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2023.08.15 - Callahan v. Carey Response LTR To City
2023.08.15 - Callahan v. Carey Response LTR To City
Gay Elsberg PLLC
1290 Avenue of the Americas
New York NY 10104
212.390.9000
Faith Gay
Partner
212.390.9001
[email protected]
Via E-mail
Our firm is counsel for Kathy Hochul, Governor of the State of New York (the
“State”), and Barbara Guinn, Acting Commissioner of the New York State Office of
Temporary and Disability Assistance. I write in response to the letter of the City of New
York (the “City”) dated August 9, 2023 (the “City Proposal”), sent pursuant to the Court’s
August 4, 2023 Order in the above-referenced matter. See NYSCEF No. 7.
As you know, New York faces a serious crisis due to the arrival in the City of over
100,000 migrants who need shelter, sustenance, and services. The City has provided
humanitarian assistance, shelter, and care to the arriving migrants in an effort to comply
with its obligations under the Callahan post-judgment Order dated August 26, 1981 (the
“Consent Decree”).1
The State has been a vital partner to the City since the beginning of this challenge.
The current migrant crisis dates back to Spring 2022, when the City began experiencing an
uptick in shelter intake, and Summer 2022, when buses from Texas began to arrive at the
Port Authority Bus Terminal. Since that time, the State has provided a broad range of
1
The Consent Decree (i) requires “[t]he City defendants” to “provide shelter and board” meeting certain
minimum standards “to each homeless man” (and, later, to women and families with children) “who applies
for it,” subject to certain criteria, Consent Decree ¶¶ 1-3, and (ii) provides that “[t]he Commissioner of the
New York State Department of Social Services agrees to reimburse the [City] for the operation of … shelter
facilities referred to in this judgment pursuant to New York Social Services Law § 153,” subject to certain
exceptions, “provided that nothing in this judgment can or does obligate the Legislature of the State of New
York to appropriate funds,” Consent Decree ¶ 17.
Hon. Sylvia O. Hinds-Radix
August 15, 2023
support to the City. The Governor has declared a State Disaster Emergency and issued an
Executive Order to support the City’s need for legal and regulatory flexibility. The State
has directed significant State funds to the City. The State has made numerous State-owned
properties available for the City to house migrants. The State has deployed (as of now)
1,840 National Guard members to staff the shelters (and expects to deploy at least 100
additional members this week). The State has provided other staff and technical assistance
to the City. The State has coordinated with counties and local officials to facilitate the
short-term housing of migrants outside of the City. And the State has advocated for the
federal government to assist the City in managing the significant influx of migrants.
The City Proposal makes numerous requests for additional assistance from the
State, and the State’s review of those requests is ongoing. This response describes the
State’s extraordinary support thus far and areas where the State may be able to provide
additional assistance, including in response to many of the requests made in the City
Proposal. This response also identifies some of the challenges that the State has faced in
responding to this crisis, in hopes that the City can address these difficulties and improve
its collaboration with the State moving forward.
On May 9, 2023, Governor Hochul declared a State Disaster Emergency and issued
an Executive Order recognizing that “the arrival of increased numbers of migrants seeking
shelter in the City and State of New York is expected to exacerbate an already large-scale
humanitarian crisis and create a disaster emergency to which local governments are unable
to adequately respond, creating a threat to health and safety, which could result in the loss
of life or property.” Executive Order [Hochul] No. 28 [9 NYCRR 9.28].
The Executive Order suspended State laws and regulations to allow for response
flexibility in the following areas:
Entering into contracts for the purchase of food, supplies, services, and
equipment to support the immediate needs of migrants; and
2
Hon. Sylvia O. Hinds-Radix
August 15, 2023
The Governor has extended the State Disaster Emergency declaration four times
and has made additions to the Executive Order to allow for the housing of migrants at the
former Lincoln Correctional Facility.
For the Executive Order, the State asked the City whether the City sought the
waiver of any additional laws or regulations, but the City did not identify any such requests
in response. The State would have considered the list of proposed regulatory waivers
contained in the City Proposal earlier this year, had the City made this request in connection
with the Executive Order.
The State stands ready to continue to address the City’s additional needs for
regulatory flexibility and will promptly review requests to waive regulatory requirements.
Within the City’s Department of Homeless Services (“DHS”) system, the State has
responsibilities to ensure that any waivers of regulatory requirements do not endanger the
health and safety of migrants or others. These regulations are complex and highly
technical. While the State may be able to issue system-wide waivers for certain
regulations, others, such as increasing limits on capacity, must be reviewed on a facility-
specific basis. The State has quickly responded to the few waiver requests that the City
has submitted to the State thus far, and Acting Commissioner Guinn of the Office of
Temporary and Disability Assistance will meet with the City this week to review the waiver
requests in the City Proposal – many of which are new. Acting Commissioner Guinn
requests that the City submit all future proposals to waive regulatory requirements directly
to the Office of Temporary and Disability Assistance.
Second, the State secured nearly $1.5 billion in financial support for the City
and will continue to provide significant financial assistance to support the City.
The migrant crisis has been extremely costly and will continue to require significant
financial resources. Neither the City nor the State should have to absorb these operational
needs or costs for what is a matter of federal concern.
Regardless, the Governor appreciates the magnitude of the City’s financial needs
and has secured nearly $1.5 billion in the FY 2024 State budget financial plan to support
the City in serving migrants. The FY 2024 funds include: over $1 billion for shelter costs
to be provided on a cost reimbursement basis, more than $160 million for National Guard
support, more than $130 million for health care costs, $25 million for voluntary relocation,
and $10 million for legal assistance.
The State has already advanced $250 million of these FY 2024 funds to the City.
The City has been slow to submit its cost reimbursement documentation for these
funds – thus far submitting cost reimbursement documentation for just $138 million in
expenditures. And the State is providing these funds despite public reporting that raises
substantial questions about the operations and conduct of the City’s primary contractor,2
2
See, e.g., Jay Root, New York City Had a Migrant Crisis. It Hired a Covid Expert to Help., The New York
Times (Jul. 30, 2023), https://www.nytimes.com/2023/07/30/nyregion/migrants-albany-docgo.html; Joshua
Solomon, Raga Justin & Steve Hughes, DocGo makes millions as health care concerns for migrants remain,
3
Hon. Sylvia O. Hinds-Radix
August 15, 2023
and about the City’s decision to allow hundreds of migrants to sleep on the street outside
the Roosevelt Hotel despite there being hundreds of vacant beds in the City’s shelter
system.3
The State has further increased its financial commitment beyond the nearly
$1.5 billion itemized above, including funding, or a commitment to fund, the following:
To date, the State has spent approximately $1.5 million to rehabilitate and set
up the former Lincoln Correctional Facility for the City to use.
From July 2022, the State offered the City use of the Port Authority Bus
Terminal, which was used as a welcome center until the City stopped such use
in June 2023. The Port Authority Bus Terminal continues to be used to
receive buses of migrants. The Port Authority of New York and New Jersey
has spent over $2 million to date for public safety, security operations, and
maintenance support related to the arrival of migrants.
4
Hon. Sylvia O. Hinds-Radix
August 15, 2023
for or received work authorization to be eligible for this State assistance.4 The
State has repeatedly communicated to the City that if this resettlement
program is successful, then the State will increase the total number of
households it will support for relocation. To date, the City has provided the
State with a list of 252 households who potentially meet the program’s
requirements, and thus far only 17 of those eligible households have expressed
a willingness to move.
The State will continue to support migrants’ needs Statewide through various
programs, in collaboration with the City. But the State asks for the City’s cooperation to
ensure that State funds are properly managed. By way of example, the State has provided
the City with $10 million for FY 2024 to provide legal services for migrants to obtain
asylum and work authorization at the earliest possible opportunity. The City did not
prioritize this critical effort. Had the City done so, it is likely that thousands more migrants
would be able to work today.
Third, the State has identified and is making available State-owned properties
to house migrants in the City and outside of the City.
As a result of its review, the State identified, and has made available to the City,
sites and thousands of beds to shelter migrants. These include the former Lincoln
Correctional Facility in Manhattan and JFK Building 197 in Queens, both of which were
rehabilitated and opened in June 2023. Additionally, the State made the Creedmoor
Psychiatric Center parking area in Queens available to the City on May 3, 2023. The City
initially rejected the Creedmoor offer but has now agreed to use the site. This facility is
expected to open this week and will increase the City’s migrant housing capacity by 1,000
beds.
The State has identified numerous additional State-owned properties and non-State-
owned sites that are viable options for sheltering migrants, but the City has not accepted
these offers. Combined, these sites could provide temporary shelter to more than 3,000
4
It is not advisable to extend this resettlement program to households that have not yet applied for asylum
because if such households are not authorized to work following the year of State assistance, those households
would likely be ineligible for shelter or other public benefits in areas outside of the City.
5
Hon. Sylvia O. Hinds-Radix
August 15, 2023
migrants. As detailed below, the State identified some sites as early as October 2022.
These include the following properties:
Pier 7 in Brooklyn7
5
This is a State-owned site that is leased to the City. The State initially identified the Brooklyn Cruise
Terminal as a possible site in October 2022, because it would be in less active use in the winter, and offered
to move docking cruise ships to New Jersey to maximize terminal space. The City did not accept this
suggestion until December 2022, with the terminal eventually opening for use in late January 2023. The
terminal closed as a shelter in April 2023, but the State continues to recommend that the City re-open the
shelter there and move cruise ships to New Jersey.
6
This is a City-owned site that is also in less active use in the winter. The State identified Piers 88, 90, and
94 as potentially viable sites.
7
The State raised this site, which is owned and operated by the Port Authority, as an option in December
2022.
8
This offer was time-limited from April through September 2023.
9
Use of this space will require two months of work to move inventory out and tenting to guard against
environmental issues.
10
The State offered this property in October 2022 to shelter a small number of families with children. The
City rejected the site due to its modest size.
6
Hon. Sylvia O. Hinds-Radix
August 15, 2023
To date, the City has ruled out several of these properties for reasons that do not
relate to their suitability as shelters and has not indicated an intent to move forward on the
others. The State, however, stands ready to assist with further review and preparation of
these sites for use by the City.
As set forth above, the State recognizes that the migrant crisis poses a tremendous
operational challenge for the City. Staffing, logistical, planning, procurement, budgeting,
and management needs are significant. The State has been deploying personnel,
emergency response assistance, and logistical support to the City from the inception of this
crisis, providing around-the-clock support to address urgent and longer-term needs.
Governor Hochul deployed the National Guard in September 2022 to help the
City’s shelters provide necessary care for migrants. There are currently 1,840
National Guard members on mission to support the City’s response and
shelter operations, fully funded by the State. The Governor expects to deploy
at least 100 additional members this week. In particular:
o National Guard members help DHS collect data to improve the State’s
and the City’s understanding of migrants’ need for services and to
operate relevant programs.
11
This space, offered to the City in May 2023, was rejected as too small.
7
Hon. Sylvia O. Hinds-Radix
August 15, 2023
Governor Hochul and her team are in frequent communication with Mayor
Adams and his administration to respond to the City’s needs. The State has
been providing guidance to and working closely with the City on this crisis
consistently since Summer 2022. From September 2022 through May 2023,
there were regular – often weekly – meetings between high-level City staff
and senior staff from both the Governor’s Executive Chamber and State
agencies. State officials have also met with the City during and since that
time on several discrete issues, such as relocation plans, intake and long-term
resettlement processes and strategies, and legal services for migrants.
Governor Hochul meets daily with the Governor’s Executive Chamber and
State agency personnel to ensure that she has up-to-date information and
provides timely direction regarding the State’s support on the migrant crisis.
The State strongly encouraged the City in June 2022 to set up congregate
shelters consistent with strategies used in response to natural disasters. Such
facilities would shelter single adult migrants together in large tent-based or
base camp sites instead of in hotels or DHS shelters. That would avoid
overwhelming the existing DHS system or diverting services from the existing
homeless population in the City. The State identified possible locations for
congregate shelters, engaged vendors so that the City could achieve
competitive pricing to operate such sites, and offered to reimburse the City for
its operational costs. The City took nearly a year to act upon the State’s
recommendation.
The State has also strongly encouraged and continues to encourage the City to
establish an incident command center to facilitate communications between
the City, the State, and other counties and localities. The City has not done so
yet.
The State will continue to provide the above-listed support. The State welcomes
the City’s continuing input and an opportunity to assist and coordinate with the City on
management, operations, and long-term planning. The State also stresses the need for
collaborative dialogue. While the City Proposal asks the State for additional staffing
8
Hon. Sylvia O. Hinds-Radix
August 15, 2023
resources, the City must fully deploy and integrate the significant staffing resources that
the State is already providing before the State can responsibly allocate more staff.
Fifth, the State continues to coordinate with counties and local officials to
facilitate the temporary shelter of migrants outside of the City.
The City has asked for the State’s support in moving migrants in need of temporary
shelter to counties around the State. The State supports the effort to move these individuals
and families out of the City where possible. There are, however, legal and practical
constraints.
The State has no legal authority to extend the City’s obligation to provide
shelter under the Consent Decree to other counties and localities that are not
signatories to the Consent Decree.
Many migrants will not willingly move outside of the City, and the State will
not sanction a policy of involuntarily relocating individuals or families within
or beyond State borders. As one example of the negative impacts of such
efforts, on August 7, 2023, the City sent a bus of 77 individuals to Rochester,
New York, and 30 of those individuals refused to get off the bus and returned
to the City.
Under federal law, asylum seekers must apply to change venue to move
outside of the City. Filing this application to change venue pauses the federal
180-day waiting period between when asylum seekers submit their
applications for asylum and when they may apply for work authorization.
Relocation can therefore further delay migrants’ ability to work and obtain
self-sufficiency.
Finally, in most instances, the City can more effectively provide these
individuals and families with essential services, such as public transportation,
social services, youth programming, and health care.
The Governor and members of her team have been in close contact with elected
officials and local leaders across the State and have participated in multiple calls and
briefings with the New York Conference of Mayors and the New York State Association
of Counties to encourage counties and localities to accept migrants. These ongoing
discussions have resulted in support from several counties and localities outside of the City.
The State’s efforts will continue, but the City’s affirmative cooperation, coordination, and
communication with the State, and with other counties and localities, is necessary to this
endeavor.
A lack of coordination from the City to date has impeded the State’s ability to foster
productive relationships and discussions, including with the counties and localities that
have offered to help. In particular, the City chose to send migrants to counties and localities
outside of the City with-little-or-no notice to or coordination with the State or those
counties and localities. That has created opposition and has led to litigation that might
9
Hon. Sylvia O. Hinds-Radix
August 15, 2023
have been mitigated or avoided if the City had acted in concert with the State and with the
counties and localities where it sent migrants. Moreover, the City’s failure to inform the
State of critical incidents that have occurred in shelters outside of the City has compounded
these difficulties.
Moving forward, the City should communicate to the State, counties, and localities
meaningful notice of all transfers of migrants to other counties and localities before they
occur. The City should alert the State, counties, and localities to critical incidents that
happen in shelters outside of the City and share with the State clear after-action reports,
including corrective action plans, in response to such incidents. In addition, the City should
coordinate with counties and localities to ensure that their school districts can support
additional children, and that the existing homeless populations in those counties and
localities are not displaced because of migrant relocation efforts.
The most essential assistance that the State and the City need from the federal
government is the swift, orderly review of all pending parole and asylum applications.
Federal law imposes a lengthy 180-day waiting period between the submission of an
asylum application and the application for work authorization. Expedited work
authorization is therefore essential to solving the migrant crisis. Without work
authorization, arriving migrants cannot be self-sufficient and cannot move into permanent
housing. The Governor has made expedited work authorizations her number one request
to the federal government. For example, the State has advocated for targeted immediate
work authorizations, including expanding Temporary Protected Status for Venezuelans,
many of whom likely arrived in the United States before the end of Title 42 on May 12,
2023.
As indicated above, State and federal officials have requested that the City prioritize
assisting migrants with applying for asylum. These officials held regular – often weekly –
calls with City officials to discuss how the State and the federal government can help the
City prioritize this work. In addition, the State offered to fund up to $10 million of this
work, upon receipt from the City of a workable program proposal. The City submitted its
10
Hon. Sylvia O. Hinds-Radix
August 15, 2023
proposal in June 2023, and the program launched shortly thereafter. The City should have
acted promptly, and by not acting promptly, it only delayed the 180-day waiting period for
many migrants. It is likely that many more migrants would be able to work today if the
City had prioritized this effort sooner.
Moreover, many migrants who have applied for asylum have faced huge backlogs
in federal processing and significant delays in asylum hearings. Thus, the Governor has
also made urgent requests for the federal government to increase the number of
immigration judges and other federal technical staff in New York to help asylum seekers
submit proper documentation to apply for asylum. Furthermore, the State and the federal
government have discussed whether there are ways of expediting the Department of Justice
accreditation process for individuals and organizations seeking to represent asylum seekers
in their application process.
The State has also pressed the federal government to provide additional federal
funding and resources. That includes funding to make federal properties in the City and
the State available for short-term sheltering of migrants, including military and naval
installations and General Services Administration properties. In particular, the State has
made multiple requests to use Floyd Bennett Field in Brooklyn, one of the largest open-
space areas within the City, and Fort Wadsworth in Staten Island. These locations could
house thousands of additional migrants and would relieve pressure on the City until more
migrants apply for asylum, receive work authorization, and are able to leave shelters.
Governor Hochul and her team continue to have regular conversations with the
President, White House staff, the Department of Homeland Security, the Department of
Commerce, the Department of Interior, the Department of Agriculture, members of
Congress, and Governors of other states to advocate for all of these essential forms of
assistance.
The State is committed to advocating for increased federal monetary support for
New York and will continue identifying possible ways to achieve this goal. The State will
promptly consider all proposals from the City regarding federal advocacy by the State, in
coordination with the City’s own efforts to petition the federal government.
11
Hon. Sylvia O. Hinds-Radix
August 15, 2023
* * *
The State has provided and will continue to provide an unprecedented level of
assistance to the City and to develop dynamic strategies to support the City in meeting
its legal obligations and handling this crisis effectively.
While it is the City’s responsibility to meet its obligation to provide shelter under
the Consent Decree,12 the State stands ready to work with all parties to this litigation to
more rapidly resettle both asylum seekers and the City’s existing homeless population. The
State has already established its willingness to connect any migrant with work
authorization to employment and to move households that have applied for asylum into
permanent housing. The State will discuss expansions of existing programs, what is
required of the City and the State to make these programs work, and other ideas for
programs to reduce both migrant and non-migrant need for shelter. In addition, the State
welcomes a discussion on what types of case management services are required to better
manage and increase the exits of migrants from City shelters, including what financial
support from the State could be made available for such a coordinated program.
In some instances, the City has failed to accept the State’s offers of assistance or
recommendations for State facilities. The City has not made timely requests for regulatory
changes, has not always promptly shared necessary information with the State, has not
implemented programs in a timely manner, and has not consulted the State before taking
certain actions. While Governor Hochul and Acting Commissioner Guinn appreciate
Mayor Adams’s public acknowledgement of the State’s significant role in the crisis
response, the City can and should do more to act in a proactive and collaborative manner
with the State.
The State will continue to work closely with the City to meet its obligations under
the Consent Decree and to help the City more effectively manage this crisis. The
unprecedented level of support by the State reflects Governor Hochul’s understanding that
this humanitarian crisis deserves both compassion and substantial assistance. The State is
actively working towards the day when the new migrant population can contribute to the
State’s economy and achieve self-sufficiency through asylum status and work
authorization.
Respectfully,
Faith E. Gay
12
The State acknowledges that the City is seeking to modify its Callahan obligations, which the Plaintiffs
have opposed.
12