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June 19, 2018
Brattle Assists the U.S. Attorney's Office in Its $1.2 Billion Settlement with NYCHA and New York City

On June 11, 2018, the U.S. Attorney’s Office for the Southern District of New York announced a landmark settlement with the New York City Housing Authority (NYCHA) and New York City to institute a plan that will fundamentally reform the city’s public housing.

A team of consultants at The Brattle Group worked closely with the U.S. Attorney’s Office throughout its two-year investigation to determine whether NYCHA, the largest public housing system in the country, was providing decent, safe, and sanitary housing for its residents. The team’s data analysis expertise helped with investigations into specific problems related to lead paint, mold, lack of heat, elevator outages, and pests, among others. In addition, Brattle performed various forensic analyses including determining whether NYCHA had adhered to federal regulations, and how NYCHA had addressed its work order backlog.

As part of this engagement, Brattle imported and analyzed data to provide the U.S. Attorney’s Office with quantitative metrics to evaluate the prevalence, persistence, and significance of problems facing New York public housing residents. These metrics were featured heavily in the Complaint filed by the U.S. Attorney’s Office along with the Consent Decree.

Under the terms of the settlement agreement, the city has agreed to spend more than $1 billion over the next five years and $200 million thereafter until improvements are made and the Consent Decree is no longer necessary. Including additional federal, state and city funding, approximately $4 billion will be available for capital improvements over the first four years.

The Brattle team consisted of Principal Evan Cohen, Senior Associate Jehan deFonseka, and Research Analysts Anna Blatz, George Velonias, Sarah Erickson, and Alexander Hoyle.

The Complaint can be accessed here and the Consent Decree can be accessed here.