WPCNR COMMON COUNCIL CHRONICLE-EXAMINER. April 22, 2004: After a long presentation by Susan Habel, Commissioner of Planning, outlining an Affordable Home Ownership program that would require developers of condominiums to kick in cash instead of actual living units for affordable housing, the council got into heated debate over whether the city should make available more units for affordable housing, or create supplemental subsidies to enable residents to purchase their own condominiums and coops, or even land.

As the meeting closed, the Council agreed that developers of condominiums should be required to make a cash payment, not make available units,  and conceded that they had to set a rate or fee per unit that future condo developers would have to pay.

Action would be delayed on the legislation until  City Corporation Counsel Edward Dunphy wrote a legal memorandium outlining the legal pitfalls and limites involved in requiring  what Mr. Dunphy described to WPCNR as "Impact Payments."

Louis Cappelli, who will be required on his 700 condominums to pay $1,050,000 for that cash payment noted that the city could turn that into $10,000,000 of mortgage leverage to help persons afford homes. Cappelli also said that if the city required payments of $150,000 a unit, that this was "a fantasy," sayin no developer would consider that.

It was also reported by Susan Habel that the city is having more difficulty than expected in finding renters who are able to meet the credit requirements of owners on the affordable rental housing units being made available. Habel said that families of four making $74,400 (80% of median income) had more credit history problems than the city expected. Those that are being rejected by owners are being referred for credit counseling to aid them in presenting a more acceptable credit profile to owners. Habel said the city is working with those rejected for credit problems.

George Gretsas said that approximately 20% of affordable rental units have been rented so far. Susan Habel said she would get the exact number for WPCNR, but she did not have the numbers because they change daily.

Gretsas cautioned the Common Council not to get hung up and demanding too much payment for affordable housing of developers, pointing out that the city has built more affordable housing than any other community in Westchester County. Gretsas cautioned the Council "not to lose perspective." He told WPCNR the city has built 200 affordable units of housing since 1997. Prior to that the city had built only one apartment building in 9 years and that was The Seasons, which was a luxury building.