On June 30, 2025, the New York City Council passed a $115.9 billion budget for Fiscal Year 2026, prioritizing affordable housing, tenant protections, and homeownership initiatives. This budget reflects the Council’s commitment to addressing the city’s housing crisis, with a historic level of funding aimed at creating and preserving affordable housing, enhancing neighborhood infrastructure, and supporting vulnerable residents.
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Major Housing Funding Increase
The Council secured $1 billion in expense funding and $3 billion in capital funding for housing-related initiatives. These funds are dedicated to expanding affordable housing, preventing homelessness, supporting homeownership, and providing tenant protections across the five boroughs.
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City for All Housing Plan
As part of the City for All housing plan, the budget allocates $4 billion in capital funding to further support the creation and preservation of affordable housing, as well as to bolster neighborhood infrastructure. This is a significant step in addressing the city’s housing shortage and meeting the needs of its growing population.
Tenant Protection Initiatives
A key aspect of the FY 2026 budget is a $50 million increase in funding for tenant protections. This investment is designed to enhance resources for rent-stabilized tenants, improve housing quality, and prevent displacement, ensuring greater stability for New York City residents.
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Housing Preservation Programs
In collaboration with the Department of Housing Preservation and Development (HPD), the Council updated essential housing programs like Housing Preservation Opportunities and the Open Door program. These initiatives aim to support the rehabilitation of existing housing and expand affordable housing options throughout the city.
Affordable Housing Legal Services
The budget also includes continued funding for affordable housing legal services, providing tenants with the necessary support to navigate housing challenges. These services are crucial for protecting tenants’ rights and ensuring access to stable housing.
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Addressing Housing Shortage
With New York City’s severe housing shortage, these investments are vital for expanding affordable housing options, particularly for low-income families and individuals in need. The Council’s initiatives aim to create long-term housing solutions that are affordable, sustainable, and accessible.
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A Collaborative Effort
Council members emphasized the importance of collaboration in securing these historic investments. “The FY 2026 budget reflects our values of equity, dignity, and care,” said Council Member Lynn Schulman. “We are addressing long-standing disparities by funding programs that support housing, mental health, and other vital services.”
