Westchester to spend $50M on fair housing Text Size: Normal | Large | Larger Westchester County must spend millions of dollars to build affordable housing and integrate mostly white communities in a historic civil rights settlement stemming from a federal desegregation lawsuit.
The landmark agreement that was announced yesterday dictates that Westchester spend more than $50 million to build 750 units in the next seven years in parts of the county where there are few, if any, minorities. The decision has national ramifications that could affect thousands of municipalities that accept federal housing funds, though Westchester is the first to reach an agreement. Map: 18 Westchester communities could be targeted for affordable housing
"The money will stay in Westchester so that minorities will have more opportunities to live in communities where they have been excluded," County Executive Andrew Spano said. "We have a good chance in making this happen." Communities in Westchester that may have to build such housing - those where less than 3 percent of the population is black and 7 percent is Hispanic - are Ardsley, Bedford, Bronxville, Scarsdale, North Salem, North Castle, Pound Ridge and many more that will be determined by a complex formula that includes information from the 2010 census. Access to public transportation will also play a key role in where units are built. Although Spano called it a punitive lawsuit that never should have been filed and believed the county did nothing wrong, he said the settlement was in the best interest of taxpayers. The risk of losing what is estimated to be in the ballpark of $180 million was far too great, Spano said. As part of the agreement, the county will pay $21.6 million to the federal government, which would then return it to the county through the federal Department of Housing and Urban Development to build units.
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Westchester will also set aside $30 million to build affordable housing in the next seven years and pay $8.4 million to the federal government; $2.5 million of that will go to pay the Anti-Discrimination Center of Metro New York's legal fees. That's the group that filed the lawsuit. The group's executive director, Craig Gurian, said in a statement that the decision marks an opportunity for Westchester "to make a long-neglected promise" of becoming "one community with no exclusion." The county must also fund a targeted marketing, education and outreach program. The court appointed a monitor, attorney James E. Johnson, to ensure that the parties are reaching their goals. The monitor will be given "great authority" in the matter, and the agreement addresses some of the complexities and obstacles such as local zoning ordinances that have been a roadblock in the past, said Ken Zimmerman, a senior adviser for HUD. The settlement would likely deter future lawsuits as it sets forth the framework for complying with federal housing programs, he said. Building affordable housing is a great step forward for the county and for minorities, though implementing the plan could be tricky if communities aren't on board, said Randolph McLaughlin, a civil rights attorney and law professor at Pace University. "The county is going to be forced to make some very difficult decisions," McLaughlin said. "A lot of work needs to be done." Nonetheless, he said, it was a victory for blacks and Hispanics in need of affordable places to live. "It's good for everyone. It's good for the communities there and the municipalities," McLaughlin said. "It's a great leap forward for the county and the African-American and Hispanic communities." The Anti-Discrimination Center filed the lawsuit three years ago, accusing Westchester of failing to provide affordable housing in its affluent suburbs and failing to reduce segregation in municipalities such as its larger cities, despite taking $52 million in federal housing aid from 2000 through 2006 and doling it out to communities.
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The center sued under the False Claims Act of 1863, a law aimed at protecting federal dollars from being used fraudulently. Paving the way for the settlement, Judge Denise L. Cote of U.S. District Court in Manhattan ruled in a summary judgment in February that the county failed to analyze race as an impediment to affordable housing and misrepresented its integration efforts. The judge then wrote that by not doing an appropriate analysis, Westchester didn't comply with requirements to further fair housing. The judge also said the county's policy of cooperating with its 45 municipalities was not a productive way of increasing affordable housing. The case was adjourned repeatedly in recent months as the sides worked on a settlement. The agreement, brokered among the U.S. Justice Department, HUD, Westchester County and the Anti-Discrimination Center, represents a seismic shift in HUD's housing philosophy under President Barack Obama, officials said. Communities that accept federal funds must show they are actually building housing in places that aren't diverse. The settlement represents a new "model of inclusion," said Ron Sims, HUD's deputy secretary. "For too long, the policies that would have ensured progress in those goals have laid dormant," Sims said. "I believe this order has given Westchester County the tool kit to accomplish its goals." Spano said he expects to work with municipalities on implementation, though the county will have more tools - and a much larger stick - to ensure housing gets built. Before the settlement can be completed, the county Board of Legislators' approval is needed. The details will be given a thorough review, said Chairman William Ryan, D-White Plains, who didn't expect it to be held up. "There's a recognition there are some areas where the county would like to see more minorities," he said. "Our objective has always been to provide safe, clean and affordable units."
In a settlement, hailed by the United States Department of Housing and Urban Development (HUD) as a "historic civil rights settlement," the county government for Westchester County, New York has agreed to spend US$51.6 million to build 750 affordable housing units that will primarily be offered to non-white minorities.

2000 United States Census. 
The settlement is the result of a federal lawsuit filed by the Anti-Discrimination Center of Metro New York (ADC) against the county under the False Claims Act, which alleged that the county was negligent in its oversight of federal funds that it received from HUD for community development which stipulated that it "affirmatively further fair housing." The ADC suit which claimed $180 million in damages, also said the county failed to build affordable housing and reduce segregation in some of the more affluent communities.

Prior to the settlement, the United States District Court for the Southern District of New York ruled that Westchester had failed to analyze the effect of race in relation to access to fair housing when it applied for HUD funds.

The county redistributed the federal funds to town and village governments, and the court concluded it did so without ensuring that guidelines were being followed or considering where the affordable housing was being placed.

Westchester County admitted no wrongdoing and says it has "for many years considered the impact of race on affordable housing," according to County Executive Andrew Spano.

Westchester County will also pay $8.4 million as a fine to the federal government and $2.5 million to cover legal expenses of the ADC.

630 of the 750 housing units must be built in communities which are less than 3% black and less than 7% Hispanic. The county will be required to market the homes "aggressively" to minorities, though federal law prevents them from being offered exclusively to certain races.


The case is a landmark for HUD and the way that the Obama administration will use the government agency.
"This is about expanding the geography of opportunity for families who may have been limited in their housing choices. The agreement we announce today demonstrates Westchester County's commitment to make sure its neighborhoods are open to everyone, regardless of the color of their skin," said HUD Secretary Shaun Donovan. "This agreement signals a new commitment by HUD to ensure that housing opportunities be available to all, and not just to some."

"This is consistent with the president’s desire to see a fully integrated society," said HUD Deputy Secretary Ron Sims. "Until now, we tended to lay dormant. This is historic, because we are going to hold people’s feet to the fire."

It is not yet decided where the affordable housing will be placed, but Westchester County has a number of towns and hamlets which qualify under the stipulated racial requirements, including Chappaqua, which is noted as the official residence of Secretary of State Hillary Clinton and former President Bill Clinton.

"Some constituents have had strong reactions, but that's just based on what they read in the papers and what the headlines are," said County Legislator Peter Harckham. "But there are no details yet to get excited about."

"I certainly approve of nondiscriminatory policy for housing," Alan Harrow, a resident of Somers, told ''The Journal News''. "Looking at it from my own point of view, I moved into this very rural area, and if there's suddenly a large housing development and 200 families there, it's probably something I won't really welcome."