November 2025 Issue
Cuomo’s impact on homelessness policy can still be felt across the country. He oversaw the extensive privatization of homeless services, which
bloated into a cottage industry of private, nonprofit subcontractors. While he defended privatization in the name of cost-cutting, the approach has had the opposite effect: Nonprofit services often
exceed their preliminary budgets, not least because they must cover the exorbitant salaries of their executive officers. (By 2011, the top salary at HELP had
reached $500,000 a year.) Ceding placement decisions to private industry has segregated shelters and interim housing; facilities are often located in poorer neighborhoods and outside city limits, away from transportation and other resources unhoused people need. Finally, a lack of accountability in private accommodations has led to abominable conditions. HELP’s own properties have earned multiple code violations from heat outages, mold outbreaks, and sewage leaks.
While the original Cuomo commission report admitted that “‘transitional’ housing succeeds only when there is ‘permanent’ housing to enter,” Cuomo’s singular focus on transitional housing helped produce lasting imbalances in the national shelter system. As his mayoral rival Comptroller Brad Lander’s urgent reports often
note of NYC’s ratio, a lack of permanent housing serves to trap unhoused people in transitional limbo or ultimately eject them back into the streets. As early as 1999, research on HELP’s shelter model revealed that its disciplinary methods promoted social isolation among residents that exacerbated rather than alleviated mental health struggles. While some local and federal policies have helped reverse his actions, delinking behavioral modification requirements from housing access, research continues to demonstrate that forced treatment, whether for mental health or substance abuse, not only fails to keep people housed but also drives people from resources.
Perhaps Cuomo’s gravest impact on homelessness policy has been stigmatizing homeless people and ceding ground to right-wing narratives and policy interventions. He helped turn legislators away from systemic solutions and toward individualized treatment, and turn the public’s understanding of the homelessness crisis toward law and order rather than affordability. In 1993, the conservative Manhattan Institute’s
City Journal celebrated the insights of the Cuomo commission report. Now, some of the most ardent defenders of the methods Cuomo invented include Donald Trump and his supporters, who have spent a near-decade
rallying around “treatment first” solutions. When Christopher Rufo, a
City Journal columnist and Manhattan Institute fellow,
asserted that homelessness is a “human problem—not a housing problem,” he
took the words out of Cuomo’s mouth: Homelessness is a “human problem…not an economic problem,” Cuomo once said.
Individualizing the homelessness crisis has likewise protected Cuomo from accounting for his own role as an architect of the failures of our housing system more broadly. In the more familiar side of his HUD record, Cuomo helped oversee one of the main reasons the country’s housing became so wildly unaffordable: the
decimation of its public housing stock. Here too, his suspicion of using public resources to solve public problems drove privatization schemes, and his paternalistic disdain for the agency of the poor inflected new admission policies, such as work requirements, drug testing, and fraud screening, as well as bans on residents with criminal records. Instead of public housing, Cuomo pressed for privately owned, publicly subsidized housing—a strategy that
failed to meet the needs of the most vulnerable tenants—as well as “empowerment zones” that gave tax breaks and public land to real estate speculators.
Cuomo’s years in the real estate industry may best reveal his loyalties. In his time as HUD secretary, Cuomo assisted federal suits against real estate companies in violation of fair housing practices, basic living standards, and the law. One case, against Insignia, then the nation’s largest owner and manager of multifamily property, headed by Andrew Farkas, settled with a $7.4 million fine. Two years later, when Cuomo’s HUD term ended, he
went to work for Farkas’s new venture. Soon, Farkas
became a top donor to Cuomo’s failed campaign for governor (which Cuomo announced from outside his first HELP shelter) and his bid for attorney general, where he was often accused of favoritism in approving new developments.
As governor of New York, Cuomo repeatedly slashed the budget for serving homeless New Yorkers. In the first year of his term, he
cut $65 million of state appropriations for people leaving homeless shelters, triggering a $27 million loss of federal matching funds. Two years later, the city’s shelter population had
increased by 35 percent. He also shrank New York State’s contributions to the city’s homeless services. In his first five years in office, those contributions had been nearly halved. In 2016, against the guidance of the original Cuomo commission and
even against the counsel of police commissioner William Bratton, Cuomo issued an executive order to expand involuntary commitment laws to hold unhoused people against their will if they refused shelter placements during freezing temperatures. But at the same time, he was eliminating places to put them. Over the course of his governorship, from 2011 to 2021, Cuomo
oversaw a 28 percent reduction in state-run psychiatric hospital beds in the city.
Nor did Cuomo work to keep tenants housed. Instead, he defunded the state agency tasked with overseeing the city’s rent-stabilization laws—by 62 percent
after his first two terms as governor—and
declined to collect the fines landlords owed for negligence and tenant harassment. Each year of his tenure, the city lost more rent-stabilized apartments—more than 66,000 in 2021
alone—and his promises to restore regulations went unkept. The only Democratic candidate besides venture capitalist alum Whitney Tilson who will not commit to a rent freeze for rent-stabilized tenants, Cuomo recently expressed
regret for signing NYC’s 2019 rent laws, a landmark expansion of rent stabilization, in a private meeting with the executive committee of the Real Estate Board of New York.
Cuomo made his name in New York by insisting that the city should intervene in the private lives of poor people, but not in the private housing market. Across the country, his legacy persists in policies that discipline the victims of that market rather than its beneficiaries, and in austerity budgets that withhold public support and diminish regulatory power. For his decades of service, real estate firms have poured $2.5 million to his mayoral super PAC. At least $410,000 of that
comes from companies currently being sued by the city for persistent and glaring violations of its habitability codes.
At the primary mayoral debate last night, asked what part of New York City’s government he would target for cuts, Cuomo
said he would start with the agency responsible for enforcing that housing code and for developing new affordable and permanent housing—because “housing is a top priority.” Either he forgot the question, or he’d prefer that the rest of us did.