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fter a year of anticipation, New York Attorney General Letitia James has put the brakes on a $3 million fair housing testing program. The program was initially announced with great fanfare in November, aimed at funding fair housing testers across the state. The initiative was funded by license fees added under a change to state law in 2021, with anti-bias laws also carrying increased penalties from $1,000 to $2,000, with half of the collected amount being distributed into the fair housing initiative.
Nonprofit organizations across the state were invited to apply for grants of up to $250,000 to cover the costs of fair housing testing. However, the quick turnaround time expected for applications and the relatively small amount of funds available kept many nonprofits at bay. The program was primarily focused on in-person paired testing, which is significantly more expensive than over-the-phone snooping.
The eligibility requirements were also stringent, prohibiting organizations that had already received state or federal funding to support fair housing testing. ERASE Racism president Laura Harding explained that the amount of money available may not have been enough for organizations to sustain the work, as fair housing testing is more expensive than people realize.
In response to the program's stall, James' office has vowed to work closely with prospective grant-seekers to provide additional financial and educational support so they can create fair housing programs. Meanwhile, the state Division of Homes and Community Renewal is moving forward with its own testing program, funded by a combined $8.5 million in recent state budgets.
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