Overwhelming Homelessness CRISIS Taking Over New York!

Overwhelming Homelessness CRISIS Taking Over New York!13:21

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Debacle Economics

Published at:

7/20/2024

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Speaker 3

Businesses are looking for a permanent solution to the homeless encampments outside of their establishments.

They have mattresses.

They got the cushions from the couches.

They made a little bed under here when it rains.

It's been really bad.

Speaker 2

So there are over 100,000 homeless people living in New York City.

And as the cost to live here continues to rise, sadly, that number is expected only to grow.

Speaker 1

In the heart of America's most iconic metropolis, a crisis of unprecedented scale is unfolding.

The streets of New York City, once symbols of opportunity and the American dream, are now home to a growing army of the dispossessed.

The Big Apple's homelessness problem has reached catastrophic proportions, threatening not just the lives of those without shelter, but the very fabric of urban society.

This is not a distant threat or a hypothetical scenario, but a clear and present danger that looms over every street corner,

subway station, and public park in the city that never sleeps.

The numbers paint a stark and sobering picture of the scale of this crisis.

According to the Coalition for the Homeless, in August 2023, there were 86,510 homeless people, including 29,721 homeless children, sleeping each night in New York City's main municipal shelter system.

23,912 single adults slept in shelters each night in August 2023.

Over the course of city fiscal year 2022, 102,656 different homes.

This represents a staggering 78% increase in homelessness citywide since 2012.

These figures, however, do not capture the full extent of the problem, as they do not include the thousands of unsheltered individuals living on the streets, in subway cars, or other public spaces.

Even more alarming is the rate at which the crisis is progressively accelerating.

In April 2024, 147,518 people slept each night in NYC shelters.

Thousands more slept unsheltered in public spaces, and more than 200,000 people slept temporarily doubled up in the homes of others.

Thus, it can be estimated that more than 350,000 people were without homes in NYC in April 2024.

Perhaps most concerning of all is the impact on children.

In April 2024, 68% of those in shelters were members of homeless families, including 48,298 children.

That month, 47,224 single adults slept in shelters.

45% of those in shelters were 65,730.

31 individuals were new arrivals.

119,320 NYC schoolchildren experienced homelessness at some point during the 2022-2023 school year, representing more than 11% of all NYC public school kids.

Early exposure to housing instability can have devastating long-term consequences, affecting everything from educational outcomes to physical and mental health.

At this point, the homelessness situation in the Big Apple is not just a drop in the ocean, it's a tidal wave of trouble.

In this video, we'll explore the roots of this crisis, examining the complex interplay of factors that have led to such a dire situation.

Every night, tens of thousands of New Yorkers, mostly families with children, experience homelessness.

To understand the gravity of New York City's current homelessness crisis, it's essential to look at the historical context.

Homelessness has been a persistent issue in the city for centuries, but the modern era of mass homelessness began in the late 1970s and early 1980s.

This period saw a confluence of factors that created a perfect storm for housing instability.

Deinstitutionalization of mental health patients, the crack cocaine epidemic, gentrification, and cuts to federal housing programs.

In 1981, a landmark legal decision known as Callahan v. Carey established the right to shelter in New York City, requiring the city to provide shelter to all homeless men who met certain criteria.

This right was later extended to women and families.

While this decision was intended to address the immediate needs of the homeless population, it also created a massive shelter system that has struggled to keep pace with the growing demand.

Throughout the 1980s and 1990s, various mayoral administrations attempted to address the issue with differing approaches.

Mayor Ed Koch focused on expanding the shelter system, while Mayor David Dinkins emphasized prevention and permanent housing solution.

Mayor Rudy Giuliani took a more controversial approach, implementing aggressive policing tactics and stricter shelter eligibility requirements.

The early 2000s saw some progress under Mayor Michael Bloomberg, who introduced the Housing First model and focused on data-driven solutions.

However, these gains were offset by the 2008 financial crisis, which led to a new wave of homelessness as many New Yorkers lost their jobs and homes.

In recent years, the problem has been exacerbated by a variety of factors, creating a complex and multifaceted crisis that defies simple solutions.

One of the primary drivers of homelessness in New York City is the skyrocketing cost of housing.

According to the National Low-Income Housing Coalition, the fair market rent for a two-bedroom apartment in New York City is $2,752 per month.

The previous year rent for a two-bedroom home was $2,451 per month.

This is a 12.28% increase year over year.

A recent study showed that you would need to make a whopping $40.08 an hour in New York to afford a two-bedroom rental.

This is far beyond the means of many New Yorkers, especially those working in low-wage jobs.

A report by the NYC Department of Housing Preservation and Development

showed that renters have less than a 1% chance of finding an apartment that costs under $2,400 a month in the city, with the city's overall vacancy rate reaching a historic low of 1.4%.

The city's rental market has become increasingly unaffordable due to a combination of factors including gentrification, speculation in the real estate market,

and a severe shortage of affordable housing units.

A 2023 report by the New York City Comptroller's Office found that the city would run into a deficit of over 500,000 affordable housing units for low-income residents by 2032.

To keep up with demand, the Regional Plan Association projects New York City will need 473,000 more units of housing by 2032.

Unfortunately, the city only completed 11,000 residential units in 2023, the New York Building Congress reported.

This shortage has pushed many families to the brink of homelessness, with even minor financial setbacks potentially leading to eviction.

Gentrification has played a significant role in exacerbating the homelessness crisis.

According to a study by the NYU Furman Center, 15 out of 55 neighborhoods in New York City experienced gentrification between 2000 and 2016.

In these gentrifying areas, median rents increased by

34% compared to just 16% in non-gentrifying areas.

This rapid increase in housing costs has led to widespread displacement with long-time residents forced out of their communities and into precarious housing situations.

The displacement caused by gentrification is not just a matter of individual hardship, it's reshaping entire communities.

According to a report by the National Community Reinvestment Coalition,

Cities with the highest rates of gentrification included New York City, Los Angeles, Washington D.C., Philadelphia, Baltimore, San Diego, and Chicago.

These seven cities accounted for nearly half of the total gentrification nationally, or 501 tracts out of 1,049.

This dramatic shift in neighborhood composition has not only contributed to homelessness, but has also eroded the social fabric of many communities.

Another significant factor contributing to the homelessness crisis is the ongoing opioid epidemic.

According to the New York City Department of Health and Mental Hygiene, there were 2,668 drug overdose deaths in the city in 2021, with opiates involved in 85% of these deaths.

Substance abuse not only increases the risk of homelessness, but also makes it more challenging for individuals to maintain stable housing and access support services.

Mental health issues also play a crucial role in the city's homelessness problem.

Since 2019, the city has tracked some of the hardest-to-treat homeless mentally ill people on an informal roster it calls the Top 50 list.

The Adams administration has convened a task force of agencies and nonprofit groups that meets weekly to help the people on the list.

The lack of adequate mental health services and supportive housing options leaves many individuals with mental health challenges vulnerable to homelessness.

The recent surge in immigration to New York City has further strained the already overburdened shelter system.

Since spring 2022, over 100,000 asylum seekers have arrived in the city, with many requiring emergency shelter.

This influx has pushed the shelter system to its breaking point,

forcing the city to open emergency shelters in hotels, schools, and other makeshift facilities.

According to city officials, the cost of housing these new arrivals is estimated to reach $4.3 billion by the end of 2023, putting an enormous strain on the city's budget.

The economic fallout from the COVID-19 pandemic has also contributed significantly to the homelessness crisis.

The New York State Department of Labor reported that the city's unemployment rate peaked at 20.4% in June 2020, leaving many residents unable to pay rent.

While the economy has since recovered to some extent, with unemployment falling to 5.9% as of July 2023, many New Yorkers continue to struggle with housing insecurity

as a result of lost income during the pandemic.

The impact of this homelessness crisis extends far beyond those directly experiencing housing insecurity.

It affects the entire fabric of New York City life, from public safety to economic vitality.

The presence of large numbers of unsheltered individuals in public spaces has led to concerns about sanitation, public health, and quality of life issues.

A 2022 survey by the Manhattan Institute found that 57% of New York City residents considered homelessness to be a very serious problem, with many expressing concerns about safety in public spaces.

The economic cost of homelessness is also staggering.

A 2019 study by the New York City Independent Budget Office estimated that the city spends an average of $73,000 per person.

With tens of thousands of individuals and families in the shelter system, this translates to billions of dollars annually.

These costs do not include indirect economic impacts such as lost productivity, increased healthcare expenses, and strain on the criminal justice system.

The homelessness crisis also has profound implications for public health.

Homeless individuals are at higher risk for a wide range of health problems from chronic conditions like diabetes and heart disease to infectious diseases like tuberculosis and HIV.

The COVID-19 pandemic highlighted the vulnerability of this population, with homeless individuals experiencing higher rates of infection and more severe outcomes.

Educational outcomes are another area of concern.

Homeless children face numerous barriers to academic success, including frequent school changes, lack of quiet space for studying and the stress of housing instability.

A 2019 report by the New York City Independent Budget Office found that only 60 percent of students living in shelters graduate high school within four years, compared to 76 percent of permanently housed students.

The number of homeless students in New York has swelled from roughly 78,000 a decade ago to more than 114,650 at its peak in 2018, about the same size as the entire public school system of Philadelphia.

The shortage of affordable housing in New York City is not just a contributing factor to homelessness, it's a crisis in its own right.

According to the New York City Housing and Vacancy Survey, the citywide vacancy rate for rental apartments was just 4.54% in 2021, well below the 5% threshold that legally constitutes a housing emergency.

For apartments with rents under $1,500 per month,

The vacancy rate was an astonishingly low 0.86%, indicating an extreme scarcity of affordable units.

This shortage is particularly acute for the city's lowest-income residents.

The gentrification process has further exacerbated this shortage by reducing the stock of naturally occurring affordable housing.

As neighborhoods gentrify, older, more affordable housing units are often renovated or demolished to make way for luxury developments.

In 2016, over one-third of low-income households lived in low-income neighborhoods at risk of or already experiencing displacement and gentrification pressures, comprising 24% of the New York metro area's census tracts.

The displacement caused by gentrification often pushes long-term residents into overcrowded living situations or substandard housing.

This increased rent burden puts many households one financial emergency away from homelessness.

From all indications, trying to fix this with a Band-Aid won't stop the bleeding.

The homelessness crisis in New York City is a complex and multifaceted problem with deep historical roots and far-reaching consequences.

From the shortage of affordable housing to the ongoing opioid epidemic, from the pressures of gentrification to the strain of new immigration, the factors contributing to this crisis are numerous and interconnected.

As New York City grapples with this ongoing crisis, it's clear that the challenges are enormous and the stakes could not be higher.

The future of the city, its economic, social fabric, and very identity as a place of opportunity and diversity hangs in the balance.

Without significant intervention and systemic change, the homelessness crisis threatens to become an intractable feature of life in America's largest city, a persistent reminder of the growing divide between those who have secure housing and those who do not.

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