New York City Mayor Zohran Mamdani has angered homeless advocates by appealing a court order to expand the City Fighting Homelessness and Eviction Prevention Supplement (CityFHEPS) voucher programme, despite promising during his campaign to implement the expansion. The decision, announced near a 25 March deadline, cites a worse-than-expected $5.4bn budget deficit and projected costs of over $4bn for the expansion in coming years.
CityFHEPS, launched in 2018, has helped more than 123,000 people find permanent housing, according to a January state comptroller report. However, its cost has surged from $176m in 2019 to a projected $1.2bn in fiscal year 2025. The city council approved legislation in 2023 to broaden eligibility, but former mayor Eric Adams vetoed it, citing taxpayer costs. The council overrode the veto, but Adams refused to implement the laws, leading to a lawsuit. A state appeals court ruled in July 2025 that the city must expand the programme, and the Adams administration was granted leave to appeal.
During his campaign, Mamdani said he would drop the court challenge and ensure expansion proceeds. But his administration has now appealed, using the same legal argument as Adams: that the council exceeded its authority. At a press conference, Mamdani said he remains committed to ending homelessness but must do so in a fiscally sustainable manner, and pledged to continue negotiating with the council.
Advocates have condemned the reversal. Christine Quinn, president of shelter provider WIN, called it a betrayal of the homeless community. Housing experts note that rental vouchers are highly effective: less than 1% of families leaving shelters with a subsidy re-enter within a year, compared to 15% without. However, New York's high housing costs mean significant public spending is required. Quinn argues vouchers ultimately save money by reducing shelter costs.
