Comptroller’s Audit of Housing Authority’s Management of Vacant Apartments

NYC Comptroller Scott Stringer. Image credit: Office of the New York City Comptroller

NYC Comptroller Scott Stringer. Image credit: Office of the New York City Comptroller

Audit shows Housing Department has inadequate controls in place to monitor and keep track of vacant units. On June 24, 2015, New York City Comptroller Scott Stringer released an audit report that examined how the New York City Housing Authority manages vacant apartments in developments throughout the city. The report discussed the process by which an apartment becomes vacant in NYCHA’s system and when certain units are taken off of the rent roll. NYCHA classifies apartments as either being on the rent roll (on roll) or off of the rent roll (off roll). On roll units are those that are either occupied by a tenant or in the process of being turned over to a new tenant. Off roll units are those that are not available for residential use for an extended period of time due to major repair or renovation.

The audit revealed that NYCHA had consistently failed to meet its objective of promptly returning off roll vacant units back onto the roll in a timely manner. For instance, the audit found that apartments removed from the rent roll due to major repairs or renovations remained off roll for an average of 2,605 days. Additionally, the audit noted that apartments removed from the rent roll because of relocations for elevator rehabilitations remained off roll for an average of 689 days. The audit stated that this delay in returning units to the rent roll not only costs NYCHA money in lost revenue but also negatively impacts the housing waiting list, which as of December 2014 contains 273,391 households seeking NYCHA apartments.

The audit also found that NYCHA did not ensure that property managers were monitoring the conditions of vacant units, which increased the possibility of vandalism and unauthorized tenants occupying them. The audit report put forth several recommendations for addressing the problems including the improvement of NYCHA procedures and oversight related to the coordination and completion of repairs and renovations so that units can be promptly returned to the rent roll once work is complete. Additionally, the report recommended that NYCHA make greater efforts to ensure that all developments turn over vacant units in a timely manner as well as instituting protocols for periodic monitoring of vacant units to ensure they are secure and not further damaged. NYCHA agreed with most of the recommendations put forth in the report but did disagree with the suggestions that vacant units meant a loss of income to NYCHA and that the audit focused on developments with extremely high vacancy rates which presented a higher than usual average vacancy rate.

Audit Report on the New York City Housing Authority’s Management of Vacant Apartments. MD15-060A, NYC Comptroller Scott Stringer (June 24, 2015).

By:  Matthew Walsh (Matthew is a student at New York Law School, Class of 2018).

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