NYC Council Advances SCRIE and DRIE Rent Break Expansion

New York City Council members voiced broad support at a Friday hearing for expanding SCRIE and DRIE eligibility, a move that would raise the rent-freeze programs’ income cap to $75,000, according to The Real Deal.

The bills, part of a larger housing package, are likely to pass at an upcoming stated meeting, though no vote date has been set. The programs offer property tax credits to landlords in exchange for freezing rents for senior and disabled tenants.

A Decade-Old Ceiling

SCRIE was created by the City Council in 1970. It later expanded to cover more housing types. DRIE followed in a 2005 expansion.

The income limit has not changed since 2015. The Council set it at $50,000. It will remain there until the Council implements the state’s approved increase.

State lawmakers approved higher income limits for SCRIE, DRIE, and related homeowner exemptions in May. The exemptions include the Senior Citizen and Disabled Homeowners’ Exemptions.

City Council must still approve the implementation. Council member Farah Louis introduced a bill that would apply the changes retroactively to July 1.

The Details

Mamdani administration officials testified in support of most of the legislation. The Finance Department officials spoke at a joint oversight hearing on finance, disabilities, and aging.

SCRIE and DRIE currently serve 67,677 households, according to DOF Deputy Commissioner Jeffrey Shear. That figure also includes Mitchell-Lama household benefits.

The Department of Housing Preservation and Development administers those benefits separately.

Council member Lee said the higher eligibility thresholds would cost $44 million. The state budget would cover that cost over several years.

Shear said 82% of the cost would come from SCRIE. DRIE would account for the remaining 18%.

Despite that investment, many eligible New Yorkers remain unenrolled. Jean Stevens of the Benefits Law Project at Volunteers of Legal Service said 57% of eligible New Yorkers do not use the programs.

Zooming Out

The enrollment gap is drawing attention as other senior housing programs face funding pressure. Federal senior housing funding has also stalled elsewhere.

That situation highlights the importance of programs like SCRIE and DRIE. Vulnerable tenants depend on these programs for housing support.

Landlord groups have also pushed for the change for months. Kenny Burgos represents the New York Apartment Association, which represents rent-stabilized landlords.

Burgos supported expanding SCRIE and DRIE in January. Gov. Kathy Hochul had announced her plan to raise the income threshold shortly before then.

Why It Matters

“Many of our members serve senior citizens and people with disabilities who rely on SCRIE and DRIE to remain stably housed,” said Irak Cehonski-Rivas of the New York State Association for Affordable Housing.

Cehonski-Rivas also urged agencies to maintain adequate staffing. He said that would help prevent delays for eligible tenants.

“When a benefit is bundled under a heading that doesn’t describe you, you don’t apply for it,” said Council member Shahana Hanif.

Hanif chairs the disabilities committee. She pointed to DRIE’s lower enrollment compared with SCRIE.

In her view, the gap shows that outreach is not reaching enough working-age tenants with disabilities.

What’s Next

Lawmakers pushed DOF to create a centralized application portal. They also called for automatic renewals.

Separate applications by housing type currently create confusion for tenants. Council member Chris Marte pointed to that issue during the hearing.

He said tenants need one system to apply for and renew their benefits.

A universal form and online portal would require major technical and operational upgrades. DOF would also need to coordinate with HPD.

Shear told the panel that no timeline has been set for the overhaul.