" about NYCHA's possible shortcomings even as he planned to submit a signed form certifying the housing authority's compliance with federal rules. Not submitting the certifications could delay funding to the cash-strapped agency, he said.

"I do not want delays in our funding or our ability to go forward with our plans of development and reinvestment," Brezenoff said. "So, this was the way we thought we could, without further risk to the organization and the perception of its integrity, this was the way to go forward."

Brezenoff offered few details about what federal rules NYCHA may be violating. The letter indicates they include failures to adhere to requirements in "proposed consent decrees" related to mold and lead problems.

NYCHA plans to submit the certifications to HUD, its primary funding source, along with an amendment to its 2018 annual plan on Aug. 6, Brezenoff's letter says.

A November Department of Investigation report revealed that NYCHA similarly submitted a false compliance certification in 2016 despite top executives knowing about the authority's failure to conduct mandated lead paint inspections for years.

The past false certifications, which were a subject of a lengthy complaint by the Manhattan U.S. Attorney's Office, led to a firestorm of criticism and scrutiny for Shola Olatoye, Brezenoff's predecessor who resigned in April. Olatoye briefed federal officials on the lead inspection lapse in September 2016 but still submitted a false certification the following month, the Department of Investigation found.

In formally disclosing the other failures to HUD, NYCHA wanted to ensure its certifications "are not subject to challenge," Brezenoff said.

"We will seek to have lots of discussion with HUD and other regulatory agencies, perhaps even with the Southern District," Brezenoff said. "But essentially this is our approach to being in compliance, being transparent, pointing out where we may have issues, acting in a good faith way."

NYCHA's proposed settlement with the U.S. Attorney's Office calls for oversight from a federal monitor and for the city to commit $1 billion over the next four years in capital funding to the beleaguered housing authority, which is home to about 400,000 New Yorkers.

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