The program faced resistance from many local governments and legislators, particularly in suburban and upstate areas where there were concerns about increased density and loss of local control over zoning decisions (the phrase “Local Control, Not Hochul Control” was often trotted out). The Compact ultimately failed to pass in the state legislature, stopping its constituent proposals from being enacted at the state level– for the time being.
A Missed Opportunity
The failure to pass the Housing Compact represents a significant setback in the state’s effort to address its worsening housing crisis. In areas like New York City and its surrounding suburbs (Westchester and Long Island), housing demand continues to outstrip supply, driving rents and home prices to record levels. The Compact’s provisions for upzoning and transit-oriented development would have allowed for the creation of much-needed housing in areas where restrictive zoning has long limited growth.
One of the major missed opportunities was the mandate for housing production targets. Under the Compact, localities that failed to meet their targets could have faced state intervention, which would have forced communities resistant to development to take action. Local NIMBY-ism would be overridden by state level YIMBY-ism. Without these mandates, many municipalities resist approving of the construction of new, higher-density housing, leaving large swaths of the state underdeveloped and exacerbating housing shortages.
Continued Relevance: Local Adoption of Key Concepts
Although the Housing Compact did not pass at the state level, many of its ideas remain critical and could be adopted by local governments, particularly in urban areas like New York City. The challenges that the Compact sought to address—restrictive zoning, housing shortages, and high housing costs—are still very much present. In fact, local governments now need to take the lead in implementing these reforms.
For instance, New York City could independently pursue many of the strategies outlined in the Housing Compact. The city has long grappled with a housing crisis fueled by high demand and limited supply. While the city has its own zoning tools, such as Mandatory Inclusionary Housing (MIH), there is room to further reform its zoning laws to allow for more housing in high-demand neighborhoods. The city could also adopt its own version of the Compact’s transit-oriented development approach, focusing on areas around subway and commuter rail stations that are currently underutilized for housing. Fortunately, the City has responded to this and many of the ideas of the Housing Compact are contained in the Department of City Planning’s (DCP) City of Yes for Housing Opportunity proposal.
Additionally, other cities and municipalities in New York State can look to the Compact’s provisions as a guide for local policy changes. Suburban areas, in particular, could benefit from zoning reforms that allow for more diverse types of housing, such as duplexes, triplexes, and ADUs. These changes would increase housing supply while preserving the character of suburban neighborhoods. That challenge here will be that many of these suburban neighborhoods are opposed to these proposed changes, which is why the Compact proposed empowering the state to override these local objections. This is certainly a bold proposal which pits levels of government against one-another. The goal, of course, should be to further make the argument for the proposed changes at the local level and generate support at the local level to avoid the need for state level intervention.
The Need for Local Action
The failure to pass the Housing Compact was undoubtedly a missed opportunity for New York State to take decisive action on its housing crisis. However, the ideas it put forward—zoning reform, transit-oriented development, and streamlined approvals—remain relevant and should be pursued at the local level. New York City, in particular, has the power to implement many of these reforms on its own, and doing so would help alleviate the city’s chronic housing shortage.