Challenging the Mamdani Administration's Housing Policies

0:00 Speaker 1 Sunday morning. Well, a lot of people in New York City are worried. With us today is the former first deputy mayor, Randy Mastro, that wants to preserve New York the way we know it to be. And Randy, happy birthday again. I can’t believe you’re 70 years old. You don’t look a day over 60.

0:24 Speaker 2 Oh, you’re too kind, John. I feel young at heart, my friend.

0:28 Speaker 1 You had a great birthday party and the whole world was there. And thank you for inviting me. And give us an update of what’s going on. I understand this week that the city admitted that they did a few things that were not right. You give us the update on the Pierre Duterte tax.

0:49 Speaker 2 John, Citi admitted a few things that were not right. It basically admitted to a massive screw-up of unparalleled proportions. It admitted that it sent threatening notice letters to thousands and thousands of property owners claiming they may owe a surcharge unless they apply for an exemption or or else be deemed to owe the tax, that that was just

1:15 flat-out wrong. Never mind. It was our mistake. And only because of the pendency of this lawsuit are we where we are now, where the city’s feet have been held to the fire. The Mondani administration has been made to admit the mistakes it made. But there are still thousands in jeopardy. So the lawsuit continues, but we are headed

1:37 in the right direction because now thousands of New Yorkers who never should have been approached about this surcharge, you know, have the certainty of knowing that the city will not be coming after them.

1:51 Speaker 1 Well, that’s good news. And what’s the next procedure? I mean, they moved it from Staten Island, which seemed to be a more favorable venue. Why do you say venue? Venue. And to move it to Manhattan, are you worried at all?

2:13 Speaker 2 Different case. The Pieta tear surcharge case remains on Staten Island and will be back in court. on August 31. And by the way, the city has moved the deadline for applying for exemptions again, this time until October the 6th.

2:31 That’s the second time that has happened. That, again, is entirely in response to the lawsuit. Query why the city didn’t move that date until after October 15th, which is the date by which people who asked for extensions on their 2025 taxes moved. will have to file. That would have been the logical date to do that. But the

2:53 Mondani administration is still screwing up. Now, the case that you’re referring to, John, was about the unprecedented rent freeze imposed by the city’s rent guidelines board, a supposedly independent board that this mayor stacked, packed their proceedings with pro-tenant advocates, spent millions in city funds to do that, had special briefings you know, to influence and control and turn that

3:23 supposedly independent board process into a sham process with a predetermined outcome. I was originally brought on Staten Island. The judge on Staten Island ruled that the case should be heard in Manhattan because that’s where the RGB made its determination.

3:43 So we’ll be back in court very soon. before a Manhattan judge who will entertain the merits of the case. Fully briefed, ready to be decided. We’re talking to that judge about when to schedule that hearing. And that will be as early as next week, but in the very near future on whether that rent freeze will stand. And

4:08 understand this, John. In New York City, we’ve had a rent guidelines board to decide what kind of rent increases there can be on rents. the city’s 1 million rent-stabilized apartments. It’s been in existence for 57 years. In those 57 years, it has never before ruled that on both one-year and two-year leases, there will be zero zero rent increases permitted

4:42 across the board. All geographic areas, all types of buildings, zero in the first year and zero in the second year. And why was this year different than any other year? At a time when landlords’ costs are soaring higher than the rate of inflation, when their income is down, when even the board’s own analysis was that it would take

5:08 at least a 3.5% increase in the first year and a 4.8% increase in the second year just to maintain status quo. Why did this happen? Because Mondani promised it in his campaign, and then by hook or by crook, he delivered it in office. Totally unjustified, totally irrational, totally illegal, and we’re very confident that wherever the case is heard,

5:36 that this rent freeze won’t stand.

5:39 Speaker 1 Well, we hope and pray that, you know, whatever you used to call it in the American Revolution, double taxation without representation.

5:51 Speaker 2 Well, you know, the Rent Guidelines Board is supposed to balance, legally required by statute, to balance the interest rate. of landlords and tenants and look at the real economic considerations going on in that market. This rent guidelines board totally controlled, dominated, and dictated to by Mayor Montani, simply delivered on his campaign promise and blatantly violated its statutory mandate. Question.

6:25 Speaker 1 Any chance of moving it to federal court?

6:29 Speaker 2 Different issue, John. There are federal constitutional implications when you have rent freezes and you deny private property owners any economic value in their property, any right to access their property, any right to control their property. That is not this case.

6:50 This case is about the irrationality, arbitrary, and capricious decision that was made by this rent guidelines board under the mayor’s thumb, but there is the potential in the future for constitutional litigation on these issues.

7:10 Speaker 1 Randy Mastro, thank you so much for an update, and let’s hope that common sense prevails in New York City, so New York City is the great city that we and you are used to.

7:26 Speaker 2 Thank you, my friend. Pleasure to be with you.