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Citv Limits
Volume XVIII Number 1
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2/JANUARY 1993/CITY UMITS
An Agenda for Cisneros
F
ive hundred developments with 100,000 apartments. That's enough
housing for the entire population of Staten Island, or for the
residents of homeless shelters throughout the tri-state area. It's a
key housing resource, in other words-and the federal government
is squandering much of it.
This month's investigative feature, "Malign Neglect," by Steve Mitra,
details how a number of private developments built and maintained with
hefty federal subsidies have deteriorated into squalid, unsafe projects.
Housing horror stories aren't new in New York City-but this one is
different, because federal programs hand the landlords of these develop-
ments market rate rents between $600 and $1,200 a month for each
apartment. The money is there-but is it being used for proper main-
tenance and upkeep?
Making sure the answer is yes is the job of t h ~ federal Department of
Housing and Urban Development. But, as Mitra shows, the local HUD
office has only five inspectors for the 1,400 developments it oversees.
And HUD officials openly admit they prefer to work with landlords rather
than against them. In the process, they ignore their own guidelines,
which demand that landlords account for their failings and make
improvements-or face foreclosure by HUD.
President-elect Bill Clinton campaigned on a theme of change; this is
one area where it's long overdue. We hope that Henry Cisneros, the new
HUD secretary, will meet with HUD-assisted tenants locally and nationall y,
and renew a commitment to the basic oversight that's been neglected
during 12 years of Republican rule .
Jimmy Carter, the chairman of the Citywide Coalition of Tenants in
Federally-Assisted Housing, states his message to HUD simply and
eloquently: "Just enforce your own guidelines." C
Cover photograph by Suzanne Tobias.
j
FEATURES
A Two-Way Street
The New York City Health Crisis Coalition is demand-
ing community input in the management of Kings County
Hospital. 12
Malign Neglect
Tax subsidized, low-income housing deteriorates under
the feds' ineffective oversight. 16
DEPARTMENTS
Editorial
An Agenda for Cisneros ........................................... 2
Briefs
St. Luke's Lawsuit .... ................ .... ............... ... .... ....... 4
Support Systems ....................................................... 4
Bergen Street Blues ..... ......... .. ....... ............ ............... . 4
No Cross Subsidy ...................................................... 5
Profile
The Earthmother of Harlem .......... .... ... .. ......... ..... ..... 6
Pipeline
The Poor Serving the Poor ........................................ 8
CilyView
Stop the Chaos! ..... .. ....... .......... ............... ....... ........ . 24
Review
Chasing the Dragon ................................................. 26
Resources Clearinghouse .......................................... 27
Letters ........................................................................ 28
Job Ads ....................................................................... 31
Earthmother/Page 6
Two-Way Street/Page 12
Malign Neglect/Page 16
CITY UMITS/JANUARY 1993/3
11:';""11
ST. LUKE'S LAWSUIT
Harlem community groups
and churches are protesting St.
luke's-Roosevelt Hospital
Center's renewed attempt to
move most of its maternity beds
and its children's ward from
Morningside Heights to mid-
Manhattan. The community
coalition says the move would
leave Harlem without essential
hospital services for pregnant
women, infants and children,
and they recently filed suit in
federal court to stop it.
"They are moving away from
a black and latino population to
a white population. It's clearly a
question of money,'1 says Rever-
end Earl Kooperkamp of the
Church of the Intercession on
155th Street. The suit charges
that St. luke's-Roosevelt is
violating civil rights and hospital
financing laws.
Six years ago, the New York
State Deportment of Health
approved the consolidation of
maternal and child health
services at the medical center's
Roosevelt Hospital on West 59th
Street. The hospital center is in
the midst of a vast expansion
and must boost revenues while
cutting costs to pay debts in-
curred by the new construction,
according to Crain's New York
Business.
But in July 1990, after an
explosion of protest in the
community, fOrmer state health
commissioner David Axelrod
ordered the hospital to maintain
minimal maternity and neonatal
wards and "necessary pediatric
services" at the St. luke's site
uptown. The hospital's new plan
adheres roughly to that order,
though it would slash pediatric
beds from 43 to zero. It would
also eliminate 37 maternity beds
at St. luke's next year, leaving
22, and cut neonatal intensive
care beds from 16 to 14.
Members of the community
coalition, which includes Com-
munity Boord Nine, Harlem
Valley Churches, Interfaith
Assembly on Homelessness and
Housing, West Harlem Environ-
mental Action and others, point
out that the obstetric and neona-
tal wards at other nearby
hospitals-Columbia Presbyte-
rian and Harlem-already
operate at or above capacity.
They add that residents in the St.
4/JANUARY 1993/CITY UMns
Hittlac It Home: Woodworkers on the steps of City HaJJ protest the city's
failure to properly manage their Greenpoint manufacturing center.
The city has since addressed some of their concerns.
luke's service area would be
unlikely to travel to West 59th
Street for immediate care.
Most coalition members
acknowledge that their primary
goal is to work out a compro-
mise with the hospital, but they
say they filed the lawsuit be-
cause the hospital refuses to
invite the community to the
negotiating table. 'We're
hoping that the pressure from
the lawsuit will help start up the
dialogue before the whole court
process starts to drag on,"
explains Kooperkamp.
Michele DeMilly, a spokes-
person for St.luke's-Roosevelt,
maintains that the hospital has
been responsive to the commu-
nity. The coalition is "going to
have to wait until 1993 wnen
the consolidation takes place to
realize that St. luke's is still
serving the community with
enough beds," says DeMilly.
''This hospital doesn't discrimi-
nate," DeMilly maintains. She
calls the lawsuit "a frivolous
action . .. .It diverts precious
health care dollars to litigation."
Marianne Engelman lado, a
staff attorney for the NAACP
who represents the coolition,
disagrees: "No one is forcing
St. luke's to pour money into
legal services when they could
just sit down and negotiate,"
she says. 'We don't want to
bonkrupt this hospital,"adds
Harold lowe, a community
representative for Congressmen
Charles Rangel. "But tile hospi-
tal has not been forthcoming
about their problems or reasons
for moving the beds. If the
lawsuit can bring us all to the
table then it will have done its
job." LJ Jon Gertner
SUPPORT SYSTEMS
A new organization commit-
ted to spending $6 million in
New York to reduce homeless-
ness and create housing for
people with special needs
announced the kickoff of its
program last month.
The Corporation for Support-
ive Housing (CSH), a national
organization led by Julie
Sandorf, intends to provide
housing combined with services
like treatment for drug addic-
tion, counseling, and care for
AIDS.
Formed a yeqr ago, CSH is
already funding $2.3 million in
programs nationwide, in cities
like Chicago, San Jose, and
New Haven. But the largest
chunk-$l .2 million-is al -
ready being pumped into New
York. ''The problem is so much
bigger in New York than in
other cities," says Sandorf. In
December, CSH officially
announced the opening of its
New York operation.
CSH's model for decent
housing is a stable, permanent
community of mostly single
adults housed in a building
along with one or more case
workers, who provide some
counseling to get through
temporary crises, and who will
refer people to existing commu-
nity services for larger problems,
according to Robyn Minter,
assistant program officer for
CSH.
"If someone is having a
breakdown-like if a former
drug addict is getting bock into
drugs-then there's somebody
there who can identify the
change and provide a link to
services," Minter says.
CSH has enormous re-
sources-about $20 million from
foundations like The Pew Chari-
table Trust, The Robert Wood
Johnson Foundation, The Ford
Foundation and the Hilton
Foundation. It can also leverage
money from corporations using
the low-income housing tax
credit. CSH hopes to do for
special needs housing what
local Initiatives Support Coali-
tion and the Enterprise Founda-
tion do for low-income housing,
says Sandorf. In the future, CSH
will pump about $6 million into
programs in the city.
Sandorf, who worked with
lISC from 1986 to 1989, says
she saw the need for funding
supportive housing by watcning
organizations across the country
struggling to provide services, in
isolation, on "a wing and a
prayer." CSH not only provides
money but technical support and
information for such housing. 0
Steve Mitra
BERGEN STREET
BLUES
Despite a recent decision in
civil court, there is no end in
sight for a bottle between the
city and a mortgage investor
that has left a gaping, ugly
wound in the landscape of
Prospect Heights for six years.
Delays causea by the court case
have left most of a city block in
ruins-along with the subsi-
dized one, two and three-family
homes that were under construc-
tion there a decade ago.
The property is part of an
urbon renewal site cleared by
the city and sold to a developer,
the MMRR Construction Corpo-
ration, for $27,500 in 1982. In
exchange, the developer agreed
to build 54 homes on the
;
property, which lies on Bergen
and Dean streets between
Vanderbilt and Underhill av-
enues, and sell them to middle-
income buyers who would
receive mortgage subsidies from
the federal government. The
project was also subsidized by
the city's housing department.
The developer laid 32 foun-
dations, finished 11 houses and
almost completed another 11
before going bankrupt in 1984.
In May of that year, Chemical
Bank i'oreclosed on a $5 million
mortgage given to MMRR. And
two years later, the city took
ownership of the property in lieu
of unpaid property taxes.
While the 11 completed
houses are occupied, the unfin-
ished houses and foundations
have been crumbling ever since.
City officials turned the site over
to a new developer-the New
York City Partnership-to com-
plete the affordable housing
plan. But since 1988, when
Chemical Bank sold the rights to
the unpaid mortgage to an
investor, Alexander Fischer, he
and the city have been fighting
in court over which of them
actually owns the land, and the
Partnership has had to put the
project on hold.
At one point the Partnership
even put out a request for bids
from contractors to work on the
site. ''Then this guy rematerial-
ized seeking his pound of Aesh,"
says Kathy Wylde, the organiza-
tion's director. The problem now,
according to city officials, is that
Fischer refuses to negotiate a
deal with the city out of court.
Instead, he is demanding full
compensation for the unpaid
mortgage, which is now worth
$8 million. 'We discussed the
p<>ssibility of a deal," says one
official. "But they've never come
down from the $8 million. When
you ask for the whole ball of
wax, .it' s not really worth talking
about." Neither Fischer nor his
lawyer, Irwin Brownstein, could
be reached for comment.
Civil Court Judge Randolph
Jackson recently ruled that the
city could condemn the property,
pay Alexander the $8 million,
and begin construction. But the
city claims it owns the property
outright and shouldn't have to
pay Fischer a cent, says Fay Ng,
assistant city corporation coun-
sel. So she plans to appeal the
residents and nonprofit organi-
zations on its board of directors.
Seven of the buildings are now
occupied, according to the
association's director, Matthew
lovick. Housing department
officials did not respond to
gueries about the status of
fUrther subsidized development
in the community.
The cross-subsidy deal also
established a tenants' legal
assistance and advocacy
organization, the lower East
Side local Enforcement Unit