Pedro Espada: Renters' Public Enemy #1

Millions of New Yorkers better take notice. Renters who were hoping for reform under that new Democratic majority have Senator Pedro Espada to thank for extinguishing all hopes of getting something done this year. Sen. Hiram Monserrate also shares in the blame, but if you have to give top billing to one of them, it would be Espada. Good government groups have been up in arms over his refusal to follow campaign finance laws and now we have a lead on why. The most powerful lobbying group, the real estate industry, has a very good reason to financially support Pedro and it is one he'd rather not talk about.

From The NY Times:

In the weeks before Mr. Espada bolted, Senate Democrats were poised to vote on the most significant expansion of rent regulation and tenant rights in a quarter-century, including legislation that could have cost the owners of the more than one million rent-stabilized apartments in New York City and its suburbs billions of dollars on their investments.

Mr. Espada, as chairman of the Senate Housing Committee, had assured Democratic leaders he would take up the bill, already passed by the Assembly, but repeatedly blocked it, citing technical objections and scheduling issues. Last Monday, after he defected to the Republicans and ascended to the Senate presidency, he announced he was opposed to the legislation.

His move has all but assured that the bill will die this year.

“It’s dead,” Michael McKee, a leading advocate for tenants, declared last week.

Democrats said Mr. Espada’s actions raise questions about whether he received financial support from real estate interests as he contemplated his switch of allegiance to the Republicans. As chairman of the Housing Committee, he would be expected to be a primary beneficiary of contributions from the industry, which is among the most powerful in Albany.

But no one knows how much money he got from them, because Espada shuns his responsibility from the law (I wonder where he learned that one from). All he cares about is himself and how much money he can make, presumably before he gets kicked out of office, but I'm sure there's a lobbying group that'll love to have such a sniveling snake as he.

Now Monserrate presumably has said he's a big champion of vacancy decontrol (an important part of tenant reformers goals) and if he does stick to such a principal, that could be one of the reasons he came back to the Democratic caucus after a week. Yet if he had done five minutes of homework, he would have seen that his "friend" had been stalling rent reforms for the entire session this year. It wouldn't have taken a rocket scientist to figure out Espada wasn't a friend of the renters in his district or any other in the state.

Monserrate will be gone if and when he is convicted of slashing his girlfriend in his face but Espada thus far has not been charged with any crime (though he is being investigated for several). It is Mr. Espada that we must focus on, because his lust for power can do far more damage than I believe Monserrate ever dreamed of doing.

Rangel Decides To Do The Right (Legal) Thing

After the NY Times broke the story last week that Congressman Rangel has four rent stabilized apartments in one building he responded with all the bluster worthy of a small child in a temper tantrum. The only problem with that and some of his friends' comments defending him was that one of those four apartments was undeniably illegal. With a few days to cool down, and a stern talking-to (most likely) by his lawyer, Rangel is doing the legal thing and getting rid of his campaign office/apartment.

From The NY Times:

In a fiery news conference on Friday, Mr. Rangel said he saw nothing improper with having three rent-stabilized apartments — all adjacent on the 16th floor — for his family’s residence, but said he would review the propriety of using the fourth apartment as an office.

Mr. Rangel’s spokesman said the congressman would not discuss details of his decision.

“Mr. Rangel has indicated that he is not willing to say any more,” the spokesman, Emile Milne, said.

The congressman’s announcement that he will move his campaign office came as he faced widespread criticism from tenant advocates who said it was improper for an elected official to accept multiple rent-stabilized apartments when the city is facing a shortage of moderately priced housing.

On Monday, the National Legal and Policy Center, a watchdog group in Washington, filed a complaint with the Federal Election Commission, charging that the discounted rent was in essence an illegal corporate contribution from the Olnick Organization, which owns Lenox Terrace, on 135th Street near Lenox Avenue.

The FEC complaint must have been the shot across the bow for Rangel. Of course, this isn't really a case of him doing the right thing with the city's shortage of rent-controlled apartments, just the correct measure to avoid the glare of the FEC. As long as he keeps the three apartments he may be within the law, but Rangel is still ethically-challenged, despite all the good work he has done for Harlem and our country throughout his career.

Congressman Rangel, Can I Get An Apartment?

Yet another scandal surfaced late yesterday when the Times reported that our dear Congressman Rangel has four rent-stabilized apartments. There are more than a few people that rent or own several homes, but it is generally financed with their own money. Charlie is paying less than four grand for all four apartments a month, and that isn't the end of it.

From The NY Times:

Mr. Rangel, the powerful Democrat who is chairman of the House Ways and Means Committee, uses his fourth apartment, six floors below, as a campaign office, despite state and city regulations that require rent-stabilized apartments to be used as a primary residence.

Mr. Rangel, who has a net worth of $566,000 to $1.2 million, according to Congressional disclosure records, paid a total rent of $3,894 monthly in 2007 for the four apartments at Lenox Terrace, a 1,700-unit luxury development of six towers, with doormen, that is described in real estate publications as Harlem’s most prestigious address.

The current market-rate rent for similar apartments in Mr. Rangel’s building would total $7,465 to $8,125 a month, according to the Web site of the owner, the Olnick Organization.

The Olnick Organization and other real estate firms have been accused of overzealous tactics as they move to evict tenants from their rent-stabilized apartments and convert the units into market-rate housing.

Now Olnick would never try and forcibly kick Charlie out of his rent-controlled buildings, especially considering he is one of the most powerful members of the House. Now that the cat is out of the bag, the Congressman needs to kick himself out, preferably from at least three residences including the campaign office.

Rangel replied to an interview request with his regular style, “Why should I help you embarrass me?” and then hung up. This is already embarassing, ethics may be a scarce commodity in Washington, especially for the 12 years Republicans held power, but that does not give him the right to skim off the top to his own advantage, even if it is in Harlem....and for all the good he has done for Harlem. The simple fact is that Mr. Rangel is a servant of the people and earns a decent (almost $170K) living for it.....that should be it.

Rent Stabilization: Why We Need To Take The State Senate Back

Today our Democratically-held Assembly will go to bat for the millions of renters in New York to pass a set of tough laws to make sure renters are taken care of. Landlords and their real estate buddies have taken too much away from the non-owning class of our citizens for too long. The price of rent has soared and the percentage of one's income dedicated to paying the rent is around 50 percent. That is unacceptable, and it is why we need these bills to pass not only the Assembly, but the Senate as well.

From The NY Daily News:

The full-throttle assault with support from tenant groups and the Working Families Party will put pressure on Senate Republicans - particularly those from the city - "to take a position," said Assembly Housing Committee Chairman Vito Lopez (D-Brooklyn).

A spokeswoman for Gov. Paterson, a Democrat who supported pro-tenant protections during his years as a state senator, said "if it passes the Legislature, he will sign it."

In all, eight bills will be acted upon Tuesday, including one that would no longer allow an apartment to become deregulated if the rent reaches $2,000 and the unit becomes vacant.

The legislation also gives more power to the city (if it chooses to use that power) to keep greedy landlords in check. Of course this all depends on if the State Senate approves the measures as well. It is well-known that when it comes to battles like these (rich and powerful vs. poor and abused) Joe Bruno is going to go with the former rather than do what is morally the right thing. Joe could surprise me, but so would two feet of snow falling on this warm sunny day.

So if rent stabilization is something you care about, make sure to do whatever you can to get as many Democratic challengers into office this year so we can take back the State Senate!