County Executive Romaine (left, seated) and Legislator Caracappa (right, seated)
after the signing of IR 1013 (Credit – Matt Meduri)
The topic of affordability, namely affordable housing, has been as salient a topic as ever in Suffolk County. A marquee topic of the 2023 elections, many local leaders made it the top priorities, among many, of their campaigns and tenures in elected office.
One such elected official, Suffolk County Legislator and Majority Leader Nick Caracappa (C-Selden), spent the last ten months crafting a bill to promote workforce housing in Suffolk County. His bill, I.R. 1013-2024, amends a portion of the Suffolk County Administrative Code in tandem with Chapter 740 of the Suffolk County Code in connection with Sewers to require developers who wish to connect to existing sewer districts to allocate at least 15% of units as workforce affordable housing and clarifies affordability requirements relative to area median income (AMI).
The bill, co-sponsored by Legislators Jim Mazzarella (R-Moriches), Catherine Stark (R-Riverhead), Sam Gonzalez (D-Brentwood), Dominick Thorne (R-Patchogue), Deputy Presiding Officer Steve Flotteron (R-Brightwaters), Chad Lennon (R-Rocky Point), Stephanie Bontempi (R-Centerport), Rebecca Sanin (D-Huntington Station), and Minority Leader Jason Richberg (D-West Babylon), passed the Legislature 14-4.
Now, The Messenger can exclusively report that Suffolk County Executive Ed Romaine (R-Center Moriches) signed the bill into law Tuesday evening.
“What this bill does is that anyone who’s looking to come forward for subsidies from the County and receive funding for a development that has affordable housing in it, this will now change the dynamics of what we [the County] get in return,” Caracappa told The Messenger. “Previously, the AMI was set at 120%. What this does is lower that number from 120% to 80% and the difference there is incredible for our young workforce and for our seniors.”
Caracappa explains that a one or one-and-a-half bedroom apartment at 120% costs anywhere from $3400 to $4200 per month in rent. Since the bill lowers the threshold to 80% AMI, it will put rental units below market value. He says that that same apartment would now cost anywhere from $2400 to $2700 per month.
According to the New York State Department of Housing and Urban Development (HUD), no more than 30% of one’s income should go towards rent or a mortgage. The current average is over 65%.
The legislation stipulates that 10% of units in a development must, at a minimum, be occupied by persons and/or families whose income does not exceed 80% AMI. Additionally, 5% of units must be occupied by tenants whose income does not exceed 100% AMI.
Caracappa says the initiative is a huge help to young professionals entering the workforce with entry-level salaries.
“My background is in labor and negotiating contracts. Everyone knows that when you enter a new position, you typically start at ‘entry-level’ pay scales. Over time, there are step increases or progressions in salary approximately every six months or so, or when a probation period has ended. This is the case whether you are leaving college and entering into healthcare or teaching, or where you may go to begin a new career. It’s basically the same scenario for those elect to enter into one of the trades, municipalities, or even law enforcement directly out of high school,” says Caracappa. “What this allows for, in those five or six years when you’re climbing up the ladder, is to live independently, move out of your parents’ house, work, live, and give back to the community, instead of being educated here and then moving somewhere else more affordable. This will keep our young workforce here.”
Caracappa also says that this bill will benefit seniors who still wish to reside in Suffolk. Senior citizens regularly find that maintenance, cost of upkeep, and other responsibilities of owning a property are what interests them in downsizing into a rental unit or condo.
“This keeps our grandparents and seniors here in our communities and keeps families together. When our grandparents say it costs too much to live here, or they’re a widow or widower, they usually sell and move south. We want them to sell and move down the road,” says Caracappa.
The potential increased sale of houses in favor of smaller units also opens up the housing market to other, new buyers.
The legislation also incentivizes sewer hookups. Developers who wish to build apartment/condo complexes and utilize the public sewers will be required to set aside at least 15% of all eventually available units at no greater than 80% AMI. Sewer connections not only allow for better water treatment and certain environmental mitigations, but also for downtown revitalizations, as businesses, restaurants, and housing projects often depend on sewer hookups for long-term sustainability and/or eventual expansion.
Developers will see reductions in connection fees that directly correspond to the percentage of affordable units at 80% AMI or below. For example, if 15% of a development’s units are considered “affordable” under the eyes of the legislation, then they would receive a 15% cost reduction in sewer hookups. The legislation also specifically states that if 100% of a development’s units are considered affordable, then the developer will see a 100% cost reduction in sewer hookups.
Caracappa also says that keeping Suffolk affordable not only allows for resident retention but increases the quality of life down to the local level.
“When families stay together here in Suffolk County, they go out. They support mom-and-pop shops, the local businesses, the movie theaters, restaurants; that’s sustainability,” says Caracappa. “We raise and educate our youth and we want them to move on to the next chapter, which is independence.”
Regarding the aforementioned statistics from the State HUD, Caracappa says that when more than 65% of one’s income goes to rent, everything else goes out the window.
“When young people and families in these apartments have most of their salaries go to rent, food and utilities are one thing, but forget about vacations and family time. It’s hard enough just to make ends meet. This will now be a relief for that. Our young workforce will be able to save money for a down payment. This is the plan.”
Caracappa also says that the bill intends to hold developers who seek County subsidies “accountable” in their endeavors.
“120% AMI is not affordable housing,” says Caracappa. “We can’t control rent in every unit, because at the end of the day, it is a business for developers. But developers claim they’ll lose up to $40,000 per unit. This was not an easy project. Legislator Mazzarella and I successfully lobbied the Suffolk County Industrial Development Agency (IDA) to lower their AMI to 80%.”
Caracappa also says that the term “affordable housing” often carries a stigma, something he and his colleagues intend to clarify with this legislation and other initiatives like it.
“In order to qualify for workforce housing, potential tenants must present a W-2 to obtain qualification. If you don’t qualify, or if your salary goes above AMI, you’ll be redesignated into market-value homes,” says Caracappa. “But by then, you should have saved your money and done your diligence. We’re not picking favorites with these units; these are designed specifically to keep the flow moving. You have a period of time to excel in your job, increase your pay, and get ready for the next step: ownership.”
Caracappa cites studies from nearly twenty years ago that show similar figures in AMI and affordability problems. He laments that if this measure was taken then, Suffolk County would be in a much different place economically today.
“Imagine if this legislation today was passed back then, what kind of shape Suffolk County would be in with truly affordable housing. It would be leveled off by now,” says Caracappa. “We would have affordable units across the board for everyone. But we’ve got to start somewhere. We can’t look backwards. We have to look forward.”
The legislation also stipulates that in order for developers to qualify for County subsidies, at least five units must be allocated for Veterans who meet income requirements. The bill also requires a development to allocate no more than 10% of affordable units for individuals with disabilities and abide by ADA standards.
The Messenger also discussed the bill and other infrastructure initiatives with County Executive Romaine.
“The bill is important as a way of promoting affordable housing by tying it to sewer connections. By doing that, we encourage developers who are looking to build and get greater density, which sewers will allow to build affordable housing,” says Romaine.
Romaine also says that while legislation is an important step in promoting infrastructure changes, “money is everything.”
“We don’t have all the monies in place. If we get the referendum passed, that’s one step. But more importantly, where’s the state money? Where’s the environmental bond money? Where’s the infrastructure money that the president promised us? We haven’t seen that money. We need to see that money here on Long Island,” says Romaine.
Romaine also says that transit-oriented development (TOD) is a large priority of the County, which c
an tie sewer connections and affordable housing initiatives together to make the best use of mass transit and downtown revitalizations.
“We have someone who just built seventy-five units of affordable housing in North Bellport, and he wants to build more on Montauk Highway,” says Romaine. “There’s a sewage treatment plant north of Sunrise Highway that we could connect to the units. 100%-affordable units with a sewer hookup could be approved tomorrow, but we don’t see the investment being made by the State. The Governor talks about housing, but you can’t talk about housing without talking about infrastructure, sewers, and roads, because you can’t build housing in a vacuum. It’s got to be coordinated and it should be beneficial towards TOD.”
Romaine says that the Pilgrim State property in Brentwood is another example of housing where State funding is needed. Romaine says that they’re currently approved for 3,400 units, but when it’s finished over the years, it could be up to 9,000 units.
“We have all the housing we want. What we need is the infrastructure to support the housing. There’s no sewer solution for Pilgrim State,” says Romaine.
Romaine also mentioned road network remediations that are needed to address housing increases in Suffolk County, namely adding a third lane to the Sagtikos and Sunken Meadow Parkways and creating an overpass at Route 347 and Nicolls Highway in Stony Brook. He also says getting the most use of buses is another priority of his administration, a vital aspect of TOD. He says that the prior administration had to cut bus routes because of lack of State funding.
“I repeat myself a hundred times, but maybe the hundredth and first time will work. We seem to be the stepchild of the state of New York,” says Romaine.
The Messenger also discussed I.R. 1013 with one of its primary co-sponsors, Legislator
Jim Mazzarella.
“We sorely need funding from the State for the infrastructure. They just cut a ribbon on an affordable housing project in Bay Shore. There were eighty-four affordable units made available, but there were 1,600 applicants for those units,” says Mazzarella. “If that doesn’t say that we are in a housing crisis and that we need to do something to make housing more affordable in Suffolk County and Long Island, I don’t know what does.”
The new law is set to take effect ninety days after its filing with the Secretary of State.
