Thursday, June 4, 2026, 10 a.m. (New York City time), Council Chambers - City Hall
Committee: Committee on Finance
The Committee on Finance held three FY27 executive budget hearings on June 4, 2026: the Department of Social Services (HRA/DHS), the Department of Sanitation, and the Conflict of Interest Board. The DSS hearing focused on the $124.7 billion executive budget, SNAP work requirements under HR 1, City FHEPS cost containment, shelter census, vacancy reductions, and consultant contracts. The Sanitation hearing covered containerization expansion, lot cleaning staffing, vending enforcement, snow removal, and facility investments. The COIB hearing addressed staffing, pay equity, and IT infrastructure needs for the agency overseeing 300,000+ public servants. No formal votes were taken; the hearings were for budget oversight and question-and-answer purposes.
0:00 Want to say we really
0:00 appreciate the fact you guys
0:01 printed so many copies for us,
0:03 and that goes a long
0:05 . Way. Welcome, commissioner
0:07 aaron dalton and your team and
0:08 thank you all for joining us
0:11 today to answer questions on
0:13 May 12 2026, the
0:14 administration released the
0:16 executive financial plan for f
0:17 I 26 2 30 with a proposed 2
0:20 7budget $124.7 billion hr is
0:24 proposed fiscal 27 budget of
0:28 represents 11.7% of the
0:30 administration's proposed a 2
0:32 7budget in the executive plan
0:34 and this is a decrease of or
0:36 point 2% from the originally
0:41 budgeted in the 27 preliminary
0:45 plan. This decrease results
0:46 from several actions, mostly
0:47 City effects cost containment
0:49 plans and cash assistance re
0:50 estimate savings as of April
0:52 26, it jury's actual head
0:53 count is 10810 and budget head
0:57 count is 12445 wit ah vacancy
1:00 rate of 13.1% proposed 2
1:04 7budget of represents 3.4% of
1:08 the administration's proposed
1:10 27 budget and this is a
1:12 8.9% from the originally
1:19 budgeted in the f a 27
1:22 preliminary plan. This
1:23 decrease results from several
1:24 actions, including the shelter
1:25 cost containment plan, a re
1:27 estimate to project costs for
1:29 the asylum seeker response and
1:30 the elimination of 183
1:31 positions at the as of April
1:36 26 justice actual head count
1:37 is 1616, and the budget had
1:41 account is 2021, a vacancy
1:43 rate of 20% in the counsel's
1:46 preliminary budget response we
1:47 called on the Mayor to add 8
1:51 21 million 2 juries budget t
1:52 oinvest in fair fares to more
1:55 accurately budget for hossa
1:56 emergency shelters and to
1:57 baseline one time funding
1:58 added in fiscal 26, only for
2:02 housing stability, micrograms
2:05 for impacted individuals. The
2:06 anti harassment tenant
2:07 protection legal services
2:09 program and to continue
2:10 funding the legal services
2:12 pilot for survivors and
2:15 divorce proceedings. We were
2:16 pleased to see that a request
2:16 was partially included in the
2:17 plan with more than half of
2:19 our totalundi fng request for
2:21 f being included and baseline
2:23 in the out years. However, we
2:25 continue to hear the same
2:26 contracting issues from human
2:29 service providers as a forme
2:30 rof a community based
2:31 organization. I'm all too
2:32 familiar with the struggles
2:33 providers face when
2:34 reimbursements are not made in
2:36 a timely manner delayed
2:38 reimbursements. Put those in
2:39 difficult positions where they
2:40 end up scrambling to make
2:41 payroll and ensure that
2:43 services do not get disrupted
2:46 in addition to delays and
2:47 reimbursements to providers
2:48 have experienced stagnant
2:50 reimbursement rates frequent
2:51 changes in contracting steps
2:52 and approvals and few
2:54 opportunities to expan
2:55 dservices and funding these
2:57 issues on top of vo those
2:58 losses of federal dollars post
3:01 further challenges t
3:02 oorganizations that serve the
3:04 most vulnerable residents of
3:05 our City. I look forward to
3:07 hearing from you, commissioner
3:08 on how will help human
3:11 resources, human resources
3:13 providers and our most
3:13 vulnerable residents through
3:15 these challenges now and in
3:15 the years to come and I now
3:18 want to turn to my co chair of
3:20 this hearing chairman chair
3:21 and Council Member Hudson for
3:23 her opening statement. Thank
3:24 . You so much chair Lee and
3:26 good morning. I'm Crystal
3:27 Hudson of the general welfare
3:28 committee and my pronouns or
3:31 she her? Thank you for joining
3:32 us for the fiscal 20 27
3:34 executive budget hearing for
3:35 the general welfare committee.
3:37 We will hear from to agencies,
3:39 the human resources
3:40 administration, or h and and
3:41 the department of homeless
3:44 services testifying under the
3:45 umbrella of the department of
3:46 social services, or I'm
3:49 pleased to be here with my
3:50 colleague, chair of the
3:51 committee on finance council
3:53 member Linda Lee, city's
3:54 proposed fiscal 20 2
3:56 7executive budget totals $124.7
4:00 billion, of which or 15.1%
4:06 funds, making it the secon
4:07 dlargest agency budget after
4:08 the department of education
4:11 .this encompasses $14.6 billion
4:18 for 4. Two to billion for
4:19 . There were notable changes
4:20 made in the executive plan for
4:21 both agencies saw New needs
4:22 totaling 234 to me $235.4
4:27 million in fiscal 2027
4:29 ,growing to approximately $263
4:32 million in the out years for
4:35 several programs, including
4:35 domestic violence, shelters,
4:38 legal services, fair fares and
4:39 agencies staffing due to the
4:41 savings mandates and vacancy
4:42 reductions required by the
4:44 Mayor mayor's executive order
4:49 $1275.2 million in savings and
4:50 fiscal 2027 and $274.1 millio
4:55 nin savings baseline starting
4:57 in fiscal 20028, the largest
4:59 savings will be achieved in
5:00 the City thefts program
5:01 through a containment pla
5:05 nonly saw New needs in fiscal
5:06 20 26 with $72.7 million added
5:10 for operational costs at
5:11 contract and shelter providers
5:12 and maintenance of it programs
5:17 . Executive plan include
5:17 dsavings of $356.7 million I
5:20 nfiscal 20 27, largely from a
5:23 shelter cost containment plan
5:24 with the level of savings
5:25 decreasing in the out years.
5:28 The council's budget response
5:29 called on the administration
5:30 to restore baseline one year
5:32 funding included in fiscal
5:35 2026, only for joint
5:35 priorities, and I was glad t
5:36 osee that the administration.
5:39 Baseline, $25 million starting
5:40 in fiscal 20 27 to support
5:42 their fares as well as
5:43 baseline funding for legal
5:46 services, housing stability
5:46 micro grants for domestic
5:48 violence impacted individuals
5:49 and to continue the legal
5:50 services pilot for and divorce
5:55 proceedings.
5:55 Well, I know all agencies
5:56 were under a mayoral mandate
5:58 to generate savings. I'm
5:58 concerned about how the
6:00 vacancy reductions, which
6:00 eliminated 183 positions at
6:03 and 79 positions at impact the
6:07 agency's ability to maintain
6:08 their current level of
6:09 services at a time when they
6:10 are more needed than ever. I'm
6:13 also concerned about the areas
6:13 where the budget not
6:15 adequately support the
6:16 sential programs
6:17 administered by and the
6:19 necessary level of staffing
6:20 required to provide clients
6:21 with services and a timely
6:24 manner well has been able to
6:25 improve the timeliness rates
6:26 for snap and cash assistance
6:28 applications denial rates have
6:29 increased, which is especially
6:31 troubling given the recently
6:32 implemented federal work
6:35 requirements
6:35 . We've still been hearing
6:36 that is very difficult to get
6:37 through to by phone and that
6:40 clients are experiencing very
6:40 long wait times at centers
6:43 while is shelter. Census has
6:45 decreased slightly in the past
6:47 few months it remains above
6:50 80000 placements into
6:50 subsidized housing must be
6:51 accelerated in order to
6:53 significantly decrease the
6:53 number of people living in our
6:54 cities shelter system programs
6:57 such as City flaps are more
6:58 important than ever, and the
6:59 best way to move long term
7:02 shelter residents into stable,
7:03 permanent housing
7:03 . However, this program is
7:05 still challenging for many to
7:06 access on top of the
7:07 difficulty of finding
7:08 affordable housing in a very
7:11 expensive City. I'm concerned
7:12 the City febreze cos
7:12 tcontainment savings impact and
7:14 further delay and already time
7:16 sensitive application process
7:18 for clients in today's hearing
7:19 we look forward to discussin
7:20 gadjustments made in the
7:21 executive plan, including New
7:24 needs and the vacancy
7:25 reductions in.
7:25 Savings. It is the council's
7:26 job to carefully review the
7:28 budgets and operations of City
7:29 agencies to ensure that we are
7:31 good stewards of public
7:31 dollars and that we are
7:33 providing our city's most
7:34 vulnerable residents with the
7:35 services they need, and this
7:36 is a job I take very seriously
7:40 . Finally, I would like t
7:40 othank general welfare
7:41 committee staff for their work
7:42 on preparing this hearing.
7:44 Maria roman senior financial
7:46 analyst elizabeth shoulders
7:47 garcia senior financial
7:48 analyst julia paramus,
7:50 assistant director, a man t
7:51 okill owen, senior counsel
7:53 Pierina rosenberg senior
7:55 policy analyst Justin campos,
7:56 policy alystna brian scarfo
7:57 finance committee counsel, my
8:00 chief of staff andrew, right,
8:01 aleka ruined tan, senior
8:02 manager of policy and
8:03 communications and demi brown,
8:04 my deputy chief of staff and
8:06 now commissioner dalton, our
8:08 finance council will swear you
8:09 in. Thank you. Thank you. So
8:13 lquick housekeepingned by
8:17 announcement that I've been
8:18 making at every hearing, which
8:19 is that as a reminder. I see a
8:21 lot of our awesome nonprofit
8:24 provider, a staff who are here
8:26 today, so wanted to remind
8:28 everyone that we are having
8:29 all of the agency public
8:33 testimony testimony on
8:34 Wednesday, June 10 beginning
8:35 at 9 30, so all the City
8:37 agencies public testimony.
8:38 We're doing it all in one day
8:39 ,so it's going to be a long day
8:40 , but we'll try to make it as
8:41 interesting as possible and on
8:44 time as possible, so please
8:45 make sure to sign up for
8:47 public testimony on Wednesday,
8:50 June 10, and I will now turn
8:50 it over to our committee
8:51 counselors were in the
8:58 witnesses. Good morning. Do
8:58 you affirm to tell the truth,
8:59 the whole truth and nothing
9:00 but the truth before this
9:01 committee and to respond
9:03 honelyst to Council Member
9:04 questions commissioner dalton.
9:07 I do?
9:08 Administrator french. I do
9:11 administrator fellini, first
9:12 deputy garden garden. Okay. Uh
9:17 oh. Chief johns. I do an
9:27 officer, gonzalez
9:28 . You be Gale. Good morning
9:31 , I want to thank speaker
9:32 mennen chair chair, person
9:33 Hudson share personall
9:34 ymembers of the committee on
9:36 general welfarend m aembers of
9:37 the committee on finance for
9:38 holding today's hearing and
9:39 for the opportunity to testify
9:41 about the department of social
9:42 services fiscal year 20 2
9:46 7executive budget. My name is
9:47 aaron dalton, commissioner for
9:48 New York City department of
9:49 social services. I am joined
9:51 by human resources
9:52 administration administrator
9:53 scott french department of
9:55 homeless services interim
9:55 administrator christine
9:58 fellini, first deputy
9:59 commissioner's commissioner
10:00 sarah to guard chief program
10:03 performance off and financial
10:05 officer richard johns and
10:06 chief strategy officer Chris
10:08 gonzalez. Collectively we
10:10 represent approximately 12500
10:12 hardworking staff who dedicate
10:13 their lives to supporting New
10:15 yorkers living at or below the
10:18 poverty line as I approache
10:19 dmy first three months as
10:19 commissioner. I want t
10:20 oexpress my gratitude to the
10:22 dedicated staff as well as our
10:25 nonprofit providers advocates,
10:26 community partners and clients
10:27 who have helped me to better
10:29 understand the extraordinary
10:30 scope and complexity of New
10:31 York city's social safety net
10:34 since stepping into this role
10:35 I visited dozens of shelters h
10:37 r a benefits access centers
10:37 across the five boroughs
10:39 shadowed outrage, teams
10:40 working with New yorkers
10:42 experiencing straight
10:43 melessness and joint staff
10:44 and door to door outreach
10:45 efforts to help snap
10:47 recipients understand New
10:47 federal work requirements and
10:49 avoid losing critical benefits
10:51 these experiences have
10:52 deepened my appreciation for
10:53 both the challenges our
10:56 clients face and the
10:56 commitment of the people who
10:57 serve them every day.
10:58 I have these first months
10:59 listening and learning. And
11:00 while I've gained valuable
11:02 insight I recognize there's
11:03 much, much more to learn, and
11:04 I look forward to continuing
11:06 that work in partnership with
11:07 all of you
11:09 , I would like to take this
11:10 opportunity to express my
11:11 appreciation for the
11:11 conscientious leadership of
11:12 the New York City Council in
11:14 New York City Council as we
11:16 engage in the challenging
11:19 issues, addresses. I've had a
11:20 chance to meet with a number
11:21 of council members during my
11:21 time here and hear about the
11:23 successes, ideas and concerns
11:24 that impact your constituents
11:26 for those of you. I have not
11:28 engaged with directly. Yet I
11:29 look forward to that future
11:33 collaboration supporting
11:33 vulnerable populations trouble
11:34 , trouble shooting on the
11:35 ground challenges in
11:36 neighborhoods as they arise
11:37 and delivering social services
11:39 to New yorkers that meet the
11:40 high standards Mayor madonna
11:43 set out is consistently on my
11:43 mind and our work and in our
11:46 budget the topic at hand today
11:50 , is pleased to play a major
11:50 part in pursuing the whole of
11:52 government vision presented by
11:53 Mayor ma'am donny's housing
11:55 plan published last week
11:55 blocked by block the housing
11:56 plan for a New era alongside
11:59 our sister agencies, including
12:00 the department of housing
12:02 preservation and development
12:03 in New York City housing
12:04 authority, the department of
12:05 health and mental hygiene and
12:06 New York City health and
12:09 hospitals serves as a partner
12:10 in tackling the housing crisis
12:12 and uplifting the marriage of
12:13 a City more affordable for
12:17 working people contributions
12:18 to that comprehensive housing
12:19 strategy include investments
12:20 in technology and systems that
12:22 connect New yorkers
12:23 experiencing homelessness t
12:24 ohousing, streamlining the
12:27 support housing application
12:27 process pursuing reforms to
12:29 minimize the amount of time
12:30 people spend in shelter and
12:32 breaking down bottlenecks and
12:33 barriers crucial to housing
12:34 stability to better serve
12:38 clients.
12:38 As you know, through serves
12:41 approximately 3 million New
12:42 yorkers on any given day.
12:44 The consolidated management
12:45 structure and the shared
12:45 mission of the Eric agencies
12:48 provides an integrated
12:49 continuum of client services
12:50 that helps create a path t
12:52 osustainability for low income