My name is Erin Dalton, and I'm the Commissioner of the Department of Social Services. Good afternoon, Chair Hudson and members of the Committee on General Welfare. I'm Erin Dalton, and I serve as the Commissioner of the Department of Social Services. Joining me today are HRA Administrator Scott French and Andrea Reed, Executive Deputy Commissioner of Housing Services Administration at HRA.
Thank you for convening today's legislative hearing and offering me the opportunity to provide feedback on the 5 legislative legislative proposals on the agenda for today. I want to begin by expressing my appreciation for our ongoing constructive dialogue on legislation and legislative proposals. To the extent that legislative proposals can benefit from more nuanced, detailed understandings of current practice and the impacts of these proposals, we look forward to continuing these conversations with the bill sponsors.
Turning to the central topic of today's hearing, CDFEPS. CDFEPS was established in November of 2018. with the consolidation of several predecessor housing voucher programs. Today, CDFAP serves more than 71,000 households and 162,000 New Yorkers. CDFAP serves as a component of a continuum of care that sets vulnerable New Yorkers on a path towards permanent housing. While I'm grateful to live and work in a city that cares for its vulnerable neighbors in this way, it is worth reminding us all that CDFAP is one of several rental subsidies established to support low-income people in need of housing assistance. assistance, and I urge us all to continue to advocate for federal and state housing and rental subsidy investments, which have been cut considerably in recent years.
Briefly, before turning to the specific legislation on the agenda today, I would like to take a moment to share my— to share the agency and administration's perspective on government efficiency and government excellence, which is at the heart of each of the bills being discussed today. The intent of each of the bills is to improve timeliness, customer service, customer service, and transparency of this critical government program.
This is a key pillar of the administration, demonstrated in numerous ways, but explicitly by aiming to accelerate the housing development and move-in process by issuing the speed report announced in May this year. Likewise, at DSS, we have taken steps to improve CDFAP's review and approval process, including shifting to a single staff review and supervisory approval for DHS cases, and fine-tuning our focus on eligibility for property ownership, payee, subsidy type, and clients.
Through increased staff and provider training and landlord engagement, our goal is that the streamlining of the process will result in fewer return packages and a reduction in the time it takes for clients to move into permanent housing. I now turn to the legislation on the agenda today. Introduction 98, sponsored by Councilmember Brewer, would require the Commissioner of Social Services to deem a dwelling unit habitable before approving CDFAPS rental assistance for that unit.
All New Yorkers deserve safe and affordable housing. We share the goal of ensuring that CDFAPS inspections are conducted quickly and result in safe, quality housing for the New Yorkers we serve. While we oppose some of the specific requirements of the legislation, we are pleased to report on a pilot program that we think meets the the intent of Introduction 98.
For the last 9 months, we have been operating a pilot program that tests many of the approaches articulated in the proposed legislation. We believe that the lessons from this pilot program set forth the foundation for an approach that balances the desire to process applications quickly with the need for safe housing conditions. This process allows for inspections to be conducted by providers in most instances and HRA inspectors for more challenging units.
We are also exploring the establishment of a prequalified list of third-party inspectors to allow approved organizations to inspect and improve vacant apartments prior to occupancy for all newly constructed buildings. Like the proposed legislation, our approach now distinguishes between minor and major repairs, and our expedited reinspection process offers an opportunity to promptly remedy minor faults and relay that evidence to HRA of the fix.
Landlords may send photos documenting that the failures have been addressed and that the unit now meets habitability standards. Virtual inspections have proven to be a valuable tool in both maintaining agency safety and habitability standards and from an efficiency perspective. HRA uses virtual inspections and/or— uses virtual inspections for re-inspection using WhatsApp or FaceTime to help streamline the process further.
We will be ready to roll out these process improvements system-wide in the first quarter of next year. While unintended, if adopted as drafted, this bill would limit our flexibility, increase burden and time to process, and require the addition of many more HRA inspectors and inspections. We are committed to responsible and expedited approval move-in timeliness for CityFAPS clients, and we think the current process well balances the joint goals of processing quickly and ensuring safe housing for New Yorkers we serve.
We look forward to the discussion of the proposed legislation and changes we've made to the process and hope they meet the underlying goals of the proposed legislation. Introduction 100, sponsored by Councilmember Brewer, would require the Department of Social Services to annually, annually submit to the mayor and the speaker of the council and to include in the mayor's management report the average time it takes for an individual to secure housing after receiving a voucher.
We share the aim of advancing transparency through timely and accurate reporting of relevant data. We are able to report on the metric proposed in the legislation, but we hope to have further discussion with the bill sponsor around the interpretation of these metrics and whether they are the best metrics to use to assess the CityFHEPS program. There are numerous factors impacting timelines from time of receipt of an initial shopping letter to move-out, including a historically low vacancy rate for affordable permanent housing units.
For instance, a survivor of domestic violence may be limited geographically to ensure safety. Another household may be focused on finding housing in a particular borough due to the location of their child's school and health services. In addition to the challenges posed by attempting to gain general insights from a nuanced metric, DSS already reports on various metrics, including Local Law 79, length of stay reporting for rental assistance programs, And we would like to explore whether the sponsor would— feels the benefit of— explore with the sponsor the benefit of adding this additional metric.
Introduction 101, sponsored by Councilmember Brewer, would require the Department of Social Services to respond to CityFEP's rental assistance applications within 15 days of receipt to inform the applicant of whether the application has been approved, denied, or requires correction or additional information. We understand the legislation's aim of processing applications in a timely manner and to keep applicants informed.
Our average processing time for City FEPS, defined as the time of submission to the complete package of approval, is 28 days, which has improved over the last month or month and a half to 24.8 days. Currently, clients are informed about their application status by case managers at biweekly independent living plan check-ins. In addition, by the end of October, we will be able to release an improvement to the Access HRA client-facing portal where CityFEP's application status will be posted and available to clients.
We believe that taken together, these enhancements meet the goal of the legislation in providing timely and transparent information on the status of CityFEP's applications. Introduction 641, sponsored by Councilmember Ressler, would require that DSS issue CityFEP's rental assistance payments no later than 7 days before the first day of the month to which the payment will be applied. DSS currently issues payment on the 26th of the month prior to when the payment is applied.
For landlords enrolled in the electronic fund transfer, they will receive this funding within 24 hours of that day, and for those who still opt to receive a paper check, they will receive it in or on around the first of the month. We believe this is a reasonable approach that is working well. That said, we understand that landlords do not just receive rental payments from the City of New York.
For some tenants, rental contributions are made from New York State's welfare management system, which issues a shelter allowance payment in 2 parts, at the beginning of the month and in the middle of the month. While we understand that this may be frustrating to landlords, DSS cannot change how or when the state issues those payments. Also, DSS is very clear with landlords up front about the state payment system.
Landlords agree to the terms in the CityFAPS payment structure on the outset, acknowledging in writing, being a written and signed agreement, that payments received within the month are considered timely. Preconsidered introduction file T2026-1424, sponsored by Councilmember Murano, requires the agency to create a portal for landlords who participate in rental subsidies programs administered by the Department of Social Services.
We agree with the aim of providing landlords a user-friendly portal to perform important administrative functions, receive updates, and register to receive payments electronically. That's why the agency launched the ServiceNow system back in 2016 and the current New York City Landlord Portal and the Apartment Offers Portal. both launched in 2023. Since then, we have continued to take strides in making these systems more capable of meeting landlord needs.
As written, the bill proposed— the bill proposes the landlord portal enact the provisions outlined in the legislation by January of 2027. We hope to discuss with the sponsor the significant additional lead time we would need to accomplish the elements this legislation proposes. While we have substantial IT work underway to pursue many of the functionalities this bill seeks to establish, We do not believe it would be feasible to have all of these functions up and running by January 2027.
For instance, today our portal allows landlords to upload some of the documents, but not all the documents they are required to submit. At present, some documents are presented as part of the application submitted by a provider. Over time, we plan to transition to a system where our portal can collect all of the required documents. Altogether, this work represents part of a larger IT build-out process that requires time set aside for testing, quality assurance, and the ultimate release that we do not see accounted for in the proposed legislation.
In conclusion, DSS supports the intention of the bills to improve timeliness, customer service, and transparency. We believe that further dialogue between the agency and council will contribute to crafting targeted solutions that accomplish those goals. I appreciate the council's leadership and attention to ensuring vulnerable New Yorkers find stable, permanent, affordable housing I also appreciate the opportunity to testify today and welcome your questions.